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ECAF: One-Time Rate Hike Approved

After a lengthy debate focused on the DWP’s loss of public trust, the City Council voted 8-6 Tuesday to approve a one-time 4 percent increase in electricity rates equal to .5 cents per kilowatt/hour and voted unanimously for a .1 cent increase per kw/h for green energy and energy efficiency.

The vote represented a repudiation of DWP management, the DWP Commission and Mayor Antonio Villaraigosa’s demand for a .8 cent per kw/h perpetual increase as part of a 2.7 cent per kw/h 12-month increase equal to an average of a 20 to percent hike. The mayor wanted .3 cents in a so-called lockbox for green energy.

The DWP Board, after the vote, called a special meeting consider the Council’s recommendation at 4:30 p.m. at the DWP Headquarters downtown.

Read the full story at, watch video of the votes on six separate motions and what they mean.

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28 Responses to ECAF: One-Time Rate Hike Approved

  1. Anonymous says:

    Do we need a DWP Commission????

  2. Walter Moore says:

    I don’t think this vote represented repudiation of anyone but taxpayers.
    The DWP made a massive profit last year, doled out five years’ worth of sweetheart union deals in December — like Santa Claus — to the unions, and is sitting on a mountain of cash, and now WE have to pay HIGHER rates?! During a frikkin’ recesssion?!
    We got screwed.
    The City Council, after creating a brief illusion that it might actually do the right thing, screwed us again and as usual.
    This means war. I want every single one of those SOB’s out of office ASAP.

  3. Anonymous says:

    Villaraigosa and Alarcon. Birds of a feather. Loosers!!

  4. anonymous says:

    Please tell us more.
    How much did they raise it by?

  5. Honestly says:

    In LA not many people give a damn about recalls, fee increases or layoffs. Its the old attitude of ” oh well, polictians are crooks”.

  6. David in Tarzana says:

    Walter is right. Once again they puff up and rebuff the most blatant attempts by the crooks in control, only to throw the taxpayers under the bus in the end. They are all pitiful, weak people that have only their self-interests at heart. Shame on them all.

  7. Anonymous says:

    Is this where we come to talk stoopid about electric rates and make racist remarks about filthy Messikans?
    A year ago the average price for electricity in California was $0.1505/KWh Edison’s GS1 rate is $0.177/KWh. …and those crimmmminals in City Hall have the nerve to raise your rates to $0.121/KWh???
    …and the nerve of that Crummmmy Mayor, wanting to end the pillage of Four Corners and stop the poisoning of the air, ground, and waters of the Colorado river.
    Hang ‘em!

  8. James says:

    I agree with Walter Moore, but I would start with Alarcon and Janice Hahn who set this fake deal up to help the Mayor get his bypass-the-tax transfer of ratepayer “surplus” to the City’s General Fund.
    Janice Hahn will be losing the Lt. Governor raise to Gavin Newsom, so you will need to recall her when she returns to her “safe” City Council seat.

  9. Anonymous says:

    You all few so called voters who voted these fine politicians in…should foot the bill and pay for the rest of us who did not vote for these “Fools”…What a sham and shame….

  10. Tell The Truth says:

    Real environmentalists should flush out the stupidity of these “mainstream” environmental groups who spoke today on Agenda Item 15. They blindly believed the LA Mayor without bothering to look into the facts.
    To those environmental groups who supported Agenda Item 15, if you really think DWP should “get off coal” and onto Solar, then why not demand that the $180 to $200 million dollar surplus be directed into renewable Energy now to fast-tract the Mayor and your desire to ween LA off fossil fuel?

  11. Anonymous says:

    Where did our nation go wrong? Clinton policies….Bush 1&2 policies…..Nixon policies….Carter policies….Reagan policies…????!!!…The common folk always have to foot the bill no matter where they live….The Empire is definitely striking back….God Help US….

  12. Anonymous says:

    Anheuser Busch (with Union Employees), the Hollywood Chamber (included remarks about production companies), and the LA Chamber all spoke against the rate increase saying that it will chase out businesses in already the worst economy facing LA.
    This should have been shot down:
    1. Putting the cart before the horse by having no plan but asking for monies.
    2. Last week, the Mayor admitted that this was about transferring surplus money to the City general fund (a tax).
    3. The Mayor and City Council are REACTIONARY, not proactive in their approach. Its now 2010 and the Mayor has to keep his promise at ANY PRICE to meet his self-imposed 20% renewable by 2010. Now the working class taxpayers and small business will suffer because of the Mayor, Janice Hahn, Perry, Garcetti, et al.
    The only problem is that the poor, middle class, and private Unions have to pay the price of the FAILURES of this Mayor and City Council.

  13. Anonymous says:

    The council members should open their homes 24/7, so their neighbors can use the council members’ water and appliances. This would be one way to help taxpayers save money…and another way to conserve…This exciting way of living can be a shining example of how the City of Angels transformed itself into “The Commune of the Angels”

  14. Normally a Nice Person says:

    I’m usually polite and respectful, but the Mayor and City Council just Shit on the face of the working poor, the hard working taxpayers, small businesses, and their children.

