HomeMy WebLinkAbout09-16-10 FA&C Committee PacketOTAY WATER DISTRICT
FINANCE,ADMINISTRATION AND COMMUNICATIONS
COMMITTEE MEETING
and
SPECIAL MEETING OF THE BOARD OF DIRECTORS
2554 SWEETWATER SPRINGS BOULEVARD
SPRING VALLEY,CALIFORNIA
BOARDROOM
MONDAY
September 16,2010
11:30 A.M.
This is a District Committee meeting.This meeting is being posted as a special meeting
in order to comply with the Brown Act (Government Code Section §54954.2)in the event that
a quorum of the Board is present.Items will be deliberated,however,no formal board actions
will be taken at this meeting.The committee makes recommendations
to the full board for its consideration and formal action.
AGENDA
1.ROLL CALL
2.PUBLIC PARTICIPATION -OPPORTUNITY FOR MEMBERS OF THE PUBLIC
TO SPEAK TO THE BOARD ON ANY SUBJECT MATTER WITHIN THE
BOARD'S JURISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
DISCUSSION ITEMS
3.REVIEW OF THE RESULTS OF THE EMPLOYEE SURVEY (WILLIAMSON)
[15 minutes]
4.APPROVE FUNDING FOR THE DISTRICTS ASSET MANAGEMENT
PROGRAM (STEVENS)[5 minutes]
5.APPROVE AN AGREEMENT WITH JESUS H.KURODA FOR THE
INSTALLMENT PAYMENT OF CAPACITY FEES IN ACCORDANCE WITH
BOARD OF DIRECTOR'S POLICY 7,CONDITIONS FOR INSTALLMENT OR
DEFERRED PAYMENTS TO THE DISTRICT (CHARLES)[5 minutes]
6.ADOPT ORDINANCE NO.525 AMENDING SECTION 27.04,REQUIREMENTS
AND LIMITATIONS FOR OBTAINING WATER SERVICE,USE OF
SUBMETERS FOR RESALE OR DISTRIBUTION OF WATER,OF THE
DISTRICTS CODE OF ORDINANCES (BANUELOS)[5 minutes]
7.REPORT ON THE FISCAL YEAR-END 2010 STRATEGIC PLAN AND
PERFORMANCE MEASURES (STEVENS)[10 minutes]
1
8.INFORMATIONAL ITEM REGARDING THE CUSTOMER NOTICES OF THE
APPROVED RATE INCREASE EFFECTIVE JANUARY 1,2011 (BEACHEM)
[10 minutes]
9.ADJOURNMENT
BOARD MEMBERS ATTENDING:
Jaime Bonilla,Chair
Mark Robak
All items appearing on this agenda,whether or not expressly listed for action,may be
deliberated and may be subject to action by the Board.
The Agenda,and any attachments containing written information,are available at the
District's website at www.otaywater.gov.Written changes to any items to be considered
at the open meeting,or to any attachments,will be posted on the District's website.
Copies of the Agenda and all attachments are also available through the District Secre-
tary by contacting her at (619)670-2280.
If you have any disability which would require accommodation in order to enable you to
participate in this meeting,please call the.District Secretary at 670-2280 at least 24
hours prior to the meeting.
Certification of Posting
I certify that on September 10,2010 I posted a copy of the foregoing agenda
near the regular meeting place of the Board of Directors of Otay Water District,said
time being at least 24 hours in advance of the meeting of the Board of Directors (Gov-
ernment Code Section §54954.2).
Executed at Spring Valley,California on September 10,2010.
jV
rict Secretary
2
AGENDA ITEM 3
TYPE MEETING:
SUBMITTED BY:
APPROVED BY:
(Chief)
APPROVED BY:
(Ass!.GM):
SUBJECT:
STAFF REPORT
Regular Board \f\/MEETING DATE:
Kelli Williamso~W W.O.lG'F'~:
"Human Resources Manager if /"../....,
Rom Sarno,Chief of Administrativ~;'ices
German A~ssistant General Ma~ager,
Administration
Present Results of the 2010 Employee Survey
October 6,2010
DIV.NO:All
Finance and
GENERAL MANAGER'S RECOMMENDATION:
This is an informational item.No action is required.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To present the results of the 2010 Employee Survey.
ANALYSIS
As a part of the District's Strategic Plan,the District worked with
Rea &Parker to develop and implement a scientifically reliable and
repeatable Employee Survey Program in 2008.This year,Human
Resources staff worked with Rea &Parker to make minor edits and
refine some questions based on feedback from the 2008 survey.
The survey was administered the end of June 2010.Employees each
received an email from the General Manager with an overview of the
survey,followed-up by an email from Rea &Parker Research with
individual login information.Employees entered data directly to a
private,secure server only accessible by Rea &Parker Research.Of
the 160 employees,151 completed the survey,or 94%of the
employees,which is a very high participation rate.
As summarized in the report by Rea &Parker Research._"The
fundamental conclusion to be drawn from the 2010 Employee
satisfaction survey is that Otay Water District employees were very
satisfied with their employment when the survey was initially
conducted in 2008 and are presently even more satisfied."Rea &
Parker Research will present highlights of the findings in a ,
presentation format (Attachment B).A summary of the results can be
found in the Otay Water District 2010 Employee Satisfaction Survey
(Attachment C).
FISCAL IMPACT:
The cost of the Employee Survey was $15,000 and was budgeted.
STRATEGIC GOAL:
FY06-08,4.5.2.1 -"Establish a Repeatable Employee Survey Program"
LEGAL IMPACT
Attachment A -Committee Report
Attachment B -Power Point Presentation
Attachment C -Otay Water District 2010 Employee Satisfaction Survey
SUBJECT/PROJECT:
ATTACHMENT A
Present Results of the 2010 Employee Survey
COMMITTEE ACTION:
The Finance,Administration and Communications Committee and the
Engineering and Water Operations Committee met on September 16,
2010 to receive this informational report from Rea &Parker
summarizing the results of the 2010 Employee Satisfaction
Survey.
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.
'I
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Methodology
+.Online survey -June 29,2010
II Taken at Otay Water District offices
•107 questions
-49 agreement/disagreement
-49 importance
- 4 satisfaction
- 5 general/demographic
II E-mail notices and reminders from GM on June 23 and
Rea &Parker Research on June 28
II 134 out of 160 employees participated by July 1
tJ Additional time (July 8)provided for those away or
otherwise unable to participate -two follow up e-mails
from Rea &Parker Research
•Total participants =151/160 (94 percent)2
Participants
~.I,...69 percent male (2008 =70 percent)
--r;-Median age =45.5 (2008 =44.5)
.•Median length of service =6.45 years (2008 =6.00 years)
-11 percent 20 or more years (2008 =12 percent)
- 3 percent in first year (2008 =5 percent)
•Department
-Operations =39 percent (2008 =38 percent)
-Administrative Services/GM/IT =25 percent
(2008=23 percent)
-Finance =23 percent (2008=24 percent)
-Engineering =13 percent (2008=15 percent)
•Position type
-Non-management (including crew leader)=79 percent
(2008 =78 percent)
-Supervisor/Manager =7 percent
(2008 =8 percent)
-Management/Department Chief =14 percent
(2008 =14 percent)
Key Findings
-+·The level of satisfaction among employees
with their being employed by the Otay
Water District is ~.
•2008 was excellent ----------2010 even greater
extent
•Employees rate their satisfaction with
being an employee of the Otay Water
District at a mean rating of 5.95 on a scale
of 1 =Highly Dissatisfied to 7 =Highly
Satisfied.
Key Findings (cant)
+ ·In comparable public employee surveys,50
percent to 85 percent of employees have
demonstrated satisfaction levels above the
midpoint on their respective satisfaction
scales.
•Mean satisfaction ratings in these other
studies have ranged between 3.7 and 5.7
(on 1-7 scales or scales adjusted to equate
to 1-7).
•Employee satisfaction demonstrated in this
survey by Otay Water District employees is
at the very highest level.6
• A remarkable percentage of employees
(96 percent)stated that they would
recommend the Otay Water District as a
place of employment.
•This represents an increase of 6 percent
in the level of satisfaction over the
employees in the 2008 survey where 90
percent made this recommendation
Key Findings
+
7=Highly Satisfied
6
5
4
3
2
1=Highly Dissatisfied
Overall Satisfaction as Employee ofOtayWate.rDistrict
(Mean 2010 rating =5.95 Mean 2008 rating =5.45)
,.•2008 &12010 I
30%
32"k
41%
0%5%10%15%20%25%30%35%4'0%45%8
ReconmlendOtay Water District as.Placeof Employmen.t
2010
0%
No,4%
NO,10%
20%30%40%50%60%70%80%
Yes,96%
Yes,90%
90%'100%
Key Findings (cant)
+.The survey contained eight subsections that
identified and categorized 49 employment-
related characteristics.Each of the eight
category related means is averaged to produce
an overall agreement mean of 5.80,which is
higher than the mean in 2008 of 5.54 .
•The overall proportion of employees on all 49
characteristics who rank the District as above
the midpoint (5,6,or 7)is 5 out of 6 (83
percent).In 2008,this percentage of 5-7
responses was 76 percent.
10
Key Findings (cant)
+•Largest increases in satisfaction
-Communications
-Morale
-Compensation and Benefits
-Opportunities for Professional Growth
-Workplace and Resources
11
Survey Categories Agreement Means (Part 1)
Scale:1=Highly Disagree••.7=Highly Agree (Overallmean =5.80)
i12010 .2008
Workplace and Resources Opportunities for Professional
Growth
Compensation·and Benefits ManagementlSupervision 12
7.00
6.00
4.00
3;00 1
2.00
1.00
Survey Categories.Agreement Means (Part 2)
Scale:1=Highly Disagree...7=Highly Agree (Overall mean =5.80)
I .2010.2008 I
En¢>yeelnteraction Feedback and E~loyee Evaluation Morale Conm.mications
14
Key Findings (cant)
+.Importance of each category also increased
from 2008 but far less than satisfaction.
•The difference between the overall mean
Importance and overall mean Agreement is
.68 rating points in 2010.
•In 2008,the comparable difference in rating
points between overall agreement and overall
importance was .89.
•This indicates that the gap between
Agreement and Importance has shrunk from
2008 to 2010.
Survey Categories Importance Means (Part 1)
Scale:1=Very Unimportanl••7=Very Important (Overall mean =6.48)
I 02010 .2008 I
6.00
5.00
4.00
3.00
2.00
1.00
Workplace and Resources Opportunities for Professional
Growth
6.65
Compensation and Benefits Management/Supervision 15
Survey Categories Importance Meal1s (Pad 2)
Scale:1=VeryUiiiltlportanL••7=Very Important (Overall mean =6.48)
I 02010-.2008 I
7.00
6.00
5.00
4.00
3.00
2.00
tOO
EJ11)loyee Interaction Feedback and ErT1>16yee 'EvalUation Morale Corrmunications
Key Findings (cant)
~+
. •Strongest correlations between
individual characteristics and overall
satisfaction
-Morale -individual and departmental
-Employees'contributions are valued
-District balances work and personal life
-Management team
•Provides effective leadership
•Makes informed decisions
17
18
Key Fi nd ings (cant)
...1--;.The core characteristics that make the
Otay Water District an excellent place to
work are:
•The District promotes safety in the workplace
•All necessary resources and equipment are
available to do a good job.
•Employees consider the benefit package to be
good as well as competitive with other
organizations.
•The financial stability of the District is cited as
one of its strongest characteristics.
19
Key Findings (cant)
+•The core characteristics that make the
Otay Water District an excellent place to
work are (continued):
•Supervisors and managers are rated highly:
•They are open to work-related concerns
•They treat employees with respect
•Each Department works well as a team.
•Employees understand their work goals and
objectives and further understand the
relationship between their work and the
success of the District.
20
Key Findings (cant)
+.Continued enhancement in the following
areas that already exhibit high levels of
employee satisfaction may yield even
further increases in employee
satisfaction:
•recognition of employees for a job well-done,
•an increased sense of job security,and
•communication within the District,especially in
the manner in which employees can better
understand the District decision-making
process.
Conclusion
.c~-_._+
.•The Otay Water District is clearly
fulfilling its responsibilities as an
employer to an outstandingly
,high degree.
21
•OTAYWATERDISTRICT
REA&
PARKER
RESEARCH
ATTACHMENT C
Otay Water District
2010 Employee
Satisfaction Survey
Prepared for
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
Prepared by
Rea &Parker Research
P.O.Box 421079
San Diego,California 92142
858-279-5070
www.rea-parker.com
August,2010
TABLE OF CONTENTS
Executive Summary
Introduction
Methodology
Employee General InformationlDemographics
Survey Findings
Overall Satisfaction
Agreement and Importance That the District
Exhibits Certain Employment-Related
Characteristics
Correlations:Characteristics Agreements
and Overall Satisfaction
Satisfaction/Importance Quadrant Analysis
Appendix:
Survey Instrument
Page
iii
1
1
4
7
7
9
13
13
16
Otay Water District
20I0 Employee Survey Report
ii Rea &Parker Research
August,2010
OTAY WATER DISTRICT:2010 EMPLOYEE SURVEY
EXECUTIVE SUMMARY
The fundamental conclusion to be drawn from the 2010 Employee satisfaction survey is that Otay
Water District employees were very satisfied with their employment when the survey was
initially conducted in 2008 and are presently even more satisfied.The level of satisfaction
demonstrated by employees of the District is superior.The Otay Water District is clearly
fulfilling its responsibilities as an employer to an outstandingly high degree.
•Employees rate their satisfaction with being an employee of the Otay Water
District at a mean rating of 5.95 on a scale of 1 =Highly Dissatisfied to 7 =
Highly Satisfied.
•Nearly three-fourths (73 percent)of employees rate their employment at 6 or 7
(indicative ofa great deal of satisfaction)and 9 out of 10 (87 percent)rate their
satisfaction at 5,6,7-all scores above the scale midpoint.
•These data represent an increase in the overall level of satisfaction from the
2008 employee survey where the mean rating was 5.45 and 53 percent of
employees rated their employment at 6 or 7.
•In comparable public employee surveys,a range of 50 percent to 85 percent of
employees has demonstrated satisfaction levels above the midpoint on their
respective satisfaction scales.Further,mean satisfaction ratings in these other
studies have ranged between 3.7 and 5.7 (on 1-7 scales or scales adjusted to
equate to 1-7).By all reasonable measures,the employee satisfaction
demonstrated in this survey by Otay Water District employees is at the very
highest level.
