Water rate hike looms for SCW, Grand

Arizona-American water customers in Sun City West and Sun City Grand will know soon how much the utility will increase their water rates.

The Arizona Corporation Commission will decide the new rate for water customers in Sun City West and the Agua Fria District, which includes Sun City Grand, following a final hearing next week.

In what has been a lengthy and at times complicated process, Arizona-American first proposed an average rate increase of 69 percent for Sun City West customers and 41 percent for Agua Fria District customers. That was more than a year ago.

Since then, public forums and initial hearings have been presided over by an ACC administrative law judge, whose task it is to summarize the case and offer an opinion for corporation commissioners.

Teena Wolfe, ACC administrative law judge, released her recommended order and opinion Nov. 3. In it, she recommends a 66 percent increase for Sun City West customers. That boosts an average monthly bill of $19.51 to $32.42. Wolfe recommended a 26 percent increase for Agua Fria members, a hike from $24.16 to $30.42 per month for average customers.

Following her recommendation, the only thing remaining in the case is for the commissioners to set the final rates. That hearing will be Thursday and next Friday at ACC headquarters in downtown Phoenix and is open to the public.

Bill Hafeman, co-chair of an ad hoc committee in Sun City West to fight the proposed rate increase, said Wolfe’s recommendation to the ACC is inappropriate.

"We feel under the present circumstances, what she recommends is still too high," he said. "We don’t know whether (the economy) is going to improve. It might get a lot worse. As a result we still think it’s too high. We’re hoping (the commissioners) will consider her rate is too high for the present situation."

Water officials said the company proposed the rate hike to help recover funds stemming from infrastructure improvements and escalating operating costs over the last several years.

The Residential Utility Consumer Office proposed a 59 percent increase for Sun City West residents and a 19 percent increase for customers in the Agua Fria District earlier this year. ACC members consider those recommendations along with the proposal from Arizona-American, the recommendation from the administrative law judge and other factors, including recommendations from intervening groups, such as the Sun City West committee.

Hafeman said the ad hoc committee, which is backed by the Property Owners and Residents Association, is asking residents to write to commissioners or attend the hearing next week to express concern about the rates.

The ACC office is at 1200 W. Washington St., in Phoenix. For information, visit www.azcc.gov or call 1-800-222-7000.