Caltrans, Cal Water in street fight
A Caltrans project to improve highways 20 and 70 in Marysville could mean a large rate hike for water customers in the city, according to a lawsuit filed last week against Caltrans by California Water Service Co.
Moving water lines for the project, which is scheduled to begin next spring, will cost an estimated $3 million, resulting in "a substantial rate increase" for Cal Water's 3,700 Marysville customers, according to the Yuba County Superior Court lawsuit.
"We will continue to work until the courts tell us not to," Caltrans spokesman Mark Dinger said. Caltrans does not comment on the particulars of pending lawsuits, he said.
The $41.5 million project will include reconstructing portions of E, 10th, Ninth and B streets, including upgrading curbs and sidewalks to comply with the Americans with Disabilities Act. Left turn lanes on 10th Street will be added, reducing the width of the median strip.
Caltrans has "demanded" that Cal Water relocate its facilities, according to the lawsuit, filed by Pasadena attorney Timothy Gosney.
"If Cal Water does not voluntarily relocate its facilities, Caltrans has threatened to take such action itself, which would cause great and irreparable harm to the Cal Water system and its operations," the attorney wrote.
He called the Caltrans demand unconstitutional, citing the California Streets and Highway Code, and asked the court for a "declaration of rights" for Cal Water.
Cal Water is exempt from paying the cost because it operates under a "constitutional franchise," not under a city or county franchise, the attorney wrote.
"An actual controversy has arisen and now exists between Cal Water and Caltrans relating to their respective rights and obligations concerning this relocation demand," according to the lawsuit.
Cal Water is the largest subsidiary of the California Water Service Group, the largest investor-owned American water utility west of the Mississippi River and the third largest in the country. Formed in 1926, the San Jose-based company serves more than 460,000 customers throughout the state.
CONTACT reporter Rob Young at 749-4784.
