Board Packet Page 1 - venturariverwd.comventurariverwd.com/wp-content/uploads/2010/11/Agenda-Packet... · PASSED, APPROVED AND ADOPTED this 14th day of November 2012. AYES: Curtis,

Board Packet Page 1

VENTURA RIVER COUNTY WATER DISTRICT REGULAR MEETING HELD NOVEMBER 14, 2012

Pursuant to due and official notice, a regular meeting of the Board of Directors of the Ventura River County Water District was held at 409 Old Baldwin Road, Ojai, California on November 14, 2012. There were present Directors: J. Curtis, M. Hanson, T. Jamison, E. Lee and E. Ramseyer. Also present were General Manager/Board Secretary Bert Rapp, Office Manager/recording secretary Janet Schaefer, and Counsel Lindsay Nielson, and Office Assistant Carla Moore. Representing Streit & Peters CPAs was Mr. Chuck Peters CPA. Public present was Mr. George Galgas.

1. CALL MEETING TO ORDER – President E. Lee called the meeting to order at 5:30 o’clock p m.

2. PLEDGE OF ALLEGIANCE – Led by E. Ramseyer.

3. CONSENT AGENDA – A. MINUTES FOR THE REGULAR MEETING OF OCTOBER 10, 2012 AND SPECIAL MEETING OF

OCTOBER 24, 2012.

B. FINANCIAL EXPENDITURES FOR OCTOBER 2012 AND FINANCIAL REPORT FOR

SEPTEMBER 2012.

M. Hanson moved for approval of the consent agenda, seconded by T. Jamison and carried.

4. PUBLIC COMMENT – None

5. DRAFT AUDIT REPORT AND MANAGEMENT LETTER FOR THE YEAR ENDING JUNE 30, 2012 – B. Rapp commented that he was happy with the clean audit report. Mr. Chuck Peters CPA presented the audit report for the fiscal year ended June 30, 2012 and noted there was not much change for the previous year and no reportable conditions. Mr. Peters answered various questions that the Board had about the audit report. Mr. Peters discussed his retirement and the sale of his firm to Smith Marion and Company, CPAs. Director T. Jamison asked about the remaining years of the audit contract. Mr. Peters indicated that Smith Marion will honor all existing contracts as part of the sale and in fact will be keeping the existing Redlands office open, with the current staff. Although Mr. Peters will not present next year’s audit report, it is possible the same field staff will be used next year. Counsel L. Nielson instructed that a letter of consent should be sent to Smith Marion and Company, CPAs to document VRCWD’s intention to continue the existing contract.

A. RESOLUTION 2012-273 ACCEPTING THE AUDIT REPORT

T. Jamison moved for approval of Resolution 2012-273, seconded by M. Hanson and carried by a unanimous roll call vote.

RESOLUTION # 2012 - 273 RESOLUTION TO ACCEPT THE AUDIT REPORT FOR THE FISCAL YEAR ENDED JUNE 30, 2012

The Board of Directors of Ventura River County Water District hereby resolve to accept the District's audit report for the year ended June 30, 2012, as prepared by Streit & Peters, CPA. PASSED, APPROVED AND ADOPTED this 14th day of November 2012. AYES: Curtis, Hanson, Jamison, Lee, Ramseyer NOES: None ABSENT: None Ed Lee, President Attest: Eddie Ramseyer, Treasurer

B. RESOLUTION 2012-274 ACCEPTING THE AUDIT REPORT

T. Jamison moved for approval of Resolution 2012-274, seconded by M. Hanson and carried by a unanimous roll call vote.

RESOLUTION # 2012 - 274 RESOLUTION TO ACCEPT THE MANAGEMENT LETTER

FOR THE FISCAL YEAR ENDED JUNE 30, 2012

The Board of Directors of Ventura River County Water District hereby resolve to accept the District's Management Letter for the year ended June 30, 2012, as prepared by Streit & Peters, CPA.

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PASSED, APPROVED AND ADOPTED this 14th day of November 2012. AYES: Curtis, Hanson, Jamison, Lee, Ramseyer NOES: None ABSENT: None Ed Lee, President Attest: Eddie Ramseyer, Treasurer

6. REVIEW OF THE CALIFORNIA PUBLIC EMPLOYEES PENSION REFORM ACT OF 2012 – B. Rapp presented an overview of the pension reform (PEPRA) changes and impacts to new and existing members effective January 1, 2013. The Board was provided with a full summary and frequently asked questions as prepared by the California Special District’s Association in conjunction with Calpers. Some of the items discussed at length were the requirement of new members to pay 50% of the normal cost of benefits along with a new retirement formula of 2% at 62. All members are now subject to a pensionable limit that is based on the Social Security wage base. All members are limited as retirees for re-employment with a Calpers member agency that includes a sit out period, and limits on length of re-employment and compensation. Director E. Ramseyer spoke at length suggesting dropping Calpers and offering a 401K type of plan, but also stated that the plan he suggested is not easy to manage and may not be the way to go. However, he wanted the Board to consider other options. President E. Lee asked for clarification that current member contributions can be adjusted at any time. B. Rapp confirmed that yes, the Board has that option. Director J. Curtis reiterated that all new members will be paying 50% of contributions. T. Jamison expressed that the Board has reviewed the staff report and understands the impacts and requirements of PEPRA.

7. AWARD OF RESERVOIR MAINTENANCE CONTRACT – The proposal from Superior Tank for proposed maintenance to the interior and man-way hand rails on the Baldwin and Alto tanks was reviewed. J. Curtis moved to approve the staff recommendations to 1) Award the contract to Superior Tank Solutions in the amount of $22,500 and authorize the General Manager to approve change orders up to a maximum of $4,000, 2) Direct the General Manager to prepare a request for proposal for exterior painting of Alto tanks 1 & 2 and Baldwin tank 2 for advertising in May 2013. 3) The President of the Board is authorized to sign the contract. Seconded by E. Ramseyer and carried.

8. GENERAL MANAGERS REPORT – WELLS, WATER PRODUCTION & USAGE UPDATE - B. Rapp reported on wells, production, and usage. The static aquifer level at Well #2 on November 1, 2012 was 69.8 feet below surface. The level has dropped 2.5 feet since the first of last month, and is 17.7 feet below the 25 year average for November. District wells can no longer meet customer demand requiring the purchase of supplemental water since October 4, 2012. The Purchased Water Surcharge was implemented on the October 31, 2012 billing at 18 cents per unit.

9. ATTORNEY’S REPORT – EXECUTIVE SESSION – None.

10. OLD BUSINESS – B. Rapp reported that concerned pumpers met October 18, 2012 with the EPA regarding total maximum daily load (TMDL) for pumping of the Ventura River. EPA will propose a TMDL and will advertise the draft in January 2013. There will be a public hearing on the proposed draft in March 2013. Local groundwater assistance grant applications have been submitted for review by the State in November 2012. There are 98 requests made for the available 4.7 million dollars with a $250,000 limit per grant. VRCWD in conjunction the City of Ventura and Meiners Oaks Water District applied for $250,000 to monitor the effect of groundwater pumping on surface water in the Ventura River. One protest letter for the proposed rate increase has been received to date.

11. NEW BUSINESS – AWA of Ventura County will hold a Waterwise breakfast November 15, 2012. AWA of Ventgura County will host their 18th annual Corporate Night on Thursday December 13, 2012 at Calleguas Municipal Water District J. Curtis, M. Hanson, T. Jamison and B. Rapp will donate their services at the event. VCSDA will have a dinner meeting on December 4, 2012 J. Curtis and M. Hanson will attend.

12. MEETING ADJOURNMENT - On motion duly seconded at 6:54 o’clock p.m. the meeting was adjourned.

Attested:

_____________________________ ______________________________ Ed Lee, President Marvin Hanson, Vice President

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VENTURA RIVER COUNTY WATER DISTRICT NOTES TO OCTOBER 2012 FINANCIAL STATEMENTS

1. Worker’s Compensation Insurance expense is a negative in the month due to a refund of the deposit held by State Compensation Insurance Fund in the amount of $4,630.22. The refund is a result of the change in carrier to JPIA/RMA.

2. Auto Equipment Maintenance expense contains the cost of tires and an alternator for the

F55o truck, and routine oil changes for all vehicles. 3. Membership, Dues, Subscriptions expense contains the cost of CSDA dues. 4. Postage expense is higher in the month due to mailing of the notice of a proposed rate

increase with the Proposition 218 right to protest notice. 5. Board Member Fees expense is higher in the month due to a Special Board Meeting. 6. Engineering/Professional Services expense contains the cost of audit services for the

fiscal year ending June 30, 2012. 7. Public & Legal Notices expense contains the cost of preparation of the notice of a

proposed rate increase with the Proposition 218 right to protest notice. 8. Public Relations/Education/Conservation expense contains the cost of training for Excel,

1st Aid, Pension Reform, and Operator training.

