Will there be any financial impacts because of the drought?

A:

Mayor Eric Garcetti issued an Executive Directive on October 14, 2014 to dramatically reduce the use of costly MWD purchased water while increasing water conservation and the use of recycled water. Key goals include:

  • Reduce water use per capita in the city by 20% by 2017
  • Reduce the purchase of imported water by 50% by 2024

The new water rate structure and rate changes have taken these policy goals into account by expanding the water use tiers, which will have the effect of encouraging conservation, and other adjustments needed to meet basic costs of operations. New revenues are also being allocated revenues to expand the local water supply. As stated above, customers will also see fluctuations in the purchased water pass-through depending on continued drought conditions.