Sutter Creek – The Amador Water Agency Board of Directors last week directed staff to compile data for a water rate study of the Amador Water System. Staff was directed to complete a scope of work for consultants, the Reed Group, in preparation for water rate studies needed to update the financial plan for the Amador Water System. The study will include a look at actions that may affect Amador Water System rates, including the addition of the Plymouth Pipeline and the proposed addition of La Mel Heights customers. The AWS includes the bulk of Amador Water Agency’s potable water customers. Other possible impacts include use of treated water for agricultural use by former canal customers, and consideration of tiered pricing to encourage water conservation. Mancebo said public workshops on the financial plan for the Amador Water System are expected to be held in early 2010. 2 weeks ago, the AWA board approved sending a letter opposing a California Senate bill that would lower the amount of money public agencies can retain in lieu of construction projects. The AWA letter, approved in a September 18th special meeting, opposed Senate Bill 802, which seeks to lower the percentage of funds that a public agency can retain until a construction contract is completed and accepted as finished. SB 802, “requires that contract retention proceeds not to exceed 5 percent of the payment of all contracts entered into after January 1st, 2010, between a public entity and an original contractor.” That would be down from 10 percent now allowed. Mike Dillon, a lobbyist for the California Association of Sanitation Agencies, in a letter to members, including AWA, said: “Our only option at this point is to request a Governor’s veto.” But he noted that the bill was amended to have a “sunset date,” or termination, in 2014. AWA General Manager Gene Mancebo said because public agencies must accept the lowest responsible bidder on projects, opponents of the bill argue that there are often situations where a contractor fails to complete work on a project and the 10 percent retention funds are used to complete the work. Dillon said the “10 percent retention level provides a source of funds to enable completion of the project.” The bill is currently on its way to Gov. Arnold Schwarzenegger for his signature or veto. Story by Jim Reece This email address is being protected from spambots. You need JavaScript enabled to view it.