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HomeMy WebLinkAboutApprove the West Orange County Water Board (WOCWB) proposed (14)Dept. ID PW 17-036 Page 1 of 2 Meeting Date: 7/17/2017 CITY OF HUNTINGTON BEACH REQUEST FOR. CITY COUNCIL ACTION MEETING DATE: 7/17/2017 SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Fred A. Wilson, City Manager PREPARED BY: Travis K. Hopkins, PE, Director of Public Works SUBJECT: Approve the West Orange County Water Board (WOCWB) proposed budget for Fiscal Year 2017-18, with the City of Huntinqton Beach amount of $51,051 Statement of Issue: The individual member agencies of the West Orange County Water Board (WOCWB) must approve the proposed annual WOCWB budget prior to the beginning of the new fiscal year. Financial Impact: The City's share of the Fiscal Year 2017-18 WOCWB budget is included as a line item expenditure in the Water Fund (506) Fiscal Year 2017-18 budget submittal under account 50685801.67655. Recommended Action: Approve the West Orange County Water Board (WOCWB) proposed budget for Fiscal Year 2017- 18, with the City of Huntington Beach amount of $51,051. Alternative Action(s): Do not approve the FY 2017-18 WOCWB budget and direct staff accordingly. Analysis: The WOCWB is a Joint Powers Authority comprised of the Cities of Garden Grove, Seal Beach, Westminster and Huntington Beach, for the purpose of purchasing water from the Municipal Water District of Orange County, and transporting it via Feeders No. 1 and No. 2, owned by the Joint Powers cities. Huntington Beach owns 56.1 percent of the system. The WOCWB is governed by five elected officials from each of the Joint Powers agencies. Council Members Jill Hardy and Mike Posey represent the City of Huntington Beach. The General Manager of the WOCWB (the City of Huntington Beach Public Works Utilities Manager) submits a proposed budget to the Board for review in April and approval in July of each year. Huntington Beach Utilities Division staff have reviewed and provided input to the proposed budget. The total proposed budget for Fiscal Year 2017-18 is $91,000. This includes funding for general operations and maintenance, electricity, administrative costs (legal, insurance, audit fees) and capital costs. The City of Huntington Beach's share is $51,051. A line item budget is attached as well as the total charge being assessed to each of the member agencies. Funds for the construction of the WOCWB 33-inch OC-35 Transmission Main Relocation Project at the Westminster Blvd. crossing of the 1-405 Freeway (necessitated by the freeway widening project) are not included. The project is nearing completion of the design phase. OCTA has authorized their Chief Executive Officer to negotiate a reimbursement agreement with WOCWB to help finance Item 8. - 1 KB -58- Dept. ID PW 17-036 Page 2 of 2 Meeting Date: 7/17/2017 the project utilizing a 10-year, low interest loan. The exact amount of the agreement will be known later this year when the bids for construction are opened. Once the price of the project is better known, City Council approval for the first year's payment of the Huntington Beach portion of the project will be sought from the Water Master Plan Fund 507. Environmental Status: Not Applicable. Public Works Commission Action: Not Applicable. Strategic Plan Goal: Not Applicable — Administrative Item. Attachment(s): 1. West Orange County Water Board Proposed Fiscal Year 2017-18 Budget. HB -59- Item 8. - 2 CD w WEST GRANGE COUNTY WATER BOARD PROPOSED FISCAL YEAR 2017-18 BUDGET Account Description OPERATING EXPENSES Electricity Contracts for Repairs and Maintenance Auditing Attorney Fees Other Contract Services OC-9 and OC-35 Replacement Evaluation 1 405 Widening Facilities Relocation - Design General/Liability Insurance Board Stipend Expense Contingency OPERATING EXPENSES CAPITAL EXPENDITURES Relocation of Vault at OC-9 CAPITAL EXPENDITURES TOTAL Expenditures FY 15-16 FY 16-17 FY 17-18 Actual Approved Proposed $3,893 $4,500 $4,500 $18,437 $30,000 $60,000 $4,990 $5,000 $5,000 $1,713 $5,000 $5,000 $1,249 $2,000 $2,000 $0 $0 $0 $43,693 $235,000 $0 $9,113 $9, 500 $9, 500 $3,000 $2,500 $2,500 $0 $0 $2,500 $86,088 $293,500 $91,000 $28,045 $0 $0 $28,045 $0 $0 $114,133 $293,500 $91,00000 PROPOSED FISCAL YEAR 2017-18 BUDGET ALLOCATION OF COSTS BY AGENCY AGENCY Ownership Percentage Proposed 17/18 Costs Huntington Beach 56.1 $51,051 Garden Grove 4.2 $3,822 Seal Beach 14.3 $13,013 Westminster 25.4 $23,114 Totals 100.0 $91,000 xB -6 1 - Item 8. - 4