HomeMy WebLinkAbout05-21-19 F&A Committee Packet 1
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
May 21, 2019
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. 4364 TO ESTABLISH THE TAX RATE FOR
IMPROVEMENT DISTRICT NO. 27 FOR FISCAL YEAR 2019-2020 (KOEPPEN) [5
minutes]
4. ADOPT RESOLUTION NO. 4365 TO CONTINUE WATER AND SEWER
AVAILABILITY CHARGES FOR DISTRICT CUSTOMERS FOR FISCAL YEAR 2019-
2020 TO BE COLLECTED THROUGH PROPERTY TAX BILLS (BARNHILL) [5
minutes]
5. ADJOURNMENT
2
BOARD MEMBERS ATTENDING:
Mitch Thompson, Chair
Mark Robak
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 May 17, 2019 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 May 17, 2019.
/s/ Susan Cruz, District Secretary
STAFF REPORT
TYPE MEETING: Regular Board MEETING
DATE:
June 5, 2019
SUBMITTED BY:
Kevin Koeppen, Assistant Chief
of Finance
PROJECT: DIV. NO. All
APPROVED BY:
Joseph R. Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Adopt Resolution No. 4364 to Establish the Tax Rate for
Improvement District No. 27 (ID 27) for Fiscal Year
2019-2020
GENERAL MANAGER’S RECOMMENDATION:
That the Board adopt Resolution No. 4364 to establish the tax rate
for Improvement District No. 27 (ID 27) at $0.00375 for fiscal year
2019-2020.
COMMITTEE ACTION:
See Attachment A.
PURPOSE:
Improvement District No. 27 (ID 27) has outstanding general
obligation bonds which mature in fiscal year 2023 and is the only
improvement district with general obligation debt service. As of
July 1, 2020, the outstanding debt will be $2.8 million with interest
rates from 3% to 4%. The bonds are non-callable.
At the beginning of each fiscal year staff must provide the County of
San Diego, Property Tax Services, with the tax rate to be charged
upon all property within ID 27 to ensure the amount of tax
collections will support the annual debt service requirement. Staff
recommends that the Board adopt Resolution No. 4364 to establish
the tax rate for ID 27 at $0.00375 for fiscal year 2019-2020.
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BACKGROUND:
In December 1992, the District sold $11,500,000 of general obligation
bonds in ID 27 for the construction of the 30mg reservoir. The
voters approved the debt issuance and the tax which is used to pay
the outstanding 1992 General Obligation bonds. At the time of the
formation of ID 27, the District intended to have a maximum tax rate
of $0.10 per $100 of assessed valuation. The tax rate has remained
well below the intended maximum rate.
The District refinanced the bonds in fiscal year 1998 and again in
fiscal year 2010 which resulted in a reduction in the annual debt
schedule. Property valuations peaked in fiscal year 2008 at $12.5
billion, dropped below $10 billion in fiscal year 2011, and is now
valued at more than $11 billion. The combination of the reduced debt
service requirement and the increased assessed values resulted in the
District’s reserve levels exceeding the target. In order to draw down
these reserves, staff has proposed tax rates that generate a planned
shortfall. The tax revenues plus the drawdown of the reserves are
sufficient to make the required debt payments.
From fiscal year 2009 to fiscal year 2015, the tax rate was $0.005
and from fiscal year 2016 to fiscal year 2019, the tax rate was
$0.004. During all of these years the District has covered the
planned tax collection shortfalls from the ID 27 reserves.
For fiscal year 2019-2020, staff proposes to reduce the tax rate from
$0.004 to $0.00375 and continue to cover the planned tax collection
shortfall from the ID 27 reserves. Staff projects that a $0.00375
tax rate will wind down reserve levels until the expiration of the
debt. Upon expiration of the debt the reserve will be fully
depleted.
FISCAL IMPACT: Joseph R. Beachem, Chief Financial Officer
The tax proceeds are legally restricted for the sole purpose of the
repayment of this debt. These proceeds will be collected until the
debt obligation is fully paid, at which time the fund will have a
zero balance. The $0.00375 tax rate is projected to generate
$647,958 in revenue in fiscal year 2020. The projected revenue,
given the recommended tax rate combined with the current fund
balance, will meet the annual ID 27 debt service payment of $738,533.
