Agenda packet — Angels Camp City Council, January 31, 2024

JOINT SPECIAL MEETING

CITY OF ANGELS, CITY COUNCIL,

AND BOARD OF DIRECTORS OF
UNION PUBLIC UTILITY DISTRICT (UPUD) and

UTICA WATER AND POWER AUTHORITY (UWPA)
January 31, 2024 at 4:00 p.m.

THIS MEETING WILL BE HELD AT NATIVE SONS HALL, 389 Main Street Murphys, CA 95247 In person public attendance will be available with limited seating. Seats are available on a first come, first served basis. Members of the public shall have the right to observe and offer public comment at the appropriate time.

CITY OF ANGELS, CITY COUNCIL:

Mayor Jennifer Herndon
Vice Mayor Isabel Moncada
Council Members Alvin Broglio, Michael Chimente, Caroline Schirato City Administrator Rebecca Callen
UNION PUBLIC UTILITY DISTRICT (UPUD):

PRESIDENT Eric Bottomley
VICE PRESIDENT Greg Rasmussen
SECRETARY Tom Quincy, TREASURER Bruce Tallakson, DIRECTOR Ralph “Rocky” Chick GENERAL MANAGER Jessica Self
UTICA WATER AND POWER AUTHORITY (UWPA):

CHAIR Vacant
VICE CHAIR Ralph “Rocky” Chick
SECRETARY Jennifer Herndon DIRECTORS Caroline Schirato, Gary Conrado GENERAL MANAGER Joel Metzger
4:00 p.m. REGULAR MEETING

1. ROLL CALL

2. PLEDGE OF ALLEGIANCE

3. APPROVAL OF THE AGENDA AS POSTED (OR AMENDED)

4. PUBLIC COMMENT
The public may address the Council and Boards on any item of public interest not otherwise on the agenda that is within the jurisdiction of the City, UPUD, or UWPA. No action may be taken. Matters to be addressed may be referred to agency staff or placed on a subsequent meeting Agenda. Speakers are limited to five minutes per person.

5. REGULAR AGENDA
A. Overview of Utica Water and Power Authority
B. Joint Powers Agreement Review
C. Utica Water and Power Authority Financial Overview
D. Break
E. Overview of Upcoming Rate Studies: City of Angels and Union Public Utility District F. Utica Water and Power Authority Federal Energy Regulatory Commission Exemption Application Overview
G. Joint Powers Authority Communication and Direction
H. Discussion / Direction From the Full Joint Powers Authority to Staff

6. ADJOURNMENT
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in this meeting, please contact the City Clerk at City Hall 209- 736-2181. Notification 48 hours prior to the meeting will enable the City to make reasonable arrangements to ensure accessibility to the meeting (28 CFR 35.102-

35.104 ADA Title II) Materials related to an item on this Agenda submitted to the City Council after distribution of the Agenda packet are available for public inspection at City Hall at 200 Monte Verda Street Ste. B, Angels Camp, CA 95222 during normal business hours. The Agenda is also available on line at www.angelscamp.gov.
1 UTICA WATER AND POWER AUTHORITY
Date: January 31, 2024
To: Joint Powers Authority Member Entities
From: Joel Metzger, General Manager
Re: Overview of the Utica Water and Power Authority
Recommended Action:

Discussion/direction only.

Summary:

The Utica Water and Power Authority (Utica, UWPA) was formed as a Joint Powers Authority (JPA) in 1995 and recognized by the State in 1996. It was originally a partnership between three agencies:
the Calaveras County water District (CCWD), City of Angels Camp (COA), and the Union Public Utility District (UPUD), collectively the “Member Entities”. A Joint Powers Agreement (Agreement) was signed on December 20, 1995, which provided a legal framework for how the JPA would operate. Per the agreement: the Authority was created to obtain the FERC hydroelectric project licenses for the Angels Project No. 2699 and the Utica Project No. 2019 in order to help assure that there will be adequate water available from the Projects for the protection of all beneficial public uses in Calaveras County, including for power production, domestic water supply, agricultural and irrigation water supply, recreation, aesthetics and fish and wildlife purposes.

Utica took on $3.7 million in debt for the purchase of the system, and the debt was paid in full in by Utica 2016. Including interest, the system cost was more than $4 million. Watch this video on Calaveras Community Television to learn more:
https://www.youtube.com/watch?v=ZX9hBOxOdlQ&t=646s
Utica Mission Statement:

Updated in 2022: We are committed to preserving and protecting local control of our water resources through effective fiscal and operational management and assuring a safe and reliable water supply for municipal and agricultural stakeholders, while ensuring the quality and quantity of this precious resource for generations to come.

Background:
5A
2 Utica traces its roots back to the Gold Rush. The Union Water Company (UWC) was formed in 1852 to formalize efforts to bring water from Angels Creek and Mill Creek to serve large mining operations in Murphys and Angels Camp. By 1854, UWC extended its system to tap the North Fork of the Stanislaus River. In need of water storage in the high country, Union Reservoir was constructed in 1858, and that same year the company acquired Calaveras County Water Co., which also built extensive water conveyance canals and flumes to serve the mines.

In the 1880s, the Utica Gold Mining Company (UGMC) took over the Union Water Company’s holdings, and in 1889 completed the construction of Lake Alpine, which increased water storage in the high country. One year later, Utica harnessed the pressure of water falling from the Angels Forebay to operate air compressors, hoists and stamp mills used to crush ore (gold-bearing rocks) in Angels Camp mines. In 1895, UGMC built a small power plant in Angels Camp and in 1899, the Utica Powerhouse was built in Murphys. By 1906, UGMC completed the construction of Utica Reservoir, just downstream of Union Reservoir. The final up-country reservoir to be built was completed in 1929 – the original Spicer Meadow Reservoir.

As the mining industry declined in the 1900s, an increasing amount of water was used for agricultural irrigation and residential/commercial consumptive use. However, in 1939, UGMC declared it only wanted to provide consumptive service to Angels Camp. This led to a legal dispute between UGMC and Murphys residents, which resulted in a settlement agreement that allowed a group called the Calaveras Water Users Association (now known as the Union Public Utility District) to purchase water from the Utica system to meet consumptive needs.

By the mid-1900s, most of the large mines in Calaveras County had closed. In 1941, the Utica Gold Mining Company constructed a new powerhouse in Angels Camp, and in 1946, it sold the water conveyance system and powerhouses to Pacific Gas and Electric (PG&E). Over the next 10 years, PG&E made substantial investments in the system, including building a new powerhouse in Murphys in 1954 and upgrading the Angels Powerhouse. During the PG&E era, more than 20 employees were used to operate the system. In the late 1980s, PG&E began the process of relicensing the project through the
Federal Energy Regulatory Commission (FERC) – the license was set to expire in 1995. During the relicensing process, the Northern California Power Agency (NCPA), which provides power to its member agencies outside of Calaveras County, filed a competing application for PG&E’s Utica and Angels projects. A group of community members in Murphys and Angels Camp objected to an outside agency taking control of the long-held water rights – and NCPA’s proposal to substantially reduce the amount of water from the Stanislaus River flowing through Angels / Murphys Creek.

After a long negotiation between NCPA, the Calaveras County Water District (CCWD) and community stakeholders, the Utica Power Authority (UPA) was formed in 1996 as a Joint Powers Authority (JPA) with three members – CCWD, Union Public Utility District (UPUD) and the City of Angels Camp (COA). The newly formed JPA took ownership of a 27-mile-long water conveyance system, five reservoirs, and two powerhouses. A settlement agreement awarded a portion of PG&E’s water rights to NCPA (28 CFS), and the remainder was awarded to UPA (60 CFS).

Although some water rights were lost as part of the settlement agreement, the JPA did benefit from the construction of the North Fork Project in the 1980s, which was financed by NCPA and owned by CCWD. The total cost of the project was around $650 million, which was used to build New Spicer Dam and Powerhouse, the North Fork Diversion Tunnel, McKay’s Dam, the Collierville Tunnel and the Collierville Powerhouse. McKay’s, built just downstream of Calaveras Big Trees State Park, is a dam holding back around 2,000 acre feet of water, and its purpose is to divert the 3 majority of the North Fork Stanislaus River water into an 18-foot diameter tunnel that is 8 ½ miles long and terminates at the 252-megawatt Collierville Powerhouse, which was constructed at the end of Camp 9 Road near Murphys. As Stanislaus River water flows through the Collierville Tunnel beneath Avery, Utica withdraws a portion of it through a “Tunnel Tap”, which is a 3-foot-diameter vertical shaft drilled into the tunnel below ground. Since McKay’s elevation is higher than the tunnel’s elevation at Avery, gravity creates head pressure that pushes the water up the Tunnel Tap and delivers it into Utica’s ditch system without the need for pumps. The Tunnel Tap discharges water into the Upper Utica Canal, which is the last remaining remnant of an 8-mile canal / flume that historically stretched from McKay’s Diversion Dam on the Stanislaus River near Calaveras Big Trees to Hunter Reservoir in Avery. That upper section of ditch / flume was abandoned following the construction of the Collierville Tunnel, which delivers water to the remainder of Utica’s 27-milelong water conveyance system near Avery.

Utica’s longest wooden flume – called ¾ Mile Flume – near Forest Meadows was completely destroyed by the Darby Fire in 2001, cutting off the sole public water supply to more than 10,000 residents. Six other smaller wooden flumes were also destroyed by the Fire. It took 10 months to rebuild with the help from California Office of Emergency Services and the Federal Emergency Management Agency.

Following the 2001 Darby Fire, CCWD chose to leave the JPA, which left UPUD and the City of Angels Camp as the only remaining members. In 2013, Utica Power Authority was renamed to “Utica Water and Power Authority” to reflect its primary mandate, which is to provide a reliable water supply to this community.

Operational Overview in 2024
In 2024, Utica has a 10-person staff that is responsible for conveying about 33,000-acre-feet of water from the North Fork Stanislaus River through a 27-mile-long conveyance system, consisting of wooden flumes, earthen/concrete ditches, and five reservoirs. Utica continues to operate a 3.6 MW hydroelectric power plant in Murphys and 1.4 MW plant in Angels Camp. Revenues generated by these powerhouses is used to help offset the cost of operating and maintaining the water supply system. The water conveyed by Utica is provided directly to agricultural water contractors directly from the system, and to COA and UPUD, which deliver water to residential, commercial, and agricultural customers in the Murphys, Douglas Flat, Vallecito, and Angels Camp region.

Financial Considerations:

For the first 18 years of its existence, the Utica Board did not request financial contributions from member entities. However, in 2014, the Utica Board approved budgets requesting contributions from COA and UPUD. Since 2014, contributions from the Member Entities have continued, although they have increased and decreased, depending on Utica’s volatile hydropower revenues and Board decisions regarding expenditures.

Attachments:

1. History of UWPA
4 2. UWPA Strategic Plan

3. Attachment A Water Supply

4. Projected hydropower revenues
The History of the Utica Water and Power Authority
Gold made Calaveras County, but it was water that made the mines. When gold seekers crowded into Murphys and the surrounding area in 1848, they soon discovered the importance of a reliable water supply. The Union Water Company was formed in 1852 by the combination of companies already working to tap Angels Creek and the Mill Creek watershed. By 1854, the company had extended its reach to the North Fork of the Stanislaus River.

Four years later, it expanded into the high mountains to build Union Reservoir and improve its water supply through the long, dry season. In 1858, the Union Water Co. acquired the Calaveras County Water Company, which had built a roughly parallel ditch/flume system from a North Fork Stanislaus River diversion at McKays Point to Hunters Reservoir in Avery and then on to the mines. It was a better route and survived into the late 20th Century as the “Upper Utica Canal”.

In the late 1880s, the Union Water Company passed into the hands of the Utica Gold Mining Company (Utica Company), which already owned some of the richest mines in Calaveras County. The mining company expanded storage on the upper watershed by creating Lake Alpine in 1889-1892 and Utica Reservoir in 1903- 1906. Its final reservoir was at Spicer Meadow, which was completed in 1929.

The Utica Company put its water to work running the heavy machinery of industrial mining. The first penstocks from what is now the Angels Forebay were run to the mines at Angels Camp in 1890, where the “head-pressure” of falling water was harnessed to operate air compressors, hoists and the stamp mills that processed the ore. It was also the dawn of the hydroelectric age. In 1895 the company set up a small hydroelectric power plant in Angels Camp and a 1,000-foot transmission line to power electric lights in one of its mines. Other experimental plants followed, and in 1899 the Utica Powerhouse was built east of Murphys. When the Utica Mine closed in 1918, an air compressor assembly in Angels Camp was converted into a temporary electric generator. It served until a new Angels Powerhouse was constructed in 1940-1941.

