Attached for City Council consideration is a proposed resolution establishing the Department of Water (DWP) Standby Water Charge for FY 2022/23. The Board has recommended that City Council adopt the attached resolution, establishing the charge, at the rate of $53 per year for parcels not receiving water service, which is the same rate established by the City Council since FY 1991/92. The $53 fee will provide $128,101 in FY 2022/23, which will be used to assist in the DWP’s Bond payments.
Also attached for Council information, is the Standby Charge Report.
Financial Impact:
The Water Standby Charges will provide annual revenue to the DWP of $128,101 from property owners that are not connected to the DWP’s water system and benefit from the availability of water lines fronting their properties. This revenue allows the DWP to reduce the revenues required from water rates paid by customers connected to the water system. To retain this revenue source for FY 2022/23 the Council would need to adopt the proposed resolution.
Recommendation:
Please conduct a public hearing and consider adopting a Resolution adopting the attached report regarding water standby charges for FY 2022/23 and directing that such charges be collected on the tax roll.
Attachments: 1. Resolution No. 2022-XX
2. Standby Charge Report
ATTACHMENT 1
RESOLUTION NO. 2022-XX
RESOLUTION APPROVING THE PLACEMENT OF BIG BEAR LAKE
DEPARTMENT OF WATER AND POWER STANDBY FEES ON THE TAX ROLL WHEREAS, the Board of Commissioners of the City of Big Bear Lake Department of Water and Power (DWP) recommends the re-adoption of water standby fees by the City Council for GY 2022- 23; and
WHEREAS, the proposed fee for FY 2022-23 is $53 per year per vacant parcel of land for parcels up to 1-acre in size, and this fee has not been increased since FY 199-92; and WHEREAS, revenues generated by this fee are used to partially fund debt service associated with the water system.
NOW, THEREFORE, BE IT RESOLVED,
1. Findings.
(a) Pursuant to Section 5471 of the Health and Safety, the City Council of the City of Big Bear Lake (the "City") on June 6, 2022, initiated proceedings to fix a water standby charge.
(b) All parcels of real property within the area of service of the City of Big Bear Lake Department of Water and Power (the "Department") benefit from the water transmission system and availability of water service, whether or not the parcel currently receives water service.
(c) Without the standby charge, current contributions made to the system by benefiting parcels would be inadequate to meet the annual debt service payment necessary to ensure the service of water distribution within the area and to maintain the general well-being of the community served.
(d) The proposed water standby charge is reasonably related to the benefit of having water mainlines available in the area subject to the standby charge. (e) Pursuant to Health and Safety Code Section 5473, the City Council has accepted for filing and has considered a report which contains: (a) a description of the charge; (b) a description of each parcel subject to the charge; (c) the compilation of the charge proposed for each parcel subject to the charge; (d) the method of imposition of the charge; and (e) a statement of the methodology and rationale followed in the determination of the charge for which a benefit is received for the service rendered. (f) Pursuant to Health and Safety Code Sections 5473.1 and Government Code Section 6066, a public hearing on adoption of the standby charge has been noticed by publication in a newspaper of general circulation. The public hearing upon the proposed standby charge was conducted by the City Council, and all protests and comments were heard and considered.
(g) The standby charge does not exceed that in effect for the 2021-2022 fiscal year and is for the repayment of bonded indebtedness as defined in Section 5(c) of article XIII D of the California Constitution, and therefore is to be established under those procedures in existence prior to the adoption of Article XIII D.
2. Adoption of Written Report. The written report filed with the City contains a description of each parcel of real property upon which the charge will be imposed and the amount of water standby or availability charges for each such parcel for the fiscal year 2022-2023, and all such charges are correct and proper, and the written report is therefore approved and adopted.
3. Collection of Charges. Water standby or availability charges for the 2022-2023 fiscal year shall be collected on the tax roll, in the same manner, by the same persons and at the same time as, together with and not separately from, the general taxes.
4. Power to Prescribe Fees. Pursuant to Health & Safety Code Section 5471, the City Council has the power to prescribe standby charges by ordinance or resolution.
5. Standby Charges. Standby or availability charges shall be assessed at the rate of fiftythree dollars ($53.00) per year for each parcel of land having frontage with water lines for parcels up to one (1) acre in size. For parcels in excess of one (1) acre, the charge shall be an additional fifty-three dollars ($53.00) for each seventy-five (75) feet of frontage (or any additional fraction thereof exceeding one half of 75 feet) with water lines, except that the charge shall not exceed fifty-three dollars ($53.00) times the total number of acres (or any additional fraction of an acre) comprising the parcel.
PASSED, APPROVED, AND ADOPTED this 6th day of June 2022.
Rick Herrick, Mayor
ATTEST:
Erica Stephenson, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss
CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing resolution, being Resolution No. 2022-XX was duly passed and adopted by the said City Council and attested by the City Clerk of said City, all at a regular meeting of the said City held on the 6th day of June 2022 and that the same was so passed and adopted by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Erica Stephenson, City Clerk
ATTACHMENT 2
MEETING
DATE: June 6, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Erica Stephenson, City Clerk
Kelly Ent, Director of Administrative Services
SUBJECT: Council Action Needed Related to the Petition Entitled “Initiative Measure Amending the City’s Municipal Code to Limit the Number of Vacation Rental Licenses and Rental Contracts in the City and to Enact Additional Limitations and Regulations on Vacation Rentals”
BACKGROUND
On December 27, 2021, the City received a Notice of Intent to Circulate a Petition and proposed initiative measure (“Measure”) from Beverly Palmer, attorney and an authorized representative of Paul Sokoloff, James Hart and Shelley Black, three Big Bear Lake residents and proponents of the Measure.
If approved, the Measure would limit the number of vacation rental licenses and rental contracts in the City and would enact additional limitations and regulations on vacation rentals in the City.
Section 903 of the City’s Charter provides that local initiative measures shall follow the procedures set forth in the California Elections Code, except where in conflict with the Charter. There are no conflicting provisions of the Charter and, therefore, the Elections Code governs the City’s initiative procedure. In accordance with the Elections Code, the City Attorney’s office timely prepared and sent a ballot title and summary of the Measure to the Measure’s proponents and authorized representative on January 11, 2022. The proponents then had 6 months from receipt of the ballot title and summary to gather enough signatures to qualify the Measure for the ballot.
On April 7, 2022, the proponents timely submitted a signed petition to the City Clerk’s Office. As is standard practice, the City Clerk’s Office forwarded the signed petition to the San Bernardino County Registrar of Voters to verify the validity of the petition signatures.
On May 4, 2022, the City Clerk’s office received formal notification from the County Registrar of Voters that the petition contains 295 valid signatures, which equates to 10% of the registered voters within the City. The Elections Code requires the valid signatures of at least 10 percent of the City’s registered voters to qualify a local measure. Therefore, the Measure has qualified for the ballot.
On May 9, 2022, the City Manager received an email on behalf of the Measure’s proponents offering to discuss the prospect of reaching a compromise ordinance. City Council will discuss a possible action related to an alternative proposal for limiting vacation rentals in Big Bear Lake which may result in an amendment to the Development Code Chapter 4.01.
On May 16, 2022, the City Council received, filed and accepted the Certificate of Sufficiency of Initiative Petition. Since the Measure has obtained the required number of signatures, the City Council’s options under Elections Code sections 1405 and 9215 are as follows:
a) Adopt the Measure, without alteration, at this meeting, or within 10 days after. b) Submit the Measure to the voters at the next regular municipal election occurring at least 88 days later. A “regular municipal election” is one where Councilmembers are elected. The next regular municipal election upon which this Measure can be placed will be November 8, 2022; c) Submit the Measure to the voters at a special municipal election occurring on a Tuesday between 88 and 103 days after the City Council calls the election; or d) Direct Staff to prepare an impartial and informational report analyzing the impact of the Measure on the City’s land use and development regulations, finances, ability to provide public services, and the like. Staff must present the report not later than 30 days after the City Clerk certifies to the Council that the petition is sufficient (by June 15, 2022).
The Council will recall that, it ordered an impact report to be prepared at its May 2 meeting, expecting that this Measure would qualify. This “early start” to the report is allowed under Elections Code section 9212 and allows additional time for the consultant to perform research and analysis and prepare the report which will be presented to the Council tonight. Following this presentation, the Council will need to consider options a) through c) above.
DISCUSSION
Pursuant to Election Code §9212, the Council ordered a report on May 2, 2022 which analyzes the proposed changes the Measure would make in the City’s regulations and their various impacts (e.g., economic, land use, employment). Tourism Economics LLC, an Oxford Economics company, has prepared the report attached hereto and will make a presentation to the Council.
Following the presentation, Council will engage in discussion and deliberate the action to be taken with respect to the Measure. The Council must choose among three alternatives:
a) Adopt the Measure, without alteration, at this meeting, or within 10 days after. b) Submit the Measure to the voters at the next regular municipal election occurring at least 88 days later. A “regular municipal election” is one where Councilmembers are elected. The next regular municipal election upon which this Measure can be placed will be November 8, 2022; or c) Submit the Measure to the voters at a special municipal election occurring on a Tuesday between 88 and 103 days after the City Council calls the election.
As the Council deliberates the action to be taken, it may want to consider the following:
o At the May 16 meeting, the Council established an Ad Hoc Committee to work toward an alternative proposal with the proponents. To allow time for this proposal to be developed, it is recommended that the Council consider not immediately adopting the Measure. o Should the Council choose to place the Measure on the November 8, 2022 ballot, allowing additional time for a potential compromise to be reached with the proponents, the Measure can be withdrawn by the proponents up to the deadline of August 12, 2022. As such, it is recommended that the Council choose to place the Measure on the November 8, 2022 ballot. o Council may desire to call a Special Election, pursuant to the Election Code, such an election would either be held on September 6 or September 13 (a Tuesday 88 – 103 days following today’s action). Council should consider that calling a Special Election does have fiscal implications and typically has lower voter turnout.
For the reasons outlined above, it is recommended that the Council approve alternative b) to place the Measure on the November 8, 2022 ballot. This will allow the Ad Hoc Committee to continue working toward a potential compromise and reduces fiscal implications.
FISCAL IMPACT
There is no fiscal impact associated with the recommended actions to receive and file the impartial and informational analysis prepared pursuant to Election Code §9212 and to submit the Measure to the voters at the regular municipal election which will be November 8, 2022.
ENVIRONMENTAL CONSIDERATIONS
None requiring review under California Environmental Quality Act.
RECOMMENDATIONS
It is recommended that the City Council:
1. Receive and File the Report Prepared Pursuant to Election Code §9212, and
2. Adopt a Resolution to Submit the Measure to the voters at the next regular municipal election which will be November 8, 2022.
ATTACHMENTS
1. Report Prepared Pursuant to Election Code §9212
2. Resolution No. 2022-XX
ATTACHMENT 1
Economic and Fiscal Impacts of Proposed
Vacation Rental Regulation Changes in
the City of Big Bear Lake
June 2022
Prepared for:
The City of Big Bear Lake
2 Introduction
Key Findings
Visitor Economy in Big Bear Lake
The Vacation Rental Segment of the Visitor Economy
Potential Impact of Proposed Changes to Vacation Rental Regulations
Property Value Analysis
1 2
3 4
5 6
TABLE OF
CONTENTS
1 Introduction
4 During the last two years, it has been challenging for the City to manage the influx of visitors staying in vacation rentals. These challenges have included ensuring compliance with registration and licensing regulations of rental units, noise complaints, and insufficient visitor infrastructure such as parking and restroom facilities.
Given increased activity in the vacation rentals segment, the analysis also examined detailed property sales data over the past ten years to identify metrics influencing sales price and to determine if vacation rentals have any effect on property sales prices.
The City recently adopted a new set of vacation rental regulations in the fall of 2021, and citizens are now proposing additional regulations that limit the number of vacation rentals allowed and how often they can be rented.
The key proposed changes to regulation put forth in the initiative include:
1. A city-wide cap of 1,500 vacation rental licenses
2. An annual limit of 30 vacation rental contracts per property
3. A limit of one vacation rental license per owner
This analysis examines the potential impacts of these proposed changes.
Tourism is a key driver of jobs, income, and tax revenues in the City of Big Bear Lake (“the City” or “Big Bear Lake”). The City hosts annual visitor volume many times greater than its year-round population of just over 5,000 residents. In 2021, nearly one million visitors came to Big Bear Lake, mostly during the winter and summer peak seasons. The City was inundated with visitors as a result of COVID-19 pandemic restrictions on recreation and travel and its proximity to the Greater Los Angeles region.
Visitors and second homeowners came to Big Bear Lake seeking to get outdoors and avoid the confines of more urban areas.
Big Bear Lake has a hotel room inventory of approximately 1,000 rooms across just over 20 properties. The City’s hotel room inventory represents about 25% of all rooms available for visitors, with most room inventory available in vacation rentals.
Of the City’s 9,400 housing units, just over 20% are occupied by residents, with more than 7,500 units available for seasonal or recreational use. Many units are rented to visitors as vacation rentals, and the City has issued approximately 2,600 rental licenses, which offer an estimated 3,300 rooms for rent.
Introduction
5 The potential impacts are assessed in the following terms:
1. Visitor volume to Big Bear Lake
2. Visitor spending in Big Bear Lake
3. Tax revenues generated from visitor spending
4. Expenditures associated with mitigating tourism impacts
5. Revenues from licensing and fines from compliance efforts
6. Employment generated by visitor spending in the City
7. Income generated by visitor spending in the City
8. Impacts on population and local school enrollment
9. Concerns regarding local workforce housing
Tourism Economics’ analysis first establishes the context of the total visitor economy in Big Bear Lake. The visitor economy is described in terms of visitor volume separated out by the day and overnight segments and visitor spending by major category such as accommodations, food and beverage, and retail.
This direct visitor spending generates indirect benefits and sales for other businesses in the local economy in the form of business sales, jobs, labor income, and tax revenues.
A significant share of visitors to Big Bear Lake stay in vacation rentals, and the analysis quantifies the importance of this segment within in the visitor economy.
Finally, the analysis explores the potential economic and fiscal impacts of the proposed regulations changes in two scenarios:
1. A short-term (3-yr) time horizon which assumes a proportional change in the reduced number of vacation rentals available in the market that is approximately half of the difference between current registrations and the proposed cap of 1,500 licenses.
2. A long-term (7-yr) time horizon. The long-term horizon assumes the 1,500 limit on rental licenses is reached, and the constraint is binding.
Methodology and Data Sources
6 Key data sources in the analysis include:
1. STR hotel market data covering supply, demand, revenues, occupancy, and average room rates.
2. Data covering the vacation rental segment of the market from AirDNA
3. Visitor profile data from Datafy and Buxton covering volume estimates, visitor segmentation (day vs overnight), seasonality, and length of stay in Big Bear Lake.
4. Data from the U.S. Census Bureau on population, households, housing units, vacancy characteristics, commuting patterns, and jobs by industry.
5. Jobs and wage data from the Bureau of Economic Analysis (BEA) and the Bureau of Labor Statistics (BLS)
6. Data provided by the City of Big Bear Lake covering vacation rental licenses, complaints, violations, and fines.
7. Data provided by the City covering sales tax by category and Transient Occupancy Tax (TOT) revenues separated out by vacation rentals and other TOT revenues.
Methodology and Data Sources
8. City budget data contained in the FY2021 audited financial filing, the adopted budget for FY2022, and data on staffing, payroll and certain revenues and expenditures obtained directly from the City.
9. Data covering real estate transactions were also provided by the City including sales amount, property characteristics, and location. 2 Key Findings
8 • Vacation rentals account for a significant share of Big Bear Lake’s visitor economy, and the proposed changes to regulations would likely place significantly binding limits on rentals. As a result, the proposed change to vacation rentals regulations could potentially have severe impacts on the local economy including:
• A reduction in visitor volume by 437,000 annual visitors (-47%) • Lower direct visitor spending by $250 million (-57%), which would result in $289 million in total lost economic activity • Support 2,100 fewer jobs and $50 million less in local labor income
• Local government would receive an estimated $12 million per year less in tax revenues.
• The impacts could also generate additional impacts on the regional population by reducing the number of households and school enrollment.
• The analysis of property sales over the past ten years indicated that the presence of vacation rental properties does not have a significant effect on property sale prices.
Key Findings
-2,100
Total Reduction
in Jobs
-$250M
Reduced Visitor
Spending
-437,000
Reduced Visitor
Volume
-$289M
Total Economic
Impact of
Reduced Visitor
Spending
Potential lost activity attributable to proposed
vacation rental regulations
-$12M
Annual
Reduction in
Local Tax
Revenues
Direct Impacts
Total Economic Impacts
3 Visitor Economy in Big Bear Lake
10 Visitor volume jumped in 2020 due to the COVID-19 pandemic • Visitor volume in Big Bear Lake reached an estimated 947,000 in 2020, representing an 18% increase over 2019 visitation.
• Total volume was flat in 2021, driven by lower day visitation, but the overnight segment of the market continued to grow, increasing nearly 3% over 2020 overnight visitation levels.
• In 2021, a total of 756,400 overnight visitors came to Big Bear Lake and accounted for 82% of total visitation volume.
Visitor Economy Trends
Total visitor volume
Total Visitor Volume to Big Bear Lake
Visitors in thousands
Sources: Datafy, STR, AirDNA, Tourism Economics
563.4 609.6
735.8 197.9 756.4
195.7
211.2 166.0
2018 2019 2020 2021
Day
761.3 Overnight
805.3
947.0 922.4
11 Visitor spending expanded 11.5% in 2021
• Overnight visitors stay longer and spend more than day visitors, so although visitation volume was flat in 2021, spending continued to expand, driven by higher overnight visitor volume.
• Total direct visitor spending reached nearly $437 million in 2021, representing an 11.5% increase over 2020 spending levels, and approximately 49% higher than 2018 spending levels.
• This pace of visitor spending averages to more than 10% growth per year between 2018 and 2021.
Visitor Economy Trends
Total visitor spending
Total Visitor Spending
Amounts in millions of nominal dollars
Sources: Datafy, STR, AirDNA, Tourism Economics
$293.7 $317.7
$391.7
$436.6
2018 2019 2020 2021
23.5%
8.5%
11.5%
12 Visitor spending expanded 11.5% in 2021
• Growth in direct visitor spending in 2021 was led by accommodations (which expanded 26% over 2020 spending levels), followed by spending on transportation.
• Transportation spending was driven in part due to significantly higher gas prices in 2021 than in 2020.
• Spending in other categories was weighed down by lower day volumes.
Tourism Economy Trends
Visitor spending by category
Big Bear Lake Visitor Spending by Segment
Amounts in millions of nominal dollars
Sources: Datafy, STR, AirDNA, Tourism Economics
2018 2019 2020 2021
2021
Growth
Total visitor spending $293.7 $317.7 $391.7 $436.6 11.5% Accommodation $76.1 $85.2 $118.5 $149.1 25.9%
Food and beverage $36.1 $40.2 $50.7 $52.7 3.8%
Retail $116.5 $122.2 $139.8 $147.1 5.2%
Recreation $48.1 $51.8 $62.4 $62.8 0.7%
Transportation $16.8 $18.4 $20.4 $25.0 22.3%
13 RETAIL
ENTERTAINMENT/REC
FOOD & BEVERAGE
LOCAL TRANSPORTATION
LODGING
AIR TRANSPORTATION
Economic Impact Approach
Our analysis of visitor spending in Big Bear Lake begins with direct spending, but also considers the downstream effects of this injection of spending into the local economy. To determine the total economic impact in the City, we input direct visitor spending into a model of the San Bernardino County regional economy created in IMPLAN. Adjustments were made to modeling output to capture impacts in the City and not the broader economy. The model calculates three distinct types of impact: direct, indirect, and induced.
The impacts on business sales, jobs, wages, and taxes are calculated for all three levels of impact.
1. Direct Impacts: Visitors create direct economic value within a discreet group of sectors (e.g., recreation, transportation). This supports a relative proportion of jobs, wages, taxes, and GDP within each sector.
2. Indirect Impacts: Each directly affected sector also purchases goods and services as inputs (e.g., food wholesalers, utilities) into production. These impacts are called indirect impacts.
3. Induced Impacts: Lastly, the induced impact is generated when employees whose wages are generated whether directly or indirectly by visitors, spend those wages in the local economy.
IMPLAN is particularly effective because it calculates these three levels of impact – direct, indirect, and induced – for a broad set of indicators. These include the following:
▪ Spending
▪ Wages
▪ Employment
▪ Federal Taxes
▪ State Taxes
▪ Local Taxes
How visitor spending generates employment and income
DIRECT IMPACTS
Visitor contribution in Big
Bear Lake measured by
direct spending
TOTAL
IMPACTS
Direct, indirect,
and induced
impacts
SALES
GDP
JOBS
INCOME
TAXES
> >
SUPPLY
CHAIN
EFFECTS
B2B GOODS
& SERVICES
PURCHASED
INCOME
EFFECT
HOUSEHOLD
CONSUMPTION
INDIRECT IMPACTS
Purchases of inputs from suppliers
Suppliers’ own supply chains
INDUCED IMPACTS
Consumer spending out of
employees’ wages:
14 Economic Impacts
Business sales impacts by industry
• Visitors to Big Bear Lake spent $437 million in the City in 2021. • This supported a total of $505 million in total business sales when indirect and induced impacts are considered.
• Note that vacation rentals are included in the Finance, Insurance, and Real Estate industry (FIRE).
Business Sales Impacts by Industry
($ millions) 2021
Source: Tourism Economics
$73.5
$564.1
Summary Business Sales Impacts
($ millions) 2021
$62.8 $700.5
Direct
Business Sales
Indirect
Business Sales
Induced
Business Sales
Total Business
Sales
Total, all industries $436.6 $35.0 $33.2 $504.8
By industry
Retail Trade 172.6 0.8 4.0 $177.4
Finance, Ins and RE 118.2 11.2 11.4 $140.8
Recreation and Ent. 50.2 2.2 0.3 $52.7
Food & Beverage 42.1 1.4 2.7 $46.2
Lodging 35.9 0.0 0.0 $35.9
Personal Services 12.6 1.7 2.3 $16.6
Other Transport 5.0 3.5 0.9 $9.4
Business Services 0.0 7.4 1.8 $9.1
Education and Health Care 0.0 0.2 6.7 $6.9
Construction and Utilities 0.0 2.4 0.7 $3.1
Communications 0.0 1.6 0.6 $2.2
Wholesale Trade 0.0 1.0 1.0 $2.0
Government 0.0 1.2 0.8 $2.0
Manufacturing 0.0 0.4 0.2 $0.5
Air Transport 0.0 0.0 0.0 $0.1
Agriculture, Fishing, Mining 0.0 0.0 0.0 $0.0
$436.6
$504.8
$35.0
$33.2
Direct Sales Indirect Sales Induced Sales Total Sales
15 Economic Impacts
Business sales impacts by industry
• While the majority of sales are in industries directly serving visitors, approximately $19 million in business sales were in finance, insurance and real estate as a result of selling to tourism businesses. • Total indirect and induced benefits sum to more than $68 million in business sales.
Business Sales Impacts by Industry
($ millions) 2021
Source: Tourism Economics
$16.8
$70.8
$15.9 $103.5
$0 $100 $200
Retail Trade
Finance, Ins and RE
Recreation and Ent.
Food & Beverage
Lodging
Personal Services
Other Transport
Business Services
Education and Health Care
Construction and Utilities
Communications
Wholesale Trade
Government
Manufacturing
Air Transport
Agriculture, Fishing, Mining
Direct Indirect Induced
$ millions
16 Economic Impacts
Personal income impacts by industry
Visitors generated $70 million in direct personal income and $88 million in total personal income when indirect and induced impacts are considered.
Personal Income Impacts by Industry
($ millions) 2021
$15.9 $103.5
$16.8
$70.8
Summary Personal Income Impacts
($ millions) 2021
Direct
Personal
Income
Indirect
Personal
Income
Induced
Personal
Income
Total Personal
Income
Total, all industries $70.0 $8.9 $8.9 $87.7
By industry
Retail Trade 24.3 0.2 1.3 $25.8
Food & Beverage 13.3 0.6 0.9 $14.8
Recreation and Ent. 12.9 0.2 0.1 $13.2
Lodging 13.0 0.0 0.0 $13.0
Personal Services 3.0 0.8 1.0 $4.8
Finance, Ins and RE 3.1 1.1 0.5 $4.8
Business Services 0.0 2.9 0.7 $3.6
Education and Health Care 0.0 0.1 3.5 $3.6
Other Transport 0.3 1.6 0.3 $2.2
Government 0.0 0.4 0.3 $0.7
Construction and Utilities 0.0 0.4 0.1 $0.6
Wholesale Trade 0.0 0.2 0.2 $0.4
Communications 0.0 0.1 0.1 $0.2
Manufacturing 0.0 0.1 0.0 $0.1
Air Transport 0.0 0.0 0.0 $0.0
Agriculture, Fishing, Mining 0.0 0.0 0.0 $0.0
Source: Tourism Economics
$70.0
$87.7
$8.9
$8.9
Direct Income Indirect
Income
Induced
Income
Total Labor
Income
17 Economic Impacts
Personal income impacts by industry
Most of the personal income impacts are the direct result of visitor spending in retail, food and beverage, recreation, and lodging.
Personal Income Impacts by Industry
($ millions) 2021
Source: Tourism Economics
$16.8
$70.8
$15.9 $103.5
$0 $5 $10 $15 $20 $25 $30
Retail Trade
Food & Beverage
Recreation and Ent.
Lodging
Personal Services
Finance, Ins and RE
Business Services
Education and Health Care
Other Transport
Government
Construction and Utilities
Wholesale Trade
Communications
Manufacturing
Air Transport
Agriculture, Fishing, Mining
Direct Indirect Induced
$ millions
18 Economic Impacts
Employment impacts by industry
Visitor spending supported a total of 3,757 jobs when indirect and induced impacts are considered.
Employment Impacts by Industry
(Number of jobs) 2021
3,243
Summary Employment Impacts
(number of jobs) 2021
4,200
Direct
Employment
Indirect
Employment
Induced
Employment
Total
Employment
Total, all industries 3,283 255 219 3,757
By industry
Retail Trade 1060 7 40 1,107
Recreation and Ent. 899 36 4 939
Food & Beverage 534 19 34 587
Personal Services 358 19 30 407
Finance, Ins and RE 179 53 16 248
Lodging 172 0 0 172
Other Transport 81 33 9 123
Business Services 0 69 16 85
Education and Health Care 0 2 61 63
Construction and Utilities 0 7 2 9
Government 0 4 3 7
Wholesale Trade 0 3 3 6
Communications 0 2 1 3
Manufacturing 0 1 0 1
Agriculture, Fishing, Mining 0 0 0 0
Air Transport 0 0 0 0
Source: Tourism Economics 3,283
3,757
255
219
Direct Jobs Indirect Jobs Induced Jobs Total Jobs
19 Economic Impacts
Employment impacts by industry
• As a labor-intensive collection of services, visitor spending drives jobs across sectors in Big Bear Lake.
• The 3,757 jobs supported span every sector of the economy, either directly or indirectly.
• The most significant indirect impacts come in business services, education and healthcare, and FIRE.
Employment Impacts by Industry
($ millions) 2021
Source: Tourism Economics
0 200 400 600 800 1,0001,200
Retail Trade
Recreation and Ent.
Food & Beverage
Personal Services
Finance, Ins and RE
Lodging
Other Transport
Business Services
Education and Health Care
Construction and Utilities
Government
Wholesale Trade
Communications
Manufacturing
Agriculture, Fishing, Mining
Air Transport
Direct Indirect Induced
20 Fiscal (Tax) Impacts
Tax impacts by industry
• Total tax revenues driven by visitors and their spending amounted to nearly than $71 million in (CY) 2021.
• State and local tax revenues totaled $42.6 million in (CY) 2021, consisting primarily of sales tax, transient occupancy tax (TOT), and property tax.
Fiscal (tax) Impacts
($ millions) 2021
Source: Tourism Economics
Total tax revenues $70.8
Local $21.8
Sales $2.1
Lodging $11.4
Property $6.4
Other Taxes and Fees $1.9
State $20.8
Sales $13.4
Personal income $3.2
Social Security $0.6
Corporate $1.7
Other Taxes and Fees $1.9
Federal $28.3
Personal Income $8.2
Corporate $3.7
Indirect business $2.7
Social Security $13.5
The Vacation Rental Segment of the 4 Visitor Economy
22 Vacation rental registrations are expanding
• The number of registrants has expanded in recent years. Since 2017, more than 1,000 additional properties have been registered and issued a rental license.
• Despite the rapid rise in registrants, previous levels of registrants were reportedly undercounted as some properties operated without a license.
Summary of Vacation Rentals in Big Bear Lake
Vacation rentals were on the rise before COVID-19
Vacation Rental Licenses in Big Bear Lake
Amounts in number of units
Source: City of Big Bear Lake
1,554
1,860
2,059
2,273
2,641
2017 2018 2019 2020 2021
23 Vacation rentals accounted for 78% of TOT revenues in 2021 • The vacation rentals markets expanded significantly in 2020 and 2021.
Total TOT revenues increased 39% and 26% in 2020 and 2021, respectively.
• Overall, TOT revenues have increased at an average rate of more than 18% per year between 2015 and 2021.
• As a share of total TOT revenues, vacation rentals increased to nearly 78% in 2021 from 60% in 2015.
Vacation Rentals Trends
Vacation rentals as a share of the total visitor economy Transient Occupancy Tax Revenues to the General Fund (6%) Amounts in millions of nominal dollars
Sources: City of Big Bear Lake, Tourism Economics
$3.1
$3.6 $3.9 $4.4 $4.9
$6.8
$8.4
2015 2016 2017 2018 2019 2020 2021
Other TOT
Vacation rentals
24 Spending by vacation rental visitors is increasingly important • Direct spending by visitors who stay in vacation rentals has expanded rapidly in the last four years and reached $335 million in 2021. • Vacation rental direct spending in 2020 expanded 38% over 2019 spending levels.
• Vacation rental direct spending in 2021 expanded 15% over 2020 spending levels.
• As a share of the total tourism market, vacation rentals accounted for 77% of all visitor spending in Big Bear Lake, up from 60% in 2018.
Vacation Rentals Trends
Vacation rentals as a share of the total visitor economy Vacation Rental Direct Spending
Amounts in millions of nominal dollars (L) and % share (R) Source: Tourism Economics
40 50
60 70
80 90
100
$0
$100
$200
$300
$400
$500
2018 2019 2020 2021
Other, $mils (L)
Vacation rentals, $mils (L)
VR share, % (R)
Potential Impact of Proposed Changes 5 to Vacation Rental Regulations 26 Potential impacts assessed:
1. Change in visitor volume to Big Bear Lake
2. Change in visitor spending in Big Bear Lake
3. Change in tax revenues generated from visitor spending
4. Change in expenditures associated with mitigating tourism impacts
5. Change in licensing revenues and fines from vacation rental compliance efforts
6. Impacts on employment generated by visitor spending in the City
7. Impacts on income generated by visitor spending in the City
8. Impacts on population and local school enrollment
9. Considerations of housing for the local workforce
The proposed measure would amend the City of Big Bear Lake Municipal Code to enact further limitations and regulations on “vacation rentals.” The key points of the initiative are:
1. Establish a city-wide cap of 1,500 vacation rental licenses
2. Establish an annual limit of 30 vacation rental contracts per property
3. Establish a limit of one vacation rental license per owner The measure would also enact further limitations, regulations and obligations with regards to vacation rental events and gatherings, parking standards, rental contraction information, inspections, and penalties for non-compliance. The binding restrictions of the proposed changes in items 1 to 3 above are examined in this section.
Proposed Change to Regulations
27 Fewer licenses and contracts could translate to
437,000 fewer visitors and $250 million less in visitor spending
• The proposed change will be achieved through attrition as licenses expire and not be renewed. The actual pace of
change in registered units could be slow or fast depending on many factors. Tourism Economics’ analysis assumes that
the cap will be achieved gradually over time and will be fully binding by the seventh year.
• With the cap binding and fewer contracts allowed per
property, the lower number of available units would reduce inventory. Since the demand for vacation rentals is
sufficiently different from hotel demand, it is unlikely that there would be a significant shift over to hotel inventory. • Fewer vacation rentals would correspond to 437,000 fewer visitors to Big Bear Lake per year and $250 million less in direct visitor spending. The 30 contract limit accounts for about 2/3 of the reduction in year 3 and about 40% in year 7.
The Proposed Changes Will Reduce Visitor Volume
Limit of 1,500 licenses and a cap of 30 rental contracts are the binding constraints
Changes in VR units, visitor volume, and visitor spending attributable to proposed vacation rental limits and regulations
Amounts as indicated
Source: Tourism Economics
2021 3 yrs out 7 yrs out
Registered VR units 2,641 2,091 1,500
Change in VR units -550 -20.8% -1,141 -43.2%
Total visitor volume, ths 922.4 544.2 485.4
Change in volume 378.2 -41.0% 437.0 -47.4%
Direct visitor spending, $mils $436.6 $220.4 $186.8
Change in visitor spending $216.2 -49.5% $249.8 -57.2%
28 The Proposed Changes Will Reduce Visitor Volume
Limit of 1,500 licenses
Source: Tourism Economics
2,641
2,091
1,500
2021 3 years out 7 years out
922
544
485
2021 3 years out 7 years out
$437
$220
$187
2021 3 years out 7 years out
Registered VR Units Visitor Volume (thousands) Visitor Spending ($ millions) 43%
compared to
2021 levels
-1,141 units
47%
compared to
2021 levels
-437,000 visits
57%
compared to
2021 levels
-$250M spending
29 Less direct visitor spending would result in a
potential loss of $289 million in total lost
business sales
• While the timing of these changes is impossible to
determine, stabilization would be achieved over the longterm, and $250 million in lost direct visitor spending would correspond with nearly $290 million in fewer total business sales per year in the local economy (after
accounting for lost indirect and induced business sales). • These changes would be associated with 2,100 fewer
jobs, $50 million in less local labor income, and $12
million less in local tax revenues on an annual basis.
The Proposed Changes Will Reduce Visitor Spending
Reduced economic impacts attributable to proposed vacation rental limits and regulations
Amounts in millions of nominal dollars and number of jobs Source: Tourism Economics
Less Direct Spending in the Local Economy
2021 3 yrs out 7 yrs out
Direct spending, $mils $436.6 $220.4 $186.8
Reduction in visitor spending -$216.2 -49.5% -$249.8 -57.2% Total business sales, $mils $504.8 $254.8 $216.0
Reduction in total business sales -$250.0 -49.5% -$288.9 -57.2% Employment 3,757 1,896 1,607
Reduction in employment 1,860 -49.5% 2,149 -57.2%
Income, $mils $87.7 $44.3 $37.5
Reduction in income -$43.4 -49.5% -$50.2 -57.2%
Local tax revenues, $mils $21.8 $11.0 $9.3
Reduction in local tax revenues -$10.8 -49.5% -$12.5 -57.2% 30 Economic Impacts - Business Sales
Lost sales impacts by industry
The lost sales impacts would be distributed across various industries in the local economy. Retail, finance, insurance and real estate, and recreation would experience the most losses. The total reduced economic impact across all industries would amount to nearly $290 million in lost business sales per year.
Lost sales impacts attributable to proposed vacation rental limits and regulations, by industry
($ millions) 2021
Source: Tourism Economics
$16.8
$70.8
$15.9 $103.5
-$120-$100 -$80 -$60 -$40 -$20 $0
Retail Trade
Finance, Ins and RE
Recreation and Ent.
Food & Beverage
Lodging
Personal Services
Other Transport
Business Services
Education and Health Care
Construction and Utilities
Communications
Wholesale Trade
Government
Manufacturing
Air Transport
Agriculture, Fishing, Mining
$ millions
31 Economic Impacts – Personal Income
Personal income impacts by industry
Personal income impacts would be felt most in retail, food and beverage, and recreation. The total impact would amount to just over $50 million in lost personal income per year.
