The URL can be used to link to this page

Home My WebLink AboutApprove the West Orange County Water Board (WOCWB) Fiscal Ye '` i "4, 2000 Main Street, Huntington Beach,CA 4F'i 92648 City of Huntington Beach _ APPROVED 6-0-1 ' _ .... (McKEON-ABSENT) eOUNr File#: 25-136 MEETING DATE: 3/18/2025 REQUEST FOR CITY COUNCIL ACTION SUBMITTED TO: Honorable Mayor and City Council Members SUBMITTED BY: Travis Hopkins, City Manager VIA: Chau Vu, Director of Public Works PREPARED BY: Chris Davis, Senior Management Analyst Subiect: Approve the West Orange County Water Board (WOCWB) Fiscal Year 2025/26 Budget in the _ amount of$1,683,800 Statement of Issue: The City of Huntington Beach 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 FY 2025/26 prior to adoption by the Board as a whole. Financial Impact: The City's proportional share of the WOCWB FY 2025/26 Budget is $1,046,624. This amount is , made up of$103,112 for the annual operating budget, $382,512 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 2025/26 proposed operating budget is included in the Water Fund business unit 50685801, the debt service is included in the Water Master Plan business unit 50785201, and the Cathodic Protection Program is included in the Water Master Plan business unit 50791006. Recommended Action: Approve the WOCWB Proposed budget for Fiscal Year 2025/26, with the City of Huntington Beach amount of$1,046,624. Alternative Action(s): Do not approve, 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. The WOCWB was created to operate and maintain large diameter pipelines shared between the member agencies. 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 Westminster and two from the City of Huntington Beach. Mayor Pat Burns. City of Huntington Beach Page 1 of 2 Printed on 3/12/2025 powered by LegistarTm 136 File#: 25-136 MEETING DATE: 3/18/2025 and Council Woman Gracey Larrea-Van Der Mark 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. Each member agency needs to approve the proposed budget via their governing bodies prior to adoption by the Board before the - new fiscal year. The total proposed budget for Fiscal Year 2025/26 is $1,683,800. This includes $183,800 for the operating budget which includes maintenance, electricity, and administrative costs. (legal, insurance, and audit fees); $500,000 in debt service for the OC-35 realignment project reimbursement agreement with OCTA, and the year 5 contribution of$1,000,000 for the Transmission Main Lifespan Extension Program (formerly Cathodic Protection Program) to extend the lifespan of both the OC-9 and OC-35 transmission mains. The FY 2025/26 budget also authorizes funding in the amount of$1,000,000 for construction of the program, in addition to the $3,700,000 carried over from the previous fiscal year. The Board reviewed the proposed budget at the January 15, 2025 regular 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 16, 2025. Environmental Status: This action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for_ • resulting in physical change to the environment, directly or indirectly. Strategic Plan Goal: Goal 6 - Infrastructure Investment, Strategy C - Conduct an assessment of all City facilities to determine priorities for upgrades and repairs, implementation and financial priority. For details, visit www.huntingtonbeachca.gov/strategicplan. Attachment(s): 1. West Orange County Water Board Fiscal Year 2025/26 Budget 2. West Orange County Water Board Fiscal Year 2025/26 Member Agency Contributions 3. PowerPoint Presentation • City of Huntington Beach Page 2 of 2 Printed on 3/12/2025 powered by LegistarN 137 WEST ORANGE COUNTY WATER BOARD PROPOSED FISCAL YEAR 2025/26 BUDGET FY 24/25 FY 25/26 Approved Proposed ACCOUNT NUMBER ACCOUNT DESCRIPTION OPERATING EXPENSES 50885101.61200 Electricity $4,500 $4,500 50885101.64620 Contracts