HomeMy WebLinkAbout2018-11-13 - Board of Directors Meeting Agenda Packet (B)
AGENDA
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Tuesday, November 13, 2018, 6:30 PM
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
Al Nederhood, President
Brooke Jones, Vice President
Andrew J. Hall, Director
Phil Hawkins, Director
J. Wayne Miller, Director
4. ADDITIONS/DELETIONS TO THE AGENDA
5. INTRODUCTIONS AND PRESENTATIONS
5.1. Elected Official Liaison Reports
6. 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.
7. CONSENT CALENDAR
All items listed on the consent calendar are considered to be routine matters, status reports, or documents
covering previous Board instructions. The items listed on the consent calendar may be enacted by one motion.
There will be no discussion on the items unless a member of the Board, staff, or public requests further
consideration.
7.1. Minutes of the Board of Directors Regular Meeting Held September 25, 2018
Recommendation: That the Board of Directors approve the minutes as presented.
7.2. Minutes of the Board of Directors Workshop Meeting Held October 8, 2018
Recommendation: That the Board of Directors approve the minutes as presented.
7.3. Minutes of the Board of Directors Special and Regular Meetings Held October 9, 2018
Recommendation: That the Board of Directors approve the minutes as presented.
7.4. Payments of Bills, Refunds, and Wire Transfers as of October 23, 2018 and November
13, 2018
Recommendation: That the Board of Directors ratify and authorize disbursements of
October 23, 2018 and for November 13, 2018 in the amount of $2,744,853.73.
7.5. Directors and General Manager Fees and Expenses Report for First Quarter of FY19
Recommendation: That the Board of Directors receive and file the Directors and
General Manager Fees and Expenses Report for First Quarter of FY19.
7.6. Notice of Completion for 2018 Sewer Main CIPP Rehabilitation Project
Recommendation: That the Board of Directors authorize staff to file the Notice of
Completion for construction of the 2018 Sewer Main CIPP Rehabilitation Project,
Job No. J2017-37S.
8. ACTION CALENDAR
This portion of the agenda is for items where staff presentations and Board discussions are needed prior to
formal Board action.
8.1. Proposed Water Rates Effective January 1, 2019
Recommendation: That the Board of Directors adopt Resolution No. 18-32 adjusting
water rates effective January 1, 2019 and rescinding Resolution No. 16-10.
8.2. Amending the General Manager's Employment Agreement
Recommendation: That the Board of Directors consider: (1) approving the Fifth
Amendment to the Employment Agreement for the Position of General Manager as
negotiated by the District's Designated Representative; and (2) adopting Resolution
No. 18-33, approving the Classification and Salary for the General Manager
effective September 2, 2018, and rescinding Resolution No. 17-39.
9. 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.
9.1. Unaudited Financial Statements for the First Quarter of FY19
9.2. Status of Operations Activities
10. REPORTS, INFORMATION ITEMS, AND COMMENTS
10.1. Directors' Reports
· Intergovernmental Meetings, Conferences, and Events
10.2. General Manager's Report
10.3. General Counsel's Report
10.4. Future Agenda Items and Staff Tasks
11. COMMITTEE REPORTS
11.1. Interagency Committee with MWDOC and OCWD
(Nederhood/Jones)
· Next meeting scheduled January 24, 2019 at 4:00 p.m.
11.2. Joint Agency Committee with City of Yorba Linda
(Nederhood/Jones)
· Next meeting scheduled December 10, 2018 at 4:00 p.m. at YL City Hall.
12. BOARD OF DIRECTORS ACTIVITY CALENDAR
12.1. Meetings from November 14 - December 31, 2018
13. ADJOURNMENT
13.1. The Regular Meeting scheduled Tuesday, November 27, 2018 has been cancelled. The
next Regular Meeting will be held Tuesday, December 11, 2018. Closed Session (if
necessary) will begin at 5:30 p.m. and regular business at 6:30 p.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. 7.1
AGENDA REPORT
Meeting Date: November 13, 2018
Subject:Minutes of the Board of Directors Regular Meeting Held September 25, 2018
STAFF RECOMMENDATION:
That the Board of Directors approve the minutes as presented.
ATTACHMENTS:
Name:Description:Type:
2018-09-25_-_Minutes_-_BOD.docx Minutes Minutes
Minutes of the YLWD Board of Directors Regular Meeting Held September 25, 2018 at 6:30 p.m. 1
2018-XXX
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Tuesday, September 25, 2018, 6:30 p.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The meeting was called to order at 6:30 p.m.
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
Brooke Jones, Vice President Brett Barbre, Assistant General Manager
Andrew J. Hall Gina Knight, HR/Risk and Safety Manager
Phil Hawkins Delia Lugo, Finance Manager
J. Wayne Miller Rosanne Weston, Engineering Manager
Annie Alexander, Exec Asst/Board Secretary
DIRECTORS ABSENT John Brundahl, Senior Plant Operator
Al Nederhood, President Mike Carreon, Facilities Maintenance Worker
Freddie Ojeda, Operations Superintendent
Kaden Young, Management Analyst
4. ADDITIONS/DELETIONS TO THE AGENDA
None.
5. INTRODUCTIONS AND PRESENTATIONS
5.1. Elected Official Liaison Reports
None.
6. PUBLIC COMMENTS
John Brundahl, Senior Plant Operator, thanked the Board for supporting the
District’s continuing education program.
Minutes of the YLWD Board of Directors Regular Meeting Held September 25, 2018 at 6:30 p.m. 2
2018-XXX
7. CONSENT CALENDAR
Director Hawkins made a motion, seconded by Director Hall, to approve the
Consent Calendar. Motion carried 4-0-0-1 with Director Nederhood being
absent.
7.1. Minutes of the Board of Directors Regular Meeting Held July 24, 2018
Recommendation: That the Board of Directors approve the minutes as
presented.
7.2. Minutes of the Board of Directors Special and Regular Meetings Held
August 14, 2018
Recommendation: That the Board of Directors approve the minutes as
presented.
7.3. Minutes of the Board of Directors Special Meeting Held August 28, 2018
Recommendation: That the Board of Directors approve the minutes as
presented.
7.4. Payments of Bills, Refunds, and Wire Transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of $2,702,527.22.
8. ACTION CALENDAR
8.1. Recognizing Water Professionals Appreciation Week
Director Hawkins made a motion, seconded by Director Hall, to adopt
Resolution No. 18-30 recognizing October 6-14, 2018 as Water
Professionals Appreciation Week. Motion carried 4-0-0-1 on a Roll Call
vote with Director Nederhood being absent.
9. DISCUSSION ITEMS
Staff responded to questions from the Board related to the following financial
reports.
9.1. Budget to Actual Reports for the Month Ending July 31, 2018 and August
31, 2018
9.2. Cash and Investment Report for Period Ending July 31, 2019
Minutes of the YLWD Board of Directors Regular Meeting Held September 25, 2018 at 6:30 p.m. 3
2018-XXX
10. REPORTS, INFORMATION ITEMS, AND COMMENTS
10.1. Directors' Reports
Director Miller reported on his participation in a newly formed ACWA
Water Quality Committee feasibility workgroup.
10.2. General Manager's Report
Assistant General Manager Brett Barbre asked each of the managers in
attendance to report on activities within their respective departments. He
then briefed the Board on the results of the District’s recent infrastructure
tours, pending legislation, and upcoming events.
10.3. General Counsel’s Report
None.
10.4. Future Agenda Items and Staff Tasks
Director Miller requested an item on the next regular meeting agenda to
review the fiscal impact of the increased OCWD Basin Pumping
Percentage.
Vice President Jones suggested an item be placed on a future agenda for
President Nederhood to report on his review of OC LAFCO’s dues
structure. Staff suggested the District’s legal counsel prepare a memo
regarding this matter.
11. COMMITTEE REPORTS
11.1. Interagency Committee with MWDOC and OCWD
(Nederhood/Jones)
Next meeting is scheduled September 27, 2018 at 4:00 p.m.
11.2. Joint Agency Committee with City of Yorba Linda
(Nederhood/Jones)
Minutes of the meeting held September 10, 2018 at 4:00 p.m. will
be provided when available.
Next meeting is scheduled December 10, 2018 at 4:00 p.m. at YL
City Hall.
Minutes of the YLWD Board of Directors Regular Meeting Held September 25, 2018 at 6:30 p.m. 4
2018-XXX
11.3. Joint Agency Committee with City of Placentia
(Nederhood/Jones)
Next meeting yet to be scheduled.
12. INTERGOVERNMENTAL MEETINGS
The Directors noted their attendance at the following meetings and events.
12.1. OC LAFCO – September 12, 2018 (Nederhood – As Needed)
12.2. YL Mayor’s Prayer Breakfast – September 13, 2018 (Hawkins/Jones/Nederhood)
12.3. YL City Council – September 18, 2018 (Jones)
12.4. MWDOC Board – September 19, 2018 (Nederhood/Jones)
12.5 ACWA Water Treatment Webinar – September 19, 2018 (Miller)
12.6. OCWD Board – September 19, 2018 (Jones)
12.7. WEF Water Summit – September 20, 2018 (Nederhood)
12.8. ACWA Groundwater Committee – September 20, 2018 (Jones)
13. BOARD OF DIRECTORS ACTIVITY CALENDAR
13.1. Meetings from September 26 – December 31, 2018
The Board made no changes to the activity calendar.
14. ADJOURNMENT
15.1. The meeting was adjourned at 7:00 p.m.
Annie Alexander
Board Secretary
ITEM NO. 7.2
AGENDA REPORT
Meeting Date: November 13, 2018
Subject:Minutes of the Board of Directors Workshop Meeting Held October 8, 2018
STAFF RECOMMENDATION:
That the Board of Directors approve the minutes as presented.
ATTACHMENTS:
Name:Description:Type:
2018-10-08_-_Minutes_-_BOD.doc Minutes Minutes
Minutes of the YLWD Board of Directors Workshop Meeting Held October 8, 2018 at 4:30 p.m. 1
2018-XXX
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS WORKSHOP MEETING
Monday, October 8, 2018, 4:30 p.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The meeting was called to order at 4:30 p.m.
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
Al Nederhood, President Marc Marcantonio, General Manager
Brooke Jones, Vice President Brett Barbre, Assistant General Manager
J. Wayne Miller John DeCriscio, Operations Manager
Delia Lugo, Finance Manager
DIRECTORS ABSENT Art Vega, Information Services Manager
Andrew J. Hall Rosanne Weston, Engineering Manager
Phil Hawkins Annie Alexander, Executive Asst/Board Secretary
Bryan Hong, Water Quality Engineer
Vivian Lim, Human Resources Analyst
Kelly McCann, Senior Accountant
Kaden Young, Management Analyst
4. PUBLIC COMMENTS
None.
5. DISCUSSION ITEMS
5.1. 5-Year Forecast of District’s Operating Budget
Staff reviewed factors considered during the development of a 5-year
forecast of the District’s operating budget for inclusion in the fully
illustrated budget document being submitted to the Government Finance
Officers Association (GFOA) at the end of the month.
Staff then provided an overview of the following topics: key information
associated with Fitch Ratings’ surveillance conducted November 2017;
Minutes of the YLWD Board of Directors Workshop Meeting Held October 8, 2018 at 4:30 p.m. 2
2018-XXX
operational costs which had been absorbed; operational cost efficiencies
which had been implemented; reserve policy targets and rating agencies’
metrics for maintaining an AA rating; and variables considered during the
process of evaluating the need for a potential rate adjustment.
Staff then reviewed multiple financial scenarios and the projected impact
on water revenue, debt coverage ratio, reserve balances, and credit
ratings. Staff also requested the Board consider the development of
policies related to future rate adjustments and funding for capital
improvements, and the implementation of a 2-year budget cycle. Staff
then reviewed key elements of the 5-year operating budget forecast
including proposed rate adjustments, total capital expenditures, and the
projected financial impact on average and high usage residential
customers. Staff also noted uncertainties associated with pending
legislation, water quality regulatory requirements, and environmental
conditions.
In depth discussion followed regarding various aspects of the 5-year
operating budget forecast. It was determined to continue review of this
matter at another workshop meeting where the full Board could be
present. Staff will present historical projected revenues versus actual
revenues at this same meeting. Staff will also arrange to have the
District’s General Counsel provide a presentation at a future meeting
regarding Proposition 218 notice requirements.
6. ADJOURNMENT
6.1. The meeting was adjourned at 7:24 p.m.
Annie Alexander
Board Secretary
ITEM NO. 7.3
AGENDA REPORT
Meeting Date: November 13, 2018
Subject:Minutes of the Board of Directors Special and Regular Meetings Held October
9, 2018
STAFF RECOMMENDATION:
That the Board of Directors approve the minutes as presented.
ATTACHMENTS:
Name:Description:Type:
2018-10-09_-_Minutes_-_BOD_(A).docx Minutes Minutes
2018-10-09_-_Minutes_-_BOD_(B).docx Minutes Minutes
Minutes of the YLWD Board of Directors Special Meeting Held October 9, 2018 at 6:00 p.m. 1
2018-XXX
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS SPECIAL MEETING
Tuesday, October 9, 2018, 6:00 p.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The meeting was called to order at 6:03 p.m.
2. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
Al Nederhood, President Marc Marcantonio, General Manager
Brooke Jones, Vice President Brett Barbre, Assistant General Manager
Andrew J. Hall Annie Alexander, Executive Assistant/Board Secretary
J. Wayne Miller
DIRECTORS ABSENT ALSO PRESENT
Phil Hawkins Andrew Gagen, General Counsel, Kidman Gagen Law LLP
3. PUBLIC COMMENTS
None.
4. CLOSED SESSION
The meeting was adjourned to Closed Session at 6:03 p.m. All Directors in
attendance were present. Also present was General Counsel Andrew Gagen.
4.1. Conference with Labor Negotiators
Pursuant to Section 54957.6 of the California Government Code
Agency Designated Representative: Andrew B. Gagen, General Counsel
Unrepresented Employee: General Manager
The Board reconvened in Open Session at 6:28 p.m. General Counsel Gagen
stated that no action was taken during Closed Session that was required to be
reported under the Brown Act.
Minutes of the YLWD Board of Directors Special Meeting Held October 9, 2018 at 6:00 p.m. 2
2018-XXX
5. ADJOURNMENT
5.1. The meeting adjourned at 6:28 p.m.
Annie Alexander
Board Secretary
Minutes of the YLWD Board of Directors Regular Meeting Held October 9, 2018 at 6:30 p.m. 1
2018-XXX
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Tuesday, October 9, 2018, 6:30 p.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The meeting was called to order at 6:35 p.m.
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
Al Nederhood, President Marc Marcantonio, General Manager
Brooke Jones, Vice President Brett Barbre, Assistant General Manager
Andrew J. Hall John DeCriscio, Operations Manager
J. Wayne Miller Gina Knight, HR/Risk and Safety Manager
Delia Lugo, Finance Manager
DIRECTORS ABSENT Rosanne Weston, Engineering Manager
Phil Hawkins Annie Alexander, Exec Asst/Board Secretary
Mike Carreon, Facilities Maintenance Worker
Kaden Young, Management Analyst
ALSO PRESENT
Andrew Gagen, General Counsel, Kidman Gagen Law LLP
Daphne Munoz, Partner, White Neilsen Diehl Evans
4. ADDITIONS/DELETIONS TO THE AGENDA
Staff requested to move Item No. 8.4 in front of Item No. 8.1.
5. INTRODUCTIONS AND PRESENTATIONS
5.1. Elected Official Liaison Reports
Assistant General Manager Brett Barbre, in his capacity as Director for
MWDOC and the Metropolitan Water District of Southern California (MET),
commented on the keynote speaker for the upcoming MWDOC Water
Policy Forum.
Minutes of the YLWD Board of Directors Regular Meeting Held October 9, 2018 at 6:30 p.m. 2
2018-XXX
6. PUBLIC COMMENTS
None.
7. CONSENT CALENDAR
Director Jones made a motion, seconded by Director Hall, to approve the
Consent Calendar. Motion carried 4-0-0-1 with Director Hawkins being absent.
