Section 373 Of Chapter 3.4. Allocation-based Conservation Water Pricing From California Water Code >> Division 1. >> Chapter 3.4.
373
. (a) Revenues derived from allocation-based conservation water
pricing shall not exceed the reasonable cost of water service
including basic costs and incremental costs. This chapter does not
limit the sources of funding for incremental costs to charges for
water use.
(b) Revenues derived from allocation-based conservation water
pricing shall not exceed the proportional cost of service
attributable to the customer's parcel, as determined by giving
consideration to all of the following:
(1) Customer classes established in consideration of service
characteristics, demand patterns, and other factors.
(2) Basic use allocations.
(3) Meter size.
(4) Metered volume of water consumed.
(5) The public entity's discretionary allocation of incremental
costs between and among the increments of water use subject to
conservation charges, as permitted by paragraph (4) of subdivision
(a) of Section 372 to meet the requirement of that section.
(c) In establishing the schedule of charges and metered volumes
for the increments of water use subject to conservation charges, the
public entity may also consider both of the following:
(1) Customer overuse characteristics, including ratios between
overuse volumes and basic use allocations, variations in demand and
consumption patterns, or other characteristics of overuse experienced
by the public entity.
(2) The extent to which the pricing structure of the increments
will be effective in minimizing or eliminating the need for other
measures to curtail potential overuse.