Rising water costs! Panic! Chaos! Anarchy! Recently, we've received many calls from loyal members and viewers rightfully angry about their high water bills. While we are ramping up to scrutinize City Water & Sewer department rates and operations, we want to give you an explanation of a portion of your bill--specifically, the baseline fees. This post will not be a commentary of the high cost of water, but an informational guide to a portion of your water bill and why that portion is so high.

Arguing the financial benefit, the City switched to a bi-monthly billing cycle in early 2003. This means that instead of being charged for one month per bill, you are charged for two months' water use per bill. Although the City claims bi-monthly billing "will save the Water and Metropolitan Wastewater Departments $630,000 in printing and mailing costs each year," [http://www.sandiego.gov/water/rates/billing.shtml] it does nothing to soothe the sticker shock when you open a water bill for hundreds of dollars. Bi-monthly billing is important to note because although you are paying the same amount annually, each bill consists of a large payment equivalent of two months' water use.

The City charges you baseline fees on a bi-monthly basis. There are two baseline fees charged on your water bill. The first fee is the baseline water fee in the amount of $35.42.  The second fee is the baseline sewer fee in the amount of $28.64. 

What does this mean to you? If you are a City of San Diego single-family residential water customer, you will pay the City $64.06 every two months--before you use a drop of water! Annually, the baseline fee costs you almost $400 just for the privilege of being able to receive water. Allegedly, the baseline fee reflects the operational costs of maintaining the water infrastructure and excludes the cost of the actual commodity (in this case, water).  This kind of "flat" billing is fairly controversial in utility circles.   Energy utilities, such as SDG&E, have been forced by regulators to charge volumetrically, rather than using flat fees.  That means that the utility must incorporate its operational costs into its rates rather than separating it out into a separate baseline fee.

After the baseline fee comes the volumetric fee, or, the water use and sewer use fees.  These are tacked on top of these baseline fees. These rates vary on the amount of water you use and your type of residence.   They too are controversial as they are not tiered so that customers who use a LOT of water in a wasteful manner pay the same rate per hcf as a very frugal customer who conserves water.   UCAN will be examining both the City's use of a flat baseline fee as well as the very regressive volumetric fees for water.

How can you turn bad news into a positive? Be a vigilant water consumer! Go out and read your meter every month to make sure that the City is charging you the proper amount above the baseline fees. The Water Department's website has a wealth of information that you can use to your advantage. Here's a simple guide to reading your water meter: http://www.sandiego.gov/water/rates/how.shtml. Additionally, here's a calculator to help give you an estimated bill amount: http://www.sandiego.gov/cgi-bin/water/rates/calculator.pl. Use these tools to keep the City in check and make sure you are paying only for the water you use. An informed customer is a powerful consumer.