Great Basin Water Co. customers will pay more for their water bill, after the Public Utilities Commission of Nevada approved the new rate.
The 6.54-percent overall increase for the average residential customer is driven by multiple factors which were laid out in the rate case, said Tom Oakley, spokesman for Great Basin Water Co.
“Suffice it to say that we spent over $4.5 million on a variety of capital improvement projects necessary for reliable service for which we are now receiving recovery because they have all become ‘plant in use’ projects,” Oakley said in an email.
“That is to say, we expended the funds and, as you know, can’t receive payback on those dollars until the projects are complete and beneficially used by our customers,” he said. “They are now, hence the increase.”
None of the funds were directed toward Discovery Park, formerly known as the Willow Creek Golf Course, Oakley said.
The defunct golf course closed in 2008 and was acquired by Utilities, Inc. of Central Nevada in bankruptcy court in 2013. Utilities, Inc. of Central Nevada was renamed Great Basin Water Co. in 2016.
While the rate of sewer service has gone unchanged, the water rate has gone up by 14.92 percent, resulting in an overall 6.54-percent increase, in the monthly bill for an average household, according to Great Basin Water Co.
The increase in volumetric rate per 1,000 gallons from old rates to the new rate was 41 percent only for residential customers, Oakley said.
For example, he said that Tier 1 increased from $1.28 per 1,000 gallons to $1.80 per 1,000 gallons, which is 41 percent. The increase at Tier 2 and Tier 3 are also around 41 percent.
Oakley said that there was no change in base rates and this assumes an average monthly household usage of just over 7,400 gallons.
“So, when all is said and done, we are delivering safe, reliable drinking water for about a half penny per gallon and providing wastewater removal, treatment and reuse for less than $47 per month,” Oakley said.
The new rates were approved by the PUC on Sept. 19 and went into effect as of Sept. 25, and cover all of the Pahrump division of Great Basin Water Co.
Contact reporter Daria Sokolova at dsokolova@pvtimes.com. On Twitter: @dariasokolova77