SOUTH LAKE TAHOE, Calif. – South Tahoe Public Utilities District (STPUD) is considering raising their rates by 6.5% in order to pay for capital improvement programs and replacement of water and sewer pipelines. These rates would go into effect on July 1 if they are approved by the board.

STPUD has the lowest water and sewer rates in the region, even with proposed increases. While they pursue grant funding and loans for improvement to their systems, one of the ways they fund capital improvement is through rate increases, like other utility companies throughout the state.

“The Board does not approach rate adjustments lightly,” said Shane Romsos, Board President. “Like most in our community, the District is facing increased costs associated with goods and services needed to maintain our water and sewer systems. We actively work to maximize available funding through investment in energy efficiency, grants, low-interest financing, and strategic project planning and partnerships. These efforts help reduce the burden on our ratepayers while allowing the District to continue investing in reliable infrastructure, and long-term system resilience.”

The capital improvement program, which is a ten-year plan laid out by STPUD, would fund waterline replacements, maintenance of sewer and water pipelines, upgrades to the treatment facility and more.

In the next 3-5 years, STPUD plans to improve and replace waterlines at Pioneer Trail, Park Avenue, Glenwood Rancho, Lake Tahoe Boulevard and Tahoe Mountain, as well as rehabilitate or build wells at Al Tahoe, Sunset and Tanglewood. They also plan to recoat the storage tanks at Stateline and install AMI Meters. These projects total $36 million.

They also planned projects for wastewater and export systems, including rehabilitating the Bijou and Fallen Leaf Lake Sewer Pump Stations, rehabilitation of the C-line and Tahoe Keys sewer pipes, realigning the Baldwin Beach sewer improvements, replacing a pump station and rehabilitating ballast ponds. These projects total $41.8 million.

Many of these projects are coordinated with local and regional partners, with the Baldwin Beach sewer realignment projects partnering with the U.S. Forest Service’s restoration projects.

According to STPUD’s notices, a typical residential customer would have a proposed sewer rate increase of $4.25 per month and a water rate increase of $5.15 per month.

“We continue to work hard and we are making progress, but at the end of the day, there’s still a lot to do,” said Paul Hughes, General Manager. “We need to continually invest in our water and sewer system to ensure reliable operations and keep up with inflation.”

For more information, you can attend the board meeting on Thursday, May 21 at 2:00 p.m. at the STPUD building. The board will vote on the proposed rates on Thursday, June 4, at 2:00 p.m. and rates would go into effect on July 1. Customers can comment by emailing info@stpud.us or calling 530-544-6474.

Eli Ramos is a reporter for Tahoe Daily Tribune. They are part of the 2024–26 cohort of California Local News Fellows through UC Berkeley. Learn more at https://fellowships.journalism.berkeley.edu/cafellows/.