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HomeMy WebLinkAbout09-17-13 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 September 17, 2013 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 JURISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA DISCUSSION ITEMS 3. APPROVE AN AMENDMENT TO A LEASE AGREEMENT WITH SPRINT PCS ASSETS, LLC, A DELAWARE LIMITED LIABILITY COMPANY, FOR MODIFICATIONS TO AN EXISTING COMMUNICATIONS FACILITY AT THE 980 1&2 RESERVOIR SITES LOCATED AT 360 HUNTE PARKWAY IN CHULA VISTA (MARTIN) [5 minutes] 4. APPROVE THE ISSUANCE OF A PURCHASE ORDER TO RDO EQUIPMENT COMPANY, INC. IN THE AMOUNT OF $94,159.12 FOR THE PURCHASE OF ONE (1) JOHN DEERE BACKHOE AND DECLARE THE DISTRICT’S OLDEST JOHN DEERE BACKHOE SURPLUS (MARTINEZ) [5 minutes] 5. ADOPT RESOLUTION NO. 4218 REVISING BOARD OF DIRECTORS’ POLICY NO. 12, EMPLOYMENT OR TERMINATION OF EMPLOYMENT OF DISTRICT PERSONNEL POLICY, AND POLICY NO. 24, RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY, OF THE DISTRICT’S CODE OF ORDINANCES (WILLIAMSON) [5 minutes] 2 6. APPROVE AN ADJUSTMENT TO THE WHEELING RATE FOR THE DELIVERY OF TREATY WATERS TO MEXICO TO $64.14 FOR CALENDAR YEAR 2014 (DYCHITAN) [5 minutes] 7. DISCUSS ALTERNATIVES FOR THE BAY DELTA CONSERVATION PLAN (WATTON) [10 minutes] 8. FISCAL YEAR 2013 YEAR-END STRATEGIC PLAN AND PERFORMANCE MEASURES REPORT (STEVENS) [10 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 deliberated and may be subject to action by the Board. The Agenda, and any attachments containing written information, are available at the District’s website at www.otaywater.gov. Written changes to any items to be considered at the open meeting, or to any attachments, will be posted on the District’s website. Copies of the Agenda and all attachments are also available through the District Secre- tary by contacting her at (619) 670-2280. If you have any disability which would require accommodation in order to enable you to participate 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 September 13, 2013 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 (Gov- ernment Code Section §54954.2). Executed at Spring Valley, California on September 13, 2013. ______/s/_ Susan Cruz, District Secretary _____ STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: October 2, 2013 SUBMITTED BY: Dan Martin Engineering Manager PROJECT: AS005- CS0014 DIV. NO. 5 APPROVED BY: Rod Posada, Chief, Engineering German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Request to Approve Lease Amendment with Sprint PCS Assets, LLC, a Delaware Limited Liability Company, for Modifications to an Existing Communications Facilities Located at the 980 1&2 Reservoir Sites GENERAL MANAGER'S RECOMMENDATION: That the Otay Water District (District) Board of Directors (Board) authorize the General Manager to execute a lease amendment with Sprint PCS Assets, LLC, a Delaware Limited Liability Company (Sprint PCS) for modifications to an existing communications facility at the 980 1&2 Reservoir Sites located at 360 Hunte Parkway in Chula Vista (see Exhibit A for Property location). COMMITTEE ACTION: See Attachment A. PURPOSE: To obtain Board approval authorizing the General Manager to execute a lease amendment (see Attachment B) with Sprint PCS that allows modifications to an existing communications facility at the 980 1&2 Reservoir Sites located at 360 Hunte Parkway in Chula Vista. The lease amendment will grant Sprint PCS the right to upgrade their existing site to LTE technology. AGENDA ITEM 3 2 ANALYSIS: The District currently maintains six (6) lease agreements with Sprint PCS that allow Sprint PCS to operate and maintain unmanned wireless communication facilities that include panel antennas that are attached to the District’s water reservoirs and enclosures that contain Sprint PCS’ equipment cabinets. Sprint PCS approached the District with a request to perform modifications to the existing wireless communication facilities to upgrade the facilities to LTE technology. Sprint PCS’ scope work will include switching out existing four (4) foot antennas with larger six (6) foot antennas as well as the addition of Radio Repeater Units (RRUs) for each new antenna. The new antennas and RRUs work together as part of Sprint PCS’ LTE upgrade to increase data capacity. Sprint PCS’ facility has an existing SDG&E electrical service/meter and connection to a landline telephone service. As a result of the request from Sprint PCS, the District has required that the existing leases be amended to memorialize the addition of new improvements on the District’s property and to strengthen the terms of the existing leases with language that reflects the current District lease terms. The additional language in the proposed lease amendments include terms for the following:  Security Deposit equal to the sum of two months’ rent  Elimination of pro-rating language to simplify the billing process  20 percent penalties for late payment  Non-curable Event of Default for failure to pay rent  Magnetic mount or other non-destructive alternative attachment requirement  Utilities and back-up power provisions  New Assignment of Lease requirement to assist in documenting change of ownership As part of the lease amendment, the Rent shall be increased on each calendar anniversary of the Commencement Date at a rate of four percent (4%) per annum or the annual Consumer Price Index change (“CPI”), whichever is greater. The lease amendment also includes a non-refundable administrative fee of $4,500 that will be due within (30) days of the date of execution of the lease amendment by both parties to reimburse the District for administrative expenses and costs related to the District's 3 supervision and assistance with the construction phases of the Project. The District will receive copies of construction drawings, all permits, and approvals by local regulatory agencies prior to granting permission to start construction. Staff agrees with the design concept for the proposed facility construction. FISCAL IMPACT: Joseph Beachem, Chief Financial Officer The District will continue to receive rent which is currently $2,870.50 per month and will now be subject to an annual inflation adjustment of four percent or the annual Consumer Price Index change (“CPI”), whichever is greater, effective upon the execution of the lease amendment. LEGAL IMPACT: The lease amendment have been reviewed and approved by District General Counsel for content and form. STRATEGIC GOAL: The District ensures its continued financial health through long-term financial planning, formalized financial policies, enhanced budget controls, fair pricing, debt planning, and improved financial reporting. DJM/RP:jf \\Owd-fp1\engrplan\WORKING\CELLULAR LEASE FILE\Sprint-Nextel\980-1&2\1st Amendment 6-14-13\BD 10-02-13\BD 10-02-13, Staff Report, Sprint PCS First Amendment Pond 1 Reservoir 980 1&2 8-30-13.doc Attachments: Exhibit A – Location Map Attachment A – Committee Action Attachment B – Hunte Parkway Agreement ATTACHMENT A SUBJECT/PROJECT: AS005-CS0014 Request to Approve Lease Amendment with Sprint PCS Assets, LLC, a Delaware Limited Liability Company, for Modifications to an Existing Communications Facilities at the 980 1&2 Reservoir Sites COMMITTEE ACTION: The Finance, Administration, and Communications Committee (Committee) reviewed this item at a meeting held on September 17, 2013. The Committee supported Staff's recommendation. NOTE: The "Committee Action" is written in anticipation of the Committee moving the item forward for Board approval. This report will be sent to the Board as a Committee approved item, or modified to reflect any discussion or changes as directed from the Committee prior to presentation to the full Board. ATTACHMENT B SUBJECT/PROJECT: AS005-CS0014 Request to Approve Lease Amendment with Sprint PCS Assets, LLC, a Delaware Limited Liability Company, for Modifications to an Existing Communications Facilities at the 980 1&2 Reservoir Sites See attached lease amendment. FIRST AMENDMENT TO LEASE This First Amendment to Lease (the "First Amendment")is made this day of ,2013, ("Effective Date")by and between Otay Water District ("OTAY")and Nextel of California. Inc.