• A remarkable percentage of employees (96 percent)stated that they would
recommend the Otay Water District as a place of employment.This represents
an increase of 6 percent in the level of satisfaction over the employees in the
2008 survey where 90 percent made this recommendation.
•The survey contained eight subsections that identified and categorized 49
employment-related characteristics.Each of the eight category related means is
averaged to produce an overall agreement mean of5.80,which is higher than the
mean in 2008 of 5.54.
•Among all 49 questions,the proportion of employees on all questions who rank
the District as above the midpoint (5,6,or 7)is 5 out of6 (83 percent).In 2008,
this percentage of5-7 responses was 76 percent.
Otay Water District
2010 Employee Survey Report
111 Rea &Parker Research
August.2010
•The core characteristics that make the Otay Water District an excellent place to
work are:
•The District promotes safety and all necessary resources and
equipment are available to do a good job.
•Employees consider the benefit package to be good as well as
competitive with other organizations.
•Supervisors and managers are rated highly because they are open to
work-related concerns.Moreover,supervisors treat employees with
respect and each Department works as a team.
•Employees understand their work goals and objectives and further
understand the relationship between their work and the success ofthe
District.
•The financial stability of the District IS cited as one of its strongest
characteristics.
Otay Water District
2010 Employee Survey Report
iv Rea &Parker Research
August,2010
OTAY WATER DISTRICT
2010 EMPLOYEE SURVEY
INTRODUCTION
The Otay Water District requested that a consultant conduct an employee survey to assess various
characteristics of job satisfaction among the 160 employees who work for the District.Rea &
Parker Research was selected to be the consultant that would draft,conduct,and analyze a web-
based Internet survey.This survey was developed and conducted so that the 2008 employee
survey,also prepared and administered by Rea &Parker Research,could be used as a basis for
comparisons in employee attitudes and behavior.Also,future employee surveys will be
developed to ensure that longitudinal trends can be identified.
Section A ofthe survey (included in the appendix)contains 49 questions requesting employees to
indicate the extent to which they agreed or disagreed that certain positive employment
characteristics were provided and exhibited by the Otay Water District.Another 49 questions
inquired as to the importance or lack ofimportance that the employees attached to each of these
characteristics.Section B set forth 4 satisfaction based questions,and Section C contained 5
general information/demographic questions for a total of 107 questions in the survey.
Methodology
Although much of the survey remained as it had been designed in 2008,telephone conferences
were conducted with Otay Water District management and staff in order to refine the survey so
that it would,even better than in 2008,achieve the goals and objectives of finding out key
satisfaction and importance opinions ofthe employees and be replicable for future tracking.
Two e-mails were sent to each employee--the first from the Otay Water District General
Manager on Wednesday,June 23,2010,as follows:
To:
From:
Date:
Subject:
All District Employees
Mark Watton,General Manager
June 23,2010
Employee Survey
Otay Water District
2010 Employee Survey Report
Rea &Parker Research
August,2010
In our continuing commitment to create and maintain a professional work
enviromnent for employees,the District is asking you to participate in an
employee survey.
The survey is designed to provide you with an opportunity to voice your opinions
and observations about working at the District.Your participation m this survey
is very important in helping the District in its continumg efforts to understand
your perspective on work-related issues and to support and improve your
experience as an employee of the District.
Within a few days,you will receive another e-mail directly from the researchers
-Rea &Parker Research.This second e-mail will provide a unique user name
and password that will enable you to access the survey on line.
There are no right or wrong answers,so just let us know what you think.All
answers will be strictly anonymous and responses will be summarized when
reported.Your individual responses will go directly to the Rea &Parker
Research website and not be individually traceable or identifiable.The District
will not be able to view individual results.The District will only receive
information summarized by Rea and Parker Research.
Please look for the survey link in your e-mail.The District has set aside time
for you to complete the survey on Tuesday,June 29,2010.The survey should
take approximately 20-30 minutes to complete and we ask that you complete the
survey during the beginning of your work shift on Tuesday.All employees who
have workstations,please complete the survey at your workstation.There are
computers located in the Operations Crew Room for employees that do not have
a workstation.
If you have any questions regarding this employee survey,you may contact
Human Resources or Rea and Parker at rparker@rea-parker.com or
lrea@mail.sdsu.edu or at 858-279-5070.
Thank you in advance for your time and contribution,
Mark Watton
After working hours in the evening of Monday,June 28,20 I0,the following e-mail went out to
all employees from Rea &Parker Research.This e-mail provided the link that had an embedded
unique user name and password (for each employee)that would allow them to access the survey
on Tuesday,June 29.
Dear--------
A few days ago,the District notified you bye-mail that it is conducting an
employee survey.As an employee ofthe Otay Water District,your participation
in this survey is very important in helping the District in its continuing efforts to
Otay Water District
2010 Employee Survey Report
2 Rea &Parker Research
August,2010
understand your perspective on work-related issues and to support and improve
your experiences as an employee.
When you are ready to begin the survey,which is expected to take approximately
15 minutes,please click on the link below.Each employee has his or her own
distinct and unique link.Upon clicking the link,the survey will be accessible to
you and you will be able to complete it and submit it to our confidential server.
Survey link:http://web2.flagshipresearch.com/sw/wchost.asp?st=rp10094
&id=1061&pw=41 S7ZT
If you have any questions,please e-mail meatrparker@rea-parker.com
Thank you in advance for your participation.
Sincerely,
Richard Parker,Ph.D.
President,Rea &Parker Research
P.O.Box 421079
San Diego,CA 92142-1079
858-279-5070
Each employee was able to use his or her own work computer or was provided one for use by the
Otay Water District to access the website and complete the survey.Only 2 employees had
difficulty accessing the website.They were able to call Rea &Parker Research during the survey
and obtain help.
Of the 160 employees,134 completed the survey by Thursday,July 1.Some employees were
away on vacation and others did not complete the survey for reasons known only to them,so,for
one additional week,the website was left open for those who did not complete their survey to do
so.Once submitted as final,surveys were no longer accessible to employees and were sent
immediately to a secure server maintained by Rea &Parker Research,which was not accessible
by anyone at the Otay Water District.
Follow-up e-mails on Friday,July 2 and Tuesday,July 6 went to those employees who had yet to
complete the survey.During that extended period another 17 employees submitted their surveys,
resulting in 151 completed surveys (94 percent)and leaving 9 not completed.
Data was then taken from the website and loaded into SPSS (Statistical Package for the Social
Sciences)for analysis.The report that follows details the results and findings of this analytical
process.
Otay Water District
2010 Employee Survey Report
3 Rea &Parker Research
AIIgllsl,2010
Employee General Information/Demographics
Charts 1-5 depict certain demographic characteristics of Otay Water District employees who
responded to the survey (151 out of 160).These employee characteristics are consistent with
those of the 2008 employee survey.Responding employees of the District are 69 percent male
(Chart 1).
The median age of employees is 45.5 (Chart 2),and they have worked for the Otay Water
District for a median of 6.45 years,with 11 percent having worked at the District for 20 or more
years and 3 percent presently in their first year ofemployment (Chart 3).
Operations is the largest department (39 percent)followed by Finance (23 percent}-Chart 4,
and almost three-fourths of employees (79 percent)are non-management employees,including
crew leaders (Chart 5).
Chart 1
Employee Gender
Otay Water District
2010 Employee Survey Report
4 Rea &Parker Research
August,2010
Chart 2
Employee Age
(2010median age =45.5 2008 median age =44.5)
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%0%J,!:;......"""'""......~'___:.._.___._=__/
Chart 3
Employee Length of Service with Otay Water District
2010 median length =6.45 years 2008 median length =6.00 years
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
Otay Water District
2010 Employee Survey Report
5 Rea &Parker Research
August,2010
Operations,39%
Otay Water District
2010 Employee Survey Report
Chart 4
Department of Employment
Finance.23%
ChartS
Position Type
Management!
Department
Chief/AG'-1'14%,
6
Administrative
Services/General
Manager/Information
Technology,25%
Engineering,13%
Non-Management
Employee (incl Crew
l.eader),79%
Rea &Parker Research
August,2010
SURVEY FINDINGS
Overall Satisfaction
It is very clear that employees of the Otay Water District are quite satisfied with their
employment.Chart 6 shows that employees rate their satisfaction with being an employee of the
Otay Water District at a mean rating of 5.95 on a scale of 1 =Highly Dissatisfied to 7 =Highly
Satisfied.Almost 3 out of4 employees (73 percent)rate their employment at 6 or 7 (indicative of
a great deal of satisfaction).Almost 9 out of 10 employees (87 percent)rate the District at 5,6,
or 7--above the midpomt of the scale.This represents a substantial increase in the overall level of
satisfaction from the 2008 employee survey where the mean rating was 5.45 and 53 percent of
employees-a full 20 percent less-rated their employment satisfaction at 6 or 7.
7=Highly Satisfied
6
5
4
3
2
1=Highly Dissatisfied
Chart 6
Overall Satisfaction as Employee of Otay Water District
(Mean 2010 rating =5.95 Mean 2008 rating =5.45)
.2008 1]2010
41%....---....---~
0%5%10%15%.20%25%30%35%40%45%
Otay Water District
2010 Employee Survey Report
7 Rea &Parker Research
August,2010
These findings further represent a particularly high level ofsatisfaction compared to public sector
employees who have participated in employee satisfaction surveys that have been conducted by
or are known to Rea &Parker Research.In these comparable public employee surveys,a range
of50 percent to 85 percent of employees demonstrated satisfaction levels above the midpoint on
their respective satisfaction scales.Further,mean satisfaction ratings in these other studies have
ranged between 3.7 and 5.7 (on 1-7 scales or scales adjusted to equate to 1-7).By all reasonable
measures,the employee satisfaction demonstrated in this survey by Otay Water District
employees is at the very highest level.
In the current survey,employees state overwhelmingly (96 percent)that they would recommend
the Otay Water District as a place of employment.This percentage of employees who would
recommend the District as a place of employment represents an increase of 6 percent over the
employees in the 2008 survey where 90 percent made this recommendation.This is a remarkably
high percentage representing 144 ofthe 150 respondents to this question on the survey-Chart 7.
Chart 7
Recommend Otay Water District as Place of Employment
2010
2008 ,
Yes,96%
0%10%20%30%40%50%60%70%80%90%100%
Otay Water District
2010 Employee Survey Report
8 Rea &Parker Research
August,2010
\
In 2008,the survey that is attached in the Appendix was first administered to Qtay Water District
employees.The report of the findings from that survey included detailed,question-by-question
analysis in order to identify specific opportunities for improving satisfaction,which was also very
high in 2008.The Otay Water District has been overwhelmingly successful in this regard,
achieving the results described above of96 percent recommending the District as a place to work,
scoring almost 6.0 on a 1-7 scale for employee satisfaction,and having 3 out of4 employees (20
percent increase from 2008)rate their satisfaction at 6 or 7,when a 4 is the scale midpoint.
As such,this report need not delve into the survey question-by-question-everything is very
highly regarded,with the lowest average satisfaction remarkably being 5.25.That said,to detail
the survey results one question at a time would be counter-productive and,with such detail,likely
cause the overall finding of great satisfaction to become obscured by the minutia.This report,
therefore,will deviate from the format of the 2008 report and discuss the findings much more
broadly.
Agreement and Importance That the District Exhibits
Certain Employment-Related Characteristics
The survey contains several subsections,eight of which identified and categorized 49 positive
employment-related characteristics and sought employee indications of the extent to which the
employees agreed or disagreed that the Otay Water District exhibited these characteristics and
how important these characteristics were to them as employees.Response categories were
offered by the employees on a l-to-7 scale,with 1 being Highly Disagree and 7 being Highly
Agree that the Otay Water District demonstrates these beneficial employment characteristics and
with 1 being Very Unimportant and 7 being Very Important in terms of rating the importance of
these characteristics.
These eight categories ofquestions are as follows:
•Workplace and Resources
•Opportunities for Professional Growth
•Compensation and Benefits
•Management/Supervision
•Employee Interaction
•Feedback and Employee Evaluation
•Morale
•Communications
Otay Water District
20I0 Employee Survey Report
9 Rea &Parker Research
August.2010
The technical appendix to this report contains the full distribution of responses to all 49 of these
questions;however,for purposes of this report's analytical text,the mean rating on the 1-7 scale
and the percentage of respondents indicating substantial agreement and importance (ratings of 5,
6 or 7)will be used to convey the findings.
Charts 8A and 8B serve as a compilation and summary of the agreement data from the survey.
Each of the eight category related means is averaged to produce an overall agreement mean of
5.80,which is higher than the mean in 2008 of 5.54.Among all 49 questions,the proportion of
employees on all questions who rank the District as above the midpoint (5,6,or 7)in agreement
that the District does a good job ofproviding these work-related characteristics is 5 out of 6 (83
percent).In 2008,this percentage of5-7 responses was 76 percent.
Chart8A
Survey Categories Agreement Means (Part 1)
Scale:1=Highly Disagree...7=Highly Agree (Overall mean"5.80)I III 2010 .2008 I
7.00
6.00
5.00
4.00
3.00
2.00
1.00-!A·miiliiiiiiiiiiiitii
Workplace and Resources Opportunities for
Professional Growth
Compensation and
Benefits
ManagementlSup$rvision
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Chart8B
SurvC!y Categories Agreement Means (Part 2)
Scale:1..Highly Disagree...7=Highly Agree (Overall mean =5.80)
ID2010 .2008
Employee Interaction Feedback and Employee
Evaluation
Morale Communications
Charts 9A and 9B portray the mean ratings for each category regarding Importance.In all cases,
mean Importance is greater than mean Agreement.The average of the eight categorical
Importance means is an overall mean of 6.48-essentially the same as the 2008 mean of6.47.
The difference between the overall mean Importance and overall mean Agreement is .68 rating
points.In 2008,the comparable difference in rating points between overall agreement and overall
importance was .89.This implies that the gap between Agreement and Importance has shrunk
from 2008 to 2010.Furthermore,for each category,the difference between Agreement and
Importance means has declined from 2008 to 2010.This indicates that employees feel that the
gap is shrinking between the agreement or satisfaction they have with broad areas of job
satisfaction and the importance that employees attach to these categories.That is,Importance and
Agreement are converging at a very high level.