for Repairs and Maintenance $35,000 $35,000 PLC Design/Construction for SCADA $70,000 $120,000 50885101.69345 Auditing _ $5,800 $5,800 50885101.69375 Attorney Fees $2,500 $2,500 50885101.73010 General/Liability Insurance $10,000 $11,000 50885101.75400 Board Stipend Expense $5,000 $2,500 50885101.79100 Contingency $2,500 $2,500 50885101.82100 OC-35 Turnout Rehabilitation Designs $50,000 $0 OPERATING EXPENSES $185,300 $183,800 NON OPERATING EXPENDITURES 50885102.88010 Debt Service2 $480,000 $500,000 SUBTOTAL $665,300 $683,800 CAPITAL EXPENDITURES 50885103.82100 Transmission Main Life Extension Project $3,700,000 $1,000,000 TOTAL $4,365,300 $1,683,800 1Funds to be carried forward 2 The Cities of Huntington Beach and Seal Beach are the only members remaining on the OC-35 loan. Budget authority is required in order to process payments. January 9, 2025 138 FISCAL YEAR 2025/26 PROPOSED BUDGET AGENCY CONTRIBUTIONS Operating Budget (Including Cathodic Protection) ACCOUNT NUMBER AGENCY OWNERSHIP FY 25/26 COST PERENTAGE 50800508.46610 Huntington Beach 56.1 $664,112 50800508.46620 Garden Grove 4.2 $49,720 50800508.46630 Seal Beach 14.3 $169,283 50800508.46640 Westminster 25.4 $300,685 Totals 100.0 $1,183,800 Sixth Year OC-35 Relocation Project Loan Payment 50800508.46610 Huntington Beach 56.1 $382,512 50800508.46620 Garden Grove* 4.2 $0 50800508.46630 Seal Beach 14.3 $117,488 50800508.46640 Westminster* 25.4 $0 Totals 100.0 $500,000 *Garden Grove and Westminster have paid off their portions of the loan Total Adopted Budget 50800508.46610- Huntington Beach 56.1 $1,046,624 50800508.46620 Garden Grove* 4.2 $49,720 50800508.46630 Seal Beach 14.3 $286,771 50800508.46640 Westminster* 25.4 $300,685 Total Budget $1,683,800 January 9, 2025 139 . ,. .. • . „ ... . , . . . ,.. ... to_ ., ,, , ,.''' : . ' ' ' .. ,•,,:.. : ,.., ,,.:_., ,, . ,Ifik...-.. .. .. . . . „ " Approve West Orange �c �s® R : f County :. „ ,„ ..,:. �• Water Board, :: - Fiscal Year 2025126 .„..„,,,,, ,, r r aT w,,„, ,,,,• . ,,. ..: - Budget ... •, .„.„..„,•, ,„ ,% . . , — --_,- - , ,_. ,,..„ . , ": ......._,..„,„•,• •,„.„..,,..„, . ... ....,... , ..., ,,, .,.. , ,,... ,,,.„.... • ..,,,...„ ,.. „ , ,, ....„,..,.:_ . ,...::, ,::,„• 71'... . .7 ..'"-Li:1'7,"'":7' :., ;;- - 19• . .,.-.NNE ' ' ' '' • ' ' ...„...-'- '' ' - ' -- ---'..---';''' .):: . 4.'' 41**-14*;: il March 18, 2025 1*.44' �06 17, 19Q . . :., . . .'' . . elesels!—.1 1? •., ,.:,-...: if : 140 , _ WOCWB • Joint Powers Authority that owns and operates OC-9 and OC-35 Water Transmission mains • Five (5) member board — Mayor Pat Burns and Council Woman Gracey Van Der Mark representing Huntington Beach • Proportional share: • Huntington Beach (56. 1 %) • Garden Grove (4.2%) • Seal Beach (14.3%) �,� r�� r • Westminster (25.4%) „• � .tea' • Each Member Agency must approve the budget before the _ .. It.01 WOCWB as a whole can approve the budget in April °••• 141 WOCWB FY 2025/26 Budget • FY 2025/26 Total WOCWB budget = $ 1 , 183,800 • Operating Budget = $ 183,800 • Debt Service = $500,000 • Transmission Main Lifespan Extension Project Contribution = $1 ,000,000 • Transmission Main Lifespan Extension Project - ��_ Construction =$1 ,000,000 (not including prior ye . °RRA ° carry-over) kle VIP t • Huntington Beach share = $ 1 ,046,624 56. 1 % MA.N;(, NT >il • • 142 WOCWB FY 2025/26 Budget • Budget presented at January 15, 2025 meeting •. Requested each agency to approve before adoption by the Board at the April 16, 2025 meeting WTIAlar 04,a � alp' •°a ,.x..T �, p.. OUNT #1,. • • 143 • °" i .3 kFF s` � a x 1t fige ag sT y Questions ? 8 a z L$3 4 1111.5) a?‘11.11.E'i„i Yt'Y.k .i'ifu:`F11 3 _ "� j , aF *4.4.,,,kvx-4,- ..,„:. .-'-:.,401.7,;;'.-6,.,7.'-: ' ,".,4" f? r t �k �F kj if e} �,F 7 '3k{ •,r K �p *ate +,h. ry '�1 � tv l t• r . - N.. ..-.. ,-;-" r' "sue r+x r Y . r ^y ,r-,. • • • 144