to: board of directors date posted: may 22, 2015 · the engineer’s estimate and final bids has to...

RUNNING SPRINGS WATER DISTRICT A MULTI-SERVICE INDEPENDENT SPECIAL DISTRICT

31242 Hilltop Boulevard • P.O. Box 2206 Running Springs, CA 92382

WATER (909) 867-2766 • WASTEWATER COLLECTION (909) 867-7352 • WASTEWATER TREATMENT (909) 867-3689 • FIRE (909) 867-2630

TO: BOARD OF DIRECTORS DATE POSTED: MAY 22, 2015 RE: REGULAR BOARD MEETING FROM: BOARD SECRETARY The date for the regularly scheduled board meeting has been changed from 9:00 a.m. on May 20, 2015 to 9:00 a.m. on May 27, 2015 and therefore the meeting will be adjourned to that later date. The Regular Meeting of the Board of Directors of the Running Springs Water District will be held on Wednesday, May 27, 2015, at the hour of 9:00 A.M. at the District Office located at 31242 Hilltop Boulevard, Running Springs, California. This agenda was posted prior to 5:00pm on May 22, 2015 at the Running Springs Water District Office and Website. The Board may take action on any item on the agenda, whether listed as an action item or as an information item. Upon request, this agenda will be made available in appropriate alternative formats to persons with disabilities, as required by Section 202 of the Americans with Disabilities Act of 1990. Any person with a disability who requires a modification or accommodation in order to participate in a meeting should direct such request to Joan C. Eaton, Board Secretary at (909) 867-2766 at least 48 hours before the meeting, if possible. Copies of documents provided to members of the Board for discussion in open session may be obtained from the District at the address indicated above.

AGENDA

1. Call Meeting to Order and Pledge of Allegiance 2. Recognize and Hear From Visitors/Public Comment 3. Approval of Consent Items – The following consent items are expected to be routine

and non-controversial and will be acted on at one time without discussion unless an item is withdrawn by a Board Member for questions or discussion. Any person wishing to speak on the consent agenda may do so by raising his/her hand and being recognized by the Board President.

A. Approve Minutes for April 23, 2015 Regular Board Meeting Page 4

B. Approve Minutes for April 27, 2015 Special Board Meeting 1

C. Ratify April 2015 Expenditures Page 16

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May 27, 2015 Regular Board Meeting Agenda Posted May 22, 2015

4. Action Items – The following action items will be considered individually and each require a motion by the Board of Directors for action.

A. Consider Accepting Proposal for Financial Auditing Services for the District’s

Fiscal Year Ending June 30, 2015 3 (Presenter: Joan Eaton, Administration Supervisor)

B. Consider Approving Contract for Financial Consulting Services Page 31 (Presenter: Joan Eaton, Administration Supervisor)

C. Consider Awarding Contract for Water Storage Tank Inspection and Cleaning Services Page 49 (Presenter: Randy Bobroff, Water Division Supervisor)

D. Consider Adoption of Resolution Nos. 11-15 and 12-15 for the Reduction of Employer Paid Member Contributions (EPMC) to the California Public Employees’ Retirement System (CalPERS) for Newly Hired Classic CalPERS Members Page 55 (Presenter: Ryan Gross, General Manager)

E. Consider Adjusting the Health Benefit Cap for District Employees Page 59 (Presenter: Ryan Gross, General Manager)

F. Consider Authorizing Expenditures for Flow Meter Replacement Page 61 (Presenter: Isaiah Hall, Collection Division Supervisor)

G. Consider Authorizing Expenditures for Sewer Lift Station Paving Page 64 (Presenter: Isaiah Hall, Collection Division Supervisor)

H. Consider Appointing One Director as the District’s Representative to the Rim of the World Council of Governments Page 69 (Presenter: Ryan Gross, General Manager)

I. Public Hearing and Consideration of Adopting Ordinance No. 44 Establishing Fees for Ambulance Services Page 70

i. Open Public Hearing;

ii. Staff Presentation; iii. Written Public Comment; iv. Oral Public Comment; v. Board Discussion/Comments;

vi. Close Public Hearing; vii. Consider Adoption of Proposed Ordinance No. 44.

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May 27, 2015 Regular Board Meeting Agenda Posted May 22, 2015

5. Information Items – The following information items do not require any action by the Board of Directors and are for informational purposes only.

A. Emergency Water Conservation Regulations Update Page 74

(Presenter: Ryan Gross, General Manager)

6. Reports from Management

A. Water Division Report Page 83 (Presenter: Randy Bobroff, Water Division Supervisor)

B. Wastewater Treatment Division Report Page 86 (Presenter: Trevor Miller, Wastewater Treatment Division Supervisor)

C. Wastewater Collection Division Report Page 87

(Presenter: Isaiah Hall, Wastewater Collection Division Supervisor)

D. Fire Department Report Page 89 (Presenter: George Corley, Fire Chief)

E. Administration Report Page 100 (Presenter: Joan Eaton, Administration Division Supervisor)

F. General Manager’s Report Page 102 (Presenter: Ryan Gross, General Manager)

7. Report from Engineer 8. Report from Legal Counsel 9. Board Member Meetings 10. Board Member Comments 11. Closed Session

A. Public Employee Performance Evaluation, Title: General Manager. Pursuant to

Government Code Section 54957 12. Open Session

A. The Board and/or Legal Counsel will report any action taken in closed session.

13. Meeting Adjournment

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3. A.

RUNNING SPRINGS WATER DISTRICT

M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Ryan Gross, General Manager SUBJECT: CONSIDER APPROVING MEETING MINUTES FOR THE APRIL

23, 2015 REGULAR BOARD MEETING RECOMMENDATION It is recommended that the Board of Directors review and approve the attached meeting minutes. REASON FOR RECOMMENDATION Approval of meeting minutes. BACKGROUND INFORMATION The attached draft meeting minutes are from the Regular Board Meeting that was held on April 23, 2015. ATTACHMENTS Attachment 1 – Draft Meeting Minutes

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MINUTES – APRIL 23, 2015 PAGE 1 OF 6

MINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS RUNNING SPRINGS WATER DISTRICT

COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA APRIL 23, 2015

The Regular Meeting of the Board of Directors of the Running Springs Water District was held on Thursday, April 23, 2015 at the hour of 9:00 A.M. at the District office located at 31242 Hilltop Boulevard, Running Springs, California. The following Directors were present:

Kenneth Ayers, President Everett “Ed” Brittain, Vice-President Pamella Bennett, Director Mike Terry, Director Director Henry Heredia was absent Also present were the following: Ryan Gross, General Manager Joan C. Eaton, Secretary/Treasurer/Administration Supervisor Mike Vasquez, Fire Battalion Chief Randy Bobroff, Water Division Supervisor Isaiah Hall, Wastewater Collections Division Supervisor Brian Thomas, Engineer, Engineering Resources Mike Riddell, Attorney, Best, Best & Krieger Tony Grabow, Retired Fire Chief, Paid Call Firefighter Visitors Present: Gerhard Hilgenfeldt, Resident MEETING MINUTES AGENDA ITEMS 1. Call Meeting to Order and Pledge of Allegiance

The meeting was called to order at 9:04 A.M. by President Ayers who also led the assembly in the pledge of allegiance to the flag.

2. Recognize and Hear From Visitors/Public Comment

Visitor Gerhard Hilgenfeldt introduced himself for the record.

3. Approval of Consent Items

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The following consent items were listed for approval: A. Approval of Meeting Minutes for March 18, 2015 Regular Board Meeting

B. Ratify March 2015 Expenditures

Upon motion by Director Terry, second by Director Bennett and carried by a 4 to 0 vote, the March 2015 Expenditures were ratified and the Consent Items were approved.

4. Action Items A. Consider Awarding Construction Contract for Sewer Lift Station Nos. 1, 2 and 3

Improvements Manager Gross reported on the results of the Sewer Lift Station Nos. 1, 2, and 3 bid opening held on Wednesday, April 22, 2015 and he provided documentation showing the base bid totals from three (3) contractors with Trinity Construction as the lowest bidder of $2,791,500 which is almost $900,000 higher than expected. The estimate from Engineering Resources for the project was $1,800,000 and Manager Gross said he spoke with the Project Manager of the State Water Board Division of Financial Assistance who said one option is to rerun the credit review and possibly increase the loan amount to $2.8 million dollars to stay within the scope. Manager Gross said an alternative is to eliminate Lift Station No. 3 from the project and only rebuild Lift Station Nos. 1 and 2 at this time and revisit District finances in the next few years. Manager Gross stated the difference in the Engineer’s estimate and final bids has to do with state loan requirements with Engineer Thomas reporting on prevailing wage requirements stating that he contacted other contractors to discuss the estimate and bids and they mentioned various issues with public works requirements. Attorney Riddell stated the District is not legally required to bid the project and could negotiate the contract and he added that the only bidding requirement the District has is self imposed by our own resolution. If the loan amount were increased to $2.8 million dollars, the cost to the customers would be approximately $4.84 per month instead of $2.25 per month with Attorney Riddell stating an increase in rates and fees would require a Proposition 218 Hearing. Director Brittain expressed concerns with the condition of the outdated lift stations and potential liability. Discussion continued regarding District finances and Manager Gross asked the Board for direction. Manager Gross and Engineer Thomas will review the project options and provide additional information for Board consideration. Action Item 4.A. was tabled to a future date when a Special Meeting will be scheduled to discuss this item further.

B. Consider Adopting Resolution No. 09-15, Identifying the Terms and Conditions for the Fire Department Response Away from their Official Duty Station and Assigned to an Emergency Incident

Manager Gross stated Resolution No. 09-15 is needed because the terms and conditions of the Agreement for Local Government Fire and Emergency Assistances under the

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California Fire Assistance Agreement (CFAA) have changed. Manager Gross said this is related to proper compensation for our Fire Department providing service outside of the District. Battalion Chief Vasquez reported that in order to continue the same terms of reimbursement, the Fire Department will require either a Governing Board Resolution or Memorandum of Understanding (MOU). Resolution No. 09-15 has been reviewed by Best, Best and Krieger with Attorney Riddell confirming that the terms of the agreement are the same. Battalion Chief Vasquez clarified portal to portal saying staff are in travel status until they return to their station and become available for Running Springs Fire Department responses. Upon motion by Vice-President Brittain, second by Director Terry and carried by a 4 to 0 vote, RESOLUTION NO. 09-15, IDENTIFYING THE TERMS AND CONDITIONS FOR THE FIRE DEPARTMENT RESPONSE AWAY FROM THEIR OFFICIAL DUTY STATION AND ASSIGNED TO AN EMERGENCY INCIDENT, was adopted. (Resolution No. 09-15 on file in the District office)

C. Consider Adopting Ordinance No. 43, Authorizing an Availability Charge for Fire Suppression Service Manager Gross reported on the $65.00 per year Availability Charge for Fire Suppression Service that is a special tax approved by voters and put into effect in 1980 by Ordinance No. 9 that owners of developed property in the Running Springs Water District service area pay to help fund the operation of the Running Springs Fire Department. If adjusted for inflation, the fee would be $158 per year in 2014. District staff recommends the Board consider increasing the fee from $65.00 to $158.00 per year phased over two (2) to three (3) years including an annual inflationary increase based on the Consumer Price Index (CPI) as suggested in the District’s 2010 Financial Master Plan. At a Special Board Meeting held on April 2, 2014, the District’s Board of Directors and staff discussed the need for increased revenue to fund the operation of the Running Springs Fire Department and Emergency Medical (Ambulance) Services and the Board directed staff to proceed with obtaining information to place a measure on the ballot for the voter’s to consider in 2015 to increase the Fire Availability Fee to $158 per year with an annual inflationary increase. Attorney Riddell reported on Fire Availability fees stating the current charge for fire suppression purposes was adopted by District Ordinance No. 9 and the fee can only be increased by a new ordinance adopted by the Board and approved by two thirds of the voters. Attorney Riddell also reported on changes in legislation regarding fire suppression services that now include ambulance services. Manager Gross stated that if Ordinance No. 43 is adopted, a separate resolution will be required by August 7, 2015 to place the measure on the November 2015 General Election ballot. It is important to note that the California Department of Forestry and Fire Protection (CAL Fire) Fire Prevention Fee is not in any way affiliated with the Running Springs Water District or Running Springs Fire Department. Upon motion by Director Bennett, second by Director Terry and carried by a 4 to 0 vote, ORDINANCE NO. 43 AUTHORIZING AN AVAILABILITY CHARGE FOR

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FIRE SUPPRESSION SERVICE, was adopted. (Ordinance No. 43 on file in the District office)

5. Information Items

A. Draft Fiscal Year 2015/2016 Wastewater Department Budgets

B. Draft Fiscal Year 2015/2016 Water and Administration Department Budgets

Manager Gross reported on the Fiscal Year 2015/2016 Wastewater, Water and Administration Department Budgets that were reviewed and discussed with the Finance Committee. Regarding Wastewater, Manager Gross said there is an approximate 7% projected increase in revenues and 4% increase in operating expenses that should result in positive cash flow. Manager Gross also reported on the proposed emergency water conservation measures that will reduce the operating revenue for the Water Division by approximately $100,000 and he stated that the overall operating expenses for the Water and Administration Division were reduced by 3%. The draft budgets have some minor revisions and the final budgets will be returned to the Board for approval. Vice- President Brittain expressed his concerns regarding the potential reduction in revenue due to water sales and he said the District is running on a tight budget. Manager Gross confirmed that the Fiscal Year 2015/2016 Budgets do not include any assumptions for the draft emergency water conservation and he also stated that the new Ayers Acres groundwater well should be online by the fall of 2015. E. President Ayers moved to Item 5. E. Update on Executive Order Regarding the Drought Manager Gross reported on the proposed regulations and restrictions addressing the impending water shortage and he provided the Board with a document provided by Best, Best & Krieger regarding the water shortage and a table outlining the Running Springs Water District total water production and proposed 25% mandatory reduction. Water Board regulatory framework addresses the “small water suppliers” in the state that serve fewer than 3,000 customers and deliver less than 3,000 acre-feet of water annually. The smaller suppliers would have to report their water use and conservation measures to the Water Board in the form of a one-time report due 180 days after the effective date of the new emergency regulations. Manager Gross said the District needs to find a way to reduce water consumption between June and November 2015 and because the District is a small water supplier, one requirement would limit outdoor irrigation to two (2) days per week. Attorney Riddell reported on current District Ordinance No. 34, Declaring a Water Shortage Emergency and Establishing a Water Conservation Program adopted November 17, 2010 and the new proposed draft regulations. Discussion continued regarding the proposed water conservation measures and recycled water with Engineer Thomas stating that in 2007, the District researched recycling potable water and the cost was approximately $9,000,000 to build the infrastructure.

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C. Quarterly Budget/Financial Update

Manager Gross presented the Quarterly Budget/Financial reports and there were no questions or comments.

D. Quarterly Investment Report Manager Gross also presented the Local Agency Investment Fund Remittance Advice for quarter ending March 31, 2015 with an interest rate of 0.26% earning $971.42.

6. General Manager’s Report Manager Gross had no further information to report.

7. Report From Engineer Engineer Thomas had no further information to report. 8. Report From Legal Counsel

Attorney Riddell stated as of April 1, 2015, the snow pack was at 5% of normal.

9. Board Member Meetings A Special Meeting will be scheduled when Manager Gross receives additional information regarding the Sewer Lift Stations Nos. 1, 2 and 3 Project.

10. Board Member Comments Vice-President Brittain provided the Board with written documentation and expressed concerns regarding the proposed incorporation of the mountain communities. The Local Agency Formation Commission (LAFCO) is conducting a study that should be completed by July, 2015 to determine if incorporation is financially feasible for the mountain communities.

11. Closed Session

A. Conference with Legal Counsel – Pending Litigation Government Code Section 54956.9(d)(1); Workers’ Compensation Claim No. 02-0500-0128-X At 10:30 A.M., the Board retired to Closed Session with Legal Counsel pursuant to Government Code Section 54956.9(d)(1). Open Session

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The meeting moved into Open Session at 10:36 A.M. With respect to the item of Closed Session, there was no information to report.


The meeting was adjourned at 10:42 A.M. Respectfully Submitted, __________________________________ ___________________________________ President, Board of Directors Secretary of the Board of Directors Running Springs Water District Running Springs Water District

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3. B.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Ryan Gross, General Manager SUBJECT: CONSIDER APPROVING MEETING MINUTES FOR THE APRIL

27, 2015 SPECIAL BOARD MEETING RECOMMENDATION It is recommended that the Board of Directors review and approve the attached meeting minutes. REASON FOR RECOMMENDATION Approval of meeting minutes. BACKGROUND INFORMATION The attached draft meeting minutes are from the Special Board Meeting that was held on April 27, 2015. ATTACHMENTS Attachment 1 – Draft Meeting Minutes

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MINUTES OF THE SPECIAL MEETING OF THE BOARD OF DIRECTORS RUNNING SPRINGS WATER DISTRICT

COUNTY OF SAN BERNARDINO, STATE OF CALIFORNIA APRIL 27, 2015

The Special Meeting of the Board of Directors of the Running Springs Water District was held on Monday, April 27, 2015 at the hour of 9:00 A.M. at the District office located at 31242 Hilltop Boulevard, Running Springs, California. The following Directors were present:

Kenneth Ayers, President Everett “Ed” Brittain, Vice-President Pamella Bennett, Director Mike Terry, Director Director Henry Heredia was absent Also present were the following: Ryan Gross, General Manager Joan C. Eaton, Secretary/Treasurer/Administration Supervisor Isaiah Hall, Wastewater Collections Division Supervisor Trevor Miller, Wastewater Treatment Division Supervisor Mike Riddell, Attorney, Best, Best & Krieger There were no visitors present MEETING MINUTES AGENDA ITEMS 1. Call Meeting to Order and Pledge of Allegiance

The meeting was called to order at 9:00 A.M. by President Ayers and Director Bennett led the assembly in the pledge of allegiance to the flag.