7.1. Minutes of the Board of Directors Regular Meeting Held August 28, 2018
Recommendation: That the Board of Directors approve the minutes as
presented.
7.2. Minutes of the Board of Directors Special and Regular Meetings Held
September 11, 2018
Recommendation: That the Board of Directors approve the minutes as
presented.
7.3. Payments of Bills, Refunds, and Wire Transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of $2,432,746.16.
8. ACTION CALENDAR
The following items were taken out of order.
8.4. Audit Report for Fiscal Year Ending June 30, 2018
Director Hall made a motion, seconded by Director Jones, to receive and
file the Yorba Linda Water District Comprehensive Annual Financial
Reports for Fiscal Year Ending June 30, 2018, the Report on Internal
Control, and the Communication to Those in Governance Letter. Motion
carried 4-0-0-1 with Director Hawkins being absent.
8.1. Establishing Procedure for the Presentation of Claims Not Covered by the
Government Claims Act
Director Jones made a motion, seconded by Director Hall, to adopt
Ordinance No. 18-01 establishing a Local Claims Ordinance and
delegating authority to the General Manager to resolve small claims.
Motion carried 4-0-0-1 on a Roll Call vote with Director Hawkins being
absent.
Minutes of the YLWD Board of Directors Regular Meeting Held October 9, 2018 at 6:30 p.m. 3
2018-XXX
8.2. Amending the District’s Conflict of Interest Code
Director Miller made a motion, seconded by Director Jones, to approve
Resolution No. 18-31 adopting a Conflict of Interest Code which
supersedes all prior Conflict of Interest Codes and amendments
previously adopted. Motion carried 4-0-0-1 on a Roll Call vote with
Director Hawkins being absent.
8.3. Election of Independent Special District of Orange County (ISDOC)
Officers
Director Hall made a motion, seconded by Director Jones, to instruct the
President or alternate Director to cast the District’s ballot in this election.
Motion carried 4-0-0-1 with Director Hawkins being absent.
The following meetings were conducted prior to the regular meeting.
8.5. Adjourn to Yorba Linda Water District Financing Authority and Public
Financing Corporation Regular Meetings
9. DISCUSSION ITEMS
9.1. Results of Annual Assessment of Governing Board Effectiveness
The Board briefly commented on the survey results.
9.2. Status of Engineering Activities
Staff reviewed the status of various projects in design and construction,
water quality activities, and other items of interest.
10. REPORTS, INFORMATION ITEMS, AND COMMENTS
10.1. Directors' Reports
Director Miller reported on his participation in a webinar regarding future
water priorities for the nation.
10.2. General Manager's Report
General Manager Marc Marcantonio asked each of the managers in
attendance to report on activities within their respective departments. He
then briefed the Board on recent legislative activities.
Minutes of the YLWD Board of Directors Regular Meeting Held October 9, 2018 at 6:30 p.m. 4
2018-XXX
10.3. General Counsel’s Report
None.
10.4. Future Agenda Items and Staff Tasks
Director Hall requested an item be placed on a future agenda to discuss
the categories of “Roles” and “Clear Sense of Purpose” in the Board of
Directors’ most recent assessment.
Director Hall also requested the policy statements discussed during the
most recent workshop meeting be placed on a future agenda for further
consideration. Staff was tasked with scheduling a second workshop
meeting prior to October 31, 218 to a date and time when the full Board
could be present.
11. COMMITTEE REPORTS
11.1. Interagency Committee with MWDOC and OCWD
(Nederhood/Jones)
Minutes of the meeting held September 27, 2018 at 4:00 p.m. will
be provided when available.
Next meeting is scheduled November 19, 2018 at 4:00 p.m.
11.2. Joint Agency Committee with City of Yorba Linda
(Nederhood/Jones)
Minutes of meeting held September 10, 2018 at 4:00 p.m. were
included in the agenda packet.
Next meeting is scheduled December 10, 2018 at 4:00 p.m. at YL
City Hall.
11.3. Joint Agency Committee with City of Placentia
(Nederhood/Jones)
Next meeting is yet to be scheduled.
12. INTERGOVERNMENTAL MEETINGS
The Directors noted their attendance at the following meetings and events.
12.1. CSDA Annual Conference – September 24-27, 2018 (Nederhood)
Minutes of the YLWD Board of Directors Regular Meeting Held October 9, 2018 at 6:30 p.m. 5
2018-XXX
12.2. OCSD Board – September 26, 2018 (Hawkins)
12.3. MWD Inspection Trip – September 28-30, 2018 (Miller)
12.4. YL City Council – October 2, 2018 (Jones)
12.5 MWDOC Board – October 3, 2018 (Jones)
12.6. OCSD Operations Committee – October 3, 2018 (Hawkins)
12.7. OCWD Board – October 3, 2018 (Miller/Jones)
12.8. ACWA MCL Economic Feasibility Work Group – October 4, 2018 (Miller)
12.9. WACO – October 5, 2018
13. BOARD OF DIRECTORS ACTIVITY CALENDAR
13.1. Meetings from October 10 – December 31, 2018
The Board made no changes to the activity calendar.
13. ADJOURNMENT
13.1. The meeting was adjourned at 7:51 p.m.
Annie Alexander
Board Secretary
ITEM NO. 7.4
AGENDA REPORT
Meeting Date: November 13, 2018 Budgeted:N/A
To:Board of Directors Cost Estimate:$2,744,853.73
Funding Source:All Funds
From:Marc Marcantonio, General
Manager
Presented By:Delia Lugo, Finance Manager Dept:Finance
Reviewed by Legal:N/A
Prepared By:Richard Cabadas, Accounting
Assistant I
CEQA Compliance:N/A
Subject:Payments of Bills, Refunds, and Wire Transfers as of October 23, 2018 and
November 13, 2018
SUMMARY:
Section 31302 of the California Water Code says the District shall pay demands made against it
when they have been approved by the Board of Directors. Pursuant to law, staff is hereby
submitting the list of disbursements for Board of Directors’ approval.
STAFF RECOMMENDATION:
That the Board of Directors ratify and authorize disbursements of October 23, 2018 and for
November 13, 2018 in the amount of $2,744,853.73.
DISCUSSION:
At the October 9, 2018 regular meeting staff informed the Board that, though the regular
meeting scheduled for October 23, 2018 had been cancelled, there would still be a disbursement of
payments in order for the District to meet its obligations by the listed due dates.
The items on the attached disbursement lists include: a check of $197,600.00 to Christensen
Brothers General Engineering for Waterline Replacement Project Progress Payment #03; a check
of $119,622.91 to ACWA/JPIA for November medical & dental premiums; a check of $64,309.94 to
City of Anaheim for September 2018 electricity charges; a check of $318,490.92 to Shea Homes as
a reimbursement payment for costs associated with the Lakeview Sewer Replacement Project; a
wire of $760,420.74 to MWDOC for August 2018 water purchases; a wire of $44,481.64 to So.
California Gas Co. for September 2018 gas charges at multiple locations; a wire of $51,199.84 to
So. California Edison for September 2018 electricity charges at multiple locations; and a wire of
$4,795.13 to So. California Edison for September 2018 electricity charges at Miraloma Ave. The
balance of $584,690.80 is for routine invoices.
The two Accounts Payable check registers total $2,145,611.92, Payroll No. 20 total is $298,963.09,
and Payroll No. 21 total is $300,278.72, where the combined disbursements for this agenda report
is $2,744,853.73. A summary of the disbursements is attached.
PRIOR RELEVANT BOARD ACTION(S):
The Board of Directors approves bills, refunds and wire transfers semi-monthly.
ATTACHMENTS:
Name:Description:Type:
18-CS_1113.doc.pdf Cap Sheet Backup Material
CkReg111318.pdf Check Register Backup Material
CkReg102318.pdf Check Register Backup Material
18_CC_1113.pdf Credit Card Summary Backup Material
18_CC_1023.pdf Credit Card Summary Backup Material
Summary of Disbursements
October 23, 2018 & November 13, 2018
CHECK NUMBERS & WIRES:
10/23/2018 Computer Checks 73041—73117 $ 600,933.15
11/13/2018 Computer Checks 73118—73224 $ 683,781.42
____________
$ 1,284,714.57
WIRES:
W 101518 Municipal Water District $ 760,420.74
W101718 So. California Gas Co. $ 44,481.64
W 101718A So. California Edison $ 51,199.84
W 103018 So. California Edison $ 4,795.13
____________
$ 860,897.35
TOTAL OF CHECKS & WIRES $ 2,145,611.92
PAYROLL NO. 20:
Direct Deposits $ 186,793.69
Third Party Checks 7042—7048 $ 23,826.04
Payroll Taxes $ 49,907.84
EFT – CalPERS Payroll #20 $ 38,435.52
$ 298,963.09
PAYROLL NO. 21:
Direct Deposits $ 184,960.30
Third Party Checks 7049—7059 $ 27,215.27
Payroll Taxes $ 49,788.44
EFT – CalPERS Payroll #21 $ 38,314.71
$ 300,278.72
TOTAL OF PAYROLLS $599,241.81
----------------------------------------------------------------------------------------------------------------------
DISBURSEMENT TOTAL: $2,744,853.73
==================================================================
APPROVED BY THE BOARD OF DIRECTORS MINUTE ORDER AT BOARD
MEETING OF NOVEMBER 13, 2018
==================================================================.
Check No.Date Vendor Name Amount Description
73151 11/13/2018 ACWA-Assn Of Ca Water Agencies 23,535.00 ACWA - 2019 AGENCY DUES
73152 11/13/2018 Albert A. Webb Associates 6,547.50 J09-22#22 - WELL #22 PROFESSIONAL ENGINEERING SERVICES
73153 11/13/2018 Alternative Hose Inc.274.98 VEHICLE MAINTENANCE - UNIT #215
73129 11/13/2018 ANDREA PIKE 102.85 CUSTOMER REFUND
73154 11/13/2018 Anthony Manzano 214.42 REIMBURSEMENT - EMPLOYEE LUNCH - YLWD EMPLOYEES
73155 11/13/2018 Aqua-Metric Sales Co.25,712.96 OPERATIONS WORK MATERIAL
73156 11/13/2018 Aramark 1,200.98 UNIFORM SERVICE
73224 11/13/2018 ARC 20.00 PW DOC MANAGEMENT
73157 11/13/2018 ATS Communications 865.00 PROFESSIONAL SERVICES - AUGUST 2018
73135 11/13/2018 AUBREY WILLIAMS 116.81 CUSTOMER REFUND
73144 11/13/2018 BANK OF HOPE 379.83 CUSTOMER REFUND
73118 11/13/2018 BRAD OCHELTREE 34.25 CUSTOMER REFUND
73158 11/13/2018 BrightView Tree Care Services Inc.2,153.19 LANDSCAPE MONTHLY SERVICE & IRRIGATION REPAIRS
73159 11/13/2018 CalCard US Bank 16,670.22 SEPTEMBER/OCTOBER CREDIT CARD TRANSACTIONS
73138 11/13/2018 CARA TARINI 36.82 CUSTOMER REFUND
73160 11/13/2018 CDW Government, Inc 3,802.66 (2) LG 55 INCH LED TV & SINGLEWIRE INFORMACAST 1 YR
73120 11/13/2018 CHERYL MEADOWS 221.86 CUSTOMER REFUND
73145 11/13/2018 CHRIS RUNGE 44.50 CUSTOMER REFUND
73143 11/13/2018 CINDY RODRIGUEZ 114.78 CUSTOMER REFUND
73161 11/13/2018 City Of Anaheim 64,309.94 RICHFIELD & LA PALMA -ELECTRIC CHARGES - 9/11/18 - 10/10/18
73162 11/13/2018 City Of Placentia 320.00 ENCROACHMENT PERMIT
73163 11/13/2018 Clinical Lab. Of San Bern.1,070.00 LAB WORK - WATER SAMPLES
73164 11/13/2018 Coastal Ignition & Controls 2,399.77 WELL MAINTENANCE - WELL #7
73199 11/13/2018 County of Orange 20.00 LANDFILL FEES
73165 11/13/2018 CSDA 7,252.00 2019 CSDA MEMBERSHIP RENEWAL
73166 11/13/2018 Culligan of Santa Ana 2,298.00 EQUIPMENT PE SOFTENER
73132 11/13/2018 DAN DEL MAZZIO 88.81 CUSTOMER REFUND
73167 11/13/2018 DCL America Inc.2,680.82 STATIONARY ENGINE MAINTENANCE - VALLEY VIEW
73171 11/13/2018 Dean Criske Trucking 2,286.31 ROAD MATERIAL
73125 11/13/2018 DEBRA GALLANT 190.14 CUSTOMER REFUND
73168 11/13/2018 Dell Marketing L.P.37,448.94 SOFTWARE LICENSING - VLA EXCHANGE SERVER, VLA OFFICE & VLA ACROBAT
73170 11/13/2018 Dion & Sons, Inc.5,620.08 FLEET MAINTENANCE - MYSELLA OIL
73172 11/13/2018 Eisel Enterprises, Inc.1,190.63 J16-06 - METER BOX & LIDS
73122 11/13/2018 ELIZABETH TOTH 221.92 CUSTOMER REFUND
73121 11/13/2018 EMAD YOUSSEF 3.37 CUSTOMER REFUND
73173 11/13/2018 Enthalpy Analytical, Inc.2,700.00 LAB WORK - WATER SAMPLING
73174 11/13/2018 Factory Motor Parts 168.02 VEHICLE MAINTENANCE - UNIT #162 & #190
73175 11/13/2018 Fairway Ford Sales, Inc.797.52 VEHICLE MAINTENANCE - UNIT #191 & #193
73176 11/13/2018 Fieldman Rolapp & Associates 4,227.79 PROF. SERVICES - FINANCIAL, DEBT MGMT POLICY & ESCO ENERGY COST SAVINGS
73177 11/13/2018 Fuller Truck Accessories 1,202.49 VEHICLE MAINTENANCE - #223
73178 11/13/2018 George Chevrolet 27,166.81 2019 CHEVROLET SILVERADO - UNIT #221
73179 11/13/2018 Haaker Equipment Co.3,563.19 VEHICLE MAINTENANCE - #168 & #197
73180 11/13/2018 Hydrex Pest Control 175.00 PEST CONTROL
73148 11/13/2018 IDEAL PROPERTY MANAGEMENT INC 405.91 CUSTOMER REFUND
73181 11/13/2018 Infosend Inc.6,194.74 BILLING & POSTAGE - CUSTOMER BILLING
73182 11/13/2018 Jackson's Auto Supply - Napa 113.75 VEHICLE MAINTENANCE - UNIT #197, #210 & E29
73130 11/13/2018 JAMES LYNCH 71.25 CUSTOMER REFUND
73131 11/13/2018 JEFFREY STEVEN WOLFE 163.01 CUSTOMER REFUND
73183 11/13/2018 John Decriscio 105.00 CERTIFICATE REIMBURSEMENT - WATER DISTRIBUTION OP #5
73124 11/13/2018 KAREN HYMAN 12.08 CUSTOMER REFUND
73119 11/13/2018 KEVIN GRIMES 179.48 CUSTOMER REFUND
73139 11/13/2018 KIM M INGA 19.80 CUSTOMER REFUND
73137 11/13/2018 KO & GOCO MANAGEMENT LLC 450.00 CUSTOMER REFUND
