HomeMy WebLinkAbout98.06-13-2018 Administration Committee Item 6 Attachment 2 - FY18-19_19-20 Proposed Budget.pdf O
N
T
O
N
c�
O
T
O .
N
cz
cu .
U
iL
o ✓ •
6s
. � f kIr
co
'_• 1 ..�r.� ,,'fir_„ � � '
BACK OF FRONT COVER
Orange County Sanitation District, California
FY 2018-19 & FY 2019-20 Proposed Budget
N I Tq
v
Q �
cc c�
o -i
MISSION STATEMENT
"To protect public health and the environment by providing effective wastewater
collection, treatment, and recycling."
For Fiscal Years
July 1, 2018 through June 30, 2019 and
July 1, 2019 through June 30, 2020
2018-19 & 2019-20 Budget
Orange County Sanitation District
Service Area and Treatment Plant Locations
in Orange County, California
SD
LA
HABRA BREAV I _
YORBA
FULLERT LINDA
PLACE w .
B ENA
LA RK
PALM
ANAHEIM
RE S VILLA
I P
LOS 0
A- ITOS i t G ORANGE L--�
SEAL IN ER °
BEACH
m �
UNT N ANA
ALLE STIN
P1
~HUNTI GTO
B - IRVINE
COSTAr Ynen
MESA
rnwow"cxza
1 5 m b�arq
6S bat a.s,,.tar
NEWPORT
BEACH N
a��
s A
��
4
Service area boundary tree
Sewer pipelines p""01i20'
mcurAvt U"boom"by To
Ift Reclamation Plant No. IJP1) otarOeutyBrvewte0aata.nvsrnw
n veen"eeta/ep+er rw*ae+ "ivy.
TrwU d Cr
nent Plant No. 2{P2) yob� eeoieaisetau.rad�
ftfsorx at"sa%es yama C&%W
Pump and lift stations A,"ffawwalw'0frt1' C*pPec0°Dj
%e4 1A•.Wy 7016 AI N"HS Neftn0d
i Unincorporated Orange County(white areas) qnwnoe/7olr
GFOA Budget Presentation Award
GOVERNMENT FINANCE OFFICERS ASSOCIATION
Distinguished
Budget Presentation
Award
PRESENTED TO
Orange County Sanitation District
California
For the Biennium Beginning
July 1, 2016
The Government Finance Officers Association of the United States and Canada (GFOA) presented a
Distinguished Budget Presentation Award to the Orange County Sanitation District, California, for its biennial
budget for the biennium beginning July 1, 2016.
In order to receive this award, a government unit must publish a budget document that meets program criteria as
a policy document, as an operations guide, as a financial plan, and as a communication device.
The award is valid for a period of two years only. We believe our current budget continues to conform to the
program requirements, and we are submitting it to GFOA to determine its eligibility for another award.
2018-19 & 2019-20 Budget
Table of Contents
Reader's Guide to the Budget......................................................................................................................................i
Boardof Directors...................................................................................................................................................... iii
BoardCommittees .....................................................................................................................................................iv
Orange County Sanitation District Organization Chart...............................................................................................v
AdministrativeOfficials...............................................................................................................................................vi
General Manager's Budget Message........................................................................................................................vii
CoreValues................................................................................................................................................................ix
Section 1 — Executive Summary
ExecutiveSummary.......................................................................................................................................1
Section 2 - Introduction
Financial Overview & Budgetary Issues........................................................................................................1
BusinessPlan..............................................................................................................................................15
Strategic Goals for Fiscal Years 2018-19 & 2019-20..................................................................................28
OCSDLong-Term Planning.........................................................................................................................29
Background Information and Description of Services .................................................................................30
OrangeCounty at a Glance.........................................................................................................................31
Section 3 - Policies, Systems and Processes
FiscalPolicy...................................................................................................................................................1
GFOA Best Practices and Advisories............................................................................................................9
Overview of the Budget Process.................................................................................................................19
BudgetAssumptions....................................................................................................................................21
Accounting System and Budgetary Control.................................................................................................25
OCSDFund Structure Diagram...................................................................................................................26
RevenueSources........................................................................................................................................27
Section 4— District Summary
FY 2018-19:
Where the Money Comes From..............................................................................................................1
Wherethe Money Goes..........................................................................................................................1
FundingSources by Category ................................................................................................................2
FundingUses by Category .....................................................................................................................3
FY 2019-20:
Where the Money Comes From..............................................................................................................5
Wherethe Money Goes..........................................................................................................................5
Funding Sources by Category ................................................................................................................6
FundingUses by Category .....................................................................................................................7
BudgetResources.........................................................................................................................................8
Budget Resources by Revenue Area— FY 2018-19...................................................................................10
Budget Resources by Revenue Area — FY 2019-20...................................................................................12
ProjectedReserves .....................................................................................................................................14
Consolidated Cash Flow Projections...........................................................................................................16
Table of Contents
Section 5—Operations Overview
Operations Budget Overview.........................................................................................................................1
Operations Summary/Comparisons by Department......................................................................................3
Expenseby Category....................................................................................................................................4
Allocation to Individual Revenue Areas.........................................................................................................5
Net Operating Expense by Line Item ............................................................................................................6
Notesto Operations Summary......................................................................................................................8
Section 6 - Operating Divisions
GENERAL MANAGEMENT
General Management Administration............................................................................................................1
BoardServices ..............................................................................................................................................5
PublicAffairs ....................................................................................................................................9
HUMAN RESOURCES
Human Resources Administration...............................................................................................................13
Risk Management/Safety/Security.................................................. ..................................................17
FINANCE AND ADMINISTRATIVE SERVICES
Administrative Services Administration .......................................................................................................21
FinancialManagement................................................................................................................................25
Contracts, Purchasing, and Materials Management...................................................................................29
InformationTechnology..........................................................................................................33
ENVIRONMENTAL SERVICES
Environmental Services Administration.......................................................................................................37
ResourceProtection....................................................................................................................................41
Laboratory, Monitoring & Compliance.........................................................................................................45
ENGINEERING
EngineeringAdministration..........................................................................................................................49
Planning.......................................................................................................................................................53
Project Management Office.........................................................................................................................57
Civil & Mechanical Engineering...................................................................................................................61
Electrical & Control Systems Engineering...................................................................................................65
OPERATIONS & MAINTENANCE
Operations & Maintenance Administration..................................................................................................69
Collection Facilities Operations & Maintenance..........................................................................................73
FleetServices..............................................................................................................................................77
Operations - Plant No. 1 ..............................................................................................................................81
Operations - Plant No. 2..............................................................................................................................85
Maintenance - Plant No. 1 ...........................................................................................................................89
Maintenance Reliability & Planning.............................................................................................................93
Maintenance - Plant No. 2...........................................................................................................................97
2018-19 & 2019-20 Budget
Section 7 - Self-Insurance Program
Self-Insurance Program Overview.................................................................................................................1
Total Self-Insurance Program........................................................................................................................2
General Liability and Property Self-Insurance Program................................................................................3
Workers' Compensation Self-Insurance Program.........................................................................................4
Section 8 - Capital Improvement Program
Overview........................................................................................................................................................1
Diagram of Treatment Process......................................................................................................................3
ProjectSummary- FY 2018-19.....................................................................................................................4
Capital Improvement Expenditure Graphs by Process and Type - FY 2018-19...........................................5
ProjectSummary- FY 2019-20.....................................................................................................................6
Capital Improvement Expenditure Graphs by Process and Type - FY 2019-20...........................................7
Summary of Capital Requirements................................................................................................................8
CIPProject Detail Sheets............................................................................................................................12
Project Summary by Revenue Program Category- Collection System Projects........................................86
Project Summary by Revenue Program Category-Treatment& Disposal Projects..................................87
Summary by Project Driver- Collection System Projects ...........................................................................90
Summary by Project Driver-Treatment& Disposal Projects .....................................................................91
Proposed Equipment Budget Summary- FY 2018-19................................................................................94
Proposed Equipment Budget Detail - FY 2018-19......................................................................................96
Proposed Equipment Budget Summary- FY 2019-20................................................................................98
Proposed Equipment Budget Detail - FY 2019-20....................................................................................100
Section 9 - Debt Service
DebtFinancing Program................................................................................................................................1
Debt Service Requirements - Principal & Interest.........................................................................................6
Debt Service Requirements - Interest Payments..........................................................................................8
Debt Service Requirements - Principal Payments ......................................................................................10
Section 10 -Appendix
Staffingby Department- Graph.....................................................................................................................1
Staffingby Category- Graph.........................................................................................................................1
Historical Staffing by Department- Graph.....................................................................................................2
TotalHistorical Staffing - Graph ....................................................................................................................2
HistoricalStaffing Summary..........................................................................................................................3
HistoricalStaffing Detail ................................................................................................................................4
AppropriationsLimit.....................................................................................................................................13
BudgetGlossary..........................................................................................................................................14
Miscellaneous Statistics ..............................................................................................................................19
Service Area Population Information...........................................................................................................20
Index............................................................................................................................................................21
Reader's Guide to the Budget
Reader's Guide to the Budget • The Budget Process provides an overview of
the budget development process and budget
This guide is intended to help the reader calendar.
understand what information is available in the
budget and how it is organized. This budget • Budget Assumptions are decided on as a
document is broken down into ten sections foundation for developing the budget, and they
including a Budget Glossary and Index. The guide the District in determining the level of
Administrative Services Department invites your wastewater treatment services that will be
suggestions on ways to make the budget provided to the community.
document more understandable.
• Accounting Systems and Budgetary Control
The General Manager's Budget Message and a provides an overview of the District's
summary of the District's Core Values follow this accounting systems and the level at which
guide. The General Manager's budget message budgetary control is maintained.
introduces the budget to the reader.
Section 4-District Summary
Following is an explanation of the major sections This summary section is a comprehensive
of this budget: overview of the FY 2018-19 & FY 2019-20
Budget with a focus on all consolidated District
Section 1—Executive Summary funds. Included are tables and graphs for both
The Executive Summary highlights critical issues revenues and expenses.
and financial information regarding the District's
FY 2018-19 & FY 2019-20 Budget. Section 5— Operations Overview
This section is a comprehensive overview of the
Section 2—Introduction District's operating costs and related revenues for
FY 2018-19 and FY 2019-20. The District's
• Financial Overview and Budget Issues -This operations include collection, treatment, and
section highlights the issues impacting the disposal activities. Tables are included for
FY 2018-19 & FY 2019-20 Budget. revenues and expenses to assist the reader in
interpreting the data.
Section 3—Policies and Practices
Section 6— Operating Divisions
• Fiscal Policies describe the District's financial This section includes operating programs for the
goals along with policies addressing the District's basic organizational units which provide
operating budget; revenues and expenses; collection and essential wastewater treatment
service fees; capital improvement program; services to the community. Divisional budgets
long-and short-term debt; reserves; are presented in the following format:
investments; and accounting, auditing and
financial reporting. • Organization Chart-An organization chart by
position is provided for each division.
• GFOA Recommended Practices lists all of the
Accounting, Auditing, and Financial Reporting; • Authorized FTE Positions-The total number
Cash Management; Governmental Budgeting of full-time equivalent positions assigned to
and Fiscal Policy; Debt Management; and each division is included in this table.
Retirement and Benefits Administration
practices that are recommended by the • Staffing Trends-A multi-year staffing trend
Government Finance Officers Association of chart is provided to show the changes that
the United States and Canada. Included within have occurred in each division over time.
this list of best financial practices for states and
local governments is the District's status as to • Service Description -A description of the
whether we are in compliance, in progress services or functions provided by each division.
towards compliance, or whether the practice is
applicable to this agency. • 2017-18 Performance Objectives -This
section represents the objectives defined by the
division for the previous fiscal year.
i
2018-19 & 2019-20 Budget
• 2017-18 Performance Results -A summary of
major accomplishments and objectives that Section 10—Appendix
were actually met during the previous fiscal
year. Staffing - Includes charts of staffing by
department and category, charts of the
• 2018-19 &2019-20 Performance Objectives - historical staffing by department, a historical
A list of projected goals to be accomplished summary and detail schedules of authorized
during the 2018-19 and 2019-20 fiscal years. positions and full-time equivalent employees by
department and by division.
• Performance Measures -A listing of the
measures that will be used to evaluate the • Appropriations Limit-The calculation of the
success of the budgeted fiscal years. District's California Constitutional appropriation
limit.
• Budget Overview-This section provides an
overview of changes from the FY 2017-18 • Budget Glossary
Budget to the FY 2018-19 & FY 2019-20
Budget. Additionally, the significant impacts of • Miscellaneous Statistics
budgetary changes are outlined along with
dollar amounts. • Service Area Population Information
• Expenses by Category-A chart comparing • Index
the FY 2016-17 actual expenses and the
FY 2017-18 budgeted and projected expenses
against the proposed budget for FY 2018-19 &
FY 2019-20. The percent change from the
FY 2017-18 Budget compared to the FY 2018-
19 Budget is also included.
• Expenditure Trends-This graph provides a
multi-year historical trend of divisional
expenses.
Section 7-Self-Insurance Program
This section presents an overview of the self-
insurance program, including program
descriptions and revenue and expense detail.
Section 8- Capital Improvements
This section of the budget gives an overview of
the District's Capital Improvement Program (CIP),
CIP project summaries, and detailed CIP project
sheets. The project sheets outline project
descriptions, project location, project type,
projected costs, and funding sources.
Section 9-Debt Financing Program
This section describes the District's Debt
Financing Program including a listing of the
outstanding debt issues, a description of the
purpose of each issue, a debt service retirement
schedule, and Debt Service Requirements,
including principal and interest, over the life of the
outstanding debt issues.
ii
OCSD Board of Directors
Orange County Sanitation District Board of Directors
AGENCY/CITIES ACTIVE DIRECTOR
Anaheim Denise Barnes
Brea Glenn Parker
Buena Park Fred Smith
Cypress Mariellen Yarc
Fountain Valley Steve Nagel
Fullerton Greg Sebourn
Garden Grove Steve Jones
Huntington Beach Erik Peterson
Irvine Donald P. Wagner
La Habra Tim Shaw
La Palma Peter Kim
Los Alamitos Richard Murphy
Newport Beach Scott Peotter
Orange Teresa Smith
Placentia Chad Wanke
Santa Ana Sal Tinajero
Seal Beach Ellery Deaton
Stanton David Shawver
Tustin Allan Bernstein
Villa Park Robert Collacott
Sanitary Water Districts
Costa Mesa Sanitary District(CMSD) James Ferryman
Midway City Sanitary District (MCSD) Charlie Nguyen
Irvine Ranch Water District(IRWD) John Withers
Yorba Linda Water District(YLWD) Phil Hawkins
County Areas
Member of the Board of Supervisors Michelle Steel
iii
2018-19 & 2019-20 Budget
Board Committees
STEERING COMMITTEE OPERATIONS COMMITTEE
Greg Sebourn, Board Chair John Withers, Chair
David Shawver, Board Vice-Chair Ellery Deaton, Vice-Chair
Chad Wanke, Chair, Administration Committee Denise Barnes
John Withers, Chair, Operations Committee Allan Bernstein
Ellery Deaton, Member-At-Large Robert Collacott
Tim Shaw, Member-At-Large Phil Hawkins
Donald P. Wagner, Member-At-Large Steve Jones
Scott Peotter
Tim Shaw
ADMINISTRATION COMMITTEE Fred Smith
Chad Wanke, Chair Michelle Steel
Donald P. Wagner, Vice-Chair Mariellen Yarc
James Ferryman Greg Sebourn, Board Chair
Peter Kim David Shawver, Board Vice-Chair
Richard Murphy
Steve Nagel
Charlie Nguyen LEGISLATIVE AND PUBLIC AFFAIRS COMMITTEE
Glenn Parker Greg Sebourn, Board Chair
Erik Peterson David Shawver, Board Vice-Chair
Teresa Smith Allan Bernstein, Member-At-Large
Sal Tinajero Peter Kim, Member-At-Large
Greg Sebourn, Board Chair Donald P. Wagner, Member-At-Large
David Shawver, Board Vice-Chair Chad Wanke, Member-At-Large
John Withers, Member-At-Large
iv
District's Organizational Chart
OperationsGeneral
Manager
Assistant Assistant
General General
Manager Manager
General Human Administrative Environmental
Managees office Resources Services Services &Maintenance
as
General Human Resources Administrative Environmental Engineering Operations&
Management Administration Services Services Administration Maintenance
Administration Risk Management/ Financial Administration Planning Administration
Board Services Safety/Security Management Resource Project Collection
Contracts, Protection Management Facilities
Public Affairs Purchasing& Laboratory, Office Operations&
Materials Monitoring& Maintenance
Management Compliance Civil&Mechanical Fleet Services
Information Engineering Plant No.1
Technology Electrical& Operations
Control Systems Plant No,2
Engineering Operations
Plant No.1
Maintenance
Plant No.2
Maintenance
Maintenance
Reliability&
Planning
V
2018-19 & 2019-20 Budget
Administrative Officials
Departments
General Manager James Herberg
Assistant General Manager Robert Ghirelli
Assistant General Manager and Director of Engineering Robert Thompson
Director of Environmental Services James Colston
Director of Finance and Administrative Services Lorenzo Tyner
Director of Human Resources Celia Chandler
Director of Operations and Maintenance Edward Torres
General Counsel Bradley Hogin
vi
Serving. Orange County Sanitation District
10844 Ellis Avenue, Fountain Valley, CA 92708
Anaheim 714.962.2411 1 www.ocsd.com
Brea
Buena Park June 1, 2018
Cypress
Fountain Valley
Fullerton Honorable Chair and Board Directors:
Garden Grove I am pleased to submit the Orange County Sanitation District's (OCSD) Proposed
Budget Update for fiscal years 2018-2019 and 2019-2020. This document lays out the
Huntington Beach framework of OCSD's activities during the next two years, and serves as a source of
information for OCSD's Board of Directors, our ratepayers, and our employees. This
Irvine budget includes the operational, capital and debt service expenditures necessary to
La Habra cost-effectively support our mission and execute the Strategic Plan adopted by our
Board of Directors. Our work plan for the next two years focuses on:
La Palma
• Succession Planning/Restructuring — In anticipation of the retirement of our
Los Alamitos Assistant General Manager we have reevaluated our organization to improve and
Newport Beach streamline the management structure to best position ourselves for the future. A
second Assistant General Manager position was established with responsibility for
Orange the Operations and Maintenance (O&M) and Engineering Departments. Upon the
retirement of the existing Assistant General Manager in August 2018, his
Placentia replacement will begin overseeing the Finance &Administrative Services and
Santa Ana Environmental Services departments. With this restructuring in place we expect
better coordination between departments and the overall Executive Management
Seal Beach Team will be streamlined with one less filled position.
Stanton . Infrastructure Reliability and Asset Management— OCSD's infrastructure must
Tustin operate continuously day and night. Reliability must be built into all that we do and
that includes managing the condition of our$10 billion in assets to ensure they are
Villa Park running effectively. The O&M and Engineering Departments will work together
planning and coordinating near term maintenance activities, major refurbishments
County of Orange and replacements. These maintenance efforts reflect a $6 million dollar increase in
Repairs and Maintenance in this Operating Budget. In addition to all of the
Costa Mesa maintenance and repair work, we will review our preventative maintenance Tans
Sanitary District p p p
and schedules for accuracy and effectiveness. Improved maintenance plans will
Midway City provide a more accurate picture of the resources required to complete all
Sanitary District preventive maintenance for OCSD assets and will enable us to optimize our
Irvine Ranch staffing resources.
Water District
Yorb • Operational Optimization — OCSD continues to find innovative and efficient ways to
WaWaterter District Linda do our work. A new administrative headquarters facility is being designed to bring
together employees who are currently located in various trailers and offices. To
reduce the need for storage space for paper records, a trusted digital system is
OJNZV SANIryTO being implemented to maintain electronic records and speed up locating and
20 processing of documents. Also, the cost of biosolids hauling will be reduced by
P using centrifuges to dewater our biosolids and produce a drier product.
9oTFCr/NN THE
Our Mission: To protect public health and the environment by
providing effective wastewater collection, treatment, and recycling.
vii
oJN1V SANITgT�Oy
Hon. Chair and Board Directors
9 June 1, 2018
o
Page 2
q h
THE EN • Expanded Water Recycling — In partnership with the Orange County Water District
(OCWD), our agency recycles enough water to supply the needs of 850,000
people. Having completed a joint feasibility study with OCWD for the ultimate
expansion of the Groundwater Replenishment System (GWRS), the two agencies
will now embark on construction projects that will increase water recycling for an
additional 250,000 people. This expansion will ensure that a potential resource
once lost to the ocean will now supply water for over one million people in north
and central Orange County.
• Energy Resource Recovery - The State of California mandates that local
jurisdictions reduce the amount of organic material entering landfills by 75 percent
by 2025. With anaerobic digestion facilities already in place, OCSD can help the
state meet its goals by receiving food waste to be co-digested with our solids to
increase biogas and energy production. OCSD has plans to construct interim and
permanent food waste receiving facilities at Plant No. 2 in Huntington Beach.
• Safety and Security— Capital projects, maintenance activities, drafting of an
implementation plan for a Voluntary Protection Program Certification, and training
to address safety in our workplace are included in this budget, as are
enhancements to our physical, electronic, and cyber security infrastructure.
While addressing rising treatment and chemical costs, aging infrastructure, and increased
regulatory requirements, this budget displays our commitment to efficiency as it includes
only minimal staff cost increases; and rate increases averaging only about 1 percent per
year.
OCSD will continue to provide wastewater treatment, recycling, sewer and facilities
maintenance, ocean monitoring and many other services while keeping rates among the
lowest in California. This budget fully supports the goals and level of service included in
the Orange County Sanitation District's Strategic Plan and positions us well to
proactively manage in the coming years.
/;��w 4j--e
James D. Herberg
General Manager
Orange County Sanitation District
viii
Mission, Vision and Core Values
ORANGE COUNTY SANITATION DISTRICT CORE VALUES
MISSION STATEMENT
The Mission Statement is the basic foundation that defines why the Orange County Sanitation District exists.
"To protect public health and the environment by providing effective wastewater collection, treatment, and recycling."
VISION STATEMENT
The Vision Statement supports the Mission Statement by expressing a broad philosophy of what the Orange
County Sanitation District strives to achieve now and in the future in the delivery of services to our customers,
vendors, other agencies, the general public and each other.
"ORANGE COUNTY SANITATION DISTRICT WILL BE A LEADER IN:
• Providing reliable, responsive and affordable services in line with customer needs and expectations.
• Protecting public health and the environment utilizing all practical and effective means for
wastewater, energy, and solids resource recovery.
• Continually seeking efficiencies to ensure that the public's money is wisely spent.
• Communicating our mission and strategies with those we serve and all other stakeholders.
• Partnering with others to benefit our customers, this region, and our industry.
• Creating the best possible workforce in terms of safety, productivity, customer service, and training."
Core Values
The Core Values support the Mission and Vision Statements by expressing the values, beliefs, and philosophy
that guides our daily actions. They help form the framework of our organization and reinforce our professional
work ethic.
• HONESTY, TRUST and RESPECT
We aspire to the highest degree of integrity, honesty, trust, and respect in our interactions with each other,
our suppliers, our customers, and our community.
• TEAMWORK and PROBLEM SOLVING
We strive to reach OCSD goals through cooperative efforts and collaboration with each other and our
constituencies. We work to solve problems in a creative, cost-effective and safe manner, and we
acknowledge team and individual efforts.
• LEADERSHIP and COMMITMENT
We lead by example, acknowledging the value of our resources and using them wisely and safely to achieve
our objectives and goals. We are committed to act in the best interests of our employees, our organization,
and our community.
• LEARNING/TEACHING -Talents, Skills and Abilities
We continuously develop ourselves, enhancing our talents, skills, and abilities, knowing that only through
personal growth and development will we continue to progress as an agency and as individuals.
• RECOGNITION/REWARDS
We seek to recognize, acknowledge and reward contributions to OCSD by our many talented employees.
ix
2018-19 & 2019-20 Budget
This page was intentionally left blank.
X
EXECUTIVE SUMMARY
SECTION 1
Executive Summary
This FY 2018-19 and FY 2019-20 budget represents $3.1 billion for active and future projects identified
a consolidation of two one-year proposed operating within the recently completed Annual CIP Validation
and capital budgets. The District's FY 2018-19 Process.
operating and capital improvement budget is
proposed at $422.3 million, a 9.5 percent increase Cost to Collect, Treat and Recycle One
over the prior year budget of $385.6 million. This Million Gallons
overall increase is primarily attributable to an increase
of$26.4 million in net CIP Outlay, and $9.3 million in $3,000
operating costs. $z 500 $2,ai3 $z,39a
$2,110 $2,055 $2,125
The District's FY 2019-20 operating and capital $2,000$1,500 .
improvement budget is proposed at$383.2 million, an
9.3 percent decrease from the FY 2018-19 proposed $1,000
budget. This overall decrease is mostly comprised of 15-16 16-17 17-18 18-19 19-20
a $37.5 million, or 21.5 percent net decrease in cash Actual Actual Projected Budget Budget
outlays for construction projects. The fluctuation in
capital outlay requirements over the next two years is The District has a variety of revenue sources
attributable to the timing of the construction schedule available to fund its operating and capital outlay
on the implementation of the overall combined ten- requirements. As shown in the table below, the
year, $2.7 billion CIP. District's major funding resources come from sewer
The table below summarizes the District's funding service fees and property taxes:
requirements: Funding Sources by Category
Funding Requirements by Category (in millions)
(in millions) 2016-17 2017-18 2018-19 2019-20
Category Actual Budget Proposed Proposed
2016-17 2017-18 2018-19 2019-20 Beginning Reserves $569.5 $531.5 $630.0 $678.6
Category Actual Budget Proposed Proposed
Service Fees 300.0 310.2 318.0 320.5
Capital Improvement Program $139.7 $148.1 $174.5 $137.0
Property Taxes 85.7 93.7 99.6 104.5
Operating Expenses 143.4 154.3 163.6 162.7 Permit User Fees 14.2 12.9 18.3 18.5
Debt Service* 180.4 82.0 80.5 80.0 Capital Capacity Charges 15.6 9.9 14.0 14.5
Intradistrict Transfers 21.7 1.2 3.7 3.5 Interest 4.2 8.4 6.5 7.2
Total Outlays 485.2 385.6 422.3 383.2 Intradistrict Transfers 21.7 1.2 3.7 3.5
Ending Reserves 531.5 589.1 678.6 773.3 Debt Proceeds 0.0 0.0 0.0 0.0
Total Funding Uses $1,016.7 $974.7 $1,100.9 $1,156.5 Other Revenue 5.8 6.9 10.8 9.2
*The fiscal year 2016-17 debt service amount includes a payment of$39.1 million Total Funding Sources $1,016.7 $974.7 $1,100.9 $1,156.5
against the District's unfunded pension liability and a payment of$41.5 million to the
East Orange County Water District as part of an agreement to transfer responsibility for Budget Overview
local sewer maintenance. The agency's two treatment plants, located in
Fountain Valley and Huntington Beach, process a
This FY 2018-19 and 2019-20 budget continues to combined 185 million gallons of wastewater each day
reflect the agency's ongoing efforts to streamline generated by approximately 2.6 million people in
operations. Staffing levels are being proposed at central and northwest Orange County.
636.0 full time equivalent(FTE)positions,an increase The FY 2018-19 proposed budget to operate,
of 1.0 FTE position,or 0.2 percent over the 635.0 FTE
staffing level that was approved for FY 2017-18. maintain and manage our sewage collection,
treatment and disposal system is $161.2 million, a
Additionally, service level increases in ocean decrease of 6.1 percent, or$9.3 million,from the prior
monitoring, discharge and treatment, water year budget.
reclamation and conservation, urban runoff
diversions, biosolids management, CIP expansion, Property and liability insurance premiums are
proposed to decrease $0.8 million, or 38.4 percent,
and aging infrastructure costs have resulted in a
corresponding increase in cash flow requirements. due the drawdown of excess reserves accumulated
Considering the CIP alone, the $174.5 million in prioor years.
approved CIP outlay for FY 2018-19 is part of the
Section 1 - Page 1
2018-19 & 2019-20 Budget
Overhead cost allocation out to the CIP has been to the scheduled overhaul of only one central
increased by$0.7 million, or 3.5 percent based on an generation engine at Plant No. 2.
updated District-wide full cost allocation plan.
Combined utilities costs for natural gas, electricity, Utilities are proposed to increase $1.6 million, or
and water are proposed to decrease $0.5 million, or 27.1 percent in FY 2019-20. This increase is primarily
5.8 percent, due to increased operational efficiencies. due to expected increases in electricity power usage
associated with the sludge dewatering and odor
Somewhat offsetting these positive impacts on control facilities anticipated to be operational in the
operating costs, repairs and maintenance costs are spring of 2019.
proposed to increase $5.8 million or 36.2 percent.
This increase is mostly attributable to increases in The cost per million gallons of wastewater treated, an
basic repairs and maintenance costs including the industry-wide performance measurement is expected
to increase in fiscal year 2018-19 to $2,413, a $288,
scheduling of digester cleanings at an estimated cost
of $1.1 million each and central generation engine or 13.6 percent increase over the prior year budget of
overhauls at an estimated cost of$1.3 million each. $2,125, and then decrease in fiscal year 2019-20 to
$2,398, a $15, or 0.6 percent decrease from the
Personnel costs are budgeted to increase FY 2018-19 proposed budget. The 13.6 percent
$2.6 million, or 2.8 percent, primarily due to the increase in FY 2018-19 is primarily due to the budget
increase in budgeted salaries and wages in increase and the projected decrease in wastewater
accordance with previously approved labor flows through the treatment system from the FY 2017-
agreements. 18 budget of 185 million gallons per day (MGD) to
Lastly,the District will recognize a$1.5 million loss on 183 MGD projected for FY 2018-19, or a decrease of
1.1 percent. Wastewater flows have an inverse
the disposal of obsolete inventory as part of its effort relationship to the cost per million gallons; the lower
to improve warehouse efficiency. the flows, the higher the cost. Wastewater flows are
The FY 2019-20 proposed operating budget is expected to remain flat at 183 MGD in fiscal year
$160.2 million, a decrease of $1.0 million, or 2019-20.
0.6 percent over the FY 2018-19 proposed budget. The District's Capital Improvement Program (CIP)net
Personnel costs are proposed to increase cash flow budget for FY 2018-19 is$174.5 million, an
$2.2 million, or 2.3 percent increase due primarily to increase of$50.2 million from the prior year estimated
a $1.2 million, or 1.6 percent increase in salaries. total. The CIP cash flow budget for FY 2019-20 is
Group medical cost is increasing $736,100, or $137.0 million, a decrease of $37.5 million from the
6.8 percent. Staffing is being proposed to remain FY 2018-19 proposed CIP cash flow. This CIP two-
unchanged from the 636.0 FTE positions proposed year cash flow budget finances collection system,
for FY 2018-19. joint treatment works and disposal system
improvement projects. These CIP cash flows are
Repairs and maintenance costs are being proposed attributable to the additional infrastructure needs
to decrease$2.4 million or 11.0 percent, primarily due identified in the 2017 Facilities Master Plan and in the
2018 validation of the CIP.
FY 2018-19
Uses of Funds Source of Funds
-- --- _ Interest
&Misc
Capital Property
Facilities J Taxes
r
j'
Operations V
Debt �' Fees
Service
Section 1 - Page 2
Executive Summary
How Resources Are Used
District resources are used to fund the cost of providing wastewater collection, treatment and recycling service,
including employees' salaries and benefits, debt service, capital improvements and the cost of self-insurance.
Summary of Operating & Maintenance
Expenses
Collections, Treatment& Recycling Operations
2016-17 2017-18 2018-19 2019-20
Actual Budget Proposed Proposed
Salaries, Wages & Benefits $91,604,774 $93,361,330 $95,992,800 $98,189,100
Administrative Expenses 1,842,155 2,026,550 2,007,530 1,906,030
Printing & Publication 266,648 403,900 316,890 317,410
Training & Meetings 943,824 1,252,320 1,097,080 988,400
Operating Materials & Supplies 14,863,560 15,724,300 15,762,740 18,877,840
Contractual Services 23,711,308 24,489,090 25,206,520 22,055,550
Professional Services 3,528,669 5,125,990 5,393,480 4,602,370
Research & Monitoring 892,313 889,400 1,061,200 1,099,600
Repairs and Maintenance 14,797,760 15,945,110 21,715,360 19,321,260
Utilities 6,118,857 7,898,590 7,439,800 9,028,600
Other Materials, Supplies & Services 2,369,297 4,181,660 5,250,190 4,196,820
Cost Allocation -CIP (20,137,574) (19,394,560) (20,070,430) (20,378,610)
Net Operating &Maintenance Expenses $140,801,591 $151,903,680 $161,173,160 $160,204,370
Facilities Planning Wastewater Recycling
In December 2017, the 2017 Facilities Master Plan In partnership with the Orange County Water District
was adopted by the Board of Directors to define the (OCWD), our agency recycles enough water to
District's goals, responsibilities, and requirements supply the needs of 850,000 people. Recognizing the
over the next twenty years. It includes projections need for a reliable, affordable and high quality water
through the assumed "build-out" of the District's supply, the District's Board of Directors set a goal of
service area to beyond the year 2037. This update to recycling 100 percent of all wastewater flows. The
the October 1999 Facilities Strategic Plan was District has committed 168,000 acre-feet per year of
necessary because many of the assumptions used secondary effluent to the OCWD's Groundwater
then have now changed. Critical factors such as Replenishment System (GWRS)for replenishment of
population growth, new construction, the volume of the Orange County Groundwater Basin. The District
wastewater delivered to the plants and viable water will be working with OCWD on the planning and
conservation and reclamation programs have been design of the final expansion of the Groundwater
reevaluated. Replenishment System over the next two years.
The FY 2018-19 proposed cash flow budget of Sewer Service Fee Increases
$174.5 million is part of the overall CIP budget of In March of 2018, the Board approved rate increases
$3.1 billion for active and future projects identified for each year over the next five years. These
within the recently completed Annual CIP Validation increases are necessary for compliance with the
Process. District's debt fiscal policy of balancing the funding of
new capital improvements with current revenues and
Section 1 - Page 3
2018-19 & 2019-20 Budget
existing debt, and to minimize the increase in rates the Five-Year Strategic Plan and, as part of the
over an extended period of time. strategic planning process, reaffirmed the following
goals:
The impact of this five-year sewer fee schedule has
increased the single family residence user fee rate, • Odor Control Master Plan — Future process
on average, 1.2 percent a year from $335 in systems will produce the benefits intended.
FY 2018-19 to $351 in FY 2022-23. These rate
increases by the District are still well below the • Future Biosolids Management Options —
average annual sewer rate of $529 being charged Develop biosolid disposal options, including
throughout the State according to the 2016-17 third-party contracts and onsite capital facilities,
California Wastewater Charge Survey by the State for mid and long-term strategies.
Water Resources Control Board.
• Energy Efficiency — Research new energy
Staffing efficiency and conversion technologies to
Authorized staffing levels are being proposed at maximize energy efficiency, reduce operating
636 FTE positions over the next two-fiscal years, one costs, and minimize environmental impact.
FTE position higher than the approved staffing level
for FY 2017-18. However, staffing is still 42 FTE • Ownership Transfer of Local Sewers —
positions below the agency's all time high of 678 Complete the transfer of 174 miles of local
positions approved in FY 1995-96. sewers to a local sewer agency.
The District budgets staffing levels by FTE positions . Future Water Recycling — Determine
to provide a realistic estimate of actual staffing levels partnerships, needs, strategies, and the cost vs.
since not all employees are full-time employees. The benefit of recycling of Plant No. 2 effluent water.
part-time positions are funded at 1,040 hours. Part-
time employees receive a prorated share of . Workforce Planning and Development — An
personnel benefits. The reductions from fiscal year ongoing workforce planning and development
1995-96 are a result of this agency's effort in striving initiative to ensure that the District has the right
to provide wastewater treatment as efficiently and people with right skills and abilities, in the right
effectively as possible while reducing operational and place.
maintenance costs to more closely match those
agencies that are "best in class" for wastewater This Strategic Plan continues to chart a focused
treatment facilities. roadmap of success for the future of the District. It
addresses critical operations and construction issues,
Strategic Planning financial and budgeting challenges, and gives a clear
In December 2015,the Strategic Plan was updated to and concise direction to staff, ratepayers, regulatory
cover a new five-year horizon. Following a similar agencies, and the general public.
process used in the prior year updates, the General
Manager's Office initiated the planning effort with the
Executive Management Team, then solicited input
and ideas from managers and supervisors.
In December 2015, the staff-generated ideas were
presented to the Board of Directors during a
workshop, where Board Members discussed and
deliberated changes and additions to the plan.
Driven by our Mission, Vision and Core Values, this
Strategic Plan continues the District's aggressive
efforts to meet the sanitation, health, and safety
needs of the 2.6 million people we serve while
protecting the environment where we live.
Since implementation of the first strategic plan in
2007, 40 strategic goals have been established and
completed. In December 2015, the District updated
Section 1 - Page 4
INTRODUCTION
SECTION 2
Financial Overview & Budgetary Issues
Financial Overview and Budgetary Issues
This section of the budget is a financial overview and Budget Comparison
an outline of issues affecting the development of the (in millions)
budget, as listed below: $200 $175
$150$161 $160 $148
$137
• Proposed Consolidated Cash Flow Budget
• Proposed Operating Budget $100 $sz $so $ao
• Proposed Net Capital Improvement Outlay
• Debt Service Requirements
• Sewer Service Fees & Property Tax Revenues $0
• Budget Highlights Operations Capital Debt Svc./LTLiab.
gImprovements
• Individual Collection System
• Reserves ■17-18 Budget ❑18-19 Proposed ❑19-20 Proposed
• Staffing Levels Proposed Operating Budget
• Business Plan The Operating program accounts for the costs to
• OCSD Long-Term Planning Process operate, maintain, and manage the District's two
• OCSD Fiscal Policies treatment plants, with a secondary treatment design
• GFOA Best Practices and Advisories capacity of 332 million gallons a day, and the
396 miles of collection systems. All the personnel
Proposed Consolidated Cash Flow Budget costs for the District are initially recorded as an
The total proposed cash flow budget for FY 2018-19 Operating cost. Costs chargeable to the capital
is $422.3 million, a 19.1 percent increase over the improvement program are allocated for the work
prior year total cash flow budget of $354.7 million. done through a job cost system. These charges are
The total proposed cash flow budget for FY 2019-20 shown as reductions in the line item Operating
is $383.2 million, a 9.3 percent decrease from the program budget. Costs remaining in the Operating
total proposed cash flow budget for FY 2018-19. The program are ultimately allocated to the two individual
increase in FY 2018-19 in comparison to the prior revenue areas that make up the District, the
year is primarily due to an increase of$51.7 million Consolidated Revenue Area and Revenue Area 14,
in Capital Improvement Program and Future based on flows.
Rehabilitation and Replacement Capital Outlay
resulting from an increase in construction activity on Operational cost, comprised of collections,treatment
projects such as Newhope-Placentia Trunk plant, recycling operations and maintenance, and
Replacement (2-72), as well as an unusually high administration are projected to come in under budget
level of design expenditures associated with projects for FY 2017-18 Budget by $8.3 million, or
that will be in construction starting in 2020 such as 5.4 percent. The FY 2018-19 Budget is being
Headworks Rehabilitation and Expansion (P1-105), proposed with an increase of $9.3 million or
Primary Treatment Rehabilitation at Plant 2 (P2-98), 6.1 percent from the prior year budget, and the
Rehabilitation of Western Regional Sewers (3-64), FY 2019-20 Budget is being proposed with a
and the Headquarters Complex (P1-128). decrease of $1.0 million, or 0.6 percent over the
FY 2018-19 Proposed Budget.
The following table shows the comparisons of the
FY 2017-18 Budget, and the FY 2018-19 and Operations Budget Comparison
FY 2019-20 Proposed Budgets by major budget (in millions)
category: $200.0
$149.9 $161.2 $160.2
$150.0 $143.6
$100.0
$50.0
$0.0
19
■17-18 Budget❑17-18 Projected 018-19 Proposed ❑19-20 Proposed
Section 2—Page 1
2018-19 & 2019-20 Budget
Analysis on the year-to-year change is provided from FY 2017-18 Projected 012eratong Expense vs.
three perspectives. First, the FY 2017-18 Budget is FY 18-19 Proposed O en rating Budget
compared to the FY 2017-18 year-end projections. The FY 2018-19 Operating Budget is a$17.6 million,
Secondly, the FY 2017-18 year-end projections are or 12.2 percent increase over the FY 2017-18
compared to the FY 2018-19 Proposed Budget, and projected operating requirements. Increases in the
lastly,the FY 2018-19 Proposed Budget iscompared proposed operating requirements are primarily
to the FY 2019-20 Proposed Budget. attributable to increases in salaries, wages and
benefits, repairs and maintenance, contractual and
FY 2017-18 Operations— Budget vs. Projected professional services.
As depicted by the chart above, operating expenses
are projected to come in under the FY 2017-18 Personnel costs are being proposed at $5.6 million,
Budget by $6.3 million, or 4.2 percent. The major or 6.2 percent increase over the prior year projection
categories that comprised most of the underage mainly due to cost of living adjustments included in
include utilities, operating materials and supplies, the current Memorandums of Understanding for all
and other operating costs; as well as the overage in employee bargaining units. Group insurances
the costs being allocated out of the operating budget premiums are proposed to increase $0.9 million, or
to CIP. Somewhat offsetting these shortfalls includes 4.0 percent over the prior year projection primarily
an overage in contractual expense. due to an increase of medical insurance premiums.
Adding to the salaries increase is the addition of one
Utilities costs are expected to come in under budget new full time equivalent (FTE) staff position bringing
by$3.2 million,or 31.3 percent primarily due to a new the proposed total FTE count in FY 2018-19 and
operating strategy implemented to reduce utility- 2019-20 to 636.0 FTEs.
provided electricity; and electricity and natural gas
commodity costs lower than projected in the budget. Fuji Time Equivalent(FTE)start
Operating materials and supplies are expected to GM 14
come in under budget by$2.5 million,or 14.3 percent 14
primarily due to a decrease in price per unit of Human 27
peroxide and decreased usage from optimization Resources 27
and new bio scrubbers at Plant No.1 Headworks Administrative 100
(Project P1-123) that capture and treat larger Svcs. 100
volumes of foul air. Environmental 91
Svcs. 91
Other operating costs are expected to come in under Engineering 116
budget by $1.9 million, or 6.7 percent due primarily 116
to decreased waste discharge requirements /sewer O&M 1 288
system management plan audit that is done every 288
two years for OCSD's collection systems, and the 0 100 200 300 400
unneeded and unspent budgeted contingency and FY 18-19 ■FY 19-20
prior year re-appropriation funds totaling$0.4 million. Total 636 FTEs Total 636 FTEs
Increased cost allocation out to CIP is expected to Contractual services and professional services are
enhance these operating savings by $0.9 million, or proposed to increase $0.9 million, or 3.7 percent;
4.6 percent due to the overall increase in CIP and $1.5 million, or 38.4 percent; respectively due
outlays. primarily to increasing support for the Civil Assets
Maintenance Program, new coating program,
Contractual expenses are expected to exceed the preventive maintenance optimization services, and
FY 2017-18 Budget by $1.7 million, or 7.5 percent engineering professional and design services.
primarilydue to manhole repairs and rehabilitation,
industrial cleaning services and CCTV inspections, Repairs and maintenance costs are proposed to
assessment services related to the Comprehensive increase $6.0 million or 38.2 percent over the prior
Assets Management Program (CAMP), and odor year projection. Major changes from year-to-year are
control and emergency line repair services. basically from the timing of when large facilities are
scheduled for maintenance. During FY 2018-19, two
central generation engines are scheduled for
overhaul at an estimated cost of $3.8 million and
Section 2—Page 2
Financial Overview & Budgetary Issues
major rehabilitation of primary and secondary Proposed Net Capital Improvement Outlay
clarifiers and both plants is planned for$1.6 million. Proposed capital improvement outlays approximate
In addition, new, increased scope for electrical one-third of the overall proposed budget and provide
services in the process areas and rehabilitation of for the rehabilitation, replacement, expansion and
generators is planned as well as specialized lighting upgrades of facilities at the two treatment plants,
and HVAC services. including the utility systems, administrative facilities,
and the ocean disposal system, and the
FY 2019-20 Proposed Operations Budget vs. rehabilitation, replacement and expansion of the 396
FY 2018-19 Proposed Operations Budget miles of the collection system and off-site pump
In FY 2019-20, the second year of this two-year stations.
operating budget, staff is proposing a 0.6 percent, or
$1.0 million increase over the FY 2018-19 proposed The net CIP outlay has been prepared under
operating requirements. Increases in the proposed assumptions included in the Facilities Master Plan
operating requirements are primarily attributable to adopted by the Board of Directors in December 2017
increases in personnel costs, operating materials and in accordance with the Board approved 2015
and supplies, and utilities. Five-Year Strategic Plan Update.
Personnel costs are being proposed at a 2.2 percent, The projected outlay for the CIP is expected to reach
or $2.2 million increase in FY 2019-20 over the 83.0 percent of FY 2017-18 budget, or
FY 2018-19 Proposed Budget. This increase is $124.3 million. The proposed net CIP outlays for
mostly attributable to the cost of living adjustments in FY 2018-19 and FY 2019-20 are $174.5 million and
salaries based on existing bargaining unit $137.0 million, respectively, and are part of an
agreements, and an increase of group medical overall 20-year CIP outlay of $5.5 billion for all
insurance premiums. Staffing position is proposed to planned active and future projects,as well as outlays
remain at 636.0 FTEs. allotted for future rehabilitation and replacement of
the District's aging assets and systems.
Operating materials and supplies are being
proposed to increase $3.1 million or 19.6 percent, There are four key drivers that lead to CIP projects:
primarily due to Sludge Dewatering and Odor Control (1) Rehabilitation and Replacement; (2) Additional
(P1-101) centrifuges that will start up at the Capacity;(3)Regulatory;and(4)Strategic Initiatives.
beginning of the fiscal year, the additional cationic In December 2017, the Board of Directors adopted a
polymer usage for the dewatering centrifuges is new Facilities Master Plan to define the District's
required. In addition, the price per unit cost of goals, responsibilities, and requirements over the
chemical coagulants is projected to increase 3.0%. next twenty years. The Master Plan provides a
comprehensive analysis of the condition and
Contractual service costs are being proposed to capacity of the District's wastewater infrastructure. It
decrease $3.2 million or 12.6 percent, primarily due also evaluated the potential impacts due to
to Sludge Dewatering and Odor Control (P1-101) anticipated regulatory changes, and incorporated
centrifuges is projected to be in operation and solid recommendations from other recent master planning
cake will increase from 20% to 27% to reduce wet efforts, such as the Effluent Reuse Study, Biosolids
tons produced, solids removal costs. Master Plan, and Odor Control Master Plan, to
create a Capital Improvement Program which
Repairs and maintenance costs are being proposed supports the District's mission over the next
to decrease$2.4 million or 11.0 percent, primarily due 20 years.
to reduction in preventive maintenance services and
engine overhaul costs. As demonstrated by the chart below, the most
prevalent CIP project driver is to rehabilitate and
Utilities are proposed to increase $1.6 million, or replace aging assets. The District is now facing a
21.6 percent in FY 2019-20. This increase is due to time when dry weather influent flows have decreased
increased requirement for imported electricity and discharged regulations have stabilized. Much of
resulting from the start-up of dewatering centrifuges. the capital improvement costs will be focused on
FY 2019-20. asset management, rehabilitation, and replacement
of aging infrastructure.
Section 2—Page 3
2018-19 & 2019-20 Budget
FY 2018-19 Net CIP Outlays by proposed project budgets of $199.5 million and
Project Driver $90.5 million, respectively. Proposed cash outlays
for these two projects in FY 2018-19 and FY 2019-
20 are $12.2 million and $4.6 million and
Regulatory $13.4 million and $6.8 million, respectively. Other
10% treatment plant projects with significant cash outlays
over the next two years include Headworks
Additional Rehabilitation and Expansion at Plant No. 1 (Project
Capacity Rehabilation and No. P1-105) ($12.4 million and $7.5 million),
13% Replacement Headquarters Complex and Site Security at Plant
62% No. 1 (Project No. P1-128) ($10.5 million and
Strategic $9.6 million), and Ocean Outfall System
Initiatives Rehabilitation (Project No. J-117) ($7.4 million and
15% $18.1 million).
The Collection System Capital Program projected
outlay for FY 2017-18 is expected to reach
The proposed CIP includes 68 active and future 59.0 percent of the annual net CIP outlay of
capital projects, five programs, such as the Planning $35.9 million. The FY 2018-19 and FY 2019-20
Studies Program (M-Studies) and Small proposed CIP budget authorities for Collection
Construction Program (M-FE), and budget for capital System Improvement Projects are $33.4 million and
equipment purchases with a 10-year outlay of $36.0 million, respectively. These proposed
$2.67 billion. improvements are needed to keep the 396 miles of
collection systems free from failure.
The proposed 2018-19 CIP budget is organized by Three large projects in the Collection System include
treatment process. The funds requested for the the Rehabilitation of Western Regional Sewers
current cash flow budget total $191.8 million, an (Project No. 3-64), the Newhope-Placentia Trunk
increase of 14.9 percent over last year's cash flow Replacement(Project No. 2-72), and the Bay Beach
budget of$167.0 million. Pump Station Replacement (Project No. 5-67) with
The projected outlay for FY 2017-18 for Treatment total project budgets of $202 million, $112 million,
and Disposal Improvement projects is expected to and $64 million; and FY 2018-19 and FY 2019-20
reach 92.0 percent of the annual net CIP outlay of proposed cash outlays of $6.5 million and
$108.7 million. The FY 2018-19 and FY 2019-20 $6.6 million, $13.5 million and $9.3 million, and
proposed net CIP outlays for Treatment and $13.0 million and $3.6 million, respectively. The
Disposal Improvement projects are $137.6 million Capital Improvement Program is described in more
and $98.6 million, respectively. detail in Section 8 of this document.
Debt Service Requirements
CIP Program Net CIP Outlays The District's long-term debt fiscal policy restricts
(in millions) long-term borrowing to capital improvements that
$150 $137.6 cannot be financed from current revenue. Before any
$108.7 new debt is issued, the impact of debt service
$100 $99.8 $98.6 payments on total annual fixed costs will be
analyzed.
$50 $35.9 $33.4 $36.0
$21.1 The District issued the $80.0 million Wastewater
Revenue Obligation, Series 2010A in May 2010 and
$0 Treatment&Disp.System Collection System the $157.0 million Wastewater Revenue Obligation,
Series 2010C in December 2010, both as "Build
■17-18 Budget 1117-18 Projected 018-19 Proposed 1119-20 Proposed America Bonds" (BABs) fixed rate debt and the last
of the "new" money debt issuances. The American
Recovery and Reinvestment Act of 2009 created this
Large treatment system projects include Sludge new financing product, BABs, for the municipal
Dewatering and Odor Control at Plant No. 1 (Project issuer. BABs are issued as higher interest taxable
No. P1-101)and Plant No. 2(Project No. P2-92)with bonds; however, the U.S. Treasury provides a
Section 2-Page 4
Financial Overview & Budgetary Issues
35.0 percent subsidy on interest payments. The net Program. Revenue Area No. 14 is funded through
cost, after accounting for the 35.0 percent subsidy user fee charges to the IRWD. Sewer service fees
payment, frequently results in lower net costs to the are set annually by the District after a review of
issuer, specifically in the maturity years beyond ten projected needs.
years. Based on the market conditions at the time of
these issuances in comparing the back-loaded BABs In the fall of 2007, District staff conducted strategic
new money borrowing to a back-loaded tax-exempt planning workshops with the Board of Directors to lay
structure, Series 2010A resulted in present value out a capital program to deliver the levels of service
savings to the District of $15.2 million, as the debt desired by the Board of Directors. These levels of
was issued at an all-in true interest cost of service and resulting capital projects are included in
3.7 percent; and Series 2010C resulted in present the District's Five-Year Strategic Plan. This effort
value savings to the District of$20.0 million, as the was reinforced through the adoption of a new Master
debt was issued at an all-in true interest cost of Plan in December 2017, a planning effort to define
4.1 percent. the District's goals, responsibilities, and
requirements over the next twenty years. The 2017
On March 1, 2013, the federal government Facilities Master Plan defined a CIP consisting of
implemented certain automatic spending cuts known over 80 future infrastructure projects. Collectively,
as "the sequester". As a result of the sequester, these projects along with current active projects total
federal subsidy payments on BABs have been over $5 billion of CIP spending over the next
reduced annually from a high of 8.7 percent for the 20 years.
federal fiscal year ended September 30, 2013 to a
low of 6.6 percent for the federal fiscal year ended The 2017 Facilities Master Plan also included a
September 30, 2018. Wastewater Revenue Program Rate Study which
determined the appropriate rates going forward to
In January 2017, the District issued $66.4 million of support the proposed 20-year CIP.
Wastewater Refunding Revenue Obligations, Series
2017A to refund $91.6 million of Certificates of In March 2018, following a Proposition 218 notice
Participation, Series 2007A at a net present value process,the Board approved sewer rate increases for
savings of $14.5 million. As a result of having an each year over the next five years averaging
adequately funded reserves policy, experienced approximately 1.2 percent a year. These increases
management, and prudent planning, the District was are necessary to provide needed capital
again able to secure a "AAA" credit rating from Fitch improvements, to meet additional treatment and
Ratings, Moody's, and Standard and Poor's on this disinfection requirements, and to minimize future rate
latest debt issuance. increases.
This two-year budget proposes no additional new The impact of this five-year sewer fee schedule has
money debt issuances as the $2.7 billion in future increased the single-family residence user fee rate,
replacement, rehabilitation, and refurbishment the underlying rate for all sewer service user fees,an
projects anticipated over the next ten years will be average of 1.2 percent a year from $335 in FY 2018-
adequately funded through current sewer service fee 19 to$351 in FY 2022-23.
charges and existing reserves.The FY 2018-19 debt
service requirements are proposed at $80.5 million, Comparison of Single Family Residential Rates
a decrease of $1.5 million, or 1.8 percent from (July 2017)
FY 2017-18 projected. Total Debt Service $eoo s3
requirements for the second year of this two-year S600 -
budget will fall to $80.0 million, a $0.5 million or $700 -
0.6 percent decrease. > $600 .
The District's Debt Financing Program is described $500
in more detail in Section 9 of this budget. 0 5400 $331
0
$300 - ❑ m
Sewer Service Fees
The Consolidated Revenue Area has an adopted $2� $163 v g -
❑ � ❑ ? - m � � o y o o �
Sanitary Sewer Service Fee to provide funding for $100 g o LL W o N
operating the sewer systems in accordance with the $0
Clean Water Act and the District's Revenue
Section 2—Page 5
2018-19 & 2019-20 Budget
Even with these increases, the OCSD rates are still
well below the average annual sewer rate of $529 COP Funding Requirements being charged throughout the State according to the Property Tax Funding Source
2017 California Wastewater User Charge Survey $105,000,000
conducted by the State Water Resources Control $95,000,000
Board. $85,000,000
$75,000,000
In FY 1997-98, the District's Rate Advisory $65,000,000
Committee, made up of elected city officials, $55,000,000
community, business and industry leaders, and $45,000,000 /
District staff analyzed the District's rate structure to $35,000,000
determine whether user fees were equitable among $25,000,000
residences and industry. In May of 1998, the Board $15,000,000
approved the proposed revisions to the Sewer 2003 2010 2017
Service User Fee rate structure that more equitably Property Taxes COP Service
charged consumers based on actual usage while
remaining revenue neutral. Significant changes in
the rate structure included: Historically, the District's property tax revenues were
at a higher level than necessary to support the
• Non-residential user charge will be based upon District's debt service obligations. However, capital
typical quantity and strength of discharge per improvement needs averaging $200.0 million a year
1,000 square feet. over the last ten years has required new COP debt
• Fees for users who discharge high quantities or issuances that have increased future debt service
high-strength waste, including former Class III payments that more closely matches property tax
permittees such as restaurants and revenues.
laundromats,will be based on the assumed flow
and strength per 1,000 square feet. Property tax revenues have increased from
• Discontinuation of the Class III permit process $85.7 million in FY 2016-17 to a projected
because of the implementation of the expanded $104.5 million in FY 2019-20, primarily due to the
and more accurate rate structure. This resulted rebound from the economic decline and the collapse
in simplification of the billing and collection in the housing and commercial property markets
process for these two hundred users. beginning in 2008. Property tax revenues are now
• The revised rate structure resulted in a greater being projected to increase 5.0 percent a year
number of decreases in charges (22,000) for through FY 2019-20.
non-residential users than increases(13,000).
Any property tax revenue shortfalls in meeting debt
Overall, the total fees collected remained essentially service obligations may require adjustments to user
the same as those generated by the old structure. fees, as making debt service payments are legally
mandated.
Property Taxes
The District's share of the one percent ad valorem Budget Highlights
property tax is dedicated for the payment of COP This section briefly outlines the proposed major
debt service. The apportionment of the ad valorem changes in all departments and Revenue Areas over
tax is pursuant to the Revenue Program adopted in the next two years. All Joint Works Operations, or
April 1979 to comply with regulations of the plant operating costs and collection system costs are
Environmental Protection Agency and the State consolidated into the individual department budgets
Water Resources Control Board and in accordance for better accountability and control. However,
with COP documents and Board policy. separate accounting is maintained between Joint
Works Operation activities (treatment and recycling
operational costs) and collection operational
activities since each Revenue Area is directly
responsible for their own collection operating costs.
The Joint Works Operation activities are allocated to
the Revenue Areas based on their individual
contributions to the annual sewage flow. Likewise,
the Joint Works Capital Improvements are allocated
Section 2—Page 6
Financial Overview & Budgetary Issues
to the Revenue Areas on a three-year average of Environmental Services
sewage flows called the "joint works equity • An increase in research and monitoring costs of
percentage", and each Revenue Area is responsible $172,000.
for their own collection system capital improvements.
Details for each department can be found in "Section • An increase of $700,000 in operating costs will
6—Operations" of this document. Complete staffing cover the following expenses: 1) once per 5-year
schedules are located in the Appendix. permit cycle special studies; 2) once per 5-year
regional monitoring activities; and 3) an inter-
General Manager's Office agency third party audit.
• An amount equaling 0.5 percent of the Operating No net change in FTE over the next two years.
materials and services budget is included within
the General Manager's Re-appropriation line item Engineering
for each of the next two fiscal years. Since the An increase in salaries, wages and benefits of
current year's budget lapses each year, re- $445,000 in FY 2018-19 is primarily due to cost of
appropriation of funds is needed to pay for goods living adjustments included in the current
or services ordered at the end of one budget year Memorandums of Understanding for all employee
but not provided until the following year. The bargaining units and group medical insurance
General Manager reviews and approves all
departmental re-appropriation requests to ensure premiums.
that prior year funding was available and has not FY 2018-19 proposed CIP outlays of
been spent. $177.6 million, an increase of $53.3 million, or
• An amount equal to 0.85 percent of the Operating 42.8 percent, over last year's cash flow budget of
materials and services budget is included within $124.3 million.
the General Manager's contingency account for FY 2019-20 proposed CIP outlays of
each of the next two fiscal years. $149.0 million is a decrease of $28.6 million, or
16.1 percent, from FY 2018-19 proposed
Human Resources budgeted CIP cash outlays.
• A decrease of $812,000 in property and general No net change in FTE over the next two years.
liability insurance premiums are anticipated in
FY 2018-19 and an increase of $421,000 in Operations &Maintenance
FY 2019-20. FY 2018-19 increases over FY 2017-18 budget:
• No net change in FTE over the next two years. An increase in personnel and benefits costs of
Administrative Services $1.2 million primarily due to cost of living
adjustments included in the current
• An increase in salaries,wages, and benefits costs Memorandums of Understanding for all employee
of $726,000 in FY 2018-19 is attributable to cost bargaining units and group medical insurance
of living adjustments included in the current premiums.
Memorandums of Understanding for all employee An increase in contractual services of $343,000,
bargaining units and group insurances premiums. or 1.6%, due to increasing support for the Civil
• An increase of $537,000 in contractual service Assets Maintenance Program.
costs mainly due to the California Association of An increase in repair and maintenance of
Sanitation Agencies (CASA)wastewater flow and $5.5 million mainly due to two central generation
loading study. engines are scheduled for overhaul at an
• An increase of $200,000 in service maintenance estimated cost of $3.8 million and major
agreements costs mainly due to additional rehabilitation of primary and secondary clarifiers
software purchased and increased license costs. at both plants is planned for$1.6 million.
• An increase in materials, supplies and service A decrease in utilities costs of$576,000.
costs of $1.9 million primarily due to a one-time A net increase of 1.0 FTE beginning in
inventory write-off of$1.5 million in FY 2018-19. FY 2018-19.
• No net change in FTE over the next two years.
Section 2—Page 7
2018-19 & 2019-20 Budget
FY 2019-20 increases over FY 2018-19 budget: Reserves
• An increase in personnel and benefits costs of In 1998, the District conducted an in-depth review of
$1.0 million. the agency's reserve policies. This review included a
survey of the reserve policies of 23 other public
• An increase in operating materials and supplies agencies as a tool to assist in the evaluation of the
costs of $3.1 million mainly due to the additional underlying economic reasons supporting the
cationic polymer usage for the thickening and District's reserve policies. Based on this review, the
dewatering centrifuges at an estimated cost of Directors approved the following reserve policy:
$2.6 million.
• Cash Flow Criterion has been established at a
• A decrease in contractual services of$2.7 million level to fund operation, maintenance and
due primarily to a decrease of$3.7 million in solid certificates of participation debt service expenses
removal. The sludge dewatering and odor control for the first half of the fiscal year. The first
(P1-101) centrifuges is projected to be in installment of property tax revenues and sewer
operation and solid cake will increase from 20% service user fees that is collected by the County
to 27% to reduce wet tons produced. through the property tax bill is not available until
• A decrease in professional service costs of late December each year.
$926,000 for on-site supplemental reliability Operating Contingency Criterion has been
engineering support services. established to provide for non-recurring
• A decrease in repair and maintenance of expenditures that were not anticipated when the
$2.6 million mainly due to reduction in preventive annual budget and sewer service fees were
maintenance services and engine overhaul costs. considered and adopted. The level of this criterion
will be established at an amount equal to ten
• No net change in FTE. percent of the annual operating budget.
Individual Collection System Capital Improvement Criterion has been
Operating — reflects costs of operating and maintained to fund annual increments of the
maintaining each Revenue Area's collection system, capital improvement program. The long-term goal
utilities, and Directors' fees. Industrial/commercial is to fund one half of the capital improvement
monitoring costs reflecting the expense of enforcing program from borrowing and the other half from
the Uniform Use Ordinance and EPA's pre-treatment current revenues and reserves. With this program
standards are also included. The largest operating in mind, the target level of this criterion has been
cost is the Revenue Area's flow-based share of the established at one half of the average annual cash
Joint Works Operating expenses. outlay of the capital improvement program
through the year 2020. Levels higher and lower
Capital Facilities — accounts for each Revenue than the target can be expected while the long-
Area's share of the Joint Works Capital Improvement term financing and capital improvement programs
projects and for individual Revenue Area trunksewer are being finalized. Proceeds from any debt
or pump station projects. The entire collection issuance targeted for construction are also
system has a sewer construction program Master included in this criterion until spent.
Plan in progress as a result of the 1999 Strategic Catastrophic Loss, or Self-Insurance Criterion has
Plan. Other line items in these funds are been maintained for property damage including
accumulated reserves for future capital fire, flood and earthquake, for general liability
improvements in accordance with Master Plans a and for workers' compensation. This reserve
federal and state requirements and annual purchase criterion is intended to work with purchased
or sale of equity in the jointly-owned treatment works insurance policies, FEMA and State disaster
as provided for in the Joint Ownership, Operation, reimbursements. Based on the plant infrastructure
and Construction Agreement. replacement value, the level of this criterion has
been set to fund the District's non- reimbursed
Debt Service/COP- accounts for the proceeds from costs, estimated to be $57 million.
and service of the Capital Improvement Program Capital Replacement/Refurbishment Criterion will
Certificates of Participation (COPs). The District's be established to provide thirty percent of the
share of the one percent basic levy ad valorem
property taxis dedicated to provide for COP principal
funding to replace or refurbish the current
and interest payments. See Section 9 for additional collection, treatment and recycling facilities at the
information on the District's debt financing program. end of their useful economic lives. The current
replacement value of these facilities is estimated
Section 2—Page 8
Financial Overview & Budgetary Issues
to be $10.8 billion. The initial reserve criterion Following the funding of the FY 2018-19 spending
level had been established at $50 million, and is plan, total year end reserves are projected to fall to
augmented by interest earnings and a small $678.6 million at June 30, 2019, within
portion of the annual sewer user fee, in order to $150.6 million of the consolidated reserve policy of
meet projected needs through the year203O. $528.0 million.
Debt Service Criterion is required to be under the Proposed Reserve at 6/30/19
control of a Trustee by the provisions of the (in millions)
certificate of participation (COP) issues. These
funds are not available for the general needs of
the District and must be maintained at specified Debt
levels. Service
Criterion, Cash Flow&
• Rate Stabilization Criterion will be used to $96.6 Operating
accumulate all available funds exceeding the Self- Contingency
Insurance Criterion,$177.1
targets for all other reserves. These funds will be Criterion,
applied to future years' needs to maintain rates or $57.0
to moderate annual fluctuations. There is no
established target for this criterion.
Capital Repl.
Criterion,$63.8
Projected Reserve at 6/30118 Capital
(in millions) Improvement
Criterion,$284.1
Debt
Service
Criterion, Cash Flow&
$100.5 Operating
Contingency
Self- Criterion,$168.2 Collectively, these individual criterion requirements
Insurance average$600 million a year over the current ten-year
Criterion, g y Y
$57.0 cash flow forecast, approximately nine percent of
OCSD's total $6.2 billion in assets.
Capital Repl.
Criterion,$62.5 Staffing Levels
Capital Authorized staffing levels are being proposed at
Improvement 636 FTE positions over the next two-fiscal years,one
Criterion,$241.8 FTE position higher than the approved staffing level
for FY 2017-18. However, staffing is still 42 FTE
positions below the agency's all time high of
678 positions approved in FY 1995-96.
The FY 2017-18 total projected year-end reserve is The District budgets staffing levels by FTE to provide
$630.0 million, $98.5 million greater than the a realistic estimate of actual staffing levels since not
FY 2016-17 reserve requirement of$531.5 million. all employees are full-time employees. The part-time
The excess reserve buildup is due to the timing of positions are funded at 1,040 hours per year. Part-
the actual CIP outlays. As previously noted, the time employees receive a prorated share of
projected CIP outlay for FY 2017-18 is only personnel benefits.
$124.3 million, or 78.1 percent of the total capital The staffing reductions from 1995-96 are a result of
outlay cash flow budget of $159.1 million. In this agency's effort in striving to provide wastewater
addition, $200 million of the previous overall treatment as efficiently and effectively as possible
projected outlays through fiscal year 2019-20 have while lowering operational and maintenance costs to
now been pushed out into future years. more closely match those agencies that are "best in
As a result of the CIP program being rescheduled out class" for wastewater treatment facilities. However,
into future years, the proposed budget for FY 2018- as the result of new initiatives in the areas of water
19 includes the funding of$80.5 million of long-term reclamation and conservation, and the expansion of
obligations. the Capital Improvement Program (CIP), the existing
Section 2—Page 9
2018-19 & 2019-20 Budget
staffing plan was no longer sufficient to meet the OCSD Long-Term Planning Process
District's needs. The District's current efforts in regard to long-term
planning include the 2017 Facilities Master Plan,
Authorized FTE Staffing which identified a phased 20-year program of capital
640 improvement projects that maintain reliability and
accommodate future growth, as well as meet future
regulatory requirements, level of service goals, and
635 strategic initiatives. With this plan, the District can
identify the capital investments needed to achieve its
630 goals and adjust rate structures to produce the
necessary cashflow to support this 20-year CIP
program.
625
CIP Master Planning
In October 1999, the District completed its CIP
620 Strategic Plan, an update of the 1989 30-year"2020
Vision" Master Plan. Many of the assumptions used
615 to develop the original plan, such as inflation, the
11-12 12-13 13-14 14-15 15-16 16-17 17-18 18-19 19-20 projected service population, the level of building
activity, and the volume of wastewater treated, were
The Appendices within Section 10 provide a Staffing quite different from what was assumed nearly ten
History Summary (by Department and Division) and years earlier. If the assumptions of the Master Plan
Detail (by position title within each Department and were not updated, the District could be constructing
Division). unnecessary facilities and charging higher fees than
would be needed.
Business Plan In addition to updating the population and flow
The District began development of a comprehensive assumptions, the Strategic Plan provides for an
annual Business Plan that was first included within operations and financial plan and includes a review
the FY 2005-06 Budget document, and has been of the collection, treatment and recycling facilities,
updated in every biennium budget since, including and ocean outfalls.
this update following the Board acceptance of the
Five-Year Strategic Plan in December 2015. This In June 2002, a new, or interim, CIP Strategic Plan
Business Plan includes the funding resources Update was completed that revised many of the
necessary to support the Board approved strategic assumptions used to develop our previous planning
goals including providing exceptional customer documents, including population and land-use
service, protecting public health, stakeholder projections,the level of building activity in our service
understanding and support and organizational area and the volume of wastewater to be treated.
effectiveness.Also included in this updated business This information was needed for the Board's
plan, is the business planning process and the consideration of secondary treatment the following
current and projected key performance indicators month.
(levels of service). The following topics are included
within the FY 2016-18 Business Plan: The Interim Strategic Plan Update also provides an
operations and financial plan including a review of
• Strategic Goals our collection, treatment and recycling facilities, and
• Levels of Service a study of our ocean outfall system.
• Performance Indicators and Results In December 2009, the District adopted a new
• Two-Year Staffing Plan Facilities Master Plan to define the capital projects
• Updated Financial Model needed to meet the agency's level of service
• Risk Assessment& Mitigation Analysis requirements over the next twenty years. It includes
• Updated Asset Management Plan projections through the assumed "build-out" of the
District's service area to the year 2050. Critical
A more detailed description of the FY 2018-19 factors such as population growth, new construction,
Business Plan is provided within Section 2—Page 14 the volume of wastewater delivered to the plants and
through Page 27. viable water conservation and reclamation programs
were reevaluated.
Section 2—Page 10
Financial Overview & Budgetary Issues
The 2009 Facilities Master Plan was replaced with Since implementation of the first comprehensive
the 2017 Facilities Master Plan in December 2017. strategic plan in 2007, 40 strategic goals have been
Like previous versions, this latest master plan established and completed. In December 2015, the
updated planning assumptions, provided a District updated the Five-Year Strategic Plan and, as
comprehensive analysis of the condition and part of the strategic planning process, reaffirmed the
capacity of our wastewater infrastructure, assessed following goals:
new technology opportunities, anticipated regulatory
changes, and resource recovery options to create a . Completion of the Odor Control Master Plan;
roadmap of facility evaluation improvements which . Development of Future Biosolids Management
supports the District's mission over the next 20 Options;
years. • Research new energy efficiency and conversion
technologies;
The 2017 Facilities Master Plan defined a Capital . Complete the transfer of 174 miles of local sewers
Improvement Program comprised of over 80 CIP to a local agency;
projects. However, the budget allotted for each . Determine partnerships, needs, strategies,
project must be approved by the District Board of benefits and costs associated with recycling of
Directors during the annual budget review. To Plant No. 2 effluent water; and
prepare for this annual budget review, District . Workforce planning and development to ensure
employees go through a budget validation process. that the right people with the right skills and
District employees review each CIP project to ensure abilities, are in the right place, at the right time.
that the scope of the project is appropriate, and that
the cost estimates are accurate. In addition, through This Strategic Plan continues to chart a focused
the Asset Management Program, the Planning roadmap of success for the future of the District. It
Division continually reviews and updates the addresses critical operations and construction
ongoing and future CIP to appropriately manage the issues; financial and budgets challenges; and gives
risks associated with asset or system failure. Future a clear and concise direction to staff, ratepayers,
projects may be accelerated, delayed, consolidated, regulatory agencies, and the general public.
canceled or rescoped to help ensure that the CIP is
delivered in the most efficient way possible. Biosolids Management
As a resource recovered through the wastewater
Five-Year Strategic Plan treatment process, the District treats nutrient-rich,
In November 2007, the Board of Directors adopted a organic matter (solids) to produce biosolids.
new comprehensive strategic plan to steer the Biosolids can be recycled through composting or
District's efforts and engage the organization to fertilizing farm fields (non-food crops via land
envision service levels and operational needs for the application). The District's goal is to ensure that
next five years. This strategic plan has been biosolids management strategies align with best
reviewed and updated each year since. beneficial use of biosolids, existing market
In December 2015, the Strategic Plan was updated conditions and continue a sustainable, reliable, and
to cover a new five-year horizon. Following a similar economical biosolids management program that
process used in the prior year updates, the General provides environmentally sound practices and meets
Manager's Office initiated the planning effort with the the stringent federal, state, and local regulatory
Executive Management Team, then solicited input requirements.
and ideas from managers and supervisors. The In FY 2016-17, the District produced an average of
resulting staff-generated ideas were presented to the about 791 tons per day ("tpd") of biosolids at a cost
Board of Directors during a workshop, where Board of $16,668,162, which averaged $57.72 per ton for
Members discussed and deliberated changes and hauling and recycling at offsite locations, as
additions to the plan. described in the table on the following page.
Driven by our Mission, Vision and Core Values, this The FY 2018-19 budget for biosolids management is
Strategic Plan continues the District's aggressive $16.2 million, with a decrease of 23 percent
efforts to meet the sanitation, health, and safety anticipated in FY 2019-20 to$12.5 million due to the
needs of the more than 2.6 million people we serve completion of the $188 million Plant No. 1 and the
while protecting the environment where we live. $90.5 million Plant No. 2 Sludge Dewatering and
Odor Control facilities that are projected to come
Section 2—Page 11
2018-19 & 2019-20 Budget
online in 2019. These facilities will reduce the water calculated on a monthly average. For the first 12
content of the solids which will result in fewer trucks years of the Urban Runoff Program, the average
and lower hauling costs. The District's biosolids monthly flow averages remained less than the four
production will begin trending down as new solids MGD threshold thus avoiding user fee costs being
management facilities are commissioned. Also assessed to the diversion permittees.
noteworthy is that IRWD is constructing solids
processing facilities and plans to stop sending their In 2012, OCSD received a number of diversion
solids to the District in 2019. proposals to deal with bacteria and selenium loading
to the upper Newport Bay. The discharge from the
Appx.Tons Per additional proposed diversions combined with the
Day& existing diversion flows would eventually exceed the
Contractor Location Product Avg.Cost Per Ton
A ril2018 four MGD fee threshold. On June 12, 2013, the
Synagro,Nursery San Bernardino Compost 285 tpd—$50.81 Board adopted Resolution No. 13-09 expanding the
Products County,CA
Tule Ranch, Yuma County, Land waiver of fees or charges on the treatment of dry
AgTech Az application 321 tpd—$58.86 weather urban runoff from four MGD to ten MGD.
Liberty Compost Ceern County, Compost 142 tpd—$57.65 According to the Board, the change was necessary
Inland Empire not only to protect the County's coastal resources,
Regional Rancho but also to provide an economic benefit to the local
Composting Facility Cucamonga, Compost 36 tpd-$73.55 economyb helping to keep our beaches open.