2. Recognize and Hear From Visitors/Public Comment

No visitors present.

3. Action Items

A. Consider Adopting Resolution No. 10-15, Clean Water State Revolving Fund Reimbursement Resolution

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Manager Gross reported that the State Water Resources Control Board (SWRCB) Division of Financial Assistance has approved the ability to increase the loan amount for the Sewer Lift Station Nos. 1, 2 and 3 Project from $1,800,000 to $2,800,000 and they also approved a change in the scope if the District would like to eliminate Sewer Lift Station No. 3 from the project. Manager Gross recommended that the District increase the loan amount to $2,800,000 and award the Construction Contract to Trinity Construction Company for their low bid of $2,791,500.

Manager Gross stated the 2001 Wastewater Treatment Plant loan is scheduled to be paid

off in March, 2017 and close to the same time, the new Clean Water State Revolving Fund (CWSRF) first debt service payment will be due, which is one year after completion of construction. The term of the new CWSRF loan is twenty (20) years with a 1.90% interest rate. For a loan amount of $2,800,000, the scheduled annual debt service payments would be approximately $169,575. The Fiscal Year 2014/2015 rates, fees and charges included a new $2.25 per month equivalent dwelling unit (EDU) Infrastructure Repair and Replacement (IR&R) charge to fund the repayment of a portion of this debt service. At that time and subject to Proposition 218, District staff recommends that the existing $3.00 per month per EDU Wastewater Treatment Plant loan repayment charge be eliminated and the existing IR&R charge be adjusted from $2.25 to $4.75 per month per EDU resulting in a rate decrease of $0.50 per month per EDU. The new $4.75 per month per EDU IR&R charge would be sufficient to fund the annual debt service payment of $169,575.

Manager Gross said the $3.00 per month revenue in 2017 was slated to help fund other

projects that will now need to be deferred or have a rate structure on a pay as you go basis. Manager Gross said that in order to move forward, the District requires adoption of a new Reimbursement Resolution and a revised credit letter will be received within one week. The District will receive a new Finance Agreement and a Notice to Proceed document would be issued in early June, 2015. Trinity Construction Company will begin construction on Lift Station Nos. 2 and 3 simultaneously and then move to Lift Station No. 1 with Manager Gross saying the construction time frame is six (6) to nine (9) months dependent on the start date and weather.

Discussion continued regarding the Reimbursement Resolution, and Attorney Riddell

stated that the Internal Revenue Service (IRS) allows the District to use the funds received to recover expenditures from within the past sixty (60) days of the date the resolution was adopted. Attorney Riddell also mentioned that the District will be required to sign an amended Finance Agreement that could also be authorized by the Board of Directors today. Director Bennett said the Lift Station Nos. 1, 2 and 3 project has been on the books for fifteen (15) years and should not be put off any longer. President Ayers agreed saying the issue he has is in raising rates for the Wastewater project and the Fire Department and he suggested that staff inform the public of the project with Manager Gross saying he will post quarterly progress information and pictures of the Sewer Lift Station Nos. 1, 2 and 3 project on the District website.

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Manager Gross expressed his concerns that the $3.00 a month that will be freed up in 2017 was going to be used for other Wastewater Division projects totaling approximately $600,000 so the District will need to ensure there will be sufficient cash flow from the rates without borrowing more money.

Supervisor Hall said the Lift Station Improvement Project will eliminate maintenance and

free up his staff to focus on other repairs and projects in the system. Supervisor Miller reported on required Wastewater Treatment Plant projects saying there are issues that need to be addressed in the system. Discussion continued regarding the Membrane Bioreactor (MBR) and Wastewater Treatment processes with Manager Gross saying the upstream users will pay 33% of the project costs. Manager Gross has provided the upstream users with a copy of the Wastewater budget sheet outlining the projects for the next five years.

Upon motion by Vice-President Brittain, second by President Ayers and carried by a 4

to 0 vote, RESOLUTION NO. 10-15, CLEAN WATER STATE REVOLVING FUND REIMBURSEMENT RESOLUTION AND AUTHORIZE THE GENERAL MANAGER

TO SIGN THE REVISED FINANCE AGREEMENT, was adopted (Resolution No. 10-15 on file in the District office)

B. Consider Awarding Construction Contract for Sewer Lift Station Nos. 1, 2 and 3

Improvements Project Manager Gross reported on the results of the Sewer Lift Station Nos. 1, 2, and 3 bids received and he recommended that the low bid is awarded to Trinity Construction Company in the amount of $2,791,500 and authorize the General Manager to execute the Construction Contract and approve change orders if needed. The approximate projected savings in operation and maintenance (O&M) costs were provided to the Board for their review and Manager Gross stated there will be some incentive money for energy efficiency rebates. Manager Gross reiterated concerns regarding potential Lift Station Nos. 1, 2 and 3 failures that would result in issues with the regulatory agencies. Upon motion by Director Bennett, second by Director Terry and carried by a 4 to 0 vote, a Construction Contract for the Sewer Lift Station Nos. 1, 2 and 3 Improvement Project was awarded to Trinity Construction Company in the Amount of $2,791,500, the General Manager was authorized to Execute the Construction Contract and to approve change orders for the project during the course of the project as required not to exceed 10% of the original construction contract amount, all Conditional Upon the District Receiving and Executing the Revised Finance Agreement from the State Water Board, was approved.

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The meeting was adjourned at 9:34 A.M. Respectfully Submitted, _________________________________ ___________________________________ President, Board of Directors Secretary of the Board of Directors Running Springs Water District Running Springs Water District

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3. C.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Ryan Gross, General Manager SUBJECT: RATIFY APRIL 2015 EXPENDITURES RECOMMENDED BOARD ACTION It is recommended that the Board of Directors review the attached accounts payable check register and ratify the District’s April 2015 expenditures. REASON FOR RECOMMENDATION Each month staff presents the monthly check register and recommends that the Board of Directors ratify the District’s expenditures. BACKGROUND INFORMATION Attached is a list of expenditures for April 2015. FISCAL INFORMATION Refer to attached accounts payable check register. ATTACHMENTS Attachment 1 – Accounts Payable Check Register for April 2015

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Fund Balances as of April 30, 2015

Designated Reserve Fund Fund Balance

Breathing Apparatus Equipment Replacement $76,645 Future Equipment Replacement $158,026 Workers Comp PASIS Outstanding Claims $44,313 Fire Department Operating Reserve $1,036,741 Ambulance Department Operating Reserve $185,662 Subtotal Fire & Ambulance Department Designated Reserve Funds $1,501,387 Recommended Reserve Fund Target (6 Months Operating Expenses) $975,012

Operating Reserve Surplus / (Shortfall) $247,392

Wastewater Capital Improvement Reserve $278,171 RSWD Filtration Project Loan Payment Reserve $15,987 Arrowbear Filtration Project Loan Payment Reserve $65,782 CSA 79 Filtration Project Loan Payment Reserve $10,152 Wastewater System Capacity Charges $375,945 Wastewater Operating Reserve ($511,644)Wastewater Infrastructure R&R Reserve $66,173 Subtotal Wastewater Cash Reserves $300,566 Recommended Operating Reserve Fund Target (4 Months Operating Expenses) $503,956

Operating Reserve Surplus / (Shortfall) ($1,015,600)

Ayers Acres Construction Loan Account $550,032 Water Capital Improvement Reserve $254,971 Water System Capacity Charges $55,820 Water Operating Reserve ($60,626)Water Infrastructure R&R Reserve $55,540 Subtotal Water Cash Reserves $855,736 Recommended Operating Reserve Fund Target (4 Months Operating Expenses) $543,499

Operating Reserve Surplus / (Shortfall) ($604,125)

Sewer Assessment District No. 5 Construction Funds $2,884 Sewer Assessment District No. 7 O&M $26,892 Water Assessment District No. 9 Construction Funds $62,541 Water Assessment District No. 10 Construction Funds $26,609 Water Assessment District No. 10 O&M $122,758

Subtotal Assessment Districts $241,684

Total District Designated Reserve Funds $2,657,690 Assessment District Funds $241,684 Combined Pooled Cash $2,899,374

Checking Account 1,286,026.35 LAIF $1,612,347 Petty Cash $1,000 Combined Pooled Cash $2,899,374

Fire & Ambulance Department

Wastewater Division

Water Division

Assessment Districts

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4. A.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Joan Eaton, Board Secretary/Administration Supervisor/Treasurer Ryan Gross, General Manager SUBJECT: CONSIDER ACCEPTING PROPOSAL FOR FISCAL YEAR

2014/15 FINANCIAL AUDIT SERVICES RECOMMENDATION It is recommended that the Board of Directors consider approving the attached proposal for Fiscal Year 2014/15 financial audit services. REASON FOR RECOMMENDATION To conduct the District’s Fiscal Year 2014/15 financial audit. BACKGROUND INFORMATION Van Lant & Fankhanel (VLF) has conducted the District’s last fiscal year audit. The principals of VLF have also worked on the District’s last three fiscal year audits. A copy of VLF’s proposal is attached. FISCAL INFORMATION VLF has proposed a fee of $22,500 which is the same fee as last year. ATTACHMENTS Attachment 1 – VLF Proposal

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April 20, 2015 Board of Directors Running Springs Water District 31242 Hilltop Blvd. P.O. Box 2206 Running Springs, CA 92382 We are pleased to confirm our understanding of the services we are to provide the Running Springs Water District for the year ending June 30, 2015. We will audit the financial statements of the governmental activities, business-type activities, each major fund, and the aggregate remaining fund information, including the related notes to the financial statements, which collectively comprise the basic financial statements of the Running Springs Water District as of and for the year ended June 30, 2015. Accounting standards generally accepted in the United States provide for certain required supplementary information (RSI), such as management’s discussion and analysis, to supplement the Running Springs Water District’s basic financial statements. Such information, although not a part of the basic financial statements, is required by the Governmental Accounting Standards Board who considers it to be an essential part of financial reporting for placing the basic financial statements in an appropriate operational, economic, or historical context. As part of our engagement we will apply certain limited procedures to the Running Springs Water District’s RSI in accordance with auditing standards generally accepted in the United States of America. These limited procedures will consist of inquiries of management regarding the methods of preparing the information and comparing the information for consistency with management’s responses to our inquiries, the basic financial statements, and other knowledge we obtained during our audit of the basic financial statements. We will not express an opinion or provide any assurance on the information because the limited procedures do not provide us with sufficient evidence to express an opinion or provide any assurance. The following RSI, as applicable, is required by generally accepted accounting principles and will be subjected to certain limited procedures, but will not be audited:

Management’s Discussion and Analysis

Budgetary Comparison Schedules

Supplementary OPEB Information

Supplementary information other than RSI also accompanies the basic financial statements. We will subject the following supplementary information to the auditing procedures applied in our audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other procedures in accordance with auditing standards generally accepted in the United States of America and will provide an opinion on it in relation to the financial statements as a whole:

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Schedule of Expenditures of Federal Awards

Other Supplementary Schedules

The following other information accompanying the financial statements will not be subjected to the auditing procedures applied in our audit of the financial statements, and our auditor’s report will not provide an opinion or any assurance on that other information.

Introductory Section

Audit Objectives

The objective of our audit is the expression of opinions as to whether your basic financial statements are fairly presented, in all material respects, in conformity with generally accepted accounting principles and to report on the fairness of the supplementary information referred to in the second paragraph when considered in relation to the basic financial statements taken as a whole. The objective also includes reporting on-

Internal control related to the financial statements and compliance with the provisions of applicable laws, contracts, agreements, and grants, noncompliance with which could have a material effect on the financial statements in accordance with Government Auditing Standards.

Internal control related to major programs and an opinion (or disclaimer of opinion) on compliance with laws, regulations, and the provisions of contracts or grant agreements that could have a direct and material effect on each major program in accordance with the Single Audit Act Amendments of 1996 and OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations.

The reports on internal control and compliance will each include a paragraph that states that the purpose of the report is solely to describe (1) the scope of testing of internal control over financial reporting and compliance and the result of that testing and not to provide an opinion on the effectiveness of internal control over financial reporting or on compliance, (2) the scope of testing internal control over compliance for major programs and major program compliance and the result of that testing and to provide an opinion on compliance but not to provide an opinion on the effectiveness of internal control over compliance, and (3) that the report is an integral part of an audit performed in accordance with Government Auditing Standards in considering internal control over financial reporting and compliance and OMB Circular A-133 in considering internal control over compliance and major program compliance. The paragraph will also state that the report is not suitable for any other purpose.

We will also provide a report on agreed upon procedures performed on the District’s calculation of its annual appropriations limit as required by Article XIII B of the California State Constitution. We will perform the procedures in the Article XIII B Appropriations Limit Uniform Guidelines as published by the League of California Cities. This report will include a statement that the report is intended solely for the information and use of management, Board of Directors and specific legislative or regulatory bodies and is not intended to be and should not be used by anyone other than these specified parties.

Our audit will be conducted in accordance with auditing standards generally accepted in the United States of America; the standards for financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States; the Single Audit Act Amendments of 1996; and the provisions of OMB Circular A-133, and will include tests of accounting records, a determination of major program(s) in accordance with Circular A-133, and other procedures we consider necessary to enable us to express such opinions and to render the required reports. If our opinions on the financial statements or the Single Audit compliance opinions are other than unqualified, we will fully discuss the reasons with you in advance. If, for any reason, we are unable to complete the audit or are unable to form or have not formed opinions, we may decline to express opinions or to issue a report as a result of this engagement. 25

Management Responsibilities

Management is responsible for the basic financial statements and all accompanying information as well as all representations contained therein. Management is also responsible for identifying government award programs and understanding and complying with the compliance requirements, and for preparation of the schedule of expenditures of federal awards in accordance with the requirements of OMB Circular A-133. As part of the audit, we will assist with the preparation of your financial statements, schedule of expenditures of federal awards, and related notes. You are responsible for making all management decisions and performing all management functions relating to the financial statements, schedule of expenditures of federal awards, and related notes and for accepting full responsibility for such decisions. You will be required to acknowledge in the management representation letter our assistance with preparation of the financial statements and the schedule of expenditures of federal awards and that you have reviewed and approved the financial statements, schedule of expenditures of federal awards, and related notes prior to their issuance and have accepted responsibility for them. Further, you are required to designate an individual with suitable skill, knowledge, or experience to oversee any nonaudit services we provide and for evaluating the adequacy and results of those services and accepting responsibility for them.

Management is responsible for establishing and maintaining effective internal controls, including internal controls over compliance, and for evaluating and monitoring ongoing activities, to help ensure that appropriate goals and objectives are met and that there is reasonable assurance that government programs are administered in compliance with compliance requirements. You are also responsible for the selection and application of accounting principles; for the fair presentation in the financial statements of the respective financial position of the governmental activities, the business-type activities, each major fund, and the aggregate remaining fund information of the Running Springs Water District and the respective changes in financial position and, where applicable, cash flows in conformity with U.S. generally accepted accounting principles; and for compliance with applicable laws and regulations and the provisions of contracts and grant agreements.

Management is also responsible for making all financial records and related information available to us and for ensuring that management and financial information is reliable and properly recorded. You are also responsible for providing us with (1) access to all information of which you are aware that is relevant to the preparation and fair presentation of the financial statements, (2) additional information that we may request for the purpose of the audit, and (3) unrestricted access to persons within the government from whom we determine it necessary to obtain audit evidence.

Your responsibilities also include identifying significant vendor relationships in which the vendor has responsibility for program compliance and for the accuracy and completeness of that information. Your responsibilities include adjusting the financial statements to correct material misstatements and confirming to us in the representation letter that the effects of any uncorrected misstatements aggregated by us during the current engagement and pertaining to the latest period presented are immaterial, both individually and in the aggregate, to the financial statements taken as a whole.

You are responsible for the design and implementation of programs and controls to prevent and detect fraud, and for informing us about all known or suspected fraud or illegal acts affecting the government involving (1) management, (2) employees who have significant roles in internal control, and (3) others where the fraud or illegal acts could have a material effect on the financial statements. Your responsibilities include informing us of your knowledge of any allegations of fraud or suspected fraud affecting the government received in communications from employees, former employees, grantors, regulators, or others. In addition, you are responsible for identifying and ensuring that the District complies with applicable laws, regulations, contracts, agreements, and grants. Additionally, as required by OMB Circular A-133, it is management’s responsibility to follow up and take corrective action on reported audit findings and to prepare a summary schedule of prior audit findings and a corrective action plan.

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The summary schedule of prior audit findings should be available for our review during interim fieldwork.

