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MWD’s Water-Use Mandates Don’t Impact San Diego Region

April 26, 2022 – “The Metropolitan Water District of Southern California’s Board of Directors today voted to implement a series of actions to address serious water shortages in parts of its service area that solely depend on the State Water Project. Those restrictions do not directly affect residents and businesses who receive water from the San Diego County Water Authority through their retail water provider because our region is not currently receiving water from the State Water Project.

“The San Diego region continues to have reliable water supplies for 2022 and beyond due to a long-term commitment to conservation and investments in a diversified water supply portfolio, including drought-resilient sources like the Claude “Bud” Lewis Carlsbad Desalination Plant. However, extreme drought conditions are felt widely across the West, and we strongly support agencies taking appropriate conservation actions where they are needed.

“The Water Authority’s Board of Directors has not enacted water-use mandates as we wait for the State Water Board’s direction and final emergency regulations in late May. In addition, Water Authority’s diversified supplies remain intact.

“We continue to support the Governor’s call for increased voluntary conservation at homes and businesses. We encourage actions such as taking shorter showers and fixing leaks immediately, along taking advantage of rebates for replacing turf with landscapes that are WaterSmart and climate-appropriate.”

— Sandra L. Kerl, General Manager, San Diego County Water Authority

Working Together on Water Affordability

After weeks of work, I’m pleased to report that thanks to the improved relationship between the Metropolitan Water District of Southern California (MWD) and the San Diego County Water Authority, along with increased collaboration with other water agencies across Southern California, we helped reduce proposed rate increases to our wholesale water supplies by 7 percentage points over the next two years. This is good news for water ratepayers!

The bottom line is this: Instead of raising wholesale water costs by 17% over the next two years, MWD unanimously adopted consecutive 5% increases. This will allow MWD to cover increasing costs facing every sector of our economy, including our water industry, while limiting the impact on residents and businesses.

Gary Croucher-Board Chair-San Diego County Water Authority-Primary

Working Together on Water Affordability

After weeks of work, I’m pleased to report that thanks to the improved relationship between the Metropolitan Water District of Southern California (MWD) and the San Diego County Water Authority, along with increased collaboration with other water agencies across Southern California, we helped reduce proposed rate increases to our wholesale water supplies by 7 percentage points over the next two years. This is good news for water ratepayers!

The bottom line is this: Instead of raising wholesale water costs by 17% over the next two years, MWD unanimously adopted consecutive 5% increases. This will allow MWD to cover increasing costs facing every sector of our economy, including our water industry, while limiting the impact on residents and businesses.

Collaboration on water affordability

My thanks to MWD Chairwoman Gloria Gray and MWD General Manager Adel Hagekhalil and their team of dedicated professionals, who heard water agencies’ concerns and presented a lower rate increase proposal that brought the MWD board together. It’s also important to note the role of San Diego County’s delegates, who sit on the MWD Board and played a key role in lowering the costs. These delegates (Lois Fong-Sakai, Gail Goldberg, Marty Miller, and Tim Smith) represent you and worked diligently over several weeks to help gain support from their colleagues for the rate proposal that prevailed.

Water Authority member agencies play key role

I also want to thank the retail water agencies across San Diego County that supported our region’s delegates by sending letters to MWD, including Escondido, Helix, Olivenhain, Otay, Santa Fe, Sweetwater, and Valley Center. It makes a huge difference for the MWD board, which meets in Los Angeles, to see that we are a united region.

Water affordability a priority

Water issues are not simple, and many challenges remain as the Water Authority takes on setting its rates for 2023. We all still face enormous challenges depending on the severity of drought conditions. For example, if Lake Mead water levels continue to drop, the ability to generate hydroelectric power at the Hoover Dam could grind to a halt. The demand and cost of electricity could skyrocket, which could severely affect the cost of water delivery. However, please be assured that your Water Authority Board will continue to make the affordability of water a priority.

(Editor’s note: The Helix Water District, Otay Water District, Olivenhain Municipal Water District, Santa Fe Irrigation District, Sweetwater Authority, Valley Center Municipal Water District, and the City of Escondido, are seven of the San Diego County Water Authority’s 24 member agencies that deliver water across the metropolitan San Diego region.)

Gary Croucher-Board Chair-San Diego County Water Authority-Primary

Looking Out for Water Ratepayers in San Diego County

Every year at this time, water agencies launch the long and thoughtful process of setting rates for the next year. It’s always complex and challenging – and in 2022 we’re starting in an even tougher spot due to larger economic uncertainties that are compounded by inflation.

Thankfully, the Water Authority strategically invested in supply reliability in decades past when costs and inflation were lower – and we are reaping the benefits of those investments during the worst megadrought in 1,200 years. Further, the Water Authority’s locally controlled sources have cost-control measures built into the contracts to help guard against sudden price increases.

However, water costs in San Diego County are heavily influenced by the Metropolitan Water District of Southern California. And now, MWD is proposing the largest increases in more than a decade – 17% over the next two years.

