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HomeMy WebLinkAbout2022 Rate Increase Notice - Multi-Residential Water 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 91978-2004 619-670-2222 otaywater.gov Dedicated to Community Service Notice of Multi-Residential Water Rate Increase NOTICE OF WATER RATES, FEES, AND CHARGES FOR WATER BILLED BEGINNING IN JANUARY 2022 Dear Customer, As part of the annual budget adoption process completed in June 2021, the Otay Water District (the “District”) approved an overall average water-rate increase of 4.2 percent. The new water rates and charges will apply to water billed beginning January 1, 2022. Depending on your billing cycle, the new rates and charges will apply to water used as early as the beginning of December 2021. This letter serves as a 30-day notice of rate increases. On October 4, 2017, the District’s Board of Directors adopted a five-year schedule of water rates in compliance with applicable provisions of the law. This increase is within the limits approved in the five-year schedule of rates. The District is a revenue-neutral public agency that provides water service to your community. “Revenue-neutral” means that water bills reflect only those rates, fees, and charges sufficient to support water service. To continue providing reliable high-quality service, the District must implement rate increases and pass-through to its customers the higher costs from water suppliers. The current increase is a direct result of higher costs from the District’s water suppliers, which include the Metropolitan Water District of Southern California (MWD), San Diego County Water Authority (CWA), and the City of San Diego. This rate increase is necessary to cover the increasing cost of purchasing water from the District’s water suppliers. The District’s wholesaler supplier, CWA, has raised its rates primarily due to increasing rates from its supplier, MWD, and the higher costs of a drought-proof water supply. These increased costs are largely due to the increased cost of importing water from Northern California and the Colorado River, and the costs to produce water from the Carlsbad Desalination Plant. The District works to minimize rate impacts of its internal costs and it implements cost- efficiency measures that help limit the impact of higher rates from suppliers. The District’s goal is to remain among the lower cost water service providers in San Diego County. For more information about District-wide efforts to streamline operations, visit otaywater.gov or email info@otaywater.gov. Customers interested in learning ways to reduce their water use to minimize the effects of this rate increase can visit the District’s conservation and rebate pages at otaywater.gov. The District provides information on rebates, incentives, water audits, and other resources to help customers save water. Additionally, the Water Conservation Garden located in Rancho San Diego is open to the public and offers various conservation exhibits, programs, and classes in person and online. For more information about the Water Conservation Garden, visit thegarden.org. The tables below show the itemized charges that are used to determine a monthly water bill. Your bill will vary based on meter size, water consumption in units, and geographic location. Si requiere asistencia en español con referencia a esta notificación, favor de llamar al 619-670-2222. Water Rates (per unit) Other Charges Footnotes This information reflects only changes to rates. For a comprehensive listing, see the Otay Water District’s Code of Ordinances at otaywater.gov. 1. Consumption is the water usage divided by the number of dwellings served. This cost varies based on water usage and can be calculated using the consumption block tables. One unit of consumption equals 748 gallons of water or one HCF (hundred cubic feet). The following example depicts the monthly variable water consumption charge based on a multi-residential property with 22 dwellings served and monthly usage of 121 HCF, or 5.5 HCF per dwelling (121 HCF ÷ 22 dwellings = 5.5 HCF per dwelling): 2. The Fixed Charges, based on meter size, ensure that customers pay their proportionate share of the water system replacement, maintenance, and operating expenses. MWD and CWA charges are based on meter size and match, in total, the cost charged by wholesale water suppliers. 3. The Energy Charge represents the cost of energy required to pump each unit of water 100 feet in elevation. This is charged proportionately for every 100 feet of elevation over 450 feet. 4. The Government Fee is a per unit charge, as a result your bill will vary based on water consumption. This charge is in lieu of tax revenues paid by nongovernment customers. 5. Fire Service requires a separate meter and is a monthly charge based on service size. Meter Size System Charges MWD/CWA Total System Charges MWD/CWA Total 3/4"$42.38 $16.36 $58.74 $44.17 $17.00 $61.17 1"$59.84 $30.38 $90.22 $62.37 $31.57 $93.94 1 1/2"$103.55 $68.67 $172.22 $107.92 $71.36 $179.28 2" $155.94 $116.81 $272.75 $162.53 $121.39 $283.92 3" $295.73 $248.44 $544.17 $308.22 $258.17 $566.39 4" $453.03 $397.83 $850.86 $472.17 $413.41 $885.58 6" $890.03 $814.38 $1,704.41 $927.63 $846.28 $1,773.91 8" $1,414.36 $1,315.14 $2,729.50 $1,474.12 $1,366.65 $2,840.77 10" $2,026.07 $1,892.97 $3,919.04 $2,111.67 $1,967.12 $4,078.79 Current New Monthly Fixed Charges2 Current New Energy Charge3 (per unit) $0.063 $0.063 Government Fee4 (per unit) $0.42 $0.43 Fire Service5 ≤ 3" (monthly) $23.03 $24.00 Fire Service5 ≥ 4" (monthly) $31.03 $32.34 Consumption Blocks Current New 0 - 4 $3.16 $3.29 5 - 9 $5.73 $5.97 10 or more $7.05 $7.35 Multi-Residential Water Rates1