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Page 112/05/12 08:44:50 AMPrinted By: Janet Schaefer

Ventura River County Water District

Oct 12Balance Sheet

********************************************** A S S E T S ***********************************************

Current Assets

Current Assetsÿ

300.0011100000 PETTY CASH - YARD70.0011120000 CHANGE FUND

120,947.5511300000 RABO BANK-GEN OP CHKNG1,004,117.5911400000 LOCAL AGENCY INVESTMENT FUND

265,860.0911500000 FUNDS IN COUNTY TREASURY27,763.9912500000 SECURITY DEPOSIT CHECKING

365.0213300000 TREASURY INTEREST RECEIVABLE172,127.0013500000 ACCOUNTS RECEIVABLE

359.0015730000 PREPAID SECURITY MONITORING & MAINT191.9615740000 PREPAID WEB SVCS

15,198.9915750000 PREPAID INSURANCE6,320.3815760000 PREPAID COMPUTER MAINTENANCE

410.0015770000 PREPAID POSTAGE

1,614,031.57Total Current Assetsÿ

Total Current Assets 1,614,031.57

Fixed Assets

Fixed Assetsÿ

1,902.4991000008 BALDWIN PUMP STATION ROOF UPGRADE1,791.2891000010 SHOP LIGHTING

32.7491000011 OFFICE RECEPTION AREA SECURITY14,197.0091500001 SCADA SYSTEM IMPROVEMENTS23,390.3591500002 METER REPLACEMENT

6,927.5091500042 VALLEY MEADOW MAIN REPL ENGINEERING3,788.5093200000 OFFICE EQUIPMENT

52,029.86Total Fixed Assetsÿ

Total Fixed Assets 52,029.86

Property & Equipment

Property & Equipmentÿ

118,245.0017000000 DISTRICT 4 AND DISTRICT 72,575,157.4717500000 PIPELINES

958,215.2818000000 WELLS1,293,885.8418500000 TANKS

402,078.3819500000 PUMPS74,547.2820000000 METERS

167,412.8920500000 TRUCKS282,086.3721000000 OFFICE AND SHOP EQUIPMENT443,108.6721500000 BUILDINGS145,680.2321550000 CONSTRUCTION IN PROGRESS

3,446,715.00( )22000000 LESS ACCUM DEPRECIATION227,580.5022500000 LAND,WATER & RIGHTS OF WAY129,755.6823000000 SCADA SYSTEM

3,371,038.59Total Property & Equipmentÿ

Total Property & Equipment 3,371,038.59

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Oct 12Balance Sheet

TOTAL ASSETS 5,037,100.02

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Oct 12Balance Sheet

************************* L I A B I L I T I E S A N D E Q U I T Y *************************

Liabilities

Liabilitiesÿ

26,166.6931500000 ACCOUNTS PAYABLE14,310.8331700000 COMPENSATED ABSENCES PAYABLE27,763.9932000000 SECURITY DEPOSITS

68,241.51Total Liabilitiesÿ

Total Liabilities 68,241.51

Investment In Fixed Asset

Investment In Fixed Assetÿ

3,371,039.0035000000 INVESTMENT IN CAPITAL ASSETS

3,371,039.00Total Investment In Fixed Assetÿ

Total Investment In Fixed Asset 3,371,039.00

TOTAL LIABILITIES 3,439,280.51

Fund Balance

Fund Balanceÿ

1,335,610.9838000000 UNRESTRICTED NET ASSETS

1,335,610.98Total Fund Balanceÿ

Total Fund Balance 1,335,610.98

Retained Earnings

262,208.53Total Net Incomeÿ

Total Retained Earnings 262,208.53

TOTAL LIABILITIES AND EQUITY 5,037,100.02

TOTAL EQUITY 1,597,819.51

Detail Report Sorted by Account #

Specific Option(s):1.) Single Period2.) Period : Oct 123.) Combined

C R I T E R I A




Oct 12

Oct 12 PTD Oct 12 YTDBalance Sales% Balance Sales%

Income Statement

Income

Incomeÿ

0.00 0.00 55.34 0.0151000000 PROPERTY TAXES - SECURED0.00 0.00 0.00 0.0051500000 PROP TAXES - UNSECURED

18.87 0.01 127.29 0.0252000000 PROPERTY TAXES - PRIOR0.00 0.00 1,159.78 0.1652500000 INTEREST0.00 0.00 0.00 0.0053500000 HOME OWNER PROPERTY TAX RELIEF0.00 0.00 0.00 0.0054000000 CAPITAL IMPROVEMENT CHARGES

168,452.92 99.51 697,714.19 98.8854500000 WATER SALES0.00 0.00 0.00 0.0054500001 PURCHASED WATER SURCHARGE

610.00 0.36 2,790.00 0.4054900000 DELINQUENT FEES200.00 0.12 640.00 0.0954900001 RE-CONNECT FEES

0.00 0.00 75.00 0.0154900003 SERVICE INSTALLATION0.00 0.00 0.00 0.0054900004 ANNEXATION FEES0.00 0.00 3,046.00 0.4355000000 OTHER REVENUE

169,281.79 100.00 705,607.60 100.00Total Incomeÿ

Total Income 169,281.79 100.00 705,607.60 100.00

Gross Profit 169,281.79 100.00 705,607.60 100.00

Expenses

Expensesÿ

42,223.09 24.94 162,738.58 23.0670500000 SALARIES0.00 0.00 0.00 0.0071000000 EXTRA HELP

3,298.44 1.95 12,896.13 1.8371500000 FICA5,909.14 3.49 23,600.28 3.3471750000 PUBLIC EMPLOYEES RETIREMENT SYSTEM9,321.84 5.51 37,959.06 5.3872000000 GROUP INSURANCE

0.00 0.00 0.00 0.0072500000 STATE UNEMPLOYMENT985.07 0.58 4,329.88 0.6173500000 TELEPHONE/COMMUNICATIONS

2,533.17 1.50 10,132.68 1.4474000000 LIABILITY INSURANCE3,040.55 -1.80 3,634.45 0.52( )74500000 WORKER'S COMPENSATION INSURANCE1,417.62 0.84 7,153.27 1.0174700000 FUEL/OIL/TIRES1,171.92 0.69 1,291.89 0.1875000000 AUTO EQUIPMENT MAINTENANCE1,810.30 1.07 9,030.54 1.2875500000 OTHER EQUIP MAINT3,456.00 2.04 5,238.00 0.7476500000 MEMBERSHIP,DUES,SUBSCRIPTIONS

374.41 0.22 3,657.80 0.5277500000 OFFICE SUPPLIES175.00 0.10 700.00 0.1077600000 JANITORIAL

4,800.89 2.84 26,733.84 3.7977700000 OPERATING SUPPLIES1,857.70 1.10 4,835.33 0.6978000000 POSTAGE1,800.00 1.06 5,160.00 0.7378500000 BOARD MEMBER FEES

926.25 0.55 2,288.25 0.3279000000 LEGAL EXPENSE0.00 0.00 0.00 0.0079000001 INTEREST HIBBERD NOTE

6,125.00 3.62 8,045.00 1.1480000000 ENGINEERING/PROFESSIONAL SVCS4,983.65 2.94 31,077.09 4.4080200000 CONTRACT LABOR

0.00 0.00 0.00 0.0080300000 METER REPLACEMENT267.00 0.16 1,084.25 0.1580400000 SECURITY

1,063.90 0.63 1,063.90 0.1580500000 PUBLIC & LEGAL NOTICES0.00 0.00 0.00 0.0081500000 ELECTION SUPPLIES

6,369.41 3.76 29,124.52 4.1382000000 WATER PURCHASES402.10 0.24 701.42 0.1083000000 DIRECTOR'S TRAVEL\EXPENSE




Oct 12

Oct 12 PTD Oct 12 YTDBalance Sales% Balance Sales%

Income Statement

1,374.79 0.81 2,196.19 0.3183500000 PUBLIC RELATIONS/EDUCATION/CONSERV7,746.67 4.58 38,780.12 5.5084000000 UTILITIES

140.33 0.08 329.96 0.0584100000 EQUIPMENT RENTAL0.00 0.00 0.00 0.0084200000 COLLECTION0.00 0.00 1,026.00 0.1584300000 LAFCO FEES

