South Orange County Water: A World Of Change Coming

Water World Changes Already Here: Right Now

"Changes In Latitudes, Changes In Attitude" Jimmy Buffett

Change is our only certainty, our only constant as humans, all things being impermanent. Everything water-related in South OC (SOC) is in an era of great flux and major transitions.

The 2020 Decennial Census

Industry "K-nowers" are both knowledgeable and in the now, have realized, like marriage for the better or for the worst, that the US 2020 Decennial (every 10 years) census is beginning to cascade and in some situations totally restructuring both the elected governance players and the playing field.

Everything: State and federal legislative boundaries, from county supervisor to municipal councils to local water district boards, change is occuring, and you might get fluxed whether you approve, whether you struggle, whether you like it or not. "Give up: Resistance is futile!"

K-nowers here in the land down under, the Deep South of "The OC" are aware that since 2010, many of the former at-large voting dynamics have gone the way of the dodo bird, so yesterday and now so quaintly antiquated. Like George Harrison warned us, "All Things Must Pass."

Some career politicians ARE in fact actual and not virtual"dodos" (a dull-witted species, cousins of pigeons with outmoded and obsolete mindsets, autocratic, narcissistic, who think life is like a never ending, circa 1970 high school popularity contest ) is a topic for another venue. Then again, nearly extirpated, maybe we'd be better off if these bright shiny people did become things of the past, were sequestered in zoos where they can't harm themselves or others?

Meanwhile, hula hoops, yo-yos, retro vinyl records and turntables, vintage tube amplifiers and ubiquitous cow bells in recording studios have made comebacks, but the combination of both voluntary and confrontationally litigated demands for districts is where we find ourselves.

On the other hand, hey hey, my my, looks like we're finally getting plenty of that much-needed mercury in our seafood, so howsabout some positivity, keep on the sunny side of life? Namaste!

Unfortunately, an entire cottage industry of "sue and settle" attorneys have sprung up like pesky weeds after the rain. They use Notices of Intent (NOI) filings to force the from at-large-to-district issue, such filings have been increasing up and down the state since the 2010 Decennial Census.

The mechanism is embedded in the California Election Code §s 21600--21609, and after every US census there's a revisit, a recalibration of demographic maps as mandated:

https://leginfo.legislature.ca.gov/faces/codes_displayText.xhtml?lawCode=ELEC&division=21.&title=&part=&chapter=7.&article=1

Filing an NOI regarding the CEC guidelines (passed and enacted in 1994) usually triggers auto-settlements ("just go away $$$") in the hefty 5 figure range, triggering the mandatory launching of the by-district, reapportionment process for both South OC municipalities and utilities alike in this century.

Lynchings of such opportunistic leeches, these particular types of lawyers have, to my crushing dismay, fallen off tremendously and it's cheaper (think Mafioso) to pay. That avoids long term sieges and bad ju-ju, aka main stream media coverage and social media character assassinations. Can you say "Next Door" or maybe "Instagram?" Mr. Roger knew you could!

Both San Juan Capistrano (SJC) and Dana Point (DP) carved out districts in their attempts at "population equity," and haven't exactly made their voters 100% happy campers subsequently. Mission Viejo was served a few years back under the Codes, and are on the verge as I write.

For the water world K-nowers, South Coast Water District (SCWD) was served their NOI and I was there when the litigating attorney brazenly showed up asap at the next Board meeting to take questions and I assume unabashed, unashamedly pick up his moolah?

He alleged that his undisclosed clients of color (IMO phantoms) weren't represented equitably on SCWD's Board. Regardless, I think by now SCWD has tossed him his ducats ($25-30,000?) and will probably move to districts in 2024. Like many predecessors, they've been forced to spend a lot of money hiring a demographer to help analyze then carve out district boundaries.

K-nowers are aware that some SOC water and wastewater utilities have gone through both the consolidation process and/or district transformation these past 25 years. Often formal approval by the Local Agency Formation Commission of Orange County (LAFCO) is mandatory: "Founded in 1963, the LAFCO strives to ensure the delivery of effective and efficient public services such as water, sewer, public safety and parks by local governments to OrangeCounty residents."

