Monterey Peninsula Water Management District Board moves forward with eminent domain of Cal Am Monterey water system
MONTEREY, Calif. (KION-TV)- On Tuesday night, the Monterey Peninsula Water Management District Board decided to take the next steps in using eminent domain to take over Cal Am's Monterey Water System.
The decision was made during held a public meeting discussing the future of water management on Monterey Peninsula.
“[It's] more cost effective. Definitely more transparent to the local population and we do certainly think we can probably offer a better quality of service," said MPWMD General Manager David Stoldt.
Cal Am had previously rejected a $448 million offer from the Monterey Peninsula Water Management District to buy out their local water system.
The Cal Am maintains their company is best suited to operate the peninsula's complex water system.
“I think the most likely scenario now is this fails after years of litigation and loses tens of millions of dollars, not even the public will be liable," Cal Am Water Director of External Affairs Evan Jacobs.
Public comment included many Peninsula residents who would be impacted the change.
“For more water to our region, I support a [desalination] plant and I support the expertise of Cal Am to build it and to operate," said one person during public comment.
"Monterey Peninsula residents are sick and tired of endless revenue rate increases. Monterey peninsula residents are tired of being forced to pay profits to Cal Am investors," said another person during public comment.
Six members of the district's board voted to pass the resolution taking the next steps towards using eminent domain. Another member recused from the vote.
The water management district general manager said prior to the meeting, the entire process could take several years to complete. He says he also expects lawsuits, along the way.
In 2018, Monterey County voters passed Measure J. That measure instructed the Monterey Peninsula Water Management District to conduct a feasibility study on the public take over of Cal Am local water systems.