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Management/SupervisionCompensationanl;l
Benefits
Workplace and Resb~Jc!!s Opportunitiesfor
Professional Growth
2.00
Chart 9A
Survey Categories In1portance Means (Part 1)
Scale:1 =Very Unimportant,••r =Very Important (Overall mean =6.48)
1:12010.2008
4.00
7.00
3.00
6.00
5.00
1.00
7.00
6.00
5.00
4.00
3.00
2.00
1.00
Chart 98
Survey Categories Importance Means (Part 2)
Scale:1=Very Unimportant•••7 =Very Important (Overall mean =6.48)
\:12010 .2008
Employee Interaction Feedback and Employee
Evaluation
Morale Communications
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Correlations:Characteristic Agreements and Overall Satisfaction
Pearson's r measures of association are used here to measure the relationship between the
employees'level of agreement with the various characteristics and their level of overall
satisfaction.High values of Pearson's r are indicative of strong relationships between the
variables.In the situation at hand,high values of Pearson's r represent a greater association
between the various levels of agreement and overall satisfaction.The Pearson's r values for all
49 associations are statistically significant.Among these relationships between overall
satisfaction and the characteristics of agreement,there are 10 such relationships that can be
categorized at or very near what is accepted as a very strong relationship (r 2:.6)and they are
shown in Table 1.Enhancement of the characteristics in Table 1 can be expected to lead to
continued increases in overall employee satisfaction.
~m~ti
M Morale is Good
De artment Morale is Good
M Contributions are Valued
District Balances Work and Personal Life
Management Team Provides Effective
Leadershi
Management Team Makes Informed
Decisions
M Work is Rewardin
SupervisorlManager Provides Constructive
Feedback
Encouraged to Communicate Openly about
Work-Related Issues
SupervisorlManager Good Work Habits/Sets
Exam Ie
.614
.596
.576
.572
.571
Satisfaction/Importance Quadrant Analysis
Levels ofagreement can be mapped on charts with importance such that agreement is graphically
measured against how important an issue tends to be.In Quadrant Analysis,high agreement and
high importance represent characteristics that are indicative of what makes the Otay Water
District a good place ofemployment.
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The core characteristics that make the Otay Water District an excellent place to work are largely
unchanged over the last survey period.Specifically,employees are appreciative that the District
promotes safety and that all necessary resources and equipment are available to do a good job.
Employees consider the benefit package good as well as competitive with other organizations
Supervisors and managers who directly supervise employees are rated highly because they are
open to work-related concerns.Moreover,supervisors treat employees with respect and each
Department works well as a team.Employees largely understand work goals and objectives and
they understand the relationship between their work and the success of the District.Employees
also volunteered through open-ended responses that the financial stability ofthe District was one
ofits strongest features.
Continued improvement in the following areas that already exhibit high levels of employee
satisfaction may yield further increases in employee satisfaction:recognition for a job well-done,
a sense ofjob security,and communication within the District,especially in the manner in which
employees can better understand decision-making and leadership.
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Otay Water District
2010 Employee Survey Report
APPENDIX
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Section A
OTAY WATER DISTRICT
EMPLOYEE SURVEY
Employee Work Satisfaction Issues
For each statement below,please indicate your level of agreement or disagreement on a scale
of 1 to 7,where 1 is highly disagree and 7 is highly agree.Then,indicate how important each
issue is to you.Again,use a scale from 1 to 7,where 1 is very unimportant and 7 is very
important.
1.Workplace and Resources
a.The District promotes safety in the workplace.
Highly Highly C Very Very
Disagree Agl'ee 1<;'<'Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I 4 I 5 I 6 I 7
b.I have all the resources and equipment necessary to perform my job well.
Highly Highly ..Very Very
Disagree Agree /Unimportant Important
1 I 2 I 3 I '1 I 5 I 6 I 7 "1 I 2 I 3 I 4 I 5 I 6 I 7
c.I have the information to do my job effectively.
Highly Highly ..•....Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I 4 I 5 I 6 I 7
d.I have adequate time to complete my work.
Highly Highly '.......Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 :<1 I 2 I 3 I 4 I 5 I 6 I 7
e.I have appropriate authority to do my job.
Highly Highly i·.··Very Very
Disaaree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 "'Y'1 I 2 I 3 I 4 I 5 I 6 I 7
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f.The District promotes healthy lifestyle choices.
Highly Highly ...Very Very
Disagree Aaree iT Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 ,\>1 I 2 I 3 I ,t I 5 I 6 I 7
2.Opportunities for Professional Growth
a.My job provides opportunities to advance my skills and abilities.
Highly Highly .....Very Very
Disa,gree Agree >.../Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I ,t I 5 I 6 I 7
b.My work is rewarding.
Highly Highly ..Very Very
Disa"ree Agree Unimportant Important
1 I ry I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I 4,I 5 I 6 I 7~
c.I receive the training I need to do my job well.
Highly Highly Very Very
Disa"ree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 ....1 I 2 I 3 14 I 5 I 6 I 7
d.I have opportunities to be innovative in carrying out my job.
Highly Highly ,Very Very
Disa,gree Agree I·····Unimportant Important
1 I 2 I 3 I it I 5 I 6 I 7 I·,1 I 2 I 3 I 4 I 5 I 6 I 7
e.I am afforded the opportunity to receive the training I need to advance within the
District.
Highly Highly Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I '1 I 5 I 6 I 7 ••••1 I 2 I 3 I 4 I 5 I 6 I 7
3.Compensation and Benefits
a.I am fairly paid for the work I do.
Highly Highly >,Very Very
Disagree A,gree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I 4 I 5 I 6 I 7
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b.I feel that the pay I receive is competitive with similar jobs in similar organizations
in the area.
Highly Highly Uli';,"';Very Very
Disagree Agree Ii Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 ,X;/,.1 I 2 I 3 I '1 I 5 I 6 I 7
c.The benefit package provided by the District is good.
Highly Highly II>'"Very Very
Disagree Agree /i Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 i.i,1 I 2 I 3 I 4 I 5 I 6 I 7
d.I feel that the benefit package provided by the District is competitive with
benefits provided by
similar organizations in the area.
Highly Highly i;'{Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 Y'"1 I 2 I 3 I 4 I 5 I 6 I 7
e.I understand my benefit plans.
Highly Highly I·>.y,Very Very
Disagree Agree "Y.Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I i1 I 5 I 6 I 7
4.Management/Supervision
For questions 4a and 4h,the "management team"refers to the team of supervisors,
managers and Senior Management••
a.I feel that the management team makes informed decisions.
Highly Highly ......,Very Very
Disagree Agree I.e Unirnportant ImlJortant
1 I 2 I 3 I 4 I 5 I 6 I 7 I{'···'·1 I 2 I 3 I '1 I 5 I 6 I 7
b.The management team demonstrates effective leadership skills.
Highly Highly 1/····",Very Very
Disagree Agree 1<<Unimportant ImlJortant
1 I 2 I 3 I 4 I 5 I 6 I 7 '<'.,1 I 2 I 3 I '1 I 5 I 6 I 7
For questions 4c through 4g and Sections 6 amI 8,please consiller your supervisor to he
that person to whom you directly report and conducts your performance review.
c.lVIy supervisor/manager provides me an opportunity to express my thoughts and
concerns.
Highly Highly ;.,.,.Very Very
Disagree Agree 1<;<Unimportant ImlJortant
1 I 2 I 3 I 4 I 5 I 6 I 7 1<.···'1 I 2 I 3 I 4 I 5 I 6 I 7
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d.My supervisor/manager treats me with respect.
Highly Highly I>Very Very
Disagree A"ree '"Unimportant Important
1 I 2 I 3 I 4 1 5 I 6 I 7
,
1 I 2 I 3 I '1 I 5 I 6 I 7I,
e.My supervisor/manager encourages me to learn new skills.
Highly Highly "ii"Very Very
Disagree Agree >Unimportant Important
1 I 2 I 3 I 4,I 5 I 6 I 7 I"1 I 2 I 3 I 4 I 5 I 6 I 7
f.My supervisor/manager has good work habits and sets a good example.
Highly Highly I"Very Very
Disa"ree Agree Unimportant Important
1 I 2 I 3 I '1 I 5 I 6 I 7 ,:,1 I 2 I 3 I 4 I 5 I 6 I 7
g.My supervisor/manager emphasizes strong customer service on a regular basis.
Highly Highly Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I '1 I 5 I 6 I 7 >1 I 2 I 3 I 4 I 5 I 6 I 7
5.Employee Interaction
a.The employees in my department work well as a team.
Highly Highly Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 I,
,
1 I 2 I 3 I 4 I 5 I 6 I 7
b.Employees in the District are generally supportive of each other.
Highly Highly ,i Very Very
Disagree A"ree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 I;;;1 I 2 I 3 I '1 I 5 I 6 I 7
c.Employees in my department share relevant work-related information.
Highly Highly I"Very Very
Disa"ree Agree ,Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I 4 I 5 I 6 I 7
d.Employees in my department are held accountable for their work.
Highly Highly Very Very
DisaO'ree Agree ",Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I 4 I 5 I 6 I 7
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e.My ideas and opinions are taken into consideration at work.
Highly HighlY/i;:>;;'Very Very
I--':'D"'is:;.:a"'ac;.;re:..re--=-__T""":::--_.,--:-__.___=_----rA-',g~,r-ee-_.___=_-__i<:/...l(;:'.1-.:;U..:;n;:.:.im:,:jlpt;,;'o;.:.r;.:ta::.:;n:::.t_-,--__..--__--,-_......:.:Im;:.:.lpr,:.;(o;:.:r..::ta:::n::;t-,.__-1
1 12 13 14,15 16 17<)1 12 13 14 15 16 17
6.Fee(lhack and Employee Evaluation
NOTE:Question 6b has a "Not Applicahle"option for those respondents to this
survey who are new to the District and have not received a performance evaluation.
a.I receive constructive feedback from my supervisor/manager that helps me
improve my performance.
Highly Highly ii:;,Very Very
Disagree Agree I·.;c\.,;,,;Unimportant Important
1 I 2 I 3 1 4 I 5 I 6 I 7 1 1 2 1 3 1 ,t I 5 I 6 1 7
b.Overall my employee performance evaluation is fair.
Highly Highly ...,....Very Very
Disaaree Aaree ....,...,Unimportant Important
1 I 2 I 3 1 4 I 5 1 6 1 7 1 NA 1 1 2 I 3 I 4 1 5 I 6 1 7 INA
c I am recognized by my supervisor/manager when I do a good job.
Highly Highly .....Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I 4 1 5 I 6 I 7 ...,....1 I 2 I 3 1 4 1 5 1 6 1 7
d.I understand how my work contributes to the success of the District.
Highly Highly '.<Very Very
Disagree Agree .'Unimportant Important
1 1 2 I 3 1 4 I 5 1 6 I 7 .,......1 1 2 I 3 1 4 I 5 1 6 I 7
7.Morale
a.Morale in my department is generally good.
Highly Highly ..,....,Very Very
Disagree Agree .Unimportant Important
1 I 2 I 3 I '1 I 5 I 6 I 7 1 1 2 1 3 I 4 I 5 I 6 I 7
b.My morale at work is generally good.
Highly Highly >.Very Very
Disaaree Agree Unimportant Important
1 1 2 I 3 I 4 1 5 1 6 1 7 I'1 1 2 I 3 I '.1 5 1 6 1 7
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c.I feel that the contributions I make are valued.
...
Highly Highly .'.,.....•.Very Very
Disagree Aaree '.Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 I··.··',·1 I 2 I 3 I 4 I 5 I 6 I 7
d.The District has practices that are supportive of balancing work and personal life.
Highly Highly i.Very Very
Disagree Agree ....\Unimportant Important
1 I 2 I 3 I '1 I 5 I 6 I 7 ."',1 I 2 I 3 I 4 I 5 I 6 I 7
e.I feel that I have job security.
Highly Highly "·'i·Very Very
Disagree Aaree .,.....Unimportant Important
1 I 2 I 3 I 4 15 I 6 I 7 1 I 2 I 3 I 4 I 5 I 6 I 7
f.I am optimistic about my future success with the District.
Highly Highly Very Very
Disagree Agree "i'··Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1 I 2 I 3 I '1 I 5 I 6 I 7
8.Communication:
NOTE:Questions 8h,8i,and 8j have a "Don't Know"option for those l'espondents
to this survey who are new to the District and do not know the answer to any or all
of those questions.
a.My supervisor/manager does a good job ofsharing information with department
employees.
Highly Highly Very Very
Disagree Agree '.Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 .\.1 I 2 I 3 I 4 I 5 I 6 I 7
b.I understand my work goals and objectives.
Highly Highly Very Very
Disagree Agree I"Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 ......1 I 2 I 3 I 4 I 5 I 6 I 7
c.I am encouraged to provide input regarding work-related matters.
Highly Highly ..<,'.'Very Very
Disagree Agree I Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 ....1 I 2 I 3 I 4 I 5 I 6 I 7
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d.I am encouraged to communicate openly.
Highly Highly
12;c,gi Very Very
Disaaree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 1,<)·.·.··.··1 1 2 1 3 1 4 I 5 I 6 1 7
e.I feel comfortable sharing my honest opinion about work-related matters with my
supel'visor/manager.
Highly Highly 'c'eX Very Very
Disagree Agreec..··/i Unimportant Important1--:'-1=:':'T-:-12 --'-::-13---.-:-14----rl-=5--,:-1"';6-'----r1-=7----fl·••·Y!<·./+-~1-...,1-2---'-~1-3---r1-4-,--'-1-5--'+1-6-'--"""'-17---1
f.I receive timely responses from my supervisor/manager to issues that are most
important to me.
Highly Highly C·c.'./Very Very
Disagree Aaree I··••·.y Unimportant Important
1 1 2 I 3 I 4 I 5 1 6 I 7 Ii,.}1 1 2 I 3 1 4 1 5 16 I 7
g.I am afforded an opportunity to participate in goal setting for my department.
Highly Highly I c Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 1 6 I 7 I·.....1 1 2 I 3 1 4 1 5 I 6 1 7
h.Communication is effective within the District.
