Control Number: 49887

Item Number: 527

Addendum StartPage: 0

€iEEE\VBO 39

PUC DOCKET NO. 49887 SOAH DOCKET NO. 43-20-0116.WS <~M< ot-i 1 % 2010 ~~~'% \ \Oi \\0\

«1 BY APPLICATION OF KENDALL WEST § PUBLIC UTILITY C o~*sizII*f UTILITY, LLC FOR AUTHORITY TO § CHANGERATES § OFTEXAS

PAULINE YOUNG'S REPLY TO KENDALL WEST UTILITY'S RESPONSE TO PAULINE YOUNG'S MOTION FOR EXCEPTION AND OJBECTION

TO KENDALL WEST UTILIT, LLC'S PROPOSED ORDER FOR AUTHORITY TO CHANGE ITS WATER RATES

Pauline Young, individually, and as Intervenor in this case, herein file this Reply to Kendall West Utility, LLC's Response to Pauline Young's Motion for Exception and Objection to the Proposed Order for Authority to Change Its Water Rates.

In his first paragraph , Mr . Gonzalez states that ' No service copy was received from Mrs. Young". See "Exhibit A" - an email notice sent to Mr. Gonzalez on October 13,2020, at 12:03 pm.

I. Exceptions are Untimely & Without Merit

While I agree that my document was late, as soon as I learned of the "open Hearing", I responded and in hopes that the ratepayers have "some" say in how they feel about this tariff rate hike.

While Mr. Gonzales is quick to point out my shortcomings as to procedural law and my lack of specificity, he proves exactly what I was trying to say regarding the changes, when he stated in his own response the following:

'This amount ($72.00) is the same base rate monthly charge as was requested by the settling parties -and unopposed by Mrs. Young- in the Motion for Interim Rates filed on June 4, 2020. The status report of July 1, 2020, confirms that the settling parties were diligently preparing the stipulation and associated documents, and that Mrs. Young remained unopposed to the settlement. The Stipulation was signed by Mrs. Young as unopposed and, concurrent with its filing, on behalf of all parties, a joint motion requesting remand to the Commission was filed. Neither the Stipulation nor the proposed order includes any proposal to increase the minimum monthly charge to $79.93."

Pauline Young's Rely to KWU's Response to Pauline Young's Motion for Exception to Proposed Order by KWU for Authority to Change Its' Water Rates and Objection to Rate Tariff Change for Cibolo Oaks Landing

1

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;

EXACTLY - which is why I am taking issue with this finding of $79.93 from an April 2,2020 document made by Commission Staff and OPUC on October 8, 2020, which corrected a typographic error in proposed Finding of Fact No. 17 of the proposed order. Regardless of who or how the proposed tariff rate was increased from the one on July 6, 2020, the base rate was changed again - now from $72.00 to $79.93.

Mr. Gonzalez also states-. U Mrs. Young also improperly seeks to introduce new, but improper, "evidence".

Many of these documents are listed on the PUC ' s filing interchange docket , as well as the 365 ratepayer protests which Mr. Gonzales should be aware of. Specifically, Items No. 434, 440, 518 & 524. 365 out of 913 - almost 40% of the ratepayers protested. See "Exhibit B".

I vehemently object to this rate increase and feel the PUC should take another look at the pricing by Kendall West Utility and why it costs him so much more to provide water to our water area than it does elsewhere. It is ludicrous and inconceivable that the PUC of Texas would allow this entity to charge so much more than almost anywhere else in Texas. See attached article listing the highest water bills in Texas. Kendall West Utility's beats all of them coming in at $864 just for the base rate! [See Exhibit C"]

CLOSING

The PUC is defined as being responsible for the general supervision and oversight of water and sewer utility regulation. This supervision and oversight includes processing applications for certified retail water and sewer utility service areas. The PUC also regulates retail water and sewer rates with original jurisdiction over certain rate functions and appellate jurisdiction over others.

Setting the right rates for water service is one of the most important obligations of small water systems . Proper rates ensure that these systems cover their costs while still providing affordable service . Setting fair rates builds positive relationships with the people they serve..

In closing , I asked that each of you read " Exhibit D "'- "... Higher Water Rates , Little Recourse for Consumers ", written by then Texas Senator Kirk Watson . While this should be enough to deter me from fighting this battle, it sickens me that the unsuspecting ratepayers that are elderly and or less educated, or just busy with life, will continue to get abused by these utility companies, the PUC, OPUC and the SOAH - the very people that should be looking out for our interests in a "fair and equitable" manner.

Pauline Young's Rely to KWU's Response to Pauline Young's Motion for Exception to Proposed Order by KWU for Authority to Change Its' Water Rates and Objection to Rate Tariff Change for Cibolo Oaks Landing

2

The primary aspect of this case seems to have been lost altogether. It appears that the PUC, OPUC and SOAH believe that the ratepayers should be thrilled that the PUC was able to decrease KWU's request for annual funds, we are still paying an exorbitant rate base and "per gallon" charge compared, not only to Texas, but other states as well.

