Conflating facts (January 6, 2015)
John Pedigo incorrectly juxtaposes water rate increases with profits for Apple Valley Ranchos Water Company, implying that Ranchos would not be under attack by the Town if it provided our water without receiving a profit (
Correcting distortion, Daily Press, January 6, 2016).
Because of the peculiar nature of utilities such as Ranchos, their profit is constrained by the California Public Utilities Commission (CPUC). However, this is still a profit to be had — thank goodness! Without at least the promise of a profit, there would be no incentive for companies such as Ranchos, The Carlyle Group, or Liberty Utilities to invest the millions upon millions of dollars into our community needed to provide us with a first-class water system that delivers high-quality water.
To put it another way, no company would enter into an agreement to spend millions providing a vital service, knowing that would later have to beg to be rewarded for its time, efforts, and expenditures -- especially given all the other opportunities there are for investment elsewhere.
— Greg Raven is Co-Chair of Apple Valley Citizens for Government Accountability, and is concerned about quality of life issues.