In 1968, the South Bay Irrigation District initiated what became known as “the biggest water utilities case ever tried in California courts” against the California Water & Telephone Corporation to gain control of the Sweetwater system, which included Loveland Reservoir, through adverse possession.
In 1972, the Sweetwater Authority (SWA) was established as a public utility, with five board members from the South Bay Irrigation District and two from National City.
In 1977, voters approved a bond measure, allowing the SWA to take possession of the Sweetwater system from the California Water & Telephone Corporation.
In a land swap that occurred between 1996 and 1997, the SWA and the United States Forest Service (USFS) exchanged property. The USFS gave the SWA approximately 1,550 acres of land surrounding Loveland Reservoir, while the SWA transferred around 880 acres of land in Descanso, CA, to the USFS. As a condition of this land swap, the USFS required the SWA to provide the public with a recreational easement. To encourage public acceptance of the deal, the SWA committed to expanding fishing and recreational opportunities at Loveland from a small area known as Government Cove to between 3.5 and 5 miles of shoreline access. During negotiations regarding the easement, the USFS requested the option for night and day fishing but ultimately accepted the SWA’s offer of access from sunrise to sunset. The CEQA application submitted by the SWA describes the easement as providing up to five miles of shoreline access from sunrise to sunset, 365 days a year.