The California agency in charge of the state’s Coachella Canal failed to convince an appellate court to fully reverse a ruling that awarded non-agricultural customers at least $17 million for water-import charges that violated California’s constitution. The constitution requires taxes imposed by local government bodies such as the Coachella Valley Water District to get local approval. The water district failed to convince the California Court of Appeal, Fourth District that the charges it imposed were exempt from that rule because there was a rational basis to tax urban customers for the cost of importing more water.