Lahontan Water Board secures $4.1M to protect drinking water in South Lake Tahoe

South Lake Tahoe – The Lahontan Regional Water Quality Control Board announced a proposed settlement that would protect drinking water supplies in South Lake Tahoe from a toxic groundwater plume linked to a former dry-cleaning site.

The proposed settlement would require Seven Springs Limited Partnership and Fox Capital Management Corporation, the former and current owners of the property, to provide treatment for municipal drinking water wells and address pollution affecting the Tahoe Valley South Subbasin for a period of 59 years.

The contamination, primarily from tetrachloroethylene (PCE), originated from dry-cleaning activities at the property between 1972 and 1979 that formed a regional groundwater plume. The plume extended from the State Route 89 and U.S. Route 50 junction toward the Tahoe Keys and has contaminated wells used by two local drinking water providers. To ensure residents receive safe drinking water, the providers and the board have worked together to either treat the wells contaminated with PCE or close them.

Under the proposed settlement, the former and current owners of the property will give the drinking water providers $4.1 million for PCE treatment, long-term monitoring and other improvements, ensuring continuous access to safe drinking water for thousands of South Lake Tahoe residents and businesses.

"Protecting water quality and human health is one of the Lahontan Water Board's top priorities, and this agreement represents a major step forward to address legacy contamination from dry-cleaning activities," said Ben Letton, Lahontan Water Board executive officer. "The proposed settlement should give South Lake Tahoe residents confidence that their drinking water is safe today — and will remain safe in the decades ahead."

If approved, the settlement will:

• Ensure continued access to safe drinking water by funding groundwater treatment as needed for Lukins Brothers Water Company and Tahoe Keys Water Company.
• Providing monetary compensation to the water purveyors for past and ongoing impacts to their drinking water supplies.
• Require a 59 year groundwater monitoring and response program, using a network of monitoring wells to provide early detection of elevated PCE levels before they reach municipal wells.
• Continue remediation of the contamination source using technologies such as soil vapor extraction and targeted groundwater treatment.

PCE is commonly used for dry cleaning and textile processing, and scientific evidence shows prolonged exposure to it may cause cancer.

The proposed settlement is subject to approval by the regional board at a future meeting where it can accept or reject the proposed settlement but not modify its terms. The regional board encourages residents to review the proposed settlement and submit public comments by the Nov. 20 deadline.

The Lahontan Regional Water Quality Control Board is responsible for the preservation and enhancement of the quality of California's water resources in eastern California. For more information about the Lahontan Water Board, visit its website.