Dated: October 25,2020

Respectfully submitted,

Pauline Young 101 Glenn Oaks Drive Boerne Texas 78006 Telephone: (210) 415-1888 Facsimile: (210) 547-9461 Email: paulinetyoung@hotmail.com

By: faldik£ l/OUM Pauline Young

"Exhibit A": Proof of notice to opposing counsel dated October 13,2020 "Exhibit B": List of 365 Rate Protestors in this claim "Exhibit C": Article regarding the Highest Water Bills in Texas "Exhibit D": Article written by then Texas Senator Kirk Watson

Pauline Young's Rely to KWU's Response to Pauline Young's Motion for Exception to Proposed Order by KWU for Authority to Change Its' Water Rates and Objection to Rate Tariff Change for Cibolo Oaks Landing

3

CERTIFICATE OF SERVICE

I hereby certify that a copy of the foregoing document was served on all parties of record in this proceeding on this 25th day of October 2020 by facsimile, electronic mail, and/or first-class, U.S. mail.

faul« (RM Pauline Young

Patrick W. Linder, Paul Gonzalez Davidson Troilo Ream & Garza, P.C., 601 N.W. Loop 410, Suite 100, San Antonio, Texas 78216.

Pauline Young's Rely to KWU's Response to Pauline Young's Motion for Exception to Proposed Order by KWU for Authorityto Change Its' Water Rates and Objection to Rate Tariff Change for Cibolo Oaks Landing

4

pty109@outlook.com

From: Pauline Young <paulinetyoung@hotmail.com> Sent Tuesday, October 13, 2020 12:03 PM To: pgonzales@dtrglaw.com Subject: October 16 Hearing Attachments: Motion for Exception 01220 - 2 Signed.pdf

Please see attached document that was e-filed yesterday evening.

Sent from for Windows 10

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10/01/2019 DWAINE DEMENT 10/01/2019 ROGER LAY 10/01/2019 JAMES HOLZIER 10/02/2019 MEL SWEATMAN 10/02/2019 CARL PORTZ 10/02/2019 JEFF DANIEL 10/03/2019 CHARLES OAKES 10/03/2019 SALLY CAUFIELD 10/~3/2019 JOHN BRUNO 10/03/2019 RONALD GOMBERT 10/03/2019 BILLY J FOLLIS 10/03/2019 ROBERT AND DUSTY MARTIN 10/03/2019 GORDON HUDGENS 10/03/2019 TIM LIBBY 10/03/2019 ROBERT LEW!S 10/03/2019 GERNOT ARNOLD 10/03/2019 VANESSA AND KEITH BRADY 10/03/2019 MARGARET GREGORY 10/03/2019 MARY PRITCHETT 10/03/2019 STEPHEN ONIST 10/03/2019 CHERYL HARRISON 10/03/2019 CLEON NETTLES 10/03/2019 DEBORAH HANSEN 10/03/2019 DEBORAH WOODS 10/03/2019 STEVE WALSH 10/03/2019 DENISE AND GARRY BRITT 10/03/2019 VANESSA & KJ BRANDY 10/03/2019 KIM DOLCH 10/04/2019 CHERYL J PARR 10/04/2019 VERNA COOKE 10/04/2019 CURTIS CORMACK 10/04/2019 JIMMY YOUNG 10/04/2019 WILLIAM HETHER{NGTON 10/04/2019 JOSEPH L AND USA J HOOTER 10/04/2019 CHARLES ANDERSON 10/04/2019 GARY SWENSON 10/04/2019 ANTHONY MADRID 10~4/2019 KEVIN LESTOURGEON 10/04/2019 VALERIE LOCKE 10/04/2019 JIM SAMPSON 10/04/2019 GEORGE HARRIS 10/04/2019 MATTHEW AND CHRISTY MITCHELL 10/04/2019 CRAIG JORDAN 10/04/2019 DURANJO HOA INC 10/04/2019 LOREN FREDRICKSON 10/04/2019 JASON POSTELL 10/04/2019 JESSE RICHARDSON 10/04/2019 HORACE E TODD JR 10/04/2019 ALICE JOHNSON 10/04/2019 RAYMOND SOLARCZYK 10/04/2019 RONNIE PFEIL