Santa Margarita Water District (SMWD) and their legal counsel wisely saw the handwriting on the wall, have committed to districts by 2024 as well. Having annexed SJC's water/wastewater utility this past fall, the LAFCO process "only" took about 6+ flipping marathon years! It made the Bataan Death March look like a 100 meter sprint.

Don't be surprised if SMWD (5 seats presently) eventually expands to 7 districts once you've viewed their demographic stats, but that could be a ways off. With SJC they grew by double-digit percentages and one of SMWD's biggest customers, Rancho Mission Viejo (RMV) isn't totally built out yet to its 14,000 unit, phased construction completion. Don't be shocked if SMWD stays at 5, at least for the meanwhile.....I'm just tossing the thought out there, k?

And don't be surprised if RMV doesn't eventually apply to LAFCO regarding incorporation, city-hood, with about 40,000+ residents by around 2030. It's quite possible that SMWD's additional 2 seats-cum-districts would feature 1 seat for RMV/Talega (SMWD services Talega due to a former RMV agreement) and 1 for SJC.

SMWD might want to wait a few years until the annexation has run an election cycle through 2024, then start the 7 member conversation looking ahead to 2026--2028. SJC has an unusual number of large development/redevelopment projects in the queue, RMV only about 40% at most built out. SMWD might be wise to hold off for 4-5 years starting 7 member district discussions.

Regarding the creation of districts, it's up to the electorate to be savvy, extra aware and avoid getting fluxed when the domains are officially formed and certified. The price of liberty and democracy is eternal vigilance. A basic understanding of the water world and how it works, one should be no less alert or in a carefully attentive mode.

The creation of districts doesn't always turn out well right away if ever. Typically an odd number of districts is sought to avoid ties regarding votes on strategic visioning, projects or ordinance/regulation changes, master and specific area management plans, etc., move them forward, sometimes delay or kill them outright due to NIMBYISM.`

2nd largest in SOC Moulton Niguel Water (MNWD) and Irvine Ranch Water (IRWD) Districts respectively have already done so via 5 boundary map seats identified as districts (MNWD), or divisions (IRWD).

What we lack in locally-produced drinking water (Title 17 potable level purity standards in California), is startlingly small, the overwhelming majority supplied is imported via Metropolitan Water District of Southern California (MET) infrastructure (aqueducts, etc.). Their sources are in turn the Northern California Delta and the Colorado River.

Rate Increases By MET

To be simplistic, there's a kind of middleman brokerage by Municipal Water District of Orange County (MWDOC), who gets a small piece of the action: MET's basically wholesale for want of a better analogy, MWDOC is a "paper agency," i.e. MET's county administrative go-between, and responsible for herding all of the our County's utility cats who want to lap at the trough.

Many of the 27 retail water agencies have competing interests, so occasionally scuffles break out. Anaheim, Fullerton and Santa Ana are not in MWDOC's service domain, but are original members of MET (circa 1928). Confused yet?

MWDOC takes a comparatively minuscule bite for administrative overhead. Ex.: I'm told that MWDOC might be increasing per meter rates soon that could result in around a .75 cents to a dollar more per meter on what they bill distribution agencies. Inflation and unpredictable weather patterns being what they are today, realistic planning is become difficult for MET, MWDOC and your utility provider.

Some purchasing agency providers feel abused, that both are de facto monopolies (sole sources) because there's no alternative. The huge conveyors, the aqueducts, are MET's, and that age old adage applies: "Whomever has the supply-and-demand gold makes the rules."

On the docket at MET's Finance & Insurance Committee (Monday, February 7th), they announced a biennial, 8%/year rate increase discussion, from July 1st, 2022 thru June 3oth, 2024----double the usual 3-4%/year increases of the past. My MET insider says that it's got very good chance of being passed once kicked up for a full Board vote. Great Googly Moogly!

MET alleges that they need this 5%/year more to "catch up for the loss the Water Stewardship Rate revenue" plus 3%/year for other previously unpredicted costs. Including less demand, which is how the convoluted Alice-In-Wonderland logic and at times contradictory waterworld functions.

According to MET, So Cal agency purchases are projected to decrease by 60,000 acre feet over the next 2 years, here's a direct quote "These lower projected water demands have resulted in a higher rate increase than previously forecasted."

