BAKERSFIELD, Calif. (KGET) — The City of California City was under investigation by a Grand Jury for how officials managed the city and water funds, according to a report.

The report says this past year the grand jury was tasked with investigating complaints from a concerned resident. There were 46 areas of concern, including water rates, water main replacement and missing water and sewage funds.

The grand jury found that the city had not been compliant with Proposition 218.

Prop 218 restricts local government revenue-raising ability, reduces fees, assessments and taxes that individuals and businesses pay and increases voter approval for local taxes, according to the California Legislative Analyst’s Office’s website.

The website says, Prop 218 impacts local garbage collection fees, fire assessment and utility tax.

The report by the Grand Jury says residents took their concern to the city council by mail and protested at meetings, but there were few protesters regarding the increased rate and most water customers were silent.

In April, the Grand Jury attempted to verify that the council members were in compliance with Prop 218, but no evidence has been produced to verify that the members were in compliance, according to the report.

In accordance with Prop 218, the city is required to pay for its water and sewer management, according to the report. There is no documentation that shows the city paid for sewer or water before 2014.

In 2002, the city council adopted a Master Water Plan to replace water lines and recommended the plan should take 10 to 15 years. As of April 2022, only 10 percent of water lines have been replaced, according to the report.

The grand jury found that Cal City’s leadership needs to be stabilized with qualified individuals, the city needs to bridge the gap between residents and themselves, the city has a lack of knowledge on Prop 218 and the waterline replacement program is “derelict and incompetent,” according to the report.

In light of these findings, the Grand Jury recommends that the city council should fill all direct positions with permanent and qualified individuals, and they must hold quarterly town hall meetings by Sept. 30, 2022, according to the report.

By Dec. 31, 2022, the city council needs to complete Prop 218 training and review Prop 13, according to the report. The city must complete the bidding process and hire a private contractor to finish the waterline repairs by June 30, 2022.

We have reached out for comment from the city and have not received a response.