HomeMy WebLinkAbout2011-12-27 - Finance-Accounting Committee Meeting Agenda Packet
Yorba Linda
Water District
AGENDA
YORBA LINDA WATER DISTRICT
FINANCE-ACCOUNTING COMMITTEE MEETING
Tuesday, December 27, 2011, 4:00 PM
1717 E Miraloma Ave, Placentia CA 92870
COMMITTEE STAFF
Director Ric Collett, Chair Ken Vecchiarelli, General Manager
Director Robert R. Kiley Stephen Parker, Finance Director
Cindy Botts, Management Analyst
1. PUBLIC COMMENTS
Any individual wishing to address the committee is requested to identify themselves and state the matter on
which they wish to comment. If the matter is on this agenda, the committee Chair will recognize the individual for
their comment when the item is considered. No action will be taken on matters not listed on this agenda.
Comments are limited to matters of public interest and matters within the jurisdiction of the Water District.
Comments are limited to five minutes.
2. ACTION CALENDAR
This portion of the agenda is for items where staff presentations and committee discussions are needed prior to
formal committee action.
2.1. Adopting Water Development and Customer Service Fees
Recommendation: That the Committee recommend the Board of Directors approve
a resolution adopting water development and customer service fees and rescinding
Resolution No. 08-04.
3. DISCUSSION ITEMS
This portion of the agenda is for matters such as technical presentations, drafts of proposed policies, or similar
items for which staff is seeking the advice and counsel of the Committee members. This portion of the agenda
may also include items for information only.
3.1. November 2011 Budget to Actual Results
3.2. Investment Report for Period Ending November 30, 2011
3.3. Status of Strategic Plan Initiatives
3.4. Future Agenda Items and Staff Tasks
4. ADJOURNMENT
4.1. The next meeting of the Finance-Accounting Committee is scheduled to be held on
January 23, 2012 at 4:00 p.m.
Items Distributed to the Committee Less Than 72 Hours Prior to the Meeting
Pursuant to Government Code section 54957.5, non-exempt public records that relate to open session agenda items
and are distributed to a majority of the Committee less than seventy-two (72) hours prior to the meeting will be available
for public inspection in the lobby of the District's business office located at 1717 E. Miraloma Avenue, Placentia, CA
92870, during regular business hours. When practical, these public records will also be made available on the District's
internet website accessible at http://www.ylwd.com/.
Accommodations for the Disabled
Any person may make a request for a disability-related modification or accommodation needed for that person to be
able to participate in the public meeting by telephoning the Executive Secretary at 714-701-3020, or writing to Yorba
Linda Water District, P.O. Box 309, Yorba Linda, CA 92885-0309. Requests must specify the nature of the disability and
the type of accommodation requested. A telephone number or other contact information should be included so the
District staff may discuss appropriate arrangements. Persons requesting a disability-related accommodation should
make the request with adequate time before the meeting for the District to provide the requested accommodation.
ITEM NO. 2.1
AGENDA REPORT
Meeting Date: December 27, 2011
To: Finance-Accounting Committee
From: Ken Vecchiarelli, General
Manager
Presented By: Stephen Parker, Finance Dept: Finance
Manager
Reviewed by Legal: Pending
Prepared By: Stephen Parker, Finance
Manager
Subject: Adopting Water Development and Customer Service Fees
STAFF RECOMMENDATION:
That the Committee recommend the Board of Directors approve a resolution adopting water
development and customer service fees and rescinding Resolution No. 08-04.
DISCUSSION:
Staff is pleased to present an updated water development and customer service fee schedule for
the Finance-Accounting Committee's review. The current water development and customer service
fees were adopted in 2008, and staff has identified a number of best practices that cannot be put
into place unless they are amended.
Staff has attached two documents - the first is the updated water development and customer
service fees resolution. The second shows the changes from Resolution No. 08-04 in a red-line
version.
The major recommended changes in the updated water development and customer service fees
include:
. Adjusting fees down. Staff calculated the cost of service for all of the fees recommended for
adjustment. It was determined through this process that a number of fees should be reduced,
including:
1. New Meter Fees for 1 and 1 1/2 inch meters,
2. Administrative Fees for new water service,
3. Single Service Fee permits,
4. Notice of Discontinuance (yellow-tag) Fees,
5. Shut-off Due to Non-Payment Fees,
6. Re-establishment of Service Fees,
7. Call outs After Hours Fees,
8. Meter Removal Fees,
9. Meter Testing Fees, and
10. Backflow Device Monitoring Fees
. Adjusting fees up. It was also determined through calculating the cost of service that the Auto
Pay Reject fee be increased from $20 to $25, which is in line with the former and current Non
Sufficient Funds Charge.
. Adding a Late Fee. This fee would be charged to all customers who do not pay by their due
date. It would also fund an additional notice that would be mailed 4 days after the bill was due
and would remind the customer that payment for services received two months ago is now
past due.
. Adding construction meter fees. The new practice will be to lock off construction meters to
ensure staff knows where District meters are and ensure they can be read monthly. The
additional fees related to this practice would be a fee when the contractor cuts the lock and a
fee when District staff is required to move the meter (the initial meter placement and meter
pick-up would be done by District staff free of cost to the contractor).
. Revising plan check fees. The plan check fee structure has changed from a per connection
basis to a flat rate based on the range of the number of connections needing plan checks.
This change provides a truer cost of the services performed by the Engineering Department.
The effect of this change is that jobs with a smaller number of connections will have a reduced
cost, while jobs with larger connections will have an increased cost.
. Adding a deposit for new customers. This would be based on a "soft credit check", which
would not show on the customer's credit report, but would give the District a percentage of
delinquent accounts. Based on this information, a proposed $0, $125, or full $225 deposit will
be required.
