$1.2 Billion in Unbudgeted Spending at MWD … and More

  • Over the last five years (from 2012-2016), MWD’s cumulative annual budgets totaled approximately $8 billion.
  • During this same period, MWD collected $847 million more than this amount. MWD says this “over collection” had no impact on rates.
  • Yet water rates have risen from $775 an acre/foot in 2012 to $950 in 2016 and will be over
    $1,000 by 2018.
  • MWD’s claim is that they could spend hundreds of millions of dollars without impacting water rates.
  • In fact, MWD’s treated water rate has increased an average of 4.5% annually since 2011.
  • Worse, MWD proceeded to spend all this money and more — $1.2 billion over their budgeted expenses (from 2012-2016).
  • This then forced them to borrow $900 million in new unplanned debt last year.
  • Here are the facts behind the numbers where you can learn more about this issue and read the data for yourself:  www.mwdfacts.com/behind-the-numbers.

Click here to read the letter.