LADWP Proposes Rate Hikes Over Next 5 Years For Infrastructure Repairs

LOS ANGELES (CBSLA.com) — Los Angeles residents may need to brace themselves for water and power rate hikes.

That's because the Los Angeles Department of Water and Power proposed increasing rates on Wednesday for the next five years.

The proposal aims to raise more than a billion dollars for infrastructure repairs, including broken underground pipes and power poles.

"It takes away from a lot of other places where we need to spend," said Abraham Vorster, a father of four, while looking at his latest DWP bill. Vorster lives in Larchmont and says he's anxious the bill may increase.

If approved, low water and power users would see an increase of 2.4 percent or about $2 more a month, while average users would see a 3.4 percent increase equating to about $5 more per month.

High users, though, would see a 5.4 percent raise, which comes out to about $18 a month.

Jack Humphreville of Los Angeles Watchdog admits the agency needs the money for repairs, but doesn't expect the increases to go over well.

"I think a lot of people just don't trust them especially when it comes to the use of our money," Humphreville said.

Even though the mayor and city council will decide on the rate hike, DWP commissioners say they know it will be a tough sell for customers.

"We're looking to be proactive, rather than reactive and I think we need to make that message to the public," Jill Banks Barad, an LADWP commissioner, said.

The hikes for Larchmont resident Lorena would equate to about $60 more per year.

"There are people that do not have the money to afford extra like me. I'm retired," she said.

Across the street, Vorster says he'll just have to dig deeper in his pocket.

"That's one of our biggest bills is DWP," he said.

The DWP says the rate hikes have been in the works for years and has nothing to do with residents conserving water.

A series of public meetings are expected to be held on the issue, the first of which is planned for July 22.