FOR IMMEDIATE RELEASE
August 12, 2025

Press Contact
Clemens Heldmaier
Cell (650) 766-6982

Montara Water & Sanitary District Statement on Superior Court Ruling

re: City of Half Moon Bay v. Sewer Authority Mid-Coastside,
Montara Water and Sanitary District, and Granada Community Services District

Montara, CA – On Tuesday, August 12, Judge Julia L. Alloggiamento of the Superior Court of Santa Clara County ruled in favor of Granada Community Services District (GCSD) and Montara Water and Sanitary District (MWSD) over the City of Half Moon Bay’s 2017 litigation related to the Sewer Authority Mid-Coastside (SAM) contract. Today’s ruling affirms that the City of Half Moon Bay must fund work related to the SAM Intertie Pipeline System (IPS), an integral part of our Coastside’s sewage system. Half Moon Bay has spent almost eight years attempting to renege on the SAM contract and shift its financial obligations onto its northern neighbors.

Today’s oral ruling follows a December 2023 decision by the Sixth District Court of Appeal in San Jose to return the lawsuit to the trial court. This Appeals Decision followed a February 2022 Santa Clara County Superior Court ruling which ended the City of Half Moon Bay’s (HMB) lawsuit.

The 2023 Appeals Decision did not rule in HMB’s favor, it merely identified legal and factual grounds for returning the lawsuit to a trial court. Specifically, the Court asked the trial court to resolve whether work planned in 2017 on the SAM IPS constitutes “maintenance” under the General Budget provision of the SAM Joint Powers Agreement, or “construction” under the Project Budget provision.

“Though MWSD is pleased with today’s ruling, we are saddened by the significant expense that has been imposed upon our Coastside residents by the City of Half Moon Bay’s choice to file litigation,” said MWSD Board President Scott Boyd. ‘Ultimately, the legal fees expended by MWSD, GCSD, and HMB are truly the whole Coastside’s loss. Whether you live in HMB, Granada or Montara, these funds have not been invested in our infrastructure, we do not have improved or new assets in the ground after all this expense.”

MWSD and GCSD have stood firm throughout these last eight years – all JPA parties must pay their fair share to operate and maintain the system. Regardless of today’s ruling, the Districts remain poised to move forward on critical repairs needed to protect our coastline.

SAM was formed in 1976 under a Joint Exercise of Powers Authority (JPA) contract between GCSD, HMB, and MWSD, and is tasked with protecting public health and our beautiful coastal environment.

In 1976, in order to serve all three communities, the partners of SAM chose to construct, own, and operate wastewater infrastructure, including the Intertie Pipeline System (IPS) and a single consolidated treatment plant. The IPS conveys wastewater from Montara and Granada (including a portion of the City of Half Moon Bay inside Granada’s boundary) to SAM’s Treatment Plant in Half Moon Bay. During heavy rain events, when increased wastewater flows can overwhelm the treatment plant, the IPS provides essential storage capacity to prevent releases of untreated sewage into the ocean.

For more than 45 years, SAM has operated and maintained constantly aging infrastructure. Throughout the years, we have seen the benefit of three agencies working together to share staffing, maintenance, and repair costs.

In 2017, the City of Half Moon Bay abruptly sued in an attempt get out of paying its share of the millions needed to maintain and repair the IPS, disregarding 45 years of financial partnership and the clear contractual language of the JPA. This action would have doubled costs for Granada, Princeton, and Montara/Moss Beach.

 Montara Water and Sanitary District (MWSD) works every day to deliver water, garbage, and sewer services for the residents of Montara and Moss Beach. Over 6,000 residents rely on our services for their homes and businesses.