STRATEGIC PLAN:
FR 1-C: Revise the Water and Sewer Rules and Regulations and Evaluate Fee Schedules
Regularly for Proper Cost of Service Coverage
Staff also submitted amended water rules and regulations for the Executive-Administrative-
Organizational Committee this month, and they supported staff's recommendation. Should the
Finance-Accounting Committee also support staff's recommendation and pending the completion of
the review by legal counsel, both items will be submitted to the full Board in January 2012. The
amended sewer rules and regulations and corresponding changes to the customer service and
developer fee schedule are anticipated to be brought before the same two committees in the spring
of 2012.
PRIOR RELEVANT BOARD ACTION(S):
On June 12, 2008 the Board approved a resolution adopting the current water development and
customer service fees.
ATTACHMENTS:
Blame: Doscdpti+ n: u ) pe:
Resolution 12-XX.docx Resolution Backup Material
Resolution 12-XX Red Line version.pdf Red-line version of Resolution Backup Material
RESOLUTION NO. 12-XX
RESOLUTION OF THE BOARD OF DIRECTORS
OF THE YORBA LINDA WATER DISTRICT
ADOPTING THE WATER DEVELOPMENT AND CUSTOMER SERVICE FEES
AND RESCINDING RESOLUTION 08-04
WHEREAS, the Yorba Linda Water District Rules and Regulations for Rendition of
Water Service include a provision that development fees and customer
service charges shall be adopted by separate Resolution entitled Adopting
Water Development and Customer Service Fees; and
WHEREAS, the Board of Directors of the Yorba Linda Water District have, from time to
time, adopted Ordinances and Resolutions to change the Water
Development Fees and Customer Service fees for services provided by
the District; and
WHEREAS, the fees collected pursuant to this Resolution shall be used to finance
costs necessitated by the services provided by the District.
NOW THEREFORE, BE IT RESOLVED by the Board of Directors of the Yorba Linda
Water District to adopt Water Development and Customer Service Fees as follows:
Section 1. Fees identified in Section 3.2 of the Rules and Regulations for Water
Service shall be as follows:
A. Connection to Main Lines:
Frontage Fees $14.00 Per Linear Foot
Fire Hydrant Charges $27200.00 Per Linear Foot
B. Irregular Parcels $17050.00 Per Gross Acre
C. Minimum Charge $17050.00 Flat Rate
Section 2. Fees identified in Section 3.3 of the Rules and Regulations for Water
Service shall be as follows:
A. Meters Up to 2 Inches
1 Inch: $450.00 Each Meter
1 1/ Inch: $795.00 Each Meter
2 Inch $1,241.00 Each Meter
B. Meters Larger than 2 Inches Actual Costs
Resolution No. 12-XX Adopting the Water Development and Customer Service Fees 1
C. Temporary Meters $1,000.00 Deposit
Requested Move to a New Location $70.00 Per Occurrence
Unauthorized Movement $190.00 Per Occurrence
Section 3. Fees identified in Section 3.4 of the Rules and Regulations for Water
Service shall be as follows:
A. Administrative Fee $1,218.00 Per Application
B. Plan Check Fee
Number of Connections
1-5 $609.00 Flat Rate
6-10 $913.00 Flat Rate
11-20 $1,319.00 Flat Rate
21-40 $1,928.00 Flat Rate
41-60 $2,537.00 Flat Rate
61-80 $3,298.00 Flat Rate
81-99 $4,059.00 Flat Rate
100 and Up $5,581.00 Flat Rate
C. Inspection Fee
Number of Connections
1-10 $1,241.00 Per Connection
11-20 $697.00 Per Connection
21-30 $485.00 Per Connection
31-40 $390.00 Per Connection
41-50 $331.00 Per Connection
51 and Up $295.00 Per Connection
D. Records and Billing Fee $156.00 Per Connection
E. Single Service Fee $638.00 Per Permit
Section 4. Fees identified in Section 3.7 of the Rules and Regulations for Water Service
shall be as follows:
A. Temporary Untreated Water Fee $873.00 Per Acre-foot
Section 5. Fees identified in Section 3.11 of the Rules and Regulations for Water
Service shall be as follows:
A. Late Payment Fee $10.00 Per Occurrence
Resolution No. 12-XX Adopting the Water Development and Customer Service Fees 2
B. Notice of Discontinuance $10.00 Per Occurrence
C. Shut-off Due to Non-Payment $40.00 Per Occurrence
D. Re-establishment of Service $40.00 Per Occurrence
E. Callouts After Regular Hours $155.00 Per Occurrence
F. Tampered Locks:
Residential $80.00 Per Occurrence
Commercial $190.00 Per Occurence
G. Meter Removal $80.00 Per Occurrence
H. Meter Replacement $80.00 Per Occurrence
Plus Labor & Material
1. Change of Meter Location:
Residential Actual Costs Per Occurrence
Commercial $70 Per Occurrence
J. Meter Testing:
At the Source/YLWD $80 Per Occurrence
Independent Laboratory Actual Costs Per Occurrence
K. Residential Customer Deposit:
Potential of Risk: "Green" $0.00 Per Meter
Potential of Risk: "Yellow" $125.00 Per Meter
Potential of Risk: "Red" $225.00 Per Meter
L. Commercial Customer Deposit:
1 1/ Inch Meter & Below $450.00 Per Meter
2 & 3 Inch Meter $750.00 Per Meter
4 Inch Meter & Larger $2,500.00 Per Meter
M. Autopay/NSF Charge $25.00 Per Occurrence
N. New Account Set Up Fee $25.00 Per Occurrence
0. GIS Data Conversion Fee $100.00 Per Sheet
P. Copying Charges $0.25 Per Copy
Q. Fax Charges $0.75 Per Page
R. Mailing Charges Actual Costs
S. Shipping Charges Actual Costs
Resolution No. 12-XX Adopting the Water Development and Customer Service Fees 3
Section 6. Fees identified in Section 5.5 of the Rules and Regulations for Water Service
shall be as follows:
A. Change in Meter Size:
2 Inch $22.00 Per Meter
3 Inch $42.00 Per Meter
4 Inch $72.00 Per Meter
6 Inch & Larger $75.00 Per Meter
Section 7. Fees identified in Section 6.5 of the Rules and Regulations for Water Service
shall be as follows:
A. Backflow Device Monitoring Fee $28.00 Per Device
Section 8. The fees adopted herein shall take effect on February 1, 2012 and
Resolution No. 08-04 is hereby rescinded on February 1, 2012.
