Mayor Karen Bass Orders Audit of LADWP Utility Rates

Mayor Karen Bass has directed the Los Angeles Department of Water and Power Board of Commissioners to implement immediate relief for residents facing high utility bills following a prolonged Southern California heat wave. Bass called for an independent outside audit of the utility's rate structures to determine how bills are calculated and justified, while urging a 25% increase in energy efficiency rebates.

To provide immediate assistance, Bass has already suspended all residential utility shutoffs through the end of 2026 and allowed customers to pay what they can afford. Starting next month, the utility will provide residential customers with detailed usage data and expand outreach for assistance programs such as Lifeline, EZ-Save, and Level Pay.

LADWP interim general manager David Hanson attributed the bill spikes to a 20% increase in electricity usage during a summer with 15 heat advisory days and a rise in sanitation fees, rather than systemic billing errors. However, the issue has become a political flashpoint. City Councilwoman and mayoral candidate Nithya Raman criticized a reported 40% rate increase under the current administration, calling the mayor's recent actions a late political response. City Controller Kenneth Mejia plans to investigate the utility's tier system and rate increases.

The LADWP Board of Commissioners is scheduled to discuss the relief proposals and a board resolution on October 27.