CLEARLAKE OAKS >> A water and sewer fee rate increase was approved by the Clearlake Oaks County Water District (COCWD) Board of Directors after a public hearing was held Thursday. If it passes a second reading, set for Friday, the hikes will go into effect.
The purpose of the hearing was to garner public input and feedback to determine if the district’s water and sewer billing procedure should change from being solely based on active accounts to one including all service connections. Upon approval, a tiered system will be used to promote conservation, and rates will increase annually until reserves are funded, which is expected reached in 40 years.
Money from the rate increase will be used for capital improvements and infrastructure updates.
According to a report by the California Rural Water Association’s Specialized Utility Services Program reviewing the water rate increase, three areas were identified as needing infrastructure improvements, which are the water treatment plant, transmission lines, vehicles, as well as pumps and tanks and equipment.
“These are all existing parts of the infrastructure, and to date there are very little reserves for these components,” the report states.
Improvements needed in the water system stem from aging equipment, which was originally installed in the 1960s.
COCWD General Manager Matt Bassett said the state is “happy we have taken a proactive approach … and not just waiting for stuff to break before we fix it.”
Approximately 50 people were in attendance to voice their support or disapproval of the increase.
“The biggest change is the fact that we are changing from meter size to anyone connected to the system,” Bassett said.
Customers who don’t reside at their house all year voiced concerns about the cost of the rate increase.
“They won’t be paying for consumption, just for maintenance,” Bassett explained.
Current residential base rates for water and sewer are $32.36 and $45.93, respectively. However, if into effect, base rates will increase by three percent each year for the next four years.
Additionally, $2 will be included for capital improvements.
In the first year, the residential base water rate will increase to $37.87 and will eventually rise to $47.56 in 2018. The base residential sewer rate will increase to $53.30 in the first year, reaching a total of $64.42 by 2018.
Furthermore, water usage rates will increase by 3 percent each year. Currently, usage rates are $1.26 for each 100 cubic feet of water up to 1,500; $1.45 for each 100 cubic feet from 1,501 to 2,000 and $1.94 for each 100 cubic feet used more than 2,000. New rates would be effective starting in July and will be evaluated annually.
“The rates will be reviewed annually, since we are not-for-profit if we are making to much, we are required by law to reduce the rate,” Bassett said.
Reducing the rate would not require the same process as raising it.
“It gives us the freedom to make whatever adjustments we need,” Bassett said.
The fee increase was unanimously approved with a 5-0 vote.
A second reading of the rate increase ordinance will be held at 10 a.m. Friday at the COCWD administration building, which is located at 12952 Highway 20 in Clearlake Oaks.
Contact J. W. Burch, IV at 900-2022.