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STRATEGIC GOAL:
Through well-established financial policies and wise management of
funds, the District will continue to guarantee fiscal responsibility
to its ratepayers and the community at large.
LEGAL IMPACT:
None.
Attachments:
A) Committee Action
B) Resolution No. 4364
C) ID 27 Tables
ATTACHMENT A
SUBJECT/PROJECT:
Adopt Resolution No. 4364 to Establish the Tax Rate for
Improvement District No. 27 (ID 27) for Fiscal Year
2019-2020
COMMITTEE ACTION:
That the Finance and Administration Committee recommend that the
Board adopt Resolution No. 4364 to establish the tax rate for
Improvement District No. 27 (ID 27) at $0.00375 for fiscal year
2019-2020.
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.
1
RESOLUTION NO. 4364
A RESOLUTION OF THE BOARD OF DIRECTORS OF
OTAY WATER DISTRICT FIXING TAX RATES FOR
FISCAL YEAR 2019-2020 FOR PAYMENT OF
PRINCIPAL AND INTEREST ON GENERAL OBLIGATION
BONDS OF IMPROVEMENT DISTRICTS (GF 1600)
WHEREAS, California Water Code Section 72091 authorizes the
Otay Water District, as a municipal water district, to levy an ad
valorem property tax which is equal to the amount required to
make annual payments for principal and interest on general
obligation bonds approved by the voters prior to July 1, 1978.
NOW, THEREFORE, the Board of Directors of the Otay Water
District resolves, determines and orders as follows:
1. Findings. It is necessary that this Board of Directors
cause taxes to be levied in fiscal year 2019-2020 for Improvement
District No. 27 of the Otay Water District to pay the amount of
the principal and interest on the bonded debt of such improvement
district.
2. Amounts to be Raised by Taxes. The amount required to
be raised by taxation during fiscal year 2019-2020 for the
principal and interest on the bonded debt of Improvement District
No. 27 is as follows:
Improvement District No. 27 $647,958
3. Tax Rates. The tax rates per one hundred dollars ($100)
of the full value of all taxable property within said improvement
district necessary to pay the aforesaid amounts of principal and
interest on the bonded debt of said improvement district for
fiscal year 2019-2020 is hereby determined and fixed as follows:
Improvement District No. 27 $0.00375
Attachment B
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4. Certification of Tax Rates. Pursuant to Water Code
Section 72094, this Board of Directors hereby certifies to the
Board of Supervisors and the County Auditor of the County of San
Diego the tax rates hereinbefore fixed, and said County Auditor
shall, pursuant to Section 72095 of said Code, compute and enter
in the County assessment roll the respective sums to be paid as
tax on the property in Improvement District No. 27, using the
rate of levy hereinabove fixed for such improvement district and
the full value as found on the assessment roll for the property
therein, and the Secretary of this Board of Directors is hereby
authorized and directed to transmit certified copies of this
resolution, Attachment B, and made a part hereof, to said Board
of Supervisors and said Auditor.
PASSED AND ADOPTED by the Board of Directors of the Otay
Water District at a regular meeting held this 5th day of June,
2019.
Ayes:
Noes:
Abstain:
Absent:
President
ATTEST:
Secretary
3
I HEREBY CERTIFY that the foregoing Resolution No. 4364 was duly
adopted by the BOARD OF DIRECTORS of the OTAY WATER DISTRICT at a
regular meeting thereof held on the 5th day of June, 2019 by the
following vote:
Ayes:
Noes:
Abstain:
Absent:
District Secretary
IMPROVEMENT DISTRICT 27
History
1989 Improvement District 27 was formed with $100,000,000 bonding authorized.
1992 District issued $11,500,000 in General Obligation Bonds primarily for the constructionof a 30 million gallon storage reservoir.
