Assembly Bill 428 was signed and passed on October 1, 2025, and will go into effect on January 1, 2026. The bill allows investor-owned water and wastewater utilities to join a JPA, something which was previously only available to public districts and mutual water companies. The CA Rural Water Risk Management Authority (CRWRMA) submitted a letter of support regarding this bill in May of 2025. We believe this bill is crucial for the future of investor-owned utilities and to ensure the availability of affordable insurance options for all CA water utilities.
What is a JPA?
A Joint Powers Authority is a legal arrangement that allows two or more public agencies to agree to combine their resources and services with the same goal. CRWA formed a JPA when we created our risk pool, MemberGuard, with the goal of helping water systems pool their resources together and save money on their insurance.
How is this Change Beneficial?
Allowing investor-owned water utilities to join a JPA provides several benefits, but most importantly, this will help to reduce the cost of insurance for private entities that have faced the challenge of rising costs in premium due to wildfire risks, drought, and weather-related changes. A JPA such as MemberGuard provides stable and reliable coverage, as well as protection from rate increases.
Overall, this new law gives investor-owned utilities the opportunity to manage rising costs more effectively and strengthens the various risk pools throughout the State by increasing membership. By joining a JPA, these water utilities can better protect their systems, and their customers, while leading to a more sustainable water future for California.
But not all pools are created equal! MemberGuard, CRWA’s risk pool, is backed by an experienced organization that has handled thousands of CA water entity claims and grants members access to training and technical assistance. Before you dive into a risk pool, be sure to see what MemberGuard has to offer.
Important: If you’re currently part of another risk pool, be aware that many programs require advance notice for exit and may charge an early exit fee. Be sure to consult with your insurance broker or one of our licensed agents if you’re already in a risk pool Program, if you’re considering switching to MemberGuard.
Please contact our office if you wish to speak with a licensed agent that specializes in water utility insurance coverage.
Utility Resource Insurance Services (URIS) License #0G58189
Dustin Hardwick – Managing Agent
License #0G53300
California Rural Water Risk Management Authority
Call: (760) 920-0842
Email: dhardwick@urisinsurance.com
Erika Canham – Customer Service Representative
License #4129002
California Rural Water Risk Management Authority
Call: (916) 612-8598
Email: ecanham@urisinsurance.com
Thomas Elisher – Project Manager
License #0K85972
California Rural Water Risk Management Authority
Call: (530) 306-7045
Email: telisher@urisinsurance.com