Humboldt County Grand Jury
• 2025-2026
Flowing Forward - Funding the Future of Water and Sewer Systems
⚠️ Translation Notice: This content has been automatically translated. The original English text is the official version. Translation may contain errors.
⚠️ Este contenido ha sido traducido automáticamente. El texto original en inglés es la versión oficial. La traducción puede contener errores.
Findings and Recommendations 7 findings
F1
The Humboldt County Civil Grand Jury finds that:
Both the Fortuna Public Works Department and the McKinleyville Community Services District are working diligently which will ensure water and wastewater services continue to be available for users.
Related Recommendations (1)
R3
When the 2029 water study is complete, the Fortuna City Council redouble efforts to inform the public of results of the 2029 water rate study by sending multiple notices, extensive use of media outlets, and schedule/announce public meetings to prepare the community for the need for likely rate hikes. This is to start by no later than one month after the study completion. (F2, F3, F4, F5, F6) RESPONSES Pursuant to California Penal Code sections 933 and 933.05, each entity or individual named below must respond to the enumerated Findings and Recommendations within specific statutory guidelines. Responses to Findings shall be either: • The respondent agrees with the finding; or • The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefor. Responses to Recommendations shall be one of the following: • The recommendation has been implemented, with a summary regarding the implemented action; or • The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation; or • The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being investigated or reviewed, including the governing body of the public agency where applicable. This time frame shall not exceed six months from the date of the publication of the Grand Jury report; or • The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefor. REQUIRED RESPONSE – WITHIN 90 DAYS The Fortuna City Council (F1, F2, F3, F4, F5, F6) and (all recommendations) Invited Responses The Humboldt County Civil Grand Jury also invites the following entities or individuals to respond. The McKinleyville Community Services District (F1, F7) Responses are to be sent to both: The Honorable Judge Timothy A. Canning California Superior Court for Humboldt County 825 5th Street, Eureka, CA 95501 The Humboldt County Civil Grand Jury PO Box 657; Eureka, CA 95502 A Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
F2
The Humboldt County Civil Grand Jury finds that:
Despite considerable efforts of many water districts to communicate with users, people are often unaware of rate increases until a larger bill arrives. (R2, R3)
Related Recommendations (2)
R2
The Fortuna City Council communicate to Fortuna customers that this yet to be commissioned water rate study (referenced in R1) will likely recommend increasing rates beginning in fiscal year 2029-2030 to provide funds to maintain and upgrade water and sewer systems. This is to be done by no later than January 31, 2029. (F2, F3, F4, F5, F6)
R3
When the 2029 water study is complete, the Fortuna City Council redouble efforts to inform the public of results of the 2029 water rate study by sending multiple notices, extensive use of media outlets, and schedule/announce public meetings to prepare the community for the need for likely rate hikes. This is to start by no later than one month after the study completion. (F2, F3, F4, F5, F6) RESPONSES Pursuant to California Penal Code sections 933 and 933.05, each entity or individual named below must respond to the enumerated Findings and Recommendations within specific statutory guidelines. Responses to Findings shall be either: • The respondent agrees with the finding; or • The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefor. Responses to Recommendations shall be one of the following: • The recommendation has been implemented, with a summary regarding the implemented action; or • The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation; or • The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being investigated or reviewed, including the governing body of the public agency where applicable. This time frame shall not exceed six months from the date of the publication of the Grand Jury report; or • The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefor. REQUIRED RESPONSE – WITHIN 90 DAYS The Fortuna City Council (F1, F2, F3, F4, F5, F6) and (all recommendations) Invited Responses The Humboldt County Civil Grand Jury also invites the following entities or individuals to respond. The McKinleyville Community Services District (F1, F7) Responses are to be sent to both: The Honorable Judge Timothy A. Canning California Superior Court for Humboldt County 825 5th Street, Eureka, CA 95501 The Humboldt County Civil Grand Jury PO Box 657; Eureka, CA 95502 A Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
F3
The Humboldt County Civil Grand Jury finds that:
Fortuna’s infrastructure is aging faster than it is being upgraded, therefore creating greater maintenance costs and deterioration of the system. (R1, R2,
Related Recommendations (3)
R1
