HomeMy WebLinkAbout06-12-2024 Administration Committee Meeting Complete Agenda Packet
SPECIAL NOTICE
PUBLIC ATTENDANCE & PARTICIPATION AT PUBLIC MEETINGS
Administration Committee Meeting
Wednesday, June 12, 2024
5:00 p.m.
Your participation is always welcome. OC San offers several ways in which to interact during meetings. You will find information as to these opportunities below. IN-PERSON MEETING ATTENDANCE
You may attend the meeting in-person at the following location: Orange County Sanitation District Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708 ONLINE MEETING PARTICIPATION
You may join the meeting live via Teams on your computer or similar device or web browser by
using the link below: Click here to join the meeting
We suggest testing joining a Teams meeting on your device prior to the commencement of the
meeting. For recommendations, general guidance on using Teams, and instructions on joining a Teams meeting, please click here. Please mute yourself upon entry to the meeting. Please raise your hand if you wish to speak
during the public comment section of the meeting. The Clerk of the Board will call upon you by
using the name you joined with. Meeting attendees are not provided the ability to make a presentation during the meeting. Please contact the Clerk of the Board at least 48 hours prior to the meeting if you wish to present any
items. Additionally, camera feeds may be controlled by the meeting moderator to avoid
inappropriate content.
HOW TO PARTICIPATE IN THE MEETING BY TELEPHONE To join the meeting from your phone: Dial (213) 279-1455
When prompted, enter the Phone Conference ID: 436 796 865# All meeting participants may be muted during the meeting to alleviate background noise. If you are muted, please use *6 to unmute. You may also mute yourself on your device.
Please raise your hand to speak by use *5, during the public comment section of the meeting. The Clerk of the Board will call upon you by using the last 4 digits of your phone number as identification. NOTE: All attendees will be disconnected from the meeting at the beginning of Closed
Session. If you would like to return to the Open Session portion of the meeting, please login or dial-in to the Teams meeting again and wait in the Lobby for admittance. WATCH THE MEETING ONLINE
The meeting will be available for online viewing at:
https://ocsd.legistar.com/Calendar.aspx SUBMIT A COMMENT
You may submit your comments and questions in writing for consideration in advance of the meeting by using the eComment feature available online at: https://ocsd.legistar.com/Calendar.aspx or sending them to OCSanClerk@ocsan.gov with the subject line “PUBLIC COMMENT ITEM # (insert the item number relevant to your comment)”
or “PUBLIC COMMENT NON-AGENDA ITEM”.
You may also submit comments and questions for consideration during the meeting by using the eComment feature available online at: https://ocsd.legistar.com/Calendar.aspx. The eComment feature will be available for the duration of the meeting.
All written public comments will be provided to the legislative body and may be read into the record or compiled as part of the record.
For any questions and/or concerns, please contact the Clerk of the Board’s office at
714-593-7433. Thank you for your interest in OC San!
June 6, 2024
NOTICE OF REGULAR MEETING
ADMINISTRATION COMMITTEE
ORANGE COUNTY SANITATION DISTRICT
Wednesday, June 12, 2024 – 5:00 P.M.
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
ACCESSIBILITY FOR THE GENERAL PUBLIC
Your participation is always welcome. Specific information as to how to
participate in this meeting is detailed on the Special Notice attached to
this agenda. In general, OC San offers several ways in which to interact
during this meeting: you may participate in person, join the meeting live
via Teams on your computer or similar device or web browser, join the
meeting live via telephone, view the meeting online, and/or submit
comments for consideration before or during the meeting.
The Regular Meeting of the Administration Committee of the Orange County
Sanitation District will be held at the above location and in the manner
indicated on Wednesday, June 12, 2024 at 5:00 p.m.
ADMINISTRATION COMMITTEE MEETING DATE
BOARD MEETING DATE
06/12/24 06/26/24
07/17/24 * 07/24/24
AUGUST DARK 08/28/24
09/11/24 09/25/24
10/09/24 10/23/24
11/13/24 11/20/24 *
12/11/24 12/18/24 *
JANUARY DARK 01/22/25
02/12/25 02/26/25
03/12/25 03/26/25
04/09/25 04/23/25
05/14/25 05/28/25
* Meeting will be held on the third Wednesday of the month
ROLL CALL ADMINISTRATION COMMITTEE Finance, Information Technology, Environmental Services
and Human Resources
Meeting Date: June 12, 2024 Time: 5:00 p.m.
COMMITTEE MEMBERS (13)
Christine Marick, Chair
Glenn Grandis, Vice-Chair Brad Avery
Pat Burns
Rose Espinoza
Farrah Khan
Jordan Nefulda
Andrew Nguyen
Robbie Pitts
David Shawver
John Withers
Chad Wanke (Board Chair) Ryan Gallagher (Board Vice-Chair)
OTHERS
Brad Hogin, General Counsel
STAFF
Rob Thompson, General Manager
Lorenzo Tyner, Assistant General Manager Mike Dorman, Director of Engineering
Laura Maravilla, Director of Human Resources
Riaz Moinuddin, Director of Operations & Maintenance Wally Ritchie, Director of Finance
Lan Wiborg, Director of Environmental Services
Kelly Lore, Clerk of the Board
ORANGE COUNTY SANITATION DISTRICT Effective 01/23/2024 BOARD OF DIRECTORS Complete Roster
AGENCY/CITIES ACTIVE DIRECTOR ALTERNATE DIRECTOR
Anaheim
Stephen Faessel
Carlos A. Leon
Brea Christine Marick Cecilia Hupp
Buena Park Joyce Ahn Art Brown
Cypress Scott Minikus Bonnie Peat
Fountain Valley Glenn Grandis Ted Bui
Fullerton Bruce Whitaker Nick Dunlap
Garden Grove Stephanie Klopfenstein John O’Neill
Huntington Beach Pat Burns Gracey Van Der Mark
Irvine Farrah N. Khan Kathleen Treseder
La Habra Rose Espinoza Jose Medrano
La Palma Debbie Baker Mark I. Waldman
Los Alamitos Jordan Nefulda Shelley Hasselbrink
Newport Beach Brad Avery Erik Weigand
Orange Jon Dumitru John Gyllenhammer
Placentia Chad Wanke Ward Smith
Santa Ana Johnathan Ryan Hernandez Benjamin Vazquez
Seal Beach Schelly Sustarsic Lisa Landau
Stanton David Shawver Carol Warren
Tustin Ryan Gallagher Austin Lumbard
Villa Park Robbie Pitts Jordan Wu
Sanitary/Water Districts
Costa Mesa Sanitary District Bob Ooten
Art Perry
Midway City Sanitary District Andrew Nguyen Tyler Diep
Irvine Ranch Water District John Withers Douglas Reinhart
Yorba Linda Water District Phil Hawkins Tom Lindsey
County Areas
Board of Supervisors Doug Chaffee Donald P. Wagner
ADMINISTRATION COMMITTEE
Regular Meeting Agenda
Wednesday, June 12, 2024 - 5:00 PM
Board Room
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
ACCOMMODATIONS FOR THE DISABLED: If you require any special disability related accommodations,
please contact the Orange County Sanitation District (OC San) Clerk of the Board’s office at (714) 593-7433 at
least 72 hours prior to the scheduled meeting. Requests must specify the nature of the disability and the type
of accommodation requested.
AGENDA POSTING: In accordance with the requirements of California Government Code Section 54954.2, this
agenda has been posted outside the main gate of the OC San's Administration Building located at 10844 Ellis
Avenue, Fountain Valley, California, and on the OC San’s website at www.ocsan.gov not less than 72 hours
prior to the meeting date and time above. All public records relating to each agenda item, including any public
records distributed less than 72 hours prior to the meeting to all, or a majority of the Board of Directors, are
available for public inspection in the office of the Clerk of the Board.
AGENDA DESCRIPTION: The agenda provides a brief general description of each item of business to be
considered or discussed. The recommended action does not indicate what action will be taken. The Board of
Directors may take any action which is deemed appropriate.
MEETING RECORDING: A recording of this meeting is available within 24 hours after adjournment of the
meeting at https://ocsd.legistar.com/Calendar.aspx or by contacting the Clerk of the Board at (714) 593-7433.
NOTICE TO DIRECTORS: To place items on the agenda for a Committee or Board Meeting, the item must be
submitted in writing to the Clerk of the Board: Kelly A. Lore, MMC, (714) 593-7433 / klore@ocsan.gov at least 14
days before the meeting.
FOR ANY QUESTIONS ON THE AGENDA, BOARD MEMBERS MAY CONTACT STAFF AT:
General Manager: Rob Thompson, rthompson@ocsan.gov / (714) 593-7110
Asst. General Manager: Lorenzo Tyner, ltyner@ocsan.gov / (714) 593-7550
Director of Engineering: Mike Dorman, mdorman@ocsan.gov / (714) 593-7104
Director of Environmental Services: Lan Wiborg, lwiborg@ocsan.gov / (714) 593-7450
Director of Finance: Wally Ritchie, writchie@ocsan.gov / (714) 593-7570
Director of Human Resources: Laura Maravilla, lmaravilla@ocsan.gov / (714) 593-7007
Director of Operations & Maintenance: Riaz Moinuddin, rmoinuddin@ocsan.gov / (714) 593-7269
ADMINISTRATION COMMITTEE Regular Meeting Agenda Wednesday, June 12, 2024
CALL TO ORDER
PLEDGE OF ALLEGIANCE
ROLL CALL AND DECLARATION OF QUORUM:
Clerk of the Board
PUBLIC COMMENTS:
Your participation is always welcome. Specific information as to how to participate in a meeting is detailed in the
Special Notice attached to this agenda. In general, OC San offers several ways in which to interact during
meetings: you may participate in person, join the meeting live via Teams on your computer or similar device or
web browser, join the meeting live via telephone, view the meeting online, and/or submit comments for
consideration before or during the meeting.
REPORTS:
The Committee Chairperson and the General Manager may present verbal reports on miscellaneous matters of
general interest to the Directors. These reports are for information only and require no action by the Directors.
CONSENT CALENDAR:
Consent Calendar Items are considered to be routine and will be enacted, by the Committee, after one motion,
without discussion. Any items withdrawn from the Consent Calendar for separate discussion will be considered in
the regular order of business.
1.2024-3641APPROVAL OF MINUTES
RECOMMENDATION:
Approve minutes of the Regular meeting of the Administration Committee held May 8,
2024.
Originator:Kelly Lore
Agenda Report
05-08-2024 Administration Committee Minutes
Attachments:
2.2024-3382GANN APPROPRIATIONS LIMIT FOR FISCAL YEAR 2024-25
RECOMMENDATION: Recommend to the Board of Directors to:
Adopt Resolution No. OC SAN 24-XX, entitled: “A Resolution of the Board of Directors
of the Orange County Sanitation District Establishing the Annual Appropriations Limit
Page 1 of 4
ADMINISTRATION COMMITTEE Regular Meeting Agenda Wednesday, June 12, 2024
for Fiscal Year 2024-25 for the Orange County Sanitation District in Accordance with
the Provisions of Division 9 of Title 1 of the California Government Code”.
Originator:Wally Ritchie
Agenda Report
Draft Resolution No. OC SAN 24-XX - Gann
Attachments:
3.2024-3582FY 2024-25 USE CHARGES FOR SANTA ANA WATERSHED
PROJECT AUTHORITY
RECOMMENDATION: Recommend to the Board of Directors to:
Adopt Resolution No. OC SAN 24-XX, entitled: “A Resolution of the Board of Directors
of the Orange County Sanitation District Establishing Use Charges for the 2024-25
Fiscal Year Pursuant to the Wastewater Treatment and Disposal Agreement with the
Santa Ana Watershed Project Authority (“SAWPA”)”.
Originator:Wally Ritchie
Agenda Report
Draft Resolution No. OC SAN 24-XX - SAWPA
Attachments:
NON-CONSENT:
4.2024-3642FY 2024-25 PROPERTY - LIABILITY INSURANCE RENEWALS
RECOMMENDATION: Recommend to the Board of Directors to:
Approve the Orange County Sanitation District FY 2024-25 Property-Liability Insurance
Renewals included in the FY 2024-25 Budget for the not-to-exceed amounts specified
below:
Property and Boiler & Machinery - Not to Exceed $2,906,254
Excess General Liability Insurance - Not to Exceed $1,704,203
Excess Workers’ Compensation Insurance - Not to Exceed $ 437,293
Earthquake Insurance - Not to Exceed $ 222,583
TOTAL $5,270,333
Originator:Wally Ritchie
Agenda ReportAttachments:
Page 2 of 4
ADMINISTRATION COMMITTEE Regular Meeting Agenda Wednesday, June 12, 2024
5.2024-3383PROPOSED FISCAL YEAR 2024-25 AND FISCAL YEAR 2025-26
BUDGET
RECOMMENDATION: Recommend to the Board of Directors to:
Approve the proposed Operating, Capital, Debt Service, and Self-Insurance Budgets
for FY 2024-25 and FY 2025-26 as follows:
FY 2024-25 FY 2025-26
Net Operating $232,674,493 $239,114,716
Self-Insurance - Workers’ Comp. 1,124,029 1,182,835
Self-Insurance - Property & Gen. Liability 4,402,500 4,767,000
Net Capital Improvement Program 223,075,113 279,436,128
Debt/COP Service 61,027,421 60,431,104
Intra-District Joint Equity Purchase/Sale (1) 3,500,000 3,500,000
Total $525,803,556 $588,431,783
(1) Cash to/from Revenue Area 14 (RA14) in exchange for capital assets to/from
Consolidated Revenue Area 15 (RA15)
Originator:Wally Ritchie
Agenda Report
Draft FY2024-25 and FY2025-26 Budget
Attachments:
INFORMATION ITEMS:
6.2024-3643CRITICAL ASSET IDENTIFICATION AND PROCUREMENT RISK
MITIGATION
RECOMMENDATION:
Information Item.
Originator:Mike Dorman
Agenda Report
Presentation - Critical Asset GM Work Plan
Attachments:
DEPARTMENT HEAD REPORTS:
CLOSED SESSION:
None.
Page 3 of 4
ADMINISTRATION COMMITTEE Regular Meeting Agenda Wednesday, June 12, 2024
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF
ANY:
BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING:
At this time Directors may request staff to place an item on a future agenda.
ADJOURNMENT:
Adjourn the meeting until the Regular Meeting of the Administration Committee on July 17,
2024 at 5:00 p.m.
Page 4 of 4
ADMINISTRATION COMMITTEE
Agenda Report
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
File #:2024-3641 Agenda Date:6/12/2024 Agenda Item No:1.
FROM:Robert Thompson, General Manager
Originator: Kelly A. Lore, Clerk of the Board
SUBJECT:
APPROVAL OF MINUTES
GENERAL MANAGER'S RECOMMENDATION
RECOMMENDATION:
Approve minutes of the Regular meeting of the Administration Committee held May 8, 2024.
BACKGROUND
In accordance with the Board of Directors Rules of Procedure,an accurate record of each meeting
will be provided to the Directors for subsequent approval at the following meeting.
RELEVANT STANDARDS
·Resolution No. OC SAN 22-37
ATTACHMENT
The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda
package:
·May 8, 2024 Administration Committee meeting minutes
Orange County Sanitation District Printed on 5/31/2024Page 1 of 1
powered by Legistar™
Orange County Sanitation District
Minutes for the
ADMINISTRATION COMMITTEE
Wednesday, May 8, 2024
5:00 PM
Board Room
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
CALL TO ORDER
A regular meeting of the Administration Committee of the Orange County Sanitation District
was called to order by Committee Chairwoman Christine Marick on Wednesday, May 8, 2024
at 5:01 p.m. in the Administration Building of the Orange County Sanitation District. Director
Rose Espinoza led the pledge of allegiance.
ROLL CALL AND DECLARATION OF QUORUM:
The Clerk of the Board declared a quorum present as follows:
PRESENT:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver, Chad Wanke and Kathleen Treseder (Alternate)
ABSENT:Andrew Nguyen and John Withers
STAFF PRESENT: Rob Thompson, General Manager; Lorenzo Tyner, Assistant General
Manager; Mike Dorman, Director of Engineering; Laura Maravilla, Director of Human
Resources; Riaz Moinuddin, Director of Operations and Maintenance; Wally Ritchie, Director
of Finance; Lan Wiborg, Director of Environmental Services; Kelly Lore, Clerk of the Board;
Jennifer Cabral; Thys DeVries; Justin Fenton; Al Garcia; Tina Knapp; Rob Michaels; Aldwin
Ramirez; Perla Rodriguez; Thomas Vu; and Ruth Zintzun were present in the Board Room.
OTHERS PRESENT: Brad Hogin, General Counsel; and Dennis Mulqueeney, Alliant
Insurance Services were present in the Board Room.
PUBLIC COMMENTS:
None.
REPORTS:
Chair Marick reminded the Committee that the Headquarters Ribbon Cutting will take place
on May 22, 2024 at 4:30 p.m. at the new building and requested that Board Members let the
Clerk of the Board know whether or not they will attend as soon as possible.
General Manager Rob Thompson reported on recent smoke and leak-related activity at the
Sunflower trunkline, where it enters the Plant No. 1 Headworks Metering and Diversion
structure. Both Sunflower pumps are unavailable, and the flows are currently being diverted to
Plant No. 2. A short-term emergency was declared to allow staff to effectively and quickly
respond.
Page 1 of 6
ADMINISTRATION
COMMITTEE
Minutes May 8, 2024
CONSENT CALENDAR:
1.APPROVAL OF MINUTES 2024-3560
Originator: Kelly Lore
MOVED, SECONDED, AND DULY CARRIED TO:
Approve minutes of the Regular meeting of the Administration Committee held April 10,
2024.
AYES:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver, Chad Wanke and Kathleen Treseder (Alternate)
NOES:None
ABSENT:Andrew Nguyen and John Withers
ABSTENTIONS:None
2.CONSOLIDATED FINANCIAL REPORT FOR THE THIRD QUARTER
ENDED MARCH 31, 2024
2024-3570
Originator: Wally Ritchie
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to:
Receive and file the Orange County Sanitation District Third Quarter Financial Report
for the period ended March 31, 2024.
AYES:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver, Chad Wanke and Kathleen Treseder (Alternate)
NOES:None
ABSENT:Andrew Nguyen and John Withers
ABSTENTIONS:None
3.GENERAL MANAGER APPROVED PURCHASES AND ADDITIONS
TO THE PRE-APPROVED OEM SOLE SOURCE LIST
2024-3589
Originator: Wally Ritchie
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to:
Page 2 of 6
ADMINISTRATION
COMMITTEE
Minutes May 8, 2024
A. Receive and file Orange County Sanitation District purchases made under the
General Manager’s authority for the period of January 1, 2024 to March 31,
2024; and
B. Approve the following additions to the pre-approved Original Equipment
Manufacturers (OEM) Sole Source List:
·NORIA - Lube Awareness Training
·SULZER - Pumps and Parts
AYES:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver, Chad Wanke and Kathleen Treseder (Alternate)
NOES:None
ABSENT:Andrew Nguyen and John Withers
ABSTENTIONS:None
4.IBM TIVOLI MAXIMO ANNUAL SUBSCRIPTION AND SUPPORT,
SPECIFICATION NO. S-2024-1448BD
2024-3592
Originator: Wally Ritchie
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to:
A. Approve a Purchase Order to ZProCis Solutions Inc. to provide the conversion of
IBM Tivoli Maximo from perpetual licenses to application point licenses,
Specification No. S-2024-1448BD, for a total amount not to exceed $276,498;
and
B. Approve a contingency in the amount of $41,475 (15%).
AYES:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver, Chad Wanke and Kathleen Treseder (Alternate)
NOES:None
ABSENT:Andrew Nguyen and John Withers
ABSTENTIONS:None
5.PURCHASE ORDER FOR CALIFORNIA RECREATION COMPANY
MARINA SLIP RENTAL AGREEMENT
2024-3594
Originator: Lan Wiborg
MOVED, SECONDED, AND DULY CARRIED TO:
Page 3 of 6
ADMINISTRATION
COMMITTEE
Minutes May 8, 2024
A. Approve a Purchase Order to California Recreation Company (CRC) Marinas for
the rental of an end tie boat slip in Newport Beach Harbor, not to exceed
$147,490 for the period July 1, 2024, through June 30, 2025; and
B. Approve a contingency of $29,498 (20%).
AYES:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver, Chad Wanke and Kathleen Treseder (Alternate)
NOES:None
ABSENT:Andrew Nguyen and John Withers
ABSTENTIONS:None
NON-CONSENT:
6.PROCUREAMERICA 2024-3583
Originator: Wally Ritchie
Board Chair Wanke recused himself on Item No. 6 and left the meeting during the
discussion and vote.
Director of Finance Wally Ritchie introduced Finance and Procurement Manager Ruth
Zintzun who provided an overview of the item.
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to:
Approve the use of ProcureAmerica to perform analysis of specific operational areas to
identify potential cost savings.
AYES:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver and Kathleen Treseder (Alternate)
NOES:None
ABSENT:Andrew Nguyen and John Withers
ABSTENTIONS:None
RECUSED:Chad Wanke
7.BUILD AMERICA BONDS PREPAYMENT 2024-3593
Originator: Wally Ritchie
Mr. Ritchie provided a brief overview of the item.
MOVED, SECONDED, AND DULY CARRIED TO: Recommend to the Board of
Directors to:
Page 4 of 6
ADMINISTRATION
COMMITTEE
Minutes May 8, 2024
Adopt Resolution No. OC SAN 24-XX entitled: “A Resolution of the Board of Directors
of the Orange County Sanitation District authorizing prepayment of Orange County
Sanitation District Wastewater Revenue Obligations, Series 2010A (Federally Taxable
Build America Bonds) and Orange County Sanitation District Wastewater Revenue
Obligations, Series 2010C (Taxable Build America Bonds) and authorizing the
execution of necessary documents and related actions”, in a not to exceed amount of
$225,000,000.
AYES:Brad Avery, Pat Burns, Rose Espinoza, Ryan Gallagher, Glenn
Grandis, Christine Marick, Jordan Nefulda, Robbie Pitts, David
Shawver, Chad Wanke and Kathleen Treseder (Alternate)
NOES:None
ABSENT:Andrew Nguyen and John Withers
ABSTENTIONS:None
INFORMATION ITEMS:
8.INSURANCE UPDATE 2024-3379
Originator: Wally Ritchie
Mr. Ritchie introduced Dennis Mulqueeney, Alliant Insurance Services who provided a
PowerPoint presentation regarding the Public Entity Insurance Marketplace, Trends,
Industry Issues, Market conditions and Outlook.
ITEM RECEIVED AS AN:
Information Item.
9.CAPITAL IMPROVEMENT PROGRAM PROPOSED BUDGET FOR FY
2024-25 & 2025-26
2024-3602
Originator: Mike Dorman
Director of Engineering, Mike Dorman provided a brief introduction to the item and
introduced Engineering Manager Justin Fenton who provided a PowerPoint
presentation regarding the capital improvement program (CIP) proposed budget for FY
2024-25 and 2025-26. The presentation included an overview of FY2023-24
expenses, the CIP, the annual update process, a 10 and 20-year net CIP forecast, the
top 15 changes, the P1-140 Activated Sludge 1 Rehabilitation at Plant No. 1 project,
the 7-69 North Tustin-Orange Improvements project, the P2-138 Operations and
Maintenance Complex at Plant No. 2 project, the projected FY 2024-25 net CIP, and a
summary of capital expenses. Mr. Fenton introduced Ms. Zintzun who reviewed the FY
2024-25 CIP reserves and key meeting dates.
Information Item.
Page 5 of 6
ADMINISTRATION
COMMITTEE
Minutes May 8, 2024
DEPARTMENT HEAD REPORTS:
None.
CLOSED SESSION:
None.
OTHER BUSINESS AND COMMUNICATIONS OR SUPPLEMENTAL AGENDA ITEMS, IF
ANY:
None.
BOARD OF DIRECTORS INITIATED ITEMS FOR A FUTURE MEETING:
None.
ADJOURNMENT:
Chair Marick declared the meeting adjourned at 5:50 p.m. to the next Administration
Committee meeting to be held on Wednesday, June 12, 2024 at 5:00 p.m.
Submitted by:
__________________
Kelly A. Lore, MMC
Clerk of the Board
Page 6 of 6
ADMINISTRATION COMMITTEE
Agenda Report
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
File #:2024-3382 Agenda Date:6/12/2024 Agenda Item No:2.
FROM:Robert Thompson, General Manager
Originator: Wally Ritchie, Director of Finance
SUBJECT:
GANN APPROPRIATIONS LIMIT FOR FISCAL YEAR 2024-25
GENERAL MANAGER'S RECOMMENDATION
RECOMMENDATION: Recommend to the Board of Directors to:
Adopt Resolution No.OC SAN 24-XX,entitled:“A Resolution of the Board of Directors of the Orange
County Sanitation District Establishing the Annual Appropriations Limit for Fiscal Year 2024-25 for the
Orange County Sanitation District in Accordance with the Provisions of Division 9 of Title 1 of the
California Government Code”.
BACKGROUND
This routine annual action adopts a resolution establishing the spending limit for “proceeds of taxes”
in accordance with Article XIII B of the Constitution of the State of California (Section 7910 of the
Government Code).The Orange County Sanitation District’s (OC San)annual appropriations are
well below the limit.
In 1979,Proposition 4 (the Gann Initiative)was approved,adding Article XIII B to the State
Constitution.The provisions of this article place limits on the amount of revenue that can be
appropriated by all entities of government.This initiative was designed to constrain government
expenditures by placing an annual limit on jurisdictions'revenue and appropriation growth.The
Appropriations Limit is based on actual appropriations during the 1978-1979 fiscal year,as increased
each year using specified population and inflationary growth factors.This annual growth allowance is
linked to changes in population and cost of living.The passage of Proposition 111 in June 1990
amended Article XIII B,making changes in the base year upon which the Appropriations Limit is
based,establishing new cost of living factors and new population factors for use by local
governments,and increasing appropriations not subject to the limit (primarily qualified capital outlay
projects).The financial constraints of Article XIII B apply to the State,all cities,counties,special
districts, and all other political subdivisions.
RELEVANT STANDARDS
·Produce Operations and CIP budgets every two years, with annual update
Orange County Sanitation District Printed on 6/5/2024Page 1 of 2
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File #:2024-3382 Agenda Date:6/12/2024 Agenda Item No:2.
PROBLEM
Article XIII B of the State Constitution places limits on the amount of revenue that can be
appropriated by all entities of government.
PROPOSED SOLUTION
Approval of the proposed Resolution establishing the annual Appropriations Limit for fiscal year 2024-
25 in accordance with the Provisions of Division 9 of Title 1 of the California Government Code.
TIMING CONCERNS
The proposed two-year budget,effective July 1 of this year,will be finalized and presented to the
Board for adoption in June.The Appropriations Limit Resolution needs to be adopted in conjunction
with the budget.
RAMIFICATIONS OF NOT TAKING ACTION
OC San will not be able to carry out its financial fiduciary duties beyond June 30, 2024.
ATTACHMENT
The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda
package:
·Draft Resolution No. OC SAN 24-XX
Orange County Sanitation District Printed on 6/5/2024Page 2 of 2
powered by Legistar™
OC SAN 24-XX-1
RESOLUTION NO. OC SAN 24-XX
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
ORANGE COUNTY SANITATION DISTRICT ESTABLISHING
THE ANNUAL APPROPRIATIONS LIMIT FOR FISCAL YEAR
2024-25 FOR THE ORANGE COUNTY SANITATION
DISTRICT IN ACCORDANCE WITH THE PROVISIONS OF
DIVISION 9 OF TITLE 1 OF THE CALIFORNIA
GOVERNMENT CODE
WHEREAS, Article XIII B of the Constitution of the State of California as proposed
by the Initiative Measure approved by the people at the special statewide election held on
November 6, 1979, provides that the total annual appropriations limit of each local
government agency shall not exceed the appropriations limit of such entity for the prior
year, adjusted for changes in the cost of living and population, except as otherwise
specifically provided for in said Article; and,
WHEREAS, the State Legislature added Division 9 (commencing with Section
7900) to Title 1 of the Government Code of the State of California to implement Article
XIII B of the California Constitution; and,
WHEREAS, Section 7910 of the Government Code provides that each year the
governing body of each local jurisdiction shall, by resolution, establish its appropriations
limit for the following fiscal year pursuant to Article XIII B at a regularly-scheduled meeting
or a noticed special meeting and that fifteen (15) days prior to such meeting,
documentation used in the determination of the appropriations limit shall be available to
the public; and,
WHEREAS, Section 7902 (a) of the Government Code sets forth the method for
determining the appropriations limit for each local jurisdiction for the 2023-24 fiscal year;
and,
WHEREAS, the Board of Directors wishes to establish the appropriations limit
for fiscal year 2024-25 for the Orange County Sanitation District.
NOW, THEREFORE, the Board of Directors of the Orange County Sanitation
District DOES HEREBY RESOLVE, DETERMINE AND ORDER:
Section 1: That it is hereby found and determined that the documentation used
in the determination of the appropriations limit for the Orange County Sanitation District,
for fiscal year 2024-25, was available to the public in the Finance Department of said
Orange County Sanitation District at least fifteen (15) days prior to this date.
OC SAN 24-XX-2
Section 2: That the appropriations limit for fiscal year 2024-25 for the Orange
County Sanitation District, as established in accordance with Section 7902(b) of the
California Government Code is $142,444,371. The budgeted appropriations from
proceeds of taxes is within this maximum authorized spending limitation for fiscal year
2024-25.
Section 3: That the Board of Directors of the Orange County Sanitation District,
has determined that the percent change in California per capita personal income from the
preceding year would be the cost of living factor to be used and the weighted average
population change of the cities within the Orange County Sanitation District would be the
population factor to be used in calculating the Orange County Sanitation District's
appropriations limit for the fiscal year 2024-25.
Section 4: The determination of the appropriation limit is based upon the best
and most complete information available at this time. The Orange County Sanitation
District reserves the right to review and re-establish a new and different limit in the event
that it subsequently determines that a modification of the limitation amount is appropriate.
PASSED AND ADOPTED at a regular meeting of the Board of Directors held
June 26, 2024.
Chad P. Wanke
Board Chairman
ATTEST:
Kelly A. Lore, MMC
Clerk of the Board
OC SAN 24-XX-3
STATE OF CALIFORNIA )
) ss
COUNTY OF ORANGE )
I, Kelly A. Lore, Clerk of the Board of Directors of the Orange County Sanitation
District, do hereby certify that the foregoing Resolution No. OC SAN 24-XX was passed
and adopted at a regular meeting of said Board on the 26th day of June 2024, by
the following vote, to wit:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal
of Orange County Sanitation District this 26th day of June 2024.
Kelly A. Lore, MMC
Clerk of the Board of Directors
Orange County Sanitation District
ADMINISTRATION COMMITTEE
Agenda Report
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
File #:2024-3582 Agenda Date:6/12/2024 Agenda Item No:3.
FROM:Robert Thompson, General Manager
Originator: Wally Ritchie, Director of Finance
SUBJECT:
FY 2024-25 USE CHARGES FOR SANTA ANA WATERSHED PROJECT AUTHORITY
GENERAL MANAGER'S RECOMMENDATION
RECOMMENDATION: Recommend to the Board of Directors to:
Adopt Resolution No.OC SAN 24-XX,entitled:“A Resolution of the Board of Directors of the Orange
County Sanitation District Establishing Use Charges for the 2024-25 Fiscal Year Pursuant to the
Wastewater Treatment and Disposal Agreement with the Santa Ana Watershed Project Authority
(“SAWPA”)”.
BACKGROUND
Currently,the Orange County Sanitation District (OC San)invoices SAWPA on a quarterly basis for
the wastewater discharge received from the SARI line.Annually,the rates for flow,BOD,and TSS
are calculated based upon the fiscal year budget for treatment and disposal costs and the 1996
Wastewater Treatment and Disposal Agreement.The rates calculated for each constituent for FY
2024-25 for wastewater discharge are:
FLOW $293.46 per million gallons of flow
BOD $395.62 per thousand pounds
TSS $496.37 per thousand pounds
The FY 2024-25 rates are an average 0.5 percent increase from the FY 2023-24 rates due to an
increase in the treatment and disposal costs in the proposed FY 2024-25 Budget.These rates are
separate from the rates charged for additional capacity purchases by SAWPA.
RELEVANT STANDARDS
·Comply with OC San Policy - Establishing Annual SAWPA Treatment and Disposal Rates
·Support of 1996 Treatment and Disposal Agreement with SAWPA
TIMING CONCERNS
Rates should be effective July 1, 2024 (FY 2024-25).
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RAMIFICATIONS OF NOT TAKING ACTION
Rates would not be established for FY 2024-25 for cost recovery for treatment and disposal of
SAWPA’s wastewater discharge.
PRIOR COMMITTEE/BOARD ACTIONS
A resolution is adopted annually in June pursuant to the Wastewater Treatment and Disposal
Agreement with SAWPA.
ADDITIONAL INFORMATION
The FY 2024-25 proposed budget to operate,maintain,and manage OC San’s sewage collection,
treatment,and disposal system is $233.7 million,an increase of approximately 8.3 percent,or $17.9
million,from the prior year budget.The Operating Budget increase is primarily driven by increased
outside contractual,utility,and personnel costs.Inflation that has impacted the nation’s economy
over the past year is also driving up OC San’s cost of doing business.
CEQA
N/A
FINANCIAL CONSIDERATIONS
N/A
ATTACHMENT
The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda
package:
·Draft Resolution No. OC SAN 24-XX
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OC SAN 24-xx-1
RESOLUTION NO. OC SAN 24-XX
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE ORANGE COUNTY SANITATION DISTRICT ESTABLISHING USE CHARGES FOR THE 2024-25 FISCAL YEAR PURSUANT TO THE WASTEWATER TREATMENT AND
DISPOSAL AGREEMENT WITH THE SANTA ANA
WATERSHED PROJECT AUTHORITY (“SAWPA”)
WHEREAS, the Board of Directors has approved the Wastewater
Treatment and Disposal Agreement with the SANTA ANA WATERSHED
PROJECT AUTHORITY (“SAWPA”); and,
WHEREAS, said agreement provides for payment of Disposal Costs for the
measured and sampled flow of Wastewater discharged from SAWPA’s SARI
Service Area to Districts’ facilities; and,
WHEREAS, said agreement provides for adjustment of said Disposal Costs on an annual basis.
NOW, THEREFORE, The Board of Directors of the Orange County Sanitation District, DOES HEREBY RESOLVE, DETERMINE, AND ORDER:
Section 1. That pursuant to Section C4 of the Wastewater Treatment and Disposal Agreement, the 2024-25 fiscal year charges for Disposal Costs are hereby established as follows:
For Flow: $ 293.46 per million gallons of flow
For Biochemical Oxygen Demand: $ 395.62 per thousand pounds For Total Suspended Solids: $ 496.37 per thousand pounds
PASSED AND ADOPTED at a regular meeting of the Orange County
Sanitation District’s Board of Directors held June 26, 2024.
___________________________ Chad P. Wanke Board Chairman
ATTEST:
___________________________
Kelly A. Lore, MMC Clerk of the Board
OC SAN 24-xx-2
STATE OF CALIFORNIA )
) ss
COUNTY OF ORANGE )
I, Kelly A. Lore, Clerk of the Board of Directors of the Orange County Sanitation District, do hereby certify that the foregoing Resolution No. OC SAN 24-XX was passed and adopted at a regular meeting of said Board on the 26th day of June 2024, by the following vote, to wit:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of Orange County Sanitation District this 26th day of June 2024.
Kelly A. Lore, MMC
Clerk of the Board of Directors Orange County Sanitation District
ADMINISTRATION COMMITTEE
Agenda Report
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
File #:2024-3642 Agenda Date:6/12/2024 Agenda Item No:4.
FROM:Robert Thompson, General Manager
Originator: Wally Ritchie, Director of Finance
SUBJECT:
FY 2024-25 PROPERTY - LIABILITY INSURANCE RENEWALS
GENERAL MANAGER'S RECOMMENDATION
RECOMMENDATION: Recommend to the Board of Directors to:
Approve the Orange County Sanitation District FY 2024-25 Property-Liability Insurance Renewals
included in the FY 2024-25 Budget for the not-to-exceed amounts specified below:
Property and Boiler & Machinery - Not to Exceed $2,906,254
Excess General Liability Insurance - Not to Exceed $1,704,203
Excess Workers’ Compensation Insurance - Not to Exceed $ 437,293
Earthquake Insurance - Not to Exceed $ 222,583
TOTAL $5,270,333
BACKGROUND
Financial Management staff and the Orange County Sanitation District’s (OC San)operational
insurance broker,Alliant,began the renewal process in January and received final quotes in June.
After negotiating with the insurance carriers,Alliant was able to secure competitive rates for OC San
without compromising the quality of coverage provided.The insurance market has been in a state of
flux due to reduced reinsurer capacity,weather extremes,sea level rise,wildfires,catastrophic
losses,social inflation,and cybersecurity threats around the world and in the state of California.
There is a lot of uncertainty in the market and insurers have taken losses for previous years and,as a
result, insurance costs will increase to absorb the losses.
The uncertainty in the market due to the above-mentioned factors will impact the insurance rates.As
such,OC San will need to pay higher rates to obtain the same coverage limits.The current extreme
degree of uncertainty in the insurance industry means significant rate increases,at least in the short
term, until the numbers play out for the insurance industry over the next few years.
The proposed cost of insurance coverage for FY 2024-25 is $5,270,333,an increase of $937,450
(22%). A summary of the insurances is included in the Additional Information section below.
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RELEVANT STANDARDS
·Protect OC San assets
PROBLEM
Current insurance coverage expires June 30,2024,and insurance coverage is necessary to protect
OC San assets and financial well-being.
PROPOSED SOLUTION
Approve the insurance renewals as described to ensure continued coverage of OC San assets.
TIMING CONCERNS
Board approval is necessary since current coverage expires June 30, 2024.
RAMIFICATIONS OF NOT TAKING ACTION
Without Board approval,OC San cannot finalize the contracts with the insurance carriers and OC
San’s insurance will lapse.
PRIOR COMMITTEE/BOARD ACTIONS
May 2024 -Informational presentation to the Administration Committee providing an overview of the
insurance renewal market.
ADDITIONAL INFORMATION
The cost of insurance coverage for FY 2024-25 is $5,270,333,an increase of $937,450 (22%).OC
San’s budget provides funds for the renewal of the following four major insurances for OC San
operations:
1)All-Risk Property and Flood Insurance (Includes Boiler & Machinery)
The All-Risk Property and Flood Insurance Program (Property Insurance)provides comprehensive
coverage for much of OC San’s real and personal property regarding virtually all perils including fire,
flood,and business interruption.Current Property Insurance limits are $1 billion dollars for most
perils other than flood and earthquakes,and $25 million dollars for flood,with many sub-limits for
various situations.In order to reach $800 million dollars in limits,the broker had to arrange for more
than a dozen different insurers.The self-insured retention (SIR)is $500,000 per occurrence for most
types of losses.
Since the late 1990’s,the Property Insurance has been with a nationwide joint purchase property
insurance program called Public Entity Property Insurance Program,one of the world’s largest
property programs.It is important to note that this joint purchase property insurance offers the
purchasing power of numerous large public entities without the pooling or sharing of coverage or
losses.The Boiler &Machinery Insurance component of the property insurance provides
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losses.The Boiler &Machinery Insurance component of the property insurance provides
comprehensive coverage for loss caused by machinery breakdown and explosion of steam boilers or
other covered process equipment,including damage to the equipment itself and damage to other
property caused by covered accidents.The current Boiler &Machinery Insurance Program provides
coverage of $100 million per occurrence with deductibles ranging from $25,000 to $350,000 for
losses caused by covered machinery breakdown (e.g.,motors,steam turbines,digesters,co-gen
engines).Damages to the equipment,as well as damage to other property and improvements from
machinery breakdown,are covered by the Boiler &Machinery Insurance.This program augments
OC San’s All-Risk Property Insurance that covers perils such as fire and flood.
The estimated cost for All-Risk Property and Flood is $2,906,254, an increase of $327,828 (13%).
2)Excess General Liability Insurance
OC San’s Excess General Liability Insurance Program is currently provided through the California
Municipal Excess Liability Program (CAMEL)and its sister program,the Alliant National Municipal
Liability Program.OC San has participated in the CAMEL program since FY 1996-97.This program
currently provides OC San with a $40 million dollar policy of comprehensive coverage for municipal
liability,bodily injury and property damage,and personal injury.The program was structured to also
include Employment Practices and Public Officials Errors &Omissions coverage.The $40 million
dollar coverage has a planned self-insured deductible of $1,000,000.
The estimated cost for Excess General Liability is $1,704,203, an increase of $486,915 (40%).
3)Excess Workers’ Compensation
The Excess Workers’Compensation insurance coverage is with Public Risk Innovation,Solutions,
and Management (formerly California State Association of Counties Excess Insurance Authority).OC
San has participated in this program or its predecessor since 2003.The Excess Workers’
Compensation program currently provides “Statutory”(unlimited)coverage with a SIR,or deductible,
of $1 million. The use of Excess Workers’ Compensation Insurance dates back to the late 1980’s.
The estimated cost for Excess Workers’ Compensation is $437,293, an increase of $98,316 (29%).
4)Earthquake Insurance
OC San previously carried earthquake insurance as part of its Property Insurance,but in the last 15
years earthquake insurance proved difficult to obtain or not cost-effective.Each year,OC San asked
its insurance broker to survey the market to see if rates changed.In 2015,a plan was created to
maintain coverage on several key OC San structures identified by Engineering,thus keeping the cost
manageable. The insurance is a high deductible plan with a limit of $25 million dollars in total.
The estimated cost for Earthquake Insurance is $222,583, an increase of $24,391 (12%).
CEQA
N/A
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FINANCIAL CONSIDERATIONS
This request complies with authority levels of OC San’s Purchasing Ordinance.This item has been
included in the FY 2024-25 Budget Update.
ATTACHMENT
The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda
package:
N/A
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ADMINISTRATION COMMITTEE
Agenda Report
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
File #:2024-3383 Agenda Date:6/12/2024 Agenda Item No:5.
FROM:Robert Thompson, General Manager
Originator: Wally Ritchie, Director of Finance
SUBJECT:
PROPOSED FISCAL YEAR 2024-25 AND FISCAL YEAR 2025-26 BUDGET
GENERAL MANAGER'S RECOMMENDATION
RECOMMENDATION: Recommend to the Board of Directors to:
Approve the proposed Operating,Capital,Debt Service,and Self-Insurance Budgets for FY 2024-25
and FY 2025-26 as follows:
FY 2024-25 FY 2025-26
Net Operating $232,674,493 $239,114,716
Self-Insurance - Workers’ Comp. 1,124,029 1,182,835
Self-Insurance - Property & Gen. Liability 4,402,500 4,767,000
Net Capital Improvement Program 223,075,113 279,436,128
Debt/COP Service 61,027,421 60,431,104
Intra-District Joint Equity Purchase/Sale (1) 3,500,000 3,500,000
Total $525,803,556 $588,431,783
(1) Cash to/from Revenue Area 14 (RA14) in exchange for capital assets to/from Consolidated
Revenue Area 15 (RA15)
BACKGROUND
The FY 2024-25 and FY 2025-26 Proposed Budget is included for the Committee's consideration.
The Budget has been presented to the Operations Committee at the regular June meeting in order to
allow each Standing Committee an opportunity to review the proposal prior to the June Board
meeting.Although each Committee has had an opportunity to review the proposal,it remains the
responsibility of the Administration Committee to recommend approval.The Administration
Committee is requested to recommend that the Board of Directors approve this budget at the June
26, 2024 Board of Directors meeting.
RELEVANT STANDARDS
·Ensure the public’s money is wisely spent
·Produce appropriate financial reporting -Operating and CIP budgets every two years,with
annual update
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File #:2024-3383 Agenda Date:6/12/2024 Agenda Item No:5.
PROBLEM
The Orange County Sanitation District (OC San)cannot maintain and monitor its financial condition,
operations,and future capital improvements without examination and transparency into its resources,
revenues, reserves, and outlays, and cannot continue to operate without an approved budget.
PROPOSED SOLUTION
Approve the Proposed FY 2024-25 and FY 2025-26 Budget.
TIMING CONCERNS
OC San is currently operating in the final year of its two-year budget which runs through June 30,
2024.The new budget will be effective July 1 of this year upon adoption by the Board of Directors in
June.
RAMIFICATIONS OF NOT TAKING ACTION
OC San will not have an updated budget to be able to carry out its financial fiduciary duties or other
operations beyond June 30, 2024.
PRIOR COMMITTEE/BOARD ACTIONS
June 2023 -Adopted the proposed Operating,Capital,Debt Service,and Self-Insurance Budgets for
FY 2023-24 as follows:
FY 2023-24
Net Operating $215,389,585
Self-Insurance - Workers’ Comp. 850,500
Self-Insurance - Property & Gen. Liability 3,318,000
Net Capital Improvement Program 271,978,000
Debt/COP Service 68,611,384
Intra-District Joint Equity Purchase/Sale(1) 3,500,000
Total $563,647,469
(1)Cash to/from Revenue Area 14 (RA14)in exchange for capital assets to/from Consolidated Revenue Area
15 (RA15)
ADDITIONAL INFORMATION
OC San’s FY 2024-25 and FY 2025-26 Budget represents a consolidation of two one-year proposed
operating and capital budgets.OC San’s FY 2024-25 operating and capital improvement budget is
proposed at $456.7 million,a 6.3 percent decrease from the prior year budget of $487.4 million.This
overall decrease is primarily attributable to a decrease of $48.9 million in net CIP Outlay offset by an
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overall decrease is primarily attributable to a decrease of $48.9 million in net CIP Outlay offset by an
$18.3 million increase in operating costs.
OC San’s FY 2025-26 operating and capital improvement budget is proposed at $518.4 million,a
13.5 percent increase from the FY 2024-25 proposed budget.The increase is mostly comprised of a
$56.2 million,or 25.2 percent net increase in cash outlays for construction projects.The fluctuation
in capital outlay requirements over the next two years is attributable to the timing of the construction
schedule on the implementation of the overall combined ten-year, $3.3 billon CIP.
The FY 2024-25 and FY 2025-26 budget continues to reflect the agency’s ongoing efforts to meet the
operational standards and regulatory requirements.Staffing levels are being proposed at 663.5 full
time equivalent (FTE)positions,an increase of 8.5 FTE positions,or 1.3 percent over the 655.0 FTE
staffing level that was approved for FY 2023-24.
ATTACHMENT
The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda
package:
·Draft FY 2024-25 and FY 2025-26 Budget
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Orange County Sanitation District, California
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MISSION STATEMENT
“To protect public health and the environment by providing e ective wastewater
collection, treatment, and recycling.”
July 1, 2024 through June 30, 2025 and
July 1, 2025 through June 30, 2026
Orange County Sanitation District, California
FY 2024-25 & FY 2025-26 Proposed Budget
For Fiscal Years
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Service Area and Plant Location
Orange County Sanitation District
Service Area and Treatment Plant Locations
in Orange County, CA
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The Government Finance O cers 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, 2022.
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 nancial 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.
GFOA Budget Presentation Award
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Table of Contents
Reader's Guide to the Budget ...............................................................................................................................................................................................................
Board of Directors ...................................................................................................................................................................................................................................
Board Committees ..................................................................................................................................................................................................................................
Orange County Sanitation District Organization Chart .................................................................................................................................................................
Administrative O cials ..........................................................................................................................................................................................................................
General Manager's Budget Message ...............................................................................................................................................................................................
Mission & Vision ......................................................................................................................................................................................................................................
Core Values ...............................................................................................................................................................................................................................................
Section 1 – Executive Summary
Executive Summary ...................................................................................................................................................................................................................
Section 2 – Introduction
Financial Overview & Budgetary Issues ..............................................................................................................................................................................
Business Plan ...........................................................................................................................................................................................................................
OC San Long-Term Planning ...............................................................................................................................................................................................
Background Information and Description of Services ..................................................................................................................................................
Orange County at a Glance .................................................................................................................................................................................................
Section 3 - Policies, Systems and Processes
Fiscal Policy ...............................................................................................................................................................................................................................
GFOA Best Practices and Advisories .................................................................................................................................................................................
Overview of the Budget Process .......................................................................................................................................................................................
Budget Assumptions .............................................................................................................................................................................................................
Accounting System and Budgetary Control ...................................................................................................................................................................
OC San Fund Structure Diagram .......................................................................................................................................................................................
Revenue Sources ...................................................................................................................................................................................................................
Section 4 – OC San Summary
FY 2024-25:
Where the Money Comes From ......................................................................................................................................................................................
Where the Money Goes ....................................................................................................................................................................................................
Funding Sources by Category ........................................................................................................................................................................................
Funding Uses by Category ..............................................................................................................................................................................................
FY 2025-26:
Where the Money Comes From ......................................................................................................................................................................................
Where the Money Goes ....................................................................................................................................................................................................
Funding Sources by Category .......................................................................................................................................................................................
Funding Uses by Category ..............................................................................................................................................................................................
Budget Resources .....................................................................................................................................................................................................................
Budget Resources by Revenue Area– FY 2024-25.....................................................................................................................................................
Budget Resources by Revenue Area – FY 2025-26...................................................................................................................................................
Projected Reserves .................................................................................................................................................................................................................
Consolidated Cash Flow Projections .................................................................................................................................................................................
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Table of Contents
Section 5 - Operations Overview
Operations Budget Overview ..................................................................................................................................................................................................
Operations Summary/Comparisons by Department ........................................................................................................................................................
Expense by Category ...............................................................................................................................................................................................................
Allocation to Individual Revenue Areas ...............................................................................................................................................................................
Net Operating Expense by Line Item ...................................................................................................................................................................................
Notes to Operations Summary ...............................................................................................................................................................................................
Section 6 - Operating Divisions
GENERAL MANAGEMENT
General Management Administration ....................................................................................................................................................................................
FINANCE AND ADMINISTRATIVE SERVICES
Administrative Services Administration .............................................................................................................................................................................
Consolidated Services ...........................................................................................................................................................................................................
Financial Management ...........................................................................................................................................................................................................
Contracts, Purchasing, and Materials Management .......................................................................................................................................................
Information Technology ..........................................................................................................................................................................................................
COMMUNICATIONS
Communications Administration ........................................................................................................................................................................................
Board Services ........................................................................................................................................................................................................................
Public A airs ............................................................................................................................................................................................................................
HUMAN RESOURCES
Human Resources Administration ......................................................................................................................................................................................
Human Resources ..................................................................................................................................................................................................................
Risk Management ...................................................................................................................................................................................................................
ENVIRONMENTAL SERVICES
Environmental Services Administration ............................................................................................................................................................................
Resource Protection ..............................................................................................................................................................................................................
Laboratory, Monitoring & Compliance ..............................................................................................................................................................................
Environmental Compliance ..................................................................................................................................................................................................
ENGINEERING
Engineering Administration .................................................................................................................................................................................................
Planning .....................................................................................................................................................................................................................................
Project Management ..............................................................................................................................................................................................................
Design ........................................................................................................................................................................................................................................
Construction Management ...................................................................................................................................................................................................
OPERATIONS & MAINTENANCE
Operations & Maintenance Administration ......................................................................................................................................................................
Collection Facilities Operations & Maintenance .............................................................................................................................................................
Fleet Services ...........................................................................................................................................................................................................................
Plant No. 1 Operations ............................................................................................................................................................................................................
Plant No. 2 Operations .........................................................................................................................................................................................................
Plant No. 1 Maintenance ......................................................................................................................................................................................................
Plant No. 2 Maintenance ....................................................................................................................................................................................................
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Section 7 - Self-Insurance Program
Self-Insurance Program Overview .........................................................................................................................................................................................
Total Self-Insurance Program ..................................................................................................................................................................................................
General Liability and Property Self-Insurance Program....................................................................................................................................................
Workers' Compensation Self-Insurance Program...............................................................................................................................................................
Section 8 - Capital Improvement Program
Overview .......................................................................................................................................................................................................................................
Diagram of Treatment Process ...............................................................................................................................................................................................
Project Summary - FY 2024-25 ............................................................................................................................................................................................
Capital Improvement Expenditure Graphs by Process and Type - FY 2024-25 .....................................................................................................
Project Summary - FY 2025-26............................................................................................................................................................................................
Capital Improvement Expenditure Graphs by Process and Type - FY 2025-26 ....................................................................................................
Summary of Capital Requirements ........................................................................................................................................................................................
CIP Project Detail Sheets ........................................................................................................................................................................................................
Summary by Project Status - Collection System Projects .............................................................................................................................................
Summary by Project Status - Treatment & Disposal Projects ......................................................................................................................................
Summary by Revenue Program Category - Collection System Projects ..................................................................................................................
Summary by Revenue Program Category - Treatment & Disposal Projects ............................................................................................................
Proposed Equipment Budget Summary - FY 2024-25 ................................................................................................................................................
Proposed Equipment Budget Detail - FY 2024-25 ......................................................................................................................................................
Proposed Equipment Budget Summary - FY 2025-26 ..............................................................................................................................................
Proposed Equipment Budget Detail - FY 2025-26 .....................................................................................................................................................
Section 9 - Debt Service
Debt Financing Program ..........................................................................................................................................................................................................
Debt Service Requirements - Principal & Interest .............................................................................................................................................................
Debt Service Requirements - Interest Payments ..............................................................................................................................................................
Debt Service Requirements - Principal Payments ............................................................................................................................................................
Section 10 - Appendix
Sta ng by Department - Graph ..............................................................................................................................................................................................
Sta ng by Category - Graph ...................................................................................................................................................................................................
Historical Sta ng by Department - Graph ..........................................................................................................................................................................
Total Historical Sta ng - Graph .............................................................................................................................................................................................
Historical Sta ng Summary ....................................................................................................................................................................................................
Historical Sta ng Detail ...........................................................................................................................................................................................................
Appropriations Limit ..................................................................................................................................................................................................................
Budget Glossary .......................................................................................................................................................................................................................
Miscellaneous Statistics ..........................................................................................................................................................................................................
Service Area Population Information ..................................................................................................................................................................................
Index ............................................................................................................................................................................................................................................
Table of Contents
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Organization Chart - An organization chart by position is
provided for each division.
Authorized FTE Positions - The total number of full-time
equivalent positions assigned to each division is included in this
table.
Sta ng Trends - A multi-year sta ng trend chart is provided to
show the changes that have occurred in each division over time.
Service Description - A description of the services or functions
provided by each division.
FY 2023-24 Objectives - Represents the objectives de ned by
the division for the previous scal year.
FY 2023-24 Performance Results - A summary of major
accomplishments and objectives that were actually met during
the previous scal year.
FY 2024-25 and FY 2025-26 Performance Objectives - A list
of projected goals to be accomplished during FY 2024-25 and
FY 2025-26.
Performance Measures - A listing of the measures that will be
used to evaluate the success of the budgeted scal years.
Budget Overview - Provides an overview of changes from the
FY 2022-23 Budget to the FY 2024-25 and FY 2025-26 Budget.
Additionally, the signi cant impacts of budgetary changes are
outlined along with dollar amounts.
Reader’s Guide to the Budget
Reader’s Guide to the Budget
This guide is intended to help the reader understand what
information is available in the budget and how it is organized.
This budget document is broken down into ten sections
including a Budget Glossary and Index. The Administrative
Services Department invites your suggestions on ways to make
the budget document more understandable.
The General Manager’s Budget Message and a summary of OC
San’s Core Values follow this guide. The General Manager’s
budget message introduces the budget to the reader.
Following is an explanation of the major sections of this budget:
Section 1 – Executive Summary
The Executive Summary highlights critical issues and nancial
information regarding OC San’s FY 2024-25 and FY 2025-26
Budget.
Section 2 – Introduction
Section 3 – Policies and Practices
Section 4 – OC San Summary
This summary section is a comprehensive overview of the FY 2024-
25 and FY 2025-26 Budget with a focus on all consolidated OC
San funds. Included are tables and graphs for both revenues and
expenses.
Section 5 – Operations Overview
This section is a comprehensive overview of OC San’s operating
costs and related revenues for FY 2024-25 and FY 2025-26. OC
San’s operations include collection, treatment, and disposal
activities. Tables are included for revenues and expenses to assist
the reader in interpreting the data.
Section 6 – Operating Divisions
This section includes operating programs for OC San’s basic
organizational units which provide collection and essential
wastewater treatment services to the community. Divisional
budgets are presented in the following format:
i
Fiscal Policies describe OC San’s nancial goals along with
policies addressing the operating budget; revenues and
expenses; service fees;capital improvement program; long-
and short-term debt; reserves; investments; and accounting,
auditing and nancial reporting.
GFOA Recommended Practices lists all of the Accounting,
Auditing, and Financial Reporting; Cash Management;
Governmental Budgeting and Fiscal Policy; Debt
Management; and Retirement and Bene ts Administration
practices that are recommended by the Government
Finance O cers Association of the United States and
Canada. Included within this list of best nancial practices for
states and local governments is OC San’s status as to
whether we are in compliance,in progress towards
compliance,or whether the practice is applicable to this
agency.
Budget Process provides an overview of the budget
development process and budget calendar.
Budget Assumptions are decided on as a foundation for
developing the budget, and they guide OC San in
determining the level of wastewater treatment services that
will be provided to the community.
Accounting Systems and Budgetary Control provides an
overview of OC San’s accounting systems and the level at
which budgetary control is maintained.
Financial Overview and Budget Issues highlight the issues
impacting the FY 2024-25 and FY 2025-26 Budget.
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Expenses by Category - A chart comparing the FY 2022-23
actual expenses and the FY 2023-24 budgeted and
projected expenses against the proposed budget for FY
2024-25 and FY 2025-26. The percent change from the FY
2023-24 Budget compared to the FY 2024-25 Budget is
also included.
Expenditure Trends - This graph provides a multi-year
historical trend of divisional expenses.
Sta ng - Includes charts of sta ng by department and
category, charts of the historical sta ng by department, a
historical summary and detail schedules of authorized
positions and full-time equivalent employees by department
and by division.
Appropriations Limit - The calculation of OC San’s California
Constitutional appropriation limit.
Budget Glossary
Miscellaneous Statistics
Service Area Population Information
Index
Reader’s Guide to the Budget
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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 OC San’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 OC San’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.
Section 10 – Appendix
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OC San Board of Directors
Anaheim
Brea
Buena Park
Cypress
Fountain Valley
Fullerton
Garden Grove
Huntington Beach
Irvine
La Habra
La Palma
Los Alamitos
Newport Beach
Orange
Placentia
Santa Ana
Seal Beach
Stanton
Tustin
Villa Park
Stephen Faessel
Christine Marick
Joyce Ahn
Scott Minikus
Glenn Grandis
Bruce Whitaker
Stephanie Klopfenstein
Pat Burns
Farrah N. Khan
Rose Espinoza
Debbie Baker
Jordan Nefulda
Brad Avery
Jon Dumitru
Chad Wanke
Johnathan Ryan Hernandez
Schelly Sustarsic
David Shawver
Ryan Gallagher
Robbie Pitts
Active DirectorCities
Robert Ooten
Andrew Nguyen
John Withers
Phil Hawkins
Sanitary/Water Districts
Costa Mesa Sanitary District (CMSD)
Midway City Sanitary District (MCSD)
Irvine Ranch Water District (IRWD)
Yorba Linda Water District (YLWD)
County
Member of the Board of Supervisors
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Orange County Sanitation District Board of Directors
Doug Cha eeDR
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Christine Marick, Chair
Glenn Grandis, Vice-Chair
Brad Avery
Pat Burns
Rose Espinoza
Farrah Khan
Jordan Nefulda
Andrew Nguyen
Robbie Pitts
David Shawver
John Withers
Chad Wanke, Board Chair
Ryan Gallagher, Board Vice-Chair
Chad Wanke, Board Chair
Ryan Gallagher, Board Vice-Chair
Jon Dumitru, Chair, Operations Committee
Christine Marick, Chair, Administration Committee
Pat Burns
Glenn Grandis
John Withers
Jon Dumitru, Chair
Bob Ooten, Vice-Chair
Joyce Ahn
Debbie Baker
Doug Cha ee
Stephen Faessel
Phil Hawkins
Johnathan Ryan Hernandez
Stephanie Klopfenstein
Scott Minikus
Schelly Sustarsic
Bruce Whitaker
Chad Wanke, Board Chair
Ryan Gallagher, Board Vice-Chair
OPERATIONS COMMITTEE
STEERING COMMITTEE
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Board Committees
ADMINISTRATION COMMITEE
Board Committees
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Organization Chart
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Administrative O cials
Administrative O cials
General Manager
Assistant General Manager
Director of Engineering
Director of Environmental Services
Director of Finance
Director of Human Resources
Director of Operations & Maintenance
Rob Thompson
Lorenzo Tyner
Mike Dorman
Lan Wiborg
Wally Ritchie
Laura Maravilla
Riaz Moinuddin
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Honorable Chair and Board of Directors:
I am pleased to submit the Orange County Sanitation District’s (OC San) Proposed Budget for scal years 2024-
25 and 2025-26. This document lays out the framework for OC San’s activities over the next two years and
serves as a source of information for OC San’s Board of Directors, our ratepayers, and our employees. This
budget includes the operational, capital, and debt service expenditures necessary to deliver the Level of Service
and Strategic Initiatives de ned in the 2023 Strategic Plan which cost-e ectively supports our mission “To
protect the public health and the environment by providing e ective wastewater collection, treatment, and
recycling”.
OC San’s proposed scal year 2024-25 total Operating and Capital Improvement Program (CIP) budget is
$455.7 million, which is a decrease of $31.7 million (6.5 percent) compared to the scal year 2023-24 budget.
Proposed CIP expenditures are decreasing by $48.9 million, while the Operating Budget includes an increase of
$17.3 million.
The Operating Budget increase is primarily driven by additional chemical, utility, and infrastructure
maintenance/repair costs. While the e ects of the COVID-19 pandemic, including in ation and supply chain
issues, still linger, this proposed budget re ects a nancially sound and stable organization that has weathered
the storm and continues to move forward.
During the budget preparation process, I met with each of the departments to ensure their budget proposals
were prudent and cost-e ective. This process helped to develop a comprehensive budget for OC San that
meets the needs of the organization and is scally responsible.
