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Exhibit CC 02-21-2017 Item No. 9 Water System Potable Water Rates and Charges - Written Communications CC 02-21-2017 Item No. 9 From: WaterRates To: City Clerk Subject: FW:Water rate increase-Voting NO Date: Tuesday,February 21,2017 8:53:40 AM For item #9 From: Ruby Bal [mailto:rubybal@gmail.com] Sent: Monday, February 20, 2017 1:21 PM To: WaterRates <waterrates@cupertino.org> Cc: Ruby Bal < Subject: Water rate increase-Voting NO Dear Cupertino Community council chamber. I am not in agreement with the rate increase on my water bill. we have had plenty of rain this year which has gotten rid of the drought. You must use your existing funds to build more dams and not charge the residents. this is not fair. we are already paying exhorbitant rates on our property tax bills for living in Cupertino. Thanks Ruby Ruby Rekhi Bal Cell # CC 02-21-2017 Item No. 9 From: Julia Kinst To: City Clerk Subject: FW: RE THE PROPOSED SJW RAT INCREASE PLEASE POST Date: Tuesday,February 21,2017 8:52:36 AM Julia Kinst City of Cupertino I Public Works 10300 Torre Avenue, Cupertino, CA 9501.4 408-777-3291 1 Q ;uliak@cup r ino.orQ Desk Item for Agenda#9 From:John Kolski [mailto: Sent: Friday, February 17, 2017 10:04 AM To:Tiffanie Cardenas<TiffanieCC@cupertino.org> Cc:A gmail A gmail< Subject: Fwd: RE THE PROPOSED SJW RAT INCREASE PLEASE POST THE BELOW ARTICLE IN THE CUPERTINO PAPER TODAY IS A COVER-UP BY SJW TO MAKE THE RATE PAYERS OF CUPERTINO THINK SJW'S PROPOSED RATE INCREASE IS FOR DROUGHT SURCHARGES AND THAT SJW IS DOING SOMETHING TO REDUCE THE INCREASE. THE TRUTH IS.... THE PROPOSED RATE INCREASE HAS NOTHING TO DO WITH BROUGHT SURCHARGES. AND THE PROPOSED RATE INCREASE IF APPROVED BY THE REGULATOR WHICH IS ONLY THE CITY COUNCIL WILL NOT REDUCE. JOHN KOLSKI The Mercury News 02/17/2017 -Page A08 News San Jose Water Company drops drought surcharges BY PAUL R OGERS Amid heavy winter rains, recovering reservoirs and improving groundwater,the San Jose Water Company—which provides drinking water to 1 million people in San Jose and neighboring communities—has dropped its drought surcharges. The private company announced the change Feb. 1, making it the last large water provider in the Bay Area to suspend fines and penalties for excessive water use. The company put the surcharge in place in June 2015 after Gov. Jerry Brown ordered California water providers to reduce use by 25 percent. As a result,water bills of homeowners with large lawns in communities li ke Saratoga spiked, sparking controversy,but while the surcharges were in place,the company's customers cut water use 29 percent in 2016, compared to the baseline year of 2013. "It wasn't a rate increase,but a penalty program to encourage conservation," said John Tang, a spokesman for San Jose Water. "In light of the improved water outlook, we think it is the right time to remove the surcharges." The company's decision followed a vote Jan. 31 by the Santa Clara Valley Water District the wholesale water provider for 13 cities and private water companies in Santa Clara County including San Jose Water—to adjust its call for water conservation given the heavy rains, snow and flooding that California has experienced this winter after five years of severe drought. The water district kept in place its request for the public to keep water use at 20 percent below 2013 levels. That included a request to limit lawn watering to three days a week,but it said it no longer expects retail providers like San Jose Water to impose drought surcharges and other financial penalties to reach that goal. San Jose Water provides 80 percent of San Jose's residents with drinking water, along with Los Gatos, Saratoga, Monte Sereno, Campbell and parts of Cupertino. Its surcharges were approved in 2015 by the state Public Utilities Commission. The rules originally set a goal of 30 percent water savings each month compared with 2013 use,which was later reduced to 20 percent last summer after improved winter rains. Rather than allowing each customer to cut 30 percent from their own consumption, the compan y averaged residential use from all its customers in 2013 and cut 30 percent from that. As a result, San Jose Water gave every single-family residence the same monthly allotment of water—9 units or 6,732 gallons a month last February, March and April, for example—with surcharges of up to $7.12 a unit for exceeding their limit. Company officials said they believed the system was the fairest way to conserve water because it required the biggest cutbacks from people with large yards who had been using the most water,while not penalizing people who had been conserving all along and were already under the target. However, more than 1,000 people appealed to the PUC, saying their water bills had shot up hundreds of dollars a month, even though they cut use. A state consumer agency,the Office of Ratepayer Advocates, also appealed, calling the rules "discriminatory,unfair and unreasonable" because they applied only to single-family homes and not to businesses, apartments or condominiums. Last February,the PUC board voted 5-0 to