* This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting. [00:00:01] THE MEETING'S CALLED TO ORDER AS THE CURRENT PRESIDENT OF THE LONG BEACH UTILITIES COMMISSION. ON BEHALF OF MY FELLOW COMMISSIONERS AND STAFF, I'D LIKE TO WELCOME YOU AND THANK YOU FOR TAKING THE TIME TO BE HERE TONIGHT AND PRESENT AND BE HEARD. UH, WE'RE HERE TO LISTEN AND WE VALUE YOUR COMMUNITY INVOLVEMENT AND SUPPORT, AND WE THANK YOU FOR COMING OUT. THIS SPECIAL MEETING IS DEDICATED IN MEMORY OF A RECENTLY RETIRED LONG BEACH UTILITIES COMMISSIONER ROBERT E. SHANNON, WHO UNEXPECTEDLY PASSED AWAY. JUST LAST THURSDAY. COMMISSIONER SHANNON WAS A TRIAL ATTORNEY WHO SERVED AS LONG BEACH'S ELECTRIC ELECTED CITY ATTORNEY FOR 15 YEARS. HE WAS TO US HERE AT LONG BEACH UTILITIES, A COLLEAGUE, A FRIEND, A FIERCE ADVOCATE FOR LONG BEACH RATE PAYERS, AND A WONDERFUL EXAMPLE OF SERVANT LEADERSHIP OF ALL ITS BEST WITHIN OUR COMMUNITY. UM, I'D LIKE TO TAKE A MOMENT NOW TO HONOR THIS GOOD MAN, FORMER COMMISSIONER ROBERT E. SHANNON, IN SILENCE. [PLEDGE OF ALLEGIANCE] THANK YOU. I WOULD LIKE TO CALL ON, UM, A**L GAN FOR THE PLEDGE OF ALLEGIANCE. PLEASE STAND. THANK YOU. WOULD YOU ALL PLEASE STAND? FACE THE FLAG, PLACE YOUR HAND OVER YOUR HEART AND REPEAT AFTER ME. I PLEDGE ALLEGIANCE TO THE FLAG OF THE UNITED STATES OF AMERICA [ROLL CALL] AND TO THE REPUBLIC FOR WHICH IT STANDS, ONE NATION UNDER GOD, INDIVISIBLE, WITH LIBERTY AND JUSTICE FOR ALL. THANK YOU. AND FOR OUR ROLL CALL I, I CALL IN DINA LONG PRESIDENT MCGUIRE. HERE, VICE PRESIDENT SCOTT PRESENT. SECRETARY CORDERO. HERE. COMMISSIONER PARKIN. HERE. COMMISSIONER RAINEY IS ABSENT. WE HAVE A QUORUM. THANK YOU [1. 25-56230 Consider the timely written objections by ratepayers to the proposed water and sewer rate schedules for Fiscal Year 2025-2026 and the corresponding Long Beach Public Utilities Department’s responses, and determine to proceed with the Proposition 218 protest hearing pursuant to the requirements of Government Code Section 53759.1.       Suggested Action: Approve recommendation. ] FOR THE RECORD. COMMISSIONER RAINEY IS EXCUSED FROM THE AUGUST 27TH, 2025 SPECIAL BOARD MEETING. ARE THERE ANY OBJECTIONS FROM THE BOARD? SEEING NONE, WE WILL NOW MOVE ON TO THE REGULAR AGENDA. ITEM NUMBER ONE IS TO CONSIDER THE TIMELY WRITTEN OBJECTIONS BY, BY RATE PAYERS TO THE PROPOSED WATER AND SEWER RATE SCHEDULES FOR FISCAL YEAR 20 25, 20 26, AND THE CORRESPONDING LONG BEACH PUBLIC UTILITIES DEPARTMENT'S RESPONSES AND DETERMINE TO PROCEED WITH THE PROPOSITION TWO 18 PROTEST HEARING PURSUANT TO THE REQUIREMENTS OF GOVERNMENT CODE SECTION FIVE THREE SEVEN FIVE NINE 0.1. I CALL IN MARCIA YASUDA. GOOD EVENING. I'M DEPUTY OF CITY ATTORNEY MARCIA YASUDA, AND I'M GOING TO GIVE YOU A BRIEF OVERVIEW OF ASSEMBLY BILL 2, 2 5 7, AND A SUMMARY OF THE WRITTEN OBJECTIONS AND RESPONSES THAT WERE MADE PURSUANT TO THAT BILL. MARSHA, IF YOU JUST ONE SECOND WHILE WE LINE UP THE ACTUAL PRESENTATION SLIDE. YES. APOLOGIES. PAUL, WE'RE WE'RE GOING OFF SPLIT SCREEN, SO WE'RE TRYING TO MAKE SURE THAT THE RIGHT PRESENTATION SCREEN COMES UP. IT'S, IT'S, WITH YOUR PERMISSION, CAN WE CALL RECESS AND JUST RECESS FOR ABOUT FIVE MINUTES? WE ARE CALLING, WHOOPS, WE'RE CALLING A RECESS WITH OUR CHECK ISSUES. JUST BEAR WITH US FOR A FEW MINUTES, GET SOME WATER. ANYBODY NEED WATER OR ANYTHING? MARSHA NEED WATER? HERE WE GO. OH, OKAY. WE GOT IT. I THINK IT'S OKAY. WE'LL RECONVENE NOW. THANK YOU FOR YOUR PATIENCE. ALL RIGHT. SO I'M JUST GOING TO BE GIVING AN OVERVIEW OF ASSEMBLY BILL 2 2 5 7 AND, UM, A SUMMARY OF THE WRITTEN OBJECTIONS AND RESPONSES, UH, MADE PURSUANT TO THAT BILL. SO AB 2 2 5 7 OUTLINES AN OPTIONAL PROCESS WHEREBY LOCAL AGENCIES SUCH AS THE LONG BEACH PUBLIC UTILITIES DEPARTMENT CAN LIMIT LITIGATION OVER PROPOSED WATER AND SEWER RATES. UH, IT TOOK EFFECT ON JANUARY 1ST OF THIS YEAR. SO THIS IS THE FIRST TIME, UH, THAT WE ARE GOING THROUGH THIS PROCESS. UM, IT'S IMPORTANT TO NOTE THAT, UM, THE AB 2, 2 5 7 PROCESS IS RELATED BUT SEPARATE FROM THE PROP TWO 18, UH, PROTEST HEARING, [00:05:01] UH, THAT WE WILL HAVE LATER TODAY. SO UNDER PROP TWO 18, RATE PAYERS CAN MAKE A PROTEST. IT CAN BE WRITTEN OR ORAL, UM, REGARDING THE PROPOSED RATE CHANGES, UM, AND UNDER PROP 2, 2, 5 7, UH, THE RATE PAYER CAN SUBMIT OBJECTIONS TO PRESERVE THEIR RIGHT TO SUE THE CITY ON THE RATES. IF THE RATES ARE ADOPTED, UM, UNDER AB 2 2 5 7, THE OBJECTIONS MUST BE IN WRITING AND MUST BE SUBMITTED BY THE DEADLINE DETERMINED BY THE LOCAL AGENCY HERE. UH, THE DEADLINE WAS DETERMINED TO BE AUGUST 13TH, 2025 AT 7:00 PM AS FOR PROTESTS, THEY CAN BE, UH, SUBMITTED UNTIL THE CLOSE OF THE, UH, PUBLIC HEARING UNDER PROP TWO 18. SO UNDER AB 2 2 57, UH, IT CREATED A PROCEDURE, UM, IN WHICH RATE PAYERS CAN HAVE A MEANINGFUL OPPORTUNITY TO PRESENT AN OBJECTION TO THE PROPOSED WATER OR SEWER RATES. AND IT ALSO ALLOWS THE LOCAL AGENCY THE OPPORTUNITY TO RESOLVE THE OBJECTIONS BEFORE RESORTING TO LITIGATION AFTER THE NEW RATES ARE APPROVED. AND THIS IS WHAT'S KNOWN AS AN EXHAUSTION OF ADMINISTRATIVE REMEDIES, UM, THAT BASICALLY THE RATE PAYER HAS TO EXHAUST THEIR ADMINISTRATIVE REMEDIES BEFORE THEY CAN SUE ON THE PROPOSED WATER AND SEWER RATE INCREASES. UM, OH, I SHOULD NOTE THAT THIS YEAR, UM, THIS YEAR THE NOTICE OF PROP TWO 18 THAT WAS SENT TO RATE PAYERS LOOKED A LITTLE DIFFERENT THAN IT HAS IN PREVIOUS YEARS, UH, BECAUSE WE ARE IMPLEMENTING THIS NEW PROCEDURE. UM, INCLUDED IN THE NOTICE WAS AN EXPLANATION OF THIS AB 2 2 57 PROCESS, AND IT INCLUDED THE DEADLINE OF AUGUST 13TH THAT RATE PAYERS HAD TO SUBMIT THEIR WRITTEN OBJECTIONS AND ALSO PUT THEM ON NOTICE THAT FAILURE TO PROVIDE A TIMELY WRITTEN OBJECTION MEANT THAT THEY CANNOT FILE A SUIT CHALLENGING THE NEW RATES. SO AB UH, 2 5 2 2 5 7 WAS CODIFIED IN THE GOVERNMENT CODE AND IT DOES HAVE OBLIGATIONS THAT THE LOCAL AGENCY MUST COMPLY WITH. AND THAT INCLUDES, UM, RESPONDING TO EACH OBJECTION IN WRITING, UM, AND EXPLAINING THE DEPARTMENT'S RATIONALE AS TO WHY IT IS CHOOSING TO RETAIN OR ALTER THE PROPOSED WATER AND SEWER RATES. AND THEN TO