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Squaring LADWP's proposed price hike with recent Juan Capistrano tiered pricing ruling




The Reflecting Pool surrounds Los Angeles Department of Water and Power's headquarters in Downtown Los Angeles
The Reflecting Pool surrounds Los Angeles Department of Water and Power's headquarters in Downtown Los Angeles
Kevin Ferguson/KPCC

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The LADWP wants to raise rates over the next five years to encourage water conservation and expand infrastructural repairs.

Under the proposal, the heaviest water users would see the biggest price increases, to the tune of 34 percent more by 2021.

The proposal comes in the recent wake of a court decision earlier this year in which a state appellate court ruled that the tiered pricing rate structure used by San Juan Capistrano was unfair to consumers. Although tier-pricing isn't illegal in and of itself, the court ruled that the tiers have to be justified by the actual cost of the water to the district.

Does the LADWP's proposal satisfy the condition laid out in the earlier court decision?

Read on for more coverage

Guests:

Sanjay Gaur, Senior Manager, Raftelis Financial Consultants, a utility consulting firm

Tim Quinn, Director of the Association of California Water Agencies (ACWA), which filed an amicus brief on behalf of the appellant, the City of San Juan Capistrano