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Central Basin Directors Not Reporting Income on FPPC Conflict of Interest Forms

Central Basin President New Ochoa and Director Joanna Moreno left reportable income off their respective FPPC 700 forms. The revelations come while the two remain illegally on the Central Basin board, violating AB 1794, the State’s Water Code, and the Central Basin Administrative Code, while Central Basin Vice President Gary Mendez, Director Juan Garza, and General Manager Elaine Jeng sit by and do nothing about the violations.

April 25, 2025

By Brian Hews

The Form 700, officially called the Statement of Economic Interests, is required by the California Fair Political Practices Commission (FPPC). It’s designed to promote transparency and prevent conflicts of interest among public officials and government employees by disclosing their financial interests, allowing the public to determine if officials might have conflicts of interest when making decisions.

All elected officials and members of boards, commissions, and committees are required to file an annual report. Filers must disclose any investments, real property, income, business positions, and gifts, particularly those from lobbyists or individuals doing business with the filer.

Examining 700 forms can sometimes be very revealing.

A routine check of Central Basin Director’s Form 700 in 2024 by LCCN found that Central Basin Director Juan Garza shockingly listed La Luz Del Mundo as a client, the mega-church whose leader was charged with 36 counts of heinous sexual acts with minors and sex trafficking in June 2022; additional sex charges were filed in October 2024.

Garcia pled guilty in June 2022; the Attorney General said at the time, “Garcia abused his authority to take advantage of children for the purposes of sexual assault.”

Despite the charges, Director Garza admitted to LCCN that he took La Luz on as a client with his private company, Six Heron, after Garcia’s indictment and represented the church during the height of felony sex charges proceedings for 14 months, from January 2021 to March 2022, this while the horrific charges were being made public.

The charges were so heinous that Netflix made a documentary about the leader and the church.

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Hiding Income and Stocks?

Now, a routine records request under the Freedom of Information Act for Central Basin Director’s 700 forms has revealed that President Nem Ochoa and Director Joanna Moreno have left off reportable income on their respective forms, a violation of the Political Reform Act under Government Code Section 91013.

President Ochoa filed his FPPC-required “assuming office” 700 form when he was appointed in 2024, but he failed to list the income he earns from his job as General Manager at Golden State Water.

GSW is a for-profit company owned by its shareholders through its parent company, American States Water Company, serving customers within Central Basin’s boundaries. GSW is a private company; under FPPC rules, Ochoa is required to report his income from GSW.

In addition, and this is precisely why the Form 700 exists, the utility is located in the jurisdiction of the Central Basin Board, so any decisions Ochoa makes as a board member could reasonably affect the utility.

If the Central Basin Board has any influence over infrastructure, development, or partnerships that impact utility operations, it could lead to a conflict of interest or the appearance of one.

The combination makes GSW a reportable source of income under the California Political Reform Act. It must be reported in two places on the form: Schedule C-Income, as Ochoa is a General Manager, and Schedule B-Business Positions, as he owns stock in GSW.

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Ochoa’s incoming Form 700 obtained via a public records request by LCCN shows Ochoa did not report his Golden State Water income or stock ownership.

Director Moreno Does Not Report Income

Like Ochoa, Joanna Moreno filed her FPPC-required “assuming office” 700 form when she was appointed in 2024, but failed to list the income amount she earns from her job as an engineer at the city of Vernon. Vernon is within Central Basin’s boundaries, and under FPPC rules, Moreno is required to report her income, even though she is on a government salary.

It is similar to Ochoa’s situation; Vernon could be affected by the decisions Moreno makes while serving on the Central Basin Board. Vernon is her employer, and the Central Basin Board serves her city, so Moreno’s decisions on the water board could directly or indirectly affect her employer.

The revelations come as Ochoa and Moreno continue to illegally serve on the Central Basin Board, now totaling 56 days and several committee and board meetings, with another Central Basin Board meeting scheduled for April 28.

The two are blatantly violating AB 1794, the State’s Water Code, and Central Basin’s Administrative Code. Culpable in the violations are Director Garza, VP Mendez, and Central Basin General Manager Elaine Jeng, who have voiced support for Ochoa and Moreno and, as a majority, have not enforced AB 1794.

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AB 1794 was passed in 2016 because of years of CB Board chaos. The bill added three appointed (not elected) directors to the board. The bill was supposed to bring stability, but it has had the extreme opposite effect.

Almost all appointed directors have brought baggage and corruption to the board, often failing to complete their four-year terms.

Of the nine directors appointed since AB 1794 passed, only one director has completed their term; the remainder resigned, sometimes after serving only one year, and most left under controversy.

Ochoa and Moreno have acted similarly, remaining on the board illegally.

AB 1794 is very clear: If a director resigns before their term ends, “A vacancy in an office of appointed director shall be filled in accordance with the [normal] selection process. The replacement director serves out the remainder of the term and then must resign their position.”

Ochoa and Moreno were appointed in 2024 after Mike Gualtieri and Thomas Bekele, both of whom had been appointed, suddenly resigned, marking another instance of appointed directors once again causing chaos for the Central Basin Board.

Gualtieri and Bekel’s terms ended in December 2024, and new appointees should have been put in place on February 28 of this year.

Yet Ochoa and Moreno remain, with the support of Garza, Mendez, and Jeng, making decisions on committees, moving items to board meetings, and then voting to approve those items. Someone with deep pockets and an attorney could rightfully call all those board votes into question, citing that Ochoa and Moreno had no power or authority to vote on any board item.


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