July 10, 2023 – Mel Katz, chair of the San Diego County Water Authority’s Board of Directors, issued the following statement in response to today’s decision by the San Diego County Local Area Formation Commission (LAFCO) regarding the proposed detachment of two water agencies from the Water Authority.
“Today’s unprecedented decision by San Diego LAFCO is very disappointing because it will raise water rates for disadvantaged communities, working families, 70% of agriculture in the county, small businesses, and everyone else across our region. We’re deeply concerned that LAFCO decided that water ratepayers across San Diego County don’t get a say in whether Fallbrook and Rainbow can walk away from their bills and shift their costs to the rest of the county.
“It’s also clear that LAFCO failed to study the environmental impacts of its decision, as required by state law – a serious breach of public confidence in a system that’s supposed to protect us all.”
— Mel Katz, Board Chair, San Diego County Water Authority
San Diego Mayor Todd Gloria joined with regional agriculture, business, water, and elected leaders on July 7 to oppose a potential $200 million water bill increase for ratepayers across San Diego County.
“The proposed action will have significant, long-term economic impacts to most households in San Diego County. Nearly every family and business will see an increase in their water rates,” Mayor Gloria said. “The cost of living is a continuous struggle for many San Diegans and these proposed rate increases are unacceptable.”
Detachment costs to water ratepayers
Chair Nora Vargas of the San Diego County Board of Supervisors commented on the proposal’s impact on low-income residents and the lack of a countywide vote. “An unnecessary increase in water bills means taking money away each month from hardworking families who can least afford it,” she said. “Not only will this detachment proposal lead to higher water bills, we also won’t have a say in the matter.”
Jerry Sanders, President and CEO of the San Diego Regional Chamber of Commerce, said it’s counterproductive to saddle businesses with additional bills. “This proposal would shift millions in added costs onto local businesses, many of which operate on thin margins,” Sanders said. “Our businesses face so many threats to success. Let’s not add to these challenges with an unnecessary water rate hike.”
Cost Analysis of Detachment Called Flawed
Two water agencies in Fallbrook and Rainbow seek to leave the San Diego County Water Authority without paying the full cost of investments made on their behalf over the past several decades. On July 10, the San Diego Local Agency Formation Commission’s (LAFCO) board is expected to vote on the “detachment” proposal, possibly with the inclusion of a limited “exit fee” for Fallbrook and Rainbow. However, LAFCO’s figures are based on years-old data and flawed projections that understate the annual costs of detachment by at least 50%.
Updated figures released this week show that disadvantaged communities, working families, farmers, and others across San Diego County will be forced to pay nearly $200 million more over the next decade for water service unless the agencies seeking to leave the Water Authority are required to fully cover their costs. LAFCO’s data don’t reflect the inflationary realities or the fact that the financial impacts of detachment will continue far beyond LAFCO’s five-year horizon.
“I am deeply concerned that LAFCO could make this momentous decision without ensuring the accuracy of the costs of detaching from the Water Authority or allowing residents countywide to vote on this scheme,” said Water Authority Board Chair Mel Katz.
LAFCO’s staff recommendation to approve the detachment plan does not include a substantive analysis of impacts to disadvantaged communities or to agriculture in the Water Authority service area. Nor does it include the environmental analysis required by law.
Big turnout today by labor, business, ag, urban, rural, north, east, south and central San Diego County residents to oppose unfair water bill overcharges being considered by SDLAFCO on July 10. pic.twitter.com/XGypaY5qwZ
— San Diego County Water Authority💧 (@sdcwa) July 7, 2023
https://www.waternewsnetwork.com/wp-content/uploads/2023/07/PressConf.7.7.2023.CN_.016-845X450.jpg450845Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-07-09 10:45:472023-07-09 11:36:53Regional Leaders Seek to Protect Ratepayers from $200M Water Bill
A coalition of county, city and labor officials held a news conference Friday morning to make their case against two North County rural water districts leaving the San Diego County Water Authority (SDCWA).
