BOARD OF DIRECTORS MEETING January 4, 2018 6:00 p.m

REGULAR

BOARD OF DIRECTORS MEETING

January 4 2018

600 pm

City of Ontario ndash Council Chambers 303 E ldquoBrdquo Street Ontario CA

January 4 2018 Page 1 of 3

REGULAR BOARD MEETING OF THE BOARD OF DIRECTORS

CHINO BASIN DESALTER AUTHORITY

January 4 2018 600 pm

Council Chambers of the City of Ontario

303 E ldquoBrdquo Street Ontario CA

All documents available for public review are on file with the Authorityrsquos secretary located at 2151 S Haven Avenue Suite 202 Ontario CA 91761

AGENDA Call to Order Flag Salute Public Comment Members of the public may address the Board at this time on any non-agenda matter Please complete a Comment Card and give it to the Secretary Comments are limited to three (3) minutes per individual State your name and address for the record before making your presentation This request is optional but very helpful for the follow-up process Under the provisions of the Brown Act the CDA Board is prohibited from taking action on oral requests However Board Members may respond briefly or refer the communication to staff The CDA Board may also request the Secretary to calendar an item related to your communication at a future CDA Board meeting Introduction of Inland Empire Utilities Agency General Manager CONSENT CALENDAR ITEMS Consent Calendar items are expected to be routine and non-controversial to be acted upon by the Board at one time without discussion If any Board member staff member or interested person requests that an item be removed from the Consent Calendar it will be moved to the first item on the Action Items 1 MINUTES OF DECEMBER 7 2017 SPECIAL BOARD MEETING 2 TREASURERS FINANCIAL AFFAIRS REPORT FOR QUARTER ENDED

SEPTEMBER 2017 Report by Michael Chung CDA CFOTreasurer 3 TREASURERrsquoS REPORT ON GENERAL DISBURSEMENTS FOR THE QUARTER

ENDED SEPTEMBER 2017 Report by Michael Chung CDA CFOTreasurer 4 INVESTMENT REPORT Report by Michael Chung CDA CFOTreasurer 5 BUDGET VARIANCE REVIEW FOR THE QUARTER ENDED SEPTEMBER 2017 Report by Michael Chung CDA CFOTreasurer

6 RECORDS RETENTION SCHEDULE

Report by Curtis D Paxton CDA General ManagerCEO Staff Recommendation

1 Adopt Resolution No 2018-02 establishing a Records Retention Schedule 7 CONSIDERATION OF APPROVAL OF FIRST AMENDMENT TO THE FIFTH

AMENDED AND RESTATED EMPLOYMENT AGREEMENT ndash GENERAL MANAGERCEO

Report by Allison Burns CDA Deputy General Counsel

Staff Recommendation

1 Approve First Amendment to the Fifth Amended and Restated Employment Agreement with General ManagerCEO Curtis D Paxton

ACTION ITEMS Prior to action of the CDA Board any member of the audience will have the opportunity to address the CDA Board on any item listed on the agenda including those on any consent calendar Please submit a comment card to the secretary with the agenda item number noted

8 APPROVAL OF ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR 201617

Report by Michael Chung CDA CFOTreasurer

Staff Recommendation 1 Approve the Comprehensive Annual Financial Report (CAFR) for the Fiscal Year

ended June 30 2017 and

2 Direct staff to make distribution as appropriate to the various federal state and local agencies financial institutions bond rating agencies and other interested parties

9 COST OF LIVING ADJUSTMENT ndash CDA EMPLOYEES

Report by Curtis D Paxton CDA General ManagerCEO

Staff Recommendation 1 Approve a Cost of Living Adjustment (COLA) of 310 for CDA employees (with

the exception of the General ManagerCEO) effective Pay Period 1 of 2018

10 CHANGE TO EMPLOYEE BENEFIT PACKAGE FOR CDA EMPLOYEES Report by Curtis D Paxton CDA General ManagerCEO

Staff Recommendation 1 Approve an increase of $200 per month in the health insurance contribution for

CDA fulltime employees (excluding the General ManagerCEO)

11 CONSIDERATION AND POSSIBLE ACTION ON RESCHEDULING BOARD MEETINGS TO THE FIRST THURSDAY OF EACH MONTH IN JANUARY APRIL JULY AND OCTOBER AT 200 PM Report by Curtis D Paxton CDA General ManagerCEO

1 Adopt Resolution No 2018-03 designating the time and place of Regular Meetings of the Board of Directors

INFORMATION ITEMS

Information items are non-action items presented to the Board for their information 12 QUARTERLY DESALTER EXPANSION REPORT Report By Cindy Miller Phase 3 Expansion Program Manager 13 QUARTERLY SOUTH ARCHIBALD PLUME REPORT Report By Cindy Miller South Archibald Plume Program Manager 14 QUARTERLY OPERATIONS REPORT Report By Todd Minten Operations Manager Staff Comments

(i) Deputy CDA General Counsel Allison Burns (ii) CDA CFOTreasurer Michael Chung (iii) CDA General ManagerCEO Curtis Paxton

CLOSED SESSION The Authority may adjourn to a Closed Session to consider litigation matters personnel matters or other matters as provided for in the Ralph M Brown Act (Section 54950 et seq of the Government Code)

15 CONFERENCE WITH LEGAL COUNSEL ndash ANTICIPATED LITIGATION SIGNIFICANT EXPOSURE TO LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 549569(D)(2)

(TWO POTENTIAL CASES)

16 CONFERENCE WITH LEGAL COUNSEL ndash ANTICIPATED LITIGATION

CONSIDERATION OF INITIATION OF LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 549569(D)(4)

(ONE POTENTIAL CASE)

Directors Comments

ADJOURNMENT ndash To the Special Meeting on February 1 2018 Declaration of Posting I Casey Costa Executive Assistant to the Chino Basin Desalter Authority hereby certify that a copy of this agenda has been posted by 600 pm at the Chino Basin Desalter Authorityrsquos main office 2151 S Haven Ave Ontario CA on Monday January 1 2018 _____________________________________ Casey Costa Executive Assistant

Board of Directors Meeting

Agenda Item

SPECIAL MEETING OF THE BOARD OF DIRECTORS OF THE

MINUTES December 7 2017

The Special Meeting of the Board of Directors of the Chino Basin Desalter Authority was held at the City of Ontario 303 E ldquoBrdquo Street Ontario CA on the above date The meeting was called to order at 200 pm by Peter Rogers City of Chino

Directors Present

Peter Rogers City of Chino Hills Chair Greg Newton City of Norco Vice Chair Robert Stockton Western Municipal Water District Secretary Tom Haughey City of Chino Jim Bowman City of Ontario Jasmin Hall Inland Empire Utilities Agency Betty Anderson Jurupa Community Services District J Arnold Rodriguez Santa Ana River Water Company

Directors Absent

None Others Present

Curtis Paxton CDA General ManagerCEO Todd Minten CDA Operations Manager Allison Burns CDA Deputy General Counsel Jose Garcia CDA Principal Accountant Casey Costa CDA Executive Assistant Dave Crosley City of Chino Tom OrsquoNeill City of Ontario Moustafa Aly Jurupa Community Services District Ben Armel Jurupa Community Services District Cindy Miller Hazen amp Sawyer

FLAG SALUTE

The Pledge of Allegiance was led by Director RodriguezSARWC PUBLIC COMMENT ON NON-AGENDA ITEMS

There were no comments oral or written from the public

CDA Special Board of Directors Meeting December 7 2017 Page 2 of 6 ACTION ITEMS 1 MINUTES OF NOVEMBER 2 2017 SPECIAL BOARD MEETING

Motion It was moved by Director AndersonJCSD and seconded by Director BowmanOntario to approve Action Item 1

Motion carried Ayes T HaugheyChino G NewtonNorco J BowmanOntario B AndersonJCSD JA RodriguezSARWC Noes None Absent None Abstained P RogersChino Hills R StocktonWMWD

2 PHASE 3 EXPANSION CLARIFIER SOLIDS TRANSPORT AND MANAGEMENT

AGREEMENT FOR NEW EARTH USA LLC Report by Cindy Miller Phase 3 Expansion Program Manager Staff Recommendation 1 Approve a contract award to New Earth USA LLC for transport and disposal of

clarifier solids at the rate of $5769 per wet ton and

2 Authorize the General ManagerCEO to finalize and execute the Agreement Program Manager Miller reviewed the recommendation to award a contract to New Earth USA LLC for the hauling and disposal of solids generated by the Concentrate Reduction Facility She noted that CDA has a non-exclusive contract with Nursery ProductsSynagro for the same services the New Earth USA contract pricing is slightly lower than Synagro and will allow a second option to allow for flexibility should either company discontinue their services There were no questions or comments Motion It was moved by Director RodriguezSARWC and seconded by Director AndersonJCSD to approve Action Item 2

Motion carried Ayes T HaugheyChino P RogersChino Hills G NewtonNorco J

BowmanOntario B AndersonJCSD JA RodriguezSARWC R StocktonWMWD

Noes None Absent None Abstained None

CDA Special Board of Directors Meeting December 7 2017 Page 3 of 6 3 PHASE 3 EXPANSION PROJECT PURCHASE OF PLUG VALVES FOR THE

CONCENTRATE REDUCTION FACILITY Report by Cindy Miller Phase 3 Expansion Program Manager

Staff Recommendation 1 Approve a Purchase Order to JPR Systems in the amount of $39786472 for the

purchase of Plug Valves for the Concentrate Reduction Facility

Program Manager Miller reviewed the recommendation to approve a Purchase Order for the purchase of Plug Valves for the Concentrate Reduction Facility (CRF) She reported that the CRF is currently offline several plug valves throughout the facility have failed Negotiations are underway with the Contractor to replace the valves under warranty however the valves need to be replaced to bring the facility online Several quotes were requested and only JPR Systems submitted a proposal The intent is to secure funding for the valve purchase by withholding the amount from the Contractorrsquos retention It was questioned what the timeframe would be to receive the plug valves Program Manager Miller responded that some plug valves may be received within 3-4 weeks others will take longer with an outside timeframe of 20 weeks She noted that the facility can operate in the short-term at full capacity with only critical valves replaced in the long term reliable operation will require replacement of all plug valves with a prioritization schedule being developed with JPR Systems There were no further questions or comments Motion It was moved by Director BowmanOntario and seconded by Director StocktonWMWD to approve Action Item 3

4 PHASE 3 EXPANSION PROJECT CONCENTRATE REDUCTION FACILITY

CHANGE ORDERS 26 AND 27 (CDA EXP 3-13-10) Report by Cindy Miller Phase 3 Expansion Program Manager Staff Recommendation 1 Approve Close Out Change Orders 26 and 27 to the construction contract with WM

Lyles Company in the not-to-exceed amount of $1147160

2 Authorize the General ManagerCEO to execute these Change Orders and approve authorized expenditures up to a not-to-exceed total of $49500000

CDA Special Board of Directors Meeting December 7 2017 Page 4 of 6

Program Manager Miller reviewed the staff recommendation to approve the final Close Out Change Orders 26 and 27 for the CRF construction project in the amount of $1147160 Change Order 26 details out-of-scope items and extended overhead that occurred between 93016 and 123116 and Change Order 27 details out-of-scope items and extended overhead that occurred after 123116 The determination for compensable time detailed in Change Orders 25 and 26 totaled 55 calendar days and Change Order 27 totaled 97 calendar days Director StocktonWMWD questioned whether the extended overhead rate includes a profit margin Program Manager Miller replied that the rate includes labor equipment temporary project facilities home office overhead and a 15 markup for labor There were no further questions or comments

Motion It was moved by Director HaugheyChino and seconded by Director AndersonJCSD to approve Action Item 4

5 ELECTION OF OFFICERS OF THE BOARD OF DIRECTORS Report by Curtis D Paxton CDA General ManagerCEO

1 Elect a Chairperson Vice-Chairperson and Secretary of the Board of Directors of

the Chino Basin Desalter Authority for the Calendar Year 2018 Chair RogersChino Hills reviewed the rotation as presented in the agenda package Greg Newton Norco ndash Chairperson Robert StocktonWMWD ndash Vice Chairperson Tom Haughey Chino ndash Secretary

Motion It was moved by Director RodriguezSARWC and seconded by Director AndersonJCSD to appoint Officers as follows Greg Newton Norco ndash Chairperson Robert StocktonWMWD ndash Vice Chairperson Tom Haughey Chino ndash Secretary

6 BOARD OF DIRECTORS COMMITTEE APPOINTMENTS

Staff Recommendation 1 Appoint members of the Board of Directors of the Chino Basin Desalter Authority to

the Finance Committee for calendar year 2018

Chair RogersChino Hills reviewed existing Finance Committee Members Directors from the City of Chino City of Chino Hills and Jurupa Community Services District Each of the Directors from these agencies expressed interest in remaining on the Committee

Motion It was moved by Director BowmanOntario and seconded by Director StocktonWMWD to appoint Directors from the City of Chino City of Chino Hills and Jurupa Community Services District to the Finance Committee for calendar year 2018

Staff Comments

(i) CDA Deputy General Counsel Allison Burns had no comments

(ii) CDA CFOTreasurer Michael Chung was not present

(iii) CDA General ManagerCEO Curtis Paxton had no comments

CDA Special Board of Directors Meeting December 7 2017 Page 6 of 6 CLOSED SESSION The Authority may adjourn to a Closed Session to consider litigation matters personnel matters or other matters as provided for in the Ralph M Brown Act (Section 54950 et seq of the Government Code)

8 CONFERENCE WITH LEGAL COUNSEL ndash ANTICIPATED LITIGATION CONSIDERATION OF INITIATION OF LITIGATION PURSUANT TO GOVERNMENT CODE SECTION 549569(D)(4)

9 CONFERENCE WITH LEGAL COUNSEL ndash GOVERNMENT CODE SECTION

549569(D)(1) EXISTING LITIGATION VIDO ARTUKOVICH AND SON V CHINO BASIN DESALTER AUTHORITY SAN BERNARDINO COUNTY SUPERIOR COURT CASE NO CIVDS1621162

10 IN ACCORDANCE WITH GOVERNMENT CODE SECTION 54957(B) PUBLIC

EMPLOYEE PERFORMANCE EVALUATION

(TITLE GENERAL MANAGERCEO) 11 IN ACCORDANCE WITH GOVERNMENT CODE SECTION 54957(B) PUBLIC

(TITLE LEGAL COUNSEL)

The Board recessed into Closed Session at 218 pm and reconvened at 313 pm There was no reportable action

DIRECTOR COMMENTS

Director NewtonNorco reported that the City of Norco Parade of Lights featuring Mickey Mouse and horses from Disneyrsquos Ranch now located in Norco will take place at 500 pm on Saturday December 16 2017

Director AndersonJCSD reported that she attended the ACWAJPIA Fall Conference from November 27 2017 through November 30 2017 and distributed a report on her attendance at the conference

ADJOURNMENT ndash There being no further business to come before the Board the meeting was adjourned at 316 pm Secretary of the Board of Directorscc

Agenda Item

Prepared by Michael Chung CDA Treasurer Page 1 of 1

Board of Directors [ ] Approved [ ] Continued [ ] Denied

CDA GMCEO Acknowledgement Date

Agenda Report January 4 2018

SECTION CONSENT ITEM

SUBJECT TREASURERrsquoS FINANCIAL AFFAIRS REPORT FOR THE QUARTER ENDED SEPTEMBER 30 2017

RECOMMENDATION The Treasurers Financial Affairs Report for the quarter ended September 30 2017 is an informational item for the Boardrsquos review BACKGROUND In accordance with California State Code Section 53646(b) (1) and the Authorityrsquos Investment Policy a quarterly investment report shall be submitted to members of the Board for review This report includes in part the investment types name of investment institutions maturity dates amount of deposit cost of the investment current market value and rate of interestearnings yield The Treasurers Financial Affairs Report for the quarter ended September 30 2017 is submitted in a format consistent with State requirements Total cash investments and restricted deposits were $26867706 reflecting a decrease of $12410722 compared to the quarter ended June 30 2017 The decrease is primarily due to payment of grant receipts to the Expansion Sponsor Group The investment portfolio rate of return was 12 compared to 93 for the quarter ending in June 30 2017

The report denotes investments transactions that have been executed in accordance with the criteria stated in the Authorityrsquos Investment Policy (Resolution No 2015-01) The item was reviewed and approved by the Finance Committee on December 14 2017 IMPACT ON BUDGET The interest earned on the Authorityrsquos investment portfolio will continue to increase the Authorityrsquos reserves

A Joint Powers Authority

All investment transactions have been executed in accordance with the criteria stated inthe Authoritys Investment Policy (Resolution No 2015-01) adopted by the Chino BasinDesalter Authoritys Board of Directors during its regular meeting held on September 112014 The funds anticipated to be available during the next six-month period are expectedto be sufficient to meet all foreseen expenditures during the period

TREASURERS REPORT OF FINANCIAL AFFAIRS For the Quarter Ended September 30 2017

CHINO BASIN DESALTER AUTHORITYCash and Investment Summary

Quarter Ended September 30 2017

2 of 6

UnrestrictedCash Bank Deposits and September June

Bank Investment Accounts (a) $9901889 $24319285

InvestmentsLocal Agency Investment Fund (LAIF) $3059725 $1055372US Government Sponsored Entities 5946520 5945000 Certificate of Deposits 4942772 4946921 Medium Term Note 3016800 3011850

Total Investments $16965817 $14959143

Total Unrestricted Cash and Investments Available to the Authority $26867706 $39278428

Total Unrestricted Investments and Restricted Deposits as of September 30 2017 $26867706 $39278428

(a) includes $2115232 of Expansion Project Funds and $5976386 of South Archibald Plume Project Funds

3 of 6

Unrestricted Accounts

Demand (Checking) AccountsCitizens Business Bank Demand Sweep Account $1653833Citizens Business Bank Expansion Demand Sweep Account 2115232Citizens Business Bank S Archibald Plume Demand Sweep Account 5976386Citizens Business Bank Payroll Account 54046

US Bank Custodial Account 102392Total Cash Bank Deposits and Bank Investment Accounts $9901889

InvestmentsLAIF Regular Account $3059725Certificate of Deposits $4942772US Government Sponsored Entities $5946520Corporate Medium Term Notes $3016800

Total Investments $16965817

Total Unrestricted Investments and Restricted Deposits as of September 30 2017 $26867706

Total Cash Investments and Restricted Deposits as of 09302017 $26867706Less Total Cash Investments and Restricted Deposits as of 6302017 $39278428

Total Quarterly Increase (Decrease) ($12410722)

Cash Deposits and Bank Investment Accounts

CHINO BASIN DESALTER AUTHORITYCash and Investment Detail

Quarter EndedSeptember 30 2017

4 of 6

Par Principal Term September June Maturity MarketInvestments Amount Amount (Days) Amortization Value Yield Date Value

Unrestricted Accounts DemandSweep Account $1653833 $1653833 NA NA $1653833 050 NA $1653833

Subtotal CBB $1653833 $1653833 $1653833 050 $1653833

Expansion DemandSweep Account $2115232 $2115232 NA NA $2115232 050 NA $2115232Subtotal Expansion CBB $2115232 $2115232 $2115232 050 $2115232

Citizens Business Bank Payroll Checking $54046 $54046 NA NA $54046 NA NA $54046

Subtotal CBB $54046 $54046 $54046 NA $54046

Citizens Business Bank South Archibald Plume Account $5976386 $5976386 NA NA $5976386 050 NA $5976386

Subtotal CBB $5976386 $5976386 $5976386 NA $5976386 US Bank Custodial Account $102392 $102392 NA NA $102392 000 NA $102392

Subtotal USB $102392 $102392 $102392 000 $102392

Total Cash Bank Deposits andBank Investment Accounts $9901889 $9901889 $9901889 $9901889

LAIF AccountsRegular Account $3000000 $3000000 NA NA $3059725 107 NA $3059725

Subtotal LAIF Accounts $3000000 $3000000 $3059725 107 $3059725

Negotiable Certificate of Deposits Ally BK Midvalle Utah $246000 $246000 $246244 145 2132018 $246244Compass BK Birmingham ALA $246000 $246000 $246293 150 2142018 $246293Americas Credit Union $248000 $248000 $247449 110 8142019 $247449Worlds Foremost BK Sydney $200000 $200000 $200444 170 8132018 $200444Citizens Natl BK $248000 $248000 $246053 120 8142019 $246053JP Morgan Chase BK NA $248000 $248000 $246053 120 8142019 $246053Meredith VLG SVGS BK MEREDI $248000 $248000 $246011 115 8142019 $246011Capital One Bank USA $246000 $246000 $247835 200 8122019 $247835Discover Bank $246000 $246000 $247245 195 8122019 $247245BMW Bank of North America $246000 $246000 $247835 200 8142019 $247835First Source Bk South $47000 $47000 $47274 160 8142019 $47274Investors Community Bank $249000 $249000 $250863 170 8142019 $250863State Bank of India - Chicago $246000 $246000 $247879 215 8192019 $247879Capital One NA $246000 $246000 $248878 230 8122020 $248878Goldman Sachs BK USA $246000 $246000 $248876 235 8122020 $248876Everbank Jacksonville FL $246000 $246000 $247159 205 8142020 $247159Comenity Capital BK $249000 $249000 $251911 235 8172020 $251911HSBC Bank USA NA $247000 $247000 $243890 170 2142018 $243890

5 of 6

Synchrony Bank (FKA GE Capital) $248000 $248000 $244831 150 8142020 $244831Wells Fargo Bk NA $249000 $249000 $245825 175 8142019 $245825East Boston Savings Bank $248000 $248000 $243924 150 8142019 $243924

Subtotal Negotiable Certificate of Deposits $4943000 $4943000 $4942772 173 $4942772

US Government Sponsored EntitiesFreddie Mac FHLMC (3134GANW0) $2000000 $2000000 $1955620 1500 10272021 $1955620Freddie Mac FHLMC (3134GBAF9) $2000000 $2000000 $1992500 1750 3292022 $1992500Freddie Mac FHLMC (3134GBDQ2) $2000000 $2000000 $1998400 1750 4202022 $1998400

Subtotal US Govt Sponsored Entities $6000000 $6000000 $5946520 167 $5946520

Medium Term NotesExxon Mobil Corp 1812 $3000000 $3000000 $3016800 1812 3152019 $3016800

Subtotal Medium Term Notes $3000000 $3000000 $3016800 $3016800

Total Investments $16943000 $16943000 $16965817 $16965817

Total Cash Investments and Restricted Deposits as of September 30 2017 $26844889 $26844889 $26867706 $26867706

CHINO BASIN DESALTER AUTHORITYCash and Investment Yield

6 of 6

Cash Bank Deposits Bank Investment Accounts and Directed Investment Category Amount Invested Yield

Investment in the Local Agency Investment Fund $3059725 107US Government Sponsored Entities $5946520 167Certificate of Deposits $4942772 173Investment in Medium Term Note $3016800 181

$16965817 160 Bank Investment AccountsCitizens Business Bank - DemandSweep Account $1653833 050Citizens Business Bank - Expansion DemandSweep Account 2115232 050Citizens Business Bank - S Archibald Plume DemandSweep Account 5976386 050US Bank Custodial Account 102392 000

$9847843 049

Total Investment PortfolioRate of Return $26813660 120

RestrictedTransitoryOther Demand Accounts Amount Invested Yield

Other Accounts - Payroll Account at CBB 54046 NATotal Other AccountsRate of Return $54046 000

Total Authority Directed Deposits $26867706

Agenda Item

Prepared by Michael C Chung CDA Treasurer Page 1 of 1

SUBJECT TREASURERrsquoS REPORT ON GENERAL DISBURSEMENTS RECOMMENDATION Staff recommends that the Board review the attached

1 Check RegisterACHWire Transfers for the period of July 1 2017 through September 30 2017

2 Employeersquos Payroll for July 07 2017 to September 29 2017 BACKGROUND General Account The check register covers voucher numbers 213371 ndash 213512 for a total amount of $78684453 The ACHWire payments for the General Account total $533395468 Expansion Account The check register covers voucher numbers 1348 ndash 1357 for a total amount of $14899968 The ACHWire payments for the Expansion Account total $1919490174 South Archibald Plume Account The check register covers voucher numbers 3004 ndash 3006 for a total amount of $2558500 The ACHWire payments for the S Archibald Plume account total $30291119 Disbursement for the General Expansion and Plume Accounts for check vouchers and ACHWire payments for the period total $2579319682 Payroll Account Total Net Payroll for the period is $11290126 Six employees are currently on the payroll This item was reviewed and approved by the Finance Committee on December 14 2017 IMPACT ON BUDGET The cash held by the Authority is reduced as a result of paying the Authorityrsquos authorized expenditures

1 of 18

Check Date VendorDescription Payment213371 7192017 [1678] ACWA JPIA ( Medical Coverage Member

000845 AUG 2017)406351

213372 7192017 [1662] ALL AMERICAN CRANE MAINTENANCE ( Annual inspection on Chino I Manlift)

213373 7192017 [1674] ASAP INDUSTRIAL SUPPLY ( Parts for safety inspection cogen abandoned piping removal project)

213374 7192017 [1551] CALDESAL ( CalDesal Regular Membership 2017-18)

500000

213375 7192017 [1111] CITIZENS BUSINESS BANK ONTARIO ( Escrow 243288800 Chino I Reliability Project MAY 2017 (Retention for Pascal amp Ludwig Constructors))

163100

213376 7192017 [1359] COUNTY OF RIVERSIDE - COUNTY OF RIVERSIDE ( Enviromental Health Permit Acct Ar0030421 Facility FA0025318)

160100

213377 7192017 [1136] CSRMA (CALIFORNIA SANITATION RISK MANAGMENT AUTHORITY) ( Property Insurance Premium FY1718)

14972493

213378 7192017 [1116] GRISWOLD INDUSTRIES ( Invoices 718417 718418 718419)

391687

213379 7192017 [1283] MERCHANTS BUILDING MAINTENANCE ( Monthly Janitorial Service)

213380 7192017 [1294] MORTON SALT INC ( Invoices 5401344985 5401346385 5401347853 5401348627 5401349350 5401349353 5401349970 5401350913 5401350915 5401352900 5401353694 5401353695 5401353696 5401354750 5401355439 5401355440 5401357695 5401358584)

4948324

213381 7192017 [1391] SEPARATION PROCESSES INC ( FY 1617 - On Call Technical Support Services CI amp CII)

172400

213382 7192017 [1663] SS HERT TRUCKING INC ( Carrier (Freight Cost for Limestone from Specialty Minerals))

213383 7192017 [1409] STAPLES BUSINESS ADVANTAGE ( FY 1617 Office Supplies - Admin)

213384 7312017 [1003] A amp G INSTRUMENT SRVC amp CALIBRATION INC ( For Services in JUL 17 (LaborMileage))

213385 7312017 [1505] ACCUFUND INC ( Set up new Go-Global User - Omaid Azhand)

213386 7312017 [1674] ASAP INDUSTRIAL SUPPLY ( 2 Combo Air Release )

213387 7312017 [1623] ATampT ( Invoices 1259977305 1269977303) 160059213388 7312017 [1063] BAVCO ( Plant Backflow Device Repair Parts) 49317

Chino Basin Desalter AuthorityCheck Register for 07012017 to 09302017

CBB Main Account

2 of 18

Check Date VendorDescription Payment

CBB Main Account

213389 7312017 [1069] BLAS LOZANOS BACKFLOW TESTING ( Backflow Testing)

100792

213390 7312017 [1071] JIM W BOWMAN ( BM STIPEND 7617) 15000213391 7312017 [1458] BRIGHTVIEW LANDSCAPE SERVICES (FORMERLY

VALLEYCREST LNDSCP MAINT) ( FY 1617 $30420monthLandscapingWeedPest Control for Chino I (no wells))

213392 7312017 [1185] BUSINESS CARD ( Business Card Transactions Acct 4738 JUNE17)

213393 7312017 [1660] CAMERON WELDING SUPPLIES ( Propane and Tools)

213394 7312017 [1111] CITIZENS BUSINESS BANK ONTARIO ( Escrow 243288800 Chino I Reliability Project JUN 2017 (Retention for Pascal amp Ludwig Constructors))

995900

213395 7312017 [1112] CITY RENTALS INC ( Fork Lift Propane) 3576213396 7312017 [1530] CONCENTRA MEDICAL CENTERS - Occupational

Health Centers of California ( Preemployment Physical Account N23-0940201971)

213397 7312017 [1127] CONSOLIDATED ELECTRICAL DISTRIBUTOR ( Parts)

106134

213398 7312017 [1171] EMERALD LANDSCAPE SERVICES INC ( Maint Service - July I-13 I-14 I-15)

213399 7312017 [1184] FEDERAL EXPRESS CORP ( Express Shipping) 9485213400 7312017 [1116] GRISWOLD INDUSTRIES ( Invoices 719393

719395)437339

213401 7312017 [1212] HACH COMPANY ( Various Chemicals) 24496213402 7312017 [1212] HACH COMPANY ( Sample Cell) 16419213403 7312017 [1212] HACH COMPANY ( Reagent Set Chlorine ) 36157213404 7312017 [1583] HAUGHEY TOM ( BM STIPEND 7617) 15000213405 7312017 [1222] HOME DEPOT CREDIT SERVICES ( Supplies) 201462213406 7312017 [1229] ICMA RETIREMENT TRUST ( Invoices 40313

40564)50000

213407 7312017 [1685] IN-SITU INC ( Misc Cables) 76394213408 7312017 [1568] JPR SYSTEMS INC ( Invoices 24077 24083) 29768213409 7312017 [1252] KONICA MINOLTA ( FY 1617 Copier Lease -

Admin CI and CII)60461

213410 7312017 [1253] KONICA MINOLTA BUSINESS SOLUTIONS I ( Photocopier Maintenance and Supplies JUN17)

3 of 18

CBB Main Account

213411 7312017 [1294] MORTON SALT INC ( Invoices 5401344082 5401345664 5401351855 5401352897 5401352898 5401353691 5401353692 5401354748 5401354749 5401355941 5401356805 5401361178 5401362110 5401362882 5401362883 5401362884 5401364692 5401366281 5401367380 5401367381 540136)

5740583

213412 7312017 [1351] RAM FIBERGLASS INC ( Provided Labor Material and Small Tools to Install (4) 3 Flanged Nozzles on Fiberglass Tank at Chino 1 Including Labor Mileage Materials Equipment Supplies)

571627

213413 7312017 [1668] RANCHO DEL CHINO ROTARY ( Quarterly Membership)

213414 7312017 [1373] REFRIGERATION SUPPLIES DISTRIBUTOR (RSD) ( INS 4 X 50A ASTROFOIL)

213415 7312017 [1401] SOUTHWEST ALARM SERVICE ( Upgrade 22 CDA Well Sites)

245504

213416 7312017 [1663] SS HERT TRUCKING INC ( Invoices 039922 039923 040171 040279)

200846

213417 7312017 [1411] STATE COMPENSATION INSURANCE FUND ( Wokers Comp Policy 1966957 - 17 Total Base Premium JUL17)

213418 8032017 [1678] ACWA JPIA ( Medical Coverage Member 000845 SEPT 2017)

406351

213419 8032017 [1112] CITY RENTALS INC ( Boom Lift Platform) 162508213420 8032017 [1127] CONSOLIDATED ELECTRICAL DISTRIBUTOR (

Parts)8972

213421 8032017 [1184] FEDERAL EXPRESS CORP ( Express Shipping) 3196213422 8032017 [1461] FRONTIER CALIFORNIA INC (FORMERLY

VERIZON CALIF) ( Acct 209-188-2983-112102-5 JUL2017 Phone and Data - CI)

111031

213423 8032017 [1250] KING LEE CHEMICAL CO ( CIP Chemical KL 1000 and KL 1050)

635199

213424 8032017 [1294] MORTON SALT INC ( Invoices 5401354751 5401371185 5401372043 5401372044)

1111725

213425 8032017 [1663] SS HERT TRUCKING INC ( Invoices 040528 040529)

100854

213426 8032017 [1409] STAPLES BUSINESS ADVANTAGE ( Office Supplies - Admin)

213427 8032017 [1416] STRADLING YOCCA CARLSON amp RAUTH ( Invoices 327452-0000 327455-0044)

752684

4 of 18

CBB Main Account

213428 8102017 [1628] CHINO MFG amp REPAIR INC ( Custom Back Flow Devise Gaurd Installation)

189300

213429 8102017 [1184] FEDERAL EXPRESS CORP ( Express Shipping) 2300213430 8102017 [1595] FRONTIER TECHNOLOGY LLC dba MICROAGE (

Cisco Smartnet Extended Service Agreement )51514

213431 8102017 [1484] INLAND EMPIRE UTILITIES AGENCY ( Correction for OampM Labor Charges)

213432 8102017 [1294] MORTON SALT INC ( FY 1617 (Oct16-Sept17) Bulk Salt)

279180

213433 8102017 [1516] PITNEY BOWES PURCHASE POWER ( FY 1617 Postage )

213434 8102017 [1391] SEPARATION PROCESSES INC ( FY 1617 On Call Technical Support Services CI amp CII)

608100

213435 8102017 [1416] STRADLING YOCCA CARLSON amp RAUTH ( Invoices 328444-0000 328445-0012 328458-0044)

1922972

213436 8172017 [1030] AMP MECHANICAL INC ( Invoices 16759A 16849A)

247400

213437 8172017 [1185] BUSINESS CARD ( Business Card Transactions Acct 4738 JUL17)

343209

213438 8172017 [1138] CUSTOM SERVICE SYSTEMS ( JULY 17 Janitorial Svc - CII)

213439 8172017 [1171] EMERALD LANDSCAPE SERVICES INC ( AUG17 Landscape Maintenance for Wells I-13 I-14 and I-15)

213440 8172017 [1190] FIREMASTER ( Annual inspection - Fire extinguisher and e-light inspection and maintenance)

213441 8172017 [1461] FRONTIER CALIFORNIA INC (FORMERLY VERIZON CALIF) ( AUG17 Acct 209-188-2983-112102 Phone and Data - CI)

112657

213442 8172017 [1685] IN-SITU INC ( Misc Cables ) 36076213443 8172017 [1250] KING LEE CHEMICAL CO ( Bulk Y2K Inhibitor) 1127113213444 8172017 [1294] MORTON SALT INC ( Invoices 5401375143

5401375987 5401377667)819411

213445 8172017 [1411] STATE COMPENSATION INSURANCE FUND ( Wokers Comp Policy 1966957 - 17 Total Base Premium AUG17)

213446 8242017 [1623] ATampT ( Invoices 7600447301 8880408303) 160059213447 8242017 [1047] ATampT MOBILITY ( JUL 17 - Acct 287254096178

Cell Service for IPad issued to C Paxton)3185

213448 8242017 [1503] BS POOL SUPPLY ( 55 Gallon Drum Liquid pool Chlorine Bleach)

5 of 18

CBB Main Account

213449 8242017 [1641] CANNON ( On-Call Electrical Engineering Services At CII)

358625

181559

213451 8242017 [1138] CUSTOM SERVICE SYSTEMS ( FY 1718 Janitorial Svc - CII)

213452 8242017 [1684] HERCULES INDUSTRIES INC ( Keys) 39011213453 8242017 [1222] HOME DEPOT CREDIT SERVICES ( Invoices CI amp

CII 617 CI 717 CII 717)511879

213454 8242017 [1252] KONICA MINOLTA ( FY 1718 Copier Lease - Admin CI and CII)

213455 8242017 [1253] KONICA MINOLTA BUSINESS SOLUTIONS I ( Photocopier Maintenance and Supplies JUL17)

213456 8242017 [1283] MERCHANTS BUILDING MAINTENANCE ( FY1718 Janitorial $41022mo - CI Operations Bldg JUL 17)

5800733

213458 8242017 [1401] SOUTHWEST ALARM SERVICE ( CI Wells Monthly Service and Monitoring FY 201718)

429632

213461 8242017 [1652] U S HOSE ( Invoices 0130960-IN 0130967-IN) 2875213462 8242017 [1688] WEST COAST EQUIPMENT LLC ( Inspection Of

Tires For Damage And Safety)11314

213463 9012017 [1503] BS POOL SUPPLY ( Liquid Pool Chlorine) 22430213464 9012017 [1458] BRIGHTVIEW LANDSCAPE SERVICES (FORMERLY

213465 9012017 [1628] CHINO MFG amp REPAIR INC ( Grating Panel Repair)

213466 9012017 [1111] CITIZENS BUSINESS BANK ONTARIO ( Escrow 243288800 Chino I Reliability Project JUL 2017 (Retention for Pascal amp Ludwig Constructors))

716100

6 of 18

CBB Main Account

213468 9012017 [1692] DAVID SCHULTZ dba DMS ENGINEERING ( Misc Labor)

840000

213469 9012017 [1294] MORTON SALT INC ( Invoices 5401357692 5401360361 5401383501 5401384331 5401384333 5401385098 5401385099 5401385924)

2186292

213470 9012017 [1343] PUMP ENGINEERING ( Complete Fluid End Kit) 116048213471 9142017 [1505] ACCUFUND INC ( AF Hosted Users Module

Charges and Hosted Access OCT17-DEC17)451800

213472 9142017 [1678] ACWA JPIA ( Medical Coverage Member 000845 OCT 2017)

410551

213473 9142017 [1021] ALLIANT INSURANCE SERVICES INC ( SLIP-Special Liability Insurance)

5951248

213474 9142017 [1044] AQUASYSTEC ( PSTurnouts Start-up SCADA Support)

