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HomeMy WebLinkAbout04-14-15 FA&C Committee Packet 1 OTAY WATER DISTRICT FINANCE, ADMINISTRATION AND COMMUNICATIONS COMMITTEE MEETING and SPECIAL MEETING OF THE BOARD OF DIRECTORS 2554 SWEETWATER SPRINGS BOULEVARD SPRING VALLEY, CALIFORNIA BOARDROOM TUESDAY April 14, 2015 11:30 A.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. UPHOLD STAFFS’ RECOMMENDATION TO IMPOSE A $1,000 FINE FOR METER TAMPERING AT 2878 GATE ELEVEN PLACE IN CHULA VISTA (MENDEZ- SCHOMER) [5 mins] 4. RECEIVE THE DISTRICT’S INVESTMENT POLICY, BOARD OF DIRECTORS POLICY NO. 27, FOR REVIEW AND RE-DELEGATE AUTHORITY FOR ALL INVESTMENT RELATED ACTIVITIES TO THE CHIEF FINANCIAL OFFICER IN ACCORDANCE WITH GOVERNMENT CODE SECTION 53607 (KOEPPEN) [5 minutes] 5. ADOPT RESOLUTION NOS. 4268, 4269, 4270, 4271, 4272, 4273, 4274, 4275, 4276, AND 4277 THAT ARE NECESSARY TO COMPLETE THE PROCESS FOR THE EXCLUSION OF PARCELS WITHIN WATER IMPROVEMENT DISTRICTS (IDs) 1, 2, 3, 5, 7, 9, 10 AND 20 AND SEWER IDs 4 AND 14; AND ADOPT RESOLUTION NOS. 4278, 4279, 4280, 4281, 4282, 4283, 4284, 4285, 4286, AND 4287 THAT ARE NECESSARY TO COMPLETE THE PROCESS FOR THE ANNEXATION OF THE EXCLUDED PARCELS IN WATER IDs 1, 2, 3, 5, 7, 9, 10 AND 20 INTO ID 22; AND SEWER IDs 4 AND 14 INTO ID 18 (BELL) [5 minutes] 2 6. APPROVE INFORMATION TECHNOLOGY RELATED SERVICE CONTRACTS FOR FISCAL YEAR 2016 THAT INCLUDES ONE (1) YEAR SERVICE AGREEMENTS WITH AT&T IN THE AMOUNT OF $125,000 FOR LOCAL AND LONG-DISTANCE TELEPHONE AND INTERNET SERVICE; VERIZON WIRELESS IN THE AMOUNT OF $85,000 FOR CELLULAR PHONE, WIRELESS MODEM SERVICE AND EQUIPMENT; TYLER TECHNOLOGIES IN THE AMOUNT OF $127,000 FOR ERP/FINANCIAL SOFTWARE MAINTENANCE COSTS AND ANNUAL TECHNICAL SUPPORT; AND AZTECA CITYWORKS IN THE AMOUNT OF $90,000 FOR SOFTWARE AND MAINTENANCE FOR THE DISTRICT’S ASSET AND WORK MANAGEMENT SYSTEM. IN ADDITION, APPROVE A THREE (3) YEAR SERVICE AGREEMENT WITH COMPUCOM, INC. IN THE AMOUNT OF $180,000 ($60,000 ANNUALLY) FOR MICROSOFT SOFTWARE LICENSES, UPGRADES AND MAINTENANCE SERVICES (KERR) [5 minutes] 7. ADOPT RESOLUTION NO. 4288 DECLARING THE THIRD WEEK OF APRIL AS CALIFORNIA NATIVE PLANT WEEK IN THE OTAY WATER DISTRICT (WATTON) [5 minutes] 8. REPORT ON THE STATE OF THE DISTRICT’S EMERGENCY PREPAREDNESS, SAFETY AND HEALTH, AND SECURITY (RAMIREZ) [5 minutes] 9. ADJOURNMENT BOARD MEMBERS ATTENDING: Mitch Thompson, Chair Jose Lopez 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 April 10, 2015 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 April 10, 2015. ______/s/_ Susan Cruz, District Secretary _____ STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: May 6, 2015 SUBMITTED BY: Alicia Mendez-Schomer, Customer Service Manager PROJECT: DIV. NO. All APPROVED BY: Joseph R. Beachem, Chief Financial Officer German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Impose a $1,000 Fine for Meter Tampering GENERAL MANAGER’S RECOMMENDATION: That the Board uphold staff’s recommendation to impose a $1,000 fine for meter tampering at 2878 Gate Eleven Place in Chula Vista. COMMITTEE ACTION: See Attachment A. PURPOSE: To ensure the District continues to protect the water supply and applies violations consistent with the Code of Ordinances. ANALYSIS: The District began installing AMR Master Meters in 2004. In early 2013 there was an upgrade to the reading software, Master Links, which added the ability to detect tamper alerts. By Master Meter’s definition a tamper alert “will appear on your screen when meter is tampered with a magnet.” On March 14, 2015, a staff member was responding to a tamper alert at 2878 Gate Eleven Place in Chula Vista. During the course of the 2 investigation, the meter box was opened and revealed a magnet attached directly to the water meter. This action caused the meter to fail and inaccurately measure the volume of water going through, thus causing the customer to be under billed. The magnet also disables the meter to the point that it cannot be repaired or reused. Meter tampering is a violation of our Code of Ordinances as outlined in section 72.03C which reads “In addition to other remedies, tampering is subject to a Type II fine pursuant to Section 72.06. Additionally, tampering may be prosecuted as a crime under Section 498 of the California Penal Code, as set forth in Section 73.01 of this Code.” A review of the data from our Master Links system shows a total of 6 tamper alerts at this property from March 2013 to present. Staff investigated this property a total of 6 times prior to this latest incident. Those investigations did not yield any evidence of meter tampering and the alert was cleared each time. The District has had two other incidents where a magnet was discovered inside a meter box in close proximity to the water meter. In both cases the customer was fined $1,000. Staff is recommending that the owner of the property, Mr. Jose Victor Barreiro will be fined $1,000 and this charge is to be put on his next water bill which then becomes an inseparable part of that bill. If the charges remain unpaid, the District may disconnect water service, lien the delinquent real property, and may access damages and penalties established by the District or otherwise authorized by law. Applying the fine to the property owner, Mr. Jose Victor Barreiro, is consistent with the Code of Ordinances, Section 72.01 which states “Each person receiving service, or that owns a property that receives service, agrees to pay the District any applicable fees and charges. Such persons are also responsible for all costs and damages in connection with any violation of this Code relating to their service.” In addition, the District has added $381.78 for administrative costs related to the investigation, $285.43 for the replacement of the meter and a charge of $2,221.70 for the back billing of estimated water loss from April 2013 through February 2015 (Attachment B). This estimated water loss amount was calculated by using the monthly usage amounts for 2008-2012 (5 years) and taking an average of the total units used. That calculation was 26.15 units per month. Then, as a secondary measure, the highest and lowest years of usage over the five-year period were omitted, which left a three year average that spanned over the same five-year period. The average of that 3 calculation was 26.52 units per month. These two numbers (26.15 and 26.52) were then rounded down to 25 units per month. The customer’s monthly bills for the period of April 2013 through February 2015 were subtracted from the 25 units per month average and the difference totaled $2,221.70. FISCAL IMPACT: Joe Beachem, Chief Financial Officer None. STRATEGIC GOAL: Enforce the District’s Code of Ordinances and protect the public water supply. LEGAL IMPACT: None. Attachments: Attachment A – Committee Action Attachment B – Letter with Picture Attachment C – Code of Ordinances Sections 71, 72 and 73 Attachment D – Barreiro Appeal Letter ATTACHMENT A SUBJECT/PROJECT: Impose a $1,000 Fine for Meter Tampering COMMITTEE ACTION: The Finance, Administration and Communications Committee recommend that the Board uphold staff’s recommendation to impose a $1,000 fine for meter tampering at 2878 Gate Eleven Place in Chula Vista. 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. Dear Board of Directors , DECEIVEn n APR 1 0 2015 u Aptii{Q.,~::l~Qll-3§---- Regarding matter and to respond to you letter , we would like to clarify and prove our water consumption since 2006. It clearly shows on our records that when our home was undergoing construction, we were creating landscaping on our property. The units of water consumed were relatively higher when under going the laying of the sod and setting up of the sprinkler systems. As our irrigation systems were finished consumption drastically decreased by more than half of what was initially used. Our Household initially started as a family of ( 4) . My wife and I, and our two sons . Our eldest built his home in Bonita , and the other moved to Lemon Grove. Just me and my wife reside on this home @ 2878 Gate Eleven Place in the City of Chula Vista. That brought the consumption of resources down even more according to your records. We are very careful of what we spend on any resource available to us , we set up the drip irrigation system on our fruit trees and saw that they didn't work as well as we thought they would . So I took the initiative to water manually and that's what I have been doing since, as a result our rear yards sod has died. I understand that homes in our neighborhood are as big as our own but you have to take in consideration that it is only my wife and I that reside here , and we try to keep the bill at 10 to 20 units per month. I am very offended to see that you think of me as a thief, I have never needed to steal in my entire life. I have always worked hard for what we own and have everything to show for it. We have established a great reputation with all of our vendors , always paid on time and created the highest of credit available to any citizen (890). We own rental property in many parts of this County for years and never been accused of sabotaging our meters to save money. I hope we can come to an understanding, and again I ,we, were not aware that there was any magnets as you said, to compromise our equipment of any kind. We wish to clarify any misconception you have of us in a professional manner. Thank You. The Barreiro Residence 2878 Gate Eleven Place Chula Vista CA. 91914 STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: May 6, 2015 SUBMITTED BY: Kevin Koeppen, Finance Manager PROJECT: DIV. NO. All APPROVED BY: Joseph R. Beachem, Chief Financial Officer German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Annual Review of Investment Policy (Policy No. 27) and Re-Delegating Authority for All Investment Related Activities to the Chief Financial Officer GENERAL MANAGER’S RECOMMENDATION: That the Board receives the District’s Investment Policy (Policy #27) for review, and re-delegates authority for all investment related activities to the Chief Financial Officer (CFO), in accordance with Government Code Section 53607. COMMITTEE ACTION: See Attachment A. PURPOSE: Government Code Section 53646 recommends that the District’s Investment Policy be rendered to the Board on an annual basis for review. In addition, Government Code Section 53607 requires that for the CFO’s delegation of authority to remain effective, the governing board must re-delegate authority over investment activities on an annual basis. ANALYSIS: The primary goals of the Investment Policy are to assure compliance with the California Government Code, Sections 53600 et seq. The primary objectives, in priority order, of investment activities are: 1. Protect the principal of the funds. 2. Remain sufficiently liquid to enable the District to meet all operating requirements which might be reasonably anticipated. 3. The District’s return is a market rate of return that is commensurate with the conservative investments approach to meet the first two objectives of safety and liquidity. The code provides a broad range of investment options for local agencies, including Federal Treasuries, Federal Agencies, Callable Federal Agencies, the State Pool, the County Pool, high-grade corporate debt, and others. Over recent years, the size of the District’s portfolio has declined from $110 million in 2010 to $84 million as of February 28, 2015. The reduction is primarily due to planned outlays for construction projects and the drawdown of debt proceeds. Because of the District’s adherence to a conservative range of authorized investments, we have been able to maintain a healthy and diversified portfolio with no investment losses despite an extended period of turmoil and instability in the national financial markets. The policy is consistent with the current law and the overall objectives of the policy are being met. FISCAL IMPACT: None. STRATEGIC GOAL: Demonstrate financial health through formalized policies, prudent investing, and efficient operations. LEGAL IMPACT: None. Attachments: A) Committee Action Form B) Investment Policy No. 27 C) Presentation ATTACHMENT A SUBJECT/PROJECT: Annual Review of Investment Policy (Policy No. 27) and Re- delegating Authority for All Investment Related Activities to the Chief Financial Officer COMMITTEE ACTION: The Finance, Administration, and Communications Committee recommend that the Board review the Investment Policy (Policy No. 27) and re-delegate authority for all investment related activities to the Chief Financial Officer (CFO), in accordance with Government Code Section 53607. 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. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 1 of 17 1.0: POLICY It is the policy of the Otay Water District to invest public funds in a manner which will provide maximum security with the best interest return, while meeting the daily cash flow demands of the entity and conforming to all state statues governing the investment of public funds. 2.0: SCOPE This investment policy applies to all financial assets of the Otay Water District. The District pools all cash for investment purposes. These funds are accounted for in the District’s audited Comprehensive Annual Financial Report (CAFR) and include: 2.1) General Fund 2.2) Capital Project Funds 2.2.1) Designated Expansion Fund 2.2.2) Restricted Expansion Fund 2.2.3) Designated Betterment Fund 2.2.4) Restricted Betterment Fund 2.2.5) Designated Replacement Fund 2.2.6) Restricted New Water Supply Fund 2.3) Other Post Employment Fund (OPEB) 2.4) Debt Reserve Fund Exceptions to the pooling of funds do exist for tax-exempt debt proceeds, debt reserves and deferred compensation funds. Funds received from the sale of general obligation bonds, certificates of participation or other tax-exempt financing vehicles are segregated from pooled investments and the investment of such funds are guided by the legal documents that govern the terms of such debt issuances. 