Tag Archive for: Water Authority

Water Authority General Manager Dan Denham speaks at the Dec. 13 signing ceremony in Las Vegas, supporting a set of agreements to sustain the Colorado River and save money for San Diego County water ratepayers. Photo: San Diego County Water Authority historic agreement

Water Authority GM Profiled in “Municipal Water Leader” Magazine

A familiar face was featured on the cover of the October edition of Municipal Water Leader magazine: Water Authority General Manager Dan Denham. In a wide-ranging interview with former Metropolitan Water District General Manager Jeff Kightlinger, Denham discussed his background, the relationships between the Water Authority and other agencies, major challenges facing the water sector­ and more.

Below are some of the highlights from this extensive conversation. To read the entire interview, which starts on Page 6, click here.

Cover of the October edition of "Municipal Water Leaders" profiling SDCWA General Manager Dan Denham.

Cover of the October edition of “Municipal Water Leaders” profiling SDCWA General Manager Dan Denham.

What are the biggest challenges facing SDCWA right now? 

Climate change whiplash. We’ve had an unprecedented 2 consecutive wet years in Southern California, and while that was wonderful, it also created financial havoc, because water sales and revenues plummeted far below projections. Like most water agencies, we have high fixed expenses, but our revenues remain highly variable. This year, that combination of factors created unprecedented fiscal challenges.

The era of major construction is finished for us, but over the past 20 years, we built water supply projects to prepare for a dry future. I’m positive that droughts will be back, and the public will expect us to be ready for that, since it paid for those investments. In fact, the state is now saying that State Water Project (SWP) supplies could crash over the next 20 years.

So, it’s a matter of trying to right-size the water supply for our current demands while remaining prepared for the future and getting some costs off our books to make water more affordable for our rate payers.

Less than 10 years ago, we were all extremely concerned with reliability, drought cutbacks, and mandatory rationing. Between your transfers and your desal plant, you’ve brought an incredibly high degree of reliability to the region. The challenge today seems to be managing the fiscal concerns in a world of dropping demand and rising costs.

I gave a presentation recently at the Council of Water Utilities in San Diego County. One of the open questions that I threw out to the group was exactly what you just described. In planning for dry years, SDCWA never wanted to see a curtailment of water, whether because of a state mandate or through our wholesaler, Metropolitan, so we built and spent accordingly. The cost of all of that is now catching up with us. The open questions to the group were, Is 100 percent reliability still what this region wants and needs? What kind of insurance policy do you want? Do you want a lower deductible? What is your comfort level as a region? I don’t have the answer to those questions. I don’t know whether our policymakers and decisionmakers have thought those through yet. But that’s a discussion we need to have.

There’s been interest within the Colorado River basin and in Southern California in taking parts of the portfolio, whether that’s the desalinated water or conserved water from the Imperial Valley and transferring some use to another agency or even another region. Shipping off your 100 percent reliable supplies exposes you to some extra risk while at the same time providing a financial benefit. Again, for this generation and the future, we have to settle the question about the level of water supply reliability we want and can afford.

What is your vision for the future?

This industry, this space, is really challenging, but it’s still fun. I really enjoy being part of it, helping lay out the future of water in the West. I’m excited about the prospects for San Diego. When you’re willing to think differently and change the way that you’ve been doing things for the past 20 or 30 years, that’s exciting. I’m glad to be part of it. I hope I still have many years ahead in this space. If this is the springboard for it, I’m all in.

San Diego County Water Authority General Manager Dan Denham. Photo: San Diego County Water Authority

Dan Denham Appointed San Diego County Water Authority General Manager

The San Diego County Water Authority Board of Directors August 24 voted unanimously to appoint Dan Denham as general manager. The appointment follows the June retirement of former General Manager Sandra L. Kerl.

Denham has served in several leadership capacities with the Water Authority for the past 17 years, including his most recent post as deputy general manager. In that role, he oversaw the MWD and Colorado River programs, along with the Engineering, Water Resources, and Operations & Maintenance departments. Denham also continues to oversee the implementation of long-term agricultural-to-urban conserved water transfers that are among the largest in the United States. As a commissioner on the Quantification Settlement Agreement Joint Powers Authority, he leads the Water Authority’s fulfillment of environmental mitigation obligations and legislative advocacy efforts at the Salton Sea.

