WATER RATE INCREASE

October, 2006

Dear Resident:

The West Hempstead Water District will be instituting a water rate increase effective 
with the 4th quarter billing, November 1, 2006. The last increase the district imposed 
was fourteen (14) years ago in 1992.

For many years, the district cost of operations, including major improvement projects, 
has been subsidized by various lease agreements which generated additional income, but the 
districts costs have been escalated to the point that a rate increase is necessary.

The operational increases that the district has incurred over the past 14 years range from a 
700% increase in fuel costs, 150% increase in water treatment  and analysis, and a 90% 
increase in electrical rates.

The new rate is very modest when compared to the C.P.I. over the past 14 years.

For the average water user, 30,000 gallons per quarter, the increase amounts to $6.80 per 
quarter. That's an average increase of approximately two cents (.02) per 100 gallons of 
water used.

This new rate structure will hopefully enhance the district slogan "Conserve Water- Our 
Most Precious Resource".

The Board of Commissioners
West Hempstead Water District

Please note that the Water Rate Increase letter you recently received had a typo era. The average 
increase is approximately two cents (.02) per 100 gallons of water and not two cents (.02) per 
1000 gallons of water.

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        Billing and Payments:

        Meters will be read quarterly. All water rents will be billed quarterly and are payable upon receipt to the water district.

        Water charges that are not paid in a timely manner shall become a lien on the real property on which the water is used. A ten percent (10%) lien charge will be added to all unpaid water bills.

        Owners Responsibility:

        Owners of a premises in which water is used will be held responsible for the water rents.

        All unauthorized connections to the water supply shall be removed immediately. Failure to disconnect will necessitate immediate suspension of water service.

        Access to meters:

        All meters shall be set in an accessible manner in a place approved by the district.

        The meter must not be obstructed in any manner that will interfere with the prompt reading, repairing, testing, changing or inspecting of said meter.

        Meters shall not be tampered with or disturbed by any unauthorized persons.

        Entry of Premises:

        The Districts employees and agents are authorized entry to the premises for the purposes of reading, inspecting, repairing, maintaining, removing or testing the water facilities and meters through which water of the District is supplied.

        Water meters must be read at least once a year by a District employee.

        All service personnel carry identification badges issued by the District. If you are unsure about the individual seeking entry call the District at 483-1180