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The Vallecitos Water District Twin Oaks Reservoir dual solar panel array is expected to be completed in November 2020. Photo: Vallecitos Water District Solar Project

Solar Project Saves Energy, Costs for Vallecitos Water District

The Vallecitos Water District is pursuing greater use of renewable resources, increasing capacity to the electrical grid, and reducing long term operational costs with an innovative solar power project.

The west solar array is installed on top of the Vallecitos Water District’s 33-million gallon reservoir with 2,300 solar modules and eight 80 kw inverters. The east array is located on top of the 40-million gallon reservoir with 2,900 modules with ten 80 kw inverters. Photo: Vallecitos Water District

In 2017, the Vallecitos Water District Board of Directors agreed to pursue development of districtwide renewable power sources using existing open space to benefit the District and its ratepayers.  The District worked with solar consultants Terra Verde Renewable Partners to evaluate and study the feasibility of three solar port locations. Two projects are now moving forward; two arrays at the pair of Vallecitos owned reservoirs in Twin Oaks, and an array at the (sewer) Lift Station #1, located on San Marcos Boulevard.

The projects are structured under a Power Purchase Agreement. A solar provider designs, builds, and maintains systems for 25 years. In turn, the District receives a reduced electricity rate from SDG&E over the 25-year term at the District’s 13 highest use meters. The District will become owners of the solar system after the 25-year maintenance term expires. No capital investment is required from the District.

“The project is a great benefit to Vallecitos customers,” said Ryan Morgan, Capital Facilities Senior Engineer. “Through our export of power into the electrical grid, we receive bill credits on these power exchanges. The District benefits directly through reduced power costs, and that cost savings is passed down to the customer ultimately in reduced water and sewer rates.”

Multiple stakeholders working together

Vallecitos Water District provides the project sites, working with SDG&E, the solar provider team, the District’s contractors, and the solar maintenance operator. The District’s water professionals work with solar power experts to guide the project through planning, design, and construction as a team.

Over the 25-year term, the District will benefit from a reduced electrical rate of 7.79 cents per kilowatt-hour (kWh) at its 13 highest use meters. It will also receive a rebate or credit on its export of power to the electrical grid. Savings to the District over 25 years are estimated at $8.3 million, which ultimately results in reduced water and sewer rates for customers. District staff locked in the maximum federal rebate by launching the project in 2019 and meeting a narrow window for grant funding.

Solar panels installed on top of two reservoirs

The Twin Oaks Reservoir dual solar panel array sites prior to installation. Photo: Vallecitos Water District solar project

The Twin Oaks Reservoir dual solar panel array sites prior to installation. Photo: Vallecitos Water District

The west solar array is installed on top of the District’s 33-million gallon reservoir with 2,300 solar modules and eight 80 kW inverters. The east array is located on top of the 40-million gallon reservoir with 2,900 modules with ten 80 kW inverters. The total production is roughly 3.6 MWh annually, enough to power 340 homes.

Local power conservation remains vital

The Twin Oaks Reservoir dual solar array total production is roughly 3.6 mWh annually, enough to power 340 homes. Photo: Vallecitos Water District

The Twin Oaks Reservoir dual solar array total production is roughly 3.6 mWh annually, enough to power 340 homes. Photo: Vallecitos Water District

While the solar power project cannot prevent the potential for power outages due to rolling blackouts, the project helps to add capacity to the power grid when it is needed.

“The District wants to publicly thank Terre Verde Renewable Partners, Holt Renewables, and Kenyon Energy for their valuable roles in the success of this project,” said Morgan.  “We also want to acknowledge the above and beyond effort of the District’s inspections team.”

The Twin Oaks Reservoir dual array is expected to be completed in November 2020. The Lift Station #1 site is expected to be completed in February of 2021.

Water Authority Sets Agricultural Water Discount in Exchange For Reliability

The San Diego County Water Authority’s Board of Directors approved a permanent special agricultural water rate structure Sept. 24 that offers lower water rates to farmers in exchange for lower water supply reliability.

Del Mar to Develop New Water Rate Structure

Del Mar will begin the process of developing a new rate structure for its Clean Water Program.

The process of implementing a rate increase is expected to unfold over the next year, and will include a vote by Del Mar property owners.

Water Agencies Plan to Abandon Costs, Reduce Supply Reliability

Analysis released today shows that proposals by the Fallbrook and Rainbow water districts to leave the San Diego County Water Authority and annex into the Eastern Municipal Water District in Riverside County would increase costs for water ratepayers in San Diego County, reduce the county’s voting power, and decrease water supply reliability for farms and residents.

Numerous financial, environmental and legal issues that affect property owners and water users across San Diego County are analyzed in the Water Authority’s formal response to the reorganization proposals filed today with the San Diego County Local Agency Formation Commission, known as LAFCO.

Environment Report: State Throws Cold Water on Pricing Scheme

Water customers in Imperial Beach and Coronado were at risk of a suspect pricing mechanism, according to a ratepayer watchdog, until state regulators stepped in late last month. There’s a lot to unpack, so let’s dive into one of the wonkier features of the state’s water market.

FPUD Staff Receives Bebee’s Performance Bonus

Jack Bebee, general manager of Fallbrook Public Utility District, earned his performance bonus but will not receive that money.

A 5-0 FPUD board vote, Aug. 24, gave the $5,000 that Bebee would have received to the rest of FPUD’s staff. Each staff member will receive a $75 stipend.

“Instead of paying me a performance bonus this year, we divided the money that was set aside,” Bebee said. “My recommendation to the board was to do that. They’re incurring more challenges during this period that I am.”

When all staff positions are filled, FPUD has 67 employees including Bebee. Three positions are currently vacant, so 63 FPUD employees will receive a stipend.

