LAKE CASITAS : Water District OKs Annual Rate Hike

The Casitas Municipal Water District on Wednesday approved a 2.75% hike in water rates for its 2,800 customers and authorized additional annual increases through 1997.

The first rate hike, averaging about 18 cents per month per residential customer, will go into effect May 1. Farmers and other users of large amounts of water will see their bills go up much more, said district General Manager John Johnson.

The hikes are expected to raise $2.6 million for the district, Johnson said.

The other rate hikes, which will increase customers’ bills by 2.75% annually, will take effect each January, beginning in 1991.

The revenues will go into a reserve fund to cover operation and maintenance costs for the district’s water treatment plant, which the district must build to meet state and federal water quality standards, Johnson said. The state Department of Health Services has ordered Casitas to reduce the sediment levels of its water.

The district plans to build a $25-million water treatment and hydroelectric plant at the base of Casitas Dam. It will help offset the costs of filtering 32 million gallons of water per day.

The district has not decided how to finance construction of the plant.

In a separate action, the board approved a 7.5% salary increase for Johnson, retroactive to March 20. The board’s personnel committee recommended the raise to $92,547 based on an evaluation of Johnson’s performance in the year he has managed the district.