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Water rates are increasing. PCWA is passing on increased costs from PG&E who increased their rates for the first time in 45 years. Customers in PCWA Zone 1 which includes the cities of Auburn, Loomis, Rocklin, Lincoln, a portion of Roseville, and surrounding unincorporated communities in western Placer County will see the increase effective Jan. 1, 2014.
PCWA’s Ierner Maisch said rate increases are needed to cover significant increases wholesale costs to purchase water from the PG&E, along with other increasing costs of providing reliable public water service.
PCWA is currently paying about $200,000 per year for Zone 1 water. Under the terms of the new wholesale water contract negotiated with PG&E, this amount will rise to $3 million in 2014 and to $4 million in 2015. Maisch says that equals about $25 cents a day for the average user.
Future increases will be based on an inflationary factor. The new wholesale contract was negotiated over several months and replaces a 1968 contract that expired earlier this year.