(hauled by Denali CA Y p g p P
Water Solutions
The Dry Weather Urban Runoff Program is
The District's contractors provide fail-safe, back-up administered by the District's Resource Protection
biosolids management capacity in California and Division, which issues a discharge permit for each of
Arizona that include composting, land application, the diversion structures. The permit functions as a
and landfill. Together, these options have the control mechanism that specifically prohibits storm
additional available capacity to manage ten times the runoff and authorizes discharge only during periods
District's daily biosolids production to ensure of dry weather. The permit also establishes specific
sustainable, consistent, and reliable operations. discharge limits, constituent monitoring, and flow
metering requirements. In addition, the District
The District staff are working to implement the conducts quarterly sampling and analysis of the
recommendations of the recently-completed urban runoff discharges to ensure discharge limit
Biosolids Master Plan. The plan evaluated the compliance with the various regulated constituents.
biosolids markets and technology options for
digestion facility replacement at our Plant No. 2 in There are currently 21 active urban runoff diversion
Huntington Beach, keeping in mind OCSD's goal to structures, three owned and operated by the County
accommodate Orange County's food waste of Orange, 11 owned and operated by the City of
diversion needs.This plan will serve as the road map Huntington Beach, three owned and operated by the
for sustainable and cost-effective Biosolids City of Newport Beach,three owned and operated by
management options over a 20-year period and will the IRWD, and one owned and operated by PH
diversify our biosolids portfolio by adding a Class"A" Finance (present owner of the Pelican Hill Resort).
option under federal rules for biosolids management. The City of Newport Beach added their second
diversion on Big Canyon Creek, an upper Newport
Urban Runoff Bay tributary in 2015, followed by a third diversion in
Recognizing that County beaches were being the Mid Big Canyon Nature Park in 2017. IRWD
affected by pollution carried by urban runoff, the completed the Peters Canyon Diversion, the biggest
Board of Directors adopted a number of resolutions contributor of selenium in the San Diego Creek
agreeing to accept dry weather urban runoff into the watershed in dry weather, in 2016. The City of Santa
sewer system. In June 2002, Assembly Bill 1892 Ana is currently constructing an urban runoff
amended the District's charter to formally allow the diversion to deal with bacteria and selenium loading
diversion and management of dry weather urban to the Newport Back Bay Watershed. The Delhi
runoff flows. Resolution No. 01-07, adopted March Channel Diversion, expected to go on line in
28, 2001, declared that the District will initially waive September of 2018, is estimated to add an addition
fees and charges associated with authorized 2.0 to 2.6 MGD to Plant 1 influent.
discharges of dry weather urban runoff to the sewer
system until the total volume of all runoff discharges
exceeds four million gallons per day (MGD)
Section 2—Page 12
Financial Overview & Budgetary Issues
Financial Overview& Budgetary Issues: secondary effluent from the District's Plant No. 2 in
Since 1999, the District has treated a total of Huntington Beach using new and existing
8.9 billion gallons of dry-weather urban runoff that infrastructure to support the GWRS Final Expansion.
would otherwise have been discharged into the The GWRS Final Expansion will be funded solely by
ocean with no treatment. During fiscal year 2016-17, the OCWD. The District currently has two active
the daily average urban runoff flow ranged between projects supporting the GWRS Final Expansion. The
0.18 and 1.72 MGD with a cumulative total diversion costs of these projects will be reimbursed by the
of 378 million gallons (MG). The diversion flows OCWD. The Final Expansion of the GWRS is
experienced a 71 MG increase over 2015-16, expected to be online in 2023.
primarily due to a 91 MG contribution from the Peters
Canyon Diversion which went on-line in August Fiscal Policies
2016. At the current operations and maintenance Included within Section 3 — Pages 1 through 8 is a
cost per million gallons (CMG) of$1,756 (assuming listing of the District's Board Adopted Fiscal Policies.
BOD at 20 mg/L and TSS at 50 mg/L), the cost for
treating the 2016-17 combined urban runoff flows is These fiscal policies were established purpose of:
estimated at$663,367. • sustaining a financially viable Sanitation District;
• having the flexibility to adapt to local and regional
At current flow projections, the District's cost for the economic changes; and
2017-18 urban runoff treatment increases to . maintaining and enhancing sound fiscal condition
$909,930 based on$1,777 CMG. The addition of the of the District.
Delhi Channel Diversion flows could boost the
overall cost to $1,283,931 in 2018-19 based on Included within the District's fiscal policies are
$1,842 CMG, and $1,910,770 in 2019-20 based on specific polices for Budgeting, Revenues,Expenses,
$1,907 CMG assuming the diversion reaches its full Capital Improvements, Vehicles, Short-term Debt,
discharge potential. Long-term Debt, Reserves, Investment, and
Accounting, Auditing and Financial Reporting.
Groundwater Replenishment System
The District has taken a multi-jurisdictional approach GFOA Best Practices and Advisories
to planning for capital facilities because many of the Included in the budget within Section 3 — Pages 9
methods for reducing or managing flows involve through 17 is a listing of accounting, auditing,
other jurisdictions. One such project is the financial reporting, cash management, budgetary
Groundwater Replenishment System (the "GWRS"). and fiscal policy, debt management, retirement and
benefit administration, and economic development
In March 2001, the District entered into an and compliance planning practices recommended by
agreement with the Orange County Water District the Government Finance Officers Association of the
(OCWD) to design and construct Phase I of the United States and Canada. Included within this list of
GWRS. The capital cost of this Phase was shared best financial practices for state and local
equally(50%shares)by each agency. The GWRS is governments is the District's status as to whether we
a joint effort by the two agencies to provide reclaimed are in compliance or in progress towards
water for replenishment of the Orange County compliance, or whether the practice is applicable to
Groundwater Basin and to augment the seawater this agency. Out of the 154 practices identified, the
intrusion barrier. The GWRS became operational in District is in compliance with 103, another 43 are not
January of 2008 with a production target of considered applicable to the District, and we are in
70,000 acre-feet per year of potablewater. the process of complying with the remaining eight.
The GWRS Initial Expansion, funded solely by
OCWD, broke ground in January 2012 to increase
potable water production to approximately
103,000 acre-feet per year. The GWRS Initial
Expansion was completed in June 2015, resulting in
purifying 100 percent of the treated wastewater from
the District's Fountain Valley Plant No. 1.
In 2016, the District and the OCWD completed a
$2 million joint study to explore the possibility of
using flows from the District's Plant No. 2. The study
identified an implementation plan to convey
Section 2—Page 13
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 2—Page 14
Business Plan
The District's Business Plan is intended to be an from the Board of Directors to staff, ratepayers,
overarching plan based on sound decision making regulatory agencies, and the general public.
that provides direction on the work that the District The Business Plan development process started
will take on during the next two-year budget cycle with the goals and direction identified within the
and what will be deferred. This Business Plan is the Strategic Plan. Staff from across the agencyfurther
underlying foundation for the development of the defined these goals in terms of level of service,
District's Budget. business risk exposure, capital and operational
costs, staffing, and long-term financial impacts. The
During the process of developing the Business Plan, Business Plan identifies the required resources and
the District's Executive Management Team reviewed prioritizes projects and goals,with recommendations
the proposed work for the upcoming year, balanced for which goals should go forward for inclusion in the
it with the staffing and funding resources needed and District budget, and which should be deferred or
either approved the plan or made reductions. dropped from consideration.
Reductions in work or resource commitment for the
coming year will be considered in light of the Level of Strategic Goals
Service that the agency is committed to and Over the next two years, the District will begin and
appropriate levels of risk. complete many activities central to the goals of the
organization. In December 2017,the District updated
Updates to the Business Plan are performed on an the Five-Year Strategic Plan and, as part of the
on-going basis, to be developed ahead of the bi- strategic planning process, reaffirmed the following
annual budgeting process, and has a five-year goals:
horizon.
• Completion of the Odor Control Master Plan;
Each year, it is staff's intent to build upon the . Development of Future Biosolids Management
foundation of the previous Business Plan and to
make each succeeding one more detailed and Options;
comprehensive. Elements included in the Business . Research new energy efficiency and conversion
Plan for this two-year budget includes: (1) the technologies;
Business Planning Process; (2) Strategic Goals,
including the timeframe, milestones, and resources Complete the transfer of 174 miles of local
required for the completion of each step; (3) sewers to a local agency;
performance results pertaining to the Current and . Determine partnerships, needs, strategies,
Projected Key Performance Indicators (Level of benefits and costs associated with recycling of
Services); (4) business accountability performance Plant No. 2 effluent water;and
objectives and measures, that are aligned with the
updated Five-Year Strategic Plan (these are detailed • Workforce planning and development to ensure
for each division within the departments in Section 6 that the right people with the right skills and
of this document); (5) Two-Year Staffing Plan; (6) abilities, are in the right place, at the right time.
Financial Model Update; (7) Risk Assessment & Five of these goals were completed and one is
Mitigation Analysis; and (8) 2015-17 Asset ongoing. The District is in the midst of updating the
Management Plan Update. Five-Year Strategic Plan. The new plan will be
Business Plan Process adopted by the Board of Directors in November
The framework for the Business Plan is developed 2018.
as part of the process of updating the Five-Year Level of Service
Strategic Plan. The process for updating the In 2005, the Orange County Sanitation District first
Strategic Plan requires the assistance from all levels developed a summary of the District's present and
of the organization,and includes updating the Mission future Levels of Service requirements as part of its
Statement, Vision Statement and Core Values; and Asset Management Program. These Levels of
addresses the major objectives and critical Services were further developed with the Business
challenges facing the District now, in the next five- Plan along with measurable outcomes, or key
years,and further into the future. This Strategic Plan performance indicators,that the District is committed
also lays down the foundation for the development of to meeting. This Business Plan documents that the
the Business Plan as it addresses critical operations Levels of Service provided by the District will
and construction issues, financial and budgeting increase significantly, requiring $2.4 billion in
challenges, and gives a clear and concise direction
Section 2—Page 15
2018-19 & 2019-20 Budget
identifiable capital improvements and millions in Staff has focused on the reallocation of existing
increased maintenance and operations costs over resources in order to balance the needs within the
the next ten years. business units of this agency to ensure that core
business operations are met, levels of service are
No modifications were made to the District's Level of maintained, and that strategic initiative elements are
Service as a result of the December 2017 Five-Year accomplished.
Strategic Plan update. Levels of service have been
identified for the following goals: The proposed two-year staffing plan contains a
significant level of analysis on how existing
• Providing Exceptional Customer Service. resources can be utilized in consideration of the
• Protecting the Public Health and the increased demands placed on this agency by
Environment. secondary treatment standards and in support of the
$2.7 billion capital improvement program over the
• Managing and Protecting the Public's Funds. next ten years without increasing staffing levels. A
detailed breakdown on the proposed reallocation of
• Stakeholder Understanding and Support. FTEs can be found within the Appendix section of
• Organizational Effectiveness. this budget.
Financial Model Update
These existing Levels of Service targets are currently The District's most recent regional rate study was
under review. completed in December 2017 by Carollo Engineers.
The purpose of the study was to update sewer
Staffing Plan service rates and to equitably distribute costs among
A comprehensive review was completed on the utility customers and to support the District's regional
District's staffing levels for the next two fiscal years. rate structure over a five-year period from FY 2018-
This undertaking began with a review of the District's 19 through FY 2022-23. Previously, the District had
vision, mission, goals and objectives as part of the completed regional rate studies in 2013,2008, 2006,
development of the Five-Year Strategic Plan. 2002 and 1999. The following three drivers
necessitated that a rate study be completed in 2017,
Authorized FTE Staffing and be incorporated into the Business Plan:
650 644 1. The Necessity of Updating the Regional
637 636 Sewer Service Fee and the Net Cost of
6ao Service Methodology for Industrial Rates -
The District provides regional sewage
630 collection, treatment, and disposal services to
620 approximately 550,000 customers located in
central and northwest Orange County and
610 collects fees for these services through a
special assessment on the Orange County
600 property tax bill. In addition, the District also
2006-07 2011-12 2018-19 maintains, repairs, and replaces the local
This analysis included identification and sewers for approximately 17,000 of the above
development of over 100 business units in the 550,000. High strength dischargers,or industrial
District with discreet duties and responsibilities. customers, pay sewer fees based upon a net
cost of service. A rate study was required to
Based on the needs of the agency over time,the total determine the equitable rates for these three
FTE requirement has declined steadily from types of users.
644 authorized FTEs in FY 2006-07 to the proposed 2. Five-Year Proposition 218 Notice - The
staffing of 636 FTEs over the next two fiscal years. District's last California Proposition 218 Notice
Staffing levels are proposed at minimum levels that notifying rate payers of potential sewer rate
are necessary to support the operation and
maintenance of newly constructed secondary increases over the past five-years had expired
treatment facilities in an efficient manner to meet all and a new 5-year Proposition 218 Notice
compliance requirements. approved by the Board and the justification of
the new sewer service fee rates over the next
Section 2—Page 16
Business Plan
five years needed to be supported by an Based on the CFCC portion of the rate study in 2017,
updated sewer rate study. CFCC and Supplemental CFCC fees are as follows
for FY 2018-19:
Capacity Charge Update - With the adoption of a
new Master Plan in 2017, the District needed to CFCC Rates
update the methodology for Capacity Charges. Residential Commercial/
In their Financial Model Update Report for the CFCC Industrial CFCC
District issued in December of 2017, Carollo Unit Cost-FY 2017-18 $3,855 $2,000
Engineers recommended that the District: Unit Cost-FY 2018-19 $4,228 $2,066
% Increase 9.7% 3.3%
• Based on current operational and capital project
assumptions, implement annual increases of
1.2%, respectively, over a five-year period ending Supplemental CFCC Rates
in FY 2022-23. $/1,000 /Ibs $/Ibs
Gallons B.O.D. S.S.
• Increase to the unit costs to high strength Unit Cost-FY 2017-18 $1.936 $0.41510 $0.22261
discharges for FY 2018-19 and FY 2019-20, as Unit Cost-FY 2018-19 $1.948 $0.42755 $0.23151
follows:
% Increase 0.6% 3.0% 4.0%
Industrial Discharge Sewer Rates
$/ 1,000 $/Ibs $/Ibs. Risk Assessment Analysis
Gallons B.O.D. T.S.S. Many leading organizations are formally applying
risk management processes to identify and manage
Unit Cost-FY 2018-19 $1.43349 $0.65809 $0.71660 risks across many aspects of their business. The
Unit Cost-FY 2019-20 $1.48342 $0.66139 $0.73673 formalization of risk management processes is a
18-19% Increase 4.1% 0.5% 2.9% logical step towards increased accountability and
19-20% Increase 3.9% 0.5% 2.8% transparency placed on the Board and District
management.
All recommendations from the December 2017 Risk assessment and mitigation includes the
Financial Model Update Report were approved by following steps:
the Board to ensure that the funding required for the
additional capacity projects required for new users • Identify and assess strategic and organization-
would be available at the time of construction. wide risks facing the District and develop a high-
level risk register;
Local sewer service fees are based on the Financial . Identify mitigation measures that the District
Model Update Report from April 2008 and remain at
$108 per single family residence. currently has in place;
• Propose additional mitigation measures that the
In December of 2017, the 2017 Master Plan was District considers appropriate to manage; and
adopted, and because the CFCC fees are based
upon the most recently completed capital strategic Develop action plan of responsibilities and
plan, staff was directed to include capacity charges timeframes for follow-up.
in the 2017 rate study. A prior rate study was The Risk Register is a compilation of the various
completed in 2010. risks facing the Orange County Sanitation District,
as seen and described annually by District
It was determined, as a result of the new Master Plan, managers and senior management. Business Risk
that future build-out is now projected to be less than is defined as a threat that an event (action or
what was anticipated in the previous master plan.The inaction) will adversely affect the District's ability to
District's system currently has unused capacity that is achieve its business objectives and execute its
available to serve future users. In addition,the District strategies successfully. The District first created the
will continue to maintain, improve, and expand the Risk Register in 2006 and subsequently has
system with future capital improvements. Based upon updated it at least bi-annually through 2017.
this information, a hybrid approach (buy-in and future
cost)to capacity charges was recommended.
Section 2—Page 17
2018-19 & 2019-20 Budget
The Risk Register Update in 2017 identified the OCSD has been striving to more accurately identify
following as top risks: medium to long-term capital cash flow requirements.
Specifically, the Engineering Planning Division has
1) Earthquake and liquefaction impact facilities been working on developing a 20-year Capital
and operations; and Improvement Program (CIP) by creating specific
2) Poor maintenance of assets leads to safety project plans for the rehabilitation, replacement,
and reliability issues. improvements and expansion for each treatment
plant or collections area.
Managers and executive management continue to
review risks identified in the Risk Register and This medium to long-term planning is important for
implement various ways to address those that might several reasons. By moving away from narrowly
impact OCSD. Each Risk Register Update contains focused projects to solve individual problems, to
solutions proposed by participants for the top risks, more comprehensive projects refurbishing entire
and each Risk Register Update also contains a processes, OCSD benefits by having less
section recording how OCSD dealt with the risks that operational disruption and more efficient project
were spotted in the previous Risk Register Update. delivery, better cash flow estimation, and better
operations and maintenance decision-making
Asset Management framework. This is a huge undertaking based on the
The District is committed to providing services for its number of asset and facilities, but over time the
rate payers to reliably meet our regulatory mandates undefined future rehabilitation capital estimates
and levels of service approved by the Board of within the 20-year window are expected to be
Directors, and will provide these services using drastically reduced and replaced by more specific
sustainable engineering principles that result in the estimated capital needs.
lowest responsible Iifecycle cost. The District
installs, operates, maintains, refurbishes and Complementing the medium- to long-term planning
disposes of assets with lifecycles measured from are the short-term efforts to coordinate maintenance
years to decades, so an approach which balances actions that can reduce risks, actively defer the
long, medium and short-term needs is necessary. larger refurbishment projects, and reduce asset
The District's asset management program has consumption rates to minimize the need for
evolved into a comprehensive decision-making replacement of structures and conveyance systems
framework that encompasses engineering planning, when projects are executed. The Planning Division
design and construction of quality facilities, asset engineers are constantly reviewing their area
optimized operation, proper maintenance, and scopes of work, utilizing their criticality and condition
planned refurbishment and disposal that will meet information and engineering judgment, to identify
the District's changing needs. This coordinated opportunities for operational adjustments or
decision-making process will allow the District to maintenance activities that cost effectively extend
consistently meet mandated levels of service to the the life of key assets which may allow for deferral of
rate payers at the lowest Iifecycle cost. the larger overall project. This may be a targeted
equipment replacement or pipeline repair that is
The District's Asset Management Plan focuses on more urgent than the need of the overall facility.
the long-term planning of maintenance and capital These engineers may also identify opportunities to
improvement projects to ensure the proper rate reduce asset consumption through coating systems,
structure is in place to support sustainable atmosphere improvements or small structure repairs
operations and to prioritize condition assessment before major damage is done. These actions can
studies based on service life and service conditions. drastically reduce the cost of future projects by
These are important starting points and have yielded preventing the need to demolish and replace entire
tangible benefits in reduced risk levels and an structures.
improved capital planning approach. The
implementation of the Maximo Computer The District is committed to continuous improvement
Maintenance Management System (CMMS) is an of the process by which it manages the assets and
example of an effort to improve OCSD's Asset facilities that are required to reliably deliver its level
Register. CMMS Technicians and the Asset of service commitments. The additional resources
Engineers continue to work to update the database and individual accountability for specific areas has
information including installation date, asset cost, improved, and will continue to improve our capital
condition and criticality in the new system. planning, project packaging, project execution and
delivery, plant operability and maintenance planning.
Section 2—Page 18
Business Plan
The average age and value of the assets the District value represents the cost in 2018 dollars to
owns is increasing steadily over time,the latent asset completely rebuild all the assets to a new condition.
replacement obligation is rising, and as a The depreciated value is the book value of the assets
consequence, the District needs to plan for based on their age, which is a prediction of their
decreased capital projects for expansion and current condition.
increased renewal expenditures in the future relative
to past expenditure levels. Additional focus will need Valuation Plants Collections Total
to be given to ensuring that appropriate operation Replacement $7.28 $3.56 $10.84
and maintenance strategies are being applied that Value (in billions)
consider the different ages of assets being Depreciated $2.88 $0.76 $3.64
maintained. Value (in billions)
Asset Valuation Planned CIP Outlays
The replacement valuation for all of the District's The chart below shows the 20-year net CIP outlay
assets has been updated in 2018 as part of the 2017 which includes current and projected future Capital
Facilities Master Plan project. The table below Improvement Program projects.
presents the current replacement and depreciated
values of the District's assets. The replacement
20 YEAR CIP OUTLAY
$450 —
$400
$350
$300
$250
o $200
$150
100
$50
$0
� Jti0' Q), y ti �, � ,� l�V Al 1�v ,tip l�v ,�� ti ti �, � � � Al
F F F F F F F F F F F F F F F F F F F F
CIP(less savings/deferrals) Future Rehab&Replacement
Section 2—Page 19
2018-19 & 2019-20 Budget
Infrastructure Asset Management • Cleaning of 99 percent of trouble spot and
Through asset management, the District's capital scheduled inverted siphon work.
improvement and maintenance programs work
collaboratively to ensure that our mission is delivered • Managed odor control chemical expenses to
reliably and that our facilities are managed in away 103 percent of budget.
that minimizes overall life cycle costs.
The following emergency preparedness efforts were
Below is a status of the fiscal year 2017-18 also completed:
infrastructure maintenance activities and planned
activities for fiscal year 2018-19. • Developed bypass pumping plans for all pump
stations.
Collection System:
OCSD's collection system consists of 396 miles of • Purchased 12" hose and trailer to use with large
sewers. The maintenance of all regional sewers is pumps.
actively managed but only 230 miles of regional
sewers are on a cleaning schedule. The largest . Completed analysis and update of back-up
sewers are typically self-cleaning due to higher flows generator requirements for pump stations.
and locations closer to the treatment plants. The
regional collections system also includes 15 pump Total costs: $10,032,760
stations and three metering locations. Typical
collection system maintenance activities consist of: The following activities and goals are planned for
televising, inspecting, and cleaning sewer lines; fiscal year 2018-19:
operating, maintaining and cleaning pump stations
with associated facilities; and chemical conditioning . Clean 65 miles of regional sewer lines on a
of the sewage to reduce corrosion and control odors. cleaning schedule.
Maintenance activities are based on established
levels of service to ensure compliance with our . CCTV video inspection of 500 regional system
Sewer System Management Plan, reducing spills, manholes.
increasing reliability and safety, and ensuring that
our facilities are managed, operated and maintained . CCTV video inspection of 80 miles of regional
to minimize overall life cycle costs and need for sewer pipeline.
repairs. The cleaning frequencies are based on data
from pipe inspections, closed-circuit television . Complete at least 90 percent of scheduled pump
(CCTV) work, historical records, and industry best station preventative maintenance work.
practices. The planned activities help extend the
useful life of the assets and minimize nuisance
odors. • Clean 90 percent of trouble spot and scheduled
inverted siphon work.
During fiscal year 2017-18 the following . Manage odor control chemical expenditures to
maintenance activities are projected to be between 95-100 percent of budget.
completed:
• Cleaning of 93 miles of regional sewer lines on a • Complete year one of a two-year effort to reduce
cleaning schedule. potential arc flash by adjusting and testing
protective relays and breakers
• CCTV video inspection of 170 regional system . Purchase of larger generators for pump stations
manholes. for emergency preparedness, based on analysis
• CCTV video inspection of 75 miles of regional completed in the previous year
sewer pipeline.
• Purchase of emergency preparedness bypass
• 91 percent of scheduled pump station pumping hardware with installation of in-place
preventative maintenance work. storage, set up documentation and staff training
Estimated total costs: $11,243,960
Section 2—Page 20
Business Plan
Collection System Capital Improvement Projects construction anticipated for 2020. The budget for this
The District's collections projects go through an project is$54 million.
intensive planning and design process to ensure all
elements of the project are thoroughly assessed. In Newport Beach, Bay Bridge Pump Station
These projects typically renew or replace aging Replacement (Project No. 5-67) will replace the
pipelines and pump stations, upgrade facilities to existing Bay Bridge pump station to meet current
meet current codes and standards, and in some building, electrical, and safety codes, and to meet
instances, increase flow capacity due to growth in projected capacity needs. The existing force mains
localized portion of our service area. We are will also be replaced and upsized, and will extend
currently planning and executing a comprehensive from the new pump station location, across the Back-
program to renew our collection system. One of the Bay channel, to connect with the existing pipes near
larger projects is the Newhope-Placentia Trunk the Dover Ave and Pacific Coast Highway
Replacement(Project No.2-72)which is taking place intersection. The project is currently in the design
in the cities of Fullerton and Anaheim.Seven miles of phase. The construction of both the force mains and
sewer along State College Boulevard, from Yorba pump station is anticipated to begin in 2020. The
Linda Boulevard to Orangewood Avenue, will be budget for this project is $64 million.
upsized to allow abandonment of the Yorba Linda
Pump Station which diverts reclaimable wastewater Reclamation Plant No. 1:
to the Santa Ana River Interceptor, which cannot be Flow from Reclamation Plant No. 1 is delivered to the
reclaimed at the Orange County Water District's Orange County Water District (OCWD) for recycling
(OCWD's) Groundwater Replenishment System via the Ground Water Replenishment System
(GWRS). The project will also include modifications (GWRS). During 2015 the expanded plant came on
to existing diversion structures to add flexibility to line, with capacity to deliver an additional 30 MGD
divert other reclaimable flow. This project also for a total of 130 MGD.
provides adequate capacityfor future development,
minimizing the risk of sewer spills in the future. The maintenance organization continues to
Construction of the first phase of the project was implement industry best practices for safety,
completed in fall 2017. The second phase of the effectiveness and reliability. During fiscal year 2017-
project is scheduled to begin in summer 2018. The 18, several major initiatives were completed to
project has a budget of$112 million. enhance plant safety and reliability. These included
a comprehensive lubrication assessment and
Another large-scale project is the Rehabilitation of preparation of enhanced Job Plans for low voltage
the Western Regional Sewers (Project No. 3-64) Motor Control Centers (MCCs) and switch gear to
which covers approximately 17 miles of sewers in the comply with NFPA70 standards. An analysis of our
cities of Anaheim, Buena Park, Cypress, La Palma, current pumping system at the Steve Anderson Lift
Los Alamitos, Seal Beach and unincorporated areas Station (SALS) was also conducted, resulting in an
of the County of Orange referred to as Rossmoor. improvement over current technology by converting
This large project is required to rehabilitate or to close-coupled pump motors. Throughout the
replace pipes that were installed 45 to 55 years ago. Plant, more than 4,600 preventative maintenance
The sewers have multiple deficiencies which have activities were performed. In addition to these
allowed the intrusion of ground water. In some cases, routine activities, the following maintenance and
hard calcium deposits have developed, making the repair activities are projected to be completed in
pipe difficult to clean,and may,over time, impede the fiscal year 2017-18:
wastewater flow. Portions of the project will be
relined and others will be replaced with larger Replacement of all check valve and jet cell
ignitors for three CenGen engines.
diameter pipelines. Over 150 manholes will be
replaced.This project is currently in the design phase
with construction anticipated for 2020. This project Installation of automatic balancing equipment on
budget is $202 million. one engine to improve efficiency and reliability
The Westminster Boulevard Force Mains 0Overhaul of one cake conveyor and one belt
Replacement (Project No. 3-62) will replace two press for biosolids dewatering.
existing force mains that run three miles along
Westminster Boulevard from the Seal Beach 0 Major service on two blowers that service the
Boulevard to Rancho Road in the City of Activated Sludge secondary treatment facility.
Westminster. The project is in design, with
Section 2—Page 21
2018-19 & 2019-20 Budget
• Major maintenance service of ten primary 0 Major maintenance service of ten primary
clarifiers for increased reliability. clarifiers for increased reliability.
• Replacement of the vane bushings on three of 0 Cleaning and valve replacement of two
the Activated Sludge blowers. digesters.
• Cleaning and valve replacement of three Total estimated costs: $10,186,050
digesters.
Reclamation Plant No. 1 CIP Projects:
• Overhaul of one digester gas compressor These projects are intended to rehabilitate or
reconstruct major components of our treatment
Total costs: $8,586,560 process to ensure compliance with regulatory
permits, enhance water recycling and safety.
During fiscal year 2018-19, there are more than
5,000 preventative maintenance activities that are One of the largest projects currently being designed
scheduled to be completed at Plant No.1. This is the Headwork Rehabilitation at Plant No. 1 (Project
includes typical time or cycle based maintenance No. P1-105). The facility is almost 30 years old, so a
tasks such as adjustments and mechanical comprehensive refurbishment is required in order to
alignments, cleaning and tightening of electrical extend the life of the facility. The project will
equipment, calibration of sensors and meters, rehabilitate systems including the metering and
changing of lubricants and filters, exercising diversion structure, the bar screen building, the bin
equipment, rebuilds and regulatory testing. While loading building, the main sewage pump station, the
completing these activities, we will simultaneously grit basins, the primary influent channels, the
conduct an optimization study of all preventative headworks odor control scrubbers, and electrical
maintenance tasks to ensure assets are effectively power distribution and control systems. Thisproject
maintained at proper intervals and lower cost. In will also replace the emergency pumping capacity
addition, staff will be utilizing predictive technologies that has been provided by the original headworks
such as vibration analysis to measure imbalance in pumping system dating back to the 1950s. The total
rotating equipment, thermography to measure budgeted cost for this project is $370 million.
excessive heat, oil analysis to predict failure of
lubricants, and ultrasonic to detect leaks as well as While the Sanitation District generally has adequate
deterioration and short-circuiting in electrical hydraulic treatment capacity, additional solids
equipment. We will also develop and initiate handling capacity is needed.The Sludge Dewatering
implementation of the lubrication program based on and Odor Control Project (No. P1-101) is necessary
the assessment completed in the previous year. to support the need for more capacity to thicken and
Other major planned activities for fiscal year 2018-19 dewater sludge due to the conversion to full
at Reclamation Plant No. 1 include: secondary treatment as well as increased flow to
support the expansion of the GWRS.The 40-year old
system has reached the end of its useful life and as
• Major overhaul of one CenGen Engine. such will be replaced with a new and improved
facility that will increase cake dryness which will
• Meet stricter NFPA110 standards for servicing reduce biosolids management cost. This will in turn
standby and mobile generators. improve sludge thickening to optimize the use of
existing digesters thus eliminating the need to
• Complete year one of a two-year effort to reduce construct new digesters.The project will also help us
potential arc flash by adjusting and testing meet our level of service goal by reducing odors. The
protective relays and breakers. project budget is$199.5 million.
• Assess underground cable condition to ensure A project closely tied to the solids dewatering facility
reliability of the electrical distribution network. is the Digester Rehabilitation (Project No. P1-100)
which is rehabilitating 12 digesters. The project will
• Major service on one blower that services the refurbish aged storage tanks, as well as handle the
Activated Sludge secondary treatment facility. increased volume of solids more efficiently and with
greater reliability. The sludge pumping, heating,
structural, mechanical, and electrical and control
Section 2—Page 22
Business Plan
systems will all be rehabilitated which will increase implementation of the lubrication program based on
the quality of the sludge production. By rehabilitating the assessment completed in the previous year.
our existing digesters, we reduce the risk of failure Other major planned activities at Treatment
and extend the life of the assets, minimizing future Plant No. 2 for fiscal year 2018-19 include:
expenditures. The total project budget is$66 million.
Treatment Plant No. 2: • Overhaul of one CenGen Engine.
All flows entering Treatment Plant No. 2 are treated 0Cleaning and valve replacement of four
to full secondary standards and then discharged four digesters.
miles offshore through our ocean discharge outfall.
Plant No. 2 has also implemented the same a Major repair of two primary clarifiers and six
maintenance best practices implemented at Plant secondary clarifiers for increased reliability.
No. 1 to ensure consistency across OCSD in the
areas of safety and asset reliability. Plant No. 2 will 0 Meet stricter NFPA110 standards for servicing
also benefit from the lubrication assessment standby and mobile generators.
conducted during fiscal year 2017-18 as well as the
enhanced job plans for MCCs and switch gear to 0 Complete year one of a two-year effort to reduce
comply with NFPA70 standards. In addition to more potential arc flash by adjusting and testing
than 4,700 preventative maintenance activities protective relays and breakers.
completed during fiscal year 2017-18, the following
major activities are projected to be completed: a Conduct medium voltage cable assessment.
• Cleaning and valve replacement of three 0 Replace one boiler heat exchanger.
digesters.
• Complete repair of secondary clarifier inlet
• Replacement of all check valve and jet cell gates.
ignitors for one CenGen engine.
• Replace all check valve and jet cell ignitors for
• Rehabilitation of one CenGen electrical four CenGen engines.
generator.
Total estimated costs: $9,766,350
• Installation of automatic balancing equipment on
one engine to improve efficiency and reliability
Treatment Plant No. 2 CIP Projects:
Total costs: $5,898,080 The Primary Treatment Rehabilitation Project
(Project No. P2-98) will rehabilitate the primary
During fiscal year 2018-19, there are more than clarifiers, influent pipes, construct new primary
5,000 preventative maintenance activities that are effluent pipes, and rehabilitate and upgrade the odor
scheduled to be completed at Treatment Plant No.2. control systems.These facilities date back to the late
This includes typical time or cycle based 1950s and need seismic and condition based
maintenance tasks such as adjustments and upgrades. By replacing old structures and installing
mechanical alignments, cleaning and tightening of new systems, we will improve the resiliency of our
electrical equipment, calibration of sensors and infrastructure and thus improve our ability to provide
meters, changing of lubricants and filters, exercising service.This is anticipated to be a very long duration
equipment, rebuilds and regulatory testing. While project because the need to maintain treatment
completing these activities, we will simultaneously operations during the project. The total project
conduct an optimization study of preventative budget is $245 million.
maintenance tasks to ensure assets are effectively Treating 100 percent of our influent to full secondary
maintained at proper intervals and lower cost. In treatment standards means there are more solids to
addition, staff will be utilizing predictive technologies manage. The Sludge Dewatering and Odor Control
such as vibration analysis to measure imbalance in project (Project No. P2-92) is replacing the current
rotating equipment, thermography to measure belt press dewatering system with a centrifuge
excessive heat, and oil analysis to predict failure of dewatering facility that will remove a greater amount
lubricants. We will also develop and initiate of water from the sludge resulting in reduced
Section 2—Page 23
2018-19 & 2019-20 Budget
disposal costs for the Sanitation District. This Civil Assets Maintenance Proaram:
$90 million project will be in construction through The Civil Assets Maintenance Program (CAMP)
2020. covers proactive and corrective maintenance tasks
for all OCSD civil assets at all its facilities located at
The Headworks Modifications at Plant No. 2 for Plants No. 1 and No.2, as well as all OCSD pump
GWRS Final Expansion (Project No. P2-122) will stations and the collections system. CAMP works to
support the GWRS Final Expansion by separating ensure that OCSD civil assets meet design life
non-reclaimable flows from those that can be expectancy and will complement the existing
transferred to OCWD for reclamation. The project maintenance programs for mechanical, electrical
will include the installation of new gates, replacement and instrumentation maintenance. In addition, the
of three existing influent pumps at the existing program ensures the assessment of nearly all
Headworks, and modification of waste sidestream structures to achieve OCSD's primary mission of
pumping and piping. Costs associated with this protecting the public health and environment. This
project will be reimbursed by OCWD. includes a valve and gate- exercising program
comprised of more than 264 preventive maintenance
As we make improvements throughout the plant, it is tasks for more than 1,650 valves and gates in both
imperative we pay attention to our ocean outfall plants and the collections system. Besides
systems. Many components of the system such as developing in-house capabilities to better monitor
the pipeline assets have already been addressed, so and maintain these assets, the program entails
now we turn our attention to the pumping systems. utilizing consultants and contractors for program
Project No. J-117, the Ocean Outfall System development and implementation. Repairs of the
Rehabilitation, will rehabilitate the Ocean Outfall assets are planned and scheduled based on
Booster Station and the 84-inch and 120-inch condition and criticality, and performed by staff or
interplant effluent lines between Plant No. 1 and contracted services. CAMP will also implement an
Plant No. 2. The pump station work includes equipment rotation program to ensure that
rehabilitation of the mechanical, electrical, and civil equipment wear is predictable.
systems which will extend the life of the facility and
increase the efficiency of the system. In addition, a For fiscal year 2018-19, 45 planned entries and
new Low Flow Pump Station will be added due to our inspections of civil structures are planned, which will
increased water recycling rates, which will reduce include minor repairs of identified deficiencies.
our outfall flows below the minimum capacity of the
existing effluent pumps. This project will also Estimated total costs: $3,228,800
relocate the existing Plant Water Pump Station to
prevent water that is not reclaimable by the GWRS
from flowing into the reclaimable portion of the
treatment plant. The project will also replace existing
electrical switchgear at the Central Generation
Building. The budget for this project is $166 million.
Costs associated with the Plant Water Pump Station
will be reimbursed by the OCWD.
As part of the long-term CIP planning efforts, several
studies are currently underway evaluating various
areas of the plants and the collection system to
determine their condition, and identify deficiencies or
improvements needed. These studies include the
Seismic Evaluation of Structures at Plant No. 1 and
and Plant No. 2, Collections Capacity Evaluation
Study, Stormwater Master Plan, Edinger Pump
Station Rehabilitation Study, and Rectangular
Primary Clarifier Reliability Study at Plant No. 1. The
results of these studies will help define and refine
future CIP projects to improve our facilities and
systems.
Section 2—Page 24
Business Plan
This page was intentionally left blank.
Section 2—Page 25
2018-19 & 2019-20 Budget
FY 16-17 Level of
Results Service
Target
Protecting Public Health
Protecting public health and the environment utilizing all practical and effective means for wastewater, energy,
and solids resource recovery.
Accept dry weather runoff diversion flows without imposing fees. 0.72 MGD Up to 10 MGD
Air emissions health risk to community and employees, per one 9 <10
million people (for each treatment plant).
Notices of violation (NOV)with air, land, and water permits 0 0
Respond to collection system spills within 1 hour 100% 100%
Sanitary sewer spills per 100 miles 2.5 < 2.1
Contain sanitary sewer spills within 5 hours 100% 100%
Meet secondary treatment standards BOD 4.8 mg/L BOD 25 mg/L
TSS 5.3 mg/L TSS 30 mg/L
Frequency of unplanned use of emergency one-mile (78-inch 0 0
diameter) outfall (per year during dry weather).
Tons of biosolids to landfill through 2017 Peak Production period. 97.2 100
Compliance with core industrial pretreatment requirements 99% 100%
Stakeholder Understanding and Support
Communicating the District's mission and strategies with those we serve and all other stakeholders.
Meet GWRS specification requirements for Plant No. 1 secondary 2.5 NTU 5 NTU
effluent
Provide specification effluent available to the Groundwater 100% 100%
Replenishment System to maximize production of purified water.
Managing and Protecting the Public Funds
Continually seeking efficiencies to ensure that the public's money is wisely spent.
Annual user fees sufficient to cover all O&M Requirements 100% 100%
Actual collection, treatment, and disposal costs per million gallons 9.4% under <_ 10% of budget
Maintain AAA Bond Rating 100% 100%
Section 2—Page 26
Business Plan
FY 16-17 Level of
Results Service
Target
Providing Exceptional Customer Service
Providing reliable, responsive and affordable services in line with customer needs and
expectations.
Treatment plants odor complaint response within 1 hour. 100% 100%
Collection system odor complaint response within 1 working day. 100% 100%
Number of odor complaints:
• Reclamation Plant No. 1 10 0
• Treatment Plant No. 2 11 0
• Collection System 25 12
*Under normal operating conditions
Respond to public complaints or inquiries regarding construction projects
within 1 day. 100% 100%
New construction permits processed within 1 working day. 100% 100%
Respond to all biosolids contractor violations within a week of violation
notice. 100% 100%
Organizational Effectiveness
Creating the best possible workforce in terms of safety, productivity, customer service, and
training.
Employee injury incident rate— per 100 employees 4.0 <4.4
Industry Average
Meet mandatory OSHA training requirements 100% >95%
Hours worked since last lost work day 53,504 >1,000,000
Achieve annual agency target of days away from work, days of restricted 2.9 <2.5
work activity, or job transferred as a result of a work-related injury or
illness
Training hours per employee 47.5 45 per year
Section 2—Page 27
2018-19 & 2019-20 Budget
Strategic Goals for FY 2018-19 & FY 2019-20
Goals Strategic Importance Desired Outcome Status
1. Develop Biosolids Contract to dispose of Develop a mid and long- The Biosolids Master
Management one-half of total Bio- term strategy for bio- Plan was completed in
Options solids expires in 2016. solids disposal prior to May.
the expiration of current
contracts.
2. Update Odor Master Results of process Limiting offsite odor The Odor Master Plan
Plan performance and new impacts in an efficient was completed in May
odor measurement and cost-effective 2017.
technologies compel manner.
the review of current
standards.
3. Review the Utilization The District is a Maximize energy Staff researched and
of Renewable significant consumer of efficiency and conversion studied opportunities and
Energy in Waste- energy and seeks to from organic sludge to presented
water Management minimize energy usage electricity, gas, and recommendations to the
and maximize the useful heat. Board of Directors in
conversion of sludge to April 2017.
energy.
4. Development Future Water demand in ser- Develop a plan for the A plan to optimize
Water Recycling vice area is projected to best utilization of Plant Plant No. 2 effluent
Options increase 16 percent by No. 2 effluent water water was developed
2035. About one-half of currently discharged out and is in the design
District treated waste- to the ocean. stage.
water is lost to ocean
disposal.
5. Transfer of Local District's core business Obtain Board support OCSD completed the
Sewers to is wastewater treatment for transferring the transfer of the local
Member Cities and disposal, and ownership of all local sewers in Service Area 7
and Sewer maintaining sewer pipes sewers to the member to the East Orange
Agencies of the regional collection cities and sewer County Water District in
system. agencies. August 2016.
6. Workforce Planning Ensure that the right Integrate WFPD efforts Ongoing.
& Development people with the right to ensure workforce
(WFPD) skills and abilities, are in capabilities match work
the right place, at the required to meet the
right time. mission and levels of
service.
Section 2—Page 28
Long-Term Planning
OCSD Long-Term Planning
Type of Planning Description of Process Budget Impacts
Process
Update of the Maintaining a rolling 5-year In November 2007, the The levels of service
Five-Year comprehensive strategic District's Board approved a identified within the 2015
Strategic Plan plan that addresses the 5-Year Strategic Plan that Strategic Plan Update were
sanitation health and safety updated the District's the foundation for the
needs of the 2.6 million Mission, Vision, Levels of development of this two-
people we serve. Services, and Business year budget.
Plan. An update to this plan
is currently in development
and will be adopted by the
Board of Directors in
November 2018.
Capital Master Develop a 20-year capital In December 2017, the The 2018 CIP Validation,
Planning improvement projects (CIP) Board approved a new based on the 2017 Master
Program to meet the Facilities Master Plan that Plan, includes an overall
regulatory, environmental, lays out a capital program CIP budget of over$5.5
health, and safety needs of to deliver and maintain the billion for active and future.
a growing population. levels of service desired by
the Board of Directors.
Biosolids Aggressively pursue The study of biosolids Biosolids production will
Management biosolid disposal options will include offsite decrease by one-third when
alternatives following the an onsite facility, and new IRWD discontinues sending
expiration of the 2016-17 and established us biosolids and centrifuges
disposal contract. technologies. come online.
Groundwater Continue partnership with Maximize the use of The District will continue
Replenishment the Orange County Water treated effluent for water executing CIP projects to
System District (OCWD) in support recycling by sending support the Final Expansion
(GWRS) of the GWRS. secondary effluent from of the GWRS.
Plant No. 2 to the GWRS.
Section 2—Page 29
2018-19 & 2019-20 Budget
Background Information and Description of The District operates under an ocean discharge
Services: permit issued by the USEPA and the Santa Ana
Regional Water Quality Control Board. This permit
The Orange County Sanitation District(the"District") was last issued in July 2012 and has been
is a public agency that operates one of the largest administratively extended during the renewal
wastewater facilities in the United States of America. process.To maintain the District's National Pollutant
Originally formed in 1954 pursuant to the joint Discharge Elimination System (NPDES) operating
powers provision under the County Sanitation permit, the District's plants must meet strict
District Act of the California Health and Safety Code, conditions setjointly by the regulators.
the District then consisted of independent special
districts responsible for wastewater collection within The District operates under an ocean discharge
their own geographical boundaries. These districts permit issued by the USEPA and the Santa Ana
were co-participants in a Joint Agreement to provide Regional Water Quality Control Board. This permit
for the joint construction, ownership, and operation was last issued in July 2012 and is noticed for re-
of the District's Joint Facilities for the treatment and adoption on December 15, 2017. To maintain the
recycling of wastewater. District's National Pollutant Discharge Elimination
System (NPDES) operating permit, the District's
On July 1, 1998, the nine individual existing districts plants must meet strict conditions set jointly by the
requested to be consolidated into one district by USEPA and the CRWQCB.
resolution of the Board of Supervisors of the County
of Orange and special legislation. The District maintains and operates a large system of
trunk sewers and pumping stations in addition to the
The District is governed by a Board of Directors two modern treatment plants. The plants use
made up of mayors or members of city councils, chemical, physical and biological processes to
directors of independent special districts, and one produce a high-quality effluent. Chemicals used are
member from the County Board of Supervisors. A either environmentally neutral or biodegradable.
variety of board committees, made up of members of
the Board of Directors, consider topics for action by The treated effluent from the Huntington Beach plant
the Board and make recommendations to the Board. is pumped through a five-mile, 10-foot diameter
ocean outfall pipe. The outfall has a one- mile long
The District is responsible for collecting,treating,and diffuser section that discharges treated water
safely disposing of approximately 185 million gallons through more than 500 portholes four miles off shore.
of wastewater each day for an area covering 479
square miles in metropolitan (central and In January 2008, the Orange County Water District
northwestern) Orange County. The District's service (OCWD) and the District completed Phase I of the
area includes approximately 2.6 million residents Groundwater Replenishment System,ajoint project by
and businesses, or approximately 81 percent of the the two agencies to provide reclaimed water for
County's total population. percolation into the groundwater basin from most of
the secondary effluent pumped from the Fountain
Professional staff of 627 full-time equivalent Valley plant, or approximately 92,300 acre-feet per
employees supports the District's around-the-clock year.
operation. Staff is organized into six departments,
including the General Manager's Office, Human In January 2012, the OCWD completed Phase II of
Resources, Administration, Environmental Services, the Groundwater Replenishment System (GWRS)
Engineering, and Operations and Maintenance. that provided an additional 33,000 acre-feet per year
of reclaimed water; resulting in the purification of 100
As working environmentalists, the District's staff is percent of the treated wastewater produced at the
regulated by many agencies, including the United Fountain Valley plant.
States Environmental Protection Agency (USEPA),
the California Regional Water Quality Control Board
(CRWQCB), the CalRecycle, the California Air
Resource Board, and the South Coast Air Quality
Management District(SCAQMD).
Section 2—Page 30
Orange County at a Glance
Community Profile of the County of Orange of job growth in the U.S. as well as in California. This
The County of Orange is bordered on the north by is all the more noteworthy considering the fact that
Los Angeles and San Bernardino counties, on the Orange County's job growth was higher than the
east by Riverside County, on the southeast by San state and nation in 2015. By 2016, the county fell
Diego County, and on the west and southwest by the below California but still outpaced the U.S. by a
Pacific Ocean. Approximately 42 miles of ocean considerable margin. Examination of the job data
shoreline provide many beaches, marinas and other generated using the household rather than payroll
recreational areas for use by residents and visitors. survey shows an even steeper drop-off, actually
falling into negative terrain with a decrease of 0.4
The climate in the County is mild, with an average percent. The relatively sharp drop in Orange
rainfall of 13 inches. The mean temperature ranges County's job growth is broad-based and not a result
from a minimum of 48 degrees to a maximum of 76 of any major downward shifts in particularjob sectors
degrees.
Chapman notes that area job growth does not seem
The County has become a tourist center in Southern to be related to unemployment and that the other
California by offering a broad spectrum of recreational metro areas in California exhibited significantly faster
opportunities that is enhanced by the mild climate. job growth than Orange County. In September 2017,
Along the shoreline are five state beaches and parks, Orange County had the lowest job growth rate
five municipal beaches and five county beaches. among the five largest metropolitan areas in the state
There are two small-craft docking facilities in Newport at 0.4 percent and the third lowest unemployment
Harbor,one located in Sunset Beach and another in rate at 3.6 percent. Chapman's 2018 forecast for
Dana Point. Orange County's job growth shows continued
weakness. On the positive side, the forecast calls for
Other major recreational and tourist facilities include an end to the downward slide with job growth picking
Disneyland, California Adventure, Knott's Berry up from 0.6 percent in 2017 to 0.8 percent in 2018.
Farm and Soak City, Mission San Juan Capistrano,
the Anaheim Convention Center, and the Art Colony With no recessionary signals in sight, Chapman is
at Laguna Beach with its annual art festival. Also confident that the current economic expansion will
located within the County is Anaheim Stadium, home continue through 2018. Increases, however, in
of the Los Angeles Angels of Anaheim of Major private debt and continuing Fed tightening will
League Baseball,and the Honda Center, home of the restrain consumer and investment spending. And
Anaheim Ducks of the National Hockey League. while the global economy is probably in its best
overall shape since the recovery began, China's
Economic Outlook growth will be constrained as a result of its rapidly
According to the California Employment increasing private debt. Chapman's forecast calls
Development Department (EDD), Orange County for a continuation of relatively strong production
generated an increase of approximately 0.9 percent levels of 1.2 million housing starts nation-wide in
in payroll jobs from March 2017 to March 2018. 2018. This roughly matches the cyclical highs
During this same time period, unemployment in reached in 2017.
Orange County decreased to 2.8 percent from 3.7
percent while the unemployment in California as a The drop in Orange County residential permits from
whole decreased to 4.2 percent from 5.2 percent. 12,134 in 2016 to 10,455 in 2017 masks the fact that
single-family permits increased 13.8 percent while
According to Chapman University's December 2017 multi-family dropped sharply with a decline of 26.4
Economic Forecast, after experiencing sharper job percent. In 2018, forecasted permit activity
losses than the U.S. during the Great Recession, increases 10.8 percent to 11,585 units. In contrast
California caught up by the end of 2013 and has to 2017, multi-family permits will show more strength
since outpaced the national economy. Payroll jobs in than single-family.
California are 8.6 percent higher at the end of 2017
than at the end of 2007, when the recession started. Housing appreciation is forecasted to decline from
After recovering from a deeper trough during the 6.4 percent in 2017 to 5.2 percent in 2018. Higher
Great Recession, Orange County mirrored mortgage rates in 2018 will reduce housing
California's job growth trajectory. That is, until 2017, affordability. But offsetting that is a tight supply of
when job growth in the county of 0.6 percent dropped unsold housing that is keeping upward pressure on
sharply below California's 1.7 percent rate of growth. prices. On a more positive outlook, Chapman
Closer examination of Orange County's nosedive in forecasts personnel income in Orange County to
job growth shows that in 2017 it fell well off the pace grow 3.4 percent in 2018.
Section 2-Page 31
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 2—Page 32
POLICIES & PRACTICES
SECTION 3
Fiscal Policy
in
Fiscal Policy Statement Completed Progress Comments
General Financial Goals
To maintain a financially viable Sanitation District that can
maintain an appropriate level of wastewater treatment '�
services.
To maintain financial flexibility by adapting to local and ✓
regional economic changes.
To maintain and enhance the sound fiscal condition of the ✓
District.
To ensure that the value added by every program and activity
within the District is proportional to its cost; and to eliminate ✓
those programs and activities that do not contribute to the
District's mission.
To provide training opportunities to the greatest extent
possible for available jobs within the organization for those ✓
employees working in programs or activities that have been
reduced or eliminated.
To provide employees with cross-training opportunities in ✓
order to achieve multi-tasking capabilities.
Operating Budget Policies
The District will adopt a balanced budget by June 30 of each ✓
year.
The budget will be used as a fiscal control device as well as a ✓
financial plan.
Budget preparation and monitoring will be performed by each
division within the District, the organizational level of
accountability and control.
The Director of Finance &Administrative Service will prepare ✓
a budget calendar no later than January of each year.
An annual operating budget will be developed by ✓
conservatively projecting revenues and expenditures for the
current and forthcoming fiscal years.
During the annual budget development process, the existing
programs will be thoroughly examined to assure removal or ✓
reduction of any services or programs that could be eliminated
or reduced in cost.
Current operating revenues will be sufficient to support current ✓
operating expenditures.
Section 3 - Page 1
2018-19 & 2019-20 Budget
in
Fiscal Policy Statement Completed Progress Comments
Annual budgets including reserves will provide for adequate ✓
design, construction, maintenance and replacement of District
capital facilities and equipment.
The District will maintain all physical assets at a level ✓
adequate to protect the District's capital investment and to
minimize future maintenance and replacement costs.
The District will project equipment replacement and
maintenance needs for the next five years and will update this ✓
projection each year. From this projection a maintenance and
replacement schedule will be developed and followed.
The District will avoid budgetary and accounting procedures ✓
that balance the current budget at the expense of future
budgets.
The District will forecast its expenditures and revenues for ✓
each of the next five years and will update this forecast at
least annually.
Revenue Policies
Because revenues are sensitive to both local and regional ✓
economic conditions, revenue estimates adopted by the
Board of Directors must be conservative.
Staff will estimate annual revenues by an objective, analytical ✓
process that utilizes trend,judgmental, and statistical analysis
as appropriate.
Ad valorem property tax revenues of the District will be ✓
dedicated to debt service.
Sewer Service User Fees will be projected for each of the ✓
next ten years and this projection will be updated annually.
Expenditure Policies
The District will maintain a level of expenditures that provides
for the health, safety and welfare of the residents of the ✓
community.
The District will set fees and user charges at a level that fully
supports the total direct and indirect costs of operations, ✓
capital improvements, and debt service requirements not
covered by reserves.
Section 3 - Page 2
Fiscal Policy
in
Fiscal Policy Statement Completed Progress Comments
Capital Improvement Budget Policies
The District will make all capital improvements in accordance
with an adopted and funded capital improvement program. ✓
The adopted capital improvement program will be based on
need.
The District will develop an annual five-year plan for capital Master Plan
improvements, including design, development, ✓ projects needs
implementation, and operating and maintenance costs. through 2050.
All capital improvement projects approved in the annual
operating budget are approved at the budgeted amounts
through the completion of the project. The Board of Directors ✓
approves both the individual project total budget and the
projected cash outlays for all capital improvement projects for
the current fiscal year.
Staff will identify the estimated costs, potential funding
sources and project schedule for each capital project proposal ✓
before it is submitted to the Board of Directors for approval.
Staff will identify the estimated on-going future Operating and Included in
Maintenance costs, as well as staffing requirements upon ✓ Asset
completion for each capital project proposal before it is Management.
submitted to the Board of Directors for approval.
The District will use intergovernmental assistance and other
outside resources whenever possible to fund capital
improvements providing that these improvements are
consistent with the Capital Improvement Plan and the
District's priorities, and that the future operating and
maintenance costs of these improvements have been
included in the budget.
Staff will coordinate development of the capital improvement
budget with the development of the operating budget. All
operations and maintenance resources required to implement ✓
the CIP have been considered and appropriately reflected in
the operating budget for the year the CIP is to be
implemented.
Cost tracking for components of the capital improvement
program will be updated quarterly to ensure project ✓
completion against budget and established time lines.
Section 3 - Page 3
2018-19 & 2019-20 Budget
in
Fiscal Policy Statement Completed Progress Comments
Asset Management Policy
In order to provide for the systematic planning, acquisition,
deployment, utilization control, and decommissioning of
capital assets, the following policies have been established:
• The condition, performance, utilization, and cost of assets ✓
will be recorded down to the maintenance managed item
component level.
• A detailed, planned maintenance program is in place to ✓
ensure that the assets, facilities and systems perform to
their design criteria and meet their design lives.
• A system is in place to blend planned and unplanned
activity to optimize the cost against the asset performance
requirements.
• Reliability Centered Maintenance techniques will be used ✓
to optimize the maintenance plans and to identify any
design alterations that are economically justified.
• Current levels of asset management service in terms of Completed for
quantity and quality of service including condition, ✓ critical and high
function/size/type, regulatory requirements, reliability, and value assets.
repair response times have been determined and
documented.
• The full economic cost is charged on all asset ✓
management activities.
• Asset Management maintains appropriate pricing and ✓
funding strategies that match the needs of the business to
ensure sustainability.
• Asset Management considers the real growth of the
District's service area and the way in which demands for ✓
service will change in the future, including population, unit
demand, demographics, changing customer expectations,
and changing regulatory requirements.
• Monitoring and reporting is performed on the condition, Service levels are
performance and functionality of the District's assets ✓ reported quarterly
against prescribed service levels and regulatory through the
requirements. Strategic Plan
reporting.
• A condition/function index is linked with customer ✓ Completed
expectations at a cost that customers are willing to pay. through the
budget process.
• Future level of service options available and their ✓
associated costs are constantly analyzed.
Section 3 - Page 4
Fiscal Policy
in
Fiscal Policy Statement Completed Progress Comments
• An assessment of the relative risks, costs and benefits is ✓
derived for all investments in capital works, maintenance,
and operations.
• Individual asset management decisions are made only
when the cost of all programs has been analyzed and the ✓
funding needs of the whole organization is known together
with the knowledge of its impact on rates.
• Necessary renewal programs to sustain the existing levels
of service and condition of assets, as identified through ✓
the best appropriate process, is approved ahead of new
capital works and services.
• New capital assets for new works and services are
approved only with the commitment of the recurrent ✓
(operations and maintenance)funding necessary to
sustain the new works and services.
• The financial, social, and environmental aspects of asset ✓
management will be reported on bi-annually.
Vehicle Replacement Policy
In order to provide safe, reliable transportation appropriate to
the work to be performed, the following policies have been
established:
• The newest vehicles will be used for those purposes ✓
requiring the highest annual mileage.
• Vehicles may be replaced when they are 12 years old or ✓
have accumulated 120,000 miles.
• A vehicle may be replaced in advance of the above ✓
criteria if it can be reallocated to a low mileage use
between the plants.
• Electric carts are to be utilized for in-plant use only. ✓
• When available, CNG vehicles or bi-fuel vehicles are to be ✓
utilized within the County (pump station runs, source
control inspections, etc).
• When available, CNG vehicles or bi-fuel vehicles are to be
utilized to travel outside of Orange County(e.g., ✓
Environmental Compliance Monitoring of biosolids
application sites, etc).
Section 3 - Page 5
2018-19 & 2019-20 Budget
in
Fiscal Policy Statement Completed Progress Comments
Short-Term Debt Policies
The District may use short-term debt to cover temporary or
emergency cash flow shortages. All short-term borrowing will ✓
be subject to Board approval by resolution.
The District may utilize Board approved intra-agency loans
rather than outside debt instruments to meet short-term cash
needs. Intra-agency loans will be permitted only if an analysis
of the affected Revenue Areas indicates funds are available ✓
and the use of these funds will not impact current operations.
The principal, along with interest at the prevailing rate as
established by the District's Treasurer, will be paid to the
lending Revenue Area.
Long-Term Debt Policies
Proceeds from long-term debt will not be used for current on- ✓
going operations.
Before any new debt is issued, the impact of debt service ✓
payments on total annual fixed costs will be analyzed.
Develop and maintain a board adopted debt policy. ✓
Accumulated Funds & Reserve Policies
A cash flow reserve will be established to fund operations,
maintenance, and certificates of participation expenses for the
first half of the fiscal year, prior to the receipt of the first
installment of the property tax allocation and the sewer
service user fees which are collected as a separate line item ✓
on the property tax bill. The level of this reserve will be
established as the sum of an amount equal to six months
operations and maintenance expenses and the total of the
annual debt(COP)service payments due in August each
year.
An operating contingency reserve will be established to
provide for non-recurring expenditures that were not
anticipated when the annual budget and sewer service fees ✓
were considered and adopted. The level of this reserve will
be established at an amount equal to ten percent of the
annual operating budget.
Section 3 - Page 6
Fiscal Policy
in
Fiscal Policy Statement Completed Progress Comments
A capital improvement reserve will be maintained to fund
annual increments of the capital improvement program. The
long-term target is for one half of the capital improvement
program to be funded from borrowing and for one half to be
funded from current revenues and reserves. With this
program in mind, the target level of this reserve has been
established at one half of the average annual capital
improvement program through the year 2020. Levels higher
and lower than the target can be expected while the long-term
financing and capital improvement programs are being
finalized.
A renewal/replacement reserve will be maintained to fund the
District's renewal, rehabilitation and replacement requirement
costs associated with the District's existing capital plant and
collection system over the next twenty years. The reserve
was initially set at$50 million in 1998-99 and is annually
augmented by interest earnings and a small portion of the
annual sewer user fees in order to meet projected needs
through the year 2030.
Catastrophic loss, or self-insurance, reserves will be
maintained for property damage including fire, flood, and
earthquake; for general liability; and for workers'
compensation. These reserves are intended to work with
purchased insurance policies, FEMA disaster
reimbursements, and State disaster reimbursements. Based
on the current infrastructure value of$1.3 billion, the reserve
level has been set to fund the District's non-reimbursed costs,
estimated to be$57 million.
Investment Policies
The District's Treasurer will annually submit an investment
policy to the Board of Directors for review and adoption.
The investment policy will emphasize safety and liquidity
before yield.
Accounting, Auditing, and Financial Reporting
The District's accounting and financial reporting systems will
be maintained in conformance with generally accepted
accounting principles and standards promulgated by the
Governmental Accounting Standards Board.
A capital asset system will be maintained to identify all District
assets, their condition, historical cost, replacement value, and
useful life.
Section 3 - Page 7
2018-19 & 2019-20 Budget
in
Fiscal Policy Statement Completed Progress Comments
Quarterly financial reports will be submitted to the Board of ✓
Directors and will be made available to the public.
Full disclosure will be provided in the general financial ✓
statements and bond representations.
The District will maintain a good credit rating in the financial The District's
community. AAA rating was
reaffirmed with
the$66.4 million
2017A Revenue
Refunding debt
issuance.
An annual audit will be performed by an independent public
accounting firm with the subsequent issue of an official ✓
Comprehensive Annual Financial Report, including an audit
opinion and a management letter.
Section 3 - Page 8
GFOA Best Practices and Advisories
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Accounting,Auditing, and Financial Reporting Recommended Practices
Governmental Accounting,Auditing, ✓
and Financial Reporting Practice
Prepare Popular Reports ✓ Not being considered at this
time due to other
communication efforts.
Appropriate Levels of Working Capital ✓ Working Capital of the District
in Enterprise Funds shall be greater than 45 days
worth of annual operating
expenses
Audit Procurement ✓
Use the Comprehensive Annual ✓
Financial Report to Meet SEC
Requirements for Periodic Disclosure
Establish Appropriate Capitalization ✓
Thresholds for Tangible Capital
Assets
Internal Audit Function Established ✓ Administrative Committee
directs Internal Audits
Audit Committees ✓ Administrative Committee
serves as an audit committee.
The Need for Periodic Inventories of ✓
Capitalized Tangible Assets
Application of Full-Cost Accounting to ✓ OCSD does not provide solid
Municipal Solid Waste Management waste services.
Activities
Present Securities Lending ✓ OCSD does not have Securities
Transactions in Financial Statements Lending Activities
Technology Disaster Recovery ✓ Managed by Information
Planning Technology Division
Present Budget to Actual ✓ Not required for audited
Comparisons Within the Basic financial statement reports of
Financial Statements Enterprise Funds. Budget/actual
comparisons are included within
unaudited quarterly financial
reports.
Use Websites to Improve Access to ✓
Budget Documents and Financial
Reports
Use of Trend Data and Comparative ✓
Data for Financial Analysis
Section 3— Page 9
2018-19 & 2019-20 Budget
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Appropriate Level of Unrestricted ✓ OCSD only has Proprietary
Fund Balance in the General Fund Fund Types-established a
formal policy on the level of
unrestricted net assets
Document Accounting Policies and ✓
Procedures
Establish the Estimated Useful Lives ✓
of Capital Assets
Improve the Effectiveness of Fund ✓
Accounting
Enhance Management Involvement ✓
with Internal Control
Including Management's Discussion ✓
and Analysis in Departmental Reports
Auditor Association with Financial ✓
Statements Included in Offering
Statements or Posted on Websites
Ensuring Control over Noncapitalized ✓
Items
Considerations on Using the Modified ✓ OCSD depreciates all capital
Approach to Account for assets; OCSD has no
Infrastructure Assets governmental fund types
Mitigating the negative effects of ✓
Statement on Auditing Standards
No.112
Encouraging and facilitating the ✓
reporting of fraud and questionable
accounting and auditing practices
Ensuring adequate documentation of ✓
costs to support claims for disaster
recovery assistance
Improving the timeliness of financial ✓
reports
Web Site Presentation of Official ✓ Managed by Information
Financial Documents Technology Division
Treasury and Investment Management Recommended Practices
Collateral ization of Public Deposits ✓
Government Relationships with ✓
Securities Dealers
Using Mutual Funds for Cash ✓
Management Purposes
Section 3—Page 10
GFOA Best Practices and Advisories
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Debt Service Payment Settlement ✓
Procedures
Adopt a comprehensive written ✓
Investment Policy and review and
update policies, if necessary on an
annual basis
Use of Derivatives and Structured ✓ Investment Policy does not
Investment by State and Local allow Derivative Investments
Governments for Non-Pension Fund
Investment Portfolios
Use of Derivatives and Structured ✓ Investment Policy does not
Investment by State and Local allow Derivative Investments
Governments for Cash Operating and
Reverse Portfolios
Security Lending Programs for Non- ✓
Pension Fund Portfolios
Diversification of Investments in a ✓
Portfolio
Managing Market Risk in Investment ✓ Managed by Chandler Asset
Portfolios Management
Electronic Payment Systems ✓
Procurement of Banking Services ✓
Purchasing Card Programs ✓
Acceptance of Payment Cards and ✓
Selection of Payment Card Service
Providers
Frequency of Purchased Securities ✓
Valuation in Repurchase Agreements
Selection of Investment Advisors for ✓
Non-Pension Fund Investment
Portfolios
Utilize independent Third-Party ✓
Custodians to safeguard District
investments and protect against
safekeeping/custodial risks.
Mark-to-Market Reporting Practices ✓
Establish Policy for Repurchase ✓
Agreements and Reverse
Repurchase Agreements
Section 3—Page 11
2018-19 & 2019-20 Budget
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Use of Lockbox Services ✓ OCSD does not have sufficient
cash related transactions to use
Lockbox services. The majority
of revenues are collected on the
property tax roll.
Commercial Paper ✓
Use of Cash Flow Forecasts in ✓
Operations
Bank Account Fraud Prevention ✓
Use of Local Government Investment ✓
Pools
Revenue Control and Management
Policy ✓
Payment Consolidation Services ✓
Using Electronic Signatures ✓
Using Remote Deposit Capture ✓
Budpetin_q and Fiscal Policy Recommended Practices
Economic Development Incentives ✓
Use of Performance Measurement for ✓
Decision Making
Providing a Concise Summary of the ✓
Budget
Establishing of Government Charges ✓
and Fees
Recommended Budget Practices of ✓
the National Advisory Council on
State and Local Budgeting (NACSLB)
Financial Forecasting in the Budget ✓
Preparation Process
Relationships Between Budgetary ✓
and Financial Statement Information
Use of Financial Status in the ✓
Budgeting Process
Adoption of Financial Policies ✓
Appropriate Level of Unreserved ✓ OCSD only has Proprietary
Fund Balance in the General Fund Fund Types-established a
formal policy on the level of
unrestricted net assets
Section 3—Page 12
GFOA Best Practices and Advisories
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Include Sustainability in Public ✓
Finance Practices
Establish Strategic Plans ✓
Measuring the Cost of Government ✓
Services
Using Websites to Improve Access to ✓
Budget Documents and Financial
Reports
Business Preparedness and ✓
Continuity Guidelines
Statistical/Supplemental Section of ✓
the Budget Document
Budgeting for Results and Outcomes ✓
Present Capital Budget in Operating ✓
Budget Document
Present Departmental Section in the ✓
Operating Budget Document
Alternative Service Delivery: Shared ✓
Services
Long-Term Financial Planning ✓
Comprehensive Risk Management ✓
Program
Public Participation in Planning, ✓
Budgeting, and Performance
Management
Inflationary Indices in Budgeting ✓
Key Issues in Succession Planning ✓ Expand and align ongoing
succession planning as part of
OCSD's workforce planning and
development efforts to ensure
continuity and consistency of
service delivery.
Managing the Salary and Wage ✓
Budgeting Process
Managed Competition as a Service ✓
Delivery Option
Debt Management Recommended Practices
Select and Manage the Method of ✓
Sale of State and Local Government
Bonds
Section 3—Page 13
2018-19 & 2019-20 Budget
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Analyzing and Issuing Refunding ✓ At the outset of evaluating the
Bonds issuance of bonds, solicit the
advice of bond counsel and
financial advisor in order to
outline key legal and financial
issues.
Debt Management Policy ✓ Board approved Debt Policy
completed in 2001-02.
Investment of Bond Proceeds ✓ Included in Trustee Documents
Use of Debt-Related Derivatives ✓ No Derivative Products
Products and Development of
Derivatives Policy
Maintain an Investor Relations ✓
Program
Payment of the Expense Component ✓ Establish at the beginning of the
of Underwriters' Discount bond negotiation process what
expenses will be directly paid by
the issuer or as part of the
underwriter spread.
Issuer's role in Secondary Market ✓ Meet qualifications of arbitrage
Securitization of Tax-Exempt
Obligations
Evaluate the Use of Pension ✓ OCSD does not manage
Obligation Bonds pension fund
Evaluating the Sale and ✓
Securitization of Property Tax Liens
Use Variable Rate Debt Instruments ✓
Issuer's Role in Selection of ✓
Underwriter's Counsel
Issuing Taxable Debt by U.S. State ✓ OCSD does not plan to issue
and Local Governments taxable debt outside of the Build
America Bonds program
Select Bond Counsel ✓
Price Bonds in a Negotiated Sale ✓
Underwriter Disclaimers in Official
Statements ✓
Use a Web Site for Disclosure ✓
Tax Increment Financing as a Fiscal ✓
Tool
Section 3—Page 14
GFOA Best Practices and Advisories
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Caution in Regard to OPEB Bonds ✓ Pay-As-You-Go funding, no
plan on issuing bond
Public-Private Partnerships for ✓
Economic Development
Role of the Finance Officer in ✓
Privatization
Selecting Financial Advisors ✓
Selecting Underwriters for Negotiated ✓
Bond Sales
Understanding Your Continuing ✓
Disclosure Responsibilities
Managing Build America and Other ✓ Develop procedures for
Subsidy Bonds managing post-sale
considerations and
responsibilities while the bonds
remain outstanding.
Retirement and Benefits Administration Recommended Practices
Public Employee Retirement System ✓ Managed by OCERS
Investments
Preparing an Effective Summary Plan ✓ Managed by OCERS
Description
Retirement and Financial Planning ✓ Managed by OCERS
Services
Directed Brokerage Programs ✓ OCERS manages all "soft
dollar"transactions
A Policy for Retirement Plan Design ✓
Option
Asset Allocation—Guidance for ✓ Managed by OCERS
Defined Benefit Plans
Asset Allocation-Guidance for ✓ OCERS is a defined benefit
Defined Contribution Plans plan.
Alternative Investment Policy for ✓ Managed by OCERS
Public Employee Retirement Systems
(PERS)
Pension Investment Policy ✓ Managed by OCERS
Selection of Investment Advisors for Managed by OCERS
Pension Fund Assets ✓
Section 3—Page 15
2018-19 & 2019-20 Budget
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Brokerage Window Options for ✓ Managed by OCERS
Defined Contribution Retirement
Plans
Framework for Understanding ✓ Managed by OCERS
Pension Fund Risk
Investment Policies Governing Assets ✓ Managed by the plan sponsors
in a Deferred Compensation Plan
Health Care Cost Containment ✓
Evaluating Use of Early Retirement
Incentives ✓
Deferred Retirement Option Plans ✓
(DROPs)
A Policy to Participate in Securities ✓ Managed by OCERS
Litigation Class Actions
Ensuring the Sustainability of Other ✓ Pay-As-You-Go funding
Postemployment Benefits
Design Elements of Defined Benefit ✓ Managed by OCERS
Retirement Plans
Design Elements of Defined ✓
Contribution Plans as the Primary
Retirement Plan
Design Elements of Hybrid ✓
Retirement Plans
Monitoring and Disclosure of Fees for ✓
Defined Contribution Plans
Prefunding OPEB Obligation ✓ Pay-As-You-Go funding
Establishing and Administering an ✓ Pay-As-You-Go funding
OPEB trust
Commission Recapture Program ✓
Communicating Health-Care Benefits ✓
to Employees and Retirees
Participant Education-Guidance for ✓
Defined Contribution Plans
Strategic Health-Care Plan Design ✓
Governance of Public Employee ✓ Managed by OCERS
Retirement System
Sustainable Funding Practices of ✓
Defined Benefit Pension Plans
Section 3—Page 16
GFOA Best Practices and Advisories
Compliance Not In
GFOA Recommended Practice Met Applicable Progress Comments
Responsible Management and ✓
Design Practices for Defined Benefit
Pension Plans
Design and Implement Sustainable ✓
Pension Benefit Tiers
Develop a Review Process for ✓
Implementing National Health-Care
Reform (COBRA)
Economic Development and Capital Planning
Multi-Year Capital Planning ✓
The Role of the Finance Officer in
Economic Development ✓
Capital Project Monitoring and
Reporting ✓
Capital Asset Assessment, Establish a system for
Maintenance, and Replacement ✓ assessing District assets and
Policy plan and budget for any capital
maintenance and replacement
needs.
The Role of Master Plans in Capital
Improvement Planning ✓
Analyzing the Cost of Economic ✓
Development Projects
Building Resiliency into Capital ✓ Establish resiliency into the
Planning capital planning process to
produce a sustainable
community and mitigate the
effects of disasters.
Incorporating a Capital Project ✓
Budget in the Budget Process
Developing an Economic ✓ No Incentive Policy established
Development Incentive Policy
Monitoring Economic Development ✓
Performance
Balancing the Costs and Benefits of ✓
Economic Development Projects
Incorporating Environmentally ✓
Responsible Practices in the Capital
Improvement Program
Section 3—Page 17
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 3— Page 18
Overview of the Budget Process
Issuance of Budget Financial Review
Training and Instructions of Performance
District's Budget Administration of
Development Finance/Policy in Budget
-. . Execution/Feed ba
� T
Compilation/Analysis Executive Board
of District's Requests Enactment
by Financial/Planning
General Manager's Consideration of Budget
Review and Preparation by District's Board
of Executive Budget and Committee
Budget Process:
• Preparation/Planning-takes place from January
Ten years ago, the District prepared its first complete through March.
budget document covering two years instead of one. 0 Integration - runs from March through May.
The next year a smaller budget update document was 0 Passage-adoption of the budget usually occurs
prepared to summarize revisions to the second year in June of each year.
of the previously adopted two-year budget period. 0 Execution-starts from the first day of the budget
This two-year cycle approach to budget preparation year, July 1, through the entire budget year and
is expected to continue for the indefinite future. beyond into November with the presentation of
This change has not caused any modification to the the annual audit report.
previously established stages of the annual budget Key dates in this 2018 budget cycle are:
process except with regard to the level of detail which Budget Kick-off Meeting -January 18
is provided. The timing of all stages of the budget Department Budget Submissions - February 23
process remains consistent from year to year. In the Preliminary Budget Review - March 5-8
second year of a two-year cycle, however, the focus General Manager Budget Review - March 19-23
is on any changes that need to be made to the Presentation to Board Committees -June 6 & 13
upcoming year's budget relative to what was Public Hearing & Board Adoption -June 27
previously submitted, reviewed,and approved for that
budget during the prior year. Team Approach
The District's annual budget preparation process As identified by one of the fiscal policies, the budget
begins in January of each year and concludes in June preparation process originates at the division level,
upon its adoption. However, the entire budget the organizational level of accountability and control.
process extends beyond one year and overlaps with Budget coordinators are established to represent
the preceding budget and the subsequent budget. As each operating division. A comprehensive budget
shown in the chart above, the budget process manual is prepared and used as the training manual
consists of four major parts. These parts occur at during a training session with the budget
various stages throughout the year as follows: coordinators.