Lost personal income impacts attributable to proposed
vacation rental limits and regulations, by industry
($ millions) 2021
Source: Tourism Economics
$16.8
$70.8
$15.9 $103.5
-$20 -$15 -$10 -$5 $0
Retail Trade
Food & Beverage
Recreation and Ent.
Lodging
Personal Services
Finance, Ins and RE
Business Services
Education and Health Care
Other Transport
Government
Construction and Utilities
Wholesale Trade
Communications
Manufacturing
Air Transport
Agriculture, Fishing, Mining
$ millions
32 Economic Impacts – Employment
Employment impacts by industry
The jobs impacts would also be distributed across most industries in the local economy. Job losses would be most severe in retail, recreation, and food and beverage. The total impact would amount to 2,100 fewer jobs in the City economy.
Lost employment impacts attributable to proposed vacation rental limits and regulations, by industry
(Jobs) 2021
Source: Tourism Economics
$16.8
$70.8
$15.9 $103.5
-800 -600 -400 -200 0
Retail Trade
Recreation and Ent.
Food & Beverage
Personal Services
Finance, Ins and RE
Lodging
Other Transport
Business Services
Education and Health Care
Construction and Utilities
Government
Wholesale Trade
Communications
Manufacturing
Agriculture, Fishing, Mining
Air Transport
33 City revenues would be lower
• Total City revenues would be lower by
approximately $12 million over the long-term.
• Property tax revenues would be lower by nearly
$4 million per year over the long-term.
• While money is fungible and the City would have
the ability to shift priorities, raise other revenues, or reduce public services, this level of lower revenues
would be associated proportionally with 17 fewer
positions in City government and $2.5 million less
in City payroll.
Impacts on Local Government
City of Big Bear Lake Revenues
Total City Revenues and Budget Impacts
Amounts in millions of nominal dollars
Source: Tourism Economics
2021 3 yrs out 7 yrs out
Total Revenues (FY21), $mils $45.5 $34.7 $33.0
Change -10.8 -23.7% -12.5 -27.4%
Property tax revenues, $mils $10.3 $7.2 $6.7
Change -3.2 -30.7% -3.7 -35.4%
City FTE Staff 64 49 46
Change in FTE staff -15.2 -23.7% -17.5 -27.4%
City payroll, $mils $9.1 $6.9 $6.6
Change in payroll $2.2 -23.7% $2.5 -27.4%
34 The cost to ensure compliance would be
higher
• With tighter regulations and binding limits, the
potential for non-compliance will rise, and
enforcement efforts will likely need to be
enhanced.
• The analysis assumes that the additional staff and
resources required would be similar to the staff
and resources that have been added since Tourism
Management and enforcement efforts began in
2018 – a change of three staff members and
corresponding program resources.
• With compliance and enforcement, staffing and
expenditures would stabilize, while revenues from
fees and fines would be lower due to fewer units
and the smaller market.
Impacts on Local Government
Tourism management costs and revenues
Tourism Management Cost and Revenues
Amounts in millions of nominal dollars
Source: Tourism Economics
2021 3 yrs out 7 yrs out
Tourism Management Cost $1.3 $1.8 $1.8
Change in costs $0.5 37.5% $0.5 37.5%
Licensing/Fee revenues, $mils $1.4 $1.1 $0.8
Change in revenues -$0.3 -20.8% -$0.6 -43.2%
35 The BVUSD serves more than 2,200 students
in the region
• The Bear Valley Unified School District serves a
regional population of nearly 20,000 people, and
8,100 households. The schools have more than
2,200 students enrolled.
• While changes in demographics could happen
slower or faster over time, it is assumed a job lost
from the local economy corresponds to one less
resident. Fewer jobs as a result of the proposed
change in regulations would correspond to nearly
1,500 fewer households in the region and 414
fewer students enrolled in the schools.
Impacts on Local Government
Impacts on population and school enrollment
School Enrollment Impacts
Amounts in persons, households, and children
Source: Tourism Economics
2021 3 yrs out 7 yrs out
BVUSD Regional population 19,928 18,068 17,779
Change in population -1,860 -9.3% -2,149 -10.8%
BVUSD Regional households 8,123 6,729 6,621
Change in households -1,394 -17.2% -1,502 -18.5%
BVUSD total enrollment 2,238 1,854 1,824
Change in enrollment 384 -17.2% 414 -18.5%
36 The workforce is regional - so is the housing challenge. • Housing units in the City of Big Bear Lake have slightly declined since 2010, but household formation has also declined in the City, and this is the key driver of housing demand. Housing units in Big Bear City have not kept pace with household formation.
• With housing supply not keeping up with housing demand, there is likely an imbalance in the regional stock of housing available for workers, but it appears to be more of an issue outside of the City of Big Bear Lake. • Based on household growth, the housing shortfall in Big Bear City is just under 2,400 units.
The Local Workforce
Where Big Bear Lake workers live
Sources: U.S. Census, Tourism Economics
FOOD &
BEVERAGE
$94M
ACCOMMODATION 16.7%
$323M
57.2%
RETAIL
$61M
10.7%
RECREATION
$47M
8.3%
TRANSPORT
$40M
7.0%
2010 2020 Ann % ch
City of Big Bear Lake
Households 2,091 2,044 -0.2%
Housing units 9,705 9,452 -0.3%
Big Bear City
Households 4,540 5,373 1.7%
Housing units 12,226 12,086 -0.1%
37 Most workers in Big Bear Lake do not live in the City • Based on data from the US Census Bureau, more than 88% of workers in Big Bear Lake are not residents.
• Nearly half of workers in the City live to the east within 10 miles, with many in Big Bear City.
• A smaller share of workers in Big Bear Lake live to the west of the City and commute to the City from a farther distance.
• There are many housing units in Big Bear Lake that are not occupied by residents, but it does not necessarily mean that they will become available for purchase or rent if owners face restrictions on renting units as vacation rentals.
• Most housing units in Big Bear Lake are not occupied by residents; about 7,400 units, nearly 80% of the housing stock, are seasonal or for recreational use. Housing units may sit idle or vacant even more often if they are not rented out.
The Local Workforce
Where Big Bear Lake workers live
Sources: U.S. Census Bureau, Tourism Economics
FOOD &
BEVERAGE
$94M
ACCOMMODATION 16.7%
$323M
57.2%
RETAIL
$61M
10.7%
RECREATION
$47M
8.3%
TRANSPORT
$40M
7.0%
6 Property Value Analysis
39 $263 $266 $303 $296 $304 $314 $320
$380
$481
13 14 15 16 17 18 19 20 21
$380 $395 $398 $392 $422 $424 $447
$626 $681
13 14 15 16 17 18 19 20 21
239 232 270 280
383 358 422
718
802
13 14 15 16 17 18 19 20 21
Property sales and average property sales prices experienced significant jumps due to COVID-19 in 2020 and 2021
Tourism Economics analyzed detailed property sales data to assess the real estate market in Big Bear Lake and to determine if vacation rentals have any effects on property sales throughout the City. Summary metrics include:
• After averaging 343 property sales per year between 2015 and 2019, the City had 718 property sales in 2020 and 802 property sales in 2021. • Properties had an average sales price of $417,000 between 2015 and 2019. The average sales price in 2020 was $626,000, while the average sales price in 2021 was $802,000
• Property sales averaged $307 per sq ft between 2015 and 2019. In 2020, properties averaged $380 per sq ft, while properties averaged $481 per sf in 2021.
Property Value Analysis
Summary metrics
Summary Property Sales Metrics, 2013 to 2021
Amounts as indicated
Source: Tourism Economics
Average Sales Price ($000s)
Average Price per SF
Number of Property Sales Transactions
40 Tourism Economics utilized hedonic regression analysis to determine the main factors influencing property sale prices Tourism Economics utilized hedonic regression analysis to determine the factors driving sales prices in Big Bear Lake between 2012 and 2022.
Overall, hedonic pricing models determine the extent to which various factors affect the market price of properties.
Based on data provided by the City, Tourism Economics’ hedonic regression models used property sales prices as the dependent variable and included the following data as independent variables. • Control variable for median housing value in the property’s Census blockgroup
• Number of bathrooms
• Total property living area (sq ft)
• Total property lot area (sq ft)
• Age of property
• Distance to Big Bear Lake (ft)
• Dummy variable for property sales that took place after COVID-19 restrictions began in 2020
Property Value Analysis
Hedonic regression analysis
In addition, Tourism Economics utilized GIS (Geographic Information Systems) analysis to map vacation rental properties based on a list of registered vacation rental properties provided by the City. After mapping the vacation rental properties, the research team constructed the following metrics, which served as independent variables in the hedonic regression models:
• Distance (ft) from property to closest vacation rental property • Number of vacation rental properties within 100ft of each property sale The map on the following page shows property sales and vacation rental units throughout the City.
41 Property Value Analysis
Map of property sales in Big Bear Lake (all properties) 42 Property Value Analysis
Map of property sales in Big Bear Lake (sample zoom selection) 43 The presence of vacation rentals had no significant effect on property sale prices between 2012 and 2021
The accompanying tables summarize the findings of the hedonic regressions with property sales price as the dependent variable. The top table uses the number of neighboring vacation rentals (within 100 ft of each property sale) as the measure of vacation rentals, and the bottom table uses property sales’ distance to the closest vacation rental property as the measure of vacation rentals. • The resulting equations with the differing measures of vacation rentals each had an R-square value of 0.65.
• Total living area, total lot area, number of bathrooms, and distance to Big Bear lake are all significant at the 95% level with p-values less than .05. • Properties that sold during and after the COVID-19 pandemic had selling prices that were $217,000 higher, on average, than pre-COVID sales prices • Both metrics for vacation rentals were insignificant, suggesting the presence of vacation rentals did not have an effect on property sale prices. • The number of neighboring vacation rentals within 100 ft was insignificant with a p-value of 0.70.
• The distance to the closest vacation rental was insignificant with a pvalue of 0.30.
Property Value Analysis
Summary metrics
Source: Tourism Economics
Hedonic Regression Results
2012-2021 (Dependent variable: property sales price)
Coefficient Standard Error Statistic P-value
Median house value 0.03 0.04 0.84 0.40
Number of bathrooms 18,856.89 7,413.11 2.54 0.01
Total living area (sq ft) 281.99 8.22 34.3 0.00
Total lot area (sq ft) 5.03 0.54 9.23 0.00
Property age (years) -372.91 268.18 -1.39 0.16
Distance to lake -7.93 1.09 -7.26 0.00
COVID-19 dummy variable 217,636.70 8,335.39 26.11 0.00
Number of neighboring vacation rentals -1,649.96 4,202.05 -0.39 0.70 Constant -30,643.16 24,805.21 -1.24 0.22
Coefficient Standard Error Statistic P-value
Median house value 0.03 0.04 0.77 0.44
Number of bathrooms 18,969.70 7,412.05 2.56 0.01
Total living area (sq ft) 281.42 8.23 34.21 0.00
Total lot area (sq ft) 5.02 0.54 9.33 0.00
Property age (years) -358.33 268.49 -1.33 0.18
Distance to lake -7.78 1.10 -7.05 0.00
COVID-19 dummy variable 217,682.20 8,316.42 26.17 0.00
Distance to closest vacation rental 24.73 23.72 1.04 0.30 Constant -34,277.97 24,182.48 -1.42 0.16
Indicates independent variable has a p-value less than .05 and s significant at 95% level 44 For more information:
[email protected]
Tourism Economics is an Oxford Economics company with a singular objective: combine an understanding of the travel sector with proven economic tools to answer the most important questions facing our clients. More than 500 companies, associations, and destination work with Tourism Economics every year as a research partner. We bring decades of experience to every engagement to help our clients make better marketing, investment, and policy decisions. Our team of highly-specialized economists deliver:
• Global travel data-sets with the broadest set of country, city, and state coverage available • Travel forecasts that are directly linked to the economic and demographic outlook for origins and destinations • Economic impact analysis that highlights the value of visitors, events, developments, and industry segments • Policy analysis that informs critical funding, taxation, and travel facilitation decisions • Market assessments that define market allocation and investment decisions Oxford Economics is one of the world’s foremost independent global advisory firms, providing reports, forecasts, and analytical tools on 200 countries, 100 industrial sectors, and over 3,000 cities. Our best-of-class global economic and industry models and analytical tools give us an unparalleled ability to forecast external market trends and assess their economic, social, and business impact. Headquartered in Oxford, England, with regional centers in London, New York, and Singapore, Oxford Economics has offices across the globe in Belfast, Chicago, Dubai, Miami, Milan, Paris, Philadelphia, San Francisco, and Washington D.C., we employ over 250 full-time staff, including 150 professional economists, industry experts, and business editors—one of the largest teams of macroeconomists and thought leadership specialists.
About Tourism Economics
ATTACHMENT 2
RESOLUTION NO. 2022-XX
RESOLUTION SUBMITTING TO THE QUALIFIED VOTERS OF THE CITY OF BIG BEAR LAKE ON THE NOVEMBER 8, 2022 GENERAL MUNICIPAL ELECTION BALLOT AN INITIATIVE MEASURE AMENDING THE CITY’S
MUNICIPAL CODE TO LIMIT THE NUMBER OF VACATION RENTAL
LICENSES AND RENTAL CONTRACTS IN THE CITY AND TO ENACT
ADDITIONAL LIMITATIONS AND REGULATIONS ON VACATION
RENTALS; REQUESTING THE COUNTY OF SAN BERNARDINO TO
CONSOLIDATE SAID ELECTION WITH THE STATEWIDE GENERAL
ELECTION OF EVEN DATE; AND SETTING RULES AND DEADLINES FOR
ARGUMENTS AND REBUTTALS FOR AND AGAINST THE MEASURE
WHEREAS, pursuant to Chapter 4.01 of Title 4 of the Big Bear Lake Municipal Code (B.B.L.M.C. §§4.01.010 through 4.01.110), the City currently licenses owners of certain residential dwelling units within the City to lease all or some of their property as vacation rentals, for a term of 28 or fewer consecutive days, subject to those conditions and regulations as provided in Chapter 4.01; and
WHEREAS, pursuant to authority provided by the California Elections Code, a petition has been filed with the City Council of the City of Big Bear Lake, seeking to enact an initiative measure/ordinance which would amend Chapter 4.01 to limit the number of vacation rental licenses and rental contracts in the City and to enact additional limitations and regulations on vacation rentals (the “Measure” or “Ordinance”); and
WHEREAS, pursuant to California Elections Code section 9215, an initiative petition must be in filed with the City in valid form and signed by not less than ten percent (10%) of the registered voters of the City in order to qualify the Measure for the ballot; and WHEREAS, according to San Bernardino County voter records, the minimum signature requirement in order to qualify the Measure for the ballot is 295 registered City voters; and WHEREAS, the City Clerk, through the San Bernardino County Registrar of Voters, has certified that the form of the petition complies with California law and, based upon an examination of voter registration records, has ascertained that the petition is signed by the requisite number of voters to qualify the Measure for the ballot under the Elections Code; and WHEREAS, the City Council has not voted in favor of adoption of the Measure without alteration; and
WHEREAS, the City Council is therefore authorized and required by California Elections Code Sections 1405 and 9215 to submit the proposed Measure to the voters at its “next regularly scheduled election occurring not less than 88 days after the date of the order of election”; and WHEREAS, the next “regularly scheduled election” is the City’s General Municipal Election to be held on Tuesday, November 8, 2022; and
WHEREAS, the specific terms of the Measure are attached hereto as Exhibit “A” and by this reference made an operative part hereof, and in accordance with all applicable laws; and WHEREAS, it is desirable that the General Municipal Election be consolidated with the Statewide General Election to be held on the same date, that within the City the precincts, polling places, voting centers and election officers of the two elections be the same, that the San Bernardino County election department canvass the returns of the General Municipal Election, and that the election be held in all respects as if there were only one election; and WHEREAS, it is also desirable to establish deadlines and rules for the submission of written arguments and rebuttals for and against the Measure in accordance with applicable California Elections Code procedures.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BIG BEAR LAKE,
CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:
SECTION 1. Recitals. The City Council hereby finds and determines that the foregoing recitals are true and correct, and are incorporated herein and by this reference are made an operative part hereof.
SECTION 2. Submission of Ballot Measure. The City Council of the City, pursuant to its right and authority as contained in California Elections Code Sections 1405 and 9215, hereby orders the Measure attached hereto as Exhibit “A” to be submitted to the qualified voters of the City at a General Municipal Election to be held on Tuesday, November 8, 2022. The proposed Measure shall be in the form attached hereto as Exhibit “A” to this Resolution and is incorporated by this reference as if fully set forth herein.
SECTION 3. Ballot Measure. The City Council, pursuant to its right and authority, does hereby order that the ballot question for the Measure shall be presented and printed upon the ballot submitted to the qualified voters in the manner and form set forth in this Section 3. On the ballot to be submitted to the qualified voters at the General Municipal Election to be held on Tuesday, November 8, 2022, in addition to any other matters required by law, there shall be printed substantially the following ballot question:
"Shall a measure be adopted to amend the Big Bear Lake
Municipal Code to limit the number of vacation rental
licenses the City may issue to a maximum of 1,500 and limit the number of vacation rental contracts to 30 per year per property, excluding home-sharing arrangements, limiting duplexes, triplexes and four-plexes to one vacation rental per property, and enacting additional further limitations and regulations for vacation rentals?"
YES
NO
SECTION 4. Election Procedures.
A. The ballots to be used at the election shall be in the form and content as required by law.
B. Pursuant to the requirements of Section 10403 of the Elections Code, the Board of Supervisors of the County of San Bernardino is hereby requested to consent and agree to the consolidation of a General Municipal Election with the Statewide General Election on Tuesday, November 8, 2022, for the purpose of submitting to the voters the questions relating to the City’s Measure.
C. The election services which the City of Big Bear Lake requests the Registrar of Voters, or such other official as may be appropriate, to perform and which such officer is hereby authorized and directed to perform, if said Board of Supervisors consents, include: the preparation, printing and mailing of sample ballots; the establishment or appointment of precincts, polling places, voting centers and election officers; the preparation, printing, mailing and furnishing of vote-by-mail ballots; making such publications as are required by law in connection therewith; the furnishing of ballots, voting booths, and other necessary supplies or materials for polling places or voting centers; the canvassing of the returns of the election and the furnishing of the results of such canvassing to the City Clerk of the City of Big Bear Lake; and the performance of such other election services as may be requested by the City Clerk.
D. The City Clerk is authorized, instructed and directed to procure and furnish, or cause to be procured and furnished through the County of San Bernardino, any and all official ballots, notices, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct the election.
E. The polls, voting centers and/or vote-by-mail drop-off boxes shall be open and the procedures for submitting votes-by-mail or votes at polls and vote centers shall be in accordance with those times and procedures established by the County of San Bernardino, except as otherwise provided in the Elections Code of the State of California.
F. In all particulars not recited in this Resolution, the election shall be held and conducted as provided by law for holding municipal elections in the City.
G. Notice of the time and place of holding the election is given and the City Clerk is authorized, instructed and directed to give further or additional notice of the election, in time, form, and manner as required by law.
H. All ballots shall be tallied at a central counting place and not at the precincts. Said central counting place shall be at a County center as designated by the Registrar of Voters.
I. The San Bernardino County Registrar of Voters is hereby authorized to canvass the returns of said election.
J. The City Clerk of the City of Big Bear Lake shall receive the canvass from the County as it pertains to the election on the Measures, and shall certify the results to the City Council, as required by law.
SECTION 5. Arguments and Impartial Analysis.
A. The City Council authorizes (i) the City Council or any member(s) of the City Council, (ii) any individual voter eligible to vote on the above measure, (iii) a bona fide association of such citizens or (iv) any combination of voters and associations, to file a written argument in favor of or against the Measure, in accordance with Article 4, Chapter 3, Division 9 of the Elections Code of the State of California, which arguments may be changed until and including Monday July 25, 2022, after which no arguments for or against the Measure may be submitted to the City Clerk. Arguments in favor of or against the Measure shall each not exceed 300 words in length. Each argument shall be filed with the City Clerk, signed, and include the printed name(s) and signature(s) of the author(s) submitting it, or if submitted on behalf of an organization, the name of the organization, and the printed name and signature of at least one of its principal officers who is the author of the argument.
B. The City Clerk shall comply with all provisions of law establishing priority of arguments for printing and distribution to the voters, and shall take all necessary actions to cause the selected arguments to be printed and distributed to the voters.
C. Pursuant to Section 9280 of the Elections Code, the City Council directs the City Clerk to transmit a copy of the Measure to the City Attorney. The City Attorney shall prepare an impartial analysis of the Measure, not to exceed 500 words in length, showing the effect of the Measure on the existing law and the operation of the Measure. The City Attorney shall transmit such impartial analysis to the City Clerk, who shall cause the analysis to be published in the voter information guide along with the Measure as provided by law. The Impartial Analysis shall be filed by the deadline set for filing of primary arguments as set forth in Subsection 5(A) above. The impartial analysis shall include a statement indicating whether the Measure was placed on the ballot by a petition signed by the requisite number of voters or by the City Council. In the event the entire text of the Measure is not printed on the ballot, nor in the voter information portion of the sample ballot, there shall be printed immediately below the impartial analysis, in no less than 10-font bold type, the following: “The above statement is an impartial analysis of Ordinance or Measure. If you desire a copy of the Ordinance or Measure, please call the election official’s office at (909) 866-5831 and a copy will be mailed at no cost to you.”
D. The provisions of this Section 5 shall apply only to the election to be held on November 8, 2022, and shall then be repealed.
SECTION 6. Rebuttals.
A. Pursuant to Section 9285 of the Elections Code of the State of California, when the Clerk has selected the arguments for and against the various City initiated measures which will be printed and distributed to the voters, the Clerk shall send copies of the argument in favor of the measures to the authors of the argument against, and copies of the argument against to the authors of the argument in favor. The authors or persons designated by them may prepare and submit rebuttal arguments not exceeding 250 words. The rebuttal arguments shall be filed with the City Clerk not later than Friday July 29, 2022. Rebuttal arguments shall be printed in the same manner as the direct arguments. Each rebuttal argument shall immediately follow the direct argument which it seeks to rebut.
B. The provisions of this Section 6 shall apply only to the election to be held on November 8, 2022, and shall then be repealed.
SECTION 7. Placement on the Ballot. The full text of the Measure shall be printed in the voter information guide, and a statement shall be printed in the ballot pursuant to Section 9223 of the Elections Code advising voters that they may obtain a copy of the Measure at no cost, upon request made to the City Clerk.
SECTION 8. Delivery of Resolution to County. The City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original resolutions. The City Council directs the City Clerk to deliver copies of this Resolution, including the Measure attached hereto as Exhibit “A”, to the Clerk of the Board of Supervisors of San Bernardino County and to the Registrar of Voters of San Bernardino County.
SECTION 9. Public Examination. Pursuant to California Elections Code section 9295, the Measure will be available for public examination for no fewer than ten (10) calendar days prior to being submitted for printing in the voter information guide. The Clerk shall post notice in the Clerk’s office of the specific dates that the examination period will run.
SECTION 10. CEQA. The City Council hereby finds and determines that placement of the Measure on the ballot is not a discretionary action of the City Council within the meaning of the California Environmental Quality Act (“CEQA”) and the State CEQA Guidelines and is, therefore, not subject to CEQA review. See, Tuolumne Jobs and Small Business Alliance v.
Superior Court, (2014) 59 Cal. 4th 1029.
SECTION 11. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The City Council hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof.
SECTION 12. Effective Date of Resolution. This Resolution shall take effect immediately upon its adoption.
PASSED, APPROVED AND ADOPTED this 6th day of June, 2022.
Rick Herrick, Mayor
ATTEST:
Erica Stephenson, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss
CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing resolution, being Resolution No. 2022-XX was duly passed and adopted by the said City Council and attested by the City Clerk of said City, all at a regular meeting of the said City held on the 6th day of June, 2022 and that the same was so passed and adopted by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Erica Stephenson, City Clerk
EXHIBIT “A”
ORDINANCE NO. 2022-XXX
AN ORDINANCE OF THE PEOPLE OF THE CITY OF BIG BEAR LAKE, CALIFORNIA, AMENDING CHAPTER 4.01 OF TITLE 4 OF THE BIG
BEAR LAKE MUNICIPAL CODE TO LIMIT THE NUMBER OF
VACATION RENTAL LICENSES AND RENTAL CONTRACTS IN THE
CITY AND TO ENACT ADDITIONAL LIMITATIONS AND
REGULATIONS ON VACATION RENTALS.
WHEREAS, the rental of private homes to visitors on a short-term basis presents the potential for disruption of the tranquility of the city’s residential communities if such rentals are too great in number or are insufficiently regulated;
WHEREAS, the preservation of the residential character of Big Bear Lake’s neighborhoods enhances the quality of life for residents; WHEREAS, the current regulations applicable to private home rentals on a short-term basis have resulted in disturbances to residents and visitors in the city’s residential neighborhoods;
WHEREAS, the People of the City of Big Bear Lake propose this initiative ordinance, which may be referred to as the “Big Bear Lake United to Limit Short-Term Rentals Initiative,” to comprehensively regulate the rental of private homes to visitors on a short-term basis within the residential neighborhoods of the City of Big Bear Lake;
NOW, THEREFORE, THE PEOPLE OF THE CITY OF BIG BEAR LAKE, CALIFORNIA, DO ORDAIN AS FOLLOWS:
SECTION 1. AMENDMENT TO MUNICIPAL CODE. Subject to the approval of a majority of the voters of the City of Big Bear Lake at the General Municipal Election so designated by the City Council in a separate resolution placing the proposal on the ballot for such election, Chapter 4.01 of Title 4 of the Big Bear Lake Municipal Code is hereby amended to read as follows:
(Note: strikeout is deleted text and bold underlined is new text) “Title 4 Visitor serving uses and tourism
Chapter 4.01 Vacation Rentals
Section 4.01.010. Purpose
This chapter is intended to provide a procedure to allow the rental of private homes to visitors on a short-term basis as vacation rentals. The city seeks to promote regulate and limit vacation rentals, promote responsible visitor behavior, and protect the residential character of its neighborhoods. The city seeks to balance the needs of visitors and residents in a way that makes visitors the priority in the city’s commercial districts, including the city’s commercial visitor zone, and makes residents the priority in the city’s residential zones.
Section 4.01.020. Definitions
For purposes of this chapter, the following words and phrases are defined as follows:
A. “Agent” means a person or entity, who does not hold any interest in the property and who has authority to act on behalf of the owner.
B. “Bedroom” means a room designed primarily for sleeping that meets the definition of the California Building Codes currently adopted by the city.
C. “Business entity” means a corporation, partnership, or other legal entity that is not a natural person or a personal or family trust.
C. D. “Check in” means the arrival of a guest at a vacation-rental property or agent’s office.
E. “Contract” means an agreement or evidence of any tenancy that allows or provides for occupancy of a vacation-rental property. A contract is any occupancy of a property other than occupancy that includes the owner or that includes a person on the Friends and Family list, regardless of whether compensation is paid for such occupancy or whether occupancy is evidenced in an agreement or document. A contract is not required for home-sharing. as defined herein.
F. “Cut-off date” means either the date that City Council adopts the Initiative as law or, if it is placed on the ballot, the date of the election.
G. “Dwelling unit” shall mean one or more rooms in a building or portion thereof, designed, intended to be used or used for occupancy by one family or household for living and sleeping quarters, and containing only one kitchen, not including hotels or motels.
H. “Effective date” means either the date the City Council adopts this Initiative as law upon its qualification or, if it is placed on the ballot, the date that the elections official certifies the vote on the Initiative by the voters of the City of Big Bear Lake.
I. “Friends and Family list” means a list of up to five (5) persons designated by the Owner and filed with the city, who must occupy the unit at no cost and who may occupy the unit without requiring the presence of the Owner on the premises.
J. “Good Neighbor Policy” means a document prepared by the city that summarizes the general rules of conduct, consideration, and respect, including, without limitation, provisions of this code and other applicable laws, rules or regulations pertaining to the use and occupancy of vacation rentals.
D. K. “Home-sharing” or “home sharing property” means the rental of no more than two bedrooms in a detached single-family unit, for compensation, for a term of 28 or fewer consecutive days while the owner of the unit is present lives on-site and living in the unit home, throughout the visitor’s stay.
E. L. “Hosting platform” or “hosting sites” means a person or entity who participates in home-sharing or vacation rentals by collecting or receiving a fee, directly or indirectly through an agent or intermediary, for conducting a booking transaction using any medium of facilitation. Examples include, but are not limited to, VRBO.com, Airbnb.com, homestay.com and other internet and non-internet based services that facilitate bookings for a fee.
F. M. “Owner” means a person(s) or entity, who holds record fee title to the property, except that “owner” does not include the holder of a leasehold interest in the property. “Owner” also includes a personal or family trust consisting solely of natural persons. An “owner” can be a business entity only if holding a license issued prior to the Cut-off date; any “owner” who holds a license on the Cutoff date is deemed an “owner” for purposes of this ordinance until the license is terminated or is not renewed.
G. N. “Responsible party” means the lessee of a vacation-rental property.
H. O. “Vacation rental” or “vacation-rental property” means either (1) a residential dwelling unit, or any portion thereof, that is leased for a term of 28 or fewer consecutive days. “Vacation rental” or “vacation-rental property” includes properties where home-sharing property takes place unless expressly indicated otherwise.
Section 4.01.030. License Required
A. A current, valid annual license issued by the city to the owner is required for each property prior to advertising, offering to lease, or leasing the property as a vacation-rental property. The license shall be posted inside of the Each dwelling unit used as a vacation-rental property requires a license.
B. The license number shall be conspicuously posted inside of the vacationrental property and on all advertisements or solicitations for the property, including, but not limited to Hosting sites, websites, social media postings, emails, and print ads.
C. A license shall not be issued to any business entity. A natural person or personal or family trust shall not maintain any financial interest in more than one vacation rental. For this purpose, financial interest includes both legal and beneficial ownership as well as any arrangement that provides for receipt of any portion of the revenues generated by the vacation rental. An owner shall only be issued, and can only maintain one license for any vacation rental within the City of Big Bear Lake at any time.
D. Paragraph C shall apply only to licenses issued after the Cut-off date. The purpose of this exception is to afford current owners of vacation rental property a reasonable opportunity to recoup costs reasonably invested for vacation rental use.
E. Upon sale or change of property ownership, the license shall automatically expire and the property shall not be used as a vacation rental until the new or successor owner obtains a license for the vacation rental. A change in ownership of a business entity that owns a vacation rental property such that the property is subject to reassessment constitutes a change of ownership for the purposes of this provision and results in the termination of the license. A change of ownership between or among spouses, including as a result of death or divorce, is not considered a change of ownership that terminates a license. Within seven days of a sale or change of property ownership, the owner holding a license must cancel the license through a procedure to be developed by the city.
Section 4.01.040. Licensing Procedure and Maximum Number of Licenses A. An owner shall apply to the city for a license annually for each vacation-rental property and pay a fee established by resolution of the city council. The fee shall be sufficient to allow for comprehensive and complete enforcement of the regulations in this section. The city shall provide an application form and list of application and insurance requirements.
1. At the time of renewal of any license, all business entities, limited liability companies, and person or family trusts must provide the names, contact information, and any other information deemed necessary by the city, of each natural person holding a legal, equitable, or beneficial interest in any business entity, limited liability company, or personal or family trust, and the address of each vacation rental owners by each such entity.
2. When reviewing applications for new licenses, the city shall utilize the information provided under Paragraph A.1. to ensure that no natural person has any legal, equitable, or beneficial interest in any existing licenses prior to issuing a new license, as limited in Paragraph B.
3. The owner at the time an application or renewal is submitted can designate and file with the city the names of up to five (5) persons who may occupy the vacation-rental property at no cost and without requiring the presence of the owner on the premises of the vacationrental property. Each such occupancy shall fully comply with all other provisions of this Chapter.
B. An owner may not hold more than two licenses, except that an owner holding one license for a vacation-rental property.
C. The city shall not issue more than two licenses as of September 16, 2021, may renew these one license to any owner. In addition, the city shall not issue more than one license per parcel.
D. The city shall not issue more than 1,500 licenses unless they have been revoked or not. However, licenses applied for or held in good standing on the Cut-off date and renewed within 30 days of after expiration may be renewed in accordance with this chapter even if the total number of licenses exceeds 1,500. This cap on licenses does not apply to properties that are used exclusively for home-sharing.
E. Licenses issued after the Cut-off date and before the Effective date shall be valid for a period of one (1) year and cannot be renewed if, at the time of renewal, the total number of active licenses exceeds 1,500.
F. For 24 months after the Effective date, license holders that held a license on or before the Cut-off date may choose to remove their property from the program to provide a long-term lease of at least 12 months. In such cases, property owners are eligible to apply for a license after the long-term lease expires, but only within three years of removing the property from the program. A license may be issued in this instance exceeding the limit of 1,500.
G. An application for a vacation-rental property license that was not submitted and paid, for prior to or on the Cut-off date shall not be processed by the city until the number of vacation rental licenses is below 1,500. When the number of active licenses is less than 1,500, the city can once again issue licenses, but the total number may not exceed 1,500. If there are more applicants than available licenses, the city will establish a fair and equitable system to determine which applications will be processed.
H. The city shall not renew any licenses for units with outstanding fines if all administrative appeals have been exhausted.
Section 4.01.050. Transient Occupancy Tax
A. Except as provided in Paragraph B below, the owner is responsible for collecting and remitting transient occupancy tax and tourism business improvement district assessments to the city and shall comply with all provisions of Chapter 3.20 of this code concerning transient occupancy taxes.
B. Beginning January 1, 2022, hosting Hosting platforms shall be responsible for collecting all applicable transient occupancy taxes and tourism business improvement district assessments and remitting the same to the city. The hosting platform shall be considered an agent of the host for purposes of transient occupancy tax collections and remittance pursuant to Chapter 3.20.
C. Owners shall be responsible for submitting transient occupancy tax forms reporting nightly stays and gross receipts even if a hosting platform is remitting the taxes due on their behalf.
D. Licensees making two or more late submittals in a 12-month period shall not have their license renewed upon expiration.
Section 4.01.060. Operational Requirements
A. The owner and owner’s agent shall ensure that the vacation rental Prior to checkin or guest arrival, the owner or the owner’s agent shall provide a contract summary to the city on a form to be developed by the city. The contract summary shall contain, at a minimum, the license number, the dates of the stay, and the contract number for the year, and any other information as deemed appropriate by the city. This requirement does not apply to homesharing.
B. Prior to or at check in, the owner or the owner’s agent shall obtain from the Responsible Person the individual’s name, email address, and a copy of a government-issued identification.
C. No more than 30 contracts for occupancy of a vacation-rental property shall be allowed in any calendar year. A contract is any occupancy of a property other than occupancy that includes the owner or that includes a person on the Friends and Family list, regardless of whether compensation is paid for such occupancy or whether occupancy is evidenced in an agreement or document. In order to allow for any existing reservations and allow the city time to establish a system to monitor and track contracts, this limitation commences at the start of the first day of the calendar year 2024.
1. The city shall track and enforce the 30 contract per year rental limitation, except the 30 contract per year limit shall not apply to occupancies that meet the definition of home-sharing. No contract is required for home-sharing.
2. If it is determined by the city that a vacation-rental property has been rented without providing the contract summary, the owner shall be deemed in violation of this Ordinance, regardless of the number of contracts in the city’s records for the current calendar year.
3. The owner or the owner’s agent shall maintain a record of all contracts for a period of at least three years, subject to audit by the city.
D. The owner and owner’s agent shall ensure that the vacation-rental property complies with all applicable codes regarding fire, building and safety, health and safety, zoning, lighting, and all other laws and regulations.
E. The rules and regulations rewarding usage, quiet hours, parking, and occupancy applicable to visitors renting the vacation-rental properties are also applicable to owners occupying their own vacation rental properties and to occupancies by persons designated on the owner’s Friends and Family list.