Although built for mining, the network of ditches and flumes fed by the Utica system had been a source of water for domestic use and small-scale agricultural irrigation since the Gold Rush. For unknown reasons, the Utica Company petitioned the forerunner of the California Public Utilities Commission in 1926 to abandon its public utility service everywhere except Angels Camp. Alarmed at the prospect of losing their water supply, residents of the Murphys area organized the Calaveras Water Users Association and engaged in a legal battle with the Utica Company that lasted until 1939. A settlement agreement guaranteed the right to purchase water from the Utica system, and the Association eventually became today’s Union Public Utility District.

Households and businesses in Angels Camp purchased their water directly from the Utica system until 1984 when the city purchased the municipal water system.

When Emma Rose, who owned half of the Utica Mining Co., died in 1946 the company was sold to Pacific Gas & Electric. PG&E modernized the system, including replacement of the Utica Powerhouse in 1953-1954 and upgrades to the miles of ditches and flumes. The PG&E system was covered by two licenses issued by the Federal Energy Regulatory Commission (FERC). Project No. 2019 included the four upper reservoirs (Alpine, Union, Utica and Spicer Meadow), the diversion dam at McKay’s Point on the North Fork of the Stanislaus River and the Upper Utica Canal from McKay’s to Hunters Reservoir on Mill Creek in Avery. Then as now, the Lower Utica Canal carries water to the Utica Powerhouse, with diversions into UPUD’s North Ditch and South Ditch for irrigation and in more recent years to Cademartori Reservoir, which feeds UPUD’s water treatment plant, as well as to water contractors along the canal. The Angels Project, FERC No. 2699, begins at the Angels Diversion Dam about 3 miles downstream from the Murphys Afterbay. From the diversion, water flows down the Upper Angels Canal into Ross Reservoir and is released into the Lower Angels Canal that ends at the Angels Forebay. Diversions from the Angels Forebay provide water to irrigation users on the Dogtown Ditch and the City of Angels’ water treatment plant. Remaining water flows into the Angels Penstock, which feeds the Angels Powerhouse.

The Utica system has some of the oldest and most secure water rights on the North Fork Stanislaus River.

They included a right to 60 cubic feet per second (CFS) of the combined flow of the North Fork Stanislaus River, Beaver Creek and Mill Creek, the right to store water in the upper reservoirs, and senior rights to the flow of Angels Creek sufficient to fully supply the Upper and Lower Angels Canals.

By the mid-1980s, the Calaveras County Water District (CCWD), in partnership with the Northern California Power Agency (NCPA), began work on construction of the ambitious North Fork Stanislaus Hydroelectric Development Project (FERC project No. 2409). This project cost more than $600 million, and was funded by NCPA’s member agencies (watch a video about the project here). New Spicer Meadow Dam built, which inundated the 1929 Spicer Meadow Dam, and increased total water storage to 189,000-acre-feet. A 5 MW hydroelectric powerhouse was built at the base of the new dam. Downstream from Spicer, the McKay’s Point Diversion Dam was constructed to divert the majority of North Fork Stanislaus River water into the Collierville Tunnel, which is an 8.3-mile, 18-foot-diameter tunnel drilled through solid rock to supply the 252-megawatt Collierville Powerhouse, which was built at the end of Camp 9 Road, 4 miles east of Murphys. The vast majority of gross annual power sale revenues (estimated at around $40 million) from the Collierville Powerhouse go to NCPA, with the exception of an annual payment to CCWD of fewer than $1 million. This tunnel eliminated the need for the McKay’s Point Diversion Dam and 99% of the Upper Utica Canal, which was abandoned. To maintain water service to the Utica system, the 400-foot vertical Mill Creek Tap “Tunnel Tap” connected the Collierville Tunnel to a short remnant of the Upper Utica Canal near Hunter Reservoir.

Utica’s water entitlement was delivered through a combination of the Tunnel Tap and flows from Mill Creek, according to Allocation A, a monthly schedule agreed upon by CCWD, NCPA, and Utica. Depending on water year (wet vs. dry) between 16,107-acre-feet and 33,514-acre-feet of water is diverted into Utica system through the Tunnel Tap and/or Mill Creek.

PG&E’s FERC licenses were due to expire in 1996, but even as the company began the relicensing process a new complication arose when NCPA filed a competing application for the Utica and Angels licenses. It was believed that if NCPA could take control of the project from PG&E, it would re-route much of the water that had historically run through the Utica water system to the new Collierville Powerhouse to increase its own power revenues. Citizens of Murphys and Angels Camp did not want to lose their historic water supply to NCPA or see the flow of water through Murphys Park and Angels Creek diminished. CCWD entered the negotiations, and in 1995 signed a settlement agreement with NCPA. CCWD would buy the PG&E projects, with NCPA sharing in the cost. In exchange, NCPA would take ownership of the Lake Alpine, Union and Utica reservoirs, and the old Spicer Meadow storage rights in addition to 28 CFS of the 88 CFS North Fork Stanislaus water right. All the rest of the PG&E projects—from the Tunnel Tap through the Angels Powerhouse—would be transferred to a new entity, the Utica Power Authority (UPA). UPA was created as a joint powers authority (JPA) consisting of CCWD, UPUD, and the City of Angels as original members, giving the local area ownership of its water supply. Although governed by a board made up of two representatives from each member agency and one community member at-large, UPA is the legal owner of all of its assets, including the remaining 60 CFS water right and UPA retained all of PG&E’s rights on Angels Creek and French Gulch.

Utica Power Authority was officially organized in December 1995 and the JPA was recognized by the State in 1996. The assets and rights of the PG&E Utica and Angels projects were conveyed to UPA by deed and bill of sale in 1997. The cost of purchasing the system from PG&E was initially $3.65 million, and that cost exceeded $4 million including interest payments over 20 years – the debt was paid off in 2016. New FERC licenses for projects 2019 and 2699 were issued to UPA in 2003. These two licenses are due to expire in September 2033.

Operating a water delivery system in rugged terrain comes with substantial challenges, and that was never more apparent than in September 2001 when the Darby Fire destroyed seven wooden flumes, including “3/4- Mile Flume,” which is the longest continuous stretch of wooden flume on the system. An emergency pumping system kept a minimum amount of water (4-5 CFS) flowing to local communities during the 10 months needed to rebuild the flume. Although much of the costs were covered by insurance companies and the California Office of Emergency Services (Cal OES), this catastrophe caused CCWD to grow concerned about the legal and financial costs of participation in UPA, and it withdrew entirely in 2005.

In 2013 the Authority’s name was changed to Utica Water and Power Authority (now known as UWPA or Utica) to reflect its primary mandate to assure delivery of its precious resource for the best beneficial public use for generations to come.

In addition to water deliveries to Murphys and Angels Camp, the Utica Power Authority operates two hydroelectric powerhouses built by the Utica Gold Mining Company and PG&E. The Murphys Powerhouse is rated at 3.6 megawatts and the Angels Powerhouse at 1.4 megawatts. As a producer of certified “green energy” Utica commands higher prices than standard energy markets for electrical output. In 2017 and 2021, Utica secured 20-year Power Purchase Agreements (PPR) with PG&E for the Angels and Murphys Powerhouses through the ReMAT Program, which was put in place by the California State Legislature to incentive the development and continuation of small, decentralized green energy generators. These ReMAT contracts increased Utica’s power sales revenues and reduced impacts from market fluctuations.

As of the writing of this document in 2023, Utica’s annual budgets have averaged around $3 million over the past five years. However, hydropower revenues under ReMAT generate between $600,000 and $1.8 million.

Even with other revenue sources, such as water sales, leases, and interest, Utica’s revenues are not enough to cover expenses approved the Board of Directors. These budget shortfalls has been covered by contributions from the City of Angels Camp and Union Public Utility District.

For more information about Utica, go to www.uticawater.com, visit the Authority on Facebook at www.facebook.com/UticaWaterPower, or follow on Instagram @UticaWaterPower.

Utica Strategic Plan - 1
Utica Water and Power Authority
Mission, History, Core Values,
and Strategic Plan
2022-2026
Adopted – April 26, 2022
Utica Strategic Plan - 2
Foreword
Carrying on the tradition of the community leaders who fought to preserve local control of water rights by creating Utica in the mid-1990s, we are committed to continuing to protect local control of our water resources for our existing communities, while paving the way for future growth and generational prosperity for the residents, businesses, and agricultural customers we serve. We are proud to celebrate the history of our system that dates back to 1852 while continuing to provide water to more than 10,000 people who rely on us between Avery and Angels Camp. In Utica’s Core Values and Five-Year Strategic Plan 2022-2026 lays out the goals our team will strive to achieve in a new era of proactive management, stronger stakeholder partnerships, thoughtful resource stewardship, and long-term operational and financial reliability. Utica will remain focused on its primary mission – to safely and consistently deliver the water supply to the Union Public Utility District (UPUD), City of Angels Camp (COA) and agricultural customers.

Utica Water and Power Authority System Map
Utica Strategic Plan - 3
Our Mission
We are committed to preserving and protecting local control of our water resources through effective fiscal and operational management, and assuring a safe and reliable water supply for municipal and agricultural stakeholders, while ensuring the quality and quantity of this precious resource for generations to come.

Our History
Utica Water and Power Authority (Utica) traces its roots back to the Gold Rush. The Union Water Company (UWC) was formed in 1852 to formalize efforts to bring water from Mill Creek (in Avery) and Angels Creek to serve large mining operations in Murphys and Angels Camp. By 1854, UWC extended its system to tap the North Fork of the Stanislaus River. In need of water storage in the high country, Union Reservoir was constructed in 1858, and that same year the company acquired Calaveras County Water Co., which also built extensive water conveyance canals and flumes to serve the mines.

During the relicensing process, the Northern California Power Agency (NCPA), which provides power to its member agencies outside of Calaveras County, filed a competing application for PG&E’s Utica and Angels projects. A group of community members in Murphys and Angels Camp objected to an outside agency taking control of the long-held water rights – and NCPA’s proposal to substantially reduce the amount of water from the Stanislaus River flowing through Angels / Murphys Creek. After a long negotiation between NCPA, the Calaveras County Water District (CCWD) and community stakeholders, the Utica Power Authority (UPA) was formed in 1996 as a Joint Powers Authority (JPA) with three members – CCWD, Union Public Utility District (UPUD) and the City of Angels Camp (COA). The newly formed JPA took ownership of a 27-mile-long water conveyance system, five reservoirs, and two powerhouses. A settlement agreement awarded a portion of PG&E’s water rights to NCPA (28 CFS), and the remainder was awarded to UPA (60 CFS).

Although some water rights were lost as part of the settlement agreement, the JPA did benefit from the construction of the North Fork Project in the 1980s, which was financed by NCPA and owned by CCWD. The total cost of the project was around $650 million, which was used to build New Spicer Dam and Powerhouse, the North Fork Diversion Tunnel, McKay’s Dam, the Collierville Tunnel and the Collierville Powerhouse. McKay’s, built just downstream of Calaveras Big Trees State Park, is a dam holding back around 2,000 acre feet of water, and its purpose is to divert the majority of the North Fork Stanislaus River water into an 18-foot diameter tunnel that is 8 ½ miles long and terminates at the 252-megawatt Collierville Powerhouse, which was constructed at the end of Camp 9 Road near Murphys. As Stanislaus River water flows through the Collierville Tunnel beneath Avery, Utica withdraws a portion of it through a “Tunnel Tap”, which is a 3-foot-diameter vertical shaft drilled into the tunnel below ground. Since McKay’s elevation is higher than the tunnel’s elevation at Avery, gravity creates head pressure that pushes the water up the Tunnel Tap and delivers it into Utica’s ditch system without the need for pumps. The Tunnel Tap discharges water into the Upper Utica Canal, which is the last remaining remnant of an 8-mile canal / flume that historically stretched from McKay’s Diversion Dam on the Stanislaus River near Calaveras Big Trees to Hunter Reservoir in Avery. That upper section of ditch / flume was abandoned following the construction of the Collierville Tunnel, which delivers water to the remainder of Utica’s 27- mile-long water conveyance system near Avery.

Following the 2001 Darby Fire in 2003, CCWD chose to leave the JPA, which left UPUD and the City of Angels Camp as the only remaining members. A $1.5 million loan was Utica Strategic Plan - 5
repaid to CCWD over the next 10 years, which had been taken out to fund the purchase of the system from PG&E. In 2013, Utica Power Authority was renamed to “Utica Water and Power Authority” to reflect its primary mandate, which is providing a safe, reliable water supply to the communities who rely on Utica’s water.

Who We Are Today
A staff of 10 operate an intricate 27-mile-long water conveyance system consisting of Gold-Rush-era earthen ditches partially lined with gunite, more than 20 wooden flumes, and five water storage reservoirs, all utilized to convey water from Avery to Angels Camp.

Utica’s water serves the residential, commercial and agricultural needs of more than 10,000 people who live along the Highway 4 Corridor between Murphys and Angels Camp. To help fund the operation and maintenance of the conveyance system, Utica operates two hydroelectric powerhouses – one in Murphys and one in Angels Camp.

