Corona DWP: Proposed Water Rate Changes
We've all done well to cut back on water use, but the ongoing drought has brought about a new normal in California that requires more efficient water use at all times. This has a direct impact on the City of Corona, and the revenues collected for water services.
The City of Corona Department of Water and Power (DWP) is requesting City Council approval of several changes to help ensure sufficient revenues are collected to guarantee a fully financed, operational water utility:
- Changes to your water budget to help promote further water conservation;
- A rate increase for water use (commodity) and fixed charges;
- Annual increases for the next five years of 5% each year; and
- A temporary revenue stability charge that becomes effective when in Conservation Stage 3 or higher.
What is the reason for the increase?
DWP is funded through revenue from water charges. By law, DWP can only collect enough funds for the cost to provide water service. In order to provide 24 hour a day, 7 day a week water service, all facilities must be in proper working order. DWP must also plan for the eventual replacement of infrastructure such as pipes and pumps. Stricter regulatory requirements also require additional monitoring activities and treatment.
DWP charges a fixed Ready-to-Serve (RTS) Charge and a charge for the amount of water used (commodity). In times of reduced water use, as seen over the past several years due to drought and state-mandated water use cutbacks, DWP is not able to collect enough revenue to cover its fixed expenses. While less water is sold, much of DWP’s costs remain. Operating and maintenance costs of the City’s water system remain constant, no matter how much water is used. This is true for many expenses, including customer service costs, regulatory testing, and meter reading services.
What are the proposed changes in the Water Budget Formula?
DWP is proposing changes to the way your water budget is calculated. The changes encourage increased water efficiency both indoors and outdoors. The changes are based on efficiency standards set by the State of California. The changes provide a larger cushion in Tiers 3 and 4 before moving into the highest tier.
What are the proposed water rates?
Need More Information?
DWP will be hosting meetings about the proposed rate increases and changes to your water budget. Guests will have the opportunity to ask questions and learn more about Corona’s water service.
Wednesday, Oct. 23, 2019, 7 to 8 p.m. at the Temescal Desalter (745 Public Safety Way)
Saturday, Nov. 2, 2019, 9 to 10 a.m. at Corona City Hall Council Chamber (400 S. Vicentia Ave)*
Thursday, Nov. 21, 2019, 7 to 8 p.m. at the Temescal Desalter (745 Public Safety Way)
Thursday, Dec. 12, 2019, 7 to 8 p.m. at the Temescal Desalter (745 Public Safety Way)
*Event will be shown on Facebook Live via the City of Corona's Facebook Page.