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TSAWR Program Update - August 11, 2015

As you are aware, the mandatory conservation period for our Transitional Special Agricultural Water Rate (TSAWR) customers is in effect.   TSAWR customers are required to make a 15% cutback from their 2013-2014 consumption or face possible penalties.   As noted in earlier communications, the District has options for smoothing and bundling of allocations to help our customers deal with this requirement. Please contact our Finance Department to take advantage of these options.

 

A couple of questions have come up that I would like to address.   First, we have received inquiries as to when the cutback periods actually start.   The SDCWA mandate is that reductions start on July 1st, but most people have water bills that include water consumption from June as well as part of July due to our reading cycle.   For the purposes of calculating compliance with TSAWR cutbacks, the August billing period will be the first month that we will use for this purpose.   Any billing period that includes a portion of June consumption on it will not be used to calculate your compliance.   The allocation data that was provided included July numbers but these were advisory only – your August billing period allocation will be the first full month of allocation used for compliance.

 

We have also been asked about what the penalty will be for failing to meet the allocations.   The San Diego County Water Authority (SDCWA) has allocated 9701 Acre Feet of TSAWR water to RMWD for this year, which is a 15% reduction from the baseline year.   If we stay under that total we will not be assessed any penalty rates from SDCWA.   If we exceed 9701 Acre Feet we will pay an extra $1440 per acre foot – about double normal – for each acre foot up to 11413 Acre Feet.   If we exceed 11413 AF the cost goes up an additional $2880/AF – or about triple the normal cost.

 

So for each unit of water, which is 748 gallons, the first penalty level amounts to $3.30 per unit and the second $6.60 per unit.   How these costs will be allocated among the TSAWR customers who exceed their allocations will be determined once we have an idea of the total penalties from SDCWA.   It is our goal to avoid any penalties – and we need your help in getting there – but if there are penalties they will be allocated to those customers who exceeded their annual allocations on a pro-rata basis.

 

We are committed to doing everything we can to make this process as painless as possible.   Please contact the District if you have any questions.

TSAWR Update 081115.pdf