51.50 0.03 165.97 0.0284400000 MISC/TAX/LICENSE/BANK CHARGES0.00 0.00 0.00 0.0084500000 LOSS ON ASSET DISPOSAL0.00 0.00 0.00 0.0084600000 STEELHEAD HCP

758.00 0.45 8,424.67 1.1984700000 VENTURA RIVER WATERSHED ISSUES0.00 0.00 0.00 0.0084800000 BAD DEBT EXPENSE0.00 0.00 0.00 0.0085000000 DEPRECIATION0.00 0.00 0.00 0.0093700000 CIP CONTINGENCY FUND0.00 0.00 0.00 0.0093800000 EMERGENCY CONTINGENCY FUND

108,302.64 63.98 443,399.07 62.84Total Expensesÿ

Total Expenses 108,302.64 63.98 443,399.07 62.84Total Expense 1 108,302.64 63.98 443,399.07 62.84Income from Operations 60,979.15 36.02 262,208.53 37.16

Net Income 60,979.15 36.02 262,208.53 37.16

Detail Report Sorted by Account #

Specific Option(s):1.) Single Period2.) Period : Oct 123.) Combined4.) PTD and YTD5.) Include Account ID6.) Include Zero Balance Accounts7.) Include Decimals8.) Do Not Consolidate All Segments9.) Balance & Percentage

C R I T E R I A


INCOME JUL 12 AUG 12 SEP 12 OCT 11 TOTAL YTD BUDGET BALANCE INDICATOR

51000000 PROPERTY TAXES-SECURED 55 0 0 0 55 25,000 24,945 24,834

51500000 PROPERTY TAXES-UNSECURED 0 0 0 0 0 50 50 50

52000000 PROPERTY TAXES-PRIOR 108 0 0 19 127 1,500 1,373 1,118

52500000 INTEREST 0 0 1,160 0 1,160 3,500 2,340 21

53500000 H/O PROPERTY TAX RELIEF 0 0 0 0 0 100 100 100

54000000 CAPITAL IMPROVEMENT CHARGES 0 0 0 0 0 2,300 2,300 2,300

54500000 WATER SALES 162,876 183,813 182,572 168,453 697,714 1,424,642 726,928 (668,501)

54500001 PURCHASED WATER SURCHARGE 0 0 0 0 0 105,300 105,300 105,300

54900000 DELINQUENT FEES 860 590 730 610 2,790 2,000 (790) (6,370)

54900001 RE-CONNECT FEES 120 160 160 200 640 1,000 360 (920)

54900003 SERVICE INSTALLATION 75 0 0 0 75 500 425 275

54900004 ANNEXATION FEES 0 0 0 0 0 0 0 0

55000000 OTHER REVENUE 10 1,192 1,844 0 3,046 0 (3,046) (9,138)

TOTAL INCOME 164,105 185,754 186,466 169,282 705,608 1,565,892 860,284

EXPENSES

70500000 SALARIES 39,014 40,611 40,891 42,223 162,739 499,000 336,261 10,784

71000000 EXTRA HELP 0 0 0 0 0 500 500 500

71500000 FICA 3,208 3,328 3,062 3,298 12,896 40,560 27,664 1,872

71750000 PUBLIC EMPLOYEES RETIREMENT 5,873 5,909 5,909 5,909 23,600 72,000 48,400 1,199

72000000 GROUP INSURANCE 10,930 8,930 8,777 9,322 37,959 119,618 81,659 5,741

72500000 STATE UNEMPLOYMENT 0 0 0 0 0 3,600 3,600 3,600

73500000 TELEPHONE/COMMUNICATIONS 614 1,623 1,108 985 4,330 11,700 7,370 (1,290)

74000000 LIABILITY INSURANCE 2,533 2,533 2,533 2,533 10,133 32,500 22,367 2,102

74500000 WORKER'S COMPENSATION INS 3,496 1,590 1,590 (3,041) 3,634 21,000 17,366 10,097

74700000 FUEL/OIL/TIRES 880 1,948 2,908 1,418 7,153 17,000 9,847 (4,460)

75000000 AUTO EQUIP MAINTENANCE 10 61 49 1,172 1,292 9,000 7,708 5,124

75500000 OTHER EQUIP MAINTENANCE 4,026 1,666 1,529 1,810 9,031 53,000 43,969 25,908

76500000 MEMBERSHIP,DUES,SUBSCRIPT 1,632 150 0 3,456 5,238 9,800 4,562 (5,914)

77500000 OFFICE SUPPLIES 1,692 839 752 374 3,658 13,000 9,342 2,027

77600000 JANITORIAL 175 175 175 175 700 2,500 1,800 400

77700000 OPERATING SUPPLIES 5,157 7,706 9,070 4,801 26,734 89,500 62,766 9,298

78000000 POSTAGE 1,023 919 1,036 1,858 4,835 16,000 11,165 1,494

78500000 BOARD MEMBER FEES 640 2,080 640 1,800 5,160 15,500 10,340 20

79000000 LEGAL EXPENSE 152 850 360 926 2,288 11,500 9,212 4,635

79000001 INTEREST HIBBERD NOTE 0 0 0 0 0 0 0 0

80000000 ENG/PROF SERVICES 480 1,440 0 6,125 8,045 20,000 11,955 (4,135)

80200000 CONTRACT LABOR 95 20,100 5,898 4,984 31,077 82,000 50,923 (11,231)

80300000 METER REPLACEMENT 0 0 0 0 0 0 0 0

80400000 SECURITY 267 267 283 267 1,084 4,200 3,116 947

80500000 PUBLIC & LEGAL NOTICES 0 0 0 1,064 1,064 8,200 7,136 5,008

81500000 ELECTION SUPPLIES 0 0 0 0 0 0 0 0

82000000 WATER PURCHASES 6,746 6,874 9,135 6,369 29,125 175,300 146,175 87,926

83000000 DIRECTOR'S TRAVEL & EXPENSE 614 (328) 14 402 701 1,500 799 (604)

83500000 PUBLIC RELATIONS/EDUCATION 132 393 296 1,375 2,196 11,000 8,804 4,411

84000000 UTILITIES 9,852 10,278 10,904 7,747 38,780 115,000 76,220 (1,340)

84100000 EQUIPMENT RENTAL 29 131 30 140 330 5,000 4,670 4,010

84200000 COLLECTION 0 0 0 0 0 200 200 200

84300000 LAFCO FEES 1,026 0 0 0 1,026 1,500 474 (1,578)

84400000 MISC/TAX/LIC/BANK CHGS 17 61 37 52 166 3,000 2,834 2,502

84500000 LOSS ON ASSET DISPOSAL 0 0 0 0 0 0 0 0

84600000 STEELHEAD HCP 0 0 0 0 0 0 0 0

84700000 VENTURA RIVER WATERSHED ISSUES 0 0 7,667 758 8,425 10,000 1,575 (15,274)

84800000 BAD DEBT EXPENSE 0 0 0 0 0 500 500 500

85000000 DEPRECIATION 0 0 0 0 0 230,000 230,000 230,000

TOTAL EXPENSES 100,312 120,134 114,650 108,303 443,399 1,704,678 1,261,279

OPERATING PROFIT 63,793 65,620 71,816 60,979 262,209 (138,786) (400,995)

FIXED ASSETS

91000000 STRUCTURES & IMPROVEMENTS 1,902 0 136 1,689 3,727 13,700 9,973

91500000 WATER SYSTEM IMPROVEMENTS 0 37,587 5,233 1,695 44,515 331,740 287,225

92000000 AUTO EQUIPMENT 0 0 0 0 0 10,000 10,000

93000000 SHOP/MAINTENANCE EQUIP 0 0 0 0 0 0 0

93200000 OFFICE EQUIPMENT 0 0 3,789 0 3,789 11,400 7,612

93600000 GAIN/LOSS ON ASSET DISPOSAL 0 0 0 0 0 0 0

TOTAL FIXED ASSETS 1,902 37,587 9,157 3,384 52,030 366,840 314,810

TOTAL NET INCOME 61,890 28,033 62,660 57,596 210,179 (505,626) (715,805)