PASSED AND ADOPTED this 12th day of January 2012 by the following called vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Phil Hawkins, President
Yorba Linda Water District
ATTEST:
Kenneth R. Vecchiarelli
Yorba Linda Water District
Reviewed as to form by General Counsel:
Arthur G. Kidman, Esq.
Kidman, Behrens & Tague
Resolution No. 12-XX Adopting the Water Development and Customer Service Fees 4
RESOLUTION NO. 0812-44XX
RESOLUTION OF THE BOARD OF DIRECTORS
OF THE YORBA LINDA WATER DISTRICT
ADOPTING THE WATER DEVELOPMENT AND CUSTOMER SERVICE FEES
AND RESCINDING RESOLUTION 00084604
WHEREAS, the Yorba Linda Water District Rules and Regulations for Rendition of
Water Service include a provision that development fees and customer
service charges shall be adopted by separate Resolution entitled Adopting
Water Development and Customer Service Fees; and
WHEREAS, the Board of Directors of the Yorba Linda Water District have, from time to
time, adopted Ordinances and Resolutions to change the Water
Development Fees and Customer Service fees for services provided by
the District; and
WHEREAS, the fees collected pursuant to this Resolution shall be used to finance
costs necessitated by the services provided by the District.
NOW THEREFORE, BE IT RESOLVED by the Board of Directors of the Yorba Linda
Water District to adopt Water Development and Customer Service Fees as follows:
Section 1. Fees identified in Section 3.2 of the Rules and Regulations for Water
Service shall be as follows:
A. Connection to Main Lines:s-IpsGalled Re re Ac^ t 4 ' 1 - ~QRR
Frontage Fees $14.00 Per Linear Foot
Fire Hydrant Charges $2,200.00 Per Linear Foot
B. Irregular Parcels $1,050.00 Per Gross Acre
C. Minimum Charge $1,050.00 Flat Rate
Section 2. Fees identified in Section 3.3 of the Rules and Regulations for Water
Service shall be as follows:
A. Meters Up to 2 Inches ~p
33 innh: $929-o ~2nh~,R,nnt~„r
1 Inch: $450.00 Each Meter
1 '/2 Inch: $795.00 Each Meter
2 Inch $1,241.00 Each Meter
B. Meters Larger than 2 Inches Based , Actual Costs
C. Temporary Meters_ $1,000.00 Deposit
Kclurim V,.. I'-.AX .a~hiuin_ the AA"❑[ci l)cnrh)i)nicn[ ❑nd Cuxomci Scmir I'cc>
Formatted: Font: (Default) Arial, 12 pt, Font
Requested Move to a New Location $70.00 Per Occurance color: Black
Formatted: Left, Indent: Left: 0.5", Line
Unauthorized Movement $190.00 Per Occurrance spacing: single, No bullets or numbering, Tab
stops: Not at 2.06"
Formatted: Font: (Default) Arial, 12 pt, Font
color: Black
Section 3. Fees identified in Section 3.4 of the Rules and Regulations for Water Formatted: Font: (Default) Anal, 12 pt, Font j
Service shall be as follows: color: Black J
Formatted: Tab stops: 1.13", Left + Not at
A---,Administrative Fee $3 1,218.00 E-eel} - 2.06°
Per application - Formatted: Normal, Indent: Left: 0.88", No
bullets or numbering
3. 1 B- Plan Check Fee Formatted: Font: (Default) Arial, 12 pt, Font
color: Black
Number of Connections
1-x-85 $ 5-39609.00 Rer
Flat Rate
6-10 $ 913.00 Flat Rate
11-20 $ X1,319.00 P-e;
PAtmApFlat Rate
21-3840 $ 21.928.00 P--F
seHReetmenFlat Rate
3441-4860 $ -1-942.537.00 P-er
seestasl~Flat Rate
41-61-8880 $ 454,059.00 €e;
~,-R,em,o,^"^^' ^ Flat Rate
81-99 $4,059.00 Flat Rate Formatted: Font: (Default) Arial, 12 pt, Font
100 and Up $ 112-885,581.00 gee color: Black
£~e' Flat Rate Formatted: List Paragraph, Outline numbered
+ Level: 2 + Numbering Style: 1, 2, 3, +
Start at: 99 + Alignment: Left + Aligned at:
34 3C. Inspection Fee 1.38" + Indent at: 1.8"
Number of Connections Formatted: Normal, Indent: Left: 1.38", No
1-10 $ 1,241.00 Per bullets or numbering
~,rC~-,o^}'^^COnneCtlOn Formatted: Font: (Default) Anal, 12 pt, Font
^n11-20 $ 697.00 Per color: Black
6e??HeeieF}ConneCtlOn Formatted: Font: (Default) Arial, 12 pt, Font
color: Black
21-30 $ 485.00 Per
