Assemblyman Ed Ra (R-Franklin Square) introduced a bill this year to eliminate the “special franchise” tax on privately owned water companies, aiming to provide immediate financial relief to residents facing high water bills. Despite these efforts, the New York State Public Service Commission recently approved a rate hike for Liberty Utilities customers in Nassau County. 

Starting Sept. 1, 2024, more than 100,000 Long Island residents will see increased water bills, with a typical household using 8,000 gallons per month paying between $54.51 and $87.32, depending on their service area. 

“The ‘special franchise’ tax—a very hefty tax—that private water operators pay is essentially passed on to residents through their water bill,” said Ra. “Water is a basic necessity, and residents who have no choice but to rely on private water providers should not be saddled with excessively high bills. Removing privately owned water-works corporations from the ‘special franchise’ tax is now more important than ever to provide immediate financial relief for residents. Enacting this legislation would save the average ratepayer nearly $20 per month.”

Sen. Patricia Canzoneri-Fitzpatrick (R,C-9th District) added, “As more and more New Yorkers feel the devastating impact of inflation and lingering high prices, fewer are able to keep up with the costs of even basic necessities. New York state should not be unfairly burdening customers of Liberty Water through the state-mandated ‘special franchise’ tax on their water. I am proud to work with my Long Island colleagues in government to fight to provide real financial relief for our constituents.”

“The ‘special franchise tax’ is a burden passed on to consumers. It is, in effect, an extra tax that middle-class families must pay. This is wrong, the state should not be in the business of raising the water bills of hard-working New Yorkers. Private water businesses must be exempt from the special franchise tax to help save the consumer money,” said Assemblyman Brian Curran (Lynbrook-21st A.D.).

Assemblyman Ra represents the 19^th District, which consists of Nassau County, including parts of the towns of Hempstead and North Hempstead. For more information, please visit Assemblyman Ra’s Official Website.