In an average year, Utica holds pre-1914 water rights for more than 33,000 acre feet of water from a combination of Mill Creek and the North Fork Stanislaus River. Utica conveys this untreated water supply to UPUD and COA who serve Murphys, Douglas Flat, Vallecito, Six Mile Village, Carson Hill and Angels Camp, as well as to more than 20 agricultural customers directly from the ditch. A family of four with a standard home size, lawn, and garden uses about 1 acre foot of water annually, which is about 326,000 gallons.

Utica’s water falls as rain and snow in the North Fork Stanislaus Watershed in the high Sierra between Ebbett’s Pass and Sonora Pass. Runoff flows through Highland Creek, Silver Creek and the North Fork Stanislaus, as it passes through Lake Alpine and Utica, Union and Spicer Reservoirs, before the tributaries join together to form the main stem North Fork Stanislaus River.

The remaining section of the Upper Utica Canal carries water from the Tunnel Tap into Hunter Reservoir near Avery. Utica releases water from Hunter into the “Lower Utica Canal”, which flows 13 miles through canals and wooden flumes along the steep wall of the North Fork Stanislaus River Canyon from Avery to Murphys. Several irrigation customers have water services along this section.

The Lower Utica Canal ends at the Murphys Forebay on a hill above Murphys. Just upstream of the forebay, water is supplied to Cadamartori Reservoir, which is owned by the Union Public Utility District (UPUD) and used to supply its Water Treatment Plant, which serves more than 2,000 customers. Additionally, Utica’s water is diverted into UPUD’s North Ditch and South Ditch, which serve more than 100 irrigation customers in Murphys, Douglas Flat, Vallecito and along Red Hill Road to Carson Hill.

Water from the Murphys Forebay is released into the Murphys Penstock (large pipe above a hydroelectric powerhouse) that drops 650 feet down a steep hill to spin a 7-foot- Utica Strategic Plan - 6
diameter Pelton Wheel that powers Utica’s 3.6 megawatt Murphys Powerhouse. Built in the 1950s, the Murphys Powerhouse still uses many original components used to convert the water’s potential energy into mechanical energy and electrical energy. The Murphys Powerhouse is interconnected to the PG&E grid, and Utica entered a 20-year power purchase agreement with PG&E in 2021.

After spinning the Pelton Wheel, water exits the powerhouse out the tailrace (the conduit where water flows out of a hydro powerhouse) into Murphys Afterbay, which can be seen from Highway 4 at the lower end of Utica Grade just east of Murphys. From there, the water is released into the Angels/Murphys Creek and flows through Murphys Park. Once the water leaves the Murphys Afterbay, it leaves Utica’s jurisdiction for the next few miles.

Few people realize that without Stanislaus River water from Utica, the creek in Murphys Park would be dry during the summer and fall months, since Angels Creek’s natural watershed is seasonal.

Downstream of Murphys, Utica diverts a portion of the creek water using its Angels Creek Diversion Dam and 5-cubic-feet per second (2,244 gallons per minute) is released into Lower Angels Creek to meet environmental requirements in Utica’s FERC license.

The File Flume, the longest flume on the Angels Canal/Flume system, can be seen from Murphys Grade Road and carries water through the Upper Angels System, which flows along a steep hillside and passes through irrigated pastureland, eventually flowing into Utica’s Ross Reservoir near French Gulch Road. Ross is the primary backup water supply for the City of Angels Camp, and is a critical asset in the event of an emergency. From Ross, water is released into the Lower Angels Canal and it flows about three miles until ending at the Angels Forebay, which is on the hill above Angels Camp near Rolleri Landscape Products on Murphys Grade Road. Utica uses the Angels Forebay to supply water to the City of Angels Camp’s water treatment plant and the Dogtown Ditch Users Association. However, the majority of the water from the Angels Forebay flows into Utica’s Angels Penstock, which supplies the Angels Powerhouse on Booster Way, along with agricultural customers along its 8,000-foot length, which drops 430 feet. The large, gray penstock can be easily seen from the Highway 4 Bypass near Angels Camp and Murphys Grade Road.

Utica’s Angels Powerhouse was built in the 1940s and has a nameplate rating of 1.4 megawatts. Once water passes through the plant, it is released through the tailrace back into Angels Creek. Some of that water is provided to the Greenhorn Creek Golf Course for irrigation, however, the majority of the water is not consumed in Calaveras County. All unused water flows into New Melones Reservoir, and Utica no longer has the right to use or sell that water. The water is used by agencies that have storage rights in Melones, including the U.S. Bureau of Reclamation, South San Joaquin Irrigation District, and Oakdale Irrigation District.

Utica Strategic Plan - 7
Challenges We Face
Aging Infrastructure
With some infrastructure more than 150 years old, the Utica water conveyance system and powerhouses are in need of repairs and replacements. A large infusion of funds is needed to avoid major system failures. To address these challenges, the Utica Board of Directors adopted a Capital Improvement Plan (CIP) in 2020, which provides a rolling five-year road map to address aging infrastructure needs. The list of projects is long and the cost is much higher than Utica’s annual revenues can support.

Regulatory Compliance
In addition to infrastructure, there is a substantial regulatory compliance burden Utica must satisfy in order to continue operating and remain in compliance with the Federal Energy Regulatory Commission (FERC), and the California Division of Safety of Dams (DSOD), among others. Utica spends hundreds of thousands annually to stay in compliance and costs are expected to increase each year.

Natural Disasters
There are numerous natural disasters that pose an ever-present danger to Utica’s infrastructure. Wooden flumes are highly vulnerable to wildfires, and could also be damaged or destroyed by landslides, tree falls and severe weather events. In 2001, the Darby Fire burned seven of Utica’s 24 wooden flumes and caused more than $4 million in damage to the system, along with cutting off the sole public water supply to more than 10,000 people. Utica’s canals and dams are vulnerable to damage from landslides, treefall, earthquakes, and severe weather events.

Revenues vs. Expenses
Depending on the water year, Utica can earn between $600,000 and $1.8 million in power sales, which is the vast majority of annual revenues generated directly by Utica. A key supplementary source of revenue is contributions from Joint Powers Authority (JPA) member agencies, UPUD and COA. Other sources of revenue include fees from Utica’s agricultural customers and lease revenues, but these are minimal. When factoring in Operations and Maintenance, the Capital Improvement Plan, and Reserves Policy, Utica’s annual budget is generally around $3 million, which creates a substantial financial shortfall. Utica is working to identify new sources of revenue, and pursuing grant funding Utica Strategic Plan - 8
to help close this gap, but in the near-term contributions from the JPA members are essential for Utica to balance its budget.

FERC Relicensing
Perhaps the biggest challenge facing Utica comes in 2033, when the Utica and Angels Hydroelectric Projects are up for relicensing. The relicensing process takes a minimum of five years to complete, and is projected to cost millions of dollars. In 2021, staff and Board members began analyzing options to determine what course of action is in the best interest of the JPA and the community it serves.

Community Education and Awareness
As of 2020, very few people in the communities of Avery, Murphys, Vallecito, and Angels Camp knew about Utica or the purpose it served in providing the community’s sole water supply. In an effort to change this, Utica created a new website, www.uticawater.com, Facebook page www.facebook.com/uticawaterpower and is working with community groups to share Utica’s story and build a stronger relationship with community stakeholders. The goal of this ongoing effort is to increase the community’s understanding of the complexities and costs related to providing this precious water supply and supporting Utica through rates.

Values and Goals
Our core values and strategic goals reflect who we are as an organization, who we want to be, and how we plan to get there. They were refined and revisited over a series of meetings through a collaborative process with our Board of Directors and Utica staff. We will use these values and goals to guide the actions we take and inform decisions we make.

Utica Strategic Plan - 9
Our Core Values

1. Employee Well-Being: We value the health and wellbeing of our employees and support a balance between work and personal responsibilities.

2. Effective and Safe Workforce: We support well-qualified, well-trained and committed employees who work safely, provide excellent customer service, and give their best to get the job done.

3. Teamwork: We believe that inclusive teamwork is fundamental to our success.

4. Professionalism: We will be professional, respectful, considerate, self-aware, honest, and caring in our interactions with colleagues and community stakeholders.

5. Organizational Integrity: We are committed, respectful, responsible, ethical, and accountable.

6. Stewardship: We will be responsible and thoughtful stewards, respect the rich history of our system and community, and manage resources sustainably for future generations.

7. Pride: Our Conveyance, Hydroelectric, and Administrative teams take personal ownership and pride in our responsibilities.

8. Communication: We are committed to being transparent with each other and community stakeholders and practicing open and honest communication.

9. Leadership: We will be proactive in promoting and protecting the interests of our JPA, customers, and the community.

10.Innovation: We will seek solutions to challenges and improve the services we provide using creative ideas and ingenuity.

Utica Strategic Plan - 10
Our Strategic Goals

1. Joint Powers Authority Partnerships
a. Actively seek and explore ways in which Utica could partner more closely with the Union Public Utility District and City of Angels Camp. This includes, but is not limited to:
• Joint emergency response training and planning
• Equipment-sharing agreement
• Labor-sharing agreement
• Multi-agency grant applications

2. Water Supply
a. Protect and develop Utica’s water rights.
b. Work collaboratively with other water rights holders in the region to protect our collective interests.
c. Expand water deliveries to existing customers and take on new customers.
d. Improve water reliability and resiliency.
e. Reduce water loss by minimizing system leaks.
f. Take a leading role in protecting our watersheds and infrastructure by promoting healthy forest management projects for wildfire protection, water yield, and water quality.

3. Hydropower
a. Ensure hydropower resources are fully utilized to support the Authority’s goals.
b. Determine funding mechanisms to support FERC relicensing or another preferred alternative.
c. Develop a comprehensive energy strategy that explores options to generate additional revenue or decrease operational costs, which could include upgrading existing powerhouses or adding additional units.

4. Natural Disasters
a. Update Utica’s Local Hazard Mitigation Plan annually, and use it as a guide to take proactive actions to prepare for natural disasters. b. Maintain defensible space around all critical infrastructure, per Cal Fire’s recommendations.
c. Actively pursue funding for large fuels-reduction projects to protect Utica’s critical infrastructure and the community at large.
d. Harden Utica’s critical infrastructure against natural disasters e. Write an Emergency Response Plan (ERP) that addresses emergencies not covered in Utica’s existing Emergency Action Plan (EAP) Utica Strategic Plan - 11

5. Fiscal Responsibility
a. Develop and commit to a long-term financial strategy and framework to fund the projects identified in the Capital Improvement Plan (CIP) and other long-term Authority obligations and needs.
b. Explore alternative funding and financing through grants, loans and partnerships to execute our CIP for short, mid- and long-term investments. c. Develop best management practices for budget forecasts and tracking, and base decisions on data-driven outcomes that define and reflect value and cost effectiveness.
d. Commit to responsible financial decisions during our day-to-day operations.
e. Effectively communicate Utica’s fiscal needs to our JPA members and develop a long-term funding agreement.

6. Infrastructure
a. Ensure our infrastructure is operated and maintained to realize its maximum expected lifespan.
b. Implement preventive, predictive, and corrective maintenance plans to ensure safe and reliable operations.
c. Rehabilitate or replace aging infrastructure to increase reliability, capacity, and efficiencies.
d. Complete alternatives analysis studies on key infrastructure and identify repair and replacement costs and options for implementation. e. Implement a communications and control Line of Sight (LOS) tower and radio network.
f. Sediment removal from Hunter Reservoir, Murphys Forebay, Murphys Afterbay, and Ross Reservoir.
g. Hunter Reservoir Dam testing and repairs.
h. Angels Penstock repairs and / or replacement.

7. New Revenues and Grants
a. Seek new revenue sources such as new hydropower facilities, adding irrigation and municipal customers, and lease opportunities. b. Build an effective team of in-house staff and outside consultants to develop a comprehensive, strategic, and successful Grants Program. c. Implement and report on grants that have been awarded. d. Continue pursuing new grant opportunities, with special focus on grant funding that supports Utica’s CIP.

8. Regulatory Compliance
a. Put plans and procedures into place to carefully track regulatory requirement schedules.

Utica Strategic Plan - 12
b. Provide staff with ongoing training regarding regulatory compliance. c. Comply with FERC and DSOD mandates, including the Emergency Action Plan (EAP), implementation of recommendations in the Owner’s Dam Safety Plan (ODSP) Audit, and all other FERC license requirements.

9. Administration and Planning
a. Value the team that enables us to deliver on the Strategic Plan goals and objectives and upholds Utica’s core values.
b. Maintain up-to-date Board policies, and bring new policies to the Board for consideration as needed.
c. Expand employee safety training program in an effort to meet best practices.
d. Offer employees additional educational and professional growth opportunities.
e. Update Utica’s Employee Handbook.
f. Initiate strategic planning regarding the JPA’s organizational structure. g. Work with legal counsel and JPA member agencies to update and revise the JPA agreement.
h. Utilize new software, hardware and digital workflow strategies to increase employee and organizational efficiencies.
i. Consider drafting a Utica System Public Access policy to enact official rules regarding public access to the Utica conveyance system. j. Invest in employee engagement and wellness for recruitment and retention
k. Ensure proactive succession planning to leverage our sustaining staff knowledge and integrate the next generation to inspire stability and innovation.

