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Two recent actions by the State of California have raised questions among water agencies about revenue losses. First, Governor Gavin Newsom’s April 2 Executive Order N-42-20 (Order) prohibits water agencies from discontinuing service to residential and critical infrastructure sector small businesses. The Order also calls for ensuring continuity of water and wastewater service, and to provide relief to water systems under financial distress. The State Water Resources Control Board is in the process of creating best practices and guidelines to implement this Order and the Division of Drinking Water (DDW) has now invited water agencies experiencing challenges with the effect of the moratorium to contact their district office

When contacting the DDW district office, special district officials should be prepared to explain the following:

• The effect of the statewide moratorium on District shutoffs,
• The moratorium’s impacts on District finances, and
• Potential outcomes when the moratorium is lifted but SB 998 remains in effect.

In addition to the statewide shutoff moratorium, Senate Bill 998 (Dodd) went into effect earlier this year, prohibiting residential water service disconnections until after customers have been delinquent on bill payments for at least 60 days. Coupled with the Order, water suppliers may be understandably concerned about how these directives will impact their ability to provide services due to the ensuing loss of revenue.

Additional resources available for water agencies include this DDW Web page. The State emphasizes that public water system (PWS) operations are designated as “essential functions” and staff and suppliers are not restricted by any current orders. (This template can help provide documentation to workers that are considered essential). In addition, the operation of PWSs and the implementation of all associated activities, (including regulatory oversight, inspections, operations & maintenance, treatment, sampling, laboratory analysis, and others) that support the continued delivery of potable water during this pandemic are essential functions. 

According to the DDW, there is no evidence that COVID-19 survives the disinfection process for drinking water or wastewater. California’s comprehensive safe drinking water standards include disinfection processes for drinking water which are extremely effective against viruses, including coronaviruses such as COVID-19. And as of March 3, 2020, the World Health Organization said the “presence of the COVID-19 virus has not been detected in drinking-water supplies and based on current evidence the risk to water supplies is low.”

CSDA staff is closely monitoring these developments, and we will keep our members apprised of how things unfold. If your district is concerned about the financial impacts of the statewide shutoff moratorium in conjunction with SB 998, please contact Charlotte Holifield, Public Affairs Field Coordinator, at (805) 431-1249 or charlotteh@csda.net.