HomeMy WebLinkAbout02-18-20 F&A Committee Packet1
OTAY WATER DISTRICT FINANCE AND ADMINISTRATION COMMITTEE MEETING and SPECIAL MEETING OF THE BOARD OF DIRECTORS
2554 SWEETWATER SPRINGS BOULEVARD SPRING VALLEY, CALIFORNIA
BOARDROOM
TUESDAY February 18, 2020 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 JU-RISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
DISCUSSION ITEMS
3.ADOPT RESOLUTION NO. 4377 DESIGNATING A CHANGE OF AUTHORIZEDSIGNATORIES FOR THE DISTRICT’S BANK ACCOUNTS AND AUTHORIZE THENEW GENERAL MANAGER TO ENTER INTO BANKING CONTRACTS WITH MUFGUNION BANK, N.A. (KEOPPEN) [5 minutes]
4.FISCAL YEAR 2020 MID-YEAR STRATEGIC PLAN UPDATE (SEGURA) [10 minutes]
5.ADJOURNMENT
BOARD MEMBERS ATTENDING:
Mitch Thompson, Chair Mark Robak
2
All items appearing on this agenda, whether or not expressly listed for action, may be delib-
erated and may be subject to action by the Board. The Agenda, and any attachments containing written information, are available at the Dis-trict’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 through the District Secretary by contacting her at (619) 670-2280.
If you have any disability which would require accommodation in order to enable you to par-ticipate in this meeting, please call the District Secretary at 670-2280 at least 24 hours prior to the meeting.
Certification of Posting I certify that on February 14, 2020 I posted a copy of the foregoing agenda near the regular meeting place of the Board of Directors of Otay Water District, said time being at least 24 hours in advance of the meeting of the Board of Directors (Government Code Section
§54954.2).
Executed at Spring Valley, California on February 14, 2020.
/s/ Susan Cruz, District Secretary
STAFF REPORT
TYPE MEETING:Regular Board MEETING DATE:March 11, 2020
SUBMITTED BY:Eid Fakhouri, Finance Manager PROJECT:DIV. NO.All
APPROVED BY: Kevin Koeppen, Assistant Chief of Finance
Joseph R. Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT:Adopt Resolution No. 4377 Designating a Change of Authorized
Signatories for the District’s Bank Accounts and Authorize
the New General Manager to Enter Into Banking Contracts with
MUFG Union Bank, N.A.
GENERAL MANAGER’S RECOMMENDATION:
That the Board adopt Resolution No. 4377 designating a change of
authorized signatories for the District’s bank accounts and
authorize the new General Manager to enter into banking contracts
with MUFG Union Bank, N.A.
COMMITTEE ACTION:
Please see Attachment A
PURPOSE:
To make a change to the authorized signatories on the District’s
bank accounts by replacing retiring General Manager, Mark Watton,
with the new General Manager, Jose Martinez. This change will pass
signatory and contract authority for the District’s banking services
with MUFG Union Bank, N.A. on to the new General Manager.
BACKGROUND:
The Otay Water District (District) currently utilizes MUFG Union
Bank, N.A for its daily banking and treasury needs.
According to the District’s Code of Ordinances, Chapter 3, Section
3, paragraph 3.01, “Only such person or persons authorized by the
Board may sign checks to withdraw funds from any of such
depositories.”
AGENDA ITEM 3
Additionally, the existing agreement with MUFG Union Bank, N.A and
their policy require that the Board of Directors (Board) adopt a
resolution granting signature and contracting authority to its
General Manager in order to facilitate our daily banking activities.
On February 5, 2020, the Board selected Jose Martinez to succeed
retiring General Manager, Mark Watton as the new General Manager of
the District. In order to continue the existing banking
relationship and activities with Union Bank, the District is
required to adopt a resolution designating a change in signature
authority from Mark Watton, retiring General Manager to the new
General Manager, Jose Martinez and to authorize the new General
Manager to enter into contracts with MUFG Union Bank N.A.
The District currently has bank accounts with MUFG Union Bank, N.A.
for the District’s checking, payroll, health flexible spending,
money market, custody, and trust accounts.
Resolution language was provided by MUFG Union Bank, N.A. as
acceptable in order to continue our banking relationship.
FISCAL IMPACT: Joseph R. Beachem, Chief Financial Officer
No fiscal impact as this item is designating signature authority and
contracting authority to the new General Manager only.
STRATEGIC GOAL:
Demonstrate financial health through formalized policies, prudent
investing, and efficient operations.
LEGAL IMPACT:
None.
Attachments: A) Committee Action
B) Resolution No. 4377
C) Union Bank Public Entity Resolution Template
ATTACHMENT A
SUBJECT/PROJECT:
Adopt Resolution No. 4377 Designating a Change of
Authorized Signatories for the District’s Bank Accounts and
Authorize the New General Manager to Enter Into Banking
Contracts with MUFG Union Bank, N.A.
COMMITTEE ACTION:
That the Finance and Administration Committee recommend that the Board
adopt Resolution No. 4377 designating a change of authorized
signatories for the District’s bank accounts and authorize the new
General Manager to enter into banking contracts with MUFG Union Bank,
N.A.
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.
RESOLUTION NO. 4377
A RESOLUTION OF THE BOARD OF DIRECTORS
OF THE OTAY WATER DISTRICT DESIGNATING A CHANGE OF
AUTHORIZED SIGNATORIES FOR THE DISTRICT’S BANK ACCOUNTS AND
AUTHORIZE THE NEW GENERAL MANAGER TO ENTER INTO BANKING
CONTRACTS WITH MUFG UNION BANK, N.A.
