Update on research...

With the big meeting on the horizon, residents have been doing their due diligence through research, and forwarding it to me. There have been a few discoveries I would like to share with you.  First, I would like to share a concern related to the Madera Ranchos Water Company Inc.   Second, I would like to share the two most recent financial reports for Calwater and Bakman Water Company.

It has been brought to our attention that a privately owned water company called Madera Ranchos Water Company Inc. was sold to Madera County approximately 20 yrs ago. The Ranchos Independent, has an article printed in 2014, explaining the history of the Ranchos water system (Link), and the article states that in 1996 the county purchased the water system from the Madera Ranchos Water Company Inc. for $350k.

On a document registered with the SOS, (link) it shows Francis H. Ferraro as the CEO of the Madera Ranchos Water Company Inc.  A concern has been brought up regarding a connection with Francis S Ferraro who retired as an officer of Cal Water in 2016.  He is now a Manger of Special Projects, and has represented Cal Water in meetings regarding the Rolling Hills water system. This publication shows the current officers and directors of Cal Water. (Link)  

I contacted Francis S. Ferraro by email to inquire about the connection. Mr. Ferraro expressed that he has never been involved in the operations of Madera Ranchos Water Company Inc., however, his father was.  He shared that his father sold the system, but had to take it back after it was sold when the new owner did not operate it correctly; he then proceeded to sell it to the county.  Additionally, Mr. Ferraro stated he would be available at the meeting to answer any questions.

My analysis is this, regardless to who was involved in the Madera Ranchos Water Company 20 years ago.  Calwater is not one person, it is large corporation, with a strong accountable history. (Link)  In this financial report it shows there are many directors and officers, and over 1000 employees, they provide water to over 2 million customers and to over 100 communities. The company is profitable and shows a profit of over $40 million per year. (Link to CPUC website 2015 Annual Report). (Link to Financial Report)  Bakman on the other hand, who is a great guy, is only showing a profit of less than $9k for the year ending 2015, according to this financial report found on the CPUC website, and other years at a negative profit.  (Link to Financial Report 2015 on CPUC website) (Link to 2010, 09, 08 report found on CPUC website)

Below is a Statement from an Association Member, who asked me to add this to the Pros and Cons.

"I believe Bakeman is going to be running Riverstone Development, 

Riverstone is how I think his business is doubled in the past 12 month.

We can not tie together with Riverstone unless we pay many thousands in hookup fees per home.

This is because Riverstone would have to cut the number of homes in their subdivision to be able to give us water.

That leaves us where we are right now 335 connections paying for infrastructure wells and the whole mess.

CalWater I believe will be operating the water system for Gunner Ranch subdivision.

Gunner as part of a settlement in a legal action does not have to count any water they provide to either Rolling Hills or Children's Hospital against what they can pump.

Stability is one of the drivers in my decision.

If Bakeman dies where are we. Calwater could lose a dozen employees and another would step up.

Property values:

I refer to Calwater as the PG&E of water companies.

If I am selling my house and the buyer wants to know who provides my power and I say PG&E, end of discussion

If I am selling my house and I tell them I get my power from AAA power Company, I will be providing documents all week." 

Below is an Interesting video of Calwater just in case your interested.