93500000 FUNDS COMMITTED FOR OPERATION 0 0 0 0 0 135,000 135,000

93700000 FUNDS COMMITTED FOR CIP 0 0 0 0 0 435,000 435,000

93800000 FUNDS COMMITTED FOR EMERGENCIES 0 0 0 0 0 530,000 530,000

INCOME STATEMENT SPREAD SHEET

FOR THE YEAR ENDED JUNE 30, 2013

VENTURA RIVER COUNTY WATER DISTRICT


VENTURA RIVER COUNTY WATER DISTRICT OPERATING INCOME STATEMENT

FOR THE PERIOD ENDED OCTOBER 31, 2012

INCOMECURRENT

ACCOUNT DESCRIPTION MONTH YEAR TO DATE BUDGET51000000 PROPERTY TAX SECURED 0 55 25,00051500000 PROPERTY TAX UNSECURED 0 0 5052000000 PROPERTY TAX PRIOR 19 127 1,50052500000 INTEREST 0 1,160 3,50053500000 H/O PROPERTY TAX RELIEF 0 0 10054500000 WATER SALES 168,453 697,714 1,424,64254500001 PURCHASE WATER SURCHARGE 0 0 105,30054900000 DELINQUENT FEES 610 2,790 2,00054900001 RECONNECT FEES 200 640 1,00054900003 SERVICE INSTALLATION 0 75 50054900004 ANNEXATION FEES 0 0 055000000 OTHER REVENUE 0 3,046 0

TOTAL INCOME 169,282 705,608 1,563,592

EXPENSES70500000 SALARIES 42,223 162,739 499,00071000000 EXTRA HELP 0 0 50071500000 FICA 3,298 12,896 40,56071750000 PUBLIC EMPLOYEES RETIREMENT SYST 5,909 23,600 72,000 72000000 GROUP INSURANCE 9,322 37,959 119,61872500000 STATE UNEMPLOYMENT 0 0 3,60073500000 TELEPHONE/COMMUNICATIONS 985 4,330 11,70074000000 LIABILITY INSURANCE 2,533 10,133 32,50074500000 WORKER'S COMPENSATION INSURANCE (3,041) 3,634 21,00074700000 FUEL/OIL/TIRES 1,418 7,153 17,00075000000 AUTO EQUIPMENT MAINTENANCE 1,172 1,292 9,00075500000 OTHER EQUIPMENT MAINTENANCE 1,810 9,031 53,00076500000 MEMBERSHIP/DUES/SUBSRIPTIONS 3,456 5,238 9,80077500000 OFFICE SUPPLIES 374 3,658 13,00077600000 JANITORIAL 175 700 2,50077700000 OPERATING SUPPLIES 4,801 26,734 89,50078000000 POSTAGE 1,858 4,835 16,00078500000 BOARD MEMBER FEES 1,800 5,160 15,50079000000 LEGAL EXPENSE 926 2,288 11,50079000001 INTEREST HIBBERD NOTE 0 0 080000000 ENGINEER/PROFESSIONAL SVCS 6,125 8,045 20,00080200000 CONTRACT LABOR 4,984 31,077 82,00080300000 METER REPLACEMENT 0 0 080400000 SECURITY 267 1,084 4,20080500000 PUBLIC/LEGAL NOTICES 1,064 1,064 8,20081500000 ELECTION SUPPLIES 0 0 082000000 WATER PURCHASES 6,369 29,125 175,30083000000 DIRECTOR'S TRAVEL & EXPENSE 402 701 1,50083500000 PUBLIC RELATIONS/EDUCATION 1,375 2,196 11,00084000000 UTILITIES 7,747 38,780 115,00084100000 EQUIPMENT RENTAL 140 330 5,00084200000 COLLECTION 0 0 20084300000 LAFCO FEES 0 1,026 1,50084400000 MISC./TAX/LICENSE/BANK CHGS 52 166 3,00084500000 LOSS ON ASSET DISPOSAL 0 0 084600000 STEELHEAD HCP 0 0 084700000 VENTURA RIVER WATERSHED ISSUES 758 8,425 10,00084800000 BAD DEBT EXPENSE 0 0 50085000000 DEPRECIATION 0 0 230,000

TOTAL EXPENSES 108,303 443,399 1,704,678INCOME FROM OPERATIONS 60,979 262,209 (141,086)


Janet Schaefer 9:02 AM 12/5/2012

PROGRESS SCHEDULE OF CAPITAL IMPROVEMENTS BUDGETEDFOR THE FISCAL YEAR ENDING JUNE 30, 2012

ACCOUNT ACCOUNT BUDGET PROGRESS BUDGET PERCENT OFNUMBER DESCRIPTION TO DATE BALANCE COMPLETION91000000 STRUCTURES AND IMPROVEMENTS91000007 PARKER PUMP STATION ROOF $3,500 $0 $3,500 0%91000008 BALDWIN PUMP STATION ROOF $4,200 $1,902 $2,298 45%91000010 SHOP LIGHTING $3,000 $1,791 $1,209 60%91000011 OFFICE RECEPTION SECURITY UPGRADE $3,000 $33 $2,967 1%

BALANCES $13,700 $3,727 $9,973

91500000 WATER SYSTEM IMPROVEMENT91500001 SCADA SYSTEM IMPROVEMENTS $58,000 $14,197 $43,803 24%91500002 METER REPLACEMENT $30,240 $23,390 $6,850 77%91500015 VALVE REPLACEMENT $75,000 $0 $75,000 0%91500016 HYDRANT REPLACEMENT $40,000 $0 $40,000 0%91500042 VALLEY MEADOW MAIN REPLACEMENT $10,000 $6,928 $3,073 69%91500046 BURNHAM RD VAULT UPGRADE $1,500 $0 $1,500 0%91500049 ALTO TANK MAINTENANCE PAINT & PATCH $103,000 $0 $103,000 0%91500050 ALTO TANK MIXING SYSTEM $10,000 $0 $10,000 0%91500051 CHLORINE RESIDUAL ANALYZER $4,000 $0 $4,000 0%

BALANCES $331,740 $44,515 $287,225

92000000 AUTO EQUIPMENT92000000 METER READING VEHICLE REPLACMENT $10,000 $0 $10,000 0%

BALANCES $10,000 $0 $10,000

93200000 OFFICE EQUIPMENT93200000 REPLACE OFFICE ASSISTANT PRINTER (EXPENSED) $300 $0 $300 0%93200000 REPLACE METER READING HANDHELDS $5,200 $3,789 $1,412 73%93200000 GIS ARC EDITOR SOFTWARE $5,900 $0 $5,900 0%

BALANCES $11,400 $3,789 $7,612

GRAND TOTALS $366,840 $52,030 $314,810

AS OF OCTOBER 31,2012


VENTURA RIVER COUNTY WATER DISTRICTCAPITAL IMPROVEMENT INCOME STATEMENTFOR THE PERIOD ENDED OCTOBER 31, 2012

INCOME

CURRENTACCT DESCRIPTION MONTH YEAR TO DATE BUDGET

54000000 CAPITAL IMPROVEMENT FEES 0 0 2,300TOTAL INCOME 0 0 2,300

INVESTMENT IN FIXED ASSETS

91000000 STRUCTURES & IMPROVEMENTS 1,689 3,727 13,70091500000 WATER SYSTEM IMPROVEMENTS 1,695 44,515 331,74092000000 AUTO EQUIPMENT 0 0 10,00093000000 SHOP/MAINTENANCE EQUIPMENT 0 0 093200000 OFFICE EQUIPMENT 0 3,789 11,40093600000 GAIN/LOSS ON ASSET DISPOSAL 0 0 0

TOTAL INVESTMENT 3,384 52,030 366,840INVESTMENT(OVER)UNDER INCOME (3,384) (52,030) (364,540)

FOOTNOTE:

SEE PROGRESS SCHEDULE OF CAPITAL IMPROVEMENTS BUDGETED FOR PROJECT BREAKDOWNS



DATE: December 12, 2012

TO: Board of Directors

FROM: Bert J. Rapp, P.E. General Manager

SUBJECT: PUBLIC PROTEST HEARING – RATE INCREASE AND ADOPTION OF AN UPDATE TO THE RULES AND REGULATIONS

SUMMARY

A rate increase is necessary so the District can begin to catch up on much needed repairs to the water system. There are several large projects needed over the next 10 years including pipeline replacements, well rehabilitations and water tank painting and coatings.

The Protest Hearing Notice for this hearing was sent out to the customers October 26th.

The rate increase is structured so that the Base Rates are unchanged and only Volume Rates are increased to encourage conservation. Zone 3 (Monte Via and Rio Via) is being combined with Zone 2.

The District has received five protest letters as of December 5, 2012. Copies are attached to this report.

The new rules and rates taking effect on December 15th. The rate payers would see the increase in the January 31st 2013 bill.

RECOMMENDED ACTIONS

The General Manager recommends that the Board adopt Resolution 2012-275 approving the modified Rules and Regulations including rate increases on December 15, 2012, December 15, 2013 and December 15, 2014.

BACKGROUND

Last year’s rate increase enabled the District to double the replacement rate for Fire Hydrants and Main Line Valves, improving the replacement cycle from about once every 100 years to 50 years. However the District still needed to utilize reserves to perform coating maintenance on the Alto Water Tanks.