Dan Denham: “Depth of experience”

“We are fortunate to have Dan’s knowledge of the San Diego County Water Authority and his depth of experience managing multiple programs, including the landmark agreements that have ensured a safe and reliable water supply for San Diego County,” said Mel Katz, chair of the Water Authority Board. “We look forward to working closely with Dan to ensure the Water Authority’s continued success serving our vibrant region.”

As general manager, Denham’s priorities include continuing to enhance relations with the Water Authority’s member agencies, minimizing rate increases, concluding the long-running litigation with the Metropolitan Water District of Southern California, and ensuring long-term water supplies for the semi-arid San Diego region.

“Position of strength”

“I’m thankful for the opportunity to lead this agency and build on the many achievements of my predecessors, my colleagues, and generations of leaders on our Board,” said Denham. “It’s clear there are few easy answers to some of our generational challenges like water reliability – but there never has been. Thankfully, San Diego County can work from a position of strength based on our investments in supplies and conservation over the past 30 years.”

Before joining the Water Authority in 2006, Denham served in various capacities at the City of San Diego’s Metropolitan Wastewater Department, Financial Management Department and Mayor’s Office. Denham holds undergraduate degrees in public administration and economics, and a graduate degree in public administration — all from San Diego State University. Denham sits on several regional boards, including the North San Diego Business Chamber, the San Diego Regional Chamber of Commerce, the San Diego State University Alumni Board, and the Citizens Forum of the U.S. Section of the International Boundary & Water Commission.

The General Manager’s Office manages and directs the activities of approximately 250 Water Authority staff. The office implements the Board’s Strategic Plan and policies through programs in the Business Plan; oversees the Water Authority’s extensive infrastructure system; communicates and advocates policy positions and programs of the Water Authority to local, state, and federal officials and agencies; and supports the Board of Directors.

County Leaders Rally Against Water ‘Divorce’ With Fallbrook and Rainbow

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.

Water Authority General Manager Sandra Kerl Retires After 40-Year Public Career

San Diego County Water Authority General Manager Sandra L. Kerl retired Thursday after more than 40 years of public service, with Deputy General Manager Dan Denham taking over on an interim basis.

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 drought regionally and nationally.

“Sandy’s vision and management skills have been crucial in successfully navigating the challenges of an extreme drought while ensuring stability through the COVID-19 pandemic,” said Mel Katz, chair of the water authority’s board. “Her deep experience with water issues, collaborative management style, and can-do spirit guided the agency through an unprecedented period of change.”

Amid ‘Challenging Budget,’ County Water Authority Sets Public Hearing on 2024 Rates

Amid a “challenging budget cycle,” the San Diego County Water Authority board announced plans for a public hearing on June 22 regarding proposed wholesale water rates for 2024, followed by official votes on final rates.

Water Shortage Contingency Plan-Drought-WSCP-Water Authority

Water Authority Activates Water Shortage Contingency Plan

The San Diego County Water Authority today activated Level 1 – Voluntary Conservation of its Water Shortage Contingency Plan in support of Gov. Gavin Newsom’s efforts to sustain California after two record-dry years. The agency’s 36-member Board of Directors voted unanimously to activate the regional drought response plan for the third time this century.

The San Diego region continues to have reliable water supplies due to decades of conservation efforts and ratepayer investments. However, Water Authority Board Chair Gary Croucher said San Diegans should increase their conservation efforts in the face of a potential third dry year across California.

“San Diegans have always stepped up when duty calls,” Croucher said. “Today, our 36-member Board sends a unified message encouraging residents to conserve water, avoid water waste, and take advantage of rebates to improve water-use efficiency indoors and outdoors.”

Drought emergency declaration

On Oct. 19, Gov. Newsom extended his drought emergency declaration to cover the entire state and asked the State Water Board to ban wasteful water practices such as using potable water for washing driveways and sidewalks. In addition, the governor directed water suppliers to implement Water Shortage Contingency Plans, which are responsive to local supply-demand conditions.