PRESENT THE OBJECTIONS AND WRITTEN RESPONSES TO THIS BOARD FOR CONSIDERATION. AND THEN THE BOARD HAS FOUR OPTIONS. UH, THE BOARD CAN SEEK CLARIFICATION ON THE PROPOSED RATE CHANGES. UM, THE BOARD CAN REDUCE THE PROPOSED RATE CHANGES, TABLE THE ITEM FOR FURTHER CONSIDERATION AT A FUTURE MEETING, OR PROCEED WITH THE TOP PROP TWO 18 PROTEST HEARING. SO THE ITEM BEFORE YOU RIGHT NOW IS A FAIRLY NARROW ONE. IT'S JUST TO CONSIDER THE TIMELY WRITTEN OBJECTIONS AND THE UTILITIES DEPARTMENT'S RESPONSES AND TO DECIDE WHETHER OR NOT THE BOARD WILL PROCEED WITH THE PROP TWO EIGHT HEARING 2 8 18 HEARING BASED ON THE OBJECTIONS AND RESPONSES. OKAY. SO THERE WERE 105 WRITTEN OBJECTIONS THAT WERE RECEIVED BY THE UTILITIES DEPARTMENT. UM, THE OBJECTIONS AND THE CORRESPONDING RESPONSES ARE AT ATTACHMENT TO, TO THE BOARD LETTER. THEY HAVE BEEN REDACTED FOR PRIVACY PURPOSES, BUT THEY DO INCLUDE, UM, THE OBJECTIONS THEMSELVES, UM, IN TOTAL, UM, BECAUSE RATE PAYERS COULD SUBMIT AN AB 2, 2, 5, 7 OBJECTION AND A PROP TWO 18 PROTEST TO THE SAME PHYSICAL ADDRESS AND EMAIL. IN CERTAIN CIRCUMSTANCES, IT WAS UNCLEAR WHETHER THE RATE PAYER WAS SUBMITTING AN OBJECTION OR A PROTEST OR BOTH. SO IN AN OVERABUNDANCE OF CAUTION, UH, STAFF TREATED ANY OPPOSITION TO THE PROPOSED WATER AND SEWER RATES, UH, THAT INCLUDED THE WORDS OBJECT OBJECTION AND OR AB 2 2 57 AS AN AB 2 2 5 7 OBJECTION. UM, IF THE BOARD CHOOSES TO PROCEED WITH THE PROP TWO 18 HEARING, THEN ALL OPPOSITIONS TO THE RATES, WHETHER IDENTIFIED AS AN OBJECTION OR A PROTEST, UM, BY THE SUBMITTER, WILL BE CONSIDERED A PROTEST FOR PROP TWO 18 TABULATION PURPOSES. UM, SO IN SUMMARY, REGARDING THE WRITTEN OBJECTIONS, MANY OF THEM SIMPLY STATED THAT THE RATE PAYER OBJECTED OR THAT THE RATES WERE TOO HIGH AND THEY DIDN'T PROVIDE ANY FURTHER STATEMENT AS TO HOW THE PROPOSED RATES VIOLATED PROP TWO 18. UM, IN ORDER TO BE A VALID OBJECTION, HOWEVER, UM, IT NEEDS TO SPECIFY THE GROUNDS FOR ALLEGING NON-COMPLIANCE WITH PROP TWO 18. SO THESE OBJECTIONS THAT SIMPLY SAID, I OBJECT OR [00:10:01] THE RATES ARE TOO HIGH WITHOUT ANY FURTHER, UM, STATEMENTS DIDN'T, DOES NOT SATISFY THE REQUIREMENTS FOR EXHAUSTING ADMINISTRATIVE REMEDIES. UM, SOME OTHER OBJECTIONS FAILED TO PROVIDE THE LOCATION OF THE AFFECTED PARCEL OR FAILED TO INCLUDE THE OBJECTOR'S NAMES. UM, THOSE ALSO ARE INSUFFICIENT TO SATISFY, UM, EXHAUSTING ADMINISTRATIVE REMEDIES. UM, THERE WERE ALSO OBJECTIONS THAT MADE CONCLUSORY STATEMENTS THAT THE PROPOSED RATES VIOLATED PROP TWO 18 AND THESE WERE GENERALLY ON THE BASIS THAT, UM, THE RATES WERE ARRIVED AT DUE TO AN, UH, AT A, THERE WAS A LACK OF TRANSPARENCY ABOUT HOW THE RATES WERE ARRIVED AT, UM, THAT THE RATES EXCEEDED THE COST OF SERVICE AND OR THAT THE RATES WERE NOT PROPORTIONAL. UM, BUT THESE OBJECTIONS DID NOT PROVIDE ANY FACTUAL OR LEGAL SUPPORT FOR THE ALLEGATIONS. UM, THE UTILITIES DEPARTMENT NEVERTHELESS RESPONDED ACCORDINGLY BY DIRECTING THE OBJECTOR TO THE DEPARTMENT'S WEBSITE, UM, FOR INFORMATION ON HOW THE RATES WERE DERIVED AND FOR EXPLANATIONS ON HOW THE RATES DID NOT EXCEED COSTS AND UM, HOW THEY WERE PROPORTIONAL. SO BASED ON THE OBJECTIONS THE DEPARTMENT PROVIDED RESPONSES TO EACH OBJECTION, UM, NONE OF WHICH WARRANT ALTERATION OF THE PROPOSED RATES. AND SO STAFF IS RECOMMENDING TO PROCEED WITH THE PROP TWO 18 HEARING AND THE FORMAL RECOMMENDATION [2. 25-56232 Recommendation to receive supporting documentation into the record on the proposed increase to the City’s Water and Sewer Rates for Fiscal Year 2025-2026; receive public comment pursuant to Proposition 218; and, in the absence of a majority protest, conclude the public hearing.       Suggested Action: Approve recommendation. ] IS TO CONSIDER THE TIMELY WRITTEN OBJECTIONS BY THE RATE PAYERS TO THE PROPOSED WATER AND SEWER RATE SCHEDULES FOR FISCAL YEAR 25 TO 26 AND THE CORRESPONDING, UH, UTILITIES DEPARTMENT'S RESPONSES AND TO DETERMINE TO PROCEED WITH THE PROP TWO 18 PRO PROTEST HEARING PURSUANT TO THE REQUIREMENTS OF GOVERNMENT CODE SECTION 5 3 7 5 9 0.1. THAT CONCLUDES MY PRESENTATION AND IF YOU HAVE ANY QUESTIONS, I'M HAPPY TO TAKE THEM. THANK YOU, MARCIA. IS THERE ANY PUBLIC COMMENT, UH, COMMISSIONER COMMENT ON THIS PORTION? DO I HAVE A MOTION TO APPROVE ITEM NUMBER ONE? MOTION. MOTION RECEIVED? DO I HAVE A SECOND? SECOND. THANK YOU. ALL IN FAVOR SAY AYE. AYE. ANY OPPOSED? THE MOTION CARRIES. WELL, I'LL OPEN THE PUBLIC HEARING. ITEM NUMBER TWO ON OUR AGENDA TONIGHT IS TO RECEIVE SUPPORTING DOCUMENTATION INTO THE RECORD ON THE PROPOSED INCREASE TO THE CITY'S WATER AND SEWER RATES FOR THE FISCAL YEAR 20 25, 26 TO RECEIVE PUBLIC COMMENT PURSUANT TO PROPOSITION TWO 18 AND IN THE ABSENCE OF A MAJORITY PROTEST CONCLUDE THE PUBLIC HEARING. WE'RE NOW GOING TO START THE HEARING FOR THE SUBMISSION OF PUBLIC PROTESTS OF A PROPOSED INCREASE TO THE CITY'S WATER AND SEWER RATES FOR THE FISCAL YEAR 2026. WE WILL BEGIN WITH A STAFF REPORT FROM OUR GENERAL MANAGER, A**L FAGAN, WHO WILL LEAVE THE PODIUM AND PRESENT. THANK YOU A**L. THANK YOU PRESIDENT MCGUIRE, THIS IS, CAN EVERYBODY HEAR ME OKAY? YES. YEAH. YES. THANK YOU. GOOD EVENING. THANK YOU FOR PARTICIPATING AND JOINING US TONIGHT IN THIS MEETING. SO THE PROP TWO 18 HEARING TONIGHT IS ABOUT THE RATES, WATER AND SEWER RATES. AND I HAVE A PRESENTATION TO GIVE YOU SOME BACKGROUND ON WHAT IS CONNECTED TO THOSE RATES. WHAT IS THE BUDGET? UM, IT'S INTENDED TO GIVE YOU A BROADER BACKGROUND OF WHAT THE RATES ARE INTENDED TO DO, THE CONNECTION THEY HAVE TO THE UTILITIES AND THE SERVICE THAT IS PROVIDED TO YOU AND GIVE YOU CONTEXT FOR THE NATURE OF THE HEARING TONIGHT AND WHAT TO EXPECT. SO THE DEPARTMENT BUDGET FOR LONG BEACH UTILITIES IS A BUDGET THAT COMPRISES THREE CRITICAL SERVICES, WATER, GAS, AND SEWER. TONIGHT WE'RE TALKING ABOUT WATER AND SEWER SERVICES. THESE ARE CRITICAL SERVICES PROVIDED TO THE CITY OF LONG BEACH, TO ITS RESIDENTS, TO ITS BUSINESSES, PEOPLE WHO ARE VISITING THE CITY. IT IS SERVICES PROVIDED 24 7 365 DAYS A YEAR. AND IN THE CONTEXT OF THAT BUDGET, WE ARE DEALING WITH CONSUMPTION TRENDS, THE