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HomeMy WebLinkAbout2011 Rate Increase Notice - Residential Sewer ServiceNotice of Residential and Multi-Residential Sewer Rate Increase Otay Water District 2554 Sweetwater Springs Blvd. Spring Valley, CA 91978 619-670-2777 www.otaywater.gov NOTICE OF INCREASED SEWER RATES AND CHARGES EFFECTIVE ON SEWER SERVICE BEGINNING IN JANUARY 2011 Dear Customer, An overall rate increase of 6.8% was approved by the Otay Water District’s (the “District”) Board of Directors as part of the annual budget adoption process completed in May, 2010. The new sewer rates and charges will apply to service billed beginning February 1, 2011 and, depending on your billing cycle, may apply to service as early as the beginning of January, 2011. For a typical residential sewer customer whose water usage is approximately 15 units per month, your sewer bill will increase by $2.18 per month. This letter serves as a 30-day notice of rate increases. The District is a revenue neutral public agency. Your sewer bill reflects only those charges suffi- cient to support your sewer service. To continue providing sewer services, the District must imple- ment certain rate increases and must pass-through higher costs to its customers from the District’s sewage treatment and disposal providers, including the City of San Diego and the County of San Diego. On August 24, 2009, the District adopted a five-year schedule of rates in compliance with appli- cable provisions of law. The rate increases herein noticed reflect a pass-through increase of 6.8%. One hundred percent of this increase is the result of higher service rates from the City of San Diego and the County of San Diego. The sewer rate increase is within the limits contemplated in the five-year schedule of rates. For its part, the District has worked diligently to reduce internal costs to minimize the impact of higher costs from sewage treatment providers. The chart below shows how the District’s sewer rates compare to other agencies in San Diego County. For more information, please visit www.otaywater.gov or contact us via email at info@otaywater.gov. * Otay’s rate includes debt and availability charges that are collected on the property tax bill. A typical bill is based on 12.75 HCF of water (15 - 2.25 HCF). This 15% discount is an acknowledgement that all water purchased does not go to the sewer system. The maximum bill for a 3/4” meter is $61.70. The maximum bill for a 1.0” meter (based on 30 HCF or units per month, after the 15% discount) would be $67.00. New customers will have a Winter Average assigned of 15 HCF and pay $32.87 per month until a Winter Average can be established. Residential Sewer Rate Increase Multi-Residential Meter Size Current New 3/4" $10.80 $11.57 1.00" $15.75 $16.87 Usage Fee $1.56 $1.67 Usage Fee Base Fee Total Current $19.89 $10.80 $30.69 New $21.30 $11.57 $32.87 The total sewer bill for multiple residential customers is calculated just like a residen- tial customer with the exception that the base fee is multiplied by the number of dwell- ing units, and the Winter Average, after being reduced by 15%, has no maximum. Multi-Residential accounts are charged $54 per dwelling unit for sewer debt. The monthly sewer service charge for a typical single-family residential customer with either a 3/4” or 1” water meter and a Winter Average of 15 HCF (hundred cubic feet or one unit) will be calculated as follows: Usage Fee Rate x Winter Average + a Monthly Base Fee This information reflects only changes to rates. For a comprehensive listing of rates, please see the Otay Water District’s Code of Ordinance at www.otaywater.gov.