This webpage contains information concerning proposed changes to monthly water rates and future financing of capital projects for water customers in the Cave Rock/Uppaway, Skyland and Zephyr Water Utility District. Douglas County is hosting public workshops on January 27 and February 3, 2014 from 5:30-7:30pm at the Tahoe Transportation Center, 169 Highway 50, Stateline, Nevada to engage our water customers in discussing new water rates for operation and maintenance, as well as separate funding options for future capital needs in the water systems.
Douglas County has been working with a group of residents who are served by these water systems to determine the most appropriate solutions to funding our water system needs. New monthly water rates will become effective July 1, 2014, after formal adoption by the Douglas County Board of Commissioners. Based on recommendations from residents, the new monthly rates will cover the costs for operation, maintenance and existing debt on the systems, but the new rates are not sufficient to cover the significant cost of future capital projects for the aging water systems.
Douglas County took ownership of the Cave Rock/Uppaway, Skyland and Zephyr Water Utility District Water Systems approximately 23 years ago. Over the past 23 years, nearly $18 million, including over $9 million from outside sources, has been invested in infrastructure improvements to correct system deficiencies. There continue to be challenges in the cost to maintain the systems.
The following are the three main challenges:
Public Safety and Fire Flow Requirements
The average age of the water system is 58 to 60 years old. The failing infrastructure deficiencies will need to be addressed in order to meet Nevada Administrative Code, National Electric Code, OSHA and the Fire Code. This will help to ensure public safety.
The total unfunded cost for future capital projects is approximately $14 million. As stated above, Douglas County has been working with a group of residents who are served by these water systems to evaluate potential funding options. The County is working diligently to identify all available state and federal resources to assist with future capital funding needs, but must also determine the most appropriate financing mechanism for residents if outside funding is not available.
The two financing options include General Obligation (GO) Revenue Bonds and Special Assessment Districts:
Special Assessment Districts
A Special Assessment District is a taxing district that can assess annual installments against real estate parcels for the construction of public infrastructure.
These options will be explained in detail during our public workshops. You can also request information and provide feedback by emailing us here or calling us at (775) 782-9821.