GGR ^ReGtiGR Connection
31-40 $ 390.00 Per
sep PpAtmAp Connection
41-50 $ 331.00 Per
cAA sNaeConnection
51 and Up $ 295.00 Per
eern=eet;e44COnnection Formatted: Font: (Default) Arial, 12 pt, Font
color: Black
--"D Records and Billing Fee $ 156.00 Per connection Formatted: Numbered + Levee 1 +
Numbering Style: A, B, C, + Start at: 1 +
Alignment: Left + Aligned at: 0.88" + Indent
at: 1.13"
Reolunon No. I _-XX Adol'tims the Wafer Dcccloi,ment and Cu,anner Service Fcc,
5E. Single Service Fee $ 1-494638.00 €4Gh Per
permit
Section 4. Fees identified in Section 3.7 of the Rules and Regulations for Water
Service shall be as follows:
A. Temporary Untreated Water Fee $873.00 Per Acre-foot- Formatted: Font: (Default) Anal, 12 pt, Font
color: Black
Section 5. Fees identified in Section 3.11 of the Rules and Regulations for Water Formatted: Numbered + Level: 1 +
Service shall be as follows: Numbering Style: A, B, C, + Start at: 1 +
Alignment: Left + Aligned at: 1.38" + Indent
at: 1.63"
A. Late Payment Fee $10.00 Per Occurrence
Formatted: Normal, Indent: Left: 0.88", No
i AE B Notice of Discontinuance: $2-0 10.00 bullets or numbering
e-veR Per Occurrence, Formatted: Font: (Default) Anal, 12 pt, Font
color: Black
_-A- C. Shut-off Due to Non-Payment: $ 40.00 Formatted: Font: (Default) Arial, 12 pt, Font
color: Black
e-e~ItPer Occurrence
Formatted: Font: (Default) Arial, 12 pt, Font
color: Black
4.3D. Re-establishment of Service: $40.00 F=aeh Formatted: Font: (Default) Arial, 12 pt, Font
eveRtPer Occurrence color: Black
Formatted: Font: (Default) Anal, 12 pt, Font
3 11 4E. Callouts After Hours: $4-94155.00 color: Black
awn+Per Occurrence Formatted: Font: (Default) Arial, 12 pt, Font
color: Black
444,4L. Tampered Locks:
Residential $80.00 €aA hem^'Per
Occurrence
Commercial $190.00 Per Occurrence
311 Cc) G. Meter Removal ReplaGemeRt: $4 980.00F=;; Ah
e Wer Occurrence
H. Meter Replacement $80.00 Per Occurrence
Plus Labor and Formatted: Left
Formatted: Font: 11 pt
Material
Formatted: List Paragraph, Numbered +
1. Chance of Meter Location: Level: 1 + Numbering Style: I, II, III, + Start
at: 1 + Alignment: Left + Aligned at: 0.88" +
Residential Actual Costs Per Occurrence Indent at: 1.38"
Commercial $70.00 Per Occurrence Formatted: List Paragraph, Indent: Left:
1.38"
J. Meter Testing: Formatted: Indent: Left: 0.88", Tab stops:
At theSource/YLWD $80.00 Per Occurrence 1.38", Left + Not at ls"
Independent Laboratorv Actual Costs Per Occurrence Formatted: Font: (Default) Anal, 12 pt, Font
color: Black
3 41 K Residential Customer Deposit Formatted: Indent: Left: 0.88"
Formatted: List Paragraph, Indent: Left:
Potential of Risk: "Green" $0 Per Meter 1.38"
Rc-lutwn A,,. I'-.A\ the Water llevclopment and Cu,tomer Service Fee,,
Potential of Risk: "Yellow" $125.00 Per Meter
Potential of Risk: "Red" 5225.00 Per Meter Formatted: Font: (Default) Anal, 12 pt, Font
Re§§C~ei~t4 $222rd.99 Re" R- lei color: Black
Formatted: Indent: Left: 0"
L. Commercial Customer Deposit: Formatted: Tab stops: 1.38", Left + Not at
1 M! Inch Meter and Under $450.00 Per HgeterMeter 1.75"
2 and 3-Inch Meter $750.00 Per+:Aete Meter
4 Inch Meter and Larger $2,500.00 Per i:ApterMeter
2. 11 M. Auto-P-pay/NSF Charge:ke}e4 - $22925.00
E^^",^ ^+Per Occurrence
7-11.9 Nen 94rleieHt PHRds Gh„Fge: $25-99 € ;2, eve,pt
3~! !.1ON. New Account Set Up Fee: $25.00 E_ac-k
2F'efltPer Occurrence
X10. GIS Data Conversion Fee: $100.00 Per
heetSheet
3.1.112P. Copying Charges: $0.25 Per
2 11,120. Fax Charges: $0.75 Per
f4aePage
2 Al 4R. Mailing Charges: R^°^.+ +h^ I Icoc r^+ °n „ff,,,.+ At
the tome Actual Costs
~.i i 15S. Shipping Charges: BaSed the P-arrier rates IR e#eG+ at
h~R~,,,r^^ Actual Costs
C nn+: r... 6-. Cnnc .rlnn+.f{nrl .n Cn^+;nn 2-21 ^f +h P_ RI HInc APGI D^n. I- +~i.nc- f^r ~nf n+nr
5;PFyi^^ qhall he AC; follows.
