Carmichael Water District and SSWD Exploring Combination Opportunity

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Combination Discussions Conclude

After careful analysis, deliberation, and discussions, the combination talks between Sacramento Suburban Water District (SSWD) and Carmichael Water District have concluded with a vote from the Carmichael Water District Board of Directors. We acknowledge and thank the SSWD Directors and staff for their comprehensive consideration and analysis during the exploration of collaboration.

In our commitment to ongoing enhancements in efficiency, reliability, and customer service, we remain open to exploring future partnership opportunities with our neighboring water providers and other entities, prioritizing the best interests of our customers.

Background

Combination Opportunities: The goal in examining combination is to see how merging the two districts might encourage efficiencies, reduce costs, improve water supply reliability, and enhance customer service.

Challenges: The water industry and local communities are facing several changes and challenges, including the projected impacts of climate change on water supplies and increasing regulations that will potentially make it difficult to keep rates affordable.

Discussions: In 2021, CWD and SSWD established a committee to explore maximizing water supply reliability and cost savings through a potential combination. They hired an independent consulting firm to conduct a Combination Study Business Case Analysis, examining industry trends, customer service, staffing, finances, and more. The analysis found no compelling deterrents.

The districts moved forward with the next level of analysis, developing a Further Analysis Report (“Further Analysis of Combining Carmichael Water District and Sacramento Suburban Water District”) to further address any unknowns and questions raised during combination discussions. The results of this report will be discussed during the Public Meetings.

The study explores trends in the water industry and community, such as changing water demand, pressure to keep rates affordable, regulatory change, water supply reliability, and expansion to meet regional needs, and the feasibility for addressing those trends through combination. The analysis includes a top-to-bottom review of both water providers, including a comparison of organizational structures, management, customer services, billing, staffing, water treatment operations, capital improvement projects, and finances. The analysis details the benefits and costs of potential combination, as well as options for next steps.

Additional Background Documents

Further Analysis Report

SSWD Map of Voting Divisions

Final Business Cast Study

Comment Sheet

Key Benefits

CWD-SSWD Combination FAQ