The state Public Utilities Commission will hold a hearing at 7:30 p.m. July 23 at Duarte's former City Council chambers, 1634 3rd St., on a proposal by California-American Water Co. to increase water rates in the Duarte-Bradbury area to finance a planned $2.5-million filtration plant to serve the cities. The company's 6,650 customers currently pay an average of $17.39 a month for water. Under the proposal, the rate would be increased to $23.18 in 1986, $26.61 in 1987 and $30.32 in 1988. Linn Magoffin, manager of the water company, said the filtration plant would help alleviate contamination problems because it would draw water from the San Gabriel River and be capable of delivering 6 million gallons of treated water a day. Currently, the area is served by seven wells, but one was closed because of contamination and Magoffin said the company is concerned that other wells may become contaminated. The filtration plant would be built on a company-owned site in Azusa near the Fish Canyon area of Duarte.

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