73184 11/13/2018 Konica Minolta Business 781.75 COPIER LEASE - C258 & C558
73185 11/13/2018 KPI Knitter Partners International, Inc.1,589.00 RELEASE -CASH WTR BOND DUE TO EXPIRATION OF 1 YR WARRANTY PD- #2016-03
73187 11/13/2018 Mc Crometer Inc 153.99 PUMP STATION REPAIR PARTS
73188 11/13/2018 Mc Fadden-Dale Hardware 381.77 TOOLS & EQUIPMENT
73189 11/13/2018 Mc Master-Carr Supply Co.234.54 STATIONARY ENGINE MAINTENANCE - LAKEVIEW
73190 11/13/2018 Minuteman Press 1,092.85 SERVICE SHUT OFF -DOOR HANGERS & CUST. SERVICE REPORT FORMS
73142 11/13/2018 MORGAN PICKS TWO, LLC 420.67 CUSTOMER REFUND
73141 11/13/2018 NAN GUO 170.01 CUSTOMER REFUND
73136 11/13/2018 NATIONAL CORE 972.00 CUSTOMER REFUND
73191 11/13/2018 Nicholas A. Hollon 60.00 CERTIFICATE REIMBURSEMENT - TREATMENT OP #2
Yorba Linda Water District
Check Register
For Checks Dated: 10/24/2018 thru 11/13/2018
73192 11/13/2018 Nickey Kard Lock Inc 6,946.93 FUEL - 10/1/18 - 10/15/18
73140 11/13/2018 NICOLE RIOS 2.32 CUSTOMER REFUND
73193 11/13/2018 Norm's Refrigeration & Ice Equipment 250.00 HVAC SERVICE AGREEMENT - 6 MONTHS
73194 11/13/2018 Northern Tool & Equipment Co 1,533.53 SAFETY EQUIPMENT
73195 11/13/2018 Office Solutions 793.43 OFFICE SUPPLIES
73196 11/13/2018 Orange County - HCA 34.25 HAZMAT PERMIT - PENALTY FEE
73197 11/13/2018 Orange County - Tax Collector 442.92 ENCROACHMENT PERMIT
73198 11/13/2018 Orange County - Tax Collector 9,499.00 PROPERTY TAX 2018 - 2019
73200 11/13/2018 Powerstride Battery 145.32 VEHICLE MAINTENANCE - #209
73126 11/13/2018 PRINCE & FERGIE LLC 423.02 CUSTOMER REFUND
73201 11/13/2018 Process Solutions, Inc.1,283.12 CL2 PARTS
73202 11/13/2018 Quinn Company 11,585.10 RICHFIELD - GENERATOR MAINTENANCE
73204 11/13/2018 R.E. Michel Company, LLC 908.13 AC PARTS & MATERIALS
73123 11/13/2018 RACHAEL FERRARI 73.08 CUSTOMER REFUND
73203 11/13/2018 Raftelis Financial Consultants, Inc.610.00 PROFESSIONAL SERVICES - SEPTEMBER 2018
73205 11/13/2018 Ricardo De Anda 175.00 CERTIFICATE REIMBURSEMENT - WATER DISTRIBUTION OP #02
73206 11/13/2018 RKI Engineering, LLC 6,800.00 CONTROL SUPPORT AT FAIRMONT PUMP STATION & BOX CANYON PRS
73207 11/13/2018 Safety-Kleen Systems Inc 248.25 WASTE OIL REMOVAL
73208 11/13/2018 Shea Homes Limited Partnership 318,490.92 J18-24S - LAKEVIEW SEWER REPLACEMENT - PER REIMBURSEMENT AGREEMENT
W103018 10/30/2018 Southern Calif Edison Co.4,795.13 2688 - SEPTEMBER 2018
73209 11/13/2018 Southwest Valve 1,277.67 PRODUCTION REPAIR PARTS
73210 11/13/2018 Stantec Consulting Services In 153.00 J10-11B - FAIRMONT PUMP STATION UPGRADE
73211 11/13/2018 Step Saver Inc 1,592.97 COARSE SALT
73212 11/13/2018 Sunrise Medical Group 705.00 POST EMPLOYMENT PHYSICAL
73133 11/13/2018 SUSANNE SCOTTO JOHANSSON 110.90 CUSTOMER REFUND
73186 11/13/2018 The Lighthouse Inc.1,197.31 VEHICLE MAINTENANCE - #221, #222, #223 & #224
73213 11/13/2018 The Shredders 78.00 SHRED ON SITE SERVICE
73128 11/13/2018 TINA MEFFORD 179.12 CUSTOMER REFUND
73150 11/13/2018 TING WANG 176.30 CUSTOMER REFUND
73214 11/13/2018 Titus Industrial Group 7,786.03 TOOLS & SEWER REPAIR PARTS
73149 11/13/2018 TLG PAVING COMPANY, INC.1,352.90 CUSTOMER REFUND
73146 11/13/2018 TROJAN CAPITAL INVEST LLC 149.94 CUSTOMER REFUND
73217 11/13/2018 U S Bank 3,000.00 ADMIN FEES - 10/2018 - 09/2019
73215 11/13/2018 United Industries 150.63 PPE EQUIPMENT
73219 11/13/2018 United Water Works, Inc.8,058.56 OPERATION WORK MATERIAL
73216 11/13/2018 UNUM Life Insurance Co. of America 4,213.38 LIFE, AD&D, STD & LTD - NOVEMBER 2018
73218 11/13/2018 Utility Systems, Science & Software, Inc.13,580.00 FAIRMONT RESERVOIR - RADIO CONFIGURATION
73220 11/13/2018 Valley View Development, LLC 3,513.00 RELEASE -CASH WTR BOND DUE TO EXPIRATION OF 1 YR WARRANTY PD- #2016-01
73221 11/13/2018 Vivian Lim 246.37 REIMBURSEMENT - TRAVEL EXPENSE AND FLYERS - OCTOBER 2018
73222 11/13/2018 Westrux International Inc 33.48 VEHICLE MAINTENANCE - UNIT #168
73169 11/13/2018 White Nelson Diehl Evans LLP 4,554.00 THIRD & FINAL BILLING - FY18 AUDIT
73147 11/13/2018 XIAOHUI XU 141.54 CUSTOMER REFUND
73223 11/13/2018 YO Fire 8,136.54 OPERATIONS WORK MATERIAL
73134 11/13/2018 ZACHERY QUINTANA 27.95 CUSTOMER REFUND
73127 11/13/2018 ZHONGHONG SHANG 100.75 CUSTOMER REFUND
688,576.55
10-18-2018 PAYROLL #21 - EMPLOYEE DIRECT DEPOSIT 184,960.30
10-18-2018 PAYROLL #21 - PAYROLL TAX PAYMENT 49,788.44
10-18-2018 PAYROLL #21 - CALPERS EFT 38,314.71
7049 10-18-2018 COLONIAL LIFE 107.10
7050 10-18-2018 FLEX ADVANTAGE 2,479.09
7051 10-18-2018 LINCOLN FINANCIAL GROUP 4,966.93
7052 10-18-2018 NATIONWIDE RETIREMENT SOLUTIONS 15,181.39
7053 10-18-2018 CA STATE DISBURSEMENT UNIT 366.92
7054 10-18-2018 CA STATE DISBURSEMENT UNIT 339.69
7055 10-18-2018 CA STATE DISBURSEMENT UNIT 384.92
7056 10-18-2018 AMERICAN HERITAGE LIFE 1,447.09
7057 10-18-2018 MIDLAND LIFE INSURANCE 200.00
7058 10-18-2018 RELIANCE DI 57.46
7059 10-18-2018 AMERITAS 1,684.68
300,278.72
Payroll Checks #21
Check No.Date Vendor Name Amount Description
73116 10/23/2018 ACWA/JPIA 119,622.91 MEDICAL & DENTAL PREMIUM - NOVEMBER 2018
73117 10/23/2018 ACWA/JPIA 31,838.60 2018 WORKER COMPENSATION - 7/01/2018 - 9/30/2018
73044 10/23/2018 Al Nederhood 227.81 MILEAGE & TRAVEL EXPENSE REIMBURSEMENT
73043 10/23/2018 Alfredo Vargas 231.65 SAFETY BOOT - REIMBURSEMENT
73041 10/23/2018 ALLIANCE LLC 367.08 REISSUE - CUSTOMER REFUND
73045 10/23/2018 Aqua-Metric Sales Co.32,953.42 OPERATIONS WORK MATERIAL
73046 10/23/2018 Aramark 240.50 UNIFORM SERVICE
73047 10/23/2018 AT & T - Calnet3 4,579.34 ATT CALNET 3
73048 10/23/2018 Autoscribe Corporation 1,175.25 TRANSACTION VISION GATEWAY - SEPTEMBER 2018
73049 10/23/2018 BrightView Tree Care Services Inc.2,913.00 LANDSCAPE SERVICE & MAINTENANCE - SEPTEMBER 2018
73050 10/23/2018 Brooke Jones 230.86 MILEAGE REIMBURSEMENT - SEPTEMBER 2018
73051 10/23/2018 CalCard US Bank 21,609.02 CREDIT CARD TRANSACTIONS - SEPTEMBER & OCTOBER 2018
73052 10/23/2018 CDM Smith 3,322.95 J09-22#22 - PROFESSIONAL ENGINEERING SERVICES
73053 10/23/2018 Certified Laboratories 704.41 PRODUCTION REPAIR PARTS
73054 10/23/2018 Christensen Brothers General Eng, Inc.197,600.00 J17-24 -TR 15199 WATERLINE - PROGRESS PAYMENT #03
73114 10/23/2018 City Of Placentia 4,635.00 ENCROACHMENT PERMIT
73115 10/23/2018 City Of Placentia 14,072.39 SEWER FEES - JULY - SEPTEMBER 2018
73055 10/23/2018 Cla-Val Co.2,706.89 J14-11 - BRYANT RANCH PRS
73056 10/23/2018 Cortech Engineering 1,767.37 CL2 REPLACEMENT PARTS
73057 10/23/2018 Dell Marketing L.P.1,396.60 DELL MEMORY - 8GB DDR4 & DELL NETWORKING EQUIPMENT
73058 10/23/2018 Delta Wye Electric, Inc.5,847.36 J17-07 - CONDUIT & WIRING INSTALLATION
73059 10/23/2018 Eisel Enterprises, Inc.2,939.42 J16-06 - METER BOX & LIDS
73060 10/23/2018 Enkay Engineering & Equipment Inc 900.00 REMOVAL & DISPOSAL - TRANSITE PIPE
73061 10/23/2018 eSecurity Solutions, LLC 1,000.00 FIREWALL INSTALLATION
73062 10/23/2018 EyeMed 1,392.63 EYE MED - OCTOBER 2018
73063 10/23/2018 Fleet Services, Inc 645.90 VEHICLE MAINTENANCE - UNIT #168
73064 10/23/2018 Flex Advantage 135.00 FLEX ADVANTAGE - 30 PARTICIPANTS-SEP18
73065 10/23/2018 Fry's Electronics 840.95 IT HARDWARE
73066 10/23/2018 Golden Bell Products 13,008.00 VECTOR CONTROL IN MANHOLES
73067 10/23/2018 Haaker Equipment Co.1,281.23 VEHICLE MAINTENANCE - UNIT #168 & #215
73068 10/23/2018 Hands on Wellness Center 120.00 BENEFIT FAIR - THERAPIST FOR (4) HOURS
73069 10/23/2018 Harrington Industrial 628.70 CL2 REPLACEMENT PARTS
73070 10/23/2018 Hi-Line Electric Co., Inc.1,020.38 MECHANIC SHOP SUPPLIES
73071 10/23/2018 Hydrex Pest Control 175.00 PEST CONTROL SERVICE
73072 10/23/2018 Infosend Inc.7,325.77 BILLING & POSTAGE - CUSTOMER BILLING
73073 10/23/2018 Inland Group 1,147.54 DISTRICT MAPS - DISTRICT TOURS
73074 10/23/2018 Jackson's Auto Supply - Napa 312.89 VEHICLE MAINTENANCE - UNIT #164 & #186
73075 10/23/2018 Jennifer Hill 80.00 SWRCB DISTRIBUTION GRADE 2 - RENEWAL
73076 10/23/2018 Jeremy Smith 147.70 REIMBURSEMENT - SAFETY MEETING SUPPLIES
73077 10/23/2018 John R Brundahl III 147.56 BACKFLOW PREVENTION - 10TH EDITION
73078 10/23/2018 Kidman Gagen Law 25,565.25 LEGAL SERVICES - SEPTEMBER 2018
73079 10/23/2018 Kimball Midwest 589.62 MECHANIC SHOP SUPPLIES
73080 10/23/2018 Konica Minolta Business 781.75 COPIERS MONTHLY LEASE - C258 & C558
73081 10/23/2018 LA Networks 6,175.00 MICROSOFT CERTIFICATE KEY & INFRASTRUCTURE INSTALL
73082 10/23/2018 Managed Health Network 177.75 EAP SEPTEMBER 2018
73083 10/23/2018 Mc Fadden-Dale Hardware 396.11 MECHANIC SHOP SUPPLIES & HARDWARE SUPPLIES
73084 10/23/2018 Mc Master-Carr Supply Co.117.58 CHAIR MAT
73085 10/23/2018 Measurement Control Systems, Inc 413.49 GAUGES
73086 10/23/2018 Mobile Industrial Supply 40.00 WELDING SUPPLIES
73087 10/23/2018 Morton Salt, Inc.2,676.71 COARSE SALT
73088 10/23/2018 Municipal Diving Services Inc.12,260.00 ELK MOUNTAIN RESERVOIR - INSPECTION & CLEANING
W101518 10/15/2018 Municipal Water District 760,420.74 WATER PURCHASES - AUGUST 2018
73089 10/23/2018 NatPay Online Business Solutions 27.03 DOCULIVERY - SEPTEMBER 2018
73090 10/23/2018 Nickey Kard Lock Inc 6,031.03 FUEL - 09/15/18-09/30/18
73091 10/23/2018 Northtown Company 499.11 TOOL & EQUIPMENT
73095 10/23/2018 P.T.I. Sand & Gravel, Inc.1,498.76 ROAD MATERIAL
73092 10/23/2018 Pacific Hydrotech Corporation 8,409.40 J10-11B - FAIRMONT PUMP STATION UPGRADE #22
73093 10/23/2018 Pacific Western Bank 442.60 J10-11B - FAIRMONT PUMP STATION UPGRADE- RETENTION PAYABLE
#227309410/23/2018 Praxair Distribution 326.97 WELDING SUPPLIES
73097 10/23/2018 R.E. Michel Company, LLC 81.44 AC REPLACEMENT PARTS
73096 10/23/2018 RACHEL PADILLA 294.69 REIMBURSEMENT - CUSTOMER SERVICE WEEK
73102 10/23/2018 Rachel Padilla/Petty Cash 180.16 PETTY CASH - O092518 & Y092718
73098 10/23/2018 RMJ Technologies 18,759.60 GPS PRO SERVICE - 9/2018 - 8/2019
Yorba Linda Water District
Check Register
For Checks Dated: 10/10/2018 thru 10/23/2018
73099 10/23/2018 Safelite Autoglass 293.47 VEHICLE MAINTENANCE - UNIT #186
73100 10/23/2018 Sergio D. Fierro 21,384.87 WEATHER STATION EQUIPMENT & INSTALLATION
73101 10/23/2018 South Coast AQMD 2,165.74 ANNUAL RENEWAL FEES
W101718A 10/17/2018 Southern Calif Edison Co.51,199.84 ELECTRIC CHARGES - MULTIPLE LOCATIONS - SEPTEMBER 2018
W101718 10/17/2018 Southern Calif Gas Co.44,481.64 GAS CHARGES - MULTIPLE LOCATIONS - SEPTEMBER 2018
73103 10/23/2018 Stater Bros. Markets 18.88 MEETING SUPPLIES
73104 10/23/2018 Step Saver Inc 333.08 COARSE SALT
73105 10/23/2018 Sunrise Medical Group 1,246.23 POST EMPLOYMENT PHYSICAL
73106 10/23/2018 Switch Ltd 536.00 DATA HOSTING - CO-LOCATION
73107 10/23/2018 Time Warner Cable 2,381.70 RICHFIELD - T10MB DEDICATED INT & SPECTRUM BUSINESS TV
73108 10/23/2018 Underground Service Alert 262.45 DIGALERT - SEPTEMBER 2018
73109 10/23/2018 United Industries 740.71 PPE EQUIPMENT
73110 10/23/2018 United Water Works, Inc.3,030.58 OPERATIONS WORK MATERIAL
73111 10/23/2018 Vivian Lim 21.04 MILEAGE REIMBURSEMENT - SEPTEMBER 2018
73112 10/23/2018 Westside Building Material 166.47 CLEANING PAINTING SUPPLIES
73113 10/23/2018 YO Fire 1,316.80 OPERATIONS WORK MATERIAL
1,457,035.37
10-04-2018 PAYROLL #20 - EMPLOYEE DIRECT DEPOSIT 186,793.69
10-04-2018 PAYROLL #20 - PAYROLL TAX PAYMENT 49,907.84
10-04-2018 PAYROLL #20 - CALPERS EFT 38,435.52
7042 10-04-2018 COLONIAL LIFE 107.10
7043 10-04-2018 FLEX ADVANTAGE 2,479.09
7044 10-04-2018 LINCOLN FINANCIAL GROUP 4,966.93
7045 10-04-2018 NATIONWIDE RETIREMENT SOLUTIONS 15,181.39
7046 10-04-2018 CA STATE DISBURSEMENT UNIT 366.92
7047 10-04-2018 CA STATE DISBURSEMENT UNIT 339.69
7048 10-04-2018 CA STATE DISBURSEMENT UNIT 384.92
298,963.09
Payroll Checks #20
Vendor Name Amount Description
Anixter Inc. 217.19 Parts for admin building door
Grainger 326.36 J17-07 - Box Canyon supplies
Orchard Supply Hardware 2.00 PVC parts - landscape repair
Orange County Water Assn 675.00 OCWA Operator training event - (15) attendees
EMEDCO 234.47 (6) Ballard covers - red on yellow
Home Depot 115.25 Microwave for crew quarters
Fry's Electronics 168.05 J10-11B - Supplies for Booster Pump Station
Home Depot 22.77 J10-11B - Supplies for Booster Pump Station
Amazon.com 69.99 LCW latches for production
Best Value Tire & Wheel 47.27 Vehicle maintenance - Unit #180
Grainger 163.18 (2) Solenoid valves
Smart & Final 296.02 Team building lunch - All hands meeting
Best Value Tire & Wheel 141.81 Vehicle maintenance - Unit #195
Amazon.com 40.38 Portable air compressor
Home Depot 64.10 Repair parts for camera truck
Howard Industries 711.38 Circuit board - Rap Pak boiler
Best Value Tire & Wheel 91.16 Vehicle maintenance - Unit #166
Mobile Industrial Supply 29.09 (1) 50 lb CO2 bottle - CL2 system
Strobes N More 315.51 Roof light mount - Unit #222
