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FPUD takeover of RMWD unfair to voters

Thursday, June 19th, 2014
Issue 25, Volume 18.

Rainbow Municipal Water District voter rights are threatened by a takeover by the Fallbrook Public Utility District.

Voluntary negotiations between the two districts to determine feasibility of a "merger of equals" broke down when FPUD refused to agree to division elections to guarantee equitable representation of Rainbow voters on a new board of directors.

Division elections were critical to Rainbow’s board because Rainbow has a more diversified base of ratepayers compared to Fallbrook’s largely urban customer base; for example, Advertisement
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Rainbow’s large agricultural community.

When Rainbow legally withdrew from the negotiation, FPUD filed an application to regional authorities (LAFCO) requesting dissolution of Rainbow and an FPUD takeover of Rainbow. If LAFCO approves FPUD’s application, Rainbow voters could be disenfranchised by FPUD’s "at large" elections and Fallbrook’s much larger voter base. Rainbow voters could also lose their existing ordinance that requires that voter approval of new debt.

A hostile takeover of Rainbow by FPUD should be denied by LAFCO.

Larry Carlstrom



Comment Profile ImageAvocado Grower
Comment #1 | Wednesday, Jun 25, 2014 at 6:09 am
This is a very serious threat to us water users. RMWD has been very carefully run and as a result has a over $100 million in assets with very little debt. FPUD has made many bad decisions and has a heavy debt load to pay off. If FPUD is allowed to take over RMWD, both districts will be run into the ground by FPUD's "high debt" philosophy.

RMWD employees retirement benefits are much lower than FPUD's and only cost RMWD 14.66% of payroll. FPUD employee retire with 75% of their salary after 30 years service. This costs FPUD 28.39%. A real sweet deal. Which retirement plan will be adopted after the takeover? My guess is that all salaries and benefits will be raised to the higher cost for comparable positions. No California government worker has ever had to have their compensation reduced. Think about it.

Time is running out. We all need to write a protest letter to..........

San Diego LAFCO
attn: Michael Ott
9335 Hazard Way, Suite 200
San Diego, CA 92123

Comment Profile Imageoldtimer
Comment #2 | Wednesday, Jun 25, 2014 at 8:59 am
Thank you, Avocado Grower. I'd like to add that the deadline to submit comments to LAFCO has been extended to August 1.
Comment Profile ImageOmen
Comment #3 | Wednesday, Jun 25, 2014 at 11:46 am
So Many Things Wrong About this Hostile Take Over By Fpud and its spend spend spend habits While Rainbow Continues Making Cuts On Budget And Reducing Staff Through ATTRITION Further Reducing Budget FPUD CONTINUES TO HIRE NEW EMPLOYEES DO THE RATEPAYERS KNOW ABOUT THAT THE LIST IS MUCH BIGGER BUT FOR NOW THATS JUST 1 ITEM TO BRING UP
Comment Profile ImageBetty
Comment #4 | Thursday, Jun 26, 2014 at 1:37 pm
The takeover is a threat, not only to large water users such as farmers, but to everyone in the Rainbow district. Please urge your neighbors to write and protest

Article Comments are contributed by our readers, and do not necessarily reflect the views of The Fallbrook Village News staff. The name listed as the author for comments cannot be verified; Comment authors are not guaranteed to be who they claim they are.


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