The Fortuna City Council commission a new water rate study to be completed and presented to City Council no later than April 15, 2029. (F3, F4, F5, F6)
R2
The Fortuna City Council communicate to Fortuna customers that this yet to be commissioned water rate study (referenced in R1) will likely recommend increasing rates beginning in fiscal year 2029-2030 to provide funds to maintain and upgrade water and sewer systems. This is to be done by no later than January 31, 2029. (F2, F3, F4, F5, F6)
R3
When the 2029 water study is complete, the Fortuna City Council redouble efforts to inform the public of results of the 2029 water rate study by sending multiple notices, extensive use of media outlets, and schedule/announce public meetings to prepare the community for the need for likely rate hikes. This is to start by no later than one month after the study completion. (F2, F3, F4, F5, F6) RESPONSES Pursuant to California Penal Code sections 933 and 933.05, each entity or individual named below must respond to the enumerated Findings and Recommendations within specific statutory guidelines. Responses to Findings shall be either: • The respondent agrees with the finding; or • The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefor. Responses to Recommendations shall be one of the following: • The recommendation has been implemented, with a summary regarding the implemented action; or • The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation; or • The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being investigated or reviewed, including the governing body of the public agency where applicable. This time frame shall not exceed six months from the date of the publication of the Grand Jury report; or • The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefor. REQUIRED RESPONSE – WITHIN 90 DAYS The Fortuna City Council (F1, F2, F3, F4, F5, F6) and (all recommendations) Invited Responses The Humboldt County Civil Grand Jury also invites the following entities or individuals to respond. The McKinleyville Community Services District (F1, F7) Responses are to be sent to both: The Honorable Judge Timothy A. Canning California Superior Court for Humboldt County 825 5th Street, Eureka, CA 95501 The Humboldt County Civil Grand Jury PO Box 657; Eureka, CA 95502 A Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
F4
The Humboldt County Civil Grand Jury finds that:
Municipalities and districts which fail to provide adequate funding for water and wastewater systems may incur higher maintenance costs which negatively affects the amount of money available for upgrades. (R1, R2, R3)
Related Recommendations (3)
R1
The Fortuna City Council commission a new water rate study to be completed and presented to City Council no later than April 15, 2029. (F3, F4, F5, F6)
R2
The Fortuna City Council communicate to Fortuna customers that this yet to be commissioned water rate study (referenced in R1) will likely recommend increasing rates beginning in fiscal year 2029-2030 to provide funds to maintain and upgrade water and sewer systems. This is to be done by no later than January 31, 2029. (F2, F3, F4, F5, F6)
R3
When the 2029 water study is complete, the Fortuna City Council redouble efforts to inform the public of results of the 2029 water rate study by sending multiple notices, extensive use of media outlets, and schedule/announce public meetings to prepare the community for the need for likely rate hikes. This is to start by no later than one month after the study completion. (F2, F3, F4, F5, F6) RESPONSES Pursuant to California Penal Code sections 933 and 933.05, each entity or individual named below must respond to the enumerated Findings and Recommendations within specific statutory guidelines. Responses to Findings shall be either: • The respondent agrees with the finding; or • The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefor. Responses to Recommendations shall be one of the following: • The recommendation has been implemented, with a summary regarding the implemented action; or • The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation; or • The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being investigated or reviewed, including the governing body of the public agency where applicable. This time frame shall not exceed six months from the date of the publication of the Grand Jury report; or • The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefor. REQUIRED RESPONSE – WITHIN 90 DAYS The Fortuna City Council (F1, F2, F3, F4, F5, F6) and (all recommendations) Invited Responses The Humboldt County Civil Grand Jury also invites the following entities or individuals to respond. The McKinleyville Community Services District (F1, F7) Responses are to be sent to both: The Honorable Judge Timothy A. Canning California Superior Court for Humboldt County 825 5th Street, Eureka, CA 95501 The Humboldt County Civil Grand Jury PO Box 657; Eureka, CA 95502 A Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
F5
The Humboldt County Civil Grand Jury finds that:
The City of Fortuna failed to complete a five-year plan during an 18-year period, contributing to insufficient system upgrades and a greater cost burden for maintenance. (R1, R2, R3)
Related Recommendations (3)
R1