Home Depot 506.61 Painting & cleaning supplies - Mechanics office
Orchard Supply Hardware 22.98 PVC parts - irrigation repair
Orchard Supply Hardware 58.77 Hardware supplies - facility
Pep Boys 14.00 Steering wheel cover-Unit #186
Home Depot 23.28 J10-11B - Supplies for Booster Pump Station
Shoeteria Industrial 1,551.48 YLWD - Safety shoes
KB Design 96.50 Replacement shirts for staff
Village Nurseries 185.33 SOD for landscape repair
Home Depot 120.53 Miscellaneous supplies
Slater's 50/50 33.12 Travel expense -Tri-State Conference- DeCriscio & Marcantonio
Carl's Jr Restaurant 8.61 Travel expense - Tri-State Conference - DeCriscio
Flappy Jacks 71.00 Lunch meeting - (5) attendees
Home Depot 13.90 1.5 CU.FT - Decomposed Granite - Paseo Fino
Harrington Industrial 99.55 CL2 parts for production
Costco 264.99 HR & Engineering supplies
South Point Hotel 40.00 Travel expense -Tri-State Conference- DeCriscio & Marcantonio
Capriotto's 11.24 Travel expense - Tri-State Conference - DeCriscio
County of Orange 13.00 Parking - OC Board of Supervisors
Silverado Steak House 46.97 Travel expense - Tri-State Conference - DeCriscio
Harrington Industrial 94.90 (2) - 1/4" Ball valve - CL2
Union Station West 16.00 Parking - Water Quality Managers meeting
Farmer Boys 69.94 Meeting expense (9) attendees
Sunstate Equipment Co 103.44 Refill (3) propane tanks
South Point Hotel 322.05 Travel expense - Tri-State Conference - DeCriscio
Howard Industries 500.65 Boiler repair parts - Facility
Calif Water Environ Assn (CWEA) 99.12 CWEA Collention training - Woller & Ostiz
Mc Master-Carr Supply Co. 26.70 O-rings - Production
Southwest Airlines 1,277.88 Travel expense - Sacramento, CA - DeCriscio, Weston & Hong
13-Nov-18
Cal Card Credit Card
U S Bank
Thompson Building Material 123.09 (6) - 3/4" gravel scoops - Road material
Factory Motor Parts 83.42 Vehicle maintenance - Unit #182 & #191
The Rugged Store 2,466.90 Laptop mounts - meter readers
Minuteman Press 112.68 Business cards - Varian & McDonald
Chefs Toys 853.86 Emergency provisions equipment
Tepeyac Restaurant 55.55 Lunch meeting - (3) attendees
Dan Copp Crushing Corp. 660.00 Road material disposal
Automationdirect.com, Inc. 1,494.00 (3) touchscreens & C-more software
Harrington Industrial 201.03 CL2 parts for production
Home Depot 30.14 8 lb sledge
Department of Toxic Substance Control 175.00 EPA fees
BC Wire Rope & Rigging 195.01 Lifting chains
Amazon.com 54.82 Shop supplies
Harrington Industrial 75.25 (2) ball valves - CL2 system
Costco 388.91 Team building supplies - Water awareness
Ralphs 252.10 Team building supplies - Water awareness
Sunstate Equipment Co 24.94 Appliance truck dolly
16,670.22
Vendor Name Amount Description
OC ARMA 25.00 OCARMA September Chapter Meeting - Arambarri
AWWA - Dues 3,945.00 Annual dues - 10/2018 - 10/2019
Ralphs 68.41 Meeting supplies
City Of Anaheim 93.10 J09-22 #22 - Adress processing fee
Yorba Linda Chamber 35.00 Mayors Prayer Breakfast - Muttaraid
SafetyFile 3,131.13 Fireproof Safe - Board records & historical archives
County of Orange 7.00 Travel expense -OC LAFCO meeting - Dir. Nederhood
CalCard US Bank (3,015.92) Returned damaged fire proof filing cabinet
UPS Freight 191.19 Shipping fees - Return RAM card
Answer One Communications 622.10 Virtual reception services - After hours
ONLINE Information Services, Inc. 520.76 Online utility exchange report & collection transactions
Verizon Wireless 4,147.07 Verizon Wireless - 07/21/18 - 08/20/18
Amazon.com 32.31 AC adapter for DYMO XTL
UBER 26.79 Travel expense -WEF Water Summit- Dir. Nederhood
Orange County Water Assn 45.00 Travel expense -OCWA luncheon- Dir. Jones
United Limousine & Charter Inc. 910.09 Infrastructure Tour: Shuttle
John Wayne Airport 40.00 Travel expense -WEF Water Summit- Dir. Nederhood
UBER 29.32 Travel expense -WEF Water Summit- Dir. Nederhood
Westin Hotels & Resorts 202.62 Travel expense -WEF Water Summit- Dir. Nederhood
Westin Hotels & Resorts 55.00 Travel expense -WEF Water Summit- Dir. Nederhood
Sacramento Int'l Airport 16.14 Travel expense -WEF Water Summit- Dir. Nederhood
Costco 27.97 Infrastructure Tour - supplies
Office Max 13.12 Infrastructure Tour - supplies
Dunkin Donuts 90.82 Infrastructure Tour - supplies
Carl's Jr Restaurant 9.78 Travel expense -Tri-State Seminar - Marcantonio
Amazon.com 227.87 Ergonomic supplies
South Point Hotel - Coronado Café 41.00 Travel expense -Tri-State Seminar - Marcantonio & DeCriscio
South Point Hotel - Baja Miguels 38.00 Travel expense -Tri-State Seminar - Marcantonio & DeCriscio
Laserfiche 100.00 Laserfiche online course - Millen
Placentia Chamber Of Commerce 550.00 Annual membership
California Debt and Investment Adv Comm 100.00 Public funds Investment Reporting workshop
ACWA-Assn Of Ca Water Agencies 270.00 Travel expense - ACWA Regulatory Summit - Dir. Miller
Capriotto's 14.27 Travel expense -Tri-State Seminar - Marcantonio
Orange County Water Assn 45.00 OCWA Luncheon
Renaissance Esmerelda Resort & Spa 205.40 Travel expense -CSDA Conference- Dir. Nederhood
Yorba Linda Chamber 2,500.00 Yorba Linda State of City - Sponsorship
South Point Hotel - Silverado Steakhouse 55.00 Travel expense -Tri-State Seminar - Marcantonio
South Point Hotel - Coronado Café 36.00 Travel expense -Tri-State Seminar - Marcantonio & DeCriscio
Municipal Water District 255.00 Travel expense - Registration to MWDOC Water Policy Forum
South Point Hotel - Coronado Café 47.00 Travel expense -Tri-State Seminar - Marcantonio & DeCriscio
South Point Hotel 322.05 Travel expense -Tri-State Seminar - Marcantonio
Orange County Water Assn.-Dues 100.00 OCWA Membership & registration presentation - Weston
Bulli Ray 212.03 Dog bite safety segment - DVD
ACWA/JPIA 30.00 ACWA/JPIA HR Group Meet
Costco 138.59 Supplies - Health & Benefit Fair
Alliant Insurance Services, Inc. 306.00 Special event insurance for Health & Benefit Fair
Lascari's 798.29 Supplies - Health & Benefit Fair
23-Oct-18
Cal Card Credit Card
U S Bank
Hollinger - Metal Edge 449.82 Archival supplies
Amazon.com 233.80 (2) anti-fatigue mat for sit/stand desk
ACWA-Assn Of Ca Water Agencies 50.00 Travel expense - ACWA Region 10- Dir. Miller
South Tahoe Airport 29.75 Travel expense - CSDA Board Secretary - Alexander
AT & T - Calnet3 999.60 Payment for property damage - Damage of telephone cable
IN-N-OUT RESTAURANTS 49.62 Customer service week - Appreciation lunch - 7 attendees
Canva Pty Ltd. 12.95 Web graphic design monthly subscription
Costco 45.37 Supplies - Employee recognition
Smart & Final 97.09 Supplies - Water professionals appreciation week
Rite Aid 31.91 Supplies - Water professionals appreciation week
VONS 4.99 Supplies - Water professionals appreciation week
Mirage Hotel & Casino 459.41 Travel expense -NEOGOV Conference- Segura
ACWA/JPIA 30.00 ACWA/JPIA HR group meeting
Mirage Hotel & Casino 459.41 Travel expense -NEOGOV Conference- Lim
Fixed Income Academy 995.00 Fixed Income Academy - McCann, K
21,609.02
ITEM NO. 7.5
AGENDA REPORT
Meeting Date: November 13, 2018
To:Board of Directors
From:Marc Marcantonio, General
Manager
Presented By:Delia Lugo, Finance Manager Dept:Finance
Prepared By:Saira Hernandez, Accountant
Subject:Directors and General Manager Fees and Expenses Report for First Quarter of
FY19
SUMMARY:
Presented are the First Quarter Directors and General Manager Fees and Expenses Report for
FY19.
STAFF RECOMMENDATION:
That the Board of Directors receive and file the Directors and General Manager Fees and Expenses
Report for First Quarter of FY19.
ATTACHMENTS:
Name:Description:Type:
Travel___Expense_Report.pdf Backup Material Backup Material
BOD___GM_Qtr_Summary.pdf Backup Material Backup Material
GL Trip Trip Trip Event/
Director Date Date Name Location Meals Lodging Travel Conf. Fee Misc.Total trip Total
Hawkins 9/18/18 10/24/18 YL Mayor Prayer Breakfast Yorba Linda, CA -$ -$ -$ 25$ -$ 25$
-$ -$ -$ -$ -$ -$
-$ 25$
Miller 7/29/18 11/27-30/18 ACWA Fall Conference San Diego, CA -$ -$ -$ 555$ -$ 555$
8/30/18 8/23-24/18 Los Angeles Meeting Los Angeles, CA -$ -$ 37$ -$ -$ 37$
7/29/18 8/15/18 OCWA Luncheon Irvine, CA -$ -$ -$ 45$ -$ 45$
-$ 637$
Hall -$ -$ -$ -$ -$ -$
-$ -$
Nederhood 7/26/18 9/24-27/18 CSDA Annual Conference Indian Wells, CA -$ 194$ 113$ 648$ -$ 955$
7/29/18 8/15/18 OCWA Luncheon Irvine, CA -$ -$ -$ 45$ -$ 45$
7/29/18 7/11/18 OC LAFCO Meeting Orange, CA -$ -$ 4$ -$ -$ 4$
7/29/18 11/27-30/18 ACWA Fall Conference San Diego, CA -$ -$ -$ 699$ -$ 699$
7/29/18 10/22-25/18 AWWA CA-NV Conference Rancho Mirage, CA -$ -$ -$ 445$ -$ 445$
9/18/18 9/19-20/18 WEF Water Summit Sacramento, CA -$ -$ 306$ 300$ 100$ 706$
9/18/18 10/18/18 ACWA Region 10 Workshop Mission Viejo, CA -$ -$ -$ 50$ -$ 50$
9/18/18 8/22-24/18 UWI Annual Conference San Diego, CA -$ 231$ 20$ -$ -$ 251$
9/18/18 12/12-15/18 CRWUA Conference Las Vegas, NV -$ 146$ -$ -$ -$ 146$
7/6/18 7/3-26/18 MWDOC, WACO, ISDOC, OC LAFCO, St of City of Placentia Various Locations -$ -$ 126$ -$ -$ 126$
8/30/18 8/1-21/18 MWDOC, WACO, ISDOC, OC LAFCO, OCWA meeting lunch Various Locations -$ -$ 157$ -$ -$ 157$
9/18/18 8/8/18 LAFCO Meeting Santa Ana, CA -$ -$ 8$ -$ -$ 8$
9/30/18 9/1-12-18 ISDOC, MWDOC, WACO, OC LAFCO Various Locations -$ -$ 96$ -$ -$ 96$
9/18/18 10/24/18 YL Mayor Prayer Breakfast Yorba Linda, CA -$ -$ -$ 25$ -$ 25$
-$ 3,713$
Jones 7/29/18 10/22-25/18 AWWA CA-NV Conference Rancho Mirage, CA -$ -$ -$ 445$ -$ 445$
7/29/18 8/15/18 OCWA Luncheon Irvine, CA -$ -$ -$ 45$ -$ 45$
7/29/18 11/27-30/18 ACWA Fall Conference San Diego, CA -$ -$ -$ 699$ -$ 699$
8/30/18 8/22-24/18 UWI Annual Conference San Diego, CA 20$ 231$ 122$ -$ -$ 373$
9/18/18 10/18/18 ACWA Region 10 Workshop Mission Viejo, CA -$ -$ -$ 50$ -$ 50$
7/6/18 7/11-26/18 OCWD, IRWD, St of City of Placentia Various Locations -$ -$ 96$ -$ -$ 96$
8/30/18 8/1-31/18 OCWD, MWDOC Various Locations -$ -$ 71$ -$ -$ 71$
9/30/18 9/5-9/20/18 OCWD, MWDOC, OCWD BOD ACWA MEETING Various Locations -$ -$ 231$ -$ -$ 231$
9/18/18 10/24/18 YL Mayor Prayer Breakfast Yorba Linda, CA -$ -$ -$ 25$ -$ 25$
-$ 2,034$
Total Director's 20$ 802$ 1,386$ 4,101$ 100$ 6,409$ 6,409$
General Manager
Marcantonio 7/26/18 6/11/18 SuperNap Tour (4 attended)Las Vegas, NV 52$ -$ -$ -$ 52$
7/29/18 10/22-25/18 ACWA Conference Rancho Mirage, CA -$ -$ -$ 445$ -$ 445$
7/29/18 9/25/18 Tri State Water & Sewer Conference Las Vegas, NV -$ -$ -$ 99$ -$ 99$
9/18/18 10/18/18 ACWA Region 10 Multiple locations -$ -$ -$ 50$ -$ 50$
9/18/18 12/12-15/18 CRWUA Conference Las Vegas, NV -$ 146$ -$ -$ -$ 146$
7/29/18 11/27-30/18 ACWA Fall Conference San Diego, CA -$ -$ -$ 699$ -$ 699$
9/18/18 9/13/18 YL Mayor Prayer Breakfast Yorba Linda, CA -$ -$ -$ 25$ -$ 25$
8/30/18 8/1-29/18 MWDOC, OCWD, Lunch meetings Various Locations -$ -$ 62$ -$ -$ 62$
7/28/18 7/3-25/18 All MWDOC Meetings Fountain Valley, CA -$ -$ 56$ -$ -$ 56$
Total GM 52$ 146$ 118$ 1,318$ -$ 1,634$ 1,634$
Total Director's & GM 71$ 949$ 1,504$ 5,419$ 100$ 8,043$ 8,043$
DIRECTOR'S & GENERAL MANAGER'S RECAP OF TRAVEL/CONFERENCE EXPENSES
FIRST QUARTER OF FY 19
JULY - SEPTEMBER 2018
YORBA LINDA WATER DISTRICT
DIRECTORS AND GENERAL MANAGER FEES AND EXPENSES
1ST QUARTER REPORT FROM 07-01-2018 TO 09-30-2018
FY 19
HAWKINS MILLER HALL NEDERHOOD JONES SUB-TOTAL MARCANTONIO TOTAL
REGULAR MEETINGS ATTENDED 6 4 6 5 6 27
COMMITTEE MEETINGS ATTENDED 0 1 0 2 0 3
SPECIAL MEETINGS ATTENDED 0 0 0 0 0 0
OTHER MEETINGS ATTENDED 7 17 0 21 23 68
TOTAL MEETINGS ATTENDED QTD 13 22 6 28 29 98 98
DIRECTOR FEES QTD $1,950 $3,300 $900 $4,200 $4,350 $14,700 $14,700
MEETING FEES BUDGET QTD $4,500 $4,500 $4,500 $4,500 $4,500 $22,500 $22,500
TRAVEL & CONF. EXPENSES QTD $25 $637 $0 $3,713 $2,034 $6,409 $6,409
TRAVEL & CONF. BUDGET QTD $2,160 $2,160 $2,160 $2,160 $2,160 $10,800 $10,800
DIR.FEES AND EXPENSES QTD $1,975 $3,937 $900 $7,913 $6,384 $21,109 $21,109
FEES AND EXPENSES BUDGET QTD $6,660 $6,660 $6,660 $6,660 $6,660 $33,300 $33,300
GEN MGR EXPENSES QTD $1,634 $1,634
GEN MGR TRAVEL/CONF. BUDGET QTD $5,233 $5,233
TOTAL FEES & EXPENSES QTD $1,975 $3,937 $900 $7,913 $6,384 $21,109 $1,634 $22,743
TOTAL FEES & EXPENSES BUDGET QTD $6,660 $6,660 $6,660 $6,660 $6,660 $33,300 $5,233 $38,533
ITEM NO. 7.6
AGENDA REPORT
Meeting Date: November 13, 2018 Budgeted:Yes
Total Budget:$200,000
To:Board of Directors Cost Estimate:$168,594
Funding Source:Sewer Capital
Reserves
From:Marc Marcantonio, General
Manager
Job No:J2017-37S
Presented By:Rosanne Weston, Engineering
Manager
Dept:Engineering
Reviewed by Legal:N/A
Prepared By:Bryan Hong, Water Quality
Engineer
CEQA Compliance:Exempt
Subject:Notice of Completion for 2018 Sewer Main CIPP Rehabilitation Project
SUMMARY:
Construction is complete on the 2018 Sewer Main CIPP Rehabilitation Project. Submitted for
consideration is a request for authorization to file the Notice of Completion for the project.