1998 District refinanced outstanding debt of $10,900,000.
2009 District refinanced again outstanding debt of $7,780,000.
TAXES DEBT TAX ASSESSED
COLLECTED SERVICE NET RATE VALUATION INC%
FY03 $725,085 $848,600 ($123,515) $0.01500 $3,837,693,353 37%
FY04 $829,036 $848,700 ($19,664) $0.01400 $5,047,625,296 32%
FY05 $994,501 $840,800 $153,701 $0.01200 $6,454,909,846 28%
FY06 $1,081,991 $840,385 $241,606 $0.01000 $8,579,576,581 33%
FY 07 $862,795 $837,936 $24,859 $0.00700 $10,348,663,242 21%
FY 08 $917,168 $835,017 $82,151 $0.00600 $12,518,643,676 21%
FY 09 $747,175 $830,823 ($83,648) $0.00500 $12,308,043,285 -2%
FY 10 $605,405 $934,674 ($329,269) $0.00500 $10,378,404,507 -16%
FY 11 $606,966 $781,144 ($174,178) $0.00500 $10,131,397,697 -2.4%
FY 12 $597,799 $752,976 ($155,177) $0.00500 $9,941,622,812 -1.9%
FY 13 $650,587 $773,863 ($123,276) $0.00500 $9,869,377,173 -0.7%
FY 14 $658,147 $750,088 ($91,940) $0.00500 $10,226,148,004 3.6%
FY 15 $706,025 $748,663 ($42,638) $0.00500 $11,157,255,925 9.1%
FY 16 $612,980 $751,663 ($138,683) $0.00400 $11,904,159,221 6.7%
FY 17 $640,241 $747,969 ($107,728) $0.00400 $12,738,454,702 7.0%
FY 18 $678,655 $744,633 ($65,978) $0.00400 $13,574,290,102 6.6%
FY 19 (1)$720,771 $749,433 ($28,662) $0.00400 $14,327,195,366 5.5%
(1) Due to timing of the report, taxes collected is an estimate.
TAXES DEBT TAX ASSESSEDCOLLECTED SERVICE NET RATE VALUATION INC%
Est Fund Balance 6/30/19 $460,842
FY20 647,958 738,533 ($90,575) $0.00375 $14,613,739,273 2.0%
Interest $1,679
Est Fund Balance 6/30/20 $371,946
Historical Data
Change in Fund Balance
$0
$2
$4
$6
$8
$10
$12
$14
$16
Bi
l
l
i
o
n
s
ASSESSED VALUATION
10 Year History
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: June 5, 2019
SUBMITTED BY:
Cathy Barnhill,
Customer Service Supervisor
PROJECT: DIV. NO. All
APPROVED BY:
Joseph R. Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Adopt Resolution No. 4365 to Continue Water and Sewer
Availability Charges for District Customers for Fiscal Year
2019-2020 to be Collected through Property Tax Bills
GENERAL MANAGER’S RECOMMENDATION:
That the Board adopt Resolution No. 4365 to continue water and sewer
availability charges for District customers for fiscal year 2019-2020
to be collected through property tax bills.
COMMITTEE ACTION:
See Attachment A.
PURPOSE:
That the Board consider the adoption of Resolution No. 4365 to
continue water and sewer availability charges for District customers
for fiscal year 2019-2020 to be collected through property tax bills.
ANALYSIS:
The District levies availability charges each year on property in
both developed and undeveloped areas. State Water Code Section
71630-71637 authorizes the District to access such availability
charges. In order to place these charges on the tax roll, the County
of San Diego requires the District to provide a resolution
2
authorizing the charges. Each year, the District provides a
resolution along with the listing of charges by parcel. Current
legislation provides that any amount up to $10 per parcel (one acre
or less) is for general use and any amount over $10 per parcel ($30
per acre for parcels over one acre) is restricted, to be expended in
and for that Improvement District. The District uses amounts over
$10 per parcel to develop water and sewer systems within the
Improvement Districts where the funds are collected. In accordance
with legislation, the District places amounts up to $10 per parcel in
the General Fund.
FISCAL IMPACT: Joseph R. Beachem, Chief Financial Officer
The availability charges, as budgeted, will generate approximately
$1.2 million in revenue.
STRATEGIC GOAL:
This revenue source will help the District meet its fiscal
responsibility to its ratepayers.
LEGAL IMPACT:
None.
