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Proposed Water Rates

Notice of Public Hearing Proposed Update to Water Service Rates 

 On October 7, 2025, at 9:00 a.m. or as soon thereafter as the matter may be heard at the Oakdale Irrigation District (OID), located at 1205 East F Street, Oakdale, California, a Public Hearing will be conducted by the OID Board of Directors at which time and place all persons may attend and be heard upon the proposed updated water service rates, which if adopted, would apply to all parcels within OID's boundary. If the proposed rates are adopted, the first increase will go into effect January 1, 2026; thereafter, water service rates will be considered by the Board but will not exceed the maximum rates stated herein. 

The purpose of this notice is to set forth the proposed, updated maximum water service rates and to notify you of the public hearing. At the public hearing, the Board of Directors will consider all written objections and the District's responses to those objections, consider written and verbal comments, tabulate written protests, and, if a majority protest is not received, consider adopting the updated water service rates. The procedures for submitting a written objection and/or a written protest are detailed in this notice.

 

HOW WERE THE PROPOSED RATES CALCULATED?

A third -party consultant prepared a 2025 Water Rate Study Report for irrigation water to determine the total amount necessary to ensure there will be adequate funding to meet the District ’s revenue requirements, as well as to review the rising costs of providing services and comply with certain legal requirements. The District ’s broader objectives in this study, and the reason for the water service rate increase proposed, include ensuring adequate funding for operating costs, maintaining reasonable reserves, and ensuring revenue stability in utility rates. The rates resulting from this study were developed in a manner that is consistent with industry standard cost -of -service principles. In addition to documenting the rate study methodology, this report is provided with the intent to assist the District in its continuing effort to maintain transparent communications with the community it serves. To read the complete 2025 Water Rate Study Report, visit www.oakdaleirrigation.com/water -rate - study. If you would like a copy of the study to be mailed to you, please contact OID at (209) 847 -0341 or cwhite@oakdaleirrigation.com.

 

PROTESTS AND OBJECTIONS TO THE PROPOSED MAXIMUM RATES

Protests:

Property owners or customers of record subject to the proposed water service rates may file a written protest and/or a written objection to the proposed maximum rates. Protests to the proposed rates may be submitted pursuant to section 6 of Article XIII D of the California Constitution, and if protests are submitted by a majority of parcels receiving water services, then the Board of Directors cannot adopt the proposed rates.

REQUIREMENTS FOR A VALID PROTEST
  1. Must be in writing.
  2. Must include a statement that it is a protest against the proposed change in water rates.
  3. Must provide the name of the record owner or customer of record submitting the protest.
  4. Must identify the parcel associated with the person filing the request by assessor ’s parcel number or service address.
  5. Must include the original signature of the record owner or customer of record submitting the protest. As such, electronic protests will not be counted.

Protests will not be counted if any of the required elements of a written protest are omitted. Written protests must be received at the address below by 9:00 a.m. on October 7, 2025, if mailed or submitted in person prior to the public hearing. Written protests may also be hand delivered to the Board Secretary at the Board of Directors meeting on October 7, 2025, up until the close of the public input portion of the public hearing on the matter. Prior to the public hearing, hours for in person protest submittal are 7:30 a.m. – 5:00 p.m. Monday through Thursday, closed Fridays.

Address for Board Secretary: Oakdale Irrigation District, 1205 East F Street, Oakdale, CA 95361.

Objections: 

Objections may be submitted pursuant to Government Code section 53759.1, and any person that wishes to challenge the rates in a legal proceeding must file an objection, which complies with the requirements detailed below. While the same person or entity may submit both a protest and an objection, to be valid, protests and objections must be submitted separately, as clearly labeled, distinct documents.

REQUIREMENTS FOR A VALID OBJECTION
  1. Must include a clear statement that it is an objection to the proposed water service rates.
  2. Must be filed separately from protests.
  3. Must include the name of the record owner or customer of record and the assessor’s parcel number or service address associated with the objector’s parcel that is subject to the proposed water service rates.
  4. Must include the specific subsections of the California Constitution Article XIII D, section 6(b) or any other applicable law that the objector believes would be violated by the approval and/or imposition of the proposed water service rates.
  5. Must include a detailed explanation, with references to the Water Rate Study, legal authority, and any additional data or evidence the objector chooses to present that will enable the District to understand the grounds for the objector’s claim that the proposed water service rates do not comply with Proposition 218 or any other applicable law.
    • An objection may include expert analysis in support of the object. 
    • If an objection includes expert analysis, the expert's contact information and statement of their qualifications must be included. 
  6. Must include the original signature of the objector. As such, electronic objections will not be valid.

To be valid, all written objections must include the information listed above and be received by the Board Secretary by 9:00 a.m. on October 1, 2025, at the address below. Hours for in person objection submittal are 7:30 a.m. – 5:00 p.m. Monday through Thursday, closed Fridays.

ATTN: Board Secretary (Water Service Charge Objection), Oakdale Irrigation District, 1205 East F Street, Oakdale, CA 95361.

Failure to timely object in writing bars any right to challenge the proposed water service rates through a legal proceeding and any such action may be limited to issues identified in the challenger’s objection.

If any of the requirements for a valid, written objection are not met, then the objection will be deemed invalid and will not be considered by the District. Objections must be submitted separately from protests and any written submission labeled as both a protest and an objection shall be deemed invalid.

Prior to the close of the public hearing, the Board of Directors will consider and respond in writing to any timely, valid written objection. The District’s response will explain the substantive basis for retaining or altering the proposed water service rates in response to the written objection, and, if applicable, the grounds for not making any amendments in response to the objection.

