Last week’s Press Banner featured a story about the ongoing lawsuit brought against the San Lorenzo Valley Water District and a former district director by Bruce Holloway, whose attorney also authors the Press Banner’s ongoing column called “It’s The Law.”
The district would like to provide additional information and clarification for readers, some of which hasn’t been reported to date or needs to be corrected from last week’s story.
Judge Gallagher said in court that former District Director Terry Vierra acted “without malice” and “made a small mistake” that was “unintentional.” The Press Banner attributed those quotes to the District’s General Manager, when in fact they were spoken by the judge. These words that came from the judge provide vitally important perspective on the case.
The case centers around the district’s decision to acquire a small property adjacent to the Nina Tanks project, which was an important project that expanded emergency preparedness and fire protection. The property acquisition was needed to meet the county’s requirements. It also helped get equipment and materials to the project, which was in a location with limited access.
Former director Vierra’s wife was the listing agent and would therefore benefit from approximately $9,300.00 in commission from the sale. Mr. Vierra disclosed this to the district and abstained from all votes related to the property, except one. The one he failed to abstain from was a routine vote to ratify a single list of payments to a variety of vendors related to the Nina Tanks project. The vote was to ratify a list of payments required for work completed by vendors whom the District was obligated to pay. It was this action by Mr. Vierra that was the subject of the above comments by the judge.
The Press Banner story challenged why the district would defend its former director per Government Code sections 825 and 995, which require the district to defend its employees when they are sued for actions taken within the scope of their duties at work. The Press Banner referenced unnamed lawyers to indicate some lawyers don’t view directors as employees. We disagree.
The district’s position on defending directors against lawsuits, as relayed recently by district General Manager Brian Lee to Press Banner Editor Barry Holtzclaw, is “rooted in a commitment to encouraging all qualified community members to consider service as District Directors. Without this commitment we risk a situation in which only the wealthy could afford to serve as directors because only the wealthy would be able to pay attorneys’ fees when faced with the threat of a lawsuit…”
The majority of the current directors was not on the board during the period covered in the lawsuit. The same is true for our general manager. Nonetheless, we are deeply committed to our duty to honorably and transparently steward the district. We remain focused on reliably delivering safe, high quality water to our customers. We strongly encourage public participation and attendance at our meetings. Please visit www.slvwd.com for more information.
Gene Ratcliffe, Felton
President, Board of Directors, San Lorenzo Valley Water District
[Editor’s note: Gary Redenbacher, the attorney for Bruce Holloway, does not currently write a column for the Press Banner. The last column he wrote for the Press Banner was in August 2015.]