HomeMy WebLinkAbout04-22-26 EO&WR Committee Meeting Packet1
OTAY WATER DISTRICT
ENGINEERING, OPERATIONS, & WATER RESOURCES COMMITTEE MEETING
and
SPECIAL MEETING OF THE BOARD OF DIRECTORS
2554 SWEETWATER SPRINGS BOULEVARD
SPRING VALLEY, CALIFORNIA
BOARDROOM
WEDNESDAY
APRIL 22, 2026
12:00 P.M.
This is a District Committee meeting. This meeting is being posted as a special meeting
in order to comply with the Brown Act (Government Code Section §54954.2) in the event that
a quorum of the Board is present. Items will be deliberated, however, no formal board actions
will be taken at this meeting. The committee makes recommendations
to the full Board for its consideration and formal action.
AGENDA
1. ROLL CALL
2. PUBLIC PARTICIPATION – OPPORTUNITY FOR MEMBERS OF THE PUBLIC TO
SPEAK TO THE BOARD ON ANY SUBJECT MATTER WITHIN THE BOARD’S JURIS-
DICTION INCLUDING AN ITEM ON TODAY’S AGENDA
DISCUSSION ITEMS
3. AWARD TWO (2) ON-CALL SERVICE AGREEMENTS AND AUTHORIZE THE GEN-
ERAL MANAGER TO EXECUTE TWO (2) AGREEMENTS FOR ON-CALL SUPPLE-
MENTAL WATER/SEWER/RECYCLED GENERAL INFRASTRUCTURE MAINTE-
NANCE AND REPAIR SERVICES WITH FILANC AND HPS MECHANICAL, INC.,
EACH IN AN AMOUNT NOT-TO-EXCEED $1,000,000 FOR FISCAL YEAR 2027, WITH
FOUR (4) ONE-YEAR OPTIONS TO RENEW AT THE DISCRECTION OF THE GEN-
ERAL MANAGER (ZAC THORNTON) [5 MINUTES]
4. AWARD A CONSTRUCTION CONTRACT TO JENNETTE COMPANY, INC. (JEN-
NETTE) AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREE-
MENT WITH JENNETTE FOR THE VISTA DIEGO HYDROPNEUMATIC PUMP STA-
TION IMPROVEMENTS – PHASE I IN AN AMOUNT NOT-TO-EXCEED $389,900
(JEFF MARCHIORO) [5 MINUTES]
5. APPROVAL OF CHANGE ORDER NO. 1 IN AN AMOUNT NOT-TO-EXCEED $96,031
TO EXISTING PURCHASE ORDER (PO) NO. 20250128 WITH BRAX COMPANY, INC.
TO REPLACE RATHER THAN REBUILD PUMP STATION #1 AT THE 980-1 PUMP
STATION, FOR A REVISED TOTAL PO AMOUNT OF $166,021 (JEFF MARCHIORO)
[5 MINUTES]
2
6. FISCAL YEAR 2026 MID-YEAR UPDATE FOR THE DISTRICT’S FISCAL YEAR 2023-
2026 STRATEGIC PLAN (MICHAEL KERR) [10 MINUTES]
BOARD MEMBERS ATTENDING:
Frank Rivera, Chair
Mark Robak
All items appearing on this agenda, whether or not expressly listed for action, may be deliber-
ated and may be subject to action by the Board.
The agenda, and any attachments containing written information, are available at the District’s
website at www.otaywater.gov. Written changes to any items to be considered at the open
meeting, or to any attachments, will be posted on the District’s website. Copies of the agenda
and all attachments are also available by contacting the District Secretary at (619) 670-
2253.
If you have any disability which would require accommodation in order to enable you to partic-
ipate in this meeting, please call the District Secretary at 619-670-2253 at least 24 hours prior
to the meeting.
Certification of Posting
I certify that I posted a copy of the foregoing agenda near the regular meeting place of the
Board of Directors of Otay Water District, Spring Valley, California, said time being at least
24 hours in advance of the special meeting of the Board of Directors (Government Code
Section §54954.2).
/s/ Jenny Diaz, District Secretary
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: May 13, 2026
SUBMITTED BY: Zachary Thornton,
Utility Maintenance Supervisor
PROJECT: Various DIV. NO. ALL
APPROVED BY: Jeff Marchioro, Utility Services Manager
Andrew Jackson, Chief of Water Operations
Jose Martinez, General Manager
SUBJECT: AWARD OF TWO ON-CALL SUPPLEMENTAL WATER/SEWER/RECYCLED GENERAL INFRASTRUCTURE MAINTENANCE AND REPAIR SERVICES AGREEMENTS TO
FILANC AND HPS MECHANICAL, INC. IN AN AMOUNT NOT-TO-EXCEED $1,000,000 FOR FISCAL YEAR 2027 WITH FOUR (4) ONE-YEAR OPTIONS TO RENEW AT THE DISCRETION OF THE GENERAL MANAGER.
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board) award two on-call service agreements and authorize the General Manager to
execute two agreements for on-call supplemental Water/Sewer/Recycled general infrastructure maintenance and repair services with Filanc and
HPS Mechanical, Inc.(HPS) each in an amount not-to-exceed $1,000,000 for Fiscal Year 2027, with four (4) one-year options to renew, at the discretion of the General Manager. The total amount of the two
agreements will not exceed $1,000,000 during each fiscal year.
COMMITTEE ACTION:
See “Attachment A.”
PURPOSE:
To obtain Board authorization for the General Manager to enter into two agreements for on-call supplemental Water/Sewer/Recycled general infrastructure maintenance and repair services with Filanc and HPS,
AGENDA ITEM 3
with each agreement in an amount not-to-exceed $1,000,000 for Fiscal Year 2027, with four (4) one-year options to renew, at the discretion of the General Manager. The total amount of the two agreements will not exceed $1,000,000 during each fiscal year.
ANALYSIS:
To maintain reliable water distribution, the District often requires immediate maintenance and repair services including pipeline repairs,
facility upgrades, and site maintenance (which are critical to minimizing service interruptions), and regulatory compliance.
Historically, the District has successfully and efficiently managed these needs through District staff. There have been occasions when District’s resources are insufficient to manage the workload or are
restricted from performing work under the California Uniform Construction Cost Accounting Commission Act (CUPCCA), which limits work
performed by District staff on public works projects up to $75,000. Projects exceeding this amount, up to $220,000, must be contracted through informal bidding procedures. The District has traditionally
managed these needs through multiple short-term contracts, which have proven time-intensive and may delay responses to urgent or emergency
projects.
To streamline operations, District staff recommend securing an on-call supplemental services agreement with two qualified contractors capable of providing a range of maintenance and repair services on an as-needed
basis. This agreement will facilitate efficient response to emergency repairs and urgent system maintenance, without requiring repetitive bidding for each project. Additionally, the agreement will also streamline and improve flexibility to complete non-emergent planned work for routine corrective maintenance and in support of Capital
Improvement Projects (CIP).
The scope of the agreement includes, but is not limited to:
•Work on water piping with the following service designations:
potable water, wastewater, and recycled water. Includinginstallation, removal, and proper disposal.
•Relocation of pipelines, valves, vaults, air vacs, and related
appurtenances. Including removal, installation, and disposal
•Installation and removal of line stops.
•Relocation of storm drains and pipelines. Including removal,installation, and disposal.
•Repair pipeline leaks.
•Repairs of concrete and asphalt roadways, including trenching,backfilling, compacting, and temporary paving, curb and gutterrepair/replace.
•Emergency pipeline and infrastructure repairs to protect public
safety.
For planned work, the District will identify and discuss task orders
with Filanc and HPS for specific projects throughout the contract period. The contractors will then prepare a schedule, detailed scope of
work, and cost estimate based on their proposed unit price rate schedule to the extent possible. Work not listed on the unit price rate schedule will be billed on a Time and Materials (T&M) basis. The District will assign task orders based on factors, such as cost, availability, task completion turnaround, and other relevant considerations.