10.Community Education, Engagement and Partnerships
a. Develop and implement a Communications Plan that supports Utica’s outreach to internal and external partners and reflects our shared values and mission.
b. Create a recognizable presence in the County through engagement in community events and outreach opportunities.
c. Continue to develop relationships with local, regional, state, and federal partners to manage Utica’s risk and leverage our assets. d. Educate and engage our communities regarding Utica’s history, purpose, and the challenges we face.
e. Closely monitor and engage in relevant local, state, or federal, policy developments that may affect the Authority.

Utica Strategic Plan - 13
Participants
The Utica Water and Power Authority is grateful to those who contributed to this planning process, including:

Utica Board of Directors
• Ralph Chick, Board Chair, Representing Union Public Utility District • Alvin Broglio, Board Vice Chair, Representing City of Angels Camp • Greg Rasmussen, Director, Representing Union Public Utility District • Jennifer Davis-Herndon, Director, Representing City of Angels Camp • Gary Conrado, Director, Representing Community at Large • Larry Thompson, Alternate Director, Representing Community Large Utica Staff
Joel Metzger, General Manager
Kyle Rasmussen, Conveyance Supervisor
Frank Fields, Operations and Maintenance Superintendent Ryan Heryford, Relief Hydroelectric and Conveyance Operator Sebastian Martz, Senior Conveyance Operator
Mike Emehiser, Senior Hydroelectric Operator
Jeremiah Hyde, Hydroelectric Operator
Lori Karnes, Administrative Manager
Shelly Davis, Administrative Assistant
Shawn Graham, IT Administrator
Utica Strategic Plan - 14
Utica Water and Power Authority
1168 Booster Way
Angels Camp, CA 95222
uticawater.com
(209) 736-9419

NORMAL TO

WET YEARS
Month
0 -
100,000
(b)
100,001
-
140,000
140,001 -
320,000
320,001 -
400,000
400,001
-
500,000
500,001 -
& Greater
WY 6 WY 5 WY 4 WY 3 WY 2 WY 1
May 1,342 1,646 1,955 2,257 2,538 2,834
June 1,409 1,708 2,005 2,315 2,603 2,906
July 1,500 1,795 2,041 2,404 2,704 2,979
August 1,583 1,876 2,183 2,472 2,780 3,046
September 1,538 1,833 2,101 2,398 2,697 2,953
October 1,551 1,845 2,152 2,472 2,780 3,019
November 1,257 1,547 1,846 2,136 2,402 2,694
December 1,278 1,568 1,574 2,183 2,455 2,730
January 1,216 1,506 1,752 2,134 2,400 2,682
February 1,072 1,333 1,616 1,883 2,118 2,378
March 1,186 1,478 1,783 2,091 2,352 2,639
April 1,175 1,470 1,708 2,085 2,322 2,654
Total 16,107 19,605 22,716 26,830 30,151 33,514
(a) Flow as measured at Mill Creek Tap gage and at the gage on Mill Creek immediately upstream of Hunters Reservoir. (b) The following conditions must exists to consummate monthly water deliveries:
1) Sufficient water must be available without the need to pump; Amended

ATTACHMENT A
to the
Agreement Between
Northern California Power Agency
and
Calaveras County Water District
Regarding
Utica/Angels Hydroelectric Projects
(Effective January 1, 2008)
Schedule of Maximum Delivery in Acre-Feet
To the Utica/Angels Projects from combined flow of
Mill Creek Tap and Mill Creek (a)
Department of Water Resources May 1 Forecast of Total Unimpaired Runoff from April through July into the Stanislaus River below Goodwin Reservoir (acre-feet)

DRY YEARS
The Parties may, by mutual written agreement, modify the monthly allocations to best serve the respective needs of each Party. 2) All FERC Project 11563 and FERC Project 2409 license compliance requirements will have priority; as well as other mandated restrictions or requirements imposed by appropriate government and/or regulatory authorities which may result from critically dry water conditions will have priority; and 3) CCWD, NCPA, and UPA agree to meet prior to May 1 during any year when CDWR issues an annual forecast of inflows of 100,000 Af or less to discuss then existing conditions and prospective water delivery scenarios for the coming Utica Water and Power Authority: Projected Annual Power Sale Revenue WY1 WY2 WY3 WY4 WY5 WY6

MPH APH MPH APH MPH APH MPH APH MPH APH MPH APH
May 104,213$ 47,196$ 89,919$ 39,230$ 76,641$ 31,595$ 63,145$ 23,463$ 51,114$ 15,164$ 39,084$ 6,866$ June 104,595$ 45,971$ 89,951$ 37,780$ 76,562$ 30,070$ 62,749$ 21,718$ 51,107$ 13,688$ 39,464$ 5,657$ July 104,640$ 43,903$ 91,342$ 36,601$ 77,296$ 28,468$ 60,777$ 18,261$ 51,153$ 11,623$ 39,603$ 3,656$ August 106,385$ 44,981$ 93,302$ 37,844$ 78,966$ 29,546$ 65,900$ 21,745$ 53,869$ 13,447$ 42,320$ 5,480$ September 88,265$ 45,160$ 91,838$ 38,253$ 77,931$ 30,223$ 64,554$ 22,192$ 54,076$ 14,964$ 42,433$ 6,934$ October 85,980$ 51,377$ 90,296$ 44,904$ 83,504$ 36,606$ 69,133$ 27,976$ 57,103$ 19,677$ 45,554$ 11,711$ November 80,446$ 55,452$ 69,417$ 47,582$ 76,236$ 40,354$ 63,129$ 32,484$ 51,486$ 24,453$ 40,077$ 16,583$ December 105,892$ 57,591$ 92,316$ 50,122$ 79,478$ 42,820$ 53,888$ 26,389$ 53,648$ 26,223$ 42,339$ 18,422$ January 103,784$ 56,479$ 90,002$ 48,844$ 77,460$ 41,708$ 60,818$ 31,418$ 51,194$ 24,779$ 39,885$ 16,979$ February 92,162$ 50,069$ 79,520$ 43,023$ 68,453$ 36,727$ 56,497$ 29,532$ 45,413$ 21,886$ 33,678$ 13,791$ March 101,934$ 55,251$ 88,191$ 47,616$ 75,689$ 40,480$ 61,973$ 32,181$ 49,942$ 23,883$ 38,634$ 16,082$ April 101,630$ 54,753$ 86,076$ 45,920$ 74,676$ 39,495$ 58,344$ 29,376$ 49,030$ 22,952$ 37,387$ 14,921$ Revenue $ 608,182 1,179,927 $ 1,052,170 $ 517,719 $ 922,892$ 428,091$ 740,906$ 316,735 $ $ 232,739 619,135 $ $ 137,083$ 480,458Total Revenue $1,788,109 $1,569,889 $1,350,984 $1,057,641 $851,874 $617,541 Updated January 2024
DATE:

TO:

FROM:

RE:

January 31, 2023
Joint UWPA Board
Rebecca Callen, City of Angels City Administrator

JOINT POWERS AGREEMENT REVIEW
RECOMMENDATION:

The staff recommends that the members of the Joint Powers Authority (JPA) discuss the formation of an ad hoc committee. This committee's primary task will be to conduct a thorough review of the existing JPA Agreement for the Utica Water and Power Authority (UWPA). It is essential that the composition of the ad hoc committee effectively represents both member agencies, ensuring a balanced and comprehensive review process.

Additionally, the staff advises the JPA members to consider and approve the allocation of an additional legal budget. This budget will be instrumental in facilitating the review of the draft agreement by legal experts, ensuring that all modifications and updates align with current legal standards and best practices.

The formation of this ad hoc committee and the allocation of the necessary legal budget are critical steps towards enhancing the efficiency and effectiveness of the UWPA's operations, ultimately benefiting all stakeholders involved.

BACKGROUND:

The Utica Power Authority (UPA), established through its original Joint Powers Agreement (JPA) on December 20, 1995, has been a cornerstone in managing and regulating regional power resources and conveying water to its member agencies. Over the years, this foundational agreement has experienced a series of amendments and clarifications. These modifications were essential to adapt to the dynamic landscape of energy needs, technological advancements, member agency needs, and regulatory challenges. The evolving nature of the JPA reflects UWPA's commitment to staying responsive and efficient in the face of changing demands and opportunities within the energy sector.

DISCUSSION:

The trajectory of UWPA’s governance and operational frameworks can be traced through a series of significant amendments and clarifications made to our foundational agreements and bylaws.

This historical overview serves as a foundational reference as we move forward with consolidating these changes into a cohesive document. The detailed chronology is as follows:

1. 1995: Establishment of the Utica Power Authority Joint Powers Agreement 5B

This year marked the formal definition of the Utica Power Authority agreement and its membership structure, laying the groundwork for our collaborative endeavors in power management.

2. June 2001: Modification of Section 3.2(b)
This amendment granted discretionary power to the UPA Water and Power Sales Committee for power purchases by NCPA, contingent upon the full board’s concurrence. This represented a shift towards more dynamic decision-making within the committee structure.

3. February 2002: Rescinding 2001 Amendment in Section 3.2(b) In a significant turn, the 2001 amendment was rescinded, authorizing the Water and Sales Committee to independently enter into power sales agreements, enhancing the committee's autonomy in operational decisions.

4. July 2003: Preliminary Discussions with CCWD
This period initiated the discussions and drafting of a withdrawal agreement with the Calaveras County Water District (CCWD), indicating a reevaluation of membership and partnerships.

5. January 2005: Structural Reorganization of Sections 3.2 and 3.3 This amendment brought clarity to officer roles and streamlined meeting schedules, reflecting an ongoing effort to optimize organizational governance.

6. May 2005: CCWD Membership Amendment
A significant organizational change occurred with the amendment to remove CCWD as a member of the Joint Powers Authority, reshaping the membership landscape.

7. March 2013: Foundational Date Correction and Addition of Section 2.5 This amendment corrected the historical record of the Authority’s founding date and introduced Section 2.5, transitioning from UPA to UWPA, signifying a pivotal rebranding and structural evolution.

8. March 2016: Amendment to Section 3.1(a)
This change introduced a provision for the appointment of an alternative at-large public member, expanding the scope and inclusivity of board representation.

9. October 2019: Expansion with Sections 4.5 and 4.6
The inclusion of these sections addressed CalPERS enrollment and clarified the responsibilities of member agencies, ensuring compliance with broader regulatory frameworks.

Moving forward, it is imperative to note that several other resolutions passed between 1995 and 2019 need thorough examination. Our staff is tasked with researching and compiling these amendments into a unified document. This comprehensive document will serve as a vital reference for the proposed ad hoc committee, which will review and make informed recommendations, subject to legal review, to all JPA member agencies. The consolidation of these amendments will not only streamline governance but also provide clear guidance for future amendments and organizational decisions.

Staff Recommendations
Recognizing the evolving needs of the Utica Water and Power Authority (UWPA) and its member agencies, it's proposed to form a specialized ad hoc committee. This committee, comprising Board members and staff, will undertake a focused review of the Joint Powers Agreement (JPA), aiming to enhance its clarity and effectiveness.

The committee’s task is to identify areas in the JPA needing further clarification or amendment. By combining the strategic insights of Board members with the operational knowledge of staff, the committee is uniquely positioned to offer comprehensive recommendations.

Upon completion of the review, the committee will present its recommendations to the full board and agency bodies, ensuring the JPA remains a dynamic and effective framework for UWPA’s future operations and collaborations.

FINANCIAL IMPACT:

Cost of a legal review.

ATTACHMENTS:

Partial Agreement

1 UTICA WATER AND POWER AUTHORITY
Date:

To:

From:

Re:

January 31, 2024
Joint Powers Authority Member Entities
Joel Metzger, General Manager
Utica Water and Power Authority Financial Overview
Recommended Action:

Discussion/direction only.

Summary:

For most of its existence, the Utica Water and Power Authority (Utica, Authority), a Joint Powers Authority (JPA), relied on revenues from hydropower sales and water sales to the Northern California Power Agency (NCPA) to provide funding for operations and maintenance (O&M), capital improvements (CIP), reserve contributions, and debt payments. In addition to covering O&M, CIP, and reserve costs, the Authority paid off more than $4 million in debt (including interest), which was taken out to purchase the system from PG&E. The debt was paid in full in 2016.

In 2014, the Utica Board determined this approach was no longer sufficient to meet the needs of the Authority. From 2014 to 2023, the Utica Board has approved budgets that rely on contributions from JPA members: City of Angels (COA), and the Union Public Utility District (UPUD). These contributions ranged from a low of $100,000 in FY 2014-2015 to a high of $980,000 in FY 2022- 2023.

