Wednesday, 27 January 2010 17:00

AWA Says Any Central Amador Improvement Requires Rate Hike

slide5-awa_says_any_central_amador_improvement_requires_rate_hike.pngAmador County – The Amador Water Agency board of directors this month discussed improvements to Central Amador Water Project, and possible rate hikes. The board discussed rate increases meeting a Proposition 218 rejection. President Bill Condrashoff said last week if AWA approves the Gravity Supply Line project, then tries to get a rate increase, and there is enough protest, they “cannot do project, period.” He said he couldn’t continue with such a project in good conscience. Interim General Manger Gene Mancebo said Wednesday that: “Any time Prop 218 is involved, if it’s not approved, we’re not able to continue with the project.” He said any improvement on the Central Amador Water Project would take a rate increase to make debt service payments. Mancebo said they would “not be able to raise the rates and would have to look at other options.” He said “there are some improvements we need to do to be sure we will have a reliable water supply,” and the agency is “hoping through a process of a number of meetings to gain public understanding and support, whether it is for the Gravity Supply Line or some other alternative.” Mancebo said he hopes people can recognize the need and support one of the projects. A rejection through Prop 218 “all depends on the reasoning,” Mancebo said. If it is rejected only because people do not want to pay higher rates, they would face that fate with either a Gravity Supply Line, or upgrading the pump stations. Each would require a rate increase. Mancebo said: “It may prevent us from doing any kind of significant project that would have a rate increase associated with it.” Condrashoff said the Central Amador Water Project is “in the red,” and if the agency fails to get a rate increase, “really, the only choice is to cut costs in the system.” AWA hosts a “brainstorming” meeting 6 p.m. Monday on alternative projects in the CAWP. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.