B.F. All guest check-ins must be performed in person by the owner or the owner’s agent. The responsible party must be present in person at the check-in, The responsible party must sign a copy of the City’s city’s Good Neighbor Policy prior to or during check- in. A copy of the signed policy shall be provided to the city by the owner or owner’s agent upon request. An owner or agent may provide an electronic process for guests to sign and acknowledge the City’s city’s Good Neighbor Policy at check-in.
C.G. Occupancy of the vacation-rental property shall always be limited to the limit stated on the license. Such occupancy shall not exceed two adults per bedroom, plus two additional adults, not including persons under 18 years of age; but the total number of persons, including persons under 18 years of age, may not exceed one person per 200 square feet of living space or 16 persons, whichever is less.
Properties without all the parking spaces that are required by Section 17.25.070 are limited to two adults per parking space provided.
D.H. No party, wedding, Events or other gathering gatherings exceeding occupancy limits is are not permitted without prior written approval by, unless the city manager or the city manager’s designee at least 30 days in advance. City approval is discretionary and may be subject to reasonable conditions. has given prior written approval on or before the Cut-off date.
E.I. Off-street parking spaces shall be provided on the vacation-rental property sufficient for all vehicles and trailers associated with the vacation-rental property or its occupants in accordance with Section 17.25.070. Parking is allowed only in designated driveways and garages and is not allowed in the yard or street at any time. The maximum number of vehicles at a vacation rental property at any time is also the minimum number of parking spaces required. Gravel parking spaces approved for vacation-rental properties licensed before January 11, 2021, and originally constructed after January 1, 2004, shall continue to be allowed until January 1, 2026. Properties licensed before January 11, 2021, that do not contain off-street parking spaces shall continue to be allowed until January 1, 2026. The maximum number of vehicles that may be parked at a vacation rental is the number of existing conforming spaces or the number listed below based upon lot size, whichever is fewer:
1. For a lot less than 5,000 square feet, two cars maximum;
2. For a lot between 5,000 to 10,000 square feet, three cars maximum; and
3. For a lot greater than 10,000 square feet, four cars maximum.
4. Cars parked in a fully enclosed garage are not included in these maximum limitations.
F.J. Upon the request of the city, the owner or the owner’s agent shall respond in person at the vacation-rental property within 30 minutes of dispatch of notice by the city to correct a any violation of this chapter or any other provision of this code, prevent a recurrence of such conduct by those occupants or guests, and evict one or more of the guests when requested by the City’s agent.
G.K. No radio receiver, musical instrument, phonograph, loudspeaker, sound amplifier, or other any machine or device for the producing or reproducing of any sound may be operated on the vacation-rental property unless it is within a fully enclosed structure and is not audible at the property line of the vacation-rental property.
H.L. Outdoor activity that disturbs the peace and the use of an outdoor spa are prohibited between the hours of 10:00 p.m. and 7:00 a.m.
I.M. Each vacation-rental property shall be equipped with no more than one informational sign as described in the registration materials. The sign shall be clearly visible from the street, include the code enforcement hotline number, identify the maximum number of occupants and the maximum number of cars permitted plus additional information required by the city.
J.N. Trash may not be stored at a vacant vacation rental property at any time. Trash shall be properly handled and disposed of as required by city regulations.
K.O. Incessant barking from dogs heard beyond the property line is prohibited.
L.P. The owner shall include notice to lessee Responsible person of the requirements of this section in all leases and post a visible notice at the entrance to the vacationrental property.
Section 4.01.070. Agency and Certification
An owner may grant authority to an agent to act on behalf of the owner for purposes of fulfilling some or all the requirements of this chapter. The owner shall give prior written notice to the city of any grant of authority to a notice, including the identity and contact information for the agent. The owner shall promptly give the city written notice of any change to any such grant of authority of making such change. The use of an agent shall not excuse the owner from the owner’s obligations of this chapter. Agents and owners fulfilling any of the requirements of this chapter shall be annually certified by the city.
Section 4.01.080. Inspection and Audit.
A. Each owner and owner’s agent shall provide the city with access to the vacationrental property and to such related records, documents, tax returns, and bank accounts at any time during normal business hours as the city may determine are necessary for the purpose of inspection or audit to determine that the objectives and conditions of this chapter are being fulfilled.
B. Every applicant applying for a license shall provide the city access to any premises, property or dwelling which is the subject of the application, and the city shall be permitted to make any inspections as the city may determine is necessary from time to time throughout the application process. If a license is issued, the city shall be permitted access to the subject premises, property or dwelling in order to determine continued compliance with this chapter and/or any conditions of approvals set forth in the respective license.
C. The owner shall pay to the city the actual costs of any inspections not to exceed the cost of one hour for every inspection conducted pursuant to this chapter.
Section 4.01.090. Hosting Platform Responsibilities.
A. Subject to applicable laws, hosting platforms shall, upon written request by the city, promptly disclose to the city each vacation-rental property listing located in the city, the host ID, listing ID, and names of the persons responsible for each such listing, the address of each such listing, the length of stay for each such listing, and the price paid for each stay.
B. A hosting platform shall promptly remove any listing upon receipt of a take-down notice from the city indicating that a listing violates applicable legal requirements.
C. A hosting platform is responsible for collecting and remitting transient occupancy taxes and tourism business improvement district assessments on behalf of their hosts beginning January 1, 2022, in accordance with Section 1.01.050 above.
D. A hosting platform shall require all hosts to include a valid license number in a designated field dedicated to the license number no later than January 1, 2022.
Section 4.01.100. Violations and Penalties
A. The city may shall issue an administrative citation to any person who operates a vacation-rental property without a license. The administrative fine for the first citation shall be in the amount of $5,000.00. Any person operating an unlicensed vacation-rental property shall be permanently ineligible to operate a vacationrental property in the city, and any property that is operated as a vacation-rental property without the required license shall be ineligible for a vacation-rental property license for a period of one year from the most recent citation issued for operating without a license. If the person continues to operate a vacation-rental property without a license, the city may shall issue an additional administrative citation, with an administrative fine in the amount of $10,000.00. Any additional violation shall be subject to additional citations with escalating fines provided in a schedule established by the city council by resolution. A person operating an unlicensed vacation-rental property is liable to the city for the payment of transient occupancy tax in accordance with the provisions of Chapter 3.20 of this code, including without limitation penalties and interest.
B. For any violation of the requirement in Section 4.01.060(A) to provide contract summaries to the city, an immediate fine of $2,500 shall be assessed against the owner, and the license for that property shall be suspended for a six-month period. A second violation at the same vacation-rental property shall terminate the license for that property.
B.C. For any violation of this chapter that is not subject to subsections A or B above or DE or F below, the city may shall impose an administrative fine for the first violation in the amount of $500.00. The fine for each subsequent violation shall be $1,000.00. Upon the third violation in any twelve-month period of any provision of this chapter that is not subject to subsection A or B above or E or F below, the license for that property shall be revoked.
C.D. Each Except as stated otherwise, each administrative citation for a violation of any provision of this chapter may be levied or assessed against one or more of:
the owner, the owner’s agent, a hosting platform, and the responsible party. The city may initiate revocation of a license after one violation. Each day that a violation occurs is a separate violation, for which the city may shall issue a separate administrative citation and fine.
D.E. Any person who advertises a vacation-rental property with false occupancy information, offering self-check-in, or without including a valid license number for the property in the advertisement shall pay a fine in the amount of $2,500.00, and the owner’s license for that property may be revoked. The owner’s license for that property shall be revoked for a second offense, if not revoked already.
F. If a guest violates this ordinance and it is determined that a responsible party has not signed a copy of the city’s Good Neighbor Policy as required by Section 4.01.060, the owner or their agent shall pay a fine in the amount of $500.00, in addition to any fine levied against the guest.
E.G. The failure of an owner or the owner’s agent to comply with an order of any police officer shall result in the revocation of the license.
F.H. The appeal and hearing provisions of Section 1.17.070 of this code apply to any revocation or suspension of a license. In lieu of revocation or suspension of a license, the City Manager, at his or her discretion, may place additional operating conditions on a vacation-rental property.
G.I. In addition to, and not in lieu of, any other remedy allowed by law, all remedies prescribed under this chapter are cumulative, and the election of one or more remedies does not bar the city from pursuing any other remedy, whether criminal, civil, or administrative, through which the city may enforce this chapter or address any violation of this code or to remedy any other public nuisance.
H.J. Owners and agents must accept all city vacation-rental-related correspondence, including, but not limited to, notices of violation, administrative citations, registration materials, notices of regulatory changes, and transient occupancy tax notices via email delivery. It is the responsibility of the owner and agent to ensure that the email address provided on the license application is active and monitored regularly.
K. The city shall maintain a web-based database of issued vacation-rental property licenses and enforcement actions or violations assessed against each license holder. The website shall list vacation rentals by address and include at a minimum, the following information for each unit: owner, license number, and expiration date; name of any owner’s agent or management company (if applicable); maximum permitted number of occupants; maximum permitted number of cars; each and every complaint that has been received, including duplicate complaints; a detailed description of each compliant and final resolution to each complaint; any fines that were levied, and whether the fines were paid or are outstanding.
Section 4.01.105. Authority to Make Rules and Regulations The city shall have the authority to establish administrative rules and regulations, which may include, but are not limited to, registration conditions, reporting requirements, inspection frequencies, enforcement procedures, advertising restrictions, disclosure requirements, or insurance requirements, consistent with the provisions of this Chapter, for the purpose of implementing, interpreting, clarifying, carrying out, furthering, and enforcing the requirements and the provisions of this Chapter. No such rules may have the effect of undermining any of the provisions of this Chapter.
Section 4.01.110.
VACATION RENTAL ELIGIBILITY
TABLE
Zoning District Improvements on Property Vacation Rental Eligibility R-L & R-1 Zones 1 Single-Family Unit Eligible
I Single-Family Unit & Detached
Guest House (no kitchen)
Eligible, as one unit combined.
Must rent the entire property to
same party. No kitchen allowed
in Guest House.
1 Single-Family Unit & ADU** Not eligible
1+ Detached Single-Family Units Only 1 unit is eligible 1+ Attached Single-Family Units Only 1 unit is eligible R-3 Zone 1 Single-Family Unit Eligible
1 Single-Family Unit & Detached
Guest House (no kitchen)
Eligible, as one unit combined.
Must rent the entire property to
same party. No kitchen allowed
in Guest House.
I Single Family Unit & ADU** Not eligible
I+ Detached Single-Family Units Only I unit is eligible 2-4 Attached Single-Family Units All are Onlv 1 unit is eligible >4 Attached Single-Family Units
Under Single Ownership (Apartments)
None are eligible
>4 Attached Single-Family Units
Under Multiple Ownership
(Condominiums)
All are eligible
Commercial Zones
(including Village
Commercial)
1 Single-Family Unit Village Commercial = Eligible.
Commercial Zones =Not
eligible.
Mixed-use building
1+ Detached Single-Family Units
1+ Attached Single-Family Units
None are eligible.
*Owners of licensed properties as of January 11, 2021 that are not in compliance with the above table can continue to renew license unless it has been revoked or expired more than 30 days. ** No property is eligible for a vacation rental license if the property has an ADU on it, regardless of zone.”
SECTION 2. IMPLEMENTATION.
A. This Initiative is considered adopted and effective upon the earliest date legally possible after either the City Council adopts the Initiative as law upon its qualification or, if it is placed on the ballot, the elections official certifies the vote on the Initiative by the voters of the City of Big Bear Lake. Upon the effective date of this Initiative, the city is directed to promptly take all appropriate actions needed to implement this Initiative, including but not limited to taking any administrative steps necessary to update any and all city maps, figures, and any other documents maintained by the city so they conform to the legislative policies set forth in this Initiative.
B. Upon the effective date of this Initiative, the provisions of Section 1 of this Initiative are hereby inserted into the City of Big Bear Lake Municipal Code. The city may reorganize, renumber, and/or reformat the provisions of Section 1 of this Initiative, provided that the full text is inserted into the Municipal Code without alteration.
SECTION 3. EFFECT OF OTHER MEASURES ON THE SAME BALLOT.
It is the voters’ intent to comprehensively regulate the rental of private homes to visitors on a short-term basis. To ensure that this intent is not frustrated, and in the event this Initiative is not adopted by the City Council as law, this Initiative shall be presented to the voters as an alternative to, and with the express intent that it will compete with, any and all voter initiatives or city-sponsored measures placed on the same ballot as this Initiative and which, if approved, would regulate the rental of private homes to visitors on a short-term basis (each, a “Conflicting Initiative”). In the event that this Initiative and one or more Conflicting Initiatives are adopted by the voters at the same election, then it is the voters’ intent that only that measure that receives the greatest number of affirmative votes shall control in its entirety and said other measure or measures shall be rendered void and without any legal effect. In no event shall this Initiative be interpreted in a manner that would permit its operation in conjunction with the non-conflicting provisions of any Conflicting Initiative. If this Initiative is approved by the voters but superseded by law in whole or in part by any other Conflicting Initiative approved by the voters at the same election, and such Conflicting Initiative is later held invalid, this Initiative shall be self-executing and given full force of law.
SECTION 4. INTERPRETATION, SEVERABILITY, ENFORCEMENT
A. This Initiative must be interpreted so as to be consistent with all federal and state laws, rules, and regulations. If any section, sub-section, sentence, clause, phrase, part, or portion of this Initiative is held to be invalid or unconstitutional by a final judgment of a court of competent jurisdiction, such decision does not affect the validity of the remaining portions of this Initiative. The voters declare that this Initiative, and each section, sub-section, sentence, clause, phrase, part, or portion thereof, would have been adopted or passed irrespective of the fact that any one or more sections, sub-sections, sentences, clauses, phrases, part, or portion is found to be invalid. If any provision of this Initiative is held invalid as applied to any person or circumstance, such invalidity does not affect any application of this Initiative that can be given effect without the invalid application.
B. If any portion of this Initiative is held by a court of competent jurisdiction to be invalid, we the People of the City of Big Bear Lake indicate our strong desire that:
(i) the City Council use its best efforts to sustain and re-enact that portion, and (ii) the City Council implement this Initiative by taking all steps possible to cure any inadequacies or deficiencies identified by the court in a manner consistent with the express and implied intent of this Initiative, including adopting or reenacting any such portion in a manner consistent with this Initiative.
C. The Proponents of this Initiative, and any committee formed to support this Initiative, shall have standing to enforce and defend the provisions of this Initiative in any judicial forum, as necessary.
D. This Initiative must be broadly construed in order to achieve the purposes stated above. It is the intent of the voters that the provisions of this Initiative be interpreted or implemented by the city and others in a manner that facilitates the purpose set forth in this Initiative.
SECTION 5. AMENDMENT.
The provisions of this Initiative can be amended or repealed only by a majority of voters of the City of Big Bear Lake voting in an election held in accordance with state law.
SECTION 6. INCONSISTENT PROVISIONS REPEALED.
Any provisions of the City of Big Bear Lake Municipal Code, or any other ordinances of the city inconsistent with this Initiative, to the extent of such inconsistencies and no further, are hereby repealed.
SECTION 7. ATTESTATION OF ORDINANCE.
The Mayor is hereby authorized to attest to the adoption of this Ordinance by the People voting thereon on November 8, 2022, by signing where indicated below.
I hereby certify that the foregoing Ordinance was PASSED, APPROVED AND ADOPTED by the People of the City of Big Bear Lake on the 8th day of November, 2022.
Dated: _______________________ ______________________________
RICK HERRICK
MAYOR
ATTEST: APPROVED AS TO FORM:
______________________________ ______________________________ ERICA STEPHENSON STEPHEN P. DEITSCH
CITY CLERK CITY ATTORNEY
MEETING
DATE: June 6, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Kelly Ent, Director of Administrative Services
SUBJECT: Update from Council Appointed Ad Hoc Committee Regarding Proposed Workplan
BACKGROUND
On May 16, 2022, City Council formed an Ad Hoc Committee comprised of Councilmember Melnick and Councilmember Putz for the purpose of identifying a potential compromised amendment to the City’s vacation rental ordinance as an alternative to the petition entitled “Initiative Measure Amending the City’s Municipal Code to Limit the Number of Vacation Rental Licenses and Rental Contracts in the City and to Enact Additional Limitations and Regulations on Vacation Rentals”.
DISCUSSION
Councilmember Melnick and Councilmember Putz will lead a discussion regarding a proposed workplan, potential public meeting input sessions, project timeline, and desire to draft a compromised amendment to the City’s vacation rental regulations.
FISCAL IMPACT
There is no fiscal impact associated with this action. Sufficient funds are available in the current adopted budget for attorney costs to draft a compromised amendment.
ENVIRONMENTAL CONSIDERATIONS
None requiring review under California Environmental Quality Act (CEQA).
RECOMMENDATION
It is recommended that the City Council receive a presentation from the Ad Hoc Committee members and provide direction including authorization to work with the City Attorney to draft a compromised amendment to the City’s Municipal Code regarding vacation rental regulations.
ATTACHMENTS
1. Ad Hoc Committee Work Plan
2. Ad Hoc Committee Structured Listening Elements
ATTACHMENT 1
Big Bear Lake City Council Ad Hoc Committee’s
Work Plan for a
Compromise Private Home Rental (PHR) Ordinance
(6/1/2022)
Goals:
I. Set expectations
A. Absolutes
1. Behavior & Ground Rules
a) Embrace flexibility, not here to advocate entrenched positions, not letting perfect impede progress
b) Ad Hoc Committee can’t commit City Council, current or future c) Conduct ourselves with respect and civility
2. Outcomes
a) Craft a meaningful constructive alternative
b) Resulting in a compromise ordinance that Melnick & Putz can recommend and vote for
c) Doing so to be most useful within a very tight time frame B. Desires
1. Everyone feels heard & part of the process
2. Compromise sufficient for City Council to pass and for withdrawal of Citizens Initiative
3. Avoid looming increased community division and move towards healing
II. Feel heard
A. Conduct first public Ad Hoc Committee meeting as Structured Listening Session (broken down into key elements), including this Work Plan B. Listening informs compromise (recognizing input not scientifically/ statistically valid data)
C. Public input via a variety of methods (in-person open Ad Hoc Committee meetings, written, survey)
D. Make stakeholders part of the process, recognizing you can’t effectively have everyone at the final table and expect to make a meaningful compromise
III. Pass a compromise ordinance
A. Draft council-supportable compromise ordinance informed by further listening
B. Visually present comparison chart of current / compromised / initiative ordinances with further community input opportunity
C. Conduct second public Ad Hoc Committee Compromise Review meeting with 2 council members, 2 initiative proponents, City Manager, & City Attorney to determine if sufficient compromise to remove initiative from ballot, allow for public comment
D. Present compromise ordinance to Council for possible approval Timeline:
Mon 6/6/2022 - Update City Council on Work Plan
Tue 6/14/2022 - 1st Public Ad Hoc Committee Compromise Meeting, Listening Session (6pm, includes Structured Listening
PHR elements)
By 6/17/22 - Ad Hoc Committee provides key elements to City Attorney for initial draft of compromise ordinance
Mon 7/11/2022 - Publish Draft Ordinance for community consideration, includes comparison chart
Mon 7/18/2022 - 2nd Public Ad Hoc Committee Compromise Meeting, Review Session, Citizens Initiative Proponent Discussion (1pm before Council Meeting)
7/18 to 7/27/22 - City Attorney prepares final compromise ordinance for Council review
Mon 8/1/2022 - Introduce compromise ordinance to City Council (with possible adjourned regular meeting 5+ days later for
adoption)
Fri 8/12/2022 - Deadline for Initiative to be removed from Ballot
ATTACHMENT 2
Big Bear Lake City Council Ad Hoc Committee’s Work Planfor a Compromise Private Home Rental (PHR) Ordinance (6/1/2022)Structured Listening Elements for City of Big Bear Lake PHRs:
Element Current Ordinance (passed 8/16/21) Compromise Ordinance Citizens’ Initiative Licensing
PHR Licensing Required of all PHRs, non-compliance
results in fines and/or permanent rental ban
Same
Owner Licensing Restrictions Maximum of 2 licenses, owners with more than 2 valid licenses are grandfathered (of which there are currently X), business entity can hold license Maximum of 1 license, owners with
more than 1 are grandfathered (of which there are currently X), transfer of property eliminates license, no licenses to any business entity, personal contact info of all owners must be disclosed Maximum Number of Licenses Not limited Capped at 1500, existing licenses grandfathered, unclear how any available licenses below cap would be issued Management
Rental Contract Limits Not limited Limited to 30 rentals/contracts/uses each year regardless of compensation
Rental Contract Summary Not required Contract summary for each rental must be provided to City & available for 3 years of auditing Owner Use Not limited Owners, friends & family, all must follow same rules/restrictions as renters
Element Current Ordinance (passed 8/16/21) Compromise Ordinance Citizens’ Initiative Friends & Family Use Not limited Owner must file list of non-renting occupants allowed without owner, limited to 5 persons
Check-Ins In person by owner/agent, must sign
Good Neighbor Policy
Same
Renter Occupancy 2 adults per bedroom, +2 additional
adults (not including persons <18 years old) with total not exceeding 1 person per 200 square feet, or 16 persons, whichever is less. Reduced parking capacity limits to 2 adults per space.
Same
Rental Uses No party, wedding, or gathering
exceeding occupancy limits is permitted without prior written approval by the city manager at least 30 days in advance No events/gatherings exceeding occupancy limits are permitted under any circumstances, including for owners & friends/family Guest Parking Requires 1 parking space per
bedroom, (minimum of 2) clearly delineated off-street paved parking spaces, with some grandfathered exceptions; no on-street parking at anytime Required off-street parking limited by lot size: <5000 sq.ft. = 2 cars max, 5000-10000 sq.ft. = 3 cars max, 10000+ sq.ft. = 4 cars max; cars in garages not included in limits Music / Amplified Sound Indoors only & inaudible at property line
Same, but includes owners & friends/family
Spa Use Rental use prohibited between 10pm
& 7am
Same, but includes owners & friends/family
Outdoor Activities Any that disturbs the peace prohibited between 10pm & 7am; incessant dog barking always prohibited Same, but includes owners & friends/family
Trash Can’t be stored at anytime Similar, as required by City regulations
Element Current Ordinance (passed 8/16/21) Compromise Ordinance Citizens’ Initiative Signage Must display # of allowed renters & cars, plus owner/agent contact info on exterior
Similar, adds license # posted inside unit & on any advertising Long Term Leasing Not limited 12+ month leases can suspend existing license for up to 3 years
Transient Occupancy & TBID Taxes Owner/Hosting platform must collect/pay current 8% TOT & 3% TBID
Same
Owner/Agent Response Must respond to City on site in person within 30 minutes
Must respond to City on site in person within 30 minutes, must prevent any reoccurring offenses, and perform evictions Agencies Owner can use agent, but ultimately
owner is responsible
Same
Hosting Platforms Must disclose listing data, collect
taxes, and publish valid license #
Same
Enforcement
Inspections & Audits Owner/agent must provide access to property and all related (tax/bank) records
Owner/agent must provide access to property and all related (tax/bank) records; owner pays actual inspection costs not to exceed 1 hour Violations & Penalties Minor violations = $500 - $1000; Falsified info = $2500; Non-license, 1st offense = $5000 & ineligible for 1 year, further offenses = $10,000+ & permanent ban; License suspension/revocation possible in many cases Similar, but removes any City discretion (“may” to “shall”); adds penalties for contract summary violations; 3rd minor violation results in termination of license; removes City’s flexibility to enact additional restrictions on problem rentals; requires detailed public license & enforcement database
Element Current Ordinance (passed 8/16/21) Compromise Ordinance Citizens’ Initiative Zoning Generally condos & single family homes without additional units are eligible, apartments and commercial units are not Similar, but R-3 Zones with 2-4 Attached Single Family Units reduced to 1 rental Code & Behavior Enforcement # of enforcement officers doubled in 2021, aided by increased TOT revenue; number and amount of fines up significantly & complaints down compared to pre/Pandemic period Unknown impact (of eliminated PHRs, change in TOT revenue, postPandemic visitation levels) on need and ability to enforce desired visitor behavior & neighborhood qualities PHR Ordinance Modification By City Council action, commonly 45 days
By City Council action, commonly 45 days
Only by another ballot measure
approved by voters, in 88 to 365 days, if successful
MEETING
DATE: June 6, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Kelly Ent, Director of Administrative Services
SUBJECT: Resolution Calling for Placement of a General Tax Measure on the November 8, 2022 General Municipal Election Ballot for the Submission to the Qualified Voters of a Proposed Ordinance Amending the City’s Transient Occupancy (Hotel) Tax by Increasing the Maximum Rate from 8% to 10% on Vacation Rental Occupancy and from 8% to 9% for all other Hotel and Transient Occupancy; Requesting the County of San Bernardino to Consolidate Said Election with the Statewide General Election of Even Date; and Setting Rules and Deadlines for Arguments and Rebuttals for and Against the Measure
BACKGROUND
On May 16, 2022, City Council directed staff to work with legal counsel to prepare the necessary documents placing a measure on the November 8, 2022 ballot increasing the City’s Transient Occupancy Tax (TOT) rate from 8% to 10% on vacation rental occupancy and from 8% to 9% for all other accommodations. City Council will consider adoption a Resolution calling for placement of a general tax measure on the November 8, 2022 ballot amending the City’s TOT rate.
DISCUSSION
Discussions resumed regarding a potential increase in the City’s TOT rate last November. Over the course of the past several months, City Council has engaged in discussions regarding funding priorities, the process for amending the City’s TOT rate, types of ballot measures, and potential revenue to be raised with a change in the City’s TOT rate. At the May 16 meeting, City Council directed staff to work with legal counsel to prepare the necessary documents calling for placement of a general tax measure on the November 8, 2022 ballot. The City’s current TOT rate is 8%. The proposed rate adjustment would increase the TOT on vacation rentals to 10% and for all other occupancy to 9%. This change is estimated to generate approximately $1 million annually.
To place a measure on the ballot for voter consideration will require adoption of a Resolution with an affirmative vote from at least three members of the City Council. A general tax measure affords the flexibility to appropriate the incremental tax generated to accomplish identified services and programs and requires a simple majority of voters (50% plus one voter) to approve the increase.
FISCAL IMPACT
This action has no fiscal impact.
ENVIRONMENTAL CONSIDERATIONS
None requiring review under California Environmental Quality Act.
RECOMMENDATION
It is recommended that the City Council adopt the attached Resolution placing a general tax measure on the November 8, 2022 ballot for voter consideration to raise the City’s TOT rate from 8% to 10% for vacation rental occupancy and from 8% to 9% for all other occupancy.
ATTACHMENT
1. Resolution No. 2022-XX
ATTACHMENT 1
RESOLUTION NO. 2022-XX
RESOLUTION CALLING FOR THE PLACEMENT OF A GENERAL TAX
MEASURE ON THE NOVEMBER 8, 2022 GENERAL MUNICIPAL ELECTION
BALLOT FOR THE SUBMISSION TO THE QUALIFIED VOTERS OF A PROPOSED ORDINANCE AMENDING THE CITY’S TRANSIENT OCCUPANCY (HOTEL) TAX BY INCREASING THE MAXIMUM RATE FROM 8% TO 10% ON VACATION RENTAL OCCUPANCY AND FROM 8% TO 9% FOR ALL OTHER HOTEL AND TRANSIENT OCCUPANCY; REQUESTING THE COUNTY OF SAN BERNARDINO
TO CONSOLIDATE SAID ELECTION WITH THE STATEWIDE GENERAL ELECTION OF EVEN DATE; AND SETTING RULES AND DEADLINES FOR ARGUMENTS AND REBUTTALS FOR AND AGAINST THE MEASURE.
WHEREAS, pursuant to Chapter 3.20 of Title 3 of the Big Bear Lake Municipal Code (B.B.L.M.0043. §§3.20.010 through 3.20.310), the City currently imposes a Transient Occupancy Tax (Hotel) Tax (“TOT”) at the rate of eight percent (8%) upon guests of hotels and other transient accommodations within the City, including vacation rentals; and WHEREAS, the City Council desires to amend the Big Bear Lake Municipal Code to increase the maximum rate of the TOT from eight percent (8%) to ten percent (10%) upon guests of vacation rentals and from eight percent (8%) to nine percent (9%) upon guests of all other hotels and transient accommodations within the City; and
WHEREAS, pursuant to Section 9222 of the California Elections Code and Sections 7280 and 7281 of the California Revenue and Taxation Code, the City Council has the authority to place a measure on the ballot regarding the imposition, extension or increase in a local transient occupancy tax to be considered by the voters at a Municipal Election; and WHEREAS, the TOT is a general tax the proceeds of which are deposited into the City’s general fund and which pay for important City services such as police, street operations and maintenance, parks and trail construction and maintenance, and general municipal services to the public; and WHEREAS, on November 6, 1996, the voters of the State of California approved Proposition 218 (California Constitution, Article XIIIC), an amendment to the State Constitution which requires that all general taxes which are imposed, extended or increased must be submitted to the electorate and approved by a majority vote of the qualified electors voting in the election; and WHEREAS, pursuant to Proposition 218 (California Constitution Article XIIIC, §2(b)), the general rule is that any local election for the approval of an increase to a general tax must be consolidated with a regularly scheduled general election for members of the governing body of the local government; and
WHEREAS, pursuant to the Big Bear Lake City Charter §900 and Big Bear Lake Municipal Code §1.12.010, the City’s regular general municipal elections for officers are held on the first Tuesday after the first Monday in November of each even-numbered year; therefore, the next regularly scheduled General Municipal Election for the election of members of the City Council will be held on Tuesday, November 8, 2022; and
WHEREAS, based on the above, the City Council desires to submit a ballot measure to the voters at the November 8, 2022 General Municipal Election seeking voter approval of the proposed TOT maximum rate increase (the “Measure”); the specific terms relating to the Measure are provided for in the ordinance to be considered by the qualified voters, attached hereto as Exhibit “A” and by this reference made an operative part hereof, and in accordance with all applicable laws; and WHEREAS, pursuant to City Charter §407, “[U]nless otherwise required by the Charter, the affirmative votes of at least three members of the Council shall be required for the enactment of any ordinance, resolution or order for the payment of money”; and WHEREAS, the City Charter does not otherwise require a supermajority of Councilmembers to enact this Resolution; and
WHEREAS, in Traders Sports v. City of San Leandro, (2001) 93 Cal. App. 4th 37, the California Court of Appeal held that the requirement in Government Code §53724(b) (“Proposition 62”) to obtain a two-thirds (2/3) supermajority vote of all members of the City Council to place a general tax measure on the ballot does not apply to charter cities whose charters set a different voting threshold; and
WHEREAS, therefore, the affirmative votes of at least three members of the City Council are required to place this Measure on the November, 8, 2022 ballot; and WHEREAS, it is desirable that the General Municipal Election be consolidated with the Statewide General Election to be held on the same date, that within the City the precincts, polling places, voting centers and election officers of the two elections be the same, that the San Bernardino County election department canvass the returns of the General Municipal Election, and that the election be held in all respects as if there were only one election; and WHEREAS, it is also desirable to establish deadlines and rules for the submission of written arguments and rebuttals for and against the Measure in accordance with applicable California Elections Code procedures.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF BIG BEAR LAKE,
CALIFORNIA, DOES RESOLVE, DECLARE, DETERMINE AND ORDER AS FOLLOWS:
SECTION 1. Recitals. The City Council hereby finds and determines that the foregoing recitals are true and correct, and are incorporated herein and by this reference are made an operative part hereof.
SECTION 2. Submission of Ballot Measure. Pursuant to City Charter §407, Elections Code §9222, Revenue and Taxation Code §§7280 and 7281, and any other applicable requirements of the laws of the State of California relating to the City, the City Council, by a minimum of three affirmative votes, hereby orders the Measure to be submitted to the voters of the City at the General Municipal Election to be held on Tuesday, November 8, 2022.
SECTION 3. Ballot Measure. The City Council, pursuant to its right and authority, does hereby order that the Measure shall be presented and printed upon the ballot submitted to the qualified voters in the manner and form set forth in this Section 3. On the ballot to be submitted to the qualified voters at the General Municipal Election to be held on Tuesday, November 8, 2022, in addition to any other matters required by law, there shall be printed substantially the following ballot question:
"Shall a measure be adopted to increase the maximum rate of the City’s Transient Occupancy (Hotel) Tax charged to guests of vacation rentals from 8% to 10% and from 8% to 9% to guests of all other hotels and overnight
accommodations, as of January 1, 2023, providing until
ended by voters an estimated $1,000,000 annually for City services including public safety response, street repair and maintenance, park and trail construction and maintenance and for general government use?"
YES
NO
SECTION 4. Election Procedures.
A. The ballots to be used at the election shall be in the form and content as required by law.
B. Pursuant to the requirements of Section 10403 of the Elections Code, the Board of Supervisors of the County of San Bernardino is hereby requested to consent and agree to the consolidation of a General Municipal Election with the Statewide General Election on Tuesday, November 8, 2022, for the purpose of submitting to the voters the questions relating to the City’s Measure.
C. The election services which the City of Big Bear Lake requests the Registrar of Voters, or such other official as may be appropriate, to perform and which such officer is hereby authorized and directed to perform, if said Board of Supervisors consents, include: the preparation, printing and mailing of sample ballots; the establishment or appointment of precincts, polling places, voting centers and election officers; the preparation, printing, mailing and furnishing of vote-by-mail ballots; making such publications as are required by law in connection therewith; the furnishing of ballots, voting booths, and other necessary supplies or materials for polling places or voting centers; the canvassing of the returns of the election and the furnishing of the results of such canvassing to the City Clerk of the City of Big Bear Lake; and the performance of such other election services as may be requested by the City Clerk.
D. The City Clerk is authorized, instructed and directed to procure and furnish, or cause to be procured and furnished through the County of San Bernardino, any and all official ballots, notices, printed matter and all supplies, equipment and paraphernalia that may be necessary in order to properly and lawfully conduct the election.
E. The polls, voting centers and/or vote-by-mail drop-off boxes shall be open and the procedures for submitting votes-by-mail or votes at polls and vote centers shall be in accordance with those times and procedures established by the County of San Bernardino, except as otherwise provided in the Elections Code of the State of California.
F. In all particulars not recited in this Resolution, the election shall be held and conducted as provided by law for holding municipal elections in the City.
G. Notice of the time and place of holding the election is given and the City Clerk is authorized, instructed and directed to give further or additional notice of the election, in time, form, and manner as required by law.
H. All ballots shall be tallied at a central counting place and not at the precincts. Said central counting place shall be at a County center as designated by the Registrar of Voters.
I. The San Bernardino County Registrar of Voters is hereby authorized to canvass the returns of said election.
J. The City Clerk of the City of Big Bear Lake shall receive the canvass from the County as it pertains to the election on the Measures, and shall certify the results to the City Council, as required by law.
SECTION 5. Arguments and Impartial Analysis.
A. The City Council authorizes (i) the City Council or any member(s) of the City Council, (ii) any individual voter eligible to vote on the above measure, (iii) a bona fide association of such citizens or (iv) any combination of voters and associations, to file a written argument in favor of or against the Measure, in accordance with Article 4, Chapter 3, Division 9 of the Elections Code of the State of California, which arguments may be changed until and including Monday July 25, 2022, after which no arguments for or against the Measure may be submitted to the City Clerk. Arguments in favor of or against the Measure shall each not exceed 300 words in length. Each argument shall be filed with the City Clerk, signed, and include the printed name(s) and signature(s) of the author(s) submitting it, or if submitted on behalf of an organization, the name of the organization, and the printed name and signature of at least one of its principal officers who is the author of the argument.
B. The City Clerk shall comply with all provisions of law establishing priority of arguments for printing and distribution to the voters, and shall take all necessary actions to cause the selected arguments to be printed and distributed to the voters.
