April 15, 2014 > Public workshop will explore financial implications of the drought
Public workshop will explore financial implications of the drought
Submitted By Frank Jahn
The Alameda County Water District announced today that it will hold a workshop to evaluate options for dealing with the adverse financial impacts of the drought. The workshop will be held on Tuesday, April 15 in the Multi-Purpose Room at ACWD headquarters in Fremont.
Due to historically dry conditions, the ACWD Board of Directors declared a water shortage emergency in Fremont, Newark, and Union City on March 13 and adopted an ordinance that includes mandatory water-use restrictions. These restrictions will help to achieve a 20% District-wide reduction in water-use, which is needed if the Tri-City area is to have a reliable water supply throughout the coming summer and fall.
With increased conservation however, comes financial challenge.
ÒConservation will be critical during the coming months,Ó noted ACWD Board President Paul Sethy. ÒBut conservation means less revenue for the District, and ACWD must continue to fund the treatment and distribution of drinking water. These fixed costs are considerable.Ó
ACWD staff is exploring a number of options to meet the financial challenges related to decreased revenue. These include cutting expenses, delaying capital projects, implementing a tiered rate structure, depleting cash reserves, issuing a new bond, or any combination of these.
ÒStaff is looking closely at the option of implementing a tiered rate structure as early as July, 2014,Ó said ACWD General Manager Walt Wadlow. ÒWe were thinking seriously about recommending a change to tiered rates in February of 2015, but moving the implementation date up by seven months would give us another valuable tool in combating the drought.Ó
ACWD customers interested in learning more about the financial challenges facing the District as a result of the drought, or in participating in the discussion on how to mitigate these challenges, are encouraged to attend the Board workshop on April 15.
Tuesday, Apr 15
Alameda County Water District
43885 S. Grimmer Blvd, Fremont