HomeMy WebLinkAboutAgenda Packet - Community Advisory Commission - 06/16/2020C O MMUN IT Y A D VISO RY C O MMISSIO N MEET IN G
J une 16, 2020 - 6:00 PM
31111 Greenspot Road, Highland, C A 92346
AGE N D A
C A LL TO O RD ER
PLED G E O F A LLEG IA N C E
RO LL C A LL O F C O MMISSIO N MEMBERS
PUBLIC C O MMEN T S
Any person wishing to speak to the Board of C ommissioners is asked to complete a Speaker
C ard 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 C hairman of the C ommission. Under the
State of C alifornia Brown Act, the Board of C ommissioners is prohibited from discussing or
taking action on any item not listed on the posted agenda. T he matter will automatically be
referred to staff for an appropriate response or action and may appear on the agenda at a
future meeting.
D ISC USSIO N/IN FO RMAT IO N A L IT EMS
1.Fiscal Year 2020-21 Budget Overview
2.Sterling Natural Resource Center Update
3.Commissioner C omments
4.Staff's Comments
A D J O URN
Pursuant to Government C ode Section 54954.2(a), any request for a disability-related
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 C lerk at
(909) 885-4900 at least 72 hours prior to said meeting.
June 16, 2020
OPERATING &
CAPITAL BUDGETS
2
DISTRICT-WIDE GOALS
Optimize Infrastructure
•Continue Analysis For The Potential
Construction of an Additional Surface Water
Treatment Plant
•Proceed With Efforts To Complete The
Consolidation Of Mutual Water Companies
in Progress
Financial Stability With Full
Understanding Of Operational
Complexities
•Evaluate The Benefits Of Restructuring
Current Bonds To Take Advantage of The
Financial Market
•Initiate The Cost Of Service Analysis For
Wastewater Collection And Treatment In
Preparation For The Operations Of The
Sterling Natural Resource Center (SNRC)
Protect Organizational
Investments
•Update The District’s Succession Plan To
Better Understand Potential Organization
Changes and Growth
•Develop Internal Efforts to Communicate
The District’s Brand and The Importance of
Protecting The High Expectations That it
Includes
Maximize The District’s Position
•Complete The Installation Of Smart Meters
Throughout The District
•Begin Developing Operational Plans And
Identifying Contract Services Necessary For
The Sterling Natural Resource Center
Have Others See The District As
A Premier Agency
•Initiate Efforts To Establish Contractual
Relationships Regarding High Stream
Food-Waste To Prepare For Energy
Generation At The SNRC
•Increase District Engagement With Regional And
Industry Activities To Share The Success
Experienced Through The District’s Vision
3
BUDGET SUMMARY
DESCRIPTION WATER FUND WASTEWATER FUND TOTAL
Revenue
Sales & Services $ 25,888,000 $ 13,242,000 $ 39,130,000
Other Charges 285,000 195,000 480,000
Interest & Miscellaneous Revenue 225,000 30,000 255,000
TOTAL REVENUE $ 26,398,000 $ 13,467,000 $ 39,865,000
Expenditures
Operations $ 18,067,000 $ 12,324,000 $ 30,391,000
Debt Service 4,066,000 313,000 4,379,000
Capital Expenditures 4,265,000 830,000 $ 5,095,000
TOTAL EXPENDITURES $ 26,398,000 $ 13,467,000 $ 39,865,000
DISTRICT-WIDE REVENUES
REVENUE CONSIDERATIONS
Water
•Rates Used from Last Rate Increase,
Effective January 2020
•Consumption Based on FY 2018 -19
•No Change to Meter Charge
Wastewater
•No Change to Wastewater Collection and
Treatment Rates
Other Income
•Decreased Interest Rates Earned on Investments
•Decreased Disconnection Charges Due to
Senate Bill 998 and the COVID-19 Pandemic
4
FISCAL YEAR 2020-21 TOTAL REVENUES = $39,895,000
DISTRICT-WIDE
EXPENSES FUNDED BY
OPERATING REVENUE
EXPENSE CONSIDERATIONS
•Acceleration of AMI Installations
•In-House Pipeline Replacements
•Rehabilitation of Existing Water Tanks
•Amortization of Long -Term Pension Obligations
•SNRC Consulting and Compliance
FISCAL YEAR 2020-21 TOTAL EXPENSES = $39,895,000
5
Employment
Services
$10,941,000
Water Cost
$926,000
Contract
Services
$5,467,000 Other Operating
$2,441,000
Wastewater Treatment
$8,586,000
Power Cost
$1,820,000
Materials
$210,000
Debt Service
$4,379,000
Capital
Expenditures
$5,095,000
PROGRAM
OVERVIEW
6
BUDGET SUMMARY BY PROGRAM
7
DESCRIPTION WATER
FUND
WASTEWATER
FUND TOTAL Colu
mn1
FY 2019-20
BUDGETED CHANGE
1000 - Governing Board $ 179,900 $ 77,100 $ 257,000 $ 257,000 0%
2000 - General Administration 912,600 389,400 1,302,000 1,304,000 0%
2100 - HR/Risk Management 1,079,500 245,500 1,325,000 1,024,000 29%
2200 - Public Affairs 1,162,400 426,600 1,589,000 1,440,000 10%
2300 - Conservation 624,000 - 624,000 589,000 6%
3000 - Finance 890,700 381,300 1,272,000 1,249,000 2%
3200 - Information Technology 711,100 261,900 973,000 932,000 4%
3300 - Customer Service 1,107,900 399,100 1,507,000 1,615,000 -7%
3400 - Meter Services 290,000 - 290,000 295,000 -2%
4000 - Engineering 1,080,800 463,200 1,544,000 1,551,000 0%
5000 - Water Production 4,493,000 - 4,493,000 4,493,000 0%
5100 - Water Treatment 905,000 - 905,000 870,000 4%
5200 - Water Quality 480,000 - 480,000 461,000 4%
6000 - Maintenance Admin 390,600 43,400 434,000 435,000 0%
6100 - Water Maintenance 2,485,000 - 2,485,000 2,617,000 -5%
6200 - Wastewater Maintenance - 803,000 803,000 814,000 -1%
6300 - Wastewater Treatment - 8,586,000 8,586,000 8,665,000 -1%
7000 - Facilities Maintenance 824,500 197,500 1,022,000 998,000 2%
7100 - Fleet Maintenance 450,000 50,000 500,000 586,000 -15%
TOTAL $ 18,067,000 $ 12,324,000 $ 30,391,000 $ 30,195,000 1%
GOVERNING BOARD
•Conduct General Manager/CEO annual evaluation, including establishment of FY 2019-20 Goals
•Consider actions related to the North Fork Water Company consolidation
•Conduct Board Member evaluations and establish Board leadership positions
Provide Organizational Direction and Set Expectations through Policy Decisions
•Consider agenda items related to on-going construction of the SNRC
•Evaluate staffing plan and program proposals related to the operation of the SNRC
•Participate in activities that encourage community engagement for the SNRC
Address Policy Related Decisions Related to the Sterling Natural Resource Center
(SNRC)
•Evaluate and consider agenda items related to water/wastewater rate studies
•Support development of a resource list for the implementation of the 5-Year Work Plan
•Consider a Memorandum of Understanding with the East Valley Water District Employee
Partnership
Make Financial Decisions that Result in Stability and Understanding Operational
Complexities
1%
% of Total Operating Budget
8
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 257,000 $ 257,000 0%
GENERAL ADMINISTRATION
•Update and post required information to the District’s website
•Complete and submit an application and the required documents for approval
Complete Reaccreditation Process for SDLF District Transparency Certificate of
Excellence and District of Distinction Accreditation
•Continue acquiring remaining shares of North Fork Water Company
•Coordinate with legal counsel to determine how North Fork Water Company will operate
in the future
Complete Consolidation/Dissolution of North Fork Water Company
•Evaluate and identify industry best practices to be included in the new policy
•Prepare draft policy to include comments and suggestions received from staff
•Finalize and implement approved policy
Develop Agenda Policy and Procedures to Standardize Business Processes
•Resolve administrative challenges related to the CHEF building site
•Continue efforts to develop a fundraising plan and financial goals
Finalize Preliminary Design of Community Heritage and Education Foundation
(CHEF) Building
4%
% of Total Operating Budget
9
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 1,304,000 $ 1,302,000 0%
HUMAN RESOURCES
•Amend District organizational chart to include new job classifications, job descriptions, and
pay scales for the identified classifications
•Develop an action plan for a Wastewater Operator -in-Training program to prepare internal
candidates for future employment opportunities at the SNRC
•Develop a marketing strategy to attract quality candidates for SNRC employment
opportunities
Initiate Programs in Support of the SNRC Workforce Needs
•Update the District’s Succession Plan to identify organizational growth and provide
development opportunities for staff
•Develop pre-retirement transition plans to assist retirees in preparing for retirement and
provide the District with the opportunity to capture institutional knowledge
•Conduct a comprehensive compensation analysis and update the District’s compensation
policy
Promote a Positive Organizational Culture that Maintains a Supportive and
Encouraging Work Environment
•Work with San Bernardino City Unified School District on elevating the Water and Resource
Management Pathway Program
•Partner with Generation Go, the Workforce Development Department’s work -based learning
program, to provide internship opportunities to high school students
•Update the District’s Volunteer Program to include SNRC related volunteer opportunities
Promote Regional Involvement to Provide Workforce Experience and Educational
Opportunities
4%
% of Total Operating Budget
10
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 1,024,000 $ 1,325,000 29%
PUBLIC AFFAIRS
•Begin developing operational plans and identifying contract services necessary for the Administration Center
for the SNRC
•Coordinate with outside Government agencies for necessary approvals and review of relevant subject matter
relating to the SNRC
•Oversee construction of the Administration Center within allocated scope of the Guaranteed Maximum Price
•Maintain community engagement including weekly social media posts, regular print advertisements, and
internal communications to share critical project information
•Begin quarterly meetings of the SNRC Community Group
Advance Construction of the SNRC and Prepare for Facility Operations
•Develop proposition notices and outreach material to inform customers of proposed rate changes for water
and wastewater services
•Develop door hangers and project notices for all current year CIP projects (English/Spanish)
•Develop a monthly report to highlight internal communications efforts and assess the effectiveness of the
tools
•Develop and implement an outreach effort to increase customers’ understanding of budget -based rates
through social media posts, community events, and bill redesign
Utilize Communication Methods that Enhance the District’s Brand
•Conduct quarterly emergency preparedness trainings for staff
•Complete necessary reporting requirements related to the COVID -19 local state of emergency
•Finalize the updated Emergency Response Plan and Hazard Mitigation Plan as required by FEMA and the
EPA
•Evaluate and assess the District’s current Department Operations Center for needed enhancements to
infrastructure and equipment
•Implement a quarterly campaign to improve the District’s customer contact database
Advance the District’s Emergency Preparedness Program to Effectively Respond in
an Emergency
5%
% of Total Operating Budget
11
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 1,440,000 $ 1,589,000 10%
CONSERVATION
•Gather information necessary to update the District’s Drought Risk Assessment within the
required timeline
•Draft the District’s Water Shortage Contingency Plan and work with Engineering for data
collection to meet SWRCB requirements for the Regional Urban Water Management Plan
•Remain in compliance with the State’s monthly reporting requirements
•Facilitate the annual water audit submittal, develop an action item list, and track results
Coordinate with District Programs/Departments to Complete Necessary
Conservation Reporting
•Work with IT to build GIS maps that display rebate program participation
•Hold four conservation workshops in English (2) and in Spanish (2)
•Develop a program to identify customers with inefficient water use for participation in the
District’s rebate programs
•Understand and adopt industry standards or best practices for gathering conservation data
information
Evaluate Rebate Program Success and Implement Program Enhancements
•Actively participate in the regulatory and legislative process as new conservation guidelines
are considered
•Develop tracking measures to highlight financial impact on operations should affordable -rate
regulations be considered
•Provide quarterly updates to the Legislative Committee and Semi -Annual to the Governing
Board to ensure they are informed of the changing conservation requirements and other
legislative issues
Engage in the Legislative Process as it Relates to Changes in Regulations
2%
% of Total Operating Budget
12
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 589,000 $ 624,000 6%
FINANCE & ACCOUNTING
•Work with Bond Council to restructure current bonds to take advantage of the financial market
and record the debt in accordance with GAAP
•Coordinate Public Hearing and noticing efforts with Public Affairs to comply with Proposition
218 requirements and implement adopted rates in District’s utility billing software
•Identify the financial impact with affordable -rate regulation consideration working in
collaboration with Conservation and Public Affairs
Financial Stability with Full Understanding of Operational Complexities
•Develop a listing of vendors and contract services based on recommendations from
Engineering and regional wastewater agencies
•Develop a comprehensive salaries and benefits analysis based on the staffing schedule for the
SNRC and the District
•Develop an allocation plan to determine each funds’ proportionate share of the SNRC
operating and capital costs
Fully Understand the Cost Associated with the SNRC Operations
•Hold a series of meetings with Engineering and Information Technology staff to fully
understand linkage between Tyler and GIS
•Develop plan for estimating costs in Tyler for old assets and for distributing costs in GIS
Link Fixed Asset Information in Tyler Accounting System to Digitized Maps in
Geographical Information System (GIS) Program
4%
% of Total Operating Budget
13
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 1,249,000 $ 1,272,000 2%
INFORMATION TECHNOLOGY
•Broaden network server infrastructure by upgrading End -of-Life Cisco servers and VMware
licensing to support the SNRC and Plant 134
•Work with Operations to enhance SCADA infrastructure and improve radio communication at
each site
•Expand hardware needs for operations staff and simplify staff processes through mobile
devices
Fortify IT Infrastructure for Reliability and Expand Services for HQ, SNRC, and Plant
134
•Engage staff with cybersecurity training and monthly Phishing emails to mitigate security risk
•Heighten IT staff knowledge and skills through professional development for IT standards
•Assess and enhance remote capabilities for staff and EOC operations
•Implement imaging software to allow image and recovery of computer systems to minimize
downtime
Proactively Improve Systems and Cybersecurity Measures for Internal and
Emergency Response Functions
•Work with consultant to enhance reporting and business analytics through Microsoft BI
•Assist Finance with GIS and Tyler integration
•Expand DocuSign E-form capability to streamline internal processes and create another outlet
for customer and District engagement
•Work with Operations to select an asset management system
•Assess Cityworks and current GIS infrastructure with Engineering to fit the organizational
needs recommended through the IT strategic plan
Analyze Current Systems to Enhance Reporting and Automate Processes
3%
% of Total Operating Budget
14
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 932,000 $ 973,000 4%
CUSTOMER SERVICE
•Work with Field and IT to Re-Evaluate Cityworks and attend product demonstrations for
alternate work order system if scheduled
•Develop SNRC action plan and, if necessary, prepare justification for an additional full -time
employee
•Work with IT to activate autopay with credit card while remaining PCI compliant
•Work with the Business Services Manager to update physical/digital access where needed
Develop Strategies to Address Organizational Service Needs
•Meet quarterly with Public Affairs for updates on proposed/pending legislation
•Reassess written policy and departmental procedures related to SB 998
•Assist with preparation of Customer Service talking points to address customer inquiries
related to proposed Water Tax legislation
•Review and propose changes to Miscellaneous Fee Schedule related to Customer Accounts
Modify Processes to Comply with Changes in Legislation While Maintaining
Financial Stability
•Estimate water saved, log all leak notifications, and contact customers to minimize water
losses
•Work with Public Affairs to create customer educational materials about Smart Meter Portal
and setting up alerts
•Review routes and billing dates for possible changes to accommodate timing of bills to
customers on fixed incomes
Work with Engineering and IT to Complete AMI Installations and Fully Utilize Smart
Meter Capabilities
5%
% of Total Operating Budget
15
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 1,615,000 $ 1,507,000 -7%
METER SERVICES
•Identify needed vault lid replacements and create prioritized replacement schedule
•Visually inspect all meter boxes in routes included in Phase I of AMI implementation
Develop Inspection Program for Facilities in AMI Areas No Longer Read Manually
•Verify meter lid sizes, meter size, and lay length in preparation for future AMI Phases
•Install AMI meters at accounts bypassed by the AMI Contractor due to special issues or
concerns
Collect Information on Remaining Manual-Read Meters to Facilitate Early
Completion of AMI Implementation Project
•Conduct an audit of 10% of large meters for accuracy to ensure compliance with AWWA
standards
Continue Meter Testing Programs in Compliance with State Water Audits Best
Practices
1%
% of Total Operating Budget
16
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 295,000 $ 290,000 -2%
ENGINEERING
•Issue design and construction contract for rehabilitation of reservoir at Plant 108
•Complete rehabilitation of Plant 101
•Facilitate completion of design for main replacement projects identified in CIP for FY 2020 -21
•Support the development of CFD for the Highland Hills development
•Continue to lead AMI implementation
Develop and Implement the District’s Capital Improvement Program to Address
Rehabilitation and Maintenance Needs While Also Preparing for New Development
•Complete pre-design report for the Water Treatment Plant at the east -end of the District’s
service area
•Initiate contract for design-build of process improvements related to disinfection byproduct
control at Plant 134
•Install meter facilities and reporting tools to document North Fork water going to surface
spreading
Develop Plans to Optimize District Utilization of Local and Imported Surface Water
•Lead development of facility start-up plans
•Support construction efforts by facilitating any documentation or decisions necessary
•Continue working with regulatory agencies to receive needed approvals and permits
Support the Steps Necessary for Advancement of the SNRC
5%
% of Total Operating Budget
17
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 1,551,000 $ 1,544,000 0%
WATER PRODUCTION
•Develop a pumping plan to rehabilitate tank 108
•Identify and isolate all valves required to drain and rehabilitate tank
•After construction fill, sample, and bring the tank back online
Support Engineering and the Contractor Assigned to Plant 108 Tank/Reservoir
Rehabilitation Projects
•Collaborate with consultants to develop RFP for the SCADA masterplan
•Work with IT to identify scope of work and complete phase three to upgrade SCADA radios
•Move forward and assign staff to assist with radio contractors’ recommendations
Implement Improvements to Enhance the SCADA System
•Determine size and flow requirements and install water meters at the properties
•Abandon weirs and other facilities made unnecessary by shareholder agreements
Transition Remaining NFWC and Bear Valley Mutual Water Company Shareholders
from the North Fork Canal/Pipeline to Alternative Metered Connections
•Hire a SCADA contractor and electrician to install the necessary equipment to control the Plant
•Clean and rehabilitate the forebay downstream of the well
•Inspect and make necessary repairs to the boosters on site
Bring Plant 120 Online to Produce 600-800 Gallons Per Minute
15%
% of Total Operating Budget
18
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 4,493,000 $ 4,493,000 0%
WATER TREATMENT
•Understand recommendations for additional treatment processes needed to maintain high
water quality
•Assist in capital planning for new treatment processes
Support Anticipated Design Build Efforts at Plant 134 for Granular Activated Carbon
(GAC) and Sludge Removal Capital Projects Per SWRCB Recommendations
•Identify the modules to be replaced in Phase 4
•Procure the needed membrane modules from the manufacturer in accordance with the
District’s purchasing policy
•Coordinate and schedule the in-house installation of the new membranes
•Hire contractor to install air control valves
Complete Plant 134 Membrane Replacements Using a Five-Phase Replacement
Plan and Replace Air Control Vales for Trains
•Purchase proper cells
•Coordinate and schedule installation
Replace All 5 Chlorine Generation Cells at Plant 134
3%
% of Total Operating Budget
19
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 870,000 $ 905,000 4%
WATER QUALITY
•Develop sampling programs to maximize treatment process efficiencies
•Support efforts to assist in treatment process improvements at Plant 134
•Contract for installation of tank mixing equipment in District reservoirs at Plant 129
Evaluate Water Quality Regulations and Improve Process Efficiencies to
Enhance Water Quality Compliance
•Develop Fats, Oil and Grease (FOG) program language for incorporation into the
District’s Sewer Use Ordinance
•Analyze and report to management the effect of SB 998 on District’s ability to enforce
compliance with annual backflow testing
Implement In-House Environmental Controls and Compliance Program
Improvements
2%
% of Total Operating Budget
20
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 461,000 $ 480,000 4%
WATER MAINTENANCE
•Exercise all gate valves between Boulder Avenue on the east, and Central Avenue on the west
•Work with Production to perform inspection and operation of critical valves at 12 plants
•Inspect and, if necessary, paint 1,500 hydrants
Prioritize Preventative Maintenance Schedules to Ensure Equipment Readiness for
Emergency Response
•Replace 550 linear feet of 4” with new 8” water main on 14th St
•Replace 250 linear feet of 3” with new 6” water main on Mirada St
Complete Two In-House Water Main Projects
•Identify weaknesses of existing software programs
•Conduct needs-assessment
•Coordinate with IT to hold product demonstrations
•Work with IT to ensure all Field Staff is equipped with appropriate mobile devices
•Collaborate with IT to fix data connectivity issue
Complete Evaluation of Existing Technology/Software and Requisition
Upgrades/Replacements if Necessary
10%
% of Total Operating Budget
21
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 3,052,000 $ 2,919,000 -4%
WASTEWATER MAINTENANCE
•Video inspect and assess all District mains between the northern and southern District
boundaries, and between Del Rosa and Victoria
•Clean a minimum of 110 miles of wastewater main
Continue Wastewater Collection System Maintenance and Management
•Contract for video inspection of recently acquired East Trunk sewer main south of Baseline
(33,000 ft)
•Install flow sensors in manholes of five selected mains
Implement Procedures to Enhance Monitoring of High-Flow Sewer Mains
•Train all field staff on the new vactor
•Train all field staff on lateral launcher and new CCTV truck
Update Staff Training to Include Enhanced Functions of New Equipment
31%
% of Total Operating Budget
22
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 9,479,000 $ 9,389,000 -1%
FACILITIES MAINTENANCE
•Work with IT to complete security system and digital access at Plant 134
•Remodel laboratory at Plant 134 to include restroom, flooring, and cabinetry
Complete Long-Term Site Improvements for Plant 134
•Develop a comprehensive site improvement project list
•Replace fence and repair asphalt driveway at Plant 34 and 141
•Paint existing building at Plant 33
•Complete upgrades on HVAC systems at Plants 129 and 142
Complete Systematic Upgrades and Rehabilitation of District Facilities
•Collaborate with IT and other departments in selecting an asset management program that
suits maintenance program needs
•Complete incorporating facilities data into selected Facilities Maintenance Program
•Implement a consistent tracking program and help provide training for staff
Develop a Facilities Maintenance Program to Track and Anticipate Future Costs
Associated with All District Facilities
3%
% of Total Operating Budget
23
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 998,000 $ 1,022,000 2%
FLEET MAINTENANCE
•Continue quarterly inspections with air quality consultant for Air Quality Management
District and California Air Resources Board
•Schedule semi-annual-site employee safety training for vehicles and equipment
•Transmit emissions data to the Bureau of Automotive Repair using new Network Fleet
devices
Remain Current on Air Quality and Highway Safety Regulations
•Collaborate with IT to maximize on vendor reporting capabilities
•Work with vendor to refine list of pre-approved work to mitigate delays on safety repairs
•Contract with vendor to provide detailing for specialized equipment
Enhance Vendor-Managed Fleet Maintenance Program
2%
% of Total Operating Budget
24
FY 2019-20
BUDGETED
FY 2020-21
PROPOSED CHANGE
$ 586,000 $ 500,000 -15%
CAPITAL BUDGET
25
CAPITAL OUTLAY
26
All Capital Outlay Is Funded By Operating Revenue
DESCRIPTION AMOUNT
Wastewater Enterprise Cost of Service Analysis $ 50,000
vSphere Enterprise Plus (Virtualization and Licensing) 70,000
Hardware Replacements (5 Servers) 33,000
UCS Mini (Server Chassis) 70,000
Microsoft Server Licensing 32,000
Device Replacements 25,000
Switches (2) 10,000
Regional Urban Water Management Plan 50,000
SCADA Masterplan 150,000
SCADA Radios 50,000
Santa Ana River Watershed Survey 50,000
SUBTOTAL $ 590,000
CAPITAL OUTLAY (CONTINUED)
27
DESCRIPTION AMOUNT
Tank Mixers - Plant 129 $ 40,000
Asphalt Grinding Tool 25,000
Trailer Mounted Jetter for Manholes 50,000
CCTV Truck 250,000
Sewer Overflow Sensors 50,000
Server Room Exhaust Fan 20,000
HVAC Upgrades (Plants 56, 59, 129, and another) 30,000
Backhoe 200,000
Crew Truck 150,000
Light Duty Trucks 225,000
SUBTOTAL FROM PREVIOUS PAGE $ 590,000
TOTAL CAPITAL OUTLAY COSTS $ 1,630,000
All Capital Outlay Is Funded By Operating Revenue
CAPITAL IMPROVEMENT PROJECTS –WATER FUND
28
Current Operating
Revenue
$3,070,000
Replacement
Reserves
$0
Grants/Loans
$900,000
Funding Sources for
Water Projects
DESCRIPTION AMOUNT
AMI Meter Replacement Program $ 450,000
Plant 134 - Process Improvements 900,000
Plant 134 - Sludge Management 100,000
Plant 134 - Site Improvements 600,000
Plant 134 - Membrane Replacement / Valves 350,000
Tank / Reservoir Rehabilitation - Plant 108 600,000
Plant 120 - Forebay Repair / SCADA Installation 100,000
Plant 101 - Rehabilitate Hydro System 100,000
Water Mains - 14th Street, Mirada Street 200,000
Facility Relocations 100,000
Facility Rehabilitations - Plant 34 245,000
Well & Booster Improvements / Rehabilitations 50,000
East Surface Water Treatment Plant (Preliminary Design Report) 175,000
TOTAL PROJECT COSTS $ 3,970,000
CAPITAL IMPROVEMENT PROJECTS –WASTEWATER FUND
29
Funding Sources for
Wastewater Projects
Wastewater
Operating Revenue
$395,000
Grants / Loans / Other Funding
$81,000,000
DESCRIPTION AMOUNT
Wastewater Main Rehabilitation - Lillian Lane, 11th Street $ 200,000
Sterling Natural Resource Center (SNRC) 81,195,000
TOTAL PROJECT COSTS $ 81,395,000
AUTHORIZED
POSITIONS
30
31
AUTHORIZED POSITIONS
•Total Full-Time Positions: 66
•Part-Time Positions: 2
•Position Changes:
•Customer Service Rep I
•Transitioned Part-Time to Full-Time
•Senior Engineer
•Sr. Engineering Technician Retired
•Engineering Technician II Retired
•Creative Services Representative
•Filled by Consultant
LEADERSHIP | PARTNERSHIP | STEWARDSHIP
2020-21
Building Partnerships
Fiscal Year Proposed Budget
HIGHLAND, CALIFORNIA
contentsTABLE OF
Transmittal Letter ......................................................1
FY 2019-20 in Review .....................................................1
District Management .......................................................1
Introduction .................................................................1
Budget Guide ....................................................................1
Statistical/Supplemental Information ..........................1
Organizational Structure ................................................1
District Vision.....................................................................1
Financial Summary .................................................1
Financial Policies ..............................................................1
Budget Process ................................................................1
Current & Proposed Budget Cycle Calendar .......1
Basis of Budgeting ...........................................................1
Fund Structure ..................................................................1
Fund/Program Relationship ...........................................1
Budget Summary ..............................................................1
Revenue Summary ...........................................................1
Expenditure Summary .....................................................1
Outstanding Debt .............................................................1
Unrestricted Fund Equity (Reserves) ...........................1
Long Range Financial Plan ............................................1
Consolidated Financial Schedules .........................1
Consolidated Financial Summary ................................1
Water Fund .........................................................................1
Wastewater Fund .............................................................1
Program Summaries ................................................1
Program Descriptions .....................................................1
Position Summary Schedule .........................................1
Governing Board ..............................................................1
General Administration ...................................................1
Human Resources ............................................................1
Public Affairs ......................................................................1
Conservation .....................................................................1
Finance & Accounting .....................................................1
Information Technology ..................................................1
Customer Service .............................................................1
Meter Services ..................................................................1
Engineering ........................................................................1
Water Production ..............................................................1
Water Treatment ...............................................................1
Water Quality .....................................................................1
Water Maintenance ..........................................................1
Wastewater Maintenance ..............................................1
Facilities Maintenance ....................................................1
Fleet Maintenance ...........................................................1
Capital Budget ............................................................1
Capital Expenditures .......................................................1
Capital Budget ..................................................................1
Capital Improvement Projects.......................................1
Accomplishments .............................................................1
Glossary........................................................................1
Chart of Accounts ............................................................1
partnershipLEADERSHIP
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DISTRICT MANAGEMENT
FISCAL YEAR IN REVIEW
The annual budget development
provides an opportunity for cooperation
and collaboration with the understanding
that an efficient operation requires high
degrees of teamwork and focus.
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Transmittal Letter Placeholder
introduction
LEADERSHIP | PARTNERSHIP | STEWARDSHIP
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STATISTICAL/SUPPLEMENTAL INFORMATION
BUDGET GUIDE
ORGANIZATIONAL STRUCTURE
DISTRICT VISION
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The financial plan serves as a
policy document, operations guide
for programs, and as a means of
transparent communication.
11
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EAST VALLEY WATER DISTRICT
GuideBudget
The financial plan serves as a policy document, operations guide for programs, and as a means of transparent
communication. The intended audience of the budget document is citizens, local businesses, creditors, governmental
agencies, and other stakeholders.
THE BUDGET DOCUMENT IS THE DISTRICT’S ANNUAL
FINANCIAL PLAN PREPARED BY DISTRICT STAFF AND
APPROVED BY THE GOVERNING BOARD.
BUDGET DOCUMENT SECTIONS
The budget document consists of 8 sections including:
Transmittal Letter
This section includes the District Officials, General
Manager/CEO’s Budget Transmittal Letter, Strategic
Plan, District-Wide Goals, and Priorities and Issues.
Introduction
The Introduction section includes the Budget Guide,
Statistical/Supplemental Information, Organizational
Structure, and District Vision.
Financial Summary
This section presents an in-depth District-Wide
overview of the FY 2020-21 Budget.
Consolidated Financial Schedules
This section is a comprehensive summary of the
District’s Operating Budget presented for the District
as a whole, and then for each of the District Funds.
Program Summaries
This section provides comprehensive information for
each functional program within the District including
their operational budget. The FY 2020-21 Budget is
organized into the following summary programs:
• Governing Board
• General Administration
• Human Resources
• Public Affairs
• Conservation
• Finance and Accounting
• Information Technology
• Customer Service
• Meter Services
• Engineering
• Water Production
• Water Treatment
• Water Quality
• Water Maintenance
• Wastewater Maintenance
• Facilities Maintenance
• Fleet Maintenance
INTRODUCTION
FISCAL YEAR BUDGET 2020-202112
Each program section includes:
• Program Personnel: This section is the authorized
personnel allocated to each program with a
program organization chart.
• Program Structure: This chart displays the chain of
command for program personnel.
• Function: This section includes a basic description
of the responsibilities of each program.
• Goals & Objectives: This section identifies specific
goals and objectives for FY 2020-21.
• Accomplishments: This section includes highlights
from FY 2019-20.
• Significant Changes: This section identifies causes
of significant changes to program funding.
• Levels of Service: This section links key
performance indicators to the Agency Goals and
Objectives.
• Key Performance Indicators: These tables present
measures that help the District define and evaluate
a program’s performance.
• Program Budget Detail: This section is a
breakdown of the program expenditures by
category or line item.
CAPITAL BUDGET
This section presents the Capital Outlay expenditures
and Capital Improvement Projects for the FY 2020-21
Budget.
GLOSSARY
This section provides definitions for general terms and
the Chart of Accounts used throughout the budget
document.
DistinguishedBudget PresentationAward
GOVERNMENT FINANCE OFFICERS ASSOCIATION
July 1, 2019
For the Fiscal Year Beginning
PRESENTED TO
East Valley Water District
Executive Director
California
The Government Finance Officers Association of
the United States and Canada (GFOA) presented
a Distinguished Budget Presentation Award
and the California Society of Municipal Finance
Officers (CSMFO) presented the Excellence
Award for its annual budget for the fiscal year
beginning July 1, 2019. In order to receive these
awards, a governmental unit must publish a
budget document that meets program criteria as
a policy document, as an operations guide, as a
financial plan, and as a communication device.
These awards are valid for a period of one year
only. We believe our current budget continues to
conform to program requirements, and we are
submitting it to GFOA and CSMFO to determine
its eligibility for another award.
Budget Awards
EAST VALLEY WATER DISTRICT 13
INTRODUCTION
BUDGET FINANCIAL INFORMATION
East Valley Water District operates on a fiscal year, or budget time period, that begins on July 1 and ends June 30.
The columns typically presented are:
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed % Changed
FY 2018-19 Actuals
Actual financial information for FY 2018-19 as reported
in the Comprehensive Annual Financial Report. The
actual financial information is reported in the budget
document on a budgetary basis.
FY 2019-20 Budget
The FY 2019-20 Budget was adopted by the
Governing Board on June 26, 2019 and may also
include any adjustments approved by the Governing
Board at the Mid-Year Budget Review.
FY 2019-20 Projected
The FY 2019-20 Projected column reflects the FY 2019-
20 Budget in addition to any budget amendments
approved by the Governing Board during the fiscal
year. The FY 2019-20 Projected column is also
adjusted to reflect management’s estimate of what
revenues and expenditures will be at the end of the
fiscal year.
FY 2020-21 Proposed
This column initially reflects the FY 2020-21 Proposed
Budget submitted by the General Manager/CEO. After
the Governing Board reviews and approves the FY
2020-21 Budget, the information in the FY 2020-21
column changes, if necessary, to reflect the Board’s
actions.
Amount Changed / % Change
These columns provide the amount changed/percent
change from the previous year’s budget to the newly
proposed budget.
Three years of financial information are
presented to facilitate user analysis.
FISCAL YEAR BUDGET 2020-202114
This includes over 103,000 people within the cities of Highland and San Bernardino, portions of unincorporated County
of San Bernardino, the San Manuel Band of Mission Indians, and Patton State Hospital.
The District was formed through a local election of mostly citrus grove operators, to have water service provided by a
public agency. EVWD is located in the foothills of the San Bernardino Mountains, 65 miles east of Los Angeles in the
County of San Bernardino.
EVWD PROVIDES WATER AND WASTEWATER SERVICES TO
RESIDENTS WITHIN ITS 30.1 SQUARE MILE AREA.
InformationStatistical/Supplemental
210
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HIGHLAND
SAN BERNARDINO
District Boundary Map
SEVEN OAKS DAM
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WATER SOURCES
With a service area just over 30 square-miles, the District has three sources for water, the Santa Ana River, the Bunker
Hill Groundwater Basin, and the State Water Project. The Santa Ana River (SAR) starts with natural springs and snow
melt high in the San Bernardino Mountains. Groundwater is drawn from the Bunker Hill Basin, a natural underground
storage area made up of soil, sand, and gravel. A portion of the District’s water is imported from Northern California
EAST VALLEY WATER DISTRICT 15
through the State Water Project. EVWD has access to
this water through San Bernardino Valley Municipal
Water District (SBVMWD). The District anticipates using
all of the allocated North Fork Shares to be used for
groundwater replenishment rather than treated and
used in the water distribution system directly. Not only
will this help to contribute to a healthy basin level, it
will offset the District’s cost obligation toward the
Groundwater Council.
WASTEWATER
COLLECTION & TREATMENT
The District is responsible for the collection and
conveyance of wastewater within the service area.
Currently, all wastewater is sent to the San Bernardino
Municipal Water Department facilities, where it is
treated in accordance with a Joint Powers Agreement.
In 2018, East Valley Water District successfully received
authorization for reorganization to include wastewater
treatment authority by the Local Agency Formation
Commission (LAFCO). This allows for the District to
construct and ultimately operate facilities to treat
wastewater collected from within its service area.
EVWD is constructing the Sterling Natural Resource
Center (SNRC) facility in the city of Highland that will
treat up to 10 million gallons of wastewater daily for
recharge into the Bunker Hill Groundwater Basin. This
project will create a drought-proof recycled water
supply which will result in hundreds of millions of
gallons of water stored for use in dry years for beneficial
reuse higher in the Santa Ana River watershed. The
SNRC will also provide an opportunity for potential
new and/or enhanced riparian and aquatic habitats in
City Creek. This project broke ground in late 2018 with
construction completion anticipated in early 2022.
Once construction on the SNRC is completed, EVWD
will be responsible for treating the wastewater created
within its service area.
76%23%
1%
Santa Ana River
(Surface Water)
Bunker Hill Basin (Groundwater)
Imported State Water Project (Surface Water)
Sources of Water
POPULATION GROWTH
Population growth projections vary within EVWD’s service area due to a number of proposed developments with
unspecified timing for completion. There are a number of future developments planned within the EVWD service
area including:
• The development of diverse housing from large estate lots to multifamily units. Additional planned services
of the area may include 14 to 21 acres of commercial services, a new fire station equipped with a police
substation, and a new art school. The new development consists of approximately 1,650 acres and may
add approximately 11,800 to 12,400 new residents in the District upon buildout anticipated in 2035.
• Unit development project offering a variety of housing opportunities. The development density allows for
a minimum of 250 housing units and a maximum of 800 house units. The development will be located
along Greenspot Road and the 210 Freeway.
• Residential planned community of 316 housing units. The permitted land use types of this area focus
towards low to medium density residential units with additional inclusion of open space, agriculture, parks
and recreation.
INTRODUCTION
FISCAL YEAR BUDGET 2020-202116
CLIMATE
The climate in the cities of Highland and San Bernardino
varies throughout the year, but overall is considered arid.
On average, there are 283 days of sunshine per year.
Temperatures average a daily high of 94 degrees in the
summer and a daily low of 42 degrees during the winter.
This area typically averages 13 inches of precipitation
annually, mostly during the months of January through
March.
GOVERNMENT
East Valley Water District is a California Special District
established in 1954. The District has a five-member
Governing Board elected by voters at-large to staggered
four-year terms. The Governing Board represents the
public’s interest as policy makers with regards to rate
for service, policies, ordinances, and budget adoption.
Appointed by the Governing Board, the General
Manager/CEO is responsible for overseeing daily
operations and managing staff resources.
The District is a rate-based organization that receives
no tax-related revenue and operates in accordance with
Division 12 of the California Water Code.
East Valley Water District’s service area includes the city
of Highland, San Manuel Band of Mission Indians, Patton
State Hospital, and portions of both the city and county
of San Bernardino. Additionally, the District is within the
Sphere of Influence of the Inland Valley Development
Authority which oversees the reuse of the former Norton
Air Force Base.
EVWDEVWD
CaliforniaAverage
City ofSan Bernardino
City ofHighland
County ofSan Bernardino
$47,000
$41,000
$55,000
$57,000
$67,000
Average Household Income
*Income information retrieved from census.gov.
EDUCATION
Residents within East Valley Water District’s service area
have access to award winning K-12 schools through
the Redlands Unified School District (RUSD) and San
Bernardino City Unified School District (SBCUSD). Higher
education institutions located near East Valley Water
District’s service area include: California State University,
San Bernardino; California Baptist University; Loma
Linda University; University of California at Riverside;
and University of Redlands. Community colleges within
the region include: Crafton Hills College; Riverside City
College; and San Bernardino Valley College.
2018-19 Graduation Rates
92.1%90.4%
89.3%88.1%
RUSD SBCUSD
County ofSan Bernardino
State ofCalifornia
Graduation information retrieved from cde.ca.gov.
EAST VALLEY WATER DISTRICT 17
INTRODUCTION
HOSPITAL & MEDICAL FACILITIES
Hospital and medical facilities located in or near the East
Valley Water District service area include Arrowhead
Regional Medical Center, Loma Linda University
Medical Center, Kaiser Foundation Hospital, Redlands
Community Hospital, Community Hospital of San
Bernardino, J. Pettis Veteran’s Administration Hospital,
and St. Bernardine Medical Center. Additionally, there
are a number of urgent care and outpatient facilities
located throughout the region.
TRANSPORTATION
Public transportation is available within the East Valley
Water District service area through OmniTrans. With a
variety of routes, OmniTrans provides busing services
throughout the San Bernardino Valley, including cities
of Highland and San Bernardino.
Community members have access to the Metrolink
commuter rail service, which provides long distance
transportation to commuters from the San Bernardino
area to major centers of employment including Los
Angeles and Orange County.
Interstate 210 and both State Route 18 and 330 traverse
through the District’s boundaries. These roadways
provide access to major transportation corridors
including Interstates 215, 15, and 10; and State Routes
18, 38, 60, and 91.
PUBLIC SAFETY
East Valley Water District serves members of the
community within the cities of Highland and San
Bernardino, unincorporated County of San Bernardino
and San Manuel Band of Mission Indians. Within these
communities law enforcement is provided by the
San Bernardino County Sheriff’s Department, City of
San Bernardino Police Department, and San Manuel
Department of Public Safety. Fire protection services
are provided by the California Department of Forestry
and Fire Protection (CalFire), San Bernardino County
Fire Department, and the San Manuel Fire Department.
MAJOR EMPLOYERS
Major employment industries within the cities of
Highland and San Bernardino include education,
mental health services, public administration, rail,
health care, public safety, casinos, transportation, and
construction.
