Everyone in the Gardnerville Ranchos will be on a water meter within 10 years but at the current rate the Ranchos customers are being charged for water, revenue won't keep with expenses by around 2013.
The board was presented details of the water rate study by District Engineer Randall Long on Dec. 6.
He gave recommendations on how the meter system that was approved by the board in 2004 would be fully implemented by 2017.
The cost of the meter retrofit will be more than $2 million. One alternative to fund the installation of all the meters was to increase average monthly user rates by $4.
Another alternative was to acquire a 20-year loan in 2017 at 5 percent interest.
In his 10-year rate forecast summary, Long said in 2016 the flat rate structure should be about $26 per month to cover expenses.
He recommends three $1.50 per month increases in 2009, 2012 and 2015 to facilitate meeting expenses.
Since July 2004, it has been the district's policy to require installation of water meters on any new construction or when property changes title.
This policy affects about 300 properties in the Ranchos each year.
Water meters will be used district-wide within 10 years.
The current rate for those with meters installed is $21.50 per month plus 90 cents per 1,000 gallons of water used after the first 10,000 gallons.
The final report and funding plan will be presented to the board for their consideration at the next regular meeting, Jan. 3.
n Sharlene Irete can be reached at sirete@recordcourier.com or 782-5121, ext. 217.
