Council makes water rate hikes official
Despite doing their best to conserve water
this year, residents will soon be paying more for the precious commodity.
Vocal protest from a few citizens who attended Monday’s City Council meeting couldn’t prevent the approval of a new threetiered water rate structure for 2010 that kicks up rates as much as 23 percent for the highest users; rates were raised by as much as 13 percent just a year ago.
The city sent out notices on Oct. 16 to customers of Ventura County Waterworks District No. 8 about the proposed rate changes. A total of 29 written protests were submitted, along with several more on the day of the hearing.
The rate hike didn’t go over well with residents who are already struggling to pay their bills.
“As an American citizen, I vehemently oppose any increase to the water tax at this time,” said Andrew Bulles, a four-year Simi resident. “To broach raising this usage rate during this nightmare economic depression is inhuman. The idea of it is incredulous and cowardly.”
Simi resident Gerald Smith agreed and encouraged the council to maintain existing rates.
“Take a look at the people who are going to go through this Christmas without a job, who can’t even pay their trash bill, and you’re asking them to pay more?” Smith said.
The waterworks district provides water to about 60 percent of Simi Valley. Golden State Water Company services the rest. Both are increasing their rates for 2010.
The council typically modifies district water rates in January to coincide with the annual rate changes by the district’s water suppliers, Metropolitan Water District and Calleguas Municipal Water District.
According to Director of Public Works Ron Fuchiwaki, water rates throughout the region have increased dramatically due to the water supply shortage and the high cost for MWD to get water from sources other than the State Water Project.
While rate changes usually take effect at the beginning of each year, MWD and Calleguas have already implemented their new rates, which increased by about 21 percent and 22 percent, respectively.
Since the district’s water rates are dependent on the cost of water and other fees charged by Calleguas, Fuchiwaki said the district needs to bump up its charges as well.
In response to residents’ disapproval, Councilmember Steve Sojka asked what the impact would be if the council voted no.
“Not to be an alarmist or anything, but a lack of funds will result in a drop in the level of service . . . that our staff is able to provide,” Fuchiwaki replied.
In addition, the district still must meet the 15 percent wateruse reduction mandated by its water suppliers. The new rates would cover the cost if the district is unable to meet that goal and is charged a fine.
The three-tier residential rate structure has become the standard in the Calleguas service area, with the cities of Moorpark, Thousand Oaks, Camarillo and Oxnard, as well as service providers like Golden State, adopting the structure.
The three-tier thresholds are based on average uses: 36 billing units, the Tier 1 limit, is the average residential usage during the winter; and 60 billing units, the Tier 2 limit, is the average summer use.
With this structure, in comparison to current rates, a residential customer using 30 billing units will have a 6 percent increase in their bimonthly water bill, and a customer using 70 billing units will have a 14 percent increase.
However, high volume users who fall into Tier 3—120 billing units or more—will see a 23 percent increase in their bill.
The rates were structured to provide an incentive for a reduction in water use by offering lower rates per billing unit for the first two tiers and creating a much higher third-tier rate as a disincentive for high water use.
Larry Heller, who owns commercial property in town, said the increased rates would be even more burdensome for him. He said commercial rates are already higher than residential and the impact is even greater due to the amount of landscaping on a commercial parcel.
“Really, the cost for paying for that water is passed on to my tenants and of course the consumers, the good people of Simi, who frequent these places and keep these people in business,” he said.
Part of the council’s rate adjustments included combining “multifamily” and “other meter” charges into a new commercial category to be charged at a rate of $2.91 per billing unit.
Compared to the new threetier system, this rate is 19 percent higher than Tier 1.
Councilmember Glen Becerra said it’s “horrible” that the city has to pass the increased rates along to residents, but he reminded the public that the council lives under the same rules.
Sojka said he understood why residents want to stand up to the charges, but the city must cover its costs.
“If voting against this was to make a change at MWD in their rates and we were able to save money, I’d be for that, but if it’s for us to run a deficit and hurt our city financially, then I’m not in favor of doing that,” he said.
Foster said the bottom line is that the city has a responsibility to provide basic, essential services.
“We have to have water available for our residents and we can’t afford to do it . . . unless we raise these rates,” she said. “And as distasteful as that is, I believe that we have no choice but to approve these rates and continue to work as hard as we have in the past, along with our counterparts in this state, to figure out a way to fix the water problem.”



