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2009 Rate Change

The EAWSD Board of Directors proposed a change to the District’s water rate structure in April of 2007, which was the first rate increase since 2001. The objectives of the proposed rate structure were:

  1. Create a tiered rate structure in which consumers of high volumes of water would pay a higher rate per gallon than consumers of low volumes of water, thus encouraging good conservation practices.
  2. Establish a higher base fee for out-of-District customers (who do not support EAWSD through property taxes), in order to more fairly distribute the costs of acquiring the utility.
  3. Increase rates to cover increased costs of inflation and to provide partial funding for capital improvements needed for the utility infrastructure.

Upon filing of the proposed rates in 2007, approximately 400 ratepayers signed a petition in protest, which triggered review of the rate increase by the New Mexico Public Regulation Commission (PRC).

In May of 2008, over a year after the District filed its application for rate change, the PRC's designated Hearing Examiner held the first hearing on the case.  

Four months later, in September 2008, the Hearing Examiner issued her recommendations, which were reviewed by the PRC Commissioners in November 2008.  At that time, the Commissioners were not satisfied with the Hearing Examiner’s recommendations and issued a remand order for reconsideration of the case to address the failure to provide a source to fund capital improvement projects (CIPs).

Because of the immediate and ongoing financial need of the District, EAWSD filed a petition for interim rate relief in February 2009.  This request was that the District be allowed to implement new rates based upon the September 2008 recommendations of the Hearing Examiner, while a final solution was being worked out.  These interim rates were implemented and appeared first in the billing for June, 2009, for April-May water consumption.

EAWSD and the PRC staff entered into a Stipulation in early May, 2009. After a hearing on the Stipulation, however, the Hearing Examiner recommended rejecting the Stipulation.  

On August 4, 2009, the Public Regulation Commission (PRC) issued a Final Order on the Eldorado Water and Sanitation District’s (“District”) proposed rate increases in Advice Notices #3 and #4. That final order required the District to file materials, including a new Advice Notice #6, by August 11, 2009. The District complied with those requirements, and the PRC Staff issued a memorandum on August 13, 2009, finding the District in substantial compliance with the
Commission’s final order. On August 20th, 2009 the Board of Directors of the District authorized the new rates to be implemented in the November billing for water used in September-October; these rates are now in effect.

Note.  The 2009 New Mexico Legislative session modified the State Water & Sanitation District Act through HB337/SB384 to remove review of rate change protests for Water & Sanitation Districts from the PRC, with final adjudication being handled by the District Courts.  Special provisions were made in the new law for EAWSD; these new provisions add a single public hearing by a PRC Hearing Examiner to the new rate change process. This new legislation does not affect the rate case this is in progress.


Key Documents

This section of the website contains key documents related to EAWSD rate cases before the PRC, in chronological order.  Official copies of these documents, and others relating to the case, can be obtained through signing up for a free account for the PRC's online case docketing system (see information in right-hand column of this page).

Content Last Updated 6/15/2010

PRC Case No. 05-00417-UT

2005-09-12 EAWSD Advice Notice #1:  Rates, fees, & tariffs (No. 1 to 4) with Notice to Taxpayer-Electors [PDF: 98 KB]

2005-09-12 EAWSD Advice Notice #2 - Rates, fees, & tariffs (No. 5 to 13). [PDF: 98 KB]

2006-05-09:  PRC order dismissing protest and allowing rates to go into effect [PDF: 339 KB]

PRC Case No. 07-00169-UT

2007-04-25 EAWSD Advice Notice #3 - Revised tariffs No. 1,2 & 4. [PDF: 889 KB]

2007-04-25 EAWSD Advice Notice #4 - Original tariff No. 11. [PDF: 743 KB]

2008-09-11 PRC Hearing Examiner recommended decision [PDF: 3.84 MB]

2008-09-22 EAWSD exceptions to RDAs [PDF: 1.43 MB]

2008-11-25 PRC Commission Remand Order [PDF: 334 KB]

2009-06-22 PRC Hearing Examiner's Certification of Stipulation, Recommending Disapproval of Stipulation [PDF: 5.12 MB]

2009-07-02 Exceptions of Eldorado Area Water & Sanitation District [PDF: 1.06 MB]

2009-07-30 EAWSD Response to Bench Request Order Issued by Chairman Sandy Jones of the Public Regulation Commission on July 28, 2009 [PDF: 4.99 MB]

2009-08-03 EAWSD Response to Bench Request Order Issued by Jason Marks of the Public Regulation Commission on July 30, 2009 [PDF: 1.21 MB]

2009-08-04  Final Order Partially Adopting Certification of Stipulation [PDF: 7.11 MB]

2009-08-12  EAWSD's Notice of Compliance Filing [PDF: 1.44 MB]

2009-08-12 Revised Tariff Schedules (Advice Notice No. 6) [PDF: 273 KB]

2009-08-13 Revised Tariff Schedules (Advice Notice No. 6) -- REVISED [PDF: 290 KB]

2009-08-13 PRC Memo -Eldorado Area Water & Sanitation District Advice Notice No. 6, ACCEPT FOR FILING [PDF: 78 KB]

Phase 1 Rates Approved by PRC [PDF: 51 KB]
These final, approved rates replaced the interim rates with the November 2009 billing.

Phase 2 Rates Approved by PRC [PDF: 51 KB]
These rates will be implemented only after EAWSD incurs loan debt to support capital improvement projects.

2009 Interim Relief Approval

2009-02-23 EAWSD petition for interim relief [PDF: 1.23 MB]

2009-03-05 PRC Commission Order granting interim relief [PDF: 2.81 MB]

2009-03-20 EAWSD Advice Notice #5  - Interim relief [PDF: 2.60 MB]

FOR MORE INFORMATION:
Treasurer [ email ]

KEY RESOURCES:


New Mexico Public Regulation Commission


New Mexico Public Regulation Commission Case Docket Information

To obtain copies of the official documents for the current EAWSD rate change case, request access through this online form.
When you are granted access, you may sign on and search for documents on Case No. 07-00169-UT.


New Mexico Legislature 2009:  House Bill 337 final, amending Water & Sanitation District Act

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