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HomeMy WebLinkAbout2021 Rate Increase Notice - Business and Publicly-Owned 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 WATER RATES, FEES, AND CHARGES FOR WATER BILLED BEGINNING IN JANUARY 2021 An overall average rate increase of 2.9 percent was approved by the Otay Water District (the “District”) as part of the annual budget adoption process completed in June 2020. The new water rates and charges will apply to water billed beginning January 1, 2021. Depending on your billing cycle, the new rates and charges will apply to water used as early as the beginning of December 2020. 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 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 and energy suppliers. The current increase is a direct result of higher costs from the District’s suppliers, which include the Metropolitan Water District of Southern California (MWD), San Diego County Water Authority (CWA), City of San Diego, and San Diego Gas & Electric. Rate increases are 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 costs to produce water from the Carlsbad Desalination Plant. The District works to minimize rate impacts of its internal costs and it implements 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. 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 on the campus of Cuyamaca Community College in Rancho San Diego is open to the public and offers various conservation exhibits, programs, and classes in person and online. For more about the Water Conservation Garden, visit thegarden.org. Notice of Business and Publicly-Owned Water Rate Increase 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 Rate1 (per unit) Other Charges Footnotes 1. 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). 2. The Fixed Charges, based on meter size, ensure that customers pay their proportionate share of the water system replacement, maintenance, and operating expenses. The MWD & 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. This increase is due to increased power costs to the District. 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 non-government customers. 5. Fire Service requires a separate meter and is a 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. Meter Size System Charges MWD/CWA Total System Charges MWD/CWA Total 3/4" $39.08 $15.56 $54.64 $39.92 $16.36 $56.28 1" $55.19 $28.89 $84.08 $56.37 $30.38 $86.75 1 1/2" $95.50 $65.31 $160.81 $97.54 $68.67 $166.21 2"$143.82 $111.10 $254.92 $146.90 $116.81 $263.71 3"$272.73 $236.29 $509.02 $278.57 $248.44 $527.01 4"$417.79 $378.38 $796.17 $426.73 $397.83 $824.56 6"$820.82 $774.56 $1,595.38 $838.39 $814.38 $1,652.77 8"$1,304.36 $1,250.83 $2,555.19 $1,332.27 $1,315.14 $2,647.41 10"$1,868.46 $1,800.41 $3,668.87 $1,908.45 $1,892.97 $3,801.42 Current New Units1 Current New All Units $3.92 $4.00 Current New Energy Charge3 (per unit)$0.060 $0.063 Government Fee4 (per unit)$0.42 $0.42 Fire Service5 ≤ 3" (monthly)$22.55 $23.03 Fire Service5 ≥ 4" (monthly)$30.38 $31.03 Monthly Fixed Charges2