WHEREAS, Otay Water District (District) currently has
bank accounts with MUFG Union Bank, N.A. for the District’s
checking, payroll, health flexible spending, money market,
custody, and trust accounts; and
WHEREAS, the Board of Directors of the District desire
to change the signatories on said accounts.
WHEREAS, the Board of Directors of the District desire
to authorize the General Manager under California
Government Code 53649 to enter into any contract with MUFG
Union Bank, N.A. relating to any deposit, which in his or
her judgment is to the public advantage.
Contracting requirements could include:
•Establish bank accounts and services.
•Sign, or change in writing, agreements with the Bank
regarding the District’s bank deposit relationship.
•Specify in writing to the Bank the individuals who are
authorized in the name of and on behalf of the
District to:
o Withdraw funds from any of the District’s banking
accounts on the District’s checks or orders.
o Endorse and deliver to the Bank, for any
purposes, and in any amount, negotiable or non-
negotiable items of any kind, and owned by, or
held by, or payable to the District.
o Send, review, and/or authorize wire and
electronic transfers of funds from the District
accounts. Such authority may be exercised by
such authorized individual acting alone,
regardless of any multiple signature requirements
otherwise applicable to the accounts.
o Otherwise access the District’s deposit accounts.
This authority has been granted by the Governing Board and
shall remain in effect until the Bank receives written
notice of revocation at the Office where the District’s
banking relationship is maintained.
NOW, THEREFORE, BE IT RESOLVED by the Board of
Directors of the District as follows:
1.That Mark Watton, General Manager, be removed as
an authorized designated signatory for each of the said
accounts and from having contracting authority with MUFG
Union Bank, N.A.
2.That Jose Martinez, General Manager, be added as
an authorized designated signatory for each of the said
accounts and have contracting authority with MUFG Union
Bank, N.A.
PASSED, APPROVED AND ADOPTED by the Board of
Directors of the Otay Water District at a regular meeting,
held this 11th day of March, 2020 by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
________________________________
President
Attest:
_______________________
District Secretary
Distribution: ORIGINAL – Office Copy DUPLICATE – CCSU TRIPLICATE – Customer
FORM 00219 (11/98)
PUBLIC ENTITY RESOLUTION
California Government Code 53679 stipulates that money not under control of the treasurer but belonging to a localagency and under the control of any of its officers or employees other than the treasurer may deposit funds asactive deposits or inactive deposits.
For deposits in excess of the amount insured under any federal law, a contract in accordance with Section 53649 isrequired.
It is resolved that the officer now or subsequently holding the position of
General Manager (Title)OTAY WATER DISTRICT (Public Entity)
is authorized by the Governing Board under California Government Code 53649 to enter into any contract withUnion Bank, N.A. relating to any deposit, which in his or her judgment is to the public advantage. Contractingrequirements could include:
▪Establish bank accounts and services.
▪Sign, or change in writing, agreements with the Bank regarding the Public Entity's bank deposit relationship.
▪Specify in writing to the Bank the individuals who are authorized in the name of and on behalf of the Public Entityto:
▪Withdraw funds from any of the Public Entity's banking accounts on the Public Entity's checks or orders.
▪Endorse and deliver to the Bank, for any purposes, and in any amount, negotiable or non-negotiable items ofany kind, and owned by, or held by, or payable to the Public Entity.
▪Send, review, and/or authorize wire and electronic transfers of funds from the Public Entity accounts. Suchauthority may be exercised by such authorized individual acting alone, regardless of any multiple signaturerequirements otherwise applicable to the accounts.
▪Otherwise access the Public Entity's deposit accounts.
This authority has been granted by the Governing Board and shall remain in effect until the Bank receives writtennotice of revocation at the Office where the Public Entity's banking relationship is maintained.
I, _________________________________, Clerk/Secretary to the Governing Board of the above referenced Public
Entity, do hereby certify that the foregoing is a full, true, and correct copy of a resolution passed by the GoverningBoard
on _______________________(Month and date) of _____________ (Year), and the resolution has not beenrevoked or amended.
CLERK/SECRETARY TO THE GOVERNING BOARD SIGNATURE DATE
X
CERTIFICATION
STAFF REPORT
TYPE MEETING:Regular Board MEETING DATE: March 11, 2020
PROJECT: Various DIV. NO. ALL
SUBMITTED BY:Adolfo Segura, Chief of Administrative Services
APPROVED BY: Mark Watton, General Manager
SUBJECT:FISCAL YEAR 2020 MID-YEAR REPORT FOR THE DISTRICT’S FISCAL YEAR
2019-2022 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 Fiscal Year (FY)
2019-2022 Strategic Plan for FY20.
ANALYSIS:
Summary
The current District Strategic Plan is a four-year (4) plan ranging from
the start of FY19 through the end of FY22. This report details the mid-
year results for the second year of the four-year plan.
Objectives – Target 90%
Strategic Plan objectives are designed to ensure the District is
executing mission designed objectives and making the appropriate high-
level changes necessary to guide the agency’s efforts to meet new
challenges and positively adapt to change. FY20 mid-year results are
below target at 88%, with 36 of 41 active items completed or on schedule.
Four objectives are on hold and one is not on target.
AGENDA ITEM 4
The following objectives are on hold:
1. Recycled water long-term business plan – Staff continues to update
the financial model and will finalize once the City’s Pure Water
project and the future phases of Pure Water projects on the City’s
long-term plan for recycled water are better defined.
Staff is also looking for opportunities as a result of an increases
in funding for wastewater at the border and monitor the potential
funding of tertiary treatment facilities as these will
significantly improve the financial feasibility of an alternative
recycled water supply.