Highly Highly /.Very Very
Disagree Agree Unimportant Important
1 I 2 I 3 I 4 I 5 I 6 I 7 I DK .c 1 I 2 I 3 I 4 I 5 I 6 I 7 1 DK
1.Employee information meetings are helpful to keep me informed about District
matters.
Highly Highly
••••••••••••••••
Very Very
Disagree Agree Unimportant Important
1 1 2 1 3 I 4 1 5 I 6 I 7 I DK ..i'1 I 2 1 3 I 4 I 5 I 6 1 7 I DK
J.The Employee PIPELINE Newsletter is a valuable form ofcommunication.
Highly Highly .F Very Very
Disagree Agree <,Unimportant Important
1 1 2 1 3 I 4 1 5 I 6 I 7 1 DK ····i··1 1 2 1 3 I 4 1 5 1 6 1 7 1 DK
k.The District does a good job in sharing information with its employees about the
District.
Highly Highly <,Very Very
Disagree Agree I··Unimportant Important
1 1 2 1 3 I 4 1 5 I 6 I 7 1 I 2 1 3 I 4 1 5 1 6 I 7
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Section B Ovel'all Employee Satisfaction
9.Overall,how satisfied are you as an employee ofthe District?
Highly
Dissatisfied
I 2 I 3 I 4 I 5
Highly
Satisfied
I 6 I 7
10.What is the best example ofsomething that is going well at the District?
n.What would be the one thing that could be improved at the District?
12.Would you recommend the District as a place ofemployment?
1.Yes 2.No
Section C General Information
Please provide the following information as it relates to you.This information is used for
data comparison purposes only.
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13.Department within the Otay Water District
1.Administrative Services/General Manager/Information Technology
2.Engineering
3.Finance ,p'
4.Operations
14.Length of service with Otay Water District
1.0 to 1 year
2.1 year to 3 years
3.3 years to 5 years
4.5 years to 10 years
5.10 years to 15 years
6.15 years to 20 years
7.20 years or more
15.Position Type
1.Non-supervisory employee,including crew leader
2.Supervisor
3.Manager/Department Chief/AGM/GM
16.Age
1.Under 25
2.25 and under 30
3.30 and under 35
4.35 and under 40
5.4·0 and under 45
6.45 and under 50
7.50 and under 55
8.55 and over
17.Gender
1.Female
2.Male
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AGENDA ITEM 4
STAFF REPORT
October 6 2010
DIV.NO.
ALL
MEETING DATE:
W.O.lG.F.NO:
German Al~Assistant General Manager,Administration and
Finance
APPROVED BY:
(Asst.GM):
APPROVED B :
(Chief)
TYPE MEETING:Regular Board
•~,~offrey Stevens,Chief
1~~Formation Officer
SUBJECT:Asset Management FY 2011 Contract Approvals
GENERAL MANAGER'S RECOMMENDATION:
That the Board authorizes the General Manager to negotiate and enter
into an agreement with:
1.Westin Engineering Inc.for asset management project consulting
services in an amount not to exceed $220,000,and
2.Spatial Wave for software development and modification to the
Field Mapplet application and related software to accommodate
asset management process improvements in an amount not to exceed
$200,000.
COMMITTEE ACTION:
See attachment A.
PURPOSE:
To authorize the purchase of services necessary to support the asset
management project (P2486)as identified in the District Strategic
Plan.
BACKGROUND:
The asset management program was initiated in FY 2009 with the
purpose of establishing an industry best practices approach to
managing the over the half billion dollar in ground assets the
District maintains.To that end the District solicited proposals
from leading consulting firms to provide assistance over the life of
the project.Westin Engineering was the successful and lowest cost
bidder.During FY 2009 an overall plan was developed and an asset
hierarchy and inventory were created.In FY 2010 an asset
criticality rankings were developed and a set of pilot projects were
initiated to develop the most effective methods to collect and
process the huge amount of data required to manage over 250,000
assets.This work was completed and in FY 2011 we anticipate a full
scale data collection and storage effort as well as additional work
improving asset management business practices.
ANALYSIS:
Developing and improving the District's ability to manage assets is
becoming increasingly critical to the District's future success and
fiscal health.The District maintains upwards of 250,000 separate
items,from pipes to pump stations,all of which need to be managed
in order to obtain the best value over their lifecycle.While the
book value of District assets is approximately $551 million that does
not represent the replacement cost ~which may be as high as $750
million.The asset management project was initiated in FY 2009 and
will likely continue through FY 2013.In FY 2009 and FY 2010 staff
developed an overall asset management plan,and completed work on
several pilot projects to determine how best to identify,capture,
and manage detailed asset data.The pilot projects proved that the
data is largely available and can be efficiently gathered and
processed.In addition,detailed criticality ran kings for assets have
been developed to prioritize future work or replacements.We are now
ready to expand our efforts from our initial pilot area (Copps Lane
Pump Station)to the entire District in a phased approach.We are
also ready to develop the life expectancy and cost replacement
estimates,as well as develop the detailed and asset specific
methodology for condition assessment.
This project also explores how to improve the business processes that
maintain and support assets.For example,our pilot efforts in valve
exercising,a task we do over 3000 times a year,allowed us to cut
overall costs nearly 50%and to outsource non-value added tasks like
painting.We also modified our Field Mapplet software to allow us to
streamline data entry giving the crews more productive work time.
In conclusion,the pilot projects to establish the feasibility and
test the methodology to collect asset data and improve asset related
business processes have been successful.We are now ready to expand
from proven pilot level to the enterprise level.The following
contracts are essential to completing this effort as planned.
Westin Engineering
This contract will allow the District to obtain consulting assistance
from Westin Engineering to assist in enterprise wide data capture of
asset data,determine expected service levels for assets,complete
the calculation for replacement costs for assets like reservoirs and
pump stations,and assist in the development of methodologies to
conduct detailed condition assessments.The original consulting
services for this work was competitively bid and stated that we
anticipated using the same consultant through the initial and middle
phases of this project.While this contract is not competitively
bid,we are using the same rates as the earlier contract and have
received a reduction in rates of approximately $45 per hour over the
original pricing for the bulk of the labor in this contract.We did
compare these costs to other engineering consulting firms and found
the costs to be appropriate and competitive.We recommend the Boar~
authorize the General Manager negotiate and enter into a contract
with Westin Engineering for the needed consulting services in an
amount not to exceed $220,000.
Spatial Wave
The District requires that the data systems and field applications be
modified to support enhanced and streamlined asset management
business practices and processes.For FY 2011 and FY 2012 we are
recommending that $200,000 be allocated for these tasks.This will
complete a major piece of work associated with improving the
efficiency and lowering the per unit costs of expensive repetitive
business processes that are required to support the large installed
asset base we maintain.This is a sole source contract because
Spatial Wave is modifying proprietary software that is not supported
through other license providers.This work will enhance the existing
off-the-shelf Field Mapplet application by allowing the District to
capture data and information in a simplified form while maintain the
capabilities of the existing software.
FISCAL IMPACT,~-
The total budget for elP 2486,as approved in the FY 2011 budget is
$1,214,295 Total expenditures to date are $262,028 leaving a balance
of $952,266.The items referenced above request a total of $420,000
and will leave a balance of $532,266.
The Project Manager anticipates that,based upon the above
information,the elP budgets will be sufficient to support the
project.
Finance has determined that funding will be available for elP P2486
Funding for elP P2486 will be 100%replacement.
STRATEGIC GOAL:
These items are in support of the District's Strategic Plan,
•Develop and implement an Asset Management Program Plan to extend
useful life of capital assets.
•Develop optimized field work processing using integrated
technology.
•Develop information systems support for asset management
program.Specifically the strategy of Business Efficiency.
LEGAL IMPACT:NA
None.
General Manager
ATTACHMENT A
SUBJECT/PROJECT:Asset Management FY 2010 Contract Approvals
COMMITTEE ACTION:
This item will be presented to the Finance,Administration and
Communications Committee.
Asset Management Project
Board Committees Presentation
September 16th ,2010
Geoffrey Stevens
Shamala Saripalli
Otay Water District
Agenda
•Project Goals and Objectives
•Major Project Milestones for FY10
•FY11 Objectives Draft
•Funding Request
OTAYWATERDISTRICT \'
Project Goals and Objectives
•Goal
Reduce operating expenses by maintaining assets effectively and
efficiently over their life cycle through industry best practices.
•Objectives
-Develop asset inventory
-Create asset hierarchy structure
-Define asset attributes
-Collect and digitize asset data
-Develop streamlined,technology enhanced business processes
-Create decision support systems for management
OTAYWATERDISTRICT
Major Project Milestones for FY10
•Asset Data Collection
~Finalize asset attribute list for sewer,recycled and reclamation plant -Completed
~Determine criticality ranking for level 1 and level 2 enterprise assets -Completed
~Determine criticality method for level 3 enterprise assets -Completed
~Determine age of pilot assets -Completed
•Business Process Improvement
~Develop As-Is and To-Be Process (Valve Exercising)-Completed
~Develop implementation plan-Completed
•Database Architecture Design
~Programming for vertical asset naming convention -Completed
~Update potable water model -Completed
~QC/validate relationships -Completed
~Transfer potable water model updates from development to production -In progress
and On Plan
OTAYWATERDISTRICT
FY 11 Objectives
Asset Data Collection:
•Complete data collection for all assets
•Determine DistrictJs desired service levels
•Determine the useful life for the pilot assets
•Determine replacement value for pilot assets
•Determine failure for pilot assets
•Determine condition assessment ranking process for pilot assets
•Determine conditions-based useful life escalation process
•Determine age of pilot assets
•Complete criticality for remaining level 3 assets
'..
OTAYWATERDISTRICT,c
FY 11 Objectives
Business Process:
•Implement valve exercising Field Mapplet solution
•Develop as-is and to-be workflow for second business process
•Start third -fifth business process
Database Architecture Design:
•Transfer Potable water system database from Test to Production
•Create Recycle water system database in test
•Transfer Recycle water system database to production
Decision Support
•Develop and Design Pilot Structure
OTAYWATERDISTRICT
FY11 Asset Management Funding
•Westin -$219K
-Data Capture and Consulting on condition assessment methodology
•On-Site 2x/wk for 30 weeks
•Condition assessment approaches
•SCADA documentation validation
•Facility histories
-R&R Costs (subcontract to HDR)
•Expected average life of assets
•Projected replacement costs
•Software Development for Business Process Change -$200K approx
(Spatial Wave)
-Analysis and development of 6 more processes
•Meter Related Processes are Next
OTAYWATERDISTRICT
Open Discussion
OTAYWATERDISTRICT -
AGENDA ITEM 5
STAFF REPORT
MEETING DATE:October 6,2010TYPEMEETING:
SUBMITTED BY:
Regular Board
David Charles~
Public Services Manager
PROJECT NO.1 P1438-
SUBPROJECT:010000
DIV.NO.2
APPROVED BY:
(Chief)
APPROVED BY:
(Ass!.8M):
SUBJECT:
Rod Posada
Chief,Engineering
Manny Magafi~~
Assistant G:nera~~ger,Engineering and Operations
Execution of a Promissory Note with Mr.Jesus H.Kuroda-San
for the OWD Capacity Fee for a 3/4-inch Meter and the Water
Supply Fee for the property located at 8649 Avenida De La
Fuente,San Diego,California 92154
GENERAL MANAGER'S RECOMMENDATION:
That the Otay Water District (District)Board of Directors (Board)
approves the execution of a Promissory Note in the amount of $8,521
between Mr.Jesus H.Kuroda-San (Mr.Kuroda)and the District for the
OWD Capacity Fee for a 3/4-inch Meter and the Water Supply Fee for
the property located at 8649 Avenida De La Fuente,San Diego,
California 92154 (see Exhibit A).
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To obtain Board approval for the General Manager to execute a
Promissory Note (Note)in the amount of $8,521 between Mr.Kuroda and
the District (see Exhibit A)Mr.Kuroda has requested a 12-month
payment plan (see Exhibit C)for the OWD Capacity Fee for a 3/4-inch
Meter and the Water Supply Fee for the property located at 8649
Avenida De La Fuente,San Diego,California 92154
ANALYSIS:
On July 13,2010,staff provided Mr.Kuroda a quote (QTE-10-094)for
a 3/4-inch meter for the property located at 8649 Avenida De La
Fuente,San Diego,California 92154,in the amount of $13,279 (see
Exhibit B).Mr.Kuroda stated that due to financial hardship,he is
inquiring if the District would entertain monthly installment
payments.
Staff provided Mr.Kuroda with District Policy 7,Conditions for
Installment or Deferred Payment to the District (see Exhibit D),and
informed him that the only fees that would be considered for deferral
are the OWD Capacity Fee and the New 'Water Supply Fee.These fees
represent $8,521 of the total $13,279 quoted.
In addition,staff also informed Mr.Kuroda that all other fees
indicated in QTE-10-094,plus an administrative fee of $500 for the
establishment of the Note (included in Exhibit C),would have to be
paid to the District at the time of application,should the Board
approve the execution of the Note.
FISCAL IMPACT,~
The District will receive an administrative fee of $500 and interest
as compensation for the Promissory Note.Due to the relative small
amount of the Note,this does not present a financial hardship for
the District.
STRATEGIC GOAL:
This project supports the District's Mission statement,"To provide
the best quality of water and wastewater service to the customers of
the Otay Water District in a professional,effective,and efficient
manner,"and the District's Strategic Goal,"To satisfy current and
future water needs for potable,recycled,and wastewater services
LEGAL IMPACT:
NonelALuJrdO
General Manager
P:\Public-s\STAFF REPORTS\2010\BD 10-06-10,Staff Report,Kuroda Promissory Note,(DC-RP).doc
DC/RP:jf
Attachments:Attachment A
Exhibit A -
Exhibit B
Exhibit C
Exhibit D
Promissory Note
Public Services Quote QTE-10-094
Twelve Month Payment Schedule
Policy 7
2
......!
ATTACHMENT A
""'sUBjE'CTjpR6JECT:rE~~'ci:i't'i on 0 fa"p'~om'i'~s-o'~Y""No't'~;ith:"'Mr.J e~~'~"'''H'':''''''Kuroda~"s'a~\
I for the OWD Capacity Fee for a 3/4-inch Meter and the Water:
P1438-010000 I Supply Fee for the property located at 8649 Avenida De La
i Fuente,San Diego,California 92154
...........................1.......