C. Pursuant to Section 9280 of the Elections Code, the City Council directs the City Clerk to transmit a copy of the Measure to the City Attorney. The City Attorney shall prepare an impartial analysis of the Measure, not to exceed 500 words in length, showing the effect of the Measure on the existing law and the operation of the Measure. The City Attorney shall transmit such impartial analysis to the City Clerk, who shall cause the analysis to be published in the voter information guide along with the Measure as provided by law. The Impartial Analysis shall be filed by the deadline set for filing of primary arguments as set forth in Subsection 5(A) above. The impartial analysis shall include a statement indicating whether the Measure was placed on the ballot by a petition signed by the requisite number of voters or by the City Council. In the event the entire text of the Measure is not printed on the ballot, nor in the voter information portion of the sample ballot, there shall be printed immediately below the impartial analysis, in no less than 10-font bold type, the following: “The above statement is an impartial analysis of Ordinance or Measure. If you desire a copy of the Ordinance or Measure, please call the election official’s office at (909) 866-5831 and a copy will be mailed at no cost to you.”
D. The provisions of this Section 5 shall apply only to the election to be held on November 8, 2022, and shall then be repealed.
SECTION 6. Rebuttals.
A. Pursuant to Section 9285 of the Elections Code of the State of California, when the Clerk has selected the arguments for and against the various City initiated measures which will be printed and distributed to the voters, the Clerk shall send copies of the argument in favor of the measures to the authors of the argument against, and copies of the argument against to the authors of the argument in favor. The authors or persons designated by them may prepare and submit rebuttal arguments not exceeding 250 words. The rebuttal arguments shall be filed with the City Clerk not later than Friday July 29, 2022. Rebuttal arguments shall be printed in the same manner as the direct arguments. Each rebuttal argument shall immediately follow the direct argument which it seeks to rebut.
B. The provisions of this Section 6 shall apply only to the election to be held on November 8, 2022, and shall then be repealed.
SECTION 7. Placement on the Ballot. The full text of the Measure shall be printed in the voter information guide, and a statement shall be printed in the ballot pursuant to Section 9223 of the Elections Code advising voters that they may obtain a copy of the Measure at no cost, upon request made to the City Clerk.
SECTION 8. Delivery of Resolution to County. The City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original resolutions. The City Council directs the City Clerk to deliver copies of this Resolution, including the Measure attached hereto as Exhibit “A”, to the Clerk of the Board of Supervisors of San Bernardino County and to the Registrar of Voters of San Bernardino County.
SECTION 9. Public Examination. Pursuant to California Elections Code section 9295, the Measure will be available for public examination for no fewer than ten (10) calendar days prior to being submitted for printing in the voter information guide. The Clerk shall post notice in the Clerk’s office of the specific dates that the examination period will run.
SECTION 10. CEQA. The City Council hereby finds and determines that the ballot Measure relates to organizational or administrative activities of governments that will not result in direct or indirect physical changes in the environment and, therefore, is not a project within the meaning of the California Environmental Quality Act (“CEQA”) and the State CEQA Guidelines, section 15378(b)(5).
SECTION 11. Severability. If any provision of this Resolution or the application thereof to any person or circumstance is held invalid, such invalidity shall not affect other provisions or applications of the Resolution which can be given effect without the invalid provision or application, and to this end the provisions of this Resolution are severable. The City Council hereby declares that it would have adopted this Resolution irrespective of the invalidity of any particular portion thereof.
SECTION 12. Effective Date of Resolution. This Resolution shall take effect immediately upon its adoption.
PASSED, APPROVED, AND ADOPTED this 6th day of June 2022.
Rick Herrick, Mayor
ATTEST:
Erica Stephenson, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss
CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing resolution, being Resolution No. 2022-XX was duly passed and adopted by the said City Council and attested by the City Clerk of said City, all at a regular meeting of the said City held on the 6th day of June 2022 and that the same was so passed and adopted by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Erica Stephenson, City Clerk
EXHIBIT “A”
ORDINANCE NO. 2022-XXX
ORDINANCE OF THE CITY OF BIG BEAR LAKE, CALIFORNIA,
AMENDING SECTION 3.20.030 OF CHAPTER 3.20 OF TITLE 3 OF THE
BIG BEAR LAKE MUNICIPAL CODE INCREASING THE MAXIMUM
RATE OF THE CITY’S TRANSIENT OCCUPANCY (HOTEL) TAX FROM 8% TO 10% ON VACATION RENTAL OCCUPANCY AND FROM 8% TO
9% FOR ALL OTHER HOTEL AND TRANSIENT OCCUPANCY.
(NOTE: Additions are highlighted in bold italics and deletions are highlighted in strikeout) THE PEOPLE OF THE CITY OF BIG BEAR LAKE DO ORDAIN AS FOLLOWS:
SECTION 1. Subject to the approval of a majority of the voters of the City of Big Bear Lake at the General Municipal Election so designated by the City Council in a separate resolution placing the proposal on the ballot for such election, Section 3.20.030 of Chapter 3.20 of Title 3 of the Big Bear Lake Municipal Code is hereby amended to read as follows:
"Chapter 3.20 TRANSIENT OCCUPANCY TAX
. . . .
"3.20.030 Tax imposed.
For the privilege of occupancy in any hotel, each transient is subject to, and shall pay a tax on the rent charged by an operator to the transient, as follows: (a) as of until January 1, 20092023, a tax in the amount of seven eight percent; and (b) as of January 1, 20102023 a tax in the maximum amount of eight ten percent for transient occupancy of a vacation rental and nine percent for transient occupancy in any other hotel. Insofar as the transient is concerned, the tax constitutes a debt owed by the transient to the city which is extinguished only by payment to the operator or to the city. This chapter may be repealed or amended by the City Council without a vote of the People of the City of Big Bear Lake. However, as required by California Constitution Article XIIIC (Proposition 218), voter approval is required for any amendment or provision that would increase the maximum rate or methodology of any tax levied pursuant to this chapter." SECTION 2 The transient occupancy tax set forth herein shall be collected and administered in the manner set forth in Chapter 3.20 of the City of Big Bear Lake Municipal Code.
SECTION 3. Pursuant to Article XIIIB of the California Constitution, the appropriation limit for the City of Big Bear Lake will be increased by the maximum projected aggregate collection authorized by the levy of this general tax, as indicated in Section 1, in each of the years covered by this Ordinance plus the amount, if any, by which the appropriation limit is decreased by law as a result of the levy of the general tax set forth in this Ordinance.
SECTION 4. If any portion of this Ordinance is declared invalid by a court of law or other legal body with applicable authority, the invalidity shall not affect or prohibit the force and effect of any other provision or application of the Ordinance that is not deemed invalid. The voters of the City hereby declare that they would have circulated for qualification and/or voted for the adoption of this Section, and each portion thereof, regardless of the fact that any portion of the initiative may be subsequently deemed invalid.
SECTION 5. Pursuant to California Constitution Article XIIIC §(2)(b) and California Elections Code §9217, this Ordinance shall take effect only if approved by a majority of the eligible voters of the City of Big Bear Lake voting at the General Municipal Election to be held on November 8, 2022, and shall become effective as of January 1, 2023.
SECTION 6. The Mayor is hereby authorized to attest to the adoption of this Ordinance by the People voting thereon on November 8, 2022, by signing where indicated below.
I hereby certify that the foregoing Ordinance was PASSED, APPROVED AND ADOPTED by the People of the City of Big Bear Lake on the 8th day of November, 2022.
Dated: _______________________ ______________________________
RICK HERRICK
MAYOR
ATTEST: APPROVED AS TO FORM:
______________________________ ______________________________ ERICA STEPHENSON STEPHEN P. DEITSCH
CITY CLERK CITY ATTORNEY
MEETING
DATE: June 6, 2022
TO: Honorable Mayor and Members of the City Council
THROUGH: Jeff Mathieu, Interim City Manager
FROM: Kelly Ent, Director of Administrative Services
SUBJECT: Resolution Incorporating the Department of Water and Power Approved Budget for Fiscal Year 2022-23 into the City Budget
BACKGROUND
The Department of Water and Power (DWP) is an enterprise fund of the City which provides municipal water service and is subject to the oversight of a separate Board of Commissioners (Commissioners) appointed by the City Council. Like the City, the DWP must have an approved budget prior to the start of the fiscal year, and the Commissioners must conduct a public hearing to approve the budget. As a department of the City, the final approved budget must be incorporated into the City’s budget. This is accomplished by the City Council adopting a resolution to incorporate the DWP approved budget, by reference, into the City’s budget.
Typically, prior to the Commissioners conducting a noticed public hearing, the DWP will present the proposed budget to the City Council for review and concurrence to move forward with adoptions. Due to time constraints, the City Council was unable to receive a presentation of the proposed budget from the DWP as scheduled at the regular meeting held on May 16. To ensure that the Commissioners adopted the budget in time to have it incorporated into the City’s budget before the start of the fiscal year, a public hearing was previously noticed and scheduled. The Commissioners adjourned that hearing to May 27 in anticipation of having an opportunity to present the proposed budget to the City Council prior to approval; however, it was not possible to provide a second opportunity to review the budget with the City Council prior to the May 27 noticed public hearing. As such, the DWP will make a presentation of the approved budget for incorporation into the City’s budget.
DISCUSSION
The DWP adopted budget remains unchanged from the proposed budget included in the May 16 agenda packet. DWP budgeted appropriations of $12,905,741 will be funded with budgeted revenues of $11,063,140 along with the use of $1,842,601 from assigned reserves. The DWP will provide a presentation of the highlights of the approved budget. For complete details, please refer to the items attachment to this report.
FISCAL IMPACT
There is no fiscal impact associated with this action.
ENVIRONMENTAL CONSIDERATIONS
None requiring review under California Environmental Quality Act (CEQA).
RECOMMENDATION
It is recommended that the City Council receive a presentation from the DWP and approve a Resolution incorporating the DWP FY 2022-23 approved budget into the City’s budget.
ATTACHMENT
1. Resolution No. 2022-XX
2. DWP General Manager Agenda Report
3. DWP Slide Presentation
4. DWP FY 2022-23 Adopted Budget
5. DWP Resolution No. 2022-11
ATTACHMENT 1
RESOLUTION NO. 2022-XX
RESOLUTION INCORPORATING THE DEPARTMENT OF
WATER AND POWER APPROVED BUDGET FOR FISCAL
YEAR 2022-23 INTO THE CITY BUDGET
WHEREAS, the City of Big Bear Lake was incorporated on November 28, 1980; and WHEREAS, the electorate, in June 1985, amended the Charter by the addition of Section 805 et seq., where Section 813 requires the Department of Water and Power (DWP) Board of Commissioners (Commissioners) to adopt a Department Budget; and WHEREAS, the presentation of the proposed budget to the City Council at the meeting held on May 16, 2022 was unable to be made due to meeting time constraints; and WHEREAS, the next opportunity for the City Council to receive a presentation of the Department Budget, June 6, 2022, is after the previously noticed public hearing for the Commission to adopt the Fiscal Year 2022-23 Department Budget; and
WHEREAS, the Commissioners conducted a public hearing on May 27, 2022 and adopted the Fiscal Year 2022-23 Department Budget, with total expenditures of $12,905,741, as follows:
Revenue Fund resources in the amount of $11,061,132 shall be appropriated for use and transferred to the following funds and reserves:
1. The Operations and Maintenance Fund appropriated resources from the Revenue Fund in the amount of $7,882,256 and appropriated uses in the amount of $7,882,256; and
2. The Debt Service Fund appropriated resources from the Revenue Fund in the amount of $1,066,047 and from internally generated sources in the amount of $2,008 and appropriated uses in the amount of $1,068,055; and
3. The System Rehabilitation Fund appropriated resources from the Revenue Fund in the amount of $1,102,207 and from appropriated reserves of $2,224,075 and appropriated uses in the amount of $3,326,282; and
4. The Growth-Related Capital Facilities Fund resources from reserves in the amount of $35,338 and appropriated uses of $35,338; and
5. The Sustainability Fund appropriated resources from reserves in the amount of $5,582 and appropriated uses of $5,582; and
6. The General Plant Capital Facilities Fund appropriated resources from assigned reserves in the amount of $588,228 and appropriated uses in the amount of $588,228; and
7. The Revenue Fund shall transfer balances in the amount of $381,474 to assigned reserves for future investment in infrastructure improvements and operational assets.
NOW, THEREFORE, BE IT RESOLVED BY the City Council of the City of Big Bear Lake, that the City Council does hereby incorporate the City of Big Bear Lake, Department of Water and Power budget, with total expenditures of $12,905,741 outlined in the attached document, into the FY 2022-23 City budget.
PASSED, APPROVED AND ADOPTED this 6th day of June, 2022.
Rick Herrick, Mayor
ATTEST:
Erica Stephenson, City Clerk
STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss
CITY OF BIG BEAR LAKE )
I, Erica Stephenson, City Clerk of the City of Big Bear Lake, California, do hereby certify that the whole number of the City Council of the said City is five; that the foregoing resolution, being Resolution No. 2022-XX was duly passed and adopted by the said City Council and attested by the City Clerk of said City, all at a regular meeting of the said City held on the 6th day of June, 2022 and that the same was so passed and adopted by the following vote:
AYES:
NOES:
ABSTAIN:
ABSENT:
Erica Stephenson, City Clerk
ATTACHMENT 2
AGENDA REPORT Service, Quality, Community
MEETING DATE: June 6, 2022
TO: Honorable Mayor and Members of the City Council
FROM: Jeff Mathieu, Interim City Manager
PREPARED BY: Reginald A. Lamson, DWP General Manager
SUBJECT: DWP Fiscal Year 2022/23 Budget Presentation
BACKGROUND:
On May 16, 2022, the DWP was prepared to present the DWP’s proposed FY 2022/23 Budget to the City Council but due to lack of time, the DWP’s presentation was deferred. The DWP had previously scheduled and provided public notice for its Public Hearing for the proposed FY 2022/23 Budget to be conducted on May 24th. With the understanding that City staff would attempt to schedule a Special City Council Meeting on May 25th, the DWP revised its public notice and adjourned the Public Hearing to May 27th.
Subsequently, it became apparent that the City Council would not be available for the proposed Special Meeting on May 25th. After several discussions with City staff and with the concurrence of Interim City Manager Jeff Mathieu, it was concluded that the best course of action to ensure compliance with all legal requirements would be for the DWP to conduct the Public Hearing for the proposed FY 2022/23 Budget on May 27th as publicly noticed, and barring objections for the ratepayers, adopt the FY 2022/23 Budget as presented to the public. City Staff agreed to include the DWP’s budget presentation to the City Council at the June 6th Council Meeting. In the event the City Council requests a modification to the DWP’s Adopted FY 2022/23 Budget, the DWP has sufficient time to bring a budget amendment to the Board of Commissioners for consideration at the June 28th Regular Board Meeting and incorporate any change prior to the beginning of the new fiscal year.
In FY 2022/23, the DWP expects a modest increase in Revenue from Rates (1.19%) over the FY 2021/22 Budget. The rates for FY 2022/23 were approved by the City Council on June 11, 2018. Connection fees have been trending up with a greater interest in the development of lodging and new homes within the service area. Overall revenues are projected to decrease 20% from the FY 2021/22 Budget as the remaining USDA grant funding is fully appropriated.
With the defeasance of the 1996 Bonds, debt service remains at just over a $1 million per year. The defeasance allowed the DWP to decrease water rates effective July 1, 2021, to levels below what they were 10-years ago. DWP will maintain its commitment to on-going infrastructure improvements to continue to provide reliable water service.
In FY 2022/23, the DWP will continue the design and construction of projects identified in the DWP 2021 10-Year Capital Improvement Master Plan (the Master Plan). The DWP is proposing to expense $3.4 million for infrastructure improvements in FY 2022/23 utilizing revenues and reserve balances. An additional $588,000 is planned to be expended for site improvements at the Garstin facility and for the purchase of equipment. Gross Operations and Maintenance (O&M) spending is expected to increase 9.1%.
Of this increase 4.5% is attributable to the implementation of the second phase of the 2019 compensation study. The planned water rate and fee study contributes 1.7% to the increase. Utilities and fuel costs have increased, which accounts for 1.4% of the projected change. Increases in material prices and software enhancements comprise most of the remainder of the increase. Net O&M spending is expected to increase by 13.5%. Direct labor allocated to infrastructure projects will decrease substantially in FY 2022/23 as the focus for projects will be split between well pumping plant construction and pipelines. Well pumping plant projects are less labor intensive than pipelines.
The proposed FY 2022/23 Budget projects a deficit of approximately $1.8 million. This is consistent with the DWP’s long-term financial plan. This deficit spending is possible because of the DWP’s aggressive pursuit of grants and low-interest loan funding (in excess of $30 million over ten years) for infrastructure projects which has allowed the DWP to defer the use of ratepayer revenues for improvements, and in so doing, increase reserves. The DWP will continue to pursue grant funding going forward, however no new debt funding is expected for the foreseeable future.
The DWP conducted its Public Hearing for the proposed FY 2022/23 Budget on May 27, 2022. No members of the public were in attendance or participated through Zoom. The Board concluded the Public Hearing and adopted the Budget and Resolution No. 2022-11 Adopting the DWP Budget for Fiscal Year 2022-23.
RECOMMENDATION:
Please review and discuss the DWP’s proposed budget for FY 2022/23.
Enc. Slide Show Presentation
DWP Adopted Budget FY 2022/23
DWP Resolution No. 2022-11 Adopting the DWP Budget for Fiscal Year 2022-23 ATTACHMENT 3
City of Big Bear Lake
Department of Water and Power
Fiscal Year 2022/23 Budget Presentation
June 6, 2022
1 Mission
Accomplishments
Proposed Financial Plan
Revenues vs. Expenditures
Revenue Details
Expenditures By Fund
Debt Service
Capital Expenditures
Staffing
2 Overview
Mission
3 The mission of the City of Big Bear Lake – Department of Water and Power is to cost effectively deliver quality water to meet the needs of our current and future customers.
Accomplishments
4 Accomplishments
5 USDA 2018 Pipeline Replacement Project to be completed Spring 2022 Talbot Drive Pipeline extension completed Summer 2021 Pipeline and Well design for Year 2 of 10-Year Capital Improvement Plan completed Division Well #9 and 2022 Pipeline Replacement construction contacts awarded La Crescenta Well Block Building designed, and contract awarded Well Pumping Unit Replacements
Onyx
Middle School
McAllister
RV Park Well #2
Division Well #6
Division Well #2
Seminole
Replenish Big Bear Team submitted a required Report of Waste Discharge to the State Water Board to obtain permits for the project.
6 Phase 3 (Final) of USDA 2018 Pipeline Replacement Project Big Bear Blvd – Boulder Bay
Talbot Drive Pipeline Project
7 Fiscal Year 2022/23
Proposed
Financial plan
8 (A)
Actual
FY 2020/21
(B)
Adopted Budget
FY 2021/22
(C)
Projected Outcome
FY 2021/22
(D)
Adopted Budget
FY 2022/23
% Change
(D)-(B)
/(B)
Revenue From Rates $ 11,359,064 $ 9,819,058 $ 9,707,984 $ 9,935,587 1.19% Connection Fees 768,510 689,012 959,680 799,355 16.0%
Grant Revenue 19,042 3,000,000 2,598,292 42,750 (98.6%) Proceeds from Debt Issuance 7,498,672 -- 2,074,518 -- -- Other Revenue 656,567 325,020 859,911 285,448 (12.2%)
Total Inflows $ 20,301,855 $ 13,833,090 $ 16,200,385 $ 11,063,140 (20.0%) Debt Service $ 4,616,314 $ 1,072,702 $ 1,055,955 $ 1,068,055 (0.4%) Capital Spending 8,659,096 4,929,454 6,520,124 3,949,848 (19.9%) Operations & Maintenance 6,771,738 6,950,076 6,839,881 7,887,838 13.5% Total Expenditures $ 20,048,148 $ 12,952,232 $ 14,415,960 $ 12,905,741 (0.4%) Transfer to (from) Reserves $ 253,707 $ 880,858 $ 1,784,425 $ (1,842,601) (309.2%) 9 Proposed Revenues and Expenditures
Fiscal Year 2022/23
REVENUES
10 11
Revenues and Inflows Fiscal Year 2022/23
$9,935,587 , 89.8%
$799,355 , 7.2%
$328,198 , 3.0%
FY 2022-23 Budget
Revenue/Inflows by Type
Total Revenue $11,063,140
Service Charges & Usage Fees Connection Fees
Miscellaneous Fees and Charges
Fiscal Year 2022/23
EXPENDITURES
12 13
Expenditures by Fund
Fiscal Year 2022/23
$7,887,838 , 61.1%
$1,068,055 , 8.3%
$3,361,620 , 26.0%
$588,228 , 4.6%
DWP FY 2022-23
EXPENDITURES BUDGET
Total Expenditures $12,905,741
Operations & Maintenance Debt Service
Infrastructure Projects Operational Assets
Fiscal Year 2022/23
DEBT SERVICE
14 15
Debt Service through FY 2026/27
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
FY 20/21 FY 21/22 FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 1996 Bonds (matures 2022) 2010 Bond (matures 2049) 2012 Bond (matures 2051) 2013 Bond (matures 2052) IBank Loan (matures 2046) CEC Loan (Matures 2029) 2019 Bonds (matures 2059) Final 1996 Bonds retired through in-substance
defeasance effective April 1, 2021, by utilizing
balances available in the 1996 Bond Reserve
Account.
Fiscal Year 2022/23
CAPITAL EXPENDITURES
16 Description FY 2022/23
2023 Pipeline Design & Construction $ 1,650,000
Equip Division Well #9 850,000
Meter & Box Replacement Program 205,024
Basic Materials – Trench repairs 100,000
Pumping Unit Replacements (3) 90,000
Villa Grove PRV Relocation 60,000
Hydrant replacements 15,516
On-call Professional Services 15,000
In-house Labor 340,742
Rehabilitation Fund Total $ 3,326,282
17 System Rehabilitation Projects
Description FY 2022/23
New Connections $ 30,982
On-Call Professional Services 4,350
In-house Labor 6
Total Capital Projects Growth-Related $ 35,338
18 Growth-Related Improvements
Description Proposed
FY 2022/23
Administrative and General Expenses $ 5,582
Cost Sharing – Design and Environmental – Replenish Big Bear -- Total Expenditures – Sustainability $ 5,582
19 Proposed Sustainability Expenditures
Description FY 2022/23
Office/Warehouse Improvements – Construction $ 450,000
Additional Vac Trailer (3’ or 4”) 80,000
Replace ½ Ton Extra Cab Pick-up 45,000
Replace 28 12-Year-old Office Phones 8,228
Replace 30-year-old steam cleaner used for thawing lines 5,000 Total General Plant Investments $ 588,228
20 Proposed General Plant Expenditures
Management Analyst/
Board Secretary [1]
Human Resources
Administrator [1]
Chief Financial Officer [1]
Administrative
Supervisors
[3]
Customer Service Reps
[4]
Accounting/Billing [3]
Water Conservation
Spec [1]
Water Superintendent [1]
Field Supervisors [3]
Utility Techs
Senior Utility Techs
Temp. Labor
[6.5]
Water Production
Techs [3]
Water Meter Techs
Temp Labor
[5.5]
Sr. Water Ops Tech
Sr. Purchaser/Inspector
Field Data Spec
[3]
Ratepayers
City Council
Board of Commissioners
General Manager [1]
Full Time Adopted Projected Planned
Equivalent Employees FY2021/22 FY2021/22 FY2022/23
Administration 15.00 14.00 15.00
Utility Plant & Operations 22.00 21.19 22.00
Total FTEs 37.00 35.19 37.00
Accounts per FTE 427.02 451.30 430.03
City of Big Bear Lake
Department of Water and Power
Organizational Chart
FY 2022/23
21 Fiscal Year 2022/23
Questions?
22 ATTACHMENT 4
CITY OF BIG BEAR LAKE
DEPARTMENT OF WATER & POWER
BUDGET AND WORK PLAN
FISCAL YEAR ENDING JUNE 30, 2023
ADOPTED MAY 27, 2022
DEPARTMENT OF WATER & POWER
i
Department of Water
TABLE OF CONTENTS
INTRODUCTION PAGE
General Manager’s Message 1-1
Organizational Chart 1-2
REVENUE
Overview of Revenue and Funding 2-1
Revenue by Fund and Category 2-2
Revenue Detail 2-3
Revenue Graph 2-4
EXPENDITURES
Overview of Expenditures 3-1
Expenditure Summary 3-2
Budget Summary 3-3
Expenditure Graph 3-4
CASH BALANCES & RESERVES
Reserve Policy, Estimated Encumbrances & Cash Balances 4-1 Projected Cash Balance – General Fund 4-2
Assigned Fund Balances 4-3
Restricted Fund Balances – Debt Service 4-4
Provisions for Asset Replacement/Repair 4-5
Cash Balance History 4-6
DEBT SERVICE
Debt History 5-1
Debt Service 5-2
Debt Coverage Analysis 5-3
Debt Service Graph 5-4
SYSTEM REHABILITATION
Overview of Rehabilitation Projects 6-1
Rehabilitation Program Cost Summary 6-2
Rehabilitation Expenditures – Source of Supply 6-3
Rehabilitation Expenditures – Transmission & Distribution 6-4 CAPITAL PROJECTS – GROWTH-RELATED
Overview of Capital Projects –Growth-Related 7-1
Capital Projects – Growth-Related Cost Summary 7-2
Capital Expenditures – Infrastructure – Source of Supply 7-3 Capital Expenditures – Infrastructure – Transmission & Distribution 7-4 ii
TABLE OF CONTENTS (Continued)
BVB SUSTAINABILITY FUND – GROWTH-RELATED
Overview of BVB Sustainability Expenditures –Growth-Related 8-1 BVB Sustainability Expenditures Summary 8-2
Expenditures – Administration 8-3
Capital Expenditures – Infrastructure – Source of Supply 8-4
OPERATIONS & MAINTENANCE FUND EXPENDITURES
Source of Supply/Production Department 9-1
Conservation Department/Public Information Department 9-3 Transmission & Distribution Department 9-5
Customer Field Service Department 9-7
Water Operations 9-9
Customer Accounts 9-11
Administration Department 9-13
Overhead Allocation Pool 9-15
O&M Graph 9-17
GENERAL PLANT FUND EXPENDITURES
Overview of General Plant 10-1
General Plant: Vehicles, Equipment, Facilities 10-2
Summary of Proposed Equipment Purchases 10-3
Equipment & Vehicle List 10-4
1-1
Service, Quality, Community
DATE: April 26, 2022
TO: Board of Commissioners
FROM: Reginald A. Lamson, General Manager
On July 1, 2022, the final stage of the 2018 Water Rate Study will be implemented. Water rates are scheduled to increase by 2%. In FY 2022/23, the DWP will initiate a 5-year water rate study to ensure water rates remain adequate to meet the needs of the water system and remain compliant with all associated legislation. We anticipate conducting the hearing for the proposed rates in March 2023. The DWP will also initiate a study to evaluate the appropriate levels for capacity charges, meter installation fees, and administrative fees.
In January 2021, the Board adopted the 10-Year Water Master Plan (the Master Plan). The Master Plan is a road map for water system improvements for FY 2021/22 through FY 2030/31 and beyond. The first year of this Master Plan was implemented during FY 2021/22. It included the third and final phase of the 2018 USDA Pipeline Replacement Project. The final two segments of that project are schedule to be in service by June 30, 2022. Engineering for the 2022 Pipeline Replacement Project commenced in the spring of 2021 and construction is scheduled to begin in June or July of 2022.
The FY 2022/23 Budget includes funding for additional replacement pipelines and construction of Division Well #9 Pumping Plant. Division Well #9 Pumping Plant should increase the availability of water on the west end of the valley, will be powered by the Division Solar Power Plant, and will ultimately replace the Division Well #2 Pumping Plant.
There are approximately 900 old Hersey meters that were originally deployed with Itron radio endpoints and subsequently adapted to work with Sensus radio endpoints. The Hersey meters are over 10 years old and their compatibility with the Sensus equipment is limited. Approximately 400 of these meters are scheduled to be replaced in FY 2022/23.
In July 2020, a contract was awarded to complete a space plan and facilities upgrades for the Garstin office and yard (the Garstin Master Space Plan). We expect to complete the Garstin Master Space Plan in summer 2022. The initial construction, if approved, will be an expansion of the warehouse facilities to allow for better storage of equipment and materials and improve access to inventory.
1-1
DWP Board of Commissioners
(Left to Right): Bob Tarras, Chair; Barbara Willey, Vice Chair; Craig Hjorth, Treasurer, Jim Smith, Commissioner,
and Joe Cylwik, Commissioner;
DWP General Manager
Reginald A. Lamson
Management Analyst/
Board Secretary [1]
Human Resources
Administrator [1]
Chief Financial Officer [1]
Administrative
Supervisors
[3]
Customer Service Reps
[4]
Accounting/Billing [3]
Water Conservation
Spec [1]
Water Superintendent [1]
Field Supervisors [3]
Utility Techs
Senior Utility Techs
Temp. Labor
[6.5]
Water Production
Techs [3]
Water Meter Techs
Temp Labor
[5.5]
Sr. Water Ops Tech
Sr. Purchaser/Inspector
Field Data Spec
[3]
Ratepayers
City Council
Board of Commissioners
General Manager [1]
Full Time Adopted Projected Planned
Equivalent Employees FY2021/22 FY2021/22 FY2022/23
Administration 15.00 14.00 15.00
Utility Plant & Operations 22.00 21.19 22.00
Total FTEs 37.00 35.19 37.00
Accounts per FTE 427.02 451.30 430.03
City of Big Bear Lake
Department of Water and Power
Proposed Organizational Chart
FY 2022/23
1-2
Department of Water
2-1
Overview of Revenues and Funding
FY 2022/23
Overview:
Revenue from Rates $ 9,935,587
Connection Fees 799,355
Other Income 328,198
Total Funding $11,063,140
Revenue from Rates
In FY 2017/18, the DWP completed a rate study (the 2018 Rate Study) and public hearing to adjust water rates for the five years commencing July 1, 2018. The City Council approved the water rates established in the 2018 Rate Study and authorized a 2% increase for FY 2022/23. Revenue from rates is expected to be $9,935,587, which is a increase of $116,530 (1.2%) compared to the adopted budget for FY 2021/22.
Other Revenues
In FY 2022/23 connections fees are projected to increase approximately 16% compared with the adopted budget for FY 2021/22. New development was greater than expected for FY 2021/22, therefore estimates for these revenues were increased for FY 2022/23.
Miscellaneous Fees and Charges, which include, water standby fees, administrative fees, rental income, and miscellaneous income, reflects an expected decrease in water standby fees and an increase in administrative fees because the Governor’s 2020 executive order prohibiting the discontinuation of water service for nonpayment has been lifted.
The Rimforest Water System was transferred to Lake Arrowhead Community Services District in 2014.
Lake Arrowhead Community Services District made its final installment payment to the DWP for the purchase of the Rimforest Water System in March 2022. This reduces income in the Debt Service Fund by $43,338 for FY 2022/23. The rate of return on investments has decreased, further reducing Debt Service Fund income by $1,770.
Grants and Loan Proceeds
A portion of USDA 2019 grant funding appropriated in the prior year is expected to carry forward to FY 2022/23. The USDA 2019 bond funding has been fully drawn. The 2018 Pipeline Replacement project is ahead of schedule and is expected to be completed by June 2022. While applications for grants continue, currently none have been awarded.
Total Revenues
Total revenues and funding are expected to decrease by $2,769,949 (20%) compared with the FY 2021/22 budgeted amounts. This decrease is primarily related to the decrease in grant funding.
