City of Sacramento v. Citizens Utilities Co.

This appeal raises the question, hereinafter stated, that was expressly reserved from decision in an earlier appeal entitled City of North Sacramento v. Citizens Utilities Co., 218 Cal.App.2d 178 [ 32 Cal.Rptr. 308 ], *110 arising out of the same condemnation proceeding. The facts preexisting the present record are stated at length at pages 181 through 184 of volume 218. However, a brief recapitulation is necessary herein.

In December 1956 the City of North Sacramento (now a part of the City of Sacramento and hereinafter referred to as the “city”) pursuant to Public Utilities Code section 1401 et seq. instituted condemnation proceedings to acquire the water system owned by Citizens Utilities Company of California. After extended hearings the Public Utilities Commission in 1958 fixed the just compensation, evaluated as of December 3, 1956, at $2,206,000. In November 1959 an interlocutory judgment was entered in the trial court for that amount “subject to modification by reason of such increase or decrease as may hereafter be certified to this Court by the Public Utilities Commission. ...” This clause was mandatory under section 1416 of the Public Utilities Code. Pursuant to…