EL DORADO COUNTY, Calif. – An arrest warrant has been issued for the former El Dorado Hills Community Services District (EDHCSD) General Manager, Kevin Anthony Loewen. According to a short press release issued on Friday, El Dorado County District Attorney Vern Pierson announced that the El Dorado County Criminal Grand Jury issued an indictment against Loewen on two felony perjury counts, one felony count of Participating in a Government Contract while having a financial Interest, and three misdemeanor counts of participating in a government decision while having a conflict of interest.
The press release did not reveal any other details but the Community Services District has been at the center of controversy for a few years and was the subject of the Grand Jury report released in April 2024.
In that report, the Grand Jury said, “What began as an investigation into the propriety of an outside consulting arrangement of the then General Manager of the El Dorado Hills Community Services District (CSD) with a CSD contractor, DTA, expanded into a broader investigation into how CSD determines park assessments, collects developer impact fees, and CSD’s overall financial position. There is increasing public concern over how reasonable park assessment rates really are, and multiple communities are pushing back to repeal their assessments, which, if successful, will impact CSD revenue in future years.”
“As a result of the financial investigation, the Grand Jury believes that CSD is overcharging the public for both assessments and impact fees. Not spending the revenue in a reasonable timeframe to benefit current owners appears to be in violation of retention requirements for at least the park impact fees (PIF). In short, CSD has ample financial assets to develop new parks and amenities, but is not doing so. Instead, CSD has amassed roughly $50 million in reserve funds with a “plan” to spend $300 million in the future. The CSD Board provides inadequate oversight of management and staff, contributing to public frustration,” the Grand Jury report also stated.
The Grand Jury criticized the CSD Board for failing to adequately address the issue of conflict of interest until Loewen voluntarily separated in December 2023.
The Grand Jury had received multiple complaints about CSD in July and August 2023, prompting an investigation.
An El Dorado Hills resident initiated a recall of some of the board members in April, but the recall does not appear on the Nov. 4 ballot. What is on the ballot are two candidates vying for the one open director position.
The initiator of the recall gave multiple reasons to remove the board members according to the Village Life, including the overpayment of $10 million for land valued at just $1.5 million, with another $10 million acquisition pending; Refusal to implement Measures Q, R and S, despite legal certification and voter approval; Misuse of public funds to pursue retaliatory litigation against the El Dorado County Auditor-Controller; Failure to develop parks, including the $13 million Bass Lake park obligation released to a developer and ongoing neglect of the promised 30-acre Carson Creek park, despite collection of Park Impact Fees; Conflict of interest violations involving the former CSD general manager and consultant DTA; Failure to perform board duties, such as calling public meetings to order and filling board vacancies, resulting in the county stepping in; Brown Act violations and misleading responses to 2024 Grand Jury reports.