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February 2007

The following report, San Diego Water Rate Study responds to the proposed water and sewer rate hikes over the next four years. The study compares water rate data across residential and commercial/industrial user categories, and identifies the upshot of the new rate structure for each group.

The objective is to raise funds for mandated upgrades to the water and sewer systems, which in turn benefits the city’s infrastructure, environment, and public health. However, CPI’s analysis on this proposal indicates a disproportionate rate increase for residential users versus commercial/industrial users, leaving an unfair burden on individuals and families in San Diego

Some key findings include:

  • An average single-family customer will pay 30% more than an average commercial/industrial customer through 2010.
  • The base service charge, a component of water rates, will decrease 4.4% ($0.80) for residential customers, while commercial/industrial customers receive a 49.4% ($37.28) decrease for the same component.