WEBVTT
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Greater,
and thank you translator.
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Will the court reporter,
please confirm to me
00:00:05.670 --> 00:00:07.023
that she's ready to begin.
00:00:08.275 --> 00:00:10.213
I'm
ready, sir, thank you.
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Thank you.
00:00:12.380 --> 00:00:14.400
We will now be on the record.
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The Commission will come
to order, it's Thursday evening
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May 27th, 2021 at 6:32 PM.
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And this is a remote
public participation hearing
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on the Golden State Water Company's
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General Rate Case application,
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for rates to be charged in
years 2022, 2023 and 2024.
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The application number is A20-07-012.
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My name is Charles Ferguson
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and I am the assigned
Administrative Law Judge
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for this proceeding.
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Tonight, we're honored to
have the assigned Commissioner
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for this proceeding present with us.
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Her name is Darcie Houck,
00:01:03.300 --> 00:01:06.780
and I will turn over the
proceedings to her right now
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to make any introductory
comments that she prefers to do.
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Commissioner Houck.
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Thank you, Judge Ferguson
and good evening everyone.
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As Judge Ferguson stated,
my name is Darcie Houck,
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I'm the assigned Commissioner
for this proceeding.
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I want to thank all of you
for joining us this evening
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to provide your comments
in this important proceedings.
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I look forward to hearing
from any elected officials
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and customers that are present tonight
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regarding Golden State Water Company's
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General Rate Case
application, as you know
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California is facing
another severe drought,
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this combined with the ongoing impacts
00:01:42.010 --> 00:01:43.760
of the COVID-19 pandemic,
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highlights the importance
of our decisions
00:01:45.780 --> 00:01:47.060
in this proceeding.
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And with that I will turn
the hearing back over
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to Judge Ferguson, thank you.
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Thank you Commissioner.
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All right, tonight, we're
going to be focused on
00:01:57.590 --> 00:02:00.738
Golden State customers
in what is referred to
00:02:00.738 --> 00:02:05.250
as the Golden States
Region Three Rate Area.
00:02:05.250 --> 00:02:10.250
your monthly bills indicate in
which region you are located.
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If your monthly bill indicates
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that you reside in either
Region One or Region Two,
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we held those public participation
hearings for your regions
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on Tuesday and Wednesday of this week.
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Tuesday's hearings were
devoted to Region Two,
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and Wednesday's hearings
were devoted to Region One.
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There's no reason for
you to be concerned
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if you were unable to attend.
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You can access
recordings of these hearings
00:02:39.473 --> 00:02:44.473
by going to a website by the
name of adminmonitor.com
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Let me spell that for you.
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A-D-M-I-N-M-O-N-I-T-O-R.com.
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If you go to that website,
and click on the link,
00:03:01.996 --> 00:03:05.503
for the California Public
Utilities Commission,
00:03:05.503 --> 00:03:10.503
and scroll down to
either May 25 or May 26,
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you can access the hearings.
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If you intended to attend
those hearings but weren't able,
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and you wanted to make a
comment but haven't been able to,
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then you can still put a comment
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on the formal docket
sheet for this proceeding.
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You can submit a written comment
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by going to this part of
the Commission's website
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www.cpuc.ca.gov/pph
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And when you get there
scroll down to the link
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for proceedings papers.
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That link will take you
to the formal docket sheet
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where you can click on
the tab; public comments
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and leave your comments.
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If you are a part of Region One or Two,
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you're more than welcome to
stay connected to this hearing,
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but understand that today, this evening,
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we are going to be concentrating
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on the proposed rate
increases for only Region Three.
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My job as the Administrative Judge
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is to collect comments and
suggestions from you today
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and be mindful of them
as I assemble the evidence
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on whether or not your
rates should change
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for the three years of this rate cycle.
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After assembling the record,
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I will then write my proposed
decision and submit it
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to the five CPUC Commissioners
for them to vote on it.
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It will take three of the Commissioners,
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for my proposed decision to be accepted
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and become the final decision.
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the Commissioners or any of them
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can provide an alternate decision
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but their ultimate
decision will be based on
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exactly the same records that
my decision will be based on.
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So the purpose of
today's hearing is really
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for us at the Commission
to hear from you
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the customers of Golden
State Water, about how you feel,
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and what you think about an application
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for an increase in rates.
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To help you formulate your opinions,
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The Commission has prepared fact sheets
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and Golden State has
delivered those to you,
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either electroniCally or by email,
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I'm sorry or by US regular mail.
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These fact sheets will
help you understand
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exactly how much new revenue
Golden State is requesting
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in the aggregate from you
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and all the other
customers in Region Three.
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And they'll help you
figure out what it is,
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that your future bills might look like.
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If, and only if we at the
Commission approve fully
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of the rate, increase requested
by Golden State Water.
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That doesn't happen too often
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but it will at least give you a chance
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to see what the worst case
scenario would be for you,
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if we did approve of everything
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that the utility is asking for.
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If by any chance you do
not have your fact sheet,
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because you didn't
receive it or you received it
00:06:43.140 --> 00:06:46.740
and misplaced it,
you can still get a copy
00:06:46.740 --> 00:06:51.490
from the CPUC's
website, go to our website
00:06:51.490 --> 00:06:56.490
at www.cpuc.ca.gov.
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Enter the words public advisor.
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That's A-D-V-I-S-O-R in the search bar,
00:07:06.471 --> 00:07:10.840
and when you get to that
particular part of our website,
00:07:12.986 --> 00:07:17.690
you'll find a link for public
participation hearings.
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Click on that link and scroll
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to the Golden State Water
Company Rate Proceeding,
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and you will find the CPUC's fact sheets
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for all three regions of
the Golden State System.
00:07:31.320 --> 00:07:34.700
You can also obtain a
fact sheet for your rate area
00:07:34.700 --> 00:07:38.840
from Golden State itself by
addressing an email requests
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to 2022grc@gswater.com,
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including your billing address.
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I'm sorry, include your
billing address in your email
00:07:54.270 --> 00:07:57.580
so that the proper fact
sheet can be sent to you.
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Finally, if you don't
have any internet access,
00:08:00.900 --> 00:08:04.070
and you're participating
entirely by telephone,
00:08:04.070 --> 00:08:05.987
you can still get a
copy of the fact sheet
00:08:05.987 --> 00:08:10.500
for your specific rate area
by Calling Golden State Water
00:08:10.500 --> 00:08:14.470
at the following number (877) 288-8816.
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Let me repeat that one more time.
00:08:20.900 --> 00:08:22.920
Their telephone number to call
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for this particular proceeding
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and to get a fact sheet
is (877) 288-8816.
00:08:36.210 --> 00:08:38.480
This is the way you
can use the fact sheets
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to project what your rates would be.
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If, and only if we approved
00:08:43.580 --> 00:08:48.050
of all of what Golden
State Water is asking for.
00:08:48.050 --> 00:08:52.050
You need to collect all
of your old bills from 2020,
00:08:52.050 --> 00:08:55.970
all of the 12 months of 2020.
00:08:55.970 --> 00:08:58.950
Those bills will tell you
how much water you used
00:08:58.950 --> 00:09:02.263
in each month during
the Calendar year 2020.
00:09:03.260 --> 00:09:07.724
Using those precise
amounts and our fact sheet,
00:09:07.724 --> 00:09:11.680
you can project what it would cost you
00:09:11.680 --> 00:09:14.700
to use exactly the same amount of water
00:09:14.700 --> 00:09:19.353
in each month of 2022, 2023 and 2024.
00:09:22.974 --> 00:09:25.350
You need to make a separate calculation
00:09:25.350 --> 00:09:27.023
for each individual month.
00:09:29.011 --> 00:09:32.982
You'll begin each month
with the fixed service charge.
00:09:32.982 --> 00:09:35.870
You can find this on the fact sheet,
00:09:35.870 --> 00:09:38.763
on the first chart that
you see on the fact sheet,
00:09:39.960 --> 00:09:43.800
and the fixed service
charge is independent
00:09:43.800 --> 00:09:46.940
of how much water you'd actually use,
00:09:46.940 --> 00:09:49.670
whether you use no
water or lots of water,
00:09:49.670 --> 00:09:52.780
the monthly service charge is I'm sorry.
00:09:52.780 --> 00:09:57.510
The monthly service charge
is a once a month fixed charge
00:09:57.510 --> 00:09:58.903
that you have to pay.
00:09:59.850 --> 00:10:03.260
You need to add to
that your usage charge
00:10:03.260 --> 00:10:05.490
for the amount of water you used,
00:10:05.490 --> 00:10:09.860
and in the same month that
you're Calculating in 2020.
00:10:09.860 --> 00:10:13.330
Usage charges are expressed
in hundreds of cubic feet.
00:10:13.330 --> 00:10:16.480
100 cubic feet of water or one CCF
00:10:16.480 --> 00:10:20.173
is equal to 748 gallons of water.
00:10:21.200 --> 00:10:23.860
Use the column on the chart that says
00:10:23.860 --> 00:10:28.860
effective January 1, 2022
to project your usage charge
00:10:29.490 --> 00:10:31.763
for January, 2022.
00:10:32.780 --> 00:10:36.880
The Proposed Rate Structure
for all of 2022 and 2024
00:10:36.880 --> 00:10:39.540
is shown on page two of the fact sheet.
00:10:39.540 --> 00:10:41.660
So you can make the same calculations
00:10:41.660 --> 00:10:44.693
for each of the next two
years of the rate cycle.
00:10:45.960 --> 00:10:49.077
Throughout the whole three
years, the cheapest water
00:10:49.077 --> 00:10:54.077
for your region is the
first 13 CCFs that you use.
00:10:56.700 --> 00:11:01.370
At least that's as presently
proposed by Golden State Water,
00:11:01.370 --> 00:11:06.170
and it will be what your
first year is comprised of,
00:11:06.170 --> 00:11:09.283
if the Commission proves
of it in the final decision.
00:11:10.170 --> 00:11:14.810
The price increases
for water after the next,
00:11:14.810 --> 00:11:18.490
after the first 13 and continues
00:11:18.490 --> 00:11:22.713
for the next 31 CCFs
of water in your region.
00:11:23.710 --> 00:11:28.360
And it gets to be priced even
higher for water consumption,
00:11:28.360 --> 00:11:29.513
beyond that point.
00:11:30.940 --> 00:11:32.800
Remember to add the usage charge
00:11:32.800 --> 00:11:35.870
and the fixed service charge
together to get a projection
00:11:35.870 --> 00:11:39.313
of what you may have
to pay in January of 2022.
00:11:40.250 --> 00:11:43.729
If you make these Calculations
for each individual month,
00:11:43.729 --> 00:11:48.210
you can compare what you
would have to pay for water
00:11:48.210 --> 00:11:50.830
in 2022, if the CPUC grants
00:11:50.830 --> 00:11:53.550
all of Golden State's
proposed rate increases
00:11:53.550 --> 00:11:54.423
for your region.
00:11:56.630 --> 00:11:57.960
Now, having said that,
00:11:57.960 --> 00:12:02.580
there is a way to avoid
paying for the new rate increase
00:12:02.580 --> 00:12:05.410
and that is to trim your
water usage in those months
00:12:05.410 --> 00:12:07.503
when you typiCally use the most water.
