Advertisement

SANTA PAULA : Water Company Seeks 56% Rate Hike

Share

Santa Paula Water Works Ltd. is seeking to raise water bills by 56% next year for its 6,700 customers in Santa Paula.

The California Public Utilities Commission has announced that it will hold two public hearings on the rate request April 24, at 10 a.m. and 7 p.m., in Santa Paula City Hall.

If the commission decides to grant the rate hike later this year, a typical monthly bill for a residential customer will jump by $11.43 in January, from $20.42 to $31.85. The company is also asking for a further 5% hike to take effect in 1993, followed by a second 5% hike in 1994.

Advertisement

Kyle DeVine, a commission spokeswoman, said the public is encouraged to participate in the hearings or send written comments to its Water Utilities Branch in Los Angeles.

“If you have questions or concerns about Santa Paula’s request to increase its rates, the CPUC wants to hear from you,” DeVine said.

Frank Brommenschenkel, company vice president and general manager, said the rate increases are needed to raise $1.6 million in additional revenue to cover rising costs.

He said the company is replacing 35,000 feet of water lines dating to the 1920s, has higher insurance and labor costs, and must meet tougher state and federal water quality standards.

The company relies on water extracted from nine wells in Santa Paula’s underground water basin and is already paying $60,000 a year to treat the water for manganese, Brommenschenkel said. Although not a health danger, manganese gives the water a muddy appearance, he said.

The rate increases would be across-the-board for all customers, although some changes could be made for 800 agricultural accounts, Brommenschenkel said.

Advertisement

“There will be some adjustments along the way,” he said. “And we may not get all we’re asking for.”

The company’s last rate hike was four years ago, he said.

“We try to adjust them every three years so it doesn’t go up so much at once,” he said. “But hopefully this will encourage people to be efficient in their use of water.”

Because Santa Paula Water Works relies solely on basin water, Brommenschenkel said it has not had to implement a water-rationing plan.

Advertisement