Based on current cost estimates and revenue projections the District will need four 12% rate increases and a 6% rate increase in 2017 to achieve the known capital


Board Page 2 improvements over the next 10 years. The published notice for this Public Protest Hearing included three 12% rate increases in the following years: 2013, 2014, 2015. It is expected that each of those years the Board will review and confirm that the rate increases are necessary to achieve the Capital Improvement Program.

Summary of Prior Board Rate Decisions:

The rate adjustment for 2013 includes the following characteristics as approved on July 11th by the Board:

1. Keep the base rate frozen this year and place the rate increase on the volume charges to encourage conservation.

a. The current base rate is $14.70 for a ¾-inch meter and represents about 30% of revenues, with the proposed 12% rate increase base rates will be about 27% of revenues in 2013. The AWWA recommendation is that the base rate be between 20% to 30%. If the base rate is kept frozen with future rate increases it will be at about 20% in about 2015.

2. Combine Zone 3 (Rio Via & Monte Via) with Zone 2 (Alto Tank area). a. The annual difference in the cost of water between Zone 3 and

rest of the District ($17,400) is less than the annual difference in the cost of water between Casitas Springs and the District ($18,400). Therefore just as Casitas Springs incorporated into Zone 1, it would be appropriate to incorporate Zone 3 into Zone 2.

10-YEAR CAPITAL IMPROVEMENT PROGRAM

Changes and adjustments have been included in the attached 10-year Capital Improvement Plan as generated in the Board Meetings on August 29th and October 10th. The changes are:

1. Add flood protection for the Baldwin site in year 2021

2. Add a pressure reducing station on Encino to the east of Thomas in year 2026

3. The investigation of Well #5 is moved out to year 2014.

4. The Well #3 rehabilitation is moved from 2014 to 2016 5. The Baldwin Booster Station Rehabilitation is spread out over 3 years: 2014,

2015 & 2016 instead of all of it in 2014.


Board Page 3

PROTEST HEARING PROCESS

To implement a water rate increase the District must mail out a Protest Hearing notice and hold a Protest Hearing. The schedule for this Protest Hearing and rate increase is:

DATE ACTION

October 10, 2012 Approve Protest Hearing Notice

October 26, 2012 Mail Protest Hearing Notice

October 26 to December 11, 2012 45 day Public Notice Period

December 12, 2012 Public Protest Hearing

December 15, 2012 New Rates may take effect

January 31, 2013 Customers see the new rate in their bills

PROPOSED REVISIONS TO RULES AND REGULATIONS

REVISION TO SECTION 10.22 DELINQUENCY The change shown below is intended to avoid imposing the $10 Late Fee on a $14.70 bill when there has been no water usage at the property, but to wait one more month before imposing the Late Fee. The proposed language is shown below: 10.222 COLLECTION CHARGES. When a bill has been delinquent for ten (10) days (forty (40) days after the statement date) the Delinquent Fee shall be assessed if the bill is greater than the Base Rate, if equal to the Base Rate the Delinquent Fee shall be assessed 70 days after the statement date. If a bill remains delinquent forty (40) days after the statement date a shut off door hanger notice will be placed on the customers property, the service will be subject to discontinuance for nonpayment. If and when service is discontinued for nonpayment, a Field Service Charge will be assessed. The Delinquent Fee and Field Service Charge shall be in accordance with the current Rates and Fees Schedule and will be added to the bill for costs associated with noticing and disconnecting the service. (See Appendix I for Rates and Fees Schedule)

PROPOSED RATE INCREASES

The current Extra Dwelling charge is $2.00 per dwelling and has not been adjusted since August 2010. The recommended increase is to $2.24.

All of the proposed revisions to the rates are attached on the edited pages of the Rules and Regulations.


Board Page 4

FISCAL SUMMARY

The 12% rate increase should produce approximately an additional $170,000 per year. Some of this revenue will be needed for inflationary costs on normal operation of the District such as electricity, materials, etc. The remaining funds will be utilized to begin funding deferred repairs.

The 10-year rate analysis reviewed on September 12, 2012 shows that four 12% rate increases might be necessary to fund the scheduled repairs and replacements scheduled over the next 10 years and to sustain appropriate reserves. Each year the Board intends to review an updated 10-year rate analysis and capital improvement program when determining the appropriate rate increase.

The rates in the Prop 218 notice are maximums. The Board can set the rates lower than published rates in the notice.

The primary goal of the Board is to “pay as you go” to maintain the water infrastructure to avoid borrowing money and to keep the system in good repair because this approach provides the lowest rates long term.

The Water Rate Comparison chart in the Prop 218 notice shows the VRCWD’s rates are cost competitive. Even after the 12% rate increase in December a large water user will pay about $100 less per month in VRCWD than he would have paid in Ventura, Thousand Oaks or Oxnard.


RECEIVEDVENTURA RIVER COUNTY WATER DISTRICT NOV 2 0 2012409 OLD BALDWIN RD

OJAI CA 93023 VRCUVD


I am writing to oppose the proposed rate increase being heard on Dec 12 2012Please submit my opposition to the district

Name Larry MillerAddress 10911 Alto Court Oak View CA 93022Parcel Number 034 240035

4


RECEIVED

NOV 07 2012

James Michelle Butterbaugh VRCWD10920 Alto Court

Oak View CA 93022

November 5 2012

Ventura River County Water District409 Old Baldwin Road

Ojai CA 93023

To Whom It May Concern

I am writing to oppose the proposed rate increase being heard onDecember 12 2012 Please submit my opposition to the district

Thank you

Vittait66

James Michelle Butterbaugh10920 Alto Court

Oak View CA 93022

Parcel 0340250035

Property Location 10920 Alto Court Oak View 93022


November 16 2012 RECEIVEDNOV 1 9 2012

VENTURA RIVER COUNTY WATER DISTRICT Vv

409 OLD BALDWIN RD

OJAI CA 93023


I am writing to oppose the proposed rate increase being heard on Dec 12 2012 Please submit my

opposition to the district

Mike and Sharon Ferro

11035 Alto Dr

Oak View CA 93022 Parcel 0340240165 Acct 1128300A

Michae Fer

Sharon Fer

117Z4s


CARL F ENSON RECEIVED11055 Rodeo Drive

NOV 20 2012 Oak View CA 93022

VRWD805 649 2771

lV carlbarb@sbcglobalnet

November 17 2012


409 OLD BALDWIN RD

OJAI CA 93023

Dear Sirs

In accordance with the instructions in your NoticeRegarding Water Rates I am writing to oppose the proposedrate increase being heard on Dec 12 2012

Please make my opposition known to the district

Name Carl F Enson

Address 11055 Rodeo Drive

Oak View CA 93022Parcel Number 0340260 025

4

Carl F Enson


Melinda Pemberton


RECEIVED409 OLD BALDWIN RD l C

OJAI CA 93023

NOV 24 2012

CWD

Ventura River County Water Districtam writing to oppose the proposed rate increase being heard on Dec 12

2012

Please submit my opposition to the districtName Don and Melinda Pemberton

Address11086 Alto Dr Oak View Ca 93022Parcel Number 5y


PROPOSED CHANGES

TO

RULES AND REGULATIONS


Ventura River County Water District Rules and Regulations Page 8

C:\Users\Matt\Documents\Rules & Regulations\Rules & Regulations December 2012 12-12-12.doc December 12, 2012

10.2 PAYMENT. 10.21 DATE DUE. Amounts due VRCWD pursuant to bill rendered in conformance with Subsection 10.1 above, shall be due and payable upon deposit of said bills in the United States mails addressed to the customer at the mailing address designated by him or upon presentation to the customer. 10.22 DELINQUENCY. 10.221 WATER SERVICE. Payment due on bills for water service shall become delinquent unless paid on or before the last day of the following billing month. Example: bills dated January 31st become delinquent at the close of business on February 28th. 10.222 COLLECTION CHARGES. When a bill has been delinquent for ten (10) days (forty (40) days after the statement date) the Delinquent Fee shall be assessed if the bill is greater than the Base Rate, if equal to the Base Rate the Delinquent Fee shall be assessed 80 days after the statement date. If a bill remains delinquent forty (40) days after the statement date a shut off door hanger notice will be placed on the customers property, the service will be subject to discontinuance for nonpayment. If and when service is discontinued for nonpayment, a Field Service Charge will be assessed. The Delinquent Fee and Field Service Charge shall be in accordance with the current Rates and Fees Schedule and will be added to the bill for costs associated with noticing and disconnecting the service. (See Appendix I for Rates and Fees Schedule) 10.223 RESTORATION OF WATER SERVICE. In order to restore water service following shutoff for nonpayment, the customer will be required to pay the total due on the account at the time service is restored including, but not limited to: water service, Delinquent Fee, Field Service Charges and Deposit. Payment for service reconnection must be made in cash or cashier’s check only. (See Appendix I for Rates and Fees Schedule) 10.224 REMEDIES FOR NONPAYMENT. The General Manager may institute action in any court of competent jurisdiction, cause the delinquent amount to be added to and become a part of the annual tax levied upon the property in accordance with Section 72094, et seq. of the California Water Code, and/or take any other steps to effect collection for services rendered by VRCWD. 10.3 RETURNED CHECK. If a check is returned from the bank for any reason, a returned item penalty shall be charged in accordance with the current Rates and Fees Schedule. (See Appendix I for Rates and Fees Schedule) 11. HEARING FOR DELINQUENT AND DISPUTED BILLS.