00:12:09.110 --> 00:12:12.220
The Commission has provided
to you in the fact sheets,
00:12:12.220 --> 00:12:14.540
a graph on page three,
00:12:14.540 --> 00:12:17.560
that shows you how your
particular water consumption
00:12:17.560 --> 00:12:20.853
compares to all the
customers in Region Three.
00:12:21.726 --> 00:12:25.730
On average, taking into
account all 12 months of the year
00:12:25.730 --> 00:12:29.300
an average customer in Region Three,
00:12:29.300 --> 00:12:33.456
uses about 12 CCFs of water.
00:12:33.456 --> 00:12:37.130
That's right near the top
of the lowest costs here
00:12:37.130 --> 00:12:39.023
as proposed by Golden State.
00:12:40.350 --> 00:12:43.510
I find it somewhat impressive
that the average customer
00:12:43.510 --> 00:12:47.513
in your region stays within
the first proposed rates here.
00:12:48.580 --> 00:12:50.460
However, if you're using more
00:12:50.460 --> 00:12:53.210
than the average
customer uses in a month,
00:12:53.210 --> 00:12:56.500
then perhaps you should
consider reducing your water usage,
00:12:56.500 --> 00:12:58.903
even though you can
afford a rate increase.
00:13:00.010 --> 00:13:01.810
And if you're looking
for a way of avoiding
00:13:01.810 --> 00:13:04.000
the rate increase altogether,
00:13:04.000 --> 00:13:05.760
perhaps you should make calculations
00:13:05.760 --> 00:13:10.760
based on cutting your
water usage by 10, 15 or 20%
00:13:11.220 --> 00:13:15.123
in the year 2022, as compared to 2020.
00:13:16.451 --> 00:13:20.471
If you use the fact sheet and
Calculate what you would pay
00:13:20.471 --> 00:13:23.670
after those kinds of
savings, you may find
00:13:23.670 --> 00:13:27.983
that you are impervious
to the actual rate increase.
00:13:29.240 --> 00:13:30.489
Once you've finished your projections
00:13:30.489 --> 00:13:32.410
you can let us know what you think
00:13:32.410 --> 00:13:35.020
about the proposed rate increase.
00:13:35.020 --> 00:13:36.160
Some of you may conclude
00:13:36.160 --> 00:13:38.010
that you can reduce your water usage
00:13:38.010 --> 00:13:40.650
by enough to avoid any
change in the amount of money
00:13:40.650 --> 00:13:42.470
you pay for water.
00:13:42.470 --> 00:13:44.260
In that case, you may feel comfortable
00:13:44.260 --> 00:13:47.230
about the rates increasing in
order to pay for improvements
00:13:47.230 --> 00:13:49.073
in water quality or service.
00:13:49.990 --> 00:13:52.560
Others will be disturbed
by how difficult it is
00:13:52.560 --> 00:13:54.490
to cut their water usage
00:13:54.490 --> 00:13:57.800
and will be opposed
to any increases at all.
00:13:57.800 --> 00:13:59.950
The fact of the matter
is, we at the Commission
00:13:59.950 --> 00:14:01.893
want to hear from all of you,
00:14:02.950 --> 00:14:07.233
regardless of how you feel
about cutting your water usage.
00:14:09.730 --> 00:14:13.225
I'm going to leave it
to the representatives
00:14:13.225 --> 00:14:17.730
of the Golden State Water
Company, and the Public Advocates,
00:14:17.730 --> 00:14:20.680
which are the portion
00:14:20.680 --> 00:14:23.250
of the California Public
Utilities Commission,
00:14:23.250 --> 00:14:27.260
which represents the
interests of ratepayers like you,
00:14:27.260 --> 00:14:31.430
to describe to you their
views on whether or not
00:14:31.430 --> 00:14:36.290
the expenses that are
offered by Golden State Water,
00:14:36.290 --> 00:14:39.110
as the reason for increasing rates,
00:14:39.110 --> 00:14:44.110
asking for increased rates are
acceptable or not acceptable,
00:14:45.630 --> 00:14:48.380
and you will hear different
opinions from both of them.
00:14:49.910 --> 00:14:53.543
But first, let me just go
over a few descriptions
00:14:55.010 --> 00:14:58.367
about the Commission itself.
00:15:02.140 --> 00:15:04.260
It's comprised of five Commissioners
00:15:04.260 --> 00:15:05.870
who are appointed by the Governor
00:15:05.870 --> 00:15:08.103
and confirmed by the California Senate.
00:15:10.270 --> 00:15:13.260
As I said before, I manage
the day-to-day activities
00:15:13.260 --> 00:15:16.730
of the case, and then gather
all the evidence together
00:15:16.730 --> 00:15:18.323
and write a proposed decision.
00:15:19.482 --> 00:15:21.220
The proposed decision is then considered
00:15:21.220 --> 00:15:24.410
by all five Commissioners,
and they will either decide
00:15:24.410 --> 00:15:26.690
to adopt my proposed decision,
00:15:26.690 --> 00:15:29.163
or adopt their own alternate decision.
00:15:30.120 --> 00:15:32.150
The current schedule
for this proceeding,
00:15:32.150 --> 00:15:35.030
indicates that the Commission
may be able to vote
00:15:35.030 --> 00:15:37.510
on a decision by the end of this year,
00:15:37.510 --> 00:15:39.793
or certainly in 2022.
00:15:41.420 --> 00:15:45.960
Comments from the public,
like those of you listening today
00:15:45.960 --> 00:15:49.190
help us reach an informed decision.
00:15:49.190 --> 00:15:51.743
The Commissioners and
I will pay close attention
00:15:51.743 --> 00:15:54.350
to the opinions you express
00:15:54.350 --> 00:15:56.663
in this public participation hearing.
00:15:57.950 --> 00:16:01.170
A Court Reporter will describe,
00:16:01.170 --> 00:16:04.520
will transcribe everything
that you say today.
00:16:04.520 --> 00:16:08.240
So when you do speak, I ask
you to speak slowly and clearly,
00:16:08.240 --> 00:16:10.783
so that she can capture
everything that you say.
00:16:11.640 --> 00:16:13.840
A written transcript of today's hearing
00:16:13.840 --> 00:16:18.840
will be posted on our docket
card for this proceeding.
00:16:19.210 --> 00:16:23.217
You can also access the
recording of our proceeding
00:16:23.217 --> 00:16:27.488
this evening at the same
website I mentioned before
00:16:27.488 --> 00:16:30.153
adminmonitor.com.
00:16:33.130 --> 00:16:35.340
And in addition there are other ways
00:16:35.340 --> 00:16:38.650
that you can provide public comments.
00:16:38.650 --> 00:16:41.930
I will tell you that I
personally wait until Fridays,
00:16:41.930 --> 00:16:44.290
and then I get all of the comments
00:16:44.290 --> 00:16:47.600
that have come into the
Commission during the week,
00:16:47.600 --> 00:16:49.940
and I spend a part of every Friday,
00:16:49.940 --> 00:16:54.483
reading through those
comments and to explain to you
00:16:54.483 --> 00:16:59.483
better than I can do it,
how to get your comments
00:17:00.499 --> 00:17:05.499
into my hands and into the docket sheet,
00:17:05.500 --> 00:17:07.278
I'm going to invite a representative
00:17:07.278 --> 00:17:12.241
of the Public Advisors
Office at the Commission
00:17:12.241 --> 00:17:14.150
to speak to you now.
00:17:14.150 --> 00:17:16.218
So Ms. Brown, if you're ready,
00:17:16.218 --> 00:17:19.763
would you please take over from here?
00:17:21.720 --> 00:17:23.160
Yes, thank you, Judge.
00:17:23.160 --> 00:17:25.210
Good evening and welcome everyone.
00:17:25.210 --> 00:17:26.380
My name is Allison Brown
00:17:26.380 --> 00:17:29.120
and I'm the Commission's Public Advisor.
00:17:29.120 --> 00:17:30.290
The Public Advisor's Office,
00:17:30.290 --> 00:17:31.860
assists and advises the public
00:17:31.860 --> 00:17:34.540
with participation and
Commission proceedings.
00:17:34.540 --> 00:17:37.040
We are here as a resource for you.
00:17:37.040 --> 00:17:39.700
First, I want to thank
you all for joining us today.
00:17:39.700 --> 00:17:41.690
As the Judge and the
Commissioner stated,
00:17:41.690 --> 00:17:44.040
public participation
and input are essential
00:17:44.040 --> 00:17:46.240
to the Commission's
decision-making process.
00:17:47.190 --> 00:17:48.790
This is your opportunity to be heard
00:17:48.790 --> 00:17:50.950
and to share your
thoughts on the application,
00:17:50.950 --> 00:17:52.240
with the Administrative Law Judge
00:17:52.240 --> 00:17:54.210
and the assigned Commissioner.
00:17:54.210 --> 00:17:56.540
If you have specific questions
about your application
00:17:56.540 --> 00:17:59.480
or your service, this
application, or your service
00:17:59.480 --> 00:18:02.010
please reach out to the
Public Advisor's Office.
00:18:02.010 --> 00:18:07.010
Our email address is
public.advisor@cpuc.ca.gov
00:18:08.550 --> 00:18:10.410
or you can Call the
Public Advisor's Office
00:18:10.410 --> 00:18:13.633
at 1-866-849-8390.
00:18:16.090 --> 00:18:17.990
You can also visit the CPUC
00:18:17.990 --> 00:18:20.463
or Golden State's websites
for more information.
00:18:21.630 --> 00:18:23.040
Again, if you, or anyone, you know
00:18:23.040 --> 00:18:26.190
is not able to make a comment
today, as the Judge said
00:18:26.190 --> 00:18:28.700
there are several other
ways to become involved.
00:18:28.700 --> 00:18:31.620
If you wish to find more
information on becoming a party
00:18:31.620 --> 00:18:34.620
subscribing to this proceeding
or submitting comments
00:18:34.620 --> 00:18:38.690
via the docket card or email
please go to our website,
00:18:38.690 --> 00:18:43.000
www.cpuc.ca.gov,
00:18:43.000 --> 00:18:45.600
or you can directly
email the Public Advisor.
00:18:45.600 --> 00:18:50.600
Again, that address is
public.advisor@cpuc.ca.gov.
00:18:52.560 --> 00:18:54.570
Thank you again for joining us today.
00:18:54.570 --> 00:18:55.930
All of the information I stated
00:18:55.930 --> 00:18:58.630
is available on the notice
you received for this hearing
00:18:58.630 --> 00:19:01.010
or if you're watching
this or seeing the stream,
00:19:01.010 --> 00:19:03.000
they're available on the screen as well.
00:19:03.000 --> 00:19:04.450
We look forward to your comments today.
00:19:04.450 --> 00:19:05.283
Thank you again.
00:19:07.920 --> 00:19:10.530
Thank you, Ms.
Brown. All right.
00:19:10.530 --> 00:19:14.050
Now we come to an important
part of this proceeding.