For emergency and urgent unplanned work, the first call will alternate between Filanc and HPS. The District will pay them on a time and materials basis, in accordance with prevailing wage rates for labor and the applicable equipment and materials per the rate schedule. Filanc
and HPS shall provide a detailed labor and equipment report based on the rate schedule, including any markups for materials or subcontractor work.
The on-call services agreement does not commit the District to any
expenditure until a task order is approved to perform the work. The District does not guarantee on-call work to the contractors, nor does
the District guarantee to the contractors that it will expend all the funds authorized by the agreement.
On-call agreement task orders will be administered/managed and inspected by the District’s Operations Utility Maintenance section
and/or Engineering Field Services section staff as appropriate, depending on the size and complexity of the individual task orders. The District’s As-Needed Construction Management and Inspection Services
consultants may also be utilized to administer and inspect the task order work.
In accordance with the District’s purchasing requirements, bids were solicited on December 11, 2025, via PlanetBids (the District’s online
bid solicitation portal) and the District’s website. The advertisement was also placed in the Daily Transcript. Seven prospective contractors
attended a mandatory pre-bid conference meeting on January 5, 2026. Bids, including unit prices for typical work anticipated for this agreement, proposed time, and material hourly, equipment, and markup rates were received through Planet Bids on Wednesday January 14, 2026, and opened with the result shown in the table below. The bid evaluation
consisted of proposed unit prices and proposed time and material rates,
multiplied by a weight factors, and applied to typical work anticipated for this agreement to achieve a total combined score shown in the table below. A summary of the complete evaluation is shown in Attachment B.
Contractor Name
Unit Price Weighted Score
Time and Material Weighted Score (T&M)
Total Combined Score (Unit Price + T&M)Filanc 1,092,751 42,470 1,135,221HPS Mechanical, Inc.1,123,282 42,030 1,165,312MMC, Inc.1,305,316 30,563 1,335,878Bali Construction 1,382,624 35,135 1,417,759Palm Engineering Construction 1,548,022 61,040 1,609,062TC Construction Company 1,847,662 36,940 1,884,602
Filanc and HPS completed the Company Background Questionnaire and Company Safety Questionnaire Forms as required by the bid documents, and staff did not find any significant issues. Staff completed reference
checks for the selected firms, and all references were satisfactory. Filanc and HPS hold valid Class A, General Engineering, Contractor’s
License in the State of California, which is valid through March 31, 2027, and September 30, 2027, respectively. Filanc held recent on-call contracts for similar work with the City of San Diego, City of
Escondido, and City of Anaheim. HPS has held recent on-call plumbing contracts with Carlsbad Unified School District and SANDAG. HPS has
also recently completed sewer lift station improvement work for the City of Fresno.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
The agreements establish a maximum annual expenditure of $1,000,000 per fiscal year. This maximum amount provides the District with sufficient flexibility to address critical projects as they arise.
Budget Fiscal Year 2027 Amount
Operating Budget $500,000
CIP Budget $500,000
TOTAL $1,000,000
•Approximately $500,000 is anticipated for operating repairs andmaintenance, including emergency and urgent work. The Fiscal Year
2027 Operating budget will include $500,000 allocated to supportcorrective, emergency, and urgent repairs.
•During Fiscal Years 2024-2026, The District’s average annualexpenditure for urgent and emergency work, including contracted
services, totaled $464,000. For Fiscal Year 2026, expenditures are $626,056 to date.
•The proposed CIP funds come from the valve replacement program,with projected six-year expenditures totaling $5,975,000, or
between $500,000 and $1,800,000 annually as the valve replacementsprogress in a systematic approach. Most of this work is, and willbe, performed by District staff. The contractor will be engaged inmore complex valve replacements, particularly in high-trafficareas, on large-diameter valves, and at depths exceeding six feet,
at the District’s discretion.
The agreements also include provisions for optional renewals of up to four additional one-year terms, pending satisfactory performance and continued funding approval. The funds for these contracts will be
expended on a variety of projects, as previously noted above. These contracts are for on-call supplemental maintenance and repair services based on the District's need and schedule, and expenditures will not be made until a task order is approved by the District for the contractor’s services on a specific CIP, Operating or emergency services project,
and budget availability is confirmed.
Based on a review of the financial budget, the Project Manager anticipates that the budgets will be sufficient to support on-call services agreement required for the projects noted above.
The Finance Department has determined that the funds to cover these
contracts will be available as budgeted for these projects.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide
exceptional water and wastewater service to its customers, and to manage District resources in a transparent and fiscally responsible manner” and the General Manager’s Vision, "To be a model water agency by providing stellar service, achieving measurable results, and continuously improving operational practices."
LEGAL IMPACT:
None.
Attachments: Attachment A – Committee Action Attachment B – Combined Weighted Score Calculations Attachment C – Example Repair Photos
ATTACHMENT A
SUBJECT/PROJECT: AWARD OF TWO ON-CALL SUPPLEMENTAL WATER/SEWER/RECYCLED GENERAL INFRASTRUCTURE MAINTENANCE AND REPAIR SERVICES
AGREEMENTS TO FILANC AND HPS MECHANICAL, INC. IN AN AMOUNT NOT-TO-EXCEED $1,000,000 FOR FISCAL YEAR 2027 WITH FOUR (4)
ONE-YEAR OPTIONS TO RENEW AT THE DISCRETION OF THE GENERAL MANAGER.
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee reviewed this item at a meeting held on April 22, 2026, and the following comments
were made:
NOTE:
The “Committee Action” is written in anticipation of the Committee moving the item forward for board approval. This report will be sent to the
Board as a committee approved item, or modified to reflect any discussion or changes as directed from the committee prior to presentation to the full board.
Unit Price Weighted Score Attachment B
Item Wght Type of Service
Unit Bid
Price
Total
Score
Unit Bid
Price
Total
Score
Unit Bid
Price
Total
Score
Unit Bid
Price
Total
Score
Unit Bid
Price
Total
Score
Unit Bid
Price
Total
Score
Unit Bid
Price
Total
Score
1 10 1.00$ 10.00 $20,000 $200,000 $12,920 $129,200 $2,600 $26,000 $4,100 $41,000 $9,000 $90,000 $13,500 $135,000
2 7 1.00$ 7.00 $30,000 $210,000 $14,860 $104,020 $4,115 $28,805 $5,700 $39,900 $15,000 $105,000 $16,000 $112,000
3 5 1.00$ 5.00 $400 $2,000 $937 $4,685 $1,350 $6,750 $1,535 $7,675 $3,000 $15,000 $3,200 $16,000
4 5 1.00$ 5.00 $500 $2,500 $1,015 $5,075 $1,610 $8,050 $1,670 $8,350 $3,500 $17,500 $3,400 $17,000
5 10 1.00$ 10.00 $5,000 $50,000 $8,230 $82,300 $6,800 $68,000 $9,075 $90,750 $7,500 $75,000 $10,000 $100,000
6 6 1.00$ 6.00 $6,000 $36,000 $10,100 $60,600 $7,800 $46,800 $9,890 $59,340 $9,500 $57,000 $11,000 $66,000
7 2 1.00$ 2.00 $19,000 $38,000 $30,745 $61,490 $19,770 $39,540 $35,430 $70,860 $30,000 $60,000 $35,000 $70,000
8 2 1.00$ 2.00 $10,000 $20,000 $14,198 $28,396 $24,000 $48,000 $15,340 $30,680 $9,500 $19,000 $20,000 $40,000
9 2 1.00$ 2.00 $5,000 $10,000 $12,384 $24,768 $6,500 $13,000 $4,830 $9,660 $7,000 $14,000 $3,100 $6,200
10 2 1.00$ 2.00 $15,000 $30,000 $17,418 $34,836 $28,000 $56,000 $20,850 $41,700 $28,500 $57,000 $32,000 $64,000
11 3 1.00$ 3.00 $13,000 $39,000 $14,592 $43,776 $24,550 $73,650 $16,370 $49,110 $25,000 $75,000 $29,000 $87,000
12 3 1.00$ 3.00 $20,000 $60,000 $12,495 $37,485 $27,000 $81,000 $13,470 $40,410 $20,000 $60,000 $19,000 $57,000
13 5 1.00$ 5.00 $20,000 $100,000 $2,890 $14,450 $22,000 $110,000 $27,500 $137,500 $30,000 $150,000 $47,000 $235,000
14 5 1.00$ 5.00 $30,000 $150,000 $34,917 $174,585 $26,000 $130,000 $52,990 $264,950 $43,500 $217,500 $57,000 $285,000
15 5 1.00$ 5.00 $25,000 $125,000 $18,959 $94,795 $23,000 $115,000 $41,350 $206,750 $40,000 $200,000 $33,000 $165,000
16 5 1.00$ 5.00 $15,000 $75,000 $8,632 $43,160 $25,000 $125,000 $23,260 $116,300 $30,000 $150,000 $36,000 $180,000
17 1 1.00$ 1.00 $60 $60 $115 $115 $265 $265 $2,600 $2,600 $300 $300 $440 $440
18 5 1.00$ 5.00 $5,000 $25,000 $5,282 $26,410 $1,500 $7,500 $1,120 $5,600 $2,300 $11,500 $1,300 $6,500
19 5 1.00$ 5.00 $13,276 $66,378 $12,261 $61,303 $13,992 $69,961 $15,949 $79,744 $17,422 $87,111 $20,552 $102,761
20 5 1.00$ 5.00 $13,276 $66,378 $12,261 $61,303 $13,992 $69,961 $15,949 $79,744 $17,422 $87,111 $20,552 $102,761
Totals 93.00 $1,305,316 $1,092,751 $1,123,282 $1,382,624 $1,548,022 $1,847,662
Palm Engineering
Construction Company,
Inc.
