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CONTACT: Kyle DeVine               June 6, 1996   CPUC - 521
         213-897-4225                     (A.95-09-005...009)

             CPUC APPROVES REVENUE INCREASE FOR CWS

    The California Public Utilities Commission (CPUC) approved
today revenue increases for California Water Service (CWS)
Bakersfield, Hermosa-Redondo, Stockton, East Los Angeles, and
Visalia districts.
    CWS requested a total revenue increase of $12.7 million or
19.5 percent for these five districts to cover increased operating
costs.  The CPUC approved a $7.8 million or 8.3 percent increase
which provides a 9.32 percent rate of return and 10.3 percent
return on common equity for 1996.  The increase is effective in
five days.  The breakdown for the districts follows:

BAKERSFIELD
    The Bakersfield district serves 54,676 customers in
Bakersfield in Kern County.  The revenue increase will be $2.5
million or 12 percent in 1996.  The increase includes costs to
replace mains and other facilities.  The service charge will
increase $0.15 a month, from the current $6.55 to $6.70.  Water
use rates will increase $0.08, from the current $0.58 per hundred
cubic feet of water used to $0.65.  The monthly residential bill
for the systemwide average of 4,601 cubic feet of water will
increase $3.44, from the current $33.38 to $36.82.

EAST LOS ANGELES
    The East Los Angeles district serves 26,340 customers in East
Los Angeles and Commerce in Los Angeles County.  The revenue
increase is $939,000 or 7 percent in 1996.  The service charge
will increase $0.36 a month, from $8.60 to $8.96.  Water use rates
will increase $0.06 per hundred cubic feet, from the current $1.24
to $1.30.  The monthly residential bill for the systemwide average
of 1,560 cubic feet of water will increase $1.63, from the current
$27.71 to $29.34.                      -more-



HERMOSA/REDONDO
    The district serves 24,880 customers in Hermosa Beach, Redondo
Beach and Torrance in Los Angeles County.  The revenue increase
will be $2.7 million or 24 percent in 1996.  This includes a $1
million increase that went into effect January 1996, to cover
costs to purchase water at a time when CWS had closed three wells
because of poor water quality.  The service charge will increase
$1.90, from the current $5.95 to $7.85.  Water use rates will
increase $0.15 per hundred cubic feet, from the current $1.58 to
$1.73.  The monthly residential bill for the systemwide average of
1,790 cubic feet of water will increase $4.55, from the current
$34.28 to $38.83.

STOCKTON
    Stockton serves 40,833 customers in Stockton in San Joaquin
County. The revenue increase will be $602,000 or 4.5 percent in
1996.  The increase is lower than other districts because CWS was
able to draw water at less cost than anticipated from the Stockton
East Water District.  The residential monthly service charge will
increase $0.20, from the current $7.92 to $8.12.  Water use rates
will increase $0.032, from the current $0.7087 per hundred cubic
feet for the first 30,000 cubic feet of water to $0.7407.  The
monthly residential bill for the systemwide average of 1,993 cubic
feet of water will increase $0.84, from the current $22.04 to
$22.88.

VISALIA
    Visalia serves 26,895 customers in Visalia in Tulare County.
The revenue increase will be $1 million or 16 percent in 1996.
The monthly service charge will increase $0.10, from the current
$5.50 to $5.60.  Water use rates will increase $0.06 from the
current $0.4109 to $0.4778 per hundred cubic feet of water used.
The monthly residential bill for the systemwide average of 3,813
cubic feet of water will increase $2.65, from the current $21.17
to $23.82.

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