It's time for Cal Am to pack up
its profits and close shop
by ROYAL CALKINS • APRIL 11, 2017 • MONTEREY BAY PARTISAN
PUBLIC TKEOVER EFFORT SHOULD BE FAVORED THIS TIME
For much of my journalism career, one of my roles was to offer advice in the form of editorials but it was more of an exercise than a meaningful attempt to get anyone to act a certain way. I considered it a success if anyone read the whole piece and gave it any thought.
The advice I am about to give is different. For one thing, the intended audience is much smaller. It is for the people who make decisions on behalf of California American Water Co., the principal purveyor of water to the Monterey Peninsula. And it is meant to be persuasive and not just informative.
So here goes. Cal Am, it is time to sell.
For the benefit of your company, your shareholders and the people of the Monterey Peninsula, it is time for you to sit down at the bargaining table and try to work out a fair price for your highly successful and equally controversial enterprise. Coming to terms with the community, without a protracted takeover process, will save you money. It will maximize the return to your shareholders and that, after all, is what you are all about.
So why am I saying this? And why now?
It’s partly because I went to a forum Monday night in Monterey in which the leadership of Public Water Now sketched the basics of the group’s upcoming effort to convert Cal Am from a privately owned, profit-taking business to a publicly owned, public-benefit operation. There were about 140 people there and, as far as I could tell, none of them was from Cal Am. If there had been, I suspect they’d be writing a memo to their bosses making pretty much the same argument I’m making here.