HomeMy WebLinkAbout02-14-12 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
February 14, 2012
12:00 P.M.
This is a District Committee meeting. This meeting is being posted as a special meeting
in order to comply with the Brown Act (Government Code Section §54954.2) in the event that
a quorum of the Board is present. Items will be deliberated, however, no formal board actions
will be taken at this meeting. The committee makes recommendations
to the full board for its consideration and formal action.
AGENDA
1. ROLL CALL
2. PUBLIC PARTICIPATION – OPPORTUNITY FOR MEMBERS OF THE PUBLIC
TO SPEAK TO THE BOARD ON ANY SUBJECT MATTER WITHIN THE
BOARD'S JURISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
DISCUSSION ITEMS
3. REPORT ON DIRECTORS EXPENSES FOR THE 2ND QUARTER OF FISCAL
YEAR 2012 (PRENDERGAST) [5 minutes]
4. APPROVE ENGAGEMENT LETTER FROM THE AUDITING FIRM OF WHITE
NELSON DIEHL EVANS, LLP TO CONTRACT FOR AUDIT SERVICES FOR
FISCAL YEAR 2012 (CUDLIP) [5 minutes]
5. REVIEW DRAFT QUESTIONNAIRES FOR THE CUSTOMER SATISFACTION
AND AWARENESS AND CALL CENTER SURVEYS (BUELNA) [10 minutes]
6. APPROVE A THREE-YEAR AGREEMENT (ONE-YEAR WITH AN OPTION TO
RENEW FOR TWO ADDITIONAL YEARS) WITH MARSTON+MARSTON, INC.
FOR THE PUBLIC OUTREACH AND CREATIVE SERVICES FOR AN AMOUNT
NOT-TO-EXCEED $200,000 FOR THE LIFE OF THE AGREEMENT. THE
CONTRACT ALLOWS THE DISTRICT TO CONTINUE USING
MARSTON+MARSTON, INC. UNTIL EITHER PARTY CHOOSES TO
TERMINATE THE BUSINESS RELATIONSHIP (BUELNA) [5 minutes]
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7. ADOPT ORDINANCE NO. 531 AMENDING SECTIONS 25, CONDITIONS FOR
WATER SERVICE; 28, CONNECTION FEES AND CHARGES FOR POTABLE
OR RECLAIMED WATER SERVICE; 38, SERVICE FOR FIRE PROTECTION
SYSTEMS; OF THE DISTRICT’S CODE OF ORDINANCES TO INCLUDE
MANDATED FIRE SERVICE STANDBY CAPACITY FOR SINGLE-FAMILY
RESIDENCES (BELL) [5 minutes]
8. INFORMATIONAL REPORT ON CHANGES TO THE DISTRICT’S RECORDS
RETENTION POLICY (STEVENS) [5 minutes]
9. INFORMATIONAL REPORT ON THE PROJECTED FISCAL YEAR 2012
COMPARATIVE BUDGET SUMMARY (BELL) [10 minutes]
10. DISCUSS DESIGNEE AUTHORIZED TO VOTE FOR THE OTAY WATER
DISTRICT REPRESENTATIVES TO THE SAN DIEGO COUNTY WATER
AUTHORITY WHEN BOTH OWD REPRESENTATIVES ARE ABSENT FROM A
MEETING OF THE AUTHORITY (WATTON) [5 minutes]
11. ADJOURNMENT
BOARD MEMBERS ATTENDING:
Jaime Bonilla, Chair
David Gonzalez
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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 February 10, 2012 I posted a copy of the foregoing agenda near
the regular meeting place of the Board of Directors of Otay Water District, said time be-
ing at least 24 hours in advance of the meeting of the Board of Directors (Government
Code Section §54954.2).
Executed at Spring Valley, California on February 10, 2012.
___________________________________
Susan Cruz, District Secretary
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: March 7, 2012
SUBMITTED BY:
Sean Prendergast, Payroll/AP
Supervisor
PROJECT: DIV. NO. All
APPROVED BY:
Joseph R. Beachem, Chief Financial Officer
German Alvarez, Asst. GM Finance and Administration
Mark Watton, General Manager
SUBJECT: Director’s Expenses for the 2nd Quarter of Fiscal Year 2012
GENERAL MANAGER’S RECOMMENDATION:
This is an informational item only.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To inform the Board of the Director’s expenses for the 2nd quarter of
Fiscal Year 2012.
ANALYSIS:
The Director’s expense information is being presented in order to
comply with State law. (See Attachment B for Summary and C-H for
Details.)
FISCAL IMPACT:
None.
AGENDA ITEM 3
2
STRATEGIC GOAL:
Prudently manage District funds.
LEGAL IMPACT:
Compliance with State law.
Attachments: Attachment A Committee Action
Attachment B Director’s Expenses and per Diems
Attachment C-H Director’s Expenses Detail
ATTACHMENT A
SUBJECT/PROJECT:
Director’s Expenses for the 2nd Quarter of Fiscal Year 2012
COMMITTEE ACTION:
This is an informational item only.
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: March 7, 2012
SUBMITTED BY:
James Cudlip, Finance Manager
PROJECT: DIV. NO. All
APPROVED BY:
Joseph R. Beachem, Chief Financial Officer
German Alvarez, Assistant General Manager, Finance and
Administration
Mark Watton, General Manager
SUBJECT: Appointment of Auditor for Fiscal Year Ending June 30, 2012
GENERAL MANAGER’S RECOMMENDATION:
That the Board authorize the General Manager to sign the engagement
letters from the auditing firm of White Nelson Diehl Evans LLP, to
contract for audit services for the 2012 Fiscal Year.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
The District is required to retain the services of an independent
accounting firm to perform an audit of the District’s financial
records each year.
ANALYSIS:
At the Board meeting on March 9, 2009, the Board approved Diehl,
Evans & Company, LLP as the District’s auditors for a 1-year
contract, with four (4) 1-year options, with each option year subject
to Board review and approval. The Board subsequently approved
contract options in March 2010, and February 2011, to perform the
respective FY-2010 and FY-2011 audits. In October 2011, Diel, Evans
& Company, LLP merged with the accounting firm White, Nelson & Co.,
and now operates under the name White Nelson Diehl Evans LLP. The
AGENDA ITEM 4
2
firm has retained all of the audit staff that completed the
District’s FY-2011 audit.
Staff is recommending the appointment of White Nelson Diehl Evans LLP
as the District’s auditors for FY-2012, in conjunction with the third
1-year contract option. This is based on their staff’s knowledge of
the District’s operations and finances, their technical
qualifications, and their performance as the District’s auditors
during the FY-2009 through FY-2011 audits. Also, at the conclusion
of these audits, the White Nelson Diehl Evans staff provided
significant advice and review of staff’s draft Comprehensive Annual
Financial Report (CAFR) prior to submission to the Government Finance
Officers Association (GFOA) for award consideration.
The following is a tentative planning schedule for the major
activities involved in completing the FY-2012 financial audit:
Apr-2012: Pre-audit (3 – 4 days).
Aug-2012: Year-end audit (4 – 5 days).
Nov-2012: Board presentation of audited financials.
Dec-2012: Completed CAFR.
The audit will consist of four major components: 1) Standard Audit
Services, to provide an audit opinion on the District’s financial
statements; 2) Review of the District’s Investment Policy procedures;
3) A State Controllers Report, required by the State of California;
and 4) Assistance in preparation of the District’s CAFR. If
necessary, due to receipt of sufficient federal grant funds, the firm
will also complete a Single-Audit report as required by the Federal
Government, at no additional cost to the District.
FISCAL IMPACT:
The fee for auditing services for the Fiscal Year ending June 30,
2012, will not exceed $34,000. This is an increase of $1,000 over
last year’s fee, but is the first fee increase since the inception of
the contract in 2009.
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.
LEGAL IMPACT:
Required by law.
3
Attachments: Attachment A – Committee Action Form
Attachment B – White Nelson Diehl Evans LLP Audit
Engagement Letter
Attachment C – White Nelson Diehl Evans LLP State
Controllers Report Engagement Letter
Attachment D – White Nelson Diehl Evans LLP Agreed
Upon Procedures Engagement Letter
ATTACHMENT A
SUBJECT/PROJECT:
Appointment of Auditor for Fiscal Year Ending June 30, 2012
COMMITTEE ACTION:
The Finance and Administration Committee supported staff’s
recommendation to the Board to appoint Diehl, Evans & Company, LLP, as
the District’s auditors for the fiscal year ending June 30, 2012.
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: March 7, 2012
SUBMITTED BY:
Armando Buelna
Communications Officer
PROJECT: Various DIV. NO. ALL
APPROVED BY:
Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Customer Surveys – Draft Survey Questionnaires
GENERAL MANAGER’S RECOMMENDATION:
That the Board of Directors review the draft questionnaires to be
used in the next Customer Satisfaction and Awareness and Call Center
Surveys.
COMMITTEE ACTION:
PURPOSE:
To provide the Board of Directors the opportunity to review the draft
questionnaires to be used in the next Customer Satisfaction and
Awareness and Call Center Surveys.
ANALYSIS:
Attached are draft questionnaires developed by Rea & Parker Research
in conjunction with District staff for consideration by the Board of
Directors for use in the Customer Satisfaction and Awareness
(General) and Call Center surveys.
In the General survey, customers residing within the District’s
service area will be selected at random for a telephone survey.
AGENDA ITEM 5
2
Respondents are asked a series of questions to ascertain their
overall perception of service, rates, and District programs. The
results are then analyzed and are representative of all Otay
customers with a margin of error of +/- 5.7% at a 95% confidence
level.
With the results of this and baseline data from earlier surveys, the
District is able to follow changes in customer attitudes and
opinions. The opinions of Otay customers, where applicable, can also
be compared and contrasted to those collected by the San Diego County
Water Authority in their annual customer survey.
In the Call Center survey, respondents will be selected at random
from those customers who have contacted the District’s Customer
Service Call Center within the last 6 months. Those individuals will
be asked about specific Call Center interaction such as courtesy,
knowledge, and helpfulness of Customer Service personnel. This survey
of 300 customers will also yield a margin of error of +/- 5.7% at 95%
confidence.
To obtain a lower margin of error for the surveys, the survey size
would have to increase. For instance, to obtain a margin of error of
+/- 5% at 95% confidence, where n equals the number of people
sampled, n would have to increase to 385, though n = 400 is more
commonly used. The additional cost to reduce the margin of error to
+/- 5% is $2,500 for each survey(or $2,750 for the more commonly used
n = 400). To obtain a margin of error of +/-4% at 95% confidence, the
survey size would increase further to n = 600, and cost an additional
$6,500 more per survey.
The ultimate goal of each survey is to improve customer service.
FISCAL IMPACT:
The cost of conducting the two surveys with a margin of error of +/-
5.7% at 95% confidence will total $28,500. Funding at this level is
included in the General Manager’s adopted budget. Based on a review
of the budget, the Communications Officer anticipates the budget is
sufficient to support performing these two customer surveys.
STRATEGIC GOAL:
Deliver high quality services to meet customer needs, and increase
confidence of the customer in the value the District provides.
LEGAL IMPACT:
None.
3
Attachments: Attachment A – Committee Action
Attachment B – General Customer Survey
Attachment C – Call Center Survey
ATTACHMENT A
SUBJECT/PROJECT:
Customer Surveys – Draft Survey Questionnaires
COMMITTEE ACTION:
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 Survey
Rea & Parker Research C1
Otay Water District
General Survey
INT. Hello, my name is _______________. I'm calling on behalf of the Otay Water District.
We're conducting a study about some issues having to do with your household water
supply and we're interested in your opinions. [IF NEEDED:] Are you at least 18 years
of age or older? [IF 18+ HOUSEHOLDER NOT AVAILABLE NOW, ASK FOR FIRST
NAME AND MAKE CB ARRANGEMENTS]
VER. [VERSION OF INTERVIEW:] 1 - VERSION A 2 - VERSION B*
* = RESPONSE OPTIONS REVERSED ON VERSION B FOR ALL QUESTIONS INDICATED
IC. Let me assure you that no names or addresses are associated with the telephone
numbers, and all of your responses are completely anonymous. The questions take
about ten minutes. To ensure that my work is done honestly and correctly, this call may
be monitored. Do you have a few minutes right now?
[IF ASKED ABOUT MONITORING:] My supervisor randomly listens to interviews to
make sure we're reading the questions exactly as written and not influencing answers in
any way.
TOP. [ONLY IF ASKED FOR MORE INFORMATION ABOUT TOPIC OR WHO'S
SPONSORING IT?:] This project is sponsored by the Otay Water District, and it's
about some issues related to your household water supply. [IF SPONSOR
INFORMATION GIVEN TO RESPONDENT, "TOPIC"=1]
CUST. How long have you been a customer of the Otay Water District? [IF LESS THAN ONE
YEAR, THANK AND CODE NQR-RES]
_________ YEARS
0 -----------> "NQR-RES"
99 - DK/REF, BUT AT LEAST ONE YEAR
SEX. [RECORD GENDER OF RESPONDENT:]
1 - MALE
2 - FEMALE
-------------------------- QUALIFIED RESPONDENT: QUOTAS CHECKED; DATA SAVED -------------------------
LP. [IF INDICATED BY ACCENT:] Would you prefer that we speak in...
1 - English or
2 - Spanish?
SATISFACTION
Q1: How would you rate your overall satisfaction with the Otay Water District as your water
service provider?
1---Excellent
2---Very Good
ATTACHMENT B
Otay Water District Survey
Rea & Parker Research C2
3—Good
4---Fair
5—Poor
6---Very Poor
9 - DK/REF [DO NOT READ]
Q1a. [IF Q1 = 5 or 6] Please explain why you feel this way?
________________________________________________________
Q2: Have you called the Otay Water District for service or other help during the past
6 months?
1 - YES
2 - NO – [GO TO Q3]
9 - DK/REF [DO NOT READ]– [GO TO Q3]
Q2a—[IF Q2 = 1] How would you rate your overall level of satisfaction with the service
you received when you called for service or help?
1---Excellent
2---Very Good
3—Good
4---Fair
5—Poor
6---Very Poor
9 - DK/REF [DO NOT READ]
Q3. These next questions are related to the water supply in San Diego County. How
confident are you in the ability of local water agencies to provide enough water to you?
