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Excess Use Rates: Cost per gallon increases greatly above an established level in order to trigger a strong price signal that discourages excessive use. This rate is similar to an increasing block rate but with much higher charges for the larger volume blocks. What is a Uniform Rate? With a uniform rate, the cost per gallon is the same regardless of the volume used. When that rate is set at an adequate level, it can effectively promote conservation by encouraging users to limit how much water they use, thereby saving money. To satisfy the demand reduction measure statute, this rate can only be used in conjunction with a conservation program. What is a Conservation Program? Water conservation programs are intended to reduce demand for water, improve efficiency in use, and reduce losses and waste of water. Water conservation programs can also help utility managers satisfy the ever - increasing demands being placed on water resources. A conservation program is detailed in Part III of an approved Water Supply Plan and contains the following elements. To better understand the details of each, please refer to the referenced section: A. Conservation goals, including a. Metering connections and a. Unaccounted water <10% maintenance b. Residential per capita demand <75 b. Reducing unaccounted water gallons per day c. Conservation water rates c. Decreasing per capita demand d. Outdoor water use regulation d. Decreasing peak demands e. Education and information programs B. Water conservation program, including: When a request is made for permission to drill a new well from the Department of Health, or for an increase in authorized volume of appropriation from the DNR, water suppliers that employ a uniform rate for residential use are required to submit a summary of the progress that has been made in implementing the demand reduction measures that were agreed to in the approved Water Supply Plan. In addition, the public water supplier will need to submit water use information that indicates whether the implementation of the demand reduction measures has effectively reduced water use. Public water suppliers without an approved Water Supply Plan, or a Water Supply Plan approved before October 15, 2006, do not have a conservation program. The DNR welcomes efforts that a public water supplier makes to reduce water use, even if such efforts are different than traditional conservation measures. DNR staff will work collaboratively with water suppliers to tailor demand reduction activities to meet the needs of the community being served. Such measures will be taken under consideration when permission to drill a new well, or increase the authorized volume of appropriation is requested. Last Updated July 2, 2012 3