ITEM:		DISCUSSION ITEM
10.	CONSIDER REPEAL OF ORDINANCE NO. 152
Meeting Date:			March 17, 2025	Budgeted:	N/A
From:			David J. Stoldt	Program/
			General Manager	Line Item No.:	N/A
Prepared By:			David J. Stoldt	Cost Estimate:	N/A
General Counsel Approval: N/A
Committee Recommendation:
CEQA Compliance: This action does not constitute a project as defined by the California Environmental Quality Act Guidelines Section 15378.

SUMMARY: In 2021, the Monterey Peninsula Taxpayers Association (MPTA) brought a lawsuit against the District seeking to suspend or sunset its Water Supply Charge – MPTA v. MPWMD, Monterey County Superior Court 21CV003066 – which was decided against the District. The District subsequently appealed to the 6th District Court of Appeal (H0-51128,) but the appellate court found against the District, upholding the Superior Court’s decision that the Water Supply Charge should be suspended or sunset.

Four additional separate challenges against District collection of the Water Supply Charge remain pending by MPTA. The parties stipulated to resolve Petitioners’ claims through a refund process and payment of attorney’s fees incurred by MPTA, yet to be approved by the court. The court continued Case Management for the open cases pending implementation of a proposed settlement.

The Water Supply Charge was established in 2012 via Ordinance 152. Section thirteen of Ordinance 152 (attached as Exhibit 10-A) allows the District Board to amend the Ordinance to (i) temporarily suspend the Supply Charge, (ii) reduce the rate of the Supply Charge, or (iii) repeal this ordinance in its entirety.

The Board should review the options allowed under the Ordinance and provide staff general direction on whether to repeal, reduce, or suspend.

EXHIBIT

10-A Ordinance 152, Section Thirteen

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