222000

213475 9142017 [1112] CITY RENTALS INC ( Fork Lift Propane ) 2126213476 9142017 [1184] FEDERAL EXPRESS CORP ( Express Shipping) 3235213477 9142017 [1595] FRONTIER TECHNOLOGY LLC dba MICROAGE (

CDA Office Telephone System Replacement (Cisco BE4K w3yr licensing and phones))

134680

213478 9142017 [1250] KING LEE CHEMICAL CO ( Pretreat Plus Y2K Bulk Liquid Antiscalant)

3337427

213479 9142017 [1283] MERCHANTS BUILDING MAINTENANCE ( FY1718 Janitorial $41022mo - CI Operations Bldg AUG 17)

213480 9142017 [1294] MORTON SALT INC ( Invoices 5401384195 5401385923 5401386568 5401386569 5401387585 5401387589 5401389173 5401389841 5401390659)

2194152

213481 9142017 [1330] PITNEY BOWES INC ( FY 1718 Postage Machine Rental)

484141

213483 9142017 [1693] SOUTHERN CALIFORNIA OVERHEAD DOOR CO INC ( Technician Repairs)

213484 9142017 [1411] STATE COMPENSATION INSURANCE FUND ( Wokers Comp Policy 1966957 - 17 Total Base Premium SEPT17)

7 of 18

CBB Main Account

213485 9142017 [1624] THE PRESS ENTERPRISE ( Account 5210076 Legal Advertising Memo Invoice)

213486 9212017 [1021] ALLIANT INSURANCE SERVICES INC ( SLIP TRIA (Terrorism Coverage) Premium -Special Liability Insurance)

291036

247400

213488 9212017 [1037] APPLIED SPECTROMETRY ASSOC INC (CHEMSCAN) ( 10 Inlet Assemblies)

213489 9212017 [1665] AUTOMATED GATE SERVICES INC ( Diagnosed gate operator that someone attempted to steal rewired all equipment and tested for proper operation)

213490 9212017 [1458] BRIGHTVIEW LANDSCAPE SERVICES (FORMERLY VALLEYCREST LNDSCP MAINT) ( FY 1718 $30420monthLandscapingWeedPest Control for Chino I (no wells))

213491 9212017 [1185] BUSINESS CARD ( Business Card Transactions Acct 4738 AUG17)

213492 9212017 [1094] CHAMPION FIRE SYSTEMS INC ( Sprinkler System Test amp Annual Water Flow test)

114500

213493 9212017 [1171] EMERALD LANDSCAPE SERVICES INC ( SEPT17 Landscape Maintenance for Wells I-13 I-14 and I-15)

213494 9212017 [1184] FEDERAL EXPRESS CORP ( Express Shipping) 3290213495 9212017 [1294] MORTON SALT INC ( Invoices 5401393010

5401393698 5401393699 5401393700 5401394515 5401394516 5401396380 5401396381 5401397172 5401397173 5401398569)

3061638

213496 9212017 [1648] RELEVANT SOLUTIONS INC LLC ( Small cartridge filter order to bring full set to switch out)

213497 9212017 [1041] SOUTH COAST AQMD ( Invoices 3160669 3160670 3160671 3160672 3160673 3160674 3160675 3160676 3160677 3160678 3160679 3163928 3163929 3163930 3163931 3163932 3163933 3163934 3163935 3163936 3163937 3163938)

556314

213498 9212017 [1409] STAPLES BUSINESS ADVANTAGE ( Invoices 8046161533 Admin 8046161533 CI 8046366466)

213499 9212017 [1416] STRADLING YOCCA CARLSON amp RAUTH ( Invoices 329532-0000 329534-0040 329535-0043 329536-0044)

5440464

8 of 18

CBB Main Account

213500 9212017 [1445] ULINE ( Invoices 89658481 89719080 89920507)

213501 9282017 [1044] AQUASYSTEC ( FY 1718 SCADA Controls Programming I T)

348000

213502 9282017 [1623] ATampT ( Invoices 3391087307 5989697308) 160242213503 9282017 [1047] ATampT MOBILITY ( FY 1718 Acct 287254096178

213505 9282017 [1667] EampM ELECTRIC amp MACHINERY dba WONDERWARE CALIFORNIA ( Wonderware Upgrades)

1309224

213506 9282017 [1172] EMERSON PROCESS MANAGEMENT POWER amp WATER SOLUTIONS INC ( SCADA Radio Survey amp Equipment - Wells 1-4 amp 6-7 (CIP))

175750

126963

213509 9282017 [1253] KONICA MINOLTA BUSINESS SOLUTIONS I ( AUG17 Photocopier Maintenance and Supplies )

213510 9282017 [1694] MITECH CONTROLS INC ( 12 FNPT SS Check Valve with 10 PSI Cracking Pressure)

213511 9282017 [1294] MORTON SALT INC ( FY 1718 Bulk Salt) 281267213512 9282017 [1672] SYNAGRO WWT INC dba NURSERY PRODUCTS

LLC ( CRF Clarifier Solids Hauling and Management)141642

Total Checks 78684453

EFT 7032017 [1168] SOUTHERN CALIFORNIA EDISON ( PMT Auto EFT) 457195

EFT 7032017 [1598] RCWRF INVESTMENT INC ( Office Rent and Estimated CAM Charges - JUL 2017 Rent (050116 to 73117 $335112 +21169))

356281

EFT 7032017 [1325] CURTIS PAXTON ( Cell Phone JUL 17 ) 10000EFT 7062017 [1326] PAYCOM PAYROLL LLC ( Payroll taxes and

Paycom Fee PP2017_14)568283

9 of 18

CBB Main Account

EFT 7072017 [1229] ICMA RETIREMENT TRUST ( 401a Retirement Contribution (EREE))

324862

EFT 7072017 [1229] ICMA RETIREMENT TRUST ( 457 Retirement Contribution (EREE))

100000

EFT 7132017 [1101] CITY OF CHINO ( Acct 194298 Water Consumption - 6905 Kimball Ave MAY17)

179726

EFT 7132017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Acct 31105-1 Cedar Creek Service MAY17)

EFT 7132017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Account 31560-1 Harrel MAY17)

EFT 7132017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Acct 31103-1 BAY CIR Service MAY17)

EFT 7192017 [1481] BRENNTAG PACIFIC INC ( FY1617 Bulk Sulfuric Acid)

413606

EFT 7192017 [1484] INLAND EMPIRE UTILITIES AGENCY ( Lab Analysis Fees May)

409850

EFT 7192017 [1426] TENSOR ID INC ( Contracted hourly rate) 332500EFT 7192017 [1429] THE SOCO GROUP INC ( Oil for plant motors) 94732EFT 7192017 [1046] READY REFRESH BY NESTLE ( FY 2016-17

Analyzer and Drinking Water)7365

EFT 7192017 [1102] CITY OF CHINO HILLS ( FY 1617 Maintenance Charges for Pump Station at 4616 Soquel Canyon)

EFT 7192017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Prod Wtr Capacity Improvmnt amp PEMB MAY17)

761790

EFT 7192017 [1199] GENERAL PUMP COMPANY INC ( Invoices 25806 25823 25824)

8774559

EFT 7192017 [1201] GEOSCIENCE SUPPORT SERVICES INC ( Analysis of Vernola Ranch Wells through Jun 17)

159200

10 of 18

CBB Main Account

EFT 7192017 [1273] MARTEK DIVERSE AUTOMATION SOLUTIONS ( Invoices 3430 3436 3439 3440 3441 3442 3446 3447 3448 3449 3450 3455 3456 3460)

932100

EFT 7192017 [1383] SANTA ANA WATERSHED PROJECT AUTHORITY ( Invoices 9053 9066 9067)

14057718

EFT 7192017 [1346] PURE PROCESS FILTRATION INC ( Filters) 498814EFT 7192017 [1346] PURE PROCESS FILTRATION INC ( Filters) 229670EFT 7192017 [1328] PEST OPTIONS INC ( Invoices 279245 279421) 57800EFT 7192017 [1322] PASCAL amp LUDWIG CONSTRUCTORS ( Chino I

Reliabillity Project MAY 2017 (Retention w Citizens Business Bank Ontario))

3099800

EFT 7192017 [1325] CURTIS PAXTON ( Reimbursement CALPERS Appeal Hearing Sacramento)

EFT 7202017 [1690] STATE OF CALIFORNIA OFFICE OF THE TREASURER LAIF ( Investment Transfer (Demand Deposit))

200000000

100000

EFT 7202017 [1326] PAYCOM PAYROLL LLC ( Payroll Taxes and Paycom Fee PP2017_15)

661972

EFT 7212017 [1229] ICMA RETIREMENT TRUST ( 401a Retirement Contribution (EREE) )

324862

EFT 7272017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Account 36737-4 DOM HARREL srv JUN 2017)

EFT 7312017 [1481] BRENNTAG PACIFIC INC ( Invoices BPI738330 BPI739263 BPI740251 BPI741842 BPI743263 BPI743643 BPI744345 BPI746079 BPI750452)

4006525

EFT 7312017 [1484] INLAND EMPIRE UTILITIES AGENCY ( OampM Labor (Non-Expansion) CIP MAY 17)

EFT 7312017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JASMIN HALL BOARD STIPEND 7617)

EFT 7312017 [1032] BETTY ANN ANDERSON ( BM STIPEND 7617) 15000EFT 7312017 [1046] READY REFRESH BY NESTLE ( Distilled and

Drinking Water )8423

11 of 18

CBB Main Account

EFT 7312017 [1644] MISSISSIPPI LIME COMPANY ( Hydrated Lime CaOH2)

991134

EFT 7312017 [1522] NEWTON GREG R ( BM STIPEND 7617) 15000EFT 7312017 [1600] SUPERIOR SWEEPING LTD ( Monthly Sweeping

Service JUL 17)28500

EFT 7312017 [1215] HARRINGTON INDUSTRIAL PLASTICS LLC ( Invoices 0121I0887 0121I0888 0121I0964 0121I0965 012I0231 012I0275 012I0372 012I0450 012I0501 012I0567 012I0740 012I0808 012I0845 012I0846 012I1078)

586185

EFT 7312017 [1281] MCMASTER-CARR SUPPLY CO ( Stainless Steel Extra-Wide Head Screw for High Pressure Applications)

EFT 7312017 [1273] MARTEK DIVERSE AUTOMATION SOLUTIONS ( Invoices 3413 3453 3457 3458 3459)

607522

EFT 7312017 [1383] SANTA ANA WATERSHED PROJECT AUTHORITY ( Invoices 9085 9086)

16871343

EFT 7312017 [1382] SANTA ANA RIVER WATER CO ( JA RODRIGUEZ BOARD MEETING STIPEND 7617)

EFT 7312017 [1372] ROYAL WHOLESALE ELECTRIC ( Electrical Parts amp Misc Supplies)

EFT 7312017 [1366] PETER J ROGERS ( BM STIPEND 7617) 15000EFT 7312017 [1206] GRAINGER INC ( Invoices 9472386920

9473781723 9477653696 9486523484 9489919812)170354

EFT 7312017 [1316] OLIN CORPORATION ( Invoices 2351091 2357204)

1166233

EFT 7312017 [1322] PASCAL amp LUDWIG CONSTRUCTORS ( Chino I Reliabillity Project JUN 2017 (Retention w Citizens Business Bank Ontario))

18920800

EFT 7312017 [1328] PEST OPTIONS INC ( Invoices 281009 281178) 57800EFT 7312017 [1305] NEXGEN UTILITY MANAGEMENT INC ( Metal

Craft and Training )500000

EFT 8012017 [1598] RCWRF INVESTMENT INC ( Office Rent and Estimated CAM Charges - AUG)

356281

EFT 8022017 [1325] CURTIS PAXTON ( Cell Phone AUG 17) 10000EFT 8032017 [1046] READY REFRESH BY NESTLE ( FY 2016-17

EFT 8032017 [1115] CIVICPLUS ( FY1718 Annual Fee Hosting Support and Maintenance for chinodesalterorg website)

182326

12 of 18

CBB Main Account

EFT 8032017 [1093] CERTIFIED AIR SERVICES INC ( Invoices 8916 8917)

EFT 8032017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Prod Wtr Capacity Improvmnt amp PEMB JUN17)

4302822

EFT 8032017 [1281] MCMASTER-CARR SUPPLY CO ( Invoices 39284637 39786959)

EFT 8032017 [1273] MARTEK DIVERSE AUTOMATION SOLUTIONS ( Invoices 3461 3462 3464 3468 3470 3473 3477 3479)

863580

EFT 8032017 [1346] PURE PROCESS FILTRATION INC ( Filters) 186404EFT 8032017 [1326] PAYCOM PAYROLL LLC ( Payroll taxes and

paycom Fee PP2017_16)422156

100000

EFT 8042017 [1229] ICMA RETIREMENT TRUST ( 401a Retirement Contribution)

324862

EFT 8102017 [1484] INLAND EMPIRE UTILITIES AGENCY ( Lab Analysis Fees JUN)

300920

EFT 8102017 [1424] SUPERIOR WATER TECHNOLOGIES ( Remove and replace broken water boost pump running PSI = 25 FLOW OK 225 AMP AND VOLTS)

196814

EFT 8102017 [1052] BABCOCK LABORATORIES INC ( Invoices CI 0417 CI 0517 CI 0717)

3429000

EFT 8102017 [1073] BRITHINEE ELECTRIC ( Power Meter (Supply and Installation Charge))

1090148

EFT 8102017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Operational Costs - Apr-Jun 2017)

19577377

EFT 8102017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Account 31105-1 Cedar Creek Src AUG17)

EFT 8102017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Acct 31103-1 BAY CIR Service JUN17)

EFT 8102017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Acct 31104-1 Blue Ribbon JUN17)

EFT 8102017 [1215] HARRINGTON INDUSTRIAL PLASTICS LLC ( Invoices 012I0298 012I0607 012I0739)

507735

13 of 18

CBB Main Account

EFT 8102017 [1206] GRAINGER INC ( Invoices 9465973874 9468056719 9469429196 9470149429 9477048137 9481283548 9482110104 9484225322 9495718026 9499469915 9501881933 9502061162 9505632209 9508998490)

273160

939614

EFT 8142017 [1168] SOUTHERN CALIFORNIA EDISON ( 2-36-669-5435 Milliken Pump Station JUL17)

EFT 8152017 [1168] SOUTHERN CALIFORNIA EDISON ( Acct 2-26-881-3490 JUL 2017)

2231095

EFT 8152017 [1168] SOUTHERN CALIFORNIA EDISON ( 2-36-150-0200 Wells 16172021 JUL17)

685427

EFT 8152017 [1168] SOUTHERN CALIFORNIA EDISON ( Acct 2-33-612-2536 JUL17)

EFT 8172017 [1441] US BANK ( Invoices 4673630 4707204 4707267) 445000

EFT 8172017 [1046] READY REFRESH BY NESTLE ( JULY17 Analyzer and Drinking Water)

EFT 8172017 [1052] BABCOCK LABORATORIES INC ( JUNE17 Lab Analysis - CI)

231500

EFT 8172017 [1101] CITY OF CHINO ( Acct 194298 water Consumption - 6905 Kimball Ave Jun17)

208638

EFT 8172017 [1600] SUPERIOR SWEEPING LTD ( Monthly Sweeping Service AUG 17)

EFT 8172017 [1273] MARTEK DIVERSE AUTOMATION SOLUTIONS ( Invoices 3465 3469 3474 3475 3476 3480)

658656

EFT 8172017 [1215] HARRINGTON INDUSTRIAL PLASTICS LLC ( Invoices 012I0807 012I0810 012I0925 012I1008 012I1267 012I1313 012I1378 012I1379 012I1649 12I0809 12I1135)

515884

EFT 8172017 [1206] GRAINGER INC ( Invoices 9470112245 9502061154)

462139

EFT 8172017 [1328] PEST OPTIONS INC ( FY1617 Ch I Pest Control and Well Weed abatement)

120000

328990

14 of 18

CBB Main Account

EFT 8212017 [1168] SOUTHERN CALIFORNIA EDISON 19177229EFT 8242017 [1052] BABCOCK LABORATORIES INC ( Invoices CII

0417 CII 0517 CII 0617 CII 0717)3025700

EFT 8242017 [1281] MCMASTER-CARR SUPPLY CO ( Invoices 40572679 41419854 42964203)

EFT 8242017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Account 36737-4 Dom Harrel srv JUL 2017)

EFT 8242017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Account 31560-1 Harrel JUL17)

EFT 8242017 [1206] GRAINGER INC ( Invoices 9509724341 9509724358 9512109977 9512638520 9513133679 9513459967 9517985595 9517985603 9518359246 9518476891 9518853057 9519093513 9523585553)

308186

EFT 8242017 [1215] HARRINGTON INDUSTRIAL PLASTICS LLC ( Invoices 012I1240 012I1314 012I1434 012I1568 012I1681 012I1731 012I1764)

248194

EFT 8292017 [1168] SOUTHERN CALIFORNIA EDISON ( Srvc Acct 03-025-9129-93 AUG17)

728645

572771

EFT 9012017 [1481] BRENNTAG PACIFIC INC ( Invoices BPI259662 BPI728747 BPI739262 BPI744958 BPI747119 BPI747120 BPI749986 BPI751815 BPI752142 BPI752938 BPI754684 BPI755069 BPI756240 BPI756528 BPI758058 BPI759984)

5766916

EFT 9012017 [1670] ARCHICO DESIGN BUILD INC ( Chino II Pre-Engineered Metal Storage Building MAY 17 5)

2151676

EFT 9012017 [1049] AVISTA TECHNOLOGIES ( Liquid Scale and Silica Inhibitor)

1102723

EFT 9012017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Prod Wtr Capacity Improvmnt amp PEMB JUL17)

907138

EFT 9012017 [1598] RCWRF INVESTMENT INC ( Office Rent and Estimated CAM Charges - SEPT 2017)

356281

EFT 9012017 [1229] ICMA RETIREMENT TRUST ( 457 Retirement Contribution )

120000

328990

EFT 9012017 [1273] MARTEK DIVERSE AUTOMATION SOLUTIONS ( Invoices 3481 3482 3487 3488 3489 3490 3492 3493 3494)

946292

15 of 18

CBB Main Account

EFT 9012017 [1316] OLIN CORPORATION ( Sodium Hydroxide Solution (50))

554771

131271

EFT 9012017 [1322] PASCAL amp LUDWIG CONSTRUCTORS ( Chino I Reliabillity Project JUL 2017 (Retention w Citizens Business Bank Ontario))

13606100

EFT 9012017 [1328] PEST OPTIONS INC ( Invoices 282696 282875) 57800EFT 9052017 [1325] CURTIS PAXTON ( Cell Phone SEPT 17) 10000EFT 9072017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Acct

31104-1 Blue Ribbon JUL17)5504

EFT 9072017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Acct 31105-1 Cedar Creek Src JUN17)

EFT 9072017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Acct 31103-1 BAY CIR Service JUL17)

EFT 9112017 [1168] SOUTHERN CALIFORNIA EDISON ( Acct 2-23-647-4011 JUN17)

47564376

EFT 9112017 [1168] SOUTHERN CALIFORNIA EDISON ( 2-36-669-5435 Milliken Pump Station AUG17)

EFT 9132017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUL17 OampM General (Non-Expansion))

232000

EFT 9132017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUN17 OampM General (Non-Expansion) )

179650

EFT 9132017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUN17 CIP Labor (Non-Expansion))

641178

EFT 9132017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUN17 OampM Labor (Non-Expansion))

8933998

EFT 9132017 [1484] INLAND EMPIRE UTILITIES AGENCY ( Lab Analysis Fees JUL)

263590

EFT 9132017 [1481] BRENNTAG PACIFIC INC ( Invoices BPI762717 BPI762926 BPI764840)

1188655

EFT 9132017 [1046] READY REFRESH BY NESTLE ( AUG17 Analyzer and Drinking Water)

EFT 9132017 [1052] BABCOCK LABORATORIES INC ( FY 1617 Lab Analysis - CII)

EFT 9132017 [1073] BRITHINEE ELECTRIC ( ControlField Service Labor)

EFT 9132017 [1524] NOBEL SYSTEMS ( Cost of Migration from GeoViewer 8 to GeoViewer 9)

300000

EFT 9132017 [1093] CERTIFIED AIR SERVICES INC ( Invoices 9006 9007 9008 9009)

16 of 18

CBB Main Account

EFT 9132017 [1510] TODD MINTEN ( Invoices MINTEN 0917 AWWA MINTEN 0917 MILEAGE)

257136

EFT 9132017 [1281] MCMASTER-CARR SUPPLY CO ( Precision Extreme-Pressure 316 Stainless Steel Fitting )

EFT 9132017 [1273] MARTEK DIVERSE AUTOMATION SOLUTIONS ( Invoices 3495 3496 3497)

385441

EFT 9132017 [1227] HUNGERFORD amp TERRY INC ( Brine Collector Laterals )

1570945

EFT 9132017 [1206] GRAINGER INC ( Invoices 9542206306 9542723441 9543550181)

16559495

EFT 9132017 [1215] HARRINGTON INDUSTRIAL PLASTICS LLC ( Invoices 012I1312 012I1497 012I1680 012I2008 012I2275)

333571

EFT 9142017 [1101] CITY OF CHINO ( Acct 194298 Water Consumption - 6905 Kimball Ave JUL17)

170552

537957

EFT 9152017 [1229] ICMA RETIREMENT TRUST ( 457 Retirement COntribution )

300000

335943

EFT 9182017 [1168] SOUTHERN CALIFORNIA EDISON ( Acct 2-26-881-3490 AUG 2017)

1948200

EFT 9182017 [1168] SOUTHERN CALIFORNIA EDISON ( Acct 2-36-150-0200 Wells 16172021 AUG17)

619922

EFT 9182017 [1168] SOUTHERN CALIFORNIA EDISON ( Acct 2-33-612-2536 AUG17)

18714073

EFT 9212017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUL17 CIP Labor (Non-Expansion))

812722

EFT 9212017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUL17 OampM Labor (Non-Expansion))

9322986

EFT 9212017 [1481] BRENNTAG PACIFIC INC ( Invoices BPI263146 BPI767545)

291277

EFT 9212017 [1424] SUPERIOR WATER TECHNOLOGIES ( New Clortech CT450 Onsite Generation System Bleach Generator)

4936351

17 of 18

CBB Main Account

EFT 9212017 [1073] BRITHINEE ELECTRIC ( Invoices WI004855 WI005106)

852200

EFT 9212017 [1206] GRAINGER INC ( Invoices 9531122670 9535321617 9535321625 9535520788 9541590049)

102350

EFT 9212017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( CDA Share for Betty Anderson - ACWA JPIA 2017 Fall Conference)

EFT 9212017 [1403] SPARLING INSTRUMENTS LLC ( Restored Meter BodyTube)

143236

EFT 9212017 [1207] GRAYBAR ELECTRIC CO ( FY1617 Supplies) 3373211EFT 9212017 [1215] HARRINGTON INDUSTRIAL PLASTICS LLC (

Invoices 012I0744 012I0895 012I1322 012I2426)61481

459170

EFT 9282017 [1424] SUPERIOR WATER TECHNOLOGIES ( ClorTec CT-1000 Cell Refurbishment)

1571511

EFT 9282017 [1046] READY REFRESH BY NESTLE ( FY 1718 Drinking Water Service)

EFT 9282017 [1670] ARCHICO DESIGN BUILD INC ( Chino II Pre-Engineered Metal Storage Building SEP 2017 Retention Release)

3286902

1414600

EFT 9282017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Prod Wtr Capacity Improvmnt amp PEMB AUG17)

1587600

EFT 9282017 [1096] CHEMSEARCH ( Floor-Tuff Light Gray W Catalyst)

122992

EFT 9282017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Account 31560-1 Harrel AUG17)

EFT 9282017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Account 36737-4 DOM Harrel srv AUG 2017)

617680

18 of 18

CBB Main Account

120000

185408

Total EFTs 533395468

Total 612079921

Total Checks 78684453Total EFTs 533395468

1 of 3

Check Date VendorDescription Payment1348 7192017 [1689] HAZEN AND SAWYER ( CDA Ph 3 Expansion

Program Mgmt APR-MAY17)4222500

308000

1350 7192017 [1518] TOM DODSON amp ASSOCIATES ( Environmental Support Services - PWP HDD Project)

312656

1351 8032017 [1672] SYNAGRO WWT INC dba NURSERY PRODUCTS LLC ( CRF Clarifier Solids Hauling and Management )

1821765

1352 8172017 [1689] HAZEN AND SAWYER ( CDA Ph 3 Expansion Program Mgmt JUN17)

3258000

1275510

1355 8312017 [1689] HAZEN AND SAWYER ( CDA Ph 3 Expansion Program Mgmt JUL17)

2511000

1356 8312017 [1318] PACIFIC WESTERN BANK ( ESCROW 1001339488 - Well Equipping - Well II-10 II-11 PE 13 Retention (Cora Const) MAY17)

698239

462298

EFT 8012017 [1102] CITY OF CHINO HILLS ( Grant Reimbursement CDPH Grant 12 - Chino I Reliability Project)

12951700

EFT 8012017 [1101] CITY OF CHINO ( Grant Reimbursement CDPH Grant 12 - Chino I Reliability Project)

15418600

EFT 7192017 [1484] INLAND EMPIRE UTILITIES AGENCY ( OampM Expansion Grant Admin Labor MAY 17)

902856

EFT 7192017 [1090] CAROLLO ENGINEERS ( Chino CRF Engineering Srvc MAY 17)

3500000

EFT 7192017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Ph3 Expansion May17)

2217610

EFT 7192017 [1017] ALBERT A WEBB ASSOCIATES ( Design Three Wells Equipping 8107-001 MAY17)

169575

EFT 8032017 [1629] FERREIRA CONSTRUCTION CO INC ( Raw Water Intertie Pipeline Project PE 12 (Escrow Citizens Business Bank Pasadena) JUL17)

14121158

EFT 8032017 [1248] KENNEDYJENKS CONSULTANTS INC ( Grant Support Srvcs 001-8501 MAY17)

258499

CBB Expansion Account

2 of 3

EFT 8172017 [1625] MICHAEL BAKER INTERNATIONAL INC ( CDA Ph 3 Expansion Program Mgmt MAR17)

4204670

EFT 8172017 [1543] KDC INC ( SCADA System Integration) 5800638EFT 8012017 [1114] CITY OF ONTARIO ( Grant Reimbursement CDPH

Grant 12 - Chino I Reliability Project)26313400

EFT 8172017 [1248] KENNEDYJENKS CONSULTANTS INC ( Grant Support Srvcs 001-8501 JUN17)

EFT 8172017 [1160] DUDEK amp ASSOCIATES INC ( Invoices 20172812 20173672)

3333753

EFT 8172017 [1017] ALBERT A WEBB ASSOCIATES ( Design Three Wells Equipping 8107-001 JUN17)

353667

1618922

EFT 9272017 [1248] KENNEDYJENKS CONSULTANTS INC ( Grant Support Srvcs 001-8501 JUL17)

213000

EFT 9272017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( CRF Start-up Labor APR-JUN 2017)

15146977

EFT 9272017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( CRF Start-up Labor SEP16-MAR17)

22126639

EFT 9272017 [1090] CAROLLO ENGINEERS ( Invoices 160030 160034) 4452065

EFT 8032017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Ph3 Expansion JUN17)

3109542

EFT 8012017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Grant Reimbursement CDPH Grant 12 - Chino I Reliability Project)

36181400

EFT 8012017 [1473] WESTERN MUNICIPAL WATER DISTRICT ( Grant Reimbursement CDPH Grant 12 - Chino I Reliability Project)

10897900

EFT 8012017 [1382] SANTA ANA RIVER WATER CO ( Grant Reimbursement CDPH Grant 12 - Chino I Reliability Project)

3700500

EFT 8012017 [1473] WESTERN MUNICIPAL WATER DISTRICT ( Sponsors Grant Reimbursement CDPH Grant 12 WMWD)

531989344

EFT 8012017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Sponsors Grant Reimbursement CDPH Grant 12 JCSD)

332329262

EFT 8012017 [1114] CITY OF ONTARIO ( Sponsors Grant Reimbursement CDPH Grant 12 ONT)

540102654

3 of 3

EFT 8242017 [1473] WESTERN MUNICIPAL WATER DISTRICT ( Invoices USBR Wellfield 18-20 WMWD USBR Zone Pmp 23A WMWD)

3963485

EFT 8242017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Sponsors Grant Reimbursement USBR Wellfield Dev Wells 123 18-20)

216538

1059780

EFT 8312017 [1519] CORA CONSTRUCTORS INC ( Well Equipping - Well II-10 II-11 PE 13 (Retention Pacific Western) MAY17)

13266547

EFT 8312017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUN 17 OampM Expansion Grant Admin Labor)

924182

EFT 8312017 [1160] DUDEK amp ASSOCIATES INC ( Design of HDD Pipelines JUL17)

202000

EFT 8312017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Ph3 Expansion JUL17)

1997700

EFT 9012017 [1473] WESTERN MUNICIPAL WATER DISTRICT ( Sponsors Grant Reimbursement USBR )

137093800

EFT 9012017 [1245] JURUPA COMMUNITY SERVICES DISTRICT ( Sponsors Grant Reimbursement USBR )

87154600

EFT 9012017 [1114] CITY OF ONTARIO ( Sponsors Grant Reimbursement USBR )

75751600

EFT 9212017 [1484] INLAND EMPIRE UTILITIES AGENCY ( OampM Expansion General Expenses JUL17)

EFT 9212017 [1484] INLAND EMPIRE UTILITIES AGENCY ( JUL 17 OampM Expansion Grant Admin Labor )

1296282

EFT 9272017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Ph3 Expansion AUG17)

1719700

EFT 8012017 [1308] CITY OF NORCO ( Grant Reimbursement CDPH Grant 12 - Chino I Reliability Project)

3083700

EFT 9272017 [1017] ALBERT A WEBB ASSOCIATES ( Invoices 173238 173342)

328250

Total 1934390142

Check Date VendorDescription Payment3004 7192017 [1689] HAZEN AND SAWYER ( CDA South Archibald

Plume Proj Program Mgmt APR-MAY17)1234000

3005 8172017 [1689] HAZEN AND SAWYER ( CDA South Archibald Plume Proj Program Mgmt JUN17)

728000

3006 8312017 [1689] HAZEN AND SAWYER ( CDA South Archibald Plume Proj Program Mgmt JUL17)

596500

EFT 7192017 [1017] ALBERT A WEBB ASSOCIATES ( Plume Pipeline Alignment Study MAY17)

875008

EFT 7192017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Plume MAY17)

EFT 8032017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Plume JUN17)

1459750

628263

EFT 8312017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Plume JUL17)

904280

EFT 8312017 [1629] FERREIRA CONSTRUCTION CO INC ( Raw Water Intertie Pipeline Project PE02)

23839500

EFT 9142017 [1160] DUDEK amp ASSOCIATES INC ( Well II-12 Hydrogeological Evaluation)

EFT 9272017 [1017] ALBERT A WEBB ASSOCIATES ( Plume VOC Pipeline Construction Support JUL17)

263250

EFT 9272017 [1078] BUTIER ENGINEERING INC ( Construction Mngmnt Srcvs Plume AUG17)

1812068

EFT 9272017 [1625] MICHAEL BAKER INTERNATIONAL INC ( South Archibald Plume Prj - Program ManagementConsulting Srvcs MAR 17)

328000

Total EFTs 30291119

Total 32849619

CBB South Archibald Plume Account

Payroll DateGross Payroll

CostsDeductions Net Payroll

Total Number of Deposits

07072017 2233395$ 696954$ 1536441$ 6 07212017 2656279$ 784736$ 1871543$ 6 08042017 2084872$ 552395$ 1532477$ 6 08182017 2261654$ 611911$ 1649743$ 6 09012017 2304109$ 721037$ 1583072$ 6 09152017 2302951$ 867957$ 1434994$ 6 09292017 2447185$ 765329$ 1681856$ 6

16290445$ 5000319$ 11290126$

PAYROLL SUMMARY

Agenda Item

SUBJECT INVESTMENT REPORT RECOMMENDATION Staff recommends that the Board review the Investment Report for the period July 1 2017 to September 30 2017

BACKGROUND There was one investment for the stated period

1 The Authority invested $2000000 on July 20 2017 in the Local Agency Investment Fund at an estimated yield of 107

The total investments were $2000000 IMPACT ON BUDGET The Authorityrsquos total reserve will increase with interest earned on these investments

Agenda Item

SUBJECT BUDGET VARIANCE REVIEW FOR THE QUARTER ENDED SEPTEMBER 30 2017

RECOMMENDATION This is an informational item for the Board of Directors to receive and file BACKGROUND This variance report reflects CDArsquos financial results for the three months ended September 30 2017 We have provided the four separate schedules denoting (1) a consolidated version (Administration + Chino I + Chino II) (2) Administration (3) Chino I and (4) Chino II ISSUESANALYSIS REVENUES Assessment billed based on the adopted FY201718 budget of $27842K for the three months of this fiscal year totaled $6960K Total collected assessment through September 30 2017 was $6417K WMWDrsquos assessment for the period was $576K of which $33K was collected for the administrative portion with the remaining balance of $543K due when water allocation is available Total Recorded revenue of $7241K includes (1) Membersrsquo assessment of $6960K (2) Special assessment of $252K and (3) Interest on investment of $29K EXPENSES Total actual expenditures were $5584K with the following breakdown in thousands

Category Actual (000) Budget (000) of UseAdmin amp General 507$ 1352$ 375Chino I OampM 1927$ 7896$ 244Chino II OampM 1615$ 12145$ 133 Total OampM 4049$ 21393$ 189Debt Service -$ 2554$ 00 Total OampMDebt Service 4049$ 23947$ 169Capital Spending 399$ 1589$ 251Phase III Expansion Project 844$ 5408$ 156S Archibald Plume Project 292$ 8733$ 33 Total Capital Spending 1535$ 15730$ 98 Total Expenditure 5584$ 39677$ 141

For the three months of FY201718 CDA Administration Expenses totaled $507K or 375 of the annual budget compared to the estimated target of 25 for the quarter The actual expenses recorded in the Insurance category represented a full yearrsquos premium thus if this expense was prorated the administration adjusted budget consumed would have been 256 Chino I produced 30072 AF of water for the fiscal year to date Total OampM expenses of $1927M represented 244 of the annual budget Professional Services category for the period is 357 however when the budget for ldquoWell Repair and Maintenancerdquo is excluded (as repairs are not required on a quarterly basis) the revised budget stands at 10 Electricity expense in the Utilities category registered at 306 however when adjusted for delayed charges associated with the previous year the budget is at 251 Chino II produced 37281 AF of water for the fiscal year to date Total OampM expenses of $1615M represented 133 of the annual budget The majority of the categories are off budget as a result of the CRF not being operational during the reporting period The Chemicals category registered low at 3 of the annual budget Electricity expense recorded 185 or 65 under target The Operating Fees category consumed 315 of the annual budget however volumetric charges are expected to decrease when the CRF is online The first bond payment for the fiscal year is due on December 1 2017 and will include interest only in the amount of $1277M The second bond payment is due June 1 2018 and will include principal and interest in the amount of $3582M Total capital expenditure including the Phase III Expansion Project was $15 million Phase III Expansion project represents $8 million of the total capital expenditures The item was reviewed and approved by the Finance Committee on December 14 2017 IMPACT ON BUDGET There is no impact on the current fiscal yearrsquos budget

1 of 10

Y-T-D Actual

Y-T-D Budget Variance of Use

Revenues

4005 Administration Cost Assessment to Members 33806225 135224900 101418675 25004010 Fixed OampM Assessment to Members 215449000 861796000 646347000 25004020 Variable OampM Assessment to Members 285595199 1142380800 856785601 25004031 Fixed Project Costs Debt Srvc Assessment 121469075 485876300 364407225 25004032 Fixed Project Costs Capital Assessments 39736056 158944200 119208144 25004032 Fixed Project Costs Capital Assessments 25200000 25200000 000 100004100 Interest Income 2870093 000 (2870093) 000Total Revenues 724125648 2809422200 2085296552 2578

ExpensesOperations amp Maintenance

Outside Labor5020 Contract Labor IEUA 29940955 126463700 96522745 23685021 Contract Labor JCSD 33645566 132165900 98520334 25465034 Contract Labor Admin IEUA 574743 4442800 3868057 12945039 Contract Labor Admin JCSD 1224765 9884900 8660135 1239Total Outside Labor 65386029 272957300 207571271 2395Materials amp Supplies5110 Supplies General 5735980 23250000 17514020 24675120 UniformThrow Rugs 000 000 000 0005130 Supplies Laboratory 000 000 000 0005140 Supplies Plant Maintenance 000 000 000 0005141 Supplies Well Maintenance 000 000 000 0005142 Supplies Safety 000 000 000 0005143 Supplies Disaster Preparation 000 000 000 0005150 Fuel Regular 000 000 000 0005151 Fuel Diesel 000 000 000 0005152 Fuel Industrial Gases 000 000 000 0005160 Fleet Parts and Supplies 000 000 000 0005170 Equipment Less than $5000 457280 1300000 842720 35185175 Equip LeaseRental 000 500000 500000 0005180 Membrane Replacements 000 30000000 30000000 0005185 Resin Replacements 000 15000000 15000000 0005190 Other Materials and Supplies 211709 000 (211709) 000Total Materials amp Supplies 6404969 70050000 63645031 914Professional Services5210 Contract Services Labor amp Material 7006238 29000000 21993762 24165211 Contract Srvcs SCADA and Instrmntn Supprt 1410000 500000 (910000) 282005212 Contract Services Plant Process Consultant SPI 608100 6750000 6141900 9015213 Contract Srvcs SCADA amp Instrmntn Supprt Martek Labor