Attachments:
A) Committee Action
B) Resolution No. 4365
ATTACHMENT A
SUBJECT/PROJECT:
Adopt Resolution No. 4365 to Continue Water and Sewer
Availability Charges for District Customers for Fiscal Year
2019-2020 to be Collected through Property Tax Bills
COMMITTEE ACTION:
That the Finance and Administration Committee recommend that the Board
adopt Resolution No. 4365 to continue water and sewer availability
charges for District customers for fiscal year 2019-2020 to be
collected through property tax bills.
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.
1
RESOLUTION NO. 4365
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
OTAY WATER DISTRICT CONTINUING PREVIOUSLY
ESTABLISHED WATER AND SEWER AVAILABILITY
CHARGES FOR FISCAL YEAR 2019-2020; REQUESTING
THE COUNTY TO COLLECT SUCH AVAILABILITY CHARGES
ON THE 2019-2020 SECURED TAX ROLL AND TAKING
OTHER RELATED ACTIONS
WHEREAS, the Otay Water District (herein "District") is a
member of the San Diego County Water Authority and the Metropolitan
Water District of Southern California and, as a member, the
District is entitled to purchase water for distribution within the
District and water so purchased is available to property in the
District that is also within the San Diego County Water Authority
and the Metropolitan Water District of Southern California, without
further need for annexation to any agency; and
WHEREAS, Improvement District No. 18 has been formed within
the Otay Water District (herein "District") and sanitary sewers
have been constructed and sewer service is available to land within
the said District; and
WHEREAS, in consideration of the benefit that water
availability confers upon property within the District, and in
further consideration of the need for revenue to pay the cost of
water storage and transmission facilities which directly and
specifically benefit property within the District, the District has
previously determined that water availability charges be fixed and
established under applicable provisions of law; and
WHEREAS, in consideration of the benefit which sewer
availability confers upon property within Improvement District No.
18, and in further consideration of the need to pay the cost of
Attachment B
2
sanitary sewers which directly and specifically benefit those
properties, the District has previously determined that sewer
availability charges be fixed and established for Improvement
District No. 18 as provided under applicable provisions of law; and
WHEREAS, the District desires to continue the collection of
such water and sewer availability charges without increases or
revisions in methodology or application.
NOW, THEREFORE, the Board of Directors of the Otay Water
District resolves, determines and orders as follows:
1. SCHEDULE OF WATER CHARGES
(A) The water availability charges previously fixed and
established are hereby continued for Fiscal Year 2019-2020 at the
existing rates, as follows:
(1) In Improvement District No. 22 the charge shall be
$30.00 per acre of land and $10.00 per parcel of land
less than one acre.
(2) For land located outside an improvement district and
within one mile of a District water line, the charge
shall be $10.00 per acre of land and $10.00 for each
parcel less than one acre.
(3) For land located outside an improvement district and
greater than one mile from District facilities, the
charge shall be $3.00 per acre of land and $3.00 for
each parcel less than one acre.
(B) Modifications The charges provided for in subparagraphs
(1) through (3) in (A) above shall be modified upon petition by the
3
property owner where the property does not receive water from the
District as follows:
(1) where a parcel of land or a portion thereof is within
an open space easement approved by San Diego County,
the charge for such parcel or portion thereof shall
be fifty percent (50%) of the charge determined
pursuant to paragraph (A), provided the owner files
with the District proof, satisfactory to the
District, that said parcel of land or portion thereof
is within such a designated permanent open space
area;
(2) where a parcel of land or portion thereof is in an
agricultural reserve under a Land Conservation
Contract with the County of San Diego, pursuant to
the Land Conservation Act of 1965 as amended, the
charge for such parcel shall be $3.00 per acre,
provided the owner files with the District proof,
satisfactory to the District, that said parcel of
land or portion thereof is within such an
agricultural preserve;
(3) where a parcel of land or a portion thereof is within
an area designated as a floodplain by the County of
San Diego, the charge for such a parcel or portion
thereof shall be $3.00 per acre, provided the owner
files with the District proof, satisfactory to the
District, that said parcel of land or portion thereof
is within such designated floodplain; and
4
(4) where a parcel of land or portion thereof exceeds a
30% slope, and where such is not within a legal
subdivision, lot-split or planned residential
development, the charge for the slope portion shall
be $3.00 per acre, or if such a parcel is less than
one acre and more than one-half of the area exceeds
30% slope, $3.00 for the parcel, provided the owner
files with the District proof, satisfactory to the
District, that said parcel of land or portion thereof
meets or exceeds the slope.
