Proposed Future Water Rates

The reasons why the District is adjusting rates again, are:

• In 2021, the District hired a rate consultant to perform the cost allocations associated with serving each type of customer class. After this new rate model was adopted, the District discovered issues in the consultant's calculations resulting in artificially low water bills for our customers and a deficit of required revenues to the District.
• As we enter into our third year of drought, it is more imperative than ever to ensure we are prepared for water demand reductions that lower the District’s revenues, but do not equally reduce our costs. California has experienced the driest January and February on record and the Governor is now calling for mandatory conservation regardless of local water supply conditions.
• Our world is changing fast, and it is the District's responsibility to our current and future customers to protect our water resources, infrastructure, and water supply reliability. As we have all experienced recent record inflation, it is the District’s responsibility to continue to take fiscally responsible action amid the ever-increasing impacts that State, national, and international decisions have on our economy. Diablo Water District is proposing new water rate schedules for fiscal years 2021/22 through 2026/27. Due to legal noticing requirements, you may have received more than one copy of the notice. The notice applies to all customers receiving water service from Diablo Water District.

The District must ensure accurate cost recovery from the appropriate customer classes (single-family, multi-family, non-residential, etc.). Each customer class has unique customer demand profiles that impact the cost of providing water service. As customer demand profiles change over time and costs increase, the District must review its cost allocations to ensure a legal and equitable application of these costs. The District hired a rate consultant to perform the cost allocations associated with serving each type of customer class. The results of this cost-based study are reflected in the proposed rates.

No, in light of the pandemic and its impact on the economy and our customers, the Board of Directors voted to not increase rates in 2021. However, since the District's last increase (two years ago), externally-controlled costs have significantly increased.

• Water treatment chemicals have increased by 74%.
• Wholesale water costs have increased by 11%.
• Pacific Gas & Electric have increased by 11%.

The District hired a rate consultant to review our current water rates, future revenue needs, and the costs associated with serving each type of customer class. This resulted in a cost-based rate schedule that is unique for each water customer class based on how they impact the financial burden to the District.

Click here to view the rate study.

The Service Charge covers fixed costs that are not covered by the Consumption Charge relating to providing service to each customer (e.g., meter reading, billing, customer service and administration) and a portion of the capital costs required to provide capacity needed by each customer (e.g., distribution system pipelines and storage).

The Consumption Charge covers costs primarily related to the volume of water used by District customers, such as operations and maintenance and capital improvements, some of which is directly relate to how much was used (e.g., the cost of water from CCWD) and some of which is fixed (e.g., personnel costs). The Consumption Charge varies depending on how much water is used each billing period.

95% of Diablo Water District customers are residential users. Our average residential customer uses 14 units per month. See bill comparison chart above.

Yes, we offer customized conservation kits that we are happy to deliver to your door while our office remains closed to the public. We also offer many rebates, our largest being the lawn-to-garden rebate. Residential irrigation has the largest impact on the District's infrastructure and our customer's bills. Click here for more conservation information.

No action is necessary if you do not wish to protest the proposed rate structure. You are welcome to attend the hearing on January 26, 2022 to voice your support.

Written protests may be provided by any District customer, or owner of property, by mail or hand delivery to the District office by 6:30 p.m. May 25, 2022. Written protests must be addressed to the District's Secretary, P.O. Box 127, 87 Carol Lane, Oakley, CA 94561. Each written protest must clearly identify the following:

• • Property or Account (by account number, assessor's parcel number, or street address) to which the proposed rates and charges would apply
  • Statement protesting the proposed rate adjustments (you do not need to include a reason why; opposition alone is sufficient)
  • Signature of the property owner or tenant

Protests received by telephone, facsimile, electronic mail (e-mail), or via social media sites, including, but not limited to, Facebook or Twitter, shall NOT be accepted.

The proposed rate structure will allow the District to continue to operate in a fiscally and environmentally responsible manner while continuing to provide high-quality and safe drinking water to our customers. Failure to adopt the new rate structure will negatively impact the water supply reliability and general safety of our aging water system.  Climate-resilient efforts for earthquakes and protecting our groundwater aquifer are critical as well as planning for future drought years.