NID announces its 5-year plan, potential water rate increases
November 14, 2013
Property owners and water customers throughout the Nevada Irrigation District will soon receive letters advising them that NID is considering a five-year financial plan that includes water rate increases.
The plan calls for 6 percent water rate increases annually from 2014 through 2018 for both treated water users and irrigation water users. It is designed to keep NID's revenues in line with its costs of providing public water service.
The letter announces a public hearing to be hosted by the NID board of directors at 9 a.m. Jan. 8, at the NID Business Center in Grass Valley. The letter describes NID's rate structures, examples of the proposed rate increases for typical customers and a procedure through which water users may formally protest the rate adjustments.
Under the proposal, a typical NID treated water user with a 5/8-inch meter would see a $4.33 increase in the two-month water bill in 2014. An irrigation water customer with a half-miners' inch service would see a $28.05 increase for the entire six-month irrigation season. This is the second five-year notification process conducted by NID under terms of California Prop. 218, which was originally designed to limit property assessments and was eventually applied to utility rate-setting practices.
Over the past five years — as the community has endured tough economic conditions — NID directors raised rates considerably less than called for in the district's 2007-13 plan.
Board President Jim Bachman said directors cannot approve increases of more than the specified 6 percent but retain the option to adopt lower or no increases.
To view the notification letter and the water rate study upon which the proposed rate increases are based, see nidwater.com.