Protest Hearing for the Proposal to Establish the East Palo Alto Sanitary District as a Subsidiary District of the City of East Palo Alto

Updated June 25, 2024

On November 15, 2023 the LAFCo Commission voted unanimously, 6-0, to adopt Resolution No. 1312 approving the City of East Palo Alto’s (City) proposal to establish the East Palo Alto Sanitary District (EPASD) as a subsidiary district of the City. Approval of this proposal will not alter the boundaries of EPASD or the sewer services provided by EPASD. Revenue collected by EPASD will be maintained separately from the City’s General fund and can only be used for sewer operations and maintenance.

A 30-day reconsideration period followed the Commission’s approval and ended December 15, 2023. LAFCo received a request for reconsideration from EPASD that was heard by the Commission at a Special Meeting on February 7, 2024. The Commission voted unanimously, 7-0, to deny EPASD’s request for reconsideration and adopt Resolution No. 1315 disapproving the request for reconsideration relating to the establishment of EPASD as a subsidiary district of the City of East Palo Alto.

Protest Hearing

LAFCo set the required protest period for the proposal to establish EPASD as a subsidiary district of the City. The protest period began on February 12, 2024, and ended with a protest hearing on May 22, 2024, at 2:30pm in the East Palo Alto City Council Chambers at 2415 University Avenue, East Palo Alto, CA. During the protest period, landowners and registered voters within the affected territory area may submit written protest to the proposal.

The Protest Hearing to consider the above the proposal to establish EPASD as a subsidiary district of the City was noticed in the San Mateo County Times and Palo Alto Daily Post on February 12, 2024 and in the Almanac on February 16, 2024. Notices were also sent to affected agencies and interested parties on February 12, 2024.

Protest ballots were collected by LAFCo staff via mail and in-person, until the close of the hearing at 2:59pm on May 22, 2024.

Below is a summary of the total number of protest ballots collected from both registered voters and landowners in the affected territory:

Preliminary Results of Protest Received for LAFCo File 22-09
Total Registered Voters in Affected Area	9,672[1] (100%)	Number of Facially Valid Registered Voter Protests Received	1,012 (10.46%)	Number of Facially Deficient Registered Voter Protests Received	57
Total Number of Landowners in Affected Area	6,567 (100%)	Number of Facially Valid Landowner Protests Received	936 (14.25%)	Number of Facially Deficient Landowner Protests Received	105
Total Assessed Land Value in Affected Area	$2,264,295,264 (100%)	Total Assessed Land Value of Facially Valid Landowner Protests Received	$180,654,895 (7.98%)	Total Assessed Land Value of Facially Deficient Landowner Protests Received	$18,113,670

[1] As of May 22, 2024 per the San Mateo County Registrar of Voters

Under the present circumstances, where the number and value of protests met neither the 50% threshold for terminating the proceedings nor the 25% thresholds for requiring an election, the Commission is under a mandatory statutory duty to approve the change of organization. Accordingly, at the July 17, 2024, LAFCo Commission meeting, the Executive Officer will ask the Commission to confirm the results of the protest proceedings by resolution.

For additional information on the preliminary results, please see this memo from San Mateo LAFCo.

History & background

On June 15, 2022 the Commission reviewed and approved the Municipal Service Review (MSR) for the City of East Palo Alto, East Palo Alto Sanitary District and West Bay Sanitary District.

On November 10, 2022, a proposal (LAFCo File No. 22-09) was submitted to San Mateo LAFCo to establish the East Palo Alto Sanitary District (EPASD), an independent special district, as a subsidiary district of the City of East Palo Alto (City)..

The proposal submitted by the City included a resolution of application, application materials, a plan for service, a capital improvement plan, and a proposed budget for EPASD operations and maintenance and capital improvements.

On June 15, 2023 San Mateo LAFCo issued a Certificate of Filing for LAFCo File No. 22-09, a proposal to establish the East Palo Alto Sanitary District (EPASD) as a subsidiary district of the City of East Palo Alto. The application contains the required information and data as required by San Mateo LAFCo and State Law.

On July 12, 2023 the East Palo Alto Sanitary District Board adopted a resolution of intent to submit an alternative proposal to File No. 22-09 - A proposal to establish East Palo Alto Sanitary District (EPASD), and independent special district, as a subsidiary district of the City of East Palo Alto (City). The resolution was submitted to LAFCo on July 13, 2023.

On September 19, 2023 the East Palo Alto Sanitary District (EPASD) submitted an alternative application to LAFCo regarding the City's subsidiary district proposal. The application proposed to 1) retain EPASD current governance structure, 2) amend its Sphere of Influence to be coterminous with EPASD boundaries, and 3) remove EPASD's territory from the Sphere of Influence of the West Bay Sanitary District. The application and supporting documents can be viewed at the link below:

East Palo Alto Sanitary District Alternative Application

The City’s proposal and EPASD’s alternative application were presented to the Commission at the Special LAFCo meeting held at the East Palo Alto City Hall on November 15, 2023.