Potential Political Impacts in Southern California of Drought-Related Water Availability and Rate Increases

Abstract

A significant drought from 2007 to 2009, along with a federally-ordered restriction on water deliveries to California’s largest agricultural and urban centers, has placed a substantial burden on many of California’s water agencies. In response, the country’s largest water agency in terms of the provision of drinking water—the Metropolitan Water District of Southern California (MWD)—along with its 26 member agencies enacted supply reductions that put significant upward pressure on water prices. One outcome of these supply reductions and rate increases is the increased need to further explore opportunities to generate supply through other channels, including recycling, water use efficiency, and desalination. Another outcome is that retail water providers are experiencing significant political pressure, and the number of people attending the public hearings continues to grow as the rate increases accumulate. This chapter presents a comparison of shortage allocation methodologies by member agencies and the related rate increase actions to provide insight into the challenges agencies will face until imported water supply reliability is improved.