Cal Water finalizes Acquisition of Skylonda Mutual Water Company

Cal Water acquires City of Willows water system

Residents in the City of Willows will now receive water from California Water Service, (Cal Water) following the acquisition of the city’s water system assets. The purchase, completed in late December 2023, was made possible by California Assembly Bills 2339 and 850.

In 2018, the state enacted AB 2339, authored by Assemblymember Mike Gipson (D-Carson); it enabled select cities, including Willows, to more easily sell their municipal water systems when owning and operating the system was not economical or in the public interest. AB 850, authored by Assemblymember James Gallagher (R-Yuba City) and enacted in 2021, extended the sunset date set in AB 2339 through the end of 2023.

Ahead of the sale, a new water main was installed to extend Cal Water’s existing service area to the City’s customers. Cal Water then installed individual service lines to connect its new customers to the new main.

“The project and acquisition will enhance future development in the area and relieves the City of Willows from the liabilities and costs of operating a small municipal system. At the same time, it allows our outstanding partner, Cal Water, to become the sole purveyor of water within the City and do what they do so very well: provide safe, reliable water to all of the residents and visitors to our City,” said Gary Hansen, City of Willows Mayor.

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