15-0519_CAPISTRANO TAXPAYERS ASSOC_Enews EmailMaria Morris
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Tuesday, May 19, 2015 4:37 PM
Maria Morris
City of San Juan Capistrano: City of San Juan Capistrano and Capistrano Taxpayers
Association, Inc. Settle Tiered Water Rate Lawsuit
City of San Juan Capistrano and Capistrano Taxpayers Association, Inc. Settle Tiered Water
Rate Lawsuit
Posted Date: 5/19/2015 4:30 PM
City of San Juan Capistrano and Capistrano Taxpayers Association, Inc.
Settle Tiered Water Rate Lawsuit
Wednesday, May 19, 2015
SAN JUAN CAPISTRANO, California - Today, the San Juan Capistrano City Council announced the settlement of a lawsuit filed
by the Capistrano Taxpayers Association, Inc, The suit challenged the City's prior tiered water rate pricing structure and a
recycled water fee, under California's Proposition 218.
The trial court ruled In favor of the Capistrano Taxpayers Association, Inc. and in September 2013, the City appealed the trial
court ruling. On April 20, 2015, the Court of Appeal reversed the trial court ruling on the recycled water fee and upheld the
trial court ruling on the tiered water rate pricing structure. Mayor Derek Reeve announced, "The City of San Juan Capistrano
Is committed to remain compliant with the law. While any settlement Involves give and take, this overall is a positive
development for our residents as we put this litigation behind us."
In 2014, the City adopted a new water rate structure. Jim Reardon, Capistrano Taxpayers Association, Inc., said, "This
settlement pertains to water rates no longer in effect in San Juan Capistrano, the rates in dispute were replaced with new
rates in July 2014."
City Attorney, Jeffrey Ballinger, who replaced the City's prior attorney, Michael Colantuono, added, "This settlement resolves
all issues between the plaintiffs and the City, including the prior tiered water rate pricing structure developed by Black &
Veatch, which was in place from February 1, 2010 through June 30, 2014," In the settlement, the Capistrano Taxpayers
Association, Inc. agrees to dismiss all issues related to this case and the City will pay the Capistrano Taxpayers Association
Its attorneys' fees and costs incurred in the lawsuit.
The City acknowledges the court rulings and is committed to complying with Proposition 218. To that end, the City will
Institute a streamlined process for crediting customers who were over-charged under the previous water rate structure. Mr,
Reardon added, "I am also delighted to see the City chose to avoid further litigation and instead focus on urgent water
conservation issues."
To read the settlement agreement, i in k hoi e.
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