District Spotlight
103,000
population served
Miles ofsewer videoMonitoring
263
water leaksrepaired
1,577
linear feet ofnew watermain installed
square mile service area
30.1
miles ofsewer cleaned
300
3,400SAMPLES COLLECTED
47415,000,000
Average Gallons OFwater produced/day
28,977,000
gallons of water storage
enough to fill 44 olympic-sized swimming pools
MILES OFWATER MAINS 214 MILES OFSEWER MAINS
hydrants flushed646hydrants repaired orreplaced & Painted
activegroundwaterwells
4,891MANUAL AND16,016AMI AUTOMATIC METERSREAD MONTHLY
6,000,000
average gallons ofsewer conveyed daily
127
LOW WATER USEPLANT SPECIES INDISTRICT GARDEN
60+
FISCAL YEAR BUDGET 2020-202118
DISTRICT VISION
East Valley Water District has set out to be a world class organization, with a focus not only on providing safe and reliable
drinking water but of enhancing and preserving the quality of life for our community. In order to achieve these high
expectations, a series of planning and tracking measures must be implemented. Through a series of planning measures,
the Governing Board, staff, and the community have developed a District Vision that empowers the organization to take
actions to be innovative, efficient, and effective.
Through a series of meetings with staff at all levels of the organization, a Five-Year Work Plan has been prepared with
an emphasis on the elements needed to clearly look to the future. This effort is designed to consider general policy
direction and highlight priority projects that allows for the consideration of specific tasks necessary for implementation.
The District now has a series of guiding elements that have established varying degrees of direction for operational and
planning decisions. The Strategic Plan includes: the District Vision, Core Values, Agency Goals and Objectives, Five-Year
Work Plan, Annual District-Wide Goals, Program Goals, and Individual Goals.
By setting clear expectations, all staff members are encouraged to be active participants in operations while looking for
opportunities to make a positive impact on the community.
En ance and Pre ervethe ualit of Life
FOR OUR COMMUNITY THROUGH INNOVATIVE LEADERSHIP
World Cla &
Public ervice
Core Values
LEADERSHIP
Motivating a group of people
to act towards achieving a
common goal or destination.
PARTNERSHIP
Developing relationships
between a wide range of
groups and individuals through
collaboration and shared
responsibility.
STEWARDSHIP
Embracing the responsibility
of enhancing and protecting
resources considered worth
caring for and preserving.
EAST VALLEY WATER DISTRICT 19
STRATEGIC PLAN
Agency Goals & Objectives
I.Implement Effective Solutions
Through Visionary Leadership
A. Identify Opportunities to Optimize Natural Resources
B. Maximize Internal Capabilities through Ongoing Professional Development
C. Strengthen Regional, State and National Partnership
D. Encourage Performance Based Results through Staff Empowerment
II.Maintain A Commitment to Sustainability,
Transparency, and Accountability
A. Practice Transparent and Accountable Fiscal Management
B. Utilize Effective Communication Methods
C. Pursue Alternative Funding Sources
D. Provide Quality Information to Encourage Community Engagement
III.Deliver Public Service With Purpose
While Embracing Continuous Growth
A. Advance Emergency Preparedness Efforts
B. Strive to Provide World Class Customer Relations
C. Promote a Positive Organizational Culture
D. Embrace an Environment of Active Learning and Knowledge Sharing
IV.Promote Planning, Maintenance and
Preservation of District Resources
A. Develop Projects and Programs to Ensure Safe and Reliable Services
B. Enhance Planning Efforts that Respond to Future Demands
C. Dedicate Efforts Toward System Maintenance and Modernization
D. Enable Fact-Based Decision Making Through State-of-the-Art Data Management
To maintain momentum and encourage continued growth,
the District adopted these foundational principles.
Adopted January 10, 2018
INTRODUCTION
FISCAL YEAR BUDGET 2020-202120
RATEPAYERS
SR. ADMINISTRATIVE
ASSISTANT
DIRECTOR OF
STRATEGIC SERVICES
HUMAN RESOURCES/
RISK & SAFETY MANAGER
OPERATIONS
MANAGER
DIRECTOR OF
ENGINEERING & OPERATIONS
SR. ADMINISTRATIVE
ASSISTANT
PUBLIC AFFAIRS
SPECIALIST
PUBLIC AFFAIRS
MANAGER
CONSERVATION
COORDINATOR
SR. ADMINISTRATIVE
ASSISTANT
COMMUNITY RELATIONS
REPRESENTATIVE (PT)
WATER PRODUCTION
SUPERVISOR
WATER QUALITY
COORDINATOR
FIELD SERVICE
SUPERVISOR
SR. TREATMENT
PLANT OPERATOR
FACILITY MAINTENANCE
COORDINATOR
FACILITY MAINTENANCE
WORKER
SR. WATER
PRODUCTION OPERATOR
WATER PRODUCTION
OPERATOR III
WATER QUALITY
TECHNICIAN
ADMINISTRATIVE
ASSISTANT
SR. FIELD SERVICE
WORKER
FIELD SERVICE
WORKER III
FIELD SERVICE
WORKER II
FIELD SERVICE
WORKER I
FIELD SERVICE
WORKER
PART-TIME
EQUIPMENT
MECHANIC III
STOREKEEPER/
BUYER
METER READER II
METER READER I
GENERAL
MANAGER/CEODISTRICT CLERK
GOVERNING
BOARD (5)
(7)
(2)
(4)
(5)
(3)
(PT)
(2)
Organizational Chart
EAST VALLEY WATER DISTRICT 21
CHIEF FINANCIAL
OFFICER
INFORMATION
TECHNOLOGY MANAGER
LEGAL COUNSEL
SENIOR
ENGINEER
SR. ADMINISTRATIVE
ASSISTANT
BUSINESS SERVICES
MANAGER
ACCOUNTANT
SR. ACCOUNTING
TECHNICIAN
ACCOUNTING
TECHNICIAN
SR. ADMINISTRATIVE
ASSISTANT
SR. CUSTOMER SERVICE
REPRESENTATIVE
NETWORK
ADMINISTRATOR
INFORMATION
SYSTEMS TECHNICIAN
CUSTOMER SERVICE
REPRESENTATIVE III
CUSTOMER SERVICE
REPRESENTATIVE II
CUSTOMER SERVICE
REPRESENTATIVE
PART-TIME
CUSTOMER SERVICE
REPRESENTATIVE I
(3)
(2)
(2)
(PT)
Management
General StaffExecutive Management
* All positions are full-time unless noted otherwise.
Elected Officials
LEGEND
INTRODUCTION
FISCAL YEAR BUDGET 2020-202122
PROGRAM STRUCTURE
East Valley Water District has built a world-class team of individuals committed to the Agency Vision and Core Values.
The Organizational Chart reflects the current 66 authorized positions in relation to the chain of command structure. It
is important to note that the District fosters a collaborative work environment which encourages communication and
cooperation between different programs. A more detailed look at staffing can be viewed within each individual Program.
The District currently has 17 programs, which are overseen by various members of the Executive Management Team.
This table, reflects the organizational structure based on Program oversight.
RATEPAYERS
BOARD OF DIRECTORS
GENERAL MANAGER/CEO
District
Clerk
Director of
Strategic
Services
Director of
Engineering &
Operations
Chief Financial
Officer
Human
Resources/Risk &
Safety Manager
Operations
Manager
Administration Public Affairs Engineering Finance Human Resources Meter Services
Conservation *Operations Customer Service Water Production
*Information
Technology Water Treatment
Water Quality
Water Maintenance
Wastewater
Maintenance
Facilities
Maintenance
Fleet Maintenance
* This program is overseen by a director position but managed by a member of the executive team.
summaryFINANCIAL
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FINANCIAL POLICIES
CURRENT & PROPOSED BUDGET CYCLE CALENDAR
BASIS OF BUDGETING
FUND STRUCTURE
FUND/PROGRAM RELATIONSHIP
BUDGET SUMMARY
REVENUE SUMMARY
EXPENDITURE SUMMARY
16
The annual budget is an opportunity
to establish priorities for the fiscal year,
identify means to evaluate results, and
ensure that the planned operations
and capital projects responsibly use
District resources.
DEBT OVERVIEW
UNRESTRICTED FUND EQUITY (RESERVES)
LONG RANGE FINANCIAL PLAN
23
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EAST VALLEY WATER DISTRICT
PoliciesFinancial
FINANCIAL SUMMARY
THE EAST VALLEY WATER DISTRICT FINANCIAL
MANAGEMENT POLICIES PROVIDE A BASIC FRAMEWORK
FOR THE OVERALL FISCAL MANAGEMENT OF THE DISTRICT.
The policies represent a foundation for addressing changing circumstances and conditions, and to assist in the
decision-making process. Financial policies represent guidelines for evaluating both current activities and proposals
for future programs. They also reflect long-standing principles and practices, which have enabled the District to
maintain its financial stability. Policies are reviewed annually to ensure the guidelines represent a realistic, current
framework for policy decisions.
OPERATING AND CAPITAL
BUDGET POLICY
Purpose and Scope
The purpose of this policy is to provide guidelines
to assist in the formulation and consideration of a
comprehensive annual budget, one of the most
important financial activities the District undertakes
each year. Those guidelines include a Strategic
Plan and Capital improvement Plan which assist in
completing financial planning cycles that deliver
efficient and effective public services. This policy
applies to all funds under the budgetary and fiscal
control of the Board of Directors.
Balanced Budget
The District will adopt a balanced budget for each
fund this policy covers, where the sum of estimated
revenues and use of reserves is equal to or greater
than current expenditures. Expenditures will include
operating expenses, debt service, and the operating
budget’s contribution to the Capital Improvement
Program (CIP).
Short term operating deficits will be mitigated by
raising rates and fees or cutting costs. The use of one-
time revenues and development fees for the funding
of operating costs is not permitted, and reserves may
only be used for the purpose for which they were
intended in accordance with the District’s designated
funds policy.
The budget development process is outlined in the
following pages.
INVESTMENT POLICY
Purpose and Scope
The purpose of this policy is to establish guidelines
for the prudent investment of District funds in
conformance with California Government Code (CGC)
requirements. The Policy applies to all funds under
direct authority of the District, which does not include
funds held in trust for the District’s retirement plans
and post-employment health benefits.
FISCAL YEAR BUDGET 2020-202124
Objectives
CGC §53600.5 states that, when investing and managing
public funds, the primary objectives, in priority order, of
the District’s investment activities shall be:
• Safety: Safety of principal is foremost, therefore,
investments shall be undertaken in a manner that
seeks to preserve capital while mitigating risks such
as interest rate risk and credit risk.
• Liquidity: The investment portfolio shall remain
sufficiently liquid to enable the District to meet all
operating requirements that can reasonably be
anticipated.
• Return on Investment: The investment portfolio shall
be designed for attaining the best yield while keeping
in mind that return is secondary to the objectives of
safety and liquidity.
Delegation of Authority
The authority of the District’s Board of Directors to
invest District funds is derived from CGC section 53601.
Section 53607 of the CGC allows the Board to delegate
that authority to the District’s Chief Financial Officer/
Treasurer. This delegation expires and may be renewed
annually, by Board resolution, in conjunction with the
annual review of the investment policy.
Authorized Investments
The District is empowered by CGC §53600 et. seq. to
invest in certain types of investments. The District policy
is more restrictive than the CGC regarding allowable
investments due to the size of the District’s investment
portfolio and limited staff resources available to manage
invested funds.
Safekeeping and Internal Control
To protect against potential losses caused by the
collapse of a security dealer, all book-entry securities
are kept in safekeeping by a third party bank trust
department, acting as agent for the District under the
terms of a custody agreement.
Internal controls have been established to help insure
assets are protected from loss, theft or misuse. Controls
include separation of transaction authority from record-
accounting, and confirmation of telephone transactions
for investments and wire transfers.
Reporting
In accordance with CGC §53646, the CFO/Treasurer will
prepare, and render to the Board, a quarterly investment
report within 30 days of the end of each quarter. The
report shall list types of investments, maturity, par and
market values of each investment, transaction occurring
during the quarter, and identification of funds managed
by a third party.
RESERVE POLICY
Purpose
The District recognizes that fiscal responsibility requires
anticipating, and preparing for, unforeseen events, in
addition to ensuring sufficient funding is available for
current operating, capital, and debt service needs. To
that end, the District has adopted a Designated Funds
(Reserve) Policy as part of prudent financial planning
and to ensure sufficient funding for current and future
needs.
General Provisions
The following provisions and principles are established
for building and utilizing reserve funds:
• Interest – Interest income will be credited to
reserve funds until maximum target levels have
been reached. Once a fund reaches is established
maximum, interest will be allocated to other funds.
• Funding Priority – Fund balances are reviewed
annually to determine whether maximum target
levels have been reached. Liquidity reserves will
be funded first. When Liquidity reserves are at their
target levels, Capital reserves will be funded. The
Board will determine how excess monies will be
allocated after reserves are at their maximum levels.
• Pay Go versus Debt – For funding of capital
acquisitions and improvements, the District will
analyze the use of reserves and/or issuing debt to
determine the optimal funding strategy. Current and
future liquidity positions will also be considered.
EAST VALLEY WATER DISTRICT 25
FINANCIAL SUMMARY
Types of Reserves
The District has established and will strive to maintain
the following funds:
Operating Fund
Restricted Funds
CapitalReplacement Fund
Operating Fund
The Operating Fund is used for unanticipated operating
expenses. This fund is designated by the Board to
maintain working capital for current operations and to
meet routine cash flow needs.
1. Target Level – Funding shall be targeted at a
minimum amount equal to 90 days of the District's
budgeted total operating expenses, and the
maximum amount shall not exceed 120 days of
the budgeted total operating expenses.
2. Events or Conditions Prompting the Use of the
Fund – Upon Board authorization, this fund may
be routinely utilized by staff to cover temporary
cash flow deficiencies caused by timing
differences between revenue and expenses
and extraordinary decreases in revenues and
unexpected increases in expenses.
3. Periodic Review Dates for Balances – Fund
balances and target level will be reviewed by
staff and the Board during the preparation and
approval of the annual budget.
Includes debt pro
c
e
e
d
s
,
customer deposits
a
n
d
developer fees
Capital Replacement Fund
Both the water and wastewater divisions will maintain
a replacement fund for the replacement of capitalized
assets when they reach the end of their useful lives. The
source of replacement funds will be user fee revenue
from the respective enterprises.
1. Target Level – The minimum target level should
be equal to one years depreciation as determined
by depreciation recorded for the previous fiscal
year. The maximum balance shall not exceed the
projected needs for five years according to the
District’s Capital Improvement Plan.
2. Events or Conditions Prompting the Use of the
Fund – Staff will recommend assets to be replaced
during the Capital Improvement Plan/Capital
Budget presentation. As projects are approved,
funds will be appropriated from undesignated
funds or available revenues.
3. Periodic Review Dates for Balances – Fund
balances and projected improvement projects
will be reviewed by staff and the Board during the
preparation and approval of the annual budget.
Restricted Funds
1. Bond Proceeds – Typically consist of construction
fund monies, and a debt service reserve.
a. Target Level – The debt service reserve
requirement, if applicable, is established at the
time of issue.
b. Events or Conditions Prompting the Use of
the Fund – Construction fund monies must be
spent on applicable projects, while the debt
service reserve can only be used in the event of
a shortfall of pledged revenues.
2. Development Fees – Consists of capacity fees paid
by developers to buy in to the utility infrastructure
system paid for by the investment of existing
customers.
a. Target Level – Capacity fees are collected to pay
for facility additions or improvements to support
demands on the system by new development.
b. Events or Conditions Prompting the Use of the
Fund – Capacity fees may be used for Capital
Improvement Projects necessitated wholly, or in
part, by new development.
FISCAL YEAR BUDGET 2020-202126
DEBT POLICY
Purpose
The purpose of this policy is to establish guidelines for
the issuance and management of District Debt, and to
provide guidance for decision makers with respect to
options available for financing infrastructure, and other
capital projects, so that the most prudent, equitable, and
cost effective financing can be chosen.
Standards for Use of Debt Financing
When appropriate, the District will use long-term
financing to:
• Achieve an equitable allocation of capital costs/
charges between current and future system users;
• Provide more manageable rates in the near and
medium term and;
• Minimum rate volatility.
The District will not construct or acquire a facility it it
is unable to adequately provide for the subsequent
annual operation and maintenance costs of the facility
throughout its expected life. In addition, capital projects
financed through debt will not be financed for a term
longer than the expected useful life of the project.
Methods of Financing
The Finance Department will investigate all possible
project financing alternatives including, but not limited
to: annual operating revenue, reserves, bonds, loans,
and grants. When applicable, development fees will be
used to pay for increase capital costs resulting from new
development.
The District may legally issue short and long term
financing using the following debt instruments:
• Inter-Fund Borrowing – May be used for short term
cash flow imbalances due to grant terms, and interim
financing pending issuance of long term debt.
• Lines of Credit
• Capital Lease debt – May be used for equipment
purchases where cost exceeds $50,000 and
financing terms are cost effective.
• State Revolving Fund (SRF) Loans – Based on
availability, loans are low or zero interest for water
and wastewater infrastructure projects with a term of
20 to 30 years.
• Certificates of Participation
• JPA Revenue Bonds
• Refunding Revenue Bonds
Compliance
The use of bond proceeds must be monitored to ensure
compliance with all Internal Revenue Code arbitrage
rebate requirements. The District is also responsible for
verifying compliance with all undertakings, covenants,
and agreements of each debt issue, typically including:
• Annual appropriations of revenue to meet debt
service payments;
• Timely transfer of debt service payments to the
Trustee;
• Compliance with insurance requirement and;
• Compliance with rate covenants.
Board Discretion
This policy is intended to serve as a guide and in no
way restricts the ability of the District Board to review
proposed rate actions, debt issuances, or other actions
of substance to the District.
EAST VALLEY WATER DISTRICT 27
FINANCIAL SUMMARY
ProcessBudget
THE BUDGET REFLECTS DIRECTION FROM THE GOVERNING BOARD
AS ESTABLISHED BY THE DISTRICT VISION AND COMMUNICATED TO
DISTRICT STAFF THROUGH VARIOUS MEETINGS AND WORKSHOPS.
The purpose of this budget document is to communicate the District’s financial priorities with citizens, local businesses,
creditors, rating agencies, other local agencies and stakeholders, and District staff. The Fiscal Year 2020-21 Budget
represents guidelines established to address the District’s short-term and long-term goals and objectives. This
document also demonstrates the District’s ability to use financial resources for completing critical capital projects for
current and future customers as well as the District’s commitment to meet its financial obligations. Staff is confident
that the financial framework outlined in the FY 2020-21 Budget will allow the District to deliver reliable, high-quality
water and wastewater services to its customers in a prudent and sustainable manner.
Each year, administrative and operational program managers establish goals and objectives in support of the District’s
strategic initiatives and five-year work plan which, upon adoption by the Governing Board, provide clear direction to
staff regarding District-wide priorities. Progress is measured throughout the fiscal year and reported to the Governing
Board on a quarterly basis.
Moreover, in developing the budget, staff utilized the District Vision for prioritizing District resources for operational
and capital activities.
District Vision
Adopt Budget
Monitor
Programs and Adjust
as Necessary
Develop Program
Goals and Objectives
Five-Year
Work Plan/
District-Wide Goals
Establish
Performance Indicators
and Estimate Costs
FISCAL YEAR BUDGET 2020-202128
STAKEHOLDER INPUT
The District has established a Community Advisory
Commission (CAC) which meets regularly at publicly
noticed meetings, to discuss significant affairs of the
District, including development of the annual budget.
Members of the CAC are civic minded community
leaders who donate their time to provide input to staff on
agenda items. The District Board also conducts a series
of public workshops to discuss important milestones in
the development of the annual budget.
Public comment is welcomed and encouraged
at these workshops.
DISTRICT VISION
To help ensure consistent purpose, East Valley Water
District has adopted a comprehensive statement that
serves as a guide for the decision-making process
throughout the organization.
FIVE YEAR PLAN AND DISTRICT-WIDE
GOALS AND OBJECTIVES
The District has adopted a Five-Year Plan establishing a
series of long-term objectives that link management and
staff work efforts to the District’s Strategic Plan. Objectives
in the Five-Year plan have estimated completion dates
ranging from 3 to 20 years and present the core of work
efforts to which District financial and human resources
will be dedicated. The Five-Year Plan will be revised as
objectives are completed, or as emerging issues dictate
that a significant, previously unidentified objective
should replace an existing objective.
District-wide goals established with the annual budget
are taken directly from the Five-Year Plan, and usually
define incremental steps from the long-term objectives
that will be completed during the upcoming fiscal year.
All District-wide goals, also referred to as GM goals as
they are part of the General Manager / CEO’s annual
performance evaluation, are adopted as program goals
in one or more of the District’s Programs.
DEVELOP PROGRAM GOALS AND
OBJECTIVES
Each program manager is tasked with developing
achievable and measurable goals and objectives to
be implemented in a single fiscal year. This endeavor
clearly identifies the planned efforts of the program
for the given period, links the program’s efforts to
the District-wide goals when possible, and allows
program employees to propose / establish individual
goals that support the District’s long-term goals and
vision. Program goals and objectives are presented by
program managers to the Board of Directors and public
at a public workshop in April.
ESTABLISH KEY PERFORMANCE
INDICATORS & ESTIMATE COSTS
To assess the organization’s productivity and
effectiveness, unique key performance indicators
are utilized as a quantitative measure. Cost estimates
reflect the anticipated expenses for accomplishing each
program’s day-to-day operational tasks, special projects
and overall program goals.
ADOPT BUDGET
The final budget document is assembled, including
projected revenues, expenditures, and funding of all
goals and objectives proposed by program managers
if possible. The document is presented to the East
Valley Water District Governing Board at the first regular
meeting in June for discussion. Barring any revisions
or corrections, the budget is agaendized at the second
Board meeting in June for adoption. A hard copy
version of the final budget document is available to the
public on request, or can be viewed in its entirety on the
District website.
PROGRAM MONITORING & BUDGET
ADJUSTMENTS
In January of each year, District management meets to
analyze revenues and spending to determine whether
realized revenue has exceeded revenue projections to
the extent that additional program services or capital
projects can be proposed, and to determine whether
transfers between budget line items are necessary to
ensure that budget limitations are not exceeded.
EAST VALLEY WATER DISTRICT 29
FINANCIAL SUMMARY
CURRENT & PROPOSED BUDGET CYCLE CALENDAR
Date Activity
June 24, 2020 FY 2020-21 Budget Adoption
November 18, 2020 First Quarter Budget Review at Public Board Meeting
January 28, 2021 Budget Meeting to Distribute Worksheets to Management Staff
February 10, 2021 FY 2020-21 Mid-Year Budget Review at Public Board Meeting
March 11, 2021 FY 2021-22 Capital Outlay and Capital Improvement Program Planning Meeting
March 25, 2021 FY 2021-22 New Position Requests, Program Goals and Objectives Due to Finance
March 25, 2021 FY 2021-22 Capital Outlay and Capital Improvement Project Requests Due to Finance
March 29, 2021 FY 2021-22 Program Budget Requests Due to Finance
April 21, 2021 FY 2021-22 Proposed Goals and Objectives Workshop at Public Board Meeting
April 22, 2021 FY 2021-22 Capital Outlay and Capital Improvement Program Budget Review with
Managers and General Manager/CEO
May 11, 2021 Meet with CAC to Present and Discuss Proposed Program Goals and Objectives and
Revenue Projections for FY 2021-22
May 12, 2021 FY 2021-22 Revenue Projection Workshop at Public Board Meeting
May 21, 2021 FY 2021-22 Budget Complete with all Revisions
June 9, 2021 FY 2021-22 Budget Presentation at Public Board Meeting
June 15, 2021 Meet with CAC to Present Draft Budget for FY 2021-22
June 23, 2021 FY 2021-22 Budget Adoption at Public Board Meeting
Requests for budget adjustments are submitted by
program managers to Executive Management for
review, who then forward the requested adjustments
to Finance for incorporation into proposed budget
amendments to be presented to the Board of Directors
at a Mid-Year Budget Review in February.
When possible, adjustments have no net effect
on the original budget balance unless additional
revenue is available. However, if revenue shortfalls
or unanticipated costs are realized, and transfers
between line items cannot meet the projected deficit,
a recommendation to defer capital projects or draw
on reserves is usually required to meet the shortfall.
All proposed changes are presented to the Governing
Board at a Mid-Year budget review.
FISCAL YEAR BUDGET 2020-202130
However, there are exceptions where the accrual basis is not conducive to effective presentation of the District’s budget
because it does not allow discrete presentation of some significant uses of current financial resources. In these cases,
GAAP is not followed, and instead those uses of current resources are shown as expenditures rather than as a reduction
to a previously recorded liability, or a capitalized cost.
Exceptions to GAAP used for the District’s budget presentation are as follows:
THE DISTRICT’S FINANCIAL RECORDS ARE KEPT IN
ACCORDANCE WITH GENERALLY ACCEPTED ACCOUNTING
PRINCIPLES (GAAP) FOR GOVERNMENTAL ENTERPRISE FUNDS.
BudgetingBasis of
• Compensated absence expense reflects the
change in related accrued liabilities during the
accounting period on the GAAP basis, but for
budget purposes expense includes anticipated
leave time to be used and/or cashed by employees
during the fiscal year.
• Principal payments on Long Term Debt are applied
to reduce the outstanding liability on a GAAP basis;
shown as a current expenditure on a Budget basis.
• Capital Outlay and Construction costs are
capitalized and expenses over the useful life of
the asset on a GAAP basis; shown as a current
expenditure on a Budget basis.
• Depreciation is recorded annually to expense the
cost of a capital asset over its useful life on a GAAP
basis but is not contemplated on the Budget basis.
• Interest payments related to financing for the cost
of a capital asset during construction are capitalized
on the GAAP basis but are reported as a current
expense on a Budget basis.
• Pension expense is budgeted based on employer
contribution rates assigned by CalPERS. For
financial statement reporting, pension expense
is recorded based on the change to the net
pension liability in accordance with Governmental
Accounting Standards Board Statement No. 68.
The District follows the GAAP requirement that
enterprise funds use the full accrual basis of accounting.
EAST VALLEY WATER DISTRICT 31
FINANCIAL SUMMARY
StructureFund
GAAP REQUIRE THAT EAST VALLEY WATER DISTRICT, A CALIFORNIA
SPECIAL DISTRICT, ACCOUNT FOR ITS ACTIVITIES AS A SINGLE,
GOVERNMENTAL ENTERPRISE FUND.
The activities of enterprise funds closely resemble those of ongoing businesses in that rates and fees charged for
services are intended to cover the cost of operations and capital needs.
Though it is a single Enterprise Fund, East Valley Water District engages in two separate and distinct business-type
activities including the distributions of potable water, and the collection of wastewater. Accordingly, the District’s budget
is organized based on these activities, or sub-funds, hereafter referred to as the Water Fund and the Wastewater Fund.
The Water Fund accounts for the costs of acquiring raw water, treating the water, and then pumping and distributing the
treated water to District customers. The Wastewater Fund accounts for the cost of maintaining a system of pipelines
responsible for collecting wastewater from residential and commercial customers and delivering the wastewater to
the City of San Bernardino Treatment Plant. Both Funds are supported by centralized customer service, engineering,
and general administrative functions, the cost for which is allocated between the water and wastewater funds.
RAW WATER SOURCES
WATER PRODUCTION
PLANTS
DISTRIBUTION &
STORAGE
CUSTOMER
USE
COLLECTION &
CONVEYANCE
WATER FUND
WASTEWATER FUND
RECYCLED WATER
DISCHARGE
CITY OF SAN BERNARDINO
WATER RECLAMATION
FACILITIES
District Operations
FISCAL YEAR BUDGET 2020-202132
Water Sales
Service Charges Water Fund
Wastewater Fund
Investment/
Other Income
Water Capital
Expenditures &
Debt Service
Collection Charges
Investment/
Other Income
Wastewater
Treatment Charges
Wastewater
Treatment Expense
Wastewater Capital
Expenditures &
Debt Service
District Operations
& Maintenance
Programs
Each of the funds rely on a significant amount of planning and infrastructure. Accordingly, each fund contributes to the
maintenance, replacement and improvement of that infrastructure. When the issuance of debt is appropriate to fund
major capital projects, each fund has the authority to issue debt.
To support these costs each fund adopts its own user rates, fees and charges, and has its own self-balancing set of
accounts. Budgets for each fund are adopted to support the associated capital, and debt service costs, to make reasonable
contributions to reserves, and to pay for an allocated portion of operating and maintenance program expenses.
Wastewater Treatment revenue and expenses are a simple pass-through to the City of San Bernardino. Treatment fees
are billed to District customers along with other District fees and charges and are based on rates adopted by the San
Bernardino City Council. All treatment fees collected are remitted to the City on a monthly basis and do not contribute to
the District’s operations and maintenance expenses. However, for budget purposes, wastewater treatment expense is
shown as a separate line item in the Wastewater Maintenance program.
Fund Structure Illustration
Additional detail about the activities and budgets of each fund are included at the Water Fund and Wastewater Fund tabs
in this document.
EAST VALLEY WATER DISTRICT 33
FINANCIAL SUMMARY
RelationshipFund/Program
DISTRICT OPERATING AND MAINTENANCE EXPENSES ARE ALL
BUDGETED AND ACCOUNTED FOR BY PROGRAM.
Expenses incurred by Programs are then allocated to the water and wastewater funds based on the assessed benefit
of Program services to each fund. The benefit assessment entails the evaluation of each program and the services
provided through activity based costing. Programs with activities fully aligned with the purpose of one fund or the
other, are charged fully to the appropriate fund, while programs with general and administrative type functions are
generally allocated using a 70%-30% split.
The percentage allocation is often adjusted for unique circumstances. For example, with the implementation of water
budget-based rates, allocated costs for Customer Service were shifted from the Wastewater Fund to the Water Fund
due to the increased cost of administering the new rates. Below is a table illustrating the Fund/Program relationship
for the current fiscal year:
Program Water Fund Wastewater Fund Total
1000 Governing Board $ 179,900 $ 77,100 $ 257,000
2000 General Administration 912,600 389,400 1,302,000
2100 Human Resources/Risk Management 1,079,500 245,500 1,325,000
2200 Public Affairs 1,162,400 426,600 1,589,000
2300 Conservation 624,000 - 624,000
3000 Finance 890,700 381,300 1,272,000
3200 Information Technology 711,100 261,900 973,000
3300 Customer Service 1,107,900 399,100 1,507,000
3400 Meter Services 290,000 - 290,000
4000 Engineering 1,080,800 463,200 1,544,000
5000 Water Production Administration 600,000 - 600,000
5000-51 Source of Supply 2,834,000 - 2,834,000
5000-52 Pumps & Boosters 611,000 - 611,000
5000-54 Transmission & Distribution 448,000 - 448,000
5100 Water Treatment 905,000 - 905,000
5200 Water Quality 480,000 - 480,000
6000 Maintenance Administration 390,600 43,400 434,000
6100 Water Maintenance 2,485,000 - 2,485,000
6200 Wastewater Maintenance - 803,000 803,000
6300 Wastewater Treatment - 8,586,000 8,586,000
7000 Facilities Maintenance 824,500 197,500 1,022,000
7100 Fleet Maintenance 450,000 50,000 500,000
TOTAL $ 18,067,000 $ 12,324,000 $ 30,391,000
FISCAL YEAR BUDGET 2020-202134
The District projects that it will receive $39,865,000 in revenue during FY 2020-21 and has developed a budget plan to
allocate $30,391,000 toward funding of program operations, $4,379,000 toward the amortization of outstanding debt,
and $5,095,000 toward capital asset improvement and replacement.
The table below presents a summary of revenue by type, and expenditures by cost category, and is followed by a
discussion of revenue and expenditures.
THE BUDGET FOR FISCAL YEAR 2020-21 IS BALANCED AND REFLECTS
THE DISTRICT’S COMMITMENT TO ALLOCATING ANTICIPATED
RESOURCES TO MEETING THE EXPECTATIONS OF DISTRICT RATEPAYERS,
CREDITORS, AND OTHER STAKEHOLDERS.
SummaryBudget
Water Fund Wastewater Fund FY 2020-21 Total
REVENUE / SOURCES
Water Sales / Wastewater Collection Charges $ 16,868,000 $ 4,656,000 $ 21,524,000
Wastewater Treatment Charges - 8,586,000 8,586,000
Water System (Meter) Charges 9,020,000 - 9,020,000
Other Charges and Income 510,000 225,000 735,000
TOTAL REVENUE / SOURCES 26,398,000 13,467,000 39,865,000
OPERATING EXPENSES
Employment Expenses 8,617,900 2,323,100 10,941,000
Water Costs 826,000 - 826,000
Contracted Wastewater Treatment - 8,586,000 8,586,000
Power Costs 1,800,000 - 1,800,000
Materials & Supplies 1,156,700 128,300 1,285,000
Contract Services 5,352,950 1,175,050 6,528,000
Other Operating Expenses 313,450 111,550 425,000
TOTAL OPERATING EXPENSES 18,067,000 12,324,000 30,391,000
OTHER USES
Debt Service 4,066,000 313,000 4,379,000
Capital Outlay 1,195,000 435,000 1,630,000
Capital Improvement Program Contribution 3,070,000 395,000 3,465,000
TOTAL OTHER USES 8,331,000 1,143,000 9,474,000
TOTAL OPERATING EXPENSES/OTHER USES 26,398,000 13,467,000 39,865,000
NET SURPLUS (DEFICIT) $ - $ - $ -
EAST VALLEY WATER DISTRICT 35
FINANCIAL SUMMARY
SummaryRevenue
REVENUE PROJECTIONS ARE KEY TO DETERMINING THE
AMOUNT OF FINANCIAL RESOURCES AVAILABLE TO SUPPORT
DISTRICT PROGRAMS AND OTHER OBLIGATIONS.
Therefore, projections are developed early in the budget process and
then presented to the District’s Board of Directors in May. East Valley
Water District receives 97% of its revenue from user rates and fees;
the District receives no increment from property or sales taxes.
Rates and fees are reviewed on 3 to 5 year cycles and adjusted as
necessary to cover the costs of providing services to ratepayers.
The District derives its authority for setting rates from §31000 of
the California Water Code, and rate adjustments are adopted
at public hearings conducted in accordance with requirements
established by California Propositions 26 and/or 218.
The District has five revenue categories based on rates:
Revenue History and Forecast (In Millions)
26.9 25.5 25.3 26.3 26.6 27.5
13.4 13.7 13.3 13.5 13.6 13.8
5.0
10.0
15.0
20.0
25.0
30.0
FY 2017-18 FY 2018-19 FY 2019-20
Estimated
FY 2020-21
Projected
FY 2021-22
Projected
FY 2022-23
Projection
Water Revenue
Wastewater Revenue
• Water Sales
• Meter Charges
• Wastewater Collection
• Wastewater Treatment
• Other Charges 23%Meter Charges
21%WastewaterTreatment
12%WastewaterCollection
42%WaterSales
Other Charges/Revenue
2%
FY 2020-21
PROJECTED
REVENUE
FISCAL YEAR BUDGET 2020-202136
Water and wastewater rate revenues are highly reliant
on new development and rate increases for sustained
growth. Water sales are also reliant on consumer
demand, which increases or decreases based on
weather, water rates, and occasionally drought
conditions. The recent drought in California forced the
District, and like agencies, to promote conservation and
reduce water usage by a statewide average of 25%,
threatening to cause a sharp decline in water sales
revenue. East Valley Water District mitigated this decline
in revenue by revising its rate structure.
Construction within the District has been slow for the past
several years as large residential developments have
been challenged by community members concerned
about water supply and traffic congestion. However, in
FY 2019-20 the District did work with a landowner to
establish Community Facilities District 2020-1 for the
purpose of funding water and sewer infrastructure to
serve a 586 unit development. The completion and sale
of homes will likely not occur until FY 2023-24.
A more detailed description of the District’s major
revenue sources, and related trends, is included in
the following sections. In addition, the Water Fund and
Wastewater Fund sections of this document include a
detailed discussion of the rates used to calculate FY
2020-21 revenue projections.
WATER SALES
The District produces potable water for sale to four
customer classes; single family residential, multi-family
residential, commercial and irrigation. All customers are
billed on a monthly cycle based on the amount of water
usage, which is metered and measured in hundred
cubic feet (HCF) where 1 HCF is equal to 748 gallons.
The District bills for water consumption in three
ascending ‘Water Budget’ rate tiers. Therefore, as
customer water usage exceeds established tier widths
or thresholds, water becomes more expensive. Water
Budget tiers are unique in that tier width, or the number
of units (Hundred Cubic Feet or HCF) billed at each
tier, is determined based on the individual customer’s
characteristics.
For single and multi-family customers, the Tier 1 width
is determined based on the number of occupants in a
dwelling and is intended to supply the customer with
sufficient water for indoor health and safety needs. Tier
2 width is based on a customer’s landscaped square
footage, and the measured evapotranspiration, or
the rate at which plants and soil lost moisture during
the month being billed. The tier 2 budget is intended
to supply sufficient water for efficient irrigation of the
landscaped square footage. Tier 3 is billed for water use
in excess of the Tier 1 and 2 budgets and is deemed to
be inefficient use.
Irrigation meter customers receive only a Tier 2 budget
as described above, with usage in excess of the budget
billed at the Tier 3 rate. Finally, commercial customers,
having neither occupants or landscaped area associated
with their domestic meter, receive Tier 1 and 2 water
budgets based on the business’ historical water usage,
with excess usage billed at the Tier 3 rate.
The table below summarizes water sales volume (HCF)
by billing tier for the last three years, and also includes
conservative projections for fiscal year 2020-21.
Customer Consumption In Hundred Cubic Feet
FY 2017-18
Actual
FY 2018-19
Actual
FY 2019-20
Estimated
FY 2020-21
Projected
Tier 1 3,734,469 3,633,298 3,649,000 3,634,000
Tier 2 2,552,470 2,346,603 2,239,000 2,311,000
Tier 3 1,270,186 1,111,457 1,053,000 1,150,000
TOTAL 7,557,125 7,091,358 6,941,000 7,095,000
EAST VALLEY WATER DISTRICT 37
FINANCIAL SUMMARY
The District adopted Water Budget based rates, along
with rate adjustments phased over three years, March
of 2015. Phases 1 and 2 of the rate adjustments were
implemented as scheduled in July of 2015 and 2016,
however, phase 3 adjustments were only partially
(one-half) implemented in July 2017 because revenue
projections for FY 2017-18 showed that the entire
phase 3 adjustment was not needed.
No rate adjustment was needed again for FY 2018-19;
however, the District did implement the final increment
of phase 3 rate adjustments in January of 2020. The
rate adjustments to each tier price was approximately
6% and are projected to increase sales revenue for
fiscal year 2020-21 by $900,000.
Based on the projection of water sales in volume, and
the tier rates that will be effective throughout the year,
the District has projected water sales of $16.9 million
for FY 2020-21. The graph below shows water sales
trends for four years and the current year projection.
Additional information about water rates is available in
the Water Fund section of this document.
Water Sales Trends
$2M
$4M
$6M
$8M
$10M
$12M
$14M
$16M
$18M
FY 2016-17
Actual
FY 2017-18
Actual
FY 2018-19
Actual
FY 2019-20
Estimated
FY 2020-21
Projected
$14,537,867
$16,342,378 $16,268,902 $15,777,000
$16,868,000
Tier 1 Tier 2 Tier 3
FISCAL YEAR BUDGET 2020-202138
WATER SYSTEM CHARGES
Also referred to as Meter Charges, this revenue consists of a fixed monthly charge assessed to customers based on
the size of the meter serving their property. East Valley Water District sets its meter charge rates to generate between
35% and 40% of annual water operating revenue. In doing so, the District is able to shift some of the burden for revenue
stability from unpredictable water sales, such as during times of severe drought and water restrictions, to a more reliable
fixed charge.
Meter charge revenue is projected to remain the same for fiscal year 2020-21. The underlying rates have not been
adjusted since July 2017 and there will not be a significant number of new customer connections due to development.
The District did, however, complete a cost-of-service analysis in January 2020 which recommended that the meter
charge and other rates be increased. Accordingly, a public hearing to consider rate increases was noticed and scheduled
for April 2020, but the hearing was cancelled when the state forced business closures due to the COVID-19 pandemic
and many Californians, including District ratepayers, were experiencing financial hardship because they were not able to
work. The District will reschedule the public hearing to consider rate adjustments in January 2021.
Meter Charges
$8.9M
$8.92M
$8.94M
$8.96M
$8.98M
$9M
$9.02M
FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20
Estimated
FY 2020-21
Projected
$8,944,652 $8,943,223
$8,999,756
$9,020,000 $9,020,000
EAST VALLEY WATER DISTRICT 39
FINANCIAL SUMMARY
WASTEWATER COLLECTION CHARGES
This charge is assessed to District customers to fund the maintenance and replacement of wastewater collection
pipelines, make wastewater debt service payments, and fund program services associated with the wastewater fund.
The rate structure includes a fixed monthly charge of $15.36 for single family residences, and a combination of fixed
and volumetric charges for commercial and multi-family customers – currently $3.90, and $.55 per HCF of water
usage, respectively.
Wastewater collection rates were last adjusted in October 2012, so wastewater collection revenue has remained
relatively flat over the past five years, fluctuating slightly with small infill development projects and with changes in
water usage by commercial customers.