2. Treatment Plant long-term business plan – Staff continues to
update the financial model and will finalize once the City's Pure
Water project is better defined and the status of the Amended and
Restated Agreement is known.
3. Evaluate enhancements to, or replacement, of the rate model
program – Due to adding a Sewer Cost of Service Study and Capacity
fee study as strategic objectives, this project has been placed
on hold. The added objectives are to be completed by June 30,
2020, and at that time, this objective will be continued.
4. Financial activity-based cost cross-training - Due to staff
rotations, performing a gap assessment of data requirements for
activity-based costing measures, resolving data requirement gaps,
and training management with the new practices has been placed on
hold and extended out for one year.
0
2
4
6
8
10
12
14
16
18
ON SCHEDULE BEHIND ON HOLD NOT STARTED
36
1
4
11
On Schedule Behind On Hold Not Started
36 of 41 Active Objectives are Below Target (88%)
3
Objective Not on Target
1. Customer electronic communication and outreach – Staff
implemented, via the District’s website, an online Leak Adjustment
Form (live as of February 2020), in which customers can
electronically request a one-time adjustment, provided they submit
proof of repair cost. In regard to service interruption due to
non-payment, staff is sending courtesy text messages 48 hours prior
stoppage of water service. Staff is still working with IT to
complete the payment arrangement form and exit survey.
Key Performance Indicators (KPI’s) – Target 75%
KPI’s are designed to track the District’s day-to-day performance. The
District utilizes KPI’s based on established AWWA performance
benchmarks and measure the effectiveness and efficiency of essential
operational services. The overall goal is that at least 75% of these
KPI’s be rated “on target”. FY20 mid-year results are above target with
34 of 35 (97%) items achieving the desired level or better. Seven KPI’s
or measures are reported at year’s end:
• Water Debt Coverage
• Sewer Debt Coverage
• Reserve Level
• Accounts Per FTE
• Leak Detection Program
• Injury Incident Rate
• Enterprise Technology Services
0
2
4
6
8
10
12
14
16
18
ON TARGET NOT ON TARGET
34
1
On Target Not on Target
34 of 35 Key Performance Indicators are On Target (97%)
4
KPI Not On Target
1. Sewer Overflow Rate – On December 24, 2019, a sewer overflow
occurred at a manhole located on Fair Valley Road in Rancho San
Diego. The blockage was due to vandalism. Staff found an opened
manhole with various types of debris. The collection system in the
area was televised and flushed to assure all debris was located and
removed.
Next Steps
Staff will continue to execute the plan’s objectives and key performance
indicators and track emerging trends.
Committee Reports – Slideshow
The Strategic Plan results are presented to both the Finance and
Administration Committee, and the Engineering, Operations, and Water
Resources Committee with a specific focus on the most relevant
information for each Committee (see “Attachment B”).
Strategic Plan is available on the Board VPN
All of the Strategic Plan results and associated details are provided
in a real-time, interactive web-based application available to the Board
via secured remote access, VPN. The District Secretary can facilitate
any password or access issues.
FISCAL IMPACT: Joe Beachem, Chief Financial Officer
No fiscal impact; informational item only.
STRATEGIC GOAL:
Strategic Plan 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
5
ATTACHMENT A
SUBJECT/PROJECT: FISCAL YEAR 2020 MID-YEAR REPORT FOR THE DISTRICT’S FISCAL
YEAR 2019-2022 STRATEGIC PLAN
COMMITTEE ACTION:
The Finance and Administration Committee and the Engineering, Operations
and Water Resources Committee reviewed this item at a meeting held on
February 18 and 19, 2020, respectively. The Committees support
presentation to the full Board for their consideration.
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.
FY20 Mid-Year Report
Otay Water District
FY19-22 Strategic Plan
ATTACHMENT B
Strategies and objectives are
actionable steps or plans designed
to achieve the vision/mission of the
organization.
The Regulatory Site in Rancho San Diego includes four reservoirs, two pump stations, and disinfection facilities.
88%
36 Objectives
TRENDS
ON TARGET/COMPLETED
OVERALL TARGET
90%
TOTAL OBJECTIVES
52
NOT ON TARGET
OBJECTIVES
ON HOLD
2%
1 Objective
10%
4 Objectives
75%
85%
95%
FY15 FY16 FY17 FY18 FY19
COMPLETED
14
NOT STARTED
11
RESULT TARGET
ACTIVE
41
Objectives
1.F01.1 Recycled water long-term
business plan.
2.F01.3 Treatment Plant long-term
business plan (sewer portion).
3.F03.3 Evaluate enhancements to,
or replacement, of the rate model
program.
4.F04.3 Financial activity-based cost
cross-training.
ON HOLD | 4
1.I02.1 Customer electronic
communication and outreach.
NOT ON TARGET | 1
ON TARGET| 22
Objectives
1.C01.1 Continue implementation of and enhance
the District’s community and business outreach,
media, and government relations programs.
2.C01.2 Ensure consistency of branding and
representation across the District, using
consistent logos, colors, messaging,
communications tools, and other collaterals
through enhancement of internal and external
marketing materials.
3.C01.3 Evaluate and enhance the District’s water
conservation programs.
4.C02.1 Assess communications tools.
5.F01.2 South District Potable Water Supply
Alternatives to San Diego County Water
Authority (SDCWA) Pipeline 4 Supply
Interruption (catastrophic event).
6.F02.2 In support of the Engineering Department,
conduct recycled water and sewer business
financial analysis.
7.F03.4 Implement Paperless Account Payable (AP)
solution.
8.F04.2 Enhancement of the AM Program.