While Utica has successfully increased hydropower revenues and obtained grant funding, expenses continue to exceed revenues.

One of the most difficult challenges Utica faces is the volatility of hydropower and water sale revenues. Utica has a contractual agreement with the Northern California Power Agency (NCPA) that dictates how much water can be diverted from Mill Creek and the North Fork Stanislaus River under Utica’s water rights. This agreement is called “
Utica is actively pursuing a Federal Energy Regulatory Commission (FERC) Exemption for both the Utica Project (P-2019) and Angels Project (P-2699), which is a regulatory reduction effort that could reduce current and future expenses by millions of dollars, thereby decreasing the financial burden on COA and UPUD.
5C
2 Additionally, Utica is exploring major grant-funded infrastructure projects that could reduce the risk of damage to the system by natural disasters and could also provide opportunities to substantially reduce ongoing maintenance costs.

However, over the next five years and beyond, it is expected that Utica will continue to rely on contributions from COA and UPUD to balance its budget, providing the Authority Board continues to support existing priorities.

Background:

In 2017, Utica entered into a Renewable Energy Market Adjusting Tariff (ReMAT) power purchase agreement with PG&E for the Angels Powerhouse. This increase the average price per megawatt hour (MWh) from $23.00/MWh to $89.23/MWh.

In 2021, Utica entered into a second ReMAT agreement – this time for the Murphys Powerhouse.

That agreement increase the average price from $29.00/MWh to $73.50/MWh. Since Murphys is a larger powerhouse than Angels, the 2021 agreement had a large impact on hydro revenues.

This table provides an estimate of hydropower revenues for MPH and APH 3 This table shows the Water Years from 1999 to 2023. Average is 2.04.

This table shows Utica’s primary revenues from 2007 to 2023 4 This table shows Utica’s O&M, Water CIP, and Power CIP spending from 2004-2023 This table shows JPA Member contributions to Utica from 2013-2024. Between 1995 and 2012, no contributions were made to Utica by COA or UPUD.

Next Steps:
5 Utica will continue to seek new revenue sources and increase existing revenues. Grant applications are being submitted each year, and Utica staff is optimistic that the success with grant funding over the past few years will continue.

Utica, COA, and UPUD staff are discussing funding agreements options. These discussions are timely, as both COA and UPUD are in the process of conducting rate studies in 2024.

Attachments:

1. Presentation given to a Joint JPA Meeting on February 25, 2020, by interim UWPA General Manager, Dave Andres.

2. UWPA Reserves Policy: Adopted June 20, 2020. Amended May 24, 2022.

3. UWPA Capital Improvement Plan. Amended and adopted December 12, 2023.

4. UWPA Adopted Budget FY 2023-2024
Please Note:

UWPA’s Interim General Manager,
Dave Andres, Presented The
Following Slides to the Joint JPA
Meeting on February 25, 2020

JOINT AGENCY MEETING
• UTICA WATER & POWER

AUTHORITY
• CITY OF ANGELS CAMP
• UNION PUBLIC UTILITY

DISTRICT
• DATE: FEBRUARY 25, 2020
• TIME: 5:30 PM
• LOCATION: City of
Angels Camp
Fire Station
2 UWPA JOINT POWERS AUTHORITY (JPA)
• FORMATION: The Utica Water and Power Authority
(UWPA) was formed in December 1995 as a Joint
Powers Authority (JPA)
• ORIGINAL MEMBERS: The City of Angels Camp
(COA), Union Public Utilities District (UPUD) and
the Calaveras County Water District (CCWD)
• PURPOSE: To acquire Pacific Gas & Electric’s (PG&E)
Highway 4 water conveyance and hydroelectric
facilities
• ACQUISITION: CCWD purchased the system in 1996
and subsequently sold a portion of the facilities to
UWPA. This included contractual obligations to sell
non-treated water to the town of Murphys, COA
and adjacent properties. CCWD withdrew from the
JPA in 2004 and UWPA’s remaining authority
members purchased CCWD’s portion. 3

DESCRIPTION OF MAJOR

SYSTEM COMPONENTS
• NORTH FORK DIVERSION: a dam and reservoir
to convey water from the North Fork of the
Stanislaus River to Angels Creek • DITCHES AND FLUMES: 27 miles of conveyance facilities with portions of the system dating back
to the late 1800’s and early 1900’s • STORAGE RESERVOIRS: 5 reservoirs with a combined capacity of 447-acre feet (AF)
• HYDROELECTRIC PLANTS: purchased by PG&E in
1946 to generate hydroelectric power from the
systems two power plants at Murphys (3.6
Megawatts [MW]) and Angels Camp (1.4 MW) • Water Rights: up to 33,513-AF per year subject to water year type and existing agreements that
provide untreated water supplies to member
agencies and UWPA customers
4 Organization & Staffing
 Five-member Board of Directors (2 members each agency and 1 public member appointed by the agency members)  General Manager
 Senior Management – O & M Superintendent,
Water Conveyance Superintendent & Administrative
Manager
 1.5 Water Conveyance Operators
 2.5 Hydroelectric Operators
 0.5 Administrative Assistant
 0.75 Information Technology Administrator 5
Water Year Unimpaired
Runoff in Acre
Feet (1)
Percentage of
Average
Water Year
Tier
Schedule
2005 970,000 136% 1
2006 1,310,000 175% 1
2007 290,000 46% 4
2008 500,000 71% 2
2009 580,000 83% 1
2010 770,000 110% 1
2011 1,150,000 164% 1
2012 370,000 53% 3
2013 360,000 52% 3
2014 240,000 34% 4
2015 95,000 14% 6
2016 670,000 96% 1
2017 1,490,000 218% 1
2018 580,000 83% 1
2019 1,080,000 158% 1
(1) April – July Forecast for Stanislaus River below Goodwin Dam UWPA Holds Senior Pre-1914
Water Rights – Subject to
Regulatory and Contractual
Limitations and Highly Variable
Flow Rates
6 Reliance on Electrical Generation Revenues
Fiscal Year /
Water Tier
Hydroelectric
Revenue
Total Member
Contributions
All Other
Revenue*
Total
Revenues
2009-10 /1 $1,255,782 $2278 $109,980 $1,368,040
2010-11 /1 $1,372,791 $2187 $96,121 $1,471,099
2011-12 /1 $1,267,505 $2025 $35,914 $1,305,444
2012-13 /3 $954,835 $2491 $17,745 $975,071
2013-14 /3 $1,061,058 $102,935 $39,379 $1,203,372
2014-15 /4 $671,053 $380,000 $58,715 $1,109,768
2015-16 /6 $379,180 $476,000 $344,896 $1,200,076
2016-17 /1 $953,966 $540,000 $99,181 $1,593,147
2017-18 /1 $1,230,933 $250,000 $148,805 $1,629,738
2018-19 /1 $1,150,348 $250,000 $511,752 $1,912,100
Average $1,029,745 $200,792 $146,249 $1,376,786
**2019-20 /1 $1,208,412 $360,000 $145,654 $1,714,066
*Excludes Grants; **Estimated 7
Change in Power Generation Market
• Weak Energy Markets
• Abundant Natural Gas
• Competition from
Renewables (i.e. Wind
& Solar)
• Water Availability - Dry
Years, Limited Storage,
Contractual &
Regulatory Restrictions
Problem – Insufficient
Generation Revenues:
8 9
Fiscal Year Hydroelectric
Revenue
Water
Tier
Year
Total Revenue
Less Member
contributions
Total
Member
Contributions
2014-15 $671,053 4 $729,768 $380,000
2015-16 $379,180 6 $724,076 $476,000
2016-17 $953,966 1 $1,053,147 $540,000
2017-18 $1,230,933 1 $1,379,738 $250,000
2018-19 $1,150,348 1 $1,662,100 $250,000
2019-20* $1,208,412 1 $1,354,006 $360,000
* Projected
Review of Audited Revenues
10 Current UWPA Funding
Model
:
• Minimize Agency
Contributions
• Set Agency Contributions
based on Water Year Type
• Rely on Hydroelectric
Revenue to Fund JPA
• Defer Operational and
Capital needs
Current UWPA Financial
Situation:
• Operating Deficit 9 out
last 10 Fiscal Years
• Inadequate Reserves • Limited funding for FERC
Relicensing (2033)
• Limited Maintenance &
Repair Budget
• Inadequate Capital
Improvement Funding
• Anticipate Difficulty
Obtaining Grants/Loans
Due to Audit Deficits
11 Deferred Equipment and Capital Maintenance
• Canal, Flume, Weir and Ditch
Maintenance & Repair
• Reservoir Sedimentation Issues
• Trash Rake Replacement
• Angels Penstock
• Murphys Powerhouse: Relay
Protection, Needle Control
• Automation Upgrades:

Communications, Alarms, Controls
12 Need to Upgrade and Modernize
Equipment and Facilities
13 Proposed Draft Reserve Policy
Goal Current
•Emergency Reserve ........$170,000 0
•Operating Reserve ..........$425,000 $85,000
•Capital Reserve ...............$250,000 0
•FERC Reserve ...............$3,675,000 $250,000
14 15
Proposed Draft
Capital
Improvements
Over the Next
5-Years
16 Sample of Major Projects:

Lower Utica Flume Improvements.................................$600,000 Murphys Forebay & After-bay Sediment Removal..........$125,000 Murphys Trash Rake Replacement / Relocation..............$385,000 Hydroelectric Feasibility & Facility Assessment Studies...$200,000 Reserves
FY 2020-21 FY 2011-22
Emergency Reserve: Goal -10% of the Operating Budget
Expenses ($170,000).................................................................. $50, 000 $20,000 Operating Reserve: Goal -25% of the Operating Budget
Expenses ($425,000).................................................................. $65,000 $60,000 Capital Reserve: Goal - $250,000 Flat Amount........................... $50,000 $50,000 FERC Reserve: Goal - $3,675,000 Flat Amount............................$250,000 $300,000 17 Relicensing Expenses
18 19
Budget Category Fiscal Year
2020-21
Fiscal Year
2021-22

REVENUE SOURCE ESTIMATED ESTIMATED
POWER SALES $1,200,000 $1,200,000
MEMBER CONTRIBUTIONS $810,000 $834,000
ALL OTHER REVENUES $165,000 $166,000
TOTAL REVENUES: $2,175,000 $2,200,000
Note: Excludes Grant Funding
Proposed Revenues for Fiscal Years ending June 30, 2021 & 2022 20 PROPOSED EXPENDITURES FY 2020-21 FY 2021-22
WAGES & EMPLOYEE BENEFITS $985,000 $1,015,000

FERC / DAM SAFETY / FEES /

HYDROGRAPHY
$255,000 $245,000
RESERVES $440,000 $455,000
CAPITAL CONVEYANCE REPAIRS & IMPROVEMENTS $180,000 $208,000 SERVICES & SUPPLIES $605,000 $624,000
OTHER CAPITAL IMPROVEMENT PROJECTS $157,000 $408,000
CAPITAL OUTLAY 70,000 60,000
TOTAL ESTIMATED EXPENDITURES: $2,692,000 $3,015,000
Net Surplus / (Shortfall) ($517,000) ($815,000)
Percentage Surplus / (Shortfall) 19% 27%
Proposed New
Funding Model
• Agencies pay fixed amount
annually for the first two years
(FY’s 2020-21 & 2021-22)
• Year 3 – Five-year Operating, Capital and Reserve Costs estimates established for UWPA
• Agencies Coordinate Proposition
218 Hearings for JPA costs in FY
2021-22
• Eliminate water year type from
funding formula and rely on a
predetermined base funding
level from each member agency
and the use of reserves to
address poor water supply years
21 IMPORTANT FUTURE UWPA ISSUES
22 Power Plant Licensing Options JPA Organizational Issues Hydroelectric Plant Issues Conduit Exemption(s) Maintain Current Organization Funding Capital Upgrades Small Hydro Exemption(s) Consolidate with an Existing
Organization(s)
Feasibility Studies
Re-License Contract for Services Water Supply Contracting Surrender License(s) Create New Organization Long-term Power Contracts De-commission Hydro-plant(s) Contract with an Existing Organization Cost-Benefit Analysis REQUESTED ACTION 1.)
Establish two-year
funding commitment of
$405,000 for Fiscal Year
2020-2021 and $417,000
for Fiscal Year 2021-2022
for each agency. (Same as
approved rate study for the City
of Angels Camp).
23 REQUESTED ACTION 2.) Commitment by Member
Agencies to guaranty repayment of grants/loans applied
for by UWPA when required.
24 REQUESTED ACTION 3.)
Commitment by
Member Agencies to
conduct Proposition
218 hearings on UWPA
funding needs when
necessary.
25 Requested Action 4.)
Amend current JPA
Agreement to ensure
the long-term
sustainability of the
organization and to
account for new issues,
obligations and
requirements.
26 Requested Action 5.)
Establish future “UWPA
Funding Levels”
beginning in 2022 for
the ensuing 5-year
period based on future
information and
studies.
27 28
UWPA Joint Agency Meeting
February 25, 2020
29 Open Forum
Utica Water and Power Authority: Projected Annual Power Sale Revenue WY1 WY2 WY3 WY4 WY5 WY6