Like the District’s water charges, a cost-of-service analysis was also completed for wastewater collection rates in
January 2020, but consideration of adopting recommended adjustments to rates at a public hearing was postponed
until January 2021. Revenue projections do not include the recommended rate adjustments.
Wastewater Collection Charges
$1M
$2M
$3M
$4M
$5M
FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20
Estimated
FY 2020-21
Projected
Single Family Residential Multi-Family/Commercial
$4,703,439 $4,668,923 $4,643,732 $4,656,000 $4,656,000
FISCAL YEAR BUDGET 2020-202140
WASTEWATER TREATMENT CHARGES
Rates for these charges are established by the City of San Bernardino Municipal Water Department (City), which is
currently contracted to treat all wastewater generated by District customers. The District bills customers within its service
area at the City established rates, receives customer payments, and then remits collected treatment revenues to the City
at the end of each month. Wastewater treatment rates established by the City have increased an average of 3.5% over
the last six years, with the most recent increase of 3.4% becoming effective July 1, 2017.
Wastewater treatment rates for fiscal year 2020-21 include a fixed monthly charge of $21.55 for single family residential
customers, and a combination of fixed and volumetric charges for commercial and multi-family customers. Multi-family
accounts are billed a small fixed monthly charge of $1.97, plus a volumetric charge of $1.53 per HCF of water used.
Commercial accounts are billed a small fixed monthly charge of $3.52 plus a volumetric charge ranging from $1.29/HCF
to $3.18/HCF depending on the type of business run by the commercial customer. Total Wastewater Treatment Charges
projected for fiscal year 2020-21 are $8,586,000.
The District is building a water recycling facility called the Sterling Natural Resource Center (SNRC) that, upon completion,
will allow the District to treat its own wastewater and no longer contract with the City for wastewater treatment. The SNRC
is scheduled for completion in November 2021, accordingly, the District will conduct a cost-of-service analysis during FY
2020-21 in order to have rates established for commencement of operations at the plant.
Wastewater Treatment Charges
$8,129,944
$8,697,671
$8,592,950
$8,536,014
$8,586,000
$8M
$8.1M
$8.2M
$8.3M
$8.4M
$8.5M
$8.6M
$8.7M
FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20
Estimated
FY 2020-21
Projected
EAST VALLEY WATER DISTRICT 41
FINANCIAL SUMMARY
OTHER CHARGES AND INCOME
Other charges are assessed according to an adopted fee schedule, but are only charged to users who request, or
require, use of District resources beyond the scope of delivering water and wastewater services. Charges include
initiation of service fees, and charges related to collection of customer payment, including delinquent fees, final notice
fees, and disconnect/reconnect fees.
In prior years, revenue from charges related to collection of delinquent customer payments have been significant,
so the District has been successfully implementing procedures to reduce the number of service disconnections for
non-payment. However, a new California law effective February 1, 2020 mandating that residential customers not be
disconnected until payment is at least 60 days overdue, and a COVID-19 related Executive Order from California’s
Governor effective March 17, 2020 which mandated that utilities not disconnect customers during the COVID-19
state of emergency, will further reduce delinquency fees. For FY 2020-21 projections, service disconnection related
charges have been reduced by half.
Other Income included in FY 2020-21 projections are facilities rentals, interest, and miscellaneous revenue. Projections
for interest revenue have decreased as yields are expected to decline, and the amount of investible funds held by the
District will be depressed as the District fronts the construction costs of the Sterling Natural Resource Center and then
must wait 30 to 60 days for reimbursement.
In total, the 2020-21 projection for Other Charges and Income is $735,000, which is calculated using adopted fees
and an estimate of the number of occurrences for each type of fee based on historical trends.
$255KInvestment Income
$195KDisconnect Notice Charge
$115KDelinquentFees
$80KInititation of Service
$33K
$57K
ReconnectFees
Miscellaneous Revenue
OTHER
CHARGES
FISCAL YEAR BUDGET 2020-202142
Salaries include regular wages, overtime and
on-call pay, paid leave time, incentives, and differential
payments which are awarded upon attainment of
designated certifications. When negotiations on a new
MOU with employees resume, salaries are projected to
increase by approximately 5% for the remainder of 2020-21.
This projected increase reflects the elimination of an agreed-upon
policy to pay staff 5% below market median and then award up to 5%
incentives at year end (10% for management) based on performance measures. Pay scale step increases of 2.5% are
also available for 32 employees who have not reached the top step in their pay range, subject to annual performance
evaluations,. Projected salaries expense for 2020-21 is $7,295,000.
Benefit programs include a retirement plan with the California Public Employee Retirement System (CalPERS), a cafeteria
health insurance plan, a deferred compensation plan with employer matching, and worker’s comp and Medicare
insurance. Overall, benefits are expected to increase by 2.7% to $3,964,000 for FY 2020-21.
The most significant of employee benefits is the CalPERS retirement plan. Funding requirements for the plan are
determined through actuarial valuations conducted by CalPERS and include contributions from both the District and
the employees. The District has also implemented an aggressive 15 year level-pay plan to amortize unfunded pension
Resources required for these expenditures are
then appropriated from the District’s Water and
Wastewater enterprise funds.
EMPLOYMENT EXPENSES
Employment expenses include salaries and
benefits paid for 66 full time employees and 3
temporary employees, and District contributions
toward retiree health insurance. Employees are
represented by two in-house bargaining units, or
employee partnerships, which have negotiated
a three-year Memorandum of Understanding
(MOU) regarding wage and benefit adjustments
through fiscal year 2019-20. Negotiations for an
updated MOU were delayed until January 2021
by vote of the District employees due to the
COVID 19 related economic downturn.
THE DISTRICT PREPARES ITS ANNUAL BUDGET AND FINANCIAL PLAN BASED
ON OPERATING EXPENSES PROPOSED BY PROGRAM MANAGERS, SCHEDULED
DEBT SERVICE PAYMENTS, AND CAPITAL EXPENDITURES PRIORITIZED IN THE
DISTRICT’S CAPITAL IMPROVEMENT PROGRAM.
SummaryExpenditure
Water Costs
EXPENDITURES
BY CATEGORY
Other Operating
27.7%EmploymentServices
12.4%CapitalExpenditures
22.1%WastewaterTreatment
2.7%
4.3%Power Costs
18.6%Materials/ContractServices
1%
11.2%DebtService
EAST VALLEY WATER DISTRICT 43
FINANCIAL SUMMARY
liabilities; this plan was adopted to replace a 25-year amortization schedule created by CalPERS. While the 15-year
plan requires higher initial annual contributions, the shorter amortization period is projected to save the District $3.5
million. . District paid costs related to the retirement plan are projected to increase 3%.
Healthcare costs are also split between the District and employees as the District pays 90% to 95% of premiums of
a designated ‘benchmark’ insurance plan, with employees paying the balance. Premiums for the benchmark plan
increased 21.4% for 2020. The District also contributes toward retiree health insurance premiums until the age of 65,
provided they meet all eligibility requirements for this benefit. Workers compensation and life insurance premiums,
cell phone allowances, and auto allowances for managers make up the remaining benefits.
Total District paid benefits are expected to increase 2.7% to $3,646,000 for FY 2020-21.
Salaries and Benefits
$8,759,213
$9,782,191 $9,967,572
$10,571,700 $10,941,000
$2M
$4M
$6M
$8M
$10M
FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20
Estimated
FY 2020-21
Projected
Salaries Benefits
WATER COSTS
The District anticipates customer demand for approximately 15,935 acre-feet, or 5.19 billion gallons, of water during
the 2020-21 fiscal year. To meet this demand, the District will procure water from three different raw water sources –
groundwater, surface water, and the purchase of imported water. Each of these sources have associated rates, fees or
assessments charged by other agencies/companies as explained on the following page.
FISCAL YEAR BUDGET 2020-202144
• Groundwater – assessment to be paid to the San Bernardino basin Groundwater Council (GC), a collaborative effort
formed in January 2018 for the purpose of purchasing imported water to restore and maintain sustainable groundwater
levels. This assessment replaces an assessment previously charged by the Conservation District. Groundwater
Council assessments are based on historical pumping levels by each of the signers to the GC Framework Agreement,
and the District’s assessment for 2020-21 is projected to be $445,000. However, the District receives credit against
the assessment for Santa Ana River surface water that it allows to flow past the District’s intake into groundwater
recharge basins. Net of the expected credit, the final assessment the District will pay to the Groundwater Council is
projected to be $336,000.
• Surface Water – stockholder assessments paid to the North Fork Water Company (NFWC) on Company shares
owned by the District. Annual assessments are set to cover the costs of operating NFWC and includes delivery of
Santa Ana River surface water, also based on the number of shares owned. The District owns 6,873 shares and
projects that the assessment will be $13 per share and has budgeted $90,000 accordingly.
• Purchased Water – paid to the San Bernardino Valley Municipal Water District to buy State Project water at $126 per
acre foot (AF) when available. Due to moderate snow and rainfall in Northern California during the last two winters
water is available from the State Water Project, therefore, the District has budgeted $400,000 to purchase up to 3,175
acre-feet of imported water in FY 2020-21.
Total water costs associated with these three sources are projected to be $826,000 for FY 2020-21.
Water Costs
GW Assessment-Cons Dist Purchased WaterSurface Water GW Council Assessment
$200K
$400K
$600K
$800K
$1M
$1.2M
$1.4M
FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20
Estimated
FY 2020-21
Projected
$1,309,459
$803,301
$221,953
$548,374
$826,000
EAST VALLEY WATER DISTRICT 45
FINANCIAL SUMMARY
CONTRACTED WASTEWATER TREATMENT
As outlined in the discussion about wastewater treatment charges, the District has budgeted $8,586,000 for the cost
of contracted wastewater treatment in FY 2020-21. All charges billed and collected for these services are paid to the
City of San Bernardino Municipal Water Department at the end of each month.
POWER COSTS
Power costs include the electrical power to extract groundwater through wells, to treat imported water, surface water,
and groundwater when necessary, and to distribute water throughout nine pressure zones within the District using
booster pumps.
Although rates for electrical power have been increasing, energy conservation measures implemented by the District
in 2014, including replacement of inefficient pumps, and the installation of a hydroelectric generation facility at the
District’s surface water treatment plan (Plant 134), in 2018, have helped the District mitigate the effect of rising power
costs. Even with these cost saving measures, some rates applicable to District plants have increased as much as 15%
annually. Accordingly, District operations staff works closely with representatives from Southern California Edison
(SCE) to try to ensure that water production facilities are assigned Time-Of-Use (TOU) rates wherever possible, and
then staff tries to operate facilities to take advantage of the off-peak rates.
Total District power costs were $1.75 million in FY 2019-20. Based on the discussion above, power costs are expected
to increase approximately 3% for FY 2020-21 to $1.8 million.
Power Costs
FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20
Estimated
FY 2020-21
Projected
$1M
$1.2M
$1.4M
$1.6M
$1.8M
Boosting WellsTreatment
$1,535,223
$1,749,726
$1,663,720
$1,750,165 $1,800,000
FISCAL YEAR BUDGET 2020-202146
MATERIALS AND SUPPLIES
Materials’ costs include chemicals for treatment, small tools and parts for distribution system repairs, small office tools,
and general office supplies. Materials costs are budgeted to increase 15% in FY 2020-21. The prior year budget included
a significant earmark for the replacement of street cutting and trenching tools.
Program Services Description FY 2019-20
Projected
FY 2020-21
Proposed
Governing Board General Office Supplies $ 1,684 $ 1,000
Administration General Office Supplies 5,522 5,000
Human Resources Desk, Office Supplies, Software 2,281 11,000
Public Affairs Promo Items, Events and Emergency Supplies 53,354 166,000
Conservation Educational Materials, Books, Workshop Items 171,450 204,000
Finance General Office Supplies 12,390 12,000
Information Technology Computer Supplies 52,955 43,000
Customer Service Lobby Materials, Office Supplies 5,281 162,000
Meter Services Hydration Supplies, Repellents 2,642 5,000
Engineering Small Tools, Plotter Supplies 11,025 24,000
Production Hand Tools, Lubricants, Electrical Supplies, Chemicals 256,707 300,000
Water Treatment Tools, Lab Supplies, Chemicals 194,082 165,000
Water Quality Test & Repair Kits, Chemicals 17,812 20,000
Water Maintenance Inventory Items, Fill Materials 385,542 304,000
Wastewater Maintenance Tools, Degreaser, Insecticides, Manhole Covers 14,931 36,000
Facilities Maintenance Paint Supplies, Hardware, Tools, Signs 85,810 56,000
Fleet Maintenance Tools, Oil, Inventory Items 78,875 36,000
TOTAL $ 1,352,343 $ 1,550,000
Materials, supplies and contract expenses are necessary
elements for managing each program's budget.
EAST VALLEY WATER DISTRICT 47
CONTRACT SERVICES
Contract services are proposed by Program Managers to fund ongoing needs for outside services, and periodic
needs for technical expertise to help meet program goas and objectives established for the current year.
Contract Services includes the following:
Significant variances between prior year contact services costs and projections for 2020-21 include:
• Public Affairs costs have increased to support the production of informational videos for display on the
District’s website.
• A $500,000 decrease in direct customer rebates for turf removal and other conservation efforts.
• Funding for a cybersecurity assessment and continued work on data analytics.
• Prior year water quality costs included a 5 year update to the regional watershed survey.
• An increase of $100,000 in the budget for street repairs necessary after field crews complete a water
main repair due to increased permit and asphalt costs.
Program Services Description FY 2019-20
Projected
FY 2020-21
Proposed
Governing Board CEO Evaluation, Balloting $ 18,044 $ 31,000
Administration Legislative, Legal Consultants 223,455 308,000
Human Resources Safety Consultants, Insurance 368,290 460,000
Public Affairs Printing, Emergency Training 322,510 561,000
Conservation Community Events, Demo Garden,
Direct Installation of Water Efficient Irrigation Timers 87,563 258,000
Finance Auditing, Banking, Software 80,889 110,000
Information Technology GIS, Data Mgt, Cybersecurity 395,268 450,000
Customer Service Billing, Pmt Cards, Software Support 551,202 639,000
Meter Services Uniforms 5,689 8,000
Engineering Surveying, Engineering, Software, Regional Studies 196,347 289,000
Production SCADA Updates, Inspections, Valve Maintenance 289,229 381,000
Water Treatment Filtration Media Replacement, Software Maintenance 93,201 149,000
Water Quality Lab Fees, Software Maintenance 149,328 167,000
Water Maintenance Leak Detection, Asphalt Repair 634,053 438,000
Wastewater Maintenance Manhole Insect Treatment,
Collection Pipeline Spot Repairs 8,286,666 8,833,000
Facilities Maintenance Security, Janitorial, Landscaping, Equipment Repairs, 489,709 444,000
Fleet Maintenance Mobile Fleet Management Large Equip Repairs 190,223 180,000
TOTAL $ 12,381,666 $ 13,706,000
FINANCIAL SUMMARY
FISCAL YEAR BUDGET 2020-202148
OTHER OPERATING EXPENSES
Other Operating Expenses budgeted for FY 2020-21 total $425,000 and include professional development, memberships
and dues, licensing, meeting expenses, employee recognition and education assistance. East Valley Water District
emphasizes professional growth and leadership and encourages employees to utilize resources made available by the
District to continue learning through formal education, certifications and collaboration with other agencies responsible
for delivering similar service to its ratepayers.
The chart shown to the right depicts the allocation of
Other Operating Expenses budgeted for FY 2020-21:
OTHER
OPERATING
EXPENSES
$194KProfessionalDevelopment
$45KMeetings
$16K
EducationAssistance
$27KEmployeeRecognition
$17KOther
$126KMembership & Dues
Other operating expenses represents the investment
East Valley Water District makes into its employee programs.
EAST VALLEY WATER DISTRICT 49
FINANCIAL SUMMARY
Fund EquityNet Position
AS DISCUSSED IN A PREVIOUS SECTION, EVWD OPERATES
WATER AND WASTEWATER ENTERPRISE ACTIVITIES; THE DISTRICT
DOES NOT HAVE GOVERNMENTAL OR NON-MAJOR ENTERPRISE
ACTIVITIES AS PART OF ITS OPERATIONAL STRUCTURE.
For financial reporting purposes, each of the District’s
activities report Equity, the excess of assets over
liabilities, as Net Position. Also for financial reporting
purposes, Net Position is reported in three distinct
classifications:
• Net Position Invested in Capital Assets,
• Restricted Net Position, and
• Unrestricted Net Position.
Net Position Invested in Capital Assets maintains a
running balance of resources spent on the acquisition
and construction of capital assets, less outstanding
long-term debt and net of depreciation of those capital
assets over time. This classification of Net Position
does not include spendable funds that are available for
appropriation and is therefore not considered as part
of the budget process.
Restricted Net Position includes unspent proceeds
from issuance of long-term debt and developer
paid capacity fees. These funds are available for
appropriation for capital projects, but only as defined
by contractual agreement with bondholders and other
creditors, or by studies adopted by EVWD that state the
purpose and amount of capacity fees to be collected
from developers. Debt proceeds are used only for
projects specifically stated in debt agreements, and
capacity fees are used only for construction of projects
that expand the capacity of the District’s infrastructure
or to pay debt on expansion projects that have already
been built. Accordingly, appropriations from Restricted
funds will appear in the District’s capital budget.
Unrestricted Net Position is the residual after the
balances in the other two classifications of Net Position
have been determined. The District has the most
flexibility in determining how Unrestricted Net Position
may be appropriated, and the Board of Directors has
done so by establishing a Reserve Policy, which is
summarized on pages 24-25. The policy establishes
three designations for unrestricted net position,
and has defined their purpose, order of priority for
funding, target levels, and uses. Those unrestricted
designations are the:
• Operating Fund
• Capital Replacement Fund
• Rate Stabilization Fund
Operating Fund
WATER ENTERPRISE
CapitalReplacement Fund CapitalReplacement Fund
RateStabilization Fund
Operating Fund
WASTEWATER ENTERPRISE
RateStabilization Fund
Debt Proceeds Unrestricted Funds
Capacity Fees
Restricted Funds
FISCAL YEAR BUDGET 2020-202150
The Operating Fund has the highest priority and is funded first out of any excess of revenue over expenditures at the end
of each fiscal year. When the Operating Fund has reached its target level of 120 days operating expenses, excess funds
are applied to the Capital Replacement Funds up to $10 million. Any remainder is transferred to the Rate Stabilization
Fund. If all funds have been fully funded, the remainder reverts to the Operating Fund. The District’s Board of Directors
may take action to transfer balances between the Unrestricted Fund designations.
The graph below, illustrates the changes in the designated funds that make up Unrestricted Fund Equity for the past five
years and forecasted balances for FY 2020-21.
Unrestricted Fund Equity
$6,786,369
$8,141,879
$6,484,818 $6,221,085
$3,000,000
$14,595,000
$15,860,000 $15,510,000
$3,029,652 $2,706,085 $3,306,271 $3,911,086 $2M
$4M
$6M
$8M
$10M
$12M
$14M
$16M
FY 2016-17 FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21
Water Capital Replacement Fund Wastewater Operating FundWater Operating Fund
$3,911,086
$6,221,085
WATER DESIGNATED FUNDS
Funding for designated fund balances (reserves) is built into rates when the District conducts a cost-of-service analysis;
this occurs approximately every five years. In March 2015, the District adopted a new tiered rate structure to provide
revenue stability during California’s severe drought in which strict conservation mandates were imposed by the state.
Revenue stability was achieved by the new rates structure, as is evidenced by the growth of designated fund balances
for fiscal years 2016-17 through 2020-21 in the chart above.
In addition, designated fund balances realized significant growth in 2018-19 due to the sale of surplus land.
The following table presents beginning balances, annual activity, and ending balances for the unrestricted water
designated funds for a period of five years, including projections for the 2020-21 budget year, and also presents target
levels established for each designated fund in accordance with the District’s reserve policy.
The table also includes balances and activity for restricted water capacity fees. Although capacity fees are not budgeted,
they are available for appropriation for certain capital improvement projects.
EAST VALLEY WATER DISTRICT 51
FINANCIAL SUMMARY
Unrestricted and Restricted - Water Designated Funds
FY 2016-17
Actual
FY 2017-18
Actual
FY 2018-19
Actual
FY 2019-20
Projected
FY 2020-21
Budgeted
WATER OPERATING FUND
Maximum Target Level
120 Days Operations $ 5,216,000 $ 5,175,000 $ 5,505,000 $ 5,849,667 $ 6,022,333
Beginning Fund Balance 5,789,742 6,786,369 8,141,879 6,484,818 6,221,085
Revenue 24,954,835 27,296,029 26,754,320 25,831,669 26,398,000
Operating/Non Operating
Expenditures (16,291,186) (17,714,108) (18,098,700) (16,493,402) (19,568,000)
Capital Expenditures (3,097,378) (2,645,333) (2,938,973) (4,106,000) (4,265,000)
Debt Principal Payments (1,926,956) (2,581,078) (2,924,244) (2,496,000) (2,565,000)
Interfund Sale of Land / Land Sale (2,642,688)- 7,550,536 --
Transfer to Capital Replacement
Fund - (3,000,000) (12,000,000) (3,000,000)-
ENDING WATER
OPERATING FUND 6,786,369 8,141,879 6,484,818 6,221,085 6,221,085
WATER CAPITAL REPLACEMENT FUND
Minimum Target Level 10,000,000 10,000,000 10,000,000 10,000,000 10,000,000
Beginning Fund Balance - - 3,000,000 14,595,000 15,860,000
Transfer from Operating Fund - 3,000,000 12,000,000 3,000,000 -
Capital Expenditures - - (405,000) (1,735,000) (350,000)
ENDING WATER CAPITAL
REPLACEMENT FUND - 3,000,000 14,595,000 15,860,000 15,510,000
RESTRICTED WATER CAPACITY FEES
No Target Level - - - - -
Beginning Fund Balance 1,627,295 1,962,255 2,171,212 1,996,379 2,114,692
Fees Collected 334,960 208,957 310,946 118,313 -
Debt Issued -----
Capital Expenditures - - (485,779)--
ENDING WATER
CAPACITY FEES 1,962,255 2,171,212 1,996,379 2,114,692 2,114,692
ENDING BALANCE
ALL WATER FUNDS $ 8,748,624 $ 13,313,091 $ 23,076,197 $ 24,195,777 $ 23,845,777
FISCAL YEAR BUDGET 2020-202152
WASTEWATER DESIGNATED FUNDS
The District last adjusted Wastewater Rates in October 2012. This fact, combined with the funding of preliminary
studies and design, and ensuing litigation, related to a planned water recycling plant, have limited the District’s ability to
accumulate and grow balances in Wastewater designated funds. The District did complete a cost of service analysis and
rate study for wastewater rates in January 2020 and will consider adoption of rate adjustments during fiscal year 2020-
21. However, the effective date for implementation of adjusted rates is not known, therefore, the 2020-21 wastewater
enterprise budget projections do not show any increase to designated fund balances.
The following table presents the beginning balance, annual activity, and ending balance for the wastewater operating
fund for a period of five years, including projections for the 2020-21 budget year. As the operating fund target level has
not been met, no funding is available for the wastewater capital replacement fund.
The table also includes balances and activity for restricted wastewater capacity fees. Although capacity fees are not
budgeted, they are available for appropriation for certain capital improvement projects.
Unrestricted and Restricted - Wastewater Designated Funds
FY 2016-17
Actual
FY 2017-18
Actual
FY 2018-19
Actual
FY 2019-20
Projected
FY 2020-21
Budgeted
WASTEWATER OPERATING FUND
Maximum Target Level
120 Days Operations $ 3,680,000 $ 3,824,000 $ 4,056,000 $ 4,140,000 $ 4,108,000
Beginning Fund Balance 1,761,323 3,029,652 2,706,085 3,306,271 3,911,086
Revenue 12,432,000 13,475,015 14,129,144 13,319,081 13,467,000
Operating/Non Operating
Expenditures (11,816,048) (13,171,144) (12,804,125) (11,781,266) (12,537,000)
Capital Expenditures (1,895,311) (532,438) (624,833) (833,000) (830,000)
Debt Principal Payments (95,000) (95,000) (100,000) (100,000) (100,000)
Interfund Sale of Land / Land Sale 2,642,688 ----
ENDING WASTEWATER
OPERATING FUND 3,029,652 2,706,085 3,306,271 3,911,086 3,911,086
RESTRICTED WASTEWATER CAPACITY FEES
No Target Level - - - - -
Beginning Fund Balance 528,599 698,889 982,851 1,283,578 3,618,172
Fees Collected 170,290 283,962 300,727 2,334,594 -
Debt Issued -----
Capital Expenditures -----
ENDING RESTRICTED
WASTEWATER CAPACITY FEES 698,889 982,851 1,283,578 3,618,172 3,618,172
ENDING BALANCE
ALL WASTEWATER FUNDS $ 3,728,541 $ 3,688,936 $ 4,589,849 $ 7,529,258 $ 7,529,258
EAST VALLEY WATER DISTRICT 53
The District issues debt for the purpose of building and improving capital assets, and to refund/refinance previously
issued debt when interest rates and other circumstances make it financially prudent. The District’s Debt Management
Policy states that debt may only be issued to finance capital projects that have been incorporated into the District’s
Capital Improvement Program, and that debt will only be used to finance projects if it is the most cost-effective means of
doing so and the District’s credit rating will not be negatively impacted.
District policy prohibits the issuance of long-term debt to fund operating activities.
THE DISTRICT’S DEBT SERVICE PAYMENTS IN 2020-21
WILL BE $4,379,000 ON TOTAL OUTSTANDING DEBT OF
$44,218,000 AS OF JUNE 30, 2020.
OverviewDebt
TYPES OF DEBT
Revenue Bonds
Revenue bonds are issued to finance the construction
or upgrade of water and wastewater facilities. Debt
service is payable out of water and wastewater system
net revenue.
• 2010 Refunding Revenue Bonds: issued to refund all
outstanding long-term debt and to provide $16 million
for future capital improvements. Bonds outstanding
total $21,635,000, bear interest of 3.90% to 5.00%.
• 2013 Revenue Bonds: issued to finance the
construction of a new administration and operations
headquarters. Bonds outstanding total $12,085,000,
bear interest of 4.25% to 5.00%. Current payments are
interest only, with principal amortization scheduled to
begin in FY 2021-22.
State Water Resources Control Board
(SWRCB) Loans
SWRCB loans are utilized to finance the construction
or upgrade to clean drinking water or recycled water
projects. Debt service is payable out of water and
wastewater system net revenue.
• Treatment Plant 134: borrowed to finance upgrades
to treatment technology at the District’s Plant 134.
The total loan outstanding is $5,834,973 bearing
interest at 0%.
• Sterling Natural Resource Center: borrowed as
primary funding for water recycling plant known
as the Sterling Natural Resource Center. Total loan
requested is $148.3 million with $53.3 million drawn
down to date. Interest on the loan is 1.8% and annual
debt service on the full loan will be approximately
$6.82 million annually. The debt service on this loan
is not included in the following tables.
The District's Debt Management Policy stipulates that
debt may only be issued to finance capital projects.
FISCAL YEAR BUDGET 2020-202154
State Water Resources Control Board Loans
Assessment Districts loan agreements signed in support of the State’s consolidation of mutual water companies with
failing water infrastructure within the District’s service area. District is responsible for ensuring payment on the state
loans which is payable from assessments on property formerly served by the water companies.
• Arroyo Verde & Eastwood Farms: borrowed to fund installation of new water distribution system connected to the
District’s water supply facilities. Loans outstanding total $363,864 and bear interest at 0%.
Other Loans – Subordinate
Financing agreements signed with equipment vendors, installers, or construction project managers for the purchase
or installation of equipment with useful lives of 20 year or less. Repayment periods are 10 years and debt service
payments are paid out of energy cost savings.
• U.S. Bank Loan: borrowed to finance construction and implementation of several energy conservation measures.
The total loan outstanding is $1,719,000 at an interest rate of 2.3%,
• SBVMWD Loan: borrowed from the San Bernardino Valley Municipal Water District (Valley District), the region’s
State Water Project (SWP) contractor, for the construction of an SWP turnout and hydro-electric generation facility
leading to the District’s treatment plant - Plant 134. Loan principal outstanding of $2,580,000 bears interest at the
LAIF apportionment rate, currently 2.03%. Debt service is payable over 10 years out of water net revenue and
energy cost savings.
IMPACT OF CURRENT DEBT LEVELS
A schedule of 2020-21 debt service payments, by issue, is shown in the following schedule:
WATER FUND WASTEWATER FUND
Debt Issue Principal Interest Principal Interest Total
2010 Refunding Revenue Bonds $ 1,540,000 $ 925,000 $ 110,000 $ 3,000 $ 2,578,000
2013 Revenue Bonds - 385,000 - 200,000 585,000
DWR Loan-Treatment Plant 234,000 - - - 234,000
DWR Loans - Assessment
Districts 19,000 - - - 19,000
US Bank Loan 416,000 38,000 - - 454,000
SBVMWD Loan 430,000 79,000 - - 509,000
TOTAL $ 2,639,000 $ 1,427,000 $ 110,000 $ 203,000 $ 4,379,000
As shown above, debt service for fiscal year 2020-21 on all outstanding debt is $4,379,000 - this amount represents
11.2% of the District’s total budget. 2020-21 is the final of a five-year period during which annual debt service payments
will exceed $4.2 million. This level of debt service does not affect utility services provided to District ratepayers but
does directly impact the number of Capital Projects that can be funded by operating revenues. The following table
presents District debt level ratios compared to 2015 Southwest Regional medians reported by Fitch ratings.
Ratio Fitch Median EVWD
Outstanding debt per customer (21,576 accts)$ 1,634 $ 2,049
All-in debt service as % of gross revenue (1)26%14%
(1) Gross revenue does
not include wastewater
treatment charges,which
are a pass-through to the
City of San Bernardino
Municipal Water Department
EAST VALLEY WATER DISTRICT 55
Debt Coverage Ratio
WATER FUND WASTEWATER FUND
Fiscal Year Principal Interest Principal Interest Total
2020-21 $ 2,639,000 $ 1,427,000 $ 110,000 $ 203,000 $ 4,379,000
2021-22 2,138,000 1,325,000 105,000 198,000 3,766,000
2022-23 2,193,000 1,265,000 110,000 192,000 3,760,000
2023-24 2,248,000 1,203,000 115,000 187,000 3,753,000
2024-25 1,838,000 1,140,000 120,000 181,000 3,279,000
2026-30 6,045,000 5,064,000 700,000 805,000 12,614,000
2031-35 6,582,000 4,052,000 870,000 629,000 12,133,000
2036-40 8,001,000 2,627,000 1,100,000 410,000 12,138,000
2041-45 8,214,000 740,000 1,090,000 113,000 10,157,000
TOTAL $ 39,898,000 $ 18,843,000 $ 4,320,000 $ 2,918,000 $ 65,979,000
FUTURE DEBT LEVELS
The addition of the DWR Loan for the Sterling Natural Resource Center will substantially increase the District’s annual
debt service requirement. Contractual payments on this loan will begin one year after Completion of Construction, which
is scheduled for January 2022. As noted in other discussions about the fiscal impact of the SNRC in this document,
wastewater treatment services are currently provided by the City of San Bernardino and payments under that contract
shown as Wastewater Treatment operating expense. When the SNRC is operational, Wastewater Treatment payments
to the City will be replaced with labor, materials, and other direct treatment costs, and debt service.
The graph below presents total debt service on existing debt, and future SNRC loan payments, through maturity.
Debt Service
$2M
$4M
$6M
$8M
$10M
20
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5
1
Wastewater Fund Water FundRecycled Water
FINANCIAL SUMMARY
FISCAL YEAR BUDGET 2020-202156
BOND RATINGS
Credit risk is the risk that District creditors will suffer financial loss if the District fails to fulfill its obligation to make
timely payments to holders of District debt. This risk is measured by the assignment of a rating to the District’s bonds
by a nationally recognized credit rating organization. Strong credit ratings provide benefits to District ratepayers
in the form of reduced debt service costs. Prudent financial management policies have resulted in a bond rating
of AA- from both Standard & Poor’s, and Fitch ratings. Fitch affirmed its rating in April of 2017. The AA- rating is
considered a high quality, investment grade rating.
DEBT CAPACITY AND DEBT SERVICE COVERAGE
The District has no policy limitation, and there is no statutory limitation, on the amount of debt that may be issued
by the District, however, bond covenants for the District’s 2010 and 2013 Revenue Bonds require an additional
bonds test prior to issuing additional obligations payable from Net Operating Revenue. The test determines the
amount of additional debt that may be issued by calculating the amount of net revenue available for additional
debt service payments.
The Revenue Bond documents, as well as loan agreements with the Department of Water Resources and US
Bank, require that the District maintain a debt coverage ratio equal to 1.2 or 120% of annual debt service.
The FY 2020-21 proposed operating budget provides the net revenue to debt ratios shown in the table below.
Debt Service Coverage
Water Fund Wastewater Fund Total
REVENUE
Sales and Services $ 25,888,000 $ 13,242,000 $ 39,130,000
Other Charges 285,000 195,000 480,000
Interest & Miscellaneous Revenue 225,000 30,000 255,000
TOTAL REVENUES 26,398,000 13,467,000 39,865,000
OPERATING EXPENSES
Programs 18,067,000 12,324,000 30,391,000
TOTAL OPERATING EXPENSES 18,067,000 12,324,000 30,391,000
Net Revenue 8,331,000 1,143,000 9,474,000
Annual Debt Service $ 4,066,000 $ 313,000 $ 4,379,000
DEBT COVERAGE RATIO 2.05 3.65 2.16
Net Revenue in excess of annual debt service (excess coverage) provides funding for the District’s CIP and
contributions to Replacement Reserves.
EAST VALLEY WATER DISTRICT 57
It helps determine whether financial resources will be
available to achieve the Districts long-term goals and
objectives, and to contribute to capital programs and
reserve levels. It also provides a starting point for future
decision making regarding the District’s spending and
projected revenues.
As a water and wastewater utility, the Districts’ long-term
planning efforts have always included consideration
of the age, condition, and efficiency of infrastructure
used to deliver services to District customers, along
with compliance with water quality regulations. But in
recent years, the drought in California has raised the
preservation and sustainability of water supplies, and
water quality, as prominent issues in planning for future
operations. Based on these identified priorities, the
District has developed goals that will have a significant
impact on the District’s operating budget over the next
few years, including:
• Cost recovery through user rates versus
development fees
• Construction of a water recycling plant (Sterling
Natural Resource Center)
• Find alternative Water Supply and Promote
Conservation
• Meet all Water Quality Standards
• Replacement of aging pipelines and increased
water storage capacity
The achievement of these goals is subject to certain
assumptions, but will remain a priority as they support
the District Vision and District Goals and Objectives.
THE LONG-RANGE FINANCIAL PLAN PROVIDES A FORWARD-LOOKING VIEW OF
THE DISTRICT’S OPERATING FUNDS, ALLOWING DISTRICT MANAGEMENT AND
OTHERS TO EVALUATE THE LONG TERM SUSTAINABILITY OF THE DISTRICT’S
OPERATING BUDGET.
Financial PlanLong Range
LONG TERM PRIORITIES
Assumption Link to District Goals & Objectives
User Rates Support Reasonable Costs Related to Existing Customers;
Development Fees Pay for New Infrastructure
• Water Usage Per Capita Will Not Increase
Due to Conservation Efforts
• Development will add 50 Customers
Annually to District Service Area
• Practice Transparent and Accountable
Fiscal Management
• Pursue Alternative Funding Sources
Construct Sterling Natural Resource Center for Recycled Water Supply
• Digesters will Provide New Revenue Streams
(Energy Sales, Tipping Fees) That Will Help
Ensure Fiscal Sustainability
• Manage and Identify Methods to
Conserve Natural Resources
• Actively Seek Alternative Supply Resources
• Pursue Alternative Funding Sources
FINANCIAL SUMMARY
FISCAL YEAR BUDGET 2020-202158
Assumption Link to District Goals & Objectives
Find / Utilize Additional Water Supply
• State Project Water Will Be Available to
Purchase for Basin Recharge
• Actively Seek Alternative Supply Resources
• Strengthen Regional, State and
National Partnerships
Replace Aging Pipelines
• New Rate Structure Will Provide Revenue
Stability and Adequate Funding For Pipeline
Replacement Program
• Develop Projects and Programs to Ensure
Safe and Reliable Services
• Dedicate Effort Toward System Maintenance
and Modernization
Meet Water Quality Standards
• SRF Funding Will Be Available to Upgrade
Treatment Processes for Imported Water
High in Organics
• Develop Projects and Programs to Ensure
Safe and Reliable Services
RATES AND CHARGES
As discussed in the previous section, water and
wastewater rate revenue is expected to increase over
the next five years due to modest building development
and rate adjustments. Water rates were adjusted in
March 2015 with a three-year implementation through
FY 2017-18. An updated cost of service analysis
will be completed in FY 2019-20 for both water and
wastewater rates. Any rate adjustments proposed by
the consultant will be considered in accordance with
requirements under California Proposition 218.
• Water Sales are projected to grow $500,000 or
3.5% over the next five years due to the estimated
addition of 50 new utility accounts annually,
combined with 1% rate increases. Sales per capita
is expected to remain flat as water budget based
tiered rates implemented by the District incentivize
consumers to use water efficiently.
• Meter Charge revenue is expected to grow by
$100,000 between FY 2019-20 and FY 2023-
24 due to the increase in customer accounts
mentioned above.
When the District completes construction on the
Sterling Natural Resource Center (SNRC) in January
of 2022, it will mark the beginning of wastewater
treatment and water recycling operations for the
District, and the collection of the related revenue.
Beginning in 2022 the District will adopt and collect its
own wastewater treatment rates in support of SNRC
operations and debt service.
The District will also sell recycled water produced by
the SNRC to the San Bernardino Valley Municipal Water
District under a Local Resource InvestmentProgram
(LRIP) established to recharge the Bunker Hill
Groundwater Basin. Under the LRIP, the District and
other recycled water producers will be reimbursed
$173 per acre foot of water used for recharge. The
District anticipates that the SNRC will produce 6,000
acre-feet of reclaimed water each year, resulting in an
annual revenue of $1.26 million.
EAST VALLEY WATER DISTRICT 59
OPERATING COST FORECAST
Operating costs for the District include salaries and
benefits, maintenance and operation of the water
distribution and wastewater collection systems, contract
services and materials and supplies. Costs also include
monthly payments to the Valley District for wastewater
treatment services through December 2021. In January
2022 the SNRC will begin operations and contract
payments to Valley District will be replaced by staff and
direct operating costs related to this new water recycling
enterprise.
EMPLOYMENT EXPENSES
Salaries are one of the largest costs for the District and
are adjusted in accordance with a memorandum of
understanding (MOU) with employees – a new three-
year MOU, which became effective in July 2017, included
the following agreed-upon changes:
• 3% Cost of Living Increases for each of the next
three years.
• 2.5% annual step increases, if qualified, until
employees reach the top of their salary range.
• Performance based incentive payments of up to
5% of base salary. An average of 4% was used for
purposes of forecasting.
Retirement plan contributions make up two-thirds of total
benefit costs and have two components – Normal Cost,
and payments against the pension plan’s Unfunded
Accrued Liability (UAL). Normal Cost contributions are
currently 12.805% of payroll, increasing to 13.6% for
Fiscal Years 2020-21 through 2024-25. UAL payments
are $1,165,981 per year for fifteen years, beginning with
FY 2019-20. Other benefit costs included are projected
to increase 5% per year.
Staffing levels are expected to remain constant through
FY 2020. However, as construction of the SNRC
progresses, an estimated six full time employees will
be added to operate the facility. Accordingly, recruiting
and hiring for these positions will need to begin
approximately six months prior to completion so staff
can be trained on treatment processes.
CONTRACTED WASTEWATER
TREATMENT
Contracted treatment is expected to increase less than
1% per year through June 2022. Thereafter, monthly
payments to the City averaging more than $550,000
per month, or $8.6 million annually, will cease. However,
part of the agreement for dissolution of the agreement
with the City was that the District will continue to pay
the City $700,000 annually to assuage the effects of the
loss of revenue for the District. Settlement payments will
continue for 10 years.
POWER COSTS
The District has tried to insulate itself and ratepayers
from significant increases in the cost of electricity by
implementing energy conservation measures, installing
a hydro-electric generation facility, and at the future
Sterling Natural Resource Center, constructing digesters
to convert methane gase, resulting from treatment
processes, into energy. The District plans to build the
digesters with enough capacity to power the entire
SNRC plant and produce excess energy for sale back to
Edison. The available capacity in the planned digesters
will allow the SNRC to accept food waste from refuse
haulers, while charging a tipping fee that will contribute
to the financial success of the plant.
MATERIALS AND SUPPLIES
In general, materials and supplies are expected
to increase 2% per year with inflation and will be
approximately $1.4 million annually until completion
of the SNRC when the cost of chemicals and other
consumables will increase by approximately $1 million
for SNRC operations.
OTHER CONTRACTED SERVICES
Other Contracted Services such as maintenance on
existing facilities, consulting, customer bill generation
and printing are currently at $6 million annually and are
expected to increase 2% annually until the opening of
the SNRC. When that facility opens and is operational,
maintenance costs are expected to increase $550,000
due to the extensive equipment involved in treatment
operations, and removal and hauling of waste residuals
will add $1 million per year to contract services.