3.0: PRUDENCE Investments should be made with judgment and care, under current prevailing circumstances, which persons of prudence, discretion and intelligence, exercise in the management of their own affairs, not for speculation, but for investment, considering the probable safety of their capital as well as the probable income to be derived. Attachment B OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 2 of 17 The standard of prudence to be used by investment officials shall be the “Prudent Person” and/or "Prudent Investor" standard (California Government Code 53600.3) and shall be applied in the context of managing an overall portfolio. Investment officers acting in accordance with written procedures and the investment policy and exercising due diligence shall be relieved of personal responsibility for an individual security's credit risk or market price changes, provided deviations from expectations are reported in a timely fashion and appropriate action is taken to control adverse developments. 4.0: OBJECTIVE As specified in the California Government Code 53600.5, when investing, reinvesting, purchasing, acquiring, exchanging, selling and managing public funds, the primary objectives, in priority order, of the investment activities shall be: 4.1) Safety: Safety of principal is the foremost objective of the investment program. Investments of the Otay Water District shall be undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio. To attain this objective, the District will diversify its investments by investing funds among a variety of securities offering independent returns and financial institutions. 4.2) Liquidity: The Otay Water District’s investment portfolio will remain sufficiently liquid to enable the District to meet all operating requirements which might be reasonably anticipated. 4.3) Return on Investment: The Otay Water District’s investment portfolio shall be designed with the objective of attaining a benchmark rate of return throughout budgetary and economic cycles, commensurate with the District’s investment risk constraints and the cash flow characteristics of the portfolio. 5.0 DELEGATION OF AUTHORITY Authority to manage the Otay Water District’s investment program is derived from the California Government Code, Sections 53600 through 53692. Management responsibility for the investment program is hereby OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 3 of 17 delegated to the Chief Financial Officer (CFO), who shall be responsible for all transactions undertaken and shall establish a system of controls to regulate the activities of subordinate officials and their procedures in the absence of the CFO. The CFO shall establish written investment policy procedures for the operation of the investment program consistent with this policy. Such procedures shall include explicit delegation of authority to persons responsible for investment transactions. No person may engage in an investment transaction except as provided under the terms of this policy and the procedures established by the CFO. 6.0: ETHICS AND CONFLICTS OF INTEREST Officers and employees involved in the investment process shall refrain from personal business activity that could conflict with the proper execution and management of the investment program, or that could impair their ability to make impartial investment decisions. Employees and investment officials shall disclose to the General Manager any material financial interests in financial institutions with which they conduct business. They shall further disclose any personal financial/investment positions that could be related to the performance of the investment portfolio. Employees and officers shall refrain from undertaking personal investment transactions with the same individual with whom business is conducted on behalf of the District. 7.0: AUTHORIZED FINANCIAL DEALERS AND INSTITUTIONS The Chief Financial Officer shall maintain a list of financial institutions authorized to provide investment services. In addition, a list will also be maintained of approved security broker/dealers who are authorized to provide investment services in the State of California. These may include “primary” dealers or regional dealers that qualify under Securities & Exchange Commission Rule 15C3-1 (Uniform Net Capital Rule). No public deposit shall be made except in a qualified public depository as established by state laws. All financial institutions and broker/dealers who desire to become qualified bidders for investment transactions must supply the District with the following, as appropriate: OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 4 of 17  Audited Financial Statements.  Proof of National Association of Security Dealers (NASD) certification.  Proof of state registration.  Completed broker/dealer questionnaire.  Certification of having read the District’s Investment Policy.  Evidence of adequate insurance coverage. An annual review of the financial condition and registrations of qualified bidders will be conducted by the CFO. A current audited financial statement is required to be on file for each financial institution and broker/dealer in which the District invests. 8.0: AUTHORIZED AND SUITABLE INVESTMENTS From the governing body perspective, special care must be taken to ensure that the list of instruments includes only those allowed by law and those that local investment managers are trained and competent to handle. The District is governed by the California Government Code, Sections 53600 through 53692, to invest in the following types of securities, as further limited herein: 8.01) United States Treasury Bills, Bonds, Notes or those instruments for which the full faith and credit of the United States are pledged for payment of principal and interest. There is no percentage limitation of the portfolio which can be invested in this category, although a five-year maturity limitation is applicable. 8.02) Local Agency Investment Fund (LAIF), which is a State of California managed investment pool, may be used up to the maximum permitted by State Law (currently $50 million). The District may also invest bond proceeds in LAIF with the same but independent maximum limitation. 8.03) Bonds, debentures, notes and other evidence of indebtedness issued by any of the following government agency issuers: OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 5 of 17  Federal Home Loan Bank (FHLB)  Federal Home Loan Mortgage Corporation (FHLMC or "Freddie Mac")  Federal National Mortgage Association (FNMA or "Fannie Mae")  Government National Mortgage Association (GNMA or “Ginnie Mae”)  Federal Farm Credit Bank (FFCB)  Federal Agricultural Mortgage Corporation ( FAMCA or “Farmer Mac”) There is no percentage limitation of the portfolio which can be invested in this category, although a five-year maturity limitation is applicable. Government agencies whose implied guarantee has been reduced or eliminated shall require an “A” rating or higher by a nationally recognized statistical rating organization. 8.04) Interest-bearing demand deposit accounts and Certificates of Deposit (CD) will be made only in Federal Deposit Insurance Corporation (FDIC) insured accounts. For deposits in excess of the insured maximum of $250,000, approved collateral shall be required in accordance with California Government Code, Section 53652. Investments in CD’s are limited to 15 percent of the District’s portfolio. 8.05) Commercial paper, which is short-term, unsecured promissory notes of corporate and public entities. Purchases of eligible commercial paper may not exceed 10 percent of the outstanding paper of an issuing corporation, and maximum investment maturity will be restricted to 270 days. Investment is further limited as described in California Government Code, Section 53601(h). Purchases of commercial paper may not exceed 10 percent of the District’s portfolio and no more than 10 percent of the outstanding commercial paper of any single issuer. 8.06) Medium-term notes defined as all corporate debt securities with a maximum remaining maturity of five years or less, and that meet the further requirements of California Government Code, Section 53601(k). Investments in medium-term notes are limited to 10 percent of the District’s portfolio. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 6 of 17 8.07) Money market mutual funds that invest only in Treasury securities and repurchase agreements collateralized with Treasury securities, and that meet the further requirements of California Government Code, Section 53601(l). Investments in money market mutual funds are limited to 10 percent of the District's portfolio. 8.08) The San Diego County Treasurer’s Pooled Money Fund, which is a County managed investment pool, may be used by the Otay Water District to invest excess funds. There is no percentage limitation of the portfolio which can be invested in this category. 8.09) Under the provisions of California Government Code 53601.6, the Otay Water District shall not invest any funds covered by this Investment Policy in inverse floaters, range notes, interest-only strips derived from mortgage pools, or any investment that may result in a zero interest accrual if held to maturity. Also, the borrowing of funds for investment purposes, known as leveraging, is prohibited. 9.0: INVESTMENT POOLS/MUTUAL FUNDS A thorough investigation of the pool/fund is required prior to investing, and on a continual basis. There shall be a questionnaire developed which will answer the following general questions:  A description of eligible investment securities, and a written statement of investment policy and objectives.  A description of interest calculations and how it is distributed, and how gains and losses are treated.  A description of how the securities are safeguarded (including the settlement processes), and how often the securities are priced and the program audited.  A description of who may invest in the program, how often, and what size deposits and withdrawals are allowed.  A schedule for receiving statements and portfolio listings.  Are reserves, retained earnings, etc., utilized by the pool/fund?  A fee schedule, and when and how is it assessed. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 7 of 17  Is the pool/fund eligible for bond proceeds and/or will it accept such proceeds? 10.0 COLLATERALIZATION Collateralization will be required on certificates of deposit exceeding the $250,000 FDIC insured maximum. In order to anticipate market changes and provide a level of security for all funds, the collateralization level will be 102% of market value of principal and accrued interest. Collateral will always be held by an independent third party with whom the entity has a current custodial agreement. A clearly marked evidence of ownership (safekeeping receipt) must be supplied to the entity and retained. The right of collateral substitution is granted. 11.0: SAFEKEEPING AND CUSTODY All security transactions entered into by the Otay Water District shall be conducted on a delivery-versus-payment (DVP) basis. Securities will be held by a third party custodian designated by the District and evidenced by safekeeping receipts. 12.0: DIVERSIFICATION The Otay Water District will diversify its investments by security type and institution, with limitations on the total amounts invested in each security type as detailed in Paragraph 8.0, above, so as to reduce overall portfolio risks while attaining benchmark average rate of return. With the exception of U.S. Treasury securities, government agencies, and authorized pools, no more than 50% of the District’s total investment portfolio will be invested with a single financial institution. 13.0: MAXIMUM MATURITIES To the extent possible, the Otay Water District will attempt to match its investments with anticipated cash flow requirements. Unless matched to a specific cash flow, the District will not directly invest in securities maturing more than five years from the date of purchase. However, for time deposits with banks or savings and loan OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 8 of 17 associations, investment maturities will not exceed two years. Investments in commercial paper will be restricted to 270 days. 14.0: INTERNAL CONTROL The Chief Financial Officer shall establish an annual process of independent review by an external auditor. This review will provide internal control by assuring compliance with policies and procedures. 15.0: PERFORMANCE STANDARDS The investment portfolio shall be designed with the objective of obtaining a rate of return throughout budgetary and economic cycles, commensurate with the investment risk constraints and the cash flow needs. The Otay Water District’s investment strategy is passive. Given this strategy, the basis used by the CFO to determine whether market yields are being achieved shall be the State of California Local Agency Investment Fund (LAIF) as a comparable benchmark. 16.0: REPORTING The Chief Financial Officer shall provide the Board of Directors monthly investment reports which provide a clear picture of the status of the current investment portfolio. The management report should include comments on the fixed income markets and economic conditions, discussions regarding restrictions on percentage of investment by categories, possible changes in the portfolio structure going forward and thoughts on investment strategies. Schedules in the quarterly report should include the following:  A listing of individual securities held at the end of the reporting period by authorized investment category.  