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Home My WebLink AboutAgenda Packet - EVWD Board of Directors - 04/26/2023BOARD OF DIRECTORS APRIL 26, 2023 East Valley Water District was formed in 1954 and provides water and wastewater services to 104,000 residents within the cities of San Bernardino and Highland, and portions of San Bernardino County. EVWD operates under the direction of a 5member elected Board. GOVERNING BOARD EXECUTIVE MANAGEMENT Phillip R. Goodrich Chairman of the Board Michael Moore General Manager/CEO James Morales, Jr. ViceChairman Brian W. Tompkins Chief Financial Officer Chris Carrillo Governing Board Member Jeff Noelte Director of Engineering & Operations Ronald L. Coats Governing Board Member Kerrie Bryan Director of Administrative Services David E. Smith Governing Board Member Patrick Milroy Operations Manager Justine Hendricksen District Clerk Rocky Welborn Water Reclamation Manager Board of Directors Regular Meeting & Public Hearing April 26, 2023 5:30 PM 31111 Greenspot Road, Highland, CA 92346 www.eastvalley.org PLEASE NOTE: Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection in the District’s office located at 31111 Greenspot Rd., Highland, during normal business hours. Also, such documents are available on the District’s website at eastvalley.org and are subject to staff’s ability to post the documents before the meeting. Pursuant to Government Code Section 54954.2(a), any request for a disabilityrelated modification or accommodation, including auxiliary aids or services, that is sought in order to participate in the above agendized public meeting should be directed to the District Clerk at (909) 8854900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL OF BOARD MEMBERS PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda PRESENTATIONS AND CEREMONIAL ITEMS Introduction of E. Joaquin Esquivel, Chair, State Water Resources Control Board Introduction of Newly Hired Employees Garret Panos, Parttime Water Quality Worker Ezequiel Mateo, Wastewater Treatment Plant Operator III PUBLIC COMMENTS 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the April 12, 2023 Regular Board Meeting Minutes b.Approve Investment Report for Quarter Ended March 31, 2023 c.Financial Statements for February 2023 d.March 2023 Disbursements: Accounts payable disbursements for the period include check numbers 260873 through 261054, bank drafts, and ACH payments in the amount of $6,974,177.22 and $666,656.68 for payroll e.Easement Quitclaims for Abandoned Water Infrastructure on Private Property 3.INFORMATIONAL ITEMS a.Review Fraud Prevention and Detection Policy 7.5 b.Review FY 202324 Revenue Projections 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2023.07 – Moving from Stage 2 to Stage 1 of the Water Shortage Contingency Plan in Ordinance 403 Section 15, Public Hearing b.Consider Adoption of Resolution 2023.08 Nomination of James Morales Jr. as a candidate of the Association of California Water Agencies Region 9 Board 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments RECESS INTO CLOSED SESSION 6.CLOSED SESSION a.CONFERENCE WITH LABOR NEGOTIATORS [Government Code Section 54957.6(a)] District Designated Representative: Michael Moore, General Manager/CEO Employee Organization: East Valley Water District Employee Partnership RECONVENE MEETING ANNOUNCEMENT OF CLOSED SESSION ACTIONS ITEMS ADJOURN BOARD OF DIRECTORSAPRIL 26, 2023East Valley Water District was formed in 1954 and provides water and wastewater services to104,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTPhillip R. GoodrichChairman of the Board Michael MooreGeneral Manager/CEOJames Morales, Jr.ViceChairman Brian W. TompkinsChief Financial OfficerChris CarrilloGoverning Board Member Jeff NoelteDirector of Engineering & OperationsRonald L. CoatsGoverning Board Member Kerrie BryanDirector of Administrative ServicesDavid E. SmithGoverning Board Member Patrick Milroy Operations ManagerJustine HendricksenDistrict ClerkRocky Welborn Water Reclamation Manager Board of Directors Regular Meeting & Public Hearing April 26, 2023 5:30 PM 31111 Greenspot Road, Highland, CA 92346 www.eastvalley.org PLEASE NOTE: Materials related to an item on this agenda submitted to the Board after distribution of the agenda packet are available for public inspection in the District’s office located at 31111 Greenspot Rd., Highland, during normal business hours. Also, such documents are available on the District’s website at eastvalley.org and are subject to staff’s ability to post the documents before the meeting. Pursuant to Government Code Section 54954.2(a), any request for a disabilityrelated modification or accommodation, including auxiliary aids or services, that is sought in order to participate in the above agendized public meeting should be directed to the District Clerk at (909) 8854900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL OF BOARD MEMBERS PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda PRESENTATIONS AND CEREMONIAL ITEMS Introduction of E. Joaquin Esquivel, Chair, State Water Resources Control Board Introduction of Newly Hired Employees Garret Panos, Parttime Water Quality Worker Ezequiel Mateo, Wastewater Treatment Plant Operator III PUBLIC COMMENTS 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the April 12, 2023 Regular Board Meeting Minutes b.Approve Investment Report for Quarter Ended March 31, 2023 c.Financial Statements for February 2023 d.March 2023 Disbursements: Accounts payable disbursements for the period include check numbers 260873 through 261054, bank drafts, and ACH payments in the amount of $6,974,177.22 and $666,656.68 for payroll e.Easement Quitclaims for Abandoned Water Infrastructure on Private Property 3.INFORMATIONAL ITEMS a.Review Fraud Prevention and Detection Policy 7.5 b.Review FY 202324 Revenue Projections 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2023.07 – Moving from Stage 2 to Stage 1 of the Water Shortage Contingency Plan in Ordinance 403 Section 15, Public Hearing b.Consider Adoption of Resolution 2023.08 Nomination of James Morales Jr. as a candidate of the Association of California Water Agencies Region 9 Board 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments RECESS INTO CLOSED SESSION 6.CLOSED SESSION a.CONFERENCE WITH LABOR NEGOTIATORS [Government Code Section 54957.6(a)] District Designated Representative: Michael Moore, General Manager/CEO Employee Organization: East Valley Water District Employee Partnership RECONVENE MEETING ANNOUNCEMENT OF CLOSED SESSION ACTIONS ITEMS ADJOURN BOARD OF DIRECTORSAPRIL 26, 2023East Valley Water District was formed in 1954 and provides water and wastewater services to104,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTPhillip R. GoodrichChairman of the Board Michael MooreGeneral Manager/CEOJames Morales, Jr.ViceChairman Brian W. TompkinsChief Financial OfficerChris CarrilloGoverning Board Member Jeff NoelteDirector of Engineering & OperationsRonald L. CoatsGoverning Board Member Kerrie BryanDirector of Administrative ServicesDavid E. SmithGoverning Board Member Patrick Milroy Operations ManagerJustine HendricksenDistrict ClerkRocky Welborn Water Reclamation ManagerBoard of Directors Regular Meeting & Public HearingApril 26, 2023 5:30 PM31111 Greenspot Road, Highland, CA 92346 www.eastvalley.orgPLEASE NOTE:Materials related to an item on this agenda submitted to the Board after distribution of theagenda packet are available for public inspection in the District’s office located at 31111Greenspot Rd., Highland, during normal business hours. Also, such documents are availableon the District’s website at eastvalley.org and are subject to staff’s ability to post thedocuments before the meeting.Pursuant to Government Code Section 54954.2(a), any request for a disabilityrelatedmodification or accommodation, including auxiliary aids or services, that is sought in orderto participate in the above agendized public meeting should be directed to the District Clerkat (909) 8854900 at least 72 hours prior to said meeting. In order to comply with legal requirements for posting of agenda, only those items filed with the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesday meeting not requiring departmental investigation, will be considered by the Board of Directors. CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL OF BOARD MEMBERS PUBLIC COMMENTS Any person wishing to speak to the Board of Directors is asked to complete a Speaker Card and submit it to the District Clerk prior to the start of the meeting. Each speaker is limited to three (3) minutes, unless waived by the Chairman of the Board. Under the State of California Brown Act, the Board of Directors is prohibited from discussing or taking action on any item not listed on the posted agenda. The matter will automatically be referred to staff for an appropriate response or action and may appear on the agenda at a future meeting. 1.AGENDA This agenda contains a brief general description of each item to be considered. Except as otherwise provided by law, no action shall be taken on any item not appearing on the following agenda unless the Board of Directors makes a determination that an emergency exists or that a need to take immediate action on the item came to the attention of the District subsequent to the posting of the agenda. a.Approval of Agenda PRESENTATIONS AND CEREMONIAL ITEMS Introduction of E. Joaquin Esquivel, Chair, State Water Resources Control Board Introduction of Newly Hired Employees Garret Panos, Parttime Water Quality Worker Ezequiel Mateo, Wastewater Treatment Plant Operator III PUBLIC COMMENTS 2.APPROVAL OF CONSENT CALENDAR All matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the April 12, 2023 Regular Board Meeting Minutes b.Approve Investment Report for Quarter Ended March 31, 2023 c.Financial Statements for February 2023 d.March 2023 Disbursements: Accounts payable disbursements for the period include check numbers 260873 through 261054, bank drafts, and ACH payments in the amount of $6,974,177.22 and $666,656.68 for payroll e.Easement Quitclaims for Abandoned Water Infrastructure on Private Property 3.INFORMATIONAL ITEMS a.Review Fraud Prevention and Detection Policy 7.5 b.Review FY 202324 Revenue Projections 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2023.07 – Moving from Stage 2 to Stage 1 of the Water Shortage Contingency Plan in Ordinance 403 Section 15, Public Hearing b.Consider Adoption of Resolution 2023.08 Nomination of James Morales Jr. as a candidate of the Association of California Water Agencies Region 9 Board 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments RECESS INTO CLOSED SESSION 6.CLOSED SESSION a.CONFERENCE WITH LABOR NEGOTIATORS [Government Code Section 54957.6(a)] District Designated Representative: Michael Moore, General Manager/CEO Employee Organization: East Valley Water District Employee Partnership RECONVENE MEETING ANNOUNCEMENT OF CLOSED SESSION ACTIONS ITEMS ADJOURN BOARD OF DIRECTORSAPRIL 26, 2023East Valley Water District was formed in 1954 and provides water and wastewater services to104,000 residents within the cities of San Bernardino and Highland, and portions of SanBernardino County.EVWD operates under the direction of a 5member elected Board.GOVERNING BOARD EXECUTIVE MANAGEMENTPhillip R. GoodrichChairman of the Board Michael MooreGeneral Manager/CEOJames Morales, Jr.ViceChairman Brian W. TompkinsChief Financial OfficerChris CarrilloGoverning Board Member Jeff NoelteDirector of Engineering & OperationsRonald L. CoatsGoverning Board Member Kerrie BryanDirector of Administrative ServicesDavid E. SmithGoverning Board Member Patrick Milroy Operations ManagerJustine HendricksenDistrict ClerkRocky Welborn Water Reclamation ManagerBoard of Directors Regular Meeting & Public HearingApril 26, 2023 5:30 PM31111 Greenspot Road, Highland, CA 92346 www.eastvalley.orgPLEASE NOTE:Materials related to an item on this agenda submitted to the Board after distribution of theagenda packet are available for public inspection in the District’s office located at 31111Greenspot Rd., Highland, during normal business hours. Also, such documents are availableon the District’s website at eastvalley.org and are subject to staff’s ability to post thedocuments before the meeting.Pursuant to Government Code Section 54954.2(a), any request for a disabilityrelatedmodification or accommodation, including auxiliary aids or services, that is sought in orderto participate in the above agendized public meeting should be directed to the District Clerkat (909) 8854900 at least 72 hours prior to said meeting.In order to comply with legal requirements for posting of agenda, only those items filedwith the District Clerk by 12:00 p.m. on Wednesday prior to the following Wednesdaymeeting not requiring departmental investigation, will be considered by the Board ofDirectors.CALL TO ORDERPLEDGE OF ALLEGIANCEROLL CALL OF BOARD MEMBERSPUBLIC COMMENTSAny person wishing to speak to the Board of Directors is asked to complete a SpeakerCard and submit it to the District Clerk prior to the start of the meeting. Each speaker islimited to three (3) minutes, unless waived by the Chairman of the Board. Under the Stateof California Brown Act, the Board of Directors is prohibited from discussing or takingaction on any item not listed on the posted agenda. The matter will automatically bereferred to staff for an appropriate response or action and may appear on the agenda at afuture meeting.1.AGENDAThis agenda contains a brief general description of each item to be considered.Except as otherwise provided by law, no action shall be taken on any item notappearing on the following agenda unless the Board of Directors makes adetermination that an emergency exists or that a need to take immediate action onthe item came to the attention of the District subsequent to the posting of theagenda.a.Approval of AgendaPRESENTATIONS AND CEREMONIAL ITEMSIntroduction of E. Joaquin Esquivel, Chair, State Water Resources Control BoardIntroduction of Newly Hired EmployeesGarret Panos, Parttime Water Quality WorkerEzequiel Mateo, Wastewater Treatment Plant Operator IIIPUBLIC COMMENTS2.APPROVAL OF CONSENT CALENDARAll matters listed under the Consent Calendar are considered by the Board of Directors to be routine and will be enacted in one motion. There will be no discussion of these items prior to the time the board considers the motion unless members of the board, the administrative staff, or the public request specific items to be discussed and/or removed from the Consent Calendar. a.Approve the April 12, 2023 Regular Board Meeting Minutes b.Approve Investment Report for Quarter Ended March 31, 2023 c.Financial Statements for February 2023 d.March 2023 Disbursements: Accounts payable disbursements for the period include check numbers 260873 through 261054, bank drafts, and ACH payments in the amount of $6,974,177.22 and $666,656.68 for payroll e.Easement Quitclaims for Abandoned Water Infrastructure on Private Property 3.INFORMATIONAL ITEMS a.Review Fraud Prevention and Detection Policy 7.5 b.Review FY 202324 Revenue Projections 4.DISCUSSION AND POSSIBLE ACTION ITEMS a.Consider Adoption of Resolution 2023.07 – Moving from Stage 2 to Stage 1 of the Water Shortage Contingency Plan in Ordinance 403 Section 15, Public Hearing b.Consider Adoption of Resolution 2023.08 Nomination of James Morales Jr. as a candidate of the Association of California Water Agencies Region 9 Board 5.REPORTS a.Board of Directors’ Reports b.General Manager/CEO Report c.Legal Counsel Report d.Board of Directors’ Comments RECESS INTO CLOSED SESSION 6.CLOSED SESSION a.CONFERENCE WITH LABOR NEGOTIATORS [Government Code Section 54957.6(a)] District Designated Representative: Michael Moore, General Manager/CEO Employee Organization: East Valley Water District Employee Partnership RECONVENE MEETING ANNOUNCEMENT OF CLOSED SESSION ACTIONS ITEMS ADJOURN ADJOURN Agenda Item #2a April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #2a Consent Item Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Approve the April 12, 2023 Regular Board Meeting Minutes RECOMMENDATION That the Board of Directors approve the April 12, 2023 regular Board meeting minutes. AGENCY GOALS AND OBJECTIVES II - Maintain a Commitment To Sustainability, Transparency, and Accountability B. Utilize Effective Communication Methods REVIEW BY OTHERS This agenda item has been reviewed by Administration. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Justine Hendricksen District Clerk ATTACHMENTS Draft April 12, 2023 Regular Board Meeting Minutes Regular Board Meeting Meeting Date: April 12, 2023 CALL TO ORDER The Chairman of the Board called the meeting to order at 5:32 p.m. PLEDGE OF ALLEGIANCE Director Carrillo led the flag salute. ROLL CALL OF BOARD MEMBERS PRESENT Directors: Carrillo, Coats, Goodrich, Morales, Smith ABSENT None STAFF Michael Moore, General Manager/CEO; Brian Tompkins, Chief Financial Officer; Jeff Noelte, Director of Engineering and Operations; Kelly Malloy, Director of Strategic Services; Kerrie Bryan, Director of Administrative Services, Patrick Milroy, Operations Manager; Rocky Welborn, Water Reclamation Manager; Justine Hendricksen, District Clerk; William Ringland, Public Affairs/Conservation Manager; Ryan Ritualo, IT Manager; Shayla Antrim, Administrative Specialist LEGAL COUNSEL Jean Cihigoyenetche GUESTS Members of the public PUBLIC COMMENTS Chairman Goodrich declared the public participation section of the meeting open at 5:33 p.m. Draft pending approval 9 4 4 Mr. Anthony Serrano made a request to postpone the discussion and vote for agenda item #4.a the Contract Amendments for the Sterling Natural Resource Center. He asked if the funds associated with the item had already been spent. The General Manager/CEO responded to Mr. Serrano that the change order request funding has not been spent and that it is for work yet to be completed. An email from Mr. Serrano addressed to the District Clerk was provided to each Board member. There being no further written or verbal comments, the public participation section was closed at 5:36 p.m. 1.APPROVAL OF AGENDA a.Approval of Agenda A motion was made by Director Coats, seconded by Director Smith, that the Board approve the April 12, 2023 agenda as submitted. The motion carried by the following: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Absent: None 2.APPROVAL OF CONSENT CALENDAR a.March 8, 2023 Regular Board Meeting Minutes b.February 22, 2023 Regular Board Meeting Minutes c.March 22, 2023 Regular Board Meeting Minutes d.Approval of Directors Fees and Expenses for February 2023 e.February 2023 Disbursements: Accounts payable disbursements for the period include check numbers 260726 through 260872, bank drafts, and ACH payments in the amount of $9,493,280.70 and $419,736.49 for payroll f.Adopt Resolution 2023.06 – Investment Policy A motion was made by Director Smith, seconded by Director Coats, that the Board approve the Consent Calendar items as submitted. The motion carried by the following: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Absent: None 3.INFORMATIONAL ITEMS a. FY 2023-24 Program Goals and Objectives Workshop The Chief Financial Officer discussed the development of the District’s proposed FY 2023-24 Goals and Objectives. He stated that the District is a performance-based organization, focused on achievement of goals derived from the Strategic Plan and Five- 9 4 4 Year Work Plan adopted by the Board of Directors. The Five-Year Work Plan is the framework of long-term goals related to District infrastructure improvements, operations, administration, and community engagement and serves as a bridging measure between the guiding principles and the performance measures. He noted some changes for this fiscal year: the General Manager/CEO goals and objectives will be omitted due to the Five-Year Work Plan being updated, and utility performance indicators will take the place of benchmarks. The Chief Financial Officer reviewed the four Strategic Plan Goals and Objectives. He highlighted organizational priorities and key considerations that could have an impact on operations and the way the District delivers services to ratepayers Program Managers reviewed their departments’ FY 2022-23 accomplishments and presented their proposed FY 2023-24 program Goals and Objectives to the Board. The Board recessed at 6:35 p.m. The Board reconvened at 6:41 p.m. Chairman Smith reviewed the Board’s accomplishments and presented their proposed FY 2023-24 Goals and Objectives. Program Managers and the Chief Financial Officer responded to questions from the Board. For information only. b. Total Dissolved Solids and Water Recycling The Director of Engineering and Operations provided a presentation: Totaled Dissolved Solids and Water Recycling. The presentation included but was not limited to an introduction to total dissolved solids (TDS), TDS levels of various bodies of water, regulatory requirements, impacts to groundwater, and treatment options. Chairman Goodrich and Vice Chairman Morales stated that this item was presented at the Engineering and Operations Committee meeting, and they recommended that it be brought to the Board for review. For information only. 9 4 4 4.DISCUSSION AND POSSIBLE ACTION ITEMS a. Consider Approval of Sterling Natural Resource Center Contract Amendments for Balfour Beatty, AKD Consulting, and Group Delta Consultants Contracts The Director of Engineering and Operations stated that additional work is needed to accommodate the change in the Sterling Natural Resource Center (SNRC) discharge location from the Redlands Basins to Weaver Basins, and to complete some elements of the SNRC Administration Center and Treatment Plant. The additional work requires contract amendments with the District’s design-build partner and consultants. He provided details of each contract amendment for Balfour Beatty, AKD Consulting, and Group Delta Consultants. A motion was made by Vice Chairman Morales, seconded by Director Carrillo, that the Board of Directors authorize the General Manager/CEO to execute contract amendments as follows: 1. Balfour Beatty Amendment Number 9 for Regional Recycled Water Pipeline Extension Additional Cost for a not to exceed amount of $7,516,583 (Valley District reimbursable); 2. Balfour Beatty Amendment Number 10 for Weaver Basins Frontage Improvements for a not to exceed amount of $429,950 (Valley District reimbursable); 3. Balfour Beatty Amendment Number 11 for added scope items for the SNRC Administration Center and Treatment Plant for a not to exceed amount of $2,500,000; 4. AKD Consulting Amendment Number 2 for additional program management services for the SNRC Project for a not to exceed amount of $128,200; and, 5. Group Delta Consultants Amendment Number 2 for additional material testing and inspection services for the Sterling Natural Resource Center for a not to exceed amount of $50,000. In addition, the Board of Directors authorized the release of half of the retention for the Sterling Natural Resource Center Administration Building work as contracted with Balfour Beatty as submitted. The motion carried by the following: Ayes: Carrillo, Coats, Goodrich, Morales, Smith Noes: None Absent: None 9 4 4 5.REPORTS a.Board of Directors’ Reports Director Carrillo reported on the following: March 28 he attended the Highland Chamber of Commerce monthly meeting where the General Manager/CEO provided a presentation; April 4 he attended the North Fork Water Company Annual Meeting of the Shareholders; April 5 he attended the City of San Bernardino City Council meeting; April 6 he attended the Plant 134 GAC Ribbon Cutting ceremony; and April 10 he met with the General Manager/CEO to review the agenda. Director Coats reported on the following: March 26, 27 he attended the Association of California Water Agencies (ACWA) Region 9 tour of the Salton Sea; March 28 he attended the City of San Bernardino Water Department Board meeting where they provided a presentation by San Bernardin Valley Municipal District regarding the Delta Conveyance Project; March 28 he attended the Highland Chamber of Commerce monthly meeting; April 4 he attended the North Fork Water Company Annual Meeting; April 5 he attended the San Bernardino Valley Municipal Water District "Dawn of a New Generation" rebranding event; April 6 he attended the Ribbon Cutting Ceremony at Plant 134; April 6 he attended the San Bernardino Valley Municipal Water District Workshop on Policy/Administration where they had a presentation on the status of the Sites Reservoir project by the Sites Authority Executive Director Jerry Brown; April 10 he met with the General Manager/CEO for agenda review and discussed District business; April 10 he attended the Association of San Bernardino County Special Districts Board meeting where they discussed association business and an upcoming general meeting; April 11 he attended the City of San Bernardino Water Department Board meeting where they approved several amendments to various rules and regulations regarding new services; and April 11 he attended the Finance and Human Resources Committee Meeting. Director Smith reported on the following: March 28 he attended the Highland Chamber of Commerce monthly meeting; April 4 he attended the North Fork Water Company Annual Shareholder Meeting; April 5 he attended the San Bernardino Valley Municipal Water District rebranding event; April 6 he attended the Plant 134 GAC Ribbon Cutting ceremony; April 11 he attended the Finance and Human Resources Committee meeting and April 12 he attended the San Bernardino Valley Water Conservation District Board meeting with nothing to report. Vice Chairman Morales reported on the following: April 4 he attended the North Fork Water Company Annual Shareholder Meeting; April 5 he attended the San Bernardino Valley Municipal Water District rebranding event; April 6 he attended the Plant 134 GAC Ribbon Cutting ceremony; April 7 he attended the ACWA Region 9 Board meeting where they recapped the Salton Sea Tour; and April 11 he attended San Bernardino Valley Municipal Water District’s Engineering Workshop. 