FINANCIAL SUMMARY
FISCAL YEAR BUDGET 2020-202160
DEBT SERVICE FORECAST
Debt service costs include principal and interest on
Revenue Bonds and Loans issued to finance system
improvements. Future debt service cost projections
include an additional loan from the State Revolving
Fund issued to finance the construction of the Sterling
Natural Resource Center. The final loan amount will not
be determined until the project is complete, however,
the additional debt related to this project is expected
to increase annual debt service from $3.8 million in FY
2021-22, to $10.6 million in FY 2022-23. A schedule of
future debt service, including on the State Revolving
Fund loan from the SWRCB, is shown on page 54 of
this document.
REVENUE FUNDED CAPITAL
EXPENDITURES FORECAST
Revenue funded capital project spending is projected
to average $4 million over the next five years. Projects
included in the forecast are discussed in the five-year
Capital Improvement Program section of this budget.
FIVE YEAR FORECAST – FY 2021
THROUGH FY 2025
The following financial forecast is presented to provide
a general understanding of how long-term goals will
affect operating revenue and expenditures over the
next five years.
EAST VALLEY WATER DISTRICT 61
FORECAST
FY 2018 FY 2019 FY 2020 FY 2021 FY 2022
REVENUE
Water Sales / Wastewater Collect $ 21,524,000 $ 21,832,000 $
22,403,000
$
22,428,000 $ 22,453,000
Wastewater Treatment 8,665,000 8,693,000 8,708,000 8,752,000 8,795,000
LRP Revenue - 519,000 1,038,000 1,044,000 1,050,000
Meter Fees 9,020,000 9,110,000 9,688,000 9,688,000 9,688,000
Power Offset, Energy Sales,
Tipping Fees - 1,457,000 6,298,000 6,325,000 6,274,000
Other Operating Charges 446,000 1,160,000 1,156,000 1,153,000 1,149,000
Investment Income 255,000 336,000 602,000 649,000 735,000
Capacity Fees - - - - -
Other Income 34,000 50,000 50,000 50,000 50,000
TOTAL REVENUE / SOURCES 39,944,000 43,157,000 49,943,000 50,089,000 50,194,000
EXPENDITURES
Labor & Benefits 11,260,000 12,623,000 13,699,000 13,887,000 13,394,000
Water Costs 826,000 826,000 826,000 826,000 826,000
Contracted Wastewater Treatment 8,665,000 4,625,000 - - -
Power Costs 1,800,000 1,850,000 4,709,000 4,710,000 4,711,000
Contract Services 6,209,000 7,570,000 8,582,000 8,659,700 8,739,000
Materials 1,285,000 1,777,000 2,208,000 2,223,000 2,240,000
Other Operating Expenses 425,000 708,000 988,000 1,006,000 1,024,000
Debt Service 4,379,000 3,787,000 3,793,000 10,604,000 10,593,000
Capital Outlay 1,980,000 1,050,000 1,100,000 1,650,000 1,650,000
Capital Improvement Program 3,465,000 3,685,000 3,859,000 4,158,000 4,145,000
TOTAL EXPENDITURES 40,294,000 38,501,000 39,764,000 47,723,700 47,322,000
CHANGE IN EQUITY (350,000) 4,656,000 10,179,000 2,365,300 2,872,000
BEGINNING FUND EQUITY 25,992,171 25,642,171 30,298,171 40,477,171 42,842,471
ENDING FUND EQUITY $ 25,642,171 $ 30,298,171 $ 40,477,171 $ 42,842,471 $ 45,714,471
FINANCIAL SUMMARY
FISCAL YEAR BUDGET 2020-202162
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schedulesCONSOLIDATED FINANCIAL
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WATER FUND
CONSOLIDATED FINANCIAL SUMMARY
WASTEWATER FUND
16
The District conducts an extensive
process gathering input from internal
staff and the community throughout the
budget development and review process.
63
PAGE
EAST VALLEY WATER DISTRICT
SummaryFinancial
CONSOLIDATED FINANCIAL SCHEDULES
OVERVIEW OF REVENUES AND OTHER
FINANCING SOURCES AND EXPENDITURES.
Consolidated
DISTRICT-WIDE SUMMARY
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
REVENUES
4100 Water Sales $ 15,746,654 $ 15,900,000 $ 15,777,000 $ 16,868,000 $ 968,000 6%
4200 Meter Charges 9,009,881 8,980,000 9,009,881 9,020,000 40,000 0%
4301 Late Fee Payment 607,040 560,000 410,507 388,000 (172,000)-31%
4400 WW Collection
Charges 4,643,732 4,648,000 4,747,462 4,656,000 8,000 0%
4500 WW Treatment
Charges 8,592,950 8,665,000 8,501,530 8,586,000 (79,000)-1%
4605 Other Operating
Charges 592,164 113,000 142,655 58,000 (55,000)-49%
4701 Interest Income 571,535 300,000 310,013 255,000 (45,000)-15%
4703 Energy Incentives/
Rebates - - - - - -
4704 Miscellaneous
Revenue 624,378 34,000 251,701 34,000 - 0%
TOTAL REVENUES 40,388,334 39,200,000 39,150,749 39,865,000 665,000 2%
EXPENSES – OPERATING BY PROGRAM
1000 Governing Board 189,580 257,000 199,323 257,000 - 0%
2000 General Administration 1,103,421 1,304,000 1,139,171 1,302,000 (2,000)0%
2100 HR/Risk Management $ 899,194 $ 1,024,000 $ 1,114,510 $ 1,325,000 $ 301,000 29%
FISCAL YEAR BUDGET 2020-202164
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
2200 Public Affairs $ 1,146,804 $ 1,440,000 $ 1,074,970 $ 1,589,000 $ 149,000 10%
2300 Conservation 1,032,155 589,000 447,360 624,000 35,000 6%
3000 Finance 1,273,669 1,249,000 1,171,964 1,272,000 23,000 2%
3200 Information Technology 998,358 932,000 795,030 973,000 41,000 4%
3300 Customer Service 1,594,902 1,615,000 1,232,417 1,507,000 (108,000)-7%
3400 Meter Services 328,314 295,000 311,473 290,000 (5,000)-2%
4000 Engineering 1,661,570 1,551,000 1,248,827 1,544,000 (7,000)0%
5000 Water Production Admin 426,547 579,000 479,440 600,000 21,000 4%
5000-51 Source of Supply 2,226,616 2,994,000 2,641,752 2,834,000 (160,000)-5%
5000-52 Pumps & Boosters 538,913 652,000 422,076 611,000 (41,000)-6%
5000-54 Trans & Distribution 398,325 442,000 416,569 448,000 6,000 1%
5100 Water Treatment 775,031 870,000 877,811 905,000 35,000 4%
5200 Water Quality 417,411 461,000 452,914 480,000 19,000 4%
6000 Maintenance Admin 366,723 435,000 370,029 434,000 (1,000)0%
6100 Water Maintenance 2,211,467 2,317,000 2,851,565 2,485,000 168,000 7%
6200 Wastewater
Maintenance 700,507 814,000 786,206 803,000 (11,000)-1%
6300 Wastewater Treatment
(Pass-through) 8,592,950 8,665,000 7,932,758 8,586,000 (79,000)-1%
7000 Facilities Maintenance 942,177 998,000 1,013,202 1,022,000 24,000 2%
7100 Fleet Maintenance 632,170 486,000 533,298 500,000 14,000 3%
SUBTOTAL OPERATING
EXPENSES 28,456,804 29,969,000 27,512,665 30,391,000 422,000 1%
EXPENSES – OTHER
Debt Service 4,474,253 4,358,000 4,358,000 4,379,000 21,000 0%
Capital Outlay 452,005 1,564,000 1,564,000 1,630,000 66,000 4%
Capital Improvement 3,262,546 3,375,000 3,375,000 3,465,000 90,000 3%
Transfer to Reserves 3,742,726 - 2,341,084 - - -
Transfer from Reserves - (66,000) - - 66,000 -100%
SUBTOTAL OTHER EXPENSES 11,931,530 9,231,000 11,638,084 9,474,000 243,000 3%
TOTAL EXPENSES 40,388,334 39,200,000 39,150,749 39,865,000 665,000 2%
NET $ - $ - $ - $ - $ -
EAST VALLEY WATER DISTRICT 65
CONSOLIDATED FINANCIAL SCHEDULES
ITEMIZED OPERATING EXPENSE SUMMARY
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 6,536,095 $ 6,590,600 $ 6,617,598 $ 6,877,000 $ 286,400 4%
5102 Temporary Labor 42,242 - 24,691 - - -
5103 Overtime 366,134 352,000 379,588 388,000 36,000 10%
5104 Standby 37,993 35,000 39,050 35,000 - 0%
5200 Benefits 2,779,970 3,574,000 3,328,152 3,641,000 67,000 2%
PERSONNEL TOTAL 9,762,434 10,551,600 10,389,079 10,941,000 389,400 4%
WATER SUPPLY
6101 Purchased Water 306,513 500,000 440,716 400,000 (100,000)-20%
6102 Replenishment 98,406 445,000 111,625 304,000 (141,000)-32%
6103 Water Assessment 123,547 122,000 50,716 122,000 - 0%
WATER SUPPLY TOTAL 528,466 1,067,000 603,057 826,000 (241,000)-23%
OTHER OPERATING EXPENSES
6201 Materials & Supplies 773,310 765,000 831,750 715,000 (50,000)-7%
6202 Tools 36,683 53,000 63,614 54,000 1,000 2%
6203 Office Supplies 26,294 42,000 30,359 41,000 (1,000)-2%
6204 Chemicals 227,518 350,000 270,207 350,000 - 0%
6205 Conservation Rebates 711,436 195,000 156,412 145,000 (50,000)-26%
6301 Contract Services 3,198,981 2,676,000 2,443,566 3,017,000 341,000 13%
6302 Banking Services 270,123 326,000 246,730 259,000 (67,000)-21%
6303 Printing & Publishing 195,737 327,000 181,102 358,000 31,000 9%
6304 Legal Services 199,204 256,000 123,100 186,000 (70,000)-27%
6305 Treatment Services 8,592,950 8,665,000 7,932,758 8,586,000 (79,000)-1%
6306 Rents & Leases 32,246 15,000 28,022 15,000 - 0%
6307 Uniforms 42,136 91,000 66,219 90,000 (1,000)-1%
6308 Billing Services 41,060 52,000 42,229 52,000 - 0%
6309 Shut Off Notice Services 344,565 359,000 139,406 195,000 (164,000)-46%
6310 Street Services 323,336 325,000 506,433 325,000 - 0%
6311 Landscape Services 159,932 145,000 154,724 145,000 - 0%
6312 Janitorial Services 106,928 134,000 133,152 134,000 - 0%
6314 Litigation Services - 50,000 20,330 40,000 (10,000)-20%
6401 Utilities 27,183 24,000 31,497 24,000 - 0%
6402 Telephone 67,149 152,000 72,472 157,000 5,000 3%
6403 Electricity 1,686,016 1,820,000 1,760,302 1,920,000 100,000 5%
6404 Fuel $ 125,357 $ 125,000 $ 134,936 $ 125,000 $ - 0%
FISCAL YEAR BUDGET 2020-202166
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
6405 Permits $ 131,996 $ 293,000 $ 158,526 $ 293,000 $ - 0%
6406 Postage 151,438 198,000 127,727 245,000 47,000 24%
6501 Memberships 87,727 118,000 94,953 126,000 8,000 7%
6502 Professional
Development 82,150 200,000 89,815 194,000 (6,000)-3%
6503 Education Assistance 5,090 11,000 2,842 16,000 5,000 45%
6504 Meetings 29,392 47,400 32,886 45,000 (2,400)-5%
6505 Employee Recognition 18,537 25,000 27,183 27,000 2,000 8%
6701 General Insurance 242,930 210,000 294,128 399,000 189,000 90%
6702 Insurance Claims 300 10,000 10,756 10,000 - 0%
6703 Cash Over/Short 262 - 512 1,000 1,000 -
6704 Bad Debt 3,447 1,000 3,791 16,000
6705 OPEB Retirees 224,491 290,000 308,090 319,000 29,000 10%
OTHER OPERATING
EXPENSES TOTAL 18,165,904 18,350,400 16,520,529 18,624,000 273,600 1%
TOTAL OPERATING EXPENSES $28,456,804 $29,969,000 $27,512,665 $ 30,391,000 $ 422,000 1%
Operating expenses are identified and
accounted for at the Program level.
fundWATER
WA
T
E
R
F
U
N
D
15
The District maintains 300 miles of water main line in a 30.1 square mile service area.
16
Water budget based rates
promote water efficiency and is
based on the cost of service while
remaining equitable and fair.
EAST VALLEY WATER DISTRICT 67
FundWater
EAST VALLEY WATER DISTRICT UNDERSTANDS THE IMPORTANCE
OF PRESERVING CALIFORNIA’S WATER SUPPLIES, ESPECIALLY IN
TIMES OF DROUGHT.
REVENUE: WATER SALES
East Valley Water District has taken many steps to
encourage water use efficiency. The water budget-
based rates promote water efficiency and are based
on the cost of service; it is equitable and fair; and
supports sustainable behavior change. The SWRCB
approves the water budget-based rate structure for
its ability to produce superior water savings, and the
alternative approach is compliant with the California
Drought Conservation Regulations. Additionally, water
budget-based rates encourage efficient water use
and provide security for the District long-term financial
position.
RATES
In FY 2019-20, the Board approved the implementation
of the final phrase three volumetric rate and refrained
from increasing meter charges. Also, during FY 2019-
20, a comprehensive cost of service analysis and rate
study were completed and presented to the Board at a
public meeting held on January 22, 2020. The studies
identified rate increases over the next three years to
cover additions to operating and capital costs. Due
to the restriction imposed on public meetings due
to the pandemic, the Governing Board decided to
reschedule the April 8, 2020 rate hearing. Therefore,
the rates used for FY 2020-21 projections are the rates
effective January 2020.
Commodity Charges
Rates FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21
Tier 1 $ 1.45 $ 1.73 $ 1.73 $ 1.83
Tier 2 2.07 2.46 2.46 2.61
Tier 3 2.89 3.44 3.44 3.64
Customer Class & Tier
Customer Class Tier 1 Tier 2 Tier 3 Total
Residential $ 3,936,000 $ 3,744,000 $ 1,707,000 $ 9,387,000
Multi-Family 1,788,000 1,020,000 916,000 3,724,000
Commercial 926,000 89,000 398,000 1,413,000
Irrigation / Construction - 1,178,000 1,166,000 2,344,000
TOTAL $ 6,650,000 $ 6,031,000 $ 4,187,000 $ 16,868,000
CONSOLIDATED FINANCIAL SCHEDULES
FISCAL YEAR BUDGET 2020-202168
Water Sales (Acre Feet)
CLASS NO. OF
ACCOUNTS TIER 1 TIER 2 TIER 3 TOTAL TOTAL SALES
Residential 19,526 4,937 3,293 1,077 9,307 $ 9,387,000
Multi-Family 463 2,243 897 578 3,718 3,724,000
Commercial 988 1,162 78 251 1,491 1,413,000
Irrigation 275 - 1,036 735 1,771 2,344,000
TOTALS 21,252 8,342 5,304 2,641 16,287 $ 16,868,000
The table below projects the amount of water to be produced for FY 2020-21. The amount of water produced is more
than the amount of water sold to account for unanticipated water demand, state-mandated water reserves, and regular
system water loss.
Water Production (Acre Feet)
SOURCE OF SUPPLY FY 2017-18
Actual
FY 2017-18
Actual
FY 2018-19
Projected
FY 2019-20
Projected
FY 2020-21
Budgeted
Ground Water 13,315 12,649 12,649 12,549 12,800
Surface Water 3,700 3,675 3,515 3,666 3,739
Puchased Water 800 800 800 800 800
TOTAL 17,815 17,124 16,964 17,015 17,339
ASSUMPTIONS AND TRENDS
The development of the revenue projections for FY 2020-21 requires management to estimate customer consumption for
the next year. The District will provide water services through approximately 21,306 domestic and irrigation connections
in FY 2020-21. In addition, 252 commercial fire services and 21 temporary hydrant meters are connected to the District’s
system. Water demand is estimated at 7,094,000 hundred cubic feet of water (HCF = 748 gallons) for FY 2020-21. The
estimate is based on actual consumption from FY 2018-19. The consumption data from this year was selected because
of its consumption model’s three-year averages. Staff is confident that the above projection will allow significant funding
for program goals and objectives without considerable risk of overstatement.
EVWD considers multiple factors in calculating each customer’s monthly water budget:
Since the adoption of water budget-based rates, the District has experienced success in reducing water consumption
and stabilizing revenues to ensure our operating and capital needs of the District are adequately funded.
HOW WATER BILLS ARE CALCULATED – RESIDENTIAL
Indoor Water Budgets are unique to each customer and is based on the number of occupants residing in the house.
Each occupant is budgeted 60 gallons of water per day (gpd) for efficient indoor use, which is then multiplied by the
number of days in the billing cycle.
• Number of Occupants
• Number of Dwelling Units
• Medical Needs
• Horses/Livestock
• Business Needs
• Agricultural Needs
• Irrigable Landscape
• Weather
• Meter Size
EAST VALLEY WATER DISTRICT 69
CONSOLIDATED FINANCIAL SCHEDULES
Tier 1 Indoor Budget Example
60 Gal 748
Persons Per Household Per Person, Per Day Days in Billing Cycle Number of Gallons
In One Unit
Tier 1 Budget
60 Gal 74828Days
6,732 Gallons or
9 Units of Water
for Tier 1 Budget
Example:Tier 1 budget calculation for a home with 4 occupants during a 28 day billing cycle.
Outdoor Water Budgets are unique to customer property, and it is based on the irrigable landscape. Irrigable
landscape represents the square footage of the property’s landscape requiring irrigation (e.g., grass, parkways, trees,
bushes, and various plants).
• Irrigable landscape Square Footage – is the area of the property requiring irrigation, and the square footage of
landscape is used for the outdoor water budget. When the District restructured its uniform rates to budget based in
FY 2014-15, a consultant flew an airplane with an advanced camera over the District’s service area which measured
the square footage of the irrigable landscape for each parcel. The data provided was review and analyzed for
accuracy and appropriate adjustments were made for, but not limited to, pools, livestock, trees, and other plant
based surfaces.
• Monthly Plant factor (Crop Coefficient Kc) – are the properties of plants used in predicting evapotranspiration
(ETo). The table below lists the values used in each month. East Valley Water District has elected to use the Cool-
Season crop coefficient.
• Evapotranspiration (ETo) – the process by which water is transferred from
the land to the atmosphere by evaporation from the soil and other surfaces
and by transpiration from plants. ETo is measured in inches, which is captured
and recorded by a state-certified weather station. The District received ETo
data from the California Irrigation Management Information System (CIMIS)
Station ID 251, located at Beattie Middle School 7800 Orange St, Highland,
CA 92346. The sum of the daily ETo measurement during the billing cycle is
used in the calculation for efficient outdoor water usage.
• Square Feet to Gallons Conversion – Evapotranspiration (ETo) is measured
in inches of water, but irrigable landscape is measured in square feet requiring
a gallon conversion to determining the outdoor budget. One-cubit foot of
water equals 7.48 gallons, therefore 1 inch of water per square foot equals
.62 gallons (7.48 gallons divided by 12” equals .62 gallons).
Tier 2 Factors:
In determining the customer’s outdoor budget, the following factors and conversions are made during each billing cycle.
Month JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC
Plant Factor 0.61 0.64 0.75 1.04 0.95 0.88 0.94 0.86 0.74 0.75 0.69 0.60
Annual Average 0.80
One Foot
On
e
F
o
o
t
WATER
One Cubic Foot =
7.48 Gallons
One
F
o
o
t
One Foot
WATER
1 Inch of Water per
Square Foot = .62 Gallons
1”
FISCAL YEAR BUDGET 2020-202170
Tier 2 Outdoor Budget Example
7480.620.88
Irrigated Sq. Ft.Monthly
Evapotranspiration Rate
Note:This rate varies per day and month
Monthly Plant Factor
Note: Rate changeseach month
Number of Gallons
In One Unit
Sq. Ft to Gallons
Conversion Factor
for Irrigation
748 1,076 Gallons or
2 Units of Water
for Tier 2 Usage
Tier 2 Usage
0.620.881,200 2.37
Irrigated Sq. Ft.Evapotranspiration
Rate Plant Factor Sq. Ft to Gallons
Conversion
Factor for
Irrigation
Number of
Gallons
In One Unit
Example:
Tier 2 budget calculation for a home with 1,200 sq.ft. of irrigatable area.
600 Sq. Ft. 600 Sq. Ft.
0.88
2.37
June
Plant Factor
Evapotranspiration Rate
Tier 3 Inefficient Use:
When a customer exceeds their Tier 1 and Tier 2 budgets, the excess units of water used are billed at the Tier 3 rate.
The District has developed its rates in accordance with Prop 218, allowing the District and agencies alike, to charge
customers additional charges for the additional cost incurred by the District, including but not limited to, imported water
cost, electricity expenses for pumping and boosting water throughout the distribution system, and chemicals needed
during the treatment process.
HOW WATER BILLS ARE CALCULATED – NON RESIDENTIAL
Non-Residential customers water budget is calculated differently from residential to ensure water budgets for this
customer class are equitable and cover the cost of supplying water to these establishments. The water budgets for this
customer class are determined below:
Tier 1 and Tier 2 Water Budgets:
The indoor (Tier 1) and outdoor water (Tier 2): budget are calculated by taking the average of the last two years actual HCF
consumption for each Tier, then it’s multiplied by 90%. Calculating non-residential customers in this manner encourages
conservation and shares the cost of operating the District.
Tier 3 Inefficient Use:
When a customer exceeds their Tier 1 and Tier 2 budgets, the excess units of water are billed at the Tier 3 rate.
EAST VALLEY WATER DISTRICT 71
CONSOLIDATED FINANCIAL SCHEDULES
REVENUE: MONTHLY METER CHARGE
The District’s Operating Revenue includes fixed charges, which are based on the size of the meter serving the
customer’s property. The rates meet the compliance requirements of Prop 218. Meter Charges have been established
on a comprehensive third-party cost of services analysis, and the rates provide funding for operating and capital
needs.
Monthly Meter Charges
Meter Size FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21
5/8 in. $23.06 $23.06 $23.06 $23.06
3/4 in. 29.27 29.27 29.27 29.27
1 in. 41.71 41.71 41.71 41.71
1.5 in. 72.81 72.81 72.81 72.81
2 in. 110.13 110.13 110.13 110.13
3 in. 228.30 228.30 228.30 228.30
4 in. 402.44 402.44 402.44 402.44
6 in. 819.14 819.14 819.14 819.14
8 in. 1,503.25 1,503.25 1,503.25 1,503.25
Monthly Fire LIne Service Charges
Meter Size FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21
1 in. $8.78 $8.78 $8.78 $8.78
1.5 in. 13.18 13.18 13.18 13.18
2 in. 17.57 17.57 17.57 17.57
3 in. 26.35 26.35 26.35 26.35
4 in. 35.14 35.14 35.14 35.14
6 in. 52.70 52.70 52.70 52.70
8 in. 70.27 70.27 70.27 70.27
10 in. 87.84 87.84 87.84 87.84
Since the adoption of budget based rates, the District has
experienced success in reducing water consumption and
stabilizing revenues.
FISCAL YEAR BUDGET 2020-202172
Monthly Meter Charge Revenue by Meter Size
METER SIZE NO. OF SERVICES RATE TOTAL
5/8 in. 4,202 $ 23.06 $ 1,163,000
3/4 in. 12,537 29.27 4,368,000
1 in. 3,876 41.71 1,940,000
1.5 in. 267 72.81 233,000
2 in. 294 110.13 389,000
3 in. 89 228.30 244,000
4 in. 26 402.44 126,000
6 in. 18 819.44 177,000
8 in. 12 1,503.28 216,000
Fire Service 1.5 in. 10 13.18 2,000
Fire Service 4 in. 50 35.14 21,000
Fire Service 6 in. 125 52.70 79,000
Fire Service 8 in. 55 70.27 46,000
Fire Service 10 in. 15 87.84 16,000
TOTALS 21,576 $ 9,020,000
OTHER CHARGES &
OTHER REVENUE SOURCE
Other charges and other revenue include
fees related to the collection of delinquent
accounts, investment revenue, reimbursements
from other agencies, facility rentals, and other
miscellaneous revenue.
SOURCES OF
REVENUE
Other
34%Meter
63%Water Sales
3%
EAST VALLEY WATER DISTRICT 73
CONSOLIDATED FINANCIAL SCHEDULES
Assumptions and Considerations:
This income source is made up of the following:
• Initiation of service, delinquent, and NSF fees have decreased. The decision to decrease this source is due to
the following contributing factors:
–The Discontinuation of Residential Water Service Policy required by SB 998 effective February 1, 2020
–The impact the pandemic has on Disconnection/Reconnection charges are normally collected during the
delinquency process. The two factors above are revenue-neutral because these are fees, are related to and
charged to delinquent customers, the charge is collected for sending the notice and field service worker to
turn on/off water services.
• Investment Income decreased due to loss of time between the withdrawals for paying SNRC construction
invoices and the time it takes to re-deposit reimbursement checks from SRF loan proceeds and grant funds.
• Facility Rental Fees and Other Miscellaneous Revenue decreased due to the uncertainty the pandemic may have
on public use of District facilities.
EXPENSES
The Water fund is one of two enterprise funds the District operates. All expenses incurred for operating and
maintaining the distribution system, infrastructure repairs, and replacements. The District has debt service payments
due semi-annually. Theses debts East Valley Water District has incurred provided full or partial funding for multiple
capital improvement projects.
11%
WATER FUND
EXPENSES BY
COST CENTER
5%
12%Transmission &Distribution
4%3%
16%
15%33%AdministrationDebt Service
Source ofSupply
CapitalExpenditures
CustomerService
TreatmentPumps & Boosters
FISCAL YEAR BUDGET 2020-202174
Assumptions and Consideration for Operating Expenses:
• Electricity expense for operating wells, pumps and boosters, treatment plants and other facilities
• Chemical Expense purchased for the treatment of source water before it enters the distribution system for consumption.
The cost trends for chemicals are stable, with no foreseeable significant increases.
• Contract Services are expenses incurred for services provided by third parties. Many divisions of the water district
utilize consultants or vendors who offer quality and economical services. Since these services are unique to the
program, it is to difficult to list them all. Department Heads are responsible for researching or pre-bidding services in
developing their program’s budget.
• Material and Supplies are needed to support field operations and general administration related to operating the
District.
The District is continuing to focus effort towards the Conservation Program, which is committed to assisting customers with
conservation efforts through the continuance of the rebate programs and instructor-led seminars and demonstrations.
Debt Service & Capital Expenses
The District has issued debt to pay for capital expenditures for replacing, improving, or adding infrastructure. In addition
to liability, East Valley Water District budgets and cash finances capital projects funded by operating revenue.
CONCLUSION
The Water Fund is balanced, however, a rate studies must be conducted to ensure proper rates are charged to fund
future capital improvement projects and the District continues to meet debt service obligations as set forth in debt
covenants. District staff will continue to monitor the revenues and expenses and present the progress to the Board of
Directors on a periodic basis.
The District delivers more than 15 million gallons of water
daily through 293 miles of water distribution pipeline.
EAST VALLEY WATER DISTRICT 75
CONSOLIDATED FINANCIAL SCHEDULES
FY 2020-21 PROPOSED WATER FUND BUDGET
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
REVENUES
4100 Water Sales $ 15,746,654 $ 15,900,000 $ 15,777,000 $ 16,868,000 $ 968,000 6%
4200 Meter Charges 9,009,881 8,980,000 9,009,881 9,020,000 40,000 0%
4301 Late Fee Payment 89,493 - 78,267 40,000 40,000 -
4303 Disconnect Notice Charge 475,772 360,000 295,138 155,000 (205,000)-57%
4605 Other Operating Charges 111,279 111,000 136,392 56,000 (55,000)-50%
4701 Interest Income 446,720 250,000 283,289 225,000 (25,000)-10%
4703 Energy Incentives/Rebates - - - - - -
4704 Miscellaneous Revenue 624,378 34,000 251,702 34,000 - 0%
TOTAL REVENUES 26,504,177 25,635,000 25,831,669 26,398,000 763,000 3%
OPERATING EXPENSES
SOURCE OF SUPPLY/WELLS
5101 Regular Labor 407,631 284,000 461,018 295,000 11,000 4%
5103 Overtime 10,656 32,000 15,873 13,000 (19,000)-59%
5200 Benefits 112,559 152,000 157,060 148,000 (4,000)-3%
6101 Purchased Water 306,513 500,000 440,716 400,000 (100,000)-20%
6102 Groundwater
Replenishment 98,406 445,000 111,625 304,000 (141,000)-32%
6103 Water Assessment 123,547 122,000 50,716 122,000 - 0%
6201 Materials & Supplies 39,992 61,000 51,997 61,000 - 0%
6204 Chemicals 72,400 150,000 96,676 150,000 - 0%
6301 Contract Services 76,613 276,000 329,104 276,000 - 0%
6311 Landscape Services 70,851 40,000 71,430 40,000 - 0%
6402 Telephone 109 - - - - -
6403 Electricity 1,125,950 1,150,000 1,138,829 1,250,000 100,000 9%
6405 Permits 63,210 100,000 70,405 100,000 - 0%
6504 Meetings 264 1,000 526 1,000 - 0%
SOURCE OF SUPPLY TOTAL 2,508,701 3,313,000 2,995,975 3,160,000 (153,000)-5%
PUMPS & BOOSTERS
5101 Regular Labor 91,428 95,000 34,503 74,000 (21,000)-22%
5103 Overtime 3,491 10,000 4,697 4,000 (6,000)-60%
5200 Benefits 32,515 52,000 34,116 38,000 (14,000)-27%
6201 Materials & Supplies 4,750 23,000 18,019 23,000 - 0%
6301 Contract Services 64,956 81,000 (5,083) 81,000 - 0%
6311 Landscape Services - 35,000 19,419 35,000 - 0%
6403 Electricity 352,486 400,000 343,310 400,000 - 0%
PUMPS & BOOSTERS TOTAL $ 549,626 $ 696,000 $ 448,981 $ 655,000 $ (41,000)-6%
FISCAL YEAR BUDGET 2020-202176
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
TREATMENT
5101 Regular Labor $ 289,958 $ 242,000 $ 288,472 $ 252,000 $ 10,000 4%
5103 Overtime 38,117 25,000 46,420 39,000 14,000 56%
5200 Benefits 99,017 139,000 145,338 150,000 11,000 8%
6201 Materials & Supplies 54,543 23,000 65,536 23,000 - 0%
6204 Chemicals 101,467 150,000 138,305 150,000 - 0%
6301 Contract Services 73,531 249,000 106,751 249,000 - 0%
6301 Uniforms - 2,000 1,854 2,000 - 0%
6311 Landscape Services 24,097 14,000 20,347 14,000 - 0%
6401 Utilities 1,265 10,000 2,517 10,000 - 0%
6402 Telephone 3,112 - 1,836 - - -
6403 Electricity 117,177 150,000 108,462 150,000 - 0%
6405 Permits - - - - - -
TREATMENT TOTAL 802,284 1,004,000 925,838 1,039,000 35,000 3%
TRANSMISSION & DISTRIBUTION
5101 Regular Labor 1,239,703 1,229,000 1,326,467 1,302,000 73,000 6%
5103 Overtime 228,311 163,000 248,392 236,000 73,000 45%
5200 Benefits 506,917 681,000 654,715 681,000 - 0%
6201 Materials & Supplies 245,771 305,000 407,582 305,000 - 0%
6202 Tools 17,312 26,000 44,866 26,000 - 0%
6204 Chemicals 53,651 50,000 35,226 50,000 - 0%
6301 Contract Services 172,592 125,000 186,733 165,000 40,000 32%
6307 Uniforms 15,838 40,000 27,909 40,000 - 0%
6310 Street Services 323,336 325,000 506,433 325,000 - 0%
6405 Permits 13,500 - 18,132 - - -
6406 Postage 2,062 2,000 486 2,000 - 0%
6502 Professional Development 85 2,000 175 2,000 - 0%
6503 Education Assistance 90 3,000 - 3,000 - -
6504 Meetings - - - - - -
TRANSMISSION & DIST. TOTAL 2,819,168 2,951,000 3,457,116 3,137,000 186,000 6%
CUSTOMER SERVICE
5101 Regular Labor 510,638 427,800 449,093 433,500 5,700 1%
5102 Temporary Labor 18,102 - 17,284 - - -
5103 Overtime 9,452 13,500 7,983 10,900 (2,600)-19%
5200 Benefits 236,634 230,000 218,931 266,300 36,300 16%
6201 Materials & Supplies $ 962 $ 5,500 $ 1,932 $ 5,500 $ - 0%
EAST VALLEY WATER DISTRICT 77
CONSOLIDATED FINANCIAL SCHEDULES
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
6202 Tools $ 2,924 $ 3,000 $ 2,353 $ 3,000 $ - 0%
6203 Office Supplies 961 2,800 2,054 2,800 - 0%
6301 Contract Services 111,111 98,800 45,987 98,800 - 0%
6302 Banking Services 182,921 214,200 167,012 187,300 (26,900)-13%
6303 Printing & Publishing 6,570 7,000 5,139 7,000 - 0%
6304 Legal Services - 3,500 - 3,500 - 0%
6306 Rents & Leases - - - - - -
6307 Uniforms 4,549 5,800 4,427 5,800 - 0%
6308 Billing Services 28,742 36,400 29,560 36,400 - 0%
6309 Shut Off Notice Services 344,565 359,000 139,406 195,000 (164,000)-46%
6402 Telephone 4,904 6,200 5,168 10,000 3,800 61%
6406 Postage 89,457 107,100 73,212 107,100 - 0%
6502 Membership & Dues - 1,400 - 700 (700)-50%
6502 Professional Development 1,803 9,800 1,249 10,500 700 7%
6503 Education Assistance - - - - - -
6504 Meetings 452 1,400 936 2,000 600 43%
6703 Cash Over/Short 183 - 358 700 700 -
6704 Bad Debt Expense 2,413 - 2,083 11,100 11,100 -
CUSTOMER SERVICE TOTAL 1,557,343 1,533,200 1,174,165 1,397,900 (135,300)-9%
ADMINISTRATION
5101 Regular Labor 2,690,604 2,769,100 2,786,487 2,977,900 208,800 8%
5102 Temporary Labor 11,467 - - - - -
5103 Overtime 48,134 47,800 34,130 56,300 8,500 18%
5104 Standby 31,198 33,000 32,027 33,000 - 0%
5200 Benefits 1,182,256 1,510,300 1,393,633 1,608,000 97,700 6%
6201 Materials & Supplies 287,323 201,400 196,328 199,500 (1,900)-1%
6202 Tools 10,890 15,800 9,851 16,900 1,100 7%
6203 Office Supplies 19,586 28,900 20,974 28,500 (400)-1%
6205 Conservation Rebates 711,436 195,000 156,412 145,000 (50,000)-26%
6301 Contract Services 1,623,521 1,149,800 1,002,932 1,475,950 326,150 28%
6302 Banking Services 6,165 14,000 5,699 14,000 - 0%
6303 Printing & Publishing 156,362 215,300 141,196 303,400 88,100 41%
6304 Legal Services 141,589 175,000 87,718 127,000 (48,000)-27%
6306 Rents & Leases 22,572 10,500 19,615 11,250 750 7%
6307 Uniforms 15,118 30,700 24,564 31,150 450 1%
6311 Landscape Services 45,489 39,200 30,470 42,000 2,800 7%
6312 Janitorial Services $ 74,850 $ 93,400 $ 93,206 $ 100,400 $ 7,000 7%
FISCAL YEAR BUDGET 2020-202178
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
6314 Litigation Services $ - $ 35,000 $ 14,231 $ 28,000 $ (7,000)-
6401 Utilities 18,143 9,800 20,286 10,500 700 7%
6402 Telephone 42,749 113,400 47,236 119,600 6,200 5%
6403 Electricity 63,282 84,000 59,382 90,000 6,000 7%
6404 Fuel 84,390 112,500 94,455 112,500 - 0%
6405 Permits 38,700 135,100 48,992 135,100 - 0%
6406 Postage 15,541 32,100 17,015 74,100 42,000 131%
6501 Memberships & Dues 62,503 83,900 67,342 92,400 8,500 10%
6502 Professional Development 57,152 132,500 64,266 130,650 (1,850)-1%
6503 Education Assistance 3,500 4,000 1,989 9,100 5,100 128%
6504 Meetings 20,201 29,900 22,205 30,400 500 2%
6505 Employee Recognition 12,976 17,500 19,028 18,900 1,400 8%
6701 General Insurance 170,051 147,000 205,890 379,300 232,300 158%
6702 Insurance Claims 210 7,000 7,529 7,000 - 0%
6704 Bad Debt Expense - 1,000 571 1,000 - 0%
6705 OPEB Retirees 157,144 203,000 215,663 269,300 66,300 33%
ADMINISTRATION TOTAL 7,825,102 7,676,900 6,941,324 8,678,100 1,001,200 13%
TOTAL OPERATING EXPENSES 16,062,224 17,174,100 15,943,399 18,067,000 892,900 5%
OTHER USES
7101 Debt Principal 2,496,000 2,565,000 2,565,000 2,639,000 74,000 3%
7102 Debt Interest 1,684,986 1,481,000 1,481,000 1,427,000 (54,000)-3%
7500 Reserve Contribution 3,331,981 308,900 1,736,269 (308,900)-100%
8101 Capital Outlay 333,059 931,000 931,000 1,195,000 264,000 28%
8999 Capital Improvement
Program 2,595,927 3,175,000 3,175,000 3,070,000 (105,000)-3%
OTHER USES TOTAL 10,441,953 8,460,900 9,888,269 8,331,000 (129,900)-2%
SUMMARY
Total Revenue 26,504,177 25,635,000 25,831,669 26,398,000 763,000 3%
Total Operating Expenses 16,062,224 17,174,100 15,943,399 18,067,000 892,900 5%
Total Other Expenses 10,441,953 8,460,900 9,888,269 8,331,000 (129,900)-2%
TOTAL 26,504,177 25,635,000 25,831,668 26,398,000 763,000 3%
NET $ - $ - $ - $ - $ - -
EAST VALLEY WATER DISTRICT 79
CONSOLIDATED FINANCIAL SCHEDULES
Water Fund Revenues vs. Expenses
$5M
$10M
$15M
$20M
$25M
$30M
FY 2015-16
Actual
FY 2016-17
Actual
FY 2017-18
Actual
FY 2018-19
Actual
Fy 2019-20
Projected
FY 2020-21
Proposed
$12,916,000
$14,533,000
$16,368,000 $16,062,000
$17,549,000 $18,067,000 $19,879,000
$24,588,000
$27,105,000 $26,504,000
$25,832,000
$26,398,000
Operating Expenses
Revenues
FISCAL YEAR BUDGET 2020-202180
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15
The District has an established Community Advisory Commission, which
meets regularly to discuss significant affairs of the District.
WA
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The activities of enterprise funds closely
resemble those of ongoing businesses
in which the purpose is to conserve and
add to resources while meeting operating
expenses from current revenues.
16
EAST VALLEY WATER DISTRICT 81
FundWastewater
THE WASTEWATER FUND PAYS FOR ALL ACTIVITIES RELATED TO THE
OPERATIONS AND MAINTENANCE OF THE WASTEWATER COLLECTION
INFRASTRUCTURE AS WELL AS THE TREATMENT OF WASTEWATER.
All treatment charges collected from customers are
remitted to the City of San Bernardino Municipal Water
Department.
RATES
There are two sets of rates that make up the wastewater
charge:
1. East Valley Water District Collection System
Charge that includes conveyance and
maintenance of the wastewater mains and;
2. City of San Bernardino Wastewater Treatment
Charge that includes the treatment and disposal
of waste.
Each set of rates has two components:
1. System Charge based on customer type,
Residential or Commercial.
2. Service Charge based on the amount and
concentration of the wastewater discharged
into the wastewater system. Amount and
concentration have a direct impact to the entire
wastewater system and treatment facility.
The adopted rates by customer class are listed in the
rate tables below.
