HomeMy WebLinkAboutApprove West Orange County Water Board (WOCWB) Proposed Budg dv-�,.( �/1
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City of Huntington Beach
File #: 21 20-1 MEETING DATE: 4/5/2021
REQUEST FOR CITY COUNCIL ACTION
SUBMITTED TO: Honorable Mayor and City Council Members
SUBMITTED BY: Oliver Chi, City Manager
PREPARED BY: Sean Crumby, Director of Public Works
Subject:
Approve the West Orange County Water Board (WOCWB) proposed budget for Fiscal Year
2021/22. with the City of Huntington Beach amount of $1,048,936
Statement of Issue:
The City is a member of the West Orange County Water Board (WOCWB) Joint Powers Authority.
The individual member agencies of WOCWB need to approve the proposed WOCWB budget for
Fiscal Year (FY) 2021/22, prior to adoption by the Board as a whole.
Financial Impact:
The City's share of the WOCWB FY 2021/22 total proposed budget of$1,649,000 is $1,048,936.
This amount is made up of$69,564 for the annual operating budget, $418,372 for the City's share of
the loan repayment for the OC-35 Pipeline Relocation Project, and $561,000 for the Cathodic
Protection Program. The FY 2021/22 proposed operating budget is included in the Water Fund
business unit 50685801, the debt service is included in the Water Master Plan business unit
50785999, and the Cathodic Protection Program is included in the Water Fund business unit
50691016.
Recommended Action:
Approve the WOCWB Proposed budget for Fiscal Year 2021/22, with the City of Huntington Beach
amount of S1,048.936.
Alternative Action(s):
Do not approve the proposed 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 the OC-9 and OC-35 transmission mains, owned by
the Joint Powers cities. Huntington Beach owns 56.1 percent of the system. The WOCWB is
governed by five elected officials, one each from the cities of Garden Grove, Seal Beach, and
City of Huntington Beach Page 1 of 2 Printed on 3/31/2021
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File #: 21-204 MEETING DATE: 4/5/2021
Westminster, and two from the City of Huntington Beach. Council Members Natalie Moser and Erik
Peterson represent the City of Huntington Beach.
The General Manager of the WOCWB (the City of Huntington Beach Public Works Deputy Director)
submits a proposed budget to the Board for review at mid-year for approval by the Board, prior to the
beginning of the new fiscal year, after all member agencies' Councils have approved their share of
the budget.
The total proposed budget for Fiscal Year 2021/22 is $1,649,000. This includes $124,000 for the
operating budget which includes maintenance, electricity and administrative costs (legal, insurance
and audit fees); $525,000 in debt service for the OC-35 realignment project reimbursement
agreement with OCTA; and S1,000,000 for the Cathodic Protection Program to extend the lifespan of
both the OC-9 and OC-35 transmission mains.
The Board reviewed the proposed budget at the February 17, 2021 , special meeting and moved to
recommend that each agency approve their share of the budget. Upon approval by each agency, the
Board will consider approval of the budget at their next meeting, scheduled for April 21 , 2021 .
Environmental Status:
Not applicable.
Strategic Plan Goal:
Infrastructure & Parks
Attachment(s):
1. West Orange County Water Board Proposed Fiscal Year 2021/22 Budget
City of Huntington Beach Page 2 of 2 Printed on 3/31/2021
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WEST ORANGE COUNTY WATER BOARD
DRAFT FISCAL YEAR 2021-22 BUDGET
FY 20-21 FY 21-22
Approved Proposed
ACCOUNT NUMBER ACCOUNT DESCRIPTION
OPERATING EXPENSES
50885101.61200 Electricity $4,500 $4,500
50885101.64620 Contracts for Repairs and Maintenance $50,000 $40,000
PLC Design for SCADA $25,000 $25,000
Vault (2) Refurbishment $20,000 $30,000
50885101 .69345 Auditing $5,500 $5,500
50885101 .69375 Attorney Fees $2,500 $2,500
50885101.69365 Other Contract Services $2,000 $2,000
50885101.73010 General/Liability Insurance $9,500 $9,500
50885101 .75400 Board Stipend Expense $2,500 $2,500
50885101 .79100 Contingency $2,500 $2,500
50885101.82100 Cathodic Protection $1,000,000 $1 ,000,000
OPERATING EXPENSES $1,124,000 $1,124,000
NON OPERATING EXPENDITURES
50885102.88010 Debt Service" $525,000 $525,000
TOTAL $1,649,000 $1,649,000
'Cities of Huntington Beach and Seal Beach for OC-35 realignment project loan
January 13, 2021
41
DRAFT FY 21 -22 BUDGET
AGENCY CONTRIBUTIONS
Operating Budget (Including Cathodic Protection)
ACCOUNT NUMBER AGENCY OWNERSHIP FY 21/22 COST
PERENTAGE
50800508.46610 Huntington Beach 56.1 $630,564
50800508.46620 Garden Grove 4.2 $47,208
50800508.46630 Seal Beach 14.3 $160,732
50800508.46640 Westminster 25.4 $285,496
Totals 100.0 $1,124,000
Fourth Year OC-35 Relocation Project Loan Payment
50800508.46610 Huntington Beach 56.1 $418,372
50800508.46620 Garden Grove' 4.2 SO
50800508.46630 Seal Beach 14.3 S106,628
50800508.46640 Westminster" 25.4 $0
Totals 100.0 $525,000
'Garden Grove and Westminster have paid off their portions of the loan
Total Proposed Budget
50800508.46610 Huntington Beach 56.1 $1 ,048,936
50800508.46620 Garden Grove" 4.2 $47,208
50800508.46630 Seal Beach 14.3 $267.360
50800508.46640 Westminster` 25.4 $285,496
Total Budget $1,649,000
January4?3, 2021