STAFF RECOMMENDATION:
That the Board of Directors authorize staff to file the Notice of Completion for construction of the
2018 Sewer Main CIPP Rehabilitation Project, Job No. J2017-37S.
DISCUSSION:
Construction is complete on the 2018 Sewer Main CIPP Rehabilitation Project. The project
included the rehabilitation of 3,230 feet of sanitary sewer mains using cured-in-place-pipe (CIPP)
technology. The project also included the rehabilitation of sewer manholes and abandonment of
sewer pipe.
The status of the construction contract with Insituform Technologies, Inc. is as follows:
The original construction contract was approved by the Board of Directors for $166,110.90
and 120 calendar days.
Change Order No. 1 was approved by the Engineering Manager, in accordance with the
District's Purchasing Policy, which added $2,483.10 to the contract (1.5% of the original
contract).
The final construction contract amount is $168,594.00.
Change Order No. 1 consisted of:
Addition of an 8-inch sewer main to the lining schedule
Addition of 3 sewer lateral top hats
Credit for the deletion of the wet well rehabilitation at the Lakeview Sewer Lift Station
All work has been completed in accordance with the contract documents and to the satisfaction of
District staff; accordingly, staff requests authorization to file and proceed with recordation of the
Notice of Completion.
PRIOR RELEVANT BOARD ACTION(S):
On February 13, 2018, the Board of Directors awarded a construction contract in the amount of
$166,110.90 to Insituform Technologies, Inc. for the 2018 Sewer Main CIPP Rehabilitation Project.
ITEM NO. 8.1
AGENDA REPORT
Meeting Date: November 13, 2018
To:Board of Directors
From:Marc Marcantonio, General
Manager
Presented By:Delia Lugo, Finance Manager Dept:Finance
Prepared By:Delia Lugo, Finance Manager
Subject:Proposed Water Rates Effective January 1, 2019
STAFF RECOMMENDATION:
That the Board of Directors adopt Resolution No. 18-32 adjusting water rates effective January 1,
2019 and rescinding Resolution No. 16-10.
DISCUSSION:
Staff prepared a 5-Year Forecast (FY19 - FY23) of the District's potential financial position. To
complete such a forecast, staff took into consideration projected annual operating and non-
operating revenue and expenses, annual debt service principal and interest payments, and annual
projected costs associated with on-going and planned Capital Improvement Projects and other
capital related expenses. While in the process of reviewing all of these listed projections, staff, most
importantly, ensured that rates and charges are set to recover the District's costs of service,
complied with Section 31007 of the Water Code, and that all Board approved financial policies are
followed. Ensuring adherence to Board approved financial policies will enable the District to
maintain/retain its AA and AA+ ratings from Standard & Poor's and Fitch Ratings. The strong credit
ratings that the District has been assigned are valuable assets that provide market access at lower
costs, because there is greater comfort on the part of investors that such debt obligations will be
repaid timely and consistently.
Yorba Linda Water District receives all of its water from both the groundwater basin, managed by
Orange County Water District (OCWD), and water purchased from Metropolitan Water District of
Southern California (MET) through its regional water wholesaler, Municipal Water District of Orange
County (MWDOC). The District has no control over the rates established by OCWD and
MET/MWDOC, which it must pay to acquire water. Government Code Section 53756 authorizes
agencies to adopt a schedule of fees or charges authorizing automatic adjustments that pass-
through increases in these wholesale charges for water.
Per the terms of the District's 2015 Prop 218 Public Notice, the potential pass-through rate
adjustment to the commodity rate for a FY is based on the District’s cost of service analysis,
calculated by assessing the difference in wholesale water purchase costs using the previous year’s
wholesale rates and actual cost to the District and the (new) current year’s wholesale rates. The
difference is divided by the current year’s projected usage. This passes through any increase in the
District’s water purchase costs. The result of this analysis yields an increase of $0.10 per unit of
water consumed (from $2.70/unit of water to $2.80/unit of water).
Utilizing a rate model and incorporating GFOA's recommended best business practices for
forecasting purposes, staff recommends a minimum increase of 3% to the Monthly Base Fee (aka
Monthly Service Charge) assessed to each customer connection, based on the size of meter. As
an example, the current Monthly Service Charge for a 1" meter will increase $0.97 per month (from
$32.49/month to $33.46/month).
These adjusted rates will ensure the District meets its annual cost of service, adheres to Board
approved financial policies, retains its credit ratings, complies with Water Code Section 31007, and
provides for the needs of our customers.
Staff has prepared Resolution No. 18-32, whereupon adoption will implement the proposed water
rates on January 1, 2019.
ATTACHMENTS:
Name:Description:Type:
Resolution_No._18-32_-_Adjusting_Water_Rates.docx Resolution Resolution
Resolution No. 18-32 Setting Water Rates Effective January 1, 2019 and Rescinding Resolution No. 16-10 1
RESOLUTION NO. 18-32
RESOLUTION OF THE BOARD OF DIRECTORS
OF THE YORBA LINDA WATER DISTRICT
ADJUSTING WATER RATES EFFECTIVE JANUARY 1, 2019
AND RESCINDING RESOLUTION NO. 16-10
WHEREAS, pursuant to Water Code Section 31007, the Board of Directors of the
Yorba Linda Water District (YLWD) is required to set water rates at a level
which will yield an amount of revenue sufficient to pay for operating
expenses, provide for repairs and depreciation of works, and pay the
principal and interest on any bonded debt; and
WHEREAS, pursuant to Government Code Section 53756, YLWD may adopt a
schedule of fees or charges authorizing automatic adjustments that pass
through increases in wholesale charges for water or for inflation; and
WHEREAS, on September 17, 2015, and in accordance with the Proposition 218
(specifically, California Constitution art. XIII D), the Board of Directors held
a public hearing regarding water rates and pass-through charges for
FY16, FY17, FY18, FY19, and FY20, and adopted Resolution No. 15-22,
which established water rates, effective October 1, 2015; and
WHEREAS, on July 21, 2016, the Board of Directors adopted Resolution No. 16-10
which adjusted downward the District’s Monthly Base Fees (aka Monthly
Service Charges) in accordance with its cost of service analysis and
Water Code Section 31007 and in response to projected increases in
water consumption due to actions taken by the State Water Resources
Control Board and the District Board of Directors; and
WHEREAS, in 2018, following extensive review and analysis, including several Board
workshops, District staff prepared a cost of service analysis; and
WHEREAS, in accordance with the cost of service analysis and Water Code Section
31007, the Board of Directors desires to adjust certain water charges
within the confines of the District’s water rate schedule published in its
Proposition 218 notice dated July 31, 2015, for the remainder of FY19.
NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Yorba Linda
Water District does hereby find, determine, and resolve the following:
Resolution No. 18-32 Setting Water Rates Effective January 1, 2019 and Rescinding Resolution No. 16-10 2
Section 1. The matters set forth in the foregoing recitals are true and correct;
and
Section 2. Resolution No. 16-10 is hereby rescinded.
Section 3. Water rates and customer connection charges for service defined in
Section 3.4 of the Water Rules and Regulations With Regard to the
Rendition of Water Service of the Yorba Linda Water District are
hereby adjusted as follows and will take effect on January 1, 2019:
For All Potable Water Service:
All Water Usage shall be charged at $2.80 / 100 Cu.
Ft.
(Includes a Pass-through charge of $0.10)
Monthly Service Charge for:
5/8” and 3/4” Meters $ 20.03
1” Meters $ 33.46
1 1/2” Meters $ 66.72
2” Meters $ 106.80
3” Meters $ 233.85
4” Meters $ 420.81
6” Meters $ 935.19
Section 4. Additional rates and fees for service are confirmed (i.e. not adjusted)
as follows:
A. The charge for Permanent Untreated Water Service as defined
in Section 3.4.1 of the Rules and Regulations for Water Service
shall be as follows:
The current Metropolitan Water District of Southern California
(MWD) Untreated Full rate, plus charges by the Municipal Water
District of Orange County (MWDOC), plus any other fees,
charges or penalties as may be imposed by MWD and/or
MWDOC, plus $13 per acre foot.
B. The charge for Temporary Service as defined in Section 3.5 of
the Rules and Regulations for Water Service shall be as follows:
Resolution No. 18-32 Setting Water Rates Effective January 1, 2019 and Rescinding Resolution No. 16-10 3
The rate per hundred cubic feet shall be two times the rate
specified for all water service plus $3.50 per day for each day
that the meter is available for use by the customer. A security
deposit of $1,655 is required at the time of rental and the
deposit will be returned within 15 days of the return of the meter.
C. The charge for Private Fire Service as defined in Section 3.6 of
the Rules and Regulations for Water Service shall be as follows:
Meter Size Monthly Charge
4” $16.00
6” $35.00
8” $59.00
10” $94.00
PASSED AND ADOPTED this 13th day of November 2018, by the following called vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Al Nederhood, President
Yorba Linda Water District
ATTEST:
Annie Alexander, Board Secretary
Yorba Linda Water District
Reviewed as to form by General Counsel:
Andrew B. Gagen, Esq.
Kidman Gagen Law LLP
ITEM NO. 8.2
AGENDA REPORT
Meeting Date: November 13, 2018
To:Board of Directors
Funding Source:All Funds
From:Marc Marcantonio, General
Manager
Presented By:Andrew B. Gagen, General
Counsel
Dept:Human
Resources/Risk
Management
Reviewed by Legal:Yes
Prepared By:Andrew B. Gagen, General
Counsel
Subject:Amending the General Manager's Employment Agreement
SUMMARY:
Based on the General Manager's job performance and in the interest of maintaining the employment
relationship, the Board of Directors would like to provide the General Manager with a merit-based
salary increase effective September 2, 2018.
STAFF RECOMMENDATION:
That the Board of Directors consider: (1) approving the Fifth Amendment to the Employment
Agreement for the Position of General Manager as negotiated by the District's Designated
Representative; and (2) adopting Resolution No. 18-33, approving the Classification and Salary for
the General Manager effective September 2, 2018, and rescinding Resolution No. 17-39.
DISCUSSION:
Pursuant to Paragraph 7 of the Employment Agreement for the Position of General Manager with
Andrew P. ("Marc") Marcantonio dated August 7, 2014 ("Agreement"), the Board of Directors may
review and evaluate the General Manager's performance on an annual, quarterly, or other basis, or
pursuant to the District's Employee Performance Evaluation and Merit Increase Policy (Policy No.
7010-010).
The Board of Directors completed its annual review of the General Manager's performance in
September 2018. During September and October 2018, the Board directed the District's
Designated Representative to negotiate terms of the General Manager's compensation. During oral
presentation of this agenda item, and in accordance with the Brown Act, the Designated
Representative will "report a summary of the recommendation" regarding the negotiated terms for
the Board to consider whether to take final action as recommended above.
As a result of these negotiations and the Board of Directors' positive performance evaluation of the
General Manager, and in the interest of maintaining the employment relationship, the Board of
Directors may wish to amend the Agreement as follows: General Manager's annual base salary to
be increased 3% from $223,624 to $230,332.72, effective September 2, 2018. In addition, General
Manager shall receive a one-time performance-based payment of six thousand dollars ($6,000.00)
upon execution of the Fifth Amendment to the Agreement.
As required in Section 3 ("Employee Compensation") of the Agreement: "Any increase is not
effective until the Parties draft and sign an amendment to this Agreement that states the new annual
salary and the effective date of the new salary and such amendment is adopted by the Board at the
duly noticed public meeting."
Additionally, in accordance with California Code of Regulations, Title 2, § 570.5 and the Public
Employee Retirement Law at Government Code § 20636, all Public Agency member's pay amounts
are required to be paid pursuant to a publicly available pay schedule that has been approved and
adopted by the employer's governing body. To be in compliance, staff created Exhibit A, General
Manager Classification and Salary, effective September 2, 2018, which defines the amended salary
for the General Manger.
Attached to this Agenda Report are copies of the Fifth Amendment of the Agreement,
and Resolution No. 18-33 with Exhibit A.