Would you say...* [REVERSE]
1 - very confident,
2 - somewhat confident,
3 - not very confident,
4 - not at all confident,
5 - or are you not sure? [INCLUDES DK/REF]
Q4. How much trust do you have in the ability of the Otay Water District to provide clean,
safe water to the district? Would you say...* [REVERSE]
1 – a great deal of trust,
2 – a good amount of trust,
3 – some trust,
4 -- not much trust,
5 – no trust at all?
9 -- not sure [INCLUDES DK/REF]
Q4a. How much trust do you have in the Otay Water District to obtain this water for you
at a reasonable price? Would you say…[REVERSE]
1 – a great deal of trust,
2 – a good amount of trust,
3 – some trust,
Otay Water District Survey
Rea & Parker Research C3
4 -- not much trust,
5 – no trust at all?
9 -- not sure [INCLUDES DK/REF]
WATER SHORTAGE------------WATER RATES
Q5a-c. I am going to mention six utilities that serve the needs of residents and businesses in
the region. Considering only those utilities that you pay for, which would you say is the
best value for the amount of money that you pay. Which ones are second and third?
[ROTATE LIST]
MOST (5a) SECOND (5b) THIRD (5c)
a. Trash collection 1 1 1
b. Water 2 2 2
c. Sewer 3 3 3
d. Telephone 4 4 4
e. Cable or Satellite TV 5 5 5
f. Internet access 6 6 6
g. Gas & Electric 7 7 7
Q6. In the past year, do you believe that your water rates have...
1 - gone up,
2 - gone down, -----------> GO TO Q7
3 - stayed about the same, -----------> GO TO Q7
4 - or are you not sure? -----------> GO TO Q7
9 - DK/REF [DO NOT READ]-----------> GO TO Q7
Q6a [IF Q6 = 1]. What do you think has been the two biggest causes of your rates
increasing?
[DO NOT READ-------------CODE USING FOLLOWING
SCHEMA:]
1 – INCREASED RELIANCE ON IMPORTED WATER
2 – WATER SHORTAGE DUE TO LESS RAIN IN SAN DIEGO THAN NORMAL
3 - POPULATION GROWTH
4 – COURT ORDERS REDUCING LOCAL WATER SUPPLY
5 – PRICE INCREASES FROM THE METROPOLITAN WATER DISTRICT
6—PRICE INCREASES FROM THE SAN DIEGO COUNTY WATER AUTHORITY
7—INCREASING OPERATIONAL COSTS AT OTAY WATER DISTRICT
8—OTAY WATER DISTRICT MANAGEMENT COSTS
9—LESS SNOW IN MOUNTAINS
10—LESS WATER IN COLORADO RIVER
20- OTHER _______________________
99. DK/REF
Otay Water District Survey
Rea & Parker Research C4
Q6b. [IF Q6 = 1] Have higher water rates affected your level of satisfaction
with the Otay Water District?
1 – Yes. Higher water rates have caused my overall satisfaction with the
Otay Water District to decline.
2 - No. Higher water rates have not changed my overall satisfaction
with the Otay Water District. Rising rates are not entirely within
the District’s control.
9 - DK/REF [DO NOT READ]
Q6c. [IF Q6=1] Have higher water rates motivated you to conserve more
water?
1 – YES
2 - NO-----------> GO TO Q7
9 - DK/REF [DO NOT READ]-----------> GO TO Q7
Q6d. [IF Q6c=1] What specific major step has your household taken in the
past year to reduce your water usage?
________________________________________99-DK/REF
[DO NOT READ-------------CODE USING FOLLOWING SCHEMA:]
1 – OUTDOOR WATER LESS TIME
2 - IRRIGATE EARLIER IN THE MORNING OR LATER AT NIGHT
3—LET MY LANDSCAPE/LAWN DIE
4 - OUTDOOR WATERING FEWER DAYS DAY PER WEEK
5 - CHECK THE SOIL’S MOISTURE LEVEL BEFORE WATERING
6 - REPLACE UNUSED TURF WITH LOW-WATER PLANTS
7 - UPGRADE IRRIGATION SYSTEM TO INCLUDE NEW, HIGH-
EFFICIENCY EQUIPMENT
8 – PURCHASE A HIGH EFFFICENCY CLOTHES WASHER
9 – WASH ONLY FULL LOADS OF CLOTHES OR DISHES
10 – TAKE SHORTER SHOWERS
11 – USE A BROOM INSTEAD OF A HOSE ON PAVED AREAS
12 – FIX INDOOR LEAKS (TOILET, FAUCET, ETC.)
13 – FIX OUTDOOR LEAKS (SPRINKLERS, SPAS, ETC.)
14-- DO NOT LET WATER RUN
15 – COLLECT AND REUSE
16 – REPLACE GRASS WITH ARTIFICIAL/SYNTHETIC TURF
20 – OTHER, SPECIFY___
________________________________
OUTDOOR WATERING---ASK EVERYONE
Q7. These next few questions deal with using water outdoors. Does your residence have
any outdoor landscaping that someone in your household is directly responsible for
maintaining?
1 - YES
2 - NO/APT/CONDO/NO YARD RESPONSIBILITIES ------------> GO TO Q8
Otay Water District Survey
Rea & Parker Research C5
9 - DK/REF—DO NOT READ ------------> GO TO Q8
Q7a. Does your landscaping include a lawn?
1 - YES
2 - NO
9 - DK/REF [DO NOT READ]
Q7b. Do you have an automatically-controlled sprinkler system for your
landscaping?
1 - YES
2 - NO ------------> GO TO Q8
9 - DK/REF [DO NOT READ]------------> GO TO Q8
Q7c. [IF Q7b = 1] During the past 12 months, how often has anyone made
adjustments to the automatic controller for your sprinkler system?
1 - NOT AT ALL
2 - 1 TO 3 TIMES
3 - 4 to 6 TIMES
4 –7 OR MORE TIMES
5 - USE WEATHER-BASED CONTROLLER
9 - DK/REF [DO NOT READ]
DESALINATION
Q8. These next questions are about desalination. Are you familiar with the term
“desalination.”
1. YES
2. NO [include DK/REF]
Q9. [IF Q8a = 1, then start with “As you may already know,”] Desalination is the process of
making drinking water and water for other household and business uses from ocean water.
Desalination is a process that forces water through a very fine filter that is designed to remove ocean
salts and other impurities from the ocean water.
Do you believe that desalination is important to maintaining a reliable supply of water in
San Diego County?
1- Yes, very important
2- Yes, somewhat important
3- No, not very important
4- No, not at all important
9. DK/REF---[DO NOT READ—ONLY IF VOLUNTEERED]
Q10. AN OCEAN WATER DESALINATION PLANT IS TENTATIVELY PLANNED FOR THE
CITY OF ROSARITO BEACH IN MEXICO AND THE OTAY WATER DISTRICT HAS
THE OPPORTUNITY TO PURCHASE SOME OF THAT WATER STARTING IN 2015
OR 2016. THIS PROJECT WOULD BE FINANCED AND OPERATED BY
INTERNATIONAL COMPANIES WITH CONSIDERABLE EXPERIENCE IN OCEAN
Otay Water District Survey
Rea & Parker Research C6
WATER DESALINATION, WITH TIJUANA, ROSARITO BEACH, AND THE OTAY
WATER DISTRICT BEING THE PLANT’S CUSTOMERS.
Would you be in favor of pursuing such an agreement with these international
companies to develop additional supplies of water from seawater desalination?
1. Yes—GO TO Q11
2. No
9 - DK/REF [DO NOT READ]—GO TO Q11
Q10a. [IF Q10 = 2] Why are you not in favor of this desalination agreement?
__________________________________________________________
[USE FOLLOWING CODING BUT DO NOT READ—ENTER OTHER ANSWERS
VERBATIM—99 = DK/REF]
1. Questionable water quality
2. It should be done in U.S—US needs the jobs.
3. Do not trust/want to deal with Mexico
4. High cost
5. Do not know enough yet—Need more information
6. Do not want to drink sea water
7. Want local control
WATER RECYCLING
Q11a-d. The use of recycled water is another way to increase the water supply. Would you
favor or oppose the use of recycled water for the following types of uses...
[CLARIFY:] Do you strongly or somewhat {favor/oppose} that?
strgly smwt smwt strgly DK/
Do you favor or oppose using recycled water... favor favor oppose oppose REF—not
read
a) for watering landscaping along freeways
open space, parks and golf courses? 1 2 3 4 9
b) for watering residential front yards? 1 2 3 4 9
c) for replenishing recreational lakes? 1 2 3 4 9
d) as an addition to the supply of
drinking water 1 2 3 4 9
CONSERVATION GARDEN
Q12. Have you ever seen or heard anything about the Water Conservation Garden at
Cuyamaca College?
1 - YES
Otay Water District Survey
Rea & Parker Research C7
2 - NO------------> GO TO Q13
9 - DK/REF [DO NOT READ]------------> GO TO Q13
Q12a. [IF Q12 = 1] Have you or any member of your family ever visited the garden?
1 - YES
2 - NO ------------> GO TO Q13
9 - DK/REF [DO NOT READ]------------> GO TO Q13
Q12b. Have you made any changes to your watering or landscaping practices as a result of
visiting the Garden?
1 – YES
2 – NO
9 - DK/REF [DO NOT READ]
PUBLICATIONS
Q13. Do you read the newsletter or bill inserts that come in the mail with your monthly water
bill…
1 - every time,
2 - most times,
3 - sometimes, or
4 - never?
9 - DK/REF [DO NOT READ]
SOCIAL MEDIA
Q14a-e. Which, if any, of the following social media websites do you use?
YES (1) NO (2) (incl. DK)
a. Facebook
b. Twitter
c. LinkedIn
d. My Space
e. You Tube
14f-g. Are there any other Social Media websites that you use___________
[RECORD UP TO TWO RESPONSES]—ENTER 9 IF RESPONSE IS NO OR DK
Q15a-e. Do you think that the Otay Water District can use these sites for your benefit to
YES NO DK (do not read)
a. notify you about scheduled construction
or system repairs
b. ask questions and receive comments
about your satisfaction with services
c. distribute emergency information
d. discuss water industry news and
new developments
Otay Water District Survey
Rea & Parker Research C8
e. communicate information about the District
Q16. On a scale of 1-5, with 1 being very important and 5 being very unimportant, how
important is it to you that the Otay Water District have a presence using social media?
1. Very important
2. Somewhat important
3 Neither Important nor important
4 Somewhat unimportant
5. Very Unimportant
9 - DK/REF [DO NOT READ]
COMMUNICATION
Q17. The Otay Water District sends information to its customers on a regular basis. How
would feel about receiving information from the Otay Water District at your home e-mail
address?
1 – I think that using my home e-mail is a good way for me to receive information from
the Otay Water District.
2 – I do not want to receive information from the Otay Water District at my home e-mail.
9 - DK/REF [DO NOT READ]
Q18. Have you ever visited the Otay Water District website?
1 - YES
2 – HAVE ACCESS TO INTERNET, BUT HAVE NOT VISITED WEBSITE --------
---------------> GO TO Q19
3—DO NOT HAVE ACCESS TO THE INTERNET----------GO TO Q19
9 - DK/REF [DO NOT READ-----------------> GO TO Q19
Q18a. [IF Q18 = 1] How would you rate the website? Would you say...
1 - excellent,
2 - good,
3 - fair, or
4 - poor?
9 - DK/REF [DO NOT READ]
BILL PAYMENT
Q19. The Otay Water District has recently implemented a new bill design. It was first mailed
to customers in September 2011. How satisfied are you with the ease of understanding this
new water bill?
1 - very satisfied,--GO TO Q20
2 - somewhat satisfied, GO TO Q20
3—neither satisfied nor dissatisfied
4 - somewhat dissatisfied,
5 - very dissatisfied?
6 –OR are you not aware of the new bill design GO TO Q20
Otay Water District Survey
Rea & Parker Research C9
9 - DK/REF [DO NOT READ] GO TO Q20
Q19a. How would you suggest improving the design of the water bill?
99 - DK/REF [DO NOT READ]
Q20. How do you pay your water bill most months?
1—Send check by mail
2—Automatic bank deduction
3—Credit card over the telephone
4—In person at the Otay Water District office
5—In person at payment center
6—On-line (Internet) [GO TO Q21]
Q20a. [IF Q20 NOT = 6] What can the District do to make paying on-line through the
District’s Website a more appealing option for you?
_______________________________________________________________
DK/REF = 99
[USE THE FOLLOWING CODES BUT DO NOT READ THEM. ENTER ALL OTHER
ANSWERS ABOVE]
1. THERE IS NOTHING THAT WOULD MAKE ME PAY ONLINE
2. OFFER DISCOUNTS ON THE BILL
Q21. No matter how you presently pay your bill, how would you prefer to pay your bill most of
the time?
1—Send check by mail
2—Automatic bank deduction
3—Credit card over the telephone
4—In person at the Otay Water District office
5—In person at payment center
6—On-line (Internet)
9 - DK/REF [DO NOT READ
Q22 Would you be interested in receiving your monthly bill from the Otay Water District by e-
mail instead of through the Postal Service?
1 - YES
2 - NO
9 - DK/REF [DO NOT READ]
Q23. How likely are you to choose to go paperless in your bill paying to the District and other
regular monthly accounts within the next year or two? That is, you would receive your bill by e-
mail and would make your payments in one of several ways (phone, online, automatic
deduction) but not by check or cash.
1. Very likely—GO TO Q24
2. Somewhat likely—GO TO Q24
3. Somewhat unlikely
4. Very unlikely
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9. DK/REF [DO NOT VOLUNTEER] —GO TO Q24
Q23a. [IF Q23 =3 or 4] What is your major objection to going paperless for bill
paying?
_______________________________________________
[USE FOLLOWING CODING BUT DO NOT READ—ENTER OTHER ANSWERS
VERBATIM—99 = DK/REF]
1. Want paper record
2. Computers can fail
3. Trust/security
4. Do not use computers that often
5. I do not keep personal records on the computer
6. Used to paying by check
7. I will forget to check for the bill on the computer
POWER OUTAGE
Q24. On September 8, 2011, many households throughout Southern California experienced
a massive power outage for several hours. During the power outage and for a couple of
days afterword, were you concerned that the quality of your water was compromised
and therefore was not usable without special treatment?