("TENANT"),with reference to the facts set forth in ihe Recitals below: RECITALS A.OTAY is the owner of that certain real property located at 360 Hunte Parkway.Chula Vista.California a Reservoir Site (the "Property"). B.OTAY and TENANT are parties to that certain Lease dated May 19,2004 (the "Lease"or "Agreement")pursuant to which TENANT is leasing from OTAY land at the Property, together with the right of access to and from the nearest public right-of-way and the right to install utilities (collectively,the "Premises"). C.Tenant has requested a modification to the type and mounting of the Improvements currently on the Premises (the "New Improvements"). D.OTAY and TENANT have agreed to amend the Agreement to memorialize the addition of the New Improvements to the Premises. AGREEMENT NOW.THEREFORE,in consideration of the facts contained in the Recitals above,the mutual covenants and conditions below,and other good and valuable consideration,the receipt and sufficiency of which are hereby acknowledged,the parties agree as follows: 1.New Improvements.OTAY consents to TENANT construction and installation of new communications facilities,as more particularly described and depicted on Exhibit "B-l "which is attached hereto and made a part hereof.The parties acknowledge and agree thai the attached Exhibit "B-1"is intended to supplement the Exhibit "B"attached to the Agreement. 2.Governmental Approvals.Any required permits for the use or operation of the New Improvements shall be obtained by TENANT at TENANT'S sole expense.Furthermore,it is understood and agreed that TENANT'S ability to install the New Improvements is contingent upon its obtaining all ofthe certificates,permits and other approvals that may be required by any Federal,State or Local authorities which will permit TENANT to install and operate the New Improvements within the Premises.OTAY agrees,at no expense to OTAY,to reasonably cooperate with TENANT in making application for and obtaining all governmental licenses, permits and approvals that may be required for TENANT'S intended use ofthe Premises. 3.Amended Provisions.The following provisions shall be amended as follows: 3a.Section 6 shall be deleted. STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: October 2, 2013 SUBMITTED BY: Jose Martinez, Utility Services Manager PROJECT: DIV. NO. All APPROVED BY: Pedro Porras, Chief, Water Operations German Alvarez, Asst. General Manager Mark Watton, General Manager SUBJECT: Approval to Purchase a Replacement Backhoe GENERAL MANAGER’S RECOMMENDATION: That the Board authorize the General Manager to: 1)Issue a purchase order to RDO Equipment Company Inc. in the amount of $94,159.12 for the purchase of one (1) John Deere Backhoe and, 2) declare the oldest John Deere Backhoe surplus. COMMITTEE ACTION: Please see Attachment “A”. PURPOSE: To obtain Board authorization to purchase a John Deere Backhoe. ANALYSIS: Included in the approved FY 2014 budget is one (1) new Backhoe. The Backhoe is a replacement scheduled to be utilized by the Utility Maintenance Staff. Currently, the District’s essential equipment includes six (6) backhoes, the oldest being unit #2280, a model year 1988 310C John Deere Backhoe. Due to the age of this machine this unit is to be replaced with a new one. Funding for this purchase has been included in the CIP P2286. AGENDA ITEM 4 Based on system operation evaluations of work flow history by Construction/Maintenance supervision and management, it is recommended that one (1) new John Deer model 310 Backhoe be purchased and the older John Deere Backhoe be declared surplus. Staff evaluated alternative manufacturers and obtained recent pricing paid by other agencies for comparable units. Based on the information obtained it was determined there was no cost benefit to introducing an alternative manufacturer. With the remaining five (5) backhoes also being John Deere, the proposed backhoe would provide consistency for operations and maintenance purposes, mitigate the need to obtain additional training and represents the best value to the District. It should be noted that the existing backhoe is 25 years old. This replacement activity will also noticeably reduce the District’s Diesel emissions output. Purchase price before taxes includes John Deere Backhoe $87,177.89 and a total purchase price of $94,159.12 after taxes. In accordance with District policy, bids were solicited for the backhoe. Three (3) bids were received. Prices received include all applicable fees and taxes and delivery. Dealer Bid Bid Price RDO Equipment Company 2013 John Deere 310SK $94,159.12 Blaine Equipment Company 2013 John Deere 310SK $146,653.29 Coastline Equipment 2013 John Deere 310SK $135,541.39 FISCAL IMPACT: Joe Beachem, Chief Financial Officer Projected purchase budget for this vehicle is $117,000. The purchase of this vehicle will cost $94,159.12 which will be charged against the Field Equipment Capital Purchases CIP P2286. The total cost in this account will not exceed budgeted funding. The total FY14 project budget for CIP P2866 Field Equipment Capital Purchases is $149,000. Existing expenditures and current encumbrances for the CIP, including the vehicle purchased under this request if approved, are $126,159.12. Based on the Utility Service Manager’s evaluation, the CIP 2286 budget is sufficient to complete the budgeted purchase. The Finance Department has determined that 100% of the funds are available in the replacement fund. Expenditure Summary: CIP 2286 FY14 Field Equipment Budget:$149,000.00 Proposed Equipment Purchase: Backhoe $94,159.12 Proposed Replacement Equipment Trailer 32,000.00 Total Projected Expenditures of Equipment Replacements FY14, P2286 Budget: $126,159.12 STRATEGIC GOAL: Operate the system to meet demand twenty-four hours a day, seven days a week. LEGAL IMPACT: None. Attachment “A”, Committee Action ATTACHMENT A SUBJECT/PROJECT: Approval to Purchase a Replacement Backhoe COMMITTEE ACTION: The Finance, Administration and Communications Committee met on Spetember 17, 2013 and supported staffs' recommendation. NOTE: The “Committee Action” is written in anticipation of the Committee moving the item forward for board approval. This report will be sent to the Board as a committee approved item, or modified to reflect any discussion or changes as directed from the committee prior to presentation to the full board. STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: October 2, 2013 SUBMITTED BY: Kelli Williamson Human Resources Manager PROJECT: DIV. NO. ALL APPROVED BY: Rom Sarno, Chief of Administrative Services German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: ADOPT RESOLUTION #4218 TO REVISE THE EMPLOYMENT OR TERMINATION OF EMPLOYMENT OF DISTRICT PERSONNEL POLICY (BOARD POLICY #12) AND RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY (BOARD POLICY #24) GENERAL MANAGER’S RECOMMENDATION: That the Board adopt Resolution #4218 to revise the following District policies: - Employment or Termination of Employment of District Personnel Policy (Board Policy #12); and - Recruitment, Selection, and Employment Policy (Board Policy #24) COMMITTEE ACTION: Please see “Attachment A”. PURPOSE: To request that the Board adopt Resolution #4218 (Attachment B) and approve revisions to the following two (2) District policies: Employment or Termination of Employment of District Personnel Policy (Board Policy #12) and Recruitment, Selection, and Employment Policy (Board Policy #24) (Attachments B1 and B2). AGENDA ITEM 5 ANALYSIS: Consistent with the District’s Strategic Plan, the District regularly reviews policies and procedures to ensure they are streamlined and are clear and consistent with applicable laws. Employment or Termination of Employment of District Personnel (Board Policy #12) After review and consultation with General Counsel, District staff is recommending minor revisions to the attached policy to provide clarification for employees as to their employment status. The revisions reference the “at-will” employment status of District employees to reflect and be consistent with State law. This employment status is set by the legislature and cannot be changed by Board Policy or Memorandum of Understanding. Recruitment, Selection and Employment Policy (Board Policy #24) The Recruitment, Selection and Employment Policy was also updated to reflect the same changes made to the Employment or Termination of Employment of District Personnel Policy to be consistent. The Recruitment and Selection process of the District will not change. Because these policies are not subject to meet and confer with the Otay Water District Employees Association (OWDEA), it is recommended to forward the policies to the OWDEA as an informational item after the Finance, Administration, and Communications Committee meeting. Based on the above, it is requested that the Board of Directors adopt Resolution #4218 in support of the proposed revisions. FISCAL IMPACT: Joe Beachem, Chief Financial Officer None. STRATEGIC GOAL: Optimize the District’s Operating Efficiency. LEGAL IMPACT: None. Attachments: Attachment A – Committee Action Report Attachment B – Resolution #4218 Attachment B1 – Strike-Thru Copy -- Employment or Termination of Employment of District Personnel Policy (Board Policy #12) Attachment B2 – Strike-Thru Copy -- Recruitment, Selection, and Employment Policy (Board Policy #24) Attachment C - Proposed Copy -- Employment or Termination of Employment of District Personnel Policy (Board Policy #12) Attachment D - Proposed Copy -- Recruitment, Selection, and Employment Policy (Board Policy #24) ATTACHMENT A SUBJECT/PROJECT: ADOPT RESOLUTION #4218 TO REVISE THE EMPLOYMENT OR TERMINATION OF EMPLOYMENT OF DISTRICT PERSONNEL POLICY (BOARD POLICY #12) AND RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY (BOARD POLICY #24) COMMITTEE ACTION: The Finance, Administration, and Communications Committee met on September 17, 2013, to review this item. The Committee supported presenting 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. 