HomeMy WebLinkAbout2016-06-06 - Board of Directors Meeting Agenda Packet
AGENDA
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS SPECIAL MEETING
Monday, June 6, 2016, 8:30 AM
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
Ric Collett, President
Michael J. Beverage, Vice President
Phil Hawkins
Robert R. Kiley
Gary T. Melton
4. PUBLIC COMMENTS
Any individual wishing to address the Board is requested to identify themselves and state the matter on which
they wish to comment. If the matter is on the agenda, the Board will recognize the individual for their comment
when the item is considered. No action will be taken on matters not listed on the agenda. Comments are limited
to matters of public interest and matters within the jurisdiction of the Water District. Comments are limited to three
minutes.
5. ACTION CALENDAR
This portion of the agenda is for items where staff presentations and Board discussions are needed prior to
formal Board action.
5.1. Transmittal of Information to the Orange County Registrar of Voters for the November 8,
2016 General Election
Recommendation: That the Board of Directors authorize the General Manager to
submit the Transmittal of Election Information to the Orange County Registrar of
Voters, indicating that a Candidate's Statement of Qualifications is to contain no
more than 400 words and will not be paid for by the District.
6. DISCUSSION ITEMS
This portion of the agenda is for matters that cannot reasonably be expected to be concluded by action of the
Board of Directors at the meeting, such as technical presentations, drafts of proposed policies, or similar items for
which staff is seeking the advice and counsel of the Board of Directors. Time permitting, it is generally in the
District’s interest to discuss these more complex matters at one meeting and consider formal action at another
meeting. This portion of the agenda may also include items for information only.
6.1. Draft FY 2016/17 Operating Budget
7. ADJOURNMENT
7.1. The next Regular Board of Directors Meeting will be held Thursday, June 9, 2016 at 8:30
a.m.
Items Distributed to the Board 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 Board 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. 5.1
AGENDA REPORT
Meeting Date: June 6, 2016
To:Board of Directors
From:Marc Marcantonio, General
Manager
Presented By:Marc Marcantonio, General
Manager
Prepared By:Annie Alexander, Executive
Secretary
Subject:Transmittal of Information to the Orange County Registrar of Voters for the
November 8, 2016 General Election
STAFF RECOMMENDATION:
That the Board of Directors authorize the General Manager to submit the Transmittal of Election
Information to the Orange County Registrar of Voters, indicating that a Candidate's Statement of
Qualifications is to contain no more than 400 words and will not be paid for by the District.
DISCUSSION:
Staff received the attached form from the Orange County Registrar of Voters requesting information
relative to the November 8, 2016 General Election. In addition to providing a map of YLWD’s
boundaries, the District needs to identify if it intends to limit a Candidate’s Statement of
Qualifications to 200 or 400 words and if it will pay for the associated cost of publication. While the
estimated cost of the 2016 General Election has been included in the draft FY 2016/17 budget, the
cost to pay for candidate statements has not.
PRIOR RELEVANT BOARD ACTION(S):
For the November 2014 General Election, the Board determined to limit candidate statements to
400 words. Historically, the District has not paid for the cost of publishing these statements.
ATTACHMENTS:
Name:Description:Type:
OC_ROV_Transmittal_of_Election_Info.pdf Backup Material Backup Material
TRANSMITTAL OF ELECTION INFORMATION SPECIAL DISTRICT
(EC §10509, §10522)
DISTRICT
DISTRICT BOUNDARIES:
Choose One:
❑ I will send to the Registrar of Voters an electronic shape file of District boundaries and
the boundaries of the Divisions of the District, it any, in which a Director is to be
elected at the November 6, 2016 General Election.
(Note: This is the Registrar of Voters' preferred method of transmittal.)
❑ Attached is a map showing the boundaries of this District and the boundaries of
the Divisions of the District, t arty, in which a Director is to be elected at the
November e, 2016 Gereml Election.