1721720 12000000 10278280 1435

5214 Contract Srvcs SCADA amp Instrmntn Supprt Martek Materials

1147426 9000000 7852574 1275

5215 Contract Srvcs SCADA amp Instrmntn Supprt Tensor ID 000 10000000 10000000 000

5220 Contract Labor Well Maintenance 000 000 000 0005221 Contract Material Well Maintenance 000 000 000 0005230 Professional Services Other 822965 11000000 10177035 748

Consolidated Budget Variance Report - Administration Chino I Chino IISeptember 30 2017

2 of 10

Y-T-D Actual

5231 Professional Services Ops Processess 000 000 000 0005240 Laboratory Outside 8771732 34000000 25228268 25805241 Laboratory IEUA 728130 3710000 2981870 19635250 ComputerNetwork System Maintenance 000 1000000 1000000 0005260 Security Services 609632 3600000 2990368 16935261 Janitorial Services 198646 1800000 1601354 11045262 LandscapingWeed and Pest Control 317882 2000000 1682118 15895290 Well Rehabilitation 000 000 000 0005291 Well Repair amp Maintenance 7900877 80000000 72099123 9885295 JCSD Transportation Fees 000 3000000 3000000 0005296 MWD Contribution Distribution to Members 000 000 000 0005299 Groundwater Replenishment Expenses 000 000 000 000Total Professional Services 31243348 207360000 176116652 1507Chemicals5310 Salt 23418449 89750600 66332151 26095315 Lime 000 18500000 18500000 0005320 Threshold Inhibitor - Anti Scalant 3306281 51600000 48293719 6415325 Soda Ash 000 65500000 65500000 0005330 Sodium Hydroxide 2229334 186800000 184570666 1195331 Sodium Hypochlorite 581809 200000 (381809) 290905335 Polymer 491577 11000000 10508423 4475340 Sulfuric Acid 8498606 45100000 36601394 18845344 Magnesium Chloride 000 34500000 34500000 0005345 Ferric Chloride 000 6800000 6800000 0005350 Ammonia 187498 1500000 1312502 12505355 Seed 78427 6100000 6021573 1295390 Other Chemicals 898721 3500000 2601279 2568Total Chemicals 39690702 520850600 481159898 762Operating Fees5410 Permits and Licenses 666314 8500000 7833686 7845420 Volumetric Fees Wastewater 27559437 104130684 76571247 26475430 Strength Charges BODCOD 254919 1558685 1303766 16355435 Strength Charges TSS 6978764 35552706 28573942 19635440 Admin Fees - IEUA 000 000 000 0005445 Capacity Fees - Capital 18586056 74344200 55758144 2500Total Operating Fees 54045490 224086275 170040785 2412Utilities5500 Electricity 154452863 660229600 505776737 23395510 TelephoneNetwork Communication Srvcs 1741991 5460000 3718009 31905511 Cell Phone 151870 220000 68130 69035520 Water 460664 2210000 1749336 20845530 Disposal Fees 233899 250000 16101 93565531 FiltercakeSolids Disposal 309026 18500000 18190974 1675532 Pellet Disposal 000 17500000 17500000 0005590 Other Utilities 99543 600000 500457 1659Total Utilities 157449856 704969600 547519744 2233

3 of 10

Y-T-D Actual

Other Expenses5900 Equip LeaseRental 000 000 000 0005910 Property Tax Mello Roos 000 170000 170000 000Total Other Exp 000 170000 170000 000Total Operations amp Maintenance 354220394 2000443775 1646223381 1771

Administration amp General

Non Employee Compensation6001 Directors Fees 150000 1800000 1650000 833Total Non Employee 150000 1800000 1650000 833Compensation6010 Regular Wages 14136073 60543500 46407427 23356018 Internship Pay 000 1278900 1278900 0006019 Overtime Wages 000 180500 180500 0006020 Holiday Pay 241794 000 (241794) 0006030 Vacation Pay 698767 000 (698767) 0006040 Sick Pay 476538 000 (476538) 0006099 Other Pay 548917 000 (548917) 000Total Compensation 16102089 62002900 45900811 2597Benefits6200 Auto Allowance 188356 700000 511644 26916210 Payroll Tax - Employers Portion of FICA Medicare 236211 896400 660189 26356211 Payroll Tax - State OtherSUI 6613 168000 161387 3946212 Payroll Tax Federal OtherFUTA 5290 100800 95510 5256220 Insurance Costs - Health and Accidental 977413 5040000 4062587 19396222 Insurance - Life to $50K 7432 20000 12568 37166223 Insurance - Life gt $50K 17516 70000 52484 25026225 Workers Compensation Insurance Premium 174051 700000 525949 24866227 Retirement Benefits Paid by Employer 1886982 7363600 5476618 2563Total Benefits 3499864 15058800 11558936 2324Administration Exp6700 Office Supplies - General 366408 1418000 1051592 25846705 PrintingCopying 79363 425000 345637 18676706 Office Equipment Lease 202394 940000 737606 21536710 Postage and Delivery Charges 50595 200000 149405 25306715 Computer SW Subscrp and Lic Fees 996221 9500000 8503779 10496720 Meeting Expenses 000 50000 50000 0006721 Mileage Reimbursement 58406 100000 41594 58416725 Registration Fees 34900 500000 465100 6986726 Travel Costs 227927 250000 22073 91176730 Professional Membership - Employees 16000 150000 134000 10676731 Professional Membership - Agency Wide 000 2000000 2000000 0006735 Subscriptions and Publications 000 50000 50000 0006736 Advertising - Public Postings 70244 130000 59756 54036741 Main Office Lease 1068843 4483200 3414357 23846780 Insurance - Liability 6242284 6500000 257716 96046781 Insurance - Casualty and Property 14972493 11000000 (3972493) 13611Total Admin Exp 24386078 37696200 13310122 6469

4 of 10

Y-T-D Actual

Professional Fees7100 External Audit Expense 000 1400000 1400000 0007110 Legal Expenses - General 5822857 20000000 14177143 2911Total Professional Fees 5822857 21400000 15577143 2721Finance7200 Bond Interest Expenses 1 000 255376200 255376200 0007210 Bond Admin Fees 445000 000 (445000) 0007211 Financial Services 50000 760000 710000 6587221 Bank Service Charges 69192 240000 170808 2883Total Finance 564192 256376200 255812008 022Total Administration amp General 50525080 394334100 343809020 1281

Total Expenses 404745474 2394777875 1990032401 1690

1 Principal payment of $2305000 is not included as part of this report

5 of 10

Y-T-D Actual

Revenues

Professional Services5210 Contract Services Labor amp Material 000 000 000 0005211 Contract Srvcs SCADA and Instrmntn Supprt 000 000 000 0005230 Professional Services Other 40120 2500000 2459880 1605231 Professional Services Ops Processess 000 000 000 0005240 Laboratory Outside 000 000 000 0005241 Laboratory IEUA 000 000 000 0005260 Security Services 000 000 000 0005261 Janitorial Services 000 000 000 0005262 LandscapingWeed and Pest Control 000 000 000 0005290 Well Rehabilitation 000 000 000 0005296 MWD Contribution Distribution to Members 000 000 000 0005299 Groundwater Replenishment Expenses 000 000 000 000Total Professional Services 40120 2500000 2459880 160Utilities5500 Electricity 96469 300000 203531 32165510 TelephoneNetwork Communication Srvcs 486777 1960000 1473223 24845511 Cell Phone 30000 120000 90000 25005520 Water 000 000 000 0005530 Disposal Fees 000 000 000 0005590 Other Utilities 000 000 000 000Total Utilities 613246 2380000 1766754 2577Other Expenses5900 Equip LeaseRental 000 000 000 000Total Other Exp 000 000 000 000Total Operations amp Maintenance 653366 4880000 4226634 1339

Non Employee Compensation6001 Directors Fees 150000 1800000 1650000 833Total Non Employee 150000 1800000 1650000 833Compensation6010 Regular Wages 14136073 60543500 46407427 23356018 Internship Pay 000 1278900 1278900 0006019 Overtime Wages 000 180500 180500 0006020 Holiday Pay 241794 000 (241794) 000

Consolidated Budget Variance Report - AdministrationSeptember 30 2017

6 of 10

Y-T-D Actual

6030 Vacation Pay 698767 000 (698767) 0006040 Sick Pay 476538 000 (476538) 0006099 Other Pay 548917 000 (548917) 000Total Compensation 16102089 62002900 45900811 2597Benefits6200 Auto Allowance 188356 700000 511644 26916210 Payroll Tax - Employers Portion of FICA Medicare 236211 896400 660189 26356211 Payroll Tax - State OtherSUI 6613 168000 161387 3946212 Payroll Tax Federal OtherFUTA 5290 100800 95510 5256220 Insurance Costs - Health and Accidental 977413 5040000 4062587 19396222 Insurance - Life to $50K 7432 20000 12568 37166223 Insurance - Life gt $50K 17516 70000 52484 25026225 Workers Compensation Insurance Premium 174051 700000 525949 24866227 Retirement Benefits Paid by Employer 1886982 7363600 5476618 2563Total Benefits 3499864 15058800 11558936 2324RecruitmentAdministration Exp6700 Office Supplies - General 299028 500000 200972 59816705 PrintingCopying 38482 300000 261518 12836706 Office Equipment Lease 81472 370000 288528 22026710 Postage and Delivery Charges 50595 200000 149405 25306715 Computer SW Subscrp and Lic Fees 646221 2500000 1853779 25856720 Meeting Expenses 000 50000 50000 0006721 Mileage Reimbursement 58406 100000 41594 58416725 Registration Fees 000 500000 500000 0006726 Travel Costs 227927 250000 22073 91176730 Professional Membership - Employees 16000 150000 134000 10676731 Professional Membership - Agency Wide 000 2000000 2000000 0006735 Subscriptions and Publications 000 50000 50000 0006736 Advertising - Public Postings 70244 130000 59756 54036741 Main Office Lease 1068843 4483200 3414357 23846780 Insurance - Liability 6242284 6500000 257716 96046781 Insurance - Casualty and Property 14972493 11000000 (3972493) 13611Total Admin Exp 23771995 29083200 5311205 8174Professional Fees7100 External Audit Expense 000 1400000 1400000 0007110 Legal Expenses - General 5822857 20000000 14177143 2911Total Professional Fees 5822857 21400000 15577143 2721Finance7200 Bond Interest Expenses 1 000 255376200 255376200 0007210 Bond Admin Fees 445000 000 (445000) 0007211 Financial Services 50000 760000 710000 6587221 Bank Service Charges 69192 240000 170808 2883Total Finance 564192 256376200 255812008 022Total Administration amp General

49910997 385721100 335810103 1294Total Expenses

50564363 390601100 340036737 1295

7 of 10

Y-T-D Actual

Revenues

Total Revenues 000 000 000 000

Outside Labor5020 Contract Labor IEUA 29940955 126463700 96522745 23685034 Contract Labor Admin IEUA 574743 4442800 3868057 1294Total Outside Labor 30515698 130906500 100390802 2331Materials amp Supplies5110 Supplies General 1541129 17000000 15458871 9075120 UniformThrow Rugs 000 000 000 0005130 Supplies Laboratory 000 000 000 0005140 Supplies Plant Maintenance 000 000 000 0005141 Supplies Well Maintenance 000 000 000 0005142 Supplies Safety 000 000 000 0005143 Supplies Disaster Preparation 000 000 000 0005151 Fuel Diesel 000 000 000 0005152 Fuel Industrial Gases 000 000 000 0005160 Fleet Parts and Supplies 000 000 000 0005170 Equipment Less than $5000 131828 800000 668172 16485175 Equip LeaseRental 000 250000 250000 0005180 Membrane Replacements 000 15000000 15000000 0005185 Resin Replacements 000 5000000 5000000 0005190 Other Materials and Supplies 134643 000 (134643) 000Total Materials amp Supplies 1807600 38050000 36242400 475Professional Services5210 Contract Services Labor amp Material 3004145 17000000 13995855 17675211 Contract Srvcs SCADA and Instrmntn Supprt 000 500000 500000 0005212 Contract Services Plant Process Consultant SPI 313775 3000000 2686225 10465214 Contract Srvcs SCADA amp Instrmntn Supprt Martek Materials

000 000 000 000

5220 Contract Labor Well Maintenance 000 000 000 0005221 Contract Material Well Maintenance 000 000 000 0005230 Professional Services Other 88000 3500000 3412000 2515240 Laboratory Outside 6268032 13000000 6731968 48225241 Laboratory IEUA 728130 3710000 2981870 19635250 ComputerNetwork System Maintenance 000 1000000 1000000 0005260 Security Services 429632 1600000 1170368 26855261 Janitorial Services 86146 600000 513854 14365262 LandscapingWeed and Pest Control 317882 2000000 1682118 15895290 Well Rehabilitation 000 000 000 0005291 Well Repair amp Maintenance 7900877 40000000 32099123 1975Total Professional Services 19136619 85910000 66773381 2228

Chemicals

Consolidated Budget Variance Report - Chino ISeptember 30 2017

8 of 10

Y-T-D Actual

5310 Salt 15972402 61500000 45527598 25975320 Threshold Inhibitor - Anti Scalant 3306281 17100000 13793719 19335325 Soda Ash 000 000 000 0005330 Sodium Hydroxide 509322 6800000 6290678 7495331 Sodium Hypochlorite 581809 200000 (381809) 290905340 Sulfuric Acid 5802643 17600000 11797357 32975350 Ammonia 187498 1500000 1312502 12505390 Other Chemicals 743518 2500000 1756482 2974Total Chemicals 27103473 107200000 80096527 2528Operating Fees5410 Permits and Licenses 611314 6500000 5888686 9405420 Volumetric Fees Wastewater 14672660 75181554 60508894 19525430 Strength Charges BODCOD 153878 828200 674322 18585435 Strength Charges TSS 5019251 25874226 20854975 19405440 Admin Fees - IEUA 000 000 000 0005445 Capacity Fees - Capital 11025720 44102900 33077180 2500Total Operating Fees 31482823 152486880 121004057 2065Utilities5500 Electricity 81542057 266221600 184679543 30635510 TelephoneNetwork Communication Srvcs 364940 1500000 1135060 24335520 Water 259730 1210000 950270 21475530 Disposal Fees 37773 250000 212227 15115590 Other Utilities 99543 600000 500457 1659Total Utilities 82304043 269781600 187477557 3051Other Expenses5900 Equip LeaseRental 000 000 000 0005910 Property Tax Mello Roos 000 170000 170000 000Total Other Exp 000 170000 170000 000Total Operations amp Maintenance 192350256 784504980 592154724 2452

Administration Exp6700 Office Supplies - General 67380 318000 250620 21196705 PrintingCopying 12609 55000 42391 22936706 Office Equipment Lease 60462 270000 209538 22396715 Computer SW Subscrp and Lic Fees 175000 4500000 4325000 3896725 Registration Fees 34900 000 (34900) 000Total Admin Exp 350351 5143000 4792649 681Total Administration amp General

350351 51430 4792649 681Total Expenses 192700607 789647980 596947373 2440

9 of 10

Y-T-D Actual

Revenues

Outside Labor5021 Contract Labor JCSD 33645566 132165900 98520334 25465039 Contract Labor Admin JCSD 1224765 9884900 8660135 1239Total Outside Labor 34870331 142050800 107180469 2455Materials amp Supplies5110 Supplies General 4194851 6250000 2055149 67125120 UniformThrow Rugs 000 000 000 0005130 Supplies Laboratory 000 000 000 0005140 Supplies Plant Maintenance 000 000 000 0005141 Supplies Well Maintenance 000 000 000 0005142 Supplies Safety 000 000 000 0005143 Supplies Disaster Preparation 000 000 000 0005150 Fuel Regular 000 000 000 0005152 Fuel Industrial Gases 000 000 000 0005160 Fleet Parts and Supplies 000 000 000 0005170 Equipment Less than $5000 325452 500000 174548 65095175 Equip LeaseRental 000 250000 250000 0005180 Membrane Replacements 000 15000000 15000000 0005185 Resin Replacements 000 10000000 10000000 0005190 Other Materials and Supplies 77066 000 (77066) 000Total Materials amp Supplies 4597369 32000000 27402631 1437Professional Services5210 Contract Services Labor amp Material 4002093 12000000 7997907 33355211 Contract Srvcs SCADA and Instrmntn Supprt 1410000 000 (1410000) 0005212 Contract Services Plant Process Consultant SPI 294325 3750000 3455675 7855213 Contract Srvcs SCADA amp Instrmntn Supprt Martek Labor

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

5220 Contract Labor Well Maintenance 000 000 000 0005221 Contract Material Well Maintenance 000 000 000 0005230 Professional Services Other 694845 5000000 4305155 13905240 Laboratory Outside 2503700 21000000 18496300 11925250 ComputerNetwork System Maintenance 000 000 000 0005260 Security Services 180000 2000000 1820000 9005261 Janitorial Services 112500 1200000 1087500 9385262 LandscapingWeed and Pest Control 000 000 000 0005290 Well Rehabilitation 000 000 000 0005291 Well Repair amp Maintenance 000 40000000 40000000 0005295 JCSD Transportation Fees 000 3000000 3000000 000

Consolidated Budget Variance Report - Chino IISeptember 30 2017

10 of 10

Y-T-D Actual

Total Professional Services 12066609 118950000 106883391 1014Chemicals5310 Salt 7446047 28250600 20804553 26365315 Lime 000 18500000 18500000 0005320 Threshold Inhibitor - Anti Scalant 000 34500000 34500000 0005325 Soda Ash 000 65500000 65500000 0005330 Sodium Hydroxide 1720012 180000000 178279988 0965331 Sodium Hypochlorite 000 000 000 0005335 Polymer 491577 11000000 10508423 4475340 Sulfuric Acid 2695963 27500000 24804037 9805344 Magnesium Chloride 000 34500000 34500000 0005345 Ferric Chloride 000 6800000 6800000 0005350 Ammonia 000 000 000 0005355 Seed 78427 6100000 6021573 1295390 Other Chemicals 155203 1000000 844797 1552Total Chemicals 12587229 413650600 401063371 304Operating Fees5410 Permits and Licenses 55000 2000000 1945000 2755420 Volumetric Fees Wastewater 12886777 28949130 16062353 44525430 Strength Charges BODCOD 101041 730485 629444 13835435 Strength Charges TSS 1959513 9678480 7718967 20255445 Capacity Fees - Capital 7560336 30241300 22680964 2500Total Operating Fees 22562667 71599395 49036728 3151Utilities5500 Electricity 72814337 393708000 320893663 18495510 TelephoneNetwork Communication Srvcs 890274 2000000 1109726 44515511 Cell Phone 121870 100000 (21870) 121875520 Water 200934 1000000 799066 20095530 Disposal Fees 196126 000 (196126) 0005531 FiltercakeSolids Disposal 309026 18500000 18190974 1675532 Pellet Disposal 000 17500000 17500000 0005590 Other Utilities 000 000 000 000Total Utilities 74532567 432808000 358275433 1722Other Expenses5900 Equip LeaseRental 000 000 000 000Total Other Exp 000 000 000 000Total Operations amp Maintenance 161216772 1211058795 1049842023 1331

Administration Exp6700 Office Supplies - General 000 600000 600000 0006705 PrintingCopying 28272 70000 41728 40396706 Office Equipment Lease 60460 300000 239540 20156715 Computer SW Subscrp and Lic Fees 175000 2500000 2325000 700Total Admin Exp 263732 3470000 3206268 760Total Administration amp General 263732 3470000 3206268 760

Total Expenses 161480504 1214528795 1053048291 1330

Agenda Item

Prepared by Curtis Paxton CDA General ManagerCEO Page 1 of 1

SUBJECT RECORDS RETENTION SCHEDULE RECOMMENDATION Staff recommends that the Board of Directors

1 Adopt Resolution 2018-02 establishing a Records Retention Schedule BACKGROUND Government Code Section 60200 authorizes the Board to establish and amend a Records Retention Schedule that provides procedures whereby records which have served their purpose and are no longer required can be destroyed The Retention Schedule is a listing of records that states the minimum retention period and the supporting legal authority The policy applies to all records written electronic and audio (as noted in the Records Retention Schedule) The Records Retention Schedule was reviewed by CDA Legal Counsel and reviewedapproved by the Finance Committee on 121417 IMPACT ON BUDGET There is no impact to the budget ATTACHMENTS Resolution 2018-02 Exhibit A ndash Retention Schedule

Resolution 2018-02

RESOLUTION NO 2018-02

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE CHINO BASIN DESALTER AUTHORITY ESTABLISHING A RECORDS RETENTION SCHEDULE

WHEREAS the maintenance of numerous records slows document retrieval and is not necessary after a certain period of time for the effective and efficient operation of the Chino Basin Desalter Authority (ldquoCDArdquo) and

WHEREAS Sections 60200 through 60203 of the California Government Code set forth the authority and process for establishing a records retention policy whereby records of CDA that have served their purposes and are no longer required may be destroyed and

NOW THEREFORE BE IT RESOLVED by the Board of Directors of the Chino Basin Desalter Authority that Section 1 The Board of Directors finds that the destruction or disposition of records that exceed the retention periods as set forth in the Records Retention Schedule (Exhibit ldquoArdquo) will not adversely affect any interest of CDA or the public Section 2 CDA records as set forth in Exhibit ldquoArdquo attached hereto and incorporated herein by this reference are hereby authorized to be destroyed as provided by section 60201 et seq of the California Government Code without further action by the Board of Directors Section 3 The General ManagerCEO is hereby authorized to make updates to the Records Retention Schedule without further action by the Board of Directors Section 4 This Resolution shall take effect immediately PASSED AND ADOPTED THIS 4th day of January 2018

STATE OF CALIFORNIA ) ) SS COUNTY OF SAN BERNARDINO ) I Tom Haughey Secretary of the Chino Basin Desalter Authority do hereby certify that the foregoing Resolution being No 2018-02 was duly adopted by the Board of Directors of the Chino Basin Desalter Authority on the 4th day of January 2018 by the following vote

ABSTAIN

ABSENT __________________________ Greg Newton Chairperson Chino Basin Desalter Authority ATTEST __________________________ Tom Haughey Secretary Chino Basin Desalter Authority

EXHIBIT A

RECORDS RETENTION SCHEDULE

[Attached on the following pages]

Chino Basin Desalter Authority Records Retention Schedule

P = Permanent S=Supersede T=Termination CY = Current Year CL = ClosedSS - Secretary of State Guidelines

GC - Government Code

Originals Imaged Total Guidelines

FPPC Statement of Economic Interest (Form 700) 7 7 FPPCResolutions of the Board of Directors P P P SSPolicies S+2 S+2 SSPublic Records Act Requests 2 Years 2 Years SSGC 60201Legal Advertising CY+4 CY+4 SS

Meeting Agendas P P PBoard of Directors and Finance Committee Meeting Minutes

P P P GC 60201

Technical Advisory Committee Meeting Minutes CY+2 CY+2Agenda ReportsMeeting PresentationsNotices of PostingRequest to Speak CardsOpen Session Meeting Handouts

CY+2 CY+2 SS

Meeting Audio Recordings Approval+30 days

Approval+30 days

GC 549535 30 days

Board AppointmentsResignationsOaths of Office

T+6 P P SS - Oaths - T+6

Capital Improvements P P P SSProfessionalConsulting Services Leases T+10 T+10 T+10 SS (T + 5)Real Property Records P P P GC 60201 - PJoint Exercise of Power Agreement P P P GC 60201 - P

Winning Bid PackageProposalsChange OrdersFinal As-Built DrawingsInspection reports Material TestingPermits (Construction Plans Building Signs Grading Encroachment)Prelim Design ReportSoils Geotechnical reportsSpecs submittals surveys

P P SS

Supporting Documents IncludingBidders ListSpecificationsPlansWork OrdersSchedules

T+10 T+10 SS

BidsProposals (Unsuccessful)Engineers EstimatesNPDES Permits (Alterations encroachment excavations road streetsidewalks amp curb alterations)Preliminary Notices Stop Notices

T+3 T+3 SS

CAPITAL IMPROVEMENT PROJECTS

ADMINISTRATIVE

AGREEMENTS AND CONTRACTS

BOARD OF DIRECTORS FINANCE COMMITTEE AND TECHNICAL ADVISORY COMMITTEE MEETINGS

Originals Imaged Total GuidelinesHUMAN RESOURCESEmployee Time Sheets Audit+6 Audit+6 Audit+6 SS

Payroll RecordsW2 FormsW4 FormsEarnings Reports

7 7 GC 60201- 7 years

Official Employee FileApplicationResumeEmployment Eligibility Verification (I-9)Pre-Employment Background CheckEmployee Data SheetDisciplinary ActionsAwardsCommendationsCertificationsPersonnel Action FormsGrievances

T+6 T+6 State law requires 2-4 years

RecruitmentJob BulletinsApplicationsResumesInterview Documents

CL+3 CL+3 SS

Performance Evaluations T+3 SSHealth and Ancillary Benefit ContractPlans T+2 T+2Insurance EnrollmentChangeCancellationProof of Alternate CoverageCOBRA Documentation

2 2 Cobra (GC 2 years)

Benefit Plan Claims P SSMedical Leave (per FMLA) CL

+30 YrsCL

+30 YrsSS - CL+30

Deferred Compensation Plans T+5 T+5 SS

Annual Financial Report 5 P P SS - Audit +2Annual Budget 5 P P GC 60201 PBank StatementsReconciliation 5 5 SS - Audit +2General Ledger - YearEnd P P GC 60201 P1099s issued 7 7 IRS 4 years after tax is due or paidAccounts Payable RecordsInvoicesExpense ReportsPurchase Orders

3 +4 7 SS - Audit +4

Account Receivable FilesInvoices Monthly Reports Check Copies Supporting Docs

7 7 SS - Audit +4

AccidentInjuryIncident Reports CY+5 CY+5 California Code of RegulationsInsurance Certs - GL WC Auto Liability 2 P PLawsuitsLitigation CL+2 CL+2 GC 60201Workers Comp Claims CL+2 CL+2 GC 60201

Operating Permits P P

Approved Records Destruction Lists 2 3 5

RISK MANAGEMENT

RECORDS MANAGEMENT

FINANCE

Agenda Item

Prepared by Allison Burns CDA Deputy General Counsel Page 1 of 1

CDA General ManagerCEO Acknowledgement Date ____________

SECTION Consent Item

SUBJECT CONSIDERATION OF APPROVAL OF FIRST AMENDMENT TO THE FIFTH AMENDED AND RESTATED EMPLOYMENT AGREEMENT ndash GENERAL MANAGERCEO

RECOMMENDATION Staff recommends that the Board

1 Approve the First Amendment to the Fifth Amended and Restated Employment Agreement with General ManagerCEO Curtis D Paxton

BACKGROUND On January 24 2011 CDA General Manager Curtis D Paxton commenced his employment as General ManagerCEO of the CDA pursuant to the terms of an employment agreement dated January 6 2011 (the ldquoOriginal Agreementrdquo) The Original Agreement expired by its terms on January 24 2012 and the First Amended and Restated Employment Agreement was entered into on March 1 2012 The Second Amended and Restated Employment Agreement was entered into on December 13 2012 The First Amendment to Second Amended and Restated Employment Agreement was entered into on April 3 2014 The Third Amended and Restated Employment Agreement was entered into on December 4 2014 The Fourth Amended and Restated Employment Agreement was entered into on December 10 2015 The Fifth Amended and Restated Employment Agreement was entered into on January 5 2016 As a result of the Boardrsquos performance evaluation of General Manager Paxton completed in December 2017 an amendment to the agreement governing General Manager Paxtonrsquos employment as GMCEO is now appropriate The terms of the proposed First Amendment to the Fifth Amended and Restated Employment Agreement were discussed with the Board during the performance evaluation process on December 7 2017 IMPACT ON BUDGET The approved FY 201718 Budget contains adequate funding for the revised terms of the First Amendment to the Fifth Amended and Restated Employment Agreement ATTACHMENTS

1) First Amendment to the Fifth Amended and Restated Employment Agreement

CHINO BASIN DESALTER AUTHORITY FIRST AMENDMENT TO THE

FIFTH AMENDED AND RESTATED EMPLOYMENT AGREEMENT

This FIRST AMENDMENT TO THE FIFTH AMENDED AND RESTATED EMPLOYMENT AGREEMENT (ldquoAmendmentrdquo) is dated for reference purposes only as of January 4 2018 and is entered into by and between the Chino Basin Desalter Authority (the ldquoCDArdquo) acting through its Board of Directors (the ldquoBoardrdquo) and Curtis Paxton (ldquoPaxtonrdquo) [hereinafter collectively referred to as ldquothe partiesrdquo]

RECITALS

A On January 24 2011 Paxton commenced his employment as General ManagerChief Executive Officer (GMCEO) of the CDA pursuant to that certain Chino Basin Desalter Authority Employment Agreement dated January 6 2011 (ldquoOriginal Agreementrdquo)

B The Original Agreement expired by its terms on January 24 2012 C The parties entered into First Amended and Restated Employment Agreement dated

March 1 2012 and having an effective date of January 25 2012 D The parties entered into a Second Amended and Restated Employment Agreement

dated December 13 2012 E The parties entered into a First Amendment to Second Amended and Restated

Employment Agreement dated April 3 2014 F The parties entered into a Third Amended and Restated Employment Agreement

on December 4 2014 G The parties entered into a Fourth Amended and Restated Employment Agreement

on December 10 2015 H The parties entered into a Fifth Amended and Restated Employment Agreement on

January 5 2017 (the ldquoAgreementrdquo) I The parties now desire to amend the Agreement to reflect the CDArsquos continued

employment of Paxton on the terms and subject to the conditions set forth herein

Accordingly the parties agree as follows

Section 1 Effective Date Section 11 of the Agreement is hereby amended to read as follows

ldquoThe provisions of this Agreement unless otherwise stated shall become effective on January 5 2017 and continue to and including January 15 2020rdquo

Section 2 Salary Section 21 of the Agreement is hereby amended to read as follows ldquoSalary CDA shall pay Paxton an annual salary of Two Hundred Nine

Thousand Nine Hundred Eighty Seven Dollars and Forty Eight Cents ($20998748)

(ldquoCompensationrdquo) Such Compensation shall be paid to Paxton in equal biweekly installments or thereafter in accordance with CDArsquos then-prevailing payroll practices Compensation shall be subject to applicable withholding requirements Paxton agrees that he is an executive employee and is exempt from the overtime requirements established by the Fair Labor Standards Actrdquo

Section 3 Compensation Increase Effective Date This Amendment shall be effective as of January 1 2018 (ldquoCompensation Increase Effective Daterdquo)

Section 4 No Further Changes Except as expressly set forth in this First Amendment the Agreement shall continue in full force and effect in accordance with its terms

IN WITNESS WHEREOF the parties have entered into this FIRST AMENDMENT TO

THE FIFTH AMENDED AND RESTATED EMPLOYMENT AGREEMENT as of the date first written above CHINO BASIN DESALTER AUTHORITY

By _________________________________ _________________________________

Chairperson Board of Directors PAXTON

_________________________________ Curtis D Paxton

Agenda Item

Prepared by Michael Chung CDA CFOTreasurer Page 1 of 1

SECTION ACTION ITEM

SUBJECT APPROVAL OF ANNUAL FINANCIAL REPORT FOR THE FISCAL YEAR

201617 RECOMMENDATION

It is recommended that the Board approve the Comprehensive Annual Financial Report (CAFR) for the Fiscal Year ended June 30 2017 as presented and direct staff to make distribution as appropriate to the various federal state and local agencies financial institutions bond rating agencies and other interested parties BACKGROUND

Bond covenants and state law require an annual audit of the books and records of the Authority White Nelson Diehl Evans LLP the Authorityrsquos independent auditor performed the annual audit of CDArsquos financial records as of June 30 2017 A clean or ldquounqualifiedrdquo opinion has been issued by the auditor The opinion is incorporated as part of the CAFR ISSUESANALYSIS

The preparation of the CAFR for FY2017 was done by the finance staff of CDA with the assistance of other CDA staff The report was prepared in conformity with Generally Accepted Accounting Principles (GAAP) as set forth by the Governmental Accounting Standards Board Responsibility for both the accuracy of the presented data and the completeness and fairness of the presentation including all disclosures rests with the Authority To the best of staffrsquos knowledge the enclosed financial data is accurate in all material respects and reported in a manner designed to present fairly the financial position and results of operations for the Chino Basin Desalter Authority as of June 30 2017 This agenda item was reviewedapproved by the Finance Committee on December 14 2017 IMPACT ON BUDGET

There is no impact on current fiscal yearrsquos budget

2875 Michelle Drive Suite 300 Irvine CA 92606 bull Tel 7149781300 bull Fax 7149787893

Offices located in Orange and San Diego Counties

Honorable Board Members of Chino Basin Desalter Authority Ontario California In planning and performing our audit of the financial statements of the Chino Basin Desalter Authority (the Authority) as of and for the year ended June 30 2017 in accordance with auditing standards generally accepted in the United States of America we considered the Authorityrsquos internal control over financial reporting (internal control) as a basis for designing our auditing procedures that are appropriate in the circumstances for the purpose of expressing our opinion on the financial statements but not for the purpose of expressing an opinion on the effectiveness of the Authorityrsquos internal control Accordingly we do not express an opinion on the effectiveness of the Authorityrsquos internal control Our consideration of internal control was for the limited purpose described in the preceding paragraph and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant deficiencies and therefore material weaknesses or significant deficiencies may exist that were not identified However as discussed below we identified a certain deficiency in internal control that we consider to be a material weakness A deficiency in internal control exists when the design or operation of a control does not allow management or employees in the normal course of performing their assigned functions to prevent or detect and correct misstatements on a timely basis A material weakness is a deficiency or a combination of deficiencies in internal control such that there is a reasonable possibility that a material misstatement of the Authorityrsquos financial statements will not be prevented or detected and corrected on a timely basis We consider the following deficiency in internal control to be a material weakness Recording of Long Term Debt Auditorsrsquo Comment We noted that the issuance of the 2016A Revenue Refunding Bond was not reported as an advance refunding of the 2008 Bonds which should have removed the 2008 Bonds from the general ledger and the cash deposited in the escrow account to refund the 2008 Bonds should not have been reported on the general ledger Subsequent to the start of our audit an adjustment was required to report the transaction correctly

Recording of Long Term Debt (Continued) Managementrsquos Response We acknowledge the auditorrsquos assistance to complete the recording of the refunding of the 2008A bonds Authorityrsquos Response to the Finding The Authorityrsquos response to the finding identified in our audit is described above The Authorityrsquos response was not subjected to the auditing procedures applied in the audit of the financial statements and accordingly we express no opinion on it This communication is intended solely for the information and use of management the Board and others within the Authority and is not intended to be and should not be used by anyone other than these specified parties Irvine California December 20 2017

Board of Directors Chino Basin Desalter Authority Ontario California We have audited the financial statements of the Chino Basin Desalter Authority (the Authority) for the year ended June 30 2017 Professional standards require that we provide you with information about our responsibilities under generally accepted auditing standards as well as certain information related to the planned scope and timing of our audit We have communicated such information in our engagement letter to you dated May 22 2017 and our letter on planning matters dated May 22 2017 Professional standards also require that we communicate to you the following information related to our audit Significant Audit Findings Qualitative Aspects of Accounting Practices Management is responsible for the selection and use of appropriate accounting policies The significant accounting policies used by the Authority are described in Note 1 to the financial statements No new accounting policies were adopted and the application of existing policies was not changed during the year ended June 30 2017 We noted no transactions entered into by the Authority during the year for which there is a lack of authoritative guidance or consensus All significant transactions have been recognized in the financial statements in the proper period Accounting estimates are an integral part of the financial statements prepared by management and are based on managementrsquos knowledge and experience about past and current events and assumptions about future events Certain accounting estimates are particularly sensitive because of their significance to the financial statements and because of the possibility that future events affecting them may differ significantly from those expected The most sensitive estimates affecting the financial statements were

a The estimated useful lives of capital assets used for depreciation purposes are based on industry standards

b The value of contributed water used in the Authorityrsquos operation is based on replenishment rate normally associated with the extraction and sale of groundwater to producers

c Managementrsquos estimate of the fair value of investments is based on market values by outside sources

We evaluated the key factors and assumptions used to develop these estimates in determining that they were reasonable in relation to the financial statements taken as a whole The financial statement disclosures are neutral consistent and clear

Significant Audit Findings (Continued) Difficulties Encountered in Performing the Audit We encountered no significant difficulties in dealing with management in performing and completing our audit Corrected and Uncorrected Misstatements Professional standards require us to accumulate all known and likely misstatements identified during the audit other than those that are clearly trivial and communicate them to the appropriate level of management Management has corrected all such misstatements The following material misstatement detected as a result of audit procedures was corrected by management the recording of the refunding of the 2008A Revenue Refunding Bonds with the 2016A Revenue Refunding Bonds Disagreements with Management For purposes of this letter a disagreement with management is a financial accounting reporting or auditing matter whether or not resolved to our satisfaction that could be significant to the financial statements or the auditorsrsquo report We are pleased to report that no such disagreements arose during the course of our audit Management Representations We have requested certain representations from management that are included in the management representation letter dated December 20 2017 Management Consultations with Other Independent Accountants In some cases management may decide to consult with other accountants about auditing and accounting matters similar to obtaining a ldquosecond opinionrdquo on certain situations If a consultation involves application of an accounting principle to the Authorityrsquos financial statements or a determination of the type of auditorrsquos opinion that may be expressed on those statements our professional standards require the consulting accountant to check with us to determine that the consultant has all the relevant facts To our knowledge there were no such consultations with other accountants Other Audit Findings or Issues We generally discuss a variety of matters including the application of accounting principles and auditing standards with management each year prior to retention as the Authorityrsquos auditors However these discussions occurred in the normal course of our professional relationship and our responses were not a condition to our retention We discussed the following item as part of our audit