BIG BEAR LAKE DEPARTMENT OF WATER AND POWER
SCHEDULE OF REVENUES/INFLOWS BY FUND & CATEGORY
(A) (B) (C)
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
FY 2021-22
Adopted
Budget
FY 2021-22
Projected
Balance
FY 2022-23
Proposed
Budget
Increase
(Decrease)
(B) - (A)
% Diff
(C)/(A)
Subventions & Grants $ 57,116 $ - $ 296,324 $ - $ 256,328 $ - - -- Total Fixed Asset Fund $ 57,116 $ - $ 296,324 $ - $ 256,328 $ - $ - -- Capacity Charges $ 550,015 $ 660,446 $ 703,275 $ 629,012 $ 913,339 $ 719,355 90,343 14.4% Water Meter Installation Fee 66,929 64,325 65,235 60,000 46,341 80,000 20,000 33.3% Use of Money & Property 195,189 139,240 4,830 24,000 7,462 12,600 (11,400) -47.5% Service Charges & Usage Fees 10,832,603 11,096,704 11,359,064 9,819,057 9,707,984 9,935,587 116,530 1.2% Miscellaneous Fees and Charges 369,105 315,112 250,972 253,905 543,708 313,590 59,685 23.5% Total Revenue Fund $ 12,013,841 $ 12,275,827 $ 12,383,376 $ 10,785,973 $ 11,218,835 $ 11,061,132 $ 275,159 2.6% Use of Money & Property $ 146,503 $ 126,366 $ 261 $ 3,777 $ 540 $ 2,008 (1,770) -46.8% Installment Payments - Rimforest 57,784 57,784 57,784 43,338 48,153 - (43,338) -100.0% Total Debt Service Fund $ 204,287 $ 184,150 $ 58,045 $ 47,115 $ 48,693 $ 2,008 $ (45,108) -95.7% Subventions & Grants $ 975,702 $ 3,528,573 $ 7,517,714 $ 3,000,000 $ 4,672,810 $ - $ (3,000,000) -100.0% Total System Rehabilitation $ 975,702 $ 3,528,573 $ 7,517,714 $ 3,000,000 $ 4,672,810 $ - $ (3,000,000) -100.0% Subventions & Grants $ 20,997 $ - $ - $ - $ - $ - $ - -- Total Capital Facilities $ 20,997 $ - $ - $ - $ - $ - $ - -- Grant Funding Pass-through $ - $ 68,679 $ 46,396 $ - $ 3,720 $ - $ - -- Total Sustainibility $ - $ 68,679 $ 46,396 $ - $ 3,720 $ - $ - -- $ 13,271,943 $ 16,057,229 $ 20,301,855 $ 13,833,090 $ 16,200,385 $ 11,063,140 $ (2,769,949) -20.0% Transfer (to) from Infrastructure
Reserves (62,400) 107,600 (247,465) 42,535 (42,535) (247,465) (290,000) -681.8% Transfers (to) from
Vehicle/Equipment/Facilities Reserves (101,910) 18,400 (86,910) (17,910) 17,910 (134,009) (116,099) 648.2% (To) From General Reserves 1,624,447 821,000 79,667 (905,483) (1,759,800) 2,224,075 3,129,559 -345.6% Adjusted Total $ 14,732,080 $ 17,004,229 $ 20,047,148 $ 12,952,232 $ 14,415,960 $ 12,905,741 $ (46,491) -0.4%
FIXED ASSET FUND
REVENUE FUND
DEBT SERVICE FUND
SYSTEM REHABILITATION
CAPITAL FACILITIES
SUSTAINABILITY FUND
Grand Total
FISCAL YEAR 2022-23
Schedule 2-2
REVENUE BY ACCOUNT
Account # Description
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
FY 2021-22
Adopted
Budget
FY 2021-22
Projected
Balance
FY 2022-23
Proposed
Budget
Change
(B) - (A)
(C)/(A)
% Explanation
10-00-7901
CONTRIBUTIONS IN AID OF
CONSTRUCTION 57,116 - 296,324 - 256,328 - --
FIXED ASSETS TOTAL $ 57,116 $ - $ 296,324 $ - $ 256,328 $ - $ - -- 19-00-4475 WATER METER INSTALLATION FEE 66,929 $ 64,325 65,235 60,000 46,341 $ 80,000 $ 20,000 33.33% Assumes 40 new connections @ average
$2,200/installation. Increase of
$700/installation reflects current averages plus
CCI increase of 8.41258%
19-00-4476 CAPACITY CHARGES 550,015 660,446 703,275 629,012 913,339 719,355 90,343 14.36% Assumes 65 EDUs based upon 3-year average,
and 8.41258% CCI increase
19-00-4611 INTEREST INCOME 171,389 118,629 35,188 24,000 23,269 12,600 (11,400) -47.50% Estimated LAIF rate of return reduced to 0.21% 19-00-4622 RENTAL INCOME 25,653 26,422 27,215 28,101 28,101 28,944 843 3.00% Contractual increase - Verizon Cell Tower
Lease
19-00-4638 CHANGE IN FAIR VALUE 23,800 20,611 (30,358) - (15,807) - - -- 19-00-4731 MISCELLANEOUS REVENUE 24,093 15,356 12,708 5,000 280,797 5,000 - 0.00% 19-00-4742 WATER STANDBY FEES 151,434 127,557 136,223 130,804 154,465 128,896 (1,908) -1.46% New connections reduce standby fees 19-00-4751 ADMINISTRATION FEES 167,925 145,777 74,825 90,000 80,345 108,000 18,000 20.00% Expected increase in collection fees since
moratorium lifted
19-00-4770 USAGE FEES - RESIDENTIAL 996,285 939,656 1,206,010 917,283 814,743 818,216 (99,067) -10.80% 2% rate increase; 0.3% growth; using current
consumption trends
19-00-4771 USAGE FEES - COMMERCIAL 940,176 905,368 1,029,959 858,850 871,084 872,144 13,294 1.55% 2% rate increase; using current consumption
trends
19-00-4775 Non-cash Water Sales 12,711 12,970 12,970 - - - - -- 19-00-4779 UNBILLED WATER SALES (93,020) 47,653 (89,576) - - - - -- 19-00-4780 RESIDENTIAL SERVICE CHARGE 8,094,165 8,284,951 8,310,457 7,248,649 7,239,293 7,435,154 186,505 2.57% Revenue by rate code from Prop 218 notice
plus 40 new connections
19-00-4781 COMMERCIAL SERVICE CHARGE 882,286 906,106 889,245 794,276 782,864 810,073 15,797 1.99% Revenue by rate code from 218 Notice 19-00-7505 NON-FEDERAL GRANTS/SUBVENTIONS 42,750 42,750 -- SAWPA Outdoor water use efficiency rebate 19-00-7300 FEMA/OES REIMBURSEMENTS - - --
REVENUE FUND TOTAL $ 12,013,841 $ 12,275,827 $ 12,383,376 $ 10,785,975 $ 11,218,835 $ 11,061,132 $ 275,157 2.55% FISCAL YEAR 2022-23 Schedule 2-3
REVENUE BY ACCOUNT
Account # Description
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
FY 2021-22
Adopted
Budget
FY 2021-22
Projected
Balance
FY 2022-23
Proposed
Budget
Change
(B) - (A)
(C)/(A)
% Explanation
21-00-4611 INTEREST INCOME 132,405 113,418 19,839 3,777 3,013 $ 2,008 (1,769) -46.84% Estimated LAIF rate of return reduced to 0.21% 21-00-4638 CHANGE IN FAIR VALUE 14,098 12,948 (19,578) - (2,473) - - -- 21-00-4639 - - - - - --
21-00-4731 Miscellaneous Revenue 57,784 57,784 57,784 43,338 48,153 - (43,338) -100.00% Proceeds from the transfer of Rimforest
System ended 3/31/22
DEBT SERVICE FUND TOTAL $ 204,287 $ 184,150 $ 58,045 $ 47,115 $ 48,693 $ 2,008 $ (45,107) -95.74% 22-00-7407 USDA LOAN PROCEEDS - 2019 Bonds - 2,426,810 7,498,672 - 2,074,518 - - -- 22-00-7505 Non-federal Grants 548,663 233,635 - - - - - -- 22-00-7406 CEC Promissory Note - 771,880 - - - - - --
22-00-7504 Federal Grants 427,039 96,248 19,042 3,000,000 2,598,292 - (3,000,000) -100.00% Grant funds to be exhausted in FY 21/22 SYSTEM
REHABILITATION FUND TOTAL $ 975,702 $ 3,528,573 $ 7,517,714 $ 3,000,000 $ 4,672,810 $ - $ (3,000,000) -100.00% 23-00-7504 Federal Grants 20,997 - - - - $ - $ - --
CAPITAL - SYSTEM
EXPANSION FUND TOTAL $ 20,997 $ - $ - $ - $ - $ - $ - -- 30-00-4731 Miscellenous Income 68,679 46,396 - 3,720
30-00-7505 Non-federal Grants - - - $ - $ -
Prop 1 grant funding for Groundwater
Sustainability Plan is carried forward from
prior year and is expected to be transferred
from Bear Valley Basin Groundwater
Sustainability Agency in FY 22/23
BVB SUSTIANABILITY
FUND TOTAL $ - $ 68,679 $ 46,396 $ - $ 3,720 $ - $ - -- GRAND TOTAL $ 13,271,943 $ 16,057,229 $ 20,301,855 $ 13,833,090 $ 16,200,385 $ 11,063,140 $ (2,769,950) -20.02% FISCAL YEAR 2022-23 Schedule 2-3
$9,935,587 , 89.8%
$799,355 , 7.2%
$328,198 , 3.0%
FY 2022-23 Proposed Budget
Revenue/Inflows by Type
Total Revenue $11,063,140
Service Charges & Usage Fees Connection Fees Miscellaneous Fees and Charges FISCAL YEAR 2022-23 Schedule 2-4
Department of Water
3-1
Overview of Expenditures
FY 2022/23
Overview:
Debt Service $ 1,068,055
System Rehabilitation 3,326,282
Capital Projects – Growth 35,338
BVB Sustainability Fund 5,582
Operations & Maintenance 8,223,004
General Plant 588,228
Total Expenditures $ 12,905,741
Debt Service
The FY 2021/22 Debt Service Budget reflects on-going service obligations for the 2010 USDA Bond, the 2012 USDA Bond, the 2013 USDA Bond, the 2017 IBank loan, and the 2019 USDA Bonds. Also included is debt service for a 10-year note extended by the California Energy Commission to fund the Division Well Field Solar Power Plant.
System Rehabilitation
In January 2021, the Board adopted a 10-year Capital Improvement plan, continuing its commitment to revitalize the water systems and optimize its operations. The focus in FY 2022/23 will continue to be replacing old and undersized pipelines, adding an additional well pumping plant, and replacing the remaining Hersey meters that are over 15 years old.
Capital Projects – (Growth-related)
In FY 2022/23, the DWP has provided funding for new connections and on-call services.
BVB Sustainability Fund – (Growth-related)
In FY 2018/19, the DWP, along with the other member agencies of the Bear Valley Basin Groundwater Sustainability Agency (BVBGSA), agreed to provide funding in support of a water reclamation project called Replenish Big Bear. Planning and studies have moved forward for the project and progress has been made with regulatory agencies. Any unused funds from prior year authorizations will be carried forward to FY 2022/23. Only administrative costs are included in the FY 2022/23 Budget for Sustainability.
Operations and Maintenance
In FY 2022/23, gross Operations and Maintenance spending is expected to increase approximately 9.1% over the Adopted Budget for FY 2021/22. In FY 2022/23, the Board approved the implementation of phase two of a compensation study which brings the DWP employees’ compensation up to just below the median with comparator agencies. Also, in FY 2022/23, the Board revised the cost-of-living compensation adjustment to the pay period including February 1st. The proposed water rate and fees study planned for FY 2022/23 also 3-1
Overview of Expenditures
FY 2022/23
increases Operations and Maintenance spending by $115,000. These increases were offset slightly by reductions to pension rates effective in July 2022.
Fixed Asset Fund
The DWP intends add a storage facility for heavy equipment and improve storage for inventory assets. The FY 2022/23 Budget provides for the replacement of a ½ ton truck and adding an additional vacuum trailer. Office phones that are over 12 years old will be replaced due to loss of sound quality.
BIG BEAR LAKE DEPARTMENT OF WATER AND POWER
SCHEDULE OF EXPENDITURES BY FUND & CATEGORY
(A) (B) (C)
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
FY 2021-22
Adopted
Budget
FY 2021-22
Projected
Balance
FY 2022-23
Proposed
Budget
Increase
(Decrease)
(B) - (A)
% Diff
(C)/(A)
Debt Service $ 3,975,132 $ 4,090,354 $ 4,616,314 $ 1,072,702 $ 1,055,955 $ 1,068,055 $ (4,647) -0.4% Total Debt Service Fund $ 3,975,132 $ 4,090,354 $ 4,616,314 $ 1,072,702 $ 1,055,955 $ 1,068,055 $ (4,647) -0.4% Source of Supply/Water Production $ 2,050,783 $ 592,205 $ 130,892 $ 345,363 $ 920,718 $ 1,125,272 $ 779,909 225.8% Transmission & Distribution 1,490,635 4,921,134 7,761,933 3,680,489 5,107,813 2,201,010 (1,479,479) -40.2% Total System Rehabilitation Fund $ 3,541,418 $ 5,513,339 $ 7,892,825 $ 4,025,852 $ 6,028,531 $ 3,326,282 $ (699,570) -17.4% Source of Supply/Water Production $ 57,094 $ - $ 108,914 $ 4,332 $ 2,482 $ 4,351 $ 19 0.4% Transmission & Distribution 83,444 341,994 59,512 36,270 128,932 30,987 (5,283) -14.6% Total Capital Facilities Fund $ 140,538 $ 341,994 $ 168,426 $ 40,602 $ 131,414 $ 35,338 $ (5,264) -13.0% Source of Supply $ 148,633 $ 168,943 $ 94,268 $ - $ 27,956 $ - $ - -- Administration 2,864 3,853 4,532 4,020 6,197 5,582 1,562 38.9% Total BVB Sustainability Fund $ 151,497 $ 172,796 $ 98,800 $ 4,020 $ 34,153 $ 5,582 $ 1,562 38.9% Water Production $ 1,244,203 $ 1,145,473 $ 1,235,640 $ 1,212,877 $ 1,260,525 $ 1,353,965 $ 141,088 11.6% Conservation/Public Information 261,500 280,909 272,135 332,931 272,529 345,679 12,748 3.8% Transmission & Distribution 932,958 984,930 1,024,684 1,041,663 963,965 1,115,292 73,629 7.1% Customer Field Service 758,595 778,424 819,445 861,510 850,663 953,300 91,790 10.7% Water Operations 871,115 803,722 900,576 964,544 896,842 1,005,390 40,846 4.2% Customer Accounts 1,002,706 1,140,352 1,093,349 1,188,562 1,151,272 1,268,602 80,040 6.7% Administration 1,507,664 1,872,664 1,746,605 1,936,967 1,781,052 2,180,776 243,809 12.6% Sub-total $ 6,578,741 $ 7,006,474 $ 7,092,434 $ 7,539,054 $ 7,176,848 $ 8,223,004 $ 683,950 9.1% Capitalized Labor (376,575) (415,011) (325,228) (592,998) (343,164) (340,748) 252,250 42.5% Total Operations & Maintenance Fund $ 6,202,166 $ 6,591,463 $ 6,767,206 $ 6,946,056 $ 6,833,684 $ 7,882,256 $ 936,200 13.5% General Plant & Equipment $ 721,329 $ 294,283 $ 503,577 $ 863,000 $ 332,223 $ 588,228 $ (274,772) -31.8% Total Fixed Asset Fund $ 721,329 $ 294,283 $ 503,577 $ 863,000 $ 332,223 $ 588,228 $ (274,772) -31.8% Total Expenditures $ 14,732,080 $ 17,004,229 $ 20,047,148 $ 12,952,232 $ 14,415,960 $ 12,905,741 (46,491) -0.4% Operations & Maintenance
Debt Service
System Rehabilitation
Capital Facilities - Growth
BVB Sustainability Fund
Fixed Asset Fund
FISCAL YEAR 2022-23
Schedule 3-2
DWP Budget Summary
Revenue
Operations and
Maintenance Debt Rehabilitation Growth BVB Sustainability General Plant To (From)
Reserves Total
Revenues $ 11,061,132 $ - $ 2,008 $ - $ - $ - $ - $ 11,063,140 Loan/Grant Proceeds - - -
Revenue Transfers In 11,061,132 3,178,876 2,112,829 (1,213,453) (1,248,791) (1,254,373) Expenditures (7,882,256) (1,068,055) (3,326,282) (35,338) (5,582) (588,228) (12,905,741) Net Revenues 11,061,132 3,178,876 2,112,829 (1,213,453) (1,248,791) (1,254,373) (1,842,601) - (1,842,601) Revenue Transfers (11,061,132) (3,178,876) (2,112,829) 1,213,453 1,248,791 1,254,373 1,842,601 (1,842,601) 1,842,601 Change in Net Assets $ - $ - $ - $ - $ - $ - $ - $ (1,842,601) $ - FISCAL YEAR 2022-23 SCHEDULE 3-3
$7,882,256 , 61.1%
$1,068,055 , 8.3%
$3,367,202 , 26.1%
$588,228 , 4.6%
DWP FY 2022-23
EXPENDITURES BUDGET
Total Expenditures $12,905,741
Operations & Maintenance Debt Service
Infrastructure Projects Operational Assets
FISCAL YEAR 2022-23
Schedule 3-4
4-1
Department of Water
DWP RESERVES & CASH BALANCES
FISCAL YEAR 2022/23
INTRODUCTION
Financial Reserves provide a safeguard against unforeseen problems, such as natural or other disasters, pandemics, economic downturns, revenue shortfalls, and other capital emergencies.
Reserves also provide funding for planned replacement of essential assets. The Reserve Balances are evaluated each year during the budget process and adjusted based on operational costs, capital replacement activities, the DWP’s revenue sources, annual budget, and available cash. Support details are available in the following schedules:
Description Schedule #
Cash Balance 4-2
Reserve Balances 4-3
Debt Service Reserves 4-4
Reserve Provisions 4-5
SECTION I
Operating Reserve
The total Operations and Maintenance budget for FY 2022/23 before allocations is $8,223,004. The DWP’s Financial Reserve Policy for Operations and Maintenance requires 3 months of operating expenses, or $2,055,751 to be maintained.
SECTION II
Capital Projects Rehabilitation and Replacement Reserve With an aging infrastructure, escalating construction costs, and the ongoing possibility of a catastrophic disaster occurring within the DWP’s service area, the need to replace water system infrastructure continues to be the focal point of the policy.
The DWP’s primary focuses are the wells that provide a safe and reliable source of drinking water for our customers, the reservoirs that store water for our customers, and replacement of aging and undersized pipelines, to help protect our community in the event of a wildfire.
In January 2021, the Board adopted the 2021 Water Master Plan (the Master Plan) which evaluated the current and future needs of the water system based upon demand projections and existing facilities. The Master plan spans several decades. Priority I Improvements total $32,550,000 and are targeted for completion by 2031. These improvements will be primarily funded from water rates and existing reserves.
DWP Reserves and Cash Balances
4-1
As part of the Financial Reserve Policy, the Board has determined that the Capital Improvements Projects Reserve, which is intended to be used for emergencies, should be maintained at 50% of the average annual Capital and Rehabilitation project costs for internally funded projects. Using a fiveyear average, the reserve requirement for this reserve would be $1,700,000. The Government Finance Officers Association (GFOA) “best practices” recommends reserving 25% of annual depreciation expense plus projected capital spending for the upcoming fiscal year. Using the GFOA method would result in a Capital Improvements Projects Reserve of $3.9 million.
The Water Master Plan does not include funding requirements for meter replacements. While the DWP has upgraded meter reading equipment with 100% radio-read technology, these assets will eventually need to be replaced. In FY 2020/21, the DWP began reserving for meter replacements.
The FY 2022/23 Budget includes an annual reserve provision of $185,065 for replacement of meters and radio endpoints. With this reserve plan, future meter replacements would be funded primarily from the reserve fund and partially with annual revenues.
In FY 2020/21, the Board established an asset replacement reserve of $241,221 for the Big Bear Shores RV Park Water System (RV Park) to provide for further system rehabilitation. The reserve was funded from historical net revenues from RV Park water rates. The Big Bear Shores RV Park Water System Reserve is expected to total $220,406 as of June 30, 2023.
In total, voluntary rehabilitation reserves as of June 30, 2023, are projected to be $1,802,692.
Depreciation Reserve
Additionally, the USDA requires the DWP to maintain a Depreciation Reserve for short-lived assets, such as pumping equipment. This reserve is required to be funded $32,400 annually, which has been provided from revenues for FY 2022/23. This reserve balance for June 30, 2023, is expected to be $148,602.
Infrastructure reserves are projected to total $1,951,294 as of June 30, 2023.
SECTION III
Vehicle, Equipment & Software Replacement
In FY 2014/15, the Board authorized revisions to the Policy No. 2009-02 Financial Reserves. The amendments established a process of reserving current year revenues for expected future purchases of essential vehicles, field equipment, office and information technology equipment, and software. The new policy became effective for FY 2015/16. In FY 2021/22 the vehicle and field equipment replacement plan was re-evaluated. The values of the current fleet were updated, and the provision was reduced from 100% to 90% of annual depreciation expense. A portion of this reserve will fund vehicle replacement in FY 2022/23. This reserve balance as of June 30, 2023, is projected to be $565,725.
SECTION IV
Debt Reserves
The Trust Indenture Agreement for servicing the DWP’s various outstanding debts requires the DWP to establish minimum debt reserves for all parity debt equal to the maximum annual debt service of each issuance.
DWP Reserves and Cash Balances
4-1
The Reserve Funds for the DWP’s Debt Service held by the Trustee (MUFG Union Bank) for the USDA 2010, 2012, 2013 and 2019 Bonds totals the maximum annual debt service for each issuance.
The reserve for the IBank loan has been established with Union Bank Government Services Division.
Unassigned Cash Balance Projections
The FY 2022/23 Budget projects a net increase in assigned reserves of $456,442 compared to the FY 2021/22 Adopted Budget. Unassigned reserves are expected to be $5,533,924 as of June 30, 2023.
YTD
Unrestricted Cash Balance 6/30/21 $ 8,115,657
Projected Unrestricted Cash Balance 6/30/22 $ 8,457,576 Transfer to Unrestricted Reserves 1,649,118
Projected Unrestricted Cash Balance 6/30/23 $ 10,106,694 Less: Amounts Assigned to Reserves
O&M Reserves $ (2,055,751)
Capital Projects Rehabilitation and Replacement Reserve (789,200) Pumping Plant Replacement Reserve (117,891)
Reservoir Reserve (120,000)
Pipeline Replacement Reserve -
Depreciation Reserve (USDA-requirement) (148,602)
Meter Replacement Reserve (555,195)
Big Bear Shores RV Park Water System Asset Reserve (220,406) Vehicle and Equipment Replacement Reserve (565,725)
Assigned Balances (4,572,770)
Projected Unassigned Cash Balance 6/30/23 $ 5,533,924
Projected Unrestricted Cash Balance
FISCAL YEAR 2022-23 SCHEDULE 4-2
Assigned Funds
(A) (B) (C)=(B)-(A) (C)/(A)
Assigned Fund Balances FY 2021-22 FY 2021-22 FY 2022-23 FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
SECTION I OPERATIONS AND MAINTENANCE
20-00-3465 O&M Reserve Beginning Balance $ 1,616,910 $ 1,654,250 $ 1,714,256 $ 1,802,573 $ 1,802,573 $ 1,884,764 20-00-3030 Fund adjustment as directed by the Board 37,340 60,006 88,317 82,191 82,191 170,987 To provide 25% of annual gross
O&M Costs reserved from fund
balance
Uses
20-00-3465 Total O&M Reserve $ 1,654,250 $ 1,714,256 $ 1,802,573 $ 1,884,764 $ 1,884,764 $ 2,055,751 170,987$ 9.1%
SECTION II INFRASTRUCTURE ASSET RESERVES
20-00-3470 Capital Projects Reserve Beginning Balance $ 789,200 $ 789,200 $ 789,200 $ 789,200 $ 789,200 $ 789,200 20-00-3030 Fund adjustment as directed by the Board -
(Uses) Repayments
20-00-3470 Total Capital Improvement Reserve $ 789,200 $ 789,200 $ 789,200 $ 789,200 $ 789,200 $ 789,200 $ - 0.0% Pumping Plant Reserve
20-00-3471 Pumping Plant Reserve Beginning Balance $ 167,891 $ 197,891 $ 227,891 $ 257,891 $ 257,891 $ 87,891 20-00-3030 Fund adjustment as directed by the Board -
22-50-6665 Provision for Pumping Plant Replacement 30,000 30,000 30,000 30,000 $ 30,000 30,000 Uses (200,000) $ (200,000) -
20-00-3471 Total Pumping Plant Reserve $ 197,891 $ 227,891 $ 257,891 $ 87,891 $ 87,891 $ 117,891 $ 30,000 34.1% Reservoir Reserve
20-00-3472 Reservoir Reserve Beginning Balance $ 120,000 $ 120,000 $ 120,000 $ 120,000 $ 120,000 $ 120,000 20-00-3030 Fund adjustment as directed by the Board -
22-50-6660 Provision for Reservoir Replacement - - -
Uses
20-00-3472 Total Reservoir Reserve $ 120,000 $ 120,000 $ 120,000 $ 120,000 $ 120,000 $ 120,000 $ - Pipeline Replacement Reserve
20-00-3473 Pipeline Replacement Reserve Beginning Balance $ - $ - $ - $ - $ - $ - 20-00-3030 Fund adjustment as directed by the Board - - - 22-55-6670 Provision for Pipeline Replacement - - -
Uses -
20-00-3473 Total Pipeline Replacement Reserve $ - $ - $ - $ - $ - $ - $ - Short-lived Asset Reserve (USDA)
20-00-3475 Depreciation Reserve Beginning Balance 166,470 198,870 231,270 263,670 263,670 116,202 20-00-3030 Fund adjustment as directed by the Board
22-50-6650 Provision for Depreciation (USDA) 32,400 32,400 32,400 32,400 32,400 32,400 Per USDA contracts Uses (90,000) (179,868) - Replaced 6 well pumpng units
20-00-3475 Total Short-lived Asset Reserve (USDA) $ 198,870 $ 231,270 $ 263,670 $ 206,070 $ 116,202 $ 148,602 $ (57,468) -27.9% Meter Replacement Reserve
20-00-3480 Meter Replacement Reserve Beginning Balance $ 170,000 $ 170,000 $ 185,065 $ 185,065 $ 370,130 20-00-3030 Fund adjustment as directed by the Board - - 22-55-6675 Provision for Meter Replacement - - 185,065 185,065 185,065 185,065 Uses - (170,000)
20-00-3480 Total Meter Replacement Reserve $ 170,000 $ - $ 185,065 $ 370,130 $ 370,130 $ 555,195 185,065$ 20-00-3490 Big Bear Shores RV Asset Reserve
Big Bear Shores RD Asset Reserve Beginning Balance $ - $ 241,221 $ 241,221 $ 220,406 Fund adjustment as directed by the Board 241,221
Uses $ (20,815) $ - Replaced RV Park Well #2 Pump
Total Big Bear Shores RV Asset Reserve $ 241,221 $ 241,221 $ 220,406 $ 220,406 $ (20,815)
SECTION III
20-00-3460 Vehicle and Equipment Reserve Beginning Balance $ 410,902 $ 345,319 $ 326,896 399,143 $ 413,806 $ 431,716 20-00-3030 Fund adjustment as directed by the Board
10-59-6605 Provision for Vehicle and Equipment Replacement 84,910 84,910 84,910 84,910 84,910 89,009 Per Reserve Policy 10-59-6614 Provision for Facility Improvements -
10-98-6615 Provision for Office Equipment Replacement 17,000 17,000 17,000 30,000 30,000 30,000 Provision for IT infrastructure
replacement every 5 years
10-98-6616 Provision for Software Replacement 60,000 60,000 60,000 60,000 60,000 Provision for Accounting/Utility
Billing software replacement every
5 years
Uses (167,493) (180,333) (75,000) (157,000) (157,000) (45,000) Vehicle purchase funded from
reserves $45,000
20-00-3460 Total Vehicle and Equipment Reserve $ 345,319 $ 326,896 $ 413,806 $ 417,053 $ 431,716 $ 565,725 148,672$ 35.6% -
Total Assigned Fund Balance $ 3,475,530 $ 3,409,513 $ 4,073,426 $ 4,116,329 $ 4,020,309 $ 4,572,770 456,442$ 11.1% FISCAL YEAR 2022-23 Schedule 4-3
Debt Reserve Requirements
FY 2018-19 FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23
Maximum Annual Debt Service
SECTION IV
1996 Revenue Refunding Bonds 3,409,840$ $ 3,409,840 $ - $ - $ - California DWR Loan - - - -
USDA 2010 Bond $ 143,225 143,225 143,225 143,225 143,225 USDA 2012 Bond $ 208,383 208,383 208,383 208,383 208,383 USDA 2013 Bond $ 130,975 130,975 130,975 130,975 130,975 Ibank CLEEN Loan $ 55,926 55,926 55,926 55,926 55,926
CEC Loan (reserve not required)
USDA 2019 Bond 448,300 448,300 448,300 448,300
Total 3,948,349$ $ 4,396,649 $ 986,809 986,809$ 986,809$ FISCAL YEAR 2022-23
Schedule 4-4
Provisions for Asset Replacement/Repair
(A) (B) (C)=(B)-(A) (C)/(A)
Provisions FY 2021-22 FY 2021-22 FY 2022-23
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
10-59-6605 Provision for Vehicle and Equipment Replacement $ 84,910 $ 84,910 $ 84,910 $ 84,910 $ 84,910 $ 89,009 $ 4,099 4.83% New reserve plan adopted 10-98-6615 Provision for Office Equipment Replacement 17,000 17,000 17,000 30,000 30,000 30,000 - 0.00% 10-98-6616 Provision for Software Replacement - 60,000 60,000 60,000 60,000 60,000 - 0.00% 22-50-6650 Provision for Depreciation (USDA) 32,400 32,400 32,400 32,400 32,400 32,400 - 0.00% 22-50-6660 Provision for Reservoir Replacement - - - - - -- 22-50-6665 Provision for Pumping Plant Replacement 30,000 30,000 30,000 30,000 30,000 30,000 - 0.00% 22-55-6670 Provision for Pipeline Replacement - - - - - -- 22-55-6675 Provision for Meter Replacement - 185,065 185,065 185,065 185,065 - 0.00% Total $ 164,310 $ 224,310 $ 409,375 $ 422,375 $ 422,375 $ 426,474 $ 4,099 0.97% FISCAL YEAR 2022-23 Schedule 4-5
$-
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
Cash Balances
Unassigned Cash
Assigned Cash
Restricted Cash
Fiscal Year 2021-22 Schedule 4-6
5-1
Department of Water
Department: Debt Service
Fund: 21
Department: 85
The Debt Service Budget includes payments of principal, interest and fees for the agency’s debts as follows:
(1) The USDA Rural Development Department 2010 Bond: Principal and interest total for FY 2022/23 are budgeted at $141,889. The principal payment for FY 2022/23 is budgeted at $74,000. Interest expense (accrual basis) totals $67,889 for FY 2022/23. Total loan amount was $3,628,000. The term is 40 years at an interest rate of 2.375%. The unpaid principal balance of the USDA 2010 Bond as of June 30, 2022, is projected to be $2,914,000. The projected balance as of June 30, 2023 is expected to be $2,840,000. The 2010 Bond matures October 1, 2049.
The USDA 2010 Bond and its associated $1,603,000 grant proceeds were used to drill the Magnolia and Seminole Wells, equip Lakeplant Well #6 and equip the Cherokee Well, and replace over 6,000 feet of aging and undersized main lines throughout the DWP’s water systems.
(2) In December 2012, the DWP fully utilized funding from the USDA from the 2012 Bond. Principal and interest total for FY 2022/23 are budgeted at $207,005. The principal payment for FY 2022/23 is budgeted at $92,000. Interest expense (accrual basis) totals $115,005 for FY 2022/23. The original principal balance of the bond was $5,000,000. The term is 40 years at an interest rate of 2.75%. The unpaid principal balance of the USDA 2012 Bond as of June 30, 2022, is projected to be $4,205,000. The projected balance as of June 30, 2023, is expected to be $4,113,000. The 2012 Bond matures April 1, 2052.
The 2012 Bond and its associated $1,000,000 grant were combined with $1,212,000 of funding awarded by the Environmental Protection Agency (EPA) under the State and Tribal Assistance Grant Program (STAG). These combined proceeds were used to equip the Magnolia Well, equip the Seminole Well and Treatment Plant, equip Division Well #8, and to replace over 26,000 feet of aging and undersized main lines throughout the DWP’s water systems. (3) In March 2013, the DWP filed an additional application with the USDA for funding of $4,157,000 to be used for infrastructure improvements. The USDA awarded the DWP a 40-year loan of $3,157,000 at 2.75% interest per annum, and a grant of $1,000,000. Principal and interest total for FY 2022/23 are budgeted at 5-1
$129,931. The principal payment for FY 2022/23 is budgeted at $55,000. Interest expense (accrual basis) totals $74,931 for FY 2022/23. The unpaid principal balance of the USDA 2013 Bond as of June 30, 2022 is projected to be $2,766,000. The projected principal balance as of June 30, 2023 is expected to be $2,711,000. The 2013 Bond matures October 1, 2053.
The 2013 Bond and its associated $1,000,000 grant were used to drill and equip the Arrastre Creek Well and construct the Arrastre Creek Pipeline in Lake William and improve operational flexibility by adding the Angels Camp Reservoir and Pipeline, and Klamath Booster Station and Pipeline that facilitate the transfer of water from east to west or west to east as needed. (4) In January 2017, the DWP entered into an installment sale agreement with the California Infrastructure and Economic Development Bank (IBank). This financing mechanism is funded through the State of California and provided $1,050,000 in financing over 30 years at 2.7% interest per annum, plus an annual fee of 0.3%. Principal and interest total for FY 2022/23 are budgeted at $50,186 and the annual fee to IBank is $2,783. The principal payment for FY 2022/23 is budgeted at $26,464. Interest expense (accrual basis) totals $23,722 for FY 2022/23. The unpaid principal balance of the IBank Loan as of June 30, 2022, is projected to be $927,755. The projected principal balance as of June 30, 2023 is expected to be $901,291. The IBank loan matures August 1, 2046. The loan agreement includes a prepayment penalty through the 12th year. The IBank Loan funded the Big Bear Blvd. Pipeline Replacement Project. (5) In February 2018, the DWP entered into a loan agreement with California Energy Commission (CEC) for up to $1,141,000 to fund the Division Well Field Solar Power Plant. The promissory note requires semi-annual principal and interest payments over 10 years at 1% interest per annum. The DWP received grant funding of $295,000 from the United States Bureau of Reclamation (USBR), which reduced the required borrowing for this project. The DWP completed the construction of the solar project in June 2019. The total project cost was below budget. That, combined with grant funding from USBR, allowed the DWP to draw only $771,880 from the CEC Loan. Principal and interest for FY 2022/23 total $81,439. Principal payments are budgeted for $75,784. Interest Expense (accrual basis) is budgeted for $5,655. The unpaid principal balance of the CEC Loan as of June 30, 2022 is projected to be $546,695. The projected principal balance as of June 30, 2023 is expected to be $470,911. The loan matures June 22, 2029.
(6) In August 2019, the DWP finalized terms with the USDA for an additional loan and grant. The agreement included $12,000,000 in bonds (The USDA 2019 Bonds) and $3,000,000 in grant funding. The USDA 2019 Bonds have a term of 40-years at 2.125% interest per annum. Principal and interest total for FY 2022/23 are budgeted at $446,322. Principal payments are budgeted for $201,600. Interest Expense (accrual basis) is budgeted for $244,722. The unpaid principal balance of the USDA 2019 Bonds as of June 30, 2022 is projected to be $11,609,200. The projected principal balance as of June 30, 2023 is expected to 5-1
be $11,407,600.
The 2019 Bonds and the associated $3,000,000 grant were used to replace approximately 8.3 miles of pipelines in Big Bear Lake and Fawnskin.
The Debt Service Budget includes principal, interest and fees for the agency’s debts as follows:
Accrual Basis Debt Service
$3.6M
USDA RD
2010 Bond
$5.0M
USDA RD
2012 Bond
$3.1M
USDA RD
2013 Bond
$1.05M
IBank Loan
$771K
CEC Loan (1)
$12 M
USDA RD
2019 Bonds TOTALS
Principal $ 74,000 $ 92,000 $ 55,000 $ 26,464 $ 75,784 $ 201,600 $ 524,848 Interest 67,889 115,005 74,931 23,722 5,655 244,722 531,924 Gross
Totals $ 141,889 $ 207,005 $ 129,931 $ 50,186 $ 81,439 $ 446,322 $ 1,056,772 Professional
Fees 1,850 2,170 2,170 2,783 -- 2,310 11,283
TOTALS $ 143,739 $ 209,175 $ 132,101 $ 52,969 $ 81,439 $ 448,632 $ 1,068,055 Debt Service Fund
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Debt Service FY 2021-22 FY 2021-22 FY 2022-23
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted Budget
Total Projected
Proposed
Budget Change % Explanation
21-85-6400 Professional Services $ 13,726 $ 20,304 $ 14,871 $ 15,646 $ 14,606 $ 11,283 $ (4,363) -27.88% Reduced fees for 1996 Bonds: Trustee,
Disclosures, and Arbitrage Calculations
21-85-6501 Principal USDA 2010 Bond 68,000 69,000 71,000 73,000 73,000 74,000 1,000 1.37% Per amortization tables 21-85-6510 Interest Expense USDA 2010 Bond 74,670 73,037 71,363 69,641 69,641 67,889 (1,752) -2.52% Per amortization tables 21-85-6511 Principal USDA 2012 Bond 82,000 85,000 87,000 90,000 90,000 92,000 2,000 2.22% Per amortization tables 21-85-6512 Interest Expense USDA 2012 Bond 124,534 122,258 119,907 117,494 117,494 115,005 (2,489) -2.12% Per amortization tables 21-85-6513 Principal USDA 2013 Bond 49,000 51,000 52,000 54,000 54,000 55,000 1,000 1.85% Per amortization tables 21-85-6514 Interest Expense USDA 2013 Bond 80,719 79,331 77,908 76,436 76,436 74,931 (1,505) -1.97% Per amortization tables 21-85-6516 Interest Expense Ibank CLEEN 17-002 27,136 26,478 25,802 25,107 25,107 23,722 (1,385) -5.52% Per amortization tables 21-85-6517 Principal Ibank CLEEN 17-002 23,789 24,432 25,091 25,769 25,769 26,464 695 2.70% Per amortization tables 21-85-6518 Principal - CEC Loan - 75,865 74,287 75,032 75,032 75,784 752 1.00% Per amortization tables 21-85-6519 Interest Expense - CEC Loan - 5,197 6,775 6,031 6,031 5,655 (376) -6.23% Per amortization tables 21-85-6520 Principal USDA 2019 Bond - - 193,300 197,500 197,500 201,600 4,100 2.08% Per amortization tables; prior budget was
based upon estimated draws; loan is fully
drawn
21-85-6521 Interest Expense USDA 2019 Bond - 31,294 165,333 247,046 231,338 244,722 (2,324) -0.94% Per amortization tables; prior budget was
based upon estimated draws; loan is fully
drawn
21-85-6596 Interest Expense 1996 Refunding Bonds 666,900 502,500 280,350 - - - - -- In-substance defeasance effective April 1,
2021 eliminated future debt service
requirements
21-85-6597 Principal 1996 Bonds 2,700,000 2,860,000 3,030,000 - - - - -- In-substance defeasance effective April 1,
2021 eliminated future debt service
requirements
21-85-6598 Amortization Expense 64,658 64,658 48,494 - - - - -- In-substance defeasance effective April 1,
2021 accelerated recognition of amortization
21-00-4640 (Gain) loss on Defeasance 272,833 -
Total $ 3,975,132 $ 4,090,354 $ 4,616,314 $ 1,072,702 $ 1,055,955 1,068,055$ $ (4,647) -0.43% FISCAL YEAR 2022-23
Schedule 5-2
Debt Coverage Analysis
Fiscal Year 2022-23
Gross Revenues (excludes grant and loan proceeds) $ 11,063,140 Operations & Maintenance Expenses 7,882,256
Net Revenues $ 3,180,884
Debt Service Requirement*
1996 Bonds $ -
IBank Loan 55,926
2010 - USDA 143,225
2012 - USDA 208,383
2013 - USDA 130,975
2019 - USDA 448,300
100% Maximum Debt Service $ 986,809
120% of Maximum Debt Service $ 1,184,171
Excess Revenues $ 1,996,713
Ratio 322%
Gross Revenues less Connection Fees $ 10,263,785
Operations & Maintenance Expenses 7,882,256
Net Revenues $ 2,381,529
Excess Revenues $ 1,394,720
Ratio 241%
* CEC Promisory Note is not parity debt
100% Test
120% test
FISCAL YEAR 2022-23
Schedule 5-3
$-
$500,000
$1,000,000
$1,500,000
$2,000,000
$2,500,000
$3,000,000
$3,500,000
$4,000,000
$4,500,000
$5,000,000
FY 20/21 FY 21/22 FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 Debt Service Payments
1996 Bonds (matures 2022) 2010 Bond (matures 2049) 2012 Bond (matures 2051) 2013 Bond (matures 2052) IBank Loan (matures 2046) CEC Loan (Matures 2029) 2019 Bonds (matures 2059) Final 1996 Bonds retired through in-substance
defeasance effective April 1, 2021, by utilizing balances available in the 1996 Bond Reserve Account.