I would like to highlight some of our areas of focus for the next two years:
June 1, 2024
Operational Readiness – OC San continues to look ahead, preparing for our future infrastructure needs
and for emergency events such as line breaks, earthquakes, extreme weather events associated with
climate change, and potential cybersecurity breaches. We are continually updating our Business
Continuity Plans and conducting tabletop exercises for emergency scenarios to allow us to respond
quickly and e ectively without compromising our mission or levels of service.
Expanded Recycling E orts – Food Waste Treatment Facility – OC San is committed to working with
Orange County Waste and Recycling to assist the cities in our service area to satisfy the requirements of
California State Assembly Bill 1826 and Senate Bill 1383 which requires that organic wastes be diverted
away from land lls. This regulatory shift has created an opportunity to create a public-public partnership
between OC San and Orange County Waste and Recycling to provide a cost e ective and
environmentally friendly service to help manage organics using OC San’s existing anaerobic digesters,
which in turn will produce renewable energy to power our treatment plants.
Capital Improvement Program (CIP) – OC San’s CIP has evolved over time. It began by focusing on
creating the initial infrastructure of the collections and treatment system, shifted to expanding capacity,
improved the level of treatment, and now our focus is on aging infrastructure, incorporating climate
resiliency, seismic risk, maximizing resource recovery, and adopting improved technology in every
project we execute. OC San has continued moving our CIP forward, with 73 active projects. There are 44
projects in construction that have a budget of $865 million, helping keep the economic engine running
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Infrastructure Reliability and Asset Management – OC San’s infrastructure must operate continuously day and night,
requiring that we proactively manage the condition of more than $14 billion in assets to ensure reliable operation. Over
the past decade, we made a concerted e ort to establish an updated and more robust understanding of the condition
and performance of all critical and major assets and our ability to meet established levels of service. Our annually
updated Asset Management Plan includes tactical approaches for addressing asset condition and performance issues.
The plan lays out how we will operate and maintain those assets to deliver the required level of service at the lowest
lifecycle cost with an acceptable level of risk. OC San will be investing an additional $36.3 million in repairs and
maintenance this next year.
Safety and Security – OC San will work to complete its plan to achieve a Voluntary Protection Program (VPP) Certi cation
at both plants. Plant No. 1 has achieved VPP Star Certi cation and the work is underway for certi cation at Plant No. 2.
The VPP certi cation recognizes employers and workers who have implemented e ective safety and health management
systems and maintain injury and illness rates below national Bureau of Labor Statistics averages for their respective
industries.
Sta ng – This budget update includes seven new key positions to enhance programs to that improve our regulatory
compliance, resilience, reliability, and resource recovery. This budget displays our commitment to increased service and
e ciency.
Research and Innovation – This budget update continues the support for operational research of innovative
improvements in wastewater collection and treatment. Technology demonstrations like Supercritical Water Oxidation
which show promise in cost e ectively destroying microplastics, pharmaceuticals, and forever chemicals are examples of
OC San commitment to making prudent investments in new technology to solve problems facing our industry.
Resilient Sta ng – OC San continues to deal with the “silver tsunami” that is common in the wastewater sector. This
budget update supports the creation of depth in the craft labor, technical, supervision, management, and executive
management teams. Sta have identi ed areas of risk where the loss of specialized technicians, technologist, regulatory
specialist, or management team members will jeopardize service levels in the short to medium term. Positions are
dynamically shifted to create and ll vacancies to build organizational depth prior to retirements or other separations to
keep the agency moving forward.
OC San will continue to provide wastewater collection, treatment, recycling, infrastructure maintenance, ocean monitoring, and many
other services while keeping rates among the lowest in California. This pay as you go budget fully supports the goals and levels of
service included in OC San’s Strategic Plan and positions us well to proactively manage the unknown challenges that will face this
agency in the coming years.
Rob Thompson
General Manager
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Mission and Vision
MISSION STATEMENT
The Mission Statement is the basic foundation that de nes why the Orange County Sanitation District exists.
“To protect public health and the environment by providing e ective 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 a ordable services in line with customer needs and expectations.
Protecting public health and the environment utilizing all practical and e ective means for wastewater, energy, and
solids resource recovery.
Continually seeking e ciencies 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 bene t our customers, this region, and our industry.
Creating the best possible workforce in terms of safety, productivity, customer service, and training.”
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Core Values
CORE VALUES
The Core Values support our Mission and Vision Statements by expressing the values, beliefs, and philosophy that
guide our daily actions. They help form the framework of our organization and reinforce our professional work
ethic.
INTEGRITY, INCLUSION, HONESTY, and RESPECT
We aspire to the highest degree of integrity, inclusion, honesty, and respect in our interactions with each other, our
suppliers, our customers, and our community. We strive to demonstrate these values in our actions, commitments,
and service.
LEADERSHIP, TEAMWORK, and PROBLEM SOLVING
We lead by example, acknowledging the value of our resources and using them wisely to achieve our mission. We
strive to reach OC San goals through cooperative e orts and collaboration with each other and our
constituencies. We work to solve problems in a creative, cost-e ective and safe manner, and we acknowledge
team and individual e orts.
CUSTOMER SERVICE, TRANSPARENCY, and ACCOUNTABILITY
We are committed to acting in a timely, accurate, accessible, and transparent manner through excellent customer
service. We are committed to act in the best interest of our internal and external stakeholders.
RESILIENCY, INNOVATION, and LEARNING
We continuously develop ourselves, enhancing our talents, skills, and abilities. We recognize that only through
personal growth and development will we progress as an agency and as individuals.
SAFETY
We are committed to providing a safe work environment. We will demonstrate leadership, promote individual
accountability, and participate actively in the advancement of our health and safety practices.DR
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Section 1 - Page 1
This FY 2024-25 and FY 2025-26 budget represents a
consolidation of two one-year proposed operating and capital
budgets. OC San’s FY 2024-25 operating and capital
improvement budget is proposed at $455.8 million, a 6.6
percent decrease from the prior year budget of $487.4 million.
This overall decrease is primarily attributable to a decrease of
$48.9 million in net Capital Improvement Program (CIP) Outlay,
o set by a $17.3 million increase in operating costs.
OC San’s FY 2025-26 operating and capital improvement
budget is proposed at $517.5 million, a $62 million increase from
the FY 2024-25 proposed budget. The increase is mostly
comprised of a $56.2 million, or 25.2 percent net increase in
cash outlays for construction projects. The uctuation in capital
outlay requirements over the next two years is attributable to the
timing of the construction schedule on the implementation of the
overall combined ten-year, $3.2 billion CIP.
The table below summarizes OC San’s funding requirements:
This FY 2024-25 and FY 2025-26 budget continues to re ect
the agency’s ongoing e orts to meet the operational standards
and regulatory requirements. Sta ng levels are being proposed
at 663.50 full time equivalent (FTE) positions, an increase of
8.50 FTE position, or 1.3 percent over the 655 FTE sta ng level
that was approved for FY 2023-24.
Additionally, service level increases in ocean monitoring,
discharge and treatment, water reclamation and conservation,
urban runo diversions, biosolids management, CIP expansion,
and aging infrastructure costs have resulted in a corresponding
increase in cash ow requirements. Considering the CIP alone,
the $223 million and $279 million proposed CIP outlay for FY
2024-25 and FY 2025-26 is part of the 10-year $3.2 billion
outlay for active and future projects identi ed within the recently
completed Annual CIP Validation Process.
OC San has a variety of revenue sources available to fund its
operating and capital outlay requirements. As shown in the table
below, OC San’s major funding resources come from sewer service
fees and property taxes:
Budget Overview
The agency’s two treatment plants, located in Fountain Valley and
Huntington Beach, process a combined 185 million gallons of
wastewater each day generated by approximately 2.6 million
people in central and northwest Orange County.
The FY 2024-25 proposed budget to operate, maintain and
manage our sewage collection, treatment and disposal system is
$232.7 million, an increase of 8 percent, or $17.3 million, from the
prior year budget.
Contractual services are proposed to increase $1.7 million, or 7.7
percent, due to need for outside consultants in support of repairs
and maintenance.
Overhead cost allocation out to the CIP has been changed by (0.3)
million, or (1.3) percent based on an updated cost allocation plan.
$ . $ . $ . $ .
. . . .
. . . .
- . . .
. . . .
, . . . .
$ , . $ , . $ , . $ , .
Capital Improvement Program
Operating Expense/Self Insur
Debt Service
Intradistrict Transfers
Total Outlays
Ending Reserves
Total Funding Uses
Executive Summary
Funding Requirements by Category
(In Millions)
Category
2022-23
Actual
2023-24
Budget
2024-25
Proposed
2025-26
Proposed Funding Sources by Category
(In Millions)
$ . $ , . $ . $ .
. . . .
. . . .
. . . .
. . . .
. . . .
. . . .
----
. . . .
$ , . $ , . $ , . $ , .
Beginning Reserves
Service Fees
Property Taxes
Permit User Fees
Capital Capacity Charges
Interest
Intradistrict Transfers
Debt Proceeds
Other Revenue
Total Funding Sources
Category
2022-23
Actual
2023-24
Budget
2024-25
Proposed
2025-26
Proposed
$ 2,255$ 2,255$ 2,255
$ 3,079$ 3,079$ 3,079 $ 3,035$ 3,035$ 3,035
$ 3,446$ 3,446$ 3,446 $ 3,526$ 3,526$ 3,526
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Cost to Collect, Treat, & Recycle One Million
Gallons (Amount $ in Thousands)
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Section 1 - Page 2
Excutive Summary
Combined utilities costs for natural gas, electricity, and water are
proposed to increase $3.9 million, or 31.6 percent, due to
increased delivery costs.
Repairs and maintenance costs are proposed to increase $0.8
million or 2.3 percent. This increase is mostly attributable to
increases in basic repairs and maintenance costs.
Operating materials and supplies, which consists primarily of
chemicals used in operations, are proposed to increase $1.7
million, or 2.3 percent due to higher unit costs and hauling
expenses.
Personnel costs are budgeted to increase $7.5 million, or 6.4
percent, primarily due to additional sta and an increase in
budgeted salaries and wages in accordance with previously
approved labor agreements.
The FY 2025-26 proposed operating budget is $238.1 million, an
increase of $5.6 million, or 2.4 percent over the FY 2024-25
proposed budget.
Personnel costs are proposed to increase $6.0 million, or 4.9
percent increase due primarily to increases in salaries per
anticipated labor agreements, group insurances and retirement
costs.
Sta ng is being proposed to to increase to remain constant at
663.50 FTE proposed for FY 2024-25.
Repairs and maintenance costs are being proposed to change
$(0.6) million or (1.7) percent.
Overhead cost allocation out to the CIP has been increased by
$(0.3) million, or (1.3) percent based on an updated agency-wide
full cost allocation plan.
The cost per million gallons of wastewater treated, an industry
wide performance measurement is expected to increase in FY
2024-25 to $3,446, a $184, or 5.6 percent increase over the prior
year projected cost of $3,262, and increase in FY 2025-26 to
$3,526, a $80, or 2.3 percent increase from the FY 2024-25
proposed budget. The 5.4 percent increase in FY 2024-25 is
primarily due to the budget increase and the projected wastewater
ows through the treatment system from remaining consistent at
185 MGD. Wastewater ows have an inverse relationship to the
cost per million gallons; the lower the ows, the higher the cost.
Wastewater ows are expected to remain at at 185 MGD in FY
2025-26.
OC San’s CIP net cash ow budget for FY 2024-25 is $223.0
million, an change of $(49.0) million from the prior year budget.
The CIP cash ow budget for FY 2025-26 is $279.2 million, an
increase of $56.3 million from the FY 2024-25 proposed CIP cash
ow. This CIP two-year cash ow budget nances collection
system, joint treatment works and disposal system improvement
projects. These CIP cash ows are attributable to the additional
infrastructure needs identi ed in the 2017 Facilities Master Plan
and updates that are part of the 2024 validation of the CIP.
FY 2024-25
Capital FacilitiesCapital Facilities: 43%: 43%Capital Facilities: 43%
OperationsOperations: 45%: 45%Operations: 45%
Debt serviceDebt service: 12%: 12%Debt service: 12%
Uses of Funds
Property TaxesProperty Taxes: 22%: 22%Property Taxes: 22%
Interest & MiscInterest & Misc: 4%: 4%Interest & Misc: 4%
FeesFees: 73%: 73%Fees: 73%
Source of Funds
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Section 1 - Page 3
Executive Summary
How Resources Are Used
OC San resources are used to fund the cost of providing wastewater collection, treatment and recycling service, including employees’
salaries and bene ts, debt service, capital improvements and the cost of self insurance.
Summary of Operating & Maintenance
Expenses
Collections, Treatment & Recycling Operations
$ , , $ , , $ , , $ , ,
, , , , , , , ,
, , , ,
, , , , , , ,
, , , , , , , ,
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$ , , $ , , $ , , $ , ,
Salaries, Wages & Bene ts
Administrative Expenses
Printing & Publication
Training & Meetings
Operating Materials & Supplies
Contractual Services
Professional Services
Research & Monitoring
Repairs & Maintenance
Utilities
Other Materials, Supplies, and Svc
Cost Allocation
Net Operating Requirements
Facilities Planning
In December 2017, the 2017 Facilities Master Plan was adopted
by the Board of Directors to de ne OC San’s goals,
responsibilities, and requirements over the next twenty years. It
includes projections through the assumed “build-out” of OC
San’s service area to beyond the year 2040. The Projects
identi ed via the Master Plan are continually updated via OC
San’s Asset Management Program (AMP). The AMP also
identi es new Projects and annually conducts a validation
review of every future Project.
The proposed net CIP outlays for FY 2024-25 and FY 2025-26
are $223.0 million and $279.2 million, respectively, and are part
of an overall 20-year CIP outlay of $6.5 billion for all planned
active and future projects, as well as outlays that are primarily
allotted for future rehabilitation and replacement of the OC
San’s aging assets and systems.
Wastewater Recycling
In partnership with the Orange County Water District (OCWD),
our agency recycles enough water to supply the needs of
850,000 people. Recognizing the need for a reliable,
a ordable, and high-quality water supply, OC San’s Board of
Directors set a goal of recycling 100 percent of all reclaimable
wastewater ows.
OC San worked with OCWD on the construction and completion of
the nal expansion of the Groundwater Replenishment System. The
nal expansion came online in 2023 and will supply enough water
for 1 million people.
Sewer Service Fee Increases
In March of 2023, the Board approved rate increases for each year
over the next ve years. These increases are necessary for
compliance with OC San’s debt scal policy of balancing the
funding of new capital improvements with current revenues and
existing debt, and to minimize the increase in rates over an
extended period of time.
The impact of this ve-year sewer fee schedule has increased the
single family residence user fee rate, on average, 3.5 percent a year
from $358 in FY 2023-24 to $411 in FY 2027-28. These rate
increases by OC San are still well below the average annual sewer
rate of $523 being charged throughout the State according to the
2018 California Wastewater Charge Survey by the State Water
Resources Control Board.
2022-23
Actual
2023-24
Budget
2024-25
Proposed
2025-26
Proposed
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Section 1 - Page 4
Executive Summary
Sta ng
Authorized sta ng levels are being proposed at 663.50 and
663.50 FTE positions over the next two scal years, 8.50 and 0
FTE positions, respectively, higher than the approved sta ng
level for FY 2023-24. However, sta ng is still 14.5 FTE positions
below the agency’s all time high of 678 positions approved in
FY 1995-96.
OC San budgets sta ng levels by FTE positions to provide a
realistic estimate of actual sta ng levels since not all
employees are full-time employees. The part-time positions are
funded at 1,040 hours. Parttime employees receive a prorated
share of personnel bene ts. The reductions from FY 1995-96
are a result of this agency’s e ort in striving to provide
wastewater treatment as e ciently and e ectively as possible
while reducing operational and maintenance costs to more
closely match those agencies that are “best in class” for
wastewater treatment facilities.
Strategic Planning
In November 2019, the Board of Directors adopted a new
comprehensive strategic plan to steer OC San’s e orts. The
Strategic Plan developed by the Board of Directors and sta is
updated every two years prior to the start of the budget
process. The plan de nes the strategic initiatives to be pursued
by OC San and provides a basis for long-term nancial, capital,
and operational planning. In addition, it provides for longterm
continuity of vision as Board and sta members change over the
many years it takes to deliver public works infrastructure.
Driven by our Mission, Vision and Core Values, this Strategic
Plan continues OC San’s aggressive e orts to protect the public
health of the more than 2.6 million people we serve while
protecting the environment where we live.
The Strategic Plan is broken down into four broad categories
with fteen policy areas that de ne our responsibilities and the
services we provide. These areas are:
Business Principles
Budget Control and Fiscal Discipline
Asset Management
Cybersecurity
Property Management
Organizational Advocacy and Outreach
Energy Independence
Climate and Catastrophic Event Resiliency
Food Waste Treatment
Water Reuse
Environmental Water Quality, Stormwater
Management and Urban Runo
Resilient Sta ng
Safety and Physical Security
The Strategic Plan is not a radical departure from the current
direction, but rather the well de ned iterative update to the
direction of OC San. With the adoption of the Strategic Plan, sta
will be updating the Asset Management Plan, Capital Improvement
Plan, and Financial Plan that are the basis of a two-year budget that
will be adopted by the Board of Directors. The Budget goals and
the General Manager’s work plan are the accountability steps that
measure achievable progress toward the strategic initiatives listed
in the Strategic Plan.
Environmental Stewardship
Wastewater Management
Chemical Sustainability
Biosolids Management
Constituents of Emerging Concern
Workplace Environment
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Financial Overview & Budgetary Issues
Financial Overview and Budgetary Issues
This section of the budget is a nancial overview and an outline
of issues a ecting the development of the budget, as listed
below:
Proposed Operating Budget
The Operating program accounts for the costs to operate, maintain,
and manage OC San’s two treatment plants, with a secondary
treatment design capacity of 332 million gallons a day, and over 380
miles of collection systems. All the personnel costs for OC San are
initially recorded as an Operating cost. Costs chargeable to the
Capital Improvement Program (CIP) are allocated for the work done
through a job cost system. These charges are shown as reductions
in the line item Operating program budget. Costs remaining in the
Operating program are ultimately allocated to the two individual
revenue areas that make up OC San, the Consolidated Revenue
Area, and Revenue Area 14, based on ows. Operational cost,
comprised of collections, treatment plant, recycling operations and
maintenance, and administration are projected to come in under
budget for FY 2023-24 Budget by $3.1 million, or 1.4 percent. The
FY 2024-25 Budget is being proposed with an increase of $17.3
million or 8.0 percent from the prior year budget, and the FY 2025-
26 Budget is being proposed with an increase of $5.4 million, or 2.3
percent over the FY 2024-25 Proposed Budget.
Analysis on the year-to-year change is provided from three
perspectives. First, the FY 2023-24 Budget is compared to the
2023-24 year-end projections. Secondly, the FY FY23-24 year-end
projections are compared to the FY 2024-25 Proposed Budget, and
lastly, the FY 2024-25 Proposed Budget is compared to the FY
2025-26 Proposed Budget.
FY 2023-24 Operations – Budget vs. Projected
As depicted by the chart above, operating expenses are projected
to come in under the FY 2023-24 Budget by $3.1 million, or 1.4
percent. The major category that comprised most of the underage
is salaries and wages.
215215215 212212212 233233233 238238238
2023-24 Budget 2023-24 Projected
2024-25 Proposed 2025-26 Proposed
Series 1
0
100
200
300
Operating Budget Comparison
(Amount $ in Millions)
Proposed Consolidated Cash Flow Budget
The total proposed cash ow budget for FY 2024-25 is $525.4
million, a 6.8 percent change under the prior year total cash
ow budget of $563.6 million. The total proposed cash ow
budget for FY 2025-26 is $586.7 million, a 11.7 percent increase
from the total proposed cash ow budget for FY 2024-25. The
change in FY 2024-25 in comparison to the prior year is
primarily due to an decrease of capital costs. There was a
$48.9 million decrease in the Capital Improvement Program
over the prior year due to the timing of projects and in ationary
pressures.
The following table shows the comparisons of the FY 2023-24
Budget, and the FY 2024-25 and FY 2025-26 Proposed
Budgets by major budget category:
215215215
233233233 238238238
272272272
223223223
279279279
696969 616161 606060
Operations Capital Improvement
Debt Service
2023-24 Budget 2024-25 Proposed 2025-26 Proposed
0
100
200
300
Budget Comparison
(Amount $ in Millions)
Proposed Consolidated Cash Flow Budget
Proposed Operating Budget
Proposed Net Capital Improvement Outlay
Debt Service Requirements
Sewer Service Fees & Property Tax Revenues
Budget Highlights
Individual Collection System
Reserves
Sta ng Levels
Business Plan
OC San Long-Term Planning Process
OC San Fiscal Policies
GFOA Best Practices and Advisories
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Financial Overview & Budgetary Issues
Salaries and wages costs are expected to come in under budget
by $5.1 million, or 4.3 percent primarily due to un lled positions
and positions being lled at entry level.
Administrative expenses are expected to come in under budget
by $0.7 million, or 31 percent primarily due to reduced need for
small computer items.
Professional services are expected to come in under budget by
$2.3 million, or 31 percent primarily due to reduced usage of
outside consultants.
Utility costs are expected to exceed budget by $3.8 million, or
31.3 percent due to signi cant increase in delivery costs.
FY 2023-24 Projected Operating Expense vs. FY 2024-25
Proposed Operating Budget
The FY 2024-25 Operating Budget is a $20.3 million, or 9.6
percent increase over the FY 2023-24 projected operating
requirements. Increases in the proposed operating
requirements are primarily attributable to increases in salaries,
wages and bene ts, operating materials and supplies, and
professional services.
Personnel costs are being proposed at $12.6 million, or 11.3
percent increase over the prior year projection mainly due to
anticipated salary and bene t adjustments for all employee
bargaining units and increased insurance premiums and
retirement contributions. There is a proposed increase of eight
full time equivalent (FTE) sta position bringing the proposed
total FTE count in FY 2024-25 to 663.50 FTEs.
Costs for training and meetings are proposed to increase $1.0
million or 108 percent over the prior year projection. Increased
costs for training are attributable to more in person training
opportunites as the restrictions from COVID-19 are reduced, in
addition to a districtwide e ort to invest further into the growth
of employees.
Professional services costs are proposed to increase $2.7
million or 51 percent over the prior year projection. The increase
is attributable to increased outside environmental scienti c
consultants, and software programming consultants.
FY 2024-25 Proposed Operations Budget vs. FY 2025-26
Proposed Operations Budget
In FY 2025-26, the second year of this two-year operating budget,
sta is proposing a 2.3 percent, or $5.4 million increase over the FY
2024-25 proposed operating requirements. Increases in the
proposed operating requirements are primarily attributable to
increases in personnel costs, operating materials and supplies, and
repairs and maintenance.
Personnel costs are being proposed at a 4.9 percent, or $6.0 million
increase in FY 2025-26 over the FY 2024-25 Proposed Budget.
This increase is mostly attributable to anticipated salary and bene t
adjustments for all employee bargaining units and an increase of
group medical insurance premiums.
Operating materials and supplies are being proposed to increase
$0.6 million or 1.9 percent, primarily due to chemical costs.
4.004.004.00
109.00109.00109.00
16.0016.0016.00
28.0028.0028.00
97.5097.5097.50
124.00124.00124.00
285.00285.00285.00
4.004.004.00
109.00109.00109.00
16.0016.0016.00
28.0028.0028.00
97.5097.5097.50
124.00124.00124.00
285.00285.00285.00
FY 24-25 FY 25-26
General Manager
Administrative Services
Communications
Human Resources
Environmental Services
Engineering
Operations & Maintenance
0 100 200 300
Full Time Equivalent (FTE) Sta
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Section 2 - Page 3
Financial Overview & Budgetary Issues
Proposed Net Capital Improvement Outlay
Proposed capital improvement outlays approximate two- fths of
the overall proposed budget and provide for the improvements,
rehabilitation, replacement, expansion and upgrades of facilities
at the two treatment plants, including the utility systems,
administrative facilities, and the ocean disposal system, and the
rehabilitation, replacement and expansion of the over 380 miles
of the collection system and o -site pump stations.
The net CIP outlay has been prepared under assumptions
included in the Facilities Master Plan adopted by the Board of
Directors in December 2017 and in accordance with the Board
approved 2023 Strategic Plan.
The Strategic Plan is a two-year, four-step management process
that creates and maintains vision alignment between the Board
of Directors, the sta , and the public. The Facilities Master Plan
de nes OC San’s goals, responsibilities, and requirements over
the next twenty years.
The Facilities Master Plan provides a comprehensive analysis of
the condition and capacity of OC San’s wastewater
infrastructure. It also evaluated the potential impacts due to
anticipated regulatory changes, and incorporated
recommendations from other recent master planning e orts,
such as the E uent Reuse Study, Biosolids Master Plan, the
Climate Resiliency Study, the Seismic Evaluations Study, and the
Collections System (sewers and pump stations outside the
Plants) Capacity Evaluation, to create the CIP which supports
OC San’s mission over the next 20 years.
The Asset Management Program (AMP) continuously validates
and updates the Facilities Master Plan Projects that are within
CIP. This is performed by working with Operations and
Maintenance and performing facility condition assessments and
Planning Studies that allows future Projects to be created and
updated. Future Projects that are updated through the year are
also validated annually to ensure accurate schedule, scope, and
budget.
The proposed net CIP outlays for FY 2024-25 and FY 2025-
26 are $223.1 million and $279.2 million, respectively, and are
part of an overall 20-year CIP outlay of $6.5 billion for all
planned active and future projects, as well as outlays that are
primarily allotted for future rehabilitation and replacement of OC
San’s aging assets and systems.
There are four key drivers that lead to CIP projects: (1)
Rehabilitation and Replacement; (2) Additional Capacity; (3)
Regulatory; and (4) Strategic Initiatives.
As demonstrated by the following chart, the most prevalent CIP
project driver is to rehabilitate and replace aging assets. OC
San is now facing a time when dry weather in uent ows have
stabilized and discharged regulations are less dynamic. Most of
the capital improvement costs will be focused on asset
management, rehabilitation, and replacement of aging
infrastructure.
Strategic InitiativesStrategic Initiatives: 11%: 11%Strategic Initiatives: 11%
Additional CapacityAdditional Capacity: 6%: 6%Additional Capacity: 6%
RegulatoryRegulatory: 3%: 3%Regulatory: 3%
Rehab and ReplaceRehab and Replace: 80%: 80%Rehab and Replace: 80%
Projected FY24-25 Net CIP Outlay by Project Driver
The three largest reclamation facility projects for FY 2024-25
include Headworks Rehabilitation at Plant No. 1 (Project No. P1-105),
Primary Treatment Rehabilitation at Plant No. 2 (Project No. P2-98),
and Ocean Outfall System Rehabilitation (Project No. J-117) with
projected expenditures of $36 million, $17 million, and $9 million,
respectively.
CIP Program - Net Outlay
(Amount $ in Millions)
238238238
343434
183183183
373737
167167167
565656
194194194
858585
2023-24 Budget 2023-24 Projected
2024-25 Proposed 2025-26 Proposed
Treatment & Disp. System Collection System
0
200
400
The validated CIP includes 70 active and future capital projects, ve
programs, such as the Planning Studies Program (M-Studies) and
Small Construction Program (M-FE), and budget for capital
equipment purchases with a total CIP budget authority of $4.7
billion.
The projected outlay for FY 2023-24 for Treatment and Disposal
Improvement projects is expected to reach 77 percent of the annual
net CIP outlay of $238 million. The FY 2024-25 and FY 2025-26
proposed net CIP outlays for Treatment and Disposal Improvement
projects are $167 million and $194 million, respectively.
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Section 2 - Page 4
Financial Overview & Budgetary Issues
Collection system projects are related to the conveyance of
sewage to Reclamation Plant No. 1 or Reclamation Plant No. 2.
These projects include a combination of gravity sewers, force
mains, and pump stations. The projected net CIP outlay for
collection system projects for FY 2023-24 is expected to exceed
the annual net CIP outlay of $34 million by 9 percent. The FY
2024-25 and FY 2025-26 proposed net CIP outlays for
collection system projects are $56 million and $85 million,
respectively.
The three large projects in the collection system include Gisler-
Red Hill Interceptor and Baker Force Main Rehabilitation (Project
No. 7-65), Seal Beach Pump Station Replacement (Project No. 3-
67), and Taft Branch Improvements (Project No. 2-49) with
projected expenditures of $24 million, $12 million, and $6
million, respectively.
All of the projects referenced above are in construction; in total,
construction accounts for 76 percent of the FY 2024-25 net CIP
outlay. Additional information on these projects and the Capital
Improvement Program as a whole is provided within Section 8 of
this document.
Debt Service Requirements
OC San’s long-term debt scal policy restricts long- term
borrowing to capital improvements that cannot be nanced from
current revenue. Before any new debt is issued, the impact of
debt service payments on total annual xed costs will be
analyzed.
OC San issued the $80.0 million Wastewater Revenue
Obligation, Series 2010A in May 2010 and the $157.0 million
Wastewater Revenue Obligation, Series 2010C in December
2010, both as “Build America Bonds” (BABs) xed rate debt and
the last of the “new” money debt issuances. The American
Recovery and Reinvestment Act of 2009 created this new
nancing product, BABs, for the municipal issuer. BABs are
issued as higher interest taxable bonds; however, the U.S.
Treasury provides a 35.0 percent subsidy on interest payments.
The net cost, after accounting for the 35.0 percent subsidy
payment, frequently results in lower net costs to the issuer,
speci cally in the maturity years beyond ten years. Based on the
market conditions at the time of these issuances in comparing
the back-loaded BABs new money borrowing to a back-loaded
tax-exempt structure, Series 2010A resulted in present value
savings to OC San of $15.2 million, as the debt was issued at an
all-in true interest cost of 3.7 percent; and Series 2010C resulted
in present value savings to OC San of $20.0 million, as the debt
was issued at an all-in true interest cost of 4.1 percent.
On March 1, 2013, the federal government implemented certain
automatic spending cuts known as “the sequester”. As a result of
the sequester, federal subsidy payments on BABs have been
reduced annually from a high of 8.7 percent for the federal FY
ended September 30, 2013 to a low of 5.9 percent for the
federal FY ended September 30, 2020.
In FY 2023-24, OC San issued $139.7 million of Revenue
Refunding Series 2024A to refund callable and maturing debt at
a net present value savings of $23.1 million. As a result of having
an adequately funded reserves policy, experienced
management, and prudent planning, OC San was again able
to secure a “AAA” credit rating from Fitch Ratings, Moody’s, and
Standard & Poor's on this latest debt issuance. In FY 2023-24, OC
San also paid o $134.2 million of the Wastewater Revenue
Obligation, Series 2010C.
This two-year budget proposes no additional new money debt
issuances as the $3.3 billion in future replacement, rehabilitation,
and refurbishment projects anticipated over the next ten years will
be adequately funded through current sewer service fee charges
and existing reserves.
The FY 2024-25 debt service requirements are proposed at $61.0
million, a decrease of $7.6 million, or 11.1 percent from FY FY 2023-
24 projected amount. Total Debt Service requirements for the
second year of this two-year budget will be steady at $60.4 million.
OC San’s Debt Financing Program is described in more detail in
Section 9 of this budget.
Sewer Service Fees
The Consolidated Revenue Area has an adopted Sanitary Sewer
Service Fee to provide funding for operating the sewer systems in
accordance with the Clean Water Act and OC San’s Revenue
Program. Revenue Area No. 14 is funded through user fee charges
to the IRWD. Sewer service fees are adopted in ve year
increments.
In the fall of 2007, OC San sta conducted strategic planning
workshops with the Board of Directors to lay out a capital program
to deliver the levels of service desired by the Board of Directors.
These levels of service and resulting capital projects were included
in OC San’s Five-Year Strategic Plan.
This e ort was reinforced through the adoption of a new Master
Plan in December 2017, a planning e ort to de ne OC San’s goals,
responsibilities, and requirements over the next twenty years. The
2017 Facilities Master Plan de ned a CIP consisting of over 80
future infrastructure projects. Collectively, these projects along with
current active projects total over $6 billion of CIP spending over the
next 20 years.
The 2017 Facilities Master Plan also included a Wastewater Revenue
Program Rate Study which determined the appropriate rates going
forward to support the proposed 20-year CIP. In March 2023,
following a Proposition 218 notice process, the Board approved
sewer rate increases for each year over the next ve years
averaging approximately 3.5 percent a year. These increases are
necessary to provide needed capital improvements, to meet
additional treatment and disinfection requirements, and to minimize
future rate increases.
The impact of this ve-year sewer fee schedule has increased the
single-family residence user fee rate, the underlying rate for all
sewer service user fees, an average of 3.5 percent a year from
$358 in FY 2023-24 to $411 in FY 2027-28 .
Even with these increases, OC San rates are still well below the
average annual sewer rate of $523 being charged throughout the
State according to the 2018 California Wastewater User Charge
Survey conducted by the State Water Resources Control Board.
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Financial Overview & Budgetary Issues
In FY 1997-98, OC San’s Rate Advisory Committee, made up of
elected city o cials, community, business and industry leaders,
and OC San sta analyzed OC San’s rate structure to determine
whether user fees were equitable among residences and
industry. In May of 1998, the Board approved the proposed
revisions to the Sewer Service User Fee rate structure that more
equitably charged consumers based on actual usage while
remaining revenue neutral. Signi cant changes in the rate
structure included:
Non-residential user charge will be based upon typical
quantity and strength of discharge per 1,000 square feet.
Fees for users who discharge high quantities or high-
strength waste, including former Class III permittees such
as restaurants and laundromats, will be based on the
assumed ow and strength per 1,000 square feet.
Discontinuation of the Class III permit process because
of the implementation of the expanded and more
accurate rate structure. This resulted in simpli cation of
the billing and collection process for these two hundred
users.
The revised rate structure resulted in a greater number
of decreases in charges (22,000) for non-residential
users than increases (13,000). Overall, the total fees
collected remained essentially the same as those
generated by the old structure.
Property Taxes
OC San’s share of the one percent ad valorem property tax is
dedicated for the payment of COP debt service. The
apportionment of the ad valorem tax is pursuant to the Revenue
Program adopted in April 1979 to comply with regulations of the
Environmental Protection Agency and the State Water
Resources Control Board and in accordance with COP
documents and Board policy.
Debt Service Property Tax
2020 2025 2030 2035
0
50
100
150
Debt Service vs. Property Tax Receipts
(Amount $ in Millions)
$ 226$ 226$ 226
$ 309$ 309$ 309
$ 358$ 358$ 358
$ 368$ 368$ 368
$ 399$ 399$ 399
$ 444$ 444$ 444
$ 495$ 495$ 495
$ 495$ 495$ 495
$ 515$ 515$ 515
$ 570$ 570$ 570
$ 636$ 636$ 636
$ 697$ 697$ 697
$ 714$ 714$ 714
$ 885$ 885$ 885
$ 1,337$ 1,337$ 1,337
Los Angeles County
Fresno
OC San
Oro Loma
IRWD
Sacramento County
Hayward
Dublin San Ramon
East Bay MUD
Union Sanitary
City of Los Angeles
Central Contra Costa
City of San Diego
Vallejo
San Francisco
0 500 1000 1500
Annual Single Family Residential Rates
(July 2023)
Historically, OC San’s property tax revenues exceeded OC San’s
debt service obligations. This trend should continue with debt
service obligations leveling o and no new planned COP debt
issuances.
Property tax revenues have increased from $106.6 million in FY
2022-23 to a projected $115.3 million in FY 2023-24 . Property tax
revenues projected to increase 2.0 percent a year through FY 2025-
26.
Any property tax revenue shortfalls in meeting debt service
obligations may require adjustments to user fees, as making debt
service payments are legally mandated.
Budget Highlights
This section brie y outlines the proposed major changes in all
departments over the next two years. All plant operating costs and
collection system costs are consolidated into the individual
department budgets for better accountability and control.
However, 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 ow. Likewise,
the Joint Works Capital Improvements are allocated to the Revenue
Areas on a three-year average of sewage ows called the "joint
works equity percentage", and each Revenue Area is responsible for
their own collection system capital improvements.
Details for each department can be found in “Section 6 –
Operations” of this document. Complete sta ng schedules are
located in the Appendix.
An amount equaling one percent of the Operating materials
and services budget is included within the General
Manager’s Re-appropriation line item for each of the next
two FYs. Since the current year’s budget lapses each year,
re- appropriation of funds is needed to pay for goods or
services ordered at the end of one budget year but not
provided until the following year.
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Section 2 - Page 6
Financial Overview & Budgetary Issues
Environmental Services
An increase in salaries, wages, and bene ts of $0.9
million in FY 2024-25 is attributable to anticipated salary
and bene t adjustments for all employee bargaining
units.
An increase of $250,610 in other operating expense is
driven by an increase in regulatory operating fees.
An increase of $211,530 in professional services for
engineering costs and environmental scienti c
consultants.
A net increase of 3.5 FTE over the next two years.
An increase of $3.4 million in contractual services costs,
is driven by and incarease in janitorial costs to service
new facilities and the addition of security services costs
to this department.
A net increase of 3.0 FTEs over the next two years.
Engineering
An increase in salaries, wages, and bene ts of $2.6 million in
FY 2024-25 is attributable to additional FTEs along with
anticipated salary and bene t adjustments for all employee
bargaining units.
An increase in repair and maintenance of $1.5 million
mainly due to activated sludge clari er repais, rmanhole
rehabilitations, and digester cleaning and repairs.
Operations & MaintenanceThe General Manager reviews and approves all
departmental re-appropriation requests to ensure that
prior year funding was available and has not been spent.
An amount equal to one percent of the Operating
materials and services budget is included within the
General Manager’s contingency account for each of the
next two FYs.
An increase in salaries, wages, and bene ts costs of $1.6
million in FY 2024-25 is attributable to additional FTEs
and anticipated salary and bene t adjustments for all
employee bargaining units.
Administrative Services
Human Resources
A decrease of $2.3 million in FY 2024-25 is due to
contractual services for security services being removed
fromt his deaprtment.
No net change in FTE over the next two years.
An increase in salaries, wages,and bene ts of $1.4 million
in FY 2024-25 is attributable to an additional FTE along
with anticipated salary and bene t adjustments for all
employee bargaining units.
A net increase of 1.0 FTE over the next two years.
An increase in utilities costs of $3.7 million due to a
signi cant increase it utility delivery costs.
No net change in FTE over the next two years.
Reserves
OC San conducted an in-depth review of the agency’s reserve
policies. This review included a survey of the reserve policies of 23
other public agencies and is periodically updated. It serves as a tool
to assist in the evaluation of the underlying economic reasons
supporting OC San’s reserve policies.Below are seven distinct
reserve criterion which together comprise OC San’s reserve fund
target.
Cash Flow Criterion has been established at a level to fund
operations, maintenance and certi cate of participations
expenses for the rst half of the FY, prior to the receipt of the
rst 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 criterion will be
established as the sum of an amount equal to six months
operations and maintenance expenses and the total of the
annual debt or COP service payments due in August each
year.
Operating Contingency Criterion has been established to
provide for non-recurring operating expenditures that were
not anticipated when the annual budget was considered and
adopted. The level of this criterion will be established at an
amount equal to ten percent of the current FY’s annual
operating budget.
Capital Improvement Criterion has been maintained to fund
annual increments of the CIP. The target level of this criterion
has been established at one half of the average annual cash
outlay of the CIP through the year 2034. Levels higher and
lower than the target can be expected while the long-term
nancing and capital improvement programs are being
nalized.
Catastrophic Loss, or Self-Insurance Criterion has been
maintained for property damage including re, ood, and
earthquake, for general liability and for workers'
compensation. This reserve criterion is intended to work with
purchased insurance policies,FEMA, and State disaster
reimbursements.
Communications
An increase in salaries, wages, and bene ts costs of
$0.6 million in FY 2024-25 is attributable to additional
FTEs and anticipated salary and bene t adjustments for
all employee bargaining units.
A net change of 2.0 FTEs over the next two years.
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Based on the plant infrastructure replacement value, the
level of this criterion has been set to fund OC San's non-
reimbursed costs, estimated to be $100 million.
Capital Replacement/Refurbishment Criterion has been
established to provide funding to replace or refurbish the
current collection, treatment, and recycling facilities at
the end of their useful economic lives. The current
replacement value of these facilities is estimated to be
$11.6 billion. The reserve criterion level had been
established at $75 million.
Debt Service Criterion has been established at ten
percent of the outstanding COP issues. Other debt
service reserves are required to be under the control of
a Trustee by the provisions of the COP issues.
These funds are not available for the general needs of
OC San and must be maintained at speci ed levels.
Accumulated Funds exceeding the targets speci ed by
OC San policy will be maintained for Capital
Improvements and Rate Stabilization. These funds will be
applied to future years' CIP needs due to the timing of
the actual CIP outlays, in order to maintain rates or to
moderate annual uctuations.
Section 2 - Page 7
Financial Overview & Budgetary Issues
Collectively, these individual criterion requirements average
$556 million a year over the current ten-year cash ow forecast
to support the operation and maintenance of OC San’s $14
billion in assets.
Sta ng Levels
Authorized sta ng levels are being proposed to increase the
total FTE position count by eight and a half over FY 2023-24 at
663.50 FTE positions over the next two-FYs. However, sta ng is
still 14.5 FTE positions below the agency’s all time high of 678
positions approved in FY 1995-96.
OC San budgets sta ng levels by FTE to provide a realistic
estimate of actual sta ng levels since not all employees are full-
time employees. The part-time positions are funded at 1,040
hours per year. Part- time employees receive a prorated share of
personnel bene ts.
The sta ng reductions from 1995-96 are a result of this agency’s
e ort in striving to provide wastewater treatment as e ciently
and e ectively as possible while lowering operational and
maintenance costs to more closely match those agencies that
are “best in class” for wastewater treatment facilities. However,
as the result of new initiatives in the areas of water reclamation
and conservation, and the expansion of the CIP, the existing
sta ng plan was no longer su cient to meet OC San’s needs.
201
5
-
1
6
201
6
-
1
7
201
7
-
1
8
201
8
-
1
9
201
9
-
2
0
202
0
-
2
1
202
1
-
2
2
202
2
-
2
3
202
3
-
2
4
202
4
-
2
5
202
5
-
2
6
600
625
650
675 Authorized FTE Sta ng
The Appendices within Section 10 provide a Sta ng History
Summary (by Department and Division) and Detail (by position title
within each Department and Division).
OC San Planning Environment
OC San has developed an integrated planning system that allows for
intentional, thoughtful decision making to maintain current
operations while adding resilience and meeting new challenges.
This integrated planning system includes Strategic Planning, Asset
Management, Budgeting (Capital and Operating), a General
Manager’s work plan, focused engineering study e orts, and a
research program. While these plans are important, equally
important is an organizational structure and relationships between
employees that work together toward these common goals.
Strategic Planning is the rst step. OC San has developed a strategic
planning model that creates a long-term level-of-service agreement
between its Board of Directors and sta . The Board of Directors use
this document to lay out a vision of what the agency will deliver over
the next 10 to 20 years. This is an alignment document to de ne
long-term levels of service. The Strategic Plan also serves as a
continuity bridge as members of the 25-member Board of Directors
come onto and leave the governing body. It is initially important as
an education tool for what and why OC San does what it does, but
also allows for new Board members to adjust the vision as it is
revised every two years. The Strategic Plan is timed to be adopted
by the Board of Directors in the November prior to the bi-annual
budget development
OC San has also created an updated Asset Management Plan. The
Asset Management Plan details what we own, what condition it is in,
and what it is capable of delivering. This plan is renewed every year.
OC San has broken down its facilities by drainage areas, pump
stations, and treatment plant process areas. Each of these discrete
areas have a plan. One of the key features of this planning method is
to assume that each area has a life expectancy and will need regular
refurbishment to maintain resiliency and attain the lowest lifecycle
cost. Corrosion, mechanical wear and tear, electrical and
instrumentation obsolescence, and technological opportunity must
be addressed.
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Financial Overview & Budgetary Issues
OC San has worked very hard to create an integrated planning
environment which begins with the expectations of its Board of
Directors and ows down to the work product of each employee.
We have worked equally hard to assure our sta members are
communicating and providing transparent services to each other in
support of the plan.
CIP Master Planning The 2017 Facilities Master Plan was adopted in
December 2017. Like previous versions, this latest master plan
updated planning assumptions, provided a comprehensive analysis
of the condition and capacity of our wastewater infrastructure,
assessed new technology opportunities, anticipated regulatory
changes, and resource recovery options to create a roadmap of
facility evaluation improvements which supports OC San’s mission
over the next 20 years.
The 2017 Facilities Master Plan de ned a Capital Improvement
Program comprised of over 80 CIP projects. However, the budget
allotted for each project must be approved by OC San Board of
Directors during the annual budget review. To prepare for this
annual budget review, OC San employees go through a budget
validation process. Each CIP project is reviewed to ensure that the
scope of the project is appropriate, and that the cost estimates are
accurate. In addition, through the Asset Management Program, the
Planning Division continually reviews and updates the ongoing and
future CIP to appropriately manage the risks associated with asset
or system failure. Future projects may be accelerated, delayed,
consolidated, canceled or rescoped to help ensure that the CIP is
delivered in the most e cient way possible.
Strategic Plan
In November 2023, the Board of Directors adopted an updated
comprehensive strategic plan to steer OC San’s e orts.The Strategic
Plan developed by the Board of Directors and sta de nes the
strategic initiatives to be pursued by OC San and provides a basis
for long-term nancial, capital, and operational planning. In addition,
it provides for long-term continuity of vision as Board and sta
members change over the many years it takes to deliver public
works infrastructure.
Driven by our Mission, Vision and Core Values, this Strategic Plan
continues OC San’s aggressive e orts to meet the sanitation, health,
and safety needs of the more than 2.6 million people we serve
while protecting the environment where we live.
The Strategic Plan is broken down into four broad categories with
fteen policy areas that de ne our responsibilities and the services
we provide. These areas are:
It is generally assumed that a normal plant process area will
have a 60 to 80-year life if it is refurbished every 20 years.
Linear assets like sewers and manholes tend to have a longer
life and need attention less often. OC San inspects its linear
assets no less than every ve years to correct defects, rather
than replace failed corroded pipes. It is much more e cient and
responsible for OC San to rehabilitate and extend the life of our
assets rather than replace once failure occurs.
The CIP portion of the budget lays out major refurbishment and
replacement projects for each planning area looking out more
than 20 years. Project start dates, scopes of work and cost
estimates shift based on the ongoing asset management e orts
that include an annual validation where schedule, scope, and
budget are reviewed. The operations budget also lays out the
smaller scale equipment level refurbishments or replacements
necessary to keep the assets working between major projects.
This longer horizon view optimizes the resources necessary to
deliver projects by minimizing the number of projects and more
fully scoping the necessary work at the beginning of the project,
minimizing change orders and disruption. This more consistent
capital and operational funding approach tends to level out
funding requirements and user rates.
Once the two-year scal budget is approved, sta develops the
General Manager’s Work Plan for each of the budget years. The
General Manager’s Work Plan is a list of goals that are
speci cally linked to the Strategic Plan items. Each goal is
speci c and measurably moves the agency toward the vision in
the Strategic Plan.
This complete planning cycle is repeated every two years. In
addition, OC San is consistently studying very important topics
that help shape the project and maintenance e orts guided by
the planning cycle.
Some of the important engineering studies include Regional
Urban Runo Optimization, Ocean Outfall Condition
Assessment, Energy and Digester Gas Master Plan, seismic risk
evaluations, climate change resilience, and biosolids
management. By studying the risks and impacts of these, and
other issues, OC San is able to understand how its facilities must
be improved or altered in order to deal with new requirements
or better understood risks. OC San uses the information in each
of the studies to improve the scopes of work for existing projects
or maintenance activities. Taking the long view to adapt the
facilities to address long-term risk and opportunity is the most
e ective way to reach an intentional, strategically planned vision
for OC San.
Having a coherently aligned planning process is critical for
moving OC San forward, but it is only half of the equation.
Creating an environment where people are aligned is the other
half. OC San has worked hard to utilize both formal and informal
relationships in and across departments to align work e orts.
Signi cant work has been done to de ne the roles and
responsibilities of every department, division, and work group.
This includes what each work group needs and is responsible to
supply to the rest of the organization. The work groups were
designed to be interdependent with a culture of holding each
other accountable for delivering required services.
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Financial Overview & Budgetary Issues
Through March, in FY 2023-24 , OC San produced an average of
515 tons per day (“tpd”) of biosolids at a cost of $10.6 million, which
averaged $75.04 per ton for hauling and recycling at o site
locations, as described in the table below.
The FY 2024-25 budget for biosolids management is $14.4 million,
an increase of 1.4 percent from FY 2023-24 based on the increased
costs of both hauling and management.
OC San’s contractors provide fail-safe, back-up biosolids
management capacity in California and Arizona that include
composting, land application, and land ll. Together, these options
have the additional available capacity to manage more than ten
times OC San’s daily biosolids production to ensure sustainable,
consistent, and reliable wastewater treatment operations.
OC San sta have been working to implement the recommendations
of the 2017 Biosolids Master Plan. The plan evaluated the biosolids
markets and technology options for digestion facility replacement at
Plant No. 2 in Huntington Beach. This plan will serve as the road
map for sustainable and cost- e ective Biosolids management
options over a 20- year period and will diversify our biosolids
portfolio by adding a Class “A” option under federal rules for
biosolids management.
Urban Runo
Recognizing that County beaches were being a ected by pollution
carried by urban runo , the Board of Directors adopted a number of
resolutions to accept dry weather urban runo into the sewer
system. In June 2002, Assembly Bill 1892 amended OC San’s
charter to formally allow the diversion and management of dry
weather urban runo ows.
Synagro - Nursery
Products Helendale, CA Compost $ .
Synagro - South Kern Taft, CA Compost $ .
Synagro - AZ Solids Vicksburg, AZ Compost -$ .
Tule Ranch Yuma, AZ Land
Application $ .
Synagro - Liberty
Compost Lost Hills, CA Compost $ .
Inland Empire
Regional Composting
- Denali
Rancho
Cucamonga,
CA
Compost $ .
Rialto Bioenergy
Facility Rialto, CA Fertilizing
Pellets/Char -$ .
Contractor Location Product
Appx. Tons
per Day
(March 24)
Avg. Cost per
Ton (March
24)
Budget Control and Fiscal Discipline
Asset Management
Cybersecurity
Property Management
Organizational Advocacy and Outreach
Energy Independence
Climate and Catastrophic Event Resiliency
Food Waste Treatment
Water Reuse
Environmental Water Quality, Stormwater
Management and Urban Runo
Environmental Stewardship
Business Principles
Wastewater Management
Chemical Sustainability
Biosolids Management
Constituents of Emerging Concern
Workplace Environment
Resilient Sta ng
Safety and Physical Security
The Strategic Plan is not a radical departure from the current
direction, but rather the well-de ned iterative update to the
direction of OC San. With the adoption of the Strategic Plan, sta
will be updating the Asset Management Plan, Capital
Improvement Program, and Financial Plan that are the basis of a
two-year budget that will be adopted by the Board of Directors.
The Budget goals and the General Manager’s work plan are the
accountability steps that measure achievable progress toward
the strategic initiatives listed in the Strategic Plan.
Biosolids Management
Biosolids is a resource recovered through the wastewater
treatment process. OC San treats nutrient-rich, organic matter
(solids) to produce biosolids. Biosolids can be recycled through
composting or fertilizing farm elds (non-food crops via land
application). OC San’s goals are to ensure that biosolids
management strategies align with bene cial use of biosolid and
existing market conditions and to continue to have a sustainable,
reliable, and economical biosolids management program that
provides environmentally sound practices and meets the
stringent federal, state, and local regulatory requirements.
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Financial Overview & Budgetary Issues
Groundwater Replenishment System
OC San has taken a multi-jurisdictional approach to planning for
capital facilities because many of the methods for reducing or
managing ows involve other jurisdictions. One such project is
the Groundwater Replenishment System (the “GWRS”).
In March 2001, OC San entered into an agreement with the
Orange County Water Sanitation District (OCWD) to design and
construct Phase I of the GWRS. The capital cost of this Phase
was shared equally (50% shares) by each agency. The GWRS is a
joint e ort by the two agencies to provide reclaimed water for
replenishment of the Orange County Groundwater Basin and to
augment the seawater intrusion barrier. The GWRS became
operational in January of 2008 with a production target of
70,000 acre-feet per year of potablewater.
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 OC San’s Fountain
Valley Plant No. 1.
In 2016, OC San and the OCWD completed a $2 million joint
study to explore the possibility of using ows from OC San’s
Plant No. 2. The study identi ed an implementation plan to
convey secondary e uent from OC San’s Plant No. 2 in
Huntington Beach using new and existing infrastructure to
support the GWRS Final Expansion. The GWRS Final Expansion
will be funded solely by the OCWD. OC San currently has two
active projects supporting the GWRS Final Expansion. The costs
of these projects will be reimbursed by the OCWD. The Final
Expansion of the GWRS went online in 2023.
Fiscal Policies
Included within Section 3 – Pages 1 through 6 is a listing of OC
San’s Board Adopted Fiscal Policies.
These scal policies were established purpose of:
Sustaining a nancially viable organization;
Having the exibility to adapt to local and regional
economic changes; and
Maintaining and enhancing sound scal condition of OC
San.
Included within OC San’s scal policies are speci c polices for
Budgeting, Revenues, Expenses, Capital Improvements,
Vehicles, Short-term Debt, Long- term Debt, Reserves,
Investment, and Accounting, Auditing and Financial Reporting.
GFOA Best Practices and Advisories
Included in the budget within Section 3 – Pages 7 through 15 is a
listing of accounting, auditing, nancial reporting, cash
management, budgetary and scal policy, debt management,
retirement and bene t administration, and economic
development and compliance planning practices recommended
by the Government Finance O cers Association (GFOA) of the
United States and Canada.
Resolution No. 01-07, adopted March 28, 2001, declared that OC
San will initially waive fees and charges associated with
authorized discharges of dry weather urban runo to the sewer
system until the total volume of all runo discharges exceeds
four million gallons per day (MGD) based on a monthly average.
For the rst 12 years of the Urban Runo Program, the average
monthly averages remained less than the four MGD threshold
thus avoiding user fee costs being assessed to the diversion
permittees.
In 2012, OC San received a number of proposals seeking to
establish additional diversions to address bacteria and selenium
loading to the upper Newport Bay. The discharge from the
additional proposed diversions combined with the existing
diversion ows would eventually exceed the four MGD fee
threshold. On June 26, 2013, the Board adopted Resolution No.
13-09 expanding the waiver of fees or charges on the treatment
of dry weather urban runo from 4 to 10 MGD. According to the
Board, the change was necessary not only to protect the
County’s coastal resources, but also to provide an economic
bene t to the local economy by helping to keep our beaches
open.
The Dry Weather Urban Runo Program is administered by OC
San’s Resource Protection Division, which issues a discharge
permit for each of the diversion structures. The permit functions
as a control mechanism that speci cally prohibits storm runo
and authorizes discharge only during periods of dry weather.
The permit also establishes speci c discharge limits, pollutant
monitoring, and ow metering requirements. In addition, OC San
conducts quarterly sampling and analysis of the urban runo
discharges to ensure discharge limit compliance.
There are currently 21 active urban runo diversion structures,
three owned and operated by the County of Orange, 11 owned
and operated by the City of Huntington Beach, three owned and
operated by the City of Newport Beach, three owned and
operated by the IRWD, and one owned and operated by PH
Finance (present owner of the Pelican Hill Resort). On behalf of
the Newport Bay Watershed Permittees, the City of Santa Ana is
constructing an urban runo diversion to reduce bacteria and
selenium loading to the Newport Bay Watershed. The Santa Ana
Delhi Channel Diversion is estimated to add 1.92 MGD to Plant 1
in uent.
Since 1999, OC San has treated cumulatively over 10.7 billion
gallons of dry-weather urban runo that would otherwise have
been discharged into the ocean without treatment. During FY
2022-23 the daily average urban runo ow ranged between
1.38 and 3.07 MGD with a cumulative total diversion of 565
million gallons (MG). The diversion ows increased by 18 percent
due to increased operating days that met qualifying conditions
for urban runo diversion. At the current operations and
maintenance cost per million gallons (CMG) of $1,972 (assuming
BOD at 20 mg/L and TSS at 50 mg/L), assuming the
commissioning of both the Santa Ana Delhi Channel Diversion
the Arches Diversion near the beginning of FY 2025-26 and
these facilities reach their full discharge potential (1.92 MGD and
0.2 MGD, respectively).
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Financial Overview & Budgetary Issues
Included within this list of best nancial practices for state and
local governments is OC San’s status as to whether we are in
compliance or in progress towards compliance, or whether the
practice is applicable to this agency. Out of the 199 practices
identi ed, OC San is in compliance with 171, another 28 are not
considered applicable to OC San.
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Business Plan
Business Principles;
Environmental Stewardship;
Wastewater Management;
Workforce Environment;
These four categories contain fteen policy areas with ongoing
initiatives to achieve the goals of the plan and OC San.
Level of Service
The Levels of Services were developed with measurable outcomes,
or key performance indicators, that OC San is committed to meeting.
This Business Plan documents that the Levels of Service provided by
OC San will require $3.2 billion in identi able capital improvements
and millions in increased maintenance and operations costs over the
next ten years.
OC San’s Levels of Service have been updated in November 2023 to
align with the Strategic Plan and showcase how initiatives are being
implemented and monitored. OC San’s Levels of Service are the
commitment made to our rate payers, regulators, employees, and
the Board of Directors on our operational e orts. The levels of
service continue under the identi ed following goals:
OC San will protect public health and the
environment.
OC San’s e uent, solids, and biogas will be recycled.
OC San will be a good neighbor and will be
responsive to its customers.
OC San will manage its assets to ensure reliability
and security.
OC San will exercise sound nancial management.
OC San will provide a safe, productive workplace.
These existing Levels of Service targets are continually under review.
Sta ng Plan
A comprehensive review was completed on OC San’s sta ng levels
for the next two scal years. This undertaking began with a review of
OC San’s vision, mission, goals, and objectives.
OC San’s Strategic Plan is intended to be an overarching plan
based on sound decision making that provides direction on the
work that OC San will take on during the next two-year budget
cycle and what will be deferred. This Business Plan is the
underlying foundation for the development of OC San’s Budget.
During the process of developing the Business Plan, OC San’s
Executive Management Team reviewed the proposed work for
the upcoming year, balanced it with the sta ng and funding
resources needed and either approved the plan or made
reductions. Reductions in work or resource commitment for the
coming year will be considered in light of the Level of Service that
the agency is committed to and appropriate levels of risk.
Elements included in two year budget includes: (1) the Business
Planning Process; (2) Strategic Goals, including the timeframe,
milestones, and resources required for the completion of each
step; (3) performance results pertaining to the Current and
Projected Key Performance Indicators (Level of Services); (4)
business accountability performance objectives and measures,
that are aligned with the updated Strategic Plan (these are
detailed for each division within the departments in Section 6 of
this document); (5) Two-Year Sta ng Plan; (6) Financial Model
Update; (7) Risk Assessment & Mitigation Analysis; and (8) 2020-
21 Asset Management Plan Update.
Business Plan Process
The framework for the Business Plan is developed as part of the
process of updating the Strategic Plan. The process for updating
the Strategic Plan requires the assistance from all levels of the
organization, and includes updating the Mission Statement, Vision
Statement and Core Values; and addresses the major objectives
and critical challenges facing OC San now, in the next ve years,
and further into the future. This Strategic Plan also lays down the
foundation for the development of the Business Plan as it
addresses critical operations and construction issues, nancial
and budgeting challenges, and gives a clear and concise
direction from the Board of Directors to sta , ratepayers,
regulatory agencies, and the general public.
The Business Plan development process started with the
categories and topics identi ed within the Strategic Plan. Sta
from across the agency further de ned these goals in terms of
level of service, business risk exposure, capital and operational
costs, sta ng, and long-term nancial impacts. The Business
Plan identi es the required resources and prioritizes projects and
goals, with recommendations for which goals should go forward
for inclusion in OC San budget, and which should be deferred or
dropped from consideration.
Strategic Goals
Over the next two years, OC San will begin and complete many
activities central to the goals of the organization. In November
2023, OC San updated the Strategic Plan and, as part of the
strategic planning process, outlined four broad categories:DR
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Section 2 - Page 13
The Necessity of Updating the Regional Sewer Service
Fee and the Net Cost of Service Methodology for
Industrial Rates - OC San provides regional sewage
collection, treatment, and disposal services to
approximately 550,000 customers located in central and
northwest Orange County and collects fees for these
services through a special assessment on the Orange
County property tax bill. In addition, OC San also maintains,
repairs, and replaces the local sewers for approximately 74
of the above 550,000. High strength dischargers, or
industrial customers, pay sewer fees based upon a net cost
of service. A rate study was required to determine the
equitable rates for these three types of users.
Five-Year Proposition 218 Notice - OC San’s last California
Proposition 218 Notice notifying rate payers of potential
sewer rate increases over the past ve-years had expired
and a new 5-year Proposition 218 Notice approved by the
Board and the justi cation of the new sewer service fee
rates over the next ve years needed to be supported by an
updated sewer rate study.
In their Financial Model Update Report for OC San issued in
December of 2022, HDR recommended that OC San:
Based on current operational and capital project
assumptions, implement annual increases based on
construction in ation, respectively, over a ve-year period
ending in FY 2024-25.
Increase to the unit costs to high strength discharges for FY
2024-25 and FY 2025-26, as follows:
624624624 624624624
639639639
663.5663.5663.5
2010-11 2015-16 2020-21 2025-26
600
620
640
660
Authorized FTE Sta ng
This analysis included review and assessment of each
department and division within OC San with discreet duties and
responsibilities.
The total FTE requirement has gradually increased over the last
ten years, based on the needs of the agency over time. An
increase of 663.50 FTEs over the next two FYs is proposed. This
is well below the high FTE count of 678 in FY 1995-96. Sta ng
levels are proposed at minimum levels that are necessary to
support the operation and maintenance of all facilities in an
e cient manner to meet all compliance requirements. Sta has
focused on the reallocation of existing resources in order to
balance the needs within the business units of this agency to
ensure that core business operations are met, levels of service
are maintained, and that strategic initiative elements are
accomplished.