Chasse One:
Voters in the District will be voting: ❑ At-large ❑ By Division
THE ELECTIVE OFFICES FOR WHICH AN ELECTION WILL BE HELD WITHIN THE SPECIAL
DISTRICT ON NOVEMBER e, 2016 ARE:
Choose One:
Director(s) to be elected at-large
(# of directors)
OR
Directors) to be elected in the following Divisions:
in Division
(# of directors) (# of division)
in Division
(# of directors) (# of division)
in Division
(#of directors) (# of division)
in Division
(# of directors) (# of division)
Please list below the names of the Incumbents/Appointed Incumbents for the above-mentioned positions:
(Name) ❑ Elected ❑ Appointed (t appointed, the term ends in 20_.)
(Name) ❑ Elected ❑ Appointed (If appointed, the term ends in 20_.)
(Name) ❑ Elected ❑ Appointed (If appointed, the term ends in 20L_.)
(Name) ❑ Elected ❑ Appointed (If appointed, the ten ends in 20_.)
The District authorizes the Candidate's Statement of Qualifications to contain no more than:
(Circle one) (200) or (400) words.
The District (will) or(will not) pay for a Candidate's Statement of Qualifications.
Dated
(Signature)
(District Seal)
(Print Name)
Phone #: Email:
NOTE. Please retum the above information no later than May 31, 2016 to the Registrar of Vmers' office, 1300 South
Grand Avenue, Building C, Santa Ana, CA 92705, Atm: Mamie Nielsen or email to marcia.nielsen @mv.occov.com.
Send the boundary map to Johnson Tern at 1300 South Grand Avenue, Building C, Santa Ana, CA 92705 or at
iohnson.tem®rov .ocoov com.
ITEM NO. 6.1
AGENDA REPORT
Meeting Date: June 6, 2016
Subject:Draft FY 2016/17 Operating Budget
ATTACHMENTS:
Name:Description:Type:
Presentation.pdf Presentation Backup Material
Yorba Linda
waver lL CA
:-A
Budget Workshop #3
FY 2016/ 17
Presented By:
Marc Marcantonio, General Manager
Delia Lugo, Finance Manager
Cindy Botts, Management Analyst
June 6, 2016
Demand Comparisons
YEAR-END ORIG. BUDGET CURRENT BUDGET MWD 15% 2009 Drought Pre-Drought 20x2020
FY 15/16 FY 15/16 FY 16/17 FY 15/16 FY 10/11 FY 15/16
Proj. Year End (36%-Jun-Feb) (28% of CY13) (15% Conserv.) (Voluntary 19%) (5 Yr Baseline)
AF r 151800 16,534 17,030 181567 19,276 201236 221855
"Bouce Back"
from FY
15/16 Proj. 5% 8% 18% 22% 28% 45%
Year End
�j
Base Fee Reduction Requirements
Ba' ee,;.er _
T'
Connection , Annually = Reduction in
Service Charge Revenue
- $ 10 decrease on 1 " Meter = ($3M )
- $3 decrease on I " Meter = ($900K)
-7 _
Option 1
of Op Exp 39% 41% 43% 45%
$ $ 9,886,328- $; 10,972,254 $ 12,049,418 $ 13,110,968
Status Quo- 8% Bounce Back ;
_ r 17,030 AF(65% GW) _ _ e _ .