RATEPAYER PROTEST RM-EPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST

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10/04/2019 MARCOS CORIANO 10/04/2019 JOHN T LANE 10/04/2019 JESSE PINON 10/04/2019 STEPHEN NEYWICK 10/04/2019 JANET LITTLEJOHN 10/04/2019 BRUCE BAKER 10/04/2019 CAREY EDWARDS 10/04/2019 GARY ETHERINGTON 10/04/2019 CHRISTINE BOONE 10/04/2019 ANDREW J GARCIA 10/07/2019 PATRICK CLARKSON 10/07/2019 JOHN SWEENEY 10/07/2019 MATTHEW BURTON 10/07/2019 DAVID AND MARY THOMAS 10/07/2019 STEPHEN WILLIAMS 10/07/2019 SANDRA LINSCOTT 10/07/2019 RUSSELL AND BECKY GARZA 10/07/2019 ROSS CHRISTIAN 10/07/2019 KYLA SLEDGE 10/07/2019 MARVIN ABNEY 10/07/2019 PHILLIP AND LINDA FUGER 10/07/2019 JENNY L RUSSELL 10/07/2019 MICHELLE MAUZE 10/07/2019 JOSEPH GILES 10/07/2019 PAT MATTICK 10/07/2019 ROBERT SURGER 10/07/2019 STEPHEN ALEXANDER 10/07/2019 KEN PARKER 10/07/2019 BARBARA MAYERS 10/07/2019 JOHN PERRY 10/07/2019 LYNNE KLEIN 10/07/2019 ERIC VAN SIYCKE 10/07/2019 DAVID PRICE 10/07/2019 DOUG AND LORI BURNS 10/07/2019 JANICE AND RONALD WALTER 10/07/2019 SILVIUS BOJESCUL 10/07/2019 SHIRLEY CARTER 10/07/2019 SHEILA REDDY 10/07/2019 CHERYL CHANDLER 10/07/2019 SANDRA ASHLEY 10/07/2019 JOSHUA AND TABITHA CHENEY 10/07/2019 DELFINO F 10/07/2019 STEVE (STEPHEN) HUNTER 10/07/2019 ROY FISCHER 10/07/2019 AMANDA PAYNE 10/07/2019 JYMIE SCHNEIDER 10/07/2019 TIM AND COLLEEN GALLAGHER 10/07/2019 PHYLLIS A TILLERY 10/07/2019 JAY GILMORE 10/07/2019 ELIZABETH SHAFFER 10/07/2019 ANTONE AND ARLEEN SKWARA

RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST

10/07/2019 JAMES LEE 10/07/2019 ED AND PAULA WHITE 10/07/2019 KEN FLINT 10/07/2019 JUDY LLOYD 10/07/2019 MATT BOOTH 10/07/2019 THOMAS HANNIGAN 10/07/2019 JAY AND CARMEN SALTZMAN 10/07/2019 FLOYD COX 10/07/2019 JOHN GREINER 10/07/2019 JANA CERI-CARMACK 10/07/2019 JAMES PERRY 10/07/2019 GREGG WOLFF 10/07/2019 MARGARET AND THOMAS TUSCHINSKI 10/07/2019 WARREN MC KENNEY 10/07/2019 JANET KOZAR 10/07/2019 DENISE CARDIN ABNEY 10/07/2019 DENTON DREISS 10/07/2019 JOHN ESTLINBAUM 10/07/2019 SHRLEY BOONE 10/07/2019 MARIE EVANS 10/07/2019 AMY THORNTON 10/07/2019 RAE A COOKE 10/07/2019 DINAH WADE 10/07/2019 GARRY AND DENISE BRITT 10/07/2019 JAMES STRAIN 10/07/2019 MICHAEL JOANNOU 10/07/2019 MARION WHALEN- RASKEY 10/07/2019 RAY R & ANN STOKES, JR. 10/08/2019 JAMES NEAL 10/08/2019 NEIL ZIMMERMAN 10/08/2019 CYNDI ROEWE 10/08/2019 LANCE SCHLADOER 10/08/2019 JOLYNN MOWERY 10/08/2019 JUSTIN SEIBERT 10/08/2019 LOA CALISLE 10/08/2019 TIM CARLSLE 10/08/2019 DARRELL STEUBING 10/08/2019 CHERYL AND SHAWN SAHM 10/08/2019 JOANN KEHLER 10/08/2019 REBECCA MAINZ 10/08/2019 CAREY AND SHELDA MCWILLIAMS 10/08/2019 ROBERT BURK 10/08/2019 SUZANNE GENTRY 10/08/2019 SIDNEY RHODES 10/08/2019 MARTIN DIAZ 10/08/2019 JOHN STASSI 10/08/2019 SARAH DOSS 10/08/2019 SHARON SEITER 10/08/2019 JUDY ATKINSON 10/08/2019 JAMES ECK 10/08/2019 RICHARD MCLEOD

RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST

10/08/2019 RICHARD QUICK 10/08/2019 BARBARA STAHL 10/09/2019 ALLEN MARSHALL 10/09/2019 GEORGE & PHYLLIS NICHOLS 10/09/2019 JEREMY ERRICKSON 10/09/2019 MIKE UNDERDOWN 10/09/2019 DAVID REESE 10/09/2019 KURT PIEPENBURG 10/09/2019 ROBERT DANIEL 10/09/2019 SUSAN DAMON 10/09/2019 KRISTA VASQUEZ 10/09/2019 DEANNA SUFKOFF 10/09/2019 BRENDA & ERIC EDWARDS 10/09/2019 LINDA COUTTS 10/09/2019 CARL & DIANNA BRANDBORG 10/09/2019 MARY BROGAN 10/09/2019 IDA LEE BUSBY 10/10/2019 DWAYNE SELLERS 10/10/2019 BONNIE COFFEE 10/10/2019 BRUCE & MARY JO STROUP 10/10/2019 GORDON NORRIS 10/10/2019 JULIE LIVINGSTON 10/10/2019 VICTOR GREENWOOD 10/10/2019 BRANDON KIRBY 10/10/2019 KAREN SHIPLEY 10/10/2019 JAMES KENT HAMBY 10/10/2019 CHAD RICHARDSON 10/10/2019 SANDRA VRANA 10/10/2019 DEREK MOELLENDORF 10/10/2019 CLAUD JACOBS 10/10/2019 CARL KELLEY 10/10/2019 BOB & SHIRLEY SANTEE 10/11/2019 MARK CROSS 10/11/2019 TIM STEVENSON 10/11/2019 MONETTE O'DAY 10/11/2019 MARK BUESING 10/11/2019 JOE CORTEZ, Ill 10/11/2019 PAUL WEEKS 10/11/2019 SUSAN ROBIN PRESCOTT 10/11/2019 WALTER & DELORES VAN NORMAN 10/11/2019 MELISSA WILSON 10/11/2019 ANNA MELTON 10/11/2019 RICARDO PALACIOS 10/11/2019 TAUNI GRIFFIN 10/14/2019 MALCOM GRAINGER 10/14/2019 RONALD HERZOG 10/14/2019 DEANNA GOMBERT 10/14/2019 RICHARD CHIAVACCI 10/14/2019 JERI WILLIS 10/14/2019 COLETTE WELLS 10/14/2019 MARVIN CLEMENS

RATEPAYER PROTEST RATEPAYER PROTEST RAT-EPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RAIEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RAT-EPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST

10/14/2019 DAMA WURZ 10/14/2019 DEBBIE HOBBS 10/14/2019 ERIKA TERAGOUCHI 10/14/2019 LORENA TERAGOUCHI 10/14/2019 MARK BOWEN 10/14/2019 DENNIS ALEXANDER 10/14/2019 PEDRO VILLARREAL 10/14/2019 CAPRL KELLEY 10/14/2019 DOREEN CASAS 10/14/2019 HERMAN FLOYD 10/14/2019 ALLAN NEWSOM 10/14/2019 HAILEY TAYLOR 10/14/2019 MELANIE SOLOMON 10/14/2019 LEON NEVERS 10/14/2019 ELIXZABETH BESCHONES 10/14/2019 CHARLES MUNSTERTEIGER 10/14/2019 JOSEPH P. BETTY 10/14/2019 SUEJURECKO 10/14/2019 MICHAEL VALENTINE 10/14/2019 EDWARD ROGERS 10/15/2019 GREG DEILEY 10/15/2019 DONNA GRIFFIN 10/15/2019 LEE TUCKER 10/16/2019 GN EDWARDS 10/16/2019 RON AND HEATHER THOMPSON 10/16/2019 JAMES BARRY 10/16/2019 DARRELL LEHMANN 10/16/2019 ERIN YZAGUIRRE 10/16/2019 JAMES HARRIS 10/16/2019 GLENN AND CHARLINE REEH 10/16/2019 DEE ACKERMANN 10/16/2019 KEVIN GUGNON 10/16/2019 GAVIN GROSENBACHER 10/16/2019 RONNIE KILLOUGH 10/16/2019 BOONE ROBERTS 10/17/2019 JULIE WOODRUFF

10/17/2019 SANDRA SENECAL

10/17/2019 KENDALL ELLIS 10/21/2019 KEN HICKS 10/21/2019 SCOTT SANDERS 10/21/2019 ROBERT BENNETT 10/21/2019 BUFFALO HOMES LLC 10/21/2019 DALE SCHUTTE 10/21/2019 GEORGE SOUZA 10/21/2019 SHIRLEY DUTY 10/22/2019 OCTAVIO JAUREGUI 10/22/2019 MADDISION PERRY

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RATEPAYER PROTEST

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10/22/2019 VICTOR GREENWOOD 10/22/2019 DAVID VADNAIS 10/22/2019 MATTHEW STRATMANN 10/22/2019 CHRIS HYVONEN 10/22/2019 RUTH DRUMMOND 10/22/2019 SILVERSTRE ORTIZ 10/22/2019 MAJORIE ORTIZ 10/23/2019 ZORA BILICICH 10/24/2019 ADRIAN O'BIEDO 10/25/2019 ROB COOK 10/25/2019 ALLISON ALEXANDER 10/28/2019 ZACHARY HUGHES 10/28/2019 JULIA ALLRED 10/28/2019 ROSE MARY & GEORGE GLISPIN 10/29/2019 MELODY AND ALEX HANSEN 10/29/2019 AARON MUND 10/29/2019 JOE CORTEZ Ill 10/29/2019 JOHN PERRY 10/29/2019 GRODON TABONE 10/29/2019 JEFF BARTON 10/29/2019 TERRY METTS 10/29/2019 PAUL RODRIGUEZ 10/29/2019 IAN LITONJUA 10/29/2019 RICARDO GOMEZ JR 10/29/2019 ROBERT & JERRI GRUBER 10/29/2019 HARRY OLIPHANT 10/29/2019 SHERI & JON BAILEY 10/29/2019 MARY & SULY WILSON 10/29/2019 JAIME QUNTANILLA Ill 10/29/2019 REBECCA STROKES 10/29/2019 JOE AND TRACY GERBER 10/29/2019 RICHARD MOORE 10/29/2019 STEPHEN AND KATHY STANFORD 10/29/2019 DAVID D HUNTER 10/29/2019 MICHAEL MAC CIA 10/29/2019 ANTHONY KEMPE 10/29/2019 ROBERT HILTY 10/29/2019 CAROL HOLT 10/29/2019 CHARLES AND AUSIE BURNS 10/29/2019 KARIN ELIOT 10/29/2019 LARRY ROSE 10/29/2019 MARK DAVIS 10/29/2019 DONALD ENGLISH 10/29/2019 JIM STAHL AND MARY GADDARD 10/29/2019 KEN CLAYTON 10/29/2019 DENNIS STEIN 10/29/2019 LESTER EVANS 10/29/2019 MARY SMITH 10/29/2019 MARY LOU BLACHARSKI 10/29/2019 RONALD BELL 10/29/2019 JAMES AND DORTHY MOREY