APPENDIX I ***EFFECTIVE DECEMBER 15JULY 1, 2012***

RATES AND FEES SCHEDULE DEPOSITS**

Residential 5/8" to 1" (minimum) $120.00* Residential 1 ½ or 2" (minimum) $250.00* Business - General Mgrs. Discretion (minimum) $150.00 Temporary 2 1/2" Hydrant Meter (minimum) $250.00***

* Or 2 times the highest water bill whichever is greater. ** Deposits may be doubled with each disconnect for non-payment. *** Deposit is required for Hydrant Meters and is refunded when the meter is returned

undamaged INSTALLATION FEES (If unusual conditions: All costs, direct & indirect) Temporary $50.00 Customer Service Valve, ¾” $75.00 Customer Service Valve, 1” $105.00 RELOCATION FEES Temporary $20.00 - Residential - All costs, direct & indirect. METER TESTING FEES 5/8" - 2" $20.00 2 1/2" up $50.00 PRIVATE FIRE STANDBY FEES 1 1/2" - 6" $28.00 $31.36 per month. 8 - 12" $56.00 $62.72 per month.




WATER VOLUME RATES: Domestic - Commercial ZONE 1. Areas served by Parker Tank and Casitas SpringsAll water service connections except as listed under Zones 2, & 3. Monthly Units from 01 to 10 - $1.741.49 Monthly Units from 11 to 17 - $2.141.83 Monthly Units from 18 to 50 - $2.652.27 Monthly Units over 50 - $3.262.79 ZONE 2. Areas served by Alto Tank pressure & Monte Via & Rio ViaAll service

connections served by Alto Tank pressure except those below the pressure reduction valve at Parker Booster Station. Monthly Units from 01 to 10 - $1.911.64 Monthly Units from 11 to 17 - $2.362.02 Monthly Units from 18 to 50 - $2.922.50 Monthly Units over 50 - $3.583.07 ZONE 3. Water service connections on Rio Via and Monte Via Streets Monthly Units from 01 to 10 - $1.95 Monthly Units from 11 to 17 - $2.40 Monthly Units from 18 to 50 - $2.96 Monthly Units over 50 - $3.65 ALL ZONES: Temporary (Hydrant Meter) $3.492.99 per 100 cubic feet (1 unit) All water rate charges will begin with the first unit used for all types of water service.

MONTHLY SERVICE BASE RATES -Domestic - Commercial Meter Size Monthly Minimum Monte Via & Rio Via Only 5/8” - 3/4" – 1” $14.70 $18.14 1 1/2" $41.24 2" $45.63 4" $146.45

Each additional dwelling per service $2.242.00

Temporary Meter Service 2 1/2" (Hydrant Meter)$63.4056.61




PASS-THROUGH FOR WHOLESALE WATER RATE INCREASES Any increases in the District’s wholesale cost of water service or water volume from Casitas MWD may be passed through on the District’s water Charges. For example, if the District’s cost of wholesale water increases by $0.10 per hundred cubic feet (hcf), then the District’s Water Volume Rate would also increase by $0.10 per hcf in those zones receiving the wholesale water. The District will provide written notice to all customers prior to passing through any wholesale water rate increases. However, under no circumstance will the District’s water rates exceed the cost of service. COLLECTION CHARGES: DELINQUENT FEE $10.00 FIELD SERVICE CHARGE (On/Off, NSF) $41.0040.00 OUTSIDE WATER PURCHASE "SURCHARGE" POLICY. (Zones 1, 2, & 3) When Lake Casitas water is purchased by VRCWD in an amount that exceeds 1,000 hundred cubic feet (hcf) in any monthly billing period, a surcharge will be billed to customers. The surcharge will be calculated as follows: The current water charge per hcf (1 billing unit), minus the last fiscal year average hcf (1 billing unit) power cost for VRCWD pumping from will be multiplied by the hcf purchased. The additional laboratory testing costs will be included. The resulting amount will be divided by the total billing units sold. The result will be the surcharge amount for each billing unit the customers used in that month. EXAMPLE CMWD PURCHASED WATER RATE PER UNIT $ 1.445 LESS POWER COST PER UNIT - $ 0.067 WATER COST TO VRCWD PER UNIT $ 1.378

NUMBER OF UNITS PURCHASED FROM CMWD 6,000.00 TIMES THE WATER COST PER UNIT TO VRCWD X $ 1.378 EQUALS WATER COST TO VRCWD $8,268.54 ADDITIONAL LABORATORY COSTS $1,400.00 TOTAL OUTSIDE WATER COST TO VRCWD $9,668.54 DIVIDED BY NUMBER OF UNITS SOLD BY VRCWD 45,000.00 EQUAL SURCHARGE FACTOR PER UNIT SOLD $0.215

SURCHARGE TO CUSTOMER PURCHASING 30 UNITS $6.45




Amendments and Additions

Section Description Date Addendum

I Rate Increase for all Zones, approved June 8, 2005 6/8/05

Sec. 10.233 Restoration of Water Service – Payment for service reconnection must be made in cash or cashiers check only 7/13/05

Addendum I Rate Increase for all Zones, Approved June 14, 2006 6/14/06

Addendum I Rate Increase for all Zones, Approved April 27, 2007 5/09/07

Addendum I

Increase Residential Deposit – Approved March 11, 2009 3/11/09

Addendum I

Rate Increase for all Zones, Approved August 11, 2010 8/11/10

N/A Miscellaneous text revisions & Rate & CIP & Processing Fees 12/14/11 Appendix I Casitas Rate Increase Pass Through Effective July 1, 2012 7/1/12 Appendix I Miscellaneous text revisions & Rate & Processing Fees 12/15/12



RESOLUTION 2012 – 275

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE VENTURA RIVER COUNTY WATER DISTRICT APPROVING A WATER RATE INCREASE AND REVISIONS TO RULES AND

REGULATIONS

WHEREAS, The VRCWD Board of Directors have identified over $6 million in improvements and upgrades for the next 10 years; and, WHEREAS, water rates must be adjusted to provide the funding for operations, maintenance, and system improvements; and WHEREAS, for the period of October 2011 to September 2012 the annual Cost of Living has increased 3.0% according to Bureau of Labor Statistics as reported November 30, 2012 for the area of Los Angeles-Riverside-Orange counties, All Urban Consumers; and, WHEREAS; The Ventura River County Water District has approximately 33 miles of water mainline. Over twenty miles of the water mains were built 50 & 60 years ago. The cost of these water mains when they were installed was approximately $25 per foot totaling approximately $2.8 million. Today those same water mains would cost an average of $220 per foot to replace totaling $38 million; and WHEREAS; The VRCWD Board of Directors held a public hearing on December 12, 2012 forty-five (45) days after properly noticing each water customer/property owner within the boundaries of the district as proscribed in the California Constitution Article XIII D, § 6, Subdivision (a)(also known as Proposition 218) to present justification for a proposed water rate increase and receive public testimony or written protests; and, WHEREAS, VRCWD did not receive written protests against the rate increase from a majority of the property owners as prescribed by Proposition 218 in order to reject the increase; and, NOW THEREFORE BE IT RESOLVED, by the Board of Directors of the Ventura River County Water District hereby adopts the revised pages to the Rules and Regulations dated December 15, 2012 and declares that the new water rates will be effective with the January 31, 2013 billing period, i.e.: water meter readings from December 15, 2012 to January 15, 2013, the water rates are as indicated in the Rules and Regulations Appendix I, II & III. PASSED, APPROVED AND ADOPTED this 12th day of December 2012. AYES: NOES: ABSENT: ATTEST: ________________________

