After three years and a contentious fight, ratepayers in Fallbrook and Rainbow will finally have their say on whether to leave the San Diego County Water Authority in November's special election.
But for a while, that vote was in jeopardy.
When the San Diego County Local Agency Formation Commission (LAFCO) approved the detachment in July, there was a bill making its way through the California Legislature that could have upended that.
Detachment is a two-step process. After LAFCO's approval, voters in the affected areas also need to approve it — in this case, that refers to Fallbrook and Rainbow.
Assembly Bill 399 (AB 399), sponsored by North County Assemblymember Tasha Boerner, would have required the entire county to vote on the matter. She said it was to give all ratepayers a voice in a decision that affects their basic needs, such as water.
"AB 399 provides a necessary safeguard moving forward for utility customers in the region struggling to make ends meet," Boerner said on the Assembly floor on Sept. 12. "I ask for your 'aye' vote on this district bill to ensure that all water ratepayers in San Diego County have a voice when changes in governance have a direct impact on them."
Boerner said the bill, which only affects San Diego County, is meant to address some of the shortcomings in the LAFCO process.
But that's not how Tom Kennedy, the general manager for Rainbow Municipal Water District, saw it. He called it "lousy public policy."
He said the bill was rushed through the legislature for the benefit of one party: the Water Authority.
"I think the right way to go about amending the Water Authority Act is for the member agencies of the Water Authority to sit down together, talk about what would work for everyone and then as a group bring it forward,” Kennedy said.
Originally, AB 399 had an urgency clause, meaning it would go into effect immediately. That could have torpedoed Fallbrook and Rainbow’s vote next month. The clause, however, was stripped from the final version of the bill that was passed by the Legislature last Tuesday.
The bill still needs to be signed by Gov. Gavin Newsom. If signed into law, it will take effect next year. The concern is that it will have a chilling effect on smaller agencies wanting to leave the Water Authority.
David Drake, director of the Rincon del Diablo Municipal Water District in Escondido, said the bill would further disenfranchise voters and local control.
“Thirty years ago, they disenfranchised 60% of the county by having ad valorum voting," he said. "This would take to a further step in terms of forcing the smaller agencies to act in ways that are not in their best interest.”
San Diego Mayor Todd Gloria, who supports the bill, said AB 399 will protect ratepayers in the county.
According to the Water Authority, if Fallbrook and Rainbow leave, the rest of the county could be stuck paying roughly $140 million in infrastructure improvements. That amount would have been covered by the two North County water agencies.
LAFCO did approve a roughly $25 million "exit fee." The Water Authority said LAFCO staff used outdated numbers to come up with that amount, which would leave the rest of the member agencies picking up the $100 million-plus tab.
In a statement, Gloria said that’s not fair for the rest of the region.
"Agencies shouldn’t be able to just leave the rest of us to foot their share of the bill," he said. "AB 399 provides an important and necessary safeguard for the rest of the region’s ratepayers"
The infrastructure costs, however, are part of the reason why Rainbow and Fallbrook wanted to leave the Water Authority. They say those improvements will not benefit their customers.
While the bill won’t affect his agency in Escondido, Drake said it’s a slap in the face for the concept of local control.
“I think (AB) 399 is another example of how the city of San Diego wants to try to dominate the water authority as if it were its own agency rather than a countywide agency covering all three plus million people in the county,” he said.
Newsom has yet to indicate whether he will sign or veto the bill. Drake said he hopes the governor will see how badly the bill will damage democracy.
Meanwhile, for ratepayers in Rainbow and Fallbrook, come this November, they have a decision to make: to stay or leave.