1 RESOLUTION NO. 4218 RESOLUTION OF THE BOARD OF DIRECTORS OF THE OTAY WATER DISTRICT TO REVISE DISTRICT POLICIES WHEREAS, the Board of Directors of Otay Water District have established policies, procedures, ordinances, and resolutions for the efficient operation of the District; and WHEREAS, it is the policy of the District to establish procedures to review policies, procedures, ordinances, and resolutions periodically to ensure they are current and relevant; and WHEREAS, District staff has identified Board Policy #12, Employment or Termination of Employment of District Personnel Policy, and Board Policy #22, Recruitment, Selection, and Employment Policy, as requiring revisions as per the attached strike-through copies. NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Otay Water District amends the Board Policies indicated above in the form presented to the Board at this meeting. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 2nd of October, 2013. __________________________ President ATTEST: ___________________________ Secretary OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised EMPLOYMENT OR TERMINATION OF EMPLOYMENT OF DISTRICT PERSONNEL 12 8/21/91 7/2/03 10/2/13 Page 1 of 2 PURPOSE To establish procedures for the employment or termination of executive, staff and other personnel. BACKGROUND Section 71340 of the California Water Code provides that the Board of Directors of Municipal Water Districts shall appoint the following personnel, who are designated as officers of the District: Secretary, Treasurer, Attorney, General Manager and Auditor. In addition, the Board may appoint a Deputy Secretary and a Deputy Treasurer. Each of such officers is to serve at the pleasure of the Board. Section 71341 of the California Water Code provides that the Board may appoint such additional assistants and employees, as it deems necessary to operate the District. The essence of these provisions are is set forth in Section 1.02 of the District Ordinances. Section 71362 of the California Water Code provides that, subject to the approval of the Board of Directors, the General Manager shall have the authority to employ and discharge all employees and assistants, other than those referred to in Section 71340, at pleasure, and to prescribe their duties and fix their compensation. These provisions are set forth in Section 2.01 of the District Ordinances. All employment at the District is thus ‘‘at-will,’’ pursuant to Section 71362, and both employees and the District have the right to terminate employment at any time, with or without advance notice, and with or without cause. POLICY In accordance with the above provisions, the District shall employ or terminate employment or termination of employment of District personnel shall be made as follows: 1. The employment or termination of personnel for the District position of General Manager, Secretary, Deputy Secretary, Treasurer, Deputy Treasurer, Attorney, Controller or Auditor, or the assistant or deputy to any of such positions, shall be made only by action of the Board of Directors. 2. The General Manager shall employ or terminateemployment or termination of personnel for the District position of Assistant. General Manager shall be made by the General Manager provided that, prior to taking final action thereon, the General Manager shall notify the Board of Directors of his/her intention to make suchso employment or terminateion. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised EMPLOYMENT OR TERMINATION OF EMPLOYMENT OF DISTRICT PERSONNEL 12 8/21/91 7/2/03 10/2/13 Page 2 of 2 3. The General Manager shall employ or terminateemployment or termination of personnel for all other District positions shall be made by the General Manager. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 09/02/09 10/2/13 Page 1 of 54 PURPOSE It is the purpose of this policy to provide guidelines for the recruitment and selection of regular, student intern, temporary and/or contract employees. POLICY It is the policy of the Otay Water District (“District”) to recruit and select the best qualified Applicants on the basis of job-related standards of experience, education, training, ability, and merit; to encourage members of the communities which we serve to apply for employment opportunities with the District; to encourage District employees to apply for positions for which they believe they qualify, to assure that qualified internal Applicants are given fair and adequate consideration; and to advance regular District employees when it is determined that they are the best qualified. EQUAL EMPLOYMENT OPPORTUNITY The District is an equal opportunity employer. All employees and Applicants shall receive equal consideration and treatment. The District shall recruit, hire, and promote the best qualified individuals without regard to race, color, religion, sex (including gender, pregnancy, childbirth, or related medical condition), national origin, ancestry, age, physical or mental disability, medical condition, marital status, sexual orientation, or membership in any other “protected class” recognized by California or Federal law or regulation. AUTHORITY OF THE GENERAL MANAGER AND EMPLOYMENT AT WILL Section 2.01, of the Otay Water District’s Code of Ordinance provides that, pursuant to Sections §71362 and §71363 of the California Water Code, the General Manager has the authority to manage and operate the affairs of the District. This authority includes the employment, discharging and fixing of compensation for all employees and assistants, except those referred to in California Water Code Section §71340, at pleasure, and to prescribe their duties and promulgate specific rules and regulations for such employees and assistants. All employment at the District is thus “at-will,” pursuant to Section 71362, and both employees and the District have a right to terminate employment at any time, with or without advance notice, and with or without cause. The General Manager’s authority also includes making Appointments appointments of temporary or contract employees needed to perform District work resulting from such matters as interim vacancies, peak workload, and special projects so long as he/she operates within Board-approved budgeted appropriation levels. Contract or Temporary Appointments are not subject to amount limits for agreements, contracts, or other documents as defined in Section §2.01(CE) of the District’s Code of Ordinance, or to formal competition, selection and advertisement requirements identified herein. DEFINITIONS OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 09/02/09 10/2/13 Page 2 of 54 A. Applicant: A person applying for a position, including a District employee who seeks Appointment to a different position. B. Appointment: The employment of a person in a position, whether on a regular or temporary basis. C. Closed/Promotional Recruitment: A recruitment open only to qualified regular District employees, or open only to qualified regular District employees in a particular classification, unit or division. D. Conviction: Any sentence, suspended sentence, probation or other resolution followed by a verdict, plea (including a no contest plea) or other finding of guilt. The term “Conviction,” as used herein, shall not include any conviction that has been otherwise exempted by law. E. Eligible List: A list of qualified Applicants who remain eligible for consideration for a position. F. Employment Announcement: A formal notice by the District of an employment opportunity. G. Open/Competitive Recruitment: A recruitment open to all interested qualified Applicants. H. Promulgation: The date Human Resources certifies the list of eligible Applicants for consideration. I. Qualified Applicant: An Applicant who has passed all elements of the selection process, would be at least 18 years old at the time of Appointment and remains eligible for Appointment. J. Recruitment and Selection Plan: A planned process to establish an adequate pool of qualified Applicants which shall consist of an open/competitive or a Closed/Promotional Recruitment. K. Regular Appointment: An Appointment to a regular authorized position with benefits. L. Regular Vacancy: A vacancy in an authorized position. M. Student Intern: An employee who is currently enrolled at or near full-time status as a student in an accredited community college, college, or university in an undergraduate or graduate program in good academic standing. N. Temporary Appointment: An Appointment made for a specific duration, generally not to exceed one year. Temporary Appointments may be exempt from the formal Recruitment and Selection Plan. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 09/02/09 10/2/13 Page 3 of 54 RECRUITMENT AND SELECTION PLANROCESS All Regular Vacancies shall be filled through an Open/Competitive Recruitment and Selection Plan unless otherwise approved by the General Manager. This is consistent with best practice and expected to maximize community participation, competition, diversity, and the number of highly qualified Applicants available for consideration for employment. However, the General Manager may authorize a Closed/Promotional Recruitment and Selection Plan given the requirements of the position and the quality of the internal Applicant pool. All Applicants for regular positions shall submit to the same Recruitment and Selection Plan for that position. The General Manager may approve revising the Recruitment and Selection Plan in order to better meet the needs of the District. A. Notice of Employment Opportunities Human Resources shall post- employment opportunities for Regular Vacancies consistent with the approved Recruitment and Selection Plan. The Employment Announcement shall include the following: 1. Classification Title 2. Salary Rate and/or Range 3. Essential Functions 4. Minimum Required Qualifications 5. Selection/Examination PlanSkills Exam 6. Application Filing Instructions 7. Equal Employment Opportunity Employer Statement B. Disqualification of Applicants Applicants may be disqualified at any time during the process for any of the following reasons: 1. The Applicant is found to lack any of the minimum job requirements established for the position. 2. The Applicant has made a false statement of material fact in the application or has committed fraud or deception in the selection process or in securing eligibility for Appointment. 3. The Applicant has a history of less than satisfactory employment. 4. The Applicant uses or attempts to use any personal or political influence to further eligibility. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 09/02/09 10/2/13 Page 4 of 54 5. The Applicant has without authorization directly or indirectly obtained information regarding examinations. 6. The Applicant fails to submit his or her application correctly in compliance with articulated guidelines or within the prescribed time limits. 7. The Applicant has taken part in the compilation, administration, or correction of the examinations for the position for which he/she is an Applicant. 8. Any other reason deemed by the General Manager to protect the best interests of the District. C. Examination Content The Recruitment and Selection Plan shall be job-related in order to determine the ability of Applicants to perform the duties of the job classification. The plan may provide for one or more of the following types of examinations: 1. Review of Employment Application and/or Required Supplementary Material(s); 2. Written Examination; 3. Physical Agility and/or Performance Skill Examination; or 4. Oral Interview. D. Eligible Lists Eligible Lists may be maintained to fill current and future vacancies. The Eligible List may will be valid for up to twelve (12) months from Date of Promulgation. Human Resources may pull Applicants from any Eligible List in lieu of posting a position or to augment the Applicant pool for other similar classifications with related skills and abilities. E. Conditions of Appointment Once an Applicant is determined to be the best qualified, but prior to Appointment, the Applicant shall meet and agree to the terms and conditions of employment specified for a particular position. Failure of such pre-employment examinations may cause the Applicant to be disqualified for employment. Conditions of employment may include, but are not limited to the following: 1. Physical Fitness/Medical Examination; 2. Drug/Alcohol Screening; 3. Verification of lawful work status under Immigration rules; and 4. Verification of employment, education, certificates, licenses, driving, and criminal history including fingerprinting.. F. Evaluation of Criminal Conviction Information OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 09/02/09 10/2/13 Page 5 of 54 Upon receipt of the Ccriminal Conviction information, the District shall determine if the information shall disqualify the Applicant. There shall be an automatic disqualification for employment for any of the following: a. Any felony Conviction; b. Any misdemeanor Conviction within one year preceding the date of application for any offense(s) considered to be crimes of moral turpitude by any court of the state, and/or crimes involving, firearms, explosives, violence, dishonesty and/or requiring registration under Penal Code §290; or c. Intentionally failing to disclose a prior Conviction of any type, unless said Conviction has been otherwise exempted by law. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised EMPLOYMENT OR TERMINATION OF EMPLOYMENT OF DISTRICT PERSONNEL 12 8/21/91 10/2/13 Page 1 of 1 PURPOSE To establish procedures for the employment or termination of executive, staff and other personnel. BACKGROUND Section 71340 of the California Water Code provides that the Board of Directors of Municipal Water Districts shall appoint the following personnel, who are designated as officers of the District: Secretary, Treasurer, Attorney, General Manager and Auditor. In addition, the Board may appoint a Deputy Secretary and a Deputy Treasurer. Each of such officers is to serve at the pleasure of the Board. Section 71341 of the California Water Code provides that the Board may appoint such additional assistants and employees as it deems necessary to operate the District. The essence of these provisions is set forth in Section 1.02 of the District Ordinances. Section 71362 of the California Water Code provides that, subject to the approval of the Board of Directors, the General Manager shall have the authority to employ and discharge all employees and assistants, other than those referred to in Section 71340, at pleasure, and to prescribe their duties and fix their compensation. These provisions are set forth in Section 2.01 of the District Ordinances. All employment at the District is thus ‘‘at-will,’’ pursuant to Section 71362, and both employees and the District have the right to terminate employment at any time, with or without advance notice, and with or without cause. POLICY In accordance with the above provisions, the District shall employ or terminate District personnel as follows: 1. The employment or termination of personnel for the District position of General Manager, Secretary, Deputy Secretary, Treasurer, Deputy Treasurer, Attorney, Controller or Auditor, or the assistant or deputy to any of such positions, shall be made only by action of the Board of Directors. 2. The General Manager shall employ or terminate personnel for the District position of Assistant General Manager provided that, prior to taking final action thereon, the General Manager shall notify the Board of Directors of his/her intention to so employ or terminate. 3. The General Manager shall employ or terminate personnel for all other District positions. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 10/2/13 Page 1 of 5 PURPOSE It is the purpose of this policy to provide guidelines for the recruitment and selection of regular, student intern, temporary and/or contract employees. POLICY It is the policy of the Otay Water District (“District”) to recruit and select the best qualified Applicants on the basis of job-related standards of experience, education, training, ability, and merit; to encourage members of the communities which we serve to apply for employment opportunities with the District; to encourage District employees to apply for positions for which they believe they qualify, to assure that qualified internal Applicants are given fair and adequate consideration; and to advance regular District employees when it is determined that they are the best qualified. EQUAL EMPLOYMENT OPPORTUNITY The District is an equal opportunity employer. All employees and Applicants shall receive equal consideration and treatment. The District shall recruit, hire, and promote the best qualified individuals without regard to race, color, religion, sex (including gender, pregnancy, childbirth, or related medical condition), national origin, ancestry, age, physical or mental disability, medical condition, marital status, sexual orientation, or membership in any other “protected class” recognized by California or Federal law. AUTHORITY OF THE GENERAL MANAGER AND EMPLOYMENT AT WILL Section 2.01 of the District’s Code of Ordinance provides that, pursuant to Sections 71362 and 71363 of the California Water Code, the General Manager has the authority to manage and operate the affairs of the District. This authority includes the employment, discharging and fixing of compensation for all employees and assistants, except those referred to in California Water Code Section 71340, at pleasure, and to prescribe their duties and promulgate specific rules and regulations for such employees and assistants. All employment at the District is thus “at-will,” pursuant to Section 71362, and both employees and the District have a right to terminate employment at any time, with or without advance notice, and with or without cause. The General Manager’s authority also includes making appointments of temporary or contract employees needed to perform District work resulting from such matters as interim vacancies, peak workload, and special projects so long as he/she operates within Board-approved budgeted appropriation levels. Contract or Temporary Appointments are not subject to amount limits for agreements, contracts, or other documents as defined in Section 2.01(E) of the District’s Code of Ordinance, or to formal competition, selection and advertisement requirements identified herein. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 10/2/13 Page 2 of 5 DEFINITIONS A. Applicant: A person applying for a position, including a District employee who seeks Appointment to a different position. B. Appointment: The employment of a person in a position, whether on a regular or temporary basis. C. Closed/Promotional Recruitment: A recruitment open only to qualified regular District employees, or open only to qualified regular District employees in a particular classification, unit or division. D. Conviction: Any sentence, suspended sentence, probation or other resolution followed by a verdict, plea (including a no contest plea) or other finding of guilt. The term “Conviction,” as used herein, shall not include any conviction that has been otherwise exempted by law. E. Eligible List: A list of qualified Applicants who remain eligible for consideration for a position. F. Employment Announcement: A formal notice by the District of an employment opportunity. G. Open/Competitive Recruitment: A recruitment open to all interested qualified Applicants. H. Promulgation: The date Human Resources certifies the list of eligible Applicants for consideration. I. Qualified Applicant: An Applicant who has passed all elements of the selection process, would be at least 18 years old at the time of Appointment and remains eligible for Appointment. J. Recruitment and Selection Plan: A planned process to establish an adequate pool of qualified Applicants which shall consist of an open/competitive or a Closed/Promotional Recruitment. K. Regular Appointment: An Appointment to a regular authorized position with benefits. L. Regular Vacancy: A vacancy in an authorized position. M. Student Intern: An employee who is currently enrolled at or near full-time status as a student in an accredited community college, college, or university in an undergraduate or graduate program in good academic standing. N. Temporary Appointment: An Appointment made for a specific duration, generally not to exceed one year. Temporary Appointments may be exempt from the formal Recruitment and Selection Plan. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 10/2/13 Page 3 of 5 RECRUITMENT AND SELECTION PLAN All Regular Vacancies shall be filled through an Open/Competitive Recruitment and Selection Plan unless otherwise approved by the General Manager. This is consistent with best practice and expected to maximize community participation, competition, diversity, and the number of highly qualified Applicants available for consideration for employment. However, the General Manager may authorize a Closed/Promotional Recruitment and Selection Plan given the requirements of the position and the quality of the internal Applicant pool. All Applicants for regular positions shall submit to the same Recruitment and Selection Plan for that position. The General Manager may approve revising the Recruitment and Selection Plan in order to better meet the needs of the District. A. Notice of Employment Opportunities Human Resources shall post-employment opportunities for Regular Vacancies consistent with the approved Recruitment and Selection Plan. The Employment Announcement shall include the following: 1. Classification Title 2. Salary Rate and/or Range 3. Essential Functions 4. Required Qualifications 5. Skills Exam 6. Application Filing Instructions 7. Equal Employment Opportunity Employer Statement B. Disqualification of Applicants Applicants may be disqualified at any time during the process for any of the following reasons: 1. The Applicant is found to lack any of the minimum job requirements established for the position. 2. The Applicant has made a false statement of material fact in the application or has committed fraud or deception in the selection process or in securing eligibility for Appointment. 3. The Applicant has a history of less than satisfactory employment. 4. The Applicant uses or attempts to use any personal or political influence to further eligibility. 5. The Applicant has without authorization directly or indirectly obtained information regarding examinations. 6. The Applicant fails to submit his or her application in compliance with articulated guidelines or within the prescribed time limits. OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 10/2/13 Page 4 of 5 7. The Applicant has taken part in the compilation, administration, or correction of the examinations for the position for which he/she is an Applicant. 8. Any other reason deemed by the General Manager to protect the best interests of the District. C. Examination Content The Recruitment and Selection Plan shall be job-related in order to determine the ability of Applicants to perform the duties of the job classification. The plan may provide for one or more of the following types of examinations: 1. Review of Employment Application and/or Required Supplementary Material(s); 2. Written Examination; 3. Physical Agility and/or Performance Skill Examination; or 4. Oral Interview. D. Eligible Lists Eligible Lists may be maintained to fill current and future vacancies. The Eligible List will be valid for up to twelve (12) months from Date of Promulgation. Human Resources may pull Applicants from any Eligible List in lieu of posting a position or to augment the Applicant pool for other similar classifications with related skills and abilities. E. Conditions of Appointment Once an Applicant is determined to be the best qualified, but prior to Appointment, the Applicant shall meet and agree to the terms and conditions of employment specified for a particular position. Failure of such pre-employment examinations may cause the Applicant to be disqualified for employment. Conditions of employment may include, but are not limited to the following: 1. Physical Fitness/Medical Examination; 2. Drug/Alcohol Screening; 3. Verification of lawful work status under Immigration rules; and 4. Verification of employment, education, certificates, licenses, driving, and criminal history including fingerprinting. F. Evaluation of Criminal Conviction Information Upon receipt of the Criminal Conviction information, the District shall determine if the information shall disqualify the Applicant. There shall be an automatic disqualification for employment for any of the following: a. Any felony Conviction; OTAY WATER DISTRICT BOARD OF DIRECTORS POLICY Subject Policy Number Date Adopted Date Revised RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY 24 11/04/98 10/2/13 Page 5 of 5 b. Any misdemeanor Conviction within one year preceding the date of application for any offense(s) considered