COMMITTEE ACTION:
The Finance,Administration,and Communications Committee reviewed
this item at a meeting held on September 16,2010.The Committee
supported Staff's recommendation.
NOTE:
The "Committee Action"is written in anticipation of the Committee
moving the item forward for Board approval.This report will be sent
to the Board as a Committee approved item,or modified to reflect any
discussion or changes as directed from the Committee prior to
presentation to the full Board.
__________,2010
EXHIBIT A
PROMISSORY NOTE
BETWEEN JESUS H KURODA-SAN AND OTAY WATER DISTRICT
Amount:$8,521.00
Date:
INSTALLMENT NOTE
FOR VALUE RECEIVED,specifically (1)one 3/4-inch meter OWD Capacity Fee and
Water Supply Fee.The meter purchases will be installed and available for service
at 8649 Avenida De La Fuente,San Diego,CA 92154;the undersigned,Jesus H
Kuroda-San,hereby promises to pay to the order of the Otay Water District
(hereinafter "Otay"),as specified below,the principal sum of Eight Thousand Five
Hundred Twenty One Dollars ($8,521.00),together with interest at the monthly rate
in accordance with Otay Policy (5%over the Federal Discount Rate -currently
.25%).
(1)An initial installment of $852.10 shall be due on the date of the
execution of this Note.
(2)Thereafter,twelve (12 consecutive monthly installments of $657.00 shall be
due on the 25th day of each month beginning the 25th day of the month
immediately following the execution of this Note.
(3)The principal and interest shall be payable at 2554 Sweetwater Springs
Blvd.,Spring Valley,CA 91978-2004,until the entire indebtedness is
fully paid.
(4)This Note may be prepaid in whole or in part,without premium,penalty
or discount,at any time,at the option of Jesus H Kuroda-San,together
with accrued interest on the amount prepaid.
Late Charge
If any installment under this Note is not received by Otay within five (5)
business days after the installment is due,Jesus H Kuroda-San agrees to a payment
delinquency charge of 5%of the total amount delinquent.When a payment
delinquency charge is made,such shall be added to the delinquent account as of the
date the account becomes delinquent and such charges shall become an inseparable
part of the amount due as of that time.In the event of delinquency,a notice
shall be mailed to Jesus H Kuroda-San notifying Jesus H Kuroda-San that service
will be turned off unless payment is made.The notice shall indicate the amount
due,including delinquency charges,and that the total amount must be paid within
fifteen (15)calendar days from the date of mailing or presentation of the notice
to Jesus H Kuroda-San to avoid disruption of service.
Acceleration
At its option,Otay may determine that Jesus H Kuroda-San is in default and
may,consequently,accelerate the maturity of all installments,making the unpaid
balance of the Note (the total of the unpaid monthly installments and any unpaid
delinquency charges)due immediately without presentment for payment or any notice,
if:
(1)Jesus H Kuroda-San fails to pay an installment when due.
(2)Jesus H Kuroda-San or any endorser,surety,or guarantor of this Note:
(i)Makes an assignment for the benefit of creditors.
(ii)Offers settlement to any creditors.
(iii)Fails to pay any obligation when due.
(3)Otay discovers that any misrepresentation was made.~o Otay on behalf of
Jesus H Kuroda-San to obtain credit or an extension of credit.
(4)Any legal action is commenced against Jesus H Kuroda-San or any
endorser,surety,or guarantor,including:
(i)Entry of jUdgment.
(ii)Issuance of writ of attachment,order of garnishment,order
or subpoena in supplementary proceedings,execution o~
similar process.
(5)A receiver is appointed for Jesus H Kuroda-San or any endorser,surety,
or guarantor.
Otay,at its option,may accelerate the maturity of all installments to
become due immediately if,in the sole opinion of Otay,the financial
responsibility of Jesus H Kuroda-San becomes unsatisfactory.
Attorneys'Fees
Jesus H Kuroda-San agrees that if any referral to an attorney for collection
or any action at law or in equity is brought to enforce this Note for nonpayment at
maturity,the prevailing party will be entitled to reasonable attorneys'fees in
addition to any other relief that the prevailing party may be entitled to.
Waivers
No waiver by Otay of any rights or remedies under this Note shall be
considered a waiver of any other subsequent right or remedy.
Jesus H Kuroda-San waives presentment for payment,notice of nonpayment,and
notice of dishonor of this Note.
Jesus H Kuroda-San waives trial by jury in any litigation arising out of or
relating to this Note in which Otay or a holder of this Note is an adverse party,
and further waives the right to interpose any defense,set-off,or counterclaim of
any nature or description,which rights are expressly waived except as provided by
law.
IN WITNESS WHEREOF the parties hereto have entered into this agreement as of the
executed date ,2010.
JESUS H.KURODA-SAN
By:_
Property Owner of 8649 Avenida De La Fuente
San Diego,CA 92154
OTAY WATER DISTRICT
By:_
General Manager
APPROVED AS TO FORM
EXHIBIT B
Public Services Quote
Jesus H Kuroda-San
CC#298
Date:,2010
As per District Policy #07
Meter/Service
OWD Cap Fee for 3/4-lnch Meter
Water Supply Fee
EXHIBIT C
~
1
1
Unit Price
7,641.00
880.00
Total
7,641.00
880.00
8,521.00
ORIGINAL BALANCE
NO.OF PAYMENTS
INTEREST RATE
INITIAL DOWNPAYMENT (10%)
ADMINISTRATIVE FEE
DOWNPAYMENT
INITIAL MONTHLY PAYMENT
FINAL PAYMENT
FINAL PAYMENT AMT.
$8,521.00
13 Inc.down payment
5.25%
$852.10
$500.00 Establishment of Note
9/30/2010
$657.00
9/25/2011
$655.53
PAYMENT
DATE PAYMENT PRINCIPAL INTEREST BALANCE
$8,521.00
9/30/2010 $852.10 $852.10 $7,668.90
1 10/25/2010 $657.00 $629.42 $27.58 $7,039.48
2 11/25/2010 $657.00 $625.61 $31.39 $6,413.86
3 12/25/2010 $657.00 $629.32 $27.68 $5,784.54
4 1/25/2011 $657.00 $631.21 $25.79 $5,153.33
5 2/25/2011 $657.00 $634.02 $22.98 $4,519.31
6 3/25/2011 $657.00 $638.80 $18.20 $3,880.51
7 4/25/2011 $657.00 $639.70 $17.30 $3,240.82
8 5/25/2011 $657.00 $643.02 $13.98 $2,597.80
9 6/25/2011 $657.00 $645.42 $11.58 $1,952.38
10 7/25/2011 $657.00 $648.58 $8.42 $1,303.81
11 8/25/2011 $657.00 $651.19 $5.81 $652.62
12 9/25/2011 $655.53 $652.62 $2.91 $0.00
TOTAL PAYMENTS $8,734.63 $8,521.00 $213.63
EXHIBIT D
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
Subject Policy .-Date Date
Number Adopted Revised -
CONDITIONS FOR INSTALLMENT OR DEFERRED 07 10/15/84 5/7/2008
PAYMENTS TO THE DISTRICT
PURPOSE
To establish a policy regarding conditions for making installment
or deferred payments to the District.
BACKGROUND
Occasionally the District receives requests to allow payment of
certain connection charges on an installment or deferred basis.
Approval of these agreements will occur in very limited
circumstances where it is in the District's best interest that the
agreement be made.In addition,if the District is to consider
such requests,the District must not be in a position of risk of
loss in the event of non-payment.
POLICY
The following procedures,terms and conditions shall apply to
requests and arrangements for payment to the District on an
installment or deferred basis:
1.Requests for installment or deferred payments shall be
reviewed by the District.Each request shall indicate the
terms desired with a maximum term of 12 months.The person
or party making the request shall furnish all financial
information or data deemed necessary by the District to
review the request.
2.The General Manager shall have authority to negotiate and
execute deferral agreements with residential customers where
the value of the agreement does not exceed the General
Manager's signatory authority as established in Chapter 2,
Section 2.01-D of the Code of Ordinance.Deferral agreements
requested by non-residential customers shall be presented to
the Board prior to execution.
3.Where the value of the proposed agreement exceeds the General
Manager's authority,the District shall make a recommendation
to the Board of Directors for approval or disapproval,with
reasons for the recommendation.
4.In emergency situations,the General Manager is authorized to
enter into a deferral agreement exceeding his/her authority
to allow a customer to connect to the District system.The
General Manager shall submit all such deferral agreements to
the Board for ratification at the next regularly scheduled
Board meeting.
P::lnA 1 nf ")
OTAY WATER DISTRICT
BOARD OF DIRECTORS POLICY
SUbject Policy ,-Date Date
Number Adopted Revised -
CONDITIONS FOR INSTALLMENT OR DEFERRED 07 10/15/84 5/7/2008
PAYMENTS TO THE DISTRICT
5.A minimum down payment of ten percent (10%)of the total
amount to be paid in installments or on a deferred basis is
required and is nonrefundable.
6.Any increases in rates,fees,or charges shall apply to all
connections which have not been made at the time the increase
is adopted,including but not limited to capacity fees and
annexation fees.
7.The only fees that will be considered for deferral are Otay
Capacity Fees and Annexations fees.All labor and materials
costs will not be considered for deferral as this would place
the District in a position of risk in the event of default.
In addition,the District will not make arrangements for
deferral of fees collected by the District on behalf of other
governmental entities.These fees must be paid prior to the
execution of the agreement or payment arrangements must be
obtained from the CWA or MWD by the applicant.
8.For each installment or deferred payment arrangement a
promissory note,payable to the District,shall be executed
to provide for terms of payment of the balance of principal
due,with interest payable monthly at a rate equal to five
percent (5%)per annum over the Federal Reserve Discount
Rate.
9.In addition to execution of a promissory note for the balance
of the payment,the District will consider requiring security
to guarantee paYment of the promissory note,such as but not
limited to,a letter of credit,performance bond,lien
contract,certificate of deposit,or other security
satisfactory to the District.
10.An administrative fee for the establishment of a deferral
agreement of $500.00 will be charged for all such agreements.
Paoe 2 of 2
Quality Assurance Approval Shee!
Subject:Execution of a Promissory Note with Mr.Jesus H.
Kuroda-San for the OWD Capacity Fee for a 3/4-
inch Meter and the Water Supply Fee for the
property located at 8649 Avenida De La Fuente.
San Diego,California 92154
Document Description:Staff Report for October 6,2010 Board Meeting.
Project No.:P1438-
010000
Author:
QA Reviewer:
Manager:
~p~amr-S(LVb2.MtttJ
~ti!~fWL
tuJ,)\c\T ChtLr\f-S
Printed Name
Date
Date I {
The above signatures attest that the attached document has been reviewed and to the best of their ability the
signers verify that it meets the District quality standard by clearly and concisely conveying the intended information;
being grammatically correct and free of formatting and typographical errors;accurately presenting calculated values
and numerical references;and being internally consistent.legible and uniform in its presentation style.
AGENDA ITEM 6
October 6,2010
DIV.NO.W.O.lG.F.NO:
MEETING DATE:
Yuri Calderon,General c~nsel
Aerobel Banuelos,Esq.
Mark Watton,General Man ger
German Alvarez,Assistant General Manager
APPROVED BY:
TYPE MEETING:Regular Board
SUBMITTED BY:
SUBJECT:Revision of Certain Code of Ordinance Provisions Regarding the
Use of Ratio Billing Systems in Multiunit Structures
RECOMMENDATIONS:
That the Board adopt Ordinance 525 enacting the proposed amendments to certain
provisions ofthe Code ofOrdinance.
PURPOSE:
To present to the Board certam Code of Ordinance provisions to clarify and update the
Distnct's policies regarding the resale of water and the use of Ratio Utility Billing
Systems.
ANALYSIS:
The District's Code of Ordinance is currently silent on the use of Ratio Utility Billing
Systems and alternative billing methods by owners ofmultiunit structures.
Under the existing provisions of the Code of Ordinance,the resale of District water is
prohibited with the exception that owners or operators ofmobile home parks,apartments,
condommium complexes,mdustrial complexes and land used for agricultural purposes
may resell water furnIshed by the District through the use of a submetering system as
outlined in Section 27.04.
Many multiunit structures in the District are not fitted with submeters and the owners and
operators of such properties are either unable to recover the actual costs of water usage
from tenants or are reselling District water in violation of the Code of Ordinances.
Because many multiunit structures are not equipped to bill water usage through
submetering,District staff and the General Counsel believe it would be appropriate to
clarify in the Code ofOrdinance that,to the extent permissible by law,the owners ofsuch
properties may utilize Ratio Utility Billing systems or other alternative billing methods to
pass-through water charges to their tenants.As such,the District staff and the General
Counsel believe that it would be in the best interest ofthe District to in~orporate language
under Article 27,Requirements and Limitations for Obtaining Water Service.
The Staff and the General Counsel recommend that the Board adopt revisions to Section
27.04,as set forth on the attachment to Ordinance 525.
FISCAL IMPACT:
None at this time.
LEGAL IMPACT:
None at this time.
General Counsel
Attachment A:Ordinance 525,with the following attachments:
-Attachment 1 -Section 27 ofthe Code ofOrdinance,marked
2
Attachment A
ORDINANCE NO.525
.-
AN ORDINANCE OF THE BOARD OF DIRECTORS
OF THE OTAY WATER DISTRICT AMENDING THE
CODE OF ORDINANCES SECTION 27,REQUIREMENTS AND
LIMITATIONS FOR OBTAINING WATER SERVICE
BE IT ORDAINED by the Board of Directors of Otay Water
District that the language in Section 27,Requirements and
Limitations for Obtaining Water Service,of the District's Code
of Ordinances be amended as per Attachment 1 to this ordinance.
NOW,THEREFORE,BE IT RESOLVED that the amendments to
Section 27 of the Code of Ordinances shall become effective
immediately upon adoption.
PASSED,APPROVED AND ADOPTED by the Board of Directors of
the Otay Water District at a regular meeting duly held this 6th
day of October 2010,by the following vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
President
ATTEST:
District Secretary
Page 1 of 1
Attachment 1
SECTION 27 REQUIREMENTS AND LIMITATIONS FOR OBTAINING
WATER SERVICE
27.01 REQUIREMENT FOR WATER/SEWER PERMIT AND PAYMENT OF
FEES,CHARGES,AND DEPOSITS
A.Requirement for Water/Sewer Permits.Water
meters shall not be installed nor water service furnished
until an application,in the form of a water/sewer permit,
has been executed by the customer at the District office.
