California American Water Files Motion for Summary Judgment on Hostile Government Takeover Attempt

PACIFIC GROVE, Calif.--(BUSINESS WIRE)-- California American Water has filed a Motion for Summary Judgment asking the Monterey County Superior Court to enter Judgment in favor of California American Water and dismiss the Monterey Peninsula Water Management District’s (District) lawsuit seeking to take ownership of the company’s Monterey Peninsula water system through eminent domain. The motion argues that the District cannot meet fundamental legal requirements needed to proceed with its action, which therefore should be dismissed.

“California American Water is the Monterey Peninsula’s provider of safe, reliable water service. Our team is focused on and remains committed to serving their community,” said Evan Jacobs, Director of External Affairs. “The District does not have the required Monterey County LAFCO approval or authority to be a retail water provider and has spent more than $3 million dollars of residents’ funds on their misguided effort.”

California American Water’s motion asserts that the District lacks legal authorization from the Monterey County Local Agency Formation Commission (LAFCO) to provide retail potable water service. In addition, California American Water asserts that the District is not and has never been an operator of a public water system responsible for the provision of safe drinking water to homes, schools and businesses.

The District was created to manage water resources and endeavor to find new, reliable water sources. It is not a retail potable water provider. Subject to any appeals, the Motion for Summary Judgment will end the eminent domain case with judgment in favor of California American Water.

“The Water Management District needs to focus on its original charge, to secure reliable new water sources for the Monterey Peninsula and protect the Carmel River,” said Jacobs. “Instead, they are focused on lawsuits that are driving up costs for local residents.”

California American Water and its predecessor companies have operated the Monterey Peninsula’s water system for more than 60 years. The system currently serves roughly 100,000 people with a network of over 680 miles of pipeline and over 100 storage tanks. It is one of the most complex water systems in California.

About American Water
American Water (NYSE: AWK) is the largest regulated water and wastewater utility company in the United States. With a history dating back to 1886, We Keep Life Flowing® by providing safe, clean, reliable and affordable drinking water and wastewater services to more than 14 million people with regulated operations in 14 states and on 18 military installations. American Water’s 6,700 talented professionals leverage their significant expertise and the company’s national size and scale to achieve excellent outcomes for the benefit of customers, employees, investors and other stakeholders.

For more information, visit amwater.com and join American Water on LinkedIn, Facebook, X and Instagram.

About California American Water
California American Water, a subsidiary of American Water, provides safe, clean, reliable and affordable water and wastewater services to approximately 750,000 people. For more information, visit www.californiaamwater.com and follow California American Water on LinkedIn, Facebook, X, and Instagram.

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Media Contact:

Josh Stratton

Manager, External Affairs

California American Water

Phone: 831-435-6015

Email: josh.stratton@amwater.com

Source: California American Water