Water Utilities Update on Low-Income Oversight Board and Legislation

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Water Utilities provide an update on Low-Income Oversight Board activities, legislation status, total low-income customer data, OIR proceedings, AB 401 statewide program progress, investor-owned water utilities statistics, cost of capital proceeding details, and recent legislative developments related to water management and lead testing in schools.


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  1. Water Utilities Update Low-Income Oversight Board Water Division Viet (Kevin) Truong September 27, 2017

  2. Topics 2016 Low-Income Totals Low-Income OIR AB 401 Consolidation Cost of Capital Proceeding Legislation

  3. 2016 Low-Income Totals Customers: 230,000 Down from a peak of 250,000 in 2013 Percentage of Residential: 19% Annual Discount: $26 million Average Discount per Month: $9.50

  4. Low-Income OIR R.17-06-024 Early stages of proceeding Potential Scope Workshops Testimony/Evidentiary Hearings Bottled Water Jurisdiction Sales Forecasting Scoping Memo will be issued October Coordinate with SWRCB

  5. AB 401 Statewide Low-Income Program SWRCB progress Received input from various utilities and agencies Formed stakeholder group Held public outreach meetings Standardize shutoff process Recently had joint agency workshop with CPUC on consolidation SWRCB Report due to Legislature by February 1st

  6. Total Investor-Owned Water Utilities 140 135 130 120 110 101 100 90 80 End of 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 Current Acquisitions since 2007: 34

  7. Cost of Capital Proceeding Determines new Rate of Return for: California Water Service California-American Water Company Golden State Water Company San Jose Water Company For the years 2018 2020 Scheduling Public Participation Hearings San Jose, Bakersfield, & Los Angeles Ruling by December

  8. Legislation Did Not Pass (2-Year Bill) SB 623: Safe and Affordable Drinking Water Fund Proposed to add a fee to all water bills to fund water programs for disadvantaged communities AB 1668 & SB 606: Water Management Planning Proposed adoption of permanent conservation standards Passed (Governor s Desk) AB 746: School Lead Testing Requires all Community Water Systems serving a school built before 2010 to test for lead by July 1, 2019 Community Water System is any public water system that serves water year- round to at least 15 connections or a population of 25 people Lead level limit < 15 ppb (parts per billion) 200 of 2,000 schools served by IOUs have been tested so far Only 4 schools detected lead over limit and were corrected

  9. Thank You Viet (Kevin) Truong Utilities Engineer CPUC Water Division (415) 703-1353 vt4@cpuc.ca.gov

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