LADWP secures $500m credit facility and settles Great Basin environmental litigation

LADWP secures $500m credit facility and settles Great Basin environmental litigationThe Los Angeles municipal utility has authorized a five-year revolving credit agreement with Wells Fargo, while resolving ongoing litigation with the Great Basin Unified Air Pollution Control District and impacted tribes.

The board unanimously approved access to a $500 million revolving line of credit with Wells Fargo Bank.

A $1.5 million settlement was authorized to resolve litigation with the Great Basin Unified Air Pollution Control District and impacted tribes.

Water System management highlighted the financial stakes of regional water politics, noting Los Angeles pays 15-20% of Metropolitan Water District (MWD) costs.

Officials praised collaborative efforts at the Tillman Water Reclamation Plant to advance the city's Pure Water LA reuse goals.

The Los Angeles Department of Water and Power (LADWP) Board of Commissioners approved major financial and legal measures during its April 28 meeting, greenlighting a new credit facility and settling ongoing environmental litigation. Through its consent calendar, the board authorized a five-year revolving credit agreement and related fee and interest rate agreement with Wells Fargo Bank. The resolution provides the municipal utility with access to a $500 million revolving line of credit. Following a closed session, the board unanimously approved a $1.5 million settlement offer to resolve existing litigation with the Great Basin Unified Air Pollution Control District and impacted tribes. The settlement resolves an Orange County Superior Court case involving the state and the regional air quality regulator. Alongside the financial approvals, LADWP leadership provided updates on the utility's long-term water supply strategies. Interim General Manager Dave Hanson and Vice President Nurit D. Katz highlighted recent collaboration with LA Sanitation at the Tillman Water Reclamation Plant, framing it as a critical step toward achieving the city's Pure Water LA reuse targets. Katz noted the project's impact on the San Fernando Valley and its role in the mayor's newly launched climate action plan. The meeting also marked the retirement of Deputy Mayor of Energy and Sustainability Nancy H. Sutley, who will continue to represent Los Angeles on the Metropolitan Water District (MWD) board. Anselmo Collins, representing the LADWP Water System, emphasized the financial stakes of Sutley's ongoing MWD role. "As a member agency, we pay 15-20% of everything that happens at Metropolitan," Collins said, stressing the importance of protecting the city's water rights, supply, and ratepayer costs at the regional level.