9 4 4 Chairman Goodrich reported on the following: March 27 he attended the Engineering and Operations Committee meeting; March 28 he attended the Highland Chamber of Commerce monthly meeting; April 4 he attended the North Fork Water Company Annual Shareholder Meeting; April 6 he attended the Plant 134 GAC Ribbon Cutting ceremony; April 6 he met with the General Manager/CEO to review the agenda and to discuss District business; and April 11 he attended the Highland City Council meeting where they discussed the San Bernardino Airport Gateway Plan. For information only. b.General Manager/CEO Report The General Manager/CEO announced the following: •Due to the abundance of water recently received and the Governor’s Executive Order, a public hearing will be held April 26 to rescind Stage 2 of the Water Shortage Contingency Plan. •April 22 from 10:00 a.m. to 1:00 p.m. the District will be hosting a free Conservation Earth Day Festival at the Sterling Natural Resource Center. •He stated that Ms. Kelly Malloy’s last day with the District is Friday. He thanked her for her years of service with the District and wished her well. The General Manager/CEO introduced the Director of Engineering and Operations to present the Water Supply Dashboard. Mr. Noelte reviewed key highlights of the Dashboard. For information only. c.Legal Counsel Report Legal Counsel provided anecdotal information regarding the local court system being backlogged with cases. He stated that the courts are very far behind and some cases are taking several years to be heard. d.Board of Directors’ Comments Director Carrillo wished a farewell to Ms. Malloy. He stated that she has been a constant professional and has always put the community first. He stated that it was an honor to work with her side-by-side and thanked her for her service to the community. Director Smith remarked on the passing of Ms. Darlene Littleton. He stated that Mr. Littleton Sr. was a founding father of the District, and that his name can be seen on 9 4 4 bonds which are located in the display case near the Boardroom entrance. He thanked Ms. Malloy for her service to the District. Director Coats thanked Ms. Kelly Malloy for the excellent job she has done for the District and its customers over the last 10-plus years. He added that she has aided the District on its current trajectory and has been a big part of many of its accomplishments. He wished her the best of luck. Vice Chairman Morales stated that he is pleased to see recycled water reimbursement funds come through and is happy to see executive staff providing leadership presentations to the Board. He thanked Ms. Malloy for her service and dedication to the District. Chairman Goodrich stated that Valley District is a good partner and he congratulated Ms. Malloy on her transfer. He applauded her for a job well done, and thanked her for her support and guidance. For information only. ADJOURN Chairman Goodrich adjourned the meeting at 8:06 p.m. Phillip R. Goodrich, Board President Michael Moore, Board Secretary Agenda Item #2b April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #2b Consent Item 7 6 1 Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Approve Investment Report for Quarter Ended March 31, 2023 RECOMMENDATION That the Board of Directors accept and file the attached Investment Report for the quarter ended, March 31, 2023. BACKGROUND / ANALYSIS California Government Code §53646(b) requires the Treasurer or CFO of a local agency to submit a quarterly report on the agency’s investments to the legislative body of the agency within 30 days of the end of each quarter. The attached Investment Report shows all the District’s cash and investments, restricted and unrestricted, as of March 31, 2023. Attachment A presents the investment securities purchased and retired during the quarter January to March 2023. Increases and decreases in highly liquid funds, such as LAIF, are explained in the narrative below. Unrestricted Investments LAIF The balance held in the Local Agency Investment Fund at the beginning of the quarter was $7,136,537. Interest earned during the previous quarter of $37,267 was posted to the account in January and there was no other activity in LAIF for the remainder of the quarter. As a result, the balance in the account was $7,173,804 at the end of March. LAIF earnings for the quarter ended March 31, 2023, were $48,350.30, calculated at an apportionment rate of 2.74%; up from 2.07% which had been in effect for the previous quarter. The earnings were posted to the District’s account on April 14, 2023. Citizen’s Business Bank (CBB) Wealth Management The total (book) value of the assets held with CBB increased $25,844 to $5,993,486 during the quarter ended March 31, 2023. The balance in this account is held both in a money market account, $589,183, and in a $5,404,303 portfolio of Treasury and federal agency securities shown on Attachment A. Agenda Item #2b April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #2b Consent Item 7 6 1 Net interest payments received on securities in the District’s portfolio were $24,396 and funds held in money market accounts earned dividends of $5,777. Investment manager fees paid during the quarter were $2,074, and amortization on discounts taken at time of purchase of certain securities decreased the value of the portfolio by $2,256. There were no District transfers to or from this investment account during the quarter. The following schedule summarizes the activity for Unrestricted Investments during the Quarter ended March 31, 2023: A ccount Beg Bal Deposit s/ (Withdrawals)Earnings Fees Disc / Prem A mort ization Ending Balance LAIF 7,136,537$ -$ 37,267$ -$ -$ 7,173,804$ CBB Wealth Mgt 5,967,642 -30,174 (2,074)(2,256)5,993,486 Restricted Investments Accounts opened with US Bank are used to receive District deposits, from which the Trustee (US Bank) pays District bondholders. Semiannual bond payment dates are April 1st and October 1st. Deposits that had been made to the Payment Fund accounts on September 30, 2022, were used by the Trustee to make annual principal and interest payments to the bondholders on October 1st. Summary Schedule of Union Bank Trustee Accounts The following schedule summarizes activity in the US Bank accounts for the Quarter ended March 31, 2023: 2020A A ccount s Beg Bal Dist rict Deposit s Earnings Transfers Wit hdrawals/ Pay ment s Ending Balance Payment Fd -$ 320,175$ -$ (320,175)$ -$ -$ Interest Acct 607 -5 320,175 -320,787 Principal Acct ------ 2020B A ccount s Beg Bal Dist rict Deposit s Earnings Transfers Wit hdrawals/ Pay ment s Ending Balance Payment Fd -$ 161,636$ -$ (161,636)$ -$ -$ Interest Acct ---161,636 -161,636 Principal Acct ------ AGENCY GOALS AND OBJECTIVES Agenda Item #2b April 26, 20233 Meeting Date: April 26, 2023 Agenda Item #2b Consent Item 7 6 1 II - Maintain a Commitment To Sustainability, Transparency, and Accountability A. Practice Transparent and Accountable Fiscal Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS 1. Investment Report for the Quarter Ended March 31, 2023 2. Attachment A - CBB Investment Activity Report for Quarter Ended March 31, 2023 EAST VALLEY WATER DISTRICT Investment Activity Quarter Ended March 31, 2023 Activity (Book Value) Purch Date Units / Face Value Maturity Date Amort Cost Adjustment Adjusted Cost 1/1/2023 Matured / Called Adjusted Cost 3/31/2023 Market ValueIssuerCUSIPYield1/1/2023 Purchases Total Water Sewer 10/19/21 03/31/21 01/21/20 05/29/20 08/31/22 07/30/20 08/06/20 09/30/21 03/30/21 03/30/21 03/30/21 09/20/21 09/30/21 10/18/21 10/26/21 10/27/21 10/28/21 11/24/21 11/30/21 11/30/21 08/30/22 11/23/21 US Treasury Note US Treasury Note Tenn Valley Authority US Treasury Note US Treasury N/B 91282CAZ4 9128CBT7 0.375% 0.750% 2.875% 0.125% 3.125% 0.550% 0.625% 1.030% 1.000% 0.800% 0.750% 0.250% 1.020% 0.550% 1.250% 0.480% 0.850% 0.600% 1.000% 1.050% 3.700% 1.430% 500,000 11/30/25 03/31/26 09/15/24 05/15/23 08/31/24 07/30/24 08/19/25 09/30/26 03/30/26 05/30/25 06/30/25 12/28/23 09/30/26 10/29/25 10/26/26 09/01/23 10/28/24 11/24/23 02/28/25 11/25/24 02/28/24 11/23/26 490,502.19 495,703.13 309,165.27 299,203.13 299,740.76 249,937.50 100,000.00 200,000.00 300,000.00 300,000.00 200,000.00 114,902.25 400,000.00 197,411.64 299,997.00 100,010.82 100,000.00 200,000.00 200,000.00 99,985.00 490,502.19 495,703.13 306,915.11 299,203.13 299,740.76 249,937.50 100,000.00 200,000.00 300,000.00 300,000.00 200,000.00 114,902.25 400,000.00 197,411.64 299,997.00 100,005.46 100,000.00 200,000.00 200,000.00 99,985.00 490,502.19 495,703.13 306,915.11 299,203.13 299,740.76 249,937.50 100,000.00 200,000.00 300,000.00 300,000.00 200,000.00 114,902.25 400,000.00 197,411.64 299,997.00 100,005.46 100,000.00 200,000.00 200,000.00 99,985.00 490,502.19 495,703.13 306,915.11 299,203.13 299,740.76 249,937.50 100,000.00 455,740.00 457,070.00 291,852.00 298,398.00 295,335.00 236,722.50 92,142.00 180,272.00 273,768.00 278,034.00 184,592.00 111,183.15 360,416.00 181,862.00 272,004.00 98,144.00 500,000 300,000 300,000 300,000 250,000 100,000 200,000 300,000 300,000 200,000 115,000 400,000 200,000 300,000 100,000 100,000 200,000 200,000 100,000 250,000 200,000 880591ER9 912828ZP8 91282CFG1 3130AJUN7 3134GWMY9 3030APAZ8 3130ALUF9 3130ALPB4 3130ALU93 3130AKL79 3130AP6M2 3130AKC95 3130APJ55 3130AJK24 3130APLB9 3130APWP6 3130APUY9 3130AQ2H5 3130AT2N6 3133ENEM8 (2,250.16) Federal Home Loan Bank Freddie Mac Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Home Loan Bank Federal Farm Credit Bank 200,000.00 300,000.00 300,000.00 200,000.00 114,902.25 400,000.00 197,411.64 299,997.00 100,005.46 100,000.00 200,000.00 200,000.00 99,985.00 (5.36) 94,548.00 194,782.00 187,724.00 94,430.00 247,260.00 181,708.00 250,000.00 200,000.00 250,000.00 200,000.00 250,000.00 200,000.00 250,000.00 200,000.00 5,415,000.00 5,406,558.69 (2,255.52)5,404,303.17 --5,404,303.17 3,556,904.07 1,847,399.10 5,067,986.65 Attachment A Agenda Item #2c April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #2c Consent Item 7 6 2 Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Financial Statements for February 2023 RECOMMENDATION That the Board of Directors accept and file the attached financial statements as of, and for the period ended, March 31, 2023. BACKGROUND / ANALYSIS The East Valley Water District adopted an annual budget on June 22, 2022 for fiscal year 2022-2023. In accordance with District Administrative policy 7.7, the Chief Financial Officer provides regular budget updates to the Board of Directors (Board). Included herewith for the Board’s review is a summary of the District’s financial results, as of March 31, 2023. AGENCY GOALS AND OBJECTIVES II - Maintain a Commitment To Sustainability, Transparency, and Accountability A. Practice Transparent and Accountable Fiscal Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer Agenda Item #2c April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #2c Consent Item 7 6 2 ATTACHMENTS 1. March 2023 Financial Statement Monthly Review 2. March 2023 Financial Statements FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING MARCH 31, 2023 page | 1 The following is a highlight summary of the District’s financial results as of March 31, 2023. Please note all values presented are in millions (unless otherwise noted). Statement of Net Position Total assets at March 31, 2023 are $396.36 million. CLASSIFICATION WATER WASTEWATER RECLAMATION DISTRICT TOTAL Cash and Investments $ 13.59 $ 7.88 $ - $ 21.47 Utility Plant, Net 99.39 17.63 - 117.02 Other Assets 51.68 32.32 173.87 257.87 Current Liabilities 8.15 7.83 34.67 50.65 Long Term Liabilities 40.80 6.53 139.67 187.00 Beginning Net Position 103.46 40.93 - 144.39 Change in Equity 6.84 1.54 (0.47) 7.91 TOTAL NET $ 110.30 $ 42.47 $ (0.47) $ 152.30 Cash and Investments Cash and Investments are $21.47 million for the month of March, an increase of $3.46 million from the prior month. In March, the District received $7.02 million reimbursement for construction of the recycled water pipeline through December 2022 and paid $2.42 million for construction costs incurred in January 2023. The District’s Due from Other Governments includes a receivable for work performed on the Recycled Water Pipeline from January through March bringing the ending balance as of March 31, 2023 to $7.77 million. $0 $5 $10 $15 $20 $25 $30 $35 Mi l l i o n s CASH & INVESTMENTS Restricted Unrestricted FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING MARCH 31, 2023 page | 2 Statement of Revenues & Expenses Total Revenues & Expenses through March 31, 2023 are summarized below (in millions): Column1 WATER WASTEWATER RECLAMATION DISTRICT TOTAL Revenue $ 22.40 $ 5.03 $ 7.56 $ 34.99 Expense 15.56 3.49 8.03 27.08 Water Sales by Tier Water Sales for the month ending March 31, 2023 were $1.09M; $82K over staff projections for the month and $113K under projections year-to-date. $- $0.5 $1.0 $1.5 $2.0 $2.5 Mi l l i o n s WATER SALES BY TIER Tier 1 Tier 2 Tier 3 FY 2022-23 Projection For a more detailed presentation, operating results are presented in three ways on pages 2 through 6 of the attached financial statements for the period ending March 31, 2023. First is a one-page summary with monthly and year-to-date totals for revenue and expenses, presented by Expense Category. Second is a one-page summary with monthly and year-to-date totals for Revenues and Expense by Program. Third is a Budget -to- Actual presentation of program expense detail. FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING MARCH 31, 2023 page | 3 Water Sales by Customer Class The table below shows the District’s water sales for the month of March 2023 by customer class. The following icons are to compliment the graph below: positive change, no change, negative change when comparing actuals versus projections. CUSTOMER CLASS ACTUAL PROJECTION $ VARIANCE % VARIANCE Residential 601,718$ 618,000$ (16,282)$ -3% Multi-Family 286,013 260,000 26,013 10% Commercial 125,372 92,000 33,372 36% Irrigation 78,030 39,000 39,030 100% TOTAL $1,091,133 $ 1,009,000 $ 82,133 8% The following table displays customer class by tier for the month of March 2023: CUSTOMER CLASS TIER ACTUAL PROJECTION $ VARIANCE % VARIANCE Residential Tier 1 363,139$ 312,000$ 51,139$ 16% Residential Tier 2 115,602 128,000 (12,398) -10% Residential Tier 3 122,977 178,000 (55,023) -31% Multi-Family Tier 1 169,671 148,000 21,671 15% Multi-Family Tier 2 31,927 47,000 (15,073) -32% Multi-Family Tier 3 84,415 65,000 19,415 30% Commercial Tier 1 72,920 61,000 11,920 20% Commercial Tier 2 7,878 4,000 3,878 97% Commercial Tier 3 44,574 27,000 17,574 65% Irrigation Tier 2 31,678 15,000 16,678 111% Irrigation Tier 3 46,352 24,000 22,352 93% TOTAL $ 1,091,133 $ 1,009,000 $ 82,133 8% Legend - Positive Change in Actuals - Neutral Change in Actuals - Negative Change in Actuals FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING MARCH 31, 2023 page | 4 The chart below is a comparative illustration of Water Revenue year -to-date compared to last year’s Water Revenue year-to-date as of March. As noted in the graph, Water Revenue experienced a minor decrease over last year. Water consumption decreased 301.53 million gallons (403K HCF) compared to March of 2022. $- $5.0 $10.0 $15.0 $20.0 $25.0 3/31/2022 3/31/2023 Mi l l i o n s COMPARATIVE MONTHLY WATER REVENUE (WATER SALES & METER CHARGES) Meter Tier 1 Tier 2 Tier 3 Total -$21,460,622 Total -$20,859,536 FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING MARCH 31, 2023 page | 5 Water Fund Activities by Cost Center The graph below provides a year-to-date comparison of the Water Fund operating cost centers for FY 2021-22 and FY 2022-23. FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING MARCH 31, 2023 page | 6 Wastewater Fund Activities by Cost Center The graph below provides a year-to-date comparison of the Wastewater Fund operating cost centers for FY 2021-22 and FY 2022-23. FINANCIAL STATEMENTS MONTHLY REVIEW MONTH ENDING MARCH 31, 2023 page | 7 Water Reclamation Fund Activities by Cost Center The graph below provides a year-to-date comparison of the Water Reclamation Fund operating cost centers for FY 2021-22 and FY 2022-23. In FY 2021-22 the Treatment costs were incurred entirely by the San Bernardino Municipal Water Department and billed to the District. Combining Schedule of Net Position As of March 31, 2023 Unaudited WATER WASTEWATER RECLAMATION DISTRICT TOTAL Assets: Current Assets: Cash and Cash Equivalents Investments Accounts Receivable, Net Interest Receivable Other Receivables Due from Sewer Fund Due from Reclamation Fund Due from Other Governments Inventory $4,258,326.16 $449,564.99 $- - - - - - $4,707,891.15 5,123,922.40 5,029,510.34 3,377.19 2,028,084.30 5,500,000.00 25,773,486.61 7,771,320.55 954,739.33 3,365,974.12 4,208,981.67 - 2,028,084.30 5,500,000.00 12,441,890.08 42,000.01 948,018.17 370,757.49 33,164,032.00 1,757,948.28 820,528.67 3,377.19 - - 13,331,596.53 - 6,721.16 43,412.87 16,413,149.69 - 7,729,320.54 - 1,720.50 7,731,041.04 Prepaid Expenses 415,890.86 57,308,222.73Total Current Assets: Non-Current Assets: Restricted Cash and Cash Equivalents Capital Assets not being Depreciated Capital Assets, Net 5,960,977.91 23,405,631.04 99,386,924.22 128,753,533.17 161,917,565.17 5,674,263.07 17,132,228.44 17,627,616.95 40,434,108.46 56,847,258.15 - 166,140,165.80 - 166,140,165.80 173,871,206.84 11,635,240.98 206,678,025.28 117,014,541.17 335,327,807.43 392,636,030.16 Total Non-Current Assets: Total Assets: Deferred Outflow Of Resources Deferred Charge on Refunding Deferred Outflows - Pensions 610,558.73 2,127,130.34 164,655,254.24 286,292.69 691,919.73 57,825,470.57 - - 896,851.42 2,819,050.07 396,351,931.65Total Assets and Deferred Outflows of Resources:173,871,206.84 Current Liabilities: Accounts Payable and Accrued Expenses Due to Water Fund Due to Sewer Fund Accrued Payroll and Benefits Customer Service Deposits Construction Advances and Retentions Accrued Interest Payable 4,626,675.73 - 27,441.76 5,500,000.00 -4,654,117.49 17,941,890.08 13,331,596.53 - 1,418,297.48 11,625,016.26 259,164.54 604,122.00 825,513.34 50,659,717.72 12,441,890.08 13,331,596.53- - - - - - -1,418,297.48 550,803.20 234,217.54 495,871.40 825,513.34 8,151,378.69 2,173,548.25 24,947.00 108,250.60 - 8,900,664.81 - - - Current Portion of Compensated Absences Current Portion of Long-Term Debt Total Current Liabilities:7,834,187.61 34,674,151.42 Non-Current Liabilities: Compensated Absences, less current portion Net Pension Liability 272,125.16 5,094,004.28 35,435,393.60 1,173.64 24,131.67 1,563,684.95 4,938,562.10 - -296,256.83 6,657,689.23 180,043,014.70 1,173.64 - 139,669,059.00 - Long Term Debt, Less Current Portion Other Liabilities Total Non-Current Liabilities: Total Liabilities: 40,802,696.68 48,954,075.37 6,526,378.72 14,360,566.33 139,669,059.00 174,343,210.42 186,998,134.40 237,657,852.12 Deferred Inflows Of Resources Deferred Inflows - Pensions 5,403,596.94 1,000,008.59 -6,403,605.53 Total Liabilities and Deferred Inflows of Resources:54,357,672.31 15,360,574.92 174,343,210.42 244,061,457.65 Equity: Equity 103,459,621.60 40,925,997.03 -144,385,618.63 Total Beginning Equity:103,459,621.60 40,925,997.03 -144,385,618.63 Total Revenue Total Expense 22,399,576.31 15,561,615.98 6,837,960.33 5,025,847.86 3,486,949.24 1,538,898.62 7,562,306.82 8,034,310.40 (472,003.58) 34,987,730.99 27,082,875.62 7,904,855.37Revenues Over/Under Expenses Total Equity and Current Surplus (Deficit): Total Liabilities, Equity and Current Surplus (Deficit): 110,297,581.93 164,655,254.24 42,464,895.65 57,825,470.57 (472,003.58)152,290,474.00 396,351,931.65$$$173,871,206.84 $ Page 1 of 6 Revenue and Expense Budget-to-Actual by Category Month Ended March 31, 2023 Unaudited WATER YTD WASTEWATER RECLAMATION YTD DISTRICT WIDE AMENDED AMENDED BUDGET AMENDED BUDGET AMENDED REMAINING BUDGETMTDBUDGETMTDYTDMTDTOTAL BUDGET Revenue Water Sales $1,091,134.54 833,012.37 46,385.45 $13,535,359.10 7,324,645.29 438,118.73 $17,700,000.00 9,685,000.00 468,000.00 $- - $- - $- - $- - - - $- - - - $692,000.00 $18,392,000.00 9,685,000.00 563,000.00 5,621,000.00 9,851,000.00 1,882,000.00 56,000.00 - $4,856,640.90 Meter Charges Penalties - - - 2,360,354.71 78,579.02 1,433,838.51 2,288,693.18 119,116.56 (74,953.87) - 4,148.34 484,208.58 46,302.25 4,187,161.49 95,000.00 5,621,000.00Wastewater System Charges Wastewater Treatment Charges Other Operating Revenue Non Operating Revenue Gain or Loss on Disposition Benefits - - - - - ---- - 849,030.90 7,562,306.82 9,851,000.00 1,820,000.00 11,000.00 122,460.89 10,603.39 987,480.74 113,972.45 62,000.00 40,000.00 65,718.02 775,402.70 16,981.42 - - - - - - - - - - - - - 5,000.00 - - - - - - - - - - - - - - - - - - - - - -Depreciation - Revenue Total:2,103,596.64 22,399,576.31 27,955,000.00 554,074.94 5,025,847.86 5,721,000.00 849,030.90 7,562,306.82 12,374,000.00 46,050,000.00 11,062,269.01 Expense by Category Labor 598,758.78 2,043.53 162,375.91 259,846.53 2,284.14 41,120.68 153,397.21 205,958.62 2,043.53 11,067.14 3,799.82 1,455.50 7,927.90 459,178.21 6,520.00 (459,178.21) - 3,792,806.93 16,918.36 5,573,300.00 21,000.00 169,781.96 1,532.65 46,065.71 98,777.19 111.00 3,854.42 4,826.57 5,545.44 1,532.65 4,706.50 168.00 1,064,732.91 12,688.81 510,615.18 1,058,372.34 58,719.82 34,232.94 84,302.64 136,874.57 12,688.81 356,078.06 1,403.92 1,573,900.00 9,000.00 801,500.00 1,530,400.00 114,000.00 25,500.00 124,300.00 179,300.00 9,000.00 288,100.00 2,000.00 - 66,613.30 1,532.65 19,133.14 732,693.19 467,875.46 12,688.79 283,337.18 6,921,840.86 582.60 10,401.53 55,231.86 260,849.04 1,040,800.00 8,188,000.00 30,000.00 2,862,584.70 (12,295.96) 1,413,875.67 2,156,182.87 215,896.67 21,850.05 787,629.48 596,668.76 (12,295.96) (316,642.02) 5,511.08 (125,251.50) 1,379,390.32 982,930.58 Temporary Labor Benefits Contract Services Professional Development Overtime Materials and Supplies Utilities Temporary Labor Other Standby Water Supply Debt Service Capital Improvement Capital Outlay Accounting Income Add back Transfer to Reserves Transfer from Reserves - 2,061,171.97 2,609,603.93 169,800.91 361,515.48 1,440,836.02 2,884,607.63 16,918.36 2,869,400.00 4,825,200.00 313,000.00 393,200.00 1,572,000.00 3,322,800.00 21,000.00 598,100.00 6,390,400.00 18,000.00 9,300.00 671,700.00 376,900.00 4,269,000.00 12,746,000.00 445,000.00 428,000.00 2,368,000.00 3,879,000.00 30,000.00 - 1,667.52 4,549.11 22,253.64 1,532.65 12,688.79 8,814.29 - 1,208,749.67 28,085.00 700,100.00 33,000.00 3.00 - - - - - - - - 268,800.00 1,257,000.00 35,000.00- - - - - - - - - - - - 411,251.50 1,749,715.68 4,283,389.51 235,396.01 (5,709,150.98) - 286,000.00 3,080,000.00 5,425,000.00 720,000.00 - - - -286,000.00 3,354,000.00 5,740,000.00 1,195,000.00 - 3,000,000.00 (1,200,000.00) 46,050,000.00 224,894.00 473,679.91 106,345.24 (648,679.91) - 274,000.00 315,000.00 475,000.00 - 122,005.11 45,368.82 (122,005.11) - -853,258.75 - 3,000,000.00 - 6,357,830.89 3,000,000.00 (1,200,000.00) 18,967,124.38 -- ---(1,200,000.00) 27,955,000.00 -- Expense Total:1,458,599.29 15,561,615.98 382,270.91 3,486,949.24 5,721,000.00 849,978.20 8,034,310.40 12,374,000.00 Total Surplus (Deficit):$644,997.35 $6,837,960.33 $-$171,804.03 $1,538,898.62 $-$(947.30)$(472,003.58)$-$-$(7,904,855.37) Page 2 of 6 Revenue and Expense Budget-to-Actual by Program Month Ended March 31, 2023 Unaudited WATER YTD WASTEWATER RECLAMATION YTD DISTRICT WIDE AMENDED AMENDED BUDGET AMENDED BUDGET AMENDED REMAINING BUDGETMTDBUDGETMTDYTDMTDTOTAL BUDGET Revenue Water Sales $1,091,134.54 833,012.37 46,385.45 - $13,535,359.10 7,324,645.29 438,118.73 - $17,700,000.00 9,685,000.00 468,000.00 - $- - $- - $- - $- - - - $- - - - $692,000.00 $18,392,000.00 9,685,000.00 563,000.00 5,621,000.00 9,851,000.00 1,882,000.00 56,000.00 $4,856,640.90 2,360,354.71 78,579.02 1,433,838.51 2,288,693.18 119,116.56 Meter Charges Penalties Wastewater System Charges Wastewater Treatment Charges Other Operating Revenue Non Operating Revenue - - - 4,148.34 484,208.58 - 65,718.02 - 46,302.25 4,187,161.49 - 775,402.70 16,981.42 5,025,847.86 95,000.00 5,621,000.00 ---- - 849,030.90 7,562,306.82 9,851,000.00 1,820,000.00 11,000.00 12,374,000.00 122,460.89 10,603.39 2,103,596.64 987,480.74 113,972.45 22,399,576.31 62,000.00 40,000.00 27,955,000.00 - - - -5,000.00 5,721,000.00 (74,953.87) 11,062,269.01Revenue Total:554,074.94 849,030.90 7,562,306.82 46,050,000.00 1000 - Board of Directors 2000 - General Administration 2100 - Human Resources 2200 - Public Affairs 2300 - Conservation 3000 - Finance 3200 - Information Technology 3300 - Customer Service 3400 - Meter Service 11,328.92 66,350.17 46,618.77 86,127.52 59,806.23 61,449.68 77,290.07 42,672.22 24,231.37 64,221.17 338,674.59 92,091.74 35,461.97 31,387.42 295,931.61 - 176,925.35 648,084.60 1,573,858.44 729,347.53 345,606.74 527,275.92 588,342.59 547,461.17 180,656.81 410,957.92 3,997,251.22 828,028.83 320,474.03 276,142.43 2,569,264.76 - 331,800.00 961,800.00 1,178,600.00 1,216,600.00 917,000.00 834,400.00 949,200.00 702,000.00 278,000.00 1,126,300.00 4,927,000.00 960,000.00 557,000.00 388,800.00 3,082,000.00 - 4,711.53 27,533.24 19,979.39 36,911.60 - 25,974.06 33,124.22 32,985.91 - 74,221.16 269,096.68 512,975.97 396,139.24 - 225,492.00 255,543.98 405,420.10 747.25 142,200.00 412,200.00 492,400.00 521,400.00 - - - - - - - - - - - 474,000.00 1,374,000.00 1,938,000.00 1,738,000.00 917,000.00 1,192,000.00 1,356,000.00 1,755,000.00 278,000.00 1,609,000.00 4,927,000.00 960,000.00 557,000.00 432,000.00 222,853.49 456,818.72 (157,645.70) 612,513.23 571,393.26 439,232.08 512,113.43 398,765.11 96,595.94 1,013,329.98 929,748.78 8,811.29 267,000.00 - - - - - - - - - 357,600.00 406,800.00 526,500.00 34,382.10 403,353.62 526,500.00 -- - - - - - - - - - - - - - - - - - - - - 4000 - Engineering 23,399.11 - 184,712.10 - 482,700.00 5000 - Water Production 5100 - Water Treatment 5200 - Water Quality 6000 - Field Maintenance Administration 6100 - Water Maintenance 6200 - Wastewater Maintenance 6300 - Water Reclamation 7000 - Facilities Maintenance 7100 - Fleet Maintenance 8000 - Capital - -- - - - 131,971.17 236,525.97 123,027.10 512,735.24 - 43,200.00 - 880,000.00 - 321,900.00 70,100.00 1,064,000.00 5,721,000.00 - 3,382.93 - 89,141.32 - 18,718.10 21,040.68 45,368.82 382,270.91 171,804.03 32,830.47 - 638,063.07 - 259,604.69 75,863.29 156,239.24 3,486,949.24 1,538,898.62 3,082,000.00 880,000.00 8,180,000.00 1,611,000.00 701,000.00 - 753,984.05 61,612.05 - - 7,043,850.30 578,295.19 - - 8,180,000.00 400,500.00 - 3,000,000.00 12,374,000.00 - 241,936.93 ---1,136,149.70 (13,662.33) 129,311.74 11,373,410.54 18,967,124.38 (7,904,855.37) 72,065.48 38,442.46 14,447.90 1,458,599.29 644,997.35 786,762.45 495,824.97 559,350.22 15,561,615.98 6,837,960.33 888,600.00 630,900.00 8,025,000.00 27,955,000.00 - --12,089,000.00 46,050,000.00Expense Total: Total Surplus (Deficit): 849,978.20 (947.30) 8,034,310.40 (472,003.58)$$$$$$$$$$-$ . Page 3 of 6 Program Expense Detail Budget-to-Actual Month Ended March 31, 2023 Unaudited WATER YTD WASTEWATER RECLAMATION YTD DISTRICT WIDE AMENDED BUDGET AMENDED BUDGET AMENDED BUDGET AMENDED REMAINING BUDGETMTDMTDYTDMTDTOTAL BUDGET Revenue Water Sales $1,091,134.54 833,012.37 46,385.45 $13,535,359.10 7,324,645.29 438,118.73 $17,700,000.00 9,685,000.00 468,000.00 $- - $- - $- - $- - - - $- - - - $692,000.00 $18,392,000.00 9,685,000.00 563,000.00 5,621,000.00 9,851,000.00 1,882,000.00 56,000.00 - $4,856,640.90 2,360,354.71 78,579.02 1,433,838.51 2,288,693.18 119,116.56 (74,953.87) - Meter Charges Penalties - - - 4,148.34 484,208.58 46,302.25 4,187,161.49 95,000.00 5,621,000.00Wastewater System Charges Wastewater Treatment Charges Other Operating Revenue Non Operating Revenue Gain or Loss on Disposition Benefits - - - - - ---- - 849,030.90 7,562,306.82 9,851,000.00 1,820,000.00 11,000.00 122,460.89 10,603.39 987,480.74 113,972.45 62,000.00 40,000.00 65,718.02 775,402.70 16,981.42 - - - - - - - - - - - - - 5,000.00 - - - - - - - - - - - - - - - - - - - - - -Depreciation - Revenue Total:2,103,596.64 22,399,576.31 27,955,000.00 554,074.94 5,025,847.86 5,721,000.00 849,030.90 7,562,306.82 12,374,000.00 46,050,000.00 11,062,269.01 Program: 1000 - Board of Directors Labor $6,772.50 4,145.51 $57,330.00 37,463.29 - 70,000.00 12,132.06 176,925.35 $94,500.00 61,600.00 1,400.00 156,800.00 17,500.00 331,800.00 $2,902.50 1,776.63 $24,570.00 16,055.55 - 30,000.00 3,595.61 74,221.16 $40,500.00 26,400.00 600.00 67,200.00 7,500.00 $- - - - - $- - - - - $- - - - - $135,000.00 88,000.00 2,000.00 224,000.00 25,000.00 474,000.00 $53,100.00 34,481.16 2,000.00 124,000.00 9,272.33 Benefits Materials and Supplies Contract Services - - - - Professional Development Program: 1000 - Board of Directors Total: 410.91 11,328.92 32.40 4,711.53 142,200.00 ---222,853.49 Program: 2000 - General Administration Labor Temporary Labor Overtime Benefits Materials and Supplies Contract Services Utilities 43,630.67 - 477.44 12,718.31 67.29 257,992.15 - 367,500.00 21,000.00 2,800.00 237,300.00 4,900.00 18,698.82 - 204.61 4,548.21 28.84 110,454.05 - 429.97 64,546.29 431.01 62,090.72 389.26 157,500.00 9,000.00 1,200.00 101,700.00 2,100.00 94,800.00 1,800.00 - - - - - - - - - - - - - - - 525,000.00 30,000.00 4,000.00 339,000.00 7,000.00 316,000.00 6,000.00 156,553.80 30,000.00 2,566.69 103,919.50 5,563.23 1,003.34 170,534.21 1,005.76 144,878.30 908.31 9,428.45 28.01 221,200.00 4,200.00 4,040.76 12.00 - - - - - - 109,030.98 4,702.43 Professional Development Program: 2000 - General Administration Total: -71,762.53 648,084.60 102,900.00 961,800.00 -30,755.38 269,096.68 44,100.00 412,200.00 - - - - - - 147,000.00 1,374,000.00 44,482.09 456,818.7266,350.17 27,533.24 Program: 2100 - Human Resources Labor Temporary Labor 23,418.08 - 143,146.98 - 214,900.00 - 10,036.33 - 61,071.09 - 92,100.00 - - - - - - - 307,000.00 - 102,781.93 - Overtime Benefits Materials and Supplies Contract Services Utilities 156.87 6,045.29 76.37 5,911.44 40.55 1,204.81 119,805.60 1,220.06 74,146.21 362.60 31,882.14 1,202,090.04 1,573,858.44 2,100.00 123,900.00 4,900.00 87,500.00 700.00 46,900.00 697,700.00 1,178,600.00 67.23 2,590.73 32.73 2,533.48 17.38 502.46 50,987.54 522.87 30,088.41 155.40 13,620.82 356,027.38 512,975.97 900.00 - - - - - - - - - - - - - - - - - - - - 3,000.00 177,000.00 7,000.00 125,000.00 1,000.00 67,000.00 1,251,000.00 1,938,000.00 1,292.73 6,206.86 5,257.07 20,765.38 482.00 21,497.04 (315,928.71) (157,645.70) 53,100.00 2,100.00 37,500.00 300.00 20,100.00 286,300.00 492,400.00 Professional Development Other -- 10,970.17 46,618.77 4,701.51 19,979.39 8,811.29 8,811.29 267,000.00 267,000.00Program: 2100 - Human Resources Total: Program: 2200 - Public Affairs Labor 53,217.39 - 625.85 11,489.73 1,266.39 19,186.16 188.00 323,805.62 - 5,379.24 133,675.58 72,804.48 171,463.57 11,325.34 10,893.70 729,347.53 412,300.00 - 22,807.43 - 138,773.77 - 176,700.00 - 5,100.00 72,900.00 39,000.00 204,600.00 11,400.00 11,700.00 521,400.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - 589,000.00 - 126,420.61 - 9,315.37 52,035.68 29,481.02 356,909.05 14,913.94 23,437.56 612,513.23 Temporary Labor Overtime Benefits Materials and Supplies Contract Services Utilities 11,900.00 170,100.00 91,000.00 477,400.00 26,600.00 27,300.00 1,216,600.00 268.22 4,924.02 542.74 8,222.62 80.57 2,305.39 57,288.74 27,714.50 153,627.38 11,760.72 4,668.74 396,139.24 17,000.00 243,000.00 130,000.00 682,000.00 38,000.00 39,000.00 1,738,000.00 Professional Development Program: 2200 - Public Affairs Total: 154.00 86,127.52 66.00 36,911.60 Program: 2300 - Conservation Labor 11,882.40 - 259.93 3,247.85 15,051.14 26,040.44 3,324.47 - 76,823.10 - 107,000.00 - 7,000.00 40,000.00 278,000.00 442,000.00 26,000.00 17,000.00 917,000.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 107,000.00 - 7,000.00 40,000.00 278,000.00 442,000.00 26,000.00 17,000.00 917,000.00 30,176.90 - 4,177.93 15,504.26 216,583.05 285,172.91 10,108.60 9,669.61 Temporary Labor Overtime Benefits Materials and Supplies Contract Services Utilities 2,822.07 24,495.74 61,416.95 156,827.09 15,891.40 7,330.39 345,606.74 Professional Development Program: 2300 - Conservation Total:59,806.23 571,393.26 Program: 3000 - Finance Labor 47,656.58 - 243.04 11,863.63 93.66 1,470.00 93.37 29.40 306,919.05 - 490,000.00 - 20,146.65 131,439.03 - 210,000.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - 700,000.00 - 261,641.92 -Temporary Labor Overtime Benefits Materials and Supplies Contract Services Utilities Professional Development Other - 104.17 5,040.63 - 630.00 40.01 3,211.96 158,584.33 2,499.90 49,011.23 1,441.84 5,607.61 - 9,100.00 222,600.00 8,400.00 80,500.00 2,800.00 21,000.00 - 1,376.53 67,956.94 1,031.27 20,667.08 617.92 3,900.00 95,400.00 3,600.00 34,500.00 1,200.00 9,000.00 - 13,000.00 318,000.00 12,000.00 115,000.00 4,000.00 30,000.00 - 8,411.51 91,458.73 8,468.83 45,321.69 1,940.24 21,989.16 - 12.60 - 2,403.23 -- Program: 3000 - Finance Total:61,449.68 527,275.92 834,400.00 25,974.06 225,492.00 357,600.00 ---1,192,000.00 439,232.08 Page 4 of 6 Program Expense Detail Budget-to-Actual Month Ended March 31, 2023 Unaudited WATER YTD WASTEWATER RECLAMATION YTD DISTRICT WIDE AMENDED BUDGET AMENDED BUDGET AMENDED BUDGET AMENDED REMAINING BUDGETMTD 30,635.65 MTD YTD 84,236.23 MTD TOTAL BUDGET -Program: 3200 - Information Technology ---- - - - - - - - - - - - - - - - - - Labor Temporary Labor Overtime Benefits Materials and Supplies Contract Services Utilities 189,607.45 - 301.39 123,683.64 41,556.78 218,754.91 13,988.03 450.39 266,000.00 - 13,129.55 114,000.00 - - - - - - - - - - 380,000.00 - 106,156.32 - (430.56) - - - - - 129.17--- 7,986.42 899.84 36,824.74 943.42 - 148,400.00 32,200.00 483,700.00 8,400.00 10,500.00 949,200.00 3,422.70 385.65 15,782.00 404.32 - 53,617.22 17,810.09 93,563.40 5,994.86 193.01 63,600.00 13,800.00 207,300.00 3,600.00 4,500.00 406,800.00 212,000.00 46,000.00 691,000.00 12,000.00 15,000.00 1,356,000.00 34,699.14 (13,366.87) 378,681.69 (7,982.89) 14,356.60 512,113.43 Professional Development Program: 3200 - Information Technology Total:77,290.07 588,342.59 33,124.22 255,543.98 -- Program: 3300 - Customer Service Labor Temporary Labor Overtime Benefits Materials and Supplies Contract Services Utilities Professional Development Other 20,050.67 2,043.53 540.92 6,925.07 271.82 143,138.66 16,918.36 4,812.41 77,044.38 1,788.54 245,120.19 51,202.20 776.80 213,200.00 - 16,087.16 1,532.65 405.70 5,194.10 203.87 108,036.39 12,688.81 3,586.89 57,678.98 1,341.40 183,052.72 38,401.63 582.60 159,900.00 - 17,485.98 1,532.65 405.68 5,193.53 203.88 107,057.37 12,688.79 3,377.96 57,076.05 1,341.43 182,824.77 38,401.65 582.60 159,900.00 - 533,000.00 - 7,000.00 307,000.00 7,000.00 715,000.00 161,000.00 19,000.00 6,000.00 174,767.58 (42,295.96) (4,777.26) 115,200.59 2,528.63 104,002.32 32,994.52 17,058.00 (713.31) 2,800.00 122,800.00 2,800.00 286,000.00 64,400.00 7,600.00 2,400.00 702,000.00 2,100.00 92,100.00 2,100.00 214,500.00 48,300.00 5,700.00 1,800.00 526,500.00 2,100.00 92,100.00 2,100.00 214,500.00 48,300.00 5,700.00 1,800.00 526,500.00 12,497.13 246.11 9,372.86 184.58 9,372.80 184.58 --- 96.97 42,672.22 6,659.63 547,461.17 4.99 32,985.91 50.68 405,420.10 3.00 34,382.10 3.00 403,353.62Program: 3300 - Customer Service Total:1,755,000.00 398,765.11 Program: 3400 - Meter Service Labor 18,092.73 142.77 5,797.13 - 82.84 115.90 - 114,705.27 2,232.05 61,721.42 - 1,037.64 960.43 164,000.00 6,000.00 96,000.00 4,000.00 7,000.00 1,000.00 - - - - - - - - - 447.84 - 299.41 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 164,000.00 6,000.00 96,000.00 4,000.00 7,000.00 1,000.00 - 48,846.89 3,767.95 33,979.17 4,000.00 5,962.36 39.57 Overtime Benefits Materials and Supplies Contract Services Utilities Professional Development Program: 3400 - Meter Service Total: -- 24,231.37 180,656.81 278,000.00 747.25 278,000.00 96,595.94 Program: 4000 - Engineering Labor 43,535.99 273,474.36 - 467,600.00 - 2,100.00 135,100.00 13,300.00 357,700.00 130,900.00 19,600.00 1,126,300.00 18,658.41 116,684.06 - 200,400.00 - 900.00 57,900.00 5,700.00 153,300.00 56,100.00 8,400.00 482,700.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - 668,000.00 - 3,000.00 193,000.00 19,000.00 511,000.00 187,000.00 28,000.00 1,609,000.00 277,841.58 - 3,000.00 105,467.17 15,749.46 463,743.75 126,580.81 20,947.21 1,013,329.98 Temporary Labor Overtime Benefits Materials and Supplies Contract Services Utilities -- - 8,559.98 - 2,924.00 9,201.20 - -- 3,668.31 - 820.50 251.89 - - 61,213.14 2,478.69 33,805.08 34,502.26 5,484.39 410,957.92 26,319.69 771.85 13,451.17 25,916.93 1,568.40 184,712.10 Professional Development Program: 4000 - Engineering Total:64,221.17 23,399.11 Program: 5000 - Water Production Labor Overtime 85,811.36 2,607.15 554,313.69 23,605.70 781,000.00 70,000.00 - - - - - - - - - - - - 781,000.00 70,000.00 226,686.31 46,394.30 Standby 1,720.00 10,262.00 15,000.00 ------15,000.00 4,738.00 Benefits Water Supply Materials and Supplies Contract Services Utilities 21,561.86 1,455.50 21,746.64 42,606.03 159,637.73 1,528.32 298,638.66 411,251.50 180,188.56 155,412.33 2,349,940.58 13,638.20 404,000.00 286,000.00 335,000.00 461,000.00 2,564,000.00 11,000.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 404,000.00 286,000.00 335,000.00 461,000.00 2,564,000.00 11,000.00 105,361.34 (125,251.50) 154,811.44 305,587.67 214,059.42 (2,638.20) 929,748.78 Professional Development Program: 5000 - Water Production Total:338,674.59 3,997,251.22 4,927,000.00 4,927,000.00 Program: 5100 - Water Treatment Labor Overtime Benefits Materials and Supplies Contract Services 31,615.20 4,936.66 8,280.76 37,000.96 4,340.62 5,917.54 165,662.59 47,513.50 261,000.00 39,000.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 261,000.00 39,000.00 95,337.41 (8,513.50) 42,596.45 (85,069.33) 9,668.83 116,403.55 255,069.33 139,331.17 104,048.69 828,028.83 159,000.00 170,000.00 149,000.00 182,000.00 960,000.00 159,000.00 170,000.00 149,000.00 182,000.00 960,000.00 Utilities - - - - - - - - - - - - 77,951.31 131,971.17Program: 5100 - Water Treatment Total:92,091.74 Program: 5200 - Water Quality Labor 24,076.80 609.81 5,477.52 666.79 4,469.54 - 159,858.58 3,405.52 67,936.39 15,390.24 70,952.37 - 238,000.00 12,000.00 114,000.00 20,000.00 165,000.00 2,000.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 238,000.00 12,000.00 114,000.00 20,000.00 165,000.00 2,000.00 78,141.42 8,594.48 46,063.61 4,609.76 94,047.63 2,000.00 Overtime Benefits Materials and Supplies Contract Services Utilities ------ Professional Development Program: 5200 - Water Quality Total: 161.51 35,461.97 2,930.93 320,474.03 6,000.00 557,000.00 - - - - - - - - - - - - 6,000.00 557,000.00 3,069.07 236,525.97 Page 5 of 6 Program Expense Detail Budget-to-Actual Month Ended March 31, 2023 Unaudited WATER YTD WASTEWATER RECLAMATION YTD DISTRICT WIDE AMENDED BUDGET AMENDED BUDGET AMENDED BUDGET AMENDED REMAINING BUDGETMTD 19,867.11 MTD YTD 15,777.59 - 127.12 1,403.92 11,152.99 - MTD TOTAL BUDGET -Program: 6000 - Field Maintenance Administration ---- - - - - - - - - - - - - - - - - - - - Labor Temporary Labor Overtime Standby Benefits Materials and Supplies Contract Services Utilities 124,564.19 180,900.00 - 2,187.54 20,100.00 - 200.00 2,000.00 14,000.00 300.00 - - - - - - - - - 201,000.00 - 60,658.22 - 728.80 773.08 30,702.85 2,952.12 -- 1,144.08 17,823.00 98,144.16 47.88 2,514.29 24,993.06 6,911.77 276,142.43 - - 2,079.82 7,186.45 - 33.88 2,220.16 - 1,800.00 18,000.00 126,000.00 2,700.00 900.00 36,900.00 21,600.00 388,800.00 - 168.00 776.94 - 3.76 246.69 - 2,000.00 20,000.00 140,000.00 3,000.00 1,000.00 41,000.00 24,000.00 432,000.00 390.21 100.00 (1,904.50) 13,360.33 15,756.20 123,027.10 2,646.61 1,332.03 32,830.47 4,100.00 2,400.00 43,200.00 Professional Development Program: 6000 - Field Maintenance Administration Total:31,387.42 3,382.93 --- Program: 6100 - Water Maintenance Labor Overtime Benefits Materials and Supplies Contract Services 122,356.25 30,677.11 35,932.95 60,991.15 45,974.15 - 790,858.33 256,433.20 436,431.52 673,460.66 408,436.05 3,645.00 1,153,000.00 219,000.00 602,000.00 471,000.00 637,000.00 - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 1,153,000.00 219,000.00 602,000.00 471,000.00 637,000.00 - 362,141.67 (37,433.20) 165,568.48 (202,460.66) 228,563.95 (3,645.00)Utilities ---- Program: 6100 - Water Maintenance Total:295,931.61 2,569,264.76 3,082,000.00 ------3,082,000.00 512,735.24 Program: 6200 - Wastewater Maintenance Labor Overtime Benefits Materials and Supplies Wastewater Treatment Contract Services - - - - - - - - - - - - - - - 41,161.47 2,871.72 12,447.55 2,021.77 - 249,725.07 23,747.98 84,414.57 11,703.27 - 362,000.00 9,000.00 196,000.00 36,000.00 7,610,000.00 (7,333,000.00) 880,000.00 - - - - - - - - - - - - - - - - - 362,000.00 9,000.00 196,000.00 36,000.00 7,610,000.00 (7,333,000.00) 880,000.00 112,274.93 (14,747.98) 111,585.43 24,296.73 7,610,000.00 (7,601,472.18) 241,936.93 - - - - - - 30,638.81 89,141.32 268,472.18 638,063.07 - -Program: 6200 - Wastewater Maintenance Total:-- Program: 6300 - Water Reclamation Labor Overtime Standby - - - - - - - - - - - - - - - - - - 43,761.18 1,261.84 - 333,071.78 6,113.74 - 820,000.00 3,000.00 820,000.00 3,000.00 486,928.22 (3,113.74) --- Benefits Materials and Supplies Contract Services - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - 11,946.33 2,416.78 680,448.62 14,149.30 - 204,401.97 3,925.46 6,358,534.20 137,803.15 - 473,000.00 657,000.00 5,935,000.00 280,000.00 12,000.00 8,180,000.00 473,000.00 657,000.00 5,935,000.00 280,000.00 12,000.00 8,180,000.00 268,598.03 653,074.54 (423,534.20) 142,196.85 12,000.00 1,136,149.70 Utilities Professional Development Program: 6300 - Water Reclamation Total:753,984.05 7,043,850.30 Program: 7000 - Facilities Maintenance Labor Overtime Benefits Materials and Supplies Contract Services 11,716.18 - 72,461.13 8,856.83 101,500.00 7,000.00 4,994.46 - 30,302.65 2,441.65 18,180.95 7,238.39 168,900.06 32,540.99 - 40,600.00 2,800.00 22,000.00 8,400.00 215,500.00 32,400.00 200.00 6,898.79 - 40,435.10 909.83 60,900.00 4,200.00 203,000.00 14,000.00 110,000.00 58,000.00 1,052,000.00 173,000.00 1,000.00 59,801.12 1,791.69 10,320.83 (34,036.92) (3,008.49) (49,530.56) 1,000.00 3,379.46 8,820.16 38,644.56 9,505.12 - 59,639.06 34,833.56 505,626.54 105,345.33 - 55,000.00 37,000.00 595,600.00 92,000.00 500.00 1,431.64 894.84 8,699.94 2,697.22 - 1,993.28 1,928.45 42,871.77 7,919.76 - 21,859.16 49,964.97 380,481.89 84,644.24 - 33,000.00 12,600.00 240,900.00 48,600.00 300.00 Utilities Professional Development Program: 7000 - Facilities Maintenance Total:72,065.48 786,762.45 888,600.00 18,718.10 259,604.69 321,900.00 61,612.05 578,295.19 400,500.00 1,611,000.00 (13,662.33) Program: 7100 - Fleet Maintenance Labor Overtime 6,466.75 - 55,064.14 794.19 81,900.00 2,700.00 504.29 - 5,903.95 88.24 9,100.00 300.00 - - - - - - 91,000.00 3,000.00 30,031.91 2,117.57 Benefits Materials and Supplies Contract Services 1,621.12 6,445.00 9,412.55 14,497.04 - 14,552.49 97,074.63 162,286.96 166,052.56 - 49,500.00 95,400.00 216,900.00 180,900.00 3,600.00 177.02 716.13 18,032.46 1,610.78 - 1,613.85 15,737.99 34,069.01 18,450.25 - 5,500.00 10,600.00 24,100.00 20,100.00 400.00 - - - - - - - - - - - - - - - - - - - 55,000.00 106,000.00 241,000.00 201,000.00 4,000.00 38,833.66 (6,812.62) 44,644.03 16,497.19 4,000.00 Utilities Professional Development Program: 7100 - Fleet Maintenance Total:38,442.46 495,824.97 630,900.00 21,040.68 75,863.29 70,100.00 - 701,000.00 - 129,311.74 Program: 8000 - Capital Debt Service 7,927.90 459,178.21 6,520.00 (459,178.21) - 1,749,715.68 4,283,389.51 235,396.01 (5,709,150.98) - 3,080,000.00 5,425,000.00 720,000.00 - - 122,005.11 45,368.82 (122,005.11) - 224,894.00 473,679.91 106,345.24 (648,679.91) - 274,000.00 315,000.00 475,000.00 - - - - - - - - - - - - - 3,354,000.00 5,740,000.00 1,195,000.00 - 3,000,000.00 (1,200,000.00) 12,089,000.00 1,379,390.32 982,930.58 853,258.75 6,357,830.89 3,000,000.00 (1,200,000.00) 11,373,410.54 Capital Improvement Capital Outlay Accounting Income Add back Transfer to Reserves - - - - 3,000,000.00 - - Transfer from Reserves Program: 8000 - Capital Total: --(1,200,000.00) 8,025,000.00 --- - - -14,447.90 559,350.22 45,368.82 156,239.24 1,064,000.00 3,000,000.00 Total Surplus (Deficit):$644,997.35 $6,837,960.33 $-$171,804.03 $1,538,898.62 $-$(947.30)$(472,003.58)$-$-$(7,904,855.37) Page 6 of 6 Agenda Item #2d April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #2d Consent Item 7 6 5 Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: March 2023 Disbursements: Accounts payable disbursements for the period include check numbers 260873 through 261054, bank drafts, and ACH payments in the amount of $6,974,177.22 and $666,656.68 for payroll RECOMMENDATION That the Board of Directors approve the District's expense disbursements for the period March 1, 2023 through March 31, 2023 in the amount of $7,640,833.90. BACKGROUND / ANALYSIS In the continued effort to be fiscally transparent, the payment register for supplies, materials, services, and payroll for March 2023 is attached for review and approval. This process provides the Board of Directors and the public an opportunity to review the expenses of the District. Accounts Payable is processed weekly, while payroll is processed bi-weekly. Information to justify each expenditure is available through the Finance Department. Accounts payable disbursements for the period include check numbers 260873 through 261054, bank drafts, and ACH Payments in the amount of $6,974,177.22 and $666,656.68, for payroll. Significant expenses greater than or equal to $50,000 are further explained below: Agenda Item #2d April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #2d Consent Item 7 6 5 AGENCY GOALS AND OBJECTIVES II - Maintain a Commitment To Sustainability, Transparency, and Accountability A. Practice Transparent and Accountable Fiscal Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. Agenda Item #2d April 26, 20233 Meeting Date: April 26, 2023 Agenda Item #2d Consent Item 7 6 5 FISCAL IMPACT This item is funded in the current fiscal year budget. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS March 2023 Payment Register PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/1/2023 260873 FLIPPING SOCAL LLC 66.63 3/1/2023 260874 EILEEN D CIMINO 393.34 3/1/2023 260875 JOSE NIETO 121.62 3/1/2023 260876 AMRIK SINGH 44.99 3/1/2023 260877 ANGELICA ARECHAVALETA 100.00 3/1/2023 260878 EMANUEL CONTRERAS 150.00 3/1/2023 260879 GRACE SANTOS 30.00 3/1/2023 260880 NANCY HEFFERNAN 150.00 3/1/2023 260881 WENXUE JU 300.00 3/1/2023 260882 YUNFEI TURNER 100.00 3/1/2023 260883 ZIQIAN MING 100.00 3/2/2023 260884 AMERICAN FIDELITY ASSURANCE COMPANY (FSA)1,126.22 3/2/2023 260885 APPLEONE EMPLOYMENT SERVICE 1,162.87 3/2/2023 260886 AT&T 1,776.17 3/2/2023 260887 DENTAL HEALTH SERVICES 158.10 3/2/2023 260888 ECOTECH SERVICES, INC 2,697.50 3/2/2023 260889 EWING IRRIGATION PRODUCTS INC 366.69 3/2/2023 260890 Genuine Parts Company 215.41 3/2/2023 260891 HARPER & ASSOCIATES ENGINEERING, INC 8,514.00 3/2/2023 260892 INLAND WATER WORKS SUPPLY CO 3,946.63 3/2/2023 260893 JESSE MCCONNAHA/MACS SPRING SHOP 704.00 3/2/2023 260894 KONICA MINOLTA 49.09 3/2/2023 260895 LOGICALIS, INC 8,127.60 3/2/2023 260896 METLIFE SMALL BUSINESS CENTER (Dental)11,206.54 3/2/2023 260897 METROPOLITAN LIFE INS CO 93.30 3/2/2023 260898 PETTY CASH 26.29 3/2/2023 260899 POWERS ELECTRIC PRODUCTS CO 701.45 3/2/2023 260900 SAN BERNARDINO MUNICIPAL WATER DEPARTMENT 681,256.36 3/2/2023 260901 SITEONE LANDSCAPE SUPPLY , LLC 42.54 3/2/2023 260902 SOUTHERN CALIFORNIA EDISON COMPANY 79,734.89 3/2/2023 260903 Texas Life Insurance Company 646.71 3/2/2023 260904 UNIFIRST CORPORATION 2,385.54 3/2/2023 260908 VERIZON 1,172.82 3/2/2023 260909 WATER SYSTEMS CONSULTING, INC 8,352.19 3/9/2023 260910 ACS SUPPORT 26.00 3/9/2023 260911 AMERICAN FIDELITY ASSURANCE COMPANY 3,073.43 3/9/2023 260912 AT&T 535.02 3/9/2023 260913 BALFOUR BEATTY INFRASTRUCTURE, INC 2,422,031.75 3/9/2023 260914 BEAR VALLEY MUTUAL WATER COMPANY 165.00 3/9/2023 260915 BURRTEC WASTE/ 5455 Industrial pkwy 722.16 3/9/2023 260916 BURRTEC WASTE/ E. 111 MILL ST 623.52 3/9/2023 260917 Codiak Plumbing Services Inc.725.00 3/9/2023 260918 CULLIGAN OF ONTARIO 163.43 3/9/2023 260919 DIRECTV 277.98 PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 1 of 8 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/9/2023 260920 EVERSOFT, INC 283.80 3/9/2023 260921 FIRST CHOICE SERVICES 696.01 3/9/2023 260922 FRANCHISE TAX BOARD 50.00 3/9/2023 260923 INLAND WATER WORKS SUPPLY CO 7,418.91 3/9/2023 260924 JON'S FLAGS & POLES, INC 2,052.64 3/9/2023 260925 K & L HARDWARE 164.34 3/9/2023 260926 KONICA MINOLTA 703.26 3/9/2023 260927 LOGICALIS, INC 15,553.21 3/9/2023 260928 PACIFIC HYDROTECH CORPORATION 37,163.61 3/9/2023 260929 SO CAL GAS 2,456.94 3/9/2023 260930 SOUTH COAST A Q M D 620.61 3/9/2023 260931 SOUTHERN CALIFORNIA EDISON COMPANY 14,172.98 3/9/2023 260932 THE SHERWIN WILLIAMS CO.293.57 3/9/2023 260933 Trench Shoring Company 9,325.76 3/9/2023 260934 UNIFIRST CORPORATION 1,086.77 3/9/2023 260935 VALLEY OFFICE EQUIPMENT 1.32 3/15/2023 260936 NORTH FORK WATER CO 1,455.50 3/16/2023 260937 ADVANCED INDUSTRIAL SOLUTIONS, INC.2,211.75 3/16/2023 260938 APPLEONE EMPLOYMENT SERVICE 1,869.81 3/16/2023 260939 Baker Electric & Renewables LLC 24,624.19 3/16/2023 260940 BURRTEC WASTE/ E. 111 MILL ST 3,400.65 3/16/2023 260941 CHEM-TECH INTERNATIONAL INC 42,561.14 3/16/2023 260942 COLONIAL LIFE, PREMIUM 491.64 3/16/2023 260943 CROSNO CONSTRUCTION, INC.291,654.27 3/16/2023 260944 DIB'S SAFE & LOCK SERVICE 977.20 3/16/2023 260945 DIRECTV 63.29 3/16/2023 260946 EYE MED VISION CARE 1,505.04 3/16/2023 260947 FedEx 11.93 3/16/2023 260948 FLEET MANAGEMENT DEPARTMENT 990.93 3/16/2023 260949 HARPER & ASSOCIATES ENGINEERING, INC 12,918.00 3/16/2023 260950 INLAND DESERT SECURITY & COMMUNICATIONS, INC 774.40 3/16/2023 260951 INLAND WATER WORKS SUPPLY CO 10,047.79 3/16/2023 260952 K & L HARDWARE 37.02 3/16/2023 260953 KONICA MINOLTA 670.10 3/16/2023 260954 KOPPEL & GRUBER PUBLIC FINANCE 1,227.22 3/16/2023 260955 LA VERNE POWER EQUIPMENT, INC.22.84 3/16/2023 260956 LOGICALIS, INC 56,231.38 3/16/2023 260957 Olga Polasek 6,100.00 3/16/2023 260958 PILAR ONATE 4,725.00 3/16/2023 260959 ROSEMOUNT , INC 420.42 3/16/2023 260960 SAN BDNO AREA CHAMBER OF COMMERCE 220.00 3/16/2023 260961 SAN BERNARDINO COUNTY FIRE PROTECTION DISTRICT 7,985.25 3/16/2023 260962 SAN BERNARDINO MUNICIPAL WATER DEPARTMENT 623,065.75 3/16/2023 260963 SIEMENS INDUSTRY INC 1,472.94 3/16/2023 260964 SOUTHERN CALIFORNIA EDISON COMPANY 9,104.73 3/16/2023 260965 SPECTRUM 6,090.00 3/16/2023 260966 SPECTRUM 18,137.38 3/16/2023 260967 STRADLING YOCCA CARSON & RAUTH, A PROFESSIONAL CORP 474.00 3/16/2023 260968 THE SUN 119.97 3/16/2023 260969 UNIFIRST CORPORATION 1,683.86 3/16/2023 260971 VERIZON 1,119.70 3/17/2023 260972 BRECKENRIDGE PROPERTY FUND 2016 LLC 92.21 PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 2 of 8 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/17/2023 260973 JOSEPH BAUMBACH 98.14 3/17/2023 260974 MRS A G SIMPSON 18.22 3/17/2023 260975 ANDRADE FINANCIAL 160.13 3/17/2023 260976 MV 18013 LLC 59.51 3/17/2023 260977 MV 18013 LLC 84.23 3/17/2023 260978 MV 18013 LLC 82.33 3/17/2023 260979 D.R. HORTON 47.17 3/17/2023 260980 JAMES ADAMS 117.09 3/17/2023 260981 ARRON GALICIA 36.27 3/17/2023 260982 ITALO A INSALATA 92.37 3/17/2023 260983 GIANG NGUYEN 22.66 3/17/2023 260984 ANEL ARREOLA 100.00 3/23/2023 260985 ECOTECH SERVICES INC.524.00 3/23/2023 260986 FRANK CORTEZ 100.00 3/23/2023 260987 ACS SUPPORT 26.00 3/23/2023 260988 ALTERNATIVE HOSE INC 36.84 3/23/2023 260989 AMERICAN FIDELITY ASSURANCE COMPANY (FSA)1,126.22 3/23/2023 260990 APPLEONE EMPLOYMENT SERVICE 1,141.60 3/23/2023 260991 AT&T 1,121.25 3/23/2023 260992 AUTOZONE PARTS 40.28 3/23/2023 260993 BALFOUR BEATTY INFRASTRUCTURE, INC 160,890.75 3/23/2023 260994 BUGGY ROGERS PAINTING 1,914.00 3/23/2023 260995 CHEM-TECH INTERNATIONAL INC 3,792.36 3/23/2023 260996 CITY OF HIGHLAND 300.00 3/23/2023 260997 DAILY JOURNAL CORPORATION 535.86 3/23/2023 260998 DENTAL HEALTH SERVICES 158.10 3/23/2023 260999 EUCLID MANAGERS, INSURANCE SERVICES INC.360.00 3/23/2023 261000 FRANCHISE TAX BOARD 50.00 3/23/2023 261001 GENOVEVA L ARELLANO 1,228.39 3/23/2023 261002 GEOSCIENCE SUPPORT SERVICES, INC 13,931.50 3/23/2023 261003 GLADWELL GOVERNMENTAL SERVICES INC 300.00 3/23/2023 261004 H & L Charter Co. Inc 1,154.88 3/23/2023 261005 K & L HARDWARE 7.53 3/23/2023 261006 KONICA MINOLTA BUSINESS SOLUTIONS 6,909.01 3/23/2023 261007 LOWE'S 2,948.65 3/23/2023 261009 METLIFE SMALL BUSINESS CENTER (Dental)11,108.84 3/23/2023 261010 METROPOLITAN LIFE INS CO 93.30 3/23/2023 261011 Mike Mahmoudi 270.00 3/23/2023 261012 PETTY CASH 202.21 3/23/2023 261013 SO CAL GAS 41.15 3/23/2023 261014 Solitude Lake Management LLC 1,225.00 3/23/2023 261015 Superior Tank Co., Inc 39,669.90 3/23/2023 261016 Texas Life Insurance Company 646.71 3/23/2023 261017 TROY ALARM, INC. C/O ALARM CONNECTIONS 199.68 3/23/2023 261018 ULINE, INC.1,669.41 3/23/2023 261019 UPS, UNITED PARCEL SERVICE, INC.35.53 3/30/2023 261020 ACS SUPPORT 26.00 3/30/2023 261021 AIR CHIEF, INC.1,845.07 3/30/2023 261022 APPLEONE EMPLOYMENT SERVICE 955.82 3/30/2023 261023 COLONIAL LIFE, PREMIUM 491.64 3/30/2023 261024 ECOTECH SERVICES, INC 2,384.00 3/30/2023 261025 FIRST CHOICE SERVICES 45.00 PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 3 of 8 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/30/2023 261026 FRANCHISE TAX BOARD 50.00 3/30/2023 261027 GENOVEVA L ARELLANO 2,784.81 3/30/2023 261028 Genuine Parts Company 228.33 3/30/2023 261029 HIGHLAND DISTRICT COUNCIL ON AGING 1,420.00 3/30/2023 261030 HYDROTECH ELECTRIC 4,537.22 3/30/2023 261031 Indian Springs High - ASB 3,500.00 3/30/2023 261032 INLAND SOLAR CHALLENGE 3,000.00 3/30/2023 261033 K & L HARDWARE 69.18 3/30/2023 261034 ROGERS, ANDERSON, MALODY & SCOTT, LLP 2,100.00 3/30/2023 261035 SAN BERNARDINO MUNICIPAL WATER DEPARTMENT 17,008.75 3/30/2023 261036 SAN BERNARDINO MUNICIPAL WATER DEPARTMENT 17,991.78 3/30/2023 261037 SOUTH COAST A Q M D 628.20 3/30/2023 261038 SOUTHERN CALIFORNIA EMERGENCY MEDICINE/COLTON/REDLANDS 85.00 3/30/2023 261039 US BANCORP SERVICE CENTER 37,401.99 3/30/2023 261044 VALLEY OFFICE EQUIPMENT 5.79 3/30/2023 261045 WATER SYSTEMS CONSULTING, INC 6,126.75 3/30/2023 261046 Wilson Towing LLC 70.00 3/30/2023 261047 FILIBERTHA ESPINOZA 25.00 3/30/2023 261048 OSCAR KOSLOSKY 75.00 3/30/2023 261049 DR JANET STIMSON 55.24 3/30/2023 261050 DANA MANJARREZ 95.86 3/30/2023 261051 MONET INVESTMENTS LLC 127.36 3/30/2023 261052 DIANA KAY FAULKNER 96.78 3/30/2023 261053 CHIPT HIGHLAND 210 L.P.288.33 3/30/2023 261054 CHERISE KENDRICK 106.77 BANK DRAFTS 3/2/2023 DFT0004844 GLOBAL PAYMENTS 15,019.39 3/3/2023 DFT0004831 CALPERS/ MEDICAL 108,317.18 3/3/2023 DFT0004833 CA SDI Tax 2,974.83 3/3/2023 DFT0004834 Federal Payroll Tax 36,972.42 3/3/2023 DFT0004835 Medicare 9,596.66 3/3/2023 DFT0004836 Social Security 210.56 3/3/2023 DFT0004837 State Payroll Tax 14,280.05 3/3/2023 DFT0004838 STATE DISBURSEMENT UNIT 908.77 3/3/2023 DFT0004839 CALPERS/ RETIREMENT 51,559.12 3/3/2023 DFT0004840 CALPERS/ DEFERRED COMPENSATION 22,225.42 3/3/2023 DFT0004842 MERCHANT BANKCD 556.69 3/6/2023 DFT0004845 CA SDI Tax 139.97 3/6/2023 DFT0004846 Federal Payroll Tax 3,146.15 3/6/2023 DFT0004847 Medicare 451.86 3/6/2023 DFT0004848 State Payroll Tax 1,095.89 3/10/2023 DFT0004841 FORTE, ACH DIRECT INC, ACH FEES 4,364.89 3/12/2023 DFT0004843 PayNearMe, Inc.242.78 3/22/2023 DFT0004849 CA SDI Tax 2,780.84 3/22/2023 DFT0004850 CALPERS/ DEFERRED COMPENSATION 22,070.03 3/22/2023 DFT0004851 CALPERS/ MEDICAL 108,947.74 3/22/2023 DFT0004852 CALPERS/ RETIREMENT 51,334.44 3/22/2023 DFT0004853 Federal Payroll Tax 33,641.41 3/22/2023 DFT0004854 Medicare 8,976.86 3/22/2023 DFT0004855 Social Security 1,366.66 PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 4 of 8 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/22/2023 DFT0004856 STATE DISBURSEMENT UNIT 908.77 3/22/2023 DFT0004857 State Payroll Tax 12,675.06 3/22/2023 DFT0004858 CBB 2,065.03 3/27/2023 DFT0004859 PayNearMe, Inc.380.09 3/31/2023 DFT0004863 Federal Payroll Tax 35,823.82 3/31/2023 DFT0004864 Medicare 9,031.42 3/31/2023 DFT0004865 Social Security 182.52 3/31/2023 DFT0004866 STATE DISBURSEMENT UNIT 908.77 3/31/2023 DFT0004867 State Payroll Tax 13,743.97 3/31/2023 DFT0004868 CALPERS/ DEFERRED COMPENSATION 21,958.27 3/31/2023 DFT0004869 CALPERS/ RETIREMENT 50,627.07 3/31/2023 DFT0004870 CA SDI Tax 2,799.69 3/31/2023 DFT0004871 PayNearMe, Inc.47.76 3/31/2023 DFT0004872 EAST VALLEY WATER DISTRICT 150.00 3/31/2023 DFT0004875 CALPERS/ RETIREMENT 0.45 ACH PAYMENTS 3/2/2023 10012178 ACI PAYMENTS INC.46.95 3/2/2023 10012179 AMAZON CAPITAL SERVICES, INC 2,699.94 3/2/2023 10012181 APPLIED MAINTENANCE SUPPLIES & SOLUTIONS 872.70 3/2/2023 10012182 BARRY'S SECURITY SERVICES, INC 9,071.89 3/2/2023 10012183 BRENDA SUE VANMETER 177.96 3/2/2023 10012184 CINTAS CORPORATION (FIRST AID)433.60 3/2/2023 10012185 CLARK PEST CONTROL 188.00 3/2/2023 10012186 CLINICAL LAB OF S B 5,728.00 3/2/2023 10012187 DANGELO CO INC 3,678.53 3/2/2023 10012188 EXCEL LANDSCAPE, INC 2,392.00 3/2/2023 10012189 FRONTIER COMMUNICATIONS 825.38 3/2/2023 10012190 GOLDEN STATE LABOR COMPLIANCE, LLC 4,990.00 3/2/2023 10012191 GRAINGER 779.24 3/2/2023 10012192 HAAKER EQUIPMENT COMPANY & TOTAL CLEAN 2,565.27 3/2/2023 10012193 LEGEND PUMP AND WELL SERVICES 3,636.36 3/2/2023 10012194 MANAGED MOBILE, INC.1,063.21 3/2/2023 10012195 MCMASTER-CARR 122.38 3/2/2023 10012196 MIKE J. ROQUET CONSTRUCTION INC 73,088.26 3/2/2023 10012197 MINUTEMAN PRESS OF RANCHO CUCAMONGA 377.10 3/2/2023 10012198 PARKHOUSE TIRE, INC 607.91 3/2/2023 10012199 PETAS CAR CARE- KEVIN KOHRELL 4,355.16 3/2/2023 10012201 PLUS 1 PERFORMANCE 1,313.09 3/2/2023 10012202 RK VENTURE LLC 6,681.25 3/2/2023 10012203 TYLER TECHNOLOGIES, INC 3,120.00 3/2/2023 10012204 VERIZON WIRELESS 9,406.66 3/2/2023 10012206 VISTA PAINTS 554.73 3/2/2023 10012207 VULCAN MATERIALS CO/ CALMAT CO 1,906.48 3/9/2023 10012208 ADCOMP SYSTEMS, INC 319.29 3/9/2023 10012209 AMAZON CAPITAL SERVICES, INC 2,320.06 3/9/2023 10012210 APPLIED MAINTENANCE SUPPLIES & SOLUTIONS 500.16 3/9/2023 10012211 BARRY'S SECURITY SERVICES, INC 9,313.96 3/9/2023 10012212 CALIFORNIA FUELS & LUBRICANTS 3,544.64 3/9/2023 10012213 CLEARFLY COMMUNATIONS 967.10 3/9/2023 10012214 COMPUTERIZED EMBROIDERY COMPANY, INC 662.41 3/9/2023 10012215 COUNTY OF SAN BERNARDINO, RECORDER- CLERK 100.00 PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 5 of 8 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/9/2023 10012216 DALE BRENDT MARSDEN, dba TOMORROW'S TALENT, LLC 2,500.00 3/9/2023 10012217 DANGELO CO INC 10,607.17 3/9/2023 10012218 EVWD EMPLOYEES EVENTS ASSOC 300.52 3/9/2023 10012219 EXCEL LANDSCAPE, INC 20,128.11 3/9/2023 10012220 FERGUSON ENTERPRISES, INC.27,821.05 3/9/2023 10012221 FRONTIER COMMUNICATIONS 82.74 3/9/2023 10012222 GENESIS INDUSTRIAL SUPPLY, INC 1,273.83 3/9/2023 10012223 HAAKER EQUIPMENT COMPANY & TOTAL CLEAN 3,020.79 3/9/2023 10012224 LEGEND PUMP AND WELL SERVICES 13,523.00 3/9/2023 10012225 LINCOLN NATIONAL LIFE INS CO.1,404.00 3/9/2023 10012226 MANAGED HEALTH NETWORK 228.48 3/9/2023 10012227 MANAGED MOBILE, INC.3,292.37 3/9/2023 10012228 MCMASTER-CARR 274.44 3/9/2023 10012229 MERLIN JOHNSON CONSTRUCTION 10,979.46 3/9/2023 10012230 NATIONAL CONSTRUCTION RENTALS 178.49 3/9/2023 10012231 NEOGOV 4,415.43 3/9/2023 10012232 PARKHOUSE TIRE, INC 215.37 3/9/2023 10012233 SSCI, INC. DBA-SAFETY COMPLIANCE COMPANY 200.00 3/9/2023 10012234 STAPLES BUSINESS ADVANTAGE 276.30 3/9/2023 10012235 STERICYCLE, INC DBA SHRED-IT 161.98 3/9/2023 10012236 STEVE A. FILARSKY, ATTORNEY AT LAW 525.00 3/9/2023 10012237 TYLER TECHNOLOGIES, INC 3,560.00 3/9/2023 10012238 UNDERGROUND SERVICE ALERT 253.25 3/9/2023 10012239 VULCAN MATERIALS CO/ CALMAT CO 2,945.18 3/9/2023 10012240 WAXIE SANITARY SUPPLY 1,989.13 3/9/2023 10012241 WESTBROOK FENCE, INC 1,560.00 3/9/2023 10012242 CAROL CALES 555.99 3/9/2023 10012243 DANIEL DAVIS 663.92 3/9/2023 10012244 DAVID HERNANDEZ 505.94 3/9/2023 10012245 ED KING 850.00 3/9/2023 10012246 ELISEO OCHOA 562.73 3/9/2023 10012247 JOHN MURA 730.10 3/9/2023 10012248 MARTHA T DURAN 850.00 3/9/2023 10012249 MICHAEL HENDERSON 737.18 3/9/2023 10012250 REBECCA KASTEN 639.46 3/9/2023 10012251 RICHARD BECERRA 737.18 3/15/2023 10012252 US BANCORP, GOVERNMENT LEASING AND FINANCE, INC 226,467.11 3/16/2023 10012253 ADCOMP SYSTEMS, INC 100.00 3/16/2023 10012254 ADVANCED TELEMETRY SYSTEMS INTERNATIONAL, INC.5,041.67 3/16/2023 10012255 ALLISON MECHANICAL, INC 542.50 3/16/2023 10012256 AMAZON CAPITAL SERVICES, INC 257.88 3/16/2023 10012257 ANTHESIS 9,073.51 3/16/2023 10012258 APPLIED MAINTENANCE SUPPLIES & SOLUTIONS 102.89 3/16/2023 10012259 ASBCSD 108.00 3/16/2023 10012260 BARRY'S SECURITY SERVICES, INC 9,278.31 3/16/2023 10012261 BURGESS MOVING & STORAGE 2,201.30 3/16/2023 10012262 CALIFORNIA FUELS & LUBRICANTS 1,745.90 3/16/2023 10012263 CALIFORNIA TOOL & WELDING SUPPLY 36.92 3/16/2023 10012264 CINTAS CORPORATION (FIRST AID)161.11 3/16/2023 10012265 CORELOGIC SOLUTIONS, LLC 380.63 3/16/2023 10012266 DANGELO CO INC 7,500.85 3/16/2023 10012267 EXCEL LANDSCAPE, INC 1,423.90 PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 6 of 8 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/16/2023 10012268 FRONTIER COMMUNICATIONS 966.15 3/16/2023 10012269 HAAKER EQUIPMENT COMPANY & TOTAL CLEAN 408.04 3/16/2023 10012270 INFOSEND, INC 33,526.54 3/16/2023 10012271 JOHN DRURY 105.00 3/16/2023 10012272 KEN TAYLOR 140.00 3/16/2023 10012273 KRIEGER & STEWART, INCORPORATED 53,999.38 3/16/2023 10012274 LINCOLN NATIONAL LIFE INS CO.2,013.66 3/16/2023 10012275 MANAGED MOBILE, INC.2,084.15 3/16/2023 10012276 MARLINK INC 1,082.90 3/16/2023 10012277 MCMASTER-CARR 82.94 3/16/2023 10012278 MICHAEL BAFFA 201.79 3/16/2023 10012279 MIKE J. ROQUET CONSTRUCTION INC 41,877.84 3/16/2023 10012280 MINUTEMAN PRESS OF RANCHO CUCAMONGA 1,057.63 3/16/2023 10012281 RESOLUTE 16.71 3/16/2023 10012282 SG CREATIVE, LLC 5,060.00 3/16/2023 10012283 STAPLES BUSINESS ADVANTAGE 885.60 3/16/2023 10012284 STERICYCLE, INC DBA SHRED-IT 398.93 3/16/2023 10012285 Troy A. Yergens 250.00 3/16/2023 10012286 VALERO FLEET, WEX BANK 15,093.68 3/16/2023 10012287 WOODARD & CURRAN INC.95,223.69 3/23/2023 10012288 ACI PAYMENTS INC.49.25 3/23/2023 10012289 ADCOMP SYSTEMS, INC 319.29 3/23/2023 10012290 AMAZON CAPITAL SERVICES, INC 1,616.07 3/23/2023 10012292 ASHOK K. DHINGRA, AKD CONSULTING 21,791.42 3/23/2023 10012293 BARRY'S SECURITY SERVICES, INC 9,069.44 3/23/2023 10012294 CLARK PEST CONTROL 51.00 3/23/2023 10012295 COMPUTERIZED EMBROIDERY COMPANY, INC 291.49 3/23/2023 10012296 CORE & MAIN LP 2,586.13 3/23/2023 10012297 DOCUSIGN, INC.25,121.05 3/23/2023 10012298 EVWD EMPLOYEES EVENTS ASSOC 400.49 3/23/2023 10012299 FRONTIER COMMUNICATIONS 1,017.03 3/23/2023 10012300 INFOSEND, INC 13,575.36 3/23/2023 10012301 JC LAW FIRM 13,560.00 3/23/2023 10012302 JEREMY SUBRIAR 161.51 3/23/2023 10012303 JOSE MILLAN 3,750.00 3/23/2023 10012304 LEGEND PUMP AND WELL SERVICES 18,892.00 3/23/2023 10012305 MANAGED HEALTH NETWORK 228.48 3/23/2023 10012306 MANAGED MOBILE, INC.4,596.43 3/23/2023 10012307 MINUTEMAN PRESS OF RANCHO CUCAMONGA 1,072.68 3/23/2023 10012308 RK VENTURE LLC 5,137.50 3/23/2023 10012309 TYLER TECHNOLOGIES, INC 440.00 3/23/2023 10012310 U.S. BANK OPERATIONS CENTER 481,810.75 3/23/2023 10012311 VERIZON WIRELESS 7,124.65 3/23/2023 10012313 VULCAN MATERIALS CO/ CALMAT CO 6,492.76 3/30/2023 10012314 AMAZON CAPITAL SERVICES, INC 609.16 3/30/2023 10012315 BARRY'S SECURITY SERVICES, INC 9,175.96 3/30/2023 10012316 CALIFORNIA TOOL & WELDING SUPPLY 240.28 3/30/2023 10012317 CLARK PEST CONTROL 129.00 3/30/2023 10012318 CLINICAL LAB OF S B 4,435.50 3/30/2023 10012319 DANGELO CO INC 5,763.42 3/30/2023 10012320 EVWD EMPLOYEES EVENTS ASSOC 268.50 3/30/2023 10012321 FERGUSON ENTERPRISES, INC.3,409.36 PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 7 of 8 PAYMENT DATE NUMBER VENDOR NAME AMOUNT 3/30/2023 10012322 FMB TRUCK OUTFITTERS, INC 1,268.90 3/30/2023 10012323 GENESIS INDUSTRIAL SUPPLY, INC 3,156.12 3/30/2023 10012324 HAAKER EQUIPMENT COMPANY & TOTAL CLEAN 1,021.47 3/30/2023 10012325 JONATHAN FLORES 1,081.53 3/30/2023 10012326 LANDS END INC 319.82 3/30/2023 10012327 LINCOLN NATIONAL LIFE INS CO.2,410.83 3/30/2023 10012328 MANAGED MOBILE, INC.1,119.91 3/30/2023 10012329 MCMASTER-CARR 52.50 3/30/2023 10012330 MINUTEMAN PRESS OF RANCHO CUCAMONGA 16,750.27 3/30/2023 10012331 NATIONAL CONSTRUCTION RENTALS 178.49 3/30/2023 10012332 PATTON'S SALES CORP 236.14 3/30/2023 10012333 PLUS 1 PERFORMANCE 616.92 3/30/2023 10012334 QUADIENT, INC 349.59 3/30/2023 10012335 QUINN COMPANY 1,460.02 3/30/2023 10012336 SCN, SECURITY COMMUNICATION NETWORK, INC 105.00 3/30/2023 10012337 STAPLES BUSINESS ADVANTAGE 297.23 3/30/2023 10012338 STUBBIES PROMOTIONS INC 12,016.50 3/30/2023 10012339 THE GRANT FARM (MOMENTUM)7,636.00 3/30/2023 10012340 TYLER TECHNOLOGIES, INC 1,040.00 3/30/2023 10012341 USA BLUE BOOK, HD SUPPLY FACILITIES MAINT, LTD 273.01 3/30/2023 10012342 VULCAN MATERIALS CO/ CALMAT CO 771.70 3/30/2023 10012343 WHITE CAP LP 1,224.09 TOTAL 6,974,177.22$ PAYMENT REGISTER MARCH 1, 2023 - MARCH 31, 2023 Page 8 of 8 Agenda Item #2e April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #2e Consent Item 7 6 8 Regular Board Meeting TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Easement Quitclaims for Abandoned Water Infrastructure on Private Property RECOMMENDATION That the Board of Directors authorize the execution and recordation of easement quitclaims for abandoned water infrastructure on private property in the City of Highland between 3rd, Central, 5th, and Palm. BACKGROUND / ANALYSIS A developer, CHIPT Highland 210, LP, recently acquired approximately 37 parcels of land between 3rd Street, Central Avenue, 5th Street, and Palm Avenue in the City of Highland. Their proposed development will merge said parcels into three separate parcels. Two of the parcels are planned for industrial warehouses and one is planned for a trucking logistics parking lot. A mutual water company previously provided water service to the parcels in question with a well and associated pipelines. When the well failed, the mutual water company was annexed by the East San Bernardino County Water District, which was later renamed to East Valley Water District (District). Consequently, the associated homes and businesses became customers of the District. The water mains and services have been abandoned to accommodate the re-development of the property to warehouses and truck parking, with only the land rights of the corresponding easements remaining. In an effort to clean the title of the land while merging the parcels, the Developer requested the District to quitclaim the easements. The Developer’s engineering firm and District staff worked together to review the documents affected. Each document was plotted on a map, reviewed for accuracy, and a quitclaim deed prepared for execution. Upon Board authorization, the General Manager will execute each document and staff will coordinate the recordation of each document, archive the information internally, and send copies to the Developer for their records. AGENCY GOALS AND OBJECTIVES IV - Promote Planning, Maintenance and Preservation of District Resources Agenda Item #{{section.number}}{{item.number}} April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #{{section.number}}{{item.number}} Consent Item 7 6 8 C. Dedicate Efforts Toward System Maintenance and Modernization REVIEW BY OTHERS This agenda item has been reviewed by Engineering and Legal Counsel. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Jeff Noelte Director of Engineering and Operations ATTACHMENTS Vicinity Easement Map Easement Exhibit Agenda Item #3a April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #3a Informational Item 7 6 4 Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Review Fraud Prevention and Detection Policy 7.5 RECOMMENDATION This agenda item is for informational purposes only, no action required. BACKGROUND / ANALYSIS Adopting sound fiscal policies is a prudent objective in the District’s endeavor to demonstrate stewardship and accountability over resources entrusted to the District’s management and staff by District ratepayers. Some policies establish guidelines for staff, while others require diligence by all members of the District, including the Board. The Fraud Prevention and Detection Policy (Policy) is an example of a policy requiring diligence by all members of the District. The purpose of this policy is to communicate the District’s intent to deter and investigate all suspected fraudulent conduct and dishonesty by employees and others. This policy sets forth specific guidelines and responsibilities regarding appropriate actions that must be followed for the investigation of fraudulent conduct and other similar irregularities. The need for District-wide consciousness about the possibility of fraud occurring is very important, and each year the District’s independent auditors are required to ask questions about how the importance of Fraud Prevention is communicated at the District. Presentation of the Policy at this meeting is part of that communication effort. No changes to the Policy are recommended and is presented for informational and discussion purposes only. AGENCY GOALS AND OBJECTIVES II - Maintain a Commitment To Sustainability, Transparency, and Accountability A. Practice Transparent and Accountable Fiscal Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. Agenda Item #3a April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #3a Informational Item 7 6 4 FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS Fraud Prevention and Detection Policy 7.5 EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Fraud Prevention and Detection Policy Approval Date: September 25, 2013 Policy No: 7.5 Page 1 of 6 East Valley Water District (District) is committed to protecting its revenue, property, information, and other assets from any attempt, either by members of the public, contractors, vendors, agents, or its own employees, to gain by fraudulent conduct, financial or other benefits at the expense of District customers. District officials and employees must, at all time, comply with all applicable laws and regulations. The District shall not condone the activities of officials or employees who achieve results through the violation of the law or unethical business dealings. The District does not permit an activity that fails to stand the closest possible public scrutiny. Purpose The purpose of this policy is to communicate the District’s intent to deter and investigate all suspected fraudulent conduct and dishonesty by employees and others. This policy sets out specific guidelines and responsibilities regarding appropriate actions that must be followed for the investigation of fraudulent conduct and other similar irregularities. Definitions A. Fraud – The intentional false representation or concealment of material fact for the purpose of personal gain for oneself or others; or inducing another to act similarly. Fraud and other similar irregularities include, but are not limited to: 1. Claim for reimbursement of expenses that are not job-related or authorized by current Policy. 2. Forgery or unauthorized alteration of documents (checks, promissory notes, time sheets, independent contractor agreements, purchase orders, etc.). 3. The taking or other forms of misappropriation, of District assets (cash, checks, securities, supplies, furniture, equipment, etc.) to include the temporary removal or “borrowing” of District assets. 4. Improprieties in handling or reporting of money transactions. 5. Authorizing or receiving payment for goods not received or services not performed. 6. Computer-related activity involving unauthorized alteration, destruction, forgery, or manipulation of data. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Fraud Prevention and Detection Policy Approval Date: September 25, 2013 Policy No: 7.5 Page 2 of 6 7. Misrepresentation of information on documents. 8. Any apparent violation of Federal, State, or Local laws related to dishonest activities or fraud. 9. Seeking or accepting anything of material value from those doing business with the district including vendors, consultants, contractors, lessees, and/or applicants. B. Employee – In this context, employee refers to any individual or group of individuals who receive compensation, either full or part-time, from the District. The term also includes any volunteer who provides services to the District through an official arrangement with the District. C. Management – In this context, management refers to any administrator, manager, director, supervisor, or other individual who manages or supervises employees or volunteers of the District. D. Investigator – The District’s General Manager or his designee shall be the investigator for all allegations of Fraud or other wrongdoing unless the General Manager is the subject of the investigation. In that case, the President of the Board of Directors shall assign an alternative investigator. E. External Auditor – In this context, external auditor refers to independent audit professionals who perform annual audits of the District’s financial statements. Policy All elected officials, appointed committee/board members and employees of the District, as well as any individual or entity doing business with the District are prohibited from engaging in fraudulent conduct in the course of their employment, duties, or business relations with the District. It is the Policy of the District to identify and promptly investigate any possibility of fraudulent or related dishonest activities against the District and, when appropriate, to pursue legal remedies available under the law. This Policy applies to any irregularity or suspected irregularity, involving employees, consultants, vendors, contractors, outside agencies, and/or any other parties with a business relationship with the District. Any investigative activity required will be conducted in an objective and impartial manner without regard to the suspected wrongdoer’s length of service, position, title, or EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Fraud Prevention and Detection Policy Approval Date: September 25, 2013 Policy No: 7.5 Page 3 of 6 relationship to the District. All employees are responsible for the reporting and prevention of fraud, misappropriations, and other irregularities. Management is responsible for instituting and maintaining a system of internal control to provide reasonable assurance for the prevention and detection of fraud, misappropriations, and other irregularities. Management should be familiar with the types of improprieties that might occur within their area of responsibility and be alert for any indications of such conduct. Employees will be granted whistle-blower protection when acting in accordance with the reporting provisions of this Policy. When informed of a suspected impropriety, neither the District nor any person acting on behalf of the District shall for retaliatory reasons do any of the following: • Dismiss or threaten to dismiss the reporting employee. • Discipline, suspend, or threaten to discipline or suspend the reporting employee. • Impose any penalty upon the reporting employee. • Intimidate or coerce the reporting employee. Violations of the whistle-blower protection will result in discipline up to and including dismissal. Nothing herein shall prevent the District from otherwise taking non-retaliatory disciplinary action under the Personnel Policies or an applicable Memorandum of Understanding. The General Manager, following his or her review of the investigation results, will take appropriate action regarding employee misconduct. Disciplinary action shall be imposed in accordance with the District’s Personnel Manual and/or Memorandums of Understanding and can include disciplinary action as severe as termination. Further, the case may be referred to an appropriate Law Enforcement Agency for possible arrest and prosecution. Procedures A. Management and Non-Management Responsibilities 1. Management is responsible for being alert to, and reporting fraudulent or related dishonest activities. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Fraud Prevention and Detection Policy Approval Date: September 25, 2013 Policy No: 7.5 Page 4 of 6 2. Non-management employees are responsible to report fraudulent or related dishonest activities. 3. When an improper activity is detected or suspected, management should determine whether an error or mistake has occurred or if there may be dishonest or fraudulent activity. 4. If any employee of the District is, or becomes, aware of any activity that may involve fraud or other dishonest activities, they are to contact the General Manager immediately unless the General Manager is alleged to have involvement in the alleged misconduct. If the alleged misconduct is said to involve the General Manager, the Employee is to immediately notify the President of the Board of Directors. 5. Management should not attempt to conduct individual investigations, interviews, or interrogations. However, management is responsible for taking appropriate corrective actions to ensure adequate controls exist to prevent reoccurrence of improper actions. 6. All employees shall cooperate fully with the investigator, other involved departments, and law enforcement agencies in the detection, reporting, and investigation of criminal acts, including the prosecution of offenders. 7. In dealing with suspected dishonest or fraudulent activities, great care must be taken. Therefore all employees should avoid the following: a. Incorrect accusations. b. Alerting suspected individuals that an investigation is underway. c. Treating employees unfairly. d. Making statements that could lead to claims of false accusations or other offenses. 8. In handling dishonest or fraudulent activities, all employees have the responsibility to: a. Make no contact (unless requested) with the suspected individual to determine facts or demand restitution. Under no circumstances should there be a reference to “what you did”, “the crime”, “the fraud”, “the misappropriation” etc. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Fraud Prevention and Detection Policy Approval Date: September 25, 2013 Policy No: 7.5 Page 5 of 6 b. Avoid discussing the case, facts, suspicions, or allegations with anyone outside the District, unless specifically directed to do so by the General Manager or District’s Legal Counsel. (Employees do have the right to consult with an attorney and/or their union representative). c. Avoid discussing the case, facts, suspicions, or allegations with anyone other than employees who have a need to know. d. Direct all inquiries from the suspected individual, or his or her representative, to the Investigator. All inquiries from the media should also be directed to the Investigator. B. Investigator Responsibilities 1. The Investigator has the primary responsibility for the investigation of all activity as defined in this Policy. 2. Upon receiving an allegation of Fraud or other irregularities, the Investigator will promptly conduct a thorough investigation. 3. Employees must cooperate with the Investigator. Refusal, or the conveyance of inaccuracies, may subject an employee to disciplinary action up to and including dismissal. 4. The Investigator shall be available and receptive to receiving relevant, confidential information to the extent allowed by law. 5. If evidence is uncovered showing possible dishonest or fraudulent activities, the General Manager will proceed as follows. a. Take immediate action, in consultation with the District’s Legal Counsel, to prevent the theft, alteration, or destruction of evidentiary records. Such action may include, but is not limited to: • Removing the records and placing them in a secure location, or limiting access to the records. • Preventing the individual suspected of committing the fraud from having access to the records. EAST VALLEY WATER DISTRICT Administrative Policies & Programs Policy Title: Fraud Prevention and Detection Policy Approval Date: September 25, 2013 Policy No: 7.5 Page 6 of 6 b. Take immediate action to improve internal control. Such action shall result in the General Manager having reasonable comfort that the changes in procedures will prevent similar future occurrences. c. Take immediate action, in consultation with the District’s Legal Counsel to notify the appropriate Law Enforcement Agency (if appropriate) and to take further steps to recover any financial loss incurred by the District. 6. Unless exceptional circumstances exist, a person under investigation for fraud is to be given notice in writing of the essential particulars of the allegations following the conclusions of the investigation. Where notice is given, the person against whom allegations are being made may submit a written explanation to the Investigator no later than seven calendar days after notice is received. 7. Upon conclusion of the investigation, the results will be reported to the President of the Board of Directors. Agenda Item #3b April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Review FY 2023-24 Revenue Projections RECOMMENDATION This agenda item is for informational purposes only, no action required. BACKGROUND / ANALYSIS During the regular Board Meeting held on April 12, 2023, Program Managers presented to the Board of Directors (Board) their proposed program goals and objectives for fiscal year (FY) 2023-24. Staff is now working to determine the funding needed to achieve those goals and objectives. The final proposed spending plan will be presented as the proposed budget on June 14, 2023. Before completing an operational spending plan, staff needed to project the amount of revenue and other funding sources that will be available to meet program commitments. Therefore, the purpose of this presentation is to review revenue projections for the upcoming FY beginning with the rates that support them. Rates included in these revenue projections were adopted by the District in 2021, and the final adjustment to those adopted rates become effective in January 2024. Other factors included in these projections are customer data and historical consumption data. WATER FUND REVENUE PROJECTIONS The District will provide water services through approximately 21,515 connected accounts in FY 2023-24, with an additional 265 commercial fire service connections for emergency fire suppression needs. The Water and Wastewater Rate Study utilized several assumptions to develop revenue requirements based on the cost-of-services. The cost-of-service includes assumptions on future cost of operations, debt obligations, capital, and reserve funding. Water revenue is collected using the combination of a fixed monthly charge and a three-tiered set of volumetric rates. The fixed monthly charge, referred to as the Meter or System Charge, is assessed to each customer based on the size of the meter serving the customer’s property. Meter Charge revenue is fairly simple to project as it involves multiplying the number of Agenda Item #3b April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 meters of each size, by the rates in effect. Revenue collected with the volumetric tiered rates is referred to as Water Sales. Projections for water sales are a little more complex as they include estimating customer consumption, or demand, and how that demand will be broken down between customer classes, and by the three rate tiers. Below are the projections of water revenue for FY 2023-24. Water Sales demand is estimated at 7,121,000 hundred cubic feet of water (HCF = 748 gallons) for FY 2023-24. HCF is the measure of water used to develop rates and bill customers, and is therefore used to develop revenue projections. A rate adjustment is scheduled to take effect on January 1, 2024. Once customer demand was established for the fiscal year, it had to be allocated to the six-month period before and after January 1, before rates could be applied. The table below shows the rates in effect during FY 2023-24, and estimated customer demand allocated by rate tier and by the first and second halves of the fiscal year: Table 1 Tier Rat e Demand (HCF)Rat e Demand (HCF) Tier 1 2.04$ 1,874,000 2.11$ 1,797,000 Tier 2 2.62 1,589,000 2.70 753,000 Tier 3 4.05 729,000 4.18 379,000 Tot al 4,192,000 2,929,000 Tot al Est imat ed Demand For FY 2023-24 7,121,000 Jul - Dec 2023 Jan - Jun 2024 The results of multiplying the rates by the demand in the table above, results in total projected sales for FY 2023-24 of $18,345,000. The table below gives the estimated allocation of total sales between customer classes and rate tiers. Table 2 Cust omer Class Tier 1 Tier 2 Tier 3 A mount S ingle Family 4,488,000$ 3,833,000$ 2,136,000$ 10,457,000$ Multi-Family 2,063,000 1,024,000 950,000 4,037,000 Commercial 1,063,000 109,000 387,000 1,559,000 Irrigation/Construction -1,230,000 1,062,000 2,292,000 Tot al 7,614,000$ 6,196,000$ 4,535,000$ 18,345,000$ Meter Charge revenue for FY 2023-24 is projected to be $9,996,000. A rate adjustment is also scheduled to take effect for these charges on January 1, 2024. Revenue projections were calculated for two 6-month periods, and then combined. The Agenda Item #3b April 26, 20233 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 table below provides the meter charge revenue by meter size and rates for each period. Table 3 Size Count Rat e A mount Rate A mount A mount 5/8"3,373 24.74$ 500,500$ 25.49$ 515,500$ 1,016,000$ 3/4"13,237 31.78 2,524,000 32.74 2,600,000 5,124,000 1"4,212 45.86 1,159,000 47.24 1,194,000 2,353,000 1 1/2"268 81.06 130,500 83.50 134,500 265,000 2"303 123.30 224,000 127.00 231,000 455,000 3"77 235.93 109,000 243.01 112,000 221,000 4"22 362.64 47,500 373.52 49,500 97,000 6"17 714.61 73,000 736.05 75,000 148,000 8"6 1,981.70 71,500 2,041.16 73,500 145,000 Comm Fire 265 Various 86,000 Various 86,000 172,000 Tot al 21,780 4,925,000$5,071,000$9,996,000$ Met er Jul - Dec 2023 Jan - June 2024 WASTEWATER FUND REVENUE PROJECTIONS The District provides wastewater collection services to District customers through approximately 20,400 connections, and will begin treating all wastewater flows collected through those connections when construction of the Sterling Natural Resource Center is complete in the fall of 2023. Currently, the City of San Bernardino Municipal Water Department (City) treats wastewater generated by District customers. For FY 2023-24 the District will bill its customers both system charges and treatment charges that were adopted by the District at the May 2021 public hearing. Although the SNRC will not be fully operational until the fall of 2023, the District’s treatment charges will be used to continue to pay for treatment services provided by the City, until all wastewater flows have been diverted to the SNRC, and will pay for hiring and training plant operators, and other plant startup costs. Like water rates, wastewater rates have a scheduled adjustment effective January 1, 2024, therefore, revenue projection calculations in the following sections have been divided into two six-month periods so that effective rates can be applied to the appropriate period to calculate revenue projections. Wastewater System (Collection) Charges The wastewater system charge is used for managing and maintaining the District’s network of wastewater collection pipelines. System charges have been designed differently for residential customers, versus non-residential customers. Residential customers, both single-family residential (1-3 units), and multi-family Agenda Item #3b April 26, 20234 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 residential (4 or more units) are billed a fixed monthly charge per dwelling unit. Non- residential customers are billed a smaller fixed monthly charge, and a volumetric charge that is billed based on water consumption. The amount of the volumetric rate varies based on the type of business and strength of wastewater the business discharges into the system. There are three strength categories and a separate category for Patton State Hospital. Wastewater system charge projections for FY 2023-24 are explained below. Residential Of the 20,400 sewer connections in the District, 19,780 of them serve residential units. These residential connections are tied to 29,979 dwelling units - 19,325 single-family homes, and 10,654 apartments and mobile homes. The number of dwelling units is the basis for billing residential customers and projecting residential revenue. Projected residential system revenue is calculated by multiplying the number of single- family dwelling units by the single-family rate, and the number of multi-family dwelling units by the multi-family rate. As mentioned above, the fiscal year has been broken into two 6-month periods because of a rate adjustment on January 1st. The table below summarizes the system charges for Residential customers: Table 4 Cust omer Type Unit s Rat e Revenue Rat e Rev enue S ingle-Family 19,325 15.25$ 1,768,000$ 16.32$1,892,000$ Multi-Family 10,654 14.41 921,000 15.42 986,000 2,689,000$ 2,878,000$ Tot al 29,979 5,567,000$ Jul - Dec 2023 Jan - June 2024 Non-Residential 620 commercial and industrial customer connections make up the balance (after residential) of District wastewater connections. Projected revenues are calculated in two stages. The first is a calculation of fixed charges. This was done by multiplying the number of commercial accounts by the District’s monthly flat charge of $11.06 for 6 months between July and December of 2023, followed by a monthly flat charge of $11.84 for the six months between January and June of 2024. The second stage calculates the volumetric component of wastewater system charges. This is achieved by estimating total water usage by commercial customers, in HCF, and multiplying the total usage by the volumetric rates. Again, volumetric rates will be adjusted on January 1, 2024, so consumption was estimated for each category of customer-based on strength, and then allocated between the two six-month periods. As shown in the table below, non-residential billing is expected to make up $401,000 of Agenda Item #3b April 26, 20235 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 projected revenue. Table 5 July t hrough December 2023 Mont hly Usage 6 Mont h Cust omer Ty pe A ccount s Fixed Char ge (HCF)Var iable Rev enue Patton 1 11.06$ 90,000 0.61$ 55,000$ Low S trength 463 11.06 175,000 0.38 97,000$ Med S trength 70 11.06 34,000 0.50 22,000$ High S trength 86 11.06 73,000 0.50 42,000$ Sub-Tot al 216,000$ January t hr ough June 2024 Patton 1 11.84$ 70,000 0.66$ 46,000$ Low S trength 463 11.84 120,000 0.41 82,000$ Med S trength 70 11.84 25,000 0.54 18,500$ High S trength 86 11.84 60,000 0.54 38,500$ Sub-Tot al 185,000$ Tot al Non-Resident ial Sy st em Charges 401,000$ Based on the calculations in the tables above, total projected wastewater system (collection) revenue for FY 2023-24 is $5,968,000. Wastewater Treatment Charges are charges assessed to cover the costs of capturing and recycling wastewater flows generated by District customers. These costs include payments to the City of San Bernardino, start-up and operation of the Sterling Natural Resource Center (SNRC) debt service on the SNRC, and building replacement reserves which will fund future replacement of critical plant components. Wastewater treatment charges were designed exactly like system charges, with single- family and multi-family residential accounts billed a monthly fixed charge per dwelling unit at their prospective rates, and non-residential customers billed a combination of fixed and volumetric charges. Wastewater treatment charge projections for FY 2023-24 are explained below. Residential All 29,979 dwelling units billed the fixed system charge are also billed a fixed treatment charge each month. The residential customer base includes 19,325 single-family homes, and 10,654 apartments and mobile homes. Projected residential system revenue is calculated by multiplying the number of single- family dwelling units by the single-family rate, and the number of multi-family dwelling units by the Residential Wastewater Treatment Fixed charge. Agenda Item #3b April 26, 20236 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 Table 6 Cust omer Type Unit s Rat e Rev enue Rat e Rev enue S ingle-Family 19,325 25.01$ 2,900,000$26.77$3,104,000$ Multi-Family 10,654 22.33 1,427,000 23.90 1,527,000 4,327,000$4,631,000$ Tot al 29,979 8,958,000$ July t hrough December Januar y t hrough June Non-Residential Projected treatment revenue for the 620 commercial and industrial customer connections is calculated in the two stages discussed above. First the calculation of fixed charges which includes multiplying the number of commercial accounts by the District’s monthly flat charge of $11.59 for 6 months between July and December, followed by a monthly flat charge of $12.41 for the six months between January and June of 2024. The second stage calculates the volumetric component of wastewater treatment charges using the same estimates of commercial/industrial water usage as were used for calculating system charges in the previous section. Again, volumetric rates will be adjusted on January 1, 2024, so consumption was estimated for each category of customer based on strength, and then allocated between the two six-month periods. As shown in the table below, non-residential billing is expected to make up $1,321,000 of projected wastewater treatment revenue. Table 7 July t hrough December 2023 Mont hly Usage 6 Mont h Cust omer Type A ccount s Fixed Char ge (HCF)Variable Rev enue Patton 1 11.59$ 90,000 1.92$ 173,000$ Low S trength 463 11.59 175,000 1.03 212,000 Med S trength 70 11.59 34,000 1.64 60,000 High S trength 86 11.59 73,000 3.66 273,000 Sub-Tot al 718,000$ January t hr ough June 2024 Patton 1 12.41$ 70,000 2.06$ 144,000$ Low S trength 463 12.41 120,000 1.11 168,000 Med S trength 70 12.41 25,000 1.76 49,000 High S trength 86 12.41 60,000 3.92 242,000 Sub-Tot al 603,000 Tot al Non-Resident ial Sy st em Charges 1,321,000$ Based on the calculations in the tables above, total projected wastewater treatment revenue for FY 2023-24 is $10,279,000. Agenda Item #3b April 26, 20237 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 NON-RATE REVENUE - SNRC Commencement of operations at the Sterling Natural Resource Center in the fall of 2023 will introduce new revenue streams surrounding the anaerobic digesters and recycled water. As SNRC operations will not ramp up until late in calendar year 2023, the District will not realize the full potential of these other revenues, although staff has attempted to estimate how much of those revenues will likely be realized in the upcoming fiscal year. Explanations of those revenues and projections for FY 2023-24 are presented below. Food Waste Hauler Tipping Fees - To maximize the power generation capacity of the SNRC digesters, wastewater solids will be supplemented by attracting high-grade food waste haulers to unload their trucks at the SNRC. It is anticipated that haulers will pay $0.08 per gallon to unload up to 130,000 gallons daily. Local Resource Investment Program (LRIP) Revenue - An LRIP agreement with the San Bernardino Valley Municipal Water District (SBVMWD) commits SBVMWD to buying all SNRC recycled water for 20 years at a rate of $173 per acre foot. The District expects that at least 6,000 acre feet per year will be sold once the SNRC is fully operational, but the estimated delivery of recycled water for the upcoming year has been reduced by one-third to 4,000 acre-feet for FY 2023-24. Electrical Power Generation - Gases released and burned by the anaerobic digesters will be used to generate electrical power to help offset the cost of supplying the SNRC with power. The District has also installed a two-way electric meter for situations where the digesters are generating surplus power which can be sold to the electric grid at $0.127 per kilowatt hour (kWh). The District does not anticipate any net revenue from the sale of electric power for FY 2023-24. The table below provides a summary of the projected non-rate SNRC revenue for FY 2023-24: Table 8 Revenue Type Unit of Measure Volume FY 2023-24 Fee Per Unit A mount Food Waste Hauler Tipping Fees Gallon 15.40 MG 0.08$ 1,232,000$ LRIP Acre Foot 4,000 AF 173.00 692,000 S B 1122 Energy S ales kWh N/A 0.13 - Tot al 1,924,000$ OTHER CHARGES & OTHER REVENUE SOURCE Other Charges & Other Revenue - include fees related to the collection of delinquent accounts, investment revenue, reimbursements from other agencies, facility Agenda Item #3b April 26, 20238 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 rentals, and other miscellaneous revenue. The total revenue projected for FY 2023-24 is $912,000. Initiation of Service, Delinquent, and NSF Fee revenues are fairly consistent year to year, so projections are all based on FY 2022-23 actual activity. Disconnect Notice charges and Reconnection fees are also based on the number of occurrences in FY 2022-23 multiplied by the District established fee. The District resumed regular delinquency collection efforts by July 2022, so the collection activity should be consistent in FY 2023-24. Investment Income projections have increased over the prior year; as LAIF yields on deposits continue to rise, the District should be in a position to maintain a consistent balance on deposits with LAIF and other investment vehicles once the SNRC construction is completed. Facility Rental fees and Other Miscellaneous Revenue were estimated at $20,000 each to reflect activity during the current year. Table 9 Ot her Income Wat er Wast ewat er Wat er Reclamat ion A mount Miscellaneous Revenue 20,000$ -$ -$ 20,000$ Facility Rental Fee --20,000 20,000 Returned Payment Fee 6,000 --6,000 Disconn./Reconn. Fee 72,000 --72,000 Disconn. Notice Char ge 252,000 --252,000 Delinquent Fee 120,000 60,000 -180,000 Initiation of S ervice Fee 42,000 --42,000 Interest Revenue 200,000 20,000 100,000 320,000 Tot al 712,000$ 80,000$ 120,000$ 912,000$ Total Financial Resources - available for FY 2023-24 include $46,050,000 in operating revenue and other income outlined above, plus approximately $15,000,000 from the State Revolving Fund and contributions from other agencies to complete construction of the Sterling Natural Resource Center, the recycled water pipeline, and the Weaver recharge basins. Table 10 Revenue Wat er Wast ewat er Wat er Reclamat ion Tot al Water S ales 18,345,000$ -$ -$ 18,345,000$ S ystem Charges 9,996,000 5,968,000 -15,964,000 Wastewater T reatment --10,279,000 10,279,000 Non-Rate Revenue (S NRC)--1,924,000 1,924,000 Other Income 712,000 80,000 120,000 912,000 Tot al 29,053,000$6,048,000$ 12,323,000$ 47,424,000$ During the next budget workshop that will be held on June 14, 2023, staff will present a spending plan to utilize these financial resources, entrusted to the District by our stakeholders, in an effective and fiscally responsible manner. Agenda Item #3b April 26, 20239 Meeting Date: April 26, 2023 Agenda Item #3b Informational Item 7 6 6 AGENCY GOALS AND OBJECTIVES II - Maintain a Commitment To Sustainability, Transparency, and Accountability A. Practice Transparent and Accountable Fiscal Management REVIEW BY OTHERS This agenda item has been reviewed by the Finance Department. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ Brian Tompkins Chief Financial Officer ATTACHMENTS Presentation FY 2023-24 REVENUE PROJECTIONS Brian Tompkins, Chief Financial Officer April 26, 2023 FY 2022-23 REVENUE •Water Sales •Budget projections of 7,121,000 HCF for $17,700,000 did not change at mid-year •Water System (Meter) Charges •$9,670,000 on Customer Connections •$115,000 on Temporary Connections •Wastewater System (Collection) Charges •$5,203,000 on Residential Accounts (Budget $5,199,000) •$432,000 on Commercial Accounts (Budget $422,000) •Wastewater Treatment Charges •$8,349,000 on Residential Accounts (Budget $8,331,000) •$1,606,000 on Commercial Accounts (Budget $1,520,000) 2 3 EVALUATING RESULTS –WATER REVENUE $9,217,003 $9,192,297 $9,785,000 $6,938,109 $6,834,376 $7,403,000 $7,504,741 $6,868,458 $5,991,000 $4,862,781 $4,770,042 $4,306,000 $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 FY 2020-21 FY 2021-22 FY 2022-23 Meter Charges Tier 1 Tier 2 Tier 3 $19,305,631 $18,472,876 $17,700,000 $28.5 Million $27.7 Million $27.5 Million 4 EVALUATING RESULTS –WATER SALES $11,556,373 $10,602,257 $10,225,000 $3,852,464 $3,737,703 $3,912,000 $1,355,133 $1,835,637 $1,404,000 $2,541,661 $2,297,279 $2,159,000 $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 FY 2020-21 FY 2021-22 FY 2022-23 Single Family Multi Family $19.30 Million $18.47 Million $17.70 Million 5 EVALUATING RESULTS –WASTEWATER REVENUE $4,705,683 $4,828,526 $5,635,000 $8,456,508 $9,764,357 $9,955,000 $0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 $16,000,000 $18,000,000 FY 2020-21 FY 2021-22 FY 2022-23 System Charge Treatment Charge $13.1 Million $14.6 Million $15.6 Million REVENUE PROJECTIONS 6 7 WATER USAGE BY MONTH - 200,000 400,000 600,000 800,000 1,000,000 1,200,000 July Aug Sept Oct Nov Dec Jan Feb March Apr May June Hu n d r e d C u b i c F e e t ( H C F ) 2019-20 2020-21 2021-22 2022-23 2023-24 Projected Usage for FY 2023-24 7,121,000 HCF or 5,327 MG WATER RATES RATE TYPE CURRENT RATES PHASE 3 ADJUSTMENTS Tier 1 $ 2.04 $ 2.11 Tier 2 2.62 2.70 Tier 3 4.05 4.18 8 Phase 3 Rates Effective January 2024 9 FY 2023-24 WATER SALES PROJECTION Single-Family $10,457,000 Multi-Family $4,037,000 Commercial $1,559,000 Irrigation $2,292,000 TOTAL -$18,345,000 Single-Family Multi-Family Commercial Irrigation RATE TYPE TIER 1 TIER 2 TIER 3 Single-Fam. Residential $ 4,488,000 $ 3,833,000 $ 2,136,000 Multi-Fam. Residential 2,063,000 1,024,000 950,000 Commercial 1,063,000 109,000 387,000 Irrigation/Construction 0 1,230,000 1,062,000 TOTAL $ 7,614,000 $ 6,196,000 $ 4,535,000 $8,113,000 $629,000 $673,000 $368,000 $40,000 $173,000 TOTAL -$9,996,000 Single-Family Multi-Family Commercial Irrigation Construction Fire Svcs METER SIZE COUNT CURRENT RATE EFFECTIVE JAN 2024 RATE 5/8”3,373 $ 24.74 $ 25.49 3/4”13,237 31.78 32.74 1”4,212 45.86 47.24 1 1/2”268 81.06 83.50 2”303 123.30 127.00 3”77 235.93 243.01 4”22 362.64 373.52 6”17 714.61 736.05 8”6 1,981.70 2,041.16 Commercial Fire Services 265 Various Various 10 FY 2023-24 METER CHARGES FY 2023-24 PROJECTED WATER REVENUE $9,685,000 $9,785,000 $9,996,000 $18,392,000 $17,700,000 $18,345,000 $0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 $16,000,000 $18,000,000 $20,000,000 FY 2022-23 Budget FY 2022-23 Projected FY 2023-24 Proposed Meter Water Sales 11 $28.1 Million $27.5 Million $28.3 Million CUSTOMER TYPE DWELLING UNITS / ACCTS MONTHLY FIXED CHARGE ESTIMATED USAGE (HCF) CHARGE (HCF) REVENUE 6 MONTHS Single-Family Residential 19,325 $ 15.25 N/A N/A $ 1,768,000 Multi-Family Residential 10,654 14.41 N/A N/A 921,000 Commercial -Low Strength 463 11.06 175,000 $ 0.38 97,000 Commercial -Med Strength 70 11.06 34,000 0.50 22,000 Commercial -High Strength 86 11.06 73,000 0.50 42,000 Commercial -Patton 1 11.06 90,000 0.61 55,000 WASTEWATER SYSTEM CHARGES -JULY TO DECEMBER $ 2,905,000 12 WASTEWATER SYSTEM CHARGES: JULY TO DECEMBER 2023 CUSTOMER TYPE DWELLING UNITS / ACCTS MONTHLY FIXED CHARGE ESTIMATED USAGE (HCF) CHARGE (HCF) REVENUE 6 MONTHS Single-Family Residential 19,325 $ 16.32 N/A N/A $ 1,892,000 Multi-Family Residential 10,654 15.42 N/A N/A 986,000 Commercial -Low Strength 463 11.84 166,000 $ 0.41 82,000 Commercial -Med Strength 70 11.84 35,000 0.54 18,500 Commercial -High Strength 86 11.84 88,000 0.54 38,500 Commercial -Patton 1 11.84 75,000 0.66 46,000 WASTEWATER SYSTEM CHARGES -JANUARY TO JUNE $ 3,063,000 PREVIOUS PAGE -JULY TO DECEMBER $ 2,905,000 TOTAL PROJECTED SYSTEM CHARGES $ 5,968,000 13 WASTEWATER SYSTEM CHARGES: JANUARY TO JUNE 2024 14 WASTEWATER TREATMENT CHARGES: JULY TO DECEMBER 2023 CUSTOMER TYPE DWELLING UNITS / ACCTS MONTHLY FIXED CHARGE ESTIMATED USAGE (HCF) CHARGE (HCF) REVENUE 6 MONTHS Single-Family Residential 19,325 $ 25.01 N/A N/A $ 2,900,000 Multi-Family Residential 10,654 22.33 N/A N/A 1,427,000 Commercial -Low Strength 463 11.59 175,000 $ 1.03 212,000 Commercial -Med Strength 70 11.59 34,000 1.64 60,000 Commercial -High Strength 86 11.59 73,000 3.66 273,000 Commercial -Patton 1 11.59 90,000 1.92 173,000 WASTEWATER TREATMENT CHARGES -JULY TO DECEMBER $5,045,000 15 WASTEWATER TREATMENT CHARGES: JANUARY TO JUNE 2024 CUSTOMER TYPE DWELLING UNITS / ACCTS MONTHLY FIXED CHARGE ESTIMATED USAGE (HCF) CHARGE (HCF) REVENUE 6 MONTHS Single-Family Residential 19,325 $ 26.77 N/A N/A $ 3,104,000 Multi-Family Residential 10,654 23.90 N/A N/A 1,527,000 Commercial -Low Strength 463 12.41 120,000 $ 1.11 168,000 Commercial -Med Strength 70 12.41 25,000 1.76 49,000 Commercial -High Strength 86 12.41 60,000 3.92 242,000 Commercial -Patton 1 12.41 70,000 2.06 144,000 WASTEWATER TREATMENT CHARGES -JANUARY TO JUNE $5,234,000 FROM PREVIOUS PAGE -JULY TO DECEMBER $5,045,000 TOTAL PROJECTED TREATMENT CHARGES $10,279,000 16 SNRC NON-RATE REVENUE REVENUE ESTIMATED RATE ESTIMATED VOLUME 2022-23 REVENUE Food Waste Hauler Tipping Fees $0.08 / Gallon 15.40 MG $ 1,232,000 Local Resource Investment Program (LRIP)$173 / Acre Foot 4,000 AF 692,000 SB 1122 Energy Sales $0.13 / kWH N/A 0 TOTAL SNRC NON-RATE REVENUE $ 1,924,000 17 FY 2023-24 WASTEWATER REVENUE Collection Charges $5,968,000 Wastewater Treatment Charges -SNRC $10,279,000 Other Revenue -SNRC $1,924,000 Total Wastewater Revenue $18,171,000 Treatment -57% Collections -33% Other SNRC -10% (Will Climb Higher in Future Years) 18 FY 2023-24 OTHER CHARGES & REVENUE $20,000 $20,000 $6,000 $72,000 $252,000 $180,000 $42,000 $320,000 $- $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000 Miscellaneous Revenue Facility Rental Fee Returned Payment Fee Service Reconnect Charge Disconnection Notice Charge Delinquent Charge Service Initiation Charge Interest Revenue TOTAL PROJECTED REVENUE -$912,000 $8,496,012 $8,456,508 $8,977,000 $9,851,000 $10,279,000 $4,647,347 $4,705,683 $4,837,000 $5,621,000 $5,968,000 $1,924,000 $25,925,637 $28,522,634 $28,105,000 $27,385,000 $28,341,000 $743,916 $551,989 $474,500 $681,000 $912,000 $0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000 $40,000,000 $45,000,000 $50,000,000 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23 FY 2023-24 Wastewater Treatment Charges Wastewater System Charges SNRC…Water Revenue Other 19 FY 2023-24 TOTAL PROJECTED REVENUE $39.8 Million $42.2 Million $42.4 Million $46.1 Million $47.4 Million 20 FY 2023-24 OPERATING BUDGET SUMMARY WATER WASTEWATER COLLECTION WATER RECLAMATION Sales & Services $ 28,341,000 $ 5,968,000 $ 10,279,000 SNRC Non-Rate Revenue 0 0 1,924,000 Other Charges 492,000 60,000 Investment & Miscellaneous Revenue 220,000 20,000 120,000 TOTAL REVENUE $ 29,053,000 $ 6,048,000 $ 12,323,000 Operations TBD TBD TBD Debt Service 3,109,000 273,000 700,000 Capital Expenditures TBD TBD TBD Reserve Contribution TBD TBD TBD TOTAL EXPENDITURES $ 29,053,000 $ 6,048,000 $ 12,323,000 DISCUSSION Agenda Item #4a April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #4a Public Hearing 7 7 1 Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Consider Adoption of Resolution 2023.07 – Moving from Stage 2 to Stage 1 of the Water Shortage Contingency Plan in Ordinance 403 Section 15, Public Hearing RECOMMENDATION That the Board of Directors consider approval of Resolution 2023.07 to move to Stage 1 of the Water Shortage Contingency Plan (WSCP) as written in Ordinance 403 and authorize the General Manager/CEO to follow demand reduction actions outlined in Stage 1. BACKGROUND / ANALYSIS California has experienced a wet and rainy winter season, which has brought much- needed relief to the state's drought conditions. After years of below-average rainfall, a series of atmospheric rivers have replenished reservoirs, surface water supplies and the state’s snowpack. In response to the changes in drought conditions, the Governor issued an executive order on March 24, 2023, lifting the statewide emergency water conservation directives. The order preserves the commitment to make conservation a California way of life, while ending the 15% voluntary water conservation target and the requirement to mandate water districts implement stage 2 of their Water Shortage Contingency Plan. East Valley Water District (the District) is not currently facing a water shortage, allowing the District to follow the Governor’s executive order and move into Stage 1. Moving from Stage 2 will remove the requirements for customers to repair leaks within 72 hours of notification from the District as well as the expanded public information campaign; all while preserving the permanent conservation measures. The District will maintain the approach of working together with the community on water efficiency efforts through communicating regulatory requirements and sharing free resources to assist customer efforts to use water efficiently. AGENCY GOALS AND OBJECTIVES I - Implement Effective Solutions Through Visionary Leadership A. Identify Opportunities to Optimize Natural Resources Agenda Item #4a April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #4a Public Hearing 7 7 1 REVIEW BY OTHERS This agenda item has been reviewed by Public Affairs and Legal Counsel. FISCAL IMPACT There is no fiscal impact associated with this agenda item. Recommended by: ________________ Michael Moore General Manager/CEO Respectfully submitted: ________________ William Ringland Conservation/Public Affairs Manager ATTACHMENTS Resolution Water Shortage Contingency Plan East Valley Water District Water Shortage Contingency Plan JULY 2022 East Valley Water District East Valley Water District ii Water Shortage Contingency Plan EAST VALLEY WATER DISTRICT Water Shortage Contingency Plan East Valley Water District JULY 2022 Prepared by Water Systems Consulting, Inc. East Valley Water District i Water Shortage Contingency Plan TABLE OF CONTENTS List of Figures ..................................................................................................................................................... ii List of Tables ..................................................................................................................................................... iii Acronyms & Abbreviations ............................................................................................................................. iv 1. East Valley Water District .......................................................................................................................... 1 1.0 Water Service Reliability Analysis ................................................................................................. 3 2.0 Annual Water Supply and Demand Assessment .......................................................................... 3 3.0 Water Shortage Stages ................................................................................................................... 6 4.0 Shortage Response Actions ................................................................................................................. 9 4.1 Demand Reduction ..................................................................................................................... 9 4.2 Permanent Water Conservation Measures ........................................................................ 10 4.3 Supply Augmentation ............................................................................................................. 19 4.4 Operational Changes and Additional Mandatory Restrictions ..................................... 19 4.5 Emergency Response Plan ..................................................................................................... 19 4.6 Seismic Risk Assessment and Mitigation Plan ..................................................................... 20 4.7 Shortage Response Action Effectiveness ............................................................................ 20 5.0 Communication Protocols................................................................................................................ 20 6.0 Compliance and Enforcement ....................................................................................................... 20 7.0 Legal Authorities .............................................................................................................................. 22 7.1 Water Shortage Emergency Declaration .......................................................................... 22 7.2 Local/Regional Emergency Declaration ............................................................................. 22 8.0 Financial Consequences of WSCP................................................................................................ 22 9.0 Monitoring and Reporting ............................................................................................................. 23 10.0 WSCP Refinement Procedures ...................................................................................................... 23 11.0 Plan Adoption, Submittal and Availability ................................................................................. 23 References ....................................................................................................................................................... 24 Attachment 1: East Valley Water District Regulations and Service Ordinance 403 ......................... 25 Attachment 2: Adoption Resolution ............................................................................................................. 25 East Valley Water District Table of Contents East Valley Water District ii Water Shortage Contingency Plan LIST OF FIGURES Figure 1. Regional and Retail Agency Annual Assessment Process and Timeline .................................. 6 East Valley Water District Table of Contents East Valley Water District iii Water Shortage Contingency Plan LIST OF T ABLES Table 1. Annual Assessment Procedure ......................................................................................................... 4 Table 2. DWR 8-1 Water Shortage Contingency Plan Stages ............................................................... 9 Table 3. DWR 8-2 Demand Reduction Actions ......................................................................................... 12 Table 4. DWR 8-3R Supply Augmentation & Other Actions ................................................................. 19 East Valley Water District Table of Contents East Valley Water District iv Water Shortage Contingency Plan A CRONYMS & ABBREVIATIONS AWIA American Water Infrastructure Association BTAC Basin Technical Advisory Committee CWC California Water Code CII Commercial, Industrial, and Institutional DWR California Department of Water Resources DRA Drought Risk Assessment ERP Emergency Response Plan EVWD/ District East Valley Water District GW Groundwater IRUWMP Integrated Regional Urban Water Management Plan LHMP Local Hazard Mitigation Plan RRA Risk and Resilience Assessment SBB San Bernardino Basin SWP State Water Project UWWP Urban Water Management Plan WSCP Water Shortage Contingency Plan East Valley Water District 1 Water Shortage Contingency Plan WATER SHORTAGE CONTINGENCY PLAN East Valley Water District This Water Shortage Contingency Plan is a strategic plan that East Valley Water District uses to prepare for and respond to water shortages. The Water Shortage Contingency Plan (WSCP) is a strategic plan that East Valley Water District (District) uses to prepare for and respond to foreseeable and unforeseeable water shortages. A water shortage occurs when available water supply is insufficient to meet the normally expected customer demands at a given point in time. A shortage may occur due to a number of reasons, such as water supply quality changes, climate change, drought, regional power outage, and catastrophic events (e.g., earthquake). Additionally, the State of California (State) may declare a statewide drought emergency and mandate that water suppliers reduce demands. The WSCP serves as the operating manual that the District will use to prevent catastrophic service disruptions through proactive, rather than reactive, mitigation of water shortages. This WSCP provides a process for an Annual Water Supply and Demand Assessment (Annual Assessment) and structured steps designed to respond to actual conditions. This level of detailed planning and preparation provides accountability and predictability that will help the District maintain reliable supplies and reduce the impacts of any supply shortages and/or interruptions. This WSCP was updated in July 2022 to transition the District’s WSCP stages to match the State of California Department of Water Resources (DWR) six standard stages and to provide the District with additional flexibility in responding to State drought response mandates with actions appropriate for the local water supply conditions. This WSCP is a standalone document that can be modified as needed. This document is compliant with the California Water Code (CWC) Section 10632 and incorporated guidance from DWR’s Urban Water Management Plan Guidebook. IN THIS SECTION • Water Service Reliability • Annual Water Supply and Demand Assessment • Supply Shortage Stages and Response Actions East Valley Water District Water Shortage Contingency Plan East Valley Water District 2 Water Shortage Contingency Plan The WSCP describes the following: 1. Water Service Reliability Analysis: Summarizes the District’s water supply analysis and reliability and identifies any key issues that may trigger a shortage condition. 2. Annual Water Supply and Demand Assessment Procedures: Describes the key data inputs, evaluation criteria, and methodology for assessing the system’s reliability for the coming year and the steps to formally declare any water shortage stages and response actions. 3. Water Shortage Stages: Establishes six water shortage stages that align with DWR’s six standard shortage stages to clearly identify and prepare for shortages that are in compliance with regulatory requirements. 4. Shortage Response Actions: Describes the response actions that may be implemented or considered for each stage to reduce gaps between supply and demand. 5. Communication Protocols: Describes communication protocols under each stage to ensure customers, the public, and government agencies are informed of shortage conditions and requirements. 6. Compliance and Enforcement: Defines compliance and enforcement actions available to administer demand reductions. 7. Legal Authority: Lists the legal documents that grant the District the authority to declare a water shortage and implement and enforce response actions. 8. Financial Consequences of WSCP Implementation: Describes the anticipated financial impact of implementing water shortage stages and identifies mitigation strategies to offset financial burdens. 9. Monitoring and Reporting: Summarizes the monitoring and reporting techniques used to evaluate the effectiveness of shortage response actions and overall WSCP implementation. Results are used to determine if shortage response actions should be adjusted. 10. WSCP Refinement Procedures: Describes the factors that may trigger updates to the WSCP and outlines how to complete an update. 11. Plan Adoption, Submittal, and Availability: Describes the process for the WSCP adoption, submittal, and availability after each revision. East Valley Water District Water Shortage Contingency Plan East Valley Water District 3 Water Shortage Contingency Plan 1.0 Water Service Reliability Analysis As part of the 2020 Integrated Regional Urban Water Management Plan (IRUWMP), the District completed a water supply reliability analysis for normal, single-dry, and five-year consecutive dry year periods from 2025-2045. A Drought Risk Assessment (DRA) was also performed to analyze supply reliability under five consecutive years of drought from 2021-2025. As described in Chapter 3 of the 2020 IRUWMP, the effects of a local drought are not immediately recognized since the region uses local groundwater basins to simulate a large reservoir for long term storage. The District is able to pump additional groundwater from the San Bernardino Basin Area (SBB)to meet demands in dry years when imported supplies are limited and participates in regional recharge efforts to replenish the basin with imported water, local surface water and recycled water. . Additionally, the District implements several ongoing water conservation measures. Regional recharge programs and conservation help to optimize and enhance the use of regional water resources. Based on the 2020 IRUWMP analysis, the District’s water supply is reliable and not expected to see impactful change under drought conditions. Even though localized drought conditions should not affect supply, other shortages may occur due to a number of reasons, such as water supply quality changes, regional power outage, State mandates for water use efficiency standards, and catastrophic events (e.g., earthquake). Therefore, the District will use this WSCP as appropriate to address shortages and other supply emergencies or in compliance with regulations. 2.0 Annual Water Supply and Demand Assessment As an urban water supplier, the District must prepare and submit an Annual Assessment, starting in 2022. The Final Annual Assessment will be due by July 1 of every year, as indicated by CWC Section 10632.1. The Annual Assessment is an evaluation of the near-term outlook for supplies and demands to determine whether the potential for a supply shortage exists and whether there is a need to trigger a WSCP shortage stage and response actions in the current calendar year to maintain supply reliability. This process will take place at the same time each year based on known circumstances and information available to the District at the time of analysis and can be updated or revised at any time if circumstances change. The District will establish and convene an internal WSCP Team to conduct the Annual Assessment each year. The WSCP Team may include, but is not limited to, the following staff: ➢ Senior Engineer ➢ Operations Manager ➢ Production Supervisor ➢ Conservation Coordinator ➢ Business Services Manager ➢ Public Affairs/Conservation Manager ➢ Chief Financial Officer East Valley Water District Water Shortage Contingency Plan East Valley Water District 4 Water Shortage Contingency Plan The Annual Assessment procedure, including key data inputs and evaluation criteria, is summarized in Table 1. The District’s Annual Assessment procedure and timeline, along with how it integrates with the regional Annual Assessment that is conducted in parallel, is shown graphically in Figure 1. Table 1. Annual Assessment Procedure Timing Assessment Activities Procedure, Key Data Inputs, Evaluation Criteria and Other Considerations Staff Responsible JAN - MARCH Estimate unconstrained demands for coming year Demands will be estimated based on water sales forecasts from annual budget or prior year demands plus any anticipated changes Operations Manager Chief Financial Officer JAN - APRIL Estimate available supplies for the year, considering the following year will be dry Each December, the District submits an order to San Bernardino Valley Municipal Water District (Valley District) for the volume of State Water Project (SWP) water that is planned for use the following year. If the requested volume is not available due to reduced SWP supplies, the District will meet with Valley District and other SWP users to discuss reducing SWP orders and may update the Annual Assessment to reflect a shift from SWP to groundwater production, if needed. Estimates of available surface water supplies from the Santa Ana River will be based on contract month allotment and 25% of the river flows in non-contract months. The remainder of demand not met from SWP and surface water will be pumped from the SBB, which is sustainably managed to provide long term supply reliability and is not anticipated to experience supply shortages in dry years. In the unlikely event that SBB groundwater supplies are reduced, the District will coordinate with the Basin Technical Advisory Committee (BTAC) to identify available supplies for the coming year. Operations Manager Senior Engineer East Valley Water District Water Shortage Contingency Plan East Valley Water District 5 Water Shortage Contingency Plan Timing Assessment Activities Procedure, Key Data Inputs, Evaluation Criteria and Other Considerations Staff Responsible JAN - MARCH Consider potential constraints that may impact supply delivery Identify any known regional or District infrastructure issues that may pertain to near- term water supply reliability, including repairs, construction, and environmental mitigation measures that may temporarily constrain capabilities, as well as any new projects that may add to system capacity. Identify any facilities out of service due to water quality issues, equipment failure, etc. that may impact standard water deliveries. Identify any potential or emerging impacts to groundwater quality, such as emerging regulatory constraints that may limit use of available supplies for potable needs. Operations Manager MARCH - APRIL Convene WSCP Team to conduct Annual Assessment