San Mateo LAFCO circulates draft municipal service review for South County districts, schedules workshop

The San Mateo County Local Agency Formation Commission on Sept. 17 opened public circulation of a draft municipal service review (MSR) for South County Part 1, covering County Service Area (CSA) 7, the Los Trancos County Maintenance District and the La Honda Lighting Maintenance District, and directed staff to schedule a final public hearing and a virtual workshop.

The commission voted to direct the executive officer to schedule a final MSR and sphere-of-influence hearing for Nov. 19, 2025, and to hold a virtual public workshop on Oct. 7, 2025, so stakeholders can provide additional feedback and any amendments requested by commissioners can be incorporated before final circulation.

LAFCO staff member Sarah, who presented the draft, said MSRs and spheres of influence are required by state law and “do not represent a proposal for reorganization,” but are studies of service provision and governance. Sarah explained that CSA 7 provides domestic water service to roughly 68 residential accounts within about one square mile near the unincorporated community of La Honda and that the San Mateo County Board of Supervisors is the governing body. The adopted CSA 7 budget for fiscal year 2025–26 was listed in the report as $176,781.

The draft identifies funding challenges for CSA 7 arising from a small ratepayer base and limited reserves, noting that while a rate schedule was adopted in 2021 to cover operational costs, reserves remain insufficient to cover identified capital and emergency costs. Sarah summarized three hypothetical alternatives in the report should the county determine it cannot continue operating the system because of insufficient revenue; the report frames those alternatives as options for consideration rather than proposals.

On the Los Trancos County Maintenance District, the report summarizes that the district — formed in 2015 as the successor to the dissolved Los Trancos County Water District — funds enhanced services largely through a share of a 1% property tax collected within the district and that large capital stormwater projects would take multiple years of saving to fund. The report lists an available fund balance of $1,700,000 as of June 30, 2025, and recommends updating the 2013 storm drainage master plan, improving cost estimates, and increasing public transparency by posting advisory-committee agendas and minutes on the county website.

David Smirnoff, who identified himself during public comment as a member of the Los Trancos County Maintenance District community advisory committee, said the district holds annual meetings and that its drainage infrastructure includes antiquated systems dating from the 1920s. “We have been working with Department of Public Works to address those issues and are starting to make progress,” Smirnoff said. He also asked the commission to correct the report’s land-management section to reflect that the Woodside Fire Protection District contracts for management work on some properties and that volunteers provide substantial support.

Commissioners asked staff about outreach to community advisory committee members; Sarah and LAFCO staff said they had contacted advisory committee members and anticipated additional comments at the planned virtual workshop. Commissioner Martin asked whether staff had attempted to contact advisory committee members other than through the community websites; staff said they had and that additional outreach would continue.

The commission’s formal action on the item directed staff to circulate the draft with any amendments, schedule the Nov. 19 final hearing, and hold the Oct. 7 virtual workshop. The motion passed on a roll-call vote.