9.I01.3 Optimize Global Positioning System (GPS)
fleet assignment and routing operations.
10.I05.1 Prioritize fourteen strategic
project/initiatives, recently developed.
11.I06.2 Evaluate the use of Drone2Map technology
for asset, field inspections, and condition
assessment.
ON TARGET| 22
Objectives 17.I07.5 Establish an access and defensible space
vegetation mitigation program with maintenance
schedules for District remote facilities, access
roads, and off-road appurtenances.
18.I08.1 Enhance Customer and Public Service
security in public lobby areas.
19.I08.2 Evaluate feasibility of incorporating electric
and hybrid vehicles into District Fleet.
20.I09.1 Automate confined space regulatory and
work forms (electronic conversion), add confined
space data layer in the District’s enterprise
Geographic Information System (GIS) and use
data to electronically automate the District’s
confined space inventory.
21.I10.1 Certify at Industry State Level and under
the Incident Command System, streamline
chlorine gas and confined space rescue training,
operations, response and areas of responsibility
and convert to inventory lists and equipment
logs to electronic form.
12.I06.4 Standardization of District asset data and
collection process.
13.I07.1 Analyze electric energy-saving programs
as they become available.
14.I07.2 Evaluate the effectiveness of various
methods to reduce nitrification events.
15.I07.3 Evaluate the efficiency and effectiveness
of the District’s valve exercise preventative
maintenance including proposed
recommendations.
16.I07.4 Evaluate the impacts as a result of recent
and upcoming regulatory changes including, but
not limited to, Air Pollution Control District
(APCD), State Water Resource Control Board
(SWRCB), Occupational Safety and Health
Administration (OSHA), etc.
22.L01.1 Continue development of leadership and
District-wide training programs.
ON TARGET | 22
Objectives
COMPLETED| 14
Objectives
1.F02.1 Conduct desalination (Rosarito) financial
analysis.
2.F03.2 Evaluate, and if beneficial, implement a Cloud
payroll system.
3.F04.1 Enhancement of the framework for systematic
development, validation, and implementation of new
CIPs.
4.F04.4 In support of the Engineering Department,
enhance financial impact forecasting and analysis of
future CIPs.
5.F05.1 Optimize funding and liability schedule.
6.F06.1 Negotiate and implement new labor
agreement.
7.F06.2 Review Deferred Compensation Program for
reduced fees and streamlined approach and ensure
program offerings are fully utilized.
8.I01.2 Explore web-based options for meter
reading and backflow test entry.
9.I03.2 Implement Human Resource Information
System (HRIS) in coordination with payroll
conversion.
10.I04.1 Adopt National Institute of Standards and
Technology (NIST) cyber security framework and
enhance disaster recovery planning.
11.I04.2 Advance business processes and
operational efficiencies through effective
implementation of information technology.
12.I04.3 Create framework to evaluate cost
efficiency of new technology services and cloud
vs. on-premise selection.
13.I04.4 Deploy next generation storage services
and communication architecture.
14.I08.3 Streamline contract and purchase order
(contract) management and lifecycle.
ACTIVE| 41
Objectives
1.C01.1 Continue implementation of and enhance
the District’s community and business outreach,
media, and government relations programs.
2.C01.2 Ensure consistency of branding and
representation across the District, using
consistent logos, colors, messaging,
communications tools, and other collaterals
through enhancement of internal and external
marketing materials.
3.C01.3 Evaluate and enhance the District’s water
conservation programs.
4.C02.1 Assess communications tools.
5.F01.1 Recycled water long-term business plan.
6.F01.2 South District Potable Water Supply
Alternatives to San Diego County Water
Authority (SDCWA) Pipeline 4 Supply
Interruption (catastrophic event).
7.F01.3 Treatment Plant long-term business plan
(sewer portion).
8.F02.1 Conduct desalination (Rosarito) financial
analysis.
9.F02.2 In support of the Engineering Department,
conduct recycled water and sewer business
financial analysis.
10.F03.2 Evaluate, and if beneficial, implement a
Cloud payroll system.
11.F03.3 Evaluate enhancements to, or
replacement, of the rate model program.
ACTIVE| 41
Objectives
12.F03.4 Implement Paperless Account Payable (AP)
solution.
13.F04.1 Enhancement of the framework for
systematic development, validation, and
implementation of new CIPs.
14.F04.2 Enhancement of the AM Program.
15.F04.3 Financial activity-based cost cross-training.
16.F04.4 In support of the Engineering Department,
enhance financial impact forecasting and
analysis of future CIPs.
17.F05.1 Optimize funding and liability schedule.
18.F06.1 Negotiate and implement new labor
agreement.
19.F06.2 Review Deferred Compensation Program
for reduced fees and streamlined approach and
ensure program offerings are fully utilized.
20.I01.2 Explore web-based options for meter
reading and backflow test entry.
21.I01.3 Optimize Global Positioning System (GPS)
fleet assignment and routing operation.
22.I02.1 Customer electronic communication and
outreach.
23.I03.2 Implement Human Resource Information
System (HRIS) in coordination with payroll
conversion.
24.I04.1 Adopt National Institute of Standards and
Technology (NIST) cyber security framework and
enhance disaster recovery planning.
ACTIVE | 41
Objectives
25.I04.2 Advance business processes and
operational efficiencies through effective
implementation of information technology.
26.I04.3 Create framework to evaluate cost
efficiency of new technology services and cloud
vs. on-premise selection.
27.I04.4 Deploy next generation storage services and
communication architecture.
28.I05.1 Prioritize fourteen strategic
project/initiatives, recently developed.
