Palisades and other Los Angeles residents are receiving checks through a class action lawsuit, Hoffman vs. City of Los Angeles because of sewer litigation.
The City overcharged certain customers of L.A. Sanitation for residential property sewer services (May 4,2016 through June 30, 2022). As part of the Settlement, the City agreed to create a $57.5 million Settlement Fund, to change the way it determines the Dry Winter Compensation Factor. (Editor’s note: this lawsuit does not reflect the current sewer increases that went into effect this fall.) click here.
Payments to authorized claimants began on October 22, 2024. The mailing of all payments will be completed by October 29, 2024.
In August 2017, plaintiffs Adam Hoffman and Samuel Jackson filed a lawsuit against the City, alleging that the city overbilled residential sewer service charges by manipulating what was known as the Dry Winter Compensation Factor (DWCF).
The city’s sewer charge structure is based on volume, but residential properties do not have sewer meters, so sewer bills are based on customers’ incoming water meter readings during the rainy season.
To ensure that customers’ sewer service charges reflect the volume of sewage they generate, and not a greater amount that would be caused by including water used for outdoor irrigation, the city implemented the DWCF, which is applied to the water usage to determine sewage billing.
Hoffman and Jason alleged that the city improperly inflated the DWCF and did not base its calculation correctly, resulting in overcharges. They also maintained an accounting was needed to determine the amounts allegedly overcharged and needed to be given back to ratepayers.
The plaintiffs also alleged that Los Angeles was not complying with some of the requirements of Prop. 218, which was passed by California voters in November 1996 and was designed to constrain local governments’ ability to impose assessments. In June 2021, a judge found that DWCF was “arbitrary and capricious” and that the city had acted in violation of the state constitution.
Consider holding onto that refund – it might be best used toward the expected increase in sewer charges. With the cost of recent litigation and penalties related to the Hyperion sewer spill, sewer rates will likely rise to cover these expenses. The money received through the Hoffman vs. City of Los Angeles class action settlement for past sewer overcharges may end up coming back around as higher fees for all residents, including those in the Palisades.
Agree with the above comment. Rates have already increased. My sewer charges in the fall of 2022 were in the $70s. My most recent bill (November 2024) the sewer charges were $246
I’m working on a story about the increases–supposedly a notice was mailed to all residents about the increase and it was up to us to write and say we didn’t want the increase.
It’s a rip off I have a pool and I have to add water every week that water doesn’t go through sanitation and I still get charge for that I got $104.44 from the lawsuit that’s nothing compared to what I been charged in 15 years
I have not received any information about this issue, yet I have received a check. I’d like to know how much money 💰 they have charged me over the years. Anyone know who is responsible for that information?
I don’t know who would have that information–
I received my check for 108.75 cents this amount
Is nothing, because supposedly 100 for each bill I think more but this is only a example, how much is in 15 years?
I’m almost afraid to cash the check! Agreed with everyone above, how do I know what I was overcharged and whether or not this so called settlement is what it really should be! Would love to know exactly what I was overcharged over this period.