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Orange County advances reclaimed-water rate overhaul to full cost recovery; residents to face tiered increases
Summary
The county accepted a rate consultant’s recommendation to move reclaimed water rates to 100% cost recovery, create residential conservation tiers and eliminate monthly usage allowances. The board approved the preliminary rate schedule and will hold a noticed public hearing before any final changes take effect.
Orange County commissioners on Jan. 7 accepted a preliminary reclaimed-water charge schedule that would shift the utility toward full cost recovery and introduce tiered residential conservation rates, county staff and the consultant said.
Comptroller Glenn Kramer and Stantec consultant Eric Grau presented the rate study findings, which show the reclaimed-water system currently recovers roughly 73% of system costs and faces an estimated $5.3 million revenue shortfall in fiscal 2025. The consultant recommended recalculating fixed monthly charges and volumetric rates, eliminating monthly allowances and instituting conservation tiers for residential customers with meters under 1 inch.
Under the recommended structure: residential meters would have three conservation tiers (Tier 1:…
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