CONSOLIDATED FINANCIAL SCHEDULES
Wastewater System Charges
Customer Type FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21
EVWD - MONTHLY FIXED COLLECTION CHARGES
Residential $ 15.36 $ 15.36 $ 15.36 $ 15.36
Commercial 3.90 3.90 3.90 3.90
EVWD - VOLUMETRIC RATES
Multi-Family 0.55 0.55 0.55 0.55
Commercial/Retail/Dry 0.55 0.55 0.55 0.55
Restaurants/Hotels 0.55 0.55 0.55 0.55
Laundromats/Government/Office 0.55 0.55 0.55 0.55
Building/Motels 0.55 0.55 0.55 0.55
Schools/Churches 0.55 0.55 0.55 0.55
Convalescent Homes 0.55 0.55 0.55 0.55
Office Buildings/Motels 0.55 0.55 0.55 0.55
Auto Repair/Service/Carwash $ 0.55 $ 0.55 $ 0.55 $ 0.55
FISCAL YEAR BUDGET 2020-202182
Wastewater Treatment Charges
Customer Type FY 2017-18 FY 2018-19 FY 2019-20 FY 2020-21
CITY OF SAN BERNARDINO - MONTHLY FIXED TREATMENT CHARGES
Residential $ 21.55 $ 21.55 $ 21.55 $ 21.55
Multi-Family (4+ Units), Mobile HP 1.97 1.97 1.97 1.97
Non-Residential Customer Class 3.52 3.52 3.52 3.52
CITY OF SAN BERNARDINO - VOLUMETRIC RATES
Multi-Family 1.53 1.53 1.53 1.53
Commercial/Retail/Dry 2.55 2.55 2.55 2.55
Restaurants/Hotels 3.28 3.28 3.28 3.28
Laundromats/Government/Office 1.83 1.83 1.83 1.83
Building/Motels 1.83 1.83 1.83 1.83
Schools/Churches 1.33 1.33 1.33 1.33
Convalescent Homes 1.63 1.63 1.63 1.63
Office Buildings/Motels 1.83 1.83 1.83 1.83
Auto Repair/Service/Carwash $ 1.58 $ 1.58 $ 1.58 $ 1.58
Revenue - Wastewater System
Customer Type Service
Connections Estimated Usage Monthly Fixed
or Unit Charge Total Revenue
RESIDENTIAL
Fixed 19,125 N/A $ 15.36 $ 3,525,000
RESIDENTIAL TOTAL 3,525,000
COMMERCIAL / MULTI-FAMILY
Fixed 1,080 3.9 50,500
Volumetric 1,950,000 0.55 1,072,500
COMMERCIAL/MULTI-FAMILY TOTAL 1,123,000
WASTEWATER SYSTEM CHARGES TOTAL $ 4,648,000
EAST VALLEY WATER DISTRICT 83
RESIDENTIAL
East Valley Water District bills residential customers a monthly wastewater charge based on the number of dwelling
units, up to four units, per property. Properties with four or more units are classified as multi-family. The table below
identifies the number of services and the wastewater charges per month.
COMMERCIAL
The District bills commercial customers on a monthly basis for wastewater. The charge consists of four components—
two flat rates and two consumption based rates. The two flat rates are EVWD’s system charge and the City of San
Bernardino’s treatment charge. The two consumption based rates are for EVWD’s Collection Charge per hundred
cubic feet (HCF) and the City of San Bernardino’s Treatment Charge per HCF.
Additionally, the consumption based rates are calculated using the following formula [($.55/HCF EVWD Collection
Charge + City of San Bernardino Treatment Charge) x HCF used]. Shown below is a schedule of commercial
wastewater rates for FY2020-21.
REVENUES
Wastewater revenues consist of collection charges,
treatment charges, and miscellaneous revenues such as
interest income and capacity charges for new services.
The District anticipates a small increase in revenue related
to the assessment of wastewater collection charges to
vacant homes. In addition, the City of San Bernardino has
adopted rate increases for treatment. Those revenues will
be remitted to the City of San Bernardino, therefore having
no impact on District Operations.
35%WastewaterCollection Charges
64%WastewaterTreatment Charges
Other Charges
1%
SOURCES OF
REVENUE
CONSOLIDATED FINANCIAL SCHEDULES
Revenue - Wastewater Treatment
Customer Type Service
Connections Estimated Usage Monthly Fixed
or Unit Charge Total Revenue
RESIDENTIAL
Residential 19,125 N/A $ 21.55 $ 4,945,000
RESIDENTIAL TOTAL 4,945,000
COMMERCIAL / MULTI-FAMILY
Multi-Family - Fixed 468 1.97 11,000
Multi-Family - Volumetric 1,320,000 1.53 2,019,000
Commercial - Fixed 612 3.52 26,000
Commercial - Volumetric 630,000 Various 1,664,000
COMMERCIAL/MULTI-FAMILY TOTAL 3,720,000
WASTEWATER TREATMENT CHARGES TOTAL $ 8,665,000
FISCAL YEAR BUDGET 2020-202184
EXPENSES
Operating expenses have remained the same overall in the Wastewater Fund. The District continues to conduct
preventative maintenance programs on the wastewater mains such as videoing the lines and cleaning the lines on a
regular schedule. Additionally, staff has invested more time and efforts into the spot repairs of the mains when sags
and cracks are found in the lines when reviewing video tapes of the wastewater system.
With the implementation of Water Budget Based Rates, costs associated with Customer Service and Information
Technology were shifted to the Water Fund because of increased efforts to administer the new tiered rates.
The District continues to move forward with
the SNRC, a facility that will create up to
10 million gallons per day of recycled water.
Completion of the SNRC will mitigate the
impacts of future droughts by providing a
long-term reliable water supply. The project
began construction in FY 2018-19 and will
continue through FY 2021-22.
CONCLUSION
The Wastewater Fund is balanced,
however, a rate study must be
conducted to ensure proper rates
are charged to fund future
capital improvement projects and
that the District continues to
meet debt service obligations as
set forth in the bond covenants.
District staff will continue to monitor
the revenues and expenses and
present the progress to the Board
of Directors on a quarterly basis.
WASTEWATER
FUND
EXPENSES BY
COST CENTER
19%Administration
64%Treatment
6%2%
6%
3%
CustomerService
Capital ExpendituresDebt Service
Transmission & Distribution
The budget document demonstrates accountability and
responsibility in our fiscal management practices.
EAST VALLEY WATER DISTRICT 85
FY 2020-21 PROPOSED WASTEWATER FUND BUDGET
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
REVENUES
4301 Late Payment Fee $ 41,775 $ 200,000 $ 37,102 $ 193,000 $ (7,000)-4%
4400 Wastewater
Collection Charges 4,643,732 4,648,000 4,747,462 4,656,000 8,000 0%
4500 Wastewater
Treatment Charges 8,592,950 8,665,000 8,501,530 8,665,000 (79,000)-1%
4605 Other Operating
Charge 480,885 2,000 6,263 2,000 - 0%
4701 Interest Income 124,815 50,000 26,724 30,000 (20,000)-40%
TOTAL REVENUES 13,884,157 13,565,000 13,319,081 13,467,000 (98,000)-1%
OPERATING EXPENSES
TREATMENT
6305 Treatment Services 8,592,950 8,665,000 7,932,758 8,586,000 (79,000)-1%
TREATMENT TOTAL 8,592,950 8,665,000 7,932,758 8,586,000 (79,000)-1%
TRANSMISSION & DISTRIBUTION
5101 Regular Labor 201,992 313,000 262,205 335,000 22,000 7%
5103 Overtime 8,168 45,000 6,974 9,000 (36,000)-80%
5200 Benefits 101,066 173,000 148,188 176,000 3,000 2%
6201 Materials & Supplies 29,432 31,000 12,006 31,000 - 0%
6202 Tools 2,496 5,000 2,925 5,000 - 0%
6301 Contract Services 355,833 243,000 351,830 243,000 - 0%
6307 Uniforms 1,520 4,000 2,078 4,000 - 0%
TRANSMISSION & DIST. TOTAL 700,507 814,000 786,206 803,000 (11,000)-1%
CUSTOMER SERVICE
5101 Regular Labor 116,079 103,200 95,106 178,500 75,300 73%
5102 Temporary Labor 7,758 - 7,407 - - -
5103 Overtime 1,901 1,500 2,165 2,100 600 40%
5200 Benefits 69,857 63,000 63,045 47,700 (15,300)-24%
6201 Materials & Supplies 287 1,500 704 1,500 - 0%
6202 Tools - - - - - -
6203 Office Supplies 412 1,200 880 1,200 - 0%
6301 Contract Services 46,511 40,200 18,446 40,200 - 0%
6302 Banking Services 78,395 91,800 71,576 51,700 (40,100)-44%
6303 Printing & Publishing 2,816 3,000 2,202 3,000 - 0%
6304 Legal Services - 1,500 - 1,500 - 0%
6306 Rents & Leases $ - $ - $ - $ - $ - -
CONSOLIDATED FINANCIAL SCHEDULES
FISCAL YEAR BUDGET 2020-202186
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
6307 Uniforms $ 714 $ 1,200 $ 722 $ 1,200 $ - 0%
6308 Billing Services 12,318 15,600 12,669 15,600 - 0%
6402 Telephone 1,589 1,800 1,697 - (1,800)-100%
6406 Postage 38,339 45,900 31,376 45,900 - 0%
6501 Membership & Dues - 600 - 300 (300)-50%
6502 Professional
Development 773 4,200 535 4,500 300 7%
6503 Education Assistance - - - - - -
6703 Cash Over/Short 79 - 154 300 300 -
6704 Bad Debt Expense 1,034 - 893 3,900 3,900
CUSTOMER SERVICE TOTAL 378,862 376,200 309,579 399,100 22,900 6%
ADMINISTRATION
5101 Regular Labor 992,862 1,127,500 999,116 1,029,100 (98,400)-9%
5102 Temporary Labor 4,915 - - - - -
5103 Overtime 17,904 14,200 12,954 17,700 3,500 25%
5104 Standby 6,795 2,000 7,023 2,000 - 0%
5200 Benefits 439,149 573,700 513,126 526,000 (47,700)-8%
6201 Materials & Supplies 110,250 113,600 77,647 65,500 (48,100)-42%
6202 Tools 3,061 3,200 3,619 3,100 (100)-3%
6203 Office Supplies 5,335 9,100 6,451 8,500 (600)-7%
6301 Contract Services 674,313 413,200 406,866 388,050 (25,150)-6%
6302 Banking Services 2,642 6,000 2,443 6,000 - 0%
6303 Printing & Publishing 29,989 101,700 32,565 44,600 (57,100)-56%
6304 Legal Services 57,615 76,000 35,382 54,000 (22,000)-29%
6306 Rents & Leases 9,674 4,500 8,407 3,750 (750)-17%
6307 Uniforms 4,397 7,300 4,665 5,850 (1,450)-20%
6311 Landscape Services 19,495 16,800 13,058 14,000 (2,800)-17%
6312 Janitorial Services 32,078 40,600 39,946 33,600 (7,000)-17%
6314 Litigation Services - 15,000 6,099 12,000 (3,000)-20%
6401 Utilities 7,775 4,200 8,694 3,500 (700)-17%
6402 Telephone 14,686 30,600 16,535 27,400 (3,200)-10%
6403 Electricity 27,121 36,000 25,449 30,000 (6,000)-17%
6404 Fuel 36,167 12,500 40,481 12,500 - 0%
6405 Permits 16,586 57,900 20,997 57,900 - 0%
6406 Postage $ 6,039 $ 10,900 $ 5,638 $ 15,900 $ 5,000 46%
EAST VALLEY WATER DISTRICT 87
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
6501 Memberships & Dues $ 25,224 $ 32,100 $ 27,611 $ 32,600 $ 500 2%
6502 Professional
Development 22,337 51,500 23,590 46,350 (5,150)-10%
6503 Education Assistance 1,500 4,000 853 3,900 (100)-3%
6504 Meetings 8,475 15,100 9,219 11,600 (3,500)-23%
6505 Employee Recognition 5,561 7,500 8,155 8,100 600 8%
6701 General Insurance 72,879 63,000 88,238 19,700 (43,300)-69%
6702 Insurance Claims 90 3,000 3,227 3,000 - 0%
6702 Bad Debt Expense - - 245 -
6705 OPEB Retirees 67,347 87,000 92,427 49,700 (37,300)-43%
ADMINISTRATION TOTAL 2,722,261 2,939,700 2,540,723 2,535,900 (403,800)-14%
TOTAL OPERATING EXPENSES 12,394,580 12,794,900 11,569,266 12,324,000 (470,900)-4%
OTHER USES
7101 Debt Principal 100,000 100,000 100,000 110,000 - 0%
7102 Debt Interest 193,267 212,000 212,000 203,000 1,000 0%
7500 Reserve Contribution 410,745 (374,900) 604,815 374,900 -100%
8101 Capital Outlay 118,946 633,000 633,000 435,000 (198,000)-31%
8999 Capital Improvement
Program 666,619 200,000 200,000 395,000 195,000 98%
OTHER USES TOTAL 1,489,577 770,100 1,749,815 1,143,000 372,900 48%
SUMMARY
Total Revenue 13,884,157 13,565,000 13,319,081 13,467,000 (98,000)-1%
Total Operating Expenses 12,394,580 12,794,900 11,569,266 12,324,000 (470,900)-4%
Total Other Expenses 1,489,577 770,100 1,749,815 1,143,000 372,900 48%
Transfer from Reserves - - - - - -
TOTAL 13,884,157 13,565,000 13,319,081 13,467,000 (98,000)-1%
NET $ - $ - $ - $ - $ - -
CONSOLIDATED FINANCIAL SCHEDULES
FISCAL YEAR BUDGET 2020-202188
Wastewater Fund Revenues vs. Expenses
$10,238,000 $10,164,000
$11,699,000
$12,395,000
$11,569,000
$12,324,000
$2M
$4M
$6M
$8M
$10M
$12M
$14 M
Operating Expenses
Revenues
FY 2015-16
Actual
FY 2016-17
Actual
FY 2017-18
Actual
FY 2018-19
Actual
Fy 2019-20
Projected
FY 2020-21
Proposed
$11,572,000 $11,687,000 $11,944,000
$13,884,000
$13,319,000 $13,467,000
PR
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summariesPROGRAM
LEADERSHIP | PARTNERSHIP | STEWARDSHIP
POSITION SUMMARY SCHEDULE
PROGRAM DESCRIPTIONS
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Program-based budgeting allows for
costs to be clearly identified while easily
measuring benefits as outlined in the Key
Performance Indicators and completion
of Goals and Objectives.
89
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EAST VALLEY WATER DISTRICT
DescriptionsProgram
COMPREHENSIVE INFORMATION FOR EACH
FUNCTIONAL PROGRAM WITHIN THE DISTRTICT
PROGRAM SUMMARIES
The District utilizes program-based budgeting. Requested funds are associated with the expected results and
performance is measured by indicators and reviewed on a quarterly basis with the Governing Board. This results-
oriented strategy provides the ability to monitor expenses related to a particular program or activity and track
measurable benefits. Program-based budgeting results can be used in cost-benefit analyses, just as it would be in a
business environment to determine the value of decisions and enhance transparency.
Program goals and objectives have been designed to correlate directly with the District’s adopted vision and Five-
Year Work Plan, and with District-wide (agency) goals for the upcoming fiscal year. Key performance indicators (KPI)
monitor progress towards meeting program objectives. Each KPI has a target that provides users of the Budget the
ability to assess the Program’s performance over time. Program-based budgeting also increases accountability and
transparency as the ratepayers and Governing Board can more easily see where dollars are invested and monitor
program effectiveness.
Some KPIs are included to notate industry benchmarks to help staff understand the District’s performance in
comparison to the water and wastewater industry. American Water Works Association (AWWA) standards help improve
both operational efficiency and managerial effectiveness.
The FY 2020-21 Budget is organized into the following summary programs:
• Governing Board
• General Administration
• Human Resources
• Public Affairs
• Conservation
• Finance & Accounting
• Information Technology
• Customer Service
• Meter Services
• Engineering
• Water Production
• Water Treatment
• Water Quality
• Water Maintenance
• Wastewater Maintenance
• Facilities Maintenance
• Fleet Maintenance
FISCAL YEAR BUDGET 2020-202190
POSITION SUMMARY SCHEDULE
East Valley Water District continues to evaluate staffing needs to ensure all services are addressed by a high-quality
workforce. This process is supported by the strategic direction and succession planning efforts previously approved by
the Governing Board. The position changes for FY 2020-21 include the addition of one Customer Service Representative
to the Customer Service Program and the removal of the Creative Services Representative from the Public Affairs Program.
The table below summarizes the number of full-time personnel by Program. All authorized positions are funded in the
proposed budget for FY 2020-21. Part time positions are included in the program descriptions and not shown below.
Department FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Proposed
2000 General Administration 3 3 3
2100 Human Resources 2 2 2
2200 Public Affairs 4 5 4
2300 Conservation 1 1 1
3000 Finance & Accounting 6 6 6
3200 Information Technology 3 3 3
3300 Customer Service 7 5 6
3400 Meter Services 4 3 3
4000 Engineering 6 6 5
5000 Water Production 7 7 7
5100 Water Treatment 2 2 2
5200 Water Quality 2 2 2
6100 Water Maintenance 14 15 15
6200 Wastewater Maintenance 4 4 4
7000 Facilities Maintenance 2 2 2
7100 Fleet Maintenance 1 1 1
TOTAL 68 67 66
Full Time Staffing Summary by Department
EAST VALLEY WATER DISTRICT 91
East Valley Water District continues to evaluate staffing needs to
ensure all services are addressed by a high-quality workforce.
66FY
2021
67FY
2020
68FY
2019
68FY
2018
69FY
2017
67FY
2016
66FY
2015
Total Authorized Positions
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-202192
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Board meetings follow a fair, efficient, democratic and orderly process.
boardGOVERNING
HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Governing Board Members 5
Elected Officials 5
RATEPAYERS
Governing Board Chairman
Governing Board Vice Chairman
Governing Board Members
PROGRAM STRUCTURE
The Governing Board is the District’s
Legislative Body Responsible for Serving
as the Organizational Policy Makers
16
EAST VALLEY WATER DISTRICT 93
BoardGOVERNING
FUNCTION
The Governing Board is the legislative body of the organization. Comprised of five members elected at-large to four-
year staggered terms of office. Board members are responsible for providing leadership, direction and serving as the
organizational policy makers. The Governing Board appoints the General Manager/CEO to carry out the day-to-day
District operations and implementation of adopted policies.
01
Goals and Objectives
GOAL Provide Organizational Direction and Set Expectations
Through Policy Decisions Consistent with the 5-Year Work Plan
OBJECTIVES
1. Review and address items that may impact the District related to COVID-19 pandemic.
2. Conduct General Manager/CEO annual evaluation, including establishment of FY 2021-22 Goals.
3. Consider actions related to the North Fork Water Company.
02GOAL Address Policy Related Decisions Related to
the Sterling Natural Resource Center (SNRC)
OBJECTIVES
1. Consider agenda items related to ongoing construction of the SNRC.
2. Evaluate staffing plan and program proposals related to the operation of the SNRC.
3. Participate in activities that encourage community engagement for the SNRC.
03GOAL Make Financial Decisions that Result in Stability
and Understanding Operational Complexities
OBJECTIVES
1. Evaluate and consider agenda items related to water/wastewater rate studies.
2. Consider agenda items related to bond refinancing and Community Facilities Districts.
3. Assess and consider agenda items relating to COVID-19 which may have a financial impact on the adopted budget.
04GOAL Conduct all Activities Required for
the Board of Directors Election
OBJECTIVES
1. Coordinate with the San Bernardino County Registrar of Voters to hold the 2020 elections.
2. Update and post electoral information on the District’s website.
3. Review and update Candidate Orientation Program.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-202194
FY 2019-20 Accomplishments
GOAL ONE • Conducted General Manager/CEO Annual Evaluation and
established FY 2020-21 goals.
• Conducted Board member evaluations and established
Board leadership positions.
Provide Organizational Direction and Set
Expectations through Policy Decisions
GOAL TWO • Participated in activities that encouraged community
engagement for the SNRC.Address Policy Related Decisions
Related to SNRC
GOAL THREE • Considered Memorandum of Understanding with the
EVWD Employee Partnership.
• Evaluated and considered agenda items related to water/
wastewater rate studies.
Make Financial Decisions that Result in Stability
and Understanding Operational Complexities
SIGNIFICANT CHANGES
Contract Services has been increased due to costs associated
with the District’s participation in the 2020 General Elections.
LEVELS OF SERVICE
The Governing Board has four KPI metrics that are associated
with the District’s Goals and Objectives of:
• Identify Opportunities to Optimize Natural Resources (I-A)
• Maximize Internal Capabilities through Ongoing
Professional Development (I-B)
• Provide Quality Information to Encourage Community
Engagement (II-D)
• Strengthen Regional, State and National Partnerships (I-C)
$257,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 95
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
I-A Act on project related agenda items presented
by staff 100%100%100%100%
I-B Average number of professional development
hours per Board Member 6 8 12 11
II-D Submit all documentation by deadlines pursuant
to transparency policies 100%100%100%100%
I-C Attend regional and state meetings as
representatives of EVWD 160 179 217 165
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 77,373 $ 105,000 $ 74,930 $ 105,000 $ - 0%
5200 Benefits 68,753 85,000 82,979 80,000 (5,000)-6%
OPERATING EXPENSES
6201 Materials & Supplies 450 1,000 1,684 1,000 - 0%
6301 Contract Services 18,933 10,000 17,500 30,000 20,000 200%
6307 Uniforms 544 1,000 544 1,000 - 0%
6502 Professional
Development 23,527 55,000 21,686 40,000 (15,000)-27%
GOVERNING BOARD TOTAL $ 189,580 $ 257,000 $ 199,323 $ 257,000 $ - 0%
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-202196
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General Administration is a partnership of essential business operations.
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adminGENERAL
HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
General Manager/CEO 1
District Clerk 1
Sr. Administrative Assistant 1
Total Full Time 3
GOVERNING BOARD
General Manager/CEO
District Clerk
Sr. Administrative Assistant
PROGRAM STRUCTURE
General Administration is Responsible for
Overseeing the Day-to-Day Operations
16
EAST VALLEY WATER DISTRICT 97
AdministrationGENERAL
FUNCTION
The General Manager/CEO is responsible for carrying out day-to-day District operations, implementation of adopted
policies, general oversight to interagency relations, legislative activities, and strategic planning. Additionally,
Administration is responsible for implementing the District’s Vision, maintaining official records, promoting public trust,
and ensuring transparency compliance.
01
Goals and Objectives
GOAL Complete Reaccreditation Process for SDLF District Transparency
Certificate of Excellence and District of Distinction Accreditation
OBJECTIVES
1. Update and post required information to District website.
2. Complete and submit application and required documents for approval.
02GOAL Complete Consolidation/Dissolution
of North Fork Water Company
OBJECTIVES
1. Continue acquiring remaining shares of North Fork Water Company.
2. Coordinate with legal counsel to determine how North Fork Water Company will operate in the future.
03GOAL Develop Agenda Policy and Procedures
to Standardize Business Processes
OBJECTIVES
1. Evaluate and identify industry best practices to be included in the new policy.
2. Prepare draft policy to include comments and suggestions received from staff.
3. Finalize and implement approved policy.
04GOAL Finalize Preliminary Design of Community
Heritage and Education Foundation Building
OBJECTIVES
1. Resolve administrative challenges related to the CHEF building site.
2. Continue efforts to develop a fundraising plan and financial goals.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-202198
FY 2019-20 Accomplishments
GOAL ONE • Increased the District’s stock ownership of the North Fork
Water Company to 97%.Complete Consolidation of the
North Fork Water Company
GOAL TWO
Continue Leading Efforts to Ensure
Viability of the Community Heritage
and Educational Foundation (CHEF)
• Completed preliminary design of CHEF Building.
GOAL THREE • Created Board member portal/intranet web page.
• Populated web page with forms, Board calendar, and
other informational items.
Utilize the Intranet for Communication
with Board of Directors
OTHER ACCOMPLISHMENTS • Increased efforts to support Adopt-a-School partnership
with SBUSD.
SIGNIFICANT CHANGES
Legal Services and Litigation Expenses have been reduced
due to the completion of multiple projects that required
significant legal guidance.
LEVELS OF SERVICE
The General Administration Program has four KPI metrics that
are associated with the District’s Goals and Objectives of:
• Practice Transparent and Accountable Fiscal
Management (II-A)
• Provide Quality Information to Encourage Community
Engagement (II-D)
• Dedicated Efforts Toward System Maintenance and
modernization (IV-C)
• Maximize Internal Capabilities through Ongoing
Professional Development (I-B)
$1,302,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 99
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
II-A Make administrative documents available on-line 50 20 61 55
II-D Publish Open Meeting/Public Notices on or
before statutory requirement 100%100%100%100%
IV-C Reduce number of boxes held in off-site storage 2,000 3,291 3,083 2,770
I-B Participate in Professional Development
Opportunities 6 N/A 9 8
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 468,624 $ 517,000 $ 516,418 $ 525,000 $ 8,000 2%
5103 Overtime 2,745 3,000 3,062 3,000 - 0%
5200 Benefits 257,718 324,000 293,356 332,000 8,000 2%
OPERATING EXPENSES
6201 Materials & Supplies 1,030 2,000 3,579 2,000 - 0%
6203 Office Supplies 2,170 4,000 1,943 3,000 (1,000)-25%
6301 Contract Services 187,283 162,000 123,052 166,000 4,000 2%
6303 Printing & Publishing 85 1,000 1,126 1,000 - 0%
6304 Legal Services 80,725 125,000 78,550 100,000 (25,000)-20%
6307 Uniforms 655 1,000 397 1,000 - 0%
6314 Litigation Services - 50,000 20,330 40,000 (10,000)-20%
6402 Telephone 3,068 3,000 2,499 3,000 - 0%
6406 Postage 367 - 20 - - 0%
6501 Memberships & Dues 74,642 77,000 76,904 91,000 14,000 18%
6502 Professional
Development 12,041 20,000 7,699 20,000 - 0%
6503 Education Assistance - - - - - 0%
6504 Meetings 12,268 15,000 10,236 15,000 - 0%
GENERAL ADMIN TOTAL $ 1,103,421 $ 1,304,000 $ 1,139,171 $ 1,302,000 $ (2,000)0%
FISCAL YEAR BUDGET 2020-2021100
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resourcesHUMAN
The District empowers staff at all levels to feel confident in long-term and real-time
decision making in our efforts to provide world class public service.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Human Resources/
Risk & Safety Manager 1
Sr. Administrative Assitant 1
Total Full Time 2
GENERAL MANAGER/CEO
Human Resources/Risk & Safety Manager
Sr. Administrative Assistant
PROGRAM STRUCTURE
Human Resources is Responsible
for Personnel-Related Programs
16
EAST VALLEY WATER DISTRICT 101
ResourcesHUMAN
FUNCTION
Human Resources is responsible for facilitating programs to attract the best and brightest candidates while fostering
a work environment that promotes high morale and employee retention. Recognizing the importance of individual
well-being, Human Resources leads the efforts to encourage health and wellness. Additionally, they manage the risk
and safety programs to ensure a safe workplace at the District.
01
Goals and Objectives
GOAL Initiate Programs in Support of
the SNRC Workforce Needs
OBJECTIVES
1. Amend District organizational chart to include new job classifications and generate job descriptions and pay
scales for the identified classifications.
2. Develop an action plan for a Wastewater Operator-in-Training program to prepare internal candidates for future
employment opportunities at the SNRC.
3. Develop a marketing strategy to attract quality candidates to apply for SNRC employment opportunities.
02GOAL Promote a Positive Organizational Culture that Maintains
a Supportive and Encouraging Work Environment
OBJECTIVES
1. Update the District’s Succession Plan to identify organizational growth and provide development
opportunities for staff.
2. Develop pre-retirement transition plans to assist retirees in preparing for retirement and offer the District
the opportunity to capture institutional knowledge.
3. Conduct a comprehensive compensation analysis and update the District’s compensation policy.
03GOAL Promote Regional Involvement and Provide
Workforce Experience and Educational Opportunities
OBJECTIVES
1. Work with San Bernardino City Unified School District on elevating the Water and Resource Management
Pathway Program.
2. Partner with Generation Go, the Workforce Development Department’s work-based learning program, to
provide internship opportunities to high school students.
3. Update the District’s Volunteer Program to include SNRC related volunteer opportunities.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021102
FY 2019-20 Accomplishments
GOAL ONE
Initiate Programs in Support of the SNRC
Workforce and Community Needs
• Conducted a staffing analysis to address current staffing
needs and identify future growth and SNRC staffing needs
with a 3-year schedule.
• Helped implement a water industry pathway program at
Indian Springs High School.
GOAL TWO
Promote a Positive Organizational Culture
that Maintains a Supportive and Encouraging
Work Environment
• Evaluated and discussed potential plan for upcoming
retirements in the next five years.
• Initiated updates to staff career mapping and identified
professional development opportunities for staff.
• Enhanced partnerships with the San Bernardino Sheriff’s
Department to increase the safety and security of District
staff, sites and resources.
GOAL THREE
• Negotiated a 3-year MOU considering long-term financial
commitments and employee morale.
Negotiate a 3-Year MOU that considers
both Long-term Financial Commitments and
Employee Morale
SIGNIFICANT CHANGES
Contract Services has increased due to budgeting for a
comprehensive compensation survey during this fiscal year.
LEVELS OF SERVICE
The Human Resources Program has five KPI metrics that are
associated with the District’s Goals and Objectives of:
• Encourage Performance Based Results through Staff
Empowerment (I-D)
• Provide Quality Information to Encourage Community
Engagement (II-D)
• Promote a Positive Organizational Culture (III-C)
• Embrace an Environment of Active Learning and
Knowledge Sharing (III-D)
$1,325,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 103
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
I-D Percentage of annual non-retirement
employee turnover <7%3%3%3%
I-D Annual performance appraisals completed
in a timely manner 95%100%100%100%
II-D Enrollment in District volunteer program 5 0 7 3
III-C Maintain high level of employee participation
in annual employee engagement survey 90%94%96%95%
III-D Utilization rate of District’s Employee
Assistance Program >10%7%20%24%
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 226,623 $ 228,000 $ 231,927 $ 243,000 $ 15,000 7%
5102 Temporary Labor - - - - - 0%
5103 Overtime 2,716 3,000 1,970 3,000 - 0%
5200 Benefits 102,904 139,000 157,069 151,000 12,000 9%
OPERATING EXPENSES
6201 Materials & Supplies 3,598 8,000 1,371 8,000 - 0%
6203 Office Supplies 1,169 2,000 910 2,000 - 0%
6301 Contract Services 47,575 67,000 55,321 125,000 58,000 87%
6303 Printing & Publishing 532 1,000 713 1,000 - 0%
6304 Legal Services 18,155 20,000 4,166 15,000 (5,000)-25%
6406 Postage 111 1,000 22 1,000 - 0%
6501 Memberships & Dues 728 5,000 4,123 5,000 - 0%
6502 Professional
Development 6,265 10,000 11,681 11,000 1,000 10%
6504 Meetings 2,559 5,000 5,080 5,000 - 0%
6505 Employee
Recognition 18,537 25,000 27,183 27,000 2,000 8%
6701 General Insurance 242,930 210,000 294,128 399,000 189,000 90%
6702 Insurance Claims 300 10,000 10,756 10,000 - 0%
6705 Retiree Benefits 224,492 290,000 308,090 319,000 29,000 10%
HUMAN RESOURCES TOTAL $ 899,194 $ 1,024,000 $ 1,114,510 $ 1,325,000 $ 301,000 29%
FISCAL YEAR BUDGET 2020-2021104
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affairsPUBLIC
Public Affairs builds relationships with an engaging communication program.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Full Time
Director of Strategic Services 1
Public Affairs Manager 1
Public Affairs Specialist 1
Sr. Administrative Assistant 1
Total Full Time 4
Part Time
Community Relations Representative 0.5
Total Part Time 0.5
GENERAL MANAGER/CEO
Director of Strategic Services
Public Affairs Manager
PROGRAM STRUCTURE
Public Affairs Oversees Internal and
External Communication Programs
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Public Affairs Specialist
Sr. Administrative Assistant
Community Relations Representative
EAST VALLEY WATER DISTRICT 105
AffairsPUBLIC
FUNCTION
Public Affairs oversees internal and external communication programs consistent with the District’s vision. Through media,
community and governmental relations, the District is able to provide effective communications to various stakeholders.
01
Goals and Objectives
GOAL Advance Construction of the SNRC
and Prepare for Facility Operations
OBJECTIVES
1. Begin developing operational plans and identifying contract services necessary for the Administration
Center for SNRC.
2. Coordinate with outside Government agencies for necessary approvals and review of relevant subject
matter relating to the SNRC.
3. Oversee construction of the Administration Center within allocated scope of the Guaranteed Maximum
Price (GMP).
4. Maintain community engagement including weekly social media posts, regular print advertisements, and
internal communications to share critical project information.
5. Begin quarterly meetings of the SNRC Community Group
02GOAL Utilize Communication Methods
that Enhance the District’s Brand
OBJECTIVES
1. Develop proposition notices and outreach material to inform customers of proposed rate changes for water and
wastewater services.
2. Develop door hangers and project notices for all current year CIP projects (English/Spanish).
3. Develop a monthly report to highlight internal communications efforts and used to assess the effectiveness of the tools.
4. Develop and implement an outreach effort to increase customers understanding of budget based rates through social
media posts, community events and bill redesign.
03GOAL Advance the District’s Emergency Preparedness
Program to Effectively Respond in an Emergency
OBJECTIVES
1. Implement a quarterly campaign to improve the District’s customer contact database in the event of an emergency.
2. Finalize the updated Emergency Response Plan and Hazard Mitigation Plan as required by FEMA and the EPA.
3. Evaluate and assess the District’s current Department Operations Center for needed enhancements to
infrastructure and equipment.
4. Complete necessary reporting requirements related to the COVID-19 local state of emergency.
5. Conduct quarterly emergency preparedness trainings for staff.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021106
FY 2019-20 Accomplishments
LEVELS OF SERVICE
The Public Affairs Program has five KPI metrics that are
associated with the District’s Goals and Objectives of:
• Advance Emergency Preparedness Efforts (III-A)
• Provide Quality Information to Encourage Community
Engagement (II-D)
• Strengthen Regional, State and national partnerships (I-C)
• Utilize Effective Communication methods (II-B)
GOAL ONE
Work with Partners to Advance
the Construction of the SNRC
• Created outreach materials and events to promote the
construction status and future programs of the SNRC.
• Coordinated with outside Government agencies for
necessary approvals and review of relevant subject matter
relating to the SNRC.
• Overseen construction of the Administration Center was
within allocated scope of the GMP.
GOAL TWO • Developed Proposition 218 notice and outreach campaign
to inform customers of proposed rate changes.
• Developed a campaign to educate customers on the value
of reliable utility services proved by the District.
Develop Communication Methods
that Enhance the District’s Brand
GOAL THREE
Advance the District’s Emergency Preparedness
Program to Effectively Respond in an Emergency
• Updated the District’s Hazard Mitigation Plan and submitted
for FEMA approval.
• Completed the Vulnerability Assessment, and EPA Risk and
Resiliency Assessment.
OTHER ACCOMPLISHMENTS • Completed outreach material for SB 998, AMI project and
Capital Improvement Projects.
SIGNIFICANT CHANGES
Additional contract services relating to the construction and preparation for
operations of the SNRC have been incorporated in the Public Affairs budget.
The COVID-19 health emergency impacted the number of presentations
completed due to the cancellation of events.
$1,589,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 107
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
III-A Update Emergency Response Plan 100%80%25%100%
III-A Number of Emergency Response training
hours per FTE 16 8 13 15
II-D Number of community event presentations 15 8 9 15
I-C Number of Community Advisory Commission
meetings conducted 6 6 6 6
II-B Number of followers on social media 100 673 943 1,399
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 414,462 $ 554,000 $ 454,390 $ 532,000 $ (22,000)-4%
5102 Temporary Labor - - - - - 0%
5103 Overtime 15,998 7,000 7,859 17,000 10,000 143%
5200 Benefits 143,556 256,000 197,807 269,000 13,000 5%
OPERATING EXPENSES
6201 Materials & Supplies 149,792 163,000 52,744 113,000 (50,000)-31%
6203 Office Supplies 1,764 3,000 610 3,000 - 0%
6301 Contract Services 274,811 185,000 214,754 329,000 144,000 78%
6303 Printing & Publishing 98,297 198,000 103,279 223,000 25,000 13%
6304 Legal Services 1,075 5,000 60 5,000 - 0%
6307 Uniforms 1,383 3,000 1,447 2,000 (1,000)-33%
6312 Janitorial Services - 2,000 2,970 2,000 - 0%
6402 Telephone 2,154 3,000 2,420 5,000 2,000 67%
6406 Postage 19,350 20,000 17,944 50,000 30,000 150%
6501 Memberships & Dues 2,645 5,000 2,691 6,000 1,000 20%
6502 Professional
Development 7,186 15,000 4,407 15,000 - 0%
6503 Education Assistance 5,000 8,000 2,842 8,000 - 0%
6504 Meetings 9,331 13,000 8,746 10,000 (3,000)-23%
PUBLIC AFFAIRS TOTAL $ 1,146,804 $ 1,440,000 $ 1,074,970 $ 1,589,000 $ 149,000 10%
FISCAL YEAR BUDGET 2020-2021108
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conservation
Conservation workshops help educate customers on how to reduce water consumption.
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GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Conservation Coordinator 1
Total Full Time 1
Conservation Encourages
Sustainable Water Use
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GENERAL MANAGER/CEO
Director of Strategic Services
Public Affairs Manager
PROGRAM STRUCTURE
Conservation Coordinator
EAST VALLEY WATER DISTRICT 109
Conservation
FUNCTION
Conservation is responsible for overseeing programs that facilitate and encourage sustainable water use
throughout the District. Additionally, this program is responsible for communicating conservation benchmarks to
various regulatory agencies.
01
Goals and Objectives
GOAL Coordinate with District Programs/Departments
to Complete Necessary Conservation Reporting
OBJECTIVES
1. Gather information necessary to update the District’s Drought Risk Assessment within the required timeline.
2. Draft the District’s Water Shortage Contingency Plan and work with Engineering for data collection to meet the
SWRCB requirements for the Regional Urban Water Management Plan.
3. Remain in compliance with the state’s monthly reporting requirements.
4. Facilitate the annual water audit submittal, develop an action item list and track results.
02GOAL Evaluate Rebate Program Success and
Implement Program Enhancements
OBJECTIVES
1. Work with IT to build GIS maps that will display rebate program participation.
2. Hold four conservation workshops in English (2) and in Spanish (2).
3. Develop a program to identify customers with inefficient water use for participation in the District’s rebate
programs. (work with IT/Fin-maybe push to fy 2021-22?)
4. Understand and adopt industry standards or best practices for gathering conservation data information.
03GOAL Engage in the Legislative Process as it Relates
to Changes in Conservation Regulations
OBJECTIVES
1. Actively participate in the regulatory and legislative process as new conservation guidelines are considered.
2. Develop tracking measures to highlight the financial impact on operations should affordable-rate regulations be
considered.
3. Provide quarterly updates to the Legislative Committee, Semi-Annual to the Governing Board, to ensure they are
informed of the changing conservation requirements and other legislative issues.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021110
FY 2019-20 Accomplishments
GOAL ONE
Develop Technical Assessment Tools to
Minimize Water Losses within the District’s
Distribution System
• Completed the annual water audit and developed an
action item list.
GOAL TWO
Evaluate Rebate Program Success and
Implement Program Enhancements
• Translated rebates from English to Spanish to enhance
program participation.
• Invited high-water users to participate in rebate water
surveys.
• Began developing a conservation action plan to
encourage water efficiency through different stages of
water supply availability.
GOAL THREE • Actively participated in the regulatory and legislative
process as new conservation guidelines were considered.Engage in the Legislative Process as it Relates
to Changes in Conservation Regulations
SIGNIFICANT CHANGES
The amount of educational materials distributed this year was less than
the target. Many of the outreach events occur during the spring, which
were canceled this year due to the COVID-19 pandemic.
The development of technical tools to track conservation participation
or to minimize water losses will be carried over to next fiscal year due to
the departure of the IT Manager.
An increase in contract services was made in the budget to cover the
cost of a contractor to assist with the development and submittal of the
Water Shortage Contingency Plan which is due December 2021.
Printing and publishing budget has been increased to cover the cost
of direct mailers that will be distributed to customers inviting them to
participate in the free community workshops.
$624,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 111
PROGRAM SUMMARIES
LEVELS OF SERVICE
The Conservation Program has four KPI metrics that are associated with the District’s Goals and Objectives of:
• Identify Opportunities to Optimize Natural Resources (I-A)
• Provide Quality Information to Encourage Community Engagement (II-D)
• Pursue Alternative Funding Sources (II-C)
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
I-A Meet SWRCB conservation goal Yes Yes Yes Yes
I-A Maintain significant level of participation in
annual conservation rebate programs 300 556 468 344
II-D Number of educational materials created 100 220 175 97
II-C External conservation funding received $25,000 $33,769 $43,212 $34,000
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 136,014 $ 101,000 $ 141,520 $ 107,000 $ 6,000 6%
5102 Temporary Labor - - - - - 0%
5103 Overtime 6,235 3,000 3,831 7,000 4,000 133%
5200 Benefits 33,798 30,000 34,461 36,000 6,000 20%
OPERATING EXPENSES
6201 Materials & Supplies 27,159 25,000 14,479 20,000 (5,000)-20%
6203 Office Supplies 760 3,000 559 2,000 (1,000)-33%
6205 Conservation Rebates 711,436 195,000 156,412 145,000 (50,000)-26%
6301 Contract Services 23,690 88,000 21,609 140,000 52,000 59%
6303 Printing & Publishing 86,388 110,000 65,211 116,000 6,000 5%
6304 Legal Services 680 1,000 - 1,000 - 0%
6307 Uniforms 697 1,000 743 1,000 - 0%
6402 Telephone 1,066 2,000 1,331 2,000 - 0%
6406 Postage 1,449 20,000 3,861 37,000 17,000 85%
6501 Memberships & Dues 2,313 6,000 2,660 6,000 - 0%
6502 Professional
Development 252 $3,000 683 3,000 - 0%
6504 Meetings 218 $1,000 - 1,000 - 0%
CONSERVATION TOTAL $ 1,032,155 $ 589,000 $ 447,360 $ 624,000 $ 35,000 6%
FISCAL YEAR BUDGET 2020-2021112
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accountingFINANCE &
Finance and accounting maintain a high ethical standard required to support the
objectives of maintaining an extensive infrastructure system.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
Finance and Accounting Provides
Transparent and Responsible
Oversight of District Funds
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GENERAL MANAGER/CEO
Chief Financial Officer
Accountant
PROGRAM STRUCTURE
Sr. Accounting Technician
PROGRAM PERSONNEL
Chief Financial Officer 1
Business Services Manager 1
Accountant 1
Sr. Accounting Technician 1
Accounting Technician 1
Sr. Administrative Assistant 1
Total Full Time 6
Accounting Technician
Sr. Administrative Assistant
Business Services Manager
EAST VALLEY WATER DISTRICT 113
AccountingFINANCE &
FUNCTION
Finance and accounting oversee the business operations of the District in order to provide accountability and
adequate control over the use of District funds.
