II. The Redwood District

The Redwood Valley District serves about 1,896 customers. Before Cal Water acquired the area that now comprises this district, six small water companies served these customers. In Sonoma County, the Armstrong Valley Water Company and the Noel Heights Water Company served Guerneville. The Rancho del Paradiso Water Company served Duncan Mills. The Hawkins Water Company served a group of homes near Santa Rosa. The Coast Springs Water Company served Dillon Beach in Marin County, and the Lucerne Water Company served Lucerne in Lake County.

Dominguez Water Company (Dominguez) acquired all of these companies in 1997 and 1998, and Cal Water acquired Dominguez in 2000. (See Decision (D.) 00-05-047, 2000 Cal. PUC LEXIS 314.) The last rate increases for Redwood Valley District customers were authorized about seven years ago, prior to Dominguez acquiring the companies.