CONSUMPTION OF THESE SERVICES, THE WATER YOU DRINK, THE WATER THAT GETS USED, AND CORRESPONDINGLY THE SEWER SERVICE THAT RESULTS FROM THAT THEY'RE FACING IMPACTS. AND THOSE IMPACTS ALSO TRANSLATE TO BUDGET AND RATE IMPACTS AS WELL. NOW, I'LL GIVE YOU A SNAPSHOT OF THAT TONIGHT. THE BOARD BUDGET WORKSHOPS WERE HELD ON MAY 1ST AND MAY 15TH AND JUNE 17TH. THESE WERE PUBLIC PROCESSES WITH THE BOARD INTENDED TO PROVIDE OVERALL [00:15:01] PERSPECTIVES ON THE BUDGET, ITS TRENDS AND THE NECESSARY REVENUE ASSOCIATED WITH THAT. AND ON JUNE 17TH, THE BOARD ADOPTED THE FISCAL YEAR 26 BUDGET AND THE PROPOSED WATER AND SEWER RATES FOR THAT. OUR BUDGET IS INTENDED TO PROVIDE WATER AND SEWER SERVICE TO THE COMMUNITY. AND IN CONSTRUCTING THAT BUDGET, THERE ARE CHALLENGES BEING FACED AND COST DRIVERS THAT ARE NOT JUST PARTICULAR TO LONG BEACH, NOT JUST PARTICULAR LONG BEACH UTILITIES, BUT THESE ARE CHALLENGES THAT ARE BEING FACED ACROSS SOUTHERN CALIFORNIA. AND IN FACT, ACROSS THE STATE OF CALIFORNIA, EMPLOYEE RETENTION IS A CRITICAL ISSUE. IT IS ONE THING FOR PUBLIC AGENCIES FROM TIME TO TIME TO SUFFER LOSSES OF PERSONNEL AND TO LOSE THEM TO THE PRIVATE SECTOR. BUT IN SOUTHERN CALIFORNIA, UTILITIES ACROSS THE BOARD ARE FACING A DIFFERENT KIND OF RETENTION. WE'RE LOSING TO OTHER PUBLIC UTILITIES. SO THIS ASPECT IS RESOLVED IN SOME WAYS THROUGH THE CITY'S ACTIVE NEGOTIATIONS WITH THE BARGAINING UNITS THAT LED TO COMPETITIVE WAGE INCREASES FOR MANY OF CLASSIFICATIONS ACROSS THE BOARD AND ACROSS THE CITY. AND AT THE SAME TIME THAT THAT IS MEANT TO HELP WITH EMPLOYEE RETENTION, IT BECOMES A COST PRESSURE IN TERMS OF BUDGET. CRITICAL INFRASTRUCTURE INVESTMENT IS ANOTHER CHALLENGE THAT THE UTILITIES ARE FACING IN ORDER TO ENSURE SAFE AND RELIABLE SERVICE. THE DELIVERY OF WATER, THE COLLECTION OF SEWER CONSTRUCTION COSTS AND RELATED TO THE MAINTENANCE OF INFRASTRUCTURE AND REPAIR OF INFRASTRUCTURE IS A NECESSARY INVESTMENT EACH AND EVERY YEAR. AND THOSE COSTS BY VARIOUS MEASURES ARE GOING UP FASTER THAN CPI IN SOME CASES DRAMATICALLY FASTER THAN CPI. THE REGULATORY LANDSCAPE IS ANOTHER ASPECT OF THE CHALLENGES THAT THE UTILITY INDUSTRY IS FACING AND THAT REGULATORY LANDSCAPE IS RESULTING IN PRESSURES TO HAVE REDUCED CONSUMPTION OF WATER ACROSS THE BOARD, ACROSS THE STATE OF CALIFORNIA. CONSUMPTION OF WATER THROUGH YOUR MONTHLY BILLS IS THE REVENUE THAT'S GENERATED TO SUPPORT THE SERVICES. SO AS WE SET THE DEMAND, THE AMOUNT OF WATER TO BE CONSUMED, IT HAS THE EFFECT OF SETTING THE BUDGET AND THEN IN EFFECT DEMANDING THE REVENUE THROUGH RATES THAT WILL BE NECESSARY TO COLLECT TO MEET THOSE BUDGET OBLIGATIONS. ANOTHER ASPECT OF CHALLENGES AND COST DRIVERS IN THE UTILITY INDUSTRY IS THE FACT THAT FOR THE SIZE OF LONG BEACH, THE THIRD LARGEST CITY IN SOUTHERN CALIFORNIA, THE SECOND LARGEST CITY IN LOS ANGELES COUNTY, THE SEVENTH LARGEST CITY IN THE STATE OF CALIFORNIA, CITIES OF OUR SIZE, WE EXPERIENCE THIS ELEMENT THAT OUR LOCAL WATER SUPPLIES ARE INSUFFICIENT TO MEET THE DEMAND OF THE CITY. IT'S NOT UNIQUE TO LONG BEACH. IT'S A FACT OF MANY OF THE LARGE CITIES IN THE STATE. THEY DEMAND IMPORTED WATER AND METROPOLITAN WATER DISTRICT, THAT ACRONYM MWD BEING OUR IMPORTER WATER SUPPLIER. IT IS FACING DRAMATIC COSTS AND RATE PRESSURES THAT ARE ALSO DRAMATICALLY EXCEEDING THE COST OF CPI. THE OTHER ACRONYM ON THE SCREEN FOR YOU, WRD, THE WATER REPLENISHMENT DISTRICT OF SOUTHERN CALIFORNIA, THAT IS THE AGENCY THAT GOVERNS THE GROUNDWATER BASIN, OUR MOST PRECIOUS AND MOST AFFORDABLE RESOURCE THAT WE PUMP FROM THE GROUND BENEATH OUR FEET. THAT AGENCY ALSO IS FACING PRESSURES NOT AS MUCH AS MWD, BUT ALL OF THESE COST PRESSURES FOR REDUCED DEMAND CONTINUES TO PUT THE STRAIN ON BUDGET AND RATES THAT WE'RE EXPERIENCING EXPERIENCING. ONE OF THE THINGS THAT I'VE DONE IN MY TENURE AS GENERAL MANAGER, UM, I'VE BEEN GENERAL MANAGER SINCE OCTOBER NOW, IS TO CONNECT THE BUDGET TO A BUSINESS PLAN THAT BETTER COMMUNICATES WHAT OUR DOLLARS ARE GOING TOWARDS. AND THAT BUSINESS PLAN COMPRISES FOUR CRITICAL DIMENSIONS, THE CUSTOMER PERSPECTIVE, HOW THE CUSTOMER SEES THE UTILITY, THE FINANCIAL UNDERPINNINGS OF THE AGENCY, AND WHAT IT NEEDS TO DO FINANCIALLY IN ORDER TO MEET THOSE CUSTOMER EXPECTATIONS, OUR INTERNAL WORK, OUR INTERNAL OPERATIONS, AND WHAT WE CAN DO INTERNALLY AND OVERALL OUR WORKPLACE CULTURE BECAUSE OUR EMPLOYEES ARE THE FOUNDATION OF THE AGENCY. SO THERE'S A NUMBER OF DIFFERENT ELEMENTS TO THIS BUDGET PLAN THAT I'VE PUT IN PLACE PRIMARILY FOR THE CUSTOMER FACING PORTION. IT'S IMPORTANT THAT WE STRIVE FOR AFFORDABLE RATES. IT'S IMPORTANT THAT WE MAINTAIN AND DELIVER RELIABLE AND RESILIENT INFRASTRUCTURE, THAT WE ALWAYS HAVE A COMMITMENT TO INNOVATIVE POLICIES AND PROGRAMS AND THAT WE ABOVE ALL DELIVER SAFE, RELIABLE, AND CLEAN WATER AND SEWER. AND I SAID LONG BEACH UTILITIES IS ALL THREE GAS INCLUDED. NOW IN TERMS [00:20:01] OF FINANCIAL, THE OTHER ELEMENT OF WHAT OUR BUDGET SEEKS TO DO IS IT SEEKS TO HAVE LONG-TERM SUSTAINABLE FINANCES. THAT'S THROUGH A COMPREHENSIVE LONG RANGE FINANCE PLAN AND IN THE PROVISION OF SAFE, CLEAN WATER AND SEWER AND GAS, THAT WE HAVE A CONNECTION TO COST OF SERVICE BASIS FOR THESE SERVICES THAT WE PROVIDE. OUR BUDGET IS ALSO BASED ON AN INTERNAL WORK OPERATIONS COMMITMENT TO EXCELLENCE AND IMPROVEMENT, POSITIVE COLLABORATION ACROSS THE UTILITY, PROACTIVE AND INNOVATIVE OPERATIONS. AND ABOVE ALL, A COMMITMENT TO INFORMATION SYSTEMS AND DATA TO IMPROVE OUR EFFICIENCIES INTERNALLY AND MAKE SURE THAT WE'RE AS OPTIMUM AS POSSIBLE IN MEETING THE CUSTOMER PERSPECTIVES. AND I TOLD YOU BEFORE THAT WORKPLACE CULTURE IS REFLECTIVE OF OUR WORKFORCE. WE SEEK TO MAKE SURE THAT OUR BUDGET IS COMMITTED TO CAREER DEVELOPMENT AND STAFF COMPETENCIES OF OUR WORKFORCE, EMPLOYEE RETENTION THAT I MENTIONED TO YOU BEFORE, EQUITY THAT IT IS CLEAR AMONGST OUR WORKFORCE AND AWARENESS AND UNDERSTANDING AS WELL. THIS BUSINESS PLAN WITH THE BUDGET, YOU CAN THINK OF IT AS FROM TOP DOWN AS TO HOW WE DO THINGS. OR YOU CAN THINK OF IT CONSEQUENTIALLY AS WE WORK FROM THE FOUNDATION UP. IF