Liquid News

Irvine Ranch Water District Approves New Budget

Each year, the IRWD Board of Directors adopts an annual operating budget that goes into effect on July 1. Part of that process is setting water and sewer rates. One of IRWD’s critical business objectives is to keep costs, and therefore rates, as low as possible for all our customers. IRWD provides the highest level of service to our customers at the lowest possible rates.

The 2014–2015 fiscal year began on July 1, putting in place a new budget approved by the
Board of Directors at its April 28 meeting. This year’s budget, which totals $130.6 million, represents a $13.6 million increase when compared to the prior year’s budget.

The operating budget provides the funding roadmap to provide drinking water, recycled water and sewer service to IRWD customers. Increases in rates and charges for these services took effect on July 1, with an overall increase to the average residential customer of $3.21 per month, for sewer and water service combined. For full information on all new rates and charges, please visit the IRWD website.

Why are Rate Changes Necessary?

The main reasons for the change are due to uncontrollable cost increases from:

  • The need to purchase more expensive imported water as a result of drier conditions
  • 12% increase in electricity costs for pumping and treating water
  • 3.8 % increase in the charges for imported water provided from the Metropolitan Water District of Southern California (MWD) for imported water purchases through our regional wholesaler the Municipal Water District of Orange County (MWDOC)
  • 6.5% increase in pumping charges from the Orange County Water District (OCWD) for local groundwater.

Residential Rate Structue Changes

Effective July 1, 2014 you may notice changes in your water bill. Your monthly water budget has changed, slightly reducing your indoor water allocation from 55 to 50 gallons per day per person. The outdoor portion of the allocation is unchanged. We have also adjusted the tiered rate structure to reduce the Inefficient, Excessive and Wasteful tiers.

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