Court Rules On California Water Agency Dispute

A California state appeals court ruling gave both sides victory claims in litigation between the Metropolitan Water District of Southern California and the largest of its 26 member agencies. The First District Court of Appeal last week affirmed the legality of the aspect of Metropolitan’s rate-setting methodology that includes State Water Project costs, reversing a 2015 trial court decision that had awarded $188.3 million in breach of contract claims to the San Diego County Water Authority. The SDCWA pays water transportation rates to Metropolitan for the movement of imported water the San Diego authority purchases from the Imperial Irrigation District.