In updated numbers released this week, the SDCWA reported that it would cost San Diegans nearly $200 million over a decade if Fallbrook Public Utility District and Rainbow Municipal Water District were allowed to leave the 24-member agency.
La Mesa Vice Mayor Colin Parent said that was unfair to his constituents. The Helix Water District, which services La Mesa, was projected to pay an additional $1.2 million-plus if those two agencies leave.
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-07-09 10:44:252023-07-09 10:45:16County Leaders Rally Against Water ‘Divorce’ With Fallbrook and Rainbow
The communities of Fallbrook and Rainbow are requesting to join a water district based in Riverside, saying water in San Diego is too expensive.
However, those who oppose the move say it will leave others paying $200 million more for water over the next decade.
A vote is expected at the County Administration Center on Monday that would address the request from Fallbrook and Rainbow to get their water from an agency in Riverside County.
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-07-09 10:43:272023-07-09 10:45:49Fallbrook and Rainbow Look to Leave the San Diego County Water Authority to Save Money
San Diego Mayor Todd Gloria joined with regional agriculture, business, water, and elected leaders on July 7 to oppose a potential $200 million water bill increase for ratepayers across San Diego County.
“The proposed action will have significant, long-term economic impacts to most households in San Diego County. Nearly every family and business will see an increase in their water rates,” Mayor Gloria said. “The cost of living is a continuous struggle for many San Diegans and these proposed rate increases are unacceptable.”
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-07-09 10:40:372023-07-09 11:37:02Regional Leaders Seek to Protect Ratepayers from $200M Water Bill
Ahead of next week’s controversial vote on the detachment of two North County water districts from the San Diego County Water Authority, several local leaders voiced their concern for how the proposed divorce could impact water rates.
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-07-09 10:39:242023-07-09 11:31:54Local Leaders Voice Concern Ahead of Vote on North County Water District Separation
San Diego Mayor Todd Gloria joined with regional agriculture, business, water, and elected leaders on Friday to oppose a potential $200 million water bill increase for ratepayers across San Diego County.
“The proposed action will have significant, long-term economic impacts to most households in San Diego County. Nearly every family and business will see an increase in their water rates,” Mayor Gloria said. “The cost of living is a continuous struggle for many San Diegans and these proposed rate increases are unacceptable.”
Chair Nora Vargas of the San Diego County Board of Supervisors commented on the proposal’s impact on low-income residents and the lack of a countywide vote. “An unnecessary increase in water bills means taking money away each month from hardworking families who can least afford it,” she said. “Not only will this detachment proposal lead to higher water bills, we also won’t have a say in the matter.”
Jerry Sanders, President and CEO of the San Diego Regional Chamber of Commerce, said it’s counterproductive to saddle businesses with additional bills. “This proposal would shift millions in added costs onto local businesses, many of which operate on thin margins,” Sanders said. “Our businesses face so many threats to success. Let’s not add to these challenges with an unnecessary water rate hike.”
A new study indicates original LAFCO cost estimates of detachment are as much as 50% below the true price tag, as much as $200 million. Photo: San Diego County Water Authority
Cost Analysis of Detachment Called Flawed
Two water agencies in Fallbrook and Rainbow seek to leave the San Diego County Water Authority without paying the full cost of investments made on their behalf over the past several decades. On July 10, the San Diego Local Agency Formation Commission’s (LAFCO) board is expected to vote on the “detachment” proposal, possibly with the inclusion of a limited “exit fee” for Fallbrook and Rainbow. However, LAFCO’s figures are based on years-old data and flawed projections that understate the annual costs of detachment by at least 50%.
Updated figures released this week show that disadvantaged communities, working families, farmers, and others across San Diego County will be forced to pay nearly $200 million more over the next decade for water service unless the agencies seeking to leave the Water Authority are required to fully cover their costs. LAFCO’s data don’t reflect the inflationary realities or the fact that the financial impacts of detachment will continue far beyond LAFCO’s five-year horizon.
“I am deeply concerned that LAFCO could make this momentous decision without ensuring the accuracy of the costs of detaching from the Water Authority or allowing residents countywide to vote on this scheme,” said Water Authority Board Chair Mel Katz.