The proposed two-year sta ng plan contains a signi cant level
of analysis on how existing resources can be utilized in
consideration of the increasing demands placed on this agency
and in support of the $4.7 billion capital improvement program
over the next ten years. A detailed breakdown on the proposed
reallocation of FTEs can be found within the Appendix section of
this budget.
Financial Model Update
OC San’s most recent regional rate study was completed in
December 2022 by HDR Engineering. The purpose of the study
was to update sewer service rates and to equitably distribute
costs among utility customers and to support OC San’s regional
rate structure over a ve-year period from FY 2023-24 through
FY 2027-28. Previously, OC San had completed regional rate
studies in 2017, 2013, 2008, 2006, 2002 and 1999. The
following two drivers necessitated that a rate study be
completed in 2022, and be incorporated into the Business Plan:
Industrial Discharge Sewer Rates
$/ 1,000 $/ lbs. $/ lbs.
Gallons B.O.D. T.S.S.
Unit Cost -FY 2024-25 $1,754.41 $0.74423 $0.85592
Unit Cost -FY 2025-26 $1,836.37 $0.78555 $0.89834
% Increase 4.7% 5.6% 5.0%
All recommendations from the December 2022 Financial Model
Update Report were approved by the Board to ensure that the
funding required for the additional capacity projects required for
new users would be available at the time of construction.
Local sewer service fees are based on the Financial Model
Update Report from April 2008 and remain at $108 per single
family residence.
Business Plan
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Section 2 - Page 14
Business Plan
Supplemental CFCC Rates
$/ 1,000 / lbs. $/ lbs.
Gallons B.O.D. S.S.
Unit Cost -FY 2024-25 $2.39 $0.55920 $0.33917
Unit Cost -FY 2025-26 $2.47 $0.58000 $0.35000
% Increase 3.5% 3.5% 3.5%
Risk Assessment Analysis
Many leading organizations are formally applying risk
management processes to identify and manage risks across
many aspects of their business. The formalization of risk
management processes is a logical step towards increased
accountability and transparency placed on the Board and OC
San management.
Risk assessment and mitigation includes the following
steps: Identify and assess strategic and organization-
wide risks facing OC San;
Identify mitigation measures that OC San currently has in
place;
Propose additional mitigation measures that OC San
considers appropriate to manage; and
Develop an action plan of responsibilities and
timeframes for follow-up.
The Risk Register is a compilation of the various risks facing OC
San, as seen, and described biennially by the executive
management team and the managers. Business Risk is de ned
as a threat that an event (action or inaction) will adversely a ect
OC San’s ability to achieve its business objectives and execute
its strategies successfully.
It was determined, as a result of the new Master Plan, that future
build-out is now projected to be less than what was anticipated
in the previous master plan. OC San’s system currently has
unused capacity that is available to serve future users. In
addition, OC San will continue to maintain, improve, and expand
the system with future capital improvements. Based upon this
information, a hybrid approach (buy-in and future cost) to
capacity charges was recommended.
Based on the CFCC portion of the rate study in 2022, CFCC and
Supplemental CFCC fees are as follows for FY 2024-25 and FY
2025-26:
CFCC Rates
Residential Commercial/
CFCC Industrial CFCC
Unit Cost -FY 2024-25 $6,354 $1,659
Unit Cost -FY 2025-26 $6,576 $1,717
FY24-25% Increase 11.1% 11.1%
FY25-26% Increase 3.5% 3.5%
Executive management and managers continue to review risks
identi ed in the Risk Register and implement various ways to
address those that might impact OC San. Each Risk Register Update
contains solutions proposed by participants for the top risks, and
each Risk Register Update also contains a section recording how
OC San dealt with the risks that were spotted in the previous Risk
Register Update.
Asset Management
OC San is committed to providing services for its rate payers to
reliably meet our regulatory mandates and levels of service
approved by the Board of Directors and will provide these services
using sustainable engineering principles that result in the lowest
responsible lifecycle cost with an acceptable level of risk. OC San
installs, operates, maintains, refurbishes, and disposes of assets
with lifecycles measured from years to decades, so an approach
which balances long, medium, and short-term needs is necessary.
OC San’s Asset Management Program has evolved into a
comprehensive decision-making framework that encompasses
engineering planning, design, and construction of quality facilities;
optimized operation; proper maintenance; and planned
rehabilitation, replacement and refurbishment of assets that will
meet OC San’s changing needs. This coordinated decision-making
process will allow OC San to consistently meet mandated levels of
service to the rate payers at the lowest lifecycle cost.
The ongoing improvement and maturation of the Asset
Management Program has resulted in the annual publication of an
Asset Management Plan which provides details on the program,
asset condition summaries, and budgetary considerations. The plan
evaluates the remaining useful life of assets by discipline within
each of the major areas (Collection System, Reclamation Plant No. 1,
and Reclamation Plant No. 2). An overarching trend identi ed by the
Asset Management Program is an increasing need to focus on
renewal expenditures as the average age of OC San’s assets
continues to increase.
The Asset Management Plan is not only useful for documenting the
current condition of OC San’s assets, but it also allows for the
development of a morethoughtful 20-year CIP plan which considers
which projects are necessary, when they are needed, and how best
to accomplish them. The value of OC San’s assets and the 20-year
CIP plan to sustain them are summarized in the following sections
and described in more detail in the CIP Budget Request Summary
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Section 2 - Page 15
Business Plan
Asset Valuation
The replacement valuation for all of OC San’s assets has been
updated in 2018 as part of the 2017 Facilities Master Plan
project. The table below presents the current replacement and
depreciated values of OC San’s assets. The replacement value
represents the cost in 2018 dollars to completely rebuild all the
assets to a new condition. The depreciated value is the book
value of the assets based on their age, which is a prediction of
their current condition.
Valuation Plants Collections Total
Replacement $9.39 $4.59 $13.98
Value (in billions)
Depreciated $2.88 $0.76 $3.64
Value (in billions)
The estimated replacement value in FY 2024-25 is $14.0 billion
based on the Engineering News- Record Construction Cost
Index (CCI) increase since the 2017 Facilities Master Plan.
Planned CIP Outlays
The following chart shows the 20-year CIP outlay which includes
both current and projected future Capital Improvement Program
projects. Additional information on the proposed CIP outlay for
Board Authorized Projects is provided in the CIP Budget
Request Summary section of this report. The second half of the
20-year CIP outlay is primarily comprised of future projects
which are reevaluated and adjusted annually to re ect any new
information available.
Future CIP, Rehabilitation and Refurbishment Proposed CIP Outlay for Board Authorized Projects
202
4
-
2
5
202
5
-
2
6
202
6
-
2
7
202
7
-
2
8
202
8
-
2
9
202
9
-
3
0
203
0
-
3
1
203
1
-
3
2
203
2
-
3
3
203
3
-
3
4
203
4
-
3
5
203
5
-
3
6
203
6
-
3
7
203
7
-
3
8
203
8
-
3
9
203
9
-
4
0
204
0
-
4
1
204
1
-
4
2
204
2
-
4
3
204
3
-
4
4
0
100M
200M
300M
400M
500M
20 year CIP Outlay
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Section 2 - Page 16
Business Plan
Infrastructure Asset Management
OC San manages and assesses collection system and
reclamation plant assets to improve resilience and reliability
while lowering lifecycle costs. This is accomplished through
adaptive operation; coordination of maintenance and condition
assessment; and planned capital investment. Sta will balance
maintenance, refurbishment, and replacement strategies to
maximize useful life, system availability, and e ciency.
Below is a summary of the infrastructure maintenance activities
and associated capital projects for FY 2024-25 and FY 2025-
26. Just as this section focuses on capital costs, OC San’s
operational and maintenance costs for the Collection System,
Reclamation Plant No. 1, and Reclamation Plant No. 2 are
provided withinSection 6.
Collection System
OC San’s collection system consists of more than 380 miles of
sewers and 15 pump stations. The maintenance of all regional
sewers is actively managed but only 230 miles of regional
sewers are on a cleaning schedule as the largest sewers and
force mains are designed to be self-cleaning based upon higher
ows and natural scouring action.
Typical gravity sewer maintenance activities consist of: closed
circuit television (CCTV) inspection, physical inspection, and
cleaning operations. The cleaning frequencies are based on
data from pipe inspections, CCTV work, process conditions,
historical records, and industry best practices.
Pump station and metering station maintenance activities
include operating the stations, maintaining electrical,
mechanical, and civil components, and cleaning activities.
The collection system odors and corrosive gases are actively
managed for nuisance odor mitigation and asset preservation.
Maintenance activities are based on established levels of
service to ensure compliance with our permit required Sewer
System Management Plan, which is designed to reduce spills,
increase reliability, and ensure safety. The planned activities
help extend the useful life of the assets and minimize the
potential for issues to develop.
Budget information for maintenance is available in Section 6.
Collection System Capital Improvement Projects
OC San’s collections projects go through a planning and design
process to ensure all elements of the project are thoroughly
assessed. These projects typically renew or replace aging
pipelines and pump stations; address odor issues; upgrade
facilities to meet current codes and standards; and, in some
instances, increase ow capacity due to growth in localized
portions of our service area.
In FY 2024-25 a focus continues to be the replacement of three of
OC San’s important pump stations. Project No. 3-67 recently started
construction and Project No. 5-67 is anticipated to bid and move
forward with construction within the scal year to replace Seal Beach
Pump Station and Bay Bridge Pump Station, respectively. Project No.
1-23, Edinger Pump Station Replacement, is anticipated to begin the
design phase in the coming scal year. The reliability of all of OC
San’s pump stations are critical for preventing sewer spills; however,
these three pump stations are a priority for replacement with an
average age of 57 years since original installation. These projects are
projected to spend a combined $18 million in FY 2024-25.
Additionally, there will be a widespread e ort to address mostly age-
related condition issues throughout the collection system. Project
No. 2-49, Taft Branch Improvements; Project No. 7-65, Gisler-Red Hill
Interceptor and Baker Force Main Rehabilitation; and 7-68,
MacArthur Force Main Improvements, are three good examples of
this typical ongoing rehabilitation e ort. All three projects will be in
construction in the upcoming scal year and are projected to spend
a combined $35 million in FY 2024-25.
Reclamation Plant No. 1 and Reclamation Plant No. 2
Maintenance
The maintenance program is continually being optimized with a
focus on predictive and preventative maintenance which identi es
and addresses issues when they initially develop. This approach not
only allows for a more planned and less disruptive maintenance
program but is also more cost e ective. Each year the maintenance
divisions complete tens of thousands of these predictive and
preventative maintenance tasks and repairs assets as needed.
Reclamation Plant No. 1 Capital Improvement Projects
These projects are intended to rehabilitate or reconstruct major
components of our treatment process and support facilities to ensure
reliable operations.
One of the largest projects at Plant No. 1 continues to be the
Headworks Rehabilitation at Plant No. 1 (Project No. P1-105). The
facility is over 30 years old, and a comprehensive refurbishment is
required to ensure the continued reliable operation of the facility into
the future. The project will rehabilitate systems including the
metering and diversion structure, the bar screen building, the bin
loading building, the main sewage pump station, the grit basins, the
primary in uent channels, the headworks odor control scrubbers,
electrical power distribution systems, and control elements. This
project is in construction and is projecting to spend $41 million in FY
2024-25, with nal completion scheduled in 2028.
Reclamation Plant No. 1 will be undergoing major overhauls of its
primary and secondary treatment processes via Project P1-126,
Primary Sedimentation Basins No. 3-5 Replacement at Plant No. 1,
and Project P1-140, Activated Sludge-1 Rehabilitation at Plant No. 1.
Both projects will be transitioning from preliminary design to design
at the start of the upcoming scal year and are projecting to spend a
combined $10 million in FY 2024-25.DR
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Section 2 - Page 17
Reclamation Plant No. 2 and Outfall Capital Improvement
Projects
These projects are intended to rehabilitate or reconstruct major
components of our treatment process and support facilities to
ensure compliance with regulatory permits, increase reliability,
and improve safety.
One of the largest and longest duration active projects at Plant
No. 2 is Project P2-98 (Primary Treatment Rehabilitation at Plant
No. 2). This project is in construction and will renew the useful
life of the 14 primary clari ers and associated support facilities
at Plant No. 2 via rehabilitation and replacement. These facilities
date back to the late 1950’s and need condition-based
upgrades. The nal phase of this project is under construction
and is projecting to spend $19 million in FY 2024-25, with
completion scheduled in 2027.
Similar to the other areas, rehabilitation to address age-related
condition issues will be a focus at Plant No. 2. Project P2-137,
Digesters Rehabilitation at Plant No. 2; P2-128, Digester
Replacement at Plant No. 2; and P2-136, Activated Sludge
Aeration Basin Rehabilitation are good examples of this typical
ongoing rehabilitation e ort. The projects will be in
construction, continuing design, and starting design,
respectively, in the upcoming year and are projecting to spend
a combined $9 million in FY 2024-25.
There are also a number of projects providing a variety of
improvements at Plant No. 2 including Project P2-127,
Collections Yard Relocation and Warehouse Demolition at Plant
No. 2; P2-128A, South Perimeter Wall and Soil Improvements at
Plant No. 2; and P2-138, Operations and Maintenance Complex
at Plant No. 2. The projects will be completing construction,
starting construction, and continuing preliminary design,
respectively, in the upcoming year and are projecting to spend
a combined $11 million in FY 2024-25.
While considering the outfall, Project No. J-137, Ocean Outfalls
Rehabilitation, will begin preliminary design during FY 2024-25
and is projected to extend through FY 2032-33. This project will
rehabilitate the existing long outfall, one of our most critical
assets, and will also assess and make needed repairs to our
short outfall so that both pipelines remain reliable.
Business Plan
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Within 1 hour in plants
Within 24-hours in
collection system
ENVIRONMENTAL STEWARDSHIP
Business Plan
Section 2 - Page 18
Levels of Service Target
OC San will protect public health and the environment.
Compliance with Ocean Discharge Permit 100%
Up to 10 MGDDry weather urban runo collected and treated
Major non-conformance audit ndings < 5 Per permit per audit
Respond to corrective actions within regulatory timeline for
air, solids, and water compliance audits
100%
Comply with Fleet Air Emission Regulations 100%
Number of odor complaints under normal operations < 5 per events per
treatment plant
< 12 per events for
collection system
Sanitary Sewer Spills per 100 miles < 2.1
Compliance with core industrial pretreatment requirements 100%
OC San’s e uent, solids and biogas will be recycled.
Provide speci cation e uent to Groundwater Replenishment
System
100%
Bene cially reuse biosolids during normal operations 100%
WASTEWATER MANAGEMENT
OC San will be a good neighbor and will be responsive to its
customers.
Respond to odor complaints
Respond to collection system spills within 1 hour of
noti cation
100%
Respond to public complaints or inquiries regarding
construction within 24 hours
100%
Respond to biosolids contractor violations within one week
of violation notice
100%
Respond to Public Records Act requests within the statutory
requirements
< = 10 days
Dig alert response within 48 hours 100%
FY 2022-23 Results
100%
Up to 10 MGD
< 5 Per permit per audit
100%
100%
< 5 per events per
treatment plant
< 12 per events for
collection system
< 2.1
100%
100%
100%
100%
Within 1 hour in plants
Within 24-hours in
collection system
100%
100%
100%
100%
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WORKPLACE ENVIRONMENT
BUSINESS PRINCIPLES
OC San will manage its assets to ensure reliability and
security.
< 2.5
Business Plan
Section 2 - Page 19
Levels of Service Target
> 87%Cybersecurity event monitoring and incident handling,
percent successful
Annual real property assessments/inspections 25% of the properties
Annual Inspection, documentation, and evaluation of
collection system
70 miles of sewers
880 manholes
OC San will exercise sound nancial management.
Annual user fees su cient to cover 100% of O&M Budget 100%
Collection, treatment, and disposal costs per million gallons
Maintain Credit Rating (Moody’s, Fitch, S&P)AAA
OC San will provide a safe, productive workplace.
Employee injury incident rate per 100 employees
Annual days away from work, restricted activity, or job
transfer resulting from a work-related injury
< 4.4
Annual training hours per employee 45 hours
FY 2022-23 Results
95%
100%
100%
100%
100%
AAA
100%
Within 1 hour in plants
100%
Within 10% of BudgetWithin 10% of Budget
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Business Plan
OC San Long-Term Planning
Section 2 - Page 20
Type of Planning
Process
Description of
Process
Budget Impacts
Update of the
Strategic Plan
Capital Master
Planning and
Asset
Managerment
Biosolids
Management
Groundwater
Replenishment
System (GWRS)
The ongoing process adapts
to changes and allows the
budget to be reevaluated and
re ned.
The 2024 CIP Validation,
includes an overall CIP
budget of over $6.4 billion for
active and future projects.
Biosolids production
decreased after IRWD
discontinued sending
biosolids.
OC San will continue
executing CIP projects to
support the Final Expansion
of the GWRS.
Maximize the use of treated
e uent for water recycling
by sending secondary
e uent from Plant No. 2 to
the GWRS.
The study of biosolids options
will include o site and onsite
facility, and new and
established technologies.
In December 2017, the Board
approved a new Facilities
Master Plan that lays out a
capital program to deliver and
maintain the levels of service
desired by the Board of
Directors. This is validated and
reinforced every year through
Planning Studies and Asset
Management.
In November 2023, OC San’s
Board approved a 2- Year
Strategic Plan. It de nes
needs and feeds into Capital
Planning. From there, budget
development will be
developed and executed.
Maintaining a rolling two
year, four-step management
process that creates and
maintains vision alignment
between the Board of
Directors, the sta , and the
public we serve.
Develop and maintain a 20-
year Capital Improvement
Program (CIP) to meet the
regulatory, environmental,
health, and safety needs of
a growing population.
Aggressively pursue
biosolid disposal
alternatives.
Continue partnership with
the Orange County Water
District (OCWD) in support of
the GWRS.DR
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Section 2 - Page 21
Orange County at a Glance
Background Information and Description of Services
OC San is a public agency that operates one of the largest
wastewater facilities in the United States of America. Originally
formed in 1954 pursuant to the joint powers provision under the
County Sanitation District Act of the California Health and Safety
Code, OC San then consisted of independent special districts
responsible for wastewater collection within their own
geographical boundaries. These districts were co-participants in
a Joint Agreement to provide for the joint construction,
ownership, and operation of OC San’s Joint Facilities for the
treatment and recycling of wastewater.
On July 1, 1998, the nine-individual existing districts requested to
be consolidated into one district by resolution of the Board of
Supervisors of the County of Orange and special legislation.
OC San is governed by a Board of Directors made up of mayors
or members of city councils, directors of independent special
districts, and one member from the County Board of
Supervisors. A variety of board committees, made up of
members of the Board of Directors, consider topics for action by
the Board and make recommendations to the Board.
OC San is responsible for collecting, treating, and safely
disposing of approximately 185 million gallons of wastewater
each day for an area covering 479 square miles in metropolitan
(central and northwestern) Orange County. OC San’s service
area includes approximately 2.6 million residents and
businesses, or approximately 81 percent of the County’s total
population.
Professional sta of 655.00 full-time equivalent employees
supports OC San’s around-the-clock operation. Sta is
organized into six departments, including the General Manager’s
O ce, Human Resources, Administrative Services,
Environmental Services, Engineering, and Operations and
Maintenance.
As working environmentalists, OC San’s sta is regulated by
many agencies, including the United States Environmental
Protection Agency (U.S. EPA), California Regional Water Quality
Control Board (CRWQCB), CalRecycle, the California Air
Resources Board, and the South Coast Air Quality Management
District (SCAQMD).
OC San operates and is regulated under a National Pollution
Discharge Elimination System (NPDES) ocean discharge permit
issued by the U.S. EPA and the Santa Ana Regional Water
Quality Control Board. This permit was last renewed in August
2021. To maintain OC San’s NPDES operating permit, OC San’s
plants must meet strict conditions set jointly by the regulators.
OC San is actively engaged in discussion with the regulators
during the renewal process.
OC San maintains and operates a large system of trunk sewers
and pump stations in addition to the two modern treatment
plants. The plants use chemical, physical and biological
processes to produce a high- quality e uent. Chemicals used
are either environmentally neutral or biodegradable.
The treated e uent from the Huntington Beach plant is pumped
through a ve-mile, 10-foot diameter ocean outfall pipe. The last
mile of the outfall is a di user section that releases treated water
through more than 500 portholes approximately four-and-a- half
miles o shore.
In January 2008, the Orange County Water District (OCWD) and OC
San began operation of the Groundwater Replenishment System
(GWRS), a joint project by the two agencies to provide reclaimed
water for percolation into the groundwater basin from most of the
secondary e uent pumped from the Fountain Valley plant, or
approximately 92,300 acre- feet per year.
In May 2015, OCWD completed the initial expansion of GWRS that
provided an additional 33,000 acre- feet per year of reclaimed
water; resulting in the puri cation of 100 percent of the treated
wastewater produced at the FountainValley plant.
In November 2019, OCWD and OC San began construction on the
nal expansion of GWRS and was completed in 2023. The nal
expansion of GWRS provides an additional 36,400 acre-feet per
year by utilizing reclaimed water produced at OC San’s Huntington
Beach plant.
Community Pro le of the County of Orange
The County of Orange is bordered on the north by Los Angeles and
San Bernardino counties, on the east by Riverside County, on the
southeast by San Diego County, and on the west and southwest by
the Paci c Ocean. Approximately 42 miles of ocean shoreline
provide many beaches, marinas, and other recreational areas for
use by residents and visitors.
The climate in the County is mild, with an average rainfall of 13
inches. The mean temperature ranges from a minimum of 47
degrees to a maximum of 82 degrees.
The County has become a tourist center in Southern California by
o ering a broad spectrum of recreational opportunities that is
enhanced by the mild climate. Along the shoreline are ve state
beaches and parks, ve municipal beaches and ve county
beaches. There are two small-craft docking facilities in Newport
Harbor, one located in Sunset Beach and another in Dana Point.
Other major recreational and tourist facilities include Disneyland,
Disney California Adventure, Knott’s Berry Farm and Soak City,
Mission San Juan Capistrano, and the Anaheim Convention Center.
Also located within the County is Anaheim Stadium, home of the Los
Angeles Angels of Anaheim of Major League Baseball, and the
Honda Center, home of the Anaheim Ducks of the National Hockey
League.
Economic Outlook
Orange County’s forecasted total payroll employment increased 1.4
percent over the prior year, or the addition of 24,000 payroll jobs in
2023, following an increase of 5.3 percent in 2022. During this
same time period, unemployment in Orange County increased from
3.2 percent to 3.9 percentwhile the unemployment in California as a
whole increased from 4.1 percent to 5.1 percent. Of greater concern
than the short-run e ects of recessionary forces is the long-run
impact of Orange County’s deteriorating position in luring new
advanced
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Section 2 - Page 22
Orange County at a Glance
advanced worker establishments, which are an important
indicator of generating high-value-added jobs.
On the residential property front, the lack of housing a ordability
is wreaking havoc on this all-important sector of Orange
County’s economy that calls for housing a ordability in the
County to reach its lowest level in history during the quarter
ended June 2023. This a ordability of 49.1 would suggest that
median family income is less than half of what is necessary to
purchase a median-priced home. During the second half of
2023, a decline in the 30-year mortgage rate to 5.8 percent by
year-end will push a ordability up to a still relatively low 60.3.
While that's not enough to lead to a meaningful recovery in
home sales, it suggests that the worst may be behind us.
Another factor expected to help push up a ordability is
declining home prices. The average median home price in
Orange County to decline from $1,020,000 in 2022 to $930,000
in 2023, a decline of 8.8 percent. Lower mortgage rates, as well
as a limited supply of homes available for sale, will lead to
stabilizing home prices. An important measure of future
construction activity, residential permits, fell 13.2 percent in
2022. The total number of residential permits in Orange County
is forecasted for a more moderate but continuing decline of 6.6
percent, which would push permit levels to about 6,000 units,
roughly equal to that recorded during the COVID recession year
of 2020.
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Section 3 - Page 1
Fiscal Policy
General Financial Goals
To maintain a nancially viable OC San that can maintain an
appropriate level of wastewater treatment services.
To maintain nancial exibility by adapting to local and
regional economic changes
To maintain and enhance the sound scal condition of OC
San.
To ensure that the value added by every program and
activity within OC San is proportional to its cost; and to
eliminate those programs and activities that do not
contribute to OC San’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
OC San will adopt a balanced budget by June 30 of each
year.
The budget will be used as a scal control device as well
as a nancial plan.
Budget preparation and monitoring will be performed by
each division within OC San, the organizational level of
accountability and control.
The Director of Finance 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 scal 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 su cient to support
current operating expenditures.
Annual budgets including reserves will provide for
adequate design, construction, maintenance and
replacement of OC San capital facilities and equipment.
OC San will maintain all physical assets at a level adequate
to protect OC San’s capital investment and to minimize
future maintenance and replacement costs.
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Fiscal Policy Statement Completed In Progress Comments
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Section 3 - Page 2
OC San will project equipment replacement and
maintenance needs for the next ve years and will update
this projection each year. From this projection a
maintenance and replacement schedule will be developed
and followed.
OC San will avoid budgetary and accounting procedures
that balance the current budget at the expense of future
budgets.
OC San will forecast its expenditures and revenues for each
of the next ve 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.
Sta will estimate annual revenues by an objective,
analytical process that utilizes trend, judgmental, and
statistical analysis as appropriate.
Ad valorem property tax revenues of OC San will be rst
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
OC San will maintain a level of expenditures that provides
for the health, safety and welfare of the residents of the
community.
OC San 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
Capital Improvements Budget Policies
OC San 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.
OC San will develop an annual ve-year plan for capital
improvements, including design, development,
implementation, and operating and maintenance costs.
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 scal year.
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A 20-year CIP Plan is
maintained by OC San.
Fiscal Policy Statement Completed In Progress Comments
Fiscal Policy
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Section 3 - Page 3
Fiscal Policy
Sta will identify which capital projects may have a
signi cant impact on on-going operating and maintenance
costs and estimate the impact as the project is developed.
Sta will identify the estimated on-going future Operating
and Maintenance costs, as well as sta ng requirements
upon completion for each capital project proposal before it
is submitted to the Board of Directors for approval.
OC San 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 OC San’s
priorities, and that the future operating and maintenance
costs of these improvements have been included in the
budget.
Sta 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 re ected 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
Asset Management Policy
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Fiscal Policy Statement Completed In Progress Comments
The condition, performance, utilization, and cost of
assets will be recorded to the major asset 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 asset life cycle.
Reliability Centered Maintenance techniques will be
used to optimize the maintenance plans and to
identify any alterations that are economically
justi ed.
Current levels of asset service including condition,
function/size/type, reliability, and availability have
been determined and documented.
In order to provide for the systematic planning, acquisition,
deployment, utilization control, and decommissioning of
capital assets, the following policies have been established:
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Section 3 - Page 4
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Conditions and
performance of assets
are reported annually
through the Asset
Management Plan.
The full economic cost is charged on all asset
management activities.
Planning Division and Asset Management maintains
appropriate budget and funding strategies that match
the needs of the business to ensure sustainability.
Planning Division considers the real growth of OC
San’s service area and the way in which demands for
service will change in the future, including
population, unit demand, and changing regulatory
requirements.
Monitoring and reporting are performed on the
condition, performance, and reliability of OC San’s
assets against design requirements, prescribed
service levels and regulatory requirements.
An assessment of the relative risks, costs and
bene ts is derived for all investments in capital
works, maintenance, and operations.
Asset management decisions take into account
budgetary constraints and the funding needs of the
whole organization considering their impact on rates.
Necessary renewal projects and programs to sustain
the existing levels of service and condition of assets,
as identi ed 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.
Fiscal Policy Statement Completed In Progress Comments
Vehicles will be operated to ensure the highest
utilization rate possible.
Vehicles may be replaced when they are 7 years old
or have accumulated 75,000 miles, or at the optimal
replacement cycle per industry best practice. Vehicle
utilization rates will assist in determining vehicle
acquisition needs.
Rightsizing of eet will coincide with the budget
preparation process biennially.
Alternative fuels will be incorporated to remain
regulatory compliant.
Electric carts are to be utilized for in-plant use only.
Fleet Management Policy
Vehicles and equipment will be operated, maintained, and
appropriate to the assigned task to ensure the lowest total
cost of ownership. The following policies have been
established:
Fiscal Policy
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Section 3 - Page 5
Fiscal Policy
Short-Term Debt Policies
OC San may use short-term debt to cover temporary or
emergency cash ow shortages. All short-term borrowing
will be subject to Board approval by resolution.
OC San 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 a ected 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 OC San’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 xed costs will be analyzed.
Develop and maintain a board adopted debt policy.
Accumulated Funds & Reserve Policies
A cash ow reserve will be established to fund operations,
maintenance, and certi cates of participation expenses for
the rst half of the scal year, prior to the receipt of the rst
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 criterion 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 operating expenditures that were
not anticipated when the annual budget was considered and
adopted. The level of this criterion will be established at an
amount equal to ten percent of the current scal year’s
annual operating budget.
A capital improvement reserve will be maintained to fund
annual increments of the capital improvement program. The
target level for this criterion has been established at one half
of the average annual cash outlay of the capital
improvement program through the year 2034. Levels higher
and lower than the target can be expected while the long-
term nancing and capital improvement programs are being
nalized.
A renewal/replacement reserve will be maintained to
provide funding to replace or refurbish the current
collection, treatment and recycling facilities at the end of
their useful economic lives. The current replacement value
of these facilities is estimated to be $14 billion. The reserve
criterion level had been established at $75 million.
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Fiscal Policy Statement Completed In Progress Comments
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Catastrophic loss, or self-insurance, reserves will be
maintained for property damage including re, ood,
earthquake, and litigation, for general liability, and for
workers' compensation. This reserve criterion is intended to
work with purchased insurance policies, FEMA and State
disaster reimbursements. Based on the plant infrastructure
replacement value, the level of this criterion has been set to
fund OC San’s non-reimbursed costs, estimated to be $100
million.
A debt service reserve will be maintained at ten percent of
the outstanding certi cate of participation (COP) issues.
Other debt service reserves are required to be under the
control of a Trustee by the provisions of the COP issues.
These funds are not available for the general needs of OC
San and must be maintained at speci ed levels.
Investment Policies
OC San’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
OC San’s accounting and nancial 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 OC
San assets, their condition, historical cost, replacement
value, and useful life.
Quarterly nancial 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 nancial
statements and bond representations.
OC San will maintain a good credit rating in the nancial
community.
An annual audit will be performed by an independent public
accounting rm with the subsequent issue of an o cial
Annual Comprehensive Financial Report, including an audit
opinion and a management letter.
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Fiscal Policy Statement Completed In Progress Comments
OC San’s AAA rating
was rea rmed with
the $157.6 million
2024A Revenue
Refunding debt
issuance.
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Fiscal Policy
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Section 3 - Page 7
Auditor Committees
Audit Procurement
Internal Auditors
O ering Statements and the Independent
Auditor's Role
Meeting and Exceeding Minimum GAAP Financial
Reporting Requirements
Policies and Procedures Documentation
Control Over Items That Are Not Capitalized
Capitalization Thresholds for Capital Assets
Inventories of Tangible Capital Assets
Municipal Solid Waste Management and Full-Cost
Accounting
Measuring the Full Cost of Government Service
Indirect Cost Allocation
Disaster Recovery Cost Documentation
Disaster Recovery for Technology
Grants Administration
Accounting for Leases
Internal Control De ciencies in Audits
Internal Control Environment
Internal Control for Grants
Internal Control and Management Involvement
Whistleblowing
Nonauthoritative Considerations in the
Preparation of an Annual Comprehensive
Financial Report
Website Posting of Financial Documents
Meeting and Exceeding Minimum GAAP Financial
Reporting Requirements
Fund Accounting Applications
Timely Financial Reporting
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GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
Administrative Committee
serves as an audit committee.
Administrative Committee
directs internal audits.
OC San does not provide
solid waste services.
Not
Applicable
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Accounting and Financial Reporting Best Practices
GFOA Best Practices and Advisories
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Section 3 - Page 8
Department Reports and Management's
Discussion and Analysis
Department Reports and Supplementary
Information
Popular Reporting of Financial Information
Periodic Disclosure and the Annual
Comprehensive Financial Report
Budgetary Comparisons as Part of the Basic
Financial Statements
Tax Abatement Transparency
Accounting and Financial Reporting for Fiduciary
Activities
Special Revenue Funds Used for Budgeting, but
Not Financial Reporting
Securities Lending Transactions in Financial
Statements
Achieving a Structurally Balanced Budget
Adopting Financial Policies
Fund Balance Guidelines for the General Fund
Working Capital Targets for Enterprise Funds
Establishment of Strategic Plans
Long-Term Financial Planning
Role of the Finance O cer in Supporting Fiscal
Sustainability
Establishing an E ective Grants Policy
Establishing Government Charges and Fees
Pricing Internal Services
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GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
Not required for
proprietary fund types.
Budget to actual
comparisons included in
unaudited quarterly
nancial reports.
OC San does not have
tax abatement
agreements.
OC San does not have
duciary activities.
OC San does not have
special revenue funds.
OC San does not have
securities lending
transactions.
OC San only has
proprietary fund types -
established a formal
policy on the level of
unrestricted net position.
Not
Applicable
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Budgeting Best Practices
GFOA Best Practices and Advisories
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Section 3 - Page 9
Evaluating Service Delivery Alternatives
Financial Forecasting in the Budget Preparation
Process
In ationary Indices in Budgeting
The Use of Trend Data and Comparative Data for
Financial Analysis
Basis of Accounting versus Budgetary Basis
E ective Budgeting of Salary and Wages
Public Engagement in the Budget Process
Role of the Finance O cer in Collective
Bargaining
Strategies for Managing Health-Care Costs
Budget Monitoring
Performance Measures
Accurately Displaying Total Expenditures in
Budget Presentations (Budget Consolidation)
Capital Budget Presentation
Departmental Presentation in the Operating
Budget Document
Making the Budget Document Easier to
Understand
The Statistical/Supplemental Section of the
Budget Document
Website Posting of Financial Documents
Capital Asset Management
Role of the Finance Director in Capital Asset
Management
Strategies for Establishing Capital Asset Renewal
and Replacement Reserve Policies
Capital Planning Policies
Environmentally Responsible Practices in Capital
Planning
Coordinating Economic Development and Capital
Planning
Multi-Year Capital Planning
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GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
OC San does not use a
budgetary basis of
accounting.
Not
Applicable
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GFOA Best Practices and Advisories
Capital Planning and Infrastructure Best PracticesDR
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Section 3 - Page 10
Master Plans and Capital Improvement Planning
Technology in Capital Planning and Management
Communicating Capital Improvement Strategies
Capital Budget Presentation
Establishing an Economic Development Incentive
Policy
Coordinating Economic Development and
Capital Planning
Role of the Finance O cer in Economic
Development
Creation, Implementation, and Evaluation of Tax
Increment Financing
Evaluating And Selecting Economic
Development Projects
Negotiating Economic Development
Agreements
Administering Economic Development
Agreements
Monitoring Economic Development Performance
Investment Policy
Investment Program for Public Funds
Diversifying the Investment Portfolio
Collateralizing Public Deposits
Government Relationships with Securities
Dealers
Investment and Management of Bond Proceeds
Mark-to-Market Reporting for Public Investment
Portfolios
Monitoring the Value of Securities in
Repurchase Agreements
Managing Market Risk in Investment Portfolios
Using Benchmarks to Assess Portfolio Risk and
Return
Selection and Review of Investment Advisors
GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
OC San does not use
economic development
incentives.
OC San does not utilize
tax increment nancing.
OC San does not have
economic development
projects.
Not
Applicable
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Treasury and Investment Management Best Practices
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GFOA Best Practices and Advisories
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Section 3 - Page 11
Using Safekeeping and Third-Party Custodian
Services
Local Government Investment Pools
Establishing a Policy for Repurchase Agreements
Ensuring the Safety of Reverse Repurchase
Agreements
Using Commercial Paper in Investment Portfolios
Use of Derivatives and Structured Investments by
State and Local Governments for Non-Pension
Fund Investment Portfolios
Securities Lending Programs for Non- Pension
Fund Portfolios
Receivables and Handling Receipts in the
Treasury O ce
Payments Made by Governments
Using Cash Forecasts for Treasury and
Operations Liquidity
Abstain from Using and INvesting in
Cyrptocurrency for Government Operations
Bank Account Fraud Prevention
Payments Made by Governments
Use of Lockbox Services
Accepting Payment Cards and Selection of
Payment Card Service Providers
Payment Consolidation Services
Using Remote Deposit Capture
Procurement of Financial Services
Due Diligence on Bank and Treasury
Management Providers
Using Purchasing Cards to Streamline the
Purchasing Process
Revenue Control Policy
GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
OC San investment
policy does not allow
derivative investments.
Not
Applicable
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GFOA Best Practices and Advisories
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OC San does not have
su cient cash-related
transactions to use
lockbox services. The
majority of revenues
are collected on the
property tax roll.
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Section 3 - Page 12
GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
Not
Applicable
Debt Management Best Practices
Using Mutual Funds for Cash Management
Purposes
Receivables and Handling Receipts in the
Treasury O ce
Using Cash Forecasts for Treasury and
Operations Liquidity
Electronic Vendor Fraud
Issuer's Role in Selection of Underwriter's
Counsel
Types of Legal Counsel
Selecting and Managing Municipal Advisors
Selecting Bond Counsel
Selecting and Managing Underwriters for
Negotiated Bond Sales
Issuing Taxable Debt
Bank Loans and Direct Placements
Evaluating the Sale and Securitization of Property
Tax Liens
Using Variable Rate Debt Instruments
Pension Obligation Bonds
Use of Debt-Related Derivatives Products
Refunding Municipal Bonds
Debt Issuance Transaction Costs
Expenses Charged by Underwriters in
Negotiated Sales
Issuing Taxable Debt
Pricing Bonds in a Negotiated Sale
Selecting and Managing the Method of Sale of
Bonds
Using Credit Rating Agencies
Underwriter Disclaimers in O cial Statements
“ESG” Best Practice - “E” Environmental
“ESG” Best Practice - “S” Social
“ESG” Best Practice - “G” Governance
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GFOA Best Practices and Advisories
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Section 3 - Page 13
Maintaining and Investor Relations Program
Understanding Your Continuing Disclosure
Responsibilities
Using Technology for Disclosure
Primary Market Disclosure
Voluntary Disclosure
Marketing Municipal Bonds as Green,
Sustainable, Social, or Other Alternatively
Designated Bonds
Debt Management Policy
Refunding Municipal Bonds
Investment and Management of Bond Proceeds
Post-Issuance Policies and Procedures
Debt Service Payment Procedures
Managing Build America and other Direct
Subsidy Bonds
GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
Not
Applicable
GFOA Best Practices and Advisories
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Sustainable Pension Bene t Tiers
Developing a Policy to Participate in Securities
Litigation Class Actions
Developing a Policy for Retirement Plan Design
Options
OPEB Governance and Administration
Governance of Public Employee Postretirement
Bene ts Systems
Preparing an E ective Summary Plan Description
Educating Employees about the Adequacy of
Retirement Bene ts
Selecting Third-Party Investment Professionals
for Pension Fund Assets
The Use of Early Retirement Incentives
Deferred Retirement Option Plans
In-Kind Asset Transfer to De ned Bene t Pension
Plans
Asset Allocation for De ned Bene t Plans
Core Elements of a Funding Policy
Pension and Bene t Administration Best Practices
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Section 3 - Page 14
GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
Not
Applicable
Design Elements of De ned Bene t Retirement
Plans
Enhancing Reliability of Actuarial Valuations for
Pension Plans
Hybrid Retirement Plan Design
Investment Fee Guidelines for External
Management of De ned Bene t Plans
Investment Policies for De ned Bene t Plans
The Role of the Actuarial Valuation Report in Plan
Funding
Sustainable Funding Practices for De ned
Bene t Pensions and Other Postemployment
Bene ts (OPEB)
Pension Obligation Bonds
Responsible Management and Design Practices
for De ned Bene t Pension Plans
Asset Allocation for De ned Contribution Plans
De ned Contribution Retirement Plan Design
Hybrid Retirement Plan Design
Monitoring and Disclosure of Fees for De ned
Contribution Plans
Participant Education Guidance for De ned
Contribution Plans
De ned Contribution Plan Fiduciary
Responsibility
Brokerage Window Options for De ned
Contribution Plans
Establishing and Administering an OPEB Trust
OPEB Governance and Administration
Ensuring Other Postemployment Bene ts (OPEB)
Sustainability
Sustainable Funding Practices for De ned
Bene t Pensions and Other Postemployment
Bene ts (OPEB)
Core Elements of a Funding Policy √
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OC San does not have
a de ned contribution
plan.
OC San does not have
an OPEB trust fund.
Pay-as-you-go method
utilized.
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GFOA Best Practices and Advisories
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Section 3 - Page 15
Other Potemployment Bene ts (OPEB) Bonds
Communicating Health-Care Bene ts to
Employees and Retirees
Strategic Health-Care Plan Design
Comply with the A ordable Care Act
Patient Protection and A ordable Care Act
Compliance
Investment Policies for Tax-Deferred Retirement
Savings Plans
Investment Policies for De ned Bene t Plans
Investment Fee Guidelines for External
Management of De ned Bene t Plans
Selecting Third-Party Investment Professionals
for Pension Fund Assets
Commission Recapture Programs
Procuring Actuarial Services
Actuarial Audits
Disclosures of Pension Funding Obligations in
O cial Statements
GFOA Best Practices and Advisories
Compliance
Met
In
Progress Comments
Not
Applicable
GFOA Best Practices and Advisories
Risk Assessment Best Practices
Enterprise Risk Management
Business Preparedness and Continuity
Guidelines
Disaster Preparedness
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Section 3 - Page 16
Overview of the Budget Process
Budget Process
Sixteen years ago, OC San prepared its rst complete budget
document covering two years instead of one. The next year a
smaller budget update document was prepared to summarize
revisions to the second year of the previously adopted two-year
budget period. This two-year cycle approach to budget
preparation is expected to continue for the inde nite future.
This change has not caused any modi cation to the previously
established stages of the annual budget process except with
regard to the level of detail which is provided. The timing of all
stages of the budget process remains consistent from year to
year. In the second year of a two-year cycle, however, the focus
is on any changes that need to be made to the upcoming year’s
budget relative to what was previously submitted, reviewed, and
approved for that budget during the prior year.
OC San’s annual budget preparation process begins in January
of each year and concludes in June upon its adoption. However,
the entire budget process extends beyond one year and
overlaps with the preceding budget and the subsequent
budget. As shown in the chart above, the budget process
consists of four major parts. These parts occur at various stages
throughout the year as follows:
Team Approach
As identi ed by one of the scal policies, the budget preparation
process originates at the division level, the organizational level of
accountability and control. Budget coordinators are established to
represent each operating division. A comprehensive budget manual
is prepared and used as the training manual during a training
session with the budget coordinators.
After the initial divisional budgets are prepared, budget review
sessions are scheduled for each division with the General Manager.
It is during these sessions that all proposed sta ng levels,
programs, and line item expenses are justi ed. Next senior
management representatives from each department analyze
opportunities for consolidating programs and eliminating
unnecessary requests. Guidance is also sought and utilized from
OC San’s committees on various issues that a ect budget
development.
- January 18
- February 15
- March 4-8
- March 18-22
- June 5 & 12
- June 26
Execution - starts from the rst day of the budget year, July 1,
through the entire budget year and beyond into November
with the presentation of the annual audit report.
Key dates in this budget cycle are:
Preparation/Planning - takes place from January through
March.
Integration - runs from March through May.
Passage - adoption of the budget usually occurs in June
of each year.
Budget Kick-o Meeting
Department Budget Submissions
Preliminary Budget Review
General Manager Budget Review
Presentation to Board Committees
Public Hearing & Board Adoption
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Section 3- Page 17
The Process
The budget preparation process begins in January with the
distribution of the budget manual, budget preparation training,
and issuance of personnel budget and justi cation forms, and
equipment budget forms to all of the Divisions.
In March, the Financial Management Division develops divisional
level budgets based on the request forms received from the
various divisions. These divisional budgets are then reviewed in
mid- March by the General Manager along with the Department
and Divisional managers for each program request and for new,
additional, or reduced services, positions, and capital outlay.
The Capital Improvement Program requests are prepared from
October through March and are reviewed by Engineering
Department and Divisional managers prior to being submitted to
the General Manager for review and evaluation as part of the
budget process.
In determining recommended allocation levels, the General
Manager takes into consideration the projected amount of
available resources, direction provided by the Directors, OC
San’s scal policies, and how to best provide the most cost-
e ective and e cient service levels to the public. After a nal
review of the operating budgets by the General Manager, the
proposed annual budgets are nalized in late May and then
distributed to the Directors for consideration.
The General Manager presents the proposed budget to the
various Directors’ Committees for deliberations throughout the
month of June. The proposed budget is scheduled for adoption,
along with any revisions by the Board, at the Board of Directors
meeting in June.
Level of Control and Amendments to the Budget
Budgetary control, the level at which expenses cannot legally
exceed the appropriated amount, isexercised at the individual
Department level. Administrative policies provide guidelines on
budget transfers and the authorization necessary to implement
transfers. Generally, there are two types of budget transfers:
1. Budget Adjustment
This is a transfer which does not change the total appropriated
amount and does not require Board action. Depending on the
budget category a ected by the transfer, approval may be
granted at the General Manager or Department Head level as
follows:
Department Heads have discretion to reapportion funds
between certain line items within a division but may not exceed
total appropriated amounts for each department. They also may
transfer sta across divisional lines within their department. The
General Manager and Board of Directors must approve
additional capital outlay items. Funds appropriated for salaries
and bene ts may not be expended for any other purpose unless
approved by the Board. The General Manager may transfer
operating funds within and between divisions and departments.
The General Manager may also transfer sta positions between
departments.
2. Budget Amendment
This is an adjustment to the total appropriated amount, which was
not included in the original budget. These supplemental
appropriations require formal action by the Board of Directors.
Types of modi cations can be categorized as follows:
Prior year reserves or fund balances may be appropriated to
fund items not previously included in the adopted budget.
Reserves/fund balances exceeding minimum amounts required
by scal policy may be appropriated if it is determined to be in
the best interest of OC San. Directors may also appropriate
reserves in case of emergencies or unusual circumstances.
Transfers between Revenue Areas require formal action by the
Board of Directors.
Unexpended appropriations automatically lapse at the end of the
scal year and are included in the ending fund balances.
FY 2024-25 and FY 2025-26 Proposed Budget
Assumptions
Economic Assumptions
Revenue Assumptions
In ation for the Los Angeles-Long Beach- Anaheim
Orange County has seen a percentage increase in
consumer price index (CPI-U) of 2.8% for 2023.
A 3.0 percent in ation factor will also be used for FY
2025-26
Based upon the proposed Sewer Service Fee Rate Schedule
to be approved by the Board in March 2023, the single-
family residence (SFR) rate will increase by $13 (3.6 percent)
to $371 in FY 2024-25, which is less than the projected CPI.
Note that each $1 increase in the SFR rate generates
approximately $900,000 per year.
The capital facilities capacity charge (CFCC) fee captures
only those infrastructure costs that relate to additional
capacity. The proposed CFCC fee to be approved by the
Board in March 2023 will increase by 11.6 percent for FY
2024-25. Other infrastructure costs such as improved
treatment, rehabilitation, refurbishment, and replacement,
will be supported through user fees.
Given the Facilities Master Plan adopted in December 2017, a
rate study was completed in December 2022 to ensure that
the CFCC fee methodology remains equitable and to con rm
that an appropriate share of system costs would be
recovered from new development.
Revenues will be budgeted to re ect little growth in
Equivalent Dwelling Unit (EDU) connections that have
remained at over the past ve years.
Overview of the Budget Process
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Section 3- Page 18
Budget Assumptions
Revenues will be budgeted to re ect little growth in
Equivalent Dwelling Unit (EDU) connections that have
remained at over the past ve years.
Permit user rates for ow will increase by 4.7 percent,
Biochemical Oxygen Demand (BOD) will increase by 5.6
percent and Total Suspended Solids (TSS) will increase
by 5.0 percent for FY 2024-25 based upon the Rate
Study completed in December 2022.
Annexation fees capture both the net current assets and
the equivalent property tax allocations totaling $4,235
per acre.
Annexable property in OC San’s service area sphere is
minimal; consequently, no FY 2024-25 income from
annexation fees is anticipated.
Property tax revenues are preliminarily estimated to
increase by approximately 7.8 percent from FY 2023-24
to $117.6.
A 2.0 percent annual increase in Assessed Value is
authorized by the state constitution and is included in
the increases noted above. The additional increase in
assessed value is from authorized increases to market
value when property is sold at a higher value.
A 4.0 percent vacancy factor on authorized positions has
been budgeted for FY 2024-25. The actual vacancy factor is
currently running at 10.4 percent, but is on a downward
trend due to the streamlined recruitment processes now in
place. This vacancy factor accounts for time spent for
recruitment and turnover.
The Memorandums of Understanding (MOUs) for the OCEA,
the Local 501, and the Supervisor and Professional (SPMT)
groups expire on June 30, 2025. Anticipated salary
adjustments will be included in the budget for all employee
bargaining units.
Retirement costs for employees enrolled in Orange County
Employees Retirement System (OCERS) Plan H (191
employees) are estimated at a rate of 13.36 percent of the
employee’s base salary for FY 2024-25, down from 13.47
percent in FY 2023-24. The rates for Plan H include OC
San’s pickup of 3.5 percent of employees’ required
contributions.
Employees enrolled in OCERS Plan B (52 employees) are
estimated at a rate of 12.81 percent of the employee’s base
salary for FY 2024-25, down from 13.09 percent in FY 2023-
24
All employees hired on or after January 1, 2013, are enrolled
in OCERS Plan U (365 employees) and are estimated at a
rate of 9.97 percent for FY 2024-25, up from 9.82 percent in
FY 2023-24. Interns are not enrolled in OCERS, so their
retirement bene ts are calculated at 6.2 percent (FICA rate).
Other employee bene ts and insurances will be budgeted
to increase in FY 2024-25 by moderate but yet to be
determined amounts.
Operating Assumptions
Earnings on the investment of OC San’s operating cash
and reserves will be budgeted at 2.0 percent of the
average cash and investment balance projected for the
scal year.
No additional debt issuance is scheduled for FY 2024-
25.
Employee/Sta ng Assumptions
Sta ng level is expected to increase in support of the
Capital Improvement Program. The total FY 2023-24
authorized sta ng level is 655.00 FTEs, excluding
Management Discretion positions.
Vacant positions as of 12/31/23 are budgeted at 50
percent of step 1 for the remainder of FY 2023-24 and at
100 percent of step 2 for FY 2024-25.
New positions will be projected at 100 percent of step 1
for FY 2024-25.
Operating expenses are expected to increase from the
adopted FY 2023-24 budget of $221.9 million.
Average daily ows are projected at 185 mgd for FY
2024-25 and FY 2025-26. The FY 2024-25 ow
projection of 185 mgd conssitent with the prior budget.
Materials, Supplies & Services Assumptions
The proposed operating budget will continue to re ect an
emphasis on safety, security, and maintenance of plant
assets and infrastructure.
An amount equal to one percent of the Operating materials
and services budget will be a contingency for prior year re-
appropriations. Since the current year’s budget lapses on
June 30, a contingency is needed in the succeeding budget
year for goods or services ordered at the end of one budget
year but not delivered until the following year.
An amount equal to one percent of the Operating materials
and services budget will be the General Manager’s
contingency budget. These funds will be allocated to
appropriate line items during the year after requests and
justi cations for unanticipated needs are approved by the
General Manager.
Resource needs for strategic initiatives will be included in
the budget.
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Section 3- Page 19
Capital Improvement Program Assumptions
The FY 2024-25 and FY 2025-26 cash ow budget,
based on the most current Validated Capital
Improvement Program (CIP), is the target.
The baseline CIP cash ow for FY 2024-25 is $253.5
million and for FY 2025-26 is $317.3 million.
Continual evaluation of the CIP by the Asset
Management Team may result in deferral or reduction of
some projects and a resultant increase in O&M repair
costs for materials and services, if the net cash ow
impact is a decrease.
For the rst six months of FY 2023-24, $94.8 million
of the $272.2 million CIP budget, approximately 34.8
percent, was expended.
Debt Financing
OC San will issue new debt in the form of Certi cates of
Participation (COP) as needed to fund the CIP and to
maintain reserves.
No additional debt issuance is scheduled for FY 2024-
25 and FY 2025-26.
Debt will only be used for CIP and capital expenses, not
for operating expenses.
Capital nancing plans no longer include future
borrowings over the next ten years as the approved user
fee schedule is considered su cient.
Borrowing is proposed only for facilities which do not
add capacity and that are funded by all users for
replacement, rehabilitation, and improved treatment.
Upon COP’s becoming callable or maturing, a
determination will be made as to the bene t of paying
o the obligation or re nancing the debt.
Reserve Assumptions
The existing reserve policy is summarized as follows:
A capital improvement criterion 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 criterion has been
established at one-half of the average annual capital
improvement program over the next ten years.
A catastrophic loss, or self-insurance, criterion will be
maintained for property damage including re, ood,
earthquake, and litigation, for general liability and for
workers' compensation. This criterion is intended to work
with purchased insurance policies, FEMA disaster
reimbursements and State disaster reimbursements. The
potential infrastructure loss from a major earthquake, of
which OC San currently has limited outside insurance
coverage of $25 million, has been estimated to be as high
as $1.3 billion. The level of this criterion has been set at $100
million should such a catastrophic event occur. This criterion
amount will assist OC San with any short-term funding needs
until Federal and State assistance becomes available.
Accumulated capital funds will be set aside for certain
speci c, short-term capital improvements as the need and
availability arise.
A capital replacement/renewal criterion has been
established to provide thirty percent of the funding to
replace or refurbish the current collection, treatment and
disposal facilities at the end of their useful economic lives.
Based on the Facilities Evaluation Report completed in
December 2017, the current replacement value of these
facilities is estimated to be $3.85 billion for the collection
facilities and $7.75 billion for the treatment and disposal
facilities. The criterion level has been established at $75
million, which will be augmented by interest earnings and a
small portion of the annual sewer user fee, in order to meet
projected needs through the year 2030.
A cash ow criterion will be established to fund
operations, maintenance and certi cates of participation
expenses for the rst half of the scal year, prior to
receipt of the rst installment of the property tax
allocation and sewer service user fees which are
collected as a separate line item on the property tax bill.
The level of this criterion 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 criterion 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
criterion will be established at an amount equal to ten
percent of the annual operating budget.
Provisions of the various certi cates of participation (COP)
issues require debt service reserves to be under the control
of the Trustee for that issue. These reserve funds are not
available for the general needs of OC San and must be
maintained at speci ed levels. The current level of required
COP service reserves is projected to be $12.6 million.
Accumulated funds exceeding the levels speci ed by OC
San policy will be maintained for future capital
improvements and rate stabilization. These funds will be
applied to future years' needs in order to maintain rates or to
moderate annual uctuations. There is no established target
for this criterion.
Miscellaneous
The budget document will be in a bi-annual format with two,
one-year budgets presented for FY 2024-25 and FY 2025-
26.
The budget worksheets for operating costs will contain one
column for FY 2024-25 and one column for FY 2025-26.
The column will represent all collection, treatment, and
disposal/reuse costs.
Budget Assumptions
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Section 3- Page 20
Accounting System and Budgetary Control
Fund Accounting & Proprietary Funds
The accounts of OC San are organized within one Enterprise
Fund, a Proprietary Fund Type. OC San’s Enterprise Fund is
comprised of two Revenue Areas which are identi ed as
Revenue Area 14 and the Consolidated Revenue Area (Revenue
Area 15). Each Revenue Area includes a share of capital outlay
activities, self-insurance activities, debt service activities, and
operating activities. These activities are allocated to each
Revenue Area based on sewage ows, location, or level of
participation in speci c programs.
Enterprise Funds are used to account for operations that are
nanced and operated in a manner similar to a private business
enterprise, where the costs (expenses, including depreciation)
of providing goods or services to the general public on a
continuing basis are nanced or recovered through user
charges.
Basis of Accounting
Basis of accounting refers to the point at which revenues and
expenses are recognized in the accounts and reported in the
nancial statements. Enterprise funds are accounted for on the
ow 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 ows.
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 OC San.
Although OC San 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, OC San 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.
Internal Controls
OC San is responsible for establishing and maintaining an
internal control structure designed to ensure that the assets of
the government are protected from loss, theft, or misuse and to
ensure that adequate accounting data are compiled to allow for
the preparation of nancial statements in conformity with
generally accepted accounting principles. The internal control
structure is designed to provide reasonable, but not absolute,
assurance that these objectives are met. The concept of
reasonable assurance recognizes that the cost of a control
should not exceed the bene ts likely to be derived and that the
valuation of costs and bene ts requires estimates and
judgments by management.
Budgetary Control
Budgetary controls are maintained to ensure compliance with legal
provisions embodied in the annual appropriated budget approved
by the Board of Directors. The budgetary level of control, the level
at which operating expenses cannot legally exceed the
appropriated amount, is exercised at the department level.
Accounting System & Budgetary Control
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Section 3- Page 22
Orange County Sanitation District
Fund Structure Diagram
Fund Structure Diagram
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Section 3- Page 22
Revenue Sources
OC San has a variety of revenue sources available for operating
and capital expenses. The major revenue sources are as
follows:
These sources have generally accounted for more than 90
percent of the total revenue to OC San. The following graph
summarizes revenues from all sources for OC San over the past
two scal years, the current year, and through the following two
proposed budget years:
Total revenues decreased from $526.2 million in FY 2022-23 to
a projected $522.9 million in FY 2023-24, or $3.3 million.
In FY 2024-25, revenues are being proposed at $531.7 million,
an increase of $8.8 million, or 1.7 percent over the prior year
budget. This increase is primarily attributable to the increases of
$6.7 million in general user fees, and $7.6 million in property
taxes revenue.
In FY 2025-26, revenues are being proposed at $576.9 million,
an increase of $45.2 million, or 8.5 percent over the prior year.
This increase is primarily attributable to an increase in user fees
that is expected to generate an additional $11.2 million. Property
tax revenue is expected to generate an additional increase of
$2.3 million, or another projected increase of 2.0 percent over
the prior year.
Property Taxes
The County is permitted by State law (Proposition 13) to levy taxes at
one percent of full market value (at time of purchase) and can
increase the assessed value no more than two percent per year. OC
San receives a share of this basic levy proportionate to the amount
that was received in the 1976 to 1978 period less $3.5 million, the
amount that represents the State's permanent annual diversion from
special districts to school districts that began in 1992-93.
OC San's annual share of the one percent ad valorem property tax
levy is rst dedicated for the payment of COP debt service. The
apportionment of the ad valorem tax is pursuant to the Revenue
Program adopted in April 1979 to comply with regulations of the
Environmental Protection Agency, the State Water Resources
Control Board, and in accordance with COP documents and Board
policy.
As shown in the graph above, property tax revenues increased from
$106.6 million in FY 2022-23 to a projected $115.3 million in FY
2023-24, primarily due to the robust economy and strong housing
and commercial property markets beginning. Property tax revenues
are now being projected to increase 2.0 percent per year through
FY 2025-26.
Historically OC San’s property tax revenues exceeded OC San’s
debt service obligations. This trend should continue with debt
service obligations leveling o and no new planned COP debt
issuances.
426.5426.5426.5
526.2526.2526.2 522.9522.9522.9 531.7531.7531.7 567.9567.9567.9
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Property Taxes ($ Amount in Millions)
Five Year Trend
Revenues ($ Amount in Millions)
Five Year Trend
100.8100.8100.8 106.6106.6106.6 115.3115.3115.3
99.299.299.2 100.7100.7100.7
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User Fees
Property Taxes
Industrial Waste Permit User Fees
Interest Earings
Debt Proceeds
Revenue Sources
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Section 3- Page 23
User Fees
User fees are ongoing fees for service paid by customers
connected to the sewer system. A property owner, or user, does
not pay user fees until connected to the sewer system and
receiving services. Once connected, a user is responsible for
their share of the system's costs, both xed and variable, in
proportion to the user’s demand on the system.
In addition, the Consolidated Revenue Area charges industrial
and commercial user fees to customers discharging high-
strength or high-volume wastes into the sewer systems.
Revenue Area No. 14 needs are funded by IRWD. Previously OC
San had been able to avoid or minimize user fee increases by
reducing operational costs through reorganizing and
streamlining agency operations. As a result of the capital
improvement program expansion and the rehabilitation and
refurbishment of existing facilities, annual increases in user fees
are required.
In 2007, OC San sta conducted strategic planning workshops
with the Board of Directors to layout a capital program to deliver
the levels of service desired by the Board of Directors. These
levels of service and resulting capital projects are included in
OC San’s Strategic Plan that were most recently updated in
November 2023. The original e ort was reinforced through the
adoption of a new Master Plan in December 2017, a planning
e ort to de ne OC San’s goals, responsibilities, and
requirements over the next 20 years, and includes projections
through the assumed “build-out” of OC San’s service area to the
year 2050. Incorporating the 2017 Master Plan into the CIP
validation for FY 2024-25, the current CIP includes projects
outlays of $3.2 billion over the next ten years.
In March of 2023, following a Proposition 218 notice process,
the Board approved sewer rate increases for each year over the
next ve years averaging approximately 3.5 percent a year.
These increases are necessary to balance the funding of
operating expenses and capital improvements with current
revenues and existing debt, and to minimize the increase in
rates over an extended period of time.
The impact of this ve-year sewer fee schedule has increased the
single family residence user fee rate, on average, 3.5 percent a year
from $358 in FY 2023-24 to $371 in FY 2024-25. These rate
increases by OC San are still well below the average annual sewer
rate of $523 being charged throughout the State according to the
2018 California Wastewater Charge Survey by the State Water
Resources Control Board.
Interest Earnings
Interest earnings are generated from the investment of accumulated
reserves consisting of a cash ow/contingency, a capital
improvement, a capital replacement/refurbishment, and a self-
insurance reserve, all projected to total $861 million on July 1, 2024.
OC San’s reserves are invested in accordance with OC San’s
investment policy and the State Government Code through an
outside money manager, and an independent custodian bank.
Interest and investment earnings uctuate from year to year based
on the timing of CIP outlays and debt issuances, which impact the
available balance in reserves for investing, and in the rise and fall of
xed- income investment market yields.