Edward E. Lee, President

________________________

Marvin Hanson, Vice-President


VENTURA RIVER COUNTY WATER DISTRICT 409 OLD BALDWIN ROAD OJAI, CALIFORNIA 93023

RULES & REGULATIONS FOR WATER SERVICE

DECEMBER 15, 2012



C:\Users\Matt\Documents\Rules & Regulations\Rules & Regulations December 2012 12-12-12 Final.doc December 12, 2012

10.12 CLOSING BILLS. Closing bills shall be prepared upon request of the customer, upon change of account, or upon discontinuance of service for nonpayment of delinquent bill. All outstanding obligations shall remain the property owner's responsibility. 10.2 PAYMENT. 10.21 DATE DUE. Amounts due VRCWD pursuant to bill rendered in conformance with Subsection 10.1 above, shall be due and payable upon deposit of said bills in the United States mails addressed to the customer at the mailing address designated by him or upon presentation to the customer. 10.22 DELINQUENCY. 10.221 WATER SERVICE. Payment due on bills for water service shall become delinquent unless paid on or before the last day of the following billing month. Example: bills dated January 31st become delinquent at the close of business on February 28th. 10.222 COLLECTION CHARGES. When a bill has been delinquent for ten (10) days (forty (40) days after the statement date) the Delinquent Fee shall be assessed if the bill is greater than the Base Rate, if equal to the Base Rate the Delinquent Fee shall be assessed 80 days after the statement date. If a bill remains delinquent forty (40) days after the statement date a shut off door hanger notice will be placed on the customers property, the service will be subject to discontinuance for nonpayment. If and when service is discontinued for nonpayment, a Field Service Charge will be assessed. The Delinquent Fee and Field Service Charge shall be in accordance with the current Rates and Fees Schedule and will be added to the bill for costs associated with noticing and disconnecting the service. (See Appendix I for Rates and Fees Schedule) 10.223 RESTORATION OF WATER SERVICE. In order to restore water service following shutoff for nonpayment, the customer will be required to pay the total due on the account at the time service is restored including, but not limited to: water service, Delinquent Fee, Field Service Charges and Deposit. Payment for service reconnection must be made in cash or cashier’s check only. (See Appendix I for Rates and Fees Schedule) 10.224 REMEDIES FOR NONPAYMENT. The General Manager may institute action in any court of competent jurisdiction, cause the delinquent amount to be added to and become a part of the annual tax levied upon the property in accordance with Section 72094, et seq. of the California Water Code, and/or take any other steps to effect collection for services rendered by VRCWD.




APPENDIX I ***EFFECTIVE DECEMBER 15, 2012***

RATES AND FEES SCHEDULE DEPOSITS**

Residential 5/8" to 1" (minimum) $120.00* Residential 1 ½ or 2" (minimum) $250.00* Business - General Mgrs. Discretion (minimum) $150.00 Temporary 2 1/2" Hydrant Meter (minimum) $250.00***

* Or 2 times the highest water bill whichever is greater. ** Deposits may be doubled with each disconnect for non-payment. *** Deposit is required for Hydrant Meters and is refunded when the meter is returned

undamaged INSTALLATION FEES (If unusual conditions: All costs, direct & indirect) Temporary $50.00 Customer Service Valve, ¾” $75.00 Customer Service Valve, 1” $105.00 RELOCATION FEES Temporary $20.00 - Residential - All costs, direct & indirect. METER TESTING FEES 5/8" - 2" $20.00 2 1/2" up $50.00 PRIVATE FIRE STANDBY FEES 1 1/2" - 6" $31.36 per month. 8 - 12" $62.72 per month.




WATER VOLUME RATES: Domestic - Commercial ZONE 1. Areas served by Parker Tank and Casitas Springs Monthly Units from 01 to 10 - $1.74 Monthly Units from 11 to 17 - $2.14 Monthly Units from 18 to 50 - $2.65 Monthly Units over 50 - $3.26 ZONE 2. Areas served by Alto Tank pressure & Monte Via & Rio Via Monthly Units from 01 to 10 - $1.91 Monthly Units from 11 to 17 - $2.36 Monthly Units from 18 to 50 - $2.92 Monthly Units over 50 - $3.58 ALL ZONES: Temporary (Hydrant Meter) $3.49 per 100 cubic feet (1 unit) All water rate charges will begin with the first unit used for all types of water service.

MONTHLY BASE RATES Meter Size Monthly Minimum 5/8” - 3/4" – 1” $14.70 1 1/2" $41.24 2" $45.63 4" $146.45

Each additional dwelling per service $2.24

Temporary Meter Service 2 1/2" (Hydrant Meter)$63.40




PASS-THROUGH FOR WHOLESALE WATER RATE INCREASES Any increases in the District’s wholesale cost of water service or water volume from Casitas MWD may be passed through on the District’s water Charges. For example, if the District’s cost of wholesale water increases by $0.10 per hundred cubic feet (hcf), then the District’s Water Volume Rate would also increase by $0.10 per hcf in those zones receiving the wholesale water. The District will provide written notice to all customers prior to passing through any wholesale water rate increases. However, under no circumstance will the District’s water rates exceed the cost of service. COLLECTION CHARGES: DELINQUENT FEE $10.00 FIELD SERVICE CHARGE (On/Off, NSF) $41.00 OUTSIDE WATER PURCHASE "SURCHARGE" POLICY. (Zones 1, 2, & 3) When Lake Casitas water is purchased by VRCWD in an amount that exceeds 1,000 hundred cubic feet (hcf) in any monthly billing period, a surcharge will be billed to customers. The surcharge will be calculated as follows: The current water charge per hcf (1 billing unit), minus the last fiscal year average hcf (1 billing unit) power cost for VRCWD pumping from will be multiplied by the hcf purchased. The additional laboratory testing costs will be included. The resulting amount will be divided by the total billing units sold. The result will be the surcharge amount for each billing unit the customers used in that month. EXAMPLE CMWD PURCHASED WATER RATE PER UNIT $ 1.445 LESS POWER COST PER UNIT - $ 0.067 WATER COST TO VRCWD PER UNIT $ 1.378

NUMBER OF UNITS PURCHASED FROM CMWD 6,000.00 TIMES THE WATER COST PER UNIT TO VRCWD X $ 1.378 EQUALS WATER COST TO VRCWD $8,268.54 ADDITIONAL LABORATORY COSTS $1,400.00 TOTAL OUTSIDE WATER COST TO VRCWD $9,668.54 DIVIDED BY NUMBER OF UNITS SOLD BY VRCWD 45,000.00 EQUAL SURCHARGE FACTOR PER UNIT SOLD $0.215

SURCHARGE TO CUSTOMER PURCHASING 30 UNITS $6.45




Amendments and Additions

Section Description Date Addendum

I Rate Increase for all Zones, approved June 8, 2005 6/8/05

Sec. 10.233 Restoration of Water Service – Payment for service reconnection must be made in cash or cashiers check only 7/13/05

Addendum I Rate Increase for all Zones, Approved June 14, 2006 6/14/06

Addendum I Rate Increase for all Zones, Approved April 27, 2007 5/09/07

Addendum I

Increase Residential Deposit – Approved March 11, 2009 3/11/09

Addendum I

Rate Increase for all Zones, Approved August 11, 2010 8/11/10

N/A Miscellaneous text revisions & Rate & CIP & Processing Fees 12/14/11 Appendix I Casitas Rate Increase Pass Through Effective July 1, 2012 7/1/12 Appendix I Miscellaneous text revisions & Rate & Processing Fees 12/15/12



DATE: December 12, 2012

TO: Board of Directors


SUBJECT: STEELHEAD OVER-SUMMERING POOLS

SUMMARY Director Jack Curtis has suggested an idea to create additional over-summering pools in the Ventura River that could offset some of the impacts to endangered steelhead trout and help with their recovery. In January 2013 the U.S. Environmental Protection Agency is expected to publish a draft Pumping Total Maximum Daily Load (TMDL) for reach 4 of the Ventura River. The pumping TMDL is scheduled for adoption in March 2013. It is believed that the neither the EPA nor the Los Angeles RWQCB have the authority to directly regulate ground water pumping. The primary impacts possibly related to pumping and diversions are reduced duration of springtime flows when steelhead migrate and the drying up of over-summering pools. Sustained over-summering pools are considered of high value because steelhead cannot get past Matilija Dam to the pools in the upper watershed. Director Jack Curtis’s idea could add many more over-summering pools to the Ventura River, see the attached exhibit. The concept is to build new pools in the perennial stretch of the river near Shell Road where the river has soured out a large portion of the flood plain. In the spring the fish could spawn along the river and then in early summer as portions of the river go dry the fish would naturally migrate into these pools to over-summer. It is possible that the adjacent oil industry may be interested supporting a positive mitigation measure and other local agencies may be supportive of applying for grants to build the pools.