1 – Yes. I felt the quality of my water was possibly compromised.
2 - No. I was not concerned about the quality of my water.
9 - DK/REF [DO NOT READ
Q25. During the power outage, were you concerned that there would be a disruption in the
delivery of your water by the Otay Water District?
1 – Yes. I was concerned that a disruption might occur.
2 - No. I was not concerned that there would be a disruption in the delivery of my
water.
9 - DK/REF [DO NOT READ
Q26. How did you obtain information during the power outage? (select all that apply)
1 – battery operated or car radio
2 – wireless internet
3 – conversations by cell phone
4 – Twitter____________
5-- Facebook
6 – e-mail
7 – text messages
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15– other (specify) _________________
20 – DK/REF—DO NOT READ
Q27. If another power outage or similar mishap should occur, how would you most prefer to
receive information about the situation? (select only one)
1 – battery operated or car radio
2 – wireless internet
3 – conversations by cell phone
4 – Twitter____________
5-- Facebook
6 – e-mail
7 – text messages
15– other (specify) _________________
20 – DK/REF—DO NOT READ
ASK ALL:
In closing, these questions are for comparison purposes only.
PPH. How many persons, including yourself, live in your household?
___________
99 - DK/REF
TEN. Is your residence owned by someone in your household, or is it rented?
1 - OWN
2 - RENT/OTHER STATUS
9 - DK/REF [DO NOT READ
EDU. What is the highest grade or year of school that you have completed and received credit
for...
1 - high school or less,
2 - at least one year of college, trade or vocational school,
3 - graduated college with a bachelor's degree, or
4 - at least one year of graduate work beyond a bachelor's degree?
9 - DK/REF [DO NOT READ
AGE. Please tell me when I mention the category that contains your age...
1 - 18 to 24,
2 - 25 to 34,
3 - 35 to 44,
4 - 45 to 54,
5 - 55 to 64, or
6 - 65 or over?
9 - DK/REF [DO NOT READ
ETH. Which of the following best describes your ethnic or racial background...
1 - white, not of Hispanic origin;
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2 - black, not of Hispanic origin;
3 - Hispanic or Latino;
4 - Asian or Pacific Islander;
5 - Native American;
6 – Middle Eastern
15 - another ethnic group? [SPECIFY:] __________________________________
20 - DK/REF [DO NOT READ
INC. Now, we don't want to know your exact income, but just roughly, could you tell me if
your annual household income before taxes is...
1 - under $25,000,
2 - $25,000 up to but not including $50,000,
3 - $50,000 up to (but not including) $75,000,
4 - $75,000 up to (but not including) $100,000,
5 - $100,000 up to but not including $150,000?
6 -- $150,000 and over
9 - DK/REF [DO NOT READ
LAN. [LANGUAGE OF INTERVIEW:] 1 - ENGLISH 2 - SPANISH
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INT. Hello, my name is _______________. I'm calling on behalf of the Otay Water
District. We are conducting a study about some issues having to do with the
service you have received from the District. We are interested in your opinions.
[IF NEEDED:] Are you at least 18 years of age or older? [IF 18+
HOUSEHOLDER NOT AVAILABLE NOW, ASK FOR FIRST NAME AND MAKE
CB ARRANGEMENTS]
VER. [VERSION OF INTERVIEW:] 1 - VERSION A 2 - VERSION B*
* = RESPONSE OPTIONS REVERSED ON VERSION B FOR ALL QUESTIONS INDICATED
IC. Let me assure you that no names or addresses are associated with the
telephone numbers, and all of your responses are completely anonymous. The
questions take about ten minutes. To ensure that my work is done honestly and
correctly, this call may be monitored. Do you have a few minutes right now?
[IF ASKED ABOUT MONITORING:] My supervisor randomly listens to
interviews to make sure we're reading the questions exactly as written and not
influencing answers in any way.
TOP. [ONLY IF ASKED FOR MORE INFORMATION ABOUT TOPIC OR WHO'S
SPONSORING IT?:] This project is sponsored by the Otay Water District, and
it's about some issues related to improving customer service. [IF SPONSOR
INFORMATION GIVEN TO RESPONDENT, "TOPIC"=1]
SEX. [RECORD GENDER OF RESPONDENT:]
1 - MALE
2 - FEMALE
LP. [IF INDICATED BY ACCENT:] Would you prefer that we speak in...
1 - English or
2 - Spanish?
Q1. Have you or anyone in your household or business called the Otay Water District
for service or other help during the past 6 months [EMPHASIZE 6 MONTHS]?
1 - YES
2 - NO –THANK AND TERMINATE INTERVIEW
9 - DK/REF –THANK AND TERMINATE INTERVIEW
Q1a—Please indicate the type of customer you are
ATTACHMENT C
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1—Residential
2—Business
3—Irrigation
4—Other, SPECIFY ________________________________________
Q1b. [IF YES:] Was the main purpose of your last call…
1 - a repair issue,
2 - a billing issue, or ------------> GO TO Q2
3 - another issue? ---> GO TO Q2
9 - DK/REF—DO NOT READ ------------> GO TO Q3
Q1c. [IF REPAIR ISSUE:] What type of repair did you call about? Was
it...
1 - a pipeline break,
2 - a problem with supply to your home,
3—a suspected leak
4 - another problem? [SPECIFY:]______________________
9 - DK/REF—DO NOT READ
Q1d. Did you make any other calls to customer service in the past 6
months that were not repair related?
1—YES
2—NO—GO TO Q3
9 - DK/REF—DO NOT READ –GO TO Q3
Q2. What was the reason for that customer service call? [DO NOT VOLUNTEER]
1—Did not understand bill—[IF Q1b = 1--GO TO Q3—IF Q1b=2 or 3, GO
TO Q2a]
2 – Need Assistance with online account ——[IF Q1b = 1--GO TO
Q3— IF Q1b=2 or 3, GO TO Q2a]
3—Thought I was charged too much for the amount of water I used——
[IF Q1b = 1--GO TO Q3— IF Q1b=2 or 3, GO TO Q2a]
4—Thought I used less water than bill indicated/Meter misread——[IF
Q1b = 1--GO TO Q3— IF Q1b=2 or 3, GO TO Q2a]
5---Why different amount from same month last year——[IF Q1b = 1--GO
TO Q3— IF Q1b=2 or 3, GO TO Q2a]
6—Question about message box on bill——[IF Q1b = 1--GO TO Q3— IF
Q1b=2 or 3, GO TO Q2a]
7—Address change——[IF Q1b = 1--GO TO Q3— IF Q1b=2 or 3, GO
TO Q2a]
8---Start service——[IF Q1b = 1--GO TO Q3— IF Q1b=2 or 3, GO TO
Q2a]
9---Stop Service——[IF Q1b = 1--GO TO Q3— IF Q1b=2 or 3, GO TO
Q2a]
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10—Reconnect Service after shutoff——[IF Q1b = 1--GO TO Q3— IF
Q1b=2 or 3, GO TO Q2a]
15—Other? SPECIFY_______________________ —[IF Q1b = 1--GO
TO Q3— IF Q1b=2 or 3, GO TO Q2a]
20—DK/REF—DO NOT READ [Go to Q3]
Q2a. [IF Q2 = 1-15] Did you make any other calls to customer service in the past
6 months?
1—YES
2—NO—GO TO Q3
9 - DK/REF—DO NOT READ –GO TO Q3
Q2b. What was the reason for that customer service call? [DO NOT
VOLUNTEER]
1—Did not understand bill
2—Thought I was charged too much for the amount of
water I used
3—Thought I used less water than bill indicated/Meter
misread
4---Why different amount from same month last year
5—Question about message box on bill
6—Address change
7---Start service
8---Stop Service
9—Reconnect Service after shutoff
10-- a pipeline break,
11 - a problem with supply to your home
15—Other? SPECIFY_______________________
20—DK/REF—DO NOT READ
Q3. How satisfied or dissatisfied were you with the service you received as far as….
a. your ability to reach a service representative? Were you…*
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF—DO NOT READ
b. the courtesy of the service representative? Were you…*
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF—DO NOT READ
c. the knowledge and expertise of your service representative? Were
you…*
1 - very satisfied,
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2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF—DO NOT READ
d. getting your problem resolved? Were you...*
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF—DO NOT READ
Q4. Overall, how would you rate the quality of service that you received? Would you
say
1 - excellent,
2 - good,
3 - fair
4 –poor
9 - DK/REF—DO NOT READ
Q5. With regard to the problem or question you called about in the first call you
mentioned, how many calls did it take to get your issue resolved?
_____________
Q5a. [IF Q5 >1—OTHERWISE, GO TO Q6] Was your question or
problem ultimately resolved to your satisfaction?
1-YES
2-NO
9 - DK/REF—DO NOT READ
Q6. The Otay Water District implemented a new telephone system in June 2011.
Have you noticed that the system has changed?
1 – Yes
2 - No [GO TO Q7]
9 - DK/REF—DO NOT READ [GO TO Q7]
Q6a. Would you say that this new system is …? [REVERSE]
1. Better than the previous system?
2. About the same as the previous system?
3. Worse than the previous system?
Q7. The Otay Water District implemented a new telephone system in June
2011. The Otay Water District has an Interactive Voice Response feature
in their telephone system. This feature provides the customer with
account information, total amount due, and last payment received. Have
you used this feature?
1—YES
2—NO-----------GO TO Q8
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9 - DK/REF—DO NOT READ-----------GO TO Q8
Q7a. [IF Q7= 1] Did you find this feature to be useful?
1—YES
2—NO
9 - DK/REF—DO NOT READ
Q7b. When you last called the Otay Water District for customer service,
were you able to resolve your question or problem using the automated
system only?
1—YES
2—NO
9 - DK/REF—DO NOT READ
Q7c. Are there any other features that you would like to have offered by
the Interactive Voice Response system?
1—Yes
2—No ---[GO TO Q8]
9 - DK/REF—DO NOT READ---[GO TO Q8]
Q7d. What is one such additional feature you would like to have offered
by the automated system?
99= DK/REF
Q7e. Please rate the following features of the new phone system on a
scale of 1 to 5, where 1 = very effective and 5 = not at all effective.
1 2 3 4 5
Q7e-1. Menu of options
Q7e-2 Clarity of instructions
Q7e-3 Quality of voice providing instructions
Q7e-4 Overall effectiveness of the telephone message
in guiding you to the services that you needed
9 - DK/REF—DO NOT READ
Q8. Did your call require a field visit to your property?
1-YES
2-NO -------------[GO TO Q14]
9 - DK/REF—DO NOT READ ------------------[GO TO Q12]
Q9. [IF Q8 = 1] What did the field representative do?
_________________________________________________________
[USE THE FOLLOWING CODES BUT DO NOT READ THEM. ENTER ALL OTHER
ANSWERS ABOVE—DK/REF = 99]
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1. Checked meter
2. Check/Fix leak
3. Reconnect/turn water on
Q10. How satisfied were you with the field service outcome? Were you*
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF
Q11. How satisfied were you with the time required to come to your property to provide
the field service? Were you*
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF—DO NOT READ
Q12. How satisfied were you with the amount of time the field service representative
needed at your property? Were you*
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF—DO NOT READ
Q13. Please rate your overall satisfaction with the field service you received.
1 - excellent,
2 - good,
3 - fair, or
4 - poor?
9 - DK/REF—DO NOT READ
Q14. How do you pay your water bill most months?
1—Send check by mail
2—Automatic bank deduction
3—Credit card over the telephone
4—In person at the Otay Water District office
5—In person at payment center
6—On-line (Internet)
9 - DK/REF—DO NOT READ
Q15. No matter how you presently pay your bill, how would you prefer to pay your bill
most of the time?
1—Send check by mail
2—Automatic bank deduction
3—Credit card over the telephone
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4—In person at the Otay Water District office
5—In person at payment center
6—On-line (Internet) ---------GO TO Q16
9 - DK/REF—DO NOT READ
Q15a. [IF Q15 NOT = 6] What can the District do to make paying online or
make paperless billing a more appealing option for you?
_______________________________________________________________
DK/REF = 99
[USE THE FOLLOWING CODES BUT DO NOT READ THEM. ENTER ALL OTHER
ANSWERS ABOVE]
1. THERE IS NOTHING THAT WOULD MAKE ME PAY ONLINE
2. OFFER DISCOUNTS ON THE BILL
[IF Q15a = 99, GO TO Q16]
Q15b. [IF any answer given to Q15a] If the District were to do that, how much
more likely would you be to pay on-line? Would you say..
1. Very likely
2. Somewhat likely
3. Somewhat unlikely
4. Very unlikely
9. DK/REF [DO NOT VOLUNTEER]
Q16. Would you be interested in receiving your monthly bill from the Otay Water
District by e-mail instead of through the Postal Service?
1 - YES
2 - NO
9 - DK/REF—DO NOT READ
Q17. How likely are you to choose to go paperless in your bill paying to the District and
other regular monthly accounts within the next year or two? That is, you would receive
your bill by e-mail and would make your payments in one of several ways (phone, online,
automatic deduction) but not by check or cash.
1. Very likely—GO TO Q18
2. Somewhat likely—GO TO Q18
3. Somewhat unlikely
4. Very unlikely
5. DK/REF [DO NOT VOLUNTEER]—GO TO Q18
Q17a. [IF Q17 =3 or 4] What is your major objection to the District
going paperless?
1. I do not trust that my banking data is secure
2. I do not use the Internet
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3. I feel more in control of my money when I write the checks.
4. Easier for my own accounting/taxes
5. Other, ___________________________
9. DK/REF [DO NOT VOLUNTEER]
Q18. Regarding your monthly billing, how satisfied are you with the accuracy of your
water bill?
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
9 - DK/REF—DO NOT READ
Q19. How confident are you in the accuracy of your monthly meter reading?
1 - very confident,
2 - somewhat confident,
3 – not too confident, or
4 – not at all confident?
9 - DK/REF—DO NOT READ
Q20. The Otay Water District has recently implemented a new bill design. It was first
mailed to customers in September 2011. How satisfied are you with the ease of
understanding this new water bill?
1 - very satisfied,
2 - somewhat satisfied,
3—Neither satisfied nor dissatisfied
4 - somewhat dissatisfied, or
5 - very dissatisfied?