Debt Service Property Tax
2020 2025 2030 2035
0
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100
150
Net User Fees
($ Amount in Millions)
Debt Service vs. Property Tax Receipts
($ Amount in Millions)
323.1323.1323.1 326.8326.8326.8 319.6319.6319.6
349.8349.8349.8 364.5364.5364.5
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Revenue Sources
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Section 3- Page 24
OC San’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 loss on
investments were 3.5 percent in FY 2021-22 and 1.0 percent
gain on investment in FY 2022-23. Interest and investment
earnings are projected to be approximately 3.7 percent in FY
2023-24 due to the e ects on the markets and economy.
OC San is proposing an interest earnings rate of 2.0 percent in
both FY 2024-25 and FY 2025-26 to generate earnings of $17.1
million and $17.0 million, on annual average investment portfolio
projections, with scal year end balances of $867.0 billion and
$849.2 million in FY 2024-25 and FY 2025-26, respectively.
Debt Proceeds
Over the next ten years, OC San is projecting an additional $3.2
billion in future treatment plant and collection system capital
refurbishments. In order to minimize annual sewer rate increases
in the long- term, all of these refurbishments are being proposed
to be funded from user fees with no issuances of new money
debt issuances.
Teeter Plan
In June 1993, the County of Orange adopted the Teeter Plan
pursuant to Sections 4701 through 4717 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 participating agencies.
OC San participates in the Teeter Plan program and receives its
full share of property tax and user fees from the secured roll,
whether or not these taxes and user fees have been collected.
The Teeter Plan provides OC San with stable and timely cash
ow without the collection risk. The County, in exchange for
assuming the collection risk, receives the delinquent taxes and
user fees, penalties and interest for the defaulted properties
when paid.
As of April 30, 2024 OC San has received $400,128,453 in tax
and user fees from the County, or 97.1 percent of the total tax and
user fee levy.
Interest Earnings
($ Amount in Millions)
(35.3)(35.3)(35.3)
12.112.112.1
51.151.151.1
17.117.117.1 17.017.017.0
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Revenue Sources
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Where the Money Comes From - FY 2024-25
Section 4 - Page 1
Where the Money Goes - FY 2024-25
Capital Improvement ReserveCapital Improvement Reserve: $ 529,494,059 (38.0%): $ 529,494,059 (38.0%)Capital Improvement Reserve: $ 529,494,059 (38.0%)
Cash Flow/Contigency ReserveCash Flow/Contigency Reserve: $ 155,545,601 (11.2%): $ 155,545,601 (11.2%)Cash Flow/Contigency Reserve: $ 155,545,601 (11.2%)Debt Service ReserveDebt Service Reserve: $ 75,817,000 (5.4%): $ 75,817,000 (5.4%)Debt Service Reserve: $ 75,817,000 (5.4%)
Self-Insurance ReserveSelf-Insurance Reserve: $ 100,000,000 (7.2%): $ 100,000,000 (7.2%)Self-Insurance Reserve: $ 100,000,000 (7.2%)
FeesFees: $ 383,571,068 (27.5%): $ 383,571,068 (27.5%)Fees: $ 383,571,068 (27.5%)
Interest & MiscInterest & Misc: $ 21,692,122 (1.6%): $ 21,692,122 (1.6%)Interest & Misc: $ 21,692,122 (1.6%)
Intradistrict TransfersIntradistrict Transfers: $ 3,500,000 (0.3%): $ 3,500,000 (0.3%)Intradistrict Transfers: $ 3,500,000 (0.3%)
Property TaxesProperty Taxes: $ 117,624,920 (8.4%): $ 117,624,920 (8.4%)Property Taxes: $ 117,624,920 (8.4%)
Self-Insurance RevenuesSelf-Insurance Revenues: $ 5,166,529 (0.4%): $ 5,166,529 (0.4%)Self-Insurance Revenues: $ 5,166,529 (0.4%)
FY 2024-25 Total Funding Sources - $ 1,392,411,299
FY 2024-25 Total Funding Uses - $ 1,392,411,299
OperationsOperations: $ 232,674,493 (16.7%): $ 232,674,493 (16.7%)Operations: $ 232,674,493 (16.7%)
Self-Insurance ProgramSelf-Insurance Program: $ 5,166,529 (0.4%): $ 5,166,529 (0.4%)Self-Insurance Program: $ 5,166,529 (0.4%)
Joint CapitalJoint Capital: $ 167,195,115 (12.0%): $ 167,195,115 (12.0%)Joint Capital: $ 167,195,115 (12.0%)
Collections CapitalCollections Capital: $ 55,880,338 (4.0%): $ 55,880,338 (4.0%)Collections Capital: $ 55,880,338 (4.0%)
Cash Flow/Contigency ReserveCash Flow/Contigency Reserve: $ 156,419,381 (11.2%): $ 156,419,381 (11.2%)Cash Flow/Contigency Reserve: $ 156,419,381 (11.2%)
Debt Service ReserveDebt Service Reserve: $ 60,611,500 (4.4%): $ 60,611,500 (4.4%)Debt Service Reserve: $ 60,611,500 (4.4%)Self-Insurance ReserveSelf-Insurance Reserve: $ 100,000,000 (7.2%): $ 100,000,000 (7.2%)Self-Insurance Reserve: $ 100,000,000 (7.2%)
Capital Improvement ReserveCapital Improvement Reserve: $ 549,936,522 (39.5%): $ 549,936,522 (39.5%)Capital Improvement Reserve: $ 549,936,522 (39.5%)
Intradistrict TransfersIntradistrict Transfers: $ 3,500,000 (0.3%): $ 3,500,000 (0.3%)Intradistrict Transfers: $ 3,500,000 (0.3%)
Debt ServiceDebt Service: 61,027,421 (4.4%): 61,027,421 (4.4%)Debt Service: 61,027,421 (4.4%)
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Section 4 - Page 2
Funding Sources by Category
Funding Sources by Category FY 2024-25
$ , , $ , , $ , ,
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Beginning Accum, Funds & Reserves
Service Fees
User Fees
Capital Facilities Capacity Charge
Capacity Rights
Debt Proceeds
Property Taxes
Intradistrict Transfers
Insurance In-Lieu Premiums
Interest and Other Revenue
Subtotal
Total Sources
Revenue
Area 14
Consolidated
Revenue
Area
Total
Sources
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Section 4 - Page 3
Funding Uses by Category
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Directors' Fees
Salaries & Bene ts
Administrative Expenses
Printing & Publications
Training & Meetings
Operating Materials and Supplies
Contractual Expenses
Professional Expenses
Research & Monitoring
Repairs & Maintenance
Utilities
Self-Insurance Requirements
Other Materials, Supplies, & Services
Cost Allocation
Joint Works Capital Improvement Program
Collection System Capital Improvement Prog.
Debt Service
Long Term Debt Reduction
Intradistrict Transfers
Joint Equity Sale to IRWD
Subtotal
Ending Accum. Funds & Reserves
Total Uses
Consolidated
Revenue
Area
Revenue
Area 14
Total
Sources
Funding Uses by Category FY 2024-25
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Where the Money Comes From - FY 2025-26
Section 4 - Page 4
Where the Money Goes - FY 2025-26
FY 2025-26 Total Funding Sources - $ 1,436,588,966
FY 2025-26 Total Funding Uses - $ 1,436,588,966
Capital Improvement ReserveCapital Improvement Reserve: $ 549,936,522 (38.3%): $ 549,936,522 (38.3%)Capital Improvement Reserve: $ 549,936,522 (38.3%)
Cash Flow/Contigency ReserveCash Flow/Contigency Reserve: $ 156,419,381 (10.9%): $ 156,419,381 (10.9%)Cash Flow/Contigency Reserve: $ 156,419,381 (10.9%)Debt Service ReserveDebt Service Reserve: $ 60,611,500 (4.2%): $ 60,611,500 (4.2%)Debt Service Reserve: $ 60,611,500 (4.2%)
Self-Insurance ReserveSelf-Insurance Reserve: $ 100,000,000 (7.0%): $ 100,000,000 (7.0%)Self-Insurance Reserve: $ 100,000,000 (7.0%)
FeesFees: $ 400,988,619 (27.9%): $ 400,988,619 (27.9%)Fees: $ 400,988,619 (27.9%)
Interest & MiscInterest & Misc: $ 39,088,065 (2.7%): $ 39,088,065 (2.7%)Interest & Misc: $ 39,088,065 (2.7%)
Intradistrict TransfersIntradistrict Transfers: $ 3,500,000 (0.2%): $ 3,500,000 (0.2%)Intradistrict Transfers: $ 3,500,000 (0.2%)
Property TaxesProperty Taxes: $ 120,095,043 (8.4%): $ 120,095,043 (8.4%)Property Taxes: $ 120,095,043 (8.4%)
Self-Insurance RevenuesSelf-Insurance Revenues: $ 5,949,835 (0.4%): $ 5,949,835 (0.4%)Self-Insurance Revenues: $ 5,949,835 (0.4%)
OperationsOperations: $ 238,114,716 (16.6%): $ 238,114,716 (16.6%)Operations: $ 238,114,716 (16.6%)
Self-Insurance ProgramSelf-Insurance Program: $ 5,949,835 (0.4%): $ 5,949,835 (0.4%)Self-Insurance Program: $ 5,949,835 (0.4%)
Joint CapitalJoint Capital: $ 194,084,734 (13.5%): $ 194,084,734 (13.5%)Joint Capital: $ 194,084,734 (13.5%)
Collections CapitalCollections Capital: $ 85,351,394 (5.9%): $ 85,351,394 (5.9%)Collections Capital: $ 85,351,394 (5.9%)
Cash Flow/Contigency ReserveCash Flow/Contigency Reserve: $ 159,872,196 (11.1%): $ 159,872,196 (11.1%)Cash Flow/Contigency Reserve: $ 159,872,196 (11.1%)
Debt Service ReserveDebt Service Reserve: $ 57,203,000 (4.0%): $ 57,203,000 (4.0%)Debt Service Reserve: $ 57,203,000 (4.0%)Self-Insurance ReserveSelf-Insurance Reserve: $ 100,000,000 (7.0%): $ 100,000,000 (7.0%)Self-Insurance Reserve: $ 100,000,000 (7.0%)
Capital Improvement ReserveCapital Improvement Reserve: $ 532,081,987 (37.0%): $ 532,081,987 (37.0%)Capital Improvement Reserve: $ 532,081,987 (37.0%)
Intradistrict TransfersIntradistrict Transfers: $ 3,500,000 (0.2%): $ 3,500,000 (0.2%)Intradistrict Transfers: $ 3,500,000 (0.2%)
Debt ServiceDebt Service: 60,431,104 (4.2%): 60,431,104 (4.2%)Debt Service: 60,431,104 (4.2%)
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Section 4 - Page 5
Funding Sources by Category
Funding Sources by Category FY 2025-26
$ , , $ , , $ , ,
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---
---
, , , , , ,
, , - , ,
, , , , ,
, , , , , ,
, , , , , ,
$ , , , $ , , $ , , ,
Beginning Accum, Funds & Reserves
Service Fees
User Fees
Capital Facilities Capacity Charge
Capacity Rights
Debt Proceeds
Property Taxes
Intradistrict Transfers
Insurance In-Lieu Premiums
Interest and Other Revenue
Subtotal
Total Sources
Revenue
Area 14
Consolidated
Revenue
Area
Total
Sources
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Section 4 - Page 6
Funding Uses by Category
$ , $ , $ ,
, , , , , ,
, , , , ,
, , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
( , , )( , )( , , )
, , , , , ,
, , - , ,
, , - , ,
---
- , , , ,
---
, , , , , ,
, , , , , ,
$ , , , $ , , $ , , ,
Directors' Fees
Salaries & Bene ts
Administrative Expenses
Printing & Publications
Training & Meetings
Operating Materials and Supplies
Contractual Expenses
Professional Expenses
Research & Monitoring
Repairs & Maintenance
Utilities
Self-Insurance Requirements
Other Materials, Supplies, & Services
Cost Allocation
Joint Works Capital Improvement Program
Collection System Capital Improvement Prog.
Debt Service
Long Term Debt Reduction
Intradistrict Transfers
Joint Equity Sale to IRWD
Subtotal
Ending Accum. Funds & Reserves
Total Uses
Funding Uses by Category FY 2025-26
Consolidated
Revenue
Area
Revenue
Area 14
Total
Sources
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Section 4 - Page 7
ACTUAL
2022-23
APPROVED
2023-24
PROJECTED
2023-24
PROPOSED
2024-25
PROPOSED
2025-26
BEGINNING ACCUM. FUNDS & RESERVES
OPERATING REVENUES
General Sewer Service User Fees
Permitted User Fees
IRWD Assessments
SAWPA Assessments
Interest
Miscellaneous Receipts
Operating Revenue Subtotal
NON - OPERATING REVENUES
Property Tax Allocation
Redevelopment Agency Pass Thru
Subtotal - Taxes
Capital Facilities Capacity Charge
Sale of Capacity Rights, SAWPA & SSBSD
Capital Assessment (IRWD)
Non - Operating Revenue Subtotal
INTRADISTRICT REVENUES
Annual Intradistrict Joint Equity Purchase/Sale
FINANCING REVENUES
Sale of Certi cates of Participation
Financing Revenues Subtotal
SELF INSURANCE REVENUES
Workers' Comp SFI
General Liability SFI
Subtotal - Self Insurance
Total Revenues
TOTAL AVAILABLE FUNDING
$ , , $ , , $ , , , $ , , $ , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , ( , ) , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , -- , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
-----
, , -- , , , ,
, , , , , , , , , ,
, , , , - , , , ,
-----
-----
, , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , , , , , , ,
DESCRIPTION OR ACCOUNT TITLE
Budget Resources
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Section 4 - Page 8
Budget Resources
ACTUAL
2022-23
APPROVED
2023-24
PROJECTED
2023-24
PROPOSED
2024-25
PROPOSED
2025-26
OPERATING REQUIREMENTS
Directors' Fees
Salaries & Bene ts
Administrative Expense
Printing & Publications
Training & Meetings
Operating Materials & Supplies
Contractual Expense
Professional Expense
Research & Monitoring
Repairs & Maintenance
Utilities
Other Materials, Supplies, & Services
Cost Allocation
Subtotal - Operating
CAPITAL IMPROVEMENTS
Joint Works Capital Improvements
Collection System Capital Improvements
Annual Intradistrict Joint Equity Purchase/Sale
Subtotal - Capital Improvements
FINANCING REQUIREMENTS
Certi cate of Participation Service
Long Term Debt Reduction
Subtotal - Financing Requirements
SELF INSURANCE REQUIREMENTS
Workers' Comp SFI
General Liability SFI
Subtotal - Self Insurance
TOTAL REQUIREMENTS
REVENUES OVER/UNDER REQUIREMENTS
ENDING ACCUMULATED FUNDS & RESERVES
$ , $ , $ , $ , $ ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , ,
, , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
( , , )( , , )( , , )( , , )( , , )
, , , , , , , , , ,
--- , , , ,
--- , , , ,
, , , , - , , , ,
, , , , - , , , ,
, , , , , , , , , ,
-----
, , , , , , , , , ,
, , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , ( , , )
, , , , , , , , , , , , ,
DESCRIPTION OR ACCOUNT TITLE
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Section 4 - Page 9
BUDGET RESOURCES BY REVENUE AREA - FY 2024-25
DESCRIPTION OR ACCOUNT TITLE
Consolidated Revenue
Area Proposed Rev Area 14 Proposed Total Proposed
BEGINNING ACCUM. FUNDS & RESERVES
OPERATING REVENUES
General Sewer Service User Fees
Permitted User Fees
O & M Joint Operating Assessment Service Fees ( IRWD)
O & M Collection System Assessment Service Fees (IRWD)
O & M Sludge Disposal Assessment Service Fees (IRWD)
SAWPA Assessments
Interest
Miscellaneous Receipts
Operating Revenue Subtotal
NON - OPERATING REVENUES
Property Tax Allocation
Redevelopment Agency pass Thru
Subtotal-Taxes
Capital Facilities Capacity Charge
Sale of Capacity Rights, SAWPA & SSBSD
Capital Assessment (IRWD)
Non - Operating Revenue Subtotal
INTRADISTRICT REVENUES
Annual Intradistrict Joint Equity Purchase/Sale
FINANCING REVENUES
Sales of Certi cates of Participation
Intradistrict Loans, Advances & Repayments
Financing Revenues Subtotal
SELF INSURANCE REVENUES
Workers' Comp SFI
General Liability SFI
Subtotal - Self Insurance
Total Revenues
TOTAL AVAILABLE FUNDING
$ , , $ , , $ , ,
, , - , ,
, , - , ,
- , , , ,
---
---
, , , , ,
, , , , , ,
( , , ) , , , ,
, , , , , ,
, , , , , ,
, , , , ,
, , , , , ,
, , - , ,
---
- , , , ,
, , , , , ,
, , - , ,
---
---
---
, , ,
, , , , ,
, , , , ,
, , , , , ,
$ , , , $ , , $ , , ,
Budget Resources
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Section 4 - Page 10
DESCRIPTION OR ACCOUNT TITLE
Consolidated
Revenue Area
Proposed
Rev Area 14
Proposed Total Proposed
OPERATING REQUIREMENTS
Directors' Fees
Salaries & Bene ts
Administrative Expense
Printing & Publications
Training & Meetings
Operating Materials and Supplies
Contractual Expense
Professional Expense
Research & Monitoring
Repairs & Maintenance
Utilities
Other Materials, Supplies, & Services
Cost Allocation
Subtotal - Operating
CAPITAL IMPROVEMENTS
Joint Works Capital Improvements
Collection System Capital Improvements
Annual Intradistrict Joint Equity Purchase/Sale
Subtotal - Capital Improvements
FINANCING REQUIREMENTS
Certi cate of Participation Service
Long Term Debt Reduction
Subtotal - Financing Requirements
SELF INSURANCE REQUIREMENTS
Workers' Comp SFI
General Liability SFI
Subtotal - Self Insurance
OTHER CASH OUTLAYS
Joint Equity Sale to IRWD
Subtotal - Other Cash Outlays
TOTAL REQUIREMENTS
REVENUES EXCEEDING REQUIREMENTS
ENDING ACCUMULATED FUNDS & RESERVES
$ , $ , $ ,
, , , , , ,
, , , , ,
, , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
( , , )( , )( , , )
, , , , , ,
, , , , , ,
, , - , ,
- , , , ,
, , , , , ,
, , - , ,
---
, , - , ,
, , ,
, , , , ,
, , , , ,
---
---
, , , , , ,
( , , ) , , , ,
$ , , $ , , $ , ,
Budget Resources
BUDGET RESOURCES BY REVENUE AREA - FY 2024-25
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Section 4 - Page 11
DESCRIPTION OR ACCOUNT TITLE
Consolidated
Revenue Area
Proposed
Rev Area 14
Proposed Total Proposed
BEGINNING ACCUM. FUNDS & Reserves
OPERATING REVENUES
General Sewer Service User Fees
Permitted User Fees
O & M Joint Operating Assessment Service Fees ( IRWD)
O & M Collection System Assessment Service Fees (IRWD)
O & M Sludge Disposal Assessment Service Fees (IRWD)
SAWPA Assessments
Interest
Miscellaneous Receipts
Operating Revenue Subtotal
NON-OPERATING REVENUES
Property Tax Allocation
Redevelopment Agency pass Thru
Subtotal-Taxes
Capital Facilities Capacity Charge
Sale of Capacity Rights, SAWPA & SSBSD
Capital Assessment (IRWD)
Non - Operating Revenue Subtotal
INTRADISTRICT REVENUES
Annual Intradistrict Joint Equity Purchase/Sale
FINANCING REVENUES
Sales of Certi cates of Participation
Intradistrict Loans, Advances & Repayments
Financing Revenues Subtotal
SELF INSURANCE REVENUES
Workers' Comp SFI
General Liability SFI
Subtotal - Self Insurance
Total Revenues
TOTAL AVAILABLE FUNDING
$ , , $ , , $ , ,
, , - , ,
, , - , ,
- , , , ,
---
---
, , , , ,
, , , , , ,
, , , , , ,
, , , , , ,
, , , , , ,
, , , , ,
, , , , , ,
, , - , ,
---
- , , , ,
, , , , , ,
, , - , ,
---
---
---
, , , , ,
, , , , ,
, , , , ,
, , , , , ,
$ , , , $ , , $ , , ,
BUDGET RESOURCES BY REVENUE AREA - FY 2025-26
Budget Resources
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Section 4 - Page 12
DESCRIPTION OR ACCOUNT TITLE
Consolidated
Revenue Area
Proposed
Rev Area 14
Proposed Total Proposed
OPERATING REQUIREMENTS
Directors' Fees
Salaries & Bene ts
Administrative Expense
Printing & Publications
Training & Meetings
Operating Materials and Supplies
Contractual Expense
Professional Expense
Research & Monitoring
Repairs & Maintenance
Utilities
Other Materials, Supplies, & Services
Cost Allocation
Subtotal - Operating
CAPITAL IMPROVEMENTS
Joint Works Capital Improvements
Collection System Capital Improvements
Annual Intradistrict Joint Equity Purchase/Sale
Subtotal - Capital Improvements
FINANCING REQUIREMENTS
Certi cate of Participation Service
Long Term Debt Reduction
Subtotal - Financing Requirements
SELF INSURANCE REQUIREMENTS
Workers' Comp SFI
General Liability SFI
Subtotal - Self Insurance
OTHER CASH OUTLAYS
Joint Equity Sale to IRWD
Subtotal - Other Cash Outlays
TOTAL REQUIREMENTS
REVENUES EXCEEDING REQUIREMENTS
ENDING ACCUMULATED FUNDS & RESERVES
$ , $ , $ ,
, , , , , ,
, , , , ,
, , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
, , , , ,
( , , )( , )( , , )
, , , , , ,
, , , , , ,
, , - , ,
- , , , ,
, , , , , ,
, , - , ,
---
, , - , ,
, , , , ,
, , , , ,
, , , , ,
---
---
, , , , , ,
( , , ) , , ( , , )
$ , , $ , , $ , ,
Budget Resources
BUDGET RESOURCES BY REVENUE AREA - FY 2025-26
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Section 4 - Page 13
Accumulated Funds and Reserves Policy
A cash ow criterion has been established at a level to fund
operations, maintenance and certi cate of participations
expenses for the rst half of the scal year, prior to the receipt of
the rst 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 criterion 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 criterion has been established to
provide for non-recurring operating expenditures that were not
anticipated when the annual budget was considered and
adopted. The level of this criterion will be established at an
amount equal to ten percent of the current scal year’s annual
operating budget.
A capital improvement criterion has been maintained to fund
annual increments of the capital improvement program. The
target level of this criterion has been established at one half of
the average annual cash outlay of the capital improvement
program through the year 2034. Levels higher and lower than
the target can be expected while the long-term nancing and
capital improvement programs are being nalized.
A catastrophic loss or self-insurance criterion has been
maintained for property damage including re, ood, and
earthquake, for general liability and for workers' compensation.
This reserve criterion is intended to work with purchased
insurance policies, FEMA, and State disaster reimbursements.
Based on the plant infrastructure replacement value, the level of
this criterion has been set to fund OC San's non-reimbursed
costs, estimated to be $100 million
A capital replacement/renewal criterion policy has been established
to provide funding to replace or refurbish the current collection,
treatment, and recycling facilities at the end of their useful economic
lives. The current replacement value of these facilities is estimated
to be $14 billion. The reserve criterion level had been established at
$75 million.
A debt service criterion policy has been established at ten percent
of the outstanding certi cate of participation (COP) issues. Other
debt service reserves are required to be under the control of a
Trustee by the provisions of the certi cate of participation (COP)
issues. These funds are not available for the general needs of OC
San and must be maintained at speci ed levels.
Accumulated Funds exceeding the targets speci ed by OC San
policy will be maintained for Capital Improvements and Rate
Stabilization. These funds will be applied to future years' CIP needs
due to the timing of the actual CIP outlays, in order to maintain rates
or to moderate annual uctuations.
This budget approves projects that will incur costs through 2034
and beyond. The reserves that are currently held are needed to fund
projects starting in the FY 2024-25 and FY 2025-26 budget years.
Projected Reserves at June 30, 2024 ,2025 and 2026
$ , , $ , , $ , ,
, , , , , ,
, , , , , ,
, , , , , ,
, , , , , ,
, , , , , ,
, , , , , ,
, , , , , ,
$ , , $ , , $ , ,
Cash Flow Requirements
Operating Expenses
COP Payments
Operating Contingencies
Capital Improvement Program
Catastrophe & Self Insurance
Subtotal
Capital Replacement & Refurbishment
COP Service Required Reserves
Total
Projected
6/30/24
Proposed
6/30/25
Proposed
6/30/26
Projected Reserves
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Section 4 - Page 14
Projected Reserves
$ 867.0$ 867.0$ 867.0 $ 849.2$ 849.2$ 849.2 $ 824.9$ 824.9$ 824.9
$ 732.9$ 732.9$ 732.9
$ 651.2$ 651.2$ 651.2
$ 563.1$ 563.1$ 563.1
$ 535.3$ 535.3$ 535.3 $ 540.6$ 540.6$ 540.6
$ 573.6$ 573.6$ 573.6 $ 583.1$ 583.1$ 583.1
2024-25 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34
0
100
200
300
400
500
600
700
800
900
1000
Proposed Ending Reserves
(in millions)
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Section 4 - Page 15
Orange County Sanitation District
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
------
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
( , , )( , , )( , , )( , , )( , , )( , , )
- , , , , , , , , ,
, , , , , , , , , , , ,
------
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , ( , , )( , , )( , , )( , , )( , , )
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
$ $ $ $ $ $
. % . % . % . % . % . %
, , , , , ,
$ , $ , $ , $ , $ , $ ,
$ , , $ , , $ , , $ , , $ , , $ , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
------
, , , , , , , , , , , ,
. . . . . .
Revenues:
General User Fees
Permitted User Fees
IRWD Assessments
SAWPA Assessments
Property Taxes
New COP Issues
Interest Revenues
Capital Facilities Capacity Charges
Other Revenues
Revenues
Requirements:
Oper & Mtce Exp
Capital Improvement Program (CIP)
Less: CIP Savings & Deferrals
Allocation for Future Rehabilitation
COP Debt Service
Reduction of Long-Term Liabilities
Other Requirements
Requirements
Revenues-Requirements:
Accumulated Funds:
Beginning of Year
End of Year
Consolidated Reserve Policy:
Over (Under) Reserve Policy:
Sewer Service User Fees:
Avg SFR Annual User Fee
Percentage Change
Equivalent Dwelling Units
SFR Connection Fee
Outstanding COPs
Reserve Policy:
50% Next Year Operating Expense
10% Next Year Operating Expense
100% Next Year AUG COP Svc.
50% Average Ten-Year CIP Balance
Debt Svc @ 10% Outstanding COP
Self Funded Insurance @ $100M
Repl & Refurb
*Reserve Reduction
Total
COP Ratios:
Sr Lien Coverge, Min 1.25
Ref Description
Consolidated Cash Flow Projections
Prelim. 24-25 Prelim. 25-26 Prelim. 26-27 Prelim. 27-28 Prelim. 28-29 Prelim. 29-30
Cash Flow Projection
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Section 4 - Page 16
Orange County Sanitation District
, , , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , , ,
-----
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , ,
, , , , , , , , , , ,
, , , , , , , , , , ,
, , , , , , , , , , ,
( , , )( , , )( , , )( , , )( , , )
, , , , , , , , , ,
, , , , , , , , , ,
-----
, , , , , , , , , ,
, , , , , , , , , , ,
, , ( , , ) , , , , ( , , )
, , , , , , , , , , ,
, , , , , , , , , , ,
, , , , , , , , , , ,
, , , , , , , , ,
$ $ $ $
. % . % . % . %
, , , ,
$ , $ , $ , $ ,
$ , , $ , , $ , , $ , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
-( , , )( , , )-
, , , , , , , ,
. . . .
Revenues:
General User Fees
Permitted User Fees
IRWD Assessments
SAWPA Assessments
Property Taxes
New COP Issues
Interest Revenues
Capital Facilities Capacity Charges
Other Revenues
Revenues
Requirements:
Oper & Mtce Exp
Capital Improvement Program (CIP)
Less: CIP Savings & Deferrals
Allocation for Future Rehabilitation
COP Debt Service
Reduction of Long-Term Liabilities
Other Requirements
Requirements
Revenues-Requirements:
Accumulated Funds:
Beginning of Year
End of Year
Consolidated Reserve Policy:
Over (Under) Reserve Policy:
Sewer Service User Fees:
Avg SFR Annual User Fee
Percentage Change
Equivalent Dwelling Units
SFR Connection Fee
Outstanding COPs
Reserve Policy:
50% Next Year Operating Expense
10% Next Year Operating Expense
100% Next Year AUG COP Svc.
50% Average Ten-Year CIP Balance
Debt Svc @ 10% Outstanding COP
Self Funded Insurance @ $100M
Repl & Refurb
*Reserve Reduction
Total
COP Ratios:
Sr Lien Coverge, Min 1.25
Ref Description
Consolidated Cash Flow Projections
Prelim. 30-31 Prelim. 31-32 Prelim. 32-33 Prelim. 33-34 10 - Year Total
Cash Flow Projection
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Operating Requirements
The net operating requirements budget nances the
administrative, operations and maintenance, and program costs
for collecting, treating, and recycling of wastewater. The
departmental budgets are all completely funded by the
operating fund. The net operating budget for FY 2024-25 is
$232.7 million and for FY 2025-26 is $238.1 million.
Following are descriptions of the major factors that comprise the
operating budget:
Regulatory Requirements
Many of OC San’s activities are either required or regulated by
environmental permits issued by federal, state, and local
regulatory authorities. These authorities regulate e uent quality,
air emissions, greenhouse gases, stormwater quality, biosolids
and hazardous waste management, as well as extensive
monitoring of all media. New and developing regulations also
drive future capital and operating expenses.
Operating Chemicals
Chemicals are used for disinfection, coagulation, and odor
control programs.
Section 5 - Page 1
Operations Budget Overview
Coagulants: Coagulant chemicals are used to enhance
primary treatment solids removal, solids dewatering,
waste solids thickening, and to control hydrogen sul de
in the digesters.
Ferric chloride is an iron salt which is used with
anionic polymer to increase the solids removal
e ciencies in the primary treatment process and to
control hydrogen sul de levels in the digester gas as
required by AQMD Rule 431.1.
Cationic polymer is added to digested sludge prior to
thickening and dewatering to improve the sludge
and water separation process. Cationic polymer is
also added to the waste activated sludge dissolved
air otation thickeners to thicken the solids before
digestion.
Odor Control: Under septic or anaerobic conditions,
sulfate-reducing bacteria can ourish resulting in the
accumulation of sul des in the liquid phase. One of the
sul de forms present is hydrogen sul de (H2S). When
released to the vapor phase, this creates the potential
for both odor and corrosion problems in the collection
system.
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 ve trunklines. 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 eld sampling.
Sodium hypochlorite, caustic soda, and granular
activated carbon are used in plant process scrubbers to
treat foul air, comply with SCAQMD permits, and prevent
odor complaints.
Residual management
These costs are for hauling and bene cial reuse of wastewater
solids recovered during the treatment process. Solids treated
through the digesters, called biosolids or treated sewage sludge,
can be recycled o site via composting (about 60 percent) or land
application on farm elds (about 40 percent). Most of OC San’s
residuals management costs are for hauling about 21 truckloads
(525 tons) of biosolids o site every day. A smaller component of
residuals management cost is non-recyclable grit and screenings
waste and sewer debris that must be disposed of at a land ll.
Repair and Maintenance
Preventive maintenance and repair activities throughout OC San’s
expanded and upgraded treatment facilities and collection system
continue to keep this budgetary category at a signi cant amount.
This category includes contracted services, materials and supplies,
and outsourced service agreements.
Utilities
The cost for utilities is a signi cant component of the operating
budget. The largest utility cost incurred by OC San is the electricity
that is purchased to supplement generated power to operate the
plant processes. The central generation facilities produce
approximately 60 percent of the electricity used for running the
plants.
Sodium hydroxide is added in “shock doses” to the
sewer trunklines for sul de control. Sodium
hydroxide is added over a period of 30 to 45 minutes
at su cient dosages to elevate the pH level. The
high pH slug temporarily inactivates sulfate reducing
bacteria and greatly reduces hydrogen sul de
generation.
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Section 5 - Page 2
Operations Summary
Department and Division
2023-24
Revised
Budget
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
$ , , $ , , $ , , . %$ , , . %
, , , , , , . % , , . %
, , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
-- , - , - . %
, , , , , , - . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
-- , - , . %
, , , , , , ( . %) , , . %
, , , , , , ( . %) , , . %
, , , , , , ( . %) , , . %
, , , , , , ( . %) , , . %
, , , , , , ( . %) , , . %
, , , , , , . % , , . %
-- , , - , , ( . %)
, , , , , , . % , , . %
, , , ( . %) , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , ( . %) , . %
, , , , , , . % , , ( . %)
, , , , , , . % , , ( . %)
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
General Manager's O ce
General Management Admin
Department Subtotal
Administrative Services Department
Administrative Services Admin
Consolidated Services
Financial Management
Contracts, Purch, & Materials Mgmt
Information Technology
Department Subtotal
Communications Department
Communications Administration
Board Services
Public A airs
Department Subtotal
Human Resources Department
Human Resources Administration
Human Resources
Risk Management
Department Subtotal
Environmental Services Department
Environmental Services Admin
Resource Protection
Environmental Lab and Ocean Monitoring
Environmental Compliance
Department Subtotal
Engineering Department
Engineering Admin
Planning
Project Management
Design
Construction Management
Department Subtotal
Operations & Maintenance Dept
O & M Administration
Collection Facilities O&M
Fleet Services
Plant No. 1 Operations
Plant No. 2 Operations
Plant No. 1 Maintenance
Plant No. 2 Maintenance
Department Subtotal
Proposed Budget
Comparisons by Department
( , , )( , , )( , , )( . %)( , , ) . %Less: Cost Allocation
$ , , $ , , $ , , . %$ , , . %Net Operating Requirements
% Budget
Change
% Budget
Change
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Section 5 - Page 3
$ , , $ , , $ , , . %$ , , . %
, , , , , , . % , , . %
, , , . % , ( . %)
, , , , , . % , , ( . %)
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , ( . %)
, , , , , , . % , , ( . %)
, , , , , , . % , , ( . %)
, , , , , , . % , , . %
, , , , , , . % , , . %
( , , )( , , )( , , )( . %)( , , ) . %
$ , , $ , , $ , , . %$ , , . %
Salaries, Wages & Bene ts
Administrative Expenses
Printing & Publication
Training & Meetings
Operating Materials & Supplies
Contractual Services
Professional Services
Research & Monitoring
Repairs & Maintenance
Utilities
Other Materials, Supplies, and Svc
Cost Allocation
Net Operating Requirements
Proposed Budget
Expense by Category
2023-24
Revised
Budget
2023-24
Projected
2024-25
Proposed
2025-26
ProposedDescription
% Budget
Change to
2023-24
$ , . $ , . $ , . . %$ , . . %Cost to Collect, Treat & Dispose of 1
Million Gallons
% Budget
Change to
2024-25
, , , . % , -Flow, Million Gallons
. . . . % . . %Flow Per Day, MGD
Operations Summary
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Section 5 - Page 4
Operations Summary
Proposed Budget
Allocation to Individual Revenue Areas
2023-24 Projected
Flow (MG)
Projected
Increase (MG)
2024-25 Budgeted
Flow (MG)
Percent of
Total
2025-26 Budgeted
Flow (MG)
Percent of
Total
Consolidated RA
RA 14
Total
, ( , ) , . % , . %
, ( ) , . % , . %
, ( , ) , . % , . %
Revenue
Area No.
Collection Costs Treatment & Disposal
Costs Total Costs Total Cost/MG
Consolidated RA
14 - O&M
Total
$ , , $ , , $ , , $ , .
, , , , , , , .
$ , , $ , , $ , , $ , .
Total Gallonage Flows, Million Gallons per Year (MG)
Average Daily Gallonage Flows, Million Gallons per Day (MGD)
Collection Costs Treatment & Disposal
Costs Total Costs Total Cost/MG
Consolidated RA
14 - O&M
Total
$ , , $ , , $ , , $ , .
, , , , , , , .
$ , , $ , , $ , , $ , .
FY 2025-26 Estimated Allocation of Total Costs to Revenue Areas
FY 2024-25 Estimated Allocation of Total Costs to Revenue Areas
2023-24 Projected
Flow (MGD)
Projected
Increase (MGD)
2024-25 Budgeted
Flow (MGD)
Percent of
Total
2025-26 Budgeted
Flow (MGD)
Percent of
Total
Consolidated RA
RA 14
Total
( ) . % . %
( ) . % . %
( ) . % . %
Revenue
Area No.
Revenue
Area No.
Revenue
Area No.DR
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Section 5 - Page 5
Description
2023-24
Revised
Budget
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
% Budget
Change to
2023-24
$ , , $ , , $ , , . %$ , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , ( . %) , -
, , , . % , -
, , , ( . %) , -
, , , . % , . %
, , , . % , -
, , , . % , -
, , , , , , . % , , . %
, , , . % , . %
, , , . % , ( . %)
, , , . % , . %
, , , ( . %) , . %
, , . % , -
, , , , , . % , , . %
, , , . % , ( . %)
, , , . % , . %
, , , . % , . %
, , , . % , ( . %)
--( . %)--
, , , . % , ( . %)
, , , , , . % , , ( . %)
Salaries, Wages, & Bene ts
Salaries & Wages
Salaries & Wages
Employee Bene ts
Retirement
Group Insurances
Tuition & Certi cate Reimb
Edu.degrees Cert. & Lic.
Uniform Rental
Workers' Compensation
Unemployment Insurance
EMT Supplemental Bene ts
Salaries, Wages, & Bene ts
Materials, Supplies, & Services
Administrative Expenses
Memberships
O ce Exp - Supplies
Postage
Books & Publications
Forms
Small Computer Items
Minor Furniture & Fixtures
Printing & Publication
Repro-In-House
Printing-Outside
Notices & Ads
Photo Processing
Meetings & Training
Meetings
Training
Proposed Budget
Net Operating Expense by Line Item
% Budget
Change to
2024-25
Operations Summary
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Section 5 - Page 6
Operations Summary
Description
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , . % , . %
, , , . % , . %
, --( . %)--
, , , . % , . %
, , , . % , . %
, , , , ( . %) , ( . %)
, , , , . % , , . %
, , , . % , . %
, , , . % , . %
, , , . % , . %
, , , ( . %) , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , . % , . %
, , , , , . % , , . %
, , , . % , -
, , , , , . % , , . %
, , , ( . %) , . %
, , , ( . %) , ( . %)
, , , , , , . % , , . %
, , , . % , -
, , , , , , . % , , -
, , , ( . %) , . %
, , , , , , ( . %) , , . %
, , , , . % , , ( . %)
, , , . % , ( . %)
, , , . % , -
, , , - , -
, , , - , -
, , , , , ( . %) , , ( . %)
Operating Materials & Supplies
Chem. Coagulants
Odor Control
Disinfection
Chemicals - Cogen Op.
Miscellaneous Chemicals
Odor & Corrosion Control
Gas, Diesel, & Oil
Tools
Safety Equipment/tools
Solv,Paint,Janitor Supplies
Lab Chemicals & Supplies
Misc. Operating Supplies
Property Tax Fees
Contractual Services
Solids Removal
Other Waste Disp.
Groundskeeping
Janitorial
Outside Lab Services
Oxygen Plant Oper
County Service Fee
Temporary Services
Security Services
Other .
Professional Services
Legal
Audit & Accounting
Engineering
Enviro Scienti c Consult
Software Prgm Consult
Advocacy E orts
Industrial Hygiene Svcs
Labor Negotiation Svc
Other
Proposed Budget
Net Operating Expense by Line Item (Continued)
2023-24
Revised
Budget
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
% Budget
Change to
2023-24
% Budget
Change to
2024-25
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Section 5 - Page 7
Description
, , , , . % , , ( . %)
, , , . % , -
, , , ( . %) , . %
, , , , , , . % , , ( . %)
, , , , , , ( . %) , , . %
, , , ( . %) , . %
, , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , , , , . % , , . %
, , , . % , . %
, , , . % , . %
, , , . % , . %
, , , ( . %) , . %
, , , , , , . % , , . %
, , , . % , . %
, , , , , . % , , . %
------
- . ----
, , , . % , -
, , , , , , . % , , . %
, , , , , , . % , , . %
( , , )( , , )( , , )( . %)( , , ) . %
$ , , $ , , $ , , . %$ , , . %
Research & Monitoring
Environ. Monitoring
Air Quality Monitoring
Research
Repairs & Maintenance
Materials & Services
Service Maint. Agreements
Utilities
Telephone
Diesel For Generators
Natural Gas
Power
Water
Other Operating Costs
Outside Equip Rental
Insurance Premiums
Prop & Gen Liab Insurance
Freight
Misc. Operating Expense
Regulatory Operating Fees
Contingency
Prior year reappropriation
Loss on obsolete inventory
Other Non-Oper Expense
Materials, Supplies, & Services
Total Operating Requirements
Less: Cost Allocation
Net Operating Requirements
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
% Budget
Change to
2023-24
% Budget
Change to
2024-25
Proposed Budget
Net Operating Expense by Line Item (Continued)
$ , . $ , . $ , . . %$ , . . %Cost to Collect, Treat & Dispose of 1
Million Gallons
2023-24
Revised
Budget
, , , . % , -
. . . . % . . %
Flow, Million Gallons
Flow Per Day, MGD
Operations Summary
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Notes to the 2024-25 and FY 2025-26
Operations Budget
Section 5 - Page 8
Notes to Operations Summary
Salaries & Wages: The proposed budget is set at 663.50
and 663.50 Full Time Equivalent (FTE) positions for FY
2024-25 and FY 2025-26, respectively. An increase in
salaries and wages is attributable to anticipated salary and
bene t adjustments for all employee bargaining units.
Retirement: The employees of OC San are members of the
Orange County Employees Retirement System. Employees
participate in one of three plans depending on hire date:
Plan H (older), Plan B, or Plan U (newer, with a lower
retirement bene t). The estimated employer’s required
contribution rate, based on employees’ base salaries, has
decreased for Plan H (191 employees) from 13.47 percent to
13.36 percent and Plan B (52 employees) from 13.09 percent
to 12.81 percent, but increased for Plan U (365 employees)
from 9.82 percent to 9.97 percent for FY 2024-25. The
contribution rate for Plan H includes OC San’s pickup of 3.5
percent of employees’ required contributions.
Group Insurance: This includes OC San’s share of
employees’ medical and dental insurance plans, and life and
disability insurance premiums. It also includes the other
post-employment bene ts that OC San is obligated to pay
for retirees. The group insurance budget approximates
$17,000 per employee.
Tuition & Certi cation Reimbursements: To encourage the
self-development and training of employees, OC San has a
tuition and certi cation reimbursement program. This
appropriation is set at $84,192.31 for both FY 2024-25 and
FY 2025-26.
Development Pay: To further promote employee e orts that
increase job knowledge, skills, and abilities, OC San has
established this bene t for employees obtaining educational
degrees and jobrelated certi cates and licenses. The
budget of $632,326 for both FY 2024-25 and FY 2025-26
is based on estimated employee participation.
Uniforms: This budget projection is for uniforms provided to
eld and lab employees in accordance with employee
MOUs.
Workers' Compensation: This item is used to maintain the
level of accumulated reserves for workers’ compensation
self-insurance. The amount recommended is $905,677.50
for FY 2024-25 and $950,961.38 for FY 2025-26. The total
estimated expenditures for the workers' compensation
program are set forth in detail in the Self-Insurance section.
Memberships
OC San has memberships in agencies, such as the National
Association of Clean Water Agencies (NACWA), the National Water
Research Institute (NWRI), the Water Environment Research
Foundation (WERF), the California Association of Sanitation
Agencies (CASA), the Southern California Alliance of Publicly
Owned Treatment Works (SCAP), the Association of California Water
Agencies (ACWA), and the Center for Demographic Research (CDR),
and has a budget of $706,626.00 for FY 2024-25 and $726,931.00
for FY 2025-26.
Administrative Expenses
These accounts include supplies, postage, technical journals and
publications, forms, small o ce equipment, and small computer
items. The small equipment and computer items cost less than
$15,000 per item and exclude items that are capitalized.
Printing and Publication
The budget provides for in-house and outside reproduction costs
and re ects an expanded management information system and
administrative requirements as well as a continuing demand by the
public and regulatory agencies for information. This group of
accounts also includes costs for photo processing, advertisements,
and notices.
Training & Meetings
This category includes ongoing technical and safety training and
materials for sta , required training for computerized plant
monitoring, and control systems training to allow for a more
adaptive and exible workforce. OC San continues to place an
emphasis on safety, technical, leadership, and management training.
Salaries, Wages & Bene ts
Unemployment Insurance: OC San is on an actual claims paid
basis, which has historically resulted in an overall lower cost
because of a favorable claims history. This appropriation is
proposed at a level consistent with the prior year’s actual costs.
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Other Operating Materials & Supplies: This group of accounts is
for miscellaneous items such as scrubber acids, activated carbon,
solvents, cleaners, hardware, janitorial supplies, tools, safety
equipment, laboratory supplies, and property taxes that are
required to operate and maintain existing and expanding facilities.
This group of accounts is expected to remain relatively the same
during FY 2024-25 and FY 2025-26.
Section 5 - Page 9
Chemical Coagulants: Chemical coagulants are used to
enhance the primary treatment process by increasing the
solids removal e ciencies and dewatering and thickening
solids for disposal, and are used to control hydrogen sul de
levels in the digester gas.
The costs for these chemicals are expected to incerase
slightly due to increasing costs, usage is expected to
remain stable over the next two budget years. The
budgeted amounts for FY 2024-25 and FY 2025-26 are
$15.86 million and $16.33 million, respectively, or an
average increase of 2.45 percent over the FY 2023-24
budget.
Odor Control Chemicals: OC San uses sodium hydroxide
(caustic soda), and bleach as the primary odor control
chemicals within the treatment plants’ foul air scrubbers. In
addition, muriatic acid is an odor control chemical used for
cleaning the scrubbers.
Ferrous chloride, magnesium hydroxide, calcium nitrate,
and caustic soda are the primary odor control chemicals
used within the collection system and work by reducing the
generation of hydrogen sul de in the trunklines. The
chemical dosage and costs re ect the established
performance level and a ects the use of chemicals at the
treatment plants.
The odor control budget is $10.43 million for FY 2024-25
and $10.48 million for FY 2025-26; an average increase of
2.09 percent from the previously approved budget, based
on overall in ationary projections for these chemicals.
Disinfection Chemicals: Sodium Hypochlorite (bleach) is
used at the treatment plants for the disinfection of plant
water and the control of lamentous organisms in activated
sludge in the secondary treatment process. OC San’s
bleach budgets for the purpose of disinfection are $611,300
in FY 2024-25 and $629,100 in FY 2025-26 or an average
increase of 21.07 percent.
Sodium Bisul te is used for dechlorination of outfall e uent
at Plant No. 2, if required, to ensure that no residual
chlorine is discharged into the ocean. The sodium bisul te
budgets are $9,800 in FY 2024-25 and $10,100 in FY 2025-
26.
Gasoline, Oil and Fuel: This group of accounts includes
gasoline, oil, and diesel fuel required to operate stationary
treatment plant equipment as well as approximately 300
pieces of major mobile equipment such as cars, trucks,
cranes, and generators. Also included in this group of
accounts is the cost of fuel for the compressed natural gas
station. The cost of the natural gas is partially recovered by
selling the compressed natural gas as vehicle fuel to
outside users. The volatility in price of gasoline and natural
gas are the major impacts to these budgets.
Contractual Services
The major component of this category is biosolids removal and
transportation costs. Contracts have been executed with rms for
agricultural reuse of residual solids and composting for biosolids
disposal. The total costs budgeted for solids removal is $14.36
million for FY 2024-25 and $14.77 million for FY 2025-26. Even
though solids have been dried above original targets due to the
success of the centrifuges over the belt presses, increased costs in
fuel and disposal contracts o set the savings from reduced tonnage
being hauled away.
This category also includes appropriations for other waste removal,
janitorial, groundskeeping and security services, county service
fees, temporary employment services to level out periodic increases
in sta workload, long-term leaves, and position vacancies, outside
laboratory services, manhole rehabilitation, and industrial line and
outfall inspection and cleaning services.
Professional Services
This group of accounts includes General Counsel, special labor
counsel, engineering, advocacy e orts, audit and accounting
services, software program consulting, and other technical
consulting services.
Research and Monitoring
The costs in this category consist of contract services to carry out
the extensive ocean monitoring program required by EPA Region IX
under the provisions of OC San’s NPDES permit, air quality
monitoring costs, OC San’s contribution to the Southern California
Coastal Water Research Project (SCCWRP) being conducted under a
joint powers agreement with other Southern California municipal
dischargers, operating costs for OC San’s ocean monitoring vessel,
and provides for operational and ocean research and evaluation to
develop optimum operating parameters in the treatment plants.
Overall, this category of costs is expected to increase slightly from
the need to outsource taxonomy and mooring services, resulting in
FY 2024-25 and FY 2025-26 budgets of $2.14 million and $2.02
million, respectively.
Operating Materials & Supplies
Notes to Operations Summary
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Section 5 - Page 10
Repairs and Maintenance
The majority of the materials and services budgets support the
maintenance of the collection system and the treatment plants.
This includes street overlays and manhole raising, manhole
cover purchases, surveying services, easement improvements,
equipment maintenance, and outsourced service contracts and
maintenance agreements. The FY 2024-25 and FY 2025-26
budgets include repairs and maintenance costs totaling $36.31
million and $35.67 million, respectively.
Materials and services for FY 2024-25 and FY 2025-26 include
siphon cleaning, manhole rehab and replacement services,
digester cleaning, and materials and services to maintain OC
San’s eet.
Service agreements for FY 2024-25 and FY 2025-26 include
Information Technology maintenance, support, and licenses and
disaster recovery and cybersecurity hardware and software,
Operations & Maintenance service contracts for crane
certi cation, engine monitoring systems, door and gate
maintenance, scale, re extinguisher, and re sprinkler
certi cation, uninterruptible power supply electrical
maintenance, sca olding, and tree trimming.
Utilities
The cost for utilities is a signi cant component of the operating
budget. The overall cost for utilities is anticipated to be $16.13
million and $16.44 million for the FY 2024-25 and FY 2025-26
budgets, respectively.
Natural Gas: Natural gas is purchased to supplement the
digester gas that is used to run the central generation
facilities. The total natural gas budget is $ 3.04 million for FY
2024-25 and $3.04 million for FY 2025-26.
Electricity: Electricity is the largest utility cost incurred by
OC San. Purchased electricity is used to run the plant
processes, support buildings, and pump stations. OC San
procures electricity under the Southern California Edison
(SCE) Direct Access program from third party supplier, and
SCE is paid only for delivering the electricity. This
arrangement has allowed OC San to secured a xed rate for
the power and should result in savings long term. The
estimated consumption and resulting costs for electrical
energy purchased for the plant processes and support
buildings are $10.2 million and $10.5 million for FY 2024-25
and FY 2025-26, respectively, excluding contingencies and
electricity requirements of all outlying pump stations. This
estimate includes normal operations of CenGen and
assumes $400,000 in savings due to battery utilization at
Plant No. 1. The total budgeted amount for purchased
electricity is $11.27 million and $11.52 million for the FY 2024-
25 and FY 2025-26 budgets, respectively.
Insurance Premiums: Other than the budget of $754,325 for
FY 2024-25 and $767,465 for FY 2025-26 in the operating
section to insure OC San’s ocean vessel, the cost for general
liability and property insurance premiums is budgeted entirely
within the Self-Insurance section.
Property & General Liability In-Lieu Insurance
Premium: This item is used to maintain the level of accumulated
reserves for property and general liability self-insurance. The
recommended budgeted is $4.4 million for FY 2024-25 and
$4.6 million for FY 2025-26. The total estimated expenditures
for the insurance program are set forth in detail in the Self-
Insurance section.
Other Operating & Non-Operating Expenses: Expenses not
chargeable elsewhere, such as annual regulatory fees assessed
by SCAQMD and SWRCB, freight, obsolete inventory write-o ,
and other miscellaneous items are recorded within these
groups of accounts.
Other Operating Costs
Cost Allocation
This represents direct labor and bene t charge-outs and materials,
supplies, and services cost allocation to the capital projects where
the related work is performed.
Net Operating Requirements
This line item represents the net salary, wages, bene ts, materials,
supplies, and services related to operating costs for collection,
treatment, and disposal activities after charge-backs to CIP.
Notes to Operations Summary
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110
Sta ng Trends
555
333
444 555 444 444
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
2
4
24-25 & 25-26 Authorized FTE Positions
Executive Managers
Supervisors / Professionals
Con dential
Total
General Management Administration
Section 6 - Page 1
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Create a new Two-Year Strategic Plan & Recommend for Board
Adoption
Manage operating expenditures to within % to % of the
approved budget
Ensure OC San does not exceed FTEs
Create a new Work Plan for Fiscal Year -
The Two-Year Strategic Plan was created and approved by
the Board of Directors in November
All planned expenditures were met
Current FTE count is
New Work Plan approved by the Board of Directors in July
Section 6 - Page 2
The mission of the General Manager's Administration Division is to work with the Board of Directors to establish standards, policies and
procedures, and the overall goals and Strategic Plan of the agency. The Division reports OC San’s progress in meeting the established goals
to support the mission and provides general oversight of the agency’s operations. The General Manager reports directly to the Board of
Directors and provides general oversight to all agency and strategic planning.
Service Description
2024-25 & 2025-26 Performance Objectives
Create a new Strategic Plan Achieved Achieved Planned Planned Board Approved
Operating expenditures Achieved Achieved Planned Planned Board Approved
Do not exceed authorized FTEs Achieved Achieved Planned Planned Board Approved
Create Work Plan Achieved Achieved Planned Planned Board Approved
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Create a new Work Plan for Fiscal Year - and - .
Update Two-Year Strategic Plan & Recommend for Board Adoption in FY - .
Managing operating expenditures to within % to % of the approved budget.
Ensure OC San does not exceed authorized FTEs
2023-24 Performance Objectives 2023-24 Performance Results
Performance Measures
General Management Administration
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General Management Administration
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the General Management Administration Division re ect an increase of 5% and an increase of
5% over the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses, training & meetings,
and legal services. The FY 2025-26 increase is primarily due to personnel expenses, memberships and training & meetings.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 2,391,105
$ 2,507,271
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1,100
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (1,000)
74,331
5,551
6,461
273
Other Cost Adjustments:
Change in memberships
Change in training & meetings
Change in legal services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in memberships
Change in training & meetings
(8,674)
16,302
(30,347)
37,739
12,165
12,050
$ 2,276,310
61,510
25,000
18,500
(1)
2
Section 6 - Page 3
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Section 6 - Page 4
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , . % , . %
Professional & Contractual Services , , , , . % , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other . % . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 1,427,729$ 1,427,729$ 1,427,729
$ 1,225,817$ 1,225,817$ 1,225,817
$ 2,382,786$ 2,382,786$ 2,382,786
$ 2,276,310$ 2,276,310$ 2,276,310
$ 2,391,105$ 2,391,105$ 2,391,105
$ 2,507,271$ 2,507,271$ 2,507,271
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
1 000K
1 250K
1 500K
1 750K
2 000K
2 250K
2 500K
2 750K
Expenditure Trends
General Management Administration
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Sta ng Trends
111
222 222 222
444 444
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
0
2
4
24-25 & 25-26 Authorized FTE Positions
Executive Managers
Managers
Supervisors / Professionals
Total
Administrative Services Administration
Section 6 - Page 5
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Submittal of annual sewer service fees (SSF) within property
parcel database to the County by August th.
All Treasury investments will be in compliance with the
California State Government Code % of the time.
Coordinate and uphold solicitation schedules in support of
planned projects and emergency procurements.
Submittal completed in time for placement on secured
property tax bills.
All Treasury investments in compliance % of the time.
Solicitation schedules upheld at % completion.
Section 6 - Page 6
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 OC San.
Service Description
2024-25 & 2025-26 Performance Objectives
Submit SSF to the County by August th.Achieved Planned Planned Planned OC San Standards
Investment Compliance Achieved Planned Planned Planned OC San Standards
Uphold Solicitation Schedules Achieved Planned Planned Planned OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Submit annual sewer service fees (SSF) within property parcel database to the County by August th.
Comply with the California State Government Code % of the time with all treasury investments.
Coordinate and uphold solicitation schedules in support of planned projects and emergency procurements.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Administrative Services Administration
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Administrative Services Administration
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Administrative Services Administration & Consolidated Service Division re ect an increase
of 58% and an increase of 5% over the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel
expenses, training & meetings and legal services. The FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 957,325
$ 1,006,067
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 591
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
39,855
4,561
6,683
273
Other Cost Adjustments:
Change in trainings & meetings
Change in legal services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
286,485
28,456
38,661
(12,428)
5,620
(2,630)
$ 604,940
5,000
2
3
Section 6 - Page 7
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Section 6 - Page 8
Personnel $ , $ , $ , $ , . %$ , . %
Supplies - , , . % , ( . %)
Professional & Contractual Services , , , , . % , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other - . % . %
Total $ , $ , $ , $ , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
Expenditure Trends
$ 467,915$ 467,915$ 467,915
$ 408,623$ 408,623$ 408,623
$ 525,236$ 525,236$ 525,236
$ 604,940$ 604,940$ 604,940
$ 957,325$ 957,325$ 957,325
$ 1,006,067$ 1,006,067$ 1,006,067
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
300K
400K
500K
600K
700K
800K
900K
1 000K
1 100K
Administrative Services Administration
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Consolidated Services
Section 6 - Page 9
This division is a nancial tracking division and is not sta ed.
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Coordinate all common costs for OC San shared support
services.
Manage the division’s budget to within % to % of the
approved budget.
On track
Estimated to stay within budget.
Section 6 - Page 10
The mission of the Consolidated Services Division is to centralize and streamline all common costs that support all sta , functions, and
facilities at OC San. This division is a nancial tracking division and is not sta ed.
Service Description
2024-25 & 2025-26 Performance Objectives
Consolidate shared support costs Achieved Achieved Expected Expected OC San Standards
Manage Budget Achieved Ongoing - % - %OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Coordinate all common costs for OC San shared support services.
Manage the division’s budget to within % to % of the approved budget
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Consolidated Services
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Consolidated Services
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Administrative Services Administration & Consolidated Service Division re ect an increase
of 58% and an increase of 5% over the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in security
services and janitorial services. The FY 2025-26 increase is primarily due to training & meeting, contractual services and other operating
expense.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 14,287,812
$ 15,534,235
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services $589
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 28,640
-
24,340
-
-
Other Cost Adjustments:
Change in trainings & meetings
Change in operating materials & supplies
Change in contractual services
Change in other professional services
Change in utilities
Change in other operating expense
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in contractual services
Change in utilities
Change in other operating expense
(2,600)
(104,404)
(100)
(18,764)
656,591
605,713
$ 10,010,973
(15,450)
212,775
30,400
-
-
Section 6 - Page 11
3,446,350
(15,300)
151,895
178,620
368,895DR
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Section 6 - Page 12
Personnel $ , $ , , $ , , $ , , ( . %)$ , , . %
Supplies , , , , . % , , . %
Professional & Contractual Services , , , , , , , , . % , , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , . % , . %
Utilities , , , , , , , , . % , , . %
Other , , , , , , , , . % , , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
Expenditure Trends
$ 6,192,737$ 6,192,737$ 6,192,737
$ 8,137,547$ 8,137,547$ 8,137,547
$ 7,011,783$ 7,011,783$ 7,011,783
$ 10,010,973$ 10,010,973$ 10,010,973
$ 14,287,812$ 14,287,812$ 14,287,812
$ 15,534,235$ 15,534,235$ 15,534,235
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
4M
6M
8M
10M
12M
14M
16M
18M
Consolidated Services
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220
Sta ng Trends
242424 242424
232323
262626
252525 252525
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
24
26
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Total
Financial Management
Section 6 - Page 13
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Issue monthly nancial reports within working days of the
following month for % of the year.
No more than invoices for payment outstanding longer
than days during the completion of any one accounts
payable cycle % of the time.
The current backlog of rebate claims will be processed
resulting in all claims being processed with days of receipt.
Payroll processing will be completed on time % of the time
and error free > . % of the time.
All debt service payments will be paid electronically, by the
due dates, and error free % of the time.
Goal was achieved.
No more than invoices for payment outstanding longer
than days during the completion of any one accounts
payable cycle % of the time.
Sewer service rebate claims were processed within days
approximately % of the time as a result of methodology
changes and sta shortages during COVID.
Payroll was processed with an error-free rate of % on a
bi-weekly and interim basis.
All debt service payments were paid electronically, by the
due dates, and error free % of the time.
Section 6 - Page 14
The mission of the Financial Management Division is to maintain nancial oversight and administration of all OC San funds and accounts.
The Financial Management Division is responsible for administering the treasury management and debt nancing programs, the processing
of cash receipts, accounts payable, accounts receivable, user fees, payroll, accounting for xed assets, and coordinating the capital and
operating budget process throughout OC San. The annual audit required by law and all nancial reporting required of special districts by
the State of California is coordinated and administered through this division.
Service Description
2024-25 & 2025-26 Performance Objectives
Financial Reports Issuance Standard % % % %OC San Standards
Accounts Payable Standard % % % %OC San Standards
Sewer Service Refund Day Standard % % % %OC San Standards
Payroll Error Free Standard % % . % . %OC San Standards
Debt Service Payment Standard % % % %OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Issue monthly reports within working days of the next month for % of the year.
No more than invoices shall be outstanding more than days % of the time.
Rebate claims to be processed < days of receipt % of the time.
Payroll processing to be completed on time and error free > . % of the time.