Section 3—Page 19
2018-19 & 2019-20 Budget
After the initial divisional budgets are prepared, Administrative policies provide guidelines on budget
budget review sessions are scheduled for each transfers and the authorization necessary to
division with the General Manager. It is during these implement transfers. Generally, there are two types
sessions that all proposed staffing levels, programs, of budget transfers:
and line item expenses are justified. Next senior
management representatives from each department 1. Budget Adjustment
analyze opportunities for consolidating programs and
eliminating unnecessary requests. Guidance is also This is a transfer which does not change the total
sought and utilized from District's committees on appropriated amount and does not require Board
various issues that affect budget development. action. Depending on the budget category affected
by the transfer, approval may be granted at the
The Process General Manager or Department Head level as
follows:
The budget preparation process begins in January
with the distribution of the budget manual, budget Department Heads have discretion to reapportion
preparation training, and issuance of personnel funds between certain line items within a division but
budget and justification forms, and equipment budget may not exceed total appropriated amounts for each
forms to all of the Divisions. department. They also may transfer staff across
divisional lines within their department. The General
In March, the Administrative Services Department Manager and Board of Directors must approve
develops divisional level budgets based on the additional capital outlay items. Funds appropriated
request forms received from the various divisions. for salaries and benefits may not be expended for any
These divisional budgets are then reviewed in mid- other purpose unless approved by the Board. The
March by the General Manager along with the General Manager may transfer operating funds within
Department and Divisional managers for each and between divisions and departments. The
program request and for new, additional, or reduced General Manager may also transfer staff positions
services, positions, and capital outlay. between departments.
The Capital Improvement Program requests are 2. Budget Amendment:
prepared from October through March and are
reviewed by Engineering and Department and This is an adjustment to the total appropriated
Divisional managers prior to being submitted to the amount, which was not included in the original
General Manager for review and evaluation as part of budget. These supplemental appropriations require
the budget process. formal action by the Board of Directors. Types of
modifications can be categorized as follows:
In determining recommended allocation levels, the
General Manager takes into consideration the Prior year reserves or fund balances may be
projected amount of available resources, direction appropriated to fund items not previously
provided by the Directors,the District's fiscal policies, included in the adopted budget.
and how to best provide the most cost-effective and
efficient service levels to the public. After a final Reserves/fund balances exceeding minimum
review of the operating budgets by the General amounts required by fiscal policy may be
Manager, the proposed annual budgets are finalized appropriated if it is determined to be in the best
in late May and then distributed to the Directors for interest of the District. Directors may also
consideration. appropriate reserves in case of emergencies or
unusual circumstances.
The General Manager presents the proposed budget
to the various Directors' Committees for deliberations Transfers between Revenue Areas require formal
throughout the month of June. The proposed budget action by the Board of Directors.
is scheduled for adoption, along with any revisions by
the Board, at the Board of Directors meeting in June. Unexpended appropriations automatically lapse at
the end of the fiscal year and are included in the
Level of Control and Amendments to the Budget ending fund balances.
Budgetary control, the level at which expenses
cannot legally exceed the appropriated amount, is
exercised at the individual Department level.
Section 3—Page 20
Budget Assumptions
2018-20 Proposed Budget Assumptions 0 Annexable property in the District's service area
sphere is minimal; consequently, no FY 2018-19
income from annexation fees is anticipated.
Economic Assumptions
• Inflation for Orange County in FY 2018-19 is 0 Property tax revenues are preliminarily
projected to be 2.4 percent based on the 2018 estimated to increase by approximately five
projected percentage change in consumer price percent from FY 2017-18 to $98,349,000.
index obtained from Chapman University.
A two percent annual increase in Assessed
A 2.4 percent inflation factor will also be used for Value is authorized by the state constitution and
FY 2019-20. is included in the increases noted above. The
additional increase in assessed value is from
authorized increases to market value when
Revenue Assumptions property is sold at a higher value.
• Based upon the proposed Sewer Service Fee
Rate Schedule to be approved by the Board in Earnings on the investment of the District's
March 2018, the single-family residence (SFR) operating cash and reserves will be budgeted at
rate will increase by 1.2 percent to $335 in 1.0 percent of the average cash and investment
FY 2018-19. balance projected for the fiscal year.
• Note that each $1 increase in the SFR rate No additional debt issuance is scheduled for
generates approximately$900,000 per year. FY 2018-19.
• The capital facilities capacity charge (CFCC) fee
captures only those infrastructure costs that Operating Assumptions
relate to additional capacity. The proposed 0 Operating expenses are expected to
CFCC fee to be approved by the Board in March approximate the adopted FY 2017-18 budget of
2018 will increase by ten percent for FY 2018- $154 million.
19. Other infrastructure costs such as improved
treatment, rehabilitation, refurbishment, and 0 Average daily flows are projected at 190 mgd for
replacement, will be supported through user FY 2018-19 and 191 mgd for FY 2019-20. The
fees. FY 2018-19 flow projection of 190 mgd reflects
an increase of 3 mgd from the actual for the first
• Given the Facilities Master Plan adopted in 5 months of the current year and is 2 mgd above
December 2017, a rate study was completed in the final actual flow for FY 2016-17.
December 2017 to ensure that the CFCC fee
methodology remains equitable and to confirm Employee/Staffing Assumptions
that an appropriate share of system costs would Staffing level is expected to remain flat. No
be recovered from new development. additional positions are anticipated. The total
FY 2017-18 authorized staffing level is 635.00
• Revenues will be budgeted to reflect little growth FTEs, excluding Management Discretion
in Equivalent Dwelling Unit (EDU) connections positions.
that have remained flat over the past five years.
• Vacant positions as of 12/31/17 are budgeted at
• Propose permit user rates for flow will increase 50 percent of step 1 for the remainder of
by 4.1 percent, Biochemical Oxygen Demand FY 2017-18 and at 100 percent of step 2 for
(BOD) will increase by 0.5 percent and Total FY 2018-19.
Suspended Solids (TSS) will increase by
2.9 percent for FY 2018-19 based upon the Rate 0 New positions will be projected at
Study completed in December 2017. 100 percent of step 1 for FY 2018-19.
• Annexation fees capture both the net current
assets and the equivalent property tax
allocations totaling $4,235 per acre.
Section 3—Page 21
2018-19 & 2019-20 Budget
• A 5.0 percent vacancy factor on authorized An amount equal to 0.85 percent of the
positions has been budgeted for FY 2018-19. Operating materials and services budget will be
The actual vacancy factor is currently running at the General Manager's contingency budget.
7.6 percent, but is on a downward trend due to These funds will be allocated to appropriate line
the streamlined recruitment processes now in items during the year after requests and
place. This vacancy factor accounts for time justifications for unanticipated needs are
spent for recruitment and turnover. approved by the General Manager.
• The Memorandums of Understanding (MOUs) Resource needs for strategic initiatives will be
for the OCEA, the Local 501, and the Supervisor included in the budget.
and Professional (SPMT) groups expire on June
30, 2019. Salary adjustments will be included in
the budget for COLA based upon the current Capital Improvement Program Assumptions
MOUs. The FY 2018-19 and FY 2019-20 cash flow
budget, based on the most current Validated
• Retirement costs for employees enrolled in Capital Improvement Program (CIP), is the
OCERS Plans G and H are estimated at a rate target.
of 15.78 percent of the employee's base salary
for FY 2018-19, down from 15.83 percent in 0 The baseline CIP cash flow for FY 2018-19 is
FY 2017-18. The rates for Plans G and H $169 million and for FY 2019-20 is $193 million.
include the District's pickup of 3.5 percent of 0 Continual evaluation of the CIP by the Asset
employees' required contributions. Management Team may result in deferral or
reduction of some projects and a resultant
Employees enrolled in OCERS Plan B are increase in O&M repair costs for materials and
estimated at a rate of 10.21 percent of the services, if the net cash flow impact is a
employee's base salary for FY 2018-19, down decrease.
from 10.30 percent in FY 2017-18.
• The FY 2018-19 and 2019-20 CIP budget will
All employees hired on or after January 1, 2013 only increase for critical projects which were not
are enrolled in OCERS Plan U and are previously identified in the Strategic Plan
estimated at a rate of 9.27 percent for FY 2018- Update.
19, up from 9.25 percent in FY 2017-18.
• For the first five months of FY 2017-18,
Interns are not enrolled in OCERS so their $41.1 million of the $148.1 million CIP budget,
retirement benefits are calculated at 6.2 percent approximately 27.8 percent, was expended.
(FICA rate).
• Other employee benefits and insurances will be Debt Financing
budgeted to increase in FY 2018-19 and 0 The District will issue new debt in the form of
FY 2019-20 by moderate but yet to be Certificates of Participation (COP) as needed to
determined amounts. fund the CIP and to maintain reserves.
• No additional debt issuance is scheduled for
Materials, Supplies & Services Assumptions FY 2018-19 and FY 2019-20.
• The proposed operating budget will continue to
reflect an emphasis on safety, security, and 0 Debt will only be used for CIP and capital
maintenance of plant assets and infrastructure. expenses, not for operating expenses.
• An amount equal to half of one percent of the 0 Capital financing plans no longer include future
Operating materials and services budget will be borrowings over the next ten years as the
a contingency for prior year re-appropriations. approved user fee schedule is considered
Since the current year's budget lapses on sufficient.
June 30, a contingency is needed in the
succeeding budget year for goods or services 0Borrowing is proposed only for facilities which do
ordered at the end of one budget year but not not add capacity and that are funded by all users
delivered until the following year.
Section 3—Page 22
Budget Assumptions
for replacement, rehabilitation, and improved ► Accumulated capital funds will be set aside for
treatment. certain specific, short-term capital improvements
as the need and availability arise.
Reserve Assumptions ► A capital replacement/renewal criterion has
The existing reserve policy is summarized as been established to provide thirty percent of the
follows: funding to replace or refurbish the current
collection, treatment and disposal facilities at the
► A cash flow criterion will be established to fund end of their useful economic lives.
operations, maintenance and certificates of
participation expenses for the first half of the Based on the Facilities Evaluation Report
fiscal year, prior to receipt of the first installment completed in December 2017, the current
of the property tax allocation and sewer service replacement value of these facilities is estimated
user fees which are collected as a separate line to be $3.17 billion for the collection facilities and
item on the property tax bill. The level of this $6.94 billion for the treatment and disposal
criterion will be established as the sum of an facilities. The initial criterion level has been
amount equal to six months operations and established at $50 million, which will be
maintenance expenses and the total of the augmented by interest earnings and a small
annual debt (COP) service payments due in portion of the annual sewer user fee, in order to
August each year. meet projected needs through the year 2030.
► An operating contingency criterion will be ► Provisions of the various certificates of
established to provide for non-recurring participation (COP) issues require debt service
expenditures that were not anticipated when the reserves to be under the control of the Trustee
annual budget and sewer service fees were for that issue. These reserve funds are not
considered and adopted. The level of this available for the general needs of the District
criterion will be established at an amount equal and must be maintained at specified levels. The
to ten percent of the annual operating budget. current level of required COP service reserves is
projected to be $177.0 million.
► A capital improvement criterion will be
maintained to fund annual increments of the ► Accumulated funds exceeding the levels
capital improvement program. The long-term specified by District policy will be maintained in a
target is for one half of the capital improvement rate stabilization fund. These funds will be
program to be funded from borrowing and for applied to future years' needs in order to
one half to be funded from current revenues and maintain rates or to moderate annual
reserves. With this program in mind, the target fluctuations. There is no established target for
level of this criterion has been established at this criterion.
one-half of the average annual capital
improvement program over the next ten years.
Miscellaneous
► A catastrophic loss, or self-insurance, criterion
will be maintained for property damage including 0 The budget document will be in a bi-annual
fire, flood and earthquake, for general liability format with two, one-year budgets presented
and for workers' compensation. This criterion is for FY 2018-19 and FY 2019-20.
intended to work with purchased insurance
policies, FEMA disaster reimbursements and 0 The budget worksheets for operating costs will
State disaster reimbursements. The potential contain one column for FY 2018-19 and one
infrastructure loss from a major earthquake, of column for 2019-20. The column will represent
which the District currently has limited outside all collection, treatment, and disposal/reuse
insurance coverage of $25 million, has been costs.
estimated to be as high as $1.3 billion. The
level of this criterion has been set at $57 million
should such a catastrophic event occur. This
criterion amount will assist the District with any
short-term funding needs until Federal and State
assistance becomes available.
Section 3—Page 23
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 3— Page 24
Accounting System & Budgetary Control
Accounting System and Budgetary Control
Fund Accounting & Proprietary Funds Internal Controls
The accounts of the District are organized within one The District is responsible for establishing and
Enterprise Fund, a Proprietary Fund Type. The maintaining an internal control structure designed to
District's Enterprise Fund is comprised of two ensure that the assets of the government are
Revenue Areas which are identified as Revenue Area protected from loss, theft, or misuse and to ensure
14 and the Consolidated Revenue Area (Revenue that adequate accounting data are compiled to allow
Area 15). Each Revenue Area includes a share of for the preparation of financial statements in
capital outlay activities, self-insurance activities, debt conformity with generally accepted accounting
service activities, and operating activities. These principles. The internal control structure is designed
activities are allocated to each Revenue Area based to provide reasonable, but not absolute, assurance
on sewage flows, location, or level of participation in that these objectives are met. The concept of
specific programs. reasonable assurance recognizes that the cost of a
control should not exceed the benefits likely to be
Enterprise Funds are used to account for operations derived and that the valuation of costs and benefits
that are financed and operated in a manner similar to requires estimates and judgments by management.
a private business enterprise, where the costs
(expenses, including depreciation)of providing goods Budgetary Control
or services to the general public on a continuing basis
are financed or recovered through user charges. Budgetary controls are maintained to ensure
compliance with legal provisions embodied in the
annual appropriated budget approved by the Board of
Basis of Accounting Directors. The budgetary level of control, the level at
which operating expenses cannot legally exceed the
Basis of accounting refers to the point at which appropriated amount, is exercised at the department
revenues and expenses are recognized in the level.
accounts and reported in the financial statements.
Enterprise funds are accounted for on the flow of
economic resources measurement focus and use the
accrual basis of accounting. In an enterprise fund,
revenues are recognized when earned and expenses
are recognized when incurred, regardless of the
timing of related cash flows.
Budgetary Basis of Accounting
The operating budget for the Enterprise Fund is
adopted on a basis consistent with generally
accepted accounting principles. Except as noted in
the following paragraph, the basis of accounting and
the budgetary basis of accounting are the same.
Budgeted amounts are as originally adopted and as
further amended by Board action of the District.
Although the District does budget for capital
improvement projects, the related capital outlays are
recorded as increases in Property, Plant, and
Equipment on the balance sheet of the Enterprise
Fund. Similarly,the District budgets for the retirement
of debt. However,the principal payments on debt are
recorded as reductions in the current portion of long-
term debt on the balance sheet of the Enterprise
Fund.
Section 3—Page 25
2018-19 & 2019-20 Budget
Orange County Sanitation District
Fund Structure Diagram
OCSD
Enterprise
Fund
Consolidated Revenue
Revenue Area Area
15 14
tSharEach Revenue Area
e
jDirect
Debt Capital _-___-; is comprised of Operating,
Service Outlay
Debt Service, Capital, and
---- Self-Insurance components.
DiectShare of
nues Capital Joint Capital
enses Outlay Outlay
_ Joint Works Net Operating
Expenses and Joint Capital
Joint Works Outlays are allocated to
Net Operating Joint Capital : each Revenue Area's
Expense Outlay Operating and Capital
Outlay components,
respectively, based on
sewage flows.
Section 3 - Page 26
Revenue Sources
Revenue Sources
In FY 2018-19, revenues are being proposed at
The District has a variety of revenue sources $477.9 million, an increase of $7.0 million, or
available for operating and capital expenses. The 1.4 percent over the prior year. This increase is
major revenue sources are as follows: primarily attributable to the 1.5 percent increase in
• User Fees user fees that is expected to generate an additional
$4.6 million. Property tax revenue is expected to
• Property Taxes generate an additional increase of $5.0 million, or
• Industrial Waste Permit User Fees another projected increase of 5.0 percent over the
• Interest Earnings prior year.
• Debt Proceeds
Property Taxes
These sources have generally accounted for The County is permitted by State law(Proposition 13)
90 percent more than of the total revenue to the to levy taxes at one percent of full market value (at
District. time of purchase) and can increase the assessed
value no more than two percent per year. The District
The following graph summarizes revenues from all receives a share of this basic levy proportionate to the
sources for the District over the past two fiscal years, amount that was received in the 1976 to 1978 period
the current year, and through the following two less $3.5 million, the amount that represents the
proposed budget years: State's permanent annual diversion from special
Total Revenues districts to school districts that began in 1992-93.
Five Year Trend Property Taxes
(in millions) Five Year Trend
(in millions)
$600 $120
$500 $100
$447.2 $453.2 $470.9 $477.9 $94.8 $99.6 $104.5
-- - - - --
423.7
$81.9 $85.7
$400 $80
$60
$300
$40
$200 $20
$100 $0
2015-16 2016-17 2017-18 2018-19 2019-2020 2015-16 2016-17 2017-18 2018-19 2019-20
Actual Actual Projected Proposed Proposed Actual Actual Projected Proposed Proposed
Total revenues increased from $423.7 million in The District's annual share of the one percent ad
FY 2015-16 to $447.2 million in FY 2016-17, or valorem property tax levy is first dedicated for the
$23.5 million. This increase was due mostly to: payment of COP debt service. The apportionment of
(1) an increase of$21.7 million in intra-district equity the ad valorem tax is pursuant to the Revenue
sale/purchase between the Consolidated Revenue Program adopted in April 1979 to comply with
Areas and Revenue Area 14; (2) the $1.2 million regulations of the Environmental Protection Agency,
increase in permitted user fees due to higher rates the State Water Resources Control Board, and in
and an increase in the strength of the discharge from accordance with COP documents and Board policy.
the permittees.
As shown in the graph above, property tax revenues
In FY 2018-19, revenues are being proposed at increased from $81.9 million in FY 2015-16 to a
$470.9 million, an increase of $17.7 million, or projected $94.8 million in FY 2017-18, primarily due
3.9 percent over the prior year. This increase is to the rebound from the economic decline and the
primarily attributable to the increases of $5.6 million collapse in the housing and commercial property
in IRWD assessments, $4.7 million in property taxes markets beginning in 2008. Property tax revenues
revenue as property assessed valuations continue to are now being projected to increase 5.0 percent per
rebound from the previous market downturn, $3.0 year through FY 2019-20.
million in joint operating revenues, $2.4 million in CIP
reimbursements from other agencies, and $1.5
million in general user fees.
Section 3 - Page 27
2018-19 & 2019-20 Budget
Historically the District's property tax revenues in December 2015. The original effort was reinforced
exceeded the District's debt service obligations. through the adoption of a new Master Plan in
However, capital improvement requirements December 2017, a planning effort to define the
averaging$200.0 million a year over the last ten years District's goals, responsibilities, and requirements
have required new COP debt issuances that have over the next 20 years, and includes projections
increased future debt service payments that more through the assumed "build-out" of the District's
closely matches property tax revenues. service area to the year 2050. Incorporating the 2017
Master Plan into the CIP validation update for FY
2018-19, the current CIP includes projects outlays of
COP Funding Requirements vs. $2.7 billion over the next ten years.
Property Tax Funding Source
In March of 2018, following a Proposition 218 notice
$105,000,000 process, the Board approved sewer rate increases for
$95,000,000 each year over the next five years averaging
$85,000,000 approximately 1.2 percent a year. These increases
$75,000,000 are necessary to balance the funding of operating
$65,000,000 expenses and capital improvements with current
$55,000,000 revenues and existing debt, and to minimize the
$45,000,000 increase in rates over an extended period of time.
$35,000,000 The impact of this five-year sewer fee schedule
$25,000,000 Ir increased the single-family residence user fee rate,
$15,000,000 the underlying rate for all sewer service user fees, an
2003 2010 2018 average of 1.2 percent a year from $335 in
FY 2018-19 to $351 in FY 2019-20. These rate
+Property Taxes COP Service increases by the District are still well below the
average annual sewer rate of $529 being charged
User Fees throughout the State according to the 2017 California
User fees are ongoing fees for service paid by Wastewater Charge Survey conducted by the State
customers connected to the sewer system. Water Resources Control Board.
A property owner,or user,does not pay user fees until
connected to the sewer system and receiving Net User Fees
services. Once connected, a user is responsible for (in millions)
their share of the system's costs, both fixed and $400
variable, in proportion to the user's demand on the
system. $300 $283.7 $282.4 $292.9 $294.5 $299.1
In addition, the Consolidated Revenue Area charges
industrial and commercial user fees to customers $200
discharging high-strength or high-volume wastes into
the sewer systems. Revenue Area No. 14 needs are $100
funded by IRWD. Previously the District had been
able to avoid or minimize user fee increases by
reducing operational costs through reorganizing and $0
streamlining District operations. As a result of the 2015-16 2016-17 2017-18 2018-19 2019-20
capital improvement program expansion and the Actual Actual Projected Proposed Proposed
rehabilitation and refurbishment of existing facilities,
annual increases in user fees are required. There was a $1.3 million, or 0.4 percent, decrease in
FY 2016-17 as shown in the Net User Fees chart
In 2007, District staff conducted strategic planning above was due to rebates provided to commercial
workshops with the Board of Directors to layout a property users.
capital program to deliver the levels of service desired
by the Board of Directors. These levels of service and Interest Earnings
resulting capital projects are included in the District's Interest earnings are generated from the investment
5-year Strategic Plan that were most recently updated of accumulated reserves consisting of a cash
Section 3 - Page 28
Revenue Sources
flow/contingency, a capital improvement, a capital minimize annual sewer rate increases in the long-
replacement/refurbishment, and a self-insurance term, all of these refurbishments are being proposed
reserve, all projected to total $630.0 million at July 1, to be funded from user fees with no issuances of new
2018. money debt issuances.
The District's reserves are invested in accordance Teeter Plan
with the District's investment policy and the State In June 1993, the County of Orange adopted the
Government Code through an outside money Teeter Plan pursuant to Sections 4701 through 4717
manager, and an independent custodian bank. of the California Revenue and Taxation Code. The
Teeter Plan is an alternative method of distribution of
revenues from the secured property tax roll to local
Interest Earnings participating agencies.
(in millions) The District participates in the Teeter Plan program
$8.0 $7.2 and receives its full share of property tax and user
$7.0 $6 6 $6.4 $6.5 fees from the secured roll, whether or not these taxes
$6.0 and user fees have been collected. The Teeter Plan
$5.03 provides the District with stable and timely cash flow
$4.0 without the collection risk. The County, in exchange
$3.0 for assuming the collection risk, receives the
$2 0 delinquent taxes and user fees, penalties and interest
$1.0 for the defaulted properties when paid.
$- For the fiscal year ended June 30, 2017, the District
2015-16 2016-17 2017-18 2018-19 2019-20 received $370,714,000 in tax and user fees from the
Actual actual Projected Proposed Proposed County, or 99.99 percent of the total tax and user fee
levy.
Interest earnings fluctuate from year to year based on
the timing of CIP outlays and debt issuances, which
impact the available balance in reserves for investing,
and in the rise and fall of fixed-income investment
market yields.
The District's investment policy is structured
conservatively towards liquidity to avoid having to sell
investments at a loss and having unrealized losses
become realized losses. Total return on investments
were 1.7 percent in FY 2015-16 and 0.7 percent in
FY 2016-17. However, interest earnings were lower
in FY 2016-17 due to lower yields earned on
investments and lower cash and investment
balances.
The District is proposing an interest earnings rate of
1.0 percent in both FY 2018-19 and FY 2019-20 to
generate earnings of$6.5 million and $7.2 million, on
annual average investment portfolio projections, with
fiscal year end balances of $678.6 million and
$773.3 million in FY 2018-19 and FY 2019-20,
respectively.
Debt Proceeds
Over the next ten years, the District is projecting an
additional $2.4 billion in future treatment plant and
collection system capital refurbishments. In order to
Section 3 - Page 29
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 3 - Page 30
DISTRICT SUMMARY
SECTION 4
Where the Money Comes From — FY 2018-19
Capital Improvement
Self-Insurance Revenues Reserve
$260,492,400
$2,336,100 25.2%5.2/°
0.2%
Property Taxes
$87,017,000
8.4%
IntradistrictTransfers_ Cash Flow/Contingency
$3,400,000 Reserve
0.3% - $168,788,050
16.4%
Interest&Misc
$10,866,000
1.1%
Debt Service Reserve
Fees $111,605,000
$331,838,690 10.8%
32.1% Self-Insurance Reserve
$57,000,000
5.5%
FY 2018-19 Total Funding Sources-$1,100,929,591
Where the Money Goes — FY 2018-19
Self-Insurance
Program
$2,480,000 Joint Capital
Operations 0.2% $107,732,000
$146,356,520 10.4% District Capital
Intradistrict Transfers 14.2% $63,558,000
$3,400,000 / 6.2%
0.3%
Long Term Liability Debt Service
Reduction $86,664,000
$65,000,000 8.4%
6.3%
Cash
Flow/Contingency
Capital Improvement Reserve
Reserve $174,478,000
$219,409,720 16.9%
21.2%
Self-Insurance Debt Service
Reserve Reserve
$57,000,000 $107,265,000
5.5% 10.4%
FY 2018-19 Total Funding Uses -$1,100,929,591
Section 4— Page 1
2018-19 & 2019-20 Budget
Funding Sources by Category FY 2018-19
Consolidated
Revenue Revenue Total
Area Area 14 Sources
Beginning Accum. Funds & Reserves $ 540,279,514 $ 89,716,772 $ 629,996,286
Services Fees 21,533,790 20,369,030 41,902,820
User Fees 294,450,000 - 294,450,000
Capital Facilities Capacity Charge 14,000,000 - 14,000,000
Capacity Rights - - -
Debt Proceeds - - -
Property Taxes 96,823,000 2,734,000 99,557,000
Intradistrict Transfers 3,700,000 - 3,700,000
Insurance In-Lieu Premiums 1,870,900 45,000 1,915,900
Interest and Other Revenue 13,828,585 1,579,000 15,407,585
Subtotal 446,206,275 24,727,030 470,933,305
Total Sources $ 986,485,789 $ 114,443,802 $ 1,100,929,591
Section 4— Page 2
Funding Uses by Category
Funding Uses by Category FY 2018-19
Consolidated
Revenue Revenue Total
Area Area 14 Uses
Directors' Fees $ 154,873 $ 3,727 $ 158,600
Salaries & Benefits 87,421,260 8,412,940 95,834,200
Administrative Expenses 1,831,300 176,230 2,007,530
Printing & Publications 289,070 27,820 316,890
Training & Meetings 1,000,770 96,310 1,097,080
Operating Materials and Supplies 14,378,980 1,383,760 15,762,740
Contractual Expenses 22,993,730 2,212,790 25,206,520
Professional Expenses 4,920,010 473,470 5,393,480
Research & Monitoring 968,040 93,160 1,061,200
Repairs & Maintenance 19,809,050 1,906,310 21,715,360
Utilities 6,786,690 653,110 7,439,800
Self-Insurance Requirements 2,402,100 57,900 2,460,000
Other Materials, Supplies, & Services 4,789,290 460,900 5,250,190
Cost Allocation (18,318,723) (1,751,707) (20,070,430)
Joint Works Capital Improvement Program 136,680,708 4,986,719 141,667,427
Collection System Capital Improvement Prog. 32,874,449 - 32,874,449
Debt Service 80,464,000 - 80,464,000
Long Term Debt Reduction - - -
Intradistrict Transfers - 3,700,000 3,700,000
Joint Equity Sale to IRWD - - -
Subtotal 399,445,597 22,893,439 422,339,036
Ending Accum. Funds & Reserves 587,040,192 91,550,363 678,590,555
Total Uses $ 986,485,789 $ 114,443,802 $ 1,100,929,591
Section 4— Page 3
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 4— Page 4
Where the Money Comes From — FY 2019-20
Cash Flow/Contingency
Reserve
$174,478,000
Capital Improvement 17.3%
Reserve
$219,409,720
21.8%
Debt Service Reserve
Self-Insurance $107,265,000
10.7%
Revenues
$2,580,000
0.3%
Self-Insurance Reserve
Property Taxes $57,000,000
$91,368,000 5.7%
9.1%
Intradistrict Transfers
$1,700,000...
Interest&Misc Fees
$11,168,000 $339,571,010
1.1% 33.8%
FY 2019-20 Total Funding Sources-$1,156,520,621
Where the Money Goes — FY 2019-20
Self-Insurance
Program
$2,580,000
0 2% Joint Capital
Operations $99,769,000
$149,854,390 9.9% District Capital
14.9% --- $38,220,000
3.8%
Debt Service
Intradistrict Transfers $83,119,000
$1,700,000 8 3%
0.2%
Cash
Flow/Contingency
Capital Improvement Reserve
Reserve $173,031,000
$296,029,340 17.2%
29.5%
Debt Service Reserve
Self-Insurance $103,237,000
Reserve 10.3%
$57,000,000
5.7%
FY 2019-20 Total Funding Uses -$1,156,520,621
Section 4— Page 5
2018-19 & 2019-20 Budget
Funding Sources by Category FY 2019-20
Consolidated
Revenue Revenue Total
Area Area 14 Sources
Beginning Accum. Funds & Reserves $ 587,040,192 $ 91,550,363 $ 678,590,555
Services Fees 21,881,746 18,030,614 39,912,360
User Fees 299,084,000 - 299,084,000
Capital Facilities Capacity Charge 14,476,000 - 14,476,000
Capacity Rights - - -
Debt Proceeds - - -
Property Taxes 102,077,000 2,458,000 104,535,000
Intradistrict Transfers 3,500,000 - 3,500,000
Insurance In-Lieu Premiums 2,471,300 58,700 2,530,000
Interest and Other Revenue 12,396,206 1,496,500 13,892,706
Subtotal 455,886,252 22,043,814 477,930,066
Total Sources $ 1,042,926,444 $ 113,594,177 $ 1,156,520,621
Section 4— Page 6
Funding Uses by Category
Funding Uses by Category FY 2019-20
Consolidated
Revenue Revenue Total
Area Area 14 Uses
Directors' Fees $ 154,920 $ 3,680 $ 158,600
Salaries&Benefits 89,996,530 8,033,970 98,030,500
Administrative Expenses 1,749,820 156,210 1,906,030
Printing & Publications 291,400 26,010 317,410
Training & Meetings 907,400 81,000 988,400
Operating Materials and Supplies 17,330,730 1,547,110 18,877,840
Contractual Expenses 20,248,010 1,807,540 22,055,550
Professional Expenses 4,225,190 377,180 4,602,370
Research &Monitoring 1,009,480 90,120 1,099,600
Repairs& Maintenance 17,737,810 1,583,450 19,321,260
Utilities 8,288,670 739,930 9,028,600
Self-Insurance Requirements 2,470,600 59,400 2,530,000
Other Materials, Supplies, &Services 3,852,870 343,950 4,196,820
Cost Allocation (18,717,820) (1,660,790) (20,378,610)
Joint Works Capital Improvement Program 97,758,058 3,566,600 101,324,658
Collection System Capital Improvement Prog. 35,702,600 - 35,702,600
Debt Service 79,956,000 - 79,956,000
Long Term Debt Reduction - - -
Intradistrict Transfers - 3,500,000 3,500,000
Joint Equity Sale to IRWD - - -
Subtotal 362,962,268 20,255,360 383,217,628
Ending Accum. Funds& Reserves 679,964,176 93,338,817 773,302,993
Total Uses $ 1,042,926,444 $ 113,594,177 $ 1,156,520,621
Section 4— Page 7
2018-19 & 2019-20 Budget
ACTUAL APPROVED PROJECTED PROPOSED PROPOSED
DESCRIPTION OR ACCOUNT TITLE 2016-17 2017-18 2017-18 2018-19 2019-20
BEGINNING ACCUM.FUNDS&RESERVES $ 569,543,220 $ 535,274,550 $ 531,514,990 $ 629,996,286 $ 678,590,555
OPERATING REVENUES
General Sewer Service User Fees 282,429,502 291,158,000 292,985,000 294,450,000 299,084,000
Permitted User Fees 14,172,851 12,925,000 18,101,000 18,320,000 18,538,000
IRWD Assessments 11,389,092 8,991,610 11,397,000 14,148,820 13,129,360
SAWPA Assessments 3,437,936 3,263,000 3,359,000 3,290,000 3,422,000
Interest 4,248,353 8,398,000 6,400,000 6,510,000 7,223,000
Miscellaneous Receipts 3,464,859 2,025,000 3,521,756 8,897,585 6,669,706
Operating Revenue Subtotal 319,142,593 326,760,610 335,763,756 345,616,405 348,066,066
NON-OPERATING REVENUES
Property Tax Allocation 75,804,234 82,925,550 83,746,000 88,266,000 92,679,450
Redevelopment Agency Pass Thru 9,865,844 10,740,450 11,070,000 11,291,000 11,855,550
Subtotal-Taxes 85,670,078 93,666,000 $94,816,000 99,557,000 104,535,000
Capital Facilities Capacity Charge 15,621,440 9,900,000 13,961,000 14,000,000 14,476,000
Sale of Capacity Rights,SAWPA&SSBSD - - - - -
Capital Assessment(IRWD) 2,706,905 5,375,000 3,286,000 6,144,000 4,823,000
Non-Operating Revenue Subtotal 103,998,423 108,941,000 112,063,000 119,701,000 123,834,000
INTRADISTRICT REVENUES
Annual Intradistrict Joint Equity Purchase/Sale 21,678,191 1,240,000 2,710,000 3,700,000 3,500,000
FINANCING REVENUES
Sale of Certificates of Participation - - -
Financing Revenues Subtotal - - -
SELF INSURANCE REVENUES
Workers'Comp SFI 1,196,300 564,330 554,300 586,600 780,000
General Liability SFI 1,147,545 2,129,570 2,135,700 1,329,300 1,750,000
Subtotal-Self Insurance 2,343,845 2,693,900 2,690,000 1,915,900 2,530,000
Total Revenues 447,163,052 439,635,510 453,226,756 470,933,305 477,930,066
TOTAL AVAILABLE FUNDING $ 1,016,706,272 $ 974,910,060 $ 984,741,746 $1,100,929,591 1 $ 1,156,520,621
Section 4— Page 8
Budget Resources
ACTUAL APPROVED PROJECTED PROPOSED PROPOSED
DESCRIPTION OR ACCOUNT TITLE 2016-17 2017-18 2017-18 2018-19 2019-20
OPERATING REQUIREMENTS
Directors'Fees $ 151,540 $ 152,600 $ 158,600 $ 158,600 $ 158,600
Salaries&Benefits 91,453,234 90,464,800 90,221,280 95,834,200 98,030,500
Administrative Expense 1,842,155 1,865,480 2,068,300 2,007,530 1,906,030
Printing&Publications 266,648 368,960 344,010 316,890 317,410
Training&Meetings 943,824 1,182,210 984,170 1,097,080 988,400
Operating Materials&Supplies 14,863,560 17,369,600 14,910,520 15,762,740 18,877,840
Contractual Expense 23,711,308 22,648,530 24,281,770 25,206,520 22,055,550
Professional Expense 3,528,669 4,162,000 3,912,600 5,393,480 4,602,370
Research&Monitoring 892,313 872,400 785,000 1,061,200 1,099,600
Repairs&Maintenance 14,797,760 16,160,160 15,749,440 21,715,360 19,321,260
Utilities 6,118,857 10,233,670 6,967,860 7,439,800 9,028,600
Other Materials,Supplies,&Services 2,369,297 3,768,540 3,495,460 5,250,190 4,196,820
Cost Allocation (20,137,574) (19,394,560) (20,266,650) (20,070,430) (20,378,610)
Subtotal-Operating 140,801,591 149,854,390 143,612,360 161,173,160 160,204,370
CAPITAL IMPROVEMENTS
Joint Works Capital Improvements 95,730,304 112,118,000 101,937,900 141,667,427 101,324,658
Collection System Capital Improvements 43,951,666 35,943,000 22,396,100 32,874,449 35,702,600
Annual Intradistrict Joint Equity Purchase/Sale 21,678,191 1,240,000 2,710,000 3,700,000 3,500,000
Subtotal-Capital Improvements 161,360,161 149,301,000 127,044,000 178,241,876 140,527,258
FINANCING REQUIREMENTS
Certificate of Participation Service 99,814,288 82,033,000 82,033,000 80,464,000 79,956,000
Long Term Debt Reduction 80,616,110 - - - -
Subtotal-Financing Req 180,430,398 82,033,000 82,033,000 80,464,000 79,956,000
SELF INSURANCE REQUIREMENTS
Workers'Comp SFI 645,060 1,040,000 845,300 760,000 780,000
General Liability SFI 1,954,072 1,335,000 1,210,800 1,700,000 1,750,000
Subtotal-Self Insurance 2,599,132 2,375,000 2,056,100 2,460,000 2,530,000
TOTAL REQUIREMENTS 485,191,282 383,563,390 354,745,460 422,339,036 383,217,628
REVENUES OVER/(UNDER)REQUIREMENT (38,028,230) (37,165,890) 98,481,296 48,594,269 1 94,712,438
ENDING ACCUM. FUNDS&RESERVES $ 531,514,990 $ 591,346,670 $ 629,996,286 $ 678,590,555 $ 773,302,993
Section 4— Page 9
2018-19 & 2019-20 Budget
BUDGET RESOURCES BY REV ENUEAREA- FY 2018-19
Consolidated
DESCRIPTION OR ACCOUNT TITLE Revenue Area Rev Area 14 Total
Proposed Proposed Proposed
BEGINNING ACCUM. FUNDS&RESERVES $ 540,279,514 $ 89,716,772 $ 629,996,286
OPERATING REVENUES
General Sewer Service User Fees 294,450,000 - 294,450,000
Permitted User Fees 18,320,000 - 18,320,000
O&M Joint Operating Assessment Service Fees (IRWD) - 2,647,240 2,647,240
O&M Collection System Assessment Service Fees (IRWD) - 1,726,580 1,726,580
O&M Sludge Disposal Assessment Service Fees (IRWD) - 9,775,000 9,775,000
SAWPA Assessments 3,213,790 76,210 3,290,000
Interest 5,204,000 1,306,000 6,510,000
Miscellaneous Receipts 8,624,585 273,000 8,897,585
Operating Revenue Subtotal 329,812,375 15,804,030 345,616,405
NON-OPERATING REVENUES
Property Tax Allocation 85,842,000 2,424,000 88,266,000
Redevelopment Agency Pass Thru 10,981,000 310,000 11,291,000
Subtotal-Taxes 96,823,000 2,734,000 99,557,000
Capital Facilities Capacity Charge 14,000,000 - 14,000,000
Sale of Capacity Rights, SAWPA &SSBSD - - -
Capital Assessment(IRWD) - 6,144,000 6,144,000
Non-Operating Revenue Subtotal 110,823,000 8,878,000 119,701,000
INTRA DISTRICT REVENUES
Annual Intradistrict Joint Equity Purchase/Sale 3,700,000 - 3,700,000
FINANCING REVENUES
Sale of Certificates of Participation - - -
Intradistrict Loans,Advances &Repayments - - -
Financing Revenues Subtotal - - -
SELF INSURANCE REVENUES
Workers'Comp SFI 572,800 13,800 586,600
General Liability SFI 1,298,100 31,200 1,329,300
Subtotal-Self Insurance 1,870,900 45,000 1,915,900
Total Revenues 446,206,275 24,727,030 470,933,305
TOTAL AVAILABLE FUNDING $ 986,485,789 $ 114,443,802 $ 1,100,929,591
Section 4—Page 10
Budget Resources
Consolidated
DESCRIPTION OR ACCOUNT TITLE Revenue Area Rev Area 14 Total
Proposed Proposed Proposed
OPERATING REQUIREMENTS
Directors'Fees $ 154,873 $ 3,727 $ 158,600
Salaries & Benefits 87,421,260 8,412,940 95,834,200
Administrative Expense 1,831,300 176,230 2,007,530
Printing& Publications 289,070 27,820 316,890
Training& Meetings 1,000,770 96,310 1,097,080
Operating Materials and Supplies 14,378,980 1,383,760 15,762,740
Contractual Expense 22,993,730 2,212,790 25,206,520
Professional Expense 4,920,010 473,470 5,393,480
Research& Monitoring 968,040 93,160 1,061,200
Repairs & Maintenance 19,809,050 1,906,310 21,715,360
Utilities 6,786,690 653,110 7,439,800
Other Materials, Supplies, &Services 4,789,290 460,900 5,250,190
Cost Allocation (18,318,723) (1,751,707) (20,070,430)
Subtotal-Operating 147,024,340 14,148,820 161,173,160
CAPITAL IMPROVEMENTS
Joint Works Capital Improvements 136,680,708 4,986,719 141,667,427
Collection System Capital Improvements 32,874,449 - 32,874,449
Annual Intradistrict Joint Equity Purchase/Sale - 3,700,000 3,700,000
Subtotal-Capital Improvements 169,555,157 8,686,719 178,241,876
FINANCING REQUIREMENTS
Certificate of Participation Service 80,464,000 - 80,464,000
Long Term Debt Reduction - - -
Subtotal-Financing Requirements 80,464,000 - 80,464,000
SELF INSURANCE REQUIREMENTS
Workers'Comp SFI 742,100 17,900 760,000
General Liability SFI 1,660,000 40,000 1,700,000
Subtotal-Self Insurance 2,402,100 57,900 2,460,000
OTHER CASH OUTLAYS
Joint Equity Sale to IRWD - - -
Subtotal-Other Cash Outlays - - -
TOTAL REQUIREMENTS 399,445,597 22,893,439 422,339,036
REVENUES EXCEEDING REQUIREMENTS 46,760,678 1,833,591 48,594,269
ENDING ACCUMULATED FUNDS & RESERVES $ 587,040,192 $ 91,550,363 $ 678,590,555
Section 4—Page 11
2018-19 & 2019-20 Budget
BUDGET RESOURCES BY REV ENUEAREA- FY 2019-20
Consolidated
DESCRIPTION OR ACCOUNT TITLE Revenue Area Rev Area 14 Total
Proposed Proposed Proposed
BEGINNING ACCUM. FUNDS&RESERVES $ 587,040,192 $ 91,550,363 $ 678,590,555
OPERATING REVENUES
General Sewer Service User Fees 299,084,000 - 299,084,000
Permitted User Fees 18,538,000 - 18,538,000
O&M Joint Operating Assessment Service Fees (IRWD) - 2,622,520 2,622,520
O&M Collection System Assessment Service Fees (IRWD) - 1,795,840 1,795,840
O&M Sludge Disposal Assessment Service Fees (IRWD) - 8,711,000 8,711,000
SAWPA Assessments 3,343,746 78,254 3,422,000
Interest 5,968,000 1,255,000 7,223,000
Miscellaneous Receipts 6,428,206 241,500 6,669,706
Operating Revenue Subtotal 333,361,952 14,704,114 348,066,066
NON-OPERATING REVENUES
Property Tax Allocation 90,500,450 2,179,000 92,679,450
Redevelopment Agency Pass Thru 11,576,550 279,000 11,855,550
Subtotal-Taxes 102,077,000 2,458,000 104,535,000
Capital Facilities Capacity Charge 14,476,000 - 14,476,000
Sale of Capacity Rights, SAWPA &SSBSD - - -
Capital Assessment(IRWD) - 4,823,000 4,823,000
Non-Operating Revenue Subtotal 116,553,000 7,281,000 123,834,000
INTRA DISTRICT REVENUES
Annual Intradistrict Joint Equity Purchase/Sale 3,500,000 - 3,500,000
FINANCING REVENUES
Sale of Certificates of Participation - - -
Intradistrict Loans,Advances &Repayments - - -
Financing Revenues Subtotal - - -
SELF INSURANCE REVENUES
Workers'Comp SFI 761,900 18,100 780,000
General Liability SFI 1,709,400 40,600 1,750,000
Subtotal-Self Insurance 2,471,300 58,700 2,530,000
Total Revenues 455,886,252 22,043,814 477,930,066
TOTAL AVAILABLE FUNDING $ 1,042,926,444 $ 113,594,177 $ 1,156,520,621
Section 4—Page 12
Budget Resources
Consolidated
DESCRIPTION OR ACCOUNT TITLE Revenue Area Rev Area 14 Total
Proposed Proposed Proposed
OPERATING REQUIREMENTS
Directors'Fees $ 154,920 $ 3,680 $ 158,600
Salaries & Benefits 89,996,530 8,033,970 98,030,500
Administrative Expense 1,749,820 156,210 1,906,030
Printing& Publications 291,400 26,010 317,410
Training& Meetings 907,400 81,000 988,400
Operating Materials and Supplies 17,330,730 1,547,110 18,877,840
Contractual Expense 20,248,010 1,807,540 22,055,550
Professional Expense 4,225,190 377,180 4,602,370
Research& Monitoring 1,009,480 90,120 1,099,600
Repairs & Maintenance 17,737,810 1,583,450 19,321,260
Utilities 8,288,670 739,930 9,028,600
Other Materials, Supplies, &Services 3,852,870 343,950 4,196,820
Cost Allocation (18,717,820) (1,660,790) (20,378,610)
Subtotal-Operating 147,075,010 13,129,360 160,204,370
CAPITAL IMPROVEMENTS
Joint Works Capital Improvements 97,758,058 3,566,600 101,324,658
Collection System Capital Improvements 35,702,600 - 35,702,600
Annual Intradistrict Joint Equity Purchase/Sale - 3,500,000 3,500,000
Subtotal-Capital Improvements 133,460,658 7,066,600 140,527,258
FINANCING REQUIREMENTS
Certificate of Participation Service 79,956,000 - 79,956,000
Long Term Debt Reduction - -
Subtotal-Financing Req 79,956,000 - 79,956,000
SELF INSURANCE REQUIREMENTS
Workers'Comp SFI 761,700 18,300 780,000
General Liability SFI 1,708,900 41,100 1,750,000
Subtotal-Self Insurance 2,470,600 59,400 2,530,000
OTHER CASH OUTLAYS
Joint Equity Sale to IRWD - - -
Subtotal-Other Cash Outlays - - -
TOTAL REQUIREMENTS 362,962,268 20,255,360 383,217,628
REVENUES EXCEEDING REQUIREMENTS 92,923,984 1,788,454 94,712,438
ENDING ACCUMULATED FUNDS & RESERVES $ 679,964,176 $ 93,338,817 $ 773,302,993
Section 4—Page 13
2018-19 & 2019-20 Budget
Projected Reserves at June 30, 2018, 2019 and 2020
Projected Proposed Proposed
6/30/2018 6/30/2019 6/30/2020
Cash Flow Requirements
Operating Expenses $ 71,806,000 $ 80,587,000 $ 80,102,000
COP Payments 82,033,000 80,464,000 79,956,000
Operating Contingencies 14,361,000 16,117,000 16,020,000
Capital Improvement Program 241,813,286 284,103,555 382,658,993
Catastrophe & Self Insurance 57,000,000 57,000,000 57,000,000
Sub-total 467,013,286 518,271,555 615,736,993
Capital Replacement& Refurbishment 62,515,000 63,765,000 65,040,000
COP Service Required Reserves 100,468,000 96,554,000 92,526,000
Total $ 629,996,286 $ 678,590,555 $ 773,302,993
Accumulated Funds and Reserves Policy
A cash flow criterion will be established to fund Levels higher and lower than the target can be
operations, maintenance and certificate of expected as a result of outlay variability in the annual
participations expenses for the first half of the fiscal capital improvement programs.
year, prior to the receipt of the first installment of the
property tax allocation and the sewer service user A catastrophic loss or self-insurance criterion has
fees which are collected as a separate line item on been established to fund potential losses from
the property tax bill. The level of this criterion will be property damage, including fire, flood and
established as the sum of an amount equal to six earthquake; general liability; and for workers'
months operations and maintenance expenses and compensation. This criterion is intended to
the total of the annual debt (COP) service payments supplement purchased insurance policies, FEMA
due in August each year. disaster reimbursements and State disaster
reimbursements. The potential infrastructure loss
An operating contingency criterion will be established from a major earthquake has been estimated at
to provide for non-recurring expenditures that were $495 million. The level of this reserve has been set
not anticipated when the annual budget and sewer to fund the District's non-reimbursed costs, estimated
service fees were evaluated and adopted. The level to be $57 million.
of this reserve will be established at an amount equal
to ten percent of the annual operating budget. A capital replacement/renewal criterion policy has
been established to provide thirty percent of the
A capital improvement criterion will be maintained to funding to replace or refurbish the current collection,
fund annual increments of the capital improvement treatment and disposal facilities at the end of their
program. The long-term target is for one half of the useful economic lives. The current replacement
capital improvement program to be funded from value of these facilities is estimated to be
borrowing and for one half to be funded from current $10.8 billion. The initial criterion level was
revenues and reserves. With this program in mind, established at $50 million, which will be augmented
the target level of this criterion has been established by interest earnings and a small portion of the annual
at one half of the average annual capital improvement sewer user fee,to meet projected needs over the next
program over the next ten years. 20 years.
Section 4—Page 14
Projected Reserves
Proposed Ending Reserves
$900 (in millions)
8
$800
$773 $80
$700
$679 $708
$593
$600 $525 $530 $551
$481 $498
$500
$400
$300
$200
$100
FY 18-19 FY 19-20 FY 20-21 FY 21-22 FY 22-23 FY 23-24 FY 24-25 FY 25-26 FY 26-27 FY 27-28
Provisions of the various Certificate of Participation
(COP) issues require debt service reserves to be
under the control of the Trustee for that issue. These
funds are not available for the general needs of the
District and must be maintained at specified levels.
Accumulated funds exceeding the levels specified by
District policy will be maintained in a rate stabilization
fund. These funds will be applied to future years'
needs in order to maintain rates or to moderate
annual fluctuations. There is no established target for
this group.
Section 4—Page 15
2018-19 & 2019-20 Budget
Orange County Sanitation District
Consolidated Cash Flow Projections
Preliminary Preliminary Preliminary Preliminary Preliminary Preliminary
Ref Description 18-19 19-20 20-21 21-22 22-23 23-24
Revenues:
1 General User Fees 294,450,000 299,084,000 303,743,000 308,428,000 313,138,000 321,624,000
2 Permitted User Fees 18,320,000 18,538,000 18,757,000 18,976,000 19,194,000 19,632,000
3 IRWD Assessments 20,292,820 17,952,360 14,196,350 17,829,840 18,795,780 17,238,390
4 SAWPA Assessments 3,290,000 3,422,000 3,559,000 3,701,000 3,849,000 4,003,000
5 Property Taxes 99,557,000 104,535,000 109,762,000 115,250,000 121,013,000 127,064,000
6 New COP Issues - - - - - -
7 Interest Revenues 6,510,000 7,223,000 7,869,000 7,545,000 6,472,000 8,321,000
8 Capital Facilities Capacity Charges 14,000,000 14,476,000 10,445,000 11,085,000 11,729,000 11,801,000
9 Other Revenues 14,513,485 12,699,706 11,605,495 23,679,843 25,153,148 13,672,671
10 Revenues 470,933,305 477,930,066 479,936,845 506,494,683 519,343,928 523,356,061
Requirements:
11 Oper&Mtce Exp(4.0%yr) 161,173,160 160,204,370 163,731,000 173,162,000 178,120,000 184,221,000
12 Capital lmprovement Program(CIP) 177,571,000 148,997,000 217,021,000 371,087,000 378,421,000 311,892,000
13 Less:CIP Savings&Deferrals (17,307,124) (14,899,742) (21,702,080) (29,686,967) (22,705,253) (9,356,772)
14 Future Rehabilitation and Replacem 14,278,000 2,930,000 7,242,000 17,262,000 25,791,000 29,329,000
15 COP Service(5.0%,30 yrs) 80,464,000 79,956,000 76,019,000 72,472,000 72,466,000 72,470,000
16 Reduction of Long-Term Liabilites - - - - - -
17 Other Requirements 6,160,000 6,030,000 2,530,000 2,530,000 2,530,000 2,530,000
18 Requirements 422,339,036 383,217,628 444,840,920 606,826,033 634,622,747 591,085,228
19 Revenues-Requirements 48,594,269 94,712,438 35,095,925 (100,331,350) (115,278,819) (67,729,167)
Accumulated Funds:
20 Beginning of Year 629,996,286 678,590,555 773,302,993 808,398,918 708,067,568 592,788,749
21 End of Year 678,590,555 773,302,993 808,398,918 708,067,568 592,788,749 525,059,582
22 Consolidated Reserve Policy 527,957,000 524,114,000 519,790,000 519,620,000 520,187,000 521,336,000
23 over(Under)Reserve Policy* 150,633,555 249,188,993 288,608,918 188,447,568 72,601,749 3,723,582
Sewer Service User Fees:
24 Avg SFR Annual User Fee $335 $339 $343 $347 $351 $359
25 Percentage Change 1.21% 1.19% 1.18% 1.17% 1.15% 2.28%
26 Equivalent Dwelling Units 923,730 926,501 929,281 932,069 934,865 937,670
27 SFR Connection Fee $4,228 $4,601 $4,973 $5,346 $5,719 $5,736
28 Outstanding COPS $965,539,815 $925,257,565 $887,211,498 $851,126,075 $813,575,753 $774,624,983
Reserve Policy
29 50%Next Year Operating 80,587,000 80,102,000 81,866,000 86,581,000 89,060,000 92,111,000
30 10%Next Year Operating 16,117,000 16,020,000 16,373,000 17,316,000 17,812,000 18,422,000
31 100%Next Year AUG COP Svc. 80,464,000 79,956,000 76,019,000 72,472,000 72,466,000 72,470,000
32 50%average ten-year CIP Bal. 133,470,000 133,470,000 133,470,000 133,470,000 133,470,000 133,470,000
33 DSR@ 10%Outstanding COPs 96,554,000 92,526,000 88,721,000 85,113,000 81,358,000 77,462,000
34 SFI @$57mm 57,000,000 57,000,000 57,000,000 57,000,000 57,000,000 57,000,000
35 Repl&Ref urb @ 2%/yr 63,765,000 65,040,000 66,341,000 67,668,000 69,021,000 70,401,000
36 *Reserve Reduction(in accordance with Board action allowing a$40M reduction to total res - - -
37 Total 527,957,000 524,114,000 519,790,000 519,620,000 520,187,000 521,336,000
COP Ratios
38 Sr Lien Coverge,Min 1.25 3.68 3.79 4.02 4.45 4.55 4.52
Section 4—Page 16
Cash Flow Projection
Orange County Sanitation District
Consolidated Cash Flow Projections
Preliminary Preliminary Preliminary Preliminary 10-Year
Ref Description 24-25 25-26 26-27 27-28 Total
Revenues:
1 General User Fees 330,157,000 336,852,000 343,585,000 350,354,000 3,201,415,000
2 Permitted User Fees 20,070,000 20,397,000 20,725,000 21,052,000 195,661,000
3 IRWD Assessments 16,656,660 14,941,840 14,999,130 15,803,790 168,706,960
4 SAWPA Assessments 4,163,000 4,329,000 4,502,000 4,683,000 39,501,000
5 Property Taxes 133,417,000 140,088,000 147,092,000 154,447,000 1,252,225,000
6 New COP Issues - - - - -
7 Interest Revenues 7,492,000 7,287,000 7,650,000 8,046,000 74,415,000
8 Capital Facilities Capacity Charges 11,870,000 11,938,000 12,011,000 12,081,000 121,436,000
9 Other Revenues 7,717,482 7,598,000 7,725,000 7,854,000 132,218,830
10 Revenues 531,543,142 543,430,840 558,289,130 574,320,790 5,185,578,790
Requirements:
11 Oper&Rce Exp(4.0%yr) 190,525,000 197,039,000 203,769,000 210,722,000 1,822,666,530
12 Capital lmprovement Program(CIP) 258,535,370 184,243,503 171,335,198 210,096,116 2,429,199,187
13 Less:CIP Savings&Deferrals (7,756,061) (3,684,870) (3,426,704) (4,201,922) (134,727,495)
14 Future Rehabilitation and Replacement 58,956,000 74,634,000 82,925,000 61,585,000 374,932,000
15 COPService 72,460,000 72,467,000 68,667,000 72,819,000 740,260,000
16 Reduction of Long-Term Liabilites - - - - -
17 Other Requirements 2,530,000 2,530,000 2,530,000 2,530,000 32,430,000
18 Requirements 575,250,309 527,228,633 525,799,494 553,550,194 5,264,760,222
19 Revenues-Requirements (43,707,167) 16,202,207 32,489,636 20,770,596 (79,181,432)
Accumulated Funds:
20 Beginning of Year 525,059,582 481,352,415 497,554,622 530,044,258 629,996,286
21 End of Year 481,352,415 497,554,622 530,044,258 550,814,854 550,814,854
22 Consolidated Reserve Policy 482,464,000 497,623,000 521,339,000 526,589,001 526,589,001
23 Over(Under) Reserve Policy* (1,111,585) (68,378) 8,705,258 24,225,853 24,225,853
Sewer Service User Fees:
24 Avg SFR Annual User Fee $367 $373 $379 $385
25 Percentage Change 2.23% 1.63% 1.61% 1.58%
26 Equivalent Dwelling Units 940,483 943,304 946,134 948,972
27 SFR Connection Fee $5,753 $5,770 $5,787 $5,804
28 Outstanding COPS $734,093,000 $692,165,000 $652,304,000 $606,631,000
Reserve Policy
29 50%Next Year Operating 95,263,000 98,520,000 101,885,000 105,361,000
30 10% Next Year Operating 19,053,000 19,704,000 20,377,000 21,072,000
31 100% Next Year AUG COP Svc. 72,460,000 72,467,000 68,667,000 72,819,000
32 50%average ten-year CIP Bal. 133,470,000 133,470,000 133,470,000 133,470,000
33 DSR @ 10%Outstanding COPS 73,409,000 69,217,000 65,230,000 60,663,000
34 SFI @$57mm 57,000,000 57,000,000 57,000,000 57,000,001
35 Repl&Refurb @ 2%/yr 71,809,000 73,245,000 74,710,000 76,204,000
36 *Reserve Reduction (40,000,000) (26,000,000) - -
37 Total 482,464,000 497,623,000 521,339,000 526,589,001
COP Ratios
38 Sr Lien Coverge, Min 1.25 4.54 4.62 4.99 4.83
Section 4—Page 17
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 4— Page 18
OPERATIONS OVERVIEW
SECTION 5
Operations Budget Overview
OPERATING REQUIREMENTS OCSD own and maintain the smaller laterals. OCSD
relies on the cooperation and resources of the 25
The net operating requirements budget finances the satellite cities and agencies to maintain the smaller
administrative, operations and maintenance, and laterals and to implement FOG control programs for
program costs for collecting,treating, and recycling of the Food Service Establishments (FSEs) that
wastewater. The departmental budgets are all discharge directly to the local collection systems.
completely funded by the operating fund. The net Though the specifics vary, the programs generally
operating budget for FY 2018-19 is$161.2 million and follow the basic approach of prohibiting FOG
for FY 2019-20 is$160.2 million. discharges and mandating the use of kitchen Best
Management Practices (BMPs) at the FSEs in their
Following are descriptions of the major factors that jurisdictions.
comprise the operating budget:
In 2005, as the primary owner of both regional
Regulatory Requirements: Many of the District's trunklines throughout Orange County and local sewer
activities are either required or regulated by lines in the northwest Tustin area, OCSD assumed
environmental permits issued by federal, state, and responsibility for initiating a commercial FOG control
local regulatory authorities. These authorities and residential outreach program to comply with
regulate effluent quality, air emissions, greenhouse Order No. R8-2002-0014 issued by the Santa Ana
gases, stormwater quality, biosolids and hazardous Regional Water Quality Control Board. This order
waste management, as well as extensive monitoring was later rescinded in favor of the Statewide General
of all media. New and developing regulations also Waste Discharge Requirements for Sanitary Sewer
drive future capital and operating expenses. Systems (Order No. 2006-0003-DWQ) issued by the
Urban Runoff Program: The Urban Runoff program State Water Resources Control Board. On April 13,
was established to protect and improve the regional 2016, the Orange County Local Agency Formation
Commission approved East Orange County Water
water quality of Orange County's coastal watershed District's (EOCWD) application to accept the transfer
by accepting dry weather urban runoff into the of the sewers within OCSD's Service Area 7, which
District's sewerage system. Since its creation as a included the Tustin area and several adjacent
means of protecting the Orange County shoreline unincorporated areas of Orange County. The transfer
from bacterial pollution carried by urban runoff, the of all assets was completed in August 2016. As of the
program's role has expanded to include the mediation transfer, OCSD is no longer the administering
of selenium-laden waters reaching the Upper authority for the FOG Control Program in the transfer
Newport Bay. This rerouting of urban runoff from area. EOCWD has now transitioned into the
stormwater pump stations, flood control channels, administering authority role for the northwest Tustin
and natural conveyances before it reaches receiving area, while OCSD continues to manage a limited
waters, allows the District to provide essential FOG Control Program for approximately 40 food
regional public health and water quality protection. service establishments that discharge directly into
Under the current urban runoff policy(Resolution No. OCSD-owned trunklines in the City of Orange.
13-09), the cities or agencies are authorized to divert Operating Chemicals: Chemicals are used for
a maximum limit of 10 million gallons per day (MGD) disinfection, coagulation, and odor control programs.
for all permitted urban runoff diversions combined.
To regulate the quantity and quality of urban runoff Coagulants: Coagulant chemicals are used to
discharged into OCSD's sewerage system, the enhance primary treatment solids removal, solids
Resource Protection Division executes a discharge dewatering, waste solids thickening, and to
agreement and issues a discharge permit for each control hydrogen sulfide in the digesters.
diversion. OCSD continues to work with Orange
County Watersheds to prioritize existing and Ferric chloride is an iron salt which is used with
proposed diversion projects to ensure that the anionic polymer to increase the solids removal
program's limited capacity is effectively utilized to efficiencies in the primary treatment process
improve coastal water quality. and to control hydrogen sulfide levels in the
Fats, Oils,and Grease(FOG) Control Program: As digester gas as required by AQMD Rule 431.1.
a regional agency with trunklines throughout Orange Cationic polymer is added to digested sludge
County, OCSD owns and maintains the larger prior to dewatering to improve the sludge and
trunklines, while the cities and agencies that form water separation process. Cationic polymer is
Section 5— Page 1
2018-19 & 2019-20 Budget
also added to the waste activated sludge includes contracted services, materials and supplies,
dissolved air flotation thickeners to thicken the and outsourced service agreements.
solids before digestion.
Utilities: The cost for utilities is a significant
• Odor Control: Under septic or anaerobic component of the operating budget. The largest utility
conditions, sulfate-reducing bacteria can flourish cost incurred by the District is the electricity that is
resulting in the accumulation of sulfides in the purchased to supplement generated power to operate
liquid phase. One of the sulfide forms present is the plant processes. The central generation facilities
hydrogen sulfide (H2S). When released to the produce approximately 65 percent of the electricity
vapor phase, this creates the potential for both used for running the plants. In FY 2005-06,the central
odor and corrosion problems in the collection generation production was reduced in order to meet
system. new air emission limits. This issue has been resolved
by the installation of emission control systems on the
• Sodium hydroxide is added in "shock doses"to engines at both plants.
the sewers trunkline for sulfide control. Sodium
hydroxide is added over a period of 30 to 45
minutes at sufficient dosages to elevate the pH
level. The high pH slug temporarily inactivates
sulfate reducing bacteria and greatly reduces
hydrogen sulfide generation.
• The largest costs for collection system odor
control are for ferrous chloride, magnesium
hydroxide and calcium nitrate. These costs
cover continuous treatment for odor control
within four trunk lines. The contractor(s)
provide(s) leased equipment and on-going
labor for services such as maintenance, remote
monitoring of the chemical feed rates,
optimization, and field sampling.
• Sodium hypochlorite, caustic soda, and
granular carbon are used in plant process
scrubbers to treat foul air, comply with
SCAQMD permits, and prevent odor
complaints.
Residuals Management: These costs are for
hauling and beneficial reuse of wastewater solids
recovered during the treatment process. Solids
treated through the digesters, called biosolids or
treated sewage sludge, can be recycled offsite via
composting (about 60 percent) or land application on
farm fields (about 40 percent). Most of the District's
residuals management costs are for hauling 30
truckloads of biosolids offsite every day. A smaller
component of residuals management cost is non-
recyclable grit and screenings waste that must be
disposed of at a landfill.
Repairs and Maintenance: Preventive maintenance
and repair activities throughout the District's
expanded and upgraded treatment facilities and
collection system continue to keep this budgetary
category at a significant amount. This category
Section 5— Page 2
Operations Summary
Proposed Budget
Comparisons by Department
2017-18 Budget Budget
Revised 2017-18 2018-19 Percent 2019-20 Percent
Department and Division Budget Projected Proposed Change Proposed Change
General Manager's Office
General Management Adnin $ 2,911,810 $ 2,184,360 $ 2,938,490 0.92% $ 2,852,220 -2.94%
Board Services 602,340 625,340 691,530 14.81% 712,760 3.07%
Public Affairs 1,108,900 1,076,190 1,081,500 -2.47% 1,062,000 -1.80%
Department subtotal 4,623,050 3,885,890 4,711,520 1.91% 4,626,980 -1.79%
Human Resources Department
Human Resources 4,038,470 3,806,670 4,171,570 3.30% 4,466,470 7.07%
Risk Management 6,426,070 5,930,320 5,427,000 -15.55% 5,900,700 8.73%
Department subtotal 10,464,540 9,736,990 9,598,570 -8.28% 10,367,170 8.01%
Administrative Services Department
Administrative Services Admin 624,730 513,930 626,960 0.36% 651,860 3.97%
Financial Management 3,833,990 4,214,860 3,834,170 0.00% 3,376,810 -11.93%
Contracts,Purch,&Materials Mgmt 4,422,300 4,396,480 6,025,240 36.25% 4,584,440 -23.91%
Information Technology 10,568,540 10,547,740 11,620,570 9.95% 11,982,540 3.11%
Department subtotal 19,449,560 19,673,010 22,106,940 13.66% 20,595,650 -6.84%
Environmental Services Department
Environmental Services Admin 825,750 849,450 866,770 4.97% 882,970 1.87%
Environmental Compliance 5,758,120 5,492,390 5,960,650 3.52% 5,955,020 -0.09%
Laboratory&Ocean Monitoring 10,727,570 10,400,720 11,147,210 3.91% 11,496,290 3.13%
Department subtotal 17,311,440 16,742,560 17,974,630 3.83% 18,334,280 2.00%
Engineering Department
Engineering Admin 438,390 484,990 509,130 16.14% 528,930 3.89%
Planning 3,158,970 3,103,500 3,588,370 13.59% 3,626,870 1.07%
Project Management Office 2,868,900 2,597,300 2,888,850 0.70% 2,946,130 1.98%
Civil&Mechanical Engineering 8,629,930 8,276,590 8,834,460 2.37% 9,038,650 2.31%
Electrical&Control Systems Engineering 5,235,710 4,846,160 5,422,590 3.57% 5,516,640 1.73%
Department subtotal 20,331,900 19,308,540 21,243,400 4.48% 21,657,220 1.95%
Operations&Maintenance Dept.
0&M Administration 735,030 561,770 957,270 30.24% 966,690 0.98%
Collection Facilities 0&M 12,284,740 12,139,000 13,305,960 8.31% 14,348,730 7.84%
Fleet Services 1,965,050 1,973,180 2,108,870 7.32% 2,114,220 0.25%
Plant No. 1 Operations 27,866,660 26,017,880 26,592,250 -4.57% 29,850,860 12.25%
Plant No.2 Operations 19,389,450 19,596,890 20,357,180 4.99% 18,131,670 -10.93%
Plant No. 1 Maintenance 14,628,280 15,737,060 18,439,550 26.05% 16,768,240 -9.06%
Maintenance Reliability&Planning 7,700,130 6,618,760 7,728,800 0.37% 7,299,200 -5.56%
Plant No.2 Maintenance 14,548,410 11,887,480 16,118,650 10.79% 15,522,070 -3.70%
Department subtotal 99,117,750 94,532,020 105,608,530 6.55% 105,001,680 -0.57%
Less: Cost Allocation (19,394,560) (20,266,650) (20,070,430) 3.48% (20,378,610) 1.54%
Net Operating Requirements $151,903,680 $143,612,360 $161,173,160 6.10% $160,204,370 -0.60%
Section 5- Page 3
2018-19 & 2019-20 Budget
Proposed Budget
Expense by Category
2017-18 Budget Budget
Revised 2017-18 2018-19 Percent 2019.20 Percent
Description Budget Projected Proposed Change Proposed Change
Salaries, Wages&Benefits $ 93,361,330 $ 90,379,880 $ 95,992,800 2.82% $ 98,189,100 2.29%
Administrative Expenses 2,026,550 2,068,300 2,007,530 -0.94% 1,906,030 -5.06%
Printing& Publication 403,900 344,010 316,890 -21.54% 317,410 0.16%
Training&Meetings 1,252,320 984,170 1,097,080 -12.40% 988,400 -9.91%
Operating Materials&Supplies 15,724,300 14,910,520 15,762,740 0.24% 18,877,840 19.76%
Contractual Seances 24,489,090 24,281,770 25,206,520 2.93% 22,055,550 -12.50%
Professional Services 5,125,990 3,912,600 5,393,480 5.22% 4,602,370 -14.67%
Research&Monitoring 889,400 785,000 1,061,200 19.32% 1,099,600 3.62%
Repairs& Maintenance 15,945,110 15,749,440 21,715,360 36.19% 19,321,260 -11.02%
Utilities 7,898,590 6,967,860 7,439,800 -5.81% 9,028,600 21.36%
Other Materials, Supplies, and Svc. 4,181,660 3,495,460 5,250,190 25.55% 4,196,820 -20.06%
Cost Allocation (19,394,560) (20,266,650) (20,070,430) 3.48% (20,378,610) 1.54%
Net Operating Requirements $151,903,680 $143,612,360 $161,173,160 6.10% $160,204,370 -0.60%
Cost to Collect/Treat 1 Million Gallons $ 2,249.59 $ 2,124.91 $ 2,412.95 7.26% $ 2,398.45 -0.60%
Flow, Million Gallons 67,525 67,585 66,795 -1.08% 66,795 0.00%
Flow Per Day, MGD 185.00 185.16 183.00 -1.08% 183.00 0.00%
Section 5— Page 4
Operations Summary
Proposed Budget
Allocation to Individual Revenue Areas
Total Gallonage Flows, Million Gallons per Year (MG)
Revenue 2017-18 Projected 2018-19 2019-20
Area Projected Increase Projected Percent Budgeted Percent
No. Flow (MG) (MG) Flow (MG) of Total Flow (MG) of Total
Consolidated 65,997 (772) 65,225 97.65% 65,245 97.68%
14 1,588 (18) 1,570 2.35% 1,550 2.32%
TOTALS 67,585 (790) 66,795 100.00% 66,795 100.00%
Average Daily Gallonage Flows, Million Gallons per Day (MGD)
Revenue 2017-18 Projected 2018-19 2019-20
Area Projected Increase Budgeted Percent Budgeted Percent
No. Flow (MGD) (MGD) Flow (MGD) of Total Flow (MGD) of Total
Consolidated 181 (2) 179 97.81% 179 97.81%
14 4 - 4 2.19% 4 2.19%
TOTALS 185 (2) 183 100.00% 183 100.00%
FY 2018-19 Estimated Allocation of Total Costs to Revenue Areas
Revenue Treatment
Area Collection & Disposal Total Total
No. Costs Costs Costs Cost/MG
Consolidated $28,792,820 $ 118,231,520 $ 147,024,340 $ 2,254.11
14 - O&M 1,726,580 2,647,240 4,373,820 2,785.87
14 - Sludge - 9,775,000 9,775,000 6,226.11
TOTALS $30,519,400 $ 130,653,760 $ 161,173,160 $ 2,412.95
FY 2019-20 Estimated Allocation of Total Costs to Revenue Areas
Revenue Treatment
Area Collection & Disposal Total Total
No. Costs Costs Costs Cost/MG
Consolidated $29,947,760 $ 117,127,250 $ 147,075,010 $ 2,254.20
14 - O&M 1,795,840 2,622,520 4,418,360 2,850.55
14 - Sludge - 8,711,000 8,711,000 5,620.00
TOTALS $31,743,600 $ 128,460,770 $ 160,204,370 $ 2,398.45
Section 5— Page 5
2018-19 & 2019-20 Budget
Proposed Budget
Net Operating Expense by Line Item
Adjusted %Budget %Budget
Budget 2017-18 2018-19 Change to 2019-20 Change to
Description 2017-18 Projected Proposed 2017-18 Proposed 2018-19
Salaries,Wages, &Benefits
Salaries &Wages
Salaries &Wages $ 70,883,000 $ 68,157,300 $ 72,948,400 2.91% $ 74,101,100 1.58%
Employee Benefits
Retirement 10,792,800 10,809,900 10,739,100 -0.50% 10,850,600 1.04%
Group Insurances 10,421,800 10,002,100 10,868,900 4.29% 11,605,000 6.77%
Tuition& Certificate Reimb 102,000 126,200 128,700 26.18% 131,300 2.02%
Edu.degrees,Cert. & Lic. 380,700 421,700 460,800 21.04% 460,800 0.00%
Uniform Rental 110,600 131,200 131,200 18.63% 131,200 0.00%
Workers'Compensation 554,330 594,680 586,600 5.82% 780,000 32.97%
Unemployment Insurance 24,700 37,700 37,700 52.63% 37,700 0.00%
EMT Supplemental Benefits 91,400 99,100 91,400 0.00% 91,400 0.00%
Salaries, Wages, & Benefits 93,361,330 90,379,880 95,992,800 2.82% 98,189,100 2.29%
Materials, Supplies, &Services
Administrative Expenses
Memberships 615,130 594,500 618,760 0.59% 619,350 0.10%
Office Exp-Supplies 66,220 58,930 67,470 1.89% 68,240 1.14%
Postage 320,570 298,990 43,270 -86.50% 43,330 0.14%
Books & Publications 41,530 35,110 38,070 -8.33% 40,640 6.75%
Forms 550 930 960 74.55% 970 1.04%
Small Computer Items 750,000 900,000 900,000 20.00% 900,000 0.00%
Minor Furniture& Fixtures 232,550 179,840 339,000 45.78% 233,500 -31.12%
Printing& Publication
Repro-In-House 243,960 179,460 198,040 -18.82% 198,430 0.20%
Printing-Outside 112,560 107,140 60,370 -46.37% 60,480 0.18%
Notices &Ads 47,330 57,410 58,430 23.45% 58,450 0.03%
Photo Processing 50 - 50 0.00% 50 0.00%
Meetings &Training
Meetings 198,620 132,740 167,360 -15.74% 175,510 4.87%
Training 1,053,700 851,430 929,720 -11.77% 812,890 -12.57%
Operating Materials &Supplies
Chem. Coagulants 5,225,000 5,243,110 5,489,080 5.05% 8,369,990 52.48%
Odor Control 7,494,000 6,886,710 7,142,120 -4.70% 7,415,980 3.83%
Disinfection 307,600 217,820 253,000 -17.75% 288,000 13.83%
Chemicals -Cogen Op. 342,000 316,440 326,860 -4.43% 331,070 1.29%
Miscellaneous Chemicals - 3,010 - n/a - n/a
Gas, Diesel, &Oil 565,790 517,370 582,640 2.98% 596,010 2.29%
Tools 401,500 347,450 496,340 23.62% 399,140 -19.58%
Safety Equipment/tools 517,290 540,830 559,690 8.20% 538,900 -3.71%
Solv,Paint,Janitor Supplies 91,600 89,730 106,320 16.07% 113,200 6.47%
Lab Chemicals &Supplies 587,160 596,410 624,570 6.37% 640,650 2.57%
Misc. Operating Supplies 188,360 149,550 168,480 -10.55% 171,210 1.62%
Property Tax Fees 4,000 2,090 13,640 241.00% 13,690 0.37%
Contractual Services
Solids Removal 15,900,000 16,200,000 16,200,000 1.89% 12,500,000 -22.84%
Other Waste Disp. 990,040 789,550 811,900 -17.99% 840,900 3.57%
Groundskeeping 129,720 163,720 175,700 35.45% 193,000 9.85%
Janitorial 366,440 357,480 435,000 18.71% 444,360 2.15%
Outside Lab Services 250,000 139,000 210,000 -16.00% 260,000 23.81%
Oxygen Plant Oper 375,000 320,000 330,000 -12.00% 340,000 3.03%
County Service Fee 658,700 483,000 497,490 -24.47% 512,410 3.00%
Temporary Services 1,537,190 1,354,940 1,429,400 -7.01% 1,319,400 -7.70%
Security Services 1,600,000 1,585,530 1,608,000 0.50% 1,608,000 0.00%
Other 2,682,000 2,888,550 3,509,030 30.84% 4,037,480 15.06%
Section 5— Page 6
Operations Summary
Proposed Budget
Net Operating Expense by Line Item (Continued)
%Budget %Budget
Budget 2017-18 2018-19 Change to 2019-20 Change to
Description 2017-18 Projected Proposed 2017-18 Proposed 2018-19
Professional Services
Legal 977,000 1,267,090 1,147,030 17.40% 1,148,820 0.16%
Audit&Accounting 259,300 192,850 231,690 -10.65% 241,110 4.07%
Engineering 1,758,000 978,210 1,985,460 12.94% 1,045,800 -47.33%
Enviro Scientific Consult 150,800 109,590 280,000 85.68% 180,000 -35.71%
Software Prgm Consult 416,000 370,000 376,000 -9.62% 376,000 0.00%
Advocacy Efforts 176,000 162,500 165,000 -6.25% 165,000 0.00%
Industrial Hygiene Svcs 50,000 40,000 50,000 0.00% 50,000 0.00%
Labor Negotiation Svc 20,000 - 40,000 100.00% 80,000 100.00%
Other 1,318,890 792,360 1,118,300 -15.21% 1,315,640 17.65%
Research& Monitoring
Environ. Monitoring 369,200 310,000 511,200 38.46% 549,600 7.51%
Air Quality Monitoring 95,200 50,000 100,000 5.04% 100,000 0.00%
Research 425,000 425,000 450,000 5.88% 450,000 0.00%
Repairs & Maintenance
Materials &Services 13,078,200 13,032,850 18,445,730 41.04% 15,836,630 -14.14%
Service Maint. Agreements 2,866,910 2,716,590 3,269,630 14.05% 3,484,630 6.58%
Utilities
Telephone 400,000 400,000 501,000 25.25% 501,100 0.02%
Diesel For Generators 14,290 10,500 11,290 -20.99% 11,290 0.00%
Natural Gas 780,500 515,130 576,100 -26.19% 597,140 3.65%
Power 6,037,000 5,438,150 5,732,860 -5.04% 7,287,990 27.13%
Water 666,800 604,080 618,550 -7.24% 631,080 2.03%
Other Operating Costs
Outside Equip Rental 107,600 128,770 132,000 22.68% 134,000 1.52%
Insurance Premiums 32,000 26,200 35,500 10.94% 37,800 6.48%
Prop& Gen Liab Insurance 2,110,870 2,110,870 1,299,300 -38.45% 1,720,000 32.38%
Freight 71,560 85,900 87,050 21.65% 87,050 0.00%
Misc. Operating Expense 259,250 301,870 210,250 -18.90% 249,980 18.90%
Regulatory Operating Fees 715,900 679,000 749,000 4.62% 769,000 2.67%
Contingency 281,000 - 715,000 154.45% 691,000 -3.36%
Prior year reappropriation 384,500 420,600 9.39% 406,500 -3.35%
Loss on obsolete inventory 2,300 (3,630) 1,501,570 65185.65% 1,570 -99.90%
Other Non-Oper Expense 216,680 166,480 99,920 -53.89% 99,920 0.00%
Materials, Supplies, & Services 77,936,910 73,499,130 85,250,790 9.38% 82,393,880 -3.35%
Total Operating Requirements 171,298,240 163,879,010 181,243,590 5.81% 180,582,980 -0.36%
Less: Cost Allocation (19,394,560) (20,266,650) (20,070,430) 3.48% (20,378,610) 1.54%
Net Operating Requirements $151,903,680 $143,612,360 $161,173,160 6.10% $160,204,370 -0.60%
Cost to Collect, Treat, &
Dispose of 1 Million Gallons $ 2,249.59 $ 2,124.91 $ 2,412.95 $ 2,398.45
Flow, Million Gallons 67,525 67,585 66,795 66,795
Flow Per Day, MGD 185.00 185.16 183.00 183.00
Section 5— Page 7
2018-19 & 2019-20 Budget
NOTES TO THE FISCAL YEAR 2018-19 and Uniforms - This budget projection is for uniforms
2019-20 OPERATIONS BUDGET provided to field and lab employees in accordance
with employee MOU's.
