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                    [pdfs] => [{"file":"files/218/Final Pico WD Rate Study Report 11.11.20.pdf","title":"Full Rate Study"},{"file":"files/218/PWD_218_Handout20_v1.4.pdf","title":"218 Handout – English"},{"file":"files/218/PWD_218_Handout20_v1.4_SPAN.pdf","title":"218 Handout – Spanish"}]
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Pico Water District (District) provides water service to ratepayers within its boundaries. While the District strives to be efficient and competitive with its rates, its costs continue to rise due to the replacement of aging infrastructure and undersized mainlines, drilling of new wells and the installation of a new treatment system to remove per- and poly-fluoroalkyl substances (PFAS), the collective term for a group of synthetic chemicals detected in some of the District’s wells.

A recent cost of service review determined current revenue is not sufficient to cover the costs of providing water to customers. An independent financial consultant recommends rate adjustments to add additional treatment to meet health and safety standards, make critical equipment upgrades and maintain long-term financial stability.

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Pico Water District will hold a virtual Public Hearing on the proposed rate adjustment on December 16, 2020, at 6:00 p.m. Members of the public are invited to participate through Zoom. 

JOIN THE LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in by dialing (669) 900-9128 and entering the meeting ID and passcode above

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In an effort to inform customers and meet the requirements of Proposition 218, formal notice of the proposed water rate adjustments and public hearing was mailed to all Pico Water District customers on October 30, 2020. Copies of those notices are provided below:

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Pico Water District will hold a virtual Community Meeting to educate customers and address any questions or concerns regarding the proposed rate adjustments on November 19, 2020, at 6:00 p.m. Members of the public are invited to participate through Zoom.

JOIN THE LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in by dialing (669) 900-9128 and entering the meeting ID and passcode above

A handout containing additional details about the proposed rate adjustments can be found by clicking the links below:

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The Water Bill Estimator is a tool to give customers a sense of how their water costs will change if the new rates are approved. The goal is to make estimating your bill as easy as possible.

To use the Bill Estimator:

  1. Select your meter size. Rates for all single-family homes are calculated using a 5/8-inch meter.
  2. Enter your water consumption in the space provided. NOTE: Water consumption is measured and noted on your bill in hundred cubic feet (HCF). 1HCF = 748 gallons.
  3. Click the Estimate button.

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Why is Pico Water District proposing new rates?

As a public agency, Pico Water District periodically reviews its rate structure. A recent cost of service review determined current revenue is not sufficient to cover the costs of providing water to customers. An independent financial consultant recommends rate adjustments to improve treatment to meet health and safety standards, make critical equipment upgrades and maintain long-term financial stability.

What would change?

The proposed new rate structure would eliminate tiered volumetric rates. The tiered rates would be replaced by a flat volumetric rate which charges the same price for all water delivered to a customer. The volumetric rate and service charge would be adjusted annually on February 14 for the next five years. 

How would the new rates and charges affect my bill?

Bills are impacted by meter size and the amount of water used by each customer. To generate an estimate of your bill under the proposed new rates, visit www.picowaterdistrict.billestimator.com. Have your water bill handy for details on your meter size and water use, which are required for the bill estimator tool.

When would the new rates begin?

If approved, the initial rate adjustment would take effect on February 14, 2021. Subsequent rate adjustments would take place on February 14 each year through 2025. 

Is this a one-time adjustment?

To ensure long-term financial stability for Pico Water District, rates will be adjusted annually through 2025 to account for expected rates of inflation and planned capital projects.

How are water rates calculated?

Your water bill is based on a rate structure that includes a monthly fixed charge and a volumetric rate. The Monthly Fixed Charges are based on water meter size and cover costs such as account servicing expenses, debt payments, most general and administrative costs and a portion of maintenance expenses. The Volumetric Rate is based on how much water passes through a customer’s meter. This covers the costs of water treatment and distribution, maintenance, conservation programs a portion of general and administrative costs and for water to replenish groundwater supplies.

What is a pass-through charge?