TC Construction
Company, Inc.
Bid #FY26-3232-1211 On-Call Supplemental Water/Sewer/Recycled/General Infrastructure Maintenance and Repair Services
As described in
Bid Schedule per
Item #
CONTROL J.R. Filanc Construction
Company, Inc.HPS Mechanical, Inc.Bali Construction, Inc.MMC Inc
Time and Materials and Combined Weighted Score Attachment B
Description Weight
Labor Weight 10
Labor/
Equipment Hours
Equipment Weight 5 Foreman 8
Material Markup Weight 2 Operator 8
Laborer 8
Backhoe 8
Dump Truck 8
Contractor Foreman
Rate ($/hr)
Operator
Rate ($/hr)
Laborer Rate
($/hr)
Backhoe
Rate ($/hr)
Dump Truck
Rate ($/hr)
Material
Markup (%)
Labor Cost
(Scenario)
Equipment
Cost
(Scenario)
Total
Scenario
Cost
T&M
Weighted
Score
Line Bid
Items Totals
Weighted
Score
Total
Combined
Weighted
Score
Rank Lowest
to Highest
Bidder
J.R. Filanc Construction 157 154 114 101 110 15 3,400 1,688 5,088 42,470 1,092,751 1,135,221 1
HPS Mechanical Inc 195 145 85 115 85 15 3,400 1,600 5,000 42,030 1,123,282 1,165,312 2
MMC, Inc 101 115 98 63 71 20 2,514 1,077 3,591 30,563 1,305,316 1,335,878 3
Bali Construction Inc 129 126 94 108 71 15 2,797 1,427 4,224 35,135 1,382,624 1,417,759 4
Palm Engineeering Construction CompanyInc 200 175 150 250 225 20 4,200 3,800 8,000 61,040 1,548,022 1,609,062 5
TC Construction Company Inc 150 115 94 95 110 10 2,872 1,640 4,512 36,940 1,847,662 1,884,602 6
Typical Scenario
Bid #FY26-3232-1211 On-Call Supplemental Water/Sewer/Recycled/General Infrastructure Maintenance and Repair Services
Examples of Contractor
Repairs
On-Call Supplemental
Water/Sewer/Recycled/General Infrastructure
Maintenance and Repair Services Agreement
Attachment C
Emergency 16” C900 Pipe & Road Repair
Paseo Ladera
Jan 2021
Emergency 6” BO repair at 980-2 PS
May 2022
Emergency 12” ACP Main Repair Jamul Dr
Oct 2025
Planned Repair
Telegraph Canyon Road Blowoff Valve
August 2025
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: May 13, 2026
SUBMITTED BY: Jeff Marchioro Utility Services Manager /
Senior Civil Engineer
PROJECTS: P2639-001103P2663-009000 DIV. NO. 5
APPROVED BY: Beth Gentry, Engineering Manager
Michael Long, Chief, Engineering Jose Martinez, General Manager
SUBJECT: Award of a Construction Contract to Jennette Company, Inc. for the Vista Diego Hydropneumatic Pump Station Improvements - Phase I Project
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board) award a construction contract to Jennette Company, Inc. (Jennette) and authorize the General Manager to execute an agreement with Jennette
for the Vista Diego Hydropneumatic (HPS) Pump Station Improvements - Phase I in an amount not-to-exceed $389,900 (see Exhibit A for Project location).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board authorization for the General Manager to enter into a construction contract with Jennette for the Vista Diego HPS Pump Station Improvement Phase I Project in an amount not-to-exceed
$389,900.
AGENDA ITEM 4
2
ANALYSIS:
The District’s existing Vista Diego Hydropneumatic Pump Station (Vista Diego HPS) was originally built in 1966 with two domestic pumps and a 10,000-gallon hydropneumatic tank. The original pump
station was retrofitted with a fire pump in the late 1980's, at which time all electrical gear was replaced and a generator was installed.
The 1966 era steel hydropneumatic tank requires replacement due to corrosion.
The existing Vista Diego HPS serves the 1530 Pressure Zone comprised
of 6-inch and 8-inch asbestos concrete (ACP) Class 150 piping and approximately forty (40) small (3/4” to 1”) residential meters and
four (4) fire hydrants.
In preparation for the Fiscal Year 2026 budget cycle, the Vista Diego HPS replacement project was estimated at $6.4M compared to the $4.2M
FY 2025 budget. Staff completed an alternatives analysis and removed the existing 1980’s fire pump and electrical gear upgrades from the
project. The fire needs for the District will be assessed in the Water Facilities Master Plan Update. The reduced scope project includes a temporary domestic pump skid to be located in a shared easement with SDG&E under the overhead dry utilities. SDG&E provided concurrence with project. CIP P2639 is currently budgeted at $2.5M.
The temporary domestic pump skid will facilitate demolition of the 1966 era 10,000-gallon hydropneumatic tank. After District staff gain experience with the temporary skid, and after demolition of the existing 10,000-gallon hydropneumatic tank, the permanent domestic pump skid(s) will be installed within the existing pump station yard.
On September 30, 2025, the District awarded a purchase order to the Barrett Engineered Pumps (Barrett) for the pre-purchase of the
domestic pump skid. The skid was delivered on January 16, 2026. Barrett’s purchase order does not include installation of the pump skid at the Project site.
Like the domestic skid, several other items with long lead times and/or complex ordering processes were pre-purchased to facilitate
the bidding, pump skid installation, and streamline of the construction project. A purchase order was awarded to MCR Technologies Inc. for an equipment shelter with air conditioning to
house the pump skid on January 26, 2026, with delivery anticipated in April 2026. Purchase orders were recently issued for several smaller
items including a pair of bladder tanks, magnetic flow meter, existing site Programmable Logic Controller (PLC) modules, certified used circuit breakers to fit the existing site electrical enclosure,
a transformer, and slanting disk check valve. The Purchase Orders were issued under General Manager authority tied to California
3
Uniform Public Construction Cost Accounting Act (CUPCCAA) for public
works projects.
District staff prepared a bid package for installation of the pre-purchased items in-house. The District’s as-needed electrical
engineer consultant (Engineering Partners, Inc.) provided electrical design.
