Agenda packet, regular meeting — Big Bear Lake City Council, June 11, 2025 (part 2 of 2)

This map was developed using data products such as parcel and city boundaries provided by 0 ©
2 In late 2005 to be effective in 2008, the California Building Commission adopted California Building Code Chapter 7A local government agencies. In certain cases, this includes copyrighted geographic information. Miles requiring new buildings in VH FHSZs to use ignition resistant construction methods and materials. These new codes include provisions to improve the ignition resistance of buildings, especially from firebrands. The updated very high fire The maps are for display purposes only - questions and requests related to parcel or city hazard severity zones will be used by building officials for new building permits in LRA. The updated zones will also be 0 3 used to identify property whose owners must comply with natural hazards disclosure requirements at time of property Kilometers sale and 100 foot defensible space clearance. It is likely that the fire hazard severity zones will be used for updates to boundary data should be directed to the appropriate local government entity. the safety element of general plans.
f c map s based on a geograph c n i t t i CAL F RE recommenda i Projec Sca
This speci i i i i format on system da ase that dep cts final I t ons tion Al bers, NAD 1983 for Very High FHSZs within the local jurisdiction. The process of finalizing these boundaries involved an extensive local review process, the details of which are available at http://frap.cdf.ca.gov/projects/hazard/btnet/ (click on "Continue le 1: 16,000 as guest without logging in"). Local government has 120 days to designate, by ordinance, very high fire hazard severity zones within its jurisdiction after receiving the recommendation. Local government can add additional VHFHSZs. at 36" x 36" There is no requirement for local government to report their final action to CAL FIRE when the recommended zones are adopted. Consequently, users are directed to the appropriate local entity (county, city, fire department, or Fire October 29, 2008 Protection District) to determine the status of the local fire hazard severity zone ordinance.

The State of California and the Department of Forestry and Fire Protection make no representations Arnold Schwarzenegger, Governor, MAP ID: FHSZL_c36_BigBearLake or warranties regarding the accuracy of data or maps. Neither the State nor the Department shall be State of California liable under any circumstances for any direct, special, incidental, or consequential damages with Mike Chrisman, Secretary for Resources, respect to any claim by any user or third party on account of, or arising from, the use of data or maps. The Resources Agency Ruben Grijalva, Director, Obtain FRAP maps, data, metadata and publications on the Internet at http://frap.cdf.ca.gov Department of Forestry and Fire Protection DATA SOURCES For more information, contact CAL FIRE-FRAP, PO Box 944246, Sacramento, CA 94244-2460, (916) 327-3939. CAL FIRE Fire Hazard Severity Zones (FHSZL06_3) Item 2.5
Attachment 2
From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #215: Fire Hazard Severity Zones Comments Date: Friday, April 11, 2025 10:03:42 PM
First name: Elizabeth
Last name: Maxwell
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 805 Riverside Ave
City: Sugarloaf
ZIP / Postal code: 92386
What's on your mind?: My neighbor with all the biscuits of wood in his back you with pine needles.

Item 2.5
Attachment 3
From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #216: Fire Hazard Severity Zones Comments Date: Saturday, April 12, 2025 2:23:01 PM
First name: Norman
Last name: Reinik
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 388Crater Lake Road
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: As a student of Big Bear history, I have yet to hear of any house, or similar structure, as ever having been lost to a wildfire. As insurance rates are supposed to be based chiefly on loss ratios, why are we paying the same high fire insurance rates as foothill communities where homes seem to be lost to wildfires almost every year? From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #217: Fire Hazard Severity Zones Comments Date: Sunday, April 13, 2025 10:21:39 AM
First name: Katherine
Last name: Blanc
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 39582 Forest Road
City: Big Bear Lake, CA
ZIP / Postal code: 92315
What's on your mind?: I disagree with the sudden reclassification of our south shore neighborhood from low hazard (white) to very high hazard severity (dark red).

While the risk may have increased to moderate (yellow), the southwestern area does not constitute the highest risk if you consider WIND-DRIVEN wildfires from the East and North (Santa Ana winds). The northern and eastern areas of Big Bear Valley are at great risk of Santa Ana wind-driven ember cast.

The southern and western areas of Big Bear Valley are not exposed to Santa Anas from the forest – the lake serves as a buffer zone.

Fires from the south and west creep from fuel-to-fuel, rather than ember-casting miles ahead.