You are responsible for the preparation of the supplementary information in conformity with U.S. generally accepted accounting principles. You agree to include our report on the supplementary information in any document that contains and indicates that we have reported on the supplementary information. You also agree to present certain supplementary information with the audited financial statements or make the audited financial statements readily available to users of the other supplementary information no later than the date the supplementary information is used with our report thereon.

Management is responsible for establishing and maintaining a process for tracking the status of audit findings and recommendations. Management is also responsible for identifying for us previous financial audits, attestation engagements, performance audits, or other studies related to the objectives discussed in the Audit Objectives section of this letter. This responsibility includes relaying to us corrective actions taken to address significant findings and recommendations resulting from those audits, attestation engagements, performance audits, or studies. You are responsible for providing management’s views on our current findings, conclusions, and recommendations, as well as your planned corrective actions, for the report, and for the timing and format for providing that information.

With regard to the electronic dissemination of audited financial statements, including financial statements published electronically on your website, you understand that electronic sites are a means to distribute information and, therefore, we are not required to read the information contained in these sites or to consider the consistency of other information in the electronic site with the original document.

Audit Procedures - General

An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; therefore, our audit will involve judgment about the number of transactions to be examined and the areas to be tested. We will plan and perform the audit to obtain reasonable rather than absolute assurance about whether the financial statements are free of material misstatement, whether from (1) errors, (2) fraudulent financial reporting, (3) misappropriation of assets, or (4) violations of laws or governmental regulations that are attributable to the entity or to acts by management or employees acting on behalf of the entity. Because the determination of abuse is subjective, Government Auditing Standards do not expect auditors to provide reasonable assurance of detecting abuse.

Because of the inherent limitations of an audit, combined with the inherent limitations of internal control, and because we will not perform a detailed examination of all transactions, there is a risk that material misstatements or noncompliance may exist and not be detected by us, even though the audit is properly planned and performed in accordance with U.S. generally accepted auditing standards and Government Auditing Standards. In addition, an audit is not designed to detect immaterial misstatements or violations of laws or governmental regulations that do not have a direct and material effect on the financial statements or major programs. However, we will inform the appropriate level of management of any material errors, any fraudulent financial reporting, or misappropriation of assets that come to our attention. We will also inform the appropriate level of management of any violations of laws or governmental regulations that come to our attention, unless clearly inconsequential, and of any material abuse that comes to our attention. We will include such matters in the reports required for a Single Audit. Our responsibility as auditors is limited to the period covered by our audit and does not extend to any later periods for which we are not engaged as auditors.

Our procedures will include tests of documentary evidence supporting the transactions recorded in the accounts, and may include tests of the physical existence of inventories, and direct confirmation of receivables and certain other assets and liabilities by correspondence with selected individuals, funding sources, creditors, and financial institutions. We will request written representations from your attorneys as part of the engagement, and they may bill you for

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responding to this inquiry. At the conclusion of our audit, we will also require certain written representations from you about the financial statements and related matters.

Audit Procedures - Internal Controls

Our audit will include obtaining an understanding of the entity and its environment, including internal control, sufficient to assess the risks of material misstatement of the financial statements and to design the nature, timing, and extent of further audit procedures. Tests of controls may be performed to test the effectiveness of certain controls that we consider relevant to preventing and detecting errors and fraud that are material to the financial statements and to preventing and detecting misstatements resulting from illegal acts and other noncompliance matters that have a direct and material effect on the financial statements. Our tests, if performed, will be less in scope than would be necessary to render an opinion on internal control and, accordingly, no opinion will be expressed in our report on internal control issued pursuant to Government Auditing Standards.

As required by OMB Circular A-133, we will perform tests of controls over compliance to evaluate the effectiveness of the design and operation of controls that we consider relevant to preventing or detecting material noncompliance with compliance requirements applicable to each major federal award program. However, our tests will be less in scope than would be necessary to render an opinion on those controls and, accordingly, no opinion will be expressed in our report on internal control issued pursuant to OMB Circular A-133.

An audit is not designed to provide assurance on internal control or to identify significant deficiencies. However, during the audit, we will communicate to management and those charged with governance internal control related matters that are required to be communicated under professional standards, Government Auditing Standards, and OMB Circular A-133.

Audit Procedures – Compliance

As part of obtaining reasonable assurance about whether the financial statements are free of material misstatement, we will perform tests of the Running Springs Water District’s compliance with applicable laws and regulations and the provisions of contracts and agreements, including grant agreements. However, the objective of those procedures will not be to provide an opinion on overall compliance and we will not express such an opinion in our report on compliance issued pursuant to Government Auditing Standards.

OMB Circular A-133 requires that we also plan and perform the audit to obtain reasonable assurance about whether the auditee has complied with applicable laws and regulations and the provisions of contracts and grant agreements applicable to major programs. Our procedures will consist of tests of transactions and other applicable procedures described in the OMB Circular A-133 Compliance Supplement and related addenda for the types of compliance requirements that could have a direct and material effect on each of the Running Springs Water District’s major programs. The purpose of these procedures will be to express an opinion on the Running Springs Water District’s compliance with requirements applicable to each of its major programs in our report on compliance issued pursuant to OMB Circular A-133.

Engagement Administration, Fees, and Other

We understand that your employees will prepare all cash, accounts receivable, or other confirmations we request and will locate any documents selected by us for testing.

At the conclusion of the engagement, we will complete the appropriate sections of the Data Collection Form that summarizes our audit findings. It is management’s responsibility to submit the reporting package (including financial statements, schedule of expenditures of federal awards, summary schedule of prior audit findings, auditors’ reports, and corrective action plan) along with the Data Collection Form to the federal audit clearinghouse and, if appropriate, to pass-through entities. If applicable, we will provide copies of our report for you to include with the reporting package you will submit to pass-through entities. The Data Collection Form and the reporting package must be submitted within the earlier of 30 days after receipt of the auditors’ reports or nine months after the end of the audit period, unless a longer period is agreed to in advance by the cognizant or oversight agency for audits. At the conclusion of the 28

engagement, we will provide information to management as to where the reporting packages should be submitted and the number to submit.

The audit documentation for this engagement is the property of Van Lant & Fankhanel, LLP and constitutes confidential information. However, pursuant to authority given by law or regulation, we may be requested to make certain audit documentation available to federal cognizant and grantor agencies, or its designee, a federal agency providing direct or indirect funding, or the U.S. Government Accountability Office for purposes of a quality review of the audit, to resolve audit findings, or to carry out oversight responsibilities. We will notify you of any such request. If requested, access to such audit documentation will be provided under the supervision of our firm. Furthermore, upon request, we may provide copies of selected audit documentation to the aforementioned parties. These parties may intend, or decide, to distribute the copies or information contained therein to others, including other governmental agencies.

The audit documentation for this engagement will be retained for a minimum of five years after the report release or for any additional period requested by the federal cognizant and grantor agencies. If we are aware that a federal awarding agency, pass-through entity, or auditee is contesting an audit finding, we will contact the party(ies) contesting the audit finding for guidance prior to destroying the audit documentation.

We expect to begin our audit in May/June/July of 2015 and to issue our reports no later than November of 2015. Our fee for these services will be $22,500, plus an additional fee of $2,500 if a Single Audit is required (same as prior year). These fees are based on the current audit scope, and the assumption the single audit will include no more than one major program. The above fee is based on anticipated cooperation from your personnel and the assumption that unexpected circumstances will not be encountered during the audit. If significant additional time is necessary, we will discuss it with you and arrive at a new fee estimate before we incur the additional costs. Our invoices for these services will be rendered as work progresses and are payable on presentation. In accordance with firm policies, work may be suspended if your account becomes 30 days or more overdue and may not be resumed until your account is paid in full. If we elect to terminate our services for nonpayment, our engagement will be deemed to have been completed upon written notification of termination, even if we have not completed our reports. You will be obligated to compensate us for all time expended and to reimburse us for all out-of-pocket costs through the date of termination.

We appreciate the opportunity to be of service to the Running Springs Water District and believe this letter accurately summarizes the significant terms of our engagement. If you have any questions, please let us know. If you agree with the terms of our engagement as described in this letter, please sign a copy of the letter (below) and return it to us.

Very truly yours,

Van Lant & Fankhanel, LLP

Greg W. Fankhanel, CPA, CFE

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Response: This letter correctly sets forth the understanding of the Running Springs Water District. Signature: Title: Date:

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4. B.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Joan C. Eaton, Board Secretary/Administration Supervisor/Treasurer Ryan Gross, General Manager SUBJECT: CONSIDER AUTHORIZING ADDITIONAL BUDGET FOR

FISCAL YEAR 2014/2015 AND APPROVING FISCAL YEAR 2015/2016 CONTRACT FOR FINANCIAL CONSULTING SERVICES WITH ROGERS, ANDERSON, MALODY AND SCOTT

RECOMMENDED BOARD ACTION It is recommended that the Board of Directors consider approving an increase to the amount of the Financial Consulting Professional Services Contract with Rogers, Anderson, Malody and Scott (RAMS) from $50,000 to $54,500 for Fiscal Year 2014/2015. It is also recommended that the Board of Directors consider approving a Professional Services Contract for Fiscal Year 2015/2016 Financial Consulting Services in an amount not to exceed $50,000 and authorize the General Manager to execute the contract. REASON FOR RECOMMENDATION The District has the continued need for Financial Consulting Services to assist staff in following consistent and accurate accounting practices and with preparing for the District’s annual financial audit and other financial and accounting matters. Fiscal Year 2014/2015 was the first year for our new Financial Consultant and the transition required further attention in addition to assistance with projects outside the scope of services that include, but are not limited to, the Paychex Conversion, Separation of Fund Balances and Budget Planning. BACKGROUUND INFORMATION The Board of Directors approved the Fiscal Year 2014/2015 RAMS Financial Consulting Professional Services Contract and Engagement Letter dated May 22, 2014 not to exceed $50,000 with written approval of District’s General Manager. FISCAL INFORMATION Per the February 28, 2015 invoice, there was $6.32 remaining on the RAMS Financial Services Contract with three (3) months left in the 2014/2015 Fiscal Year. The projected

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4. B.

expense is approximately $1,000 - $1,500 per month for the remainder of the 2014/2015 Fiscal Year and the standard rates for Financial Consulting Services are $90-$250 depending on staff level. If approved, the additional $4,500 will be split between the Water, Wastewater and Fire/Ambulance Divisions. The Fiscal Year 2015/2016 with RAMS is a not to exceed amount of $50,000. ATTACHMENTS Attachment 1 – Professional Services Contract

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RUNNING SPRINGS WATER DISTRICT PROFESSIONAL SERVICES CONTRACT

1. PARTIES AND DATE.

This Contract is made and entered into this 27th day of May, 2015, by andbetween the Running Springs Water District, an independent special district with its principal place of business at Running Springs, California (“DISTRICT”) and Rogers, Anderson, Malody and Scott (RAMS), with its principal place of business at San Bernardino, California (“Consultant”). District and Consultant are sometimes individually referred to as “Party” and collectively as “Parties.”

2. RECITALS.

2.1 Consultant.

Consultant desires to perform and assume responsibility for the provision ofcertain professional services required by the District on the terms and conditions set forth in this Contract. Consultant represents that it is experienced in providing services as a Financial Consultant, is licensed in the State of California, and is familiar with the plans of District.

2.2 Project.

District desires to engage Consultant to render professional services for as-needed financial consulting services.

3. TERMS.

3.1 Scope of Services and Term.

3.1.1 General Scope of Services. Consultant promises and agrees to furnish to the District all labor, materials, tools, equipment, services, and incidental and customary work necessary to fully and adequately supply consulting services necessary for the Project (“Services”). The Services are for as-needed financial consulting (Refer to Consultants Proposal Dated May 5, 2015). All Services shall be subject to, and performed in accordance with, this Contract and all applicable local, state and federal laws, rules and regulations.

3.1.2 Term. The term of this Contract shall be from the date this contract is fully executed to the completion of the project, unless earlier terminated as provided herein. Consultant shall complete the Services within the term of this Contract, and shall meet any other established schedules and deadlines.

ATTACHMENT 1

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3.2 Responsibilities of Consultant.

3.2.1 Control and Payment of Subordinates; Independent Contractor. The Services shall be performed by Consultant or under its supervision. Consultant will determine the means, methods and details of performing the Services subject to the requirements of this Contract. District retains Consultant on an independent contractor basis and not as an employee. Consultant retains the right to perform similar or different services for others during the term of this Contract. Any additional personnel performing the Services under this Contract on behalf of Consultant shall also not be employees of District and shall at all times be under Consultant’s exclusive direction and control. Consultant shall pay all wages, salaries, and other amounts due such personnel in connection with their performance of Services under this Contract and as required by law. Consultant shall be responsible for all reports and obligations respecting such additional personnel, including, but not limited to: social security taxes, income tax withholding, unemployment insurance, disability insurance, and workers’ compensation insurance.

3.2.2 Schedule of Services. Consultant shall perform the Services expeditiously, within the term of this Contract. Consultant represents that it has the professional and technical personnel required to perform the Services in conformance with such conditions. In order to facilitate Consultant’s conformance with the Schedule, District shall respond to Consultant’s submittals in a timely manner. Upon request of District, Consultant shall provide a more detailed schedule of anticipated performance to meet the Schedule of Services.

3.2.3 Conformance to Applicable Requirements. All work prepared by Consultant shall be subject to the approval of District.

3.2.4 Substitution of Key Personnel. Consultant has represented to District that certain key personnel will perform and coordinate the Services under this Contract. Should one or more of such personnel become unavailable, Consultant may substitute other personnel of at least equal competence upon written approval of District. In the event that District and Consultant cannot agree as to the substitution of key personnel, District shall be entitled to terminate this Contract for cause. As discussed below, any personnel who fail or refuse to perform the Services in a manner acceptable to the District, or who are determined by the District to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property, shall be promptly removed from the Project by the Consultant at the request of the District.

3.2.5 District’s Representative. The District hereby designates the General Manager, or his or her designee, to act as its representative for the performance of this Contract (“District’s Representative”). District’s Representative shall have the power to act on behalf of the District for all purposes under this Contract. Consultant shall not accept direction or orders from any person other than the District’s Representative or his or her designee.

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3.2.6 Consultant’s Representative. Consultant hereby designates Scott Manno, or his or her designee, to act as its representative for the performance of this Contract (“Consultant’s Representative”). Consultant’s Representative shall have full authority to represent and act on behalf of the Consultant for all purposes under this Contract. The Consultant’s Representative shall supervise and direct the Services, using his best skill and attention, and shall be responsible for all means, methods, techniques, sequences and procedures and for the satisfactory coordination of all portions of the Services under this Contract.

3.2.7 Coordination of Services. Consultant agrees to work closely with District staff in the performance of Services and shall be available to District’s staff, consultants and other staff at all reasonable times.

3.2.8 Standard of Care; Performance of Employees. Consultant shall perform all Services under this Contract in a skillful and competent manner, consistent with the standards generally recognized as being employed by professionals in the same discipline in the State of California. Consultant represents and maintains that it is skilled in the professional calling necessary to perform the Services. Consultant warrants that all employees and subcontractors shall have sufficient skill and experience to perform the Services assigned to them. Finally, Consultant represents that it, its employees and subcontractors have all licenses, permits, qualifications and approvals of whatever nature that are legally required to perform the Services, including a District Business License, and that such licenses and approvals shall be maintained throughout the term of this Contract. As provided for in the indemnification provisions of this Contract, Consultant shall perform, at its own cost and expense and without reimbursement from the District, any services necessary to correct errors or omissions which are caused by the Consultant’s failure to comply with the standard of care provided for herein. Any employee of the Consultant or its sub-consultants who is determined by the District to be uncooperative, incompetent, a threat to the adequate or timely completion of the Project, a threat to the safety of persons or property, or any employee who fails or refuses to perform the Services in a manner acceptable to the District, shall be promptly removed from the Project by the Consultant and shall not be re-employed to perform any of the Services or to work on the Project.

3.2.9 Laws and Regulations. Consultant shall keep itself fully informed of and in compliance with all local, state and federal laws, rules and regulations in any manner affecting the performance of the Project or the Services, including all Cal/OSHA requirements, and shall give all notices required by law. Consultant shall be liable for all violations of such laws and regulations in connection with Services. If the Consultant performs any work knowing it to be contrary to such laws, rules and regulations and without giving written notice to the District, Consultant shall be solely responsible for all costs arising there from. Consultant shall defend, indemnify and hold District, its officials, directors, officers, employees and agents free and harmless, pursuant to the indemnification provisions of this Contract, from any claim or liability arising out of any failure or alleged failure to comply with such laws, rules or regulations.

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3.2.10 Insurance.

3.2.10.1 Time for Compliance. Consultant shall not commence the Services under this Contract until it has provided evidence satisfactory to the District that it has secured all insurance required under this section. In addition, Consultant shall not allow any subcontractor to commence work on any subcontract until it has provided evidence satisfactory to the District that the subcontractor has secured all insurance required under this section.