6 – I am not aware of the new bill design
9 - DK/REF—DO NOT READ
Q20a. [IF Q20 NOT = 6 or 9] Do you think that the previous water bill
design is easier to understand than the new bill design?
1 –Yes
2 --No
9 - DK/REF—DO NOT READ
Q21. The Otay Water District sends postcards to remind their customers that their water
bill has not been paid. How would you prefer to be contacted by the Otay Water District
under these circumstances? (select one)
1 – the postcards are fine
2- e-mail
3 - text message
4 – telephone message
8 – other (please specify) ______________________
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Q22. In comparison to other companies that bill you monthly (for example. gas and
electric, cable TV, trash collection, among others), how would you rate your overall
customer experience with the Otay Water District on a scale of 1-5, where 1 means that
the Otay Water District provides the best customer experience in comparison to these
other companies and 5 means that the Otay Water District provides the worst
experience.
__________________
Q23. In the past 6 months, have you used the Otay Water District website to obtain
information or other services from the Otay Water District?
1—YES
2—NO-----------GO TO CUST
9 - DK/REF—DO NOT READ-----------GO TO CUST
Q23a. [IF Q23=1] How satisfied were you with the web service you received?
Were you*
1 - very satisfied,
2 - somewhat satisfied,
3 - somewhat dissatisfied, or
4 - very dissatisfied?
CUST. IN CLOSING, THESE NEXT QUESTIONS ARE FOR COMPARISON
PURPOSES ONLY. How long have you been a customer of the Otay Water
District?
_____________YEARS
PPH. How many persons, including yourself, live in your household?
___________
99 - DK/REF
TEN. Is your residence owned by someone in your household, or is it rented?
1 - OWN
2 - RENT/OTHER STATUS
9 - DK/REF—DO NOT READ
EDU. What is the highest grade or year of school that you have completed and
received credit for...
1 - high school or less,
2 - at least one year of college, trade or vocational school,
3 - graduated college with a bachelor's degree, or
4 - at least one year of graduate work beyond a bachelor's degree?
9 - DK/REF—DO NOT READ
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AGE. Please tell me when I mention the category that contains your age...
1 - 18 to 24,
2 - 25 to 34,
3 - 35 to 44,
4 - 45 to 54,
5 - 55 to 64, or
6 - 65 or over?
9 - DK/REF—DO NOT READ
ETH. Which of the following best describes your ethnic or racial background...
1 - white, not of Hispanic origin;
2 - black, not of Hispanic origin;
3 - Hispanic or Latino;
4 - Asian or Pacific Islander;
5 - Native American;
6 – Middle Eastern
15 - another ethnic group? [SPECIFY:]
__________________________________
20 - DK/REF—DO NOT READ
INC. Now, we don't want to know your exact income, but just roughly, could you tell
me if your annual household income before taxes is...
1 - under $25,000,
2 - $25,000 up to but not including $50,000,
3 - $50,000 up to (but not including) $75,000,
4 - $75,000 up to (but not including) $100,000,
5 - $100,000 up to (but not including) $150,000
6. $150,000 and over
9 - DK/REF—DO NOT READ
LAN. [LANGUAGE OF INTERVIEW:] 1 - ENGLISH 2 - SPANISH
STAFF REPORT
TYPE MEETING: Regular Board MEETING DATE: March 7, 2012
SUBMITTED BY: Armando Buelna,
Communications Officer
W.O./G.F. NO: DIV. NO. All
APPROVED BY: Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Approve the selection of Marston+Marston Inc. for Public
Outreach and Creative Services.
GENERAL MANAGER’S RECOMMENDATION:
That the Otay Water District’s Board of Directors authorize the
General Manager to finalize negotiations and enter into a three-
year agreement (one-year with an option to renew for two
additional years) with Marston+Marston Inc. for Public Outreach
and Creative Services for an amount not to exceed $200,000 for the
life of the agreement. The contract allows the District to
continue using Marston+Marston Inc. until either party chooses to
terminate the business relationship.
COMMITTEE ACTION:
See Attachment A
BACKGROUND
In May, 2009, the Board approved the District's agreement with
Marston+Marston Inc. for public and community relations services.
Board Policy establishes procedures governing the selection of
professional consultants in the performance of District work.
The policy sets forth procedures for selecting consultants for
contracts greater than $50,000. In compliance with Board Policy,
staff developed a Request for Proposals for public relations and
as-needed creative services.
SELECTION PROCESS
RFPs were sent to more than 20 local public relations firms on
January 10, 2012, with a due date of January 27, 2012. This date
was extended to February 2, 2012 to give as many firms as possible
time to develop and submit proposals. Five RFPs were received and
reviewed by staff.
AGENDA ITEM 6
Proposals were received from:
Cook+Schmid LLC
Humanability
Katz and Associates
Marston+Marston Inc.
Southwest Strategies LLC
A three person panel jointly reviewed and rated the proposals. The
proposals were rated based on:
a. Conformance with the RFP
b. Ability to Perform the Work
c. Experience with Otay or Similar Water Agencies
d. Knowledge/Technical Support Related to the Work
e. Availability/Accessibility/Office Location
f. Experience/Credentials of Person(s) Servicing the Account
g. Approach to Work/Managing Account
h. Cover Letter/Description of Services
i. Other Services Vendor Would Recommend
j. Cost
k. Errors and Omissions
Each item was reviewed and rated. Some items were given a greater
weight based on the relevance to the District’s business needs.
CONCLUSION
Based on the overall evaluation and scoring, staff recommends
continuing with Marston+Marston Inc. All of the firms responding
are capable of providing the services requested. The following
factors placed Marston+Marston Inc. ahead of the other firms:
1) Marston+Marston Inc. received the highest overall ranking.
2) Marston+Marston Inc. have had an excellent track record of
service with the District.
3) There would be no delays or costs associated with a
transition.
4) Set pricing for necessary services over the term of the
agreement.
ONGOING SERVICES
Public outreach and creative services needed for developing
District newsletters, bill inserts, the annual consumer confidence
report, flyers, brochures, press releases, graphic design and
translation services are all ongoing functions of the District.
Staff is proposing a contract for these services to extend through
June 30, 2014. This would assure the delivery of these services on
an uninterrupted basis and affirm the District is receiving the
best value for its dollar.
FISCAL IMPACT:
Due to the high level of public relations and outreach services
needed in the first and second quarters of FY 2012, additional
services were required that were not anticipated when the budget
was developed and adopted. Public relations and graphic design was
budgeted at $40,000 for FY 2012. Through the RFP process,
Marston+Marston Inc. is recommended to continue providing these
services to the District. Funding through the end of the fiscal
year is projected to total $78,000. These funds are available
through the District’s General Fund. The contract amounts for FY
2013 and 2014 will be incorporated into those budget processes.
LEGAL IMPACT:
None.
Attachments:
A - Committee Action Report
B – RFP Evaluation Form
ATTACHMENT A
SUBJECT/PROJECT: Approve the selection of Marston+Marston Inc. for Public
Outreach and Creative Services.
COMMITTEE ACTION:
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: March 7, 2012
SUBMITTED BY:
Rita Bell, Finance Manager
PROJECT: DIV. NO. All
APPROVED BY:
Joseph R. Beachem, Chief Financial Officer
German Alvarez, Assistant General Manager, Finance and
Administration
Mark Watton, General Manager
SUBJECT: Adopt Ordinance No. 531 Amending Section 25, Conditions for
Water Service; Section 28, Connection Fees and Charges for
Potable or Reclaimed Water Service; and Section 38, Service
for Fire Protection Systems of the District’s Code of
Ordinances to include Mandated Fire Service Standby Capacity
for Single-Family Residences
GENERAL MANAGER’S RECOMMENDATION:
That the Board adopt Ordinance No. 531 amending Sections 25, 28, and
38 of the District’s Code of Ordinances to include mandated fire
service standby capacity for single-family residences.
COMMITTEE ACTION:
See Attachment A.
PURPOSE:
To present to the Board revisions to Sections 25, 28, and 38 of the
Code of Ordinances to include upsizing residential meters for
mandated fire service standby capacity.
AGENDA ITEM 7
2
ANALYSIS:
Background
Over the past few years, more meters are being required to be upsized
in order to provide for new fire service requirements. The standby
capacity necessary to provide for this fire service is already built
into the District’s facilities and does not have an impact on the
capacity fee. Recent changes in fire code are now affecting more
homes within the District. This staff report proposes to bring the
District’s code up-to-date and formally accommodate the new fire code
requirements without requiring additional capacity or system fees.
In March of 2008, the San Diego County Water Authority (CWA) amended
Ordinance No. 97-1 which imposes capacity charges on ultimate users
of water. This change was to accommodate requirements of fire
protection agencies that mandated the upsizing of residential meters
for fire protection capacity purposes. It allows for the capacity
charge to be established without the additional size necessary for
standby capacity.
In May 2009, a memorandum was sent from the District’s Engineering
Department to the General Manager discussing the practice going
forward based on the adoption of the change by CWA. It was
determined that the meter charge would be for the larger meter, but
that the capacity fees would be based solely on the necessary
capacity without fire protection purposes.
This staff report goes further to formally change the capacity fee
policy by amending sections 28 and 38 of the Code of Ordinances.
Additionally, to address the Chula Vista Fire Department change in
policy on January 1, 2012, a change is being made to section 25 so
that the monthly MWD & CWA and system charges will be based on
capacity without fire protection purposes.
Section 25: Conditions for Water Service
Existing provisions in Section 25.03 B and C of the Code of
Ordinances establishes the amount of the monthly fixed MWD & CWA
charges and system charges based on meter size.
The proposed change to the code addresses the new mandate imposed by
fire protection agencies to require the upsizing of a residential
meter for additional fire standby capacity. This change would
establish the monthly charge based on the water use requirements for
the property, not the upsized meter for the sole purpose of fire
protection.
3
Section 28: Connection Fees and Charges for Potable or Reclaimed
Water Service
Existing provisions in Section 25.01 B of the Code of Ordinances
establishes the basis for determination of connection fees and
charges.
The proposed change to the Code addresses the new mandate imposed by
fire protection agencies to require the upsizing of a residential
meter for additional fire standby capacity. This change would
establish the connection fee based on the water use requirements for
the property, not the upsized meter for the sole purpose of fire
protection.
Section 38: Service for Fire Protection Systems
Currently, there is no provision in this code section that addresses
the mandating of residential meter upsizing by fire protection
agencies. The addition of Section 38.03, Fire Service Standby
Capacity, would address the standby capacity for a fire sprinkler
system based on water use requirements for the property, without
consideration of additional size necessary to provide the standby
capacity.
FISCAL IMPACT:
The capacity fees were set based on the required meter size without
the additional standby capacity. Therefore, this has already been
incorporated into the District’s financial planning, and will not
affect the District’s financial standing. Likewise, the District’s
rate modeling process projected system fees without additional fees
for the upsized meters.
STRATEGIC GOAL:
None.
LEGAL IMPACT:
None.
Attachments:
A) Committee Action Form
B) Ordinance No. 531
Exhibit 1 Strike-through Section 25
Exhibit 2 Strike-through Section 28
Exhibit 3 Strike-through Section 38
C) Proposed Section 25
D) Proposed Section 28
4
E) Proposed Section 38
ATTACHMENT A
SUBJECT/PROJECT:
Adopt Ordinance No. 531 Amending Section 25, Conditions for
Water Service; Section 28, Connection Fees and Charges for
Potable or Reclaimed Water Service; and Section 38, Service
for Fire Protection Systems of the District’s Code of
Ordinances to include Mandated Fire Service Standby
Capacity for Single-Family Residences
COMMITTEE ACTION:
The Finance, Administration, and Communications Committee recommends
that the Board adopt Ordinance No. 531 amending Sections 25, 28, and
38 of the District’s Code of Ordinances to include mandated fire
service standby capacity for single-family residences.
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
ORDINANCE NO. 531
AN ORDINANCE OF THE BOARD OF DIRECTORS OF THE OTAY
WATER DISTRICT AMENDING SECTION 25, CONDITIONS FOR
WATER SERVICE; SECTION 28, CONNECTION FEES AND
CHARGES FOR POTABLE OR RECLAIMED WATER SERVICE; AND
SECTION 38, SERVICE FOR FIRE PROTECTION SYSTEMS OF
THE DISTRICT’S CODE OF ORDINANCES
BE IT ORDAINED by the Board of Directors of Otay Water
District that the District’s Code of Ordinances, Section 25,
Conditions for Water Service; Section 28, Connections Fees and
Charges for Potable or Reclaimed Water Service; and Section 38,
Service for Fire Protection Systems be replaced as per
Attachments C, D, and E respectively.
NOW, THEREFORE, BE IT RESOLVED that the new proposed
Sections 25, 28 and 38 of the Code of Ordinances shall become
effective March 7, 2012.
PASSED, APPROVED AND ADOPTED by the Board of Directors of
the Otay Water District at a regular meeting duly held this 7th
day of March, 2012, by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
Attachment B
2
________________________________
President
ATTEST:
_____________________________
District Secretary
25-1
25 SECTION 25 CONDITIONS FOR WATER SERVICE
25.01 SERVICE AREA
Water service shall be furnished by the District only to
property within (annexed to) a water improvement district within
the District’s service area. Water service to property located
outside an improvement district may be furnished only upon prior
approval of the Board of Directors. Temporary water service to
property located outside an improvement district may be
furnished, in accordance with Section 25.03 E.10., upon the
approval of the General Manager.
25.02 DEFINITION OF "H.C.F." AND "UNIT OF WATER"
As used in the Code the terms "H.C.F." and "unit of water" are
interchangeable and each shall mean 100 cubic feet or 748
gallons of water.
25.03 DEFINITIONS OF WATER SERVICE CATAGORIES, WATER RATES, CHARGES
AND FEES
Water service furnished by the District shall be under the
categories of services and at the rates, charges and fees as set
forth in Appendix A, Section 25.
Five-year Rate Increase Schedule - All District water rates,
charges and fees are subject to a five-year schedule of rate
increases beginning September 1, 2009 and periodically
thereafter through June 30, 2014. The increases under this
schedule shall be the amount sufficient to cover cost increases
related to operations and maintenance, but not to exceed 10% per
year.
Five-year Periodic Pass–through Rate Increases or Decreases from
District Wholesalers – All District water rates, charges and
fees are subject to periodic rate changes from the District’s
public agency wholesalers for a five-year period beginning
September 1, 2009 through June 30, 2014.
