City of San Diego $40M Water Rate Class Action Settlement
City of San Diego $40M Water Rate Class Action Settlement

Single-family residential water customers of the City of San Diego between Aug. 14, 2014, and Dec. 1, 2023, may be eligible to claim a refund from a class action settlement.

The City of San Diego agreed to pay $40 million to settle a class action lawsuit alleging it charged unconstitutional single-family residential water rates that were not proportional to the cost of providing water service.

Who are the class members?

Class members must meet the following criteria:

  • They were a single-family residential water customer of the City of San Diego.
  • They received water service from the city at any time between Aug. 14, 2014, and Dec. 1, 2023.

The class includes both property owners and tenants who were responsible for paying the water bill. Both current and former customers are eligible as long as they received service during the class period.

How much can class members receive?

The settlement administrator will distribute the net settlement fund among eligible class members based on the difference between what they actually paid and what they would have paid under a lawful rate structure as calculated by the city’s expert. The settlement class is estimated to include approximately 436,069 members.

No action needed to receive compensation

Eligible class members do not need to file a claim to receive a refund payment. The settlement administrator will use the city’s records to identify eligible customers and calculate refund amounts.

Class members can confirm their contact information and select their preferred payment method using the online claim form. They will need the ID and passcode included in the settlement notice they received. Those without an ID and passcode can contact the settlement administrator.

Settlement administrator's mailing address: CPT Group Inc., P.O. Box 19504, Irvine, CA 92623

Settlement administrator's email address: SDWaterSettlement@cptgroup.com

Settlement administrator's phone number: 888-903-0334

Payout options

  • Paper check mailed to the address on file
  • Electronic payment (if selected online or via the settlement administrator)

$40 million settlement fund

The $40,000,000 settlement fund will include:

  • Settlement administration costs: Up to $199,000
  • Attorneys' fees: Up to $13,333,333.33
  • Attorneys' expenses: Up to $500,000
  • Service awards to class representatives: $7,500 each (total $15,000)
  • Payments to eligible class members: The remainder of the fund ($26,960,167 estimated)
  • Residual funds: The settlement administrator will donate any unclaimed funds to the Sierra Club California Water Committee, including the San Diego chapter.

Important dates

  • Deadline to opt out: Sept. 28, 2026
  • Fairness hearing: Dec. 11, 2026

When is the Patz v. City of San Diego payout date?

The settlement administrator will distribute payments to eligible class members within 30 days after the court resolves any appeals and grants final approval of the settlement.

Why did this class action settlement happen?

The lawsuit alleged the City of San Diego unconstitutionally charged single-family residential water customers rates that were not proportional to the cost of providing water service.

The city denied any wrongdoing or liability but agreed to settle to avoid the risks and costs of continued litigation.

Sources

  1. Class notice
  2. Settlement FAQ page
  3. Settlement agreement
Settlement Open for Claims
Award:
Varies
Deadline:
SUBMIT CLAIM