3.2.10.2 Minimum Requirements. Consultant shall, at its expense, procure and maintain for the duration of the Contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the Contract by the Consultant, its agents, representatives, employees or subcontractors. Consultant shall also require all of its subcontractors to procure and maintain the same insurance for the duration of the Contract. Such insurance shall meet at least the following minimum levels of coverage:

(A) Minimum Scope of Insurance. Coverage shall be at least as broad as the latest version of the following: (1) General Liability: Insurance Services Office Commercial General Liability coverage (occurrence form CG 0001); (2) Automobile Liability: Insurance Services Office Business Auto Coverage form number CA 0001, code 1 (any auto); and (3) Workers’ Compensation and Employer’s Liability: Workers’ Compensation insurance as required by the State of California and Employer’s Liability Insurance.

(B) Minimum Limits of Insurance. Consultant shall maintain limits of: (1) General Liability: $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability Insurance or other form with general aggregate limit is used, either the general aggregate limit shall apply separately to this Contract/location or the general aggregate limit shall be twice the required occurrence limit; (2) Automobile Liability: $1,000,000 per accident for bodily injury and property damage; and (3) Workers’ Compensation and Employer’s Liability: Workers’ Compensation limits as required by the Labor Code of the State of California. Employer’s Liability limits of $1,000,000 per accident for bodily injury or disease.

3.2.10.3 Professional Liability. Consultant shall procure and maintain, and require its sub-consultants to procure and maintain, for a period of three (3) years following completion of the Services, errors and omissions liability insurance appropriate to their profession. Such insurance shall be in an amount of $1,000,000 per claim and aggregate.

3.2.10.4 Insurance Endorsements. The insurance policies shall contain the following provisions, or Consultant shall provide endorsements on forms supplied or approved by the District to add the following provisions to the insurance policies:

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(A) General Liability. The general liability policy shall be endorsed to state that: (1) the District, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the Services or operations performed by or on behalf of the Consultant, including materials, parts or equipment furnished in connection with such work; and (2) the insurance coverage shall be primary insurance as respects the District, its directors, officials, officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant’s scheduled underlying coverage. Any insurance or self-insurance maintained by the District, its directors, officials, officers, employees, agents and volunteers shall be excess of the Consultant’s insurance and shall not be called upon to contribute with it in any way.

(B) Automobile Liability. The automobile liability policy shall be endorsed to state that: (1) the District, its directors, officials, officers, employees, agents and volunteers shall be covered as additional insureds with respect to the ownership, operation, maintenance, use, loading or unloading of any auto owned, leased, hired or borrowed by the Consultant or for which the Consultant is responsible; and (2) the insurance coverage shall be primary insurance as respects the District, its directors, officials, officers, employees, agents and volunteers, or if excess, shall stand in an unbroken chain of coverage excess of the Consultant’s scheduled underlying coverage. Any insurance or self-insurance maintained by the District, its directors, officials, officers, employees, agents and volunteers shall be excess of the Consultant’s insurance and shall not be called upon to contribute with it in any way.

(C) Workers’ Compensation and Employers Liability Coverage. The insurer shall agree to waive all rights of subrogation against the District, its directors, officials, officers, employees, agents and volunteers for losses paid under the terms of the insurance policy which arise from work performed by the Consultant.

(D) All Coverages. Each insurance policy required by this Contract shall be endorsed to state that: (A) coverage shall not be suspended, voided, reduced in contract limits or canceled except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to the District; and (B) any failure to comply with reporting or other provisions of the policies, including breaches of warranties, shall not affect coverage provided to the District, its directors, officials, officers, employees, agents and volunteers.

3.2.10.5 Separation of Insureds; No Special Limitations. All insurance required by this Section shall contain standard separation of insureds provisions. In addition, such insurance shall not contain any special limitations on the scope of protection afforded to the DISTRICT, its directors, officials, officers, employees, agents and volunteers.

3.2.10.6 Deductibles and Self-Insurance Retentions. Any deductibles or self-insured retentions must be declared to and approved by the District.

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3.2.10.7 Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M. Best’s rating no less than A:VII, licensed to do business in California, and satisfactory to the District.

3.2.10.8 Verification of Coverage. Consultant shall furnish District with original certificates of insurance and endorsements (blanket endorsements acceptable) effecting coverage required by this Contract on forms satisfactory to the District. The certificates and endorsements for each insurance policy shall be signed by a person authorized by that insurer to bind coverage on its behalf, and shall be on forms provided by the District if requested. All certificates and endorsements must be received and approved by the District before work commences. The District reserves the right to review complete, certified copies of all required insurance policies, at any time.

3.2.10.9 Claims-Made Form. If General Liability, Pollution and/or Asbestos Pollution Liability and/or Errors & Omissions coverage are written on a claims-made form:

3.2.10.9.1 The “Retro Date” must be shown, and must be before the date of the contract or the beginning of contract work.

3.2.10.9.2 Insurance must be maintained and evidence of insurance must be provided for at least three (3) years after completion of the contract of work.

3.2.10.9.3 If coverage is canceled or non-renewed, and not replaced with another claims-made policy form with a “Retro Date” prior to the contract effective date, the Contractor must purchase “extended reporting” coverage for a minimum of three (3) years after completion of contract work.

3.2.10.9.4 A copy of the claims reporting requirements must be submitted to the Entity for review.

3.2.11 Safety. Consultant shall execute and maintain its work so as to avoid injury or damage to any person or property. In carrying out its Services, the Consultant shall at all times be in compliance with all applicable local, state and federal laws, rules and regulations, and shall exercise all necessary precautions for the safety of employees appropriate to the nature of the work and the conditions under which the work is to be performed. Safety precautions as applicable shall include, but shall not be limited to: (A) adequate life protection and life saving equipment and procedures; (B) instructions in accident prevention for all employees and subcontractors, such as safe walkways, scaffolds, fall protection ladders, bridges, gang planks, confined space procedures, trenching and shoring, equipment and other safety devices, equipment and wearing apparel as are necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for the proper inspection and maintenance of all safety measures.

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3.3 Fees and Payments.

3.3.1 Compensation. Consultant shall receive compensation, including authorized reimbursements, for all Services rendered under this Contract. The total compensation shall not exceed FIFTY THOUSAND dollars ($50,000) without written approval of District’s General Manager. Extra Work may be authorized, as described below; and if authorized, said Extra Work will be compensated at the rates and manner set forth in this Contract.

3.3.2 Payment of Compensation. Consultant shall submit to District a monthly itemized statement which indicates work completed and hours of Services rendered by Consultant. The statement shall describe the amount of Services and supplies provided since the initial commencement date, or since the start of the subsequent billing periods, as appropriate, through the date of the statement. District shall, within 45 days of receiving such statement, review the statement and pay all approved charges thereon.

3.3.3 Reimbursement for Expenses. Consultant shall not be reimbursed for any expenses unless authorized in writing by District.

3.3.4 Extra Work. At any time during the term of this Contract, District may request that Consultant perform Extra Work. As used herein, “Extra Work” means any work which is determined by District to be necessary for the proper completion of the Project, but which the Parties did not reasonably anticipate would be necessary at the execution of this Contract. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from District’s Representative.

3.4 Accounting Records.

3.4.1 Maintenance and Inspection. Consultant shall maintain complete and accurate records with respect to all costs and expenses incurred under this Contract. All such records shall be clearly identifiable. Consultant shall allow a representative of District during normal business hours to examine, audit, and make transcripts or copies of such records and any other documents created pursuant to this Contract. Consultant shall allow inspection of all work, data, documents, proceedings, and activities related to the Contract for a period of three (3) years from the date of final payment under this Contract.

3.5 General Provisions.

3.5.1 Termination of Contract.

3.5.1.1 Grounds for Termination. District may, by written notice to Consultant, terminate the whole or any part of this Contract at any time and without cause by giving written notice to Consultant of such termination, and specifying the effective date thereof, at least seven (7) days before the effective date of such termination. Upon termination, Consultant shall be compensated only for those services

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which have been adequately rendered to District, and Consultant shall be entitled to no further compensation. Consultant may not terminate this Contract except for cause.

3.5.1.2 Effect of Termination. If this Contract is terminated as provided herein, District may require Consultant to provide all finished or unfinished Documents and Data and other information of any kind prepared by Consultant in connection with the performance of Services under this Contract. Consultant shall be required to provide such documents and other information within fifteen (15) days of the request.

3.5.1.3 Additional Services. In the event this Contract is terminated in whole or in part as provided herein, District may procure, upon such terms and in such manner as it may determine appropriate, services similar to those terminated.

3.5.2 Delivery of Notices. All notices permitted or required under this Contract shall be given to the respective Parties at the following address, or at such other address as the respective parties may provide in writing for this purpose:

Consultant: Scott W. Manno

RAMS

735 E. Carnegie Drive, Suite 100

San Bernardino, CA 92408

Direct: (909) 889-0871

Fax: (909) 889-5361

Email: [email protected]

District: Ryan Gross, General Manager

PO Box 2206, 31242 Hilltop Blvd.

Running Springs, CA 92382

Phone: 909.867.2766

Cell: 909.938.8061

Fax: 909.867.2828

Email: [email protected]

Such notice shall be deemed made when personally delivered or

when mailed, forty-eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to the Party at its applicable address. Actual notice shall be deemed adequate notice on the date actual notice occurred, regardless of the method of service.

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3.5.3 Ownership of Materials and Confidentiality.

3.5.3.1 Documents & Data; Licensing of Intellectual Property. This Contract creates a non-exclusive and perpetual license for District to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Contract (“Documents & Data”). Consultant shall require all subcontractors to agree in writing that District is granted a non-exclusive and perpetual license for any Documents & Data the subcontractor prepares under this Contract. Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the District. District shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Contract shall be at District’s sole risk.

3.5.3.2 Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents and Data either created by or provided to Consultant in connection with the performance of this Contract shall be held confidential by Consultant. Such materials shall not, without the prior written consent of District, be used by Consultant for any purposes other than the performance of the Services. Nor shall such materials be disclosed to any person or entity not connected with the performance of the Services or the Project. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use District’s name or insignia, photographs of the Project, or any publicity pertaining to the Services or the Project in any magazine, trade paper, newspaper, television or radio production or other similar medium without the prior written consent of District.

3.5.4 Cooperation; Further Acts. The Parties shall fully cooperate with one another, and shall take any additional acts or sign any additional documents as may be necessary, appropriate or convenient to attain the purposes of this Contract.

3.5.5 Attorney’s Fees. If either Party commences an action against the other Party, either legal, administrative or otherwise, arising out of or in connection with this Contract, the prevailing party in such litigation shall be entitled to have and recover from the losing party reasonable attorney’s fees and all other costs of such action.

3.5.6 Indemnification. Consultant shall defend, indemnify and hold the District, its officials, officers, employees, volunteers and agents free and harmless from any and all claims, demands, causes of action, costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons, including wrongful death, in any manner to the proportionate extent arising out of or incident to any alleged negligent

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acts, omissions or willful misconduct of Consultant, its officials, officers, employees, agents, consultants and contractors arising out of or in connection with the performance of the Services, the Project or this Contract. To the extent of Consultant's negligence, Consultant shall pay and satisfy its share of any judgment, award or decree that may be rendered against District or its directors, officials, officers, employees, agents or volunteers, in any such suit, action or other legal proceeding. Consultant shall reimburse District and its directors, officials, officers, employees, agents and/or volunteers, its share of legal expenses and costs incurred by each of them in connection therewith or in enforcing the indemnity herein provided. Consultant’s obligation to indemnify shall not be restricted to insurance proceeds, if any, received by the District, its directors, officials, officers, employees, agents or volunteers.

3.5.7 Entire Contract. This Contract contains the entire Contract of the Parties with respect to the subject matter hereof, and supersedes all prior negotiations, understandings or Agreements. This Contract may only be modified by a writing signed by both Parties.

3.5.8 Governing Law. This Contract shall be governed by the laws of the State of California. Venue shall be in San Bernardino County.

3.5.9 Time of Essence. Time is of the essence for each and every provision of this Contract.

3.5.10 District’s Right to Employ Other Consultants. District reserves right to employ other consultants in connection with this Project.

3.5.11 Successors and Assigns. This Contract shall be binding on the successors and assigns of the Parties.

3.5.12 Assignment or Transfer. Consultant shall not assign, hypothecate, or transfer, either directly or by operation of law, this Contract or any interest herein without the prior written consent of the District. Any attempt to do so shall be null and void, and any assignees, hypothecates or transferees shall acquire no right or interest by reason of such attempted assignment, hypothecation or transfer.

3.5.13 Construction; References; Captions. Since the Parties or their agents have participated fully in the preparation of this Contract, the language of this Contract shall be construed simply, according to its fair meaning, and not strictly for or against any Party. Any term referencing time, days or period for performance shall be deemed calendar days and not work days. All references to Consultant include all personnel, employees, agents, and subcontractors of Consultant, except as otherwise specified in this Contract. All references to District include its elected officials, officers, employees, agents, and volunteers except as otherwise specified in this Contract. The captions of the various articles and paragraphs are for convenience and ease of reference only, and do not define, limit, augment, or describe the scope, content, or intent of this Contract.

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3.5.14 Amendment; Modification. No supplement, modification, or amendment of this Contract shall be binding unless executed in writing and signed by both Parties.

3.5.15 Waiver. No waiver of any default shall constitute a waiver of any other default or breach, whether of the same or other covenant or condition. No waiver, benefit, privilege, or service voluntarily given or performed by a Party shall give the other Party any contractual rights by custom, estoppel, or otherwise.

3.5.16 No Third Party Beneficiaries. There are no intended third party beneficiaries of any right or obligation assumed by the Parties.

3.5.17 Invalidity; Severability. If any portion of this Contract is declared invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions shall continue in full force and effect.

3.5.18 Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Contract. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Contract. For breach or violation of this warranty, District shall have the right to rescind this Contract without liability. For the term of this Contract, no member, officer or employee of District, during the term of his or her service with District, shall have any direct interest in this Contract, or obtain any present or anticipated material benefit arising therefrom.

3.5.19 Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not discriminate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of any District’s Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted.

3.5.20 Labor Certification. By its signature hereunder, Consultant certifies that it is aware of the provisions of Section 3700 of the California Labor Code which require every employer to be insured against liability for Workers’ Compensation or to undertake self-insurance in accordance with the provisions of that Code, and agrees to comply with such provisions before commencing the performance of the Services.

3.5.21 Authority to Enter Contract. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Contract.

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Each Party warrants that the individuals who have signed this Contract have the legal power, right, and authority to make this Contract and bind each respective Party.

3.5.22 Counterparts. This Contract may be signed in counterparts, each of which shall constitute an original.

3.6 Subcontracting.

3.6.1 Prior Approval Required. Consultant shall not subcontract any portion of the work required by this Contract, except as expressly stated herein, without prior written approval of District. Subcontracts, if any, shall contain a provision making them subject to all provisions stipulated in this Contract.

Running Springs Water District Rogers, Anderson, Malody & Scott, LLP

By: By: __________________________

Ryan Gross Scott W. Manno General Manager Partner

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13

EXHIBIT “A”

SCOPE OF SERVICES

REFER TO:

Consultant’s Proposal dated May 5, 2015

45

4. C.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Randy Bobroff, Water Division Supervisor Ryan Gross, General Manager SUBJECT: CONSIDER AWARDING CONTRACT FOR WATER STORAGE

TANK INSPECTION AND CLEANING RECOMMENDED BOARD ACTION It is recommended that the Board of Directors: 1. Award a cleaning and inspection contract for four water storage tanks within the

district to Aquatic Inspections, Inc. for their proposal of $6,500; 2. Authorize the General Manager to execute the contract, and; 3. Authorize the General Manager to approve change orders for the Project during

the course of Cleaning and inspection as required not to exceed 15% of the original contract amount.

REASON FOR RECOMMENDATION The American Water Works Association (AWWA) recommends the inspection of water storage facilities every three years. The State Water Resources Control Boards Division of Drinking Water (DDW) recommends you follow the guidelines set forth by AWWA. BACKGROUND INFORMATION The District makes an attempt to have at least two or more tanks a year routinely inspected. Currently scheduled is the cleaning and inspection of the Rowco Tank #1 and the Nordic Tank #2 during the first week of June 2015, then we will schedule the Nordic Tank #1 and the Nob Hill 133,000 gallon tank for cleaning and inspection in September 2015. It is the goal of the District staff to minimize change orders but as the need for contract change orders arises during the course of a project, there is typically not enough time to stop the progress of the work to obtain Board approval of each change order. Authorizing the General Manager to approve change orders as needed not to exceed 15% of the original contract value will allow for the project to progress without delays caused by the District.

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4. C.

FISCAL INFORMATION If approved, the funding source for this contract would be from account #50330 which has a budgeted amount of $4,500 FY 2014-15 and $4,500 FY 2015-16 for the additional tanks in September 2015. Additional costs for each site may apply for under water aquatic epoxy repairs if discovered during the inspections. ATTACHMENTS Attachment 1 – Aquatic Inspections, Inc. proposal

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INSPECTION/CLEANING PROPOSAL AQUATIC INSPECTIONS, INC.

1042 N. El Camino Real Ste. B184 Encinitas, CA 92024 (760)753-4812

[email protected]

Proposal Submitted To: Running Springs Water District April 25, 2015 31242 Hilltop Blvd. Running Springs, CA 92382 (909)867-2766

Facility Description and Location: Nordic Tank #2 – .2MG welded steel potable water storage facility ROWCO Tank #1 - .1MG bolted steel potable water storage facility Both tanks are located in Running Springs, California.

