Downeville PUD Holds Hearing on Water Rate Increase

DOWNIEVILLE — Downieville water customers submitted 23 objections to the 77% average rate increase proposed by the Downieville Public Utility District. The district serves 234 meters, and state law requires 118 objections, or 50% plus one, to halt the proposal. Since the number fell short, the objections did not stand. On Thursday, the district board opened a hearing for further public comment.

The new ordinance would set a base rate of $40 per month for up to 4,000 gallons of water. Usage above that amount would cost one cent per gallon. Current rates charge $25 per month for the first 5,000 gallons and 0.5 cents per gallon thereafter. The change would take effect fifteen days after final passage.

Several residents raised questions during the comment period. One resident noted the substantial increase from previous adjustments and suggested different charges for part-time or Airbnb properties. Lila Heuer, District 2 Supervisor and part-time Downieville resident, asked about greater transparency on maintenance work and why rates had not risen sooner over the past three years. Another speaker argued that customers using more than 5,000 gallons would face a 100% increase in the additional usage charge.

Greg Johnson, who chaired the meeting, acknowledged the sharp rate increase for customers. “The reality is we probably should have done a 40% increase three to four years ago,” Johnson said. “Just our software and the computer alone that we had to change per the state cost us $42,000.” He added that repair costs have risen sharply and that the district has exhausted the surplus it had built from years of losses. Board member Michael Taylor noted that rates had remained steady while costs climbed, leading to a shortfall of more than $50,000 in 2025, and Johnson estimates losses will grow close to $100,000 in 2026 without increasing revenue. Johnson added that he wasn’t aware of any legal way to charge part-time residents or short-term rental hosts differently, though Taylor explained the increased base water rate would bring in more revenue from those properties.

Billy Epps, who oversees operations, described current maintenance as “trauma surgery.” “It’s literally running around stopping the bleeding,” Epps said. He reported six major mainline leaks in six weeks and explained that the system, built mostly in the 1970s, now faces higher pressure in older sections. Epps and his team have handled most repairs in-house to cut contractor costs, including work on the Jersey Bridge line. Future needs include rebuilding four filtration units installed in 2014 at an estimated cost of nearly $40,000, and replacing aging pipes.

The board closed the public hearing and scheduled the second reading and possible adoption of Ordinance 11 for its regular meeting on June 4 at 6 PM in the Supervisors’ Chambers at the Downieville Courthouse. If the ordinance is adopted then, new rates will take effect on June 19.