The Fortuna City Council commission a new water rate study to be completed and presented to City Council no later than April 15, 2029. (F3, F4, F5, F6)
R2
The Fortuna City Council communicate to Fortuna customers that this yet to be commissioned water rate study (referenced in R1) will likely recommend increasing rates beginning in fiscal year 2029-2030 to provide funds to maintain and upgrade water and sewer systems. This is to be done by no later than January 31, 2029. (F2, F3, F4, F5, F6)
R3
When the 2029 water study is complete, the Fortuna City Council redouble efforts to inform the public of results of the 2029 water rate study by sending multiple notices, extensive use of media outlets, and schedule/announce public meetings to prepare the community for the need for likely rate hikes. This is to start by no later than one month after the study completion. (F2, F3, F4, F5, F6) RESPONSES Pursuant to California Penal Code sections 933 and 933.05, each entity or individual named below must respond to the enumerated Findings and Recommendations within specific statutory guidelines. Responses to Findings shall be either: • The respondent agrees with the finding; or • The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefor. Responses to Recommendations shall be one of the following: • The recommendation has been implemented, with a summary regarding the implemented action; or • The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation; or • The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being investigated or reviewed, including the governing body of the public agency where applicable. This time frame shall not exceed six months from the date of the publication of the Grand Jury report; or • The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefor. REQUIRED RESPONSE – WITHIN 90 DAYS The Fortuna City Council (F1, F2, F3, F4, F5, F6) and (all recommendations) Invited Responses The Humboldt County Civil Grand Jury also invites the following entities or individuals to respond. The McKinleyville Community Services District (F1, F7) Responses are to be sent to both: The Honorable Judge Timothy A. Canning California Superior Court for Humboldt County 825 5th Street, Eureka, CA 95501 The Humboldt County Civil Grand Jury PO Box 657; Eureka, CA 95502 A Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
F6
The Humboldt County Civil Grand Jury finds that:
The City of Fortuna did not raise its rates for water and wastewater between 2011-2024 while operating costs steadily rose, resulting in the city having to delay needed infrastructure improvements. (R1, R2, R3)
Related Recommendations (3)
R1
The Fortuna City Council commission a new water rate study to be completed and presented to City Council no later than April 15, 2029. (F3, F4, F5, F6)
R2
The Fortuna City Council communicate to Fortuna customers that this yet to be commissioned water rate study (referenced in R1) will likely recommend increasing rates beginning in fiscal year 2029-2030 to provide funds to maintain and upgrade water and sewer systems. This is to be done by no later than January 31, 2029. (F2, F3, F4, F5, F6)
R3
When the 2029 water study is complete, the Fortuna City Council redouble efforts to inform the public of results of the 2029 water rate study by sending multiple notices, extensive use of media outlets, and schedule/announce public meetings to prepare the community for the need for likely rate hikes. This is to start by no later than one month after the study completion. (F2, F3, F4, F5, F6) RESPONSES Pursuant to California Penal Code sections 933 and 933.05, each entity or individual named below must respond to the enumerated Findings and Recommendations within specific statutory guidelines. Responses to Findings shall be either: • The respondent agrees with the finding; or • The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefor. Responses to Recommendations shall be one of the following: • The recommendation has been implemented, with a summary regarding the implemented action; or • The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation; or • The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being investigated or reviewed, including the governing body of the public agency where applicable. This time frame shall not exceed six months from the date of the publication of the Grand Jury report; or • The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefor. REQUIRED RESPONSE – WITHIN 90 DAYS The Fortuna City Council (F1, F2, F3, F4, F5, F6) and (all recommendations) Invited Responses The Humboldt County Civil Grand Jury also invites the following entities or individuals to respond. The McKinleyville Community Services District (F1, F7) Responses are to be sent to both: The Honorable Judge Timothy A. Canning California Superior Court for Humboldt County 825 5th Street, Eureka, CA 95501 The Humboldt County Civil Grand Jury PO Box 657; Eureka, CA 95502 A Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
F7
The Humboldt County Civil Grand Jury finds that:
Due to FEMA not releasing money previously granted to the District, McKinleyville Community Services District will need to find money to replace funding expected from FEMA for several infrastructure improvement projects in progress.
