SAN DIEGO (KUSI) – The San Diego County Water Authority’s board offered Thursday to settle a long-running dispute over rates with the giant Metropolitan Water District of Southern California.
For decades now, the Metropolitan Water District headquartered in Los Angeles has been selling water to San Diego County, water that’s mostly piped in from the Colorado River. From the perspective of the San Diego County Water Authority, it hasn’t been a very good deal for San Diego.
Water Authority Board Chair Jim Madaffer says San Diego has been paying higher rates, in part to subsidize other water agencies. He hopes that bringing an end to the lawsuits will ultimately help consumers.
Water Authority Board Chair Jim Madaffer tells KUSI News Reporter Sasha Foo about the offer the Water Authority has made to the Metropolitan Water District of Southern California that would end litigation between the two wholesale water suppliers. Screenshot: KUSI News/Water Authority
Settlement Offer To MWD
The offer asks MWD to make $140 million in payments to San Diego County water customers to cover claims from 2011 through 2020 and, in the future, follow new procedures in setting water rates.
The Water Authority delivers wholesale water supplies to 24 retail water providers, including cities, special districts and a military base in San Diego County.
The San Diego County Water Authority’s board offered Thursday to settle a long-running dispute over rates with the giant Metropolitan Water District of Southern California.
The offer, made following a special board meeting, asks MWD to make $140 million in payments to San Diego County water customers to cover claims from 2011 through 2020 and, in the future, follow new, transparent procedures in setting water rates.
“The Water Authority’s proposal would benefit residents across San Diego County, enhance understanding of how MWD’s rates are set, and provide more opportunities for our agencies to collaborate in ways that would benefit water management across the Southwest,” said Water Authority Board Chair Jim Madaffer.
He said the offer “reflects our board’s strong desire to work with MWD without being under a cloud of litigation, while protecting the interests of San Diego County residents.”
The San Diego County Water Authority’s Board of Directors is committed to resolving litigation over rates and charges with the Metropolitan Water District of Southern California. After months of detailed, confidential settlement discussions with best efforts by both parties, no settlement has yet been reached. However, the Water Authority remains optimistic about finding a resolution — all the more so after the Metropolitan board voted on Tuesday to spend $285.6 million in support of the City of San Diego’s Pure Water project.
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 Lee2019-12-16 10:25:002019-12-19 19:23:50Commentary: How San Diego Water Agency is Seeking to Protect Ratepayers
Next year would mark a decade of lawsuits by the San Diego County Water Authority challenging the Metropolitan Water District of Southern California’s uniform rates set by our Board of Directors after many public meetings and hearings. For nearly my entire tenure on the board, SDCWA has been pursuing litigation against Metropolitan. One of my goals as chairwoman is to put this era behind us.
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 Lee2019-12-13 12:02:192019-12-18 14:18:40Commentary: Why SoCal Water Agencies Must End Litigation Era
The San Diego County Water Authority Board of Directors Nov. 21 approved a new and permanent Special Agricultural Water Rate program structure that offers lower water rates to farmers in exchange for lower water supply reliability.
Unlike the current temporary program, the structure of the new water rate program will let new participants join as a way to strengthen the region’s multi-billion-dollar agriculture industry.
New ag water program rates will be determined in the spring of 2020 as part of the Water Authority’s annual rate-setting process. The program will take effect January 1, 2021, replacing the current program that sunsets at the end of 2020. Additional program details, such as the signup process and qualifying criteria, also will be developed early next year.
Special water rate program supports regional farm economy
Farmers and growers who participate in the new program will continue to receive a lower level of water service during water shortages or emergencies, allowing the Water Authority to reallocate those supplies to commercial and industrial customers, who pay for full reliability benefits. In exchange, participating farmers are exempt from fixed water storage and supply reliability charges. Under the current temporary program in 2020, participants will pay $1,231 per acre-foot for treated water, while municipal and industrial users will pay $1,686 per acre-foot.
“Creating a permanent program will benefit all regional water users,” said Water Authority Board Chair Jim Madaffer. “It helps farmers sustain their operations – and thousands of jobs – while providing a benefit to residential and commercial water customers in the event of future water supply reductions.”
San Diego County leads nation in production of nursery crops and avocados
“Every farmer in the county supports the special rate,” said Hannah Gbeh, executive director of the San Diego County Farm Bureau. “The agriculture community stands ready to provide significant water cutbacks in times of need, such as drought or emergency repairs.”
