70 N.E.W.W. ASSOC. FORM OF RATE 



most cases an even number of cents, omitting fractions, and the 

 domestic rates and manufacturing rate should be first fixed; 

 the manufacturing rate should very seldom be less than half the 

 domestic rate, and for the intermediate rate the price should 

 be the nearest cent midway between the average and the mean 

 proportional of the domestic rate and the manufacturing rate. 

 In other words, it will ordinarily be half way between the two, 

 or half way between the two less one half cent. 



A uniform rate for all quantities may be made by fixing the 

 same price for water for domestic purposes and for manufacturing 

 purposes, and in this event the whole schedule may be simplified. 



The Committee limited its study to quantities under ten 

 million gallons per annum (with average annual charges of about 

 $1300) because this limit is high enough to include all but a 

 very few of the largest takers. Special considerations often 

 control the rates made to those using more than this amount of 

 water. These considerations are always of local character, and 

 the Committee did not think it necessary to extent its study 

 to existing rates for larger quantities. 



It suggests tentatively that if it is thought necessary to 

 make a fourth and lower rate that it be called a special rate 

 and that it be made to apply only to quantities in excess of 

 30,000,000 gallons per annum or 82,000 gallons per day. 



Committee's Alternate Procedure. There is also an alter- 

 nate procedure suggested for use where there is local objec- 

 tion to the service charge. This procedure was not recommended 

 and it is not part of the adopted schedule. It may neverthe- 

 less have some interest. Under it the amount that would other- 

 wise be used as the service charge is ascertained and this amount 

 is applied as a loading to a small amount of water first sold from 

 each service, thus making in effect a fourth and higher rate for 

 use only where no service charge is made. This alternate and 

 less desirable procedure is described further as follows: 



The amount that would be a fair service is computed by the 

 method described in Chapter VII. This amount is divided by 

 sixty and the result to the nearest even cent is added to the domes- 

 tic rate, and this new rate (which may be called a loaded or maxi- 