B.Requirement for Payment of Fees,Charges and
Deposits.Payment of all required fees,charges and depos-
its shall be made by the customer at the time the water
meter is purchased.A customer requesting water service
shall pay the fees,charges,and deposits as set forth in
Section 28 of this Code.
C.Requirement for a Building Permit.A customer
requesting permanent water service shall be required to
present a valid building permit for the property issued by
the appropriate governmental agency,except that a building
permit is not required by a customer requesting permanent
water service to:1)install and maintain landscaping prior
to the construction of a building;2)perform mass grading
operations;or 3)to satisfy conditions imposed by other
government agencies,including a single meter for grading
for four lots or less which are part of the same parcel
map.Government agencies shall be exempt from the
requirement of presenting a valid building permit.
D.Requirement for a Service Lateral.The customer
requesting water service shall either have an existing
service lateral or purchase a new lateral installation at
the time of the meter purchase.
E.Commercial Parcels -5,000 square feet or Larger
Irrigated Landscape.When a customer requests water
service on a parcel of land with irrigated landscape equal
to 5,000 square feet or more,a separate meter will be
required for irrigation purposes on the site.
F.Reclaimed Water Service Areas.In areas
designated as reclaimed water service areas,the customer
shall be required to install a separate reclaimed water
service lateral and meter to supply irrigation to the
parcel.
G.Second Meter For Indoor Use.Any customer who
obtained a single meter prior to October 17,1990,a second
meter for indoor use may be obtained,without paying water
capacity fees,San Diego County Water Authority fees and
applicable zone charges on the second meter,if the
following criteria are met:
27-1
1.The additional meter is solely for the
purpose of isolating current domestic iindoor)
water use from that used for outdoor landscaping.
The additional meter shall be on a separate
lateral.
2.All costs of on-site plumbing changes,
including approved back-flow prevention devices,
will be the responsibility of the customer.
3.The customer acknowledges that adding a
second meter will result in a second water bill
and associated monthly system fee.
4.The customer will be required to pay
all fees and charges prior to meter installation.
27.02 SIZE OF WATER METER
A water meter shall be sized to ensure that the
maximum demand (in gallons per minute)will not exceed 80%
of the manufacturer's recommended maximum flow rate,as
shown in Section 27.03.In no case shall the water meter
size be less than ~-inch.The size of the water meter and
service lateral required for water service shall be
determined by the General Manager as follows:
A.Detached Single-Family Residential Dwelling Unit.
The customer may submit calculated maximum demand (in
gallons per minute),provided that maximum demand must be
more than twenty four (24)gallons per minute.
B.Apartments,Condominiums,Mobile Home Parks and
other Multiple Family Residential Dwelling Units with
Individual Meters.The calculated maximum demand shall be
per Section 27.02A.
C.Business,Commercial,Industrial,Apartments,
Condominiums,Mobile Home Parks and other Multiple-Family
Residential Dwelling Units.The customer shall submit
building plans signed by a licensed building architect.
The plans shall list the number of fixture units,the
parcel size (in acres),and the calculated maximum demand
(in gallons per minute)to be placed on each water meter.
D.Irrigation.The customer shall submit irrigation
plans signed by a licensed landscape architect.The plans
shall indicate the calculated maximum demand (in gallons
per minute)to be placed on each water meter and the total
area to be irrigated (in square feet).The plans must also
be in compliance with the requirements of Section 27.05.
E.Other.In the case of other types of service not
included above,the customer shall submit information as
27-2
requested by the General Manager.Any customer may request
and purchase a separate meter to isolate landscaping from
indoor use
F.Requirement for Multiple Meters.The General
Manager may require multiple meters when it is in the best
interest of the District.
27.03 MANUFACTURERS RECOMMENDED MAXIMUM FLOW RATE FOR
DISTRICT METERS
Customers are cautioned to control the rates of flow
of water through District meters.Operation of a meter at
flows in excess of the manufacturer's recommendations will
cause severe damage to operating parts Rated capacities
for meters used in this District are as follows:
ORDINARY METERS
Meter Size
Recommended
In Inches
3/4
1
1-1/2
2
3
4
6
8
10
Manufacturer's
Maximum Rate in U S.Gallons
per Minute
30
50
100
160
530
1350
2700
3500
6500
2
3
4
6
27.04
COMPOUND METERS
(Multi-family,Apartments etc.)
285
480
750
1700
USE OF SUBMETERS FOR RESALE OR DISTRIBUTION OF WATER
No customer may resell or redistribute any prot ion of the
water furnished by the District except as provided below:
A.Use of Submeters for Resale or Redistribution of
water Owners or operators of mobile home parks,
apartments,condominlum complexes,industrial
complexes and land used for agricultural purposes may
resell water furnished by the District through the use
of a submetering system under the following
conditions:(1)owners and operators shall comply
27-3
with State law (California Code of Regulations Section
4090)prohibiting any surcharge on the water rate;(2)
the water system on the private property side of the
master meter,including the submeters,shall be solely
the responsibility of the owner or operator;and (3)
the owner or operator shall clearly delineate on the
bill that any cost associated with the submeters is a
cost imposed by the property owner or operator and not
by Otay Water District.
B.Ratio Utility Billing Systems.To the extent permitted
under law,owners or operators of multiunit structures
where submeters have not been installed may elect to
implement a Ratio Utility Billing System (RUBS)or
alternative billing system to determine proportionate
shares of water charges and bill tenants accordingly.
CONSERVATION AND LOCAL SUPPLY USE REQUIREMENTS
The requirements below apply to all new residential
and commercial developments or redevelopments.The
landscape requirements also apply to any re-Iandscaping
that is subject to review by the District,the County of
San Diego,City of Chula Vista or the City of San Diego.
1.Indoor Fixtures and Appliances.
appliances installed,including the
list,must be high-efficiency:
•Toilets and urinals
Faucets
Showerheads
•Clothes Washers
•Dishwashers
All water fixtures and
ones in the following
"High-efficiency"means fixtures and appliances that comply
with the most efficient specifications under the EPA
WaterSense®or Energy Star programs,l as in effect at the
time installation commences.
2.Landscape requirements.Only "Smart"irrigation
controllers2 may be installed and only low-water use plants
may be used in non recreational landscapes.All landscapes
1 Certified EPA WaterSense products,and Energy star products,are at
least 20%more efficient than the applicable federal standards.
2 Smart Irrigation Controller means a controller that uses real time,
soil moisture or weather data to automatically adjust irrigation run-
times.Furthermore,to qualify as a Smart Irrigation Controller,the
device must be certified by the Irrigation Association and/or the EPA
WaterSense program.
27-4
must also be designed and managed consistent with
requirements of the local agency within which the property
is located,be it the County of San Diego,the City of
Chula Vista or the City of San Diego.
a.Installed smart irrigation controllers shall be
properly programmed/scheduled according to the
manufacturer's instructions and/or site specific conditions
based on soil type,plant type,irrigation type,weather
and/or reference evapotranspiration data.
b.Two irrigation schedules shall be prepared,one for
the initial establishment period of three months or until
summer hardened,and one for the established landscape,
which incorporates the specific water needs of the plants
and turf throughout the calendar year.The schedules shall
be continuously available on site to those responsible for
the landscape maintenance and posted at the smart
controller.
c.Any Covenants,Conditions,and Restrictions
(CC&Rs)pertaining to a new subdivision/development shall
not limit or prohibit the use and maintenance of low water
use plant materials and the use of artificial turf,and
shall require property owners to design and maintain their
landscapes consistent with the applicable City and County's
regulations.
d.Dedicated irrigation meters shall be installed
in:
•All parks and common areas with 5,000 square
feet or more of irrigated landscape
•Commercial sites with 5,000 square feet or
more of irrigated landscape
e.In compliance with Section 23.03 of this Code of
Ordinance,pressure regulators must be installed when and
where appropriate to maximize the life expectancy and
efficiency of the irrigation system.
5.New commercial developments must install separate,
dual-distribution systems for potable and recycled water.
6.The requirements of this Section shall not be
interpreted in any way to limit the owner's obligation to
comply with any other applicable federal,state,or local
laws or regulations.
27-5
AGENDA ITEM 7
STAFF REPORT
TYPE MEETING:Regular
SUBMITIED BY:Geoffrey
Informat and
f
Strategic Planning
MEETING DATE:October 6,2010
W.O.lG.F.NO:DIV.NO.
APPROVED BY:
(Chief)
APPROVED BY:
(Ass!.GM):
SUBJECT:
German A~Assistant General Manager,Administration and
Finance
FY 2010 Strategic Plan and Performance Measures Report
G~~R.AL~1\.GER'.8..~CO~:NP1\.T:rON:
No recommendation.This is an informational item only.
CO~IT'l'~E 1\.CT:rON:
See Attachment A.
To provide a fiscal year-end report on the District's Strategic
Performance Plan.
The District has completed the second year of the Strategic Plan
for FY 2009 to FY 2011.Overall,results continue to be positive
with the District exceeding its target for both strategic plan
objectives (at least 90%complete or on track)and performance
measures (at least 75%on target).Detailed information on each
objective and measure is also available electronically on the
Board Extranet.Looking at these-results in more detail:
Strategic Plan Objectives -Changing to Meet Future Needs
Strategic plan objectives are designed to ensure we are making the
appropriate high-level changes necessary to move the agency in the
planned direction to meet new challenges and opportunities
Overall performance of strategic plan objectives is positive with
49 of 51 objectives (96%)complete,ahead,or on schedule and tWQ
items behind schedule.Of the objectives that are behind,both
expect to be back on track by next quarter.Three items are not
scheduled to start and one items is on hold;therefore,these four
objectives have been excluded from the calculation.
Objectives:All Scorecard Areas
2
.-..:-....-_-_._-----
2530
25
20
15
10
5oJL;l~~---r-.lf~tr;.~~O~~~
Compl Ahead On Schd Behind Hold No Rpts Not strt
55 Total
49/51 Objectives complete,ahead,or on schedule (96%).
Target is 90%.
Performance Measures -Monitoring Day-To-Day Performance
Performance measures are designed to track the day-to-day
performance of the District.Sometimes referred to as a "dash
board",these items attempt to measure the effectiveness and
efficiency of daily operations The overall goal is that at least
75%of these measures be rated "on target".District results in
this area are also positive with 390f 44 (89%)items achieving
the desired level or better.
Measures:All Scorecard Areas
Detail
25 22
20 ~/
15 ./
10 /
5 ,.",
0 0 0
0 /,r
Compl Ahead On Schd Behind Hold No Rpts Not Strt
44 Total
39/44 Measures on or ahead of schedule (89%).
Target is 75%.
Balanced Scorecard -External View
The Balanced Scorecard methodology is designed to ensure that a
company is performing consistently on a wide range of measures
necessary to ensure both short-term and long-term improvements.
From this perspective the results are also positive.In six of
the eight categories the District is on or ahead of schedule or
target.The areas where we are behind (Learning and Growth-
Objectives and Customer-Measures)should be back on track next
quarter.
Balanced Scorecard
FY 2010 •Qtr 4 •All Departments
b ---,]Customer
•Objec:tives Measures
I -RRandal
~bjeCtiveS •Measures
r --;::~arning andGrowth
i!Objectives.Measuresi._.._...
r BusinessProcesses i
~_~~j~~iVe~~:asuresJ
Green =meets or exceeds!Red =does not meet
Departmental Perspective -Internal View of Performance
The departmental perspective,that is breaking down performance
objectives and measures by the responsible internal departments,
is also positive.Most departments meet or exceed expectations in
both areas.The single objective that is behind for Finance will
be back on schedule by next quarter.
Department View
FY 2010 •Qtr 4 •All Scorecard Areas
Departments
I-Administrative Services
2-Engineering
3-Finance
4-lnformationTechnology
Objectives
Objectives
Objectives
Measures
Measures
Measures
~Im·...'.··,1"'1It.,.~!!1
U
l
S-Operations
Green =meets or exceeds/Red =does not meet
Next Steps
Objectives •Measures ,'"
The District will begin developing the FY12-14 Strategic Plan in
the second quarter of FYll.
E"l$C,lU.IMPACT:
None at this time.
STRA,TEGICGO,lU.;
Stra~~~lc Plan and Performance Measure reporting is a critical
element in providing performance reporting to the Board and
staff.
N0)AQ
GedQral Mana~----------
ATTACHMENT A
I SUBJECT/PROJECT:FY 2010 Strategic Plan and Performance Measures Report
CO~ITTEE ACTION:
The Administration and Finance Committee and the Engineering and
Operations Committee met in September and reviewed this item.
Based upon this discussion the Committees recommend that the
Board receive the attached information.
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.
FY 2010 Year End
Strategic Plan Review
Board Committees
September 16th, 2010
Strategic / Business Planning Process
Objective Status Summary
49/51 Complete, Ahead, or On Schedule
Performance Measure Status Summary
88% Complete, Ahead, or On Schedule
Balanced Scorecard View
In 6 of 8 categories of our balanced scorecard, the District is on or
ahead of schedule or on target
Departmental View
Almost all departments meet or exceed the expectations
for objectives and performance measures.
Next Steps
Major plan revisions for FY 2012-2014
Themes of efficiency and effectiveness
Coordinated effort with asset management
Leverage existing system investments
already in place
Key Objective Achievements
Developed a comprehensive outreach plan for customers related
to the drought, recycled water, and water conservation.
Worked with Home Owners Associations to devise a transfer
program for users of potable water for irrigation to convert to
recycled.
Standards & Poor’s notified the District that it was upgrading the
District’s credit rating from AA- to AA.
218 process completed-notices were mailed out in October to all
Otay customers.
Successful implementation of SharePoint in Customer Service.
Moving forward with AWWA District-wide Self-Assessment
evaluation.
Operations coordinated with Customer Service (meter readers)
and IT to properly set up a recorded meter testing program.