WE DO SOMETHING, THEN WHAT HAPPENS AS A RESULT GOING FORWARD? BUILDING BUDGET AND RATES IS MORE THAN JUST SIMPLY ASSEMBLING THE COSTS OF THE UTILITY AND TAKING IT AS IT IS AND SAYING, WELL, THAT'S THE RATES THAT WE NEED. THE BUDGET PROCESS THAT WE GO THROUGH EACH AND EVERY YEAR REFLECTS A COMMITMENT. FIRST OFF TO CONTROL COSTS. SECOND OFF TO IMPROVE EFFICIENCY. AND I'M GOING CLOCKWISE HERE. THIRDLY, TO MANAGE DEBT. AND AFTER WE DO ALL OF THOSE EFFORTS, WE THEN DEAL WITH THE INCREASED REVENUE NECESSARY AND ASSESS WHAT CHANGES OR ADJUSTMENTS NEED TO BE MADE TO RATES. SO COST CONTROLS AND IMPROVING EFFICIENCY IS THE FOUNDATION OF ASSEMBLING THE UTILITY BUDGET EACH AND EVERY YEAR. COST CONTROLS IN THIS YEAR'S PROPOSED BUDGET HAD A REDUCTION OF $3.6 MILLION IN THE WATER FUND. THE SEWER BUDGET IS MUCH SMALLER THAN THE WATER BUDGET, BUT NONETHELESS THERE WAS A $378,000 COST REDUCTION IN THE SEWER BUDGET AS WELL. SINCE THE ASSEMBLY OF THE NEW UTILITIES DEPARTMENT WHERE WE JOINED GAS, WATER, AND SEWER, THERE HAVE BEEN ACTIVE EFFORTS ACROSS THE ENTIRE UTILITY TO DELIVER EFFICIENCIES. NOW THOSE EFFICIENCIES IN THE FORM OF STREAMLINED OPERATIONS AND BETTER CUSTOMER SERVICE ARE ALSO REFLECTING THEMSELVES IN TIME SAVINGS AND COST REDUCTIONS. AND MY COMMITMENT TO THE BOARD IS THAT GOING FORWARD, WE'RE GOING TO BE MORE AND MORE TRANSPARENT OF THE EFFICIENCIES THAT THE ORGANIZATION IS DEVELOPING AND THE SAVINGS THAT CAN BE ASSOCIATED WITH THOSE AS WELL. I TOLD YOU THAT THIS IS A PROCESS, CONTROLLING COSTS AND IMPROVING EFFICIENCY. WE GET TO THE THIRD PIECE, WHICH IS TO MANAGE DEBT. AND THAT'S IMPORTANT BECAUSE AS I TOLD YOU, IN TERMS OF THE CHALLENGES AND DRIVERS THAT THE UTILITY IS FACING, THE COMMITMENT TO REPAIRING AND MAINTAINING INFRASTRUCTURE REMAINS AN ESSENTIAL PART OF THE UTILITY. IT'S HOW YOU GET SAFE AND RELIABLE AND CLEAN WATER AND SEWER SERVICE. THAT MEANS THAT IN ORDER TO MANAGE THE BUDGET PROPERLY, WE LOOK AT DEBT FINANCING. AND WE DO THAT BECAUSE IT HELPS US INVEST IN THE UTILITIES CRITICAL INFRASTRUCTURE. IT ALLOWS US TO MANAGE UPFRONT CASH NEEDS AT THE SAME TIME THAT WE'RE BALANCING EQUITY ACROSS GENERATIONS. MANY OF THE THINGS THAT WE BUILD AND OPERATE AND MAINTAIN, THEY HAVE LIVES OF ESSENTIALLY 30 YEARS OR MORE. CONSEQUENTLY WHAT WE TALK ABOUT WHAT TO PAY IN EACH AND EVERY YEAR. IT'S IMPORTANT THAT FUTURE CUSTOMERS AND FUTURE GENERATIONS, THEY PAY THEIR FAIR SHARE OF A UTILITY THAT HAS INFRASTRUCTURE THAT IS BENEFITING THEM, BUT WAS PERHAPS BUILT SEVERAL YEARS AGO. TO GIVE YOU A SENSE OF HOW THAT WORKS. SO IN THE FISCAL YEAR 26, CAPITAL IMPROVEMENT PLAN FOR WATER, THERE'S 50, ALMOST $57 MILLION WORTH OF INFRASTRUCTURE INVESTMENT THAT NEEDS TO GET DONE. AND AT THE SAME TIME, IN ORDER TO MANAGE BUDGET AND MANAGE RATES, THERE IS DEBT FINANCING COMMITMENT TO $21 MILLION OF THAT. AND THE SEWER CIPA $14.1 MILLION COMMITMENT TO INFRASTRUCTURE IS RESULTING IN A DEBT FINANCING OBLIGATION OF 8 MILLION OF THAT 14.1 MILLION. SO I'VE WALKED YOU THROUGH THIS ELEMENT OF HOW THE BUDGET IS BUILT AND THEN WE GET TO THE FINAL PIECE, WHICH IS WHAT IS THE REVENUE NECESSARY TO MATCH UP TO THAT BUDGET? AND IN THAT SENSE, WE HAVE PARALLEL GOALS OR CO-EQUAL GOALS, REVENUE AND RESERVES. THE REVENUE IS REQUIRED AND IT'S ALSO REQUIRED TO [00:25:01] MAINTAIN RESERVES. AND THIS IS CONSISTENT WITH THE BOARD'S RESERVE POLICY. AND IT'S ALSO IMPORTANT, IT'S ALSO IMPORTANT BECAUSE IT PROVIDES YOU THE ABILITY TO ADAPT AND BE FLEXIBLE DEPENDING ON EMERGENCIES THAT YOU MIGHT FACE. WHETHER IT'S DEMAND FLUCTUATION, EMERGENCY RESPONSE, NEW REGULATORY IMPACTS THAT HAPPEN SOMETIMES IN THE MIDDLE OF A YEAR, HAVING STABLE RESERVES. THAT COMMITMENT TO REVENUE TO BOTH RATES AND BUDGET AND ALSO RESERVES MEANS THAT YOU GET STABILITY AND CREDIBILITY. AND I JUST SHARED WITH YOU THAT WE'RE MANAGING DEBT, WE ARE SUBJECT TO REVIEW OF OUR DEBT AND RATING OF IT AND DEBT RATING AGENCIES. THEY AFFECT THE DEBT ISSUANCE OUTCOMES AND THE BORROWING CAPABILITIES AND THEY LOOK VERY CAREFULLY AT OUR RESERVE LEVELS AS WELL. SO THAT'S WHY IT'S THE RATES BOTH TO MEET THE BUDGET BUT ALSO TO MAINTAIN RESERVES. SO I TOLD YOU THAT ON JUNE 17TH, THE BOARD ADOPTED BUDGET AND RATES FOR WATER AND SEWER SERVICES. WE THEN SCHEDULED THE PROP TWO 18 HEARING BACK THEN. IT'S BEING HELD TONIGHT, AUGUST 27TH. AND THIS IS REFLECTIVE OF A 12% RATE INCREASE FOR WATER AND SEWER RATES, WHICH IF APPROVED, GO FORWARD ON OCTOBER 1ST, 2025 TO GIVE YOU A SNAPSHOT OR A PIE CHART OF HOW EVERYTHING THAT I JUST TOLD YOU SHAPES UP, I'M CONTRASTING FROM LEFT TO RIGHT EXPENDITURES AND REVENUES. SO IT'S IMPORTANT FOR WHAT I SHARED WITH YOU ABOUT THE BUDGET THAT WHEN WE TALK ABOUT UTILITY BUDGETS, ONCE WE SET THE LEVEL OF DEMAND, THE AMOUNT OF WATER THAT YOU'RE GOING TO CONSUME AND KNOWING THE AMOUNT OF WATER THAT YOU'RE GOING TO CONSUME, THE AMOUNT OF SEWER SERVICES THAT YOU'RE GOING TO NEED, YOU CAN SEE ON THE EXPENDITURE SIDE THAT BETWEEN THE CAPITAL IMPROVEMENT PLANT, WHICH I TOLD YOU IS JUST UNDER 57 MILLION, THE COST TO PUMP AND PURCHASE WATER BECAUSE THE WATER WE PUMP FROM BENEATH OUR FEET HAS TO BE TREATED. THE SALARY, WAGES AND BENEFITS ASSOCIATED WITH PROVIDING THAT SERVICE AND THE O AND M ASSOCIATED WITH MAINTAINING THE INFRASTRUCTURE WE RAPIDLY GET TO 95% OF THE BUDGET IS FIXED. THERE'S NO ABILITY TO ADJUST THAT SERVICE ONCE WE ESTABLISH HOW MUCH WATER WE'RE GOING TO CONSUME. ON THE REVENUE SIDE, YOU CAN SEE THAT THE ACTUAL SALES OF WATER IS WHAT GENERATES THE REVENUE FOR THIS. AND THAT'S THE UNDERPINNING OF THE RATES THAT WE HAVE ON THE SEWER EXPENDITURE SIDE. SLIGHTLY DIFFERENT SERVICE BUT ESSENTIALLY STILL THE SAME ON EXPENDITURE. ON THE LEFT SIDE OF THAT SLIDE, IF YOU TAKE THE PIE CHART AND YOU LOOK AT CIP AT 14.1, THE OPERATIONS AND MAINTENANCE AND THE PEOPLE SALARY, WAGES AND BENEFITS TO PROVIDE THAT SERVICE, AGAIN, 90 TO 95% OF THE BUDGET IS FIXED. ON THE REVENUE SIDE, WE OPERATE WITH THE DAILY SERVICE CHARGE, THE LETTER OF CREDIT, AND THEN THE VOLUMETRIC CHARGES. BUT VOLUMETRIC CHARGES AND DAILY SERVICE CHARGE IS THE