00:19:14.050 --> 00:19:18.245
Later this summer, I will
conduct an evidentiary hearing
00:19:18.245 --> 00:19:21.210
and representatives
of Golden State Water
00:19:21.210 --> 00:19:24.350
and representatives of
the Public Advocates Office,
00:19:24.350 --> 00:19:26.486
which is your representative,
00:19:26.486 --> 00:19:31.486
will present all of their
evidence, their witnesses,
00:19:31.940 --> 00:19:34.728
their written arguments
their legal arguments,
00:19:34.728 --> 00:19:37.759
and I will then make a decision
00:19:37.759 --> 00:19:40.770
after listening to both of them.
00:19:40.770 --> 00:19:43.720
But tonight you're going
to get a quick preview
00:19:43.720 --> 00:19:46.260
of what they are going to say
00:19:46.260 --> 00:19:48.683
with respect to the
rates in your region,
00:19:49.540 --> 00:19:52.830
come later this summer
in the evidentiary hearing.
00:19:52.830 --> 00:19:55.120
So I'm going to invite Mr. Switzer
00:19:55.120 --> 00:19:58.480
from Golden State
Water to begin by telling us
00:19:58.480 --> 00:20:01.893
about Golden State Water's position.
00:20:05.420 --> 00:20:09.350
Okay, thank you, Judge
Ferguson and good evening.
00:20:09.350 --> 00:20:10.853
Thank you, Commissioner Houck.
00:20:13.460 --> 00:20:15.060
Good evening everyone.
00:20:15.060 --> 00:20:17.490
My name is Keith Switzer.
00:20:17.490 --> 00:20:20.040
I work for Golden State Water Company.
00:20:20.040 --> 00:20:23.120
I am the Vice-President
of the company responsible
00:20:23.120 --> 00:20:26.483
for managing the Regulatory
Affairs Department.
00:20:27.511 --> 00:20:29.720
My department is responsible
00:20:29.720 --> 00:20:32.660
for filing the General
Rate Case application
00:20:32.660 --> 00:20:36.053
which is the subject of this
public participation hearing.
00:20:36.988 --> 00:20:39.880
I want to welcome you
all to this virtual hearing,
00:20:39.880 --> 00:20:42.400
and thank you, thank
all of our customers,
00:20:42.400 --> 00:20:45.227
who've taken the time
to join us this evening.
00:20:45.227 --> 00:20:47.363
We look forward to hearing from you.
00:20:48.290 --> 00:20:51.530
You've just heard Judge Ferguson
provide an general overview
00:20:51.530 --> 00:20:54.020
of Golden State Water's application
00:20:54.020 --> 00:20:57.370
and the purpose of tonight's meeting
00:20:57.370 --> 00:21:00.719
and the Commission's decision
decision-making process.
00:21:00.719 --> 00:21:02.680
I'm going to take just a few minutes
00:21:02.680 --> 00:21:05.563
to expand on some of
Judge Ferguson's comment.
00:21:06.995 --> 00:21:09.230
The General Rate case is the process
00:21:09.230 --> 00:21:12.410
that establishes the
company's overall budget
00:21:12.410 --> 00:21:14.200
or what we more commonly referred to
00:21:14.200 --> 00:21:18.550
as our revenue requirement
to operate the water system
00:21:18.550 --> 00:21:21.310
in a manner that will
allow us to provide
00:21:21.310 --> 00:21:23.713
safe and reliable water service.
00:21:23.713 --> 00:21:26.730
The Rate Case also establishes the rates
00:21:26.730 --> 00:21:29.550
that we charge for water service.
00:21:29.550 --> 00:21:33.820
Rates are set at a level
that will generate the budget
00:21:33.820 --> 00:21:36.410
or revenue requirement
approved in the Rate Case,
00:21:36.410 --> 00:21:41.200
by the Commission at the
forecasted levels of water usage
00:21:41.200 --> 00:21:42.423
from the decision.
00:21:43.400 --> 00:21:45.170
The General Rate Case process
00:21:45.170 --> 00:21:47.770
is intended to be an open process
00:21:47.770 --> 00:21:50.330
where input from different parties
00:21:50.330 --> 00:21:52.750
is welcomed and encouraged.
00:21:52.750 --> 00:21:55.440
Your participation here this evening
00:21:55.440 --> 00:21:59.050
is an important part of that process.
00:21:59.050 --> 00:22:03.020
As customers of Golden
State Water, you received notice
00:22:03.020 --> 00:22:05.968
that Golden State filed
its rate case application
00:22:05.968 --> 00:22:08.756
in July of 2020.
00:22:08.756 --> 00:22:11.968
The Commission's final
decision on our application
00:22:11.968 --> 00:22:14.497
will set our revenue requirements
00:22:14.497 --> 00:22:19.210
and the corresponding
rates for a three-year period,
00:22:19.210 --> 00:22:24.210
calendar years, 2022, 2023 and 2024.
00:22:26.500 --> 00:22:29.830
A quick word about the
timing of our application.
00:22:29.830 --> 00:22:32.977
Golden State is obligated by law to file
00:22:32.977 --> 00:22:37.163
a General Rate Case
application, once every three years.
00:22:37.163 --> 00:22:39.420
The Commission has a preset schedule
00:22:39.420 --> 00:22:42.193
that establishes
the date for our filing.
00:22:43.090 --> 00:22:45.830
The Commissions filing
schedule enables the Commission
00:22:45.830 --> 00:22:50.274
to process a General Rate
Case once every three years
00:22:50.274 --> 00:22:54.630
for all nine of the large
class-A water utilities
00:22:54.630 --> 00:22:56.300
in the state.
00:22:56.300 --> 00:22:59.760
it's a tight schedule,
essentially processing
00:22:59.760 --> 00:23:02.480
three rate cases every year,
00:23:02.480 --> 00:23:06.920
which is why the timing of
each application is mandated
00:23:06.920 --> 00:23:09.710
enabling the Commission
to manage the workload,
00:23:09.710 --> 00:23:12.023
and the processing of all these cases.
00:23:13.220 --> 00:23:16.310
For Golden State Water,
our last rate case application
00:23:16.310 --> 00:23:19.790
was filed in July of 2017
00:23:19.790 --> 00:23:22.230
and the Commission's
decision established the rates
00:23:22.230 --> 00:23:27.230
for Calendar years, 2019, 2020 and 2021.
00:23:29.540 --> 00:23:32.910
The filing of the rate case
application in July of last year
00:23:32.910 --> 00:23:34.752
was just the first step
00:23:34.752 --> 00:23:39.752
in a process that will take at
least 18 months to complete.
00:23:40.277 --> 00:23:42.910
Once we file our application,
00:23:42.910 --> 00:23:45.292
the office of Public
Advocates will begin on
00:23:45.292 --> 00:23:49.726
about an eight month process
of reviewing the application,
00:23:49.726 --> 00:23:52.690
doing discovery on the application,
00:23:52.690 --> 00:23:55.010
and ultimately issuing their own report
00:23:55.010 --> 00:23:58.170
and own set of recommendations
to the Commission,
00:23:58.170 --> 00:24:01.493
regarding our 2022 revenue requirement.
00:24:02.710 --> 00:24:06.300
Next steps include
settlement negotiations,
00:24:06.300 --> 00:24:09.961
mediation, evidentiary hearings
00:24:09.961 --> 00:24:12.990
and then ultimately
Judge Ferguson will issue
00:24:12.990 --> 00:24:15.400
what is Called a proposed decision
00:24:15.400 --> 00:24:17.900
that will address and
resolve all the issues
00:24:17.900 --> 00:24:18.850
in the application.
00:24:19.900 --> 00:24:22.771
And then finally the five
Commissioners will vote
00:24:22.771 --> 00:24:25.233
and issue a final decision.
00:24:28.970 --> 00:24:31.600
Tonight's hearing is for
customers in our Region Three
00:24:31.600 --> 00:24:33.103
rate making area.
00:24:34.280 --> 00:24:38.030
Golden State has requested
an increase in Region Three
00:24:38.030 --> 00:24:40.250
in the Region Three
annual revenue requirement
00:24:40.250 --> 00:24:44.993
for 2022 of $14.6 million,
00:24:45.940 --> 00:24:47.004
and that's an increase compared
00:24:47.004 --> 00:24:52.004
to the current 2021 annual
revenue requirement.
00:24:52.020 --> 00:24:56.752
There will be additional
increases in 2023 and 2024
00:24:56.752 --> 00:25:00.653
of 6.9 million and $7.1 million.
00:25:03.260 --> 00:25:05.708
What is the reason
behind these increases,
00:25:05.708 --> 00:25:08.760
primarily it's due to the need to invest
00:25:08.760 --> 00:25:11.731
in new infrastructure, things like
00:25:11.731 --> 00:25:16.731
new and replacement
pipeline, supply-related projects,
00:25:17.340 --> 00:25:20.430
such as new or replacement wells
00:25:21.360 --> 00:25:23.793
and new facilities to treat our water.
00:25:25.150 --> 00:25:30.150
Golden State Water has
proposed approximately $147 million
00:25:30.517 --> 00:25:34.770
of new infrastructure
projects for Region Three,
00:25:34.770 --> 00:25:37.183
over the next three years.
00:25:38.440 --> 00:25:41.979
All of those projects are
contingent upon approval
00:25:41.979 --> 00:25:46.783
of the Commission is part
of their decision in this case.
00:25:47.900 --> 00:25:49.710
And let me elaborate just a little bit
00:25:49.710 --> 00:25:52.720
on the infrastructure projects.
00:25:52.720 --> 00:25:54.270
As we make these investments,
00:25:54.270 --> 00:25:55.976
we do not recover the full cost
00:25:55.976 --> 00:25:58.470
of the investments right away.
00:25:58.470 --> 00:26:00.542
We fund the investments
00:26:00.542 --> 00:26:03.770
with a combination of investor money,
00:26:03.770 --> 00:26:06.140
which is raised through Golden State
00:26:06.140 --> 00:26:11.140
or our parent company
AWR issuing stock to investors
00:26:11.150 --> 00:26:12.460
and borrowed money,
00:26:12.460 --> 00:26:15.793
which is raised through
the company issuing bonds.
00:26:16.780 --> 00:26:20.300
Once the investments in
infrastructure are made,
00:26:20.300 --> 00:26:23.470
the cost of those assets
are recovered in rates,
00:26:23.470 --> 00:26:25.890
over an extended period of time.
00:26:27.960 --> 00:26:31.190
Anywhere from five to 40 or more years,
00:26:31.190 --> 00:26:34.212
depending upon the type of asset.
00:26:34.212 --> 00:26:36.760
As those investments are made,
00:26:36.760 --> 00:26:38.650
what gets incorporated into rate,
00:26:38.650 --> 00:26:41.410
is not the full cost of the investment,
00:26:41.410 --> 00:26:43.680
at least not right away
00:26:43.680 --> 00:26:47.480
but rather depreciation of those assets
00:26:47.480 --> 00:26:50.750
which is the way that
the company is repaid
00:26:50.750 --> 00:26:54.040
for the investment costs,
and that's done over, as I said,
00:26:54.040 --> 00:26:55.950
a prolonged period of time
00:26:55.950 --> 00:26:58.120
and also the carrying
costs for the funds
00:26:58.120 --> 00:27:00.500
that are used to
finance the investments.
00:27:00.500 --> 00:27:02.930
The interest payments that
we must make on the debt,
00:27:02.930 --> 00:27:05.683
and the dividends to
investors for their investments.
