Golden State Water Company Acquires Crescent Bay Water System

Community Celebrates Move to Restore Water Reliability, Quality


For Immediate Release 

July 14, 2023  

Clearlake, Calif. – Today, Golden State Water Company (Golden State Water) announced that the California Public Utilities Commission (CPUC) approved the company’s request to acquire Crescent Bay Improvement Company (aka Crescent Bay Water System or Crescent Bay). The aging water system will be consolidated into the company’s Clearlake Customer Service Area.

“Golden State Water is committed to using its resources and technical experience to rebuild Crescent Bay’s failed water system,” said Paul Schubert, General Manager of Golden State Water Company’s Northern District. “By investing in the treatment and delivery of water, there will come the day when our new customers will no longer have to think twice about their water quality.” 

The Crescent Bay Improvement Company (Crescent Bay) was formed in the 1930s and serves approximately 24 residential service connections. The current source of water is surface water from Clear Lake. The water system has been unable to meet federal and state water quality standards due to the inability to finance infrastructure improvements critical to the treatment and delivery of water.

“Our water system is simply broken, and the state says our tap water is unsafe to drink,” said Mary Benson, a resident of Crescent Bay.  “Our community is thrilled that Golden State Water is committed to replacing an aging water system that cannot provide safe drinking water or fire hydrants critical to protecting our homes.”  

​As part of the acquisition, Golden State Water will replace the water system’s infrastructure, tanks, and treatment plant and install fire hydrants that currently do not exist. The acquisition helps the State Water Resources Control Board (SWRCB) and the CPUC achieve their policy goals of upgrading small water systems throughout the state so that all Californians have access to reliable, quality water regardless of their ZIP code.  Golden State Water is seeking grant funding from the State Water Resources Control Board to pay for the rehabilitation of the water system. Crescent Bay customers will receive free bottled water from the company until the water system meets federal and state water standards. All Clearlake Customer Service Area customers have access to the company’s customer assistance program that provides monthly credit for low-income customers.

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Golden State Water Company (Golden State Water) is a wholly-owned subsidiary of American States Water Company (NYSE:AWR) and provides water service to approximately 263,400 customer connections throughout 10 counties in Northern, Coastal and Southern California. American States Water Company also owns a contracted services subsidiary, American States Utility Services, Inc. (ASUS). ASUS provides operations, maintenance and construction management services for water distribution, wastewater collection and treatment facilities located on eleven military bases throughout the country under 50-year privatization contracts with the U.S. government. Bear Valley Electric Service is also a subsidiary of AWR and distributes electricity to approximately 24,700 customer connections in the City of Big Bear Lake and surrounding areas in San Bernardino County.