On June 28, 2022, the U.S. District Court, Central District of California, awarded the Santa Clarita Water Agency, (SCV Water) a final judgment of $65.9 million for the cleanup of local groundwater contamination by the Whittaker Corporation. 

An earlier settlement in the case with Saugus Industrial Center, a cross defendant, resulted in a $2.9 million contribution, for a total recovery of $68.8 million, according to SCV Water officials.  

A jury found in December 2021 that Whittaker, a wholly owned subsidiary of Meggitt PLC, was primarily responsible for the damages sought by SCV Water, according to officials. 

The final judgment incorporates the jury award as well additional amounts that were subject to a bench trial. SCV Water’s trial team was led by Patrick Richard and Byron Gee of the Nossaman law firm, according to officials.   

“This judgment comes as a result of the proactive steps we’ve taken to protect our ratepayers by getting the Whittaker Corporation to pay for the remediation of the contamination they’ve caused,” said SCV Water Board President Gary Martin. 

Restoring Vital Water Supplies 

The money SCV Water receives from this judgment is expected to be used to construct and operate new treatment facilities to remove perchlorate and volatile organic compounds (VOC) from several impacted wells and restore lost groundwater production, according to officials. 

A portion of the funds are also set to cover past expenditures that resulted from Whittaker’s contamination. 

Groundwater is an important local and sustainable water resource in our supply portfolio, according to officials. 

This supply becomes increasingly important considering our current drought conditions. 

Groundwater Contamination in the SCV: History and Legal Actions 

Perchlorate was first detected in groundwater wells in the Santa Clarita Valley in 1997. The 

predecessors to SCV Water, formerly Newhall County Water District, Santa Clarita Water Division, Valencia Water Company and Castaic Lake Water Agency, investigated the source of contamination and determined that the contamination came from the former Whittaker-Bermite site. 

After multiple settlement attempts with Whittaker and then property owner, Santa Clarita, LLC 

(SCLLC) proved to be unsuccessful, a complaint was filed against Whittaker and SCLLC in 2000 to pay for the costs to address groundwater contamination near the Whittaker-Bermite site. 

Following a 2003 court decision that Whittaker and SCLLC were liable for the costs of groundwater clean-up,  the parties began settlement negotiations to develop a plan to treat perchlorate found in the drinking water wells and contain the perchlorate contamination from spreading to other groundwater supply wells, SCV Water officials said.  

In 2007, the predecessor water companies entered into a multi-million dollar settlement agreement with Whittaker and its insurers that, among other things, paid for the construction of a state-of-the-art perchlorate treatment facility, located near Lowe’s off Bouquet Canyon Road, which began delivering treated groundwater in January 2011, according to SCV Water officials. 

The settlement agreement also funded two replacement wells that are under construction near Magic Mountain.  

Working to Ensure Quality Drinking Water 

Since 2007, other wells became impacted by perchlorate and groundwater contaminants, such 

as volatile organic compounds (VOCs). 

These impacted wells were removed from service until effective treatment systems can be designed, constructed, installed and permitted through the Division of Drinking Water, according to SCV Water officials. 

Whittaker was unwilling to fund the installation of additional treatment systems and a second complaint was filed in 2018. The impacted wells are expected to stay offline until such time treatment systems are installed and the Division of Drinking Water issues permits that allow the treated water to be used for drinking water. 

“Water quality is a top priority, and we strive to ensure that the water we serve our customers meets all standards set by Federal and State regulating agencies,” Matt Stone, SCV Water general manager said. “With the monies we receive, we will be working to clean and restore several wells that have been offline due to groundwater contamination.” 

To learn more about water quality in the SCV, read the SCV Water’s annual Consumer Confidence Report here. 

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