Significant Audit Findings (Continued) Other Audit Findings or Issues (Continued) The Authority incurs expenses eligible for federal grant reimbursement for the expansion project and submits these expenses to Inland Empire Utilities Agency for reimbursement Inland Empire Utilities Agency administers the federal grant and submits these expenses for reimbursement to the federal granting agency Inland Empire Utilities Agency reimburses the Authority after it receives the reimbursement from the federal granting agency We discussed the requirements under the Single Audit Act Amendments of 1996 with management We believe the Authority is considered a recipient of federal grants and as such the Authority is subject to having an audit of these federal grant expenses Management has reviewed the federal grant audit requirements and concluded that an audit of the expenses incurred for federal grant reimbursements is not required by the Authority as these expenses are reported by Inland Empire Utilities on its Single Audit and expenses are only required to be audited once Other Matters We applied certain limited procedures to managementrsquos discussion and analysis which is required supplementary information (RSI) that supplements the basic financial statements Our procedures consisted of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with managementrsquos responses to our inquiries the basic financial statements and other knowledge we obtained during our audit of the basic financial statements We did not audit the RSI and do not express an opinion or provide any assurance on the RSI We were not engaged to report on the introductory and statistical sections which accompany the financial statements but are not RSI We did not audit or perform other procedures on this other information and we do not express an opinion or provide any assurance on it Restriction on Use This information is intended solely for the use of the Board of Directors and management of the Chino Basin Desalter Authority and is not intended to be and should not be used by anyone other than these specified parties Irvine California December 20 2017

Fiscal YearEnded

June 30 2017

Comprehensive Annual Financial Report

Fiscal Year Ended June 30 2017

Prepared by Finance Staff of Chino Basin Desalter Authority

CHINO BASIN DESALTER AUTHORITY Comprehensive Annual Financial Report For the Fiscal Year Ended June 30 2017

TABLE OF CONTENTS Introductory Section

Letter of Transmittal I Section A ndash Authority History Local Economic Condition amp Outlook II

Section B ndash Major Initiatives for FY20162017 III Section C ndash Other Information IV

Organization Chart VIII Principal Officials IX Certificate of Achievement for Excellence in Financial Reporting X

Financial Section

Independent Auditorsrsquo Report 1 Managementrsquos Discussion and Analysis 3 Basic Financial Statements 9

Statement of Net Position 10 Statement of Revenues Expenses and Changes in Net Position 12 Statement of Cash Flows 14 Notes to the Basic Financial Statements 17

Statistical Section Historical Operating Results 39 Net Position by Component 40 Service Obligation 41 Revenues by Source 42 Operating Indicators 43 Debt Service Payment Schedule 44 Ratio of Outstanding Debt by Type 45 Water Production for the Member Agencies 46 Actual Desalter Water Sales 47 Well Capacity of Chino I amp Chino II Desalters 48 Demographic amp Economic Statistics 49

January 4 2018 To the Chairperson of the Chino Basin Desalter Authority Board Members of the Board and Joint Powers Authority members of the Chino Basin Desalter Authority The Annual Financial Report of the Chino Basin Desalter Authority (herein after referred to as the Authority) is hereby submitted for the fiscal year ended June 30 2017 State and local ordinances and statutes require that the Authority annually issue a report on its financial condition and activities and that an independent audit firm of certified public accountants audit this report In addition generally accepted accounting principles (GAAP) require that management provide a narrative introduction overview and analysis to accompany the basic financial statements The narrative section is called Managementrsquos Discussion and Analysis (MDampA) This letter of transmittal is designed to complement the MDampA providing significant financial highlights The Authorityrsquos MDampA can be found immediately following the report of the independent audit firm Included within this letter are several sections that provide important information about the operations and economic conditions of the Authority These sections are denoted as follows Section Content A History B Major Initiatives for the Year and Future Years C Other Information

Management Responsibility for Financial Information

The preparation of Fiscal Year 201617 Annual Financial Report was prepared by the CDA Finance Staff Responsibility for both the accuracy of the data and completeness and fairness of the presentation including all disclosures rests with the Authorityrsquos management To the best of managementrsquos knowledge and belief the enclosed information is accurate in all material respects and is reported in a manner designed to present fairly the financial condition and results of operations of the Authority Disclosures are presented to enable the reader to gain an understanding of the Authorityrsquos financial activities

January 4 2018 To the Chairperson and Members of The Board of Chino Basin Desalter Authority

SECTION A

AUTHORITY HISTORY LOCAL ECONOMIC CONDITION AND OUTLOOK Entity Formation The Chino Basin Desalter Authority (CDA) was formed in September 2001 as a Joint Exercise of Powers Authority (JPA) to manage and operate the Chino Desalter No 1 and the Chino Desalter No 2 The original JPA is comprised of the cities of Chino Chino Hills Ontario Norco Jurupa Community Services District (JCSD) Santa Ana River Water Company and Inland Empire Utilities Agency (IEUA) In August of 2008 Western Municipal Water District was added as an additional member of CDA There are eight Directors one from each entity As an ex-officio member of the JPA IEUA participates in all discussions concerning issues before the Board of Directors Per the JPA formation agreement IEUA has appointed one of its Board of Directors to sit on the CDA Board as a non-voting member In February 2002 the CDA finalized the purchase of the Chino Desalter No 1 and all related assets and liabilities from the Santa Ana Watershed Project Authority (SAWPA) The purchase price was $64489532 To facilitate the purchase the Authority issued variable rate revenue bonds in the amount of $100000000 Bond proceeds in excess of the acquisition price provided partial funding for the design and construction of the Chino Desalter No 1 expansion to 14560 acre-feet per year and the design and construction of Chino Desalter No 2 to produce 11200 acre-feet per year On June 1 2004 the Authority issued Adjustable Rate Desalter Revenue Refunding Bonds Series 2004A-1 and 2 for a total of $110500000 The purpose of the issuance was twofold 1) to refund all of the outstanding $100000000 2002 A Variable Rate Bonds and 2) to provide additional funding to complete the Chino No 1 Expansion and Chino No 2 Desalter construction projects The balance of the funding for the design and construction of the additional Desalter facility was provided by $48 million in Proposition 13 grant administered by the Santa Ana Watershed Project Authority (SAWPA) through a contract with the State Water Resources Control Board On April 1 2008 the Authority issued Desalter Revenue Refunding Bonds Series 2008A for a total of $89440000 The purpose of this issuance was to refinance the Adjustable Rate Desalter Refunding Bonds Series 2004A-1 amp 2 Chino Desalter No 1 located in the southern part of the city of Chino started operating in September 2000 The original design of Chino Desalter No 1 calls for 9200 acre-feet of desalinated water The objectives of the project include the production cleanup and the distribution of recovered water for potable consumption Chino Desalter No 1 meets the needs of additional residents in the west end of San Bernardino County and Riverside County Chino Desalter No 2 located in the City of Jurupa Valley started operating in the summer of 2006 with a design capacity of 10400 acre-feet

AUTHORITY HISTORY LOCAL ECONOMIC CONDITION AND OUTLOOK (continued) Entity Formation (continued) The admission of Western Municipal Water District (WMWD) as a CDA member ties in with the construction of Chino Basin Desalter Phase 3 Expansion Project - The expansion project a Phase 3 approach to the desalination of groundwater basin also supplements the effort of achieving hydraulic control of the Chino Basin The project is expected to produce an additional 10500 acre-feet of product water shared by the sponsor group The sponsor group consists of WMWD City of Ontario and JCSD Economic Conditions and Outlook After emerging from its recent ldquogreat recessionrdquo the Inland Empire (IE) region is forecast to continue its recovery at a relatively fast pace for the near future Many sectors have shown good improvement surpassing the Statersquos recovery Most notable industries include transportation warehousing education health care and real estate As IE continues to be affordable in terms of housing compared to neighborhood counties population continues its growth pace while unemployment has reached the 50 percent and below level This is a good indicator that IE is still attractive to most for jobs housing and education Overall the water and waste water sectors continue to be favorable The outlook is bright for Chino Basin Desalter Authority (CDA) as Phase 3 Expansion is coming to completion The added capacity to produce additional water is certainly very positive to the region However the challenge will continue to be maintaining sustainable production of water for the region CDA will continue its part as one of the significant players in the IE region

SECTION B

MAJOR INITIATIVES AND ACCOMPLISHMENTS FOR FY 20162017 Total delivery for FY201617 was 24655 acre-feet (AF) of water which was 55 acre-feet above the entitlement total of 24600 AF CDA has continued to follow its objective to just pump enough water to deliver at the entitlement level The Concentrate Reduction Facility (CRF) a $50 million-dollar project of Phase 3 Expansion was tested successfully during the fourth quarter of FY2017 but was subsequently taken offline for further evaluation Major Accomplishments

Phase 3 Expansion components completed at June 2017 include 1) Well Drilling and

equipping of wells I-16 I-17 and I-18 2) Chino I Desalter Raw Water Pipeline 3) Chino II 10101110 Pump Stations 4) Well Drilling and equipping of wells I-20 and I-21 5) Milliken Pump Station 6) Product Water Pipeline (excluding Santa Ana River crossing)

Concentration Reduction Facility completed the 7-day performance test

Santa Ana River Crossing HDD Design Project is in design phase

Major Initiatives and Accomplishments (continued) Major Accomplishments (continued) Completed the refunding of 2008A bonds The successful refunding will save about $10

million in interest expense with a net present value $97 million Received the GFOA (Governmental Finance Officers Association)rsquos Excellence in

Financial Reporting award for Fiscal Year 201516 comprehensive annual financial report

FUTURE INITIATIVES Chino Desalter No 1

Complete the construction of the Chino 1 Reliability project Anticipated completion

October 2017 Chino Desalter No 2 Complete the Brine Line Flow Meters Anticipate completion October 2017

Chino Desalter Phase 3 Expansion Begin production and delivery of water Concentrate Reduction Facility is expected to be

online the second half of FY1718

Complete Santa Ana River Crossing HDD Design Project for delivery of water to Western MWD with the anticipate completion date of January 2018

Complete the construction start-up and close-out of significant projects 1)

Concentration Reduction Facility 2) Chino I amp II Intertie Pipeline 3) Equipping Wells II-10 and II-11

SECTION C

OTHER INFORMATION Internal Controls The Management of the Authority is responsible for establishing and maintaining an internal control structure designed to ensure that the assets of the Authority are protected from loss theft or misuse and to ensure that adequate accounting data is compiled to allow for the preparation of financial statements in conformity with generally accepted accounting principles The internal control structure is designed to provide reasonable but not absolute assurance that these objectives are met

The concept of reasonable assurance recognizes that

1 The cost of a control should not exceed the benefits likely to be derived and

2 The valuation of costs and benefits requires estimates and judgments by Management

Budgetary Controls The Authority maintains extensive budgetary controls The objective of these controls is to ensure compliance with legal provisions embodied in the annually appropriated budget approved by the Authoritys Board of Directors The level of budgetary control (ie the level at which expenditures canrsquot legally exceed the appropriated amount) is the category level (ie Office and Administrative Expenses etc) within the Authority The Authority maintains an encumbrance accounting system as an additional method of maintaining budgetary control With the Boardrsquos approval encumbered amounts at year-end will be carried forward to the next fiscal year Independent Audit State statutes require an annual audit by independent certified public accountants The Authoritys Board of Directors appointed the firm of White Nelson Diehl Evans LLP to perform the annual audit As part of the audit reviews were made to determine the adequacy of the internal control and to ensure compliance with applicable laws and regulations related to all financial activities conducted by the Authority Generally accepted auditing standards were used by the auditors in conducting the engagement The auditors report on the basic financial statements is included in the financial section of this report

OTHER INFORMATION (continued) Cash and Investment Management The Authority has a comprehensive cash and investment program subject to California State Code and bond covenants These regulations are incorporated into the Authorityrsquos Investment Policy which identifies the types of investments that are authorized and indicates any restrictions As required by the State of California Government Code the Authority annually adopts an Investment Policy that is intended to minimize credit and market risks while maintaining a competitive yield on its overall portfolio The Authorityrsquos cash management system is also designed to forecast revenues and expenditures accurately and to invest idle funds to the fullest extent possible In order of priority the Authorityrsquos objectives when investing reinvesting purchasing acquiring selling enhancing and managing public funds are as follows 1 Safety Safety of principal is the foremost objective of the investment program Investments made by the Authority are undertaken in a manner that seeks to ensure the preservation of capital in the overall portfolio To attain this objective diversification is required to prevent any potential loss on any individual security or depository from exceeding the income generated from the remainder of the portfolio 2 Liquidity The investment portfolio will remain sufficiently liquid to enable the Authority to meet all operating requirements that might be reasonably anticipated 3 Return on Investments The investment portfolio shall be designed with the objective of attaining a market rate of return throughout budgetary and economic cycles taking into account the investment risk constraints and the cash flow characteristics of the portfolio All cash and investment transactions are conducted in accordance with the Authorityrsquos resolutions and Investment Policy While management recognizes that investment risks may result from issuer defaults market price changes or various technical complications leading to temporary illiquidity portfolio diversification is employed as a way to control these risks Investment Summary The Authority has followed a conservative approach in conducting its investment activities By following the established Investment Policy Authority staff has successfully managed the investment portfolio to attain the Authorityrsquos objectives Please refer to Note 2 to the basic statements for additional information regarding investments

OTHER INFORMATION (continued) Awards The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to CDA for its comprehensive annual financial report for the fiscal year ended June 30 2016 This was the third year the Authority received the prestigious award In order to be awarded a Certificate of Achievement a government must publish an easily readable and efficiently organized comprehensive annual financial report This report must satisfy both generally accepted accounting principles and applicable legal requirements A Certificate of Achievement is valid for a period of one year only We believe that our current comprehensive annual financial report continues to meet the Certificate of Achievement Programrsquos requirements and we are submitting it to the GFOA to determine its eligibility for another certificate

Acknowledgements We acknowledge the thorough and professional manner in which our auditors White Nelson Diehl Evans LLP conducted the audit Additionally we would like to acknowledge the staffs from the member agencies of the Authority for their cooperation and contribution in providing the necessary information to complete this report Additionally we would like to acknowledge the Board of Directors of CDA for their continued support of the Authorityrsquos goal of sound accountable financial management and for maintaining the highest standards of professionalism in the management of Chino Basin Desalter Authorityrsquos finances We truly appreciate the unfailing interest and support Respectfully submitted ______________________ Curtis D Paxton General ManagerCEO ______________________ Michael C Chung CFOTreasurer

Desalters operated by CDA Member Agencies

BOARDSECRETARY

FINANCE INTERN

OPERATIONS MANAGER

EXECUTIVE ASSISTANT CFOTREASURER

GENERAL MANAGERCEO ADMINISTRATION

PRINCIPAL ACCOUNTANT

FY201617 ORGANIZATION CHART

BOARD MEMBERS

CDA BOARD OF DIRECTORS

CHINODESALTER I

CHINODESALTER II

Curtis Paxton

Allison E Burns

Principal Officials

June 30 2017

Michael Chung Treasurer

OFFICERS OF THE AUTHORITYRobert Stockton Secretary

General ManagerCEO

LEGAL COUNSELDeputy General Counsel

J Arnold Rodriquez Santa Ana River Water CompanyJasmin Hall

Robert Stockton Western Municipal Water District

Peter RogersBetty Anderson

BOARD OF DIRECTORSTom Haughey City of Chino

City of Chino Hills

City of OntarioJurupa Community Services District

Jim Bowman

Inland Empire Utilities Agency

Greg Newton City of Norco

INDEPENDENT AUDITORSrsquo REPORT

Board of Directors Chino Basin Desalter Authority Ontario California We have audited the accompanying financial statements of the Chino Basin Desalter Authority (the Authority) as of and for the year ended June 30 2017 and the related notes to the financial statements which collectively comprise the Authorityrsquos basic financial statements as listed in the table of contents Managementrsquos Responsibility for the Financial Statements Management is responsible for the preparation and fair presentation of these financial statements in accordance with accounting principles generally accepted in the United States of America this includes the design implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement whether due to fraud or error Auditorsrsquo Responsibility Our responsibility is to express an opinion on these financial statements based on our audit We conducted our audit in accordance with auditing standards generally accepted in the United States of America Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements The procedures selected depend on the auditorsrsquo judgment including the assessment of the risks of material misstatement of the financial statements whether due to fraud or error In making those risk assessments the auditors consider internal control relevant to the Authorityrsquos preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances but not for the purpose of expressing an opinion on the effectiveness of the Authorityrsquos internal control Accordingly we express no such opinion An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management as well as evaluating the overall presentation of the financial statements We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion Opinion In our opinion the basic financial statements referred to above present fairly in all material respects the financial position of Chino Basin Desalter Authority as of June 30 2017 and the results of its operations and cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America

Other Matters Summarized Comparative Information We have previously audited the Chino Basin Desalter Authorityrsquos 2016 financial statements and our report dated December 8 2016 expressed an unmodified opinion on those audited financial statements In our opinion the summarized comparative information presented herein as of and for the year ended June 30 2016 is consistent in all material respects with the audited financial statements from which it has been derived Required Supplementary Information Accounting principles generally accepted in the United States of America require that the managementrsquos discussion and analysis identified as Required Supplementary Information (RSI) in the accompanying table of contents be presented to supplement the basic financial statements Such information although not a part of the basic financial statements is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational economic or historical context We have applied certain limited procedures to the RSI in accordance with auditing standards generally accepted in the United States of America which consisted of inquiries of management about the methods of preparing the information and comparing the information for consistency with managementrsquos responses to our inquiries the basic financial statements and other knowledge we obtained during the audit of the basic financial statements We do not express an opinion or provide any assurance on the RSI because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance Other Information Our audit was conducted for the purpose of forming an opinion on the Authorityrsquos basic financial statements The Introductory Section and Statistical Section as listed in the table of contents are presented for purposes of additional analysis and are not a required part of the basic financial statements The Introductory Section and Statistical Section have not been subjected to the auditing procedures applied in the audit of the basic financial statements and accordingly we do not express an opinion or provide any assurance on them Irvine California December 20 2017

MANAGEMENTrsquoS DISCUSSION AND ANALYSIS

The intent of the managementrsquos discussion and analysis is to provide highlights of the Authorityrsquos financial activities for the Fiscal Year ended June 30 2017 Readers are encouraged to read this section in conjunction with the transmittal letter and the accompanying basic financial statements CDA Financial Statements The financial statement for the Fiscal Year 201617 reflects the sixteenth year of operation of Chino Desalter No1 and the tenth year of operation for the Chino Desalter No 2 The Authority uses full accrual accounting which recognizes transactions when they occur regardless of when cash is exchanged FINANCIAL HIGHLIGHTS Operation and maintenance assessments from member agencies totaled $17044K while total fixed projectcapital assessments recorded were $5658K MWDrsquos local resource subsidy for the Fiscal Yearrsquos production was $2687K based on the total allowable yield of 237813 acre-feet and an adjusted rate of $113 per acre-feet Groundwater replenishment credit from Chino Basin Watermaster and the corresponding expense to member agencies totaled $18367K for Fiscal Year 201617 Total operating expenses recorded for Fiscal Year ended June 30 2017 were $37726K This total included Operation and Maintenance expenses of $11477K MWDrsquos subsidy passed back to member agencies of $2687K Groundwater Replenishment Expense of $18367K and General and Administrative expenses totaling $1141K The remainder of the operating expense balance of $4052K was depreciation and amortization for all tangible and intangible assets In summary total operating and non-operating revenue of $43865K was below total expenses of $45371K producing income loss before contributions of $1506K In FY201617 the Authority recorded a total contribution from the Expansion Project Sponsors of $10577K which represented the total addition of construction in progress for FY2017 The final balance of net position at June 30 2017 was $195606K

FINANCIAL HIGHLIGHTS (continued) Changes in Financial Conditions of the Authority

Increase(Decrease)201617 201516 from 201516

Current unrestricted assets 21583761$ 17929626$ 3654135$ 20

Current restricted assets 25466704 15005889 10460815 70

Captial assets 250885177 239552396 11332781 5

Other assets 14021328 11662227 2359101 20

Total assets 311956970 284150138 27806832 10

Total deferred outflow of resources 4575503 - 4575503

Current liabilities 50293654 23907755 26385899 110

Noncurrent liabiliites 70632012 74243460 (3611448) -5

Total liabilities 120925666 98151215 22774451 23

Investment in capital assets 179005072 169909151 9095921 5

Unrestricted 16601735 16089772 511963 3

Total net position 195606807$ 185998923$ 9607884$ 5

Operating revenues 38098746$ 39082962$ (984216)$ -3

Operating expenses (37726347) (38824814) 1098467 -3

Non-operating revenues 5766701 11534780 (5768079) -50

Non-operating expenses (3436468) (8492172) 5055704 -60

Prior year annual reconciliation (4208831) (1301131) (2907700) 223

Distribution of reserves to member agencies - - -

Change in net position prior to capital contributions (1506199) 1999625 (3505824) -175

Capital grants 200318 4768747 (4568429) -96

Contributed expansion costs from Sponsors agencies 10577487 19614552 (9037065) -46

Contributed South Archibald Plume Project costs 336278 28871 307407 1065

Total capital contributions 11114083 24412170 (13298087) -54

Change in net position 9607884 26411795 (16803911) -64

Beginning net position 185998923 159587128 26411795 17

Ending net position 195606807$ 185998923$ 9607884$ 5

The following explanations denote some of the significant changes between Fiscal Years as compared in the above table

bull The increase in total assets of $278M or 10 is a combination of changes in several areas 1) current unrestricted assets increased by $37M as a result of an increase in accounts receivables totaling $86M mainly related to grant funding for the Expansion Project 2) current restricted assets increased by $105M due to funds held for the Expansion Project and the South Archibald Plume Clean-up Project 3) capital assets increase by $113M for jobs in progress primarily related to the Phase 3 Expansion Project (does not include assets being depreciated) and 4) Other Assets specifically long-term investments increased by $23M (Note 2) for additions in investment of US Government Sponsored Entities with the corresponding decrease in cash

bull Total deferred outflow of resources corresponds to the refunded 2008A Series Bonds and issuance of the 2016A Revenue Refunding Bonds The debt service reserve fund was utilized for the extinguishment of the 2008A bonds and issuance of the 2016A bond

bull Total liabilities increased by $227M or 23 and can be summarized in two parts 1) current liabilities which increased by $263M mainly due to grant pass-through payables to the Expansion Project Sponsors and deposits held for the South Archibald Plume Clean-up 2) noncurrent liabilities which recorded a decrease of $36M directly related to the 2008A Series Bonds refunded and the issuance of the 2016A Series Revenue Refunding Bonds achieving lower debt service payments

bull Changes in net position before capital contributions reflect a decrease of $35M The decrease

was due to lower capital assessments and a higher annual reconciliation of cost refund compared to last year Additionally deferred costs associated with the refunded 2008A Series Bonds and costs of issuance related to the 2016A Series Revenue Refunding Bonds were recorded

bull Total change in net position was a positive $96M including the addition of $109M in jobs in progress mainly related to the Expansion Project

Desalter Water Sales Total product water delivered for Fiscal Year ended June 30 2017 was 24655 acre-feet a minor increase of 24 over last Fiscal Yearrsquos delivery Management has decided to control production water at the contractual level of 24600 AF The objective is to avoid over pumping of the Chino Basin groundwater table The distribution of water in acre-feet was as follows City of Chino ndash 5008 City of Chino Hills ndash 4208 City of Norco ndash 1003 City of Ontario ndash 5013 Santa Ana River Water Co ndash 1200 and Jurupa Community Services District ndash 8223 Refer to the Supplementary Statistical section of this report for history production data

FINANCIAL HIGHLIGHTS (continued) Revenues Total revenues for the Fiscal Year ended June 30 2017 amounted to $43832K The following table presents revenue by category

(Excluding Prior Years Annual Reconciliation and)

AMOUNT OF TOTAL AMOUNT OF

TOTAL AMOUNT OF CHANGE

Operations amp Maintenance Assessments $17044204 398 $16618440 328 $425764 26

MWD Subsidies to Member Agencies 2687287 62 2415014 48 272273 113

Groundwater Replenishment Credit 18367255 429 20049508 396 -1682253 (84)

Capital Assessments 5658952 132 10823669 214 -5164717 (477)

Interest Income 107749 03 323787 06 -216038 (667)

Other Non-operating Revenues -1033024 -24 387324 08 -1420348 (3667)

Total Revenues $42832423 1000 $50617742 1000 -$7785319 (154)

Revenue by CategoryFor the Fiscal Year Ended June 30 2017

(With Comparative Totals for the Fiscal Year Ended June 30 2016)

Revenue Category 201617 201516IncreaseltDecreasegt from

201617

Operations amp Maintenance Assessments

MWD Subsidies to Member Agencies

Groundwater Replenishment

Credit429

Capital Assessments132

Interest Income03

Other Non-operating Revenues

RevenuesFor the Fiscal Year Ended June 30 2017

$42832423

Total OampM assessments to the member agencies was $170M an increase of 26 or $4M compared to last fiscal year as a result of cost primarily associated with anticipated deliveries of the Expansion Project for part of the fiscal year Fixed project assessments of $56M represent a decrease of about $51M due to lower assessments for capital projects Other Non-operating expenses relate to costs for the closing of the 2008A Bond Series and reissue of the 2016A Revenue Refunding Bonds

Expenses Total expenses for the Fiscal Year ended June 30 2017 was $44338K The following table presents expenses by category compared to prior Fiscal Year

Operations amp Maintenance $11477876 259 $11355053 234 $122823 11MWD Subsidies to Member Agencies 2687287 61 2415014 50 272273 113Groundwater Replenishment Credit 18367255 413 20049508 412 (1682253) (84)Administration and General 1141293 26 1021185 21 120108 118Depreciation and Amortization 4052637 91 3984054 82 68583 17Interest on Long-Term Debt 2203126 50 3723425 77 (1520299) (408)Annual reconciliation of costs 4208831 95 1301131 27 2907700 2235Federal Grant Payment to Sponsors 200318 05 4768747 98 (4568429) (958)

Total Expenses $44338623 1000 $48618117 1000 ($4279494) (88)

Expenses by CategoryFor the Fiscal Year Ended June 30 2017

Expense Category 201617 201516IncreaseltDecreasegt

from 201516

Operations amp Maintenance

61Groundwater

Replenishment Credit413

Administration and General

Depreciation and Amortization

Interest on Long-Term Debt

Annual reconciliation of

costs95

Federal Grant Payment to

Sponsors05

ExpensesFor the Fiscal Year Ended June 30 2017

$44338623

While minor change in water production compared to last fiscal year Operations amp Maintenance expenses registered a minor increase of 11 Interest on long-term debt reflected a decrease of 408 or $15M from last year as a result of refunding the 2008A Series Bonds and issuance of the 2016A Revenue Refunding Bonds Annual reconciliation of costs increased 2235 during FY1617 because the expected expenses for new Phase 3 Expansion water did not materialize when no water was produced This resulted in overassessments to the affected CDA members

FINANCIAL HIGHLIGHTS (continued) Expenses (continued) While minor change in water production compared to last fiscal year Operations amp Maintenance expenses registered a minor increase of 11 Interest on long-term debt reflected a decrease of 408 or $15M from last year as a result of refunding the 2008A Series Bonds and issuance of the 2016A Revenue Refunding Bonds Annual reconciliation of costs increased 2235 during FY1617 because the expected expenses for new Phase 3 Expansion water did not materialize when no water was produced This resulted in overassessments to the affected CDA members Capital Assets and Construction in Progress (CIP) Net of accumulated depreciation of $472M the Authority had total capital assets of $2508M in FY201617 The total capital assets included $1461M of construction in progress (CIP) During the fiscal year the Phase 3 Expansion Project accounted for $105M of the CIP total Significant projects included the Concentrate Reduction Facility project with a budget of close to $47M Chino I amp II Raw Water Intertie Pipeline Well Equipping of Wells II-10 and II-11 and the Product Water Pipeline Please see Note 6 amp 7 to the basic financial statements for additional information regarding capital assets Debt Management The outstanding principal balance of the Desalter Revenue Refunding Bonds Series 2016A at June 30 2017 was $64545000 The next principal payment of $2305000 will be due on June 1 2018 Total bond interest paid and accrued for Fiscal Year 201617 amounted to $2203126 Refer to Note 8 to the basic financial statements for additional information regarding debt management During fiscal year 2017 the Authority advanced refunded the 2008A Revenue Refunding Bonds with a principal amount outstanding of $74790000 The refunding provided a net present value savings of $98 million and lower debt service payments from lower interest rates while maintaining the original maturity date of June 2035 Contacting the Authorityrsquos Financial Management This financial report is designed to provide the members of the Chino Basin Desalter Joint Exercise of Powers Authority its citizens customers investors and creditors with a general overview of the Authorityrsquos finances and to demonstrate the Authorityrsquos accountability for the revenues it receives If you have questions about this report or need additional financial information please contact the Authorityrsquos Treasurer 2151 Haven Avenue Suite 202 Ontario CA 91761

CHINO BASIN DESALTER AUTHORITY BASIC FINANCIAL STATEMENTS OVERVIEW Financial Statements The following Basic Financial Statements along with the Notes to the Basic Financial Statements present an overview of the Authorityrsquos financial position at June 30 2017 and the results of operations and the cash flows of its proprietary fund types for the year then ended The Basic Financial Statements consist of

1) Statement of Net Position ndash the statement denotes the increase of net position of the Authority

2) Statement of Revenues Expenses and Changes in Net Position ndash the statement

shows all revenue and expense sources recorded for the period and their effects on the net position of the Authority

3) Statement of Cash Flows ndash the statement reflects the Authorityrsquos financial

activities and their effect on cash It also denotes the cash position of the Authority at the end of the fiscal period

4) Notes to the Basic Financial Statements

CHINO BASIN DESALTER AUTHORITYStatement of Net PositionJune 30 2017

2017 2016ASSETS

Current assets

Unrestricted current assetsCash amp investments (Note 2) $2334089 $7257916Accounts receivable 19126580 10491839Other receivable 0 78660Prepaid expenses 21881 0Inventory 95077 95077Deposits 6134 6134

Total unrestricted assets 21583761 17929626

Restricted current assetsCash amp investments held for expansion project (Note 2 amp 3) 16233429 4122998Cash amp investments held for south archibald plume project (Note 2 amp 3) 6826586 1048265Assets held for defined contribution plan (Note 11) 523247 399603Cash held in escrow accounts (Note 3) 1883442 3012195Cash amp investments held with trusteefiscal agents (Note 2 amp 3) 0 6422828

Total restricted assets 25466704 15005889

Total current assets 47050465 32935515

Noncurrent assetsLong term investments (Note 2) 13903771 11089127

Total long term investments 13903771 11089127

Capital assets (Note 6)Capital assets not being depreciated 1476144 1476144Jobs in progress 146138968 131194266Capital assets being depreciated net of accumulated depreciation 88034811 90920986Intangible assets net of accumulated amortization 15235254 15961000

Total capital assets 250885177 239552396

Other assetsPrepaid Bond Insurance 117557 573100

Total other assets 117557 573100

Total noncurrent assets 264906505 251214623

Total assets $311956970 $284150138

Deferred ouflow of resourcesDeferred amount on debt refunding 4575503 $0

Total deferred outflow of resources $4575503 $0

The accompanying notes are an integral part of the basic financial statements

(With Comparative Totals for June 30 2016)

Totals

2017 2016LIABILITIES

Current liabilities

Accounts payable $2051246 $3533735 Accrued liabilities 918365 29565 Compensated absences - current payable (Note 8) 14390 10207 MWD contribution due to member agencies 2687312 2415039 Retentions payable 47364 0 Long-term debt due within one year (Note 8) 2305000 2365000 Interest payable 212814 303502 Phase 3 Expansion Sponsor DepositGrant Payable 28692704 10526203 South Archibald Plume deposit 11481017 1042309

Total current liabilities 48410212 20225560

Restricted current liabilities Good Faith Deposit 2016A Bond (Note 13) 0 670000 Retention held in escrow (Note 3) 1883442 3012195

Total restricted current liabilities 1883442 3682195

Noncurrent liabilities

Contract payable due in more than one year 80000 80000 Long-term debt due in more than one year (Note 8) 69960644 73701073 Liability for defined contribution plan (Note 11) 523247 399603 Compensated absences payable (Note 8) 68121 62784

Total noncurrent liabilities 70632012 74243460

Total liabilities 120925666 98151215

NET POSITION

Net investment in capital assets 179005072 169909151

Unrestricted 16601735 16089772

Total net position $195606807 $185998923

Totals

Changes in Fund Net PositionYear Ended June 30 2017(With Comparative Totals for June 30 2016)

2017 2016OPERATING REVENUES

Operations and maintenance assessments $17044204 $16618440MWD contribution revenue 2687287 2415014 Groundwater replenishment credit 18367255 20049508

Total operating revenues 38098746 39082962

OPERATING EXPENSES

Operations and maintenance 11477876 11355053 MWD contributions to member agencies 2687287 2415014 Groundwater replenishment expense 18367255 20049508 Administration and general 1141292 1021185 Depreciation and amortization 4052637 3984054

Total operating expenses 37726347 38824814

Operating income 372399 258148

NONOPERATING REVENUES (EXPENSES)

Interest income 107749 323787Fixed projectcapital assessments 5658952 10823669Other nonoperating revenue (expenses) (1033024) 387324Interest on long-term debt (2203126) (3723425)Annual reconciliation of costs (4208831) (1301131)Payments of federal grants to Phase 3 Expansion Project Sponsors (note 1) (200318) (4768747)

Total nonoperating revenues (expenses) (1878598) 1741477

Income (loss) before contributions (1506199) 1999625

CAPITAL CONTRIBUTIONS

Capital grants (note 1) 200318 4768747Contributed expansion costs from Sponsors agencies 10577487 19614552Contributed Capital for South Archibald Plume Project 336278 28871 Total Capital Contributions 11114083 24412170

Change in net position 9607884 26411795

Total net position - beginning 185998923 159587128

Total net position - ending $195606807 $185998923

Statement of Revenues Expenses and

Totals

CHINO BASIN DESALTER AUTHORITYStatement of Cash FlowsYear Ended June 30 2017

2017 2016

CASH FLOWS FROM OPERATING ACTIVITIES Cash received from customers 17044204 $16618440 Cash payments to suppliers for goods and services (10798460) (11219894) Cash payments for contract labor (1830697) (1924929) Cash payments to others (2415014) (2783893)

Net cash provided (used) by operating activities 2000033 689724

CASH FLOWS FROM CAPITAL AND RELATED FINANCING ACTIVITIES Acquisition and construction of capital assets (15385419) (16557359) Fixed projectcapital assessments 5658952 10823669 Sponsors deposit in Phase 3 Expansion Project 19302476 5419355 Plume Party deposit 11481017 1042309 Annual reconciliation of project costs (4208831) (1301131) Principal paid on capital debt (2560000) (2220000) Interest paid on capital debt (2293814) (3730825) Bond administration fees (8485) (9272) Federal Capital grant receipts 200318 4768747 Payment of federal grants to Phase 3 Expansion Project Sponsors (200318) (4768747) Release of escrow funds (1128753) (3012195) 2016A Bond Good Faith Deposit received 0 670000 2016A Bond Good Faith Deposit liability 0 (670000) Proceeds from 2016A bond issuance 75254569 0 Proceeds from 2008A bond debt reserve fund 6422801 0 Payment to refunding escrow agent (80895770) 0 Paid other expenses related to 2016A bond refunding (781600) 0

Net cash provided (used) by capital and related financing activities 10857143 (9545449)

CASH FLOWS FROM INVESTING ACTIVITIES

Interest on investments 107749 323787

Net cash provided by investing activities 107749 323787

Net increase (decrease) in cash and cash investments 12964925 (8531938)

Cash and cash investments - beginning 12429179 20961117

Cash and cash investments - ending $25394104 $12429179

Totals

2017 2016

RECONCILIATION OF OPERATING INCOME TO NET CASH PROVIDEDFOR (USED BY) OPERATING ACTIVITIESOperating income (loss) 372399 $258148

Adjustments to reconcile operating income to net cashprovided (used) by operating activities Depreciation and amortization 4052637 3984054

(Increase) decrease in operating assets Accounts receivable (2133253) 2921578 Prepaid items (21881) (95077)Increase (decrease) in operating liabilities Accounts payable (1482489) (5922982) MWD rebates due to member agencies 272273 (368879) Retention liabilities 47364 (101595) Accrued liabilities 892983 14477

Net cash provided (used) by operating activities 2000033 $689724

RECONCILIATION OF CASH amp CASH EQUIVALENTS TOTHE STATEMENT OF NET POSITION

Cash amp cash investments at end of year $25394104 $12429179

Total cash and cash investments $25394104 $12429179

Cash amp investments $2334089 $7257916

Restricted current assets held for expansion project 16233429 4122998Restricted current assets held for south archibald plume project 6826586 1048265