I urge you to factor in Santa Ana winds and reassess that the highest hazard risk is to Big Bear's NORTHERN and EASTERN areas, rather than the southwestern areas.

From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #218: Fire Hazard Severity Zones Comments Date: Sunday, April 13, 2025 11:12:15 AM
First name: Katherine
Last name: Blanc
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 39582 Forest Road
City: Big Bear Lake, CA
ZIP / Postal code: 92315
What's on your mind?: ** Please DELETE the previous email I submitted today (do not forward for comment). ** I was instead able to email Mr. Barkley (CalFire) directly. Thanks! From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #219: Fire Hazard Severity Zones Comments Date: Monday, April 14, 2025 9:10:23 AM
First name: Katherine
Last name: Blanc
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 39582 Forest Road
City: Big Bear Lake, CA
ZIP / Postal code: 92315
What's on your mind?: Re: Fire Hazard Severity Zones
I disagree with the sudden reclassification of our south lake shore neighborhood from low hazard (white) to very high hazard severity (dark red).

The northern and eastern areas of Big Bear Valley are at truly great risk of ember cast from devastating northeast winds (Santa Anas).

In contrast, the southern and western lake shore peninsulas of Big Bear Valley have much lower risk of embers from Santa Anas – the lake serves as a wide buffer zone.

Wildfires originating from the valley's south and west, on sea breezes, have historically burned from fuel-to-fuel rather than ember-casting miles ahead.

I urge you to factor Santa Ana winds in determining that the highest hazard severity risk is to Big Bear Valley's northern and eastern areas. Using the same criteria, please consider lowering the hazard severity of our southwestern lake shore peninsulas – if not to their recent low hazard risk (white), then perhaps to moderate (yellow).

From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #220: Fire Hazard Severity Zones Comments Date: Monday, April 14, 2025 4:29:40 PM
First name: Chris
Last name: Molinari
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 463 Catalina Road
City: Big Bear Lake, CA
ZIP / Postal code: 92315
What's on your mind?: It appears the new line cuts through my lot at 463 Catalina… very unfair… spent thousands of dollars when I bought the place to remove big/old/hazardous trees… my cabin sits atop a sparse hill, we added fire retardant siding to the cabin, we practice fire hardening, AND there is a water hydrant right accross the bottom of our driveway. Many of the properties closer to the lake are so much more hazardous than my property, yet somehow their fire danger is rated less? I can’t imagine anyone walking up Catalina, passing all those tinderboxes, and getting to my property and concluding “right here is where it gets really hazardous for fire danger.” Can someone please take a look at this? From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #221: Fire Hazard Severity Zones Comments Date: Monday, April 14, 2025 7:46:22 PM
First name: Scott
Last name: Poster
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 42820 Timberline Trail
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: Our property is split in half between zones. Most of the structure appears to be out of the zone. How does this affect us? From: City of Big Bear Lake
To: City Clerk
Subject: New Submission #222: Fire Hazard Severity Zones Comments Date: Monday, April 14, 2025 9:03:22 PM
First name: John
Last name: Walser
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 756 Pine Knot Avenue
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: Please identify my Fire Hazard Severity Zone.

Thank you.
1 Erica Stephenson
From: City of Big Bear Lake <[email protected]> Sent: Wednesday, May 21, 2025 4:57 PM
To: City Clerk
Subject: New Submission #240: Fire Hazard Severity Zones Comments First name: Jeanne
Last name: McCabe
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 40691 Beaver Lane
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: Hard to believe we are very high. Surrounded by streets and flat lots right next to Moderately high. Makes you wonder how they determined the boundaries. 1 Erica Stephenson
From: City of Big Bear Lake <[email protected]> Sent: Friday, May 23, 2025 10:10 AM
To: City Clerk
Subject: New Submission #242: Fire Hazard Severity Zones Comments First name: Karla
Last name: Kellems
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 39515 Big Bear Blvd.

City: City of Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: The fire problem is with the houses, and building codes, not the trees. The higher density of houses in the area the higher probability of a catastrophic fire. Most houses in the CBBL are made up of dry wood, seasoned for many years. Most houses are within 6-8 feet from each other, radiant heat from one house will just catch the next one on fire. Here’s the kicker. Tall trees are full of water, trunks over 50%, leaves and needles over 90%. Tall trees also block wind. Take a look at the USFS Investigation of the Grass Valley Fire 2007. They concluded that the houses caught on fire due to radiant contact from another house on fire, not the trees. Looking at the aftermath, while many house burned, large trees around the houses survived, because Guess what! They’re full of water. The Trees are not the bad guys here, it’s the houses! You keep cutting down all the large trees you make fire danger worse.