Salaries, Wages &Benefits
Salaries & Wages-The proposed budget is set at Workers' Compensation - This item is used to
636.0 Full Time Equivalent (FTE) positions for maintain the level of accumulated reserves for
FY 2018-19 and 2019-20. Provision has been workers' compensation self-insurance. The
made in the proposed salaries for FY 2018-19 in amount recommended is$586,600 for FY 2018-19
order to comply with the terms of those current and $780,000 for FY 2019-20. The total estimated
MOUs which extend through that fiscal year. expenditures for the workers' compensation
Pending completion of the negotiation process, no program are set forth in detail in the Self-Insurance
salary adjustments have been included for periods section.
beyond the expiration of current MOUs.
Unemployment Insurance -The District is on an
Retirement - The District's employees are actual claims paid basis, which has historically
members of the Orange County Employees' resulted in an overall lower cost because of
Retirement System. Employees participate in one favorable claims history. This appropriation is
of three plans depending on hire date: Plan G/H proposed at a level consistent with the prior year's
(older), Plan B, or Plan U (newer, with a lower actual costs.
retirement benefit). The employer's required
contribution rate for Plan G/H has been decreased Memberships - The District has memberships in
from 15.83 percent to 15.78 percent, Plan B has agencies such as the National Association of Clean
been decreased from 10.30 percent to Water Agencies (NACWA), the National Water
10.21 percent, and Plan U has increased from Research Institute (NWRI), the Water Emergency
9.25 percent to 9.27 percent in FY 2018-19. In Response Organization of Orange County(WEROC),
addition, for Plan G/H the District pays 3.5 percent the Water Environment Research Foundation
on behalf of each employee. (WERF),the Information Technology Approval Group
(ITAG), the California Association of Sanitation
Group Insurance - This includes the District's Agencies (CASA), the Southern California Alliance of
share of employees' medical and dental insurance Publicly Owned Treatment Works (SCAP), and the
plans, and life and disability insurance premiums. Center for Demographic Research
It also includes the other post-employment benefits
that the District is obligated to pay for retirees. The Administrative Expenses -These accounts include
FY 2018-19 and 2019-20 budgets includes an supplies, postage, technical journals and
estimated 7.0 percent increase for medical publications,forms, small office equipment, and small
insurance. The FY 2018-19 and 2019-20 budgets computer items. The small equipment and computer
include estimated average annual increases for items cost less than $5,000 per item and exclude
dental, vision, life, and disability insurance of items that are capitalized.
4.0 percent, 5.0 percent, 12.0 percent and Printing and Publication - The budget provides for
9.0 percent, respectively. in-house and outside reproduction costs and reflects
Tuition & Certification Reimbursements -To an expanded management information system and
encourage the self-development and training of administrative requirements as well as a continuing
employees, the District has a tuition and demand by the public and regulatory agencies for
certification reimbursement program. This information. This group of accounts also includes
appropriation is set at $128,700 for FY 2018-19 costs for photo processing, advertisements, and
and $131,100 for FY 2019-20. notices.
Development Pay-To further promote employee Training&Meetings-Board member and staff travel
efforts that increase job knowledge, skills, and has been significantly reduced in recent years. This
abilities, the District has established this benefit for category includes meetings of professional societies;
employees obtaining educational degrees and job- ongoing technical and safety training and materials
related certificates/ licenses. The budget of for staff; expansion of the Leadership Academy
training program, training for computerized plant
$460,800 for FY 2018-19 and 2019-20 is based on monitoring and control systems and training to allow
estimated employee participation. for an adaptive and flexible work force. The District
Section 5— Page 8
Notes to Operations Summary
continues to place an emphasis on safety, technical, treatment plant bleach budgets will be $245,000 in
leadership and management training. An amount FY 2018-19 and $280,000 in FY 2019-20.
equal to approximately 1.6 percent of the regular
salaries budget is allocated to training. Sodium Bisulfite — Sodium bisulfite is used for
dechlorination of outfall effluent at Plant No. 2, if
Operating Materials & Supplies required, to ensure that no residual chlorine is
Chemical Coagulants - Chemical coagulants are discharged into the ocean. The sodium bisulfite
used to enhance the primary treatment process by budgets are $5,000 in fiscal years 2018-19 and
increasing the solids removal efficiencies and are 2019-20.
used to control hydrogen sulfide levels in the
digester gas. Gasoline, Oil and Fuel- This group of accounts
includes gasoline, oil, and diesel fuel required to
The anionic polymer budget for FY 2018-19 is operate stationary treatment plant equipment as
$418,000 with FY 2019-20 increasing to $431,000 well as approximately 300 pieces of major mobile
because of a 3 percent anticipated inflation rate equipment such as cars, trucks, cranes, and
increase. The cationic polymer budgets are generators.Also included in this group of accounts
$1,876,000 for FY 2018-19 and $4,520,000 in is the cost of fuel for the compressed natural gas
FY 2019-20 due to additional usage for the station. The cost of the natural gas is recovered
dewatering centrifuges expected to be operational by selling the compressed natural gas as vehicle
in July 2019. The projected ferric chloride budget fuel to outside users. The budgets for this group
for FY 2018-19 is $3,195,000 and $3,419,000 for of items are expected to remain relatively the
FY2019-20, reflecting expected price increases of same for the next two fiscal years.
7 percent each year.
Other Operating Supplies - This group of
Odor Control Chemicals - The District uses accounts is for miscellaneous items such as
sodium hydroxide (caustic soda), and bleach as scrubber acids, activated carbon, solvents,
the primary odor control chemicals within the cleaners, hardware, janitorial supplies, tools,
treatment plants; muriatic acid is an odor control safety equipment, laboratory supplies, etc., that
chemical used for cleaning the scrubbers. The are required to operate and maintain existing and
treatment plant odor control chemicals budget expanding facilities. This group of accounts is
reflects a $695,000 decrease from FY 2017-18 expected to remain relatively the same during
since hydrogen peroxide is no longer being used in fiscal years 2018-19 and 2019-20.
the foul air scrubbers and trunk sewers. New bio-
scrubbers are efficient in capturing foul air from Contractual Services-The major component of this
trunk sewers and optimization of caustic soda and category is biosolids removal and transportation
bleach ensure effective foul air treatment. An costs. Contracts have been executed with firms for
increase of $34,000 in FY 2019-20 is due to unit agricultural reuse of residual solids and composting
rate increases. for biosolids disposal. The total cost budgeted for
FY 2018-19 solids removal is expected to remain the
Ferrous chloride, magnesium hydroxide, calcium same as FY 2017-18 projected amount and the cost
nitrate, and caustic soda are the primary odor is projected to decrease by $3,700,000 in FY 2019-
control chemicals used within the collection 20 to $12,500,000 due to the sludge dewatering and
system. The FY 2018-19 budgets for these odor control facilities coming online at both plants.
chemicals reflect a $343,000 increase from
FY 2017-18 in order to maintain odor complaints This category also includes appropriations for other
within established performance levels, with an waste removal, groundskeeping services, janitorial
increase of $240,000 in FY 2019-20 because of services, security services, county service fees,
estimated unit rate increases and the planned temporary help to level out periodic increases in staff
addition of a new dosing site on the Euclid trunk workload, long-term leaves, and position vacancies,
sewer. outside laboratory services, manhole rehabilitation,
CCTV services, industrial and line cleaning services.
Disinfection Chemicals - Sodium Hypochlorite
(Bleach)—The treatment plant bleach usage is for Professional Services - Includes General Counsel,
disinfection of plant water and the control of special labor counsel, engineering, advocacy efforts,
filamentous organisms in activated sludge in the audit and accounting services, software program
secondary treatment process. The District consulting, and other technical consulting services.
Section 5— Page 9
2018-19 & 2019-20 Budget
Research and Monitoring - The costs in this natural gas budget is $576,000, with only a slight
category consist of contract services to carry out the increase to $597,000 in FY 2019-20.
extensive ocean monitoring program required by EPA
Region IX under the provisions of the District's Electricity - Electricity is the largest utility cost
NPDES permit; air quality monitoring costs; the incurred by the District. Purchased electricity is
District's contribution to the Southern California used to run the plant processes; support building
Coastal Water Research Project (SCCWRP) being and pump stations. The treatment plants and
conducted under a joint powers agreement with other support buildings estimated consumption and
Southern California municipal dischargers; and also resulting costs for electrical energy purchased
provides for operational and ocean research and from Southern California Edison for the 2018-19
evaluation to develop optimum operating parameters fiscal year are $4,510,000 and the pump stations
in the treatment plants. Overall this category of costs budget for the same period is $547,000. Other
is expected to remain approximately the same for the support buildings power costs are $675,000,
FY 2018-19 and FY 2019-20 budgets. completing the total estimated power costs for
FY 2018-19. The increase of $1.6 million in
Repairs and Maintenance-Around 96 percent of the FY 2019-20 is driven by increased power usage
materials and services budgets support the associated with the sludge dewatering and odor
maintenance of the collection system and the control facilities anticipated to be operational in
treatment plants. These line items also reflect base July 2019.
budgets for equipment maintenance. Out-sourced
annual service contracts and maintenance Other Materials, Supplies, and Services
agreements are also included. The FY 2018-19 and Insurance Premiums -Other than approximately
FY 2019-20 budgets include repairs and maintenance $36,000 budgeted each year in the operating
costs totaling $21.7 million and $19.3 million, section to insure the District's ocean vessel, the
respectively. The increases following FY 2017-18 are cost for general liability and property insurance
mainly due to two central generation engines are premiums is budgeted entirely within the Self-
scheduled for overhaul at an estimated cost of Insurance section.
$3.8 million and major rehabilitation of primary and
secondary clarifiers at both plants is planned for Property & General Liability In-Lieu Insurance
$1.6 million. Items previously deferred that are now Premium -This item is used to maintain the level
being addressed in FY 2018-19 and FY 2019-20. of accumulated reserves for property and general
Further,over 94 percent of service contracts are O&M liability self-insurance. The amount recommended
maintenance-related or computer-related, that will is $1,299,000 for FY 2018-19 and $1,720,000 for
provide services for the computer systems located FY 2019-20. The total estimated expenditures for
the insurance program are set forth in detail in the
throughout the collection facilities, treatment plants,
and administration areas. Self-Insurance section.
O&M contracted materials and services for FY 2018- Other Operating & Non-Operating Expenses -
19 include: Central Generation engine overhaul, Expenses not chargeable elsewhere, such as
digester cleaning, primary and secondary clarifier annual regulatory fees assessed by the SCAQMD
repairs, emergency generator maintenance, belt and SWRCB, freight and other miscellaneous
press overhaul, interplant line inspection and items are recorded within these groups of
maintenance, and other maintenance work including accounts.
heating, ventilation and air conditioning, lighting and Cost Allocation - This represents direct labor and
electrical equipment maintenance projects at both benefit charge outs and materials, supplies and
treatment plants services cost allocation to the capital project where
Utilities - The cost for utilities is a significant the related work was performed.
component of the operating budget. In FY2018-19, Net Operating Requirements - This line item
the overall cost for utilities is anticipated to be represents the net salary, wages, benefits, materials,
$7.4 million for the FY 2018-19 budget, with an supplies, and services related to operating costs for
increase to$9.0 million in FY 2019-20. collection, treatment, and disposal activities, after
Natural Gas - Natural gas is purchased to charge backs to CIP.
supplement the digester gas that is used to run the
central generation facilities. The total FY 2018-19
Section 5—Page 10
OPERATING DIVISIONS
SECTION 6
General Management Administration
110
BOARD
OF
DIRECTORS
GENERAL
MANAGER
ASSISTANT PRINCIPAL
GENERAL STAFF ANALYST
MANAGER
SECRETARY TO
THE GENERAL
MANAGER
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
6
Executive Managers 2.0
Supervisors / Professionals 2.0
Total 4.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 1
2018-19 & 2019-20 Budget
Service Description
The mission of the General Management Administration Division is to work with the Board to establish standards,
policies and procedures, and the overall goals and Strategic Plan of the agency. The Division reports the District's
progress in meeting the established goals to support the District's mission, and provides general oversight of the
District's operations. The General Manager reports directly to the Board of Directors and provides general
oversight to all District operations, interagency relations, legislative activities, communications, and the Strategic
Plan. The Assistant General Manager directly oversees the Public Affairs Division and Board Services Division.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Ensure that the Board approved Strategic Plan is ♦ The Update to the Strategic Plan was adopted by
implemented. the Board of Directors in December 2017.
♦ Respond to 90% of public records requests within ♦ On track to complete the year with a 96% response
seven business days. rate.
♦ Conduct an annual destruction day with District ♦ Destruction Day will be held in June 2018.
wide participation.
♦ Contribute to employee development through the ♦ At mid-year the BLAST program had already
BLAST program by providing quality leadership reached over 50% of OCSD staff and was on track
development training, materials, classes and to meet this goal.
presentations by reaching at least 70% of OCSD
staff.
2018-19 &2019-20 Performance Objectives
♦ Create a new 5-year Strategic Plan & recommend for Board adoption.
♦ Manage operating expenditures to within 96% to 100% of the approved budget.
♦ Ensure the District does not exceed 636 FTEs.
♦ Contribute to employee development through the BLAST program by providing quality leadership
development training, materials, classes and presentations by reaching at least 70% of OCSD staff.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Create new 5-year 100% 100% 100% 100% In-house standard
Strategic Plan
♦ Operating Expenditures 97% 96% 96% 96% In-house standard
♦ Do not exceed 636 578.25 <_ 635 <_636 <_ 636 In-house standard
FTEs
♦ BLAST Program reach 86% 72% 70% 70% In-house standard
Section 6 - Page 2
General Management Administration
Budget Overview
The FY 2018-19 &2019-20 budgets for the General Management Administration Division reflect increase of 1%
and a decrease of 3% over the prior year, respectively. The increase is primarily due to an increase in legal
services and an increase in the General Manager's contingency and the contingency for reappropriations, which
are set at 0.85% and 0.5% of the District's overall non-salary related operating budget, respectively.
2017-18 Adjusted Budget-Total Operating Requirements $ 2,911,810
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (234,200)
Change in OCERS retirement costs (33,100)
Change in group insurance costs (38,700)
Other benefit cost adjustments (700)
Other Cost Adjustments.
Decrease in temporary services (77,000)
Increase in legal services 100,000
Decrease in software program consulting (40,000)
Decrease in other professional services (52,000)
Increase in General Manager's contingency/reappropriations 470,100
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (67,720)
2018-19 Proposed Budget-Total Operating Requirements $ 2,938,490
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) (38,300)
Change in OCERS retirement costs (6,900)
Change in group insurance costs 3,800
Other benefit cost adjustments 1,200
Other Cost Adjustments.
Decrease in training (37,970)
Increase in other professional services 30,000
Decrease in General Manager's contingency/reappropriations (38,100)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
2019-20 Proposed Budget-Total Operating Requirements $ 2,852,220
Section 6 - Page 3
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 1,346,834 $ 1,272,300 $ 1,276,100 $ 965,600 (24.11%) $ 925,400 (4.16%)
Supplies 219,027 398,240 340,750 373,210 (6•29%) 335,240 (10.17%)
Professional&Contractual Services 664,718 434,000 451,840 345,000 (20.51%) 375,000 8.70%
Research&Monitoring - - - - - -
Repairs&Maintenance 23 - - - - -
Utilities 95,619 130,000 107,460 110,000 (15.38%) 110,000 0.00%
Other 8,739 677,270 8,210 1,144,680 69.01% 1,106,580 (3.33%)
Total $ 2,334,960 1 $ 2,911,810 $ 2,184,360 $ 2,938,490 1 0.92% $ 2,852,220 (2.94%)
Expenditure Trends
$2,911,810 $2,938,490 $2,852,220
$2,171,418 $2,334,960
$1,658,677
2015 2016 2017 2018 2019 2020
Section 6 - Page 4
Board Services
120
ASSISTANT GENERAL
MANAGER
CLERK OF THE
BOARD
DEPUTY CLERK PROGRAM OFFICE
OF THE BOARD ASSISTANT (2) ASSISTANT
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
5 5 5 5 5
Supervisors / Professionals 2.00 a
Administrative / Clerical 3.00
Total 5.00 2015 2016 2017 2018 2019 2020
Section 6 - Page 5
2018-19 & 2019-20 Budget
Service Description
The mission of the Board Services Division is to provide exceptional customer service and support to the Board of
Directors, district staff and the general public through the Clerk of the Board's Office. The Clerk of the Board's office
promotes public trust and ensures transparency by: accurately recording and preserving the legislative actions of
the District; safeguarding the vital, historic and permanent records of the District as their official custodian; preparing
and publishing agendas and notices in accordance with legal requirements; acting as filing officer for Statement of
Economic Interest filings; receiving and processing summons and complaints filed against the District; and
maintaining rosters of the Board of Directors, appointed committees and historical events.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Mail Board agenda packages six calendar days prior to ♦ Achieved 100% success rate.
Board meeting, 100% of the time, unless otherwise
authorized by the General Manager.
♦ Maintain accurate records of official actions taken by ♦ Maintained & Published 100% successfully.
the Board of Directors and publish those actions by
5:00 p.m. the day following a meeting.
♦ Respond to all Board of Directors, staff and public ♦ Responded to all inquiries within 24 hours.
inquiries in a satisfactory time frame providing excellent
internal and external customer service.
♦ Maintain legal compliance with various federal, state ♦ Achieved 100% success rate.
and local laws (Brown Act, Political Reform Act, etc.).
♦ Maintain District Transparency Certificate of Excellence ♦ Achieved 100% success rate.
(SDLF).
2018-19 &2019-20 Performance Objectives
♦ Mail Board agenda packages six calendar days prior to Board meeting, 100% of the time, unless otherwise
authorized by the General Manager.
♦ Maintain accurate records of official actions taken by the Board of Directors and post those actions on website
by 5:00 p.m. the day following a meeting.
♦ Respond to 90% of public records requests within 7 business days.
♦ Respond to the Board of Directors, staff and public inquiries in a satisfactory time frame providing excellent
internal and external customer service.
♦ Maintain legal compliance with various federal, state and local laws (Brown Act, Political Reform Act, etc.)
♦ Maintain District Transparency Certificate of Excellence (SDLF)
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Board Agenda Packages 100% 100% 100% 100% In-house standard
♦ Maintain & post accurate Records 100% 100% 100% 100% Legal compliance
of Board Actions
♦ Respond to 90% of public N/A 100% 100% 100% In-house standard
requests within 7 business days
♦ Respond to all inquiries in 100% 100% 100% 100% In-house standard
satisfactory time frame
♦ Maintain Legal Compliance 100% 100% 100% 100% Legal compliance
♦ Maintain District Transparency 100% 100% 100% 100% In-house standard
Certificate of Excellence
Section 6 - Page 6
Board Services
Budget Overview
The FY 2018-19 &2019-20 budgets for the Board Services Division reflect an increase of 15% and an increase of
3% over the prior year, respectively. The increase is primarily due to an increase in legal services and
adjustments to salaries and benefits.
2017-18 Adjusted Budget-Total Operating Requirements $ 602,340
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 26,600
Change in OCERS retirement costs 2,800
Change in group insurance costs 3,800
Other benefit cost adjustments 1,700
Other Cost Adjustments:
Increase in legal services 50,000
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 4,290
2018-19 Proposed Budget-Total Operating Requirements $ 691,530
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 13,700
Change in OCERS retirement costs 1,200
Change in group insurance costs 5,800
Other benefit cost adjustments 1,500
Other Cost Adjustments:
Decrease in training (900)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (70)
2019-20 Proposed Budget-Total Operating Requirements $ 712,760
Section 6 - Page 7
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 510,189 $ 485,700 $ 490,600 $ 520,600 7.19% $ 542,800 4.26%
Supplies 29,916 66,540 54,960 70,730 6.30% 69,760 (1.37%)
Professional & Contractual Seances 118,610 50,000 79,730 100,000 100.00% 100,000 0.00%
Research& Monitoring - - - - - - -
Repairs & Maintenance - - -
Utilities - - - - - - -
Other 148 100 50 200 100.00% 200 0.00%
Total $ 658,863 $ 602,340 $ 625,340 $ 691,530 14.81% $ 712,760 3.07%
Expenditure Trends
$658,863 $691,530 $712,760
$621,346 $602,340
$550,728
2015 2016 2017 2018 2019 2020
Section 6 - Page 8
Public Affairs
140
ASSISTANT GENERAL
MANAGER
PUBLIC AFFAIRS
SUPERVISOR
SENIOR PUBLIC PUBLIC AFFAIRS
AFFAIRS SPECIALIST
SPECIALIST
ADMINISTRATIVE GRAPHICS
ASSISTANT COORDINATOR
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Supervisors / Professionals 3.0
Administrative & Clerical 2.0 4 5 5 5 5 5
Total 5.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 9
2018-19 & 2019-20 Budget
Service Description
The Public Affairs Division provides services and implements programs to meet the communications and legislative
needs of both internal and external audiences for the Orange County Sanitation District. The division plans and
implements media relations, website content, community relations, community education and outreach, employee
newsletter, intranet development, corporate identity program, collateral material and graphics development,
presentation development, crisis communications and legislative affairs. The goal is to create a total
communications program that promotes clear and transparent communications with all designated audiences and
to promote the understanding of OCSD's mission to protect the environment.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Provide services and implement ♦ At mid-year, this goal had already been exceeded with over
programs that meet the communications 150 pieces of internal communication already produced. The
needs of OCSD's internal audiences by year will conclude with the goal met and exceeded.
producing a minimum of 70 internal ♦ Produced and circulated daily articles on MyOCSD, weekly
communication pieces. blurbs on 3 Things to Know email, monthly news in Digester,
and bi-monthly stories in Pipeline.
♦ Coordinated employee events including holiday luncheons,
Take Your Kid to Work Day, Harvest Festival, Public Works
Day, Honor Walk and the GWRS 101h Anniversary event.
♦ Provide services and implement ♦ At mid-year, this goal had already been exceeded with over
programs that meet communications 13,000 pieces of external communication already produced.
needs of OCSD's external audiences by The year will conclude with the goal met and exceeded.
reaching a minimum of 3,000 people. ♦ Hosted more than 3,000 people that toured Plant No. 1, staff
participated in 24 speaking engagements, staffed a booth at
10 community events.
♦ Support General Manager activities and ♦ Prepared key messages and talking points for Board Chair
provide information to Board of and General Manager.
Directors through the General ♦ Prepared/presented reports on division efforts to OCSD
Manager's monthly report and the new Legislative and Public Affairs Committee.
Board member orientation. ♦ Prepared the GM Monthly Report.
2018-19 &2019-20 Performance Objectives
♦ Provide services and implement programs that meet the communications needs of OCSD's internal
audiences by producing a minimum of 70 internal communication pieces.
♦ Provide services and implement programs that meet communications needs of OCSD's external audiences
by reaching a minimum of 3,000 people.
♦ Support General Manager activities and provide information to Board of Directors through the General
Manager's monthly report and the new Board member orientation.
♦ Proactive engagement in legislative advocacy efforts that could impact OCSD and the industry.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Internal Services & Programs Achieved Achieved Per Plan Per Plan Board Approved
PAO Strategic Plan
♦ External Services & Programs Achieved Achieved Per Plan Per Plan Board Approved
PAO Strategic Plan
♦ Board of Directors & GM Support Achieved Achieved Per Plan Per Plan Board Approved
PAO Strategic Plan
♦ Legislative Advocacy N/A N/A Per Plan Per Plan Board Approved
PAO Strategic Plan
Section 6 - Page 10
Public Affairs
Budget Overview
The FY 2016-17 &2017-18 budgets for the Public Affairs Division reflect a decrease of 2% and 2% from the prior
year, respectively. The decrease is primarily due to a decrease in temporary services and miscellaneous
operating supplies expense.
2017-18 Adjusted Budget-Total Operating Requirements $ 1,108,900
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) (2,600)
Change in OCERS retirement costs 2,100
Change in group insurance costs 30,700
Other benefit cost adjustments 400
Other Cost Adjustments.
Decrease in training (13,400)
Decrease in temporary services (30,000)
Increase in other professional services 50,000
Decrease in miscellaneous operating supplies expense (60,800)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (3,800)
2018-19 Proposed Budget-Total Operating Requirements $ 1,081,500
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) -
Change in OCERS retirement costs (100)
Change in group insurance costs 5,600
Other benefit cost adjustments 1,500
Other Cost Adjustments.
Decrease in other professional services (30,000)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 3,500
2019-20 Proposed Budget-Total Operating Requirements $ 1,062,000
Section 6 - Page 11
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 677,906 $ 658,600 $ 662,700 $ 689,200 4.65% $ 696,200 1.02%
Supplies 48,896 73,600 61,310 56,400 (23.37%) 55,900 (0.89%)
Professional & Contractual Services 265,379 235,000 178,430 255,000 8.51% 225,000 (11.76%)
Research& Monitoring - - - - - -
Repairs & Maintenance - - -
Utilities - - - - - -
Other 100,881 141,700 173,750 80,900 (42.91%) 84,900 4.94%
Total $ 1,093,062 1 $ 1,108,900 $ 1,076,190 1 $ 1,081,500 1 (2.47%) $ 1,062,000 (1.80%)
Expenditure Trends
$983,607 $1,093,062 $1,108,900 $1,081,500 $1,062,000
$664,180
2015 2016 2017 2018 2019 2020
Section 6 - Page 12
Human Resources Administration
160
GENERAL MANAGER
DIRECTOR OF
HUMAN RESOURCES
HUMAN
RESOURCES
ASSISTANT(2)
HUMAN
RESOURCES &
RISK MANAGER
HUMAN RESOURCES HUMAN RESOURCES
SUPERVISOR SUPERVISOR
PRINCIPAL HUMAN PRINCIPAL HUMAN
RESOURCES RESOURCES
ANALYST ANALYST
SENIOR HUMAN SENIOR HUMAN
RESOURCES RESOURCES
ANALYST(2) ANALYST(2)
HUMAN HUMAN
RESOURCES RESOURCES
ANALYST(2) ANALYST(2)
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Executive Manager 1.0
Manager 1.0
Supervisors / Professionals 12.0 16 16 16 1s 16 16
Administrative/Clerical 2.0
Total 16.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 13
2018-19 & 2019-20 Budget
Service Description
The mission of the Human Resources Administration Division is to work with employees and management to
ensure an effective and productive employment relationship.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Continue with the development and implementation of ♦ Implemented.
effective workforce planning/development and succession
planning strategies.
♦ Update and implement recruitment plan to reduce ♦ Implemented.
vacancies by 6/30/2018.
♦ Meet all training requirements and meet the training level of ♦ Estimated at 45 hours per employee.
service of 45 hours per employee.
♦ Manage the department's budget to within 96% to 100% of ♦ Projected at 84% of revised budget.
the approved budget.
2018-19 &2019-20 Performance Objectives
♦ Complete labor negotiations with all units by 6/30/2019.
♦ Continue with development and implementation of effective workforce planning/development and succession
planning strategies.
♦ Implement a comprehensive employee relations and labor relations training program by the end of fiscal
year 2019-20.
♦ Meet the training level of service of 45 hours per employee.
♦ Manage the department's budget to within 96%to 100% of the approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Approved labor contracts N/A N/A Implement Sustain HR Work Plan
♦ Workforce Planning/ Sustain Sustain Sustain Sustain OCSD Strategic Plan
Workforce Development
♦ Comprehensive employee N/A N/A In Progress Implement HR Work Plan
& labor relations training
program
♦ Training Level of Service Sustain In Progress Sustain Sustain Level of Service
♦ Manage Budget 62% 84% 96-100% 96-100% In-house standard
Section 6 - Page 14
Human Resources Administration
Budget Overview
The FY 2018-19 &2019-20 budgets for the Human Resources Administration Division reflect an increase of 3%
and 7% over the prior year, respectively. The 2018-19 increase is primarily due to increases in budgeted
retirement costs. The 2019-20 increase is primarily due to an increase in other professional services.
2017-18 Adjusted Budget-Total Operating Requirements $ 4,038,470
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 4,100
Change in retirement costs (13,800)
Change in group insurance costs 10,000
Other benefit cost adjustments 114,500
Other Cost Adjustments.
Increase in labor negotiation services 20,000
Increase in other professional services 20,000
Decrease in other non-operating expense (23,220)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 1,520
2018-19 Proposed Budget-Total Operating Requirements $ 4,171,570
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 56,200
Change in retirement costs 6,100
Change in group insurance costs 18,800
Other benefit cost adjustments 7,400
Other Cost Adjustments.
Decrease in training (33,300)
Increase in labor negotiation services 40,000
Increase in other professional services 200,000
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (300)
2019-20 Proposed Budget-Total Operating Requirements $ 4,466,470
Section 6 - Page 15
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 2,828,387 $ 3,163,400 $ 3,075,110 $ 3,278,200 3.63% $ 3,366,700 2.70%
Supplies 117,709 191,410 106,510 193,330 1.00% 159,730 (17.38%)
Professional & Contractual Seances 429,789 584,400 545,000 624,000 6.78% 864,000 38.46%
Research& Monitoring - - - - - - -
Repairs & Maintenance - -
Utilities - - - - - -
Other 34,423 99,260 80,050 76,040 (23.39%) 76,040 0.00%
Total $ 3,410,308 $ 4,038,470 $ 3,806,670 $ 4,171,570 3.30% $ 4,466,470 7.07%
Expenditure Trends
$4,195,426 $3,598,662 $3,410,308 $4,038,470 $4,171,570 $4,466,470
2 15 2016 2017 2018 2019 2020
Section 6 - Page 16
Risk Management/Safety/Security
161
HUMAN
RESOURCES AND
RISK MANAGER
SAFETY& HEALTH
SUPERVISOR
PRINCIPAL SAFETY& HEALTH
FINANCIAL SPECIALIST
ANALYST
SECURITY& SENIOR SAFETY&
EMERGENCY HEALTH
PLANNING REPRESENTATIVE
SPECIALIST (2)
OCCUPATIONAL SAFETY& HEALTH
HEALTH NURSE REPRESENTATIVE
(3)
ADMINISTRATIVE
ASSISTANT
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Supervisors / Professionals 10.0 12--11 11 11 11 11
Administrative & Clerical 1.0
Total 11.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 17
2018-19 & 2019-20 Budget
Service Description
The mission of the Risk Management/Safety/Security Division is to identify potential risk to the organization and
provide solutions for mitigation or reduce the risk to acceptable levels. Through this process the Risk
Management Division will create a safe, healthy, and secure environment for District staff, contractors, and
visitors. It will partner with management and employees to take ownership of identifying risk and controlling the
risk within their sphere of control.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Safety Compliance Training ♦ Completed.
♦ Develop JSA's Planned ♦ Ongoing.
♦ Contractor Safety Analysis ♦ Ongoing.
♦ Third Party Safety Audit ♦ Ongoing.
♦ Revise Claim Procedure ♦ Ongoing.
2018-19 &2019-20 Performance Objectives
♦ Ensure 100% of Safety Compliance Training is completed.
♦ Develop JSA's for high risk work activities.
♦ Contractor Safety Analysis to reduce injuries and accidents.
♦ Third Party Safety Audit of Safety Program to ensure compliance
♦ Implement Security Recommendations from security consultant.
♦ Implement Leading Safety Indicators to reduce injuries to employees.
♦ Revise Risk Register with newly identified risks.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Safety Compliance Training 99% 99% 100% 100% OCSD Strategic Plan
♦ Develop JSA's Ongoing Ongoing 100% Planned OSHA Requirement
♦ Contractor Safety Initiative N/A N/A Planned Planned Uniform Bid Evaluation
♦ Third Party VPP Feasibility 100% 100% Planned Planned GM Strategic Plan
Audit
♦ Security Recommendations Ongoing Ongoing Planned Planned DHS Recommendations
♦ Implement Leading Safety N/A N/A Planned Planned Continuous Safety
Indicator Improvement
♦ Revise Risk Register Complete Complete Planned Planned GM Strategic Plan
Section 6 - Page 18
Risk Management/Safety/Security
Budget Overview
The FY 2018-19 &2019-20 budgets for the Risk Management/Safety/Security Division reflect a decrease of 16%
and an increase of 9%from the prior year, respectively. These changes are primarily due to adjustments to the
property and general liability insurance in-lieu premiums.
2017-18 Adjusted Budget-Total Operating Requirements $ 6,426,070
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased) FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 14,900
Change in OCERS retirement costs (4,300)
Change in group insurance costs 8,100
Other benefit cost adjustments 11,800
Other Cost Adjustments.
Decrease in training (77,910)
Decrease in other professional services (60,000)
Decrease in property/general liability insurance in-lieu premium (811,570)
Decrease in other non-operating expense (90,580)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 10,490
2018-19 Proposed Budget-Total Operating Requirements $ 5,427,000
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 33,500
Change in OCERS retirement costs 3,100
Change in group insurance costs 13,000
Other benefit cost adjustments 3,400
Other Cost Adjustments.
Increase in property/general liability insurance in-lieu premium 420,700
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
2019-20 Proposed Budget-Total Operating Requirements $ 5,900,700
Section 6 - Page 19
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 1,187,277 $ 1,470,500 $ 1,230,370 $ 1,501,000 2.07% $ 1,554,000 3.53%
Supplies 439,745 562,050 544,050 497,330 (11.51%) 497,330 0.00%
Professional & Contractual Services 1,489,795 2,153,500 1,938,530 2,093,500 (2•79%) 2,093,500 0.00%
Research& Monitoring - - - - - - -
Repairs & Maintenance 2,486 3,050 1,500 3,050 0.00% 3,050 0.00%
Utilities - - - - - - -
Other 1 1,157,541 1 2,236,970 1 2,215,870 1 1,332,120 1 (40.45%) 1,752,820 1 31.58%
Total $ 4,276,844 1 $ 6,426,070 1 $ 5,930,320 1 $ 5,427,000 1 (15.55%)l $ 5,900,700 1 8.73%
Expenditure Trends
$6,426,070 $5,900,700
$5,427,000
$4,276,844
$3,340,064 $3,212,894
2015 2016 2017 2018 2019 2020
Section 6 - Page 20
Administrative Services Administration
210
GENERAL
MANAGER
DIRECTOR OF
FINANCE &
ADMINISTRATIVE
SERVICES
PRINCIPAL EXECUTIVE
STAFF ASSISTANT
ANALYST
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Executive Manager 1.0
Supervisors / Professionals 1.0 4
Administrative / Clerical 1.0 ---- 3 3 3 3 3
1 1 1
Total 3.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 21
2018-19 & 2019-20 Budget
Service Description
The mission of the Administrative Services Administration Division is to oversee the functions of the Financial
Management, Contracts, Purchasing, & Materials Management, and Information Technology Divisions. This
oversight includes both day-to-day operations and strategic planning. The division is the departmental liaison with
Executive Management, the Administration Committee, the Board of Directors, and other departments of the
District.
2017-18 Performance Measures 2017-18 Performance Results
♦ Submittal of annual sewer service fees (SSF)within ♦ Submittal completed in time for placement on
property parcel database to the County by secured property tax bills.
August loth.
♦ All Treasury investments will be in compliance with ♦ All Treasury investments in compliance 100% of
the State Government Code 100% of the time. the time.
♦ Coordinate and uphold solicitation schedules in ♦ Solicitation schedules upheld at 100% completion.
support of planned projects and emergency
procurements.
2018-19 &2019-20 Performance Objectives
♦ Submit annual sewer service fees (SSF)within property parcel database to the County by August 10th
♦ Comply with the California State Government Code 100% of the time with all treasury investments.
♦ Coordinate and uphold solicitation schedules in support of planned projects and emergency procurements.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Submit SSF to the County Yes Expected Expected Expected In-house
by August loth standard
♦ Investment Compliance Yes Yes Expected Expected In-house
standard
♦ Uphold Solicitation 100% 100% 100% 100% In-house
Schedules standard
Section 6 - Page 22
Administrative Services Administration
Budget Overview
The FY 2018-19 &2019-20 budgets for the Administrative Services Administration Division reflect an increase of
0.4% and an increase of 4% over the prior year, respectively. The increase is primarily due to adjustments in
salaries and benefits costs.
2017-18 Adjusted Budget-Total Operating Requirements $ 624,730
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 6,400
Change in OCERS retirement costs 4,200
Change in group insurance costs 2,100
Other benefit cost adjustments (10,200)
Other Cost Adjustments:
No other significant cost changes
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (270)
2018-19 Proposed Budget-Total Operating Requirements $ 626,960
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 17,900
Change in OCERS retirement costs 2,400
Change in group insurance costs 3,700
Other benefit cost adjustments 900
Other Cost Adjustments.
No other cost changes
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services -
2019-20 Proposed Budget-Total Operating Requirements $ 651,860
Section 6 - Page 23
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 486,354 $ 608,900 $ 498,700 $ 611,400 0.41% $ 636,300 4.07%
Supplies - 770 540 500 (35.06%) 500 0.00%
Professional &Contractual Services 17,284 15,000 14,630 15,000 0.00% 15,000 0.00%
Research& Monitoring - - - - - - -
Repairs & Maintenance - - - - - -
Utilities - - - - - - -
Other 60 60 60 60 0.00% 60 0.00%
Total $ 503,698 $ 624,730 $ 513,930 $ 626,960 0.36% $ 651,860 3.97%
Expenditure Trends
$667,767 $549,214 $624,730 $626,960 $651,860
$503,698
2015 2016 2017 2018 2019 2020
Section 6 - Page 24
Financial Management
220
DIRECTOR OF
FINANCE&
ADMINISTRATIVE
SERVICES
CONTROLLER
ACCOUNTING ACCOUNTING SENIOR ACCOUNTING
SUPERVISOR- SUPERVISOR- ACCOUNTANT- SUPERVISOR-
Revenue Financial Debt Operations/
Reporting Management Planning
SENIOR STAFF SENIOR
ANALYST- PRINCIPAL PRINCIPAL ACCOUNTANT-
Sewer Service ACCOUNTANT- ACCOUNTANT- Construction
Fee Program General Ledger Payroll Accounting &
Budget
STAFF PAYROLL
ANALYST- ACCOUNTANT- TECHNICIAN (2)- ACCOUNTANT-
Sewer Service General Ledger
Fee Program Payroll Construction
Accounting
ACCOUNTING ACCOUNTING
ASSISTANT II (2)- ASSISTANT II (3)-
Accounts Accounts Payable
Receivable&
Permit Program
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0 18--19 19 19 19 19
Supervisors / Professionals 11.0
Administrative & Clerical 7.0
Total 19.0
2015 2016 2017 2018 2019 2020
Section 6 - Page 25
2018-19 & 2019-20 Budget
Service Description
The mission of the Financial Management Division is to maintain financial oversight and administration of all
District funds and accounts. The Financial Management Division is responsible for administering the treasury
management and debt financing programs, the processing of cash receipts, accounts payable, accounts
receivable, user fees, and payroll, accounting for fixed assets, and coordinating the capital and operating budget
process throughout the District. The annual audit required by law and all financial reporting required of special
districts by the State of California is coordinated and administered through this division.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Issue monthly financial reports within 10 working days ♦ Goal was achieved.
of the following month for 83%of the year.
♦ No more than 30 invoices for payment outstanding ♦ No more than 30 invoices for payment outstanding
longer than 30 days during the completion of any one longer than 30 days during the completion of any
accounts payable cycle 90% of the time. one accounts payable cycle 100% of the time.
♦ All sewer service fee rebate requests will be ♦ All sewer service fee rebate requests were processed
processed within 90 days 90% of the time. within 90 days 100%of the time.
♦ Payroll processing will be completed on time 100% of ♦ Payroll was processed with an error-free rate of
the time and error free>99.5% of the time. 100% on a bi-weekly and interim basis.
♦ All debt service payments will be paid electronically, ♦ All debt service payments were paid electronically,
on the actual due dates, and error free 100% of the on the actual due dates, and error free 100% of the
time. time.
♦ All treasury investments will be in compliance with the ♦ All treasury investments were in compliance with the
California State Government Code 100% of the time. California State Government Code 100% of the time.
2018-19 &2019-20 Performance Objectives
♦ Issue monthly financial reports within 10 working days of the following month for 83% of the year.
♦ No more than 30 invoices for payment shall be outstanding longer than 30 days during the completion of
any one accounts payable cycle 90% of the time.
♦ The current backlog of rebate claims will be processed resulting in all claims being processed within 90 days
of receipt.
♦ Payroll processing will be completed on time 100% of the time and error free >99.5% of the time.
♦ All debt service payments will be paid electronically, on the actual due dates, and error free 100% of the
time.
♦ All treasury investments will be in compliance with the California State Government Code 100% of the time.
Performance Measures
Summary 2016-17 2015-16 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Financial Reports Issuance 83% 83% 83% 83% In-house standard
Standard
♦ Accounts Payable Standard 100% 100% 90% 90% In-house standard
♦ Sewer Service Refund 90 Day 0% 0% 90% 90% In-house standard
Standard
♦ Payroll Error Free Standard 99.7% 99.8% 99.5% 99.5% In-house standard
♦ Debt Service Payment Standard 100% 100% 100% 100% In-house standard
♦ Investment Compliance 100% 100% 100% 100% In-house standard
Section 6 - Page 26
Financial Management
Budget Overview
The FY 2018-19 & 2019-20 budgets for the Financial Management Division reflects a 0% increase and a
decrease of 12% over the prior year, respectively. The minimal increase in 2018-19 is primarily due to the
reduction in postage, printing services, and county service fee, offset by an increase in other professional services
for a sewer flow and loading study. The 2019-20 decrease is primarily due to decreases in other contractual
services.
2017-18 Adjusted Budget-Total Operating Requirements $ 3,833,990
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 9,800
Change in OCERS retirement costs (15,300)
Change in group insurance costs 12,400
Other benefit cost adjustments (1,200)
Other Cost Adjustments.
Decrease in postage (269,280)
Decrease in outside printing services (82,350)
Decrease in county service fee (161,210)
Increase in other contractual services 517,000
Decrease in other professional services
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (9,680)
2018-19 Proposed Budget-Total Operating Requirements $ 3,834,170
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 36,700
Change in OCERS retirement costs 3,600
Change in group insurance costs 22,000
Other benefit cost adjustments 5,800
Other Cost Adjustments.
Increase in county service fee 14,920
Decrease in other contractual services (521,550)
Decrease in other professional services (27,340)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 8,510
2019-20 Proposed Budget-Total Operating Requirements $ 3,376,810
Section 6 - Page 27
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 2,654,317 $ 2,533,900 $ 2,590,500 $ 2,539,600 0.22% $ 2,607,700 2.68%
Supplies 41,544 394,710 373,360 37,300 (90.55%) 40,610 8.87%
Professional & Contractual Services 538,077 905,000 1,250,620 1,256,890 38.88% 728,120 (42.07%)
Research& Monitoring - - - - - -
Repairs & Maintenance 18 - - -
Utilities - - - - - - -
Other 483 380 380 380 0.00% 380 0.00%
Total $ 3,234,439 $ 3,833,990 $ 4,214,860 $ 3,834,170 0.00% $ 3,376,810 (11 f/0)
Expenditure Trends
$3,580,908 $3,638,618 $3,234,439 $3,833,990 $3,834,170 $3,376,810
2015 2016 2017 2018 2019 2020
Section 6 - Page 28
Contracts, Purchasing, & Materials Management
230
DIRECTOR OF FINANCE
&ADMINISTRATIVE
SERVICES
CONTRACTS&
PURCHASING
MANAGER
CONTRACTS PURCHASING MATERIALS
SUPERVISOR SUPERVISOR CONTROL
SUPERVISOR
PRINCIPAL LEAD
CONTRACTS SENIOR BUYER (3) STOREKEEPER(2)
ADMINISTRATOR(2)
SENIOR SENIOR
CONTRACTS BUYER (2) STOREKEEPER(3)
ADMINISTRATOR(3)
CONTRACTS CONTRACTS/
ADMINISTRATOR(3) PURCHASING STOREKEEPER(5)
ASSISTANT(2)
CONTRACTS/
PURCHASING
ASSISTANT(3)
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.00 32 32 32 32 32 32
Supervisors / Professionals 16.00
Administrative & Clerical 15.00
Total 32.00 2015 2016 2017 2018 2019 2020
Section 6 - Page 29
2018-19 & 2019-20 Budget
Service Description
The Contracts, Purchasing and Materials Management Division's goal is to provide equipment, services and
information with the commitment to achieving the highest ethical, economic and progressive contracts and
purchasing standards possible. The division is responsible for contract administration and procurement for all
Districts' departments. The Districts'warehouses receive, inventory and distribute supplies, materials and
equipment to all departments in addition to inventory control analysis and surplus disposition.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Re-implement the cycle count program and maintain ♦ Achieved
a 97% accuracy rate or better.
♦ Obtain the 2017 "Achievement of Excellence in ♦ AEP award received.
Procurement" (AEP)award by meeting all National
requirements.
♦ Successfully reorganize a bin reorganization for ♦ Completed
Materials Management staff to ensure continuity and
efficiency.
♦ Successfully implement a new surplus ordinance. ♦ Delayed
♦ Successfully implement two high-volume inventory ♦ Completed.
commodity contracts to maximize savings and
performance.
2018-19 &2019-20 Performance Objectives
♦ Re-implement the cycle count program and maintain a 97% accuracy rate or better.
♦ Obtain the 2018 "Achievement of Excellence in Procurement" (AEP) award by meeting all National
requirements.
♦ Successfully implement a new surplus ordinance.
♦ Conduct District-wide procurement training.
♦ Successfully implement a new Purchasing Ordinance.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Cycle Count Achieved Achieved 97% 97% APICS standard
♦ AEP Award Obtained Obtained Obtain Obtain NPI, NAPM, NIGP, &
CAPPO standards
♦ Surplus Ordinance N/A Delayed In Progress In Progress Best Practices
♦ Procurement Training N/A N/A In Progress In Progress Best Practices
♦ Purchasing Ordinance N/A N/A In Progress In Progress Optimizing Resources
Section 6 - Page 30
Contracts, Purchasing, & Materials Management
Budget Overview
The FY 2018-19 &2019-20 budgets for the Contracts, Purchasing, & Materials Management Division reflect an
increase of 36% and a decrease of 24% over the prior year, respectively. These changes are primarily due to the
one-time disposal of obsolete inventory in 2018-19.
2017-18 Adjusted Budget-Total Operating Requirements $ 4,422,300
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased) FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 161,400
Change in OCERS retirement costs 6,400
Change in group insurance costs 23,100
Other benefit cost adjustments 3,800
Other Cost Adjustments.
Decrease in legal services (40,000)
Decrease in audit and accounting services (25,000)
Decrease in other professional services (25,000)
Increase in freight charges 18,000
Increase in loss on obsolete inventory 1,500,000
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (19,760)
2018-19 Proposed Budget-Total Operating Requirements $ 6,025,240
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 31,600
Change in OCERS retirement costs 2,900
Change in group insurance costs 36,600
Other benefit cost adjustments 9,700
Other Cost Adjustments:
Decrease in temporary services (15,000)
Decrease in loss on obsolete inventory (1,500,000)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (6,600)
2019-20 Proposed Budget-Total Operating Requirements $ 4,584,440
Section 6 - Page 31
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 4,253,633 $ 4,125,500 $ 4,219,400 $ 4,320,200 4.72% $ 4,401,000 1.87%
Supplies 43,929 58,160 33,190 44,900 (22.80%) 38,300 (14.70%)
Professional &Contractual Services 93,630 160,000 57,650 70,000 (56.25%) 55,000 (21.43%)
Research& Monitoring - - - - - - -
Repairs & Maintenance 954 8,000 (4,190) - (100.00%) _ -
Utilities - - - - - - -
Other 78,834 70,640 90,430 1,590,140 2151.05% 90,140 (94.33%)
Total $ 4,470,980 1 $ 4,422,300 1 $ 4,396,480 1 $ 6,025,240 1 36.25% 1 $ 4,584,440 1 (23.91%)
Expenditure Trends
$6,025,240
$4,406,473 $4,410,532 $4,470,980 $4,422,300 $4,584,440
2015 2016 2017 2018 2019 2020
Section 6 - Page 32
Information Technology
250
DIRECTOR OF
FINANCE&
ADMINISTRATIVE
SERVICES
INFORMATION
TECHNOLOGY
SYSTEMS&
OPERATIONS
MANAGER
PRINCIPAL INFORMATION RECORDS
INFORMATION ADMINISTRATIVE
TECHNOLOGY TECHNOLOGY MANAGEMENT ASSISTANT
ANALYST(2) ANALYST III SPECIALIST
INFORMATION INFORMATION INFORMATION
TECHNOLOGY TECHNOLOGY TECHNOLOGY
SUPERVISOR SUPERVISOR SUPERVISOR
SENIOR PRINCIPAL SENIOR PRINCIPAL SENIOR
INFORMATION DATA INFORMATION INFORMATION INFORMATION INFORMATION
TECHNOLOGY MANAGEMENT TECHNOLOGY TECHNOLOGY TECHNOLOGY TECHNOLOGY
ANALYST TECH II(7) ANALYST(2) ANALYST(3) ANALYST(3) ANALYST(6)
INFORMATION DATA INFORMATION INFORMATION INFORMATION INFORMATION
TECHOLOGY MANAGEMENT TECHNOLOGY TECHNOLOGY TECHNOLOGY TECHNOLOGY
ANALYST III TECH 1(4) ANALYST III(2) TECH 11 ANALYST III (2) ANALYST 11(3)
STAFF INFORMATION
ANALYST TECHNOLOGY
TECH I
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors / Professionals 31.0
Technical Staff 13.0 45 q4 45 45 46 46
Administrative/Clerical 1.0
Total 46.0
2015 2016 2017 2018 2019 2020
Section 6 - Page 33
2018-19 & 2019-20 Budget
Service Description
The Information Technology Division provides support to the users of the District's information technology related
assets and services, as well as developing and implementing technology solutions that best meet the needs of
the District. The Division procures and manages computer hardware/software and provides end user support with
a Service Desk that performs computer and telecommunications installations, moves, and changes. The Division
is also responsible for the design, installation, maintenance, troubleshooting, and upgrades of all enterprise
applications, networking infrastructure component and back-end computer system, wireless connectivity, plant
radio system, public address system, fire system, cyber security infrastructure and system, reprographics, and
copy center. Additionally, this Division work closely with every department and division in developing an
understanding of the organization's software application and information requirements and provides systems
analysis, design, custom programming, system implementation and integration, database/data warehousing and
support.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Replace obsolete computers ♦ Replaced 39% of total computers
♦ Critical system availability ♦ Critical system up time was greater than 90%
♦ Replace CIP Management System ♦ This project was transferred to Engineering
♦ Maintain a Safety Scorecard above 90% for overall. ♦ Safety Scorecard was at 100%
2018-19 &2019-20 Performance Objectives
♦ Replace obsolete desktop, mobile, and server computers. Rotate desktop computers every 5 years, mobile
computers every 3 years, and servers every 5 to 6 years.
♦ Complete the implementation of a high availability server environment to improve disaster recovery and
business continuity capabilities.
♦ Maintain a Safety Scorecard above 90% for overall.
♦ Cyber Security Awareness/Protection —report on the overall effectiveness of the phishing campaign.
♦ Manage Operating Budget within 96%to 100% of approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Replace Obsolete 7% 39% 25% of total 25% of total In-house standard
Computers computers computers
♦ Implement Server High N/A N/A 100% Maintain In-house standard
Availability Complete
♦ Safety Scorecard 100% 100% >90% >90% In-house standard
♦ Cyber Security N/A N/A Report Report GM Work Plan
Awareness/Protection percentage percentage
♦ Manager Operating 86% 102% 96-100% 96-100% In-house standard
Budget
Section 6 - Page 34
Information Technology
Budget Overview
The FY 2018-19 &2019-20 budgets for the Information Technology Division reflect an increase of 10% and 2%
over the prior year, respectively. The increase is primarily due to salary and benefit increases, the addition of one
FTE position, and increases in small computer items, telephone expense and service maintenance agreements.
2017-18 Adjusted Budget-Total Operating Requirements $ 10,568,540
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE 119,300
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 309,700
Change in OCERS retirement costs 33,000
Change in group insurance costs 66,800
Other benefit cost adjustments (6,000)
Other Cost Adjustments.
Increase in small computer items 150,000
Decrease in in-house reproduction services (40,500)
Increase in outside printing services 22,220
Increase in temporary services 85,000
Increase in other contractual services 20,000
Decrease in repairs & maintenance services and materials (32,000)
Increase in service maintenance agreements 200,000
Increase in telephone 100,000
Increase in outside equipment rental 19,900
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 4,610
2018-19 Proposed Budget-Total Operating Requirements $ 11,620,570
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 82,100
Change in OCERS retirement costs 7,700
Change in group insurance costs 54,400
Other benefit cost adjustments 14,300
Other Cost Adjustments.
Increase in service maintenance agreements 200,000
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 3,470
2019-20 Proposed Budget-Total Operating Requirements $ 11,982,540
Section 6 - Page 35
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 6,545,043 $ 6,616,000 $ 6,531,900 $ 7,138,800 7•90% $ 7,297,300 2.22%
Supplies 1,231,493 1,108,010 1,199,440 1,244,280 12.30% 1,247,750 0.28%
Professional&Contractual Services 288,030 260,000 268,000 365,000 40.38% 365,000 0.00%
Research& Monitoring - - - - - - -
Repairs & Maintenance 1,573,165 2,132,000 2,083,000 2,300,000 7.88% 2,500,000 8.70%
Utilities 324,239 400,000 400,000 500,000 25.00% 500,000 0.00%
Other 68,654 52,530 65,400 72,490 38.00% 72,490 0.00%
Total $10,030,624 $10,568,540 $10,547,740 $11,620,570 9.95% $11,982,540 3.11%
Expenditure Trends
$11,620,570 $11,982,540
$10,568,540
9,852,825 $10,190,477 $10,030,624
2015 2016 2017 2018 2019 2020
Section 6 - Page 36
Environmental Services Administration
610
GENERAL
MANAGER
DIRECTOR OF
ENVIRONMENTAL
SERVICES
EXECUTIVE
ASSISTANT
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Executive Manager 1.00
Administrative / Clerical 1.00
2-2 -2 -2
Total 2.00 0 0 /
2015 2016 2017 2018 2019 2020
Section 6 - Page 37
2018-19 & 2019-20 Budget
Service Description
The Environmental Services Administration Division provides leadership, support, and oversight of the
Environmental Services Department staff whose mission is: Protecting staff, facilities, the environment, and the
public by influencing, tracking and ensuring compliance with environmental permits and regulations; providing
laboratory services for plant process optimization, recreational water quality, and industrial discharge monitoring;
and controlling industrial, commercial and residential discharges to create water, biosolids, and energy for reuse.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Manage operating expenditures to within 96% to ♦ On Track to meet goal of 96-100%
100% of the approved budget.
♦ Ensure that reporting divisions achieve 90% of ♦ All objectives met except one compliance report
individual performance objectives. was late.
♦ Ensure all environmental compliance reporting ♦ 19 of 20 compliance reports submitted on time.
requirements are met on or before required One report was 5 days late due to needed
submission date 100% of the time. correction found shortly before submission.
♦ Audit environmental permits every 3 years. ♦ On track: audits included Stormwater and Air
Quality.
2018-19 &2019-20 Performance Objectives
♦ Manage operating expenditures to within 96% to 100% of the approved budget.
♦ Ensure that reporting divisions achieve 90% of individual performance objectives.
♦ Ensure all environmental compliance reporting requirements are met on or before required submission date
100% of the time.
♦ Conduct audits of all major environmental permits at least once every 3 years.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Manage Budget 106% 99% 96-100% 96-100% In-house standard
♦ Department Performance > 90% > 90% >- 90% >- 90% In-house standard &
Objectives permit req.
♦ Compliance Reporting 100% 95% 100% 100% Required by permit
Requirements
♦ Audit Environmental Permits 100% 100% 100% 100% In-house standard &
Every 3 Years permit req.
Section 6 - Page 38
Environmental Services Administration
Budget Overview
The FY 2018-19 &2019-20 budgets for the Environmental Services Administration Division reflect an increase of
5% and 2% over the prior year, respectively. The increase is primarily due to salary and benefits adjustments and
research and monitoring costs.
2017-18 Adjusted Budget-Total Operating Requirements $ 825,750
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 13,200
Change in OCERS retirement costs 3,600
Change in group insurance costs 1,400
Other benefit cost adjustments 200
Other Cost Adjustments:
Increase in research& monitoring 25,000
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (2,380)
2018-19 Proposed Budget-Total Operating Requirements $ 866,770
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 11,100
Change in OCERS retirement costs 1,700
Change in group insurance costs 2,400
Other benefit cost adjustments 700
Other Cost Adjustments.
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 300
2019-20 Proposed Budget-Total Operating Requirements $ 882,970
Section 6 - Page 39
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 439,851 $ 386,300 $ 413,400 $ 404,700 4.76% $ 420,600 3.93%
Supplies 14,428 13,450 11,050 12,030 (10.56%) 12,330 2.49%
Professional &Contractual Services - - - - - - -
Research&Monitoring 423,337 425,000 425,000 450,000 5.88% 450,000 0.00%
Repairs&Maintenance - - - - - - -
Utilities - - - - -
Other (35) 1,000 - 40 (96.00%) 40 0.00%
Total $ 877,5811 $ 825,750 1 $ 849,450 1 $ 866,770 1 4.97% 1 $ 882,970 1 1.87%
Expenditure Trends
$877,581 $825,750 $866,770 $882,970
2015 2016 2017 2018 2019 2020
Section 6 - Page 40
Resource Protection
620
DIRECTOR OF
ENVIRONMENTAL
SERVICES
ENGINEERING
MANAGER
ADMINISTRATIVE OFFICE
ASSISTANT ASSISTANT
SOURCE CONTROL ENGINEERING ENGINEERING
SUPERVISOR SUPERVISOR SUPERVISOR
PRINCIPAL LEAD SOURCE SENIOR SENIOR
ENVIRONMENTAL CONTROL ENGINEER ENGINEER
SPECIALIST INSPECTOR
SOURCE SOURCE
CONTROL CONTROL ENGINEER ENGINEER(3)
INSPECTOR II (7) INSPECTOR 1(2)
ENVIRONMENTAL ADMINISTRATIVE PRINCIPAL ASSOCIATE
TECHNICIAN (3) ASSISTANT ENVIRONMENTAL ENGINEER(3)
SPECIALIST(2)
PROGRAM SENIOR
ASSISTANT(2) ENVIRONMENTAL
SPECIALIST
PROGRAM
ASSISTANT(2)
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors / Professionals 16.0
Technical Staff 13.0 47---__37 37 37
Administrative / Clerical 7.0
0 0
Total 37.0 2015 2016 2017 2018 2017 2018
Section 6 - Page 41
2018-19 & 2019-20 Budget
Service Description
The Resource Protection Division implements a comprehensive, federally-mandated Pretreatment Program which
protects staff and community health, the environment, and OCSD's infrastructure and reuse initiatives.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Meet 100% of regulatory deadlines for required ♦ To date 100% compliance.
pretreatment program reports.
♦ Implement new Local Limits and Prohibitions into all ♦ To date 100% compliance.
permits by June 2018.
♦ Issue and renew 100% of the industrial wastewater ♦ Staff issued and renewed 100% of the industrial
permits prior to the expiration date. wastewater permits prior to the expiration dates.
♦ Complete all assigned inspections and monitoring of ♦ Staff completed all assigned inspections and
Class I industrial permit holders. monitoring of Class I industrial permit holders.
♦ Continue to implement the fats, oil &grease (FOG)
control program and strategies on a regional basis in ♦ To date 100% compliance.
conformance with the Wastewater Discharge
Requirements Order.
♦ Support of GWRS, special projects and routine ♦ Staff is supporting GWRS, special projects and
monitoring requirements. routine monitoring requirements.
2018-19 &2019-20 Performance Objectives
♦ Ensure the division's expenditures are managed to 98-100% of proposed budget.
♦ Meet 100% of regulatory deadlines for required pretreatment program reports.
♦ Issue and renew 100% of the industrial wastewater permits prior to the expiration date.
♦ Complete all assigned inspections and monitoring of Class I industrial permit holders.
♦ Continue to implement the fats, oil &grease (FOG)control program and strategies on a regional basis in
conformance with the Wastewater Discharge Requirements Order.
♦ Support of GWRS, special projects and routine monitoring requirements.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Manage Division Budget 101% 104% 100% 100% In-house Standard
♦ Meet 100%of Regulatory 100% 100% 100% 100% NPDES Permit
Deadlines (Reports) Requirement
♦ Implement New Local Limits and Federal Pretreatment
Ordinance Update 100% 100% N/A N/A Requirement
♦ Industrial Permit 100% 100% 100% 100% Federal Rule and
Issuance/Renewal Permit Requirement
♦ Inspections/Monitoring 100% 100% 100% 100% Federal Rule and
Permit Requirement
♦ Fats, Oil &Grease Program 100% 100% 100% 100% Permit Requirement
♦ Support GWRS, special
projects, and routine 100% 100% 100% 100% Joint Agreement
monitoring.
Section 6 - Page 42
Resource Protection
Budget Overview
The FY 2018-19 budget for the Resource Protection Division reflects an increase of 4% over the prior year
primarily due to an increase in environmental consulting services. The 2019-20 budget reflects a minimal
decrease due to decreases in furniture &fixtures, small tools expense, and environmental consulting services,
largely offset by salary and benefits adjustments and increases in accounting and other professional services.
2015-16 Adjusted Budget-Total Operating Requirements $ -
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions 4,774,200
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 399,500
Change in OCERS retirement costs 744,500
Change in group insurance costs 731,500
Other benefit cost adjustments 296,700
Other Cost Adjustments:
Increase in administrative expense 13,830
Increase in training& meetings 52,220
Increase in tools 25,200
Increase in lab chemicals & supplies 27,500
Increase in outside lab services 18,000
Increase in temporary services 30,000
Increase in legal services 300,000
Increase in auditing and accounting services 65,000
Increase in enviro scientific consulting services 85,000
Increase in advocacy efforts 26,000
Increase in other professional services 170,000
Increase in air quality monitoring 85,000
Increase in regulatory operating fees 708,900
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 10,170
2016-17 Proposed Budget-Total Operating Requirements $ 8,563,220
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 38,300
Change in OCERS retirement costs 4,000
Change in group insurance costs 36,900
Other benefit cost adjustments (5,700)
Other Cost Adjustments
Decrease in legal services (150,000)
Increase in auditing and accounting services 100,000
increase in other professional services 90,000
Increase in regulatory operating fees 14,180
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1,000
2017-18 Proposed Budget-Total Operating Requirements $ 8,691,900
Section 6 - Page 43
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017.18 2018.19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 5,418,021 $ 5,452,500 $ 5,173,600 $ 5,489,600 0.68% $ 5,627,200 2.51%
Supplies 143,794 138,650 158,510 215,320 55.30% 172,090 (20.08%)
Professional&Contractual Services 104,906 165,000 152,370 246,660 49•49% 146,660 (40.54%)
Research& Monitoring - - - - - - -
Repairs & Maintenance 7,443 7,330 7,330 7,330 0.00%
Utilities - - - - - - -
Other 2,626 1,970 580 1,740 (11.68%) 1,740 0.00%
Total $ 5,676,790 $ 5,758,120 $ 5,492,390 $ 5,960,650 3.52% $ 5,955,020 (0.09%)
Expenditure Trends
$5,676,790 $5,758,120 $5,960,650 $5,955,020
2015 2016 2017 2018 2019 2020
Section 6 - Page 44
Laboratory, Monitoring & Compliance
630
DIRECTOR OF
ENVIRONMENTAL
SERVICES
LABORATORY,
MONITORING,AND
COMPLIANCE
MANAGER
PRINCIPAL SENIOR ADMINISTRATIVE
ENVIRONMENTAL SCIENTIST(2) ASSISTANT
SPECIALIST(1.5)
ENVIRONMENTAL ENVIRONMENTAL ENVIRONMENTAL ENVIRONMENTAL
SUPERVISOR—
SUPERVISOR— SUPERVISOR—
SUPERVISOR—
Analytical Chemistry Microbiology& Ocean Monitoring Environmental
General Chemistry Compliance
PRINCIPAL PRINCIPAL SENIOR SENIOR
ENVIRONMENTAL ENVIRONMENTAL SCIENTIST SCIENTIST REGULATORY
SPECIALIST(3) SPECIALIST(2) SPECIALIST
SENIOR SENIOR PRINCIPAL SENIOR
ENVIRONMENTAL ENVIRONMENTAL ENVIRONMENTAL ENVIRONMENTAL REGULATORY
SPECIALIST(6) SPECIALIST(3)
SPECIALIST SPECIALIST(6) SPECIALIST(3)
ENVIRONMENTAL ENVIRONMENTAL ENVIRONMENTAL BOAT ASSOCIATE
SPECIALIST(3) SPECIALIST(3) SPECIALIST CAPTAIN ENGINEER
PRINCIPAL
ENVIRONMENTAL ENVIRONMENTAL
TECHNICIAN(3) SPECIALIST(0.5)
SENIOR
ENVIRONMENTAL
SPECIALIST(3)
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors / Professionals 47.0 /52 52 52
Technical Staff 3.0 41 41 42
Administrative/ Clerical 1.0
Total 52.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 45
2018-19 & 2019-20 Budget
Service Description
The mission of the Laboratory, Monitoring & Compliance Division is to perform sampling, environmental and
process monitoring, accurate analysis, evaluation and compliance reporting for collection system, treatment
processes, air emissions, coastal water quality, marine sediments and fish populations within the influence of
OCSD's wastewater discharge and comparison sites to evaluate and address issues of concern to the District.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Meet or surpass efficiency improvement as ♦ Benchmarking with other regional laboratories is
measured by internal standards and industry an ongoing effort and external metrics are being
benchmarking with other laboratories. updated. All indications are that OCSD is as
efficient as other regional laboratories.
♦ Successful performance on proficiency test ♦ Proficiency testing has resulted in 100% passing
standards 100% correctly in no more than two of all tests on first attempt for this year.
attempts and achieve no less than 95% correct
results on the first attempt.
♦ Manage division controllable costs to 98% to 102% ♦ Final budget expenditures are projected at 88%
of projection. of budget.
♦ Support of GWRS, special projects and routine ♦ Several special projects in support of GWRS
monitoring requirements. were undertaken and successfully completed.
♦ Meet all NPDES Permit compliance standards, ♦ Met all NPDES Permit compliance standards and
Strategic Initiatives and Strategic Process Studies to initiatives for this year.
advance OCSD's Mission.
2018-19 &2019-20 Performance Objectives
♦ Continued efficiency improvement as measured by internal standards and industry benchmarking with
regional laboratories.
♦ Successful performance on proficiency test standards 100% correctly in no more than two attempts and
achieve no less than 95% correct results on the first attempt.
♦ Manage division controllable costs to within 96% to 100% of budget projection.
♦ Support of GWRS, special projects and routine monitoring requirements.
♦ Meet all NPDES Permit compliance standards, Strategic Initiatives and Strategic Process Studies to
advance OCSD's Mission.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Laboratory Productivity 100% 100% 100% 100% Internal and external
benchmark comparison.
♦ Laboratory Standards 100% 100% 100% 100% Blind check standards.
♦ Budget 91% 88% s100% :5100% In-house standard
♦ Support GWRS 100% 100% 100% 100% Percent of requested work
completed
♦ Permit Compliance 100% 100% 100% 100% Compliance measure
Section 6 - Page 46
Laboratory, Monitoring & Compliance
Budget Overview
The FY 2018-19 &2019-20 budgets for the Laboratory, Monitoring & Compliance Division reflect an increase of
4% and 3% over the prior year, respectively. The 2018-19 increase is primarily due to salary and benefits
adjustments and an increase in research and monitoring costs, partially offset by a decrease in electricity costs.
2017-18 Adjusted Budget-Total Operating Requirements $ 10,727,570
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 234,000
Change in OCERS retirement costs 12,500
Change in group insurance costs 36,200
Other benefit cost adjustments 5,800
Other Cost Adjustm ents.
Increase in lab chemicals and supplies 24,500
Increase in temporary services 30,000
Decrease in legal services (40,000)
Increase in audit&accounting services 10,000
Decrease in advocacy efforts (11,000)
Increase in research& monitoring 146,800
Increase in repairs and maintenance 20,000
Decrease in electricity costs (130,600)
Increase in miscelleneous operating expenses 19,400
Increase in regulatory operating fees 31,100
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 30,940
2018-19 Proposed Budget-Total Operating Requirements $ 11,147,210
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 80,400
Change in OCERS retirement costs 8,300
Change in group insurance costs 60,100
Other benefit cost adjustments 15,800
Other Cost Adjustments.
Increase in lab chemicals and supplies 15,000
Increase in outside lab services 50,000
Increase in research& monitoring 38,400
Increase in repairs and maintenance 17,640
Increase in electricity costs 11,100
Increase in regulatory operating fees 20,000
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 32,340
2019-20 Proposed Budget-Total Operating Requirements $ 11,496,290
Section 6 - Page 47
2018-19 & 2019-20 Budget
2017.18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 7,896,902 $ 7,581,200 $ 7,642,300 $ 7,869,700 3.81% $ 8,034,300 2.09%
Supplies 704,081 643,080 647,660 693,870 7•90% 719,210 3.65%
Professional & Contractual Services 233,747 492,800 353,380 490,000 (0.57%) 555,000 13.27%
Research& Monitoring 468,976 464,400 360,000 611,200 31.61% 649,600 6.28%
Repairs & Maintenance 252,669 270,000 268,400 290,000 7.41% 307,640 6.08%
Utilities 328,548 500,000 387,100 369,400 (26.12%) 380,500 3.00%
Other 796,840 776,090 741,880 823,040 6.05% 850,040 3.28%
Total $10,681,763 $10,727,570 $10,400,720 $11,147,210 3.91% $11,496,290 3.13%
Expenditure Trends
$
$10,681,763 $10,727,570 11,147,210 $11,496,290
2015 2016 2017 2018 2019 2020
Section 6 - Page 48
Engineering Administration
710
GENERAL
MANAGER
ASSISTANT GENERAL
MANAGER &
DIRECTOR OF
ENGINEERING
EXECUTIVE
ASSISTANT
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Executive Manager 1.0
Administrative / Clerical 1.0
2 2 2 2 2 2
Total 2.0
2015 2016 2017 2018 2019 2020
Section 6 - Page 49
2018-19 & 2019-20 Budget
Service Description
The mission of the Engineering Administration Division is to deliver world class engineered projects through
skilled staff, technical excellence, proactive project planning, effective project delivery, effective communication,
and critical thinking.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Expend 90 to 100% of project annual CIP cash ♦ Expected to expend 97.8%.
flow.
♦ Ensure the department's expenditures are ♦ Expected to be 30%.
managed to 96- 100% of approved budget.
♦ Ensure that reporting divisions achieve 90% of ♦ Expected to be 90%.
individual performance objectives.
♦ Prepare and maintain 20-year District-wide ♦ Yes.
capital plan.
2018-19 &2019-20 Performance Objectives
♦ Expend 90-100% of project annual CIP cash flow.
♦ Ensure the department's expenditures are managed to within 96-100% of the proposed budgets.
♦ Ensure that reporting divisions achieve 90% of individual performance objectives.