A. Set-up Fees for Accounts. A set-up fee shall be charged
for each account transferred to another customer. See
Appendix A, 25.03 A. for charges. A deposit will be
required of all customers who do not own the property to be
served. See Appendix A, 25.04 A. for deposit amounts.
B. Monthly Fixed MWD & CWA Charges. Each potable water
service customer shall pay a monthly MWD and CWA fixed
charge, as set forth in Appendix A, 25.03 C. Proceeds of
the charge will be used to pay for operating and
maintenance costs, including the following: MWD Readiness-
to-Serve Charge and Capacity Reservation Charge; CWA
Infrastructure Access Charge, Customer Service Charge, and
Exhibit 1
25-2
Emergency Storage Charge. The MWD & CWA charge is based on
the size of the water meter(s) in service with the
exception of upsizing the meter for fire protection, as
described in Section 38.03 of the Code. The MWD & CWA
charge shall start upon installation of the meter.
C. Monthly Fixed System Charges. Each water service customer
shall pay a monthly fixed system charge, as set forth in
Appendix A, 25.03 C. Proceeds of the charge will be used
to pay for water system replacement, maintenance, and
operation expenses. The system charge is based on the size
of the water meter(s) in service. The system charge shall
start upon installation of the meter
D. Water Conservation Drought Pricing. To promote
conservation, base tiered water rates for all water
services are subject to percentage increases during drought
stages, as shown in the table below:
Drought Stage Pricing
Stage 2 Stage 3 Stage 4
Tier 1* 0% 0% 0%
Tier 2 Up to 5% Up to 10% Up to 15%
Tier 3 Up to 30% Up to 60% Up to 90%
*Domestic residential water service has four tiered base
rates as outlined in Appendix A, 25.03 E.1.(b). Tier 1 of
the above table applies to the first two tiered base rates.
Tier 2 of the above table applies to the third tiered base
rate. Tier 3 of the above table applies to the fourth
tiered base rate.
E. Categories of Water Service. The definitions and rates and
charges for water service furnished by the District shall
be as follows:
1. DOMESTIC RESIDENTIAL WATER
(a) Defined as: Water service for single residential
and individually metered attached households as
well as other domestic uses (other than that
provided for in Paragraph 2 below).
(b) Base Rate: The tiered base rates of water
furnished under this category shall be set forth
in Appendix A, 25.03 E.1.(b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
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2. MULTIPLE RESIDENTIAL WATER
(a) Defined as: Master metered water service for
multiple residential households, for example,
duplexes, townhomes, apartments and mobile homes.
(b) Base Rate: The tiered base rates of water
furnished for each dwelling unit under each block
of service in this category shall be as set forth
in Appendix A, 25.03 E.2.(b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
3. BUSINESS AND PUBLICLY-OWNED WATER
(a) Defined as: Potable water service for
commercial, industrial and publicly-owned
establishments.
(b) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.3.(b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
4. IRRIGATION AND COMMERCIAL AGRICULTURAL USING POTABLE
WATER
(a) Irrigation is potable water service provided
solely for irrigation of landscape or
landscaping, as defined in Section 0.02.
(b) Commercial agricultural engaged in the growing or
raising of live stock, in conformity with
recognized practices of husbandry, for the
purpose of commerce, trade or industry, or for
the use by public educational or correctional
institutions or agricultural horticultural or
floricultural products and produced,
(i) for human consumption or for the market,
or
(ii) for the feeding of fowl or livestock
produced for human consumption or for the
market, or
(iii) for feeding fowl or livestock for the
purpose of obtaining their products for
human consumption or for the market, such
25-4
products to be grown or raised on a
parcel of land having an area of not less
than one acre utilized exclusively
therefore.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.4.(c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
5. RECYCLED WATER
(a) Defined as: Non-potable and recycled water service
provided for irrigation of landscaping, as defined
in Section 0.02 A. of the Code, and certain non-
irrigation purposes, other than domestic use, in
compliance with federal, state and local laws and
regulations regarding use of recycled water.
(b) The provisions of this Code, relating to use of
recycled water, set forth in Section 26 of the Code,
including but not limited to cross-connections and
backflow protective devices, shall be strictly
enforced in connection with the use of recycled
water.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.5.(c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(d) Monthly system charge: The monthly system charge
for recycled water service is set forth in
Appendix A, 25.03 C.
6. TEMPORARY AND CONSTRUCTION WATER SERVICE
(a) Defined as: Water service provided by the
District on a temporary basis, pursuant to
Section 31 of this Code.
(b) If capacity fees have not been paid by the
customer, the rates for water furnished under
this category is set forth in Appendix A, 25.03
E.6.(b).
(c) If the customer has paid capacity and annexation
fees, the base rate for water furnished under
25-5
this category shall be the base rate charged
customers in the same category of service on a
permanent meter basis.
(d) The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) The applicable monthly system and MWD & CWA
charge shall be the same rates charged to
customers in the same category of service on a
permanent meter basis per Appendix A, 25.03 C.
7. WATER SERVICE UNDER SPECIAL AGREEMENTS
(a) Defined as: Water service provided under express
agreements approved by the Board of Directors for
service to golf courses and other entities, which
service may be curtailed or interrupted by the
District under conditions provided in such
agreements.
(b) For water service under this category the base
rate shall be determined on a case-by-case basis.
Unless otherwise specified in the particular
agreement, the tiered base rates for this
category of service are subject to the increased
drought pricing outlined in Section 25.03 D.
8. TANK TRUCKS
(a) Defined as: Water service provided for the
filling of tanks on motor vehicles transporting
water used for other than earth grading purposes,
which service shall be made only through a
portable meter issued by the District to a
customer specifically for use in accordance with
the provisions herein for such service.
(b) The rate for metered water furnished under this
category is reflected in Appendix A, 25.03 E.8.
(b), plus a monthly system charge at the rate set
forth in Appendix A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(c) Requirements for Use of Water Meter
(1) To receive such service, the customer must
make a deposit for the use a water meter
furnished by the District. The fee is set
forth in Appendix A, 31.03 A.1.
25-6
(2) Upon termination of the service, the Dis-
trict will refund the amount of deposit
remaining after making the following
deductions:
(i) Cost of repairing or replacing the
meter, fire hydrant and/or any fittings
damaged or lost while in use; and
(ii) Unpaid charges for water or other
applicable charges.
(3) Prior to the end of each six month period
following issuance of a meter under this
section, or at the request of the District,
whichever is earlier, the customer shall
return the meter to the District for
inspection, repair, or calibration as deemed
necessary by the District.
(4) Payment for water service under this cate-
gory shall be made as follows:
(i) The bill shall be based on the amount
of water actually used, which shall be
determined by the District’s reading of
the meter or by a report made by the
customer to the District in the manner
prescribed by the District.
(ii) Where the actual amount of water used
cannot be determined as provided in
(i), the District will issue a bill
based on a District estimate of the
amount of water used, as determined by
the District. Such estimates shall be
reconciled with actual amounts used
when the customer returns the meter to
the District as provided in paragraph 3
above.
(iii)Payments shall be made as specified on
the bill.
9. WATER SERVICE OUTSIDE DISTRICT
(a) Defined as: Water service for real property
outside the service area of the District.
(b) This service will be provided only upon prior
approval of the General Manager when there is a
surplus of water over and above the existing
needs for service in the District. This service
is temporary and may be terminated upon written
notice from the District. Customers for this
25-7
service are sometimes referred to as "outside
users."
(c) Customers applying for this category of service
shall pay an application fee as set forth in
Appendix A, 25.03 E.9.(c).
(d) The rate for metered water furnished under this
category shall be charged the rate as described
in Appendix A, 25.03 E.9.(d), plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) Customers requesting only fire service or a fire
hydrant under this category shall be charged a
capacity fee based on one (1) EDU for a permanent
meter in the improvement district from which the
fire service derives its flow, plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 E.11.(c).
10. WATER SERVICE OUTSIDE AN IMPROVEMENT DISTRICT
(a) Defined as: Water service for property located
within the boundaries of the District, but not
within a water improvement district. Customers
for this service are sometimes referred to as
"outside users."
(b) Customers applying for this service shall pay an
application fee as set forth in Appendix A, 25.03
E.10.(b). The District will review the
application to determine whether the land to be
served should be annexed to an improvement
district. If it is determined that annexation is
not practical, the Board of Directors may
authorize service as an outside user. This
service will be reviewed periodically until it is
determined that the property must be annexed to
an improvement district or that service must be
terminated.
(c) The rate for metered water furnished under this
category is as set forth in Appendix A, 25.03
E.10.(c), plus a monthly system charge as set
forth in Appendix A, 25.03.C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
25-8
(d) Upon approval of the Board of Directors, a cus-
tomer, who has paid all construction costs for
facilities necessary to serve the customer's
property in lieu of annexation to a water
improvement district, shall be exempt from the
provision for this category of service.
11. SERVICE FOR FIRE PROTECTION
(a) Defined as: Water service provided by the Dis-
trict solely to feed fire hydrants or fire
sprinkler systems from lines or laterals con-
nected to District water mains.
(b) The District will not make a charge for the
quantity of water used for fire protection
purposes.
(c) The monthly system charge for this category
of service is set forth in Appendix A, 25.03
E.11.(c) for each connection to a District water
main made for fire protection service.
12. WATER SERVICE TO PROPERTY NOT SUBJECT TO DISTRICT
TAXES
(a) Pursuant to Section 71613 of the California Water
Code, the District may furnish water to property,
not subject to District taxes, at special rates,
terms and conditions as are determined by the
Board of Directors for such service. Such rates,
terms and conditions shall be uniformly applied
to like classes and conditions of service in the
same improvement district or geographical area.
(b) Customers in this category, such as publicly-
owned establishments, shall pay an additional fee
as outlined in Appendix A, 25.03 E.12.(b).
13. INTERIM WATER SERVICE IN IMPROVEMENT DISTRICT 7
(a) Definition of Interim Service. This is water
Service furnished to a customer in Improvement
District 7 (ID 7) for temporary use.
(b) Rates for Interim Service. Customers applying
for interim service in ID 7 shall not be required
to pay the ID 7 water capacity fee and San Diego
County Water Authority fee, as required under
Section 2801 of this Code. The water rate is set
forth in Appendix A, 25.03 E.13.(b).
(c) Conversion to Permanent Service. At such time as
use expires, the customer shall be required to
25-9
pay all fees in effect at the time the permanent
use is implemented.
F. Energy Charges for Pumping Water
In addition to water rates and other charges provided for
in this Section 25.03, customers shall be charged an energy
pumping charge based on the quantity of water used and the
elevation to which the water has been lifted to provide
service. The energy pumping charge shall be made at the
rate set forth in Appendix A, 25.03 F.
G. Additional Water Charge for Service in the North District
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, each
customer receiving water service in the North District
shall pay a charge as set forth in Appendix A, 25.03
G.1. The North District area is defined in Section
0.02 of this Code.
2. All proceeds from charges collected pursuant to this
Section 25.03 G. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage
reservoirs, pump stations and water lines to provide
service in the North District.
H. Additional Water Charges and Monthly System Charges for
Service in the ID 9 Water Service Zone
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 1, 1986, each customer receiving water service in
the ID 9 Water Service Zone shall pay a charge set
forth in Appendix A, 25.03 H.1. The ID 9 Water
Service Zone area is defined in Section 0.02 of this
Code.
2. In addition to the monthly system charges provided
for, effective May 1, 1986, each customer receiving
water service in the ID 9 Water Service Zone shall pay
a monthly meter system charge as outlined in Appendix
A, 25.03 H.2. for each meter in service.
3. All proceeds from charges collected pursuant to this
Section 25.03 H. shall be set aside by the District in
a separate account and shall be used solely for pay-
ment of costs and borrowing for construction,
installation and maintenance of water storage reser-
voirs, pump stations and water lines to provide ser-
vice in the ID 9 Water Service Zone.
25-10
I. Additional Water Charges for Services in the ID 3, ID 10
and La Presa Water Service Zones.
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 17, 1993, each customer receiving water service in
ID 3, ID 10 and La Presa Water Service Zones is
assessed an additional charge per H.C.F. of water
furnished by the District. Said surcharge is assessed
as set forth in Appendix A, 25.03 I.1.(a),(b), and
(c).
2. All proceeds from charges collected pursuant to this
Section 25.03 I. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage,
reservoirs, pump stations and water lines to provide
service in the ID 3, ID 10 and La Presa Water Service
Zones, respectively.
25.04 DEPOSITS BY LESSEES OR NON-OWNERS OF PROPERTY
A. AMOUNT OF DEPOSIT
The customer's deposit shall be applied to reduce or
satisfy any delinquent payment or other amount due the
District at the time of termination of water service to
the customer. Any portion of the deposit remaining, after
satisfaction of the amount due, shall be refunded to the
customer that made the deposit.
The deposits listed above may be waived for a new resi-
dential applicant where the applicant demonstrates credit
worthiness based upon prior utility payments or a non-
delinquent water account for one year or other similar
evidence of credit.
When an application for water service is made by a customer
who does not own the land to be served, the customer shall
be required to make a cash deposit to assure payment of the
account. In lieu of a deposit, the customer may have
payment of water service bills guaranteed in writing by the
owner of the property. The amount of deposit, determined
by the size of meter is outlined in Appendix A, 25.04 A.
25-11
B. REFUND OF DEPOSIT
Where funds have been on deposit for twelve months in a
domestic service account and there has been no more than
one delinquent payment on that account during that period,
the District will apply a credit to the water account in
the amount of the deposit.
C. LETTER OF CREDIT
A letter of credit, in a form approved by the General
Manager or Department Head of Finance, may be submitted to
the District to satisfy the deposit requirements.
25.05 SERVICE TO SUBSEQUENT CUSTOMERS
After a water meter has been installed for a customer and all
fees and charges have been paid, water service may be furnished
to a subsequent customer through the water meter installed
without payment of further charges, except for the set-up fee
for transferred accounts, payment of delinquent charges for the
applicant's service or other deposits that may be required by
this Code.