AQUATIC INSPECTIONS, INC. hereby submits the following proposal subject to the conditions which follow:

We will conduct thorough inspections of the exterior and interior (above and below the waterline) of two potable water storage facilities. We will document the condition of all appurtenances, interior coatings, coating defects, corrosion, pitting, columns, roof structures, sediment levels etc. The RSWD will be supplied with two (2) detailed book bound reports documenting the condition of the two facilities. At the conclusion of the inspections we will wet clean all loose sediment and debris from the floor of the two potable water storage facilities. The RSWD will also be supplied with two (2) edited, narrated DVDS documenting the wet cleaning/inspections. The DVDS will document the divers are not disturbing the sediment during the cleaning and will also document the condition of the coating on the floor of the two facilities after the removal of all sediment. If necessary all work can be conducted with the tanks in service. All diving will be conducted as per AWWA C652 and Federal OSHA Commercial Diving Regulations (a minimum of a three man dive team will be utilized). Liability and Workers Compensation Certificates will be provided upon request. *

WE HEREBY PROPOSE to furnish all labor and materials complete in accordance with the above specifications, for the sum of:

Total cost for this project: Three Thousand Two Hundred Fifty Dollars ($3,250.00) ** This proposal is valid for sixty days. All services provided by Aquatic Inspections, Inc. are guaranteed.

ATTACHMENT 1

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Page Two Aquatic Inspections, Inc. RSWD Inspection/Cleaning Proposal 2015 * The Running Springs Water District is responsible for the disposal of all discharge water and sediment generated by the wet cleaning of the two tanks. Our proposal is based upon inspecting/cleaning both facilities during one mobilization to Running Springs. We request that both facilities be filled to near spill before the start of the scheduled work. ** As directed by the RSWD all labor involved in this project will be paid Prevailing Wages as determined by the Director of Industrial Relations. ACCEPTED: The above prices, specifications and conditions are satisfactory and are hereby accepted. Aquatic Inspections, Inc. is authorized to do the work as specified. Robert R. McMurray, President 4-25-15 ------------------------------------------ ---------------------------- Aquatic Inspections, Inc. Date ------------------------------------------ ---------------------------- Running Springs Water District. Date

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INSPECTION/CLEANING PROPOSAL AQUATIC INSPECTIONS, INC.

1042 N. El Camino Real Ste. B184 Encinitas, CA 92024 (760)753-4812

[email protected]

Proposal Submitted To: Running Springs Water District May 4, 2015 31242 Hilltop Blvd. Running Springs, CA 92382 (909)867-2766

Facility Description and Location: Nordic Tank #1 – .2MG welded steel potable water storage facility Nob Hill Tank - .2MG welded steel potable water storage facility Both tanks are located in Running Springs, California.

AQUATIC INSPECTIONS, INC. hereby submits the following proposal subject to the conditions which follow:

We will conduct thorough inspections of the exterior and interior (above and below the waterline) of two potable water storage facilities. We will document the condition of all appurtenances, interior coatings, coating defects, corrosion, pitting, columns, roof structures, sediment levels etc. The RSWD will be supplied with two (2) detailed book bound reports documenting the condition of the two facilities. At the conclusion of the inspections we will wet clean all loose sediment and debris from the floor of the two potable water storage facilities. The RSWD will also be supplied with two (2) edited, narrated DVDS documenting the wet cleaning/inspections. The DVDS will document the divers are not disturbing the sediment during the cleaning and will also document the condition of the coating on the floor of the two facilities after the removal of all sediment. If necessary all work can be conducted with the tanks in service. All diving will be conducted as per AWWA C652 and Federal OSHA Commercial Diving Regulations (a minimum of a three man dive team will be utilized). Liability and Workers Compensation Certificates will be provided upon request. *

WE HEREBY PROPOSE to furnish all labor and materials complete in accordance with the above specifications, for the sum of:

Total cost for this project: Three Thousand Two Hundred Fifty Dollars ($3,250.00) ** This proposal is valid for sixty days. All services provided by Aquatic Inspections, Inc. are guaranteed.

ATTACHMENT 1

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Page Two Aquatic Inspections, Inc. RSWD Inspection/Cleaning Proposal 2015 * The Running Springs Water District is responsible for the disposal of all discharge water and sediment generated by the wet cleaning of the two tanks. Our proposal is based upon inspecting/cleaning both facilities during one mobilization to Running Springs. We request that both facilities be filled to near spill before the start of the scheduled work. ** As directed by the RSWD all labor involved in this project will be paid Prevailing Wages as determined by the Director of Industrial Relations. ACCEPTED: The above prices, specifications and conditions are satisfactory and are hereby accepted. Aquatic Inspections, Inc. is authorized to do the work as specified. Robert R. McMurray, President 5-4-15 ------------------------------------------ ---------------------------- Aquatic Inspections, Inc. Date ------------------------------------------ ---------------------------- Running Springs Water District. Date

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4. D.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Ryan Gross, General Manager SUBJECT: CONSIDER ADOPTION OF RESOLUTION NOS. 11-15 AND 12-15

FOR THE REDUCTION OF EMPLOYER PAID MEMBER CONTRIBUTIONS (EPMC) TO THE CALIFORNIA PUBLIC EMPLOYEES’ RETIREMENT SYSTEM (CALPERS) FOR CLASSIC CALPERS MEMBERS

RECOMMENDED BOARD ACTION It is recommended that the Board of Directors consider adoption of Resolution Nos. 11-15 and 12-15 for the reduction of employer paid member contributions (EPMC) to CalPERS for “Classic” CalPERS members beginning July 1, 2015. REASON FOR RECOMMENDATION On February 18, 2015, the Board of Directors approved the phased elimination of EPMC over a four year period beginning July 1, 2015 for existing Classic CalPERS members including an equivalent annual cost of living adjustment plus CPI-W for the years ending in October. The attached resolutions are required to begin the first phase of reducing the EPMC. BACKGROUND INFORMATION This proposal has been discussed by the Personnel Committee on several occasions and each of the District’s Supervisors has also discussed it with their respective staff. The savings to the District associated with the phased elimination of paying and reporting the value of CalPERS EPMC is approximately $15,000 per year. The feedback from our employees is generally that if this proposal is going to move forward they would prefer it to be done in a phased approach over four years. On July 18, 2014, June 24, 2014, February 11, 2014 and August 13, 2013, the Personnel Committee considered a change in policy regarding the District’s payment of normal member contribution to CalPERS as EPMC for existing employees that are considered “Classic” CalPERS members.

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4. D.

The General Manager position began this transition on July 16, 2014 in which the 8% EPMC will be phased out over a four year period. On March 19, 2014, the Board of Directors adopted Resolutions that established a second tier for newly hired employees that are considered “Classic” CalPERS members (both Miscellaneous and Safety) which the District pays 0% of the normal member contribution as EPMC. We currently have two employees that fall into this category. In 2008, the District Board of Directors adopted resolutions for paying and reporting the value of the CalPERS EPMC. The additional cost to the District at that time for this employee benefit was estimated to be approximately $14,000. FISCAL INFORMATION If approved, the EPMC would be shifted to the employees over a four year period beginning July 1, 2015 at 2% per year for Miscellaneous and 2.25% per year for safety. In order to offset the impact to the employees, an equivalent annual cost of living adjustment plus CPI-W for the years ending in October would be applied over the four year transition period. Once the transition is complete, the savings to the District associated with the phased elimination of CalPERS EPMC and paying and reporting the value of the EPMC is approximately $15,000 per year beginning in 2019. This savings would also help to offset a portion of the projected increases in the CalPERS Employer Contribution over the next five years. ATTACHMENTS Attachment 1 – Resolution 11-15 Attachment 2 – Resolution 12-15

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RESOLUTION NO. 11-15

FOR EMPLOYER PAID MEMBER CONTRIBUTIONS

WHEREAS, the governing body of the Running Springs Water District has the authority to implement Government Code Section 20691;

WHEREAS, the governing body of the Running Springs Water District has a written labor policy or agreement which specifically provides for the normal member contributions to be paid by the employer;

WHEREAS, one of the steps in the procedures to implement Section 20691 is the adoption by the governing body of the Running Springs Water District of a Resolution to commence said Employer Paid Member Contributions (EPMC);

WHEREAS, the governing body of the Running Springs Water District has identified the following conditions for the purpose of its election to pay EPMC:

• This benefit shall apply to all existing classic miscellaneous members hired before April 1, 2014.

• This benefit shall consist of the Running Springs Water District paying six percent (6%) of the normal member contributions as EPMC.

• The effective date of this Resolution shall be July 1, 2015.

NOW, THEREFORE, BE IT RESOLVED that the governing body of the Running Springs Water District elects to pay EPMC, as set forth above.

ADOPTED this 27th day of May 2015.

Ayes: Noes: Abstentions: Absent:

President, Board of Directors

ATTEST: Running Springs Water District Assistant Secretary of the Board of Directors Running Springs Water District

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RESOLUTION NO. 12-15

FOR EMPLOYER PAID MEMBER CONTRIBUTIONS

WHEREAS, the governing body of the Running Springs Water District has the authority to implement Government Code Section 20691;

WHEREAS, the governing body of the Running Springs Water District has a written labor policy or agreement which specifically provides for the normal member contributions to be paid by the employer;

WHEREAS, one of the steps in the procedures to implement Section 20691 is the adoption by the governing body of the Running Springs Water District of a Resolution to commence said Employer Paid Member Contributions (EPMC);

WHEREAS, the governing body of the Running Springs Water District has identified the following conditions for the purpose of its election to pay EPMC:

• This benefit shall apply to all existing classic safety members hired before April 1, 2014.

• This benefit shall consist of the Running Springs Water District paying six and three quarter percent (6.75%) of the normal member contributions as EPMC.

• The effective date of this Resolution shall be July 1, 2015.

NOW, THEREFORE, BE IT RESOLVED that the governing body of the Running Springs Water District elects to pay EPMC, as set forth above.

ADOPTED this 27th day of May 2015.

Ayes: Noes: Abstentions: Absent:

President, Board of Directors

ATTEST: Running Springs Water District Assistant Secretary of the Board of Directors Running Springs Water District

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4. E.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Ryan Gross, General Manager SUBJECT: CONSIDER ADJUSTING THE HEALTH INSURANCE BENEFIT

CAP FOR DISTRICT EMPLOYEES RECOMMENDED BOARD ACTION It is recommended that the Board of Directors consider adjusting the maximum District contribution (Cap) to employee’s health insurance plans beginning July 1, 2015. REASON FOR RECOMMENDATION The District has received the renewal proposal from our Aetna Group Medical Plan and the medical insurance premiums are increasing by 21.3%. The District has also received the renewal proposal from our Premier Access Group Dental Insurance and those premiums are increasing by 5.7%. BACKGROUND INFORMATION The District currently contributes a maximum cap amount towards the cost of medical, dental, and vision insurance coverage for all qualifying employees. District employees have the option of enrolling in the District sponsored Group Health Insurance Plan or the Medical Expense Reimbursement Plan that provides employees with supplemental health benefits via reimbursement for qualified expenses. The current trend indicates that District employees enrolled in the Medical Expense Reimbursement Plan have only used 51% of their cap allowed amounts and any unused funds remaining in their Medical Expense Reimbursement accounts at the end of the plan year are forfeited. Historically, the budgeted increase for the maximum District contribution to employee’s health plans has followed the Cost of Living Adjustment (COLA) which is 1.4% for Fiscal Year 2015/2016. The increases in the District’s group health plan premiums have been significantly more than the COLA.

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4. E.

The following are the historical maximum District contribution amounts to employee’s health plans:

Fiscal Year

Ending

Health Plan Cap Amount ($) %

Increase Employee, Spouse & Children

Employee & Spouse

Employee Only

2016 $954 $920 $347 1.4% 2015 $941 $907 $342 1.2% 2014 $930 $896 $338 2.0% 2013 $912 $878 $331 2.2% 2012 $892 $859 $324 1.6% 2011 $878 $845 $319 1.6%

With the projected increase in the District’s Group Health Plan the approximate average monthly premiums are as follows: Medical Group Health Plan Only: $1,360 for employee and family $ 485 for employee only Medical, Dental and Vision Health Plan: $1,426 to $1,522 for employee and family $ 541 for employee only FISCAL INFORMATION For Fiscal Year 2015/2016 the following table lists alternative scenarios and the associated budget impacts if the maximum District contribution amounts to employee’s health plans were increased by more than the 1.4% COLA. The total amounts assume those enrolled in the Medical Reimbursement Plan continue the current trend of using only 51% of their Cap amounts.

Current Monthly Cap For Employee

& Family

% Increase to

Cap

Additional Monthly

Cap

Total Proposed Monthly Cap for 2015/2016

Additional Total District Budget

Impact $941 1.4% $13 $954 n/a $941 5% $47 $988 $10,274 $941 10% $94 $1,035 $20,548 $941 15% $141 $1,082 $30,822 $941 20% $188 $1,129 $41,096

ATTACHMENTS N/A

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4. F.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Isaiah Hall, Collections Division Supervisor Ryan Gross, General Manager SUBJECT: CONSIDER AUTHORIZING EXPENDITURE FOR SEWER LIFT

STATION FLOW METER REPLACEMENT RECOMMENDED BOARD ACTION It is recommended that the Board of Directors consider authorizing expenditure for sewer lift station flow meter replacement. REASON FOR RECOMMENDATION The flow meters at sewer lift stations 4 & 5 have been out of service for the last several years and were identified in the Wastewater Collections 5 year plan and budgeted for in the fiscal year 2014/15 budget. BACKGROUND INFORMATION For the last several years we have been calculating sewer flows at these stations by approximates and identified this project as a need for more accurate flow data for compliance, historical data, inflow and infiltration, as well as the new Pali mountain connection for SLS 5. The preliminary estimate from TESCO controls to evaluate if the meters could be repaired or needed to be replace was at a not to exceed cost of $2,320. After pulling the meters and sending them in it has been determined that they are not repairable and will need to be replaced. FISCAL INFORMATION The cost to replace the flow meters is $9,888 plus $870 for installation and calibration. The total for the initial evaluation, replacement and installation is $13,078 which will be funded from the Wastewater Capital Improvement Reserve which has a balance of $278,171. ATTACHMENTS Attachment 1 – Tesco Quote

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DATE: January 29, 2015 TO: Running Springs Water District ATTN: Isaiah Hall JOB NAME: RSWD – T&M Flowmeter Troubleshooting Recommendations QUOTE NO.: 15A217Q01 As requested, we are pleased to quote the following scope of work pertaining to the above referenced project. This quotation is based on $145/hour service rates, with a not-to-exceed total of $2,320.00. A Tesco field service technician will visit Lift Stations 4 and 5 to assess the current flooded conditions and the flowmeter transmitters. Tesco will make recommendations as to the best course of action to obtain a remedy to the faulty transmitters.

ITEM # DESCRIPTION RATE ESTIMATE

1 Professional Services – Services to be rendered shall include, but not limited to, the following:

• Assess LS4 and LS5 Flowmeters and Transmitters • Lift Station 4 ABB Mag FM MFE151371181004EH, Serial No.

03W021538 • Lift Station 5 ABB Mag FM MFE151371181004EH, Serial No.

00W028185 Please Note: Services quoted for TESCO Field Service/Programming Engineer includes technical services only and does not include trade such as installation or conduit / wire runs.

$145.00/Hr Not to exceed

$2,320.00

The above quotation is based on TESCO’s current Standard Rates published for year 2015. The hours rendered for this project will be recorded and only those hours incurred will be billed in addition to the cost of any hardware/material provided. Please note that actual total hours incurred for rendered onsite services may be less than estimated above at project completion and will be billed accordingly. PLEASE NOTE:

• Normal working hours are Monday through Friday, 8:00 a.m. to 5:00 p.m. Overtime at one and one-half the standard rate is billed for services outside the normal working hours, excluding weekends and holidays

• Saturday working hours is billed at two times the standard rates. • Sunday working hours is billed at three times the standard rates. • Holiday working hours is billed at three times the standard rates. • The above rates are billed one-hour minimum and in 15-minute increments. • Authorized parts and components or any third party services will be billed separately at cost plus 20% for service

and handling. (Delivery based on manufacturer or service provider availability).

TERMS AND CONDITIONS:

• Quotation firm for 30 days. • Unless otherwise stated, quote is to furnish only and does not include installation services. • Unless otherwise stated, quote does not include conduit, wire, tubing, and basic trade installation materials

(brackets, screws, j-box, stanchions, etc.). • Unless otherwise stated, TESCO’s price does not include any sales tax, use tax, or applicable fees; please apply any

taxes and/or fees to the total amount referenced above. • Tesco price is FOB factory, full freight allowed. • Terms are net 30 days on approved credit accounts. • Interest will be applied to all past due invoices. • All merchandise sold is subject to lien laws. • Final retention to be paid within 10 days after the project notice of completion. Please feel free to contact us at (916) 395-8800 to discuss any questions or comments you may have regarding this quotation.

