The board approved moving forward with consolidating Pine Grove Community Services District's water system, converting approximately 400 wholesale connections to retail customers to address Pine Grove's $250,000 operating deficit. The agency received a three-notch credit rating upgrade from Standard & Poor's, improving from BBB negative to A minus, which reflects improved financial stability. Staff will prepare consolidation agreements and return with action items, while the transition ...
The board approved significant water and wastewater rate increases for 2026 following a comprehensive rate study, with a public hearing scheduled for December. A $45 million federal WIFIA loan for critical infrastructure projects remains on track despite potential delays from the government shutdown. Additionally, a proposed pipeline project to send treatment plant backwash water for dust control has generated community controversy due to widespread misinformation about its purpose.
The Board approved significant 7% annual water rate increases for the next five years to fund a $73 million infrastructure improvement program, while also approving more modest 3% annual wastewater rate increases. These rate hikes will increase typical residential bills from around $92 to $124 over the five-year period for water services. A formal public hearing process was initiated, with customers having the opportunity to protest the proposed increases at a December 9, 2025 hearing.
The board approved a $1.52 million pipeline repair contract and directed staff to proceed with a $48 million water treatment plant financing strategy through a federal WIFIA loan. Staff identified significant cost savings of $18-20 million in the treatment plant projects while still meeting capacity and safety requirements. The board also supported state legislation for low-income water rate assistance to help ratepayers manage infrastructure improvement costs.
The Board postponed approval of $5.8 million in construction management contracts for major infrastructure projects due to concerns about awarding management contracts before construction contracts, which differs from historical practice. Following recent political violence, safety protocols including "Run, Hide, Fight" procedures were discussed to enhance employee security. A new employee retention policy was approved offering financial incentives for workers who provide 6-24 months...
