Tension Between Water Company and Claremont Builds

The war of words between Claremont and its water supplier escalated today with the release of a letter that addresses Golden State Water Company's attempt to raise water rates.

According to the city's letter, the water company is forcing Claremont residents to pay about 84 percent more than neighboring cities who receive water from a municipally operated provider. Golden State is a privately owned business.

Claremont officials also claim the rise in rates are unnecessary and are being done for profit sake. They claim a letter sent by the water company to customers was an example of an attempt to protect those profits.

“Golden State Water generates extremely large profits,” city officials write in their letter to residents. “In the last quarter alone, Golden State Water’s parent company announced profits of over $15 million. These profits come directly from ratepayers. Amazingly, Golden State Water is attempting to blame their high water rates on Claremont residents.”

“The company infers the high rates in our city are the result of our ‘consumption,’” officials added.

The tension stems from rising water rates. Golden State successfully applied to raise rates by 15 percent in 2013. Additional rate increases could be imposed in the following years, officials said.

At Claremont’s Sept. 11 council meeting, City Manager Tony Ramos updated the council on efforts to oppose the fare increase. The city is looking into purchasing the water system.

Golden State sent a mailer out that same day disputing some of the city’s claims.

“Golden State does not charge connection fees or any additional charges for service calls or water-related inquiries,” Denise Kruger, Senior Vice President of Golden State Water, wrote in a letter. “Customer bills also include a City-mandated 5.5 percent Claremont Utility Tax.”

The letter tells customers that a city take over would mean higher costs for a lower level of service.

“Our water system is not for sale,” Kruger wrote.

A copy of the city’s mailer is included and can be found above with the photos.