Para más información en cómo este cambio impactará su factura, llame al 888-237-1333. Notice of Application Filed by California American Water Company to Increase Water and/or Wastewater Rates in 2027 – 2029 for the Northern Division (Application A.25-07-003) Why am I receiving this notice? On July 1, 2025, California American Water Company (California American Water) filed its 2025 General Rate Case Application (A.25- 07-003) with the California Public Utilities Commission (CPUC). As part of the application, California American Water is requesting to increase rates to fund needed infrastructure improvements, water system maintenance, water quality initiatives, safety measures, and business operations, as well as to adjust for inflation. If the CPUC approves the application, forecasted costs will be recovered over a three-year period, affecting your water bill no sooner than January 2027. Why is California American Water requesting this? • California American Water is required to file an application with the CPUC every three years so that water rates accurately reflect the cost of providing safe, clean, and reliable water to customers. • This multi-year plan enables the utility to upgrade and modernize the water system through proactive infrastructure improvements designed to keep water reliable for customers, make its communities safer, prevent small problems from getting bigger and more expensive to fix, increase sustainability, and provide high-quality service, both now and in the future. • Some of the key projects California American Water proposes in this cycle are to: drill new wells, rehabilitate existing wells, add per- and polyfluoroalkyl substances (PFAS)/ perfluorooctanoic acid (PFOA) and hexavalent chromium treatment to affected wells, and replace water mains. How could this affect my water bill? If California American Water’s proposal is approved by the CPUC as filed, beginning in 2027, the average residential bill for each Northern Division Service Area with a 5/8”x 3/4” meter would increase by the following: SACRAMENTO SERVICE AREA AVERAGE RESIDENTIAL BILL INCREASE Year Meter Size Average Use (CGL*) Current Bill $ Increase Proposed Bill % Increase 2027 5/8-inch 69.2 $69.01 $11.28 $80.29 16.34% 2028 5/8-inch 69.2 $80.29 $5.34 $85.63 6.65% 2029 5/8-inch 69.2 $85.63 $6.35 $91.98 7.42% DUNNIGAN WASTEWATER SERVICE AREA AVERAGE RESIDENTIAL BILL INCREASE Year Meter Size Average Use (CGL*) Current Bill $ Increase Proposed Bill % Increase 2027 N/A N/A $51.92 $10.67 $62.58 20.54% 2028 N/A N/A $62.58 $4.16 $66.75 6.65% 2029 N/A N/A $66.75 $4.95 $71.70 7.42% *1 CGL = 100 Gallons These adjustments to rates would allow for Northern Division revenue increases of $22,197,361 in 2027, $8,227,952 in 2028, and $9,793,781 in 2029, which will offset the additional cost of needed infrastructure improvements, water system maintenance, water quality initiatives, safety measures, business operations, and to adjust for inflation. NORTHERN DIVISION PROPOSED REVENUE REQUEST 2027 2028 2029 CUSTOMER CLASS $ Increase % Increase $ Increase % Increase $ Increase % Increase Total $ Increase Residential $12,381,500 22.22% $4,214,726 6.16% $5,388,001 7.42% $21,984,227 Commercial $7,146,350 20.81% $2,576,354 6.20% $3,275,152 7.42% $12,997,856 Industrial $291,315 34.62% $75,360 6.65% $89,659 7.42% $456,334 Public Authority $1,375,600 24.58% $447,575 6.46% $547,563 7.42% $2,370,738 Residential Fire Protection Service $143,218 4.99% $205,725 5.60% $287,875 7.42% $636,818 Private Fire Protection Service $227,182 17.63% $77,597 5.09% $118,881 7.42% $423,660 Residential Flat $27,417 16.23% $0 0.00% $0 0.00% $27,417 Mobile Home Residential (Sewer) $21,207 21.90% $7,849 6.65% $9,343 7.42% $38,399 Commercial (Sewer) $251 21.90% $93 6.66% $111 7.42% $455 Miscellaneous Revenues $583,321 $622,673 $77,198 $1,283,192 Total $22,197,361 $8,227,952 $9,793,781 $40,219,094 How does the rest of this process work? This application will be assigned to a CPUC Administrative Law Judge, who will consider proposals and evidence presented during the formal hearing process. The Administrative Law Judge will issue a proposed decision that may adopt California American Water’s application, modify it, or deny it. Any CPUC Commissioner may sponsor an alternate decision with a different outcome. The proposed decision, and any alternate decisions, will be discussed and voted upon by the CPUC Commissioners at a public CPUC Voting Meeting. Parties to the proceeding may review California American Water’s application, including the Public Advocates Office, which is an independent consumer advocate within the CPUC that represents customers to obtain the lowest possible rate for service consistent with reliable and safe service levels. For more information regarding the Public Advocates Office, call (415) 703-1584, email PublicAdvocatesOffice@cpuc.ca.gov, or visit PublicAdvocates.cpuc.ca.gov. Contact CPUC Please visit apps.cpuc.ca.gov/c/A2507003 to submit a comment about this proceeding on the CPUC Docket Card. Here you can also view documents and other public comments related to this proceeding. Your participation by providing your thoughts on California American Water’s request can help the CPUC make an informed decision. If you have questions about CPUC processes, you may contact the CPUC’s Public Advisor’s Office at: Phone: 1-866-849-8390 Email: Public.Advisor@cpuc.ca.gov Mail: CPUC Public Advisor’s Office 505 Van Ness Avenue San Francisco, CA 94102 Please reference California American Water’s Application A.25-07-003 in any communications you have with the CPUC regarding this matter. Copies of the proposed application and related exhibits are also available to review at the CPUC’s Central Files Office in San Francisco by appointment. Where can I get more information? Contact California American Water Phone: 1-619-446-5520 Email: cawc.customeradvocacy@amwater.com Mail: Attn: Customer Advocacy 655 W. Broadway, Suite 1410 San Diego, CA 92101 Obtaining a Copy of the Application A copy of California American Water’s proposed GRC application and related exhibits may be reviewed online at amwater.com/rate_app or can be viewed in person at California American Water’s offices at the locations below: Los Angeles County - 8657 Grand Avenue, Rosemead, CA 91770 Monterey County - 511 Forest Lodge Road, Pacific Grove, CA 93950 Sacramento Area - 4701 Beloit Drive, Sacramento, CA 95838