29.I06.2 Evaluate the use of the Drone2Map
technology for asset, field inspections, and
condition assessment.
30.I06.4 Standardization of District asset data and
collection process.
31.I07.1 Analyze electric energy-saving programs as
they become available.
32.I07.2 Evaluate the effectiveness of various
methods to reduce nitrification events.
33.I07.3 Evaluate the efficiency and effectiveness of
the District’s valve exercise preventative
maintenance including proposed
recommendations.
34.I07.4 Evaluate the impacts as a result of recent
and upcoming regulatory changes including, but
not limited to, Air Pollution Control District
(APCD), State Water Resource Control Board
(SWRCB), Occupational Safety and Health
Administration (OSHA), etc.
Objectives
39.I09.1 Automate confined space regulatory and
work forms (electronic conversion), add confined
space data layer in the District’s enterprise
Geographic Information System (GIS) and use
data to electronically automate the District’s
confined space inventory.
40.I10.1 Certify at Industry State Level and under
the Incident Command System, streamline
chlorine gas and confined space rescue training,
operations, response and areas of responsibility
and convert to inventory lists and equipment
logs to electronic form
41.L01.1 Continue development of leadership and
District-wide training programs.
35.I07.5 Establish an access and defensible space
vegetation mitigation program with maintenance
schedules for District remote facilities, access
roads, and off-road appurtenances.
36.I08.1 Enhance Customer and Public Service
security in public lobby areas.
37.I08.2 Evaluate feasibility of incorporating electric
and hybrid vehicles into District fleet.
38.I08.3 Streamline contract and purchase order
(contract) management and lifecycle.
ACTIVE | 41
NOT STARTED | 11
Objectives
1.F03.1 Enterprise Resource Planning (ERP)/Customer
Information System (CIS)/Customer Relationship
Management (CRM) validation and replacement
evaluation. (ERP -FY21 Q1)
2.I01.1 Evaluation of Advanced Metering
Infrastructure (AMI) technology. (FY21 Q1)
3.I02.2 Enterprise Resource Planning (ERP)/Customer
Information System (CIS)/Customer Relationship
Management (CRM) validation and replacement
evaluation. (CIS/CRM -FY21 Q1)
4.I03.1 Evaluate on-boarding programs and
implement, if determined necessary. (FY21 Q1)
5.I03.3 Pilot cloud-based human capital performance
management system and implement, if determined
necessary. (FY21 Q1)
6.I06.1 Deploy ArcGIS Pro for 3D Analysis. (FY21 Q1)
7.I06.3 Migrate Geographic Information System (GIS) data
structure from geometric network to utility network.
(FY21 Q1)
8.L01.2 Review and enhance knowledge transfer process
to ensure retention of District knowledge. (FY22 Q1)
9.F03.5 Re-evaluate prior payroll solutions and identify
any new cloud-based payroll solutions (FY20 Q3)
10.F03.6 Complete a sewer cost of service study and
recommend a rate structure that will provide for more
stable sewer revenues. (FY20 Q3)
11.F03.7 Evaluate the Capacity and New Water Supply
Fees, including an update of applicable costs, and, if
possible, recommend a fee structure that is more
efficient and effective than the current structure. (FY20
Q4)
Key Performance Indicators show progress toward a desirable outcome and
monitor operational performance.
50%
60%
70%
80%
90%
100%
FY15 FY16 FY17 FY18 FY19 LEARNING AND GROWTH
CUSTOMERTRENDS
ON TARGET
KEY PERFORMANCE
INDICATORS
FINANCIAL
OVERALL TARGET
INTERNAL BUSINESS
PROCESSES
75%
TOTAL KPIs
42
REPORTED QUARTERLY
35
REPORTED ANNUALLY
7
3%
1 KPIs
NOT ON TARGET
97%
34 KPIs
RESULT TARGET
1.I1.13 Sewer Overflow Rate
NOT ON TARGET | 1
KPI’s
Aerial view of the Ralph W. Chapman Reclamation Plant.
KPI’s
Aerial view of the Ralph W. Chapman Reclamation Plant.
1. C1.01 Answer Rate
2. C1.02 Technical Quality Complaint
3. C1.03 Potable Water Compliance Rate
4. F1.01 CIP Project Expenditures vs. Budget
5. F1.02 Construction Change Order Incidence
6. F1.03 O&M Cost Per Account
7. F1.04 Billing Accuracy
8. F1.05 Overtime Percentage
9. F1.06 Sewer Rate Ranking
10. F1.07 Water Rate Ranking
11. F1.12 Percent of Customers Paying Bills
Electronically
ON TARGET | 34 12. F1.13 Distribution System Loss
13. F1.14 Planned Potable Water Maintenance Ratio in $
14. F1.15 Planned Recycled Water Maintenance Ratio in $
15. F1.16 Planned Wastewater Maintenance Ratio in $
16. F1.17 Direct Cost of Treatment per MGD
17. I1.02 Mark-out Accuracy
18. I1.03 Project Closeout Time
19. I1.04 Annual Recycled Water Site Inspections
20. I1.05 Recycled Water Shutdown Testing
21. I1.06 Easement Evaluation and Field Inspection
22. I1.07 Percent of Preventative Maintenance Completed
–Fleet Maintenance
23. I1.08 Percent of Preventative Maintenance Completed
–Reclamation Plant
KPI’s
Aerial view of the Ralph W. Chapman Reclamation Plant.