San Diego County is unusual among major metropolitan areas in the United States because it includes one of the nation’s most valuable and productive farm sectors adjacent to one of the nation’s largest cities.The region sustains 3.3 million people and a $231 billion economy thanks to decades of regional investments in water supply reliability projects, including the nation’s largest seawater desalination plant and the biggest conservation-and-transfer agreement in U.S. history.
Input from growers and farmers for agricultural water rate program
The Water Authority has provided lower-cost water to growers in exchange for lower reliability since October 2008, when the Metropolitan Water District of Southern California phased out a similar program. Since that time, the temporary Water Authority program has continued with a series of extensions set to expire at the end of 2020.
The new program was developed by the Water Authority’s Fiscal Sustainability Task Force, which is assessing a variety of issues to ensure the agency’s long-term financial health. Regional farming leaders provided input to the task force on the parameters of the new program.
https://www.waternewsnetwork.com/wp-content/uploads/2019/11/SAWR-2-WNN--e1574358020455.jpg449845Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2019-12-02 10:03:242019-12-02 10:03:24New Agricultural Water Rate Program Benefits San Diego County Growers
A former Public Utilities Department leader has filed a lawsuit against the city of San Diego, claiming officials illegally diverted $1 million in water and wastewater funds to other city services and fired her for refusing to conceal the activity.
Susan LaNier, a former deputy director and internal auditor for the utilities department, was one of five utility leaders the city fired in February, following public outcry over billing errors and accusations of mismanagement within the department.
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 Lee2019-11-30 09:08:082019-12-03 09:55:37Lawsuit Says City Utilities Department Leader Was Fired for Exposing Illegal Activity
The San Diego County Water Authority’s Board of Directors last week authorized actions to seek to ensure all San Diego County voters are heard on plans by the Rainbow and Fallbrook water agencies to leave the regional water wholesaler and instead join a Riverside County water agency.
The Board of Directors approved a resolution to ask the San Diego Local Agency Formation Commission – known as San Diego LAFCO – to require approval by voters across the Water Authority’s service area of any proposed “detachment” by the Rainbow Municipal Water District and the Fallbrook Public Utility District from the Water Authority. Detachment from the Water Authority has potential impacts for water agencies, fire districts and water ratepayers across San Diego County.
The San Diego County Water Authority’s Board officers Thursday thanked the Metropolitan Water District of Southern California for making a public offer to settle litigation over MWD’s rates, and directed staff to take the following actions:
Schedule special Board meetings in December and January to expedite the process in hopes of reaching a conclusion in early 2020; and
Draft a durable, public and mutually beneficial settlement offer for review by the Water Authority Board; and
Invite MWD General Manager Jeff Kightlinger to discuss settlement with the Water Authority Board and schedule a reciprocal visit by Water Authority General Manager Sandy Kerl to MWD’s Board.
The San Diego County Water Authority’s Board officers today thanked the Metropolitan Water District of Southern California for making a public offer to settle litigation over MWD’s rates, and directed staff to take the following actions:
Schedule special Board meetings in December and January to expedite the process in hopes of reaching a conclusion in early 2020; and
Draft a durable, public and mutually beneficial settlement offer for review by the Water Authority Board; and
Invite MWD General Manager Jeff Kightlinger to discuss settlement with the Water Authority Board and schedule a reciprocal visit by Water Authority General Manager Sandy Kerl to MWD’s Board.
https://www.waternewsnetwork.com/wp-content/uploads/2019/10/WA-Square-Logo.jpg200200Mike Leehttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngMike Lee2019-11-21 17:40:352019-11-22 08:49:41Water Authority Takes Actions to Advance Rate Case Settlement with MWD
The City of San Diego is reminding its water customers that starting Sunday they will be paying more for water.
The price customers pay will be going up 4.82 percent to help pay for water reliability and infrastructure improvements. When combined with a 1.46 percent increase implemented by the San Diego County Water Authority, the total increase starting Sept. 1 will be 6.28 percent, city officials said.
https://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.png00Gayle Falkenthalhttps://www.waternewsnetwork.com/wp-content/uploads/2024/04/WNN-Horizontal-White-Blue2.pngGayle Falkenthal2019-08-29 10:18:462019-08-30 14:44:13San Diego’s Water Rates Go Up On Sunday