On July 26, 2017, the Utility Special District (USD) Board held a joint meeting with the Mayor and Council from the Town of Mangonia Park (Town). The District and the Town are reaching the conclusion of a ten-year utility services agreement entered into in 2008. The Town is seeking rate relief under an extension of the agreement.  After a presentation from staff, discussion between the Town and the USD Board and with input from the District's Bond Counsel and Financial Advisor, staff was directed by the Board to initiate a rate study to include a wholesale rate classification. After consultation with the Interim Purchasing Director, the most expeditious and cost effective manner to perform the rate study is to engage the firm that completed the rate study in 2015. Therefore, staff negotiated an agreement with PRMG to complete the rate study for a not-to-exceed price of $41,000. The not-to-exceed price is less than the 2015 rate study not-to-exceed cost of $47,550.

On February 5, 2018, the Utility District Board held a joint workshop with Mangonia Park to review the rate study analysis and on the same evening at the Utility District Board meeting the Board approved the Commercial (wholesale rate) and asked staff to bring back different scenarios to implementing the results of the rate analysis and recommended rates.