press release

Tuesday, June 19, 2007
Water board adopts $43.7M budget for fiscal year 2007-08
Budget includes proposed 5.9 percent rate increase for January 1, 2008

Chula Vista, CA - The Sweetwater Authority board of directors adopted a $43.7 million budget for fiscal year 2007-08 at a special June board workshop. The budget includes $34.4 in operating expenses, $4.5 million for capital improvements, and $4.8 million in debt service. The budget also includes a proposed water rate increase of 5.9 percent, to take effect January 1, 2008, pending approval later this year following Proposition 218 notification and a public hearing.

General Manager Dennis Bostad said, “This balanced budget will fund district operations, capital investments and debt obligations to provide safe and reliable water service to our customers in Chula Vista, National City and Bonita.”

The adopted budget reflects a projected increase of $3.4 million for imported water costs, due to the effects of drought-like conditions, and reduced local surface water. To contain rate impacts, $2.9 million in reserves will be transferred to revenues.

Major capital projects for the new fiscal year include $1.9 million in improvements to the Robert A. Perdue Water Treatment Plant to meet new regulatory standards, and $1.5 million for ongoing infrastructure replacement of aging pipelines. Other projects include air and water quality monitoring at Sweetwater Reservoir, supervisory control and data acquisition (SCADA) upgrades, valve replacements, and other system improvements.

Several important grants were obtained to fund a feasibility study for an Otay River Desalination Facility, and for the expansion of the Richard A. Reynolds Groundwater Desalination Facility.

Sweetwater Authority provides public water service to 180,000 residents of Chula Vista, National City and Bonita.

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Contact: Sue King, 619-409-6721