Average life and final maturity of all investments listed.  Coupon, discount or earnings rate.  Par value, amortized book value, and market value.  Percentage of the portfolio represented by each investment category. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 9 of 17 17.0: INVESTMENT POLICY ADOPTION The Otay Water District’s investment policy shall be adopted by resolution of the District’s Board of Directors. The policy shall be reviewed annually by the Board and any modifications made thereto must be approved by the Board. 18.0: GLOSSARY See Appendix A. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 10 of 17 APPENDIX A: GLOSSARY ACTIVE INVESTING: Active investors will purchase investments and continuously monitor their activity, often looking at the price movements of their stocks many times a day, in order to exploit profitable conditions. Typically, active investors are seeking short term profits. AGENCIES: Federal agency securities and/or Government-sponsored enterprises. BANKERS’ ACCEPTANCE (BA): A draft or bill or exchange accepted by a bank or trust company. The accepting institution guarantees payment of the bill, as well as the issuer. BENCHMARK: A comparative base for measuring the performance or risk tolerance of the investment portfolio. A benchmark should represent a close correlation to the level of risk and the average duration of the portfolio’s investments. BROKER/DEALER: Any individual or firm in the business of buying and selling securities for itself and others. Broker/dealers must register with the SEC. When acting as a broker, a broker/dealer executes orders on behalf of his/her client. When acting as a dealer, a broker/dealer executes trades for his/her firm's own account. Securities bought for the firm's own account may be sold to clients or other firms, or become a part of the firm's holdings. CERTIFICATE OF DEPOSIT (CD): A short or medium term, interest bearing, FDIC insured debt instrument offered by banks and savings and loans. Money removed before maturity is subject to a penalty. CDs are a low risk, low return investment, and are also known as “time deposits”, because the account holder has agreed to keep the money in the account for a specified amount of time, anywhere from a few months to several years. COLLATERAL: Securities, evidence of deposit or other property, which a borrower pledges to secure repayment of a loan. Also refers to securities pledged by a bank to secure deposits of public monies. COMMERCIAL PAPER: An unsecured short-term promissory note, issued by corporations, with maturities ranging from 2 to 270 days. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 11 of 17 COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR): The official annual report for the Otay Water District. It includes detailed financial information prepared in conformity with generally accepted accounting principles (GAAP). It also includes supporting schedules necessary to demonstrate compliance with finance-related legal and contractual provisions, extensive introductory material, and a detailed statistical section. COUPON: (a) The annual rate of interest that a bond’s issuer promises to pay the bondholder on the bond’s face value. (b) A certificate attached to a bond evidencing interest due on a set date. DEALER: A dealer, as opposed to a broker, acts as a principal in all transactions, buying and selling for his own account. DEBENTURE: A bond secured only by the general credit of the issuer. DELIVERY VERSUS PAYMENT: There are two methods of delivery of securities: delivery versus payment and delivery versus receipt. Delivery versus payment is delivery of securities with an exchange of money for the securities. Delivery versus receipt is delivery of securities with an exchange of a signed receipt for the securities. DERIVATIVES: (1) Financial instruments whose return profile is linked to, or derived from, the movement of one or more underlying index or security, and may include a leveraging factor, or (2) financial contracts based upon notional amounts whose value is derived from an underlying index or security (interest rates, foreign exchange rates, equities or commodities). DISCOUNT: The difference between the cost price of a security and its maturity when quoted at lower than face value. A security selling below original offering price shortly after sale also is considered to be at a discount. DISCOUNT SECURITIES: Non-interest bearing money market instruments that are issued at a discount and redeemed at maturity for full face value, e.g., U.S. Treasury Bills. DIVERSIFICATION: Dividing investment funds among a variety of securities offering independent returns. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 12 of 17 FEDERAL CREDIT AGENCIES: Agencies of the Federal government set up to supply credit to various classes of institutions and individuals, e.g., S&L’s, small business firms, students, farmers, farm cooperatives, and exporters. FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC): A federal agency that insures deposits in member banks and thrifts, currently up to $100,000 per deposit. FEDERAL FARM CREDIT BANK (FFCB): The Federal Farm Credit Bank system supports agricultural loans and issues securities and bonds in financial markets backed by these loans. It has consolidated the financing programs of several related farm credit agencies and corporations. FEDERAL FUNDS RATE: The rate of interest at which Fed funds are traded. This rate is currently pegged by the Federal Reserve through open-market operations. Federal Agricultural Mortgage Corporation (FAMC or Farmer Mac): A stockholder owned, publicly-traded corporation that was established under the Agricultural Credit Act of 1987, which added a new Title VIII to the Farm Credit Act of 1971. Farmer Mac is a government sponsored enterprise, whose mission is to provide a secondary market for agricultural real estate mortgage loans, rural housing mortgage loans, and rural utility cooperative loans. The corporation is authorized to purchase and guarantee securities. Farmer Mac guarantees that all security holders will receive timely payments of principal and interest. FEDERAL HOME LOAN BANK (FHLB): Government sponsored wholesale banks (currently 12 regional banks), which lend funds and provide correspondent banking services to member commercial banks, thrift institutions, credit unions and insurance companies. FEDERAL HOME LOAN MORTGAGE CORPORATION (FHLMC or Freddie Mac): A stockholder owned, publicly traded company chartered by the United States federal government in 1970 to purchase mortgages and related securities, and then issue securities and bonds in financial markets backed by those mortgages in secondary markets. Freddie Mac, like its OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 13 of 17 competitor Fannie Mae, is regulated by the United States Department of Housing and Urban Development (HUD). FEDERAL NATIONAL MORTGAGE ASSOCIATION (FNMA or Fannie Mae): FNMA, like GNMA was chartered under the Federal National Mortgage Association Act in 1938. FNMA is a federal corporation working under the auspices of the Department of Housing and Urban Development (HUD). It is the largest single provider of residential mortgage funds in the United States. Fannie Mae is a private stockholder-owned corporation. The corporation’s purchases include a variety of adjustable mortgages and second loans, in addition to fixed-rate mortgages. FNMA’s securities are also highly liquid and are widely accepted. FNMA assumes and guarantees that all security holders will receive timely payment of principal and interest. FEDERAL RESERVE SYSTEM: The central bank of the United States created by Congress and consisting of a seven member Board of Governors in Washington, D.C., 12 regional banks and about 5,700 commercial banks that are members of the system. GOVERNMENT NATIONAL MORTGAGE ASSOCIATION (GNMA or Ginnie Mae): A government owned agency which buys mortgages from lending institutions, securitizes them, and then sells them to investors. Because the payments to investors are guaranteed by the full faith and credit of the U.S. Government, they return slightly less interest than other mortgage-backed securities. INTEREST-ONLY STRIPS: A mortgage backed instrument where the investor receives only the interest, no principal, from a pool of mortgages. Issues are highly interest rate sensitive, and cash flows vary between interest periods. Also, the maturity date may occur earlier than that stated if all loans within the pool are pre-paid. High prepayments on underlying mortgages can return less to the holder than the dollar amount invested. INVERSE FLOATER: A bond or note that does not earn a fixed rate of interest. Rather, the interest rate is tied to a specific interest rate index identified in the bond/note structure. The interest rate earned by the bond/note will move in the opposite direction of the index. An inverse floater increases the market rate risk and modified duration of the investment. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 14 of 17 LEVERAGE: Investing with borrowed money with the expectation that the interest earned on the investment will exceed the interest paid on the borrowed money. LIQUIDITY: A liquid asset is one that can be converted easily and rapidly into cash without a substantial loss of value. In the money market, a security is said to be liquid if the spread between bid and asked prices is narrow and reasonable size can be done at those quotes. LOCAL AGENCY INVESTMENT FUND (LAIF): The aggregate of all funds from political subdivisions that are placed in the custody of the State Treasurer for investment and reinvestment. MARKET VALUE: The price at which a security is trading and could presumably be purchased or sold. MASTER REPURCHASE AGREEMENT: A written contract covering all future transactions between the parties to repurchase/reverse repurchase agreements that establish each party’s rights in the transactions. A master agreement will often specify, among other things, the right of the buyer-lender to liquidate the underlying securities in the event of default by the seller borrower. MATURITY: The date upon which the principal or stated value of an investment becomes due and payable. MONEY MARKET: The market in which short-term debt instruments (bills, commercial paper, bankers’ acceptances, etc.) are issued and traded. MUTUAL FUNDS: An open-ended fund operated by an investment company which raises money from shareholders and invests in a group of assets, in accordance with a stated set of objectives. Mutual funds raise money by selling shares of the fund to the public. Mutual funds then take the money they receive from the sale of their shares (along with any money made from previous investments) and use it to purchase various investment vehicles, such as stocks, bonds, and money market instruments. MONEY MARKET MUTUAL FUNDS: An open-end mutual fund which invests only in money markets. These funds invest in short term (one day to one OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 15 of 17 year) debt obligations such as Treasury bills, certificates of deposit, and commercial paper. NATIONAL ASSOCIATION OF SECURITIES DEALERS (NASD): A self-regulatory organization of the securities industry responsible for the operation and regulation of the NASDAQ stock market and over-the-counter markets. Its regulatory mandate includes authority over firms that distribute mutual fund shares as well as other securities. PASSIVE INVESTING: An investment strategy involving limited ongoing buying and selling actions. Passive investors will purchase investments with the intention of long term appreciation and limited maintenance, and typically don’t actively attempt to profit from short term price fluctuations. Also known as a buy-and-hold strategy. PRIMARY DEALER: A designation given by the Federal Reserve System to commercial banks or broker/dealers who meet specific criteria, including capital requirements and participation in Treasury auctions. These dealers submit daily reports of market activity and positions and monthly financial statements to the Federal Reserve Bank of New York and are subject to its informal oversight. Primary dealers include Securities and Exchange Commission registered securities broker/dealers, banks, and a few unregulated firms. PRUDENT PERSON RULE: An investment standard. In some states the law requires that a fiduciary, such as a trustee, may invest money only in a list of securities selected by the custody state—the so-called legal list. In other states the trustee may invest in a security if it is one which would be bought by a prudent person of discretion and intelligence who is seeking a reasonable income and preservation of capital. PUBLIC SECURITIES ASSOCIATION (PSA): A trade organization of dealers, brokers, and bankers who underwrite and trade securities offerings. QUALIFIED PUBLIC DEPOSITORIES: A financial institution which does not claim exemption from the payment of any sales or compensating use or ad valorem taxes under the laws of this state, which has segregated for the benefit of the commission eligible collateral having a value of not less than its maximum liability and which has been approved by the Public Deposit Protection Commission to hold public deposits. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 16 of 17 RANGE NOTE: An investment whose coupon payment varies and is dependent on whether the current benchmark falls within a pre-determined range. RATE OF RETURN: The yield obtainable on a security based on its purchase price or its current market price. This may be the amortized yield to maturity on a bond the current income return. REGIONAL DEALER: A securities broker/dealer, registered with the Securities & Exchange Commission (SEC), who meets all of the licensing requirements for buying and selling securities. REPURCHASE AGREEMENT (RP OR REPO): A holder of securities sells these securities to an investor with an agreement to repurchase them at a fixed price on a fixed date. The security “buyer” in effect lends the “seller” money for the period of the agreement, and the terms of the agreement are structured to compensate him for this. Dealers use RP extensively to finance their positions. Exception: When the Fed is said to be doing RP, it is lending money that is increasing bank reserves. SAFEKEEPING: A service to customers rendered by banks for a fee whereby securities and valuables of all types and descriptions are held in the bank’s vaults for protection. SECONDARY MARKET: A market made for the purchase and sale of outstanding securities issues following their initial distribution. SECURITIES & EXCHANGE COMMISSION: Agency created by Congress to protect investors in securities transactions by administering securities legislation. SEC RULE 15C3-1: See Uniform Net Capital Rule. STRUCTURED NOTES: Notes issued by Government Sponsored Enterprises (FHLB, FNMA, FAMCA, etc.), and Corporations, which have imbedded options (e.g., call features, step-up coupons, floating rate coupons, derivative-based returns) into their debt structure. Their market performance is impacted by the fluctuation of interest rates, the volatility of the imbedded options and shifts in the shape of the yield curve. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised INVESTMENT POLICY 27 9/15/93 5/6/15 Page 17 of 17 TREASURY BILLS: A non-interest bearing discount security issued by the U.S. Treasury to finance the national debt. Most bills are issued to mature in three months, six months, or one year. TREASURY BONDS: Long-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities of more than 10 years. TREASURY NOTES: Medium-term coupon-bearing U.S. Treasury securities issued as direct obligations of the U.S. Government and having initial maturities from two to 10 years. UNIFORM NET CAPITAL RULE: Securities and Exchange Commission requirement that member firms as well as nonmember broker-dealers in securities maintain a maximum ratio of indebtedness to liquid capital of 15 to 1; also called net capital rule and net capital ratio. Indebtedness covers all money owed to a firm, including margin loans and commitments to purchase securities, one reason new public issues are spread among members of underwriting syndicates. Liquid capital includes cash and assets easily converted into cash. YIELD: The rate of annual income return on an investment, expressed as a percentage. (a) INCOME YIELD is obtained by dividing the current dollar income by the current market price for the security. (b) NET YIELD or YIELD TO MATURITY is the current income yield minus any premium above par or plus any discount from par in purchase price, with the adjustment spread over the period from the date of purchase to the date of maturity of the bond. INVESTMENT POLICY No. 27 and PERFORMANCE REVIEW May 6, 2015 Attachment C POLICY REVIEW Purpose: Annual Policy Review Delegation of Investment Authority INVESTMENT POLICY GUIDELINES A. California Government Code: Sections 53600 through 53692 B. Investment Policy Certification: Association of Public Treasurers of the United States & Canada (APT US&C) Benefits of Certification: •Trust and confidence that the District’s Investment Policy is a professionally accepted policy. •Assurance that the District is abiding by professional standards to ensure prudent management of public funds. POLICY CHANGES Changes have been made in the past when they were needed. There are no recommended changes to the Investment Policy. INVESTMENT OBJECTIVE To safeguard the principal, maintain liquidity and to achieve a market investment return. Fund Objectives (in order of priority) Safety Liquidity Yield Safety Category Safety Bank Deposits Amounts in excess of $250,000 FDIC limit are required by California Government Code to be 110% collateralized by the bank. LAIF Mandated by applicable state statutes* and state law, invested in a conservative manner and limits the investments to fixed- income securities. County Pool Mandated by state law, invested in a conservative manner and limits the investments to fixed-income securities. S&P Rating of AAAf/S1, which indicates extremely strong protection against losses and low sensitivity to changing market conditions. GSEs Guaranteed by the Federal Government. *Applicable State Statutes •No. California Government Code 16429.3 states that monies placed with the Treasurer for deposit in the LAIF by cities, counties, special districts, nonprofit corporations, or qualified quasi-governmental agencies shall not be subject to either of the following:(a) Transfer or loan pursuant to Sections 16310, 16312, or 16313. (b) Impoundment or seizure by any state official or state agency. •California Government Code 16429.4 states that the right of a city, county, city and county, special district, nonprofit corporation, or qualified quasi-governmental agency, to withdraw its deposited money from the LAIF upon demand may not be altered, impaired, or denied in any way by any state official or state agency based upon the States failure to adopt a State Budget by July 1 of each new fiscal year. Liquidity Category Availability Bank Deposits Immediately LAIF Same day County Pool 2-3 days GSE’s Can be converted to cash in 2-3 days Maintain highly liquid investments with a hold strategy Annual Yield Performance YTD as of February 28th: FY15 FY14 Otay 0.64% 0.37% LAIF 0.27% 0.26% County Pool 0.48% 0.42% Cash Management On a daily basis the District reconciles cash and performs a rolling 7 day forecast. On a monthly basis the District performs a 30 day forecast. Levels by Investment Type Category Target Levels Bank Deposits Outstanding checks and current days electronic payments. LAIF Short-term (30-60 days) obligations. County Pool Amounts in excess of bank deposit and LAIF targets that are to be invested using the laddering approach or fund short-term obligations such as current year debt payments. GSE’s Target 2-3 year issuances with a laddering approach. INVESTMENT PORTFOLIO Authorized $(‘000s) $ / % Actual % LAIF (Operating) $8,586 $50 Mil 10.16% Govt. Agency Bonds $63,738 100% 75.42% Bank Deposits & CDs $893 15% 1.06% San Diego County Pool $11,294 50% 13.36% TOTAL: $84,511 as of February 28th REQUESTED BOARD ACTION Re-delegate authority for all investment related activities to the Chief Financial Officer (CFO) in accordance with Government Code Section 53607. Questions? STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: May 6, 2015 SUBMITTED BY: Rita Bell, Finance Manager PROJECT: DIV. NO. All APPROVED BY: Joseph R. Beachem, Chief Financial Officer German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Resolutions as Required by the Water Code and Government Code, to Confirm the Exclusion of Parcels from Water Improvement Districts (ID) 1,2,3,5,7,9,10 and 20 and Annexations into ID 22; and Sewer IDs 4 and 14 and Annexations into ID 18 GENERAL MANAGER’S RECOMMENDATION: That the Board approve the attached Resolution Nos. 4268, 4269, 4270, 4271, 4272, 4273, 4274, 4275, 4276 and 4277, which are necessary to complete the process for the exclusion of parcels within Water Improvement Districts (IDs) 1,2,3,5,7,9,10 and 20 and Sewer IDs 4 and 14. Concurrent with said action, that the Board also approve the attached Resolutions Nos. 4278, 4279, 4280, 4281, 4282, 4283, 4284, 4285, 4286 and 4287, which are necessary to complete the process for the annexation of the excluded parcels in Water IDs 1,2,3,5,7,9,10 and 20 into ID 22; and Sewer IDs 4 and 14 into ID 18. PURPOSE: That the Board authorize and confirm the exclusion of parcels within Water Improvement Districts (IDs) 1,2,3,5,7,9,10 and 20 and Sewer IDs 4 and 14 and the annexation of those parcels into Water ID 22 and Sewer ID 18, respectively. ANALYSIS: On March 4, 2015 the Board took action on the first of two steps to complete this consolidation, declaring its intention to exclude and subsequently annex certain parcels and initiating the process to do so. The Board then directed staff to move forward with the consolidation process. Staff has published and posted the resolutions as required by statute, from April 20, 2015 through May 7, 2015. Therefore, the Board has the ability to confirm the exclusions and annexations at this Board meeting, provided there are not written protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. The exclusions and the annexations will then become effective on July 1, 2015. The availability fees are identical between Water IDs 1,2,3,5,7,9,10,20 and 22; except for 62 parcels within ID 1; and 6 parcels within ID 5; and identical between Sewer IDs 4, 14 and 18. Therefore, staff has determined there is no longer a reason to separate these parcels. This will streamline the accounting and tracking of these parcels within the District’s various information systems. Because the proposed consolidation technically imposes a “new” charge on customers, to be in compliance with the Proposition 218 requirements, notices were sent to all customers within these IDs to inform them of their option to protest the consolidation of IDs. The required public hearing will take place at the May 6, 2015 Board meeting. Staff has completed the required publication and posting per Government Code section 6066 and Water Code sections 72084, 72707, and 72703. Having complied with such requirements, this second set of resolutions is being presented to confirm the exclusions and annexations. A subsequent action will request that Water IDs 1, 2,3,5,7,9,10 and 20, and Sewer IDs 4 and 14 be dissolved effective July 1, 2015. FISCAL IMPACT: Joe Beachem, Chief Financial Officer It is estimated that there will be savings to the District of 118 staff hours estimated at a cost of $17,057. Additionally, the increase in the availability fees collected in IDs 1 and 5 would be approximately $5,888 should none of the parcels quality for the newly allowed exemptions. 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) Water ID Consolidation Map C) Sewer ID Consolidation Map D) Resolution No. 4268 Exhibit A – Legal Description ID 1 E) Resolution No. 4269 Exhibit A – Legal Description ID 2 F) Resolution No. 4270 Exhibit A – Legal Description ID 3 G) Resolution No. 4271 Exhibit A – Legal Description ID 5 H) Resolution No. 4272 Exhibit A – Legal Description ID 7 I) Resolution No. 4273 Exhibit A – Legal Description ID 9 J) Resolution No. 4274 Exhibit A – Legal Description ID 10 K) Resolution No. 4275 Exhibit A – Legal Description ID 20 L) Resolution No. 4276 Exhibit A – Legal Description ID 4 M) Resolution No. 4277 Exhibit A – Legal Description ID 14 N) Resolution No. 4278 Exhibit A – Legal Description ID 1 O) Resolution No. 4279 Exhibit A – Legal Description ID 2 P) Resolution No. 4280 Exhibit A – Legal Description ID 3 Q) Resolution No. 4281 Exhibit A – Legal Description ID 5 R) Resolution No. 4282 Exhibit A – Legal Description ID 7 S) Resolution No. 4283 Exhibit A – Legal Description ID 9 T) Resolution No. 4284 Exhibit A – Legal Description ID 10 U) Resolution No. 4285 Exhibit A – Legal Description ID 20 V) Resolution No. 4286 Exhibit A – Legal Description ID 4 W) Resolution No. 4287 Exhibit A – Legal Description ID 14 ATTACHMENT A SUBJECT/PROJECT: Resolutions as Required by the Water Code and Government Code, to Confirm the Exclusion of Parcels from Water Improvement Districts (ID) 1,2,3,5,7,9,10 and 20 and Annexations into ID 22; and Sewer IDs 4 and 14 and Annexations into ID 18 COMMITTEE ACTION: The Finance, Administration and Communications Committee recommend that the Board adopt the attached Resolution Nos. 4268, 4269, 4270, 4271, 4272, 4273, 4274, 4275, 4276 and 4277, which are necessary to complete the process for the exclusion of parcels within Improvement Districts (IDs) 1,2,3,5,7,9,10 and 20; and Sewer IDs 4 and 14. Concurrent with said action, that the Board also approve the attached Resolutions Nos. 4278, 4279, 4280, 4281, 4282, 4283, 4284, 4285, 4286 and 4287, which are necessary to complete the process for the annexation of the excluded parcels in water IDs 1,2,3,5,7,9,10 and 20 into ID 22; and Sewer IDs 4 and 14 into ID 18. 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. OTAY WATER DISTRICTCONSOLIDATION OF WATER IMPROVEMENT DISTRICTS P:\DRAFTING DEPARTMENT\Info for Others\OWD\Finance\Water ID Consolidation\Water ID Consolidation.mxd ^_ ÃÅ94 ÃÅ125 ÃÅ94 ÃÅ125 ÃÅ905 ÃÅ905 §¨¦8 §¨¦805 §¨¦5 §¨¦5 1 1 2 LA MESA EL CAJON JAMUL SAN DIEGO BONITA CHULA VISTA ÃÅ125 ÃÅ54 SAN DIEGO MEXICO 3 7 9 20 2 3 1 10 22 20 2 10 5 3 1 10 1 5 Legend ^_OWD Headquarters OWD Boundary Improvement District 1 Improvement District 2 Improvement District 3 Improvement District 5 Improvement District 7 Improvement District 9 Improvement District 10 Improvement District 20 Improvement District 22 Non-Annexed Areas FEBRUARY 2015 EXISTING WATER IMPROVEMENT DISTRICTS ^_ ÃÅ94 ÃÅ125 ÃÅ94 ÃÅ125 ÃÅ905 ÃÅ905 §¨¦8 §¨¦805 §¨¦5 §¨¦5 LA MESA EL CAJON JAMUL SAN DIEGO BONITA CHULA VISTA ÃÅ125 ÃÅ54 SAN DIEGO MEXICO 22 22 22 22 PROPOSED CONSOLIDATION OFWATER IMPROVEMENT DISTRICTS Legend ^_OWD Headquarters OWD Boundary Improvement District 22 (Consolidated) Non-Annexed Areas 0 21 Miles F 0 21 Miles F Jamacha Rd E . H S tre e t L y o n s V alle y R d Hillsdale Rd Oly m pic Pkwy Otay Mesa Rd Airway Rd Cactus Rd Jamacha Rd E. H St r e et L y o n s V alle y R d Hillsdale Rd Olym pic Pkwy Otay Mesa Rd Airway Rd Cactus Rd Ota y Lakes Rd O t a y Lakes Rd OTAY WATER DISTRICTCONSOLIDATION OF SEWER IMPROVEMENT DISTRICTS P:\DRAFTING DEPARTMENT\Info for Others\OWD\Finance\Sewer ID Consolidation\Sewer ID Consolidation.mxd ^_ ÃÅ94 ÃÅ94 §¨¦8 EL CAJON JAMUL 18 18 14 18 4 4 Jamacha Rd Hillsdale Rd Avocado Blvd Fury Lane C hase A v e Ja m acha Blvd 4 18 18 1818 18 18 Willo w Glen Dr Wi llow Gle n Dr Dehesa Rd Sweetwater Springs Blvd Ste ele C a n y o n R d Fury Lane Legend ^_OWD Headquarters OWD Boundary Sewer Improvement District 4 Sewer Improvement District 14 Sewer Improvement District 18 Non-Annexed Sewer Areas FEBRUARY 2015 EXISTING SEWER IMPROVEMENT DISTRICTS 0 0.50.25 Miles F^_ VICINITY MAP NTS ?