For nearly four decades, the Rancho Murieta Country Club’s two 18‑hole golf courses have been irrigated with reclaimed water that the club did not pay for, according to a Sacramento County grand jury report. The freebie traces back to a 1988 contract between the club and the Rancho Murieta Community Services District, and the report warns that as the deal approaches an automatic long‑term renewal, the quiet subsidy and broader governance problems could eventually land on residents’ water bills, especially in dry years.
As reported by The Sacramento Bee, the grand jury concluded the district has effectively subsidized the club’s irrigation for roughly 38 years and that the country club "has paid none" of the district’s costs because the district never asked for reimbursement. The Bee also noted that the 1988 contract is scheduled to renew for another 20 years in two years unless either party opts out, a timeline the grand jury flagged as a potential long‑term financial risk for ratepayers.
Grand Jury Flags Governance Gaps and a Potential Conflict
The Sacramento County Grand Jury’s investigative report cites late financial audits, high staff turnover and the lack of a permanent general manager, saying those issues have left the district short on financial controls and transparency, according to the Sacramento County Grand Jury. The report also highlights that one board member, Randy Jenco, did not recuse himself from a board discussion about a possible moratorium on new hookups even though he owns underdeveloped land in the district, creating "at least the perception" of a financial conflict.
Separately, the California Fair Political Practices Commission informed complainants it would not pursue enforcement action in that matter, according to the River Valley Times. In other words, state ethics regulators have so far declined to bring formal charges over the alleged conflict.
Why the Water Question Matters More Here
The Sacramento Bee notes that the Cosumnes River is the area’s only source of fresh water, which raises the stakes for any subsidized use and any potential shortfalls, particularly in drought conditions. According to the district’s reclaimed‑water page, reclaimed water is currently supplied only to the country club, and the two golf courses together irrigate about 250 acres with an average annual demand of roughly 550 acre‑feet. That means a significant share of the district’s recycled supply is tied up in keeping the fairways and greens lush.
Legal Deadlines and What Comes Next
Under state law, the district must submit a written response to the grand jury’s 12 findings and 12 recommendations within 90 days. The grand jury’s report spells out where that response must be sent and how any follow‑up will proceed, according to the Sacramento County Grand Jury. Ethics complaints tied to the moratorium discussion have so far resulted in no enforcement action from the FPPC, meaning the commission declined to move forward with formal charges in that case, as reported by the River Valley Times.
What Rancho Murieta Residents Should Watch
The district’s board has already scheduled a Proposition 218 hearing and public meetings as it weighs potential rate changes and shifts to financial reserves, according to a district notice posted at Rancho Murieta CSD. Those meetings, along with the district’s formal response to the grand jury, will provide the clearest signs of whether local leaders seek repayment from the country club, try to renegotiate the reclaimed‑water deal before it renews automatically, or pursue other steps to limit the financial hit on residents.