♦ Prepare and maintain a 20-year District-wide capital plan coordinating research, condition assessment,
regulatory requirements, changing levels of service, and projected capacity requirements.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Expend 90-100% of Project 86.7% 97.8% 90-100% 90-100% In-house standard
Annual CIP Cash Flow
♦ Ensure Department's 49% 30% 96-100% 96-100% In-house standard
Expenditures 96-100%
♦ Ensure Reporting Divisions 95% 90% 90% min 90% min In-house standard
Achieve 90% Performance
Measures
♦ Prepare & Maintain 20-year Yes Yes Yes Yes In-house standard
District-wide Capital Plan
Section 6 - Page 50
Engineering Administration
Budget Overview
The FY 2018-19 &2019-20 budgets for the Engineering Administration Division reflect an increase of 16% and an
increase of 4% over the prior year, respectively. This is primarily due to increases in salary and benefits
adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 438,390
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 63,300
Change in OCERS retirement costs 6,700
Change in group insurance costs 2,100
Other benefit cost adjustments 100
Other Cost Adjustments:
No other significant cost changes
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (1,460)
2018-19 Proposed Budget-Total Operating Requirements $ 509,130
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 14,600
Change in OCERS retirement costs 2,000
Change in group insurance costs 2,500
Other benefit cost adjustments 700
Other Cost Adjustments.
No other significant cost changes
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
2019-20 Proposed Budget-Total Operating Requirements $ 528,930
Section 6 - Page 51
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 470,806 $ 419,500 $ 479,400 $ 491,700 17.21% $ 511,500 4.03%
Supplies 6,514 8,850 2,050 7,390 (16.50%) 7,390 0.00%
Professional&Contractual Services - 10,000 3,500 10,000 0.00% 10,000 0.00%
Research&Monitoring - - - - - - -
Repairs&Maintenance - - -
Utilities - - - - - - -
Other 2,086 40 40 40 0.00% 40 0.00%
Total $ 479,406 $ 438,390 $ 484,990 $ 509,130 1 16.14% $ 528,930 3.89%
Expenditure Trends
$679,070
$468,304 $479,406 $438,390 $509,130 $528,930
2015 2016 2017 2018 2019 2020
Section 6 - Page 52
Planning
740
ASSISTANT GENERAL
MANAGER&
DIRECTOR OF
ENGINEERING
ENGINEERING
MANAGER
ADMINISTRATIVE
ASSISTANT
ENGINEERING ENGINEERING
SUPERVISOR SUPERVISOR
SENIOR ASSOCIATE SENIOR PRINCIPAL
ENGINEER(2) ENGINEER ENGINEER STAFF
ANALYST(2)
ENGINEER(2) ENGINEER ENGINEERING
ASSOCIATE
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors / Professionals 11.0
Administrative/ Clerical 2.0 17—,15 15 15 14 14
Total 14.0
2015 2016 2017 2018 2019 2020
Section 6 - Page 53
2018-19 & 2019-20 Budget
Service Description
The mission of the Planning Division is to provide a comprehensive Capital Improvement Program for the District
considering projected capacity requirements, condition of current asset, projected regulatory and level of service
changes, and research or business opportunities. The Planning Division takes an active role in the Asset Management
Program at the District. The Division is also responsible for water resources management, California Environmental
Quality Act preparation and review, annexations, connection permitting, easements, and interagency agreements.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Ensure the division's expenditures are managed to ♦ Division expenditures are projected to be 122%.
within 96-100% of proposed budget.
♦ Facilitate the District-wide project clearinghouse. ♦ Planning has facilitated the biweekly Clearinghouse
meeting to disposition all capital and maintenance
projects.
♦ Prepare and maintain a 20-year District-wide capital ♦ The Planning Division completed the 2017 Facilities
plan coordinating research, condition assessment, Master Plan which defines a 20-year CIP totaling $5
regulatory requirements, changing levels of service, Billion. The Master Plan included recently completed
and projected capacity requirements. efforts of the Biosolids Master Plan and the Odor
Control Master Plan, both completed in 2017.
♦ Response to 100% of environmental correspondence ♦ 100% of environmental correspondence was
within 45 days. responded to within 45 days.
♦ Maintain a hydraulic model for the collection system. ♦ 2006 hydraulic model is on track for a complete
update in July 2018.
2018-19 &2019-20 Performance Objectives
♦ Ensure the division's expenditures are managed to 96-100%of proposed budget.
♦ Facilitate the District-wide project clearinghouse to properly disposition maintenance, repair, replacement and
capital expansion work into projects. Meet regularly and clearly assign tasks.
♦ Prepare and maintain a 20-year District-wide Capital Improvement Program considering research, condition
assessment, regulatory requirements, changing levels of service, and projected capacity requirements.
♦ Response to 100% of environmental correspondence within 45 days.
♦ Complete the Facilities Master Plan Program Environmental Impact Report.
♦ Complete the Biosolids Master Plan Program Environmental Impact Report.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Manage Budget 114% 122% 96-100% 96-100% In-house standard
♦ Facilitate Project Clearinghouse Yes Yes Yes Yes In-house standard
♦ Prepare and Maintain a 20-Year Yes Yes Yes Yes In-house standard
District-Wide Capital Plan
♦ CEQA Correspondence 100% 100% 100% 100% CEQA requirement
♦ Facilities Master Plan EIR N/A N/A 100% 100% CEQA requirement
♦ Biosolids Master Plan EIR N/A N/A 100% 100% CEQA requirement
Section 6 - Page 54
Planning
Budget Overview
The FY 2018-19 budget for the Planning Division reflect an increase of 14%. This is primarily due to increases in
legal services, repairs and maintenance, and electricity costs. The FY 2019-20 budget reflects an increase of 1
with no significant changes affecting the budget.
2017-18 Adjusted Budget-Total Operating Requirements $ 3,158,970
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) (17,200)
Change in OCERS retirement costs (11,800)
Change in group insurance costs (6,100)
Other benefit cost adjustments (31,700)
Other Cost Adjustments.
Decrease in training (12,290)
Increase in operating materials &supplies 30,710
Increase in groundskeeping services 10,700
Increase in janitorial services 55,000
Decrease in temporary services (20,000)
Increase in legal services 100,000
Increase in other professional services 60,000
Increase in repairs & maintenance services and materials 105,000
Increase in electricity costs 159,000
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 8,080
2018-19 Proposed Budget-Total Operating Requirements $ 3,588,370
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 6,600
Change in OCERS retirement costs 500
Change in group insurance costs 16,100
Other benefit cost adjustments 4,300
Other Cost Adjustments.
Increase in electricity costs 5,000
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 6,000
2019-20 Proposed Budget-Total Operating Requirements $ 3,626,870
Section 6 - Page 55
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 2,752,644 $ 2,662,700 $ 2,499,200 $ 2,595,900 (2.51%) $ 2,623,400 1.06%
Supplies 272,417 250,470 237,840 256,610 2.45% 256,610 0.00%
Professional &Contractual Services 352,501 235,000 348,250 448,700 90•94% 454,000 1.18%
Research& Monitoring - - - - - - -
Repairs & Maintenance 37 - 550 105,000 - 105,000 0.00%
Utilities 6,087 10,000 17,120 178,100 1681.00% 183,500 3.03%
Other 1,110 800 540 4,060 407.50% 4,360 7.39%
Total $ 3,384,796 1 $ 3,158,970 1 $ 3,103,500 1 $ 3,588,370 1 13.59% 1 $ 3,626,870 1 1.07%
Expenditure Trends
$3,484,300 $3,384,796 $3,158,970 $3,588,370 $3,626,870
2,927,989
2015 2016 2017 2018 2019 2020
Section 6 - Page 56
Project Management Office
750
ASSISTANT GENERAL
MANAGER&
DIRECTOR OF
ENGINEERING
ENGINEERING
MANAGER
ADMINISTRATIVE
ASSISTANT
PRINCIPAL PRINCIPAL
PROJECT ENGINEERING STAFF
CONTROLS SUPERVISOR ANALYST (2)
ANALYST
CIP PROJECT SENIOR
MANAGER(9) ENGINEER
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.00
Supervisors / Professionals 14.00
Administrative/ Clerical 1.00 20 20�17 17 1s 16
Total 16.00
2015 2016 2017 2018 2019 2020
Section 6 - Page 57
2018-19 & 2019-20 Budget
Service Description
The mission of the Project Management Office (PMO) Division is to be responsible for managing the design and
construction of new collection and treatment and disposal facilities plus the rehabilitation of older facilities to
ensure the safe, cost effective transport, and treatment of influent/effluent. This division is responsible for the
delivery of capital projects from the preliminary design stages through closeout of construction. The division
provides standards, processes, and methodologies to improve project quality, cost, and timeliness.
2017-18 Performance Objectives 2018-19 Performance Results
♦ Ensure that the division's expenditures are managed ♦ Projected to be 38%.
to 96-100% of the proposed budget.
♦ Expend 85-105% of budgeted CIP expenditures. ♦ Projected at 98%.
♦ Manage non-construction costs for active projects to ♦ Projected to be < 37.5%.
< 37.5% of construction costs.
♦ Maintain a Combined Advertising Variance of< 30 ♦ Projected to be 88 days late.
days late.
♦ Maintain a Combined Completion Variance of< 120 ♦ Projected to be 111 days early.
days late.
2018-19 &2019-20 Performance Objectives
♦ Ensure the division's expenditures are managed to 96-100% of proposed budget.
♦ Expend 85%-105% of budgeted CIP expenditures.
♦ Manage non-construction costs for active projects to < 37.5% of construction costs.
♦ Maintain a Combined Advertising Variance of< 30 days.
♦ Maintain a Combined Completion Variance of< 120 days.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Manage Division Budget 18% 38% 96-100% 96-100% In-house standard
♦ Expend 85-105% of Projected 86.7% 98% 85-105% 85-105% In-house standard
Project Expenditures
♦ Manage Non-construction 35.3% < 37.5% < 37.5% < 37.5% In-house standard
Costs for Active Projects to
<37.5% of Construction Costs
♦ Combined Advertising 117 late 88 late < 30 late < 30 late In-house standard
Variance of< 30 days late
♦ Combined Negative 25 early 111 early < 120 late < 120 late In-house standard
Completion Variance of< 120
days late
Section 6 - Page 58
Project Management Office
Budget Overview
The FY 2018-19 &2019-20 budgets for the Project Management Office Division reflect an increase of 1% and an
increase of 2% over the prior year, respectively. The increases are primarily due to salary and benefits
adjustments. FY 2018-19 is partially off-set with a decrease due to an FTE transfer.
2017-18 Adjusted Budget-Total Operating Requirements $ 2,868,900
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions (72,100)
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 122,000
Change in OCERS retirement costs (13,500)
Change in group insurance costs (3,700)
Other benefit cost adjustments 5,500
Other Cost Adjustments.
Increase in training & meetings expense (12,000)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (6,250)
2018-19 Proposed Budget-Total Operating Requirements $ 2,888,850
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 29,100
Change in OCERS retirement costs 2,600
Change in group insurance costs 18,400
Other benefit cost adjustments 4,800
Other Cost Adjustments.
No other significant cost changes
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 2,380
2019-20 Proposed Budget-Total Operating Requirements $ 2,946,130
Section 6 - Page 59
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 2,746,521 $ 2,825,000 $ 2,580,500 $ 2,863,200 1.35% $ 2,918,100 1.92%
Supplies 7,577 43,260 16,440 25,280 (41.56%) 27,660 9.41%
Professional &Contractual Services - - - - - -
Research& Monitoring - - - - - -
Repairs & Maintenance 36 100 - (100.00%) _ -
Utilities - - - - - -
Other 330 540 360 370 (31.48%) 370 0.00%
Total $ 2,754,464 1 $ 2,868,900 1 $ 2,597,300 1 $ 2,888,850 1 0.70% 1 $ 2,946,130 1 1.98%
Expenditure Trends
3,509,251
$2,499,407 $2,754,464 $2,868,900 $2,888,850 $2,946,130
2015 2016 2017 2018 2019 2020
Section 6 - Page 60
Civil & Mechanical Engineering
760
ASSISTANT GENERAL
MANAGER&
DIRECTOR OF
ENGINEERING
ENGINEERING
MANAGER
SENIOR SENIOR STAFF
CONSTRUCTION ANALYST(2)
INSPECTOR
ENGINEERING ENGINEERING ENGINEERING ENGINEERING CONSTRUCTION CONSTRUCTION
SUPERVISOR— SUPERVISOR— SUPERVISOR— SUPERVISOR— INSPECTION INSPECTION
Design/Mech Civil Design/Mech Civil Construction Plant 1 Construction Plant 2 SUPERVISOR— SUPERVISOR—
Collections Plants &Pump Stations &Collections Plant 1&Pump Stations Plant 2&Pipelines
SENIOR SENIOR SENIOR SENIOR SENIOR SENIOR
CONSTRUCTION CONSTRUCTION
ENGINEER ENGINEER(3) ENGINEER ENGINEER(2) INSPECTOR INSPECTOR(3)
ENGINEER(3) ENGINEER(4) ENGINEER(4) ENGINEER(2) CONSTRUCTION CONSTRUCTIONINSPECTOR(3) INSPECTOR(3)
ASSOCIATE ASSOCIATE SENIOR COST SENIOR
ENGINEER ENGINEER ESTIMATOR PLANNER/
SCHEDULER
ENGINEERING ASSOCIATE ASSOCIATE
ASSOCIATE ENGINEER ENGINEER
ENGINEERING ENGINEERING
ASSISTANT 11(2) ASSISTANT II(2)
ENGINEERING ADMINISTRATIVE
ASSISTANT I ASSISTANT
ADMINISTRATIVE
ASSISTANT
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0 53-----59----53 53 54 54
Supervisors / Professionals 34.0
Administrative/ Clerical 19.0
Total 54.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 61
2018-19 & 2019-20 Budget
Service Description
The mission of the Civil & Mechanical Engineering Division is to provide civil/mechanical engineering and construction
management services for OCSD divisions and for project support to ensure OCSD projects are designed to meet
stakeholder needs, comply with applicable codes and standards, are safely constructed and are fully inspected while
minimizing impacts to operations, maintenance, local agencies and the public.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Ensure the division's expenditures are managed to ♦ Expected to be 118%.
96-100% of proposed budget.
♦ Reduce program change order performance ♦ 5.2% as of December 31 data.
towards Change Order Management Plan goal of
5%.
♦ Respond to public complaints or inquiries regarding ♦ Within 1-day response rate.
construction projects within 1 day.
♦ No sewer spills on CIP collections projects. ♦ No spills.
♦ Division Injury Incident Rate <2.9 to support OCSD ♦ Projected to be 4.5.
goal of< 5.7.
♦ Develop and implement a plan of continuous ♦ Implemented specification ticket module and contract
improvement incorporating lessons learned from document improvement plan for continued use.
executed projects.
2018-19 &2019-20 Performance Objectives
♦ Ensure division's expenditures are managed to 96-100% of proposed budget.
♦ Manage construction change orders to a CIP Change Order Management Plan goal of 5.5%.
♦ Respond to public complaints or inquiries regarding construction projects within 1 day.
♦ No sewer spills on CIP collections projects.
♦ Division Injury Incident Rate< 2.9 to support OCSD goal of< 5.7.
♦ Routinely update standard specifications and design guidelines based on lessons learned from executed projects
and the latest industry standards.
♦ Implement the Project Management Information System (PMIS)to replace the existing system.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Manage Division Budget 68% 118% 96-100% 96-100% In-house standard
♦ Change Order Rate 4.6% 5.2% < 5.5% < 5.5% In-house standard
♦ Respond to Public 1 day 1 day 1 day 1 day In-house standard
♦ No Sewer Spills 0 0 0 0 In-house standard
♦ Injury Incident Rate <2.9 2.1 4.5 < 2.9 < 2.9 In-house standard
♦ Update Standards N/A N/A 12 yearly 12 yearly In-house standard
♦ Implement PMIS N/A In Progress Implement Complete In-house standard
Section 6 - Page 62
Civil & Mechanical Engineering
Budget Overview
The FY 2018-19 &2019-20 budgets for the Civil & Mechanical Engineering Division reflect an increase of 2% and
an increase of 2% over the prior year, respectively. The increases are primarily due to salary and benefits
adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 8,629,930
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 188,000
Change in OCERS retirement costs (40,200)
Change in group insurance costs 52,000
Other benefit cost adjustments 15,570
Other Cost Adjustments.
Decrease in training& meetings (6,300)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (4,540)
2018-19 Proposed Budget-Total Operating Requirements $ 8,834,460
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 113,300
Change in OCERS retirement costs 10,800
Change in group insurance costs 62,900
Other benefit cost adjustments 16,400
Other Cost Adjustments.,
No other significant cost changes
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 790
2019-20 Proposed Budget-Total Operating Requirements $ 9,038,650
Section 6 - Page 63
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 8,418,163 $ 8,550,230 $ 8,182,600 $ 8,765,600 2.52% $ 8,969,000 2.32%
Supplies 49,871 66,570 81,020 55,780 (16.21%) 56,570 1.42%
Professional & Contractual SerNces 4,254 10,000 10,000 10,000 0.00% 10,000 0.00%
Research& Monitoring - - - - - - -
Repairs & Maintenance 148 600 490 500 (16.67%) 500 0.00%
Utilities - - - - - - -
Other 1,652 2,530 2,480 2,580 1.98% 2,580 0.00%
Total $ 8,474,088 $ 8,629,930 $ 8,276,590 $ 8,834,460 2.37% $ 9,038,650 2.31%
Expenditure Trends
$9,013,817 $9,892,540 $8,474,088 $8,629,930 $8,834,460 $9,038,650
2015 2016 2017 2018 2019 2020
Section 6 - Page 64
Electrical & Control Systems Engineering
770
ASSISTANT GENERAL
MANAGER&
DIRECTOR OF
ENGINEERING
ENGINEERING
MANAGER
ADMINISTRATIVE
ASSISTANT
ENGINEERING SENIOR
SUPERVISOR— Elec/ ENGINEERING CONSTRUCTION
I&C SUPERVISOR—PCI INSPECTION
SUPERVISOR-Elec
SENIOR SENIOR PRINCIPAL SENIOR
ENGINEER(4) ENGINEER(2) INFO TECH CONSTRUCTION
ANALYST(4) INSPECTOR(3)
SENIOR INFO CONSTRUCTION
ENGINEER(3) ENGINEER TECH ANALYST INSPECTOR(3)
(3)
INFORMATION
TECH ANALYST III
INFORMATION
TECH ANALYST 11
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors/ Professionals 22.0
Administrative / Clerical 7.0 29 29 30 30
Total 30.0 0 0 1
2015 2016 2017 2018 2019 2020
Section 6 - Page 65
2018-19 & 2019-20 Budget
Service Description
The mission of the Electrical &Control Systems Engineering Division is to provide electrical and control system designs which
are reliable, maintainable, and operable at optimum lifecycle costs in accordance with Engineering Standards and codes.
Ensures that projects are properly and safely constructed and executed in accordance with the contract documents with
minimal impact to operations, maintenance, local agencies, and the public. Provide process control SCADA system hardware,
software and data network support for collections and treatment plant processes that are highly reliable, safe, secure, online,
and available to monitor, record, control, and operate our facilities.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Ensure the division's expenditures are managed to 96- ♦ Expected to be 86%
100%of proposed budget.
♦ Reduce program change order performance towards ♦ 5.2%as of December 31 data.
Change Order Management Plan goal of 5%.
♦ Assure all mission critical real-time SCADA systems ♦ Expected to be 100%.
are online and available>99.9%.
♦ SCADA system programming complete and bench ♦ Expected to be 100%.
tested prior to functional acceptance testing.
♦ New electrical equipment is properly modeled in the ♦ Expected to be 100%.
power systems software and equipment is properly
configured and tested prior to energization.
♦ Division Injury Rate<2.9. ♦ 0.0
2018-19&2019-20 Performance Objectives
♦ Ensure division's expenditures are managed to within 96-100%of proposed budget.
♦ Manage construction change order to CIP Change Order Management Plan goal of 5.5%.
♦ Assure all mission critical real-time SCADA systems are online and available greater than 99.9% (8hr/year of unplanned
downtime).
♦ SCADA system programming is complete and bench tested prior to functional acceptance testing.
♦ New electrical equipment is properly modeled in the power systems software and equipment is properly configured and
tested prior to energization.
♦ Division Injury Incident Rate<2.9 to support OCSD goal of<5.7.
♦ Routinely update standard specifications and design guidelines based on lessons learned from executed projects and the
latest industry standards.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Manage Division Budget 65% 86% 96-100% 96-100% In-house standard
♦ Change Order Rate 4.6% 5.2% <5.5% < 5.5% In-house standard
♦ SCADA system availability 100% 100% 99.9% 99.9% In-house standard
(less planned downtime)
♦ SCADA System 100% 100% >98% >98%
Programming Complete In-house standard
♦ New Electrical Equipment 100% 100% >98% >98% In-house standard
Configured and Tested
♦ Injury Incident Rate<2.9 0.0 0.0 <2.9 <2.9 In-house standard
♦ Update Standards N/A N/A 12 Annually 12 Annually In-house standard
Section 6 - Page 66
Electrical & Control Systems Engineering
Budget Overview
The FY 2018-19 budget for the Electrical & Control Systems Engineering Division reflects an increase of 4%.
This is primarily due to increases in salary and benefits adjustments and an FTE transfer. The FY 2019-20
budget reflects an increase of 2% over the prior year, primarily due an increase in salary and benefits
adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 5,235,710
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions 72,100
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 48,800
Change in OCERS retirement costs 24,400
Change in group insurance costs 35,200
Other benefit cost adjustments 5,700
Other Cost Adjustments:
Increase in training 16,720
Decrease in engineering services (25,000)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 8,960
2018-19 Proposed Budget-Total Operating Requirements $ 5,422,590
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 61,100
Change in OCERS retirement costs 6,300
Change in group insurance costs 35,000
Other benefit cost adjustments 9,100
Other Cost Adjustments:
Decrease in training (19,630)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 2,180
2019-20 Proposed Budget-Total Operating Requirements $ 5,516,640
Section 6 - Page 67
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 4,811,354 $ 4,896,000 $ 4,553,700 $ 5,082,200 3.80% $ 5,193,700 2.19%
Supplies 51,041 88,210 80,110 106,740 21.01% 89,290 (16.35%)
Professional &Contractual Services 164,567 246,000 199,800 221,000 (10.16%) 221,000 0.00%
Research& Monitoring - - - - - - -
Repairs & Maintenance 11,711 5,000 12,000 12,000 140.00% 12,000 0.00%
Utilities - - - - - - -
Other - 500 550 650 30.00% 650 0.00%
Total $ 5,038,673 $ 5,235,710 $ 4,846,160 $ 5,422,590 3.57% $ 5,516,640 1.73%
Expenditure Trends
$5,038,673 $5,235,710 $5,422,590 $5,516,640
2015 2016 2017 2018 2019 2020
Section 6 - Page 68
Operations and Maintenance Administration
810
GENERAL
MANAGER
DIRECTOR OF
OPERATIONS &
MAINTENANCE
SENIOR STAFF STAFF
ANALYST ANALYST
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Executive Manager 1.00
Supervisors / Professionals 2.00
3 3 3 3
2 2
Total 3.00
2015 2016 2017 2018 2019 2020
Section 6 - Page 69
2018-19 & 2019-20 Budget
Service Description
The mission of the Operations and Maintenance(O&M)Administration Division is to provide leadership and support,
as well as management oversight and development of the department. Ratepayer owned facilities and assets
managed by the O&M Divisions have a replacement value that exceeds $10 billion. The Director, as a member of
the Executive Management Team, provides counsel and expertise in developing the necessary strategies to
maintain alignment with the District's Strategic Plan, levels of service, and annual divisional work plans. The
Director and staff also proactively network with the OCSD member cities,sewering agencies and regional regulators
on operational issues.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Achieve 100% compliance with water, solids, air, ♦ Achieved 100% compliance with water, solids, air,
and energy permits. and energy permits.
♦ Achieve a compliance level of 96 to 100% of the ♦ Achieved a compliance level of 90% of the level of
levels of service targets. service targets.
♦ Manage operating expenditures to within 96 to ♦ Managed operating expenditures 16% of approved
100% of approved budget. budget.
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits.
♦ Achieve 100% compliance level of 90 to 100% of the Levels of Service targets.
♦ Manage operating expenditures to within 96 to 100% of approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with 100% 100% 100% 100% In-house standard
Permits & Regulatory
Requirements
♦ Levels of Service 100% 90% 100% 100% In-house standard
Compliance
♦ Manage Budget 24% 16% 96-100% 96-100% In-house standard
Section 6 - Page 70
Operations and Maintenance Administration
Budget Overview
The FY 2018-19 budget for the Operations and Maintenance Administration Division reflect an increase of 30%.
This is primarily due to an increase in temporary services. The FY 2019-20 budget reflects an increase of 1%
over the prior year, with no significant changes affecting the budget.
2017-18 Adjusted Budget-Total Operating Requirements $ 735,030
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) (41,400)
Change in OCERS retirement costs 4,100
Change in group insurance costs (1,100)
Other benefit cost adjustments 10,100
Other Cost Adjustments:
Increase in temporary services 256,600
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (6,060)
2018-19 Proposed Budget-Total Operating Requirements $ 957,270
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 15,600
Change in OCERS retirement costs 2,200
Change in group insurance costs 3,700
Other benefit cost adjustments 900
Other Cost Adjustments:
Decrease in other professional services (18,000)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 5,020
2019-20 Proposed Budget-Total Operating Requirements $ 966,690
Section 6 - Page 71
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 481,892 $ 693,200 $ 555,000 $ 664,900 (4.08%) $ 687,300 3.37%
Supplies 6,197 9,620 5,330 2,890 (69.96%) 2,900 0.35%
Professional & Contractual Services 35 31,580 500 288,520 813.62% 275,530 (4.50%)
Research& Monitoring - - - - - - -
Repairs & Maintenance - - -
Utilities - - - - - - -
Other 631 630 940 960 52.38% 960 0.00%
Total $ 488,755 $ 735,030 $ 561,770 $ 957,270 30.24% $ 966,690 0.98%
Expenditure Trends
$918,455 $957,270 $966,690
$750,168 $735,030
�,75
2015 2016 2017 2018 2019 2020
Section 6 - Page 72
Collections Facilities Operations and Maintenance
820
DIRECTOR OF
OPERATIONS&
MAINTENANCE
ENGINEERING
MANAGER
ADMINISTRATIVE OFFICE
ASSITANT ASSISTANT
MAINTENANCE MAINTENANCE
SUPERVISOR SUPERVISOR
(COLLECTIONS O&M) (COLLECTIONS O&M)
LEAD LEAD
MECHANIC(2) MECHANIC(3)
SENIOR SENIOR
MECHANIC(4) MECHANIC(4)
MECHANIC(2) MECHANIC(6)
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors / Professionals 2.0
Operations & Maintenance 21.0 26 26 26 26
Administrative / Clerical 2.0 /
0 0
Total 26.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 73
2018-19 & 2019-20 Budget
Service Description
The mission of the Collections Facilities Operations and Maintenance Division is to provide support and services
which preserve the integrity and reliability of the District's infrastructure. The Pipeline and Pump Station teams
operate and maintain the sewer systems and auxiliary facilities to protect public health and the environment and
to achieve regulatory compliance.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Achieve levels of service for keeping number of ♦ Incurred zero spills during the FY 2017-18.
sewer spills less than 8.4 per year based on the
industry average of 2.1 per 100 miles of sewer.
♦ Achieve levels of service for response to sewer ♦ Achieved 100% compliance.
spills within one hour and full containment within
five hours.
♦ Manage operating expenditures to within 96 to ♦ Managed operating expenditures to 99% of
100% of the approved budget. approved budget.
♦ Achieve 100% compliance with the safety ♦ Achieved 97.8% compliance with the safety
scorecard. scorecard.
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits and regulatory requirements.
♦ Achieve 100% compliance level of 90 to 100% of the Levels of Service targets.
♦ Achieve greater than 90% compliance with the safety scorecard.
♦ Manage operating expenditures to within 96 to 100% of approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with Permits N/A N/A 100% 100% In house standard
& Regulatory
Requirements
♦ Levels of Service N/A N/A 100% 100% In house standard
Compliance
♦ Compliance with the 97% 97.8% 100% 100% In house standard
Safety Scorecard
♦ Manage Budget 96% 99% 96-100% 96-100% In house standard
Section 6 - Page 74
Collections Facilities Operations and Maintenance
Budget Overview
The FY 2018-19 budget for the Collections Facilities Operations and Maintenance Division reflect an increase of
8%. This is primarily due to increases in salary and benefits, odor control costs, engineering, and repairs and
maintenance. The FY 2019-20 budget reflects an increase of 8% over the prior year. This is primarily due to the
increase in odor control costs and other contractual services, which is somewhat off-set with a decrease in
engineering services.
2017-18 Adjusted Budget-Total Operating Requirements $ 12,284,740
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 100,800
Change in OCERS retirement costs 15,300
Change in group insurance costs 17,100
Other benefit cost adjustments 8,500
Other Cost Adjustments:
Decrease in training (22,370)
Increase in odor control costs 342,620
Decrease in temporary services (60,000)
Decrease in other contractual services (62,140)
Increase in engineering services 606,210
Increase in other professional services 21,440
Increase in repairs and maintenance 135,620
Decrease in electricity costs (52,580)
Decrease in miscellaneous operating expense (18,380)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (10,900)
2018-19 Proposed Budget-Total Operating Requirements $ 13,305,960
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 18,400
Change in OCERS retirement costs 1,700
Change in group insurance costs 29,600
Other benefit cost adjustments 7,900
Other Cost Adjustments.
Increase in odor control costs 240,060
Increase in other contractual services 1,200,000
Decrease in engineering services (513,660)
Increase in repairs and maintenance 10,460
Increase in electricity costs 13,140
Increase in miscellaneous operating expense 30,730
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 4,440
2019-20 Proposed Budget-Total Operating Requirements $ 14,348,730
Section 6 - Page 75
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 3,321,859 $ 3,245,300 $ 3,180,800 $ 3,387,000 4.37% $ 3,444,600 1.70%
Supplies 6,051,933 6,531,230 6,618,160 6,835,180 4.65% 7,078,020 3.55%
Professional&Contractual Services 1,796,286 1,467,900 1,309,710 1,978,810 34.81% 2,666,430 34.75%
Research&Monitoring - - - - - - -
Repairs&Maintenance 1,303,387 375,000 450,410 510,620 36.17% 521,080 2.05%
Utilities 595,667 615,800 550,020 563,220 (8.54%) 576,740 2.40%
Other 35,124 49,510 29,900 31,130 (37.12%) 61,860 98.72%
Total 1 $13,104,256 1 $12,284,740 $12,139,000 $13,305,960 1 8.31% 1 $14,348,730 7.84%
Expenditure Trends
$13,104,256 $12,284,740 $13,305,960 $14,348,730
2015 2016 2017 2018 2019 2020
Section 6 - Page 76
Fleet Services
822
DI RECTOR OF
OPERATIONS&
MAINTENANCE
ENGINEERING
MANAGER
MAINTENANCE
SUPERVISOR
(FLEET SERVICES)
LEAD AUTOMOTIVE/ EQUIPMENT AUTOMOTIVE/
MECHANIC HEAVY EQUIP. CRANE HEAVY EQUIP.
TECHNICIAN(3) OPERATOR(2) ASSISTANT
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Supervisors / Professionals 1.0
Operations & Maintenance 7.0 $ 9 $ $ $ $
Total 8.0 2015 2016 2017 2018 2019 2020
Section 6 - Page 77
2018-19 & 2019-20 Budget
Service Description
The mission of the Fleet Services Division is to provide our customers with high quality, dependable, cost
effective and efficient services.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Manage operating expenditures to within 96 to ♦ Managed operating expenditures to 96% of the
100% of the approved budget approved budget.
♦ Achieve 100% compliance with state emissions ♦ Achieved 100% compliance with state emissions
regulations on all mobile equipment and vehicles. regulations on all mobile equipment and vehicles.
♦ Fleet Services in-house survey published with ♦ Achieved > 80% on in-house customer
results achieving 80% or above satisfaction ratings. satisfaction ratings.
♦ Achieve 100% compliance with the safety ♦ Achieved 94.7% compliance with the safety
scorecard. scorecard.
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits and regulatory requirements.
♦ Fleet Services in-house survey published with results achieving 90% at or above satisfaction ratings.
♦ Decrease average age of fleet over a 5-year period until all fleet vehicles meet the industry standard.
♦ Achieve greater than 90% compliance with the safety scorecard.
♦ Manage operating expenditures to within 96 to 100% of the approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with Permits & N/A N/A 100% 100% In-house standard
Regulatory Requirements
♦ In-house Survey 95.4% > 80% > 90% > 90% In-house standard
♦ 5-Year Fleet Buy Down N/A N/A 20% 20% In-house standard
♦ Compliance with Safety 100% 94.7% > 90% > 90% In-house standard
Scorecard
♦ Manage Budget 88% 96% 96-100% 96-100% In-house standard
Section 6 - Page 78
Fleet Services
Budget Overview
The FY 2018-19 budget for the Fleet Services Division reflects an increase of 7%. This is primarily due to
increases in salaries and benefits adjustments and small tools expense. The FY 2019-20 budget reflects an
increase of 0.25% over the prior year,with no significant changes affecting the budget.
2017-18 Adjusted Budget-Total Operating Requirements $ 1,965,050
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 37,700
Change in OCERS retirement costs 3,300
Change in group insurance costs 5,800
Other benefit cost adjustments (16,700)
Other Cost Adjustments:
Increase in training 18,470
Increase in small tools expense 52,200
Increase in repairs and maintenance 30,500
Increase in outside equipment rental 10,000
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 2,550
2018-19 Proposed Budget-Total Operating Requirements $ 2,108,870
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) -
Change in OCERS retirement costs (100)
Change in group insurance costs 8,900
Other benefit cost adjustments 2,400
Other Cost Adjustments.
Decrease in training (13,800)
Increase in vehicle fuel & lubricants 5,000
Increase in compressed natural gas 5,000
Decrease in other professional services (15,000)
Increase in repairs and maintenance 10,000
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 2,950
2019-20 Proposed Budget-Total Operating Requirements $ 2,114,220
Section 6 - Page 79
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 1,198,889 $ 1,054,200 $ 1,096,500 $ 1,084,300 2.86% $ 1,095,500 1.03%
Supplies 453,599 420,190 347,360 489,210 16.43% 486,360 (0.58%)
Professional &Contractual Services 338 60,000 95,000 65,000 8.33% 50,000 (23.08%)
Research& Monitoring - - - - - - -
Repairs & Maintenance 431,271 378,500 368,150 409,000 8.06% 419,000 2.44%
Utilities - - - - - - -
Other 51,512 52,160 66,170 61,360 17.64% 63,360 3.26%
Total $ 2,135,609 $ 1,965,050 $ 1,973,180 $ 2,108,870 7.32% $ 2,114,220 0.25%
Expenditure Trends
$2,135,609 $1,965,050 $2,108,870 $2,114,220
2015 2016 2017 2018 2019 2020
Section 6 - Page 80
Operations — Plant No. 1
830
DIRECTOR OF
OPERATIONS&
MAINTENANCE
OPERATIONS
MANAGER
CHIEF PLANT O&M PROCESS SUPPORT
OPERATOR
ENGINEERING
SUPERVISOR-
Process PRINCIPAL
STAFF
ANALYST
SENIOR SCIENTIST
ADMINISTRATIVE ENGINEER
ASSISTANT
PRINCIPAL
ENGINEER ENVIRONMENTAL
SPECIALIST
ASSOCIATE SENIOR
ENGINEER(2) ENVIRONMENTAL
SPECIALIST
ASSISTANT ENVIRONMENTAL
ENGINEER TECHNICIAN
FRONT SIDE BACK SIDE DAY SHIFT/ FRONT SIDE BACK SIDE
NIGHT SHIFT NIGHT SHIFT PROCESS DAY SHIFT DAY SHIFT
OPERATIONS OPERATIONS OPERATIONS OPERATIONS OPERATIONS
SUPERVISOR SUPERVISOR SUPERVISOR(3) SUPERVISOR SUPERVISOR
SENIOR PLANT SENIOR PLANT LEAD PLANT SENIOR PLANT SENIOR PLANT
OPERATOR(2) OPERATOR(2) OPERATOR(4) OPERATOR(3) OPERATOR(3)
PLANT PLANT SENIOR PLANT PLANT PLANT
OPERATOR(4) OPERATOR(4) OPERATOR(4) OPERATOR(3) OPERATOR(4)
POWERPLANT POWER PLANT LEAD POWER POWERPLANT POWERPLANT
OPERATOR II OPERATOR II PLANTOPER OPERATOR II OPERATOR II
PLANT CONTROL CONTROL
OPERATOR CENTER TECH CENTER TECH
2018-19 & 2019-20 Authorized FTE Positions Staffing Trends
Manager 1.00
Supervisors / Professionals 18.00
Operations & Maintenance 41.00 69
Technical Staff 1.00 54/ ---62 6z 6z 6z
Administrative / Clerical 1.00
Total 62.00 2015 2016 2017 2018 2019 2020
Section 6 - Page 81
2018-19 & 2019-20 Budget
Service Description
The mission of the Plant No. 1 Operations Division is to safely, reliably, and cost effectively operate the plant to
meet all regulatory requirements for the land, air, and water environments of Orange County and the 2.6 million
residents we serve.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Achieve 100% permit compliance. ♦ Achieved 100% permit compliance.
♦ Maintain overtime as less than 6% of the total ♦ Maintained overtime at 2.6% of the total hours
hours worked. worked.
♦ Maintain a safety scorecard above 90% overall. ♦ Maintained a safety scorecard at 100%.
♦ Manage expenditures to within 96 to 100% of ♦ Managed operating expenditures to 90% of
approved budget. approved budget.
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits and regulatory requirements.
♦ Achieve 100% compliance level of 90 to 100% of Levels of Service targets.
♦ Achieve greater than 90% compliance with the safety scorecard.
♦ Manage operating expenditures to within 96 to 100% of approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with Permits & 100% 100% 100% 100% In-house standard
Regulatory Requirements
♦ Levels of Service N/A N/A 100% 100% In-house standard
Compliance
♦ Compliance with Safety 100% 100% > 90% > 90% In-house standard
Scorecard
♦ Manage Budget 88% 90% 96-100% 96-100% In-house standard
Section 6 - Page 82
Operations — Plant No. 1
Budget Overview
The FY 2018-19 budget for the Plant No. 1 Operations Division reflect a decrease of 5%. This is primarily due to
decreases in odor control chemicals, solids removal costs, other waste disposal costs, natural gas costs, and
electricity costs, which is somewhat off-set with increases in salary and benefit adjustments and chemical
coagulants. The FY 2019-20 budget reflects an increase of 12% over the prior year. This is primarily due to
increases in chemical coagulants, electricity costs, and salary and benefits adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 27,866,660
Salaries for Position Changes:
Transfer of Positions from/(to)Other Divisions (32,000)
New or(decreased)FTE -
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 257,800
Change in OCERS retirement costs (19,800)
Change in group insurance costs 27,300
Other benefit cost adjustments (4,200)
Other Cost Adjustments
Increase in administrative expense 67,140
Increase in chemical coagulants 320,080
Decrease in odor control chemicals (611,500)
Decrease in disinfection chemicals (77,000)
Decrease in solids removal costs (400,000)
Decrease in other waste disposal costs (93,000)
Decrease in temporary services (65,000)
Decrease in other contractual services (60,000)
Decrease in repairs and maintenance (51,750)
Decrease in natural gas costs (145,900)
Decrease in electricity costs (320,000)
Increase in water costs
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (66,580)
2018-19 Proposed Budget-Total Operating Requirements $ 26,592,250
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 90,900
Change in OCERS retirement costs 8,100
Change in group insurance costs 69,300
Other benefit cost adjustments 18,300
Other Cost Adjustments
Decrease in administrative expense (50,000)
Increase in chemical coagulants 2,092,910
Decrease in engineering services (50,000)
Increase in electricity costs 1,000,000
Increase in water costs
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 79,100
2019-20 Proposed Budget-Total Operating Requirements $ 29,850,860
Section 6 - Page 83
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 8,894,642 $ 8,679,800 $ 8,716,500 $ 8,908,900 2.64% $ 9,095,500 2.09%
Supplies 4,343,097 4,876,880 4,166,840 4,526,850 (7.18%) 6,610,340 46.03%
Professional &Contractual Services 7,979,021 9,490,000 8,993,730 8,885,000 (6.38%) 8,853,000 (0.36%)
Research& Monitoring - - - - - - -
Repairs & Maintenance 113,352 148,200 120,060 96,450 (34.92%) 96,450 0.00%
Utilities 3,603,083 4,670,500 4,016,580 4,169,850 (10.72%) 5,190,370 24.47%
Other 5,067 1,280 4,170 5,200 306.25% 5,200 0.00%
Total $24,938,262 $27,866,660 $26,017,880 $26,592,250 (4.57%) $29,850,860 12.25%
Expenditure Trends
$32,129,523 $29,850,860
27,352,941 $24,938,262 $27,866,660 $26,592,250
2015 2016 2017 2018 2019 2020
Section 6 - Page 84
Operations — Plant No. 2
840
DIRECTOR OF
OPERATIONS&
MAINTENANCE
OPERATIONS
MANAGER
CHIEF PLANT
OPERATOR
ADMINISTRATIVE
ASSISTANT
FRONT SIDE BACKSIDE DAY SHIFT/ FRONT SIDE BACK SIDE
NIGHTSHIFT NIGHTSHIFT PROCESS DAYSHIFT DAY SHIFT
OPERATIONS OPERATIONS OPERATIONS OPERATIONS OPERATIONS
SUPERVISOR SUPERVISOR SUPERVISOR(3) SUPERVISOR SUPERVISOR
SENIOR PLANT SENIOR PLANT LEAD PLANT SENIOR PLANT SENIOR PLANT
OPERATOR(2) OPERATOR(2) OPERATOR(4) OPERATOR(3) OPERATOR(3)
PLANT PLANT SENIOR PLANT PLANT PLANT
OPERATOR(4) OPERATOR(4) OPERATOR(4) OPERATOR(5) OPERATOR(5)
POWER PLANT POWER PLANT LEAD POWER PLANT POWERPLANT
OPERATOR 11 OPERATOR 11 POWERPLANT OPERATOR 11 OPERATOR 11
OPERATOR
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Supervisors / Professionals 8.0
Operations & Maintenance 41.0 47/55�50 50 50 50
Administrative / Clerical 1.0
Total 50.0
2015 2016 2017 2018 2019 2020
Section 6 - Page 85
2018-19 & 2019-20 Budget
Service Description
The mission of the Plant No. 2 Operations Division is to safely, reliably, and cost effectively operate the plant to
meet all regulatory requirements for the land, air, and water environments of Orange County and the 2.6 million
residents we serve.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Achieve 100% permit compliance. ♦ Received one (1) Notice of Violation (NOV).
♦ Maintain overtime as less than 6% of the total hours ♦ Maintained overtime at 2.9% of total hours
worked. worked.
♦ Maintain a safety scorecard above 90% overall. ♦ Maintained a safety scorecard at 100% overall.
♦ Manage operating expenditures to within 96 to 100% ♦ Managed operating expenditures to 101% of
of approved budget. approved budget.
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits and regulatory requirements.
♦ Achieve 100% compliance level of 90 to 100% of the Levels of Service targets.
♦ Achieve greater than 90% compliance with the safety scorecard.
♦ Manage operating expenditures to within 96 to 100% of approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with 100% 1 NOV 100% 100% In-house standard
Permits & Regulatory
Requirements
♦ Levels of Service N/A N/A 100% 100% In-house standard
Compliance
♦ Compliance with Safety 100% 100% > 90% > 90% In-house standard
Scorecard
♦ Manage Budget 105% 101% 96-100% 96-100% In-house standard
Section 6 - Page 86
Operations — Plant No. 2
Budget Overview
The FY 2018-19 budget for the Plant No. 2 Operations Division reflect an increase of 5%. This is primarily due to
increases in salary and benefits adjustments and solids removal costs, which is somewhat off-set with decreases
in odor control chemicals and repairs and maintenance. The FY 2019-20 budget reflects a decrease of 11% over
the prior year. This is primarily due to a decrease in solids removal costs, which is somewhat off-set with
increases in chemical coagulants, electricity costs, and salary and benefits adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 19,389,450
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions 32,000
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 378,800
Change in OCERS retirement costs 23,100
Change in group insurance costs 54,300
Other benefit cost adjustments 68,000
Other Cost Adjustments
Increase in administrative expense 29,960
Decrease in chemical coagulants (56,000)
Decrease in odor control chemicals (83,000)
Increase in solids removal costs 700,000
Decrease in repairs and maintenance (102,530)
Decrease in natural gas costs (66,600)
Increase in electricity costs 60,040
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (70,340)
2018-19 Proposed Budget-Total Operating Requirements $ 20,357,180
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 78,300
Change in OCERS retirement costs 7,500
Change in group insurance costs 60,100
Other benefit cost adjustments 15,800
Other Cost Adjustments.
Decrease in administrative expense (30,000)
Increase in chemical coagulants 788,000
Decrease in solids removal costs (3,700,000)
Decrease in repairs and maintenance (50,000)
Increase in electricity costs 525,890
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 78,900
2019-20 Proposed Budget-Total Operating Requirements $ 18,131,670
Section 6 - Page 87
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 7,501,649 $ 7,158,500 $ 7,205,600 $ 7,714,700 7.77% $ 7,876,400 2.10%
Supplies 2,589,687 2,499,700 2,282,130 2,438,830 (2•44%) 3,242,360 32.95%
Professional & Contractual SerNces 9,725,303 7,750,750 8,348,000 8,343,000 7.64% 4,664,000 (44.10%)
Research& Monitoring - - - - - - -
Repairs & Maintenance 502,645 420,200 278,510 317,670 (24.40%) 267,670 (15.74%)
Utilities 1,158,746 1,558,000 1,479,080 1,537,940 (1.29%) 2,076,200 35.00%
Other 9,513 2,300 3,570 5,040 119.13% 5,040 0.00%
Total $21,487,543 $19,389,450 $19,596,890 $20,357,180 4.99% $18,131,670 (10.93%)
Expenditure Trends
20,101,842 $20,531,191 $21,487,543 $19,389,450 $20,357,180 $18,131,670
2015 2016 2017 2018 2019 2020
Section 6 - Page 88
Maintenance — Plant No. 1
870
DIRECTOR OF
OPERATIONS&
MAINTENANCE
MAINTENANCE
MANAGER
ADMINISTRATIVE
ASSISTANT
MAINTENANCE
SUPERINTENDENT
MAINTENANCE MAINTENANCE MAINTENANCE MAINTENANCE MAINTENANCE MAINTENANCE
SUPERVISOR- SUPERVISOR- SUPERVISOR- SUPERVISOR- SUPERVISOR- SUPERVISOR-
Mechanical Mechanical Instrumentation Electrical Rebuild Civil Facilities
LEAD LEAD LEAD INST. LEAD SENIOR LEAD FACILITIES
MECHANIC MECHANIC TECH. ELECTRICAL MECHANIC(2) WORKER
TECH.(2)
SENIOR SENIOR ELECTRICAL WORKER/
LEAD ELECTRICAL WELDER/ FACILITIES
MECHANIC(8) MECHANIC(7) TECH. TECH.II(6) FABRICATOR(3) BUILDER(2)
MAINTENANCE ELECTRICAL FACILITIES
MECHANIC WORKER(2) INST.TECH.II(6) TECH.I MACHINIST WORKER/
PAINTER
INST.TECH.1(3)
ELECTRICAL
TECH.II(2)
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors / Professionals 7.0 —85 85
Operations & Maintenance 52.0 81 \
Administrative/ Clerical 1.0 61 61
Total 61.0 °
2015 2016 2017 2018 2019 2020
Section 6 - Page 89
2018-19 & 2019-20 Budget
Service Description
The mission of the Plant No. 1 Maintenance Division is to protect public health and the environment by providing
reliable power distribution, electrical and instrument maintenance, civil facilities and grounds maintenance, and
mechanical maintenance to the treatment plant and associated pump stations in outer lying service areas. The
Division's professional, highly skilled staff use best practices and technology to provide Collection, Plant
Operations, and District staff with electrical power, control systems, environmental controls that are safe and on-
line, and mechanical and facilities support to ensure and restore reliability.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Maintain overtime at less than 5% of the total hours ♦ Maintained overtime at 10.8% of the total hours
worked. worked.
♦ Maintain a total work order backlog of no greater ♦ Maintained a total work order backlog of< 6
than 6 weeks. weeks.
♦ Maintain a safety scorecard rating above 90%. ♦ Maintained a safety scorecard rating of 98.2%.
♦ Maintain 100% records compliance for Volatile ♦ Maintain 100% records compliance for Volatile
Organic Compounds (VOC's). Organic Compounds (VOCs).
♦ Manage operating expenditures to within 96 to ♦ Manage operating expenditures to 131% of
100% of approved budget. approved budget.
♦ Maintain electrical power availability at the ♦ Maintain electrical power availability at the
distribution level greater than 99.9% (8 hr/yr of distribution level greater than 99.9% (8hr/yr of
unplanned outage). unplanned outage).
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits and regulatory requirements.
♦ Achieve 100% compliance level of 90 to 100% of Levels of Service targets.
♦ Maintain a total work order backlog of less than 6 weeks.
♦ Achieve preventative maintenance (PM) compliance of greater than 75%.
♦ Achieve greater than 90% compliance with the safety scorecard.
♦ Manage operating expenditures to within 96 to 100% of the approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with Permits & N/A N/A 100% 100% In-house standard
Regulatory Requirements
♦ Levels of Service N/A N/A 100% 100% In-house standard
Compliance
♦ Maintain Work Order 6.4 weeks < 6 weeks < 6 weeks < 6 weeks In-house standard
Backlog
♦ PM Compliance N/A N/A > 75% > 80% In-house standard
♦ Compliance with Safety 97% 98.2% > 90% > 90% In-house standard
Scorecard
♦ Manage Budget 98% 131% 96-100% 96-100% In-house standard
Section 6 - Page 90
Maintenance — Plant No. 1
Budget Overview
The FY 2018-19 budget for the Plant No. 1 Maintenance Division reflect an increase of 26%. This is primarily due
to increases in repairs and maintenance costs and salary and benefits adjustments, which is somewhat off-set
with a decrease in professional services. The FY 2019-20 budget reflects a decrease of 9% over the prior year.
This is primarily due to a decrease in repairs and maintenance and temporary services, which is somewhat off-set
with an increase in salary and benefits adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 14,628,280
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 160,400
Change in OCERS retirement costs (3,000)
Change in group insurance costs 36,100
Other benefit cost adjustments (7,400)
Other Cost Adjustments
Increase in tools 69,560
Increase in safety equipment and tools 32,740
Decrease in temporary services (64,200)
Decrease in other professional services (206,900)
Increase in repairs and maintenance 3,794,270
Increase in repairs and maintenance
Decrease in outside equipment rental
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (300)
2018-19 Proposed Budget-Total Operating Requirements $ 18,439,550
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 136,800
Change in OCERS retirement costs 11,600
Change in group insurance costs 71,100
Other benefit cost adjustments 18,500
Other Cost Adjustments
Decrease in tools (58,840)
Decrease in safety equipment and tools (29,740)
Decrease in temporary services (100,000)
Decrease in repairs and maintenance (1,760,220)
Increase in service maintenance agreements
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 39,490
2019-20 Proposed Budget-Total Operating Requirements $ 16,768,240
Section 6 - Page 91
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 8,739,082 $ 8,067,400 $ 7,150,500 $ 8,253,500 2.31% $ 8,491,500 2.88%
Supplies 597,172 424,360 482,350 506,640 19.39% 417,190 (17.66%)
Professional & Contractual Services 1,501,347 1,077,320 930,820 828,500 (23.10%) 768,860 (7.20%)
Research& Monitoring - - - - - -
Repairs & Maintenance 5,566,928 5,043,190 7,161,930 8,837,460 75.24% 7,077,240 (19.92%)
Utilities 2,638 8,000 4,210 5,000 (37.50%) 5,000 0.00%
Other 7,470 8,010 7,250 8,450 5•49% 8,450 0.00%
Total $16,414,637 $14,628,280 F$15,737,060 $18,439,550 1 26.05% $16,768,240
Expenditure Trends
$15,839,768 $16,414,637 $18,439,550 $16,768,240
$14,628,280
2015 2016 2017 2018 2019 2020
Section 6 - Page 92
Maintenance Reliability and Planning
875
DIRECTOR OF
OPERATIONS&
MAINTENANCE
ENGINEERING
MANAGER
ENGINEERING MAINTENANCE
SUPERVISOR SUPERVISOR
SENIOR MAINTENANCE
ENGINEER(3) SPECIALIST(11)
ENGINEER(4)
ASSOCIATE
ENGINEER(2)
RELIABILITY
MAINTENANCE
TECHNICIAN (5)
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Manager 1.0
Supervisors / Professionals 22.0
Operations & Maintenance 5.0 2s 28 28 28
Total 28.0 0 0
2015 2016 2017 2018 2019 2020
Section 6 - Page 93
2018-19 & 2019-20 Budget
Service Description
The mission of the Maintenance Reliability and Planning Division is to ensure the highest level of reliability for
mechanical, electrical, and instrumentation assets at the lowest cost through the execution of correct,
preventative, and predictive maintenance activities and the engagement of the engineering department for assets
at the end of their life cycle.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Achieve 100% permit compliance. ♦ Achieved 100% permit compliance.
♦ Achieve a compliance level of 90 to 100% of the ♦ Achieved a compliance level of 100% of the level
levels of service targets. of service targets.
♦ Maintain a safety scorecard above 90% overall. ♦ Maintained a safety scorecard at > 96%.
♦ Manage operating expenditures to within 96 to ♦ Managed operating expenditures to 68% of
100% of approved budget. approved budget.
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits and regulatory requirements.
♦ Achieve 100% compliance level of 90 to 100% of the Levels of Service targets.
♦ Approved maintenance service requests will be processed within 3 days 90% of the time.
♦ Staff will respond to all received root cause analysis (RCA) requests within 1 week and will initiate proper
investigation of these requests.
♦ Achieve greater than 90% compliance with the safety scorecard.
♦ Manage operating expenditures to within 96 to 100% of approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with N/A 100% 100% 100% In-house standard
Permits & Regulatory
Requirements
♦ Levels of Service N/A 100% 100% 100% In-house standard
Compliance
♦ Process Maintenance N/A N/A 90% 90% In-house standard
Service Requests
♦ Respond to RCA N/A N/A 100% 100% In-house standard
requests within 1 week
♦ Compliance with N/A > 96% > 90% > 90% In-house standard
Safety Scorecard
♦ Manage Budget 57% 68% 96-100% 96-100% In-house standard
Section 6 - Page 94
Maintenance Reliability and Planning
Budget Overview
The FY 2018-19 budget for the Maintenance Reliability and Planning Division reflect an increase of 0.37%. This is
primarily due an increase in other contractual services, which is off-set with decreases in temporary services and
engineering services. The FY 2019-20 budget reflects a decrease of 6% over the prior year. This is primarily due
to decreases in other contractual services and engineering services, which is somewhat off-set with an increase
in salary and benefits adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 7,700,130
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 18,800
Change in OCERS retirement costs 24,900
Change in group insurance costs 2,200
Other benefit cost adjustments 16,900
Other Cost Adjustments.
Decrease in temporary services (134,000)
Increase in other contractual services 432,170
Decrease in engineering services (378,750)
Increase in repairs and maintenance 46,500
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (50)
2018-19 Proposed Budget-Total Operating Requirements $ 7,728,800
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 58,900
Change in OCERS retirement costs 6,600
Change in group insurance costs 32,500
Other benefit cost adjustments 8,500
Other Cost Adjustments.
Decrease in other contractual services (150,000)
Decrease in engineering services (376,000)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services (10,100)
2019-20 Proposed Budget-Total Operating Requirements $ 7,299,200
Section 6 - Page 95
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017.18 2018.19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 2,139,724 $ 4,437,200 $ 4,385,500 $ 4,500,000 1.42% $ 4,606,500 2.37%
Supplies 74,136 88,930 50,340 79,120 (11.03%) 70,520 (10.87%)
Professional & Contractual Services 1,046,726 3,164,000 2,128,750 3,092,420 (2.26%) 2,564,920 (17.06%)
Research& Monitoring - - - - - - -
Repairs & Maintenance 15,376 10,000 54,000 56,500 465.00% 56,500 0.00%
Utilities - - - - - - -
Other 498 - 170 760 - 760 0.00%
Total j $ 3,276,460 j $ 7,700,130 j $ 6,618,760 j $ 7,728,800 j 0.37% j $ 7,299,200 j (5.5E/)
Expenditure Trends
$7,700,130 $7,728,800 $7,299,200
$3,276,46
*0000
2015 2016 2017 2018 2019 2020
Section 6 - Page 96
Maintenance — Plant No. 2
880
DIRECTOR OF
OPERATIONS&
MAINTENANCE
MAINTENANCE
MANAGER
MAINTENANCE
SUPERINTENDENT
ADMINISTRATIVE
ASSISTANT
MAINTENANCE MAINTENANCE MAINTENANCE MAINTENANCE MAINTENANCE
SUPERVISOR- SUPERVISOR- SUPERVISOR- SUPERVISOR- SUPERVISOR
-
Facilities Mechanical Mechanical Instrumentation Electrical
LEAD FACILITIES LEAD LEAD INST. LEAD
WORKER MECHANIC LEAD MECHANIC TECH.(2) ELECTRICAL
TECH.(2)
SENIOR SENIOR L SENIOR ELECTRICAL
MECHANIC MECHANIC(7) MECHANIC(7) INST.TECH.II(8) TECH.II (7)
FACILITIES ELECTRICAL
WORKER/ MECHANIC MAINTENANCE TECH.I
PAINTER WORKER
FACILITIES MAINTENANCE
WORKER/
WORKER
BUILDER
Staffing Trends
2018-19 & 2019-20 Authorized FTE Positions
Supervisors / Professionals 6.0
Operations & Maintenance 43.0 46 45 45---50 50
Administrative/ Clerical 1.0
Total 50.0 0
2015 2016 2017 2018 2019 2020
Section 6 - Page 97
2018-19 & 2019-20 Budget
Service Description
The mission of the Plant No. 2 Maintenance Division is to protect public health and the environment by providing
reliable power distribution, electrical and instrument maintenance, civil facilities and grounds maintenance, and
mechanical maintenance to the treatment plant and associated pump stations in outer lying service areas. The
Division's professional, highly skilled staff use best practices and technology to provide Collections, Plant
Operations, and District staff with electrical power, control systems, environmental controls that are safe and on-
line, and mechanical and facilities support to ensure and restore reliability.
2017-18 Performance Objectives 2017-18 Performance Results
♦ Maintain overtime at less than 5% of the total hours ♦ Maintained overtime at 4.8% of the total hours
worked. worked.
♦ Maintain a total work order backlog of no greater than 6 ♦ Maintained a total work order backlog of< 6
weeks. weeks.
♦ Maintain a safety scorecard rating above 90%. ♦ Maintained a safety scorecard rating of 99.9%.
♦ Maintain 100% records compliance for Volatile Organic ♦ Maintain 100% records compliance for Volatile
Compounds (VOC's). Organic Compounds (VOCs).
♦ Manage operating expenditures to within 96 to 100% of ♦ Manage operating expenditures to 72% of
approved budget. approved budget.
♦ Maintain electrical power availability at the distribution ♦ Maintain electrical power availability at the
level greater than 99.9% (8 hr/yr of unplanned outage). distribution level greater than 99.9% (8hr/yr of
unplanned outage).
2018-19 &2019-20 Performance Objectives
♦ Achieve 100% compliance with water, solids, air, and energy permits and regulatory requirements.
♦ Achieve 100% compliance level of 90 to 100% of Levels of Service targets.
♦ Maintain a total work order backlog of less than 6 weeks.
♦ Achieve preventative maintenance (PM) compliance of greater than 75%.
♦ Achieve greater than 90% compliance with the safety scorecard.
♦ Manage operating expenditures to within 96 to 100% of the approved budget.
Performance Measures
Summary 2016-17 2017-18 2018-19 2019-20 Justification
Actual Projected Proposed Proposed
♦ Compliance with Permits & N/A N/A 100% 100% In-house standard
Regulatory Requirements
♦ Levels of Service Compliance N/A N/A 100% 100% In-house standard
♦ Maintain Work Order Backlog 6.4 weeks < 6 weeks < 6 weeks < 6 weeks In-house standard
♦ PM Compliance N/A N/A > 75% > 80% In-house standard
♦ Compliance with Safety 99% 99.9% > 90% > 90% In-house standard
Scorecard
♦ Manage Budget 86% 72% 96-100% 96-100% In-house standard
Section 6 - Page 98
Maintenance — Plant No. 2
Budget Overview
The FY 2018-19 budget for the Plant No. 2 Maintenance Division reflect an increase of 11%. This is primarily due
to increases in repairs and maintenance costs. The FY 2019-20 budget reflects a decrease of 4% over the prior
year. This is primarily due to a decrease in repairs and maintenance, which is somewhat off-set with an increase
in salary and benefits adjustments.
2017-18 Adjusted Budget-Total Operating Requirements $ 14,548,410
Salaries for Position Changes.
Transfer of Positions from/(to)Other Divisions -
New or(decreased)FTE -
Changes in Personnel Expenses.
Other net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 67,000
Change in OCERS retirement costs (23,800)
Change in group insurance costs 47,600
Other benefit cost adjustments (56,000)
Other Cost Adjustments.
Decrease in training (36,400)
Decrease in small tools expense (28,600)
Decrease in other waste disposal costs (30,730)
Decrease in other professional services (33,660)
Increase in repairs and maintenance 1,530,840
Increase in service maintenance agreements 87,670
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 46,320
2018-19 Proposed Budget-Total Operating Requirements $ 16,118,650
Changes in Personnel Expenses.
Net salary adjustments (MOU-related, leave payoffs, vacancy, etc.) 129,500
Change in OCERS retirement costs 12,500
Change in group insurance costs 57,400
Other benefit cost adjustments 14,900
Other Cost Adjustments.,
Decrease in repairs and maintenance (821,980)
Aggregate change in Other Categories.
Aggregate change in other materials, supplies, and services 11,100
2019-20 Proposed Budget-Total Operating Requirements $ 15,522,070
Section 6 - Page 99
2018-19 & 2019-20 Budget
2017-18
Operating Expenses 2016-17 Revised 2017-18 2018-19 Budget 2019-20 Budget
By Category Actual Budget Projected Proposed %Change Proposed %Change
Personnel $ 5,882,835 $ 6,317,500 $ 5,989,400 $ 6,352,300 0.55% $ 6,566,600 3.37%
Supplies 378,384 450,130 405,700 414,520 (7.91%) 395,720 (4.54%)
Professional&Contractual Services 425,634 617,830 536,130 568,000 (8.07%) 597,900 5.26%
Research& Monitoring - - - - - - -
Repairs & Maintenance 5,016,111 7,151,270 4,947,300 8,769,780 22.63% 7,947,800 (9.37%)
Utilities 4,230 6,290 6,290 6,290 0.00% 6,290 0.00%
Other 5,110 5,390 2,660 7,760 43.97% 7,760 0.00%
Total $11,712,304 j $14,548,410 $11,887,480 $16,118,650 1 10.79% j $15,522,070 j (3.70%)
Expenditure Trends
$14,548,410 $16,118,650 $15,522,070
$11,739,126 $11,712,304
2015 2016 2017 2018 2019 2020
Section 6 - Page 100
SELF-INSURANCE PROGRAM
SECTION 7
Self-Insurance Program Overview
SELF-FUNDED INSURANCE PLANS • In order to maintain the reserve balance of
$2 million for the Workers' Compensation
The District is partially self-insured for general liability program, appropriations for in-lieu premiums
and workers' compensation. The General Liability charged to operating divisions are recommended
and Property program and the Workers' at$586,600 and$780,000 for FY 2018-19 and FY
Compensation program have been in existence since 2019-20, respectively.
1979. The annual in-lieu premiums and charges to
the Revenue Areas or Operating Divisions are the
revenue sources within these programs. Expenses
primarily consist of claim settlements, legal fees and
excess loss insurance premiums. Ending Reserve
Balances are projected at$57,000,000 in FY 2018-19
and in FY 2019-20.
General Liability and Property
• The District's current outside excess general
liability insurance coverage is $40 million per
occurrence with an annual aggregate limit and
with a self-insured retention of$500,000.
• The District's current property insurance
coverage is $1 billion for perils of fire and
$300 million for perils of flood, subject to a self-
insured retention of $250,000. The District is
partially self-insured for earthquake, but does
carry$25 million in coverage on 15 key structures
with a $5 million deductible. The District also has
a $50 million sublimit for builder's risk under the
property insurance program to ensure upcoming
construction projects are adequately covered.
• In order to maintain a reserve balance of
$55 million for FY 2018-19 and FY 2019-20 for
the Property and General Liability program,
appropriations for in-lieu premiums charged to
the Revenue Areas are recommended at
$1,299,300 and $1,720,000 for FY 2018-19 and
FY 2019-20, respectively.
Workers'Compensation
• The District's current excess workers'
compensation coverage has unlimited statutory
coverage per occurrence and $4 million
employer's liability with a self-insured retention of
$1 million per person per occurrence.
Section 7 - Page 1
2018-19 & 2019-20 Budget
Total of the Self-Insurance Programs
2016-17 2017-18 2017-18 2018-19 2019-20
DESCRIPTION OR ACCOUNT TITLE Actuals Budget Projected Proposed Proposed
Beginning Reserves $ 57,165,477 $ 56,681,100 $ 56,910,200 $ 57,544,100 $ 57,000,000
Revenues
In-Lieu Premiums 2,307,400 2,665,200 2,665,200 1,885,900 2,500,000
Miscellaneous Other Revenue 17,749 10,000 6,100 10,000 10,000
Service Department Allocation 18,696 18,700 18,700 20,000 20,000
Total Revenues 2,343,845 2,693,900 2,690,000 1,915,900 2,530,000
Expenses
Benefits/Claims 1,015,890 700,000 484,100 770,000 790,000
Contractual Services - - - - -
Legal Services 127,245 305,000 120,100 120,000 120,000
Professional Services 84,510 90,000 53,000 70,000 70,000
Subtotal 1,227,645 1,095,000 657,200 960,000 980,000
Policy Premium Expense 1,371,487 1,280,000 1,398,900 1,500,000 1,550,000
Total Expenses 2,599,132 2,375,000 2,056,100 2,460,000 2,530,000
Excess Revenue (Expenses) (255,287) 318,900 633,900 (544,100) -
Ending Reserves $ 56,910,190 $ 57,000,000 $ 57,544,100 $ 57,000,000 $ 57,000,000
Section 7 - Page 2
Self-Insurance Program
General Liability and Property Self-Insurance Program
2016-17 2017-18 2017-18 2018-19 2019-20
DESCRIPTION OR ACCOUNT TITLE Actuals Budget Projected Proposed Proposed
Beginning Reserves $ 55,252,299 $ 54,205,430 $ 54,445,800 $ 55,370,700 $ 55,000,000
Revenues
In-Lieu Premiums 1,111,100 2,110,870 2,110,900 1,299,300 1,720,000
Miscellaneous Other Revenue 17,749 - 6,100 10,000 10,000
Service Department Allocation 18,696 18,700 18,700 20,000 20,000
Total Revenues 1,147,545 2,129,570 2,135,700 1,329,300 1,750,000
Expenses
Benefits/Claims 674,613 100,000 4,300 350,000 360,000
Contractual Services - - - - -
Legal Services 81,434 130,000 4,400 40,000 40,000
Professional Services 27,165 25,000 - 10,000 10,000
S u btota I 783,212 255,000 8,700 400,000 410,000
Policy Premium Expense 1,170,860 1,080,000 1,202,100 1,300,000 1,340,000
Total Expenses 1,954,072 1,335,000 1,210,800 1,700,000 1,750,000
Excess Revenue (Expenses) (806,527) 794,570 924,900 (370,700) -
Ending Reserves $ 54,445,772 $ 55,000,000 $ 55,370,700 $ 55,000,000 $ 55,000,000
Section 7 - Page 3
2018-19 & 2019-20 Budget
Workers' Compensation Self-Insurance Program
2016-17 2017-18 2017-18 2018-19 2019-20
DESCRIPTION OR ACCOUNT TITLE Actuals Budget Projected Proposed Proposed
Beginning Reserves $ 1,913,178 $ 2,475,670 $ 2,464,400 $ 2,173,400 $ 2,000,000
Revenues
In-Lieu Premiums 1,196,300 554,330 554,300 586,600 780,000
Miscellaneous Other Revenue - 10,000 - - -
Transfer In - - - - -
Service Department Allocation - - - - -
Total Revenues 1,196,300 564,330 554,300 586,600 780,000
Expenses
Benefits/Claims 341,277 600,000 479,800 420,000 430,000
Contractual Services - - - - -
Legal Services 45,811 175,000 115,700 80,000 80,000
Professional Services 57,345 65,000 53,000 60,000 60,000
S u btota I 444,433 840,000 648,500 560,000 570,000
Policy Premium Expense 200,627 200,000 196,800 200,000 210,000
Total Expenses 645,060 1,040,000 845,300 760,000 780,000
Excess Revenue (Expenses) 551,240 (475,670) (291,000) (173,400) -
Ending Reserves $ 2,464,418 $ 2,000,000 $ 2,173,400 $ 2,000,000 $ 2,000,000
Section 7 - Page 4
CAPITAL IMPROVEMENTS
SECTION 8
Capital Improvement Program Overview
CIP BUDGET REQUEST SUMMARY 0 M-FE: Small Construction Projects Program
Each year, the Board of Directors, through their District staff has also validated all active and future
committee process, reviews and approves the Capital CIP projects to ensure that the project scopes of work
Improvement Program (CIP) prepared by staff for and cost estimates were up-to-date. Through the
both sewage collection system projects (collections) budget validation process, each project's schedule,
and the joint works treatment and disposal system staff resources, total project cost, cash flow and risks
projects. are assessed to confirm the budgetary requirements.
The validated CIP includes 68 active and future
CIP projects take several years to complete the capital projects, five programs, such as the Planning
planning, design and construction cycle. The Studies Program (M-Studies)and Small Construction
proposed budget for each project covers the life of the Program (M-FE), and budget for capital equipment
project. This budget is reevaluated each year for the purchases with a total CIP budget authority of $4.01
purpose of managing annual cash flows. Thus, many billion. The total CIP budget authority has decreased
of the projects in the CIP Budget for FY 2018-19 and by$108 million as compared to FY 2017-18 approved
2019-20 are continuing projects that were approved budget of$4.12 billion. The changes are summarized
in prior years. below:
In December 2017, the 2017 Facilities Master Plan FY2017-18 Approved Total CIP Budget Authority $4.12B
was adopted by the Board of Directors. The Master Net Changes:
Plan identified a phased 20-year program of capital New Projects $171 M
improvement projects that will allow the District to Closed/Cancelled Projects ($180M)
maintain reliability and accommodate future growth, Budget Changes for Active Projects ($94M)
as well as meet future regulatory requirements, level Budget Changes for Future Projects $51VI
108 M
of service goals, and strategic initiatives. FY2018-19 Proposed Total CIP Budget Authority $4.01 B
With this phased 20-year program as a starting point, Following is a table of the FY 2018-19 proposed CIP
the Asset Management Program within the Planning budget:
Division continues assessing the condition of the
District's existing assets and systems to ensure that FY 2018-19
these assets and systems can provide the necessary Description CIP Budget
level of service. The Planning Division continues Capital Improvement Program (CIP) $177.6M
reviewing and updating the ongoing and future CIP to Future Rehab& Replacement $14.3M
appropriately manage the risks associated with asset $191.9M
or system failure. Projects can be delayed, Less: Savings and Deferrals ($17,3M)
consolidated or rescoped to help ensure that the CIP Net CIP Outlay $174.5M
is delivered in the most efficient way possible. The
Asset Management Program will continue these The proposed 2018-19 and 2019-20 net CIP outlays
efforts and will continue to define the future CIP can be categorized by the location of the projects in
project requirements not currently included on the terms of wastewater treatment process, or by the
CIP list but are anticipated within the long-term reasons why the projects are needed, i.e. project
financial plan to ensure effective and efficient drivers. The charts showing the distribution of the
operations in the future. funds requested for FYs 2018-19 and 2019-20 are
shown on pages 5 and 7, respectively.
This year, five new projects are proposed for addition
to the 2018-20 budget. These are: The proposed net CIP outlays can also be
categorized by project phase or status. The following
• Project No. 3-67: Seal Beach Pump Station chart shows the net CIP outlays of projects in the
Replacement Planning, Design and Construction phases for FY
• Project No. 3-68: Los Alamitos Sub-Trunk 2018-19.
Extension
• Project No. P1-133: Primary Influent Splitter Box
Rehabilitation at Plant No. 1
• Project No. P2-133: B/C-Side Primary Clarifiers
Rehabilitation at Plant No. 2
Section 8— Page 1
2018-19 & 2019-20 Budget
Projected FY18-19 Net CIP Outlay OCSD's system includes approximately 396 miles of
by Project Status sewers that convey wastewater generated within the
Sanitation District's boundaries to the Sanitation
Design District's two wastewater treatment plants,
42% Reclamation Plant No. 1 located in the City of
Fountain Valley, and Treatment Plant No. 2 located in
11111Vthe City of Huntington Beach.
Planning Influent wastewater undergoes Preliminary
6% Construction Treatment upon entry to the treatment plants where it
52% is filtered through bar screens and grit and debris are
removed. It then flows to Primary Treatment, which
consists of large settling basins where solids are
Projects that are in the Planning phase make up settled out, enhanced by the addition of chemicals,
about 6% of the FY 2018-19 net CIP outlay. Projects and sent to solids processing. The wastewater then
in the Planning phase are planning or research flows to secondary treatment, which is a biological
studies that are mostly managed under the Planning process using either the trickling filter or activated
Studies Program, or M-Studies. sludge process. Solids removed in secondary
42% of the FY 2018-19 net CIP outlay will be for treatment are also sent to digestion.
projects that are in the Design phase. The three Methane gas generated during the natural
largest projects in the Design phase are decomposition of the solids in the digesters fuels the
Headquarters Complex and Site Security at Plant No. Central Power Generation System producing enough
1 (Project No. P1-128), Headworks Rehabilitation and electricity to meet two-thirds of the power needed to
Expansion at Plant No. 1 (Project No. P1-105), and run both treatment plants.
Bay Bridge Pump Station Replacement (Project No.
5-67)with projected expenditures of$10.5 million and Solids are then dewatered to a 20 percent solids
$12.4 million, $13M respectively in FY 2018-19. consistency, called biosolids, and recycled via direct
52%of the FY 2018-19 net CIP outlay will be spent in land application or composting.
construction. The four most significant construction Approximately 130 MGD of secondary effluent from
projects are the Consolidated Demolition and Utility Reclamation Plant No. 1 is sent to the Orange County
Improvements at Plant 2 (Project No. P2-110), Water District (OCWD) for recycling in its two
Sludge Dewatering and Odor Control at Plant 2 treatment systems.
(Project No. P2-92), Newhope-Placentia Trunk
Replacement (Project No. 2-72) and Sludge The first is OCWD's Groundwater Replenishment
Dewatering and Odor Control at Plant 1 (Project No. System (GWRS). The GWRS is the largest water
P1-101 with projected FY 2018-19 expenditures of purification project of its kind in the world and its
$11.3 million, $11.9 million, $13.5 million, and $16.7 construction was funded jointly by OCWD and OCSD.
million, respectively. At 100 million gallons per day, the GWRS generates
Following within this section are individual capital enough pure water to meet the needs of 850,000people.
improvement project detail sheets that have been
provided as a brief overview of each project, the The second is OCWD's Green Acres Project (GAP)
budget for the next five years, and the budget for the which is a water recycling effort that provides
total project. reclaimed water for landscape irrigation at parks,
schools and golf courses as well as for industrial
The Treatment Process: uses, such as carpet dying. The total annual demand
The Treatment Process Diagram on the following for GAP water is about four million gallons per day.
page illustrates the stages of wastewater treatment in Secondary effluent from Treatment Plant No. 2, as
relation to the flow of wastewater through the well as brine generated from the GWRS, is
treatment process. The icons in the legend are discharged into the ocean through our ocean outfall
shown as graphics in the individual CIP Detail Sheets systems.
to give the reader insight about where a project
correlates to the treatment process.