Water Shortage Contingency Plan

The Water Authority’s Water Shortage Contingency Plan, or WSCP, is designed for situations in which the agency’s supplies have been reduced. Previous versions of the plan have been activated twice before – once in 2007 and again in 2014. While the region isn’t currently facing supply reductions, Croucher said the Board’s action to go to Level 1 sends a signal that increased voluntary conservation efforts are necessary, and it gives local retail water agencies flexibility to address local conditions. While the Water Authority’s WSCP Level 1 calls for 10% voluntary water savings, the agency is supporting the governor’s call for a 15% reduction.

WSCP Level 1 – WaterSmartSD

At Level 1, the Water Authority will continue and enhance regional outreach and education to promote conservation. The agency offers numerous tools to make the most of every drop at www.watersmartsd.org. Resources include:

  • Water-use efficient landscape classes for residential and professional landscapers
  • Rebates for indoor and outdoor water saving devices
  • Rebates for turf replacement
  • Water-use checkups for homes and businesses that include water-saving recommendations
Water Shortage Contingency Plan-WSCP-drought-Desalination

The Claude “Bud” Lewis Carlsbad Desalination Plant is the largest, most technologically-advanced and energy-efficient desalination plant in the nation. Photo: San Diego County Water Authority

Water supply reliability

The Water Authority is also developing a program to increase installation of low-flow toilets in low-income communities, and it’s looking for opportunities to help the parts of the state that are suffering from extreme water shortages. The Water Authority has groundwater stored in the Central Valley that could be exchanged or sold, and the Water Authority is seeking partners who could benefit from increasing water production at the Claude “Bud” Lewis Carlsbad Desalination Plant.

The Water Authority’s supply reliability is due to multiple factors, including the nation’s largest ag-to-urban conservation project which helps sustain the region’s $253 billion economy and the quality of life for 3.3 million people. In addition, the Water Authority developed the nation’s largest seawater desalination plant in Carlsbad, which provides 10% of the region’s water supply. Long-term conservation upgrades have also played a critical tole: the region’s per capita water use is down nearly 50% since 1990. San Diego County’s diversified water resources reduce pressure on the State Water Project and make more water available to other areas of the state hit hardest by drought.

SD Water Authority Mulls New Aqueduct

Addressing the San Diego region’s limited local water supplies with innovative ideas is something the San Diego County Water Authority has become known for. Using expertise gained from decades of successful planning and projects, the Water Authority is developing strategies to reduce the future cost of water that sustains the economy and quality of life across the county.

San Diego County Water Authority-Building at night-MWD

Water Authority Prevails in Rate Litigation

The San Francisco Superior Court has ruled the San Diego County Water Authority is the prevailing party in the agency’s first two lawsuits to be heard challenging rates and charges set by the Los Angeles-based Metropolitan Water District of Southern California. The order entitles the Water Authority to recover its attorneys’ fees and costs in those cases, in addition to a $44 million damage and interest award made earlier.

“San Diego prevailed, and the judgment not only benefits its own ratepayers but all of the nearly 19 million people in Metropolitan’s service area because enforcing cost-of-service principles serves the interests of all ratepayers,” said Superior Court Judge Anne-Christine Massullo in her Jan. 13 order, which can be appealed. The exact amount of recoverable fees will be decided later.

In light of the order, Water Authority Board Chair Gary Croucher reiterated the Water Authority Board’s longstanding desire to avoid litigation and find common ground with other MWD member agencies. “This ruling only enhances our determination to find an equitable resolution that will not only conclude the few issues that remain pending in court, but also help avoid future litigation as new rates and charges are being considered for 2023 and subsequent years,” he said.

Protecting water ratepayers

The Water Authority filed lawsuits between 2010 and 2018 challenging water rates and charges as they were set and imposed by MWD on San Diego County agencies and their ratepayers. After a favorable court ruling invalidating MWD’s Water Stewardship Rate on the Exchange Agreement, the Water Authority worked with MWD to try to resolve the remaining issues. The MWD Board promised to fund almost $500 million in local water supply projects in San Diego County and the Water Authority agreed to dismiss claims against MWD’s Water Stewardship Rate on supply, which is used to fund local projects under the MWD program.

“It is deeply gratifying that the court not only validated our claims but acknowledged the importance of protecting ratepayers by water agencies following the law,” Croucher said. “This week’s order makes it clear once and for all that our desire to protect San Diego ratepayers was never intended to harm MWD, its other member agencies or the ratepayers they serve. Rather, the litigation was necessary to address serious flaws in MWD’s rates that will, as the court said, ultimately benefit not only San Diego County ratepayers, but all Southern Californians.”