00:27:07.040 --> 00:27:09.780
In addition to the
infrastructure projects
00:27:09.780 --> 00:27:12.920
there are also projected
increases in costs
00:27:12.920 --> 00:27:17.030
for purchase water, as a
portion of the water supply
00:27:17.030 --> 00:27:20.960
that we provide is
purchased from third parties,
00:27:20.960 --> 00:27:24.100
such as agencies of the
Metropolitan Water District,
00:27:24.100 --> 00:27:24.993
for example.
00:27:27.010 --> 00:27:29.570
So how does this all
translate to the impact
00:27:29.570 --> 00:27:31.570
on a monthly bill?
00:27:31.570 --> 00:27:33.534
The answer to that question will vary
00:27:33.534 --> 00:27:37.010
depending on a number of factors,
00:27:37.010 --> 00:27:39.250
but one of the most
important determinants,
00:27:39.250 --> 00:27:41.770
is your monthly water usage.
00:27:41.770 --> 00:27:45.120
Since the majority of most
customer bills is attributable
00:27:45.120 --> 00:27:47.223
to the monthly usage charges,
00:27:48.783 --> 00:27:52.170
the monthly bill for
Golden State charges
00:27:52.170 --> 00:27:55.543
on a residential
customer in Region Three,
00:27:56.490 --> 00:27:59.040
who has a 5/8 inch meter at their home,
00:27:59.040 --> 00:28:01.240
which is the most common,
00:28:01.240 --> 00:28:05.270
and uses 12 CCF a month of water
00:28:05.270 --> 00:28:07.470
which is the average usage amount
00:28:07.470 --> 00:28:10.163
for residential customers
in Region Three.
00:28:11.032 --> 00:28:13.700
Under those circumstances,
the average bill
00:28:13.700 --> 00:28:18.209
would increase from
$65.20 under current rates
00:28:18.209 --> 00:28:23.209
to $72.62 in 2022
00:28:23.320 --> 00:28:27.093
which is an increase of $7.42 a month.
00:28:30.030 --> 00:28:33.260
If you would like to contact
Golden State Water directly,
00:28:33.260 --> 00:28:34.880
with a question during tonight's
00:28:34.880 --> 00:28:38.040
public participation
hearing, you can do so
00:28:38.040 --> 00:28:41.120
either by phone or by email.
00:28:41.120 --> 00:28:44.260
Golden State Water has set
up a special Call-in number
00:28:44.260 --> 00:28:46.600
for customers who would like to speak
00:28:46.600 --> 00:28:51.467
to a company representative
about the Rate Case Application.
00:28:51.467 --> 00:28:54.981
That number, which is
shown here on this screen
00:28:54.981 --> 00:28:57.457
is 1-877-288-8816.
00:29:04.090 --> 00:29:06.630
Golden State Water
employees will be standing by
00:29:06.630 --> 00:29:09.263
at that number to
respond to your questions.
00:29:10.503 --> 00:29:13.940
If you prefer to ask
your question by email,
00:29:13.940 --> 00:29:16.440
we've also set up a
special email address,
00:29:16.440 --> 00:29:17.840
specifiCally for questions
00:29:17.840 --> 00:29:20.680
regarding the rate case application.
00:29:20.680 --> 00:29:24.360
That email which is also
shown here on the screen
00:29:24.360 --> 00:29:28.140
is 2022grc@gswater.com
00:29:37.450 --> 00:29:40.300
Before concluding my comments today,
00:29:40.300 --> 00:29:42.515
tonight I'm sorry, I wanted to speak
00:29:42.515 --> 00:29:45.530
to the extraordinary and
difficult circumstances
00:29:45.530 --> 00:29:48.001
that we find ourselves in right now.
00:29:48.001 --> 00:29:50.670
I'm very proud, that Golden
State Water employees
00:29:50.670 --> 00:29:53.259
have been working hard
throughout the pandemic,
00:29:53.259 --> 00:29:55.940
making sure that you, our customers
00:29:55.940 --> 00:29:58.730
have continued to receive uninterrupted
00:29:58.730 --> 00:30:01.793
safe and reliable water
service, during this time.
00:30:02.960 --> 00:30:05.650
I also want to share that we recognize
00:30:05.650 --> 00:30:08.120
many of our customers
are experiencing financial
00:30:08.120 --> 00:30:11.603
and economic hardships
during this pandemic situation.
00:30:12.469 --> 00:30:16.000
Despite the challenges of
the COVID-19 pandemic,
00:30:16.000 --> 00:30:18.660
our customer service
team has remained available
00:30:18.660 --> 00:30:23.460
throughout 24-7, to help
customers answer questions
00:30:23.460 --> 00:30:25.830
and resolve problems.
00:30:25.830 --> 00:30:28.244
Golden State has
put in place protections
00:30:28.244 --> 00:30:31.720
to ensure that customers
continue to receive
00:30:31.720 --> 00:30:34.083
safe and reliable water service.
00:30:34.960 --> 00:30:39.420
Also included in our rate
case is the provision to offer
00:30:39.420 --> 00:30:41.480
a monthly credit on the bill
00:30:41.480 --> 00:30:43.960
to income qualifying customers
00:30:43.960 --> 00:30:47.242
who meet specific income criteria.
00:30:47.242 --> 00:30:50.830
If you go to our website,
www.gswater.com,
00:30:55.468 --> 00:30:58.233
you will find a link on the home page
00:30:58.233 --> 00:31:01.724
for Emergency Disaster Relief Program,
00:31:01.724 --> 00:31:06.030
and our Low Income
Customer Assistance Program,
00:31:06.030 --> 00:31:09.030
which will describe the various
protections and programs
00:31:09.030 --> 00:31:10.393
that are available to you.
00:31:11.746 --> 00:31:15.690
With that, I will close
my comments tonight.
00:31:15.690 --> 00:31:17.450
Again, I want to thank all of you
00:31:17.450 --> 00:31:20.080
for taking the time
to join this meeting,
00:31:20.080 --> 00:31:22.283
and I look forward to
hearing your comments.
00:31:23.140 --> 00:31:26.323
Thank you, Judge Ferguson
for allowing me this opportunity.
00:31:27.590 --> 00:31:30.423
And thank you, Mr. Switzer,
for your comments.
00:31:31.620 --> 00:31:35.160
I want to before inviting Mr. Chan
00:31:35.160 --> 00:31:39.800
to explain the position
of the Public Advocates,
00:31:39.800 --> 00:31:42.740
I do want to clarify for everyone,
00:31:42.740 --> 00:31:45.740
and particularly those
who have sharp eyes
00:31:45.740 --> 00:31:50.740
and have been listening
closely to what Mr. Switzer said,
00:31:50.810 --> 00:31:55.800
there are two differences
between what he said
00:31:55.800 --> 00:31:59.070
and what the Commission
put in the fact sheets.
00:31:59.070 --> 00:32:01.760
And I want to make sure
that everybody understands
00:32:01.760 --> 00:32:06.268
that nobody neither Golden
State Water nor the Commission
00:32:06.268 --> 00:32:09.970
are misstating any of the facts.
00:32:09.970 --> 00:32:13.190
There's a reason, and
I'll explain it to you where,
00:32:13.190 --> 00:32:16.489
for both of the differences
of between the fact sheet
00:32:16.489 --> 00:32:19.600
and what Mr. Switzer just said.
00:32:19.600 --> 00:32:24.600
He pointed out that there
is a request for approval
00:32:24.760 --> 00:32:29.760
of capital investments in the
neighborhood of $147 million.
00:32:30.160 --> 00:32:34.226
Whereas on the fact sheet
we have listed $45 million
00:32:34.226 --> 00:32:35.963
and some change.
00:32:35.963 --> 00:32:40.963
So the reason that
the fact has $45 million,
00:32:41.015 --> 00:32:46.015
it's because we picked out
one large capital investment,
00:32:46.455 --> 00:32:49.230
and reported that because we were trying
00:32:49.230 --> 00:32:54.230
to show what the
largest drivers might be,
00:32:54.950 --> 00:32:57.120
and we did not make an effort to add up
00:32:57.120 --> 00:33:00.150
all of the capital
investments in Region Three
00:33:00.150 --> 00:33:01.830
and put their aggregate number.
00:33:01.830 --> 00:33:05.320
So that's the difference
between what's in your fact sheet
00:33:05.320 --> 00:33:08.240
and what Mr. Switzer just referenced.
00:33:08.240 --> 00:33:13.210
Secondly, he referenced a
need for increased revenue,
00:33:13.210 --> 00:33:15.370
of 14 million and you'll notice
00:33:15.370 --> 00:33:18.360
that the fact sheet says 19 million.
00:33:18.360 --> 00:33:21.960
And again, it's just
it's not a misstatement
00:33:21.960 --> 00:33:24.229
by either either of us.
00:33:24.229 --> 00:33:29.210
The $19 million is a comparison
of the revenue requirement
00:33:29.210 --> 00:33:34.210
for your region in 2020 versus 2022.
00:33:34.330 --> 00:33:36.640
Whereas what Mr. Switzer was giving you
00:33:36.640 --> 00:33:38.570
when he said 14 million,
00:33:38.570 --> 00:33:41.360
was the comparison between
the revenue requirement
00:33:41.360 --> 00:33:44.972
in your region for this year 2021
00:33:44.972 --> 00:33:49.972
and the first year of the
new rates cycle, 2022.
00:33:50.240 --> 00:33:54.160
Again, no, there's no
misstatement by either of us.
00:33:54.160 --> 00:33:56.720
It just, we selected different.
00:33:56.720 --> 00:33:59.210
We had different
criteria for the information
00:33:59.210 --> 00:34:00.580
that we were giving you.
00:34:00.580 --> 00:34:03.475
Then the criteria that Mr. Switzer chose
00:34:03.475 --> 00:34:06.050
for his comments this evening.
00:34:06.050 --> 00:34:10.590
I will point out in case
of the, I just wIll point out
00:34:10.590 --> 00:34:12.733
that on page two of the fact sheet,
00:34:12.733 --> 00:34:16.721
where we talk about
the billing rate impact
00:34:16.721 --> 00:34:21.721
of rates in 2022, '23 and '24,
00:34:21.738 --> 00:34:24.978
the example of the average customer,
00:34:24.978 --> 00:34:29.978
both Mr. Switzer and the fact
sheet from the Commission
00:34:30.850 --> 00:34:34.620
are right down to the
penny, exactly the same.
00:34:34.620 --> 00:34:37.780
The example of the
average customer is exactly,
00:34:37.780 --> 00:34:39.250
that we give in the fact sheet,
00:34:39.250 --> 00:34:44.250
is exactly what Mr. Switzer
just explained to you himselF.
00:34:44.620 --> 00:34:49.473
So I apologize for all
that detail, but we often are
00:34:52.670 --> 00:34:55.600
quizzed about how come the fact sheets
00:34:55.600 --> 00:34:58.760
have different information
than what the utility
00:34:58.760 --> 00:35:00.557
is giving to the customers.
00:35:00.557 --> 00:35:04.748
And the answer is because
we selected different criteria
00:35:04.748 --> 00:35:06.620
from each other.
00:35:06.620 --> 00:35:10.080
It's not that either side is
making a misstatement.
