HomeMy WebLinkAbout2016 (March) Rate Increase Notice - Residential Water ServiceNotice of Residential
Water Rate Increase
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley, CA 91978-2004
619-670-2222 www.otaywater.gov
NOTICE OF INCREASED WATER RATES AND CHARGES EFFECTIVE
FOR WATER BILLED IN MARCH 2016
Dear Water Customer,
The City of San Diego recently increased the rate they charge for recycled water 116 percent
effective January 1, 2016. The City of San Diego is a supplier of recycled water to the Otay Water District
(the “District”). District officials, as well as many South Bay and East County leaders, vigorously fought
this rate increase. As a revenue-neutral public agency, the District is now increasing its rates and passing
through to its customers the higher costs imposed by the City of San Diego.
An overall average rate increase of 4.1 percent will be passed through to customers beginning March
1, 2016. For a typical single-family residential water customer, your water bill will increase by $3.07 per
month. Depending on your billing cycle, the new rates and charges will apply to water used as early as
February 1, 2016. More than two-thirds of this rate increase is due to the City of San Diego’s action. The
remaining third is due to reduced water sales as a result of the drought and the high level of conservation
in response to the Governor’s call to reduce water use by 20 percent. This letter serves as a 30-day
notice of rate increases.
Because recycled water diversifies local water supplies and provides an alternative to using potable
water, particularly in times of drought, everyone benefits from the use of recycled water including potable
water customers. As a result, potable and recycled water rates are calculated in a combined manner and
potable water rates are impacted by higher recycled water rates from suppliers.
On September 4, 2013, the District 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.
While the District continues to cut costs and optimize effectiveness to minimize passing through
higher rates to customers, including reducing the number of fulltime employees 21 percent, company
vehicles and equipment 17 percent, and cutting fuel consumption 36 percent, as well as instituting
automation and technology measures that since 2007 have resulted in nearly $24 million in savings, these
actions alone cannot mitigate the 116 percent rate increase imposed by the City of San Diego.
Customers interested in reducing
their water use to minimize the
impact of this rate increase can visit
the District’s Conservation pages
located online at www.otaywater.gov.
The District provides information on
rebates, incentives, water audits,
plus other resources to help you
save water. In addition, the Water
Conservation Garden located in
Rancho San Diego is free to the
public and has water conservation
exhibits, resources and classes to
help you save water. Please visit
their website at www.thegarden.org.
Customers wanting more
information about the City of San
Diego’s recycled water rate increase
can visit www.fairwatersd.com.
Si gusta assistencia en Español, referente a esta notificacion, favor de llamar al 619-670-2222.
Dedicated to Community Service
Otay’s estimate
using average
rate increase
Single Family Consumption Blocks
(Units or HCF)2 Current New
Conservation Tier3 $1.99 $2.13
6 - 10 $3.10 $3.32
11 - 22 $4.03 $4.32
23 + $6.20 $6.65
Footnotes
Typical Bill at 13 HCF2 (or Units) of Water per Month
MWD/CWA1 System Fee1 Water Rate2 Energy
Charge4 Total5
Current $16.84 $18.91 $43.09 $3.03 $81.87
New $16.84 $18.91 $46.16 $3.03 $84.94
Increase in monthly water bill: $ 3.07
Your bill will vary based on meter size, water consumption in units, and geographic location.
1. These fees vary based on the meter size.
This example uses a 3/4” residential meter.
2. 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).
3. The Conservation Tier discount applies
toward the first five units when overall
consumption is ten units or less.
4. 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 foot of elevation over 450 feet.
5. Charges collected through the property
tax role (availability fees and general
obligation debt) are not included in this
total.
This information reflects only changes to rates. For a comprehensive listing, please see the
Otay Water District’s Code of Ordinances at www.otaywater.gov. Prolonged drought
conditions or declared water shortages may impact rates.
Si gusta assistencia en Español, referente a esta notificacion, favor de llamar al 619-670-2222.
New Rates by Consumption Block