The board adopted Ordinances 82 (Water Shortage Contingency Plan, 4-1) and 83 (water waste enforcement, 5-0), setting penalties at $100/$500/$1,000 for first through third violations and formalizing first-penalty waivers. Staff discussed rate-design software to model conservation-driven rate impacts, and directors discussed challenges funding turf conversion and HOA financial impacts.
The board approved a $1,397,783 drilling contract for Well 46 in the Palm Oasis area to expand water supply capacity. Year-to-date recharge deliveries reached ~112,000 acre-feet to the Whitewater Subbasin and 3,300 acre-feet to Mission Creek, with additional deliveries ongoing. Secretary-Treasurer Ortega reported from the ACWA board meeting that the Bureau of Reclamation released a Colorado River EIS.
The board approved a reduced property tax rate of $0.05 per $100 assessed valuation for FY 2026/2027, down $0.01 from last year. Directors raised concerns about proposed data centers' water demand, with Vice President McKenna asking whether the Agency can refuse service (no board action taken). The Sites Reservoir project received an additional $268.9M in state funding (total $1.3B); the draft water rights permit is now expected September 3.
Groundwater replenishment assessments were set at $250–$255/acre-foot for 2026–2027. Recycled water rates rise to $0.79/HCF effective July 1, 2026, and domestic water rates were approved to increase from $2.75 to $2.92/HCF on Jan. 1, 2027. McKenna abstained, citing reserves of $344M and a projection of $370M by end of FY 2026–27.
The Board unanimously adopted Resolution 1365 approving the 2025 Coachella Valley Regional Urban Water Management Plan and DWA's Water Shortage Contingency Plan. Staff and the consultant said groundwater supplies can meet projected urban demands over 25 years. Director Gracia asked about the Cadiz water import project; the consultant said it was not included in the plan, and Gracia urged monitoring of its potential regional impact.