00:35:10.080 --> 00:35:12.097
with that said it is now time
00:35:12.097 --> 00:35:15.260
for you to hear your own
representative speak to you
00:35:15.260 --> 00:35:18.230
about what the Public Advocate's Office
00:35:18.230 --> 00:35:21.140
thinks that should happen with respect
00:35:21.140 --> 00:35:24.190
to the proposed rate
increases in your region.
00:35:24.190 --> 00:35:26.593
Mr. Chan, it's your
opportunity to speak.
00:35:29.270 --> 00:35:33.270
Thank you, Judge Ferguson,
members of the public,
00:35:33.270 --> 00:35:35.220
thank you for participating tonight.
00:35:35.220 --> 00:35:37.502
Public participation hearing
00:35:37.502 --> 00:35:41.754
and allowing me the
opportunity to speak to you.
00:35:41.754 --> 00:35:45.710
My name is Victor Chan,
I'm the Project Manager
00:35:45.710 --> 00:35:49.010
representing the
Public Advocate's Office.
00:35:49.010 --> 00:35:53.140
I'll Call it Cal Advocate,
in this proceeding.
00:35:53.140 --> 00:35:54.768
I, along with my team,
00:35:54.768 --> 00:35:57.060
are responsible for reviewing
00:35:57.060 --> 00:36:00.260
Golden State Water
company's Application,
00:36:00.260 --> 00:36:04.215
and we issue our
independent recommendations
00:36:04.215 --> 00:36:07.113
for the Commission to consider.
00:36:07.972 --> 00:36:11.510
Tonight I'm going to provide an overview
00:36:11.510 --> 00:36:13.234
of our role in this proceeding,
00:36:13.234 --> 00:36:16.727
as well as our major recommendations
00:36:16.727 --> 00:36:18.703
you know, for Region Three.
00:36:19.650 --> 00:36:21.230
The Public Advocate's Office
00:36:21.230 --> 00:36:24.250
or Cal Advocates is
an independent office
00:36:24.250 --> 00:36:26.995
within the California
Public Utilities Commission,
00:36:26.995 --> 00:36:29.990
that represents the
interests of rate payers.
00:36:29.990 --> 00:36:32.789
Our statutory mission is to
obtain the lowest possible rate
00:36:32.789 --> 00:36:34.258
for service consistence
00:36:34.258 --> 00:36:37.022
with reliable and safe service levels.
00:36:37.022 --> 00:36:40.760
Cal Advocate has been
multi-disciplinary step
00:36:40.760 --> 00:36:44.730
with expertise in engineering,
economics, accounting
00:36:44.730 --> 00:36:46.100
and finance.
00:36:46.100 --> 00:36:48.700
Cal Advocate's views, do
not necessarily reflect those
00:36:48.700 --> 00:36:49.600
of the Commission.
00:36:50.532 --> 00:36:54.750
In February, 2021 Cal
Advocate Service testimony
00:36:54.750 --> 00:36:57.020
on Golden State Water
Company's General Rate case
00:36:57.020 --> 00:37:00.740
application number 2007-012,
00:37:00.740 --> 00:37:02.650
in which Golden State
Water company request
00:37:02.650 --> 00:37:04.250
rate increase for its regions;
00:37:04.250 --> 00:37:06.663
One, two, and three service areas.
00:37:07.570 --> 00:37:10.010
Cal Advocates' testimony,
presents analysis
00:37:10.010 --> 00:37:12.770
and recommendations
on a wide range of issues,
00:37:12.770 --> 00:37:16.670
including capital
investment, sales, rate design,
00:37:16.670 --> 00:37:20.233
conservation, operating
expenses and taxes.
00:37:21.510 --> 00:37:23.580
Compared to Golden State
Water Company's request
00:37:23.580 --> 00:37:28.090
14.51% increase for its
Region Three service area
00:37:28.090 --> 00:37:30.770
in the year 2022.
00:37:30.770 --> 00:37:35.770
Cal Advocates recommends
no more than a 4.09% increase
00:37:36.160 --> 00:37:38.333
in revenue and average system rates.
00:37:39.440 --> 00:37:41.767
And the following of the
major recommendation
00:37:41.767 --> 00:37:45.510
that we provided in our testimony;
00:37:45.510 --> 00:37:48.740
first; authorize and
finding for a more modern
00:37:48.740 --> 00:37:50.477
pipeline re-pipement program.
00:37:50.477 --> 00:37:53.950
Second; reduce Golden
State Water Company's
00:37:53.950 --> 00:37:58.231
proposed salary increase,
and request for new positions.
00:37:58.231 --> 00:38:02.780
Third; decreased expenses
and capital investments
00:38:02.780 --> 00:38:05.725
from Golden State Water
Company's General Office,
00:38:05.725 --> 00:38:08.527
and forth; remove unfinished projects
00:38:08.527 --> 00:38:11.273
that are not providing
rate payer benefits.
00:38:12.320 --> 00:38:14.720
These four major recommendations,
00:38:14.720 --> 00:38:17.590
along with other
recommendations can be found
00:38:17.590 --> 00:38:19.737
in Cal advocates' testimony
00:38:19.737 --> 00:38:23.400
that were served back in February.
00:38:23.400 --> 00:38:25.771
You can go to Cal Advocates website,
00:38:25.771 --> 00:38:30.200
by going to
www.publicadvocates.cpuc.ca.gov.
00:38:34.740 --> 00:38:38.020
And look for the link to
Cal Advocates Report
00:38:38.020 --> 00:38:42.420
on GSWC 2020 GRC application.
00:38:42.420 --> 00:38:45.263
And with that, this
concludes my remarks,
00:38:45.263 --> 00:38:47.763
and I look forward to
hearing your comments today.
00:38:49.470 --> 00:38:52.383
Mr. Chan, thank you very
much for that presentation.
00:38:53.770 --> 00:38:58.110
And now it is time for
us at the Commission
00:38:58.110 --> 00:39:00.977
to hear from you about your feelings
00:39:00.977 --> 00:39:04.810
towards this proposed rate increase.
00:39:04.810 --> 00:39:08.540
And here's how you can make
your comment this evening.
00:39:08.540 --> 00:39:13.540
If you wish to speak,
press *1 on your telephone
00:39:14.228 --> 00:39:19.228
and the operator will add
you to the lineup of speakers.
00:39:19.241 --> 00:39:23.390
There will perhaps be speakers
who are English speaking,
00:39:23.390 --> 00:39:26.300
and speakers who are Spanish speaking.
00:39:26.300 --> 00:39:30.506
My intent is to alternate
every three speakers,
00:39:30.506 --> 00:39:35.506
between the Spanish speakers
and the English speakers.
00:39:37.260 --> 00:39:40.269
I will allow each speaker
to have three minutes
00:39:40.269 --> 00:39:44.610
to make their comments,
a chime will sound
00:39:44.610 --> 00:39:47.410
at the end of the three minutes,
00:39:47.410 --> 00:39:50.706
and then it'll be time
for you to come to an end
00:39:50.706 --> 00:39:54.013
of your comment and
let the next person speak.
00:39:54.870 --> 00:39:59.430
When you start speaking, keep in mind
00:39:59.430 --> 00:40:02.010
that you must speak slowly and clearly
00:40:02.010 --> 00:40:04.250
so that the reporter
can capture everything
00:40:04.250 --> 00:40:05.890
that you're saying.
00:40:05.890 --> 00:40:10.293
And I want everyone to start
out by stating their full name,
00:40:10.293 --> 00:40:14.961
and then spelling it
slowly for the court reporter,
00:40:14.961 --> 00:40:19.961
and then tell us what city in
Region Three, you reside in.
00:40:21.970 --> 00:40:26.970
And if you speak directly
into your phone, it will help,
00:40:28.004 --> 00:40:33.004
and I would avoid having
your cell phone on speaker
00:40:34.472 --> 00:40:37.476
because it causes a kind of an echo
00:40:37.476 --> 00:40:39.653
throughout the rest of the system.
00:40:42.160 --> 00:40:47.160
Before I start with the general public,
00:40:49.530 --> 00:40:50.950
let me ask the operator.
00:40:50.950 --> 00:40:54.450
Has anyone identified themselves
as being a public official?
00:40:54.450 --> 00:40:57.133
Who wants to make a comment?
00:41:00.490 --> 00:41:03.200
No, sir,
not at this time.
00:41:03.200 --> 00:41:04.517
Okay, thank you.
00:41:05.470 --> 00:41:06.303
All right.
00:41:06.303 --> 00:41:09.170
And can you tell me how many people,
00:41:09.170 --> 00:41:12.053
may have already gotten into the lineup?
00:41:13.960 --> 00:41:15.320
I am showing one person
00:41:15.320 --> 00:41:17.663
that has queued up for a comment.
00:41:18.780 --> 00:41:21.510
Okay, well, let's start
with that first speaker,
00:41:21.510 --> 00:41:25.290
and maybe that'll encourage
others to get in line.
00:41:25.290 --> 00:41:29.093
Why don't you introduce to
us the first speaker, please.
00:41:30.290 --> 00:41:33.750
Our first speaker
is, from Romualdo Medina.
00:41:33.750 --> 00:41:34.733
Your line is open.
00:41:36.360 --> 00:41:38.980
Mr. Medina, please
introduce yourself
00:41:38.980 --> 00:41:41.943
and spell your name and
tell us what city you're from.
00:41:44.190 --> 00:41:46.410
Thank
you Judge Ferguson.
00:41:46.410 --> 00:41:53.310
My name is Romualdo
Medina, R-O-M-U-A-L-D-O
00:41:54.600 --> 00:41:56.993
M-E-D-I-N-A.
00:41:58.015 --> 00:42:02.013
I am the City Manager
of the City of Calipatria,
00:42:04.370 --> 00:42:08.563
and I also want to
extend my appreciation
00:42:09.760 --> 00:42:14.080
for this public hearing
to Judge Ferguson
00:42:14.080 --> 00:42:15.230
and Commissioner Houck.
00:42:17.479 --> 00:42:20.210
I'm here tonight to speak on behalf
00:42:20.210 --> 00:42:24.370
of the city of Calipatria and
express the city's opposition
00:42:26.001 --> 00:42:28.430
to the Golden State
Water Company's request
00:42:28.430 --> 00:42:31.513
for rate increase Region
Three service area,
00:42:32.400 --> 00:42:37.337
application number 20-07-012.
00:42:40.400 --> 00:42:42.633
Am I speaking too
fast or am I going okay?
00:42:43.700 --> 00:42:45.700
I think you're going okay.
00:42:45.700 --> 00:42:46.950
Okay. Great.
00:42:49.410 --> 00:42:51.660
The City of Calipatria is located
00:42:51.660 --> 00:42:55.530
within the Golden States
Region Three service area.
00:42:55.530 --> 00:42:57.280
According to the Department of Finance,
00:42:57.280 --> 00:43:02.280
Calipatria population is 6,843,
00:43:02.460 --> 00:43:07.253
which is 4.2% less than
its population a year ago.
00:43:08.230 --> 00:43:12.050
Calipatria population is
dropping at an alarming rate,
00:43:12.050 --> 00:43:15.800
in large part due to the
exorbitant water rates
00:43:15.800 --> 00:43:17.143
charged by Golden State.
