OPAMWC Updates

The merger between Orange Park Acres Mutual Water Company and IRWD was overwhelmingly approved by OPAMWC shareholders on April 10, 2008. The merger became effective June 1, 2008.

Background

• The OPAMWC Board of Directors successfully negotiated an acquisition and annexation agreement with IRWD that lowered the cost of water service and improved system reliability to customers currently serviced by the OPAMWC.
• As part of the process an application for consolidation was approved by the Orange County Local Agency Formation Commission (LAFCO) at their December 19, 2007 meeting. The LAFCO approval became effective when a majority of the OPAMWC shareholders voted in support of the consolidation on April 10, 2008. The effective date for the consolidation with IRWD was June 1, 2008. Upon consolidation with IRWD, former OPAMWC customers were fully integrated into IRWD and now receive services and operational benefits enjoyed by all customers throughout the IRWD service area. 
• These benefits included an immediate 20 percent reduction in rates, access to additional water supply reliability and redundancy, rapid and substantial emergency response capabilities, extensive equipment, diverse materials and preventative maintenance programs, and enhanced customer service capabilities. 
• The OPAMWC service area has already seen a number of significant water improvements to its water infrastructure which will ultimately bring the system up to contemporary standards, including replacement of the substandard 1929 steel pipe utilized throughout the system.
• The system improvements were financed by IRWD and OPA rate area customers paid for the improvements through a “water rate differential” which  was the difference between the water rate charged to the former customers of OPAMWC (with the 20 percent rate decrease) and the water rates for IRWD customers. Once these improvements are paid off, water rates charged to the OPA rate area customers will be reduced to match the rates charged to other IRWD customers.

OPAMWC Stock Purchase

As part of consolidation agreement, IRWD agreed to purchase the outstanding shares in the OPAMWC. If you still own stock in the Orange Park Acres Mutual Water Company, you can redeem your stock as stipulated in the consolidation agreement. 

For more information:
Email:           customerservice@irwd.com or kanoff@irwd.com
Telephone:  (949) 435-5300