LUCERNE, Calif. – County officials updated Lucerne residents at a town hall meeting last week about the efforts to fight a large water rate hike.
Approximately 55 people attended the meeting, which ran just under an hour and a half last Thursday, Dec. 13, at the Lucerne Alpine Senior Center. A video of the meeting can be viewed above.
Supervisor Denise Rushing hosted the town hall, and was accompanied by Deputy Administrative Officer Eric Seely, Deputy Administrative Officer Alan Flora, County Counsel Anita Grant, District Attorney Don Anderson and a representative from state Sen. Noreen Evans’ office.
While there were brief updates on other developments in town, including the new lease agreement with Marymount College to use the Lucerne Hotel as a college campus, the main focus of the town hall was the lakeside town’s water rate issue.
One of the key points local officials emphasized repeatedly throughout the meeting was the need for Lucerne residents to take an active part in filing complaints with the state about the water situation.
In July, California Water Service, which owns the system serving Lucerne’s estimated 1,200 households, submitted a general rate case petition with the California Public Utilities Commission, seeking to raise rates 77 percent over a three-year period, beginning in 2014. Lucerne has a 25-percent vacancy rate, high foreclosures and a large senior population.
Over the past decade Lucerne has seen numerous efforts by Cal Water to raise the rates, including the 2005 petition for a 273-percent rate increase. The company eventually received a 120-percent increase.
Since 2005, rates have increased a reported 160 percent, and Rushing said at the meeting that Cal Water has reported that monthly bills in the town average $158, with Lucerne paying the second-highest rates in Cal Water’s 34-district system.
Cal Water was invited to the meeting, Rushing said, but did not attend.
Rushing said the Board of Supervisors gave her permission to get involved in Lucerne’s rate case, and as a result the county will be filing testimony in the fight against more water hikes for the town.
CPUC documents show that the county filed for party status in the general rate case on Dec. 6. Separately, Rushing filed a motion for her own party status on Nov. 2.
She said she has been following three paths in the effort to assist the town, the first being to intervene in the rate case directly.
The second is to advocate for legislation to make rates more reasonable and the third is to investigate a county takeover of the system, with those latter two options being very time consuming.
A county takeover would be “a really difficult path,” and one that, while not wholly impossible, could take tens of millions of dollars and intricate legal work, it was explained at the meeting.
To aid in the fight, Rushing asked community members to tell their stories about the issues they’ve experienced with Cal Water. A Web site has been set up at www.lucernestories.org for that purpose.
Second, she asked community members to write the CPUC, which has regulating power over Cal Water. The Board of Supervisors itself voted to write the commission and state legislators on the community’s behalf.
She also urged Lucerne residents to sign up for Cal Water’s rate assistance program, and to write state legislators about the rates and Cal Water’s service, and to request that the state water infrastructure fund be used to help disadvantaged communities like Lucerne.
As for a potential takeover, Rushing said it would require the Board of Supervisors’ support. At its meeting on Tuesday, Dec. 18, the board will consider Rushing’s request for staff support to analyze that process, which she said will require state and federal funding, as well as other options. The community is intended to attend that meeting.
Rushing estimated that it could take between $20 million and $30 million, almost twice the $16 million in sales tax the county receives on an annual basis, to purchase the system.
“If Cal Water doesn’t want to sell it, then it’s even more expensive,” said Rushing, adding that she wanted the analysis done to know for sure what would be required.
Community members Lenny Matthews and Doug Reams spoke about efforts to organize the community to fight Cal Water, saying they were prepared to picket the company’s corporate headquarters as part of a campaign to make it too uncomfortable for Cal Water to continue operating in Lucerne.
Grant said the CPUC looks favorably on public entities taking over water systems. Rushing added that Lake County Special Districts runs an efficient shop, with county water rates about half of Lucerne’s.
She noted, however, “Eminent domain is a tool, it’s not the answer,” pointing out that the county has been reluctant to use eminent domain, which she called an “awesome” government power that can create fear. Grant said it’s also a long, involved process.
Reams suggested something was going on with how the company bills ratepayers, saying he received an $1,800 water bill one month, followed by a bill for $0 the next month and $30 after that.
Rushing encouraged ratepayers to gather evidence of any such unusual billing activity, as the district attorney doesn’t launch investigations just because people are upset about bills.
“That’s one of the reasons why I’m here,” said Anderson, noting he was trying to learn more about the situation faced by Lucerne water users.
Grant also encouraged complaints be filed with the CPUC if ratepayers believe they are experiencing billing errors.
“I would think 300, 400 complaints might get their attention,” Grant said.
Rushing said as few as 10 complaints likely could get the CPUC’s attention, as complaints in the process are rare.
In addition, Rushing urged community members to remember, “The near term fight is the rate fight.”
Ways community members can get involved
Here are several ways community members can get involved, according to Rushing. She said complaints should be specific, and evidence and documentation should be provided. Focus on service and billing issues, as well as matters involving waste.
- Post your story at www.lucernestories.org .
- Attend the Board of Supervisors meeting on Tuesday, Dec. 18, at the Lake County Courthouse, 255 N. Forbes St., Lakeport. At 10:45 a.m. the board will discuss options to help Lucerne with its water rates.
- Write to Supervisor Denise Rushing about your experiences with Cal Water’s rates and service at
This email address is being protected from spambots. You need JavaScript enabled to view it. or send a letter to her in care of the Lake County Board of Supervisors, First Floor, Lake County Courthouse, 255 N. Forbes St., Lakeport, CA 95453. - Email the California Public Utilities Commission’s Public Advisor Office at
This email address is being protected from spambots. You need JavaScript enabled to view it. or write the CPUC Public Advisor, 505 Van Ness Ave., Room 2103, San Francisco, CA 94102. Reference Cal Water general rate case application application A1207007, which was filed July 5, 2012. - Write your state legislators to ask that the state water infrastructure fund be used to help Lucerne. Contact Sen. Noreen Evans: http://sd02.senate.ca.gov/contact ; Ukiah office, 200 South School St., Ukiah, CA 95482, telephone 707-468-8914; State Capitol, 1303 10th St., Sacramento, CA 95814, telephone 916-651-4002. Assemblymember Mariko Yamada: http://asmdc.org/members/a04/ , click on “Contact Us” in the lefthand column; State Capitol, P.O. Box 942849, Sacramento, CA 94249-0004, telephone 916-319-2004.
- Apply for Cal Water’s Low-Income Rate Assistance Program online at https://www.calwater.com/your_account/lira.php .
Email Elizabeth Larson at
How to resolve AdBlock issue? 
