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Castaic Lake Water Agency
Memorandum
October 16, 2017
To: CLWA Board of Directors
From: Valerie L. Pryor
Assistant General Manager
Subject: Approve a Resolution Approving the Dissolution of the Santa Clarita Water
Company
SUMMARY
When the Agency purchased the Santa Clarita Water Company (SCWC), the Agency acquired all of the
assets and converted SCWC to a non-profit corporation which exists today. Staff recommends dissolving
SCWC as it serves no purpose and requires staff time to maintain.
DISCUSSION
The process to dissolve SCWC is as follows:
1. The CLWA Board of Directors as the sole member approves a resolution approving the dissolution
of SCWC (Attachment A).
2. The SCWC Board of Directors signs and dates a Joint Unanimous Written Consent form
(Attachment B).
3. The SCWC Board of Directors sign a Certificate of Dissolution and that form is forwarded to the
State Attorney General (Attachment C) along with an explanatory communication from General
Counsel (Attachment D).
4. The Agency will receive a confirmation letter from the State Attorney General which will be
submitted to the California Secretary of State along with the signed Certificate of Dissolution.
SCWC has been inactive since August 31, 1998. Staff and legal counsel find that SCWC serves no
purpose but does require administrative work. The Agency annually files with the State Franchise Tax
Board that SCWC has had no financial activities and biannually files a Statement of Information with the
California Secretary of State. This work will no longer be necessary after the dissolution of the SCWC.
On October 12, 2017, the Financial and Operations Committee considered approving a resolution
approving the dissolution of the Santa Clarita Water Company.
FINANCIAL CONSIDERATIONS
None at this time.
RECOMMENDATION
The Financial and Operations Committee recommends that the Board of Directors approve a resolution
approving the dissolution of the Santa Clarita Water Company.
VLP
Attachments
245