00:43:18.690 --> 00:43:21.990
At one time, Calipatria
was a beautiful town
00:43:21.990 --> 00:43:25.530
with well landscaped
homes and lovely parks.
00:43:25.530 --> 00:43:29.450
Now the parks are dirt lots,
with dead and dying trees,
00:43:29.450 --> 00:43:32.953
landscape homes are a
thing of the past in Calipatria.
00:43:34.001 --> 00:43:38.370
The US Census Bureau, indicates
that the median income level
00:43:38.370 --> 00:43:42.499
in Calipatria is just
over 35,000 per year.
00:43:42.499 --> 00:43:46.500
And that 32.3% of Calipatria residents,
00:43:46.500 --> 00:43:48.213
are living in poverty.
00:43:49.420 --> 00:43:53.210
The Census Bureau also
indicates that the town of Niland,
00:43:53.210 --> 00:43:58.210
Calipatria's closest neighbor,
is also in Region Three.
00:43:58.460 --> 00:44:03.460
The medium income
level there is 18,685 a year.
00:44:04.755 --> 00:44:08.800
Golden State's request
for a 20% increase
00:44:08.800 --> 00:44:12.015
in residential rates
over the next three years,
00:44:12.015 --> 00:44:15.230
will cause result in a serious hardship
00:44:15.230 --> 00:44:17.993
for the majority of residents
in Calipatria and Niland.
00:44:19.240 --> 00:44:21.930
HistoriCally it is important to note
00:44:21.930 --> 00:44:24.989
that Golden State petitioned
the CPUC for permission
00:44:24.989 --> 00:44:27.478
to regionalize its
rates in order to avoid
00:44:27.478 --> 00:44:30.120
the city of Calipatria's attempt
00:44:30.120 --> 00:44:33.120
to take over the Golden State's
Water System in Calipatria,
00:44:33.120 --> 00:44:34.403
by eminent domain.
00:44:36.180 --> 00:44:40.490
The city had arranged for
financing through the USDA,
00:44:40.490 --> 00:44:43.610
that would have allowed
the city to obtain the system,
00:44:43.610 --> 00:44:45.933
restore reasonable
rates to its residents.
00:44:46.920 --> 00:44:49.300
In response, Golden
State petitioned this body
00:44:49.300 --> 00:44:53.053
for permission to regionalize
its rates and was approved.
00:44:53.979 --> 00:44:57.220
The result was temporary
reduction in rates
00:44:57.220 --> 00:44:59.500
to the city's residents that rendered
00:44:59.500 --> 00:45:02.863
the city's plan to acquire
the system, unfeasible.
00:45:03.830 --> 00:45:06.010
The decision to allow Golden State
00:45:06.010 --> 00:45:08.463
of regionalized was unprecedented.
00:45:09.890 --> 00:45:13.330
Now residents in the Calipatria
and Niland service area
00:45:13.330 --> 00:45:15.070
will be facing monthly water bills
00:45:15.070 --> 00:45:18.752
that mostly simply will
not be able to afford.
00:45:18.752 --> 00:45:21.733
Clearly the decision to
allow the regionalization
00:45:21.733 --> 00:45:25.490
of these rates was an injustice
00:45:25.490 --> 00:45:28.543
to the residents of
Calipatria and Niland.
00:45:36.680 --> 00:45:38.333
Excuse me, one moment.
00:45:41.680 --> 00:45:44.515
In light of the median income
of the residents of Calipatria
00:45:44.515 --> 00:45:49.033
and Niland, the pro's increase
is simply unreasonable.
00:45:50.220 --> 00:45:52.270
Additionally, the water usage required
00:45:52.270 --> 00:45:56.700
by a significantly warmer
climate reaching 120°
00:45:56.700 --> 00:45:58.560
during the summer months,
00:45:58.560 --> 00:46:01.410
where the Calipatria
and Niland rate users
00:46:01.410 --> 00:46:03.650
cannot be Calculated in the same manner
00:46:03.650 --> 00:46:07.310
as other rate users within Region Three.
00:46:07.310 --> 00:46:09.910
By including the Calipatria
and Niland service area
00:46:09.910 --> 00:46:14.224
rate payers, water usage
into the total tier usage,
00:46:14.224 --> 00:46:18.360
is unfair and inequitable to the climate
00:46:18.360 --> 00:46:19.973
and income levels that we have.
00:46:21.050 --> 00:46:23.880
Many cities across
the State of California,
00:46:23.880 --> 00:46:25.723
are asked to raise utility rates.
00:46:27.270 --> 00:46:32.270
I'm sorry, are asked
not to raise utility rates,
00:46:32.474 --> 00:46:33.923
I want to correct that.
00:46:34.760 --> 00:46:37.490
Many landlords across
the State of California,
00:46:37.490 --> 00:46:40.988
are asked not to
increase its rental rates
00:46:40.988 --> 00:46:43.650
especially during this
difficult COVID times
00:46:43.650 --> 00:46:45.150
we are currently experiencing.
00:46:46.460 --> 00:46:48.730
Therefore I close with
the city of Calipatria
00:46:48.730 --> 00:46:51.900
respectfully requesting
that this request
00:46:51.900 --> 00:46:53.728
by Golden State Water Company
00:46:53.728 --> 00:46:57.749
or the rate increase be denied.
00:46:57.749 --> 00:46:58.897
Thank you.
00:47:00.750 --> 00:47:04.013
Thank you for a very
coaching statement.
00:47:04.975 --> 00:47:08.997
In response, I just want to let you know
00:47:08.997 --> 00:47:13.650
that when the Commissioner
issued her scoping memo,
00:47:13.650 --> 00:47:18.100
with the list of issues that the
Commission wants to look at
00:47:19.150 --> 00:47:24.150
consolidation on a
larger than typical basis,
00:47:27.770 --> 00:47:29.712
it was something that
00:47:29.712 --> 00:47:33.510
is something that is
embedded in the list of issues
00:47:33.510 --> 00:47:37.237
that we need to look
at in this proceeding.
00:47:37.237 --> 00:47:42.237
There is a specific consolidation
that is being requested
00:47:43.972 --> 00:47:48.972
in Region Two, between
two cities and I, you know,
00:47:51.630 --> 00:47:54.360
all I can tell you is
that as city manager,
00:47:54.360 --> 00:47:57.010
you might want to
consider having a discussion
00:47:57.010 --> 00:48:00.510
with Golden State Water
along the same lines
00:48:00.510 --> 00:48:05.120
as to whether or not a
kind of typical consolidation
00:48:05.120 --> 00:48:07.713
might work for your city,
00:48:07.713 --> 00:48:11.230
but the Commission
itself is looking not only
00:48:11.230 --> 00:48:15.500
at these typical consolidation
efforts for rate purposes
00:48:15.500 --> 00:48:18.410
to do just what you're suggesting,
00:48:18.410 --> 00:48:23.410
lower the rates for
places, cities, and towns
00:48:23.750 --> 00:48:26.723
where the median income is quite low,
00:48:28.410 --> 00:48:31.870
but we're also looking at
something that's even wider,
00:48:31.870 --> 00:48:35.038
a wider spread than
just combining two cities
00:48:35.038 --> 00:48:37.700
to affect a change
00:48:37.700 --> 00:48:40.430
in the one that has the
lower median income
00:48:40.430 --> 00:48:42.350
in terms of the rates.
00:48:42.350 --> 00:48:45.252
So I think there's a
lot that you could talk
00:48:45.252 --> 00:48:47.610
to Golden State about,
00:48:47.610 --> 00:48:50.870
and I highly recommend
that you get together with them
00:48:50.870 --> 00:48:53.680
and see whether or
not they can help you.
00:48:53.680 --> 00:48:56.640
In addition, of course, they,
you heard Mr. Switzer say
00:48:56.640 --> 00:49:00.015
that they have all of
these particular programs
00:49:00.015 --> 00:49:03.800
for low income customers,
00:49:03.800 --> 00:49:07.750
and I would expect that
the city has already done this
00:49:07.750 --> 00:49:10.610
but just in case they
haven't, I think, you know,
00:49:10.610 --> 00:49:15.040
some way of getting the
word out to all 6,000 residents
00:49:15.040 --> 00:49:20.040
of your city, might be
worth an effort as well.
00:49:21.470 --> 00:49:23.970
So again, let me thank
you for your comments,
00:49:23.970 --> 00:49:28.837
and I hope my suggestions
might be of some value to you.
00:49:30.640 --> 00:49:32.910
Certainly, I
certainly will look into that.
00:49:32.910 --> 00:49:33.743
Thank you.
00:49:34.680 --> 00:49:35.530
You're welcome.
00:49:36.670 --> 00:49:39.513
Operator, is there
someone else in the queue?
00:49:40.769 --> 00:49:43.393
Yes sir, we do
have one other comment.
00:49:44.254 --> 00:49:46.913
Okay, why don't you
introduce that speaker?
00:49:47.760 --> 00:49:50.020
Thank
you, Romy Kirchhoff,
00:49:50.020 --> 00:49:51.433
your line is now open.
00:49:53.640 --> 00:49:56.200
Hi there, can
everybody hear me?
00:49:56.200 --> 00:49:57.680
Yes, we can.
00:49:57.680 --> 00:49:59.510
Hi, this is Romy kirchhoff.
00:49:59.510 --> 00:50:03.060
It's spelled R-O-M as in Mary Y.
00:50:03.060 --> 00:50:09.783
Kirchhoff is K-I-R-C-H-H-O-F-F,
two Hs, two Fs.
00:50:11.610 --> 00:50:13.993
First-time caller, longtime listener,
00:50:15.040 --> 00:50:18.460
very difficult act to follow
after the last speaker,
00:50:18.460 --> 00:50:22.233
very eloquent and well noted.
00:50:23.160 --> 00:50:26.930
I am a recent transplant
into the Lemon Heights,
00:50:26.930 --> 00:50:31.930
North Tustin neighborhood,
and we just moved in January
00:50:32.030 --> 00:50:36.945
from less than five miles
down the road in Tustin Proper,
00:50:36.945 --> 00:50:41.945
and I, when we received our
first water bill was shocked.
00:50:42.780 --> 00:50:46.860
I almost peed my pants
when I caught the first bill,
00:50:46.860 --> 00:50:50.870
because the difference
between our previous water bill
00:50:50.870 --> 00:50:53.863
and our current water
bill was astronomical.
00:50:54.840 --> 00:50:59.840
None of our other utility bills
had switched so drastically
00:50:59.977 --> 00:51:03.650
and it caused me to look
into the situation further,
00:51:03.650 --> 00:51:06.764
and I was able to compare
the different tier rates
00:51:06.764 --> 00:51:09.670
and noticed that the
first and second tier rates
00:51:09.670 --> 00:51:13.550
were over 200% higher
under Golden State,
00:51:13.550 --> 00:51:16.991
the third tier rate was over 100% higher
00:51:16.991 --> 00:51:21.030
and it was just, it was shocking.