Fiscal Year 2022-23 Schedule 5-4
6-1
Department of Water
Rehabilitation Projects Work Plan
Fund: 22
Departments: 50 and 55
In September 2018, the United States Department of Agriculture – Rural Development approved an obligation of funds for the DWP to replace up to 12 miles of aging and undersized pipelines. Phases I and II of the project were completed in late 2020. Phase III construction (final phase) is expected to be completed in the summer of 2022.
Appropriations for Phases III will be carried forward from the prior year budget. In total
8.3 miles of pipelines will be replaced with this funding from the USDA.
In January 2021, the Board adopted a 10-year Capital Improvement plan. Incorporated in that plan is the replacement of specific pipeline segments to improve fire flow and water system operation. The FY 2022/23 Budget provides $1.65 Million for the engineering and construction of approximately 1/2 mile of pipelines as prioritized in the Capital Improvement Plan.
In March 2022, the Board authorize staff to re-prioritize drilling and equipping Division Well #9. The drilling contract was award in March. Construction of the associated pumping plant is plan for FY 2022/23.
In June 2020, the DWP completed the radio-read meter installation project. This project started in October 2014 and installation was completed using in-house labor. In FY 2022/23 The DWP will replace approximately 400 old Hersey radio-read meters that had been deployed with Itron radio endpoints and then adapted to Sensus radio endpoints.
These meters are reaching end of life and their compatibility with Sensus software can be challenging.
System Rehabilitation Projects
DEPT ACCT ACCT NAME PROJECT NAME DIRECT COST
ALLOCATED
LABOR Acct Direct Indirect Total
50 9010 Capital Outlay - Engineering Wells On-call Engineering - Wells $ 7,500 $ 856 $ 7,500 $ 856 $ 8,356 50 9015 Capital Outlay - Engineering Reservoirs - - - - - 50 9025 Capital Outlay - Other Professional Services On-call Hydrogeology 2,500 285 2,500 285 2,785 50 9250 Capital Outlay - Wells and Boosters Pump Replacements (3) 90,000 10,272 50 9250 Capital Outlay - Wells and Boosters Re locate PRV on Villa Grove 60,000 6,848 50 9250 Capital Outlay - Wells and Boosters Equip Division Well #9 850,000 97,011 1,000,000 114,131 1,114,131 50 9251 Capital Outlay Telemetry - Wells - - - - -
50 9253 Capital Outlay - Chlorine Stations - - - - -
50 9260 Capital Outlay - Reservoirs - -
50 9280 Capital Outlay - Pressure Valves - - - - -
55 9020 Capital Outlay - Engineering - Mains On-call Engineering - Mains 2,500 285 55 9020 Capital Outlay - Engineering - Mains Engineering - Design Pipeline 200,000 22,826 202,500 23,111 225,611 55 9025 Capital Outlay - Other Professional Services On-call Environmental 2,500 285 2,500 285 2,785 55 9255 Capital Outlay - Land - -
55 9255 Capital Outlay - Land - - - - -
55 9265 Capital Outlay - Mains and Services 2023 Pipeline Replacement Project 1,100,000 125,544 - 55 9265 Capital Outlay - Mains and Services Division Pipeline 350,000 39,946 1,450,000 165,490 1,615,490 55 9266 Capital Outlay - Hydrants Replace Fire Hydrants 15,516 1,771 15,516 1,771 17,287 55 9270 Capital Outlay - Meters (Replacement) 5/8' X 3/4" AccuStream w/ SmartPoint 23,760 2,712 55 9270 Capital Outlay - Meters (Replacement) 1" AccuStream w/ SmartPoint 4,579 523 55 9270 Capital Outlay - Meters (Replacement) 1 1/2" OMNI R2 9,590 1,094 55 9270 Capital Outlay - Meters (Replacement) 2" OMNI R2 13,426 1,532 55 9270 Capital Outlay - Meters (Replacement) 5/8' X 3/4" AccuStream w/ Double SmartPoint 1,562 178 55 9270 Capital Outlay - Meters (Replacement) 5/8' X 3/4" AccuStream w/ SmartPoint Cable Only 13,469 1,537 55 9270 Capital Outlay - Meters (Replacement) SmartPoint (End Point) 13,469 1,537 55 9270 Capital Outlay - Meters (Replacement) 5/8" resetter 6" 5,280 603 55 9270 Capital Outlay - Meters (Replacement) 5/8" resetter 12" 1,396 159 55 9270 Capital Outlay - Meters (Replacement) 5/8" resetter 18" 1,940 221 55 9270 Capital Outlay - Meters (Replacement) 5/8" resetter 24" 1,358 155 55 9270 Capital Outlay - Meters (Replacement) 5/8" retro setter 5,344 610 55 9270 Capital Outlay - Meters (Replacement) 1" resetter 10" 937 107 55 9270 Capital Outlay - Meters (Replacement) 1" retro setter 356 41 55 9270 Capital Outlay - Meters (Replacement) Misc. Meter Support Hardware 539 61 97,005 11,070 108,075 55 9271 Capital Outlay - Meter Boxes (Replacement) Meter Box Plastic 24,244 2,767 55 9271 Capital Outlay - Meter Boxes (Replacement) Meter Box Lid Plastic 16,162 1,845 55 9271 Capital Outlay - Meter Boxes (Replacement) Meter Box Lid Wood 5,387 615 55 9271 Capital Outlay - Meter Boxes (Replacement) Meter Box Lid Composite 9,266 1,058 55 9271 Capital Outlay - Meter Boxes (Replacement) 2" Meter Box Plastic 10,883 1,242 55 9271 Capital Outlay - Meter Boxes (Replacement) 2" Meter Box Lid Plastic 5,280 603 55 9271 Capital Outlay - Meter Boxes (Replacement) Frost Lid (sport mat) 15,624 1,783 55 9271 Capital Outlay - Meter Boxes (Replacement) Frost Lid 2" Box (sport mat) 8,620 984 55 9271 Capital Outlay - Meter Boxes (Replacement) 2" Meter Box Lid Composite 2,694 307 55 9271 Capital Outlay - Meter Boxes (Replacement) Meter Box Plastic Grade Ring 9,266 1,058 55 9271 Capital Outlay - Meter Boxes (Replacement) Frost Lid Wood Box (sport mat) 593 68 108,019 12,330 120,349 55 9295 Capital Outlay - Basic Materials Asphalt Trench Repair 100,000 11,413 100,000 11,413 111,413 TOTAL CAPITAL OUTLAY $ 2,985,540 $ 340,742 $ 2,985,540 $ 340,742 $ 3,326,282 FISCAL YEAR 2022-23 Schedule 6-2
System Rehabilitation Source of Supply/Water Production (A) (B) (C)=(B)-(A) (C)/(A)
Fund System Rehabilitation FY 2021-22 FY 2021-22 FY 2022-23 Dept Source of Supply/Production
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
22-50-9010 Capital Outlay - Engineering Wells $ 98,194 $ - $ - $ 2,500 $ 490,237 $ 7,500 $ 5,000 200.00% Increase funding for on-call
services
22-50-9015 Capital Outlay - Engineering Reservoirs - - - - 17,500 - - -- 22-50-9025 Capital Outlay - Other Professional Services 11,931 - - 2,500 2,632 2,500 - 0.00% On-call services 22-50-9250 Capital Outlay - Wells and Boosters 1,781,087 368,247 110,828 290,000 390,349 1,000,000 710,000 244.83% Equip Division Well #9;
relocate PRV
22-50-9251 Capital Outlay Telemetry - Wells 57,314 188,422 19,247 - - - - -- 22-50-9253 Capital Outlay - Chlorine Stations - - - - - - - -- 22-50-9260 Capital Outlay - Reservoirs - - - - - - - -- 22-50-8222 Overhead Allocation 102,257 35,536 817 50,363 20,000 115,272 64,909 128.88% Increase in effort related to
new well and PRV
Total $ 2,050,783 $ 592,205 $ 130,892 $ 345,363 $ 920,718 $ 1,125,272 $ 779,909 225.82% FISCAL YEAR 2022-23 Schedule 6-3
System Rehabilitation Transmission and Distribution
(A) (B) (C)=(B)-(A) (C)/(A)
Fund System Rehabilitation FY 2021-22 FY 2021-22 FY 2022-23 Dept Transmission and Distribution
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted Budget
Total Projected
Proposed
Budget Change % Explanation
22-55-9020 Capital Outlay - Engineering - Mains $ 332,841 $ 660,539 $ 475,364 $ 202,500 $ 308,164 $ 202,500 $ - 0.00% 22-55-9025 Capital Outlay - Other Professional Services 86,050 50,803 45,146 2,500 2,428 2,500 - 0.00% 22-55-9265 Capital Outlay - Mains and Services 204,292 3,440,422 6,832,175 2,600,000 4,287,931 1,450,000 (1,150,000) -44.23% Decreased scope of pipeline
construction to accommodate need
for added source of supply (Division
Well #9)
22-55-9266 Capital Outlay - Hydrants 30,454 - - 14,000 7,583 15,516 1,516 10.83% 22-55-9270 Capital Outlay - Meters (Replacement) 491,063 352,583 40,547 123,524 52,674 97,005 (26,519) -21.47% Reduced funding to reflect expected
replacement activities
22-55-9271 Capital Outlay - Meter Boxes (Replacement) 125,292 98,434 82,920 101,250 33,424 108,019 6,769 6.69% 22-55-9275 Capital Outlay - Telemetry Meters - - - - - - -- 22-55-9295 Capital Outlay - Basic Materials - - - 100,000 125,969 100,000 - 0.00% 22-55-8222 Overhead Allocation 220,643 318,353 285,781 536,715 289,640 225,470 (311,245) -57.99% Based upon expected direct labor Total $ 1,490,635 4,921,134$ $ 7,761,933 $ 3,680,489 $ 5,107,812.57 $ 2,201,010 $ (1,479,479) -40.20% FISCAL YEAR 2022-23 Schedule 6-4
7-1
Department of Water
Capital Infrastructure – Growth Related System Improvements Work Plan
Fund: 23
Departments: 50 and 55
In FY 2022/23, provisions have been made for new connections to the system and also for miscellaneous on-call consulting services.
CAPITAL PROJECTS
GROWTH RELATED
DEPT ACCT ACCT NAME PROJECT NAME DIRECT COST
ALLOCATED
LABOR Acct Direct Indirect Total
50 9010 Capital Outlay - Engineering Wells/Boosters On-call Engineering - Wells/Boosters $ - $ - $ - $ - $ - 50 9025 Capital Outlay - Other Professional Services On-call Hydrogeology 4,350 1 4,350 1 4,351 50 9250 Capital Outlay - Wells and Boosters - - - - -
50 9251 Capital Outlay Telemetry - Wells - - - - -
50 9253 Capital Outlay - Chlorine Stations - - - - -
50 9255 Capital Outlay - Land - - - - -
50 9260 Capital Outlay - Reservoirs - - - - -
50 9280 Capital Outlay - Pressure Valves - - - - -
55 9020 Capital Outlay - Engineering - Mains On-call Engineering - Mains - - - - - 55 9025 Capital Outlay - Other Professional Services - - - - - 55 9255 Capital Outlay - Land - - - - -
55 9265 Capital Outlay - Mains and Services - - - - -
55 9266 Capital Outlay - Hydrants - - - - -
55 9270 Capital Outlay - Meters (New Connections) 1" meter 9,461 2 9,461 2 9,463 55 9271 Capital Outlay - Meter Boxes (New Connections) Meter Box Plastic 3,520 - 55 9271 Capital Outlay - Meter Boxes (New Connections) Meter Box Lid Plastic 1,080 - 55 9271 Capital Outlay - Meter Boxes (New Connections) Frost Lid 1" sport mat 920 - 5,520 - 5,520 55 9272 Capital Outlay - Service Lines (New Connections) Services 16,000 3 16,000 3 16,003 55 9275 Capital Outlay - Telemetry Meters - - - - -
55 9299 Capital Outlay - Developer Reimbursement - - - - Total $ 35,331 $ 6 $ 35,331 $ 6 $ 35,337
FISCAL YEAR 2022-23
Schedule 7-2
Capital Facilities - Growth Related Production
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Capital Facilities - Growth Related FY 2021-22 FY 2021-22 FY 2022-23 Dept Source of Supply/Production
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget
Total Projected
Proposed
Budget Change % Explanation
23-50-9010 Capital Outlay - Engineering Wells/Boosters $ - $ - $ - $ - $ - $ - $ - -- 23-50-9025 Capital Outlay - Other Professional Services 57,094 - 97,357 3,700 1,850 4,350 650 17.57% On-call services: TRT/GSP
meetings
23-50-9250 Capital Outlay - Wells and Boosters - - - - - - - -- 23-50-9251 Capital Outlay Telemetry - Wells - - - - - - - -- 23-50-9253 Capital Outlay - Chlorine Stations - - - - - - - -- 23-50-9255 Capital Outlay - Land - - - - - - - --
23-50-9260 Capital Outlay - Reservoirs - - - - - - - -- 23-50-8223 Overhead Allocation - - 11,557 632 632 1 (631) -99.93% Total $ 57,094 $ - $ 108,914 $ 4,332 $ 2,482 $ 4,351 $ 19 0.43% FISCAL YEAR 2022-23 Schedule 7-3
Capital Facilities - Growth Related Transmission and Distribution (A) (B) (C)=(B)-(A) (C)/(A)
Fund Capital Facilities - Growth Related FY 2021-22 FY 2021-22 FY 2022-23 Dept Transmission and Distribution
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
23-55-9020 Capital Outlay - Engineering - Mains $ - $ 20,537 $ - $ - $ - $ - $ - -- 23-55-9025 Capital Outlay - Other Professional Services - 6,619 - - - - - -- 23-55-9255 Capital Outlay - Land - - - - - - - --
23-55-9265 Capital Outlay - Mains and Services - 222,600 - - - - - -- 23-55-9266 Capital Outlay - Hydrants - - - - - - - --
23-55-9270 Capital Outlay - Meters (New Connections) 11,564 10,469 12,270 9,461 29,748 9,461 - 0.00% Assumes 40 new connections 23-55-9271 Capital Outlay - Meter Boxes (New Connections) 5,860 5,892 7,333 5,520 12,221 5,520 - 0.00% Assumes 40 new connections 23-55-9272 Capital Outlay - Services (New Connections) 12,345 14,755 12,837 16,000 50,178 16,000 - 0.00% Assumes 40 new connections 23-55-9275 Capital Outlay - Telemetry Meters - - - - - - - -- 23-55-9295 Capital Outlay - Basic Materials - - - - - - - -- 23-55-9299 Capital Outlay - Developer Reimbursement - - - - - - - -- 23-55-8223 Overhead Allocation 53,675 61,122 27,072 5,289 36,785 6 (5,283) -99.88% Assumes 40 new connections Total $ 83,444 $ 341,994 $ 59,512 $ 36,270 $ 128,932 $ 30,987 $ (5,283) -14.57% FISCAL YEAR 2022-23 Schedule 7-4
8-1
Department of Water
Bear Valley Basin Sustainability Fund – Growth Related Source of Supply Work Plan
Fund: 30
Departments: 50 and 98
In 2017, the DWP became a member of a newly-formed Joint Powers Agency to comply with the Sustainable Groundwater Management Act (SGMA). The Bear Valley Basin Groundwater Sustainability Agency (BVBGSA) is composed of the following member agencies: Big Bear Area Regional Wastewater Agency (BBARWA), Big Bear City Community Services District, and Big Bear Municipal Water District, and the DWP.
BVBGSA’s four-member board agreed upon cost sharing among the members depending upon the nature of the spending.
In FY 2018/19, the Board of Commissioners, and the boards of the other member agencies, authorized funding in support of the Bear Valley Groundwater Sustainability Project, now known as Replenish Big Bear. Replenish Big Bear is a project that is intended to transfer up to 2,000 acre-feet of water to Big Bear Lake where it will restore habitat and be available for groundwater recharge when needed. The project is currently in preliminary design stages and regulatory review. BBARWA is the lead agency for the project. BBARWA has been awarded approximately $7,700,000 in grants for the project.
In FY 2019/20, additional funding was authorized in support of Replenish Big Bear. In January 2022, additional funding of $100,000 was authorized for the project. Prior appropriations are expected to be carried forward to FY 2022/23. No additional appropriations were agreed to by BVBGSA or its member agencies for FY 2022/23.
Spending for FY 2022/23 is limited to administrative costs such as bank and legal fees.
Danielle D. McGee
Chief Financial Officer
BVB Sustainbility Fund Expenditure Summary
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Sustainability Agency and Replenish Big Bear FY 2021-22 FY 2021-22 FY 2022-23 FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget
Total Projected
Proposed
Budget Change % Explanation
Administrative and General Expenses $ 2,864 $ 3,853 $ 4,532 $ 4,020 $ 6,197 $ 5,582 $ 1,562 38.86% Audit fees omitted from prior
budget; add insurance and
memberships
Sustainability - Source of Supply 148,633 168,943 94,268 - 27,956 - - -- Replenish Big Bear project has
encumbrances from FY 18-19
and FY 19-20 that will
carryforward to FY 21/22; no
new funding is being requested
at this stage
Total $ 151,497 $ 172,796 $ 98,800 $ 4,020 $ 34,153 $ 5,582 $ 1,562 38.86% FISCAL YEAR 2022-23 Schedule 8-2
BVB Sustainability General and Adminstrative
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Sustainability Agency and Replenish Big Bear FY 2021-22 FY 2021-22 FY 2022-23 Dept Administration
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
30-98-6114 Office Supplies $ 63 $ - $ - $ - $ - $ - - -- No supplies expected for FY
21/22
30-98-6315 Computers and Software 400 - - - - - --
30-98-6335 Bank Fees and Misc Fees 1,095 1,227 826 1,020 758 840 (180) -17.65% 1/4 Share of annual bank fees 30-98-6480 Professional Services - Audit 975 978 997 - 1,038 1,200 1,200 -- 1/4 share of expected audit fees
(omitted from FY 21/22 Budget)
30-98-6486 Legal Fees - GSA 731 1,221 2,707 3,000 3,860 3,000 - 0.00% 1/4 share of expected legal fees 30-98-6487 Other Expenses - GSA - 2 - - - - --
30-98-6910 Advertising 27 - - - - - --
30-98-6386 Insurance 422 422 422 --
1/4 share of expected ACWA
JPIA Insurance
30-98-6927 Memberships 119 120 120 --
1/4 share of expected ACWA
Membership
Total $ 2,864 3,853$ $ 4,532 $ 4,020 $ 6,197 $ 5,582 $ 1,562 38.86% FISCAL YEAR 2022-23 Schedule 8-3
BVB Sustainability Fund Source of Supply
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Sustainability Agency and Replenish Big Bear FY 2021-22 FY 2021-22 FY 2022-23 Dept Source of Supply/Production
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
30-50-9010 Capital Outlay - Source of Supply Engineering $ - $ - $ - $ - $ - $ - $ - -- 30-50-9025 Capital Outlay - Other Professional Services 148,633 168,943 94,268 - 27,956 - - -- Spending is appropriated
through carry forward from prior
year
30-50-9250 Capital Outlay - Source of Supply - - - - - - - -- Total $ 148,633 $ 168,943 $ 94,268 $ - $ 27,956 $ - $ - -- FISCAL YEAR 2022-23 Schedule 8-4
9-1
Department of Water
Department: Source of Supply/Water Production
Fund: 20
Department: 50
The Source of Supply/Water Production Department is responsible for the quantity and quality of the DWP’s potable water supply. The Department must take daily, weekly, monthly, and yearly water quality samples. The Department must constantly maintain and service all our equipment, including well pumps and motors, chlorinators, treatment plants, and the interior and exterior condition of our many facilities. The Department also continually monitors ground water conditions throughout the valley and submits this information, as required, to the Department of Water Resources to comply with the California Statewide Groundwater Elevation Monitoring (CASGEM) Program. The Department provides monthly water production data to the Conservation Department to assist with monthly water efficiency related reporting. The Department also operates and maintains the Division Solar Field, strategically running these wells in order to maximize the energy benefit. The Department maximizes gravity well production to minimize water production power costs. In 2022, we will be equipping our new Division #9 production well that will be incorporated in the Division Solar Field allowing the DWP to use the maximum power produced by solar. The SOS Department will assume that we will have to replace three pumping units due to age and usage.
The Source of Supply Department is staffed with a Production Supervisor and three Water Production Technicians.
Jason Hall
Water Production Supervisor
Operations Maintenance Source of Supply/Water Production (A) (B) (C)=(B)-(A) (C)/(A)
Fund: Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept: Source of Supply/Production
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted Budget
Total Projected
Proposed
Budget Change % Explanation
20-50-6010 Salaries 278,688$ 243,861$ 277,072$ $ 319,709 $ 309,457 356,219$ $ 36,510 11.42% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020 compensation
study; assumes 4% COLA in February
2023
20-50-6013 Salaries - Disability 263 - - - - - - --
20-50-6020 Salaries - Overtime 31,272 20,367 20,350 21,852 21,712 22,184 332 1.52% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020 compensation
study; assumes 4% COLA in February
2023; overtime hours based upon
current trends
20-50-6040 Leave Provision 27,722 30,996 26,612 10,311 27,045 11,530 1,219 11.82% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020 compensation
study; assumes 4% COLA in February
2023; method for calculating leave
accrual was modified to reflect average
department unused annual leave
20-50-6080 Direct Benefits - Cafeteria 19,846 19,019 19,846 19,846 20,938 19,846 - 0.00% 20-50-6081 Payroll Taxes 6,041 4,689 6,855 6,579 6,815 7,182 603 9.17% COLA moved from July to February.
4.071% COLA implemented 2/1/22
Phase 2 implementation of 2020
compensation study; assumes 4%
COLA in February 2023
20-50-6082 Direct Benefits 4,051 3,796 3,957 3,690 3,858 4,090 400 10.84% New certifications earned by water
production staff
20-50-6083 Retirement Benefits 121,908 139,434 133,166 147,076 150,011 152,636 5,560 3.78% Phase 2 implementation of 2020
compensation study; assumes 4%
COLA in February; offset by reduction
in SBCERA rates of approximately 3%
20-50-6084 Health and Wellness 41,098 44,184 44,891 48,081 50,890 51,111 3,030 6.30% Assumes medical increase 8%; Dental=
6%; Vision =8%; Life=0%
20-50-6088 ER match 457 61 2,950 3,263 3,542 3,613 3,905 363 10.26% Phase 2 implementation of 2020
compensation study; assumes 4%
COLA in February
20-50-6090 Disaster Labor - 12,825 8,114 - 8,335 - - -- 20-50-5175 Chemicals/Filter Material 15,046 20,118 16,649 31,080 23,587 29,070 (2,010) -6.47% 20-50-5550 Utilities - Gas 1,487 1,487 1,487 1,488 3,307 1,487 (1) -0.06% 20-50-5560 Utilities - Electric 558,085 409,046 499,385 434,586 498,825 523,767 89,181 20.52% BVES implemented an increase in Feb
2021 of approximatley 28% and
another 4% in Feb 2022. The adopted
budget for FY 21-22 did not
incorporate these increases.
Production (electrical consumption) is
projected to be flat for FY 22-23
20-50-6232 Maintenance - Pump Equip 12,583 19,131 6,428 23,000 24,483 16,500 (6,500) -28.26% Based upon projected needs 20-50-6235 Maintenance - Pressure Valves 16,839 29,569 24,194 27,900 28,068 28,000 100 0.36% 20-50-6240 Maintenance - Wells 20,548 29,636 23,803 35,000 16,697 33,400 (1,600) -4.57% Based upon current trends and
increases in cost of materials
20-50-6242 Maintenance - Reservoirs 9,782 11,263 24,950 5,000 2,500 5,000 - 0.00% 20-50-6245 Maintenance - Telemetry 17,951 28,177 14,767 12,000 16,972 16,000 4,000 33.33% Based upon current trends and
increases in cost of materials
20-50-6275 Maintenance - Water Treatment 6,782 12,182 20,827 17,000 17,521 19,800 2,800 16.47% Based upon current trends and
increases in cost of materials
20-50-6315 Computers and Software - 3,251 83 - - 2,500 2,500 -- Scheduled replacements - 3-year cycle 20-50-6366 Licenses & Permits 1,950 2,000 1,900 2,250 2,250 2,250 - 0.00% 20-50-6370 Rent/Lease Expense 25,154 25,413 26,923 15,575 1,043 15,595 20 0.13% 20-50-6400 Professional Services 23,323 27,760 25,583 22,500 18,034 27,200 4,700 20.89% Increase testing Lake William for well
blending project
20-50-6920 Telephone 3,723 4,319 4,535 4,812 4,564 4,692 (120) -2.49% Sub-total 1,244,203$ 1,145,473$ 1,235,640$ $ 1,212,877 $ 1,260,525 1,353,965$ $ 141,088 11.63% 20-50-8191 Transfer out to Overhead Pool (18,107) (9,400) (2,554) (25,869) (5,000) (4,804) 21,065 -81.43% Based upon current trends Total After Capitalization 1,226,096$ 1,136,073$ 1,233,086$ $ 1,187,008 $ 1,255,525 1,349,160$ $ 162,150 13.66% FISCAL YEAR 2022-23 Schedule 9-2
9-3
Department of Water
Department: Conservation/Public Information
Fund: 20
Department: 51
The DWP manages water demand and loss by promoting water-use efficiency programs, as well as crafting and enforcing policies that prohibit water waste. The Department frequently takes a prominent role in data gathering, writing and editing multiyear planning documents related to water management, efficiency and conservation. To manage water loss, department staff spends considerable time notifying and working with customers to address the sources of such loss. Thorough planning, implementation, tracking and reporting on water use efficiency programs, policies and outcomes are a necessity. Frequent changes in state legislation require continuous research, review and application.
The Department is responsible for monthly reporting to the State of California and various annual reports to affiliate water organizations as well as crisis communications, media relations, public presentations, and special events. Additional activities include composing policies and reports, marketing, website maintenance, conducting residential and commercial consultations and inspections, managing conservation related grant funding, educating customers about water use regulations, processing rebates, and working with local commercial customers to increase irrigation efficiency.
As approved in the Water Conservation Management Plan in 2019, this fiscal year budget incorporates new commercial and institutional incentives that were initially targeted for introduction in fiscal year 2021/22.
The Conservation/Public Information Department staff consists of a Water Conservation/Communications Supervisor and a Water Conservation Specialist.
Water Conservation/Communications Supervisor
Operations Maintenance Conservation/Public Information
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept Conservation/Public Information
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted Budget
Total Projected
Proposed
Budget Change % Explanation
20-51-6010 Salaries $ 105,882 $ 112,269 $ 121,111 $ 141,078 $ 113,881 $ 148,476 $ 7,398 5.24% COLA moved from July to
February. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes
4% COLA in February 2023
20-51-6020 Salaries - Overtime - 31 - - - - --
20-51-6030 Wages Part-Time 1,808 - - - - - --
20-51-6040 Leave Provision 7,140 10,007 10,065 - 3,983 - - -- COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes
4% COLA in February 2023;
method for calculating leave
accrual was modified to reflect
average department unused
annual leave
20-51-6080 Direct Benefits - Cafeteria 19,846 19,019 19,846 19,846 13,231 - (19,846) -100.00% New exempt employees no
longer receive cafeteria
allowance.
20-51-6081 Payroll Taxes 2,413 2,395 2,687 3,159 2,811 3,123 (36) -1.13% 20-51-6082 Direct Benefits 695 1,053 500 1,000 500 - (1,000) -100.00% New hires have not yet earned
certification bonus
20-51-6083 Retirement Benefits 52,031 56,445 55,969 64,145 54,891 60,544 (3,601) -5.61% Turnover in department
reduces base wages; SBCERA
rates reduced from prior year,
approximately 3%; new
supervisor hired tier 2 pension
status
20-51-6084 Health and Wellness 22,954 26,968 7,026 7,280 6,871 31,097 23,817 327.18% Assumes medical iincrease 8%;
Dental= 6%; Vision =8%;
Life=0%; estimated benefits for
vacant conservation specialist
position; new supervisor does
not received cafeteria,
effective increase $3,971
20-51-6086 Retirement Benefits Temp Emp 68 - - - - - - -- 20-51-6088 ER Match 457 24 1,242 1,308 1,413 1,266 1,447 34 2.40% 20-51-6090 Disaster Labor 4,799 1,939 - 1,606 -
20-51-6110 Supplies 4,753 3,258 5,792 5,990 4,173 6,687 697 11.64% 20-51-6114 Office Supplies - (65) - - - - - --
20-51-6150 Demand Offset Program 21,700 22,587 17,175 45,550 26,184 45,600 50 0.11% 20-51-6315 Computer Equipment and Software - 1,050 3,256 - - 1,008 1,008 -- Subscription based software 20-51-6400 Professional Services - - - 1,000 3,800 160 (840) -84.00% 20-51-6420 Professional Services - Data 3,880 4,074 4,278 4,925 6,004 9,675 4,750 96.45% Added Chatbot to website 20-51-6910 Advertising 11,000 11,365 14,877 16,695 18,676 16,695 - 0.00% 20-51-6920 Telephone 595 1,025 1,210 960 1,040 1,200 240 25.00% Price adjustment; previously
under budgeted
20-51-6930 Special Dept Expense 4,858 1,977 2,476 15,450 11,912 15,327 (123) -0.80% 20-51-6970 Printing 1,853 1,410 2,620 4,440 1,700 4,640 200 4.50% Sub-total $ 261,500 $ 280,909 $ 272,135 $ 332,931 $ 272,529 $ 345,679 $ 12,748 3.83% 20-51-8191 Transfer Out to Overhead Pool - (7,598) - - - - -- Total After Capitalization $ 261,500 $ 280,909 $ 264,537 $ 332,931 $ 272,529 $ 345,679 $ 12,748 3.83% FISCAL YEAR 2022-23
Schedule 9-4
9-5
Department of Water
Department: Transmission & Distribution
Fund: 20
Department: 55
The Transmission & Distribution (T&D) Department’s main duty is to maintain and repair the transmission and distribution system. T&D also performs in-house underground construction projects, new water service installations, snow removal, grading, screening/hauling of materials, facilities/vehicle maintenance, hydrant/valve programs, hydrant flow testing, supports mainline replacement projects, supports the Production/Customer Field Services Department’s special projects, and responds to underground service alerts.
This fiscal year, T&D will continue to support pipeline replacement projects with inspection and repairs. T&D will also focus on valve exercising & hydrant program.
Additionally, T&D will install a new pressure relief valve station in Sugarloaf.
The Department is staffed by the Water Distribution Supervisor, two Senior Utility Technicians, four Utility Technicians, and one temporary laborer.
Jason Beck
Water Distribution Supervisor
OPERATIONS AND MAINTENANCE TRANSMISSION AND DISTRIBUTION (A) (B) (C)=(B)-(A) (C)/(A)
Fund Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept Transmission and Distribution
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
20-55-6010 Salaries $ 378,510 $ 411,364 $ 433,379 $ 512,037 $ 428,256 $ 542,681 $ 30,644 5.98% COLA moved from July to February.
4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA
in February 2023
20-55-6013 Salaries - Disability 210 - - - - - - --
20-55-6020 Salaries - Overtime 19,183 28,564 46,494 36,201 62,171 57,217 21,016 58.06% COLA moved from July to February.
4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA
in February; overtime hours based upon
current trends
20-55-6030 Wages Part-Time 11,670 19,704 21,773 19,240 16,928 21,147 1,907 9.91% COLA moved from July to February.
4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA
in February
20-55-6040 Leave Provision 36,093 37,105 37,790 - 42,977 12,032 12,032 -- COLA moved from July 2022 to February
2022. 4.071% COLA implemented
2/1/22; Phase 2 implementation of 2020
compensation study; assumes 4% COLA
in February 2023; method for calculating
leave accrual was modified to reflect
average department unused annual leave
20-55-6080 Direct Benefits - Cafeteria 19,846 19,019 19,846 19,846 827 - (19,846) -100.00% New exempt employees do not receive
receive cafeteria allowance.
20-55-6081 Payroll Taxes 9,138 9,557 10,419 11,283 11,686 11,810 526 4.67% COLA moved from July to February.
4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA
in February; increased overtime
20-55-6082 Direct Benefits 5,829 4,867 4,500 4,800 3,600 4,200 (600) -12.50% Based upon current certificates earned 20-55-6083 Retirement Benefits 197,372 191,433 194,016 228,971 199,947 212,320 (16,651) -7.27% SBCERA rates reduced from prior year
and turnover in department reduced
pensionable compensation
20-55-6084 Health and Wellness 57,683 64,877 79,683 82,959 91,853 106,980 24,021 28.95% Assumes medical increase 8%; Dental=
6%; Vision =8%; Life=0%; new supervisor
does not receive cafeteria; effective
increase is $4,175
20-55-6086 Retirement Benefits Temp Emp 467 774 948 541 736 585 44 8.11% Phase 2 implementation of 2020
compensation study; assumes 4% COLA
in February
20-55-6088 ER Match 457 72 4,503 5,247 5,473 5,191 6,041 567 10.37% Phase 2 implementation of 2020
compensation study; assumes 4% COLA
in February
20-55-6090 Disaster Labor 15,233 9,126 - 16,316 - - --
20-55-6140 Basic Materials 72,765 58,943 20,952 42,343 32,549 42,793 450 1.06% 20-55-6141 Change in inventory 72,797 66,752 58,478 - (16,778) - - -- 20-55-6215 Maintenance - Hydrants 2,286 6,366 14,502 11,757 8,348 11,757 - 0.00% 20-55-6250 Maintenance - Mains And Svcs 47,669 43,904 62,732 64,772 57,954 82,609 17,837 27.54% Material cost increase 20-55-6315 Computer Equipment & Software - 252 3,391 - - 1,200 1,200 -- iPad for Crew 3 20-55-6375 Rents And Leases - Equipment - 343 52 - - - - -- 20-55-6920 Telephone 1,368 1,370 1,356 1,440 1,404 1,920 480 33.33% Additional iPad Sub-total $ 932,958 $ 984,930 $ 1,024,684 $ 1,041,663 $ 963,965 $ 1,115,292 $ 73,629 7.07% 20-55-8191 Transfer Out to Overhead Pool (113,388) (132,363) (93,896) (155,290) (119,285) (73,249) 82,041 -52.83% Decrease in scope and complexity of
construction projects
Total After Capitalization $ 819,570 $ 852,567 $ 930,788 $ 886,373 $ 844,680 $ 1,042,044 $ 155,670 17.56% Fiscal Year 2022-23 Schedule 9-6
9-7
Department of Water
Department: Customer Field Service
Fund: 20
Department: 95
The Customer Field Service Department (Meter Department) duties include meter reading, meter maintenance, troubleshooting, turn-on/off, lock-off/unlocks, door tags, check reads, and significant leak investigations. During Calendar year 2021, 2,749 customer leaks were detected. The Department will continue to maintain the Sensus radio read meters. With the completion of the Radio Meter Program, the Department will focus on replacing outdated Hersey Radio Meters and work to improve water meter radio communication signals throughout the Service Area. The Department will be implementing the new Cityworks program.
