A drought surcharge paid by customers of the San Lorenzo Water District could be lifted this summer, but the lost revenue is being factored into the district’s calculations for a multi-year rate increase expected later this year.
The district’s board of directors held its second public meeting on its study of water rates, on Monday, at the Highland Park Senior Center.
The challenge facing the district was summarized by director Margaret Bruce: “What is the fastest route to a healthy reserve” fund?
The directors acknowledged that the board’s annual $8 million budget includes no funds for reserves, which would pay for infrastructure repairs and replacement throughout the sprawling mountain district.
First details of the actual rates to be considered under several options will be revealed at the board’s next rate hearing in June. No date or location has been set for that session.
Board President Gene Ratcliffe cautioned the audience that even though the California drought is officially over, “Santa Cruz County is in a groundwater drought” because the depleted aquifer, source of much of the district’s drinking water, has not been fully replenished by two years of heavy rain.
The board is considering increases in connection fees, as well as adjustments in rates for water consumption.

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