Ojai Valley Sanitary District

NOTICE OF PUBLIC HEARING
JUNE 26, 2006 AT 7:00 P.M.
OJAI VALLEY SANITARY DISTRICT
REGARDING PROPOSED SEWER SERVICE FEES, RATES AND CHARGES

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This notice is addressed to owners of record of property receiving sewerage services from the Ojai Valley Sanitary District (OVSD). OVSD operates a regional sewerage system serving the City of Ojai and unincorporated areas within the Ojai Valley. Your wastewater is collected and transported by sewers to the OVSD treatment plant. This facility treats and disposes of nearly 3 million gallons of wastewater each day.

During the past year, the OVSD Board of Directors has directed OVSD to continue to comply with the increasingly rigorous environmental regulatory requirements for collection of wastewater and treating the water discharged into the Ventura River. These increased regulatory requirements, cost increases due to inflation and significant cost increases for electricity have all contributed to increased annual operating expenses. A sewer service rate increase is required to pay for these increased costs.

You are currently paying your share of the current costs of operating the sewerage system through your service charge which is based on the Monthly Sanitary Sewer Service Rate (“Basic Rate”) of $37.40 per Corrected Equivalent Residential Unit (“CERU”) as defined in the OVSD Ordinances, plus other components referred to below and further defined in OVSD Ordinances.

The cost of the sewerage system is apportioned to each property owner based on the amount and strength of the average wastewater associated with uses to which your property is put. Although the OVSD sewer service charge is not a tax, it is collected as a separate line item on the property tax bill. Using the services of the County Tax Collector-Treasurer significantly reduces the OVSD administrative and collection costs. These savings are reflected in your rate.

The sewer service fees, rates, and charges being considered by OVSD for all users for the next year are based upon OVSD’s budget and financial and engineering studies and reports on file at OVSD. This rate structure equitably allocates costs to all types of users on a basis proportional to their use of OVSD’s facilities. The rate structure also reflects each parcel’s allocated debt service for prior system rehabilitation financing.

The Basic Rate is proposed to increase to $40.50 per month. The total amount of the new user rate increase will depend on the location of your property and the use of your property. To calculate your new rate, first identify your appropriate group and CERU ratio from Table 1 below. Then multiply the CERU ratio by the Total Basic Fees for your area as set forth in Table 2 below. For example, the fee for a residential owner in Meiners Oaks is $42.96 (1.0 X $42.96).

The OVSD Board of Directors will hold a public hearing on June 26, 2006 to consider your input on the proposed rate change. The hearing will be held at 7:00 p.m. in the OVSD Board Room, 1072 Tico Road, Ojai, CA. Written comments or objections may also be submitted through the mail to OVSD 1072 Tico Road, Ojai, CA 93023.

If you have additional questions or want more information, please call (805) 646-5548. Our office hours are 8:30 a.m. to 5:00 p.m., Monday through Friday. If these times are not convenient, you may leave a recorded message after hours or on weekends. A member of OVSD’s staff will return your call.

TABLE 1

GROUP	CERU RATIO
I. Residential	1.00
II. Low Strength Commercial	1.00
III. Medium Strength Commercial	1.10
IV. High Strength Commercial	1.90
V. Institutional	1.00

TABLE 2
TOTAL BASIC FEES
PER MONTH, PER CERU

AREA	BASIC RATE	DEBT SERVICE	TOTAL BASIC FEES
City of Ojai	$40.50	$4.32	$44.82
Ventura Avenue	$40.50	$2.46	$42.96
Meiners Oaks	$40.50	$2.46	$42.96
Oak View	$40.50	$2.46	$42.96