Related Recommendations (1)
R3
When the 2029 water study is complete, the Fortuna City Council redouble efforts to inform the public of results of the 2029 water rate study by sending multiple notices, extensive use of media outlets, and schedule/announce public meetings to prepare the community for the need for likely rate hikes. This is to start by no later than one month after the study completion. (F2, F3, F4, F5, F6) RESPONSES Pursuant to California Penal Code sections 933 and 933.05, each entity or individual named below must respond to the enumerated Findings and Recommendations within specific statutory guidelines. Responses to Findings shall be either: • The respondent agrees with the finding; or • The respondent disagrees wholly or partially with the finding, in which case the response shall specify the portion of the finding that is disputed and shall include an explanation of the reasons therefor. Responses to Recommendations shall be one of the following: • The recommendation has been implemented, with a summary regarding the implemented action; or • The recommendation has not yet been implemented, but will be implemented in the future, with a time frame for implementation; or • The recommendation requires further analysis, with an explanation and the scope and parameters of an analysis or study, and a time frame for the matter to be prepared for discussion by the officer or head of the agency or department being investigated or reviewed, including the governing body of the public agency where applicable. This time frame shall not exceed six months from the date of the publication of the Grand Jury report; or • The recommendation will not be implemented because it is not warranted or is not reasonable, with an explanation therefor. REQUIRED RESPONSE – WITHIN 90 DAYS The Fortuna City Council (F1, F2, F3, F4, F5, F6) and (all recommendations) Invited Responses The Humboldt County Civil Grand Jury also invites the following entities or individuals to respond. The McKinleyville Community Services District (F1, F7) Responses are to be sent to both: The Honorable Judge Timothy A. Canning California Superior Court for Humboldt County 825 5th Street, Eureka, CA 95501 The Humboldt County Civil Grand Jury PO Box 657; Eureka, CA 95502 A Reports issued by the Grand Jury do not identify individuals interviewed. Penal Code section 929 requires that reports of the Grand Jury not contain the name of any person or facts leading to the identity of any person who provides information to the Grand Jury.
Additional Recommendations 4
These recommendations are not explicitly linked to specific findings.
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R4Hazard Mitigation Plan FEMA requires local governments to have an approved Hazard Mitigation Plan to be eligible for certain federal funding and assistance programs. The plan also identifies risks and vulnerabilities, as well as actions that can be taken to reduce these issues and enable a faster recovery. Plans must be updated every five years.
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R5Urban Water Management Plan The key benefits of an Urban Water Management Plan are clean drinking water, reliable sanitation, and wastewater disposal. Other benefits include controlling storm runoff and risk management. On the economic side, the plan also seeks to reduce waste and operational costs. The idea is to build a sustainable, healthy, and resilient environment. One compliance element of this plan is the California Department of Water Resources requirement that every water supplier serving more than 3,000 connections must submit this plan every five years.
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R6Municipal Service Review and Sphere of Influence This is an analysis of municipal services within a certain geographic area that is required by the Local Agency Formation Commission (LAFCO). A LAFCO oversees the establishment, expansion, governance, and dissolution of local government agencies and their municipal services. The study looks at population, growth, services, fiscal health, governance, and opportunities for improvement and should be completed every five years. Municipal Service Reviews are often required before or in conjunction with a Sphere of Influence plan. The Sphere of Influence provides a framework for assessing whether an area is likely to need municipal water, wastewater, or related services in the future. It informs decisions on where and when to expand or reorganize services. This plan should be updated five years or as needed. E. Capital Reserves and Funding There is no single law that requires a water or wastewater facility to maintain a capital reserve. However, Sections 20200–20220 of the California Water Code requires facilities to be financially responsible for adequate funds for capital improvement plans. The California Code of Regulations, enforced by the State Water Resources Control Board, sets operational, environmental, and financial standards for water and wastewater facilities, ensuring adequate funding and financial reporting occur. The bottom line is the fact that fees based only on the usage of water and sewers alone do not meet the financial needs of water and sewer systems. Why? For all the reasons listed above. For providers of these water utilities to remain financially viable, other sources are needed. Funding sources to cover the gap in revenue obtained by entities and the cost of maintaining adequate capital reserves can include the sources below. Several Humboldt communities have been aided in paying for improvements from these resources:
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R84They now have enough water to ensure coverage of maximum daily usage, and to handle outages due to natural disasters or other emergencies.