Under new management, MWD is undertaking several long-range financial and planning efforts while beginning an investment cycle to ensure its future water supply will be reliable. Over the next several years, MWD is starting a $3.7 billion recycled water plant in Carson followed by a multibillion-dollar tunneling project in the Bay-Delta. While these are important projects for MWD to shore up its supplies – especially for their member agencies that may have cutbacks due to their location in MWD’s system – they will drive up the cost of water from MWD far faster than the cost of Water Authority water. One result is that MWD’s water is expected to be more expensive than our supplies within the next decade (as shown in the chart).

Water ratepayers-water cost trends in California

On behalf of our member agencies, farmers, small businesses, and you, we are asking MWD to prioritize affordability and aggressively control costs before imposing significant rate increases. We have worked very hard to do that at the Water Authority and we are committed to advocating on our region’s behalf at MWD while supporting the very important work they do.

New San Diego County Water Authority Director Joins Metropolitan Board

Community leader and Vista Irrigation District board member Marty Miller has been seated as one of four delegates representing the San Diego County Water Authority on the board of directors of the Metropolitan Water District of Southern California.

Miller took his seat during a special board meeting last Tuesday (Nov. 23). He replaced outgoing director Michael Hogan, who served on Metropolitan’s 38-member board since 2013. Elected to the VID board in 2008, Miller represents Vista, a community in northeast San Diego County. He has twice served as VID’s board president, as well as chair of its fiscal policy, public affairs, water sustainability and Warner Ranch committees.

Gary Croucher-Board Chair-San Diego County Water Authority-Primary

$35.9 Million More Returned to Local Water Agencies, Drought Plan Activated

I am so pleased to announce that the San Diego County Water Authority has distributed $35.9 million more to our 24 member agencies across the region as another piece of our successful rate case litigation. The current payments, combined with another set last February, add up to more than $80 million in rate-case payments we secured on behalf of our member agencies in 2021 as part of our ongoing effort to advocate for the San Diego region.

While the litigation was necessary to protect San Diego County ratepayers, we are looking forward and embracing the new spirit of collaboration at MWD under General Manager Adel Hagekhalil and Board Chair Gloria Gray as we focus on the challenges ahead with a united front. The Water Authority and MWD continue to seek resolution outside of court on remaining issues, and we are building a partnership to address challenging issues in Southern California such as water supply reliability, conservation, affordability, and climate change.

Current drought

One such challenge is the current drought. The Water Authority’s Board of Directors unanimously voted to activate Level 1 – Voluntary Conservation of our Water Shortage Contingency Plan in support of Governor Gavin Newsom’s efforts to sustain California after two record-dry years. This is the third time this century the plan has been activated due to recurring drought. The Governor extended his drought emergency declaration last month to cover the entire state and directed water suppliers to implement Water Shortage Contingency Plans, which are responsive to local supply-demand conditions.

As I have mentioned before, the San Diego region continues to have reliable water supplies due to decades of conservation efforts and ratepayer investments. But San Diegans have always stepped up when duty calls. I encourage residents and businesses to conserve water, avoid water waste, and take advantage of rebates to improve water-use efficiency indoors and outdoors. We offer numerous tools to make the most of every drop at www.watersmartsd.org.

Thank you for your continued investments in supply reliability and commitment to water efficiency that have helped to ensure we have enough water to meet the region’s needs both now and for the future, even in the face of climate change. I will continue to keep you updated on the latest drought news in the weeks and months ahead.

$35.9 Million More in MWD Overcharges Returned to SDCWA Member Agencies

The San Diego County Water Authority’s Board of Directors today announced a plan to distribute $35.9 million to its 24 member agencies across the region after receiving a fund transfer from the Los Angeles-based Metropolitan Water District of Southern California to pay legal damages and interest.

In 2021, the San Diego County Water Authority’s Board of Directors approved distribution of more than $80 million to its 24 member agencies across the region after receiving funds from the Los Angeles-based Metropolitan Water District of Southern California to pay legal damages and interest.

$35.9 Million More in MWD Overcharges Being Returned to Local Water Agencies

October 28, 2021 – The San Diego County Water Authority’s Board of Directors today announced a plan to distribute $35.9 million to its 24 member agencies across the region after receiving a fund transfer from the Los Angeles-based Metropolitan Water District of Southern California to pay legal damages and interest.

Los Angeles Shifts Water Supplies as Drought Hammers State Water Project

Cities in Southern California rely largely on water flowing through aqueducts from the Colorado River and the Sierra Nevada. But some parts of the region, such as Ventura County and northwestern L.A. County, don’t have access to Colorado River water and depend entirely on the water that comes from the Sierra through the State Water Project.

Water Authority’s Ratepayer Protection Case Secures Additional $36 Million Recovery

Sept. 30, 2021 – The San Diego County Water Authority’s Chair today announced a decision by the Metropolitan Water District of Southern California’s Board of Directors to pay damages and statutory interest for illegal water charges from 2015-2017, totaling about $36 million. The vote followed a California Court of Appeal decision upholding earlier rulings in favor of San Diego.