. T1 Mete. e. Testis ,R^^: $1-05 on E-Reh -test
Section 7. Fees identified in Section 5.5 of the Rules and Regulations for Water
Service shall be as follows:
5.5.2 Change in Meter Size
2 Inch $22.00 Per Meter
3 Inch $42.00 Per Meter
4 Inch $72.00 Per Meter
6 Inch & Larger $75.00 Per Meter
Re,oILI[ion No. I _-XX Adol'tim-, the Wafer Deceloi,ment and Cu,anner Service Fcc,
Section 8. Fees identified in Section 6.5-4 of the Rules and Regulations for Water
Service shall be as follows:
--k A. Backflow Device Monitoring Fee $928.00 Per Formatted: Normal, Indent: Left: 0.88°, No
device bullets or numbering
Formatted: Font: (Default) Arial, 12 pt, Font
Section 9. The fees adopted herein shall take effect on February 1, 2008 2012 color: Black
and Resolution Formatted: Font: (Default) Anal, 12 pt, Font
color: Black
No. 4408-4-4-04 is hereby rescinded on 44.y-February 1, 200920112.
PASSED AND ADOPTED this 12th day of fee-January 2992012 by the following
called vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
4e4H W. Strom AeldPhil
Hawkins, President
Yorba Linda Water District
ATTEST:
nZIOP,h~;„ A o c +a.,,Kenneth R. Vecchiarelli
Yorba Linda Water District
Reviewed as to form by General Counsel:
Arthur G. Kidman, Esq.
Kidman, Behrens & Tague
l'-.A\,Adoy)tin-, tlhr\A"atrrUec~lg~rurnr:uxl(u.mmerSrr~i- lr,,
ITEM NO. 3.1
AGENDA REPORT
Meeting Date: December 27, 2011
To: Finance-Accounting Committee
From: Ken Vecchiarelli, General Manager
Presented By: Stephen Parker, Finance Manager Dept: Finance
Prepared By: Delia Lugo, Senior Accountant
Subject: November 2011 Budget to Actual Results
DISCUSSION:
Attached are the District's budget to actual summary results for the Water Fund, Sewer Fund and a
combined statement for both funds pertaining to the reporting month of November 2011.
For the month of November 2011, the District water revenue is trending slightly below expectations due to
lower water consumption from a cooler than normal weather pattern. Water operating revenue is 47% of
annual budget, which is lower by approximately 1.9% from the historical trend for the first five reporting
months of the fiscal year. Our 20 by 2020 baseline is 286.1 gallons per capita per day (GPCD), with a target
of 228.9. For the current fiscal year through November 2011, the reduction of 46.6 GPCD brings us 87.7% of
the way to our goal.Other Operating Revenue is 57% of annual budget for the month of November. This is
primarily due to the activity that was reported in the previous months in relation to the Vista Del Verde
project.
Variable water costs as a percentage of budget are higher than operating revenues as a result of purchasing
more import water prior to Metropolitan Water District of Southern California's 7.5% rate increase, which
takes effect on January 1, 2012.
The majority of the water funds individual supplies and services expenses are trending below or on budget,
with the exception of Dues and Memberships and Insurance, which are higher due to timing differences.
In the month of November Sewer Other Operating Revenue is well over budget due to the Vista del Verde
Project as reported in previous months. Sewer Other Non-Operating revenue is also well over budget, which
is primarily due to receiving $264,000 from the City of Yorba Linda for the sewer transfer. The supplies and
services expenses are trending below or on budget, with the exceptions of Dues and Memberships and
Insurance, which are higher due to timing differences.
PRIOR RELEVANT BOARD ACTION(S):
On November 29, 2011 the Committee reviewed, received and filed the October 31, 2011 Budget to Actual
Results.
ATTACHMENTS:
Nan ie: C:°escri ti r Type:
Nov 2011 Combined.xls Nov 2011 Consolidated Statement Backup Material
Nov 2011 Water.xls Nov 2011 Water Statement Backup Material
Nov 2011 Sewer.xls Nov 2011 Sewer Statement Backup Material
Yorba Linda Water District
Summary Financial Report
Water & Sewer Funds
For Five Months Ending November 30, 2011
Original YTD YTD YTD
Budget Actual Under(Over) % of
FY 2012 FY 2012 Budget Budget
Revenue (Operating):
Water Revenue (Residential) $17,904,893 $8,069,906 $9,834,987 45.07%
Water Revenue (Commercial & Fire Det.) 1,726,651 887,581 839,070 51.40%
Water Revenue (Landscape/Irrigation) 3,757,058 2,143,103 1,613,955 57.04%
Water Revenue (Service Charge) 3,406,392 1,402,057 2,004,335 41.16%
Sewer Charge Revenue 1,548,550 629,427 919,123 40.65%
Locke Ranch Assessments 159,862 11,951 147,911 7.48%
Other Operating Revenue 754,361 507,439 246,922 67.27%
Total Operating Revenue: 29,257,767 13,651,464 15,606,303 46.66%
Revenue (Non-Operating):
Interest 190,000 105,198 84,802 55.37%
Property Tax 1,232,000 124,750 1,107,250 10.13%
Other Non-Operating Revenue 499,369 459,945 39,424 92.11%
Total Non-Operating Revenue: 1,921,369 689,893 1,231,476 35.91%
Total Revenue 31,179,136 14,341,357 16,837,779 46.00%
Expenses (Operating):
Variable Water Costs (G.W., Import & Power) 13,671,538 6,684,058 6,987,480 48.89%
