Why Rate Studies Are Needed

Rates are shaped by a myriad of factors from inflationary pressures to regulatory and compliance changes. A Rate Study assesses how much it costs to provide utility services and ensures that rates reflect the true cost of service. It’s about fairness and precision in funding our future.

IEUA Rate Transparency

IEUA utilizes three main sources of funding to provide key services to the region, not only allowing us to operate day-to-day, but also invest in long term capital improvement and planning projects.

Click below to see how IEUA utilizes these funds for both short and long-term planning

The Agency prepares long-term planning documents which outline the capital improvements necessary to support the Agency’s operations and key initiatives. The Agency will continue to pursue low-cost financing and federal, state, and local grants to support the Agency’s Ten-Year Capital Improvement Plan (TYCIP). Click here to view the Ten-Year Capital Improvement Plan FY 2026-2027

The biennial Operating Budget for Fiscal Years 2025/26 and 2026/27 was adopted on June 18, 2025. As part of the Agency’s continual commitment to fiscal responsibility, the budget will focus on long-term planning, sustainability, and strategic plan initiatives. The Agency’s staff will continue to monitor and report program costs on a regular basis. The Agency will continue to implement sustainable costs and containment of expenditures within budgeted targets to ensure fiscal stability of the Agency into the future. Click here to view the FY 2025/26 and 2026/27 Operating and Capital Program Budget

Timeline

Throughout the Rate Study process, IEUA will provide updates to representatives of its customer agencies, as well as members of the public.

Upcoming Meetings:

Meeting Date
IEUA Board of Directors (Rate Adoption) April 21, 2027

Frequently Asked Questions (FAQs)

Why is a rate study being conducted now?

To ensure long-term water reliability, public health and environmental safety. Proactive planning allows us to thoughtfully adjust to regional growth and upgrade aging infrastructure.

How will the Chino Basin Program (CBP) impact my rates?

Cost analysis for the CBP remains ongoing. The final CBP cost allocation is expected to be reviewed by the IEUA Board of Directors in December 2026.

Why are rates changing?

As regulatory and economic conditions change in the region, IEUA needs to periodically reevaluate its rate and fee structure to ensure that rates reflect the true cost of service.

How does IEUA determine what rates should be?

Rate adjustments are determined by performing a thorough cost-of-service study developed by independent expert consultants which is then reviewed and approved by IEUA’s Board of Directors.

When do new rates come into effect?

Approved rates become effective on July 1, 2027.

I pay a city water bill. Is that the same as IEUA?

No. Your retail utility bill covers local distribution. IEUA manages the heavy-duty regional treatment and water supply reliability that makes local delivery possible.

What do my rates pay for?

Rates transform directly into water and wastewater services and solutions that finance the day-to-day operations, maintenance of systems, and regional capital investments in future water security.

What is IEUA doing to control costs?

IEUA consistently looks for ways to control costs by implementing innovative smart technology and energy efficiency upgrades, performing proactive maintenance projects to avoid costly repairs, and actively pursuing diverse external funding wherever possible.

Resources

Have a Question?

Your voice matters. Input your inquiry below. Submissions are reviewed by staff using plain-language guidelines to expand our public FAQ list over time, keeping our community consistently informed.

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All submissions are reviewed by staff to update our public FAQ database. Any email inquiries should be sent to Lucia Diaz, Acting Director of Finance, at ldiaz@ieua.org.