Debt service payments will be paid on time electronically, and be error free.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Financial Management
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Financial Management
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Financial Management Division re ect an increase of 11% and an increase of 5% over the
prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses, temporary services, and other
contractual services. The FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 4,710,890
$ 4,957,114
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (3,639)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (1)
191,944
26,066
40,459
1,706
Other Cost Adjustments:
Change in training & meetings
Change in temporary services
Change in other contractual services
Change in professional services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
314,044
91,816
66,928
16,325
(13,945)
(13,950)
$ 4,229,861
10,000
5,000
(5,500)
(1)
5
Section 6 - Page 15
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Section 6 - Page 16
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , . % , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance -- - . %- . %
Utilities ---- . %- . %
Other . % . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 3,889,297$ 3,889,297$ 3,889,297
$ 2,971,128$ 2,971,128$ 2,971,128
$ 4,637,573$ 4,637,573$ 4,637,573
$ 4,229,861$ 4,229,861$ 4,229,861
$ 4,710,890$ 4,710,890$ 4,710,890
$ 4,957,114$ 4,957,114$ 4,957,114
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
2 500K
3 000K
3 500K
4 000K
4 500K
5 000K
5 500K
Expenditure Trends
Financial Management
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230
Sta ng Trends
313131 313131 313131
292929
303030 303030
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
29
30
31
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Total
Contracts, Purchasing, & Materials Management
Section 6 - Page 17
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Maintain the cycle count program and maintain a %
accuracy rate or better.
Obtain the “Achievement of Excellence in Procurement”
(AEP) award by meeting all National requirements.
Conduct agency-wide procurement training.
Review and track Certi cates of Insurance for vendors and
contractors.
Achieved.
AEP Award Received.
In progress.
In progress.
Section 6 - Page 18
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 OC San departments. OC San’s warehouses receive, inventory and distribute
supplies, materials and equipment to all departments in addition to inventory control analysis and surplus disposition.
Service Description
2024-25 & 2025-26 Performance Objectives
Cycle Count Achieved Achieved Achieve Achieve APICS Standard
AEP Award Obtained Obtain Obtain Obtain Industry Standards
Procurement Training Ongoing Ongoing Ongoing Ongoing Best Practices
Insurance Tracking Achieved Achieved Achieve Achieve Contract Compliance
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Maintain the cycle count program and maintain a % accuracy rate or better.
Obtain the annual “Achievement of Excellence in Procurement” (AEP) award by meeting all National requirements.
Conduct agency-wide procurement training.
Review and track Certi cates of Insurance for vendors and contractors.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Contracts, Purchasing, & Materials Management
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Contracts, Purchasing, & Materials Management
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Contracts, Purchases, & Materials Management Division re ect an increase of 4% and an
increase of 2% over the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in training & meetings, software
program consulting and other professional services and partially o set by a decrease in personal expenses. The FY 2025-26 increase is
primarily due to personnel expenses and partially o set by a decrease in other professional services.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 5,359,090
$ 5,454,476
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (3,850)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 851
190,173
25,757
47,883
2,047
Other Cost Adjustments:
Change in minor furniture & xtures
Change in training & meetings
Change in tools
Change in misc. operating supplies
Change in temporary services
Change in legal services
Change in software program consulting
Change in other professional services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in other professional services
(78,475)
25,165
24,911
14,405
(10,000)
(21,325)
$ 5,171,811
10,923
(10,300)
(7,500)
(10,000)
(25,000)
(150,000)
1
2
Section 6 - Page 19
7,000
250,000
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Section 6 - Page 20
Personnel $ , , $ , , $ , , $ , , ( . %)$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , . % , ( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , . % , . %
Utilities ---- . %- . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 4,116,344$ 4,116,344$ 4,116,344
$ 3,535,297$ 3,535,297$ 3,535,297
$ 5,316,679$ 5,316,679$ 5,316,679
$ 5,171,811$ 5,171,811$ 5,171,811
$ 5,359,090$ 5,359,090$ 5,359,090
$ 5,454,476$ 5,454,476$ 5,454,476
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
3 000K
3 500K
4 000K
4 500K
5 000K
5 500K
6 000K
Expenditure Trends
Contracts, Purchasing, & Materials Management
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250
Sta ng Trends
454545 454545
474747
494949 505050 505050
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
46
48
50
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Technical Services
Total
Information Technology
Section 6 - Page 21
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Replace obsolete desktop, mobile and server computers.
Maintain Safety Scorecard above %.
Cyber Security Awareness/Protection - better the industry
average by %.
Replace % of obsolete network infrastructure for OC San’s
o ce computing.
Manage Operating Budget between % and % of
approved budget.
Replaced % of computer inventory.
The Safety Scorecard is at %.
OC San’s phish-prone percentage has decreased and is
. % better than industry average.
Replaced % of network infrastructure.
Currently spent % of approved budget.
Section 6 - Page 22
Information Technology provides support to OC San users of related assets/services, developing and implementing solutions that best meet
organizational needs. IT procures/manages hardware/software and provides end user support in computer and telecom installations, moves
and changes. IT is responsible for the design, installation, maintenance, troubleshooting and upgrades of enterprise applications,
networking infrastructure components, back-end computer systems, wireless connectivity, plant radio, public address/ re systems, cyber
security infrastructure, reprographics and copy center. IT works closely with departments to provide systems analysis, design, custom
programming, system implementation/integration, database/data warehousing and support.
Service Description
2024-25 & 2025-26 Performance Objectives
Replace Obsolete Desktop/Mobile/Server Computers % % % %WS /LT years
Maintain a Safety scorecard above % overall % % % %OC San Standards
Cyber Security Awareness/Protection . % %< %< %GM Workplan
Replace Obsolete Network Infrastructure, O ce % % % %system availability
Manage Operating Budget % %Ongoing Ongoing OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Replace obsolete desktop, mobile and server computers.
Maintain a Safely Scorecard above % for overall score.
Cyber Security Awareness/Protection – phishing campaign e ectiveness, targeting % above the industry average
Replace obsolete network infrastructure for OC San’s o ce computing.
Maintain a Service Desk score above %.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Information Technology
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Information Technology
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Information Technology Division re ect an increase of 2% and an increase of 1% over the
prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personal expenses and partially o set by a decrease in
service maintenance agreements. The FY 2025-26 increase is primarily due to personnel expenses and partially o set by a decrease in
software program consulting, other professional services, and repairs and maintenance services.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 15,991,712
$ 16,088,829
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 5,625
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 3,249
344,601
46,836
80,357
3,413
Other Cost Adjustments:
Change in small computer items
Change in printing & publications
Change in trainings & meetings
Change in temporary services
Change in software program consulting
Change in repairs & maintenance services
Change in service maintenance agreements
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in small computer items
Change in software program consulting
Change in other professional services
Change in repairs & maintenance services
Change in service maintenance agreements
635,137
126,249
118,809
34,207
45,000
36,141
$ 15,695,175
(8,625)
(80,000)
90,100
180,000
(107,400)
(150,000)
(220,000)
1
-
Section 6 - Page 23
15,000
(864,965)
59,920DR
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Section 6 - Page 24
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , , , , . % , , . %
Professional & Contractual Services , , , , . % , ( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , , , , , ( . %) , , ( . %)
Utilities ---- . %- . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 10,681,344$ 10,681,344$ 10,681,344
$ 10,079,798$ 10,079,798$ 10,079,798
$ 12,989,433$ 12,989,433$ 12,989,433
$ 15,695,175$ 15,695,175$ 15,695,175
$ 15,991,712$ 15,991,712$ 15,991,712 $ 16,088,829$ 16,088,829$ 16,088,829
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
9M
10M
11M
12M
13M
14M
15M
16M
17M
Expenditure Trends
Information Technology
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310
Sta ng Trends
------------
111 111
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
0
1
24-25 & 25-26 Authorized FTE Positions
Executive Managers
Total
Communications Administration
Section 6 - Page 25
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Maintain the Special District Leadership Foundation (SLDF)
District Transparency Certi cate of Excellence.
Respond to % of public records requests within ten
business days
Provide information to Board of Directors through the General
Manager’s monthly report and the new Board Member
orientation.
Provide services and implement programs that meet
communication needs of OC San’s audiences by reaching a
minimum of , people per year, and pieces of …
Proactive engagement in legislative advocacy e orts that
could impact OC San and the wastewater industry through the
implementation of a Legislative and Regulatory A airs Plan.
Achieved.
Achieved % success rate.
Achieved.
Estimated to be complete by the end of FY - .
Achieved % success rate.
Section 6 - Page 26
The Communications Administrative Division is designed to streamline communication and enhance transparency between government
entities, the public, and our employees. We specialize in meeting management, public records, and crafting clear and engaging messages
that convey important information, policies, and initiatives to our stakeholders. Our team works diligently to ensure that our agency actions
are understood and accessible, fostering trust and accountability within both our internal and external communities.
Service Description
2024-25 & 2025-26 Performance Objectives
Maintain the SLDF Transparency Certi cate N/A N/A % %OC San Standards
Respond to % PRAs within ten business days N/A N/A % %OC San Standards
Board of Directors and GM Support N/A N/A Achieve Achieve OC San Standards
Legislative Advocacy N/A N/A Achieve Achieve OC San Standards
Manage Budget N/A N/A % %OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Maintain the Special District Leadership Foundation (SLDF) District Transparency Certi cate of Excellence.
Respond to percent of public records requests within ten business days
Provide information to Board of Directors through the General Manager’s monthly report and new Board Member orientation.
Provide services and programs for OC San’s audience by reaching , people per year and pieces of communications.
Proactive engagement in legislative advocacy e orts that could impact OC San and the wastewater industry.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Communications Administration
DR
A
F
T
Communications Administration
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the new Communications Administration Division re ect an increase of - and a decrease of
(14%) over the prior year, respectively. As a new Division, the FY 2024-25 budget commences the rst year of the budget cycle. The FY
2025-26 decrease is primarily due to a decrease in other professional services.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 320,274
$ 275,362
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1
15,649
2,638
1,732
68
Other Cost Adjustments:
Change in training & meetings
Change in other professional services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in other professional services
190,306
32,548
18,912
10,107
3,400
-
65,000
1
1
Section 6 - Page 27
(65,000)DR
A
F
T
Section 6 - Page 28
Personnel ---$ , . %$ , . %
Supplies --- , . % , . %
Professional & Contractual Services --- , . %-( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other ---- . %- . %
Total ---$ , . %$ , ( . %)
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 0$ 0$ 0 $ 0$ 0$ 0 $ 0$ 0$ 0 $ 0$ 0$ 0
$ 320,274$ 320,274$ 320,274
$ 275,362$ 275,362$ 275,362
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
0
50K
100K
150K
200K
250K
300K
350K
Expenditure Trends
Communications Administration
DR
A
F
T
320
Sta ng Trends
777
666 666
777 777 777
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
6
7
24-25 & 25-26 Authorized FTE Positions
Supervisors / Professionals
Administrative & Clerical
Con dential
Total
Board Services
Section 6 - Page 29
DR
A
F
T
Mail Board agenda packages six calendar days prior to
Committee and Board meetings, % of the time.
Maintain accurate records of o cial actions taken by the
Board of Directors and post those actions to website by :
p.m. the day following a meeting.
Respond to % of Public Records Requests within business
days.
Maintain legal compliance with various federal, state and local
laws (Brown Act, Political Reform Act, etc.)
Maintain OC San Transparency Certi cate of Excellence
(SDLF).
Achieved % success rate.
Achieved % success rate.
Achieved % success rate.
Achieved % success rate.
Achieved % success rate.
Section 6 - Page 30
The mission of the Board Services Division is to provide exceptional customer service and support to the Board of Directors, OC San Sta
and the general public through the Clerk of the Board’s o ce. The Clerk’s o ce promotes public trust and ensures transparency by:
accurately recording and preserving the legislative actions of OC San; safeguarding the vital, historic and permanent records of OC San as
their o cial custodian; preparing and publishing agendas and notices in accordance with legal requirements; receiving and responding to
requests for records, acts as ling o cer for Statement of Economic Interest lings; receiving and processing summons, subpoenas and
complaints led against OC San; and maintaining rosters of the Board of Directors, appointed committees and historical events.
Service Description
2024-25 & 2025-26 Performance Objectives
Board Agenda Packages Achieved Achieved Sustain Sustain OC San Standards
Maintain & Post accurate records of Board actions Achieved Achieved Sustain Sustain Legal Compliance
Public requests response within business days Achieved Achieved Sustain Sustain OC San Standards
Maintain Legal Compliance Achieved Achieved Sustain Sustain Legal Compliance
Maintain OC San Transparency Certi cate Achieved Achieved Sustain Sustain OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Publish Board agenda packages six calendar days prior to Committee & Board meetings unless authorized by the GM.
Maintain & post records of o cial actions taken by the Board of Directors to website by : pm the day after meeting.
Maintain legal compliance with various federal, state and local laws (Brown Act, Political Reform Act, etc.).
Respond to % of public records requests within business days.
Maintain OC San Transparency Certi cate of Excellence (SDLF).
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Board Services
DR
A
F
T
Board Services
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Board Services Division re ect a decrease of (3%) and an increase of 3% over the prior
year, respectively. The FY 2024-25 decrease is primarily due to an decrease in books & publications, notices and ads, other professional
services and personnel expenses. The FY 2025-26 increase is primarily due to personnel expenses and postage.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 1,322,596
$ 1,367,299
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 810
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1,045
30,253
3,311
10,986
478
Other Cost Adjustments:
Change in postage
Change in books & publications
Change in notices and ads
Change in other professtional services
Change in misc. operating expenses
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in postage
Change in training & meetings
(7,640)
(5,578)
8,997
937
8,000
5,000
$ 1,369,414
(5,000)
(4,000)
(75,000)
31,656
-
7
Section 6 - Page 31
(6,370)DR
A
F
T
Section 6 - Page 32
Personnel $ , $ , , $ , $ , ( . %)$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , ( . %) , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , ( . %)$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 808,951$ 808,951$ 808,951
$ 665,191$ 665,191$ 665,191
$ 1,074,729$ 1,074,729$ 1,074,729
$ 1,369,414$ 1,369,414$ 1,369,414
$ 1,322,596$ 1,322,596$ 1,322,596
$ 1,367,299$ 1,367,299$ 1,367,299
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
600K
800K
1 000K
1 200K
1 400K
1 600K
Expenditure Trends
Board Services
DR
A
F
T
340
Sta ng Trends
666 666 666
777
888 888
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
6
7
8
24-25 & 25-26 Authorized FTE Positions
Supervisors / Professionals
Administrative & Clerical
Total
Public A airs
Section 6 - Page 33
DR
A
F
T
Provide services and implement programs that meet the
communications needs of OC San’s internal audiences by
producing a minimum of internal communication pieces.
Provide services and implement programs that meet
communications needs of OC San’s external audiences by
reaching a minimum of , people.
Support General Manager activities and provide information to
Board of Directors through the General Manager’s monthly
report, monthly city/agency speci c brie ng reports.
Proactive engagement in legislative advocacy e orts that
could impact OC San and the industry.
At mid-year, this goal has already been met. To date, almost
pieces of internal communication pieces have been
produced.
To date, OC San has reached over , people via printed
and electronic communication pieces, as well as tours,
events, and speaking engagements.
Prepared monthly talking points for the Board Members and
General Manager, the General Manager's Monthly Report,
and reports on division e orts to the Steering Committee.
To date are monitoring State bills, taking position on eight
with Governor signing four of them. At the Federal level
monitoring bills, have taken position on three of them.
Section 6 - Page 34
The Public A airs 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 internal and external communications,
media relations, community relations, community education and outreach, corporate identity program, collateral material and graphics
development, presentation development, crisis communications and legislative a airs. The goal is to create a comprehensive
communications program that promotes clear and transparent communications with all identi ed audiences and to promote the
understanding of OC San’s mission to protect public health and the environment.
Service Description
2024-25 & 2025-26 Performance Objectives
Internal Services and Programs Achieved Achieved Planned Planned Division Workplan
External Services and Programs Achieved Ongoing Planned Planned Strategic Plan
Board of Directors and General Manager Support Achieved Ongoing Planned Planned GM Workplan
Legislative Advocacy Achieved Ongoing Planned Planned Strategic Plan
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Provide services and programs to meet communications needs of internal audiences by producing communication pieces.
Provide services and implement programs to meet communication needs of external audiences by reaching , people.
Support General Manager activities & provide information to Board through reports and agency speci c brie ng reports.
Proactive engagement in legislative advocacy e orts that could impact OC San and the industry.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Public A airs
DR
A
F
T
Public A airs
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Public A airs Division re ect an increase of 26% and an increase of - over the prior year,
respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses and miscellaneous operating expenses. The
FY 2025-26 increase is primarily due to personnel expenses and partially o set by a decrease in training & meetings and other
professional services.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 1,966,700
$ 1,972,808
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 710
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1,499
41,785
5,177
12,651
546
Other Cost Adjustments:
Change in training & meetings
Change in operating materials & supplies
Change in other professional services
Change in misc. operating expense
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in other professional services
Change in misc. operating expense
259,901
40,416
68,119
3,772
(6,400)
(15,550)
$ 1,557,232
3,300
2,500
1
11
Section 6 - Page 35
37,150
(45,000)
5,000DR
A
F
T
Section 6 - Page 36
Personnel $ , $ , $ , $ , , . %$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , . % , ( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance ( )--- . %- . %
Utilities ---- . %- . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 1,044,307$ 1,044,307$ 1,044,307
$ 907,461$ 907,461$ 907,461
$ 1,631,661$ 1,631,661$ 1,631,661
$ 1,557,232$ 1,557,232$ 1,557,232
$ 1,966,700$ 1,966,700$ 1,966,700 $ 1,972,808$ 1,972,808$ 1,972,808
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
750K
1 000K
1 250K
1 500K
1 750K
2 000K
2 250K
Expenditure Trends
Public A airs
DR
A
F
T
510
Sta ng Trends
------------
111 111
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
0
1
24-25 & 25-26 Authorized FTE Positions
Executive Managers
Total
Human Resources Administration
Section 6 - Page 37
DR
A
F
T
Maintain legal and regulatory compliance.
Ensure reporting divisions achieve % of individual
performance objectives.
Manage the department’s budget to within % to % of the
approved budget.
Ongoing
On track.
Estimated to stay within budget.
Section 6 - Page 38
Human Resources Administration provides leadership, support, and oversight in managing the varied and complex functions of the
Department. The Director provides counsel and expertise on organizational initiatives, and works closely with sta to accomplish OC San's
Strategic Plan and departmental goals.
Service Description
2024-25 & 2025-26 Performance Objectives
Legal and Regulatory compliance Achieved Ongoing Achieve Achieve OC San Standards
Department Performance Objectives > %> %> %> %OC San Standards
Manage Budget Achieved Ongoing - % - %OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Legal and regulatory compliance
Ensure reporting divisions achieve % of individual performance objectives.
Manage the department’s budget to within % to % of the approved budget.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Human Resources Administration
DR
A
F
T
Human Resources Administration
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the new Human Resources Administratiion Division re ect an increase of - and an increase of
7% over the prior year, respectively. As a new Division, the FY 2024-25 budget commences the rst year of the budget cycle. The FY
2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 346,221
$ 371,502
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
21,943
3,700
1,823
68
Other Cost Adjustments:
Change in memberships
Change in training & meetings
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
266,789
45,992
20,021
7,365
730
(2,253)
-
1
1
Section 6 - Page 39
5,323
DR
A
F
T
Section 6 - Page 40
Personnel ---$ , . %$ , . %
Supplies --- , . % , ( . %)
Professional & Contractual Services ---- . %- . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other ---- . %- . %
Total ---$ , . %$ , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 0$ 0$ 0 $ 0$ 0$ 0 $ 0$ 0$ 0 $ 0$ 0$ 0
$ 346,221$ 346,221$ 346,221
$ 371,502$ 371,502$ 371,502
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
0
100K
200K
300K
400K
Expenditure Trends
Human Resources Administration
DR
A
F
T
520
Sta ng Trends
161616 161616 161616
171717
161616 161616
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
16
17
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Total
Human Resources
Section 6 - Page 41
DR
A
F
T
Complete all labor negotiations with all units by / / and
implement the changes e ective FY / and through the
end of the approved contract duration
Expand OC San U training o erings to outside agencies to two
per year, and continue to o er one employee training session
per month for OC San employees
Evaluate and determine agency needs for a centralized
training program by / / and implement the changes
e ective FY /
Meet the training level of service of hours per employee
Manage the department’s budget to be within % to % of
the approved budget
Completed
Completed and ongoing
Completed and ongoing
Ongoing
On track
Section 6 - Page 42
Human Resources serves as a strategic partner to departments on employment matters and organizational programs. The division ensures
compliance with labor and employment law, and oversees programs and services designed to attract, develop, motivate and retain a high
performing workforce that meet the needs of the organization. The team provides highly responsive services to employees in recruitment
and selection, classi cation and compensation, bene ts, training, employee and labor relations, leave administration, performance
management and employee recognition. Additionally, the division is responsible for implementing policies and procedures, and providing
highly responsive and professional consultation on human resources matters.
Service Description
2024-25 & 2025-26 Performance Objectives
Approved Labor Contracts Achieved Sustain Sustain Planned Division Workplan
Workforce Planning/Workforce Development Achieved Sustain Sustain Sustain Strategic Plan
Training Level of Service Ongoing Sustain Sustain Level of Services
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Complete labor negotiations with all bargaining units by / /
Fully implement the Centralized Training Program by FY /
Meet the training level of service of - hours per employee
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Human Resources
DR
A
F
T
Human Resources
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Human Resources Administration Division re ect a decrease of (6%) and an increase of
3% over the prior year, respectively. The FY 2024-25 decrease is primarily due to an increase in personnel expenses, training & meetings,
other contractual services and other professional services. The FY 2025-26 increase is primarily due to personnel expenses and partially
o set by a decrease in training & meetings and labor negotiation services.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 4,501,044
$ 4,618,876
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 3,652
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
126,374
20,519
25,881
1,092
Other Cost Adjustments:
Change in notices & ads
Change in training & meetings
Change in other contractual services
Change in legal services
Change in labor negotiation services
Change in other professional services
Change in other non-operating expenses
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in labor negotiation services
(263,498)
13,091
924
(6,680)
5,000
(36,034)
$ 4,790,970
(30,951)
(20,000)
50,000
20,000
(48,000)
(20,000)
(1)
19
Section 6 - Page 43
(6,160)
DR
A
F
T
Section 6 - Page 44
Personnel $ , , $ , , $ , , $ , , ( . %)$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , , , , . % , , ( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other , , , , ( . %) , . %
Total $ , , $ , , $ , , $ , , ( . %)$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 3,269,273$ 3,269,273$ 3,269,273
$ 3,538,043$ 3,538,043$ 3,538,043
$ 4,501,484$ 4,501,484$ 4,501,484
$ 4,790,970$ 4,790,970$ 4,790,970
$ 4,501,044$ 4,501,044$ 4,501,044
$ 4,618,876$ 4,618,876$ 4,618,876
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
3 000K
3 250K
3 500K
3 750K
4 000K
4 250K
4 500K
4 750K
5 000K
Expenditure Trends
Human Resources
DR
A
F
T
530
Sta ng Trends
101010 101010 101010
111111 111111 111111
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
10
11
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Con dential
Total
Risk Management
Section 6 - Page 45
DR
A
F
T
Provide Safety Training & Orientations
Develop and implement Job Safety Analyses (JSAs)
Evaluate and monitor the Safety & Health Program
Implement Physical Security Plan
Emergency Management
Ongoing
Ongoing
Ongoing
Ongoing
Ongoing
Section 6 - Page 46
Risk Management ensures regulatory compliance and safeguards the wellbeing of employees, contractors and visitors through
comprehensive safety and health programs. The division is responsible for the identi cation of potential or known hazards, safety training,
incident investigations, construction contractor oversight, facility inspections and audits, and industrial hygiene assessments to mitigate risk
and workplace accidents and injuries. Other responsibilities include physical security and emergency management services including
surveillance of critical infrastructure and emergency response and recovery e orts.
Service Description
2024-25 & 2025-26 Performance Objectives
Safety Training & Orientations Achieved Ongoing Planned Planned Legal Compliance
Job Safety Analyses Achieved Ongoing Planned Planned Legal Compliance
Safety & Health Program Achieved Ongoing Planned Planned Strategic Plan
Physical Security Plan Achieved Ongoing Planned Planned Strategic Plan
Emergency Management Achieved Ongoing Planned Planned Strategic Plan
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure % completion of Safety Training and Contractor Safety Orientations.
Develop, implement, and update Job Safety Analyses for high-risk work activities.
Evaluate the Safety & Health Program through third party audits, periodic inspections, and key performance indicators.
Implementation of Physical Security Plans on new designs and renovation projects.
Prepare and conduct routine Emergency Response Exercises; provide and monitor emergency response training.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Risk Management
DR
A
F
T
Risk Management
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Risk Management/Safety/Security Division re ect a decrease of (39%) and an increase of
3% over the prior year, respectively. The FY 2024-25 decrease is primarily due to a decrease in security services and training & meetings.
The FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 3,298,191
$ 3,380,717
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 4,163
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services $2,381
74,379
7,822
17,693
751
Other Cost Adjustments:
Change in o ce expense & supplies
Change in printing & publications
Change in training & meetings
Change in security services
Change in other contractual services
Change in repairs & maintenance services
Change in regulatory operating fees
Change in outside laboratory services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in trainings & meetings
216,363
23,308
31,921
7,180
11,500
(20,500)
$ 5,448,050
12,450
(196,330)
(2,342,414)
54,500
21,500
-
14
Section 6 - Page 47
4,000
2,000
DR
A
F
T
Section 6 - Page 48
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , , , , ( . %) , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , . % , . %
Utilities ---- . %- . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , ( . %)$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 3,497,116$ 3,497,116$ 3,497,116 $ 3,456,804$ 3,456,804$ 3,456,804
$ 4,545,306$ 4,545,306$ 4,545,306
$ 5,448,050$ 5,448,050$ 5,448,050
$ 3,298,191$ 3,298,191$ 3,298,191 $ 3,380,717$ 3,380,717$ 3,380,717
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
3 000K
3 500K
4 000K
4 500K
5 000K
5 500K
6 000K
Expenditure Trends
Risk Management
DR
A
F
T
610
Sta ng Trends
222
111111 12.512.512.5 131313
222 222
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
10
24-25 & 25-26 Authorized FTE Positions
Executive Managers
Administrative & Clerical
Total
Environmental Services Administration
Section 6 - Page 49
DR
A
F
T
Manage operating expenditures to within % to % of the
approved budget.
Ensure that reporting divisions achieve % of individual
performance objectives.
On track
On track
Section 6 - Page 50
Environmental Services Administration provides leadership, support, and management oversight for the Department to accomplish OC
San’s Strategic Plan and departmental annual goals. The team actively advocates for responsible and pragmatic environmental regulations
relevant to wastewater treatment and resource recovery.
Service Description
2024-25 & 2025-26 Performance Objectives
Manage Budget Achieved Ongoing Planned Planned Board Approved
Department Performance Objectives Achieved Ongoing Planned Planned OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Manage operating expenditures to within % to % of the approved budget.
Ensure that reporting divisions achieve % of individual performance objectives.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Environmental Services Administration
DR
A
F
T
Environmental Services Administration
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Environmental Services Division re ect a decrease of (77%) and an increase of 2% over
the prior year, respectively. The FY 2024-25 increase is primarily due to a decrease in personnel expenses, environmental scienti c
consulting, other professional services, research & monitoring and regulatory operating fees. The FY 2025-26 increase is primarily due to
personnel expenses and research & monitoring.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 1,340,931
$ 1,373,018
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 2,944
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
11,522
2,695
3,250
137
Other Cost Adjustments:
Change in trainings & meetings
Change in professional services-auditing
Change in legal services
Change in environmental scienti c consulting
Change in advocacy e orts
Change in other professional services
Change in research & monitoring
Change in regulatory operating fees
Change in temporary services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in research & monitoring
(1,581,905)
(167,490)
(176,445)
(39,170)
(88,875)
(2,400)
$ 5,719,939
(103,570)
(60,000)
(210,000)
10,000
(250,000)
16,883
(11)
12
Section 6 - Page 51
(203,609)
(1,500,000)
5,000
DR
A
F
T
Section 6 - Page 52
Personnel $ , , $ , , $ , , $ , ( . %)$ , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , ( . %) , . %
Research & Monitoring , , , , ( . %) , . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other , , , , , , ( . %) . %
Total $ , , $ , , $ , , $ , , ( . %)$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 1,542,751$ 1,542,751$ 1,542,751
$ 3,289,916$ 3,289,916$ 3,289,916
$ 4,324,321$ 4,324,321$ 4,324,321
$ 5,719,939$ 5,719,939$ 5,719,939
$ 1,340,931$ 1,340,931$ 1,340,931 $ 1,373,018$ 1,373,018$ 1,373,018
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
1M
2M
3M
4M
5M
6M
Expenditure Trends
Environmental Services Administration
DR
A
F
T
620
Sta ng Trends
373737 373737 373737 373737 373737 373737
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
37
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Technical Services
Total
Resource Protection
Section 6 - Page 53
DR
A
F
T
Meet % of regulatory deadlines for required pretreatment
program reports.
Implement Ordinance terms and conditions, enforcing
prohibitions (e.g., stormwater, slug discharges, etc.).
Issue and renew % of the industrial wastewater permits
prior to the expiration date.
Complete all assigned inspections and monitoring of Class I
industrial permit holders.
Support of GWRS, special projects and routine monitoring
requirements.
To date, % compliance.
To date, % compliance.
To date, sta issued and renewed % of the industrial
wastewater permits prior to the expiration dates.
To date, sta completed all assigned inspections and
monitoring of Class I industrial permit holders.
Sta is supporting GWRS, special projects, and routine
monitoring requirements.
Section 6 - Page 54
Resource Protection provides local enforcement of federal pretreatment regulations and ensures continuous improvement in OC San’s
enhanced source control program to sustain water reclamation and bene cial biosolids reuse. The division conducts its industrial and
enhanced source control activities in a cost e ective and legally defensible manner to protects OC San’s assets, employees, public health,
and the environment.
Service Description
2024-25 & 2025-26 Performance Objectives
Manage Division Budget % % % %OC San Standards
Meet % of Regulatory Deadlines (Reports) % % % %Permit Requirements
Implement Ordinance % % % %Permit Requirements
Industrial Permit Issuance/Renewal % % % %Permit Requirements
Inspections/Monitoring % % % %Joint Agreement
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure the division’s expenditures are managed to within % of proposed budget.
Meet % of regulatory deadlines for required pretreatment program reports.
Implement Ordinance terms and conditions, enforcing prohibitions (e.g., stormwater, slug discharges, etc.).
Issue and renew % of the regular industrial wastewater discharge permits on time.
Complete all required inspections and monitoring of Class I industrial permittees.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Resource Protection
DR
A
F
T
Resource Protection
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Resource Protection Division re ect a decrease of (1%) and an increase of 4% over the
prior year, respectively. The FY 2024-25 decrease is primarily due to an decrease in tools and temporary services. The FY 2025-26
increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 7,609,490
$ 7,921,299
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 3,290
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 3,185
230,314
27,955
59,260
2,525
Other Cost Adjustments:
Change in trainings & meetings
Change in tools
Change in safety equipment & tools
Change in laboratory chemicals & supplies
Change in temporary services
Change in environmental scienti c consulting
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in trainings & meetings
Change in safety equipment & tools
Change in solvents, painting, & janitorial
Change in laboratory supplies
(77,669)
33,954
45,268
14,283
(7,960)
(21,930)
$ 7,710,253
(145,929)
(18,000)
7,000
(100,000)
145,000
5,000
-
-
Section 6 - Page 55
2,500
3,000DR
A
F
T
Section 6 - Page 56
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , . % , . %
Research & Monitoring , , , , . % , . %
Repairs & Maintenance , , , , . % , . %
Utilities ---- . %- . %
Other , . % , . %
Total $ , , $ , , $ , , $ , , ( . %)$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 5,098,170$ 5,098,170$ 5,098,170
$ 3,735,319$ 3,735,319$ 3,735,319
$ 6,119,396$ 6,119,396$ 6,119,396
$ 7,710,253$ 7,710,253$ 7,710,253 $ 7,609,490$ 7,609,490$ 7,609,490
$ 7,921,299$ 7,921,299$ 7,921,299
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
3M
4M
5M
6M
7M
8M
9M
Expenditure Trends
Resource Protection
DR
A
F
T
630
Sta ng Trends
545454
454545
43.543.543.5 444444
474747 474747
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
50
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Technical Services
Total
Laboratory, Monitoring & Compliance
Section 6 - Page 57
DR
A
F
T
Continued e ciency improvement as measured by internal
standards and industry benchmarking with regional
laboratories.
Successful performance on pro ciency test standards to
maintain lab accreditations
Manage Budget
Support of GWRS, special projects, and routine monitoring
requirements
Meet all NPDES Permit requirements
On Track
On Track
On track to meet goal of - %
On Track
On Track
Section 6 - Page 58
Environmental Laboratory and Ocean Monitoring provides sampling, ocean and treatment process monitoring, laboratory analysis, and
oceanographic research services to OC San’s operations and to protect receiving water quality. The division is responsible for collaborating
with OC San’s coastal monitoring partners and advancing analytical innovation in key regulatory areas such as compounds of emerging
concern and toxic air contaminants.
Service Description
2024-25 & 2025-26 Performance Objectives
Laboratory Productivity Achieved Ongoing Sustain Sustain OC San Standards
Lab Accreditation Achieved Ongoing Sustain Sustain Lab Accreditation
Manage Budget Achieved Ongoing Sustain Sustain OC San Standards
Support initiatives and projects Achieved Ongoing Sustain Sustain OC San Standards
Permit compliance Achieved Ongoing Sustain Sustain Permit Requirements
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Continue e ciency improvements.
Successful performance on pro ciency test standards ( - %).
Manage operating expenditures to % to % of the approved budget.
Support GWRS, special projects, and routine monitoring requirements.
Meet all NPDES Permit requirements.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Laboratory, Monitoring & Compliance
DR
A
F
T
Laboratory, Monitoring & Compliance
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Laboratory, Monitoring & Compliance Division re ect an increase of 8% and an increase of
2% over the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses and environmental
research & monitoring. The FY 2025-26 increase is primarily due to personnel expenses and partially o set by a decrease in
environmental research & monitoring, environmental scienti c consulting and temporary services.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 11,665,367
$ 11,908,090
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 8,960
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (5,921)
273,107
35,436
74,893
3,208
Other Cost Adjustments:
Change in trainings & meetings
Change in gas, diesel, & oil expenses
Change in laboratory chemicals & supplies
Change in outside laboratory services
Change in temporary services
Change in environmental research & monitoring
Change in repairs & maintenance expenses
Change in regulatory operating fees
Change in administrative expenses
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in gas, diesel, & oil expenses
Change in laboratory chemicals & supplies
Change in temporary services
Change in environmental scienti c consulting
Change in environmental research & monitoring
Change in repairs & maintenance expenses
Change in regulatory operating fees
336,362
81,819
99,393
35,805
(27,185)
10,000
$ 10,765,428
16,000
30,000
40,000
(66,400)
263,000
10,000
(50,000)
(48,000)
3
-
Section 6 - Page 59
60,000
15,000
(130,000)
60,000
10,000
7,185
DR
A
F
T
Section 6 - Page 60
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , . % , . %
Professional & Contractual Services , , , , ( . %) , ( . %)
Research & Monitoring , , , , , . % , , ( . %)
Repairs & Maintenance , , , , . % , . %
Utilities ---- . %- . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 10,492,345$ 10,492,345$ 10,492,345
$ 6,933,600$ 6,933,600$ 6,933,600
$ 9,698,705$ 9,698,705$ 9,698,705
$ 10,765,428$ 10,765,428$ 10,765,428
$ 11,665,367$ 11,665,367$ 11,665,367
$ 11,908,090$ 11,908,090$ 11,908,090
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
6M
7M
8M
9M
10M
11M
12M
13M
Expenditure Trends
Laboratory, Monitoring & Compliance
DR
A
F
T
650
Sta ng Trends
------------
11.511.511.5 11.511.511.5
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
0
10
24-25 & 25-26 Authorized FTE Positions
.
.
Managers
Supervisors / Professionals
Total
Environmental Compliance
Section 6 - Page 61
DR
A
F
T
Manage Budget
Department Performance Objectives
Compliance Reporting Requirements
Audit Environmental Permits: Quarterly, semi annual, annual,
every years
Achieved
Achieved
Achieved
Achieved
Section 6 - Page 62
Environmental Compliance group is tasked with ensuring adherence to environmental regulations and permit conditions for ocean
discharge, air emissions, and biosolids/solids management. The team actively advocates for responsible and pragmatic environmental
regulations relevant to wastewater treatment and resource recovery.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance Reporting Requirements Achieved Ongoing Planned Planned Permit Requirements
Audit Environmental Permits Achieved Ongoing Planned Planned Permit Requirements
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure all environmental compliance reporting requirements are met on or before required submission date % of time.
Audit all major environmental permits within adopted audit schedule: quarterly, semiannual, annual, every years.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Environmental Compliance
DR
A
F
T
Environmental Compliance
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the new Environmental Compliance Division re ect an increase of - and an increase of - over
the prior year, respectively. As a new Division, the FY 2024-25 budget commences the rst scal year of the budget cycle. The FY 2025-
26 slight decrease is primarily due to other professional services and is partially o set due to increases in personnel expenses, other
professional services-auditing, and regulatory operating fees.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 5,029,310
$ 5,028,261
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (11,291)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1
84,091
11,284
18,527
785
Other Cost Adjustments:
Change in training & meetings
Change in legal services
Change in professional services-auditing
Change in environmental scienti c consulting
Change in advocacy e orts
Change in other professional services
Change in air quality monitoring
Change in regulatory operating fees
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in professional services-auditing
Change in environmental scienti c consulting
Change in other professional services
Change in regulatory operating fees
1,776,834
250,208
211,216
49,926
16,125
50,000
-
60,000
20,000
286,500
63,600
250,000
(8,500)
(250,000)
92,763
11.5
12
Section 6 - Page 63
300,000
1,733,610
DR
A
F
T
Section 6 - Page 64
Personnel ---$ , , . %$ , , . %
Supplies --- , . % , . %
Professional & Contractual Services --- , . % , ( . %)
Research & Monitoring --- , . % , . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other --- , , . % , , . %
Total ---$ , , . %$ , , ( . %)
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 0$ 0$ 0 $ 0$ 0$ 0 $ 0$ 0$ 0 $ 0$ 0$ 0
$ 5,029,310$ 5,029,310$ 5,029,310 $ 5,028,261$ 5,028,261$ 5,028,261
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
0
1M
2M
3M
4M
5M
6M
Expenditure Trends
Environmental Compliance
DR
A
F
T
710
Sta ng Trends
555 555 444
222 222 222
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
2
4
24-25 & 25-26 Authorized FTE Positions
Executive Managers
Supervisors / Professionals
Total
Engineering Administration
Section 6 - Page 65
DR
A
F
T
Ensure expenditures are managed to - % of the
proposed budget.
Ensure reporting divisions achieve % of individual
performance objectives.
Projected to be %.
Projected to be %.
Section 6 - Page 66
The mission statement of the Engineering Department is to deliver world class engineering projects through skilled sta , technical
excellence, proactive project planning, e cient project delivery, e ective communication, and critical thinking.
Service Description
2024-25 & 2025-26 Performance Objectives
Manage division budget % % - % - %Division Workplan
Division performance objectives % % % %Division Workplan
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure the division's operational expenditures are managed to - % of the proposed budget.
Ensure reporting divisions achieve % of individual performance objectives.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Engineering Administration
DR
A
F
T
Engineering Administration
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Engineering Administration Division re ect a decrease of (29%) and an increase of 3%
over the prior year, respectively. The FY 2024-25 decrease is primarily due to a decrease in personnel expenses. The FY 2025-26
increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 641,185
$ 660,357
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (280)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -
10,933
4,689
3,413
137
Other Cost Adjustments:
Change in trainings & meetings
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
No other signi cant cost changes
(229,532)
4,031
(31,220)
(4,828)
1,000
$ 902,014
-
-
Section 6 - Page 67
DR
A
F
T
Section 6 - Page 68
Personnel $ , $ , $ , $ , ( . %)$ , . %
Supplies , , , , . % , . %
Professional & Contractual Services ---- . %- . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other - . % . %
Total $ , $ , $ , $ , ( . %)$ , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 1,109,196$ 1,109,196$ 1,109,196
$ 854,958$ 854,958$ 854,958 $ 856,921$ 856,921$ 856,921
$ 902,014$ 902,014$ 902,014
$ 641,185$ 641,185$ 641,185 $ 660,357$ 660,357$ 660,357
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
600K
700K
800K
900K
1 000K
1 100K
1 200K
Expenditure Trends
Engineering Administration
DR
A
F
T
740
Sta ng Trends
151515 151515 151515 151515
161616 161616
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
15
16
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Total
Planning
Section 6 - Page 69
DR
A
F
T
Ensure the division's expenditure are managed to - % of
proposed budget.
Expend - % of budgeted annual net CIP outlay.
Respond to % of environmental correspondence within
days.
Complete utility requests within business days.
Projected to be %.
Projected to be %.
Achieved.
Achieved.
Section 6 - Page 70
The mission of the division is to provide asset management and maintain a long-term Capital Improvement Program (CIP) to ensure
availability of adequate, reliable, and cost-e ective infrastructure, while protecting the environment and addressing growth within our
service area. The Planning Division also establishes partnerships with the public and private sectors to resolve complex issues; has a
mission to research new technologies and treatment processes; and reviews and processes connection permits; utility requests,
annexations, and inter-agency agreements in an expeditious manner to best serve the public.
Service Description
2024-25 & 2025-26 Performance Objectives
Manage division budget % % - % - %Division Workplan
Review environmental correspondence % % % %Division Workplan
Respond to utility requests % % % %Division Workplan
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure the division's operational expenditures are managed to - % of proposed budget.
Review all environmental correspondence within days.
Respond to utility requests within ve business days of receipt.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Planning
DR
A
F
T
Planning
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Planning Division re ect an increase of 8% and an increase of 4% over the prior year,
respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses, memberships and training & meetings. The
FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 4,671,881
$ 4,835,430
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (790)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1,000
133,926
14,670
26,111
1,092
Other Cost Adjustments:
Change in memberships
Change in training & meetings
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
243,785
31,490
39,394
8,186
10,300
(13,250)
$ 4,326,056
13,460
1
-
Section 6 - Page 71
DR
A
F
T
Section 6 - Page 72
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , . % , ( . %)
Professional & Contractual Services , , , , , , , . % , , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance - - . %- . %
Utilities ---- . %- . %
Other , . % . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 3,484,204$ 3,484,204$ 3,484,204
$ 3,202,809$ 3,202,809$ 3,202,809
$ 3,955,491$ 3,955,491$ 3,955,491
$ 4,326,056$ 4,326,056$ 4,326,056
$ 4,671,881$ 4,671,881$ 4,671,881
$ 4,835,430$ 4,835,430$ 4,835,430
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
3 000K
3 250K
3 500K
3 750K
4 000K
4 250K
4 500K
4 750K
5 000K
Expenditure Trends
Planning
DR
A
F
T
750
Sta ng Trends
212121 212121 212121 212121 212121 212121
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
21
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Total
Project Management
Section 6 - Page 73
DR
A
F
T
Ensure the division's operational expenditures are managed to
- % of proposed budget.
Expend - % of budgeted net CIP outlay.
Maintain or improve CIP program non-construction cost for
active projects at % or less.
Projected to be %.
Projected to be %.
Projected to be %.
Section 6 - Page 74
The mission of the division is to timely deliver high quality, reliable and cost-e ective projects to enable OC San to meet all treatment and
regulatory goals.
Service Description
2024-25 & 2025-26 Performance Objectives
Manage division budget % % - % - %Division Workplan
Net CIP outlay % % - % - %Division Workplan
Non-construction costs % %< %< %Division Workplan
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure the division's operational expenditures are managed to - % of proposed budget.
Expend - % of the budgeted annual net CIP outlay.
Maintain or improve CIP program non-construction cost for active projects at % or less.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Project Management
DR
A
F
T
Project Management
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Project Management O ce Division re ect an increase of 7% and an increase of 2% over
the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses, training & meetings and other
professional services. The FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 4,864,814
$ 4,979,349
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (1,103)
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1
126,195
19,268
33,538
1,433
Other Cost Adjustments:
Change in training & meetings
Change in other professional services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in other professional services
156,769
49,525
28,725
13,388
14,700
(15,900)
$ 4,552,810
50,000
(50,000)
-
-
Section 6 - Page 75
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T
Section 6 - Page 76
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , . % , ( . %)
Professional & Contractual Services , -- , . %-( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance --- . %- . %
Utilities ---- . %- . %
Other . % . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 3,912,518$ 3,912,518$ 3,912,518
$ 2,898,515$ 2,898,515$ 2,898,515
$ 4,656,053$ 4,656,053$ 4,656,053
$ 4,552,810$ 4,552,810$ 4,552,810
$ 4,864,814$ 4,864,814$ 4,864,814
$ 4,979,349$ 4,979,349$ 4,979,349
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
2 500K
3 000K
3 500K
4 000K
4 500K
5 000K
5 500K
Expenditure Trends
Project Management
DR
A
F
T
760
Sta ng Trends
363636
343434 343434
373737 373737 373737
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
34
36
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Total
Design
Section 6 - Page 77
DR
A
F
T
Ensure the division's expenditures are managed to - % of
proposed budget.
Update standards and design guidelines.
Ensure mission critical real-time control systems are online and
available > . %.
Complete control system programming prior to functional
acceptance testing.
Projected to be %.
Expected to update standards and guidelines.
Expected to be > . %.
Expected to be %.
Section 6 - Page 78
The mission of the division is to ensure that all projects are designed to be maintainable, operable, reliable, and a ordable at optimum
lifecycle costs in accordance with OC San’s Engineering Design Guidelines and industry standards and codes. This division provides
construction support services and oversees commissioning to ensure projects conform with the contract documents. The division also
provides control systems that are highly reliable, safe, secure, and available to monitor, record, control, and operate our facilities.
Service Description
2024-25 & 2025-26 Performance Objectives
Manage division budget % % - % - %Division Workplan
Update standards and guidelines Division Workplan
Control systems availability %> . %> . %> . %Division Workplan
Complete control system programming % %> %> %Division Workplan
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure the division's operational expenditures are managed to - % of proposed budget.
Update standards and design guidelines.
Ensure mission critical real-time control systems are online and available greater than . % ( hr/yr of unplanned downtime).
Complete control system programming prior to functional acceptance testing.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Design
DR
A
F
T
Design
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Design Division re ect an increase of 12% and an increase of 3% over the prior year,
respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses, engineering services and software program
consulting. The FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 8,084,688
$ 8,319,574
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 2,581
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (2,500)
235,134
35,915
59,712
2,525
Other Cost Adjustments:
Change in training & meetings
Change in engineering services
Change in software program consulting
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in software program consulting
509,841
90,525
97,245
37,170
(42,950)
(9,900)
$ 7,194,276
40,000
156,000
(86,000)
-
-
Section 6 - Page 79
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A
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Section 6 - Page 80
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , ( . %) , ( . %)
Professional & Contractual Services , , , , . % , ( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , ( . %) . %
Utilities ---- . %- . %
Other , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 5,816,477$ 5,816,477$ 5,816,477
$ 4,499,585$ 4,499,585$ 4,499,585
$ 6,218,051$ 6,218,051$ 6,218,051
$ 7,194,276$ 7,194,276$ 7,194,276
$ 8,084,688$ 8,084,688$ 8,084,688
$ 8,319,574$ 8,319,574$ 8,319,574
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
4M
5M
6M
7M
8M
9M
Expenditure Trends
Design
DR
A
F
T
770
Sta ng Trends
404040 414141
494949 484848 484848 484848
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
40
45
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Administrative & Clerical
Total
Construction Management
Section 6 - Page 81
DR
A
F
T
Ensure the division's budget expenditures are managed to -
% of proposed budget.
Respond to public complaints or inquiries within day.
Reduce program change order performance towards . %
goal.
No employee injuries resulting in lost workdays on
construction projects.
No spills or odor incidents related to construction projects.
Projected to be %.
Responses within day.
. % as of December , .
No injuries resulting in lost workdays.
No spills or odor incidents.
Section 6 - Page 82
The mission of the division is to ensure projects are safely constructed in accordance with all applicable codes and standards and are fully
inspected to be compliant with the contract documents while minimizing impacts to operations, maintenance, local agencies, and the public.
Service Description
2024-25 & 2025-26 Performance Objectives
Manage division budget % % - % - %Division Workplan
Collections change order rate . % . % % %Division Workplan
Plant change order rate . % . % % %Division Workplan
No spills or odor incidents Levels of Service
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Ensure the division's operational expenditures are managed to - % of proposed budget.
Maintain a Change Order Management Plan goal of % for Collections projects.
Maintain a Change Order Management Plan goal of % for Plant projects.
No spills or odor incidents related to construction projects.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Construction Management
DR
A
F
T
Construction Management
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Construction Management Division re ect an increase of 4% and an increase of 4% over
the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses and training & meetings. The
FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 9,469,248
$ 9,870,216
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 3,410
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services (801)
321,348
38,369
77,011
3,276
Other Cost Adjustments:
Change in administrative expenses
Change in printing & publications
Change in training & meetings
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in postage
Change in notices & ads
Change in training & meetings
187,706
80,522
47,765
8,857
5,239
(5,160)
$ 9,100,374
5,900
29,475
(5,000)
(28,075)
-
-
Section 6 - Page 83
DR
A
F
T
Section 6 - Page 84
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , . % , ( . %)
Professional & Contractual Services -- , - . %- . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance ( . %) . %
Utilities ---- . %- . %
Other , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected 2024-25 Proposed Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 6,038,068$ 6,038,068$ 6,038,068
$ 5,045,691$ 5,045,691$ 5,045,691
$ 8,122,106$ 8,122,106$ 8,122,106
$ 9,100,374$ 9,100,374$ 9,100,374
$ 9,469,248$ 9,469,248$ 9,469,248
$ 9,870,216$ 9,870,216$ 9,870,216
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
4M
5M
6M
7M
8M
9M
10M
11M
Expenditure Trends
Construction Management
DR
A
F
T
810
Sta ng Trends
333 444
222
111 111 111
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
2
4
24-25 & 25-26 Authorized FTE Positions
Executive Managers
Total
Operations and Maintenance Administration
Section 6 - Page 85
DR
A
F
T
Achieve % compliance with water, solids, air, and energy
permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of
Service targets.
Manage operating expenditures to within - % of
approved budget for the Department.
Achieved % compliance with water, solids, air, and
energy permits and regulatory requirements.
Achieved % compliance level of - % of the Levels
of Service targets.
Managed operating expenditures to % of approved
budget for the Department.
Section 6 - Page 86
The mission of the Operations and Maintenance Administration Division is to provide leadership and support, as well as management
oversight and development of the department. Rate payer owned facilities and assets managed by the O&M Divisions have a replacement
value that exceeds $11 billion. The Director, as a member of the Executive Management Team, provides counsel and expertise in developing
the necessary strategies to maintain alignment with OC San’s Strategic Plan, Levels of Service, and annual divisional work plans. The
Director and sta also proactively network with OC San member cities, sewer agencies and regional regulators on operational issues.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance with Permits & Regulatory Requirements Achieved Achieved Planned Planned OC San Standards
Levels of Service Compliance Achieved Achieved Planned Planned Strategic Plan
Manage Budget Achieved Achieved Planned Planned Board Approved
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Achieve % compliance with water, solids, air, and energy permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of Service targets.
Manage operating expenditures to within - % of approved budget for the Department.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Operations and Maintenance Administration
DR
A
F
T
Operations and Maintenance Administration
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Operations and Maintenance Division re ect a decrease of (12%) and an increase of 1%
over the prior year, respectively. The FY 2024-25 decrease is primarily due to a decrease in personnel expenses, temporary services and
legal services. The FY 2025-26 increase is primarily due to personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 626,574
$ 634,753
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1,196
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1
3,863
2,525
1,722
68
Other Cost Adjustments:
Change in temporary services
Change in legal services
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
No other signi cant cost changes
16,631
9,556
(24,454)
(4,435)
(82,000)
$ 715,080
(5,000)
-
-
Section 6 - Page 87
DR
A
F
T
Section 6 - Page 88
Personnel $ , $ , $ , $ , ( . %)$ , . %
Supplies , , , ( . %) , . %
Professional & Contractual Services , , , , ( . %) , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance ---- . %- . %
Utilities ---- . %- . %
Other - ( . %) . %
Total $ , $ , $ , $ , ( . %)$ , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24
2025-26
Proposed
Budget % Change
to 2024-25
$ 138,234$ 138,234$ 138,234
$ 214,699$ 214,699$ 214,699
$ 496,995$ 496,995$ 496,995
$ 715,080$ 715,080$ 715,080
$ 626,574$ 626,574$ 626,574 $ 634,753$ 634,753$ 634,753
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
100K
200K
300K
400K
500K
600K
700K
800K
Expenditure Trends
Operations and Maintenance Administration
DR
A
F
T
820
Sta ng Trends
292929
282828
303030
262626 262626 262626
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
26
28
30
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Operations & Maintenance
Administrative & Clerical
Total
Collections Facilities Operations and Maintenance
Section 6 - Page 89
DR
A
F
T
Achieve % compliance with water, solids, air, and energy
permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of
Service targets.
Manage operating expenditures to within - % of
approved budget.
Achieve greater than % compliance with the safety
scorecard
Achieved % compliance with water, solids, air,
and energy permits and regulatory requirements.
Achieved % compliance level of - % of
the Levels of Service targets.
Managed operating expenditures to % of
approved budget.
Achieved % compliance with the safety
scorecard.
Section 6 - Page 90
The mission of OC San Collections Division is to safely, reliably, and cost e ectively operate and maintain the Collections Systems to meet
all regulatory requirements for the land, air, and water environments of Orange County and the 2.6 million residents we serve. To perform
maintenance and cleaning of gravity sewer lines, pump stations, for reliable operation and to ensure that odor and corrosion control of the
regional collection system are managed appropriately.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance with Permit…Achieved Ongoing Planned Planned Permit Requirements
Levels of Service Achieved Ongoing Planned Planned OC San Standards
Manage Budget Achieved Ongoing Planned Planned Division Workplan
Compliance with Safet…Achieved Ongoing Planned Planned OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Achieve % compliance with water, solids, air, and energy permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of Service targets.
Manage operating expenditures to within - % of approved budget.
Achieve greater than % compliance with the safety scorecard
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Collections Facilities Operations and Maintenance
DR
A
F
T
Collections Facilities Operations and Maintenance
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Collection Facilities and Maintenance Division re ect an increase of 6% and a decrease of
(4%) over the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in odor control, repairs & maintenance and
utilities. The FY 2025-26 decrease is primarily due to training & meetings, tools and repairs & maintenance.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 20,585,536
$ 19,731,150
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 7,291
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 7,546
123,552
15,450
40,754
1,775
Other Cost Adjustments:
Change in small computer items
Change in training & meetings
Change in odor control
Change in tools
Change in professional services
Change in repairs & maintenance
Change in utilities
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in tools
Change in repairs & maintenance
Change in utilities
(291,733)
(22,935)
(48,188)
5,295
9,500
(1,845)
$ 19,355,501
(9,360)
172,784
18,592
11,900
1,074,676
(60,592)
(1,001,024)
19,998
-
-
Section 6 - Page 91
302,213
DR
A
F
T
Section 6 - Page 92
Personnel $ , , $ , , $ , , $ , , ( . %)$ , , . %
Supplies , , , , , , , , . % , , ( . %)
Professional & Contractual Services , , , , . % , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , , , , , . % , , ( . %)
Utilities , , , , , , , . % , , . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , ( . %)
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24 Projected 2024-25 Proposed Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 13,766,140$ 13,766,140$ 13,766,140
$ 15,547,755$ 15,547,755$ 15,547,755
$ 19,817,675$ 19,817,675$ 19,817,675
$ 19,355,501$ 19,355,501$ 19,355,501
$ 20,585,536$ 20,585,536$ 20,585,536
$ 19,731,150$ 19,731,150$ 19,731,150
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
13M
14M
15M
16M
17M
18M
19M
20M
21M
Expenditure Trends
Collections Facilities Operations and Maintenance
DR
A
F
T
822
Sta ng Trends
888
999 999 999 999 999
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
8
9
24-25 & 25-26 Authorized FTE Positions
Supervisors / Professionals
Operations & Maintenance
Administrative & Clerical
Total
Fleet Services
Section 6 - Page 93
DR
A
F
T
Achieve % compliance with water, solids, air, and energy
permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of
Service targets.
Achieved % compliance level of - % of
the Levels of Service targets.
Managed operating expenditures to % of
approved budget.
"Achieved % compliance with water, solids, air,
and energy permits and regulatory requirements. "
Achieved % compliance level of - % of
the Levels of Service targets.
Managed operating expenditures to % of
approved budget.
Achieved % compliance with the safety
scorecard.
Section 6 - Page 94
Maintenance of OC San's eet of vehicles and mobile equipment. Logistics and crane support for O&M.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance with Permits & Regulatory Requirements Achieved Ongoing Planned Planned Permit Requirements
Compliance with Safety Scorecard Achieved Ongoing Planned Planned Industry Standards
Levels of Service Achieved Ongoing Planned Planned Board Approved
Manage Budget Achieved Ongoing Planned Planned Division Workplan
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Achieve % compliance with water, solids, air, and energy permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of Service targets.
Manage operating expenditures to within - % of approved budget.
Achieve greater than % compliance with the safety scorecard
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Fleet Services
DR
A
F
T
Fleet Services
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Fleet Services Division re ect an increase of 5% and a decrease of (1%) over the prior year,
respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses and repairs & maintenance. The FY 2025-26
decrease is primarily due to repairs & maintenance and partially o set by an increase in personnel expenses.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 2,696,486
$ 2,665,212
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 4,781
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 739
45,758
5,045
14,170
614
Other Cost Adjustments:
Change in training & meetings
Change in gas, diesel & oil
Change in tools
Change in repairs & maintenance
Change in utilities
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in gas, diesel & oil
Change in repairs & maintenance
41,103
(5,540)
12,299
4,803
4,995
(2,600)
$ 2,571,697
14,090
(64,000)
110,258
5,000
(100,000)
-
-
Section 6 - Page 95
2,000
DR
A
F
T
Section 6 - Page 96
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , ( . %) , . %
Professional & Contractual Services , , , , ( . %) , ( . %)
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , . % , ( . %)
Utilities , , , , . % , . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , ( . %)
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24 Projected 2024-25 Proposed Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 1,917,269$ 1,917,269$ 1,917,269
$ 1,780,824$ 1,780,824$ 1,780,824
$ 2,525,204$ 2,525,204$ 2,525,204
$ 2,571,697$ 2,571,697$ 2,571,697
$ 2,696,486$ 2,696,486$ 2,696,486 $ 2,665,212$ 2,665,212$ 2,665,212
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
1 600K
1 800K
2 000K
2 200K
2 400K
2 600K
2 800K
Expenditure Trends
Fleet Services
DR
A
F
T
830
Sta ng Trends
545454
555555
525252 525252 525252 525252
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
52
54
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Operations & Maintenance
Administrative & Clerical
Total
Plant No. 1 Operations
Section 6 - Page 97
DR
A
F
T
Achieve % compliance with water, solids, air, and energy
permits and regulatory requirements.
Achieve % compliance level of to % of the Levels of
Service targets.
Manage operating expenditures to within to % of
approved budget.
Achieve greater than % compliance with the safety
scorecard.
Achieved zero enforceable compliance actions for water,
solids, and air requirements.
Achieved % compliance level of the Levels of Service
targets.
Managed operating expenditures to % of approved
budget.
Achieved % compliance with the safety scorecard.
Section 6 - Page 98
The mission of Plant No. 1 Operations Division is to safely, reliably, and cost e ectively 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.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance with Permits & Regulatory Requirements Title V …Title V …Ongoing Ongoing Permit Requirements
Levels of Service Compliance Achieved Achieved Ongoing Ongoing Strategic Plan
Manage Budget Achieved Achieved Ongoing Ongoing OC San Standards
Compliance with Safety Scorecard Achieved Achieved Ongoing Ongoing OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Achieve zero enforceable compliance actions for water, solids, and air requirements.
Achieve % compliance level of to % of the Levels of Service targets.
Manage operating expenditures to within to % of approved budget.
Achieve greater than % compliance with the safety scorecard.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Plant No. 1 Operations
DR
A
F
T
Plant No. 1 Operations
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Plant No. 1 Operations Division re ect an increase of 8% and an increase of 3% over the
prior year, respectively. The FY 2024-25 increase is primarily due to an increase in odor control, disinfection, repairs & maintenance and
utilities. The FY 2025-26 increase is primarily due to personnel expenses, chemical coagulants, solids removal and utilities.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 43,831,773
$ 45,149,768
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 36,509
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 1
327,695
32,891
82,508
3,549
Other Cost Adjustments:
Change in training & meetings
Change in chemical coagulants
Change in odor control
Change in disinfection
Change in chemicals - cogen
Change in misc. chemicals
Change in solids removal
Change in repairs & maintenance
Change in utilities
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in minor furniture & xtures
Change in training & meetings
Change in chemical coagulants
Change in odor control
Change in disinfection
Change in solids removal
Change in grit & screenings disposal
Change in utilities
(191,691)
11,246
56,293
17,792
12,200
(28,500)
$ 40,589,667
(118,743)
108,380
177,200
42,000
(202,000)
(14,400)
333,335
26,468
-
1
Section 6 - Page 95
(149,000)
117,920
3,324,200
12,000
279,000
15,048
248,400DR
A
F
T
Section 6 - Page 100
Personnel $ , , $ , , $ , , $ , , ( . %)$ , , . %
Supplies , , , , , , , , . % , , . %
Professional & Contractual Services , , , , , , , , ( . %) , , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , . % , . %
Utilities , , , , , , , , . % , , . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected 2024-25 Proposed Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 31,234,798$ 31,234,798$ 31,234,798 $ 31,443,514$ 31,443,514$ 31,443,514
$ 39,785,142$ 39,785,142$ 39,785,142
$ 40,589,667$ 40,589,667$ 40,589,667
$ 43,831,773$ 43,831,773$ 43,831,773
$ 45,149,768$ 45,149,768$ 45,149,768
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
30M
32.5M
35M
37.5M
40M
42.5M
45M
47.5M
Expenditure Trends
Plant No. 1 Operations
DR
A
F
T
840
Sta ng Trends
525252 535353
454545 444444 444444 444444
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
45
50
24-25 & 25-26 Authorized FTE Positions
Supervisors / Professionals
Operations & Maintenance
Administrative & Clerical
Total
Plant No. 2 Operations
Section 6 - Page 101
DR
A
F
T
Achieve % compliance with water, solids, air, and energy
permits and regulatory requirements.