  15. Walter Moore says:

    Normally –
    I experienced the same phenomenon today. When I found out they voted to raise our rates, I heard an endless stream of profanity in a familiar voice — my own. Luckily, I had the top up in the car, and as far as anyone knew, I was simply using my hands-free cell phone.
    The unions and their puppets got away with this — for now — by hiding what they were really doing behind two fake issues.
    What they were really doing was taking more of our money away, during a recession, for their own personal gain, even though they DWP is drowning in cash.
    The two fake issues they misled the public with were: i) a false claim that this was necessary to pay for “green” power; and ii) a false claim that this was necessary to prevent the DWP from becoming insolvent.
    We need to spread the word to friends and family, and we must replace these people. It’s not just about being ripped off any more. The economic survival of the city is actually at stake now.
    If we do not replace these people, Los Angeles will be the new Detroit.

  16. Anonymous says:

    Yeah what did you think the council was going to do. I mean honestly. You really thought they were going to redo the city charter during an economic slump to end money transfers that are keeping city services barely breathing? Please
    Its now 2010 and the Mayor has to keep his promise at ANY PRICE to meet his self-imposed 20% renewable by 2010.
    The state govt mandated 20% by 2010 with penalties and this been in the news for the past half a decade and this guy still thinks it’s because of the mayor. You sir are a genius
    A year ago the average price for electricity in California was $0.1505/KWh Edison’s GS1 rate is $0.177/KWh. …and those crimmmminals in City Hall have the nerve to raise your rates to $0.121/KWh???

  17. Anonymous says:

    Detroit has David “Dave” Bing…Who does LA have?

  18. Anonymous says:

    To March 30, 2010 8:43 PM,
    Its too bad that you don’t have your facts straight. The state mandate is on Investor Owned Utilities such as PG&E and Edison, not municipalities such as DWP, Burbank, and Pasadena.
    And besides, this mayor couldn’t make it (like the Los Angeles Magazine cover said he is a FAILURE) despite being in office for more than one term.
    So, instead of thinking about his own ego and future, he should bite the bullet and delay implementation.
    Also you forgot to acknowledge the fiasco last week of double talk and back-stepping when the Mayor, in writing directly correlated the rate increase into “SURPLUS” directly to the City General Fund, NOT RENEWABLE ENERGY.
    Now put down you bong,get some fresh air, and try to clear your head.

  19. Anonymous says:

    It would be okay to nickel and dime…but let’s face it, all governmental levels are taxing the populace out of existence….Wall St. was bailed out….Why not bail out Main St., Homeowners, City/States… etc…Give me a tax break…and I promise I will a good citizen from now on….and try to abide by all of the new rules that seem to be convenient and self-serving….I promise….

  20. Anonymous says:

    Ladies and Gentlemen…You all have been hoodwinked! You have to commend the powers that be…they sure know how to work the system….we’ve just seen politics at its best….don’t blame the occupiers of power….don’t hate them because they are beautiful…

  21. Anonymous says:

    Detroit has David “Dave” Bing…Who does LA have?
    ANSWER: David Freeman, at least for a few more weeks.

  22. Anonymous says:

    8:53, municipal utilities were included in the State RPS as of September 2009. But I guess you’re smarter than me because you went on google for 5 mins to do research about something you should have known before you tried to have an opinion.
    And since all rates are subject to a 10% utility tax and 8% power tax, it’s pretty obvious to anyone who understands basic algebra that increasing the rates automatically increases the amount going into the general fund.
    It’s only here that people wanna blow it out of proportion. And people like yourself who don’t understand the charter and/or basic algebra think that the mayor can actually put 100% of the net rate increase directly into the General Fund without getting sued. Genius

  23. Anonymous says:

    Paul Krekorian stood courageously against DWP increases, transforming him into a instant mayoral candidate that has the people’s back.

  24. Anonymous says:

    To March 30, 2010 9:18 PM,
    No one’s talking about suing. Its just all the BS the Mayor has been blowing out of his ass last week and all the name brand Paper Environmental groups who look very foolish in their support of the mayor knowing that the increase has nothing to do with Green Power and everything to do with transfers to the general fund.
    Yes, it may be legal, but that doesn’t make it right and it doesn’t make the Mayor or the City Council (Garcetti) honest – they are not.

  25. Anonymous says:

    HOUND the 8 City Council persons who voted for the rate increase (Don’t every forget):
    Garcetti, Perry, Wesson, La Bonge, Rosendahl, Koretz, Reyes
    PRAISE and email the 6 that voted against it: Smith, Zine, Parks, Huizar, Alarcon, Kriokorian.

  26. Anonymous says:

    10:03, thanks for not understanding what I meant when I used the word suing. And for still thinking it’s legal for the mayor to directly transfer the rate increase to the General Fund when it isn’t.
    In the portion of the mayor’s briefing published on this blog, there were 12 talking points. 10 of them address the implications of the rate hikes on green power, comparison with neighboring utilities, and its driving forces, including AB 32 that people here still don’t know about. The other two concern the rather obvious fact that an increase in rates (AKA revenue) correlates with an increase in taxed revenue. No kidding. For whatever stupid reason, it’s being treated as a smoking gun here when it’s just how a utility tax works. Meanwhile the other 10 talking points which are more important because they translate to actual programs, are being excluded from discussion so people can pretend the increase has nothing to do with green power. That’s great

  27. Anonymous says:

    “HOUND the 8 City Council persons who voted for the rate increase (Don’t every forget):
    Garcetti, Perry, Wesson, La Bonge, Rosendahl, Koretz, Reyes”
    Who was the eighth cheerleader council member?

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