What is the rate study process?

The District hired Raftelis Inc., a consulting firm with expertise in water rate studies in California and across the country. Their scope of work includes developing long-range financial plans for water service and assisting with the California Proposition 218 process and Public Hearing for rate adoption. The rate study consists of a series of steps involving data evaluation, performing technical analyses, deriving customer rates, and understanding customer impacts of any modifications. Once a rate proposal is determined, the complete study is documented in a Study Report to serve as part of the District’s administrative record. 

In California, all parcels connected to a utility system must be given notice of any rate changes with the ability to protest the proposed rates. The notice details the proposed rates, the basis for calculating the proposed rates, the reason for the proposed rate increase, details of the public hearing, and ratepayers’ or property owners’ right to protest. After a protest period of no less than 45 days, the District Board of Directors can conduct a Public Hearing. Absent a majority protest to the rate proposal, the District Board may choose to adopt the rates as noticed. 

2023–24 Rate Study Schedule: The anticipated schedule to complete the rate study and consider new rates in a Public Hearing is mid-February 2024, for proposed implementation on March 1, 2024. A presentation and public comments are scheduled to be heard at the Board of Directors meeting on December 19, 2023.  We encourage the community to stay informed about the water rate study through the District’s website at www.soquelcreekwater.org/ratestudy. To submit questions or comments, send an email to ratestudy@soquelcreekwater.org  or call (831) 475-8500 and ask for Leslie Strohm. 

Show All Answers

1. How is the Soquel Creek Water District funded?
2. What do water rates pay for?
3. Does the District make a profit?
4. Why is the District conducting a water rate study?
5. Why do we have to adjust water rates now?
6. What is the rate study process?
7. How are rates set?
8. Who approves rate changes?
9. Does the District inflate forecasted expenses when setting rates?
10. What is the District doing to ensure adequate water supplies in the face of seawater intrusion?