to be crimes of moral turpitude by any court of the state, and/or crimes involving, firearms, explosives, violence, dishonesty and/or requiring registration under Penal Code §290; or c. Intentionally failing to disclose a prior Conviction of any type, unless said Conviction has been otherwise exempted by law. STAFF REPORT TYPE MEETING: Regular Board Meeting MEETING DATE: October 2, 2013 SUBMITTED BY: Marissa Dychitan, Senior Accountant PROJECT: DIV. NO. All APPROVED BY: (Chief) Kevin K. Koeppen, Finance Manager Joseph R. Beachem, Chief Financial Officer German Alvarez, Assistant General Manager SUBJECT: Adjust the Wheeling Rate for the Delivery of Treaty Waters to Mexico to $64.14 for Calendar Year 2014 GENERAL MANAGER’S RECOMMENDATION: That the Board authorize the General Manager to adjust the wheeling rate for the delivery of Treaty Waters to Mexico to $64.14 for Calendar Year 2014. COMMITTEE ACTION: See Attachment A. BACKGROUND: The calculation of the wheeling rate for temporary emergency water deliveries to Mexico is performed on an annual basis. Any changes to the rate shall be approved by the District’s Board of Directors. This is the fourth consecutive adjustment under the current contract. Under terms and conditions of the current contract, which was originally executed in 2003 and subsequently extended via amendment No. 1 in 2008, the District’s pricing for energy and Operations and Maintenance (O&M) costs attributable to water delivered to Mexico is due no later than 45 days prior to the start of each calendar year (CY) and will remain constant for the calendar year. To meet this required timing and adjust the rate effective January 1, 2014, the Board’s approval of the new rate is due to the United States Commissioner no later than November 16, 2013. The District’s contract to deliver water to Mexico is currently in effect through November 9, 2013. On September 5, 2013 the District received a request from CWA for notification as to the District’s willingness to consider extending the contract of emergency water AGENDA ITEM 6 delivery to Mexico. Staff is drafting a response to CWA’s inquiry regarding the District’s willingness to consider extending the contract. Staff is anticipating that a second amendment extending the existing contract will be forthcoming and is submitting this recommendation of adjustment to the wheeling rate in accordance with the current terms and conditions. Deliveries of water to Mexico are based on a purchase schedule provided by Mexico to the United States Commissioner on a calendar year basis, and each year’s deliveries are priced based on the most current calculation of prior fiscal years’ costs. On October 9, 2012, staff presented the results of their review and the Board approved a rate for CY 2013 of $58.14 per acre-foot. The $6.00 (10.3%) year-over–year increase is primarily due to increasing SDG&E costs, which account for $5.74 or 95% of the total rate increase. The increase in SDG&E costs is a result of four 2.5% rate increases that SDG&E intends to charge the District during Fiscal 2014. The remaining $.26 increase is due to minor increases in operational and maintenance costs. ANALYSIS: Water is pumped to the Mexico connection from the District’s 870-1 Pump Station, which also pumps water to the District’s 870-1 Reservoir in the Otay Mesa area. There are a total of 4 energy bills (SDG&E) attributable to the pump station and these bills are used in the calculations for the energy portion of the rate the District charges Mexico. The water volumes pumped to both Mexico and the reservoir are added together, and the energy costs for Mexico are allocated based on the respective percentage of the total water volume. Similarly, maintenance costs for the District’s distribution infrastructure from CWA to the Mexico border connection are computed based on Mexico’s percentage of the total water volume pumped through that portion of the District’s infrastructure. The energy costs are then added to the maintenance and repair costs and expressed as an overall rate per acre-foot. Based on the methodology described above, staff has recalculated the “unit payment due OWD for delivery charges and other expenses ($/acre-foot)” to be used by the San Diego County Water Authority (CWA) on their monthly billing invoices to Mexico for water deliveries. Effective January 1, 2014, the proposed rate is $64.14 per acre-foot. FISCAL IMPACT: This adjustment maintains the District in a projected cost neutral position. STRATEGIC OUTLOOK: Strengthen the long-term financial plan. LEGAL IMPACT: None. General Manager Attachments: A) Committee Action Form ATTACHMENT A SUBJECT/PROJECT: Adjust the Wheeling Rate for the Delivery of Treaty Waters to Mexico to $64.14 for Calendar Year 2013 COMMITTEE ACTION: That the Finance, Administration and Communications Committee recommend that the Board authorize the General Manager to adjust the wheeling rate for the delivery of Treaty Waters to Mexico to $64.14 for Calendar Year 2014. 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: October 2, 2013 SUBMITTED BY: Geoffrey Stevens, Chief Information Officer PROJECT: Various DIV. NO. ALL APPROVED BY: German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: INFORMATIONAL ITEM - FY 2013 YEAR-END STRATEGIC PLAN AND PERFORMANCE MEASURES REPORT GENERAL MANAGER’S RECOMMENDATION: No recommendation. This is an informational item only. COMMITTEE ACTION: See “Attachment A”. PURPOSE: To provide a fiscal year-end report on the District’s Strategic Performance Plan for FY 2013. ANALYSIS: The District has completed the second year of the three year Strategic Plan for Fiscal Years 2012-2014. Overall, results for both the Strategic Objectives and the Performance Measures exceeded the targets of 90% and 75% respectively. AGENDA ITEM 8 2 Strategic Plan Objectives Strategic Plan Objectives are designed to ensure staff is making the appropriate high-level changes necessary to move the agency in the planned direction to meet new challenges and opportunities. Objective results were on target at 95% complete, ahead or on schedule. These results are slightly higher than the previous year. Two (2) items are behind but being addressed. Four (4) items are excluded from the statistic because they are either “on hold” or did not begin until FY 14. 95% of Strategic Plan Objectives (41 of 43) Completed or On Schedule Performance Measures Performance measures are designed to track the day-to-day performance of the District. These items measure the effectiveness and efficiency of the daily operations and, where possible, staff utilizes the AWWA QualServe Benchmarks as the basis for comparison. The overall goal is that at least 75% of these measures be rated “on target”. Year-end FY 2013 District results also exceed the goal with 35 of 43 (81%) items achieving the desired level or better. 81% of Performance Measures (35 of 43) On or Above Target 3 Next Steps Staff is beginning to prepare the FY 15-17 Strategic Plan to be presented with the FY 15 Budget early next year. Every three (3) years the District is committed to taking a more in-depth look at the strategic issues we face and revising the major elements of the plan, including a review of the mission, vision, and goals. To accomplish this, staff will review current research on the industry and industry trends, as well as meet with staff to review the plan and obtain their comments and suggestions. Committee Reports – Slideshow The Strategic Plan results are presented to both the Finance, Administration, and Communications Committee and the Engineering, Operations, and Water Resources Committee with a specific focus on the most relevant information for each Committee. Strategic Plan Available to Board from the Internet All of the strategic plan results and associated details are provided in a real time, interactive web-based application available to the Board through a VPN connection available from the District Secretary. FISCAL IMPACT: Joe Beachem, Chief Financial Officer Informational item only, no fiscal impact. STRATEGIC GOAL: Strategic Plan and Performance Measures reporting is a critical element in providing performance reporting to the Board and staff. LEGAL IMPACT: N/A. Attachments: Attachment A – Committee Action Report Attachment B – PowerPoint Presentation ATTACHMENT A SUBJECT/PROJECT: INFORMATIONAL ITEM - FY 2013 YEAR-END STRATEGIC PLAN AND PERFORMANCE MEASURES REPORT COMMITTEE ACTION: The Finance, Administration, and Communications Committee and the Engineering, Operations and Water Resources Committee met on September 17 and 23, 2013, respectively. Both Committees supported presentation to the