Achieve % compliance level of to % of the Levels of
Service targets.
Manage operating expenditures to within to % of
approved budget.
Achieve greater than % compliance with the safety
scorecard.
Achieved zero enforceable compliance actions for water,
solids, and air requirements.
Achieved overall % compliance level of the Levels of
Service targets.
Managed operating expenditures to % of approved
budget.
Achieved % compliance with the safety scorecard.
Section 6 - Page 102
The mission of Plant No. 2 Operations Division is to safely, reliably, and cost e ectively 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.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance with Permits & Regulatory Requirements Title V …Title V …Ongoing Ongoing Permit Requirements
Levels of Service Compliance Achieved Achieved Ongoing Ongoing Strategic Plan
Manage Budget Achieved Achieved Ongoing Ongoing OC San Standards
Compliance with Safety Scorecard Achieved Achieved Ongoing Ongoing OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Achieve zero enforceable compliance actions for water, solids, and air requirements.
Achieve % compliance level of to % of the Levels of Service targets.
Manage operating expenditures to within to % of approved budget.
Achieve greater than % compliance with the safety scorecard.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Plant No. 2 Operations
DR
A
F
T
Plant No. 2 Operations
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Plant No. 2 Operations Division re ect an increase of 8% and an increase of 3% over the
prior year, respectively. The FY 2024-25 increase is primarily due to an increase in chemical coagulants, solids removal and oxygen plant
operations. The FY 2025-26 increase is primarily due to personnel expenses, chemical coagulants, solids removal.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 21,902,872
$ 22,599,168
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -25,571
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 2,600
245,722
32,086
69,504
3,003
Other Cost Adjustments:
Change in training & meetings
Change in operating materials & supplies
Change in chemical coagulants
Change in odor control
Change in chemicals - cogen
Change in solids removal
Change in oxygen plant operations
Change in utilities
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in training & meetings
Change in chemical coagulants
Change in odor control
Change in disinfection
Change in solids removal
Change in grit & screenings disposal
Change in oxygen plant operations
(66,905)
100,995
36,853
11,241
11,500
(13,100)
$ 20,232,053
32,200
414,379
91,627
25,000
355,000
142,616
22,700
5,800
-
1
Section 6 - Page 103
592,000
92,500
139,000
6,365
40,000DR
A
F
T
Section 6 - Page 104
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , , , , , . % , , . %
Professional & Contractual Services , , , , , , , , . % , , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , . % , . %
Utilities , , , , , , , , . % , , . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24
Projected
2024-25
Proposed
Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 16,386,327$ 16,386,327$ 16,386,327
$ 14,729,243$ 14,729,243$ 14,729,243
$ 21,052,972$ 21,052,972$ 21,052,972
$ 20,232,053$ 20,232,053$ 20,232,053
$ 21,902,872$ 21,902,872$ 21,902,872
$ 22,599,168$ 22,599,168$ 22,599,168
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
14M
16M
18M
20M
22M
24M
Expenditure Trends
Plant No. 2 Operations
DR
A
F
T
870
Sta ng Trends
858585 858585
949494 989898 979797 979797
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
90
24-25 & 25-26 Authorized FTE Positions
Managers
Supervisors / Professionals
Operations & Maintenance
Administrative & Clerical
Total
Plant No. 1 Maintenance
Section 6 - Page 105
DR
A
F
T
Achieve % compliance with water, solids, air, and energy
permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of
Service targets
Manage operating expenditures to within - % of
approved budget.
Maintain a Work Order backlog of less than weeks.
Achieve greater than % compliance with the safety
scorecard.
Achieved % compliance with water, solids, air, and
energy permits and regulatory requirements.
Achieved % compliance level of - % of the Levels
of Service targets
Managed operating expenditures at . % of approved
budget.
Maintained a Work Order backlog of less than weeks.
Achieved % compliance with the safety scorecard.
Section 6 - Page 106
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. The
division’s professional, highly skilled sta use best practices and technology to provide Plant Operations and OC San sta with electrical
power, control systems, environmental controls that are safe and on-line; and mechanical, and facilities support to ensure and restore
reliability.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance with Permits …Achieved Achieved Planned Planned OC San Standards
Manage Budget Achieved Achieved Planned Planned OC San Standards
Work Order Backlog Achieved Achieved Planned Planned OC San Standards
Safety Scorecard Achieved Achieved Planned Planned OC San Standards
PM Compliance Achieved Achieved Planned Planned OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Achieve % compliance with water, solids, air, and energy permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of Service targets.
Manage operating expenditures to within - % of approved budget.
Maintain a Work Order backlog of less than weeks.
Achieve greater than % compliance with the safety scorecard.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Plant No. 1 Maintenance
DR
A
F
T
Plant No. 1 Maintenance
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Plant No. 1 Maintenance Division re ect an increase of 3% and an increase of 4% over the
prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses, minor furniture & xtures and
training & meetings and partially o set by a decrease in professional services and repairs & maintenance. The FY 2025-26 increase is
primarily due to personnel expenses and repairs & maintenance.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 32,610,822
$ 33,881,924
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services -10,750
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 4,340
653,575
72,153
155,109
6,620
Other Cost Adjustments:
Change in memberships
Change in minor furniture & xtures
Change in training & meetings
Change in chemicals - cogen
Change in gas, diesel & oil
Change in operating materials & supplies
Change in professional services
Change in repairs & maintenance
Change in other operating supplies
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in minor furniture & xtures
Change in training & meetings
Change in chemicals - cogen
Change in tools
Change in misc. operating supplies
Change in engineering services
Change in repairs & maintenance
700,772
63,529
121,138
154,448
5,570
11,000
$ 31,699,895
274,000
202,215
12,200
20,300
81,100
(234,605)
9,600
14,800
(1)
1
Section 6 - Page 107
(323,800)
(413,835)
24,040
10,400
34,000
534,110DR
A
F
T
Section 6 - Page 108
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , , , , , . % , , ( . %)
Professional & Contractual Services , , , , , ( . %) , . %
Research & Monitoring --- . %- . %
Repairs & Maintenance , , , , , , , , ( . %) , , . %
Utilities --- . %- . %
Other , , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24 Projected 2024-25 Proposed Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 25,699,344$ 25,699,344$ 25,699,344
$ 23,482,644$ 23,482,644$ 23,482,644
$ 28,246,572$ 28,246,572$ 28,246,572
$ 31,699,895$ 31,699,895$ 31,699,895
$ 32,610,822$ 32,610,822$ 32,610,822
$ 33,881,924$ 33,881,924$ 33,881,924
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
22.5M
25M
27.5M
30M
32.5M
35M
Expenditure Trends
Plant No. 1 Maintenance
DR
A
F
T
880
Sta ng Trends
535353 535353
545454
555555
565656 565656
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
54
56
24-25 & 25-26 Authorized FTE Positions
Supervisors / Professionals
Operations & Maintenance
Administrative & Clerical
Total
Plant No. 2 Maintenance
Section 6 - Page 109
DR
A
F
T
Achieve % compliance with water, solids, air, and energy
permits and regulatory requirements.
Achieve % compliance level of - % of the Levels of
Service targets.
Manage operating expenditures to within - % of
approved budget.
Maintain a Work Order backlog of less than weeks.
Achieve greater than % compliance with the safety
scorecard.
Achieved % compliance with water, solids, air, and
energy permits and regulatory requirements.
Achieved % compliance level of - % of the Levels
of Service targets.
Managed operating expenditures at % of approved
budget.
Maintained a Work Order backlog of less than weeks.
Achieved greater than % compliance with the safety
scorecard.
Section 6 - Page 110
The mission of the Plant 2 Maintenance Division is to protect public health and the environment by providing reliable power distribution and
asset maintenance to the treatment plants and associated pump stations in outer lying service areas. The division’s sta use best practices
and technology to provide Collections and Plant Operations with electrical power, control systems, environmental controls as well as
mechanical and facilities support to ensure and restore reliability.
Service Description
2024-25 & 2025-26 Performance Objectives
Compliance with Permits …Achieved Achieved Planned Planned OC San Standards
Manage Budget Achieved Achieved Planned Planned OC San Standards
Work Order Backlog Achieved Achieved Planned Planned OC San Standards
Safety Scorecard Achieved Achieved Planned Planned OC San Standards
PM Compliance Achieved Achieved Planned Planned OC San Standards
Summary 2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed Justi cation
Achieve % compliance with water, solids, air, and energy permits and regulatory requirements
Achieve % compliance level of - % of the Levels of Service targets.
Manage operating expenditures to within - % of approved budget.
Maintain a Work Order backlog of less than weeks.
Achieve greater than % compliance with the safety scorecard.
Performance Measures
2023-24 Performance Objectives 2023-24 Performance Results
Plant No. 2 Maintenance
DR
A
F
T
Plant No. 2 Maintenance
Budget Overview
The FY 2024-25 & FY 2025-26 budgets for the Plant No. 2 Maintenance Division re ect an increase of 12% and an increase of 2% over
the prior year, respectively. The FY 2024-25 increase is primarily due to an increase in personnel expenses, training & meetings and
repairs & maintenance. The FY 2025-26 increase is primarily due to personnel expenses, engineering services and repairs &
maintenance.
2023-24 Adjusted Budget - Total Operating Requirements
2024-25 Proposed Budget - Total Operating Requirements
2025-26 Proposed Budget - Total Operating Requirements
Changes in Personnel Expenses:
Net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Salaries for Position Changes:
Transfer of Positions from/(to) Other Divisions
New or (decreased) FTE
$ 22,951,578
$ 23,378,572
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 6,700
Aggregate change in Other Categories:
Aggregate change in other materials, supplies, and services 7,000
374,531
39,868
89,371
3,822
Other Cost Adjustments:
Change in memberships
Change in minor furniture & xtures
Change in training & meetings
Change in chemicals - cogen
Change in gas, diesel & oil
Change in safety equipment/tools
Change in misc. operating supplies
Change in engineering services
Change in other professonal services
Change in repairs & maintenance
Changes in Personnel Expenses:
Other net salary adjustments (MOU-related, leave payo s, vacancy, etc.)
Change in OCERS retirement costs
Change in group insurance costs
Other bene t cost adjustments
Other Cost Adjustments:
Change in administrative expenses
Change in training & meetings
Change in gas, diesel & oil
Change in tools
Change in misc. operating supplies
Change in engineering services
Change in repairs & maintenance
1,560,145
192,516
150,788
31,246
7,380
5,020
$ 20,446,176
10,000
158,145
13,000
10,000
19,000
(186,405)
10,000
15,000
1
1
Section 6 - Page 111
(7,500)
61,250
(223,400)
516,132
8,000
30,750
30,037DR
A
F
T
Section 6 - Page 112
Personnel $ , , $ , , $ , , $ , , . %$ , , . %
Supplies , , , , , , . % , , ( . %)
Professional & Contractual Services , , , , ( . %) , . %
Research & Monitoring ---- . %- . %
Repairs & Maintenance , , , , , , , , . % , , . %
Utilities ---- . %- . %
Other , , , . % , . %
Total $ , , $ , , $ , , $ , , . %$ , , . %
Operating Expense by Category 2022-23 Actual 2023-24 Budget 2023-24 Projected 2024-25 Proposed Budget % Change
to 2023-24 2025-26 Proposed Budget % Change
to 2024-25
$ 20,061,700$ 20,061,700$ 20,061,700
$ 15,591,775$ 15,591,775$ 15,591,775
$ 18,873,342$ 18,873,342$ 18,873,342
$ 20,446,176$ 20,446,176$ 20,446,176
$ 22,951,578$ 22,951,578$ 22,951,578
$ 23,378,572$ 23,378,572$ 23,378,572
2020-21 2021-22 2022-23 2023-24 2024-25 2025-26
14M
16M
18M
20M
22M
24M
Expenditure Trends
Plant No. 2 Maintenance
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Self-Insurance Program Overview
Section 7 - Page 1
Self-Funded Insurance Plans
OC San is partially self-insured for general liability and workers'
compensation. The General Liability and Property program and
the Workers' Compensation program have been in existence
since 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 $100,000,000 in FY
2024-25 and in FY 2025-26.
General Liability and Property
In order to maintain the reserve balance of $2.4 million
for the Workers' Compensation program, appropriations
for in-lieu premiums charged to operating divisions are
recommended at $659,546 and $791,455 for FY 2024-
25 and FY 2025-26 respectively.
OC San's current outside excess general liability
insurance coverage is $40 million per occurence with an
annual aggregate limit and with a self-insured retention
of $750,000.
OC San's current property insurance coverage is $1
billion for perils of re and $25 million for perils of ood,
subject to a self-insured retention of $1,000,000. OC San
is partially self-insured for earthquake but does carry $25
million in coverage on 15 key structures with a $5 million
deductible. OC San 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 $100 million for
FY 2024-25 and FY 2025-26 for the Property and
General Liability program, appropriations for in-lieu
premiums charged to the Revenue Areas are
recommended at $4.4 million and $4.6 million for FY
2024-25 and FY 2025-26 respectively.
OC San's current excess workers' compensation
coverage has unlimited statutory coverage per
occurence and $4 million employer's liability with a self-
insured retention of $1 million per person per occurence.
Workers' Compensation
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Section 7 - Page 2
Total of the Self-Insurance Programs
2022-23
Actuals
2023-24
Budget
2023-24 Thru
12/31/23
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
Beginning Reserves $ , , $ , , $ , , $ , , $ , , $ , ,
DESCRIPTION OR ACCOUNT TITLE
, , , , , , , , , , , ,
--- , , --
, , - , , , - ,
, , , , , ,
, , , , , , , , , , , ,
Revenues
In-Lieu Premiums
Miscellaneous Other Revenue
Reserve Contribution
Service Department Allocation
Total Revenues
, , , , , , , , , ,
------
, , , , , ,
, , , , , ,
, , , , , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
Expenses
Bene ts/Claims
Contractual Services
Legal Services
Professional Services
Subtotal
Policy Premium Expense
Total Expenses
, - , ---Excess Revenue (Expenses)
$ , , $ , , $ , , $ , , $ , , $ , , Ending Reserves
Self-Insurance Program
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Self-Insurance Program
Section 7 - Page 3
General Liability and Property Self-Insurance Program
2022-23
Actuals
2023-24
Budget
2023-24 Thru
12/31/23
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
Beginning Reserves $ , , $ , , $ , , $ , , $ , , $ , ,
DESCRIPTION OR ACCOUNT TITLE
, , , , , , , , , , , ,
--- , , --
, , - , , , - ,
, , , , , ,
, , , , , , , , , , , ,
Revenues
In-Lieu Premiums
Miscellaneous Other Revenue
Reserve Contribution
Service Department Allocation
Total Revenues
, , , , , , ,
------
- , ----
, , , , , ,
, , , , , , , ,
, , , , , , , , , , , ,
, , , , , , , , , , , ,
Expenses
Bene ts/Claims
Contractual Services
Legal Services
Professional Services
Subtotal
Policy Premium Expense
Total Expenses
, --( , ) , -Excess Revenue (Expenses)
$ , , $ , , $ , , $ , , $ , , $ , , Ending ReservesDR
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Section 7 - Page 4
Workers' Compensation Self-Insurance Program
2022-23
Actuals
2023-24
Budget
2023-24 Thru
12/31/23
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
Beginning Reserves $ , , $ , , $ , , $ , , $ , , $ , ,
DESCRIPTION OR ACCOUNT TITLE
, , , , , ,
------
, - , -- ,
, - , , , ,
, , , , , , , ,
Revenues
In-Lieu Premiums
Miscellaneous Other Revenue
Reserve Contribution
Service Department Allocation
Total Revenues
, , , , , ,
------
, , , , , ,
, , , , , ,
, , , , , , ,
, , , , , ,
, , , , , , , , ,
Expenses
Bene ts/Claims
Contractual Services
Legal Services
Professional Services
Subtotal
Policy Premium Expense
Total Expenses
( , )- , , ( , )-Excess Revenue (Expenses)
$ , , $ , , $ , , $ , , $ , , $ , , Ending Reserves
Self-Insurance Program
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The total CIP budget authority has increased by $105 million as
compared to FY 2023-24 approved budget of $4.6 billion. The
changes are summarized below:
FY 2023-24 Approved Total
CIP Budget Authority $4.6 B
Project Net Changes:
New $47 M
Budget Increases $478 M
Budget Decreases ($20.9 M)
Cancellation/Closures ($399 M)
Total: $105 M
FY 2024-25 Proposed Total $4.7 B
CIP Budget Authority
Following is a table of the FY 2024-25
proposed CIP budget:
Description FY 2024-25 CIP
Budget
Capital Improvement Program (CIP) $253.5 M
Less: Savings and Deferrals ($30.4 M)
Net CIP Outlay $223.1 M
The proposed FY 2024-25 net CIP outlays can be categorized by
the project status (work phase), area ((type of wastewater treatment
process or location), or driver (the reason(s) why a project is
needed). Charts showing the distribution of the funds by CIP outlay
for each of these categories are provided on the following page.
Capital Improvement Program Overview
CIP Budget Request Summary
Each year, the Board of Directors, through their committee
process, reviews and approves the Capital Improvement
Program (CIP) encompassing all projects that rehabilitate,
replace, or construct new capital facilities located throughout
OC San’s collection system and Reclamation Plant Nos. 1 and 2.
CIP projects take several years to complete the planning,
design, and construction phases. The proposed budget for each
project covers the lifecycle of the project. This budget is
reevaluated each year for the purpose of managing annual cash
ows. Thus, many of the projects in the CIP Budget for FY 2024-
25 and FY 2025-26 are continuing projects that were approved
in prior years.
In December 2017, the 2017 Facilities Master Plan was adopted
by the Board of Directors. The Master Plan identi ed a phased
20-year program of capital improvement projects that will allow
OC San to maintain reliability, accommodate future growth,
adapt to future regulatory requirements, meet level of service
goals, and achieve strategic initiatives.
This phased 20-year program is only a starting point. The Asset
Management Program within the Planning Division continues
assessing the condition of OC San’s existing assets and systems
to ensure that the necessary level of service is maintained. The
Planning Division continues reviewing and updating the
ongoing and future CIP to appropriately manage the risks
associated with aging facilities. Projects are delayed,
consolidated, or rescoped as time passes and additional
information is gathered to help ensure that the CIP is delivered
in the most e cient way possible. The Asset Management
Program will continue these e orts and will scope future CIP
projects to ensure a viable, long-term nancial plan is in place to
provide e ective and e cient operations in perpetuity.
This year, three new projects are proposed for addition to the
FY 2024-25 budget. These are:
OC San sta reviews all active and future CIP projects to ensure
the projects’ scope of work, schedule, and cost estimate are
appropriate each year. Through this budget validation process,
each project’s schedule, sta resources, total project cost, cash
ow and risks are assessed to con rm the budgetary
requirements. The validated CIP includes 73 active and future
capital projects and the ve programs listed below:
Section 8 - Page 1
Project No. 5-69: East Coast Highway Sewer
Rehabilitation.
Project No. J-139: Process Control System Alarm
Optimization.
Project No. P2-141: Headworks Electrical Distribution
Improvements at Plant No. 2
Small Construction Projects Program (M-FE)
Planning Studies Program (M-Studies)
Research Program (M-Research)
Operation & Maintenance Capital Program (M- SM-CAP)
Information Technology Capital Program (M- MC-IT)
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Projected FY 2024-25 Net CIP Outlay by Project Status Construction is the primary outlay for FY 2024-25 with a total outlay
of approximately $193.2 million. A good example of a large project in
construction continues to be Headworks Rehabilitation at Plant No. 1
(Project No. P1-105). The existing facility is over 30 years old with
some portions dating back to the 1950’s - a comprehensive
refurbishment is required to extend its useful life. The project will
rehabilitate and/or replace the following: metering and diversion
structure, bar screen building, bin loading building, main sewage
pump station, grit basins, primary in uent channels, headworks odor
control scrubbers, electrical power distribution and control systems,
and original emergency pumping system. The total budgeted cost
for this project is $340 million with construction anticipated to nish
in 2028. The FY 2024-25 expenditures are estimated to be $41
million.
Collection facilities comprise 25% of the FY 2024-25 Net CIP outlay.
Seal Beach Pump Station Replacement (Project No. 3-67) will replace
the existing pump station which has reached the end of its useful life
with a new modernized pump station including the addition of onsite
odor control facilities. The project will also accommodate a deeper
in uent gravity system that will eventually allow for the
abandonment of an upstream pump station and result in a more
e cient system overall. The project recently began construction and
is anticipated to spend $14 million in 2024-25. Construction is
scheduled to end in 2027. The total project budget is $134 million.
Project drivers are dominated by Rehabilitation and Replacement
Projects at 80% of FY 2024-25 Net CIP Outlay. An example is
Digesters Rehabilitation at Plant No. 2 (Project No. P2-137) that will
rehabilitate the digesters at Plant No. 2 by providing dome and wall
repairs as well as a number of ancillary and safety improvements
which will extend the life of the existing facilities. Construction is
anticipated to begin in the coming scal year and spend $4 million
within FY 2024-25 . Construction is scheduled to end in 2027. The
total project budget is $45 million.
Section 8 - Page 2
PlanningPlanning: 4%: 4%Planning: 4%
DesignDesign: 20%: 20%Design: 20%
ConstructionConstruction: 76%: 76%Construction: 76%
Collection FacilitiesCollection Facilities: 25%: 25%Collection Facilities: 25%
Liquid TreatmentLiquid Treatment: 35%: 35%Liquid Treatment: 35%
Utility SystemsUtility Systems: 7%: 7%Utility Systems: 7%
SolidsSolids: 4%: 4%Solids: 4%
OtherOther: 12%: 12%Other: 12%
Support FacilitiesSupport Facilities: 17%: 17%Support Facilities: 17%
Rehab and ReplaceRehab and Replace: 80%: 80%Rehab and Replace: 80%
RegulatoryRegulatory: 3%: 3%Regulatory: 3%
Additional CapacityAdditional Capacity: 6%: 6%Additional Capacity: 6%
Strategic InitiativesStrategic Initiatives: 11%: 11%Strategic Initiatives: 11%
Projected FY 2024-25 Net CIP Outlay by Area
Projected FY 2024-25 Net CIP Outlay by Project Driver
Capital Improvement Program Overview
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Diagram of Treatment Process
Section 8 - Page 3
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Section 8 - Page 4
$ , , $ , , $ , , $ , $ , ,
, , , , -- , ,
, , , , , , , , , ,
, , , -- , ,
, , , -- , ,
, , , , -- , ,
, , , , -- , ,
, , --- , ,
, , , , -- , ,
, , , -- , ,
, , , , , , , , , ,
- , , -- , ,
, , , , , , , ,
- , -- ,
-----
, , , , , , , , , ,
, , , , , , , , , ,
( , , )( , , )( , , )( , , )( , , )
$ , , ($ , , )($ , , )($ , , )$ , ,
Collections Facilities
Solids Handling & Digestion
Support Facilities
Utility Systems
Liquid Treatment:
Headworks
Primary Treatment
Ocean Outfall Systems
Secondary Treatment
Liquid Treatment Subtotal
Other:
Information Management Systems
Equipment
Research
Strategic & Master Planning
Others
Water Management Projects
Other Subtotal
Grand Total
Less: CIP Savings & Deferrals
Proposed Net CIP Outlay
Project Summary
Project Summary FY 2024-25
Item
Rehabilitation
and
Replacement
Strategic
Initiatives
Additional
Capacity Regulatory
Total Budget
Authority
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Section 8 - Page 5
Summary of Capital Requirements - FY 2024-25
SolidsSolids: 11.3 (4.5%): 11.3 (4.5%)Solids: 11.3 (4.5%)
Support FacilitiesSupport Facilities: 42.6 (16.8%): 42.6 (16.8%)Support Facilities: 42.6 (16.8%)
Utility SystemsUtility Systems: 17.4 (6.9%): 17.4 (6.9%)Utility Systems: 17.4 (6.9%)
Collection FacilitiesCollection Facilities: 62.9 (24.8%): 62.9 (24.8%)Collection Facilities: 62.9 (24.8%)
Liquid TreatmentLiquid Treatment: 88.3 (34.8%): 88.3 (34.8%)Liquid Treatment: 88.3 (34.8%)
OtherOther: 30.9 (12.2%): 30.9 (12.2%)Other: 30.9 (12.2%)
FY 2024-25 Capital Improvement Program Outlay by Process - $253.4 Million
Net CIP Outlay - $223.0 Million
FY 2024-25 Capital Improvement Program Outlay by Driver - $253.4 Million
Net CIP Outlay - $223.0 Million
Rehab and ReplaceRehab and Replace: 202.8 (80.0%): 202.8 (80.0%)Rehab and Replace: 202.8 (80.0%)
RegulatoryRegulatory: 7.8 (3.1%): 7.8 (3.1%)Regulatory: 7.8 (3.1%)
Additional CapacityAdditional Capacity: 14.8 (5.8%): 14.8 (5.8%)Additional Capacity: 14.8 (5.8%)
Strategic InitiativesStrategic Initiatives: 28.1 (11.1%): 28.1 (11.1%)Strategic Initiatives: 28.1 (11.1%)
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$ , , $ , , $ , , $ , $ , ,
, , , , -- , ,
, , , , , , , , , ,
, , , , -- , ,
, , --- , ,
, , , -- , ,
, , , , -- , ,
, , --- , ,
, , , , -- , ,
, , , -- , ,
, , , , , , , , , ,
- , -- ,
, , , , , , ,
-----
-----
, , , , , , , , , ,
, , , , , , , , , ,
( , , )( , , )( , , )( , , )( , , )
$ , , ($ , , )($ , , )($ , , )$ , ,
Collections Facilities
Solids Handling & Digestion
Support Facilities
Utility Systems
Liquid Treatment:
Headworks
Primary Treatment
Ocean Outfall Systems
Secondary Treatment
Liquid Treatment Subtotal
Other:
Information Management Systems
Equipment
Research
Strategic & Master Planning
Others
Water Management Projects
Other Subtotal
Grand Total
Less: CIP Savings & Deferrals
Proposed Net CIP Outlay
Section 8 - Page 6
Project Summary FY 2025-26
Item
Rehabilitation
and
Replacement
Strategic
Initiatives
Additional
Capacity Regulatory
Total Budget
Authority
Project Summary
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Section 8 - Page 7
Summary of Capital Requirements - FY 2025-26
FY 2025-26 Capital Improvement Program Outlay by Process -$317.4 Million
Net CIP Outlay - $279.2 Million
FY 2025-26 Capital Improvement Program Outlay by Driver - $317.4 Million
Net CIP Outlay - $279.2 Million
SolidsSolids: 28.0 (8.8%): 28.0 (8.8%)Solids: 28.0 (8.8%)
Support FacilitiesSupport Facilities: 45.1 (14.2%): 45.1 (14.2%)Support Facilities: 45.1 (14.2%)
Utility SystemsUtility Systems: 25.2 (7.9%): 25.2 (7.9%)Utility Systems: 25.2 (7.9%)
Collection FacilitiesCollection Facilities: 96.4 (30.4%): 96.4 (30.4%)Collection Facilities: 96.4 (30.4%)
Liquid TreatmentLiquid Treatment: 94.0 (29.6%): 94.0 (29.6%)Liquid Treatment: 94.0 (29.6%)
OtherOther: 28.7 (9.0%): 28.7 (9.0%)Other: 28.7 (9.0%)
Rehab and ReplaceRehab and Replace: 254.4 (80.2%): 254.4 (80.2%)Rehab and Replace: 254.4 (80.2%)
RegulatoryRegulatory: 7.1 (2.2%): 7.1 (2.2%)Regulatory: 7.1 (2.2%)
Additional CapacityAdditional Capacity: 26.7 (8.4%): 26.7 (8.4%)Additional Capacity: 26.7 (8.4%)
Strategic InitiativesStrategic Initiatives: 29.1 (9.2%): 29.1 (9.2%)Strategic Initiatives: 29.1 (9.2%)
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Edinger Pump Station Repl. - Design , , , , , , , , , ,
Slater Pump Station Rehab. - Planning , , --- , ,
North Huntington Beach Sewer Rehab. - Planning , , --- , ,
Santa Ana Trunk Sewer Rehab. - Design , , , , , , , , , ,
Greenville Trunk Impr. - Design , , , , , , , ,
Taft Branch Impr. - Construction , , , , , , , , , ,
Fullerton - Placentia Sewer Facilities Demo. & … - Planning , , - , , , ,
Atwood - Santa Ana Canyon Sewer Rehab. - Planning , , --- , ,
Knott - Miller Holder Artesia Branch Rehab. - Design , , , , , , ,
Westminster Blvd Force Main Repl. - Construction , , , , , , -
Rehab. of Western Regional Sewers - Construction , , , , , , , , , ,
I- Widening Project Impacts on OCSD Sewers - Construction , , , , -
Seal Beach Pump Station Repl. - Construction , , , , , , , , , ,
Los Al. Sub-Trunk Ext. & Westside Pump Station … - Planning , , -- , , ,
Crystal Cove Pump Station Rehab. - Planning , , --- , ,
Bay Bridge Pump Station Repl. - Design , , , , , , , , , ,
Newport Beach Pump Station Pressurization Impr. - Construction , , , , , , -
East Coast Highway Sewer Rehab. - Planning , , -- , , ,
Fairview Sewer Rehab. - Design , , , , , , , ,
MacArthur Pump Station Rehab. - Planning , , - , , , ,
Main Street Pump Station Rehab. - Planning , , --- , ,
Gisler-Red Hill Interceptor & Baker Force Main … - Construction , , , , , , , , ,
Sun ower & Red Hill Interceptor Repairs - Construction , , , , , --
MacArthur Force Main Impr. - Construction , , , , , , , , -
North Tustin-Orange Sewer Impr. - Planning , , , , , , , ,
Collections Facilities Total $ , , , $ , , $ , , $ , , $ , ,
Section 8 - Page 8
Summary of Capital Requirement - Collection System Improvement Projects
Collections Facilities
Future
Outlay
Est. Cost
To Date
6/30/24
Total
Project
Budget
Project
Phase
7/1/24
Project
Number
Proposed
2024-25
Outlay
Proposed
2025-26
Outlay
Summary of Capital Requirements
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Headworks Rehab. at P P - Construction , , , , , , , , , ,
Headworks Mod. at P for GWRS Final Expansion P - Construction , , , , , --
Headworks Total , , , , , , , , , ,
Ocean Outfall System Rehab.J- Construction , , , , , , , , , ,
Ocean Outfalls Rehab.J- Planning , , , , , , ,
Chemical Systems Rehab. at P P - Design , , , , , , , , ,
Emergency Over ow Wingwalls Rehab. at P P - Planning , , , , , , ,
Ocean Outfall Systems Total , , , , , , , , , ,
Interim Food Waste Receiving Facility P - Design , , , , , , , ,
Digester Repl. at P P - Design , , , , , , , , , ,
Digesters Rehab. at P P - Design , , , , , , , , , ,
Truck Loading Bay Odor Control Impr. at P P - Planning , , , , , , ,
Solids Handling & Digestion Total , , , , , , , , , ,
Activated Sludge- Rehab. at P P - Design , , , , , , , , , ,
Trickling Filter Media Repl. at P P - Planning , , , , , , , ,
Return Activated Sludge Piping Repl. at P P - Construction , , , , ---
Activated Sludge Aeration Basin Rehab. at P P - Design , , , , , , , , , ,
Secondary Treatment Total , , , , , , , , , ,
Primary Sed. Basins No. - Repl. at P P - Design , , , , , , , , , ,
Primary Sed. Basins No. - Reliability Impr. at P P - Construction , , , , , , , -
B/C-Side Primary Sed. Basins Rehab. at P P - Planning , , --- , ,
Primary Treatment Rehab. at P P - Construction , , , , , , , , , ,
Primary Treatment Total , , , , , , , , , ,
Equipment Purchases Equipment Construction , , , , , , , , -
Equipment Total , , , , , , , , -
Section 8 - Page 9
Summary of Capital Requirement - Treatment System Improvement Projects
Equipment
Headworks
Primary Treatment
Secondary Treatment
Solids Handling & Digestion
Ocean Outfall System
Summary of Capital Requirements
Future
Outlay
Est. Cost
To Date
6/30/24
Total
Project
Budget
Project
Phase
7/1/24
Project
Number
Proposed
2024-25
Outlay
Proposed
2025-26
Outlay
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Research Program M-RESEARCH Planning , , , , , , , , ,
Research Total , , , , , , , , ,
GWRS Final Expansion Coordination J- - Construction , , , , ---
Water Management Projects Total , , , , ---
Planning Studies Program M-STUDIES Planning , , , , , , , , , ,
Strategic & Master Planning Total , , , , , , , , , ,
Process Control Systems Upgrades J- Construction , , , , , , , , , ,
Project Mgmt. Information System J- Construction , , , , , , ,
Process Control System Alarm Optimization J- Planning , , - , , , ,
Information Technology Capital Program M-MC-IT Construction , , , , , , , , ,
EAM Software & Process Implementation SP- Construction , , , , , , , ,
Information Management Systems Total , , , , , , , , , ,
Digester Gas Facilities Rehab.J- Design , , , , , , , , , ,
Natural Gas Pipelines Repl. at P & P J- Construction , , , , ---
Cen Gen Engine Overhauls at P & P J- Design , , , , , , , , , ,
Cen Gen Facilities & OOBS Seismic Upgrades J- Planning , , - , , , ,
Electrical Power Distribution System Impr.J- Design , , , , , , , , , ,
Uninterruptible Power Supply Impr. at P P - Construction , , , , , , , , ,
. kV Switchgear Repl. at Cen Gen at P P - Planning , , - , , , ,
Industrial Control System & IT Data Center …P - Planning , , , , , , ,
Headworks Electrical Distribution Impr. at P P - Planning , , - , , , , ,
Utility Systems Total , , , , , , , , , ,
Section 8 - Page 10
Summary of Capital Requirement - Treatment System Improvement Projects
Utility Systems
Information Management Systems
Strategic & Master Planning
Water Management Projects
Research
Future
Outlay
Est. Cost
To Date
6/30/24
Total
Project
Budget
Project
Phase
7/1/24
Project
Number
Proposed
2024-25
Outlay
Proposed
2025-26
Outlay
Summary of Capital Requirements
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Laboratory Repl. at P J- Planning , , -- , , , ,
Small Construction Projects Program M-FE Construction , , , , , , , , , ,
Operations & Maintenance Capital Program M-SM-CAP Construction , , , , , , , , , ,
Headquarters Complex P - Construction , , , , , , , -
South Perimeter Security & Utility Impr. at P P - Construction , , , , , --
Support Buildings Seismic Impr. at P P - Design , , , , , , , , , ,
Administrative Facilities Demo.P - Planning , , , , , , ,
Collections Yard Relocation & Warehouse Demo.…P - Construction , , , , , , , -
Operations & Maintenance Complex at P P - Design , , , , , , , , , ,
Support Facilities Total , , , , , , , , , ,
Capital Improvement Program Mgmt. Services SP- Planning , , , , --
Others Total , , , , --
Section 8 - Page 11
Summary of Capital Requirement - Treatment System Improvement Projects
Future
Outlay
Est. Cost
To Date
6/30/24
Total
Project
Budget
Project
Phase
7/1/24
Project
Number
Proposed
2024-25
Outlay
Proposed
2025-26
Outlay
Support Facilities
Summary of Capital Requirements
Others
Total Treatment and Disposal Projects , , , , , , , , , , , ,
Total Collections Facilities , , , , , , , , , , ,
Capital Equipment Purchases , , , , , , , , -
Total Capital Improvement Program Budget $ , , , $ , , $ , , $ , , $ , , ,
Less: CIP Savings & Deferrals --( , , )( , , )-
Allocation for Future Rehab.-----
Proposed Net CIP Outlay --$ , , $ , , -
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Description
This project will replace the existing Edinger Pump Station to meet current building, electrical, and safety codes and
to provide safer access to the pump station. The new pump station will be located at a new location near the
existing pump station. The existing pump station will be demolished when the new one is complete.
Project Category
Edinger Pump Station Repl. - 11-33
Collections Facilities Revised
Justi cation
Edinger Pump Station was originally constructed in 1968. Although the pumps have recently been replaced, the control systems are
rapidly becoming obsolete, and the electrical system does not comply with current codes. In addition, the existing pump station is located
below grade, and to access the pump station for maintenance requires blocking o a pedestrian walkway, a bike lane, and a tra c lane.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , ----- , ,
Design , , , , , --- , ,
Construction , , , , , , , , , - , ,
Commissioning ---- , , , ,
Close-out ----- , , ,
Contingency --- , - , , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 12
CIP Project Detail Sheets
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Description
This project will rehabilitate the existing Slater Avenue Pump Station to meet current building, electrical and safety
standards. The mechanical piping and pumps will be replaced and the sewage wetwell will be prepared in order to
extend the useful life of the pump station. In addition to the improvements to the pump station, both sewer force
mains currently serving this pump station will be rehabilitated.
Project Category
Slater Pump Station Rehab. - 11-34
Collections Facilities Future
Justi cation
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.
Budget Projections
Proj Dev --------
Prelim Design --------
Design ------ , , , ,
Construction ------ , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total ------$ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The increased budget is a result of changes in the project elements and an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 13
CIP Project Detail Sheets
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Description
This project will rehabilitate portions of the Edinger - Bolsa Chica, Slater-Springdale, Goldenwest, and Warner Ave
Trunks in the City of Huntington Beach. The project includes replacement of 1,082 feet of 24-inch to 27-inch sewer
and 18 manholes with 60-inch to 72-inch manholes, the rehabilitation of 4,918 feet of 12-inch to 27-inch sewer and
34 manholes 48-inch to 72-inch in diameter, the installation of 4 new manholes, and 6 spot repairs.
Project Category
North Huntington Beach Sewer Rehab. - 11-35
Collections Facilities Future
Justi cation
Rehabilitation of the existing sewer and manholes is necessary to address identi ed structural de cenices.
Budget Projections
Proj Dev --------
Prelim Design --------
Design --- , , , , ,
Construction ------ , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total ---$ , $ , $ , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been decreased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The decreased budget is a result of changes in the project elements identi ed from recent engineering e orts.
Financial Consideration
Section 8 - Page 14
CIP Project Detail Sheets
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Description
This project will rehabilitate a portion of the Santa Ana Trunk sewer north of Interstate 405. This will include
rehabilitation of approximately 15,000 feet of large diameter sewers along Alton Avenue and easements crossing
MacArthur Boulevard, Harbor Boulevard, Scenic Avenue, Hyland Avenue, Sun ower Avenue in the Cities of Santa
Ana and Costa Mesa.
Project Category
Santa Ana Trunk Sewer Rehab. - 1-23
Collections Facilities Continuing
Justi cation
This trunk line is unlined reinforced concrete piping. Physical and video assessments of this sewer indicate there is corrosion in the
concrete and rehabilitation must be performed to prevent potential structural failure.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , , , ---- , ,
Construction , - , , , , , , -- , ,
Commissioning , ------ ,
Close-out ---- , - ,
Contingency -- , - , , , , - , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , -$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 15
CIP Project Detail Sheets
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Description
This project will upsize the Greenville Trunk sewer to increase capacity. This will include installation of pipelines,
replacement of manholes and rehabilitation of manholes. The project includes improvements of up to 16,000 feet
of sewer along Sullivan Street, Edinger Ave, and Greenville Street in the City of Santa Ana.
Project Category
Greenville Trunk Impr. - 1-24
Collections Facilities Continuing
Justi cation
The need for this project was identi ed in the Collections Capacity Evaluation Study, Project No. PS15-06. These improvements will
accommodate changing ow patterns and potential wet weather surcharges.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , , , , --- , ,
Design , -- , , , , - , ,
Construction ----- , , , , ,
Commissioning --------
Close-out , ----- , ,
Contingency ----- , , , , ,
Total $ , , $ , $ , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 16
CIP Project Detail Sheets
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Description
This project will upsize the upper reach of the Taft Branch sewer in the City of Orange. This will include
replacement of nearly 7,000 feet of pipe and associated manholes along Meats Ave and Taft Avenue. It includes a
new alignment of 3,400 feet on Sacrament St. and Taft Ave to alleviate existing manhole access issues. The project
will also include a swap of regional and local sewers. 2,700 feet of existing OC San facilities on Tustin Ave will be
transferred to the City of Orange and 2,600 feet of regional piping owned by City of Orange will be transferred to
OC San.
Project Category
Taft Branch Impr. - 2-49
Collections Facilities Continuing
Justi cation
The need for this project was identi ed in the Collections Capacity Evaluation Study, Project No. PS15-08. These improvements will
accommodate changing ow patterns and potential wet weather surcharges.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , , ----- , ,
Construction , , , , , , , --- , ,
Commissioning --------
Close-out --- , --- ,
Contingency , , - , , , , -- , ,
Total $ , , $ , , $ , , $ , , $ , , --$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 17
CIP Project Detail Sheets
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Description
This project will demolish the Yorba Linda Pump Station in the City of Fullerton and its downstream force main, the
Yorba Linda Spur Odor Station in the City of Yorba Linda, and abandon an additional 6300 feet of 12-inch VCP and
manholes in Craig Regional Park and Associated Road. 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. Gravity sewers located in Yorba Linda Boulevard will be recon gured to
permanently divert ow away from the pump station. This project will also rehabilitate the Pioneer Branch, Kraemer
Boulevard Interceptor, portions of the Rolling Hills Sub-Trunk and Carbon Canyon Dam Interceptor in the cities of
Brea, Fullerton, and Placentia. This portion of the work includes construction of 30 feet of new 24-inch VCP sewer
and a new 84-inch manhole, the rehabilitation of 975 feet of 15-inch VCP sewer and 48 manholes 48-inch to 84-
inch manhole in diameter, and construction of various spot repairs.
Project Category
Fullerton - Placentia Sewer Facilities Demo. & Rehab. - 2-73
Collections Facilities Future
Justi cation
The Yorba Linda Pump Station was built, in part, to convey ow 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 (2-72) to do so has been completed,
which renders the Yorba Linda Pump Station unnecessary. The pump station currently resides on the California State University Fullerton's
property. The university anticipates future rennovation to include this area in the master plan design and may move forward once the
pump station is no longer in use. Additionally, rehabilitation of existing trunk sewer main and manholes in the vicinity of the pump station is
necessary to address identi ed structural de cenices. Lastly, a proposed new sewer and diversion will enable more ow from the SARI
trunk system to get into the Newhope trunk system and increase reclaimable dry weather ows at P1.
Budget Projections
Proj Dev --------
Prelim Design --------
Design - , , , , , - , ,
Construction ---- , , , , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total -$ , $ , $ , $ , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The increased budget is a result of changes in the project elements identi ed from recent engineering e orts.
Financial Consideration
Section 8 - Page 18
CIP Project Detail Sheets
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Description
This project will rehabilitate the Atwood Sub-Trunk and Santa Ana Canyon South River Trunk within the cities of
Anaheim and Placentia. The project includes the construction of 200 LF of new air jumper pipe and 4 manholes 60-
inch in diamater, rehabilitation of 2,376 feet of 18-inch to 33-inch sewer and 81 manholes 48-inch to 72-inch in
diameter, and several spot repairs. The project also includes the construction of 700 feet of new access road and
modi cations to an existing manhole structure to improve maintenance accessibility in easement areas.
Project Category
Atwood - Santa Ana Canyon Sewer Rehab. - 2-78
Collections Facilities Future
Justi cation
Rehabilitation and replacement of existing trunk sewer main and manholes is necessary to address identi ed structural de cenices. Also,
lack of an air jumper at inverted siphons can accelerate sewer main and manhole degradation and lead to fugitive odors.
Budget Projections
Proj Dev --------
Prelim Design --------
Design --- , , , , , , ,
Construction ------ , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total ---$ , $ , $ , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The increased budget is a result of changes in the project elements and an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 19
CIP Project Detail Sheets
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Description
This project will rehabilitate a portion of the Knott Interceptor, Miller Holder Trunk and Artesia Branch sewers in the
City of Buena Park. The project includes the rehabilitation of 3,900 feet of 18-inch to 45-inch sewer, rehabilitation of
43 manholes, and installation of two new 84-inch manholes. One new air jumper will also be installed in the City of
La Palma.
Project Category
Knott - Miller Holder Artesia Branch Rehab. - 3-60
Collections Facilities Continuing
Justi cation
Rehabilitation of existing trunk sewer mains and manholes are required to address identi ed structural de ciencies.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ----- ,
Design - , , , --- ,
Construction --- , , , , , , - , ,
Commissioning --------
Close-out ----- , - ,
Contingency --- , - , , , , , ,
Total $ , $ , $ , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 20
CIP Project Detail Sheets
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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 existing
siphons near Rancho Rd will be slip lined to extend the force main to terminate at an existing discharge structure.
Project Category
Westminster Blvd Force Main Repl. - 3-62
Collections Facilities Continuing
Justi cation
The pump station currently operates with just one of two force mains, a 42-inch ductile iron pipe that has no corrosion protection system.
The other force main 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 ow of 34 mgd.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , ------ , ,
Construction , , ------ , ,
Commissioning , ------ ,
Close-out , , ----- ,
Contingency , , , ---- ,
Total $ , , $ , $ , ----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 21
CIP Project Detail Sheets
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Description
This project will replace or rehabilitate a portion of the sewers and manholes located in OC San's northwestern
service area. The work will be completed under two construction contracts. The Orange Western Sub-Trunk and
Los Alamitos Trunk Sewer Rehabilitation covers approximately 46,000 feet of pipe and the Los Alamitos Sub-Trunk
Sewer and Westside Relief Interceptor Rehabilitation covers approximately 35,000 feet of pipe. These sewers are
located primarily within public rights of way in the Cities of Seal Beach, Los Alamitos, Cypress, Anaheim, Buena
Park, and La Palma.
Project Category
Rehab. of Western Regional Sewers - 3-64
Collections Facilities Continuing
Justi cation
Most of the sewers were constructed in late 1950's and early 1960's for an estimated life of 40 to 50 years. Inspections have identi ed
signi cant defects and the joints that allow signi cant in ltration of groundwater into the sewers.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , , ----- , ,
Construction , , , , , , , , , , -- , ,
Commissioning , ------ ,
Close-out , , -- , -- ,
Contingency , , , , - , , -- , ,
Total $ , , $ , , $ , , $ , , $ , , --$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 22
CIP Project Detail Sheets
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Description
This project tracks sta support costs to review, monitor, and inspect impacts on OC San’s facilities related to the
Orange County Transportation Authority's widening of the I-405 Freeway between State Route 73 and the I-605
Freeway.
Project Category
I-405 Widening Project Impacts on OCSD Sewers - 3-66
Collections Facilities Continuing
Justi cation
Widening of the I-405 Freeway requires protection or relocation of OC San facilities. Agreements between OC San and the Orange
County Transportation Authority provide for reimbursements of these expenses.
Budget Projections
Proj Dev --------
Prelim Design --------
Design , ------ ,
Construction , ------ ,
Commissioning --------
Close-out - , ----- ,
Contingency - , , ---- ,
Total $ , $ , $ , ----$ ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 23
CIP Project Detail Sheets
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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 ow 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 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.
Project Category
Seal Beach Pump Station Repl. - 3-67
Collections Facilities Revised
Justi cation
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-e ective 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.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , ------ , ,
Construction , , , , , , , , , , -- , ,
Commissioning --- , , -- , ,
Close-out ---- , , - ,
Contingency , --- , , , , - , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , -$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will increase operational budgets by $ , annually. These costs will be o set once Westside Pump station is abandoned under future
Project No. - .
Financial Consideration
Section 8 - Page 24
CIP Project Detail Sheets
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Description
This project will extend the Los Alamitos Sub-Trunk between the Westside Pump Station and the Seal Beach Pump
Station and demolish the Westside Pump Station. This project includes installing approximately 5,760 feet of 48-
inch to 54-inch gravity sewer via micro tunneling with 96-inch polymer concrete manholes, abandoning 150 LF of
24-inch sewer force main, and extending the 18-inch VCP gravity sewer from Rossmoor to the new gravity sewer
along Gate Road, Seal Beach Boulevard and easements crossing the 405 / 22 freeway in the City of Seal Beach
and unincorporated Orange County.
Project Category
Los Al. Sub-Trunk Ext. & Westside Pump Station Abnd. - 3-68
Collections Facilities Future
Justi cation
The new sewer will connect to the soon to be replaced Seal Beach Pump Station (Project No. 3-67), thus allowing the Westside Pump
Station to be abandoned. Westside Pump Station is expected to need major rehabilitation work in approximately 10 years.
Budget Projections
Proj Dev --------
Prelim Design --------
Design -- , , , , , , , , , , ,
Construction ------ , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total --$ , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 25
CIP Project Detail Sheets
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Description
This project would rehabilitate the existing Crystal Cove Pump Station, located along Paci c Coast Highway in
southern Newport Beach, to maintain compliance with electrical and safety codes, and to restore the condition of
the aging facility. The project also include rehabilitation the two 8-inch ductile iron force mains and construction of
access manholes within the force mains to facilitate future condition assessments. The existing gravity system in the
vicinity of the pump station would also be assessed and rehabilitated as needed.
Project Category
Crystal Cove Pump Station Rehab. - 5-66
Collections Facilities Future
Justi cation
The Crystal Cove Pump Station was constructed in 1995. There is a strong H2S odor observed in and around the pump station. The
existing force mains, which are just over half a mile in length, are di cult to maintain and service. The electrical equipment will be reaching
the end of its useful life. Signs of site settlement was observed.
Budget Projections
Proj Dev --------
Prelim Design --------
Design --- , , , , , ,
Construction ------ , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total ---$ , $ , $ , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 26
CIP Project Detail Sheets
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Description
This project will replace the existing Bay Bridge Pump Station to meet current building, electrical, and safety codes
and OC San's design standards. The associated force mains will also be replaced.
Project Category
Bay Bridge Pump Station Repl. - 5-67
Collections Facilities Revised
Justi cation
The Bay Bridge Pump Station was originally constructed in 1966. The pumping systems are aging and have control systems that are
rapidly becoming obsolete. In addition, the existing pumping station does not comply with the current electrical and safety codes. The
force mains have reached the end of their expected life and are at risk of failure if not addressed.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , , , ----- , ,
Construction , , , , , , , , , , , , , , ,
Commissioning -- , , , , , ,
Close-out ------ , ,
Contingency - , ---- , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will increase operational budgets by $ , annually. The new pump station will have a vapor phase odor treatment system which will
require the replacement of carbon media.
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 27
CIP Project Detail Sheets
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Description
This project will address pressurization of the air in wet wells of the Bitter Point, Crystal Cove, A Street, 15th Street,
Lido, and Rocky Point Pump Stations by adding passive ventilation. It will also add facilities to accommodate
chemical addition at the 15th Street Pump Station to reduce generation of hydrogen sul de in downstream
forcemains.
Project Category
Newport Beach Pump Station Pressurization Impr. - 5-68
Collections Facilities Continuing
Justi cation
The existing wet wells are not vented to prevent the pressurization of the air space when wet well levels rise. The resulting pressure can
release foul air from upstream manholes and can blow out water seals in p-traps draining to the wet well. The loss of the water seal can
result in hazardous gasses accumulating in the pump station building.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , ------ ,
Construction , , , ----- , ,
Commissioning --------
Close-out - , ----- ,
Contingency - , , ---- ,
Total $ , , $ , $ , ----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will increase operational budgets by $ , annually. Costs will include additional labor and materials for the scrubber media
replacement annually.
Financial Consideration
Section 8 - Page 28
CIP Project Detail Sheets
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Description
This project will rehabilitate portions of the East Coast Highway and Bayside Drive Trunks in the City of Newport
Beach. The project includes the replacement of 255 feet of 8-inch VCP sewer and 9 manholes with 60-inch and 84-
inch manholes, construction of 550 feet of new air jumper and two new 60-inch manholes, and the rehabilitation of
900 feet of 10-inch to 12-inch VCP sewer and 18 manholes 48-inch to 72-inch in diameter.
Project Category
East Coast Highway Sewer Rehab. - 5-69
Collections Facilities New
Justi cation
Rehabilitation and replacement of existing trunk sewer main and manholes is necessary to address identi ed structural de cenices. Also,
lack of an air jumper at inverted siphons can accelerate sewer main and manhole degradation and lead to fugitive odors.
Budget Projections
Proj Dev --------
Prelim Design --------
Design -- , , , -- , ,
Construction ---- , , , , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total --$ , $ , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 29
CIP Project Detail Sheets
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Description
This project will rehabilitate the Fairview Trunk and relief sewer facilities, located along Fairview Road in the City of
Costa Mesa. The project consists of rehabilitating approximately 7,500 feet of 18-inch to 27-inch sewer pipe and
associated manholes. The project will also abandon approximately 4,500 feet of trunk sewer and associated
manholes.
Project Category
Fairview Sewer Rehab. - 6-20
Collections Facilities Revised
Justi cation
Rehabilitation of the existing trunk and relief sewer mains are necessary to address identi ed structural de ciencies.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ----- , ,
Design , , , ---- ,
Construction , , , , , , , , , - , ,
Commissioning --------
Close-out , ---- , , ,
Contingency -- , -- , , , , , ,
Total $ , , $ , $ , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The project will not have an impact on operational budgets
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 30
CIP Project Detail Sheets
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Description
The MacArthur Pump Station is located west of MacArthur Boulevard and north of Jamboree Road in the City of
Newport Beach. This project includes rehabilitation of the existing civil structures, such as the wet well and
underground electrical room and pump room. Replacement of mechanical equipment (e.g., pumps, valves, piping)
and electrical and instrumentation equipment would also be included under this project.
Project Category
MacArthur Pump Station Rehab. - 7-63
Collections Facilities Future
Justi cation
The pump station was built in 1960 and the internal equipment and supporting components were replaced in 1989. The wet well is an
original structure and is not coated or lined to prevent corrosion of the concrete from the hazardous sewer gases. Corrosion is also
present on the existing mechanical equipment. The electrical equipment is outdated and obtaining replacement electrical parts is
becoming increasingly di cult. At the completion of this project the pump station will follow the latest applicable electrical and safety
codes.
Budget Projections
Proj Dev --------
Prelim Design --------
Design - , , , , , - , ,
Construction ----- , , , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total -$ , $ , $ , $ , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The increased budget is a result of changes in the project elements and an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 31
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Description
The Main Street Pump Station is located on Main Street north of the John Wayne Airport, in the City of Irvine. This
project includes the rehabilitation of the existing civil structures such as the ow diversion box, east and west wet
well and the above ground electrical room and below grade pump room. Replacement of the mechanical
equipment (pumps, valves, piping, etc.) and electrical and instrumentation equipment is also included.
Project Category
Main Street Pump Station Rehab. - 7-64
Collections Facilities Future
Justi cation
The original pump station (west side) was constructed in 1985 and the east side of the pump station was added in 2001. Although the
pump station is performing well, the piping throughout and the pumps on the west side are nearing the end of their useful life. The
supporting on-site civil structures such as the ow diversion structure is su ering from corrosion due to high levels of corrosive gases.
Corrosion also persists in the wet wells. The pump station structure needs seismic retro tting to remain reliable.
Budget Projections
Proj Dev --------
Prelim Design --------
Design --- , , , , , , , ,
Construction ------ , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total ---$ , $ , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 32
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Description
This project will rehabilitate the Gisler Redhill Interceptor from a manhole near the Main Street Pump Station to the
College Avenue Pump Station and the two 42-inch Baker forcemains from the Main Street Pump Station. The
project is expected to line and/or repair 30 manholes, approximately 15,000 feet of gravity sewer, and
approximately 6,000 feet of forcemain along with replacing supporting valving and piping adjacent and inside the
Main Street Pump Station.
Project Category
Gisler-Red Hill Interceptor & Baker Force Main Rehab. - 7-65
Collections Facilities Continuing
Justi cation
Condition assessments completed in 2015 and in 2017 on the Gisler Redhill Interceptor indicate corrosion in most of the manholes from
the cover to the base as well as multiple cracks in the VCP piping. The Baker forcemains have corrosion and liner failures due to the
corrosive gas migration from the wet wells. There is also valve vault settlement on the forcemains.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , , ------ , ,
Construction , , , , , , ---- , ,
Commissioning , , , ---- ,
Close-out -- , , --- ,
Contingency -- , , , --- , ,
Total $ , , $ , , $ , , $ , ---$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 33
CIP Project Detail Sheets
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Description
The project will repair PVC liner failures within a 6,000-foot section of the Sun ower and Red Hill Interceptors. This
will require live entry, temporary diversions, and bypass pumping. Also, hydraulic adjustments will be made to
maintain the liquid level to keep the low ows above the exposed concrete at the lower section of the pipe.
Project Category
Sun ower & Red Hill Interceptor Repairs - 7-66
Collections Facilities Continuing
Justi cation
An assessment of the plastic lining was performed on the upper reaches of the Sun ower and Red Hill Interceptors. The liner has failed in
many locations allowing corrosion of the concrete substrate which could lead to structural failure. There is also additional concrete
corrosion below the 270-degree plastic lining due to the ow depth being lower than the liner.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , ------ ,
Construction , , ------ , ,
Commissioning --------
Close-out , ------ ,
Contingency - , ----- ,
Total $ , , $ , -----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 34
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Description
The MacArthur Pump Station is located west of MacArthur Boulevard and north of Jamboree Road in the City of
Newport Beach. This project includes construction of approximately 2,100 feet of dual force mains within the
MacArthur Boulevard right of way.
Project Category
MacArthur Force Main Impr. - 7-68
Collections Facilities Continuing
Justi cation
The existing forcemain was constructed in 1960 and is nearing the end of its useful life. The pump station is served by a single forcemain
which makes condition assessment and maintenance di cult. The construction of new dual forcemains will increase reliability and lessen
the impact of the surrounding community during routine maintenance and assessment e orts.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , ------ ,
Construction , , , , ----- , ,
Commissioning , ------ ,
Close-out - , ---- ,
Contingency - , , , ---- , ,
Total $ , , $ , , $ , , ----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 35
CIP Project Detail Sheets
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Description
This project will upsize a portion of the North Trunk sewer system to increase hydraulic capacity and replace and
rehabilitation portions of the North Trunk, Tustin-Orange Trunk, Yorba Street Sub-Trunk, Panorama Heights Sub-
Trunk, Hewes Avenue Sub-Trunk, and Chapman Avenue Sewer within the City of Tustin, Orange, and
Unincorporated Orange County. The project includes improvements to install 6,351 feet of 18-inch sewer with 60-
inch manholes, replace 840 feet of 8-inch to 12-inch sewer, rehabilitate 4,544 feet of 8-inch to 27-inch sewer,
construct 5 spot repairs, rehabilitate 127 manholes 48-inch to 72-inch in diameter, and abandon 146 feet of 12-inch
sewer and a 48-inch manhole. In addition, the project includes constructing up to 1,000 LF of 20 foot wide access
roads within OC San easement areas.
Project Category
North Tustin-Orange Sewer Impr. - 7-69
Collections Facilities Future
Justi cation
Pipeline capacity issues have been identi ed through the use of a hydraulic model. This project is necessary to ensure sanitary sewer
ows are conveyed to treatment plants without spilling and causing threats to waterways and public health. Sanitary sewer spills also
trigger violations with the Southern California Regional Water Quality Control Board. Additionally, the rehabilitation of existing trunk sewer
pipelines and manholes is necessary to address identi ed structural de ciencies.
Budget Projections
Proj Dev --------
Prelim Design --------
Design , , , , , , , -- , ,
Construction ---- , , , , , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total $ , $ , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The increased budget is a result of changes in the project elements and an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 36
CIP Project Detail Sheets
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Description
This project will rehabilitate the Ocean Outfall Booster Station at Plant No. 2, 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 non-reclaimable dry weather ows to the e uent outfall. The
Plant Water Pump Station will replace the existing plant water pump station. The project completed rehabilitation of
the 84-inch and 120-inch interplant e uent lines between Plant No. 1 and Plant No. 2 in 2018.
Project Category
Ocean Outfall System Rehab. - J-117
Ocean Outfall Systems Revised
Justi cation
The existing Ocean Outfall Booster Station facility is over 20 years old and requires extensive rehabilitation. The two interplant e uent
lines have been found to need repairs and lining, which was completed in 2018. Diversions of some Plant No. 2 e uent to the Orange
County Water District’s Groundwater Replenishment System (GWRS) will result in outfall ow rates dropping below the minimum ow 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 e uent to GWRS. Replacement of the CenGen switchgear will replace electrical
equipment that is nearing obsolescence and does not provide su cient redundancy.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , ------ , ,
Construction , , , , , , ---- , ,
Commissioning , , , ----- , ,
Close-out , , , , , --- , ,
Contingency , - , , , , --- , ,
Total $ , , $ , , $ , , $ , , ---$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The Increased budget is a result of an updated estimate to complet the work.
Financial Consideration
Section 8 - Page 37
CIP Project Detail Sheets
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Description
This project will upgrade the existing Supervisory Control and Data Acquisition (SCADA) Systems for the treatment
plants and pump stations based on the vendor system selected as part of the Process Control Systems Upgrades
Study, Project No. SP-196. This project will replace existing obsolete human-machine-interface systems, databases
and software programs including trending, diagnostic data, monitoring, control, alarming and reporting. This project
will also develop programming standards, templates, methodologies, tools, and databases and will develop
standards for networking and control panels.
Project Category
Process Control Systems Upgrades - J-120
Information Management Systems Continuing
Justi cation
The existing human-machine-interface system and associated SCADA subsystems are obsolete. The existing software has a limited
customer-installed base and technical expertise for support and source code modi cations has become scarce. The reliability and
maintainability of the systems are critical to maintaining regulatory compliance for both the collections system and the treatment plants.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , , ----- ,
Construction , , , , , , , , --- , ,
Commissioning --------
Close-out , , , , , , , , , -- , ,
Contingency -- , , , , , -- , ,
Total $ , , $ , , $ , , $ , , $ , , --$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 38
CIP Project Detail Sheets
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Description
This project will rehabilitate the existing gas compressor facilities at both plants. This includes seismic upgrades to
the gas compressor buildings, rehabilitation of electrical and I&C systems, and rehabilitation of other necessary
auxiliary equipment. It will also replace the existing ares with low pressure ultra-low emission ares.
