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Fact Sheet
S
an Diego residents, like most people in the United States, receive their water service from apublic utility, which is first and foremost accountable to its customers. But Mayor Jerry Sand-ers hopes to replace these good public operators with profit-driven corporations. Through a priva-tization scheme disguised as “managed competition,” the city may lay off public employees andhire private contractors to control and operate the city’s vital water infrastructure.
Like the air we breathe, people have an essential right tosafe, affordable water — a right that should never be sub- ject to interference from corporations. Here are 10 reasons why San Diego should keep its water in public hands.
Lower Rates
Private utilities charge higher rates. Californians are pay-ing an average of 20 percent more for water from a privateutility than from a public utility. For residents of largecities such as San Diego, the difference is even starker:Customers of private utilities pay $113 more each year.
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 Voter Power
 When San Diego’s water system is operating poorly,residents can elect new public officials to oversee it. They cannot vote out incompetent or corrupt corporate CEOs.
Local Money Stays Local
The rates you pay to San Diego’s water department arepumped backed into the system – for maintenance, re-pairs and upgrades. A corporation, however, would sendratepayers’ money away to reward distant shareholders,pad CEOs’ pockets or invest in other businesses. OtherCalifornia cities have learned this lesson the hard way.In January 2008, after three decades of private controlof its sewer system, the Fairfield-Suisun Sewer Districtunanimously voted to end its contract with United Water,a subsidiary of French giant Suez, and bring the systemunder public control.
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The company had been sendingmore than 10 percent of the system’s revenue to its inter-national shareholders. With public operation, this money  will be used to maintain a qualified workforce that willimprove service and enhance the local economy. What’smore, the district expects cost savings of 10 to 15 percent by operating the system with public employees.
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Serving the Poor
 As a public agency, the water department carries a moralresponsibility to provide water to every San Diegan.Private companies don’t. In Pennsylvania, private utili-ties cut off water service to thousands of people who wereunable to pay their bills in 2005.
Statewide, communities have voted to reclaim publiccontrol over drinking water. However, they’ve had to
ght long legal battles to make their victories stick.
1. Felton.
 At the end of May 2008, after nearly 6 years
of ghting, the people of Felton successfully wrested
control of their water system from the clutches of corporate giant RWE and its local subsidiary California American Water. In 2005 the community, facing RWE’smassive rate hikes, voted to raise their taxes and issuean $11 million bond to buy their water system. The cor-
poration rejected the offer and re-fused to sell. Felton
had to initiate eminent domain proceedings to force asale.
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2. Stockton.
In early March 2008, after 5 years of 
ghting, Stockton residents regained control over their
water and sewer system. In 2002 the mayor triggeredpublic protest by awarding a $600 million, 20-year con-tract to multinational OMI and Thames Water. The com-munity quickly organized and passed a ballot initiativerequiring voter approval of any large privatization. Yet,the mayor had already rushed through the OMI-Thamesdeal. Left with no other alternative, residents sued thecity. After the city spent more than $3 million in legal
fees ghting its own citizens,
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the community won itscase. Only after a judge ruled that the contract violatedstate environmental law did the city council vote forpublic operation.
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Top 10 Reasons to LocalizeSan Diego’s Water
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