Staff downloads meter read data, audits data, and submits data files to a third-party vendor for bill printing and mailing.
Staff also maintains the financial systems and records in accordance with Generally Accepted Accounting Principles
(GAAP) as well as applicable laws, regulations, and District policies.
01
Goals and Objectives
GOAL Financial Stability with Full Understanding
of Operational Complexities (GM Goal)
OBJECTIVES
1. Work with Bond Council to restructure current bonds to take advantage of the financial market and record
the debt in accordance with GAAP.
2. Coordinate Public Hearing and noticing efforts with the Public Affairs Department to comply with
Proposition 218 requirements and Implement adopted rates in District’s utility billing software
3. Identify the financial impact with affordable-rate regulation consideration working with Conservation and
Public Affairs.
02GOAL Fully understand the cost associated
with the SNRC operations (GM Goal)
OBJECTIVES
1. Develop a listing of vendors and contract services based on recommendations from Engineering and regional
wastewater agencies.
2. Develop a comprehensive salaries and benefits analysis based on the staffing schedule for the SNRC and the District.
3. Develop an allocation plan to determine each funds’ proportionate share of the SNRC operating and capital costs.
03GOAL Link Fixed Asset Information in Tyler Accounting System to
Digitized Maps in Geographical Information System (GIS) Program
OBJECTIVES
1. Hold series of meetings with Engineering and Information Technology staff to fully understand linkage
between Tyler and GIS.
2. Develop plan for estimating costs in Tyler for old assets and for distributing costs in GIS.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021114
FY 2019-20 Accomplishments
GOAL ONE • Completed the Water and Wastewater Rate Study.
• Completed the Capacity Fee Study.Complete a Water and Wastewater Rate Study
and Update the Miscellaneous Fee Schedule
GOAL TWO
Implement Sound Financial Practices
to Preserve and Enhance the District’s
Financial Position
• Received awards from both the Government Finance
Officers Association (GFOA) and the California Society
of Municipal Finance Officers (CSMFO) for the District’s
2019-20 Budget.
• Issued and received GFOA Awards for Outstanding
Achievement for the District’s June 2019 Comprehensive
Annual Financial Report (CAFR) and Popular Annual
Financial Report (PAFR).
• Amended the Finance Agreement and received $40.9 M
from the SWRCB for reimbursement loans for the SNRC.
GOAL THREE • Completed the linking of FY 2018-19 Water and
Wastewater projects.Link Fixed Asset Information in Tyler Accounting
System to Digitized Maps in GIS Program
OTHER ACCOMPLISHMENTS • Saved the District approximately $67,000 annually by
executing a contract with a new merchant service provider.
SIGNIFICANT CHANGES
None.
LEVELS OF SERVICE
The Finance & Accounting Program has six KPI metrics that
are associated with the District’s Goals and Objectives of:
• Practice Transparent and Accountable Fiscal
Management (II-A)$1,272,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 115
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
II-A Days to prepare and preset CAFR after fiscal
year end 135 days 103 102 102
II-A Enhance District bond rating through strong
reserves and fiscal policies AA AA-AA-AA-
II-A Number of fiscal policies updated / enhanced
and reviewed with the Board 4 3 3 3
II-A Provide program managers monthly budget
variance reports 12 12 12 12
II-A
Consecutive years Certificate of Achievement
for Excellence in Financial Reporting received for
CAFR
7 6 7 8
II-A
Consecutive years Certificate of Achievement
for Excellence in Financial Reporting received for
PAFR
2 1 2 3
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 673,175 $ 678,000 $ 694,849 $ 716,000 $ 38,000 6%
5102 Temporary Labor 16,382 - - - - 0%
5103 Overtime 12,733 5,000 5,931 13,000 8,000 160%
5200 Benefits 300,935 376,000 359,923 385,000 9,000 2%
OPERATING EXPENSES
6203 Office Supplies 9,322 11,000 12,390 11,000 - 0%
6301 Contract Services 212,587 66,000 52,082 67,000 1,000 2%
6302 Banking Services 8,806 20,000 8,142 20,000 - 0%
6303 Printing & Publishing 844 1,000 2,479 1,000 - 0%
6304 Legal Services 22,479 60,000 16,800 20,000 (40,000)-67%
6307 Uniforms 1,830 2,000 1,386 2,000 - 0%
6402 Telephone 2,129 3,000 1,623 3,000 - 0%
6406 Postage 303 1,000 806 1,000 - 0%
6501 Memberships & Dues 3,316 4,000 3,480 4,000 - 0%
6502 Professional
Development 6,571 17,000 8,527 19,000 2,000 12%
6503 Education Assistance - - - 5,000 5,000 100%
6504 Meetings 2,243 4,000 2,731 4,000 - 0%
6704 Bad Debt 14 1,000 815 1,000 - 0%
FINANCE & ACCT. TOTAL $ 1,273,669 $ 1,249,000 $ 1,171,964 $1,272,000 $ 23,000 2%
FISCAL YEAR BUDGET 2020-2021116
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technologyINFORMATION
The District is leveraging technology to provide water consumption information electronically.
HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Information Technology Manager 1
Network Administrator 1
Information Systems Technician 1
Total Full Time 3
IT is Responsible for District
Technology and Software Programs
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GENERAL MANAGER/CEO
Chief Financial Officer
Network Administrator
PROGRAM STRUCTURE
Information Systems Technician
Information Technology Manager
EAST VALLEY WATER DISTRICT 117
TechnologyINFORMATION
FUNCTION
Information Technology (IT) is responsible for the strategic alignment of technology with the District’s initiatives.
Staff maintains the enterprise systems, network, cybersecurity, and computer hardware.
01
Goals and Objectives
GOAL Fortify IT Infrastructure for Reliability and
Expand Services for HQ, SNRC and Plant 134
OBJECTIVES
1. Broaden network server infrastructure by upgrading End-of-Life Cisco servers and VMware licensing to support
the SNRC and Plant 134.
2. Work with Operations to enhance SCADA infrastructure and improve radio communication at each site.
3. Expand hardware needs for operations staff and simplify staff processes through mobile devices.
02GOAL Proactively Improve Systems and Cybersecurity
Measures for Internal and Emergency Response Functions
OBJECTIVES
1. Engage staff with cybersecurity training and monthly Phishing emails to mitigate security risk.
2. Heighten IT staff knowledge and skills through professional development for IT standards.
3. Assess and enhance remote capabilities for staff and EOC operations.
4. Implement imaging software to allow image and recovery of computer systems to minimize downtime.
03GOAL Analyze Current Systems to Enhance
Reporting and Automate Processes
OBJECTIVES
1. Work with consultant to enhance reporting and business analytics through Microsoft BI.
2. Assist Finance with GIS and Tyler integration.
3. Expand DocuSign E-form capability to streamline internal processes and create another outlet for customer/
organization engagement.
4. Work with Operations to select an asset management system.
5. Assess Cityworks and current GIS infrastructure with Engineering to fit the organizational needs recommended
through the IT strategic plan.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021118
FY 2019-20 Accomplishments
GOAL ONE • Proactively replaced all end-of-life workstations and
laptops.
• Implemented InframapNow mapping software.
Proactively Replace Hardware and Software
Approaching End-of-Life Cycle
GOAL THREE
• Installed treatment plant firewalls.Improve IT Infrastructure for Reliable and
Secure Services
OTHER ACCOMPLISHMENTS
• Improved SCADA wireless performance.
• Deployed 20 iPads to Field staff.
• Completed 5-year IT Strategic Plan.
SIGNIFICANT CHANGES
IT Professional Development will be utilized this fiscal year to
enhance internal controls of current systems.
Increased Contract Services to configure and implement
Imaging/Deployment system and Mobile Device Management.
Membership dues have been decreased due to IT program
changes.
LEVELS OF SERVICE
The Information Technology Program has five KPI metrics that
are associated with the District’s Goals and Objectives of:
• Develop Projects and Programs to Ensure Safe and
Reliable Service (IV-A)
• Strive to Provide World Class Customer Relations (III-B)
$973,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 119
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
IV-A Elevate Cybersecurity awareness by sending
out test ‘phishing’ emails 800 2,191 844 862
IV-A Maximize system availability 99%99%99%99%
IV-A
Complete disaster recovery drill (system
restoration, power outages, emergency
notifications)
2 1 1 1
III-B Receive ‘Excellent’ scores on IT satisfaction
surveys submitted by staff >95%94%88%98%
III-B Minimize resolution time for help desk issues
submitted by staff 24 Hrs.10.1 23.3 16.36
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 327,448 $ 344,000 $ 258,012 $ 338,000 $ (6,000)-2%
5102 Temporary Labor - - - - - 0%
5103 Overtime - - - - - 0%
5200 Benefits 89,684 101,000 77,926 120,000 19,000 19%
OPERATING EXPENSES
6201 Materials & Supplies 69,935 37,000 52,955 42,000 5,000 14%
6203 Office Supplies - - - 1,000 1,000 100%
6301 Contract Services 497,207 427,000 394,910 449,000 22,000 5%
6307 Uniforms 795 1,000 358 1,000 - 0%
6402 Telephone 5,927 5,000 5,686 6,000 1,000 20%
6501 Memberships & Dues 932 7,000 3,096 1,000 (6,000)-86%
6502 Professional
Development 6,430 9,000 1,366 14,000 5,000 56%
6503 Education Assistance - - - - - 0%
6504 Meetings - 1,000 721 1,000 - 0%
IT TOTAL $ 998,358 $ 932,000 $ 795,030 $ 973,000 $ 41,000 4%
FISCAL YEAR BUDGET 2020-2021120
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serviceCUSTOMER
As the primary contact point with residents, this program provides prompt and courteous service.
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GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Full Time
Sr. Customer Service Rep 1
Customer Service Rep III 1
Customer Service Rep II 2
Customer Service Rep I 2
Total Full Time 6
Part Time
Customer Service Rep I 0.5
Total Part Time 0.5
Customer Service Provides Customers with
World Class Community Relations
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GENERAL MANAGER/CEO
Chief Financial Officer
Sr. Customer Service Representative
PROGRAM STRUCTURE
Customer Service Representative III
Business Services Manager
Customer Service Representative II
Customer Service Representative I
EAST VALLEY WATER DISTRICT 121
ServiceCUSTOMER
FUNCTION
Customer Service provides the community with prompt, courteous, and world class customer relations. As the primary
contact point with residents, this program explores opportunities to provide thorough / accurate responses to billing
inquiries; provide convenient locations and methods for payment; and to resolve customer concerns about service
delivery by requesting assistance from field personnel, and then following up with customers regarding the resolution
to their concern.
01
Goals and Objectives
GOAL Develop Strategies to Address
Organizational Service Needs
OBJECTIVES
1. Work with Field and IT in Re-Evaluation of Cityworks and attend product demonstrations for alternate work order
system if scheduled.
2. Develop SNRC action plan and prepare justification for additional full-time employee if necessary.
3. Work with IT to activate autopay with credit card while remaining PCI compliant.
4. Work with Business Services Manager to update physical/digital access where needed.
02GOAL Modify Processes to Comply with Changes in
Legislation while Maintaining Financial Stability
OBJECTIVES
1. Meet quarterly with PA for updates on proposed/pending legislation.
2. Reassess written policy and departmental procedures related to SB 998.
3. Assist with preparation of Customer Service talking points to address customer inquiries related to
proposed Water Tax legislation.
4. Review and propose changes to Miscellaneous Fee Schedule related to Customer Accounts.
03GOAL Work with Engineering and IT to Complete AMI
Installations and Fully Utilize Smart Meter Capabilities
OBJECTIVES
1. Log all leak notifications and contact customers to minimize water losses. Estimate water saved.
2. Work with PA to create customer educational materials about Smart Meter Portal and setting up alerts.
3. Review routes and billing dates for possible changes to accommodate timing of bills to customers on fixed incomes.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021122
FY 2019-20 Accomplishments
GOAL ONE
Develop Strategies to Address Organizational
Service Needs
• Launched of AMI customer portal.
• Implemented the use of Intellius to research landlord info/
contact.
• Implemented disconnect service orders through municipal
online portal.
• Worked with 3rd party vendor to validate all service
addresses within the District, incompliance with USPS.
GOAL TWO • Assisted with the launch and implemented SB 998 … (policy
District and Internal, notices, Tyler functionalityModify Processes to Comply with Changes in
Legislation while Maintaining Financial Stability
OTHER ACCOMPLISHMENTS
• Successfully transitioned to working from home during an
emergency.
• Resolved ongoing issues with automated phone check
payments.
SIGNIFICANT CHANGES
None.
LEVELS OF SERVICE
The Customer Service Program has six KPI metrics that are
associated with the District’s Goals and Objectives of:
• Strive to Provide World Class Customer Relations (III-B)
• Maximize internal Capabilities through Ongoing
Professional Development (I-B)
• Dedicate Efforts Toward System Maintenance and
Modernization (IV-C)
$1,507,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 123
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
III-B Reduce number of customers disconnected for
non-payment each year 1,800 1,607 1,000 930
III-B
Encourage completion of Customer
Satisfaction Surveys to better understand
customer concerns
120 166 75 65
III-B Number of customer payments received
through convenient off-site locations 10,000 5,216 6,652 4,864
I-B Number of customer service training hours
per employee 16 12 14 11
IV-C Customers enrolled in paperless billing 2,000 2,090 2,259 1,550
IV-C Customers enrolled in the Pre-Authorized
Payment Plan (auto-debit)2,000 1,826 2,233 2,488
East Valley Water District is a results-oriented
organization with 17 programs essential to operations.
FISCAL YEAR BUDGET 2020-2021124
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 386,931 $ 344,000 $ 317,021 $ 415,000 $ 71,000 21%
5102 Temporary Labor 25,860.00 - 24,691 - - 0%
5103 Overtime 6,336 5,000 7,218 7,000 2,000 40%
5200 Benefits 232,858 210,000 210,151 242,000 32,000 15%
OPERATING EXPENSES
6201 Materials & Supplies 958 5,000 2,347 5,000 - 0%
6203 Office Supplies 1,373 4,000 2,934 4,000 - 0%
6301 Contract Services 141,871 134,000 61,487 134,000 - 0%
6302 Banking Services 261,315 306,000 238,588 239,000 (67,000)-22%
6303 Printing & Publishing 9,385 10,000 7,341 10,000 - 0%
6304 Legal Services - 5,000 - 5,000 - 0%
6306 Rents & Leases - - - - - 0%
6307 Uniforms 2,381 4,000 2,406 4,000 - 0%
6308 Billing Services 41,060 52,000 42,229 52,000 - 0%
6309 Shut Off Notice
Services 344,565 359,000 199,151 195,000 (164,000)-46%
6402 Telephone 5,297 6,000 5,656 8,000 2,000 33%
6406 Postage 127,795 153,000 104,588 153,000 - 0%
6501 Memberships & Dues - 2,000 - 1,000 (1,000)-50%
6502 Professional
Development 2,576 14,000 1,784 15,000 1,000 7%
6503 Education Assistance - - - - - 0%
6504 Meetings 646 2,000 1,337 2,000 - 0%
6703 Cash Over/Short 248 - 512 1,000 1,000 100%
CUSTOMER SERVICE TOTAL $ 1,594,902 $ 1,615,000 $ 1,232,417 $ 1,507,000 $ (108,000)-7%
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servicesMETER
Smart meters improves customer service and increases customer participation.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Meter Reader II 1
Meter Reader I 2
Total Full Time 3
Meter Services is responsible for reading
all District meters monthly for billing, on-
site customer meter-related requests and
customer service assistance.
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GENERAL MANAGER/CEO
Director of Engineering & Operations
Meter Reader II
PROGRAM STRUCTURE
Meter Reader I
Operations Manager
EAST VALLEY WATER DISTRICT 125
ServicesMETER
FUNCTION
Meter Services is responsible for reading all District meters monthly for billing, on-site customer meter-related requests
and customer service assistance.
01
Goals and Objectives
GOAL Develop Inspection Program for Facilities in
AMI Areas that are No Longer Read Manually
OBJECTIVES
1. Identify needed vault lid replacements – create prioritized replacement schedule.
2. Visually inspect all meter boxes in routes included in Phase I of AMI implementation.
02GOAL Collect Information on Remaining Manual-Read Meters to
Facilitate Early Completion of AMI Implementation Project
OBJECTIVES
1. Verify meter lid sizes, meter size and lay length in preparation for AMI Phases 6 and 7.
2. Install AMI meters at accounts bypassed by the AMI Contractor due to special issues / concerns
(broken angle valves, leaks).
03GOAL Continue Meter Testing Programs in
Compliance with State Water Audits Best Practices
OBJECTIVES
1. Conduct an audit of 10% of large meters for accuracy to ensure compliance with AWWA standards.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021126
FY 2019-20 Accomplishments
GOAL ONE • Created a prioritized replacement schedule that identified
needed vault lid replacements.
• Recommended the top five limited-access meters for
relocation.
Developed Inspection Program for Facilities in
AMI Areas that Are No Longer Read Manually
GOAL TWO
Collect Information on Existing Meters to
Facilitate Future Phases of AMI Implementation
• Verified meter lid sizes, meter sizes and lay length for AMI
Phase IV.
• Identified and documented concerns with existing meter
locations and resolve any issues prior to the account being
scheduled for an AMI installation.
• Provided recommendations for Engineering for future
phases of AMI implementation regarding areas of priority
and routes, including new construction.
GOAL THREE
Develop Proactive Meter Reader Training and
Meter Testing Programs
• Trained readers on budget-based rates and on uploading
routes into handhelds.
• Trained readers on AWWA meter efficiency standards.
• Conducted an audit of 10% of large meters for accuracy to
ensure compliance with AWWA standards.
SIGNIFICANT CHANGES
None.
LEVELS OF SERVICE
The Meter Services Program has three KPI metrics that are
associated with the District’s Goals and Objectives of:
• Identify Opportunities to Optimize Natural Resources (I-A)
• Strive to Provide World Class Customer Relations (III-B)
• Dedicate Efforts towards System Maintenance and
Modernization (IV-C)
$290,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 127
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
I-A Number of large meters tested for accuracy 11 N/A 11 11
III-B Respond to customer requests for assistance
within 2 hours 100%100%100%100%
IV-C Number of employees trained on
the AMI project 4 3 3 3
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 239,786 $ 187,000 $ 227,178 $ 197,000 $ 10,000 5%
5103 Overtime 5,016 10,000 2,930 6,000 (4,000)-40%
5200 Benefits 73,633 83,000 71,825 72,000 (11,000)-13%
OPERATING EXPENSES
6201 Materials & Supplies 292 2,000 289 2,000 - 0%
6202 Tools 2,924 3,000 2,353 3,000 - 0%
6301 Contract Services 2,584 5,000 2,946 5,000 - 0%
6307 Uniforms 2,882 3,000 2,743 3,000 - 0%
6402 Telephone 1,197 2,000 1,209 2,000 - 0%
6502 Professional
Development - - - - - 0%
METER SERVICES TOTAL $ 328,314 $ 295,000 $ 311,473 $ 290,000 $ (5,000)-2%
FISCAL YEAR BUDGET 2020-2021128
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engineering
Engineering provides leadership in the development and implementation of the District's CIP.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Director of Engineering
and Operations 1
Sr. Engineer 3
Sr. Administrative Assistant 1
Total Full Time 5
Engineering Implements
Infrastructure Projects Needed to
Provide Safe and Reliable Services
16
GENERAL MANAGER/CEO
Director of Engineering & Operations
Sr. Engineer
PROGRAM STRUCTURE
Sr. Administrative Assistant
EAST VALLEY WATER DISTRICT 129
Engineering
FUNCTION
Engineering is responsible for planning and overseeing infrastructure projects designed to maintain safe and reliable
water and wastewater services. Staff manages the capital improvement program, coordinates with new development,
and provides technical support for the infrastructure system.
01
Goals and Objectives
GOAL Develop and Implement the District’s Capital Improvement Program to Address
Rehabilitation and Maintenance Needs While Also Preparing for New Development
OBJECTIVES
1. Issue design and construction contract for rehabilitation of reservoir at Plant 108.
2. Complete rehabilitation of Plant 101.
3. Facilitate completion of design for main replacement projects identified in CIP for 2020-21.
4. Support the development of CFD for the Highland Hills development.
5. Continue to lead AMI implementation.
02GOAL Develop Plans to Optimize District Utilization
of Local and Imported Surface Water
OBJECTIVES
1. Complete pre-design report for the Water Treatment Plant at the east-end of the District’s service area.
2. Initiate contract for design-build of process improvements related to disinfection byproduct control at Plant 134.
3. Install meter facilities and reporting tools to document North Fork water going to surface spreading.
03GOAL Support the Steps Necessary
for Advancement of the SNRC
OBJECTIVES
1. Lead development of facility start-up plans.
2. Ensure decisions are made promptly to support construction efforts.
3. Continue working with regulatory agencies to receive needed approvals and permits.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021130
FY 2019-20 Accomplishments
GOAL ONE
Develop and Implement the District’s
Capital Improvement Program to Address
Rehabilitation and Maintenance Needs While
Also Preparing for New Development
• Completed master service contracts for rehabilitation of
reservoirs and completed the rehabilitation of Reservoir 1
at Plant 39.
• Managed the completion of Phase 4 of the AMI Project and
led efforts to pre-purchase materials for subsequent phases
to realize cost savings.
• Supported the design and construction of the sewer main
upsizing and replacement in Sterling Ave and Marshall
Blvd being performed by the San Manuel Band of Mission
Indians.
• Provided engineering support on water main replacement
work performed by the Operations Department on
Rockford Avenue, Del Norte Place, Del Norte Circle, Lomita
Place, Val Mar Circle, Yuma Drive, and Barton Street.
GOAL TWO
Develop Plans to Optimize District Utilization
of Local and Imported Surface Water
• Completed an evaluation of enhanced coagulation at Plant
134 to assess its potential to address disinfection byproduct
formation.
• Initiated an investigation to increase capacity for sludge
handling at Plant 134.
• Completed a feasibility study for a water treatment plant at
the east-end of the District’s service area.
GOAL THREE • Led evaluation of digesters and completed the design of
the digesters and associated systems.
• Continued permitting work with regulatory agencies.
Support the Steps Necessary for Advancement
of the SNRC
SIGNIFICANT CHANGES
Engineering Technician II and Senior Engineering Technician retired.
Recruitment for Senior/Associate Engineer conducted.
$1,544,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 131
PROGRAM SUMMARIES
LEVELS OF SERVICE
The Engineering Program has four KPI metrics that are associated with the District’s Goals and Objectives of:
• Develop Projects and Programs to Ensure Safe and Reliable Services (IV-A)
• Dedicate Efforts towards System Maintenance and Modernization (IV-C)
• Strive to Provide World Class Customer Relations (III-B)
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
IV-A Initiate fully funded projects included in the
current year CIP 100%100%90%90%
IV-C Complete current year updates to GIS base
maps 100%80%100%90%
III-B Complete development infrastructure plan
reviews in < 14 days 100%100%100%90%
III-B Issue development impact fee costs estimates in
< 2 days 100%100%100%100%
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 717,139 $ 702,000 $ 680,868 $ 735,000 $ 33,000 5%
5102 Temporary Labor - - - - - 0%
5103 Overtime 1,846 2,000 969 3,000 1,000 50%
5200 Benefits 251,526 304,000 280,984 263,000 (41,000)-13%
OPERATING EXPENSES
6201 Materials & Supplies 2,458 9,000 5,713 9,000 - 0%
6202 Tools 1,369 7,000 1,236 7,000 - 0%
6203 Office Supplies 2,634 7,000 4,076 7,000 - 0%
6301 Contract Services 545,731 240,000 174,131 240,000 - 0%
6303 Printing & Publishing 206 6,000 953 6,000 - 0%
6304 Legal Services 69,615 40,000 18,364 40,000 - 0%
6307 Uniforms 2,001 3,000 2,899 3,000 - 0%
6402 Telephone 2,059 2,000 2,071 2,000 - 0%
6405 Permits 55,286 193,000 69,989 193,000 - 0%
6406 Postage - 1,000 - 1,000 - 0%
6501 Memberships & Dues 426 4,000 886 4,000 - 0%
6502 Professional
Development 9,220 28,000 5,315 28,000 - 0%
6504 Meetings 54 3,000 373 3,000 - 0%
ENGINEERING TOTAL $ 1,661,570 $ 1,551,000 $ 1,248,827 $ 1,544,000 $ (7,000)0%
FISCAL YEAR BUDGET 2020-2021132
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productionWATER
The District delivers an average of 15 million gallons of water per day to customers.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Operations Manager 1
Sr. Water Production Operator 1
Water Production Operator III 3
Water Production Operator I 1
Administrative Assistant 1
Total Full Time 7
Water Production is Responsible
Monitoring and Operating the Entire
Water System
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DIRECTOR OF ENGINEERING & OPERATIONS
Operations Manager
Water Production Operator III
PROGRAM STRUCTURE
Water Production Operator I
Sr. Water Production Operator
Administrative Assistant
EAST VALLEY WATER DISTRICT 133
PROGRAM SUMMARIES
ProductionWATER
FUNCTION
Water Production is responsible for the daily monitoring and operations of the entire water production system. This
program ensures the timely preventative maintenance of all pumps, motors, wells, boosters, reservoirs, pressure
regulating valves (PRVs), hydro-pneumatic plants, and the Supervisory Control and Data Acquisition (SCADA) system.
Staff also operates the North Fork Canal.
01
Goals and Objectives
GOAL Support the Engineering Department and Contractor
Assigned to Plant 108 Tank/Reservoir Rehabilitation Projects
OBJECTIVES
1. Develop a pumping plan to have tank 108 out of service for rehabilitation.
2. Identify and isolate all valves required to drain and rehabilitate tank.
3. After construction fill, sample and bring the tank back online.
02GOAL Implement Improvements to Enhance the SCADA System
OBJECTIVES
1. Work with consultants to develop RFP for the SCADA masterplan.
2. Work with IT to identify scope of work and complete phase three to upgrade SCADA radios.
3. Move forward and assign staff to assist with radio contractors’ recommendations.
03GOAL Transition the Remaining North Fork Water Company and Bear
Valley Mutual Water Company Shareholders from the North Fork
Canal/Pipeline to Alternative Metered ConnectionsOBJECTIVES
1. Determine size and flow requires and install water meters to the properties.
2. Abandon weirs and other facilities made unnecessary by shareholder agreements.
04GOAL Bring Plant 120 Online to Produce 600-800 Gallons per Minute
OBJECTIVES
1. Hire a SCADA contractor and electrician to install the necessary equipment to control the Plant.
2. Clean and rehabilitate the forebay downstream of the well.
3. Inspect and make necessary repairs to boosters on site.
4. Obtain proper SWRCB permit.
FISCAL YEAR BUDGET 2020-2021134
FY 2019-20 Accomplishments
GOAL ONE • Rehabilitated two wells and five booster pumps.
• Assisted with Plant 39-1 tank rehabilitation.
• Replaced and repaired the control panel at Plant 132 to
prevent ground arcing and motor failure.
• Replaced motor starts at Plants 33-1, 24-2, 129-1, and 39-2.
Prioritize and Execute Contracts for Tank/
Reservoir Rehabilitation Projects Based on
Finding in Harper Engineering Report
GOAL TWO • Replaced the transfer switch at Plant 141 in order to receive
generator power.
• Worked with a contractor to improve SCADA and radio
communications at multiple Plants.
• Worked on NFWC sand box Parshall flume to get SCADA
feedback for more accurate groundwater recharge data.
Implement Improvements to Enhance the
SCADA System
GOAL THREE
• Assisted with purchase of NFWC shares.
Transition the North Fork Water Company
and Bear Valley Mutual Water Company
Shareholders from the North Fork Canal/
Pipeline to Alternative Metered Connections
OTHER ACCOMPLISHMENTS
• Completed Cla-Val pressure regulating valve maintenance
and inspections.
• Completed annual tank inspections.
• Trained operators on proper generator hook up to prepare
for Edison shutdowns.
• Promoted and trained the new Water Production
Supervisor, Sr. Water Production Operator and Water
Production Operator I.
SIGNIFICANT CHANGES
Re-allocated $100,000 from Water Production purchased water to Water Production well electrical.
EAST VALLEY WATER DISTRICT 135
PROGRAM SUMMARIES
LEVELS OF SERVICE
The Water Production Program has four KPI metrics that are associated
with the District’s Goals and Objectives of:
• Develop Projects and Programs to Ensure Safe and
Reliable Services (IV-A)
• Dedicate Effort towards System Maintenance and
Modernization (IV-C)
• Enable Fact-Based Decision Making through State-of-the-Art
Data Management (IV-D)
The program’s performance related to these metrics are included in
the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
IV-A Perform upgrades to SCADA radios as
recommended by consultant 10/YR N/A N/A N/A
IV-C Perform or schedule repairs recommended by
reservoir inspection report 1/ YR N/A N/A 1
IV-D Implement available SCADA software updates 100%100%100%100%
IV-A Perform repairs recommended from the
electrical inspection report 100%100%100%100%
PROGRAM BUDGET DETAIL
Administration
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 224,304 $ 234,000 $ 228,825 $ 248,000 $ 14,000 6%
5103 Overtime 122 1,000 74 1,000 - 0%
5104 Standby 15,342 15,000 15,640 15,000 - 0%
5200 Benefits $ 123,778 $ 185,000 $ 161,879 $ 191,000 $ 6,000 3%
$4,493,000
PROGRAM
BUDGET ALLOCATION
FISCAL YEAR BUDGET 2020-2021136
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
OPERATING EXPENSES
6201 Materials & Supplies $ 2,914 $ - $ 673 $ - $ - 0%
6202 Tools 3,749 5,000 1,408 6,000 1,000 20%
6203 Office Supplies 6,378 4,000 5,364 4,000 - 0%
6301 Contract Services 26,433 101,000 31,968 101,000 - 0%
6304 Legal Services 6,475 - 5,160 - - 0%
6307 Uniforms 3,312 10,000 11,637 10,000 - 0%
6402 Telephone 7,416 14,000 7,324 14,000 - 0%
6405 Permits - - - - - 0%
6501 Memberships & Dues 1,335 3,000 255 3,000 - 0%
6502 Professional
Development 4,780 6,000 8,539 6,000 - 0%
6503 Education Assistance - - - - - 0%
6504 Meetings 209 1,000 694 1,000 - 0%
ADMINISTRATION TOTAL $ 426,547 $ 579,000 $ 479,440 $ 600,000 $ 21,000 4%
Source of Supply/Wells
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 319,672 $ 196,000 $ 372,741 $ 203,000 $ 7,000 4%
5103 Overtime 6,147 25,000 14,675 7,000 (18,000)-72%
5200 Benefits 71,636 111,000 113,666 103,000 (8,000)-7%
OPERATING EXPENSES
6101 Purchased Water 306,513 500,000 440,716 400,000 (100,000)-20%
6102 Groundwater
Replenishment 98,406 445,000 111,625 304,000 (141,000)-32%
6103 Water Assessment 123,547 122,000 50,716 122,000 - 0%
6201 Materials & Supplies 18,000 45,000 36,767 45,000 - 0%
6204 Chemicals 72,400 150,000 96,676 150,000 - 0%
6301 Contract Services 21,026 150,000 194,936 150,000 - 0%
6402 Telephone 109 - - - - 0%
6403 Electricity 1,125,950 1,150,000 1,138,829 1,250,000 100,000 9%
6405 Permits 63,210 100,000 70,405 100,000 - 0%
SOURCE OF SUPPLY/WELLS
TOTAL $ 2,226,616 $ 2,994,000 $ 2,641,752 $ 2,834,000 $ (160,000)-5%
EAST VALLEY WATER DISTRICT 137
PROGRAM SUMMARIES
Boosting and Pumping
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 91,428 $ 95,000 $ 34,503 $ 74,000 $ (21,000)-22%
5103 Overtime 3,491 10,000 4,697 4,000 (6,000)-60%
5200 Benefits 32,515 52,000 34,116 38,000 (14,000)-27%
OPERATING EXPENSES
6201 Materials & Supplies 2,667 20,000 16,776 20,000 - 0%
6301 Contract Services 56,326 75,000 (11,326) 75,000 - 0%
6403 Electricity 352,486 400,000 343,310 400,000 - 0%
BOOSTING & PUMPING TOTAL $ 538,913 $ 652,000 $ 422,076 $ 611,000 $ (41,000)-6%
Transmission and Distribution
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 181,581 $ 184,000 $ 157,715 $ 198,000 $ 14,000 8%
5103 Overtime 9,514 25,000 6,674 10,000 (15,000)-60%
5200 Benefits 74,359 113,000 96,283 120,000 7,000 6%
OPERATING EXPENSES
6201 Materials & Supplies 25,742 25,000 63,817 25,000 - 0%
6204 Chemicals 53,651 50,000 35,226 50,000 - 0%
6301 Contract Services 53,478 45,000 56,854 45,000 - 0%
TRANSMISSION &
DISTRIBUTION TOTAL $ 398,325 $ 442,000 $ 416,569 $ 448,000 $ 6,000 1%
TOTAL WATER PRODUCTION $ 3,590,401 $ 4,667,000 $ 3,959,837 $4,493,000 $ (174,000)-4%
Program Managers develop achievable
and measurable goals and objectives to be
implemented in a single fiscal year.
FISCAL YEAR BUDGET 2020-2021138
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treatmentWATER
Plant 134 Water Filtration Facility treats local surface water from the Santa Ana River.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Water Production Supervisor 1
Sr. Treatment Plant Operator 1
Total Full Time 2
Water Treatment is Responsible for
Treating the Three Sources of Supply
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DIRECTOR OF ENGINEERING & OPERATIONS
Operations Manager
Sr. Treatment Plant Operator
PROGRAM STRUCTURE
Water Production Supervisor
EAST VALLEY WATER DISTRICT 139
TreatmentWATER
FUNCTION
Water Treatment is responsible for using various methods to treat the three different sources of supply used by the
District. Staff is trained to operate the Surface Water Treatment Plant 134 to maximize both Santa ana River water and
imported State Project Water. Staff also operates two unique groundwater treatment facilities: Plant 28 uses Granular
Activated Carbon (GAC) and Plant 39 is a blending facility.
01
Goals and Objectives
GOAL Support Anticipated Design Build Efforts at Plant 134 for GAC and
Sludge Removal Capital Projects Per SWRCB Recommendations
OBJECTIVES
1. Understand recommendations for additional treatment processes needed to maintain high water quality.
2. Assist in capital planning for new treatment processes.
02GOAL Complete Plant 134 Membrane Replacements Using a 5-Phase
Replacement Plan and Replace Air Control Vales for Trains
OBJECTIVES
1. Identify the modules to be replaced in Phase 4.
2. Procure the needed membrane modules from the manufacturer in accordance with the District’s purchasing policy.
3. Coordinate and schedule the in-house installation of the new membranes.
4. Hire contractor to install air control valves.
03GOAL Replace All 5 Chlorine
Generation Cells at Plant 134
OBJECTIVES
1. Purchase proper cells.
2. Coordinate and schedule installation.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021140
FY 2019-20 Accomplishments
GOAL ONE • Received and installed the new membrane filters
at Plant 134.Complete Plant 134 Membrane Replacements
Using a 5-Phase Replacement Plan
GOAL TWO
Support the Development of a Long-Term
Plant 134 Site Improvement Plan
• Worked with contractor to repaint the filter basins due to
peeling paint.
• Replaced wastewater valve and implemented a plan to
replace/maintain all plant valves.
• Hired an engineering firm to update the Spill Prevention
Control and Countermeasure Plan (SPCC) which is required
for the diesel fuel storage for the generator at Plant 134.
OTHER ACCOMPLISHMENTS • Increased two employees’ level of Treatment Certifications.
SIGNIFICANT CHANGES
None.
LEVELS OF SERVICE
The Water Treatment Program has four KPI metrics that are associated
with the District’s Goals and Objectives of:
• Develop Projects and Programs to Ensure Safe and
Reliable Service (IV-A)
• Dedicate Effort towards System Maintenance and Modernization (IV-C)
• Maximize Staff Capabilities through Ongoing Professional
Development (I-B)
$905,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 141
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
IV-A Meet all regulatory requirements 100%100%100%100%
IV-A
Maximize utilization of plant capacity through
minimization of downtime and monitoring of raw
water
7.5 MGD 3.0 4.0 3.5
IV-C Percentage of plant equipment and motors on
preventative maintenance schedules 100%100%100%100%
I-B Number of Production staff with T-4 certification
or higher 4 2 3 5
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 289,958 $ 242,000 $ 288,472 $ 252,000 $ 10,000 4%
5103 Overtime 38,117 25,000 46,420 39,000 14,000 56%
5200 Benefits 99,017 139,000 145,338 150,000 11,000 8%
OPERATING EXPENSES
6201 Materials & Supplies 51,705 15,000 55,777 15,000 - 0%
6204 Chemicals 101,467 150,000 138,305 150,000 - 0%
6301 Contract Services 73,531 147,000 91,347 147,000 - 0%
6307 Uniforms 947 2,000 1,854 2,000 - 0%
6402 Telephone 3,112 - 1,836 - - 0%
6403 Electricity 117,177 150,000 108,462 150,000 - 0%
6405 Permits - - - - - 0%
WATER TREATMENT TOTAL $ 775,031 $ 870,000 $ 877,811 $ 905,000 $ 35,000 4%
FISCAL YEAR BUDGET 2020-2021142
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qualityWATER
East Valley Water District's primary water quality goal is to protect the health and safety of its residents.
HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Water Quality Coordinator 1
Water Quality Technician 1
Total Full Time 2
Water Quality Complies with all
Required Drinking Water Regulations
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DIRECTOR OF ENGINEERING & OPERATIONS
Operations Manager
Water Quality Coordinator
PROGRAM STRUCTURE
Water Production Supervisor
Water Quality Technician
EAST VALLEY WATER DISTRICT 143
QualityWATER
FUNCTION
Water Quality is responsible for ensuring District compliance with State and Federal Drinking Water Regulations. This
program manages Backflow Prevention, Water Sampling and Testing and Fire Hydrant Flushing Programs.
Water Quality is also leading District efforts to establish a Fats, Oil and Grease (FOG) program, a critical program for
monitoring customer discharge into the wastewater collection system. FOG programs are maintained by agencies
providing wastewater treatment services, which the District will become upon completion of the Sterling Natural
Resource Center at the end of calendar year 2021.
01
Goals and Objectives
GOAL Evaluate Water Quality Regulations and Improve Process
Efficiencies to Enhance Water Quality Compliance
OBJECTIVES
1. Develop sampling programs to maximize treatment process efficiencies.
2. Support efforts to assist in treatment process improvements at Plant 134.
3. Contract for installation of tank mixing equipment in District reservoirs at Plant 129.
02GOAL Implement In-House Environmental Controls
and Compliance Program Improvements
OBJECTIVES
1. Develop Fats, Oil and Grease (FOG) program language for incorporation into the District’s Sewer Use Ordinance.
2. Analyze, and report to management on, the effect of SB 998 on District’s ability to enforce compliance with annual
backflow testing.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021144
FY 2019-20 Accomplishments
GOAL ONE • Installed tank mixer at Plant 108.
• Completed EPA’s Unregulated Contaminant Monitoring
Rule sampling as required.
• Completed construction of the Plant 143 consolidated
Orthophosphate injection system.
Conduct Expanded Sampling Programs to
Ensure Compliance with All State and Federal
Water Quality Requirements
GOAL TWO • Increased customer participation in the backflow testing
program by 6%.Implement an In-House Environmental Controls
and Compliance Program
OTHER ACCOMPLISHMENTS • One employee received their Water Use Efficiency
Practitioner I certification.
SIGNIFICANT CHANGES
Increased Contract Services to comply with Title 22
expanded sampling for all sources.
Increased Contract Services for FOG program
development and software.