ò Aä%&s ?Ë F LA MESA EL CAJON JAMUL SANDIEGO BONITA CHULA VISTA SANDIEGO MEXICO ^_ ÃÅ94 ÃÅ94 §¨¦8 EL CAJON JAMUL 18 18 18 18 Jamacha Rd Hillsdale Rd Avocado Blvd Fury Lane C hase A v e Ja m acha Blvd 18 18 18 18 18 18 Willo w Gle n Dr Wi llow Gle n Dr Dehesa Rd Sweetwater Springs Blvd Ste ele C a n y o n R d Fury Lane PROPOSED CONSOLIDATION OFSEWER IMPROVEMENT DISTRICTS ^_ VICINITY MAP NTS ?ò Aä%&s ?Ë F LA MESA EL CAJON JAMUL SANDIEGO BONITA CHULA VISTA SANDIEGO MEXICO Legend ^_OWD Headquarters OWD Boundary Sewer Improvement District 18 (Consolidated) Non-Annexed Sewer Areas 0 0.50.25 Miles F 1 RESOLUTION NO. 4268 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 1 WHEREAS, on January 27, 1958 by Resolution No. 32, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) ID 1 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on June 5, 1972 by Resolution No. 968, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 1 and 22 for parcels less than one acre; however, there are 62 parcels larger than one acre in ID 1 for which the water availability fees will increase to make the fees consistent with all other parcels within IDs in the Otay Water District boundaries; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4257, the Board initiated proceedings to consolidate ID 1 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 1 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 1 and annexed Attachment D 2 into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there were nine protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Water District, ID 1 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 1, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 1, as identified in Exhibit A, to this resolution. 2. That the exclusion of parcels within ID 1, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 1 and 22. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 1 will become effective on July 1, 2015. 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 1 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 1 SHALL BE EXCLUDED FROM EXISTING ID 1 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 1 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4268 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 1. CONTAINING 2,177 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4269 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 2 WHEREAS, on June 17, 1958 by Resolution No. 4, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 2 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on June 5, 1972 by Resolution No. 968, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 2 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4248, the Board initiated proceedings to consolidate ID 2 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 2 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 2 and annexed into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there were no protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment E 2 Water District, ID 2 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 2, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 2, as identified in Exhibit A to this resolution. 2. That the exclusion of parcels within ID 2, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 2 and 22. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 2 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 2 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 2 SHALL BE EXCLUDED FROM EXISTING ID 2 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 2 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4269 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 2. CONTAINING 4,073 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4270 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 3 WHEREAS, on November 18, 1958, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 3 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 3 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4249, the Board initiated proceedings to consolidate ID 3 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 3 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 3 and annexed into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there were two protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment F 2 Water District, ID 3 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 3, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 3, as identified in Exhibit “A” to this resolution. 2. That the exclusion of parcels within ID 3, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 3 and 22. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 3 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 3 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 3 SHALL BE EXCLUDED FROM EXISTING ID 3 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 3 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4270 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 3. CONTAINING 2,907 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4271 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 5 WHEREAS, on November 28, 1960 by Resolution No. 123, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) ID 5 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on June 5, 1972 by Resolution No. 968, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 5 and 22 for parcels less than one acre; however, there are 6 parcels larger than one acre in ID 5 for which the water availability fees will increase to make the fees consistent with all other parcels within IDs in the Otay Water District boundaries; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4260, the Board initiated proceedings to consolidate ID 5 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 5 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 5 and annexed Attachment G 2 into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there were no protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Water District, ID 5 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 5, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 5, as identified in Attachment B to this resolution. 2. That the exclusion of parcels within ID 5, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 5 and 22 for parcels less than one acre; however, there are 6 parcels larger than one acre in ID 5 for which the water availability fees will increase to make the fees consistent with all other parcels within IDs in the Otay Water District boundaries; and 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 5 will become effective on July 1, 2015. 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 5 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 5 SHALL BE EXCLUDED FROM EXISTING ID 5 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 5 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4271 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 5. CONTAINING 487 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4272 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 7 WHEREAS, on March 27, 1961 by Resolution No. 142, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 7 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 7 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4262, the Board initiated proceedings to consolidate ID 7 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 7 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 7 and annexed into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there was one protest regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment H 2 Water District, ID 7 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 7, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 7, as identified in Attachment B to this resolution. 2. That the exclusion of parcels within ID 7, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 7 and 22. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 7 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 7 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 7 SHALL BE EXCLUDED FROM EXISTING ID 7 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 7 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4272 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 7. CONTAINING 7,622 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4273 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 9 WHEREAS, on July 24, 1961 by Resolution No. 153, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 9 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 9 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4262, the Board initiated proceedings to consolidate ID 9 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 9 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 9 and annexed into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there was one protest regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment I 2 Water District, ID 9 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 9, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 9, as identified in Exhibit A to this resolution. 2. That the exclusion of parcels within ID 9, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 9 and 22. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 9 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 9 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 9 SHALL BE EXCLUDED FROM EXISTING ID 9 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 9 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4273 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 9. CONTAINING 7,075 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4274 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 10 WHEREAS, on February 11, 1963 by Resolution No. 266, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 10 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 10 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4263, the Board initiated proceedings to consolidate ID 10 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 10 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 10 and annexed into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there were two protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment J 2 Water District, ID 10 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 10, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 10, as identified in Exhibit A to this resolution. 2. That the exclusion of parcels within ID 10, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 10 and 22. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 10 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 10 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 10 SHALL BE EXCLUDED FROM EXISTING ID 10 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 10 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4274 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 10. CONTAINING 2,007 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4275 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 20 WHEREAS, on April 19, 1971 by Resolution No. 874, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 20 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 20 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4219, the Board initiated proceedings to consolidate ID 20 into ID 22 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 20 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 20 and annexed into ID 22 at its May 6, 2015 Board meeting, where the Board determined that there were three protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment K 2 Water District, ID 20 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 20, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 20, as identified in Exhibit A to this resolution. 2. That the exclusion of parcels within ID 20, with an eye towards annexing them to ID 22, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 20 and 22. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 20 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 20 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 20 SHALL BE EXCLUDED FROM EXISTING ID 20 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 20 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4275 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 20. CONTAINING 6,859 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4276 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 4 WHEREAS, on August 4, 1959 by Resolution No. 83, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 4 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of sewer improvements and works; and WHEREAS, on February 16, 1970 by Resolution No. 758, the Board formed ID 18 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of sewer improvements and works; and WHEREAS, the availability fees are identical between IDs 4 and 18; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4219, the Board initiated proceedings to consolidate ID 4 into ID 18 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 4 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 18, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 4 and annexed into ID 18 at its May 6, 2015 Board meeting, where the Board determined that there were no protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment L 2 Sewer District, ID 4 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 4, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 4, as identified in Attachment C to this resolution. 