STRATEGIC PLAN:
G5 1A - Retain a highly skilled and capable workforce.
PRIOR RELEVANT BOARD ACTION(S):
On December 12, 2017, the Board of Directors approved the Fourth Amendment of the Agreement
and Resolution No. 17-39, approving the Classification and Salary for the General Manager
effective September 2, 2017.
ATTACHMENTS:
Name:Description:Type:
5th_Amend_GM_Agt.docx Amended Agreement Agreement
Resolution_No._18-33_-_GM_Salary.docx Resolution Resolution
GM_Salary_Sched.xlsx Exhibit Exhibit
FIFTH AMENDMENT TO EMPLOYMENT AGREEMENT FOR POSITION OF
GENERAL MANAGER
This Fifth Amendment to Employment Agreement for Position of General
Manager (“Fifth Amendment”) is made and entered into this 13th day of November,
2018, by and between the Yorba Linda Water District, hereinafter referred to as
“District” or as “Employer,” and Andrew P. Marcantonio, hereinafter referred to as
“Employee”.
RECITALS
WHEREAS, the District and Employee entered into an Employment Agreement
for Position of General Manager on August 7, 2014, which was amended by the First
Amendment to Employment Agreement for Position of General Manager on May 11,
2015, the Second Amendment to Employment Agreement for Position of General
Manager on November 21, 2016, the Third Amendment to Employment Agreement for
Position of General Manager on December 22, 2016, and the Fourth Amendment on
December 12, 2017 (collectively “the Agreement”), according to which Employee shall
serve as the General Manager of the Yorba Linda Water District.
WHEREAS, under Section 7 of the Agreement, Employee is eligible for salary
adjustments and the Board of Directors may review and evaluate Employee's
performance on an annual, quarterly, or other basis, or pursuant to the District's
performance evaluation policy;
WHEREAS, the Board of Directors completed its annual review of Employee’s
performance in September 2018; and
WHEREAS, based on the Board of Directors’ positive performance review and in
the interest of maintaining the employment relationship, the Board of Directors would
like to amend the terms of the Agreement.
AGREEMENT
NOW THEREFORE, in consideration of the mutual covenants herein contained,
the District and Employee agree to amend the Agreement as follows:
Section 3 of the Agreement is amended to provide as follows:
3. Employee Compensation. Effective September 1, 2018, Employee shall receive a
3% increase of his an annual base salary, which will increase his salary to two hundred
thirty thousand three hundred thirty two dollars and seventy two cents ($230,332.72),
payable in twenty-six equal biweekly installments, for performance of his service as
General Manger. In addition, Employee shall receive a one-time performance-based
payment of six thousand dollars ($6,000.00) upon execution of this Amendment. The
annual base salary may be adjusted during the Term at the sole discretion of the Board.
Any such increase in salary shall not be construed as altering or amending any
provision of this Agreement, except the Employee’s compensation amount, or unless
specifically agreed to in writing between the District and Employee. Any increase is not
effective until the Parties draft and sign an amendment to this Agreement that states the
new annual base salary and the effective date of that new salary and such amendment
is adopted by the Board in accordance with the Ralph M. Brown Act (California
Government Code 54950 et seq.).
GENERAL PROVISIONS
1. All other terms in the Agreement remain unchanged and in full force and
effect.
2. This Amendment may be signed in counterparts.
Al Nederhood Date
Board President
Andrew P. Marcantonio Date
General Manager
APPROVED AS TO FORM:
Kidman Gagen Law LLP
By: ______________________
Andrew B. Gagen, General Counsel
Resolution No. 18-33 Adopting the General Manager Classification and Salary 1
RESOLUTION NO. 18-33
RESOLUTION OF THE BOARD OF DIRECTORS
OF THE YORBA LINDA WATER DISTRICT
ADOPTING THE GENERAL MANAGER CLASSIFICATION
AND SALARY EFFECTIVE SEPTEMBER 2, 2018
AND RESCINDING RESOLUTION NO. 17-39
WHEREAS, pursuant to California Code of Regulations, Title 2, §570.5, CalPERS
requires governing bodies of local agencies contracting with CalPERS to
approve and adopt a publicly available pay schedule in accordance with
the Ralph M. Brown Act (California Government Code 54950 et seq.);
WHEREAS, The Board of Directors completed its annual review of the General
Manager’s performance, and thereafter directed the District’s Designated
Representative to negotiate terms of the General Manager's
compensation; the Designated Representative reported “a summary of a
recommendation” regarding the negotiated terms for the Board to consider
whether to take final action.
WHEREAS, As a result of these negotiations and the Board of Directors’ positive
performance evaluation of the General Manager, and in the interest of
maintaining the employment relationship, the Board of Directors took final
action at a Board meeting on November 13, 2018, to, in part, increase the
General Manager’s base salary as reflected in Exhibit A;
WHEREAS, the Board of Directors regularly enters into employment agreements, and
amendments thereto, for the position of General Manager;
WHEREAS, the Board of Directors adopted Resolution 17-39 on December 12, 2017,
the “General Manager Classification and Salary”; and
WHEREAS, it is the desire of the Board of Directors to adopt the General Manager
Classification and Salary effective September 2, 2018 as set forth in
Exhibit “A” attached hereto, and rescind Resolution No. 17-39.
NOW THEREFORE BE IT RESOLVED by the Board of Directors of the Yorba Linda
Water District as follows:
Section 1. The General Manager Classification and Salary as set forth in Exhibit A
and attached hereto is approved and adopted, effective September 2,
2018.
Section 2. That Resolution No. 17-39 is hereby rescinded effective September 2,
2018.
Resolution No. 18-33 Adopting the General Manager Classification and Salary 2
PASSED AND ADOPTED this 13th day of November 2018, by the following called vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Al Nederhood, President
Yorba Linda Water District
ATTEST:
Annie Alexander, Board Secretary
Yorba Linda Water District
Reviewed and approved as to form by General Counsel:
Andrew B. Gagen, Esq.
Kidman Gagen Law LLP
Exhibit A
Yorba Linda Water District – General Manager
Classification and Salary
Effective September 2, 2018
CLASSIFICATION TITLE FLSA
General Manager Hourly 110.74$ Exempt
Monthly 19,194.39$
Yearly 230,332.72$
SALARY
ITEM NO. 9.1
AGENDA REPORT
Meeting Date: November 13, 2018
To:Board of Directors
From:Marc Marcantonio, General
Manager
Presented By:Delia Lugo, Finance Manager Dept:Finance
Prepared By:Saira Hernandez, Accountant
Subject:Unaudited Financial Statements for the First Quarter of FY19
SUMMARY:
Presented are the Unaudited Financial Statements for the Period Ending September 30, 2018 for
the District.
DISCUSSION:
For the period ending September 30, 2018, staff is presenting “unaudited” statements in the CAFR
format. We have included a Statement of Net Position, a Debt Service Ratio Calculation, a
ProForma Use of Funds Statement for the Water Fund, Consolidated Budget to Actual Statement,
as well as the individual Water and Sewer Budget to Actual Statements.
As reported in the Unaudited Combining Schedule of Net Assets, the District’s Net Position reflects
a negative result when compared to that of the same reporting period of the prior fiscal year by
approximately $2.1 million. This is prominently due to the overall increase in Unfunded Liabilities
(Net Pension and OPEB), especially with the implementation of GASB Statement No. 75.
Cumulative Volumetric Water Revenue, as reported through the Period Ending September 30,
2018, reflects an average rebound of 4.2% as compared to prior year for the same reporting period.
Landscape classified customer connections have had the largest increase in consumption for this
reporting period.
Other Operating Revenue, as reported for both Water and Sewer Funds, have increased when
compared to the prior year. This is a result of updating the Customer Service and Developer Fees
Schedule which has been in effect since July 1, 2018.
Total Variable Water Costs results reflect 13.62% increase when compared to prior year for the
same reporting period. The increase in costs is reflective of an increase in demand as well as a
higher cost per acre foot.
With the issuance of the Refunding Revenue Bonds, Series 2017A the District covenanted “…to fix,
prescribe and collect rates and charges for Water Service which will be at least sufficient to yield
during each Fiscal Year, Net Revenues equal to 125% of the Debit Service for such Fiscal Year.”
To confirm the covenant is upheld, staff calculates the Debt Service Ratio quarterly and is received
and filed by the Board of Directors. Accordingly, the “unaudited” Debt Service Ratio Calculation for
the Period Ending September 30, 2018 is being reported at 304%. This demonstrates the District’s
strong financial health.
STRATEGIC PLAN:
G2 3B - Regularly assess net position and steps to meet strategic goals.
ATTACHMENTS:
Name:Description:Type:
1st_Qtr_FY19_Fin_Stmts.pdf Backup Material Backup Material
ASSETS September 2018 September 2017
CURRENT ASSETS:
Cash and cash equivalents 31,628,012$ 31,125,442$
Investment 3,783,733 6,672,652
Accounts receivable - water and sewer services 4,353,284 4,307,658
Accrued interest receivable 7,233 20,345
Notes Receivable - 78,567
Prepaid expenses & other deposits 1,002,755 1,216,407
Inventory 232,717 251,323
TOTAL CURRENT ASSETS 41,007,734 43,672,394
NONCURRENT ASSETS:
Bond issuance costs 369,351 394,181
Deferred Pension Plan 2,749,826 1,966,284
Deferred OPEB Plan 399,599 411,343
Capital assets:
Non-depreciable 11,820,836 6,471,448
Depreciable, net of accumulated depreciation 181,765,055 184,967,876
TOTAL NONCURRENT ASSETS 197,104,667 194,211,132
TOTAL ASSETS 238,112,401 237,883,526
LIABILITIES
CURRENT LIABILITIES:
Accounts payable 3,043,921 3,036,421
Accrued expenses 1,989,869 1,383,671
Accrued OPEB 1,820 3,376
Accrued interest payable - -
Refunding Revenue Bond(s) - current portion 1,175,000 1,140,000
Compensated absences 448,181 395,206
Customer and construction deposits 600,161 645,747
Deferred revenue 265,988 300,366
TOTAL CURRENT LIABILITIES 7,524,940 6,904,787
LONG-TERM LIABILITIES (LESS CURRENT PORTION):
Deferred annexation revenue 13,484,215 13,979,260
Compensated absences 1,344,544 1,251,486
Net Pension Liability 8,575,054 7,240,999
Net OPEB Liability 2,273,415 -
Deferred Pension Plan 639,586 753,101
Deferred OPEB Plan 44,966 -
Deferred Inflow - Gain on Bond 101,897 106,992
Refunding Revenue Bond(s) 37,883,062 39,314,039
Certificate of Participation - -
TOTAL LONG TERM LIABILITIES (LESS
CURRENT PORTION)64,346,739 62,645,877
TOTAL LIABILITIES 71,871,679 69,550,664
NET ASSETS:166,240,722$ 168,332,862$
YORBA LINDA WATER DISTRICT
UNAUDITED COMBINING SCHEDULE OF NET ASSETS
September 30, 2018
(With September 30, 2017 Actuals for comparison only)
1
September 2018 September 2017
OPERATING REVENUES:
Water sales 9,418,826$ 9,141,346$
Sewer revenues 558,642 514,741
Other operating revenues 346,202 229,021
TOTAL OPERATING REVENUES 10,323,670 9,885,108
OPERATING EXPENSES
Variable water costs 4,913,358 4,324,346
Personnel services 2,099,533 1,982,229
Supplies and services 1,051,692 1,009,244
Depreciation and amortization 1,841,964 1,855,462
TOTAL OPERATING EXPENSES 9,906,547 9,171,281
OPERATING INCOME/(LOSS)417,123 713,827
NONOPERATING REVENUES (EXPENSES):
Property taxes 37,444 43,499
Investment income 126,233 70,165
Interest expense (346,204) (333,542)
Other nonoperating revenues 130,287 160,308
Other nonoperating expenses (3,348) 18,346
TOTAL NONOPERATING REVENUES/EXPENSES (55,587) (41,224)
NET INCOME/(LOSS) BEFORE CAPITAL
CONTRIBUTIONS, SPECIAL/EXTRAORDINARY ITEM(S)361,536 672,603
SPECIAL ITEM(S) - CONSERVATION CREDIT - (1,105,809)
SPECIAL ITEM(S) - RATE CREDIT - -
CAPITAL CONTRIBUTIONS 2,320 1,786,648
CHANGES IN NET ASSETS 363,857 1,353,442
NET ASSETS - BEGINNING OF YEAR 165,876,865 166,979,420
NET ASSETS - FOR PERIOD END JUNE 30, 2018 166,240,722$ 168,332,862$
YORBA LINDA WATER DISTRICT
UNAUDITED COMBINING SCHEDULE OF REVENUES, EXPENSES
AND CHANGES IN NET ASSETS
September 30, 2018
(With September 30, 2017 Actuals for comparison only)
2
YTD Debt Prior YTD PY Debt
Actual Service Actual Service
FY19 Calculation FY18 Calculation
Revenue (Operating):
Water Revenue (Residential)$4,916,961 $4,916,961 $4,782,228 $4,782,228
Water Revenue (Commercial & Fire Det.)548,425 $548,425 554,747 $554,747
Water Revenue (Landscape/Irrigation)1,448,588 $1,448,588 1,305,955 $1,305,955
Water Revenue (Service Charge)2,504,852 $2,504,852 2,498,416 $2,498,416
Other Operating Revenue 315,029 315,029 211,129 211,129
Total Operating Revenue:9,733,855 9,733,855 9,352,475 9,352,475
Revenue (Non-Operating):
Interest 113,532 113,532 65,081 65,081
Property Tax 37,444 37,444 43,499 43,499
Other Non-Operating Revenue 120,319 (3,442) 159,257 35,496
Total Non-Operating Revenue:271,295 147,534 267,837 144,076
Total Revenue 10,005,150 9,881,389 9,620,312 9,496,551
Expenses (Operating):
Variable Water Costs (G.W., Import & Power)4,913,358 4,913,358 4,324,346 4,324,346
Salary Related Expenses 1,909,645 1,909,645 1,757,645 1,757,645
Supplies & Services 973,390 973,390 901,666 901,666
Depreciation 1,498,478 - 1,515,487 -
Total Operating Expenses 9,294,871 7,796,393 8,499,144 6,983,657
Expenses (Non-Operating):
Interest on Long Term Debt 346,204 - 333,542 -
Other Expense 575 575 (7,667)(7,667)
Total Non-Operating Expenses:346,779 575 325,875 (7,667)
Total Expenses 9,641,650 7,796,968 8,825,019 6,975,990
Net Position Before Capital
Contributions/Special Items 363,500 2,084,421 795,293 2,520,561
Special Item - Conservation Credit - - 1,105,809 -
Transfers (To)/From - - - -
Capital Contributions (Non-Cash Transaction -- - 968,275 -
GASB 34 Compliant)
Net Position 363,500$ 2,084,421$ 657,759$ 2,520,561$
DEBT SERVICE RATIO CALCULATION:
Net Revenues 2,084,421$ 2,520,561$
Debt Service 684,564$ 682,450$
%304% 369%
Yorba Linda Water District
Unaudited Debt Service Ratio Calculation
For Period Ending September 30, 2018
(With September 30, 2017 for comparison purposes)
3
FY19 Annual
Budget
YTD Actuals thru
September 2018
YTD % of
Budget
Water Revenue (Residential)16,209,835$ 4,916,961$ 30.33%
Water Revenue (Commercial & Fire Det.)1,918,913$ 548,425$ 28.58%
Water Revenue (Landscape/Irrigation)3,774,711$ 1,448,588$ 38.38%
Service Charges 10,116,528$ 2,504,852$ 24.76%
Other Operating Revenue 827,887$ 315,029$ 38.05%
Total Operating Revenue 32,847,873$ 9,733,855$ 29.63%
Revenue (Non-Operating):
