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Cal Am Gets Coastal Commission Desal Project Extension

California American Water has received a 90-day extension of the deadline for the Coastal Commission to consider the company’s desalination project permit application, effectively allowing commission staff about four more months to complete additional analysis.

On Tuesday, Cal Am Vice President Ian Crooks sent a letter to Coastal Commission official Tom Luster requesting the 90-day extension of the time limits for considering the desal permit under the state’s Permit Streamlining Act, which requires consideration of a permit within 180 days of completion.

Cal Am Facing Permit Dilemma

California American Water’s Plan for a desalination plant hit a major hurdle last month when the California Coastal Commission told the company it is not ready to make a decision on its permit.

The news came in a letter dated January 28, 2020 and it recommend Cal Am pull its current application and resubmit at a later date. The Coastal Commission cited its likely inability to make a decision in time to meet its own internal deadline per the Permit Streamlining Act.

California Coastal Commission Staff Asks Cal Am to Postpone Desal Appeal

Coastal Commission staff has recommended California American Water withdraw and resubmit a coastal development permit application involving the company’s proposed Monterey Peninsula desalination project, which would likely postpone a hearing on the desal permit and a pending appeal until September at the earliest.

Acknowledging that further analysis of California American Water’s proposed desalination project won’t be done in time for a planned March hearing, commission staff sent a Jan. 28 letter with the recommendation, which the letter says Cal Am officials requested during conversations earlier this month in order to formalize the staff recommendation.

Proposed Settlement Reached in Regional Desal Lawsuit

Eight years after the regional desalination project fell apart, the legal battle over its unraveling appears to be nearing a conclusion.

A proposed settlement has been reached among the parties involved including California American Water, Monterey County and the county Water Resources Agency, Marina Coast Water District, and RMC Water and Environment regarding the failed desal project. It was presented on Monday in the San Francisco Superior Court overseeing the long-running lawsuit.

Cal Am Seeks Three-Year Rate Increase Starting In 2021

California American Water is seeking to raise its Monterey area average customers’ bills by nearly 18 percent over a three-year period from 2021-2023. In its latest general rate case filing with the California Public Utilities Commission on July 1, Cal Am is seeking to raise water rates in its Monterey main district to increase revenue by about $8.4 million to cover new capital investment, increased labor expense, higher operations and administrative costs, and increased depreciation. Under the proposal, the “average” Cal Am customer would see their monthly rates increase from about $89.40 to $105.42 over the three-year period.

California American Water Makes Rate Increase Request

San Diego-based California American Water filed an application to set new rates in each of its service areas for 2021 through 2023. If approved by the California Public Utilities Commission, the new rates will take effect Jan. 1, 2021.

California Public Utilities Commission’s Proposed Decision Backs Cal Am Desalination Project

In a major development for California American Water’s long-sought desalination project, the California Public Utilities Commission has issued a proposed decision recommending approval of the proposal known as the Monterey Peninsula Water Supply Project.

In a 223-page filing, a three-judge panel found that Cal Am’s desal project is the best option available to provide the Monterey Peninsula with a timely replacement water supply to offset the state water board’s Carmel River pumping cutback order and the need to reduce pumping from the adjudicated Seaside basin. Judges Gary Weatherford, Robert Haga and Darcie Houck also recommended certifying the project’s combined environmental review document, arguing that project impacts could either be mitigated or would be outweighed by the project’s benefits.