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TESCO CONTROLS, INC.An Employee-Owned Company

P.O. BOX 299007

SACRAMENTO, CA 95829-9007 (916) 395-8800 // 429-2817 (FAX)

www.tescocontrols.com

Engineer ing Manufactur ing Systems Design Systems In tegrat ion Serv ice & Suppor t

DATE: April 24, 2015 TO: Running Springs Water District ATTN: Isaiah Hall JOB NAME: Running Springs Water District – Electromagnetic Flowmeters QUOTE NO.: 15D196Q01 The below scope of supply is for two (2) electromagnetic flowmeters and associated transmitters.

ITEM # QTY. DESCRIPTION AMOUNT

1 2 Equipment/Materials to include: 6 Inch ABB WaterMaster Electromagnetic Flowmeter, 316SS Electrode, 60 feet cable, backlit graphical display, flow rate indicator and totalizer

TOTAL COST ESTIMATE: (applicable sales tax included) $9,888.00

PLEASE NOTE:

Quotation firm for 30 days unless otherwise stated. District is responsible for safe access, construction barricades, any possible traffic control to the site

and around the work area. TESCO price is FOB factory, full freight allowed. TESCO’s price does not include PLC/SCADA System’s configuration, programming and upgrades. Terms are net 30 days on approved credit accounts. Interest will be applied to all past due invoices. All merchandise sold is subject to lien laws. Final retention to be paid within 10 days after the project notice of completion. Please feel free to contact us at (916) 395-8800 to discuss any questions or comments you may have regarding this quotation. Sincerely, Sean Keven Technical Sales

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4. G.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Isaiah Hall, Collections Division Supervisor Ryan Gross, General Manager SUBJECT: CONSIDER AUTHORIZING EXPENDITURE FOR SEWER LIFT

STATION PAVING RECOMMENDED BOARD ACTION It is recommended that the Board of Directors consider authorizing expenditures for sewer lift station paving projects. REASON FOR RECOMMENDATION The asphalt driveways at sewer lift stations 8 & 9 are over 20 years old and have been identified as needed to be repaired in the Wastewater Collections 5 year plan and are budgeted projects in the fiscal year 2014/15 and 2015/16 Budgets. BACKGROUND INFORMATION For the last several years we have been patching the asphalt at several of our sewer lift stations and have identified lift stations 8 & 9 as being the highest priority. The preliminary budgeting estimate from February 2014 was based on approximate measurements and the average at that time cost per square foot. In fiscal year 2014/15 $12,500 was budged for sewer lift station 9 and the same for lift station 8 in fiscal year 2015/16 with an additional $10,000 for the vault lid replacement at sewer lift station 8. FISCAL INFORMATION The District has received three estimates for the repair/replacement of the asphalt at sewer lift stations 8 & 9 with the lowest at sewer lift station 8 from Bacon/Wagner Excavating for $21,013.25 and will be scheduled for shortly after July 1, 2015 pending the approval of the fiscal year 2015/16 budget. The lowest estimate for sewer lift station 9 is from GM Excavating for $18,777.00. This project is scheduled to be completed before June 30, 2015. The total for repair/replacement of the asphalt at sewer lift stations 8 & 9 is $39,790.25. ATTACHMENTS Attachment 1 – Bids

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GM Excavating, Inc. P.O. Box 1134

Running Springs, CA 92382 Ph (909) 867-0077 Fax (909) 867-2664

License #803490 Proposal & Contract

TO: RUNNING SPRINGS WATER DATE: May 13, 2015 ATTN: ISAIAH HALL JOB: LIFT STATION 8 AND 9 I propose to furnish all labor and materials and equipment to complete the following: LIFT STATION #8: LIFT STATION #9: OPTION #1: OVERLAY $19,835 OPTION #1: OVERLAY $18,777 INSTALL NEW STEEL LIDS: $ 5,000 TOTAL OPTION #1: $24,835 OPTION #2: PULVERIZE AND GRADE: $ 9,130 OPTION#2: PULVERIZE AND GRADE: $ 8,340 PAVE 2” TO 2-1/2” THICK: $18,777 PAVE 2” TO 2-1/2” THICK: $19,835 TOTAL OPTION #2: $27,907 INSTALL NEW STEEL LIDS: $ 5,000 TOTAL OPTION #2: $33,175 ___________________________________________________________________________________________________________________ CONTRACT PRICE: I hereby PROPOSE to furnish all material and labor complete in accordance with above specifications for the sum stated above. Payment to be made as follows: To be paid within ten(10) days after completion of each phase as invoiced. FINANCE CHARGE: A 1.5% late fee will be charged on all invoices over 30 days. NOTE: Rock Clause: If unforeseen large boulders are encountered while excavating, additional cost will be quoted on site and charged as an extra. “NOTICE TO OWNER”(Section 7018, -7019-Contractors License Law) Under the Mechanics Lien Law, any contractor, subcontractor, laborer, material man or the person who helps to improve your property and is not paid for his labor, services or material, has a right to enforce his claim against your property. This means that, after a court hearing, your property could be sold by a court officer and the proceeds of the sale used to satisfy the indebtedness. This can happen even if you have paid your own contractor in full, if the subcontractor, laborer, or supplier remains unpaid. Under the law you may protect yourself against such claims by filing, before commencing such work of improvement, an original contract for the work of improvement or a modification thereof, in the office of the county recorder of the county where the property is situated and requiring that a contractor’s payment bond be recorded in such office. Said bond shall be in an amount not less than fifty percent (50%) of the contract price and shall in addition to any conditions for the performance of the contract, be conditioned for the payment in full of the claims of all persons furnishing labor services, equipment or materials for the work described in said contract. “INFORMATION ABOUT THE CONTRACTORS STATE LICENSE BOARD (CSLB)”: CSLB is the state consumer protection agency that licenses and regulates construction contractors. Contact the SCLB for information about the licensed contractor you are considering, including information about disclosable complaints, disciplinary actions and civil judgments that are reported to CSLB. Use only licensed contractors. If you file a complaint against a licensed contractor within the legal deadline (usually four years), CSLB has authority to investigate the complaint. If you use an unlicensed contractor CSLB may not be able to help you resolve your complaint. Your only remedy may be in civil court, and you may be liable for damages arising out of any injuries to the unlicensed contractor or the unlicensed contractor’s employees. For more information: VISIT www.cslb.ca.gov, or CALL 1-800-321-2752, or WRITE CSLB at P.O. Box 26000, Sacramento, CA 95826.” THIS PROPOSAL IS GOOD FOR NINETY (90) DAYS FROM THE ABOVE DATE. YOUR RIGHTS TO CANCEL BEFORE WORK BEGINS: You, the buyer, have the right to cancel this contract until: 1. You receive a copy of this contract signed and dated by you and the contractor, and 2. The contractor starts work. You are entitled to a completely filled in copy of this agreement, signed by both you and the contractor, before any work may be started. Authorized Signature:__________________________________________Date:__________________ Nathan Mesna, President Acceptance of Proposal: The above prices, specifications and conditions are hereby accepted. You are authorized to do the work as specified. Payment will be made as outlined above. Signature: _____________________________________________________Date:__________________

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Estimat eDate

5/7/2015

Est imat e No.

7999

Bill T o:

RUNNING SPRINGS WATER DISTRICTPO BOX 2206RUNNING SPRINGS, CA 92382USA

Ship To / Job Site:

RUNNING SPRINGS WATER DISTRICTSEWER LIFT STATION 8 & 9RUNNING SPRINGS, CA 92382USA

P.O. Number Terms

DUE ON RECEIPT

Est imat or

DAVID

Job

SLS NO. 8 & 9 ASPHALT PAVING

Referred By Name

PLEASE SIGN & DATE ESTIMATE IF YOUAPPROVE & FAX OR MAIL BACK TO OUROFFICE.

Total

Tel: 909-867-2766Fax: 909-867-2828

Acceptance / Approval:

_____________________________________ _____/_____/_____Customer Signature DateBy signing above, you hereby accept this Estimate and authorize Trinity ConstuctionCompany to begin work based on the above terms and conditions. This Estimate isvalid for 30 days.

Now Accepting

LIMITED WARRANTY – TRINITY CONSTRUCTION COMPANY HEREBY EXTENDS A 1 YEAR LIMITED WARRANTY, FROMTHE INVOICE DATE, ON WORKMANSHIP RELATED TO WORK PERFORMED UNDER THIS DOCUMENT. NO EXPRESSEDOR IMPLIED WARRANTY IS EXTENDED FOR ANY MATERIALS. ONLY ORIGINAL MANUFACTURERS’ WARRANTIESSHALL COVER MATERIALS.

Alt:

Item Descript ion Quant ity U/M Rate Total

PW-LABOR & ... LIFT STATION NO. 8: GRIND AREA OF 3,585SQ. FT. COMPACT AND MAKE READY FORASPHALT.

1 EA 9,500.00 9,500.00

PW-LABOR & ... LIFT STATION NO. 8: RESHAPE LOWERSECTION IN ORDER TO ARCHIVE PROPERDRAINAGE.

1 EA 2,260.00 2,260.00

PW-LABOR & ... LIFT STATION NO. . 8: PROVIDE ALLLABOR, TOOLING AND EQUIPMENT INORDER TO OVERLAY APPROXIMATELY1,440 SQ. FT WITH 1-1/2" OF PG 64-10 1/2"ASPHALT. PAVE OVER NATIVE MATERIALAPPROXIMATELY 3,585 SQ. FT WITH 3 1/2"OF ASPHALT.

1 EA 16,845.82 16,845.82

PW-LABOR & ... LIFT STATION NO. 8: INSTALL 48" X 48"TRAFFIC RATED HATCH WITH SAFETYCHAIN.

1 EA 9,250.00 9,250.00

PW-LABOR & ... LIFT STATION NO. 8: INSTALL 245 LINEARFEET OF ASPHALT BERM

245 LF 20.33 4,980.85

PW-LABOR & ... LIFT STATION NO. 9: REMOVEAPPROXIMATELY 560 SQ. FT OF BROKENASPHALT FROM THE ACCESS ROAD. MAKE READY FOR NEW ASPHALT.

1 EA 2,760.00 2,760.00

PW-LABOR & ... LIFT STATION NO. 9: PROVIDE ALL LABOR,TOOLING AND EQUIPMENT IN ORDER TOOVERLAY APPROXIMATELY 5,539 SQ. FT WITH 1-1/2' OF PG 64-10 1/2" ASPHALT.

1 EA 13,852.58 13,852.58

PW-LABOR & ... LIFT STATION NO. 9: INSTALL 268 LINEARFEET OF ASPHALT BERM

268 LF 20.33 5,448.44

$64,897.69

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4. H.

69

4. I.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: George Corley, Fire Chief Ryan Gross, General Manager SUBJECT: PUBLIC HEARING AND CONSIDERATION OF ADOPTING

ORDINANCE NO. 44 ESTABLISHING FEES FOR AMBULANCE SERVICES

RECOMMENDED BOARD ACTION It is recommended that the Board of Directors consider adopting Ordinance No. 44, Establishing Fees for Ambulance Services. REASON FOR RECOMMENDATION A schedule of fees adopted pursuant to the Fire District Protection Law should be adopted by ordinance. (Health & Safety Code, § 13916(b)). BACKGROUND INFORMATION California Water Code section 31120 allows County Water Districts, unlike many other types of water districts, to “…exercise any of the powers, functions, and duties which are vested in, or imposed upon, a fire protection district pursuant to the Fire Protection District Law of 1987.” In turn, the Fire Protection District Law provides that fire protection districts shall have the power to provide ambulance services. (Health & Safety Code, § 13862). For ambulance services, the Board may charge a fee to cover the cost of those services, but the fee cannot exceed the cost to provide the service for which the fee is charged. (Health & Safety Code, § 13916(a)). We understand that the Board normally adopts the fees allowed by ICEMA. A schedule of fees adopted pursuant to the Fire District Protection Law should be adopted by ordinance. (Health & Safety Code, § 13916(b)). Before approving the fee, the District must publish notice of the fee pursuant to Government Code section 6066.1 (Ibid.) (Notice of this Ordinance was published in the Mountain News and Alpenhorn on

1 Generally, publication of notice pursuant to this section shall be once a week for two successive weeks. (Gov. Code, § 6066.)

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4. I.

May 14 and May 21, 2015). Notice shall also be mailed to any party who has filed a written request for mailed notice of the meeting on new or increased fees. (Health & Safety Code, § 13916(c)). At least ten (10) days before the meeting, the District must provide data to the public showing the cost to provide the service for which the fee is charged and the revenue sources anticipated to provide the service, including general fund revenues. (Health & Safety Code, § 13916(d)). The Board must hear and consider any objections to the proposed fees. (Health & Safety Code, § 13913(f)). FISCAL INFORMATION Refer to attached Ordinance No. 44, Exhibit A ATTACHMENTS Attachment 1 – Ordinance No. 44

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ORDINANCE NO. 44 OF THE RUNNING SPRINGS WATER DISTRICT

ESTABLISHING FEES FOR AMBULANCE SERVICES

WHEREAS, pursuant to Water Code section 31120, the Running Springs Water District has the authority to exercise any of the powers, functions, and duties which are vested in, or imposed upon, a fire protection district pursuant to the Fire Protection District Law of 1987; and

WHEREAS, the District provides ambulance services pursuant to the Fire Protection District Law of 1987, specifically Section 13862 of the Health and Safety Code; and

WHEREAS, the Inland Counties Emergency Medical Agency (“ICEMA”) has approved a list of ambulance fees as set forth in Exhibit “A” incorporated herein by this reference, that are calculated so as not to exceed the estimated cost to provide ambulance services; and

WHEREAS, Health and Safety Code Section 13916 authorizes this District to charge a fee to cover the cost of any service which the District provides and to adopt an ordinance establishing a schedule of such fees at a meeting conducted by the Board of Directors following notice of the Board’s intention to establish such fees as provided in Health and Safety Code Section 13916; and

WHEREAS, this District has provided notice of the fees set forth herein and has made available to the public, at least ten (10) days in advance hereof, the data indicating the estimated cost required to provide the services.

NOW, THEREFORE, BE IT ORDAINED by the Board of Directors of Running Springs Water District as follows:

1. The fees for ambulance services set forth in Exhibit “A” are hereby adopted.

2. The fees may be collected by any means available to the District.

3. This ordinance shall become effective immediately upon its adoption.

ADOPTED this 27th day of May, 2015.

___________________________ President of the Board of Directors of Running Springs Water District

ATTEST:

________________________ Secretary

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State Water Board Adopts 25 Percent

Mandatory Water Conservation Regulation

For Immediate Release Contact: George Kostyrko May 5, 2015 [email protected]

SACRAMENTO – With emergency drought conditions persisting throughout California, the State Water Resources Control Board Tuesday adopted an emergency regulation requiring an immediate 25 percent reduction in overall potable urban water use statewide in accordance with Gov. Jerry Brown’s April 1 Executive Order.

The Governor’s Executive Order required, for the first time in the state’s history, mandatory conservation for all residents and directed several state agencies, including the State Water Board, to take immediate action to safeguard the state’s remaining potable urban water supplies in preparation for a possible fifth year of drought.

A 25 percent savings in potable urban water use amounts to more than 1.2 million acre-feet of water over the next nine months, or nearly as much water as is currently in Lake Oroville.

Tuesday’s action follows the release of water production figures for the month of March which registered only a slight increase from the amount of water saved in the prior month. The amount of water conserved in March 2015, as compared to March 2013 was 3.6 percent, up less than one percent from February’s results.

Since the State Water Board adopted its initial emergency urban conservation regulation in July 2014, voluntary statewide conservation efforts have reached 9 percent overall – far short of the 20 percent Governor Brown called for in 2014. To see how various regions and communities have done conserving water, please visit this link here.

“This is the drought of the century, with greater impact than anything our parents and grandparents experienced, and we have to act accordingly,” said Felicia Marcus, Chair of the State Water Resources Control Board.

“Today we set a high but achievable bar, with the goal of stretching urban California’s water supply. We have to face the reality that this drought may continue and prepare as if that’s the case. If it rains and snows next winter, we celebrate. If the drought continues, we’ll be glad we took difficult but prudent action today. It’s the responsible thing to do.”

5. A.

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http://www.waterboards.ca.gov/waterrights/water_issues/programs/drought/emergency_mandatory_regulations.shtml

http://www.waterboards.ca.gov/waterrights/water_issues/programs/drought/docs/040115_executive_order.pdf

http://www.waterboards.ca.gov/waterrights/water_issues/programs/drought/conservation_reporting_info.shtml

Conservation Standard

The emergency regulation identifies how much water communities must conserve based on their average residential water use, per person per day, last summer. Every person should be able keep indoor water use to no more than 55 gallons per day. For the most part, the amount of water that each person uses in excess of this amount is water that is applied to lawns and other ornamental landscapes.

On average, 50 percent of total residential use is outdoors, in some cases up to 80 percent. To save water now, during this drought emergency, the regulation targets these outdoor uses. Communities that are approaching, at or below the indoor target, are assigned a modest conservation standard while communities that use water well above the indoor target will be asked to do much more.

To reduce water use by 25 percent statewide, the regulation adopted by the Board this week places each urban water supplier into one of eight tiers which are assigned a conservation standard, ranging between four percent and 36 percent. Each month, the State Water Board will compare every urban water suppliers’ water use with their use for the same month in 2013 to determine if they are on track for meeting their conservation standard. Local water agencies will determine the most cost effective and locally appropriate way to achieve their standard. The State Water Board will be working closely with water suppliers to implement the regulations and improve local efforts that are falling short.

