AWAC wants LACSD to take over its duties.
In January 2022, The Mountain News reported that AWAC, the architectural committee had asked LACSD, the water company, to take over AWAC's functions. AWAC claimed that it lacked sufficient personnel. Mountain News further reported that the genesis of this takeover was a longtime personal friendship between Stacey Lippert, Executive Director of AWAC and Catherine Cerri, LACSD's General Manager. John Wurm, the longtime paid attorney for AWAC was also the president of LACSD's Board of Directors.
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To make this move, LACSD approached Assemblyman Thurston "Smitty" Smith and Senator Rosilicie Ochoa Bogh to pass a bill through the legislature. AWAC claimed that the change was necessary because it was facing a financial crisis.* When property owners objected, Assemblyman Smith dropped out, but Bogh sponsored the bill, and it passed. This new law, Senate Bill 1405, gave LACSD a power never held by AWAC, the taxing authority to impose all enforcement costs directly upon all Arrowhead Woods homeowners.
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The passage of Senate Bill 1405 amended California Government Code Section 61105 giving LACSD a host of new powers and imposing numerous obligations on Arrowhead Woods homeowners. The only thing left in LACSD's way would be a future vote by 50% of all Woods homeowners (roughly 10,000) agreeing to the takeover.
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*According to the Senate Committee on Finance and Governance, Senator Bogh, the author of the bill stated that she had been told that AWAC's “...revenue generation is uncertain in any given year and cost increases and legal challenges make it difficult to anticipate costs. For these reasons, AWAC is faced with a financial crisis." Had she looked up the State of CA DOJ Registry for Charitable Trusts website, she would have discovered that AWAC, in fact had reported gross revenues of $132,690 for 2017, $153,320 for 2018, $128,550 for 2019, $210,023 for 2020 and $265,140 for 2021.
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