The proposed water service rates are subject to Government Code section 53759. You are hereby notified pursuant to Government Code section 53759 that any judicial action or proceeding to attack, review, set aside, void, validate, or annul the Board of Directors’ adoption of the proposed water service rates must be commenced within 120 days of the effective date or the date of the final passage, adoption, or approval of the ordinance or resolution adopting the water service rates, whichever is later.

 

OAKDALE IRRIGATION DISTRICT PROPOSED MAXIMUM WATER SERVICE RATES

The Board of Directors will consider the following proposed water service rate updates, set forth in the table below, at the Board of Directors meeting on October 7, 2025. If the proposed rates are adopted, the first increase will go into effect January 1, 2026; therefater, water service rates will be considered annually by the Board but will not exceed the maximum rates stated herein. 

Irrigation water rate schedule with proposed and maximum rates for 2026-2030, including fixed charges, volumetric tiers, and drought surcharges.
Proposed Rate Adjustment - Frequently Asked Questions 
WHO IS OID?

The Oakdale Irrigation District (OID or the District) was formed in 1909 to bring surface water from the Stanislaus River to transform parts of Stanislaus and San Joaquin County through irrigated agriculture. Today, OID delivers irrigation water to 65,000 acres within its territory.

WHO IS SUBJECT TO THE IRRIGATION RATES?

Only OID’s irrigation customers would be subject to the proposed rate increases.

WHY DOES OID NEED TO ADJUST IRRIGATION RATES?

OID rates have increased by 3% annually since 2020. Costs to provide irrigation services continue to rise due to regulatory and inflationary pressures in addition to the repair, rehabilitation, and replacement of irrigation infrastructure, some of which was built over 100 years ago. From 2020 to 2024, District expenses have had an annual increase of 8% with increases as high as 15% in some years.

The actual cost of providing irrigation service far exceeds the revenue generated from irrigation rates billed to and received from customers. The operating deficit for the year ending December 31, 2024, was $13.3 million. To cover the operating loss, OID has used non-rate revenues and reserve funds to cover the cost of providing irrigation service. This current business model is unsustainable as it is depleting the reserve funds that were primarily designated for capital improvements.

OID’s Water Resources Plan (WRP) identifies critical capital improvements needed to ensure reliability and a high level of service for all District customers and repair, rehabilitate, and replace aging District infrastructure.

WHAT IS THE DISTRICT DOING TO REDUCE EXPENSES, INCREASE NON-RATE REVENUE, AND KEEP RATES LOW?

The District’s goal is to keep rates as low as possible while keeping up with the capital improvements identified in the WRP. The District continuously looks for ways to reduce expenses. Examples of this include a solar array on the North Side Regulating Reservoir which will result in an estimated $180,000 in annual energy savings. Additionally, the District seeks to maximize the life of all assets (vehicles, equipment, etc.).

The District is actively pursuing additional revenue streams, including the recently awarded $14.3 million in state grant funding for the Paulsell Lateral Expansion Project.

what happens if oid does not increase irrigation rates?

Failure to raise irrigation rates will lead to accelerated depletion of District Reserves. The District will also need to re-evaluate how the Capital Improvement Program (CIP) is funded. Failure to implement the CIP will result in a decline in service for irrigation customers and may result in potential failure in parts of OID’s irrigation system.

WHEN IS THE PUBLIC HEARING ON THE PROPOSED INCREASE IRRIGATION RATES?

The OID Board of Directors will consider the proposed irrigation rates at a Public Hearing scheduled for October 7, 2025, at 9:00 am at the District Office Boardroom (1205 East F Street, Oakdale, California).

WHEN WILL THE PROPOSED RATES GO INTO EFFECT?

Provided the OID Board of Directors does not receive sufficient written protests, and the proposed rates are approved on October 7, 2025, the new acreage rate would be billed on the 2026 Fixed Parcel Assessments mailed in early November 2025 and due December 22, 2025. The new volumetric rate would be billed during the 2026 Irrigation Season. The proposed rates for years 2027-2030 are the maximum rates for those years.  The rates will be set annually by the Board of Directors every year prior to going into effect. The OID Board of Directors may elect to set rates lower than the maximum proposed rates but may not increase them above the stated amount without initiating and successfully completing an additional rate setting process under the California Constitution (Proposition 218).

HOW DO OID'S COST OF SERVICE AND PROPOSED RATES COMPARE WITH OTHER IRRIGATION DISTRICTS?

The table below lists the current irrigation rates for South San Joaquin, Turlock, and Modesto Irrigation Districts**.

 OIDSSJIDTIDMID
Acreage$37.65$60$60$53
Vol. Tier I*$4.31$10$3.23$2
Vol. Tier Max*$28.48$17.50$20$40
Min. Charge$75.30$60N/A$265

*Volumetric Tiers are based on the minimum and maximum tier listed on each district's website. Actual Tier levels vary among the districts.

** References

  1. https://www.ssjid.gov/rates
  2. https://www.tid.org/irrigation/irrigation-rates/
  3. https://www.mid.org/water/irrigation/allocation.html
if i want to protest the proposed rates, how do i submit a protest?

Please refer the Proposition 218 Public Hearing Notice for information regarding filing an objection and/or protest.

WHERE CAN I FIND OUT MORE?

For more information, please visit us at https://www.oakdaleirrigation.com/proposed-water-rates. If you have questions, please contact the OID office at (209) 847-0341, or via email at info@oakdaleirrigation.com.

UPDATES TO FAQS

This list of frequently asked questions (FAQs) will be updated on our website as additional questions are submitted and answered by OID staff at https://www.oakdaleirrigation.com/proposed-water-rates. If you have questions, please contact the OID office at (209) 847-0341, or via email at info@oakdaleirrigation.com.

 

RESOURCES

 

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