On March 3, 2026, the Project was posted for bid using PlanetBids, an online bid solicitation website. The Project was also advertised in the Daily Transcript on March 9, 2026. PlanetBids provided
electronic distribution of the Bid Documents, including specifications, plans, and addendum. A Pre-Bid Meeting, with the
pre-purchased skid staged in the employee parking lot, was held on March 11, 2026, which was attended by twelve (12) general contractors and a subcontractor. Three addendums were sent out to all bidders and plan houses to address questions and clarifications to the contract documents during the bidding period.
Bids were publicly opened on March 25, 2026, with the following results:
CONTRACTOR TOTAL BASE BID AMOUNT
1 Jennette Company, Inc. San Diego, CA $389,900.00
2 M Rae Engineering, Inc.
Descanso, CA $439,800.00
3 RJ Nichols Construction, Inc. Lakeside, CA $475,439.00
4 TC Construction Company, Inc. Santee, CA $476,500.00
5 MMC, Inc.
La Palma, CA $508,000.00
6 HPS Mechanical, Inc. Bakersfield, CA $553,000.00
7 Vicon Enterprise, Inc. Anaheim, CA $657,000.00
8 Houalla Enterprises, Ltd.
Newport Beach, CA $660,602.00
9 Palm Engineering Construction Company, Inc. San Diego, CA $672,000.00
10 Arsenal Well Drilling, Inc. Visalia, CA $791,597.17
The Engineer’s Estimate is $475,000.
4
A review of the bids was performed by District staff for conformance
with the contract requirements and determined that Jennette was the lowest responsive and responsible bidder. Jennette holds a Class A, General Engineering, Contractor’s License in the State of California,
which meets the contract document requirements, and is valid through September 30, 2027. The reference checks indicated a mixture of very
good and excellent performance records on similar projects. An internet background search of the company was performed and revealed no outstanding issues with this company.
Jennette is currently working on the District’s 711 Pump Station
Improvements Phase I project. Jennette successfully completed the 1200 Pressure Zone Improvements Phase II project in 2022. Jennette also completed the installation of a static mixer at the District’s
520 Reservoir site in 2022. Jennette staff, when previously employed by NEWest Construction Co., Inc., also completed several District
projects including the Calavo Sewer Lift Station in 2008.
Staff verified that the bid bond provided by Jennette is valid. Staff will also verify that Jennette’s Performance Bond and Labor and Materials Bond are valid prior to execution of the contract.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
The total budget for CIP P2639, as approved in the FY 2026 budget, is $2,500,000. Accounting for future phases, the total expenditures,
plus outstanding commitments and forecast including this contract, are estimated at $2,455,406. See Attachment B for budget detail.
The total budget for CIP P2663, as approved in the FY 2025 budget, is $3,200,000. The total expenditures, plus outstanding commitments and
forecast including this contract, are estimated at $1,889,374. See Attachment C for budget detail.
Based on a review of the financial budgets, the Project Manager anticipates that the budgets for both CIPs P2639 and P2663 are
sufficient to support the Project.
The Finance Department has determined that, under the current rate model, 100% of the funding will be available from the Replacement Fund for CIP P2639 and CIP P2663.
GRANTS/LOANS:
Engineering staff researched and explored grants and loans and found none available for this Project.
5
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide
exceptional water and wastewater service to its customers and to manage District resources in a transparent and fiscally responsible
manner,” and the General Manager’s Vision, "To be a model water agency by providing stellar service, achieving measurable results, and continuously improving operational practices."
LEGAL IMPACT:
None.
JM/BG:jf
Attachments: Attachment A – Committee Action Attachment B – Budget Detail CIP P2639 Attachment C – Budget Detail CIP P2663 Exhibit A – Location Map
ATTACHMENT A
SUBJECT/PROJECT: P2639-001103 P2663-009000
Award of a Construction Contract to Jennette Company, Inc.
for the Vista Diego Hydropneumatic Pump Station Improvements - Phase I Project
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee (Committee) reviewed this item at a meeting held April 22, 2026. The Committee supported staff's recommendation.
NOTE:
The “Committee Action” is written in anticipation of the Committee moving the item forward for Board approval. This report will be sent to the Board as a Committee approved item or modified to reflect any
discussion or changes as directed by the Committee prior to presentation to the full Board.
ATTACHMENT B – Budget Detail CIP P2639
SUBJECT/PROJECT: P2639-001103 P2663-009000
Award of a Construction Contract to Jennette Company, Inc. for the Vista Diego Hydropneumatic Pump Station
Improvements - Phase I Project
Date Updated: 3/29/2026
Budget
2,500,000
Planning
Consultant Contracts 56,236 - 56,236 CHAMBERS GROUP INC38,133 - 38,133 HELIX ENVIRONMENTAL
Agency Fees 50 - 50 COUNTY OF SAN DIEGO
Standard Salaries 77,348 - 77,348
Total Planning 171,767 - 171,767
DesignConsultant Contracts 105,458 - 105,458 MURRAYSMITH INC
21,902 - 21,902 NINYO & MOORE GEOTECHNICAL
20,933 41,612 62,544 NV5 INC6,566 - 6,566 STC TRAFFIC INC
12,275 3,205 15,480 WOOD RODGERS INC
78,374 21,040 99,414 ENGINEERING PARTNERS INC
Service Contracts 5,066 - 5,066 HUNSAKER & ASSOCIATES
Standard Salaries 341,379 - 341,379
- 100,000 100,000 Phase II
Total Design 591,952 65,857 657,808
Construction
Consultant Contracts 9,900 - 9,900 ALYSON CONSULTING
- - - MURRAYSMITH INC
- 11,800 11,800 ENGINEERING PARTNERS INC
INFRASTRUCTURE EQUIPMENT &5,877 - 5,877 GRAYBAR ELECTRIC CO INC9,100 - 9,100 CHULA VISTA ELECTRIC CO
28,429 - 28,429 SOUTHCOAST HEATING & AIR
85,861 660 86,521 BARRETT ENGINEERED PUMPS
- 7,091 7,091 CS-ASSOCIATED MUNICIPAL SALES, LLC
4,183 84 4,267 CB PACIFIC INC.
4,945 (0) 4,945 EMERSON LLLP
- 50,810 50,810 MCR TECHNOLOGIES INCService Contracts - 20,000 20,000 TECHKNOWSION INC
Standard Salaries 2,192 75,000 77,192
- 324,100 324,100 Jennette Company Inc - Vista Diego HPS- 35,800 35,800 Construction Management
- 50,000 50,000 Contingency
- 800,000 800,000 Phase II
Total Construction 150,487 1,375,344 1,525,831
Grand Total 914,205 1,541,201 2,455,406
Vendor/Comments
Otay Water District
p2639-Vista Diego Hydro Pump Station Repl
Expenditures Forecast Projected
Final Cost
ATTACHMENT C – Budget Detail CIP P2663
SUBJECT/PROJECT: P2639-001103 P2663-009000
Award of a Construction Contract to Jennette Company, Inc. for the Vista Diego Hydropneumatic Pump Station
Improvements - Phase I Project
3/29/2026
Budget
3,200,000
Consultant Contracts 30,245 - 30,245 WOOD RODGERS INC
2,640 - 2,640 NV5 INC
2,512 - 2,512 ON-SITE TECHNICAL SV6,452 13,949 20,400 VALLEY CM (711 PS)
Service Contracts 11,155 - 11,155 APPLUS RTD USA INC
64,895 - 64,895 HMT LLC56 - 56 NATL BOARD OF B & PV INS4,900 - 4,900 UP N DOWN SCAFFOLD CO INC
7,518 - 7,518 BOB'S CRANE SERVICE814 - 814 PENHALL COMPANY465 - 465 RICK POST WELD & WET TAPPING
266 - 266 SAN DIEGO POWDER COATING3,250 379,500 382,750 JENNETTE COMPANY (711 PS)Supplier Contracts 885 - 885 SQ *FRANK CONCRETE INC
8,400 - 8,400 FREEDOM AUTOMATION INC4,231 - 4,231 BARRETT ENGINEERED PUMPS20,064 - 20,064 DAWSON COMPANY
975 - 975 ACRO INSTRUMENT CO1,409 - 1,409 HOFFMEYER CO2,007 - 2,007 MCMASTER-CARR SUPPLY CO
1,306 - 1,306 MINSHEW BROTHERS STEEL286,088 - 286,088 MODERN CUSTOM FABRICATION INC528 - 528 SOUTHLAND PIPE CORP
755 - 755 ABC IMAGING47 - 47 DAILY JOURNAL CORPORATION3,300 - 3,300 IN *ANGLER PLUMBING
1,480 - 1,480 JAWCO CERTIFIED WELDING INC.INFRASTRUCTURE EQUIPMENT 715 - 715 AMAZON.COM INC1,402 - 1,402 CED INDUSTRIAL & LIGHT
150 - 150 CORE & MAIN LP20,969 32,306 53,275 FERGUSON ENTERPRISES INC #1083596 - 596 GRAINGER INC
136 - 136 HILTI INC
156 - 156 HUB 54 SAN DIEGO3,982 - 3,982 MAGNETROL
67 - 67 PB/DIXIELINE #15
1,678 - 1,678 RCP BLOCK & BRICK INC555 - 555 RELIABLE PIPE SUPPLY CO.