Here’s the caveat! No amount of defensible space, cutting down trees, fire resistant building material, water, etc…around houses is going to protect them from a wind driven fire. No one can stop the wind but God! Line Fire, not a wind driven fire, even though it created its own weather with a Pyrocumulus cloud.

What made it difficult to control was the terrain, however not as catastrophic as it could have been had it been a wind driven fire. Does thinning the Forest out in the middle of no-where help control and prevent fire? Take a look at the 2N01 off the 330, USFS thinned/logged and removed a lot of the Knob Cone Pines.

The aftermath was the few Knobcone Pines they left started to die, reason! There were no more pioneer species to control soil temp, put nutrients back in the soil, and control erosion. Then the Line Fire came right through that area without stopping, increasing in intensity due to the dead standing fuel. That thinning/logging project was a waste of money and time. So, what is the solution? Don’t listen to your politicians they are not scientists. Take the time to look at the research and science. First, don’t buy a house unless you have at least 100’ defensible space surrounding it. And make sure to fire scape your defensible space. Here’s the problem, the houses that are within less than 100’ of the National Forest are screwed! Because the USFS doesn’t have a good “neighbor policy” to allow private property owners the ability to fire scape their 100’ defensible space within the National Forest. However, private land owners like the San Bernardino Mountains Land Trust due have a “good neighbor” policy, and will make sure that all homes that come within 100’ of SBMLT Preserves/Reserves that want their defensible space will get it, and SBMLT Staff will do the work for FREE on SBMLT lands. In fact SBMLT just finished a defensible space / Fuels Reallocation project on the Pebble Plain Ecological Reserve, some of which is in CBBL jurisdiction. Second, harden your home with screens on vents, non-flammable materials, clean out your gutters and clean off your roofs, etc..,No brainer, Right! Third, have an alternative water source, swimming pool/ jacuzzi, water tank, etc…. Because once everyone starts putting their straws in the water system, you’ll have low pressure, and little water. It’s called being sustainable. Fourth, put your utilities underground, if water/gas/sewer can do it then why can’t the electrical company do it! Remember, over 2 90% of catastrophic fires are man made! We are the bad guys, not the trees! Fifth, think about home selection. Select a home that’s not in a area that burns every 20 years, like the front countries South facing slopes. Select a home surrounded by big boulder, guess what boulders don’t burn. Select a home that has a fire hydrant near by. Select a home that goes street to street. Streets don’t burn, it increases your defensible space. Sixth, buy fire insurance, the probability your home is going to burn in the mountains is pretty high. Protect your investment. And most importantly, GET OUT OF DODGE. Get out before evacuations are mandatory, and be prepared for an evacuation.

I can go on and on, since I’ve done the research on this. Hey, and guess what? I have a degree in Fire Technology, and have been studying fire behavior for over 2 decades. I can talk your ear off about this subject.

One last thing. Fire spreads faster through dry grasses than it does through trees. By cutting down the trees, you’ve just opened up the canopy for non-native grasses like Cheat Grass to grow, creating a supper highway to spread fire. Think about it, when doing a thinning project spread wood chips over areas that are exposed to sun. Follow up every year in early spring to remove non-native invasive grasses before they go to seed. Hit me up if you care about fire prevention. 1 Erica Stephenson
From: City of Big Bear Lake <[email protected]> Sent: Wednesday, May 28, 2025 11:41 AM
To: City Clerk
Subject: New Submission #243: Fire Hazard Severity Zones Comments Follow Up Flag: Follow up
Flag Status: Completed
First name: Scott
Last name: Witter
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 42714 Edelweiss Drive
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: How can my property be split right down the middle between "High" and " Very High"? Based on the map, I believe it is appropriate that my entire parcel should be in the "High" category.
1 Erica Stephenson
From: City of Big Bear Lake <[email protected]> Sent: Friday, May 30, 2025 8:55 AM
To: City Clerk
Subject: New Submission #244: Fire Hazard Severity Zones Comments First name: Norman
Last name: Reinik
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 388 Crater Lake Road
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: It seems strange to me that Big Bear is considered a high fire risk area when there has never been a house or commercial structure lost to a wild fire. 1 Erica Stephenson
From: City of Big Bear Lake <[email protected]> Sent: Friday, May 30, 2025 9:04 AM
To: City Clerk
Subject: New Submission #245: Fire Hazard Severity Zones Comments First name: Jeffrey
Last name: Fullerton
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 40629 Ironwood
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: The LRA area maps seem to be much more thoughtful than the 2007 -2011 maps.

