California American Water Files Motion to Dismiss Monterey Peninsula Water Management District's Condemnation Suit

Pacific Grove, Calif. (February 26, 2024) – Today, California American Water filed a motion asking the Monterey County Superior Court to dismiss the Monterey Peninsula Water Management District's (District) lawsuit seeking a government takeover of the company's Monterey Peninsula water system through eminent domain. The motion argues that the District’s lawsuit fails to meet fundamental legal requirements necessary to proceed with such a significant action and should be dismissed. The motion is scheduled for a hearing by the court on April 26, 2024.

"We remain committed to serving the Monterey Peninsula community with safe, reliable water service, and we will continue to do so," said Evan Jacobs, Senior Director of External Affairs for California American Water. "The condemnation suit is going to waste millions of dollars in legal fees negatively impacting our residents, and we believe the District has neither the legal standing nor technical expertise to provide retail water service on the Monterey Peninsula."

California American Water’s motion asserts that the District lacks legal authorization from both the California Legislature and the Monterey County Local Agency Formation Commission (LAFCO) to become the retail water service provider on the Monterey Peninsula. In addition, California American Water asserts that the District’s lawsuit improperly seeks to take property outside the boundaries of the District’s territory.

"The residents who must pay the taxes and fees to support the District deserve sustainable water supplies, not more litigation and an unnecessary waste of District resources," added Jacobs.

California American Water and its predecessor companies have operated the Monterey Peninsula’s water system for more than 60 years. The system currently serves roughly 100,000 people with a network of over 680 miles of pipeline and over 100 storage tanks. It is one of the most complex water systems in California.

California American Water, a subsidiary of American Water (NYSE: AWK), provides high-quality and reliable water and wastewater services to approximately 700,000 people.

Media Contacts

Josh Stratton

External Affairs Manager