In a packed house at Monterey City Hall, Dave Stoldt, the general manager of Monterey Peninsula Water Management District (MPWMD), said the proposed public buyout is following the will of the voters.
“The goal is a lower cost of operations, same or better quality of service,” Stold said. “Local governance let you have a voice in what’s going on.”
In 2018, voters approved ballot Measure J. That directed the MPWMD to explore the feasibility of purchasing California American Waters (Cal Am) local water infrastructure.
But from the start, Cal Am has insisted the company is not for sale.
“California American Water has been providing water service on the Monterey Peninsula for many decades,” said Cal Am Director of Communications Evan Jacobs. “We plan to continue providing water service on the Monterey Peninsula for many decades.”
In 2018, the company said its Monterey Peninsula assets were worth $1.04 billion dollars, over double the amount offered by the water management district.
Cal Am has until April 30 to respond. At that point, MPWMD’s Dave Stoldt says if Cal Am has not responded, it is tantamount to a rejection.
In that case, the water district could pursue eminent domain, which could force the company to sell. That move would likely set off a lengthy court battle.
Cal Am is one of KAZU's many business supporters.