Rate litigation

The Water Authority’s first two rate cases – covering 2011 to 2014 rates – resulted in the court ordering an increase in the Water Authority’s preferential right to MWD water by as much as 100,000 acre-feet a year, equivalent to about twice the annual production of the $1 billion Carlsbad Desalination Project. MWD has already complied with this ruling and adjusted its records accordingly.

The court also determined that MWD must pay the Water Authority damages for illegal charges imposed on delivery of the Water Authority’s water under the Exchange Agreement. A Superior Court judge in August 2020 awarded the Water Authority $44,373,872.29 covering rates paid by San Diego County ratepayers during 2011-2014.

Water Stewardship Rate charges

San Diego County ratepayers have also avoided paying more than $45 million from 2018-2020 after MWD suspended its invalid Water Stewardship Rate charges on the Exchange Agreement. The improper charges would have cost local residents more than $500 million over the term of the Exchange Agreement. Currently, MWD owns the only pipeline that can deliver the Water Authority’s independent supply of Colorado River water to San Diego County and it sets the unregulated water rates which govern and control the delivery of water to San Diego County.

In addition, the court ruled that MWD had illegally barred the Water Authority from receiving money from MWD’s local water supply program, even though the Water Authority was still being forced to pay for it. MWD lifted the ban in response to the court’s order, and ultimately promised the nearly $500 million for water supply projects in San Diego County including the City of San Diego’s Pure Water North City Project Phase 1, East County Advanced Water Purification Project, Escondido Membrane Filtration Reverse Osmosis Facility and Fallbrook Groundwater Desalter Project.

The Water Authority's Water News Network won a Bronze Bernays Award from the Public Relations Society of America San Diego/Imperial Chapter.

Water Agency Outreach Efforts Honored

The San Diego County Water Authority and three of its member agencies were recognized Dec. 17 by the Public Relations Society of America San Diego/Imperial Counties chapter for outstanding work in public outreach and education efforts.

The 2020 PRSA Bernays Awards were presented for communication on a variety of platforms, all designed to inform stakeholders and ratepayers about initiatives ensuring a safe and reliable water supply. Awards were presented virtually via live Twitter feed.

The Silver Bernays Award of Merit went to the Water Authority for "Engaging Hispanics on Water Quality Issues." Photo: PRSA SD/IC

The Silver Bernays Award of Merit for “Engaging Hispanics on Water Quality Issues.” Photo: PRSA SD/IC

The Water Authority received the Silver Bernays Award of Merit for Multicultural Public Relations for “Engaging Hispanics on Water Quality Issues,” and a Bronze Award of Merit in the Research/Evaluation category for “Researching Themes for Hispanic Outreach for Water Quality.” The agency’s Water News Network received a Bronze Award of Merit in the Websites category.

Earlier this year, the Water News Network was named “Best Website” among California public agencies in the California Association of Public Information Officials EPIC Awards competition. The website was also awarded first place as “Best Public Service or Consumer Advocacy Website” in the 2020 San Diego Press Club Journalism Awards.

“During the initial outbreak of the COVID-19 pandemic, it was more important than ever for the Water Authority to intensify its efforts to communicate with our audiences and assure them that the virus was not transmitted through the public water system and the essential work to provide a safe, reliable water supply continued without interruption,” said Denise Vedder, director of the Water Authority’s Public Affairs Department.  “In partnership with our member agencies, the Water News Network and our Hispanic outreach initiative played a key role in achieving this goal, and it is rewarding to be recognized by PRSA San Diego/Imperial Counties chapter for those results.”

Water agency outreach wins recognition

Padre Dam Municipal Water District and the cities of San Diego and Oceanside also received awards for outreach and education programs.

City of Oceanside employees Carlos Raymundo (closest) and Shawn Alonzo view the award-winning Pure Water Oceanside wall art project. Photo: City of Oceanside

Oceanside employees Carlos Raymundo (front right) and Shawn Alonzo view the Pure Water Oceanside wall art project. Photo: City of Oceanside

The City of Oceanside and NV5 Inc. recognized in three categories for Pure Water Oceanside:

Silver Award of Excellence, Campaigns: Events and Observances – Less Than Seven Days – “Pure Water Oceanside is on the Map!”

