Sanitary district raises qualms about exploring merger with Mesa Water

Board members of the Costa Mesa Sanitary District have plenty of questions when it comes to overtures from the Mesa Water District to study the possibility of merging the two government agencies.

Chief among them: What’s the rush?

Mesa Water District board President Shawn Dewane sent a letter to the sanitary district on April 22 asking if it would be willing to partner in studying whether the merger would make operational and financial sense.

“While there is no predetermined outcome, we believe a study at this time is the most responsible course in order to ensure we are providing services in the most economical, effective and efficient ways possible,” Dewane said Tuesday.

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The Mesa Water board on Thursday is set to consider awarding a $29,960 contract to Arcadis U.S. Inc. for the study, even though the sanitary district hasn’t yet agreed to participate.

That didn’t sit well with some sanitary district board members during a board study session Tuesday morning.

“I don’t appreciate the tactic or the attitude they’re taking, just kind of ramrodding what they feel is about to go down,” board member James Ferryman said.

Sanitary district board members said they didn’t have a say in picking the consultant Mesa Water is considering for the study or have a proper role in shaping what the consultant will look at.

Board President Mike Scheafer said the sanitary district is essentially being told, “Here’s the consultant that we picked – we want you to approve paying for half of it.”

“To me, that kind of sounds like a one-sided contract that we’re being asked to pay for,” he said.

Stacy Taylor, Mesa Water’s external-affairs manager, said Tuesday that the agency has been “openly communicating” with the sanitary district about the potential study since April and “shared the proposed scope of work with CMSD for the project in May.”

Mesa Water’s board also postponed voting on a contract for the study for a week so the sanitary district could discuss it, she said.

“Mesa Water remains committed to an open and transparent process for this project,” she said.

Since Tuesday’s sanitary district meeting was a study session, board members couldn’t vote on whether to partner with Mesa Water or help fund the study. That will have to wait until their next meeting June 23.

Aside from issues with transparency and how fast the process seems to be moving, sanitary district board members raised concerns about how joining forces with Mesa Water could affect ratepayers.

“There are minimal economic benefits,” according to board member Bob Ooten, who questioned the motivation for Mesa Water’s request.

“When I talk to the public, they all ask ‘Why?’” he said. “So my question is, why consolidate?”

The sanitary district provides sewer and curbside trash collection services to about 116,700 customers in Costa Mesa, parts of Newport Beach and unincorporated sections of Orange County.

Mesa Water provides service to about 110,000 customers in a similar, but not identical, area – another issue that sanitary district board members said would need to be looked at during any discussions of consolidation.

Thursday’s Mesa Water board meeting will begin at 3:30 p.m. at the district headquarters, 1965 Placentia Ave.

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Luke Money, lucas.money@latimes.com

Twitter: @LukeMMoney

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