28-1
SECTION 28 CONNECTION FEES AND CHARGES FOR POTABLE OR RECLAIMED
WATER SERVICE
28.01 COLLECTION OF FEES AND CHARGES
A. Fees and Charges to be paid by the Customer.
The following fees and charges shall be paid by the
customer to connect to a District water system for potable
water or reclaimed water service; these are in addition to
the fees and charges in Section 9 and 25. Fees and charges
shall include, but not be limited to, District fees, San
Diego County Water Authority fees, applicable zone charge
and charges for work performed by District personnel on
behalf of the customer. These charges may include the
installation by District personnel of a water service
lateral, and inspections required due to the requirement of
a back flow device. These charges may also include a meter
fee, installation fee (where laterals exist), lateral fee,
meter box fee, and excavation permit fee.
B. Basis for Determination of Connection Fees and Charges.
The fees and charges shall be determined as follows:
For permanent water meters, including potable or
recycled irrigation service, the total water
connection fee shall be determined on the basis of the
demand to be placed on the District water system. The
extent of demand will be determined on the basis of
the size of the water meter, as set forth in Section
27 of the Code. For fire service, as outlined in
Section 38.03 of the Code, the size and fee would be
set based on water use requirements without additional
fire capacity. The water connection fee will be
determined by multiplying the demand factor for the
meter size, as set forth below, by the total of the
District-wide capacity fee and applicable zone charge.
Meter Size Demand Factor
3/4" 1
1 2-1/2
1-1/2" 5
2" 8
3" 16
4" 25
6" 50
8" 80
10" 115
Exhibit 2
28-2
1. The District-wide capacity fee and the applicable zone
charge shall constitute the "base rate." For fees or
charges after July 1, 2010, the base rate shall be
adjusted quarterly for fluctuations in construction
costs, as measured by the Engineering News Record
Construction Cost Index for the Los Angeles Region.
The ENR Construction Cost Index of 9777.19(as of July
1, 2009) shall be deemed the "base index." The
adjustment shall be in an amount equal to the percent-
age change in the ENR Construction Cost Index from the
base index for the period from June 10, 2009 to the
date of payment. (See Appendix A, 28.01 B.1. for
fees.)
2. The District-wide new water supply fee shall
constitute the “base rate.” For fees or charges after
July 1, 2010, the base rate shall be adjusted
quarterly for fluctuations in construction costs, as
measured by the Engineering News Record Construction
Cost Index for the Los Angeles Region. The ENR
Construction Cost Index of 9777.19 (as of July 1,
2009) shall be deemed the “base index.” The
adjustment shall be in an amount equal to the
percentage change in the ENR Construction Cost Index
from the base index for the period from June 10, 2009
to the date of payment. (See Appendix A, 28.01 B.2.
for fees.)
28.02 INSTALLATION CHARGES FOR WATER METER AND WATER SERVICE LATERALS
The determination of the water meter or service lateral
size shall be based upon the information provided by the
customer as detailed in Section 27 of the Code. The
installation charges are set forth in Appendix A, 28.02.
Where a water meter larger than 2-inch or a new water
lateral is required, a customized, written estimate of the
District's costs will be prepared.
The customer shall deposit the estimated costs with the
District prior to commencement of the work. If actual costs
incurred by the District are less than the amount deposited, the
District shall refund the excess to the customer. If the actual
costs incurred exceed the amount deposited, the customer shall
reimburse the District for the additional costs.
28-3
28.03 METER FEE REFUND
A. If a water meter/service has been paid for but not
installed, a customer may receive a refund of the
District’s capacity fee and charges. If San Diego County
Water Authority capacity fees have been paid to San Diego
County Water Authority, the customer shall request a refund
from San Diego County Water Authority.
B. If the customer wants to change the meter/service size,
they will be credited with the number of equivalent
dwelling units they have previously purchased and will be
refunded any balance per Section 28.03 A, above. If
additional equivalent dwelling units are required, the
customer will be charged based on 28.01 and 28.02.
38-1
SECTION 38 SERVICE FOR FIRE PROTECTION SYSTEMS
38.01 SERVICE FOR COMMERCIAL OR INDUSTRIAL PURPOSES
The District will provide water service for fire pro-
tection systems for commercial or industrial developments
within the District. Such service shall be available only
in accordance with the rules and regulations provided in
this Code.
38.02 RULES AND REGULATIONS FOR FIRE HYDRANT AND/OR
FIRE SPRINKLER SERVICE FOR COMMERCIAL OR
INDUSTRIAL PURPOSES ON PRIVATE PROPERTY
A. All fire hydrant and/or fire sprinkler service
mains installed for commercial or industrial pur-
poses on privately-owned land shall be owned and
maintained by the land owner; except for fire
hydrants installed for developments where the
District has accepted an easement for such
service mains.
B. Where service is provided for fire hydrant or
fire sprinkler service on privately-owned land
under Paragraph A above, the service shall be
provided by the District at the property line of
the land to be served. The property owner or
developer shall be responsible to construct and
maintain the remainder of the facilities to pro-
vide fire protection to the property. Each such
facilities installation shall include a reduced
pressure principle assembly backflow device
installed in accordance with District specifica-
tions on the fire main on the customer side of
the property line.
C. Water furnished for fire hydrant or fire sprin-
kler service shall be used only for fire protec-
tion purposes. Water service for domestic, busi-
ness, commercial or irrigation purposes shall be
furnished only after a meter or meters have been
installed on laterals connected to the District
main in the street pursuant to requirements of
this Code.
D. Upon application for installation of one or more
fire service connections to an existing District
water main, the customer shall pay such charges
as shall be determined on the basis of actual
costs incurred by the District in performing the
38-2
work. At the time of application for the instal-
lation, the District will estimate the total
costs to be incurred in performing the work. The
customer shall deposit the estimated amount with
the District prior to commencement of the work.
The work shall be performed by the District under
a District Water/Sewer Order. If actual costs
incurred by the District are less than the amount
deposited, the District shall refund the balance
of the deposit to the customer. If the costs
incurred exceed the amount deposited, the cus-
tomer shall reimburse the District for the addi-
tional costs. Where the fire service connection
is to be made to a water main to be constructed
in a street by the owner or developer, the costs
for such connection shall be covered under the
standard developer's agreement with the District
for installation of the water facilities for the
development project.
E. Water for fire protection services shall be pro-
vided in accordance with District fees and
charges set forth in Section 25.03.D of this
Code.
F. The District shall have no responsibility for the
proper function of the fire service system nor
for the availability of water from its mains for
fire protection in the event of emergency. While
the District undertakes at all times to have ade-
quate supplies available in its system for ordi-
nary uses, it is not a guarantor of continual
service in quantities adequate for all purposes
however, and each customer shall specifically
agree that as a condition of the fire service
connection contracted for that the District shall
incur no liability nor be subject to any damages
resulting from a failure or malfunctioning of the
fire sprinkler lateral or fire sprinkler system
or from a lack of water in adequate quantity or
pressure to make it fully effective.
38.03 SERVICES FOR RESIDENTIAL FIRE PROTECTION
When a residential water meter is required to
provide standby capacity for a fire sprinkler system,
the capacity charge may be determined according to the
size of the meter necessary to meet the water use
requirements for the property. This is determined
according to the rules of the member agency providing
38-3
the meter, without consideration of additional size
necessary to provide the standby capacity. Standby
capacity to provide water for a fire sprinkler system
is required when (1) the fire sprinkler system is
required by law, including any requirement imposed as
a condition of development, permit, or occupancy, and
(2) the fire chief, fire marshal, or building official
of the city, county, or special district responsible
for fire protection service to the property has a
requirement for additional meter size due to fire
protection. The determination, under this section,
shall be made at the time the meter is first obtained,
or at the time a meter is replaced with one of greater
size due to the later installation of a fire
protection system.
25-1
25 SECTION 25 CONDITIONS FOR WATER SERVICE
25.01 SERVICE AREA
Water service shall be furnished by the District only to
property within (annexed to) a water improvement district within
the District’s service area. Water service to property located
outside an improvement district may be furnished only upon prior
approval of the Board of Directors. Temporary water service to
property located outside an improvement district may be
furnished, in accordance with Section 25.03 E.10., upon the
approval of the General Manager.
25.02 DEFINITION OF "H.C.F." AND "UNIT OF WATER"
As used in the Code the terms "H.C.F." and "unit of water" are
interchangeable and each shall mean 100 cubic feet or 748
gallons of water.
25.03 DEFINITIONS OF WATER SERVICE CATAGORIES, WATER RATES, CHARGES
AND FEES
Water service furnished by the District shall be under the
categories of services and at the rates, charges and fees as set
forth in Appendix A, Section 25.
Five-year Rate Increase Schedule - All District water rates,
charges and fees are subject to a five-year schedule of rate
increases beginning September 1, 2009 and periodically
thereafter through June 30, 2014. The increases under this
schedule shall be the amount sufficient to cover cost increases
related to operations and maintenance, but not to exceed 10% per
year.
Five-year Periodic Pass–through Rate Increases or Decreases from
District Wholesalers – All District water rates, charges and
fees are subject to periodic rate changes from the District’s
public agency wholesalers for a five-year period beginning
September 1, 2009 through June 30, 2014.
A. Set-up Fees for Accounts. A set-up fee shall be charged
for each account transferred to another customer. See
Appendix A, 25.03 A. for charges. A deposit will be
required of all customers who do not own the property to be
served. See Appendix A, 25.04 A. for deposit amounts.
B. Monthly Fixed MWD & CWA Charges. Each potable water
service customer shall pay a monthly MWD and CWA fixed
charge, as set forth in Appendix A, 25.03 C. Proceeds of
the charge will be used to pay for operating and
maintenance costs, including the following: MWD Readiness-
to-Serve Charge and Capacity Reservation Charge; CWA
Infrastructure Access Charge, Customer Service Charge, and
Attachment C
25-2
Emergency Storage Charge. The MWD & CWA charge is based on
the size of the water meter(s) in service with the
exception of upsizing the meter for fire protection, as
described in Section 38.03 of the Code. The MWD & CWA
charge shall start upon installation of the meter.
C. Monthly Fixed System Charges. Each water service customer
shall pay a monthly fixed system charge, as set forth in
Appendix A, 25.03 C. Proceeds of the charge will be used
to pay for water system replacement, maintenance, and
operation expenses. The system charge is based on the size
of the water meter(s) in service. The system charge shall
start upon installation of the meter
D. Water Conservation Drought Pricing. To promote
conservation, base tiered water rates for all water
services are subject to percentage increases during drought
stages, as shown in the table below:
Drought Stage Pricing
Stage 2 Stage 3 Stage 4
Tier 1* 0% 0% 0%
Tier 2 Up to 5% Up to 10% Up to 15%
Tier 3 Up to 30% Up to 60% Up to 90%
*Domestic residential water service has four tiered base
rates as outlined in Appendix A, 25.03 E.1.(b). Tier 1 of
the above table applies to the first two tiered base rates.
Tier 2 of the above table applies to the third tiered base
rate. Tier 3 of the above table applies to the fourth
tiered base rate.
E. Categories of Water Service. The definitions and rates and
charges for water service furnished by the District shall
be as follows:
1. DOMESTIC RESIDENTIAL WATER
(a) Defined as: Water service for single residential
and individually metered attached households as
well as other domestic uses (other than that
provided for in Paragraph 2 below).
(b) Base Rate: The tiered base rates of water
furnished under this category shall be set forth
in Appendix A, 25.03 E.1.(b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
25-3
2. MULTIPLE RESIDENTIAL WATER
(a) Defined as: Master metered water service for
multiple residential households, for example,
duplexes, townhomes, apartments and mobile homes.
(b) Base Rate: The tiered base rates of water
furnished for each dwelling unit under each block
of service in this category shall be as set forth
in Appendix A, 25.03 E.2.(b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
3. BUSINESS AND PUBLICLY-OWNED WATER
(a) Defined as: Potable water service for
commercial, industrial and publicly-owned
establishments.
(b) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.3.(b).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
4. IRRIGATION AND COMMERCIAL AGRICULTURAL USING POTABLE
WATER
(a) Irrigation is potable water service provided
solely for irrigation of landscape or
landscaping, as defined in Section 0.02.
(b) Commercial agricultural engaged in the growing or
raising of live stock, in conformity with
recognized practices of husbandry, for the
purpose of commerce, trade or industry, or for
the use by public educational or correctional
institutions or agricultural horticultural or
floricultural products and produced,
(i) for human consumption or for the market,
or
(ii) for the feeding of fowl or livestock
produced for human consumption or for the
market, or
(iii) for feeding fowl or livestock for the
purpose of obtaining their products for
human consumption or for the market, such
25-4
products to be grown or raised on a
parcel of land having an area of not less
than one acre utilized exclusively
therefore.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.4.(c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
5. RECYCLED WATER
(a) Defined as: Non-potable and recycled water service
provided for irrigation of landscaping, as defined
in Section 0.02 A. of the Code, and certain non-
irrigation purposes, other than domestic use, in
compliance with federal, state and local laws and
regulations regarding use of recycled water.
(b) The provisions of this Code, relating to use of
recycled water, set forth in Section 26 of the Code,
including but not limited to cross-connections and
backflow protective devices, shall be strictly
enforced in connection with the use of recycled
water.
(c) Base Rate: The tiered base rate for water
furnished under this category shall be determined
by meter size and usage block as set forth in
Appendix A, 25.03 E.5.(c).
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(d) Monthly system charge: The monthly system charge
for recycled water service is set forth in
Appendix A, 25.03 C.
6. TEMPORARY AND CONSTRUCTION WATER SERVICE
(a) Defined as: Water service provided by the
District on a temporary basis, pursuant to
Section 31 of this Code.
(b) If capacity fees have not been paid by the
customer, the rates for water furnished under
this category is set forth in Appendix A, 25.03
E.6.(b).
(c) If the customer has paid capacity and annexation
fees, the base rate for water furnished under
25-5
this category shall be the base rate charged
customers in the same category of service on a
permanent meter basis.
(d) The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) The applicable monthly system and MWD & CWA
charge shall be the same rates charged to
customers in the same category of service on a
permanent meter basis per Appendix A, 25.03 C.
7. WATER SERVICE UNDER SPECIAL AGREEMENTS
(a) Defined as: Water service provided under express
agreements approved by the Board of Directors for
service to golf courses and other entities, which
service may be curtailed or interrupted by the
District under conditions provided in such
agreements.
(b) For water service under this category the base
rate shall be determined on a case-by-case basis.