2,110 - 2,110 SUPERIOR READY MIX LP
6,151 - 6,151 MICRO MOTION INC12,783 - 12,783 AMETEK MAGNETROL USA LLC
4,800 - 4,800 BLUEWATER RUBBER & GASKET CO
9 - 9 HOME DEPOT CREDIT SERVICES1,243 - 1,243 LAKESIDE EQUIPMENT SALES &
1,972 - 1,972 LINDE GAS & EQUIP
11,258 - 11,258 PACIFIC PIPELINE SUPPLY INC50 - 50 PETTY CASH CUSTODIAN
447 - 447 ABABA BOLT
755 - 755 ABC IMAGINGEquipment Rental 563 - 563 AMERICAN FENCE CORPRegulatory Agency Fees 50 - 50 COUNTY OF SAN DIEGO
Standard Salaries 613,579 20,000 633,579 65,800 65,800 Jennette Company Inc (Vista Diego HPS)5,000 5,000 Construction Management
20,000 20,000 Contingency200,000 200,000 Vista Diego Phase II
Grand Total 1,152,820 736,554 1,889,374
Vendor/Comments
Otay Water District
p2663-Potable Water Pressure Vessel Program
Expenditures Forecast Projected Final Cost
OTAY WATER DISTRICTVista Diego Hydropneumatic Pump Station ReplacementLocation Map
EXHIBIT A
CIP P2663 & P2639
F
C:
\
O
n
e
D
r
i
v
e
\
O
t
a
y
W
a
t
e
r
D
i
s
t
r
i
c
t
\
E
N
G
C
I
P
-
D
o
c
u
m
e
n
t
s
\
P
2
6
3
9
V
i
s
t
a
D
i
e
g
o
H
P
S
R
e
p
l
\
G
r
a
p
h
i
c
s
\
E
x
h
i
b
i
t
s
-
F
i
g
u
r
e
s
\
E
x
h
i
b
i
t
A
-
S
t
a
f
f
R
e
p
o
r
t
!\
VICINITY MAP
PROJECT SITE
NTSDIV 5
DIV 1
DIV 2
DIV 4
DIV 3
?ò
Aä%&s
?p
?Ë
F
0 200100
Feet
SR-94 CAM
P
O
R
D
VISTA DIE
G
O
R
D
PROJECT SITE
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: May 13, 2026
SUBMITTED BY: Jeff Marchioro, Utility Services Manager PROJECT: P2700-001103 DIV. NO. 1
APPROVED BY: Andrew Jackson, Chief of Water Operations
Jose Martinez, General Manager
SUBJECT: APPROVAL OF CHANGE ORDER NO. 1 IN AN AMOUNT NOT-TO-EXCEED $96,031 TO EXISTING PURCHASE ORDER #20250128 WITH BRAX COMPANY, INC. TO REPLACE RATHER THAN REBUILD PUMP #1 AT THE 980-1 PUMP STATION,
FOR A REVISED TOTAL PURCHASE ORDER AMOUNT OF $166,021
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District (District) Board of Directors (Board)
authorize the General Manager to increase existing purchase order #20250128 with Brax Company, Inc. (Brax) to replace rather than rebuild Pump #1 at the 980-1 Pump Station in an amount not-to-exceed $96,031,
for a revised total purchase order amount of $166,021 (see Exhibit A for project location).
COMMITTEE ACTION:
Please see “Attachment A.”
PURPOSE:
To obtain Board authorization for the General Manager to increase Brax’s existing purchase order to replace rather than rebuild Pump #1 at the 980-1 Pump Station in an amount not-to-exceed $96,031.
ANALYSIS:
The 980-1 Pump Station was originally built in 1986 and is located at 2406 Otay Lakes Road in Chula Vista. The pump station was the main
source of water distribution to pump from the 711 Pressure Zone to the
AGENDA ITEM 5
2
980 Pressure Zone before the 980-2 Pump station was built. The pump station is critical for water distribution redundancy when the 980-2 Pump Station needs to be taken out of service for preventive and corrective maintenance. The 980-1 Pump Station consists of three
electric motor driven pumps rated at 4,000 gallons per minute each.
The 980-1 Pump Station’s original Floway brand pumps, which were manufactured in 1986, were replaced with Peerless brand pumps in 1995. The Board authorized a purchase order to replace Pump #1 4,160-volt
motor in November 2023. At the time that the motor was replaced in 2023, the associated pump was not repaired or replaced.
On March 24, 2025, District staff posted a solicitation on PlanetBids for optional quotes to rebuild and replace 980-1 Pump Station, Pump #1.
On April 9, 2025, four quotes were received with the following results. No questions were received via PlanetBids while the solicitation was
posted on PlanetBids.
Brax Company Powers Bros. Machine
Legend Pump and Well Service Inc.
TC Construction Company, Inc.
Rebuild $69,990 $71,422 $75,350 $92,500
Replace no bid $149,945 $166,200 $172,000
On April 23, 2025, a purchase order was issued to Brax in the amount of $69,990 to rebuild Pump #1. Brax subsequently removed and transported
Pump #1 to Brax’s shop and discovered that the pump bowls required replacement due to corrosion. On February 11, 2026, Brax provided a change order quote in the amount of $26,722.75 to add new pump bowls to the initial rebuild cost estimate submitted through PlanetBids.
When asked, Brax also estimated their expenses to date at $17,818 and provided a quote to replace rather than rebuild as summarized in the table below.
Brax Company
Powers Bros. Machine
Legend Pump and Well Service Inc
TC Construction Company, Inc.
Date quoted 2/21/2026 4/9/2025 4/9/2025 4/9/2025
Replace $166,021 $149,945 $166,200 $172,000
Brax sunk
cost Included $17,818 $17,818 $17,818
Total $166,021 $167,764 $184,018 $189,818
3
Considering Brax’s sunk costs, Brax offered the lowest cost for the District to proceed with replacement.
Staff recommend proceeding with replacement because the rebuilding
option would result in a partially replaced pump with 31-year-old shaft, column, and discharge head. The shaft, column, and/or
discharge head will need to be replaced at some point in the future.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
The total budget for CIP P2700, as approved in the FY 2026 budget, is
$1,250,000.
Based on a review of the financial budgets, the Project Manager
anticipates that the budget for CIP P2700 is sufficient to support the Project.
The Finance Department has determined that, under the current rate model, 100% of the funding will be available from the Replacement Fund.
STRATEGIC GOAL:
This Project supports the District’s Mission statement, “To provide exceptional water and wastewater service to its customers, and to manage District resources in a transparent and fiscally responsible manner” and the General Manager’s Vision, "To be a model water agency by
providing stellar service, achieving measurable results, and continuously improving operational practices."
LEGAL IMPACT:
None.