Bronze Award of Merit, Creative Tactics – “Wall Art Tells Story of Water’s Past, Present, & Future”

Bronze Award of Merit, Video – “Pure Water Oceanside Video”

“The City of Oceanside is proud to put Pure Water Oceanside on the map,” said Cari Dale, water utilities director, City of Oceanside. “Once complete, Pure Water Oceanside will provide more than 30% of Oceanside’s water supply. Our staff and consultants are dedicated to providing Oceanside with innovative solutions to water reliability and continued water reuse education.”

The City of San Diego, along with Katz & Associates, received a Silver Bernays Award of Merit in Campaigns, Events, and Observances – Less Than Seven Days for its “2020 Pure Water San Diego Virtual Contractor Expo.”

City of San Diego Director of Public Utilities Shauna Lorance welcomes viewers to the new virtual tour. Photo: City of San Diego water agency outreach

City of San Diego Director of Public Utilities Shauna Lorance welcomes viewers to the new virtual tour. Photo: City of San Diego

“Outreach remains a key element of our Pure Water program,” said Shauna Lorance, director of public utilities for the City of San Diego. “When the pandemic made in-person engagement impossible, our community outreach and project management teams rose to the challenge and implemented a successful 2020 Pure Water Virtual Contractor Expo. Providing the personal outreach to potential contractors allows the contractors to develop the best bids possible and helps ensure a successful Pure Water project.”

The Padre Dam Municipal Water District won a Bronze Award of Excellence for its 2019 Annual Report.

The cover of the award-winning Padre Dam Municipal Water District 2019 annual report. Photo: Padre Dam MWD

The award-winning Padre Dam Municipal Water District 2019 annual report. Photo: Padre Dam Municipal Water District

“Padre Dam is proud of our communications team for the great thought, creativity, and appreciation of the District’s work that is put into projects like the annual report,” said Melissa McChesney, communications manager for the Padre Dam Municipal Water District. “They do all of this in order to share with our customers the important work and services we provide to our community.”

The SCOOP SD program and Tracks PR received a Silver Bernays Award of Excellence in Campaigns: Events and Observances – Less than Seven Days, Business, and a Bronze Bernays Awards of Merit in Creative Tactics, both for Sweet Relief for Small Biz During COVID.

Litsa Tzotzolis-Water Utility Hero of the Week-Essential workers

Water Utility Hero of the Week, Litsa Tzotzolis, San Diego County Water Authority

Editor’s Note: This feature highlights water utility employees in the San Diego region working during the coronavirus pandemic to ensure a safe, reliable and plentiful water supply. The water industry is among the sectors that are classified as essential. Litsa Tzotzolis, San Diego County Water Authority Public Affairs Representative, is the Water Utility Hero of the Week.

Water Utility Hero of the Week: Litsa Tzotzolis

Job/Agency: San Diego County Water Authority Public Affairs Representative

How did you become interested in working in the water industry?

I always wanted to work for a  governmental organization. When moving back to the U.S. in 2010, I discovered a website that promoted government jobs. I saw that the Water Authority was hiring and they were looking for someone that had my skills and I applied. Working for a governmental organization impacts the lives of others and I wanted to impact the lives of others. At the Water Authority, we provide water to people, so it is public service work.  I worked at San Diego State University for nearly four years before coming to the Water Authority. Like working for water, at the university I was able to impact the lives of students in a positive way.

How has your job changed during the pandemic?

Not much, 100% of my job is done on the computer. The only thing that has changed is the way I interact with colleagues. We have moved to interacting virtually. I connect with colleagues through Microsoft Teams which I am able to train and advise them on graphic matters.

How are you keeping safe?

I’m usually always home and only go out to walk, play tennis or grocery shop. I try to exercise daily, eat home cooked meals, eat as many fruits and vegetables as I can.

What are you most looking forward to after the crisis ends?

To go visit family in Chicago, Italy and Greece.

The Water Utility Hero of the Week highlights essential work performed during the COVID-19 pandemic by the San Diego County Water Authority and employees of the San Diego County Water Authority’s 24 member agencies.

San Diego County Water Authority Member Agency Map