Interest 310,000$ 113,532$ 36.62%
Property Taxes 1,850,000$ 37,444$ 2.02%
Other Non-Operating Revenue 605,346$ 120,319$ 19.88%
Total Non-Operating Revenue 2,765,346$ 271,295$ 9.81%
Total Revenue 35,613,219$ 10,005,150$ 28.09%
Expenses (Operating):
Variable Water Costs (G.W., Import & Power)
Water-Related Costs 12,762,647$ 4,271,987$ 33.47%
Fixed Costs 1,186,600$ 186,249$ 15.70%
Power-Related Costs 1,357,953$ 455,123$ 33.52%
Variable Water Costs Related Expenses Total 15,307,201$ 4,913,358$ 32.10%
Salary Related Expenses 9,931,772$ 1,975,933$ 19.90%
Reduction for Capital Project Labor (279,000)$ (66,288)$ 23.76%
Salary Related Expenses Total 9,652,772$ 1,909,645$ 19.78%
Supplies & Services
Communications 159,120$ 64,176$ 40.33%
Contractual Services 475,966$ 86,152$ 18.10%
Data Processing 265,129$ 67,016$ 25.28%
Dues & Memberships 82,077$ 27,283$ 33.24%
Fees & Permits 264,546$ 54,950$ 20.77%
Insurance 281,967$ 66,913$ 23.73%
Materials 658,714$ 237,505$ 36.06%
District Activities, Emp Recognition 43,013$ 6,627$ 15.41%
Maintenance 432,971$ 73,961$ 17.08%
Non-Capital Equipment 115,294$ 48,215$ 41.82%
Office Expense 40,343$ 7,125$ 17.66%
Professional Services 518,804$ 97,919$ 18.87%
Training 65,188$ 9,161$ 14.05%
Travel & Conferences 125,279$ 12,979$ 10.36%
Uncollectible Accounts 2,790$ (145)$ -5.19%
Utilities 169,911$ 45,584$ 26.83%
Vehicle Expenses 316,262$ 67,969$ 21.49%
Supplies & Services Sub-Total 4,087,123$ 973,390$ 23.82%
Total Operating Expenses 29,047,096$ 7,796,393$ 26.84%
Expenses (Non-Operating)
Other Expense 8,600$ 575$ 6.69%
Total Non-Operating Expenses 8,600$ 575$ 6.69%
Total Expenses 29,055,696$ 7,796,968$ 26.83%
Net Revenues 6,557,523$ 2,208,182$ 33.67%
Less: Debt Service (Principal & Interest)2,738,258$ 1,950,528$ 71.23%
Less: Committed Capital Expenditures (PayGo)4,484,500$ 1,023,237$ 22.82%
Less: Special Item - Conservation Credit -$ 0.00%
Less: Special Item - Rate Credit -$ -$ 0.00%
Transfer to/(from) Reserves (665,235)$ (765,583)$ 115.08%
Net -$ -$
Yorba Linda Water District
Water Enterprise
FY19 ProForma - Use of Funds
Septermber 2018
4
Yorba Linda Water District
Summary Financial Report
Water & Sewer Funds
For Period Ending September 30, 2018
Annual YTD Sept YTD YTD Actual Prior Year Prior Year YTD Actual YTD Actual
Budget Budget Actual Actual (Under) Over Sept Actual Actual (thru vs vs
FY19 FY19 FY19 FY19 YTD Budget FY18 Sept 2017)PY Actual $PY Actual %
Revenue (Operating):
Water Revenue (Residential)$16,209,835 $5,250,366 $1,518,843 4,916,961$ (333,405)$ $1,484,961 $4,782,228 $134,734 2.82%
Water Revenue (Commercial & Fire Det.)1,918,913 621,536 169,112 548,425 (73,111)162,479 554,747 (6,322)-1.14%
Water Revenue (Landscape/Irrigation)3,774,711 1,222,629 473,418 1,448,588 225,959 398,933 1,305,955 142,633 10.92%
Water Revenue (Service Charge)10,116,528 2,529,132 834,277 2,504,852 (24,280)831,686 2,498,416 6,436 0.26%
Sewer Charge Revenue 2,229,246 552,311 192,769 558,471 6,160 179,226 514,527 43,944 8.54%
Locke Ranch Assessments 273,250 - 130 171 171 130 214 (43) 0.00%
Other Operating Revenue 894,617 236,704 139,913 346,202 109,498 72,059 229,021 117,181 51.17%
Total Operating Revenue:35,417,099 10,412,678 3,328,462 10,323,670 (89,008)3,129,474 9,885,108 438,562 4.44%
Revenue (Non-Operating):
Interest 358,000 89,500 41,124 126,233 36,733 31,121 70,165 56,068 79.91%
Property Tax 1,850,000 38,000 35,523 37,444 (556) 40,856 43,499 (6,055) 0.00%
Other Non-Operating Revenue 639,846 159,962 (3,835) 130,287 (29,674)9,741 160,308 (30,021)-18.73%
Total Non-Operating Revenue:2,847,846 287,462 72,812 293,964 6,502 81,718 273,972 19,992 7.30%
Total Revenue 38,264,945 10,700,139 3,401,274 10,617,634 (82,506)3,211,192 10,159,080 458,554 4.51%
Expenses (Operating):
Variable Water Costs (G.W., Import & Power)15,307,201 4,937,239 1,512,043 4,913,358 (23,882)1,358,893 4,324,346 589,012 13.62%
Salary Related Expenses 10,784,493 2,038,936 798,914 2,099,533 60,596 728,115 1,982,229 117,304 5.92%
Supplies & Services 4,571,268 1,092,129 404,461 1,051,688 (40,440)374,544 1,009,244 42,444 4.21%
Total Operating Expenses 30,662,962 8,068,304 2,715,418 8,064,579 (3,726)2,461,552 7,315,819 748,760 10.23%
Expenses (Non-Operating):
Interest on Long Term Debt 1,325,785 347,564 115,401 346,204 (1,360) 111,181 333,542 12,662 3.80%
Other Expense 14,200 3,550 (1,251) 3,349 (201)(23,870) (18,346)21,695 -118.25%
Total Non-Operating Expenses:1,339,985 351,114 114,150 349,553 (1,561) 87,311 315,196 34,357 10.90%
Total Expenses 32,002,947 8,419,418 2,829,568 8,414,132 (5,287)2,548,863 7,631,015 783,117 10.26%
Net Position Before Capital Contributions 6,261,998 2,280,721 571,706 2,203,502 (77,219)662,329 2,528,065 (324,564) -12.84%
Special Item - - - - (1,105,809) 1,105,809 -100.00%
Capital Contributions (Non-Cash - - 2,320 2,320 - 1,786,648 (1,784,328) 0.00%
Transaction GASB 34 Compliant)- - 0
Net Position Before Depreciation 6,261,998 2,280,721 571,706 2,205,822 (74,899)662,329 3,208,904 (1,003,083)-31.26%
Depreciation & Amortization 7,726,142 1,899,036 612,963 1,841,964 (57,072) 618,090 1,855,462 (13,498) -0.73%
Total Net Position ($1,464,144)$381,686 ($41,257)363,858 ($17,827)$44,239 $1,353,442 ($989,585)73.12%
(33,286)(83,522) (83,522) (19,030) (54,935) (28,587) 52.04%
(With September 30, 2017 for comparison purposes)
5
Annual YTD Sept YTD YTD Actual Prior Year Prior YTD YTD Actual YTD - CUR
Budget Budget Actual Actual (Under)Over Sept Actual Actual (thru vs vs
FY19 FY19 FY19 FY19 YTD Budget FY18 Sept 2017) PY Actual $PY Actual %
Revenue (Operating):
Water Revenue (Residential)$16,209,835 $5,250,366 $1,518,843 4,916,961$ (333,405)$ $1,484,961 $4,782,228 $134,733 2.82%
Water Revenue (Commercial & Fire Det.)1,918,913 $621,536 169,112 548,425 (73,111) 162,479 554,747 (6,323)-1.14%
Water Revenue (Landscape/Irrigation)3,774,711 $1,222,629 473,418 1,448,588 225,959 398,933 1,305,955 142,633 10.92%
Water Revenue (Service Charge)10,116,528 2,529,132 834,277 2,504,852 (24,280) 831,686 2,498,416 6,436 0.26%
Other Operating Revenue 827,887 206,972 138,186 315,029 108,058 70,060 211,129 103,900 49.21%
Total Operating Revenue:32,847,873 9,830,634 3,133,836 9,733,855 (96,779) 2,948,119 9,352,475 381,380 4.08%
Revenue (Non-Operating):
Interest 310,000 77,500 37,234 113,532 36,032 28,575 65,081 48,451 74.45%
Property Tax 1,850,000 38,000 35,523 37,444 (556) 40,856 43,499 (6,055) -13.92%
Other Non-Operating Revenue 605,346 151,337 2,758 120,319 (31,017) 14,059 159,257 (38,938) -24.45%
Total Non-Operating Revenue:2,765,346 266,837 75,515 271,295 4,458.40 83,490 267,837 3,458 1.29%
Total Revenue 35,613,219 10,097,470 3,209,351 10,005,150 (92,321) 3,031,609 9,620,312 384,838 4.00%
Expenses (Operating):
Variable Water Costs (G.W., Import & Power)15,307,201 4,937,239 1,512,043 4,913,358 (23,882) 1,358,893 4,324,346 589,012 13.62%
Salary Related Expenses 9,652,772 1,855,056 725,973 1,909,645 54,589 644,364 1,757,645 152,000 8.65%
Supplies & Services:
Communications 159,120 67,280 6,913 64,176 (3,104) 30,528 46,882 17,294 36.89%
Contractual Services 475,966 93,992 35,319 86,152 (7,840) 29,129 83,706 2,446 2.92%
Data Processing 265,129 66,282 26,035 67,016 734 10,683 35,137 31,879 90.73%
Dues & Memberships 82,077 28,019 620 27,283 (737) 4,529 30,399 (3,116) -10.25%
Fees & Permits 264,546 44,637 31,166 54,950 10,314 23,257 41,205 13,745 33.36%
Board Election 69,750 - - - - - -
Insurance 281,967 70,492 22,681 66,913 (3,579) 19,968 60,315 6,598 10.94%
Materials 658,714 239,679 90,769 237,505 (2,174) 60,641 192,928 44,576 23.11%
District Activities, Emp Recognition 43,013 10,753 3,302 6,627 (4,126) 1,260 2,598 4,029 155.08%
Maintenance 432,971 74,243 40,305 73,961 (282) 51,433 108,089 (34,129) -31.57%
Non-Capital Equipment 115,294 49,824 5,674 48,215 (1,609) 8,753 19,697 28,518 144.78%
Office Expense 40,343 10,086 1,876 7,125 (2,960) 4,493 9,199 (2,074) -22.54%
Professional Services 518,804 95,701 61,482 97,919 2,218 52,801 126,512 (28,593) -22.60%
Training 65,188 10,297 4,538 9,161 (1,136) 1,911 6,165 2,996 48.59%
Travel & Conferences 125,279 13,820 2,891 12,979 (840) 7,110 12,332 647 5.25%
Uncollectible Accounts 2,790 698 422 (145) (842) (174) (74) (71) 95.54%
Utilities 169,911 46,478 8,504 45,584 (894) 10,420 54,663 (9,079) -16.61%
Vehicle Equipment 316,262 68,116 20,529 67,969 (146) 30,112 71,913 (3,944) -5.48%
Supplies & Services Sub-Total 4,087,123 990,393 363,026 973,390 (17,004) 346,854 901,666 71,724 7.95%
Total Operating Expenses 29,047,096 7,782,688 2,601,042 7,796,393 13,704 2,350,111 6,983,657 812,736 11.64%
Expenses (Non-Operating):
Interest on Long Term Debt 1,325,785 347,564 115,401 346,204 (1,361) 111,181 333,542 12,661 3.80%
Other Expense 8,600 2,150 (1,500) 575 (1,575) (13,191) (7,667) 8,242 -107.50%
Total Non-Operating Expenses:1,334,385 349,714 113,901 346,779 (2,935) 97,990 325,875 20,904 6.41%
Total Expenses 30,381,481 8,132,402 2,714,943 8,143,172 10,769 2,448,101 7,309,532 833,640 11.40%
Net Position Before Capital Contributions 5,231,738 1,965,068 494,408 1,861,978 (103,089) 583,508 2,310,780 (448,802)-19.42%
Special Item - - - - - (1,105,809) 1,105,809 -100.00%
Capital Contributions (Non-Cash Transaction -- - - - - 968,275 (968,275)
GASB 34 Compliant)
Net Position Before Depreciation 5,231,738 1,965,068 494,408 1,861,978 (103,089) 583,508 2,173,246 (311,268)-14.32%
Depreciation & Amortization 6,329,146 1,549,787 498,468 1,498,478 (51,309) 504,645 1,515,487 (17,009) -1.12%
Total Net Position (1,097,408) 415,282 (4,060) 363,500 (51,781) 78,863 657,759 (294,259) 44.74%
Capital - Direct Labor (26,488) (66,288) (66,288) (17,178) (49,804) (16,484) 33.10%
Yorba Linda Water District
Water Fund
For Period Ending September 30, 2018
(With September 30, 2017 for comparison purposes)
6
Annual YTD Sept YTD YTD Actual Prior Year Prior Year YTD Actual YTD - CUR
Budget Budget Actual Actual (Under)Over Sept Actual Actual (thru vs vs
FY19 FY19 FY19 FY19 YTD Budget FY18 Sept 2017)PY Actual $PY Actual %
Revenue (Operating):
Sewer Charge Revenue $2,229,246 $552,311 $192,769 558,471$ $6,160 $179,226 $514,527 $43,944 8.54%
Locke Ranch Assessments 273,250 - 130 171$ 171 130 214 (43) 0.00%
Other Operating Revenue 66,730 29,732 1,728 31,173$ 1,442 1,999 17,893 13,280 74.22%
Total Operating Revenue:2,569,226 582,043 194,627 589,815$ 7,772 181,355 532,634 57,181 10.74%
Revenue (Non-Operating):
Interest 48,000 12,000 3,890 12,701$ 701 2,547 5,085 7,616 149.77%
Other Non-Operating Revenue 34,500 8,625 (6,593) 9,968$ 1,343 (4,318)1,051 8,917 848.40%
Total Non-Operating Revenue:82,500 20,625 (2,703)22,669 2,044 (1,771) 6,136 16,533 269.43%
Total Revenue 2,651,726 602,668 191,924 612,484$ 9,816 179,584 538,770 73,713 13.68%
Expenses (Operating):
Salary Related Expenses 1,131,721 183,880 72,941 189,888 6,009 83,751 224,583 (34,695)-15.45%
Supplies & Services:
Communications 11,977 2,994 520 2,718 (276)696 1,769 949 53.64%
Contractual Services 29,766 7,441 2,392 5,070 (2,371)2,193 6,301 (1,231)-19.54%
Data Processing 17,322 4,330 1,929 4,284 (46)804 2,645 1,639 61.97%
Dues & Memberships 6,153 1,538 47 2,054 516 341 2,288 (234)-10.23%
Fees & Permits 15,907 3,977 736 1,727 (2,250)719 1,798 (71)-3.96%
Board Election 5,250 1,313 - - (1,313) - - 0
Insurance 21,223 5,306 1,707 5,036 (270)1,503 4,540 496 10.93%
Materials 28,622 19,656 12,868 21,352 1,697 716 13,207 8,145 61.67%
District Activities, Emp Recognition 3,238 810 180 431 (379)91 192 239 124.56%
Maintenance 171,630 16,608 13,169 13,169 (3,439)9,221 24,024 (10,855)-45.18%
Non-Capital Equipment 36,157 9,039 668 5,004 (4,035)477 6,436 (1,432)-22.25%
Office Expense 2,957 739 125 520 (219)338 692 (172)-24.86%
Professional Services 33,996 8,499 3,402 5,957 (2,542)1,439 6,396 (439)-6.86%
Training 13,052 3,263 321 604 (2,659)125 415 188 45.31%
Travel & Conferences 14,061 3,515 218 949 (2,566)535 1,306 (357)-27.30%
Uncollectible Accounts 210 53 78 (38) (91)29 61 (99)-162.30%
Utilities 13,489 3,372 691 3,635 263 842 4,288 (653)-15.22%
Vehicle Equipment 59,138 9,284 2,384 5,830 (3,454)7,622 31,219 (25,389)-81.33%
Supplies & Services Sub-Total 484,145 101,736 41,435 78,302 (23,435) 27,691 107,577 (29,276) -27.21%
Total Operating Expenses 1,615,866 285,616 114,376 268,190 (17,426) 111,442 332,160 (63,970) -19.26%
Expenses (Non-Operating):
Interest Expense - - - - - - - -
Other Expense 5,600 1,400 248 2,773 1,373 (10,679) (10,679) 13,452 -
Total Non-Operating Expenses:5,600 1,400 248 2,773 1,373 (10,679) (10,679) 13,452 0.00%
Total Expenses 1,621,466 287,016 114,624 270,963 (16,054) 100,763 321,481 (50,519) -15.71%
Net Position Before Capital Contributions 1,030,259 315,652 77,300 341,521 25,870 78,821 217,289 124,232 57.17%
Capital Contributions (Non-Cash - - 2,320 2,320 - 818,373 (816,053) -99.72%
Transaction GASB 34 Compliant)
Net Position Before Depreciation 1,030,259 315,652 77,300 343,841 28,190 78,821 1,035,662 (691,821) -66.80%
Depreciation & Amortization 1,396,996 349,249 114,495 343,486 (5,763)113,445 339,975 3,511 1.03%
Total Net Position (366,737) (33,597) (37,195) 355 33,953 (34,624) 695,687 (695,332) 99.95%
Capital - Direct Labor (6,798) (17,234)(17,234) (1,853) (5,130)(12,104)235.95%
Yorba Linda Water District
Sewer Fund
For Period Ending September 30, 2018
(With September 30, 2017 for comparison purposes)
7
$9,040,256
$7,422,206
$9,230,006
$9,620,312
$10,005,150
4.00%
$7,879,416
$6,482,837
$7,720,291
$7,309,532
$8,143,172
11.40%
$-
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
Sept. 2014 Sept. 2015 Sept. 2016 Sept. 2017 Sept. 2018
Water Revenues & Expenses -1st Qtr 2019
(excludes Depreciation, Special Items, and Contributed Capital )
Total Revenue Total Expenses
8
$428,273 $421,470
$497,197
$538,770
$612,484
13.68%
$314,931
$295,754 $312,047 $321,481
$270,963
-15.71%
$-
$100,000
$200,000
$300,000
$400,000
$500,000
$600,000
$700,000
Sept. 2014 Sept. 2015 Sept. 2016 Sept. 2017 Sept. 2018
Sewer Revenues & Expenses -1st Qtr 2019
(excludes Depreciation, Special Items, and Contributed Capital)
Total Revenue Total Expenses
9
ITEM NO. 9.2
AGENDA REPORT
Meeting Date: November 13, 2018
Subject:Status of Operations Activities
ATTACHMENTS:
Name:Description:Type:
Operations_Report.pdf Backup Material Backup Material
Operations Department
July -September 2018
O&M Activities
Presented by:
John DeCriscio
Operations Manager 1
FY 19 Sewer Maintenance Report
July -September
Program Overview:
Sewer Televising -18.95 miles
Sewer Cleaning -30.94 miles
Spot Repairs -15 manholes
Spill Response -no spills
2
Sewer Televising
3
CCTV Camera
4
Camera ready to go
5
Sewer Cleaning
6
Easement Cleaning
7
Easement Machine
and Root Cleaning
8
Easement Machine in action
9
Lining material and pool plaster
10
Pipeline Replacement
11
Contractor Lining and Packer
12
Questions?