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10/29/2019 RANDY GRAY 10/29/2019 DAVID LURZ 10/29/2019 DAVID KEEL 10/29/2019 ELISABETH AND FABIAN PRUSKE 10/29/2019 ROGER DUNCAN 10/29/2019 GREG AND JIBS OEFINGER 10/29/2019 KEITH VOS 10/29/2019 SUSAN SAVELL 10/29/2019 BENNY CLEVELAND 10/29/2019 ROBERT TIPPIT 10/29/2019 SKIPPER HAMILION 10/29/2019 PAUL ROBERTS 10/29/2019 SANDRA OFBORNE DURHAM 10/29/2019 FRANK AND SHARON ARNOLD JR 10/29/2019 LOIS AARONSON 10/29/2019 ROBERT AND ANNA MARIE KALBITZ 10/29/2019 IRWIN WALIERS 10/29/2019 EDDIE FRENCH 10/29/2019 SAM FERRIS 10/29/2019 LONNIE ARBUTHNOT 10/29/2019 MARK MABLEY 10/29/2019 DANIEL AKERS 10/29/2019 JODY VINCENT 10/29/2019 MARGO JOHNSON 10/29/2019 LEONARD FLEEDMAN 10/29/2019 ROBERT BOZSAN 10/29/2019 RICHARD VARNADO 10/29/2019 CLYDE ERICSON 1W29/2019 RAUYMOND OSHMAN 10/29/2019 DURAN MCNUTT 10/29/2019 HAUNIS HUDSON 10/29/2019 WILLIAM PAULSON 10/29/2019 LINDA ALLEN 10/29/2019 RONALD & DIANNE BRIDGES 10/29/2019 GARY HAGEN 10/29/2019 DAVID STEELMAZEWSKI 10/29/2019 JENNIFER SMITH 10/29/2019 JACK MORROW 10/29/2019 JOHN AND JENNIFER OUVO 10/29/2019 RYAN PROVENZANO 10/29/2019 STEVE CORONADO 10/29/2019 WENDY AND TOM BINGHAM 10/29/2019 MICHAEL DILLINGER 10/29/2019 BRIAN HAJEK 10/29/2019 TERRY B. HALL 10/29/2019 THOMAS FUCHS 10/29/2019 JACK PETERSON 10/29/2019 LARRY ANAWATY 10/29/2019 JAMES BINDSEIL 10/29/2019 DOUGLAS BAKER 10/29/2019 CHARLES CREWS

RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RAIEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RAIEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST

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10/29/2019 BROOK AND NINA ZEMEH 10/29/2019 GREG AND EDNA THOMPSON 10/29/2019 RITA CUNNINGHAM 10/29/2019 THOAMS SPURGAL 10/29/2019 KEITH AND DEBBIE HEMBREE 10/30/2019 BETTY PUDCH 10/30/2019 IYNETTE PARKER 11/01/2019 KIMBERLY HARPER 11/04/2019 GARY HAESE 11/05/2019 M. LUEVANO, JR. 11/08/2019 ROBERT ESTES 01/09/2020 MARSHA BUDNIK

RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST

10/29/2019 BROOK AND NINA ZEMEH 10/29/2019 GREG AND EDNA THOMPSON 10/29/2019 RITA CUNNINGHAM 10/29/2019 THOAMS SPURGAL 10/29/2019 KEITH AND DEBBIE HEMBREE 10/30/2019 BETTY PUDCH 10/30/2019 LYNETTE PARKER 11/01/2019 KIMBERLY HARPER 11/04/2019 GARY HAESE 11/05/2019 M. LUEVANO, JR. 11/08/2019 ROBERT ESTES 01/09/2020 MARSHA BUDNIK

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RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RAI-EPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST RATEPAYER PROTEST

10/18/2020 The 20 Texas Cities That Paid the Highest Water Bills in 2015 - Lawnstarter

1.

H2OH! Where Are Water Bills the Highest in Texas?

