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Citrus Heights Water District votes 3-0 for new water rates, fees

Sentinel staff report–
The Citrus Heights Water District’s board of directors on Wednesday voted unanimously to approve a new $10 fee to be added to customer water bills, along with various other water rate and fee increases.

The new $10.05 fee approved by the board will go towards the district’s new “Project 2030” plan, which seeks to replace aging water mains throughout the district. The board also approved a $4.04 increase in the bi-monthly service charge rate for a typical 1-inch meter, along with a one cent increase in the rate per 748 gallons of water delivered.

Director Ray Riehle told The Sentinel in an email update on Saturday that the “most significant component” in this year’s budget was Project 2030, which was developed with the aid of a Customer Advisory Committee over a several year period.

“It is a common complaint that most public agencies don’t have a real and effective plan for long term infrastructure repair and maintenance,” said Riehle. “Project 2030 will ensure that future boards have the resources (money and employees) in place to maintain delivery of safe and affordable water to all of our customers for the next 100 years.”

The district says Project 2030 addresses the need to fund replacement of old water mains that were primarily installed between 1960 and 1985, and have a useful life of about 70 years before becoming prone to failure and costly emergency repairs.

As previously reported, funding for the plan includes a mix of pay-as-you go funding, pre-funding, and debt financing, to cover the cost of major infrastructure replacement. General Manager Hilary Straus in a video update last month described the funding plan as a way to ensure “intergenerational equity,” which he said allows for the “burden of funding the water main replacement program [to be] equitably distributed across both current as well as future customers.”

Wednesday’s vote came following a sparsely attended public hearing where Riehle said five people spoke, with four in support and one in opposition to the budget. A handful of letters of protest were also received and included in the board’s agenda packet.

Riehle noted that every water district customer was sent a legally required Prop 218 notice about the proposed fee increases in advance of the public hearing. “With such a small percentage of formal opposition I think we must be doing a good job or the people of the district simply don’t care,” he said.

Fee increases are slated to go into effect on Jan. 1, 2022. A revised Water Shortage Fee Schedule was also passed by the board, but the authorized increases of 10-50% in water rates will not go into effect unless deemed necessary by the board at a future date to respond to drought conditions.