The Customer Field Service Department is currently staffed with a Customer Field Supervisor, five Water Meter Technicians, and one temporary laborer.
John Gross
Customer Field Supervisor
Operations and Maintenance Customer Field Services
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept Customer Field Service
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
20-95-6010 Salaries $ 350,964 $ 342,599 $ 373,711 $ 442,105 $ 410,657 $ 492,037 $ 49,932 11.29% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes 4%
COLA in February 2023
20-95-6020 Salaries - Overtime 39,970 32,457 26,657 22,914 25,597 29,009 6,095 26.60% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes 4%
COLA in February 2023;
reallocation of overtime from
other departments based upon
current trends
20-95-6030 Wages Part-Time 24,794 19,058 20,550 19,240 5,002 21,147 1,907 9.91% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes 4%
COLA in February 2023
20-95-6040 Leave Provision 30,994 30,561 37,570 1,759 30,280 8,555 6,796 386.28% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes 4%
COLA in February 2023; method
for calculating leave accrual was
modified to reflect average
department unused annual leave
20-95-6080 Direct Benefits - Cafeteria 19,846 19,019 19,846 19,846 20,938 19,846 - 0.00% 20-95-6081 Payroll Taxes 8,327 8,135 8,680 9,446 9,118 10,362 916 9.70% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes 4%
COLA in February 2023
20-95-6082 Direct Benefits 5,374 5,252 4,335 4,400 4,300 4,300 (100) -2.27% 20-95-6083 Retirement Benefits 157,024 165,814 172,530 194,282 200,225 210,213 15,931 8.20% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes 4%
COLA in February 2023
20-95-6084 Health and Wellness 82,341 76,487 74,975 73,872 79,043 81,030 7,158 9.69% Assumes medical increase 8%;
Dental= 6%; Vision =8%; Life=0%
20-95-6086 Retirement Benefits Temp Emp 967 740 860 541 94 585 44 8.11% 20-95-6088 ER Match 457 93 4,179 4,447 4,698 4,790 5,302 604 12.86% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020
compensation study; assumes 4%
COLA in February 2023
20-95-6090 Disaster Labor 15,376 11,672 - 12,835 - - -- 20-95-6256 Maintenance - Meters 6,077 23,953 22,364 30,920 10,604 34,220 3,300 10.67% Expected increases in material
costs
20-95-6258 Maintenance-Hardware/Software 28,175 29,547 37,566 30,187 30,324 30,644 457 1.51% 20-95-6315 Computer Equipment and Software - 1,619 42 2,500 2,736 1,250 (1,250) -50.00% Computers are replaced on a 3-
year cycle
20-95-6920 Telephone 3,649 3,628 3,640 4,800 4,120 4,800 - 0.00% Sub-total $ 758,595 $ 778,424 $ 819,445 $ 861,510 $ 850,663 $ 953,300 $ 91,790 10.65% 20-95-8191 Transfer out to Overhead Pool (104,861) (83,735) (37,570) (88,809) (13,893) (48,442) 40,367 -45.45% Based upon current trends Total After Capitalization $ 653,734 $ 694,689 $ 781,875 $ 772,701 $ 836,770 $ 904,858 $ 132,157 17.10% FISCAL YEAR 2022-23
Schedule 9-8
9-9
Department of Water
Department: Water Operations
Fund: 20
Department: 59
The Water Operations Department captures costs that are related to general field operations such as fuel, uniform services, certifications, permits/licenses, vehicle maintenance, backflow prevention compliance, and more.
In FY 2022/23, the staff of Water Operations will be focused on supporting the general operations and maintenance of the water facilities, construction management, interagency coordination, line locating and more. The Water Operations Department is also responsible for backflow prevention, construction observation of capital improvement projects and material inventory. Water Operations inputs and maintains data for ESRI GIS software for the water system atlas maps. Other objectives include continuing support for the 2018 USDA Pipeline Replacement Project – Phase III, and the implementation of Cityworks.
Staffing for the Water Operations Department includes the Water Superintendent, Senior Water Operations Technician, Senior Purchaser/Construction Inspector, and the Utility Data Specialist.
Danny Ent
Water Superintendent
Operations and Maintenance Water Operations
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept Water Operations
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
20-59-6010 Salaries 299,511$ 304,433$ $ 273,581 $ 343,783 $ 319,684 376,612 $ 32,829 9.55% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020 compensation
study; assumes 4% COLA in February
2023
20-59-6020 Overtime 15,403 15,866 20,988 21,751 13,622 17,636 (4,115) -18.92% Estimate inspection overtime reduced
due to reduction in scope of pipeline
projects for FY 22/23
20-59-6040 Leave Provision 30,491 31,281 33,212 3,335 15,050 - (3,335) -100.01% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020 compensation
study; assumes 4% COLA in February
2023; method for calculating leave
accrual was modified to reflect average
department unused annual leave
20-59-6080 Direct Benefits -Cafeteria 19,846 19,019 19,846 19,846 22,658 19,846 - 0.00% 20-59-6081 Payroll Taxes 6,298 6,277 7,167 6,919 7,965 7,295 376 5.43% 20-59-6082 Direct Benefits 3,805 5,453 2,500 2,500 3,000 2,600 100 4.00% 20-59-6083 Retirement Benefits 138,559 140,810 135,087 159,686 160,924 158,655 (1,031) -0.65% 20-59-6084 Health and Wellness 43,563 46,165 44,517 60,497 40,294 51,238 (9,259) -15.30% Assumes medical increase 8%; Dental=
6%; Vision =8%; Life=0%; prior year
budget estimated benefits for vacant
position were greater than that of the
employee placed in the position
20-59-6088 ER match 457 63 3,370 4,025 3,703 3,786 3,861 158 4.27% COLA moved from July 2022 to
February 2022. 4.071% COLA
implemented 2/1/22; Phase 2
implementation of 2020 compensation
study; assumes 4% COLA in February
2023
20-59-6090 Disaster Labor - 11,600 2,570 - 13,724 - - -- 20-59-6114 Office Supplies 2,687 422 1,536 1,200 1,359 1,200 - 0.00% 20-59-6130 Safety Supplies 6,685 8,519 5,991 13,152 27,234 11,800 (1,352) -10.28% 20-59-6140 Basic Materials - - 97,775 - - - - --
20-59-6180 Small Tools 17,593 18,886 27,494 27,000 25,645 24,600 (2,400) -8.89% 20-59-6225 Maintenance - Atlas Maps - - 73 - - - - --
20-59-6258 Maintenance - Hardware Software 48,825 9,599 16,180 26,775 28,656 38,129 11,354 42.41% ESRI for iPads added to facilitiate
mobile workforce; provided funding for
on-call services for Cityworks postdeployment customization 20-59-6286 Vehicle Maintenance 19,155 33,259 20,968 30,000 31,825 33,000 3,000 10.00% 20-59-6315 Computer Equipment and Software 675 6,862 2,640 3,900 1,921 5,000 1,100 28.21% Scheduled replacements 20-59-6329 Communications - Radio 1,100 199 1,339 3,360 4,761 3,540 180 5.36% 20-59-6330 Contractual Services (1,146) 1,205 650 657 - 673 16 2.44% 20-59-6336 Medical Exams 1,250 641 1,898 1,860 635 1,980 120 6.45% 20-59-6338 Clothing And Personal Equip 1,775 1,828 5,464 10,940 6,910 11,100 160 1.46% 20-59-6339 Laundry 15,103 17,903 17,480 19,800 18,428 19,800 - 0.00% 20-59-6355 Travel-Conferences And Meetings 8,355 2,784 - 21,960 7,682 19,500 (2,460) -11.20% 20-59-6360 Automotive Expense 22,521 16,885 26,111 33,000 34,669 32,200 (800) -2.42% 20-59-6362 Fuel 54,626 56,403 50,334 48,000 56,310 60,000 12,000 25.00% Based upon current inflationary trends 20-59-6366 Licenses & Permits 50,393 55,090 59,311 62,950 28,767 70,415 7,465 11.86% Increase in Water System license fees
SWRCB
20-59-6398 Accidents And Damage 42,450 (19,100) 5,424 7,200 7,399 7,200 - 0.00% 20-59-6400 Professional Services 5,046 1,603 9,010 4,000 - - (4,000) -100.00% 20-59-6920 Telephone 3,345 3,511 3,346 3,540 3,134 4,080 540 15.25% 20-59-6926 Education / Training 12,757 1,329 2,780 21,630 9,340 21,830 200 0.92% 20-59-6930 Special Department Expense 318 379 - - 203 - - -- 20-59-6970 Printing 63 1,241 1,279 1,600 1,257 1,600 - 0.00% Sub-total 871,115$ 803,722$ $ 900,576 $ 964,544 $ 896,842 $ 1,005,390 $ 40,846 4.23% 20-59-8191 Transfer Out to Overhead Pool (41,896) (82,490) (107,841) (218,044) (100,000) (128,381) 89,663 -41.1% Decrease in scope and complexity of
construction projects
Total After Capitalization 829,219$ 721,232$ $ 792,735 $ 746,500 $ 796,842 $ 877,009 $ 130,509 17.5% FISCAL YEAR 2022-23
Schedule 9-10
9-11
Department of Water
Department: Customer Accounts
Fund: 20
Department: 90
The Customer Accounts Department provides customer service for over 15,850 water connections. The Department consists of the Customer Service Section and the Accounting Section and provides customer service, billing, daily deposits, accounts payable, payroll, inventory management, radio read meter monitoring, leak detection, and general accounting services.
The Customer Service Section is staffed with a Customer Service Supervisor, one Senior Customer Service Representative, and three Customer Service Representatives.
The Customer Service Section performs a variety of clerical duties, including but not limited to, responding to customers’ inquiries, including requests for new service, processing the mail and all cash receipts, creating field tickets, generating delinquency lists, working closely with the Conservation Department and the Accounting Section, and implementing the various programs offered by the DWP.
They provide telephone and email support, offer support to all departments, monitor the two-way radio, and dispatch customer service requests to Customer Field Service.
The Accounting Section is staffed with an Accounting Supervisor, a Utility Billing Specialist, an Accounting Assistant and an Accounting Specialist.
The Accounting Section includes billing, accounts payable, payroll, inventory management, and general accounting functions. The Utility Billing Specialist works closely with all other departments by processing meter reads, scheduling meter reading and field activities, inputting meter exchanges, opening and closing customer accounts, processing bills for utility services, and providing backup support to Customer Service as needed. The Accounting Assistant processes purchase orders and accounts payable, inputs journal entries, and provides backup support to the Utility Billing Specialist. The Accounting Specialist is expected perform a range of functions including journal entry preparation, reconciliations, payroll and asset accounting support. The Accounting Supervisor performs a variety of tasks, including but not limited to, supervision of the Utility Billing Specialist, the Accounting Assistant and the Accounting Specialist, providing general accounting support, processing payroll, and inventory management.
In FY 2022/23, the Customer Accounts Department will focus primarily on implementing our new software which will include a new inventory management system as well as mobile service/work orders, and documenting procedures for the new software. The new software will include a barcode scanning system for inventory which will allow us to increase the efficiency and accuracy of inventory management. The Mobile Work Order module will allow the field to receive and provide real time data/ information from/to the office staff and create/complete service orders in the field. The department will continue to utilize the Tyler Content Management module to scan documents into the software to allow easy access to necessary documents. The department will continue to focus on ways to increase efficiency by use of new technology and simplifying processes without compromising controls.
Kari Kurtz, Accounting Supervisor
Kelle Barrette, Customer Service Supervisor
Operations and Maintenance Customer Accounts
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept Customer Accounts
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted Budget
Total Projected
Proposed
Budget Change % Explanation
20-90-6010 Salaries $ 460,154 $ 485,902 $ 480,711 $ 566,467 $ 530,362 $ 642,102 $ 75,635 13.35% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-90-6013 Salaries - Disability - - - 455 - - --
20-90-6020 Salaries - Overtime 5,479 21,402 1,626 1,891 2,195 1,573 (318) -16.82% 20-90-6030 Wages Part-Time 7,406 19,889 - - 446 - - --
20-90-6040 Leave Provision 36,494 35,353 39,501 10,067 34,703 10,668 601 5.97% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023; method for calculating leave
accrual was modified to reflect average
department unused annual leave
20-90-6080 Direct Benefits - Cafeteria 19,846 19,019 19,846 19,846 20,938 19,846 - 0.00% 20-90-6081 Payroll Taxes 10,284 10,442 9,978 10,898 11,321 12,086 1,188 10.90% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-90-6082 Direct Benefits 4,490 4,493 3,892 4,390 3,758 3,890 (500) -11.39% Turnover reduced certification bonuses 20-90-6083 Retirement Benefits 192,744 208,045 204,594 230,940 232,832 242,651 11,711 5.07% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-90-6084 Health and Wellness 81,167 97,811 93,244 90,055 81,927 76,741 (13,314) -14.78% Assumes medical increase 8%; Dental= 6%;
Vision =8%; Life=0%; turnover reduced
healthcare costs
20-90-6013 Wages: Workers' Compensation - - 922 - 455 - - -- 20-90-6086 Retirement Benefits - Temp EE 299 713 - - 17 - - -- 20-90-6088 ER Match 457 105 5,400 5,370 5,765 5,742 6,490 725 12.58% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-90-6090 Disaster Labor 16,862 17,472 - 15,164 - - -- 20-90-6114 Office Supplies - - - - - - - --
20-90-6230 Maintenance - Equipment 304 260 - 400 - 400 - 0.00% 20-90-6258 Maintenance-Hardware/Software 13,898 23,387 17,139 39,361 34,438 41,725 2,364 6.01% Contractual escalations 20-90-6312 Office Equipment - - - - - - - --
20-90-6315 Computer Equip And Software 1,840 14,884 4,241 3,000 - 10,400 7,400 246.67% Scheduled computer replacements - 3-year
cycle
20-90-6320 Postage Charges 51,573 53,235 41,771 46,550 41,363 47,600 1,050 2.26% 20-90-6330 Contractual Services 11,736 10,592 11,676 7,790 6,716 7,790 - 0.00% 20-90-6335 Bank Charges and Misc. Fees 72,263 87,622 122,691 126,800 106,529 118,000 (8,800) -6.94% Based upon current trends 20-90-6370 Rent/Lease Expense 12,876 293 - - - - - --
20-90-6420 Professional Services-Dp - - - - - - - --
20-90-6705 Bad Debt Expense 11,312 12,889 10,278 14,000 12,938 17,000 3,000 21.43% Based upon current trends 20-90-6720 Customer Deposit - Int Paid 7 16 - 12 9 10 (2) -16.67% 20-90-6930 Special Department Expense 212 - - - - - --
20-90-6970 Printing 8,429 11,631 8,397 10,330 8,964 9,630 (700) -6.78% Sub-total $ 1,002,706 $ 1,140,352 $ 1,093,349 $ 1,188,562 $ 1,151,272 $ 1,268,602 $ 80,040 6.73% 20-90-8191 Transfer Out to Overhead Pool (1,829) (1,537) (272) - - - - -- Total After Capitalization $ 1,000,877 $ 1,138,815 $ 1,093,077 $ 1,188,562 $ 1,151,272 $ 1,268,602 $ 80,040 6.73% FISCAL YEAR 2022-23
Schedule 9-12
9-13
Department of Water
Department: Administration
Fund: 20
Department: 98
The Administration Department provides administrative support to all departments.
Administrative duties of this department include employee relations, strategic visioning, goal setting, managing investments, debt administration, rate-setting, and overall financial and budgetary oversight. The Administration Department plays a vital role in planning, leadership, organization, designing facilities, asset accounting and management to continue providing our current and future customers with a safe, efficient, and sufficient supply of potable water.
In FY 2022/23, Administration staff will continue its efforts in converting to electronic documents. A comprehensive rate study will commence in July 2022, along with a study for capacity charges, a cost of service/fee analysis for meter installation and other administrative fees. Administration staff will continue reporting for grants and loans, oversight of pipeline replacement projects, and other infrastructure projects.
Space planning for the Garstin office and yard are expected to be completed in 2022. Construction, if approved, is expected commence in FY 2022/23. Expansion of the warehouse for equipment and inventory storage will most likely be the first phase of the construction project.
Administration Staff includes the General Manager, the Chief Financial Officer, the Human Resources Administrator, and the Management Analyst/Board Secretary.
Danielle D. McGee
Chief Financial Officer
Operations and Maintenance Administration
(A) (B) (C)=(B)-(A) (C)/(A)
Fund Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept Administration
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted Budget
Total Projected
Proposed
Budget Change % Explanation
20-98-6010 Salaries $ 493,161 $ 587,866 $ 550,704 $ 673,981 $ 583,104 $ 769,140 $ 95,159 14.12% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-98-6030 Wages Part-Time - - 572 - 1,337 - - --
20-98-6040 Leave Accrual 48,055 53,515 56,935 16,660 60,896 17,572 912 5.47% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023; method for calculating leave
accrual was modified to reflect average
department unused annual leave
20-98-6080 Direct Benefits - Cafeteria 42,953 38,367 43,568 44,449 47,270 46,714 2,265 5.10% 20-98-6081 Payroll Taxes 10,004 11,757 10,711 12,891 11,229 13,964 1,073 8.32% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-98-6083 Retirement Benefits 232,565 273,271 263,743 301,425 293,425 328,595 27,170 9.01% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-98-6084 Health and Wellness 10,042 22,779 15,650 30,293 6,373 25,573 (4,720) -15.58% Assumes medical increase 8%; Dental= 6%;
Vision =8%; Life=0%; estimated benefits for
vacant accounting position
20-98-6086 Retirement Benefits Temps 795 1,477 878 1,350 1,046 1,125 (225) -16.67% 20-98-6088 457 Match 3,609 8,580 9,768 10,946 9,337 12,190 1,244 11.36% COLA moved from July 2022 to February
2022. 4.071% COLA implemented 2/1/22;
Phase 2 implementation of 2020
compensation study; assumes 4% COLA in
February 2023
20-98-6090 Disaster Labor 14,734 11,894 - 15,576 - - -- 20-98-6114 Office Supplies 9,842 33,584 13,992 12,422 10,248 14,842 2,420 19.48% HEPA Filters; ergonomic supplies 20-98-6220 Maintenance-Buildings And Grounds 31,071 21,507 27,403 23,650 23,480 24,150 500 2.11% 20-98-6230 Maintenance - Equipment 1,672 2,003 3,056 2,920 2,720 3,140 220 7.53% 20-98-6258 Maintenance-Hardware/Software 38,849 45,239 32,260 23,963 45,630 34,333 10,370 43.28% API licenses Incode/MeterSync/Cityworks 20-98-6315 Computer Equip And Software 27,343 18,353 29,480 21,737 16,354 16,655 (5,082) -23.38% Computers are replaced on a 3-year cycle 20-98-6320 Postage Charges 10,237 10,231 7,630 10,240 10,212 17,940 7,700 75.20% Proposition 218 Notice 20-98-6325 Utilities - Gas 8,724 8,145 8,595 8,200 9,145 10,420 2,220 27.07% Based upon current trends 20-98-6326 Utilities - Electric 11,100 11,393 13,695 12,960 12,093 15,840 2,880 22.22% BVES Rates increases 20-98-6330 Contractual Services 17,353 18,789 19,127 19,224 30,913 20,192 968 5.04% Upgraded fire alarm monitoring 20-98-6335 Bank Charges and Misc. Fees 29,581 30,888 27,384 30,000 25,467 30,000 - 0.00% 20-98-6336 Medical Exams 723 363 990 2,220 653 740 (1,480) -66.67% Hearing exams are bi-annually 20-98-6338 Clothing And Personal Equipt 1,371 1,154 1,893 3,525 1,356 3,525 - 0.00% FISCAL YEAR 2022-23 Schedule 9-14
Operations and Maintenance Administration
Fund Operations and Maintenance FY 2021-22 FY 2021-22 FY 2022-23 Dept Administration
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted Budget
Total Projected
Proposed
Budget Change % Explanation
20-98-6355 Travel-Conferences And Meeting 8,594 6,503 21 13,880 5,377 11,600 (2,280) -16.43% Fewer employees attending Tri-State
Conference
20-98-6375 Rents And Leases - Equipment 7,225 15,613 15,556 16,260 16,857 16,496 236 1.45% 20-98-6386 Insurance 275,743 363,602 352,428 431,500 368,877 401,500 (30,000) -6.95% Prior year projection for property insurance
was overstated
20-98-6395 Disaster Supplies/Services 3,644 38,699 - 775 - - -- 20-98-6399 Interagency Support 365 - - - - 3,000 3,000 -- SAWPA weather modification support 20-98-6400 Professional Services 17,514 47,187 5,839 - - 115,000 115,000 -- Rate Study/Capacity Charge Study/Costs of
Service Analyses - Admin Fees and Meter
Installation Fees
20-98-6405 Professional Services - Personnel & Safety 10,508 30,185 21,825 19,618 19,032 19,868 250 1.27% 20-98-6420 Professional Services - Data/Internet 66,253 75,426 72,379 76,405 74,820 89,713 13,308 17.42% Increases in Professional Service Fees; added
security measures; increase in Microsoft
O365 fees
20-98-6480 Prof Svcs - Audit 7,690 4,403 5,620 10,000 2,500 10,000 - 0.00% 20-98-6485 Professional Services - Legal 30,992 53,487 28,941 40,000 21,913 33,500 (6,500) -16.25% Based upon current trends 20-98-6486 Legal Fees Groundwater Sustainability Agency 78 - - - - - - -- 20-98-6487
Other Expenses Groundwater Sustainability
Agency - - (2) - - - - --
20-98-6500 Interest Expense - - - - 650 - - --
20-98-6910 Advertising 7,011 2,554 7,570 1,600 3,690 4,300 2,700 168.75% Increase recruitment advertising 20-98-6920 Telephone 15,561 16,806 16,111 16,140 15,876 16,380 240 1.49% 20-98-6926 Education / Training 5,537 7,389 4,916 14,675 4,894 15,841 1,166 7.95% Additional online training courses Incode and
Asset Management Software
20-98-6927 Memberships, Dues and Subscriptions 11,773 10,091 11,731 10,061 10,374 9,409 (652) -6.48% MyWave subscription - HR cancelled 20-98-6930 Special Dept Expense 13,391 19,057 14,703 20,072 15,694 22,644 2,572 12.81% Shredding 2-year backlog 20-98-6962 Board Expense - - - 2,500 1,250 2,500 - 0.00% 20-98-6970 Printing 379 2,722 132 1,200 609 2,375 1,175 97.92% Proposition 218 Notice 20-98-6996 Property Taxes 208 - - - - --
Sub-total $ 1,507,664 $ 1,872,664 $ 1,746,605 $ 1,936,967 $ 1,781,052 $ 2,180,776 $ 243,809 12.59% 20-98-8191 Transfer Out to Overhead Pool (96,494) (105,486) (75,497) (104,986) (104,986) (85,872) 19,115 -18.21% Total After Capitalization $ 1,411,170 $ 1,767,178 $ 1,671,108 $ 1,831,981 $ 1,676,066 $ 2,094,904 $ 262,924 14.35% FISCAL YEAR 2022-23 Schedule 9-14
9-15
Department of Water
Department: Overhead Allocation Pool
Fund: 20
Departments: 50-98
In FY 2008/09, the DWP adopted an accounting practice whereby direct and indirect costs may be capitalized as they are attributable to capital and system rehabilitation projects. The purpose of capitalizing direct and indirect costs is to ensure that capital asset costs are fairly stated on the DWP’s Balance Sheet. Staff can manage construction projects efficiently and at a lower unit cost than consultants because of their familiarity with DWP’s facilities. Actual project costing is calculated using timesheet data and the fully burdened costs are applied to each project. The overhead allocation pool for FY 2022/23 anticipates on-going staff efforts to support the Pipeline Replacement Project, meter replacements, and other construction projects.
Danielle D. McGee
Chief Financial Officer
Operations Maintenance Overhead Allocation Pool
FY 2021-22 FY 2021-22 FY 2022-23
Dept Overhead Allocation Pool
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
20-50-8191 Direct Labor - Dept 50 $ 18,107 $ 9,400 $ 2,554 $ 25,869 5,000 $ 4,804 $ (21,065) -81.43% Based upon expected effort 20-51-8191 Direct Labor - Dept 51 - - 7,598 - - - --
20-55-8191 Direct Labor - Dept 55 113,388 132,363 93,896 155,290 119,285 73,249 (82,041) -52.83% Based upon expected effort 20-59-8191 Direct Labor - Dept 59 41,896 82,490 107,841 218,044 100,000 128,381 (89,663) -41.12% Based upon expected effort 20-90-8191 Direct Labor - Dept 90 1,829 1,537 272 - - - -- 20-95-8191 Direct Labor - Dept 95 104,861 83,735 37,570 88,809 13,893 48,442 (40,367) -45.45% Based upon expected effort 20-98-8191 Direct Labor - Dept 98 96,494 105,486 75,497 104,986 104,986 85,872 (19,115) -18.21% Based upon expected effort Total $ 376,575 $ 415,011 $ 325,228 $ 592,998 $ 343,164 $ 340,748 $ (252,250) -42.54% Based upon expected effort FISCAL YEAR 2022-23
Schedule 9-16
$-
$1,000,000
$2,000,000
$3,000,000
$4,000,000
$5,000,000
$6,000,000
$7,000,000
$8,000,000
$9,000,000
Gross Operations and Maintenance Expenses
Administration
Customer Accounts
Water Operations
Customer Field Service
Transmission & Distribution
Conservation/Public Information
Water Production
Fiscal Year 2022-23 Schedule 9-19
10-1
Department of Water
Department: General Plant: Vehicles, Equipment and Facilities Improvements Fund: 10
Department: 59 and 98
In FY 2022/23, the DWP will be replacing a ½ ton pick-up, adding a new vacuum trailer that can accommodate large rocks and debris, and replacing a 30-year-old steam cleaner that is used to thaw frozen supply lines. Additionally, telephones that were purchased 2009 have become faulty (dropping calls and breaking-up) and will be replaced in FY 2022/23.
The DWP is working on a space plan for the office and yard that would improve safety, security, and provide greater indoor storage for essential equipment and inventory. Upon completion of the space plan, recommended improvements to the DWP’s yard and facilities on Garstin will be presented to the Board for consideration. The initial phase of construction is expected to start in FY 2022/23. We expect the first phase to focus on warehouse and yard improvements.
General Plant has no FTEs. Efforts related to vehicle and grounds maintenance are incorporated in the total FTE.
Danielle D. McGee
Chief Financial Officer
General Plant and Equipment Fund
(A) (B) (C)=(B)-(A) (C)/(A)
Fund General Plant FY 2021-22 FY 2021-22 FY 2022-23
FY 2018-19
Actual
FY 2019-20
Actual
FY 2020-21
Actual
Adopted
Budget Total Projected
Proposed
Budget Change % Explanation
10-00-6603 (gain) loss on disposal of assets $ 433,461 $ 47,584 $ 232,260 $ - $ 2,368 $ - $ - -- 10-59-9905 Machinery and Equipment 164,920 166,195 139,545 163,000 167,793 130,000 (33,000) -20.25% Replace 1/2 Ton Extra Cab; 30-year old steam
cleaner; acquire new Vac Trailer 3"
10-98-9905 Machinery and Equipment 8,546 7,992 4,950 150,000 105,162 8,228 (141,772) -94.51% IT Upgrades every 5 years; replacing 28 VoIP
phones (12-years old and failing)
10-98-9910 Capital Outlay - Software 100,814 72,512 53,028 - 52,000 - - -- 10-98-9915 Capital Outlay - Office Yard Improvements 13,588 73,794 550,000 4,900 450,000 (100,000) -18.18% Storage for heavy equipment; partial
rebudget from FY 21/22
Total $ 721,329 $ 294,283 $ 503,577 $ 863,000 $ 332,223 $ 588,228 $ (274,772) -31.84% FISCAL YEAR 2022-23
Schedule 10-2
Description Justification Expected Cost
1/2 Ton extra cab pick up Replace existing per replacement plan $ 45,000 Steam cleaner Replace 30 year old steam cleaner 5,000
Office/Warehouse Improvements - Construction
Warehouse expansion/equipment
storage - Rebudget from FY 21/22 450,000
Replace 4 Basic Phones Phones are 12 years old and failing 806 Replace 24 desk Phones Phones are 12 years old and failing 7,422 3" Vac Trailer
Existing 2" Valve & Vac Trailer is
incurring excess wear and tear from
large rocks 80,000
Capital Outlay - General Plant $ 588,228
Proposed Equipment Purchases and Projects
FISCAL YEAR 2022-23 Schedule 10-3
2022 Type Year VEHICLES DATE IDENTIFICATION # LIC. # # # HOURS Price Replacement Cost PUR. FUEL TRUCK MILEAGE Purchased 2019
Useful
Life in
years Age
% Estimated
of Useful
Life in years
Replacement
Cost Vehicles >
125% of EUL
light
commercial 2001 Ford F-250 12/00 1FTNX21S51EB48033 1087910 99609 01P01 112,401 28,013 40,000 10 21 210% 40,000 light
commercial 2001 Chev 2500 2/01 1GCHK29U91E255216 1057408 99604 01P02 1.3,472 30,286 40,000 10 21 210% 40,000 medium
commercial 2004 Ford F-550 4/04 1FDAF57P44EC70064 1181456 99794 04P02 117,615 45,374 78,000 10 18 180% 78,000 light
commercial 2005 Ford F-250 1/05 1FTSX21Y25EB57673 1207173 99799 05P01 112,794 24,410 40,000 10 17 170% 40,000 light
commercial 2006 Ford Ranger 10/05 1FTZR45E26PA17181 1225356 99601 06P01 91,672 20,541 37,000 10 16 160% 37,000 passenger
vehicle 2007 Ford Explorer 10/07 1FMEU73E27UA57874 1256860 99796 07E01 78,820 24,815 31,000 10 15 150% 31,000 light
commercial 2011 Ford F-350 2/11 1FT8X3B63BEB57867 1355811 99625 11P01 128,027 33,718 55,000 10 11 1.1 - light
commercial 2011 Ford F-350 Flatbed 2/11 1FTRF3B62BEB57866 1358705 99626 11P02 28,295 38,068 50,000 10 11 1.1 - light
commercial 2014 Ford F-150 11/14 1FTFX1EF8EKF78559 1444991 99627 14P01 85,047 26,400 37,000 10 8 0.8 - medium
commercial 2015 Ford F-550 (price w/o 08 utility bed) 3/15 1FDOW5HT9FEC82172 1468800 99701 15P01 54,217 49,364 78,000 10 7 0.7 - light
commercial 2016 Chev 1500 11/15 1GCVKNEC9GZ113399 1455620 99801 16PO1 81,650 33,400 38,000 10 6 0.6 - light
commercial 2016 Chev 1500 11/15 1GCVKNEC0GZ108544 1455619 99802 16P02 38,907 33,400 38,000 10 6 0.6 - light
commercial 2016 Chev 1500 11/15 1GCVKNEC7GZ113529 1455621 99803 16P03 63,698 33,400 38,000 10 4 0.4 - light
commercial 2017 Chev 1500 2/17 1GCVKNEC9HZ215612 1234578 99804 17P01 33,109 36,869 38,000 10 3 0.3 - light
commercial 2017 Chev 2500 3/17 1GC2KUEG9HZ218476 1516533 99805 17P02 47,154 44,716 55,000 10 3 0.3 - light
commercial 2017 Ram 1500 7/17 1C6RR7FTOHS820660 1524467 99806 17P03 52,560 35,763 38,000 10 3 0.3 - medium
commercial 2018 Ford F-550 (with utility bed) 3/18 1FDOW5HT5JEB31709 1410654 99628 18P01 28,888 77,158 78,000 10 2 0.2 - passenger
vehicle 2019 Chev Traverse SUV 9/18 1GNEVLKW4KJ143788 1402083 99807 19SUV1 8,187 30,459 31,000 10 1 0.1 - light
commercial 2019 Ford F-250 10/18 1FT7W2B65KEC61091 1520664 99811 19P01 17,273 39,120 40,000 10 1 0.1 - light
commercial 2019 Ford F-250 10/18 1FT7W2B67KEC61090 1520671 99810 19P02 12,402 39,120 40,000 10 1 0.1 - light
commercial 2019 Ford F-250 10/18 1FT7W2B67KEC61089 1520663 99809 19P03 17,324 38,795 40,000 10 1 0.1 - light
commercial 2020 Chev 2500 10/20 1GC5YNE70LF266296 1585395 99607 20P01 4,354 51,200 52,000 10 0 0 - passenger
vehicle 2020 Chev Traverse SUV 9/20 1GNEVGKW2LJ283962 1508669 99394 20SUV1 3,800 38,920 39,000 10 0 0 - light
commercial 2021 Chev Colorado 10/20 1GCGTCEN1M1116853 1508677 99611 21P01 9,612 39,054 40,000 10 0 0 - Sub Total $ 892,363 $ 1,091,000 $ 266,000
DEPARTMENT OF WATER & POWER VEHICLE LIST
Fiscal Year 2022-23
Schedule 10-4
2022 Type Year VEHICLES DATE IDENTIFICATION # LIC. # # # HOURS Price Replacement Cost PUR. FUEL TRUCK MILEAGE Purchased 2019
Useful
Life in
years Age
% Estimated
of Useful
Life in years
Replacement
Cost Vehicles >
125% of EUL
DEPARTMENT OF WATER & POWER VEHICLE LIST
Backhoe 1990 Case 580K 4/90 JJG0026171 344854 99621 90BH02 6,182 46,004 $ 103,000 20 32 160% 103,000 Backhoe 2008 Case 580K 6/08 N8C504673 598733 99608 08BH01 3,472 84,967 $ 103,000 20 14 70% - Backhoe 1998 Case 580SL 10/98 JJG0267836 1024063 99797 98BH01 4,990 62,064 $ 103,000 20 24 120% - Backhoe 2014 John Deere 310SK 9/14 1T0310SKLEE268653 1234579 99800 14BH01 2,027 88,500 $ 103,000 20 8 40% - Boring
Machine
Trailer 2001 Carson 5/01 4HSXUO8191C033055 1086136 N/A N/A N/A 1,115 2,000 20 17 85% - Cement mixer 1990 Stone 5/90 30017 453722 N/A N/A N/A 1,943 3,000 20 28 140% 3,000 Chlorine
Trailer 1995 Wells Cargo 10/95 1WC200D14S4023396 E952284 N/A N/A N/A 12,000 25,000 15 23 153% 25,000 Crane truck 1995 Chev (heavy commercial) 6/01 1GBM7H1J1SJ101116 1096620 99605 95C1 15,326 61,648 105,000 30 23 77% - Dump truck 1990 Chev Kodiak Dump Truck (Heavy) 4/90 1GBM7HIJILJ201251 114143 99619 90DT1 41,474 41,102 135,000 25 28 112% - Dump truck 2018 Peterbilt Dump Truck (Heavy) 8/17 2NP2HJ7X1JM466110 1528839 99600 18DT1 10,884 127,824 135,000 25 1 4% - Dump truck 2020 Peterbilt Dump Truck (Heavy) 7/19 2NP2HJ7X1LM675169 1572251 98012 20DT1 6,786 130,137 135,000 25 0 0% - Forklift 2015 Clark Forklift 4/15 P232L-0544-9822KF N/A N/A N/A 123 28,500 35,000 30 3 10% - Generator 1994 MD 65/F 7/94 939379 435904 N/A 94GEN3 150 19,568 53,000 20 24 120% - Generator 1994 MD 125/D 7/94 65567 435902 N/A 94GEN1 114 31,898 53,000 20 24 120% - Generator 1995 MD124 6/95 82769 447124 N/A 95GEN2 118 31,218 53,000 20 23 115% - Generator 2005 DCA 150 5/05 4AG3U17295C037340 580599 N/A 05GEN4 103 45,052 53,000 20 13 65% - Portable traffic
signal board 1997 Eclipse 3/97 9710B416 496961 N/A N/A N/A 4,965 8,000 15 21 140% 8,000 Portable traffic
signal board 2006 Hi way Safety Sign Board 4/06 1M9BMO91X6C570617 SE569606 N/A 06SBI N/A 18,264 22,000 15 12 80% - Pump NA Deutz NA 7574609 484800 N/A N/A 210 10,000 30,000 20 NA NA 30,000 Pump 1995 Cummins 10/95 1W9UE1325S1205044 E950553 N/A N/A 477 28,015 49,000 20 23 115% - Trailer 1990 Zieman 3/90 1ZCE29A26LZP15911 329834 N/A 90TR1 N/A 9,114 20,000 25 28 112% - Trailer 2015 Towmaster 6/15 4KNFT2021FL162331 1490784 N/A 15TR1 N/A 18,864 20,000 25 3 12% - Trailer 2019 Towmaster 10/18 4KNBF3027KL160654 1545389 N/A 19TR1 N/A 19,077 20,000 Trailer 1997 AZTEX shoring trailer 4/97 4ZBUE1413V0L10015 952956 N/A N/A N/A 1,611 3,200 25 21 84% - Trailer 1997 AZTEX Welding trailer 7/97 4ZBUE0820VL010017 952955 N/A N/A N/A 995 2,000 25 21 84% - Trailer
Compressor 1990 DWP Air Compressor #CP02 6/90 183674U90124 453719 N/A CP02 514 9,159 22,000 25 28 112% - Trailer
Compressor 1990 DWP Air Compressor #CP01 9/91 185076U90124 453720 N/A CP01 610 8,812 22,000 25 28 112% - Trailer
Compressor 2020 Multiquip Air Compressor #CP20 6/20 5SLBC1110LL029024 SE719543 99629 CP20 1 20,668 22,000 25 0 0% - Valve/ Vactor
Trailer 2014 EH Wachs 9/14 1E9PT151XDC297896 1455092 N/A 14V1 N/A 59,660 71,000 20 4 20% - Vactor Trailer 2016 EH Wachs 10/16 1E9PT1511GC297172 1234580 N/A 16V01 N/A 53,541 60,000 20 2 10% - Trailer 2021 Big Tex Trailer (Mini Excavator) 10/21 16V1C252XM4070657 4UK6544 N/A 21TR1 N/A 10,449 11,000 20 0.5 3% - MINI EX 2021 Case Mini Excavator 9/22 HHKEL32EE0003822 N/A 99812 21EX01 25 73,509 75,000 20 0.5 3% - Sub Total $ 1,160,243 $ 1,656,200 $ 169,000
GRAND TOTAL $ 2,052,606 $ 2,747,200 $ 435,000
Fiscal Year 2022-23
Schedule 10-4
ATTACHMENT 5
Budget
7/1/2022
Through
6/30/2023
Revenues:
Service Charges $ 8,245,227
Usage Charges 1,690,360
Standby Fees 128,896
Meter Installation Fees & Capacity Charges 799,355
Interest Income 14,608
Administration Fees & Other Income 141,944
Total Revenue 11,020,390
Grant Funding 42,750
Total Source of Revenues $ 11,063,140
Expenditures Summary
Operation & Maintenance
Water Production $ 1,353,965
Conservation/Public Information 345,679
Transmission & Distribution 1,115,292
Customer Field Service 953,300
Water Operations 1,005,390
Customer Accounts 1,268,602
Administration 2,180,776
Operations & Maintenance before Capitalized Costs 8,223,004 Less: Capitalized Costs (340,748)
Total Operations & Maintenance $ 7,882,256
Capital Expenditures
Capital Purchases - General Plant $ 588,228
Capital Improvements - Growth-related 35,338
Water Sustainability Fund 5,582
System Rehabilitation 3,326,282
Total Capital Expenditures $ 3,955,430
Debt Service
Low Interest Loans for System Improvements 1,068,055
Total Debt Service $ 1,068,055
Net Use of Reserves
Infrastructure Assets $ 247,465
Vehicles, Facilities, and Equipment 134,009
Use of Unrestricted Reserves (2,224,075)
Net Transfer From Reserves (1,842,601)
Total Use of Revenues $ 11,063,140
EXHIBIT A
Fiscal Year 2022/23 Budget
MONTHLY REPORTS
Year‐to‐Date (YTD) Period 10 Current Total Percent of YTD to Notes on Budget YTD Budget Budget Deviations
REVENUES
Property Taxes $4,510,600 $4,062,652 90% ($447,948) 1
Sales and Use Tax 2,824,000 2,399,894 85% (424,106) Transient Occupancy Tax 4,862,000 7,246,035 149% 2,384,035 2 Other Taxes 1,017,400 928,618 91% (88,782) Subventions 614,300 120,479 20% (493,821) 3 Building Permits and Fees 332,400 372,844 112% 40,444 4 Licenses and Permits 1,435,100 1,412,863 98% (22,237) 5 Current Service Charges 879,045 615,898 70% (263,147) 6 Other Revenue 408,240 326,310 80% (81,930) Interfund Transfers 1,245,290 1,145,697 92% (99,593) Appropriations from Reserves ‐ 200,000 0% (200,000) 7 Appropriations from Fund Balance ‐ 2,864,066 0% (2,864,066) 8 TOTAL REVENUES $21,192,441 $18,631,291 88% ($2,561,150)
EXPENDITURES AND ENCUMBRANCES
Management Services
City Council $235,100 $137,828 59% ($97,272) 9
City Manager 272,850 324,529 119% 51,679 10 Law Enforcement 5,389,100 4,049,059 75% (1,340,041) City Attorney 280,000 240,413 86% (39,587) Support Services 857,450 650,780 76% (206,670) Administrative Services 2,346,280 1,549,281 66% (796,999) 11 Public Services 4,057,107 3,153,856 78% (903,251) Tourism Management 1,400,900 1,084,268 77% (316,632) Planning & Inspections 1,762,390 1,409,647 80% (352,743) Contributions to Reserves ‐ ‐ 0% ‐
Interfund Transfers 4,591,264 928,175 20% (3,663,089) 12 TOTAL EXPENDITURES AND ENCUMBRANCES $21,192,441 $13,527,836 64% ($7,664,605) NOTES:
1 Revenue received via the property tax roll. Majority received semi‐annually in December and April. 2 Transient Occupancy Tax remittances due the month following the close of the payment period. Actual represents increase visitation through March. 3 Budget includes future MWD contribution for boardwalk maintenance. 4 Seasonal building permit activity.