Unless otherwise specified in the particular
agreement, the tiered base rates for this
category of service are subject to the increased
drought pricing outlined in Section 25.03 D.
8. TANK TRUCKS
(a) Defined as: Water service provided for the
filling of tanks on motor vehicles transporting
water used for other than earth grading purposes,
which service shall be made only through a
portable meter issued by the District to a
customer specifically for use in accordance with
the provisions herein for such service.
(b) The rate for metered water furnished under this
category is reflected in Appendix A, 25.03 E.8.
(b), plus a monthly system charge at the rate set
forth in Appendix A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(c) Requirements for Use of Water Meter
(1) To receive such service, the customer must
make a deposit for the use a water meter
furnished by the District. The fee is set
forth in Appendix A, 31.03 A.1.
25-6
(2) Upon termination of the service, the Dis-
trict will refund the amount of deposit
remaining after making the following
deductions:
(i) Cost of repairing or replacing the
meter, fire hydrant and/or any fittings
damaged or lost while in use; and
(ii) Unpaid charges for water or other
applicable charges.
(3) Prior to the end of each six month period
following issuance of a meter under this
section, or at the request of the District,
whichever is earlier, the customer shall
return the meter to the District for
inspection, repair, or calibration as deemed
necessary by the District.
(4) Payment for water service under this cate-
gory shall be made as follows:
(i) The bill shall be based on the amount
of water actually used, which shall be
determined by the District’s reading of
the meter or by a report made by the
customer to the District in the manner
prescribed by the District.
(ii) Where the actual amount of water used
cannot be determined as provided in
(i), the District will issue a bill
based on a District estimate of the
amount of water used, as determined by
the District. Such estimates shall be
reconciled with actual amounts used
when the customer returns the meter to
the District as provided in paragraph 3
above.
(iii)Payments shall be made as specified on
the bill.
9. WATER SERVICE OUTSIDE DISTRICT
(a) Defined as: Water service for real property
outside the service area of the District.
(b) This service will be provided only upon prior
approval of the General Manager when there is a
surplus of water over and above the existing
needs for service in the District. This service
is temporary and may be terminated upon written
notice from the District. Customers for this
25-7
service are sometimes referred to as "outside
users."
(c) Customers applying for this category of service
shall pay an application fee as set forth in
Appendix A, 25.03 E.9.(c).
(d) The rate for metered water furnished under this
category shall be charged the rate as described
in Appendix A, 25.03 E.9.(d), plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
(e) Customers requesting only fire service or a fire
hydrant under this category shall be charged a
capacity fee based on one (1) EDU for a permanent
meter in the improvement district from which the
fire service derives its flow, plus a monthly
system charge at the rate set forth in Appendix
A, 25.03 E.11.(c).
10. WATER SERVICE OUTSIDE AN IMPROVEMENT DISTRICT
(a) Defined as: Water service for property located
within the boundaries of the District, but not
within a water improvement district. Customers
for this service are sometimes referred to as
"outside users."
(b) Customers applying for this service shall pay an
application fee as set forth in Appendix A, 25.03
E.10.(b). The District will review the
application to determine whether the land to be
served should be annexed to an improvement
district. If it is determined that annexation is
not practical, the Board of Directors may
authorize service as an outside user. This
service will be reviewed periodically until it is
determined that the property must be annexed to
an improvement district or that service must be
terminated.
(c) The rate for metered water furnished under this
category is as set forth in Appendix A, 25.03
E.10.(c), plus a monthly system charge as set
forth in Appendix A, 25.03.C.
The tiered base rates for this category of
service are subject to the increased drought
pricing outlined in Section 25.03 D.
25-8
(d) Upon approval of the Board of Directors, a cus-
tomer, who has paid all construction costs for
facilities necessary to serve the customer's
property in lieu of annexation to a water
improvement district, shall be exempt from the
provision for this category of service.
11. SERVICE FOR FIRE PROTECTION
(a) Defined as: Water service provided by the Dis-
trict solely to feed fire hydrants or fire
sprinkler systems from lines or laterals con-
nected to District water mains.
(b) The District will not make a charge for the
quantity of water used for fire protection
purposes.
(c) The monthly system charge for this category
of service is set forth in Appendix A, 25.03
E.11.(c) for each connection to a District water
main made for fire protection service.
12. WATER SERVICE TO PROPERTY NOT SUBJECT TO DISTRICT
TAXES
(a) Pursuant to Section 71613 of the California Water
Code, the District may furnish water to property,
not subject to District taxes, at special rates,
terms and conditions as are determined by the
Board of Directors for such service. Such rates,
terms and conditions shall be uniformly applied
to like classes and conditions of service in the
same improvement district or geographical area.
(b) Customers in this category, such as publicly-
owned establishments, shall pay an additional fee
as outlined in Appendix A, 25.03 E.12.(b).
13. INTERIM WATER SERVICE IN IMPROVEMENT DISTRICT 7
(a) Definition of Interim Service. This is water
Service furnished to a customer in Improvement
District 7 (ID 7) for temporary use.
(b) Rates for Interim Service. Customers applying
for interim service in ID 7 shall not be required
to pay the ID 7 water capacity fee and San Diego
County Water Authority fee, as required under
Section 2801 of this Code. The water rate is set
forth in Appendix A, 25.03 E.13.(b).
(c) Conversion to Permanent Service. At such time as
use expires, the customer shall be required to
25-9
pay all fees in effect at the time the permanent
use is implemented.
F. Energy Charges for Pumping Water
In addition to water rates and other charges provided for
in this Section 25.03, customers shall be charged an energy
pumping charge based on the quantity of water used and the
elevation to which the water has been lifted to provide
service. The energy pumping charge shall be made at the
rate set forth in Appendix A, 25.03 F.
G. Additional Water Charge for Service in the North District
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, each
customer receiving water service in the North District
shall pay a charge as set forth in Appendix A, 25.03
G.1. The North District area is defined in Section
0.02 of this Code.
2. All proceeds from charges collected pursuant to this
Section 25.03 G. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage
reservoirs, pump stations and water lines to provide
service in the North District.
H. Additional Water Charges and Monthly System Charges for
Service in the ID 9 Water Service Zone
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 1, 1986, each customer receiving water service in
the ID 9 Water Service Zone shall pay a charge set
forth in Appendix A, 25.03 H.1. The ID 9 Water
Service Zone area is defined in Section 0.02 of this
Code.
2. In addition to the monthly system charges provided
for, effective May 1, 1986, each customer receiving
water service in the ID 9 Water Service Zone shall pay
a monthly meter system charge as outlined in Appendix
A, 25.03 H.2. for each meter in service.
3. All proceeds from charges collected pursuant to this
Section 25.03 H. shall be set aside by the District in
a separate account and shall be used solely for pay-
ment of costs and borrowing for construction,
installation and maintenance of water storage reser-
voirs, pump stations and water lines to provide ser-
vice in the ID 9 Water Service Zone.
25-10
I. Additional Water Charges for Services in the ID 3, ID 10
and La Presa Water Service Zones.
1. In addition to other applicable water rates and
charges provided for in this Section 25.03, effective
May 17, 1993, each customer receiving water service in
ID 3, ID 10 and La Presa Water Service Zones is
assessed an additional charge per H.C.F. of water
furnished by the District. Said surcharge is assessed
as set forth in Appendix A, 25.03 I.1.(a),(b), and
(c).
2. All proceeds from charges collected pursuant to this
Section 25.03 I. shall be set aside by the District in
a separate account and shall be used solely for
payment of costs and borrowings for construction,
installation and maintenance of water storage,
reservoirs, pump stations and water lines to provide
service in the ID 3, ID 10 and La Presa Water Service
Zones, respectively.
25.04 DEPOSITS BY LESSEES OR NON-OWNERS OF PROPERTY
A. AMOUNT OF DEPOSIT
The customer's deposit shall be applied to reduce or
satisfy any delinquent payment or other amount due the
District at the time of termination of water service to
the customer. Any portion of the deposit remaining, after
satisfaction of the amount due, shall be refunded to the
customer that made the deposit.
The deposits listed above may be waived for a new resi-
dential applicant where the applicant demonstrates credit
worthiness based upon prior utility payments or a non-
delinquent water account for one year or other similar
evidence of credit.
When an application for water service is made by a customer
who does not own the land to be served, the customer shall
be required to make a cash deposit to assure payment of the
account. In lieu of a deposit, the customer may have
payment of water service bills guaranteed in writing by the
owner of the property. The amount of deposit, determined
by the size of meter is outlined in Appendix A, 25.04 A.
25-11
B. REFUND OF DEPOSIT
Where funds have been on deposit for twelve months in a
domestic service account and there has been no more than
one delinquent payment on that account during that period,
the District will apply a credit to the water account in
the amount of the deposit.
C. LETTER OF CREDIT
A letter of credit, in a form approved by the General
Manager or Department Head of Finance, may be submitted to
the District to satisfy the deposit requirements.
25.05 SERVICE TO SUBSEQUENT CUSTOMERS
After a water meter has been installed for a customer and all
fees and charges have been paid, water service may be furnished
to a subsequent customer through the water meter installed
without payment of further charges, except for the set-up fee
for transferred accounts, payment of delinquent charges for the
applicant's service or other deposits that may be required by
this Code.
28-1
SECTION 28 CONNECTION FEES AND CHARGES FOR POTABLE OR RECLAIMED
WATER SERVICE
28.01 COLLECTION OF FEES AND CHARGES
A. Fees and Charges to be paid by the Customer.
The following fees and charges shall be paid by the
customer to connect to a District water system for potable
water or reclaimed water service; these are in addition to
the fees and charges in Section 9 and 25. Fees and charges
shall include, but not be limited to, District fees, San
Diego County Water Authority fees, applicable zone charge
and charges for work performed by District personnel on
behalf of the customer. These charges may include the
installation by District personnel of a water service
lateral, and inspections required due to the requirement of
a back flow device. These charges may also include a meter
fee, installation fee (where laterals exist), lateral fee,
meter box fee, and excavation permit fee.
B. Basis for Determination of Connection Fees and Charges.
The fees and charges shall be determined as follows:
For permanent water meters, including potable or
recycled irrigation service, the total water
connection fee shall be determined on the basis of the
demand to be placed on the District water system. The
extent of demand will be determined on the basis of
the size of the water meter, as set forth in Section
27 of the Code. For fire service, as outlined in
Section 38.03 of the Code, the size and fee would be
set based on water use requirements without additional
fire capacity. The water connection fee will be
determined by multiplying the demand factor for the
meter size, as set forth below, by the total of the
District-wide capacity fee and applicable zone charge.
Meter Size Demand Factor
3/4" 1
1 2-1/2
1-1/2" 5
2" 8
3" 16
4" 25
6" 50
8" 80
10" 115
Attachment D
28-2
1. The District-wide capacity fee and the applicable zone
charge shall constitute the "base rate." For fees or
charges after July 1, 2010, the base rate shall be
adjusted quarterly for fluctuations in construction
costs, as measured by the Engineering News Record
Construction Cost Index for the Los Angeles Region.
The ENR Construction Cost Index of 9777.19(as of July
1, 2009) shall be deemed the "base index." The
adjustment shall be in an amount equal to the percent-
age change in the ENR Construction Cost Index from the
base index for the period from June 10, 2009 to the
date of payment. (See Appendix A, 28.01 B.1. for
fees.)
2. The District-wide new water supply fee shall
constitute the “base rate.” For fees or charges after
July 1, 2010, the base rate shall be adjusted
quarterly for fluctuations in construction costs, as
measured by the Engineering News Record Construction
Cost Index for the Los Angeles Region. The ENR
Construction Cost Index of 9777.19 (as of July 1,
2009) shall be deemed the “base index.” The
adjustment shall be in an amount equal to the
percentage change in the ENR Construction Cost Index
from the base index for the period from June 10, 2009
to the date of payment. (See Appendix A, 28.01 B.2.
for fees.)
28.02 INSTALLATION CHARGES FOR WATER METER AND WATER SERVICE LATERALS
The determination of the water meter or service lateral
size shall be based upon the information provided by the
customer as detailed in Section 27 of the Code. The
installation charges are set forth in Appendix A, 28.02.
Where a water meter larger than 2-inch or a new water
lateral is required, a customized, written estimate of the
District's costs will be prepared.
The customer shall deposit the estimated costs with the
District prior to commencement of the work. If actual costs
incurred by the District are less than the amount deposited, the
District shall refund the excess to the customer. If the actual
costs incurred exceed the amount deposited, the customer shall
reimburse the District for the additional costs.
28-3
28.03 METER FEE REFUND
A. If a water meter/service has been paid for but not
installed, a customer may receive a refund of the
District’s capacity fee and charges. If San Diego County
Water Authority capacity fees have been paid to San Diego
County Water Authority, the customer shall request a refund
from San Diego County Water Authority.
B. If the customer wants to change the meter/service size,
they will be credited with the number of equivalent
dwelling units they have previously purchased and will be
refunded any balance per Section 28.03 A, above. If
additional equivalent dwelling units are required, the
customer will be charged based on 28.01 and 28.02.
38-1
SECTION 38 SERVICE FOR FIRE PROTECTION SYSTEMS
38.01 SERVICE FOR COMMERCIAL OR INDUSTRIAL PURPOSES
The District will provide water service for fire pro-
tection systems for commercial or industrial developments
within the District. Such service shall be available only
in accordance with the rules and regulations provided in
this Code.
38.02 RULES AND REGULATIONS FOR FIRE HYDRANT AND/OR
FIRE SPRINKLER SERVICE FOR COMMERCIAL OR
INDUSTRIAL PURPOSES ON PRIVATE PROPERTY
A. All fire hydrant and/or fire sprinkler service
mains installed for commercial or industrial pur-
poses on privately-owned land shall be owned and
maintained by the land owner; except for fire
hydrants installed for developments where the
District has accepted an easement for such
service mains.
B. Where service is provided for fire hydrant or
fire sprinkler service on privately-owned land
under Paragraph A above, the service shall be
provided by the District at the property line of
the land to be served. The property owner or
developer shall be responsible to construct and
maintain the remainder of the facilities to pro-
vide fire protection to the property. Each such
facilities installation shall include a reduced
pressure principle assembly backflow device
installed in accordance with District specifica-
tions on the fire main on the customer side of
the property line.