reject the appeals. "There was concern that if they really went further with commercial and industrial cutbacks, at some point you hit job growth," PUC Commissioner Catherine Sandoval said at the time. In 2015, San Jose Water lost$19.8 million due to reduced water sales. It made$12.1 million in drought surcharges, according to PUC records. To make up the $7.7 million difference,the company was granted a 12- month,2.57 percent rate increase by the PUC. The financial totals from 2016 are not yet in. Also last week, Great Oaks Water, a private company that provides water to 100,000 people i n South San Jose, a g Santa Teresa and Almaden neighborhoods, dropped its drought surcharges. Great Oaks computed them differently than San Jose Water,requiring everyone to cut water use 30 percent from 2013 levels—later lowered to 20 percent last summer—and to pay$4.66 a unit or double its basic rate for excess usage. The company's customers reduced water use by 29 percent in 2016,the same as San Jose Water's. Tim Guster, Great Oaks vice president, said just like at San Jose Water, some of his customers complained the system wasn't fair, that it penalized people who had conserved. "There were two different methods, and both saved the same rate," he said. "I don't know what the lesson is, other than you can't please everybody,but I was impressed and grateful by how well people across Santa Clara County really pulled through." Honey and John Total Control Panel To:tiffaniec@cunertino.org Message Score:57 High(60):Pass From: My Spam Blocking Level:Medium Medium(75):Pass Low(90):Pass Block this sender Block gmail.com This message was delivered because the content filter score did not exceed your filter level. CC 02-21-2017 Item No. 9 From: WaterRates To: City Clerk Subject: FW: Statement in support of opposing proposed water rate increase in Cupertino Date: Tuesday,February 21,2017 8:54:32 AM For Item #9 From: Michael Enescu [mailto: Sent:Tuesday, February 21, 2017 12:32 AM To: WaterRates<waterrates@cupertino.org> Cc: Michael Enescu < Subject:Statement in support of opposing proposed water rate increase in Cupertino Dear City of Cupertino Council Representative, In response to your letter dated 1/6/2017 requesting comments in opposition (or support) of the proposed water rate increase documented also on your website we want to submit the following statement in opposition of the proposed increase as follows. We have lived in Silicon Valley for more that 33 years and we have never seen an abundance of water in our local and state reservoirs as has been noted recently throughout our County and State. It makes no sense to rush to any increase in water rates. The supply of water in California is now overabundant. Please do not rush to raise these rates already high. The drought is over. The snow pack has reached record highs. The reservoirs are at more than 90% or higher at all State locations, far above any required levels. Instead of raising the rates now, we ask that the Council request the Water Utility company/companies hold the same rates. It is simply unjustifiable to raise rates rushing ahead of any official drought ending confirmations from Sacramento due this April. Instead the Water Utility company needs to be asked to put everything on hold and coordinate with State government agencies confirming that drought conditions are over or that water supply issues no longer threaten to exist. We collectively suffered for several long years in our city, our county and our state, paying large water bills, dramatically reducing our water consumption, destroying our lawns and plants, and severely reducing home, office or business consumption. Now is the time to return things to normal, leave the rates unchanged and let the utility companies increase their revenue by allowing water consumption to be in line with the overabundant supply in our dams, reservoirs and spectacular high snowpack. We are counting on you to hold the Water Utilities responsible and accountable for not rushing to any increase thinking that they need to beat the April timeline when the snowpack is officially certified by state agencies in Sacramento to be at a safe, high level this Spring. Thanks in advance for responsibly representing the citizens of Cupertino, for speaking on our behalf and protecting the consumers in our city from yet another unjustified rate increase. Regards, Michael Enescu Cupertino Resident and Business Owner CC 2-21-2017 Item No. 9 Lauren Sapudar Subject: FW: REGARDING THE PROPOSED SJW RATE INCREASE From: John Kolski< Date: February 16, 2017 at 2:41:58 PM PST To: cupertno night work phone no<rogerl(&cupertino.org> Cc: Jk gmail Jk gmail< Subject: REGARDING THE PROPOSED SJW RATE INCREASE I WOULD ONLY HOPE THAT HAVING TWO VICE PRESIDENTS OF SJW, ONE A BOARD MEMBER OF THE CHAMBER AND THE OTHER A ROTARY MEMBER WHO LIVES IN CUPERTINO DOES NOT INFLUENCE THE VOTE OF OUR CITY COUNCIL AS THE REGULATOR OF THE CITY OWNED WATER SYSTEM. JOHN KOLSKI Total Control Panel Lo To:rogerlOcupertino.org Remove this sender from my allow list From: You received this message because the sender is on your allow list. 1