Amador County – The Amador Water Agency held a financial plan and rate workshop last week, hearing a recommendation to raise rates 5 percent next year in the Amador Water System. Bob Reed of the Reed Group presented a plan with a 5 percent increase across the board in the Amador Water System next year, and 3 percent increases each in fiscal years beginning in 2011 and 2012. The board hosted the workshop and took public comment, on Reed’s 3-year plan, and accompanying rate study. Amador Water System, or AWS, has about 3,500 customers, including about 2,900 single family homes. Reed’s financial plan included a 3-tiered rate system for single family customers based on water amounts used. He said rates currently are $1.83 per unit in metered, single family homes in AWS. A unit is 50 gallons. He said winter use for a family is about 200 gallons a day, or 8 units, with no outdoor use. That was basis for the first tier rate, which would go to $1.87 a unit in the first year of the plan, $1.93 in the second year; and $1.98 in the third year. Reed said the second tier of water users, using 9 to 55 units, would pay $2.34 a unit the first year of the plan, the 2010-2011 fiscal year. The rate would be $2.41 a unit in the second year and $2.48 a unit in the third year. Third tier flows were based on July peak usage of 56 or more units a day. The rates for third tier users would be $2.92 a unit next year, $3.01 a unit the second year, and $3.10 the third year. Vice President Debbie Dunn disagreed with Reed’s growth projections for new retail customers, and was concerned that the plan listed construction inflation at 4 percent beginning in 2012. Dunn said the agency was predicting construction costs could come in under bids, for projects such as the Gravity Supply Line, but Reed’s numbers didn’t seem to indicate that. General Manager Gene Mancebo said the agency continues “to get construction bids coming in under estimates.” As an example, he said a recent Jackson road project estimated at $800,000 received a bid of $580,000. President Bill Condrashoff said he would like the board to go through the entire financial plan, then give direction to staff and Reed. Dunn said she wanted to change the construction inflation rate and if they could not, they “might as well go home now.” Reed said actual revenues from water sales are a couple hundred thousand dollars under projections. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.-
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Amador County – The Amador Water Agency held a financial plan and rate workshop last week, hearing a recommendation to raise rates 5 percent next year in the Amador Water System. Bob Reed of the Reed Group presented a plan with a 5 percent increase across the board in the Amador Water System next year, and 3 percent increases each in fiscal years beginning in 2011 and 2012. The board hosted the workshop and took public comment, on Reed’s 3-year plan, and accompanying rate study. Amador Water System, or AWS, has about 3,500 customers, including about 2,900 single family homes. Reed’s financial plan included a 3-tiered rate system for single family customers based on water amounts used. He said rates currently are $1.83 per unit in metered, single family homes in AWS. A unit is 50 gallons. He said winter use for a family is about 200 gallons a day, or 8 units, with no outdoor use. That was basis for the first tier rate, which would go to $1.87 a unit in the first year of the plan, $1.93 in the second year; and $1.98 in the third year. Reed said the second tier of water users, using 9 to 55 units, would pay $2.34 a unit the first year of the plan, the 2010-2011 fiscal year. The rate would be $2.41 a unit in the second year and $2.48 a unit in the third year. Third tier flows were based on July peak usage of 56 or more units a day. The rates for third tier users would be $2.92 a unit next year, $3.01 a unit the second year, and $3.10 the third year. Vice President Debbie Dunn disagreed with Reed’s growth projections for new retail customers, and was concerned that the plan listed construction inflation at 4 percent beginning in 2012. Dunn said the agency was predicting construction costs could come in under bids, for projects such as the Gravity Supply Line, but Reed’s numbers didn’t seem to indicate that. General Manager Gene Mancebo said the agency continues “to get construction bids coming in under estimates.” As an example, he said a recent Jackson road project estimated at $800,000 received a bid of $580,000. President Bill Condrashoff said he would like the board to go through the entire financial plan, then give direction to staff and Reed. Dunn said she wanted to change the construction inflation rate and if they could not, they “might as well go home now.” Reed said actual revenues from water sales are a couple hundred thousand dollars under projections. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.
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