Adds quotes from the CLWA and Newhall County Water officials

The Santa Clarita Valley Water Agency bill, authored by Senator Scott Wilk, was signed into law by Gov. Jerry Brown on Sunday, according to his office.

Wilk’s water agency bill, also known as SB 634, reorganizes the Castaic Lake Water Agency (CLWA) and the Newhall County Water District (NCWD) into the Santa Clarita Valley Water District (SCVWD) to provide, sell, manage and deliver water at retail or wholesale within the district’s territory.

The bill was overwhelmingly supported by both the Castaic Lake Water Agency and the Newhall County Water District governing boards.

Click here for the full text of the bill.

“I think you have to salute the board of directors for (both agencies) to realize what’s in the best interest of our ratepayers,” Wilk said, “and for them to come together after years of litigation to create this new agency.”

The move has been touted by supporters as a way to deliver water more efficiently and less expensively, by virtue of gaining more purchasing power, to name one example. Those opposed to the effort have noted that by making this move legislatively, lawmakers are by passing the procedure set in place to form a new agency.

The legislation reorganizes Newhall County Water District and Castaic Lake Water Agency into the Santa Clarita Valley Water Agency, which will launch Jan. 1, 2018.

“This is a historic day for the Santa Clarita Valley,” said Maria Gutzeit, NCWD board president. “We have worked tirelessly with Senator Wilk, our customers, environmental organizations, local government and businesses over the last two years to create something special for our community. We are grateful that the Governor saw the wisdom in creating a new, modern era of water management in the Valley.”

SCV Water will unify a fragmented system of small water providers into a modern and collaborative model. It was created as part of a nearly two-year public engagement process that included stakeholders from across the region.

“The creation of SCV Water is a testament to the extraordinary achievements we can accomplish when we work together,” said Bob DiPrimio, CLWA board president. “SCV Water puts us firmly on the path of unified water management. This is a proud moment for our region.”

The new agency is expected to save $14 million in its first 10 years and result in enhanced water reliability, including growth of a recycled water supply, better groundwater management and environmental and watershed protections, according to water officials.

Three evenly sized electoral divisions will provide equal voting rights and representation to all corners of the Santa Clarita Valley for the first time in the region’s history.

Leaders from CLWA and NCWD will hold public meetings to develop an operational framework and policies. The meetings begin at 6 p.m. on Oct. 24 at NCWD, Nov. 13 at CLWA, and Dec. 4 at a location to be determined.

“As the legislative process of forming the new agency comes to a close, the work of building it has just begun,” Gutzeit said. “This will be an ongoing and methodical process that will engage the public as much as possible.”

Wilk said Sunday that legislation was the most appropriate route to go for consolidating the districts, noting the original CLWA, which wholesales the Santa Clarita Valley its water, was created by legislation back in 1962.

Late opposition prompted several revisions, Wilk said. He also said the legislative process changed the bill several times.

From a previous story: SB 634, Santa Clarita Valley Water District Bill, Set For September 1 Hearing

The bill was amended in the Assembly Appropriations Committee in August, with the following changes, according to an analysis on LegInfo:

1) Require that if SCVWD establishes a contract with the Public Employees” Retirement System (PERS), it must be the successor agency to CLWD and NCWD for purposes of continuity of membership in PERS for employees.

2) Require the SCVWD ratepayer advocate to be independent from SCVWD staff and to advocate on behalf of customers within the districts’ boundaries to the board of directors (Wilk).

3) Authorize SCVWD, through a pilot program, to award contracts for recycled water program capital facilities construction projects over $500,000 using the design-build construction process or using construction manager at-risk contracts if, by September 30, 2018, SCVWD has entered into a community workforce agreement with the Los Angeles/Orange Counties Building and Construction Trades Council, as specified.

The second amendment was brought forth at Wilk’s suggestion, he said, addressing concerns that had been mentioned regarding the new agency’s potential powers.

Late last year, the boards of the Castaic Lake Water Agency (CLWA) and Newhall County Water District (NCWD) voted to support legislation that would dissolve the two agencies and create a new valley-wide water agency. Senate Bill 634 is the fruit of those negotiations.

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