Attachments: Attachment A – Committee Action Exhibit A – Location Map
ATTACHMENT A
SUBJECT/PROJECT: P2700-001103 APPROVAL OF CHANGE ORDER NO. 1 IN AN AMOUNT NOT-TO-EXCEED
$96,031 TO EXISTING PURCHASE ORDER #20250128 WITH BRAX COMPANY, INC. TO REPLACE RATHER THAN REBUILD PUMP #1 AT THE
980-1 PUMP STATION, FOR A REVISED TOTAL PURCHASE ORDER AMOUNTOF $166,021
COMMITTEE ACTION:
The Engineering, Operations, and Water Resources Committee (Committee) reviewed this item at a meeting held on April 22, 2026. The Committee
supported staff's recommendation.
NOTE:
The “Committee Action” is written in anticipation of the Committee moving the item forward for Board approval. This report will be sent to
the Board as a Committee approved item, or modified to reflect any discussion or changes as directed from the Committee prior to presentation to the full Board.
ÃÅ125
CA
-
1
2
5
N
CA-
125
S
L
a
n
e
A
v
e
Otay L
a
k
e
s
R
d
F e n t o n St
H
u
n
t
e
P
k
w
y
Boswell Rd
Proctor Valley Rd
L a Costa Ave
N G r e e n s v iew Dr
Augu
s
t
aPl
MacKenzie
C
r
e
ekRd
E astlakePkwy
Corte Vi e j o
RiverRo c k R d
Ha
r
o
l
d
P
l
Saddle b ac k
Y
o
s
e
m
i
t
e
D
r
WatervilleLake R d
Eas t r i d g e L oop T o r r e y Pin e s Rd
Mo
u
n
t
M
i
g
u
e
l
R
d
Falcon Valley
D
r
S
h
o
w
r
o
o
m
Pl
Ea gle Val ley
D
r
Fairw a y O aks
D
r
Chim
ney Flats
Ln
Park
M
e
a
d
o
w
s
R
d
Oak Knoll Ct
Mill
e
r
D
r
HuntePkwy
§¨¦805
ÃÅ125
ÃÅ94
ÃÅ905
VICINITY MAP
PROJECT SITE
DIV 5
DIV 1
DIV 2
DIV 4
DIV 3
ÃÅ54
!\
0 800400
Feet
CIP P2700
F
EXHIBIT A
980-1 PUMP STATIONLOCATION MAP
OTAY WATER DISTRICT
C:
\
U
s
e
r
s
\
o
r
e
a
d
y
\
O
n
e
D
r
i
v
e
-
O
t
a
y
W
a
t
e
r
D
i
s
t
r
i
c
t
\
W
o
r
k
i
n
g
P
r
o
j
e
c
t
F
i
l
e
s
\
M
i
s
c
\
E
x
h
i
b
i
t
A
-
P
2
7
0
0
9
8
0
-
1
L
o
c
a
t
i
o
n
M
a
p
.
a
p
r
x
F
NTS
980-1 PUMP STATION
PROJECT SITEÃÅ125
!\
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: May 13, 2026
PROJECT: Various DIV. NO. ALL
SUBMITTED BY: Michael Kerr, Information Technology Manager
APPROVED BY: Kevin Koeppen, Chief, Administrative Services
Jose Martinez, General Manager
SUBJECT: FY26 MID-YEAR REPORT OF THE DISTRICT’S FY23-26 STRATEGIC PLAN
GENERAL MANAGER’S RECOMMENDATION:
No recommendation. This is an informational item only.
COMMITTEE ACTION:
Please see “Attachment A”.
PURPOSE:
To provide a mid-year report on the District’s FY23-26 Strategic Plan
for FY26.
ANALYSIS:
Summary
The current Otay Water District Strategic Plan is a four-year
initiative, spanning from the start of FY23 through the end of FY26.
This report provides a mid-year update on the progress made during the
last year of the plan.
Objectives – Target 90%
Strategic Plan objectives are designed to ensure the District’s
execution of mission-derived strategies and the implementation of
changes necessary to guide the agency, address emerging challenges, and
foster positive adaptation to change. FY26 mid-year results are at 91%,
with 32 of 35 active items completed or on schedule; one (1) behind
AGENDA ITEM 6
schedule, and two (2) on hold.
Objective Behind Schedule (1):
INTERNAL BUSINESS PROCESS
Strategy: Leverage the use of renewable and clean energy resources and
reduce the use of hazardous chemicals.
Objective: Evaluate and implement alternative energy opportunities.
Evaluation of alternative energy options is being conducted through
the Climate Adaptation and Resiliency Plan (CARP). CARP includes a
detailed analysis of climate impacts, resilience strategies, and
energy opportunities. As the effort has expanded beyond the original
scope, requiring data validation, cross-department coordination, and
consideration of regulatory and funding factors, this objective is
behind schedule, with an estimated completion date at the end of
FY27.
Objectives On Hold (2):
FINANCIAL
Strategy: Maintain a long-range financing plan that sets forth the
long-term funding needs of the District.
Objective: Evaluate banking functions for lower cost and process
efficiencies.
This objective remained on hold as staff prioritized several time-
sensitive projects, including implementation of the new customer
information system (CIS). With the upcoming implementation of a new
CIS, the District will also be updating its customer-facing bill and
payment portal. Staff anticipates soliciting a new payment processor
in the third and fourth quarter of FY26. At that time, staff will
also be looking at cost-savings options that may be implemented with
05
10152025303540
45 32
1 2
On Schedule/Completed Behind On Hold
32 of 35 Objectives are Completed or On Schedule (91%)
the new vendor. These options are expected to be presented for
management review by the end of FY26 but not implemented until the
rollout of the new customer portal anticipated in third quarter of
2027.
Objective: Evaluate the District’s cash reserve policies to consider
optimal uses and levels of reserves, to ensure financial resiliency.
This objective remained on hold while the final steps of the
financial ERP implementation become operational. While the system
is live, staff is completing the operational implementation of the
budgeting module and building supporting reporting models. Progress
is also pending the hiring of a new Finance Manager and the issuance
of debt in FY27.
Key Performance Indicators (KPI’s) – Target 75%
KPI’s are designed to track the District’s day-to-day performance. These
indicators measure the effectiveness and efficiency of essential
operational services. The District’s overall KPI goal of 75% is
considered “on target”. For FY26, the mid-year results surpassed this
goal, achieving 100% with 22 of 22 items meeting or exceeding the desired
level.
KPIs are defined using established AWWA performance benchmarks, water
agency standards, and historical trends. Of the total measures outlined
in the Strategic Plan, eleven (11) are reported annually to include:
Water Rate Ranking
Sewer Rate Ranking
Water Debt Coverage
Sewer Debt Coverage
Reserve Level
Accounts Per Full-Time Employee (FTE)
Hydrant Maintenance Program
Business Recovery Exercises
Vulnerability Assessments
Potable Tank Inspection and Cleaning
Injury Incident Rate
One (1) measure is reported biennially to triennially:
Customer Opinion Survey
Next Steps
Staff will continue to focus on the plan’s objectives, key performance
indicators, and emerging trends as it closes out this Strategic Plan
and transitions to the new FY27-30 Strategic Plan adopted by the Board
at the April 1, 2026 Board meeting.
Committee Reports – Slideshow
The Strategic Plan mid-year results are presented to both the
Engineering, Operations, and Water Resources Committee and the
Finance and Administration Committee (see “Attachment B”). The
Strategic Plan is also available on the District’s website.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
Informational item only; no fiscal impact.
STRATEGIC GOAL:
Strategic Plan and Performance Measure reporting is a critical element
in providing performance reporting to the Board and staff.
LEGAL IMPACT:
None.
ATTACHMENTS:
Attachment A – Committee Action Report
Attachment B – PowerPoint Presentation
22 of 22 Key Performance Indicators are On Target (100%)
0510152025303540 22
0
On Target Not on Target
ATTACHMENT A
SUBJECT/PROJECT: FY26 MID-YEAR REPORT OF THE DISTRICT’S FY23-26 STRATEGIC
PLAN
COMMITTEE ACTION:
The Engineering, Operations, & Water Resources Committee, and the Finance
& Administration Committee reviewed this item at a meeting held on April
22 and 23, 2026, respectively. The Committee supports presentation to
the full Board.
