Mayoral hopeful Austin Beutner brought his affordability-focused campaign to Van Nuys on Thursday, decrying the rising cost of utility services and accusing the City Hall of quietly passing along hikes to Angelenos without proper public accountability.
Standing outside Van Nuys City Hall, Beutner said the average household now pays $1,223, more per year under Mayor Karen Bass for core city services — including electricity (+$207), water (+$509), trash collection (+$236), and sewage (+$271).
“Every time I visit the Valley, I am reminded of the same things: hardworking families,” he said. “But I’m always hearing it’s a struggle. Affordability is a struggle, and I think this City Hall is part of the problem.”
The crux of his critique centered on a little-known charge called the adjustment factor, which is a part of DWP billing that adds extra charges on top of the base rates approved by the City Council. These added costs cover things like fuel, power supply and system maintenance.
Beutner argued that the majority of water and electricity rate increases appear in this opaque line item, rather than through direct policy choices from elected officials.
“Their published rates make up only 17% of water and 29% of electricity increases, the rest are passed on to you quietly with what’s called ‘adjustment factors,’” he said. “Translation, for adjustment factor is when your bill’s going up, and City Hall won’t tell you why and what it is that you’re paying.”
Where the $1,223 number comes from
A Beutner spokesperson said the figure reflects estimated annual increases in four key categories since 2023:
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- Electricity: +$207 based on average Tier 1 usage
- Water: +508.80 based on Tier 1 residential consumption
- Trash: +$235.56 (monthly hike x 12)
- Sewer: +$271.44 (bi-monthly hike x 6)
The campaign noted the number is based on LADWP and L.A. Sanitation projections through 2026, including some increases already approved but not yet in effect.
Bass’s campaign fires back
Beutner’s remarks drew a sharp rebuttal from Mayor Karen Bass’s campaign, which accused him of hypocrisy.
“So now we know what somebody with a record (of) hiking DWP rates does when he becomes a politician — blame others for what he himself did,” Doug Herman, Bass campaign spokesperson said in an emailed statement. “Austin Beutner has been on record recommending raising DWP rates since 2010 when he was LADWP director.”
The mayor’s team also argued that Beutner’s $1,223 figure is misleading, citing that no new water rate increases have been enacted during Bass’s time in office. They said some of the hikes Beutner referenced were approved under previous administrations and include future rate adjustments that have not yet taken effect.
Bass’s campaign said recent hikes are the result of years of subsidizing basic services like trash pickup, as well as deferred maintenance by prior administrations.
While Beutner did not commit to reversing any specific rate hikes, he said transparency and public hearings should come first.
“First thing to do is ‘Let’s see what’s in there, let’s see what the costs are,’” he said. “Let’s see what choices are made before you get to a decision.”
He likened the city’s current approach to a restaurant bill or grocery cart that residents are being forced to pay for without knowing what’s inside.
“As mayor, I’m going to make sure every dollar’s accounted for, and like you do in home, we’ll have an open and honest conversation about what we can afford. No more hiding stuff in your shopping cart,” he said.
Beutner also pointed to his tenure as interim general manager of the Department of Water and Power, arguing that adjustment factors were a smaller share of customers’ bills at the time — and subject to greater public scrutiny. He said his administration cut $263 million from the DWP’s budget to help limit rate hikes and stressed transparency in utility pricing.
“Under my leadership, we cut $263 million from the DWP’s budget to reduce rate increases. And we didn’t hide anything from people who pay the bills,” he said.
At the time, Beutner was serving as first deputy mayor, and chief executive for economic and business policy under Mayor Antonio Villaraigosa. The Board of Water and Power Commissioners appointed him interim DWP general manager in 2010, a role he held for less than a year.
Thursday’s event marked Beutner’s effort to court voters in the San Fernando Valley, a region often seen as politically underserved despite its large population.
“The Valley’s always been a place where big things happen. It’s been a place where people care about their neighbors, their neighborhood, and they’re willing to put in the work to make things better,” Beutner said.