California Water News Daily Your Source For Water News in California
During the April 14 meeting, Olivenhain Municipal Water District’s Board of Directors unanimously approved utilizing a $2 million refund to reduce future rate increases to OMWD ratepayers.
“This is a tremendous victory for our region and our ratepayers,” said OMWD Board Treasurer Christy Guerin. “The court rulings will not only enable OMWD to minimize rate increases over the next four years, but also help to avoid future overcharges.”
The refund resulted from San Diego County Water Authority’s decade-long litigation with Metropolitan Water District of Southern California. SDCWA was deemed the prevailing party and awarded the payment of legal fees and charges in addition to damages and interest payments from MWD. More money may follow as the amount of legal fees and costs owed to SDCWA is yet to be determined, and cases filed beyond 2014 are still pending.
Annual rate increases through 2024 were proposed after the release of OMWD’s 2019 Water Cost of Service Study Report, however by applying OMWD’s share of the refund to its rate stabilization fund, rates will remain lower than proposed.
