CPUC addresses legal order and considers receivership for Havasu Water Company

Alice Busching Reynolds, President at California Public Utilities Commission
Alice Busching Reynolds, President at California Public Utilities Commission - California Public Utilities Commission
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The California Public Utilities Commission (CPUC) is taking steps to protect the customers of Havasu Water Company in San Bernardino County, where about 226 residents rely on the company for drinking water in the unincorporated community of Havasu Lake.

Havasu Water Company draws its water from the Colorado River through a pipeline that crosses land owned by the Chemehuevi Indian Tribe. On January 8, 2026, a court ordered the company to move its pipeline off Tribal land by June 15, 2026. If it cannot relocate by that deadline, the company will have to stop using its current system and find another source of water.

The CPUC is working with Havasu Water Company and the U.S. Environmental Protection Agency to look at other possible water sources. The agency says it is focused on making sure customers do not lose access to water and that all state and federal drinking water standards are met. It is also preparing contingency plans in case the pipeline relocation does not happen on time.

In addition to this legal issue, the CPUC has taken formal action due to what it describes as a history of noncompliance by Havasu Water Company with regulations meant to ensure safe and reliable service. The Consumer Protection and Enforcement Division has reported ongoing management problems and operational failures that could pose health and safety risks for customers.

An Administrative Law Judge recently issued a proposed order that would allow the CPUC to ask California Superior Court to place Havasu Water Company into receivership if approved by Commissioners. In this process, an independent receiver would take over operations with the aim of stabilizing service, fixing regulatory violations, ensuring compliance with drinking water rules, and improving infrastructure. According to the CPUC: “The CPUC seeks receivership only when other regulatory tools have failed to achieve compliance and when public health and safety are at risk. The goal of a receivership would be to restore reliable service, ensure proper management, and protect customers.”

Documents related to this investigation are available on the Docket Card for the proceeding. The public can submit comments or subscribe for updates via email.

“The CPUC recognizes that Havasu Water Company customers depend on safe, reliable drinking water every day. The CPUC is committed to:

Protecting public health and safety
Ensuring continuity of water service
Coordinating with federal, state, local, and Tribal partners
Holding utilities accountable to their legal and regulatory obligations”

The commission says it will continue providing updates as more information becomes available.

Customers can contact the CPUC’s Public Advisor’s Office with questions.



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