“This likely will result in all communities significantly cutting back on outdoor watering, particularly ornamental landscapes surrounding homes, institutions, and businesses, resulting in many golden landscapes statewide,” said Marcus. “This will be a heavy lift for some, but we believe that the regulatory strategy adopted today is doable – in fact, many communities that have focused on conserving water have already achieved significant conservation without losing their landscapes.”

Residential customers of water suppliers with a conservation standard of 36 percent currently use between 216 and 614 gallons of water per person per day during the months of July, August, and September. Reducing their water use by 36 percent will still leave these residents with a minimum of 137 and up to 393 gallons of water per person per day; far more than the accepted standard of 55 gallons per person per day for indoor use. The difference between 55 gallons per person per day and 137 – 393 gallons per person per day means that these residents will still have water available for outdoor irrigation. Communities using less than 65 gallons per person per day will be required to reduce their overall water use by 8 percent.

“Over the longer term, we have many ways to extend our precious water resources, particularly in urban areas — conservation, recycling, stormwater capture, and desalination in appropriate cases have great promise. Many communities have done a lot already, or have ambitious goals that we hope to help them achieve. In the short run however, conservation is the cheapest, fastest and smartest way to become more resilient in the face of drought today and climate change in the future,” said Marcus.

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Summary of New Requirements

The conservation savings for all urban water suppliers (serving more than 3,000 connections) are allocated across nine tiers of increasing levels of residential gallons per capita per day (R-GPCD) water use to reduce water use by 25 percent statewide and will take effect June 1st. For specific information on the tiers and the suppliers in each tier, please visit here.

Smaller water suppliers (serving fewer than 3,000 connections) must either reduce water use by 25 percent, or restrict outdoor irrigation to no more than two days per week. These smaller urban suppliers, that collectively serve less than 10 percent of Californians, must submit a report on December 15, 2015 to demonstrate compliance.

Commercial, Industrial and Institutional properties that are not served by a water supplier (or are self-supplied, such as by a groundwater well) also must either reduce water use by 25 percent or restrict outdoor irrigation to no more than two days per week. No reporting is required but these properties must maintain documentation of their water use and practices.

The new prohibitions in the Executive Order apply to all Californians and will take effect immediately upon approval of the regulation by the Office of Administrative Law. These include:

o Irrigation with potable water of ornamental turf on public street medians; and

o Irrigation with potable water outside of newly constructed homes and buildings not in accordance with emergency regulations or other requirements established by the Building Standards Commission and the Department of Housing and Community Development.

These are in addition to the existing restrictions that prohibit:

o Using potable water to wash sidewalks and driveways;

o Allowing runoff when irrigating with potable water;

o Using hoses with no automatic shutoff nozzles to wash cars;

o Using potable water in decorative water features that do not recirculate the water;

o Irrigating outdoors during and within 48 hours following measureable rainfall; and

o Restaurants serving water to their customers unless the customer requests it.

Additionally, hotels and motels must offer their guests the option to not have their linens and towels laundered daily and prominently display this option in each guest room.

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http://www.waterboards.ca.gov/waterrights/water_issues/programs/drought/docs/emergency_regulations/supplier_tiers_20150428.pdf

Enforcement

In addition to other powers, local agencies can fine property owners up to $500 a day for failure to implement the water use prohibitions and restrictions. The State Water Board can issue informational orders, conservation orders or cease and desist orders to water suppliers for failure to meet their conservation standard. Water agencies that violate cease and desist orders are subject to a civil liability of up to $10,000 a day.

Next Steps

Following Board adoption, the regulation will be submitted to the Office of Administrative Law, which has 10 days to approve or deny the regulation. If approved by the Office of Administrative Law, the regulation will take effect immediately and remain in effect for 270 days from that date. For more information, please visit the Emergency Water Conservation website. To learn more about the state's drought response, visit Drought.CA.Gov.

Every Californian should take steps to conserve water. Find out how at SaveOurWater.com.

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http://www.swrcb.ca.gov/waterrights/water_issues/programs/drought/emergency_regulations_waterconservation.shtml

http://ca.gov/drought/

http://saveourwater.com/

ADOPTED TEXT OF EMERGENCY REGULATION

Article 22.5. Drought Emergency Water Conservation.

Sec. 863. Findings of Drought Emergency. (a) The State Water Resources Control Board finds as follows: (1) On January 17, 2014, the Governor issued a proclamation of a state of emergency under the California Emergency Services Act based on drought conditions; (2) On April 25, 2014, the Governor issued a proclamation of a continued state of emergency under the California Emergency Services Act based on continued drought conditions; (3) On April 1, 2015, the Governor issued an Executive Order that, in part, directs the State Board to impose restrictions on water suppliers to achieve a statewide 25 percent reduction in potable urban usage through February, 2016; require commercial, industrial, and institutional users to implement water efficiency measures; prohibit irrigation with potable water of ornamental turf in public street medians; and prohibit irrigation with potable water outside newly constructed homes and buildings that is not delivered by drip or microspray systems; (4) The drought conditions that formed the basis of the Governor’s emergency proclamations continue to exist; (5) The present year is critically dry and has been immediately preceded by two or more consecutive below normal, dry, or critically dry years; and (6) The drought conditions will likely continue for the foreseeable future and additional action by both the State Water Resources Control Board and local water suppliers will likely be necessary to prevent waste and unreasonable use of water and to further promote conservation. Authority: Section 1058.5, Water Code. References: Cal. Const., Art., X § 2; Sections 102, 104, 105, and 275, Water Code; Light v. State Water Resources Control Board (2014) 226 Cal.App.4th 1463. Sec. 864. End-User Requirements in Promotion of Water Conservation. (a) To prevent the waste and unreasonable use of water and to promote water conservation, each of the following actions is prohibited, except where necessary to address an immediate health and safety need or to comply with a term or condition in a permit issued by a state or federal agency: (1) The application of potable water to outdoor landscapes in a manner that causes runoff such that water flows onto adjacent property, non-irrigated areas, private and public walkways, roadways, parking lots, or structures; (2) The use of a hose that dispenses potable water to wash a motor vehicle, except where the hose is fitted with a shut-off nozzle or device attached to it that causes it to cease dispensing water immediately when not in use; (3) The application of potable water to driveways and sidewalks; and (4) The use of potable water in a fountain or other decorative water feature, except where the water is part of a recirculating system;

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(5) The application of potable water to outdoor landscapes during and within 48 hours after measurable rainfall; (6) The serving of drinking water other than upon request in eating or drinking establishments, including but not limited to restaurants, hotels, cafes, cafeterias, bars, or other public places where food or drink are served and/or purchased; (7) The irrigation with potable water of ornamental turf on public street medians; and (8) The irrigation with potable water of landscapes outside of newly constructed homes and buildings in a manner inconsistent with regulations or other requirements established by the California Building Standards Commission and the Department of Housing and Community Development. (b) To promote water conservation, operators of hotels and motels shall provide guests with the option of choosing not to have towels and linens laundered daily. The hotel or motel shall prominently display notice of this option in each guestroom using clear and easily understood language. (c) Immediately upon this subdivision taking effect, all commercial, industrial and institutional properties that use a water supply, any portion of which is from a source other than a water supplier subject to section 865, shall either:

(1) Limit outdoor irrigation of ornamental landscapes or turf with potable water to no more than two days per week; or

(2) Reduce potable water usage supplied by sources other than a water supplier by 25 percent for the months of June 2015 through February 2016 as compared to the amount used from those sources for the same months in 2013. (d) The taking of any action prohibited in subdivision (a) or the failure to take any action required in subdivisions (b) or (c), is an infraction, punishable by a fine of up to five hundred dollars ($500) for each day in which the violation occurs. The fine for the infraction is in addition to, and does not supersede or limit, any other remedies, civil or criminal. Authority: Section 1058.5, Water Code. References: Cal. Const., Art., X § 2; Sections 102, 104, 105, 275, 350, and 10617, Water Code; Light v. State Water Resources Control Board (2014) 226 Cal.App.4th 1463. Sec. 865. Mandatory Actions by Water Suppliers.

(a) As used in this section: (1) “Distributor of a public water supply” has the same meaning as under

section 350 of the Water Code, except it does not refer to such distributors when they are functioning solely in a wholesale capacity, but does apply to distributors when they are functioning in a retail capacity.

(2) “R-GPCD” means residential gallons per capita per day. (3) “Total potable water production” means all potable water that enters

into a water supplier’s distribution system, excluding water placed into

79

storage and not withdrawn for use during the reporting period, or water exported outsider the supplier’s service area.

(4) “Urban water supplier” means a supplier that meets the definition set forth in Water Code section 10617, except it does not refer to suppliers when they are functioning solely in a wholesale capacity, but does apply to suppliers when they are functioning in a retail capacity.

(b) In furtherance of the promotion of water conservation each urban water supplier shall:

(1) Provide prompt notice to a customer whenever the supplier obtains information that indicates that a leak may exist within the end-user’s exclusive control.

(2) Prepare and submit to the State Water Resources Control Board by the 15th of each month a monitoring report on forms provided by the Board. The monitoring report shall include the amount of potable water the urban water supplier produced, including water provided by a wholesaler, in the preceding calendar month and shall compare that amount to the amount produced in the same calendar month in 2013. The monitoring report shall specify the population served by the urban water supplier, the percentage of water produced that is used for the residential sector, descriptive statistics on water conservation compliance and enforcement efforts, and the number of days that outdoor irrigation is allowed, and monthly commercial, industrial and institutional sector use. The monitoring report shall also estimate the gallons of water per person per day used by the residential customers it serves.

(c)(1) To prevent the waste and unreasonable use of water and to meet the requirements of the Governor’s April 1, 2015 Executive Order, each urban water supplier shall reduce its total potable water production by the percentage identified as its conservation standard in this subdivision. Each urban water supplier’s conservation standard considers its service area’s relative per capita water usage.

(2) Each urban water supplier whose source of supply does not include groundwater or water imported from outside the hydrologic region in which the water supplier is located, and that has a minimum of four years’ reserved supply available may, submit to the Executive Director for approval a request that, in lieu of the reduction that would otherwise be required under paragraphs (3) through (10), the urban water supplier shall reduce its total potable water production by 4 percent for each month as compared to the amount used in the same month in 2013. Any such request shall be accompanied by information showing that the supplier’s sources of supply do not include groundwater or water imported from outside the hydrologic region and that the supplier has a minimum of four years’ reserved supply available.

(3) Each urban water supplier whose average July-September 2014 R-GPCD was less than 65 shall reduce its total potable water production by 8 percent for each month as compared to the amount used in the same month in 2013.

(4) Each urban water supplier whose average July-September 2014 R-GPCD was 65 or more but less than 80 shall reduce its total potable water production by 12 percent for each month as compared to the amount used in the same month in 2013.


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(10) Each urban water supplier whose average July-September 2014 R-GPCD was 215 or more shall reduce its total potable water production by 36 percent for each month as compared to the amount used in the same month in 2013.

(d)(1) Beginning June 1, 2015, each urban water supplier shall comply with the conservation standard specified in subdivision (c).

(2) Compliance with the requirements of this subdivision shall be measured monthly and assessed on a cumulative basis.

(e)(1) Each urban water supplier that provides potable water for commercial agricultural use meeting the definition of Government Code section 51201, subdivision (b), may subtract the amount of water provided for commercial agricultural use from its potable water production total, provided that any urban water supplier that subtracts any water provided for commercial agricultural use from its total potable water production shall:

(A) Impose reductions determined locally appropriate by the urban water supplier, after considering the applicable urban water supplier conservation standard specified in subdivision (c), for commercial agricultural users meeting the definition of Government Code section 51201, subdivision (b) served by the supplier;

(B) Report its total potable water production pursuant to subdivision (b)(2) of this section, the total amount of water supplied for commercial agricultural use, and shall identify the reduction imposed on its commercial agricultural users and each recipient of potable water for commercial agricultural use;

(C) Certify that the agricultural uses it serves meet the definition of Government Code section 51201, subdivision (b); and

(D) Comply with the Agricultural Water Management Plan requirement of paragraph 12 of the April 1, 2015 Executive Order for all commercial agricultural water served by the supplier that is subtracted from its total potable water production.

(2) Submitting any information pursuant to subdivision (e)(1)(B) or (C) of this section that is found to be materially false by the board is a violation of this regulation, punishable by civil liability of up to five hundred dollars ($500) for each day in which the violation occurs. Every day that the error goes uncorrected constitutes a separate violation. Civil liability for the violation is in addition to, and does not supersede or limit, any other remedies, civil or criminal.

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(f)(1) To prevent waste and unreasonable use of water and to promote water conservation, each distributor of a public water supply that is not an urban water supplier shall take one or more of the following actions:

(A) Limit outdoor irrigation of ornamental landscapes or turf with potable water by the persons it serves to no more than two days per week; or

(B) Reduce by 25 percent reduction its total potable water production relative to the amount produced in 2013.

(2) Each distributor of a public water supply that is not an urban water supplier shall submit a report by December 15, 2015, on a form provided by the Board, that either confirms compliance with subdivision (f)(1)(A) or identifies total potable water production, by month, from June through November, 2015, and total potable water production, by month, for June through November 2013.

Authority: Section 1058.5, Water Code. References: Cal. Const., Art., X § 2; Sections 102, 104, 105, 275, 350, 1846, 10617 and 10632, Water Code; Light v. State Water Resources Control Board (2014) 226 Cal.App.4th 1463. Sec. 866. Additional Conservation Tools. (a)(1) To prevent the waste and unreasonable use of water and to promote conservation, when a water supplier does not meet its conservation standard required by section 865 the Executive Director, or the Executive Director’s designee, may issue conservation orders requiring additional actions by the supplier to come into compliance with its conservation standard. (2) A decision or order issued under this article by the board or an officer or employee of the board is subject to reconsideration under article 2 (commencing with section 1122) of chapter 4 of part 1 of division 2 of the California Water Code. (b) The Executive Director, or his designee, may issue an informational order requiring water suppliers, or commercial, industrial or institutional properties that receive any portion of their supply from a source other than a water supplier subject to section 865, to submit additional information relating to water production, water use or water conservation. The failure to provide the information requested within 30 days or any additional time extension granted is a violation subject to civil liability of up to $500 per day for each day the violation continues pursuant to Water Code section 1846. Authority: Section 1058.5, Water Code. References: Cal. Const., Art., X § 2; Sections 100, 102, 104, 105, 174, 186, 187, 275, 350, 1051, 1122, 1123, 1825, 1846, 10617 and 10632, Water Code; Light v. State Water

Resources Control Board (2014) 226 Cal.App.4th 1463.

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6. A.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Randy Bobroff, Water Division Supervisor

Ryan Gross, General Manager SUBJECT: WATER DIVISION SUPERVISOR REPORT ACTIVITIES The Water Division Supervisor will report on activities and endeavors since the last Board meeting. MEETINGS ATTENDED The following is a listing of the key meetings and events that have taken place since reporting at the last Board Meeting. 1. April 17 – May 26, daily jobsite inspections at Ayers Acres 2. April 22, meet and mark with all utilities for Ayers Acres Project 3. April 23, Board meeting 4. May 5, Jobsite meeting at Ayers Acres with Dan Wagner and Ryan Gross 5. May 11, Jobsite meeting at Ayers Acres with Brent Stonerock (SCE), Jeremy

Lanier (Bacon Wagner) and Terry Coldwell Electric 6. May 12, Meeting with Jarrod Lippen (TESCO) Nordic Tank upgrade project WATER DEPARTMENT MONTHLY OPERATIONS See attached: Department Operations System Maintenance Customer Service Precipitation Totals Accounting Report

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6. A.

1. MONTHLY WATER QUALITY TESTING RESULTS100

Yes X No

On X OffYes X No

Yes X No

0000

401

SNOW RAIN0.25 0.25

1 10.75 0.751.2 1.2

0.5 1.7 1.812 11.45 13.35

1.2 1.26.5 2 37 0.15 1.25

0.8 0.81-14th 5 0.1 0.95

31 21 25.55

MAY 2015

JULY 2014AUG. 2014SEP. 2014OCT. 2014

6. SEASON PRECIPITATION TOTALS (INCHES)

B. High / Low Pressure Flow Complaints

JUNE 2015

NOV. 2014DEC. 2014JAN. 2015FEB. 2015

TOTAL PRECIPITATION

MAR. 2015APR. 2015

REMARKS:

C. Water Quality Complaints (Taste, Odor, Turbidity, etc.)

5. CUSTOMER SERVICE CALLSA. Meters Turned Off Due To Leaks On Customer Side

B. Number of Service line Leaks RepairedC. Number of Meter / Valve Leaks Repaired

4. SYSTEM MAINTENANCE

REMARKS:

WATER DEPARTMENT MONTHLY REPORT DEPARTMENT OPERATIONS MONTH / YEAR APRIL 2015

2. MAJOR SYSTEM COMPONENT OPERATION

REMARKS:

3. EQUIPMENT OPERATION (Tractors, Trucks, Compressor, Welder, etc.)Equipment & Generators Functioning Properly

D. Estimated Gallon / Per Minute All Leaks

A. Number of Main Leaks Repaired

SEASON TO DATE:

A. Number of Samples Collected B. State Health Minimum Requirements Met

A. Telemetry System Computer B. Wells & Boosters Functioning Properly

REMARKS:

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6. A.


