5. Summary of the Testimony Presented at the
Public Participation Hearings and Written Comments
Public Participation Hearings were held on the evening of May 28, 2008, in Chualar, and on May 29, 2008, in Monterey with an afternoon and evening session. Approximately 45 persons presented testimony. In addition, the Commission received 250 written comments. The written comments largely opposed the proposed increases and requested that the Commission require Cal-Am to cut costs.
At the Chualar hearing, several speakers were customers served by the Spreckels wastewater system and they objected to Cal-Am's proposed tripling of their wastewater bill. At the conclusion of the public participation hearing, Cal-Am agreed to prepare additional spread sheets explaining the wastewater rate increase proposal and to meet with the customers to provide further explanation.
On May 29, 2008, public participation hearings were held in Monterey in the afternoon and evening. Representatives from the Hidden Hills subsystem opposed consolidation with the main Monterey system and explained that their system had its own supply and was not interconnected with the main system. Their attorney stated that the Cal-Am purchase agreement for the Hidden Hills system precluded Cal-Am from charging these customers for any costs associated with the main system. Representatives of the Toro and Bishop subsystems expressed similar sentiments.
Customers expressed substantial dissatisfaction with Cal-Am's telephone system, which has numerous levels of options that make it difficult to reach an actual person. Their biggest frustration is that, even after successfully navigating the telephone system, the company representative is located far away and is often uninformed about issues pertinent to the Monterey district. No option is available for a local contact, only the "888" number. This issue attracted much agreement from customers present at the hearing.
Ratepayers also criticized this Commission as being overly responsive to Cal-Am's excessive requests, especially with regard to stranded costs of unapproved dam projects.
One set of representatives of the Monterey peninsula hospitality industry spoke in support of Cal-Am's operations and customer service. Another set of representatives explained that they had made expensive investments in water conserving fixtures and equipment and had greatly reduced water consumption, but the large rate increases and the way Cal-Am calculates water use, were imposing burdens on their businesses.
Customers also described receiving numerous expensive printed mailings from Cal-Am that contained little useful information and seemed a wasteful expense.
Many wastewater customers also attended the Monterey hearings and expressed opposition to the ratemaking consolidation proposal and resulting 66% to 160% increases.
