Bear Valley Community Services District

NOTICE OF PUBLIC HEARING ON PROPOSED ADJUSTMENTS TO WATER, SEWER, AND SOLID WASTE RATES

Thursday, March 26, 2026 at 6:00 pm at the District’s office at 28999 S. Lower Valley Rd, Tehachapi, CA 93561

You are receiving this notice as owner of property receiving water, sewer, and/or solid waste service from the Bear Valley Community Services District (District or BCVSD). The District’s Board of Directors will hold a public hearing on March 26, 2026, to hear public input and to consider and potentially approve water, sewer, and solid waste rate changes for the next five years beginning April 1, 2026.

Bear Valley Community Services District provides water and solid waste service to a population of about 6,000 in Bear Valley Springs via approximately 2,800 active utility accounts. BVCSD also provides sewer (wastewater) service to about 500 parcels. All other parcels within the District have private onsite septic systems. The water, sewer, and solid waste utilities are not funded by property taxes or any other tax revenue and rely on rate revenues to fund their operations. Rate adjustments are needed to keep up with the cost of service which includes water purchase costs, sewer treatment costs, utility system operations, and infrastructure improvements. The District is also proposing changes to rate categories and classifications to better comply with legal requirements and industry best practices.

Notice of Public Hearing on Proposed Adjustments to Water, Sewer, and Solid Waste Rates.pdfWater, Sewer, and Solid Waste Rate Study

 

WATER RATES

Why is a water rate increase needed?

The District’s water system is in need of maintenance and repair as it was built in the 1970s and has not had any significant upgrades. Water supply for the District is provided from two sources – 1) groundwater well production and 2) water purchased from the Tehachapi-Cummings County Water District (TCCWD). Currently, many of the wells in Bear Valley Springs are offline, leading to a higher amount of costly water being purchased from TCCWD. Rate increases are needed to fund operating cost increases and infrastructure improvements. Over the next five years, the District intends to fund about $11.4 million of projects including well repairs, water line replacements, fire hydrant flow testing, and smart meters.

Current and Proposed Monthly Water Rates

The District’s current monthly water rate structure includes two components – 1) a Base Fee and 2) Tiered Consumption Rates for potable (drinkable) water. Currently, all customers, including the District’s commercial customers, pay the same base fee of $84.74 per month. It is proposed that the District transition to a base fee scaled to meter size such that larger connections that place a higher burden on the system pay a higher base fee. This is industry standard practice and recommended by the American Water Works Association. It is proposed that ¾” meters, 1” meters, and all single family customers be grouped together into one fee category.

The District also proposes changes to its consumption charges (i.e. volume rates). Consumption charges are billed per 100 cubic feet (HCF) of metered water usage. 1 HCF is 748 gallons. Currently, the District has a tiered drinking water rate structure where the first 5 HCF of monthly metered usage is billed $3.78/HCF. Usage above the first 5 HCF is billed $5.33/HCF. The District proposes to eliminate the tiered rate structure and instead bill all drinking water usage a single rate. The proposed drinking water rate is intended to recover water purchase costs from the Tehachapi-Cummings County Water District, electricity to transport the water to Bear Valley Springs, water treatment costs, and system operations.

The District also has untreated, non-potable water service and recycled water service. The current price of the non-potable lakefill rate is proposed to be updated to reflect the cost of drinking water less the cost of treatment. Effluent water is recycled water provided from BVCSD’s wastewater treatment plant to the golf course for irrigation. The proposed effluent rate reflects updated sewer treatment costs. Table 1 lists the current and proposed water rates. If adopted, new rates would go into effect April 1 of each year from 2026 to 2030.

The average single family customer in the District is served by a ¾” or 1” meter and uses 9 HCF of water per month. This average customer currently pays $124.96 for monthly water service (base rate plus 5 HCF of usage in Tier 1 and 4 HCF of usage in Tier 2). Under the proposed April 1, 2026 rates, the average single family customer bill will be $143.17, an increase of $18.21 from the current bill.

 

SEWER RATES

The District provides wastewater collection, treatment, and disposal at a central treatment plant for about 500 parcels within Bear Valley Springs. All other parcels (about 2,300) have private onsite septic systems, do not receive wastewater treatment service from the District, and do not pay sewer rates. The rates described below only apply to parcels receiving sewer service from Bear Valley CSD.

Why is a sewer rate increase needed?

Rate increases are needed to fund operating costs, pay off a loan that was issued for wastewater treatment plant development, and to fund about $1.24 million of infrastructure improvements over the next five years. Major projects include headworks upgrades, clarifier/trough recoating, CCTV camera inspections, and completion of a wastewater master plan. The sewer utility is not covering its operating expenses and cannot absorb any future cost increases. The proposed rate adjustments will reverse the operating deficit, generate sufficient revenues to cover the cost of operations, and fund improvements to the wastewater system.

