The 8,000 connections to the 86-square mile Twentynine Palms Water District and future customers will see a significant increase in their water bills and connections after the board approved recommendations from a rate study Wednesday. For water users, bills would increase by 10%, or 8% a year for five consecutive years, For the average household, that means an additional $30 a month for the 10% formula, $20 a month for the 8%.
For new connections, the increase is more dramatic, from a range of $2,500 to $6,000 for a new connection including a meter and impact fees, to $12,000 to $13,000. General Manager Ray Kolisz said the increases are needed to offset unfunded mandates from the state, capital improvements, upgrades, ongoing maintenance, and prudent reserves. Kolisz said anticipated new state standards for Chromium-6 will be a major expense.
Included in the expenses is a reserve of $6 million, or 50% of one year of operation costs and 6% of the district’s assets.
Under the new rates, the average monthly bill with the 8% option will go from $40 a month to $50 a month, with 10% from $40 a month to $60. The district bills every 60 days. The increases would raise some $2 million a year from users, $4 million a year from new connections.
Kolisz stressed, “Even with the increases, rates will still be lower than all the other districts in the region.”
The Board voted 4-0 Wednesday night to move forward with the rate increases and hold a required public hearing at 6 p.m. January 27, 2021. Under state law, the district must give a 45-day formal notice of the increases and receive public protests during that time before they are implemented.