Salary Related Expenses 7,941,303 2,720,081 5,221,222 34.25%
Supplies & Services 4,020,832 1,380,512 2,640,320 34.33%
Total Operating Expenses 25,633,673 10,784,651 14,849,022 42.07%
Expenses (Non-Operating):
Interest on Long Term Debt 1,906,426 788,441 1,117,985 41.36%
Other Expense 123,193 34,030 89,163 27.62%
Total Non-Operating Expenses: 2,029,619 822,471 1,207,148 40.52%
Total Expenses 27,663,292 11,607,122 16,056,170 41.96%
Net Income (Loss) Before Capital Contributions 3,515,844 2,734,235 781,609 77.77%
Contributed Capital - 17,061,427 (17,061,427) 0.00%
Net Income (Loss) Before Depreciation 3,515,844 19,795,662 (16,279,818) 563.04%
Depreciation & Amortization 5,561,699 2,714,465 2,847,234 48.81%
Total Net Income (Loss) ($2,045,855) $17,081,197 ($19,127,052) -834.92%
Capital - Direct Labor - (168,658) 168,658 0.00%
Yorba Linda Water District
Water Fund
For Five Months Ending November 30, 2011
Original Nov YTD YTD YTD
Budget Actual Actual Under(Over) % of
FY 2012 FY 2012 FY 2012 Budget Budget
Revenue (Operating):
Water Revenue (Residential) $17,904,893 $1,394,397 $8,069,906 $9,834,987 45.07%
Water Revenue (Commercial & Fire Det.) 1,726,651 172,165 887,581 839,070 51.40%
Water Revenue (Landscape/Irrigation) 3,757,058 332,597 2,143,103 1,613,955 57.04%
Water Revenue (Service Charge) 3,406,392 281,113 1,402,057 2,004,335 41.16%
Other Operating Revenue 697,360 48,039 410,266 287,094 58.83%
Total Operating Revenue: 27,492,354 2,228,311 12,912,913 14,579,441 46.97%
Revenue (Non-Operating):
Interest 170,000 32,811 97,586 72,414 57.40%
Property Tax 1,232,000 73,380 124,750 1,107,250 10.13%
Other Non-Operating Revenue 495,394 29,750 202,438 292,956 40.86%
Total Non-Operating Revenue: 1,897,394 135,941 424,774 1,472,620 22.39%
Total Revenue 29,389,748 2,364,252 13,337,687 16,052,061 45.38%
Expenses (Operating):
Variable Water Costs (G.W., Import & Power) 13,671,538 770,649 6,684,058 6,987,480 48.89%
Salary Related Expenses 6,953,531 459,206 2,356,688 4,596,843 36.13%
Supplies & Services:
Communications 366,513 4,646 63,262 303,251 17.26%
Contractual Services 527,485 39,546 165,061 362,424 31.29%
Data Processing 119,645 5,517 24,307 95,338 20.32%
Dues & Memberships 55,682 17,861 44,996 10,686 80.81%
Fees & Permits 136,504 7,853 50,085 86,419 36.69%
Insurance 221,526 69 179,867 41,659 81.19%
Materials 352,642 29,768 170,350 182,292 48.31%
District Activities, Emp Recognition 20,757 126 3,365 17,392 16.21%
Maintenance 368,603 31,635 132,236 236,367 35.87%
Non-Capital Equipment 79,221 1,043 21,027 58,194 26.54%
Office Expense 45,714 3,443 15,609 30,105 34.14%
Professional Services 766,431 25,382 199,544 566,887 26.04%
Training 48,625 451 13,981 34,644 28.75%
Travel & Conferences 49,649 1,287 9,099 40,550 18.33%
Uncollectible Accounts 35,340 - 432 34,908 1.22%
Utilities 113,925 4,742 33,635 80,290 29.52%
Vehicle Equipment 278,209 24,040 98,621 179,588 35.45%
Supplies & Services Sub-Total 3,586,471 197,409 1,225,477 2,360,994 34.17%
Total Operating Expenses 24,211,540 1,427,264 10,266,223 13,945,317 42.40%
Expenses (Non-Operating):
Interest on Long Term Debt 1,906,426 155,938 788,441 1,117,985 41.36%
Other Expense 117,193 9,033 34,030 83,163 29.04%
Total Non-Operating Expenses: 2,023,619 164,971 822,471 1,201,148 40.64%
Total Expenses 26,235,159 1,592,235 11,088,694 15,146,465 42.27%
Net Income (Loss) Before Capital Contributions 3,154,589 772,017 2,248,993 905,596 71.29%
Capital Contributions - - 16,537 (16,537) 0.00%
Net Income (Loss) Before Depreciation 3,154,589 772,017 2,265,530 889,059 71.82%
Depreciation & Amortization 4,628,999 445,577 2,230,430 2,398,569 48.18%
Total Net Income (Loss) ($1,474,410) $326,440 $35,100 ($1,509,510) -2.38%
Capital - Direct Labor - (33,403) (155,527) 155,527 -
Yorba Linda Water District
Sewer Fund
For Five Months Ending November 30, 2011
Original Nov YTD YTD YTD
Budget Actual Actual Under(Over) % of
FY 2012 FY 2012 FY 2012 Budget Budget
Revenue (Operating):
Sewer Charge Revenue $1,548,550 $142,522 $629,427 $919,123 40.65%
Locke Ranch Assessments 159,862 11,307 11,951 147,911 7.48%
Other Operating Revenue 57,001 7,099 97,173 (40,172) 170.48%
Total Operating Revenue: 1,765,413 160,928 738,551 1,026,862 41.83%
Revenue (Non-Operating):
Interest 20,000 2,039 7,613 12,387 38.07%
Other Non-Operating Revenue 3,975 (1,937) 257,506 (253,531) 6478.14%
Total Non-Operating Revenue: 23,975 102 265,119 (241,144) 1105.81%
Total Revenue 1,789,388 161,030 1,003,670 785,718 56.09%
Expenses (Operating):
Salary Related Expenses 987,772 72,496 363,393 624,379 38.12%
Supplies & Services:
Communications 30,587 350 5,714 24,873 18.68%
Contractual Services 40,135 3,054 12,801 27,334 31.89%
Data Processing 9,005 415 1,829 7,176 20.31%
Dues & Memberships 4,505 1,344 3,524 981 78.22%
Fees & Permits 14,066 2,024 5,084 8,982 36.14%
Insurance 16,674 5 13,538 3,136 81.19%
Materials 35,703 380 12,472 23,231 34.93%
District Activities, Emp Recognition 1,562 8 248 1,314 15.88%