2. That the exclusion of parcels within ID 4, with an eye towards annexing them to ID 18, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 4 and 18. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 4 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT (ID) ID 4 INTO ID 18 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT 4 SHALL BE EXCLUDED FROM EXISTING ID 4 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 18. THE CONSOLIDATION OF EXISTING ID 4 INTO EXISTING ID 18 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4276 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 4. CONTAINING 348 ACRES OF LAND, MORE OR LESS. 1 RESOLUTION NO. 4277 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 14 WHEREAS, on June 10, 1968 by Resolution No. 586, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 14 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of sewer improvements and works; and WHEREAS, on February 16, 1970 by Resolution No. 758, the Board formed ID 18 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of sewer improvements and works; and WHEREAS, the availability fees are identical between IDs 14 and 18; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015 by Resolution No. 4219, the Board initiated proceedings to consolidate ID 14 into ID 18 to streamline the accounting and tracking of these parcels by declaring, by its own motion, its intention to exclude parcels in ID 14 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 18, including ordering a public hearing on said exclusion and directing staff to provide statutorily-required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees for the parcels excluded from ID 14 and annexed into ID 18 at its May 6, 2015 Board meeting, where the Board determined that there were no protests regarding this action and approved the new fees; and WHEREAS, on May 6, 2015 at 3:30 p.m., a hearing was held by the Board on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Attachment M 2 Sewer District, ID 14 and the territory to be excluded, where at such time and place, any persons interested, including all persons owning property in the Otay Water District or in ID 14, were heard and allowed to appear and present any matters material to the questions set forth in the resolution of intention to exclude. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter, does hereby determine that it is desirable to exclude parcels within ID 14, as identified in Attachment C to this resolution. 2. That the exclusion of parcels within ID 14, with an eye towards annexing them to ID 18, is desirable to streamline the accounting and tracking of these parcels, given that the availability fees are identical between IDs 14 and 18. 3. That a map showing the exterior boundaries of the proposed territory to be excluded, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the then existing improvement district. 4. The exclusion of parcels within ID 14 will become effective on July 1, 2015. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT (ID) ID 14 INTO ID 18 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT 14 SHALL BE EXCLUDED FROM EXISTING ID 14 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 18. THE CONSOLIDATION OF EXISTING ID 14 INTO EXISTING ID 18 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4277 APPROVING THE EXCLUSION OF PARCELS WITHIN ID 14. CONTAINING 644 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4278 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 1 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on January 27, 1958 by Resolution No. 32, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 1 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on June 5, 1972, by Resolution No. 968, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 1 and 22 for parcels less than one acre; however, there are 62 parcels larger than one acre in ID 1 for which the water availability fees will increase to make the fees consistent with all other parcels within IDs in the Otay Water District boundaries; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4247, the Board initiated proceedings to consolidate ID 1 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 1, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if Attachment N Page 2 of 3 any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 1 into ID 22, as described in Attachment B pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 1 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 1 and 22 for parcels less than one acre; however, there are 62 parcels larger than one acre in ID 1 for which the water availability fees will increase to make the fees consistent with all other parcels within IDs in the Otay Water District boundaries. 3. A depiction of the area to be annexed, and the boundaries of IDs 1 and 22 following the annexation, is set forth on a map in Attachment B filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. Page 3 of 3 (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 1 becomes effective. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 1 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 1 SHALL BE EXCLUDED FROM EXISTING ID 1 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 1 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4278 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 2,177 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4279 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 2 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on June 17, 1958 by Resolution No. 4, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 2 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on June 5, 1972 by Resolution No. 968, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 2 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4248, the Board initiated proceedings to consolidate ID 2 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 2, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment O Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 2 into ID 22, as described in Exhibit A to this resolution, pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 2 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 2 and 22. 3. A depiction of the area to be annexed, and the boundaries of IDs 2 and 22 following the annexation, is set forth on a map in Attachment B, filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 2 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 2 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 2 SHALL BE EXCLUDED FROM EXISTING ID 2 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 2 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4279 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 4,073 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4280 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 3 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on November 18, 1958 by Resolution No. 51, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 3 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 3 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4270, the Board initiated proceedings to consolidate ID 3 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 3, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment P Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 3 into ID 22, as described in Exhibit A to this resolution, pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 3 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 3 and 22. 3. A depiction of the area to be annexed, and the boundaries of IDs 3 and 22 following the annexation, is set forth on a map in Attachment “B,” filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 3 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 3 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 3 SHALL BE EXCLUDED FROM EXISTING ID 3 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 3 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4280 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 2,907 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4281 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 5 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on November 28, 1960 by Resolution No. 123, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 5 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on June 5, 1972, by Resolution No. 968, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 5 and 22 for parcels less than one acre; however, there are 6 parcels larger than one acre in ID 5 for which the water availability fees will increase to make the fees consistent with all other parcels within IDs in the Otay Water District boundaries; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4250, the Board initiated proceedings to consolidate ID 5 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 5, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if Attachment Q Page 2 of 3 any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 5 into ID 22, as described in Attachment B pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 5 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 5 and ID 22 for parcels less than one acre; however, there are 6 parcels larger than one acre in ID 5 for which the water availability fees will increase to make the fees consistent with all other parcels within IDs in the Otay Water District boundaries. 3. A depiction of the area to be annexed, and the boundaries of IDs 5 and ID 22 following the annexation, is set forth on a map in Attachment B filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. Page 3 of 3 (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 5 becomes effective. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 5 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 5 SHALL BE EXCLUDED FROM EXISTING ID 5 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 5 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4281 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 487 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4282 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 7 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on March 27, 1961, by Resolution No. 142, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 7 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 7 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4251, the Board initiated proceedings to consolidate ID 7 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 7, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment R Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 7 into ID 22, as described in Attachment B, pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 7 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 7 and 22. 3. A depiction of the area to be annexed, and the boundaries of IDs 7 and 22 following the annexation, is set forth on a map in Attachment B filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 7 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 7 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 7 SHALL BE EXCLUDED FROM EXISTING ID 7 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 7 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4282 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 7,622 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4283 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 9 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on July 24, 1961 by Resolution No. 153, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 9 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 9 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4252, the Board initiated proceedings to consolidate ID 9 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 9, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment S Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 9 into ID 22, as described in Exhibit A, pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 9 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 9 and 22. 3. A depiction of the area to be annexed, and the boundaries of IDs 9 and 22 following the annexation, is set forth on a map in Attachment B filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 9 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 9 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 9 SHALL BE EXCLUDED FROM EXISTING ID 9 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 9 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4283 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 7,075 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4284 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 10 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on February 11, 1963 by Resolution No. 266, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 10 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 10 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4253, the Board initiated proceedings to consolidate ID 10 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 10, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment T Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 10 into ID 22, as described in Exhibit “A,” pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 10 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 10 and 22. 