ESSENCE OF YOUR SEWER BILL. AND YOU CAN SEE HOW THAT REPRESENTS THE BULK OF HOW THE REVENUE IS TO MEET THOSE COSTS. NOT WITHSTANDING THAT WHEN WE ARE MANAGING BUDGET AND WHEN WE ARE MANAGING RATES, WE ALWAYS SEEK TO DELIVER VALUE TO OUR RESIDENTS. AND IN DOING THAT WE ALWAYS MAKE THESE COMPARISONS ON THIS CHART. THE BLUE REPRESENTS THE WATER PORTION OF THE BILL. THE ORANGE REPRESENTS THE SEWER PORTION OF THE BILL. AND I TOLD YOU BEFORE THAT FOR THE SIZE OF WHO LONG BEACH IS, WE ARE DEPENDENT ON IMPORTED WATER. SO IT'S IMPORTANT THAT WE COMPARE OURSELVES TO LARGER CITIES BECAUSE THE LARGER CITIES ALSO HAVE THAT NEED FOR IMPORTED WATER. SO IT'S AN APPROPRIATE COMPARISON. THAT'S WHY ON THIS GRAPH YOU SEE A COMPARISON GOING TO YOUR RIGHT OAKLAND, SAN JOSE, SAN DIEGO, LOS ANGELES, AND SAN FRANCISCO. AND YOU CAN SEE WHEN WE MAKE THOSE COMPARISONS, EVEN WITH THE PROPOSED RATE INCREASES THAT WE HAVE, RESIDENTS SHOULD KNOW IN LONG BEACH THAT THEIR MONTHLY BILLS FOR WATER AND SEWER CONTINUE TO BE SOME OF THE LOWEST BILLS AMONGST ALL OF THE LARGE CITIES IN THE STATE OF CALIFORNIA. THE EFFECT OF THE PROPOSED RATE INCREASES ON THE MONTHLY BILL. THIS ASSUMES A SINGLE FAMILY RESIDENTIAL HOME WITH A TYPICAL USAGE OF ABOUT 10 BILLING UNITS. AND THE PROPOSED INCREASES WILL RESULT IN AN AVERAGE OF $8 AND 26 CENTS ON THE WATER BILL. A DOLLAR 47 ON THE SEWER BILL FOR A TOTAL INCREASE OF $9 AND 73 CENTS. I KNOW IN GIVING YOU THIS PRESENTATION ABOUT BUDGET AND RATES THAT RATE INCREASES ARE DIFFICULT AND THAT'S WHY IT'S ALSO IMPORTANT THAT OUR COMMITMENT AS A UTILITY IS TO PROVIDE ADDITIONAL [00:30:01] RESOURCES WHEN THESE INCREASES CAUSES STRESS AND STRAIN ON CONSUMERS WITH THEIR MONTHLY BILL. WE HAVE A NUMBER OF ASSISTANCE PROGRAMS. THOSE ARE AVAILABLE AT THE FRONT DOOR WITH AN OVERVIEW OF THEM. THEY PROVIDE YOU THE OPPORTUNITIES TO HAVE FLEXIBLE PAYMENT PLANS. THERE'S A NUMBER OF INCOME-BASED ASSISTANCE THAT IS AVAILABLE TO UTILITY CUSTOMERS AND ON THE DEMAND SIDE, ON THE WATER THAT YOU CONSUME, WE HAVE A WIDE VARIETY OF CONSERVATION PROGRAMS, SOME OF THEM AT NO COST TO THE CONSUMER THAT CAN ALLOW YOU TO LOWER THE AMOUNT OF CONSUMPTION THAT YOU HAVE AND IN EFFECT RESULT ON LOWER MONTHLY BILLS AS WELL. IF YOU NEED ADDITIONAL INFORMATION IN ADDITION TO THE CARDS THAT ARE OUTSIDE VISITING OUR WEBSITE@LBUTILITIES.ORG FOR MORE INFORMATION CAN ALSO GIVE YOU ACCESS TO MORE INFORMATION ABOUT THOSE PROGRAMS. SO PROP TWO 18 FORMS THE BASIS FOR THE PUBLIC HEARING TODAY AND THE PROTEST VOTE IS THE BASIS FOR WHAT WE'RE TALKING ABOUT. SO LET'S FOCUS ABOUT THAT ITSELF AND THE PROP TWO 18 PROCESS AND WHAT TO EXPECT IN A PROTEST VOTE. THE PURPOSE OF IT AGAIN IS THAT PROPERTY OWNERS AND ACCOUNT OWNERS CAN SHARE THEIR INPUT AND OR OPPOSITION TO THE PROPOSED 12% RATE INCREASE FOR WATER SERVICE AND 12% RATE INCREASE FOR SEWER SERVICE. THERE WERE THREE METHODS TO PROVIDE A PROTEST VOTE. ONE WRITTEN WRITTEN VIA COMMENT CARD, TWO WRITTEN VIA EMAIL OR THREE IN PERSON VIA PUBLIC COMMENT. THE PUBLIC WILL BE GIVEN THREE MINUTES EACH TO REGISTER THEIR PROTEST. THE RESULT OF THIS IS THE EXECUTIVE ASSISTANT TO THE BOARD OF PUBLIC UTILITIES COMMISSION. THEY WILL TABULATE ALL OF THE PROP 20 TEAM PROTESTS THAT HAVE BEEN RECEIVED. YOU HEARD IN THE PREVIOUS PRESENTATION THAT EVEN OBJECTIONS THAT WERE RECEIVED WILL BE COUNTED AS PROTESTS AND IMMEDIATELY FOLLOWING THE CLOSURE OF THE PUBLIC HEARING, WE WILL REPORT THE RESULTS TO THE BOARD THE MORE THE BOARD MAY ADOPT THE NEW RATES, IF NOT PRESENTED BY A MAJORITY PROTEST VOTE. THAT CONCLUDES THE STAFF REPORT. PRESIDENT MCGUIRE. THANK YOU. WE WE WILL NOW OPEN THE PUBLIC COMMENT PERIOD IF, IF YOU HAVEN'T ALREADY DONE SO AND WISH TO SPEAK, PLEASE [PUBLIC COMMENT] COMPLETE A SPEAKER'S CARD. UM, IT'S OVER TO MY LEFT. YOU CAN RECEIVE THOSE AND SUBMIT IT TO THE EXECUTIVE ASSISTANT OF THE BOARD. YOUR NAME WILL BE CALLED IN THE ORDER THAT IT WAS RECEIVED. SPEAKERS WILL STATE THEIR NAME AT THE MICROPHONE. PLEASE LIMIT YOUR REMARKS TO THREE MINUTES. STAFF AND BOARD MEMBERS WILL BE AVAILABLE AFTER THE PUBLIC HEARING IS ADJOURNED. TO ANSWER ANY QUESTIONS, THE BOARD EXECUTIVE ASSISTANTS WILL NOW CALL PUBLIC SPEAKERS TO THE MICROPHONE. OKAY, MR. WHITEHEAD. OKAY, I'M MR. WHITEHEAD. AND UH, INITIALLY I WAS TRYING TO DO THE 2, 2, 5 7 WRITTEN OBJECTION. I DID SUBMIT MY LETTER APPARENTLY TOO LATE TO THE EXECUTIVE ASSISTANT TO THE BOARD, BUT UH, THE BASIS OF MY LEGAL ARGUMENT AGAINST IT WOULD BE PENAL CODE 3 96. THOSE WERE SOME NICE PIE CHARTS WE SAW, BUT UNFORTUNATELY THEY WERE LACKING. IT WOULD'VE BEEN USEFUL IF WE SAW WHAT THE EXPENSES IN 2025 WERE, OR EXCUSE ME, 2024 WERE. SO WE COULD SEE WHETHER OR NOT, UH, THE INCREASE IS NECESSITATED. WHAT PUTS YOU AT RISK OF BEING CONSIDERED PRICE GOUGERS IN LA COUNTY? IT'S STILL A STATE OF EMERGENCY. THE STATE OF EMERGENCY HAS BEEN EXTENDED TO SEPTEMBER 29TH. SO IF THE STATE OF EMERGENCY GETS EXTENDED TO PAST OCTOBER 1ST WHEN THE RATE INCREASES TO GO INTO EFFECT AT 12%, IT'S TOO MUCH UNLESS YOU CAN DEMONSTRATE THAT UH, THE INCREASE IN YOUR COST WARRANTS SUCH A 12% INCREASE AS OPPOSED TO A CAP OF 10%. SO HOPEFULLY, UH, YOU CAN DEMONSTRATE THAT YOUR COSTS HAVE GONE UP 12% OR MORE. AND THEN, UH, THE OTHER ITEM OF NOTE THAT REALLY IS WHAT GOT ME INTERESTED IN SEEING WHAT WAS GOING ON WITH THE UTILITY COMPANY IS UH, WHEN CUSTOMERS CALL IT WOULD BE USEFUL IF THERE WAS A WAY WE COULD HAVE A VERBAL PASSWORD SO THAT WAY WE DON'T HAVE TO PROVIDE TOO MUCH SENSITIVE DATA TO CONDUCT BUSINESS. SO I WOULD ENCOURAGE YOU TO SEE IF SOMETHING COULD BE DONE TO HELP EN ENABLE THE CUSTOMERS TO PROTECT THEIR SENSITIVE DATA BUT STILL BE ABLE TO COMMUNICATE WITH REPRESENTATIVES OF THE COMPANY. THANK YOU. SPEAKER NUMBER TWO, DANIA MUHA. [00:35:01] GONNA HAVE TO LOWER IT A LOT MORE. . UM, GOOD EVENING COMMISSIONERS. MY NAME IS DANIA MUS. I LIVE IN COLLEGE ESTATES HERE IN LONG BEACH. MY FAMILY AND I ARE HOMEOWNERS AND WE'RE OBVIOUSLY CUSTOMERS OF LONG BEACH UTILITIES. I'M 28. I'M A DOCTOR AT LONG BEACH MEMORIAL. I'M A WIFE, A MOM, UH, OBVIOUSLY WITH ANOTHER ONE