New York City Mayor Eric Adams, who boasted his new $111.6 billion budget proposal won’t contain higher taxes, is allegedly planning to adopt what opponents call a “hidden tax” that will cause residents’ water bills to spike by 8.5%.
According to a preliminary report by The New York Times, City Hall intends to lease water and sewer lines to its own Water Board for at least $1.4 billion over a four-year period. The Water Board’s plan, which was made public on Friday, calls for an 8.5% rate increase for homeowners and landlords in July from the city’s Department of Environmental Protection.
If authorized, the rate hike would only partially offset the rent; the remaining portion would probably come from funds allocated for major improvements to the water and sewage systems.
The average annual cost of water for single-family house owners is $1,088; the plan would increase that amount by over $100. While landlords often pay for water, they also pass the expense along to tenants in their monthly rentals. Critics claim that because low-income families have traditionally used more water than normal New Yorkers, the idea is nothing more than a regressive tax that would eventually impact them the most.
In defense of the proposal, Mayor Adams’ spokesperson, Liz Garcia, said that the Big Apple “continues to lead the nation in keeping water rates low” and that it has the lowest water rates when compared to other major American cities.
“We are investing billions of dollars in large-scale capital improvements over the next decade to enhance our water and sewage systems and make drainage upgrades, all while making sure that working-class New Yorkers — particularly low-income and senior residents — pay affordable rates,” Garcia said.
“We will continue our commitment to delivering low costs for high-quality water to New Yorkers while making critical upgrades to our city’s infrastructure.”
