The San Diego County Water Authority and Western Municipal Water District Thursday inked a long-term water supply agreement to provide the Riverside County agency water and ensure consistent income for the SDCWA.
Under the agreement, Western Water will receive a minimum of 10,000 acre-feet of water annually over the next 21 years, enough to supply around 30,000 Southern California households each year. That agency, which provides water, wastewater, and recycled water services to nearly 1 million people across 527 square miles in western Riverside County, also agreed to purchase around 30,000 acre-feet of water for future delivery, a nearly $40 million investment.
"This agreement is a win for San Diego ratepayers, a win for Western, and a win for Southern California," said Water Authority Board Chair Nick Serrano. "It allows us to maximize the value of the investments San Diego County residents made over decades, strengthen water reliability, and do so in a way that is mindful of affordability and public responsibility. It is exactly the kind of innovative, collaborative approach this moment demands."
According to the deal, the partnership will generate $13.5 million annually in revenue for the San Diego County Water Authority, with the agreement expected to deliver around $100 million over the first five years after accounting for the upfront payments. The SDCWA's current Urban Water Management Plan means the agency will "meet the region's water needs through 2050, even during multiple dry years," a statement read.
"The county's ratepayers continue to benefit from investments in water conservation that give us flexibility to balance water affordability and reliability," said Water Authority General Manager Dan Denham. "This agreement would not have been possible without the incredible team at Western Water that shares our commitment to visionary leadership and collaboration in developing a new way to think about water resources."
Water purchased by Western Water as part of the deal will be delivered through existing connections within the Metropolitan Water District of Southern California's system, meaning no new infrastructure is needed.