GRASS VALLEY, Calif. August 5, 2026 – During a special meeting tomorrow NID directors are slated to vote on a reduced rate increase for treated and raw water customers. Staff recommends a nine percent increase, which is three and a half percent below the Prop. 218 maximum annual increase. The hydro division will subsidize the 2027 rates with a $1,277,966 transfer. Over the 2027-2031 period, the district will have to backfill a $8,640,055 loss in revenue.
After multiple public workshops, and a Prop. 218 vote that failed to garner enough protest votes, directors decided to to forego any rate increases for 2026. Under Prop. 218, a majority plus one (12,537) protest votes would have been needed to stop any increase. NID received 3,105 protest votes.
Starting in 2027, treated water users with a 5/8-inch meter (the majority of treated water users) using between 0 and 5 cubic feet of water per month will see an increase of $5.80 per month in their base rate. A monthly regulatory fee of $1.90 is being discontinued, bringing the actual increase to $3.90/month.
Raw water customers using one miner’s inch of water will see an increase of approximately $13.61 per month during the six-month summer irrigation billing season.
The staff report clarifies the proposed rate schedule will result in a projected revenue loss over the five-year rate period of $8,640,055. Transfers of excess balance funds from Hydroelectric Operations to offset the shortfall will have to be approved each year by the board.
The reduced increase proposed for 2027 is partially due to increased hydropower revenues collected in 2025, resulting in higher beginning year balances for Fund 50.
The Board of Directors meeting will start at 9:00 am and is open to the public. A Zoom option is available to the public for remote participation.