By David Wichner | Arizona Daily Star
A state consumer watchdog agency is suing the Arizona Corporation Commission over its decision to allow water companies to charge customers for incremental system improvements without formal rate cases.
The Residential Utility Consumer Office in a lawsuit filed in the Arizona Court of Appeals says the policy violates the state utility rate-making process prescribed in the state Constitution.
The dispute centers on Arizona Water Co., which serves about 84,000 customers through 19 water systems statewide, including systems serving Oracle, Bisbee and parts of Sierra Vista.