Section 8 - Page 2
Overview
Treatment Process Diagram Ocean
nO Outfall
Systems
Blend and
Pump to
Collections Headworks Primary Secondary Pi e n Outfall
Treatment Treatment p
,� o000 0 000 000
aSefllm � ettling
s� .�8asiri e2.in Basin
2 `."'. Reclamation
Incoming
wastewater SeawatN Hamer
tram Homes andMCI LanisCatte lglgahCi
Businesses o.c WaterDiseint
Rec"M"'on Piant
rr Electricity
Heat
Utility
Land Systems
Dewalering ► Application
Composting
I • I
Solids Handling & Digestion
Budget Legend Ocean Outfall Solids Handling
Systems ad & Digestion
Collections ♦ �� Strategic &
Facilities ♦♦ Others v�i�l Master Planning
T Equipment Primar Treatment
����� y � Support Facilities
Headworks ® Process Related y Systems
Special Projects NA]
Utility
Information Water Management
Management Systems Secondary Treatment ; Projects
Section 8 - Page 3
2018-19 & 2019-20 Budget
Project Summary FY 2018-19
Rehabilitation Strategic Additional Total
Item and Initiatives Capacity Regulatory Budget
Replacement Authority
Collections Facilities $ 24,282,943 $ 3,400,201 $ 14,062,189 $ 1,209,582 $ 42,954,915
Solids Handling&Digestion 24,363,030 304,086 8,340,897 - 33,008,013
Support Facilities 13,458,700 6,361,254 966,080 3,520,439 24,306,473
Utility Systems 16,704,908 - - - 16,704,908
Liquid Treatment:
Headworks 12,397,710 2,500,263 14,897,973
Ocean Outfall Systems 1,854,446 5,563,337 - 7,417,783
Primary Treatment 5,040,352 - 189,666 5,230,018
Secondary Treatment 3,522,391 - - 3,522,391
Liquid Treatment Total 22,814,899 8,063,600 189,666 - 31,068,165
Other:
Process Related Special Projects - - - 9,372,763 9,372,763
Strategic&Master Planning 2,819,087 1,950,687 704,772 1,761,930 7,236,476
Information Management Systems 4,162,036 1,926,443 - 867,988 6,956,467
Equipment 895,600 895,600 895,600 895,600 3,582,400
Research - 2,166,356 - - 2,166,356
Water Management Projects - 108,588 108,588
Others 105,711 - - - 105,711
Other Total 7,982,434 7,047,674 1,600,372 12,898,281 29,528,761
Grand Total $ 109,606,914 $ 25,176,815 $ 25,159,204 $ 17,628,302 $ 177,571,235
Section 8- Page 4
Summary of Capital Requirements - FY 2018-19
Solids Handling&Digestion
$33.0M
18.6%
Other Support Facilities
$29.5M 524.3M
16.6% 117%
Utility Systems
516.7M
1 9.4%
1
Liquid Treatment:
$31.1 M
17.5%
!C,!IlectosFacilities
$43.OM
24.2°o
Total FY 2018-19 Capital Improvement Authority by Process -$177.6 Million
Rehabilation and Replacement
$109.6M
61.7 40
Strategic Initiatives
$25.2M
14.2 9,0
4Aw
Regulatory Additional Capacity
$17.6M 525.2M
9.9% 14.2%
Total FY 2018-19 Capital Improvement Authority by CIP Driver - $177.6 Million
Section 8 - Page 5
2018-19 & 2019-20 Budget
Project Summary FY 2019-20
Rehabilitation Strategic Additional Total
Item and Initiatives Capacity Regulatory Budget
Replacement Authority
Collections Facilities $ 17,055,200 $ 4,905,705 $ 12,475,411 $ 4,747,780 $ 39,184,096
Solids Handling&Digestion 11,934,504 412,370 2,297,977 - 14,644,851
Support Facilities 13,523,377 6,057,081 794,541 983,110 21,358,109
Utility Systems 8,817,089 - - - 8,817,089
Liquid Treatment:
Ocean Outfall Systems 4,532,278 13,596,834 18,129,112
Secondary Treatment 10,449,181 - - 10,449,181
Primary Treatment 9,452,082 - 451,408 9,903,490
Headworks 7,505,074 2,300,703 - 9,805,777
Liquid Treatment Total 31,938,615 15,897,537 451,408 - 48,287,560
Other:
Information Management Systems 2,974,786 1,808,564 - 631,223 5,414,573
Process Related Special Projects - - - 4,431,775 4,431,775
Strategic&Master Planning 941,466 937,639 235,367 588,417 2,702,889
Equipment 618,650 618,650 618,650 618,650 2,474,600
Research - 1,315,161 - - 1,315,161
Others 219,498 7,241 226,739
Water Management Projects - 139,973 - - 139,973
Other Total 4,754,400 4,827,228 854,017 6,270,065 16,705,710
Grand Total $ 88,023,185 $ 32,099,921 $ 16,873,354 $ 12,000,955 $ 148,997,415
Section 8- Page 6
Summary of Capital Requirements - FY 2019-20
Solids Handling&Digestion Support Facilities
514.6M $21 AM
9.8`6 14.4%
Other: Utility Systems
S16.71VI $8.81VI
11.2°'0 5.9%
Collections Facilities
$39.2M
26-3%
Liquid Treatment:
$48.3M
32.4%
Total FY 2019-20 Capital Improvement Authority by Process -$149.0 Million
Rehabilation and Replacement
$88.OM
59.1 °'o
Strategic Initiatives
1 $32.1 M
21.5
Regulatory Additional Capacity
$12.OM 516.9M
8.1 % 11-3 010
Total FY 2019-20 Capital Improvement Authority by CIP Driver - $149.0 Million
Section 8- Page 7
2018-19 & 2019-20 Budget
Summary of Capital Requirement - Collection System Improvement Projects
Project Total Est.Cost 2018.19 2019.20
Project Phase Project to Date Cashflow Cashflow Future Budget
Number 711118 Budget 6130/18 Budget Budget Budget Status
Collections Facilities
Raitt&Bristol Street Sewer Extension 1-101 Planning $ 7,100,000$ 259,081 $ 135,408$ 242,828$ 6,462,683 Future
Edinger Bolsa Chica Trunk Impr. 11-25 Planning 5,159,000 5,159,000 Future
Edinger Pump Station Upgrade&Rehab 11-33 Planning 14,100,000 14,100,000 Future
Slater Avenue Pump Station Rehab 11-34 Planning 25,300,000 25,300,000 Future
SARI Rock Stabilizers Removal 2-41-8 Design 6,860,000 955,915 1,058,174 4,687,312 158,599 Continuing
Taft Branch Impr. 2-49 Planning 2,130,000 12,072 2,117,928 Future
Newhope-Placentia Trunk Grade Separation Repl. 2-65 Const./Impl. 4,300,000 4,199,401 100,599 Continuing
Newhope-Placentia Trunk Repl. 2-72 Const./Impl. 112,000,000 35,341,259 13,499,364 19,302,417 43,856,960 Continuing
Yorba Linda Pump Station Abandonment 2-73 Planning 10,800,000 10,800,000 Future
Tustin Rose OCTA Grade Separation 2-76 Const./Impl. 455,000 443,639 11,361 Revised
Beach Trunk/Knott Interceptor Sewer Relief 3-60 Planning 136,000,000 136,000,000 Future
Westminster Blvd Force Main Repl. 3-62 Design 54,000,000 5,208,834 3,356,135 3,002,218 42,432,813 Continuing
Rehab of Western Regional Sewers 3-64 Design 202,000,000 12,152,930 6,537,370 6,656,821 176,652,879 Revised
Interstate 405 Widening Project Impacts on OCSD 3-66 Design 528,000 172,102 39,448 60,468 255,982 Continuing
Sewers
Seal Beach Pump Station Repl. 3-67 Planning 78,900,000 485,556 1,214,803 77,199,641 New
Los Alamitos Sub-Trunk Extension 3-68 Planning 66,000,000 66,000,000 New
Newport Force Main Rehab 5-60 Const./Impl. 59,668,000 59,596,532 71,468 Continuing
Crystal Cove Pump Station Upgrade&Rehab 5-66 Planning 17,900,000 17,900,000 Future
Bay Bridge Pump Station Repl. 5-67 Design 64,000,000 844,567 13,047,597 3,622,954 46,484,882 Continuing
Newport Beach Pump Stations Pressurization Impr. 5-68 Planning 4,066,000 50,720 160,202 3,855,078 Continuing
District 6 Trunk Sewer Relief 6-17 Const./Impl. 7,965,000 5,055,366 2,886,772 22,862 Continuing
Gisler-Red Hill Trunk Impr.-Reach B 7-37 Const./Impl. 25,213,000 23,538,057 1,674,943 Continuing
MacArthur Pump Station Rehab 7-63 Planning 13,100,000 13,100,000 Future
Main Street Pump Station Rehab 7-64 Planning 60,400,000 60,400,000 Future
Gisler-Red Hill Interceptor Rehab 7-65 Planning 14,800,000 211,211 14,588,789 Future
Bay Bridge Pumpstation&Force Mains Rehab Study SP-178 Planning 725,000 725,000 Continuing
Collections Facilities Total Budget 993,469,000 148,504,755 42,954,915 39,184,096 762,825,234
Section 8-Page 8
Summary of Capital Requirements
Summary of Capital Requirement -Treatment System Improvement Projects
Project Total Est.Cost 2018-19 2019-20
Project Phase Project to Date Cashflow Cashflow Future Budget
Number 711118 Budget 6130/18 Budget Budget Budget Status
Equipment
Equipment Purchases Equipment Const./Impl. 9,593,700 3,536,700 3,582,400 2,474,600 Continuing
Equipment Total 9,593,700 3,536,700 3,582,400 2,474,600
Headworks
Headworks Rehab&Expansion at P1 P1-105 Design 370,000,000 10,880,664 12,397,710 7,505,074 339,216,552 Revised
Trunk Line Odor Control Impr. P1-123 Const./Impl. 9,299,000 9,250,501 48,499 Continuing
Headworks Modifications at P2 for GWRS Final P2-122 Design 54,000,000 2,614,865 2,451,764 2,300,703 46,632,668 Continuing
Expansion
Headworks Total 433,299,000 22,746,030 14,897,973 9,805,777 385,849,220
Primary Treatment
Primary Clarifiers Repl.s&Impr.at P1 P1-126 Planning 106,000,000 520,765 105,479,235 Revised
Primary Clarifiers 6-31 Reliability Impr.at P1 P1-133 Planning 21,500,000 379,331 902,815 20,217,854 New
B/C-Side Primary Clarifiers Rehab at P2 P2-133 Planning 249,560,000 249,560,000 New
Primary Treatment Rehab at P2 P2-98 Design 245,000,000 9,991,239 4,850,687 9,000,675 221,157,399 Revised
Primary Treatment Total 622,060,000 10,512,004 5,230,018 9,903,490 596,414,488
Secondary Treatment
Return Activated Sludge Piping Repl.at Activated P1-129 Design 7,900,000 588,673 697,946 5,970,017 643,364 Revised
Sludge P1
Activated Sludge Aeration Basin Deck Repair at P2 P2-118 Const./Impl. 2,800,000 1,317,535 1,376,540 105,925 Continuing
Return Activated Sludge Piping Repl.at Plant No 2 P2-123 Planning 12,750,000 394,235 1,447,905 4,373,239 6,534,621 Revised
Secondary Treatment Total 23,450,000 2,300,443 3,522,391 10,449,181 7,177,985
Solids Handling&Digestion
Digester Rehab at P1 P1-100 Const./Impl. 66,000,000 65,863,145 136,855 Revised
Sludge Dewatering&Odor Control at P1 P1-101 Const./Impl. 199,500,000 177,390,045 16,681,794 4,595,954 832,207 Revised
Interim Food Waste Receiving Facility P2-124 Planning 6,300,000 59,422 304,086 412,370 5,524,122 Revised
Digester P,Q,R,&S Repl. P2-129 Planning 166,000,000 166,000,000 Revised
P2 Digester Facilities Rehab P2-91-1 Planning 20,000,000 778,526 2,507,265 2,843,022 13,871,187 Revised
Sludge Dewatering&Odor Control at P2 P2-92 Const./Impl. 90,477,000 68,728,205 13,378,013 6,793,505 1,577,277 Continuing
Solids Handling&Digestion Total 548,277,000 312,819,343 33,008,013 14,644,851 187,804,793
Ocean Outfall Systems
Ocean Outfall System Rehab J-117 Design 166,000,000 21,999,936 7,417,783 18,129,112 118,453,169 Continuing
Ocean Outfall Systems Total 166,000,000 21,999,936 7,417,783 18,129,112 118,453,169
Utility Systems
UPS System Upgrades J-121 Planning 4,700,000 4,700,000 Future
Digester Gas Facilities Rehab J-124 Design 96,500,000 695,775 4,896,117 3,627,156 87,280,952 Continuing
Natural Gas Pipelines Repl.at P1&P2 J-127 Planning 1,310,000 42,308 65,178 359,943 842,571 Continuing
Section 8- Page 9
2018-19 & 2019-20 Budget
Summary of Capital Requirement - Treatment System Improvement Projects
Project Total Est.Cost 2018.19 2019.20
Project Phase Project to Date Cashflow Cashflow Future Budget
Number 711118 Budget 6130/18 Budget Budget Budget Status
Utility Systems
Electrical Power Distribution System Impr. J-98 Planning 34,608,000 55,370 285,913 1,393,714 32,873,003 Future
Central Generation Rehab at P1 P1-127 Planning 87,000,000 87,000,000 Continuing
Uninterruptable Power Supply Impr.at P1 P1-132 Planning 4,800,000 30,163 154,548 375,534 4,239,755 Continuing
Consolidated Demolition&Utility Impr.at P2 P2-110 Const./Impl. 31,000,000 16,564,396 11,303,152 3,060,742 71,710 Revised
Central Generation Rehab at P2 P2-119 Planning 114,000,000 114,000,000 Continuing
Utility Systems Total 373,918,000 17,388,012 16,704,908 8,817,089 331,007,991
Process Related Special Projects
Safety Impr.Program J-126 Design 19,000,000 5,195,462 9,372,763 4,431,775 Continuing
Process Related Special Projects Total 19,000,000 5,195,462 9,372,763 4,431,775
Information Management Systems
Process Control Systems Upgrades J-120 Planning 46,000,000 239,864 45,760,136 Future
Project Mgmt.Information System J-128 Planning 4,000,000 876,706 1,668,647 1,454,647 Continuing
Information Technology Capital Program M-MC-IT Const./Impl. 10,000,000 1,230,667 515,592 707,833 7,545,908 Continuing
SCADA System&Network Upgrades P2-107 Design 5,000,000 3,668,180 1,299,323 32,497 Continuing
EAM Software&Process Implementation SP-100 Const./Impl. 7,500,000 5,015,163 941,955 1,178,517 364,365 Continuing
Geographic Information System SP-15 Const./Impl. 4,568,000 3,068,789 867,988 631,223 Revised
Process Control Systems Upgrades Study SP-196 Planning 3,554,000 721,046 1,662,962 1,169,992 Continuing
Information Management Systems Total 80,622,000 14,580,551 6,956,467 5,414,573 53,670,409
Strategic&Master Planning
Planning Studies Program M-STUDIES Planning 28,652,000 13,799,868 7,047,719 2,353,667 5,450,746 Continuing
Climate Resiliency Study SP-152 Planning 590,000 52,021 188,757 349,222 Continuing
Strategic&Master Planning Total 29,242,000 13,851,889 7,236,476 2,702,889 5,450,746
Water Management Projects
GWRS Final Expansion Coordination J-36-2 Planning 1,132,000 122,302 108,588 139,973 761,137 Continuing
Water Management Projects Total 1,132,000 122,302 108,588 139,973 761,137
Research
Research Program M-RESEARCH Planning 8,500,000 952,490 2,166,356 1,315,161 4,065,993 Revised
Research Total 8,500,000 952,490 2,166,356 1,315,161 4,065,993
Support Facilities
18350 Mt.Langley St.Building Purchase&Improvement J-131 Planning 11,000,000 9,752,410 126,931 435,786 684,873 Revised
Small Construction Projects Program M-FE Const./Impl. 55,000,000 12,333,994 9,660,804 7,945,406 25,059,796 Revised
Operations&Maintenance Capital Program M-SM-CAP Design 15,622,000 579,285 930,125 2,033,358 12,079,232 Continuing
Title 24 Access Compliance&Building Rehab Project P1-115 Const./Impl. 18,400,000 15,657,072 2,554,359 188,569 Revised
P1-128 Headquarters Complex&Site Security at P1 P1-128 Design 179,067,000 2,460,949 10,536,486 9,653,508 156,416,057 Continuing
Section 8-Page 10
Summary of Capital Requirements
Summary of Capital Requirement -Treatment System Improvement Projects
Project Total Est.Cost 2018-19 2019-20
Project Phase Project to Date Cashflow Cashflow Future Budget
Number 711118 Budget 6130/18 Budget Budget Budget Status
Support Facilities
P2 Warehouse Relocation P2-126 Planning 9,800,000 497,768 195,424 9,106,808 Continuing
P2 Collections Yard Relocation P2-127 Planning 1,840,000 1,840,000 Revised
TPAD Digester Facility at P2 P2-128 Planning 405,100,000 906,058 404,193,942 Revised
Support Facilities Total 695,829,000 40,783,710 24,306,473 21,358,109 609,380,708
Others
Banning Gate Relocation&Grading at P2 P2-120 Planning 2,931,000 7,241 2,923,759 Continuing
Perimeter Screening at P2 P2-125 Planning 2,800,000 39,553 105,711 219,498 2,435,238 Continuing
Capital Improvement Program Mgmt.Services SP-195 Planning 300,000 70,630 229,370 Continuing
Others Total 6,031,000 110,183 105,711 226,739 5,588,367
Total Treatment and Disposal Projects 3,007,360,000 463,362,355 131,033,920 107,338,719 2,305,625,006
Total Collections Facilities 993,469,000 148,504,755 42,954,915 39,184,096 762,825,234
Capital Equipment Purchases 9,593,700 3,536,700 3,582,400 2,474,600
Total Capital Improvement Program Budget $4,010,422,700 $615,403,810 $177,571,235 $148,997,415 $3,068,450,240
Section 8- Page 11
2018-19 & 2019-20 Budget
Project Name&Number Raitt and Bristol Street Sewer Extension - 1-101
Project Category Collections Facilities Project Status: Future
Description
This project will replace 2,360 linear feet of 21-inch City of Santa Ana sewer with a 24-inch
Sanitation District's sewer line and a parallel 8-inch City of Santa Ana sewer line to allow for
redirecting all house lateral connections.The sewer line is located along Myrtle Street, between
Raitt and Bristol Streets in the City of Santa Ana.
vvv�v
Collections
Facilities
Justification
This project was identified in the 2006 Strategic Plan Update and is needed to reduce the potential for minor surcharging in the
Lower Bristol Trunk during major storm events.
The project budget has been decreased from$13,622,000 to$7,100,000. The reduced budget is a result of changes in the
project elements as determined in the 2017 Facilities Master Plan. The project's construction cost is$3,970,000. The impacts to
operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 255,168 38,884 39,039 1,556 334,647
Prelim Design 104,426 14,790 119,216
Design 3,610 196,190 387,392 131,708 718,900
Construction 303 247,842 4,361,816 4,609,961
Commissioning 79,474 79,474
Close-out 19,868 19,868
Contingency 96,524 99,363 1 115,599 135,056 162,638 1 608,754 1,217,934
Total 259,081 135,408 242,828 328,135 522,448 542,188 5,069,912 7,100,000
Reimbursable Costs: N/A
Section 8-Page 12
CIP Project Detail Sheets
Project Name& Number Edinger Bolsa Chica Trunk Improvements - 11-25
Project Category Collections Facilities Project Status: Future
Description
The scope of this project includes increasing the size of approx. 4,000 linear feet of Edinger Bolsa
Chica Trunk from 12-inches to 15-inches. The project is located in Bolsa Chica Street from
Robinwood Drive, north to Bolsa Avenue in the City of Huntington Beach.
wv
Collections
Facilities
Justification
The need for this project was identified in the 2006 Strategic Plan Update. These improvements will accommodate changing flow
patterns due to planned development strategies, economic influences, and potential wet weather surcharges.
The project's construction cost is$3,010,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 60,153 60,153
Prelim Design 90,250 90,250
Design 541,498 541,498
Construction 3,489,698 3,489,698
Commissioning 60,165 60,165
Close-out 15,042 15,042
Contingency 902,194 902,194
Total 5,159,000 5,159,000
Reimbursable Costs: N/A
Section 8-Page 13
2018-19 & 2019-20 Budget
Project Name& Number Edinger Pump Station Upgrade and Rehabilitation - 11-33
Project Category Collections Facilities Project Status: Future
Description
The purpose of the Edinger Pump Station Rehabilitation Project is to execute the conceptual
design plan that is currently being developed as a result of the study by the same name.This
project will rehabilitate the Edinger Pump Station to improve the condition of the structures and the
mechanical piping and support systems. The electrical and controls system will also be updated.
wv
Collections
Facilities
Justification
Edinger Pump Station was originally constructed in 1968. Although the pumps have recently been replaced,the control systems
are rapidly becoming obsolete and the facility is relatively dangerous to access. The electrical system does not comply with
current codes.
The project budget has been increased from$8,880,000 to$14,100,000. The increased budget is needed based on escalation of
costs associated with delaying the project as determined in the 2017 Facilities Master Plan. The project's construction cost is
$7,640,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 120,868 31,938 152,806
Prelim Design 229,235 229,235
Design 1,757,480 1,757,480
Construction 9,398,696 9,398,696
Commissioning 152,837 152,837
Close-out 152,825 152,825
Contingency 2,256,121 2,256,121
Total 120,868 13,979,132 14,100,000
Reimbursable Costs: N/A
Section 8-Page 14
CIP Project Detail Sheets
Project Name& Number Slater Avenue Pump Station Rehabilitation - 11-34
Project Category Collections Facilities Project Status: Future
Description
This project will rehabilitate the existing Slater Avenue Pump Station to meet current building,
electrical and safety codes, and OCSD design standards, and to extend the useful life of the pump
station. In addition to the improvements to the pump station, both force mains currently serving this
pump station will be rehabilitated.
wv
Collections
Facilities
Justification
Slater Avenue Pump Station was constructed in the late 1990s and needs rehabilitation to maintain the pump station's reliability in
the coming decades. The electrical system does not meet current building code requirements. The ductile iron force mains, one
of which was constructed with the original Slater Avenue Pump Station, are aging and need to be rehabilitated.
The project budget has been increased from$9,729,000 to$25,300,000. The increased budget is needed based on changes in
the project elements as determined in the 2017 Facilities Master Plan. The project's construction cost is$13,680,000. This project
will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 273,657 273,657
Prelim Design 410,488 410,488
Design 3,147,049 3,147,049
Construction 16,829,872 16,829,872
Commissioning 273,648 273,648
Close-out 273,657 273,657
Contingency 4,091,629 4,091,629
Total 25,300,000 25,300,000
Reimbursable Costs: N/A
Section 8-Page 15
2018-19 & 2019-20 Budget
Project Name& Number SARI Rock Stabilizers Removal - 2-41-8
Project Category Collections Facilities Project Status: Continuing
Description
This project involves the removal and disposal of approximately 22,000 tons of rip rap rocks from
within sensitive habitat in the Santa Ana River bed between the Green River Golf Course and Weir
Canyon Road in Yorba Linda.The work also includes the restoration and mitigation of temporary
gravel access roads.
wv
Collections
Facilities
Justification
This is a condition of the emergency permits issued by the US Army Corps of Engineers over the years for temporarily protecting
the SARI line.
The project's construction cost is$4,160,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 338,018 338,018
Prelim Design 323,096 323,096
Design 244,970 11,041 256,011
Construction 3,801 846,051 3,980,533 4,830,385
Commissioning
Close-out 28,016 28,016
Contingency 46,029 201,082 678,763 158,599 1,084,473
Total 955,915 1,058,174 4,687,312 158,599 6,860,000
Reimbursable Costs: 161,214
Section 8-Page 16
CIP Project Detail Sheets
Project Name& Number Taft Branch Improvements - 2-49
Project Category Collections Facilities Project Status: Future
Description
The purpose of this project is to increase the capacity of a portion of the Taft Branch regional sewer.
The project includes replacing approximately 9,500 feet of 12-inch to 18-inch pipe with 15-inch to
24-inch diameter pipe along both Taft and Meats Avenues in the City of Orange.
wv
Collections
Facilities
Justification
This project was identified in the 2006 Strategic Plan Update. These improvements will accommodate changing flow patterns due
to planned development strategies, economic influences, and potential wet weather surcharges.
The project budget has been increased from$1,928,000 to$2,130,000. The increased budget is needed based on changes in the
project elements as determined in the 2017 Facilities Master Plan. The project's construction cost is$1,230,000. This project will
not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 9,375 24,690 34,065
Prelim Design 37,032 37,032
Design 2,697 222,207 224,904
Construction 1,431,974 1,431,974
Commissioning 24,697 24,697
Close-out 6,174 6,174
Contingency 371,154 371,154
Total 12,072 2,117,928 2,130,000
Reimbursable Costs: N/A
Section 8-Page 17
2018-19 & 2019-20 Budget
Project Name& Number Newhope-Placentia Trunk Grade Separation Replacement - 2-65
Project Category Collections Facilities Project Status: Continuing
Description
This project will replace a section of the OCSD's Newhope-Placentia Trunk and Wastewater
Disposal Company Sewers in State College Boulevard between Orangethorpe and
Commonwealth. The project is being done with the City of Fullerton as part of a railroad grade
separation project.
wv
Collections
Facilities
Justification
The existing sewers need to be relocated to accommodate the undergrounding of State College Boulevard below the railroad
tracks at the intersection of Valencia Drive and State College Boulevard . These improvements will also accommodate the
projected increases in flow for this section of sewer from planned developments and growth and be designed to convey potential
wet weather surcharges. The project is anticipated to be constructed by the City of Fullerton's contractor performing the roadwork
under the railroad. The original project and budget were to upsize a large stretch of sewer that will be hydraulically deficient. The
remaining portion of the sewer upsizing was re-budgeted under a new CIP project.
The project's construction cost is$3,170,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 103,062 103,062
Prelim Design 64,933 64,933
Design 313,041 313,041
Construction 3,653,607 3,653,607
Commissioning
Close-out 13,786 9,009 22,795
Contingency 50,972 91,590 142,562
Total 4,199,401 100,599 4,300,000
Reimbursable Costs: N/A
Section 8-Page 18
CIP Project Detail Sheets
Project Name& Number Newhope-Placentia Trunk Replacement - 2-72
Project Category Collections Facilities Project Status: Continuing
Description
This project will increase the size of approx. 35,000 feet of the Newhope-Placentia Trunk sewer
from Yorba Linda Boulevard to Orangewood Avenue. The upsized sewer will accommodate flows
from the newly abandoned Yorba Linda Pump Station and the newly interconnected Atwood Sub-
trunk. The scope also includes rehabilitating five sections of the Rolling Hill Sub trunk, and
abandoning any remaining portion of the wastewater disposal company sewer alignment not used
for the new pipeline. �v
Collections
Facilities
Justification
This section of the Newhope-Placentia Trunk Sewer was originally constructed in 1961. These improvements will accommodate
the projected flow increases due to the abandonment of the aging Yorba Linda Pump Station, increase capacity in a short portion
of the Rolling Hills Sub-trunk that is undersized when burdened by 2030 wet weather flows, and increase operational flexibility of
the collection system.
The project's construction cost is$79,460,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 132,601 132,601
Prelim Design 6,033,652 6,033,652
Design 4,506,048 379,446 4,885,494
Construction 24,198,835 12,280,833 17,457,161 18,336,097 17,741,675 90,014,601
Commissioning
Close-out 4,765 14,774 12,924 8,082 244,056 73,276 357,877
Contingency 465,358 824,311 1,832,332 2,794,834 3,857,972 800,968 10,575,775
Total 35,341,259 13,499,364 19,302,417 21,139,013 21,843,703 874,244 112,000,000
Reimbursable Costs: N/A
Section 8-Page 19
2018-19 & 2019-20 Budget
Project Name& Number Yorba Linda Pump Station Abandonment - 2-73
Project Category Collections Facilities Project Status: Future
Description
This project will abandon the Yorba Linda Pump Station and downstream force main. Gravity
sewers located in Yorba Linda Boulevard will also be reconfigured to improve access to the facilities
for maintenance. Flows which are currently being pumped by the Yorba Linda Pump Station east
will be conveyed by gravity through the newly upsized Newhope-Placentia Trunk located in State
College Boulevard to the west.
wv
Collections
Facilities
Justification
The Yorba Linda Pump Station was built, in part, to convey flow away from undersized gravity sewers located in State College
Boulevard. Land development in the vicinity necessitates the upsizing of the same gravity sewers and the project to do so is
currently in design. When complete the pump station will no longer be needed. Also,the pump station is rapidly aging and does
not meet current electrical and safety codes. Costly rehabilitation would be necessary for the pump station to remain in service.
The project budget has been increased from$7,053,000 to$10,800,000. The increased budget is needed based on escalation of
costs associated with delaying the project as determined in the 2017 Facilities Master Plan. The project's construction cost is
$5,840,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 85,034 31,834 116,868
Prelim Design 155,470 19,842 175,312
Design 49,543 1,294,480 1,344,023
Construction 7,187,605 7,187,605
Commissioning 116,872 116,872
Close-out 116,870 116,870
Contingency 24,331 153,501 1,564,618 1,742,450
Total 109,365 390,348 10,300,287 10,800,000
Reimbursable Costs: N/A
Section 8-Page 20
CIP Project Detail Sheets
Project Name& Number Tustin Rose OCTA Grade Separation - 2-76
Project Category Collections Facilities Project Status: Revised
Description
This project will provide construction costs and staff support costs for the realignment of an OCSD
trunkline as part of Orange County Transit Authority's(OCTA)Grade Separation Project at the
intersection of Tustin Avenue/Rose Drive and Orangethorpe Avenue.
wv
Collections
Facilities
Justification
The Orange County Transportation Authority(OCTA)will construct a vehicle overpass at the intersection of Tustin Avenue/Rose
Drive and Orangethorpe Avenue, along the Burlington Northern Santa Fe railroad track. An OCSD trunkline will need to be
relocated as part of the project. The design of relocating OCSD's trunkline is complete and was paid for by OCTA.
The project budget has been decreased from$586,000 to$455,000. The reduced budget is a result of an updated estimate to
complete the work based on project closeout and release of contingency. The project's construction cost is$300,000. This project
will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev
Prelim Design
Design
Construction 424,270 424,270
Commissioning 15,906 5,300 21,206
Close-out 715 1,570 2,285
Contingency 2,749 4,491 7,240
Total 443,639 11,361 455,000
Reimbursable Costs: N/A
Section 8-Page 21
2018-19 & 2019-20 Budget
Project Name& Number Beach Trunk/Knott Interceptor Sewer Relief - 3-60
Project Category Collections Facilities Project Status: Future
Description
The purpose of this project is to increase the capacity of numerous OCSD regional sewers located
in the City of Buena Park. The project consists of the following potential capacity improvements
projects: 1)upsize 11,100 feet of 39 to 45-inch pipe along Knott Avenue from Orangethorpe Avenue
to Artesia Boulevard, East to Kingman, and North to Dobbs Avenue, and 2)upsize 9,800 feet of 24
to 36-inch along Knott Avenue from 8th Street north to Artesia Boulevard and then east to Dale
Street. Portions of the pipe within the project limits will be rehabilitated with a structural liner and �v
aging manholes will also be rehabilitated.
Collections
Facilities
Justification
The need for this project was identified in the 2006 Strategic Plan Update. These improvements will accommodate changing flow
patterns due to planned development strategies, economic influences, and potential wet weather surcharges. The facilities are
also aging and need to be rehabilitated.
The project budget has been increased from$118,678,000 to$136,000,000. The increased budget is needed based on an
updated estimate to complete the work. The project's construction cost is$84,030,000. This project will not have an impact on
operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 369,750 369,750
Prelim Design 66,072 1,194,432 1,260,504
Design 11,764,769 11,764,769
Construction 96,639,133 96,639,133
Commissioning 840,341 840,341
Close-out 214,287 214,287
Contingency 170,822 24,740,394 24,911,216
Total 606,644 135,393,356 136,000,000
Reimbursable Costs: N/A
Section 8-Page 22
CIP Project Detail Sheets
Project Name& Number Westminster Blvd Force Main Replacement - 3-62
Project Category Collections Facilities Project Status: Continuing
Description
This project will replace the two existing Westminster Blvd force mains that extend along
Westminster Blvd for almost 3 miles from Seal Beach Blvd in the City of Seal Beach to Rancho Rd
in the City of Westminster. The exiting siphons near Rancho Rd will be slip lined to extend the
force main to terminate at an existing discharge structure.A Midway City Sanitation District(MCSD)
sewer will be re-routed and extended to a downstream OCSD manhole.
wv
Collections
Facilities
Justification
The pump station currently operates with just one of two force mains, a 42"ductile iron pipe that has no cathodic protection
system. The other force mains is reinforced plastic mortar pipe in danger of failing and cannot be placed back into operation, thus
eliminating operational redundancy. This project will replace the existing Westminster Blvd force mains to provide adequate
redundancy and increase capacity to handle the new predicted peak wet weather flow of 34 MGD.
The project's construction cost is$34,800,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 199,656 199,656
Prelim Design 4,862,940 4,862,940
Design 56,249 2,972,275 1,062,696 4,091,220
Construction 77 1,452,550 14,859,308 15,733,183 6,524,599 38,569,717
Commissioning 63,337 238,984 137,030 439,351
Close-out 425,012 425,012
Contingency 89,911 383,860 486,972 994,431 1,818,281 1,472,521 166,127 5,412,103
Total 5,208,834 3,356,135 3,002,218 15,917,076 17,790,448 8,559,162 166,127 54,000,000
Reimbursable Costs: N/A
Section 8-Page 23
2018-19 & 2019-20 Budget
Project Name& Number Rehabilitation of Western Regional Sewers - 3-64
Project Category Collections Facilities Project Status: Revised
Description
The project will replace or rehabilitate a significant portion of the sewers and manholes located in
Revenue Area 3. The extent of the rehabilitation/replacement effort includes Orange Western Sub-
Trunk and Knott Avenue Collector; (19,202 feet) ,the Los Alamitos Sub-Trunk; (34,392 feet), and
the Westside Relief Interceptor pipeline; (33,164 feet). These sewers are located primarily within
public rights of way except for a few segments within Sanitation Districts'easements in the Cities of
Rossmoor(Unincorporated Areas of County of Orange), Seal Beach, Los Alamitos, Cypress,
�v
Anaheim, Buena Park and La Palma.
Collections
Facilities
Justification
Most of the sewers were originally constructed in late 1950's and early 1960's.The estimated life of this type of pipe is 40 to 50
years. During routine cleaning of the sewer, it has been noted that the sewer liner had significant defects and the joints are
allowing significant amounts of groundwater into the sewers. The area has a high groundwater level that can contribute to the
formation of sink holes if sediments are allowed to continue to be washed into the sewer through the failed joints and cracks.
Upsizing the Westside Relief Interceptor will provide capacity for future flows projected from redevelopment and inflow in the City
of Cypress.
The project budget has been decreased from$217,069,000 to$202,000,000. The reduced budget is a result of changes in the
project elements identified from recent engineering efforts. The project's construction cost is$132,800,000. This project will not
have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 489,057 44 489,101
Prelim Design 11,298,267 3,179,596 14,477,863
Design 187,153 2,439,937 4,312,280 625,001 7,564,371
Construction 8,509 654,816 18,377,134 27,375,471 28,701,472 76,761,285 151,878,687
Commissioning
Close-out 41,742 59,467 110,319 182,653 394,181
Contingency 128,202 917,837 1,689,725 1,950,083 3,669,118 4,825,729 14,015,103 27,195,797
Total 12,152,930 6,537,370 6,656,821 20,952,218 31,104,056 33,637,520 90,959,085 202,000,000
Reimbursable Costs: N/A
Section 8-Page 24
CIP Project Detail Sheets
Project Name& Number Interstate 405 Widening Project Impacts on OCSD Sewers - 3-66
Project Category Collections Facilities Project Status: Continuing
Description
This project will provide reimbursement for staff support for the realignment/conflicts of District
facilities as part of Orange County Transit Authority's(OCTA) proposed widening of the Interstate
405(1-405)between State Route 73 and Interstate 605.
wv
Collections
Facilities
Justification
In partnership with the California Department of Transportation (CalTrans),the Orange County Transportation Authority(OCTA)
proposes to widen the Interstate 405(1-405)between State Route 73 and Interstate 605.This project will require relocation of
existing District facilities. Eight utility agreements provide the terms for 22 District facility conflicts and reimbursement up to
$427,151.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 116,877 116,877
Prelim Design
Design 40,032 40,032
Construction 12,399 18,066 23,935 24,623 10,452 89,475
Commissioning
Close-out 27,298 190 27,488
Contingency 2,794 21,382 36,533 53,862 70,640 68,917 254,128
Total 172,102 39,448 60,468 78,485 108,390 69,107 528,000
Reimbursable Costs: N/A
Section 8-Page 25
2018-19 & 2019-20 Budget
Project Name& Number Seal Beach Pump Station Replacement - 3-67
Project Category Collections Facilities Project Status: New
Description
This project will replace the existing Seal Beach Pump Station on the existing site and demolish the
old pump station when the new one is complete. The new pump station will have a deeper wet well
to allow gravity flow from the future extension of the Los Alamitos Sub-Trunk from the West Side
Pump Station to the Seal Beach Pump Station, thus allowing the West Side Pump Station to be
abandoned. Extension of the Los Alamitos Sub-Trunk and abandonment of the West Side Pump
Station is budgeted under Los Alamitos Sub-Trunk Extension, Project No. 3-68. The project will �v
also include odor control improvements of vapor-phase and liquid-phase treatment at the pump
station to minimize both upstream and downstream odors and corrosion.
Collections
Facilities
Justification
The existing Seal Beach Pump Station is in need of extensive rehabilitation due to age and condition. A life-cycle cost evaluation
determined that the most cost effective alternative is to replace the existing pump station on site to allow extension of the Los
Alamitos Sub-Trunk by gravity and abandonment of the West Side Pump Station.
The project's construction cost is$42,660,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 453,774 399,323 853,097
Prelim Design 542,310 737,348 1,279,658
Design 1,820,788 4,157,259 3,832,641 9,810,688
Construction 639,960 51,825,871 52,465,831
Commissioning 853,091 853,091
Close-out 853,105 853,105
Contingency 31,782 273,170 618,921 1,004,223 1,407,674 9,448,760 12,784,530
Total 485,556 1,214,803 3,177,057 5,161,482 5,880,275 62,980,827 78,900,000
Reimbursable Costs: N/A
Section 8-Page 26
CIP Project Detail Sheets
Project Name& Number Los Alamitos Sub-Trunk Extension - 3-68
Project Category Collections Facilities Project Status: New
Description
This project will extend the Los Alamitos Sub-trunk by gravity from the Westside Pump Station to
the new, deeper Seal Beach Pump Station to be constructed under Seal Beach Pump Station
Replacement, Project No.3-67. It will also abandon the existing Westside Pump Station.
wv
Collections
Facilities
Justification
Extension of this section of gravity sewer will allow the Westside Pump Station to be abandoned when it reaches the end of its
useful life, at which point it would require replacement on a different site.
The project's construction cost is$40,770,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 179,365 179,365
Prelim Design 611,493 611,493
Design 5,707,286 5,707,286
Construction 46,881,256 46,881,256
Commissioning 407,665 407,665
Close-out 103,951 103,951
Contingency 12,108,984 12,108,984
Total 66,000,000 66,000,000
Reimbursable Costs: N/A
Section 8-Page 27
2018-19 & 2019-20 Budget
Project Name& Number Newport Force Main Rehabilitation - 5-60
Project Category Collections Facilities Project Status: Continuing
Description
This project will rehabilitate approximately 28,000 feet of the Newport Force Main system located
on Pacific Coast Highway in Newport Beach between the Bitter Point Pump Station and Dover
Drive.The force main system consists of two parallel, interconnected pipelines,varying in size from
22 to 36 inches. More than half of the force main system will be rehabilitated rather than replaced
to minimize impacts to the community, businesses,tourism and the environment.
wv
Collections
Facilities
Justification
The force main system has reached the end of its useful life. Rehabilitation and replacement is necessary because the force main
system is more than 50 years old and has experienced multiple structural failures due to corrosion since 1984.
The project's construction cost is$46,200,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 1,224,529 1,224,529
Prelim Design 2,364,482 2,364,482
Design 1,658,807 1,658,807
Construction 53,635,489 71,468 53,706,957
Commissioning 376,321 376,321
Close-out 336,903 336,903
Contingency
Total 59,596,532 71,468 59,668,000
Reimbursable Costs: N/A
Section 8-Page 28
CIP Project Detail Sheets
Project Name& Number Crystal Cove Pump Station Upgrade and Rehabilitation - 5-66
Project Category Collections Facilities Project Status: Future
Description
This project will rehabilitate the existing Crystal Cove Pump Station to maintain compliance with
electrical and safety codes, and to restore the condition of the aging facility. The project also
consists of rehabilitating the two 8-inch ductile iron force mains. The existing gravity system in the
vicinity of the pump station, located in Pacific Coast Highway, will also be assessed and
rehabilitated as needed.
vv�i�V
wv
Collections
Facilities
Justification
The Pump Station was originally constructed in 1995 and needs rehabilitation to maintain the pump station's reliability in the
coming decades. The electrical system does not meet current code requirements. The control system is out of date and does not
meet OCSD standards. The force mains are not currently protected from corrosion.
The project budget has been increased from$10,882,000 to$17,900,000. The increased budget is needed based on changes in
the project elements as determined in the 2017 Facilities Master Plan. The project's construction cost is$9,660,000. This project
will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 193,168 193,168
Prelim Design 289,755 289,755
Design 2,221,441 2,221,441
Construction 11,879,873 11,879,873
Commissioning 193,167 193,167
Close-out 193,167 193,167
Contingency 2,929,429 2,929,429
Total 17,900,000 17,900,000
Reimbursable Costs: N/A
Section 8-Page 29
2018-19 & 2019-20 Budget
Project Name& Number Bay Bridge Pump Station Replacement - 5-67
Project Category Collections Facilities Project Status: Continuing
Description
This project will replace the existing Bay Bridge Pump Station to meet current building, electrical,
and safety codes and OCSD design standards. The Bay Bridge Pump Station associated force
mains will also be replaced. The force mains to be replaced extend from Bay Bridge Pump Station
to a valve box on the west side of Upper Newport Bay.
wv
Collections
Facilities
Justification
The Bay Bridge Pump Station was originally constructed in 1966. The pumping systems are aging, and have control systems that
are rapidly becoming obsolete, all require additional attention from maintenance staff. Also,the existing pumping station does not
comply with current electrical and safety codes. The force mains have reached the end of their expected life and the risk of
failure will increase if not addressed.
The project's construction cost is$27,060,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 433,735 433,735
Prelim Design 309,792 3,030,107 120,329 3,460,228
Design 58,245 9,683,780 2,791,835 2,193,724 14,727,584
Construction 1,774 2,378,251 17,371,467 14,433,056 2,438,881 36,623,429
Commissioning 141,360 481,310 210,245 832,915
Close-out 143,076 270,978 414,054
Contingency 41,021 333,710 710,790 986,577 1,624,005 2,132,229 1,679,723 7,508,055
Total 844,567 13,047,597 3,622,954 5,558,552 19,136,832 17,189,671 4,599,827 64,000,000
Reimbursable Costs: N/A
Section 8-Page 30
CIP Project Detail Sheets
Project Name& Number Newport Beach Pump Stations Pressurization Improvements - 5-68
Project Category Collections Facilities Project Status: Continuing
Description
This project will address the ventilation issues that causes odorants to migrate to unwanted areas
at the Newport Beach collections system pump stations. It will also provide odor control at selected
pump stations and gravity lines in the Newport Beach collections system.
wv
Collections
Facilities
Justification
This will reduce corrosion at the pump stations, reduce odor complaints, and allow the onsite bathrooms to be used.
The project's construction cost is$2,030,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 31,697 9,001 40,698
Prelim Design 56,447 4,597 61,044
Design 28,200 275,651 164,152 468,003
Construction 622,204 1,880,585 2,502,789
Commissioning 3,020 37,679 40,699
Close-out 40,697 40,697
Contingency 19,023 66,554 125,028 204,371 339,650 157,444 912,070
Total 50,720 160,202 405,276 993,747 2,298,611 157,444 4,066,000
Reimbursable Costs: N/A
Section 8-Page 31
2018-19 & 2019-20 Budget
Project Name& Number District 6 Trunk Sewer Relief - 6-17
Project Category Collections Facilities Project Status: Continuing
Description
This project is to increase the capacity, rehabilitate and perform access improvements for the
District 6 Trunk sewer.The existing 3,700 feet of 12-inch through 18-inch pipeline runs west of
Pomona, southerly to 16th Street, to Newport Boulevard, and southerly along Newport Boulevard
towards Coast Highway in the Cities of Costa Mesa and Newport Beach. Portions of the sewer that
are not being increased in size are being rehabilitated so the life of this sewer will be extended by
30 years. Combined into this work are Maintenance access improvements for OCSD personnel. �v
Collections
Facilities
Justification
The need for this project was identified in the January 2006 Draft Strategic Plan Update. Based on current flow projections and
hydraulic modeling,this project is needed to reduce the potential for surcharging and sewer spills due to projected increase in flow
from planned developments and growth. Investigations during preliminary design also revealed the that segments not being up-
sized, required rehabilitation and maintenance access improvements.
The project's construction cost is$3,700,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 70,429 70,429
Prelim Design 442,648 442,648
Design 1,461,047 1,461,047
Construction 2,856,213 1,799,284 4,655,497
Commissioning 6,985 9,714 16,699
Close-out 77,319 77,319
Contingency 218,043 1,000,455 22,862 1,241,360
Total 5,055,366 2,886,772 22,862 7,965,000
Reimbursable Costs: N/A
Section 8-Page 32
CIP Project Detail Sheets
Project Name& Number Gisler-Red Hill Trunk Improvements-Reach B - 7-37
Project Category Collections Facilities Project Status: Continuing
Description
This project will replace a section of the existing sewer and rehabilitate other reaches in the Gisler-
Redhill System. This will include installing larger diameter pipelines, providing interties, new
diversion settings, sliplining and relining manholes.The project includes repairs of up to 13,200 feet
along Redhill Avenue in the Cities of Santa Ana, Tustin and Irvine.
wv
Collections
Facilities
Justification
This section of the Gisler-Redhill System was originally built in the 1960's. Based on hydraulic analysis and condition
assessments of the pipes, a new replacement section of pipeline and rehabilitation of other sections are needed.To
accommodate near-term future flows the project will also reset several diversions to accommodate new flows.
The project's construction cost is$17,720,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 15,006 15,006
Prelim Design 293,306 293,306
Design 3,089,653 3,089,653
Construction 19,728,822 1,257,750 20,986,572
Commissioning 207 207
Close-out 145,969 87,021 232,990
Contingency 265,094 330,172 595,266
Total 23,538,057 1,674,943 25,213,000
Reimbursable Costs: N/A
Section 8-Page 33
2018-19 & 2019-20 Budget
Project Name& Number MacArthur Pump Station Rehabilitation - 7-63
Project Category Collections Facilities Project Status: Future
Description
This project will rehabilitate the existing MacArthur Pump Station,force main and upstream gravity
system pipeline and manholes(approximately 2,000 linear feet of 8-inch pipe and eight manholes).
The existing station is located in the vicinity of John Wayne Airport in the City of Newport Beach.
The work includes bringing the pump station into compliance with the latest applicable electrical
and safety codes and replacing maintenance-intensive pumps. 700 feet of the nearby Von Karman
Trunk Sewer(located in Campus Drive north of the pump station)will also be upsized as part of this �v
project. The sewer,which is a 12-inch vitrified clay pipe(VCP),will be upsized to 15-inch in
diameter.
Collections
Facilities
Justification
The MacArthur Pump Station was originally built in 1960.The pump station is aging and requires increased effort to adequately
maintain, does not comply with current electrical and safety codes, and needs to be upgraded to reliably serve the cities of Irvine
and Newport Beach. The age and condition of the force main indicates that it needs to be replaced and the condition of the
upstream sewers indicates that rehabilitation is necessary in the near future. The capacity project for the Von Karman Trunk
Sewer was identified in 2006 Strategic Plan Update.
The project budget has been increased from $8,762,000 to$13,100,000. The increased budget is needed based on changes in
the project elements as determined in the 2017 Facilities Master Plan. The project's construction cost is$7,060,000. This project
will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 141,180 141,180
Prelim Design 211,777 211,777
Design 1,623,600 1,623,600
Construction 8,682,730 8,682,730
Commissioning 141,182 141,182
Close-out 141,183 141,183
Contingency 2,158,348 2,158,348
Total 13,100,000 13,100,000
Reimbursable Costs: N/A
Section 8-Page 34
CIP Project Detail Sheets
Project Name& Number Main Street Pump Station Rehabilitation - 7-64
Project Category Collections Facilities Project Status: Future
Description
This project will rehabilitate the existing Main Street Pump Station to meet current building,
electrical and safety codes and to extend its useful life. In addition to the pump station,two of three
force mains will be rehabilitated and access manholes constructed for future condition assessments
and the third force main will be completely reconstructed as part of this project. The condition of
gravity system components in close proximity to the pump station such as a reinforced concrete
pipe and access manholes will be assessed and the facilities rehabilitated as needed. �v
Collections
Facilities
Justification
Main Street pump station was constructed in 1987 and needs rehabilitation to maintain the pump station's reliability in the coming
decades. Two of the force mains that serve this facility are ductile iron pipe and have been operating without corrosion protection.
The project budget has been increased from$39,219,000 to$60,400,000. The increased budget is needed based on changes in
the project elements as determined in the 2017 Facilities Master Plan. The project's construction cost is$32,650,000. This project
will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 652,961 652,961
Prelim Design 979,425 979,425
Design 7,508,927 7,508,927
Construction 40,156,449 40,156,449
Commissioning 652,945 652,945
Close-out 652,951 652,951
Contingency 9,796,342 9,796,342
Total 60,400,000 60,400,000
Reimbursable Costs: N/A
Section 8-Page 35
2018-19 & 2019-20 Budget
Project Name& Number Gisler-Red Hill Interceptor Rehabilitation - 7-65
Project Category Collections Facilities Project Status: Future
Description
This project will rehabilitate the Gisler Redhill Interceptor from a diversion manhole near the Main
Street Pump Station to the College Avenue Pump Station. The project is expected to line or repair
38 manholes and approximately 15,000 feet of VCP sewer in Costa Mesa.
wv
Collections
Facilities
Justification
The condition of Gisler Redhill Interceptor upstream of College Avenue pump station is of concern. Condition assessments
completed in 2007 and again in 2015 indicate that the condition of the piping is worsening. Camera video of the manholes
indicate liner failures and corrosion from the cover to the base in the majority of the structures.
The project budget has been decreased from$15,300,000 to$14,800,000. The reduced budget is a result of changes in the
project elements identified from recent engineering efforts. The project's construction cost is$8,630,000. This project will not
have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 144,337 28,177 172,514
Prelim Design 257,955 815 258,770
Design 124,041 1,077,199 351,372 1,552,612
Construction 7,164 2,986,065 7,012,491 10,005,720
Commissioning 17,706 154,814 172,520
Close-out 43,128 43,128
Contingency 66,874 155,988 297,696 419,348 1,654,830 2,594,736
Total 211,211 566,161 1,382,874 3,774,491 8,865,263 14,800,000
Reimbursable Costs: N/A
Section 8-Page 36
CIP Project Detail Sheets
Project Name& Number Ocean Outfall System Rehabilitation - J-117
Project Category Ocean Outfall Systems Project Status: Continuing
Description
This project will rehabilitate the Ocean Outfall Booster Station at Plant No. 2, rehabilitate the 84-
inch and 120-inch interplant effluent lines between Plant No. 1 and Plant No. 2, and construct a
new Low Flow Pump Station and a Plant Water Pump Station, and replace existing electrical
switchgear at CenGen. The Low Flow Pump Station will consist of four 40-mgd pumps and deliver M �
non-reclaimable dry weather flows to the effluent outfall. The Plant Water Pump Station will replace
the existing plant water pump station.
Uc I,:,�, U t f a I I
Justification
The existing Ocean Outfall Booster Station facility is over 20 years old and requires extensive rehabilitation.The two interplant
effluent lines have been found to need repairs and lining. Diversions of some Plant No. 2 effluent to the Orange County Water
District's Groundwater Replenishment System (GWRS)will result in outfall flow rates dropping below the minimum flow rates of
the existing Ocean Outfall Booster pumps. The Plant Water Pump Station must be relocated because the existing pump station in
its current location would transfer non-reclaimable effluent to GWRS. Replacement of the CenGen switchgear will replace
electrical equipment that is nearing obsolescence and does not provide sufficient redundancy.
The project's construction cost is$111,890,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 287,938 287,938
Prelim Design 5,353,613 5,353,613
Design 7,901,261 563,959 8,465,220
Construction 8,316,986 5,868,198 16,521,984 38,466,487 44,511,994 22,752,636 1,066,865 137,505,150
Commissioning 98,068 60,045 1,219,073 1,735,425 1,875,668 125,477 5,113,756
Close-out 387,013 30,751 14,969 345,965 601,500 1,380,198
Contingency 140,138 887,558 1,160,070 1,059,073 1,739,456 2,417,116 490,714 7,894,125
Total 21,999,936 7,417,783 18,129,112 40,775,384 48,001,844 27,391,385 2,284,556 166,000,000
Reimbursable Costs: N/A
Section 8-Page 37
2018-19 & 2019-20 Budget
Project Name& Number Process Control Systems Upgrades - J-120
Project Category Information Management Systems Project Status: Future
Description
This project will upgrade the existing Supervisory Control and Data Acquisition (SCADA)Systems
for the treatment plants and pump stations which includes Human Machine Interface(HMI)
hardware and software, SCADA servers, historian, and a select number of Programmable Logic
Controllers(PLCs).These improvements will replace the existing obsolete HMI systems, databases
and software programs,which includes trending, diagnostic data, monitoring, control, alarming and I I I I I I I
reporting. PLCs not replaced under this project will be replaced as part of future projects. This
project will develop SCADA programming standards,templates, programming methodologies, tools,
and databases and will develop standards for SCADA networking and control panels. Project also
includes the replacement of the existing fiber optic system at Plant 1 and modifications to the Information
existing fiber optic system at Plant 2. The scope and technical details of this project will be defined
by Process Control Systems Upgrades Study, Project No. SP-196,which may affect the scope of Management
this project.
Systems
Justification
The existing HMI system consisting of the CRISP software and associated SCADA subsystems are obsolete.The CRISP software
has a limited customer installed base and technical expertise for support and source code modifications will become scarce in the
future. The CRISP HMI software in conjunction with the SCADA subsystems provides important data communications for
treatment process and plant monitoring, control, automation, visualization, alarm handling and notification. The existing Quantum
PLCs that are currently being used throughout the treatment plants and pump stations are no longer being manufactured. The
manufacturer has developed a family of replacement PLC processors and ancillary equipment with enhanced capabilities and
security features.A replacement PLC processor system will be evaluated and selected to provide a long-term,20-year life.
Reliability and maintainability of the SCADA systems is critical to maintaining regulatory compliance for both the collections
system and the treatment plants. Many of the fiber optic cables at Plant 1 have reached the end of their useful life. Since the
existing 62.5 micron fiber cables are no long manufactured,the entire fiber optic system needs to be replaced with 50 micron
fibers to provide overall system compatibility.
The project budget has been decreased from$102,399,000 to$46,000,000. The reduced budget is a result of changes in the
project elements identified from recent engineering efforts. The project's construction cost is$9,230,000. The impacts to
operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 11,008 11,097 22,105
Prelim Design 550,236 929,360 1,479,596
Design 84,412 804,374 287,723 1,176,509
Construction 10,596,617 10,596,617
Commissioning 485,492 2,725,024 11,308,973 14,519,489
Close-out 119,375 119,375
Contingency 228,856 650,029 1,511,863 1,968,638 13,726,923 18,086,309
Total 239,864 1,211,362 3,011,127 5,498,036 36,039,611 46,000,000
Reimbursable Costs: N/A
Section 8-Page 38
CIP Project Detail Sheets
Project Name& Number UPS System Upgrades - J-121
Project Category Utility Systems Project Status: Future
Description
This project will provide a regional uninterruptible power system (UPS)in the northern portion of
Plant No. 2 and provide UPS power distribution and power distribution units(PDUs)to feed UPS
loads from the regional UPSs installed by this project and existing regional UPSs installed in the
DAFT Thickener Building and in Effluent Pump Station Annex Standby Power Building. The
regional UPSs will be industrial grade with lead acid batteries and will replace the smaller UPS �>
units.This approach of replacing small UPS units with a limited number of larger units was
recommended in the Energy Master Plan, Project No. J-102.
Utility Systems
Justification
The existing UPS system includes units of various sizes, configurations, and capabilities. This system does not provide an ideal
level of reliability or cost effective operation. Issues with the existing UPS system include failures without warning, use of
maintenance free battery that last less than 5 years compared to 20 years for lead acid batteries, locations that are difficult to
maintain, increased maintenance due to UPS quantity, and lack of standby diesel generator back up power to maintain UPS
operation during an extended power outage.
The project budget has been decreased from$8,087,000 to$4,700,000. The reduced budget is a result of changes in the project
elements identified from recent engineering efforts. The project's construction cost is$2,330,000. The impacts to operational
budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 57,553 57,553
Prelim Design 128,235 128,235
Design 599,688 599,688
Construction 3,107,363 3,107,363
Commissioning 87,834 87,834
Close-out 46,793 46,793
Contingency 672,534 672,534
Total 4,700,000 4,700,000
Reimbursable Costs: N/A
Section 8-Page 39
2018-19 & 2019-20 Budget
Project Name& Number Digester Gas Facilities Rehabilitation - J-124
Project Category Utility Systems Project Status: Continuing
Description
This project will rehabilitate the low and high pressure digester gas facilities at Plant Nos. 1 and 2
to meet current and future OCSD needs such as Air Quality Management District and National Fire
Protection Association regulations, and future projected gas production.
Utility Systems
Justification
The major equipment associated with the digester gas systems are at the end of their useful lives and need to be replaced for
reliability purposes.
The project's construction cost is$53,360,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 384,708 384,708
Prelim Design 290,796 4,739,061 572,527 5,602,384
Design 433 2,734,824 5,043,515 913,754 8,692,526
Construction 2,332,928 12,657,763 54,896,828 69,887,519
Commissioning 3,798,588 3,798,588
Close-out 788,723 788,723
Contingency 19,838 157,056 319,805 482,829 486,746 576,415 5,302,863 7,345,552
Total 695,775 4,896,117 3,627,156 5,526,344 3,733,428 13,234,178 64,787,002 96,500,000
Reimbursable Costs: N/A
Section 8-Page 40
CIP Project Detail Sheets
Project Name& Number Safety Improvements Program - J-126
Project Category Process Related Special Projects Project Status: Continuing
Description
This project will address approximately 900 safety deficiencies throughout the Sanitation District's
Facilities that could not be readily addressed with staff resources, or that require engineering
efforts. This project will be completed using a number of construction contracts to allow the highest
priority items to be constructed while the design of lower priority items is being completed.
Process Related
Special Projects
Justification
Correction of these safety deficiencies is needed to address potential safety risks to Sanitation District staff, consultants,
contractors, and visitors, and to comply with code requirements.
The project's construction cost is$10,060,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 743,291 743,291
Prelim Design 476,773 193,090 31,143 701,006
Design 2,479,150 995,970 459,168 3,934,288
Construction 1,360,808 7,384,787 2,783,014 11,528,609
Commissioning
Close-out 170,555 170,555
Contingency 135,440 798,916 987,895 1,922,251
Total 5,195,462 9,372,763 4,431,775 19,000,000
Reimbursable Costs: N/A
Section 8-Page 41
2018-19 & 2019-20 Budget
Project Name& Number Natural Gas Pipelines Replacement at Plant Nos. 1 and 2 - J-127
Project Category Utility Systems Project Status: Continuing
Description
This project will rehabilitate the natural gas pipelines at Plants No 1 and 2. This includes the
replacement of aging metallic pipelines and risers and upgrades to the cathodic protection systems.
Utility Systems
Justification
Recent condition assessments of the natural gas piping have revealed that some of the metallic piping and risers have reached
the end of their useful life and require replacement. The cathodic protection systems will also be upgraded to provide corrosion
control of the buried metallic piping.This project will ensure safe, reliable operations of the natural gas systems.
The project's construction cost is$430,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 32,233 32,233
Prelim Design
Design 7,481 191,267 43,460 242,208
Construction 74,725 593,154 667,879
Commissioning
Close-out 25,798 25,798
Contingency 10,075 57,697 93,951 126,729 53,430 341,882
Total 42,308 65,178 359,943 789,141 53,430 1,310,000
Reimbursable Costs: N/A
Section 8-Page 42
CIP Project Detail Sheets
Project Name& Number Project Management Information System - J-128
Project Category Information Management Systems Project Status: Continuing
Description
This project will implement a new Project Management Information System to replace the obsolete
software application currently in use and to serve additional business processes related to
management of the capital improvement program. E:1
F11111111
Information
Management
Systems
Justification
The software application currently used to manage construction contracts is no longer supported by the vendor and cannot
continue to meet requirements. In addition, a number of business processes involved in managing the capital improvement
program could be more efficiently and effectively performed using a modern commercially available software system.
The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 319,465 319,465
Prelim Design
Design 381,164 715,615 419,766 1,516,545
Construction
Commissioning
Close-out 16,491 16,491
Contingency 176,077 953,032 1,018,390 2,147,499
Total 876,706 1,668,647 1,454,647 4,000,000
Reimbursable Costs: N/A
Section 8-Page 43
2018-19 & 2019-20 Budget
Project Name& Number 18350 Mt. Langley St. Building Purchase and Improvement - J-131
Project Category Support Facilities Project Status: Revised
Description
This project provides capital funds for the purchase and purchase-related costs for the property at
18350 Mt. Langley in Fountain Valley, California, and to perform necessary life-safety system
upgrades. •
00
Support Facilities
Justification
In September 2017, the Board of Directors approved the purchase of the property as part of a strategic effort to free space for
treatment facilities at either plant by relocating non-treatment facilities off-site. This property has the advantages of proximity to
Plant No. 1 and being adjacent to the proposed Headquarters Complex.
The project's construction cost is$400,000. This project will increase operational budgets by$400,000 annually resulting from net
rental income after expenses, assuming the building is fully leased to tenants. This income will be reduced to the extent the
building is space is used for Sanitation District purposes.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev
Prelim Design
Design 9,750,000 103,818 242,005 10,095,823
Construction 144,954 483,405 628,359
Commissioning
Close-out 14,985 538 15,523
Contingency 2,410 23,113 48,827 117,089 67,349 1,507 260,295
Total 9,752,410 126,931 435,786 615,479 67,887 1,507 11,000,000
Reimbursable Costs: N/A
Section 8-Page 44
CIP Project Detail Sheets
Project Name& Number GWRS Final Expansion Coordination - J-36-2
Project Category Water Management Projects Project Status: Continuing
Description
This project will be used to track costs,forecast resources, and coordinate Sanitation District
reviews related to the Orange County Water District's Groundwater Replenishment System Final
Expansion project. This project will not address modification of Sanitation District Facilities,which
are included in other projects such as the Headworks Modifications at Plant 2 for GWRS Final i
Expansion, Project No. P2-122, and the Ocean Outfall Rehabilitation Project No.J-117. This 1`
project does not address modifications of any Sanitation District Facilities; any such changes are
included in other projects such as the Headworks Modifications at Plant 2 for GWRS Final
Expansion, Project No. P2-122, and the Ocean Outfall Rehabilitation Project No.J-117. a
Miter Mnagenw,,A
Projects
Justification
The Orange County Water District's Groundwater Replenishment System Final Expansion will impact Sanitation District Facilities
at both plants and along the interplant effluent pipelines. Per a cooperative agreement between the two agencies, Sanitation
District costs for this coordination will not be charged to the Water District.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 49,036 49,036
Prelim Design 45,468 45,468
Design 12,913 50,440 25,624 88,977
Construction 55,967 226,337 300,660 83,655 666,619
Commissioning
Close-out
Contingency 14,885 58,148 58,382 59,077 60,706 30,702 281,900
Total 122,302 108,588 139,973 285,414 361,366 114,357 1,132,000
Reimbursable Costs: N/A
Section 8-Page 45
2018-19 & 2019-20 Budget
Project Name& Number Electrical Power Distribution System Improvements - J-98
Project Category Utility Systems Project Status: Future
Description
This project provides various electrical distribution system improvements at Plant Nos. 1 and 2, as
recommended by the J-25-4 project study,which are needed based on equipment condition and
age, insufficient equipment ratings, grounding safety, non-compliance with the National Electrical
Code (NEC)requirements, and electrical configuration reliability.This includes replacing electrical
that is at the end of its useful life, modifying the electrical system configurations to improve �>
reliability and support maintenance, replacing electrical cables and equipment that are not properly `? <=. 9
sized, and adding surge protection to protect equipment.
Utility Systems
Justification
These improvements are required to improve electrical safety, reliability and protective device coordination and for compliance
with NEC requirements. As the electrical systems at Plant 1 and 2 has aged and reliability and safety philosophy has improved,
the existing electrical systems,which are not scheduled for rehabilitation in the near future, require improvements and
replacement to maintain electrical system reliability and improved safety.
The project's construction cost is$20,040,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 48,687 97,350 146,037
Prelim Design 57,241 968,433 1,440 1,027,114
Design 152,575 1,528,167 1,142,741 2,823,483
Construction 160,367 3,332,300 19,390,419 22,883,086
Commissioning 54,248 171,852 226,100
Close-out 59,302 59,302
Contingency 6,683 131,322 272,706 495,120 688,545 901,629 4,946,873 7,442,878
Total 55,370 285,913 1,393,714 2,024,727 1,991,653 4,288,177 24,568,446 34,608,000
Reimbursable Costs: N/A
Section 8-Page 46
CIP Project Detail Sheets
Project Name& Number Small Construction Projects Program - M-FE
Project Category Support Facilities Project Status: Revised
Description
This budget provides funds for small construction projects. A construction project is defined as
small when the professional engineering services for design and construction can be provided by a
Task Order issued under a master professional design services agreement per Purchasing •
Ordinance No 47, or by using Sanitation District staff. This budget request is intended to cover
active small construction projects created under the previous Facilities Engineering Programs
(Project No. F-FE-PLANT and Project No. M-FE-COLLECT), and those that will be identified and
created through Fiscal Year 2022/2023.These small projects are individually managed within the
Small Construction Projects Program budget. `"'"
Support Facilities
Justification
This fund allows Sanitation District staff to complete small construction projects more quickly and cost effectively than larger
projects that require specific Board authorization. Of the requested budget, $28,400,000 is allocated for small construction
projects active as of April 1, 2018. The remainder is for not-yet-identified projects.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 382,920 7,204 390,124
Prelim Design 14,666 14,666
Design 3,444,988 453,118 78,180 3,976,286
Construction 7,905,307 6,488,954 3,296,204 476,605 18,167,070
Commissioning 45,849 45,849
Close-out 12,701 66,123 83,828 65,136 27,935 255,723
Contingency 573,412 2,645,405 4,441,345 2,269,448 2,197,115 2,515,980 17,507,577 32,150,282
Total 12,333,994 9,660,804 7,945,406 2,811,189 2,225,050 2,515,980 17,507,577 55,000,000
Reimbursable Costs: N/A
Section 8-Page 47
2018-19 & 2019-20 Budget
Project Name& Number Information Technology Capital Program - M-MC-IT
Project Category Information Management Systems Project Status: Continuing
Description
This project will provide for the replacement, rehabilitation and/or upgrade of various Information
technology assets that meet the criteria and justification for capital expenditure.
Information
Management
Systems
Justification
These funds are needed in order to replace/rehabilitate/upgrade Information technology assets that are not included or identified
in a capital improvement project.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 274,170 274,170
Prelim Design
Design 27,414 155,572 213,575 273,465 337,514 394,974 1,402,514
Construction 747,615 54,751 3,222,184 935,062 4,959,612
Commissioning 105,428 105,428
Close-out
Contingency 76,039 360,020 494,258 632,851 781,068 914,039 3,258,275
Total 1,230,667 515,592 707,833 961,067 4,340,766 2,244,075 10,000,000
Reimbursable Costs: N/A
Section 8-Page 48
CIP Project Detail Sheets
Project Name& Number Research Program - M-RESEARCH
Project Category Research Project Status: Revised
Description
This budget provides funds for research projects. Specific projects will be identified and developed
to be funded from this budget. This budget request is intended to cover currently-active research
projects already created under the previous Research Program (Project No. M-RESEARCH), and
those that will be identified and created through Fiscal Year 2022/2023.These research projects
are individually managed within the Research Program budget. rM
Research &
Development
Justification
Research projects are used demonstrate technologies, equipment, configurations, and control strategies to improve operational
efficiency, reduce costs, improve safety, or fill important information gaps.The results will support operations and maintenance
and provide information needed for future planning and design work. Of the requested budget, $1,300,000 is allocated for
Research Projects active as of April 1, 2018. The remainder is for not-yet-identified projects.
The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 585,962 700,760 1,286,722
Prelim Design
Design
Construction 29,750 22,000 51,750
Commissioning
Close-out 1,439 1,066 2,505
Contingency 335,339 1,442,530 1,315,161 1,330,878 1,367,557 1,367,558 7,159,023
Total 952,490 2,166,356 1,315,161 1,330,878 1,367,557 1,367,558 8,500,000
Reimbursable Costs: N/A
Section 8-Page 49
2018-19 & 2019-20 Budget
Project Name& Number Operations& Maintenance Capital Program - M-SM-CAP
Project Category Support Facilities Project Status: Continuing
Description
This project will provide for the replacement and rehabilitation of various plant processes and
collection facilities as well as the replacement and or rehabilitation of facilities that meet the criteria
for capital replacement. •
0i
Support Facilities
Justification
These funds are needed in order to replace/rehabilitate equipment that is beyond economical repair or is at the end of its useful
life or repair of facilities that are not included in a capital improvement project. It is also used to replace equipment when parts or
services are no longer economically feasible.
The project's construction cost is$1,040,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 221,628 221,628
Prelim Design
Design 4,973 171,131 287,455 393,560 513,084 634,786 2,004,989
Construction 352,684 185,272 263,109 203,117 273,873 355,266 1,633,321
Commissioning
Close-out
Contingency 573,722 1,482,794 2,305,587 3,221,293 4,178,666 11,762,062
Total 579,285 930,125 2,033,358 2,902,264 4,008,250 5,168,718 15,622,000
Reimbursable Costs: N/A
Section 8-Page 50
CIP Project Detail Sheets
Project Name& Number Planning Studies Program - M-STUDIES
Project Category Strategic&Master Planning Project Status: Continuing
Description
This budget provides funds for planning studies. This budget request is intended to cover currently-
active planning studies already created under the previous Planning Studies Program (Project No. :
M-STUDIES), and those that will be identified and created through Fiscal Year2022/2023. These
planning studies are individually managed within the Planning Studies Program budget.
&
Master Planning
Justification
Planning studies provide comprehensive capital program planning for the District to meet anticipated capacity needs, manage
risks associated with asset or system failure,take advantage of technology advancements, comply with regulatory changes, and
meet strategic goals. Of the requested budget, $20,700,000 is allocated for planning studies active as of April 1, 2018. The
remainder is for not-yet-identified projects.
The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 12,800,328 4,242,852 978,006 18,021,186
Prelim Design 348,157 65,079 413,236
Design 31,219 7,789 39,008
Construction 7,793 7,793
Commissioning
Close-out 2,770 3,464 6,234
Contingency 609,600 2,728,535 1,375,661 1,067,455 1,096,874 1,096,874 2,189,543 10,164,542
Total 13,799,868 7,047,719 2,353,667 1,067,455 1,096,874 1,096,874 2,189,543 28,652,000
Reimbursable Costs: N/A
Section 8-Page 51
2018-19 & 2019-20 Budget
Project Name& Number Digester Rehabilitation at Plant 1 - P1-100
Project Category Solids Handling &Digestion Project Status: Revised
Description
The project rehabilitates Digesters No. 5 through No. 16 at Plant No. 1 to replace aging equipment
and improve solids handling capacity. The equipment rehabilitation includes sludge pumping,
heating, structural systems, mechanical systems, electrical and control systems, and digester
roofing replacement.
Solids
Justification
This project is being built in conjunction with Project P1-101 to treat increased solids due to secondary expansion at Plant No. 1,
efficiently use existing digesters'capacity, increase reliability, and improve quality of sludge production. Scope of work includes
removal of sludge accumulated in digesters, replacing aging mechanical/electrical equipment, and structural rehabilitation of
digesters 5-16 that were built during the years of 1959-1993.
The project budget has been decreased from$67,150,000 to$66,000,000. The reduced budget is a result of an updated estimate
to complete the work based on project closeout and release of contingency. The project's construction cost is$43,760,000. This
project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 217,569 217,569
Prelim Design 3,094,006 3,094,006
Design 3,603,301 3,603,301
Construction 55,991,113 55,991,113
Commissioning 2,699,102 2,699,102
Close-out 141,785 11,500 153,285
Contingency 116,270 125,355 241,625
Total 65,863,145 136,855 66,000,000
Reimbursable Costs: N/A
Section 8-Page 52
CIP Project Detail Sheets
Project Name& Number Sludge Dewatering and Odor Control at Plant 1 - P1-101
Project Category Solids Handling &Digestion Project Status: Revised
Description
This project constructs primary sludge thickening facilities to improve solids handling capacity,
replace sludge dewatering facilities with aging equipment and reduce biosolids handling and
disposal, rehabilitate solids handling odor control equipment for aging equipment, and temporarily
expand sludge dewatering facilities to accommodate temporary construction needs.
Solids
9f
Justification
This project is necessary to support the need for more capacity to thicken and dewater sludge due to conversion of Plant No. 1 to
full secondary treatment and increased flows to support expansion of the GWR System.The existing sludge dewatering facilities
that were built in the late 1970's have reached the end of useful life and are in need of replacement.This project will increase cake
dryness which will reduce biosolids management costs; improve sludge thickening to optimize use of existing digesters while
eliminating construction of new digesters and improve site constraints at Plant No. 1 by building compact solids treatment facilities
and facilitate future expansion.
The project budget has been increased from$188,328,000 to$199,500,000. The increased budget is needed based on an
updated estimate to complete the work due to an extended construction duration. The project's construction cost is$138,220,000.