1. Wichita Falls $516A3

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3. San Angelo $409.68

4. Garland S408,12

5. t.,Iidiand $*)7.76

7. Odessa **#6.1," ..-~.,-~., 6'[ t .1.~.,f .'L '' ,

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8. Richardson l,3:1£,ilr'~' ·~74~' r,A Of•~)• ' •LO' ---Tir:9:itrt,t~1''~ -~~ 9. Beaumont $357.36

Texas average $288.43

U.S. average 5337.60

0 50 100 150 200 250 300 350 400 450

Wichita Falls - $516.43

2. Lubbock - $474.60

3. San Angelo - $409.68

4. Garland - $408.12

https://www.lawnstarter.com/blog/water/highest-water-rates-in-texasi --/4-

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"... HIGHER WATER RATES, LITTLE RECOURSE FOR CONSUMERS"

December 18,2011 < 4

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10/18/2020 The 20 Texas Cities That Paid the Highest Water Bills in 2015 - Lawnstarter

5. Midland - $407.76

6. Denton - $394.20

7. Odessa - $391.76

8. Richardson - $360.60

9. Beaumont - $357.36

10. Mesquite - $355.20

11. McKinney - $353.16

12. Waco - $332.40

13. Austin - $328.56

14. Frisco - $321.12

15. Round Rock - $316.32

16. Houston - $315.24

17. Abilene - $309.00

18. Fort Worth - $286.03

19. Corpus Christi - $283.00

20. Plano - $271.68

Texas average: $288.43

40 community water systems

U.S. average: $337.60

500 community water systems

https://www. lawnstarter.com/blog/water/highest-water-rates-in-texas/

PFLUGERVILLE - When Robert White opened his water bill last month, his jaw dropped: $250 for a month's worth of water and sewer service. The 63-year-old construction contractor, who shares a three-bedroom home with his wife in the bucolic Springbrook Centre subdivision, said he likes to keep his lawn green and expects hefty water bills. "1 just don't want to be hijacked," he said.

White's water service is provided by a private utility owned by California-based SouthWest Water Co. LLC. Just across the four-lane Pflugerville Parkway, where White's neighbors in the Springbrook Glen subdivision - a nearly identical grid of neatly arranged brick-faced homes - get their water from Pflugerville, rates are on average about 60 percent less.

And White's bill for water service may nearly double soon, if SouthWest Water gets the latest rate increase it has requested. "1 have never felt so helpless," he said.

He's not alone. Across the state, a growing number of suburban Texans are getting their water from large, private corporations owned by investors seeking to profit off the sale of an essential resource. State figures show private companies are seeking more price increases every year, and many are substantial.

The Texas Commission on Environmental Quality, which regulates water and sewer rates for nonmunicipal customers, doesn't keep numbers, but '£their rate increases tend to be 40 and 60 percent," said Doug Holcomb, who oversees the agency's water utilities division.

For years, small private companies have played a crucial role in Texas, providing water and sewer

service in new developments outside of cities. Analysts say private companies will continue to fill an

essential need in the future, when public money is projected to be insufficient to make the billions of dollars in costly upgrades needed in water and sewer systems.

increasingly, however, the companies are neither small nor local. Over the past decade, multistate

water utilities have expanded aggressively in Texas, drawn by the state's booming population and

welcoming regulatory environment. A September report prepared by utility analysts for Robert W.

Baird & Co., a financial management company, identified Texas water regulators as the most

generous in the country for private water companies. Today, three out-of-state corporations own

about 500 Texas water systems that serve more than 250,000 residents.

For residents living outside cities served by private utility companies, the state environmental

commission is charged with setting"just and reasonable" water rates based on a company's cost of doing business plus a guaranteed profit.In exchange, the companies enjoy a monopoly on their service area.

Yet critics say the agency is unprepared to handle the recent influx of corporations that have

exploited a regulatory system more accustomed to handling rural mom-and-pop operations. Meanwhile, Texas laws provide fewer consumer protections to residents facing water rate increases

than electricity and gas ratepayers.

- Il -

"We are in the midst of a transformation in this state, and the state is ill-prepared to move into that transition," said Sen. Kirk Watson, D-Austin, who co-chairs a legislative subcommittee to investigate the rates charged by investor-owned water utilities. "It feels like ifs happening at warp speed."

Industry officials say their rates reflect the true cost of rehabilitating and expanding older water systems, and that without their deep pockets, such systems would Ianguish. The "larger Investor-Owned Utilities have invested in small, rural water and sewer systems that have gone decades without meaningful improvements in their infrastructure and often do not meet minimum environmental standards set by the state," SouthWest Water spokeswoman janice Hayes said in an email, adding that the companies have poured millions of dollars into new equipment and upgrades.

But in some places, the rate increase s following those improvements have been so high as to inhibit economic growth. Just south of Austin, SouthWest Water seven years ago purchased rights to provide water on the eastern edge of Kyle. Today, officials say, its rates are about double those of the city.

As a result, the companys service area is one of the few desirable commercial locations -just off Interstate 35 - where fast-growing Kyle has remained underdeveloped, said Diana Blank, the citys director of economic development. "We've lost projects because of that," she said. Prospective

.I employers"will look at the map and say, 'Who serves the area for water?

