Key
Highlights
In June 2007, the State of Missouri and the United States Environmental Protection Agency (EPA)
filed a lawsuit against MSD over the status of sewer overflows in MSD’s wastewater collection
system. The State of Missouri and EPA were later joined by the Missouri Coalition for the
Environment.
In August 2011, EPA announced a settlement agreement that calls for MSD to spend an estimated
$4.7 billion over the next 23 years to address over 350 sewer overflows in our community.
The issue of overflows has been a significant focus of MSD’s work for many years. As an example,
from 1992 to 2011, MSD spent $2.5 billion to eliminate over 350 overflows. Today, work to address
sewer overflows and improve water quality continues in the form of a multi-decade, multi-billion
dollar capital construction program that was begun in 2003.
Since 2003, MSD has utilized a combination of rate increases and bond issuances to finance its work
to address overflows and rehabilitate the wastewater collection and treatment system. In July 2003,
the average monthly single-family wastewater bill was $13.97. Today, that same bill is $28.73. The
issuance of $775 million in bonds has been used to minimize rate increases over that time period.
Much like a home mortgage allows a large investment to be paid for over many years, the bonds have
kept rates lower than they would have been had MSD used a “pay-as-you-go” approach.
MSD plans to present to area voters a ballot initiative that will authorize the issuance of $945 million
in bonds to help finance the next phase of work to address sewer overflows. This vote is scheduled to
take place on June 5, 2012.
Along with the bond authorization request, MSD will present a series of amendments to its Charter
that are designed to modernize the methods and means the District uses for its governance. These
amendments will also improve the efficiency and transparency of MSD’s day-to-day operations as it
implements the requirements of the settlement agreement.
If voters approve the issuance of $945 million in bonds, the average monthly single-family
wastewater bill will gradually increase from today’s $28.73 to $43.67 by July 1, 2015. MSD projects
that rates will exceed $80 per month by the end of the 2010s/beginning of the 2020s.
If voters do not approve the issuance of $945 million in bonds, the average monthly single-family
wastewater bill will increase from today’s $28.73 to $65.15 by July 1, 2015. Please note that this
approach requires rate increases that are heavily front-loaded, with an increase of $35.42 scheduled
for July 1, 2012.
In June 2007, the State of Missouri and the United States Environmental Protection Agency (EPA)
filed a lawsuit against MSD over the status of sewer overflows in MSD’s wastewater collection
system. The State of Missouri and EPA were later joined by the Missouri Coalition for the
Environment.
In August 2011, EPA announced a settlement agreement that calls for MSD to spend an estimated
$4.7 billion over the next 23 years to address over 350 sewer overflows in our community.
The issue of overflows has been a significant focus of MSD’s work for many years. As an example,
from 1992 to 2011, MSD spent $2.5 billion to eliminate over 350 overflows. Today, work to address
sewer overflows and improve water quality continues in the form of a multi-decade, multi-billion
dollar capital construction program that was begun in 2003.
Since 2003, MSD has utilized a combination of rate increases and bond issuances to finance its work
to address overflows and rehabilitate the wastewater collection and treatment system. In July 2003,
the average monthly single-family wastewater bill was $13.97. Today, that same bill is $28.73. The
issuance of $775 million in bonds has been used to minimize rate increases over that time period.
Much like a home mortgage allows a large investment to be paid for over many years, the bonds have
kept rates lower than they would have been had MSD used a “pay-as-you-go” approach.
MSD plans to present to area voters a ballot initiative that will authorize the issuance of $945 million
in bonds to help finance the next phase of work to address sewer overflows. This vote is scheduled to
take place on June 5, 2012.
Along with the bond authorization request, MSD will present a series of amendments to its Charter
that are designed to modernize the methods and means the District uses for its governance. These
amendments will also improve the efficiency and transparency of MSD’s day-to-day operations as it
implements the requirements of the settlement agreement.
If voters approve the issuance of $945 million in bonds, the average monthly single-family
wastewater bill will gradually increase from today’s $28.73 to $43.67 by July 1, 2015. MSD projects
that rates will exceed $80 per month by the end of the 2010s/beginning of the 2020s.
If voters do not approve the issuance of $945 million in bonds, the average monthly single-family
wastewater bill will increase from today’s $28.73 to $65.15 by July 1, 2015. Please note that this
approach requires rate increases that are heavily front-loaded, with an increase of $35.42 scheduled
for July 1, 2012.
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