LAFCO’s staff recommendation to approve the detachment plan does not include a substantive analysis of impacts to disadvantaged communities or to agriculture in the Water Authority service area. Nor does it include the environmental analysis required by law.
Agriculture Deeply Affected By Proposal
“We all care about the cost of water because it’s a major factor for most farms,” said Frank Hilliker,” Board Chair of the Lakeside Water District and a long-time egg farmer in East County. “If Fallbrook and Rainbow water agencies don’t pay their costs, it hurts farmers like me who will be forced to pay more. I urge LAFCO to make sure that they require full cost coverage by Fallbrook and Rainbow to protect our region’s agriculture industry.”
A coalition of government, community, business, labor, agriculture, and water leaders joined together today to collectively urge San Diego LAFCO to vote no on detachment at its meeting on Monday, July 10. These leaders include:
Mayor Todd Gloria, City of San Diego
Chair Nora Vargas, San Diego County Board of Supervisors
Councilmember Stephen Whitburn, City of San Diego
Vice Mayor Colin Parent, City of La Mesa
District Director Janet Chin, Office of Assemblymember Tasha Boerner, District 77
Chair Mel Katz, San Diego County Water Authority
Vice Chair Nick Serrano, San Diego County Water Authority
Board Chair Frank Hilliker, Lakeside Water District & East County Farmer
President & CEO Jerry Sanders, San Diego Regional Chamber of Commerce
Vice President Carol Kim, San Diego & Imperial Counties Labor Council
Vice Chair Gail Goldberg, Metropolitan Water District of Southern California
https://www.waternewsnetwork.com/wp-content/uploads/2023/07/PressConf.7.7.2023.CN_.016-845X450.jpg450845Gayle Falkenthalhttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngGayle Falkenthal2023-07-07 14:29:222023-07-07 15:42:37Regional Leaders Seek to Protect Ratepayers from $200M Water Bill
The San Diego County Water Authority warned Wednesday that it could cost county water customers nearly $200 million over a decade if two rural districts detach from the authority.
In an email to county political leaders, Water Authority Board Chair Mel Katz said a proposed exit fee of $4.8 million a year for five years “isn’t close to covering the actual costs that will be shifted to residents elsewhere in the county.”
The Fallbrook Public Utility District and the Rainbow Municipal Water District are seeking to join the Eastern Municipal Water District in Riverside County in hopes of securing lower-cost water for farmers.
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-07-07 09:41:322023-07-07 09:46:58Water Authority Warns Exit by Fallbrook, Rainbow Could Cost County Residents $200 Million
Luis Ramirez leapt onto the roof of his bright blue water truck to fill the plastic tank that by day’s end would empty into an assortment of buckets, barrels and cisterns in 100 homes.
It was barely 11 a.m. and Ramirez had many more stops to make on the hilly, grey fringes of Tijuana, a sprawling, industrial border city in northwestern Mexico where trucks or “pipas” like Ramirez’s provide the only drinking water for many people.
“Each time, it gets farther and farther where we have to go,” he said, blaming the city’s water problems on drought and population growth, before jumping into the driver’s seat next to 16-year-old assistant Daniel Alvarez.
Among the last cities downstream to receive water from the shrinking Colorado River, Tijuana is staring down a water crisis driven also by aging, inefficient infrastructure and successive governments that have done little to prepare the city for diminishing water in the region.
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-07-05 09:28:522023-07-05 09:30:50Tijuana, Reliant on the Colorado River, Faces a Water Crisis
San Diego County Water Authority General Manager Sandra L. Kerl retired June 29, after more than 40 years of public service. Deputy General Manager Dan Denham is acting GM until the Water Authority Board of Directors permanently fills the position.
Kerl’s tenure at the Water Authority included 10 years as deputy general manager and four years as the agency’s top staff member during a period of unprecedented uncertainty regionally and nationally.
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2023-06-30 17:43:152023-07-01 12:26:40San Diego County Water Authority General Manager Sandra L. Kerl Retires