5 Timing of annual vacation rental permit renewals.
6 Timing difference; Administrative allowance from the Successor Agency will be recorded in June. 7 Committed fund balance appropriations will be applied at year‐end. 8 Fund Balance appropriations will be applied at year‐end. 9 Timing difference. Budget includes sponsorship appropriation for community service programs. 10 Includes City Manager separation agreement.
11 Insurance premiums under budget and savings from position vacancies. 12 Interfund transfers for Capital Projects are processed periodically throughout the project cycle.
Monthly Budget Report ‐ General Fund
April 2022
83% of Fiscal Year Complete
1 of 4
Year‐to‐Date (YTD) Period 10 Current Total Percent of YTD to Notes on Budget YTD Budget Budget Deviations
REVENUES
Licenses and Permits $13,500 $13,935 103% $435 1
Current Service Charges 5,991,000 5,844,310 98% (146,690) 2 Other Revenue 40,000 9,357 23% (30,643) 3 Appropriations from Reserves ‐ 496,500 0% (496,500) 4 Appropriations from Fund Balance (277,304) ‐ 0% 277,304 5 TOTAL REVENUES $6,263,696 $5,867,601 94% ($396,095)
EXPENDITURES AND ENCUMBRANCES
Public Services $2,014,190 $1,712,976 85% ($301,214)
BBARWA Contract 2,831,000 2,873,085 101% 42,085 Contributions to Reserves ‐ ‐ 0% ‐
Interfund Transfers 1,418,506 436,591 31% (981,916) 6 TOTAL EXPENDITURES AND ENCUMBRANCES $6,263,696 $5,022,652 80% ($1,241,044) NOTES:
1 Seasonal permit activity.
2 Revenue received via the property tax roll. Majority received semi‐annually in December and April. 3 Year‐to‐date represents three quarters of interest earnings and lower interest rates. 4 Committed fund balance appropriations will be applied at year‐end. 5 Fund Balance appropriations will be applied at year‐end. 6 Interfund transfers for Capital Projects are processed periodically throughout the project cycle.
Monthly Budget Report ‐ Sanitation
April 2022
83% of Fiscal Year Complete
2 of 4
Year‐to‐Date (YTD) Period 10 Current Total Percent of YTD to Notes on Budget YTD Budget Budget Deviations
REVENUES
Service Charges and Other Revenue $3,637,200 $3,420,722 94% ($216,478) 1 Appropriations from Reserves ‐ ‐ 0% ‐ TOTAL REVENUES $3,637,200 $3,420,722 94% ($216,478)
EXPENDITURES AND ENCUMBRANCES
Public Services $1,128,740 $781,507 69% ($347,233) 2
Big Bear Disposal Contract 2,326,100 1,723,466 74% (602,634) Interfund Transfers 375,000 208,306 56% (166,694) 3 Contributions to Reserves ‐ ‐ 0% ‐ Contribution to Fund Balance ‐ (192,640) 0% 192,640 TOTAL EXPENDITURES AND ENCUMBRANCES $3,637,200 $2,713,278 75% ($923,922) NOTES:
1 Revenue received via the property tax roll. Majority received semi‐annually in December and April. 2 Under budget due to vacancies.
3 Interfund transfers for Capital Projects are processed periodically throughout the project cycle.
Monthly Budget Report ‐ Refuse
April 2022
83% of Fiscal Year Complete
3 of 4
Year‐to‐Date (YTD) Period 10 Current Total Percent of YTD to Notes on Budget YTD Budget Budget Deviations
REVENUES
Transient Occupancy Tax $1,620,000 $2,440,154 151% $820,154 1 Other Revenue 72,400 59,181 82% (13,219) Appropriations from Fund Balance ‐ 509,422 0% (509,422) 2 TOTAL REVENUES $2,201,822 $2,499,334 114% $297,512
EXPENDITURES AND ENCUMBRANCES
Interfund Transfers $2,201,822 $234,459 11% ($1,967,363) 3 TOTAL EXPENDITURES AND ENCUMBRANCES $2,201,822 $234,459 11% ($1,967,363) NOTES:
1 Transient Occupancy Tax remittances due the month following the close of the payment period. Actual represents increase visitation through March. 2 Fund Balance appropriations will be applied at year‐end. 3 Interfund transfers for Capital Projects are processed periodically throughout the project cycle.
Monthly Budget Report ‐ Measure Y
April 2022
83% of Fiscal Year Complete
4 of 4
Tourism Management Department
39707 Big Bear Boulevard, PO Box 10000, Big Bear Lake, CA 92315 • (909) 866-5831 • www.citybigbearlake.com March 2022 Vacation Rental
Compliance Report Summary
March 2022 Summary Number/$ % of Total
City Initiated Concerns 46 47%
Resident Concerns 51 53%
Total Concerns 97
Noise/Party/Spa 21 22%
Parking 28 29%
Over Occupancy 2 2%
No License 33 34%
No In‐person Check‐in 2 2%
Other (TOT, ads *, exterior sign, zoning) 11 11%
Citations Issued 34 35%
Citation Fines & Penalties $76,300
* Staff reviewing ads for compliance at renewal
March 2022 Concern Submission Platform
Total Concerns 97
Phone Call 32 33%
Web Form 7 7%
Email 5 5%
Mobile App 5 5%
Walk In 2 2%
City‐initiated 46 47%
Mar 2022 Supply Nights 82,749
Mar 2022 Demand Nights 29,385
Mar 2022 Occupancy Rate 36%
Occupied Nights per Complaint 576
% Occupied Nights with No Complaint 99.83%
Tourism Management Department
39707 Big Bear Boulevard, PO Box 10000, Big Bear Lake, CA 92315 • (909) 866-5831 • www.citybigbearlake.com Supply Nights March Demand Nights
2021 2022 % Chg 2021 2022 % Chg
83,482 82,749 ‐0.9% 42,494 29,385 ‐30.8%
Occupancy Rate**
2021 2022 % Change
51% 36% ‐29.4%
Average Daily Rate RevPAR*
2021 2022 % Chg 2021 2022 % Chg
$ 463 $ 496 7.1% $ 286 $ 224 ‐21.7% *RevPAR is Revenue Per Available Rental = ADR x Occupancy Rate **Source: Airdna - Includes all entire place properties listed on Airbnb and VRBO (incl. lodges).
Y‐over‐Y Through
March
Resident
Concerns
Nights
Booked
% with No
Concern
Reported
Booked
Nights Per
Concern
Concern Per
Night
Decrease YoY
2022 256 125,853 99.79% 492 ‐67%
2021 490 144,032 99.66% 294
Comparison ‐234 ‐18,179 0.13% 198
Tourism Management Department
39707 Big Bear Boulevard, PO Box 10000, Big Bear Lake, CA 92315 • (909) 866-5831 • www.citybigbearlake.com 82%
18%
0%
Citation Recipient
Owner
Guest
Agent
21 28
2 33
2 11
0 5 10 15 20 25 30 35
Noise/Party/Spa
Parking
Over Occupancy
No License
No In‐person Check‐in
Other (TOT, ads *, exterior sign, zoning)
Type of Concerns
Tourism Management Department
39707 Big Bear Boulevard, PO Box 10000, Big Bear Lake, CA 92315 • (909) 866-5831 • www.citybigbearlake.com * Staff reviewing ads for compliance at renewal.
33%
7%
5%
5%
2%
48%
Concern Submission Platform
Phone Call
Web Form
Email
Mobile App
Walk In
City‐initiated
22%
29%
14%
35%
Disposition of Concerns
No Violation Observed by Officer
Issued Verbal Warning
Issued Written Warning
Issued Citation
Reference Number Date Entered Status Disposition Concern Address Concern Type Concern Description Source Type Property Owner Name Summons Fine Total RAC‐2022‐00447 3/2/2022 In Progress Issued Citation 40110 MAHANOY LN Vacation Rental Leasing without a License Advertisement was brought to staffs attention. After investigation this VHR was found to be leasing two rentals with one license and have modified their exterior sign.
Email VALORE,RUSSELL $8,000
RAC‐2022‐00448 3/3/2022 Closed Issued Citation 42504 Alta Vista AVE Vacation Rental Advertising without a License This property is advertising with out a license and advertising free street parking.
Inspector Walkaround ESPINOSA,ROBERT & VILARDI‐ESPINOSA,RICA V $2,500 RAC‐2022‐00450 3/3/2022 In Progress Issued Citation 43005 MONTEREY ST Vacation Rental Advertising without a License This home doesn`t have a current vacation rental license.
It expired 2/1/22.
Inspector Walkaround Village Reservations $2,500
RAC‐2022‐00452 3/3/2022 In Progress Issued Citation 1289 BALSAM DR Vacation Rental Parking on Street or Yard AGENT REPORTS VR VEHICLE PARKED IN HIS CLIENTS DRIVEWAY.
Walk In PROPER PROPERTIES LLC $500
RAC‐2022‐00463 3/7/2022 In Progress Issued Citation 40565 BIG BEAR BLVD Vacation Rental Advertising without a License While looking through our rental scape records I came across this home advertising on Airbnb. The license
expired last year.
Inspector Walkaround HONG,SUN BE $2,500
RAC‐2022‐00472 3/10/2022 In Progress Issued Citation 40087 FOREST RD Vacation Rental Advertising without a License This home has been in the process of getting licensed since 10/5/2021 the home owner has not self certified and is currently advertising on Airbnb. there is also another ad on Booking.com that states Safari lodge Cabin has been
welcoming Booking.com guests since Jul 26, 2021.
Email MANYAGI,NJIHIAH DOMINIC $2,500
RAC‐2022‐00490 3/14/2022 In Progress Issued Citation 39305 CREST LN Vacation Rental Advertising without a License Ad is still noncompliant well after original comply by date of 2/1/22
Inspector Walkaround Mandy Goh $2,500
RAC‐2022‐00509 3/18/2022 Closed Issued Citation 518 VISTA LN Vacation Rental Advertising without a License this home was previously licensed with in 6 months and seems to be current with TOTs. I will be issuing a $1,100 fine for advertising with out a license. the owner must submit application for a permit with in 7 days or be cited again if the ads are not taken down.
Inspector Walkaround CALLEY,SETH & MOLLY $1,100
RAC‐2022‐00511 3/18/2022 In Progress Issued Citation 796 SILVER TIP DR Vacation Rental Advertising without a License advertising with out a license and advertising self check in. Inspector Walkaround ESQUERRA,CARMELITA TRUST $1,100 RAC‐2022‐00512 3/18/2022 Closed Issued Citation 409 NORTHERN CROSS DR Vacation Rental Noise/Party Loud music and yelling coming from garage. 1 Car parked streetside.
Inspector Walkaround Francesca Milhoan $1,000
RAC‐2022‐00514 3/19/2022 In Progress Issued Citation 351 GLENWOOD DR Vacation Rental Advertising without a License Vacation Rental sign still on attached to property.
Property is on 1 year ban from the vacation rental
program per Larry Vaupel.
Inspector Walkaround RUSSELL TRUST $2,500
RAC‐2022‐00516 3/19/2022 Closed Issued Citation 42343 PARAMOUNT RD Vacation Rental Leasing without a License Parking violations observed. Guests had no in‐person check‐in. Registration was closed for never making an
inspection appointment. Advertising without a license.
Inspector Walkaround CARNAVAL INVESTMENT INC $1,500
RAC‐2022‐00517 3/19/2022 In Progress Issued Citation 43218 SHEEPHORN RD Vacation Rental parking too many cars Too many cars. Inspector Walkaround ROMERO,ALAN & ALAN J $1,500 RAC‐2022‐00519 3/19/2022 In Progress Issued Citation 43201 SAND CANYON RD Vacation Rental parking too many cars Too many cars. Inspector Walkaround KOSHFAM,MOHAMMED $1,000 RAC‐2022‐00520 3/19/2022 In Progress Issued Citation 43368 DEER CANYON RD Vacation Rental Noise/Party Noise/amplified music Inspector Walkaround ALVA GONZALO & GRETCHEN LIVING TRUST (6/09) $0 RAC‐2022‐00523 3/20/2022 In Progress Issued Citation 736 ST MORITZ DR Vacation Rental Noise/Party RP reports loud spa activity and amplified music since 2am keeping her and her husband awake.
Phone Call PFISTER,FREDERICK W $1,000
RAC‐2022‐00527 3/20/2022 In Progress Issued Citation 271 BLUEBIRD CT Vacation Rental No Exterior Sign There is an exterior sign. However, this is a 4 bedroom house but the sign states 5 cars are allowed.
Web Form AvantStay Inc. $500
RAC‐2022‐00529 3/20/2022 Closed Issued Citation 409 NORTHERN CROSS DR Vacation Rental No In‐person Check‐in No in person check‐in or signed Good Neighbor Policy. reference RAC‐2022‐00512 for original call RAC. Notes
have been duplicated to this RAC.
Inspector Walkaround Francesca Milhoan $500
RAC‐2022‐00530 3/21/2022 Closed Issued Citation 628 MARIN RD Vacation Rental Advertising without a License This home is actively advertising ad renting without a permit. the license expired 8/23/2021. There are active ads on Airbnb and VRBO.
Inspector Walkaround BOHLAND,GINGER L $0
RAC‐2022‐00533 3/21/2022 In Progress Issued Citation 544 TEMPLE LN Vacation Rental Leasing without a License This property was discovered to have two separate listings for two separate living spaces on the property. The second listing is for a modified garage unit, which does not
contain an oven or stove. The second unit was not
inspected by the City, and is operating without a license.
Main property also advertises self‐check‐in, and false
occupancy information.
Inspector Walkaround Augustine and Melissa Perez $10,000 RAC‐2022‐00537 3/22/2022 In Progress Issued Citation 651 CHIPMUNK LN Vacation Rental Advertising without a License The license for this home expired on 12/27/2021. both the Airbnb ads and VRBO are still active.
Inspector Walkaround CHEUNG‐LIN FAMILY LIVING TRUST $2,500 RAC‐2022‐00539 3/23/2022 In Progress Issued Citation 742 SUMMIT BLVD & 744 SUMMIT BLVD Vacation Rental Advertising without a License The license for this home has expired 2/6/2022 and is still advertising. I am also able to book a reservation it seems.For this reason I will be issuing a citation for the amount of $1,100.
Inspector Walkaround ANZALONE,CHARLES $2,500
RAC‐2022‐00541 3/23/2022 In Progress Issued Citation 43606 YOSEMITE DR Vacation Rental No Exterior Sign Sign is incorrect states 6 cars when only 5 are permitted. Inspector Walkaround WINDSCHEFFEL,DENNIS & VICKI WINDSCHEFF $500 RAC‐2022‐00547 3/24/2022 In Progress Issued Citation 401 KNIGHT AVE Vacation Rental Advertising without a License This home is a repeat offender. the staff at the city has spoken to her and told her she may not rent on Airbnb.
Email OLSEN,IRENE D $13,000
Reference Number Date Entered Status Disposition Concern Address Concern Type Concern Description Source Type Property Owner Name Summons Fine Total RAC‐2022‐00548 3/24/2022 In Progress Issued Citation 443 ARROYO DR Vacation Rental Advertising without a License Ad is still non compliant issuing 2nd citation. Inspector Walkaround Nunez, Miguel $2,500 RAC‐2022‐00549 3/25/2022 In Progress Issued Citation 617 TIMBER LN Vacation Rental Advertising without a License Vacation Rental Advertising without a License and delinquent on their TOTs.
Inspector Walkaround CARREON,PEDRO V & GLORIA $2,500
RAC‐2022‐00556 3/26/2022 In Progress Issued Citation 43606 YOSEMITE DR Vacation Rental Noise/Party Over parking and amplified music. Inspector Walkaround WINDSCHEFFEL,DENNIS & VICKI WINDSCHEFF $1,000 RAC‐2022‐00557 3/26/2022 In Progress Issued Citation 43606 YOSEMITE DR Vacation Rental Parking on Street or Yard AGENT NOT RESPONDING TO CALL FOR VIOLATION MITIGATION.
Inspector Walkaround WINDSCHEFFEL,DENNIS & VICKI WINDSCHEFF $500 RAC‐2022‐00565 3/26/2022 In Progress Issued Citation 43511 PRIMROSE DR Vacation Rental Noise/Party REPORT OF AMPLIFIED MUSIC. Phone Call RIOS,MARIA F $1,000 RAC‐2022‐00570 3/27/2022 In Progress Issued Citation 43606 YOSEMITE DR Vacation Rental parking too many cars 2ND CITATION Inspector Walkaround WINDSCHEFFEL,DENNIS & VICKI WINDSCHEFF $1,000 RAC‐2022‐00571 3/27/2022 In Progress Issued Citation 43606 YOSEMITE DR Vacation Rental parking too many cars OVER PARKING LIMIT. Inspector Walkaround WINDSCHEFFEL,DENNIS & VICKI WINDSCHEFF $500 RAC‐2022‐00575 3/29/2022 In Progress Issued Citation 201 ELGIN RD Vacation Rental Advertising without a License this home expired in January and is still advertising and booking reservation. They haven`t started the licensing process and its been more than 30 days.
Inspector Walkaround MARTINEZ,AUSTYN & FLORES,JESUS $2,500 RAC‐2022‐00577 3/30/2022 In Progress Issued Citation 732 CONKLIN RD Vacation Rental Advertising without a License This home is advertising without a license and has not started the renewal process. The Airbnb ad is still taking reservations and has some bookings for the month ofApril.
Inspector Walkaround FRANKLIN,JOYCE F TRUST $2,500
RAC‐2022‐00581 3/31/2022 In Progress Issued Citation 508 VISTA LN Vacation Rental Advertising without a License This home expired 12/12/2021. The ad is still up and has reservations for April. This is a clear violation and I will be citing the owner $1,100.00 there are also reviews for the month of January 2022, February 2022, and march 2022.this gives me reason to believe that this home is also renting how ever we will only be citing the owner for
advertising without a license. also this home is advertising free street parking. per our city ordinance there is
absolutely no street parking for vacation homes.
Inspector Walkaround VILLEGAS,JOSE M $1,100
Total Fines Imposed $76,300
* Citations are subject to appeal and a 3rd party adjudication hearing. ** Concern type is the original concern reported. Citations may have been written for different violations than originally reported.
Row Labels Count of Concern Type**Vacation Rental Advertising without a License 17 50% Vacation Rental Leasing without a License 3 9%
Vacation Rental No License 0 0%
Vacation Rental Noise/Party 5 15%
Vacation Rental Parking on Street or Yard 2 6%
Vacation Rental parking too many cars 4 12%
Vacation Rental Spa after 10pm 0 0%
Vacation Rental No Exterior Sign 26%
Vacation Rental No In‐Person Check‐In 1 3%
Citations Issued 34 100%
Date Rec'd Details of Request Requesting Party Response Date Outcome of Request Total Logged Staff
Time (estimated)
Expense for IT
Support &
Legal
Assistance
(estimated)
NOTES
17-Sep-21
various items, including:
correspondence between
Councilmember Lee and other
Councilmembers/staff/DWP Board
Members; Councilmember Lee
FPPC Forms; all public record
requests received and materials
produced; all PRA requests
submitted by Councilmember Lee;
expense report information re:
Councilmember Lee
Tara Paul - Allen
Matkins Leck Gamble
Mallory & Natsis LLP
Rolling
Production
PENDING: Rolling
Production/ Letter
requesting extension for
determination letter sent
via email on 9/27/21 -
FPPC forms sent on 9/27 ;
Determination letter sent
on 10/11/21 &
subsequent letter with
additional documents
sent on 10/12/21;
production of records
sent 11/12/21; 12/9/21;
1/13/22; 2/11/22;
3/17/2022, 4/21/2022;
5/27/2022
BBK is assisting
with this
request
NEXT PRODUCTION
TO BE SENT ON:
7/1/2022
25-Jan-22
ALL WRITTEN CORRESPONDENCE
from personal & public email
accounts addressed and sent from
Councilmen Alan Lee for the period
of 12/1/20-1/27/22 & A detailed
accounting of how many public
records requests have been filed
by Alan Lee for the period of
12/1/2020-1/27/22 and the
expense incurred by the City of Big
Bear Lake for time, labor and
materials of city staff for
processing these requests
Patrice Duncan
PENDING - initial
response letter sent on
2.2.2022 - rolling
production - production
sent on 2.25.2022;
7 hours (so far)
Intelesys (IT)
support:
$202.24
May 2022 Records Request Log
Below is a list of records requests that have either been received during the month of May, completed during the month of May or are considered as "rolling productions" in which responsive documents have been sent/will be sent during the month of May. 1-Feb-22
Please provide access to all
permits and permit applications
for fireworks/pyrotechnics
discharged over or adjacent to Big
Bear Lake for the last five years;
Please provide access to all
communications (including emails)
regarding grants or expenditure of
funds toward fireworks events
over or adjacent to Big Bear Lake
(including the July 4th fireworks)
for the last five years;Please
provide access to any
environmental review documents
(including CEQA documents)
associated with fireworks events
over or adjacent to Big Bear Lake.
Livia Beaudin
Rolling production: first
production of records
sent on 2/25/22;
3/21/2022; 5/23/2022
2 hours NEXT PRODUCTION:
6/23/2022
10-Feb-22
all email communication to and
from Alan Lee, Rick Herrick,
Randall Putz, Perri Melnick,
Bynette Mote, and Frank Rush
from 1/1/2000-2/10/2022; all text
message exchanges between the
above individuals between
1/1/2000-2/10/2022
American Institute of
Quality Public Service
Rolling production:
production of records
sent on: 3/10/2022
7 hours (so far) NEXT PRODUCTION:
PENDING
7-Mar-22
emails/letters/notes, etc between
Council and the City Manager and
Judi Bowers from 8.1.2021-
3.7.2022; Ryan Orr between
1.4.2022 - 3.7.202; between Mote
and Lee 8.1.2021-3.7.2022; and
Mote and Beth Wheat 8.1.2021-
3.7.2022
Dennis Large
PENDING; first
production sent on
4.19.2022
2.5 hrs
Intelesys (IT)
support:
$202.24
NEXT PRODUCTION:
6/23/2022
17-Mar-22
documents & communications
between Frank Rush &
Councilmember Lee relating to
behavior, staff workload &
attempts to schedule meetings;
internal documents &
communications to staff by frank
rush and erica stephenson related
to handling document requests
for/by Councilmember Lee
Dennis Large
Rolling Production:
production sent on
5/11/2022
4.5 hours NEXT PRODUCTION:
6/23/2022
14-Apr-22
all documentation relating to the
Castle Rock Trailhead
Improvements Project & Parking
Lot
Lupe Lugo Rolling Production 3 hours
Intelesys (IT)
support:
$445.44
NEXT PRODUCTION:
PENDING
4/22/2022 list of cuttent "house cleaning"
business licenses Kathy Klawiter 6-May-22
active list sent sent via
email 20 mins
4/23/2022
(Sierra Blue Suites)Building plans
for 563/573 Lynn Road - pool
building and demo history; written
documentation that the pool at
this site was never demolished
Fonda Hoover 12-May-22 records sent via email 1.5 HOURS 4/25/2022
documents related to CEQA
Negative Declaration regarding
“Shadow Mountain Investments
SubdivisionTentative Tract Map
2003-217 (No. 16611), Conditional
Use Permit 2003—218, and
Variance 2003-359 (10/26/2004)
Lupe Lugo 10-May-22
Mitigated Negative
Declaration docs sent via
email
4 hours
4/25/2022
41268 & 41250 Big Bear Boulevard;
business license, conditional use
permit and plot map
James Dubuque 6-May-22
one business license
discovred; sent via email 25 mins
4/26/2022
all records and permits for 1362
Balsam Drive including any survey
on file
Jeff Holoubek 18-May-22 records sent via email 1 hour
4/27/2022
42126 & 42140 Big Bear Boulevard -
building records and permits;
certificates of occupancy
Estella Villacorta PENDING
4/27/2022 572 Ponderosa, addition permits Brian McGee 5.12.2022 no "bedroom addition"
permit located, requestor
was sent a garage
conversion and car port
addition permit
30 mins
4/27/2022
42810 Willow Avenue;
documentation for any open code
compliance case, any open or
expired permits that require
action, as well as any special
assessments (i.e. unsafe building,
demo work), including but not
limited to any other unrecorded
municipal liens or violations
Manobala
Maruthachalam 10-May-22 two permits discoveredsent via email 30 mins 4/28/2022 current employee/staff contact
information
Sales Force/ Keana
Meade 5/10/2022 employee list sent via
email
4/28/2022 41471 Comstock Lane; permits Van Effner 10-May-22 permits sent via email 1 hour 5/2/2022 40172 Esterly; permits Suzette Guyette 12-May-22 two permits sent via email 15 mins
5/2/2022
IRIS DRIVE DEMO PROJECT; payroll
records and fringe benefit
statement
Center for Contract
Compliance 23-May-22
records sent via email -
redacted SSNs 30 MINS
5/2/2022 232 Santa Clara; set of plans Jay Horan 12-May-22
NO PLANS ONLY
BUILDING PERMITS
LOCATED - permits sent
via email
45 mins
5/3/2022 43101 Sunset Drive; permitting
records Gregory Reynolds 20-May-22 records sent via email 1 hour 5/3/2022
Email from Alan Lee to Erica
Stephenson regarding Mr. Lee's
Facebook page
Patty Hafen 10-May-22
email not disclosable;
protected under attorneyclient privilege10 mins
5/6/2022
428 Tyrol Lane; all building permits
issued to this address - especially a
permit to convert the lift above the
garage into a room & bathroom
Maritza Santillan 20-May-22
responsive records sent
via email - original
building records may be
with the County
1 hour
5/10/2022 Councilmember Lee's FPPC
Documents Kendi Segovia 20-May-22
FPPC Documentation
sent via email 1 hour
5/12/2022 permit for a retaining walls on
either 558 Wren or 530 Wren Suzette Guyette 23-May-22 no responsive records 15 mins 12-May-22
42810 Cedar Avenue, building
plans and permits - include plot
map of the area with property
lines
Patrick Welch PENDING
16-May-22 510 Timber; any and all archived
building permits Corey Fox PENDING
18-May-22 39471 Big Bear Blvd; all building
records Mark Smith PENDING
18-May-22
39267 Willow Landing: evidence of
approved, completed and
permitted electrical panel and
exterior siding
Michael Correia PENDING
19-May-22
records showing: number of STRs
in Big Bear Lake, number of fulltime residents in BBL, and number of unoccupies homes in BBL
Patty Hafen PENDING
19-May-22
901 Oriole; building permits, stop
work orders, notices of violations,
citizen complaints
Jim Delperdang CANCELED via email on
5/24/2022
24-May-22
596 Lucerne; building and
engineering plans and permits,
including any stamped structural
plans for the building
Alyssa Golden PENDING
25-May-22
all publicly disclosable documents
and communications submitted by
proponents and all related
communications between City
Clerk and ROV. In short, entire file
related to this matter (STR
Initiative)
Alan Lee 25-May-22 redacted emails provided
31-May-22 43529 Primrose Drive, permit for
additional structure on property Keith & Lily Bindloss PENDING Department of Water, City of Big Bear Lake
41972 Garstin Drive, P.O. Box 1929 · Big Bear Lake, CA 92315-1929 · Phone 909/866-5050 · Fax 909/866-3184 · www.BBLDWP.com This institution is an equal opportunity provider and employer.
DEPARTMENT OF WATER
Service, Quality, Community
DATE: May 24, 2022
TO: Jeff Mathieu, Interim City Manager
FROM: Reginald A. Lamson, DWP General Manager
RE: DWP Monthly Update – April 2022
SERVICE DELIVERY
Water services that were provided April 1, 2022 to April 30, 2022:
15,883 Customers provided with water service.
991 Field service calls completed.
3 Main leak repaired.
5 Main leaks year-to-date 2022 5 Main leaks year-to-date 2021 3 Service leak repairs
11 Service leaks year-to-date 2022 14 Service leaks year-to-date 2021
41.26 Million gallons produced by wells.
$766,543 Processed in billings.
8,778 Accounts processed in billings.
2,345 Number of customers on E-bill
100 New Accounts (includes tenant turnover).
10.300 Equivalent Dwelling Units (EDU) added to the water system. $1,019,495 Total Gross receipts processed.
BOARD MEETINGS:
The following was approved by the Board of Water and Power Commissioners at a Regular Board Meeting on April 26, 2022:
• The Board recommended the City Council adopt a resolution for the Water Standby Charges of $53 for Fiscal Year 2022/23 and authorize the charge to be placed on the tax rolls for collection. • The Board adopted Resolution No. DWP 2022-05 supporting the USBR FY22 Grant Funding application for the Pontell Hydropneumatic System.
• The Board adopted Resolution No. DWP 2022-06 supporting the USBR FY22 Grant Funding application for the 6th Lane Pipeline Replacement Project.
• The Board rescinded the Declaration of Shortage Level 1 from the WSCP and the revised WSCP be brought back to the Board for consideration in ninety days.
• The Board adopted Resolution No. DWP 2022-07 Opposing Ballot Initiative #21-0042A1 - The Taxpayer Protection and Government Accountability Act.
City Manager’s Report
May 24, 2022