UTICA WATER AND POWER

AUTHORITY
Resolution No. 22-11

A RESOLUTION OF THE BOARD OF DIRECTORS OF THE

UTICA WATER AND POWER AUTHORITY

ADOPTING THE REVISED UTICA RESERVE POLICY
WHEREAS, the Utica Water and Power Authority (Utica) Board of Directors adopted a Reserve Policy on June 23, 2020, to establish Reserve Fund Accounts for specific anticipated costs and to maintain adequate cashflow for the successful operation of the agency; and, WHEREAS, Utica dedicated to prudent management of public funds and committed to ensuring fiscal responsibility and accountability in the expenditure of Agency funds; and, WHEREAS, prudent fiscal management requires public agencies to establish reserve fund accounts which can be used in the event of financial emergencies, provide for protection against economic uncertainty and fluctuating revenues, maintain sufficient cash flow to pay for short and long-term operational and capital improvement costs and to maintain the financial solvency of the agency; and
WHEREAS, by the adoption of the resolution in 2020, the Board of Directors established five separate Reserve Funds consisting of an Emergency Reserve, Operating Reserve, Capital Reserve, FERC Reserve, and a FERC/Dam Safety 5-year and 10-year Plan Reserve; and WHEREAS, as a cost-saving measure, the Utica Board wishes to reduce reserve contributions in three of the reserve accounts it created in 2020; and WHEREAS, by the adoption of this resolution the Board of Directors shall eliminate the Emergency Reserve and Capital Reserve accounts and consolidate any funding therein into the Operating Reserve; and
WHEREAS, no changes will be made to the FERC Reserve, FERC/Dam Safety 5-Year and 10-Year Plan Reserve accounts or contribution schedules; and Document Ref: RD4SI-2Y9CT-QS68Z-FB9D9 Page 1 of 4
WHEREAS, the Board of Directors shall retain control over the circumstance under which the Operating Reserve, FERC Reserve, and the FERC/Dam Safety 5-year and 10-year Plan Reserve can be used.

NOW, THEREFORE, BE IT RESOLVED that the Board of Directors does hereby amend the Reserve Policy to eliminate the Emergency Reserve and Capital Reserve, and consolidate all funds in those accounts into the Operating Reserve, and all reserve accounts will be funded per the schedule set forth below.

BE IT FURTHER RESOLVED that the Board of Directors of the UWPA does hereby determine and establish the following policies regarding reserve funds:

1. The establishment and purpose of the UWPA Reserve Funds shall be as follows:

Operating Reserve
An unrestricted fund balance set aside to stabilize UWPA finances by providing a cushion against unexpected events, losses of income, and large unbudgeted expenses, as well as for working capital and cash flow while awaiting revenues, reimbursements and/or grant funding.

In addition, the Operating Reserve shall maintain any “over payments” made by the member agencies based on water year types during Fiscal Years 2020-21 and 2021-22. The Operating Reserve shall not be used to cover a long-term or permanent income shortfall, but shall only be used to address temporary, non-structural financial issues.

Operating Reserve funds are also intended to be used for Capital Projects and Emergencies per the guidelines set forth below:

Emergencies: Funds may be used in emergency situations involving a major facility or equipment failure, to provide resources to meet emergency expenditures in the case of flood, fire, drought or other natural disaster and/or the sudden loss of a major revenue source(s) resulting in a fifteen percent (15%) or more decline in annual UWPA revenues.

Use of these funds during the fiscal year shall require a Board of Directors’ declared emergency.

Capital: Funds may be used to pay for unanticipated costs and/or cost overruns associated with the study, construction, re-construction, repair, replacement and/or upgrade of capital facilities costing $50,000 or more, and/or the purchase of equipment and/or vehicles costing $5,000 or more in any one fiscal year.

FERC Reserve
A restricted fund balance set aside to pay for anticipated costs for studies, environmental analysis, consulting fees, legal fees and such other expenses associated with activities to renew the Federal Energy Regulatory Commission (FERC) power generation license and/or to seek an exemption to licensing or other associated costs regarding the continued use or conversion of UWPA’s power facilities.

FERC/Dam Safety 5-year and 10-year Plan Reserve
Document Ref: RD4SI-2Y9CT-QS68Z-FB9D9 Page 2 of 4
A restricted fund balance set aside to pay for the anticipated cost of preparing various reports, plans, assessments and/or other documents that are required on a periodic basis to maintain compliance with the Federal Energy Regulatory Commission and/or California Department of Dam Safety and/or such other regulatory agency requirements.

2. Per recommendations from the Independent Auditor’s Report and Financial Statements for the Fiscal Year Ending June 30, 2019 as the base year, this policy hereby establishes a goal for accumulating and maintaining “target” thresholds as follows:

Operating Reserve – 15% of total Operating Budget Expenses exclusive of depreciation plus any Debt Service, or $30,000 per year beginning in Fiscal Year 2022-23 until the accumulated total reaches 15% of Operating Budget Expenses exclusive of depreciation plus any Debt Service, or $275,000.

FERC Reserve
Establish a $3,150,000 Reserve over ten years as follows:
 2022 - 23 FY: $275,000
 2023 - 24 FY: $350,000
 2024 - 25 FY thru the 2028 - 29 FY: $400,000 each fiscal year FERC/Dam Safety 5-year and 10-year Reserve
Establish a Reserve in an amount determined during the annual fiscal year budget process that will have sufficient funds to conduct the required activities in the fiscal year the activity is required.

3. Should the fund balance of the any of the reserve funds fall below the target, the General Manager shall prepare a plan for consideration by the UWPA Board of Directors to implement actions within a reasonable time period to rebuild the fund balance(s).

4. With the exception of allocating funds during the adoption of the annual budget, a fourfifths (4/5) vote of the Board of Directors is required for any appropriation and expenditure of funds from the Operating Reserve, FERC Reserve, or the FERC/Dam Safety 5-year and 10-year Reserve during the Fiscal Year for reasons other than there intended purpose.

5. Interest/Investment Returns accrued from each of these Reserve Funds shall remain in the corresponding fund until such time as they are fully funded in accordance with Section 2 above. Once fully funded the Interest/Investment Returns accrued shall be used to support the general UWPA operating budget with the exception of the FERC Reserve which shall continue to accumulate interest for the purposes intended.

6. The General Manager shall provide an update during discussions of the annual fiscal year budget on the status of each of the reserve accounts and as necessary during the fiscal year to keep the Board of Directors up to date on the status of the reserves. Based on the annual review the Board of Directors by majority vote modify the targeted amounts in each reserve category.

Document Ref: RD4SI-2Y9CT-QS68Z-FB9D9 Page 3 of 4
ON A MOTION by Director ___________________, and seconded by Director _______________________, the foregoing resolution was duly passed and adopted by the Board of Directors of the Utica Water and Power Authority, on the 24th of May, 2022, by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:
_________________________________________
Ralph Chick, Board Chair
_________________________________________
Lori Karnes, Clerk to the Board
None
Conrado
Broglio
Directors Chick, Broglio, Davis-Herndon, Rasmussen, Conrado None
None
Document Ref: RD4SI-2Y9CT-QS68Z-FB9D9 Page 4 of 4
Signature Certificate
Reference number: RD4SI-2Y9CT-QS68Z-FB9D9
Document completed by all parties on:
20 Jun 2022 14:56:15 UTC

Page 1 of 1 ends

Signer Timestamp Signature
Lori Karnes
Email: [email protected]
Sent: 03 Jun 2022 17:23:49 UTC
Signed: 03 Jun 2022 17:23:49 UTC IP address: 96.92.110.142 Location: Stockton, United States
Rocky Chick
Email: [email protected]
Recipient Verification:

Sent: 03 Jun 2022 17:23:49 UTC
Viewed: 20 Jun 2022 14:56:02 UTC
Signed: 20 Jun 2022 14:56:15 UTC
✔Email verified 20 Jun 2022 14:56:02 UTC
IP address: 66.178.169.181
Location: Rogue River, United States
Signed with PandaDoc
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UTICA 2023-2032 CAPITAL IMPROVEMENT PLAN Amended and adopted by the UWPA Board December 12, 2023

PROJECTS
WATER CONVEYANCE FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 Five Year Total FY 2028-29 FY 2029-30 FY 2030-31 FY 2031-32 TOTAL FLUME IMPROVEMENTS $ 150,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 1,010,000 CANAL IMPROVEMENTS $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ 250,000 DAM & SPILLWAY IMPROVEMENTS $ 20,000 $ 35,000 $ 15,000 $ 15,000 $ 15,000 $ 15,000 $ 15,000 $ 15,000 $ 15,000 $ 175,000 MURPHYS TRASH RAKE $ 135,000 $ 150,000 $ - $ - $ - $ - $ 285,000 S-66 / FRENCH GULCH WEIRS $ 10,000 $ - $ - $ - $ - $ 25,000 $ 75,000 $ - $ - $ 110,000 ANGELS PENSTOCK REPLACEMENT $ 100,000 $ 100,000 $ 200,000 $ 200,000 $ 200,000 $ 800,000 RESERVOIR SEDIMENT REMOVAL $ - $ - $ - $ - $ - $ 125,000 $ 125,000 $ 300,000 $ 300,000 $ 850,000 GAGING STATIONS $ 10,000 - - - $ 10,000
AUTOMATED WASTEGATES AND CROSSGATES $ 80,000 $ 100,000 $ 100,000 (Partially grant funded) $ 280,000 COMMUNITY WATER SUPPLY RESILIENCY $ 1,000,000 (Dependent on Grant Funding) $ 1,000,000.00 SCOPING PROJECT Five Year Total
$ 430,000 $ 1,410,000 $ 240,000 $ 140,000 $ 240,000 $ 2,460,000 $ 365,000 $ 515,000 $ 615,000 $ 615,000 $ 4,770,000

GENERAL PROJECTS
FEASIBILITY ASSESSMENTS & PLANNING $ 50,000 $ 25,000 $ 25,000 $ 25,000 $ 25,000 $ - $ - $ - $ - $ 215,000 GENERAL FACILITIES $ 35,000 $ 35,000 $ 35,000 $ 35,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 222,500 Five Year Total
GENERAL TOTAL: $ 85,000 $ 60,000 $ 60,000 $ 60,000 $ 35,000 $ 300,000 $ 10,000 $ 10,000 $ 10,000 $ 10,000 $ 437,500

POWER GENERATION
MPH Jet Controller Upgrade $ 5,000
Murphys Powerhouse Relay Protection $ - $ 200,000 $ 245,000 APH DC/AC INVERTOR UPGRADE $ - $ - $ - $ - $ - $ - $ - $ - $ - $ 5,000 APH DEFLECTOR CONTROL REPLACEMENT $ 15,000 $ 15,000
MURPHYS GOVERNOR RETROFIT $ 230,000 $ - $ - $ - $ - $ - $ 300,000 MPH 17 KV GENERATOR RECLOSURE BREAKER $ 12,500 $ - $ - $ - $ - $ - $ - $ 57,500 MPH 17 KV LINE BREAKER $ 12,500 $ - $ - $ - $ - $ - $ - $ 57,500 MPH BACKUP TRANSFORMER $ 150,000 $ 150,000 $ - $ - $ - $ 300,000 MPH STATIC EXCITER $ - $ - $ - $ 60,000 $ - $ - $ - $ - $ 60,000 MPH COOLING WATER LINES $ - $ - $ - $ - $ - $ - $ 45,000 $ 45,000 $ 45,000 $ 135,000 Five Year Total
POWER GENERATION TOTAL: $ 255,000 $ 365,000 $ 150,000 $ 60,000 $ - $ 830,000 $ - $ 45,000 $ 45,000 $ 45,000 $ 1,180,000 FUTURE
MPH GENERATOR REWIND $ - $ - $ - $ - $ - $ - $ - $ 200,000 $ 200,000 $ 400,000 APH GENERATOR REWIND $ - $ - $ - $ - $ - $ - $ - $ - $ 100,000 $ 100,000 APH BACKUP TRANSFORMER $ 300,000 $ 300,000
FUTURE TOTAL: $ - $ - $ - $ - $ - $ - $ - $ 200,000 $ 600,000 $ 800,000 Five Year Total Ten Year Total
GRAND TOTAL: $ 770,000 $ 1,835,000 $ 450,000 $ 260,000 $ 275,000 $ 3,590,000 $ 375,000 $ 570,000 $ 870,000 $ 1,270,000 $ 7,187,500 Budget FY 2023-24
Fiscal Year 2023-2024 v2
Adopted by the Utica Board on May 30, 2023
Adjusted by the Utica Board on July 25, 2023
OPERATING INCOME GL 1200
1200 01 Water Sales to NCPA $192,000
1200 02 City of Angels Water Agreement $290,000
1200 03 Union Public Utility District Water Agreement $290,000 1200 04 Irrigation Water Contractors $43,775
1200 05 Slurry Line / CCWD Wheeling Fees $7,000
1210 01 Angels Powerhouse - Power Sales $570,642
1210 02 Murphys Powerhouse - Power Sales $1,152,768
1220 01 Other Income $0
Totals $2,546,185
NON OPERATING INCOME GL 1300
1300 01 Interest Income $95,000
1310 01 Siera HOPE Lease Agreement $16,791
1310 02 Crown Castle MFB Tower Lease Agreement $25,061
1310 03 Hunter Reservoir Rental Hourse $12,854
1310 04 Cal.Net MFB Tower Lease Agreement $3,189
1340 01 COA Sierra Hydrographics Pass Throug $5,200
1340 02 Other Income $0
Total $158,095
GRANT FUNDING INCOME GL 1400
1400 01 Hunter Reservoir Fuels Reduction Project $500,000 1400 02 Lower Utica Canal Wastegates and Gaging Stations $55,000 1400 03 Darby Apple Fuels Reduction Project $0
1400 04 Utica Community Water Supply Resiliency Project $0 1400 05 Utica Wooden Flume Mitigation Project $0
Total $555,000
DISASTER RELIEF REIMBURSEMENTS GL 1500
1500 01 FEMA 75% (New Year's Storm) $375,000
1500 02 Cal OES 75% of 25% Remainder (New Year's Storm) $93,750 1500 03 Local Match 6.25% (New Year's Storm $0
Total $468,750
TOTAL REVENUE $3,728,030
Budget Summary
REVENUES: Based on Water Year 1
EXPENDITURES:

