Hi Desert Water Board
Short Tempers & Flaring Nostrils
by Margo-Struges
July 29, 2010

Yucca Valley, Ca.-It was Deja-Vu all over again at last evening's public hearing of a rate increase at the Hi-Desert Water District Board meeting. HDWD Board President, Sarann Graham, could not contain the enthusiasm of a packed room of angry rate payers and two rogue Board of Directors, Director Sheldon Hough and Director Robert (Bob) Stadum.

The agenda included a discussion of the Step/Steg Wastewater alternative system and just like the previous presentation in March 2010, Director Dan Munsey was not in attendance due to an excused absence. At that meeting, Director Robert Stadum refused to recuse himself from the wastewater presentation. In March 2007, and April 2007, Stadum received advice letters from the FPPC, the California Fair Political Practices Commission, stating:

"Yes. You have a prohibited conflict of interest under the Act and may not participate in any decision to build and operate package sewage treatment plants or a regional wastewater treatment plant if there is reasonably foreseeable material financial effect on any of your economic interests as discussed herein."

Director Robert Stadum was fined $3,000.00 in May of this year for his Conflict of Interest. The ruling referenced his March 2007 warning and the fact he then proceeded to vote on a Conflict of Interest matter two months later, on May 23, 2007.

I requested Director Stadum do the right thing and recuse himself from the rate increase agenda item but he refused to do so. General Manager, Ed Muzik, reported he had called the HDWD attorney to confirm that Stadum did not have to recuse himself on this item.

Frank Luckino, CFO, gave a power point presentation to explain the need to increase this fee which would bring in an additional $28,000.00 per month in revenues. (There was no mention these funds would be earmarked or restricted funds for the Capital Replacement Program.)

Tony Culver, CRP Supervisor for HDWD, laid out sections of pipe for a visual of the rusting pipe that needed to be replaced and spoke about the number of leaks caused by the aging system. In this photo, he is holding the rusted section standing in front of the Master Map for pipe replacement.


The public was in favor of the Capital Replacement Program to replace the rotting water pipes but were against the rate increase of 100%, from $2.50 to $5.00 per month. Fifty-five letters of protest were filed with the District and the audience members took their turn to speak out. Stadum, short on patience by this time, acted as President of the meeting and cut off any questions regarding the voting process to be used for the Assessment District for the Sewer Project.

Despite the packed room of unhappy customers voicing their displeasure of another rate hike, some attending a meeting for the first time, the Board of Directors voted to approve the rate increase. To his credit, Director Stadum admitted it was a "failure to communicate" to the ratepayers by the District's Public Information Officer.

After a recess was called, Director Sheldon Hough jumped off the dais and orally chastised a member of the audience for her public comments. Stadum made his way over to me, as expected, because he chastised Mr. Bill Horne at the last meeting for referencing his Conflict of Interest situation. In anticipation of Stadum's denial of any wrong doing or conflict of interest, I brought a short statement that I had prepared to read into the record.

When the meeting was called back to order, I approached the lectern and stated Director Sheldon Hough was out of line for chastising a citizen for her public comments. I felt he owed her an apology. His nostrils flared as my words fell on deaf ears. Hough's glare confirmed the lights were on but nobody was home.

Director Robert Stadum recused himself from agenda # 9, the Step/Steg Wastewater alternative presentation and left the room. I read my prepared statement regarding Stadum's Conflict of Interest regarding this agenda item despite the vocal outbursts and complaints by Director Sheldon Hough stating I was personally attacking Stadum. The Directors voted to reject the alternative Step/Steg proposal choosing to stay with the traditional gravity flow system.

President Graham announced another agenda item and decided to table it to a future meeting when Director Munsey would be present. Graham attempted to deny me the right to speak on the matter but reluctantly gave in. At the lectern, I spoke directly to the citizens in the room advising them they had a right to speak to any item on the agenda regardless of whether or not it was going to be voted on or tabled. I then spoke to the Board about the need to be transparent.

Dust off your VCR/DVD and record this one for your reference library or YouTube. This meeting is scheduled to air on Time Warner Cable Channel 10 on Wednesday, July 28th and Thursday, July 29th at 7:00 pm.

See for yourself. Your tax dollars at work.