Prop 218 Notice FAQ’s

The District is committed to ensuring that our customers receive clean, safe, and reliable water supplies, and that the water system is maintained to high standards that protect our community’s health and safety, as well as the environment. The District’s water rates were last increased in January 2020. The District is currently implementing the recommendations of its Master Plan, which recommended an increase in the pace of replacing and rehabilitating the District’s aging infrastructure. In order to adequately and responsibly support the District’s operation and maintenance, improve water system facilities, meet debt service requirements, and maintain financial stability, the District is proposing an increase in water rates.

Click to View Proposition 218 Notice of Proposed Rate Increases for 2021-2025

Click to View DRAFT 2020 Business Plan, Water Rate, and Capital Facilities Fee Study Report

Public Hearing Information

Tuesday, December 15, 2020 at 6:00 p.m. via Teleconference.

Join from computer, tablet or smartphone:
https://us02web.zoom.us/j/87095100305?pwd=RDhNd01XSjBMbVY1bXFjVi9MZ0Q0QT09

Join by phone:
Dial US: +1 669 900 6833. Meeting ID: 870 9510 0305. Password: 171231.

Frequently Asked Questions

The District is committed to ensuring that our customers receive clean, safe, and reliable water supplies, and that the water system is maintained to high standards to protect our community’s health and safety, as well as the environment. To meet this commitment, the District analyzes and develops updated long-term financial plans regularly to ensure adequate funding for the necessary infrastructure investments to maintain safe and reliable service.

To further put our commitment to action, the District is in the process of completing the 2020 Business Plan, Water Rate, and Capital Facilities Fee Study Report (Report). The Report describes rate adjustments necessary to fund recommended reserve levels and capital improvement projects (CIP). As our water system ages, it is important to continue to invest in replacements and upgrades to District assets and infrastructure as noted in the Report.

Click to View DRAFT 2020 Business Plan, Water Rate, and Capital Facilities Fee Study Report

The update to the water rates were performed by an experienced water rate consultant with the assistance of the Water Rate Study Committee, comprised of five customers of the District (one from each division) and two board members. The water rate study was conducted as part of the update to the District’s Business Plan. The proposed water rates meet legal requirements for cost of service and proportionality and retain the existing basic rate structure.

A typical (median) home served by the District has a 1” water meter and uses about 22 CCF during a two-month billing cycle (or about 275 gallons per day). The bi-monthly water bill for this median usage would increase from $121.25 to $129.42, or an increase of $8.17 (6.7 percent). You can find information about your water service and water usage patterns from your past bills.

If you would like assistance in determining how the proposed water rates may affect your water bill, please contact the District at (916) 483-2452 Monday through Friday from 8:00 a.m. to 4:30 pm.

Currently the District’s rates fall within the median range compared to other regional public water purveyors. Even with the increase, the District will remain within this median range.

To meet projected revenue needs, as documented in the Report, the District is proposing scheduled rate increases over a five-year period. The initial increase will occur on January 1, 2021 and will increase the overall level of water rate revenue by 9.5 percent. Subsequent rate increases will occur each January 1, beginning in 2022 as shown in the Proposition 218 Notice. These rate increases are needed to ensure the District’s ability to meet financial and service obligations related to water system operations, rehabilitation and upgrades, as well as existing debt service payments.

A multi-year rate structure provides transparency, aligns with our CIP and Operating budgets and financial plan. It also precludes the need to revisit the Proposition 218 process more frequently reducing administrative costs, and allows our customers to plan for future costs more accurately.

The rate adjustments are needed to maintain the current level of service for all District customers and pay for the costs of operating and maintaining complex water treatment and distribution systems. Without these rate adjustments, the public could see reduced levels of service and higher future costs due to deferred maintenance.

State law prohibits the District from collecting from any customer more than the amount required to provide water service. If a reduced rate was provided, other ratepayers would subsidize the low “reduced rate” ratepayers. Those paying for the subsidy would be paying in excess of the cost of service to their parcel, which is in violation state law. This prevents CWD from offering a low-income rate program or Customer Assistance Program (CAP).

If you do not receive a notice and feel you should, you may contact the District for a replacement notice. Alternatively, you can download one by clicking the link below.

Download Proposition 218 Notice

The public hearing will be held on Tuesday, December 15, 2020 at 6:00 p.m. via Teleconference.

Join from computer, tablet or smartphone:
https://us02web.zoom.us/j/87095100305?pwd=RDhNd01XSjBMbVY1bXFjVi9MZ0Q0QT09

Join by phone:
Dial US +1 669 900 6833. Meeting ID: 870 9510 0305. Password: 171231.

Any property owner of record of a parcel that would be subject to the proposed rates or any tenant directly liable for payment of water service fees (i.e., a customer of record), may protest the proposed water rate changes. If the District receives timely written protests from in excess of 50 percent of the parcels receiving water service from the District the Board will not adopt the proposed rates.

To be counted, all protests must:

  1. Be in writing with an original signature from the property owner of record or tenant directly liable for the payment of the water bill.
  2. Identify the parcel for which the protest is filed, by street address or Assessor’s Parcel Number (APN).
  3. State that the signer opposes the proposed water rates.
  4. Be received by Carmichael Water District at any time prior to the close of the public hearing that will begin at 6:00 p.m. on Tuesday, December 15, 2020. A protest may be mailed to the Carmichael Water District or deposited in our utility bill drop off box located at 7837 Fair Oaks Blvd., Carmichael, California 95608, or delivered to the same address during regular business hours. Please include the following notation on the front of the envelope for any written protest: “ATTN: Public Information Officer, Chris Nelson, Protest of Proposed Water Rates.”

Only one protest will be counted for each parcel. Email, fax, telephone, or oral protests of any kind will not be counted. Mailed protests received after the close of the public hearing will not be counted, even if they were postmarked earlier.

Any tenant who is directly liable for payment of water service fees (i.e., a customer of record), may protest the proposed water rate changes. If both the owner and tenant submit a protest letter, only one written protest per parcel will be counted.