NOTE:
The “Committee Action” is written in anticipation of the Committee moving
the item forward for Board approval. This report will be sent to the
Board as a committee approved item or modified to reflect any discussion
or changes as directed by the committee prior to presentation to the full
Board.
OTAY WATER DISTRICT
STRATEGIC PLAN
FY2026 Mid-Year Report
OTAY WATER DISTRICT
STRATEGIC PLAN
FY2026 Mid-Year Report 2023
2026
ATTACHMENT B
BALANCED SCORECARDBALANCED SCORECARD
2
Focuses on the financial
performance of the District
FINANCIALFINANCIAL
Focuses on the District’s culture
and development of staff to
ensure there is a productive and
skilled workforce in place
LEARNING AND
GROWTH
LEARNING AND
GROWTH
Focuses on customer service
levels, satisfaction, brand,
and confidence
CUSTOMERCUSTOMER
Focuses on business processes
designed to deliver and improve
customer objectives and
services
INTERNAL
BUSINESS PROCESS
INTERNAL
BUSINESS PROCESS
90%
Total 35
ON SCHEDULE
COMPLETED BEHIND SCHEDULE ON HOLD
OBJECTIVESOBJECTIVES MID-YEAR
FY 2026
32 Objectives
32/35 = 91%
Overall Target
Active/Completed 35
Not Started 0
1 Objective
1/35 = 3%
2 Objectives
2/35 = 6%
CUSTOMER
Enhance and build public awareness of the
District’s priorities, initiatives, programs, and
services
Collect and analyze customer feedback on District operations,
projects, programs, service experience, and expectations
Advance the District's web and social media presence
Enhance internal communications, tools, and technology to
disseminate information to District staff effectively
Enhance education, outreach, and communication tools to the
public on the understanding of water supply constraints and
rates and how they affect/support a reliable water supply
4
On ScheduleCompleted
EILEEN SALMERON
Communications Assistant
(With 2025 Landscape Winner, Catherine S.)
FINANCIAL
Maintain a long-range financing plan that sets forth
the long-term funding needs of the District
Evaluate grant funding opportunities
Evaluate banking functions for lower cost and process
efficiencies
Evaluate the District’s cash reserve policies to consider optimal
uses and levels of reserves, to ensure financial resiliency
Conduct an evaluation of a health savings investment account
program for an optional post-employment benefit
Conduct a compensation study to evaluate labor industry
conditions and the District’s competitiveness
Invest in technology infrastructure to enhance
customer engagement and satisfaction
Evaluate Interactive Voice Response (IVR)/Online customer
portal for water use management and assistance
Deploy Advanced Metering Infrastructure (AMI) technology in
service areas to improve the District Operation
5
Left to right: OLIVIA READY & BETH GENTRY
Engineering Staff
On-HoldOn ScheduleCompleted
INTERNAL BUSINESS PROCESS
Leverage the use of renewable and clean energy
resources and reduce the use of hazardous chemicals
Evaluate and implement energy-efficient systems
Evaluate and implement alternative energy opportunities
Advance Clean Fleet Regulations District Implementation Program of
Zero or near Zero Emissions Vehicles
Reduce the District’s chemical footprint by substituting hazardous
chemicals for similar, less hazardous chemicals
Implement technologies to improve response time,
security, and operational effectiveness
Conversion of the District’s enterprise Geographic Information
System (GIS/Esri) from a Geometric Network to a Utility Network
Model
Conduct needs assessment/replacement of District's financial
management system
Maintain and regularly evaluate internal financial controls
Leverage Cityworks to further develop job task process
standardization and work order cost modeling
6
Behind ScheduleOn ScheduleCompleted
JEFF GOIN
Sr. Disinfection Technician
INTERNAL BUSINESS PROCESS
Develop appropriate water resource mix to meet
the water reliability needs of the community
Use the Water Facilities Water Management Plan/Urban Water
Management Plan to analyze future needs and prescribe
approaches to meeting future requirements
Evaluate City of San Diego’s recycled water purchase
Develop the District’s long-term water supply strategies and
planning efforts with regional partnerships
Respond to anticipated water shortages through
rate structure modification, conservation
assistance, and outreach
Monitor and modify the Water Shortage Contingency Plan, as
needed
Identify, evaluate, and implement new opportunities for
recycled water, including potential for potable reuse
7
On ScheduleCompleted
JULIANA LUENGAS
Environmental Compliance Specialist
INTERNAL BUSINESS PROCESS
Advancement of District's Asset Management Program
Formalization of Standard Operating Procedures (SOP) and Planned
Job Observations (PJO)
Develop long-term strategic operations and maintenance program
(Total Asset Management)
Collect and maintain accurate asset records, including criticality,
maintenance history, asset condition, and performance for
continuous improvement
Cloud migration of the District’s enterprise Geographic Information
System (GIS/Esri) and the associated Asset Management and Field
Applications
Cyber and Physical Security
Advance the use of the District's Supervisory Control and Data
Acquisition (SCADA) system to further enhance the security and
reliability of the distribution system and optimize administration
Evaluate new disaster recovery solutions and advance the District's
enterprise business continuity program
8
On ScheduleCompleted
KEVIN WINDER
Water Systems Operator III
LEARNING AND GROWTH
Coordinate workforce planning activities to determine
future needs, identify gaps, and implement actions to
close the gaps
Maximize opportunities to develop employees through
training and mentoring
Evaluate the implementation of learning and development
programs in coordination with partner agencies
Analyze and identify workforce trends to address critical
gaps between the current workforce and future needs
Improve Organization Effectiveness
Negotiate successor Memorandum of Understanding
(MOU) with the employee association and unrepresented
employees to focus on recruitment and retention
Implement a cross-functional innovation committee to
advance the District’s culture of collaboration and process
improvement among departments
9
On ScheduleCompleted ANDREA CAREY
Customer Service Manager
KEY PERFORMANCE INDICATORSKEY PERFORMANCE INDICATORS MID-YEAR
FY 2026
Overall Target 75%
Total 34
Reported Quarterly 22
Reported Annually 11
22 KPIs
22/22 = 100%
ON TARGET NOT ON TARGET
0 KPIs
0/23 = 0%
Reported Biennial to
Triennial 1
10
11
0.97 0.830
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
Q1 Q2 Q3 Q4
Result
Target
75th Percentile
Median
25th Percentile
TECHNICAL QUALITY COMPLAINT
(AWWA | Customer Relations)
DEANDRE SAVAGE
Lead Water Systems Operator
TARGET
No more than 1.15 complaints per 1,000 customer accounts per quarter |
No more than 4.6 complaints per 1,000 customer accounts annually
CALCULATION
Number of technical quality complaints per year/Number of active accounts per reporting period
AWWA BENCHMARK
Average of 75th Percentile, 2.6, and Median, 6.6, for population served between 100,001 – 500,000
(Combined Utilities)
TARGET
100% of all health-related drinking water standards per quarter and annually
