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MSWD Financial Information

A Quick Overview of District Finances

Under California law, MSWD can set rates and fees that are enough to cover costs. It cannot make a profit. The rates customers pay must reflect the cost of providing water service and/or sewer service, with each service paying its own way. The goal is for revenue to cover the expense of operations, plus putting some money aside to replace worn or failing infrastructure in the future.

MSWD staff works to keep revenues and expenses in balance and provides regular reports to the Board of Directors about its efforts. The authority to raise rates, change the way rates are calculated and authorize the annual budget for expenditures rests with the Board. In public sessions, the Board and staff discuss revenue, expense and budget issues. Those meetings are announced in advance and the public is welcome to attend. In the last rate cycle, 12 public meetings regarding the proposed rate action were held. Also, under the Proposition 218 process, each customer receives a letter discussing any proposed rate changes well in advance of the Board taking any action.