LEVELS OF SERVICE
The Water Quality Program has four KPI metrics that are
associated with the District’s Goals and Objectives of:
• Develop Projects and Programs to Ensure Safe and
Reliable Service (IV-A)
• Strive to Provide World Class Customer Relations (III-B)
• Maximize Staff Capabilities through Ongoing
Professional Development (I-B)
$480,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 145
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
IV-A Conduct all water quality sampling required by
SWRCB and EPA 100%100%100%100%
IV-A Promote Customer Participation in District’s
Backflow Testing Program 5%/Yr 8%/Yr 10%/Yr 8%/Yr
III-B Response time to water quality complaints by
customers (avg)2.0 Hrs 1.5 Hrs 1.5 Hrs 1.5 Hrs
I-B Number of Water Quality program staff with D-3
certification or higher 2 2 2 2
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 87,960 $ 88,000 $ 88,277 $ 92,000 $ 4,000 5%
5103 Overtime 4,509 7,000 1,198 6,000 (1,000)-14%
5200 Benefits 40,923 41,000 43,394 45,000 4,000 10%
SOURCE OF SUPPLY/WELLS OPERATING EXPENSES
6201 Materials & Supplies 18,889 13,000 13,256 13,000 - 0%
6301 Contract Services 55,587 115,000 115,982 115,000 - 0%
6307 Uniforms 849 4,000 1,299 4,000 - 0%
6504 Meetings 264 1,000 526 1,000 - 0%
TRANSMISSION AND DISTRIBUTION PERSONNEL EXPENSES
5101 Regular Labor 112,868 88,000 113,184 92,000 4,000 5%
5103 Overtime 323 8,000 835 7,000 (1,000)-13%
5200 Benefits 44,650 41,000 37,699 45,000 4,000 10%
TRANSMISSION AND DISTRIBUTION OPERATING EXPENSES
6201 Materials & Supplies 257 - - - - 0%
6202 Tools 4,522 5,000 4,556 5,000 - 0%
6301 Contract Services 43,573 43,000 32,047 48,000 5,000 12%
6406 Postage 2,062 2,000 486 2,000 - 0%
6502 Professional
Development 85 2,000 175 2,000 - 0%
6503 Education Assistance 90 3,000 - 3,000 - 0%
WATER QUALITY TOTAL $ 417,411 $ 461,000 $ 452,914 $ 480,000 $ 19,000 4%
FISCAL YEAR BUDGET 2020-2021146
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maintenanceWATER
The District proactively performs infrastructure enhancements by rehabilitating and
replacing aging pipelines, installing new pipes, and expanding water storage capacity.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
Water Maintenance Maintains
the District’s Water Transmission
and Distribution System
16
DIRECTOR OF ENGINEERING & OPERATIONS
Operations Manager
Field Service Worker III
PROGRAM STRUCTURE
Field Service Worker II
PROGRAM PERSONNEL
Field Service Supervisor 1
Sr. Field Service Worker 2
Field Service Worker III 5
Field Service Worker II 2
Field Service Worker I 4
Storekeeper/Buyer 1
Total Full Time 15
Field Service Worker I
Field Service Supervisor
Storekeeper/Buyer
Sr. Field Service Worker
EAST VALLEY WATER DISTRICT 147
MaintenanceWATER
FUNCTION
Water Maintenance is responsible for the repair and replacement of the District’s water distribution mains, water
service lines, fire hydrants, meters, valves, and all related equipment.
01
Goals and Objectives
GOAL Prioritize Preventative Maintenance Schedules to Ensure
Equipment Readiness for Emergency Response
OBJECTIVES
1. Exercise all gate valves between Boulder Avenue on the east, and Central Avenue on the west.
2. Work with Production to perform inspection and operation of critical valves at 12 plants.
3. Inspect, and paint if necessary, 1,500 hydrants.
02GOAL Complete Two In-House
Water Main Projects
OBJECTIVES
1. Replace 550 linear feet of 4-inch with new 8-inch water main in 14th Street.
2. Replace 250 linear feet of 3-inch with new 6-inch water main in Mirada Street.
03GOAL Complete Evaluation of Existing Technology/Software and
Requisition Upgrades/Replacements if Necessary
OBJECTIVES
1. Identify weaknesses of existing software programs.
2. Conduct needs-assessment.
3. Work with IT to hold product demonstrations.
4. Work with IT to ensure all Field Staff are equipped with appropriate mobile devices.
5. Work with IT to fix data connectivity issue.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021148
FY 2019-20 Accomplishments
GOAL THREE • Worked with IT to ensure all Field Staff were equipped with
appropriate mobile devices.Review Data Accuracy Compared
to Actual Field Conditions
OTHER ACCOMPLISHMENTS
• Completed in-house projects by installing 2,500 linear feet
of new water main in six streets.
• Repaired 263 leaks.
• Installed infrastructure for North Fork ditch to meter switch
over.
• Completed year two of the leak survey, by collecting data
for the water audit.
• Increased employees’ level of Water Distribution and Class
B Driver’s License.
SIGNIFICANT CHANGES
Increased Contract Services 95% to cover survey of water mains
across the 210 freeway.
LEVELS OF SERVICE
The Water Maintenance Program has six KPI metrics that are
associated with the District’s Goals and Objectives of:
• Maximize Internal Capabilities through Ongoing Professional
Development (I-B)
• Advance Emergency Preparedness Efforts (III-A)
• Develop Projects and Programs to Ensure Safe and Reliable
Service (IV-A)
• Dedicate Effort towards System Maintenance and
Modernization (IV-C)
$2,919,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 149
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
I-B Number of Water Maintenance staff with D-3
certification or higher 5 6 6 5
III-A Annual equipment and safety training hours per
staff member 16 16 16 16
IV-A Number of gate valves exercised 1,200 1,200 1,400 0
IV-C Respond to, and assess, customer leak concerns
within reasonable time frame 98%95%95%100%
IV-C Number of main leaks repaired <70 85 85 78
IV-C Estimate of water losses from main leaks (MG)<10 MG 1 MG 1 MG 0.54 MG
PROGRAM BUDGET DETAIL
Field Maintenance
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 186,338 $ 189,000 $ 180,335 $ 200,000 $ 11,000 6%
5103 Overtime 1,370 20,000 24 2,000 (18,000)-90%
5104 Standby 22,652 20,000 23,410 20,000 - 0%
5200 Benefits 129,991 138,000 118,059 144,000 6,000 4%
OPERATING EXPENSES
6203 Office Supplies 720 3,000 1,467 3,000 - 0%
6303 Printing & Publishing - - - - - 0%
6307 Uniforms 2,665 1,000 1,879 1,000 - 0%
6402 Telephone 16,586 41,000 23,248 41,000 - 0%
6501 Memberships & Dues 1,390 2,000 858 2,000 - 0%
6502 Professional
Development 3,216 19,000 17,906 19,000 - 0%
6503 Education Assistance - - - - - 0%
6504 Meetings 1,795 2,000 2,843 2,000 - 0%
ADMINISTRATION TOTAL $ 366,723 $ 435,000 $ 370,029 $ 434,000 $ (1,000)0%
FISCAL YEAR BUDGET 2020-2021150
Water Maintenance
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 945,254 $ 957,000 $ 1,055,568 $ 1,012,000 $ 55,000 6%
5103 Overtime 218,474 130,000 240,883 219,000 89,000 68%
5200 Benefits 387,908 527,000 520,733 516,000 (11,000)-2%
OPERATING EXPENSES
6201 Materials & Supplies 219,772 280,000 343,765 280,000 - 0%
6202 Tools 12,790 21,000 40,310 21,000 - 0%
6301 Contract Services 75,542 37,000 97,832 72,000 35,000 95%
6307 Uniforms 14,891 40,000 27,909 40,000 - 0%
6310 Street Services 323,336 325,000 506,433 325,000 - 0%
6405 Permits 13,500 - 18,132 - - 0%
TRANSMISSION &
DISTRIBUTION TOTAL $ 2,211,467 $ 2,317,000 $ 2,851,565 $ 2,485,000 $ 168,000 7%
TOTAL WATER MAINTENANCE $ 2,578,190 $ 2,752,000 $ 3,221,594 $2,919,000 $ 167,000 6%
Cost estimates reflect the anticipated expenses for
accomplishing each program's day-to-day operational
tasks, special projects and overall program goals.
15
maintenanceWASTEWATER
More than 54 miles of sewer video monitoring was conducted in 2019.
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HUMAN RESOURCES
GOVERNING BOARD
GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Field Service Worker III 2
Field Service Worker II 2
Total Full Time 4
Wastewater Maintenance Maintains the
District’s Wastewater Conveyance System
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DIRECTOR OF ENGINEERING & OPERATIONS
Operations Manager
Field Service Worker III
PROGRAM STRUCTURE
Field Service Supervisor
Field Service Worker II
EAST VALLEY WATER DISTRICT 151
MaintenanceWASTEWATER
FUNCTION
Wastewater Maintenance is responsible for monitoring and helping ensure the free flow and containment of
wastewater through the District’s 220 miles of wastewater conveyance pipelines. The Wastewater Maintenance
program’s primary mission is to prevent wastewater spills and leaks.
01
Goals and Objectives
GOAL Continue Wastewater Collection
System Maintenance and Management
OBJECTIVES
1. Video inspect and assess all District mains between the northern and southern District boundaries,
and between Del Rosa and Victoria.
2. Clean a minimum of 110 miles of wastewater main.
02GOAL Implement Procedures to Enhance
Monitoring of High-Flow Sewer Mains
OBJECTIVES
1. Contract for video inspection of recently acquired East Trunk sewer main south of Baseline (33,000 feet)
2. Install flow sensors in manholes of five selected mains.
03GOAL Update staff training To Include
Enhanced Functions of New Equipment
OBJECTIVES
1. Train all field staff on the new vactor.
2. Train all field staff on lateral launcher and new CCTV truck.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021152
FY 2019-20 Accomplishments
GOAL ONE • Updated Sanitary Sewer Management Plan (SSMP).
• Cleaned 125 miles of sewer main and video inspected
52 miles of sewer main.
• Worked with contractor on numerous main and
lateral repairs.
Continue Wastewater Collection System
Maintenance and Management
GOAL TWO • Documented contributing factors of high maintenance
areas in preparation for the in-house FOG Program.
• Sent out letters to FOG generating businesses/customers.
Identify Operational Changes Needed to
Accommodate Planned Development within
the District
OTHER ACCOMPLISHMENTS • Started maintaining the East trunk sewer, formerly owned
by the City of San Bernardino.
SIGNIFICANT CHANGES
None.
LEVELS OF SERVICE
The Wastewater Maintenance Program has five KPI metrics
that are associated with the District’s Goals and Objectives of:
• Maximize Internal Capabilities through Ongoing
Professional Development (I-B)
• Develop Projects and Programs to Ensure Safe and
Reliable Service (IV-A)
• Dedicate Effort towards System Maintenance and
Modernization (IV-C)
$9,389,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 153
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
I-B Number of staff holding CWEA certifications 4 5 5 6
IV-A Miles of wastewater mains inspected by video 55 70 74 65
IV-A Category 1 Sanitary System Overflows
reportable to State Water Quality Control Board 0 0 0 0
IV-C Miles of wastewater mains jetted / cleaned 220 200 177 125
IV-C Spot repairs identified and completed 100%100%100%100%
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 201,992 $ 313,000 $ 262,205 $ 335,000 $ 22,000 7%
5103 Overtime 8,168 45,000 6,974 9,000 (36,000)-80%
5200 Benefits 101,066 173,000 148,188 176,000 3,000 2%
OPERATING EXPENSES
6201 Materials & Supplies 29,432 31,000 12,006 31,000 - 0%
6202 Tools 2,496 5,000 2,925 5,000 - 0%
6301 Contract Services 355,833 243,000 351,830 243,000 - 0%
6305 Treatment Services 8,592,950 8,665,000 7,932,758 8,586,000 (79,000)-1%
6307 Uniforms 1,520 4,000 2,078 4,000 - 0%
WASTEWATER
MAINTENANCE TOTAL $ 9,293,457 $9,479,000 $ 8,718,964 $ 9,389,000 $ (90,000)-1%
FISCAL YEAR BUDGET 2020-2021154
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15
maintenanceFACILITIES
East Valley Water District has set out to be a world class organization that
provides maximum benefits to the community.
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GENERAL ADMINISTRATION
PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Facilities Maintenance Coordinator 1
Facilities Maintenance Worker 1
Total Full Time 2
Facilities Maintenance Repairs
and Maintains All District Facilities
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DIRECTOR OF ENGINEERING & OPERATIONS
Operations Manager
Facilities Maintenance Coordinator
PROGRAM STRUCTURE
Water Production Supervisor
Facilities Maintenance Worker
EAST VALLEY WATER DISTRICT 155
MaintenanceFACILITIES
FUNCTION
Facilities Maintenance is responsible for the complete Maintenance and repair of all District Facilities, including
Administration Buildings, Water Facilities, District-owned vacant properties and easements.
01
Goals and Objectives
GOAL Complete Long-Term Site
Improvements for Plant 134
OBJECTIVES
1. Work with IT to complete security system and digital access at Plant 134.
2. Remodel laboratory at Plant 134 to include restroom, flooring and cabinetry.
02GOAL Complete Systematic Upgrades and
Rehabilitation of District Facilities
OBJECTIVES
1. Develop a comprehensive site improvement project list.
2. Replace Fence and repair asphalt driveway at Plant 34 and 141.
3. Paint existing building at Plant 33.
4. Complete upgrades on HVAC systems at Plants 129 and 142.
03GOAL Develop a Facilities Maintenance Program to Track and
Anticipate Future Costs Associated with All District Facilities
OBJECTIVES
1. Work with IT and other Program/Department stakeholders in selecting an asset management program that suits
maintenance program needs.
2. Complete incorporating facilities data into selected Facilities Maintenance Program.
3. Implement a consistent tracking program and help provide training to staff.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021156
FY 2019-20 Accomplishments
GOAL ONE
• Completed security fence upgrade at Plant 134.Implement a Long-Term Site
Improvement Plan for Plant 134
GOAL THREE
Complete Systematic Upgrades and
Rehabilitation of District Facilities
• Completed the following HQ security upgrades: access
card readers entering the Board room and break room;
installed emergency exit gate in the demonstration garden.
• Installed new HVAC systems and upgraded to LED lights at
Plants 99, 33, 24, 11, 127, and 149.
• Upgraded to LED lights at HQ.
• Installed new metal doors at Plants 11, 39 and 33.
• Replaced the booster house roof at Plant 129.
• Slurry seal and striping of HQ parking lot.
OTHER ACCOMPLISHMENTS • Assisted with demolition of the Cherokee house on
6th Street to expand the SNRC to the east.
SIGNIFICANT CHANGES
None.
LEVELS OF SERVICE
The Facilities Maintenance Program has four KPI metrics that
are associated with the District’s Goals and Objectives of:
• Dedicate Efforts Toward System Maintenance and
Modernization (IV-C)
• Identify Opportunities to Optimize Natural Resources (I-A)
$1,022,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 157
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
IV-C Close all service work orders timely <30 Days <30 Days <30 Days <30 Days
IV-C Reduce the number of reworks on service work
orders <10%N/A N/A N/A
IV-C Ensure preventative maintenance is completed
on time 100%100%100%100%
I-A Reduce energy consumption for each facility site >20%25%30%60%
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 144,697 $ 160,000 $ 158,137 $ 168,000 $ 8,000 5%
5103 Overtime 20,181 15,000 21,797 22,000 7,000 47%
5200 Benefits 75,044 93,000 95,487 102,000 9,000 10%
ADMINISTRATION OPERATING EXPENSES
6201 Materials & Supplies 59,320 40,000 71,703 40,000 - 0%
6202 Tools 2,517 2,000 107 2,000 - 0%
6301 Contract Services 84,572 37,000 63,178 37,000 - 0%
6306 Rents & Leases 32,245 15,000 28,022 15,000 - 0%
6307 Uniforms 2,578 1,000 5,582 11,000 10,000 1,000%
6311 Landscape Services 106,024 56,000 82,767 56,000 - 0%
6312 Janitorial Services 106,928 132,000 130,182 132,000 - 0%
6313 Facilities Repair - - - - - 0%
6401 Utilities 27,183 24,000 22,576 14,000 (10,000)-42%
6402 Telephone 15,985 70,000 16,786 70,000 - 0%
6403 Electricity 90,403 120,000 84,831 120,000 - 0%
6403 Professional
Development - 1,000 47 1,000 - 0%
SOURCE OF SUPPLY/WELLS OPERATING EXPENSES
6201 Materials & Supplies 3,103 3,000 3,000 3,000 - 0%
6301 Contract Services 70,851 11,000 11,000 11,000 - 0%
6311 Landscape Services $ - $ 40,000 $ 40,000 $ 40,000 $ - 0%
Continued on next page
FISCAL YEAR BUDGET 2020-2021158
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PUMPS AND BOOSTERS OPERATING EXPENSES
6201 Materials & Supplies $ 2,083 $ 3,000 $ 3,000 $ 3,000 - 0%
6301 Contract Services 8,630 6,000 6,000 6,000 - 0%
6311 Landscape Services 29,812 35,000 35,000 35,000 - 0%
TREATMENT OPERATING EXPENSES
6201 Materials & Supplies 4,055 8,000 8,000 8,000 - 0%
6301 Contract Services 30,604 102,000 102,000 102,000 - 0%
6311 Landscape Services 24,097 14,000 14,000 14,000 - 0%
6401 Utilities 1,265 10,000 10,000 10,000 - 0%
FACILITIES
MAINTENANCE TOTAL $ 942,177 $ 998,000 $ 1,013,202 $ 1,022,000 $ 24,000 2%
Unique key performance indicators are
utilized as a quantitative measure.
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maintenanceFLEET
The District maintains XX vehicles for safe and operable use.
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PUBLIC AFFAIRS
CONSERVATION
FINANCE & ACCOUNTING
INFORMATION TECHNOLOGY
CUSTOMER SERVICE
METER SERVICES
ENGINEERING
WATER PRODUCTION
WATER TREATMENT
WATER QUALITY
WATER MAINTENANCE
WASTEWATER MAINTENANCE
FACILITIES MAINTENANCE
FLEET MAINTENANCE
PROGRAM PERSONNEL
Equipment Mechanic III 1
Total Full Time 1
Fleet Maintenance is Responsible for Care of
the District’s Vehicles and Heavy Equipment
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DIRECTOR OF ENGINEERING & OPERATIONS
Operations Manager
PROGRAM STRUCTURE
Field Service Supervisor
Equipment Mechanic III
EAST VALLEY WATER DISTRICT 159
MaintenanceFLEET
FUNCTION
Fleet Maintenance is responsible for preventative maintenance and repairs of the District’s vehicles and heavy
equipment. Staff is responsible for ensuring air quality regulations, vehicle registration and transportation requirements.
01
Goals and Objectives
GOAL Remain Current on Air Quality and
Highway Safety Regulations
OBJECTIVES
1. Continue quarterly inspections with air quality consultant for Air Quality Management District (AQMD) and
California Air Resources Board (CARB).
2. Schedule semi-annual-site employee safety training for vehicles and equipment.
3. Transmit emissions data to the Bureau of Automotive Repair using new Network Fleet devices.
02GOAL Enhance Vendor-Managed
Fleet Maintenance Program
OBJECTIVES
1. Work with IT to utilize vendor reporting capabilities.
2. Work with vendor to refine list of pre-approved work in order to mitigate delays on safety repairs.
3. Contract with vendor to provide detailing for specialized equipment.
PROGRAM SUMMARIES
FISCAL YEAR BUDGET 2020-2021160
FY 2019-20 Accomplishments
GOAL ONE
Comply with Current Air Quality
and Highway Safety Regulations
• Contracted with air quality consultant for AQMD and CARB.
• Scheduled semi-annual on-site employee safety training for
vehicles and equipment.
• Transmitted emissions data to the Bureau of Automotive
Repair using new Network Fleet devices.
GOAL TWO • Added three additional generators to support Production
with Edison shutdowns and enhance emergency
preparedness.
Continue Enhancement of Emergency
Response Capabilities
GOAL THREE
Transition Fleet Management Program
• Purchased new sewer jetting truck to support
wastewater crews.
• Added skid steer and trailer to support field staff with in-
house water main projects.
• Purchased three new trucks; one is a mid-size dump truck
to move generators.
SIGNIFICANT CHANGES
None.
LEVELS OF SERVICE
The Fleet Maintenance Program has three KPI metrics that
are associated with the District’s Goals and Objectives of:
• Develop Projects and Programs to Ensure Safe and
Reliable Services (IV-A)
• Dedicate Efforts toward System Maintenance and
Modernization (IV-C)
$500,000
PROGRAM
BUDGET ALLOCATION
EAST VALLEY WATER DISTRICT 161
PROGRAM SUMMARIES
The program’s performance related to these metrics are included in the following table.
KEY PERFORMANCE INDICATORS CHANGES
Agency
Goal Key Performance Indicator Target FY 2017-18 FY 2018-19 FY 2019-20
IV-A Ensure vehicles and equipment are evaluated
and replaced on schedule
80% of Net
Asset Value 100%100%100%
IV-C Percent of vehicles pass annual D.O.T. inspection 100%100%100%100%
IV-A Number of vehicle/equipment units replaced 4 4 4 4
PROGRAM BUDGET DETAIL
FY 2018-19
Actuals
FY 2019-20
Budget
FY 2019-20
Projected
FY 2020-21
Proposed
Amount
Changed
%
Changed
PERSONNEL EXPENSES
5101 Regular Labor $ 82,475 $ 84,000 $ 80,522 $ 90,000 $ 6,000 7%
5103 Overtime 2,093 3,000 1,567 3,000 - 0%
5200 Benefits 43,718 53,000 46,829 61,000 8,000 15%
OPERATING EXPENSES
6201 Materials & Supplies 80,917 30,000 68,050 30,000 - 0%
6202 Tools 6,316 5,000 10,719 5,000 - 0%
6203 Office Supplies 555 1,000 106 1,000 - 0%
6301 Contract Services 294,102 180,000 189,165 180,000 - 0%
6307 Uniforms 849 - 1,058 - - 0%
6402 Telephone 588 1,000 346 1,000 - 0%
6404 Fuel 120,557 125,000 134,936 125,000 - 0%
6501 Memberships & Dues - 3,000 - 3,000 - 0%
6502 Professional
Development - 1,000 - 1,000 - 0%
FLEET MAINTENANCE TOTAL $ 632,170 $ 486,000 $ 533,298 $ 500,000 $ 14,000 3%
FISCAL YEAR BUDGET 2020-2021162
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budgetCAPITAL
LEADERSHIP | PARTNERSHIP | STEWARDSHIP
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CAPITAL EXPENDITURES
CAPITAL IMPROVEMENT PROJECTS
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Each year, the Governing Board
identifies District-wide goals to serve
as clear direction consistent with the
Agency Ideals and Endeavors.
ACCOMPLISHMENTS
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EAST VALLEY WATER DISTRICT
ExpendituresCapital
The two types of capital expenditures are, 1) routine purchases and replacement of assets, referred to as Capital Outlay,
and 2) non-routine construction project expenditures that are part of the District’s Capital Improvement Program.
EAST VALLEY WATER DISTRICT INCLUDES TWO TYPES
OF CAPITAL EXPENDITURES IN ITS CAPITAL BUDGET.
The District’s 2020-21 Capital Budget contains $86,995,000 in total capital expenditures. Of this amount, $1,630,000
are Capital Outlay, which typically include requests to replace vehicles, computer and office equipment, and to
conduct infrastructure planning and rate studies. The remaining proposed capital expenditures of $85,365,000 are
current year (Year 1) costs pertaining to projects shown in the District’s Capital Improvement Program, presented in
greater detail in the remainder of this section.
A summary of the proposed FY 2020-21 Capital Budget is shown on the following table.
CAPITAL BUDGET
CAPITAL EXPENDITURES SUMMARY
Capital Improvement Program Capital Outlay (Routine)
Computer Hardware / Software $ 240,000 AMI Meter Replacement Program $ 450,000
Storage Tank Mixers 40,000 Plant 134 Process Improvements 1,000,000
Wastewater Cost of Service Analysis 50,000 Plant 134 Site Improvements 600,000
Server Room Exhaust Fan 20,000 Plant 134 Membrane Replacement 350,000
Regional UWMP / SAR Watershed Survey 100,000 Storage Tank / Reservoir Rehabilitation 600,000
SCADA Master Plan / Radio Upgrades 200,000 Plant 120 - Forebay Repair/Upgrade SCADA 100,000
Upgrade HVAC at Various Plants 30,000 Plant 101 - Rehab Hydro System 100,000
Backhoe / Trailer Jetter / Asphalt Grinder 275,000 East Side Surface Water Treatment Plant 175,000
CCTV Truck 250,000 Water Main Replacement
Mirada & 14 Streets 200,000
Service Trucks, Crew Truck 375,000 General Facilities Rehab / Relocation 345,000
Sewer Overflow Sensors 50,000 Well & Booster Improvements 50,000
Wastewater Main Rehabilitations 200,000
SNRC Water Recycling Plant 81,195,000
TOTAL CIP EXPENDITURES $ 1,630,000 TOTAL CAPITAL OUTLAY $85,365,000
FISCAL YEAR BUDGET 2020-2021164
CAPITAL OUTLAY
The District defines capital outlay expenditures as an individually significant acquisition of capital assets (not involving
construction) that have expected useful lives of more than two years and have a cost of $5,000 or more. This threshold
is applied at the individual asset level.
Each year as part of the budget process the District’s Program Managers and Supervisors compile and submit a list of
capital outlay requests for consideration. The requests are reviewed and prioritized by the Finance department based
on the assessment of need, and the amount of funding available. Funding for capital outlay is paid out of the operating
revenue from the fund (water or wastewater) that will benefit from use of the capital item. Items that benefit both the
water and wastewater funds are allocated accordingly.
FY 2020-21 Capital Outlay
Water WasteWater Total
FUNDED BY OPERATING REVENUE
Wastewater Cost of Service Analysis $ - $ 50,000 $ 50,000
Hardware Replacements (Servers/Laptops) 50,000 8,000 58,000
vSphere Enterprise Plus 56,000 14,000 70,000
Server Chassis & Switches 66,000 14,000 80,000
Microsoft Server Licensing 32,000 - 32,000
Server Room Exhaust Fan 16,000 4,000 20,000
HVAC Upgrades (Plants 56,59,129) 30,000 - 30,000
Regional Urban Water Master Plan 50,000 - 50,000
Santa Ana River Watershed Survey 50,000 - 50,000
SCADA Master Plan 150,000 - 150,000
SCADA Radio Upgrades 50,000 - 50,000
Tank Mixers - Plant 129 40,000 - 40,000
Asphalt Grinding Tool 25,000 - 25,000
Sewer Overflow Sensors - 50,000 50,000
Trailer Mounted Jetter for Manholes - 50,000 50,000
CCTV Truck - 250,000 250,000
Backhoe 160,000 40,000 200,000
Crew Truck 150,000 - 150,000
Light Duty Trucks 225,000 - 225,000
SUBTOTAL 1,150,000 480,000 1,630,000
TOTAL CAPITAL OUTLAY
CAPITAL IMPROVEMENT PROGRAM (CIP)
The District’s Capital Improvement Program (CIP) is a 5-year planning schedule with the first year (Year 1) adopted as
part of the Capital Budget for the upcoming fiscal year. A project included in the District’s CIP is an individually significant
construction project with a cost of more than $25,000, and either creates a new capital asset, improves an existing asset
(increases its service capacity, etc.), or significantly extends an asset’s expected useful life.
EAST VALLEY WATER DISTRICT 165
CAPITAL BUDGET
The Engineering Department is responsible for maintaining the District’s Capital Improvement Program and consults
various sources for project planning. The primary sources for these planning efforts are the District’s Water Master
Plan and Wastewater Collection System Master Plan - both were updated during the 2018-19 fiscal year. The Master
Plans identify the infrastructure improvements needed to serve a growing population. In addition, each project being
considered must meet one or more of the following criteria:
• Preservation of public health and water quality.
• Improvements required as a result of local, state or federal legislation/mandates.
• Reduction of current maintenance expenditures and avoidance of costly future rehabilitation.
• Preservation of existing facilities/infrastructure.
• Positive impacts on customers.
• External funding (grant/debt proceeds) has been secured for specific project
For FY 2020-21, the East Valley Water District has proposed the use of operating revenue, reserves, and a loan from
the California Department of Water Resources to fund current year phases of CIP projects for $85,365,000 – total
project costs for the projects in process are approximately $155 million over the next five years. Projects funded for
the current year include:
• Automated Metering Infrastructure – this project
involving several phases to replace all District
water meters with automated metering technology,
is near completion. All AMI meters needed have
been purchased. The FY 2020-21 budget includes
$450,000 to install the remaining meters. This
project will be paid out of operating revenue.
• Plant 134 Improvements and Membrane
Replacement – three separate projects will be
used to 1) enhance security and communications,
2) assess treatment options for source water quality
issues and enhance sludge removal processes, and
3) continue the phased replacement of treatment
modules at the District’s surface water treatment
plant. Current year budgeted costs are $1,600,000
to be paid out of water fund operating revenue
and State Revolving Fund grants and/or loans, if
approved.
• East-Side Surface Water Treatment Plant – this
project is proposed to add operational efficiency,
flexibility and redundancy to the District’s water
production and distribution system. Current year
budgeted costs for a preliminary design report are
$175,000 to be paid out of water operating revenue.
• Storage Tank Rehabilitation – involves systematic
rehabilitation of existing tanks in order to ensure
their dependability and years of future service.
Current year costs are $600,000 to be paid out of
water operating revenue.
• Water Main Replacements – the District has
scheduled the replacement of approximately 750
linear feet of a main that is undersized. Planned
expenditures during FY 2020-21 on these mains
are $200,000, to be funded by water operating
revenue.
• Wastewater Main Replacements – the District
has scheduled the rehabilitation of a sewer main
pipeline, rated as high priority due to the number
of structural defects noted during video logging of
the pipeline. Planned expenditures during FY 2019-
20 on these mains are $200,000, to be funded by
wastewater operating revenue.
• General Facilities Rehabilitation/Relocation –
these line items involve various projects such as
security upgrades, and improving the aesthetics of
buildings at plant sites; it also provides a budget for
relocating facilities in conjunction with City street
or storm drain improvement projects. Planned
expenditures for FY 2019-20 are $225,000 to be
funded by water operating revenue.
• Sterling Natural Resource Center Water Recycling
Facility – this project will capture and treat District
wastewater flows at an elevation high enough to
recharge the Bunker Hill Groundwater basin, rather
than releasing treated water into the Santa Ana
River for use downstream. Planned expenditures
in FY 2019-20 are $60,000,000, funded by State
Revolving Fund grants and low interest loans.
FISCAL YEAR BUDGET 2020-2021166
Capital Impact
Annual Impact on
Operations Nature of Impact
AMI Replacement Program $ 56,000 Increased Software maintenance and telecommunications costs
AMI Replacement Program (200,000)Decreased labor / equipment for meter reading
Plant 134 Treatment Modifications 30,000 Increased Power Costs
Plant 134 Treatment Modifications 50,000 Increased Filter Media Cost
SNRC Water Recycling Plant (5,080,000) New revenue sources (tipping fees, power sales, recycled water)
SNRC Water Recycling Plant (8,650,000) Decrease Contracted Treatment
SNRC Water Recycling Plant 1,200,000 Increased labor costs
SNRC Water Recycling Plant 1,010,000 Increased materials & consumables
SNRC Water Recycling Plant 2,450,000 Increased contract services
SNRC Water Recycling Plant 520,000 Increased other costs
TOTAL CIP EXPENDITURES $ (8,614,000)
The following pages include the District current Capital Improvement Program, a summary of project funding, and
detailed descriptions of each project.
Impact Of Capital Improvement Program Project Investments On Operating Budgets
A large majority of the FY 2020-21 proposed Capital Budget of $86,995,000 is funded by proceeds of a low interest
loan from the California State Water Resources Control Board for construction of the Sterling Natural Resources Center.
However, most projects in the Capital Improvement Program are funded by contributions from the current year operating
budget. For FY 2020-21, water operations will contribute $3,070,000 to CIP, and wastewater operations will contribute
$395,000. These amounts remain consistent year after year, but can fluctuate based on Capital Outlay requests, which
are also funded by operations.
The capital projects described in this section will have varying impacts on future operating expenses, both in increased
costs and cost savings, and with the Sterling Natural Resource Center (SNRC), new revenue streams. Proposed treatment
processes at the Districts surface water treatment plant (Plant 134) will allow the District to run the plant at higher capacity
and more fully utilize hydroelectric generation equipment and reduce power costs. New water storage reservoirs will
result in energy cost savings as they give the District the operational flexibility to pump water during off-peak hours and
take advantage of lower energy rates.
The SNRC will result in a major shift of costs, from contracted treatment services, to costs associated with owning and
operating a District facility such as labor, materials, contract services, and other operating costs. At the same time, the
inclusion of solid waste digesters at the facility will allow the District to tap into other revenue streams such as solid waste
carrier tipping fees, energy sales, and recycled water revenue. Not included here, but discussed in the Debt section of
this document, is a significant increase in debt service related to the SNRC.
The following schedule provides an estimate of the effect of capital expenditures on future operations:
EAST VALLEY WATER DISTRICT 167
CAPITAL BUDGET
CIP FIVE YEAR PROGRAM SCHEDULE (FY 2021-25)
Year 1
FY 2020-21
Year 2
FY 2021-22
Year 3
FY 2022-23
Year 4
FY 2023-24
Year 5
FY 2024-25 Project Total
GENERAL
Habitat Conservation Plan $ - $ 310,000 $ 384,000 $ 383,000 $ - $ 1,077,000
AMI Meter
Replacement Program 450,000 - - - - 450,000
GENERAL SUBTOTAL 450,000 310,000 384,000 383,000 - 1,527,000
WATER
Canal Zone Storage
Reservoir (Pending Highland
Hills and Mediterra)
- - 1,100,000 1,100,000 1,100,000 3,300,000
Transmission Main
Plant 134 to Canal Zone - - - - 500,000 500,000
Plant 134 Process
Improvements 900,000 1,300,000 1,500,000 - - 3,700,000
Plant 134 Sludge
Management 100,000 700,000 - - - 800,000
Plant 134 Site Improvements 600,000 - - - - 600,000
Plant 134 Membrane
Replacement/Valves 350,000 250,000 - - - 600,000
Plant 108 Tank/Reservoir
Rehabilitation 600,000 700,000 650,000 900,000 650,000 3,500,000
Plant 120 Forebay
Repair/SCADA Installation 100,000 - - - - 100,000
Plant 101
Rehabilitate Hydro System 100,000 300,000 - - - 400,000
Highland Hills (CFD 2020-1) - - - - - -
East Surface Water
Treatment Plant 175,000 6,000,000 6,000,000 6,000,000 - 18,175,000
Water Mains
Mirada & 14th Streets 200,000 - - - - 200,000
Water Mains Dwight &
Glasgow - 800,000 800,000 800,000 - 2,400,000
Water Mains Fisher &
Stratford - - - - 920,000 920,000
Facility Relocations 100,000 100,000 100,000 100,000 100,000 500,000
Facility Rehabilitations
Plant 34 245,000 75,000 75,000 75,000 75,000 545,000
Well & Booster
Improvements/
Rehabilitations
50,000 50,000 50,000 50,000 50,000 250,000
WATER SUBTOTAL $ 3,520,000 $ 10,275,000 $ 10,275,000 $ 9,025,000 $ 3,395,000 $ 36,490,000
FISCAL YEAR BUDGET 2020-2021168
Year 1
FY 2020-21
Year 2
FY 2021-22
Year 3
FY 2022-23
Year 4
FY 2023-24
Year 5
FY 2024-25 Project Total
WASTEWATER
Wastewater Main
Rehabilitation Projects
Lillian Lane & 11th Street
$ 200,000 $ 350,000 $ 350,000 $ 350,000 $ 350,000 $ 1,600,000
SNRC Compliance, Mgt 195,000 60,000 - - - 255,000
SNRC 75,500,000 34,493,764 - - - 109,993,764
SNRC Del Rosa Drive
Trunk Wastewater 5,500,000 - - - - 5,500,000
WASTEWATER SUBTOTAL 81,395,000 34,903,764 350,000 350,000 350,000 117,348,764
TOTAL $ 85,365,000 $ 45,488,764 $ 11,009,000 $ 9,758,000 $ 3,745,000 $ 155,365,764
CIP FIVE YEAR FUNDING SCHEDULE (FY 2021-25)
Year 1
FY 2020-21
Year 2
FY 2021-22
Year 3
FY 2022-23
Year 4
FY 2023-24
Year 5
FY 2024-25 Project Total
Water Operating Revenue $ 3,070,000 $ 3,035,000 $ 3,159,000 $ 3,408,000 $ 3,395,000 $ 16,067,000
Water Replacement Reserve - 250,000 - - - 250,000
Water Capacity Fees - - - - - -
Water Revenue Bonds/SRF 900,000 7,300,000 7,500,000 6,000,000 - 21,700,000
Wastewater Operating
Revenue 395,000 410,000 350,000 350,000 350,000 1,855,000
Wastewater Replacement
Reserve - - - - - -
Wastewater Capacity Fees - - - - - -
Wastewater Revenue Bonds - - - - - -
Grants / Loans 81,000,000 34,493,764 - - - 115,493,764
TOTAL $ 85,365,000 $ 45,488,764 $ 11,009,000 $ 9,758,000 $ 3,745,000 $ 155,365,764
EAST VALLEY WATER DISTRICT 169
CAPITAL BUDGET
CIP FY 2020-21 PROPOSED FUNDING
Water
Operating
Revenue
Wastewater
Operating
Revenue
Replacement
Reserves
Grants/ Loans
Other Fund Developer Fees Project Total
GENERAL
Habitat Conservation Plan $ - $ - $ - $ - $ - $ -
AMI Meter Retrofit Program 450,000 - - - - 450,000
GENERAL SUBTOTAL 450,000 - - - - 450,000
WATER
Canal Zone Storage
Reservoir (Pending Highland
Hills and Mediterra)
-
Transmission Main
Plant 134 to Canal Zone -
Plant 134 Process
Improvements 100,000 - - 900,000 - 1,000,000
Plant 134 Sludge
Management - - - - - -
Plant 134 Site Improvements 600,000 - - - - 600,000
Plant 134 Membrane
Replacement/Valves 350,000 - - - - 350,000
Plant 108 Tank/Reservoir
Rehabilitation 600,000 - - - - 600,000
Plant 120 Forebay
Repair/SCADA Installation 100,000 - - - - 100,000
Plant 101
Rehabilitate Hydro System 100,000 - - - - 100,000
Highland Hills (CFD 2020-1) - - - - -
East Surface Water
Treatment Plant 175,000 - - - - 175,000
Water Mains
Mirada & 14th Streets 200,000 - - - - 200,000
Water Mains Dwight &
Glasgow - - - - - -
Water Mains Fisher &
Stratford - - - - - -
Facility Relocations 100,000 - - - - 100,000
Facility Rehabilitations
Plant 34 245,000 - - - - 245,000
Well & Booster
Improvements/
Rehabilitations
50,000 - - - 50,000
WATER SUBTOTAL $ 2,620,000 $ - $ - $ 900,000 $ - $ 3,520,000
FISCAL YEAR BUDGET 2020-2021170
Water
Operating
Revenue
Wastewater
Operating
Revenue
Replacement
Reserves
Grants/ Loans
Other Fund Developer Fees Project Total
WASTEWATER
Wastewater Main
Rehabilitation Projects
Lillian Lane & 11th Street
$ - $ 200,000 $ - $ - $ - $ 200,000
SNRC Compliance, Mgt - 195,000 - - - 195,000
SNRC - - - 81,000,000 - 81,000,000
SNRC Del Rosa Drive
Trunk Wastewater - - - - - -
WASTEWATER SUBTOTAL - 395,000 - 81,000,000 - 81,395,000
TOTAL $ 3,070,000 $ 395,000 $ - $ 81,900,000 $ - $ 85,365,000
The District's long-term planning efforts have always
included consideration of the age, condition, and efficiency
of infrastructure used to deliver services to its customers.
projectsCAPITAL IMPROVEMENT
CI
P
P
R
O
J
E
C
T
S
15
Capital planning involves identifying current and future needs and
prioritizing them through an assessment process.
PLANT 134 PROCESS IMPROVEMENTS (THMS AND SLUDGE MANAGEMENT)
AMI METER REPLACEMENT PROGRAM
PLANT 134 SITE IMPROVEMENTS
PLANT 134 TREATMENT MEMBRANE REPLACEMENT PHASE 4
TANK / RESERVOIR REHABILITATION
PLANT 120 REACTIVATION
PLANT 101 HYDRO TANK REHABILITATION
FACILITY RELOCATIONS
FACILITY REHABILITATIONS
WELL & BOOSTER IMPROVEMENTS/REHABILITATIONS
With so many critical projects
underway, the District continues
to partner with other agencies in
an effort to support our community
and maximize resources.
16
MIRADA & 14TH STREETS WATER MAIN REPLACEMENTS
LILLIAN & 11TH STREETS WASTEWATER MAIN REHABILITATION
STERLING NATURAL RESOURCE CENTER
EAST VALLEY WATER DISTRICT 171
AMI Meter
PROJECT DESCRIPTION
This project consists of updating manual read meters throughout the District with Advanced Metering Infrastructure
(AMI) hardware, software, and meters. Phases 1 through 5 of this project replaced 15,404 meters. Phases 6 and 7 were
included in the CIP for the next two years. However, in February 2020 the District Board approved the purchase of the
remaining meters needed to complete the AMI program during FY 2019-20, leaving only the installation costs for the
remaining meters to the FY 2020-21 budget. As a result, $450,000 is budgeted for installation of the remaining 4,891
which will complete the AMI Meter Replacement program.