24. I1.09 Percent of Preventative Maintenance
Completed –Pump/Electric Section
25. I1.10 System Valve Exercising Program
26. I1.11 Potable Water Distribution System Integrity
27. I1.12 Recycled Water System Integrity
28. I1.14 Emergency Facility Power Testing
29. I1.15 Potable Tank Inspection and Cleaning
30. I1.16 Main Flushing and Hydrant Maintenance
31. I1.17 Critical Valve Exercising
32. L1.01 Employee Voluntary Turnover Rate
33. L1.02 Training Hours per Employee
34. L1.03 Safety Training Program
ON TARGET | 34
KPI’s
Aerial view of the Ralph W. Chapman Reclamation Plant.
1. C1.01 Answer Rate
2. C1.02 Technical Quality Complaint
3. C1.03 Potable Water Compliance Rate
4. F1.01 CIP Project Expenditures vs. Budget
5. F1.02 Construction Change Order Incidence
6. F1.03 O&M Cost Per Account
7. F1.04 Billing Accuracy
8. F1.05 Overtime Percentage
9. F1.06 Sewer Rate Ranking
10. F1.07 Water Rate Ranking
11. F1.12 Percent of Customers Paying Bills
Electronically
12. F1.13 Distribution System Loss
QUARTERLY | 35 13. F1.14 Planned Potable Water Maintenance Ratio in $
14. F1.15 Planned Recycled Water Maintenance Ratio in $
15. F1.16 Planned Wastewater Maintenance Ratio in $
16. F1.17 Direct Cost of Treatment per MGD
17. I1.02 Mark-out Accuracy
18. I1.03 Project Closeout Time
29. I1.04 Annual Recycled Water Site Inspections
20. I1.05 Recycled Water Shutdown Testing
21. I1.06 Easement Evaluation and Field Inspection
22. I1.07 Percent of Preventative Maintenance Completed
–Fleet Maintenance
23. I1.08 Percent of Preventative Maintenance Completed
–Reclamation Plant
24. I1.09 Percent of Preventative Maintenance Completed
–Pump/Electric Section
KPI’s
Aerial view of the Ralph W. Chapman Reclamation Plant.
25. I1.10 System Valve Exercising Program
26. I1.11 Potable Water Distribution System Integrity
27. I1.12 Recycled Water System Integrity
28. I1.13 Sewer Overflow Rate
29. I1.14 Emergency Facility Power Testing
30. I1.15 Potable Tank Inspection and Cleaning
31. I1.16 Main Flushing and Hydrant Maintenance
32. I1.17 Critical Valve Exercising
33. L1.01 Employee Voluntary Turnover Rate
34. L1.02 Training Hours per Employee
35. L1.03 Safety Training Program
QUARTERLY | 35
1.F1.08 Water Debt Coverage
2.F1.09 Sewer Debt Coverage
3.F1.10 Reserve Level
4.F1.11 Accounts Per FTE
5.F1.18 Leak Detection Program
6.F1.19 Injury Incidence Rate
7.I1.01 Enterprise Technology Services
Availability
ANNUAL | 7
KPI’s
Aerial view of the Ralph W. Chapman Reclamation Plant.
98.80%
98.15%
98.59%
96%
97%
97%
98%
98%
99%
99%
Q1 Q2 YTD AVG
C1.01 ANSWER RATE
Target: 97% average answer rate per quarter annually.
TARGET
Calculation: Number of all calls answered/Number of all calls received
Customer Service staff member assisting a customer.
C1.02 TECHNICAL QUALITY COMPLAINT (AWWA)
(Customer Service)
Target & AWWA: No more than 7.1 complaints per 1000 customer accounts annually.
0.99 0.98
1.97
0
1
2
3
4
5
6
7
8
9
10
Q1 Q2 YTD
TARGET & AWWA BENCHMARK
75th Percentile for population served between 100,0001-500,000 (combined utilities).
Calculation: Number of technical quality complaints per year/ Number of active customer accounts per reporting period)
Disinfection Tech examining potable equipment.
C1.03 POTABLE WATER COMPLIANCE RATE (AWWA)
(Water Operations)
Target & AWWA: 100% of all health-related drinking water standards per quarter annually.
100%100%100%
90%
95%
100%
Q1 Q2 YTD
TARGET & AWWA BENCHMARK
75th Percentile for population served between 100,0001-500,000 (water).
Calculation: Number of days the primary health regulations are met/Number of days in the reporting period
District staff member refilling his reusable water bottle.
F1.01 CIP PROJECT EXPENDITURES VS. BUDGET
Target: 95% of budget but not to exceed 100% annually.
29.2%
42.8%42.8%
0%
10%
20%
30%
40%
50%
60%
70%
Q1 Q2 YTD
TARGET
Calculation: Actual Expenditures/Annual budget
870-2 Pump Station Emergency Generator
F1.02 CONSTRUCTION CHANGE ORDER INCIDENCE
Target: No more than 5% annually.
2.4%
4.2%4.2%
0%
1%
2%
3%
4%
5%
6%
Q1 Q2 YTD
TARGET
Calculation: Total cost of Change Orders (not including allowances)/Total original
construction contract amount (not including allowances)
The District’s contractor, Pacific Hydrotech Corporation, working on the 870-2 Pump Station
Gallery concrete pour.
F1.03 O&M COST PER ACCOUNT
Target: Less than $553.00 per account annually.
Target is based on Operating Budget.
$127.00 $132.00
$259.00
$0
$50
$100
$150
$200
$250
$300
$350
$400
$450
Q1 Q2 YTD
TARGET
Calculation: Total operations O&M costs/Number of accounts
District staff testing a large water meter to ensure accuracy.
F1.04 BILLING ACCURACY
(Customer Service)
Target: 99.8% billing accuracy per quarter annually.