The Line Fire showed us the value of vegetation management in controlling wild fires. The new LRA designations seem to take into considerations the relative defensibility of commercial areas but could do much more to reflect the same in residential areas. Why should neighborhoods with good streets and fire fighting infrastructure and/or that are not directly abutting open forest land be classified the same as those neighborhoods that area? There should be a classification to reflect the relatively lower risk of more protected communities and reward those of us clear brush and do vegetation management around our homes.
1 Erica Stephenson
From: City of Big Bear Lake <[email protected]> Sent: Friday, May 30, 2025 10:26 AM
To: City Clerk
Subject: New Submission #246: Fire Hazard Severity Zones Comments First name: Irv
Last name: Jones
Email address: [email protected]
Confirm Email address: [email protected]
Street address: 41815 Chalet Ln
City: Big Bear Lake
ZIP / Postal code: 92315
What's on your mind?: I would think that the homes below the Snow Summit resort would not be in the highest risk zone. First, there is the large parking lot that serves as a fire break between the mountain brush and this area of homes. Second, the ski runs also serve as fire breaks. Third, the resort has snow making equipment that can be turned on to spray water to fight a fire coming from the south. The Cal Fire map doesn't seem to account for any of these advantages.

Service, Quality, Community
DATE: June 11, 2025
TO: Honorable Mayor and City Council Members
FROM: Erik Sund, City Manager
PREPARED BY: Reginald A. Lamson, DWP General Manager
RE: DWP Water Standby Charge Assessment for FY 2026
Background:

In 1990, the Department of Water and Power (DWP) Board of Commissioners and the City Council first approved a “water standby charge” for parcels without water service that have DWP water lines available to them. Each parcel of land, under one acre, is charged one water standby charge and parcels over one acre are charged a water standby charge for each seventy-five feet of frontage with water lines. The total charge does not exceed one water standby charge multiplied by the total number of acres comprising the parcel.

The initial water standby charge was set at $30, which was increased to $53 in 1992 and has remained unchanged since. There are 2,164 affected parcels in DWP’s service area.

At a regular meeting on April 22, 2025, DWP’s Board of Commissioners adopted a motion recommending that City Council place water standby charge assessments for fiscal year 2026 on the City’s general property tax roll for collection.

Attached for City Council consideration is a proposed resolution assessing DWP’s $53 water standby charge for fiscal year 2026 and placing the assessed fees on the City’s general property tax roll. Also attached for Council information is the fiscal year 2026 Water Standby Charge Report.

Financial Impact:

Water standby charges will provide revenue of $119,727 to DWP for fiscal year 2026. This assessment is $1,908 or 2% less than the fiscal year 2025 assessment of $121,635. The total number of parcels assessed decreased by 38 during fiscal year 2025 as the parcels were connected to DWP’s system. Standby revenues reduce water rates paid by connected customers and are primarily used to offset debt service costs.

Recommendation:

Adopt the attached resolution and receive and file the attached report on water standby charges directing that such charges be assessed and collected on the City’s general property tax roll.

Attachments: 1. Proposed Resolution

2. Standby Charge Report
Item 2.6
RESOLUTION NO. 2025-XX

RESOLUTION ADOPTING A WRITTEN REPORT REGARDING WATER
STANDBY CHARGES FOR FISCAL YEAR 2025-26 AND DIRECTING

THAT BIG BEAR LAKE DEPARTMENT OF WATER AND POWER

STANDBY FEES BE COLLECTED ON THE TAX ROLL
WHEREAS, the Board of Commissioners of the City of Big Bear Lake Department of Water and Power (DWP) recommends the assessment of water standby fees by the City Council for FY 2025- 26; and
WHEREAS, the proposed fee for FY 2025-26 remains $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 1991-92; and WHEREAS, revenues generated by this fee are used to partially fund debt service associated with the water system.

NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Big Bear Lake:

1. Findings.
(a) Pursuant to Section 5471 of the Health and Safety Code, the City Council of the City of Big Bear Lake (the "City") on June 11, 2025, initiated proceedings to assess 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.

Item 2.6
Attachment 1
(f) Pursuant to Health and Safety Code Sections 5473.1 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 comments were heard and considered.

2. Acceptance 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 Fiscal Year 2026, and all such charges are correct and proper.

3. Collection of Charges. Water standby charges for fiscal year 2026 shall be collected on the property tax roll, in the same manner, and together with, the general property taxes of the City.

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 charges shall be assessed at the rate of fifty-three 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 fiftythree dollars ($53.00) times the total number of acres (or any additional fraction of an acre) comprising the parcel.

PASSED, APPROVED AND ADOPTED this 11th day of June, 2025.

Perri Melnick, 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. 2025-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 11th day of June, 2025 and that the same was so passed and adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Erica Stephenson, City Clerk
April 22, 2025

WATER STANDBY CHARGE REPORT
For
Fiscal Year 2026 Standby Charge
In accordance with Health and Safety Code Section 5471, the Board of Commissioners of the Department of Water & Power (DWP), at their April 22, 2025 regular meeting, recommended that the City Council approve the assessment of an annual Standby Charge of $53 for 2,164 parcels of land located within the DWP service area that have water mainline access but do not currently receive water service.

Revenues generated from this assessment will be used to partially offset the annual debt service and other costs associated with the Water System.

Standby Charges were first implemented in FY 1991 and have been levied annually since.

In 1992, a $53 fee was determined to fairly reflect the amount the owner of a standard size vacant parcel should contribute toward water system maintenance and improvements. This rate has remained unchanged and continues to represent a reasonable and equitable allocation of costs.

1. Charge Description and Assessment Methodology:

The proposed Standby Charge will be assessed as follows:
• Standard Parcels: $53 per year for each parcel up to one acre in size, without water service but fronted by water lines.
• Larger Parcels: For parcels exceeding one acre, the charge will be:
o $53 for every 75 feet of street frontage (or portion thereof exceeding 37.5 feet),
o Capped at a maximum of $53 per acre ( or portion thereof).

2. Subject Parcel Assessment Amount Imposition:

A listing of all subject parcels for FY 2026 and the proposed assessment amount will be filed with the City and County Clerks and is attached hereto as Exhibit A.

Item 2.6
Attachment 2
Water Standby Charge Report
FY 2026 Standby Charge
April 22, 2025
Page2

3. Methodology and Rationale for Determining the Benefits of the Service for Which the Charge is Made:

The money raised from Standby Charges will be used to assist in servicing debt and paying other costs incurred for maintenance and improvements to the Water System. Total related debt service payments for FY 2026 are expected to be $1,062,200. FY 2026 Standby Charge assessments will raise $119,727 funding 11 percent of the related debt service. The remainder of the debt service payment and water system costs are paid through service charges collected from DWP customers.

ReginaW: Lamson, PE, LS, General Manager
Department of Water & Power

DISCUSSION/ACTION

ITEM REPORTS

AGENDA REPORT
Service, Quality, Community
DATE: June 11, 2025
TO: Honorable Mayor and City Council Members
FROM: Erik Sund, City Manager
PREPARED BY: Reginald A. Lamson, DWP General Manager
RE:

Incorporation of the Department of Water and Power (DWP) Fiscal Year 2026 Budget into the City of Big Bear Lake’s Fiscal Year 2026 Budget
Background:

Under section 13.24.120 item E of the City’s Municipal Code DWP’s Board of Commissioners is required to adopt an annual budget to be incorporated into the budget of the City. Such a budget was adopted for fiscal year 2026 on May 27, 2025.

Attached for consideration is a resolution incorporating the Fiscal Year 2026 DWP Budget into the City of Big Bear Lake’s Fiscal Year 2026 Budget. On May 27, 2025, after the close of a public hearing, the DWP Board of Commissioners adopted Resolution No. 2025-04 approving DWP’s FY 2026 Budget. On May 5-7, 2025, the City Council had an opportunity to review the draft budget in Joint Budget Workshops.

Recommendation:

It is recommended that the City Council adopt the attached resolution incorporating the DWP’s fiscal year 2026 budget into the City’s fiscal year 2026 budget.

