AWWA SOURCES55572

AWWA SOURCES55572 Ten Years of Water Budget Tiered Rate Structure at the Irvine Ranch Water District
Conference Proceeding by American Water Works Association, 01/01/2002

Ash, Tom;Lessick, Dale

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In 1990, Irvine Ranch Water District (IRWD) sought to move from a traditional flat rate structure to a rate structure that would better meet a variety of District needs/goals. These needs/goals were driven by various outside forces, including: drought; wholesale price increases; and, politics. This paper describes how IRWD was driven by Mother Nature, economics and politics to seek a new rate structure that would reward conservation and penalize water waste while maintaining an adequate and stable revenue stream for the agency. IRWD wanted to create a system that addressed long-term water supply/demand problems by sending a clear message to customers that efficient water use was the goal for all customers.