$ 27,236,922 305 $�n?„R48,288 $ 0125,453- $ 313 ' (M - � –
_ _
,227 $ 9,895,271 $ 10,97 , 4 $ 12,049,418 $ ' 3, �
Commodity $ 16,564,695 $ 18,076,034 $ 18,076,034 $ 18,076,034 $ 18,076,034
Other Revenues $ 2,914,749 $ 2,772,254 $ 2,883,753 $ 2,929,647 $ 2,993,868
Total Revenues $ 30,151,671 $30,743,559 $ 31,932,041 $ 33,055,100 $ 34,180,870
O&M Expenses $ 21,639,388 $ 25,349,560 $ 26,567,800 $ 27,897,394 $ 29,153,827
Power Costs $ 1,117,959 $ 1,085,951 $ 1,118,529 $ 1,152,085 $ 1,186,648
Water Supply Costs $ 9,679,591 $ 11,652,967 $ 12,298,542 $ 13,030,202 $ 13,662,272
Salary Related Expenses $ 7,284,591 $ 8,088,361 $ 8,492,779 $ 8,917,418 $ 9,363,289
Supplies&Services $ 3,557,246 $ 4,522,281 $ 4,657,950 $ 4,797,688 $ 4,941,619
Other Expenses $ 224,862 $ 193,000 $ 193,795 $ 124,509 $ 125,244
Total Expenses $ 21,864,251 $25,542,560 $ 26,761,595 $ 28,021,903 $ 29,279,071
Net Revenue $ 8,287,420 $ 5,200,999 $ 5,170,446 $ 5,033,197 $ 4,901,799
Debt Service $ 2,721,559 $ 2,716,884 $ 2,714,309 $ 2,718,509 $ 2,710,909
Available to Transfer to CIP $ 5,565,861 $ 2,484,115 $ 2,456,137 $ 2,314,688 $ 2,190,890
Beginning CIP Resery Bal $ 16,952,425 $ 17,796,273 $ 8,224,397 $ 3,662,534 $ 2,129,122
CIP Requirements $ 4,722,012 $ 12,055,992 $ 7,018,000 $ 3,848,100 $ 380,000
$ 17,796,273 $ 8,224,397 $ 3,662,534 $ 2,129,122 $ 3,940,012
DebtSetj4 gs— M 305% 191% 190% 185% 181
TE. =` - _
• Most Conservative- 8 " Bounce Back"-'
CYrT d u need f H-- X FYI 6/ 17- 24% Reduction in Base Fee
• Incremental Increases to 45% of Total
Expenses at FYI 9/20
• All CIP Approved is Completed
• No Depreciation Funded
• Near Depletion of CIP Reserves
• No Ot h-e r serves Funded
Option 2
of Op Exp 39% 41% 43% 43%
$ $ 9,886,328 $ 11,584,756 $ 12,672,453 $ 13,110,968
Increasing Demand FY 2016 FY 2017 FY 2018 FY 2019 FY i
17,030 AF- 19,276 AF(65% GWjgm Forecast Projected Projectejd& Proj i
" Revenues From Rates _ /$ 36",922 $ 27,971,305 $ / ls1,675,215 $� �4N2,861 $ 33;5-64,4-11_Y v -
- vk -,$ 10,672,22 9,895,271 $ 10,91 2,25� J"S2ETzl9,zk t
Commodity $ 16,564,695 $ 18,076,034 $ 19,702,961 $ 20,453,443 $ 20,453,443
Other Revenues $ 2,914,749 $ 2,772,254 $ 2,883,753 $ 2,929,647 $ 2,993,868
Total Revenues $ 30,151,671 $30,743,559 $ 33,558,968 $ 35,432,508 $ 36,558,279
0&M Expenses $ 21,639,388 $ 25,349,560 $ 28,061,707 $ 29,346,312 $ 30,691,593
Power Costs $ 1,117,959 $ 1,085,951 $ 1,266,045 $ 1,304,026 $ 1,343,147
Water Supply Costs $ 9,679,591 $ 11,652,967 $ 13,644,933 $ 14,327,180 $ 15,043,538
Salary Related Expenses $ 7,284,591 $ 8,088,361 $ 8,492,779 $ 8,917,418 $ 9,363,289
Supplies& Services $ 3,557,246 $ 4,522,281 $ 4,657,950 $ 4,797,688 $ 4,941,619
Other Expenses $ 224,862 $ 193,000 $ 193,795 $ 124,509 $ 125,244
Total Expenses $ 21,864,251 $25,542,560 $ 28,255,502 $ 29,470,821 $ 30,816,837
