NEWS RELEASE


Contact: Kristine Norquist
Communications Specialist
San Diego Regional Chamber of Commerce
(619) 544-1381 or (619) 544-1364



June 24, 2004


Water Rates Will Not Increase, Thanks to Council Vote


(SAN DIEGO, CA)--On June 22, the San Diego City Council deadlocked 4-4 on a measure that would have increased water rates for area business and large consumers.

The San Diego Regional Chamber of Commerce applauds Mayor Dick Murphy and Council members Scott Peters, Jim Madaffer and Ralph Inzunza for voting against the measure, which would have significantly increased water rates for businesses, by as much as 29 percent.

"The business community appreciates the votes of Mayor Murphy and Council members Peters, Madaffer and Inzunza for their support and understanding on this measure," said Jessie J. Knight, Jr., president and CEO of the San Diego Regional Chamber of Commerce. "The business community would have been unfairly burdened under this plan."

While the water measure would have reduced base fees it would have increased consumption charges for each user, placing an unfair burden on businesses. The measure would not have affected the City's overall water revenue, which would have remained the same.

Just two years ago, the Council adopted a compromise six percent water rate increase for five years by allocating 50 percent of the increase to the base and 50 percent to the commodity charge which the business community agreed to. This rate scenario ensured that the city's capital improvement program was fully funded. It was a fair and equitable solution for all users, unlike this more recent rate scenario's reversal, which the Chamber did not support.

A number of local business and community leaders testified before the Council in opposition to the measure, and their support and efforts are also applauded. It is increasingly critical that during these tough fiscal times, all parties work together in the best interests of our region.

Council members Donna Frye, Charles Lewis, Michael Zucchet and Toni Atkins voted in favor of the water measure. Councilman Brian Maienschein was absent due to illness.

For more information regarding the Chamber's position on this or other measures, please contact Kristine Norquist at (619) 544-1381.

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