00:51:21.030 --> 00:51:23.550
And I looked into
it a little bit further
00:51:23.550 --> 00:51:26.440
and had learned a little
bit more about Golden State
00:51:26.440 --> 00:51:28.580
and the private company that it is
00:51:28.580 --> 00:51:33.350
and the historical disruptions, I guess
00:51:33.350 --> 00:51:34.840
that you could say it caused
00:51:34.840 --> 00:51:37.470
within the various
communities that they served.
00:51:37.470 --> 00:51:40.032
And for us, we don't
have any other choice
00:51:40.032 --> 00:51:44.570
but Golden State and as a resident here
00:51:44.570 --> 00:51:46.967
and not having the
option to be able to pick
00:51:46.967 --> 00:51:50.011
who is providing service for me,
00:51:50.011 --> 00:51:54.710
I am stuck with this
and have to deal with it
00:51:54.710 --> 00:51:58.700
and I understand that, and we
moved into a new neighborhood.
00:51:58.700 --> 00:52:03.160
Our lot is bigger, so we
have more area to take care of
00:52:03.160 --> 00:52:07.657
but in the same hand, we're
also in a high fire danger area
00:52:08.600 --> 00:52:13.600
and we cannot afford
to just let our brush die.
00:52:14.880 --> 00:52:16.630
I've had the Fire Department out here,
00:52:16.630 --> 00:52:20.560
to try and determine what
we can do to make our area,
00:52:20.560 --> 00:52:24.403
both fire safe and water conservative,
00:52:25.526 --> 00:52:29.210
and it just, we don't have the option
00:52:29.210 --> 00:52:32.279
of completely reducing
our water consumption.
00:52:32.279 --> 00:52:36.504
And I did officially file a
complaint with the CPUC
00:52:36.504 --> 00:52:39.764
and it was addressed by Golden State,
00:52:39.764 --> 00:52:43.240
but unfortunately that
doesn't get me anywhere
00:52:43.240 --> 00:52:46.263
because the rates
are what the rates are.
00:52:47.468 --> 00:52:51.744
And I just, I wanted to state
that I do understand that
00:52:51.744 --> 00:52:55.460
we are using more water,
but we have to use more water,
00:52:55.460 --> 00:52:59.610
and if we stop using
water, we're in the risk
00:52:59.610 --> 00:53:03.714
when fire season hits us
to have bigger problems,
00:53:03.714 --> 00:53:08.483
and I just don't understand
why our neighbors
00:53:08.483 --> 00:53:11.502
two blocks to the left
and two blocks to the right
00:53:11.502 --> 00:53:14.130
are under a completely
different restructure,
00:53:14.130 --> 00:53:16.580
and it was a very eyeopening experience,
00:53:16.580 --> 00:53:21.500
and I appreciate the
opportunity to voice my opinion,
00:53:21.500 --> 00:53:24.420
and hopefully it resonates
00:53:24.420 --> 00:53:26.650
with some other residents
in the area as well,
00:53:26.650 --> 00:53:30.280
that as a new resident
and as a new customer
00:53:30.280 --> 00:53:34.212
to Golden State, it was
very disappointing to see that
00:53:34.212 --> 00:53:37.210
the private water
company was able to take
00:53:38.750 --> 00:53:41.470
such a different
approach to water service
00:53:41.470 --> 00:53:44.403
from other public utilities in the area.
00:53:47.400 --> 00:53:49.710
Well, thank you very
much for that comment.
00:53:49.710 --> 00:53:51.580
I have one quick question for you.
00:53:51.580 --> 00:53:56.020
I think I know the answer,
but I just want to make sure
00:53:56.020 --> 00:53:59.210
the two neighbors
that you consulted with,
00:53:59.210 --> 00:54:03.502
are they receiving water from
a different water company?
00:54:03.502 --> 00:54:05.323
Yes.
00:54:05.323 --> 00:54:08.670
But, so I'm just saying my neighbors in,
00:54:08.670 --> 00:54:12.370
that are in my neighborhood
are receiving water bills
00:54:12.370 --> 00:54:15.000
that are in line with my water bill.
00:54:15.000 --> 00:54:20.000
So I'm not above the normal
usage in my neighborhood,
00:54:20.540 --> 00:54:24.080
I'm definitely above the
usage for Zone Three
00:54:24.080 --> 00:54:25.493
as I've learned today.
00:54:26.580 --> 00:54:31.580
But you know, I've got
almost half an acre of slope
00:54:32.790 --> 00:54:37.790
and that includes public
horse trails and walking trails,
00:54:38.620 --> 00:54:42.748
that are open to residents
of all of you know,
00:54:42.748 --> 00:54:46.280
Orange County and LA
County to come and enjoy,
00:54:46.280 --> 00:54:49.180
and we try and maintain that
00:54:49.180 --> 00:54:52.990
to be a nice aesthetically
appealing place to come
00:54:52.990 --> 00:54:53.989
and get some exercise.
00:54:53.989 --> 00:54:58.330
And so while I'm paying
to take care of that,
00:54:58.330 --> 00:55:01.330
not only through my own water bill
00:55:01.330 --> 00:55:04.283
but through my HOA association dues,
00:55:09.482 --> 00:55:13.481
I think that for residents
that are less than one mile
00:55:13.481 --> 00:55:17.488
from me to be paying such
significantly different rates
00:55:17.488 --> 00:55:22.488
than I am, it just seems very unfair.
00:55:24.012 --> 00:55:26.740
Okay. I understand.
00:55:26.740 --> 00:55:28.133
And thank you very much.
00:55:28.133 --> 00:55:31.603
Your comments were just as
eloquent as the prior speaker.
00:55:32.950 --> 00:55:34.520
Thank you.
00:55:34.520 --> 00:55:37.793
All right, so operator,
is there another speaker?
00:55:39.746 --> 00:55:42.183
Yes sir, Your
Honor, one moment please.
00:55:50.370 --> 00:55:55.363
Our next speaker is Alma
Rose Flores. Your line is open.
00:55:56.730 --> 00:55:57.860
Yes. Hello.
00:55:57.860 --> 00:56:00.980
My name is Alma Rose Flores.
00:56:00.980 --> 00:56:03.690
I'm a resident of Claremont,
00:56:03.690 --> 00:56:08.060
and I thank everyone
for being on this call.
00:56:08.060 --> 00:56:11.033
I appreciate everything
everyone has said.
00:56:12.507 --> 00:56:15.430
Let me interrupt and
ask you to spell your name,
00:56:15.430 --> 00:56:18.650
your full name slowly for
the court reporter, please.
00:56:18.650 --> 00:56:23.650
It's A-L-M-A R-O-S-E
00:56:24.740 --> 00:56:27.143
F-L-O-R-E-S.
00:56:28.290 --> 00:56:29.123
Thank you.
00:56:34.507 --> 00:56:36.620
You can go ahead now.
00:56:36.620 --> 00:56:39.660
So what I was saying is
00:56:39.660 --> 00:56:44.660
this raising of the price for water
00:56:44.710 --> 00:56:47.853
could not come at a worse time.
00:56:49.650 --> 00:56:54.330
I believe that with everything going on
00:56:54.330 --> 00:56:56.530
it's just bad timing.
00:56:56.530 --> 00:57:01.530
I oppose this for the
Claremont residents,
00:57:01.694 --> 00:57:05.890
I believe that Claremont
should be responsible
00:57:05.890 --> 00:57:09.880
for finding another source of water.
00:57:09.880 --> 00:57:14.880
They talked about wells,
nothing like that has been done.
00:57:15.260 --> 00:57:20.246
You know, we have to stick
with you know, water this,
00:57:20.246 --> 00:57:22.210
you know, company.
00:57:22.210 --> 00:57:27.210
And I believe it's unfair to us
because we have no choice.
00:57:27.370 --> 00:57:32.370
Now, Golden State Water
wanting to do all these changes,
00:57:32.510 --> 00:57:35.840
I understand, but it
shouldn't be at our dime.
00:57:35.840 --> 00:57:38.210
Maybe they should be
going back to the city
00:57:38.210 --> 00:57:42.510
and asking them to
fund this, not the resident.
00:57:42.510 --> 00:57:44.283
We're already paying too much.
00:57:45.580 --> 00:57:49.510
San Dimas, Glendora, they
don't pay the kind of money
00:57:49.510 --> 00:57:51.580
that we're paying for water.
00:57:51.580 --> 00:57:53.728
And with these summer months,
00:57:53.728 --> 00:57:57.778
it's been really hot and
it's going to get hotter.
00:57:57.778 --> 00:58:02.778
I don't believe that
Water State or, you know
00:58:03.261 --> 00:58:06.863
this water company
is into our best interest.
00:58:07.800 --> 00:58:10.190
I think that we should
be looking elsewhere
00:58:10.190 --> 00:58:15.190
and I blame Claremont
for not doing that.
00:58:15.310 --> 00:58:18.801
I don't know what we're
paying all these Congress people
00:58:18.801 --> 00:58:22.883
and city council members,
they're not doing their job.
00:58:25.350 --> 00:58:27.113
So I am really angry.
00:58:31.235 --> 00:58:36.235
Well, I think that I
understand your concern
00:58:37.370 --> 00:58:39.763
about the inaction.
00:58:41.130 --> 00:58:44.400
We at the Commission,
unfortunately, can't do anything
00:58:44.400 --> 00:58:47.720
with respect to the
officials in Claremont,
00:58:47.720 --> 00:58:50.600
they're beyond our jurisdiction.
00:58:50.600 --> 00:58:55.600
We can only work with
respect to the water company,
00:58:56.530 --> 00:59:00.370
and that's what this whole
proceeding is all about.
00:59:00.370 --> 00:59:04.690
We will go into detail
with the water company
00:59:04.690 --> 00:59:07.580
and with your representative,
the Public Advocates
00:59:08.485 --> 00:59:12.850
with respect to what
to do in Region Three.
00:59:12.850 --> 00:59:14.820
So that's the best that we can do.
00:59:14.820 --> 00:59:19.623
We control what the
ultimate price is to you.
00:59:20.502 --> 00:59:24.970
And that's the only way
we can manage the situation
00:59:24.970 --> 00:59:28.010
where there's just one water
company available to you.
00:59:28.010 --> 00:59:32.243
There's not any competitive
possibility for you right now.
00:59:34.457 --> 00:59:39.457
So that's what we can do,
and that's what I pledged to do,
00:59:39.470 --> 00:59:41.630
that's what the Commissioner will do,
00:59:41.630 --> 00:59:45.580
and her four fellow
Commissioners, they all,
00:59:45.580 --> 00:59:50.170
all of us will be diving
deeply into the reasons why
00:59:50.170 --> 00:59:54.471
and the possible need
or not as the case may be,
00:59:54.471 --> 00:59:57.020
for raising the rates in your region.
00:59:57.020 --> 01:00:02.010
So that's the way we try to
control and make up for the fact
01:00:02.010 --> 01:00:06.160
that your Representatives have concluded
01:00:06.160 --> 01:00:10.070
that they don't want to open
up a municipal water company,
01:00:10.070 --> 01:00:12.890
at least at this point, they've
concluded that you can
01:00:12.890 --> 01:00:15.770
of course vote them out
and put in another group
01:00:15.770 --> 01:00:18.009
and maybe they would help you.
