IEUA Board Votes to Defer Upcoming Adjustment on Monthly Sewer Rates

By on May 16, 2020

The Inland Empire Utilities Agency’s (IEUA/Agency) Board of Directors unanimously voted to defer the scheduled Wastewater Equivalent Dwelling Unit (EDU) rate adjustment for 12 months. An EDU is defined as a standard unit of water or wastewater demand equal to one single family residence.

On November 20, 2019, the Board of Directors approved the adoption of a two-year adjustment to Wastewater EDU rates to cover the cost of service, which would have increased the monthly rate by 60 cents in FY 2020/21 and 62 cents in FY 2021/22, a modest increase of three percent per year. This change was scheduled to take effect on July 1, 2020, but with the board’s action the adjustment has been deferred until July 1, 2021.

“In an effort to mitigate the fiscal impact to our ratepayers, and address concerns already raised by some of our member agencies, the Board felt that deferring the monthly EDU rate was the right thing to do,” stated IEUA Board President Kati Parker. “The revenue shortfall will be covered by a combination of deferral of non-critical projects and expenses, and the use of operating contingency funds to support essential operating and capital costs not recovered by rates.”

In reaching their decision, the Board took into account the far-reaching measures implemented at the federal, state, and local levels to contain the spread of the COVID-19 pandemic and the resulting impact this will have on our lives, our communities, and our economy. While it is still too early to quantify the economic impact this crisis will have on the communities we serve, the longer this disruption lasts, the more likely it is that we will see a downturn in the economy.