Frequently Asked Questions
- What is the lawsuit about?
- Why was this Notice issued?
- Am I a class member?
- What are your options in this settlement?
- What do I have to do to receive the benefits of the settlement?
- Excluding yourself from the settlement?
- How do I object to the settlement?
- When is the Court's Fairness Hearing?
- How do I get more information?
- Who are the lawyers representing the class members?
- What is the lawsuit about?
The Lawsuit, Howard Jarvis Taxpayers Association et al. v. City of Pasadena (Los Angeles Superior Court Case No. BC 550394) was filed by Howard Jarvis Taxpayers Association, Linnea Warren, Thomas Wolfe and Edward Henry (“Plaintiffs”) to challenge the 25% surcharge imposed on the Commodity and D&C rates charged by the City of Pasadena for water service to customers who are not residents of the City. Plaintiffs alleged that the 25% surcharge was excessive under Article XIII D of the California Constitution (Proposition 218). Plaintiffs filed the lawsuit on behalf of themselves and all other similarly situated taxpayers. Plaintiffs also seek a refund of the alleged overcharges from March 24, 2013, to the date refunds are paid. Plaintiffs did not originally challenge the 35% surcharge imposed on the CIC charged to customers who are not residents of the City, but after the lawsuit was filed, Plaintiffs alleged that the 35% CIC surcharge was excessive under Proposition 218.
The City of Pasadena disagrees with the Plaintiffs and asserts that its rates comply with Proposition 218 and therefore no refund or other relief is warranted. The Court has not decided who is right.
Top - Why was this Notice issued?
The Court issued this notice because you have a right to know about the proposed class action settlement which the Court has preliminarily approved and your rights and deadlines to act. If the Court grants final approval, the settlement becomes final pursuant to its terms.
Top - Am I a class member?
All persons who currently or formerly fit this description are members of the Class:
Property owners and tenants whose owned or rented real property is located outside the boundary of territory incorporated as the City of Pasadena, whose owned or rented real property receives water service from the City of Pasadena, who are subject to the water rates and charges applicable to non-residents, and who have paid said rates and charges at any time since March 24, 2013.
Top - What are your options in this settlement?
You may exercise one of three options: (1) do nothing and be bound by the terms of the settlement, (2) exclude yourself from the settlement, or (3) object to the settlement. If you would like to exclude yourself from the settlement, or if you would like to object to the settlement, you must do so by September 11, 2018. If you stay in the Class, you may, but are not required to, file an objection, but any objections you do wish to file must be in writing and postmarked by September 11, 2018.
On October 11, 2018, at 11:00 a.m., the court will hold a Fairness Hearing to consider whether to issue final approval of the settlement and requested attorneys’ fees and expenses of up to $485,000. You may attend at your own expense, and you may ask to speak, but you are not required to do so. You do not need to appear, in person or though counsel, at the Fairness Hearing for your objection to be considered, and you do not need to file an objection to participate in the Fairness Hearing. If the Fairness Hearing is rescheduled, a notice of the new date or time will be posted on the settlement website.
Top - What do I have to do to receive the benefits of the settlement?
You do not need to submit a claim or any paperwork to receive the settlement benefits. If following the Proposition 218 public notice, hearing and protest procedures, the City Council eliminates the 25% surcharge on the Commodity and D&C charges and also limits any CIC differential to the costs described above, you will receive the benefit of lower water rates indefinitely.
Top - Excluding yourself from the settlement?
If you don’t want to participate in the settlement, and you want to keep the right to sue or continue to sue the City of Pasadena about the water charges at issue in this lawsuit on your own, then you must exclude yourself by submitting online at www.howardjarvisvcityofpasadena.com no later than September 11, 2018, or by U.S. Mail to Howard Jarvis Taxpayers Association et al. v. City of Pasadena, KCC Class Action Services, P.O. Box 404000, Louisville, KY 40233-4000 postmarked no later than September 11, 2018, a completed Opt-Out Form. If you timely opt-out, you will not be legally bound by the settlement or any judgment in this action and you can independently pursue whatever claims you believe you may have outside of the Case.
To pursue your claims separately against the City, you may have to comply with the California Governmental Claims Act (Cal. Gov. Code §§ 900 et seq and/or 940 et seq.) The Governmental Claims Act has certain timing requirements that could eliminate or reduce the amount you may recover.
Top - How do I object to the settlement?
You may only object if you are a Class member and you do not exclude yourself from the settlement. You can object on your own or you may hire a lawyer. You can tell the Court that you don’t agree with the settlement or some part of it by sending a letter to the Claims Administrator postmarked on or before September 11, 2018, saying that you object to the settlement. Your objection must contain all of the following: (1) a heading referring to: Howard Jarvis Taxpayers Association et al. v. City of Pasadena (Los Angeles Superior Court Case No. BC 550394); (2) a statement of the legal and factual bases for your objection; (3) your name, address, telephone number, and email address; (4) copies of water bills dated during the Class Period or other evidence of membership in the Class; and (5) your signature and the signature of your counsel (if you are represented by counsel). The Court will consider your objection. If your objection is mailed in time, you do not have to attend the Fairness Hearing described below.
Any objection to the settlement must be served by first class mail to the Claims Administrator and postmarked no later than September 11, 2018. The Claims Administrator is Howard Jarvis Taxpayers Association et al. v. City of Pasadena, KCC Class Action Services, P.O. Box 404000, Louisville, KY 40233-4000.
Top - When is the Court's Fairness Hearing?
The Court will hold a hearing at 11:00 a.m. on October 11, 2018, in Department 6 of the Spring Street Courthouse at 312 North Spring Street, Los Angeles, California 90012, to decide whether the proposed settlement is fair and reasonable. You may attend at your own expense, and you may ask to speak, but you are not required to do so. If the Fairness Hearing is rescheduled, a notice of the new date or time will be posted on the settlement website, www.howardjarvisvcityofpasadena.com. After the hearing, the Court will decide whether to approve the settlement. We do not know how long the decision will take. Please be patient.
Top - How do I get more information?
This notice summarizes the proposed settlement. More details are in the Settlement Agreement. All court records in this litigation, including complete copies of the Settlement Agreement, may be examined during regular court hours at the office of the Clerk of the Court, 312 North Spring Street, Los Angeles, CA 90012. You can also get a copy of the Settlement Agreement by visiting the settlement website at www.howardjarvisvcityofpasadena.com. DO NOT CONTACT THE COURT DIRECTLY WITH ANY QUESTIONS ABOUT THE SETTLEMENT.
Top - Who are the lawyers representing the class members?
The Court has appointed the following Class Counsel to represent the Class:
Timothy A. Bittle
Howard Jarvis Taxpayers Foundation
921 Eleventh Street, Suite 1201
Sacramento, CA 95814
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