Blog: Water district rate increases violated Proposition 218
A court of appeal invalidated a water district’s adopted rate increases, concluding that the district failed to meet its burden under Proposition 218 of establishing that the increases did not exceed the cost of providing the water service. … Following a hearing, the Board of Directors of the Florin County Water District voted to increase its water rates by 50 percent. Data presented by staff at the hearing showed that revenues would exceed expenditures in each of the four years following the rate increase, culminating in a net profit of almost $1.4 million in the fourth year.