County gives Nevada Power small cut on recycled water

Wednesday, June 16, 2004 | 9:24 a.m.

The Clark County Commission, acting as the board of the Clark County Water Reclamation District, revised its charges for recycled effluent water Tuesday -- and gave a break to its largest consumer of the recycled water, Nevada Power.

The reclamation district had proposed raising its rates from a formula that cost Nevada Power $1.06 per 1,000 gallons to $1.35.

After more than a month of discussion with the electricity provider, instead of raising the utility's rate, the district agreed to a rate of $1.05 per 1,000 gallons, a 1-cent cut.

The difference saved Nevada Power an estimated $1.5 million per year, savings that translate into pennies on a typical homeowner's monthly power bill.

Reclamation district staff had proposed the $1.35 charge to pay for lines to bring the recycled water to more potential users, such as community parks and schools.

Nevada Power, by its own estimates, uses more than 90 percent of the cleaned, treated effluent water produced by the agency for its Clark Station Power Plant off Russell Road.

Other users of the district's recycled water could end up paying more than they are now because the old formula was based on a charge of one-third of the Las Vegas Valley Water District's rates, which were "tiered" with the heaviest users paying the most. The new rate is a flat $1.05 charge regardless of the amount of recycled water used.

Nevada Power's Judy Stokey, government affairs director, welcomed the lower rate for her company.

"We want to make sure we get the best deal we can for our customers because that is an operating expense and goes right into our rates," Stokey said.

Marty Flynn, reclamation district spokesman, said his agency would likely seek higher rates in the future to pay for the new water "backbone" of lines and infrastructure -- but only after the specific needs are identified.

"When we start adding to the system, then we will go back," Flynn said. "It just defers it until we know better what the costs are for the new backbone."

Stokey suggested that Nevada Power would oppose future rate increases for system expansion.

"We're concerned because we don't do that in our rates," she said. "We want to ensure that growth is going to pay for growth."

One change approved by the county commissioners Tuesday will extend the system more quickly. The county transferred responsibility for hooking up the Silver Bowl Sports Complex, along with $346,000 accrued in a fund since 1998, to the reclamation district.

Flynn said the 90-acre Silver Bowl park, near Boulder Highway and the site of Sam Boyd Stadium, one of the county's premier venues for sports and entertainment, could be outfitted for using the recycled water within a year.

"Our goal is to have them switched over in early 2005," he said. "We're going to rush that job. We want to see it happen."