The District Adopts New Water Rates & Service Charges
A Public Hearing on Proposed Water Rate Adjustments was held on October 15, 2018. After the close of this hearing, the District's Board of Directors approved Resolution No. 254 adopting new water use rates and service charges. The adjustments/increases in rates will be implemented in five phases, beginning with the first billing cycle after October 15, 2018, and additional increases effective on the first billing cycle after October 15th of each succeeding year (i.e. October 15, 2019, October 15, 2020, October 15, 2021 and October 15, 2022).
As part of an ongoing commitment to responsible planning, the District completed a study of its rates and fees to ensure they are adequate to support the cost of providing service. This independent cost-of-service study determined that rate adjustments are necessary to generate additional revenue needed to offset increases in the cost of producing groundwater and the costs for operations, maintenance and improvements to the District’s water system. As a result, the District’s Board of Directors adopted a plan to adjust water rates over a five-year period. On August 25, 2018, a notice of proposed adjustment to water rates and charges were mailed to all property owners within the District's service area. The notice provided information on the Public Hearing that was held on October 15, 2018, on the proposed water rate adjustments. After complying with current laws governing the setting of water rates, including but not limited to, Article 13D, Section 6 of the California Constitution (“Proposition 218”), the Board of Directors approved Resolution No.254 adopting new water use rates and service charges. The main cost factors that necessitate the adjustments in water rates are provided below:
COST OF WATER – The District is fortunate to have rights to a local groundwater source in the Main San Gabriel Basin. Anything we pump over our allotment must be replaced to maintain healthy water levels in the basin – either by leasing rights or purchasing imported water. The cost of this water has increased by over 23 percent in the last four years.
GROUNDWATER MANAGEMENT – In addition to the cost of water increases, a new groundwater pumping assessment has been put into effect by the Main San Gabriel Watermaster in order to secure additional water resources to maintain water levels in the Basin. Although necessary, this assessment will have a large cost impact on all water providers that pump groundwater in the San Gabriel Valley.
CAPITAL INVESTMENTS – The District continuously invests in capital improvement projects that improve the performance of the water system or extend the life of existing facilities and equipment to avoid more expensive emergency repairs. Recommended improvements have been identified in the District’s recently updated 10-year Water Master Plan, which prioritizes projects based on their benefit.
For further information on the water rate adjustments, please refer to documents below: