Civil Plaintiff
A California Electric Transfer Lawsuit Has Reached a $24 Million Settlement
Riverside electric customers would receive credits toward utility bills and voters would decide whether the practice of using surplus electric revenue to pay for unrelated city services should continue, under a $24 million lawsuit settlement.
The credits would refund customers for the extra amount they paid in recent years beyond the cost of providing power to cool and light their homes.
A judge ruled last year that the charge is an unconstitutional tax that cannot continue without voter approval.
Officials have said losing that money would mean a $32 million hit on Riverside’s budget. The electric revenue is used to help pay for police and fire protection, street repair, park upkeep, services for the homeless and youth programs.