99.99%99.99%99.99%
95%
96%
97%
98%
99%
100%
101%
Q1 Q2 YTD
TARGET
Calculation: Number of correct bills/Number of total of accurate bills
Customer Service staff member assisting a customer with their bill.
F1.05 OVERTIME PERCENTAGE
Target: Less than 100% of budgeted overtime per quarter annually.
Target is based on Operating Budget and historical trends; FY20 Overtime Budget is $185,500.
79%
64%
71%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q1 Q2 YTD
TARGET
Calculation: Actual overtime costs (including comp time)/Budgeted overtime costs
Utility Maintenance work crew conducting street repairs.
F1.06 SEWER RATE RANKING
3
0
5
10
15
20
25
YTD
Reported in Q1
TARGET
Target: Bottom 50th percentile for the 28 sewer service providers in San
Diego
Otay ranks 3 out of 28 sewer service providers.
Calculation: Ranking for the average monthly sewer bill.
District Staff holding a CCTV camera, which are used to inspect the District’s collection system.
F1.07 WATER RATE RANKING
Calculation: Ranking for the average monthly water bill among CWA member agencies.
3
0
5
10
15
20
YTD
Reported in Q1
TARGET
Target: Bottom 50th percentile for the 22 member agencies in San Diego.
Otay ranks 3 out of 22 member agencies.
640-1 and 640-2 Reservoirs
F1.12 PERCENT OF CUSTOMERS PAYING BILLS ELECTRONICALLY
Target: No less than 75% per quarter annually.
78.77%80.48%79.63%
50%
60%
70%
80%
90%
100%
Q1 Q2 YTD
TARGET
Calculation: Number of customers paying bills electronically/Total number of customers
District customer making an online bill payment.
F1.13 DISTRIBUTION SYSTEM LOSS
Calculation: Volume purchased from CWA, City of San Diego & RWCTP Production –volume sold to customers + volume
used by District/Volume purchased from CWA, City of San Diego & RWCTP Production
3.5%
3.8%3.8%
0%
1%
2%
3%
4%
5%
6%
Q1 Q2 ANNUAL
AVG
TARGET
Target: Less than 5%of unaccounted water annually.
Calculation: Volume purchased from CWA, City of San
Diego & RWCTP Production –volume sold to
customers + volume used by District/Volume
purchased from CWA, City of San Diego & RWCTP
Production
F1.14 PLANNED POTABLE WATER MAINTENANCE RATIO IN $
Target: 66% of all labor costs spent on preventative maintenance per quarter annually.
77%
73%73%
50%
60%
70%
80%
Q1 Q2 YTD
TARGET
Calculation: PM + Daily Cost/Total Potable Labor Cost
District staff connecting a customer’s meter after pulling a new copper service.
F1.15 PLANNED RECYCLED WATER MAINTENANCE RATIO IN $
Target: 70% of all labor costs spent on
preventative maintenance per quarter
annually.
Calculation: PM + Daily Cost/Total Potable
Labor Cost
70%
76%
73%
50%
60%
70%
80%
90%
100%
Q1 Q2 YTD
TARGET
F1.16 PLANNED WASTEWATER MAINTENANCE RATIO IN $
Target: 77% of all labor costs spent on preventative maintenance per quarter annually.
93%
87%
90%
50%
60%
70%
80%
90%
100%
Q1 Q2 YTD
TARGET
Calculation: PM + Daily Cost/Total Potable Labor Cost
Aerial view of the Ralph W. Chapman Recycling Plant
F1.17 DIRECT COST OF TREATMENT PER MGD
Target: No more than $1050 per MGD spent on wastewater treatment annually.
$735.31
$1,123.91
$917.17
$0
$200
$400
$600
$800
$1,000
$1,200
Q1 Q2 YTD
TARGET
Calculation: Total O&M costs directly attributable to sewer treatment/Total volume in MG for one quarter
District staff checking the clarity and particulates of a final effluent sample.
I1.02 MARK-OUT ACCURACY
Target: 100% mark-out accuracy per quarter annually.
100.00%100.00%100.00%
95%
96%
97%
98%
99%
100%
Q1 Q2 YTD
TARGET
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/YTD total number of mark-outs
District staff conducting a mark-out.
I1.03 PROJECT CLOSEOUT TIME
Target: 45-day average annually.
37.3 37.3 37.3
0
5
10
15
20
25
30
35
40
45
50
55
60
65
70
75
Q1 Q2 YTD
0 projects closed in Q2
TARGET
Calculation: Number of days between NOSC and NOC for all construction projects within the quarter/Number of
construction projects within the quarter
Board Tour at 870 Pump Station.
I1.04 ANNUAL RECYCLED WATER SITE INSPECTIONS
Target: 100% of recycled sites inspected annually.
There are 147 recycled water use sites scheduled for FY20.
14.00%
44.00%44.00%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q1 Q2 YTD
TARGET
Calculation: Cumulative percentage of recycled water sites inspected per quarter of those required by DEH
Developer Contractors installing a recycled main line for Solstice Park in the Millenia Development.
I1.05 RECYCLED WATER SHUTDOWN TESTING
Target: 90% of recycled site shut down tests
performed annually.
There are 28 recycled water use sites scheduled for
shutdown in FY20.
Calculation: Cumulative percentage of recycled site
shut down tests performed per year compared to
those scheduled 32%
57%57%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
Q1 Q2 YTD
TARGET
I1.06 EASEMENT EVALUATION AND FIELD INSPECTION
Target: 100% assigned easements, evaluated via
desktop tools, and inspected annually.
100 easements were assigned for FY20.