So yippee, we heard you! Our local provider districts and we, as consumers, we're all being responsible, conserving, using significantly less indoors and outside, overall per capita down, and you're jacking the sticker price up for a life-giving, life-sustaining necessity?

Granted water has been under-valued, a commodity kept inexpensive and taken for granted by Californians, rates relatively cheap in spite of inflation and whatnot, all things considered. Tiered rates became common, you paid more if you used more than you previously averaged.

That imposed 16% total increase over the next 2 years will in turn be painfully passed along, like a kidney stone, to water districts and thence imposed upon you via your utility invoices and/or property taxes. Ratepayers will be tempted to shoot the messenger, their provider, the one that's been trying to navigate, jump through State regulatory and MET indices contortive hoops.

Yes, prices having been relatively low and have created untenable expectations that due to drought cycles and population growth, ridiculously low historical rates couldn't possibly be maintained indefinitely. But the pricing arc wasn't this steep, the shock and awe so abrupt.

A paradoxical, convoluted and esoteric bind regardless, aka "Catch-22," it's damned if you use more, damned if you use less. It'll be interesting to observe how and when, in what form districts break the news to their ratepayers.

Here's the link to the MET website for those who self-educate and might well feel like self-medicating afterwards
https://mwdh2o.legistar.com/Vi...

SOC's 2 Joint Powers Authorities: Dissolution & Restructuring?

K-nowers are paying a lot of close attention to the SOC Wastewater Authority (SOCWA--a LAFCO consolidation in 2001) and the San Juan Basin Authority (SJBA--created in 1971) foreshadowing ch-ch-ch-changes.

The SJBA had 4 utilities members, they're theoretically compliance stewards, managers of the lower 26 sq. miles of SJ Creek groundwater supplies and retainers of the Basin's appropriative water rights through the State Water Resources Control Board's permitting system .

Coupled with the SJC utility annexation by SMWD and MNWD's anticipated NOI to withdraw permanently, served on the JPA in January (Outta there by July 1, 2022), this leaves only SMWD and SCWD. Look for a dissolution of the JPA, both district's negotiating a leaner, more efficient path partnership forwarded and memorialized via cooperative agreements.

As for the other, SOCWA , IRWD has informed the JPA that it intends to withdraw permanently, and once again SJC as well due to the annexation. This reduces them from 10 to 8 members.

Adding to the probable collapse and restructuring/reorganization of SOCWA is the internal strife and emerging tug-a-war regarding "weighted voting." Presently all SOC members are equal, each has 1 vote. Weighted voting has variable voting power as determined by its infrastructural and administrative shared usage, including population numbers that each member district services.

Compounding the emerging recalibration, the reincarnation or "reboot" of SOCWA 2.0, are the smoke signals coming from the JPA's largest members. Don't be surprised if by 2025, hopefully the initial implementation of the Direct Potable Reuse and Indirect Potable Reuse updated guidelines, other consolidation configurations could come up on the radar screen:

(a) SCWD assumes 100% management regarding the O&Ms of the Coastal Treatment Plant (Aliso Canyon), (b) MNWD ditto the Regional Treatment Plant on La Paz + 3A Treatment Plant at Oso & the 5 Freeway, plus (c) SMWD the JB Latham Plant on Del Obispo (near PCH in DP).

All 3 districts might even pursue outright full or co-ownership for said 4 facilities.

The fate of SOCWA's staff is nebulous, field personnel perhaps transferred/hired by the respective 3 districts to ensure smooth transitioning. Once divested of O&M field duties and possibly singular agency ownership of these plants, what's left would be a form of collective administrative management, plus logistical support wastewater science and enviro-compliance departments working out of the existing offices on Del Obispo.

Conclusion

Realigned districts in every layer of elected governance, appreciably higher water rates, new recycled and drinking water regulations to comply with, either the dissolution or major reorganization of our SOC water and wastewater industry, you don't need to be Nostradamus or consult with the Oracle of Delphi to know that "The Times They Are A-Changing."

Author Roger E. Bütow is the Founder (1998) and Executive Director of Clean Water Now

CWN is an innovative, science-based organization committed to solution-oriented collaboration as a means of developing safe, sustainable water supplies while preserving healthy, viable ecosystems.
www.clean-water-now.org