Total cash investments and restricted assets $25394104 $12429179

NONCASH CAPITAL FINANCING AND INVESTING ACTIVITIES2017 2016

Change in Fair Value of Long Term Investments (39229) 252087

Totals

Index of Notes to the Basic Financial Statements

Note 1 Reporting Entity and Summary of Significant Accounting Policies 18

Note 2 Cash and Investments 24

Note 3 Restricted Assets 29

Note 4 Risk Management 29

Note 5 Contingencies 29

Note 6 Changes in Capital Assets 30

Note 7 Construction Commitments 32

Note 8 Long-Term Debt amp Contract Payable 33

Note 9 Arbitrage Rebate Obligation 34

Note 10 Groundwater Replenishment ExpenseCredits 34

Note 11 Defined Contribution Pension Plan 34

Note 12 Operating Lease 35

Note 13 Subsequent Events 35

NOTES TO THE BASIC FINANCIAL STATEMENTS

Fiscal Year Ended June 30 2017 (1) Reporting Entity and Summary of Significant Accounting Policies

Description of the Reporting Entity

The Chino Basin Desalter Authority (hereafter referred to as the CDA) a Joint Exercise of Powers Authority was formed in September of 2001 The membership of the CDA consists of the cities of Chino Chino Hills Ontario and Norco Jurupa Community Services District Santa Ana River Water Company Western Municipal Water District and Inland Empire Utilities Agency (IEUA) As defined by generally accepted accounting principles and the Governmental Accounting Standards Board CDA for financial reporting purpose is considered to be the primary government The CDA has no legally separate component units that require blended or discrete presentation

Subject to the limitation imposed by the Constitution of California and pursuant to its charter all powers of the CDA are vested in an eight-member Board of Directors seven of which have voting rights and one IEUA serving as an ex officio member without voting rights Each Board member is appointed by the respective JPA member agency Voting using the weighted approach is counted based upon the take or pay amount of product water each member is contractually committed to purchase For the purposes of transacting businesses of the Board five of the seven voting members need to be present The principal office of the CDA is established by resolution of the Board The CDA has appointed a Secretary and Treasurer and hired a General ManagerCEO

The accounting policies of the CDA conform to generally accepted accounting principles as they relate to governmental units The CDA applies all relevant Governmental Accounting Standards Board (GASB) pronouncements

Fund Accounting

The CDArsquos resources are allocated to and accounted for in one fund classified as an Enterprise Fund

Propriety Fund Types

Enterprise Fund

The Enterprise Fund is accounted for on a cost of services or capital maintenance measurement focus This means that assets deferred outflows or resources and liabilities (whether current or non-current) are included in the statement of net position The reported fund equity (net total position) is segregated into net investment in capital assets and restricted and unrestricted net position The Enterprise Fund type operating statement presents increases (revenues) and decreases (expenses) in net total position

(1) Reporting Entity and Summary of Significant Accounting Policies (continued)

Propriety Fund Types (continued)

Enterprise Fund (continued)

Enterprise Funds are used to account for operations (a) that are financed and operated in a manner similar to private business enterprises where the intent of the governing body is that the costs (expenses including depreciation and amortization) of providing goods or services to the general public on a continuing basis be financed or recovered primarily through user charges or (b) where the governing body has decided that periodic determination of revenues earned expenses incurred andor net income is appropriate for capital maintenance public policy management control accountability or other purposes

Basis of Accounting

Basis of accounting refers to the timing when revenues and expenses are recognized in the accounts and reported in the financial statements regardless of the measurement focus applied The CDA prepares its financial statements on the accrual basis of accounting Under the accrual basis of accounting revenues are recognized when earned and expenses are recorded when liabilities are incurred

Use of Estimates

The preparation of financial statements requires management to make certain estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements as well as the reported amounts of revenues and expenses during the reporting period Actual results could differ from those estimates

Use of Restricted and Unrestricted Funds

Restricted funds are generally imposed by external constraints either regulatory andor by agreements By nature of the constraints restricted funds are earmarked for specific use Unlike restricted funds unrestricted funds become discretionary funds for the Authority to use when it becomes available

Budgetary Policy and Control

The CDAs Board approves each fiscal years budget submitted by the Treasurer prior to the beginning of the new fiscal year All amendments to the budget or transfers of operating budget appropriations to or from reserve accounts over $50000 require Board approval Because the CDA is not required to present budget comparisons budgetary data is not presented in the accompanying basic financial statements

The Authority maintains budgetary controls to ensure compliance with legal provisions embodied in the appropriated budget approved by the Board All appropriations which are not obligated encumbered or expended at the end of the fiscal year shall lapse except for multi-year capital expenditures

Comparative Data

Selected information regarding the prior year has been included in the accompanying financial statements This information has been included for comparison purposes only and does not represent a complete presentation in accordance with generally accepted accounting principles Accordingly such information should be read in conjunction with the authorityrsquos prior yearrsquos financial statements from which this selected financial data was derived

New Accounting Pronouncements

Current Year Standards

bull GASB 73 - Accounting and Financial Reporting for Pensions and Related Assets That Are Not within the Scope of GASB Statement 68 and Amendments to Certain Provisions of GASB Statements 67 and 68 contains provisions that address employer and governmental nonemployer contributing entities for pensions that are not within the scope of GASB 68 effective for periods beginning after June 15 2016 and did not impact the Authority

bull GASB 74 - Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans effective for periods beginning after June 15 2016 and did not impact the Authority

bull GASB 77 - Tax Abatement Disclosure effective for periods beginning after December 15 2015 and did not impact the Authority

bull GASB 78 - Pensions Provided through Certain Multiple-Employer Defined Benefit Pension Plans effective for periods beginning after December 15 2015 and did not impact the Authority

bull GASB 79 - Certain External Investment Pools and Pool Participants contains certain provisions on portfolio quality custodial credit risk and shadow pricing effective for periods beginning after December 15 2015 and did not impact the Authority

bull GASB 80 - Blending Requirements for Certain Component Units effective for periods beginning after June 15 2016 and did not impact the Authority

bull GASB Statement No 76 ldquoThe Hierarchy of Generally Accepted Accounting Principles for State and Local Governmentsrdquo was required to be implemented in the current fiscal year and did not impact the Authority

bull GASB Statement No 79 ldquoCertain External Investment Pools and Pool Participantsrdquo was required to be implemented in the current fiscal year except for certain provisions on portfolio quality custodial credit risk and shadow pricing which are effective for periods beginning after December 15 2015 and did not impact the Authority

bull GASB Statement No 82 ldquoPension Issues an Amendment of GASB Statement No 67 No 68 and No 73rdquo changed the measurement of covered payroll reported in required supplementary information and did not impact the Authority

bull GASB Statement No 82 ldquoPension Issues an Amendment of GASB Statement No 67 No 68

and No 73rdquo changed the measurement of covered payroll reported in required supplementary information and did not impact the Authority

Pending Accounting Standards

GASB has issued the following statements which may impact the Authorityrsquos financial reporting requirements in the future

bull GASB 75 - Accounting and Financial Reporting for Postemployment Benefits Other Than

Pensions effective for periods beginning after June 15 2017 bull GASB 81 - Irrevocable Split-Interest Agreements effective for periods beginning after

December 15 2016

bull GASB 82 - Pension Issues effective for periods beginning after June 15 2016 except for certain provisions on selection of assumptions which are effective in the first reporting period in which the measurement date of the pension liability is on or after June 15 2017

bull GASB 83 - Certain Asset Retirement Obligations effective for periods beginning after

June 15 2018

bull GASB 84 - Fiduciary Activities effective for periods beginning after December 15 2018

bull GASB 85 - Omnibus 2017 effective for periods beginning after June 15 2017

bull GASB 86 - Certain Debt Extinguishment Issues effective for periods beginning after June 15 2017

bull GASB 87 - Leases effective for periods beginning after December 15 2019

bull GASB 79 - ldquoCertain External Investment Pools and Pool Participantsrdquo contains certain provisions on portfolio quality custodial credit risk and shadow pricing effective for periods beginning after December 15 2015

bull GASB 80 - ldquoBlending Requirements for Certain Component Unitsrdquo effective for periods beginning after June 15 2016

bull GASB 81 - ldquoIrrevocable Split-Interest Agreementsrdquo effective for periods beginning after

December 15 2016

bull GASB 82 - ldquoPension Issuesrdquo effective for periods beginning after June 15 2016 except for certain provisions on selection of assumptions which are effective in the first reporting period in which the measurement date of the pension liability is on or after June 15 2017

(1) Reporting Entity and Summary of Significant Accounting Policies (continued) Cash and Investments

Investments in short-term highly liquid debt instruments that have a remaining maturity at the time of purchase of one year or less are reported at cost or amortized cost All other investments are reported at fair value

For financial presentation purposes cash and cash equivalents are shown within cash short-term investments and restricted assets Additionally guidelines provided by GASB No 40 regarding risk disclosures on deposits and cash equivalents and investments have been followed The Authority defines cash and cash equivalents as demand account balances cash on hand repurchase agreements money market mutual funds and all cash deposited in LAIF Together these balances represent cash and investments with maturities less than 90 days

Capital Assets

Property plant and equipment are capitalized at cost The cost of a capital investment includes purchase rehabilitation or construction costs as well as ancillary expenses necessary to make productive use of the assets Current capitalization thresholds are reflected in the following table

Type of Total Estimated Increases Enhances Expenditure Cost Life Estimated Life Performance

Office Equipment Computer Equipment Other Equipment

ge $5000 ge $5000 ge $5000

gt 1 Year gt 1 Year gt 1 Year

NA NA NA

Maintenance amp Repair Expenditures

Maintenance amp Repair ge $5000 gt 1 Year YES -----

Expenditures ge $5000 ge 3 Years ----- YES Capital Projects ge $5000 ge 3 Years NA NA Single Year Capital Projects ge $5000 ge 3 Years NA NA

Multi Year Capital Projects ge $15000 ge 3 Years NA NA

Depreciation is computed using the straight-line method over the estimated useful lives (5 - 50 years) of the assets One month depreciation is recorded in the month of acquisition if the asset is acquired by the 15th of the month or earlier Otherwise depreciation and amortization begins on the following month

Estimated useful lives are Ω Furniture machinery and equipment 5 - 10 years

Improvements 15 years Buildings and plants 5 - 50 years Intangible Assets 30 - 50 years

The Authority capitalizes interest on tax exempt debt issued to finance construction projects net of interest earned on the unspent proceeds No interest was capitalized for fiscal year ended June 30 2017

Deferred OutflowsInflows of Resources

In addition to assets the statement of net position will sometimes report a separate section for deferred outflows of resources This separate financial statement element deferred outflows of resources represents a consumption of net position that applies to a future period(s) and so will not be recognized as an outflow of resources (expenseexpenditure) until then The Authority recognized deferred outflows of resources in the amount of $4575503 associated with the extinguishment of the 2008A Series Bonds and issuance of the 2016A Revenue Refunding Bonds

In addition to liabilities the statement of net position will sometimes report a separate section for deferred inflows of resources This separate financial statement element deferred inflows of resources represents an acquisition of net position that applies to a future period(s) and will not be recognized as an inflow of resources (revenue) until that time The Authority has no deferred inflows of resources

Prepaid Costs

Prepaid bond insurance costs on debt issuances are to be amortized over the life of the debt For the 2016A Desalter Revenue Refunding bonds the remaining amortization period is 18 years at the end of June 30 2017

Operating and Non-Operating Revenues and Expenses

Operating revenues and expenses relate to transactions generated as a direct result of the core business in which the Authority is engaged These transactions can be repetitive in nature within the normal business cycle Non-operating revenues and expenses are transactions incurred infrequently during the course of the Authorityrsquos business These types of transaction are generally not directly related to the general business of the Authority

Capital Contributions Transactions recorded in this category are generally capital in nature Construction in progress funded by the Expansion Project Sponsors and Federal grants receipts are prime examples Since receipts from federal grants are pass-through in nature the offsetting value is recorded in the non-operating revenues(expenses) category under the caption of payments of federal grants to Expansion Project Sponsors

(2) Cash and Investments

Cash and investments as of June 30 2017 are classified in the accompanying financial statements as follows

Investments Authorized by the California Government Code and the Authorityrsquos Investment Policy

The table below identifies the investment types that are authorized for the Authority by the California Government Code and the Authorityrsquos Investment Policy T he table also addresses the interest rate risk credit risk and concentration of credit risk This table does not address investments of debt proceeds held by bond trustee that are governed by the provisions of the debt agreements of the Authority

Authorized Investment Type

Maximum Maturity

Maximum Percentage of

Portfolio

Maximum Investment One Issuer

US Treasury Obligations 5 years None None US Agency Securities 5 years None None State Municipal Securities 5 years 15 None Commercial Paper 270 days None 10 Negotiable Certificate of Deposit 5 years 30 None Repurchase Agreements 90 days None

Medium Term Notes 5 Years 15 None Money Market Mutual Funds NA None None State Investment Pool NA None None

Statement of Net Position

Unrestricted current cash amp investments

$2334089

Restricted current assets held for expansion project

16233429

Restricted current assets held for South Archibald Plume Project 6826586 Restricted Cash held in escrow 1883442

Long-term investment

13903771

Total cash and investments

$41181317

Deposits with financial institutions

$1332625

Restricted Cash held in escrow 1883442

Investments

37965250

$41181317

(2) Cash and Investments (continued) Investments Authorized by Debt Agreements

Investments of debt proceeds held by bond trustee are governed by provisions of the debt agreements rather than the general provisions of the California Government Code or Authorityrsquos Investment Policy

The table below identifies the investment types that are authorized for investments held by bond trustee The table also identifies certain provisions of these debt agreements that address quality of risk interest rate risk credit risk and concentration of credit risk

Minimum Rating

Maximum Maturity

Maximum Percentage

Allowed

US Treasury Obligations None None None None US Agency Securities None None None None Money Market Funds AA-m Aa2 NA None None Certificates of Deposits None None None None Investment Agreements None None None None Commercial Paper A-1 Prime-1 270 days None None Bankers Acceptances A-1 Prime-1 1 Year None None Repurchase agreements A 30 days None None LAIF None NA None None

Disclosures Relating to Interest Rate Risk

Interest rate risk is the risk related to changes in market interest rates that will adversely affect the fair value of an investment Generally the longer the maturity of an investment the greater the sensitivity of its fair value to changes in market interest rates One of the ways that the Authority manages its exposure to interest rate risk is by purchasing a combination of shorter term and longer term investments and by timing cash flows from maturities so that a portion of the portfolio is maturing or coming close to maturity evenly over time as necessary to provide the cash flow and liquidity needed for operations

Information about the sensitivity of the fair values of the Authorityrsquos investments (including investments held by bond trustee) to market interest rate fluctuations is provided by the following table that shows the distribution of the Authorityrsquos investment by maturity

Remaining Maturity (in Months)

Investment Type

12 or Less

13 to 24

25 to 59

Negotiable Certificate of Deposit 4946921 736521 200684 4009716

Repurchase Agreement1

22976500

State Investment Pool

1055372

Medium Term Notes

3011850

Money Mkt Mutual Funds

US Govrsquot Sponsored Entities

5945000

$37965250

$24798000

$3212534

$9954716

1 Repurchase Agreement is uninsured and unregistered with the collateral for the repurchase agreement held in the name of

Citizens Business Bank but not in the name of the Authority

(2) Cash and Investments (continued) Investments with Fair Values Highly sensitive to Interest Rate Fluctuations

The Agencyrsquos Investment Policy states that purchases of investments will be restricted to securities with a final state maturity not to exceed five years The Agency manages its exposure to interest rate risk is by purchasing a combination of short term and long-term investments Investment maturities are spread out evenly to provide the cash flow and liquidity need for operations The Agency has elected to use the segmented time distribution method of disclosure for interest rate risk

Disclosures Relating to Credit Risk

Generally credit risk is the risk that an issuer of an investment will not fulfill its obligation to the holder of the investment This is measured by the assignment of a rating by a nationally recognized statistical rating organization Presented below is the minimum rating required by the Authorityrsquos Investment Policy and the actual Standard and Poorrsquos rating as of fiscal year ended June 30 2017

Concentration of Credit Risk The Investment Policy of the Authority contains several limitations on the amount that can be invested in any one issuer and type of investment as well as that stipulated by the California Government Code Investments in any one issuer (excluding investment pool) that represent 5 or more of the total Authority investments are as follows

Issuer Investment Type Reported Amount Percentage

Citizens Business Bank Repurchase Agreement $22976500 605

Various Issuers Negotiable Certificate of Deposit 4946921 130

FHLMC US Govrsquot Sponsored Entity 5945000 157

Exxon Mobil Corp Medium Term Note 3011850 79

Minimum Rating as of June 30 2017

Investment Type Value Rating

AA+ AAA Unrated State Investment Pool $1055372 NA $0 $0 $ 1055372

Repurchase Agreement 22976500 NA 0 0 22976500

Medium Term Notes 3011850 AAA 0 3011850 0

Negotiable Certificates of Deposit 4946921 NA 0 0 4946921

29607 A+ 29607 0 0

US Govrsquot Sponsored Entities 5945000 A+ 5945000 0 0

Total $37965250

$5974607 $3011850 $28978793

(2) Cash and Investments (continued) Custodial Credit Risk Custodial credit risk for deposits is the risk that in the event of failure of a depository financial institution a government will not be able to recover its deposits or will not be able to recover collateral securities that are in the possession of an outside party The custodial credit risk for investments is the risk that in the event of the failure of the counterparty (eg broker-dealer) to a transaction a government will not be able to recover the value of its investment or collateral securities that are in the possession of another party The California Government Code and the Authorityrsquos Investment Policy do not contain legal or policy requirements that would limit the exposure to custodial credit risk for deposits or investments other than the following provision for deposits The California Government Code requires that a financial institution secure deposits made by state or local governmental units by pledging securities in an undivided collateral pool held by a depository regulated under state law (unless so waived by the governmental unit) The market value of the pledged securities in the collateral pool must equal at least 110 of the total amount deposited by the public agencies California law also allows financial institutions to secure City deposits by pledging first trust deed mortgage notes having a value of 150 of the secured public deposits The Authorityrsquos deposits are insured by FDIC or collateralized as required by California Law The investment in the Repurchase Agreement is uninsured with the collateral for the repurchase agreement held in the name of Citizens Business Bank but not in the name of the Authority For investments identified herein as held by fiscal agent the trustee selects the investment under the terms of the applicable trust agreement acquires the investment and holds the investment on behalf of the reporting government

Investment in State Investment Pool The Authority is a voluntary participant in the Local Agency Investment Fund (LAIF) that is regulated by California Government Code Section 16429 under the oversight of the Treasurer of the State of California The fair value of the Authorityrsquos investment in this pool is reported in the accompanying financial statements at amounts based upon the Authorityrsquos pro-rata share of the fair value provided by LAIF for the entire LAIF portfolio (in relation to the amortized cost of that portfolio) The balance available for withdrawal is based on the accounting records maintained by LAIF which are recorded on an amortized basis

(2) Cash and Investments (continued) Fair Value Measurements The Authority categorizes its fair value measurement within the fair value hierarchy established by generally accepted accounting principles The hierarchy is based on the valuation inputs used to measure the fair value of the assets Level 1 inputs are quoted prices in active markets for identical assets Level 2 inputs are significant other observable inputs and Level 3 inputs are significant unobservable inputs The following is a description of the recurring valuation methods and assumptions used by the Authority to estimate the fair value of its investments

The three levels of the fair value hierarchy are described as follows

Level 1 Inputs to the valuation methodology are unadjusted quoted prices for identical assets in active markets that the Authority has the ability to access

Level 2 Inputs to the valuation methodology include

bull Quoted prices for similar assets in active markets bull Quoted prices for identical or similar assets in inactive markets bull Inputs other than quoted prices that are observable for the asset bull Inputs that are derived principally from or corroborated by observable

market data by correlation or other means Level 3 Inputs to the valuation methodology are unobservable and significant to the

fair value measurement Unobservable inputs reflect the Authorityrsquos own assumptions about the inputs market participants would use in pricing the asset (including assumptions about risk) Unobservable inputs are developed based on the best information available in the circumstances and may include the Authorityrsquos own data

Fair Value Measurement Table

Investment Type

Not subject to fair value

measurement

Quoted Prices Level 1

Observable Inputs Level 2

Negotiable Certificate of Deposit $0 $0 $4946921 $0 Repurchase Agreement1

22976500

State Investment Pool1

1055372

0 Medium Term Notes

3011850

Money Mkt Mutual Funds1

0 US Govrsquot Sponsored Entities 0 0 5945000 0

Held by Trustee Debt Service Money Mkt Mutual

0 Total Leveled Investments $24061479 $0 $13903771 $0 Total

$37965250

1 Not subject to fair value measurement

(3) Restricted Assets

These include (a) unspent bond proceeds available for capital construction payments (b) proceeds from bonds which are restricted to making payments for debt service (c) deposits held in lieu of retentions which required funds to be separately set aside for retention (d) deposits held for expansion project costs (e) deposits held for south Archibald plume project Construction contract retentions which do not involve separately segregated funds are included in Jobs in Progress within the Capital Asset category on the Statement of Net Position

(4) Risk Management

The Authority is exposed to various risks of loss related to torts theft of damage to and destruction of assets errors and omissions injuries to employees and natural disasters These risks are covered by commercial insurance purchased from independent third parties and covers loss related to general liability and errors and omissions claims of up to $10M per occurrence The Authority also maintains insurance coverage for loss related to automobile liability and property damage claims categories of up to $10 million Property damage has a $1 billion per occurrence shared coverage limited to insurable value

Claim Liabilities

Claim liabilities of the Authority are reported when it is probable that a loss has occurred and the amount of the loss can be reasonably estimated Claim liabilities include an amount for claims that have been incurred but not reported (IBNRs) a negative amount reflects a current year change in the estimated unpaid claims balance at the beginning of the year Claim liabilities are calculated considering effects of inflation recent claim settlement trends including frequency and amount of payouts and other economic and social factors As of June 30 2017 the Authority has no recorded liability for claims and judgments (5) Contingencies

Amounts received or receivable from grant agencies are subject to audit and adjustment by the grantor Authority Any disallowed claims including amounts already collected may constitute a liability of the applicable funds The amount if any of expenditures that may be disallowed by the grantor cannot be determined at this time although the Authority expects such amounts if any to be immaterial

The annual reconciliation of actual OampM costs against budget for FY 201617 costs could result in an unrecorded liability or receivable depending upon the calculations As of this time the amount has not yet been determined

(6) Changes in Capital Assets

Capital Assets

The following is a summary of capital assets accumulated depreciation and amortization jobs in progress and intangible assets at June 30 2017 with changes therein

Accumulated Net Book Balance at Transfers amp Balance at Depreciation Value at 063016 Additions Retirements 063017 At 063017 063017 Capital Assets not Being depreciated Land $1476144 $0 $0 $1476144 $0 $1476144 Jobs in progress 131194266 14944702 0 $146138968 0 146138968 Total capital assets not being depreciated 132670410 14944702 0 147615112 0 147615112 Capital assets being depreciated Treatment plants pump stations and pipelines 107918277 173291 (176847) 107914721 (31047456) 76867265 Land Improvement Easements 14869711 0 0 14869711 (5543007) 9326704 Equipment 2926295 267425 176847 3370567 (1529725) 1840842 Total capital assets being depreciated 125714283 440716 0 126154999 (38120188) 88034811 Capital assets being amortized Computer software 157845 0 0 157845 (82066) 75779 Supplementary Treatment capacity 24216851 0 0 24216851 (9057376) 15159475 Total capital assets being amortized 24374696 0 0 24374696 (9139442) 15235254 Total capital assets $282759389 $15385418 $0 $298144807 ($47259630) $250885177

(6) Changes in Capital Assets (continued)

Changes in Accumulated Depreciation and Amortization

The following is a summary of property plant and equipment accumulated depreciation and amortization at June 30 2017

Depreciation and amortization of tangible and intangible assets has been computed on a straight-line basis over various estimated useful lives ranging from five to fifty years One month depreciation and amortization is recorded in the month of acquisition if the asset is acquired by the 15th of the month or earlier Otherwise depreciation and amortization begins on the following month For the fiscal year ended June 30 2017 depreciation and amortization expense was $4052637

Jobs in Progress

At the fiscal year ended June 30 2017 the Authority had several jobs in progress that would expand or enhance the desalter operations and provide for ancillary facilities that support Authority activities

The jobs in progress at June 30 2017 were as follows

Chino Desalter No 1 amp 2 4813851 Chino Desalter Phase 3 Expansion 140959968

South Archibald Plume Cleanup 365149

Total Jobs in Process $146138968

Balance at Transfers amp Balance at 063016 Additions Retirements 063017 Capital assets accumulated depreciationamortization Treatment plants pump stations and pipelines ($28549876) ($2472579) ($25001) ($31047456) Land Improvement Easements (4969098) (573909) 0 (5543007) Equipment (1274323) (280403) 25001 (1529725) Accumulated depreciation (34793297) (3326891) 0 (38120188) Computer software (71501) (10565) 0 (82066) Supplementary treatment capacity (8342195) (715181) 0 (9057376) Accumulated amortization (8413696) (725746) 0 (9139442) Total accumulated depreciationamortization ($43206993) ($4052637) $0 ($47259630)

(7) Construction Commitments

The Authority is committed to several major construction contracts mostly relating to the Phase 3 Expansion project It is estimated that an additional $15 million will be spent to complete the major projects that were in progress at June 30 2017 The major projects include

bull Concentration Reduction Facility ndash the project provides the design and construction of

brine reduction facility to reduce the total brine waste disposal increasing recovery of extracted groundwater Seven-day performance test was completed in April 2017 however the plant was subsequently offline for corrective work This project has an estimated current outstanding obligation of $006 million

bull Chino I amp II Raw Water Intertie Pipeline ndash the pipeline will convey raw water flow from

the three new wells to the Chino II Desalter and provide a connection between Chino I and II well fields Estimated outstanding obligation is $06 million

bull Equipping Wells II-10 and II-11 ndash Project provides for the installation of mechanical and

electrical equipment and controls to allow the wells to produce and deliver groundwater to the Chino II Desalter Estimated outstanding obligation is $003 million

bull Design of Dual Product Water Pipelines using Horizontal Directional Drilling (HDD) ndash

This project includes the HDD portion of the product water pipeline to be installed across the Santa Ana River and the connection to the CDArsquos Product Water Pipeline on the north and south sides of the river The design portion of this project has an outstanding obligation of $01 million

bull Project and Construction Management ndash the CDA entered into contracts with third

parties to manage and provide construction management of the Expansion Phase 3 Project Estimate outstanding obligation is $04 million

bull Chino I Desalter Reliability Project ndash the primary purpose of project is to increase the

reverse osmosis (RO) capacity which will require the construction of an additional RO Train the extension of the Chino I Desalter building and related improvements Estimated outstanding obligation is $03 million

(8) Long-Term Debt amp Contract Payable

Summary of long-term debt activity for the fiscal year ended June 30 2017 was as follows

2016A Desalter Revenue Refunding Bonds

On July 14 2016 the Authority issued Revenue Refunding Bonds Series 2016A in the amount of $67105000 The Bonds will bear a fixed interest rate between 200 to 500 annually and payable semi-annually through the year 2035 Summary of changes in Long-Term debt for the fiscal year ended June 30 2017

Bonds Payable

Beginning Balance

Additions

Reductions

Ending Balance

Due within One year

Due after One year

2008A Bonds

$74790000

Net Premium (discount)

1276072

$76066072 $0

$76066072

2016A Bonds $67105000

$0 $2560000 $64545000 $2305000

$62240000

Net Premium (discount) 8149569

0 428925 7720644 0 7720644

$75254569

$0 $2988925 $72265644 $2305000 $69960644

For financial presentation purposes the balance of the deferred bond premium was combined into to the long-term bond debt liability with an aggregate balance at June 2017 of $69960644 Bond Series 2016A was issued to refund the 2008A Revenue Refunding Bonds and purchase of a debt service reserve surety bond The refunding for the 2008A bonds was an advance refunding resulting in the 2008A bonds recorded as a liability of the Authority The 2016A bonds proceeds were deposited in an irrevocable trust with an escrow agent for the payment of the 2008A Series bonds that will be fully paid off on June 1st 2018 As of June 30 2017 $72425000 of the refunded debt remained outstanding As a result of the refunding the Authority had an economic gain of $9771564 (difference between the present value of the debt service payments on the old and new debt) and an aggregate savings in debt service of $10840210

Aggregate Long-Term Debt

As of June 30 2017 the aggregate debt service requirements on bonded indebtedness to maturity are summarized as follows

Year Ending June 30

Principal Payments

Interest payments

$2305000

$2553763

$4858763

2465000

2438513

4903513

2645000

2315263

4960263

2780000

2183013

4963013

2022 2910000 2044013 4954013

2023 ndash 2027

16870000

7918711

24788711

2028 ndash 2032

20545000

4240237

24785237

2033 ndash 2035

14025000

849750

14874750

Subtotal

64545000

24543263

89088263

Plus Net premium(discount) 7720644

7720644

Total debt service payable $72265644

$24543263

$96808907

(8) Long-Term Debt amp Contract Payable (continued) Contract Payable In April 2012 the Authority entered into an end-user Direct-Osmosis-High Salinity (DO-HS) cost sharing agreement with IDE Technologies LTD IDE Technologies LTD contributed $80000 to assist CDA in installing DO-HS Technology to its Chino Desalter I facility CDA will reimburse IDA Technologies LTD through IDE Americas the contribution plus interest from net cost savings realized as a result of the implementation of DO-HS Technology The $80000 is included in Contract Payable due in more than one year Compensated Absences

Beginning Balance

Additions

Deletions

Ending Balance

Due within One year

Due after One year

$62784

$29934

$10207

$82511

$14390

$68121

(9) Arbitrage Rebate Obligation

Arbitrage rebate refers to the required payment to the US Treasury of excess earnings received on tax exempt bond proceeds that are invested at a higher yield than the yield of the tax exempt bond issue Federal law requires that arbitrage liability and cumulative excess arbitrage earnings be calculated and remitted to the US Treasury at the end of the fifth bond year and every fifth year thereafter The 2016A Desalter Revenue Refunding Bonds are subject to arbitrage limitations As of June 30 2017 no rebate liability is due for the period ending June 30 2017 (10) Groundwater Replenishment ExpenseCredits

As a result of CDArsquos extraction of groundwater from the Chino Basin a replenishment cost of water is associated with such pumping This replenishment cost is assessed by the Chino Basin Watermaster (CBW) CDA is given a credit under agreement with CBW and its members for the replenishment cost of its annual production of water The credit for groundwater replenishment is reflected as revenue and expense in the accompanying financial statements The replenishment cost for FY201617 production was estimated at $18367255 (11) Defined Contribution Pension Plans In March 2011 the Authorityrsquos Board of Directors adopted a resolution to establish a deferred compensation plan and appointed a plan administrator ICMA-RC Services LLC All future changes to the plan must be approved by the Authorityrsquos Board of Directors The deferred compensation plan is a defined contribution plan and is qualitied under the IRC Section 401(a) The resolution stipulated that qualified employees are required to contribute 4 of their earnings and the Authority contributes 20 of the employeersquos earning to the plan with the exception of the General Managerrsquos position which has a defined monthly pension amount as stipulated in an employment contract The total value of the 401 (a) plan is $523243 June 30 2017

(12) Operating Lease

On April 2011 the Chino Basin Desalter Authority entered into a 36 month lease agreement with ARI Haven LLC to lease a 2115 square foot office space On March 7 2014 the Authority entered into the first amendment to extend the lease term through July 2017 Commencing on August 2017 the office space will be leased on a month to month basis

Total operating lease costs were $41680 for the year ended June 30 2017 The future minimum lease payments for the office space are as follows

Year Ended June 30 Amount 2018 (month to month basis) $4021300

Total $4021300

(13) Subsequent Events

Other events occurring after June 30 2017 have been evaluated for possible adjustments to the financial statements or disclosures as of December 20 2017 which is the date these financial statements were available to be issued

CHINO BASIN DESALTER AUTHORITY (CDA)

Statistical Section

This part of the Chino Basin Desalter Authorityrsquos Comprehensive Annual Financial Report presents detailed information as a context of understanding what the information in the financial statement footnote disclosures and required supplementary information says about the Authorityrsquos overall financial health

Contents

Financial Trends

These schedules contain trend information to help the reader understand how CDArsquos financial performance and well-being have changed over time

Revenue Capacity

These schedules contain information to help the reader assess CDArsquos major revenue sources

Debt Capacity

These schedules present information to help the reader assess the affordability of CDArsquos current level of outstanding debts and the Authorityrsquos ability to issue additional debt in the future

Operating Indicators

These schedules contain service and infrastructure data to help the reader understand the operations of CDA

Demographic and Economic Information

These schedules provide demographic and economic indicators to help the reader understand the environment within which the Authorityrsquos financial activities take place

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008Operating Revenues Operations and maintenance assessments 17044$ 16618$ 14113$ 14086$ 13731$ 14351$ 13608$ 13397$ 12363$ 12331$ Rebate credits - MWD 2687 2415 2784 4549 2479 1854 2400 2400 6243 6644 Groundwater replenishment credit 18367 20049 19022 17546 14492 15439 14696 15428 11015 - Total operating revenues 38098 39082 35919 36181 30702 31644 30704 31225 29621 18975

Operating Expenses Operations and maintenance 11478 11355 11908 11366 10194 10476 12590 11199 10760 10591 MWD credits to member agencies 2687 2415 2784 4549 2479 1854 2400 2400 6243 6644 Groundwater replenishment expense 18367 20049 19022 17546 14492 15439 14696 15428 11015 - Administration and general 1141 1021 917 959 1609 1322 549 677 520 688 Depreciation and amortization 4053 3984 3963 3914 3956 4166 4390 4380 4364 3265 Total operating expenses 37726 38824 38594 38334 32730 33257 34625 34084 32902 21188 Operating income (loss) 372 258 (2675) (2153) (2028) (1613) (3921) (2859) (3281) (2213)

Nonoperating Revenues (Expenses) Interest income 108 324 303 309 375 393 413 462 749 1057 Fixed projectcapital assessments 5659 10823 6562 7038 7082 6877 6521 6080 6781 5562 Other nonoperating revenues (expenses) (1033) 387 144 215 66 5 82 573 363 (1780) Interest on long-term debt (2203) (3723) (3807) (3878) (3939) (3996) (4051) (4099) (4144) (3938) Annual reconciliation of costs (4209) (1301) (1773) (1783) (2570) (503) (1468) (1004) (1217) (3286) Distribution of reserves to members agencies - - (864) (786) (1280) - - (10000) - - Payments of federal grants to Sponsors (200) (4768) (3229) (1113) Total nonoperating revenues (expenses) (1878) 1742 (2664) 2 (266) 2776 1497 (7988) 2532 (2385)

Income (loss) before contributions (1506) 2000 (5339) (2151) (2294) 1163 (2424) (10847) (749) (4598)

Capital Contributions Capital grants 200 4769 3229 1113 585 412 22 12 - - Contributed expansion costs from sponsors 10578 19615 58158 21011 6395 22490 - - - - Prior year adjustment 336 28 - - - (222) - - - - Total Capital Contributions 11114 24412 61387 22124 6980 22680 22 12 - - Change in net position 9608 26412 56048 19973 4686 23843 (2402) (10835) (749) (4598)

Total net position - beginning 185998 159587 103539 83566 78880 55037 57439 68274 69023 73621 Total net position - ending 195606$ 185999$ 159587$ 103539$ 83566$ 78880$ 55037$ 57439$ 68274$ 69023$

Source Chino Basin Desalter Authoritys Financial Statements

CHINO BASIN DESALTER AUTHORITYHistorical Operating Results

Statement of Revenues Expenses and Changes in Fund Net PositionFiscal Years Ended June 30 2008 through 2017

(In Thousand Dollars)

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Net Investment in Capital Assets (a) 179 1699 151 941 744 685 464 482 493 520

Reserved for Membranes Repl 0 0 0 0 0 0 03 12 10 07

Unrestricted 166 161 85 94 92 106 83 80 180 163

Total Net Position 1956 1860 1595 1035 836 791 550 574 683 690

Note (a) - The debt sevice amount has been incorporated into the calculation of investment in net captial assets

CHINO BASIN DESALTER AUTHORITYNet Position by Component

Last Ten Fiscal Years(in million dollars)

19561860

1035836 791

550 574 683 690

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

Total Net Position by Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Total Operating Revenues 38098 39082 35918 36181 30702 31644 30704 31225 29621 18975

Total Operating Expenses (a) 33674 34841 34630 34420 28774 29091 30235 29704 28538 17923

Ratio 11 11 10 11 11 11 10 11 10 11

(a) excluding depreciation and amortization expenses

CHINO BASIN DESALTER AUTHORITYOther Fiscal Indicator - Service Obligation

Fiscal Years Ended June 30 2007 through 2017(Dollars in Thousands)

Description - This indicator measures the ability of the Authoritys annual operating revenues to cover annual operating costs A ratio of one or higher indicates the entity operated within its means

$10000

$15000

$20000

$25000

$30000

$35000

$40000

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

Operating RevenueOperating Expenses

Total Operating Revenues Total Operating Expenses (a)

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

OampM Assessments 170 166 141 141 144 144 136 134 124 123

MWD Contributions 27 24 28 45 25 19 24 24 62 66

Total Operating Revenue 197 190 169 186 169 163 160 158 186 189

Fixed Project Assessments 56 108 66 70 71 69 65 61 68 56

Other Nonoperating Revenue 01 07 04 05 04 04 05 10 11 11

Total Nonoperating Revenue 57 115 70 75 75 73 70 71 79 67

Total Combined Revenues 254 305 239 261 244 236 230 229 265 256

CHINO BASIN DESALTER AUTHORITYRevenues by Source

(in million dollars)Last Ten Fiscal Years

239261

244 236 230 229

265 256

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

Revenue by Fiscal Year

Total Staffing Positions Full Time Equivalent Part-time Total

Administration 3 2 5Operations 0 1 1 Total CDA Staff 3 3 6Chino 1 - Contracted Staff 7 0 7Chino 2 - Contracted Staff 9 0 9 Total Contracted Staff 16 0 16