Implementation of the AMI infrastructure will provide customers and District staff the ability to monitor water usage,
and to receive ‘leak alerts’ when customer usage is outside of a normal range.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
This project will reduce staffing and equipment costs
required to collect manual reads of meters. Meter
reading staff and equipment, with an annual cost of
approximately $100,000, will be reassigned to other
District programs, mitigating the need to fill vacant
positions in those programs from external sources.
DEBT SERVICE
N/A
MAINTENANCE
Annual maintenance costs for AMI software and
hardware will be $50,000.
UTILITIES
Minimal increase in annual telecommunication
costs of $5,400.
Project Type
Replacement Water Distribution
Location
All service connections throughout the District
Project Manager
Engineering/Information Technology
Total Project Cost
$7,468,156
Prior Years Budget
$7,018,156
Start Date
July 2016
Estimated Completion
June 2021
Capital Requests
Previously Programmed Project
CAPITAL BUDGET
REPLACEMENT PROGRAM
FISCAL YEAR BUDGET 2020-2021172
AMI Meter Replacement Program
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - $ - $ -
Land and Land Preparation - - - - - -
Construction (Contract) 450,000 - - - - 450,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal)- - - - - -
ANNUAL TOTAL $ 450,000 $ - $ - $ - $ - $ 450,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 450,000 $ - $ - $ - $ - $ 450,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 450,000 $ - $ - $ - $ - $ 450,000
EAST VALLEY WATER DISTRICT 173
CAPITAL BUDGET
PROJECT DESCRIPTION
Plant 134 is the District’s only surface water treatment plant and is the primary source for delivering water to three
of the District’s higher elevation pressure zones. The organic content of source water treated at Plant 134 (i.e., water
from the Santa Ana River and State Water Project) varies due to seasonal and other effects. When the organic content
in the water is high, it interacts with chlorine added during treatment processes, and the by-product Trihalomethane
(THM) can reach unacceptable levels leading to water quality concerns. Pilot studies have determined that installation
of a Granular Activated Carbon (GAC) filter will remove organics and mitigate the possibility of high THM levels. The
estimated cost of the GAC system is $3.7 million.
During the same period, the District will explore methods for disposal of higher levels of sludge removed from surface
water, which has increased due to the conversion to membrane filtration and the expansion of Plant 134 capacity from
4 to 8 million gallons per day. The estimated cost to increase sludge management capacity is $800,000.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
This District has applied for a 0% loan form the State
Water Resources Control Board State Revolving Fund
to finance the GAC filtration system. Annual debt
service on the estimated project cost of $3.7 million
would be $124,000.
MAINTENANCE
The installation of GAC filters would increase
maintenance costs by approximately $50,000 annually
for replacement of filter media.
UTILITIES
An additional treatment process will increase power
costs by approximately $30,000 annually.
Project Type
Water
Location
Treatment Plant 134
4588 Highland Avenue, Highland, CA
Project Manager
Operations
Total Project Cost
$4,500,000
Prior Years Budget
N/A
Start Date
July 2019
Estimated Completion
June 2022
Capital Requests
New Project
Plant 134 Process
IMPROVEMENTS (THMS AND SLUDGE MANAGEMENT)
FISCAL YEAR BUDGET 2020-2021174
Plant 134 Process Improvements (THMs and Sludge Management)
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ 200,000 $ - $ - $ - $ - $ 200,000
Land and Land Preparation - - - - - -
Construction (Contract) 800,000 2,000,000 1,500,000 - - 4,300,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal) - - - - - -
ANNUAL TOTAL $ 1,000,000 $2,000,000 $ 1,500,000 $ - $ - $4,500,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 100,000 $ 700,000 $ - $ - $ - $ 800,000
Replacement Reserve - - - - -
Grants/Loans 900,000 1,300,000 1,500,000 - - 3,700,000
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 1,000,000 $ 2,000,000 $ 1,500,000 $ - $ - $ 4,500,000
EAST VALLEY WATER DISTRICT 175
PROJECT DESCRIPTION
Plant 134 is the District’s only surface water treatment plant and its security and communications reliability are a primary
objective. In fiscal year 2018-19, the District contracted to significantly upgrade the plants perimeter fencing. In fiscal
year 2020-21 the District will contract for installation of fiberoptic cable to replace wireless connections currently at the
Plant, upgrade video cameras, and upgrade digital access to the plant. In addition, the workspace for plant operators
will be remodeled.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
The installation of GAC filters would increase
maintenance costs by approximately $50,000 annually
for replacement of filter media.
UTILITIES
An additional treatment process will increase power
costs by approximately $30,000 annually.
Project Type
Water
Location
Treatment Plant 134
4588 Highland Avenue, Highland, CA
Project Manager
Operations
Total Project Cost
$1,150,000
Prior Years Budget
N/A
Start Date
July 2019
Estimated Completion
TBD
Capital Requests
New Project
CAPITAL BUDGET
Plant 134
SITE IMPROVEMENTS
FISCAL YEAR BUDGET 2020-2021176
Plant 134 Site Improvements
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - $ - $ -
Land and Land Preparation - - - - - -
Construction (Contract)600,000 - - - - 600,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal)- - - - - -
ANNUAL TOTAL $ 600,000 $ - $ - $ - $ - $ 600,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 600,000 $ - $ - $ - $ - $ 600,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 600,000 $ - $ - $ - $ - $ 600,000
EAST VALLEY WATER DISTRICT 177
PROJECT DESCRIPTION
Plant 134 has five treatment trains that consist of 180 membrane filters per train. The manufacturer of the filters
recommends replacing the filter every 5 to 7 years. In fiscal year 2017-18 staff replaced one full train with new filters
which drastically reduced staff time in making membrane repairs. Two more full trains of membranes were replaced
in each of the two succeeding years. In fiscal year 2020-21, staff plans to replace a fourth full train of filters, and also
this year to include replacement of air actuated valves that control the trains and permeate pumps.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
N/A
UTILITIES
N/A
Project Type
Water
Location
Treatment Plant 134
4588 Highland Avenue, Highland, CA
Project Manager
Water Treatment
Total Project Cost
$993,577.55
Prior Years Budget
$750,000.00
Start Date
January 2018
Estimated Completion
February 2023
Capital Requests
On-going Project
CAPITAL BUDGET
Plant 134 Treatment
MEMBRANE REPLACEMENT PHASE 4
FISCAL YEAR BUDGET 2020-2021178
Plant 134 Treatment Membrane Replacement Phase 4
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - $ - $ -
Land and Land Preparation - - - - - -
Construction (Contract) - - - - - -
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials 350,000 250,000 - - - 600,000
EVWD Labor - - - - - -
Other (Legal)- - - - - -
ANNUAL TOTAL $ 350,000 $ 250,000 $ - $ - $ - $ 600,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 350,000 $ - $ - $ - $ - $ 350,000
Replacement Reserve - 250,000 - - - 250,000
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 350,000 $ 250,000 $ - $ - $ - $ 600,000
EAST VALLEY WATER DISTRICT 179
PROJECT DESCRIPTION
The District has completed a comprehensive, multi-year water tank inspection program and received an engineering
report identifying and prioritizing tank rehabilitation projects. Many of the projects present significant challenges
where there is no redundant storage capacity, limiting projects to certain times of year when demand for water is low,
and requiring alternate methods for distributions of water to sections of the affected service area.
The District has pre-qualified a list of three contractors to provide bids as the reservoir/plant to be rehabilitated in the
upcoming year has been identified. In October 2019, the District awarded a contract to Crosno Construction for the
rehabilitations of Tank 39-1; that project was completed in May 2020. For FY 2020-21, the District will receive bids and
enter into a contract for the rehabilitation of the tank at Plant 108, a 2MG reservoir serving the District’s Foothill zone.
The preliminary estimated cost for this project is $600,000.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
N/A
UTILITIES
N/A
Project Type
Water Replacement / Rehabilitation Project
Location
29572 Crest View Lane, Highland, CA
Project Manager
Engineering
Total Project Cost
$600,000
Prior Years Budget
N/A
Start Date
December 2020
Estimated Completion
April 2021
Capital Requests
New Project
Tank / Reservoir
REHABILITATION
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021180
Tank/Reservoir Rehabilitation
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ 45,000 $ 60,000 $ 50,000 $ 60,000 $ 15,000 $ 230,000
Land and Land Preparation - - - - - -
Construction (Contract) 550,000 630,000 590,000 830,000 630,000 3,230,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials 5,000 10,000 10,000 10,000 5,000 40,000
EVWD Labor - - - - - -
Other (Legal) - - - - - -
ANNUAL TOTAL $ 600,000 $ 700,000 $ 650,000 $ 900,000 $ 650,000 $3,500,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 600,000 $ 700,000 $ 650,000 $ 900,000 $ 650,000 $ 3,500,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 600,000 $ 700,000 $ 650,000 $ 900,000 $ 650,000 $3,500,000
EAST VALLEY WATER DISTRICT 181
PROJECT DESCRIPTION
This project includes bringing a plant, which has been out of service for several years, back online for water production.
Prior to shut down, Plant 120 consisted of a groundwater well that produced water at a rate of 1,500 gallons per minute
(gpm), a 60,000 gallon forebay tank, and three booster pumps that delivered water to the Foothill and Upper pressure
zones. In 2009, the well started producing a lot of sand, and the determination was made that the well had collapsed
and was no longer functional.
In 2019, a consulting firm conducted tests on the well, and found that the well was not actually collapsed, and that the
well could produce potable water but at a lower volume than was previously produced. In FY 2020-21, the District
will perform moderate maintenance to the shaft and motor, upgrade the Plant’s telemetry system, and put it back in
production. The amount of water produced in GPM will be determined after reactivation.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
N/A
UTILITIES
This well sits at a higher elevation than other wells
serving the same geographic area and should save
approximately $10,000 annually in power costs.
Project Type
Water
Location
Silver Buckle Road, South of Gold Buckle Road,
Highland, CA
Project Manager
Engineering
Total Project Cost
$100,000
Prior Years Budget
N/A
Start Date
July 2020
Estimated Completion
September 2020
Capital Requests
New Project
Plant 120
REACTIVATION
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021182
Plant 120 Reactivation
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - $ - $ -
Land and Land Preparation - - - - - -
Construction (Paving)100,000 - - - - 100,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal)- - - - - -
ANNUAL TOTAL $ 100,000 $ - $ - $ - $ - $ 100,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 100,000 $ - $ - $ - $ - $ 100,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 100,000 $ - $ - $ - $ - $ 100,000
EAST VALLEY WATER DISTRICT 183
PROJECT DESCRIPTION
The Hydro-pneumatic tank at Plant 101 boosts water to 35 homes that are situated at elevations above the plant
site, and therefore cannot be gravity fed by the plant’s 1.4MG reservoir. The hydro tank is the only means of serving
these customers. An inspection of Plant 101 revealed that the hydro tank and booster pumps need rehabilitation
or replacement.
This project includes an assessment of the alternatives – rehabilitation or replacement – taking into consideration,
not just project costs, but also serving customers with water while the hydro tank is off line and minimizing the
length of time the homes dependent on the hydro tank will be without water.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
N/A
UTILITIES
N/A
Project Type
Water
Location
3045 N. Mountain Top Drive, Highland, CA
Project Manager
Engineering
Total Project Cost
$350,000
Prior Years Budget
N/A
Start Date
July 2018
Estimated Completion
June 2019
Capital Requests
New Project
Plant 101 Hydro Tank
REHABILITATION
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021184
Plant 101 Hydro Tank Rehabilitation
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ 100,000 $ - $ - $ - $ - $ 100,000
Land and Land Preparation - - - - - -
Construction (Paving) - 300,000 - - - 300,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal) - - - - - -
ANNUAL TOTAL $ 100,000 $ 300,000 $ - $ - $ - $ 400,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 100,000 $ 300,000 $ - $ - $ - $ 400,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 100,000 $ 300,000 $ - $ - $ - $ 400,000
EAST VALLEY WATER DISTRICT 185
PROJECT DESCRIPTION
The District’s service area covers all of the City of Highland, parts of the City of San Bernardino and parts of
San Bernardino County. When these agencies plan and construct improvements within their jurisdiction, there
are occasionally alignment or location conflicts with existing District facilities. When this occurs, the District is
frequently obliged to relocate its facilities. This project budget serves to fund relocation costs as they arise.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
N/A
UTILITIES
N/A
Project Type
Replacement Water Distribution System
Location
District Wide
Project Manager
Engineering
Total Project Cost
$100,000 for FY 2018-19
Budgeted Annually
Prior Years Budget
N/A
Start Date
July 2019
Estimated Completion
June 2020
Capital Requests
Perennial Budget Request
Facility
RELOCATIONS
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021186
Facility Relocations
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 50,000
Land and Land Preparation - - - - - -
Construction (Contract) 85,000 85,000 85,000 85,000 85,000 425,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor 5,000 5,000 5,000 5,000 5,000 25,000
Other (Legal) - - - - - -
ANNUAL TOTAL $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 500,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 500,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 500,000
EAST VALLEY WATER DISTRICT 187
PROJECT DESCRIPTION
This project involves scheduled capital improvements to District facilities. Improvements planned for FY 2020-21
include new security fencing around the plant perimeter and repairs to the asphalt access road at Plant 34.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
N/A
UTILITIES
N/A
Project Type
Water
Location
South of Highland Avenue, East of Monte Vista Road,
San Bernardino, CA
Project Manager
Operations
Total Project Cost
$75,000 for FY 2020-21
Budgeted Annually
Prior Years Budget
N/A
Start Date
July 2020
Estimated Completion
June 2021
Capital Requests
Perennial Budget Request
Facility
REHABILITATIONS
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021188
Facility Rehabilitations
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - $ - $ -
Land and Land Preparation - - - - - -
Construction (Contract) 245,000 75,000 75,000 75,000 75,000 545,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal)- - - - - -
ANNUAL TOTAL $ 245,000 $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 545,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 245,000 $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 545,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 245,000 $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 545,000
EAST VALLEY WATER DISTRICT 189
PROJECT DESCRIPTION
The District has approximately 65 booster pumps, and 16 Wells in the water distribution system. In order to ensure
that these facilities operate properly and provide reliable service this budget item will provide funding to rehabilitate
existing booster pumps and wells prior to failure or major reductions in performance. This pro-active approach will
reduce the cost of repairs done in an emergency or reactive mode.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
Maintenance costs will be reduced by allowing
work to be scheduled in proactive mode rather than
emergency reactive modes, which can incur overtime
charges in addition to the cost of the repairs.
UTILITIES
Improving pump and well performance through
scheduled repairs and rehabilitation will result in
improved efficiency and lower energy
costs.
Project Type
Water
Location
TBD
Project Manager
Operations
Total Project Cost
$250,000
Prior Years Budget
N/A
Start Date
July 2020
Estimated Completion
June 2021
Capital Requests
Perennial Budget Request
Well & Booster
IMPROVEMENTS/REHABILITATIONS
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021190
Well & Booster Improvements/Rehabilitations
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 5,000 $ 25,000
Land and Land Preparation - - - - - -
Construction (Contract) 40,000 40,000 40,000 40,000 40,000 200,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor 5,000 5,000 5,000 5,000 5,000 25,000
Other (Legal) - - - - - -
ANNUAL TOTAL $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 250,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 250,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 50,000 $ 250,000
EAST VALLEY WATER DISTRICT 191
PROJECT DESCRIPTION
The purpose of these projects is to replace 500 linear feet of existing water main in 14th Street, and 250 linear feet
of existing main in Mirada Street. The existing mains for both projects are small, so replacement with 6” ductile iron
will enhance fire flow capacity. Work will be performed by District crews and will take approximately four weeks for
14th Street and three weeks for Mirada Street to complete.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
The annual maintenance cost for the new water
main will be very low for the first several years.
UTILITIES
N/A
Project Type
Replacement – Water Distribution Main
Location
14th Street South of Baseline Avenue
Mirada Street South of Baseline Avenue
Project Manager
Engineering
Total Project Cost
$200,000
Prior Years Budget
N/A
Start Date
September 2020
Estimated Completion
November 2020
Capital Requests
New Project
Mirada & 14th Streets
WATER MAIN REPLACEMENTS
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021192
Mirada & 14th Streets Water Main Replacements
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - $ - $ -
Land and Land Preparation - - - - - -
Construction (Contract) 190,000 - - - - 190,000
Project Mgmt/Inspection 7,500 - - - - 7,500
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor 2,500 - - - - 2,500
Other (Legal) - - - - - -
ANNUAL TOTAL $ 200,000 $ - $ - $ - $ - $ 200,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 200,000 $ - $ - $ - $ - $ 200,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 200,000 $ - $ - $ - $ - $ 200,000
EAST VALLEY WATER DISTRICT 193
PROJECT DESCRIPTION
Insert description here
Operating Budget Impact
Project Type
Replacement – Water Distribution Main
Location
14th Street South of Baseline Avenue
Mirada Street South of Baseline Avenue
Project Manager
Engineering
Total Project Cost
$200,000
Prior Years Budget
N/A
Start Date
September 2020
Estimated Completion
November 2020
Capital Requests
New Project
Lillian & 11th Streets
WASTEWATER MAIN REHABILITATION
CAPITAL BUDGET
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
N/A
MAINTENANCE
N/A
UTILITIES
N/A
FISCAL YEAR BUDGET 2020-2021194
Lillian & 11th Streets Wastewater Main Rehabilitation
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - $ - $ -
Land and Land Preparation - - - - - -
Construction (Contract) 190,000 350,000 350,000 350,000 350,000 1,590,000
Project Mgmt/Inspection 7,500 - - - - 7,500
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor 2,500 - - - - 2,500
Other (Legal) - - - - - -
ANNUAL TOTAL $ 200,000 $ 350,000 $ 350,000 $ 350,000 $ 350,000 $ 1,600,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 200,000 $ 350,000 $ 350,000 $ 350,000 $ 350,000 $ 1,600,000
Replacement Reserve - - - - - -
Grants/Loans - - - - - -
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 200,000 $ 350,000 $ 350,000 $ 350,000 $ 350,000 $ 1,600,000
EAST VALLEY WATER DISTRICT 195
PROJECT DESCRIPTION
The District’s surface water treatment plant (Plant 134) is located on the northern edge, and at about mid-point
east to west, within the District’s service area. Source water for Plant 134 is an intake from the Santa Ana River on
the east end of the District, which is also the highest elevation in the District, so water flows to the plant by gravity.
Rights to Santa Ana River water were obtained by buying shares in the North Fork Water Company (NFWC). The
NFWC was established in 1888 to provide water for citrus farmers, whose groves once covered the entire eastern
half of the District. River water was delivered to farmers by a rock and mortar canal, and more recently an 8 mile
pipeline which begins at the Santa Ana River and terminates at Plant 134.
Two circumstances now make continued operations of the NFWC pipeline less than optimal. First, almost all of
the citrus groves have been replaced by homes, and treated water must be pumped uphill to serve those homes
from Plant 134. Second, the District recently installed a State Water Project turnout at Plant 134 that is capable of
supplying enough water for the plant to run at full capacity. For these reasons the District is exploring alternative
methods for supplying homes in the eastern half of the District. A new surface water treatment plant at the Districts
east end, near the intake for Santa Ana River water, was determined to be a very viable option by an independent
feasibility study.
This purpose of this project is to complete a preliminary design report for an east end surface water treatment
plant, and possibly fund construction of the plant. The District will pursue low-cost financing for the plant through
clean water state revolving fund grants and loans.
Operating Budget Impact
Project Type
Water
Location
Santa Ana River Intake
Project Manager
Engineering
Total Project Cost
$18,200,000
Prior Years Budget
N/A
Start Date
July 2020
Estimated
Completion
June 2025
Capital Requests
New Project
East End
SURFACE WATER TREATMENT PLANT
CAPITAL BUDGET
ADDITIONAL STAFF SALARIES
N/A
DEBT SERVICE
This District will apply for a low interest loan from the
State Water Resources Control Board State Revolving
Fund. Annual debt service on the estimated project
cost of $18.2 million would be approximately $840,000.
MAINTENANCE
The annual operating costs, including funding of
replacement reserves such as treatment membranes,
would be approximately $1 million.
UTILITIES
An additional treatment process will increase power
costs by approximately $30,000 annually.
FISCAL YEAR BUDGET 2020-2021196
East End Surface Water Treatment Plant
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ 175,000 $ - $ - $ - $ - $ 175,000
Land and Land Preparation - - - - - -
Construction (Contract) - 6,000,000 6,000,000 6,000,000 - 18,000,000
Project Mgmt/Inspection - - - - - -
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal) - - - - - -
ANNUAL TOTAL $ 175,000 $6,000,000 $6,000,000 $6,000,000 $ - $18,175,000
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 175,000 $ - $ - $ - $ - $ 175,000
Replacement Reserve - - - - - -
Grants/Loans - 6,000,000 6,000,000 6,000,000 - 18,000,000
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 175,000 $6,000,000 $6,000,000 $ 6,000,000 $ - $ 18,175,000
EAST VALLEY WATER DISTRICT 197
PROJECT DESCRIPTION
In response to the drought and SBX7-7 which mandates that the District must cut 20% of its use by the year
2020, the District is planning and constructing a water reclamation facility. The facility will allow the District to treat
wastewater to a point that it can be recharged back into the groundwater basin and reused for domestic purpose.
Initially the facility will treat approximately 6 million gallons per day and will be expandable to be able to treat
ultimate build out of approximately 10 million gallons per day.
Operating Budget Impact
ADDITIONAL STAFF SALARIES
$1,325,000
DEBT SERVICE
$6,820,000 Annually on 1.8% Interest
State Revolving Fund loan
MAINTENANCE
$1,250,000 (estimated) for Contract Services and
supplies. Contracted treatment paid to a third party
of $8,500,000 would be eliminated.
UTILITIES
$725,000 (estimated) for additional electrical energy,
natural gas, water, wastewater, and telephone/data
communications will be required.
Project Type
New – Wastewater Recycling Plant
Location
25318 and 25376 5th Street, Highland
Project Manager
Engineering
Total Project Cost
$182,917,000
Prior Years Budget
N/A
Start Date
January 2014
Estimated Completion
March 2022
Capital Requests
Previously Programmed Project
Sterling Natural
RESOURCE CENTER
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021198
Sterling Natural Resource Center
PROJECT COST
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
ESTIMATED COST ITEMIZATION
Planning and Design $ - $ - $ - $ - - $ -
Land and Land Preparation - - - - - -
Construction (Contract) 81,000,000 34,493,764 - - - 115,493,764
Project Mgmt/Inspection 150,000 60,000 - - - 210,000
Equipment/Furnishings - - - - - -
Materials - - - - - -
EVWD Labor - - - - - -
Other (Legal) - - - - - -
ANNUAL TOTAL $ 81,150,000 $34,553,764 $ - $ - $ - $115,703,764
PROJECT FUNDING
YEAR 1
FY 2020-21
YEAR 2
FY 2021-22
YEAR 3
FY 2022-23
YEAR 4
FY 2023-24
YEAR 5
FY 2024-25
PROJECT
TOTAL
FINANCING SOURCES
Operating Revenue $ 150,000 $ 60,000 $ - $ - $ - $ 210,000
Replacement Reserve - - - - - -
Grants/Loans 81,000,000 34,493,764 - - - 115,493,764
Bond Proceeds - - - - - -
Development Fees - - - - - -
Other - - - - - -
ANNUAL TOTAL $ 81,150,000 $ 34,553,764 $ - $ - $ - $ 115,703,764
15
The District's demonstration garden features a colorful display of more than 60 low water use plant species.
accomplishments
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The budget reflects the District's
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meet the needs of its stakeholders.
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EAST VALLEY WATER DISTRICT 199
Accomplishments2019—2020
Infrastructure improvements represent a significant investment in maintaining a reliable system for the community
served by East Valley Water District.
Several Capital Improvement Projects were completed in FY 2019-20 that focused on system improvements for both
water and wastewater systems. Each project was completed under budget and include:
PROJECT
• Need Info HereProject Name
• Need Info HereProject Name
• Need Info HereProject Name
• Need Info HereProject Name
• Need Info HereProject Name
CAPITAL BUDGET
FISCAL YEAR BUDGET 2020-2021200
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The budget is formally reviewed each
quarter, allowing for an opportunity to
take formal budget adjustments to the
Governing Board for consideration.
201
PAGE
EAST VALLEY WATER DISTRICT
Definitions
TECHNICAL TERMS AND ACRONYMS
FOUND IN THE BUDGET DOCUMENT
GLOSSARY
A
• Acre Foot (AF): A water measurement equal to
325,851 gallons. - pg. 49
• AMI: Advanced Metering Infrastructure is the
technology of collecting meter reads via a network.
- pg. 10
• AQMD or SCAQMD: Air Quality Management
District or South Coast Air Quality Management
District is the air pollution agency responsible for
regulating stationary sources of air pollution in the
South Coast Air Basin, in Southern California. - pg.
199
• AWWA: American Water Works Association was
established in 1881 and is the largest nonprofit,
scientific, and educational association dedicated to
managing and treating water. - pg. 95
C
• CAFR: Comprehensive Annual Financial Report
is a set of U.S. government financial statements
comprising of the financial report of a state,
municipal, or other governmental entity that
complies with the accounting requirements
promulgated by the Governmental Accounting
Standards Board. - pg. 133
• CalFire: California Department of Forestry and Fire
and Protection. - pg. 25
• CalPERS: California Public Employees’ Retirement
System is an agency in the California executive
branch that manages pension and health
benefits for more than 1.6 million California public
employees, retirees, and their families. - pg. 37
• CARB: California Air Resources Board. - pg. 199
• CEO: Chief Executive Officer
• CHEF: Community Heritage and Education
Foundation. - pg. 107
• CIP: Capital Improvement Program. - pg. 10
• Cityworks: This platform is designed to help local
governments and utilities manage public assets
and their associated data, work activities, and
business processes.- pg. 107
• Closed Circuit TV (CCTV): A closed circuit TV is
the use of video cameras to transmit a signal to a
limited set of monitors. - pg. 237
• COLA: Cost of Living Adjustment. - pg. 10
• COSA: Cost of Service Analysis. - pg. 55
• California Special Districts Association (CSDA):
The California Special Districts Association is a
501c(6) not-for-profit association that promotes
good governance and improved core local
services through professional development,
advocacy, and other services for independent
special districts. - pg. 12
• CSMFO: California Society of Municipal Officers -
pg. 104
• CWEA: California Water Environment Association
is a nonprofit public benefit corporation dedicated
to the educational development and certification of
wastewater professionals. - pg. 189
D
• DMV: Department of Motor Vehicles. - pg. 199
• DWR: Department of Water Resources. - pg. 55
FISCAL YEAR BUDGET 2020-2021202
E
• Enterprise Fund: Revenues and expenditures of
services are separated into separate funds with its
own financial statements. - pg. 6
• EPA: Environmental Protection Agency. - pg. 119
• EVWD: East Valley Water District
• EVWDEP: East Valley Water District Emplyee
Partnership. - pg. 113
F
• Fees: Charges for service that are based upon the
cost of providing the service. - pg. 33
• FEMA: Federal Emergency Management Agency
is a federal agency whose mission is to support
citizens and first responders in their efforts to
improve capabilities to prepare for, respond to, and
recover from emergencies and hazards. - pg. 119
• Fiscal Year (FY): The time frame in which the budget
applies. This period is from July 1 through June 30.
- pg. 6
• FOG: Fats, oils, and grease. - pg. 175
• Full-Time Employee: A measure of effective
authorized positions, indicating the percentage of
time a position or group of positions is funded. It
is calculated by equating 2,080 hours of work per
year with the full-time equivalent of one position. -
pg. 48
• Fund: An independent fiscal and accounting entity
with a self-balancing set of accounts recording cash
and/or other resources together with all related
liabilities, obligations, reserves, and equities which
are segregated for the purpose of carrying on
specific activities or attaining certain objectives. - pg.
6
• Fund Equity: The excess of an entity’s assets over
its liabilities; a negative Fund Equity is sometimes
called a deficit. - pg. 58
G
• GAC: Granular Activated Carbon is a highly porous
adsorbent material used during the water treatment
process. It is used to remove tetrachloroethylene,
also known as perchloroethylene (PCE). - pg. 169
• GASB: Governmental Accounting Standards Board
is a private, non-governmental organization who
is the source of generally accepted accounting
principles (GAAP) used by State and Local
governments in the U.S. - pg. 59
• GASB 68: A state or local government employer will
report the Net Pension Liability associated with its
defined benefit pension plan(s) that is administered
through a trust or equivalent arrangement. - pg. 59
• Generally Accepted Accounting Principles (GAAP):
Uniform minimum standards of, and guidelines for
external financial accounting and reporting. They
govern the form and content of the basic financial
statements of an entity. GAAP encompasses the
conventions, rules and procedures necessary to
define accepted accounting practices at a particular
time. They include not only broad guidelines of
general application, but also detailed practices
and procedures. The primary authoritative
statements on the application of GAAP to state and
local governments are Government Accounting
Standards Board (GASB) pronouncements. GAAP
provides a standard by which to measure financial
presentations. - pg. 37
• GC: San Bernardino Basin Area Groundwater
Council. - pg. 49
• Geographic Information System (GIS): An
organized collection of computer hardware,
software and geographic data designed to
efficiently capture, store, update, manipulate,
analyze, and display all forms of geographically
referenced information. - pg. 52
• GFOA: The Government Finance Officers
Association represents public finance officials
throughout the United States and Canada. -
pg. 20
• GMP: Guranteed Maximum Price. - pg. 119
• Global Positioning System (GPS): A global
positioning system provides geolocation and time
information to a GPS receiver. - pg. 138
H
• Hundred Cubic Feet (HCF): Water billing
measurement equal to 748 gallons. - pg. 42
• HVAC: Heating, Ventilation, and Air Conditioning. -
pg. 193
K
• KPI: A Key Performance Indicator monitors progress
towards meeting program objectives. - pg. 9
EAST VALLEY WATER DISTRICT 203
L
• LAIF: Local Agency Investment Fund is a program
administered by the California State Treasurers
office to give local agencies and special districts
the opportunity to participate in a major portfolio
using the investment expertise of the Treasurer’s
Office Investment staff. - pg. 54
• Linear Feet: A linear foot is a 12-inch measurement
of length. - pg. 227
M
• MG: Million Gallon. - pg. 183
• MGD: Million Gallons Per Day. - pg. 171
• MOU: Memorandum of Understanding. - pg. 10
N
• NFWC: North Fork Water Company is a mutual
water company that secures surface water from
the Santa Ana River and other available sources for
delivery to its shareholders. - pg. 49
P
• PAFR: Popular Annual Financial Report. - pg. 132
• PRV: Pressure Regulating Valve. - pg. 161
• PVC: Polyvinyl Chloride. - pg. 11
R
• RUSD: Redlands Unified School District. - pg. 23
• Revenue: Income generated by assessments,
investments, connection fees, stand-by fees, and
user charges. - pg. 6
• Reserve: An account set aside to meet unexpected
costs. - pg. 7
S
• SAR: Santa Ana River. - pg. 22
• SBCUSD: San Bernardino City Unified School
District. - pg. 23
• SBVMWD: San Bernardino Valley Municipal Water
District was formed in 1954 as a regional agency
to plan a long-range water supply for the San
Bernardino Valley. - pg. 22
• SBX7-7: The Water Conservation Act of 2009 was
enacted in November 2009 and requires that all
water suppliers increase their water use efficiency.
-pg. 239
• SCADA: Supervisory Control and Data Acquisition
generally refers to an industrial computer system
that monitors and controls a process. - pg. 52
• SCE: Southern California Edison. - pg. 131
• Single Family Residential (SFR): A stand-alone
residential building. - pg. 42
• Sterling Natural Resource Center (SNRC): The
District is planning and constructing a water
recycling center called the Sterling Natural
Resource Center. - pg. 10
• SWRCB: State Water Resources Control Board. -
pg. 54
T
• TTHM/THM: Total Trihalomethanes is a disinfectant
by product when chlorine used to treat water
reacts with organic materials in the water. - pg. 11
• Tyler Accounting System: - pg. 131
V
• VCP: Vitrified Clay Pipe - pg. 237
U
• UCMR: Unregulated Contaminant Monitoring Rule.
- pg. 176
W
• Wastewater Collection Sytem Master Plan
(WCSMP): The District’s Wastewater Collection
System Master Plan outlines existing deficiencies
and facility requirements to meet increasing
demands. It provides a general assessment to
creat a comprehensive CIP for the wastewater
collection system. - pg. 207
• Water System Master Plan (WSMP): The District’s
Water System Master Plan provides information
on proposed CIP for the water system, including
phasing of the necessary projects and capital
requirements taking existing deficiencies and
facility requirements to meet both current and
future demand in consideration. - pg. 156
• WBIC: Weather-Based Irrigation Controller systems
are sprinkler control devices that automatically
adjust irrigation schedules in response to changing
weather or environmental conditions.
GLOSSARY
FISCAL YEAR BUDGET 2020-2021204
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By setting clear expectations, all staff members are encouraged to be activie participants in the
operations while also looking for opportunities to positively impact the community.
16
The District actively enhances
communication methods to reach
a variety of stakeholders.
EAST VALLEY WATER DISTRICT 205
• 5101 - Regular Labor: Regular salaries and wages
for permanent full-time and part-time employees
• 5102 - Temporary Labor: Costs for labor not
permanently employed by the District
• 5103 - Overtime: Employees that work more than
their regular 40 hours per week
• 5104 - Standby: Employees that are on call
for emergencies during non-business hours,
weekends, and holidays
• 5200 - Benefits: Medical, dental, vision, retirement,
and related benefits offered by the District
• 6101 - Purchased Water: Cost to purchase
imported water
• 6102 - Groundwater Replenishment: Cost to pump
groundwater from the basin
• 6103 - Water Assessment: Cost of water shares
directly related to North Fork
• 6201 - Materials & Supplies: Items used in daily
operations, repair, and maintenance
• 6202 - Tools: Items used to perform repair and
maintenance activities
• 6203 - Office Supplies: Items such as pens, paper,
and other related desk accessories
• 6204 - Chemicals: Used for the treatment of water
and cleaning equipment and tools
• 6205 - Conservation Rebates: Costs to reimburse
customers for eligible conservation efforts
• 6301 - Contract Services: Services rendered by
consultants and contractors; software subscriptions
and licensing
• 6302 - Banking Services: Service fees charged by
financial institutions, merchant banks, and payment
processors
• 6303 - Printing & Publishing: Costs for printing and
producing District publications
• 6304 - Legal Services: Costs for legal advice,
consultation, contract review, and litigation
• 6305 - Treatment Services: Outside treatment
services for wastewater
• 6306 - Rents & Leases: Rental and lease costs for
buildings and equipment that are not owned by
the District
• 6307 - Uniforms: Costs for the purchase, rental
and laundering of uniforms, and other sundries for
employees
• 6308 - Billing Services: Costs associated with
printing and mailing customer utility bills
• 6309 - Shut Off Notice Services: Costs associated
with the printing and delivery of 48 Hour Notices;
these costs are charged back to customers
through a fee
• 6310 - Street Services: Costs associated with
street restoration after District performs repairs and
maintenance to existing infrastructure
• 6311 - Landscape Services: Costs to maintain
landscape, sprinklers, and weed abatement
throughout the District
• 6312 - Janitorial Services: Costs to clean and
maintain District facilities
• 6313 - Facilities Repair: Tracking of minor repairs
for District facilities
• 6314 - Litigation Expense: Costs associated with
legal proceedings, legal action, lawsuits, legal
disputes, or legal cases.
• 6401 - Utilities: Cable, gas, and other utilities not
including telephone and electricity
AccountsCHART OF
A COMPLETE LISTING OF EVERY ACCOUNT
USED IN THE ACCOUNTING SYSTEM
Each program budget detail has allocated District resources to a specific account that will be used throughout
the current fiscal year. Below is a listing of the District’s Chart of Accounts with a brief description of each account.
GLOSSARY
FISCAL YEAR BUDGET 2020-2021206
• 6402 - Telephone: Land lines, cellular phones, and
internet services
• 6403 - Electricity: Electricity usage costs
• 6404 - Fuel: Fuel costs for vehicles and generators
• 6405 - Permits: Permit costs required by federal,
state, and local regulatory agencies
• 6406 - Postage: Costs for mailing bills, publications,
and special deliveries
• 6501 - Memberships & Dues: Subscriptions
(not including software) and memberships for
associations and special groups; award applications
• 6502 - Professional Development: Seminars,
conferences, and travel costs for employee
development
• 6503 - Education Assistance: Tuition
reimbursement for employees who attend school
for a degree or certificate
• 6504 - Meetings: Costs such as meals, parking,
and registration that are not related to professional
development
• 6505 - Employee Recognition: Employee
recognition costs to recognize excellent
performance throughout the year
• 6701 - General Insurance: General liability insurance
for the District’s facilities and infrastructure
development
• 6702 - Insurance Claims: Cost of insurance claims
paid during the fiscal year
• 6703 - Cash Over/Short: Accounts for customer
payment processing discrepancies
• 6704 - Bad Debt: Account used to write off
uncollectible customer unpaid water or wastewater
charges
• 6705 - Retiree Benefits: Other post-employment
benefits reimbursed to District retirees
partneringTOGETHER
District Headquarters
31111 Greenspot Road
Highland, California 92346
District Board Meetings
Second and fourth Wednesday of each month
District Headquarters Board Room, 5:30pm
@eastvalleywaterdistrict | @eastvalleywater | @eastvalleywaterdistrict
Budget Adopted June XX, 2020
Teamwork is the ability to work together towarda common vision.
The ability to direct individual accomplishments
toward organizational objectives. It is the fuel that
allows common people to attain uncommon results.
– Andrew Carnegie
R es p ec tfully s ubmitted :
B O AR D AGE N D A S TAF F R E P ORT
Agenda Item #2.
Meeting Date: June 16, 2020
To: C ommis s io n Members
F rom: G eneral Manager/C EO
Subject: S terling Natural R es o urc e C enter Update
R E C O MME N D AT IO N:
T his item is fo r info rmatio n o nly, not ac tion is rec o mmend ed at this time.
B AC KGR O UN D / AN ALYS IS :
T he S terling Natural R esource C enter continues to p rogres s with c ons tructio n ac tivity throughout the projec t
s ite.
C o nstruc tio n o n the includ es s ignificant reb ar and concrete wo rk, rough grading, pipeline installation, and
b uilding as s emb ly. S inc e the pro ject is using the pro gressive d es ign-build mo d el, cons truction continues while
d es ign effo rts are underway in a c ollab o rative team enviro nment with all of the project partners . T he design team
is wo rking to incorporate the bio-energy enhancement into the vario us elements of the treatment proc ess.
Effo rts continue to work through the various regulatory approvals neces s ary fo r the project. T his is an on-going
p ro ces s in tand em with the c o ns tructio n effo rt. C urrent regulato ry agencies invo lved in the S NR C inc lude the
S tate Water R es ourc es C o ntrol Bo ard Divis io n o f Drinking Water, R egional Water Q uality C o ntrol Bo ard ,
S o uth C o as t Air Q uality Management Dis tric t, S an Bernardino C ounty F lo o d C ontro l, C ity o f Highland, and
C ity o f S an Bernard ino. Ad d itionally, work continues with S outhern C alifo rnia Ed is o n for the infrastruc ture to
ensure power can be delivered to the site and that they are ab le to receive the energy generated at the S NR C .
T he Dis tric t has inc reased o utreac h with c ommunity memb ers living in the vic inity o f the s ite. G iven the
inc reas ed cons truction ac tivity will continue for the remainder o f 2020, the Dis tric t is taking step s to pro vide
helpful informatio n. Dis tric twid e cus tomers also have pro jects up d ates provid ed thro ugh s oc ial media posts and
b ill ins erts .
AG E N C Y G O ALS AN D OB J E C T IVE S :
F IS C AL IMPAC T
T here is no fis cal impac t as s o c iated with this agend a item.
R es p ec tfully s ubmitted :
Kelly Mallo y
Directo r o f S trategic S ervices
ATTACH M E N TS:
Description Type
SN RC Update Cover M e mo
STERLING NATURAL RESOURCE CENTER
TEAM STERLING
229,976
Staff Hours
Through May
384
Days of Construction 2,551,942
Gallons of Concrete
Poured
CONSTRUCTION PROGRESS
Aeration Basin Testing
Concrete Pour/ Testing
Sewer Pipe Installation
Project Design
Bio-Energy Enhancement Design
Del Rosa Sewer Pipe
CONSTRUCTION PROGRESS
Concrete Pour/ Testing
Rebar Placement
Conduit Installation
Building Delivery
Building Erected
Landscaping Design
CONSTRUCTION NUMBERS IN PERSPECTIVE
COMMUNITY ENGAGEMENT 800+
Residents Received the
SNRC Neighbor Newsletter
Social Media
Bill Inserts
Newspaper Advertisements
THE PATH TO SUCCESS
Success is the sum of small efforts,
repeated day in and day out.
-Robert Collier
“”
REFLECTIONS: A LOOK AT OUR COMMUNITY’S LEGACY