The Rancho Santa Fe Post

May Water News.. From the Desk of Marlene King S.F.I.D Director, Div. 3

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Let's take a closer look at our water rates.

 

The April 13th RSF Review article, “RSF Association forms committee on water rates,” has renewed examination of the three-year rate increase approved May 2016, on a 3-2 vote, by the S.F.I.D. Board. You may recall that the three year rate increase structure was based on the District requiring 9%, 9%, 9% revenue increases for years 2016 – 2018.

After comments were made during the April 20, 2017 S.F.I.D. Board meeting - that the second and third year of the rate increase eliminated percentage differences from the year one rate increase - I decided to pull out my calculator, run some numbers, and take a look at the second year rate increase percentages. (I am unable to accurately project 2018 rate increase percentages, because the San Diego County Water Authority has not released its final cost increases, effective January 2018.)

The following Single Family Residence rates are total costs … fixed meter and water usage costs:

 

Meter Size
# of Units
2015 Rate
2016 Rate
2017 Rate

3/4"
5
$71.97
$85.85 (20% increase)
$92.55 (8.25% increase)

3/4"
15
$98.97
$107.05 (8.2% increase)
$115.55 (8% increase)

3/4"
50
$233.37
$222.56 (-4.5% decrease)
$244.23 (9.6% increase)

3/4"
120
$502.17
$542.46 (8% increase)
$605.43 (11.5% increase)

3/4"
150
$617.37
$679.56 (10.2% increase)
$760.23 (12% increase)

1"
50
$267.83
$267.88 (5 cents increase)
$293.01 (9.4% increase)

1"
150
$651.83
$724.88 (11.2% increase)
$809.01 (11.5% increase)

1"
250
$1035.83
$1242.76 (20% increase)
$1267.43 (12.5% increase)

1 1/2"
50
$354.00
$380.64 (7.5% increase)
$414.36 (8.8% increase)

1 1/2"
150
$738.00
$837.64 (13.5% increase)
$930.36 (11% increase)

1 1/2"
400
$1753.00
$2156.52 (23% increase)
$2420.11 (12.3% increase)

2"
50
$457.39
$518.82 (13.5% increase)
$562.97 (8.5% increase)

2"
150
$841.39
$975.82 (16% increase)
$1078.97 (10.3% increase)

2"
300
$1417.39
$1760.70 (24.3% increase)
$1967.71 (11.7% increase)

2"
500
$2295.39
$2828.70 (23.3% increase)
$3169.72 (12% increase)

 

** 34% of Single Family Residence customers fall within the sweet spot of ¾” meters/50 units usage. Approximately one-third of the SFR customer base (¾” meters/ 50 units usage) had a combined rate increase of less than 5% when comparing their 2015 rate to their 2017 rate.


 

April 20, 2017 S.F.I.D. Board meeting action: The first draft of the 2018 FY Budget was presented. The District is projecting an 8% increase in water demand over FY 17. The addition of a new employee, to do electrical work at the treatment plant, was proposed for the budget; the cost of this proposed employee will be shared with San Dieguito Water District. Due to local water availability, FY18 will be the first time, in two years, that the 2.6 million contribution to the Capital Improvement Reserve fund - an amount equal to depreciation – will be funded. (The 2.6 million transfer to reserves relies on the third year of the three year rate increase being confirmed by the Board at the end of this calendar year.)

Adoption of FY 2018 Budget: The June 15, 2017 regular Board meeting, which starts at 8:30 am, will hold the Public Hearing for adoption of the FY 18 Budget. The public is invited to either present written comment prior to the Hearing, or to present oral comment at the beginning of the Public Hearing. All are welcome.