(C) Exceptions The charges provided for in (A) and (B) above
shall not apply, upon petition by the property owner, to the
following:
(1) land located within an area designated as a floodway
by the County of San Diego;
(2) land designated as a vernal pool area by a govern-
mental agency authorized to make such a designation
and which designation prohibits use of such area for
any purpose;
(3) land owned by non-profit, tax-exempt conservation
organizations specializing in identifying and
protecting the natural habitat of rare species; or
(4) land that is located within the boundaries of the
Otay Water District but not within the boundaries of
the Metropolitan Water District of Southern
California and the San Diego County Water Authority.
5
2. SCHEDULE OF SEWER CHARGES
(A) Sewer standby assessment or availability charges are
hereby fixed and established for Fiscal Year 2019-2020 as follows:
(1) In Improvement District No. 18 the charges shall be
$30.00 per acre of land and $10.00 per parcel of land
less than one acre. The preceding charges shall not
apply, upon petition by the property owner, to the
following:
(a) any portion of a parcel which is undeveloped
and maintained in its natural state within an
Open Space Area as a requirement under the San
Diego County General Plan, provided the owner
of such parcel files proof, satisfactory to the
District, of such designed Open Space Area;
(b) any portion of a parcel located within an area
designated by the County of San Diego as a
floodway or floodplain; or
(c) any portion of a parcel of land which exceeds a
slope of 30% and which is not within a legal
subdivision, lot split or planned lot split or
planned residential development.
3. DEFERRALS
(A) Deferral of Charge, Purpose Situations may arise when an
owner of a parcel of land does not use and has no present intention
of using water and/or sewer provided by the District on a parcel of
land, as defined in Section 4. The purpose of this section is to
permit an evaluation by the District, on a case-by-case basis, of
6
the circumstances which pertain to such situations to determine
whether a deferral of charges should be approved according to the
terms and conditions herein provided.
Any owner of a parcel of land who believes that the amount of
the water and/or sewer availability charges fixed against such
parcel should be deferred may file an application with the District
for deferral of the charge, as follows:
(a) Application The application shall include a
statement describing the circumstances and factual
elements which support the request for deferral.
(b) The General Manager shall consider the request
within sixty (60) days after the filing of a
completed application. If the application for
deferral meets the established criteria, the General
Manager may decide whether to approve the request
and order the charge deferred accordingly. If the
request is denied, the applicant shall be notified
in writing stating the reasons for the denial.
(B) Appeal to Board of Directors If the General Manager
denies a request, the owner may file an appeal with the Board of
Directors within sixty (60) days after such denial. No new
application for deferral need be considered by the General Manager
until expiration of twelve (12) months from the date of a denial,
unless differently directed by the Board of Directors.
(C) Deferred Charges on Restricted Parcels, Criteria The
levy of the charge may be deferred annually as to any parcel of
land which meets each of the following criteria:
7
(a) The owner of such parcel makes a timely application
requesting deferral of the charge.
(b) The parcel, which is the subject of the request,
will become subject to enforceable restrictions
which prohibits the connection to the District sewer
system or use of water on the parcel, except by
means of natural precipitation or runoff; provided,
however, if considered appropriate by the General
Manager, local water may be used for limited
domestic stock watering and irrigation uses.
(c) The owner executed a recordable agreement which
includes provisions that:
(1) set forth the enforceable restrictions
pertinent to the subject parcel;
(2) the agreement may be terminated upon written
request by the owner and payment of all
deferred water and/or sewer availability
charges, plus interest thereon, compounded
annually, and accruing at the legal rate from
the date such charges would have been otherwise
due and payable;
(3) no water and/or sewer service from the District
shall be provided to such parcel for a period
of ten (10) years after the total amount due
for the charges deferred, plus annually
compounded interest, is paid in full to the
District, unless a surcharge penalty as
8
described below is paid to the District prior
to connection of any water and/or sewer
service;
(4) if the surcharge is not paid, during the ten
(10) year period, while water and/or sewer
service is not available to the subject land,
the owner shall pay all annual water or
availability charges as fixed; and
(5) contains such other provisions considered by
the General Manager to be appropriate.
