Two years ago, portions of the Fledgling Loop Trail at the Irvine Ranch Water District San Joaquin Marsh were eroding into the ponds, caused by years of saturated soil conditions and the effects of wave action due to prevailing wind patterns. The solution was to shore up the sides of the ponds using rock reinforcement, or “rip-rap.” The enhanced ponds and trails give Marsh visitors a better opportunity for hiking and bird watching.

“There was also some slope failure and some of the ponds had a vertical drop off a couple of feet on the road edges,” said Tom Bonkowski, project manager for the pond rehabilitation. “The road was in danger of being undermined.”

Bulrush and other vegetation along the affected areas of ponds A and B were removed in January 2010, the rip-rap added and the road re-graded. Work was completed in time for the March nesting season. New vegetation was planted, which has established during the past two years. For more information about the San Joaquin Marsh, and for a trail map, please visit our website.

Irvine Ranch Water District Board President Mary Aileen Matheis and Irvine Mayor Sukhee Kang hosted a successful Hike With the Mayor walk at the San Joaquin Marsh on April 21 – Earth Day weekend.

“We think this Marsh is Irvine’s best kept secret, a place for quiet enjoyment, where nature abounds in the midst of a thriving city,” Matheis told the crowd of more than 30 hikers.

Mayor Kang recalled past walks he has hosted and said he chose the Marsh as the setting for his final hike as Irvine’s mayor.

Please enjoy the photo gallery below and visit our website for more information about the Marsh.

The Orange County Register recently posted an article based on the Orange County Grand Jury April 2012 report that suggests that public agencies such as the Irvine Ranch Water District should raise customer rates by forgoing use of local one percent property taxes. We thought we would take this opportunity to explain to our customers how these  property taxes help keep your water rates among the lowest in Orange County.

IRWD finances the facilities it needs in order to provide water and sewer service to our customers by issuing general obligation bonds, much like you finance your home with a mortgage from the bank. IRWD uses the one percent property taxes received from the state, along with other local property taxes and new connection fee revenue, to make payments on these bonds. This makes sense - property owners directly benefit from the water and wastewater infrastructure and services their property taxes have paid for.

Bonds issued by IRWD are typically used to fund basic water and wastewater infrastructure – which includes projects like reservoirs, groundwater wells, water pipelines, water pump stations, sewage lift stations, sewage treatment and disposal capacity, and sewage collection pipelines. This enormous infrastructure serves about one fifth of Orange County and includes more than 1,100 miles of drinking water pipelines, more than 400 miles of recycled water pipelines, more than 900 miles of sewer pipes, 53 reservoirs, and two large wastewater treatment plants.

In fiscal years 2004-05 and 2005-06, the state grabbed a total of $19.4 million of the District's one percent property tax allocation in a budget-balancing maneuver. The “temporary” taking of that property tax revenue directly resulted in an increase in new service connection fees and local property taxes. Years later, the state still owes IRWD customers $2 million—and the state budget is still a portrait of fiscal chaos.

The Orange County Grand Jury clearly and strongly suggests it would be the responsible thing to do for the state to once again hijack property tax revenue from special districts. As we have illustrated, that would be the opposite of prudent, responsible policy. Such a shift, whether temporary or permanent, would once again result in connection fee and local property tax increases. A permanent redirection of that tax revenue into state coffers could well lead to increased monthly user rates.   

Even when the state takes property tax funds away from local agencies such as IRWD, our customers still continue to pay the same one percent property taxes to the state plus any additional IRWD imposed taxes and fees necessary to pay our infrastructure bond payments.  In the end, this is a roundabout way for the state to quietly raise taxes by forcing IRWD to increase fees and assessments to offset the property tax revenues taken by the state.

Lastly, when IRWD or other local districts use property taxes, taxes are used locally under the watchful eyes of our customers. On the other hand, when the state takes local property taxes the money goes to the state to be spent on programs far removed from local oversight.

IRWD supports transparency and posts a variety of financial documents online, including the IRWD annual Comprehensive Financial Report and the Operating and Capital budgets. To learn more about IRWD finances, please visit the finance section of the IRWD website.

The comment by the Orange County Grand Jury in the April 27, 2012, report on Special Districts characterizing the Irvine Ranch Water District  “Cash and Investments”  as unrestricted is misleading. The Orange County Grand Jury states that that IRWD’s “Cash and Investments” of $225 million can be considered unrestricted reserves and then provides no basis for this assertion.  This contradicts IRWD’s audited financial statements which reflect no unrestricted water or sewer assets.

Correctly stated, IRWD "Cash and Investments" of approximately $250 million consists primarily of funds that are restricted to pay for infrastructure replacement and refurbishment needs of the District over time as well as restricted proceeds from bond issue to finance capital infrastructure (See note 2 in the Statement of Net Assets in the IRWD 2010 Comprehensive Annual Financial Report.)

IRWD provides water, sewer, recycled water and urban runoff services to more than 300,000 residents and numerous major employment centers, almost one fifth of the County. The District’s infrastructure that includes more than 1,100 miles of drinking water pipelines, more than 400 miles of recycled water pipelines, more than 900 miles of sewer pipes, 53 reservoirs, and two large wastewater treatment plants. Every year IRWD evaluates its future replacement and refurbishment funding needs utilizing sophisticated planning models that currently indicate that IRWD will require an estimated $2 billion in infrastructure and refurbishment funding in the future.  

Not unlike saving many years in advance to fund a child's college education, IRWD believes that setting aside funds now to fund future infrastructure expenditures is prudent financial management so our customer's rates are not severely impacted by large capital expenditures in the future. This approach to financing future infrastructure needs is described on page 8 of the IRWD 2010 Comprehensive Annual Financial Report. 

IRWD residential and business customers benefit from modern water and sewer infrastructure and among the lowest rates in Orange County. This did not happen by accident.  It is the result of careful and prudent fiscal planning over many years. Our goal is to always provide customers with low, stable rates, a diverse and highly reliable water supply, and excellent service.  For more information please visit www.irwd.com.