The Prima Facie Case Against Appointed Central Basin Board Members Actions to Remain on the Board

Golden State Water GM Nem Ochoa and city of Vernon Engineer Joanna Moreno remain on CB’s Board, violating the State’s Water Code and CB Code. Using their voting-bloc majority, other directors are preventing any actions to remove them and have sent a letter to CA. AG Bonta asking to alter the stated terms of appointed directors. The letter was not agendized, presented for public comment, or voted on; it was “approved at the direction of the board.” But how could Ochoa and Moreno “provide direction” on the AG letter when they have an obvious conflict of interest? The would indicate only Director Juan Garza and VP Gary Mendez “provided direction.” The other three did not authorize the letter.

February 21, 2025

By Brian Hews

Los Cerritos Community News learned weeks ago that appointed Central Basin Board (CB) officials, President Nem Ochoa of Golden State Water and Joanna Moreno, who works for the city of Vernon, were refusing to step down from their appointed CB director positions as mandated by the State’s Water Code and Central Basin Administrative Code.

The two are hiding behind two other board members, a complicit general manager, and attorney Victor Ponto of Burke Williams Sorenson, who wrote an unauthorized and expensive letter—directed to the Attorney General for a ruling—arguing that the two appointed directors’ terms should be altered/changed.

Unappointed spokesperson for the CB Board, Director Juan Garza, told LCCN, “It’s clear the letter from our legal team is an attempt to obtain clarity and guidance from the AG’s office on a matter left unclear under current state statute.”

Garza never questioned the process when Michael Gualtieri and Thomas Bekele resigned in 2024.

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Termed-Out Central Basin Board Members Flouting State Law, Remain on Board

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According to three board members, the letter sent to the AG was not agendized nor approved by the CB Board, a serious violation of the Brown Act.

The prima facie case against Central Basin:

1. The appointed directors are violating State Bill AB 1794, the State’s Water Code, and Central Basin’s Administrative Code by staying on as directors months after they should have resigned.

AB 1794 was passed in 2016 because of years of CB chaos and operational instability. The bill added Chapter 1.6 (commencing with Section 71265) to Part 3 of Division 20 of the California Water Code, which can be found here.

Chapter 1.6 added the three aforementioned appointed (not elected) directors to the board (7 total): one director was appointed by cities inside CB boundaries, one by water purveyors inside CB boundaries, and one by large water companies inside CB boundaries.

AB 1794 and the CB Administrative Code mandate a four-year term for all appointed directors.

If an appointed director resigns before the term ends, the State’s Water Code and CB Administrative Code are very clear, “A vacancy in an office of appointed director shall be filled in accordance with the [normal] selection process.” (Chapter 1.6 – Central Basin Municipal Water District Section 71267 (h) ).

The replacement director serves out the remainder of the term and then must resign their position, “where there is a term of office remaining, nominations for the balance of the term shall be valid….” [if the new directors were appointed correctly,] “in accordance with the [normal] selection process.” (Chapter 1.6 – Central Basin Municipal Water District Section 71267 (j) ).

Ochoa and Moreno were appointed to take the seats of two directors who had resigned in 2024 before their term ended, Michael Gulatieri and Thomas Bekele.

Under the State’s Water Code and CB Administrative Code, Ochoa and Moreno’s terms also ended in December 2024. (Chapter 1.6 – Central Basin Municipal Water District Section 71266 (2) ).

But Ochoa and Moreno have remained on the board, blatantly violating state laws and the administrative code of the agency they were trusted-appointed to manage. They are part of a voting-bloc majority that includes newly elected VP Gary Mendez and Director Juan Garza, who are knowingly and illegally delaying the process, violating the State’s Water Code, 71267 (h), and the CB Administrative Code, Part 2, 1.4 (j).

1. Nomination and ballot processes illegally delayed

The State’s Water Code and CB Administrative Code set clear, definitive timelines for receiving nominations and votes to appoint directors.

According to the CB Administrative Code, “terms for appointed directors begin and end at noon on the fourth Friday in February,” which is the upcoming February 28, 2025. (Central Basin Municipal Water Administrative Code, Part 2-Administration, 1.5).

The nomination process under the CB Administrative Code should have begun “no later than 120 calendar days prior to the date scheduled for appointment” (Central Basin Municipal Water Administrative Code, Part 2-Administration, 1.4 (a) ). That date is (was) November 1, 2024.

Notification of the nomination period is sent out to all cities, purveyors, and water companies, and their director nominations must be submitted to CB within 60 days (in Ochoa and Morno’s case, by December 31, 2024). “Nominations may be submitted at any time during the 60-day period defined by written notice to the District.” (Central Basin Municipal Water Administrative Code,  Part 2-Administration, 1.4 (c) .

After the 60-day period, qualified candidates are placed on the ballot for each seat, and the ballots must be mailed no later than 30 days prior to the scheduled election. “A form of mail ballot containing all qualifying mailed nominations for each category to be filled at the election, and including a copy of the candidates’ certifications and statements of qualifications, shall be distributed by the District by certified mail or FedEx to each entity eligible to vote in that category no later than 30 days prior to the scheduled election. A separate ballot shall be provided for each office to be filled.” (Central Basin Municipal Water Administrative Code,  Part 2-Administration, 1.4 (e) ).

The ballots are received, and a “Purveyor Workshop” meeting is immediately called within a few days to open them and declare a winner (Central Basin Municipal Water Administrative Code, Part 2-Administration, 1.4 (f) ).

The newly appointed directors’ names are posted on CB’s website within seven days (Central Basin Municipal Water Administrative Code, Part 2-Administration, 1.4 (f) ).

1. Summary of violations of State’s Water Code and CB Administrative Code perpetrated by the voting bloc majority of Ochoa, Mendez, Moreno, and Garza who have not started the nomination process

1. The replacement director serves out the remainder of the term and then must resign their position; this has not occurred. A violation of the State’s Water Code, Chapter 1.6 – Central Basin Municipal Water District Chapter 1.6, Sections 71266 (2), 71267 (h) and Central Basin Administrative Code, Part 2, 1.4 (j)
2. The nomination process should have started November 1, 2024, and lasted 60 days to December 31, 2024; this has not occurred. A violation of CB Administrative Code, 1.4 (a)
3. The ballots with qualified nominees should have been FedEx’d out for voting on January 1, with voters given 30 days to return; this has not occurred A violation of CB Administrative Code, 1.4 (e).
4. The ballots should have been received, and a meeting called to count them should have occurred. A violation of CB Administrative Code 1.4 (f).
5. The winners should have been announced and posted within 7 days on CB’s website; this has not occurred. A violation of CB Administrative Code, 1.4 (f).

To summarize the violations:

1. State’s Water Code, Chapter 1.6 – Central Basin Municipal Water District Section 71267 (h) and Central Basin Administrative Code, Part 2, 1.4 (j)
2. State’s Water Code, Chapter 1.6 – Central Basin Municipal Water District Section 71266 (2)
3. CB Administrative Code, 1.4 (a)
4. CB Administrative Code, 1.4 (e)
5. CB Administrative Code, 1.4 (f)
6. CB Administrative Code, 1.4 (f).

Ochoa and Moreno have termed out, but they, along with Mendez and Garza, are illegally holding up the process. As of today, they have yet to start the process.

The group is abusing its authority, violating state law, the state’s Water Code, and its own Administrative Code by using its majority on the board to overrule the remaining three directors, who have complained several times since November  2024, when the replacement process should have started.

CB General Manager Elaine Jeng and the aforementioned General Counsel, Victor Ponto, are also participating in the violations. They all refuse to start the replacement process.

Summary judgement your honor.