Alarcon criticizes LA Power rates

State Senator Richard Alarcón is demanding that the Los Angeles Department of Water and Power lower its rates:

"I, and the people of the great city of Los Angeles, look forward to your immediate rollback of the 11 percent fee increase for water services which is, in reality an improper and unlawful tax on the residents of Los Angeles," Alarcon wrote.

The letter also takes issue with the $279 million transferred this year from the Department of Water and Power to Los Angeles' general fund to help balance the city's $5.4 billion budget.

Alarcon noted that the DWP allocated 7 percent of its revenue to the city this year rather than its usual 5 percent, and that the difference, $60 million, equals the estimated amount to be generated by the rate hike.

If an investor-owned utility tried hiking its rates in order to increase profits or pass along money to its executives, the CPUC would have none of it. Publicly-owned utilities should be held to the same standard.