Project Category
Digester Gas Facilities Rehab. - J-124
Utility Systems Continuing
Justi cation
The digester gas systems need to be rehabilitated for reliability purposes. Replacing the existing high pressure ares with low pressure
ares allows greater exibility for future compressor maintenance and reliability during a power outage.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , , , --- , ,
Design , , , , , , , , -- , ,
Construction ---- , , , , , , , ,
Commissioning ----- , , , , ,
Close-out , , , , , , , ,
Contingency --- , , - , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 39
CIP Project Detail Sheets
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Description
This project will rehabilitate the natural gas pipelines at Plants Nos. 1 and 2. This includes the replacement of aging
metallic pipelines, risers and rehabilitation of valve vaults and piping penetrations.
Project Category
Natural Gas Pipelines Repl. at P1 & P2 - J-127
Utility Systems Continuing
Justi cation
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 valve vaults having ooding concerns as well as corrosion issues. This project will ensure
safe, reliable operation of the natural gas systems.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design --------
Design , ------ ,
Construction , , ------ , ,
Commissioning --------
Close-out --------
Contingency --------
Total $ , , ------$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 40
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Description
This project is implementing a new Project Management Information System to replace obsolete software
previously used to serve business processes related to management of the capital improvement program.
Project Category
Project Mgmt. Information System - J-128
Information Management Systems Continuing
Justi cation
The software application previously used to manage construction contracts is no longer functional. In addition, several of business
processes involved in managing the capital improvement program could be more e ciently and e ectively performed using a modern
commercially available software system.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design ------
Design , , , , , , -- , ,
Construction ------
Commissioning --------
Close-out --------
Contingency ---- , -- ,
Total $ , , $ , $ , $ , $ , --$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 41
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Description
This project will replace the Central Laboratory building at Plant No. 1. The new building will be located at an o site
property that is adjacent to the new headquarters complex. This existing property contains a commercial-o ce
building and is owned by OC San, at 18350 Mt. Langley St in Fountain Valley.
Project Category
Laboratory Repl. at P1 - J-133
Support Facilities Future
Justi cation
The Laboratory was built in 1989. The building does not meet various codes that include seismic de ciencies. The existing utilities,
equipment and amenities are at the end of their useful lives and are in need of frequent replacements or temporary xes. Testing needs
for various permit compliance items have increased since 1989 and the laboratory is in need of replacement to e ciently meet these
requirements.
Budget Projections
Proj Dev --------
Prelim Design --------
Design -- , , , , --- , ,
Construction --- , , , , , , - , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total --$ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
The increased budget is a result of changes in the project elements identi ed from recent engineering e orts.
Financial Consideration
Section 8 - Page 42
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Description
This project will overhaul all eight generator sets including the engines and generators of the Central Generation
Facilities at Plant No. 1 and 2. Overhaul of the rst engine at Plant No. 1 was completed in early 2022. The overhaul
of four engines and ve generators is on-going.
Project Category
Cen Gen Engine Overhauls at P1 & P2 - J-135
Utility Systems Revised
Justi cation
The Central Generation Facilities (CENGEN) are the primary source of electricity and thermal energy for treatment Plant No. 1 and 2, while
Southern California Edison provides the backup source. While separate standby power generation is available for critical plant loads, the
reliable operation of the CENGEN facilities is the key to assuring continuous operation of the process plants and to the prevention of
sewage spills. Complete overhauls of CENGEN gas engines are needed when they reach a run-time of 120,000 hours to ensure reliable
operation.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design --------
Design , , , ---- ,
Construction , , , , , , , , , , , , - , ,
Commissioning --------
Close-out -- , , - , - ,
Contingency -- , , , - , , - , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , -$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 43
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Description
This project will rehabilitate the 120-inch Ocean Outfall. It includes the removal of debris blocking di users access
ports, replacing all hardware that reinforces pipe joints, the addition of ballast rock in shallow sections, replacement
of existing manhole covers, removal of internal outfall sediment deposits, and the replacement of the ap gates.
Also, this project will perform a detailed inspection, condition assessment, and essential rehabilitation of the 78-inch
Emergency Outfall.
Project Category
Ocean Outfalls Rehab. - J-137
Ocean Outfall Systems Continuing
Justi cation
The Ocean Outfalls are a critical part of OC San’s infrastructure and must continue to operate reliably as there are currently no plans for
replacement. This Project is necessary so de ciencies can be addressed, and both ocean outfalls can continue to provide reliable
operations. This Project will also ensure that OC San is in compliance with various permit conditions that have been issued through the
California Regional Water Quality Control Board.
Budget Projections
Proj Dev $ , $ , $ , ----$ ,
Prelim Design -- , , --- ,
Design , -- , , , , , - , ,
Construction ---- , , , , , , ,
Commissioning --------
Close-out ------ , ,
Contingency ---- , , , , , ,
Total $ , $ , $ , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 44
CIP Project Detail Sheets
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Description
Some process area buildings at Plant No. 1 and 2 need structural improvements to reduce the risk of failure during a
signi cant seismic event. The Plant No. 1 buildings include the Central Generation and Solids Storage Facilities.
Plant No. 2 includes the Central Generation and the Ocean Outfall Booster Station.
Project Category
Cen Gen Facilities & OOBS Seismic Upgrades - J-138
Utility Systems Future
Justi cation
These older facilities do not meet current Building Codes for seismic stability. Planning Study PS15-06, Seismic Evaluations at Structures at
Plant No. 1 and 2 identi ed Cen Gen and OOBS as having a high risk and consequence of failure during a signi cant seismic event.
Budget Projections
Proj Dev --------
Prelim Design --------
Design - , , , , , - , ,
Construction ---- , , , , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total -$ , $ , $ , $ , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 45
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Description
This project will install a new master alarm database that will be integrated with the existing process control system,
develop an alarm con guration philosophy, and recon gure all existing alarms. This project will also create
dashboards and KPI reports for ongoing analysis of the alarm system.
Project Category
Process Control System Alarm Optimization - J-139
Information Management Systems New
Justi cation
The existing process control systems have over 28,000 con gured alarms and this number increases each year. On average, OC San
operators respond to over 1,000 instances of an alarm per day. The alarm system is critical to the safe operation of our facilities and our
ability to meet permit requirements. By developing a comprehensive alarm philosophy and following an alarm rationalization process, the
alarm system can be brought up to date with the latest industry standards and best practices allowing operators to respond to alarms
more e ciently, enhancing safety, and maintaining permit compliance.
Budget Projections
Proj Dev --------
Prelim Design --------
Design - , , , --- ,
Construction --- , , , , -- , ,
Commissioning --------
Close-out --------
Contingency ----- , - ,
Total -$ , $ , $ , , $ , , $ , -$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 46
CIP Project Detail Sheets
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Description
This project is used to track costs, forecast resources, and coordinate OC San reviews related to the Orange
County Water District's Groundwater Replenishment System Final Expansion project. This project does not address
modi cation of OC San Facilities included in other projects such as the Headworks Modi cations at Plant No.2 for
GWRS Final Expansion, Project No. P2-122, and the Ocean Outfall Rehabilitation Project No. J-117B.
Project Category
GWRS Final Expansion Coordination - J-36-2
Water Management Projects Continuing
Justi cation
The Orange County Water District's Groundwater Replenishment System Final Expansion will impact OC San Facilities at both plants and
along the interplant e uent pipelines.
Budget Projections
Proj Dev --------
Prelim Design , ------ ,
Design , ------ ,
Construction , ------ ,
Commissioning , ------ ,
Close-out , ------ ,
Contingency --------
Total $ , , ------$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 47
CIP Project Detail Sheets
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Description
This project provides various electrical distribution system improvements at Plant Nos. 1 and 2 which are needed
based on equipment condition and age, insu cient equipment ratings, grounding safety, non-compliance with the
National Electrical Code (NEC) requirements, and electrical con guration reliability. This includes replacing electrical
equipment at the end of its useful life, modifying the electrical system con gurations to improve reliability and
support maintenance, replacing electrical cables and equipment that are not properly sized, and adding surge
protection to protect equipment. This project will also implement a load shedding scheme at Plant No. 1 along with
modi cations for arc ash mitigation.
Project Category
Electrical Power Distribution System Impr. - J-98
Utility Systems Revised
Justi cation
These improvements are required to improve electrical safety, reliability, protective device coordination, and for compliance with NEC
requirements. As the electrical systems at Plant Nos. 1 and 2 have aged and reliability and safety philosophy has improved, the existing
electrical systems require improvements to maintain electrical system reliability and improve safety.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , ----- , ,
Design , , , ----- , ,
Construction , , , , , , , , , , , - , ,
Commissioning -- , , , , - ,
Close-out ----- , - ,
Contingency - , --- , , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 48
CIP Project Detail Sheets
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This budget provides funds for small construction projects. A construction project is de ned 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. OCSD-52, or by using OC San sta .
This budget request is intended to cover active small construction projects and those that will be identi ed and
created through Fiscal Year 2026/2027. These small projects are individually managed within the Small
Construction Projects Program budget.
Project Category
Small Construction Projects Program - M-FE
Support Facilities Revised
Justi cation
This fund allows OC San sta to complete small construction projects more quickly and cost e ectively than larger projects that require
speci c Board authorization. Of the requested budget approximately, $32,600,000 is allocated for small construction projects active as of
April 2020. The remainder is for not-yet-identi ed projects.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ----- ,
Design , , , , ---- , ,
Construction , , , , , , , , , -- , ,
Commissioning --------
Close-out , , , , --- ,
Contingency , , , , , , , , , , , , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The increased budget is the result of incorporation of previously separate projects and anticipated future work.
Financial Consideration
Section 8 - Page 49
CIP Project Detail Sheets
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This project will provide for the replacement, rehabilitation and/or upgrade of various Information technology assets
that meet the criteria and justi cation for capital expenditure.
Project Category
Information Technology Capital Program - M-MC-IT
Information Management Systems Continuing
Justi cation
These funds are needed in order to replace/rehabilitate/upgrade Information technology assets that are not included or identi ed in a
capital improvement project.
Budget Projections
Proj Dev --------
Prelim Design , ------ ,
Design , , , ---- ,
Construction , , ----- , ,
Commissioning --------
Close-out --------
Contingency , , , , , , , , , , , ,
Total $ , , $ , , $ , $ , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 50
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This budget provides funds for research projects. Speci c projects will be identi ed and developed to be funded
from this budget. This budget request is intended to cover currently active research projects and those that will be
identi ed and created through the next scal year.
Project Category
Research Program - M-RESEARCH
Research Continuing
Justi cation
Research projects are used to demonstrate technologies, equipment, con gurations, and control strategies to improve operational
e ciency, reduce costs, improve safety, or ll important information gaps. The results will support operations and maintenance and
provide information needed for future planning and design work.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , , ----- , ,
Design , , ----- ,
Construction , , , ----- , ,
Commissioning --------
Close-out - , ----- ,
Contingency , , , , , , , , ,
Total $ , , $ , , $ , $ , $ , $ , $ , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
Financial Consideration
Section 8 - Page 51
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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.
Project Category
Operations & Maintenance Capital Program - M-SM-CAP
Support Facilities Continuing
Justi cation
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.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design ------
Design , , , ---- ,
Construction , , , , , , , , , - , ,
Commissioning - , , ---- ,
Close-out -- , , --- ,
Contingency , , , , , , , ,
Total $ , , $ , , $ , , $ , , $ , $ , $ $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 52
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Description
This budget provides funds for planning studies. This budget request is intended to cover currently active planning
studies and those that will be identi ed and created through the next scal year.
Project Category
Planning Studies Program - M-STUDIES
Strategic & Master Planning Revised
Justi cation
Planning studies provide comprehensive capital program planning for OC San 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.
Budget Projections
Proj Dev $ , $ , $ , ----$ ,
Prelim Design , , , , , , , --- , ,
Design ------
Construction --------
Commissioning --------
Close-out , , , , --- ,
Contingency , , , , , , , , , , , , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been decreased from $ , , to $ , , .
The decreased budget is the result of updated study forecasts.
Financial Consideration
Section 8 - Page 53
CIP Project Detail Sheets
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Description
This project will rehabilitate and upgrade Plant No. 1 Headworks. Major 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 In uent channels, the Headworks Odor Control Scrubbers, and electrical power
distribution and control systems. New structures to be constructed as part of this project include Grit Pump Station,
Grit Handling Building, Headworks Odor Control Facility, Electrical Buildings, and other support systems.
Project Category
Headworks Rehab. at P1 - P1-105
Headworks Continuing
Justi cation
The purpose of the work is to rehabilitate the Plant No. 1 headworks that were built in the 1950s and 1960s and began operation in 1989.
This is a mid-life renewal project that will extend the life of the Headworks for at least 20 years while providing reliable treatment and
pumping for up to 320 million gallons per day of wastewater.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , ------ , ,
Construction , , , , , , , , , , , , - , ,
Commissioning , , , , , , , , , , , , ,
Close-out , --- , , , , , ,
Contingency ---- , , , , , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 54
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Description
This project will replace Primary Sedimentation Basins (PSB) 3-5 and all associated facilities including distribution
boxes, junction boxes, primary in uent and e uent lines, structural, mechanical, and electrical systems. PSB's 3-5
will be raised to allow gravity ow to secondary treatment. The project will also replace the primary odor control
facility. The project will demolish PSB's 1 and 2, Primary E uent Pump Station (PEPS), and the old control center
building.
Project Category
Primary Sed. Basins No. 3-5 Repl. at P1 - P1-126
Primary Treatment Continuing
Justi cation
This primary sedimentation complex has been assessed and studied and it was concluded that it is reaching the end of its useful life.
Replacement of the basins and rehabilitation of nearby utilities was determined to be the best course of action.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , , , , , --- , ,
Construction --- , , , , , , , , , ,
Commissioning ---- , , , , , ,
Close-out ------ , ,
Contingency --- , , -- , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will decrease operational budgets by $ , annually. Primary E uent Pump Station No. will no longer be required and will be
demolished as part of this project.
Financial Consideration
Section 8 - Page 55
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Description
This project will construct the new Headquarters Building on the north side of Ellis Avenue to house administrative,
engineering, resource protection and environmental compliance sta . Surface parking and a pedestrian bridge over
Ellis Avenue to Plant No. 1 will also be constructed. The project includes the demolition of the Risk Trailer, two
buildings on the Ellis property and three buildings on the Bandilier property.
Project Category
Headquarters Complex - P1-128
Support Facilities Continuing
Justi cation
The administrative and engineering functions are located primarily at Reclamation Plant No. 1 in Fountain Valley. The Administration,
Human Resource and Risk Management buildings are aging, were not permitted when constructed, and need replacement. Also,
approximately 130 sta are in aging o ce trailers throughout Plant No. 1. The most cost-e ective solution is replacement of the aging
buildings and trailers with a new building that serves all administrative and engineering functions.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , ------ , ,
Construction , , , ----- , ,
Commissioning , , , ----- , ,
Close-out , , , ----- , ,
Contingency , , , , , ---- , ,
Total $ , , $ , , $ , ----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 56
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Description
This project will provide a new regional Uninterruptible Power Supply (UPS) at Power Building 8 to provide critical
power to facilities in the northwest region of Plant No. 1. New electrical distribution and branch circuit panelboards
will replace existing old and obsolete equipment. The project will provide temporary power to maintain services to
critical loads during construction. Miscellaneous 480-volt cables and circuit breakers will also be replaced.
Project Category
Uninterruptible Power Supply Impr. at P1 - P1-132
Utility Systems Continuing
Justi cation
The process areas in the northwest area of Plant No. 1 currently have numerous individual UPS units. These smaller units are spread
throughout the plant, which reduces reliability and increases maintenance requirements. The need and justi cation for this regional UPS
was identi ed in Uninterruptible Power System Study, Project No. SP-150.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , ------ ,
Construction , , , , , ---- , ,
Commissioning -- , ---- ,
Close-out - , , , --- ,
Contingency -- , , --- ,
Total $ , , $ , , $ , , $ , ---$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 57
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Description
This project will increase the reliability of the rectangular primary clari ers at Plant No. 1 by replacing the primary
in uent splitter box launders, replace primary sludge pumps and VFDs, and install a foul air sump pump. It will also
add a go/no-go alarm system based on loss of ventilation consistent with current NFPA 820 requirements, and new
lighting xtures in the main gallery at each of the primary sludge pumps.
Project Category
Primary Sed. Basins No. 6-31 Reliability Impr. at P1 - P1-133
Primary Treatment Revised
Justi cation
Primary Sedimentation Basins No. 3-5 Replacement at Plant No. 1, Project No. P1-126, will replace the large circular primary clari ers at
Plant No. 1. During construction, the rectangular clari ers will be required to operate at full capacity for approximately three years.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , , ------ , ,
Construction , , , , ----- , ,
Commissioning , , ----- ,
Close-out , , , ---- ,
Contingency - , , ---- , ,
Total $ , , $ , , $ , ----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been decreased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The decreased budget is the result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 58
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Description
This security project will replace the perimeter chain link fence at Plant No. 1 along Ward Street with an 8-foot-tall
block wall. Interior security lighting, cameras, and intrusion detection systems will be installed along the south and
west boundary of Plant No. 1 along with a permanent guard house at the Gar eld Avenue Gate. Tree removal and
landscaping along Ward Street is also part of the project. The utility improvements will disconnect a City of
Fountain Valley potable water service from Gar eld Avenue and provide two new connections to existing potable
water lines within Plant No. 1.
Project Category
South Perimeter Security & Utility Impr. at P1 - P1-134
Support Facilities Continuing
Justi cation
The work under this project will provide improved security and monitoring capability for OC San's security sta and the new wall on Ward
Street will provide enhanced protection against intruders. The water line work is required in order to remove the direct connection from
Plant No. 1 to the City of Fountain Valley water main, alleviating any cross-connection concerns.
Budget Projections
Proj Dev --------
Prelim Design , ------ ,
Design , , ------ , ,
Construction , , ------ , ,
Commissioning , ------ ,
Close-out , ------ ,
Contingency , , ----- ,
Total $ , , $ , -----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 59
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Description
Plant 1 Central Generation is vintage 1993, making equipment 32 years old in 2025. Central Generation Electrical
Equipment is critical to Plant operation and feeds multiple buildings. Medium Voltage Switchgear, Low Voltage
Switchgear, Power Distribution Transformers, Low Voltage Motor Control Centers and associated Battery Charger
Systems is recommended for replacement. Plant 1 Service Center is vintage 1991, making 12.47kV Switchgear 34
years old in 2025. Service Center is critical application as it is a point of connection for Southern California Edison
Utility Power and the source of power for multiple power buildings. Medium Voltage Switchgear is recommended
for replacement. Medium Voltage Feeders associated with Medium Voltage Switchgear that feeds multiple Power
Buildings, will require to be tested and cables possibly replaced if test of existing cables will be unsatisfactory.
Project Category
12.47 kV Switchgear Repl. at Cen Gen at P1 - P1-136
Utility Systems Future
Justi cation
The purpose of the Project is to replace Central Generation and Service Center Medium Voltage Switchgear, power distribution equipment
and aged cabling infrastructure that approaching the end of its useful life in order to continue to provide operational reliability at Plant 1.
Budget Projections
Proj Dev --------
Prelim Design --------
Design - , , , , -- , ,
Construction ---- , , , , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total -$ , $ , $ , $ , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 60
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Description
This project will construct structural improvements to sta occupied buildings and 12-kV Service Center at Plant No.
1 to reduce the risk of failure during a signi cant seismic event. These buildings include the Control Center,
Maintenance Buildings, Warehouse, Fleet Services and 12-kV Service Center.
Project Category
Support Buildings Seismic Impr. at P1 - P1-137
Support Facilities Revised
Justi cation
The Seismic Evaluation of Structures at Plant Nos. 1 and 2 study that was completed in 2020 identi ed seismic risks associated with these
buildings. These risks need to be addressed to ensure the reliability and safety of these buildings.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , , , ---- , ,
Construction - , , , , , , , -- , ,
Commissioning --------
Close-out ---- , , - ,
Contingency - , , - , , , , - , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , -$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 61
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Description
This project will relocate and recon gure networking, ber optics, and IT equipment from Control Center and Power
Building 3A to the new server room constructed by Headworks Rehabilitation at Plant 1, project number P1-105.
Also, this project will install an adequate HVAC system that will meet the needs of the new server room. Finally, this
project will demolish the existing Power Building 3A.
Project Category
Industrial Control System & IT Data Center Relocation at P1 - P1-138
Utility Systems Revised
Justi cation
Current server room does not have enough space to increase/upgrade the network system to meet the current needs of Plant No 1. New
Power Building 3 constructed by Headworks Rehabilitation at Plant No. 1, project number P1-105 will become the new IT Networking and
Data Hub for Plant No. 1.
Budget Projections
Proj Dev $ , $ , -----$ ,
Prelim Design - , , ---- ,
Design -- , , , -- ,
Construction ---- , , , , , , , ,
Commissioning ------ , , , ,
Close-out ------ , ,
Contingency ---- , - , , , ,
Total $ , $ , $ , $ , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is a result of changes in the project elements identi ed from recent engineering e orts.
Financial Consideration
Section 8 - Page 62
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Description
This project will perform a comprehensive rehabilitation of the Activated Sludge Facility No. 1 (AS-1) at Plant No. 1.
The facilities in this project include Blower Building No. 1, Aeration Basins Nos. 1-10, Return Activated Sludge Pump
Station, and Secondary Clari ers Nos. 1-26. A new Mixed Liquor Recycle (MLR) pump station and associated piping
is included in this project. This project will demolish the Dissolved Air Flotation Thickeners (excluding the Pump
Room), Power Building 2, and 12 KV Distribution Center.
Project Category
Activated Sludge-1 Rehab. at P1 - P1-140
Secondary Treatment Revised
Justi cation
Built in the early 1970s, the AS-1 facility is nearing the end of its useful life. A major rehabilitation of AS-1 will ensure reliable service for next
20 plus years. PEPS will no longer be needed when the Primary Sedimentation Basins Nos. 3-5 Replacement Project, P1-126, is completed.
A new MLR pump station is required to convert AS-1 from a partial to a full denitri cation process which will remove nitrates and improve
e uent water quality.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , ----- , ,
Design , , , , , , , --- , ,
Construction --- , , , , , , , , , ,
Commissioning ---- , , , , , ,
Close-out ------ , ,
Contingency --- , , -- , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will increase operational budgets by $ , annually. These costs are associated with operational improvements and will begin in .
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 63
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Description
This project will demolition existing Administrative Facilities Buildings and repurpose the space for additional
parking and future contractor staging .
Project Category
Administrative Facilities Demo. - P1-141
Support Facilities Continuing
Justi cation
The existing Administration Facilities Building will no longer be required after the new Headquarters is constructed.
Budget Projections
Proj Dev $ , $ , -----$ ,
Prelim Design - , , ---- ,
Design -- , , , -- ,
Construction ---- , , , - , ,
Commissioning --------
Close-out ----- , - ,
Contingency ---- , , , ,
Total $ , $ , $ , $ , $ , , $ , $ , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 64
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Description
This project will replace aging media in the trickling lters at Plant No. 1 and will perform coating repairs on the
structure holding the media.
Project Category
Trickling Filter Media Repl. at P1 - P1-142
Secondary Treatment Revised
Justi cation
The trickling lter media is approaching end of useful life. The trickling lters were constructed in 2006 and media life expectancy is
between 20-25 years.
Budget Projections
Proj Dev $ , $ , $ , ----$ ,
Prelim Design --------
Design , , , ---- ,
Construction -- , , , , , , -- , ,
Commissioning --------
Close-out ---- , -- ,
Contingency -- , - , , , , - , ,
Total $ , $ , $ , , $ , , $ , , $ , , -$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been decreased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The reduced budget is the result of scope, start date and duration changes.
Financial Consideration
Section 8 - Page 65
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Description
This project will modify the Headworks facility, related piping, and sidestream ow routing to separate reclaimable
and non-reclaimable ows to accommodate the Orange County Water District's Groundwater Replenishment
System Final Expansion. Work elements include installing a new 75-inch diameter ow diversion, installing new
gates, and modi cation 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.
Project Category
Headworks Mod. at P2 for GWRS Final Expansion - P2-122
Headworks Continuing
Justi cation
This project is necessary to separate reclaimable and non-reclaimable ows to accommodate the Orange County Water District's
Groundwater Replenishment System Final Expansion project.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , ------ , ,
Construction , , ------ , ,
Commissioning , ------ ,
Close-out , , ----- ,
Contingency , , , ----- , ,
Total $ , , $ , -----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 66
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Description
This project includes replacement of 1,800 feet of corroded return activated sludge piping at the Activated Sludge
Plant at Plant No. 2. This project will also repair full penetration cracks and surface spalling on the top deck of the
aeration basins and replace all light poles with easily maintainable ones.
Project Category
Return Activated Sludge Piping Repl. at P2 - P2-123
Secondary Treatment Continuing
Justi cation
The Activated Sludge Plant was constructed in 1979, and the return activated sludge piping has had multiple major leaks due to corrosion.
The concrete deck of the aeration basins, which is used to contain high purity oxygen, has signi cant cracking and spalling which exposes
the reinforcement steel to corrosion and could possibly cause leakage of oxygen. Leaking oxygen imposes a safety concern because of
the potential for it to accumulate in con ned areas potentially creating an oxygen-enriched environment. The existing light poles are badly
corroded, and replacing lights is very di cult to perform safely.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , ------ ,
Construction , , ------ , ,
Commissioning --------
Close-out , ------ ,
Contingency , ------ ,
Total $ , , ------$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 67
CIP Project Detail Sheets
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Description
This project will construct a station to receive, store, and feed pre-processed food waste slurry to three digesters at
Plant No. 2 to generate additional digester gas.
Project Category
Interim Food Waste Receiving Facility - P2-124
Solids Handling & Digestion Continuing
Justi cation
This project was identi ed in the Biosolids Master Plan, Project No. PS15-01, to address the need for solid waste generators and haulers to
divert organic waste from land lls. Waste haulers will separate organics at the source, then screen and process the high strength organic
waste into a liquid slurry. The OC San's costs to construct, operate the facilities, and handle the additional biosolids production will be
o set by tipping fees charged to pre-processors and additional power associated with increased digester gas production. This facility will
be replaced with a permanent receiving station following completion of a proposed program to replace existing digesters at Plant No. 2.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , , , , , -- ,
Construction , , , - , , , - , ,
Commissioning ----- , - ,
Close-out -- , , --- ,
Contingency --- , , - , ,
Total $ , , $ , $ , $ , $ , , $ , , $ , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 68
CIP Project Detail Sheets
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Description
This project will replace the existing Collections Facilities yard and fencing in the location of an existing parking lot,
just south of Construction Management Trailers at Plant No. 2. This project also constructs 2 warehouse stations
and demolishes the existing warehouse at Plant No. 2. As part of the warehouse demolition work, the security
booth will be relocated, and the oil dock facility will be refed from the centrifuge building.
Project Category
Collections Yard Relocation & Warehouse Demo. at P2 - P2-127
Support Facilities Revised
Justi cation
The area where the existing collections yard and warehouse are currently located is needed for the new Temperature Phased Anaerobic
Digestion facilities. Two new warehouse stations are being constructed to replace the existing warehouse.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design --------
Design , ------ ,
Construction , , , , ----- , ,
Commissioning --------
Close-out , , ----- ,
Contingency - , , ---- ,
Total $ , , $ , , $ , ----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 69
CIP Project Detail Sheets
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Description
This project will build six new anaerobic digesters at Plant No. 2, to be initially operated in mesophilic mode to
produce Class B biosolids product and designed for future thermophilic operation to produce Class A product.
Supporting facilities and equipment will include sludge pumping, heating, and mixing; odor control; power
distribution; and instrumentation and controls. Future conversion to the thermophilic process as well as
replacement and/or demolition of existing digesters will be part of a separate future project. The project P2-128A
will construct a perimeter wall along the southern plant boundary to provide site security and ood protection.
Project Category
Digester Repl. at P2 - P2-128
Solids Handling & Digestion Continuing
Justi cation
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 de ciencies 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 (TPAD) process with batch tanks
to meet Class A requirements. BMP recommended TPAD process, and a series of projects to ultimately build the full TPAD process to
achieve the goal of generating Class A biosolids. The rst project recommended was to build six new digesters as soon as possible with
the ability to be operated as meso or thermos digesters to mitigate the seismic risk.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , ----- , ,
Design , , , , , , , , , , , , - , ,
Construction , , , , , , , - , , , , , ,
Commissioning , , , , , , , , , ,
Close-out --- , , - , ,
Contingency --- , , , , , , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 70
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Description
This project will extensively rehabilitate B & C Sides of primary basins at Plant 2 to extend uselife by another 40
years. The work will rehabilitate 10 primary basins with new at covers; rehabilitate sludge/ scum pump stations;
rehabilitate distribution structure B & C; replace all mechanical and electrical systems; replace polymer system;
rehabilitate structural and yard piping; replace North Scrubber Complex; relocate electrical and controls to
Distribution Center F; and miscellaneous upgrades.
Project Category
B/C-Side Primary Sed. Basins Rehab. at P2 - P2-133
Primary Treatment Future
Justi cation
Plant 2 has a total of 10 primary sedimentation basins from B & C sides, which were mostly built in '70s and '80s. CIP Project P2-98
conducted extensive condition assessments of the primary treatment system and provided rehabilitation plans. This project was originally
included in P2-98 as a part of P2-98C, but was broken out into a separate project due to the signi cant time interval between the two
projects, and the lower degree of scope de nition of this project. The Consultant for P2-98 evaluated 3 siting options to this project based
on 2017 Fault Hazard Study (5 of 10 basins are within fault zones/setbacks), and project description below assumes the recommended
option, which is to rehabilitate in place without soil stabilization.
Budget Projections
Proj Dev --------
Prelim Design --------
Design ----- , , , , , ,
Construction ------ , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total -----$ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 71
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Description
This project will make improvements to both the Sodium Bisul te Station and the Anionic Polymer Station at Plant
No. 2. At the Sodium Bisul te Station, the project will replace chemical tanks, chemical feed pumps, piping,
electrical equipment and install a plant water and plant air supply. The project will also demolish and replace the
Anionic Polymer Station’s obsolete electrical and instrumentation assets, including controllers, motor running time
meter tubs, valves, and actuators.
Project Category
Chemical Systems Rehab. at P2 - P2-135
Ocean Outfall Systems Revised
Justi cation
The Sodium Bisul te Station was constructed in 2004. In 2015, OC San received approval to stop disinfection of ow through the 5-mile
outfall but must still disinfect if the short 1-mile outfall is used. Though the 1-mile outfall is for emergency use only, the station must be
available at all times. Since the station was originally designed for continuous usage, it must be revised for intermittent use at a reduced
capacity. In addition, the existing electrical and instrumentation equipment at the Anionic Polymer Station requires replacement as it is
obsolete and no longer reliable.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , , , ---- , ,
Construction -- , , , , --- , ,
Commissioning -- , , --- ,
Close-out --- , , -- ,
Contingency -- , , , -- , ,
Total $ , , $ , $ , , $ , , $ , --$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 72
CIP Project Detail Sheets
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Description
This project includes structural rehabilitation of the aeration basin's reactor deck and adjacent concrete structures,
coating the interior of reactor tanks to mitigate exposed concrete aggregate, replacement of all mechanical
equipment, components, and piping, including all gates, valves, and appurtenances. The project will also replace
large section of handrails at the secondary clari ers.
Project Category
Activated Sludge Aeration Basin Rehab. at P2 - P2-136
Secondary Treatment Continuing
Justi cation
The aeration basins were installed in 1983 and a major mechanical and structural rehabilitation was conducted in 2006. This system is in
need of major rehabilitation of structural and mechanical components in order to maintain reliable serviceability and extend useful life.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , ----- , ,
Design - , , , , , --- , ,
Construction --- , , , , , , , , , ,
Commissioning ---- , , , ,
Close-out ------ , ,
Contingency --- , -- , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 73
CIP Project Detail Sheets
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Description
The project will rehabilitate existing Plant No. 2 digesters including repairing the digester domes, walls, and
bridges, replacing hot water valves, improving miscellaneous safety related items, and replacing electrical motor
control centers that are obsolete.
Project Category
Digesters Rehab. at P2 - P2-137
Solids Handling & Digestion Continuing
Justi cation
This project is needed to ensure su cient digester capacity is available until the existing digesters are demolished in the future.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , , ----- , ,
Construction , , , , , , , , , -- , ,
Commissioning -- , , , , - ,
Close-out ---- , , - ,
Contingency -- , , , , , , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 74
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Description
This project will replace the Operations Center building and Maintenance building at Plant No. 2 in the location of
the current Maintenance building.
Project Category
Operations & Maintenance Complex at P2 - P2-138
Support Facilities Revised
Justi cation
The seismic evaluation of Structures at Plant No. 2 was completed in 2020 and seismic risks were identi ed at the Operations Center and
Maintenance buildings. These risks are being addressed in this project by building a new O&M Complex that replaces the existing
Maintenance building and Operations Center.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , , , ----- , ,
Design - , , , , , --- , ,
Construction --- , , , , , , , , ,
Commissioning ---- , , , ,
Close-out ------ , ,
Contingency --- , -- , , , ,
Total $ , , $ , , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is the result of scope, start date and duration changes.
Financial Consideration
Section 8 - Page 75
CIP Project Detail Sheets
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Description
Plant No. 2 has emergency over ow weirs consisting of four reinforced concrete pipes that can discharge into the
Santa Ana River through two concrete wingwall structures. This project will include rehabilitation of concrete and
rebar of the wingwalls and foundation slabs. Because both of wingwalls are located by the Santa Ana River, this
work will require permits from various agencies.
Project Category
Emergency Over ow Wingwalls Rehab. at P2 - P2-139
Ocean Outfall Systems Revised
Justi cation
A planning study conducted structural investigation of these wingwalls and concluded that both structures are deteriorating.
Budget Projections
Proj Dev $ , $ , -----$ ,
Prelim Design , , ----- ,
Design , , , , --- ,
Construction --- , , , , , - , ,
Commissioning --------
Close-out ----- , - ,
Contingency --- , - , , , ,
Total $ , $ , $ , $ , $ , , $ , , $ , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget has been increased from $ , , to $ , , .
The project's estimated construction contract cost is $ , , .
This project will not have an impact on operational budgets.
The increased budget is a result of an updated estimate to complete the work.
Financial Consideration
Section 8 - Page 76
CIP Project Detail Sheets
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Description
This project will improve the odor control containment in the truck loading bays at Plant No. 2, by extending the
bays and installing a second set of roll up doors. Project will also include new personal doors to the truck loading
bays, new supply fans to improve the air ow to the existing odor control units, and improved lighting.
Project Category
Truck Loading Bay Odor Control Impr. at P2 - P2-140
Solids Handling & Digestion Continuing
Justi cation
This project is necessary is to contain and capture the odor in the truck loading bays to reduce odors during operations.
Budget Projections
Proj Dev $ , $ , -----$ ,
Prelim Design - , , ---- ,
Design -- , , , -- ,
Construction ---- , , , , , , ,
Commissioning --------
Close-out ------ , ,
Contingency ---- , - , , , ,
Total $ , $ , $ , $ , $ , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 77
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Description
This project will replace and reroute all power and control cables 480V and below that serve all areas of
Headworks at Plant No. 2 including: In uent Metering, In uent Pump Station, Waste Sidestream Pumps, Bar
Screens, Screenings Washing, Scrubbers, Biotower, Grit Basins, and Grit Handling. The project will include new
electrical buildings with local Motor Control Centers and Distribution Panelboards and overhead and wall mounted
conduit or cable trays if necessary.
Project Category
Headworks Electrical Distribution Impr. at P2 - P2-141
Utility Systems New
Justi cation
There have been numerous failed cables in the Headworks area over the past 4 years that have impacted the safety and reliability of the
Headworks area. Temporary cables are being used to feed equipment. The project will restore safe, reliable operation for this area.
Budget Projections
Proj Dev --------
Prelim Design --------
Design - , , , , , , -- , ,
Construction --- , , , , , , , , ,
Commissioning --------
Close-out --------
Contingency ------ , , , ,
Total -$ , $ , , $ , , $ , , $ , , $ , , $ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
The impacts to operational budgets have not yet been determined
Financial Consideration
Section 8 - Page 78
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Description
This project will replace the four A-Side Primary Clari ers with associated in uent piping, in uent distribution
structures, e uent piping, sludge pumping units, and at covers for odor containment. The project will also
construct a new air scrubbing complex. The project includes a second project that provided interim repairs to the
other 12 clari ers in the B/C-Side and A-Side and associated pipelines to improve reliability until they can be more
extensively rehabilitated in the future B/C-Side Primary Sedimentation Basins Rehabilitation at Plant No. 2, Project
No. P2-133.
Project Category
Primary Treatment Rehab. at P2 - P2-98
Primary Treatment Continuing
Justi cation
The A-Side Clari ers are at the end of their useful life and cannot e ectively be rehabilitated.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , , ------ , ,
Design , , ------ , ,
Construction , , , , , , , , , , -- , ,
Commissioning , -- , , , -- , ,
Close-out , --- , , - , ,
Contingency ---- , , , - , ,
Total $ , , $ , , $ , , $ , , $ , , $ , -$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The project's estimated construction contract cost is $ , , .
This project will increase operational budgets by $ , annually.
Financial Consideration
Section 8 - Page 79
CIP Project Detail Sheets
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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.
Project Category
EAM Software & Process Implementation - SP-100
Information Management Systems Continuing
Justi cation
The IBM Maximo System will provide the means to manage assets 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
paperwork order, and reduce maintenance cost. The system will be integrated with other OC San systems (i.e., FIS, GIS, and Timecard).
Budget Projections
Proj Dev $ , , ------$ , ,
Prelim Design , ------ ,
Design , , , , , , -- , ,
Construction , , , , , , -- , ,
Commissioning , ------ ,
Close-out , ------ ,
Contingency ---- , , -- , ,
Total $ , , $ , $ , $ , $ , , --$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
The impacts to operational budgets have not yet been determined.
Financial Consideration
Section 8 - Page 80
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Description
This project funds program management services for the Capital Improvement Program not related to any one
speci c project, but on the management of the projects as a whole. Activities include 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. Work may also include review of project controls
including project budgeting, cash ow analysis and project scheduling.
Project Category
Capital Improvement Program Mgmt. Services - SP-195
Others Continuing
Justi cation
The activities facilitate continuous improvements to program management practices to maintain e ectiveness in managing the Capital
Improvement Program as business practices and the project makeup of the CIP evolves.
Budget Projections
Proj Dev $ , ------$ ,
Prelim Design , ------ ,
Design , ------ ,
Construction , ------ ,
Commissioning --------
Close-out --------
Contingency - , ----- ,
Total $ , $ , -----$ , ,
Budget Phase Cost to Date 2024-2025 2025-2026 2026-2027 2027-2028 2028-2029 Thereafter Total Project
Budget
Project Name & Number
Project Status:
The project budget is $ , , .
This project will not have an impact on operational budgets.
Financial Consideration
Section 8 - Page 81
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Edinger Pump Station Repl. - , , -- , , -
Slater Pump Station Rehab. - , , --- , ,
North Huntington Beach Sewer Rehab. - , , --- , ,
Santa Ana Trunk Sewer Rehab. - , , - , , --
Greenville Trunk Impr. - , , - , , --
Taft Branch Impr. - , , -- , , -
Fullerton - Placentia Sewer Facilities Demo. & Rehab. - , , --- , ,
Atwood - Santa Ana Canyon Sewer Rehab. - , , --- , ,
Knott - Miller Holder Artesia Branch Rehab. - , , - , , --
Westminster Blvd Force Main Repl. - , , - , , --
Rehab. of Western Regional Sewers - , , - , , --
I- Widening Project Impacts on OCSD Sewers - , - , --
Seal Beach Pump Station Repl. - , , -- , , -
Los Al. Sub-Trunk Ext. & Westside Pump Station Abnd. - , , --- , ,
Crystal Cove Pump Station Rehab. - , , --- , ,
Bay Bridge Pump Station Repl. - , , -- , , -
Newport Beach Pump Station Pressurization Impr. - , , - , , --
East Coast Highway Sewer Rehab. - , , , , ---
Fairview Sewer Rehab. - , , -- , , -
MacArthur Pump Station Rehab. - , , --- , ,
Main Street Pump Station Rehab. - , , --- , ,
Gisler-Red Hill Interceptor & Baker Force Main Rehab. - , , - , , --
Sun ower & Red Hill Interceptor Repairs - , , -- , , -
MacArthur Force Main Impr. - , , - , , --
North Tustin-Orange Sewer Impr. - , , --- , ,
Collections Facilities Budget Total , , , , , , , , , , ,
Collections Facilities
Section 8- Page 82
Collection System Improvement Projects - Budget by Project Status
Project
Number Title Total
Budget
New
Project
Continuing
Project
Revised
Project
Future
Project
Summary by Project Status
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Ocean Outfall System Rehab.J- , , -- , , -
Ocean Outfalls Rehab.J- , , - , , --
Chemical Systems Rehab. at P P - , , -- , , -
Emergency Over ow Wingwalls Rehab. at P P - , , -- , , -
Ocean Outfall Systems Budget Total , , - , , , , -
Interim Food Waste Receiving Facility P - , , - , , --
Digester Repl. at P P - , , - , , --
Digesters Rehab. at P P - , , - , , --
Truck Loading Bay Odor Control Impr. at P P - , , - , , --
Solids Handling & Digestion Budget Total , , - , , --
Activated Sludge- Rehab. at P P - , , -- , , -
Trickling Filter Media Repl. at P P - , , -- , , -
Return Activated Sludge Piping Repl. at P P - , , - , , --
Activated Sludge Aeration Basin Rehab. at P P - , , - , , --
Secondary Treatment Budget Total , , - , , , , -
Primary Sed. Basins No. - Repl. at P P - , , - , , --
Primary Sed. Basins No. - Reliability Impr. at P P - , , -- , , -
B/C-Side Primary Sed. Basins Rehab. at P P - , , --- , ,
Primary Treatment Rehab. at P P - , , - , , --
Primary Treatment Budget Total , , - , , , , , ,
Headworks
Section 8- Page 83
Treatment & Disposal Projects - Budget by Project Status
Primary Treatment
Secondary Treatment
Solids Handlings & Digestion
Headworks Rehab. at P P - , , - , , --
Headworks Mod. at P for GWRS Final Expansion P - , , - , , --
Headworks Budget Total , , - , , --
Ocean Outfall Systems
Project
Number Title Total
Budget
New
Project
Continuing
Project
Revised
Project
Future
Project
Summary by Project Status
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GWRS Final Expansion Coordination J- - , , - , , --
Water Management Projects Budget Total , , - , , --
Planning Studies Program M-STUDIES , , -- , , -
Strategic & Master Planning Budget Total , , -- , , -
Process Control Systems Upgrades J- , , - , , --
Project Mgmt. Information System J- , , - , , --
Process Control System Alarm Optimization J- , , , , ---
Information Technology Capital Program M-MC-IT , , - , , --
EAM Software & Process Implementation SP- , , - , , --
Information Management Systems Budget Total , , , , , , --
Digester Gas Facilities Rehab.J- , , - , , --
Natural Gas Pipelines Repl. at P & P J- , , - , , --
Cen Gen Engine Overhauls at P & P J- , , -- , , -
Cen Gen Facilities & OOBS Seismic Upgrades J- , , --- , ,
Electrical Power Distribution System Impr.J- , , -- , , -
Uninterruptible Power Supply Impr. at P P - , , - , , --
. kV Switchgear Repl. at Cen Gen at P P - , , --- , ,
Industrial Control System & IT Data Center Relocation at P P - , , -- , , -
Headworks Electrical Distribution Impr. at P P - , , , , ---
Utility Systems Budget Total , , , , , , , , , ,
Research Program M-RESEARCH , , - , , --
Research Budget Total , , - , , --
Section 8- Page 84
Treatment & Disposal Projects - Budget by Project Status
Utility Systems
Information Management Systems
Strategic & Master Planning
Water Management Projects
Research
Project
Number Title Total
Budget
New
Project
Continuing
Project
Revised
Project
Future
Project
Summary by Project Status
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, , , , , , , , , , ,
, , -- , , -
$ , , , $ , , $ , , , $ , , , $ , ,
Total Treatment and Disposal Projects
Total Collections Facilities
Capital Equipment Purchases
Total Capital Improvement Program Budget
Section 8- Page 85
Treatment & Disposal Projects - Budget by Project Status
Others
Capital Improvement Program Mgmt. Services SP- , , - , , --
Others Budget Total , , - , , --
Project
Number Title Total
Budget
New
Project
Continuing
Project
Revised
Project
Future
Project
Support Facilities
Laboratory Repl. at P J- , , --- , ,
Small Construction Projects Program M-FE , , -- , , -
Operations & Maintenance Capital Program M-SM-CAP , , - , , --
Headquarters Complex P - , , - , , --
South Perimeter Security & Utility Impr. at P P - , , - , , --
Support Buildings Seismic Impr. at P P - , , -- , , -
Administrative Facilities Demo.P - , , - , , --
Collections Yard Relocation & Warehouse Demo. at P P - , , -- , , -
Operations & Maintenance Complex at P P - , , -- , , -
Support Facilities Budget Total , , - , , , , , ,
Summary by Project Status
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Section 8- Page 86
Collection System Improvement Projects
Edinger Pump Station Repl. , , % , , ---
Slater Pump Station Rehab. , , % , , ---
North Huntington Beach Sewer Rehab. , , % , , ---
Santa Ana Trunk Sewer Rehab. , , % , , ---
Greenville Trunk Impr. , , %-- , , -
Taft Branch Impr. , , %-- , , -
Fullerton - Placentia Sewer Facilities Demo. & … , , %- , , --
Atwood - Santa Ana Canyon Sewer Rehab. , , % % , , , --
Knott - Miller Holder Artesia Branch Rehab. , , % , , ---
Westminster Blvd Force Main Repl. , , % , , ---
Rehab. of Western Regional Sewers , , % % , , - , , -
I- Widening Project Impacts on OCSD Sewers , %--- ,
Seal Beach Pump Station Repl. , , % , , ---
Los Al. Sub-Trunk Ext. & Westside Pump Station … , , % % , , - , , -
Crystal Cove Pump Station Rehab. , , % , , ---
Bay Bridge Pump Station Repl. , , % , , ---
Newport Beach Pump Station Pressurization Impr. , , %- , , --
East Coast Highway Sewer Rehab. , , % , , ---
Fairview Sewer Rehab. , , % , , ---
MacArthur Pump Station Rehab. , , % , , ---
Main Street Pump Station Rehab. , , % , , ---
Gisler-Red Hill Interceptor & Baker Force Main … , , % , , ---
Sun ower & Red Hill Interceptor Repairs , , % , , ---
MacArthur Force Main Impr. , , % % , , , , --
North Tustin-Orange Sewer Impr. , , %-- , , -
Collections Facilities Total , , , , , , , , , ,
Rehab/ Repl.Total Rehab/
Repl.
Strategic
Initiative
Additional
Capcity Regulatory Rehab/ Repl.Strategic
Initiative
Additional
Capcity Regulatory
Project Name Total Project
Budget Percentage allocation Total Project Cost Budget
Summary of Revenue Program Category
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Ocean Outfall System Rehab. , , % % , , , , --
Ocean Outfalls Rehab. , , % , , ---
Chemical Systems Rehab. at P , , % % , , , , --
Emergency Over ow Wingwalls Rehab. at P , , % , , ---
Ocean Outfall Systems Total , , , , , , --
Process Control Systems Upgrades , , % , , ---
Project Mgmt. Information System , , %- , , --
Process Control System Alarm Optimization , , % , , ---
Information Technology Capital Program , , % % , , , , --
EAM Software & Process Implementation , , % , , ---
Information Management Systems Total , , , , , , --
Research Program , , %- , , --
Research Total , , - , , --
Primary Sed. Basins No. - Repl. at P , , % , , ---
Primary Sed. Basins No. - Reliability Impr. at P , , % % , , , , --
B/C-Side Primary Sed. Basins Rehab. at P , , % , , ---
Primary Treatment Rehab. at P , , % , , ---
Primary Treatment Total , , , , , , --
Interim Food Waste Receiving Facility , , %- , , --
Digester Repl. at P , , % % , , , , --
Digesters Rehab. at P , , % , , ---
Truck Loading Bay Odor Control Impr. at P , , % % , , , --
Solids Handling & Digestion Total , , , , , , --
Activated Sludge- Rehab. at P , , % , , ---
Trickling Filter Media Repl. at P , , % , , ---
Return Activated Sludge Piping Repl. at P , , % , , ---
Activated Sludge Aeration Basin Rehab. at P , , % , , ---
Secondary Treatment Total , , , , ---
Headworks Rehab. at P , , % , , ---
Headworks Mod. at P for GWRS Final Expansion , , %- , , --
Headworks Total , , , , , , --
Planning Studies Program , , % % % % , , , , , , , ,
Strategic & Master Planning Total , , , , , , , , , ,
Capital Improvement Program Mgmt. Services , , %- , , --
Others Total , , - , , --
Rehab/ Repl.Total Rehab/
Repl.
Strategic
Initiative
Additional
Capcity Regulatory Rehab/ Repl.Strategic
Initiative
Additional
Capcity Regulatory
Project Name Total Project
Budget Percentage allocation Total Project Cost Budget
Section 8- Page 87
Treatment & Disposal System Improvement Projects
Summary of Revenue Program Category
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Digester Gas Facilities Rehab. , , % , , ---
Natural Gas Pipelines Repl. at P & P , , % , , ---
Cen Gen Engine Overhauls at P & P , , % , , ---
Cen Gen Facilities & OOBS Seismic Upgrades , , % % , , , , --
Electrical Power Distribution System Impr. , , % % , , , , --
Uninterruptible Power Supply Impr. at P , , % , , ---
. kV Switchgear Repl. at Cen Gen at P , , % , , ---
Industrial Control System & IT Data Center … , , % % , , , , --
Headworks Electrical Distribution Impr. at P , , % , , ---
Utility Systems Total , , , , , , --
Laboratory Repl. at P , , % % % % , , , , , , , ,
Small Construction Projects Program , , % % % % , , , , , , , ,
Operations & Maintenance Capital Program , , % , , ---
Headquarters Complex , , % % , , -- , ,
South Perimeter Security & Utility Impr. at P , , %- , , --
Support Buildings Seismic Impr. at P , , %- , , --
Administrative Facilities Demo. , , % % , , , , --
Collections Yard Relocation & Warehouse Demo. a… , , % , , ---
Operations & Maintenance Complex at P , , % % , , , , --
Support Facilities Total , , , , , , , , , ,
GWRS Final Expansion Coordination , , %- , , --
Water Management Projects Total , , - , , --
Rehab/ Repl.Total Rehab/
Repl.
Strategic
Initiative
Additional
Capcity Regulatory Rehab/ Repl.Strategic
Initiative
Additional
Capcity Regulatory
Project Name Total Project
Budget Percentage allocation Total Project Cost Budget
Total Treatment and Disposal , , , , , , , , , , , ,
Total Collection Facilities , , , , , , , , , ,
Capital Equipment Purchases , , , , , , , , , ,
Total Capital Improvement $ , , , $ , , , $ , , $ , , $ , ,
Blank Total Project Budget Total Rehab/Repl.Total Strategic Initiative Total Additional Capcity Total Regulatory
Section 8- Page 88
Treatment & Disposal System Improvement Projects
Summary of Revenue Program Category
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Section 8- Page 89
Proposed Capital Equipment Budget
FY 2024-25
Proposed Capital Equipment Budget Summary
Department
Trucks &
Vehicles
09410000
Other Mobile
Eq
09410001
Machine Eq
& Tools
09410002
Comm
Equipment
09410003
Risk Management ----
Financial Management ----
Information Technology ----
Resource Protection ----
Environmental Laboratory and Ocean…----
Design ----
Collection Facilities O&M -- , -
Fleet Services , , , , --
Plant No. Operations ----
Plant No. Maintenance -- , , -
Plant No. Maintenance -- , , -
Total Proposed Capital Equipment $ , , $ , , $ , , -
Continued to next page
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Risk Management - , , -- , ,
Financial Management --- , ,
Information Technology --- , , , ,
Resource Protection , --- ,
Environmental Laboratory and Ocean … , --- ,
Design --- , ,
Collection Facilities O&M ---- ,
Fleet Services ---- , ,
Plant No. Operations --- , ,
Plant No. Maintenance , -- , , ,
Plant No. Maintenance , -- , , ,
Total Proposed Capital Equipment $ , , $ , , -$ , , $ , ,
Section 8- Page 90
Proposed Capital Equipment Budget
FY 2024-25
Division
Instr &
Test Equpment
09410004
Safety &
Tra c Eq
09410005
O ce Fix
& Eq
09410006
2024-25
Proposed
Budget
Computer
Equipment
09410007
Continued from previous page
Proposed Capital Equipment Budget Summary
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- Risk Management -gas meterd , ,
Total , ,
- Financial Management CFCC Portal ,
Total ,
- Information Technology Catalyst Network Advantage License Upgrade ,
- Information Technology Centralized Logging for Network Equipment ,
- Information Technology Accounts Payable Automation Solution ,
- Information Technology ICS Network Equipment Upgrade , ,
- Information Technology Microsoft Teams Direct Routing for Voice ,
- Information Technology Project Portfolio Management in Service Now ,
- Information Technology Replacement Laser Engraver Machine ,
- Information Technology Laser che/RMIS Implementation Project - Phase ,
- Information Technology Maximo Upgrade to MAS ,
- Information Technology Pump Station Radio Coverage Project ,
- Information Technology Key Management System for Physcial Door Needs ,
- Information Technology Network Access Control Appliance (Cyber Security) ,
- Information Technology SBITA Renewals , ,
Total , ,
- Resource Protection HACH Autosamplers ,
Total ,
- Environmental Laboratory and … Gas-Assisted Accelerated Solvent Extraction/Evaporation … ,
- Environmental Laboratory and … Automated nitrogen evaporation unit ,
- Environmental Laboratory and … Blowdown nitrogen evaporation unit ,
- Environmental Laboratory and … Benchtop centrifuges ,
- Environmental Laboratory and … Hydrogen generator for sul de gas analysis instruments ,
- Environmental Laboratory and … Inductively Coupled Plasma/Tandem Mass Spectrometer … ,
- Environmental Laboratory and … Automated Solid Phase Extraction (SPE) Unit ,
- Environmental Laboratory and … HACH Autosampler ,
- Environmental Laboratory and … Analytical Balance ,
- Environmental Laboratory and … Titrator ,
- Environmental Laboratory and … Flow Injection Mercury System/Cold Vapor Atomic … ,
Total ,
- Design M PLC Racks ,
Total ,
Section 8- Page 91
Proposed Capital Equipment Budget Detail
Proposed Capital Equipment Budget Detail
Division
Continued to next page
Equipment Type Proposed Capital Equip
FY 2024-25 Budget
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Section 8- Page 92
Proposed Capital Equipment Budget Detail
Continued from previous page
- Fleet Services Portable Pump, Trailer Mounted, -inch, AQMD/CARB … ,
- Fleet Services Electric Carts (O&M) ,
- Fleet Services Mobile Column Lifts ,
- Fleet Services Heavy Duty Dump Trailer (Arrow Board) ,
- Fleet Services Speed Trailer, Radar (Road Safety Monitoring) ,
- Fleet Services Forklifts, electric - carry over of funds from previous FY ,
- Fleet Services Trailer, Heavy Duty, Dump - carry over of funds from … ,
- Fleet Services Specialty Crane ,
- Fleet Services Scissor Lift, rough terrain, carry over funds from previous FY ,
- Fleet Services PHEV SUV's - addition of funds to support increased costs … ,
- Fleet Services Boom-lift ( -ft), carry over of funds from previous FY ,
- Fleet Services NEW-DIV - TRUCK, LGT P/U ,
- Fleet Services NEW-DIV TRUCK, LGT SERV BODY (PPO) - ACF … ,
- Fleet Services NEW-DIV SEDAN/SUV (WG ) - LINE ,
- Fleet Services NEW-DIV TRUCK, LGT SERV BODY (PLT MAINT) - AC… ,
- Fleet Services NEW-DIV CARGO VAN, MID (RMT_ ) - LINE ,
- Fleet Services NEW-DIV CARGO VAN, MID (RMT_ ) - LINE ,
- Fleet Services NEW-DIV TRUCK, LGT SERV BODY (STDBY_ ) ACF … ,
- Fleet Services NEW-DIV TRUCK, LGT SERV BODY (STDBY) - ACF … ,
Total , ,
- Plant No. Operations Handheld Radios ,
Total ,
- Plant No. Maintenance Digital Whiteboards ,
- Plant No. Maintenance Handheld Radio ,
- Plant No. Maintenance MCE max AC o ine/Online tester ,
- Plant No. Maintenance ROTALIGN TOUCH WITH COMPLETE BRACKET KITS ,
- Plant No. Maintenance SDT SONAVU PRO ULTRASOUND IMAGING SYSTEM ,
- Plant No. Maintenance SpectrOil C optical emission Spectrometer ,
- Plant No. Maintenance Miller Mig welder with running gear ,
- Plant No. Maintenance Transformer Turns Ration and Winding Resistance combo … ,
- Plant No. Maintenance Emergency Capital Critical Spares for plant and collection… , ,
- Plant No. Maintenance Beamex MC -Ex calibrator ,
Division Equipment Type Proposed Capital Equip
FY 2024-25 Budget
Proposed Capital Equipment Budget Detail
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Section 8- Page 93
Proposed Capital Equipment Budget Detail
Continued from previous page
- Plant No. Maintenance Emerson TREX Field Communicator ,
- Plant No. Maintenance Flexim Portable External Flowmeter System ,
- Plant No. Maintenance Portable Network Cable Testing/Analyzer Kit ,
Total , ,
- Plant No. Maintenance Digital Whiteboards ,
- Plant No. Maintenance Handheld Radios ,
- Plant No. Maintenance Emergency Capital Critical Spares for plant and collection… , ,
- Plant No. Maintenance Loadtec KW( KVA) Resistive/Inductive Load Bank ,
Total , ,
Total Proposed Budget , ,
Division Equipment Type Proposed Capital Equip
FY 2024-25 Budget
Proposed Capital Equipment Budget Detail
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Section 8- Page 94
Proposed Capital Equipment Budget
FY 2025-26
Department
Trucks &
Vehicles
09410000
Other Mobile
Eq
09410001
Machine Eq
& Tools
09410002
Comm
Equipment
09410003
Financial Management ----
Contracts, Purch, & Materials Mgmt ----
Information Technology ----
Resource Protection ----
Environmental Laboratory and Ocean…----
Design ----
Collection Facilities O&M -- , -
Fleet Services - , --
Plant No. Maintenance -- , , -
Plant No. Maintenance -- , , -
Total Proposed Capital Equipment - , , , -
Continued to next page
Proposed Capital Equipment Budget Summary
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Section 8- Page 95
Proposed Capital Equipment Budget
FY 2025-26
Division
Instr &
Test Equpment
09410004
Safety &
Tra c Eq
09410005
O ce Fix
& Eq
09410006
2025-26
Proposed
Budget
Computer
Equipment
09410007
Financial Management --- , ,
Contracts, Purch, & Materials Mgmt --- , ,
Information Technology --- , , , ,
Resource Protection , --- ,
Environmental Laboratory and Ocean … , , , -- , ,
Design --- , ,
Collection Facilities O&M ---- ,
Fleet Services ---- ,
Plant No. Maintenance ---- , ,
Plant No. Maintenance ---- , ,
Total Proposed Capital Equipment , , , - , , , ,
Continued from previous page
Proposed Capital Equipment Budget Summary
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- Financial Management Customer Portal ,
Total ,
- Contracts, Purch, & Materials Mgmt OpenGov Procurement Software ,
Total ,
- Information Technology Automated records retention process ,
- Information Technology Maximo Licensing ,
- Information Technology BOLD Planning Replacement ,
- Information Technology CCTV & LPR Upgrades (Based on Needs Assessment from … , ,
- Information Technology SBITA renewals , ,
Total , ,
- Resource Protection HACH Autosampler ,
Total ,
- Environmental Laboratory and Ocea… HACH Autosampler ,
- Environmental Laboratory and Ocea… Oil and Grease Extractor ,
- Environmental Laboratory and Ocea… Liquid Chromatograph/Tandem Mass Spectrometer (LC-… ,
- Environmental Laboratory and Ocea… Ocean Monitoring Program Research Vessel , ,
Total , ,
- Design ABB Commissioning Systems ,
Total ,
- Collection Facilities O&M Emergency Capital Critical Spares for plant and collections … ,
Total ,
- Fleet Services Portable Pump, Trailer Mounted, -inch, AQMD/CARB … ,
- Fleet Services Portable Pump, Trailer Mounted, -inch, AQMD/CARB … ,
- Fleet Services Electric Cart (O&M) ,
- Fleet Services Generator, kW, Skid Mounted, AQMD/CARB Approved ,
Total ,
- Plant No. Maintenance Oil Lubrication Work Center ,
- Plant No. Maintenance Emergency Capital Critical Spares for plant and collections … , ,
- Plant No. Maintenance ROTALIGN TOUCH WITH COMPLETE BRACKET KITS ,
Total , ,
- Plant No. Maintenance Emergency Capital Critical Spares for plant and collections … , ,
Total , ,
Total Proposed Budget $ , ,
Section 8- Page 96
Proposed Capital Equipment Budget Detail
Division Equipment Type
Proposed Capital Equip
FY 2025-26 Budget
Proposed Capital Equipment Budget Detail
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Section 9 - Page 1
Debt Financing Program
Certi cates of Participation
Debt Financing Program
A Ten-Year Financial Plan is maintained to establish nancing
parameters regarding the issuance of debt, the levying of user
charges and the funding level for required reserves in
accordance with OC San’s reserve policy. The Financial Plan is
revised annually to re ect the most current cost and revenue
gures resulting from capital program revisions and operating
changes.