full Board. NOTE: The “Committee Action” is written in anticipation of the Committee moving the item forward for Board approval. This report will be sent to the Board as a Committee approved item, or modified to reflect any discussion or changes as directed from the Committee prior to presentation to the full Board. Otay Water District Strategic Performance Plan FY 2013 Year-End Report Introduction •We are in the tenth year of strategic plan. •Overall plan is A three year plan FY 2012-2014. •Report to board twice per year . •This report is for year end 2013. •A - Plan reports on strategic objectives . •Those projects / tasks necessary to position Otay for change. •Summary level report on balance scorecard. •B - Plan reports on performance measures. •Specific measures of daily performance of critical activities (QualServe based when applicable). A. Strategic Plan Objectives •Overall Results •Breakdown By “Balanced Scorecard" •Designed to Ensure Broad Focus to Strategic Plan •Align Goals / Objectives with Four Key Dimensions •Customer •Finance •Business Process •Learning and Growth Results for FY2013 Year End Strategic Objectives 41 of 43 objectives complete, ahead or on target (95%) Target is 90% Balanced Scorecard Perspective •Industry Best Practice (Kaplan and Norton HBS) •Designed to Ensure Broad Focus to Strategic Plan •Align Goals / Objectives with Four Key Dimensions Customer Finance Business Process Learning and Growth Customer •Deliver high quality services to meet customer needs, and increase confidence of the customer in the value the District provides. •Maximize our Customer Satisfaction by expanding and improving communications Enhance communications with customers using our new phone system Regularly produce and evaluate communications tools and explore the effective use of new media options including: electronic newsletters, auto-dialer services, video stream Continue promoting the Water Conservation Garden as a venue for new homeowners, developers, businesses and existing homeowners Increase customers employing on-line bill payment Increase conservation related communications by expanding web-based information Financial •Provide enhanced value by directing and managing the financial issues that are critical to the District. •Improve Financial Information and Billing Systems Strengthen the long-term financial plan Develop Water and Sewer Capacity Fees for Expansion Re-negotiate the South Bay Water Reclamation Plant (SBWRP) Recycled Water Supply with the City of San Diego Evaluate the feasibility of replacing the existing customer information system or migrating to the new version of the Eden software Streamline requisition and purchasing procedures Improve financial planning and communication regarding the expenditure of District funds Business Process •Improve business functionality by constantly improving the efficiency and effectiveness of important processes. •Actively Manage Water Supply and Demand Prepare and implement a Wastewater Management Plan Implement the recommendations within the Integrated Water Resources Plan (IRP) to acquire alternative and/or additional potable and recycled water supplies and resource reliability Continue working with the City of Chula Vista (City) for the possible development of a MBR Plant and for a potential agreement with the City for recycled water supplies from the MBR Plant Work with the District’s largest potable water customers to convert landscape and interior water use to recycled water where fiscally feasible and safe Ensure best practices are followed in meeting the 20 by 2020 conservation targets including reclassification of industrial and commercial customers Educate and work with local agencies and others to influence developers, builders, and to incorporate practical water efficient practices in new construction Business Process (Continued) •Identify and implement improvements to the following business processes Strengthen CIP planning, budgeting, and cost tracking processes Implement a water loss management program Streamline Accounts Payable business processes Develop complete Asset Management Program Enhance security processes and planning Update the District’s National Incident Management System (NIMS) Emergency Management Update the District-wide Records Management program Improve and streamline meter related processes Implement GIS-centric work order system Streamline Inventory procedures Complete valve exercising program business processes Evaluate opportunities to combine or transfer similar work functions Business Process (Continued) Develop and implement large meter vault retrofit programs Develop large and small meter test bench strategy Replace SCADA software system Improve the operating cost and efficiency of data center and network services Streamline Finance business processes Develop data collection and condition assessment for collection system facilities Develop data collection and condition assessment for potable system facilities Develop gen-set load bank testing Streamline Customer Service business processes Implement the recommendation for improving response to extended power outages Implement wireless radio and data network for field operators Learning and Growth •Provide the leadership, tools, and management commitment to become a more results oriented culture. •Results-Oriented Workforce Identify management initiatives for represented/unrepresented employees in preparation for negotiations that will provide more efficiencies and more flexibility Evaluate polices and procedures as appropriate to streamline processes and ensure the District remains competitive Review classification plan with the goal of providing greater flexibility Negotiate a successor Memorandum of Understanding for represented employees for 2014 and beyond, and related compensations and benefits for unrepresented employees Senior Management Team to develop summary of expectations for management team to manage change in the future Update performance evaluation categories/program to ensure a results-oriented workforce and update and provide training if needed Evaluate pay-for-performance program to ensure the District is rewarding employees for innovations and business process review B. Performance Measures – Detail Meets or Exceeds Target Does Not Meet Target Yay! Boo! Results for FY2013 Year End Performance Measures 35 of 43 performance measures complete, ahead or on target (81%) by year end. Target is 75% Measure 1.2.101, Blanket Order Activity, aims to be above all set targets in order to have no less than 15% of material purchases acquired via blanket POs per quarter in a single year. Blanket Order Activity 1.2.101 Pe r c e n t a g e Total Customer Water Saved 1.3.102 Measure 1.3.102, Total Water Saved, aims to be above all set targets in order to save more than 100 acre feet of water in a single year. Ac r e F e e t Measure being Revised in FY14 Measure 1.3.103, Otay Water Use, aims to be below 172 Gallons Per Day Gallons Per Capita per Day 1.3.103 Ac r e F e e t Measure 1.1.100, Customer Satisfaction, is a once yearly survey that is reported on annually in the third quarter and represents the results for the given fiscal year. Customer Satisfaction 1.1.100 Measured Once per Fiscal Year Pe r c e n t a g e Health & Safety Severity Rate (QualServe) 1.4.104 Measure 1.4.104, H & S Severity Rate, aims to be below all set targets in order to have no more than 30% severity rate per quarter in a single year. Pe r c e n t a g e Measure 1.4.105, Turnover Rate, aims to be below all set targets in order to have less than 5% turnover in a single year. Pe r c e n t a g e Employee Turnover Rate 1.4.105 Measure 1.4.106, Training Hours per Employee, aims to be above all set targets in order to have more than 12 hours of training per employee in a single year. Training Hours per Employee 1.4.106 Ho u r s Measure 1.4.106, Training Hours per Employee, aims to be above all set targets in order to have more than 12 hours of training per employee in a single year. Safety Training Hours per Employee 1.4.107 Ho u r s Measure 2.2.201, Construction Change Order Incidence, aims to be below all set targets in order to have no more than 2 % in one year % rate of change orders in a single year. Construction Change Order Incidence (without allowances) 2.2.201 Pe r c e n t a g e Measure 2.2.200, CIP Project Expenditure vs. Budget, aims to be below all set targets in order to keep expenditures below 100% of the budgeted amount for a single year. Note: Annual result aims to be between 95-100% but is not to exceed 100%. Being significantly below target also gives the measure a “not on target” status. CIP