Calculation: Number of easements evaluated, and
inspected/Total easements assigned for the period
75.00%
128.00%128.00%
0%
20%
40%
60%
80%
100%
120%
Q1 Q2 YTD
TARGET
I1.07 PERCENT OF PM’S COMPLETED –FLEET MAINTENANCE
Target: 90% of scheduled preventative
maintenance completed per quarter annually.
Calculation: Number of PM’s completed for the
quarter/Number of PM’s scheduled to be
completed for the quarter.
100%100%100%
80%
85%
90%
95%
100%
Q1 Q2 YTD
TARGET
I1.08 PERCENT OF PM’S COMPLETED –RECLAMATION PLANT
100%100%100%
80%
85%
90%
95%
100%
Q1 Q2 YTD
TARGET
Target: 90% of scheduled preventative maintenance completed each quarter annually.
Calculation: Number of PM’s completed for the quarter/Number of PM’s scheduled to be completed for the quarter.
Aerial view of the Ralph W. Chapman Reclamation Plant
I1.09 PERCENT OF PM’S COMPLETED –PUMP/ELECTRIC SECTION
Target: 90% of scheduled preventative maintenance completed per quarter annually.
100%100%100%
80%
85%
90%
95%
100%
Q1 Q2 YTD
TARGET
Calculation: Number of PM’s completed for the quarter/Number of PM’s scheduled to be completed for the quarter.
District Vehicle towing a genset.
I1.10 SYSTEM VALVE EXERCISING PROGRAM
Target: 3080 valves exercised annually.
989
824
1813
500
700
900
1,100
1,300
1,500
1,700
1,900
2,100
2,300
2,500
Q1 Q2 YTD
TARGET
Calculation: Total number of valves exercised per year.
District Staff performing a valve exercise.
I1.11 POTABLE WATER DISTRIBUTION SYSTEM INTEGRITY
(Water Operations)
Target: No more than 16 leaks or breaks per 100 miles of distribution system annually.
AWWA: 16.1 leaks and breaks per 100 miles of distribution system
1.52
0.57
2.09
0
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
Q1 Q2 YTD
AWWA BENCHMARK
TARGET
(50th percentile Potable Water System Integrity: Leaks and Breaks for population served between 100,001-500,000).
Calculation: Annual total number of leaks + annual number of breaks/Total miles of distribution piping
1485-1 Pump Station
I1.12 RECYCLED WATER SYSTEM INTEGRITY
Target: No more than 6.6 leaks or breaks per 100
miles of recycled distribution system annually.
Calculation: Number of leaks and breaks/Number
of miles of recycled distribution system
0.00 0.00 0.000
1
2
3
4
5
6
7
8
9
10
Q1 Q2 YTD
No leaks and breaks in Q1 & Q2
TARGET
I1.13 SEWER OVERFLOW RATE (AWWA)
(Wastewater Operations)
Target & AWWA: 0 overflows per quarter.
0
1 1
0
1
2
Q1 Q2 YTD
TARGET & AWWA BENCHMARK is 0
75th Percentile for Sewer Overflow rate for population served between 0-50,000
Calculation: Total number of sewer overflows during the reporting period/Total miles of pipe in the sewage collection system
District Staff operating and documenting the condition of the collection system.
I1.14 EMERGENCY FACILITY POWER TESTING
Target: Test 100% of all facilities scheduled per quarter to have all emergency facilities tested annually.
There are 36 powered ready facilities.
100%100%100%
75%
80%
85%
90%
95%
100%
105%
110%
Q1 Q2 YTD
ANNUAL TARGET
Calculation: Number of facilities tested/Total number of facilities
Emergency standby genset at the Cottonwood Sewer Lift Station.
I1.15 POTABLE TANK INSPECTION AND CLEANING
Target: 8 potable water storage tanks and/or reservoirs cleaned annually.
1
8
9
0
1
2
3
4
5
6
7
8
9
10
Q1 Q2 YTD
ANNUAL TARGET
Calculation: Total number of tanks cleaned and inspected annually.
803-2 Reservoir
I1.16 MAIN FLUSHING AND HYDRANT MAINTENANCE
Target: 215 mains flushed and fire hydrants
maintained annually.
Calculation: Total number of mains flushed and fire
hydrants maintained per year.
65
149
214
0
50
100
150
200
250
300
350
400
450
500
Q1 Q2 YTD
ANNUAL TARGET
I1.17 CRITICAL VALVE EXERCISING
Target: 631 critical valves exercised annually.
631 631
5
105
205
305
405
505
605
Q1 Q2 YTD
ANNUAL TARGET
Calculation: Total number of critical valves exercised in a year.
Utility Maintenance staff member exercising a District valve.
L1.01 EMPLOYEE VOLUNTARY TURNOVER RATE
(Organizational Development)
Target: Less than 5% turnover annually.
0%
2.17%2.19%
0%
1%
2%
3%
4%
5%
6%
Q1 Q2 YTD
ANNUAL TARGET
Calculation: Number of voluntary terminations (not including retirements)/Average number of employees.
2019 Employee Appreciation Luncheon
L1.02 TRAINING HOURS PER EMPLOYEE
(Organizational Development)
Target: 12 hours per employee annually.
Calculation: Total qualified training hours for all employees/Average number of FTEs.
8.43
12.91
21.44
0
5
10
15
20
25
30
Q1 Q2 YTD/AVG
District Staff training for their backflow certification
L1.03 SAFETY TRAINING PROGRAM
Target: 24 hours per field employee annually.
8.09
16.42 16.42
0
5
10
15
20
Q1 Q2 YTD/AVG
TARGET
Calculation: Total qualified safety training hours for field employees/Average number of field employees.
District Staff entering an excavation to complete a service replacement.
Questions?