3. A depiction of the area to be annexed, and the boundaries of IDs 10 and 22 following the annexation, is set forth on a map in Attachment B, filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 10 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 10 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 10 SHALL BE EXCLUDED FROM EXISTING ID 10 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 10 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4284 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 2,007 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4285 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 20 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on April 19, 1971 by Resolution No. 874, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 20 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability fees are identical between IDs 20 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4221, the Board initiated proceedings to consolidate ID 20 into ID 22 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 20, if approved, into ID 22, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment U Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 20 into ID 22, as described in Exhibit “A,” pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 20 and to be annexed into ID 22 will be benefited thereby, and that ID 22 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 20 and 22. 3. A depiction of the area to be annexed, and the boundaries of IDs 20 and 22 following the annexation, is set forth on a map in Exhibit “B” filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 20 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT (ID) ID 20 INTO ID 22 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT WATER IMPROVEMENT DISTRICT 20 SHALL BE EXCLUDED FROM EXISTING ID 20 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 22. THE CONSOLIDATION OF EXISTING ID 20 INTO EXISTING ID 22 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4285 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 22. CONTAINING 6,859 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4286 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 4 INTO IMPROVEMENT DISTRICT 18 WHEREAS, on August 4, 1959 by Resolution No. 83, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 4 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of sewer improvements and works; and WHEREAS, on February 16, 1970 by Resolution No. 758, the Board formed ID 18 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of sewer improvements and works; and WHEREAS, the availability fees are identical between IDs 4 and 18; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4221, the Board initiated proceedings to consolidate ID 4 into ID 18 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 4, if approved, into ID 18, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment V Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 4 into ID 18, as described in Exhibit “A,” pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 4 and to be annexed into ID 18 will be benefited thereby, and that ID 18 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 4 and 18. 3. A depiction of the area to be annexed, and the boundaries of IDs 4 and 18 following the annexation, is set forth on a map in Attachment C, filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that sewer service is to be provided, the payment of all sewer capacity fees per Equipment Dwelling Unit (EDU) at the time the service is requested. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 4 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT (ID) ID 4 INTO ID 18 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT 4 SHALL BE EXCLUDED FROM EXISTING ID 4 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 18. THE CONSOLIDATION OF EXISTING ID 4 INTO EXISTING ID 18 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4286 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 18. CONTAINING 348 ACRES OF LAND, MORE OR LESS. Page 1 of 3 RESOLUTION NO. 4287 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT APPROVING THE ANNEXATION OF PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT (ID) 14 INTO IMPROVEMENT DISTRICT 18 WHEREAS, on June 10, 1968 by Resolution No. 586, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 14 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of sewer improvements and works; and WHEREAS, on February 16, 1970 by Resolution No. 758, the Board formed ID 18 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of sewer improvements and works; and WHEREAS, the availability fees are identical between IDs 14 and 18; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, on March 4, 2015, by Resolution No. 4221, the Board initiated proceedings to consolidate ID 14 into ID 18 to streamline the accounting and tracking of these parcels by declaring its intention to annex parcels excluded from ID 14, if approved, into ID 18, pursuant to Water Code sections 72700, et seq., including ordering a public hearing on said annexation and directing staff to provide statutorily- required notice for the hearing; and WHEREAS, in compliance with Proposition 218, the Board held the required public hearing on May 6, 2015, a hearing at which the Board received written protests, if any, theretofore filed with the Secretary of the District, received additional written protests, if any, and heard from any and all persons interested in the annexation, where Attachment W Page 2 of 3 the Board determined that there were no protests filed by the holders of title of one-half of the value of the territory proposed to be annexed. NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, following a public hearing on the matter where written protests were not made by the owners of one-half of the value of the territory proposed to be annexed, does hereby confirm the annexation of parcels excluded from ID 14 into ID 18, as described in Exhibit “A,” pursuant to Water Code sections 72700, et seq. 2. That the Board determines from the evidence presented at the hearing that the parcels excluded from ID 14 and to be annexed into ID 18 will be benefited thereby, and that ID 18 will also be benefited thereby and will not be injured thereby, because of the streamlining of accounting and tracking of these parcels and because the availability fees are identical between IDs 14 and 18. 3. A depiction of the area to be annexed, and the boundaries of IDs 14 and 18 following the annexation, is set forth on a map in Attachment C, filed with the Secretary of the District, which map shall govern for all details as to the area to be annexed. 4. That the terms and conditions for the annexation of said parcels is as follows, with the owners required to: (a) Pay yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (b) In the event that sewer service is to be provided, the payment of all sewer capacity fees per Equipment Dwelling Unit (EDU) at the time the service is requested. 5. That the annexation shall become effective on July 1, 2015, on the date the exclusion of parcels from ID 14 becomes effective. Page 3 of 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May, 2015. President ATTEST: __________________________________ District Secretary EXHIBIT A CONSOLIDATION OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT (ID) ID 14 INTO ID 18 LEGAL DESCRIPTION THE TERRITORY WITHIN THE EXISTING BOUNDARIES OF OTAY WATER DISTRICT SEWER IMPROVEMENT DISTRICT 14 SHALL BE EXCLUDED FROM EXISTING ID 14 AND THE EXCLUDED PARCELS SHALL BE ANNEXED INTO EXISTING ID 18. THE CONSOLIDATION OF EXISTING ID 14 INTO EXISTING ID 18 SHALL BECOME EFFECTIVE JULY 1, 2015, FOLLOWING THE OTAY WATER DISTRICT BOARD OF DIRECTORS ADOPTING RESOLUTION NO. 4287 APPROVING THE ANNEXATION OF THE EXCLUDED PARCELS INTO ID 18. CONTAINING 644 ACRES OF LAND, MORE OR LESS. STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: May 6, 2015 PROJECT: DIV. NO.: ALL SUBMITTED BY: Michael Kerr, Information Technology Manager APPROVED BY: Adolfo Segura, Assistant Chief, Admin and IT Services Geoff Stevens, Chief Information Officer German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: INFORMATION TECHNOLOGY RELATED SERVICE CONTRACTS FOR FY 2016 GENERAL MANAGER’S RECOMMENDATION: That the Board authorize the General Manager to negotiate and enter into the following agreements: 1. One (1) year service agreements with: a. AT&T in the amount of $125,000 for local and long-distance telephone and internet service. b. Verizon Wireless in the amount of $85,000 for cellular phone, wireless modem service and equipment. c. Tyler Technologies in the amount of $127,000 for ERP/Financial software maintenance costs and annual technical support. d. Azteca Cityworks in the amount of $90,000 for software and maintenance for the District’s asset and work management system. 2. Three (3) year service agreement with: a. CompuCom, Inc. in the amount of $180,000 ($60,000 annually) for Microsoft Software Licenses, upgrades, and maintenance service. COMMITTEE ACTION: Please see “Attachment A”. PURPOSE: To authorize the purchase of equipment and services necessary to support the District’s business and technology operations and to enhance enterprise system architecture to meet emerging service needs as identified in the District’s Strategic Plan. ANALYSIS: The IT department presents to the Board specific technology related expenses that require Board approval as they exceed the General Manager’s signature authority of $50,000 for a specific contract. These contracts and purchases are required to either operate the District’s technology environment or to make planned technology related infrastructure improvements. Each item requiring the District to issue a purchase order or contract for greater than $50,000 is described in detail in the following section. All of the items in this staff report are specifically itemized in the FY 2016 budget as well. By presenting these items collectively, staff would like to provide to the Board a more detailed view of expenses related to the District’s information systems. All purchasing guidelines have been met for the specific items in this report. Where possible, items have been competitively bid. Certain items, such as software licenses and vendor support, are sole source contracts, as only one vendor can support the product. Certain items are also purchased utilizing pricing provided in state authorized competitive contracts, primarily CALNET and WSCA (state and regional wide agreements which guarantees competitive pricing). Where possible, agreements will utilize the District’s standard contract form, which provides the ability to terminate the agreement with or without cause upon 60-day notice. Contracts for software licenses and support are generally not open to negotiation and the manufacturer’s standard one (1) year agreement will be utilized. The following are detailed descriptions of the specific requests: Explanation of Costs Software and Support Agreements: AT&T, $125,000 - This item covers the purchase of telephone, facility connectivity and internet services to support all District operations. This item utilizes CALNET pricing which has been competitively bid by the State of California. Funds for these services are allocated in the IT O&M budget. Verizon Wireless, $85,000 – This item covers cellular phone, wireless modem, and equipment service for District operations. Other main-stream carriers offered similar competitive device and service pricing via the Western States Contracting Alliance (WSCA) contract, however, staff selected Verizon based on the on-going reliability and signal coverage throughout the District’s service footprint. Although Verizon was not the lowest submitted quote, staff determined that the minor savings does not outweigh the internal work efforts, training, and time required to replace devices across the District. In addition, the discount given to the District using WSCA is 22 percent off of the standard pricing. The District’s inventory is as follows: 77 iPhones for staff use (administrative and field use) and 94 wireless 3G/4G devices and service for mobile air cards, hot-spots, field connectivity and remote monitoring of SCADA and alarm systems. Funds for this item are allocated in the IT O&M budget. Eden Tyler Technologies, $127,000 – This item covers yearly required software maintenance for the District’s enterprise resource planning (ERP) software suite, which includes Utility Billing, Financial, Human Resources and Permitting Systems. The ERP software suite is exclusively owned and licensed by Tyler Technologies. The yearly maintenance fee includes all core licensing, software support to include required annual service packs and technical support for all software modules. This item is a sole source contract as only the product vendor is authorized to provide maintenance support. Funds for this item are allocated in the IT O&M budget. Microsoft Software Licenses, $180,000 ($60,000 annually) – This item covers all of the District’s required software licensing and maintenance for business operating systems to include, enterprise database, server, data center and other core productivity software. Staff negotiated a 3-year agreement with CompuCom, Inc., under the discounted pricing agreement through the County of Riverside statewide Microsoft Enterprise Agreement that provides Public Sector(s) in California with a peer-approved, audit-friendly method of saving funds and managing software licenses. Cityworks, Public Asset Management Software, $90,000 – This item covers yearly required software maintenance for the District’s asset and work management solution. The Cityworks software suite is exclusively owned by Azteca Systems. The yearly maintenance fee includes all core licensing, GIS centric asset management solution, CCTV interface, Citizen Engagement Portal AMS/PLL and technical support for all components. FISCAL IMPACT: Joe Beachem, Chief Financial Officer These items, totaling $607,000, are specifically included in the FY 2016 Operational Budget.   