SouthWesfs latest rate request, which would increase rates for some suburbanites to more than three times what Austin residents pay, has caught the attention of lawmakers. A half-dozen legislators said they will introduce changes to the law during the next session to provide more consumer protections.

'This may be the poster child for the kinds of reforms we need," Watson said. "Some utilities will stretch the law as far- as they can stretch it."

'Shock and awe'

In Texas, state agencies oversee consumer rates charged by utility companies, which must persuade

regulators that rate increases are necessary. But nonmunicipal private water companies enjoy an

advantage over electric and natural gas companies: They can raise rates before theyVe been

approved.

At the Public Utility Commission, which oversees electric companies, and the Texas Railroad

Commission, which regulates gas companies outside cities, agency accountants typically review applications and negotiate with the utilities over the proposed rates. Only after that process, which can take months or longer, do the charges go into effect. Other states do the same, with proposed

rates negotiated before customers ever receive a higher bill.

By comparison, the Texas "file and use" system generally permits private water companies to impose

new, higher rates as soon as theyre filed. Protests are addressed later and can go on for years.

"It doesn't really matter how long the rate case takes if you're already earning what you think you're going to get," Heike Doerr, a national utility analyst, said in a recent speech in which he identified Texas as friendly to water companies.

"The people who want to oppose it are always on the defensive," added Tom "Smitty" Smith, director of the Texas office of Public Citizen, a nonprofit consumer and environmental advocacy organization.

If fewer than 10 percent of a utility's customers complain, the new rate typically becomes permanent. If customers do mount a campaign against the rate, theyre on their own.

That highlights another difference in the way in which water companies outside cities are regulated. When electric companies petition the Public Utility Commission for rate increases, ratepayers are represented by a separate taxpayer-funded office, the Public Utility Counsel, whose accountants and attorneys review the request and advocate for consumers. It can also hire consultants on their behalf.

Other states have a similar system for water customers. Arizona set up the taxpayer-funded Residential Utilities Consumer Office nearly 30 years ago to represent ratepayers in contested cases.

In Texas, however, private water customers who live outside cities must foot their own bill to fight rate

increase s. Although the state environmental quality commission has an office called the Public Interest Counsel, it is prohibited from offering legal advice to customers, much less representing

them.

One Henderson County community has hosted bake sales and chili suppers to raise money to fight

SouthWesfs proposed 50 percent water rate increase s. In Comal County, customers have been asked

to donate money to protest SJW Corp.'s proposed 71 percent rate increase - its third in three years,

said community leader Geoff Miller.

"If you don't have qualified professionals equal to those hired by the water company," he said, "then your chances of being successful are very small."

Texas law also entities private water companies to recover the cost of the rate-making process

through customer billings. In 2004, a multistate investor-owned water company called Aqua America

requested a rate increase for several Texas developments and cities. It wrapped up in 2007 after

more than three years of wrangling. Aqua's legal and consulting costs were more than $2.5 million, a

figure the company tacked onto customer bills.

Even if they win, Texas ratepayers have no such recourse. Requiring residents to take on big

companies on their own dime while paying the new higher rates pressures them to settle disputes as quickly as possible, critics say.

At the same time, they say it encourages private companies to use a strategy Watson termed "shock

and awe" during a contentious Senate hearing on the subject over the summer: Hit customers with a

large rate increase, then drag out the case. JA..

"1 believe your company does engage in that," Watson told SouthWesfs vice president. "And I believe you and your company tend to be rather smug about that."

Agency overwhelmed

In 1986, when water rate-making authority was moved from the Public Utility Commission to the Texas Water Commission, now part of the Texas Commission on Environmental Quality, the arrangement seemed to make sense: The private water landscape was overwhelmingly populated by small, local companies with few customers each. The agencyss role, said Joe Freeland, an Austin attorney who represents water customers, was often more to assist the often-struggling companies than to police them aggressively.

But with more small companies being snapped up by large corporations, he and others say the environmental agency can be overwhelmed by corporate attorneys and accountants representing their clients. In 2007, an agency analyst evaluating an Aqua rate case testified it was "25 times larger than any case he'd tackled previously.

Critics point to examples in which, given the same case, city and state regulators obtained much different results for consumers.

When private utility companies want to raise rates on customers in their service territory who also live within a city's limits, city officials - not the state's - consider the case. In 2002, a private company called Tall Timbers, which had customers in and outside the city of Tyler, filed to increase its sewer rates. The Texas Commission on Environmental Quality signed off on the increase for the companys out-of-city ratepayers.

The City of Tyler, meanwhile, "conducted a more thorough review," recalled utilities and public works

manager Greg Morgan, and concluded the rates should actually be lowered by $10 a month.

Tall Timbers objected, and the case went next to a state administrative law judge - who calculated the "just and reasonable" rate for the utility's Tyler customers was even lower than the city had found.

Since then, the environmental commission has signed off on another rate increase for the utility's customers outside the city. Today, Morgan said, those customers pay twice as much as their

neighbors in Tyler, "so we've ended up with two classes of citizens."

In recent years, private water companies have asked for rate increases more frequently. In 2006, the environmental agency received 70 requests. Last year, it was 129 - an 84 percent jump. At the same time, the agency's water rate review division has seen its budget shrink over the past three years.

