How The Virgin Valley Water District Got Off The Rates Roller Coaster
Virgin Valley Water District (VVWD) in Nevada provides water services to residents in the City of Mesquite and Town of Bunkerville. Wanting to keep services affordable, the District Board of Directors hesitated to raise rates. This caused a seemingly endless “rates roller coaster”, where prices remained stable for years, interspersed by steep increases to catch up.
In 2010, to stay compliant with bond covenants, the District was forced to implement an across-the-board 36% rate increase. Staff knew they needed a better way to manage rate changes. Outsourcing to consultants was a cost prohibitive solution, with typical quotes coming in between $60,000 and $90,000.