DearCEWRMembersandNeighbors, TheCoalitionforEquitableWaterRates(CEWR),yourvolunteerorganizationformedtoprotest CanyonLakeWaterServiceCompanysunreasonablerateincreaserequest,customersupporters andCommissionerEcclestontraveledtoTCEQheadquartersonWednesday,August21stforthe hearingbeforetheTexasCommissiononEnvironmentalQuality(TCEQ)Commissioners.The CommissionersmadeamotionandunanimouslyapprovedtheAdministrativeLawJudges SupplementalProposalforDecisionandOrderregardingtheapplicationtochangewaterratesfor CLWSCcustomers.

ThisisaterrificwinforRatepayers!
THEWINSFORUSINTHISPROTESTARE: Canyon Lake Water Service Company (CLWSC) was denied their requested 71% rate increaseandamorereasonableincreasehasbeenapproved,approximately32.7%. WE ALL will receive a rebatewiththedifferencebetweentheinterim38%ratewehavebeen payingsinceNovember2010andthenewrate. WE will also see a reduction in the monthly base rate of our water bills given that thenew rateislowerthantheinterimrate. WE will not be retroactively charged more than $5 million since the total 71%rate request wasrejected. Instead,CLWSCisforcedtorefundapproximately$900,000tocustomers. CLWSCs requested reimbursement costs to be paid by customers forratecaseexpenses amountingto$1.2millionweredenied. For the typical family who has beenpaying$150per monthforwater,thesavingsamountto approximately$1300overthepast3years.

Additionally, by fighting the proposed CLWSC case and not accepting the 71% rate increase, customers will save $2.4 million per year until the next rate case. After that, there will be a $300,000 saving every year into the future due to the TCEQ ruling. The millions of dollars we havesaved,andwillcontinuetosave,withthiswinareincredible! Once the tariff has been filed, CLWSC has 30 days tonotifycustomersbymailaboutthenewrate. As far as refunds, the method and timing for issuing those amounts have not been clarified by CLWSC. While CEWR remains active in seeing this protest through to the end, it is critical that each and every customerremain ontopofhis/herrefundandwaterbillcharges. CEWRwill continue its efforts for any new rate case requests made by CLWSC, and if that occurs as expected,thefullsupportofourwatercommunitywillbenecessaryonceagain. In closing to this case, a special thank you to the dedicated CEWR team for their diligence and perseverance is in order. Additional appreciation is expressed to all who believed in the effort and contributedmoneytofundthefight.

One final note, HB 1600 and SB 567 were recently passed. These are important pieces of legislature for utility consumers. They become effective on September 1, 2014 and will assist the consumer in providing for a morereasonableapproachtoratecaserequests. Inthislegislation,the Texas Public Utility Commission will now regulate and have oversight over investorowned utilities (CLWSC) instead of TCEQ. It also calls for utilities tofiletestimonywiththeirapplication forarate increase, meaning protest organizers will have better insight intothe case from the very beginning. Another part of the bill is that no interim rates can be charged untilthere isa decision made bythe Commissioninalmostallcases. Regards, GeoffMiller President,CEWR