Consolidations
Over the last 10-plus years IRWD has consolidated with five water districts. The integrated services of IRWD allow for reduced overhead and administrative costs and lower rates and charges to customers of the consolidated district. When considering consolidation requests, the District looks for increased efficiencies through economies of scale and mutual benefits from combined expertise and resources. Although consolidations differ depending upon the local agency, the basic consolidation process is generally as follows: the agency seeking consolidation issues a Request for Proposal that provides a framework and service requirements for the specific area in question. If IRWD determines that it is both appropriate and fiscally prudent to enter into consolidation discussions, we will respond to the RFP. If selected, IRWD and the agency seeking consolidation will develop and agree to the terms and conditions of the consolidation agreement and an application will be filed with the Orange County Local Agency Formation Commission. LAFCO then evaluates and makes a decision on whether or not to accept the consolidation proposal. The following is the IRWD consolidation and timeline:
2008 - Orange Park Acres Mutual Water Company
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As of July 1, 2015, the improvements where paid off, and water rates charged to the OPA rate area customers were transitioned to match the rates charged to other IRWD customers. For more on the OPAMWC history click here
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2006 - Santiago County Water District |
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2001 - Los Alisos Water District |
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Since the consolidation, the rate structure for the Los Alisos rate area has been similar to the IRWD rate structure, but takes into account that this part of the IRWD service area does not have a local groundwater basin and no source of local water. Los Alisos is almost wholly dependent upon more expensive imported water from MWD. As of July 1, 2017, water rates charged to the customers in the Los Alisos rate area customers were transitioned to match the rates charged to other IRWD customers. This occurred due to a sale of the property surrounding the former Los Alisos Water District headquarters in Lake Forest expected to be completed in late 2017. The development agreement for the property was finalized in July 2008 and IRWD has worked with the City of Lake Forest and project consultants to entitle the property. Revenue realized from the sale helped to equalize the higher cost of imported water and allow the Los Alisos Service Area to have rate parity with IRWD. For more on the Los Alisos Water District History click here. |
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2000 - Carpenter Irrigation District |
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During the 1960’s, agricultural land within CID declined to less than 200 acres. Realizing their diminishing role as a water provider, the CID Board of Directors in 1970 entered into agreement with the Irvine Company to ensure that the obligations to remaining irrigation users would continue to be met. In exchange, the Irvine Company received CID’s share of capacity in Irvine Lake and their share of recreational rights. In 1974, IRWD became the successor to the Irvine Company and its 1970 agreement with CID. In 1988 CID and IRWD adopted an amendment to the 1970 Agreement with CID. In 1998, CID and IRWD adopted an amendment to the 1970 Agreement that provided for the dissolution of CID and the detachment of its few remaining customers with annexation of these areas to IRWD. The two agencies applied to the Orange County Local Area Formation Commission for approval of the proposed reorganization and it became effective December 31, 1998 |
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1997 - Santa Ana Heights Mutual Water Company
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For 75 years the Santa Ana Heights Water Company provided efficient, low-cost, and reliable service. However, in 1997, due to rising costs of imported water and lack of potable ground water supplies, the shareholders of the Santa Ana Heights Water Company elected to merge with IRWD. In 1997 the Santa Ana Heights Water Company was successfully merged with IRWD, which, at the time, provided water service to approximately 150,000 residents including 10,000 residents who resided in the former area of the Santa Ana Heights Water Company. |
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