01:00:18.009 --> 01:00:20.797
But in the meantime,
we have a job to do,
01:00:20.797 --> 01:00:24.460
and that is to make sure
that the rates in your region
01:00:24.460 --> 01:00:27.690
are controlled so that
they're reasonable for people
01:00:27.690 --> 01:00:31.660
like you and all the
others in Region Three.
01:00:31.660 --> 01:00:33.770
So thank you for your comment
01:00:33.770 --> 01:00:36.620
I am very
dissatisfied, and I believe
01:00:36.620 --> 01:00:41.140
that Golden State Company
is not to our best interests.
01:00:41.140 --> 01:00:42.153
I am sorry.
01:00:45.030 --> 01:00:49.200
Oh yeah, we cannot tell
them not to do business.
01:00:49.200 --> 01:00:51.990
We can only control their rates
01:00:51.990 --> 01:00:53.730
and that's what this is all about,
01:00:53.730 --> 01:00:54.800
and that's what we're
going to try to do.
01:00:54.800 --> 01:00:58.433
Right, and we, the
customers are at their mercy.
01:01:00.030 --> 01:01:01.250
Right, yeah.
01:01:01.250 --> 01:01:05.007
We understand that's
the nature of the beast,
01:01:05.007 --> 01:01:06.043
so to speak.
01:01:08.730 --> 01:01:13.350
Until your county
city council chooses to
01:01:13.350 --> 01:01:16.690
open up a municipal
competitor, there's nothing,
01:01:16.690 --> 01:01:20.470
we can't force anybody
to open up an alternative,
01:01:20.470 --> 01:01:24.982
we can only regulate the rates
that Golden State charges you
01:01:24.982 --> 01:01:26.763
and that's what we're going to do.
01:01:28.130 --> 01:01:29.690
Horrible.
01:01:29.690 --> 01:01:33.183
Yeah. Okay. Is
there another speaker?
01:01:35.260 --> 01:01:38.930
I am showing no
further comments at this time.
01:01:38.930 --> 01:01:39.763
Okay.
01:01:40.980 --> 01:01:41.813
All right.
01:01:41.813 --> 01:01:46.813
So it is exactly 7:33 right now.
01:01:47.250 --> 01:01:49.160
Let's go off the record please,
01:01:49.160 --> 01:01:53.760
and we will resume, right,
before you take us off,
01:01:53.760 --> 01:01:56.170
we will resume in seven minutes.
01:01:56.170 --> 01:01:58.163
Okay, Let's go back on the record.
01:01:59.230 --> 01:02:03.350
It's now 7:40 PM and
we're back on the record
01:02:03.350 --> 01:02:07.100
in our public participation hearing
01:02:07.100 --> 01:02:09.523
or Golden State Water's
General Rate Case,
01:02:10.740 --> 01:02:12.720
will the operator tell me whether or not
01:02:12.720 --> 01:02:15.783
we have any further
speakers in the queue?
01:02:16.981 --> 01:02:18.440
Oh yes, your honor.
01:02:18.440 --> 01:02:21.403
We do a speaker that has queued up.
01:02:22.450 --> 01:02:25.243
Okay, would you please
introduce that speaker?
01:02:26.492 --> 01:02:31.004
Yes sir, that
speaker is Dana Baldovino,
01:02:31.004 --> 01:02:32.370
your line is open.
01:02:34.080 --> 01:02:35.320
Hi, good evening.
01:02:35.320 --> 01:02:40.320
My name is Cristina, C-R-I-S-T-I-N-A.
01:02:40.870 --> 01:02:45.870
And last name is B as
in boy, A-L-D as in David,
01:02:46.860 --> 01:02:49.240
O-V-I-N-O.
01:02:49.240 --> 01:02:51.693
And I live in the city of Covina.
01:02:52.953 --> 01:02:55.269
So I got also that letter saying
01:02:55.269 --> 01:02:58.508
that there's going to
be a water increase
01:02:58.508 --> 01:03:03.508
from Golden State Water,
and it's already been,
01:03:04.680 --> 01:03:09.680
our water's been increased
since we moved here 13 years ago,
01:03:10.410 --> 01:03:13.005
and, you know, during
the drought season,
01:03:13.005 --> 01:03:17.410
I know my grass died, my
landscape is really ugly now
01:03:17.410 --> 01:03:19.780
because we can't water.
01:03:19.780 --> 01:03:22.030
We have like restrictions,
01:03:22.030 --> 01:03:26.481
and now that it's going to go up higher,
01:03:26.481 --> 01:03:31.080
you know, I don't even
barely water my lawn anymore,
01:03:31.080 --> 01:03:34.580
it's like twice a week, and
during summer months,
01:03:34.580 --> 01:03:37.523
it's even harder to
keep my plants alive,
01:03:38.997 --> 01:03:43.583
and we use appliances that
saves water, our washing machine
01:03:45.270 --> 01:03:48.970
really used, so we can save water,
01:03:48.970 --> 01:03:52.474
and with this increase
and with a tight budget
01:03:52.474 --> 01:03:56.620
in our household, you
know it's just not right
01:03:56.620 --> 01:04:00.540
that every, so, you know every two years
01:04:00.540 --> 01:04:01.933
they increase the water.
01:04:02.830 --> 01:04:07.830
So I don't know,
it's just very difficult
01:04:09.000 --> 01:04:10.230
and it's not fair
01:04:10.230 --> 01:04:15.230
that they keep increasing
for whatever they want to do,
01:04:15.430 --> 01:04:17.210
infrastructure.
01:04:17.210 --> 01:04:21.390
Then why are the customers
are the ones always suffering
01:04:21.390 --> 01:04:26.010
from all this, you know,
they want to improve.
01:04:26.010 --> 01:04:28.563
It should be part of
their budget already.
01:04:30.090 --> 01:04:31.523
That's just my concern.
01:04:32.767 --> 01:04:34.830
And thank you.
01:04:34.830 --> 01:04:38.220
Okay, well, thank
you for your comment,
01:04:38.220 --> 01:04:41.070
and we appreciate that.
01:04:41.070 --> 01:04:45.718
We understand the difficulties
and how severe they get
01:04:45.718 --> 01:04:50.530
in a drought, and it's
not particularly pleasant,
01:04:50.530 --> 01:04:55.530
so it faced a rate increase
during a drought period.
01:04:57.340 --> 01:05:00.950
So we understand that and we're...
01:05:02.216 --> 01:05:04.800
Yeah, please
don't increase the water.
01:05:04.800 --> 01:05:05.633
Please
01:05:06.830 --> 01:05:10.330
decline, we don't support this.
01:05:10.330 --> 01:05:13.273
You know, I'm sure the
people in my neighborhood
01:05:13.273 --> 01:05:16.240
and every Covina
residents are being supplied
01:05:16.240 --> 01:05:19.320
by this water company, you know
01:05:19.320 --> 01:05:21.620
are also thinking of the same thing.
01:05:21.620 --> 01:05:26.620
So we want your support
for the customer, you know
01:05:26.670 --> 01:05:31.620
because it's, with the pandemic
it's already hard enough,
01:05:31.620 --> 01:05:36.620
and you know, this new
height increased for the water,
01:05:38.970 --> 01:05:42.880
that only knows people
are leaving California.
01:05:42.880 --> 01:05:44.759
Right, and the Public Advocates
01:05:44.759 --> 01:05:49.110
will represent that viewpoint
and present their evidence
01:05:49.110 --> 01:05:52.965
on that viewpoint to me
and to the Commission,
01:05:52.965 --> 01:05:56.716
later this summer during
the actual evidentiary hearing.
01:05:56.716 --> 01:06:01.150
So you're in good hands
with the Public Advocates
01:06:01.150 --> 01:06:03.470
and you're in good hands with me
01:06:03.470 --> 01:06:06.070
and the Commissioners
in terms of deciding,
01:06:06.070 --> 01:06:08.810
just exactly what the
rate increase should be.
01:06:08.810 --> 01:06:11.510
So thank you for your comments
01:06:11.510 --> 01:06:14.267
and we're going to keep
those in mind, thank you.
01:06:14.267 --> 01:06:15.100
Thank you, thank you.
01:06:17.840 --> 01:06:20.580
Operator, are there
further speakers in the queue
01:06:22.212 --> 01:06:23.045
No sir,
01:06:23.045 --> 01:06:25.373
I'm showing no further
speakers at this time.
01:06:27.710 --> 01:06:31.202
Okay, well, if that's the case
01:06:31.202 --> 01:06:36.202
then I think it has come time
for us to conclude this series
01:06:36.860 --> 01:06:39.970
of public participation
hearings and to do so,
01:06:39.970 --> 01:06:43.529
I want to offer the
Commissioner an opportunity
01:06:43.529 --> 01:06:47.880
to make any last comments
that she would like to make.
01:06:47.880 --> 01:06:48.713
Ms. Houck.
01:06:50.860 --> 01:06:52.707
Thank you, Judge Ferguson.
01:06:52.707 --> 01:06:56.690
So this is the sixth and
final TPH for this proceeding.
01:06:56.690 --> 01:06:59.470
I want to thank you for your
participation and providing us
01:06:59.470 --> 01:07:02.333
with your comments regarding
the many issues before us.
01:07:03.310 --> 01:07:05.250
All of the comments
are greatly appreciated,
01:07:05.250 --> 01:07:06.850
and as Judge Ferguson stated,
01:07:06.850 --> 01:07:09.370
we will carefully
consider those comments
01:07:09.370 --> 01:07:12.130
as well as all of the other
additional information
01:07:12.130 --> 01:07:15.460
that's provided to us
throughout the proceeding.
01:07:15.460 --> 01:07:17.490
And so with that I want
to thank you once more
01:07:17.490 --> 01:07:18.540
and say good evening.
01:07:20.510 --> 01:07:22.440
Thank you, Commissioner.
01:07:22.440 --> 01:07:27.440
All right, one last time
for those who are listening,
01:07:27.550 --> 01:07:32.090
if you want to add
comments to the proceeding,
01:07:32.090 --> 01:07:34.270
and I mentioned to you before,
01:07:34.270 --> 01:07:37.620
that on Friday afternoons
I get all of the comments
01:07:37.620 --> 01:07:41.200
that have come in each
week and I read through them.
01:07:41.200 --> 01:07:46.180
So if you would like to put
them into the docket sheet,
01:07:46.180 --> 01:07:49.420
I suggest the best simplest way,
01:07:49.420 --> 01:07:54.420
is to follow what's on the
screen right next to me right now
01:07:54.610 --> 01:07:59.610
contact the Public Advisor at
public.advisor@cpuc.ca.gov,
01:08:05.210 --> 01:08:08.560
or call the Public Advisors
office (866) 849-8390
01:08:14.760 --> 01:08:17.770
and they will help you get your comment
01:08:17.770 --> 01:08:20.670
into the docket sheet or help you
01:08:20.670 --> 01:08:23.257
if you want to become a
party to the proceeding.
01:08:23.257 --> 01:08:27.490
They will help you get your views
01:08:27.490 --> 01:08:31.950
included in the record
of this proceeding.
01:08:31.950 --> 01:08:34.747
So with that, I think we shall conclude
01:08:34.747 --> 01:08:38.741
this will end this evening's
public participation hearing
01:08:38.741 --> 01:08:41.600
and we will go off the record now.
01:08:41.600 --> 01:08:43.423
Thank you all very much.