Current and Proposed Monthly Sewer Rates

Currently, all residential customers are billed a fixed charge of $154.00 per month. It is proposed that the residential customer class be divided into a single family customer class and multi-family (condominium) class. The new multi-family charge is proposed to be less than the single family charge to reflect lower average flows into the sewer system. The average single family customer has 8 hundred cubic feet (HCF) of monthly sewer flow while the average multi-family customer has 6 HCF of monthly sewer flow. The current and proposed monthly sewer rates are shown in Table 2. On April 1, 2026, the single family customer rate is proposed to increase from $154.00 to $185.49, an increase of $31.49.

Currently, commercial sewer customers pay $43.00 per HCF of monthly sewer flow and there is no base fee. It is proposed that commercial customers be divided into three new classes: low pollutant strength, domestic/medium strength, and high strength. Low strength landuses include standalone restrooms, retail space, and offices. Medium strength landuses include schools, churches, and hospitals. High strength landuses include bakeries, restaurants, and/or restaurants in mixed use developments. Higher strength flows are more costly for BVCSD to treat and thus will be billed at a higher rate.

In addition, it is proposed that commercial customers be billed new base fees that include the first 8 HCF of monthly sewer flows. 8 HCF was determined to be an appropriate threshold for the base fee as that is the typical single family flow and provides equity between single family and commercial customers. Commercial flow over the first 8 HCF will be billed the flow rates shown below based on indoor metered water use. Water usage from dedicated irrigation lines is not billed the sewer flow rates.

 

SOLID WASTE RATES

Solid Waste System

BVCSD operates a solid waste transfer station, a facility where municipal solid waste is collected and temporarily held before being hauled to a landfill. The transfer station provides areas for disposal of refuse, recyclables, green waste, and horse manure. The waste is collected and hauled to the Kern County Solid Waste Landfill by USA Waste. Solid waste revenue increases are needed to fund about $700,000 of transfer station repairs and equipment. A key project is repaving the transfer station to comply with storm water diversion requirements.

Current and Proposed Monthly Solid Waste Rates

To promote equity and more fairly recover costs, it is proposed that the District charge a new horse manure disposal fee for participating customers beginning April 1, 2026. Manure disposal will no longer be included in the base fee paid by all customers. Instead, interested customers can opt-in to manure disposal service, pay an additional monthly service charge (see Table 3), and be able to drop off manure at the transfer station. To enroll in the manure disposal program please call (661) 821-3239. All other customers will be excluded from paying the manure disposal fee and will no longer pay manure-related costs in the base fee. The current solid waste base fee is $31.00 and is not proposed to change on April 1, 2026. Increases to the solid waste base fee are proposed to begin April 1, 2027.

 

How to Participate

The proposed rate increases are governed by section 6 of Article XIII D of the California Constitution (Proposition 218), Government Code sections 53751 et seq. and 53759 et seq., and related laws. Property owners subject to the proposed rates and other interested members of the public may participate in this ratemaking in a variety of ways. More information and the Rate Study Report describing the proposed rates are available on the District’s website at https://www.bvcsd.org/ or you can call (661) 821-3239. The District will hold a public hearing on March 26, 2026, to receive public comment, including any written protests to the proposed rates. Any property owner or other ratepayer may submit one written protest per parcel. Immediately following the close of the public hearing on March 26, 2026, protests will be counted. If valid protests are submitted for a majority of the parcels subject to the proposed rate increases, the Board will not adopt the rates. 

How do I file a protest or participate in the public hearing?

Proposition 218 provides that “Property Related Fees” such as these proposed rates are subject to a “majority protest” process. Any property owner or other ratepayer may submit a written protest of proposed rates; provided, however, that only one protest will be counted per property. If valid protests are filed on behalf of a majority of the properties subject to the rates, the District cannot adopt the proposed rates.

Every written protest MUST include ALL of the following to be counted:

1. A statement that it is a protest against the proposed water rates, sewer rates, and/or solid waste rates;
2. Name of the property owner or other customer who is submitting the protest;
3. Identification of the assessor’s parcel number or street address (service address) of the property for which the protest is made; and
4. An original signature of the record owner or other customer who is submitting the protest.

Written protests may be submitted by:

1. Mail to: Prop 218 Protest, 28999 S. Lower Valley Rd, Tehachapi, CA 93561; or
2. In-person delivery during District business hours at 28999 S. Lower Valley Rd, Tehachapi, CA 93561; or
3. At the Public Hearing, before the end of the Public Hearing.

Regardless of how the written protest is submitted, it must be received by the District before the end of the public hearing to be held on March 26, 2026, beginning at 6:00 p.m. at 28999 S. Lower Valley Rd, Tehachapi, CA 93561. (Postmark dates will not be accepted.) To ensure protests are genuine, they will not be accepted by e‐mail or other electronic means. Please identify on the front of the envelope for any written protest, whether mailed or submitted in person to the District, that the enclosed protest is for the Proposition 218 Protest. Oral comments at the public hearing will not qualify as formal protests unless accompanied by a written protest, but the Board welcomes that input.

At the end of the public hearing, written protests will be counted in public view. Only one written protest per parcel in the District's service area (i.e. address/assessor parcel number) will be counted. If valid written protests are not submitted for a majority (50% plus 1) of the properties subject to the fees, the District may adopt the proposed rates. The first rate change, if approved, will take effect on or after April 1, 2026.