Maintenance 74,267 14,056 34,796 39,471 46.85%
Non-Capital Equipment 18,799 3,271 9,448 9,351 50.26%
Office Expense 3,411 259 1,175 2,236 34.45%
Professional Services 75,769 1,886 30,961 44,808 40.86%
Training 5,100 133 1,646 3,454 32.27%
Travel & Conferences 4,202 97 771 3,431 18.35%
Uncollectible Accounts 2,660 - 14 2,646 0.53%
Utilities 9,575 415 2,772 6,803 28.95%
Vehicle Equipment 78,341 3,974 18,242 60,099 23.29%
Supplies & Services Sub-Total 424,361 31,671 155,035 269,326 36.53%
Total Operating Expenses 1,412,133 104,167 518,428 893,705 36.71%
Expenses (Non-Operating):
Other Expense 6,000 - - 6,000 0.00%
Total Non-Operating Expenses: 6,000 - - 6,000 0.00%
Total Expenses 1,418,133 104,167 518,428 899,705 36.56%
Net Income (Loss) Before Capital Contributions 371,255 56,863 485,242 (113,987) 130.70%
Contributed Capital - - 17,044,890 (17,044,890) 0.00%
Net Income (Loss) Before Depreciation 371,255 56,863 17,530,132 (17,158,877) 4721.86%
Depreciation & Amortization 932,700 107,438 484,035 448,665 51.90%
Total Net Income (Loss) ($561,445) ($50,575) $17,046,097 ($17,607,542) -3036.11%
Capital - Direct Labor (3,526) (13,131) 13,131
ITEM NO. 3.2
AGENDA REPORT
Meeting Date: December 27, 2011
To: Finance-Accounting Committee
From: Ken Vecchiarelli, General
Manager
Presented By: Stephen Parker, Finance Dept: Finance
Manager
Prepared By: Delia Lugo, Senior Accountant
Subject: Investment Report for Period Ending November 30, 2011
SUMMARY:
Staff is submitting the November 2011 Monthly Investment Reports for the Committee's review.
DISCUSSION:
The Investment Portfolio Report presents the market value and percent yield for all the District
investments by institution. The Investment Report Summary includes budget and actual interest and
average term portfolio information as well as market value broken out by reserves categories. The
total yield for the month ending November 2011 increased to 1.03%. This is the result from the yield
change of investments held in CaITRUST's Medium Term portfolio from 1.19% to 1.24%.
The overall decrease in the investment balance from the previous month is $583,000. A couple of
the larger balance changes include an increase in the Reserve for Debt Service fund of $260,000
due to District meeting its monthly obligation to ensure that funds are set aside for the March 2012
debt service interest payment, a decrease of $495,000 in the Water Operating fund due to decrease
in the month overall accounts payable activity and transfer of funds to the Debt Service Fund, and a
decrease of $388,000 in the 2008 COP Revenue account for CIP project activity.
PRIOR RELEVANT BOARD ACTION(S):
Monthly Investment Reports are presented to the Finance-Accounting Committee on a regular
basis. Quarterly Investment Reports are presented to the Board of Directors. The Investment
Reports for the month ended October 31, 2011 was received and filed by the Finance-Accounting
Committee on November 28, 2011. The Investment Report for the quarter ended September 30,
2011 was received and filed by the Board of Directors on November 10, 2011.
ATTACHMENTS:
Name: Description: Type:
Invst Rpt 11-11.xlsx November 2011 Investment Report Backup Material
Invst Agenda Backup - Nov 2011.xlsx Agenda Backup Backup Material
Yorba Linda Water District
Investment Portfolio Report
November 30, 2011
Market % Percent
Value Cost of Total Institution Yield
Checking Account:
$ 179,654 $ 179,654 Wells Fargo Bank
$ 179,654 $ 179,654 0.64% Total 0.00%
Money Market Accounts:
$ 27 $ 27 Wells Fargo Money Market 0.29%
1,835,549 1,835,549 US Bank (2008 Revenue Bond) 0.10%
2,699 2,699 US Bank (2008 Bond Reserve) 0.10%
$ 1,838,275 $ 1,838,275 6.55% Total 0.10%
Federal Home Loan Bank:
$ 2,157,173 $ 2,144,397 US Bank (2008 Bond Reserve) 1.35%
$ 2,157,173 $ 2,144,397 7.68% 1.35%
Pooled Investment Accounts:
$ 4,187,179 $ 4,187,179 Local Agency Investment Fund 0.40%
19,723,204 19,312,526 Ca1TRUST Medium Term 1.24%
$ 23,910,383 $ 23,499,705 85.13% 1.09%
$ 28,085,485 $ 27,662,031 100% Total Investments 1.04%
Per Government Code requirements, the Investment Report is in compliance with the Yorba
Linda Water District's Investment Policy, and there are adequate funds available to meet
budgeted and actual expenditures for the next six months.
f
Delia Lugo, Senior Accountant
11/30/11
Investment Summary Report
Below is a chart summarizing the yields as well as terms and maturities for the month of November 2011:
Avg. Portfolio Avg. Portfolio # of
Month Yield Without Yield With Days to
of 2011 CalTRUST CalTRUST Maturity
November 0.56% 1.03% 522
Below is are charts comparing operating fund interest for current and prior fiscal years.
Actual Interest 11/30/2010 11/30/2011
Monthly - November $ 21,237 $ 34,850
Year-to-Date $ 89,802 $ 105,198
Budget 2010/2011 2011/2012
Interest Budget, November YTD $ 65,000 $ 79,167
Interest Budget, Annual $ 156,000 $ 190,000
Interest earned on investments is recorded in the fund that owns the investment.
