Directors presented with proposed five year capital expenditure plan
TURLOCK – TID Board of Directors approved a resolution establishing a public hearing on December 9, 2008 at 1:30 p.m. to receive public comments and answer questions regarding a proposal to increase the rates charged for irrigation water.
TID is proposing to increase its Water Charge by $3.00 per acre on January 1, 2009 and again on January 1, 2010. In addition, it proposes to increase the charge for both tier two and tier three water by $5.00 per acre-foot on January 1, 2009. The proposed increase would raise the Water Charge from $20.00 per acre to $23.00 on January 1, 2009 and to $26.00 per acre on January 1, 2010. When available, water above the allotment would be provided at the cost of $15.00 for the first acre-foot and $20.00 per acre-foot for any water thereafter.
The rates charged for irrigation water have remained unchanged for the past four years during which time operating and maintenance costs have increased. The proposed irrigation water rate increase will help to offset a portion of the increased cost associated with the delivery of irrigation water, maintenance of the canal system, and regulatory requirements.
A survey of the rates charged by neighboring irrigation districts show that TID’s current Water Charge of $20.00 per acre is among the lowest for the amount of water received. Even with the proposed increases, TID’s rates will remain comparable to, and in most cases lower than, other local agencies providing a similar service.
On the electric side, the TID Board is continuing a series of financial workshops and will hold a public hearing on November 25, 2008 at 9:00 a.m. to receive public comments on proposed rate revisions to the District’s electric rate schedules.
Yesterday, the TID Board of Directors was presented with the proposed five year capital expenditure plan. Besides capital costs, which include projects to improve the irrigation and electric system, other financial impacts to the District include rising natural gas and wholesale electric prices, below average generation from hydro power plants and meeting state mandates for energy efficiency and renewable energy.
Another workshop is scheduled next week to review current rates as well as possible 2009 rate increases for the District’s 24 electric rate schedules.