Compare supplies and demands and discuss any constraints that may impact supply delivery. If the potential for a shortage exists, determine which shortage response stage and actions are recommended to reduce or eliminate the shortage. Additionally, if the State declares a drought state of emergency and requires demand reductions, the WSCP Team will determine which water shortage stage and response actions are needed to comply with the State mandate. WSCP Team JUNE Board of Directors If the potential for a shortage exists or the State has mandated demand reductionsthat require action by the District’s Board of Directors (Board), the results of the Annual Assessment will be presented to the Board including the recommended shortage stage and response actions. The Board may authorize the General Manager/CEO to implement a shortage stage and adopt a resolution declaring the applicable water shortage stage and potential actions. General Manager/CEO Board of Directors Conservation Coordinator Public Affairs / Conservation Manager East Valley Water District Water Shortage Contingency Plan East Valley Water District 6 Water Shortage Contingency Plan Timing Assessment Activities Procedure, Key Data Inputs, Evaluation Criteria and Other Considerations Staff Responsible ON- GOING Implement WSCP actions, if needed Relevant members of District staff will implement shortage response actions associated with the declared water shortage stage. Conservation Coordinator Public Affairs / Conservation Manager BY JULY 1 Submit Annual Assessment Send Final Annual Assessment to DWR WSCP Team Figure 1. Regional and Retail Agency Annual Assessment Process and Timeline 3.0 Water Shortage Stages With the exception of a catastrophic failure of infrastructure, the District does not foresee imposing a water shortage stage due to a supply shortage. The District may impose water shortage stage to encourage efficient water use and to comply with State drought mandates, such as those that occurred in 2014 and recently, in 2022 with Governor Newsom’s EO N-7-22, which required that urban water suppliers implement demand reduction actions listed in the supplier’s state standard shortage Stage 2. East Valley Water District Water Shortage Contingency Plan East Valley Water District 7 Water Shortage Contingency Plan If a potential water supply shortage is identified in the Annual Assessment, this section provides information on the water shortage stages and response actions that the District may implement. The CWC outlines six standard water shortage stages that correspond to a shortage compared to normal year availability. The six standard water shortage stages correspond to progressively increasing estimated shortage conditions (up to 10-, 20-, 30-, 40-, 50-percent, and greater than 50-percent shortage compared to the normal reliability condition) and align with the response actions that a water supplier would implement to meet the severity of the impending shortages. To align with CWC, the District uses six (6) shortage stages to identify and respond to water shortage conditions. At a minimum, the District encourages Permanent Water Conservation Measures at all times, regardless of a shortage condition, including encouragement of efficient outdoor use and discouragement of everyday watering. Permanent Water Conservation Measures are listed in Section Error! Reference source not found. and detailed in Section 15 of the East Valley Water District Regulations and Service Ordinance (Ordinance 403). Stage I – Water Shortage Warning A Water Shortage Stage 1 – Water Shortage Warning shall be in effect when the District determines there is a water supply shortage, or threatened shortage, condition of up to 10%, or if directed by an executive order or regulation. The Board of Directors may then, by resolution, declare a water shortage condition to prevail, and authorize the General Manager/CEO to enact the conservation measures listed in Table 3 for Stage 1 in addition to the permanent water conservation measures. During these conditions, all water customers are advised to continue to use water wisely, to prevent the waste or unreasonable use of water, and to reduce water consumption to that necessary for ordinary domestical and commercial purposes. In this stage, the primary focus is on increased outreach and education and outdoor water use efficiency. Stage II – Moderate Water Shortage: A Water Shortage Stage 2 – Moderate Water Shortage shall be in effect when the District determines there is a water supply shortage, or threatened shortage, condition of up to 20%, or if directed by an executive order or regulation. The Board of Directors may then, by resolution, declare a water shortage condition to prevail, and authorize the General Manager/CEO to enact the conservation measures listed in Table 3 for Stage 2 in addition to the permanent water conservation measures and water conservation measures implemented in Stage 1. To reduce demand during a Moderate Water Shortage condition and all higher levels of conditions, the District will increase its public outreach and education efforts to build awareness for efficient water use and encourage customers to repair leaks within 72 hours. Stage III: Significant Water Shortage A Water Shortage Stage 3 – Significant Water Shortage shall be in effect when the District determines there is a water supply shortage, or threatened shortage, condition of up to 30%, or if directed by an executive order or regulation. The Board of Directors may then, by resolution, declare a water shortage condition to prevail, and authorize the General Manager/CEO to enact the conservation measures East Valley Water District Water Shortage Contingency Plan East Valley Water District 8 Water Shortage Contingency Plan listed in Table 3 for Stage 3 in addition to the permanent water conservation measures and water conservation measures implemented in Stage 1 and Stage 2. To reduce demand during a Significant Water Shortage condition and all higher levels of conditions, the District will begin to limit decorative and recreational water features, require customer leak repair within 48 hours of notification from the District, and implement other conservation measures listed in Table 3. Stage IV: Severe Water Shortage A Water Shortage Stage 4 – Severe Water Shortage shall be in effect when the District determines there is a water shortage, or threatened water shortage, condition of up to 40%, or if directed by an executive order or regulation. The Board of Directors may then, by resolution, declare a water shortage condition to prevail, and authorize the General Manager/CEO to enact the conservation measures listed in Table 3 for Stage 4 in addition to the permanent water conservation measures and water conservation measures implemented in Stage 1, 2, and 3. To reduce demand during a Severe Water Shortage condition and all higher levels of conditions, the District will impose further restrictions on decorative and recreational water features, expand outreach and education efforts, expand indoor and outdoor rebate programs, and other conservation measures listed in Table 3. Stage V: Critical Water Shortage A Water Shortage Stage 5 – Critical Water Shortage shall be in effect when the District determines there is a water shortage, or threatened water shortage, condition of up to 50%, or if directed by an executive order or regulation. The Board of Directors may then, by resolution, declare a water shortage condition to prevail, and authorize the General Manager/CEO to enact the conservation measures listed in Table 3 for Stage 5 in addition to the permanent water conservation measures and water conservation measures implemented in Stage No. 1, 2, 3, and 4. To reduce demand during a Critical Water Shortage condition and all higher levels of conditions, the District will prohibit filling or adding potable water to decorative water features, and, upon direction of the General Manager/CEO, all potable irrigation of turf is prohibited unless stated otherwise, use of potable water for construction site preparation purposes is prohibited, and other conservation measures listed in Table 3. Stage VI: Water Shortage Emergency A Water Shortage Stage 6 –Water Shortage Emergency shall be in effect when the District determines there is a water shortage, or threatened water shortage, condition of over 50%, or if directed by an executive order or regulation. The Board of Directors may then, by resolution, declare a water shortage condition to prevail, and authorize the General Manager/CEO to enact the conservation measures listed in Table 3 for Stage 6 in addition to the permanent water conservation measures and water conservation measures implemented in Stage 1, 2, 3, 4, and 5. To reduce demand during a Water Shortage Emergency condition, the District will prohibit the use of non-recirculating systems at car washes and commercial laundry facilities, impose a moratorium on new construction meter permits, and, upon direction of the General Manager/CEO, prohibit all potable landscape irrigation, and other additional conservation measures listed in Table 3. General Manager/CEO Emergency Authority East Valley Water District Water Shortage Contingency Plan East Valley Water District 9 Water Shortage Contingency Plan The District’s Board of Directors authorizes the General Manager/CEO to implement and enforce measures necessary to remain in compliance with emergency statewide mandatory conservation measures. Actions taken by the General Manager/CEO in accordance with State regulations outside of those listed in Ordinance 403 must be reported to the Board at the next regularly scheduled meeting. A summary of the District’s Water Shortage stages is outlined in Table 2 below. Table 2. DWR 8-1 Water Shortage Contingency Plan Stages SHORTAGE STAGE PERCENT SHORTAGE RANGE (NUMERICAL VALUE AS A PERCENT) WATER SHORTAGE CONDITION 1 Up to 10% Water Shortage Warning 2 Up to 20% Moderate Water Shortage 3 Up to 30% Significant Water Shortage 4 Up to 40% Severe Water Shortage 5 Up to 50% Critical Water Shortage 6 >50% Water Shortage Emergency 4.0 Shortage Response Actions This section was completed pursuant to CWC Section 10632(a)(4) and 10632.5(a) and describes the response actions that will be implemented or considered for each stage to minimize social and economic impacts to the community. Shortage response actions per water shortage stage are also listed in the District’s Ordinance 403 Section 15 – Water Conservation. In accordance with CWC 10632(b) the District analyzes and defines water features that are artificially supplied with water, including ponds, lakes, waterfalls, and fountains, separately from swimming pools and spas. 4.1 Demand Reduction CWC Section 10632(a)(4) requires the WSCP to specify shortage response actions that align with the defined shortage levels, and include, at a minimum, all the following: • Locally appropriate supply augmentation actions. • Locally appropriate demand reduction actions to adequately respond to shortages. • Locally appropriate operational changes. • Additional, mandatory prohibitions against specific water use practices that are in addition to state-mandated prohibitions and appropriate to the local conditions. • An estimate of the extent to which the gap between supplies and demand will be reduced by implementation of each action. Shortage response actions included in this WSCP are a mix of prohibitions on end use, demand reduction methods, supply augmentation, and operational change measures. DWR defines prohibitions East Valley Water District Water Shortage Contingency Plan East Valley Water District 10 Water Shortage Contingency Plan on end uses as measures to address areas that are the responsibility of the end users, such as a broken sprinkler or leaking faucet. Demand reduction methods are actions invoked by a water agency to reduce consumption, such as expanding public information campaigns and offering water use evaluations. Supply augmentation is defined as any action designed to increase the existing supply availability such as the use of emergency storage or acquiring additional transfer water. Operational changes are defined as actions taken by the District to change the way in which existing supplies are used within its service area. 4.2 Permanent Water Conservation Measures The District’s Ordinance 403 establishes Permanent Water Conservation Measures that are in effect at all times to protect and ensure a safe and reliable water supply. These measures are intended to promote water conservation as a permanent way of life, even during years of normal or above normal precipitation and water supplies. The following is a list of the permanent water conservation measures, which are established in Ordinance 403, found in Attachment 1. • Excessive Irrigation and Related Waste - No property within the District service area shall cause or permit the use of water for irrigation of landscaping or other outdoor vegetation, to exceed the amount required to provide reasonable irrigation, and shall not cause or permit any unreasonable or excessive waste of water from said irrigation activities or from watering devices or systems. • Run-off - The free flow of water away from a service address is prohibited and shall be presumptively considered excessive irrigation and waste. • Wash-down - No water provided by the District shall be used for the purposes of wash-down of impervious areas without specific written authorization of the General Manager/CEO, except to maintain health and safety standards. • Vehicle Washing - The washing of cars, trucks or other vehicles must be conducted with a hose equipped with an automatic shut-off device, or at a commercial vehicle washing facility. • Decorative Water Features - Water fountains or other decorative water features must re- circulate water. • Irrigation After Measurable Rainfall - The application of potable water to outdoor landscape for irrigation purposes during or within 48 hours after at least ¼ inch of rainfall is prohibited. • Drinking Water Provided by Restaurants - Restaurants are prohibited from serving drinking water to patrons unless requested. • Restaurants - All restaurants are required to use water conserving pre-rinse dish wash spray valves. • Hotel and Motel - Hotels and motels must offer their guests the option to not have their linens and towels laundered daily and must prominently display this option in each room. • Irrigation of Ornamental Turf on Medians and Parkways - Medians and bordering parkways located within the right-of-way are prohibited to use potable water to irrigate turf. Bordering East Valley Water District Water Shortage Contingency Plan East Valley Water District 11 Water Shortage Contingency Plan parkways are considered the strips of non-functional ornamental turf adjacent to the street. The continued irrigation and preservation of trees is encouraged. • Recreational Water Features - Recreational water features, such as pools and spas, are encouraged to use evaporation resistant covers. • Leak Repair - All customers and service area residents are encouraged to repair leaks to reduce water waste in a timely manner. • Budget-based Rates – The District will maintain a budget-based rate structure for all customers to encourage efficient use of water. • Metering – The District will utilize Advanced Metering Infrastructure (AMI) meters to minimize water loss, unbilled usage, and to provide more timely information on water use. • Water Use Evaluations – The District will provide water use evaluations at no charge to customers. The District may provide historical water use data to commercial and industrial facilities for use in developing water conservation plans for their facilities. • Indoor Rebate Programs – The District will implement programs to offer rebates to customers for indoor high efficiency appliances and fixtures. • Outdoor Rebate Programs - The District will implement programs to offer rebates to customers for high efficiency outdoor irrigation and other outdoor water use reduction measures. • Landscape Irrigation - The District will encourage efficient outdoor use and discourage everyday watering to achieve conservation. The District may determine that landscape irrigation shall be conducted only during specific hours and/or days and may impose other restrictions on the use of water for such irrigation. The goal of all demand reduction actions per water shortage stage is to balance supply and demand. Table 3 summarizes these efforts and end use prohibitions. East Valley Water District Water Shortage Contingency Plan East Valley Water District 12 Water Shortage Contingency Plan Table 3. DWR 8-2 Demand Reduction Actions SHORTAGE STAGE DEMAND REDUCTION ACTIONS HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE PENALTY, CHARGE, OR OTHER ENFORCEMENT All Landscape – Other landscape restriction or prohibition 0-1% Excessive Irrigation and Related Waste - No property within the District service area shall cause or permit the use of water for irrigation of landscaping or other outdoor vegetation, to exceed the amount required to provide reasonable irrigation, and shall not cause or permit any unreasonable or excessive waste of water from said irrigation activities or from watering devices or systems. Yes All Landscape – Restrict or prohibit runoff from landscape irrigation 0-1% Run-off - The free flow of water away from a service address is prohibited and shall be presumptively considered excessive irrigation and waste. Yes All Other – Prohibit use of potable water for washing hard surfaces 0-1% Wash-down - No water provided by the District shall be used for the purposes of wash-down of impervious areas without specific written authorization of the General Manager/CEO except to maintain health and safety standards. Yes All Other – Require automatic shut off hoses 0-1% Vehicle Washing - The washing of cars, trucks or other vehicles is not permitted, except with a hose equipped with an automatic shut-off device, or a commercial facility. Yes All Water Features – Restrict water use for decorative water features, such as fountains 0-1% Decorative Features - Water fountains or other decorative water features must recirculate water. Yes East Valley Water District Water Shortage Contingency Plan East Valley Water District 13 Water Shortage Contingency Plan SHORTAGE STAGE DEMAND REDUCTION ACTIONS HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE PENALTY, CHARGE, OR OTHER ENFORCEMENT All Landscape – Other landscape restriction or prohibition 0-2% Irrigation After Measurable Rainfall - The application of potable water to outdoor landscape for irrigation purposes during or within 48 hours after ¼ inch of rainfall is prohibited. Yes All CII - Restaurants may only serve water upon request 0-1% Drinking Water Provided by Restaurants - Restaurants are prohibited from serving drinking water to patrons unless requested. Yes All CII – Commercial kitchens required to use pre-rinse spray valves 0-1% Restaurants - All restaurants are required to use water conserving pre- rinse dish wash spray valves. Yes All CII - Lodging establishment must offer opt out of linen service 0-1% Hotel and Motel - Hotels and motels must offer their guests the option to not have their linens and towels laundered daily and must prominently display this option in each room. Yes All Landscape – Other landscape restriction or prohibition 0-1% Irrigation of Ornamental Turf on Medians and Parkways - Medians and bordering parkways located within the right-of-way are prohibited to use potable water to irrigate turf. Bordering parkways are considered the strips of non-functional ornamental turf adjacent to the street. The continued irrigation and preservation of trees is encouraged. No All Other water feature or swimming pool restriction 0-1% Recreational Water Features - Recreational water features, such as pools and spas, are encouraged to use evaporation resistant covers . No East Valley Water District Water Shortage Contingency Plan East Valley Water District 14 Water Shortage Contingency Plan SHORTAGE STAGE DEMAND REDUCTION ACTIONS HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE PENALTY, CHARGE, OR OTHER ENFORCEMENT All Other – Customers must repair leaks, breaks, and malfunctions in a timely manner 1-2% Leak Repair - All customers and service area residents are encouraged to repair leaks to reduce water waste in a timely manner. No All Improve Customer Billing 0-5% Budget-based Rates – The District will maintain a budget-based rate structure for all customers to encourage efficient use of water. No All Improve Customer Billing 0-1% Metering – The District will utilize Advanced Metering Infrastructure (AMI) meters to minimize water loss, unbilled usage, and to provide more timely information on water use. No All Offer Water Use Surveys 0-5% Water Use Evaluations – The District will provide water use evaluations at no charge to customers. The District may provide historical water use data to commercial and industrial facilities for use in developing water conservation plans for their facilities. No All Provide Rebates on Plumbing Fixtures and Devices 0-2% Indoor Rebate Programs – The District will implement programs to offer rebates to customers for indoor high efficiency appliances and fixtures. No All Provide Rebates for Landscape Irrigation Efficiency 0-2% Outdoor Rebate Programs - The District will implement programs to offer rebates to customers for high efficiency outdoor irrigation and other outdoor water use reduction measures. No All Landscape – Other landscape restriction or prohibition 0-5% Landscape Irrigation - The District will encourage efficient outdoor use and discourage everyday watering to achieve conservation. The District may determine that landscape irrigation shall be conducted only during specific hours and/or days and may impose other restrictions on the use of water for such irrigation. No East Valley Water District Water Shortage Contingency Plan East Valley Water District 15 Water Shortage Contingency Plan SHORTAGE STAGE DEMAND REDUCTION ACTIONS HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE PENALTY, CHARGE, OR OTHER ENFORCEMENT 1 Expand Public Information Campaign 0-10% Outreach and Education - The District will implement outreach and education programs encouraging outdoor and indoor water use efficiency. No 2 Other – Customers must repair leaks, breaks, and malfunctions in a timely manner 1-5% Leak Repair – Customers are encouraged to repair water leaks within 72 hours of notification from the District. No 2 Expand Public Information Campaign 1-5% Outreach and Education – The District will expand its public information campaign on the water supply conditions and encourage efficient water use indoors and outdoors. No 3 Water Features – Restrict water use for decorative water features, such as fountains 1-3% Decorative Water Features – Customers are encouraged to not empty, refill, or add water to decorative water features, including ponds, fountains, and artificial lakes. Exceptions may be made by the General Manager/CEO to sustain biological life, such as fish, or for municipally owned or operated ponds. No 3 Other water feature or swimming pool restriction 0-1% Recreational Water Features – Customers are encouraged to not empty, refill, or add water to recreational water features, such as pools or spas. Exceptions may be made by the General Manager/CEO for municipally owned or operated pools. No 3 CII – Other CII restriction or prohibition 0-1% Non-recirculating Water Systems – Customers are encouraged to retrofit non-recirculating systems at car washes and commercial laundry facilities to install recirculation systems. No 3 Other – Customers must repair leaks, breaks, and malfunctions in a timely manner 0-1% Leak Repair – Customers must repair leaks within 48 hours of notification from the District. Yes East Valley Water District Water Shortage Contingency Plan East Valley Water District 16 Water Shortage Contingency Plan SHORTAGE STAGE DEMAND REDUCTION ACTIONS HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE PENALTY, CHARGE, OR OTHER ENFORCEMENT 4 Other – Prohibit vehicle washing except at facilities using recycled or recirculating water 0-1% Vehicle Washing - The washing of cars, trucks or other vehicles is not permitted except at commercial vehicle washing facilities. Yes 4 Water Features – Restrict water use for decorative water features, such as fountains 0-1% Decorative Water Features - Emptying, refilling, or adding water to decorative water features is prohibited. Exceptions may be made to sustain biological life, such as fish, or for municipally owned or operated ponds. Requests for variances in water budgets will not be accepted. Yes 4 Other water feature or swimming pool restriction 0-1% Recreational Water Features - Emptying, refilling, or adding water to recreational water features is prohibited. Exceptions may be made by the General Manager/CEO for municipally owned or operated pools. Requests for variances in water budgets will not be accepted. Yes 4 Other – Customers must repair leaks, breaks, and malfunctions in a timely manner 0-1% Leak Repair – Customers must repair leaks within 24 hours of notification from the District. Yes 4 