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Proposed Water Rate Hike Too Much

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* Picking the pockets of Orange County citizens is not confined to high-risk investments, niggling tax increases and “innocent” new user fees. Consider the whopping 65% rate increases Southern California Water Co. is seeking over the next three years.

That translates into an 18% hike for water customers in the first year (1996) alone. The company lists nine reasons related to increased operating costs.

Unlike monopolistic businesses such as public utilities, in private enterprises like newspapers--with which I am involved--such factors are no novelty.

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For example, postage for mailing has skyrocketed. Newsprint prices have doubled in one year.

Yet, advertising rate increases by necessity have been kept at 5% to 7% in any one year to hold current business and generate new customers against competition. Other private enterprises face the same realities.

The antidotes are better management, cost-cutting and finding less expensive materials sources.

SCWC could use similar methods. Los Angeles’ water supplier has. A cheaper water source has been found and rates are being lowered.

Perhaps SCWC can’t get the same source, and they doubtless need some reasonable increases to maintain quality product and good service.

But 65%!

Isn’t it too much?

I think so and wrote accordingly to the Public Utilities advisor’s office, 107 S. Broadway, Los Angeles 90012. (Correspondence should mention SCWC’s application #95-03-015.)

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BILL LYNDE

Cypress

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