DUE IN SEPTEMBER. AND I'M JUST HERE TO KIND OF ADVOCATE FOR PEOPLE, UM, LIKE MY NEIGHBORS, MY COMMUNITY, MY PATIENTS. ADDING A 12% HIKE TO BOTH WATER AND SEWER RATES IS NOT JUST UNFAIR, IT'S UNSU UNSUSTAINABLE. LIFE IN LONG BEACH IS ALREADY VERY EXPENSIVE WITH HOUSING, CHILDCARE, GROCERIES, GAS, MEDICAL BILLS. AND THE FACT THAT THE BOARD APPROVED THIS INCREASED SHOWS JUST HOW MUCH OUT OF TOUCH THEY ARE WITH THE REAL NEEDS OF OUR COMMUNITY AND WITH ALL THE TAXES WE ALREADY PAID, THAT BUDGET SHOULD BE USED TO BUILD AND MAINTAIN INFRASTRUCTURE THAT SHOULD ALREADY BE PROVIDING SAFE, CLEAN, AND RELIABLE UTILITIES. UM, AND I JUST WANNA MENTION, YOU KNOW, PROPOSITION TWO 18 WAS INITIALLY PASSED, I MEAN 30 YEARS AGO TO PROTECT RESIDENTS FROM EXACTLY THIS KIND OF UNNECESSARY INCREASE. AND SO I'M HERE TODAY AFTER WORKING 10 HOURS AT THE HOSPITAL AND BEING ON CALL TONIGHT TO REALLY KIND OF REPRESENT, LIKE I SAID, MY PATIENTS, MY NEIGHBORS, AND THE COUNTLESS FAMILIES IN THE CITY WHO CANNOT AFFORD THIS INCREASE. THANK YOU SO MUCH. ELIZABETH ENR, HENRIQUEZ TRANSLATOR SERVICES. UM, SO MS. ENRIQUEZ SAID THAT GIVEN HER CONDITION, THE WATER RATE INCREASE IS DIFFICULT AND IN DOING SO, SHE EXPLAINED THAT AT HER AGE, THAT'S ONE CONSIDERATION, LIMITED INCOME. THAT'S ANOTHER CONSIDERATION. SHE ALSO IS A MOTHER. SHE'S CARING FOR A CHILD WITH DOWN SYNDROME, UH, WHICH PRESENTS OTHER DIFFICULTIES AS WELL. AND SHE WOULD JUST LIKE TO KNOW FROM THE BOARD IS THERE PERHAPS OTHER FORMS OF ASSISTANCE OR OTHER ALTERNATIVES TO HELP BECAUSE 12% IS A SIGNIFICANT INCREASE. MM-HMM AND WE'LL HAVE, UM, WOULD YOU FIND SOMEONE AFTERWARD SOMEONE WILL FIND YOU TO HELP YOU AND ANSWER SOME OF MORE OF YOUR QUESTIONS ABOUT ASSISTANCE? OTHER ASSISTANCE, ANNA TO CONNECT? OKAY, THANK YOU SO MUCH. THANK YOU. A**L NEXT IS ROSARIO CHAVEZ. ROSARIO CHAVEZ. [00:40:13] SO, UM, SO, UM, MRS. I SHOULD STAY HERE. SO MRS. CHAVEZ WAS LETTING YOU KNOW THAT SHE COMES FROM THE NEIGHBORHOODS IN THE 9 0 8 1 OH UH, ZIP CODE AND UH, SHE HAD EXPECTED MORE PEOPLE TO COME TONIGHT, UH, 'CAUSE SHE HAD BEEN TALKING TO THEM. UH, SHE IS CONCERNED WITH THE RATE INCREASE BECAUSE THE RATE INCREASE AFFECTS DEEPLY PEOPLE LIKE HERSELF THAT ARE WORKING ON MINIMUM WAGE HAVE LIMITED INCOME OR PERHAPS HAVE JUST SIMPLE SOCIAL SECURITY AS THEIR MEANS OF SUPPORT. UH, IT IS A DIFFICULT, UH, RATE INCREASE FOR THEM TO SUSTAIN GIVEN EVERYTHING THAT THEY'RE FACING AND THEY WOULD URGE YOU TO CONSIDER SOME OTHER OPTION. OKAY. THANK YOU. THANK YOU SO MUCH. NEXT SPEAKER IS VIVIAN GREEN . HI, MY NAME IS VIVIAN GREEN. I LIVE IN NORTH LONG BEACH. AND IT APPEARS TO ME THAT THE RATE HIKE IS A FOREGONE CONCLUSION, CORRECT? YES. YES. IT'S ALREADY IN MOTION, CORRECT? YES. NO, WELL IT GOES TO FOR CITY COUNCIL. HMM. IT'S A FOREGONE CONCLUSION. SO, UM, WITH PEOPLE BEING ON LIMITED INCOME, IT'S A VERY, UH, HIGH CONCERN OF MINE. UH, I DON'T FACE THAT RIGHT NOW, BUT I WILL SOON AS I RETIRE. AND I'M JUST WONDERING HOW YOU, I SEEN THE CHART, HOW YOU CAME TO THE CONCLUSION THAT ALMOST A 50% INCREASE WAS WARRANTED. I SEEN THE NUMBER OF THE NINE, WHAT WAS IT? 46? THE EXPECTATION OF THE RATE HIKE PER BILL. THIS DOESN'T INCLUDE, UH, THE, UH, TRASH PICKUP. CORRECT. THAT'S GONNA BE THE NEXT HIKE, CORRECT? NO, THAT CALCULATION IS STRICTLY WATER AND SEWER. SO IT DOES NOT INCLUDE THE OTHER PORTIONS OF YOUR BILL. RIGHT, I UNDERSTAND THAT. BUT AT SOME POINT THAT'S GONNA HAPPEN TOO. CORRECT? WE GOT THIS NEAT GREEN TRASH CAN THAT I DON'T NEED. I DON'T KNOW WHY IT WAS ISSUED. YOU CAN'T PUT BAGS IN IT. I'M NOT GONNA CLEAN A TRASH CAN THAT HAD FOOD AND STUFF IN IT EVERY WEEK. SO I DON'T USE IT. SO I'M SURE THE NEXT COST IS GONNA BE THAT. UM, SO I'M BASICALLY HERE TO COMPLAIN ABOUT THAT AND, UH, TO SAY THAT MY RECYCLE HAS NOT BEEN PICKED UP ALL WEEK. SO THAT'S BASICALLY WHY I'M HERE. 'CAUSE I'M VERY UPSET ABOUT IT. I'VE BEEN CALLING ALL WEEK. I UNDERSTAND YOU GUYS CONTRACT THAT OUT, CORRECT? YES. NO, SO THAT'S, THAT WOULD BE ANOTHER ISSUE, RIGHT? WELL THAT WOULD BE ENVIRONMENTAL SERVICES BUREAU RIGHT? OF THE CITY. SO THAT'S NOT RELATED TO LONG BEACH UTILITIES. IT'S ON MY BILL. IT IS, BUT LONG BEACH UTILITIES IS SPECIFICALLY WATER, GAS, AND SEWER. OKAY. YEAH. THANKS. SO I'M, I'M HAPPY TO TALK TO YOU AFTER THE MEETING. OKAY? OKAY, THANK YOU. THE NEXT SPEAKER IS CHRISTOPHER GRABBIN. GOOD MORNING OR GOOD EVENING EVERYONE. MY NAME'S CHRISTOPHER GRABBER. I'VE LIVED IN LONG BEACH FOR 29 YEARS. UM, AND I'VE GOT SEVERAL CONCERNS. UM, AND THOUGH IT'S NOT TALKING ABOUT TONIGHT, BUT THE, WHEN GAS WENT THROUGH THE ROOF A COUPLE YEARS AGO, I, MY WIFE WAS VERY SERIOUSLY ILL. I GOT ALL THE PAPERWORK THEY SAID I HAD AN APARTMENT IN MY BACKYARD AND I HAVE A, MY HOUSE WAS BUILT WITH A BUNGALOW IN THE BACK AND THERE'S A WATER HEATER THERE. AND I WENT AND TALKED TO THEM AND I SAID, SCREW IT. THEY'RE GONNA GO SAY, MY WATER HEATER ISN'T RIGHT OR SOMETHING, AND IT'LL BE A BIGGER HEADACHE. SO THAT'S ONE OF THE PROBLEMS I HAVE IS ABOUT THE UTILITIES. THAT'S WHY I CAME HERE. BUT, UM, I'M ABOUT TO RETIRE. SOCIAL SECURITY GOES UP ABOUT 2%. YOU'RE TALKING ABOUT 12%. AND WITH THE LAST LADY JUST SPOKE ABOUT THE GARBAGE IS GONNA GO UP, SOMETHING ELSE IS GOING UP. IT MAY BE DIFFERENT DEPARTMENTS, [00:45:01] BUT WE'RE PAYING FOR THIS PRICE. AND RIGHT NOW, WITH ALL WHAT'S GOING ON WITH THE IMMIGRATION PROBLEMS, LOT OF PEOPLE AREN'T LEAVING THEIR HOMES BECAUSE THEY'RE AFRAID TO GO OVER THE CAR WASH OR WHEREVER THEY WORK. 