Provide Rebates on Plumbing Fixtures and Devices 1-2% Indoor Rebate Programs – The District will expand its indoor rebate program to assist customers with mandatory conservation efforts. No 4 Provide Rebates for Landscape Irrigation Efficiency 1-2% Outdoor Rebate Programs – The District will expand its outdoor rebate program to assist customers with mandatory conservation efforts. No East Valley Water District Water Shortage Contingency Plan East Valley Water District 17 Water Shortage Contingency Plan SHORTAGE STAGE DEMAND REDUCTION ACTIONS HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE PENALTY, CHARGE, OR OTHER ENFORCEMENT 4 Expand Public Information Campaign 1-5% Outreach and Education – The District will expand targeted communications focusing on customers with tier 3 usage and provide educational opportunities, including workshops, classes, and other public - facing community events. No 5 Water Features – Restrict water use for decorative water features, such as fountains 0-1% Decorative Water Features - Filling or adding potable water to decorative water features is prohibited except to sustain biological life. Yes 5 5 Landscape – Prohibit certain types of landscape irrigation 0-5% Landscape Irrigation - Upon direction of the General Manager/CEO, all potable irrigation of turf is prohibited unless stated otherwise. These limitations do not apply to drought-tolerant landscapes, including trees and shrubs. Yes 5 Other – Prohibit use of potable water for construction and dust control 0-1% Construction Water – Upon direction of the General Manager/CEO, the use of potable water for construction site preparation purposes is prohibited, other than to maintain necessary fire and safety standards. Yes East Valley Water District Water Shortage Contingency Plan East Valley Water District 18 Water Shortage Contingency Plan SHORTAGE STAGE DEMAND REDUCTION ACTIONS HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE PENALTY, CHARGE, OR OTHER ENFORCEMENT 5 CII – Other CII restriction or prohibition 0-2% Agricultural Irrigation - Persons receiving water from the District who are engaged in commercial agricultural practices, whether for the purpose of crop production or growing of ornamental plants shall provide, maintain, and use irrigation equipment and practices which are the mos t efficient possible. Upon determination by the General Manager/CEO, these persons may be required to prepare a plan within 30 days of request by the District describing their irrigation practices and equipment, including but not limited to, actions to be taken to improve water use efficiency or justification that water use on the property is the most efficient possible. The District will provide these facilities with information regarding the average monthly water use by the facility for the last two-year period and a free water use evaluation will be provided upon request. After review and approval by the General Manager/CEO, the plan shall be considered subject to inspection and enforcement by the District. Yes 6 CII – Other CII restriction or prohibition 0-1% Non-recirculating Water Systems - Operation of non-recirculating systems at car washes and commercial laundry facilities is prohibited Yes 6 Landscape – Prohibit all landscape irrigation 2-5% Landscape Irrigation - Upon direction of the General Manager/CEO, all potable landscape irrigation is prohibited. Yes 6 Moratorium or Net Zero Demand Increase on New Connections 0-1% Construction Meters - No new construction meter permits shall be issued by the District. All existing construction meters shall be removed and/or locked, with the exception of critical infrastructure projects. Yes 6 CII – Other CII restriction or prohibition 1-2% Parks and Schools - Upon direction of the General Manager/ CEO, watering of parks, school grounds and golf courses is prohibited. Yes 6 CII – Other CII restriction or prohibition 1-2% Commercial Nurseries and Livestock - Commercial nurseries shall discontinue all watering and irrigation to permanent crops that take >5 years to replace. Watering of livestock is permitted as necessary. Yes East Valley Water District Water Shortage Contingency Plan East Valley Water District 19 Water Shortage Contingency Plan 4.3 Supply Augmentation Table 4 identifies the supply augmentation actions the District can take in the event of a water shortage condition. The District currently maintains interconnections with the City of San Bernardino Municipal Water Department (SBMWD) and the City of Riverside. During water shortage conditions, the District may be able to obtain supplemental water supply through these connections, if available. Table 4. DWR 8-3R Supply Augmentation & Other Actions SHORTAGE STAGE SUPPLY AUGMENTATION METHODS AND OTHER ACTIONS BY WATER SUPPLIER HOW MUCH IS THIS GOING TO REDUCE THE SHORTAGE GAP? ADDITIONAL EXPLANATION OR REFERENCE All Other purchases 0-100% The District has emergency water supply connections to two adjacent water agencies (SBMWD and the City of Riverside), volume depends on supply availability from neighboring agency 4.4 Operational Changes and Additional Mandatory Restrictions During shortage conditions, operations may be affected by supply augmentation or demand reduction actions. The District will consider their operational procedures when it completes its Annual Assessment. 4.5 Emergency Response Plan In 2020, the District completed a Risk and Resilience Assessment (RRA) and Emergency Response Plan (ERP) in accordance with America’s Water Infrastructure Act (AWIA) of 2018. The purpose of the RRA and ERP is to meet the AWIA compliance requirements and plan for long-term resilience of the District’s infrastructure. The RRA assessed the District’s water system to identify critical assets and processes that may be vulnerable to human and natural hazards, and to identify measures that can be taken to reduce risk and enhance resilience from service disruption for the benefit of customers. The RRA identifies and characterizes both infrastructure-specific and system-wide vulnerabilities and threats and quantifies the consequences of disruption. The RRA also identifies various options (and constraints) in addressing and mitigating risk. The RRA, in conjunction with the ERP, charts a course for water system resilience. The RRA also provided various recommendations to increase reliability of the District’s system. Since critical pieces of infrastructure and specific vulnerabilities are detailed in the RRA and ERP, the contents of the document are confidential and for use by District staff only. However, the District can confirm that these plans meet the requirements set forth by AWIA and evaluate seismic risks and mitigation actions to the District’s infrastructure. East Valley Water District Water Shortage Contingency Plan East Valley Water District 20 Water Shortage Contingency Plan In the event of a water shortage emergency resulting from equipment failure, power outage, or other catastrophe, the District is prepared to purchase emergency water supplies from nearby agencies while repairs or other remedial actions are underway. The District may also implement its six-stage plan for conservation, as described above. 4.6 Seismic Risk Assessment and Mitigation Plan Disasters, such as earthquakes, can and will occur without notice. In addition to the AWIA RRA and ERP, the District has a 2020 Local Hazard Mitigation Plan (LHMP) that includes an assessment of seismic risk and mitigation for water facilities. The contents of the LHMP document are confidential and for use by District staff only. The LHMP identified a set of hazard mitigation actions that are intended to reduce the impact of hazards, including: ➢ Design new District facilities to withstand an 8.0 earthquake. The area of Southern California in which the District’s service area resides is a high earthquake risk and exists on the fault zone. ➢ Pursue funding for retrofit programs to bring non-compliant structures up to code. These codes help water agencies design and construct reservoirs, pump stations, groundwater wells, and pipelines that resist the forces of nature and ensure safety. 4.7 Shortage Response Action Effectiveness The District’s consultant, Water Systems Consulting (WSC) estimated the effectiveness of shortage response actions in Error! Reference source not found. and Table 3 where data pertaining to such actions were available. It is assumed that the effectiveness of the response actions is a result of effective communication and outreach efforts. 5.0 Communication Protocols East Valley Water District prioritizes effective communication, especially in times of a water shortage emergency. The District routinely communicates details to customers regarding the announcement of new or ongoing water shortage stages. Communication actions include, but are not limited to, bill inserts, handouts, informational flyers, direct mail pieces to customers, newspaper advertisements, news releases, social media outreach, and website content. The District continues to provide reminders about shortage stages and encourages wise water use at all times. 6.0 Compliance and Enforcement The District always discourages excessive water consumption. It is unlikely that the District would implement drought penalties or charges for excessive use unless absolutely necessary to engage unresponsive customers and/or to maintain compliance with State-mandated water shortage declarations. Note that the District maintains authority to impose restrictions or discontinue service in the case of repeat offenders as detailed in CWC. East Valley Water District Water Shortage Contingency Plan East Valley Water District 21 Water Shortage Contingency Plan The District focuses much of its drought response on education, informing customers of ways to increase water use efficiency, and serving as an informational resource to the public. However, there are times when additional measures must be utilized to protect the water supply. The District has measures in place to address violations inOrdinance 403, which may result in the imposition of surcharges and restriction and/or termination of water service as set forth below: 1. First Violation – For a first violation, the District shall issue a written notice of violation to the water user violating the provisions of Ordinance 403. The notice shall be given pursuant to the requirements of Section 15.12of Ordinance 403. 2. Second Violation: $100 Surcharge – For a second violation of Ordinance 403 within a 12- month period, or failure to comply with the notice of violation within 30 days after notice of imposition, a surcharge of $100 is hereby imposed for the meter through which the wasted water was supplied. 3. Third Violation: $300 Surcharge – For a third violation of Ordinance 403 within a 12-month period, or for continued failure to comply within 30 days after notice of imposition of second violation sanctions, a one-month penalty surcharge of $300 is hereby imposed for the meter through which the wasted water was supplied. 4. Fourth Violation: $500 Surcharge – For a fourth violation of Ordinance 403 within a 12-month period, or for continued failure to comply within 30 days after notice of an imposition of third violation sanctions, a one-month penalty surcharge in the amount of $500 is hereby imposed for the meter through which the wasted water was supplied. 5. Fifth Violation: $500 Surcharge and/or Installation of a Flow Restrictor – For a fifth violation of Ordinance 403 within a 12-month period, or for continued failure to comply within 30 days after notice of an imposition of fourth violation sanctions, a one-month penalty surcharge in the amount of $500 is hereby imposed for the meter through which the wasted water was supplied. In addition to the surcharge, the District may, at its discretion, install a flow-restricting device at such meter with a one-eighth inch (1/8") orifice for services up to one and one-half (1-1/2") inch size, and comparatively sized restrictors for larger services, on the service of the customer at the premises at which the violation occurred for a period of not less than 48 hours. The charge to the customer for installing a flow-restricting device shall be based upon the size of the meter and the actual cost of installation. The charge for removal of the flow- restricting device and restoration of normal service shall be based on the actual cost of removal. Such restoration of service shall not be made until the General Manager/CEO of the District has determined that the water user has provided reasonable assurances that future violations of Ordinance 403 by such user will not occur. The General Manager/CEO may grant permits for uses of water otherwise prohibited under the shortage response actions if they determine that restrictions herein would either: ➢ Cause an unnecessary and undue hardship to the water customer or the public East Valley Water District Water Shortage Contingency Plan East Valley Water District 22 Water Shortage Contingency Plan ➢ Cause an emergency condition that affects the health, sanitation fire protection, or safety of the water customer or of the public Such exceptions may be granted only upon written request. Upon granting such exception, the General Manager/CEO may impose any conditions determined to be just and proper. 7.0 Legal Authorities A WSCP was first prepared by East Valley Water District in 1992 in response to Assembly Bill 11X (AB 11X), which was signed into law on October 14, 1991. The bill requires urban water suppliers providing municipal water directly or indirectly to more than 3,000 customers or supplying more than 3,000 acre- feet of water annually to draft a WSCP. Plan elements mandated by AB 11X are addressed therein. This WSCP was subsequently incorporated into the District’s Ordinance 403 Section 15 – Water Conservation (included as Attachment 1). This section of the Ordinance addresses shortage response actions that the District has adopted for the following water shortage stages (1) Water Shortage Warning, (2) Moderate Water Shortage, (3) Significant Water Shortage, (4) Severe Water Shortage, (5) Critical Water Shortage, and (6) Water Shortage Emergency. 7.1 Water Shortage Emergency Declaration In accordance with CWC Section Division 1, Section 350 – the District shall declare a Water Shortage Emergency to prevail within the area served by such distributor whenever it finds and determines that the ordinary demands and requirements of water customers cannot be satisfied without depleting the water supply of the distributor to the extent that there would be insufficient water for human consumption, sanitation, and fire protection. 7.2 Local/Regional Emergency Declaration If a water shortage is imminent, the District shall coordinate with the cities, county, and local indigenous communities in its service area for the possible proclamation of a local emergency. 8.0 Financial Consequences of WSCP East Valley Water District makes contributions to a rate stabilization fund in accordance with a District Designated Fund Policy established in July 2010. Funds discussed in the policy include the Rate Stabilization Fund and the Capital Replacement Fund. In the event of a water shortage, a two-point program will be utilized to meet the fiscal shortfall of reduced water revenues: 1. Reduce operation and maintenance expenses. 2. Defer selected capital improvement projects until the water shortage situation improves. 3. Rate Stabilization Funds, once accumulated, will serve as a third means of meeting fiscal shortfalls. To ensure the District’s customers comply with Ordinance 403 Section 15 – Water Conservation and CWC Chapter 3.3 (Excessive Residential Water Use During Drought), additional costs may be incurred East Valley Water District Water Shortage Contingency Plan East Valley Water District 23 Water Shortage Contingency Plan to monitor and enforce response actions. The incurred cost may vary depending on the shortage stage and duration of the water shortage emergency. 9.0 Monitoring and Reporting The water savings from implementation of the WSCP will be determined based on monthly production reports which are reviewed and compared to production reports and pumping statistics from prior months and the same period of the prior year. Under shortage conditions, these production reports could be prepared as often as daily. At first, the cumulative consumption for the various sectors (e.g., residential, commercial, etc.) will be evaluated for reaching the target level of demand reductions. Then if needed, individual accounts will be monitored. Weather and other possible influences may be accounted for in the evaluation. 10.0 WSCP Refinement Procedures The WSCP is best prepared and implemented as an adaptive management plan. The District will utilize results obtained from its monitoring and reporting program to evaluate any needs for revisions. Potential changes to the WSCP that would warrant an update include, but are not limited to, any changes to trigger conditions for new water shortage stages, changes to the shortage stage structure, and/or changes to shortage response actions. Any prospective changes to the WSCP must be presented to the Community Advisory Commission and the Legislative and Public Outreach Committee for feedback. Changes to the WSCP would then be presented to the District’s Board of Directors for discretionary approval. Once discretionary approval has been granted, the District will hold a public hearing, acquire and review any comments and adopt the updated WSCP. Notices for refinement and the public hearing date are required to be published in the local newspaper in advance of any public meetings. 11.0 Plan Adoption, Submittal and Availability The District’s 2022 WSCP was made available for public review in July 2022 and a public hearing was held on July 27, 2022 to receive public input on the draft plan. The District’s Board of Directors adopted the WSCP at a public hearing on July 27, 2022. The resolution of adoption is included as Attachment 2. This WSCP was submitted to DWR through the WUE Data Portal within 30 days of adoption. This WSCP was made available to the public on the District’s web site within 30 days of adoption. If the District identifies the need to amend this WSCP, it will follow the same procedures for notification to cities, counties and the public as those that were used for this WSCP. East Valley Water District Water Shortage Contingency Plan East Valley Water District 24 Water Shortage Contingency Plan References California Department of Water Resources. (2021). Urban Water Management Plan Guidebook 2020. Sacramento: California Department of Water Resources. Texas Living Waters Project. (2018). Water Conservation by the Yard: A Statewide Analysis of Outdoor Water Savings Potential. Austin: Texas Living Waters Project, Sierra Club, National Wildlife Federation. Retrieved from Texas Living Waters Project. United States Environmental Protection Agency, Office of Water. (2002). Cases in Water Conservation: How Efficiency Programs Help Water Utilities Save Water and Avoid Costs. United States Environmental Protection Agency. East Valley Water District Water Shortage Contingency Plan Attachment 1: East Valley Water District Regulations and Service Ordinance 403 Attachment 2: Adoption Resolution East Valley Water District Resolution 2023.07 Page 1 of 3 8 7 9 RESOLUTION 2023.07 RESOLUTION TO THE BOARD OF DIRECTORS OF THE EAST VALLEY WATER DISTRICT ADOPTING STAGE 1 OF THE WATER SHORTAGE CONTINGENCY PLAN WHEREAS, on July 27, 2022, the Board of Directors of the East Valley Water District adopted Resolution 2022.13 to authorize the General Manager/CEO to implement Stage 2 of the District’s Water Shortage Contingency Plan to comply with the emergency regulations; and WHEREAS, California has experienced a series of atmospheric rivers, resulting in a reduction of the percentage of the state experiencing extreme drought from 95% to 0%; and WHEREAS, on March 24, 2023, Gavin Newsom issued Executive Order N-5-23 rolling back drought emergency provisions due to the improved water supplies; and WHEREAS, Ordinance 403 Section 15.03 defines East Valley Water District’s Level 1-6 water shortage response actions; and WHEREAS, pursuant to Ordinance 403 Section 15.08.01 the Board of Directors give the General Manager/CEO the authority to scale back measures necessary to remain in compliance with statewide conservation measures; and WHEREAS, in accordance with applicable law, including Water Code sections 10608.26 and 10642, and Government Code section 6066, a Notice of a Public Hearing regarding the District’s adoption of WSCP Level 1 was published within the jurisdiction of the District on April 12, 2023 and April 19, 2023; and NOW, THEREFORE, BE IT RESOLVED by the Board of Directors of East Valley Water District to authorize the General Manager/CEO to implement and move to Stage 1 of the District’s Water Shortage Contingency Plan, This Resolution shall take effect as of the 26th day of April 2023. ADOPTED this 26th day of April 2023. East Valley Water District Resolution 2023.07 Page 2 of 3 8 7 9 ROLL CALL: Ayes: Noes: Absent: Abstain: Phillip R. Goodrich Board President East Valley Water District Resolution 2023.07 Page 3 of 3 8 7 9 ATTEST: Michael Moore Secretary, Board of Directors April 26, 2023 I HEREBY CERTIFY that the foregoing is a full, true and correct copy of Resolution 2023.07 adopted by the Board of Directors of East Valley Water District at its Regular Meeting held April 26, 2023. Michael Moore Secretary, Board of Directors Agenda Item #4b April 26, 20231 Meeting Date: April 26, 2023 Agenda Item #4b Discussion Item 7 7 2 Regular Board Meeting with Closed Session TO: Governing Board Members FROM: General Manager/CEO SUBJECT: Consider adoption of Resolution 2023.08 - Nomination of James Morales Jr. as a candidate of the Association of California Water Agencies Region 9 Board RECOMMENDATION That the Board of Directors adopt Resolution 2023.08, to support placing in nomination James Morales Jr. as a member of the Association of California Water Agencies (ACWA) Region 9 Board. BACKGROUND / ANALYSIS ACWA Region 9 is comprised of San Bernardino, Riverside, and Imperial counties including approximately 49 public water agency members. The region spans roughly 32,000 square miles and is home to a population of just over 4.2 million residents. ACWA’s Region 9 Board is seeking members who are interested in filling Board Member positions for the 2024-25 term. Region 9 Board Members determine the direction and focus of regional issues and activities and support the fulfillment of ACWA’s goals on behalf of its members. Vice Chairman Morales is currently serving as a Board Member on ACWA Region 9 and is seeking re-appointment on the Board, as his term expires in 2023. In order for candidates to be considered for a Board Member position, they must obtain a Resolution of Support from the member agency (East Valley Water District), complete the necessary forms, and submit the requested information to ACWA by June 16, 2023. AGENCY GOALS AND OBJECTIVES I - Implement Effective Solutions Through Visionary Leadership C. Strengthen Regional, State and National Partnerships REVIEW BY OTHERS This agenda item has been reviewed by Administration. Agenda Item #4b April 26, 20232 Meeting Date: April 26, 2023 Agenda Item #4b Discussion Item 7 7 2 FISCAL IMPACT The fiscal impact associated with this agenda item is a budgeted expenditure. Recommended by: ________________ Michael Moore General Manager/CEO ATTACHMENTS ACWA Call for Candidates for Region Boards Resolution 2023.08 RESOLUTION NO. 2023.08 A RESOLUTION OF THE BOARD OF DIRECTORS OF EAST VALLEY WATER DISTRICT PLACING IN NOMINATION JAMES MORALES JR. AS A MEMBER OF THE ASSOCIATION OF CALIFORNIA WATER AGENCIES REGION 9 Be it resolved by the Board of Directors of East Valley Water District as follows: A. Recitals (i) The Board of Directors of the East Valley Water District does encourage and support the participation of its members in the affairs of the Association of California Water Agencies (ACWA). (ii) Director James Morales, Jr., is currently serving as Board Member for ACWA Region 9. B. Resolves NOW, THEREFORE, BE IT RESOLVED THAT THE BOARD OF DIRECTORS OF EAST VALLEY WATER DISTRICT, (i) Does place its full and unreserved support in the nomination of James Morales, Jr. for the Board Member of ACWA Region 9. (ii) Does hereby determine that the expenses attendant with the service of James Morales, Jr. in ACWA Region 9 shall be borne by the East Valley Water District. Adopted and approved this 26th day of April 26, 2023. ____________________________________ Phillip R. Goodrich, Board President East Valley Water District ATTEST: _____________________________ Michael Moore, Board Secretary I, Michael Moore, Secretary of the Board of Directors of East Valley Water District, hereby certify that the foregoing Resolution was introduced at a regular meeting of the Board of Directors of said District, held on the 26th day of April 2023, and was adopted at that meeting by the following roll call vote: AYES: NOES: ABSENT: ABSTAIN: ATTEST: _______________________________ Michael Moore, Secretary to the Board of Directors of East Valley Water District