Why the Affordable Water Now Package Is the Only Path to Real Water Affordability

For years, communities across the country have relied on water assistance programs to help families keep the tap running, but assistance alone has never solved the deeper problem of unaffordable water for struggling families. Nowhere is this more evident than in Detroit. Even with the launch of Lifeline in August 2022, a well-intentioned effort designed to stabilize households facing shutoffs, thousands of families still struggled under the weight of rising bills, aging infrastructure, and a system that was never built to account for household income. Detroit’s experience makes one thing very clear: temporary help through water assistance is not the same as lasting affordability.

At Lifeline’s peak, nearly 30,000 households were enrolled in the program. Residents enrolled in the program paid as little as $18 per month, compared with typical bills of around $80 (Detroit Free Press). Even then, the relief was only partial as Lifeline capped water usage at about 4,500 gallons per month, and any excess was billed at full rates (City of Detroit). 

The average American uses around 82 gallons of water per day. This means a family of four would use around 10,000 gallons of water in a 30-day period. (US Environmental Protection Agency)

Meanwhile, the underlying crisis was enormous. More than 60,000 Detroit households—an estimated 27% of Detroit’s residential customers—had past-due water bills, averaging $700. Some residents owed as much as $10,000 due to increasing water rates and prolonged inability to pay their water bills (The Conversation).

Unaffordable water bills aren’t just a Detroit problem, and they don’t stop at city limits. Families in rural townships, suburban neighborhoods, and urban centers across the United States are struggling to keep up with rising water costs. When households fall behind, water is turned off, and the consequences ripple far beyond the bill itself. Children can be removed from their homes, students are unable to learn because they are dehydrated, adults miss work for lack of a shower or the ability to wash their clothes, and entire communities face increased public-health risks and economic strain. In many Michigan communities, utilities have stopped shutting water off altogether and instead send overdue bills to collections, a practice that can push families into eviction and homelessness, requiring far more intensive social-service support down the line.

Against this backdrop, lawmakers in Lansing have introduced two very different approaches to address the crisis. While both legislative packages aim to support households struggling with their water bills, only one would make water truly affordable. 

The Water Bill legislative package, introduced in the Senate, is modeled on Detroit’s Lifeline program, a program that Detroit itself has shown cannot scale statewide. Even supporters of the Senate package acknowledge that only 39% of Michigan households at 200% of the Federal Poverty Level (FPL) would be able to access its benefits. The way the program is funded is also a major problem. Customers across the state would pay an extra monthly fee—starting at $1.25 and capped at $3—which is collected into a shared pool and then distributed to help lower some water bills. But once that money runs out, so does the assistance.

The Water Bill legislative package plan also imposes strict water-use limits tied to household size. If a family uses more than the allotted volume - due to medical needs, larger households, or simply daily living - they lose the discount entirely and must pay the full bill.

The Affordable Water Now legislative package (House Bills 4555, 5170–5173) takes a fundamentally different approach. Instead of offering temporary discounts, it adjusts water rates for households at or below 200% of the federal poverty level. This ensures families pay only what they can reasonably afford and does not punish them for using the water they need. It also gives communities the flexibility to determine how best to fund the program. 

Simply put, the Affordable Water Now legislative package, introduced by Representatives Emily Dievendorf (D-Lansing), Jimmie Wilson (D-Ypsilanti), Cynthia Neeley (D-Flint), Dylan Wegela (D-Garden City), and Noah Arbit (D-West Bloomfield), would create a statewide water affordability program that would provide:

• Income-Based Water Billing: This approach adjusts water bills using a sliding scale relative to FPL and household income, ensuring water costs are manageable and everyone pays their fair share. 

• Debt Forgiveness: Offers full debt forgiveness for customers who keep up with their adjusted bills, alleviating financial stress on households and preventing costly water shutoffs.

• Water Shutoff Protections: Protects enrolled customers from water shutoffs and households with minors, pregnant individuals, seniors, or those with medical needs. Limited renter protections included.

• Data Transparency: Requires drinking water, sewerage, and stormwater providers to file detailed annual reports and maintain public websites to ensure transparency, accountability, and equitable access to services.

  
  

Michigan has a once-in-a-generation opportunity to finally fix a broken system and ensure that every family—no matter their ZIP code, income, or circumstance— can count on safe, affordable water. The Affordable Water Now legislative package offers real, lasting change with a fair billing structure, protections for vulnerable households, and the dignity of knowing that basic needs will not be compromised when times get tough. This is the kind of structural solution our families, our communities, and our economy deserve. Now is the time to act. We must urge lawmakers to champion and pass the Affordable Water Now package so Michigan can lead the nation in ensuring that water is not a luxury, but a basic need that every household can afford today, tomorrow, and for generations to come.

Call your legislators today and urge them to support the Affordable Water Now legislative package by becoming a co-sponsor.