Project Expenditure vs. Budget 2.2.200 Pe r c e n t a g e Measure 2.3.202, Mark Out Accuracy, aims to have no less than 100% mark out accuracy every quarter in a single year. Mark Out Accuracy 2.3.202 Pe r c e n t a g e Measure 2.3.203, Project Closeout Time, aims to be below all set targets in order to have an average closeout time of no more than 45 days per quarter in a single year. Note: No projects closed out in the 1st, quarter 2013 . Project Closeout Time 2.3.203 Da y s NA Answer Rate 3.1.300 Measure 3.1.300, Answer Rate, aims to be above all set targets in order to have an average answer rate of no less than 97% . Pe r c e n t a g e Measure 3.2.301, O & M Cost per Account, aims to be below all set targets in order to keep O & M cost per account less than $510.40 in a single year. O & M Cost per Account (QualServe) 3.2.301 Do l l a r s Measure 3.2.302, Billing Accuracy, aims to be above all set targets in order to have no less than 99.8% billing accuracy per quarter in a single year. Billing Accuracy (QualServe) 3.2.302 Pe r c e n t a g e Measure 3.2.302, Billing Accuracy, aims to be above all set targets in order to have no less than 99.8% billing accuracy per quarter in a single year. Overtime Percentage 3.2.303 Pe r c e n t a g e Measure 3.2.304, Sewer Rate Ranking, is a once yearly survey that is reported on annually in the first quarter and represents the results for the given fiscal year. The District’s goal was to be in the top 50. Sewer Rate Ranking 3.2.304 Measured Once per Fiscal Year Pe r c e n t a g e Measure 3.2.305, Water Rate Ranking, is a once yearly survey that is reported on annually in the first quarter and represents the results for the given fiscal year. The District’s goal was to be in the top 50. Water Rate Ranking 3.2.305 Measured Once per Fiscal Year Pe r c e n t a g e Measure 3.2.306, Debt Coverage Ration aims to be greater than 148%. It is measured annually. Pe r c e n t a g e Annual Measure Calculated in 4th Q Debt Coverage Ratio (QualServe) – YTD 3.2.306 Reserve Level 3.2.307 Measure 3.2.307, Reserve Level, aims to be no less than 85%. It is measured annually. Pe r c e n t a g e In Development Annual Measure Calculated at year end. Measure 3.3.308, Distribution System Loss, aims to be below all set targets in order to ensure less than 5% of unaccounted water in a single year. *The calculation is a year-to-date calculation, so Qtr Result = YTD Result. Distribution System Loss (QualServe) 3.3.308 Pe r c e n t a g e Customer Satisfaction with Website 4.1.400 Measure 4.1.400, Customer Satisfaction with Website, is a once yearly survey that is reported on annually in the second quarter and represents the results for the given fiscal year. Measured Once per Fiscal Year Pe r c e n t a g e Measure 4.3.401, Network Availability, aims to be above all set targets in order to have an average of no less than 99.2% network availability per quarter in a single year. Network Availability 4.3.401 Pe r c e n t a g e Website Hits 4.4.402 Measure 4.4.402, Website Hits, aims to be above all set targets in order to have an average of no less than 12,100 website hits per quarter in a single year. Nu m b e r o f H i t s Measure 5.1.500, Unplanned Disruptions, aims to be below all set targets in order to have no more than .7 disruptions per 1000 accounts in a single year. Note: Target is expressed as number of disruptions per 1000 accounts Unplanned Disruptions (QualServe) 5.1.500 Di s r u p t i o n s p e r 1 0 0 0 A c c o u n t s Measure 5.1.501, Technical Quality Complaint, aims to be below all set targets in order to have no more than 9 complaints per 1000 customer accounts in a single year. Technical Quality Complaint (QualServe) 5.1.501 Co m p l a i n t s p e r 1 0 0 0 A c c o u n t s Measure 5.2.502, Planned Drinking Water Maintenance Ratio in $, aims to be above all set targets in order to have no less than 66 % of all labor dollars spent on preventative maintenance per quarter in a single year. Note: Quarterly results are subject to change. Planned Potable Water Maintenance Ratio in $ (QualServe) 5.2.502 Pe r c e n t a g e Measure 5.2.503, Planned Recycled Water Maintenance Ratio in $, aims to be above all set targets in order to have no less than 70% of all labor dollars spent on preventative maintenance per quarter in a single year. Note: Quarterly results are subject to change. Planned Recycled Water Maintenance Ratio in $ 5.2.503 Pe r c e n t a g e Measure 5.2.504, Planned Wastewater Maintenance Ratio in $, aims to be above all set targets in order to have no less than 66% of all labor dollars spent on preventative maintenance per quarter in a single year. Note: Quarterly results are subject to change. Planned Wastewater Maintenance Ratio in $ (QualServe) 5.2.504 Pe r c e n t a g e Measure 5.2.505, Direct Cost of Treatment per MGD, aims to be below all set targets in order to have no more than $1000 per MG spent on wastewater treatment per quarter in a single year. Direct Cost of Treatment per MGD (QualServe) 5.2.505 Do l l a r s Measure 5.2.506, O & M Cost per MGP - wastewater, aims to be below all set targets in order to have no more than $1750 per MG spent on O & M for wastewater treatment per quarter in a single year. O & M Cost per MGP - Wastewater (QualServe) 5.2.506 Do l l a r s Measure 5.3.507, % PMs Completed – Fleet Shop, aims to be above all set targets in order to have no less than 90% of the scheduled PMs completed per quarter in a single year. % PMs Completed – Fleet Shop 5.3.507 Pe r c e n t a g e Measure 5.3.508, % PMs Completed – Reclamation Plant, aims to be above all set targets in order to have no less than 90% of the scheduled PMs completed per quarter in a single year. % PMs Completed – Reclamation Plant 5.3.508 Pe r c e n t a g e Measure 5.3.508, % PMs Completed – Reclamation Plant, aims to be above all set targets in order to have no less than 90% of the scheduled PMs completed per quarter in a single year. % PMs Completed – Pump and Electric 5.3.509 Pe r c e n t a g e Measure 5.3.510, % PMs Completed – Valve Maintenance Program, aims to be above all set targets in order to have no less than 90% of the scheduled PMs completed per quarter in a single year. % PMs Completed – Valve Maintenance Program 5.3.510 Pe r c e n t a g e Measure 5.3.511,Valve Exercising Program, aims to be above all set targets in order to have no less than 2400 valves exercised in a single year. Valve Exercising Program 5.3.511 Nu m b e r o f V a l v e s Measure 5.3.512, Water Distribution System Integrity, aims to be below all set targets in order to have no more than 16 leaks and breaks per 100 miles of distribution piping in a single year. Water Distribution System (Potable) Integrity (QualServe) 5.3.512 Le a k s o r B r e a k s p e r 1 0 0 M i l e s Measure 5.3.513, Planned Water Service Disruption Rate, aims to be below all set targets in order to have no more than 2.5 planned outages per 1000 accounts per quarter in a single year. Note: This measure is expressed as number of accounts affected per 1000 accounts Planned Water Service Disruption Rate (QualServe) 5.3.513 Di s r u p t i o n s p e r 1 0 0 0 A c c o u n t s Measure 5.3.514, Drinking Water Compliance Rate, aims to be no less than 100% every quarter in order to ensure the District meets all of the health related drinking water standards everyday for a single year. Potable Water Compliance Rate (QualServe) 5.3.514 Pe r c e n t a g e Measure 5.3.515, Collection System Integrity, aims to be below all set targets in order to have no more than 3.5 wastewater collection system failures per 100 miles of collection system pipeline in a single year. Collection System Integrity (QualServe) 5.3.515 Fa i l u r e s p e r 1 0 0 M i l e s No Spills in 2013! Measure 5.3.516, Replace Manual Read Meters with Automated Meters, aims to be above all set targets in order to have no less than 4500 meters replaced in a single year. Replace Manual Read Meters with Automated Meters 5.3.516 Nu m b e r o f M e t e r s Measure 5.3.517, Recycled Water System Integrity, aims to be below all set targets in order to have no more than 6.6 leaks or breaks per 100 miles of recycled distribution system in a single year. Recycled Water System Integrity 5.3.517 Le a k s o r B r e a k s p e r 1 0 0 M i l e s Measure 5.3.518, Sewer Overflow Rate, aims to have no overflows in a single year. Sewer Overflow Rate (QualServe) 5.3.518 Ov e r f l o w s p e r 1 0 0 M i l e s Next Steps FY2015 – 2017 Plan •Reevaluation of Current Goals and Strategies •Evaluation of Alternatives •Evolution of Strategy Maps •Begin in October 2014 •Finalize By March 2015 •Board Adoption with FY15 Budget Questions and Comments