Pursuant to California Government Code 53759, a 120-day statute of limitations applies to any legal challenge to a new, increased, or extended fee adopted by the District Board of Directors pursuant to this notice. If you challenge this proposal in court, you may be limited to raising only those issues you, or someone else raised at the public hearing described in this notice, or in written correspondence delivered to the District Clerk at, or prior to, the public hearing.

 

 

Frequently Asked Questions 

Proposed Adjustments to Water, Sewer, and Solid Waste Rates 

1. Who can protest the sewer rates and why can’t everyone protest sewer rate increases? 

Under Proposition 218, only property owners, or the legally responsible ratepayers (named on the BVCSD account), who receive sewer service, or have sewer service available to their parcel, may submit a written protest for sewer rates. Only 514 parcels receive sewer service. Customers who do not receive or do not have access to sewer service (i.e. parcels with their own septic systems) are not eligible to protest sewer rate adjustments. 

 

2. Why is the District proposing a new multifamily sewer rate that is different from single family sewer rates? 

Multifamily properties such as condominiums generate lower average sewer flows per dwelling unit compared to single family residences. The average single-family customer has 8 hundred cubic feet (HCF) of monthly sewer flow while the average multifamily customer has 6 HCF of monthly sewer flow. As a result, multifamily sewer rates are proposed to be lower than single family rates to reflect the lower use of the sewer system. 

 

3. Why is the effluent rate different from regular water rates? 

Effluent is recycled water produced at the District’s wastewater treatment plant. The effluent rate is based on the cost of treating wastewater divided by the total volume processed annually. Potable water is sourced from the Tehachapi-Cummings County Water District and the District’s wells and includes different treatment and supply costs. Because the costs of providing these services differ, their rates also differ. 

 

4. How were the non-potable water rates determined? Why do non-potable rates exclude treatment costs? 

The proposed water consumption rates were determined based on the cost of supply, transmission, and distribution of water to customers. All classes of water customers pay these costs. In addition, potable water requires treatment to meet drinking water standards, so the potable water rate also includes treatment costs. Non-potable water is only used for lakefill and does not require treatment. Proposition 218 requires rates to reflect the actual cost of providing service, so treatment costs are excluded from non-potable water rates since no treatment is provided. 

 

5. Why didn’t adding a manure disposal charge lower solid waste rates for everyone else? 

Solid waste costs are going up due to increasing regulatory requirements, disposal fees, and needed equipment and facility upgrades. Bear Valley Community Services District must also pay for improvements like repaving the transfer station for stormwater control and buying 

equipment such as a backhoe and loader. Because of these rising costs, the base solid waste fee will stay at $31 per month starting April 1, 2026, and will gradually increase over time. 

Proposition 26 requires that a government service provided to a specific customer (parcel), and not provided to others, can only be charged to those receiving that specific service and are limited to the cost of providing the service. The new manure disposal fee ensures that only customers (parcels) who use that service are charged for the service. 

 

6. What is the District doing to keep the rates low and why is the District adjusting the rates now? 

The District only adjusts rates when necessary to recover the cost of providing services. The District last adjusted water rates in January 2023, solid waste rates in February 2023, and sewer rates in January 2024. Current rate revenues are no longer sufficient to fully fund operating costs, required infrastructure improvements, and debt service for the water, sewer, and solid waste systems. The sewer fund and solid waste fund are currently operating at a deficit, and the water utility has significant deferred maintenance needs that must be addressed to maintain reliability and quality of service. The District prioritizes proactive maintenance to reduce the risk of costly emergency repairs and system failures. 

 

7. Are the proposed residential rate increase comparable with other jurisdictions? 

The District’s water rates are higher than many surrounding agencies due to the mountainous terrain and the infrastructure needed to pump water across elevation changes. The District’s sewer rates are higher than many surrounding agencies because the District serves a smaller customer base (economies of scale) – large infrastructure costs are spread over a small number of homes and businesses. Solid waste rates are generally comparable to nearby agencies, although the types and levels of service provided vary by jurisdiction. Additional comparative information is available in the rate study report posted on the District’s website. 

 

8. How can I comment on the proposed rates? 

You may provide comments to Board of Directors regarding the rates either in-person or by submitting written comments. The Board of Directors will hold a public hearing to consider the rate adjustment on Thursday, March 26, 2026, at 6:00 pm at the District’s office at 28999 S. Lower Valley Rd, Tehachapi, CA 93561. At the hearing, you may make verbal comments to the Board of Directors during the public comment period. 

You may also submit a formal protest letter in opposition to the rate adjustment. You may mail or hand-deliver your written protest in advance of the public hearing to: Prop 218 Protest, 28999 S. Lower Valley Rd, Tehachapi, CA 93561. You may also hand-deliver your protest at the public hearing. Only written protests received prior to the conclusion of the hearing will be counted and only one protest per parcel will be counted. More details regarding how to submit a protest are included in the Notice of Public Hearing. If more than 50% of property owners or ratepayers submit protests, the Board of Directors cannot adopt the rate adjustment. 

 

9. When would the new rates be effective? 

If adopted by the Board of Directors, the new rates will become effective on April 1, 2026.