HomeMy WebLinkAbout2025 Rate Increase Notice - Construction Water ServiceDear Customer,
On October 5, 2022, the Otay Water District’s (District) Board of Directors adopted a five-year schedule of maximum
water rates in compliance with applicable provisions of the law. Consistent with that rate schedule, and as part of the
annual budget adoption process completed in June 2024, the District approved implementing a water rate increase to
proportionately recover the increasing costs from the District’s wholesale water providers (Metropolitan Water District
of Southern California and San Diego County Water Authority) and energy provider (San Diego Gas & Electric). The
District operates as a revenue-neutral agency and is obligated to pass through any cost increases imposed by its
wholesale water and energy providers. To offset these wholesale water and energy provider increases, along with all
other cost increases, the District will raise its rates by 12.7%, effective for billings starting January 1, 2025. Depending
on your billing cycle, the new rates and charges will apply to water used as early as the beginning of December
2024. This letter serves as a 30-day notice of the rate increase.
The District is a not-for-profit public agency that provides
water service to the community. As a governmental entity,
the District does not make a profit from providing water
service and cannot operate at a loss. Water bills reflect only
those rates, fees, and charges sufficient to support water
service. To continue providing reliable service, the District
must implement and pass through to its customers the full
cost of providing water service, including cost increases
imposed by the District’s water and energy suppliers.
This rate increase is necessary to cover the increasing cost
of purchasing water from the District’s water suppliers. The
San Diego County Water Authority (CWA) has raised its
rates to the District by 14% primarily due to:
The detachment of the Rainbow Municipal Water
District and the Fallbrook Public Utility District from
CWA.
Increased costs from its supplier, the Metropolitan
Water District of Southern California (MWD), largely
due to the increased cost of importing water from
Northern California and the Colorado River.
Higher costs for a drought-proof water supply, such as
the costs to produce water from the Carlsbad
Desalination Plant.
Increasing costs from the District’s energy provider, San
Diego Gas & Electric (SDG&E), are also adding to the
increasing cost of providing water service.
The bar graph on the right illustrates the factors contributing
to the rate increase.
Customers interested in learning how 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 District works to minimize rate impacts of its internal costs and implements cost-efficiency measures to 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.
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
Notice of Construction
Water Rate Increase
Dedicated to Community Service
NOTICE OF WATER RATES, FEES, AND CHARGES FOR
WATER BILLED BEGINNING IN JANUARY 2025
The tables below show the itemized charges that are used to determine a monthly water bill1. 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 Rates2 (per unit)
Units Current New
All Units $6.73 $7.40
Monthly Fixed Charges3
Meter Size System Charges MWD/CWA Total System Charges MWD/CWA Total
3/4"$17.65 $17.19 $34.84 $19.41 $21.37 $40.78
1"$21.27 $28.65 $49.92 $23.39 $35.61 $59.00
1 1/2"$30.60 $57.27 $87.87 $33.65 $71.19 $104.84
2" $41.61 $91.62 $133.23 $45.76 $113.89 $159.65
3" $87.83 $200.43 $288.26 $96.60 $249.15 $345.75
4" $147.87 $360.77 $508.64 $162.63 $448.47 $611.10
6" $289.63 $801.71 $1,091.34 $318.54 $996.61 $1,315.15
8" $446.42 $1,374.34 $1,820.76 $490.98 $1,708.44 $2,199.42
10" $684.13 $2,176.04 $2,860.17 $752.42 $2,705.04 $3,457.46
Current New
Other Charges
Units Current New Service Size Current New
All Units $0.075 $0.109 3/4"$2.77 $3.05
1"$2.85 $3.13
1 1/2"$3.13 $3.44
2"$3.59 $3.95
3"$5.31 $5.84
4"$8.25 $9.07
6"$18.83 $20.71
8"$37.08 $40.78
10"$64.51 $70.95
Fire Service System Charges5Energy Charges4
Footnotes
1. The District's total rate increase is 12.7%. This rate increase is 84% attributable to increased charges passed through from wholesale water and energy
suppliers.
2. This per unit charge is based on the units of consumption. One unit of consumption equals 748 gallons of water or one HCF (hundred cubic feet).
Customers outside the service area or Interim Users, as defined in Section 25 of the District’s Code of Ordinances, will pay a usage fee equivalent to two
times the listed usage fee, plus any additional fees associated with their respective customer class.
3. The Fixed Charges, based on meter size, ensure that customers pay their proportionate share of the water system’s 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.
4. The Energy Charge represents the cost of energy required to pump each unit of water 100 feet in elevation. This charge is applied proportionately for
every 100 feet elevation over 450 feet.
5. Fire Service requires a separate meter and is a monthly fee based on service size.
This information reflects only changes to rates. For a comprehensive listing, see the Otay Water District’s
Code of Ordinances at otaywater.gov.