Investment Summary Comparison Between Current and Previous Month
The distribution of investments in the portfolio both in dollars and as a percentage of the total portfolio by funds
is as follows:
October 2011 % Alloc November 2011 % Alloc
Fund Description Balance 10/31/2011 Balance 11/30/2011
Water Operating Reserve $ 2,576,763 9.20% $ 2,587,673 9.27%
Water Emergency Reserve 1,002,070 3.58% 1,002,093 3.59%
Water Capital Project Reserve 17,576,283 62.74% 17,576,741 62.98%
Water Reserve for Debt Service 261,885 0.93% 521,556 1.87%
COP Revenue Bond 2008 - Reserve 2,158,318 7.71% 2,159,872 7.74%
COP Revenue Bond 2008 2,223,143 7.94% 1,835,549 6.58%
Sewer Operating 67,977 0.24% 99,290 0.36%
Sewer Emergency Reserve 1,001,423 3.58% 1,001,446 3.59%
Sewer Capital Project Reserve 1,143,750 4.08% 1,121,611 4.02%
$ 28,011,612 100.00% $ 27,905,831 100.00%
Wells Fargo Bank Checking
Water Operating 600,216 94,727
Sewer Operating 56,244 84,927
656,460 179,654
Totals $ 28,668,072 $ 28,085,485
ITEM NO. 3.3
AGENDA REPORT
Meeting Date: December 27, 2011
Subject: Status of Strategic Plan Initiatives
DISCUSSION:
Attached are the strategies identified in the 2011-2013 Strategic Plan that relate to Fiscal
Responsibility, which are overseen by the Finance-Accounting Committee. Included is an update on
each strategy relating to Fiscal Responsibility.
PRIOR RELEVANT BOARD ACTION(S):
On June 9, 2011 the Board adopted the 2011-2013 Strategic Plan.
ATTACHMENTS:
Narne: Desoiption. Type:
Strategic Plan Tracking- FA.xlsx Strategic Plan Tracking - FA Backup Material
Strategic Plan Initiatives Status Report
Finance - Accounting Committee
Strategies
Start Date
Completion
Lead Party
Dec 2011 Progress
Date
FR 1: Maintain Fiduciary Res onsibilit
Develop a Comprehensive
5 -year financial plan included in budget. More comprehensive version
FR 1 -A
Feb -11
Oct -11
Finance Director
Multi -Year Financial Plan
to be placed in the FY 2012/13 budget.
Revise the Water and
Sewer Rules and
General
Water Rules and Regulations recommended changes submitted to EAO
Regulation and Evaluate
FR 1 -C
Feb -11
Dec -11
Manager/
on December 20, and the corresponding recommended fee schedule
Fee Schedules Regularly
Finance Director
changes submitted to FAC in this meeting.
for Proper Cost of Service
Coverage
FR 3: Ide ntify and Develop Additional Revenue Options
Review Opportunities to
Earn "Cash Back" on
Staff submitted a recommendation to the FAC in November's agenda.
FR 3 -B
Operating Expense
Jan -11
On -going
Finance Director
The full Board is scheduled to vote on the program on December 22.
through Commercial
Credit Card Accounts
FR 4: Provide a Rate Structure that Promotes Water Use Efficienc
Staff met with Raftelis and finalized the recommendations that will be
Complete the Cost of
Finance
presented to the Board at the January 2012 workshop. A preliminary
FR 4 -A
Service and Water Rates
Mar -10
Mar -12
Director /Board
discussion of the workshop items was included in the October Finance-
Study
of Directors
Accounting Committee meeting.
Evaluate Equitable Rate
Board of
The Board will be given information on multiple rate structure options
Structures that Promote
Directors/
FR 4 -B
Oct -11
Mar -12
in January 2012 with which they can give staff direction as to what rate
Conservation and
General
structure they believe would best promote conservation and efficiency.
Efficiency
Manager
Completed
Prepare a High Level
Annual Budget
Document and
Comprehensive Annual
Completed Budget June 2011. Submitted budget for CSMFO and GFOA
FR 1 -13
Financial Report and
Feb -11
Jun -11
Finance Director
award September 2011. CAFR submitted to the FAC and Board in
Compete for Recognition
October 2011. Staff submitted for the GFOA award in November 2011.
by the Government
Finance Officers
Association
Evaluate and Revise the
Completed March 2011. Consider changing allocation methodology in
FR 1 -D
Sewer Fund Allocation
Nov -10
Mar -11
Finance Director
conjunction with FY 2012/13 budget process.
Include in
Maintain Commitment to
Sept -09 Rate
Quarterly
Board of
Quarterly review of debt service ratios will continue as well as
FR 1 -E
Strong Debt Services
Increase
Financial
Directors
integrating the ratio into forward financial projections.
Ratio
Review
Review the Reserve Policy
Finance
Completed review /revision of reserve policy in June 2011. Will review
FR 2 -A
and Funding Levels
Apr -11
Jul -11
Director /Board
again in conjunction with the 2012/13 Budget process.
Annually
of Directors
Annual Review
of CIP
Implement an Approach
Finance
Forward projection of reserve balances will be completed along with
Financial
FR 2 -C
to Ensure Reserves are
Apr -11
Director /Board
future financial projections. The District's reserve needs will be updated
Needs Included
Responsibly Funded
of Directors
for FY 2012/13 with this new data.
in Budget
Preparation
Manage Cash Flow to
Delia Lugo, Senior Accountant reviews the cash balances and needs
FR 3 -C
Maximize Investment
On -going
On -going
Finance Director
daily. Mutliple times a month, excess cash is transferred to investments
Income
to earn interest until the next check register.