Rates & Regulatory
Fontana Water Company is mandated by State law to file a general rate case with the California Public Utilities Commission (CPUC) every three years for a comprehensive review of its rates and operations. The CPUC thoroughly reviews the Company’s recorded and forecasted operations and expenditures, requests additional information or clarification as necessary, conducts field visits to inspect the operation of existing facilities or the sites for new facilities, holds public hearings to solicit input from customers, holds formal evidentiary hearings before an administrative law judge, and then sets rates and terms of service for the upcoming three-year cycle. Between general rate cases, Fontana sometimes files special applications to address special matters better handled outside of the rate case process.
Fontana also periodically submits to the CPUC less formal requests called advice letters. These normally involve the review of historical expenditures to ensure that, before they can be reflected in rates, they were both necessary and prudently incurred.
Finally, the Commission often initiates its own proceeding (rulemaking and investigations) on matters that it desires to address involving one or more utilities. Fontana, along with all other parties, files expert testimony and/or written comments as required or permitted.