On June 13, 2023, the California Public Utilities Commission (CPUC) convened Workshop #3 to discuss the impacts of water acquisitions on ratepayers, a topic of growing concern amid rising utility costs. The workshop provided a platform for public comments, highlighting significant issues related to the financial implications of water utility sales.

Melody Chrislock, representing Public Water, raised alarms about the substantial profits realized from recent water utility sales, specifically citing the case of East Pasadena. She noted that while the utility had a book value of $4 million, it was sold for $34 million, resulting in a staggering $30 million profit. Chrislock questioned why gain-on-sale rules, which could have limited profits to a more reasonable $8.9 million, were not applied to regulated water utilities. Her comments underscored fears that California's water resources might be treated as commodities for investor profit rather than essential public services.

Susan Chivan echoed these concerns, emphasizing the burden on lower middle-class ratepayers, particularly in high-cost areas like the Monterey Peninsula. She pointed out that while assistance exists for the very poor, many seniors and low-income families struggle under the weight of rising utility rates. Chivan urged the commission to consider the financial strain on these vulnerable groups as they evaluate the implications of water utility acquisitions.

The workshop concluded with a commitment from CPUC officials to further explore the issues raised, particularly the gain-on-sale rules and their impact on ratepayers. The discussions highlighted the need for ongoing scrutiny of water utility transactions and their effects on California's diverse communities, especially as the state grapples with increasing living costs and utility expenses.

As the CPUC prepares for future sessions, the voices of concerned citizens like Chrislock and Chivan will likely play a crucial role in shaping policies that aim to protect ratepayers and ensure equitable access to essential water services.