'CAUSE THEY'RE GETTING BUSTED BY ICE. SO PEOPLE ALL OVER ARE STAYING HOME, WHICH MEANS THEY'RE USING MORE UTILITIES AND THEY'RE NOT WORKING. SO COSTS ARE GOING TO GO THROUGH THE ROOF FOR THOSE PEOPLE. AND IT'S JUST AMAZING HOW THESE PRICES KEEP GOING UP. UM, I DIDN'T KNOW UNTIL THE LAST PERSON SPOKE. THIS IS A LOT LARGER INCREASE. I I HAVE BOTH MY BILLS HERE. I HAVE MY UTILITY BILL FROM, FROM THE CITY IN EDISON. I'M, I'M DOWN, I'M PROPER ON ALL THOSE THINGS, BUT IT'S GOING THROUGH THE ROOF. UM, AND 12%, IT'S JUST, I MEAN, YES, YOU COULD EXPLAIN IT, BUT IT, WHAT IT SOUNDS LIKE IT WAS BUILT INTO THE BUDGET, SO YOU HAD TO VOTE FOR IT. IF YOU DIDN'T VOTE FOR IT, IT, YOU KNOW, YOU, YOU WOULD PULL IT APART. AND SO, YEAH, I THINK, YOU KNOW, AS WE HEARD LAST YEAR IN ELECTION, A THEME WAS THE RENT IS TOO DAMN HIGH. THAT'S ALL OVER LOS ANGELES. AND THAT'S TRULY IN LONG BEACH. THE HOUSE NEXT DOOR TO ME JUST SOLD FOR $800,000 AND I BOUGHT MY HOUSE FOR 159. I DON'T KNOW WHERE SOME YOUNG COUPLE, I DON'T KNOW WHERE THEY GOT THEIR MONEY. I'M GLAD IT, BUT IT DOESN'T HELP ME ANY PAY A BILL THAT'S GOING THROUGH THE ROOF AND I JUST LOOK AT THE UTILITY RATES, THE GARBAGE AND EVERYTHING, AND I PER THAT, THE EXPLANATIONS OF THE WATER. BUT WHEN YOU GO THAT MUCH IN ONE YEAR, YOU KNOW, QUADRUPLE YOUR RATES. IT'S JUST AMAZING. AND IT'S JUST ONE OF THE MORE ADDED BILLS. I MEAN, I PAY $163 AND THEN THE GARBAGE AND THEN EDISON AND EVERYTHING ELSE, AND IT JUST GOES CRAZY. BUT MY MAIN CONCERN IS HOW THE, THE CITY HANDLE THE, THE GAS CRISIS WHEN IT WENT, WHEN IT WENT FROM LIKE A HUNDRED TO $500 OVERNIGHT AND THE CITY HAD SOME PROGRAM AND THEY, I WENT AND GOT ALL THE PAPERWORK AND I GOT TOLD NO. I MEAN, LITERALLY SOMEONE SAID, I SAID, I SAID, COME OUT THERE, THERE'S NO APARTMENT BUILDING IN MY BACKYARD. SO IT WAS JUST FALSE. AND I JUST SAID, I'M NOT EVEN GONNA HASSLE WITH IT. BUT I THINK WHAT THE LAST, LAST PEOPLE ARE SAYING AND PEOPLE ARE SAYING, 'CAUSE MOST PEOPLE DON'T, THIS, I, I'VE WORKED IN UTILITY STUFF WITH COMMUNITY ORGANIZATIONS AND MOST PEOPLE DON'T SHOW UP. MOST PEOPLE ARE RENTERS. THEY GET IT THROUGH THEIR BILLS. UM, SO ANYWAY, THANK YOU VERY MUCH. THANK YOU. OKAY, OUR LAST SPEAKER IS KAY HUN. KAY HUN. OH YEAH, YEAH. GOOD EVENING. CAN YOU HEAR ME? HELLO COMMISSIONERS. PARKIN RAINEY, PRESIDENT MCGUIRE, DEPUTY CITY ATTORNEY, USDA, AND OTHER MEMBERS OF THIS BODY. MY NAME IS KAYHAN. I WORK AT THE UNIVERSITY. AND A YEAR AGO I STOOD BEFORE YOU TODAY IMPLORING YOU TO CONSIDER THE REAL LIFE ECONOMIC HARDSHIP. THAT THE DOUBLE DIGIT RATE INCREASE OF 11% FOR WATER AND 8% FOR I BELIEVE IT WAS SEWAGE, UM, WOULD CAUSE TO THE PEOPLE OF THE CITY. AND THAT WAS IN 2024. BEFORE THERE WERE TARIFFS, BEFORE THERE WERE ADDITIONAL, UM, INFLATION PRESSURES, GAS, ALL OF THE IMMIGRATION CONCERNS. IT'S ALMOST EIGHT O'CLOCK. IT'S A SECOND DAY OF SCHOOL FOR LONG BEACH UNIFIED. MY DAUGHTER AND I SHOULD BE AT HOME GETTING READY FOR BED. THERE ARE 900 FAMILIES AT HER SCHOOL, BUT ONLY ONE OF US COULD COME OUT HERE. WE, THROUGH DINNER, RUSH THROUGH HOMEWORK. WE'RE STILL DOING HOMEWORK. WE, WE SHOULD BE FOCUSING ON THE REAL LIFE THINGS TO TAKE CARE OF OUR FAMILIES. BUT INSTEAD WE'RE HERE YET AGAIN, IT'S A GROUNDHOG DAY. WE'RE BEGGING YOU THIS TIME. IT'S 12%. I I, I NEARLY DROPPED THE PAPERS WHEN I SAW THAT. THEY HAD SAID LAST YEAR THAT 11%, 8% WAS A ONETIME THING. WE NEED TO SHOW UP OUR RESERVES. NOW. IT'S 12%. I I, I MEAN, I WOULD LOVE TO BE ABLE TO HAVE THAT MUCH MONEY IN MY RESERVES. YOU KNOW, I I, AND THEN ON THE WAY HERE, I WORK AT THE UNIVERSITY NEXT DOOR THERE'S A CAR WASH, COAST CAR WASH. AND, UH, THE LONG BEACH WATCHDOG REPORTED THAT, THAT PEOPLE WERE, UM, ARRESTED BY BOUNTY HUNTERS AND ICE AND ROUNDED UP. AND THAT WAS ON AUGUST, I THINK 17TH. ON THE WAY HERE. I DROVE BY ANOTHER CAR WASH AND, AND WE, AND WE CAME FROM SCHOOL. THERE ARE 900 FAMILIES THERE. PEOPLE ARE AFRAID TO SEND THEIR CHILDREN TO SCHOOL. PEOPLE ARE AFRAID TO WALK WITH THEIR CHILDREN TO SCHOOL. I REMEMBER LAST JUNE WHEN FAMILY HELD THEIR CHILDREN BACK FROM THE LAST WEEK OF CLASS CELEBRATIONS. SO THERE ARE REAL LIFE STRESSES THAT I THINK ARE DIFFICULT TO FEEL IN A ROOM LIKE THIS. AND I HOPE THAT YOU WILL CONSIDER THAT FOR EACH OF THE 10 OR 11 PEOPLE. I MEAN, IT'S EASY TO JUST KIND OF GO NUMBERS AND SAY, OH, THAT'S 10 OR 11 PEOPLE, BUT I HOPE YOU'LL DO WHAT THE POLITICIANS DO, WHICH IS TO SAY THAT EACH PHONE CALL THAT COMES IN, EACH PERSON THAT VISITS, THAT REPRESENTS A LARGER [00:50:01] NUMBER OF PEOPLE WHO WORKED A SWING SHIFT AT NIGHT. OR, YOU KNOW, A LOT OF OUR FRIENDS HAVE BABIES OR TODDLERS AND, UM, MY EIGHT YEAR OLD'S DOING GREAT OVER THERE ON THE CORNER. BUT IT'S, IT'S HARD TO COME HERE ON A WEEKNIGHT IF YOU WORK AN EVENING SHIFT IF YOU'RE ON CALL. SO I REALLY HOPE THAT YOU'LL CONSIDER THE ECONOMIC HARDSHIP. AND THEN BRIEFLY, I KNOW MY TIME IS ELAPSING. I WOULD URGE YOU TO CONSIDER INCREMENTAL WATER AND SEWER RATES INSTEAD. AND THE, UM, THE EQUITY CONCERNS REGARDING THE COMMISSION'S MAJORITY PROTEST SYSTEM. I UNDERSTAND ON PAPER THAT SOUNDS GOOD, BUT I WOULD ARGUE RESPECTFULLY, THAT'S A BIT OF A SMOKE AND MIRRORS GAME. AGAIN, I WORK AT THE COLLEGE, WE TALK A LOT THESE DAYS ABOUT AFFIRMATIVE CONSENT, WHICH MEANS SOMEONE HAS TO SAY, YES, I WANT TO DO THIS BEFORE IT'S OKAY TO DO THAT. THE MAJORITY CON, THE MAJORITY PROTEST PROCESS, FROM WHAT I CAN TELL FOCUSES ON A, IF YOU DIDN'T SAY NO, THEN IT'S OKAY TO DO THAT TO YOU. SO I KNOW AT THE END OF THIS MEETING, YOU'RE GONNA COUNT UP THE MAYBE 500 PEOPLE THAT EMAILED, AND YOU'RE GONNA SAY, WELL, THAT'S NOT ALL THE NUMBER OF PEOPLE IN LONG BEACH. SO THAT MUST MEAN THAT EVERYONE IS OKAY WITH THAT. MEANWHILE, THE, THE PAPERS THAT YOU SENT, THEY'RE IN ENGLISH, AND THEN THERE'S FOUR BRIEF PARAGRAPHS THAT SAYS IF YOU SPEAK TAG GALLAGHER KAMAI OR SPANISH, YOU CAN WRITE TO THIS PERSON AN EMAIL IF YOU HAVE INTERNET ACCESS OR A SMARTPHONE, OR YOU CAN CALL AND THEN WE'LL MAIL YOU THE, THE FULL PRINTED THING. SO RIGHT NOW, THE ONLY THE PEOPLE WHO SPEAK ENGLISH GOT TO READ THE FULL RATE. RATE GRACIOUS AND THE, AND THE RATIONALE. SO I'D URGE YOU CONSIDER, FOR THE SAKE OF EQUITY, PLEASE THINK ABOUT THE REAL LIFE ECONOMIC IMPACTS. THANK YOU SO MUCH. THANK YOU SO MUCH. OKAY. I BELIEVE THAT IS OUR LAST SPEAKER. UM, OKAY. THE PUBLIC PROTEST PERIOD IS NOW CLOSED. WOULD ANY OF OUR COMMISSIONERS LIKE TO MAKE A COMMENT? COMMENTS, ANYTHING? OKAY, CAPTAIN. OKAY. UM, OUR CITY ATTORNEY, GLORIA, DID YOU WANNA SAY SOMETHING? YEAH, GO AHEAD. OKAY. UM, I, I DON'T EVEN KNOW WHERE TO BEGIN. UM, AFFORDABILITY IS A, I'M SORRY, MA'AM, DID YOU WANNA SAY SOMETHING? SURE. CAN SHE COME UP TO THE PODIUM? HOW DO