Results Available On the Board Extranet!
www.otaywater.gov/extranet/login.aspx
STAFF REPORT
AGENDA ITEM 8
TYPE MEETING:Finance,Administration,
and Communications Committee
MEETING DATE:September 16,2010
SUBMITTED BY:
APPROVED BY:
(Chief)
APPROVED BY:
(Asst.GM):
Meeting
~W.O.lG.F.NO:
Joseph ~m,Chief Financial Officer
German Al~ssistant General Manager,
Finance
DIV.NO.All
Administration and
SUBJECT:Informational Item Regarding Customer Notices of the Approved
Rate Increases Effective January 1,2011
GENERAL MANAGER'S RECOMMENDATION:
Informational item regarding customer notices of the approved
rate increases effective January 1,2011.
COMMITTEE ACTION:
Please see Attachment A.
PURPOSE:
To present to the Board the attached notices that will be mailed
to customers in October outlining the approved January 1,2011
water and sewer rate increases.
ANALYSIS:
At a Special Board meeting held on May 17,2010,the Board
approved the Fiscal Year 2010-2011 Operating and Capital Budget.
At that time,the Board also approved an average water rate
increase of 10.9%and an average sewer rate increase of 6.8%
At that meeting draft copies of the rate increase notices were
provided.
The District has always sent notices of rate increases to its
customers to ensure that customers are well informed of rate
changes.Not only are these notices customary but they are now
required by Proposition 218.The attached notices of the rate
increases effective January 1,2011,will be inserted in the
monthly customer bills beginning October 7th running through
October 27,2010.
The following table outlines the 5 different notices and the
count of the notices that the District's bill print vendor will
insert into the customer bills and mail:
Type of Notice Total
Residential -Water Only 40,638
Commercial/Public -Water 1,251
Landscape,Ag.,Construction -Water 1,313
Residential -Sewer Only 1,178
Residential -Water and Sewer 3,409
Following are the notices which Otay staff will print and mail:
Type of Notice Total
Commercial -Sewer 58
Schools -Sewer 9
Outside Services 4
Multi-Res -Water 261
Reclaimed -Water 132
Notices will be mailed in October
will receive this notice at least
will be priced at the new rates.
minimum notice period of 30 days
to insure that all customers
30 days prior to when service
Proposition 218 requires a
FISCAL IMPACT:
None.
STRATEGIC GOAL:
Ensure financial health through formalized policies,long-term
financial planning,and efficient operations.
LEGAL IMPACT:
None.
Attachments:
A)Committee Action Form
B)Residential Water Rate Increase Notice
C)Residential Sewer Rate Increase Notice
0)Public and Commercial Water Rate Increase Notice
E)Commercial Sewer Rate Increase Notice
F)Master Metered Water Rate Increase Notice
G)Recycled Water Rate Increase Notice
H)Landscape,Agricultural and Construction Water Rate
Increase Notice
I)Water Rate Comparison
J)Sewer Rate Comparison
ATTACHMENT A
Informational Item Regarding Customer Notices of the
SUBJECTIPROJECT:Approved Rate Increases Effective January 1,2011
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.
F:\DianeA\Staff Rpts 2010\CommMtgCustNotices091610.doc
Attachment B
Notice of Residential Water Rate Increase
Dear Customer,
INCREASED WATER RATES AND CHARGES WILL BE REFLECTED ON YOUR
BILL BEGINNING JANUARY 1,2011
An overall rate increase of 10.9%was approved by the Otay Water District's (the
"District")Board of Directors as part of the annual budget adoption process completed in May
2010.For a typical residential water customer using 15 units of water per month,your residen-
tial water bill will increase by $5.63.The new water rates and charges will apply to water billed
beginning January 1,2011 and depending on your billing cycle may apply to water usage as
early as the beginning of December 2010.This letter serves as a 30-day notice of rate in-
creases.
The District is a revenue neutral public agency.To continue providing reliable,high-
quality water services,the District must implement rate increases and must pass-through to its
customers higher costs imposed by water wholesalers,the Metropolitan Water District of South-
ern California (MWD)and the San Diego County Water Authority (CWA).
On August 24,2009,the District adopted a five-year schedule of rates in compliance with
applicable provisions of law.The rate increases herein noticed reflect a District rate increase of
3.8%and pass-through increase of 7.1 %.Both increases are within the limits contemplated in
the five-year schedule of rates.
Water wholesalers are raising their water rates to obtain new and more reliable supplies
of water.Potential supplies include seawater desalination,more reliable emergency resources,
canal lining projects,and agricultural to urban water transfers.In addition,rate increases cover
the cost of acquiring imported water from the Colorado River and Northern California.
For its part,the District has worked diligently to reduce internal costs,including reducing
the number of full-time employees and corresponding salaries and benefits,and instituted
efficiency programs,such as automated meter reading and online bill pay services,to minimize
the impact of higher water costs from wholesalers.
For more information,please visit www.otaywater.gov or contact us via email at
info@otaywater.gov.
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
619-670-2777
www.otaywater.gov
Typical Bill at 15 Units per Month
For a typical single-family residential customer,your bill will increase by $5:63.Your bill will
vary based on meter size,water consumption and geographic location.
MWD/CWA1 System Fee1 Water Rate2 E Ch 4 Water Charge by TotalnergyargeImprovementDistrictS
Current $9.77 $14.58 $34.65 $2.24 $0.85 $62.09
New $11.82 $14.58 $38.10 $2.34 $0.88 $67.72
Increase in monthly water bill $5.63
Consumption Blocks and System Fees by Meter Size
Single Family Consumption Blocks (units)2 Current New
Conservation Tier 3 $1.35 $1.49
6 10 $2.10 $2.31
11 22 $2.73 $3.00
23+$4.21 $4.63
Current New
Meter Size System Fee MWD/CWA Total System Fee MWD/CWA Total
0.75"$14.58 $9.77 $24.35 $14.58 $11.82 $26.40
1"$18.52 $16.28 $34.80 $18.52 $19.69 $38.21
1.5"$28.37 $32.61 $60.98 $28.37 $39.44 $67.81
2"$40.18 $52.15 $92.33 $40.18 $63.07 $103.25
Other Charges
Energy Charges4
Improvement DistrictS No.3
Improvement DistrictS No.10
La Presas
Current
$0.038
$0.18
$0.26
$0.07
New
$0.044
$0.19
$0.27
$0.08
Footnotes
1.These fees are based on the meter size.The
MWD/CWA fee is increasing to reflect the full
pass-through of this cost by the District's water
suppliers.
2.This cost varies based on water usage and can be
calculated using the consumption block tables.
One unit ofconsumption equals 748 gallons of wa-
ter.
3.The Conservation Tier discount applies toward the
first five units when overall consumption is ten units
or less.
4.The Energy Charge represents the cost of energy
required to pump each unit of water 100 feet in
elevation.This is charged proportionately for every
foot of elevation over 450 feet.This increase is
necessary due to increased power costs to the Dis-
trict.
5.This charge is a per unit charge and your bill will
vary based on water consumption.Improvement
district charges do not apply to the first five units
of water per month.
This information reflects only changes to rates.For a comprehensive listing of rates,please
see the Otay Water District's Code ofOrdinances at www.otaywater.gov.
Attachment C
Notice of Residential and Multi-Residential
Sewer Rate Increase
Dear Customer,
INCREASED SEWER RATES AND CHARGES WILL BE REFLECTED ON
YOUR BILL BEGINNING JANUARY 1,2011
An overall rate increase of 6.8%was approved by the Otay Water District's (the
"District")Board of Directors as part of the annual budget adoption process completed
in May,2010.The new sewer rates and charges will apply to service billed beginning
January 1,2011 and depending on your billing cycle may apply to service as early as
the beginning of December 2010.For a typical residential sewer customer whose wa-
ter usage is approximately 15 units per month,your sewer bill will increase by $2.18 per
month.This letter serves as a 30-day notice of rate increases.
The District is a revenue neutral public agency.Your sewer bill reflects only
those charges sufficient to support your sewer service.To continue providing sewer
services,the District must implement certain rate increases and must pass-through
higher costs to its customers from the District's public sewage treatment and disposal
agency providers,including the City of San Diego and the County of San Diego.
On August 24,2009,the District adopted a five-year schedule of rates in compli-
ance with applicable provisions of law.The rate increases herein noticed reflect a
pass-through increase of 6.8%and no increase due to the District.Both increases are
within the limits contemplated in the five-year schedule of rates.
For its part,the District has worked diligently to reduce internal costs to minimize
the impact of higher costs from sewage treatment providers.
For more information,please visit www.otaywater.gov or contact us via email at
info@otaywater.gov.
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
619-670-2777
www.otaywater.gov
!
Residential Sewer Rate Increase
The monthly sewer service charge for a typical single-family residential
customer with a winter average of 15 units will be calculated as follows:
Usage Fee Rate x Winter Average +a Monthly Base Fee
Current
New
Usage Fee
$19.89
$21.30
Base Fee
$10.80
$11.57
Total
$30.69
$32.87
Meter Size Current New
.75"$10.80 $11.57
1.00"$15.75 $16.87
Usage Fee $1.56 $1.67
A typical bill is based on 12.75 units (15 units -2.25 units).This 15%discount
is an acknowledgement that all water purchased does not go to the sewer
system.The maximum bill for a .75"meter is $61.70.The maximum bill for a
1.0"meter (based on 30 units per month,after the 15%discount)would be
$67.00.
New customers will have a Winter Average assigned of 15 units and pay
$32.87 per month until a Winter Average can be established.
Multi-Residential
The total sewer bill for multiple residential customers is calculated just
like a residential customer with the exception that the base fee is multi-
plied by the number of dwelling units,and the Winter Average,after
being reduced by 15%,has no maximum.Multi-Residential accounts
are charged $54 per dwelling unit for sewer debt.
This in/ormation reflects only changes to rates.For a comprehensive listing 0/rates,please see the
Otay Water District's Code o/Ordinances at www.otaywater.gov.
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
619-670-2777
Attachment D
Notice of Public and Commercial Water Rate Increase
Dear Customer,
INCREASED WATER RATES AND CHARGES WILL BE REFLECTED ON YOUR
BILL BEGINNING JANUARY 1,2011
An overall rate increase of 10.9%was approved by the Otay Water District's (the
"District")Board of Directors as part of the annual budget adoption process completed in May
2010.The new water rates and charges will apply to water billed beginning January 1,2011
and depending on your billing cycle may apply to water usage as early as the beginning of De-
cember 2010.This letter serves as a 3D-day notice of rate increases.
The District is a revenue neutral public agency.To continue providing reliable
high-quality water services,the District must implement rate increases and must pass-through
to its customers higher costs imposed by water wholesalers,the Metropolitan Water District of
Southern California (MWD)and the San Diego County Water Authority (CWA).
On August 24,2009,the District adopted a five-year schedule of rates in compliance
with applicable provisions of law.The rate increases herein noticed reflect a District rate
increase of 3.8%and pass-through increase of 7.1 %.Both increases are within the limits
contemplated in the five-year schedule of rates.
Water wholesalers are raising their water rates to obtain new and more reliable supplies
of water.Potential supplies include seawater desalination,more reliable emergency re-
sources,canal lining projects,and agricultural to urban water transfers.In addition,rate in-
creases cover the cost of acquiring imported water from the Colorado River and Northern Cali-
fornia.
For its part,the District has worked diligently to reduce internal costs,including reducing
the number of full-time employees and corresponding salaries and benefits,and instituted
efficiency programs,such as automated meter reading and online bill pay services,to
minimize the impact of higher water costs from wholesalers.
For more information,please visit
www.otaywater.gov or contact us via email at
info@otaywater.gov.
www.otaywater.gov
Consumption Blocks and System Fees by Meter Size
Public and Commercial Water Usage Fee «10"meter)
Consumption Blocks (units)1 Current .-New
o-173 $2.22 $2.44
174 -831 $2.27 $2.50
832 or more $2.31 $2.54
Public and Commercial Water Usage Fee (10"meter)
Consumption Blocks (units)1 Current New
0-7,426 $2.22 $2.44
7,427 -14,616 $2.27 $2.50
14,617 or more $2.31 $2.54
Current New
Meter Size System MWD/CWA2 Total System MWD/CWA2 TotalFee2Fee2
3/4"$14.58 $9.77 $24.35 $14.58 $11.82 $26.40
1"$18.52 $16.28 $34.80 $18.52 $19.69 $38.21
1 1/2"$28.37 $32.61 $60.98 $28.37 $39.44 $67.81
2"$40.18 $52.15 $92.33 $40.18 $63.07 $103.25
3"$71.68 $104.30 $175.98 $71.68 $126.14 $197.82
4"$107.13 $162.98 $270.11 $107.13 $197.11 $304.24
6"$205.59 $325.92 $531.51 $205.59 $394.17 $599.76
8"$323.73 $521.51 $845.24 $323.73 $630.71 $954.44
10"$461.57 $749.61 $1,211.18 $461.57 $903.58 $1,365.15
Other Charges
Energy Charges3
Improvement Districe No.3
Improvement District4 No.10
La Presa4
Current
$0.038
$0.18
$0.26
$0.07
Footnotes
New
$0.044
$0.19
$0.27
$0.08
1.This cost varies based on water usage and can be
calculated using the consumption block tables.One
unit of consumption equals 748 gallons ofwater.
2.These Fixed Charges are based on the meter
size.The MWD/CWA fee is increasing to reflect
the full pass-through of this cost by the District's
water suppliers.
3.The Energy Charge represents the cost of energy
required to pump each unit ofwater 100 feet in
elevation.This is charged proportionately for every
foot of elevation over 450 feet.This increase is nec-
essary due to increased power costs to the District.
4.This charge is a per unit charge and your bill will
vary based on water consumption.
This information reflects only changes to rates.For a comprehensive listing ofrates,please
see the Otay Water District's Code ofOrdinances at www.otaywater.gov.
Attachment E
Notice of Commercial Sewer Rate Increase
Dear Customer,
INCREASED SEWER RATES AND CHARGES WILL BE REFLECTED ON
YOUR BILL BEGINNING JANUARY 1,2011
An overall rate increase of 6.8%was approved by the Otay Water District's (the
"District")Board of Directors as part of the annual budget adoption process completed
in May,2010.The new sewer rates and charges will apply to service billed beginning
January 1,2011 and depending on your billing cycle may apply to service as early as
the beginning of December 2010.This letter provides a 3D-day prior notice of rate
increases.
The District is a revenue neutral public agency.Your sewer bill reflects only those
charges sufficient to support your sewer service.
