The City of Bakersfield announced on Friday they have reached a settlement agreement that could bring savings back to residents after water rate hike.

The water rate hike was meant to pay for the clean-up of the cancer-causing chemical, TCP.

City and California Water Service Company sued the Dow Chemical Company in San Mateo Superior Court after the chemical 1-2-3 TCP was found in city wells.

To get rid of the chemical, the city had to install 35 water wells, which in turn led to raising rates for many residents west of Highway 99.

That rate hike went into effect last October.

The city said after they review the settlement, they may decide to reimburse customers.

The future goal is to void future water hikes. That will go before the city council in February.