Total 19 3 22

Note Chino 1 operations is under contract with Inland Empire Utilities Agency Chino 2 operations is under contract with Jurupa Community Service District

Sources Chino Basin Desalter Authoritys Budget for FY2017

CHINO BASIN DESALTER AUTHORITYOperating Indicators

FY2017 Staffing AllocationsAs of June 30 2017

Fiscal Total PrincipalYear Interest Principal Payment Balance

Beginning balance of the 2016A Bond 67105000

2017 2293814 2560000 4853814 64545000

2018 2553763 2305000 4858763 62240000

2019 2438513 2465000 4903513 59775000

2020 2315263 2645000 4960263 57130000

2021 2183012 2780000 4963012 54350000

2022 2044013 2910000 4954013 51440000

2023 1898512 3065000 4963512 48375000

2024 1745263 3215000 4960263 45160000

2025 1584512 3370000 4954512 41790000

2026 1416013 3540000 4956013 38250000

2027 1274412 3680000 4954412 34570000

2028 1090413 3865000 4955413 30705000

2029 935812 4015000 4950812 26690000

2030 855513 4105000 4960513 22585000

2031 763150 4195000 4958150 18390000

2032 595350 4365000 4960350 14025000

2033 420750 4540000 4960750 9485000

2034 284550 4670000 4954550 4815000

2035 144450 4815000 4959450 -

Source 2016A Bonds Debt Service Schedule

CHINO BASIN DESALTER AUTHORITYDebt Service Payment Schedule

Fiscal Years 2017-2035

Fiscal YearRevenue Bonds

Other Non-Current

Liabilities Total Total AssetsTotal Debt Per Total Assets

2017 72265644 671364 72571669 311956970 232016 76066072 542387 76608459 284150138 272015 78353234 472237 78825471 277009764 282014 80505396 403249 80908645 275352005 292013 82552558 246601 82799159 186862890 442012 84484719 85321 84570040 175903130 482011 86650170 80000 86730170 145307722 602010 88391219 - 88391219 148523949 602009 90047268 - 90047268 165029232 552008 91628317 - 91628317 172833361 53

Source Chino Basin Desalter Authoritys Financial Data

CHINO BASIN DESALTER AUTHORITYRatio of Outstanding Debt by Type

Last Ten Fiscal Years

TotalCDA Members Acre-Feet

City of Chino 5008 203City of Chino Hills 4208 171City of Norco 1003 41City of Ontario 5013 203Santa Ana River Water Company 1200 49Jurupa Community Services District 8223 334

Total 24655 1000

Source Chino Basin Desalter Authoritys Production Report

AF (Acre-Feet ) is a unit of measurement equal to 325900 gallons of water which meets the needs of two average families in and around the home for one

The following table displays Fiscal Year 201617 water production deliveries to Authoritys member agencies

CHINO BASIN DESALTER AUTHORITYWater Production for the Member Agencies

For the Fiscal Year Ended June 30 2017

Percentage ofAcre-Feet

City of Chino203

City of Chino Hills

City of Norco 41

City of Ontario203

Santa Ana River Water Co

Jurupa CommServ Dist

Water Production DeliveriesFor the Fiscal Year Ended June 30 2017

24655 Acre-Feet

CHINO CHINO HILLS JCSD NORCO ONTARIO SARWC TOTALJurupa

Community Santa AnaFiscal City of City of Services City of City of River Water TotalYear Chino Chino Hills District Norco Ontario Company Acre-Feet201213 48045 40749 80728 9539 47939 11700 238700201314 51562 42010 81840 10120 50000 12000 247532201415 52319 42010 81840 10120 50000 12000 248289201516 50000 42010 81840 10120 50000 12000 245970201617 50084 42077 82228 10030 50126 12000 246545

CHINO BASIN DESALTER AUTHORITYActual Desalter Water Sales

For the Past Five Fiscal Years( In Acre-Feet )

250000

500000

750000

1000000

1250000

1500000

1750000

2000000

2250000

2500000

2750000

201213 201314 201415 201516 201617

Desalter Water SalesFor the Past Five Fiscal Years

( In Acre-Feet )

SARWCCity of OntarioCity of NorcoCHINO HILLSJurupa Community Services DistrictCity of ChinoTotal Acre-Feet

Design Operating Design Operating

Capacity Potential Capacity Potential

Chino I Wells in gpm in gpm Chino II Wells in gpm in gpm

I-1 600 380 II-1 2000 1545

I-2 300 145 II-2 2000 1591

I-3 600 350 II-3 2000 1775

I-4 300 137 II-4 2000 1708

I-5 1200 1100 II-6 2000 1654

I-6 1200 175 II-7 1200 969

I-7 1200 175 II-8 1500 1073

I-8 900 954 II-9a 2000 1384

I-9 1200 1050

I-10 1200 1134

I-11 1200 574

I-13 2000 1060

I-14 2200 2174

I-15 2000 1810

I-16 250 226

I-17 200 175

1-20 400 443

1-21 400 415

Total 17350 12477 14700 11699

CHINO BASIN DESALTER AUTHORITYCurrent Well Capacity of Chino I and Chino II Desalters

(Gallons Per Minute [gpm])

June 30 2017

CDA Members Population of Total

Western Municipal Water District 880000 62

City of Ontario 169869 12

Jurupa Community Services District 165928 12

City of Chino 85942 6

City of Chino Hills 78882 6

City of Norco 26882 2

Santa Ana River Water Company 8600 1

1416103 100

Sources County of Riverside Economic Development Agency County of San Bernardino Development Agency Western MWD Website

CHINO BASIN DESALTER AUTHORITYDemographic and Economic Statistics

Population Served by Member Agencies20162017

bull A joint project with

The City of Chino

The City of Chino Hills

The City of Norco

The City of Ontario

Jurupa Community Services District

Santa Ana River Water Company

Western Municipal Water District

Chino Basin Desalter Authority Contact us at financechinodesalterorg

wwwchinodesalterorg

Annual Financial Report June 30 2017Presentation

January 4 2018

Revenue by CategoryFiscal Year 201617 vs FY201516

OampM Assessments $17044204 322 $16618440 359 $425764 26

MWD Subsidy 2687287 104 2415014 64 272273 113

Groundwater Replenishment Credit 18367255 401 20049508 380 (1682253) -84

Fixed Project Assessments 5658952 161 10823669 185 (5164717) -477

Interest Income 107749 07 323787 10 (216038) -667Other Nonoperating Revenues (1033024) 05 387324 02 (1420348) -3667

Total Revenues $42832423 1000 $50617742 1000 ($7785319) -154 Less MWD Subsidy $2687287 $2415014 272273 113 Less Groundwtr Repl Credit $18367255 $20049508 (1682253) -84

Net Total Revenues $21777881 $28153220 (6375339) -226

Amount

Change

Increase (Decrease) from 201516

Revenue Category

Amount Amount of Total

of Total

Fiscal Year 199899

FY201617 FY201516

( in millions)

OampMAssessment

MWDSubsidy

GroundwtrRepl Credit

CapitalAssessment

InterestIncome

Other nonopincome Total

FY201617 170 27 184 56 01 -10 428FY201516 166 24 201 108 03 04 506

Combined Expenses By CategoryFiscal Year FY201617 vs FY201516

Operations and Maintenance $11477876 259 $11355054 234 $122822 11MWD Subsidy to Members 2687287 61 2415014 50 272273 113Groundwater Replenishment Exp 18367255 414 20049508 412 (1682253) -84Adminstration and General 1141293 26 1021185 21 120108 118Depreciation and Amortization 4052637 91 3984054 82 68583 17Interest on Long-term Debt 2203126 50 3723425 77 (1520299) -408Annual Reconciliation of Costs 4208831 95 1301131 27 2907700 2235Federal Grant Payments to Sponsors 200318 05 4768747 98 (4568429) -958

TOTAL EXPENSES $44338623 1000 $48618118 1000 ($4279495) -88Less MWD Rebate $2687287 $2415014 272273 113Less Groundwtr Repl Exp $18367255 $20049508 (1682253) -84

Net Total Expenses $23284081 $26153596 (2869515) -110

Expense Category AMOUNT AMOUNT of Total of Total

FY201617 FY201516

AMOUNT

from FY201516Increase (Decrease)

Change

Expenses By CategoryFiscal Year 201617 vs FY201516

(in millions)

OampM ExpMWD Subs to

Membrs

Grndwtr Replen

Admin amp Gen

DeprectnAmrtztn

Interest on LT Debt

Annual Recon of

Federal Grant

Paymnts to

Sponsors

FY201617 114 27 184 11 41 22 42 02 443FY201516 114 24 200 10 40 37 13 48 486

Reserve SummaryFor the Past Ten Fiscal Years

(in millions)

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008Reserve 166 161 85 95 92 104 150 157 253 157

Questions

Agenda Item

SECTION ACTION ITEM

SUBJECT COST OF LIVING ADJUSTMENT ndash CDA EMPLOYEES RECOMMENDATION Staff recommends that the Board approve a Cost of Living Adjustment (COLA) of 310 for CDA employees (with the exception of the General ManagerCEO) effective Pay Period 1 of 2018 BACKGROUND

The purpose of a Cost of Living Adjustment (COLA) is to keep employee salaries competitive in order to attract and retain qualified employees The most recent COLA for CDA employees was one year ago in January 2017 The staff recommendation during that discussion was to standardize the COLA discussionrecommendation each year using October to October comparisons of the Consumer Price Index The recommended COLA would apply to all of the CDA employees (both full-time and part-time) with the exception of the General ManagerCEO The Consumer Price Index change from October 2016 to October 2017 (12-month period) for the Los Angeles-Riverside-Orange County area was 310 For comparison purposes only CDA public member agencies appear to be granting COLA increases in FY 201718 in the range of 20 to 50 with some of them dependent on CPI data There are many differing factors for each member agency that make it impossible to make an apples-to-apples comparison of COLA increases between agencies (length of time since last COLA PERS contributions change in health insurance contributions etc) This item was reviewedapproved by the

bull Technical Advisory Committee (TAC) on 12122017 bull Finance Committee on 12142017

IMPACT ON BUDGET

The total increase of approximately $9400 for the last six months of FY 201718 has been included in the adopted FY 201718 Budget

Agenda Item

SECTION ACTION ITEM

SUBJECT CHANGE TO EMPLOYEE BENEFIT PACKAGE FOR CDA EMPLOYEES RECOMMENDATION Staff recommends that the Board approve an increase of $200 per month in the health insurance contribution for CDA fulltime employees (excluding the General ManagerCEO) BACKGROUND

The current allowance for health insurance is $1300 per month per employee and the recommended allowance is $1500 per month per employee The latest premium increase effective January 2018 is 13 The following table indicates the costs for family coverage for the recent four years

2015 2016 2017 2018 Medical $163404 $173706 $150565 $170090 Dental 11903 10690 12290 12290 Vision 2438 2438 1856 1856 Total $177745 $186834 $164711 $184236

Health insurance coverage in 2015 and 2016 was provided through the Special District Risk Management Authority (SDRMA) Coverage for 2017 and 2018 is through Association of California Water AgenciesJoint Powers Insurance Authority (ACWAJPIA) For comparison purposes the contributions toward health insurance for family coverage for employees of the CDA public member agencies are

Range $1381 - $2040 per month Average $1664 per month Median $1558 per month

The fiscal impact is $2400 for the remaining portion of the FY 201718 budget The last increase was effective FY201516

This item was reviewedapproved by the

IMPACT ON BUDGET

The total increase of $2400 items can be covered in the adopted FY 201718 Administration Budget

Agenda Item

Resolution 2018-03

RESOLUTION OF THE BOARD OF DIRECTORS OF THE CHINO BASIN DESALTER AUTHORITY

DESIGNATING THE TIME AND PLACE OF REGULAR MEETINGS OF THE BOARD OF DIRECTORS

WHEREAS the Chino Basin Desalter Authority (ldquoCDArdquo) is a joint

exercise of powers authority duly organized and existing pursuant to Article I Chapter 5 Division 7 Title 1 of the Government Code commencing with Section 6500 (the ldquoJoint Exercise of Powers Actrdquo) and

WHEREAS on November 1 2001 pursuant to the Joint Exercise of Powers Act and the Joint Powers Agreement the Board of Directors of the CDA adopted Resolution 2001-01 establishing the time and place of Regular Meetings of the Board of Directors to be on the first Thursday of January April July and October at 600 pm in the Ontario City Hall Council Chambers or other appropriate alternative facility within City Hall NOW THEREFORE BE IT RESOLVED by the Board of Directors of the CDA that

Section 1 Regular Meetings of the Board of Directors shall occur once every calendar quarter on the first Thursday of January April July and October at 200 pm unless a different time is indicated by the Board or set forth in the meeting notice

Section 2 Regular Meetings of the Board of Directors shall be held in the Ontario City Hall Council Chambers or other appropriate alternative facility within City Hall unless a different place is indicated by the Board or set forth in the meeting notice Section 3 This Resolution shall take effect immediately

PASSED AND ADOPTED THIS 4th day of January 2018

Resolution 2018-03

ABSTAIN

Agenda Item

Phase 3 Expansion Status ReportPresentation to CDA Board of Directors

January 4 2018

CDA Phase 3 Expansion UpdateProject Summarybull Eleven Projects Completed

bull Four Projects in ConstructionStart-UpClose-out

bull One Project in Design

bull Chino II Desalter Expansion bull Well Drilling Wells I-20 amp I-21

bull Well Drilling Wells I-16 I-17 amp I-18 bull Well Equipping Wells I-20 amp I-21

bull Well Equipping Wells I-16 I-17 amp I-18 bull Well Drilling Wells II-10 amp II-11

bull Chino I Desalter Raw Water Pipeline bull Milliken Pump Station

bull Chino II 10101110 Pump Stations bull Product Water Pipeline (excluding Santa Ana River crossing)

bull Chino II Pre-Engineered Metal Storage Building (CDA Project)

bull Chino I Desalter Reliability Project

bull Concentrate Reduction Facility

bull Chino I amp II Intertie Pipeline bull Well Equipping Wells II-10 amp II-11

bull Santa Ana River Crossing HDD Design

Project Status Overview

Concentrate Reduction Facilitybull Contractor WM Lylesbull Original contract value $466 millionbull Approved change orders $383 (8)bull Value engineering deductive change order -$1007878bull Completed 7-Day Performance Test April 19 2017bull Notice of Completion Filedbull Plant Currently Offline while corrective work is completed

Replacement of process utility water valves Replacement of manual plug valves

Chino I amp II Raw Water Intertie Pipelinebull Contractor Ferreirabull Original contract value $456M bull Approved change orders$933070 (205)bull Remaining Work Contract Closeoutbull Anticipated Completion January 2018$591K of approved change orders was for new work

Equipping Wells II-10 and II-11 Contractor Cora

bull Original contract value $357 million bull Approved change orders$313634 (88)bull Remaining Work

Start-up testingbull Anticipated Completion January 2018

Project Status OverviewSanta Ana River HDD Design bull Geotechnical subsurface investigations and pilot bore completed November 2017bull 90 design submittal due January 2018bull Right-of-Entry Agreement with City of Norco required prior to constructionbull Tom Dodson coordinating regulatory permitting and CEQA compliancebull Bidding anticipated April 2018bull Construction anticipated September 2018

DYT Well

I-21I-20

Chino I

Pending Award

In Progress

Complete

16-18 Well Equipping

Chino Creek Raw Water Pipeline

WELLS I-18

Milliken Pump Station

Project Construction Management

20 amp 21 Well Equipping

Chino Desalter Phase 3 Expansion ProjectWell 18

Treatment Pilot Study

Future Project

Chino II Raw Water Pipeline ndash

Construction

WellLot A Well

Raw Water Intertie amp Flow Control

Facility Construction

Chino II Expansion

Concentrate Reduction

Facility Corrective Work

Chino II

DYT amp Lot A Well Drilling Construction

Wells II-10 amp II-11 Equipping

Construction

Chino I Reliability Start-Up

Chino II HVACPump

Stations

Chino II to Riverside Hamner Ave Product

Water Pipeline

Chino II Hamner Ave Water Pipeline

Activities for Next Three Months

bull Complete corrective actions for CRF and bring back online

bull Begin operation ofbull Chino II Raw Water Pipeline

bull Wells II-10 and II-11

bull Complete start-upclose out construction contracts forbull Chino III Raw Water Intertie

bull Wells II-10 amp II-11 Well Equipping

bull Complete final design of HDD crossing

Grant Funding Summary

EXECUTED AGREEMENTS State Water Resources Control Board (ARRAProp 40) $50 MState Water Resources Control Board (Prop 50) $49 MCA Department of Water Resources $28 MUS Bureau of Reclamation $155 MUS Bureau of Reclamation $397 MUS Bureau of Reclamation $496 MUS Bureau of Reclamation $300 MCA Department of Public Health $527 MState Water Resources Control Board (Prop 84) $10 MUS Environmental Protection Agency $036 MMetropolitan Water District $035 M

Total $ 8059 M

Program Statistics

Updated Total Project Cost Estimate - $152 million

Total Grant Funding- $806 million

Updated Net Capital Cost - $714 million

Grant Funding Invoiced through Dec lsquo17 - $806 million

Grant Funding Received through Dec lsquo17- $805 million

Program Statistics

ONTARIO JCSD WESTERN TOTALWater Purchase Agreement Capital Cost Participation 28322939$ 22023017$ 37902092$ 88248048$ Current Capital Cost 47111849$ 39911970$ 65723205$ 152747024$ Total CDPH Grant Funding (less admin fees) (19814923)$ (11744914)$ (18889198)$ (50449035)$ Total Other Grant Funding (less admin fees) (7873893)$ (8124885)$ (13509431)$ (29508209)$

Current Net Capital Cost Participation 19423033$ 20042171$ 33324576$ 72789780$ Current Delta from Water Purchase Agreement Capital Cost Participation (8899906)$ (1980846)$ (4577516)$ (15458268)$

Questions

Agenda Item

South Archibald Plume Status ReportCDA Board of Directors Presentation

January 4 2018

South Archibald Plume Update

Project Summary

bull RWQCB approved the Cleanup and Abatement Order (CAO) for the project on Sept 23 2016

bull CDA received authorization from IEUA to fund design and construction services on Sept 23 2016

bull Expected Overall Project Completion December 2019

bull Raw Water Pipeline ndash (15300 LF 24-inch 5300 LF 18-inch 1000 LF 12-inch)bull Alignment Study completed June 2017

bull SAP pipeline segment in Bellegrave completed under Phase 3 Expansion

bull Proposals received for final design of remaining pipeline in Archibald Ave Bellegrave Wineville and Harrel Streets anticipated November 2017

bull Final design completion June 2018

bull Construction completion Summer 2019

bull Well II-12 Property Acquisitionbull Legal description appraisal and negotiations expected to be completed January 2018

bull Property acquisition expected to be completed February 2018

Existing 24rdquo Dia Raw Water Pipeline

Well No II-1

Well No II-2

Well No II-3

Well No II-4

Existing 18rdquo Dia Raw Water PipelineWell No

Proposed Alignment

Well No II-7

Well No II-8

Well No II-6

Well No II-9A

Chino II Desalter

Proposed Alignment

Exist Raw Water Intertie LineExist Raw Water Transmission Line

Legend

Program Statistics

Current Previous QtrTotal Project Cost Estimate - $245 M $245 M

RP-1 Parties Estimated Cost Participation [1] - $201 M $201 M

Grant Funding - $2368 M $2368 M

[1] Cost difference between total project cost estimate and RP-1 party cost estimate are comprised of facilities that are part of original Phase 3 Expansion Project

Questions

Agenda Item

Quarterly Operations ReportJanuary 4 2018

CDA Product Water Deliveries [Acre Feet]

Month Chino Chino Hills JCSD Norco Ontario SARWC TotalJul-17 432786 370391 760599 92281 453717 100000 2209774Aug-17 474415 395966 735495 97287 484319 100000 2287482Sep-17 458526 382986 736344 92513 467672 100000 2238041Oct-17 437923 373432 753554 97809 486446 100000 2249164Nov-17 435020 374620 714446 92177 461429 100000 2177692Dec-17Jan-18Feb-18Mar-18Apr-18May-18Jun-18

Total FY 1617 Deliveries 2238670 1897395 3700438 472067 2353583 500000 11162153Contract Entitlement

Annual (AFYR) 50000 42000 82000 10000 50000 12000 246000Monthly (AF) 4167 3500 6833 833 4167 1000 20500

Delivered through Nov - 17 (AF) 22387 18974 37004 4721 23536 5000 111622 delivered through Nov - 17 (AF) 1075 1084 1083 1133 1130 1000 1089

NotesActual deliveries to date are shaded

Water Deliveries Through Nov-17

ampTimes New RomanBoldamp16

ampTimes New RomanBoldWater AllocatiosThrough June 2010Page ampP

ampTimes New RomanBoldamp8ampZampFampAampTimes New RomanBoldamp8ampDampT

Desalter Water Production 2011-2012

(in MGD)

Chino I

40725407564078740817408484087840909409404096941000410304106110851198803741934109579656096129020000000000Chino II

4072540756407874081740848408784090940940409694100041030410611246129857316129129451651487741920000000000

ampTimes New RomanBoldamp8ampZampFampAampTimes New RomanBold Italicamp8ampDampT

ampD ampTampF ampA

ampD ampT ampF ampA

40 50 60 70 80 90

100 110 120 130 140

Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 Apr-18 May-18 Jun-18

Chino I

Chino II

CombinedProduction (AF)

56453rd Qtr

58314th Qtr

CDA Production 2017-2018FY 17-18

ProductionGoal (AF)

67841st Qtr

YTD Production 13375 AF(109)

66402nd Qtr

Chino I amp II Treatment

FY 2017-2018Quarterly Performance (Sept-Nov) Chino I Chino II Total

Member Agency Entitlement (MGD) 127 93 220Avg Monthly Production (MGD) 105 134 239Percent of Full Entitlement Delivered 83 144 108

Avg IEBL Discharge (MGD) 188 160

Avg Raw Water Nitrate (mgl) 216 81Avg Product Water Nitrate (mgl) 18 14Product Water Goal (upper limit) 25 25

Avg Raw Water TDS (mgl) 973 575Avg Product Water TDS (mgl) 317 300Product Water Goal (upper limit) 350 350

CDA Well Status

Chino I

bull All wells are operational

Chino II

Agenda

Item 1 Minutes

Item 2 Financial Affairs Report

Item 3 Treasurers Report Disbursements

Item 4 Investment Report

Item 5 Budget Variance

Item 6 Records Retention Schedule

Item 7 GM Employment Agreement

Item 8 CAFR

Item 9 COLA

Item 10 Employee Benefit Package

Item 11 Board Meeting DateTime

Item 12 Phase 3 Expansion Report

Item 13 South Archibald Plume Report

Item 14 Quarterly Ops Report

REGULAR BOARD MEETING OF THE BOARD OF DIRECTORS

January 4 2018 600 pm

Council Chambers of the City of Ontario

303 E ldquoBrdquo Street Ontario CA

All documents available for public review are on file with the Authorityrsquos secretary located at 2151 S Haven Avenue Suite 202 Ontario CA 91761

AGENDA Call to Order Flag Salute Public Comment Members of the public may address the Board at this time on any non-agenda matter Please complete a Comment Card and give it to the Secretary Comments are limited to three (3) minutes per individual State your name and address for the record before making your presentation This request is optional but very helpful for the follow-up process Under the provisions of the Brown Act the CDA Board is prohibited from taking action on oral requests However Board Members may respond briefly or refer the communication to staff The CDA Board may also request the Secretary to calendar an item related to your communication at a future CDA Board meeting Introduction of Inland Empire Utilities Agency General Manager CONSENT CALENDAR ITEMS Consent Calendar items are expected to be routine and non-controversial to be acted upon by the Board at one time without discussion If any Board member staff member or interested person requests that an item be removed from the Consent Calendar it will be moved to the first item on the Action Items 1 MINUTES OF DECEMBER 7 2017 SPECIAL BOARD MEETING 2 TREASURERS FINANCIAL AFFAIRS REPORT FOR QUARTER ENDED

SEPTEMBER 2017 Report by Michael Chung CDA CFOTreasurer 3 TREASURERrsquoS REPORT ON GENERAL DISBURSEMENTS FOR THE QUARTER

ENDED SEPTEMBER 2017 Report by Michael Chung CDA CFOTreasurer 4 INVESTMENT REPORT Report by Michael Chung CDA CFOTreasurer 5 BUDGET VARIANCE REVIEW FOR THE QUARTER ENDED SEPTEMBER 2017 Report by Michael Chung CDA CFOTreasurer

INFORMATION ITEMS

Directors Comments

Agenda Item

Directors Present

Directors Absent

None Others Present

FLAG SALUTE

Staff Comments

DIRECTOR COMMENTS

Agenda Item

2 of 6

3 of 6

4 of 6

Subtotal CBB $1653833 $1653833 $1653833 050 $1653833

Subtotal CBB $54046 $54046 $54046 NA $54046

Subtotal USB $102392 $102392 $102392 000 $102392

5 of 6

6 of 6

$9847843 049

Agenda Item

1 of 18

000845 AUG 2017)406351

500000

163100

160100

14972493

391687

4948324

172400

CBB Main Account

2 of 18

CBB Main Account

100792

995900

106134

719395)437339

40564)50000

3 of 18

CBB Main Account

5740583

571627

245504

200846

406351

Parts)8972

111031

635199

1111725

100854

752684

4 of 18

CBB Main Account

189300

279180

608100

1922972

247400

343209

112657

5401375987 5401377667)819411

5 of 18

CBB Main Account

358625

181559

CII 617 CI 717 CII 717)511879

5800733

429632

716100

6 of 18

CBB Main Account

840000

2186292

410551

5951248

222000

134680

3337427

2194152

484141

7 of 18

CBB Main Account

291036

247400

114500

5401393698 5401393699 5401393700 5401394515 5401394516 5401396380 5401396381 5401397172 5401397173 5401398569)

3061638

556314

5440464

8 of 18

CBB Main Account

213500 9212017 [1445] ULINE ( Invoices 89658481 89719080 89920507)

348000

1309224

175750

126963

356281

9 of 18

CBB Main Account

324862

100000

179726

413606

409850

761790

8774559

159200

10 of 18

CBB Main Account

932100

14057718

3099800

200000000

100000

661972

324862

4006525

11 of 18

CBB Main Account

991134

586185

607522

16871343

9473781723 9477653696 9486523484 9489919812)170354

1166233

18920800

356281

182326

12 of 18

CBB Main Account

4302822

863580

100000

324862

300920

196814

3429000

1090148

19577377

507735

13 of 18

CBB Main Account

273160

939614

2231095

685427

231500

208638

658656

515884

462139

120000

328990

14 of 18

CBB Main Account

0417 CII 0517 CII 0617 CII 0717)3025700

308186

248194

728645

572771

5766916

2151676

1102723

907138

356281

120000

328990

946292

15 of 18

CBB Main Account

554771

131271

13606100

47564376

232000

179650

641178

8933998

263590

1188655

300000

16 of 18

CBB Main Account

257136

385441

1570945

16559495

333571

170552

537957

300000

335943

1948200

619922

18714073

812722

9322986

291277

4936351

17 of 18

CBB Main Account

852200

102350

143236

Invoices 012I0744 012I0895 012I1322 012I2426)61481

459170

1571511

3286902

1414600

1587600

122992

617680

18 of 18

CBB Main Account

120000

185408

Total 612079921

1 of 3

308000

312656

1821765

3258000

1275510

2511000

698239

462298

12951700

15418600

902856

3500000

2217610

169575

14121158

258499

2 of 3

4204670

3333753

353667

1618922

213000

15146977

22126639

3109542

36181400

10897900

3700500

531989344

332329262

540102654

3 of 3

3963485

216538

1059780

13266547

924182

202000

1997700

137093800

87154600

75751600

1296282

1719700

3083700

328250

Total 1934390142

728000

596500

875008

1459750

628263

904280

23839500

263250

1812068

328000

Total EFTs 30291119

Total 32849619

07072017 2233395$ 696954$ 1536441$ 6 07212017 2656279$ 784736$ 1871543$ 6 08042017 2084872$ 552395$ 1532477$ 6 08182017 2261654$ 611911$ 1649743$ 6 09012017 2304109$ 721037$ 1583072$ 6 09152017 2302951$ 867957$ 1434994$ 6 09292017 2447185$ 765329$ 1681856$ 6

16290445$ 5000319$ 11290126$

PAYROLL SUMMARY

Agenda Item

1 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

2 of 10

Y-T-D Actual

3 of 10

Y-T-D Actual

4 of 10

Y-T-D Actual

Total Expenses 404745474 2394777875 1990032401 1690

5 of 10

Y-T-D Actual

Revenues

6 of 10

Y-T-D Actual

49910997 385721100 335810103 1294Total Expenses

50564363 390601100 340036737 1295

7 of 10

Y-T-D Actual

Revenues

000 000 000 000

Chemicals

8 of 10

Y-T-D Actual

350351 51430 4792649 681Total Expenses 192700607 789647980 596947373 2440

9 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

10 of 10

Y-T-D Actual

Total Expenses 161480504 1214528795 1053048291 1330

Agenda Item

Resolution 2018-02

ABSTAIN

EXHIBIT A

P P P GC 60201

CY+2 CY+2 SS

Approval+30 days

GC 549535 30 days

P P SS

T+10 T+10 SS

T+3 T+3 SS

ADMINISTRATIVE

7 7 GC 60201- 7 years

CL+3 CL+3 SS

+30 YrsCL

+30 YrsSS - CL+30

3 +4 7 SS - Audit +4

7 7 SS - Audit +4

RISK MANAGEMENT

RECORDS MANAGEMENT

FINANCE

Agenda Item

RECITALS

By _________________________________ _________________________________

_________________________________ Curtis D Paxton

Agenda Item

SECTION ACTION ITEM

Fiscal YearEnded

June 30 2017

Financial Section

SECTION A

SECTION B

SECTION C

BOARDSECRETARY

FINANCE INTERN

OPERATIONS MANAGER

BOARD MEMBERS

CHINODESALTER I

CHINODESALTER II

Curtis Paxton

Allison E Burns

Principal Officials

June 30 2017

General ManagerCEO

City of Chino Hills

Jim Bowman

Captial assets 250885177 239552396 11332781 5

Other assets 14021328 11662227 2359101 20

Total assets 311956970 284150138 27806832 10

Unrestricted 16601735 16089772 511963 3

Capital grants 200318 4768747 (4568429) -96

Interest Income 107749 03 323787 06 -216038 (667)

Total Revenues $42832423 1000 $50617742 1000 -$7785319 (154)

201617

Credit429

Interest Income03

$42832423

Total Expenses $44338623 1000 $48618117 1000 ($4279494) (88)

from 201516

61Groundwater

costs95

Sponsors05

$44338623

2017 2016ASSETS

Current assets

Total assets $311956970 $284150138

Totals

Current liabilities

NET POSITION

Totals

OPERATING EXPENSES

Totals

2017 2016

Totals

2017 2016

Totals

Fund Accounting

Enterprise Fund

Basis of Accounting

Use of Estimates

Comparative Data

December 15 2016

June 15 2018

December 15 2016

Capital Assets

ge $5000 ge $5000 ge $5000

NA NA NA

Prepaid Costs

Maximum Maturity

Portfolio

$2334089

16233429

13903771

$41181317

$1332625

Investments

37965250

$41181317

Minimum Rating

Maximum Maturity

Maximum Percentage

Allowed

Investment Type

12 or Less

13 to 24

25 to 59

22976500

1055372

Medium Term Notes

3011850

5945000

$37965250

$24798000

$3212534

$9954716

29607 A+ 29607 0 0

Total $37965250

$5974607 $3011850 $28978793

Investment Type

measurement

22976500

1055372

0 Medium Term Notes

3011850

$37965250

(4) Risk Management

Claim Liabilities

Capital Assets

Jobs in Progress

Bonds Payable

Beginning Balance

Additions

Reductions

Ending Balance

Due within One year

Due after One year

2008A Bonds

$74790000

1276072

$76066072 $0

$76066072

2016A Bonds $67105000

$0 $2560000 $64545000 $2305000

$62240000

0 428925 7720644 0 7720644

$75254569

$0 $2988925 $72265644 $2305000 $69960644

Year Ending June 30

Principal Payments

Interest payments

$2305000

$2553763

$4858763

2465000

2438513

4903513

2645000

2315263

4960263

2780000

2183013

4963013

2022 2910000 2044013 4954013

2023 ndash 2027

16870000

7918711

24788711

2028 ndash 2032

20545000

4240237

24785237

2033 ndash 2035

14025000

849750

14874750

Subtotal

64545000

24543263

89088263

7720644

$24543263

$96808907

Beginning Balance

Additions

Deletions

Ending Balance

Due within One year

Due after One year

$62784

$29934

$10207

$82511

$14390

$68121

Total $4021300

Statistical Section

Contents

Financial Trends

Revenue Capacity

Debt Capacity

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Unrestricted 166 161 85 94 92 106 83 80 180 163

19561860

1035836 791

550 574 683 690

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Ratio 11 11 10 11 11 11 10 11 10 11

$10000

$15000

$20000

$25000

$30000

$35000

$40000

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

239261

244 236 230 229

265 256

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

Total 19 3 22

2017 2293814 2560000 4853814 64545000

2018 2553763 2305000 4858763 62240000

2019 2438513 2465000 4903513 59775000

2020 2315263 2645000 4960263 57130000

2021 2183012 2780000 4963012 54350000

2022 2044013 2910000 4954013 51440000

2023 1898512 3065000 4963512 48375000

2024 1745263 3215000 4960263 45160000

2025 1584512 3370000 4954512 41790000

2026 1416013 3540000 4956013 38250000

2027 1274412 3680000 4954412 34570000

2028 1090413 3865000 4955413 30705000

2029 935812 4015000 4950812 26690000

2030 855513 4105000 4960513 22585000

2031 763150 4195000 4958150 18390000

2032 595350 4365000 4960350 14025000

2033 420750 4540000 4960750 9485000

2034 284550 4670000 4954550 4815000

2035 144450 4815000 4959450 -

Other Non-Current

2017 72265644 671364 72571669 311956970 232016 76066072 542387 76608459 284150138 272015 78353234 472237 78825471 277009764 282014 80505396 403249 80908645 275352005 292013 82552558 246601 82799159 186862890 442012 84484719 85321 84570040 175903130 482011 86650170 80000 86730170 145307722 602010 88391219 - 88391219 148523949 602009 90047268 - 90047268 165029232 552008 91628317 - 91628317 172833361 53

Total 24655 1000

City of Chino203

City of Chino Hills

City of Norco 41

City of Ontario203

24655 Acre-Feet

250000

500000

750000

1000000

1250000

1500000

1750000

2000000

2250000

2500000

2750000

201213 201314 201415 201516 201617

( In Acre-Feet )

I-1 600 380 II-1 2000 1545

I-2 300 145 II-2 2000 1591

I-3 600 350 II-3 2000 1775

I-4 300 137 II-4 2000 1708

I-5 1200 1100 II-6 2000 1654

I-6 1200 175 II-7 1200 969

I-7 1200 175 II-8 1500 1073

I-8 900 954 II-9a 2000 1384

I-9 1200 1050

I-10 1200 1134

I-11 1200 574

I-13 2000 1060

I-14 2200 2174

I-15 2000 1810

I-16 250 226

I-17 200 175

1-20 400 443

1-21 400 415

Total 17350 12477 14700 11699

June 30 2017

1416103 100

The City of Chino

The City of Norco

The City of Ontario

wwwchinodesalterorg

January 4 2018

MWD Subsidy 2687287 104 2415014 64 272273 113

Amount

Change

Revenue Category

of Total

Fiscal Year 199899

FY201617 FY201516

( in millions)

OampMAssessment

MWDSubsidy

CapitalAssessment

InterestIncome

FY201617 170 27 184 56 01 -10 428FY201516 166 24 201 108 03 04 506

FY201617 FY201516

AMOUNT

Change

(in millions)

Membrs

Grndwtr Replen

Admin amp Gen

DeprectnAmrtztn

Interest on LT Debt

Annual Recon of

Federal Grant

Paymnts to

Sponsors

FY201617 114 27 184 11 41 22 42 02 443FY201516 114 24 200 10 40 37 13 48 486

(in millions)

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008Reserve 166 161 85 95 92 104 150 157 253 157

Questions

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

Resolution 2018-03

ABSTAIN

Agenda Item

January 4 2018

DYT Well

I-21I-20

Chino I

Pending Award

In Progress

Complete

WELLS I-18

Future Project

Construction

WellLot A Well

Chino II Expansion

Chino II

Construction

Chino II HVACPump

Stations

Water Pipeline

Total $ 8059 M

Program Statistics

Questions

Agenda Item

January 4 2018

Project Summary

Well No II-1

Well No II-2

Well No II-3

Well No II-4

Proposed Alignment

Well No II-7

Well No II-8

Well No II-6

Well No II-9A

Chino II Desalter

Proposed Alignment

Legend

Program Statistics

Questions

Agenda Item

(in MGD)

Chino I

40725407564078740817408484087840909409404096941000410304106110851198803741934109579656096129020000000000Chino II

