Everything you need to know about TOAV’s claims (May 12, 2017)

… the current rate structure would stay in place if the Town acquires AVR.

TOAV Feasibility Study, 2014

Even if the town bought the water company, rates aren’t going to go down.

Rick Roelle, candidate for Apple Valley town council, 2014

For the record, the Town has never said it will lower rates.

post by TOAV on its Facebook page, 2015

Apple Valley Mayor Pro Tem Barb Stanton recently told the Daily Press she believes water rates will go down once the town pays off a bond that would be used for the purchase. [Webmaster note: That is, only after 30 years!]

Assemblyman discusses benefits, pitfalls of water system acquisition, Daily Press, 2015

[Q:] Are you going to lower rates?

[A:] We cannot promise to reduce rates after acquisition, but we will do our utmost to stabilize them.

H2Ours website (TOAV), 2016

For years, the whole focus of the TOAV’s hostile take-over of Liberty Utilities was the elimination of all that horrible profit. Any reasonable person would assume, then, that a takeover by the TOAV would result in a reduction of those rates. As you can see, though, TOAV acknowledges that they will not be lowering rates, and won’t even promise to keep rates stable.

In fact, if you look at the numbers published by the TOAV regarding the financing of the hostile take-over, you’ll see that TOAV is depending on the very water rate increases they decry, as those rates are essential to the success of the seizure.

In other words, TOAV plans on taking at least as much money as Liberty Utilities, but instead of the money going to a local business, most of the money will be going to outside creditors to service the massive debt (up to $150 million, at up to 12 percent interest) that will be necessary for TOAV to purchase Liberty Utilities and enough water rights to allow them to control our water, with the rest of it going who knows where.

The only way TOAV can deliver on its promise of stable rates is by raising taxes through the roof, but of course they’re promising that would never happen.

Executive summary: If this deal goes through …
The TOAV gets The citizens get
  • No reduction in water rates, and probably increases.
  • A mountain of debt.
  • No local opposition to water rate increases.
  • No outside agencies protecting us against water rate increases.
  • No guarantee that those running the water system are competent.
  • No guarantee that those running the water system are available when needed, or polite or helpful when reached.

— Greg Raven, Apple Valley, CA