A recent water rate study conducted for the Nipomo Community Services District (NCSD) found that to keep the current water system updated and healthy for residents, the average bill for a residential home needs to increase by 9.3% every year until 2028.
John Wallace, a Nipomo resident, said his bill is already high.
“It's a little high for the fact that we've had quite a bit of water in the last couple of years, and, you know, I just think the prices are way up and they shouldn't bring them up again,” Wallace said.
NCSD General Manager Ray Dienzo said he understands the concern but that it is a necessary change due to increased costs of operations, supplemental water, and capital costs.
“This is capital costs for existing, for our existing infrastructure,” Dienzo said. “We propose that we would need about $8.9 million of our existing capital funds to be able to replace some of the capital projects that we need.”
Still, some residents said they’re frustrated by the amount they might have to pay.
“That makes me feel like I'm being ripped off,” Wallace said. “I've eliminated a huge amount of lawn and, you know, it's like, now what do they want me to do? Kill all my plants?”
Dienzo said the Community Services District has heard reports that the newly approved Dana Reserve Project is to blame for the rate increases.
“The Dana Reserve is not contributing to this cost increase,” Dienzo said. “Our current ratepayers are not subsidizing the capital costs that are tied to the infrastructure that's required for the Dana Reserve.”
Dienzo said the Dana Reserve Project would have helped residents if it had been built on time, as the costs would have been divided among more residents in town. He said that may still be possible after the planned increases end in 2028.
He said a town hall meeting will be held on November 13 from 5 p.m. to 7 p.m. at the Nipomo Community Services District.
The public hearing for the rate increase will be on December 10. If more than 50% of residents in the town submit protests, the increase will not go through.