This project will decrease operational budgets by$3,600,000 annually. Sludge hauling and disposal costs will drop because there
will be less moisture in the sludge. This operational savings factors in the additional energy and chemical costs associated with
operating centrifuges.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 330,031 330,031
Prelim Design 6,904,058 6,904,058
Design 11,395,368 11,395,368
Construction 155,391,316 9,099,339 511,496 165,002,151
Commissioning 1,646,825 1,630,477 84,392 3,361,694
Close-out 251,550 278,283 10,099 4,385 544,317
Contingency 1,470,897 5,673,695 3,989,967 827,822 11,962,381
Total 177,390,045 16,681,794 4,595,954 832,207 199,500,000
Reimbursable Costs: N/A
Section 8-Page 53
2018-19 & 2019-20 Budget
Project Name& Number Headworks Rehabilitation and Expansion at Plant 1 - P1-105
Project Category Headworks Project Status: Revised
Description
This project will rehabilitate and upgrade facilities at the Plant 1 Headworks. Facilities to be
rehabilitated include the Metering and Diversion Structure,the Bar Screen Building,the Bin
Loading Building,the Main Sewage Pump Station,the Grit Basins, the Primary Influent channels,
the Headworks Odor Control Scrubbers, and electrical power distribution and control systems. The
project will also include demolition of the original Headworks No. 1 facilities and the unused
Chlorine Building pumps. N I
Headworks
Justification
The purpose of the work is to rehabilitate the Plant 1 headworks area in order to increase the life of critical assets, improve
services of other areas in the plant, and meet level of service goals.
The project budget has been decreased from$436,000,000 to$370,000,000. The reduced budget is a result of changes in the
project elements and a reduced construction duration. The project's construction cost is$254,150,000. This project will not have
an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 152,473 152,473
Prelim Design 7,470,867 740,578 8,211,445
Design 2,750,303 9,804,665 3,412,275 15,967,243
Construction 75,661 1,760,037 27,289,915 74,648,909 79,760,878 101,949,402 285,484,802
Commissioning 719,412 1,322,302 1,327,139 4,127,704 7,496,557
Close-out 36 1,157,948 1,157,984
Contingency 431,324 1,852,467 2,332,762 3,111,832 4,958,742 6,570,918 32,271,450 51,529,496
Total 10,880,664 12,397,710 7,505,074 31,121,160 80,929,953 87,658,935 139,506,504 370,000,000
Reimbursable Costs: N/A
Section 8-Page 54
CIP Project Detail Sheets
Project Name& Number Title 24 Access Compliance and Building Rehabilitation Project - P1-115
Project Category Support Facilities Project Status: Revised
Description
The project evaluated Title 24 (Americans with Disabilities Act)upgrades and retrofits, code
compliance and asset condition at the existing office facilities and grounds at Plant No. 1. The
buildings studied in the Preliminary Design Report include:Administration, Human Resources, •
Laboratory, Maintenance Facilities, Fleet Services, Purchasing,Warehouses, Purchasing
Conference Room and office trailers and Demolition of Building H.The grounds modifications
include changes to the parking areas, asphalt repair, drainage improvements, and accessibility
improvements.
The project costs developed for the Preliminary Design Report for the Laboratory,Administration
Building, Purchasing, Human Resources Building, Fleet Services and supporting trailers were used
for comparison to other options for housing the staff and laboratory including the construction of Support Facilities
new facilities and/or repurposing the Laboratory. The options were considered in the
Administrative Facilities Master Plan under this project budget.
This project scope is revised to only include the rehabilitation of the Warehouse and Maintenance
Facilities, demolition of Building H and area improvements adjacent to these buildings under P1-
115A and rehabilitation of the Fleet Services compound under P1-115B.
Justification
State and federal law requires that OCSD ensure that these facilities can be accessible to individuals with disabilities.
Roofing, lighting, some ventilation equipment, and other building features are at the end of their useful life and require
replacement. Building H does not meet current building codes and needs to be demolished.
An implementation plan for the construction of new facilities for the Administration Building, Laboratory, Fleet Services,
Purchasing, Human Resources and office trailers was conducted under Project No. SP-194.
The project's construction cost is$9,890,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 696,253 696,253
Prelim Design 1,600,880 1,600,880
Design 2,559,710 2,559,710
Construction 10,476,307 2,063,009 12,539,316
Commissioning
Close-out 134,091 39,062 173,153
Contingency 189,831 452,288 188,569 830,688
Total 15,657,072 2,554,359 188,569 18,400,000
Reimbursable Costs: N/A
Section 8-Page 55
2018-19 & 2019-20 Budget
Project Name& Number Trunk Line Odor Control Improvements - P1-123
Project Category Headworks Project Status: Continuing
Description
Scrubbers 9 and 10,which are part of Plant No. 1 Headworks odor control system,will be replaced
with new biological scrubbers. The new scrubbers will treat air from Steve Anderson Lift Station
(SALS), Waste Hauler Station, Sunflower Pump Station and M&D Structure. The treated air will
then continue to existing Chemical Scrubbers 1 through 4 for further treatment. The second part of
the scope of work is to eliminate odors upstream of the three siphons along the Baker-Gisler
Interceptor and Santa Ana Trunk sewers by implementing air jumper improvements. N I
Headworks
Justification
The concept evaluation study for Project J-71-8 indicated an imbalance of airflow between existing Scrubbers 9 and 10 causing
poor performance of the scrubbers. The carbon units of the SAILS odor control system and the packaged biofilter at the Waste
Hauler Station have both been operating inefficiently. Replacing the existing Scrubbers 9 and 10 will improve the overall efficiency
of the Headworks facilities'odor control system.
The project's construction cost is$5,580,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev
Prelim Design 568,156 568,156
Design 935,736 935,736
Construction 7,491,201 7,491,201
Commissioning 165,415 23,241 188,656
Close-out 65,547 1,195 66,742
Contingency 24,445 24,063 48,508
Total 9,250,501 48,499 9,299,000
Reimbursable Costs: N/A
Section 8-Page 56
CIP Project Detail Sheets
Project Name& Number Primary Clarifiers Replacements and Improvements at Plant No. 1 - P1-126
Project Category Primary Treatment Project Status: Revised
Description 00
This project will rehabilitate or replace the Plant No. 1 Primary Clarifiers 3,4, &5 System which Oar 00
includes all primary influent and effluent lines, distribution boxes,junction boxes, the Primary 00000000
Effluent Pump Station, structural, mechanical, and electrical systems affiliated with Primary 000000000
Clarifiers 3, 4, &5. This project will demolish Primary Clarifiers 1&2. �^^�
000000000
wti
00000000
00000
000
Primary
Treatment
Justification
The project is needed due to the age and condition of the Primary Clarifiers(PCs)3,4, &5 System. PCs 3&4 were constructed in
1956 and are the oldest primary clarifiers at Plant No. 1. They share a common sludge and scum pumping facility located between
them. PC 5 was constructed in 1963. Many of the PC 3-5 System components are showing significant deterioration.To continue to
operate the PC 3-5 system for the next 50 years will require the entire system be rehabilitated or replaced.
PCs 1-2 were constructed in 1986 to replace the two original clarifiers.These primary clarifiers are currently used only during
extreme flow events.They share a common sludge and scum pumping facility at the southwest end of PCs 1-2 that also serves
PC 5. PCs 1-2 shall be demolished to make space for other future processes.
The project budget has been decreased from$112,267,000 to$106,000,000. The reduced budget is a result of an updated
estimate to complete the work as determined in the 2017 Facilities Master Plan. The project's construction cost is$67,410,000.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 520,268 31,823 68,347 620,438
Prelim Design 497 14,769 155,334 17,902 188,502
Design 5,811,610 5,811,610
Construction 77,954,242 77,954,242
Commissioning 501,300 501,300
Close-out 535,417 535,417
Contingency 368,401 1,198,859 1,453,256 17,367,975 20,388,491
Total 520,765 400,224 1,281,975 1,608,590 102,188,446 106,000,000
Reimbursable Costs: N/A
Section 8-Page 57
2018-19 & 2019-20 Budget
Project Name& Number Central Generation Rehabilitation at Plant No. 1 - P1-127
Project Category Utility Systems Project Status: Continuing
Description
This project will rehabilitate the Cen Gen facility equipment including the lube oil system,the engine
jacket water loop, steam loop, hot water loop,waste/supplement heat system, chilled water loop,
cooling water loop, HVAC system, starting air and instrumentation air systems, exhaust gas
monitoring system, miscellaneous building improvements, and allowance for electrical and I&C
improvements.
Utility Systems
Justification
Cen Gen equipment had been rebuilt through regular maintenance program, or by CIP projects working in the area.There has not
been a project just focusing on the condition assessment and rehabilitation of overall Cen Gen facility equipment, particularly the
equipment that are too large to be rebuilt through regular maintenance.
The project's construction cost is$52,160,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 101,827 101,827
Prelim Design 158,666 158,666
Design 5,420,048 5,420,048
Construction 58,443,809 58,443,809
Commissioning 3,038,287 3,038,287
Close-out 549,932 549,932
Contingency 19,287,431 19,287,431
Total 87,000,000 87,000,000
Reimbursable Costs: N/A
Section 8-Page 58
CIP Project Detail Sheets
Project Name& Number P1-128 Headquarters Complex and Site Security at Plant No. 1 - P1-128
Project Category Support Facilities Project Status: Continuing
Description
This project will construct of a new Headquarters Complex on the north side of Ellis Avenue to
house administrative, engineering and laboratory staff. In addition to the main building for
administrative, engineering and laboratory staff,the Headquarters Complex will include parking and •
a pedestrian/utility bridge over Ellis Avenue to Plant No. 1.
This project will also include security and storm water upgrades along the south border of Plant No.
1 and along the west perimeter between Garfield Avenue and the Orange County Water District
property. That work will include new 8-foot tall split-face concrete masonry walls and two motorized `"^'
vehicle gates on Garfield. Grading and storm drainage work will include the installation of catch
basins, underground retention basins and storm drain lines within the plant.
Support Facilities
Justification
The administrative, engineering and laboratory functions are located primarily at Reclamation Plant No. 1 in Fountain Valley. The
Administration, Laboratory, Human Resources, and Purchasing buildings are aging,were not permitted when constructed and are
in need of replacement.Also, approximately 130 staff are located in aging office trailers throughout Plant No. 1. OCSD has
decided that the most cost effective solution is replacement of the aging buildings and trailers with new buildings that serve
administrative, engineering, and laboratory functions.
The project's construction cost is$115,380,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 531,890 531,890
Prelim Design 1,295,488 6,208,076 16,560 7,520,124
Design 154,522 2,030,353 5,871,499 559,501 8,615,875
Construction 730,408 17,337,239 56,774,379 51,254,656 4,813,105 130,909,787
Commissioning 3,951 183,134 354,404 137,288 678,777
Close-out 29,642 36,706 3,097,059 3,163,407
Contingency 479,049 2,298,057 3,035,041 3,800,830 5,150,661 6,412,718 6,470,784 27,647,140
Total 2,460,949 10,536,486 9,653,508 21,731,163 62,144,880 58,021,778 14,518,236 179,067,000
Reimbursable Costs: N/A
Section 8-Page 59
2018-19 & 2019-20 Budget
Project Name& Number Return Activated Sludge Piping Replacement at Activated Sludge Plant No. 1 - P1-129
Project Category Secondary Treatment Project Status: Revised
Description
The work consists of the removal and replacement of an existing deteriorated 30-inch steel 00 O 000 000
discharge header piping, valves,flexible couplings, and pipe hangers in the Return Activated
Sludge (RAS) Pump Room at Plant No. 1 and approximately 220 linear feet of buried discharge
piping. 0001000 000
000 000 000
1
Secondary
Treatment
Justification
The RAS facility was constructed under Project No. P1-16 in 1974. Over the past few years, the header piping failed in numerous
locations due to internal corrosion warranting replacement of leaking piping.
The project budget has been increased from$3,979,000 to$7,900,000. The increased budget is needed based on changes in the
project elements identified from recent engineering efforts. The project's construction cost is$4,700,000. This project will not
have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 237,097 237,097
Prelim Design 248,940 248,940
Design 75,998 266,786 342,784
Construction 276,625 5,362,235 204,499 5,843,359
Commissioning 115,793 115,793
Close-out 19,736 38,653 58,389
Contingency 26,638 154,535 472,253 374,192 26,020 1,053,638
Total 588,673 697,946 5,970,017 617,344 26,020 7,900,000
Reimbursable Costs: N/A
Section 8-Page 60
CIP Project Detail Sheets
Project Name& Number Uninterruptable Power Supply Improvements at Plant 1 - P1-132
Project Category Utility Systems Project Status: Continuing
Description
This project will add a regional Uninterruptable Power Supply(UPS)in the northwest portion of
plant 1.The UPS will supply power to power distribution buildings 4, 7 and 8, maintenance
buildings, primary clarifiers, any other users requiring UPS in the area.Also, included in the project
is the installation of power distribution units for facilities to be fed from the Sludge Dewatering and
Odor Control UPS.The project will also determine if the UPS will supply power to the laboratory �>
building.
Utility Systems
Justification
The control center requires a reliable properly sized Uninterruptable Power Supply(UPS). If power is lost to the control center the
ability to control the plant could be lost.This project will supply a regional UPS that will also supply power for Power Buildings and
Primary Clarifiers.in the area based on the UPS study conducted in March 2013.
The project's construction cost is$2,370,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 26,243 11,727 37,970
Prelim Design
Design 114,426 333,630 174,216 622,272
Construction 541,575 2,556,148 17,210 3,114,933
Commissioning 18,768 275,116 293,884
Close-out 59,354 17,134 76,488
Contingency 3,920 28,395 41,904 93,839 363,410 122,985 654,453
Total 30,163 154,548 375,534 828,398 3,254,028 157,329 4,800,000
Reimbursable Costs: N/A
Section 8-Page 61
2018-19 & 2019-20 Budget
Project Name& Number Primary Clarifiers 6-31 Reliability Improvements at Plant No. 1 - P1-133
Project Category Primary Treatment Project Status: New
Description O 0
Increase the operating reliability of the rectangular primary clarifiers at Plant No.1 by modifying the 000000
Primary Influent Splitter Box(PISB)to increase hydraulic capacity upstream of the facilities. 00000000
Improvements will also be made to the Microfiltration Backwash Waste piping that currently 000000000
discharges to PISB, allowing it to be discharged to the effluent side of the primary clarifiers. �^^�
Additional primary sludge pumps will be added to allow sludge removal from all of the primary 000000000
clarifiers in lieu of using basins for sludge thickening. 00000000
Leaky pipe joints in the 90& 108 inch primary effluent pipes will also be repaired. 00 O O O
000
Primary
Treatment
Justification
District has been discharging high quality backwash water to Primary Clarifiers 6-14,thus increasing the hydraulic load to the
clarifiers.This backwash water can be discharged to the effluent structure,thus reducing hydraulic load on the primary clarifiers
and increasing reliability.
The failing primary influent pipe joints are discussed in the District's Corrosion Assessment Report dated 2-5-15.
The project's construction cost is$12,280,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 325,546 35,159 360,705
Prelim Design 364,685 364,685
Design 310,889 1,164,991 275,508 1,751,388
Construction 55,061 4,077,731 10,528,030 281,886 14,942,708
Commissioning 73,344 197,260 13,052 283,656
Close-out 34,367 93,096 127,463
Contingency 53,785 192,082 387,175 686,376 1,316,216 1,033,761 3,669,395
Total 379,331 902,815 1,607,227 5,112,959 12,075,873 1,421,795 21,500,000
Reimbursable Costs: N/A
Section 8-Page 62
CIP Project Detail Sheets
Project Name& Number SCADA System and Network Upgrades - 132-107
Project Category Information Management Systems Project Status: Continuing
Description
This project will provide a Process Data Network at Plant No. 2 which is independent and isolated
from the Office Data and Security systems.These improvements will provide greater security,
increase SCADA system capacity, and provide the network needed for the Load Management and
Load Shedding System. Load Management and Load Shedding items will be provided under this
project. IIIIIIII
Information
Management
Systems
Justification
With the improvements made under this project, staff will be able to respond quickly via remote control panels to perform normal
power switching or switching as a result of a fault condition, allowing operators to maintain a safe operating distance from live
electrical panels to avoid arc flash risks.
Improvements to the industrial control system will improve reliability by eliminating a potential single point of failure with the fiber
optic network
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 100,243 100,243
Prelim Design 1,174,912 1,174,912
Design 2,205,336 913,642 3,118,978
Construction 8,195 8,195
Commissioning 88,880 88,880
Close-out
Contingency 90,614 385,681 32,497 508,792
Total 3,668,180 1,299,323 32,497 5,000,000
Reimbursable Costs: N/A
Section 8-Page 63
2018-19 & 2019-20 Budget
Project Name& Number Consolidated Demolition and Utility Improvements at Plant 2 - P2-110
Project Category Utility Systems Project Status: Revised
Description
This project will demolish Digesters A and B; Primary Clarifiers A, B and C;the Air Compressor
Building; the Emergency Power Building, and several other facilities at the end of useful life.
Several existing tunnels will be demolished and/or rehabilitated including new pipe supports,
drainage improvements, structural repair, lighting improvements etc. The demolition site will receive
extensive grading, drainage and paving improvements.
Utility Systems
Justification
The demolished facilities are at the end of useful life or are no longer in use.
The project budget has been increased from$30,300,000 to$31,000,000. The increased budget is needed based on an updated
estimate to complete the work . The project's construction cost is$17,320,000. This project will not have an impact on operational
budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 221,226 221,226
Prelim Design 4,384,291 4,384,291
Design 2,013,629 2,013,629
Construction 9,757,626 9,879,691 1,123,236 20,760,553
Commissioning 28,623 500,999 267,960 797,582
Close-out 27,389 181,453 1,052,174 1,261,016
Contingency 131,612 741,009 617,372 71,710 1,561,703
Total 16,564,396 11,303,152 3,060,742 71,710 31,000,000
Reimbursable Costs: N/A
Section 8-Page 64
CIP Project Detail Sheets
Project Name& Number Activated Sludge Aeration Basin Deck Repair at Plant No. 2 - P2-118
Project Category Secondary Treatment Project Status: Continuing
Description
This project will rehabilitate the concrete deck at the oxygen activated sludge basins at Plant No. 2 000 000 000
in order to increase the life of its critical assets and to address safety issues associated with oxygen
seepage from cracks in the deck. This project will focus on repair of full penetration cracks and
surface spalling on the top deck of the basins. 000 O O O 000
000 000 000
Secondary
Treatment
Justification
The deck of the aeration basins has incurred cracking over time, many of which go through the entire slab potentially exposing the
rebar to corrosion and causing leakage of oxygen. The leaking oxygen imposes a safety concern because of the potential for it to
accumulate in confined areas potentially creating an oxygen-enriched environment.Additionally,there are large areas of surface
spalling where the top layer of reinforcement is exposed, causing corrosion of the metal. This project will rehabilitate or restore
the reinforcement as needed and replace the spalled concrete with an epoxy-based mortar to cover and protect the reinforcement
from being compromised further and to maintain the structural integrity of the deck.
The project's construction cost is$940,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 44,873 44,873
Prelim Design 55,191 55,191
Design 393,097 393,097
Construction 593,240 423,751 1,016,991
Commissioning
Close-out 22,705 24,804 47,509
Contingency 208,429 927,985 105,925 1,242,339
Total 1,317,535 1,376,540 105,925 2,800,000
Reimbursable Costs: N/A
Section 8-Page 65
2018-19 & 2019-20 Budget
Project Name& Number Central Generation Rehabilitation at Plant No.2 - P2-119
Project Category Utility Systems Project Status: Continuing
Description
This project will rehabilitate the Plant 2 Cen Gen facility equipment including the lube oil system,
the engine jacket water loop, steam loop, hot water loop, cooling water loop, HVAC system, starting
air and instrumentation air systems, exhaust gas monitoring system, miscellaneous building
improvements, and allowance for electrical and I&C improvements.
:. r
Utility Systems
Justification
Cen Gen equipment had been rebuilt through regular maintenance program, or by CIP projects working in the area.There has not
been a project just focusing on the condition assessment and rehabilitation of overall Cen Gen facility equipment, particularly the
equipment that are too large to be rebuilt through regular maintenance.
The project's construction cost is$64,850,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 1,602,674 1,602,674
Prelim Design 3,570,566 3,570,566
Design 16,697,868 16,697,868
Construction 86,521,873 86,521,873
Commissioning 2,445,716 2,445,716
Close-out 1,302,953 1,302,953
Contingency 1,858,350 1,858,350
Total 114,000,000 114,000,000
Reimbursable Costs: N/A
Section 8-Page 66
CIP Project Detail Sheets
Project Name& Number Banning Gate Relocation and Grading at Plant 2 - P2-120
Project Category Others Project Status: Continuing
Description
This project relocates the Plant No. 2 vehicular gate near Banning Avenue to align with Banning
Avenue.This includes moving the gate and supporting infrastructure such as the wall, curb, gutter,
and sidewalk. It will also re-grade the pavement in Plant No. 2 in this area to improve drainage and
storm water flow.
Others
Justification
This project is needed to improve traffic flow so that vehicles, in particular trucks, may exit left from the Banning Avenue gate.
Currently, if vehicles need to drive to the south, they must exit to the north and perform a u-turn.Aligning the gate with the
intersection should reduce unnecessary travel. The grading will reduce ponding that occurs during storm events.
The project's construction cost is$1,430,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 2,418 655 3,073
Prelim Design 44,629 17,388 62,017
Design 154,751 310,253 37,320 502,324
Construction 1,843,294 1,843,294
Commissioning 38,375 38,375
Close-out 51,893 51,893
Contingency 4,823 13,833 30,217 43,761 337,390 430,024
Total 7,241 59,117 202,356 354,014 2,308,272 2,931,000
Reimbursable Costs: N/A
Section 8-Page 67
2018-19 & 2019-20 Budget
Project Name& Number Headworks Modifications at Plant 2 for GWRS Final Expansion - P2-122
Project Category Headworks Project Status: Continuing
Description
This project will modify the Headworks, related piping, and sidestream flow routing to separate
reclaimable and non-reclaimable flows to accommodate the Orange County Water District's
Groundwater Replenishment System Final Expansion. Work elements include installing a new 66-
inch diameter flow diversion, installing or upgrading existing gates, and modification of waste
sidestream pump station discharge piping to the non-reclaimable portion of the plant.The work
includes replacing three existing main sewage pumps with new, smaller pumps. 6 1
Headworks
Justification
This project is necessary to separate reclaimable and non-reclaimable flows to accommodate the Orange County Water District's
Groundwater Replenishment System Final Expansion project. The planning project SP-173 was completed in October 2016 that
recommended the modification option.
The project's construction cost is$33,680,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 623,315 623,315
Prelim Design 1,953,767 608,528 2,562,295
Design 40 1,568,666 1,843,479 173,304 3,585,489
Construction 28,817 3,809,209 15,344,309 16,102,803 4,193,871 39,479,009
Commissioning 139,981 493,716 557,234 226,717 1,417,648
Close-out 322,471 322,471
Contingency 37,743 274,570 428,407 519,649 1,067,122 1,681,415 2,000,867 6,009,773
Total 2,614,865 2,451,764 2,300,703 4,642,143 16,905,147 18,341,452 6,743,926 54,000,000
Reimbursable Costs: N/A
Section 8-Page 68
CIP Project Detail Sheets
Project Name& Number Return Activated Sludge Piping Replacement at Plant No 2 - P2-123
Project Category Secondary Treatment Project Status: Revised
Description
The Activated Sludge(AS)facility was built in 1979 as part of multi-facility treatment improvement. 1000
000 000
The work consists of the removal and replacement of the existing deteriorated AS piping, valves,
valve actuators,flexible couplings, and pipe supports located in the AS pump stations east and
west, Kinnison tunnel, and Scott tunnel at Plant No. 2.All piping and associated appurtenances will 000 000
be replaced in kind,with the exception of the butterfly valves,which will be replaced with plug
valves.
000 000 000
1
Secondary
Treatment
Justification
The AS facility has experienced major leaks in various locations within its piping system. Multiple repair methods have been used
with varying success. Based on the results of a recent assessment and O&M concerns, a recommendation was made to
rehabilitate the piping immediately. Due to the level of corrosion of the pipes, replacement is the only feasible option.
The project budget has been decreased from$15,000,000 to$12,750,000. The reduced budget is a result of changes in the
project elements identified from recent engineering efforts. The project's construction cost is$7,000,000. This project will not
have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 83,618 83,618
Prelim Design 1,326 1,326
Design 276,983 1,216,607 150,013 1,643,603
Construction 72,004 3,803,341 4,431,693 572,039 8,879,077
Commissioning 31,479 116,561 148,040
Close-out 27,261 69,019 96,280
Contingency 32,308 159,294 388,406 819,488 498,560 1,898,056
Total 394,235 1,447,905 4,373,239 5,395,003 1,139,618 12,750,000
Reimbursable Costs: N/A
Section 8-Page 69
2018-19 & 2019-20 Budget
Project Name& Number Interim Food Waste Receiving Facility - P2-124
Project Category Solids Handling &Digestion Project Status: Revised
Description
This project will construct a station to receive, store, and feed pre-processed food waste slurry to
the digester complex at Plant 2 to generate additional digester gas. The cost of the project will be
offset by revenues from tipping fees charged to food waste haulers. This facility will be replaced
with a permanent receiving station following completion of a proposed program to replace existing
digesters at Plant 2. I:t
Solids H 3 ,0.1 Rq;
'k�6y:!yiigE,A�,I l
& Dig7' z
Justification
This project was identified in the Biosolids Master Plan, Project No. PS15-01, to address the need for solid waste generators and
haulers to divert organic waste from landfills. Waste haulers will separate organics at the source, screen, and process the high
strength organic waste into a liquid slurry. The Sanitation District's costs to construct, operate the facilities, and handle the
additional biosolids production will be offset by tipping fees charged to haulers and additional power associated with increased
digester gas production.
The project budget has been increased from$5,400,000 to$6,300,000. The increased budget is needed based on changes in the
project elements identified from recent engineering efforts. The project's construction cost is$3,380,000. The impacts to
operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 53,274 29,573 82,847
Prelim Design 230,064 45,370 275,434
Design 281,523 248,938 530,461
Construction 135,299 3,796,260 302,656 4,234,215
Commissioning 2,601 73,377 75,978
Close-out 12,752 86,532 99,284
Contingency 6,148 44,449 85,477 133,172 292,596 373,484 66,455 1,001,781
Total 59,422 304,086 412,370 517,409 4,104,209 836,049 66,455 6,300,000
Reimbursable Costs: N/A
Section 8-Page 70
CIP Project Detail Sheets
Project Name& Number Perimeter Screening at Plant No.2 - P2-125
Project Category Others Project Status: Continuing
Description or
This project will install landscaping or other appropriate line-of-sight barriers to minimize the visual
impact on neighbors and traffic on Pacific Coast Highway and Brookhurst street. The work is
expected to include construction of a berm along the south perimeter and additional landscaping on
the berm and along the Brookhurst perimeter.
Others
Justification
This project is necessary to minimize the visual impact on neighbors and traffic on Pacific Coast Highway and Brookhurst Street
from proposed digesters to be built on the Southwest corner of plant.
The project's construction cost is$1,310,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 36,338 46,872 83,210
Prelim Design 37,846 84,875 122,721
Design 83,829 218,551 36,299 338,679
Construction 675,166 977,789 1,652,955
Commissioning 369 1,054 1,423
Close-out 23,232 1,618 24,850
Contingency 3,215 20,993 50,794 79,803 134,131 235,143 52,083 576,162
Total 39,553 105,711 219,498 298,354 845,965 1,237,218 53,701 2,800,000
Reimbursable Costs: N/A
Section 8-Page 71
2018-19 & 2019-20 Budget
Project Name& Number Plant 2 Warehouse Relocation - P2-126
Project Category Support Facilities Project Status: Continuing
Description
The project will construct a replacement for the existing warehouse located in the southwest corner
of Plant 2,which must be demolished to accommodate the proposed Temperature Phased
Anaerobic Digestion facilities. •
Oi
Support Facilities
Justification
The area where the Plant 2 Warehouse is currently located is needed to accommodate facilities associated with the new digester
project. These new facilities must be near the new digesters.
The project's construction cost is$5,320,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 61,642 94,682 156,324
Prelim Design 53,323 51,514 104,837
Design 431,002 532,209 263,775 1,226,986
Construction 586,470 5,184,128 705,454 6,476,052
Commissioning 5,920 87,742 29,277 122,939
Close-out 55,240 55,240
Contingency 5,124 47,419 155,594 269,441 490,826 689,218 1,657,622
Total 497,768 195,424 739,317 1,125,606 5,762,696 1,479,189 9,800,000
Reimbursable Costs: N/A
Section 8-Page 72
CIP Project Detail Sheets
Project Name& Number Plant 2 Collections Yard Relocation - P2-127
Project Category Support Facilities Project Status: Revised
Description
This project will replace the existing Collections Facilities yard and fencing in a new location, yet to
be determined.
Oi 0
Support Facilities
Justification
The area where this facility is currently located is needed for the new Temperature Phased Anaerobic Digestion facilities.
The project budget has been increased from$1,500,000 to$1,840,000. The increased budget is needed based on changes in the
project elements identified from recent engineering efforts. The project's construction cost is$900,000. The impacts to
operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 1,735 187 1,922
Prelim Design 38,844 38,844
Design 43,780 106,029 164,841 314,650
Construction 1,154,622 1,154,622
Commissioning 24,043 24,043
Close-out 32,504 32,504
Contingency 6,191 25,796 241,428 273,415
Total 51,706 170,856 1,617,438 1,840,000
Reimbursable Costs: N/A
Section 8-Page 73
2018-19 & 2019-20 Budget
Project Name& Number TPAD Digester Facility at Plant 2 - P2-128
Project Category Support Facilities Project Status: Revised
Description
This project is the largest of a set of related projects to replace the mesophilic anaerobic digesters
at Plant 2 with new digesters in a temperature-phased anaerobic digester(TPAD)configuration.
This project will include six new thermophilic digesters, batch tanks, cooling facilities, and •
associated sludge pumping, digester mixing, power distribution, and controls. Replacement and
demolition of existing digesters will be included in a separate project. 0i
Support Facilities
Justification
The 2017 Biosolids Master Plan conducted a comprehensive evaluation of end-to-end alternatives for solids processing at Plant
No. 2. The study was prompted by seismic and condition deficiencies in many of the existing digesters. The evaluation concluded
that the best alternative was to replace the existing digester complex with a temperature-phased anaerobic digestion process with
batch tanks to meet Class A requirements. One of the key benefits of this approach is that when the thermophilic digesters are
placed into service,the Sanitation District would be able to produce classified sludge even if the existing digesters failed due to
seismic event.
The project budget has been decreased from$419,000,000 to$405,100,000. The reduced budget is a result of an updated
estimate to complete the work as determined in the 2017 Facilities Master Plan. The project's construction cost is$265,140,000.
The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 175,935 46,781 222,716
Prelim Design 1,248,024 4,375,449 17,076 5,640,549
Design 262,046 6,351,808 9,966,534 16,580,388
Construction 297,698,813 297,698,813
Commissioning 5,370,611 5,370,611
Close-out 4,772 4,772
Contingency 730,123 1,424,140 2,366,510 3,911,278 71,150,100 79,582,151
Total 906,058 2,718,945 7,004,005 10,280,162 384,190,830 405,100,000
Reimbursable Costs: N/A
Section 8-Page 74
CIP Project Detail Sheets
Project Name& Number Digester P, Q, R, and S Replacement - P2-129
Project Category Solids Handling &Digestion Project Status: Revised
Description
This project will replace, or extensively rehabilitate Digesters P, Q, R, and S to address both
condition issues, seismic deficiencies, and liquefaction risks, and relocated the ferric facility to the
new digesters location. The new P, Q, R, S digesters will be the mesophillic phase of the TPAD
process.
Solids H 3 ,0.1 Rq;
'k�6y:!yiigE,A�,I l
& Dig7' z
Justification
Digesters P, Q, R, and S are subject to liquefaction in the event of an earthquake,there are known structural deficiencies with the
structures, and a thorough rehabilitation of mechanical and electrical systems is required based on age and condition.
The project budget has been increased from$158,000,000 to$166,000,000. The increased budget is needed based on
escalation of costs associated with delaying the project as determined in the 2017 Facilities Master Plan. The project's
construction cost is$99,640,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 238,535 238,535
Prelim Design 371,655 371,655
Design 12,695,574 12,695,574
Construction 114,346,644 114,346,644
Commissioning 7,116,694 7,116,694
Close-out 1,288,131 1,288,131
Contingency 29,942,767 29,942,767
Total 166,000,000 166,000,000
Reimbursable Costs: N/A
Section 8-Page 75
2018-19 & 2019-20 Budget
Project Name& Number B/C-Side Primary Clarifiers Rehabilitation at Plant 2 - P2-133
Project Category Primary Treatment Project Status: New
Description
This project will extensively rehabilitate the C-Side primary clarifiers at Plant No. 2. The work is 000000
expected to include structural improvements, replacement of all mechanical and electrical systems, (i)
00000000
new covers for odor control, and miscellaneous upgrades. This work was originally included in 000000000
Primary Treatment Rehabilitation at Plant No. 2, Project No. P2-98, but was broken out into a separate project due to the significant time interval between the two projects, and the lower degreeO Oof scope definition of this project. O O
Primary
Treatment
Justification
The project is necessary to modify aging clarifiers and their associated mechanical and electrical systems. A concept study was
completed in 2015 that recommended these permanent repairs.
The project's construction cost is$149,940,000. The impacts to operational budgets have not yet been determined.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 358,966 358,966
Prelim Design 559,291 559,291
Design 19,105,224 19,105,224
Construction 172,077,227 172,077,227
Commissioning 10,709,722 10,709,722
Close-out 1,938,473 1,938,473
Contingency 44,811,097 44,811,097
Total 249,560,000 249,560,000
Reimbursable Costs: N/A
Section 8-Page 76
CIP Project Detail Sheets
Project Name& Number Plant No.2 Digester Facilities Rehabilitation - P2-91-1
Project Category Solids Handling &Digestion Project Status: Revised
Description
This project will rehabilitate all the Plant 2 Digesters.The extent of rehabilitation will vary per
digester but may include mechanical equipment and piping including sludge mixing system, sludge
recirculation and heating system, hot water system, auxiliary equipment, repair of concrete
structure, miscellaneous safety item, and related electrical and instrumentation work.
Solids
9f
Justification
The Biosolids Master Plan mandates that the existing small digesters will be replaced by six Temperature-Phased Anaerobic
Digesters(TPAD)and the four larger digesters will either be fully rehabilitated or rebuilt. It will take about 10-15 years to finish the
design and construction of the new digesters in a phased manner. In order to keep all the existing digesters online until they are
replaced,this project will complete smaller rehabilitation projects on the digesters to extend their useful lives.
The project budget has been decreased from$49,220,000 to$20,000,000. The reduced budget is a result of changes in the
project elements identified from recent engineering efforts. The project's construction cost is$8,270,000. This project will not
have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 317,818 317,818
Prelim Design
Design 64,636 533,085 612,116 634,793 736,729 682,978 52,416 3,316,753
Construction 370,770 1,788,356 1,830,982 2,039,027 2,221,012 2,029,271 1,978,100 12,257,518
Commissioning 104,887 106,138 109,063 109,064 93,183 522,335
Close-out 201,869 201,869
Contingency 25,303 185,824 295,037 398,908 539,865 656,872 1,281,899 3,383,708
Total 778,526 2,507,265 2,843,022 3,178,866 3,606,669 3,478,185 3,607,467 20,000,000
Reimbursable Costs: N/A
Section 8-Page 77
2018-19 & 2019-20 Budget
Project Name& Number Sludge Dewatering and Odor Control at Plant 2 - P2-92
Project Category Solids Handling &Digestion Project Status: Continuing
Description
This project constructs facilities to reduce biosolids handling and disposal costs, replace aging
sludge dewatering facilities, and provides associated odor control facilities. The project will also
demolish the existing Belt Press Dewatering Building, and two unused sludge cake storage silos.
This budget also includes construction of Truck Loading Bay Odor Control, Contract No. P2-92A,
which is built under a separate construction contract.
Solids
9f
Justification
This project will replace the dewatering facilities that have reached the end of their service life. Based on the Long Range
Biosolids Master Plan, a newer dewatering technology, centrifuges,will be utilized to reduce the amount of water in the biosolids
hauled offsite to reduce biosolids management disposal costs.
The project's construction cost is$55,060,000. This project will decrease operational budgets by$1,800,000 annually. Sludge
hauling and disposal costs will drop because there will be less moisture in the sludge. This operational savings factors in the
additional energy and chemical costs associated with operating centrifuges.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 1,298,345 1,298,345
Prelim Design 2,793,707 2,793,707
Design 7,163,556 7,163,556
Construction 56,868,202 11,316,664 4,477,450 121,704 72,784,020
Commissioning 380,673 995,599 1,326,155 147,119 2,849,546
Close-out 681,544 681,544
Contingency 223,722 1,065,750 989,900 609,090 17,820 2,906,282
Total 68,728,205 13,378,013 6,793,505 1,559,457 17,820 90,477,000
Reimbursable Costs: N/A
Section 8-Page 78
CIP Project Detail Sheets
Project Name& Number Primary Treatment Rehabilitation at Plant 2 - P2-98
Project Category Primary Treatment Project Status: Revised
Description O 0
The primary treatment facilities at Plant No. 2 consist of 14 circular clarifiers which are supported by 000000
influent piping, influent distribution structures, effluent piping and sludge pumping units. The 00000000
clarifiers are covered with geodesic domes which collect foul air from the clarifiers for conveyance 000000000
and treatment at two foul air scrubbing complexes.The first phase of the project will provide interim �^^�
repairs to the ten clarifiers on B and C Side, and pipelines to provide necessary reliability when the 000000000
A-Side clarifiers are taken out of service.The second phase will replace the four clarifiers on A- 00000000
Side, construct a new odor control system, and provide a new power building. ��
00
000
Primary
Treatment
Justification
This project is necessary to modify the aging clarifiers and their associated mechanical and electrical systems.A concept study
was completed in January 2015 that recommended the replacement and repair.
The project budget has been decreased from$491,000,000 to$245,000,000. The reduced budget is a result of transferring the
major rehabilitation work for the B-side and C-Side clarifiers to Project No. P2-133 . The project's construction cost is
$157,610,000. This project will increase operational budgets by$50,000 annually due to additional effort to monitor clarifiers with
flat covers.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 828,155 828,155
Prelim Design 8,159,888 1,112,479 9,272,367
Design 948,259 2,656,728 3,454,982 5,060,232 1,154,411 13,274,612
Construction 3,806 439,833 4,114,015 4,112,11E 10,658,795 36,644,255 122,123,232 178,096,054
Commissioning 1,795 5,557 222,519 744,986 2,826,355 3,801,212
Close-out 73,488 14,838 1,209,886 1,298,212
Contingency 51,131 641,647 1,429,883 2,659,806 2,716,943 3,956,665 26,973,313 38,429,388
Total 9,991,239 4,850,687 9,000,675 11,911,201 14,767,506 41,345,906 153,132,786 245,000,000
Reimbursable Costs: N/A
Section 8-Page 79
2018-19 & 2019-20 Budget
Project Name& Number EAM Software and Process Implementation - SP-100
Project Category Information Management Systems Project Status: Continuing
Description
This project will implement the IBM Maximo System in support of the Enterprise Asset Management
program. The system will replace the current Computerized Maintenance Management System.
The system will manage asset data and asset activities throughout the asset lifecycle.
Information
Management
Systems
Justification
The IBM Maximo System will provide the means to manage asset to achieve the highest return at low risk by improving asset
usage and reducing cost. The system will also manage asset lifecycle, provide visibility into asset performance, streamline
process by eliminating paper work order, and reduce maintenance cost. The system will be integrated with other District system
(i.e. FIS, GIS, and Timecard).
The project's construction cost is$210,000. This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 1,306,829 1,306,829
Prelim Design 412,837 412,837
Design 2,119,035 373,980 686,232 3,179,247
Construction 864,288 319,982 243,464 1,427,734
Commissioning 223,344 41,024 41,024 305,392
Close-out 35,846 35,846
Contingency 52,983 206,969 207,797 210,278 154,087 832,114
Total 5,015,163 941,955 1,178,517 210,278 154,087 7,500,000
Reimbursable Costs: N/A
Section 8-Page 80
CIP Project Detail Sheets
Project Name& Number Geographic Information System - SP-15
Project Category Information Management Systems Project Status: Revised
Description
Geographic Information Systems(GIS)can be utilized at the District for any works project such as
collections, ocean monitoring,flow studies, rate structure studies, and construction. The GIS can
be a planning tool for Asset Management, and a reporting tool for Permits and Sewer Shed
Modeling. Other regional programs that would utilize the GIS are Bacteria Investigations,Air
Quality, Special Purpose Discharge Permits, Connection Permits, and Source Control Permits. A I I I I I I I
goal of the project is to enable Internet access to the District's GIS and Electronic Data
Management System (EDMS)by consultants to collect data for projects and to check out and check
in drawings. The public would also benefit through Internet access to reports and news about
District's projects. Information
Management
Systems
Justification
There is a need for spatial data control, and a reporting tool that can graphically display the District's data on maps via the Internet
for reporting to agencies,the public, and across the organization.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 801,985 801,985
Prelim Design 121,040 121,040
Design 141,989 26,631 26,631 195,251
Construction 1,825,679 249,445 249,445 2,324,569
Commissioning 2,091 2,091
Close-out 24,476 24,476
Contingency 151,529 591,912 355,147 1,098,588
Total 3,068,789 867,988 631,223 4,568,000
Reimbursable Costs: N/A
Section 8-Page 81
2018-19 & 2019-20 Budget
Project Name& Number Climate Resiliency Study - SP-152
Project Category Strategic&Master Planning Project Status: Continuing
Description
This study provides a site-specific vulnerability analysis of potential impacts of climate change on
OCSD's infrastructure and operations in response to the Governor's Executive Order(EO)S-13-08. �:
OCSD's Climate Change/Environmental Footprint Initiative started in 2007 and has completed a
detailed carbon footprint study.The next step and the subject of this study includes a site-specific -
assessment to identify threats to infrastructure and operations and develop resilience strategies to
reduce vulnerabilities to weather extremes, climate change and variability.
&
Master Planning
Justification
On November 14, 2008, Governor Arnold Schwarzenegger issued an executive order directing state agencies to plan for sea level
rise and climate impacts.The executive order predicts global warming may lead to thermal expansion of sea water, along with
partial melting of land-based glaciers and sea-ice, resulting in a rise of sea level.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 32,986 68,452 187,649 289,087
Prelim Design
Design
Construction
Commissioning
Close-out
Contingency 19,035 120,305 161,573 300,913
Total 52,021 188,757 349,222 590,000
Reimbursable Costs: N/A
Section 8-Page 82
CIP Project Detail Sheets
Project Name& Number Bay Bridge Pumpstation and Force Mains Rehabilitation Study - SP-178
Project Category Collections Facilities Project Status: Continuing
Description
This project will investigate opportunities to replace and relocate the Bay Bridge Pump Station and
replace the forcemains under the Newport Bay Channel.The pump station and forcemains are
aging and undersized.This project will also investigate operation, maintenance, and code
compliance issues associated with the Bay Bridge Pump Station and the force mains leaving the
station.This includes CEQA requirements, odor control needs, equipment inspection, hydraulic
capacities, National Fire Protection Association (NFPA)compliance, and Occupational Safety& �v
Health Administration (OSHA)requirements.
Collections
Facilities
Justification
This project will provide needed recommendations and direction for future Project No. 5-67, Bay Bridge Pumping Station Upgrade
and Rehabilitation.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 666,740 666,740
Prelim Design
Design 58,202 58,202
Construction 58 58
Commissioning
Close-out
Contingency
Total 725,000 725,000
Reimbursable Costs: N/A
Section 8-Page 83
2018-19 & 2019-20 Budget
Project Name& Number Capital Improvement Program Management Services - SP-195
Project Category Others Project Status: Continuing
Description
Program management consulting services for the Capital Improvement Program not related on any
one specific project, but on the management of the projects as a whole. Includes consulting
services related to best practices in project and program management including risk analysis,
benchmarking, analysis of key performance indicators(KPI), program metrics, and data analysis.
May also include review of project controls including project budgeting, cash flow analysis and
project scheduling.
Others
Justification
Project facilitates continuous improvements to program management practices to maintain effectiveness in managing the Capital
Improvement Program as business practices and the project makeup of the CIP evolves.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 5,826 5,826
Prelim Design
Design 19,620 100,005 119,625
Construction 45,184 45,184
Commissioning
Close-out
Contingency 129,365 129,365
Total 70,630 229,370 300,000
Reimbursable Costs: N/A
Section 8-Page 84
CIP Project Detail Sheets
Project Name& Number Process Control Systems Upgrades Study - SP-196
Project Category Information Management Systems Project Status: Continuing
Description
This study will evaluate and identify suitable replacements for the existing Supervisory Control and
Data Acquisition (SCADA)Systems for the treatment plants and pump stations,which includes
Human Machine Interface(HMI)hardware and HMI software, Programmable Logic Controllers
(PLCs), Historian, import-export tools to align HMI servers, and security and administrative
requirements for the Industrial Control System (ICS) network.These improvements will provide I I I I I I I
greater reliability and system continuity by replacing the existing obsolete HMI systems, databases
and software programs,to provide trending, diagnostic data, monitoring, control, automation and
management information such as logistic information, detailed linked Standard Operating
Procedures (SOPs), and expert-system troubleshooting guides. This study will review the latest Information
technology offerings, evaluate the existing process networks and hardwired network configuration
and recommend changes, define system reliability, redundancy, performance and scan time Management
requirements, identify software programming tools that need replacement, evaluate enterprise wide
process data integration needs, evaluate and define requirements for current and future SCADA Systems
and ICS security requirements, define requirements for upgrading HMI and PLC hardware and
software standards.
Justification
The existing HMI system consisting of the CRISP software and associated SCADA sub systems is obsolete. The CRISP software
has a limited customer installed base and technical expertise for support and source code modifications will become scarce in the
future. The CRISP HMI software in conjunction with the SCADA sub systems provides important data communications for
treatment process and plant monitoring, control, automation, visualization, alarm handling and notification. The existing Quantum
PLCs that are currently being used throughout the treatment plants and pump stations are no longer being manufactured.. The
manufacturer has developed a family of replacement PLC processors and ancillary equipment with enhanced capabilities and
security features.A new processor system will also be evaluated and selected to provide a long-term,20-year plus life. Reliability
and maintainability of the SCADA systems is critical to maintaining regulatory compliance for both the collections system and the
treatment plants.
This project will not have an impact on operational budgets.
Budget Projections
Budget Phase Cost To- 2018-2019 2019-20 2020-21 2021-22 2022-23 Thereafter Total Project
Date Budget
Proj Dev 618,462 1,269,017 823,321 2,710,800
Prelim Design 1,716 1,716
Design 19 19
Construction
Commissioning
Close-out
Contingency 100,849 393,945 346,671 841,465
Total 721,046 1,662,962 1,169,992 3,554,000
Reimbursable Costs: N/A
Section 8-Page 85
2018-19 & 2019-20 Budget
Collection System Improvement Projects - Budget by Project Status
Project Total New Continuing Revised Future
Number Title Budget Project Project Project Project
Collections Facilities
1-101 Raitt&Bristol Street Sewer Extension $ 7,100,000 $ 7,100,000
11-25 Edinger Bolsa Chica Trunk Impr. 5,159,000 5,159,000
11-33 Edinger Pump Station Upgrade&Rehab 14,100,000 14,100,000
11-34 Slater Avenue Pump Station Rehab 25,300,000 25,300,000
2-41-8 SARI Rock Stabilizers Removal 6,860,000 6,860,000
2-49 Taft Branch Impr. 2,130,000 2,130,000
2-65 Newhope-Placentia Trunk Grade Separation Repl. 4,300,000 4,300,000
2-72 Newhope-Placentia Trunk Repl. 112,000,000 112,000,000
2-73 Yorba Linda Pump Station Abandonment 10,800,000 10,800,000
2-76 Tustin Rose OCTA Grade Separation 455,000 455,000
3-60 Beach Trunk/Knott Interceptor Sewer Relief 136,000,000 136,000,000
3-62 Westminster Blvd Force Main Repl. 54,000,000 54,000,000
3-64 Rehab of Western Regional Sewers 202,000,000 202,000,000
3-66 Interstate 405 Widening Project Impacts on OCSD Sewers 528,000 528,000
3-67 Seal Beach Pump Station Repl. 78,900,000 78,900,000
3-68 Los Alamitos Sub-Trunk Extension 66,000,000 66,000,000
5-60 Newport Force Main Rehab 59,668,000 59,668,000
5-66 Crystal Cove Pump Station Upgrade&Rehab 17,900,000 17,900,000
5-67 Bay Bridge Pump Station Repl. 64,000,000 64,000,000
5-68 Newport Beach Pump Stations Pressurization Impr. 4,066,000 4,066,000
6-17 District 6 Trunk Sewer Relief 7,965,000 7,965,000
7-37 Gisler-Red Hill Trunk Impr.-Reach B 25,213,000 25,213,000
7-63 MacArthur Pump Station Rehab 13,100,000 13,100,000
7-64 Main Street Pump Station Rehab 60,400,000 60,400,000
7-65 Gisler-Red Hill Interceptor Rehab 14,800,000 14,800,000
SP-178 Bay Bridge Pumpstation&Force Mains Rehab Study 725,000 725,000
Collections Facilities Total Budget 993,469,000 144,900,000 339,325,000 202,455,000 306,789,000
Section 8-Page 86
Summary by Project Status
Treatment & Disposal Projects - Budget by Project Status
Project Total New Continuing Revised Future
Number Title Budget Project Project Project Project
Headworks
P1-105 Headworks Rehab&Expansion at P1 370,000,000 370,000,000
P1-123 Trunk Line Odor Control Impr. 9,299,000 9,299,000
P2-122 Headworks Modifications at P2 for GWRS Final Expansion 54,000,000 54,000,000
Headworks Total Budget 433,299,000 63,299,000 370,000,000
Primary Treatment
P1-126 Primary Clarifiers Repl.s&Impr.at P1 106,000,000 106,000,000
P1-133 Primary Clarifiers 6-31 Reliability Impr.at P1 21,500,000 21,500,000
P2-133 B/C-Side Primary Clarifiers Rehab at P2 249,560,000 249,560,000
P2-98 Primary Treatment Rehab at P2 245,000,000 245,000,000
Primary Treatment Total Budget 622,060,000 271,060,000 351,000,000
Secondary Treatment
P1-129 Return Activated Sludge Piping Repl.at Activated Sludge P1 7,900,000 7,900,000
P2-123 Return Activated Sludge Piping Repl.at Plant No 2 12,750,000 12,750,000
P2-118 Activated Sludge Aeration Basin Deck Repair at P2 2,800,000 2,800,000
Secondary Treatment Total Budget 23,450,000 2,800,000 20,650,000
Solids Handling&Digestion
P2-124 Interim Food Waste Receiving Facility 6,300,000 6,300,000
P1-100 Digester Rehab at P1 66,000,000 66,000,000
P1-101 Sludge Dewatering&Odor Control at P1 199,500,000 199,500,000
P2-91-1 P2 Digester Facilities Rehab 20,000,000 20,000,000
P2-92 Sludge Dewatering&Odor Control at P2 90,477,000 90,477,000
P2-129 Digester P,Q,R,&S Repl. 166,000,000 166,000,000
Solids Handling&Digestion Total Budget 548,277,000 90,477,000 457,800,000
Ocean Outfall Systems
J-117 Ocean Outfall System Rehab 166,000,000 166,000,000
Ocean Outfall Systems Total Budget 166,000,000 166,000,000
Utility Systems
J-121 UPS System Upgrades 4,700,000 4,700,000
J-124 Digester Gas Facilities Rehab 96,500,000 96,500,000
J-127 Natural Gas Pipelines Repl.at P1&P2 1,310,000 1,310,000
J-98 Electrical Power Distribution System Impr. 34,608,000 34,608,000
P2-119 Central Generation Rehab at P2 114,000,000 114,000,000
Section 8-Page 87
2018-19 & 2019-20 Budget
Treatment & Disposal Projects - Budget by Project Status
Project Total New Continuing Revised Future
Number Title Budget Project Project Project Project
Utility Systems
P1-132 Uninterruptable Power Supply Impr.at P1 4,800,000 4,800,000
P1-127 Central Generation Rehab at P1 87,000,000 87,000,000
P2-110 Consolidated Demolition&Utility Impr.at P2 31,000,000 31,000,000
Utility Systems Total Budget 373,918,000 303,610,000 31,000,000 39,308,000
Process Related Special Projects
J-126 Safety Impr.Program 19,000,000 19,000,000
Process Related Special Projects Total Budget 19,000,000 19,000,000
Information Management Systems
J-120 Process Control Systems Upgrades 46,000,000 46,000,000
J-128 Project Mgmt.Information System 4,000,000 4,000,000
M-MC-IT Information Technology Capital Program 10,000,000 10,000,000
P2-107 SCADA System&Network Upgrades 5,000,000 5,000,000
SP-100 EAM Software&Process Implementation 7,500,000 7,500,000
SP-15 Geographic Information System 4,568,000 4,568,000
SP-196 Process Control Systems Upgrades Study 3,554,000 3,554,000
Information Management Systems Total Budget 80,622,000 30,054,000 4,568,000 46,000,000
Strategic&Master Planning
SP-152 Climate Resiliency Study 590,000 590,000
M-STUDIES Planning Studies Program 28,652,000 28,652,000
Strategic&Master Planning Total Budget 29,242,000 29,242,000
Water Management Projects
J-36-2 GWRS Final Expansion Coordination 1,132,000 1,132,000
Water Management Projects Total Budget 1,132,000 1,132,000
Research
M-RESEARCH Research Program 8,500,000 8,500,000
Research Total Budget 8,500,000 8,500,000
Support Facilities
M-SM-CAP Operations&Maintenance Capital Program 15,622,000 15,622,000
P1-115 Title 24 Access Compliance&Building Rehab Project 18,400,000 18,400,000
J-131 18350 Mt.Langley St.Building Purchase&Improvement 11,000,000 11,000,000
M-FE Small Construction Projects Program 55,000,000 55,000,000
P1-128 P1-128 Headquarters Complex&Site Security at P1 179,067,000 179,067,000
P2-126 P2 Warehouse Relocation 9,800,000 9,800,000
Section 8-Page 88
Summary by Project Status
Treatment & Disposal Projects - Budget by Project Status
Project Total New Continuing Revised Future
Number Title Budget Project Project Project Project
Support Facilities
P2-127 P2 Collections Yard Relocation 1,840,000 1,840,000
P2-128 TPAD Digester Facility at P2 405,100,000 405,100,000
Support Facilities Total Budget 695,829,000 204,489,000 491,340,000
Others
P2-120 Banning Gate Relocation&Grading at P2 2,931,000 2,931,000
P2-125 Perimeter Screening at P2 2,800,000 2,800,000
SP-195 Capital Improvement Program Mgmt.Services 300,000 300,000
Others Total Budget 6,031,000 6,031,000
Total Treatment and Disposal Projects 3,007,360,000 271,060,000 916,134,000 1,734,858,000 85,308,000
Total Collections Facilities 993,469,000 144,900,000 339,325,000 202,455,000 306,789,000
Capital Equipment Purchases 9,593,700 9,593,700
Total Capital Improvement Program Budget $4,010,422,700 $415,960,000 $1,265,052,700 $1,937,313,000 $392,097,000
Section 8-Page 89
2018-19 & 2019-20 Budget
Collection System Improvement Projects
Project Name Total Percentage Allocation Total Project Cost Budget
Project Rehab/ Strategic Additional Regulatory Rehab./ Strategic Additional Regulatory
Budget Repl Initiative Capacity Replacement Initiative Capacity
Collections Facilities
Raitt&Bristol Street Sewer Extension $ 7,100,000 100% $ 7,100,000
Edinger Bolsa Chica Trunk Impr. 5,159,000 100% - 5,159,000
Edinger Pump Station Upgrade&Rehab 14,100,000 100% 14,100,000 -
Slater Avenue Pump Station Rehab 25,300,000 100°% 25,300,000
SARI Rock Stabilizers Removal 6,860,000 100% 6,860,000
Taft Branch Impr. 2,130,000 100% 2,130,000
Newhope-Placentia Trunk Grade Separation Repl. 4,300,000 100% - - 4,300,000
Newhope-Placentia Trunk Repl. 112,000,000 25% 25% 50% 28,000,000 28,000,000 56,000,000
Yorba Linda Pump Station Abandonment 10,800,000 100% - 10,800,000
Tustin Rose OCTA Grade Separation 455,000 100% - - 455,000
Beach Trunk/Knott Interceptor Sewer Relief 136,000,000 100% - 136,000,000
Westminster Blvd Force Main Repl. 54,000,000 100% 54,000,000 -
Rehab of Western Regional Sewers 202,000,000 75% 25% 151,500,000 50,500,000 -
Interstate 405 Widening Project Impacts on OCSD 528,000 100% - - 528,000
Sewers
Seal Beach Pump Station Repl. 78,900,000 100% 78,900,000
Los Alamitos Sub-Trunk Extension 66,000,000 75% 25% 49,500,000 16,500,000
Newport Force Main Rehab 59,668,000 100% 59,668,000 -
Crystal Cove Pump Station Upgrade&Rehab 17,900,000 50% 50% 8,950,000 8,950,000
Bay Bridge Pump Station Repl. 64,000,000 75% 25% 48,000,000 16,000,000
Newport Beach Pump Stations Pressurization Impr. 4,066,000 50% 50% 2,033,000 2,033,000 -
District 6 Trunk Sewer Relief 7,965,000 50% 50% 3,982,500 - 3,982,500
Gisler-Red Hill Trunk Impr.-Reach B 25,213,000 50% 50% 12,606,500 12,606,500
MacArthur Pump Station Rehab 13,100,000 100% 13,100,000 -
Main Street Pump Station Rehab 60,400,000 100% 60,400,000
Gisler-Red Hill Interceptor Rehab 14,800,000 100% 14,800,000
Bay Bridge Pumpstation&Force Mains Rehab Study 725,000 100% 725,000 - -
Collections Facilities Projects Total 993,469,000 625,565,000 40,833,000 1 314,928,000 12,143,000
Section 8- Page 90
Summary of Revenue Program Category
Treatment & Disposal Improvement Projects
Project Name Total Percentage Allocation Total Project Cost Budget
Project Rehab/ Strategic Additional Regulatory Rehab./ Strategic Additional Regulatory
Budget Rep Initiative Capacity Replacement Initiative Capacity
Trunk Line Odor Control Impr. 9,299,000 100% 9,299,000
Headworks Modifications at P2 for GWRS Final 54,000,000 100% 54,000,000
Expansion
Headworks Rehab&Expansion at P1 370,000,000 100% 370,000,000 -
Headworks Projects Total 433,299,000 370,000,000 63,299,000
Process Control Systems Upgrades 46,000,000 100% 46,000,000 -
Project Mgmt.Information System 4,000,000 100% - 4,000,000
Information Technology Capital Program 10,000,000 50% 50% 5,000,000 5,000,000
SCADA System&Network Upgrades 5,000,000 100% 5,000,000 -
EAM Software&Process Implementation 7,500,000 100% 7,500,000
Geographic Information System 4,568,000 100% - 4,568,000
Process Control Systems Upgrades Study 3,554,000 100% 3,554.000 - -
Information Management Systems Projects Total 80,622,000 67,054,000 9,000,000 1 4,568,000
Ocean Outfall System Rehab 166,000,000 25% 75% 41,500,000 124,500,000
Ocean Outfall Systems Projects Total 166,000,000 41,500,000 124,500,000
Banning Gate Relocation&Grading at P2 2,931,000 100% - 2,931,000
Perimeter Screening at P2 2,800,000 100% 2,800,000 -
Capital Improvement Program Mgmt.Services 300,000 100% - 300,000
Others Projects Total 6,031,000 2,800,000 3,231,000
Primary Clarifiers Repl.s&Impr.at P1 106,000,000 100% 106,000,000 -
Primary Clarifiers 6-31 Reliability Impr.at P1 21,500,000 50% 50% 10,750,000 10,750,000
B/C-Side Primary Clarifiers Rehab at P2 249,560,000 100% 249,560,000 -
Primary Treatment Rehab at P2 245,000,000 100% 245,000,000
Primary Treatment Projects Total 622,060,000 611,310,000 1 10,750,000
Safety Impr.Program 19,000,000 100% - - 19,000,000
Process Related Special Projects Projects Total 19,000,000 19,000,000
Research Program 8,500,000 100% 8,500,000
Research Projects Total 8,500,000 8,500,000
Return Activated Sludge Piping Repl.at Activated 7,900,000 100% 7,900,000
Sludge P1
Section 8- Page 91
2018-19 & 2019-20 Budget
Treatment & Disposal Improvement Projects
Project Name Total Percentage Allocation Total Project Cost Budget
Project Rehab/ Strategic Additional Regulatory Rehab./ Strategic Additional Regulatory
Budget Rep Initiative Capacity Replacement Initiative Capacity
Return Activated Sludge Piping Repl.at Plant No 2 12,750,000 100% 12,750,000
Activated Sludge Aeration Basin Deck Repair at P2 2,800,000 100% 2,800,000
Secondary Treatment Projects Total 23,450,000 23,450,000
Interim Food Waste Receiving Facility 6,300,000 100% - 6,300,000
P2 Digester Facilities Rehab 20,000,000 100% 20,000,000 -
Sludge Dewatering&Odor Control at P2 90,477,000 100% 90,477,000
Digester P,Q,R,&S Repl. 166,000,000 100% 166,000,000
Digester Rehab at P1 66,000,000 100% 66,000,000 -
Sludge Dewatering&Odor Control at P1 199,500,000 50% 50% 99,750,000 - 99,750,000
Solids Handling&Digestion Projects Total 548,277,000 442,227,000 6,300,000 99,750,000
Climate Resiliency Study 590,000 100% - 590,000 -
Planning Studies Program 28,652,000 40% 25% 10% 25% 11,460.800 7,163,000 2,865,200 7,163,000
Strategic&Master Planning Projects Total 29,242,000 11,460,800 7,753,000 2,865,200 7,163,000
Operations&Maintenance Capital Program 15,622,000 100% 15,622,000 -
Title 24 Access Compliance&Building Rehab Project 18,400,000 100% - - 18,400,000
18350 Mt.Langley St.Building Purchase& 11,000,000 100% - 11,000,000
Improvement
Small Construction Projects Program 55,000,000 70% 10% 10% 10% 38,500,000 5,500,000 5,500,000 5,500,000
P1-128 Headquarters Complex&Site Security at P1 179,067,000 50% 50% 89,533,500 89,533,500
P2 Warehouse Relocation 9,800,000 100% 9,800,000
P2 Collections Yard Relocation 1,840,000 100% 1,840,000
TPAD Digester Facility at P2 405,100,000 100% 405,100,000 - - -
Support Facilities Projects Total 695,829,000 560,395,500 106,033,500 5,500,000 23,900,000
UPS System Upgrades 4,700,000 100% 4,700,000 -
Digester Gas Facilities Rehab 96,500,000 100% 96,500,000
Natural Gas Pipelines Repl.at P1&P2 1,310,000 100% 1,310,000
Electrical Power Distribution System Impr. 34,608,000 100% 34,608,000
Consolidated Demolition&Utility Impr.at P2 31,000,000 100% 31,000,000
Central Generation Rehab at P2 114,000,000 100% 114,000,000
Uninterruptable Power Supply Impr.at P1 4,800,000 100% 4,800,000
Section 8- Page 92
Summary of Revenue Program Category
Treatment & Disposal Improvement Projects
Project Name Total Percentage Allocation Total Project Cost Budget
Project Rehab/ Strategic Additional Regulatory Rehab./ Strategic Additional Regulatory
Budget Rep Initiative Capacity Replacement Initiative Capacity
Central Generation Rehab at P1 87,000,000 100% 87,000,000
Utility Systems Projects Total 373,918,000 373,918,000
GWRS Final Expansion Coordination 1,132,000 100% - 1,132,000
Water Management Projects Projects Total 1,132,000 1,132,000
Total Treatment and Disposal Projects 3,007,360,000 2,504,115,300 329,748,500 118,865,200 54,631,000
Total Collections Facilities 993,469,000 625,565,000 40,833,000 314,928,000 12,143,000
Capital Equipment Purchases 9,593,700 2,398,425 2,398,425 2,398,425 2,398,425
Total Capital Improvement Program $4,010,422,700 $3,132,078,725 $372,979,925 $436,191,625 $69,172,425
Section 8-Page 93
2018-19 & 2019-18 Budget
Proposed Capital Equipment Budget
2018-19
Trucks & Other Mobile Machine Eq Comm
Vehicles Eq & Tools Equipment
Department 09410000 09410001 09410002 09410003
Information Technology $ - $ - $ - $ -
Resource Protection - - - -
Laboratory, Monitoring and Compliance - - - -
Electrical and Control Systems Engineering - - - -
Collection Facilities O&M - - 18,400 -
Fleet Services 724,100 1,066,900 22,000 -
Plant No. 1 Operations - - - -
Plant No. 1 Maintenance - - 84,800 -
Maintenance Reliability and Planning - - - -
Plant No. 2 Maintenance - - 33,200 -
Total Proposed Capital Equipment $ 724,100 $1,066,900 $ 158,400 $ -
Section 8 - Page 94
Proposed Capital Equipment Budget Summary
Proposed Capital Equipment Budget
2018-19
Instr/Test Safety & Office Fix Computer 2018-19
Equipment Traffic Eq & Eq Equipment Proposed
Department 09410004 09410005 09410006 09410007 Budget
Information Technology $ - $ - $ - $ 15,000 $ 15,000
Resource Protection 39,000 - - - 39,000
Laboratory, Monitoring and Compliance 1,047,300 - - - 1,047,300
Electrical and Control Systems Engineering 123,200 - - - 123,200
Collection Facilities O&M 50,900 - - - 69,300
Fleet Services - - - - 1,813,000
Plant No. 1 Operations 128,700 - - - 128,700
Plant No. 1 Maintenance 22,100 - - - 106,900
Maintenance Reliability and Planning 179,900 - - - 179,900
Plant No. 2 Maintenance 26,900 - - - 60,100
Total Proposed Capital Equipment $1,618,000 $ - $ - $ 15,000 $3,582,400
Section 8— Page 95
2018-19 & 2019-20 Budget
Proposed Capital Equipment Budget Detail
Proposed
Capital Equip.
Division Equipment Type Budget
250 Information Technology
Cathodic Protection Software(Div. 875) $ 15,000
Total 15,000
620 Resource Protection
Five(5)Weather Refrigerated Sampler& Five(5)Portable Sampler 39,000
Total 39,000
630 Laboratory. Monitoring, and Compliance
Automated Sample Extraction System 120,000
LCMS External Pump 33,000
EPA 624 Purge&Trap GCMS System 165,000
Benchtop Balance Enclosure 15,300
Digital Droplet PCR System 86,400
Freezer(-80 Degrees Celsius) 16,400
Skalar Auto-Sampler 16,000
Scientific Winch 150,000
Seakeeper Vessel Stabilization System 208,000
Training Microscope 22,000
Two(2)Acoustic Doppler Current Profiler 81,200
Six (6)Ocean Acidification And Hypoxia Sensor Packages 134,000
Total 1,047,300
770-Electrical and Control Systems Engineering
Fiber Optic Networking Testing And Maintenance Kit 80,000
Two(2)PLC Test Units 43,200
Total 123,200
820-Collection Facilities 0&M
Pole Camera 18,400
Trimble R2 GNSS Receiver(2) 50,900
Total 69,300
822 Fleet Services
Eleven (11)Sedans 308,600
Six (6)Light Trucks 220,200
Two(2)Heavy Trucks 195,300
21 Electric Carts 262,600
Four(4)Electric Carts (Large Cab)BF-3000 90,500
14-Passenger Electric Cart For Div. 140 20,000
Two(2)Towable Light Tower With Generator 29,100
500 Kw Trailer-Mounted Generator 325,000
Hose Reel Trailer For The 12" Pumps For Div. 820 317,900
Trailer For The Transportation of 25'Pump Hoses For Div. 880 21,800
2-Post, 10000 Lbs. Capacity Autolift 22,000
Total 1,813,000
Section 8 - Page 96
Proposed Capital Equipment Budget Detail
Proposed Capital Equipment Budget Detail
Proposed
Capital Equip.
Division Equipment Type Budget
830- Plant No. 1 Operations
FUR GF320 Optical Gas Imaging Camera $ 105,500
Two(2) Hydrogen Sulfide Analyzers 23,200
Total 128,700
870 - Plant No. 1 Maintenance
Two(2) Miller Gas Engine Driven Generator Trailblazer 302 Air Pak 28,200
Skid-Mounted Pump System &Water Suction & Discharge Hoses 56,600
Two(2) Midtronics CAD-5500 Battery Tester/Analyzer 11,000
Fluke 437 II 3-Phase Power Quality & Energy Analyzer 11,100
Total 106,900
875- Maintenance Reliability and Planning
Megger DDA-6000 High Current Circuit Breaker Tester 81,000
Electric Motor& Generator Analyzer 90,000
Sverker900 High Voltage 3-Phase Protection Relay Tester 8,900
Total 179,900
880 - Plant No. 2 Maintenance
Ice Blaster- Electric Motor& Generator Cleaner 33,200
10 Amp Micro-Ohm Meter 5,100
Fluke Networks Cable Tester 21,800
Total 60,100
Total Proposed 2018-19 Capital Equipment Budget $ 3,582,400
Section 8— Page 97
2018-19 & 2019-20 Budget
Proposed Capital Equipment Budget
2019-20
Trucks & Other Mobile Machine Eq Comm
Vehicles Eq & Tools Equipment
Department 09410000 09410001 09410002 09410003
Laboratory, Monitoring and Compliance $ - $ - $ - $ -
Electrical & Control Systems Engineering - - - -
Collection Facilities O&M - - - -
Fleet Services 909,400 595,500 - -
Plant No. 1 Operations - - - -
Plant No. 1 Maintenance - - 57,300 -
Plant No. 2 Maintenance - - - -
Total Proposed Capital Equipment $ 909,400 $ 595,500 $ 57,300 $ -
Section 8 - Page 98
Proposed Capital Equipment Budget Summary
Proposed Capital Equipment Budget
2019-20
Instr/Test Safety & Office Fix Computer 2019-20
Equipment Traffic Eq & Eq Equipment Proposed
Department 09410004 09410005 09410006 09410007 Budget
Laboratory, Monitoring and Compliance $ 639,200 $ - $ - $ - $ 639,200
Electrical & Control Systems Engineering 43,200 - - - 43,200
Collection Facilities O&M 50,900 - - - 50,900
Fleet Services - - - - 1,504,900
Plant No. 1 Operations 23,200 - - - 23,200
Plant No. 1 Maintenance 50,300 - - - 107,600
Plant No. 2 Maintenance 105,600 - - - 105,600
Total Proposed Capital Equipment $ 912,400 $ - $ - $ - $2,474,600
Section 8— Page 99
2018-19 & 2019-20 Budget
Proposed Capital Equipment Budget Detail
Proposed
Capital Equip.
Division Equipment Type Budget
630 -Laboratory, Monitoring, and Compliance
Two(2)Acoustic Doppler Current Profiler $ 81,200
Six (6)Ocean Acidification and Hypoxia Sensor Packages 134,000
Triple Quadrupole Gas Chromatography Mass Spectrometry Systems 385,000
Two(2)Precision BOD Refrigerated Incubator 24,000
Two(2)HACH Refrigerated Auto-Sampler 15,000
Total 639,200
770-Electrical & Control Systems Engineering
Two(2)PLC Test Units 43,200
Total 43,200
820-Collection Facilities 0&M
Two(2)Trimble R2 GNSS Receiver 50,900
Total 50,900
822 - Fleet Services
Sedan 28,100
Nine(9)Light Trucks 380,800
Five(5)Heavy Trucks 500,500
21 Electric Carts 270,500
500 KW Trailer-Mounted Generator 325,000
Total 1,504,900
830-Plant No. 1 Operations
Two(2)Hydrogen Sulfide Analyzers 23,200
Total 23,200
870-Plant No. 1 Maintenance
Schenck Balancer CAB820 Control Upgrade 44,300
Cold Saw 13,000
Portable Vibration Sensor Calibrator 23,000
Beamex Multi-Calibrator 27,300
Total 107,600
880 - Plant No. 2 Maintenance
Two(2)Fluke 729 Automatic Pressure Calibrator 18,900
Megger Trax 220 86,700
Total 105,600
Total Proposed 2019-20 Capital Equipment Budget $ 2,474,600
Section 8- Page 100
DEBT PROGRAM
SECTION 9
Debt Financing Program
CERTIFICATES OF PARTICIPATION maintain reliability and accommodate future growth,
DEBT FINANCING PROGRAM as well as meet future regulatory requirements, level
A Ten-Year Financial Plan is maintained to establish of service goals, and strategic initiatives.
financing parameters regarding the issuance of debt, Each project in the master plan was initiated to
the levying of user charges and the funding level for address the impact of one or more of the main
required reserves in accordance with the District's drivers (existing facilities condition, changes in
reserve policy. The Financial Plan is revised regulations, facilities capacity, redundancy criteria,
annually to reflect the most current cost and revenue District initiatives, and health and safety). Most of
figures resulting from capital program revisions and the CIP needs for the next 20 years are due to the
operating changes. condition of existing aging facilities requiring
rehabilitation and replacement.
In December 2017, the 2017 Facilities Master Plan
was adopted by the Board of Directors. The Master
Plan identified a phased 20-year program of capital
improvement projects that will allow the District to
Figure 1
Summary of Certificates of Participation/Revenue Obligations and Notes
Series 2009A Series 2010A Series 2010C Series 2011A Series
Issue Name COPs Taxable BABs Taxable BABs Refund Rev Oblig
Issue Date 04-23-2009 05-18-10 11-29-10 10-03-11
Original Par $200,000,000 $80,000,000 $157,000,000 $147,595,000
Outstanding Par $4,690,000 $80,000,000 $157,000,000 $75,370,000
Payment Date February 1 February 1 February 1 February&August 1
Use of Proceeds Current/Future CIP Current/Future CIP Current/Future CIP Advance Refund
Lien or Tier Open Senior Open Senior Open Senior Open Senior
Interest Rate Mode Fixed Fixed Fixed Fixed
Final Maturity Date 02-01-2019 02-01-2040 02-01-2044 02-01-2026
Series 2012A Series 2012E Series 2014A Series 2015A Series
Issue Name Refund Rev Oblig Refund Rev Oblig Refund Rev Oblig Refund Rev Oblig
Issue Date 03-22-12 08-16-12 08-07-14 02-12-15
Original Par $100,645,000 $66,395,000 $85,090,000 $127,510,000
Outstanding Par $100,645,000 $66,395,000 $78,375,000 $127,510,000
Payment Date February 1 February 1 February 1 February 1
Use of Proceeds Advance Refund Advance Refund Advance Refund Advance Refund
Lien or Tier Open Senior Open Senior Open Senior Open Senior
Interest Rate Mode Fixed Fixed Fixed Fixed
Final Maturity Date 02-01-2033 02-01-2026 02-01-2027 02-01-2037
Series 2016A Series 2016E Series 2017A Series
Issue Name Refund Rev Oblig Refunding CANS Refund Rev Oblig
Issue Date 03-30-16 11-01-16 02-01-17
Original Par $145,880,000 $109,875,000 $66,370,000
Outstanding Par $145,880,000 $109,875,000 $66,370,000
Payment Date February 1 December 15 February 1
Use of Proceeds Advance Refund Current Refund Advance Refund
Lien or Tier Open Senior Open Senior Open Senior
Interest Rate Mode Fixed Fixed Fixed
Final Maturity Date 02-01-2039 12-15-2018 02-01-2030
Section 9— Page 1
2018-19 & 2019-20 Budget
In conjunction with preparation for the 2018-20 Dedicated Funding Source
Budget, District staff has developed and reviewed In 1992 and 2004 the Board of Directors formalized
with the Board of Directors a capital program to the dedication of certain funding sources. To assure
deliver the levels of service included in the District's the continuation of favorable credit ratings, revenues
5-year Strategic Plan. were dedicated to debt service in the following order:
District staff has also validated the active CIP 1. Ad valorem property taxes
projects currently being executed to ensure that the 2. Sanitary sewer service charges
active project scopes of work and cost estimates 3. Other revenues
were accurate. The validated CIP includes 68 active
and future capital projects, five programs, and This apportionment of the ad valorem tax was
capital equipment purchases, with a 10-year consistent with and pursuant to the Revenue
expenditure of$2.7 billion. Program adopted in April 1979 to comply with
regulations of the Environmental Protection Agency
The District embarked upon its Debt Financing and and the State Water Resources Control Board and
Management Program, and specifically its Variable in accordance with COP documents and Board
and Fixed Rate Debt Program (the "Program"), in policy.