C. Water furnished for fire hydrant or fire sprin-
kler service shall be used only for fire protec-
tion purposes. Water service for domestic, busi-
ness, commercial or irrigation purposes shall be
furnished only after a meter or meters have been
installed on laterals connected to the District
main in the street pursuant to requirements of
this Code.
D. Upon application for installation of one or more
fire service connections to an existing District
water main, the customer shall pay such charges
as shall be determined on the basis of actual
costs incurred by the District in performing the
Attachment E
38-2
work. At the time of application for the instal-
lation, the District will estimate the total
costs to be incurred in performing the work. The
customer shall deposit the estimated amount with
the District prior to commencement of the work.
The work shall be performed by the District under
a District Water/Sewer Order. If actual costs
incurred by the District are less than the amount
deposited, the District shall refund the balance
of the deposit to the customer. If the costs
incurred exceed the amount deposited, the cus-
tomer shall reimburse the District for the addi-
tional costs. Where the fire service connection
is to be made to a water main to be constructed
in a street by the owner or developer, the costs
for such connection shall be covered under the
standard developer's agreement with the District
for installation of the water facilities for the
development project.
E. Water for fire protection services shall be pro-
vided in accordance with District fees and
charges set forth in Section 25.03.D of this
Code.
F. The District shall have no responsibility for the
proper function of the fire service system nor
for the availability of water from its mains for
fire protection in the event of emergency. While
the District undertakes at all times to have ade-
quate supplies available in its system for ordi-
nary uses, it is not a guarantor of continual
service in quantities adequate for all purposes
however, and each customer shall specifically
agree that as a condition of the fire service
connection contracted for that the District shall
incur no liability nor be subject to any damages
resulting from a failure or malfunctioning of the
fire sprinkler lateral or fire sprinkler system
or from a lack of water in adequate quantity or
pressure to make it fully effective.
38.03 SERVICES FOR RESIDENTIAL FIRE PROTECTION
When a residential water meter is required to
provide standby capacity for a fire sprinkler system,
the capacity charge may be determined according to the
size of the meter necessary to meet the water use
requirements for the property. This is determined
according to the rules of the member agency providing
38-3
the meter, without consideration of additional size
necessary to provide the standby capacity. Standby
capacity to provide water for a fire sprinkler system
is required when (1) the fire sprinkler system is
required by law, including any requirement imposed as
a condition of development, permit, or occupancy, and
(2) the fire chief, fire marshal, or building official
of the city, county, or special district responsible
for fire protection service to the property has a
requirement for additional meter size due to fire
protection. The determination, under this section,
shall be made at the time the meter is first obtained,
or at the time a meter is replaced with one of greater
size due to the later installation of a fire
protection system.
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: March 1, 2012
SUBMITTED BY:
Geoffrey Stevens, Chief
Information Officer
PROJECT: Various DIV. NO. ALL
APPROVED BY:
German Alvarez, Assistant General Manager, Administration
and Finance
Joe Beachem, Chief Financial Officer
Mark Watton, General Manager
SUBJECT: Update - Records Retention Policy
GENERAL MANAGER’S RECOMMENDATION:
This is an informational item only.
COMMITTEE ACTION:
See “Attachment A”.
PURPOSE:
To provide an informational update on changes to the District’s
records retention policy.
ANALYSIS:
In February 2010 the Board approved policy 5-A Records Policies and
Procedures – Records Retention and Destruction. The policy
established a revised records retention policy. In addition the
policy allows the General Manager to make minor ongoing changes to
the Records Retention Schedule if necessary.
One area where change has occurred since the policy was adopted in
2010 is in the area of electronic records. In researching the best
way to handle items like email and computer back-up tapes, staff
learned that both CWA and the State of California delete this type of
information more rapidly than does the District. For example CWA uses
a four month timeframe. State policies vary somewhat but require each
agency to have a specific policy. Because of this your staff is
AGENDA ITEM 8
implementing a thirteen month period (reduced from 36 months in the
original policy) for both emails and computer backup tapes. While our
policy does not require Board approval for minor changes, the General
Manager wishes to inform the Board because of the significant
interest in electronic document policy and also that this is the
first time we have made a minor change to the policy. This 13 month
timeframe will allow us to recover any item we received
electronically in the last year and also allow us to manage the
immense storage requirements of electronic communications.
From a legal perspective, email is considered to be transitory
communication and not in and of itself a “record.” Sometimes,
however, email contains specific content or attachments that should
be retained as a record, for example, the final version of a
contract. In this case, the individual who receives the email will be
responsible for transfering the record into the correct category in
the TRIM records system. The records system is designed to make this
electronic transfer function easy.
As this item is an informational item, it is relevant to take this
opportunity to also inform the Board that significant improvements
have been completed in our records management systems as well. During
the last year staff has upgraded our existing TRIM records system
with a new version now provided and supported by HP. This enhanced
product is a scalable enterprise document and records management
solution that simplifies the capture, management, security, and
access to information—in a business context. It is also compliant
with a number of government recommended standards, for example
Records Management—Part 1 and 2 ISO 15489-1:2001 and ISO/TR 15489-
2:2001. This system enables the District to more easily comply with
regulations and corporate policies, and it helps the District secure
information from inappropriate access and misuse. TRIM has been
implemented with significant staff input and serves as the official
repository for District records.
FISCAL IMPACT:
None at this time.
STRATEGIC GOAL:
Item 3.B.7 Update the District-wide Records Management Program.
LEGAL IMPACT:
None. This recommendation has been reviewed and approved by the
District’s legal staff.
Attachments: Attachment A – Committee Action
Attachment B – Policy 5A
ATTACHMENT A
SUBJECT/PROJECT: Update - Records Retention Policy
COMMITTEE ACTION:
This item will be presented to the Finance, Administration and
Communications Committee.
STAFF REPORT
TYPE MEETING: Regular Board
MEETING DATE: March 7, 2012
SUBMITTED BY:
Rita Bell, Finance Manager
PROJECT: DIV. NO. All
APPROVED BY:
Joseph R. Beachem, Chief Financial Officer
German Alvarez, Assistant General Manager, Finance and
Administration
Mark Watton, General Manager
SUBJECT: The Projected Fiscal Year 2012 Comparative Budget Summary
GENERAL MANAGER’S RECOMMENDATION:
This is an informational item only.
COMMITTEE ACTION:
See Attachment A.
PURPOSE:
To inform the Board as to the latest budget projections.
ANALYSIS:
Background:
CWA considered FY2010 the “new normal” year, taking into
consideration changes in our customers habits, based on the last
several year’s unprecedented rate increases, weather, the slow
economic recovery, and ongoing conservation messages. Staff
presented to the Board that the CWA assumptions were reasonable
estimates and therefore, used the same assumptions.
AGENDA ITEM 9
2
In the FY2012 budget process, the District anticipated that water
sales would regain 50% of the FY2010 loss. Another 25% in sales was
estimated to return in FY2013, and the final 25% would return in
FY2014. CWA acknowledged that FY2011 had the coolest July since the
1930’s and the wettest December since 1850. In addition, the
forecast for FY2012 was a La Nina, meaning less rainfall, and
hopefully less extreme weather, so the CWA overall assumption seemed
reasonable. The State and CWA also put an end to water use
restrictions, allowing customers to use more water in FY2011.
Current Status:
On a monthly basis, staff monitors the revenues and expenses of the
operating budget and reports to the Board via the Comparative Budget
Summary. The first month of the fiscal year began with water sales
above budgeted levels by 5.5%. For the next five consecutive months,
water sales fell short of budget and reached a cumulative sales
volume deficit of 10.4%. Cool summer months, and early rainfall in
September through November, reduced water sales in months where some
of the highest volume sales are anticipated, and at the higher tiers,
thus further reducing water sales dollars.
For the first seven months of the FY2012, the budget assumed 69% of
the water sales units, when actual sales were only 67%. In sales
dollars, because of the effect of the tiered rate structure, the
budget assumed 69% in sales, but only achieved 66%. With only 33% of
the anticipated sales over the next five months, it is unlikely that
the deficit will be eliminated.
In January, the trend began reversing itself and the District
experienced higher sales than budgeted by 24.1%, reducing the
cumulative variance to -7.7%. Should the District sales stay on
budget for the next five months, and if the identified departmental
expense savings are realized, the District will still be $1.6 million
under the budgeted net revenues.
Staff has provided three additional scenarios with sales at 4% and 8%
below budget and the final one that matches the fiscal year 2011
February through June actual sales (12% above budget) for the
remainder of the year.
FISCAL IMPACT:
An operating budget shortfall of $1.6 million up to $2.0 is possible,
due to reduced water sales, despite the almost $800,000 in expense
savings. Even in the best case scenario where February through June
sales matches 2011, the shortfall is still $1.3 million. This
shortfall will have a negative effect on the proposed water rates in
3
the pending FY 2013 budget process. If this year’s sales are lower
than anticipated, the future projected water sales will also be
lowered, putting added upward rate pressure into the budget process.
The upward pressure on rates will be partially offset by additional
budget scrutiny, labor efficiencies, and any reduction in CIP
expenditures.
STRATEGIC GOAL:
Provide value by directing and managing the financial issues that are
critical to the District.
LEGAL IMPACT:
None.
Attachments: Attachment A – Committee Action
Attachment B – Presentation
ATTACHMENT A
SUBJECT/PROJECT:
The Projected Fiscal Year 2012 Comparative Budget Summary
COMMITTEE ACTION:
This is an informational item only.
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.
Fiscal Year 2012 Budget
to Actual Comparative
Projection
February 14, 2012
1
Actual through January –
Projected on Budget through June
5.5%
1.0%
-2.8%
-4.1%
-7.8%
-10.4%
-7.7%-7.2%-6.9%-6.4%-5.8%-5.3%
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
FY 2012 Budget vs. Actual Monthly Water Sales
with February through June on Budget
Budget Actual/Projected Cumm %
2
Actual through January –
Projected on 4% Below Budget through June
5.5%
1.0%
-2.8%
-4.1%
-7.8%
-10.4%
-7.7%-7.5% -7.5%-7.6%-7.8%-8.0%
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
FY 2012 Budget vs. Actual Monthly Water Sales
with February through June 4% Below Budget
Budget Actual/Projected Cumm %
3
Actual through January –
Projected on 8% Below Budget through June
5.5%
1.0%
-2.8%
-4.1%
-7.8%
-10.4%
-7.7%-7.7%-7.9%-8.3%-8.7%-9.2%
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
FY 2012 Budget vs. Actual Monthly Water Sales
with February through June 8% Below Budget
Budget Actual/Projected Cumm %
4
Actual through January –
Projected using 2011 February through June Units
5.5%
1.0%
-2.8%
-4.1%
-7.8%
-10.4%
-7.7%
-4.2%
-2.5%-2.5%
-1.2%-0.9%
-12.0%
-10.0%
-8.0%
-6.0%
-4.0%
-2.0%
0.0%
2.0%
4.0%
6.0%
8.0%
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
FY 2012 Budget vs. Actual Monthly Water Sales
with February through June 2011 units
Budget Actual/Projected Cumm %
5
6
Historical Water Purchases
35,394
37,896 38,836 38,045
34,971
31,172 29,860 30,483
2,284
3,050
3,073
20,000
25,000
30,000
35,000
40,000
45,000
FY05 FY06 FY07 FY08 FY09 FY10 FY11 Budget 2012
Ac
r
e
F
e
e
t
Otay Purchases Supplement to Recycled System Otay High Demand
4.2%
9.2% 27.2%
Otay High Demand - 41, 909 AF
8.1%
11.1%
2.1%
37,678
40,946
41,909
Water Sales FY 2011 vs. FY 2012
-
2,000,000
4,000,000
6,000,000
8,000,000
10,000,000
12,000,000
14,000,000
16,000,000
Cumulative Sales FY 2011 and FY 2012
FY 2011 FY 2012
7
Historical Sales
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
Historical Monthly Water Sales
FY 2009 FY 2010 FY 2011 FY 2012
8
Rainfall
JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN
FY10 - - - - 0.12 2.28 3.38 2.28 0.68 1.78 0.01 0.02
FY11 0.02 - 0.03 2.18 0.88 5.00 0.31 2.13 1.46 0.26 0.36 0.03
FY12 - - 0.13 0.46 3.12 0.86 0.89
Average 0.01 - 0.05 0.88 1.37 2.71 2.29 2.21 1.07 1.02 0.19 0.03
-
1.00
2.00
3.00
4.00
5.00
6.00
in
c
h
e
s
FY 2010-2012 Rainfall (Monthly )
FY10
FY11
FY12
Average
9
Effect on Projected Comparative
Budget Summary
On Budget
Feb – June
4% Below
Feb – June
8% Below
Feb – June
2011 units
Revenue $ (4,278,136) $ (4,831,361) $ (5,390,349) $ (2,676,085)
Expenses $ 2,628,866 $ 2,975,024 $ 3,344,654 $ 1,353,054
Net Amount
Over/(Under) $ (1,649,270) $ (1,856,337) $ (2,045,695) $ (1,323,031)
Water Sales
variance in
dollars -10.0% -11.2% -12.4% -6.5%
Water Purchases
variance in
dollars 6.6% 7.9% 9.2% 2.2%
10
Operating Budget Savings
Payroll and Related Costs
Materials & Maintenance
Administrative Expenses
11
Operating Budget Savings –
Payroll and Related Costs
Estimated Salary Savings of $462,380
Projected vacancies $549,880
PERS savings from employee
contributions
$451,500
Less increase in OPEB cost -$539,000
$462,380
12
Operating Budget Savings –
Materials and Maintenance
Estimated Material Savings of $118,700
Safety Equipment $5,000
Contracted Services $8,700
Infrastructure Materials $25,000
Fuel & Oil $20,000
Fleet Parts & Equipment $10,000
Chemicals $50,000
$118,700
13
Operating Budget Savings – Administrative
Expenses
Estimated Admin Expense Savings of $210,300
Outside Services $225,000
Insurance -$47,900
Travel, Conferences & Meetings $7,100
Incentives $66,000
Bank Fees $11,500
Office Supplies, Printing & Training $12,600
Communications $27,000
Employee Programs $18,000
Bad Debt -$17,800
Overhead Allocation -$91,200
$210,300
14
Where do we go next?
◦Watch and update water sales
◦Look for more expense savings
◦Update the Rate Model with latest estimates
Questions?
15