(D) Surcharge Upon termination of the deferral
agreement, an owner may elect to receive water and/or sewer
service prior to the expiration of the ten (10) year penalty
period upon payment of a surcharge. The surcharge shall be
equal to the amount of the annual water and/or sewer
availability charges fixed for the parcel(s) of land in the
year of election to receive water and/or sewer service
multiplied by the number of years remaining of the ten (10)
year penalty period. This surcharge shall also apply if a
property owner develops a parcel that is subject to a deferral
agreement without termination of said agreement.
(E) Enforcement Procedures In order to insure that
terms and conditions of the recordable agreement are being
met, the General Manager shall:
(1) Maintain a record of all parcels approved for
deferral of the water assessments or availability
charges.
9
(2) Report to the Board of Directors any instances where
the terms of the agreement are being violated.
(3) Take such other actions or procedures considered
appropriate.
4. DEFINITION OF PARCEL The term "parcel" as used herein shall
mean a parcel of land as shown on the assessment rolls of the
County Assessor of San Diego County as of March, 2019.
5. NOTICE AND REQUEST TO THE BOARD OF SUPERVISORS AND AUDITOR As
provided in Sections 71634 to 71637, on or before the third Monday
in August, 2019, the Secretary of this District shall furnish, in
writing to the Board of Supervisors of San Diego County and to the
County Auditor, a description of the land within the District upon
which availability charges are to be levied and collected for
Fiscal Year 2019-2020 together with the amount of the assessments
or charges. At the time and in the manner required by law for the
levying of taxes for county purposes, the Board of Supervisors of
San Diego County shall levy, in addition to taxes it levies, water
and/or sewer availability charges in the amounts fixed by this
Resolution for the respective parcels of land described in Section
1 of this Resolution. All County officers charged with the duty of
collecting taxes shall collect the charges with the regular
property tax payments in the same form and manner as County taxes
are collected. Such availability charges are a lien on the property
with respect to which they are fixed. Collection of the charges
may be enforced by the same means as provided for the enforcement
of liens for state and county taxes.
10
6. CERTIFICATION TO COUNTY BOARD OF SUPERVISORS The District
certifies that this Resolution complies with the provisions of
Article XIIID of the California Constitution in that the
availability charges are existing charges first set by the Board of
Directors of the District prior to November 6, 1996. At the time
the availability charges were initially established, the District
followed the applicable provisions of law then in effect, and the
District has continued to comply with such provisions, including
any requirements for notices or hearings, as from time to time in
effect. Therefore, pursuant to Section 71632 and Section 71638 of
the California Water Code, as currently in effect, the District may
continue the availability charges in successive years at the same
rate. The District further certifies that the charge is not
increased hereby and the methodology for the rate is the same as in
previous years. The charge is imposed exclusively to finance the
capital costs, maintenance and operating expenses of the water or
sewer system of the District, as applicable.
7. CERTIFIED COPIES The Secretary of this District shall deliver
certified copies of this Resolution to the Board of Supervisors and
to the Auditor of San Diego County with the list of charges
described in Section 4 above.
8. CORRECTIONS; OTHER ACTIONS The General Manager of the
District is hereby authorized to correct any clerical error made in
any assessment or charge pursuant to this Resolution and to make an
appropriate adjustment in any assessment or charge made in error.
Furthermore, the General Manager and the Secretary of this District
are hereby directed to take any further actions and deliver such
11
documents and certificates as necessary to carry out the purpose of
this Resolution.
PASSED, APPROVED AND ADOPTED by the Board of Directors of the
Otay Water District at a regular meeting duly held this 5th day of
June, 2019.
Ayes:
Noes:
Abstain:
Absent:
President
ATTEST:
Secretary
12
I HEREBY CERTIFY that the foregoing Resolution No. 4365 was duly
adopted by the BOARD OF DIRECTORS of the OTAY WATER DISTRICT at a
regular meeting thereof held on the 5th day of June, 2019 by the
following vote:
Ayes:
Noes:
Abstain:
Absent:
District Secretary