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Ma. Murphy, Thank you. The calculations in the table was provided by treasury and | was seeking clarification. | arn nota water expert, but | learned that typically, mast rates have two components. 1. Fined-cost recovery charge This charge is based on the size of the water meter at the home or business. Most residential customers will have a meter between 5/8°"s of an inch and 1 inch. 2. Consumption Charge This charge Is based on the amount of water used. The rate for usage is determined by the distance and elevation of the home or business from the water source. NECK is used in many place for calculating rates; however, since Flint is currently not using this calculation, what are the cost components that make up the $149 avg. monthly charge to the resident? Best, Harvey

Mr. Hollins, Jerry Ambrose asked me to respond to your request for more information on the Flint water cost analysis chart which you sent him yesterday. Please see the attached chart; it contains an added analysis by Jerry. The sections for which you asked for data can not be provided as we don't calculate prices in the manner you are comparing. Jerry's chart clearly represents what Flint has been talking about - a major increase in water rates would be necessary to pay the additional charge to purchase DWSD water. Liz Murphy xxxEND_PAGE:executiveofficeemails21_b0840_2205_2207_2 Assistant to the Emergency Manager City of Flint 810 237 2025 xxxEND_PAGE:executiveofficeemails21_b0840_2205_2207_3