Appellate court rules in favor of HJTA in water rate challenge
On January 31, the Court of Appeal of the State of California, Fourth Appellate District, ruled in favor of the Howard Jarvis Taxpayers Association in a case challenging water rate disparities in the Coachella Valley Water District.
The appeals court upheld a lower court decision finding that the rates charged by the water district for Coachella Canal water violated Article XIII C of the California Constitution. The court found “the rates unlawful and that a refund remedy is constitutionally mandated.”
HJTA Director of Legal Affairs Tim Bittle said the legal team was pleased the Court of Appeal agreed that refunds are necessary under due process. “That is exactly why refunds are necessary under Proposition 218,” he said, “because Proposition 218 is a constitutional guarantee that property owners be charged no more than cost of service.”
Coachella Valley Water District was charging “Class 1” customers of canal water $34.32 per acre-foot while charging “Class 2” customers of the same water $102.12 per acre-foot, even though the cost of providing the service was substantially the same. “Class 1” customers were those who used water for commercial agriculture; “Class 2” customers were all others.
The court said that because the non-agricultural rate was passed “without prior voter approval,” it violated the California Constitution, including Prop. 218, The Right to Vote on Taxes Act. HJTA was the proponent of Proposition 218 in 1996.
“Preferential treatment in rate-setting should never be tolerated,” said HJTA President Jon Coupal.
The court calculated that $17 million in refunds is owed to ratepayers as a result of this successful class-action lawsuit.
Welcome Back, Joel Fox!
The Howard Jarvis Taxpayers Foundation is pleased to welcome Joel Fox to the Board of Directors.
Joel served as president of the Howard Jarvis Taxpayers Association from 1986 to 1998 and played a key role in the passage of the landmark Proposition 218, The Right to Vote on Taxes Act. He was a Senior Policy Consultant for the 2003 Schwarzenegger for Governor campaign and was named one of the top 100 “influencers” in California politics by Campaigns and Elections magazine.
An accomplished writer and editor, Joel has authored several novels as well as serving as co-publisher and editor-in-chief of the website Fox and Hounds Daily, which offered commentary and news on California business and politics. Fox and Hounds Daily was founded in 2008 and ran through 2020, and was twice named one of the top California political websites by The Washington Post.
Joel has written hundreds of opinion pieces that have appeared in major newspapers including The Wall Street Journal and USA Today, and his articles have been collected by the California State Library. In 2006, he joined the faculty of the Graduate School of Public Policy at Pepperdine University as an adjunct professor and continues in that role today.
Joel’s presence on the Board will help to strengthen the Howard Jarvis Taxpayers Foundation for many years to come.