In December 2017, the 2017 Facilities Master Plan was adopted
by the Board of Directors. The Master Plan identi ed a phased
20-year program of capital improvement projects that will allow
OC San to maintain reliability and accommodate future growth,
as well as meet future regulatory requirements, level of service
goals and strategic initiatives.
Each project in the master plan was initiated to address the impact of
one or more of the main drivers (existing facilities condition, changes
in regulations, facilities capacity, redundancy criteria, OC San
initiatives and health and safety). Most of the CIP needs for the next
20 years are due to the condition of existing aging facilities requiring
rehabilitation and replacement.
In conjunction with preparation for the FY 2024-25 Budget, OC San
sta has developed and reviewed with the Board of Directors a
capital program to deliver the levels of service included in OC San’s
Strategic Plan.
OC San sta has also validated the active CIP projects currently
being executed to ensure that the active project scopes of work and
cost estimates were accurate. The validated CIP includes 70 active
and future capital projects, ve programs, and capital equipment
purchases, with a 10-year expenditure of $3.2 billion.
Figure 1
Summary of Certi cates of Participation / Revenue Obligations
A
Series
Taxable
BABs / / $ , , $ , , February Current/Future
CIP Open Senior Fixed / /
C
Series
Taxable
BABs / / $ , , $ , , February Current/Future
CIP Open Senior Fixed / /
A
Series
Refund Rev
Oblig / / $ , , $ , , February Advance
Refunding Open Senior Fixed / /
A
Series
Refund Rev
Oblig / / $ , , $ , , February Advance
Refunding Open Senior Fixed / /
A
Series
Refund Rev
Oblig / / $ , , $ , , February Current
Refunding Open Senior Fixed / /
A
Series
Refund Rev
Oblig / / $ , , $ , , February Current
Refunding Open Senior Fixed / /
A
Series
Refund Rev
Oblig / / $ , , $ , , February Current
Refunding Open Senior Fixed / /
Series
Name Issue Name Issue Date Original Par Outstanding Par Payment
Date Use of Proceeds Lien or Tier Interest Rate
Mode Final Maturity Date
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COPs are repayment obligations based on a lease or installment
sale agreement. The COP structure was selected over other
structures because COPs are not viewed as debt by the State of
California, as the purchaser does not actually receive a "bond,"
but rather a share in an installment sale arrangement where OC
San serves as the purchaser. Accordingly, OC San is not subject
to the usual State restrictions surrounding the issuance of debt.
COPs can be issued with xed or variable interest rates.
Proceeds from the Series 2010A and 2010C debt issuances
were used for current or future CIP projects. The proceeds of
the remaining outstanding debt issuances were used to refund
prior debt issuances. As of July 1, 2024, the total outstanding
COP indebtedness is $606.1 million.
Dedicated Funding Source
In 1992 and 2004 the Board of Directors formalized the
dedication of certain funding sources. To assure the
continuation of favorable credit ratings, revenues were
dedicated to debt service in the following order:
Section 9 - Page 2
OC San embarked upon its Debt Financing and Management
Program, and speci cally its Variable and Fixed Rate Debt
Program (the "Program"), in 1990 with the issuance of $100
million in Certi cates of Participation ("COP"), Capital
Improvement Program, 1990 Series "A." The Program was
established to:
This apportionment of the ad valorem tax was consistent with
and pursuant to the Revenue Program adopted in April 1979 to
comply with regulations of the Environmental Protection Agency
and the State Water Resources Control Board and in accordance
with COP documents and Board policy.
Establishment of Debt Policy
In 2001, OC San developed a written debt policy for the
following underlying reasons:
Ad valorem property taxes1.
Sanitary sewer service charges2.
Other Revenues 3.
Finance assets with long useful lives with long-term debt;
Achieve the lowest possible interest costs and highest
investment returns, commensurate with the appropriate
risk;
Recoup reserve moneys that had previously been spent
This board adopted policy serves as the agency's guide in the
management of existing debt and in the issuance of future debt.
Committing to long-term nancial planning;
Promoting credit quality to rating agencies;
Rationalizing the decision making process;
Enhancing the quality of decisions; and
Promoting consistency and continuity
Debt Coverage Ratios
OC San has no legal debt limits as imposed by state legislation. The
only legal debt limits pertaining OC San 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 4.64 and
5.22 for FY 2024-25 and FY 2025-26, respectively.
Build America Bonds Financing
OC San issued the $80.0 million Wastewater Revenue Obligation,
Series 2010A in May 2010 and the $157.0 million Wastewater
Revenue Obligations, Series 2010C in December 2010 as “Build
America Bonds” (BABs) xed rate debt.
The American Recovery and Reinvestment Act of 2009 created a
new nancing product, BABs, for the municipal issuer. BABs are
issued as higher interest taxable bonds; however, the U.S. Treasury
provides a 35 percent subsidy on interest payments. The net cost,
after accounting for the 35 percent subsidy payment, frequently
results in lower net costs to the issuer, speci cally in the maturity
years beyond ten years.
On March 1, 2013, the federal government implemented certain
automatic spending cuts known as the sequester. As a result of the
sequester, federal subsidy payments on BABs have been reduced
annually from a high of 8.7 percent for the federal scal year ended
September 30, 2013 to a low of 5.7 percent for the federal scal
year ended September 30, 2030.
Future Financings
As a result of having a prudent reserve policy, experienced
management and prudent planning, OC San has been able to
secure “AAA” credit ratings from Fitch Ratings, Moody’s Investors
Service and S&P Global Ratings. OC San’s long-range nancing plan
is designed to maintain these high ratings. Over the next 10 years,
OC San is projecting an additional $3.2 billion in future treatment
plant and collection system capital replacement, refurbishment and
rehabilitation improvements. In accordance with OC San’s long-term
debt scal policy, OC San will con ne long-term borrowing to capital
improvements that cannot be nanced from current revenue. Before
any new debt is issued, the impact of debt service payments on total
annual xed costs will be analyzed.
OC San’s cash ow forecast does not require any new money debt
issuances over the next ten years as all capital improvements
planned over this time period primarily consist of replacement,
refurbishment and rehabilitation of existing projects which are to be
funded through existing reserves and current sewer charges.
Debt Financing Program
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Section 9 - Page 3
Debt Financing Program
Aggregate Debt Service Structures
$
A
m
o
u
n
t
i
n
M
i
l
l
i
o
n
s
Existing Fixed Rate
202
4
-
2
5
202
5
-
2
6
202
6
-
2
7
202
7
-
2
8
202
8
-
2
9
202
9
-
3
0
203
0
-
3
1
203
1
-
3
2
203
2
-
3
3
203
3
-
3
4
203
4
-
3
5
203
5
-
3
6
203
6
-
3
7
203
7
-
3
8
203
8
-
3
9
0
20
40
60
80
Figure 2
2024-25 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 2032-33 2033-34
New COP Issues
CIP Outlays
----------
$ . $ . $ . $ . $ . $ . $ . $ . $ . $ .
Schedule of Future Certi cates of Participation Issues and CIP Cash Flows
(in millions)
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Section 9 - Page 4
2010A Build America
Bonds Acq./Const.
2010C Build America
Bonds Acq./Const.
2016A Refunding (Partial
2009A)
2017A Refunding (Remain
2007A)
2024-25
2025-26
2026-27
2027-28
2028-29
2029-30
2030-31
2031-32
2032-33
2033-34
2034-35
2035-36
2036-37
2037-38
2038-39
2039-40
Totals
$ , , $ , $ , , $ , ,
, , , , , , ,
, , , , , , ,
, , , , , , ,
, , , , , , ,
, , , , , , ,
, , , , , , -
, , , , , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , ---
$ , , $ , , $ , , $ , ,
Continued on next page
Total Certi cates of Participation / Revenue Obligations Debt Service Requirements
Principal and Interest Combined
Fiscal Year of
Payments
Debt Financing Program
DR
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Section 9 - Page 5
2021A Refunding (Partial
2011A and 2018A)
2022A Refunding (2012A
and Partial 2012B)
2024A Refunding (2014A
and 2015A)Total Payments
2024-25
2025-26
2026-27
2027-28
2028-29
2029-30
2030-31
2031-32
2032-33
2033-34
2034-35
2035-36
2036-37
2037-38
2038-39
2039-40
Totals
$ , , $ , , $ , , $ , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , - , , , ,
, , - , , , ,
, , - , , , ,
-- , , , ,
--- , ,
--- , ,
--- , ,
$ , , $ , , $ , , $ , ,
Continued from previous page
Total Certi cates of Participation / Revenue Obligations Debt Service Requirements
Principal and Interest Combined
Fiscal Year of
Payments
Debt Financing Program
DR
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Section 9 - Page 6
2010A Build America
Bonds Acq./Const.
2010C Build America
Bonds Acq./Const.
2016A Refunding (Partial
2009A)
2017A Refunding (Remain
2007A)
2024-25
2025-26
2026-27
2027-28
2028-29
2029-30
2030-31
2031-32
2032-33
2033-34
2034-35
2035-36
2036-37
2037-38
2038-39
2039-40
Totals
$ , , $ , $ , , $ , ,
, , , , , , ,
, , , , , , ,
, , , , , , ,
, , , , , , ,
, , , , , ,
, , , , , -
, , , , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , - , -
, - , -
, ---
$ , , $ , , $ , , $ , ,
Continued on next page
Total Certi cates of Participation / Revenue Obligations Debt Service Requirements
Annual Interest Payments
Fiscal Year of
Payments
Debt Financing Program
DR
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Section 9 - Page 7
2021A Refunding (Partial
2011A and 2018A)
2022A Refunding (2012A
and Partial 2012B)
2024A Refunding (2014A
and 2015A)Total Payments
2024-25
2025-26
2026-27
2027-28
2028-29
2029-30
2030-31
2031-32
2032-33
2033-34
2034-35
2035-36
2036-37
2037-38
2038-39
2039-40
Totals
$ , , $ , , $ , , $ , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , , , , , , ,
, , - , , , ,
, - , , , ,
, - , , , ,
-- , , ,
--- , ,
--- , ,
--- ,
$ , , $ , , $ , , $ , ,
Continued from previous page
Total Certi cates of Participation / Revenue Obligations Debt Service Requirements
Annual Interest Payments
Fiscal Year of
Payments
Debt Financing Program
DR
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Section 9 - Page 8
2010A Build America
Bonds Acq./Const.
2010C Build America
Bonds Acq./Const.
2016A Refunding (Partial
2009A)
2017A Refunding (Remain
2007A)
2024-25
2025-26
2026-27
2027-28
2028-29
2029-30
2030-31
2031-32
2032-33
2033-34
2034-35
2035-36
2036-37
2037-38
2038-39
2039-40
Totals
--$ , , -
-- , , -
-- , , , ,
-- , , , ,
-- , , , ,
-- , , , ,
- , , , , -
- , , , , -
-- , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , - , , -
, , ---
$ , , $ , , $ , , $ , ,
Continued on next page
Total Certi cates of Participation / Revenue Obligations Debt Service Requirements
Annual Prinicipal Payments
Fiscal Year of
Payments
Debt Financing Program
DR
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Section 9 - Page 9
2021A Refunding (Partial
2011A and 2018A)
2022A Refunding (2012A
and Partial 2012B)
2024A Refunding (2014A
and 2015A)Total Payments
2024-25
2025-26
2026-27
2027-28
2028-29
2029-30
2030-31
2031-32
2032-33
2033-34
2034-35
2035-36
2036-37
2037-38
2038-39
2039-40
Totals
$ , , -$ , , $ , ,
, , - , , , ,
, , - , , , ,
, , - , , , ,
, , - , , , ,
, , - , , , ,
, , , , , , , ,
, , , , - , ,
, , , , - , ,
, , - , , , ,
, , - , , , ,
, , - , , , ,
-- , , , ,
--- , ,
--- , ,
--- , ,
$ , , $ , , $ , , $ , ,
Continued from previous page
Total Certi cates of Participation / Revenue Obligations Debt Service Requirements
Annual Principal Payments
Fiscal Year of
Payments
Debt Financing Program
DR
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Sta ng Allocation
Section 10 - Page 1
Sta ng by Department
Total 663.50 FTE
General ManagerGeneral Manager: 4.00: 4.00 General Manager: 4.00
Administrative ServicesAdministrative Services: 109.00: 109.00 Administrative Services: 109.00
CommunicationsCommunications: 16.00: 16.00 Communications: 16.00
Human ResourcesHuman Resources: 28.00: 28.00 Human Resources: 28.00
Environmental ServicesEnvironmental Services: 97.50: 97.50 Environmental Services: 97.50
EngineeringEngineering: 124.00: 124.00 Engineering: 124.00
Operations & MaintenanceOperations & Maintenance: 285.00: 285.00 Operations & Maintenance: 285.00
Sta ng by Category
Supervisory (SPMT)Supervisory (SPMT): 10.7%: 10.7%Supervisory (SPMT): 10.7%
Tech Services (OCEA)Tech Services (OCEA): 4.7%: 4.7%Tech Services (OCEA): 4.7%
Admin/Clerical (OCEA)Admin/Clerical (OCEA): 7.3%: 7.3%Admin/Clerical (OCEA): 7.3%
Management (Unrepresented)Management (Unrepresented): 2.4%: 2.4%Management (Unrepresented): 2.4%
Engineering (OCEA)Engineering (OCEA): 3.8%: 3.8%Engineering (OCEA): 3.8%
Executive ManagementExecutive Management: 1.2%: 1.2%Executive Management: 1.2%
Operations & Maintenance (501)Operations & Maintenance (501): 32.1%: 32.1%Operations & Maintenance (501): 32.1%
Part time (Unrepresented)Part time (Unrepresented): 0.0%: 0.0%Part time (Unrepresented): 0.0%
Professionals (SPMT)Professionals (SPMT): 38.0%: 38.0%Professionals (SPMT): 38.0%
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Historical Sta ng Detail
Section 10 - Page 2
Historical Sta ng By Department
FT
E
General Manager Administrative Services Communications
Human Resources Environmental Services Engineering
Operations & Maintenance
2021-22 2022-23 2023-24 2024-25 2025-26
0
100
200
300
400
FT
E
639639639
647647647
655655655
663.5663.5663.5 663.5663.5663.5
2021-22 2022-23 2023-24 2024-25 2025-26
600
620
640
660
680
Total Historical Sta ng
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Sta ng Allocation
Section 10 - Page 3
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General Manager's O ce
General Manager Administration
Department Subtotal
Administrative Services Department
Administrative Services Administration
Financial Management
Contracts, Purchasing and Materials Management
Information Technology
Department Subtotal
Communications Department
Communications Administration
Board Services
Public A airs
Department Subtotal
Human Resources Department
Human Resources Administration
Human Resources
Risk Management/Safety/Security
Department Subtotal
Environmental Services Department
Environmental Services Administration
Resource Protection
Environmental Laboratory and Ocean Monitoring
Environmental Compliance
Department Subtotal
Engineering Department
Engineering Administration
Planning
Project Management O ce
Design
Construction Management
Department Subtotal
Operations and Maintenance Department
Operations and Maintenance Administration
Collection Facilities Operations and Maintenance
Fleet Services
Plant No. 1 Operations
Plant No. 2 Operations
Plant No. 1 Maintenance
Plant No. 2 Maintenance
Department Subtotal
Grand Total - All Departments
Department and Division Name
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Historical Sta ng Detail
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General Manager
Assistant General Manager
Administration Manager
Principal Sta Analyst
Secretary to the General Manager
110 - General Management Admin
100 - General Manager
Assistant General Manager
Director of Finance
Maintenance Manager
Principal Sta Analyst
Senior Accountant
Administrative Assistant
210 - Administrative Services Admin
Controller
Finance & Procurement Manager
Accounting Supervisor
Principal Project Controls Analyst
Principal Accountant
Principal Sta Analyst
Senior Accountant
Senior Sta Analyst
Accountant
Payroll Technician
Accounting Technician
Accounting Assistant II
Administrative Assistant
220 - Financial Management
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Section 10 - Page 5
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Purchasing & Contracts Manager
Contracts Supervisor
Purchasing Supervisor
Materials Mgmt Supervisor
Principal Contracts Administrator
Senior Contracts Administrator
Principal Buyer
Contracts Administrator
Senior Buyer
Senior Sta Analyst
Buyer
Contract/Purchasing Technician
Contracts/Purchasing Assistant
Lead Storekeeper
Lead Materials Management Clerk
Senior Storekeeper
Materials Management Clerk
Storekeeper
Materials Management Technician
O ce Assistant
230 - Contracts, Purch, & Materials Mgmt
Information Technology Manager
Information Technology Supervisor
Principal Information Technology Analyst
Senior Information Technology Analyst
Information Technology Analyst III
Information Technology Analyst II
Data Management Technician II
Data Management Technician I
Sta Analyst
Administrative Assistant
Information Technology Technician II
Information Technology Technician
250 - Information Technology
200 - Administrative Services
Director of Communications
310 - Communications Administration
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Section 10 - Page 6
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Clerk of the Board
Assistant Clerk of the Board
Data Management Technician I
Records Management Technician
Program Assistant
O ce Assistant
320 - Board Services
Public A airs Supervisor
Principal Public A airs Specialist
Senior Public A airs Specialist
Public A airs Specialist
Graphics Designer
Administrative Assistant
340 - Public A airs
300 - Communications
Director of Human Resources
510 - Human Resources Administration
Director of Human Resources
Human Resources and Risk Manager
Human Resources Manager
Human Resources Supervisor
Principal Human Resources Analyst
Senior Human Resources Analyst
Human Resources Analyst
Human Resources Technician II
Human Resources Assistant
Human Resources Technician I
520 - Human Resources
Safety and Health Manager
Safety & Health Supervisor
Principal Safety & Health Specialist
Security & Emergency Planning Specialist
Senior Construction Inspector
Safety Inspector
Senior Safety & Health Representative
Sr. Safety and Health Spclst
Safety & Health Specialist
Safety and Health Specialist
Safety & Health Representative
Human Resources Technician II
Administrative Assistant
530 - Risk Management
500 - Human Resources
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Section 10 - Page 7
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Director of Environmental Services
Environmental Protection Manager
Environmental Supervisor
Senior Regulatory Specialist
Regulatory Specialist
Principal Environmental Specialist
Senior Environmental Specialist
Executive Assistant
Administrative Assistant
610 - Environmental Services Administration
Environmental Protection Manager
Engineering Manager
Engineering Supervisor
Environmental Supervisor
Source Control Supervisor
Senior Engineer
Engineer
Associate Engineer
Senior Regulatory Specialist
Principal Environmental Specialist
Lead Source Control Inspector
Senior Environmental Specialist
Source Control Inspector II
Source Control Inspector I
Administrative Assistant
Environmental Technician
Program Assistant
O ce Assistant
620 - Resource Protection
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Section 10 - Page 8
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Environmental Protection Manager
Environmental Lab & Ocean Monitoring Manager
Environmental Supervisor
Senior Scientist
Regulatory Specialist
Scientist
Principal Environmental Specialist
Senior Environmental Specialist
Environmental Specialist
Boat Captain
Assistant Boat Captain
Administrative Assistant
Environmental Technician
630 - Environmental Laboratory and Ocean Monito…
Environ Protection Manager
Pr Environmental Specialist
Senior Regulatory Specialist
Sr Environmental Specialist
Regulatory Specialist
650 - Environmental Compliance
600 - Environmental Services
Director of Engineering
Principal Sta Analyst
Executive Assistant
Sta Analyst
Administrative Assistant
710 - Engineering Admin
Engineering Manager
Engineering Supervisor
Senior Engineer
Engineer
Principal Sta Analyst
Associate Engineer
Engineering Associate
Assistant Engineer
740 - Planning
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Section 10 - Page 9
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Engineering Manager
Engineering Supervisor
CIP Project Manager
Senior Engineer
Engineer
Associate Engineer
Engineering Associate
Administrative Assistant
750 - Project Management
Engineering Manager
Engineering Supervisor
Information Technology Supervisor
Senior Engineer
Principal Information Technology Analyst
Engineer
Senior Information Technology Analyst
Associate Engineer
Information Technology Analyst III
Information Technology Analyst II
Sta Analyst
Administrative Assistant
Assistant Engineer
760 - Design
Engineering Manager
Engineering Supervisor
Construction Inspection Supervisor
Senior Engineer
Engineer
Senior Cost Estimator
Senior Planner/Scheduler
Associate Engineer
Planner/Scheduler
Cost Estimator
Senior Construction Inspector
Construction Inspector
Engineering Assistant II
Engineering Technician
Administrative Assistant
770 - Construction Management
700 - Engineering
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Section 10 - Page 10
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Assistant General Manager
Director of Operations & Maintenance
Senior Sta Analyst
Sta Analyst
810 - O & M Administration
Maintenance Manager
Maintenance Supervisor
Engineering Supervisor
Senior Engineer
Principal Sta Analyst
Associate Engineer
Maintenance Specialist
Principal Environmental Specialist
Senior Environmental Specialist
Lead Mechanic
Senior Mechanic
Environmental Specialist
Administrative Assistant
Mechanic
Maintenance Worker
Environmental Technician
820 - Collection Facilities O&M
Maintenance Supervisor
Lead Mechanic
Automotive/ Heavy Equipment Technician
Mobile Crane Operator
Program Assistant
822 - Fleet Services
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Operations Manager
Chief Plant Operator
Operations Supervisor
Senior Engineer
Engineer
Principal Sta Analyst
Associate Engineer
Lead Power Plant Operator
Lead Plant Operator
Power Plant Operator II
Senior Plant Operator
Sta Analyst
Administrative Assistant
Plant Operator
Program Assistant
830 - Plant No. 1 Operations
Chief Plant Operator
Operations Supervisor
Lead Plant Operator
Lead Power Plant Operator
Power Plant Operator II
Senior Plant Operator
Administrative Assistant
Plant Operator
840 - Plant No. 2 Operations
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Maintenance Manager
Engineering Manager
Maintenance Superintendent
Maintenance Supervisor
Engineer
Associate Engineer
Maintenance Specialist
Lead Instrumentation Technician
Lead Electrical Technician
Lead Power Plant Operator
Reliability Maintenance Technician
Instrumentation Technician II
Electrical Technician II
Lead Mechanic
Power Plant Operator II
Machinist
Senior Sta Analyst
Administrative Assistant
Senior Mechanic
Welder/Fabricator
Lead Facilities Worker
Instrumentation Technician I
Electrical Technician I
Facilities Worker/Painter
Facilities Worker/Builder
Facilities Worker
Mechanic
870 - Plant No. 1 Maintenance
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Maintenance Superintendent
Maintenance Supervisor
Lead Instrumentation Technician
Lead Electrical Technician
Instrumentation Technician II
Electrical Technician II
Lead Mechanic
Senior Mechanic
Administrative Assistant
Lead Facilities Worker
Instrumentation Technician I
Electrical Technician I
Facilities Worker/Painter
Facilities Worker/Builder
Facilities Worker
Mechanic
Maintenance Worker
880 - Plant No. 2 Maintenance
800 - Operations & Maintenance
Orange County Sanitation District
Division & Position
Authorized
FTEs
2023-24
Proposed
FTEs
2025-26
Proposed
FTEs
2024-25
Authorized
FTEs
2022-23
Authorized
FTEs
2021-22
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Section 10 - Page 14
Appropriations Limit
Appropriations Limit
Article XIIIB of the California State Constitution, more commonly
referred to as the Gann Initiative or Gann Limit, was approved by
California voters in 1979. The Gann Limit placed limits on the
amount of proceeds of taxes that state and local governmental
agencies can receive and appropriate (authorize to spend) each
year.
The limit is di erent for each agency and the limit changes each
year. The annual limit is based on the amount of tax proceeds
that were authorized to be spent in FY 1978-79 in each agency,
modi ed for changes in in ation and population in each
subsequent year.
Proposition 111 was passed by the State’s voters in June 1990.
This legislation made changes to the manner in which the
Appropriations Limit is to be calculated:
The law requires a governing body to annually adopt, by
resolution, an appropriations limit for the following year, along
with a recorded vote regarding which of the annual adjustment
factors have been selected. The Orange County Sanitation
District’s appropriations limit and annual adjustment factors are
adopted at the same meeting as the budget. The adjustment
factors used for FY 2024-25 are the weighted average change
in city population and the change in state per capita personal
income.
The annual adjustment factors for in ation and
population have been changed. Instead of using the
lesser of California per capita income, or U.S. CPI, each
agency may choose either the growth in the California
per capita income, or the growth in assessed valuation
due to new nonresidential construction within the
agency. For population, instead of using only the
population growth of an agency, each agency may
choose to use the population growth within its county.
These are both annual elections.
The revised annual adjustment factors will be applied to
the FY 1986-87 limit for most agencies and each year in
between in order to calculate the FY 1990-91 limit. The
actual limits for the intervening years, however, are not
a ected.
Expenditures for “quali ed capital outlay”, which are
capital assets with a value of more than $100,000 and an
expected life of 10 years or more, are excluded from the
limit.
An agency which exceeds the limit in any one year may
choose to not give a tax refund if they fall below the limit
in the next scal year. They then have two more years to
refund any remaining excess or to obtain a successful
override vote.
In certain situations, proceeds of taxes may be spent on
emergencies without having to reduce the limit in future
years.
Each agency also conducts a review of its Appropriations
Limit during its annual nancial audit.
The following table shows the annual appropriations limit for each of
the last two scal years and for FY 2024-25. The increase in the limit
is based upon population changes ranging from negative 0.97
percent to positive 0.53 percent for representative cities within the
Orange County Sanitation District’s service area and a per capita
personal income change of 7.55 percent, as provided by the State
Department of Finance.
Annual Appropriation Limits:
2022-23
2023-24
2024-25
$132,833,623
$137,371,868
$142,444,371
As a result of the July 1998 consolidation of the Orange County
Sanitation District, a single limit is presented in contrast to individual
limits shown in years prior to 1998. Population changes for
representative cities have continued to be used in order to ensure
consistency and to eliminate signi cant population growth in parts
of the county outside of Orange County Sanitation District’s service
area. This method results in a lower limit than using the county-wide
change.
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Budget Glossary
Accounting System:
The set of records and procedures which are used to record,
classify, and report information on the nancial status and
operations of an entity.
Accrual Basis Accounting:
Under this accounting method, transactions are recognized
when they occur, regardless of the timing of related cash
receipts and disbursements.
Administrative and Clerical:
An employee group that provides administrative and clerical
support.
Ad Valorem Taxes:
OC San’s allocated share of the property taxes assessed by the
County representing a 2% annual increase in assessed values of
property taxes.
Annual Comprehensive Financial Report (ACFR): The o cial
nancial report of a government. It includes an audit opinion as
well as basic nancial statements and supporting schedules
necessary to demonstrate compliance with legal and
contractual requirements of OC San.
Annual Budget:
A budget applicable to a single scal year.
Appropriation Ordinance:
The o cial legal document approved by OC San’s Board of
Directors authorizing o cials to obligate and expend resources.
Appropriation:
An authorization made by OC San’s Board of Directors which
permits o cials to incur obligations against and to make
expenditures of governmental resources. Operating
appropriations are typically granted for a one-year period.
AQMD:
Air Quality Management District. See also SCAQMD.
Assessed Valuation:
The estimated value of real and personal property used by the
Orange County Assessor as the basis for levying property taxes.
Balanced Budget:
A budget in which the sum of estimated net revenues and
appropriated fund balances is equal to appropriations.
Biennial Budget:
A budget applicable to two individual scal years.
Biosolids:
Treated sewage sludge that meets the USEPA pollutant and
pathogen requirements for land application as an agricultural
soil conditioner or surface disposal.
Budget Document:
The o cial nancial spending and resource plan submitted by
the General Manager, adopted by the Board of Directors, and
made available to the public and other interested parties.
Budget Message:
A written explanation by the General Manager of the proposed
budget. The budget message explains principal budget and policy
issues and presents an overview of the General Manager’s budget
recommendations.
Budget Calendar:
The schedule of key dates which OC San follows in preparing and
adopting the budget.
Capital Facilities Capacity Charge (CFCC):
A one-time, nondiscriminatory charge imposed at the time a
building or structure is newly connected to OC San’s system,
directly or indirectly, or an existing structure or category of use is
expanded or increased. This charge is to pay for District facilities in
existence at the time the charge is imposed, or to pay for new
facilities to be constructed in the future, that are of bene t to the
property being charged. This charge does not apply to temporary
facilities.
Capital Improvement Program (CIP):
A plan over a period of ve years setting forth each capital project,
the amount to be expended in each year, and the method of
nancing capital expenditures.
Capital Outlay:
Cash outlays which result in the acquisition of or additions to capital
assets. Examples include land, buildings, machinery, equipment,
and other improvements.
Capital Assets:
Assets of signi cant value which have a useful life of several years.
Examples are land, buildings, other improvements, machinery, and
equipment.
Cash Basis Accounting:
A basis of accounting under which transactions are recognized only
when cash is received or disbursed.
CCTV:
Closed-circuit television (CCTV), also known as video surveillance,
is technology often used by the OC SAN to inspect and document
the condition of underground sewer lines.
CEQA:
California Environmental Quality Act, is a statute that requires state
and local agencies to identify the signi cant environmental impacts
of their actions and to avoid or mitigate those impacts, if feasible.
Certi cates of Participation (COPs):
A type of debt nancing in which certi cates are issued which
represent an investor’s participation in the stream of lease
payments paid by the issuer. COPs are secured by the lease
payments. Voter approval is not required prior to issuance.
Contingency:
A budgetary reserve set aside for emergencies or unforeseen
expenditures not otherwise budgeted.
Contingent Liabilities:
Items which may become liabilities of OC San but are undetermined
at a given date, such as pending law suits, unsettled disputed
claims, un lled purchase orders, and uncompleted contracts.
Section 10 - Page 15
Budget Glossary
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Budget Glossary
Contractual Services:
Personal services provided to OC San from the private sector or
other public agencies.
CRWQCB:
California Regional Water Quality Control Board.
Debt Service:
Payment of interest and repayment of principal to holders of OC
San’s debt instruments.
Decision Package:
A standardized format whereby departments may request
budgetary consideration for new programs, positions, capital
equipment, and position reclassi cation.
De cit:
The excess of an entity’s liabilities over its assets.
Engineers:
A professional engineers/employee group.
Enterprise Fund:
In governmental accounting, a fund that provides goods or
services to the public for a fee that makes the entity self-
supporting.
Executive Manager:
The group of employees which head each department.
Expenditures / Expenses:
Where accounts are kept on the accrual basis of accounting,
expenses are recognized when goods are received or services
rendered. Where accounts are kept on a cash basis,
expenditures are recognized only when the cash payments are
made.
FEMA:
Federal Emergency Management Agency. This agency provides
federal grant monies for disaster relief.
Fiscal Year (FY):
A 12-month period to which the annual operating budget applies
and at the end of which a government determines its nancial
position and results of its operations. OC San’s scal year runs
from July 1 - June 30.
Five-Year Financial Forecast:
Estimates of future revenues and expenditures to help predict
the future nancial condition of the community.
FLSA:
The Fair Labor Standards Act sets minimum wage, overtime pay,
equal pay, and Child Labor Standards to private and public
sector employees. Enforcement of the FLSA is assigned to the
Department of Labor (DOL), Wage and Hour Division.
Fats, Oils, & Grease (FOG) Control Program:
Educational and regulatory e orts designed to achieve
reductions in the quantity of fats, oils and grease that is found in
the wastewater that is discharged into OC San’s sewerage
system.
Full-Time Equivalents (FTE):
The amount of time a regular, full-time employee normally works in a
year. For example, a full-time employee (1 FTE) is budgeted to work
2,080 hours per year, while a .5 FTE is budgeted to work 1,040
hours per year.
Fund:
An independent scal and accounting entity with a self-balancing
set of accounts recording cash and/or other resources together with
all related liabilities, obligations, reserves, and equities.
Fund Accounting:
System used by nonpro t organizations, particularly governments.
Since there is no pro t motive, accountability is measured instead of
pro tability. The main purpose is stewardship of nancial resources
received and expended in compliance with legal requirements.
Fund Equity:
The excess of an entity’s assets over liabilities.
General Obligation Bonds:
Bonds for which the full faith and credit of the insuring government
are pledged for payment. Ad valorem property taxes are pledged
to pay the bonds. A two-thirds voter approval is required prior to
bond issuance.
Generally Accepted Accounting Principles (GAAP):
Uniform standards for nancial accounting and reporting. They
govern the form and content of the basic nancial statements of an
entity.
Government Finance O cers Association (GFOA):
A nonpro t, professional association, serving over 18,000
government nance professionals through the United States and
Canada.
GFOA’s Best Practices and Advisories:
A listing of the Accounting, Auditing, and Financial Reporting,
Treasury and Investment Management, Budgeting and Fiscal Policy,
Debt Management, Retirement and Bene ts Administration, and
Economic Development and Capital Planning practices identi ed as
contributing to improved government management by the
Government Finance O cers Association of the United States and
Canada.
GFOA’s Distinguished Budget Presentation Award Program:
The only national awards program in governmental budgeting. It
represents a signi cant accomplishment in meeting the highest
principles of governmental budgeting and satisfying nationally
recognized guidelines for e ective budget presentation.
Groundwater Replenishment System (GWRS):
A joint project by the Orange County Water District (OCWD) and OC
San, the GWRS reclaims up to 100 million gallons a day of OC San’s
secondary e uent. GWRS is the world's largest water puri cation
system for indirect potable reuse. The system takes highly treated
wastewater that would have previously been discharged into the
Paci c Ocean and puri es it using a three-step advanced treatment
process consisting of micro ltration, reverse osmosis and ultraviolet
light with hydrogen peroxide. The process produces high- quality
water that meets or exceeds all state and federal drinking water
standards.
Section 10 - Page 16
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Improvements:
Buildings, structures, or attachments to land such as sidewalks,
trees, drives, tunnels, drains and sewers.
Interest:
Revenue derived from the investment of idle cash and/or
reserves.
Intergovernmental Services:
Purchases from other governments of those specialized services
typically performed by local governments.
Intergovernmental Revenue:
Revenue received from other governmental agencies and
municipalities.
IRWD:
Irvine Ranch Water District is a California Special District formed
in 1961 and incorporated under the California water code. IRWD
provides potable water, sewer service and reclaimed (or
recycled) water to its customers in Irvine and portions of Costa
Mesa, Lake Forest, Newport Beach, Orange, Tustin and
unincorporated areas of Orange County.
Levy:
(Verb) To impose taxes, special assessments, or service charges
for the support of governmental activities. (Noun) The total
amount of taxes, special assessments, or service charges
imposed by a government levying property taxes.
Long-Term Debt or Long-Term Liabilities:
Debt borrowed from a source outside OC San with a maturity of
more than one year after the date of issuance.
Maintenance Employees:
An employee group of OC San.
Manager Employees:
The group of employees who assume management
responsibilities for operating divisions.
MGD:
Million Gallons per Day is a measurement of water or
wastewater ow.
NPDES (National Pollution Discharge Elimination System):
Permit system established by the U.S. Environmental Protection
Agency to regulate discharge of treated sewage, storm water,
and urban runo .
Object:
An expenditure classi cation which refers to the type of item
purchased or the service obtained. Examples include personnel,
supplies, or contract services.
OC San University (OC San U):
The OC San University (OC San U) is a voluntary employee
development program designed to help OC San meet evolving
organizational needs. Employees can participate in various
learning opportunities including mentoring, a leadership
academy, online learning, and monthly presentations on topics
pertinent to employees and OC San.
Section 10 - Page 17
OCWD:
The Orange County Water District (OCWD) is a California special
district that manages the groundwater basin beneath central and
northern Orange County, California.
OES:
State O ce of Emergency Services. This agency provides state
grant monies for disaster relief.
Operating Engineers:
An employee group of OC San.
Operating Budget:
The operating budget is the primary means by which most of the
nancing of acquisition, spending, and service delivery activities of a
government are controlled.
Other Revenues:
Revenues from sources, other than those speci cally identi ed, that
are immaterial in amount and do not justify reporting as separate
line items.
Other Charges:
Expenditures that do not t in other categories, are immaterial in
amount, and do not justify reporting as separate line items.
Performance Measure:
Represents the objectives of each department along with a target
date for achieving the objective.
Performance Results:
A summary of major accomplishments and objectives that were met
during the scal year.
Permits:
Revenues earned by the issuance of permits levied in accordance
with the bene ts conferred by the permit.
Personnel:
Salaries and bene ts paid to OC San’s employees. Included are
items such as special duty pay, insurance, and retirement.
Personnel Bene ts:
Those bene ts paid by OC San as conditions of employment.
Examples include insurance and retirement bene ts.
Professional Employees:
An employee group consisting of technical experts, analysts, and
planners.
Program:
Organizational units directed to attain speci c purposes or
objectives.
Reserve:
A term used to indicate that a portion of fund equity is restricted for
a speci c purpose.
Resources:
Total dollars available for appropriations including estimated
revenues and beginning fund equity.
Budget Glossary
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Budget Glossary
Revenue Bonds:
Bonds issued pledging future revenues such as sewer charges
to cover debt payments. A majority voter approval is required
prior to bond issuance.
Revenue Estimate:
A formal estimate of how much revenue will be earned from a
speci c revenue source for some future period, typically a scal
year.
Revenue:
Income received by OC San to support wastewater treatment
services. This income may be in the form of property taxes, fees,
user charges, grants, and interest.
Risk Register:
The Risk Register is a compilation of the various risks facing OC
San, as seen by OC San’s management team.
Service Charges:
Charges for speci c services rendered.
Service Description:
A description of the services or functions provided by each
department or division.
Supervisory Control And Data Acquisition (SCADA):
A system for remote monitoring and control that operates with
coded signals over communication channels.
SCAQMD:
The South Coast Air Quality Management District, also using the
acronym SCAQMD, formed in 1976, is the air pollution agency
responsible for regulating stationary sources of air pollution in
the South Coast Air Basin, in Southern California.
Secondary Treatment: A treatment process for wastewater (or
sewage) to achieve a certain degree of e uent quality by using
a sewage treatment plant with physical phase separation to
remove settleable solids and a biological process to remove
dissolved and suspended organic compounds.
Signi cant Changes: This section provides an overview of the
changes adopted in the budget. Additionally, the signi cant
impacts of budgetary changes are outlined (Budget Impact)
along with dollar amounts (Increase/ Decrease).
Strategic Goals: Organization-wide goals that demonstrate OC
San’s long-term commitment to excellence and that establish the
framework necessary to maintain OC San’s high level of service
standards.
Strategic Plan: A planning e ort to de ne OC San’s goals,
responsibilities, and requirements over a speci ed future period.
Key factors used in the planning e ort include estimates for
population growth, new construction, the volume of wastewater
delivered to the plants, and viable water conservation and
reclamation programs.
Supervisory Employees:
An employee group whose members have responsibility for
directing the work of line employees.
Supplemental Appropriation:
An appropriation approved by the Directors after the initial budget is
adopted.
Supplies:
An expenditure classi cation for articles and commodities
purchased for consumption or resale. Examples include o ce and
operating supplies, fuel, power, water, gas inventory, or small tools
and equipment.
SWRCB:
The California State Water Resources Control Board (SWRCB) is one
of six branches of the California Environmental Protection Agency.
Taxes:
Compulsory charges levied by a government for the purpose of
nancing services performed for the common bene t.
Technical Services:
Support services to OC San’s wastewater management program
through environmental sampling, analysis and research, source
control of industrial users, administration of compliance programs to
meet federal, state and local environmental standards; provides
leadership and in uence in the development and implementation of
environmental policies, laws, and regulations.
Section 10 - Page 18
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150 MGD
Miscellaneous Statistics
Section 10 - Page 19
General Information
Treatment Information
Year of Formation ............................................................................
Form of Government ...............................
Authority .............................................................
...........................................................
Service Area .....................................................................
Service Population ..............................................................
2023-24 Assessed Value ..................................................
1948
County Sanitation District
Section 4700 et. seq
California Health & Safety Code
479 sq. miles
2.6 million
584 billion
Miles of Sewers ..................................................................
On-Plant Pump Station .......................…………………………………….
O -Plant Pump Stations ................................................................
Operating Authority .........................
…………………………………………………..................................…
…………………..............................….........
Authorized Sta (Full-Time Equivalent) .............................
388 miles
2
15
RWQCB/NPDES Permit No.
CA0110604
WDR Order No. 2006-0003
663.50
Daily In uent Flow to Total Primary
Capacity Comparison (in MGD)FY22-23 In uent BOD:
Plant No. 1 .............................................. 293 milligrams per liter
Plant No. 2 .............................................. 221 milligrams per liter
FY22-23 In uent Suspended Solids:
Plant No. 1 .............................................. 292 milligrams per liter
Plant No. 2 ............................................ 288 milligrams per liter
FY22-23 E uent BOD .................................. 21 milligrams per liter
FY22-23 E uent Suspended Solids .......... 7 milligrams per liter
FY22-23 Biosolids Produced & Reused .......... 191,098 wet tons
Secondary Treatment Capacity:
Plant No. 1 ...........................................................................
Plant No. 2 ......................................................................
TOTAL ..............................................................
168 MGD
Primary Treatment Capacity (includes standby):
Plant No. 1 ................................................................
Plant No. 2 .................................................................
208 MGD
TOTAL .....................................................376 MGD TOTAL .....................................................
2023-24 Estimated Average Daily In uent:
Plant No. 1 ...........................................................................
Plant No. 2 ...........................................................................
192 MGD
124 MGD
68 MGD
2023-24 Estimated Electricity Generated:
Plant No. 1 ...............................................................
Plant No. 2 ..............................................................
TOTAL ..................................................
42,406,393 kwh
54,689,452 kwh
97,095,845 kwh
124124124
686868
192192192208208208168168168
376376376
2023-24 Estimated Influent
Primary Treatment Capacity (includes standby)
Plant 1 Plant 2 Total
0
250
500
Legend:
MGD – million gallons per day
kWh – kilowatts per hour
168 MGD
318 MGD
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$ , . $ , . $ , . $ , .
$ . $ . $ . $ .
$ . $ . $ . $ .
. % . % . % . %
$ , . $ , . $ , . $ , .
One-Time 3-Bedroom Residence Connection
Average Annual Single-Family Residence Fee
Local SRF Fee
OC San's Avg. Share of Ad Valorem Property Tax
Cost to Collect, Treat, & Dispose of One Million Gallons
Miscellaneous Statistics
Section 10 - Page 20
Financial Information
Fees and Charges:2022-23
Actual
2023-24
Projected
2024-25
Proposed
2025-26
Proposed
Summary of COP Issues:
A Series , ,
C Series , ,
A Series , ,
A Series , ,
A Series , ,
A Series , ,
A Series , ,
Total Outstanding COP Balance $ , ,
Series Outstanding Par
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Section 10 - Page 20
Anaheim
Brea
Buena Park
Costa Mesa
Cypress
Fountain Valley
Fullerton
Garden Grove
Huntington Beach
Irvine
La Habra
La Palma
Los Alamitos
Newport Beach
Orange
Placentia
Santa Ana
Seal Beach
Stanton
Tustin
Villa Park
Westminster
Yorba Linda
340,160
47,725
82,689
109,423
49,345
56,333
140,311
171,024
192,503
314,550
60,901
15,071
11,947
82,419
138,621
52,226
310,797
24,350
40,297
78,844
5,705
89,490
66,087
2,480,818
Population
as of
January 1, 2024
ORANGE COUNTY SANITATION DISTRICT
Estimated Population Served by the
Orange County Sanitation District
Miscellaneous Statistics
Subtotal Cities (1)
70,692
2,551,510
Estimated Population Served
in Unincorporated Areas(2)
Data Source:
(1) Demographic Research Unit, State of California Department of Finance.
(2) Center for Demographic Research, California State University, Fullerton.
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Accounting System and Budgetary Control ....................................................................................................................................................
Administrative O cials ...........................................................................................................................................................................................................................
Administrative Services Administration ........................................................................................................................................................
Appropriations Limit ..............................................................................................................................................................................................
Background Information and Description of Services ..................................................................................................................................
Board Committees ..................................................................................................................................................................................................................................
Board of Directors ...................................................................................................................................................................................................................................
Board Services ................................................................................................................................................................................................
Budget Assumptions .......................................................................................................................................................................................
Budget Glossary ..............................................................................................................................................................................................
Budget Resources ................................................................................................................................................................................................
Business Plan ....................................................................................................................................................................................................
Capital Equipment Budget Detail ........................................................................................................................................................
Capital Equipment Budget Summary ...........................................................................................................................................
Capital Improvement Expenditure Graphs ...................................................................................................................................................
Capital Improvement Program - Budget Summary ....................................................................................................................................
Capital Improvement Program - Overview ......................................................................................................................................................
Capital Improvement Program - Project Detail Sheets ...........................................................................................................................
Capital Improvement Program - Project Summary by CIP Driver ......................................................................................................
Capital Improvement Program - Summary by Project Status ..............................................................................................................
Capital Improvement Program - Summary of Capital Requirements ....................................................................................................
Collection Facilities Operations & Maintenance ....................................................................................................................................
Communications .............................................................................................................................................................................................
Consolidated Cash Flow Projections ..........................................................................................................................................................
Consolidated Services .....................................................................................................................................................................................
Construction Management ...........................................................................................................................................................................
Contracts, Purchasing and Materials Management ...............................................................................................................................
Debt Financing Program .....................................................................................................................................................................................
Debt Service Requirements Schedule, Interest ............................................................................................................................................
Debt Service Requirements Schedule, Principal ..........................................................................................................................................
Debt Service Requirements Schedule, Principal & Interest .......................................................................................................................
Design ................................................................................................................................................................................................................
Engineering Administration .........................................................................................................................................................................
Environmental Compliance ..........................................................................................................................................................................
Environmental Services Administration ....................................................................................................................................................
Executive Summary ................................................................................................................................................................................................
Financial Management ..................................................................................................................................................................................
Financial Overview & Budgetary Issues ........................................................................................................................................................
Fiscal Policy ............................................................................................................................................................................................................
Fleet Services ..................................................................................................................................................................................................
Fund Structure Diagram ........................................................................................................................................................................................
Funding Sources by Category .........................................................................................................................................................................
Funding Uses by Category ...............................................................................................................................................................................
GFOA Best Practices and Advisories ............................................................................................................................................................
General Liability and Property Self-Insurance Program ..................................................................................................................................
General Management Administration .............................................................................................................................................................
General Manager's Budget Message ..........................................................................................................................................................................................
Historical Sta ng Chart ..........................................................................................................................................................................................
Historical Sta ng Detail (by Department by Position) ..............................................................................................................................
Historical Sta ng Summary (by Department) ...................................................................................................................................................
Human Resources ...........................................................................................................................................................................................
Human Resources Administration ...............................................................................................................................................................
Information Technology .................................................................................................................................................................................
Laboratory, Monitoring and Compliance...................................................................................................................................................
Levels of Service Target Levels ...................................................................................................................................................................
Long-Term Planning Table ....................................................................................................................................................................................
Maintenance – Plant No. 1 ...........................................................................................................................................................................
Maintenance – Plant No. 2 ...........................................................................................................................................................................
Miscellaneous Statistics ..................................................................................................................................................................................
Mission, Vision and Core Values ......................................................................................................................................................................................................
Index
Index
Section 3, Page 20
vi
Section 6, Pages 5-8
Section 10, Page 10
Section 2, Page 22
iv
iii
Section 6, Pages 29-32
Section 3, Pages 17-19
Section 10, Pages 15-18
Section 4, Page 7-12
Section 2, Pages 12-20
Section 8, Pages 91-93, 96
Section 8, Pages 89-90, 94-95
Section 8, Pages 5, 7
Section 8, Pages 4, 6
Section 8, Page 1-2
Section 8, Pages 12-81
Section 8, Pages 86-88
Section 8, Pages 82-85
Section 8, Pages 8-11
Section 6, Pages 89-92
Section 6, Pages 25-28
Section 4, Pages 15-16
Section 6, Pages 9-12
Section 6, Pages 81-84
Section 6, Pages 17-20
Section 9, Pages 1-3
Section 9, Page 6-7
Section 9, Page 8-9
Section 9, Page 4-5
Section 6, Pages 77-80
Section 6, Pages 65-68
Section 6, Pages 61-64
Section 6, Pages 49-52
Section 1, Page 1-4
Section 6, Pages 13-16
Section 2, Pages 1-11
Section 3, Pages 1-6
Section 6, Pages 93-96
Section 3, Page 21
Section 4, Pages 2, 5
Section 4, Pages 3, 6
Section 3, Pages 7-15
Section 7, Page 3
Section 6, Pages 1-4
vii-viii
Section 10, Page 2
Section 10, Page 4-13
Section 10, Page 3
Section 6, Pages 41-44
Section 6, Pages 37-40
Section 6, Pages 21-24
Section 6, Pages 57-60
Section 2, Pages 18-19
Section 2, Page 20
Section 6, Page 105-108
Section 6, Page 109-112
Section 10, Page 19-20
ix-x
Section 10 - Page 21
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Notes to Operations Summary ........................................................................................................................................................................................................
Operations - Plant No. 1 ...............................................................................................................................................................................
Operations - Plant No. 2 .............................................................................................................................................................................
Operations Summary - Allocation to Individual Revenue Areas ...................................................................................................................
Operations Summary - Comparisons by Department .....................................................................................................................................
Operations Summary - Expense by Category ...................................................................................................................................................
Operations Summary - Expense by Line Item .............................................................................................................................................
Operations Summary - Budget Overview ............................................................................................................................................................
Operations & Maintenance Administration ..............................................................................................................................................
Orange County at a Glance ...........................................................................................................................................................................
Orange County Sanitation District’s Organization Chart ...............................................................................................................................................................
Overview of the Budget Process ................................................................................................................................................................
Planning ............................................................................................................................................................................................................
Population Information, Service Area ...............................................................................................................................................................
Project Management .....................................................................................................................................................................................
Projected Reserves ............................................................................................................................................................................................
Public A airs .......................................................................................................................................................................................................
Reader's Guide to the Budget .............................................................................................................................................................................................................
Resource Protection .......................................................................................................................................................................................
Revenue Sources ............................................................................................................................................................................................
Risk Management ............................................................................................................................................................................................
Self-Insurance Program - Overview ........................................................................................................................................................................
Sta ng by Category Chart .....................................................................................................................................................................................
Sta ng by Department Chart ................................................................................................................................................................................
Summary of Outstanding Certi cates of Participation ......................................................................................................................................
Total of Self-Insurance Program .............................................................................................................................................................................
Treatment Process Diagram ...................................................................................................................................................................................
Where the Money Comes From .......................................................................................................................................................................
Where the Money Goes .....................................................................................................................................................................................
Workers’ Compensation Self-Insurance Program ..............................................................................................................................................
Index (continued)
Index
ix-x
Section 6, Pages 97-100
Section 6, Pages 101-104
Section 5, Page 4
Section 5, Page 2
Section 5, Page 3
Section 5, Pages 5-6
Section 5, Page 1
Section 6, Pages 69-72
Section 2, Page 21-22
v
Section 3, Pages 19-20
Section 6, Pages 53-56
Section 10, Page 21
Section 6, Pages 57-60
Section 4, Page 14-15
Section 6, Pages 9-12
i-ii
Section 6, Pages 41-44
Section 3, Pages 27-29
Section 6, Pages 17-20
Section 7, Page 1
Section 10, Page 1
Section 10, Page 1
Section 9, Page 1
Section 7, Page 2
Section 8, Page 3
Section 4, Pages 1, 5
Section 4, Pages 1, 5
Section 7, Page 4
Section 10 - Page 22
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ADMINISTRATION COMMITTEE
Agenda Report
Administration Building
10844 Ellis Avenue
Fountain Valley, CA 92708
(714) 593-7433
File #:2024-3643 Agenda Date:6/12/2024 Agenda Item No:6.
FROM:Robert Thompson, General Manager
Originator: Mike Dorman, Director of Engineering
SUBJECT:
CRITICAL ASSET IDENTIFICATION AND PROCUREMENT RISK MITIGATION
GENERAL MANAGER'S RECOMMENDATION
RECOMMENDATION:
Information Item.
BACKGROUND
Staff will present their findings on the identification of critical plant and collection system assets that
have long lead times for parts or replacement;and the approach to mitigate these challenges per
the General Manager’s Work Plan.
RELEVANT STANDARDS
·Protect OC San assets
·24/7/365 treatment plant reliability
ATTACHMENT
The following attachment(s)may be viewed on-line at the OC San website (www.ocsan.gov)with the complete agenda
package:
·Presentation
Orange County Sanitation District Printed on 5/31/2024Page 1 of 1
powered by Legistar™
5/31/2024
1
Administration Committee
June 12, 2024
Critical Asset
Identification and
Procurement Risk
Mitigation
Presented by
Justin Fenton, Engineering Manager
Information Item
v
Orange CountySanitation District70thAnniversary
GM Work Plan Goal:
•Determine Critical Assets
•In Service
•Under Construction
•Mitigate Procurement Risks
•Identify Required Spares
•High Operational Reliability
2
1
2
5/31/2024
2
v
Orange CountySanitation District70thAnniversary
3
•Maintenance, Purchasing,
and Warehouse staff
ensure availability
•Key element of process
reliability
v
Orange CountySanitation District70thAnniversary
4
3
4
5/31/2024
3
v
Orange CountySanitation District70thAnniversary
5
Major Equipment / AssetMajor Equipment / Asset
Limited RedundancyLimited Redundancy
Repair ConcernsRepair Concerns
Obsolescence Heavy Wear Long Lead
Times
v
Orange CountySanitation District70thAnniversary
•84 Critical Asset types identified
•Majority have stocked items
•Recommended additional spares:
6
ExamplesCountSpare
Pump, Grinder, Heat Exchanger, Gearbox, Check Valve 20Asset
Impeller, Auger, Drive & Gear, Rotor, Cutter Cartridge26Part
5
6
5/31/2024
4
v
Orange CountySanitation District70thAnniversary
7
Procurement of newly ID’d Assets & Parts
(Prioritization, Timing , & Storage)
Implementation of updated “spares”
process in Design & Construction
Continue to update critical asset tables
Questions?
1954 - 2024
Orange County Sanitation District70thAnniversary
8
7
8
ORANGE COUNTY SANITATION DISTRICT
COMMON ACRONYMS
ACWA Association of California
Water Agencies LOS Level Of Service RFP Request For Proposal
APWA American Public Works
Association MGD Million Gallons Per Day RWQCB Regional Water Quality
Control Board
AQMD Air Quality Management
District MOU Memorandum of
Understanding SARFPA Santa Ana River Flood
Protection Agency
ASCE American Society of Civil Engineers NACWA National Association of Clean Water Agencies SARI Santa Ana River Interceptor
BOD Biochemical Oxygen Demand NEPA National Environmental Policy
Act SARWQCB Santa Ana Regional Water
Quality Control Board
CARB California Air Resources
Board NGOs Non-Governmental
Organizations SAWPA Santa Ana Watershed
Project Authority
CASA California Association of
Sanitation Agencies NPDES National Pollutant Discharge
Elimination System SCADA Supervisory Control And
Data Acquisition
CCTV Closed Circuit Television NWRI National Water Research
Institute SCAP
Southern California
Alliance of Publicly Owned Treatment Works
CEQA California Environmental
Quality Act O & M Operations & Maintenance SCAQMD South Coast Air Quality
Management District
CIP Capital Improvement
Program OCCOG Orange County Council of
Governments SOCWA South Orange County
Wastewater Authority
CRWQCB California Regional Water
Quality Control Board OCHCA Orange County Health Care
Agency SRF Clean Water State
Revolving Fund
CWA Clean Water Act OCSD Orange County Sanitation District SSMP Sewer System Management Plan
CWEA California Water Environment Association OCWD Orange County Water District SSO Sanitary Sewer Overflow
EIR Environmental Impact Report OOBS Ocean Outfall Booster Station SWRCB State Water Resources
Control Board
EMT Executive Management Team OSHA Occupational Safety and
Health Administration TDS Total Dissolved Solids
EPA US Environmental Protection Agency PCSA
Professional
Consultant/Construction
Services Agreement
TMDL Total Maximum Daily Load
FOG Fats, Oils, and Grease PDSA Professional Design Services
Agreement TSS Total Suspended Solids
gpd gallons per day PFAS
Per- and Polyfluoroalkyl
Substances WDR Waste Discharge
Requirements
GWRS Groundwater Replenishment
System PFOA Perfluorooctanoic Acid WEF Water Environment
Federation
ICS Incident Command System PFOS Perfluorooctanesulfonic Acid WERF Water Environment & Reuse Foundation
IERP Integrated Emergency
Response Plan POTW Publicly Owned Treatment
Works WIFIA Water Infrastructure
Finance and Innovation Act
JPA Joint Powers Authority ppm parts per million WIIN Water Infrastructure Improvements for the
Nation Act
LAFCO Local Agency Formation
Commission PSA Professional Services
Agreement WRDA Water Resources
Development Act
ORANGE COUNTY SANITATION DISTRICT
GLOSSARY OF TERMS
ACTIVATED SLUDGE PROCESS – A secondary biological wastewater treatment process where bacteria reproduce at a high rate with the introduction of excess air or oxygen and consume dissolved nutrients in the wastewater.
BENTHOS – The community of organisms, such as sea stars, worms, and shrimp, which live on, in, or near the seabed, also known as the benthic zone.
BIOCHEMICAL OXYGEN DEMAND (BOD) – The amount of oxygen used when organic matter undergoes decomposition by microorganisms. Testing for BOD is done to assess the amount of organic matter in water.
BIOGAS – A gas that is produced by the action of anaerobic bacteria on organic waste matter in a digester tank that can be used
as a fuel.
BIOSOLIDS – Biosolids are nutrient rich organic and highly treated solid materials produced by the wastewater treatment process. This high-quality product can be recycled as a soil amendment on farmland or further processed as an earth-like product for
commercial and home gardens to improve and maintain fertile soil and stimulate plant growth.
CAPITAL IMPROVEMENT PROGRAM (CIP) – Projects for repair, rehabilitation, and replacement of assets. Also includes treatment improvements, additional capacity, and projects for the support facilities.
COLIFORM BACTERIA – A group of bacteria found in the intestines of humans and other animals, but also occasionally found elsewhere, used as indicators of sewage pollution. E. coli are the most common bacteria in wastewater.
COLLECTIONS SYSTEM – In wastewater, it is the system of typically underground pipes that receive and convey sanitary wastewater or storm water.
CERTIFICATE OF PARTICIPATION (COP) – A type of financing where an investor purchases a share of the lease revenues of a program rather than the bond being secured by those revenues.
CONTAMINANTS OF POTENTIAL CONCERN (CPC) – Pharmaceuticals, hormones, and other organic wastewater contaminants.
DILUTION TO THRESHOLD (D/T) – The dilution at which the majority of people detect the odor becomes the D/T for that air sample.
GREENHOUSE GASES (GHG) – In the order of relative abundance water vapor, carbon dioxide, methane, nitrous oxide, and ozone gases that are considered the cause of global warming (“greenhouse effect”).
GROUNDWATER REPLENISHMENT SYSTEM (GWRS) – A joint water reclamation project that proactively responds to Southern California’s current and future water needs. This joint project between the Orange County Water District and OCSD provides 70
million gallons per day of drinking quality water to replenish the local groundwater supply.
LEVEL OF SERVICE (LOS) – Goals to support environmental and public expectations for performance.
N-NITROSODIMETHYLAMINE (NDMA) – A N-nitrosamine suspected cancer-causing agent. It has been found in the GWRS
process and is eliminated using hydrogen peroxide with extra ultra-violet treatment.
NATIONAL BIOSOLIDS PARTNERSHIP (NBP) – An alliance of the NACWA and WEF, with advisory support from the EPA. NBP is committed to developing and advancing environmentally sound and sustainable biosolids management practices that go beyond regulatory compliance and promote public participation to enhance the credibility of local agency biosolids programs and improved communications that lead to public acceptance.
PER- AND POLYFLUOROALKYL SUBSTANCES (PFAS) – A large group (over 6,000) of human-made compounds that are resistant to heat, water, and oil and used for a variety of applications including firefighting foam, stain and water-resistant clothing, cosmetics, and food packaging. Two PFAS compounds, perfluorooctanesulfonic acid (PFOS) and perfluorooctanoic acid (PFOA) have been the focus of increasing regulatory scrutiny in drinking water and may result in adverse health effects including developmental effects to fetuses during pregnancy, cancer, liver damage, immunosuppression, thyroid effects, and other effects.
PERFLUOROOCTANOIC ACID (PFOA) – An ingredient for several industrial applications including carpeting, upholstery, apparel, floor wax, textiles, sealants, food packaging, and cookware (Teflon).
PERFLUOROOCTANESULFONIC ACID (PFOS) – A key ingredient in Scotchgard, a fabric protector made by 3M, and used in numerous stain repellents.
PLUME – A visible or measurable concentration of discharge from a stationary source or fixed facility.
PUBLICLY OWNED TREATMENT WORKS (POTW) – A municipal wastewater treatment plant.
SANTA ANA RIVER INTERCEPTOR (SARI) LINE – A regional brine line designed to convey 30 million gallons per day of non-reclaimable wastewater from the upper Santa Ana River basin to the ocean for disposal, after treatment.
SANITARY SEWER – Separate sewer systems specifically for the carrying of domestic and industrial wastewater.
SOUTH COAST AIR QUALITY MANAGEMENT DISTRICT (SCAQMD) – Regional regulatory agency that develops plans and
regulations designed to achieve public health standards by reducing emissions from business and industry.
SECONDARY TREATMENT – Biological wastewater treatment, particularly the activated sludge process, where bacteria and other microorganisms consume dissolved nutrients in wastewater.
SLUDGE – Untreated solid material created by the treatment of wastewater.
TOTAL SUSPENDED SOLIDS (TSS) – The amount of solids floating and in suspension in wastewater.
ORANGE COUNTY SANITATION DISTRICT
GLOSSARY OF TERMS
TRICKLING FILTER – A biological secondary treatment process in which bacteria and other microorganisms, growing as slime on the surface of rocks or plastic media, consume nutrients in wastewater as it trickles over them.
URBAN RUNOFF – Water from city streets and domestic properties that carry pollutants into the storm drains, rivers, lakes, and oceans.
WASTEWATER – Any water that enters the sanitary sewer.
WATERSHED – A land area from which water drains to a particular water body. OCSD’s service area is in the Santa Ana River Watershed.