A Los Angeles County Superior Court judge has ruled in favor of the Castaic Lake Water Agency in a lawsuit that challenged CLWA’s December 2012 purchase of Valencia Water Company.
“The petition is denied,” Judge Robert H. O’Brien wrote in the ruling, which found in favor of CLWA on all four claims in the 2013 lawsuit brought by Santa Clarita Organization for Planning and the Environment, which alleged the purchase violated state law.
CLWA President Tom Campbell said the ruling affirms what CLWA knew all along: that the Agency’s purchase of 100 percent of Valencia Water Company’s stock was well within the law.
“This purchase was not only legal, but also it was just a good water management decision,” Campbell said of the move, approved by the CLWA Board of Directors in December 2012 and completed in early 2013.
“As a result of both of these acquisitions, SCV water users will benefit from more cohesive water supply planning and long-term economies of scale that will improve cost effectiveness,” Campbell said.
Valencia Water Company (www.valenciawater.com), founded by Newhall Land to serve its master-planned Valencia communities, serves approximately 30,000 connections and 116,000 people.
About the Castaic Lake Water Agency
The Castaic Lake Water Agency (CLWA) is the Santa Clarita Valley’s public water wholesaler. CLWA is one of 29 State Water Project contractors and receives water imported from northern California and Kern County through the California Aqueduct. CLWA operates two large treatment plants, three major pump stations, three water storage facilities and over 45 miles of large diameter transmission pipelines delivering water to four local water retailers. Our mission is to provide reliable, quality water at a reasonable cost to the Santa Clarita Valley.