NEW FELTON WATER PROPOSAL vs

CALIFORNIA AMERICAN WATER COMPANY HAS DECIDED TO DROP THEIR STATE REQUEST FOR A 44 PERCENT RATE INCREASE. TO APPEASE ANGRY FELTON RESIDENTS, THEY ARE LOOKING AT A NEW PROPOSAL THAT WOULD INCREASE RATES BY ABOUT 15 PERCENT INSTEAD. THE PRESENT FELTON WATER RATES WERE ESTABLISHED IN 1998. A PLAN TO CONSOLIDATE ADMINISTRATIVE OPERATIONS IN FELTON AND MONTEREY, WOULD ALLOW FOR THE LOWER LEVEL OF RATE INCREASE. BUT THE CONSOLIDATION DOES NOT MEET P.U.C. GUIDELINES, SINCE FELTON AND MONTEREY ARE NOT WITHIN 10 MILES OF EACH OTHER, AND THEY DO NOT HAVE SIMILAR RATES OR WATER SUPPLIES. THE CONSOLIDATION PROPOSAL WAS SUBMITTED THOUGH, WITH THE HOPE THAT COMMISSIONERS WILL OVERRULE THE GUIDELINES.