ACCOUNTING REPORT

MONTH/YEAR APRIL 2015

WATER PRODUCTIONDISTRICT SOURCES: GALLONS PRODUCED % OF TOTAL PRODUCTION

Sidewinder Canyon 1,805,372 17.59%Luring Canyon 415,267 4.05%Weiss Canyon - 0.00%Rimwood 595,408 5.80%Owl Rock 448,126 4.37%Luring Pines 457,678 4.46%Complex 301,840 2.94%Harris 769,093 7.50%

TOTAL DISTRICT SOURCES: 4,792,784 46.71%

PURCHASED SOURCES:CLAWA 4,386,310 42.75%APCWD 1,081,682 10.54%TOTAL PURCHASED SOURCES: 5,467,992 53.29%

TOTAL PRODUCTION: 10,260,776 101.23%

TANKS (Gains/Loss) PRODUCTION: (124,373) -1.23%

TOTAL ADJUSTED PRODUCTION: 10,136,403 100.00%

WATER CONSUMPTION CONSUMPTION IN GALLONS % OF TOTAL CONSUMPTION

Metered Sales to Customers 9,617,148 99.58%Metered Sales Thru Fire Hydrants - 0.00%Metered Sales to Smiley Park 11,444 0.12%Metered District Consumption 4,451 0.05%Known Unmetered Estimated Consumption 25,000 0.26%

TOTAL CONSUMPTION: 9,658,043 100.00%

TOTAL ADJUSTED PRODUCTION 10,136,403 100.00%

UNACCOUNTABLE WATER 478,360 4.72%

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6. B.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Trevor Miller, Wastewater Treatment Division Supervisor Ryan Gross, General Manager SUBJECT: WASTEWATER TREATMENT DIVISION SUPERVISOR

REPORT The Treatment Division Supervisor will report on activities and endeavors the District has been working on since the last Board meeting.

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6. C.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Isaiah Hall, Wastewater Collection Department Supervisor Ryan Gross, General Manager SUBJECT: WASTEWATER COLLECTION SUPERVISOR REPORT ACTIVITIES AND ENDEAVORS The Wastewater Collection Division Supervisor will report on activities and endeavors since the last Board meeting. MEETINGS ATTENDED The following is a listing of the key meetings and events that have taken place since reporting at the last Board Meeting.

1. April 9 Meeting with TESCO controls (flow meters at SLS 4&5)

2. April 20 Meeting with TESCO controls (flow meters at SLS 4&5)

3. April 22 SLS 1,2 & 3 Bid opening

4. April 23 Board meeting

5. April 24 Final fixture count Pali mountain

6. April 27 Special Board meeting

7. April 30 Meeting with TRINITY Const.(paving quotes)

8. May 1 Meeting with GM Exc. (paving quotes)

9. May 8 Meeting with BW Exc. (paving quotes)

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6. C.

COLLECTIONS SYSTEM MAINTENANCE ACTIVITIES

Year CCTV Inspection & Cleaning

(LF)

Hot Spots &

FOG (LF)

MH Inspected & Sealed

MH Rehab/ Repair

s

Pipe Repairs/ Replacement

Smoke Testing

Slip Lining (LF)

2000 0 33 2001 0 9,379 12 1000’ 2002 0 9,379 59 2003 39,200 9,379 367 37 31 2004 26,600 9,379 225 20 32 2005 45,200 9,379 244 24 24 2006 28,500 9,379 7sealed

224 74 38 553’

2007 22,500 9,379 154 51 2 2008 32,300 9,379 225 75 1 126’ 2009 0 9,379 Wet well 1 sag 2010 8,200 9,379 4sealed

48 60 1 sag

5

2011 7,200 9,379 56 12 9 6’ 2012 22,500 9,379 5sealed

154 34 7 6’

2013 18,170 10,582 281 7 7 2014 25,514 12,356 205 19 7 25’ 2015 1574 51 12 Totals 275,714 135,446 2,152 418 263 1,716 * Total collection system footage is approximately 58 miles or 306,240 linear feet (LF). ** Sewer System Management Plan (SSMP) goal is to inspect and clean the entire collection system every 10 to 12 years.

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6. D.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: George Corley, Fire Chief Ryan Gross, General Manager SUBJECT: FIRE DEPARTMENT MONTHLY SUMMARY REPORT ACTIVITIES The Fire Chief will report on activities and endeavors since the last Board meeting. MEETINGS AND EVENTS ATTENDED The following is a listing of the key meetings and events that have taken place since reporting at the last Board Meeting.

1. April 2 HSGP Grant Training

2. April 7 XBO Meeting

3. April 8 Blood Pressure Checks Golden Oaks

4. April 15 MMA

5. April 16 County Chiefs Meeting

6. April 16 CERT Training and Meeting

7. April 21 CERT Training and Meeting

8. April 23 Water Board Meeting

9. April 28 COAD Meeting

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6. D.

COMPARISON REPORT OF FIRE DEPARTMENT STATISTICS BETWEEN

FISCAL YEAR 2013/2014 AND 2014/2015 THROUGH APRIL 30, 2015

FY13/14 FY 13/14 to 4/30 FY 14/15 to 4/30 Total Runs 771 628 792 Total Transport 411 335 373 Total Billed $906,810.34 $742,253.66 $858,527.37 Write-offs* $398,871.60 $319,163.38 $298,671.65 Collectible $507,938.74 $423,090.28 $559,855.72 Total Paid to Date $307,297.88 $255,551.83 $226,017.72 Collection (%) 63% 65% Collection (%) Fiscal 06/07 72% Fiscal 07/08 71% Fiscal 08/09 70% Fiscal 09/10 70% Fiscal 10/11 61%

Average Collection (%) 69% *Refer to Resolution No. 09-12 for Uncollectible Write-off Policy

MONTHLY COMPARISON STATISTICS FOR FISCAL YEAR 2013/2014 AND 2014/2015

FY13/14 FY 14/15 Difference July

Total Runs 85 94 9 Total Transport 46 48 2 Total Billed $101,981.27 $107,109.24 5,127.97 Write-offs $48,678.26 $53,722.94 $5,044.68 Collectible $53,303.01 $53,386.30 $83.29 Total Paid to Date $35,410.48 $29,686.38 -$5,716.07 August Total Runs 75 68 -7 Total Transport 34 29 -5 Total Billed $75,211.09 $67,831.55 -$7,379.54 Write-offs $26,869.01 $27,287.27 $418.26 Collectible $48,342.08 $40,544.28 -$7,797.80 Total Paid to Date $20,849.44 $21,955.65 $1,106.21

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6. D.

September Total Runs 62 77 15 Total Transport 31 43 12 Total Billed $67,855.32 $98,956.40 $31,101.08 Write-offs $30,517.57 $43,612.06 $13,094.49 Collectible $37,337.75 $55,344.34 $18,006.59 Total Paid to Date $20,067.12 $35,315.47 $15,248.35

October Total Runs 47 50 3 Total Transport 27 22 -5 Total Billed $60,396.00 $49,292.90 -$18,103.10 Write-offs $22,814.05 $17,670.61 -$5,143.44 Collectible $37,581.95 $31,622.29 -$5,959.66 Total Paid to Date $16,430.93 $11,820.70 -$4,610.23

November

Total Runs 46 78 32 Total Transport 26 42 16 Total Billed $55,925.17 $97,545.73 $41,620.56 Write-offs $23,962.62 $47,384.93 $23,422.31 Collectible $31,962.55 $50,160.80 $18,198.25 Total Paid to Date $16,077.63 $24,109.34 $8,031.71 December Total Runs 69 98 29 Total Transport 40 49 9 Total Billed $90,800.48 $109,783.63 $18,983.15 Write-offs $23,832.96 $39,814.03 $15,981.07 Collectible $66,967.52 $69,969.60 $3,002.08 Total Paid to Date $42,744.19 $37,800.47 -$4,943.72 January Total Runs 75 110 35 Total Transport 40 47 7 Total Billed $89,622.22 $107,449.31 $17,827.09 Write-offs $47,198.82 $34,940.63 -$12,258.19 Collectible $42,423.40 $75,508.68 -$30,085.28 Total Paid to Date $33,571.10 $31,454.64 -$2,116.46

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6. D.

February Total Runs 69 70 1 Total Transport 41 38 -3 Total Billed $91,166.93 $92,560.95 $1,394.02 Write-offs $45,399.85 $21,624.74 -$23,775.11 Collectible $45,767.08 $70,936.21 $25,169.13 Total Paid to Date $31,011.18 $27,946.04 -$3,065.14 March Total Runs 44 77 33 Total Transport 18 25 7 Total Billed $39,208.03 $57,076.37 $17,868.34 Write-offs $15,317.16 $9,136.22 -$6,180.94 Collectible $23,890.87 $47,940.15 $24,049.28 Total Paid to Date $16,512.48 $5,066.89 -$11,445.59 April Total Runs 56 70 14 Total Transport 32 30 -2 Total Billed $70,087.15 $70,921.29 $834.14 Write-offs $32,208.37 -$32,208.37 Collectible $37,878.78 $70,921.29 $33,042.51 Total Paid to Date $22,885.31 $862.14 -$22,023.17 May Total Runs 70 Total Transport 31 Total Billed $68,993.66 Write-offs $28,590.98 Collectible $40,402.68 Total Paid to Date $26,302.23 June Total Runs 73 Total Transport 45 Total Billed $95,563.02 Write-offs $51,117.24 Collectible $44,445.78 Total Paid to Date $25,443.82

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6. D.

FIRE DEPARTMENT STATISTICS TO DATE FOR FISCAL YEAR 2014/2015

Total Runs 792 Medical Aids 632 Total Transports 373 Investigations/Public Service 82 Fires 78

Total Billed $858,527.37 Total Medicare/Medical Write-Offs $298,671.65 Total Amount Collectible $559,855.72

Total Amount Collected Since July 1, 2014 $308,906.97 *Includes all prior years

FY 2014/2015 Monthly Detail July 2014

Total Runs 94 Medical Aids 70 Total Transports 48 Investigations/Public Service 15 Fires 9

Total Billed $107,109.24 Total Medicare/Medi-Cal Write-Offs $53,722.94 Total Amount Collectible $53,386.30 Total Paid for Accounts $29,686.38

August 2014 Total Runs 68 Medical Aids 58 Total Transports 29 Investigations/Public Service 6 Fires 4


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6. D.

September 2014 Total Runs 77 Medical Aids 63 Total Transports 43 Investigations/Public Service 4 Fires 10


October 2014 Total Runs 50 Medical Aids 35 Total Transports 22 Investigations/Public Service 10 Fires 5


November 2014 Total Runs 78 Medical Aids 64 Total Transports 42 Investigations/Public Service 5 Fires 9


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6. D.

December 2014 Total Runs 98 Medical Aids 80 Total Transports 49 Investigations/Public Service 9 Fires 9


January 2015 Total Runs 110 Medical Aids 87 Total Transports 47 Investigations/Public Service 13 Fires 10


February 2015 Total Runs 70 Medical Aids 58 Total Transports 38 Investigations/Public Service 7 Fires 5


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6. D.

March 2015 Total Runs 77 Medical Aids 64 Total Transports 25 Investigations/Public Service 8 Fires 5


April 2015 Total Runs 70 Medical Aids 53 Total Transports 30 Investigations/Public Service 5 Fires 12

Total Billed $70,921.29 Total Medicare/Medi-Cal Write-Offs Total Amount Collectible $70,921.29 Total Paid for Accounts $862.14

May 2015 Total Runs Medical Aids Total Transports Investigations/Public Service Fires

Total Billed Total Medicare/Medi-Cal Write-Offs Total Amount Collectible Total Paid for Accounts

96

6. D.

FIRE DEPARTMENT MONTHLY INSPECTION REPORT

Residential Inspections Hydrants Includes Weed Abatement Program and *Previous Months Inspections

Month No. Violations Number of

Inspections Found *Re-

InspectionsPlan Checks Inspection/Mainte

nance Flowed

July 0 0 112 0 0 0

August 0 282 4577 3 0 0 September 0 40 96 2 0 0

October 0 0 0 0 322 0 November 0 0 0 0 0 0 December 0 0 0 3 0 0 January 0 0 0 0 0 0 February 3 0 0 3 1 0 March 0 0 0 0 0 0 April 0 0 0 0 23 0 May 0 0 0 0 0 0 June 0 0 0 0 0 0

Totals to Date 3 322 4785 11 345 0 Commercial Fire Prevention Inspections Includes New Construction Inspections and *Previous Months Inspection

Number of No. Violations

Sprinkler Number of *No. Violations

Month Number of Buildings

Occupancies Found Acceptance Re-Inspections Corrected

July 78 85 18 0 15 15

August 0 0 0 1 0 0 September 0 0 0 1 0 0

October 0 0 0 0 0 0 November 0 0 0 1 0 0 December 0 0 0 1 0 2 January 2 0 0 0 2 0 February 0 0 0 0 0 0 March 90 0 0 0 0 0 April 0 0 0 0 0 0 May 0 0 0 0 0 0 June 0 0 0 0 0 0

Totals to Date 168 85 18 4 17 17

97

6. D.

FIRE DEPARTMENT MONTHLY TRAINING REPORT Date and Subject Hrs # Pers Total Hrs Total

Jul-14 225 225

7/2- Drafting/ Monitor/ CAFS 3 18 54

7/17- CPAP/ King Airway 3 17 51

FF TRAINING 79

Target Safety 41

Aug-14 215 440

8/6- Rope Rescue 3 14 42

8/20- AUTO EXTRICATION CLASSROOM 3 17 51

FF TRAINING 48

Target Safety 74

Sep-14 202 642

9/3- EVOC Classroom 3 15 45

9/17- Driving Rodeo 3 14 42

FF Training 47

Target Safety 68

Oct-14 241 883

10/1- Struts and Airbags 3 14 42

10/15- Auto Extrication Practical 4 13 52

FF Training 96

Nov-14 189 1072

11/5 - Cold Weather Training 3 9 27

11/19 – Ebola Training 3 16 48

FF Training 73

Target Safety 41

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6. D.

Date and Subject Hrs # Pers Total Hrs Total

Dec-14 322 1394

12/3 Water Supply Systems 3 17 51

12/17 Community Christmas Party

FF TRAINING 74

Target Safety 197

Jan-15 302 1696

1/7 EMT Skills 3 15 45

1/21 BA Fit Test/BA Maze/2 in 2 out/RIC 3 18 54

FF Training 87

Target Safety 116

Feb-15 214 1910

2/4 Structural Search, victim Removal and FF Survival

3 16 48

2/18 Scene Size-up, Strategy & Tactics 3 18 54

FF Training 66

Target Safety 46

March-15 196 2106

3/4 Fire Origin and Cause 3 12 36

3/18 Preserving Evidence 3 14 42

FF Training 72

Target Safety 46

April-15 196 2302

4/1 Rescue/Structure Fire Scenarios 3 13 39

4/15 Electrical Safety (Solar) 3 15 45

FF Training 69

Target Safety 43

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M E M O R A N D U M

DATE: May 27, 2015

TO: Board of Directors

FROM: Joan C. Eaton, Board Secretary/Administration Supervisor/Treasurer

Ryan Gross, General Manager

SUBJECT: ADMINISTRATION MONTHLY SUMMARY REPORT

ACTIVITIES AND ENDEAVORS

The 2015/2016 Water/Sewer Availability Billings in the amount of $52,925.60 (Water-$38,989.20 and Sewer $13,936.40) were mailed the week of May 4, 2015 with a due date of July 1, 2015. Fire Suppression Charges will be submitted to the County for placement on the County Tax Rolls.

MEETINGS AND EVENTS ATTENDED

The following is a listing of the key meetings and events that have taken place since reporting at the last Board Meeting.

March 23, 2015 - Attend Weekly Administration Team Meeting

March 27-29, 2015 – On Call Supervisor

March 30, 2015 – Attend Weekly Administration Team Meeting

April 6, 2015 – Attend Weekly Administration Team Meeting

April 7, 2015 – Met with Brad McDermith and Bryan Sanders, Computer Options regarding the District IT Computer System Review

April 9, 2015 – Attend Finance Committee Meeting to review the Water/Administration 2015/2016 Proposed Budget



April 23, 2015 – Attend the April Board Meeting

April 27, 2015 – Attend Weekly Administration Team meeting Attend Special Board Meeting

April 29, 2015 – Met with Computer Options regarding quarterly maintenance of computer system

May 1-3, 2015 – On Call Supervisor

6. E.

100

May 4, 2015 – Attend Weekly Administration Team Meeting

May 14, 2015 – Attend GASB68 CalPERS Webinar

May 18, 2015 – Attend Weekly Administration Team Meeting

Conference Call Regarding Paymentus Bill Payment Program

101

6. F.


M E M O R A N D U M DATE: May 27, 2015 TO: Board of Directors FROM: Ryan Gross, General Manager SUBJECT: GENERAL MANAGER’S REPORT The General Manager will report on activities and endeavors the District has been working on since the last Board meeting.

102