CALCULATION
Number of days the primary health regulations are met/Number of days in the reporting period
AWWA BENCHMARK
100% - 75
th Percentile for population served between 100,001 – 500,000 (Water)12
100%100%
(FY 23 Q1 & Q2 Result)98.10%97.94%
95%
96%
97%
98%
99%
100%
Q1 Q2 Q3 Q4
Result
Target
ANSWER RATE
100%100%
95%
96%
97%
98%
99%
100%
Q1 Q2 Q3 Q4
Result
Target
POTABLE WATER COMPLIANCE RATE
(AWWA | Water Operations)
TARGET
97% average answer rate per quarter and annually
CALCULATION
Number of calls answered/Total number of calls
13
$884.93
$1,183.81
$500
$700
$900
$1,100
$1,300
$1,500
$1,700
$1,900
Q1 Q2 Q3 Q4
Result
Target
DIRECT COST OF TREATMENT
PER MGD
EDOARDO GONZALEZ
Reclamation Plant Operator III
TARGET
No more than $1255 MGD spent in Q1 & Q4 and $1673 MGD spent in Q2 & Q3 |
No more than $1464 per MGD spent on wastewater treatment annually
CALCULATION
Total O&M costs directly attributable to sewer treatment/Total volume in MG for one quarter
14
15%
45%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q1 Q2 Q3 Q4
Result
Target
CIP PROJECT EXPENDITURES
VS. BUDGET
TARGET
95% of the budget annually
Q1: 15% + Q2: 21% + Q3: 29% + Q4: 30% = 95%
CALCULATION
Actual Expenditures/Annual Budget
BOARD MEMBERS & STAFF
870-2 Reservoir Tour
15
73%73%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q1 Q2 Q3 Q4
Result
Target
PLANNED POTABLE WATER
MAINTENANCE RATIO IN $
TARGET
70% of all labor costs spent on preventative maintenance per quarter and
annually
CALCULATION
Total Planned Maintenance Cost/Total Maintenance Cost
-0.1%
-0.8%
-5%
-3%
-1%
1%
3%
5%
Q1 Q2 Q3 Q4
Result
Target
CONSTRUCTION CHANGE
ORDER INCIDENCE
TARGET
No more than 5% per quarter and annually
CALCULATION
Cost of Change Orders (not including allowances)/Original construction contract
amount (not including allowances)
16
97%
83%
50%
55%
60%
65%
70%
75%
80%
85%
90%
95%
100%
Q1 Q2 Q3 Q4
Result
Target
PLANNED WASTEWATER
MAINTENANCE RATIO IN $
TARGET
80% of all labor costs spent on preventative maintenance per quarter and
annually
CALCULATION
Total Planned Maintenance Cost/Total Maintenance Cost
90%90%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q1 Q2 Q3 Q4
Result
Target
PLANNED RECYCLED WATER
MAINTENANCE RATIO IN $
TARGET
70% of all labor costs spent on preventative maintenance per quarter
and annually
CALCULATION
Total Planned Maintenance Cost/Total Maintenance Cost
17
4%4%
0%
1%
2%
3%
4%
5%
6%
7%
Q1 Q2 Q3 Q4
Result
Target
DISTRIBUTION SYSTEM LOSS
TARGET
Less than 5% of unaccounted water per quarter and annually
CALCULATION
(Total Potable Water Purchased + Total Recycled Water Purchased & Produced) – (Total
Measured Billed & Unbilled Water)/(Total Potable Water Purchased + Total Recycled
Water Purchased & Produced)
99.99%99.99%
95%
96%
97%
98%
99%
100%
101%
Q1 Q2 Q3 Q4
Result
Target
BILLINGACCURACY
TARGET
99.8% billing accuracy per quarter and annually
CALCULATION
Number of correct bills/Number of bills issued during the reporting period
18
BRANDON PERRY
Utility Crew Leader
0 00
1
2
3
4
5
6
7
8
9
10
Q1 Q2 Q3 Q4
Result
Target
75th Percentile
Median
25th Percentile
SEWER OVERFLOW RATE
(AWWA | Wastewater Operations)
TARGET
0 overflows per quarter and annually
CALCULATION
100 (Number of sewer overflows during the reporting period)/Total miles of pipe in the sewage
collection system
AWWA BENCHMARK
0 – 75
th Percentile for population served between 0-50,000
0.13 0.130
2
4
6
8
10
12
14
16
Q1 Q2 Q3 Q4
Result
Target
75th Percentile
Median
25th Percentile
0.13 0.26
0
2
4
6
8
10
12
14
16
18
20
Q1 Q2 Q3 Q4
Result
Target
75th Percentile
Median
25th Percentile
POTABLE WATER DISTRIBUTION
SYSTEM INTEGRITY (LEAKS)
(AWWA | Water Operations)
19
POTABLE WATER DISTRIBUTION
SYSTEM INTEGRITY (BREAKS)
(AWWA | Water Operations)
TARGET
No more than 0.625 leaks per 100 miles of distribution piping per quarter |
No more than 2.5 leaks per 100 miles of distribution piping annually
CALCULATION
100 (Number of leaks)/Total miles of distribution piping
AWWA BENCHMARK
2.5 – 75
th percentile for population served between 100,001-500,000
TARGET
No more than 0.75 breaks per 100 miles of distribution piping per quarter |
No more than 3 breaks per 100 miles of distribution piping annually
CALCULATION
100 (Number of breaks)/Total miles of distribution piping
AWWA BENCHMARK
3 – 75
th percentile for population served between 100,001-500,000
0 00
0.5
1
1.5
2
2.5
3
3.5
4
Q1 Q2 Q3 Q4
Result
Target
RECYCLED WATER SYSTEM
INTEGRITY (LEAKS)
20
0 00
0.5
1
1.5
2
2.5
3
3.5
4
Q1 Q2 Q3 Q4
Result
Target
RECYCLED WATER SYSTEM
INTEGRITY (BREAKS)
TARGET
No more than 0.625 leaks per 100 miles of recycled distribution system per quarter |
No more than 2.5 leaks per 100 miles of recycled distribution system annually
CALCULATION
100 (Number of leaks)/Total miles of recycled distribution system
TARGET
No more than 0.75 breaks per 100 miles of recycled distribution system per quarter |
No more than 3 breaks per 100 miles of recycled distribution system annually
CALCULATION
100 (Number of breaks)/Total miles of recycled distribution system
21
100%100%
95%
96%
97%
98%
99%
100%
101%
Q1 Q2 Q3 Q4
Result
Target
MARK-OUT ACCURACY
TARGET
100% mark-out accuracy per quarter and annually
CALCULATION
Number of mark-outs performed without an at-fault hit, which is damage to a District
facility that results from a missing or erroneous mark-out/Total number of mark-outs
25%
50%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q1 Q2 Q3 Q4
Result
Target
EASEMENT EVALUATION
AND FIELD INSPECTION
TARGET
100% assigned easements, evaluated via desktop tools, and inspected annually
25 easements per quarter | 100 easements are assigned for FY26
CALCULATION
Number of easements evaluated and inspected/Total easements assigned for the
period
22
1715
2373
0
500
1000
1500
2000
2500
3000
3500
4000
4500
5000
Q1 Q2 Q3 Q4
Result
Target
SYSTEM VALVE
EXERCISING PROGRAM
TARGET
20% of District valves exercised annually to accomplish 100% every five years
1133 valves per quarter | 4526 valves annually
CALCULATION
Total number of valves exercised per year
Left to right: MARIO BALLEJOS & CARLOS AYALA
Utility Maintenance Staff
23
MIRAN JAFF
Facilities Maintenance Technician
0.73%
2.19%
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
10%
Q1 Q2 Q3 Q4
Result
Target
EMPLOYEE VOLUNTARY
TURNOVER RATE
TARGET
Less than 1.25% turnover per quarter | Less than 5% turnover annually
CALCULATION
Number of voluntary terminations (not including retirements)/Average number of
employees
5.80
12.29
0
5
10
15
20
25
30
Q1 Q2 Q3 Q4
Result
Target
75th Percentile
Median
25th Percentile
TRAINING HOURS PER EMPLOYEE
(AWWA | Organizational Development)
24
TARGET
3.9 hours per employee per quarter | 15.6 hours per employee annually
CALCULATION
Total qualified training hours for all employees/Average number of FTEs
AWWA BENCHMARK
15.6 – Median for combined utilities
9.49
18.09
0
5
10
15
20
25
30
Q1 Q2 Q3 Q4
Result
Target
SAFETY TRAINING PROGRAM
TARGET
6 hours per field employee per quarter | 24 hours per field employee annually
CALCULATION
Total qualified safety training hours for field employees/Average number of field
employees
RESOURCE LINKS
Otay Water District Website | Strategic Plan
FY23 - FY26 Strategic Plan Digital Publication
QUESTIONS?QUESTIONS?