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HomeMy WebLinkAbout2022 Rate Increase Notice - Commercial Sewer Service Si requiere asistencia en español con referencia a esta notificación, favor de llamar al 619-670-2222. Otay Water District 2554 Sweetwater Springs Blvd. Spring Valley, CA 91978 619-670-2222 otaywater.gov Notice of Commercial and Industrial Sewer Rate Increase NOTICE OF SEWER RATES, FEES, AND CHARGES EFFECTIVE FOR SEWER SERVICE BILLED IN JANUARY 2022 Dear Customer, As part of the annual budget adoption process completed in June 2021, the Otay Water District (District) approved an overall sewer-rate increase of 4.9 percent for calendar year 2022. The new sewer rates, fees, and charges will apply to service billed beginning January 1, 2022. Depending on your billing cycle, the new rates and charges will apply to sewer service as early as the beginning of December 2021. This letter serves as a 30-day notices of rate increases. On October 7, 2020, the District adopted a five-year schedule of sewer rates in compliance with applicable provisions of law. This increase on sewer rates, fees, and charges is within the limits of the approved five-year schedule of rates. The District is a revenue-neutral public agency. Your sewer bill reflects only those charges sufficient to support your sewer service. To continue providing sewer service, the District must adjust its rates, fees, and charges for service, and pass-through costs from the District’s power, treatment, and disposal providers to its customers that reflect the full cost of providing the service. Power is provided by San Diego Gas and Electric. Treatment and disposal providers include, but are not limited to, the County of San Diego (County) and the City of San Diego. This year, the increase is a direct result of ongoing shared operation, maintenance, and capital improvement cost increases by the County, and the District’s funding of a rate-stabilization reserve to strengthen its ability to meet its debt covenant requirements. The District’s costs include inspection and preventative maintenance of the public sewer system and replacement of aging sewer infrastructure. These actions protect the public’s investment in the public sewer system, minimize maintenance costs, reduce the possibility of pipeline breaks, blockages, or spills, and keep sewer rates affordable. The District works diligently to reduce internal costs and continues to be one of the lowest cost sewer service providers in San Diego County. For more information about the District, please visit otaywater.gov, email info@otaywater.gov, or call 619-670-2222. Dedicated to Community Service INDUSTRIAL SEWER SERVICE Sewer Rates (per unit) Current New Low-Strength3 $2.96 $3.11 Medium-Strength $3.37 $3.54 High-Strength $4.75 $4.98 System Charges (monthly) Meter Size Current New .75” $16.55 $17.37 1” $41.36 $43.41 1.5” $82.71 $86.80 2” $132.33 $138.88 3” $248.13 $260.41 4” $413.55 $434.02 6” $827.09 $868.03 8” $1,323.36 $1,388.87 10” $1,902.34 $1,996.50 Si requiere asistencia en español con referencia a esta notificación, favor de llamar al 619-670-2222. Commercial and Industrial Sewer Service Bill Calculation The District is required to determine sewer rates in accordance with the State’s Revenue Program Guidelines. The State Water Resources Control Board (SWRCB) has grouped commercial customers into various categories and has identified Strength Factors for each of these business categories. The standard of measure for Strength Factors is the typical sewer strength of a single-family residence (SFR). The Strength Factors established by the SWRCB are listed below and are used by the District in the calculation of commercial sewer rates. These factors are in terms of the strength relative to an SFR, with an SFR having a strength factor of one. (Average Annual Consumption1 x 85%2 x Sewer Rate) + System Charges = Total Monthly Bill Rates and Charges Footnotes This information reflects only changes to rates. For a comprehensive listing of rates, please see the Otay Water District’s Code of Ordinances at otaywater.gov. 1. The Average Annual Consumption is defined as the total number of units of water billed from January through December of the previous year divided by 12. 2. A 15 percent usage discount is applied to all sewer customers to acknowledge that not all water purchased goes through the sewer system. 3. Schools and churches are categorized as low-strength commercial customers.