4072540756407874081740848408784090940940409694100041030410611246129857316129129451651487741920000000000

ampD ampTampF ampA

ampD ampT ampF ampA

40 50 60 70 80 90

100 110 120 130 140

Chino I

Chino II

56453rd Qtr

58314th Qtr

ProductionGoal (AF)

67841st Qtr

66402nd Qtr

CDA Well Status

Chino I

Chino II

Agenda

Item 1 Minutes

Item 8 CAFR

Item 9 COLA

INFORMATION ITEMS

Directors Comments

Agenda Item

Directors Present

Directors Absent

None Others Present

FLAG SALUTE

Staff Comments

DIRECTOR COMMENTS

Agenda Item

2 of 6

3 of 6

4 of 6

Subtotal CBB $1653833 $1653833 $1653833 050 $1653833

Subtotal CBB $54046 $54046 $54046 NA $54046

Subtotal USB $102392 $102392 $102392 000 $102392

5 of 6

6 of 6

$9847843 049

Agenda Item

1 of 18

000845 AUG 2017)406351

500000

163100

160100

14972493

391687

4948324

172400

CBB Main Account

2 of 18

CBB Main Account

100792

995900

106134

719395)437339

40564)50000

3 of 18

CBB Main Account

5740583

571627

245504

200846

406351

Parts)8972

111031

635199

1111725

100854

752684

4 of 18

CBB Main Account

189300

279180

608100

1922972

247400

343209

112657

5401375987 5401377667)819411

5 of 18

CBB Main Account

358625

181559

CII 617 CI 717 CII 717)511879

5800733

429632

716100

6 of 18

CBB Main Account

840000

2186292

410551

5951248

222000

134680

3337427

2194152

484141

7 of 18

CBB Main Account

291036

247400

114500

5401393698 5401393699 5401393700 5401394515 5401394516 5401396380 5401396381 5401397172 5401397173 5401398569)

3061638

556314

5440464

8 of 18

CBB Main Account

213500 9212017 [1445] ULINE ( Invoices 89658481 89719080 89920507)

348000

1309224

175750

126963

356281

9 of 18

CBB Main Account

324862

100000

179726

413606

409850

761790

8774559

159200

10 of 18

CBB Main Account

932100

14057718

3099800

200000000

100000

661972

324862

4006525

11 of 18

CBB Main Account

991134

586185

607522

16871343

9473781723 9477653696 9486523484 9489919812)170354

1166233

18920800

356281

182326

12 of 18

CBB Main Account

4302822

863580

100000

324862

300920

196814

3429000

1090148

19577377

507735

13 of 18

CBB Main Account

273160

939614

2231095

685427

231500

208638

658656

515884

462139

120000

328990

14 of 18

CBB Main Account

0417 CII 0517 CII 0617 CII 0717)3025700

308186

248194

728645

572771

5766916

2151676

1102723

907138

356281

120000

328990

946292

15 of 18

CBB Main Account

554771

131271

13606100

47564376

232000

179650

641178

8933998

263590

1188655

300000

16 of 18

CBB Main Account

257136

385441

1570945

16559495

333571

170552

537957

300000

335943

1948200

619922

18714073

812722

9322986

291277

4936351

17 of 18

CBB Main Account

852200

102350

143236

Invoices 012I0744 012I0895 012I1322 012I2426)61481

459170

1571511

3286902

1414600

1587600

122992

617680

18 of 18

CBB Main Account

120000

185408

Total 612079921

1 of 3

308000

312656

1821765

3258000

1275510

2511000

698239

462298

12951700

15418600

902856

3500000

2217610

169575

14121158

258499

2 of 3

4204670

3333753

353667

1618922

213000

15146977

22126639

3109542

36181400

10897900

3700500

531989344

332329262

540102654

3 of 3

3963485

216538

1059780

13266547

924182

202000

1997700

137093800

87154600

75751600

1296282

1719700

3083700

328250

Total 1934390142

728000

596500

875008

1459750

628263

904280

23839500

263250

1812068

328000

Total EFTs 30291119

Total 32849619

07072017 2233395$ 696954$ 1536441$ 6 07212017 2656279$ 784736$ 1871543$ 6 08042017 2084872$ 552395$ 1532477$ 6 08182017 2261654$ 611911$ 1649743$ 6 09012017 2304109$ 721037$ 1583072$ 6 09152017 2302951$ 867957$ 1434994$ 6 09292017 2447185$ 765329$ 1681856$ 6

16290445$ 5000319$ 11290126$

PAYROLL SUMMARY

Agenda Item

1 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

2 of 10

Y-T-D Actual

3 of 10

Y-T-D Actual

4 of 10

Y-T-D Actual

Total Expenses 404745474 2394777875 1990032401 1690

5 of 10

Y-T-D Actual

Revenues

6 of 10

Y-T-D Actual

49910997 385721100 335810103 1294Total Expenses

50564363 390601100 340036737 1295

7 of 10

Y-T-D Actual

Revenues

000 000 000 000

Chemicals

8 of 10

Y-T-D Actual

350351 51430 4792649 681Total Expenses 192700607 789647980 596947373 2440

9 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

10 of 10

Y-T-D Actual

Total Expenses 161480504 1214528795 1053048291 1330

Agenda Item

Resolution 2018-02

ABSTAIN

EXHIBIT A

P P P GC 60201

CY+2 CY+2 SS

Approval+30 days

GC 549535 30 days

P P SS

T+10 T+10 SS

T+3 T+3 SS

ADMINISTRATIVE

7 7 GC 60201- 7 years

CL+3 CL+3 SS

+30 YrsCL

+30 YrsSS - CL+30

3 +4 7 SS - Audit +4

7 7 SS - Audit +4

RISK MANAGEMENT

RECORDS MANAGEMENT

FINANCE

Agenda Item

RECITALS

By _________________________________ _________________________________

_________________________________ Curtis D Paxton

Agenda Item

SECTION ACTION ITEM

Fiscal YearEnded

June 30 2017

Financial Section

SECTION A

SECTION B

SECTION C

BOARDSECRETARY

FINANCE INTERN

OPERATIONS MANAGER

BOARD MEMBERS

CHINODESALTER I

CHINODESALTER II

Curtis Paxton

Allison E Burns

Principal Officials

June 30 2017

General ManagerCEO

City of Chino Hills

Jim Bowman

Captial assets 250885177 239552396 11332781 5

Other assets 14021328 11662227 2359101 20

Total assets 311956970 284150138 27806832 10

Unrestricted 16601735 16089772 511963 3

Capital grants 200318 4768747 (4568429) -96

Interest Income 107749 03 323787 06 -216038 (667)

Total Revenues $42832423 1000 $50617742 1000 -$7785319 (154)

201617

Credit429

Interest Income03

$42832423

Total Expenses $44338623 1000 $48618117 1000 ($4279494) (88)

from 201516

61Groundwater

costs95

Sponsors05

$44338623

2017 2016ASSETS

Current assets

Total assets $311956970 $284150138

Totals

Current liabilities

NET POSITION

Totals

OPERATING EXPENSES

Totals

2017 2016

Totals

2017 2016

Totals

Fund Accounting

Enterprise Fund

Basis of Accounting

Use of Estimates

Comparative Data

December 15 2016

June 15 2018

December 15 2016

Capital Assets

ge $5000 ge $5000 ge $5000

NA NA NA

Prepaid Costs

Maximum Maturity

Portfolio

$2334089

16233429

13903771

$41181317

$1332625

Investments

37965250

$41181317

Minimum Rating

Maximum Maturity

Maximum Percentage

Allowed

Investment Type

12 or Less

13 to 24

25 to 59

22976500

1055372

Medium Term Notes

3011850

5945000

$37965250

$24798000

$3212534

$9954716

29607 A+ 29607 0 0

Total $37965250

$5974607 $3011850 $28978793

Investment Type

measurement

22976500

1055372

0 Medium Term Notes

3011850

$37965250

(4) Risk Management

Claim Liabilities

Capital Assets

Jobs in Progress

Bonds Payable

Beginning Balance

Additions

Reductions

Ending Balance

Due within One year

Due after One year

2008A Bonds

$74790000

1276072

$76066072 $0

$76066072

2016A Bonds $67105000

$0 $2560000 $64545000 $2305000

$62240000

0 428925 7720644 0 7720644

$75254569

$0 $2988925 $72265644 $2305000 $69960644

Year Ending June 30

Principal Payments

Interest payments

$2305000

$2553763

$4858763

2465000

2438513

4903513

2645000

2315263

4960263

2780000

2183013

4963013

2022 2910000 2044013 4954013

2023 ndash 2027

16870000

7918711

24788711

2028 ndash 2032

20545000

4240237

24785237

2033 ndash 2035

14025000

849750

14874750

Subtotal

64545000

24543263

89088263

7720644

$24543263

$96808907

Beginning Balance

Additions

Deletions

Ending Balance

Due within One year

Due after One year

$62784

$29934

$10207

$82511

$14390

$68121

Total $4021300

Statistical Section

Contents

Financial Trends

Revenue Capacity

Debt Capacity

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Unrestricted 166 161 85 94 92 106 83 80 180 163

19561860

1035836 791

550 574 683 690

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Ratio 11 11 10 11 11 11 10 11 10 11

$10000

$15000

$20000

$25000

$30000

$35000

$40000

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

239261

244 236 230 229

265 256

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

Total 19 3 22

2017 2293814 2560000 4853814 64545000

2018 2553763 2305000 4858763 62240000

2019 2438513 2465000 4903513 59775000

2020 2315263 2645000 4960263 57130000

2021 2183012 2780000 4963012 54350000

2022 2044013 2910000 4954013 51440000

2023 1898512 3065000 4963512 48375000

2024 1745263 3215000 4960263 45160000

2025 1584512 3370000 4954512 41790000

2026 1416013 3540000 4956013 38250000

2027 1274412 3680000 4954412 34570000

2028 1090413 3865000 4955413 30705000

2029 935812 4015000 4950812 26690000

2030 855513 4105000 4960513 22585000

2031 763150 4195000 4958150 18390000

2032 595350 4365000 4960350 14025000

2033 420750 4540000 4960750 9485000

2034 284550 4670000 4954550 4815000

2035 144450 4815000 4959450 -

Other Non-Current

2017 72265644 671364 72571669 311956970 232016 76066072 542387 76608459 284150138 272015 78353234 472237 78825471 277009764 282014 80505396 403249 80908645 275352005 292013 82552558 246601 82799159 186862890 442012 84484719 85321 84570040 175903130 482011 86650170 80000 86730170 145307722 602010 88391219 - 88391219 148523949 602009 90047268 - 90047268 165029232 552008 91628317 - 91628317 172833361 53

Total 24655 1000

City of Chino203

City of Chino Hills

City of Norco 41

City of Ontario203

24655 Acre-Feet

250000

500000

750000

1000000

1250000

1500000

1750000

2000000

2250000

2500000

2750000

201213 201314 201415 201516 201617

( In Acre-Feet )

I-1 600 380 II-1 2000 1545

I-2 300 145 II-2 2000 1591

I-3 600 350 II-3 2000 1775

I-4 300 137 II-4 2000 1708

I-5 1200 1100 II-6 2000 1654

I-6 1200 175 II-7 1200 969

I-7 1200 175 II-8 1500 1073

I-8 900 954 II-9a 2000 1384

I-9 1200 1050

I-10 1200 1134

I-11 1200 574

I-13 2000 1060

I-14 2200 2174

I-15 2000 1810

I-16 250 226

I-17 200 175

1-20 400 443

1-21 400 415

Total 17350 12477 14700 11699

June 30 2017

1416103 100

The City of Chino

The City of Norco

The City of Ontario

wwwchinodesalterorg

January 4 2018

MWD Subsidy 2687287 104 2415014 64 272273 113

Amount

Change

Revenue Category

of Total

Fiscal Year 199899

FY201617 FY201516

( in millions)

OampMAssessment

MWDSubsidy

CapitalAssessment

InterestIncome

FY201617 170 27 184 56 01 -10 428FY201516 166 24 201 108 03 04 506

FY201617 FY201516

AMOUNT

Change

(in millions)

Membrs

Grndwtr Replen

Admin amp Gen

DeprectnAmrtztn

Interest on LT Debt

Annual Recon of

Federal Grant

Paymnts to

Sponsors

FY201617 114 27 184 11 41 22 42 02 443FY201516 114 24 200 10 40 37 13 48 486

(in millions)

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008Reserve 166 161 85 95 92 104 150 157 253 157

Questions

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

Resolution 2018-03

ABSTAIN

Agenda Item

January 4 2018

DYT Well

I-21I-20

Chino I

Pending Award

In Progress

Complete

WELLS I-18

Future Project

Construction

WellLot A Well

Chino II Expansion

Chino II

Construction

Chino II HVACPump

Stations

Water Pipeline

Total $ 8059 M

Program Statistics

Questions

Agenda Item

January 4 2018

Project Summary

Well No II-1

Well No II-2

Well No II-3

Well No II-4

Proposed Alignment

Well No II-7

Well No II-8

Well No II-6

Well No II-9A

Chino II Desalter

Proposed Alignment

Legend

Program Statistics

Questions

Agenda Item

(in MGD)

Chino I

40725407564078740817408484087840909409404096941000410304106110851198803741934109579656096129020000000000Chino II

4072540756407874081740848408784090940940409694100041030410611246129857316129129451651487741920000000000

ampD ampTampF ampA

ampD ampT ampF ampA

40 50 60 70 80 90

100 110 120 130 140

Chino I

Chino II

56453rd Qtr

58314th Qtr

ProductionGoal (AF)

67841st Qtr

66402nd Qtr

CDA Well Status

Chino I

Chino II

Agenda

Item 1 Minutes

Item 8 CAFR

Item 9 COLA

INFORMATION ITEMS

Directors Comments

Agenda Item

Directors Present

Directors Absent

None Others Present

FLAG SALUTE

Staff Comments

DIRECTOR COMMENTS

Agenda Item

2 of 6

3 of 6

4 of 6

Subtotal CBB $1653833 $1653833 $1653833 050 $1653833

Subtotal CBB $54046 $54046 $54046 NA $54046

Subtotal USB $102392 $102392 $102392 000 $102392

5 of 6

6 of 6

$9847843 049

Agenda Item

1 of 18

000845 AUG 2017)406351

500000

163100

160100

14972493

391687

4948324

172400

CBB Main Account

2 of 18

CBB Main Account

100792

995900

106134

719395)437339

40564)50000

3 of 18

CBB Main Account

5740583

571627

245504

200846

406351

Parts)8972

111031

635199

1111725

100854

752684

4 of 18

CBB Main Account

189300

279180

608100

1922972

247400

343209

112657

5401375987 5401377667)819411

5 of 18

CBB Main Account

358625

181559

CII 617 CI 717 CII 717)511879

5800733

429632

716100

6 of 18

CBB Main Account

840000

2186292

410551

5951248

222000

134680

3337427

2194152

484141

7 of 18

CBB Main Account

291036

247400

114500

5401393698 5401393699 5401393700 5401394515 5401394516 5401396380 5401396381 5401397172 5401397173 5401398569)

3061638

556314

5440464

8 of 18

CBB Main Account

213500 9212017 [1445] ULINE ( Invoices 89658481 89719080 89920507)

348000

1309224

175750

126963

356281

9 of 18

CBB Main Account

324862

100000

179726

413606

409850

761790

8774559

159200

10 of 18

CBB Main Account

932100

14057718

3099800

200000000

100000

661972

324862

4006525

11 of 18

CBB Main Account

991134

586185

607522

16871343

9473781723 9477653696 9486523484 9489919812)170354

1166233

18920800

356281

182326

12 of 18

CBB Main Account

4302822

863580

100000

324862

300920

196814

3429000

1090148

19577377

507735

13 of 18

CBB Main Account

273160

939614

2231095

685427

231500

208638

658656

515884

462139

120000

328990

14 of 18

CBB Main Account

0417 CII 0517 CII 0617 CII 0717)3025700

308186

248194

728645

572771

5766916

2151676

1102723

907138

356281

120000

328990

946292

15 of 18

CBB Main Account

554771

131271

13606100

47564376

232000

179650

641178

8933998

263590

1188655

300000

16 of 18

CBB Main Account

257136

385441

1570945

16559495

333571

170552

537957

300000

335943

1948200

619922

18714073

812722

9322986

291277

4936351

17 of 18

CBB Main Account

852200

102350

143236

Invoices 012I0744 012I0895 012I1322 012I2426)61481

459170

1571511

3286902

1414600

1587600

122992

617680

18 of 18

CBB Main Account

120000

185408

Total 612079921

1 of 3

308000

312656

1821765

3258000

1275510

2511000

698239

462298

12951700

15418600

902856

3500000

2217610

169575

14121158

258499

2 of 3

4204670

3333753

353667

1618922

213000

15146977

22126639

3109542

36181400

10897900

3700500

531989344

332329262

540102654

3 of 3

3963485

216538

1059780

13266547

924182

202000

1997700

137093800

87154600

75751600

1296282

1719700

3083700

328250

Total 1934390142

728000

596500

875008

1459750

628263

904280

23839500

263250

1812068

328000

Total EFTs 30291119

Total 32849619

07072017 2233395$ 696954$ 1536441$ 6 07212017 2656279$ 784736$ 1871543$ 6 08042017 2084872$ 552395$ 1532477$ 6 08182017 2261654$ 611911$ 1649743$ 6 09012017 2304109$ 721037$ 1583072$ 6 09152017 2302951$ 867957$ 1434994$ 6 09292017 2447185$ 765329$ 1681856$ 6

16290445$ 5000319$ 11290126$

PAYROLL SUMMARY

Agenda Item

1 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

2 of 10

Y-T-D Actual

3 of 10

Y-T-D Actual

4 of 10

Y-T-D Actual

Total Expenses 404745474 2394777875 1990032401 1690

5 of 10

Y-T-D Actual

Revenues

6 of 10

Y-T-D Actual

49910997 385721100 335810103 1294Total Expenses

50564363 390601100 340036737 1295

7 of 10

Y-T-D Actual

Revenues

000 000 000 000

Chemicals

8 of 10

Y-T-D Actual

350351 51430 4792649 681Total Expenses 192700607 789647980 596947373 2440

9 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

10 of 10

Y-T-D Actual

Total Expenses 161480504 1214528795 1053048291 1330

Agenda Item

Resolution 2018-02

ABSTAIN

EXHIBIT A

P P P GC 60201

CY+2 CY+2 SS

Approval+30 days

GC 549535 30 days

P P SS

T+10 T+10 SS

T+3 T+3 SS

ADMINISTRATIVE

7 7 GC 60201- 7 years

CL+3 CL+3 SS

+30 YrsCL

+30 YrsSS - CL+30

3 +4 7 SS - Audit +4

7 7 SS - Audit +4

RISK MANAGEMENT

RECORDS MANAGEMENT

FINANCE

Agenda Item

RECITALS

By _________________________________ _________________________________

_________________________________ Curtis D Paxton

Agenda Item

SECTION ACTION ITEM

Fiscal YearEnded

June 30 2017

Financial Section

SECTION A

SECTION B

SECTION C

BOARDSECRETARY

FINANCE INTERN

OPERATIONS MANAGER

BOARD MEMBERS

CHINODESALTER I

CHINODESALTER II

Curtis Paxton

Allison E Burns

Principal Officials

June 30 2017

General ManagerCEO

City of Chino Hills

Jim Bowman

Captial assets 250885177 239552396 11332781 5

Other assets 14021328 11662227 2359101 20

Total assets 311956970 284150138 27806832 10

Unrestricted 16601735 16089772 511963 3

Capital grants 200318 4768747 (4568429) -96

Interest Income 107749 03 323787 06 -216038 (667)

Total Revenues $42832423 1000 $50617742 1000 -$7785319 (154)

201617

Credit429

Interest Income03

$42832423

Total Expenses $44338623 1000 $48618117 1000 ($4279494) (88)

from 201516

61Groundwater

costs95

Sponsors05

$44338623

2017 2016ASSETS

Current assets

Total assets $311956970 $284150138

Totals

Current liabilities

NET POSITION

Totals

OPERATING EXPENSES

Totals

2017 2016

Totals

2017 2016

Totals

Fund Accounting

Enterprise Fund

Basis of Accounting

Use of Estimates

Comparative Data

December 15 2016

June 15 2018

December 15 2016

Capital Assets

ge $5000 ge $5000 ge $5000

NA NA NA

Prepaid Costs

Maximum Maturity

Portfolio

$2334089

16233429

13903771

$41181317

$1332625

Investments

37965250

$41181317

Minimum Rating

Maximum Maturity

Maximum Percentage

Allowed

Investment Type

12 or Less

13 to 24

25 to 59

22976500

1055372

Medium Term Notes

3011850

5945000

$37965250

$24798000

$3212534

$9954716

29607 A+ 29607 0 0

Total $37965250

$5974607 $3011850 $28978793

Investment Type

measurement

22976500

1055372

0 Medium Term Notes

3011850

$37965250

(4) Risk Management

Claim Liabilities

Capital Assets

Jobs in Progress

Bonds Payable

Beginning Balance

Additions

Reductions

Ending Balance

Due within One year

Due after One year

2008A Bonds

$74790000

1276072

$76066072 $0

$76066072

2016A Bonds $67105000

$0 $2560000 $64545000 $2305000

$62240000

0 428925 7720644 0 7720644

$75254569

$0 $2988925 $72265644 $2305000 $69960644

Year Ending June 30

Principal Payments

Interest payments

$2305000

$2553763

$4858763

2465000

2438513

4903513

2645000

2315263

4960263

2780000

2183013

4963013

2022 2910000 2044013 4954013

2023 ndash 2027

16870000

7918711

24788711

2028 ndash 2032

20545000

4240237

24785237

2033 ndash 2035

14025000

849750

14874750

Subtotal

64545000

24543263

89088263

7720644

$24543263

$96808907

Beginning Balance

Additions

Deletions

Ending Balance

Due within One year

Due after One year

$62784

$29934

$10207

$82511

$14390

$68121

Total $4021300

Statistical Section

Contents

Financial Trends

Revenue Capacity

Debt Capacity

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Unrestricted 166 161 85 94 92 106 83 80 180 163

19561860

1035836 791

550 574 683 690

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Ratio 11 11 10 11 11 11 10 11 10 11

$10000

$15000

$20000

$25000

$30000

$35000

$40000

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

239261

244 236 230 229

265 256

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

Total 19 3 22

2017 2293814 2560000 4853814 64545000

2018 2553763 2305000 4858763 62240000

2019 2438513 2465000 4903513 59775000

2020 2315263 2645000 4960263 57130000

2021 2183012 2780000 4963012 54350000

2022 2044013 2910000 4954013 51440000

2023 1898512 3065000 4963512 48375000

2024 1745263 3215000 4960263 45160000

2025 1584512 3370000 4954512 41790000

2026 1416013 3540000 4956013 38250000

2027 1274412 3680000 4954412 34570000

2028 1090413 3865000 4955413 30705000

2029 935812 4015000 4950812 26690000

2030 855513 4105000 4960513 22585000

2031 763150 4195000 4958150 18390000

2032 595350 4365000 4960350 14025000

2033 420750 4540000 4960750 9485000

2034 284550 4670000 4954550 4815000

2035 144450 4815000 4959450 -

Other Non-Current

2017 72265644 671364 72571669 311956970 232016 76066072 542387 76608459 284150138 272015 78353234 472237 78825471 277009764 282014 80505396 403249 80908645 275352005 292013 82552558 246601 82799159 186862890 442012 84484719 85321 84570040 175903130 482011 86650170 80000 86730170 145307722 602010 88391219 - 88391219 148523949 602009 90047268 - 90047268 165029232 552008 91628317 - 91628317 172833361 53

Total 24655 1000

City of Chino203

City of Chino Hills

City of Norco 41

City of Ontario203

24655 Acre-Feet

250000

500000

750000

1000000

1250000

1500000

1750000

2000000

2250000

2500000

2750000

201213 201314 201415 201516 201617

( In Acre-Feet )

I-1 600 380 II-1 2000 1545

I-2 300 145 II-2 2000 1591

I-3 600 350 II-3 2000 1775

I-4 300 137 II-4 2000 1708

I-5 1200 1100 II-6 2000 1654

I-6 1200 175 II-7 1200 969

I-7 1200 175 II-8 1500 1073

I-8 900 954 II-9a 2000 1384

I-9 1200 1050

I-10 1200 1134

I-11 1200 574

I-13 2000 1060

I-14 2200 2174

I-15 2000 1810

I-16 250 226

I-17 200 175

1-20 400 443

1-21 400 415

Total 17350 12477 14700 11699

June 30 2017

1416103 100

The City of Chino

The City of Norco

The City of Ontario

wwwchinodesalterorg

January 4 2018

MWD Subsidy 2687287 104 2415014 64 272273 113

Amount

Change

Revenue Category

of Total

Fiscal Year 199899

FY201617 FY201516

( in millions)

OampMAssessment

MWDSubsidy

CapitalAssessment

InterestIncome

FY201617 170 27 184 56 01 -10 428FY201516 166 24 201 108 03 04 506

FY201617 FY201516

AMOUNT

Change

(in millions)

Membrs

Grndwtr Replen

Admin amp Gen

DeprectnAmrtztn

Interest on LT Debt

Annual Recon of

Federal Grant

Paymnts to

Sponsors

FY201617 114 27 184 11 41 22 42 02 443FY201516 114 24 200 10 40 37 13 48 486

(in millions)

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008Reserve 166 161 85 95 92 104 150 157 253 157

Questions

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

Resolution 2018-03

ABSTAIN

Agenda Item

January 4 2018

DYT Well

I-21I-20

Chino I

Pending Award

In Progress

Complete

WELLS I-18

Future Project

Construction

WellLot A Well

Chino II Expansion

Chino II

Construction

Chino II HVACPump

Stations

Water Pipeline

Total $ 8059 M

Program Statistics

Questions

Agenda Item

January 4 2018

Project Summary

Well No II-1

Well No II-2

Well No II-3

Well No II-4

Proposed Alignment

Well No II-7

Well No II-8

Well No II-6

Well No II-9A

Chino II Desalter

Proposed Alignment

Legend

Program Statistics

Questions

Agenda Item

(in MGD)

Chino I

40725407564078740817408484087840909409404096941000410304106110851198803741934109579656096129020000000000Chino II

4072540756407874081740848408784090940940409694100041030410611246129857316129129451651487741920000000000

ampD ampTampF ampA

ampD ampT ampF ampA

40 50 60 70 80 90

100 110 120 130 140

Chino I

Chino II

56453rd Qtr

58314th Qtr

ProductionGoal (AF)

67841st Qtr

66402nd Qtr

CDA Well Status

Chino I

Chino II

Agenda

Item 1 Minutes

Item 8 CAFR

Item 9 COLA

Agenda Item

Directors Present

Directors Absent

None Others Present

FLAG SALUTE

Staff Comments

DIRECTOR COMMENTS

Agenda Item

2 of 6

3 of 6

4 of 6

Subtotal CBB $1653833 $1653833 $1653833 050 $1653833

Subtotal CBB $54046 $54046 $54046 NA $54046

Subtotal USB $102392 $102392 $102392 000 $102392

5 of 6

6 of 6

$9847843 049

Agenda Item

1 of 18

000845 AUG 2017)406351

500000

163100

160100

14972493

391687

4948324

172400

CBB Main Account

2 of 18

CBB Main Account

100792

995900

106134

719395)437339

40564)50000

3 of 18

CBB Main Account

5740583

571627

245504

200846

406351

Parts)8972

111031

635199

1111725

100854

752684

4 of 18

CBB Main Account

189300

279180

608100

1922972

247400

343209

112657

5401375987 5401377667)819411

5 of 18

CBB Main Account

358625

181559

CII 617 CI 717 CII 717)511879

5800733

429632

716100

6 of 18

CBB Main Account

840000

2186292

410551

5951248

222000

134680

3337427

2194152

484141

7 of 18

CBB Main Account

291036

247400

114500

5401393698 5401393699 5401393700 5401394515 5401394516 5401396380 5401396381 5401397172 5401397173 5401398569)

3061638

556314

5440464

8 of 18

CBB Main Account

213500 9212017 [1445] ULINE ( Invoices 89658481 89719080 89920507)

348000

1309224

175750

126963

356281

9 of 18

CBB Main Account

324862

100000

179726

413606

409850

761790

8774559

159200

10 of 18

CBB Main Account

932100

14057718

3099800

200000000

100000

661972

324862

4006525

11 of 18

CBB Main Account

991134

586185

607522

16871343

9473781723 9477653696 9486523484 9489919812)170354

1166233

18920800

356281

182326

12 of 18

CBB Main Account

4302822

863580

100000

324862

300920

196814

3429000

1090148

19577377

507735

13 of 18

CBB Main Account

273160

939614

2231095

685427

231500

208638

658656

515884

462139

120000

328990

14 of 18

CBB Main Account

0417 CII 0517 CII 0617 CII 0717)3025700

308186

248194

728645

572771

5766916

2151676

1102723

907138

356281

120000

328990

946292

15 of 18

CBB Main Account

554771

131271

13606100

47564376

232000

179650

641178

8933998

263590

1188655

300000

16 of 18

CBB Main Account

257136

385441

1570945

16559495

333571

170552

537957

300000

335943

1948200

619922

18714073

812722

9322986

291277

4936351

17 of 18

CBB Main Account

852200

102350

143236

Invoices 012I0744 012I0895 012I1322 012I2426)61481

459170

1571511

3286902

1414600

1587600

122992

617680

18 of 18

CBB Main Account

120000

185408

Total 612079921

1 of 3

308000

312656

1821765

3258000

1275510

2511000

698239

462298

12951700

15418600

902856

3500000

2217610

169575

14121158

258499

2 of 3

4204670

3333753

353667

1618922

213000

15146977

22126639

3109542

36181400

10897900

3700500

531989344

332329262

540102654

3 of 3

3963485

216538

1059780

13266547

924182

202000

1997700

137093800

87154600

75751600

1296282

1719700

3083700

328250

Total 1934390142

728000

596500

875008

1459750

628263

904280

23839500

263250

1812068

328000

Total EFTs 30291119

Total 32849619

07072017 2233395$ 696954$ 1536441$ 6 07212017 2656279$ 784736$ 1871543$ 6 08042017 2084872$ 552395$ 1532477$ 6 08182017 2261654$ 611911$ 1649743$ 6 09012017 2304109$ 721037$ 1583072$ 6 09152017 2302951$ 867957$ 1434994$ 6 09292017 2447185$ 765329$ 1681856$ 6

16290445$ 5000319$ 11290126$

PAYROLL SUMMARY

Agenda Item

1 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

2 of 10

Y-T-D Actual

3 of 10

Y-T-D Actual

4 of 10

Y-T-D Actual

Total Expenses 404745474 2394777875 1990032401 1690

5 of 10

Y-T-D Actual

Revenues

6 of 10

Y-T-D Actual

49910997 385721100 335810103 1294Total Expenses

50564363 390601100 340036737 1295

7 of 10

Y-T-D Actual

Revenues

000 000 000 000

Chemicals

8 of 10

Y-T-D Actual

350351 51430 4792649 681Total Expenses 192700607 789647980 596947373 2440

9 of 10

Y-T-D Actual

Revenues

1721720 12000000 10278280 1435

1147426 9000000 7852574 1275

10 of 10

Y-T-D Actual

Total Expenses 161480504 1214528795 1053048291 1330

Agenda Item

Resolution 2018-02

ABSTAIN

EXHIBIT A

P P P GC 60201

CY+2 CY+2 SS

Approval+30 days

GC 549535 30 days

P P SS

T+10 T+10 SS

T+3 T+3 SS

ADMINISTRATIVE

7 7 GC 60201- 7 years

CL+3 CL+3 SS

+30 YrsCL

+30 YrsSS - CL+30

3 +4 7 SS - Audit +4

7 7 SS - Audit +4

RISK MANAGEMENT

RECORDS MANAGEMENT

FINANCE

Agenda Item

RECITALS

By _________________________________ _________________________________

_________________________________ Curtis D Paxton

Agenda Item

SECTION ACTION ITEM

Fiscal YearEnded

June 30 2017

Financial Section

SECTION A

SECTION B

SECTION C

BOARDSECRETARY

FINANCE INTERN

OPERATIONS MANAGER

BOARD MEMBERS

CHINODESALTER I

CHINODESALTER II

Curtis Paxton

Allison E Burns

Principal Officials

June 30 2017

General ManagerCEO

City of Chino Hills

Jim Bowman

Captial assets 250885177 239552396 11332781 5

Other assets 14021328 11662227 2359101 20

Total assets 311956970 284150138 27806832 10

Unrestricted 16601735 16089772 511963 3

Capital grants 200318 4768747 (4568429) -96

Interest Income 107749 03 323787 06 -216038 (667)

Total Revenues $42832423 1000 $50617742 1000 -$7785319 (154)

201617

Credit429

Interest Income03

$42832423

Total Expenses $44338623 1000 $48618117 1000 ($4279494) (88)

from 201516

61Groundwater

costs95

Sponsors05

$44338623

2017 2016ASSETS

Current assets

Total assets $311956970 $284150138

Totals

Current liabilities

NET POSITION

Totals

OPERATING EXPENSES

Totals

2017 2016

Totals

2017 2016

Totals

Fund Accounting

Enterprise Fund

Basis of Accounting

Use of Estimates

Comparative Data

December 15 2016

June 15 2018

December 15 2016

Capital Assets

ge $5000 ge $5000 ge $5000

NA NA NA

Prepaid Costs

Maximum Maturity

Portfolio

$2334089

16233429

13903771

$41181317

$1332625

Investments

37965250

$41181317

Minimum Rating

Maximum Maturity

Maximum Percentage

Allowed

Investment Type

12 or Less

13 to 24

25 to 59

22976500

1055372

Medium Term Notes

3011850

5945000

$37965250

$24798000

$3212534

$9954716

29607 A+ 29607 0 0

Total $37965250

$5974607 $3011850 $28978793

Investment Type

measurement

22976500

1055372

0 Medium Term Notes

3011850

$37965250

(4) Risk Management

Claim Liabilities

Capital Assets

Jobs in Progress

Bonds Payable

Beginning Balance

Additions

Reductions

Ending Balance

Due within One year

Due after One year

2008A Bonds

$74790000

1276072

$76066072 $0

$76066072

2016A Bonds $67105000

$0 $2560000 $64545000 $2305000

$62240000

0 428925 7720644 0 7720644

$75254569

$0 $2988925 $72265644 $2305000 $69960644

Year Ending June 30

Principal Payments

Interest payments

$2305000

$2553763

$4858763

2465000

2438513

4903513

2645000

2315263

4960263

2780000

2183013

4963013

2022 2910000 2044013 4954013

2023 ndash 2027

16870000

7918711

24788711

2028 ndash 2032

20545000

4240237

24785237

2033 ndash 2035

14025000

849750

14874750

Subtotal

64545000

24543263

89088263

7720644

$24543263

$96808907

Beginning Balance

Additions

Deletions

Ending Balance

Due within One year

Due after One year

$62784

$29934

$10207

$82511

$14390

$68121

Total $4021300

Statistical Section

Contents

Financial Trends

Revenue Capacity

Debt Capacity

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Unrestricted 166 161 85 94 92 106 83 80 180 163

19561860

1035836 791

550 574 683 690

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Ratio 11 11 10 11 11 11 10 11 10 11

$10000

$15000

$20000

$25000

$30000

$35000

$40000

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

239261

244 236 230 229

265 256

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008

Fiscal Year

Total 19 3 22

2017 2293814 2560000 4853814 64545000

2018 2553763 2305000 4858763 62240000

2019 2438513 2465000 4903513 59775000

2020 2315263 2645000 4960263 57130000

2021 2183012 2780000 4963012 54350000

2022 2044013 2910000 4954013 51440000

2023 1898512 3065000 4963512 48375000

2024 1745263 3215000 4960263 45160000

2025 1584512 3370000 4954512 41790000

2026 1416013 3540000 4956013 38250000

2027 1274412 3680000 4954412 34570000

2028 1090413 3865000 4955413 30705000

2029 935812 4015000 4950812 26690000

2030 855513 4105000 4960513 22585000

2031 763150 4195000 4958150 18390000

2032 595350 4365000 4960350 14025000

2033 420750 4540000 4960750 9485000

2034 284550 4670000 4954550 4815000

2035 144450 4815000 4959450 -

Other Non-Current

2017 72265644 671364 72571669 311956970 232016 76066072 542387 76608459 284150138 272015 78353234 472237 78825471 277009764 282014 80505396 403249 80908645 275352005 292013 82552558 246601 82799159 186862890 442012 84484719 85321 84570040 175903130 482011 86650170 80000 86730170 145307722 602010 88391219 - 88391219 148523949 602009 90047268 - 90047268 165029232 552008 91628317 - 91628317 172833361 53

Total 24655 1000

City of Chino203

City of Chino Hills

City of Norco 41

City of Ontario203

24655 Acre-Feet

250000

500000

750000

1000000

1250000

1500000

1750000

2000000

2250000

2500000

2750000

201213 201314 201415 201516 201617

( In Acre-Feet )

I-1 600 380 II-1 2000 1545

I-2 300 145 II-2 2000 1591

I-3 600 350 II-3 2000 1775

I-4 300 137 II-4 2000 1708

I-5 1200 1100 II-6 2000 1654

I-6 1200 175 II-7 1200 969

I-7 1200 175 II-8 1500 1073

I-8 900 954 II-9a 2000 1384

I-9 1200 1050

I-10 1200 1134

I-11 1200 574

I-13 2000 1060

I-14 2200 2174

I-15 2000 1810

I-16 250 226

I-17 200 175

1-20 400 443

1-21 400 415

Total 17350 12477 14700 11699

June 30 2017

1416103 100

The City of Chino

The City of Norco

The City of Ontario

wwwchinodesalterorg

January 4 2018

MWD Subsidy 2687287 104 2415014 64 272273 113

Amount

Change

Revenue Category

of Total

Fiscal Year 199899

FY201617 FY201516

( in millions)