San Diego County Water Authority Seeks Rate Relief at MWD

With the recession and the COVID-19 pandemic causing economic havoc nationally and across Southern California, the San Diego County Water Authority has adopted several cost-cutting strategies to reduce rate increases and it’s asking the Los Angeles-based Metropolitan Water District of Southern California to do the same.

San Diego County Water Authority Board of Directors Chair Jim Madaffer-primary-View from the Chair

Help Us Reduce Water Rates

As my two-year term as the Water Authority Board chair winds down, it’s my pleasure to update you on two important efforts that are underway for the betterment of the San Diego region.

First of all, our Board voted unanimously last week to spend a few more months discussing and assessing a study of a new regional water conveyance system to deliver our high-priority Colorado River supplies from the Imperial Valley. The work we’ve done over the past year shows the project would produce billions of dollars in potential savings over several decades – and we plan to use the next few months to outreach to stakeholder communities about this study, address questions raised in recent weeks and seek Board direction in November.

Ultimately, the questions are bigger than a new aqueduct – they are about how we sustain our economy and quality of life at a reasonable cost. A new multi-benefits conveyance system is one potential solution – but if not that, then we must grapple with equal intensity over whether it makes sense to pay ever-increasing costs (over which we have no control) to the Los Angeles-based Metropolitan Water District of Southern California to deliver our water for generations, or whether a plan based mainly on local water generation is financially feasible.

The other big issue this month is related – my request that MWD adopt rate relief measures this fall that reduce our water costs. Put simply, despite the recession and the COVID-19 pandemic MWD has not enacted the same kind of rate relief as the Water Authority, which froze hiring, deferred non-essential projects and significantly reduced travel – among other steps. In the end, we limited rate increases to 4.8-4.9 % for 2021 – and more than 60% of that is directly attributable to MWD.

Now, we’re asking MWD to take a similar approach, recognizing that we’re all in this together. We aren’t prescribing the strategies for MWD. We’re just asking that the nation’s largest water agency help its customers, and we’re pledging that any rate relief MWD provides will be passed directly to our member agencies. You can view the letter I sent to MWD at www.sdcwa.org/support-rate-relief-mwd.

I invite you to help move this conversation forward by encouraging MWD to find meaningful cost savings this fall that are reflected in its budget. Please take a moment to do so at www.sdcwa.org/support-rate-relief-mwd by submitting a letter of support for rate relief.

View From The Chair represents the viewpoints of Jim Madaffer, Chair of the San Diego County Water Authority Board of Directors.
San Diego County Water Authority-Rate Relief-MWD-COVID-19

San Diego County Water Authority Seeks Rate Relief at MWD

With the recession and the COVID-19 pandemic causing economic havoc nationally and across Southern California, the San Diego County Water Authority has adopted several cost-cutting strategies to reduce rate increases and it’s asking the Los Angeles-based Metropolitan Water District of Southern California to do the same.

When the Water Authority’s Board of Directors approved its 2021 rates in June, it limited rate increases to 4.8-4.9% – and more than 60% of that rate increase is directly attributable to MWD. The Water Authority Board also directed staff to return this fall with any other cost savings, specifically, any pass-through savings from MWD.

Water rates and COVID-19

So far, MWD’s Board has directed agency staff to look for cost-cutting measures – but MWD staff is proposing not to offer further rate relief.  Even though MWD is proposing to initiate cost-containment efforts to save $11.7 million in FY2021 (less than 0.6% of its budget), MWD’s September rate review memo recommends not to incorporate the savings into its budget and not to offer rate relief because it found member agencies “have not experienced significant [financial] impacts attributable to COVID-19.”

Water agencies face financial pressure

In reality, San Diego County and the nation continue to face a recession and double-digit unemployment, and many water agencies across Southern California are facing financial pressure due to unpaid bills by residents and their own efforts to provide rate relief.

In response to those unprecedented pressures, the Water Authority froze hiring, limited travel and training, and delayed equipment replacement, among other efforts.

“The Water Authority Board believes that it is important for all water suppliers, including MWD, to be recognized as part of the solution for Southern California ratepayers during this difficult time,” said Jim Madaffer, chair of the Water Authority’s Board of Directors. “MWD has an opportunity to help millions of ratepayers by tightening its belt like the Water Authority and numerous other water agencies have already done.”

Nation’s largest water agency has opportunity to help ratepayers across Southern California

Madaffer wrote a letter to MWD’s Board chair this week encouraging the nation’s largest water agency to take additional cost-saving steps. One way MWD could benefit all member agencies would be to reduce its water transportation rates by $15 per acre-foot. This would trim MWD’s budget by about 1.3% and provide $24 million in savings to Southern California water agencies.

However, Madaffer said the Water Authority is open to other ways that MWD can cut costs and reduce rate increases.

“We want to be clear that it also is not our intention to impede in any way MWD’s ability to provide a safe and reliable water supply to its member agencies – to the contrary, we believe these cost savings may be achieved without having any material impact on service,” Madaffer said.

To read Madaffer’s letter and submit a letter of support for rate relief to MWD, go to www.sdcwa.org/support-rate-relief-mwd.

FPUD Approves Additional LAFCO Deposit

San Diego County’s Local Agency Formation Commission requires a deposit to process applications to LAFCO for jurisdictional changes, and the Fallbrook Public Utility District will be providing an additional deposit to process the application for FPUD to detach from the San Diego County Water Authority and annex into the Eastern Municipal Water District.

A 5-0 FPUD board vote, Monday, Aug. 24, authorized an additional $62,220 deposit to LAFCO. The deposit is expected to cover an additional 510 hours of LAFCO staff time at LAFCO’s rate of $122 per hour.