WAGES/BENEFITS GL 3000
3000 Wages, Benefits, Burden, On-Call, Overtime $1,226,194 Total $1,226,194
SERVICES AND SUPPLIES GL 4000
4100 Maintenance and Repairs $619,500
4110 Misc. Supplies $20,300
4120 Leases $13,640
4200 Property and Liability Insurance $57,554
4300 Memberships $15,065
4400 Professional Services $275,701
4500 Governmental Fees $93,628
4600 Communications $24,560
4700 Utilities $39,734
4800 Travel and Training $24,000
4900 Information Technology $10,000
Total $1,193,682
CAPITAL IMPROVEMENT PROGRAM GL 5000
5000 Powerhouses $ 255,000
5100 Conveyance $ 350,000
5200 General Projects $ 85,000
Total $ 690,000
CAPTIAL OUTLAY GL 6000
6000 Vehicle Replacement $55,000
6100 Equipment and Materials $30,000
Total 85,000
RESERVES GL 7000
7000 FERC Relicensing / Exemption Fund $350,000
7200 Operating Reserve $30,000
7400 FERC 5-Year Plan Reserve $61,800
7500 FERC 10-Year Plan Reserve $12,000
Total $453,800
GRANTS GL 8000
8000 Grant-Funded Expenditures $485,000
TOTAL EXPENDITURES $4,133,675
TOTAL REVENUES: $ 3,728,030
TOTAL EXPENDITURES: $ 4,133,675
SURPLUS/DEFICIT $ (405,645)
CARRY OVER $ 359,659
JPA MEMBER CONTRIBUTION RESERVE $ 45,988

TRANSFER FROM FERC RELICENSING RESERVE FUND
BALANCED BUDGET $ (0)

5D
BREAK
DATE:

TO:

FROM:

RE:

January 31, 2023
Joint UWPA Board
Rebecca Callen, City of Angels City Administrator
OVERVIEW OF UPCOMING RATE STUDIES: CITY OF ANGELS AND UNION PUBLIC

UTILITY DISTRICT
RECOMMENDATION:

Discussion only
BACKGROUND:

Union Public Utility District and the City of Angels both have rates charged for service to customers. UPUD provides domestic and irrigation water. The City of Angels provides domestic water, irrigation water, and sewer services.

DISCUSSION:

City of Angels:

In the City of Angels, the revision of the water rate plan in 2019, facilitated by a rate consultant, marked a significant shift in the city’s approach to managing and pricing its utility services. This was a critical development, coming after a long period of rate consistency since the last comprehensive study in 2006.

Prior to this pivotal change, the Utica Water and Power Authority (UWPA) charges were set at a modest $1.00 per billing cycle for each 5/8” meter. This rate had been stable for over a decade.

However, the 2019 rate plan brought a substantial increase, raising the UWPA charge to $12.00 per 5/8” meter. This increase was part of a strategic move to cover projected contributions and to adapt to the evolving financial landscape of utility services.

A key feature of the 2019 plan was the introduction of a tiered revenue generation model based on 'Water Year' levels. Contrary to what might be intuitively expected, Water Years 1 and 2 were projected to generate the most revenue. This is because these levels represent years with higher water availability and demand, leading to increased utility usage and, consequently, higher revenue. The plan recommended setting charges at a 'Water Year 3' level as a baseline. In Water Year 1 or 2 scenarios, the surplus revenue generated over the 'Water Year 3' rate would be directed into a reserve fund. This fund was designed to provide financial stability, allowing the city to accumulate savings in years of high revenue.
5E

In contrast, in years categorized as Water Year 4, 5, or 6, which would typically yield lower revenue due to reduced water availability and demand, the City planned to utilize the reserve to ensure that ratepayers continued to be billed at the 'Water Year 3' rate. This approach was aimed at stabilizing rates across varying water year conditions, thereby protecting consumers from drastic rate fluctuations.

The 2019 rate plan, while forward-thinking in some aspects, did not factor in new potential revenue sources like ReMAT contracts. It continued to rely on traditional rates from power and water sales. Post-adoption, the City’s base rate for water saw a decrease of over $5.00 per month, a welcome change for consumers. However, this decrease was offset by the increase in the UWPA fee.

From 2020 to 2023, the City executed annual rate adjustments, with an 8% increase in the City water rate and a 2.5% increase in the UWPA fee each year. These adjustments reflect the City’s commitment to balancing fiscal responsibility with the provision of affordable utility services, adapting to changing environmental conditions and water availability.

Union Public Utility District:

Union Public Utility District recently adopted a five-year rate structure in December of 2022. In the summer of 2023, a Citizens Initiative was submitted to the County with the intention to repeal UPUD’s rates in addition to other stipulations. Since then, the Initiative has moved forward and is scheduled to appear on the November 2024 General Election ballot. Due to this, the UPUD Board of Directors are considering initiating a new Proposition 218 rate study so that the Board can adopt new rates immediately following the election in case the District’s rates are overturned.

If the District moves forward with a new rate study, the District will likely consider updating the structure for the District’s Utica contribution.

FINANCIAL IMPACT:

Cost of a legal review and rate studies.

ATTACHMENTS:

Partial Agreement
1 UTICA WATER AND POWER AUTHORITY
Date: January 31, 2024
To: Joint Powers Authority Member Entities
From: Joel Metzger, General Manager
Re: UWPA Federal Energy Regulatory Commission Exemption Application Overview Recommended Action:

Discussion/direction only.

Background:

The primary purpose of Utica Water and Power Authority (Utica) is to operate and maintain a 27- mile-long water supply system that provides the sole public water supply to 10,000 people in the Murphys, Douglas Flat, Vallecito, and Angels Camp communities, and provides irrigation water to more than 1,000 acres of agricultural land in Calaveras County¸ California. To help offset the maintenance cost of the water supply system, Utica operates two small hydroelectric powerhouses, each operating under a Federal Energy Regulatory Commission (FERC) license, P-2019 Utica Project, and P-2699 Angels Project.

Both of Utica’s federal licenses include the powerhouses and associated water conveyance facilities. They are both 30-year term licenses that will expire in 2033. The purpose of FERC licenses is to ensure the licensee (Utica) is safely operating its facilities and that the power and water conveyance facilities conform with the environmental and other needs of the public waterways. The existing federal licenses provide a solid framework for Utica and others to manage water flows and meet community needs. Prior to 2033, Utica would need to apply for new FERC licenses for its two projects. The upcoming relicensing process would take at least five years and could cost the Utica and the communities Utica serves up to $10 million to complete. For context, Utica’s annual budget is around $3 million.

Given the financial and operational challenges presented by FERC relicensing, in 2020 the Utica Board performed an in-depth Operational Alternatives Analysis to examine options for the longterm operations of the Authority’s two federally licensed hydropower facilities. Of the options analyzed, seeking small conduit exemptions (Exemption) from FERC (and associated license Surrender of part of the water conveyance system) was selected as the preferred alternative.

Pursuing an exemption requires an application process similar to relicensing. If FERC approves exemptions for the Utica and Angels projects, FERC relicensing every 30 years would no longer be required. It would lead to permanent FERC authorization to operate the powerhouses, with all 5F
2 of the water conveyance system continuing to operate as it does now, but under local authorization and control.

To determine whether Utica was a good candidate for FERC exemptions, Utica staff worked closely with FERC staff in Washington D.C. to provide information about Utica’s system, operations, and purpose. In 2022, FERC staff in D.C. confirmed that, at a staff level, Utica was deemed to be a good candidate to apply for exemptions.

In late 2022, Utica began working with Stantec Consultants to begin work on the process of applying for FERC exemptions. The goal is to convert the existing Angels Hydroelectric Project to the Angels Powerhouse Project and the Utica Hydroelectric Project to the Murphys Powerhouse Project. As part of the Exemption process, Utica is also seeking to surrender portions of its existing water conveyance system.

Over the course of 2023, Utica staff and Stantec met with many key stakeholders, conferred with specialty FERC legal counsel, and moved forward with the process of drafting an Initial Consultation Document (ICD) in the form of two draft FERC Exemption applications. This process culminated with Utica and Stantec staff distributing draft FERC Exemption Application documents to all interested parties on Wednesday December 20, 2023. All documents are available here at www.uticawater.com/exemption.

Next Steps:

The draft FERC Exemption Application document distribution on December 20, 2023, was the beginning of a lengthy process with the end goal of FERC approving Utica’s Exemption applications.

The Exemption Application in December 2023 document circulation kicked off a 90-day period for review and comments by interested parties. After the parties have had access to the documents for 30 days, FERC requires Utica to hold a Joint Meeting and Site Visit. 3 The Joint Meeting and Site Visit were held on Thursday January 25, 2024, at the Native Sons Hall in Murphys. The event was well attended by key resources agencies (including the U.S. Forest Service, CA Fish and Wildlife, CA State Water Board) and Tribes. No substantial objections to the Exemption Application process were raised during the meeting, although there are many questions that will be discussed and solutions identified to address various concerns.

Following the Joint Meeting, interested parties have an additional 60 days to continue reviewing the draft documents before the comment submittal deadline of Monday March 25, 2024. Utica staff and Stantec will be in close communication with interested parties during the 60-day period following the Joint Meeting to ensure all questions are answered and information is provided to help inform the comments being developed.

Once the comment period closes, Utica staff will work with Stantec to review, analyze, categorize, and respond to the comments. The Utica Board will be briefed on the findings at the April 23, 2024, Board meeting and provide direction to staff on next steps.

The May 28, 2024, Utica Board meeting will be a key decision point. Utica staff and Stantec will present a detailed technical memorandum to the Board with comment analysis, recommended studies, cost estimates, and projected timelines moving forward. Much more detailed information will be available to the Utica Board in the coming months and staff and consultants will have a higher degree of certainty on options and costs moving forward.

Financial Considerations:

Relicensing is expected to cost up to $10 million, and license terms are for 30 years. The Exemption process is expected to cost much less than relicensing, and it is in perpetuity. If successful, the Exemption would provide substantial cost savings to Utica, which in turn will reduce the financial burden on COA and UPUD.

Attachments:

1. FERC Exemption Presentation from Joint Agency Meeting 1/25/2024 Utica Water and Power Authority
FERC Exemption & License Surrender
Joint Agency Public Meeting and Site Visit
January 25, 2024
1 Joint Meeting/Site Visit Schedule
Joint Meeting 1: 9:30 a.m. Start
Site Visit: 12:30 p.m. Departure
Joint Meeting 2: 6:00 p.m. Start
Meeting Agenda
2 General Meeting Agenda
• Welcome and Introductions
• Overview of the Utica & Angels Projects Layouts and Operations • FERC Surrender and Conduit Exemption Process and Schedule • Overview of ICD/Draft Conduit Exemption Application Documents • Comments and Information Needed
Please note this meeting is being recorded
Welcome, Introductions, Meeting Overview
3 Utica Water and Power Authority (UWPA) is applying to FERC for a Small Conduit Exemption for the:
(i) Murphys Powerhouse Project, currently part of the existing Utica Hydro Project (FERC No. 2019) (ii) Angels Powerhouse, currently part of the existing Angels Hydro Project (FERC No. 2699) UWPA publicly noticed potentially interested parties of this intent on December 20, 2023.

