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San Diego County Water Authority And its 24 Member Agencies

Water Authority Board Approves 2024 Wholesale Rates After Public Hearing

The San Diego County Water Authority Board of Directors today approved wholesale water rates for 2024 following a public hearing and approved the recommended budget for the next two fiscal years. The budget and rates support continued work on numerous agency priorities, including capital projects critical for maintaining safe and reliable water supplies.

“The Board and staff have worked tirelessly for months to minimize rate increases while supporting the reliability of our water supply,” said Water Authority Board Chair Mel Katz. “Despite cost increases created by extraordinary inflation and depressed water sales, we have a budget that allows the Water Authority to do what it does best – provide the water that sustains our economy and quality of life.”

The Board approved increasing wholesale water costs for its 24 retail member agencies by 9.5%. Actual rate impacts will vary by agency based on their use of the Water Authority’s system and actual water purchases. Water rates paid by residents and businesses will also vary based on factors unique to each retail agency.

Budget and rates

The budget and rates package was the most challenging in decades due to extreme inflation over the past year and depressed water sales due to cool and wet weather. Against that backdrop, the Board prioritized immediate ratepayer relief with a planned withdrawal of nearly $30 million from the Rate Stabilization Fund, which would bring the fund to its lowest level in more than a decade. The Rate Stabilization Fund was created in 1990 to help avoid rate spikes, especially those driven by reduced water sales following abnormally wet weather or mandatory cutbacks.

The Board also approved the staff recommended $1.85 billion budget for fiscal years 2024 and 2025, an increase of 5% from the current two-year budget due to higher costs for water, treatment and infrastructure maintenance. The budget prioritizes the following initiatives:

  • Long-term planning
  • Capital projects
  • Engaging stakeholders
  • System and asset management
  • Fiscal responsibility and cost control

Approximately 90% of the Water Authority’s recommended budget is for buying and treating and delivering water, combined with debt service and infrastructure projects to ensure water is available when and where it’s needed. As in past years, the Water Authority’s Operating Departments – including all agency staff and day-to-day work functions – account for about 7% of the budget. The approved budget for fiscal years 2024 and 2025 increases spending by those departments by 1%, or $1.5 million, compared to the current two-year budget.

Public water agencies do not make a profit; all revenues are invested in protecting and providing safe and reliable water.

Stable Renewable Energy Prices Locked In by Helix Water District

Proactive efforts by the Helix Water District have saved thousands of dollars per year in the district’s energy costs, and are helping it transition to renewable energy.

Helix buys most of its electricity through the State of California’s Direct Access Program and the electric service provider it contracts with, Calpine Energy Solutions.

By working proactively with its supplier, the Helix Water District ensures stable renewal energy prices for its ratepayers. Photo: Jeremy Bezanger/Unsplash.com

Stable Renewable Energy Prices Locked In by Helix Water District

Proactive efforts by the Helix Water District have saved thousands of dollars per year in the district’s energy costs, and are helping it transition to renewable energy.

Helix buys most of its electricity through the State of California’s Direct Access Program and the electric service provider it contracts with, Calpine Energy Solutions. Helix has worked with Calpine since 2007 to manage the district’s energy costs and its move to renewable resources. It recently renewed its electricity-purchasing contract with the San Diego-based company that sells electricity. Helix relies on utilities like SDG&E, Southern California Edison, and PG&E to deliver it.

Helix negotiates contracts with Calpine that allow the district to lock in the price it pays for electricity. This limits the district’s exposure to events that cause energy costs to increase, like reduced hydropower production due to the drought, and higher natural gas prices due to the war in Ukraine.

Helix customers protected from market price increases

Calpine has also secured the renewable energy supply Helix needs through 2030. Calpine sources renewable energy from a portfolio of developers, including a new solar power facility in Riverside County. This will protect Helix and its customers over the next eight years, as market prices respond to increased demand and competition for renewable energy.

“For the last several years we’ve seen double-digit savings as high as 18% on electricity,” said Helix Assistant General Manager Brian Olney. “This year, with all that’s going on in the world and the market, we are doing very well for our customers.”

“We want stable prices for electricity because that helps stabilize water rates for our customers,” said Helix Board President Kathleen Coates Hedberg. “And we want the district to do its part to meet statewide goals for the use of electricity from renewable resources.”

Energy efficiency helps reduce costs

Helix also reduces costs by improving energy efficiency. In 2011, the district installed solar panels on its operations center in El Cajon that generate 90-100% of the facility’s electricity. In 2012, they retained DHK Engineers to perform an energy audit of all of the district’s facilities and operations.

“Implementing the recommendations from the audit reduced our annual energy use by 11%,” Olney said.

The next step at Helix is transitioning into electric vehicles. The district began the transition in 2019, with a grant from SDG&E to install electric vehicle charging stations, and rebates from the State of California on six Toyota Prius.

“This year,” said Helix Operations Director Kevin Miller, “we are testing Ford’s new electric pickups. We like to see companies move in this direction because when they take a step forward, Helix Water District takes a step forward.”

(Editor’s note: The Helix Water District is one of the San Diego County Water Authority’s 24 member agencies that deliver water across the metropolitan San Diego region.)

Eva Plajzer Named Director of Operations and Maintenance for San Diego County Water Authority

Eva Plajzer, a 30-year civil engineering and management professional, has been appointed Director of Operations and Maintenance for the San Diego County Water Authority. She fills the position vacated by the retirement of Jim Fisher, whose 32-year career included nearly 10 years in a leadership role at the Water Authority.

The Water Authority is a regional wholesale water agency that provides about 80% of the water used in San Diego County, sustaining a $253 billion economy and quality of life for 3.3 million residents. The agency’s Operations and Maintenance Department is responsible for operating the aqueduct system; ensuring facility security and emergency preparedness; and maintaining and managing the fleet and various other assets.

Energy Bills Skyrocket as More Californians Stay at Home and Work Remotely

Word to the wise: Brace yourself before opening this month’s electric bill.

With Californians spending more time at home and working remotely during the pandemic, household appliances are sucking up way more energy than usual. Couple that with a few wicked heat waves, and you’ve got a recipe for some shocking electric bills.