Certain provider expenses, such as water to maintain groundwater levels, may increase more than anticipated in the future. In the event that occurs, Pico Water District would “pass-through” the increased charges by adjusting rates to cover those exact expenses. Prior to initiating any pass-through adjustment, the District will notify all customers at least 30 days prior to implementation.

How does the district use the money from rates?

Approximately 25% of the District’s budget pays for operation and maintenance expenses, with another 25% covering the cost of water purchases to maintain groundwater levels. Administrative costs are roughly 34% of District expenses with the remaining money spent on debt, capital costs and water conservation efforts.

What is PFAS and why do we need to treat for it now?

PFAS stands for per- and poly-fluoroalkyl substances and is the collective term for a large group of synthetic chemicals that includes perfluorooctanoate (PFOA) and perfluorooctanesulfonate (PFOS). The compounds were widely used in products that resist heat, oils, stains and water such as stain resistant carpets and fabrics, paints, water resistant clothing, fast-food packaging, non-stick cookware, firefighting foams and personal care products. 

On February 6, 2020, the State Water Resources Control Board lowered the Response Level of these chemicals to 10 parts per trillion (ppt) for PFOA and 40 ppt for PFOS. The proposed rate adjustment would provide funding for Pico Water District to treat drinking water and ensure PFOA and PFOS levels remain below these state standards.

Is Pico Water District trying to increase profits?

Pico Water District is a not-for-profit government agency. By law, the District must charge no more than the actual costs of providing water service to our customers.

How can I lower my water bill?

For many customers, outdoor water use is a major source of water consumption. Converting grass to water-friendly landscaping will reduce water demand and smart irrigation controllers help ensure those systems operate efficiently.

Good water habits such as taking shorter showers, fixing leaks and running dishwashers and washing machines only when full also help reduce water use.

Newer technology can also help with conservation. To encourage customers to invest in water saving devices, a number of rebates are available. Visit https://www.picowaterdistrict.net/Conservation_&_Rebates for details.

Where can I learn more about the proposed rate changes?

A community meeting about the proposed rate adjustments will be held virtually on November 19, 2020, at 6:00 p.m. Members of the public are invited to participate by Zoom using the following information:

JOIN THE LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in using this information and dialing (669) 900-9128

Additional details about the proposed adjustments can be found online by visiting www.PicoWaterDistrict.net

Customers can also contact the District office at (562) 692-3756 for more information. 

How do I protest the proposed rate changes?

Customers directly responsible for the payment of the rates and/or property owners, if different, may submit a written protest against the noticed rate changes; however, only one protest will be counted per identified parcel. 

Any written protest must: (1) specifically identify what is being protested; (2) provide the location of the identified parcel (by assessor’s parcel number or street address); and (3) include the printed name and signature of the person who is listed on the utility account and is responsible for paying the utility bill and/or the property owner.

Written protests must be submitted by mail to the District Secretary at P.O. Box 758, Pico Rivera, CA 90660-0758, or in person by utilizing the drop box located at 4843 S. Church St., Pico Rivera, CA 90660-2102, or during the Public Hearing, provided they are received prior to the conclusion of the public comment portion of the Public Hearing. For any protest, please identify on the front of the envelope, “Attn: Public Hearing on Rate Increases,” whether mailed or submitted in person to the District Secretary.

The Board will hear and consider all written and oral protests to the proposed rate increase at the Public Hearing on December 16, 2020, at 6:00 p.m. Oral comments at the Public Hearing will not qualify as formal protests unless accompanied by a written protest. 

Members of the public are invited to participate by Zoom meeting using the following information:

LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in using this information and dialing (669) 900-9128

Additional Information and questions

For further details regarding the proposed rate increases to the District’s water rates or for any questions you may have regarding the proposed fees that may be imposed on your parcel, please contact the District office at (562) 692-3756.

