Water district vows no rate increase this year

Friday, May 18, 2001 | 11:23 a.m.

A Las Vegas Valley Water District official says there is no plan to raise rates this year despite a $46 million shortfall.

Deputy General Manager Richard Wimmer blamed the bulk of the budget deficit -- $24 million in 2001 -- on soaring energy prices, which, in turn, affect the cost of pumping water from Lake Mead to supply homes and businesses in Las Vegas and in unincorporated areas of Clark County.

The remaining $22 million -- which will be drawn from cash reserves -- will pay for upgrades to the district's 13-year-old computer system, Wimmer said.

"While power accounts for most of it, the rest is a one-time significant investment in technology designed to improve efficiency and improve the district's computer system," Wimmer said.

The Las Vegas Valley Water District Board, composed of city and county elected officials, is scheduled to consider the final $253.7 million budget at 9:45 a.m. Monday at the Clark County Government Center on Grand Central Parkway.

Vince Alberta, water district spokesman, said there was a budget deficit last year as well, amounting to about $2 million.

The water district has enough in cash reserves to delay an overall rate increase to its average customers until 2004, Wimmer said. But if the cost of power continues to increase, then all water district customers will eventually pay more, he said.

The water district hasn't raised customer rates since 1996, the longest period it has gone without a hike since it was created in 1953, Wimmer said.