OampMAssessment

MWDSubsidy

CapitalAssessment

InterestIncome

FY201617 170 27 184 56 01 -10 428FY201516 166 24 201 108 03 04 506

FY201617 FY201516

AMOUNT

Change

(in millions)

Membrs

Grndwtr Replen

Admin amp Gen

DeprectnAmrtztn

Interest on LT Debt

Annual Recon of

Federal Grant

Paymnts to

Sponsors

FY201617 114 27 184 11 41 22 42 02 443FY201516 114 24 200 10 40 37 13 48 486

(in millions)

2017 2016 2015 2014 2013 2012 2011 2010 2009 2008Reserve 166 161 85 95 92 104 150 157 253 157

Questions

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

SECTION ACTION ITEM

IMPACT ON BUDGET

Agenda Item

Resolution 2018-03

ABSTAIN

Agenda Item

January 4 2018

DYT Well

I-21I-20

Chino I

Pending Award

In Progress

Complete

WELLS I-18

Future Project

Construction

WellLot A Well

Chino II Expansion

Chino II

Construction

Chino II HVACPump

Stations

Water Pipeline

Total $ 8059 M

Program Statistics

Questions

Agenda Item

January 4 2018

Project Summary

Well No II-1

Well No II-2

Well No II-3

Well No II-4

Proposed Alignment

Well No II-7

Well No II-8

Well No II-6

Well No II-9A

Chino II Desalter

Proposed Alignment

Legend

Program Statistics

Questions

Agenda Item

(in MGD)

Chino I

40725407564078740817408484087840909409404096941000410304106110851198803741934109579656096129020000000000Chino II

4072540756407874081740848408784090940940409694100041030410611246129857316129129451651487741920000000000

ampD ampTampF ampA

ampD ampT ampF ampA

40 50 60 70 80 90

100 110 120 130 140

Chino I

Chino II

56453rd Qtr

58314th Qtr

ProductionGoal (AF)

67841st Qtr

66402nd Qtr

CDA Well Status

Chino I

Chino II

Agenda

Item 1 Minutes

Item 8 CAFR

Item 9 COLA

September 2008

1		Chino II flows adjusted to account for Ontarios DYY take

2		Chino is limited to ~3400 max flow Therefore it is difficult to give them more water

3		Chino Hills was requested to take 4108 AF They have taken only 3896 AF

4		Norco has reduce their take to 1436 AF They were requested to take 913 AF

Makeup water Projection

1		Although Chinos delivery percentage is below other member agencies at this rate they will get 61430 AF of additional make water Where as Chino Hills is still in deficit Therefore in order to balance makeup water Chinos take needs to maintained at currant level or less and Chino Hills take needs to be increase further

January 2009

	An error was noted in JCSD water delivery spread sheet JCSD was totaling water deliveries for 330 days of the month for August October and December 2008 The error was corrected in mid Jan 2009 and is reflected in Jan 2009 monthly water delivery report

Month		Chino I		Chino II

July-17		103240		118559

August-17		104256		123163

September-17		- 0		- 0

October-17		- 0		- 0

November-17		- 0		- 0

December-17		- 0		- 0

January-18		- 0		- 0

February-18		- 0		- 0

March-18		- 0		- 0

April-18		- 0		- 0

May-18		- 0		- 0

June-18		- 0		- 0


	207497		241722


Convert above AF values to MGD				Number of days in month

Month		Chino I		Chino II

July-11		109		125	31

August-11		110		129	31

September-11		-0		-0	30

October-11		-0		-0	31

November-11		-0		-0	30

December-11		-0		-0	31

January-12		-0		-0	31

February-12		-0		-0	28

March-12		-0		-0	31

April-12		-0		-0	30

May-12		-0		-0	31

June-12		-0		-0	30


Average MGD		55		64	365

Projected Deliveries for Month of				July									Change Month

Based on balancing the make up water

			MGD		AFMonth		Flow in GPM			31		Days in the Month				Enter no of days in the month

Estimated Production for Month of July 2010			Chino I Desalter		112		10684		77986							Enter estimated Chino I production for the month

		Chino II Desalter		1108		10541		76944							Enter estimated Chino II production for the month

		TOTAL		223		21226		154931


CHINO I DESALTER

	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Total Take for		- 0		- 0		- 0		- 0		- 0		- 0		- 0		AFMonth		Enter Reads from Chino I

Apr-09												Change Month

of Desalter Production		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0

Proposed take for		2033		3400		1900		000		1100		400		8833			Change percentages to adjust deliveries for next month

May-09												Change month

Proposed take for		15855		26515		14817		- 0		8578		3119		68885		GPM

May 2009 in GPM												Change month

Proposed take for		2172		3633		2030		- 0		1175		427		9438		AFMonth

May 2009 AFMonth												Change month

Chino I Delivery Schedule		15855		26515		17937			8578			68885		GPM


CHINO II DESALTER

	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Total Take for		- 0		- 0		- 0		- 0		- 0		- 0		- 0		AFMonth		Enter reads for Chino II

Apr-09												Change month

of Desalter Production		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0		ERRORDIV0

Proposed take for		000		000		5200		1170		3100		530		10000			Change percentages to adjust deliveries for next month

May-09												Change month

Proposed take for		00		00		40011		9003		23853		4078		76944		GPM

May 2009 in GPM

Proposed take for		00		00		5482		1233		3268		559		10542		AFMonth		Change month

May 2009 AFMonth

Chino II Delivery Schedule				53092			23853			76944		GPM


Total Planned Deliveries for month of		2172		3633		7512		1233		4443		986		19979		AFMonth

May-09												Change month


Entitlement		4247		3567		6964		849		4247		1019		20893




Report for Plant Operators					Proposed July 2009 Delivery Schedule								Change month


	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC

Chino I Desalter		Estimated Production for month				10684		AF

Percentage of plant production		2033		3400		1900		000		1100		400		8833

Flow Rate in GPM		15855		26515		14817		- 0		8578		3119		68885		GPM


Chino II Desalter		Estimated Production for month				10541		AF

Percentage of plant production		000		000		5200		1170		3100		530		10000

Flow Rate in GPM		- 0		- 0		40011		9003		23853		4078		76944		GPM


Totals for July 2009		15855		26515		54828		9003		32431		7198		145830		GPM		Change month

GOAL IS TO MEET THE ENTITLEMENT FIRST AND THEN DELIVER THE SURPLUS WATER TO REDUCE MAKE UP WATER CARRY OVER TO NEXT YEAR


	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

	Projected water deliveries AF

Chino I		21720		36325		20299		- 0		11752		4273		94369

Chino II		- 0		- 0		54813		12333		32677		5587		105410

Total for the month		21720		36325		75112		12333		44429		9860		199779

Entitlement		41667		35000		68333		8333		41667		10000		205000

Percentage of Entitlement		5213		10378		10992		14800		10663		9860		9745

	GPM					Days in Month

Chino I		8050			Yearly		24600		30

Chino II		7800			Monthly		67397


	GPM		MGD		AFD		DayMonth		AFMonth		Available above Baseline

	15850		22824		70049		30		2101472		796


	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Contracted Allocation		4110		3452		6740		822		4110		986		20219

Contracted Allocation ()		20		17		33		4		20		5		100


July 09Adjustment		4700		-43000		26600		-28700		24500		0000

August Adjustment		-10590		-31230		-118820		25758		-74956		-10000

September Adjustment		2460		-24470		-37460		5748		-30072		-10000

October Adjustment		-8962		-13372		-9040		2644		-5160		-10000

November Adjustment		13290		9660		40443		-5366		-6381		-10000

December Adjustment		-7570		15671		38837		0316		-40777		-10000

January Adjustment		-15214		-26333		-92518		-1407		-62770		-10000

February Adjustment		416667		350000		683333		83333		416667		100000

March Adjustment		416667		350000		683333		83333		416667		100000

April Adjustment		416667		350000		683333		83333		416667		100000

May Adjustment		416667		350000		683333		83333		416667		100000

June Adjustment		416667		350000		683333		83333		416667		100000

July 10 Adjustment		0000		0000		0000		0000		0000		0000

Makeup Water Owed		36455		519953		1052768			753583		225102		2587861

Total Thru June Adj amp Makeup		2097902		2156879		4317477		415660		2641300		665102		12294320

Makeup Water Owed ()		171		175		351		34		215		54

Makeup Water Share this Month		13575		13957		27937		2690		17091		4304		79554 Rene Cruz Rene CruzAsk Tim if we can use simply the sum of this entire row instead of using G6 above I23 and G6 is the same as H23		79554


Month Allocation with Makeup (AF)		424534		359162		701910		84881		428050		102934		2101472		2101472


Month Allocation ()		2020		1709		3340		404		2037		490		15850

								10000

Projected GPM		3202		2709		5294		640 Rene Cruz Rene CruzNote that on May 10th 2010 122gpm were added to the Norco Water allocation due to the low intake being reported Norco Must take at least 100		3228 Rene Cruz Rene CruzNote that on May 10th 2010 122gpm were asubtracted to increase the Norco Water allocation due to the low intake being reported Norco Must take at least 100		776			15850

	20		17		33		4		20		5


Chino I Delivery		3203 Rene Cruz Rene CruzI Added one because the formula did not produce 7800gpm if I didnrsquot					Rene Cruz Rene CruzNote that on May 10th 2010 122gpm were asubtracted to increase the Norco Water allocation due to the low intake being reported Norco Must take at least 100		2709		2138					8050

End User Allocation				738			1100		300


Chino II Delivery		0		0		4555		640		2128		476		7800

	GPM								Day In Month

Chino I		7800						Yearly		24600		31

Chino II		7700						Daily		67397


	GPM		MGD		AFD		DayMonth		AFMonth		Available above Baseline

	15500		2232		68502		31		2123569		343


	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Contracted Allocation		4247		3567		6964		849		4247		1019		20893

Contracted Allocation ()		20		17		33		4		20		5

July 10 Adjustment

August Adjustment												7800			208000

September Adjustment												2600			176800

October Adjustment												10400			343200

November Adjustment														41600

December Adjustment														208000

January Adjustment														52000

February Adjustment

March Adjustment														10296

April Adjustment

May Adjustment

June Adjustment

July 11 Adjustment		159		07		-735		103		-391		-10

Makeup Water Owed this month		0000		325415		576870		0000		448927		150102		1501314

Balance Owed		- 0		326115		503370		10300		409827		140102		1389714

Makeup Water Owed ()		00		235		362		07		295		101		1000

Makeup Water Share this Month		0000		8038		12407		0254		10102		3453		343		34254


Month Allocation with Makeup (AF)		424658		364751		708846		85185		434759		105371		2123569		2123569


Month Allocation ()		2000		1718		3338		401		2047		496		15500

								10000

Projected GPM		3100		2662		5174		622		3173		769		15500				2010



Chino I Delivery		3100		2662		2038					7800

End User Allocation				638			1100		300


Chino II Delivery		0		0		4536		622		2073		469		7700			4472908563025



Reduction Projection		2613		2244		3243					8100

			1843			1100		300


	0		0		2217		587		1810		475		5090

Notes		In the month of April 206-gpm were taken out of the JCSD allocations

	to supply Chino and Chino Hills more water for make up purposes

	Same thing on the Chino II spilt I reduced Ontarios take to increase Norcos

Chino Basin Desalter Authority

MWD Local Resources Program (LRP) Rebate Accounting

FY 2008 - 2009


	Desalter 1		Desalter 2		MWD Rebate - (9600 AF Agreement)			MWD Rebate (18000 AF Agreement)

Month		(AF)		(AF)		IEUA (AF)	WMWD (AF)		Total (AF)		IEUA (AF)		WMWD (AF)		Total (AF)

Jul-08		10324		11856		7784	2540		10324		3995		7860		11856

Aug-08		10426		12316		7861	2565		10426		4151		8166		12316

Sep-08		00		00		00	00		00		00		00		00

Oct-08		00		00		00	00		00		00		00		00

Nov-08		00		00		00	00		00		00		00		00

Dec-08		00		00		00	00		00		00		00		00

Jan-09		00		00		00	00		00		00		00		00

Feb-09		00		00		00	00		00		00		00		00

Mar-09		00		00		56739	18512		75250		00		00		16858	In April 2008 we met 9600 AF Cap Adjustment made

Apr-09		00		00		00	00		00		00		00		00

May-09		00		00		00	00		00		00		00		00		96882

Jun-09		00		00		00	00		00		00		00		00		96000

Total		20750		24172		72384	23616		96000		8146		16026		41031		882	Difference

					9600 cap			18000 cap

Notes						20750			9751				665		7540

1 Desalter 1 delivery is 754 IEUA and 246 WMWD						75250			-65481				217		2460

2 Desalter 2 delivery is 337 IEUA and 663 WMWD								-5573034				882

3 The first 9600 AF of Desalter 1 production is allocated towards the original 9600 AF LRP Agreement Additional Desalter 1											8909		665		8244

production is considered expansion water allocated towards the 18000 AF LRP Agreement along with all Desalter 2 production											2907		217		2690


										297		3370

										585		6630

										3752		297		4049

										7381		585		7966




	MGD		gpm

Chino 1 plant Production		102		7083		(1721)

Chino 2 plant Production		101		7014		565



	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total		JCSD subtotal

Chino I Planned Delivery

1 Delivery for current plant capacity

Chino 1 entitlement (gpm)		3100		2604		1674		0		930		496		8805		3100

(AFyr)		5000		4200		2700		0		1500		800		14200

()		352		296		190		00		106		56		100


Adjusted Flow		-260		-220		(1000)			(930)		000

Adjusted GPM Flow		2840		2384		674			0		496		6395		1170

Adjusted AF		4582		3846		1087			0		800		10315

	444		373		105		00		00		78		1000


	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Chino II Planned Delivery

1 Delivery for current plant capacity

Chino II entitlement (gpm)		0		0		3410		620		2170		248		6448

(AFyr)		0		0		5500		1000		3500		400		10400

()		00		00		529		95		337		38		100


Adjusted Flow				600		-50		700		-48

Adjusted GPM Flow		0		0		4010		570		2870		200		7650

Adjusted AF		0		0		6469		920		4630		323		12341

	00		00		524		75		375		26		100


Total Entitlement (Af)		5000		4200		8200		1000		5000		1200		24600

	20		17		33		4		20		5

Excess Capacity (GPM)		-235		-197		-385		-47		-235		-56		-1156

	4582		3846		7556		920		4630		1123


				14097		Chino I		Chino II

	JCSD		8200		33		4699		662		4000

	Ontario		5000		20		2865			2865

	Chino Hills		4200		17		2407		2407

	Chino		5000		20		2865		2865

	Santa Ana		1200		5		688		482		200

	Norco		1000		4		573			573

		24600				6416		7638

Chino Basin Desalter Authority

Makeup Water Inventory Tracking Sheet

(Units in acre feet)


	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

2005-06 Water Budget		45000		35000		57000		10000		20000		7000		174000

Water Delivered for FY 2005-06		42735		25196		34763		8935		4261		2905		118795

Makeup Water owed at end of FY 2005-06		(227)		(980)		(2224)		(107)		(1574)		(410)		(5521)


2006-07 Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered for FY 2006-07		4690		4122		8351		1020		5153		1229		24564

Shortfall for FY2006-07		(310)		(78)		151		20		153		29		(36)


Makeup Water owed at end of FY 2006-07		(537)		(1059)		(2073)		(86)		(1421)		(381)		(5557)


Makeup Water though FY 2007-08		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

2007-08 Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered through June 2008		5456		4431		8797		1195		5415		1285		26578

Shortfall Excess for FY 2007-08		456		231		597		195		415		85		1978

Makeup Water owed at end of FY 2007-08		(81)		(828)		(1476)		109		(1007)		(296)		(3579)


Makeup Water though FY 2008-09		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

2008-09 Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered through June 2009		5045		4508		8623		979		5253		1271		25679

Shortfall Excess for FY 2008-09		45		308		423		(21)		253		71		1079

Makeup Water owed at end of FY 2008-09		(36)		(520)		(1053)		0		(754)		(225)		(2588)


Makeup Water owed at end of FY 2009-10		0		(325)		(577)		0		(449)		(150)		(1501)


Makeup Water owed at end of FY 2010-11		23		260		459		0		260		150		1151



		Make-up Water FY 2011-12

2010-11 Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered through August 2010		2239		1897		3700		472		2354		500		11162

Shortfall Excess for FY 2010-11		572		497		967		139		687		100		2962

Makeup Water owed to date		0		(237)		(508)		0		(427)		50		(1122)



	4167		350		6833		833		4167		100			4


		Through October 2011




	572		(These two values moved from above)			139

	GPM								Day In Month

Chino I		7850						Yearly		24600		31

Chino II		8000						Daily		67397


	GPM		MGD		AFD		DayMonth		AFMonth		Available above Baseline

	15850		22824		70049		31		2171521		822


	Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Contracted Allocation		4247		3567		6964		849		4247		1019		20893

Contracted Allocation ()		20		17		33		4		20		5

July 11 Adjustment

August Adjustment												7850			209000

September Adjustment												2600			177650

October Adjustment												10450			344850

November Adjustment														41800

December Adjustment														209000

January Adjustment														52250

February Adjustment

March Adjustment														103455

April Adjustment

May Adjustment

June Adjustment

July 12 Adjustment

Makeup Water Owed this month		0000		0000		40000		0000		11000		0000		51

Balance Owed		- 0		- 0		40000		- 0		11000		- 0		51

Makeup Water Owed ()		00		00		784		00		216		00		1000

Makeup Water Share this Month		0000		0000		64475		0000		17731		0000		822		82206


Month Allocation with Makeup (AF)		424658		356712		760913		84932		442388		101918		2171521		2171521


Month Allocation ()		1956		1643		3504		391		2037		469		15850

								10000

Projected GPM		3100		2604		5554		620		3229		744		15850



Chino I Delivery		3100		2604		2147					7850

End User Allocation				747			1100		300

											732

Chino II Delivery		0		0		4807		620		2129		444		8000			46954373168411



Reduction Projection		2613		2195		3292					8100

			1892			1100		300


	0		0		2363		585		1857		454		5260

											2010

Chino Basin Desalter Authority

MWD Local Resources Program (LRP) Rebate Accounting

FY 2015-2016


Month		IEUA Reporting (AF)					WMWD Reporting (AF)					Total Chino I amp II

	Chino		Chino Hills		Ontario		Total		SARWC		Norco		JCSD		Total

Jul-15		4440		3740		4478		12659		1000		904		7617		9521	22180

Aug-15		4590		3747		4616		12953		1000		942		7848		9789	22742

Sep-15		00		00		00		00		00		00		00		00	00

Oct-15		00		00		00		00		00		00		00		00	00

Nov-15		00		00		00		00		00		00		00		00	00

Dec-15		00		00		00		00		00		00		00		00	00

Jan-16		00		00		00		00		00		00		00		00	00

Feb-16		00		00		00		00		00		00		00		00	00

Mar-16		00		00		00		00		00		00		00		00	00

Apr-16		00		00		00		00		00		00		00		00	00

May-16		00		00		00		00		00		00		00		00	00 Rene Cruz Rene CruzThis entire row populates itself from the Chino I and Chino II tabs Simply drag(copy) the formulas down

Jun-16		00		00		00		00		00		00		00		00	00

Total		9030		7487		9094		25611		2000		1846		15465		19311	44922


	Desalter 1		Desalter 2		MWD Rebate - (9600 AF Agreement)				MWD Rebate (18000 AF Agreement)

Month		(AF)		(AF)		IEUA (AF)		WMWD (AF)		Total (AF)		IEUA (AF)		WMWD (AF)		Total (AF)

Jul-11		10324		11856		9638		686		10324		3021		8835		11856

Aug-11		10426		12316		9799		627		10426		3154		9162		12316

Sep-11		00		00		00		00		00		00		00		00

Oct-11		00		00		00		00		00		00		00		00

Nov-11		00		00		00		00		00		00		00		00

Dec-11		00		00		00		00		00		00		00		00

Jan-12		00		00		00		00		00		00		00		00

Feb-12		00		00		00		00		00		00		00		00

Mar-12		00		00		00		00		00		00		00		00

Apr-12		00		00		00 rcruz ReneNote that the total IEUA AF was reduced by 5765AF due to the 9600AF limit under this agreement Same amount was transferred to the 18K program		00		00		00 rcruz ReneNote that in this month the 9600 program was maxed out 5765AF were transferred to the 18000AF program Also per recommendation of T ONeil (ONTARIO) a correction to the Edison meter read was needed 0949AF to 0363AF				Rene Cruz Rene CruzThis entire row populates itself from the Chino I and Chino II tabs Simply drag(copy) the formulas down	00	00

May-12		00		00		00		00		00		00		00		00

Jun-12		00		00		00		00		00		00		00		00

Total		20750		24172		19436		1313		20750		6175		17997		24172

					9600 cap				18000 cap









			576500		28825

Chino Basin Desalter Authority

Makeup Water Inventory Tracking Sheet (AF)


Water Budget Prior to 2006		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Budget		4500		3500		5700		1000		2000		700		17400

Water Delivered for FY 2005-06		4274		2520		3476		894		426		291		11880

Shortfall for FY 2005-06		(227)		(980)		(2224)		(107)		(1574)		(410)		(5521)



2006-2015 Water Budget		5000		4200		8200		1000		5000		1200		24600

2006-2015 Water Budget Monthly		417		350		683		83		417		100		2050


FY 2006-07		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Delivered for FY 2006-07		4690		4122		8351		1020		5153		1229		24564

Shortfall for FY 2006-07		(310)		(78)		151		20		153		29		(36)


Original Makeup Water through FY 2006-07		(537)		(1059)		(2073)		(86)		(1421)		(381)		(5557)	(5557)


Makeup Water through FY 2007-08		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered through June 2008		5456		4431		8797		1195		5415		1285		26578

(Shortfall) Excess for FY 2007-08		456		231		597		195		415		85		1978

Original Makeup Water through FY 2007-08		(81)		(828)		(1476)		0		(1007)		(296)		(3688)	(3688)


Makeup Water through FY 2008-09		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

2008-09 Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered through June 2009		5045		4508		8623		979		5253		1271		25679

(Shortfall) Excess for FY 2008-09		45		308		423		(21)		253		71		1079

Original Makeup Water through FY 2008-09		(36)		(520)		(1053)		0		(754)		(225)		(2588)	(2588)


Makeup Water through FY 2009-10		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

2009-10 Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered through June 2010		5040		4395		8675		996		5305		1275		25686

(Shortfall)Excess for FY 2009-10		40		195		475		(4)		305		75		1086		R-32 hidden

	(4)		325		578		4		449		150		1502

Original Makeup Water through FY 2009-10		0		(325)		(578)		0		(449)		(150)		(1502)	(1501)


Makeup Water through FY 2010-11		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

2009-10 Water Budget		5000		4200		8200		1000		5000		1200		24600

Water Delivered through June 2011		4977		4266		8318		1059		5189		1200		25009

(Shortfall)Excess for FY 2010-11		(23)		66		118		59		189		0		409

OwedOverpaid		23		259		460		(59)		259		150		1093

Original Makeup Water through FY 2010-11		0		(259)		(460)		0		(259)		(150)		(1128)	(1129)


Makeup Water through FY 2011-12		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Delivered through June 2012		4867		4209		8219		982		5126		1260		24663

(Shortfall)Excess for FY 2011-12		(133)		9		19		(18)		126		60		63	63		R-32 hidden

	(133)		(251)		(442)		(18)		(133)		(90)		1065

Original Makeup Water through FY 2011-12		0		(251)		(442)		0		(133)		(90)		(914)	(915)


Makeup Water through FY 2012-13		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Delivered through June 2013		4805		4075		8073		954		4794		1170		23870

(Shortfall)Excess for FY 2012-13		(195)		(125)		(127)		(46)		(206)		(30)		(730)

Original Makeup Water through FY 2012-13		0		(376)		(569)		0		(339)		(120)		(1404)


Makeup Water through FY 2013-14		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Delivered through June 2014		5156		4349		8644		1011		5148		1250		25559

(Shortfall)Excess for FY 2013-14		156		149		444		11		148		50		959

Original Makeup Water through FY 2013-14		0		(227)		(125)		0		(191)		(70)		(612)


Makeup Water through FY 2014-15		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Delivered through June 2015		5232		4426		8541		1041		5285		1270		25795

(Shortfall)Excess for FY 2014-15		232		226		341		41		285		70		1195

Original Makeup Water through FY 2014-15		0		(1)		0		0		0		-0		(1)


Makeup Water through FY 2015-16		Chino		Chino Hills		JCSD		Norco		Ontario		SARWC		Total

Water Delivered through August 2015		2239		1897		3700		472		2354		500		11162

(Shortfall)Excess for FY 2015-16		1405		1197		2334		305		1520		300		7062

Original Makeup Water through FY 2015-16		0		1197		0		0		0		300		1497

														2

Current Makeup Water is a Water Shortfall after Original Makeup Water was Satisfied

Current Makeup Water through FY 2008-09					(21)				(21)

Current Makeup Water through FY 2009-10					(25)				(25)

Current Makeup Water through FY 2010-11		(23)							(23)

Current Makeup Water through FY 2011-12		(156)				(18)				(174)

Current Makeup Water through FY 2012-13		(351)						(64)						(415)

Current Makeup Water through FY 2013-14		(195)						(53)						(248)

Current Makeup Water through FY 2014-15							(12)						(12)

Current Makeup Water through FY 2015-16							294						294

	4782				1013


Adjustments were made to the City of Chino Make-Up Water beginning with the 200910 Fiscal Year									2

Adjustments were made to the City of Norco Make-Up Water beginning with the 200809 Fiscal Year

These Adjustments were made due to formula errors

Chino II Desalter Water Deliveries for FY 2015-16


	Chino			Chino Hills			JCSD			Norco			Ontario (Phil TO)			SARWC		Total		Total

Month		(direct)		(adjusted)		(direct)		(adjusted)		(direct)		(adjusted)		(direct)		(adjusted)	(direct)		(adjusted)		(direct)		(adjusted)		(direct)		(adjusted)

Jul-15		0000		0000		0000		0000		1185592		743117		0000		90393	0000		302082		0000		50000		1185592		1185592

Aug-15		0000		0000		0000		0000		1231628		772051		0000		94180	0000		315397		0000		50000		1231628		1231628

Sep-15		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Oct-15		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Nov-15		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Dec-15		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000				0000

Jan-16		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Feb-16		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Mar-16		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Apr-16		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

May-16		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Jun-16		0000		0000		0000		0000		0000		0000		0000		0000	0000		0000		0000		0000		0000		0000

Total FY 1617 Deliveries			0000			0000		2417220		1515168		0000		184573		0000	617479		0000		100000		2417220		2417220



Chino 2 Entitlement		(annual)		0			0			5500			1000			3500			400			10400

	(monthly)		0			0			458			83			292		33			867

Delivered through July			0					151517			18457		26766		61748		10000			241722

Delivered through July							1653			1107			1059			1500		1395



Adjusted delivery for Transportation through JCSDs system																	JCSD Meter Check

Month		Chino		ChinoHills		JCSD		Norco		OntarioTurnout		Ontario(Edison)		Note 3		SARWC	Total		Notes								Actual		Adjusted		Difference

Jul-15		0000		0000		743117 Rene Cruz Rene CruzPay attention to the formula used here		90393		96575		0000 Rene Cruz Rene CruzPer Tom ONeil this meter reading is not received until late in the month therefore the current sheet will only show until the last months reading Which will look as if the current reading is for last months Per data collection of September 2009 we are missing that value therefore the previous month should befilled with the current turned in value		Rene Cruz Rene CruzPay attention to the formula used here				205507		50000		1185592		1 Data from meter reads is in bold text								118559	77458	41101

Aug-15		0000		0000		772051		94180		109890		0000		205507		50000	1231628		2 JCSD DYY Deliveries to Ontario which are not part of CDA production								123163		82061		41101

Sep-15		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000

Oct-15		0000		0000		0000		0000		0000		0000		0000		0000	0000		3 Ontario CDA water delivered to JCSD								000		000		000

Nov-15		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000

Dec-15		0000		0000		0000		0000		0000		0000		0000		0000	0000										000		000		000

Jan-16		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000

Feb-16		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000

Mar-16		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000

Apr-16		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000

May-16		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000

Jun-16		0000		0000		0000		0000		0000		0000		0000		0000	0000									000		000		000



					288523					`

Chino I Desalter Water Deliveries for FY 2015-16


	Chino			Chino Hills		JCSD			Norco		Ontario (Archibald)			SARWC			Total			Goal

Month		(direct)		(adjusted)	(direct)		(adjusted)		(direct)	(adjusted)		(direct)		(adjusted)		(direct)		(adjusted)		(direct)	(adjusted)		(direct)		(adjusted)

Jul-15		444012		444012	374034		374034		214358	18628		0000		0000		0000		145730		0000	50000		1032404		1032404

Aug-15		458996		458996	374654		374654		208912	12702		0000		0000		0000		146210		0000	50000		1042562		1042562

Sep-15		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Oct-15		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Nov-15		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000		146753

Dec-15		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Jan-16		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Feb-16		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Mar-16		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Apr-16		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

May-16		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Jun-16		0000		0000	0000		0000		0000	0000		0000		0000		0000		0000		0000	0000		0000		0000

Total FY 1617 Deliveries			903008		748688			31330		0000			291940			100000			2074966



Chino 1 Entitlement		(annual)		5000		4200			2700		0			1500			800			14200

	(monthly)		417		350			225		0			125			67			1183

Delivered through August			903		749			31				292			100			2075

Ent Delivered through July			1084		1070			70				1168			750			877


														JCSD Meter Check

Adjusted delivery for Transportation through JCSDs system

Month		Chino		Ch Hills	JCSD		Norco		Ontario	SARWC		Total			NOTES							Actual		Adjusted		Difference

Jul-15		0000		0000	18628 Rene Cruz Rene CruzTo calculate this value take the value obtained from Moustafas sheet (Chino I Desalter - Production report Ten Subtract the value obtained from Toms Sheet for Chino I AF as well as the Value on the SARWC column (normally reported at 50AF) 114261=317381-(153120+50)		0000		145730	50000		214358			1 Data from meter reads is in bold text							2144		2144		- 0

Aug-15		0000		0000	12702		0000		146210	50000		208912									2089		2089		- 0

Sep-15		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

Oct-15		0000		0000	0000		0000		0000	0000		0000									00		00		00

Nov-15		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

Dec-15		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

Jan-16		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

Feb-16		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

Mar-16		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

Apr-16		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

May-16		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

Jun-16		0000		0000	0000		0000		0000	0000		0000									00		00		- 0

FY 17-18 CDA (Chino I and Chino II) Water Deliveries


Month	Chino	Chino Hills	JCSD	Norco	Ontario		SARWC	Total	5		2 User1 User1Fiscal Year Month Number

Jul-17	432786	370391	760599	92281	453717		100000	2209774

Aug-17	474415	395966	735495	97287	484319		100000	2287482

Sep-17	458526	382986	736344	92513	467672		100000	2238041		2		NOTE

Oct-17	437923	373432	753554	97809	486446		100000	2249164

Nov-17	435020	374620	714446	92177	461429		100000	2177692	22324			For Norco meter reads corrected based JCSD report

Dec-17

Jan-18

Feb-18

Mar-18

Apr-18

May-18

Jun-18

Total FY 1617 Deliveries	2238670	1897395	3700438	472067	2353583		500000	11162153			101474

Contract Entitlement						101474

Annual (AFYR)	50000	42000	82000	10000	50000		12000	246000			1217689

Monthly (AF)	4167	3500	6833	833	4167		1000	20500

Delivered through Nov - 17 (AF)	22387	18974	37004	4721	23536		5000	111622

delivered through Nov - 17 (AF)	1075	1084	1083	1133	1130		1000	1089


Notes

Actual deliveries to date are shaded


Water Deliveries Through	Nov-17


	ONTARIO		JCSD		WESTERN		TOTAL

Water Purchase Agreement Capital Cost Participation		$ 28322939		$ 22023017		$ 37902092		$ 88248048

Current Capital Cost		$ 47111849		$ 39911970		$ 65723205		$ 152747024

Total CDPH Grant Funding (less admin fees)		$ (19814923)		$ (11744914)		$ (18889198)		$ (50449035)

Total Other Grant Funding (less admin fees)		$ (7873893)		$ (8124885)		$ (13509431)		$ (29508209)

Current Net Capital Cost Participation		$ 19423033		$ 20042171		$ 33324576		$ 72789780

Current Delta from Water Purchase Agreement Capital Cost Participation		$ (8899906)		$ (1980846)		$ (4577516)		$ (15458268)

CHINO BASIN DESALTER AUTHORITY

PHASE 3 EXPANSION PROJECT

NET COST PARTICIPATION EVALUATION FOR SPONSOR GROUP MEMBERS

Prepared Nov 10 2016


	ONTARIO		JCSD		WESTERN		TOTAL

Water Purchase Agreement Capital Cost Participation		$ 28322939		$ 22023017		$ 37902092		$ 88248048

Projected Capital Cost [1]		$ 46268915		$ 39089618		$ 64866608		$ 150225141

Total Executed CDPH Grant Funding (Less admin fees)		$ (19818786)		$ (11925745)		$ (19789976)		$ (51534508)

Total Executed Other Grant Funding		$ (6626929)		$ (6805754)		$ (11293693)		$ (24726376)

Current Net Capital Cost Participation		$ 19823200		$ 20358119		$ 33782938		$ 73964258

Current Delta from Water Purchase Agreement Capital Cost Participation		$ (8499739)		$ (1664898)		$ (4119154)		$ (14283790)

Potential Grants [2]

CDPH Additional Grant Funding		$ (599940)		$ (599940)		$ (600120)		$ (1800000)

USBR Title XVI [3]		$ (2399760)		$ (2399760)		$ (2400480)		$ (7200000)

USBR Title XVI [4]		$ (1733160)		$ (1733160)		$ (1733680)		$ (5200000)

Total Potential Grants		$ (4732860)		$ (4732860)		$ (4734280)		$ (14200000)


Potential Net Capital Cost Participation		$ 15090340		$ 15625259		$ 29048658		$ 59764258

Potential Delta from Water Purchase Agreement Capital Cost Participation		$ (13232599)		$ (6397758)		$ (8853434)		$ (28483790)

[1] From Enclosure 7 Line 161 Dated 10262016 presented at 1112016 Sponsor Group Meeting

[2] Assumed distribution 333334 to Ontario JCSD and Western respectively

[3] USBR Title XVI grant executed on ____ Use of grant for Phase 3 contingent upon award of $112 million from SWRCB Prop 1 grant to IEUA for South Archibald Plume Project

[4] Proposal is currently being prepared for this funding Application due 12152016 and decision expected AprilMay 2017

	FY201617			FY201516			Increase (Decrease)

					from FY201516

Expense Category		AMOUNT		of Total		AMOUNT		of Total		AMOUNT	Change

Operations and Maintenance		$11477876		259		$11355054		234		$122822	11

Other Charges		0		00		0		00		0	00

MWD Subsidy to Members		2687287		61		2415014		50		272273	113

Groundwater Replenishment Exp		18367255		414		20049508		412		(1682253)	-84

Adminstration and General		1141293		26		1021185		21		120108	118

Depreciation and Amortization		4052637		91		3984054		82		68583	17

Interest on Long-term Debt		2203126		50		3723425		77		(1520299)	-408

Annual Reconciliation of Costs		4208831		95		1301131		27		2907700	2235

	0		00		0		00		0

Federal Grant Payments to Sponsors		200318		05		4768747		98		(4568429)	-958

TOTAL EXPENSES		$44338623		1000		$48618118		1000		($4279495)	-88

Less MWD Rebate		$2687287			$2415014			272273		113

Less Groundwtr Repl Exp		$18367255			$20049508			(1682253)		-84

Net Total Expenses		$23284081			$26153596			(2869515)		-110

	Fiscal Year 199899

	$74538062

Documents

BOARD OF DIRECTORS MEETING January 4, 2018 6:00 p.m

Rev By Source

Rev By Source

Sheet2

Sheet3

Rev By Source

Rev By Source

Sheet2

Sheet3

Overall

Summary for BOD

Total

Chino 1

Chino 2

Make-up water Detailed

Make-up water Detailed (2)

Make-up water Detailed (3)

MWD Rebate

Adjusted New Water Allocation

New Water Allocation

Old Water Allocation

Delivery Schedule

Chart1

Chart Data

Make-up water Simplified

Notes

Monthly Projection draft

Flow Worksheet

Sheet2

Sheet3

Sheet4

Sheet1

Sheet5

Rev By Source

Rev By Source

Sheet2

Sheet3

Rev By Source

Rev By Source

Sheet2

Sheet3

Overall

Summary for BOD

Total

Chino 1

Chino 2

Make-up water Detailed

Make-up water Detailed (2)

Make-up water Detailed (3)

MWD Rebate

Adjusted New Water Allocation

New Water Allocation

Old Water Allocation

Delivery Schedule

Chart1

Chart Data

Make-up water Simplified

Notes

Monthly Projection draft

Flow Worksheet

Sheet2

Sheet3

Sheet4

Sheet1

Sheet5

Rev By Source

Rev By Source

Sheet2

Sheet3

Rev By Source

Rev By Source

Sheet2

Sheet3

Overall

Summary for BOD

Total

Chino 1

Chino 2

Make-up water Detailed