 

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Water Rate Adjustments

Proposed Water Rate Adjustments

Pico Water District (District) provides water service to ratepayers within its boundaries. While the District strives to be efficient and competitive with its rates, its costs continue to rise due to the replacement of aging infrastructure and undersized mainlines, drilling of new wells and the installation of a new treatment system to remove per- and poly-fluoroalkyl substances (PFAS), the collective term for a group of synthetic chemicals detected in some of the District’s wells.

A recent cost of service review determined current revenue is not sufficient to cover the costs of providing water to customers. An independent financial consultant recommends rate adjustments to add additional treatment to meet health and safety standards, make critical equipment upgrades and maintain long-term financial stability.

Public Hearing

Pico Water District will hold a virtual Public Hearing on the proposed rate adjustment on December 16, 2020, at 6:00 p.m. Members of the public are invited to participate through Zoom. 

JOIN THE LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in by dialing (669) 900-9128 and entering the meeting ID and passcode above

Outreach Efforts

In an effort to inform customers and meet the requirements of Proposition 218, formal notice of the proposed water rate adjustments and public hearing was mailed to all Pico Water District customers on October 30, 2020. Copies of those notices are provided below:

Community Meeting

Pico Water District will hold a virtual Community Meeting to educate customers and address any questions or concerns regarding the proposed rate adjustments on November 19, 2020, at 6:00 p.m. Members of the public are invited to participate through Zoom.

JOIN THE LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in by dialing (669) 900-9128 and entering the meeting ID and passcode above

A handout containing additional details about the proposed rate adjustments can be found by clicking the links below:

Bill Estimator

The Water Bill Estimator is a tool to give customers a sense of how their water costs will change if the new rates are approved. The goal is to make estimating your bill as easy as possible.

To use the Bill Estimator:

  1. Select your meter size. Rates for all single-family homes are calculated using a 5/8-inch meter.
  2. Enter your water consumption in the space provided. NOTE: Water consumption is measured and noted on your bill in hundred cubic feet (HCF). 1HCF = 748 gallons.
  3. Click the Estimate button.

Frequently Asked Questions (FAQs)

Why is Pico Water District proposing new rates?

As a public agency, Pico Water District periodically reviews its rate structure. A recent cost of service review determined current revenue is not sufficient to cover the costs of providing water to customers. An independent financial consultant recommends rate adjustments to improve treatment to meet health and safety standards, make critical equipment upgrades and maintain long-term financial stability.

What would change?

The proposed new rate structure would eliminate tiered volumetric rates. The tiered rates would be replaced by a flat volumetric rate which charges the same price for all water delivered to a customer. The volumetric rate and service charge would be adjusted annually on February 14 for the next five years. 

How would the new rates and charges affect my bill?

Bills are impacted by meter size and the amount of water used by each customer. To generate an estimate of your bill under the proposed new rates, visit www.picowaterdistrict.billestimator.com. Have your water bill handy for details on your meter size and water use, which are required for the bill estimator tool.

When would the new rates begin?

If approved, the initial rate adjustment would take effect on February 14, 2021. Subsequent rate adjustments would take place on February 14 each year through 2025. 

Is this a one-time adjustment?

To ensure long-term financial stability for Pico Water District, rates will be adjusted annually through 2025 to account for expected rates of inflation and planned capital projects.

How are water rates calculated?

Your water bill is based on a rate structure that includes a monthly fixed charge and a volumetric rate. The Monthly Fixed Charges are based on water meter size and cover costs such as account servicing expenses, debt payments, most general and administrative costs and a portion of maintenance expenses. The Volumetric Rate is based on how much water passes through a customer’s meter. This covers the costs of water treatment and distribution, maintenance, conservation programs a portion of general and administrative costs and for water to replenish groundwater supplies.

What is a pass-through charge?

Certain provider expenses, such as water to maintain groundwater levels, may increase more than anticipated in the future. In the event that occurs, Pico Water District would “pass-through” the increased charges by adjusting rates to cover those exact expenses. Prior to initiating any pass-through adjustment, the District will notify all customers at least 30 days prior to implementation.

How does the district use the money from rates?