To continue providing sewer services,the District must implement certain rate
increases and must pass-through to its customers higher costs from the District's public
sewage treatment and disposal agency providers,including the City of San Diego and
the County of San Diego.On August 24,2009,the District adopted a five-year
schedule of rates in compliance with applicable provisions of law.The rate increases
herein noticed reflect a pass-through increase of 6.8%and no increase due to the Dis-
trict.Both increases are within the limits contemplated in the five-year schedule of
rates.
For its part,the District has worked diligently to reduce internal costs to minimize the
impact of higher costs from public sewage treatment and disposal agencies.
For more information,please visit www.otaywater.gov
or contact us via email at info@otaywater.gov.Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
619-670-2777
www.otaywater.gov
Rate Increase Notice
To Calculate Non-Residential Sewer Rates
To meet State of California requirements,customers must pay their fair
share of sewer costs.The Otay Water District is required to determine sewer
rates in accordance with the State's Revenue Program Guidelines.The for-
mula takes into consideration the cost associated with daily flow,chemical
oxygen demand (COD)and the removal of suspended solids (SS).The COD
and SS determine whether the strength factor is high,medium,or low,consis-
tent with the State Water Resources Control Board guidelines.
Monthly bills are calculated based on Assigned Service Units (ASU).One
ASU is equal to the demand placed on the system by a residential unit.ASUs
are calculated by multiplying the daily flow by the strength factor.
Daily Flow x Strength Factor =Assigned Service Unit
Strength Factors
1.0
1.0
1.238
2.203
Churches
Low Strength Commercial
Medium Strength Commercial
High Strength Commercial
Rate per ASU
Current
$36.88
New
$39.39
The sewer bill is then calculated by multiplying the ASUs by the rate per
ASU.This charge is increasing by $2.51 per ASU from $36.88 to $39.39.
A $54 per ASU assessment is collected on the property tax bill for sewer
debt.The state sewer loan will be paid in full by 2012.
This in/ormation reflects only changes to rates.For a comprehensive listing 0/rates,please see the
Otay Water District's Code o/Ordinances at www.otaywater.gov.
Attachment F
Notice of Master Metered Water Rate Increase
Dear Customer,
INCREASED WATER RATES AND CHARGES WILL BE REFLECTED ON YOUR BILL
BEGINNING JANUARY 1,2011
An overall rate increase of 10.9%was approved by the Otay Water District's (the
"District")Board of Directors as part of the annual budget adoption process completed in May
2010.The new water rates and charges will apply to water billed beginning January 1,2011
and depending on your billing cycle may apply to water usage as early as the beginning of De-
cember 2010.This letter serves as a 3D-day notice of rate increases.
The District is a revenue neutral public agency.To continue providing reliable,high-
quality water services,the District must implement rate increases and must pass-through to its
customers higher costs imposed by water wholesalers,the Metropolitan Water District of South-
ern California (MWD)and the San Diego County Water Authority (CWA).
On August 24,2009,the District adopted a five-year schedule of rates in compliance with
applicable provisions of law.The rate increases herein noticed reflect a District rate increase of
3.8%and pass through increase of 7.1 %.Both increases are within the limits contemplated in
the five-year schedule of rates.
Water wholesalers are raising their water rates to obtain new and more reliable supplies
of water.Potential supplies include seawater desalination,more reliable emergency resources,
canal lining projects,and agricultural to urban water transfers.In addition,rate increases cover
the cost of acquiring imported water from the Colorado River and Northern California.
For its part,the District has worked diligently to reduce internal costs,including reducing
the number of full-time employees and corresponding salaries and benefits,and instituted
efficiency programs,such as automated meter reading and online bill pay services,to minimize
the impact of higher water costs from Wholesalers.
For more information,please visit www.otaywater.gov or contact us via email at
info@otaywater.gov.
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
619-670-2777
www.otaywater.gov
Consumption Blocks and System Fees by Meter Size
Master Metered
Consumption Blocks (units)1 Current New
0-4 $2.08 $2.29
5 - 9 $2.70 $2.97
10 or more $4.15 $4.57
Current New
Meter Size System MWD/CWA2 Total System MWDI TotalFee2Fee2CWA2
3/4"$14.58 $9.77 $24.35 $14.58 $11.82 $26.40
1"$18.52 $16.28 $34.80 $18.52 $19.69 $38.21
1 1/2"$28.37 $32.61 $60.98 $28.37 $39.44 $67.81
2"$40.18 $52.15 $92.33 $40.18 $63.07 $103.25
3"$71.68 $104.30 $175.98 $71.68 $126.14 $197.82
4"$107.13 $162.98 $270.11 $107.13 $197.11 $304.24
6"$205.59 $325.92 $531.51 $205.59 $394.17 $599.76
8"$323.73 $521.51 $845.24 $323.73 $630.71 $954.44
10"$461.57 $749.61 $1,211.18 $461.57 $903.58 $1,368.15
Other Charges
Energy Charges3
Improvement District4 No.3
Improvement District4 No.10
La Presa4
Current
$0.038
$0.18
$0.26
$0.07
New
$.044
$.019
$0.27
$0.08
I
Footnotes
1.Consumption is the water usage divided by
the number of dwellings served.This charge is
a per unit charge based on water consump-
tion.A unit of consumption is equal to 748
gallons of water.
2.These fees are based on the meter size.The
MWD/CWA fee is increasing to reflect the full
pass-through of this cost by the District's
water suppliers.
3.The Energy Charge represents the cost of
energy required to pump each unit of water
100 feet in elevation.This is charged propor-
tionally for every foot of elevation over 450
feet.This increase is necessary due to in-
creased power cost to the District.
4.This charge is a per unit charge and your bill
will vary based on water consumption.
This information reflects only changes to rates.For a comprehensive listing ofrates,please see the
Otay Water District's Code ofOrdinances at www.otaywater.gov.
Attachment G
Notice of Recycled Water Rate Increase
Dear Customer,
INCREASED WATER RATES AND CHARGES WILL BE REFLECTED ON YOUR BILL
BEGINNING JANUARY 1,2011
An overall rate increase of 10.9%was approved by the Otay Water District's (the
"District")Board of Directors as part of the annual budget adoption process completed in May
2010.The new water rates and charges will apply to water billed beginning January 1,2011
and depending on your billing cycle may apply to water usage as early as the beginning of
December 2010.This letter serves as a 3D-day notice of rate increases.
The District is a revenue neutral public agency.To continue providing reliable,high-
quality recycled water services,the District must implement rate increases and must pass-
through to its customers higher costs for recycled water.On August 24,2009,the District
adopted a five-year schedule of rates in compliance with applicable provisions of law.The rate
increases herein noticed reflect a District rate increase of 3.8%and pass-through increase of
7.1 %.Both increases are within the limits contemplated in the five-year schedule of rates.
For its part,the District has worked diligently to reduce internal costs,including reducing
the number of full-time employees and corresponding salaries and benefits,and instituted
efficiency programs,such as automated meter reading and online bill pay services,to minimize
the impact of higher costs from wholesalers.
For more information,please visit www.otaywater.gov or contact us via email at
info@otaywater.gov.
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
619-670-2777
www.otaywater.gov
Consumption Fees by Meter Size
Recycled Water Usage Fee1 Recycled Water Usage Fee1
(.75"to 1.0"meter)(1.5"to 2.0"meter)
Consumption Current New Consumption Current NewBlocks(units)1 Blocks (units)1
0-42 $2.58 $2.84 0-168 $2.58 $2.84
43-97 $2.62 $2.88 169-402 $2.62 $2.88
98 or more $2.67 $2.94 403 or more $2.67 $2.94
Recycled Water Usage Fee1 Recycled Water Usage Fee1
(3"&4"meter)(>6"meter)
Consumption Current New Consumption Current NewBlocks(units)1 Blocks (units)1
0-403 $2.58 $2.84 0-7,916 $2.58 $2.84
404-820 $2.62 $2.88 7,917-16,357 $2.62 $2.88
821 or more $2.67 $2.94 16,358 or more $2.67 $2.94
:Other Charges
Energy Charges2
Current
$0.038
Footnotes
New
$0.044
1.Recycled water rates are based on meter size and the number of recycled
water units used each month.A unit of recycled water equals 748 gallons.
2.The Energy Charge represents the cost of energy required to pump each
unit of recycled water 100 feet in elevation.This is charged proportionately
for every foot of elevation over 450 feet.This increase is necessary due to
increased power costs to the District.
This information reflects only changes to rates.For a comprehensive listing ofrates,please see the
Otay Water District's Code ofOrdinances at www.otaywater.gov.
Attachment H
Notice of Landscape,Agricultural and Construction
Water Rate Increase
Dear Customer,
INCREASED WATER RATES AND CHARGES WILL BE REFLECTED ON YOUR
BILL BEGINNING JANUARY 1,2011
An overall rate increase of 10.9%was approved by the Otay Water District's (the
"District")Board of Directors as part of the annual budget adoption process completed in May
2010.The new water rates and charges will apply to water billed beginning January 1,2011
and depending on your billing cycle may apply to water usage as early as the beginning of De-
cember 2010.This letter serves as a 30-day notice of rate increases.
The District is a revenue neutral public agency.To continue providing reliable,high-
quality water services,the District must implement rate increases and must pass-through to its
customers higher costs imposed by water wholesalers,the Metropolitan Water District of South-
ern California (MWD)and the San Diego County Water Authority (CWA).
On August 24,2009,the District adopted a five-year schedule of rates in compliance with
applicable provisions of law.The rate increases herein noticed reflect a District rate increase of
3.8%and pass-through increase of 7.1 %.Both increases are within the limits contemplated in
the five-year schedule of rates.
Water wholesalers are raising their water rates to obtain new and more reliable supplies
of water.Potential supplies include seawater desalination,more reliable emergency resources,
canal lining projects,and agricultural to urban water transfers.In addition,rate increases cover
the cost of acquiring imported water from the Colorado River and Northern California.
For its part,the District has worked diligently to reduce internal costs,including reducing
the number of full-time employees and corresponding salaries and benefits,and instituted
efficiency programs,such as automated meter reading and online bill pay services,to minimize
the impact of higher water costs from wholesalers.
For more information,please visit www.otaywater.gov or contact us via email at
info@otaywater.gov.
Otay Water District
2554 Sweetwater Springs Blvd.
Spring Valley,CA 91978
619-670-2777
www.otaywater.gov
Consumption Blocks,System Fees by Meter Size
Water Usage Fee1-Landscape,Agricultural,and Construction Water (.75"to 1"meter)
Consumption Blocks (units)1 Current New
o-49 $3.02 $3.32
50 -132 $3.08 $3.39
133 or more $3.14 $3.45
Water Usage Fee1 -Landscape,Agricultural,and Construction Water (1.5"to 2"meter)
Consumption Blocks (units)1 Current New
o -144 $3.02 $3.32
145 -355 $3.08 $3.39
356 or more $3.14 $3.45
Water Usage Fee1 -Landscape,Agricultural,and Construction Water (3"+meter)
Consumption Blocks (units)1 Current New
0-1,044 $3.02 $3.32
1,045 -8,067 $3.08 $3.39
8,068 or more $3.14 $3.45
Current New
Meter Size System Fee2 MWD/CWA2 Total System Fee2 MWD/CWA2 Total
3/4"$14.58 $9.77 $24.35 $14.58 $11.82 $26.40
1"$18.52 $16.28 $34.80 $18.52 $19.69 $38.21
1 1/2"$28.37 $32.61 $60.98 $28.37 $39.44 $67.81
2"$40.18 $52.15 $92.33 $40.18 $63.07 $103.25
3"$71.68 $104.30 $175.98 $71.68 $126.14 $197.82
4"$107.13 $162.98 $270.11 $107.13 $197.11 $304.24
6"$205.59 $325.92 $531.51 $205.59 $394.17 $599.76
8"$323.73 $521.51 $845.24 $323.73 $630.71 $954.44
10"$461.57 $749.61 $1,211.18 $461.57 $903.58 $1,368.15
Other Charges
Energy Charges3
Improvement District4 No.3
Improvement District4 No.10
La Presa4
Current
$0.038
$0.18
$0.26
$0.07
Footnotes
New
$0.044
$0.19
$0.27
$0.08
elevation.This is charged proportionately for every
foot ofelevation over 450 feet.This increase is
necessary due to increased power costs to the Dis-
trict.
4.This charge is a per unit charge and your bill will
vary based on water consumption.
1.This rate is a per unit charge.Customers using
temporary meters pay two times this rate.One unit
of consumption equals 748 gallons ofwater.
2.These Fixed Charges are based on the meter size.
The MWD/CWA fee is increasing to reflect the full
pass-through of this cost by the District's water
suppliers.
3.The Energy Charge represents the cost of energy
required to pump each unit of water 100 feet in
This information reflects only changes to rates.For a comprehensive listing ofrates,please see the
Otay Water District's Code ofOrdinances at www.otaywater.gov.
Attachment I
The District strives to remain cost effective in its rate setting,by controlling operating cost,yet
passing through the full cost of supply.The following two charts show how the District
compares in rates with its neighboring water and sewer providers.
Water Rate Comparison of Water Providers
in San Diego County
$20
$80
$60
SURVEY OF MEMBER AGENCY WATER RATES
Rates effective January 1,2011 for residential
customer with 15 HCF water use and 3/4 inch meter
$40
$100
$120 i
I
I
I
I
$_h
Attachment J
Sewer Rate Comparison of Sewer Providers
in San Diego County
$120 ,./,'
r Proposed Rates effective Fiscal Year.2011 (with Special Assessment)~for residential customers with 15 HCF water usag~~II r~!Water"Consumption based sewer rate$100 I ~I *-JI!...I
I Flat sewer rate m ,~
~~:1 1.
$80 I ~i~I Olay Water District :~~~
~~~Ilr»·OI...."'11
'"....,
I
'"I;.:-~,..:~....i".$60 'i~f'~1ii t'
"!!'..II r·~
I!!!:t=~fJ
tD I~I "f~!\<I '"CD ';;;-...::!~$40 g ~~~~F I'~I ..
I ~~I,.
r;'...~~Fi.r-:''i'
r~~;,~:j'Ii
$20 P ~
~r·:-.,
~~~11 ''1'~:.~t_$-""'....y ...