Residential Equivalent Unit
An REU is a basis of measurement used to estimate water demand on various customer types relative to a single-family residential customer.
The term REU can be used interchangeably as “minimum bill”, “ready-to-serve”, or “capital charge”. Implementation of REUs establish a consistent revenue source, which is required to maintain water and sewer infrastructure now and the future.
Each utility billing account is identified and categorized according to commercial use. The account is further narrowed by type, such as full-service restaurant or quick service restaurant. Average and median consumption over a twelve-month period is then used to confirm appropriate categories and identify anomalies.
In addition to similar type commercial establishments, some categories are delineated by gross building area (such as retail stores), or by the number of rooms for overnight accommodations such as hotel rooms and inpatient treatment centers. See REU spreadsheet for calculation by type.
Various sources are used to determine REUs, including review of other municipalities and whenever possible, sources such as Ohio EPA, Energy Star and American Water Works Association.
One (1) REU unit of measurement is currently set as 6,000 gallons per quarter, 2,000 gallons per month, or equivalent to 66 gallons per day (gpd). This is much lower than the Ohio EPA average of 300 gpd used to define an REU. The reduced REU basis is reflected in our current rate structure.
A ready-to-serve charge of 6,000 gallons per quarter for single-family homes was first established with Ordinance 37-2021 and subsequently implemented. The ordinance also provided language to establish REUs for all other property types.
The city manages approximately 6,000 utility accounts, which consist of approximately 700 commercial and the remaining 5,300 as residential.
REUs are regularly reviewed to ensure that REU categories and calculations are accurate. If the property owner disagrees with the REU category or the calculation, they can request a formal review by completing an REU revaluation request form. This process allows for corrections and ensures that accounts are billed appropriately. A form must be completed for each utility billing account. Please see REU revaluation request form.
2022 Sewer and Water Rate Survey, https://epa.ohio.gov/divisions-and-offices/environmental-financial-assistance/reports-and-data/sewer-and-water-rate-survey
Water and Wastewater Rates Dashboard; University of North Carolina, Environmental Finance Center https://dashboards.efc.sog.unc.edu/oh
US Water Use Intensity by Property Type; https://www.energystar.gov/buildings/tools-and-resources/us-water-use-intensity-property-type-technical-reference
EPA How We Use Water; https://www.epa.gov/watersense/how-we-use-water#:~:text=The%20average%20American%20family%20uses,in%20more%20water%2Dintensive%20landscapes.