2021 Annual Report
Legislation and
Leadership
Major Water Rate Case Victory Benefits Member Agencies
After more than a decade of litigation with the Metropolitan Water District of Southern California, a Superior Court judge awarded the Water Authority $44.4 million in a final judgment for two cases covering rates paid by San Diego County residents from 2011-2014. The award included $28.7 million in damages for MWD’s breach of contract for the four years at issue, plus pre-and post-judgment interest.
In January 2021, the court ruled the Water Authority as the prevailing party in the agency’s first two lawsuits challenging rates and charges set by MWD. The order entitled the Water Authority to recover its attorneys’ fees and costs in those cases. The Water Authority Board voted to return the $44.4 million to its member agencies, in proportion to their overpayments.
In light of the order, Water Authority Board Chair Gary Croucher reiterated the Water Authority Board’s longstanding desire to resolve the litigation and find common ground with MWD on critical water management issues.
“San Diego prevailed, and the judgment not only benefits its own ratepayers but all of the nearly 19 million people in Metropolitan’s service area because enforcing cost-of-service principles serves the interests of all ratepayers.”
“This ruling only enhances our determination to find an equitable resolution that will not only conclude the few issues that remain pending in court, but also help avoid future litigation as new rates and charges are being considered for 2023 and subsequent years.”
Water Authority