Sutter County Water Works District No. 1 is proposing a FY 2026-27 budget of $594,985, an increase of $324,690 from the prior adopted budget, according to the district’s June 9 agenda packet. The recommendation includes a $400,000 federal earmark for a backup generator at the water treatment plant and a $37,450 increase in charges for services.
The budget materials say current service rates do not generate enough revenue to cover ongoing operating costs, underscoring the district’s dependence on outside funding and future rate decisions. The packet also says the district operates as an enterprise fund meant to be self-supporting, but that its current rate structure is not sufficient to sustain operations over the long term.
The staff report ties the generator project to a USDA rural development grant application that began in March 2025 with assistance from the Rural Community Assistance Corporation. The packet does not make clear in the summary whether the federal earmark has been fully awarded or is still subject to remaining grant steps.
The Board of Supervisors, sitting as the district board, is scheduled to hold budget hearings on June 16 and consider adoption of the recommended budget on June 23.
