Sacramento – Assembly Bill 134, by Assemblymember Roger Dickinson (D-Sacramento), was signed into law today by Governor Brown. The bill will allow the Sacramento Regional County Sanitation District (SRCSD) to apply to the State Water Resources Control Board for a permit to sell recycled water on the open market.
SRCSD is required by the state to upgrade its facilities and it is estimated that these improvements may cost as much as $2.1 billion – resulting in tripled sewer bills for existing residential customers.
"In our current economic climate, I am pleased that AB 134 will help alleviate a potentially massive hike in Sacramento County residents’ monthly sewer bills and will provide the District with a critical new revenue source to offset costs associated with facility upgrades," said Dickinson.
On December 9, 2010, the Central Valley Regional Water Quality Control Board voted to require the SRCSD to upgrade its facilities to remove ammonia and other byproducts of the processing of effluent. The dramatically higher costs could result in an investment black hole for the region as a result of the increased cost to new businesses to connect to the sewer system. The Sanitation District has estimated fees for new businesses could be dramatically higher, jumping from $15,000 to approximately $70,000 for a 1,000 square foot restaurant within the service area. And for larger restaurants, the costs could be significantly higher than that.
AB 134 will allow the SRCSD to apply for a permit to the State Water Board to be able to sell approximately 180,000 acre feet per year of highly treated recycled water to downstream users. With a likely price range of $200-$400 per acre foot, the water sale could yield half a billion dollars over 10 years to help pay for the upgrades.
Upon passage of AB 134 into law, Stan Dean, District Engineer for Sacramento Regional County Sanitation District stated, "As our region is faced with the high cost of implementing new, mandated levels of wastewater treatment, Assemblymember Dickinson stepped up to find ways to help offset some of those costs to the region's ratepayers. AB 134 sets a path for our region to market its future commodity of high quality recycled water and help minimize impacts on our ratepayers' pocketbooks."
In addition to providing a dependable, locally–controlled water supply, recycled water offers significant environmental benefits such as decreasing the diversion of fresh water from sensitive ecosystems and restoring wetlands and marshes.
Contact: Taryn Kinney, (916) 319-2009
