Former Valley Water CEO Accused of Sexual Harassment

Independent investigation finds CEO Rick Callender violated company policy, sent inappropriate messages and photos to employees

Published on Mar. 9, 2026

Got story updates? Submit your updates here. ›

The head of Santa Clara County's largest water supplier, Valley Water, has been accused of sexually harassing subordinate employees, according to an independent investigation. The report found that CEO Rick Callender violated company policy by sending inappropriate comments and photos, making intimidating statements, and pressuring employees to communicate with him outside of work hours. Callender has since resigned, but will remain as a special advisor to the agency for a year, continuing to receive his CEO pay and benefits totaling $716,000.

Why it matters

The allegations against Callender, who was the first Black man to lead Valley Water, raise concerns about abuse of power and the treatment of employees at the county's largest water supplier. The board's decision to retain Callender as a special advisor despite the findings has sparked outrage among employees, who feel the agency is prioritizing the former CEO over the well-being of its workforce.

The details

The investigation, conducted by the law firm Atkinson, Andelson, Loya, Ruud & Romo, found that Callender pressured employees to message him on social media after work hours, sent invasive messages about their hygiene and sexual history, sent a photo of his clothed lap, and engaged in unwanted advances. Accusers said Callender pressured them into certain roles, threatened to fire them, and sat on the promotion panel for an employee he allegedly harassed. Callender's attorney claimed the messages were taken out of context, but investigators said his explanations "defied common sense" and found his credibility suspect.

  • Callender had been on leave since December 2024.
  • Callender resigned on February 20, 2026.
  • The board approved a separation agreement that retains Callender for a year as a special advisor on February 20, 2026.

The players

Rick Callender

The former CEO of Valley Water, who was accused of sexually harassing subordinate employees. Callender was the first Black man to lead the agency, but has now resigned and will remain as a special advisor for a year, continuing to receive his CEO pay and benefits.

Valley Water

The largest water supplier in Santa Clara County, California. An independent investigation found that its former CEO, Rick Callender, sexually harassed employees.

Atkinson, Andelson, Loya, Ruud & Romo

The law firm that conducted the independent investigation into the allegations of sexual harassment against former Valley Water CEO Rick Callender.

Tony Estremera

The chair of the Valley Water board of directors, who faced criticism for his remarks praising Callender after the investigation's findings were released.

Rebecca Eisenberg

A Valley Water director who was the lone vote against Callender's separation agreement, and who expressed doubts about the board's decision to retain him as a special advisor.

Got photos? Submit your photos here. ›

What they’re saying

“Statements allegedly implying sexual thoughts or risk of being 'fired' are taken out of context. The investigation conducted by Atkinson, Andelson, Loya, Ruud & Romo exhibited a prosecutorial posture toward Mr. Callender, repeatedly accepting complainants' assertions without adequate scrutiny, and engaging in aggressive, repetitive, and disrespectful questioning inconsistent with neutral fact-finding.”

— Lori Costanzo, Attorney for Rick Callender (Letter to Valley Water)

“This will be the only statement I will be making. As CEO, Rick Callender led Valley Water through extraordinary operational and fiscal pressures, including the COVID 19 pandemic, inflationary constraints and complex regulatory demands of continuing to deliver measurable results to the community.”

— Tony Estremera, Board Chair, Valley Water (Valley Water board meeting)

“The victims still have not heard a word of apology from the board of directors, who are responsible for hiring this man.”

— Salam Baqleh, Representative, Valley Water Employees Association (San José Spotlight)

“This is disgusting. The board should be ashamed. We knew this is what he was like — we were his coworkers, it was no secret. It's difficult to believe that you all did not know. … This is a slap in the face to both employees and taxpayers, especially those who came forward as victims of abuse.”

— Anonymous Valley Water employee (Valley Water town hall)

What’s next

The judge in the case will decide on Tuesday whether or not to allow Rick Callender out on bail.

The takeaway

The allegations against former Valley Water CEO Rick Callender and the board's handling of the situation highlight the need for stronger accountability and transparency when it comes to addressing claims of sexual harassment, especially at the highest levels of an organization. This case underscores the importance of prioritizing employee well-being and upholding ethical standards, even for senior leaders.