Approximately 25% of the District’s budget pays for operation and maintenance expenses, with another 25% covering the cost of water purchases to maintain groundwater levels. Administrative costs are roughly 34% of District expenses with the remaining money spent on debt, capital costs and water conservation efforts.

What is PFAS and why do we need to treat for it now?

PFAS stands for per- and poly-fluoroalkyl substances and is the collective term for a large group of synthetic chemicals that includes perfluorooctanoate (PFOA) and perfluorooctanesulfonate (PFOS). The compounds were widely used in products that resist heat, oils, stains and water such as stain resistant carpets and fabrics, paints, water resistant clothing, fast-food packaging, non-stick cookware, firefighting foams and personal care products. 

On February 6, 2020, the State Water Resources Control Board lowered the Response Level of these chemicals to 10 parts per trillion (ppt) for PFOA and 40 ppt for PFOS. The proposed rate adjustment would provide funding for Pico Water District to treat drinking water and ensure PFOA and PFOS levels remain below these state standards.

Is Pico Water District trying to increase profits?

Pico Water District is a not-for-profit government agency. By law, the District must charge no more than the actual costs of providing water service to our customers.

How can I lower my water bill?

For many customers, outdoor water use is a major source of water consumption. Converting grass to water-friendly landscaping will reduce water demand and smart irrigation controllers help ensure those systems operate efficiently.

Good water habits such as taking shorter showers, fixing leaks and running dishwashers and washing machines only when full also help reduce water use.

Newer technology can also help with conservation. To encourage customers to invest in water saving devices, a number of rebates are available. Visit https://www.picowaterdistrict.net/Conservation_&_Rebates for details.

Where can I learn more about the proposed rate changes?

A community meeting about the proposed rate adjustments will be held virtually on November 19, 2020, at 6:00 p.m. Members of the public are invited to participate by Zoom using the following information:

JOIN THE LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in using this information and dialing (669) 900-9128

Additional details about the proposed adjustments can be found online by visiting www.PicoWaterDistrict.net

Customers can also contact the District office at (562) 692-3756 for more information. 

How do I protest the proposed rate changes?

Customers directly responsible for the payment of the rates and/or property owners, if different, may submit a written protest against the noticed rate changes; however, only one protest will be counted per identified parcel. 

Any written protest must: (1) specifically identify what is being protested; (2) provide the location of the identified parcel (by assessor’s parcel number or street address); and (3) include the printed name and signature of the person who is listed on the utility account and is responsible for paying the utility bill and/or the property owner.

Written protests must be submitted by mail to the District Secretary at P.O. Box 758, Pico Rivera, CA 90660-0758, or in person by utilizing the drop box located at 4843 S. Church St., Pico Rivera, CA 90660-2102, or during the Public Hearing, provided they are received prior to the conclusion of the public comment portion of the Public Hearing. For any protest, please identify on the front of the envelope, “Attn: Public Hearing on Rate Increases,” whether mailed or submitted in person to the District Secretary.

The Board will hear and consider all written and oral protests to the proposed rate increase at the Public Hearing on December 16, 2020, at 6:00 p.m. Oral comments at the Public Hearing will not qualify as formal protests unless accompanied by a written protest. 

Members of the public are invited to participate by Zoom meeting using the following information:

LIVE ZOOM MEETING:

https://us02web.zoom.us/j/87906688334?pwd=N2dvekRLK2p4ZzFCMTkzQm1EL0RxZz09

Meeting ID: 879 0668 8334

Passcode: 244481

Or listen in using this information and dialing (669) 900-9128

Additional Information and questions

For further details regarding the proposed rate increases to the District’s water rates or for any questions you may have regarding the proposed fees that may be imposed on your parcel, please contact the District office at (562) 692-3756.

 

Pico Water District

Location 4843 S. Church St.
Pico Rivera, CA
90660-2102

After hours number 562.692.3756
Mailing Address PO Box 758
Pico Rivera, CA
90660-0758
Phone: 562.692.3756 Fax: 562.692.5627

Contact Us