Net Revenue $ 8,287,420 $ 5,200,999 $ 5,303,466 $ 5,961,687 $ 5,741,442
Debt Service $ 2,721,559 $ 2,716,884 $ 2,714,309 $ 2,718,509 $ 2,710,909
Available to Transfer to CIP $ 5,565,861 $ 2,484,115 $ 2,589,157 $ 3,243,178 $ 3,030,533
Beginning CIP Resery Bal $ 16,952,425 $ 17,796,273 $ 8,224,397 $ 3,795,554 $ 3,190,633
CIP Requirements $ 4,722,012 $ 12,055,992 $ 7,018,000 $ 3,848,100 $ 380,000
$ 17,796,273 $ 8,224,397 $ 3,795,554 $ 3,190,633 $ 5,841,166
D_P-ht Se icz — � 3 5% 191% 195% 219%,l 212%
Option 2 Notes
• Slow Increase in DemQnd (8-,To-22%)
Sales
Increased Demand
• 1 6/ 17- 24% Reduction in Base Fee
• Incremental Increases to 450 of Total
Expenses at FYI 9/20
• All CIP Approved is Completed
• No Depreciation Funded
• Less Depletion of CIP Reserves
• No Other-'ORe-serves Funded „
. ' A�
Option 3
%of Op Exp 37% 40% 42% 45%
$ $ 9,895,271 $' 11,302,201 $ 2,377,745 $ 13,867,577 .�
22% Bounce Back
_ r 19,276 AF(65% GW) " -
27,236,92 8 ,714 31 199 _34$ ,
�Se'v c 27 $ 9 ,271
$ 11,36 , 01 $ 12,377,745 $ 13 7
Commodity $ 16,564,695 $ 20,453,443 $ 20,453,443 $ 20,453,443 $ 20,453,443
Other Revenues $ 2,914,749 $ 2,772,254 $ 2,883,753 $ 2,929,647 $ 2,993,868
Total Revenues $ 30,151,671 $ 33,120,968 $ 34,639,397 $ 35,760,835 $ 37,314,888
O&M Expenses $ 21,639,388 $ 26,834,986 $ 28,061,707 $ 29,346,312 $ 30,691,593
Power Costs $ 1,117,959 $ 1,229,170 $ 1,266,045 $ 1,304,026 $ 1,343,147
Water Supply Costs $ 9,679,591 $ 12,995,174 $ 13,644,933 $ 14,327,180 $ 15,043,538
Salary Related Expenses $ 7,284,591 $ 8,088,361 $ 8,492,779 $ 8,917,418 $ 9,363,289
Supplies&Services $ 3,557,246 $ 4,522,281 $ 4,657,950 $ 4,797,688 $ 4,941,619
Other Expenses $ 224,862 $ 193,000 $ 193,795 $ 124,509 $ 125,244
Total Expenses $ 21,864,251 $ 27,027,986 $ 28,255,502 $ 29,470,821 $ 30,816,837
Net Revenue $ 8,287,420 $ 6,092,982 $ 6,383,895 $ 6,290,014 $ 6,498,051
Debt Service $ 2,721,559 $ 2,716,884 $ 2,714,309 $ 2,718,509 $ 2,710,909
Available to Transfer to CIP $ 5,565,861 $ 3,376,098 $ 3,669,586 $ 3,571,505 $ 3,787,142
Beginning CIP Resery Bal $ 16,952,425 $ 17,796,273 $ 9,116,379 $ 5,767,965 $ 5,491,370
CIP Requirements $ 4,722,012 $ 12,055,992 $ 7,018,000 $ 3,848,100 $ 380,000
$ 17,796,273 $ 9,116,379 $ 5,767,965 $ 5,491,370 $ 8,898,512
Debt Serui g,— L M 305% 224% 235% 231° 240%
Option 3 Notes
• Least Conservative- 22,7, " Bounce Back"
�m &Ol
• 1 6/ 17- 24% Reduction in Base Fee
• Incremental Increases to 450 of Total
Expenses at FYI 9 /20
• All CIP Approved is Completed
• Depreciation in Part Potentially Funded
• Less Depletion of CIP Reserves
• Other Reserves Potentially Funded
1016 -IVA
Potential Financial Implications
Staff Disc i-t-h -Advisor$�,,,.;
P I M= cts on :
— District Rating from Fitch/S &P
— Bond Refunding
— LOC Extension/Future Borrowing
Ability to Respond to Changing
Circumstances
— Emergencies/WQ Concerns/Op. Plan Changes
- 4i