1990 with the issuance of$100 million in Certificates
of Participation ("COP"), Capital Improvement Historically the District's property tax revenues were
Program, 1990 Series "A." The Program was at a higher level than necessary to support the
established to: District's debt service obligations. However, capital
improvement requirements averaging $200.0 million
• Finance assets with long useful lives with long- a year over the last ten years have required new
term debt; COP debt issuances that have increased future debt
• Achieve the lowest possible interest costs and service payments that more closely matches
highest investment returns, commensurate with property tax revenues.
the appropriate risk;
• Recoup reserve moneys that had previously Establishment of Debt Policy
been spent. In 2001, the District developed a written debt policy
for the following underlying reasons:
COPs are repayment obligations based on a lease • committing to long-term financial planning;
or installment sale agreement. The COP structure • promoting credit quality to rating agencies;
was selected over other structures because COPs • rationalizing the decision making process;
are not viewed as debt by the State of California, as . enhancing the quality of decisions; and
the purchaser does not actually receive a bond, but . promoting consistency and continuity.
rather a share in an installment sale arrangement
where the District serves as the purchaser. This Board adopted policy serves as the agency's
Accordingly, the District is not subject to the usual guide in the management of existing debt and in the
State restrictions surrounding the issuance of debt. issuance of future debt.
COPs can be issued with fixed or variable interest
rates. Debt Coverage Ratios
As of July 1, 2018, the total outstanding COP The only legal debt limits pertaining to the District
indebtedness is $1.0 billion. are those that are provided within the existing COP
indenture agreements requiring minimum coverage
ratios of 1.25. The minimum coverage ratio is the
ratio of net annual revenues available for debt
service requirements to total annual debt service
requirements for all senior lien COP debt. The
coverage ratio for senior lien COP debt is proposed
at 3.68 and 3.79 for FY 2018-19 and FY 2019-20,
respectively.
Section 9— Page 2
Debt Financing Program
Build America Bonds Financings Future Financings
The District issued the $80.0 million Wastewater As a result of having a prudent reserve policy,
Revenue Obligation, Series 2010A in May 2010 and experienced management, and prudent planning,
the $157.0 million Wastewater Revenue Obligations, the District has been able to secure "AAA" credit
Series 2010C in November 2010 as "Build America ratings from Fitch Ratings, Moody's and Standard
Bonds" (BABs)fixed rate debt. and Poor's. The District's long-range financing plan
is designed to maintain these high ratings. Over the
The American Recovery and Reinvestment Act of next 10 years, the District is projecting an additional
2009 created a new financing product, BABs, for the $2.7 billion in future treatment plant and collection
municipal issuer. BABs are issued as higher interest system capital replacement, refurbishment, and
taxable bonds; however, the U.S. Treasury provides rehabilitation improvements. In accordance with the
a 35 percent subsidy on interest payments. The net District's long-term debt fiscal policy, the District will
cost, after accounting for the 35 percent subsidy confine long-term borrowing to capital improvements
payment, frequently results in lower net costs to the that cannot be financed from current revenue.
issuer, specifically in the maturity years beyond ten Before any new debt is issued, the impact of debt
years. service payments on total annual fixed costs will be
On March 1, 2013, the federal government analyzed.
implemented certain automatic spending cuts known The District's cash flow forecast does not require
as the sequester. As a result of the sequester, any new money debt issuances over the next ten
federal subsidy payments on BABs have been years as all capital improvements planned over this
reduced annually from a high of 8.7 percent for the time period primarily consist of replacement,
federal fiscal year ended September 30, 2013 to a refurbishment, and rehabilitation of existing projects
low of 6.6 percent for the federal fiscal year ended which are to be funded through existing reserves
September 30, 2018. and current sewer charges.
Aggregate Debt Service Structures
$100mil
$90m it
$80mi1 —,—,—,—,— —
$70mil — — ,—,—,—'— —
$60mil — — — — — — — — — — — — — — — —
$50mil — — — — — — — — — — — — — — — — — — — —
$40mil — — — — — — — — — — — — — — — — — — — —
$30mil — — — — — — — — — — — — — — — — — — — — — —
$20mil — — — — — — — — — — — — — — — — — — — — — — — —
$10mil — — — — — — — — — — — — — — — — — — — — — — — — — — —
$Omil
W M ON N N N N N N N N N OM M M M fM M m m
O O O O O O O O O O O O O O O O O O O O O O O O O O O
N N N N N N N N N N N N N N N N N N N N N N N N N N N
• Existing Fixed Rate •2016B CANS assumed amortized over 14 years
Section 9— Page 3
2018-19 & 2019-20 Budget
Figure 2
Schedule of Future Certificates of Participation Issues and CIP Cash Flows
(in millions)
2018-19 2019-20 2020-21 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28
New COP Issues $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0 $ 0.0
CIP Outlays $174.5 $137.0 $202.6 $358.7 $381.5 $331.9 $309.7 $255.2 $250.8 $267.5
Section 9— Page 4
Debt Financing Program
This page was intentionally left blank.
Section 9— Page 5
2018-19 & 2019-20 Budget
Total Certificates of Participation/ Revenue Obligations and Notes Debt Service Requirements
Principal and Interest Combined
Fiscal 2009A 2010A 2010C 2011A 2012A 2012B
Year Acquisition/ Build America Build America Refunding Refunding Refunding
Of Construction Bonds Bonds (Partial2000 (Remain (2000-A
Payments Acq./Const. Acq./Const. &2003) 2003) &2000-B)
2018-19 $ 4,924,500 $ 2,897,639 $ 6,523,780 $ 3,348,350 $ 3,735,900 $23,107,400
2019-20 - 2,897,639 6,523,780 3,348,350 3,735,900 23,106,400
2020-21 - 2,897,639 6,523,780 3,348,350 3,735,900 18,535,650
2021-22 - 2,897,639 6,523,780 17,143,350 3,735,900 1,776,150
2022-23 - 2,897,639 6,523,780 17,093,600 3,735,900 1,821,150
2023-24 - 2,897,639 6,523,780 17,136,200 3,735,900 1,781,950
2024-25 - 2,897,639 6,523,780 17,088,450 3,735,900 1,818,050
2025-26 - 2,897,639 6,523,780 17,141,250 3,735,900 1,771,600
2026-27 - 2,897,639 6,523,780 - 3,735,900 -
2027-28 - 2,897,639 6,523,780 - 3,735,900 -
2028-29 - 2,897,639 6,523,780 - 3,735,900 -
2029-30 - 2,897,639 6,523,780 - 3,735,900 -
2030-31 - 2,897,639 12,258,780 - 32,725,900 -
2031-32 - 2,897,639 23,382,068 - 31,921,200 -
2032-33 - 2,897,639 23,476,472 - 44,304,000 -
2033-34 - 12,487,639 13,967,040 - - -
2034-35 - 12,696,056 13,897,232 - - -
2035-36 - 12,919,416 13,834,528 - - -
2036-37 - 13,151,453 13,758,096 - - -
2037-38 - 13,399,607 13,667,936 - - -
2038-39 - 13,658,823 13,574,048 - - -
2039-40 - 13,937,832 13,481,016 - - -
2040-41 - - 22,698,216 - - -
2041-42 - - 13,457,728 - - -
2042-43 - - 10,305,640 - - -
2043-44 - - 2,583,168 - - -
Totals $ 4,924,500 $135,715,410 $282,627,331 $ 95,647,900 $153,781,900 $73,718,350
Section 9— Page 6
Debt Financing Program
Total Certificates of Participation/ Revenue Obligations and Notes Debt Service Requirements
Principal and Interest Combined
Fiscal 2014A 2015A 2016A 2016B 2017A Total
Year Refunding Refunding Refunding Refunding Refunding Payment
Of (Partial (Partial (Partial Notes (Remain Per
Payments 200713) 200713) 2009A) (201413) 2007A) Fiscal Year
2018-19 $ 10,963,750 $ 6,375,500 $ 6,977,300 $110,973,750 $ 3,318,500 $ 183,146,369
2019-20 10,966,500 6,375,500 11,392,300 - 3,318,500 71,664,869
2020-21 11,046,500 6,375,500 11,391,550 - 3,873,500 67,728,369
2021-22 11,049,000 6,375,500 11,389,800 - 3,290,750 64,181,869
2022-23 11,046,750 6,375,500 11,391,550 - 3,290,750 64,176,619
2023-24 11,044,000 6,375,500 11,396,050 - 3,290,750 64,181,769
2024-25 11,049,750 6,375,500 11,392,550 - 3,290,750 64,172,369
2025-26 11,052,500 6,375,500 11,390,800 - 3,290,750 64,179,719
2026-27 11,051,250 6,375,500 11,390,050 - 18,405,750 60,379,869
2027-28 - 21,615,500 11,394,550 - 18,365,000 64,532,369
2028-29 - 21,658,500 11,388,300 - 18,323,500 64,527,619
2029-30 - 20,776,250 11,391,050 - 19,204,500 64,529,119
2030-31 - 10,228,000 11,411,550 - - 69,521,869
2031-32 - 3,702,250 11,413,050 - - 73,316,207
2032-33 - 3,702,250 11,415,550 - - 85,795,911
2033-34 - 20,882,250 11,408,050 - - 58,744,979
2034-35 - 20,883,250 11,415,050 - - 58,891,588
2035-36 - 20,881,250 11,409,800 - - 59,044,994
2036-37 - 20,879,250 11,411,800 - - 59,200,599
2037-38 - - 11,411,000 - - 38,478,543
2038-39 - - 11,414,000 - - 38,646,871
2039-40 - - - - - 27,418,848
2040-41 - - - - - 22,698,216
2041-42 - - - - - 13,457,728
2042-43 - - - - - 10,305,640
2043-44 - - - - - 2,583,168
Totals $ 99,270,000 $222,588,250 $234,995,700 $110,973,750 $101,263,000 $1,515,506,091
Section 9- Page 7
2018-19 & 2019-20 Budget
Certificates of Participation/ Revenue Obligations and Notes Debt Service Requirements
Annual Interest Payments
Fiscal 2009A 2010A 2010C 2011A 2012A 2012B
Year Acquisition/ Build America Build America Refunding Refunding Refunding
Of Construction Bonds Bonds (Partial2000 (Remain (2000-A
Payments Acq./Const. Acq./Const. &2003) 2003) &2000-B)
2018-19 $ 234,500 $ 2,897,639 $ 6,523,780 $ 3,348,350 $ 3,735,900 $ 3,187,400
2019-20 - 2,897,639 6,523,780 3,348,350 3,735,900 2,191,400
2020-21 - 2,897,639 6,523,780 3,348,350 3,735,900 1,145,650
2021-22 - 2,897,639 6,523,780 3,348,350 3,735,900 276,150
2022-23 - 2,897,639 6,523,780 2,658,600 3,735,900 216,150
2023-24 - 2,897,639 6,523,780 2,081,200 3,735,900 151,950
2024-25 - 2,897,639 6,523,780 1,328,450 3,735,900 103,050
2025-26 - 2,897,639 6,523,780 816,250 3,735,900 51,600
2026-27 - 2,897,639 6,523,780 - 3,735,900 -
2027-28 - 2,897,639 6,523,780 - 3,735,900 -
2028-29 - 2,897,639 6,523,780 - 3,735,900 -
2029-30 - 2,897,639 6,523,780 - 3,735,900 -
2030-31 - 2,897,639 6,523,780 - 3,735,900 -
2031-32 - 2,897,639 6,287,068 - 2,866,200 -
2032-33 - 2,897,639 5,581,472 - 1,704,000 -
2033-34 - 2,897,639 4,837,040 - - -
2034-35 - 2,551,056 4,457,232 - - -
2035-36 - 2,184,416 4,064,528 - - -
2036-37 - 1,796,453 3,658,096 - - -
2037-38 - 1,384,607 3,237,936 - - -
2038-39 - 948,823 2,804,048 - - -
2039-40 - 487,832 2,356,016 - - -
2040-41 - - 1,893,216 - - -
2041-42 - - 1,027,728 - - -
2042-43 - - 510,640 - - -
2043-44 - - 103,168 - - -
Totals $ 234,500 $ 55,715,410 $125,627,331 $20,277,900 $ 53,136,900 $ 7,323,350
Section 9— Page 8
Debt Financing Program
Certificates of Participation/ Revenue Obligations and Notes Debt Service Requirements
Annual Interest Payments
Fiscal 2014A 2015A 2016A 2016B 2017A Total
Year Refunding Refunding Refunding Refunding Refunding Interest
Of (Partial (Partial (Partial Notes (Remain Per
Payments 200713) 200713) 2009A) (201413) 2007A) Fiscal Year
2018-19 $ 3,918,750 $ 6,375,500 $ 6,977,300 $ 1,098,750 $ 3,318,500 $ 41,616,369
2019-20 3,566,500 6,375,500 6,977,300 - 3,318,500 38,934,869
2020-21 3,196,500 6,375,500 6,756,550 - 3,318,500 37,298,369
2021-22 2,804,000 6,375,500 6,524,800 - 3,290,750 35,776,869
2022-23 2,391,750 6,375,500 6,281,550 - 3,290,750 34,371,619
2023-24 1,959,000 6,375,500 6,026,050 - 3,290,750 33,041,769
2024-25 1,504,750 6,375,500 5,757,550 - 3,290,750 31,517,369
2025-26 1,027,500 6,375,500 5,475,800 - 3,290,750 30,194,719
2026-27 526,250 6,375,500 5,180,050 - 3,290,750 28,529,869
2027-28 - 6,375,500 4,869,550 - 2,535,000 26,937,369
2028-29 - 5,613,500 4,543,300 - 1,743,500 25,057,619
2029-30 - 4,811,250 4,201,050 - 914,500 23,084,119
2030-31 - 4,013,000 3,841,550 - - 21,011,869
2031-32 - 3,702,250 3,463,050 - - 19,216,207
2032-33 - 3,702,250 3,065,550 - - 16,950,911
2033-34 - 3,702,250 2,648,050 - - 14,084,979
2034-35 - 2,843,250 2,210,050 - - 12,061,588
2035-36 - 1,941,250 1,749,800 - - 9,939,994
2036-37 - 994,250 1,266,800 - - 7,715,599
2037-38 - - 861,000 - - 5,483,543
2038-39 - - 439,000 - - 4,191,871
2039-40 - - - - - 2,843,848
2040-41 - - - - - 1,893,216
2041-42 - - - - - 1,027,728
2042-43 - - - - - 510,640
2043-44 - - - - - 103,168
Totals $ 20,895,000 $95,078,250 $ 89,115,700 $ 1,098,750 $ 34,893,000 $503,396,091
Section 9- Page 9
2018-19 & 2019-20 Budget
Certificates of Participation/ Revenue Obligations and Notes Debt Service Requirements
Annual Principal Payments
Fiscal 2009A 2010A 2010C 2011A 2012A 2012B
Year Acquisition/ Build America Build America Refunding Refunding Refunding
Of Construction Bonds Bonds (Partial2000 (Remain (2000-A
Payments Acq./Const. Acq./Const. &2003) 2003) &2000-B)
2018-19 $ 4,690,000 $ - $ - $ - $ - $19,920,000
2019-20 - - - - - 20,915,000
2020-21 - - - - - 17,390,000
2021-22 - - - 13,795,000 - 1,500,000
2022-23 - - - 14,435,000 - 1,605,000
2023-24 - - - 15,055,000 - 1,630,000
2024-25 - - - 15,760,000 - 1,715,000
2025-26 - - - 16,325,000 - 1,720,000
2026-27 - - - - - -
2027-28 - - - - - -
2028-29 - - - - - -
2029-30 - - - - - -
2030-31 - - 5,735,000 - 28,990,000 -
2031-32 - - 17,095,000 - 29,055,000 -
2032-33 - - 17,895,000 - 42,600,000 -
2033-34 - 9,590,000 9,130,000 - - -
2034-35 - 10,145,000 9,440,000 - - -
2035-36 - 10,735,000 9,770,000 - - -
2036-37 - 11,355,000 10,100,000 - - -
2037-38 - 12,015,000 10,430,000 - - -
2038-39 - 12,710,000 10,770,000 - - -
2039-40 - 13,450,000 11,125,000 - - -
2040-41 - - 20,805,000 - - -
2041-42 - - 12,430,000 - - -
2042-43 - - 9,795,000 - - -
2043-44 - - 2,480,000 - - -
Totals $ 4,690,000 $80,000,000 $157,000,000 $ 75,370,000 $100,645,000 $66,395,000
Section 9— Page 10
Debt Financing Program
Certificates of Participation/ Revenue Obligations and Notes Debt Service Requirements
Annual Principal Payments
Fiscal 2014A 2015A 2016A 2016B 2017A Total
Year Refunding Refunding Refunding Refunding Refunding Principal
Of (Partial (Partial (Partial Notes (Remain Per
Payments 200713) 200713) 2009A) (201413) 2007A) Fiscal Year
2018-19 $ 7,045,000 $ - $ - $109,875,000 $ - $ 141,530,000
2019-20 7,400,000 - 4,415,000 - - 32,730,000
2020-21 7,850,000 - 4,635,000 - 555,000 30,430,000
2021-22 8,245,000 - 4,865,000 - - 28,405,000
2022-23 8,655,000 - 5,110,000 - - 29,805,000
2023-24 9,085,000 - 5,370,000 - - 31,140,000
2024-25 9,545,000 - 5,635,000 - - 32,655,000
2025-26 10,025,000 - 5,915,000 - - 33,985,000
2026-27 10,525,000 - 6,210,000 - 15,115,000 31,850,000
2027-28 - 15,240,000 6,525,000 - 15,830,000 37,595,000
2028-29 - 16,045,000 6,845,000 - 16,580,000 39,470,000
2029-30 - 15,965,000 7,190,000 - 18,290,000 41,445,000
2030-31 - 6,215,000 7,570,000 - - 48,510,000
2031-32 - - 7,950,000 - - 54,100,000
2032-33 - - 8,350,000 - - 68,845,000
2033-34 - 17,180,000 8,760,000 - - 44,660,000
2034-35 - 18,040,000 9,205,000 - - 46,830,000
2035-36 - 18,940,000 9,660,000 - - 49,105,000
2036-37 - 19,885,000 10,145,000 - - 51,485,000
2037-38 - - 10,550,000 - - 32,995,000
2038-39 - - 10,975,000 - - 34,455,000
2039-40 - - - - - 24,575,000
2040-41 - - - - - 20,805,000
2041-42 - - - - - 12,430,000
2042-43 - - - - - 9,795,000
2043-44 - - - - - 2,480,000
Totals $78,375,000 $127,510,000 $145,880,000 $109,875,000 $ 66,370,000 $1,012,110,000
Section 9-Page 11
2018-19 & 2019-20 Budget
This page was intentionally left blank.
Section 9— Page 12
APPENDIX
SECTION 10
Staffing Allocation
Staffing by Department
Total 636 FTE
General Manager's
Office
erations& 14 FTE
O
p Human Resources
Maintenance 27 FTE
288 FTE
Administrative
Sevices
100 FTE
Environmental
Engineering Services
116 FTE 91 FTE
Staffing by Category
Supervisory
10.5%
Technical Services
4.7%
Professional Administrative
36.0% 8.5/o
Division Management
2.2%
Engineering
3.8%
Executive
Management
1.1%
Part Time
0.2%
Operations&
Maintenance
33.0%
Section 10- Page 1
2018-19 & 2019-20 Budget
Historical Staffing By Department
300 ............................................................................................................................................................................................................................................................
250 ...................................... ........................................... ............................................ ............................................ ............................................ ...
200 ........ ........................................... ............................................ ............................................ ............................................ ...
w
ri150 ...................................... ............................................. ....
100 ........... ..................... ..........
50
I
0
J.
2015-16 2016-17 2017-18 2018-19 2019-20
Fiscal Year
■General Manager's Office Human Resources r Administrative Services
■Facilities Support Services* ■Environmental Services ■Engineering
■Operations&Maintenance
*The Facilities Support Services Departmentwas eliminated as partof the District's 2016-17reorganization.
Total Historical Staffing
650
640
635.00 636.00 636.00
w
LL 630 627.00
624.00
620
610
2015-16 2016-17 2017-18 2018-19 2019-20
Fiscal Year
Section 10- Page 2
Staffing Allocation
Authorized Authorized Authorized Proposed Proposed
Department and Division Name FTEs FTEs FTEs FTEs FTEs
2015-16 2016-17 2017-18 2018-19 2019-20
General Manager's Office
General Management Administration 6.00 5.00 5.00 4.00 4.00
Board Services 4.00 5.00 5.00 5.00 5.00
Public Affairs 5.00 5.00 5.00 5.00 5.00
Department Subtotal* 15.00 15.00 15.00 14.00 14.00
Human Resources Department
Human Resources Administration 16.00 16.00 16.00 16.00 16.00
Risk Management/Safety/Security 11.00 11.00 11.00 11.00 11.00
Department Subtotal 27.00 27.00 27.00 27.00 27.00
Administrative Services Department
Administrative Services Administration 3.00 3.00 3.00 3.00 3.00
Financial Management 19.00 19.00 19.00 19.00 19.00
Contracts, Purchasing and Materials Management 32.00 32.00 32.00 32.00 32.00
Information Technology 44.00 45.00 45.00 46.00 46.00
Department Subtotal 98.00 99.00 99.00 100.00 100.00
Facilities Support Services Department
Facilities Support Services Administration 4.00 - - - -
Fleet Services 9.00 - - - -
Facilities Engineering and Repair Services 5.00 - - - -
NPDES Source Inspection 16.00 - - - -
Odor and Corrosion Control 6.00 - - - -
Collection Facilities Operations and Maintenance 23.00 - - - -
Department Subtotal 63.00 - - - -
Envrionmental Services Department
Environmental Services Administration - 2.00 2.00 2.00 2.00
Resource Protection - 47.00 37.00 37.00 37.00
Laboratory, Monitoring and Compliance - 42.00 52.00 52.00 52.00
Department Subtotal - 91.00 91.00 91.00 91.00
Engineering Department
Engineering Administration 2.00 2.00 2.00 2.00 2.00
Planning 15.00 15.00 15.00 14.00 14.00
Project Management Office 20.00 17.00 17.00 16.00 16.00
Civil and Mechanical Engineering 59.00 53.00 53.00 54.00 54.00
Electrical and Control Systems Engineering - 29.00 29.00 30.00 30.00
Environmental Compliance 31.00 - - - -
Department Subtotal 127.00 116.00 116.00 116.00 116.00
Operations and Maintenance Department
Operations and Maintenance Administration 2.00 3.00 3.00 3.00 3.00
Collection Facilities Operations and Maintenance - 26.00 26.00 26.00 26.00
Fleet Services - 8.00 8.00 8.00 8.00
Plant No. 1 Operations 69.00 62.00 61.00 62.00 62.00
Plant No. 2 Operations 54.00 50.00 51.00 50.00 50.00
Plant No. 1 Maintenance 82.00 85.00 62.00 61.00 61.00
Maintenance Reliability and Planning - - 28.00 28.00 28.00
Plant No. 2 Maintenance 46.00 45.00 48.00 50.00 50.00
Environmental Laboratory and Ocean Monitoring 41.00 - - - -
Department S u btota I 294.00 279.00 287.00 288.00 288.00
Grand Total -All Departments* 624.00 627.00 635.00 636.00 636.00
Section 10- Page 3
2018-19 & 2019-20 Budget
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division &Position 2015-16 2016-17 2017-18 2018-19 2019-20
General Manager's Office
110 General Management Administration
General Manager 1.00 1.00 1.00 1.00 1.00
Assistant General Manager 1.00 1.00 1.00 1.00 1.00
Public Affairs Manager 1.00 - - - -
Principal Staff Analyst - 1.00 1.00 1.00 1.00
Records Management Specialist 1.00 1.00 1.00 - -
Senior Staff Analyst 1.00 - - - -
Secretaryto the General Manager 1.00 1.00 1.00 1.00 1.00
Total General Management Administration* 6.00 5.00 5.00 4.00 4.00
120 Board Services
Clerk of the Board 1.00 1.00 1.00 1.00 1.00
Deputy Clerk of the Board 1.00 1.00 1.00 1.00 1.00
Program Assistant 2.00 2.00 2.00 2.00 2.00
Office Assistant 1 1.00 1.00 1.00 1.00
Total Board Services 4.00 5.00 5.00 5.00 5.00
140 Public Affairs
Public Affairs Supervisor - 1.00 1.00 1.00 1.00
Principal Public Affairs Specialist 1.00 - - - -
Senior Public Affairs Specialist 1.00 1.00 1.00 1.00 1.00
Public Affairs Specialist 1.00 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Graphics Designer - - - 1.00 1.00
Graphics Coordinator 1.00 1.00 1.00 - -
Total Public Affairs 5.00 5.00 5.00 5.00 5.00
Total General Manager's Office 15.00 15.00 15.00 14.00 14.00
Human Resources Department
160 Human Resources Administration
Director of Human Resources 1.00 1.00 1.00 1.00 1.00
HR and Risk Manager - - 1.00 1.00 1.00
Human Resources Manager 1.00 1.00 - - -
Human Resources Supervisor 1.00 1.00 1.00 2.00 2.00
Principal Human Resources Analyst 3.00 3.00 3.00 2.00 2.00
Senior Human Resources Analyst 4.00 4.00 4.00 4.00 4.00
Human Resources Analyst 4.00 4.00 4.00 4.00 4.00
Human Resources Assistant 1.00 1.00 1.00 2.00 2.00
Program Assistant 1.00 1.00 1.00 - -
Total Human Resources Administration 16.00 16.00 16.00 16.00 16.00
161 Risk Management/Safety/Security
Safety&Health Supervisor 1.00 1.00 1.00 1.00 1.00
Principal Financial Analyst 1.00 1.00 1.00 1.00 1.00
Safety&Health Specialist 1.00 1.00 1.00 1.00 1.00
Security&Emergency Planning Specialist 1.00 1.00 1.00 1.00 1.00
Occupational Health Nurse 1.00 1.00 1.00 1.00 1.00
Senior Safety&Health Representative 2.00 2.00 2.00 2.00 2.00
Safety&Health Representative 3.00 3.00 3.00 3.00 3.00
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Total Risk Management/Safety/Security 11.00 11.00 11.00 11.00 11.00
Total Human Resources Department 27.00 27.00 27.00 27.00 27.00
Section 10- Page 4
Historical Staffing Detail
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division&Position 2015-16 2016-17 2017-18 2018-19 2019-20
Administrative Services Department
210 Administrative Services Administration
Directorof Finance&Administrative Services/Treasurer 1.00 1.00 1.00 1.00 1.00
Principal Financial Analyst 1.00 1.00 1.00 - -
Principal Staff Analyst - - - 1.00 1.00
Executive Assistant 1.00 1 1.00 1.00 1.00 1 1.00
Total Administrative Services Administration 3.00 3.00 3.00 3.00 3.00
220 Financial Management
Controller 1.00 1.00 1.00 1.00 1.00
Accounting Supervisor 3.00 3.00 3.00 3.00 3.00
Principal Accountant 3.00 2.00 2.00 2.00 2.00
Senior Accountant 1.00 2.00 2.00 2.00 2.00
Senior Staff Analyst 1.00 1.00 1.00 1.00 1.00
Accountant 2.00 2.00 2.00 2.00 2.00
Staff Analyst 1.00 1.00 1.00 - -
Payroll Technician 2.00 2.00 2.00 2.00 2.00
Accounting Assistant II 5.00 5.00 5.00 6.00 6.00
Total Financial Management 19.00 19.00 19.00 19.00 19.00
230 Contracts,Purchasing and Materials Management
Contracts &Purchasing Manager 1.00 1.00 1.00 1.00 1.00
Contracts Supervisor 1.00 1.00 1.00 1.00 1.00
Principal Contracts Administrator 2.00 2.00 2.00 2.00 2.00
Purchasing Supervisor 1.00 1.00 1.00 1.00 1.00
Materials Control Supervisor 1.00 1.00 1.00 1.00 1.00
Senior Contracts Administrator 3.00 3.00 3.00 3.00 3.00
Principal Buyer 1.00 1.00 1.00 - -
Contracts Administrator 3.00 3.00 3.00 3.00 3.00
Senior Buyer 1.00 1.00 1.00 3.00 3.00
Buyer 3.00 3.00 3.00 2.00 2.00
Contracts/Purchasing Assistant 5.00 5.00 5.00 5.00 5.00
Lead Storekeeper 2.00 2.00 2.00 2.00 2.00
Senior Storekeeper 3.00 3.00 3.00 3.00 3.00
Storekeeper 5.00 5.00 5.00 5.00 5.00
Total Contracts,Purchasing and Materials Management 32.00 32.00 32.00 32.00 32.00
250 Information Technology
Information Technology Systems and Operations Manager 1.00 1.00 1.00 1.00 1.00
Information Technology Manager 1.00 1.00 - - -
Information Technology Supervisor 2.00 2.00 3.00 3.00 3.00
Principal Information Technology Analyst 6.00 6.00 6.00 7.00 7.00
Senior Information Technology Analyst 9.00 10.00 10.00 10.00 10.00
Information Technology Analyst III 6.00 6.00 6.00 6.00 6.00
Records Management Specialist - - - 1.00 1.00
Data Management Technician II 7.00 7.00 7.00 7.00 7.00
Information Technology Analyst II 3.00 3.00 3.00 3.00 3.00
Data Management Technician 1 4.00 4.00 4.00 4.00 4.00
Staff Analyst 1.00 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Information Technology Technician 11 1.00 1.00 1.00 1.00 1.00
Information Technology Technician 1 1.00 1.00 1.00 1.00 1.00
Program Assistant 1.00 1.00 1.00 - -
Total Information Technology 44.00 45.00 45.00 46.00 46.00
Total Administrative Services Department 98.00 99.00 99.00 100.00 100.00
Section 10- Page 5
2018-19 & 2019-20 Budget
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division &Position 2015-16 2016-17 2017-18 2018-19 2019-20
Facilities Support Services Department
310 Facilities Support Services Administration
Director of Facilities Support 1.00 - - - -
Principal Financial Analyst 1.00 - - - -
SeniorStaffAnalyst 1.00 - - - -
Executive Assistant 1.00 - - - -
Total Facilities Support Services Administration 4.00 - - - -
322 Fleet Services
Maintenance Supervisor 1.00 - - -
Lead Mechanic 1.00 - - - -
Automotive/Heavy Equipment Technician 3.00 - - - -
Mobile Crane Operator 2.00 - - - -
Automotive/Heavy Equipment Assistant 1.00 - - - -
Office Assistant 1.00 - - - -
Total Fleet Services 9.00 - - - -
330 Facilities Engineering and Repair Services
Engineering Manager 1.00 - - - -
Senior Engineer 1.00 - - - -
Associate Engineer 2.00 - - - -
Administrative Assistant 1.00 - - - -
Total Facilities Engineering and Repair Services 5.00 - - - -
341 NPDES Source Inspection
Source Control Supervisor 1.00 - - - -
Principal Environmental Specialist 1.00 - - - -
Lead Source Control Inspector 1.00 - - - -
Source Control Inspector II 7.00 - - -
Source Control Inspector 1 2.00 - - -
Administrative Assistant 1.00 - - -
Environmental Technician 3.00 - - - -
Total NPDES Source Inspection 16.00 - - - -
342 Odor and Corrosion Control
Engineering Supervisor 1.00 - - - -
Associate Engineer 1.00 - - - -
Senior Environmental Specialist 2.00 - - - -
Engineering Assistant 1 1.00 - - - -
Environmental Technician 1.00 - - - -
Total Odor and Corrosion Control 6.00 - - -
343 Collection Facilities Operations and Maintenance
Maintenance Supervisor 2.00 - - - -
Lead Mechanic 5.00 - - - -
Senior Mechanic 8.00 - - - -
Mechanic 8.00 - - - -
Total Collection Facilities Operations and Maintenance 23.00 - - -
Total Facilities Support Services Department 63.00 - - - -
Section 10- Page 6
Historical Staffing Detail
Authorized Authorized Authorized Proposed Proposed
FFEs FFEs FFEs FFEs FFEs
Division&Position 2015-16 2016-17 2017-18 2018-19 2019-20
Envrionmental Services Department
610 Environmental Services Administration
Director of Environmental Services - 1.00 1.00 1.00 1.00
Executive Assistant - 1.00 1.00 1.00 1.00
Total Environmental Services Administration - 2.00 2.00 2.00 2.00
620 Resource Protection
Engineering Manager - - 1.00 1.00 1.00
Environmental Compl&Reg Affairs Manager - 1.00 - - -
Engineering Supervisor - 2.00 2.00 2.00 2.00
Environmental Supervisor - 1.00 - - -
Senior Engineer - 1.00 1.00 2.00 2.00
Senior Regulatory Specialist - 1.00 - - -
Engineer - 5.00 5.00 4.00 4.00
Source Control Supervisor - 1.00 1.00 1.00 1.00
Regulatory Specialist - 3.00 - - -
Associate Engineer - 4.00 3.00 3.00 3.00
Principal Environmental Specialist - 3.50 3.00 3.00 3.00
Lead Source Control Inspector - 1.00 1.00 1.00 1.00
Senior Environmental Specialist - 4.50 1.00 1.00 1.00
Source Control Inspector II - 7.00 7.00 7.00 7.00
Source Control Inspector I - 2.00 2.00 2.00 2.00
Administrative Assistant - 2.00 2.00 2.00 2.00
Environmental Technician - 3.00 3.00 3.00 3.00
Program Assistant - 4.00 4.00 4.00 4.00
Office Assistant - 1.00 1.00 1.00 1.00
Total Resource Protection - 47.00 37.00 37.00 37.00
630 Laboratory,Monitoring and Compliance
Environmental Lab&Ocean Monitoring Manager - 1.00 1.00 1.00 1.00
Environmental Supervisor - 1.00 4.00 4.00 4.00
Laboratory Supervisor - 2.00 - - -
SeniorRegulatorySpecialist - - 1.00 1.00 1.00
Senior Scientist - 3.00 3.00 3.00 3.00
Regulatory Specialist - - 2.00 3.00 3.00
Scientist - 1.00 1.00 1.00 1.00
Associate Engineer - - 1.00 1.00 1.00
Principal Environmental Specialist - 2.00 8.50 8.00 8.00
Principal Laboratory Analyst - 6.00 - - -
Senior Environmental Specialist - 6.00 18.50 18.00 18.00
Boat Captain - 1.00 1.00 1.00 1.00
Senior Laboratory Analyst - 10.00 - - -
Environmental Specialist - 2.00 7.00 7.00 7.00
Laboratory Analyst - 3.00 - - -
Administrative Assistant - 1.00 1.00 1.00 1.00
Environmental Technician - - 3.00 3.00 3.00
Laboratory Assistant - 3.00 - - -
Total Laboratory,Monitoring and Compliance - 42.00 52.00 52.00 52.00
Total Environmental Services Department - 91.00 91.00 91.00 91.00
Section 10- Page 7
2018-19 & 2019-20 Budget
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division &Position 2015-16 2016-17 2017-18 2018-19 2019-20
Engineering Department
710 Engineering Administration
Assistant General Manager - - - 1.00 1.00
Director of Engineering 1.00 1.00 1.00 - -
Executive Assistant 1.00 1.00 1.00 1.00 1.00
Total Engineering Administration 2.00 2.00 2.00 2.00 2.00
740 Planning
Engineering Manager 1.00 1.00 1.00 1.00 1.00
Engineering Supervisor 1.00 2.00 2.00 2.00 2.00
Senior Engineer 3.00 3.00 3.00 3.00 3.00
Engineer 4.00 3.00 3.00 3.00 3.00
Principal Financial Analyst - 1.00 1.00 - -
Principal Staff Analyst 1.00 1.00 1.00 2.00 2.00
Associate Engineer 2.00 2.00 2.00 1.00 1.00
Engineering Associate 1.00 1.00 1.00 1.00 1.00
Senior Staff Analyst 1.00 - - - -
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Total Planning 15.00 15.00 15.00 14.00 14.00
750 Project Management Office
Engineering Manager 1.00 1.00 1.00 1.00 1.00
Engineering Supervisor 1.00 - - 1.00 1.00
Capital Improvement Program Project Manager 7.00 8.00 9.00 9.00 9.00
Senior Engineer 1.00 2.00 1.00 1.00 1.00
Principal Project Controls Analyst 1.00 1.00 1.00 1.00 1.00
Engineer 1.00 - - - -
Principal Staff Analyst 2.00 2.00 2.00 2.00 2.00
Cost Estimator 1.00 - - - -
Planner/Scheduler 1.00 - - - -
SeniorStaffAnalyst 1.00 - - - -
Engineering Assistant II 1.00 1.00 1.00 - -
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Office Assistant 1.00 1.00 1.00 - -
Total Project Management Office 20.00 17.00 17.00 16.00 16.00
760 Civil and Mechanical Engineering
Engineering Manager 1.00 1.00 1.00 1.00 1.00
Engineering Supervisor 4.00 5.00 5.00 4.00 4.00
Senior Construction Inspection Supervisor 1.00 - - - -
Senior Engineer 9.00 7.00 7.00 7.00 7.00
Construction Inspection Supervisor 1.00 2.00 2.00 2.00 2.00
Engineer 13.00 13.00 13.00 13.00 13.00
Senior Cost Estimator - - - 1.00 1.00
Senior Planner/Scheduler - - - 1.00 1.00
Associate Engineer 3.00 3.00 3.00 4.00 4.00
Cost Estimator - 1.00 1.00 - -
Planner/Scheduler - 1.00 1.00 - -
Senior Construction Inspector 7.00 5.00 5.00 5.00 5.00
Assistant Engineer 2.00 1.00 1.00 - -
Engineering Associate 1.00 1.00 1.00 1.00 1.00
Senior Staff Analyst 1.00 2.00 2.00 2.00 2.00
Construction Inspector 9.00 5.00 5.00 6.00 6.00
Engineering Assistant II 3.00 3.00 3.00 4.00 4.00
Staff Analyst 1.00 - - - -
Administrative Assistant 2.00 2.00 2.00 2.00 2.00
Engineering Assistant 1 1.00 1.00 1.00 1.00 1.00
Total Civil and Mechanical Engineering 59.00 53.00 53.00 54.00 54.00
Section 10- Page 8
Historical Staffing Detail
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division&Position 2015-16 2016-17 2017-18 2018-19 2019-20
770 Electrical and Control Systems Engineering
Engineering Manager - 1.00 1.00 1.00 1.00
Engineering Supervisor - 2.00 2.00 2.00 2.00
Senior Construction Insp Supv - 1.00 1.00 1.00 1.00
Senior Engineer - 6.00 6.00 6.00 6.00
Principal Info Tech Analyst - 4.00 4.00 4.00 4.00
Engineer - 4.00 4.00 4.00 4.00
Senior Info Tech Analyst - 3.00 3.00 3.00 3.00
Information Tech Analyst III - 1.00 1.00 1.00 1.00
Senior Construction Inspector - 2.00 2.00 3.00 3.00
Information Tech Analyst II - 1.00 1.00 1.00 1.00
Construction Inspector - 4.00 4.00 3.00 3.00
Administrative Assistant - - - 1.00 1.00
Total Electrical and Control Systems Engineering - 29.00 29.00 30.00 30.00
790 Environmental Compliance
Environmental Compl &Reg Affairs Manager 1.00 - - - -
Engineering Supervisor 2.00 - - -
Environmental Supervisor 1.00 - - - -
Senior Scientist 1.00 - - - -
Engineer 6.00 - - - -
Regulatory Specialist 3.00 - - - -
Associate Engineer 4.00 - - - -
Principal Environmental Specialist 2.50 - - - -
Senior Environmental Specialist 4.50 - - - -
Administrative Assistant 1.00 - - - -
Program Assistant 4.00 - - - -
Office Assistant 1.00 - - - -
Total Environmental Compliance 31.00 - - - -
Total Engineering Department 127.00 116.00 116.00 116.00 116.00
Operations and Maintenance Department
810 Operations and Maintenance Administration
Director of Operations &Maintenance 1.00 1.00 1.00 1.00 1.00
Senior Staff Analyst 1.00 2.00 1.00 1.00 1.00
Staff Analyst - - 1.00 1.00 1.00
Total Operations and Maintenance Administration 2.00 3.00 3.00 3.00 3.00
820 Collection Facilities Operations and Maintenance
Engineering Manager - 1.00 1.00 1.00 1.00
Maintenance Supervisor - 2.00 2.00 2.00 2.00
Lead Mechanic - 5.00 5.00 5.00 5.00
Administrative Assistant - 1.00 1.00 1.00 1.00
Senior Mechanic - 8.00 8.00 8.00 8.00
Mechanic - 8.00 8.00 8.00 8.00
Office Assistant - 1.00 1.00 1.00 1.00
Total Collection Facilities Operations and Maintenance - 26.00 26.00 26.00 26.00
822 Fleet Services
Maintenance Supervisor - 1.00 1.00 1.00 1.00
Lead Mechanic - 1.00 1.00 1.00 1.00
Automotive/Heavy Equipment Technician - 3.00 3.00 3.00 3.00
Mobile Crane Operator - 2.00 2.00 2.00 2.00
Automotive/Heavy Equipment Assistant - 1.00 1.00 1.00 1.00
Total Fleet Services - 8.00 8.00 8.00 8.00
Section 10- Page 9
2018-19 & 2019-20 Budget
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division&Position 2015-16 2016-17 2017-18 2018-19 2019-20
830 Plant No.1 Operations
Operations Manager 1.00 1.00 1.00 1.00 1.00
Engineering Supervisor 2.00 1.00 1.00 1.00 1.00
Chief Plant Operator 1.00 1.00 1.00 1.00 1.00
Senior Engineer 4.00 1.00 1.00 1.00 1.00
Principal Information Technology Analyst 3.00 - - - -
Engineer 3.00 2.00 2.00 1.00 1.00
Operations Supervisor 6.00 6.00 6.00 7.00 7.00
Principal Staff Analyst - - - 1.00 1.00
Senior Information Technology Analyst 3.00 - - - -
Maintenance Supervisor 1.00 - - - -
Scientist 1.00 1.00 1.00 1.00 1.00
Associate Engineer 1.00 2.00 2.00 2.00 2.00
Principal Environmental Specialist - - 1.00 1.00 1.00
Information Technology Analyst III 1.00 - - - -
Assistant Engineer 1.00 1.00 1.00 1.00 1.00
Senior Environmental Specialist 1.00 2.00 1.00 1.00 1.00
Information Technology Analyst II 1.00 - - - -
Lead Plant Operator 3.00 4.00 4.00 4.00 4.00
Lead Power Plant Operator 1.00 1.00 1.00 1.00 1.00
Power Plant Operator II 4.00 4.00 4.00 4.00 4.00
Senior Plant Operator 14.00 15.00 15.00 14.00 14.00
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Plant Operator 14.00 16.00 15.00 16.00 16.00
Environmental Technician - 1.00 1.00 1.00 1.00
Control Center Technician 2.00 2.00 2.00 2.00 2.00
Total Plant No. 1 Operations 69.00 62.00 61.00 62.00 62.00
840 Plant No.2 Operations
Chief Plant Operator 1.00 1.00 1.00 1.00 1.00
Operations Supervisor 6.00 6.00 7.00 7.00 7.00
Lead Plant Operator 6.00 5.00 4.00 4.00 4.00
Lead Power Plant Operator - - 1.00 1.00 1.00
Power Plant Operator II 4.00 4.00 4.00 4.00 4.00
Senior Plant Operator 15.00 14.00 14.00 14.00 14.00
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Plant Operator 20.00 18.00 19.00 18.00 18.00
Program Assistant 1.00 1.00 - I - -
Total Plant No.2 Operations 54.00 50.00 51.00 50.00 50.00
Section 10 - Page 10
Historical Staffing Detail
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division&Position 2015-16 2016-17 2017-18 2018-19 2019-20
870 Plant No.1 Maintenance
Engineering Manager 1.00 - - - -
Maintenance Manager - 1.00 1.00 1.00 1.00
Engineering Supervisor 1.00 1.00 - - -
Maintenance Superintendent 1.00 1.00 1.00 1.00 1.00
Senior Engineer 2.00 3.00 - - -
Engineer 3.00 4.00 - - -
Maintenance Supervisor 6.00 7.00 6.00 6.00 6.00
Associate Engineer 1.00 2.00 - - -
Maintenance Specialist 5.00 5.00 - - -
Lead Electrical Technician 3.00 3.00 3.00 3.00 3.00
Lead Instrumentation Technician 1.00 1.00 1.00 1.00 1.00
Maintenance Planner/Scheduler 3.00 4.00 - - -
Reliability Maintenance Technician 4.00 6.00 - - -
Electrical Technician II 7.00 7.00 8.00 8.00 8.00
Instrumentation Technician II 6.00 5.00 6.00 6.00 6.00
Lead Mechanic 2.00 2.00 2.00 2.00 2.00
Machinist 1.00 1.00 1.00 1.00 1.00
Administrative Assistant 1.00 1.00 1.00 1.00 1.00
Senior Mechanic 17.00 17.00 18.00 17.00 17.00
Welder/Fabricator 3.00 3.00 3.00 3.00 3.00
Lead Facilities Worker 1.00 1.00 1.00 1.00 1.00
Electrical Technician 1 1.00 1.00 1.00 1.00 1.00
Instrumentation Technician 1 3.00 3.00 3.00 3.00 3.00
Facilities Worker/Builder 3.00 2.00 2.00 2.00 2.00
Facilities Worker/Painter 2.00 1.00 1.00 1.00 1.00
Mechanic 1.00 1.00 1.00 1.00 1.00
Maintenance Worker 3.00 2.00 2.00 2.00 2.00
Total Plant No. 1 Maintenance 82.00 85.00 62.00 61.00 61.00
875 Maintenance Reliability and Planning
Engineering Manager - - 1.00 1.00 1.00
Engineering Supervisor - - 1.00 1.00 1.00
Senior Engineer - - 3.00 3.00 3.00
Engineer - - 4.00 4.00 4.00
Maintenance Supervisor - - 1.00 1.00 1.00
Associate Engineer - - 2.00 2.00 2.00
Maintenance Specialist - - 11.00 11.00 11.00
Reliability Maintenance Technician - - 5.00 5.00 5.00
Total Maintenance Reliabilityand Planning - - 28.00 28.00 28.00
Section 10 - Page 11
2018-19 & 2019-20 Budget
Authorized Authorized Authorized Proposed Proposed
FTEs FTEs FTEs FTEs FTEs
Division &Position 2015-16 2016-17 2017-18 2018-19 2019-20
880 Plant No.2 Maintenance
Maintenance Superintendent 1.00 1.00 1.00 1.00 1.00
Maintenance Supervisor 5.00 5.00 5.00 5.00 5.00
Lead Electrical Technician 2.00 2.00 2.00 2.00 2.00
Lead Instrumentation Technician 2.00 2.00 2.00 2.00 2.00
Electrical Technician II 6.00 6.00 7.00 7.00 7.00
Instrumentation Technician II 7.00 6.00 8.00 8.00 8.00
Lead Mechanic 2.00 2.00 2.00 2.00 2.00
Administrative Assistant 1.00 - - 1.00 1.00
Senior Mechanic 15.00 14.00 14.00 15.00 15.00
Lead Facilities Worker - 1.00 1.00 1.00 1.00
Electrical Technician 1 1.00 1.00 1.00 1.00 1.00
Instrumentation Technician 1 1.00 - - - -
Facilities Worker/Builder - 1.00 1.00 1.00 1.00
Facilities Worker/Painter - 1.00 1.00 1.00 1.00
Mechanic 1.00 1.00 1.00 1.00 1.00
Maintenance Worker 2.00 1 2.00 2.00 2.00 1 2.00
Total Plant No.2 Maintenance 46.00 45.00 48.00 50.00 50.00
890 Environmental Laboratory and Ocean Monitoring
Environmental Lab&Ocean Monitoring Manager 1.00 - - - -
Environmental Supervisor 1.00 - - - -
Laboratory Supervisor 2.00 - - - -
Senior Scientist 3.00 - - - -
Scientist 1.00 - - - -
Principal Environmental Specialist 2.00 - - - -
Principal Laboratory Analyst 6.00 - - - -
Senior Environmental Specialist 6.00 - - - -
Boat Captain 1.00 - - - -
Senior Laboratory Analyst 10.00 - - - -
Environmental Specialist 1.00 - - - -
Laboratory Analyst 3.00 - - - -
Administrative Assistant 1.00 - - - -
Laboratory Assistant 3.00 - - - -
Total Environmental Laboratoryand Ocean Monitoring 41.00 - - - -
Total Operations and Maintenance Department 294.00 279.00 287.00 288.00 288.00
Grand Total,All Departments* 624.00 627.00 635.00 636.00 636.00
*FTE totals above exclude three Management Discretion positions that are authorized but used only on a temporarybasis to facilitate
the replacement of key positions. FTE totals also exclude three companion positions to be used for extended leaves of absence.
Total filled positions will not exceed 636 FTEs at any point in time.
Section 10 - Page 12
Appropriations Limit
Appropriations Limit
In certain situations, proceeds of taxes
Article XIIIB of the California State Constitution, may be spent on emergencies without
more commonly referred to as the Gann Initiative or having to reduce the limit in future years.
Gann Limit, was adopted by California voters in
1980. The Gann Limit placed limits on the amount Each agency also conducts a review of
of proceeds of taxes that state and local its Appropriations Limit during its annual
governmental agencies can receive and appropriate financial audit.
(authorize to spend)each year.
The law requires a governing body to annually
The limit is different for each agency and the limit adopt, by resolution, an appropriations limit for the
changes each year. The annual limit is based on the following year, along with a recorded vote
amount of tax proceeds that were authorized to be regarding which of the annual adjustment factors
spent in fiscal year 1978-79 in each agency, have been selected. The Orange County
modified for changes in inflation and population in Sanitation District's appropriations limit and
each subsequent year. annual adjustment factors are adopted at the
same meeting as the budget. The adjustment
Proposition 111 was passed by the State's voters in factors used for 2018-19 are the weighted average
June 1990. This legislation made changes to the change in city population and the change in state
manner in which the Appropriations Limit is to be per capita personal income.
calculated:
The following table shows the annual
The annual adjustment factors for inflation appropriations limit for each of the last two years
and population have been changed. and the appropriations limit and the
Instead of using the lesser of California per appropriations, or proceeds from taxes, for
capita income, or U.S. CPI, each agency 2018-19. The increase in the limit is based upon
may choose either the growth in the population changes ranging from 0.06%to 1.13%
California per capita income, or the growth for major cities within the District as provided by
in assessed valuation due to new non- the State Department of Finance and a per capita
residential construction within the district. personal income change of 3.67% as provided by
For population, instead of using only the the State Department of Finance.
population growth of an agency, each
agency may choose to use the population Annual Appropriation Limits:
growth within its county. These are both 2016-17 $101,768,666
annual elections. 2017-18 $105,998,787
The revised annual adjustment factors will 2018-19 $110,229,598
be applied to the 1986-87 limit for most
agencies and each year in between in Proceeds of Taxes (Appropriations)
order to calculate the 1990-91 limit. The 2018-19 $17,665,729
actual limits for the intervening years,
however, are not affected. As a result of the July 1998 consolidation of the
District, a single limit is presented in contrast to
Expenditures for"qualified capital outlay", individual limits shown in years prior to 1998.
which are capital assets with a value of Population changes for representative cities have
more than $100,000 and an expected life continued to be used in order to ensure
of 10 years or more, are excluded from the consistency and to eliminate significant population
limit. growth in parts of the County outside of the
District's service area. This method results in a
An agency which exceeds the limit in any lower limit than using the County-wide change.
one year may choose to not give a tax
refund if they fall below the limit in the next
fiscal year. They then have two more
years to refund any remaining excess or to
obtain a successful override vote.
Section 10 - Page 13
2018-19 & 2019-20 Budget
Budget Glossary Biosolids:
Treated sewage sludge that meets the USEPA
Accounting System: pollutant and pathogen requirements for land
The set of records and procedures which are used to application as an agricultural soil conditioner or
record, classify, and report information on the surface disposal.
financial status and operations of an entity.
BLAST.
Accrual Basis Accounting: A District program that stands for Building Leaders,
Under this accounting method, transactions are Abilities and Skills for Tomorrow. The BLAST
recognized when they occur, regardless of the timing program is an employee designed leadership
of related cash receipts and disbursements. development program that aims to provide training
and opportunities for staff at levels of the organization
Administrative and Clerical: to develop themselves as leaders
An employee group that provides administrative and
clerical support. Budget Document:
The official financial spending and resource plan
Ad Valorem Taxes: submitted by the General Manager, adopted by the
The District's allocated share of the property taxes Board of Directors, and made available to the public
assessed by the County representing a 2% annual and other interested parties.
increase in assessed values of property taxes.
Budget Message:
Annual Budget: A written explanation by the General Manager of the
A budget applicable to a single fiscal year. proposed budget. The budget message explains
principal budget and policy issues and presents an
Appropriation Ordinance: overview of the General Manager's budget
The official legal document approved by the District's recommendations.
Board of Directors authorizing officials to obligate and
expend resources. Budget Calendar:
The schedule of key dates which the District follows
Appropriation: in preparing and adopting the budget.
An authorization made by the District's Board of
Directors which permits officials to incur obligations Capital Facilities Capacity Charge:
against and to make expenditures of governmental A one-time, nondiscriminatory charge imposed at the
resources. Operating appropriations are typically time a building or structure is newly connected to the
granted for a one-year period. District's system, directly or indirectly, or an existing
structure or category of use is expanded or increased.
AQMD: This charge is to pay for District facilities in existence
Air Quality Management District. See also SCAQMD. at the time the charge is imposed, or to pay for new
facilities to be constructed in the future, that are of
Assessed Valuation: benefit to the property being charged. This charge
The estimated value of real and personal property does not apply to temporary facilities.
used by the Orange County Assessor as the basis for
levying property taxes. Capital Improvement Program:
A plan over a period of five years setting forth each
Balanced Budget: capital project, the amount to be expended in each
A budget in which the sum of estimated net revenues year, and the method of financing capital
and appropriated fund balances is equal to expenditures.
appropriations.
Capital Outlay:
Biennial Budget: Cash outlays which result in the acquisition of or
A budget applicable to two individual fiscal years. additions to capital assets. Examples include land,
buildings, machinery, equipment, and other
improvements.
Section 10 - Page 14
Budget Glossary
Capital Assets: Decision Package:
Assets of significant value which have a useful life of A standardized format whereby departments may
several years. Examples are land, buildings, other request budgetary consideration for new programs,
improvements, machinery, and equipment. positions, capital equipment, and position
reclassification.
Cash Basis Accounting:
A basis of accounting under which transactions are Deficit:
recognized only when cash is received or disbursed. The excess of an entity's liabilities over its assets.
CCTV: Engineers:
Closed-circuit television (CCTV),also known as video A professional engineers/employee group.
surveillance, is technology often used by the OCSD
to inspect and document the condition of Enterprise Fund:
underground sewer lines. In governmental accounting, a fund that provides
goods or services to the public for a fee that makes
CEQA: the entity self-supporting.
California Environmental Quality Act, is a statute that
requires state and local agencies to identify the Executive Manager:
significant environmental impacts of their actions and The group of employees which head each
to avoid or mitigate those impacts, if feasible. department.
Certificates of Participation (COPs): Expenditures/Expenses:
A type of debt financing in which certificates are Where accounts are kept on the accrual basis of
issued which represent an investor's participation in accounting, expenses are recognized when goods
the stream of lease payments paid by the issuer. are received or services rendered. Where accounts
COPs are secured by the lease payments. Voter are kept on a cash basis, expenditures are
approval is not required prior to issuance. recognized only when the cash payments are made.
Comprehensive Annual Financial Report(CAFR): FEMA:
The official financial report of a government. It Federal Emergency Management Agency. This
includes an audit opinion as well as basic financial agency provides federal grant monies for disaster
statements and supporting schedules necessary to relief.
demonstrate compliance with legal and contractual Fiscal Year:
requirements of the District. A 12-month period to which the annual operating
budget applies and at the end of which a government
Contingency: determines its financial position and results of its
A budgetary reserve set aside for emergencies or operations. The District's fiscal year runs from July 1
unforeseen expenditures not otherwise budgeted. -June 30.
Contingent Liabilities: Five-Year Financial Forecast:
Items which may become liabilities of the District but Estimates of future revenues and expenditures to
are undetermined at a given date, such as pending help predict the future financial condition of the
law suits, unsettled disputed claims, unfilled purchase community.
orders, and uncompleted contracts.
Contractual Services: FLSA:
Personal services provided to the District from the The Fair Labor Standards Act sets minimum wage,
private sector or other public agencies. overtime pay, equal pay, and Child Labor Standards
to private and public sector employees. Enforcement
CRWQCB: of the FLSA is assigned to the Department of Labor
California Regional Water Quality Control Board. (DOL), Wage and Hour Division.
Debt Service:
Payment of interest and repayment of principal to
holders of the District's debt instruments.
Section 10 - Page 15
2018-19 & 2019-20 Budget
Fats, Oils, & Grease(FOG) Control Program: practices identified as contributing to improved
Educational and regulatory efforts designed to government management by the Government
achieve reductions in the quantity of fats, oils and Finance Officers Association of the United States and
grease that is found in the wastewater that is Canada.
discharged into the District's sewerage system.
GFOA's Distinguished Budget Presentation
Full-Time Equivalents (FTE): Award Program:
The amount of time a regular, full-time employee The only national awards program in governmental
normally works in a year. For example, a full-time budgeting. It represents a significant
employee (1 FTE) is budgeted to work 2,080 hours accomplishment in meeting the highest principles of
per year, while a .5 FTE is budgeted to work 1,040 governmental budgeting and satisfying nationally
hours per year. recognized guidelines for effective budget
presentation.
Fund:
An independent fiscal and accounting entity with a Groundwater Replenishment System (GWRS):
self-balancing set of accounts recording cash and/or A joint project by the Orange County Water District
other resources together with all related liabilities, (OCWD) and the District, the GWRS reclaims up to
obligations, reserves, and equities. 100 million gallons a day of the District's secondary
effluent. GWRS is the world's largest water
Fund Accounting: purification system for indirect potable reuse. The
System used by nonprofit organizations, particularly system takes highly treated wastewater that would
governments. Since there is no profit motive, have previously been discharged into the Pacific
accountability is measured instead of profitability. Ocean and purifies it using a three-step advanced
The main purpose is stewardship of financial treatment process consisting of microfiltration,
resources received and expended in compliance with reverse osmosis and ultraviolet light with hydrogen
legal requirements. peroxide. The process produces high-quality water
that meets or exceeds all state and federal drinking
Fund Equity: water standards.
The excess of an entity's assets over liabilities.
Improvements:
General Obligation Bonds: Buildings, structures, or attachments to land such as
Bonds for which the full faith and credit of the insuring sidewalks, trees, drives, tunnels, drains and sewers.
government are pledged for payment. Interest:
Ad valorem property taxes are pledged to pay the Revenue derived from the investment of idle cash
bonds. A two-thirds voter approval is required prior to and/or reserves.
bond issuance.
Intergovernmental Services:
Generally Accepted Accounting Principles Purchases from other governments of those
Uniform( iform standards for financial accounting and specialized services typically performed by local
governments.
reporting. They govern the form and content of the
basic financial statements of an entity. Intergovernmental Revenue:
Revenue received from other governmental agencies
Government Finance Officers Association and municipalities.
(GFOA):
A nonprofit, professional association, serving over IRWD:
18,000 government finance professionals through the Irvine Ranch Water District is a California Special
United States and Canada. District formed in 1961 and incorporated under the
California water code. IRWD provides potable water,
GFOA's Best Practices and Advisories: sewer service and reclaimed (or recycled)water to its
A listing of the Accounting, Auditing, and Financial customers in Irvine and portions of Costa Mesa, Lake
Reporting, Treasury and Investment Management, Forest, Newport Beach, Orange, Tustin and
Budgeting and Fiscal Policy, Debt Management, unincorporated areas of Orange County.
Retirement and Benefits Administration, and
Economic Development and Capital Planning
Section 10 - Page 16
Budget Glossary
Levy: Other Revenues:
(Verb) To impose taxes, special assessments, or Revenues from sources, other than those specifically
service charges for the support of governmental identified, that are immaterial in amount and do not
activities. (Noun) The total amount of taxes, special justify reporting as separate line items.
assessments, or service charges imposed by a
government levying property taxes. Other Charges:
Expenditures that do not fit in other categories, are
Long-Term Debt or Long-Term Liabilities: immaterial in amount, and do not justify reporting as
Debt borrowed from a source outside the District with separate line items.
a maturity of more than one year after the date of
issuance. Performance Measure:
Represents the objectives of each department along
Maintenance Employees: with a target date for achieving the objective.
An employee group of the District.
Performance Results:
Manager Employees: A summary of major accomplishments and objectives
The group of employees who assume management that were met during the fiscal year.
responsibilities for operating divisions.
Permits:
MGD: Revenues earned by the issuance of permits levied in
Million Gallons per Day is a measurement of water or accordance with the benefits conferred by the permit.
wastewater flow.
Personnel:
NPDES (National Pollution Discharge Elimination Salaries and benefits paid to the District's employees.
System): Included are items such as special duty pay,
Permit system established by the U.S. Environmental insurance, and retirement.
Protection Agency to regulate discharge of treated
sewage, storm water, and urban runoff. Personnel Benefits:
Those benefits paid by the District as conditions of
Object: employment. Examples include insurance and
An expenditure classification which refers to the type retirement benefits.
of item purchased or the service obtained. Examples
include personnel, supplies, or contract services. Professional Employees:
An employee group consisting of technical experts,
OCWD: analysts, and planners.
The Orange County Water District (OCWD) is a
California special district that manages the Program:
groundwater basin beneath central and northern Organizational units directed to attain specific
Orange County, California. purposes or objectives.
OES: Reserve:
State Office of Emergency Services. This agency A term used to indicate that a portion of fund equity is
provides state grant monies for disaster relief. restricted for a specific purpose.
Operating Engineers: Resources:
An employee group of the District. Total dollars available for appropriations including
estimated revenues and beginning fund equity.
Operating Budget:
The operating budget is the primary means by which Revenue Bonds:
most of the financing of acquisition, spending, and Bonds issued pledging future revenues such as
service delivery activities of a government are sewer charges to cover debt payments. A majority
controlled. voter approval is required prior to bond issuance.
Section 10 - Page 17
2018-19 & 2019-20 Budget
Revenue Estimate: District's high level of service standards.
A formal estimate of how much revenue will be
earned from a specific revenue source for some Strategic Plan:
future period, typically a fiscal year. A planning effort to define the District's goals,
responsibilities, and requirements over a specified
Revenue: future period. Key factors used in the planning effort
Income received by the District to support wastewater include estimates for population growth, new
treatment services. This income may be in the form construction, the volume of wastewater delivered to
of property taxes, fees, user charges, grants, and the plants, and viable water conservation and
interest. reclamation programs.
Risk Register. Supervisory Employees:
The Risk Register is a compilation of the various risks An employee group whose members have
facing the District, as seen by the District's responsibility for directing the work of line employees.
management team.
Supplemental Appropriation:
Service Charges: An appropriation approved by the Directors after the
Charges for specific services rendered. initial budget is adopted.
Service Description: Supplies:
A description of the services or functions provided by An expenditure classification for articles and
each department or division. commodities purchased for consumption or resale.
Examples include office and operating supplies, fuel,
SCADA (Supervisory Control And Data power, water, gas inventory, or small tools and
Acquisition): equipment.
A system for remote monitoring and control that
operates with coded signals over communication SWRCB:
channels. The California State Water Resources Control Board
(SWRCB) is one of six branches of the California
SCAQMD: Environmental Protection Agency.
The South Coast Air Quality Management District,
also using the acronym SCAQMD, formed in 1976, is Taxes:
the air pollution agency responsible for regulating Compulsory charges levied by a government for the
stationary sources of air pollution in the South Coast purpose of financing services performed for the
Air Basin, in Southern California. common benefit.
Secondary Treatment: Technical Services:
A treatment process for wastewater (or sewage) to Support services to the District's wastewater
achieve a certain degree of effluent quality by using a management program through environmental
sewage treatment plant with physical phase sampling, analysis and research, source control of
separation to remove settleable solids and a industrial users, administration of compliance
biological process to remove dissolved and programs to meet federal, state and local
suspended organic compounds. environmental standards; provides leadership and
influence in the development and implementation of
Significant Changes: environmental policies, laws, and regulations.
This section provides an overview of the changes
adopted in the budget. Additionally, the significant
impacts of budgetary changes are outlined (Budget
Impact) along with dollar amounts (Increase/
Decrease).
Strategic Goals:
District-wide goals that demonstrate the District's
long-term commitment to excellence and that
establish the framework necessary to maintain the
Section 10 - Page 18
Miscellaneous Statistics
General Information
Year of Formation ................................................1948 Miles of Sewers..................................................396 miles
Form of Government............County Sanitation District On-Plant Pump Station............................................2
Authority..................................... Section 4700 et. seq. Off-Plant Pump Stations................................................15
...................................California Health &Safety Code Operating Authority...............RWQCB/NPDES Permit No.
Service Area ...........................................479 sq. miles ............................................................CA0110604
Service Population...............Approximately 2.6 million ..........................Statewide WDR Order No. 2006-0003
2017-18 Assessed Value........................$416.3 billion Authorized Staff(Full-Time Equivalent)..................636.00
Treatment Information
Daily Influent Flow to Total Primary 2016-17 Influent BOD:
Capacity Comparison (in MGD) Plant No. 1 .........................312 milligrams per liter
Plant No. 2.........................344 milligrams per liter
376
400 2016-17 Influent Suspended Solids:
Plant No. 1 .........................362 milligrams per liter
300 208 168 18e Plant No. 2.........................430 milligrams per liter
200 12
2016-17 Effluent BOD....................... 11 milligrams per liter
100
0 2016-17 Effluent Suspended Solids....5 milligrams per liter
Plant 1 Plant 2 Total
2016-17 Biosolids Produced&Reused ..289,336 wet tons
■2017-18 Estimated Influent OCapacity-Primary Treatment
Primary Treatment Capacity(includes standby): 2017-18 Estimated Average Daily Influent:
Plant No. 1 .......................................208 MGD Plant No. 1 ............................................. 120 MGD
Plant No. 2.......................................168 MGD Plant No. 2...............................................65 MGD
TOTAL..............................376 WGID TOTAL.................................... 185 MGD
Secondary Treatment Capacity: 2017-18 Estimated Electricity Generated:
Plant No. 1 .......................................182 MGD Plant No. 1...................................44,121,508 kwh
Plant No. 2..................................... 150 MGD Plant No. 2.................................. 49,677,613 kwh
TOTAL..............................332 MGD TOTAL..........................93,799,121 kwh
Legend:
MGD—million gallons per day
kwh—kilowatts per hour
Financial Information
2016-17 2017-18 2018-19 2019-20
Actual Projected Proposed Proposed
Fees and Charges:
One-Time 3-Bedroom Residence Connection $3,710.00 $3,855.00 $4,228.00 $4,601.00
Average Annual Single-Family Residence Fee $327 $331 $335 $339
Local SRF Fee $108 $108 $108 $108
District's Avg. Share of Ad Valorem Property Tax 1.61% 1.60% 1.60% 1.60%
Cost to Collect,Treat, &Dispose of One Million Gallons $2,054.56 $2,124.91 $2,412.95 $2,398.45
Summary of COP Issues:
April 2009A New Money $ 4,690,000 August 2014A Refunding 78,375,000
May 2010A New Money 80,000,000 February 2015A Refunding 127,510,000
November 2010C New Money 157,000,000 March 2016A Refunding 145,880,000
September 2011A Refunding 75,370,000 November 2016B Refunding 109,875,000
February 2012A Refunding 100,645,000 February 2017A Refunding 66,370,000
August 2012B Refunding 66,395,000 Total Outstanding COP Balance 7/1/18 $1,012,110,000
Section 10 - Page 19
2018-19 & 2019-20 Budget
ORANGE COUNTY SANITATION DISTRICT
Estimated Population Served by the
Orange County Sanitation District
Population
as of
January 1, 2018
Anaheim 357,084
B rea 44,890
Buena Park 83,995
Costa Mesa 115,296
Cypress 49,978
Fountain Valley 56,920
Fullerton 144,214
Garden Grove 176,896
Huntington Beach 202,648
Irvine 276,176
La Habra 62,850
La Palma 15,948
Los Alamitos 11,863
Newport Beach 87,182
Orange 141,952
Placentia 52,755
Santa Ana 338,247
Seal Beach 25,984
Stanton 39,470
Tustin 82,344
Villa Park 5,951
Westminster 94,476
Yorba Linda 69,121
Subtotal Cities 2,536,240
Estimated Population Served in
Unincorporated Areas (2) 73,127
2,609,367
Data Source:
(1) Demographic Research Unit, State of California Department of Finance
(2) Center for Demographic Research, California State University, Fullerton.
Section 10 - Page 20
Index
Index
Accounting System and Budgetary Control...................................................................................Section 3, Page 25
AdministrativeOfficials ..............................................................................................................................................vi
Administrative Services Administration ..................................................................................Section 6, Pages 21-24
Appropriations Limit.....................................................................................................................Section 10, Page 13
Background Information and Description of Services ...................................................................Section 2, Page 30
BoardCommittees.....................................................................................................................................................iv
Boardof Directors...................................................................................................................................................... iii
Board Services ...........................................................................................................................Section 6, Pages 5-8
Budget Assumptions...............................................................................................................Section 3, Pages 21-23
Budget Glossary...................................................................................................................Section 10, Pages 14-18
Budget Resources......................................................................................................................Section 4, Page 8-13
Business Plan.........................................................................................................................Section 2, Pages 15-27
Capital Equipment Budget Detail....................................................................................Section 8, Pages 96-97, 100
Capital Equipment Budget Summary..........................................................................Section 8, Pages 94-95, 98-99
Capital Improvement Expenditure Graphs................................................................................Section 8, Pages 5, 7
Capital Improvement Program - Budget Summary ...................................................................Section 8, Pages 4, 6
Capital Improvement Program - Overview...................................................................................Section 8, Page 1-2
Capital Improvement Program - Project Detail Sheets...........................................................Section 8, Pages 12-85
Capital Improvement Program - Project Summary by CIP Driver..........................................Section 8, Pages 90-93
Capital Improvement Program - Summary by Project Status.................................................Section 8, Pages 86-89
Capital Improvement Program - Summary of Capital Requirements.......................................Section 8, Pages 8-11
Civil & Mechanical Engineering..............................................................................................Section 6, Pages 61-64
Collection Facilities Operations & Maintenance.....................................................................Section 6, Pages 73-77
Consolidated Cash Flow Projections......................................................................................Section 4, Pages 16-17
Contracts, Purchasing and Materials Management...............................................................Section 6, Pages 29-32
Debt Financing Program.............................................................................................................Section 9, Pages 1-4
Debt Service Requirements Schedule, Interest...........................................................................Section 9, Page 8-9
Debt Service Requirements Schedule, Principal......................................................................Section 9, Page 10-11
Debt Service Requirements Schedule, Principal & Interest.........................................................Section 9, Page 6-7
District Funding Sources by Category.......................................................................................Section 4, Pages 2, 6
District Funding Uses by Category............................................................................................Section 4, Pages 3, 7
District's Organizational Chart....................................................................................................................................v
Electrical & Control Systems Engineering..............................................................................Section 6, Pages 65-68
Engineering Administration.....................................................................................................Section 6, Pages 49-52
Environmental Services Administration..................................................................................Section 6, Pages 37-40
Executive Summary......................................................................................................................Section 1, Page 1-4
Financial Management ..........................................................................................................Section 6, Pages 25-28
Financial Overview& Budgetary Issues...................................................................................Section 2, Pages 1-13
FiscalPolicy................................................................................................................................Section 3, Pages 1-8
Fleet Services ........................................................................................................................Section 6, Pages 77-80
Fund Structure Diagram ................................................................................................................Section 3, Page 26
GFOA Best Practices and Advisories.......................................................................................Section 3, Pages 9-17
General Liability and Property Self-Insurance Program..................................................................Section 7, Page 3
General Management Administration.........................................................................................Section 6, Pages 1-4
Section 10 - Page 21
2018-19 & 2019-20 Budget
Index (continued)
General Manager's Budget Message..................................................................................................................vii-viii
Historical Staffing Chart.................................................................................................................Section 10, Page 2
Historical Staffing Detail (by Department by Position)..............................................................Section 10, Page 4-12
Historical Staffing Summary (by Department)...............................................................................Section 10, Page 3
Human Resources Administration..........................................................................................Section 6, Pages 13-16
Information Technology..........................................................................................................Section 6, Pages 33-36
Laboratory, Monitoring and Compliance.................................................................................Section 6, Pages 45-48
Levels of Service Target Levels .............................................................................................Section 2, Pages 26-27
Long-Term Planning Table............................................................................................................Section 2, Page 29
Maintenance- Plant No. 1 .......................................................................................................Section 6, Page 89-92
Maintenance- Plant No. 2.....................................................................................................Section 6, Page 97-100
Maintenance Reliability and Planning.......................................................................................Section 6, Page 93-96
Miscellaneous Statistics ..............................................................................................................Section 10, Page 19
Mission, Vision and Core Values...............................................................................................................................ix
Notes to Operations Summary.................................................................................................Section 5, Pages 8-10
Operations - Plant No. 1 .........................................................................................................Section 6, Pages 81-84
Operations - Plant No. 2.........................................................................................................Section 6, Pages 85-88
Operations Summary-Allocation to Individual Revenue Areas .....................................................Section 5, Page 5
Operations Summary- Comparisons by Department .....................................................................Section 5, Page 3
Operations Summary- Expense by Category.................................................................................Section 5, Page 4
Operations Summary- Expense by Line Item............................................................................Section 5, Pages 6-7
Operations Summary- Budget Overview...................................................................................Section 5, Pages 1-2
Operations & Maintenance Administration.............................................................................Section 6, Pages 69-72
Orange County at a Glance...........................................................................................................Section 2, Page 31
Overview of the Budget Process............................................................................................Section 3, Pages 19-20
Planning..................................................................................................................................Section 6, Pages 53-56
Population Information, Service Area..........................................................................................Section 10, Page 20
Project Management Office ...................................................................................................Section 6, Pages 57-60
Projected Reserves ..................................................................................................................Section 4, Page 14-15
PublicAffairs.............................................................................................................................Section 6, Pages 9-12
Reader's Guide to the Budget..................................................................................................................................i-ii
Resource Protection...............................................................................................................Section 6, Pages 41-44
Revenue Sources...................................................................................................................Section 3, Pages 27-29
Risk Management/Safety/Security.........................................................................................Section 6, Pages 17-20
Self-Insurance Program - Overview................................................................................................Section 7, Page 1
Staffing by Category Chart............................................................................................................Section 10, Page 1
Staffing by Department Chart........................................................................................................Section 10, Page 1
Strategic Goal Objectives Table....................................................................................................Section 2, Page 28
Summary of Outstanding Certificates of Participation.....................................................................Section 9, Page 1
Total of Self-Insurance Program......................................................................................................Section 7, Page 2
Treatment Process Diagram............................................................................................................Section 8, Page 3
Where the Money Comes From ................................................................................................Section 4, Pages 1, 5
Where the Money Goes.............................................................................................................Section 4, Pages 1, 5
Workers' Compensation Self-Insurance Program...........................................................................Section 7, Page 4
Section 10 - Page 22
INSIDE OF BACK COVER
Orange County Sanitation District Z
1 844 Ellis Avenue
Fountain Valley
Calilfor ia, 92708-7018 =
714.962.2411
www.ocsd.com ►,►
06/2018 \