A proposed 288% water rate hike by the Santa Margarita Water District has sparked widespread opposition from The Shea Center and numerous San Juan Capistrano organizations, as concerns arise over unfairness, lack of equity, and the drastic increase in monthly water bills for approximately 124 affected organizations.
The Santa Margarita Water District (SMWD) drastic rate hike will make our water bill go from $15,000 to $45,000 per year, effective August 1st, 2023.
For us, every dollar counts and this unfair rise in our water bill will negatively affect our ability to serve our clients.
While many types of water and sewer use rates will be raised for commercial users, the proposed rate plan from the SMWD especially targets users who have fire sprinkler systems with pipes of 3” or larger. These private fire service lines don’t function on a daily basis, but are set up to ensure that if a fire starts, sprinklers can quickly knock it out.
Under the old system, the maximum monthly rate was just shy of $169 for any pipes that were 8” or larger, the most expensive option. Under the new system, organizations will have to pay up to $2,100 for the same pipe on their water bill, making it a 1200% increase in one year.
Our CEO, Dana Butler-Moburg is protesting the outrageous rate change on behalf of The Shea Center and all San Juan Capistrano business, schools, churches, and nonprofits that will be affected. About 124 organizations will see parts of their monthly water bill go up by as much as 1200% under new fees proposed by their new water district who began serving San Juan Capistrano customers in 2021. The Shea Center is supportive of rate increases to pay for the necessary upgrades and repairs but seeks a fair and equitable solution.
Instead, they are trying to collect in five years what they should be spreading out over 30 years. Tom Scaligone, an analyst we hired with over 30 years of experience, said that rate hikes like this are unheard of, “I haven’t seen anything to this magnitude of an increase.”
How Can you Help?
1) Write a letter: It is the most important thing you can do. If you are not one of those unfairly imposed with these drastic rate increases, you can stand in support of our churches, business, schools and nonprofit organizations who will experience these rate increases. There is a better way to get the funds. The SMWD could easily issue a bond. See letter template attached to this information.
2) Attend the water board meeting: July 12, 2023 at 6 pm, Santa Margarita Water District board room, 26111 Antonio Pkwy, Rancho Santa Margarita, CA 92688.
3) Ask SMWD to calculate your new rate: Know what you or your business is paying!
4) Spread the word: Send this information to everyone you know. Get them to act. These rate increases, if approved, will start August 1, 2023.
Let us know what you’re doing. Include your phone number in your email and we will keep you updated. info@sheacenter.org
