SANTA CLARITA VALLEY : Agency to Raise Water Hookup Fees

A decision by the Castaic Lake Water Agency to approve a 120% increase in water connection fees starting July 1 will raise the fee for the average new house from $2,300 to $4,800.

The water agency, which serves the entire Santa Clarita Valley, adopted the increase Thursday to cover an estimated $6.5 million that the agency could lose under a bill being considered by the state Legislature to help balance the state budget, agency General Manager Robert Sagehorn said.

The legislation means that the state would get local property tax dollars that now go to special districts and agencies such as the water agency, he said. But Sagehorn said the agency also approved a provision to make partial refunds if the legislation is rejected.

Because the agency’s bylaws allow it to consider fee increases only once a year, the agency could not wait to see if the state legislation is adopted, he said.

However, Ed Dunn, a Santa Clarita activist and longtime resident, complained about the increased fee, saying the added cost will eventually be passed on to residents. Dunn said he suspects that the fee will be used to help pay for a $332-million water processing plant that the agency plans to build in Saugus.