The Capistrano Insider

About that Private Water Company ...

Capistrano leaders a few years back investigated merging with other water agencies, and a bit of work was done in consideration of a possible deal with South Coast Water (which serves Dana Point). That deal, by the way, went south when it became clear Capistrano residents would pay much more for water because of SCWD concerns over infrastructure, among other issues.

At that time, however, a few criticized City Hall for not considering a private water supplier.

Here's a story today that highlights some of the reasons I'd heard why the council chose not to. (In a word, profit.)

According to the OC Register, the parent company of some private water suppliers reports double its profit this year -- and is asking for water-rate increases.

Here's the piece.

Careful What You Read -- and What You Believe -- About Water

The Common Sense folks continue to rant about the water rates and San Juan Capistrano's groundwater recovery plant.

Take what they say with a grain of salty water from the sea, at least.

First off, the city does not lose the rights to the groundwater recovery plant. Everybody at every meeting I've sat through, from those at our own City Hall to those at the San Juan Basin Authority, say the contracts clearly call out for the city controlling the plant for generations.

There's also no evidence the GWRP was built for Rancho Mission Viejo, other than the suspicions of a cadre of folks who seem to think the Ranch is some sort of bogeyman and want to blame the Moiso family for everything from traffic to water rates.

Next, water rates are high. Everywhere. Has our Utilities Department run as efficently as it could have? Maybe. Maybe not. We'll see what the $55,000 audit finds.

But what frustrates me about the leaflets left on some of the homes in Capistrano is the complete lack of (accurate context). Water rates are high in Capistrano, but no more so than in our surrounding cities, despite what you might have read in the leaflet.

The reason? Water users in neighboring cities pay a monthly water bill, just like we in Capistrano do. But, unlike us, customers of South Coast Water District (Dana Point) and Moulton-Niguel Water District (Laguna Niguel) pay an additional usage fee on their property tax. That's not for bond repayments, that's just part of the water bill added onto the property taxes.

San Clemente in June raised its water rates 12.7 percent. In a survey of nine South County water agencies, the average water bill was $99 a month. Capistrano's was $102. We're more expensive than San Clemente, cheaper than South Coast.

Water's expensive, and getting more expensive everywhere. All of that said, the Los Angeles Times today has a pretty good piece about (more) anticipated cost increases from the Metropolitian Water District (MWD) which pretty much provides water in Southern California to anyone who doesn't have their own supply.

Here's a couple of paragraphs:

Agency officials predict that the double whammy will boost the aqueduct's energy costs, which amounted to nearly $49 million last year, by 80% over the next decade.

...

The MWD imports 40% to 60% of the Southland's water supply. Rising energy costs are one of the reasons the district has increased its wholesale rates to Southern California water agencies 75% in the last six years and will continue to raise them, executives say.

You can see the entire story here.

Bottom line: On top of uncertainities in the water supply -- smelt in the Delta, Colorado River water going elsewhere -- MWD has been buying electricity at cut-rate prices (unlike the city of SJC) and will have to start paying more.

Capistrano's GWRP operations have certainly been spotty over the past few years, but officials have been saying it's working now. They've got a handle, they say, on the technical challenges.

But one challenge not met by the city that we must face: Resisiting the urge to judge a long-term investment against today's standard. It's difficult to accept in this "make me happy now" world, but the real value of the GWRP may not be known for decades, if not generations.

Download GWRP Lease agreement 2002

Capistrano Historic Preservation Manager Leaving

Teri Delcamp, San Juan Capistrano's Historic Preservation Manager, has given notice. She's taking another job elsewhere.

I have a call in for details.

Delcamp's position was one that was looked at for possible outsourcing, however, and no public decision was reached. The timing of her departure has some concerned with historic preservation in town concerned, as the city ramps up the discussions of the downtown master plan -- which has some impacts on cutural resources.

Stay tuned.