Mar 28, 2011

Ohana Units contribute $1.6M in BWS fees

How much $$ do existing Ohana Units contribute to Honolulu?

As per Dept of Planning & Permitting's records, there are 2,000 legal Ohana Units on Oahu.
In FY2010 to 2011, BWS fees are $68.39 per dwelling unit, not counting usage fees.

2,000 Ohana units x $68.39 per dwelling unit = $136,780 x 12 months = $1.6M each year

Existing Ohana Units generate $1.6 Million/year in recurring BWS fees. If Honolulu had not legalized Ohana dwelling units in the 1980's we would have less revenue coming in to help pay for our water service and would all have to pay a proportionally higher share.

Or said a different way – in addition to improving Housing Affordability, Accessory Dwellings could help stabilize our rising utility bills and supplement gov’t revenue, without raising tax rates. Also, illegal dwellings further burden our city infrastructure and are a huge source of revenue – lost.

The above estimate does not include the one-time Sewer Charge or the one-time fee paid for adding plumbing fixtures. Those are added revenue to the utilities and/or county that vary depending on how many fixtures are added and when the Unit is built. Adding those amounts in the calculation would raise the revenue generated by Accessory Dwellings substantially; however, those are not recurring sources of revenue.