13
ITEM NO. 10.1
AGENDA REPORT
Meeting Date: November 13, 2018
Subject:Directors' Reports
· Intergovernmental Meetings, Conferences, and Events
SUMMARY:
The Directors will report on their attendance at the following events:
1. OC LAFCO - October 10, 2018 (Nederhood - As Needed)
2. MWDOC Water Policy Forum - October 11, 2018 (Jones/Miller/Nederhood)
3. CAW Nut Plains Well Treatment Unit Tour - October 15, 2018 (Miller)
4. ACWA Regulatory Summit - October 16, 2018 (Miller)
5. YL City Council - October 16, 2018 (Hawkins)
6. MWDOC Board - October 17, 2018 (Jones/Nederhood)
7. OCWA Luncheon - October 17, 2018 (Jones/Nederhood)
8. OCWD Board - October 17, 2018 (Jones)
9. ACWA Region 10 Workshop - October 18, 2018 (Jones/Miller/Nederhood)
10. OCSD State of the District - October 19, 2018 (Jones/Nederhood)
11. CA-NV AWWA Fall Conference - October 22-25, 2018 (Jones/Nederhood)
12. YL State of the City - October 24, 2018 (Jones/Miller/Nederhood)
13. OCSD Board - October 24, 2018 (Hawkins)
14. ISDOC - October 25, 2018 (Hawkins)
15. WaterNow Alliance Workshop - October 26, 2018 (Jones/Miller/Nederhood)
16. WACO - November 2, 2018 (Miller)
17. ACWA Region 9 - November 2, 2018 (Jones)
18. ISDOC Executive Committee - November 6, 2018 (Nederhood)
19. ACWA-JPIA Captive Insurance Company Presentation - November 6, 2018 (Jones)
20. YL City Council - November 6, 2018 (Hall)
21. MWDOC Board - November 7, 2018 (Jones/Nederhood)
22. OCSD Operations Committee - November 7, 2018 (Hawkins)
23. OCWD Board - November 7, 2018 (Miller/Jones)
ITEM NO. 12.1
AGENDA REPORT
Meeting Date: November 13, 2018
Subject:Meetings from November 14 - December 31, 2018
ATTACHMENTS:
Name:Description:Type:
BOD_-_Activities_Calendar.pdf Backup Material Backup Material
Board of Directors Activity Calendar
Event Date Time Attendance By
November
OC LAFCO Wed, Nov 14 8:15 AM Nederhood (As Needed)
OCWA Luncheon Wed, Nov 14 11:30 AM Jones/Miller/Nederhood
YL Planning Commission Wed, Nov 14 6:30 PM Hawkins (As Needed)
Grand Opening Ceremony for YL Parking Structure Tue, Nov 20 4:00 PM Nederhood
YL City Council Tue, Nov 20 6:30 PM Miller
MWDOC Board Wed, Nov 21 8:30 AM Nederhood/Jones
OCWD Board Wed, Nov 21 5:30 PM Miller/Jones
District Offices Closed Thu, Nov 22 7:00 AM
ACWA-JPIA Fall Conference Mon, Nov 26 8:00 AM Jones
ACWA-JPIA Fall Conference Tue, Nov 27 8:00 AM Jones
ACWA Groundwater Committee Tue, Nov 27 10:00 AM Jones
ACWA Water Quality Committee Tue, Nov 27 3:00 PM Miller
ACWA Fall Conference Tue, Nov 27 5:00 PM Jones/Miller/Nederhood
ACWA Fall Conference Wed, Nov 28 8:00 AM Jones/Miller/Nederhood
OCSD Board Wed, Nov 28 6:00 PM Hawkins
YL Planning Commission Wed, Nov 28 6:30 PM Hawkins (As Needed)
ACWA Fall Conference Thu, Nov 29 8:00 AM Jones/Miller/Nederhood
ACWA Fall Conference Fri, Nov 30 8:00 AM Jones/Miller/Nederhood
December
ISDOC Executive Committee Tue, Dec 4 7:30 AM Nederhood
YL City Council Tue, Dec 4 6:30 PM Nederhood
MWDOC Board Wed, Dec 5 8:30 AM Nederhood/Jones
OCSD Operations Committee Wed, Dec 5 5:00 PM Hawkins
OCWD Board Wed, Dec 5 5:30 PM Miller/Jones
MWDOC Elected Officials' Forum Thu, Dec 6 6:00 PM Hawkins/Miller
WACO Fri, Dec 7 7:30 AM Nederhood
Joint Committee Meeting with City of Yorba Linda Mon, Dec 10 4:00 PM Nederhood/Jones
Board of Directors Regular Meeting Tue, Dec 11 6:30 PM
CRWUA Annual Conference Wed, Dec 12 8:00 AM Jones/Nederhood
OC LAFCO Wed, Dec 12 8:15 AM Nederhood (As Needed)
YL Planning Commission Wed, Dec 12 6:30 PM Hawkins (As Needed)
CRWUA Annual Conference Thu, Dec 13 8:00 AM Jones/Nederhood
CRWUA Annual Conference Fri, Dec 14 8:00 AM Jones/Nederhood
YL City Council Tue, Dec 18 6:30 PM Jones
MWDOC Board Wed, Dec 19 8:30 AM Nederhood/Jones
OCWD Board Wed, Dec 19 5:30 PM Miller/Jones
OCSD Board Wed, Dec 19 6:00 PM Hawkins
District Offices Closed Tue, Dec 25 7:00 AM
As of November 6, 2018
BACKUP MATERIALS DISTRIBUTED LESS THAN 72 HOURS PRIOR TO THE MEETING
ITEM NO. 8.1.
Statement Regarding Recommendation to Increase Rates by 3%
1 want to thank the Staff for looking ahead and presenting their concerns and perspective on the financial wellbeing of
the District.
Three years ago the preceding Board enacted a rate change. There were significant failures associated with that action.
First Concern,there was inadequate time to effectively develop and communicate the justification for the change to the
community.
Second Concern,the analysis to support the change was deficient.
Third Concern,the Proposition 218 statement was too limiting.
Fourth Concern,there was a dramatic shift in the revenue stream used to support the District with emphasis put on the
basic connection rate at the expense of conservation through the commodity charge.
Fifth Concern,the Board seemed determined to put the increase in place because they feared the financial future of the
District was at stake.
As a result of that traumatic time and action, 4 of the 5 Board members sitting here tonight are new.
So,what are we to do with this current recommendation?
Although the amount of the increase,3%, is significantly less than that in 2015,the basic elements that parallel that
situation are present at this time. Since this is planned to be our first increase since 2015, 1 think it is reasonable to be
sensitive to those previous concerns and avoid any repeat.
First Response: By rushing this increase with a target date of January 2019,we have not appropriately communicated
with the community. We have not taken the time to create a communication plan that allows for the community to
hear, analyze and respond to this increase. The timing looks suspect as we enter the Holidays,which further constrains
the communication elements. Some might argue that the timing seems self-serving since many are distracted by the
Holidays.
First Recommendation: Begin a full and effective Rate Study to be completed by March 31,2019 with targeted
implementation of July 1, 2019. During the Rate Study,the community can be invited to participate in providing input
and feedback. Once the Rate Study is complete,there will be 3 months to provide a full range of communication
alerting the community to the justification of the rate increase, along with the impact on users and the District. This
process will result in a new Prop 218 statement that must include flexibility to adjust both the connect charge and the
commodity charge creating options for future Board rate actions.
Second Response: The current analysis by Staff indicates that the 3%connect/commodity increase will generate
$144,000 in connection revenue and$355,000 in water charges.This size of revenue will do very little to change the
revenue or net income for the second half of FY 19.
Second Recommendation: Over the last 5 years the Annual Budgets have over/understated Water Only Revenue by a
combined$9.2 million dollars. This has resulted in Budgeted Net Income being understated by$16.2 million (Budget
$17.5 million,Actual$33.7 million). Some might argue that YLWD has a fiduciary responsibility to be conservative.
These results are beyond being conservative and undermine the trust of the community in the projections of the
District.
Al Nederhood, 11/13/18 Page 1
MATERIALS SUBMITTED BY: Al Nederhood
MEETING DATE: November 13, 2018
ITEM NO. 8.1.
At the end of September,the District has Net Income of just under$2.0 million on a budget of$5.2 million. A
reasonable projection would indicate the Net Income for FY 19 will come in at$6.0 to$7.0 million. This likely result
makes this rate increase for this fiscal year completely unnecessary. In fact, with a projected$1 to$2 million excess net
income versus budget,this rate increase AT THIS TIME will result in a further loss of credibility for the District. There's
no need for a rate increase at this time.A target date of July 1, 2019 gives adequate time and revenue increases to meet
future District needs.
Third Response: The previous Proposition 218 statement unnecessarily limited commodity increases to ONLY the
wholesale water increases,the legal definition of"pass through"charges. The law allows for other commodity cost
related increases IF the Prop 218 is written to include them. The current Prop 218 statement ignores the increases for
the District in power and related costs that are naturally tied to buying and distributing water. A new rate study
resulting in a new Prop 218 statement will add the necessary flexibility to future rate increases including direct and
indirect water costs.
Third Recommendation: Initiate a new, complete Rate Study with completion by March 31, 2019 with a target
implementation on July 1,2019. Write a new Proposition 218 statement that provides flexibility along with a reasonable
inclusion of all water related costs on the commodity charges.
Fourth Response: This District is not in any immediate financial risk and according to Staff will not face significant issues
until FY 21. We have the time and resources to do this rate increase right.(See Endnote forAnalysis)
Fourth Recommendation:
At a time of increased concerns and need for conservation,YLWD rate structure does very little to encourage lower
water use. It is important that YLWD continue to adjust the commodity rate upward to allow market forces to lower
water consumption. Therefore, it is important to generate a new Prop 218 Statement that allows for water
consumption rates to adjust beyond the pass through. As a result,commodity charges will more accurately reflect water
costs and encourage conservation.
Fifth Response: It is clear we have time and flexibility to address any rate changes that need to be implemented. We do
not have to push a rate increase out by January 1, 2019 since any increase in revenue this fiscal year is unnecessary and
minimal. There needs to be rate increases, but a first increase effective July 1, 2019 will not put the District in any risk
and will give us time to do this rate increase properly.
Fifth Recommendation: The District is in a strong position financially which allows us adequate time and resources to
do the next rate increase with a better plan and proper timing.Generate a new Rate Study using July 1, 2019 as a target
date which will allow for participation, understanding and input by the community.
SUMMARY
The next increase this Board supports will be the first since the 2015 turmoil. We need to plan this increase out so that
we don't repeat the failures of 2015. We have time and resources on our side.
Final Recommendation
Immediately initiate a rate study to be completed by March 31, 2019 with a target implementation of July 1, 2019.
Generate a new and more flexible Proposition 218 Statement that allows for a balance of connect charges and
commodity charges so the Board can adjust for new and unforeseen challenges that arise in the future
Al Nederhood, 11/13/18 page 2
MATERIALS SUBMITTED BY: Al Nederhood
MEETING DATE: November 13, 2018
ITEM NO. 8.1.
ENDNOTE
As staff noted in their revised five year revenue projection,the earliest the District would face a significant decline in
reserves would be FY 21 if we take no action. Based on current revenue streams,the District is NOT at risk for financial
concerns for 1—2 years. Rate changes effective July 1, 2019 will give us adequate room to protect reserves and support
necessary infrastructure updates.
According to FY 19 Budget, the current connect charge will result in$10.1 million in revenue. This revenue along with
Non-Operating Revenue of$2.7 million totals$12.8 million of consistent, non-water sales dependent revenue. This
steady revenue stream covers all District salary and salary related expenses along with 90%of Supplies and Services
costs.
Water Revenue from water sales is expected to be$22.7million which will be reduced by$15.3 million in water
purchasing costs and power leaving$7.4 million in available income. This$7.4 million is then used to cover Debt
Payment of$1.3 million with the rest left over for refurbishing the District's infrastructure and paying down excess
Pension Liabilities.
In a worst case scenario in a future year,even if water revenue dropped by 35% (similar to the CA State Mandate in
2015)the District would still have$14.8 million in water sales revenue. After expenses to buy and power the
distribution of water to the community,the District would still net close to$5.2 million to cover Debt Payment and a
bare bones infrastructure program.
Al Nederhood, 11/13/18 Page 3
MATERIALS SUBMITTED BY: Al Nederhood
MEETING DATE: November 13, 2018