RECOMMENDED ACTION The General Manager recommends that the Board review and comment on this mitigation concept and encourage that it be shared with other local agencies and groups.

BACKGROUND The 1996 and 2012 Steelhead Recovery plans indicate that the endangered steelhead trout are harmed by water diversions and pumping in the Ventura


Board Page 2 River watershed. The Los Angeles Regional Water Quality Control Board has 303D listed the Ventura River as being impaired by diversions and pumping since 1998. Between the ocean and Matilija Dam the Ventura River has two perennial reaches and one dry reach. The perennial reaches are from the Ocean to the Ojai Valley Sanitary Plant and from the Matilija Dam to Camino Ciello. The dry stretch has some large pools that naturally go dry every summer unless there is an extraordinarily wet year of about 50 inches of rain or more. However some people believe these dry stretch pools go dry because of human pumping and diversions. If replacement pools could be created in the perennial reaches of the river then the pools would be able to sustain steelhead through most summers except perhaps during the most severe droughts. At the Shell Road location Director Curtis has determined that the river is very wide and perennial. There are a variety of approaches that could be used to establish over-summering pools:

• Excavate the pools and direct the low flow to the pools in late spring each year if washed out by winter flood flows.

• Build a barrier between main river and the pools and re-establish a low flow diversion to the pools in late spring each year if necessary.

• Build artificial rock outcroppings in the river bottom to cause the flood flows to excavate and maintain over-summering pools.

If replacement over-summering pools could be established in the perennial portions of the river then the only pumping and diversion related concern remaining would be a possible reduction in flow rate and duration of the springtime flows. Director Curtis has determined who the property owner is and is contacting them to determine if they might be interested in the establishment of over-summing pools on their property. PROCESS TO MOVE FORWARD The first step would be to float the concept and see if other believe it would have value. The second step would be would be to include the project in the Watershed Management Plan that is currently being prepared. Then the project would have a measure of validity and be eligible to grant funding. To move forward the project would require a sponsor who would perform a conceptual design, secure land, prepare a preliminary design, environmental impact analysis, final design and then construction. If the design required maintenance then funding and permits would be required long term maintenance.


Board Page 3 Interested parties might include: the Coastal Conservancy, California Department of Fish & Game, U.S. Fish and Wildlife, the oil industry in the vicinity, Ventura County Watershed Protection District, City of Ventura, Casitas, Ventura River County Water District and Meiners Oaks Water District.

FISCAL SUMMARY

If additional over-summering pools prove to be beneficial to the recovery of steelhead there are several funding sources available that would include:

• Proposition 84 grant funds • California Coastal Conservancy • California Department of Fish and Game • Mitigation monies from entities impacting the river

This project is something the Ventura River County Water District could support if it helps preserve our need to pump ground water.


Page 1 of 2

POTENTIALSITEFORENDANGEREDSTEELHEADSUMMERPOOLS

SuggestedbyJackCurtis,VRCWDDirector


Page 2 of 2

Spring, Summer and Fall Low Flow Diversion

Over‐Summering Pools for Endangered Steelhead


CHART 1

‐66.8

‐89.0

‐43.0

‐26.9 ‐20.8

‐54.0

‐27.7

‐60.4

‐67.0

‐21.4

‐54.7

‐52.6‐39.9

‐71.0‐58.9

‐64.6

‐32.9

‐40.7

‐69.1

‐49.6

‐54.3

‐50.3‐39.2

‐70.5

‐100.0

‐90.0

‐80.0

‐70.0

‐60.0

‐50.0

‐40.0

‐30.0

‐20.0

‐10.0

0.0

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

Dep

th below

groun

d surface

DEPTH TO GROUND WATER IN WELL #2 ON THE FIRST OF DECEMBER

Ground Surface


CHART # 2

-100.0

-90.0

-80.0

-70.0

-60.0

-50.0

-40.0

-30.0

-20.0

-10.0

0.0Ja

n

Feb

Mar

Apr

May Jun

Jul

Aug

Sept

Oct

Nov Dec

LEVE

L B

ELO

W R

EFER

ENC

E

WATER LEVEL HYDROGRAPH

AQUIFER LEVEL BELOW REFERENCE VRCWD WELL # 2 FIRST DAY OF MONTH

23 Yr AVG Aquifer Full Level 2008 1990 2004 2011 2012 2007

2011

2012

April 1st Trigger Elevation ‐32ft

Purchase Water Elevation ‐55ft

1990


CHART # 3

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

VRCWD WELL PUMPING COMPARISON IN HUNDRED CUBIC FEET-ALL WELLS2007 2008 2009 2010 2011 2012

2012


47.0

0

28.8

1 32.5

7

18.2

8 22.1

9

50.6

2

17.0

6

15.6

5

35.1

5

10.8

8

18.3

0

11.8

6

3.72

22.0

3

28.5

0

43.8

0

13.8

4

47.1

2

16.7

7

23.3

2

53.4

0

10.7

2

19.8

6

27.2

0

7.46

24.2

4

15.3

2

48.3

2

25.0

6

5.97

23.7

1

13.0

5

25.9

6 28.9

0

11.5

9

3.12

0

10

20

30

40

50

60

1978

1979

1980

1981

1982

1983

1984

1985

1986

1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

Inch

es o

f Rai

nfal

l

Rain Year

Historic Annual Rainfall - At VRCWD Office

35 Yr Avg 24.4"

0.00

1.00

2.00

3.00

4.00

5.00

6.00

7.00

8.00

1978

1979

1980

1981

1982

1983

1984

1985

1986

1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

2010

2011

2012

2013

Inches of R

ain

November Rainfall Record

CHART 4Board Packet Page 48

-20

-30

-40

-60

-210


CURRENT GROUND WATER LEVEL

AS OF: December 1, 2012

-50

-100

-90

-80

-10

0

-200

-190

-180

-110

-70

Well Head

Ground Level Aquifer Full Level - 12.0 Feet

Static Water Level, December 1, 2012 - 70.5 Feet

Pump Suction

Critical Static Level

Water Storage Tank

Pumping Level

Definitions

Static Level: is the level of water in the well when no water is being taken

(pumped) from the well.

Pumping Level: is the level of water in the well during pumping.

Critical Satic Level: is the level where our wells can no longer pump water and we must swith to water from Lake Casitas.

April 1st Trigger Level: When the aquifer is at or below this level on April 1st the

aquifer will reach the Critical Static Level before it rains again.

Rainfall

AVERAGE ANNUAL FAINFALL - 24"RAINFALL SINCE OCTOBER 1, 2012

3.12"

AVERAGE RAINFALL SINCE OCTOBER 1ST

3.0"

Average December 1st Static Water Level - 51.1 Feet

Purchase Water Elevation -55 feet


CHART 6

‐5

0

5

10

15

20

25

30

35

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

INCH

ES OF RA

INRAIN ACCUMULATION PER MONTH

2007

2008

2009

2010

2011

2012

2013


VENTURA RIVER COUNTY WATER DISTRICT DATE: December 12, 2012 TO: Directors


SUBJECT: WELLS, WATER PRODUCTION, USAGE, AND CONSERVATION UPDATE.

Wells

The static aquifer level at Well # 2 on December 1, 2012 was 70.5 feet below surface. The level has risen 0.7 feet since the first of last month. The aquifer is currently 19.4 feet below the 25 – year average for December.

Production

Well # 1 is pumping 428 GPM down 16 GPM below its pumping rate last month. Well # 2 is pumping 430 GPM down 23 GPM. Well # 3 is pumping at 283 GPM down 13 GPM from last month. Well # 4 is off line because water can no longer enter the well fast enough to supply the minimum flow of 300 gallons per minute to the pump. Total available well production: 1,141 GPM a decrease of about 52 GPM.

Supplemental Water from Casitas

Purchase of Casitas water was started on Thursday October 4th. This month we purchased 18,096 units at a cost of $26,149. This cost was passed on to the customers as the purchased water surcharge of $0.52 per unit.

Usage

Sales dollars billed on December 1, 2012 amounted to $154,674. Last year we billed $96,456 during the same period. Water sold in November 2012 amounted to 46,547 HCF, an increase of 20% above the 37,348 HCF sold during the same period in 2011, and a decrease of 19% below the 57,902 HCF sold in October.

The 6 charts are enclosed.

On December 1, 2012 Lake Casitas level was 72.2% of full capacity at elevation 538.59, 27.5. feet below spill with storage of 183,600 AF. The lake is has dropped 0.5 feet since last month.

Conservation

This month’s water bill had a $0.52 Purchase Water Surcharge so hopefully the customers will increase their conservation efforts.
