San Bernardino Municipal Water Department considers rate increases

The San Bernardino Municipal Water Department (SBMWD) recently completed its first independent cost of service study since 2015 and is considering the adopting a schedule of increases in rates for water and wastewater services.

Last year, SBMWD hired Raftelis, an independent financial consulting firm, to conduct an extensive Cost of Service analysis of the Department’s revenues and rate structures. Like other household expenses, costs related to services SBMWD provides have increased in recent years. The study found that if rates remained unchanged, SBMWD’s operational and capital costs would rise to levels greater than what current rates and charges can support. Additionally, the study identified opportunities for SBMWD to establish simplified water and wastewater rates that promote greater transparency and equity across all rate classes reflecting current costs and circumstances.

The proposed water rate structure will have a Fixed Monthly Meter Charge, a Commodity (Usage) Rate, and a Drought Surcharge. The Fixed Charge and Commodity Rates would be constant regardless of drought conditions. The activation of a Drought Surcharge would require Water Board action as a result of local or state mandated water curtailments due to drought emergency.

Under the proposed rate increase, the charge for a 3/4 inch meter would go from $29.28 a month currently to $32.98 a month by July 1, 2025. SBMWD is also proposing charging water rates based on a three-tier system where water usage charge increases as water usage increases. A single family home can expect their water usage rate to increase from $1.43 to $2.16 per hundred cubic feet (HCF) by 2025.

SBMWD will conduct a public hearing on Tuesday, March 8, 2022 at 9:30 AM at the Norman F. Feldheym Central Library, 555 West 6th Street, San Bernardino, CA 92410.

If approved, the increases would take effect on April 1, 2022. To view the full schedule of proposed rate changes visit https://www.sbmwd.org/373/Rates-2022.