STRATEGIC GOAL: These items are in support of the District’s required services and Strategic Plan, which specifically improve the overall operating cost. LEGAL IMPACT: None. Attachments: Attachment A – Committee Action Report ATTACHMENT A SUBJECT/PROJECT: INFORMATION TECHNOLOGY RELATED SERVICE CONTRACTS FOR FY 2016 COMMITTEE ACTION: The Finance, Administration and Communications Committee met on April 14, 2015 to review this item. The Committee supports 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. STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: May 6, 2015 SUBMITTED BY: Mark Watton, General Manager PROJECT: Various DIV. NO. ALL APPROVED BY: Joe Beachem, Chief Financial Officer Mark Watton, General Manager SUBJECT: Adopt Resolution No. 4288 Declaring the Third Week of April as California Native Plant Week in the Otay Water District. GENERAL MANAGER’S RECOMMENDATION: Adopt Resolution No. 4288 declaring the third week of April as California Native Plant Week in the Otay Water District. COMMITTEE ACTION: See Attachment A. PURPOSE: To present for the Board of Directors’ consideration a resolution to declare the third week of April, each year, as California Native Plant Week in the Otay Water District. ANALYSIS: The San Diego Chapter of the California Native Plant Society (CNPS) is requesting that the District formally declare the third week of April, each year, as California Native Plant Week. Resolution Number 4288 is presented for this purpose and is based on a resolution the California Legislature passed in 2010 to inaugurate Native Plant Week to celebrate California’s natural heritage of native plants. The CNPS is a 501(c)(3) organization dedicated to protecting California's native plants and preserving them for future generations. It is a highly respected botanical organization with nearly 10,000 members who promote native plant appreciation, 2 research, education, and conservation through five statewide programs and 34 regional chapters in California. San Diego relies heavily on imported water, but more than half of that water is used annually to irrigate nonnative lawns and ornamental landscaping. With drought affecting the majority of the State and with the snowpack in the Sierras at the lowest levels in recorded history, California is entering its fourth straight year of extreme to exceptional drought. As a result, Governor Brown has issued new directives for all California cities and towns to reduce water consumption including mandated conservation measures and establishing a statewide initiative to replace 50 million square feet of lawns and ornamental turf with drought tolerant landscapes. Maintaining a typical lawn in California requires many times more water than does maintaining California native plants which, once established, can survive on little or no supplemental irrigation. To help get this important message across to consumers, the CNPS has formed a statewide program to educate and engage the public as to the benefits of incorporating California native plants into residential and commercial landscaping. For instance, native plants save water because they are perfectly suited to California’s climate and soil. Native plants reduce the need for fertilizers and herbicides, which can pollute the environment and local water resources. California natives require less pruning or mowing, saving on maintenance costs. Some California native plants are fire-resistant and can be used as a fire barrier in wildland-urban interface areas. Native plants provide food, shelter and habitat for wildlife, including native birds and butterflies. The CNPS’ campaign will also introduce residents to the beauty of native plants and to help instill an understanding and appreciation for California’s natural plant life, while having a positive impact on the environment and protecting important natural resources. Staff recommends that the board adopt Resolution No. 4288 declaring the third week of April, every year, as California Native Plant Week in the Otay Water District . FISCAL IMPACT: Joe Beachem, Chief Financial Officer None. STRATEGIC GOAL: This Resolution supports the District’s Mission statement, “To provide high value water and wastewater services to the customers of the Otay Water District in a professional, effective, and efficient 3 manner” and the General Manager’s Vision, “A District that is innovative in providing water services at affordable rates, with a reputation for outstanding customer service.” LEGAL IMPACT: None. Attachments: Attachment A – Committee Action Attachment B – Resolution No. 4288 ATTACHMENT A SUBJECT/PROJECT: Adopt Resolution No. 4288 Declaring the Third Week of April in every Year as California Native Plant Week COMMITTEE ACTION: The committee reviewed this item and supported staffs’ recommendation and presentation for consideration by 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 from the committee prior to presentation to the full board. ATTACHMENT B RESOLUTION NO. 4288 RESOLUTION OF THE BOARD OF DIRECTORS OF THE OTAY WATER DISTRICT DECLARING THE THIRD WEEK OF APRIL IN EVERY YEAR AS CALIFORNIA NATIVE PLANT WEEK WHEREAS, California's native plants provide unique iconic, economic, artistic, historical, and environmental values to the state; and WHEREAS, California has over 6,000 native plant types, of which over 2,000 exist only here, making our state home to more diverse plant life than all other states combined, including some of the oldest, tallest, and most massive living things on Earth; and WHEREAS, California currently contends with over 1,000 non- native plants, some of which compete with native plant species, degrade soil, facilitate erosion and wildfires, and alter the state's natural landscapes; and WHEREAS, California's first peoples lived and thrived by their knowledge of native plants, which provided them with the means of life for centuries; and WHEREAS, in modern times our native plants still provide foods, medicines, and other products; and WHEREAS, California native plant horticulture is a growing industry employing thousands of Californians, and the benefits to water conservation and natural area restoration help provide economic stability within the state; and ATTACHMENT B WHEREAS, our native plants provide essential watershed protections by helping to recharge natural aquifers, filtering flowing water, lessening erosion and flooding, and beautifying and renewing our state; and WHEREAS, gardens and landscapes composed of California native plants, being perfectly suited to our climate and soil, require far fewer fertilizers, soil amendments, pesticides, and water than conventional landscapes, and provide essential habitat for wildlife, and WHEREAS, restoring California native plants provides links to wild land areas, while introducing people to their beauty and instilling a greater understanding and appreciation for California's natural heritage; and WHEREAS, many individuals and groups have as goals, among other things, the preservation and restoration of native plants and the education of the public on their value, including the California Native Plant Society, which is celebrating its 50th year. NOW, THEREFORE, BE IT PROCLAIMED, that the Otay Water District encourages community groups, schools, and citizens to undertake appropriate activities to promote native plant conservation and restoration, and to inform their neighbors and communities of the value of native plants in natural and horticultural settings; and BE IT FURTHER PROCLAIMED that the Otay Water District hereby declares the third week of April in each year as California Native Plant Week. ATTACHMENT B PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of May 6, 2015. Ayes: Noes: Abstain: Absent: President ATTEST: District Secretary STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: May 6, 2015 PROJECT: DIV. NO.: ALL SUBMITTED BY: Oscar Ramirez, Safety & Security Specialist APPROVED BY: Adolfo Segura, Assistant Chief, Admin and IT Services German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: INFORMATIONAL ITEM -- EMERGENCY PREPAREDNESS, SAFETY & HEALTH, AND SECURITY OVERVIEW GENERAL MANAGER’S RECOMMENDATION: No recommendation. This is an informational item only. COMMITTEE ACTION: Please see “Attachment A”. PURPOSE: This is an informational item regarding the state of the District’s Emergency Preparedness, Safety, Security, and Business Continuity programs. Analysis: As part of the District’s ongoing process and program improvement efforts, during the past 24 months, staff has been active in the enhancement of the District’s Emergency Preparedness, Safety and Security programs. The objective of these efforts and programs is not only for agency awareness, but for staff to maintain a state of disaster emergency readiness and to maintain a safe, secure, and compliant work environment. To fulfill these efforts, the following has been accomplished to date. Training and Compliance Programs: Emergency Preparedness Training -- The Standardized Emergency Management System (SEMS) and the National Incident Management System (NIMS) compliance training provides education to staff ranging from line employees, to first-responder, and to command level functions. This is in compliance with State of California Government Code 8607 and Homeland Security, Presidential Directive 5 (HSPD-5). To date:  138 District staff members have completed Introduction to Incident Command System ICS-100 and IS-700 Basic Introduction to NIMS.  54 District staff members have completed Basic Incident Command System and Single Resources for Initial Action Incident ICS-200 and IS-800 an Introduction to National Response Framework.  34 District staff members have completed Intermediate Incident Command System for Expanding Incidents ICS-300 and ICS-400 Advanced Incident Command System for Expanding Incidents. Safety & Health -- Cal/OSHA Compliance Training provides instruction and training requirements to assigned, competent, qualified staff and to the District’s 12 member HAZWOPER emergency response team. This is in compliance with the Construction and the General Industry Safety Orders of California Title 8, Division 1, Chapter 4 and in reference to Chapter 3.2 of the California Code of Regulations. Examples of Training:  HAZWOPER 40-Hour and 8-Hour Annual Refresher  HAZWOPER Incident Command System  Confined Space and Confined Space Rescue  Trenching and Shoring  Qualified Electrical Worker Electrical Safety  Asbestos Cement Pipe Initial and Annual Refresher  First Aid, CPR, and AED Facilities Security Improvements: Facilities -- A District-wide physical security and functional improvement assessment effort for facilities has been completed. The assessment identified and produced the information required to help enhance the District’s physical security and critical infrastructure program. Examples of improvements:  Enterprise physical security control methodology  Enterprise burglar alarm monitoring 24X7  System controlled access (Entre)  Continuity of facility services via solar and battery powered sources (up to 72 hours) Internal and External Support Efforts & Resources: District Teams & Resources -- The District maintains an active emergency operations center (EOC) and Safety/Security committee teams, which are activated for scheduled monthly and quarterly exercises. In addition, District staff interacts regularly with the following outside agencies for sharing of information and cross-functional trainings: SDCWA, County of San Diego, OES, Cal-WARN, MACS, WebEOC, Cal/OES, FEMA, Mutual Aid Agreement, DHS, LECC, InfraGard, Cal/OSHA, SD Sheriff’s Critical Infrastructure Team, local law enforcement, and alarm and security patrol vendors. Business Continuity Improvements: Technology Services -- Over the past 36 months, the District has migrated many of its business critical services to the ‘‘cloud’’ and has made investments to harden and enhance our ability to sustain operations during power outages or other unplanned emergencies. Examples of improvements:  Enterprise email via cloud service (primary/backup service)  Enterprise backup & replication of system data via cloud service (primary/backup service)  Primary and backup Internet service  Continuity of computing services via redundant UPS’s and generator  Planned colocation of backup core business systems to ensure continuity of services in the event administrative facilities are inoperable Next Steps: Staff continues to hold and participate in group meetings, workshops and exercises with internal stakeholders to obtain feedback on program improvements and with SDCWA, County of San Diego, and outside agencies for compliance and other key service updates. FISCAL IMPACT: Joe Beachem, Chief Financial Officer None. This is an informational item only. STRATEGIC GOAL: Health & Safety and Business Continuity. LEGAL IMPACT: None. Attachments: Attachment A – Committee Action Report ATTACHMENT A SUBJECT/PROJECT: INFORMATIONAL ITEM -- EMERGENCY PREPAREDNESS, SAFETY & HEALTH, AND SECURITY OVERVIEW COMMITTEE ACTION: The Finance, Administration and Communications Committee met on April 14, 2015 to review this item. The Committee supports 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.