Voice of OC Exposes Cal Domestic!

A lengthy investigation by City Treasurer Rick Rios has uncovered inconsistencies regarding the purchase of Cal Domestic water shares and could well be the smoking gun to numerous other questionable business practices.

As Dwight Manley so aptly said at a recent meeting of Brea’s City Council, “Every time a Brea residents drinks from a faucet or flushes a toilet, they’re getting ripped off.”

Bill Gallardo, City Manager, say all is well and nothing to worry about. Lynda Noriega, Cal Domestic CEO, refuses to answer an question.

The probability that this will lead to a much deeper investigation and likely litigation runs high.

See full article here:  https://bit.ly/2H0QKbp

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4 thoughts on “Voice of OC Exposes Cal Domestic!

  1. Rick, I think it is important to note that you too are equally working hard to ensure we got what we paid for in each transaction and that they were done in the best interest of Brea as a whole with full disclosure.

    Sometimes the things we look into are not popular, they are not supported by the insiders, but necessary for us to make well informed decisions going forward that truly are in the best interest of everyone who has to pay that utility bill every month.

    The article only grazed the surface of why I drew the conclusion I did. Perhaps we should offer your readers a more detailed reasoning with supporting documents.

    I only discussed the concerns around or 2010/2011 purchase of water right in this article. There are additional issues with subsequent purchases that would cause some previous senior staff to leave the City of Brea in its wake.

    The bottom line question is did Brea get the best value for the money spent?

    Some would argue, we got some value in these transactions even if not what we originally thought and therefore lets leave good enough alone. I would not dispute the assessment that there was some value. But getting some value is different than getting the best return or asset based on what we believed the City to be buying.

    I am not interested in getting ‘some value’ or ‘an asset’; I am driving to secure the best value on premium assets on behalf of all of us in Brea.

    • Rick… yes, this has been a long haul and a deep dig. We and others who have been investigating all manner of indiscretions with Cal Domestic/Cadway for several years, have encountered constant concealment of relevant documents and door after door slammed in our faces.

      Dwight’s admonition that “Every time a Brea residents drinks from a faucet or flushes a toilet, they’re getting ripped off.” has been motivation enough to keep me focused.

      I can easily imagine how wide reaching your investigations have been and I trust Norberto Santana with Voice of OC to continue his series of investigative reports.

      You’re right, Rick, Brea Matters readers are deeply interested in getting the facts and understanding how our city hall has operated for decades. As your time allows, please put together a “guest” blog!

      I would also hope that someone with prosecutorial authority would set aside petty politics and hefty donations – and give a Grand Jury the opportunity to review what you’ve discovered.

      Thankfully you, Dwight and all of us who’ve tasked ourselves with uncovering the truth in these matters will not stop, will not give up.

      Lets see this through to the end. Brea deserves it.

  2. Union Oil Company was an owner of CDWC shares. The City east side reservoir was a CDWC reservoir used by Union Oil for the oil fields and a non-potable source of water for the research center. The City took over the reservoir and some water shares I think in the 1990’s.

    More water shares were handed over from Unocal/Chevron as part of the La Floresta development agreement. I do not recall specifics of the deal. So, the City has been acquiring CDWC shares for quite some time.

    • John… The relationship between Union Oil/Chevron, CDWC and the City, a longstanding menage-au-water, is fairly common knowledge by those following Brea’s water sports.

      What was the designation of the shares passed from Union Oil/Chevron? How many shares at what value-per-share? How was the value established?

      Much of the Voice of OC article and the investigation by Rick Rios centers around questions like these. With no answers forthcoming from either CDWC/Cadway or Council/Staff it’s going to take either formal prosecution or civil action to get to the truth.

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