BACKGROUND
In May of 1997, the City consolidated its sewer maintenance, refuse collection, and recycling efforts under one organization, the Garden Grove Sanitary District (GGSD). The Garden Grove City Council acts as the Board of Directors of the GGSD. Prior to this time, local sewer service was provided by the Garden Grove Sanitary and Midway City Sanitary Districts. These districts operated independently of the City of Garden Grove.
Since the GGSD was founded and continuing since the merger with the City, the District's sewer lateral codes and requirements have remained the same. The 2010 GGSD Code of Regulations reads the same as the 2000 regulations on sewer lateral ownership, which is:
"4.10.120 Maintenance of residential connections. All residential connections and appurtenances thereto now existing or hereafter constructed, shall be maintained by the owner of the property served in a safe and sanitary condition and all devices or safeguards which are required by this title for the operation thereof shall be maintained in good working order."
Sewer laterals connect buildings and homes to the main sewer. The lateral includes the portion extending under parkways and public streets.
In 1999, the GGSD developed a Sewer Master Plan. The purpose of the plan was to identify deficiencies and develop capital improvement costs. The capital improvement costs were used to set the sewer rates and that system is valid today. The Sewer Master Plan has never included the costs to replace the residential laterals and the estimated costs to replace the laterals would increase the capital improvement costs by a factor of five.
In 2006, the GGSD was sued by Orange County Coastkeepers, and one of the results of the lawsuit was the establishment of a private sewer lateral loan program. The loan program total $45,000 annually, and provides funds to residents for the repair or replacement of their laterals. To date, no resident has taken part in the program.
In 2008, the neighboring cities of Costa Mesa and Home Gardens Sanitary Districts hired a legal firm to study and assess the liability from private sewer lateral spills. GGSD received a copy of the report and agrees with the findings. Essentially, the report states that as long as the laterals remain private and the main lines are maintained to industry standards, the cities would not be liable for lateral sewer spills. The State has the ability to fine up to $10,000 per day per occurrence for sewer spills. The result of the study was to increase the authority of the sanitary districts to regulate the maintenance of private sewer laterals via an ordinance.