Earlier this year, the Sunset Advisory Commission, which reviews state agencies, recommended legislators move water rate regulation from the environmental quality commission to the Public Utility

Commission, which has a larger staff experienced in fielding complex rate cases.

.--Il Av

Representatives of the large water companies protested, contending the environmental agency was doing an adequate job. Legislators did not act on the advisory commission's recommendations, leaving rate reviews with the agency.

"TCEQ is not as sophisticated as some public utility commissions" in other states, SJW Corp. CEO W. Richard Roth told analysts in a December presentation. "That can be good, and that can be bad."

Numbers questioned

In Central Texas, no private water company has caused more of an uproar than SouthWest Water, which in 2000 purchased two water companies in Pflugerville and eastern Travis County, where population was projected to grow rapidly.

Over the next decade, SouthWest aggressively acquired other small companies, seeking to cluster them into regional water providers. State regulators and lawmakers have promoted such regionalization to encourage economies of scale within the state's patchwork of nearly 700 private water and sewer service areas.

In 2004, SouthWest made a key acquisition: Tecon Water Co., which served 21,000 water connections, including many along the eastern edges of Kyle and Buda. The $66 million purchase represented more than just a bet on a high-growth area; it also came with a special legislative exemption that Tecon had been granted a year earlier.

State law requires water companies to have separate rate schedules for each of their water utilities -

unless they can prove the utilities are "substantially similar" (the idea being that ratepayers in one area shouldn't subsidize those in another). The Tecon clause allowed the company to bypass state law

and consolidate various water companies under one entity with a single tariff. Seven years later, the

exemption would become the basis for SouthWest Waters current rate increase proposal, affecting

46,000 water and sewer customers.

In 2010, private investors advised by J.P. Morgan bought publicly traded SouthWest for $430 million, a

high price, according to some experts. "Observers are still scratching their heads trying to figure out how the investors will actually earn a return on the premium valuation that they paid for the company," Debra Coy, a leading water utility analyst, wrote in the trade magazine American Water

Intelligence.

A year later, SouthWest Water began the process of raising rates so much they became the focal point

of hearings at the Texas Senate.

Using the Tecon exemption, SouthWest Water first applied for permission to merge eight of its Texas

water utilities under the Monarch Utilities banner, then asked for a single rate that would produce

bills nearly three times the size of the average water bill for municipal customers in Texas.

SouthWest officials say the rate request isn't linked to the 2010 purchase that took the company private but is instead needed to pay for a $70 million upgrade to old water systems - much of which was mandated by state regulations. To encourage such upgrades, state regulators give private companies rates of return of up to 12 percent on the equity they invest.

Yet critics have questioned other numbers in Monarch's 1,700-page application for a higher rate, especially nearly $10 million in corporate management and utility group fees. "Our suspicion is that there must be some kind of corporate overhead price that others dont charge because they don't have a parent company owned by J.P. Morgan," said Simon Sequeira, president of Quadvest, a small investor-owned water company northwest of Houston. Sequeira and other small-utility owners have formed an association seeking to distance itself from what it calls the unreasonable rates sought by the larger newcomers.

TCEQ officials also have questioned $4.3 million in "public company costs" given that SouthWest is no longer publicly traded, and another $1.2 million for computer and IT services in California, where SouthWest is based. SouthWest officials said management fees go toward legal, financial, engineering and customer service-related work.

SouthWest Water ratepayers, including residents from Bulverde, near San Antonio, and Blue Mound, outside Fort Worth, have organized to protest the rates. Because they would also affect residents within cities, several municipalities, including Pflugerville and Kyle, have hired an attorney to fight the

case.

Customers said they fear the proposed increase would deplete family budgets, make homes harder to sell and inhibit commercial development in their neighborhoods. Austin's Colony, a neighborhood of moderately priced homes in eastern Travis County served by Hornsby Bend - a small company

that SouthWest bought in 2000 - has experienced one of Travis County's highest foreclosure rates.

When the proposed rates temporarily went into effect over the summer, residents saw their water

bills jump by about half.

Lucio Camarillo, a construction worker who lives in the neighborhood with his daughter, said he

began paying water and sewer bills of about $150, in addition to the $130 a month he spends to pay for a water softener system, which he says was necessary because of the quality of the water. He said

he had to cut his cable service and carefully ration water.

"Iflhad known it was going to be like this, I probably would have bought in the city," Camarillo said.

SouthWest Water also provides wholesale water to Kennedy Ridge, a nearby low-income subdivision

where rates sparked an investigation by the state attorney general's office. After the company was

charged with violating the Deceptive Trade Practices Consumer Protection Act, SouthWest this year

agreed to credit Kennedy Ridge nearly $77,000 in restitution and to follow certain rules on increasing

rates. -lA .-..

Last month, State Office of Administrative Hearings judges took the unusual step of setting an interim rate that rolled back rates in all eight SouthWest Water subsidiaries to their previous levels until the case is decided. They will next rule on whether SouthWest Water can merge and, if that effort is successful, will then take up the rate case again. A final decision is likely months or even years away.

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