WE DO THAT, MARSHA? I, I ACTUALLY CLOSED THE PERIOD. LET ME ASK MARSHA'S ADVICE ON, CAN WE REOPEN FOR ONE MORE SPEAKER? I DIDN'T HEAR. OKAY. IT'S YOUR DISCRETION. IT'S YOUR DISCRETION. YOUR DISCRETION. OH, I, I WOULD LIKE TO HEAR YOU. PLEASE COME UP. THANK YOU VERY MUCH. RIGHT. LIGHTS? YEAH. . THANK YOU. MY NAME IS GLENDA STRICK AND I'VE BEEN LIVING IN LONG BEACH FOR OVER 40 YEARS. WHAT I CAME TODAY IS TO TALK ABOUT THE FINANCIAL SITUATION WITH JUST NOT MYSELF, BUT OTHER, I'M A SENIOR CITIZEN, AS YOU CAN SEE, AND SOCIAL SECURITY IS ALL I HAVE. AND THAT'S NOT A LOT. AND YOU'RE ASKING FOR, UH, 12% ON EACH SEWER AND GAS. AND THAT IS A LOT. THAT'S BEYOND MY ABILITY RIGHT NOW. IN ADDITION TO THAT, I HAD A PAST PAYMENT THAT WAS DUE. I WAS, UM, OFFERED A PAYMENT PLAN, I ACCEPTED IT, AND IT WAS A SPECIFIC DATE TO PAY THE BILL. I MISSED THAT DATE BY TWO DAYS, AND THEN I WAS REMOVED FROM THE PLAN. IT'S NOT THAT I DON'T WANNA PAY IT, IT'S JUST THAT WHY WOULD YOU ELIMINATE ME FROM THAT PLAN TO ALLOW ME TO PAY MY BILL, INCLUDING THE LATE THE BILL THAT IS PAST DUE AND NOT BE ABLE TO PAY IT AT ALL. SO, UM, I WANNA KNOW ALSO WHY, AND THERE'S A LATE CHARGE ASSESSED TWO DAYS, THREE DAYS AFTER YOU MISSED THE DATE, WHICH AS WE ALL KNOW, IS ADDED TO YOUR AMOUNT THAT YOU OWE. SO I'M SURE THERE'S JUST, I'M JUST, JUST NOT ME. THERE ARE OTHER CITIZENS THAT ARE OWE THAT ARE HAVING TROUBLE. ARE THERE ANY OTHER PROGRAM THAT WE CAN USE TO MAKE OUR PAYMENTS? OR IF WE CAN JUST STAY ON ONE AND BE ALLOWED TO DO IT, THAT WOULD BE GREAT. SO MAYBE, I DON'T KNOW. AND I'M SURE I DON'T KNOW ABOUT A LOT, BUT IF I CAN FIND OUT, THAT WOULD BE HELPFUL. AND I'M NOT JUST SPEAKING FOR ME AGAIN, I'M SPEAKING FOR ALL THE SENIOR CITIZENS. I UNDERSTAND, MA'AM. SO AFTER THE MEETING, UM, I'LL HAVE SOMEBODY AVAILABLE TO TALK TO YOU ABOUT OUR ASSISTANCE PROGRAMS AND DEAL WITH YOUR ACCOUNT. YEAH, WE'LL TRY TO FIGURE SOMETHING OUT RIGHT NOW AFTER THE MEETING. AFTER THE MEETING, YES. THANK YOU VERY MUCH. THANK YOU, MA'AM. THANK YOU. THANK YOU SO MUCH. UM, A COMMENT FROM COMMISSIONER CORDERO. YES. UM, IT WAS, WAS IT GLENDA STRICK? I'M SORRY? IT WAS YOUR NAME. GLENDA STRICK. GLEN. [00:55:01] GLEN, THANK YOU FOR THAT. AND YOU BRING UP A VERY GOOD POINT AND, UM, WHAT, WHAT, WHAT NEEDS TO HAPPEN WITHIN THE STATE IS A LOW INCOME RATE ASSISTANCE AND, AND THEY'RE WORKING ON IT. IT'S TAKEN A WHILE AND WE'VE HAD SOME PEOPLE WITHIN THE LEGISLATURE SUPPORT THAT. UM, BUT IT'S GONNA TAKE QUITE A BIT OF, OF EFFORT, UM, ON, ON BEHALF OF, YOU KNOW, THIS BODY, BUT MORE IMPORTANTLY, METROPOLITAN WATER DISTRICT, WHO IS, UM, LEADING A LOT OF THAT EFFORT AT THE STATE LEVEL FOR AFFORDABILITY, UH, OF RATES. UM, BECAUSE AS, AS OUR GENERAL MANAGER SAID, UM, WE'RE FACING A LOT OF DIFFERENT FACTORS, WHICH I KNOW DOESN'T MAKE ANYBODY FEEL GOOD. AND IT'S A REALLY TOUGH CALL. AFFORDABILITY IS AN ISSUE THAT'S DISCUSSED QUITE A BIT WITHIN UTILITIES, ESPECIALLY WATER. AND AS YOU ALL KNOW, WE'RE WE'RE FACING ISSUES, UH, ON THE COLORADO RIVER WITH, UH, POSSIBLE REDUCTION IN ALLOCATIONS. THE STATE WATER PROJECT WE HAD, UH, LAST YEAR, SOME OF THE COUNTIES I THINK IN THE VENTURA COUNTY HAD TO REDUCE WATER ON CERTAIN DAYS BECAUSE THERE WASN'T ENOUGH WATER THAT THEY WERE ABLE TO GET ALLOCATED FROM THE STATE WATER PROJECT. OUR, OR OUR CITY HERE GETS WATER FROM THE COLORADO RIVER AND THEN WE HAVE LOCAL GROUNDWATER AS WELL AND THEN RECYCLING. SO, BUT WE'RE HAVING TO DEAL WITH EMPLOYEE RETENTION, YOU KNOW, INFRASTRUCTURE, UM, THE DEMAND REDUCTION, WHICH IS A BIG DEAL WHEN YOU HAVE WATER, PEOPLE DEMAND LESS, I THINK, ISN'T IT LIKE WE'RE NOW USING WATER AS THE 1950S THAT WE USED. YEAH, 1960S. YEAH, 1960S. WE'RE USING THE SAME AMOUNT OF WATER THAT WE USE IN 1960S BECAUSE WE'VE ALL, YOU'VE ALL DONE SUCH A GOOD JOB IN, IN CONSERVATION. SO KIND OF A CATCH 22, YOU USE LESS, AND THEN YOU HAVE, WE DON'T, WE HAVE TO PAY MORE BECAUSE THE FI THE COSTS ARE HIGH FIXED COSTS. UM, AND THEN THE RATES FROM METROPOLITAN AND WATER REPLENISHMENT DISTRICT, WE ARE WORKING ON THE AFFORDABILITY ISSUE, UH, AT, IN DIFFERENT LOCATIONS. SO PLEASE KNOW THAT WE ARE DOING THAT. IT IS NOT AN EASY NIGHT FOR, FOR ANY OF US. UM, THE RESERVE IS SOMETHING THAT WE DO HAVE TO CONSIDER IN CASE THERE IS SOME SORT OF EMERGENCY, WHICH VERY WELL COULD HAPPEN SOMEDAY. AND SO THESE ARE THE THINGS THAT WE HAVE TO CONSIDER. WE HAVE A GREAT STAFF WHO WILL BE HERE TO SUPPORT YOU. AND WE DO HAVE SOME THINGS IN LONG BEACH THAT COULD POSSIBLY HELP, UH, PEOPLE THAT HAVE, I'M SORRY, I LOOKED AT THE SLIDE ABOUT THE INFRASTRUCTURE INVESTMENT AND WHAT I WAS WONDERING IS IF THAT IS SOMETHING THAT, SORRY. THAT'S IT. THAT'S A GOOD QUESTION. AND SO I'M HAPPY TO SPEAK WITH YOU AFTER THE HEARING AND ADDRESS YOUR QUESTION. THANK YOU VERY MUCH FOR THAT QUESTION. OKAY. UH, THE PUBLIC PROTEST PERIOD IS NOW CLOSED. THANK YOU. UM, THE CITY ATTORNEY NOW WOULD LIKE TO MAKE A FEW COMMENTS. UH, DURING THE COURSE OF THE PROTEST PERIOD, WHICH IS NOW CLOSED, UH, WE RECEIVED A TOTAL OF 392 PROTESTS, BOTH VERBAL AND WRITTEN. 51 OF THOSE WERE MAIL-IN LETTERS. 325 WERE EMAILS AND 16 WERE IN-PERSON PROTESTS MADE THIS EVENING, NONE OF WHICH HAVE BEEN CERTIFIED BY THE CITY CLERK. BUT EVEN ASSUMING THAT ALL OF THESE PROTESTS ARE CERTIFIED BY THE CLERK, THIS NUMBER DOES NOT REPRESENT A MAJORITY OF THE RATE PAYERS, WHICH IS ABOUT 45,001 AS REQUIRED BY STATE LAW. THEREFORE, THE PROTEST IS UNSUCCESSFUL AND THE PROPOSED INCREASE WILL BE CONSIDERED FOR FINAL APPROVAL BY THE CITY COUNCIL AT ITS MEETING ON SEPTEMBER 9TH, 2025. IF THE CITY COUNCIL APPROVES THE PROPOSED INCREASE ON SEPTEMBER 9TH, 2025, THE NEW RATES ADOPTED BY THE BOARD ON JUNE 17TH CAN TAKE EFFECT ON OCTOBER 1ST, 2025. UH, SEEING NO OTHER COMMENTS, UM, THE PUBLIC [ADJOURNMENT] HEARING IS NOW ADJOURNED. NO VOTE. THIS IS LIKE THE WORST MEETING IN THE WHOLE WORLD. IT'S REALLY HARD. YEAH. * This transcript was created by voice-to-text technology. The transcript has not been edited for errors or omissions, it is for reference only and is not the official minutes of the meeting.