UWPA has prepared draft Conduit Exemption applications for both projects, which are available on UWPA’s website at: https://uticawater.com/exemption.

Welcome Ralph Chick, UWPA Board Vice Chair
Introductions and JPA Overview Joel Metzger, UWPA General Manager Meeting Goals and Expectations Mike Manwaring, Stantec
What is Utica Water and Power Authority?
• Utica is a Joint Powers Authority (JPA) that was formed in 1996 o Members: Union Public Utility District, City of Angels Camp • 10,000 people rely on this system for their sole public water supply • UWPA holds pre-1914 water rights on North Fork Stanislaus River • UWPA transports and conveys water through five reservoirs, 27 miles of ditches and flumes and operates two small hydro plants • UWPA’s annual budget is about $3 million/year. JPA contributions • Remarks from Rebecca Callen (COA) and Jessica Self (UPUD) 5 • UWPA conducted a long-term planning effort in 2020
• Result of the planning efforts concluded a FERC conduit exemption was UWPA’s preferred pathway
• UWPA coordinated with FERC D.C. to explore exemption options • UWPA determined both the Utica and Angels projects were good candidates for Conduit Exemptions
• A new powerhouse built today on UWPA’s system would qualify for a Conduit Exemption
• FERC is processing Conduit Exemption applications for similar projects across the United States
What Led to UWPA Exploring Conduit Exemptions?
6 • UWPA's primary purpose is supplying water to our community • Power is generated along the water supply system conduit and energy recovery is a secondary benefit (helps offset costs) • A FERC Exemption provides UWPA with the ability to more efficiently operate and maintain the water supply system in a cost-effective manner
• UWPA is committed to continuing to operate the system safely and effectively; working closely with local, state, and federal partners Why is UWPA Pursuing Conduit Exemptions?
7 • We are here today to provide information about UWPA and the FERC Conduit Exemption and Surrender Applications
• UWPA is requesting interested parties review the draft Conduit Exemption Applications and provide us your comments no later than March 25, 2024.

Please review information posted here:
www.uticawater.com/exemption
Main Goals for Today
8 • This meeting is being recorded. Please speak into a microphone if you have questions or comments
• Participants will be respectful of other meeting attendees • UWPA staff and Stantec will present information about UWPA's system and the Conduit Exemption/Surrender process
• There will be an opportunity for questions and comments following this presentation
• UWPA will take notes and attendee comments will be
documented
• Formal comments on this process are due by March 25, 2024 Meeting Expectations
UWPA System
Overview
Utica's System was Built by Gold Miners in the 1850s to Provide a Reliable Year-Round Water Supply for Mining
Community Members Gather by a Flume Near
Murphys (1890s) - Present-day Penn Gulch Road
The Old Utica Powerhouse: Built in 1901
Overview of the Utica and Angels Projects
Layouts and Operations
13 Utica’s Existing FERC Licenses
• Utica Project No. 2019
• Angels Project No. 2699
• When projects were acquired from PG&E in
1995, both projects were in the process of being
relicensed
• FERC issued current licenses in 2003
• Both licenses are on the same schedule to expire
in 2033
P-2019
P-2699
UWPA Water Rights Portfolio
UWPA System Map
Utica Project 2019
Angels Project 2699
Utica Project Overview
Utica Project 2019
Upstream (Non-UWPA Project) McKay's Point Reservoir
Intake to 8.3-mile, 18-foot-diameter Collierville Tunnel Mill Creek Tunnel Tap
Start of UWPA’s Water Conveyance System (P-2019)
Start of Utica
Project P-2019
The Tunnel Tap Discharges Into the Upper Utica Canal
Which replaced an 8-Mile Canal From McKay’s Diversion Outflow of Mill Creek Tunnel Tap in Upper Utica Canal The Upper Utica Canal Flows into Hunters Reservoir Near Avery Upper Utica Canal
Inflow to Hunters
Upper Utica Canal and Hunter Dam
Releases from Hunters
Hunters Dam Releases Control Flows into UWPA System
Hunter
Reservoir
Serves as
CCWD Backup
Water Supply
Mill Creek Inlet
S128 Gaging
Station
Environmental
Release: 1.5
CFS summer

0.5 CFS winter
Canals Make Up >90% of Utica's Water Conveyance System
3/4-Mile Flume: Utica's Longest Wooden Flume
UWPA Provides Water to UPUD’s Cademartori Reservoir
Cademartori Supplies UPUD's Water Treatment Plant
UWPA Supplies UPUD's Two Irrigation Pipelines:

North Ditch & South Ditch Irrigate 700+ Acres
Water from the Forebay is released into the Murphys Penstock The Lower Utica Canal Ends at the Murphys Forebay
North Ditch
Irrigation
Deliveries
Murphys Penstock Conveys Water to Murphys Powerhouse
UWPA’s 3.6 MW Murphys Powerhouse & Switchyard
Murphys
Afterbay Releases
Water into Angels
Creek
Town of Murphys
End of Utica
System P-2019
Murphys Powerhouse
Angels Project Overview
Angels Project 2699
Angels Diversion Dam: Start of the Angels Project (P-2699) (5 cfs Minimum Year-round Releases into Angels Creek)
Start of Angels
Project 2699
File Flume: Longest on the Upper Angels Canal System
Upper Angels Canal Flows into Ross Reservoir
Releases from Ross Reservoir Flow into Lower Angels Canal Lower Angels Canal ends at Angels Forebay; UWPA Provides Water to Angels Camp and Dogtown Ditch Association
City of Angels Water Treatment Plant Dogtown Ditch Irrigation Deliveries Angels Penstock Intake
Lower Angels Canal Inlet
City of Angels Camp
Winegrape Vineyard
Irrigated Pasture
Angels Penstock Supplies Agricultural Users and
the Angels Powerhouse
Angels Powerhouse (1.4 MW)
Angels Powerhouse Releases Into Angels Creek, Melones
End of Angels
Project 2699
Map of UWPA’s Water Supply and Conveyance System
Water
Treatment
Plants: 3
Irrigation
Contractors: 27
Environmental
Releases: 2
JPA Agricultural
Deliveries: 3
FERC Exemption
and Application
Process Overview
42 Conduit Exemption Authorizations
• An Exemption is not a form of deregulation. It is a statutory provision that allows an applicant to be exempt from some or all of Part I of the Federal Power Act
• A “conduit” means any tunnel, canal, pipeline, aqueduct, flume, ditch, or similar manmade water conveyance that is operated for the distribution of water for agricultural, municipal, or industrial consumption and not primarily for electric generation
• Utica and Angels Projects fit closely to the Exemption requirements, as detailed in each project’s “Petition for Waiver”
 (http://www.uticawater.com/exemption/)
License Surrender Process
• Required concurrent authorization by FERC to grant the Exemption Overview of the Conduit Exemptions
43 Link to Federal requirements for additional details:

FERC Conduit Exemption Authorizations
https://www.ecfr.gov/current/title-18/chapter-I/subchapter-B/part-4/subpart-D/section-4.30 Definition of Who Qualified for a Conduit Exemption
https://www.ecfr.gov/current/title-18/chapter-I/subchapter-B/part-4/subpart-D/section-4.31 Overview of the Conduit Exemptions
FERC Conduit Exemption & Surrender Process & Schedule
Dec. 20, 2023
Submit Draft License
Surrender & Exemption
Applications to
Stakeholders
(also file on FERC e-Library)
Jan. 25, 2024
UWPA to hold public
meeting on Exemption
Applications and offer Site
Tour
30 days 60 days
March 25, 2024
Stakeholder & Agency
Review Comments and
Study Recommendations
Due to UWPA
UWPA Evaluate Study
Requests and Comments
and Continue Consultation
Perform Studies and/or
Analyses (as needed)
and Continue Consultation
Continue Consultation,
Complete Analyses and
Finalize CE Applications
UWPA to Submit Final CE
Applications to FERC,
Agencies, Tribes, and
Interested Parties
FERC NEPA and Application
Processing
Overview of the Initial Consultation Documents (ICD)/
Draft Conduit Exemption Application Documents
45 For Both Utica and Angels Projects:
• Introductory Statement
• Exhibit A – Project Description
• Exhibit E – Environmental Report
• Exhibit F – General Facility Drawings (CEII)
• Exhibit G – Project Maps
• Petition (regarding uses of water for CE)
Located at UWPA’s website: https://uticawater.com/exemption Result of a Conduit Exemption
• Utica’s dams and water conveyance system would follow Federal (non-FERC), State, and local authority and oversight • The powerhouses (generation facilities) would remain under the authority of FERC, with current Federal and State
agreements
• CA Division of Safety of Dams (DSOD) will continue to regulate UWPA’s dams to ensure dam safety is maintained
• System operations will remain the same
46 Regulatory Context Resulting From Conduit Exemption
47 Conduit Exemption:

UWPA’s powerhouses would
remain under FERC’s authority.

Facilities Surrendered From FERC:

UWPA’s operations would
continue to comply with Federal
(non-FERC), State, and local
authority and oversight.

Murphys Powerhouse Project Boundary
Angels Powerhouse Project Boundary
UWPA FERC Surrender and Conduit Exemption
Joint Agency Public Meeting and Site Visit
50 Comments and Information Needed
Comments and Information Needed
• Similar to a FERC Relicensing, interested parties are requested to review the information developed by UWPA to provide
comments on the information provided
• Agencies and Interested Parties to provide comments to UWPA on the two draft Conduit Exemption Applications by March 25, 2024
• Based on comments and further data analysis, UWPA will update both Exemption Applications and file final documents with FERC • FERC would then initiate their process and consult with agencies, tribes, and interested parties
51 52
• Additional information about the FERC Exemption application will continue to be posted at: www.uticawater.com/exemption • Parties interested in additional discussions or meetings on the CE applications or process is encouraged to contact UWPA staff • UWPA primary contact: Joel Metzger, UWPA General Manager, at [email protected] or (209) 736-9419
• UWPA is committed to open communication and
consultation with all interested parties as this process continues
More Information & Point of Contact
What are your Questions and Comments?
Agenda Item
DATE:

TO:

FROM:

SUBJECT:

January 31, 2024
Full JPA Board
Jessica Self, UPUD General Manager
Joint Powers Authority Communication and Direction
RECOMMENDED ACTION:

Discussion and direction on communications protocols and procedures for the full Joint Powers Authority (JPA) with regards to Utica Water and Power Authority (Utica) updates and financial decisions.

SUMMARY:

Tonight, we aim to facilitate a cohesive understanding of procedures and processes each agency can take to streamline communication pertaining to the JPA. As public agencies, it is our commitment to ensure there is effective communication among member agencies of our JPA.

We will take some time to discuss what methods of communication are working to keep the full JPA informed. In addition, the JPA Board members will discuss how we can implement improved communication methods. Topics to consider include:
• Designated Agency Liaison(s): Who will be responsible for notifying the full Union Public Utility District (District) and City of Angels (City) boards? • Regular Reporting Schedule: Consideration of a monthly standing agenda item on the District and City’s agenda stating, “Discussion, direction and potential action regarding Utica Water and Power Authority Updates and Financial Decisions”. • What triggers the need for the Full JPA to weigh in on an item? The Joint Powers Agreement requires full Member Entity approval of a “material change”, but there is not a clear definition for what qualifies as a material change. Is this a monetary amount? Something that would affect the Utica budget permanently or at least beyond the currently adopted fiscal year budget? The initiation of CIP projects? The change of the project that would change water rights, system route, etc.? • Reoccurring Annual or Biannual meetings: The last one was held in February 2020.

Should we plan for annual or biannual Full JPA meetings to check in? Would this be the opportunity to provide clarity and direction on vision and goals for the upcoming operating year and discussion on JPA needs and issues?
• When to call a Special Full JPA meeting: Either for efficiency or the need to have a broader discussion, what should trigger a special meeting, beyond what would be included in bullet three?
5G
DATE:

TO:

FROM:

RE:

January 31, 2023
Joint UWPA Board
Joel Metzger – General Manager (UWPA), Rebecca Callen- City Administrator (City of Angels), Jessica Self – General Manager (UPUD)

DISCUSSION/DIRECTION FROM THE FULL JOINT POWERS AUTHORITY TO STAFF RECOMMENDATION:

Discussion and direction from the JPA on future items.

BACKGROUND:

DISCUSSION:

Staff are seeking clarification and direction on what the full JPA would like to see that would require a change in communication, operations, planning, holding joint meetings annually and/or special, etc.

This helps staff identify resources needs for the upcoming fiscal year and interactions between the member agencies and their leadership.

FINANCIAL IMPACT:

N/A
ATTACHMENTS:
5H

Angels Camp City CouncilJanuary 31, 2024

Angels Camp City Council
January 31, 2024