District to conduct water rate study

The water district says it’s time to seek proposals to conduct a water rate study since the last one was in 2011.

At the water board’s Aug. 9 meeting David Barnum, the district’s general manager, said the agency did not raise water rates this year in anticipation of an updated rate study.

The study would include a district water model incorporating changes in water operations and, using that model, updating the water facilities plan. After identifying necessary projects in the facilities plan a consultant would develop an updated water rate study, according to district staff.

Director Jim Hickle said the study should be developed so it is possible to input new variables, such as changes in water revenue, and then adjust expectations for new rates.

“I think these rate and fee studies are typically static,” he said, adding that by imputing variables the study may not have to be updated every five years.

Barnum said he can ask consultants the cost to provide that service. The board unanimously authorized obtaining proposals for the water rate study. Raftelis Financial Consultants Inc. developed the water rate study in 2011.

In other business, board president Thomas Ace said San Diego Gas & Electric discovered one of its utility poles and overhead electric lines are on Ramona Municipal Water District property at the San Vicente Waste Water Plant and wants the district to grant an easement. According to the district, SDG&E is replacing its wood poles with steel ones and would like a 15-foot wide easement.

Ace said his concerns include: the land at the plant is already limited, SDG&E does not offer compensation for an easement, what is the benefit to rate payers, what is the potential from electro-magnetic fields from metal poles, and whether a legal review should be conducted.

The board deferred action, requesting that district legal counsel draft the concerns and submit them to SDG&E.

In other action, the board:

▪ Approved the Fire Mitigation Multi-Year Facilities and Equipment Plan for fiscal year 2016-17, as required by the county. The fire mitigation fee of 56 cents per square foot, charged to contractors when obtaining a building permit for new construction, goes into a fund that can be used by the fire department for new construction. Battalion Chief Steve Foster said fees will be used to pay the final debt payment on Fire Station 82 of about $11,000, and anticipates yearly income of about $88,000.

▪ Was informed that two new ambulances for the Ramona Fire Department should be delivered by late October or early November.

▪ Reappointed the general manager to serve as the district’s representative to the San Diego County Water Authority.