Attachments: 1. Proposed City Resolution DWP Budget FY 2025-XX

2. Resolution No. DWP 2025-04

3. DWP FY 2026 Budget Report
Item 3.1
RESOLUTION NO. 2025-XX

RESOLUTION AUTHORIZING THE INCORPORATION OF THE
DEPARTMENT OF WATER AND POWER’S APPROVED BUDGET
FOR FISCAL YEAR 2025-26 INTO THE CITY OF BIG BEAR LAKE’S FISCAL YEAR 2025-26 BUDGET
WHEREAS, the City of Big Bear Lake was incorporated on November 28, 1980; and WHEREAS, the electorate in June of 1985 did amend the Charter by the addition of Section 805 et seq., where Section 813 requires the Department of Water and Power Board of Commissioner ("Commissioners") to adopt a Department Budget; and WHEREAS, the Commissioners presented the Fiscal Year 2025-26 adopted budget to the City Council on May 5-7, 2025; and
WHEREAS, the Commissioners have conducted a public hearing on May 27, 2025, and adopted the Fiscal Year 2026 Departmental Budget as follows:

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, as presented herein into the City’s Budget.

Item 3.1
Attachment 1
PASSED, APPROVED, AND ADOPTED this 11th day of June 2025.

Perri Melnick, Mayor
ATTEST:

Erica Stephenson, City Clerk

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss

AYES:

NOES:

ABSTAIN:

ABSENT:

Erica Stephenson, City Clerk
Item 3.1
Attachment 2
1 of 31

CITY OF BIG BEAR LAKE

DEPARTMENT OF WATER & POWER

BUDGET AND WORK PLAN
FISCAL YEAR ENDING JUNE 30, 2026
Item 3.1
Attachment 3
Fiscal Year 2026 Budget
2 of 31
City of Big Bear Lake, Department of Water and Power Board of Commissioners Fiscal Year 2026 Budget
Table of Contents
3 of 31
Page
General Manager’s Budget Message............................................................................................................4 Organizational Chart...................................................................................................................................5 Departmental Structure Chart.....................................................................................................................6 Summary Budget......................................................................................................................................... 7 Revenues......................................................................................................................................................8 Personnel Expenses.....................................................................................................................................9 Operating Expenses – Summary................................................................................................................10 Administration Department Detail.............................................................................................................11 Water Operations Department Detail.........................................................................................................13 Water Production Department Detail.........................................................................................................14 Transmission and Distribution Department Detail....................................................................................15 Field Services Department Detail.............................................................................................................16 Accounting Department Detail.................................................................................................................17 Conservation Department Detail................................................................................................................18 Customer Service Department Detail.........................................................................................................19 Debt Service..............................................................................................................................................20 Capital Improvement Program (CIP)........................................................................................................21 Capital Machinery & Equipment Plan (CME)..........................................................................................22 Financial Reserves.....................................................................................................................................29 Fiscal Year 2026 Budget
General Manager’s Budget Message
4 of 31
Honorable Chairman, Vice-Chairwoman, Commissioners, and customers, I am pleased to present the FY 2026 annual budget for the City of Big Bear Lake, Department of Water and Power. The annual budget provides not only the fiscal mechanism to carry out DWP’s work for our customers but provides a road map as we plan future system enhancements and continue to improve the overall water system while conserving Big Bear’s limited groundwater supply.

In FY 2025 DWP budgeted $10,536,700 for operations and $3,448,700 in capital improvements. FY 2025 year-end operating expenses are expected to come in at $10,379,700 while revenues are expected to come in $46,000 higher than projected (excluding capital grants) representing an expected $203,000 surplus that will carry forward into beginning reserve balances for the FY 2026 budget.

During FY 2025 a significant portion of construction was completed on the Wolf Reservoir Project which will add 500,000 gallons of storage to DWP’s system. The Pontel Hydropneumatic Tank was substantially completed and design work was completed and construction started for the Wolf Booster. Design work was completed on the Garstin Water Operations Facilities project. RV Park Well No. 2 and Division Well No. 2 were rehabilitated and their pumping units replaced. Lake Plan Well No’s. 5 & 6 pumping units were replaced. In all, over $3.4 million in capital improvements were completed increasing DWP’s capital improvements to over $60.4 million since my appointment in FY 2012.

In addition to the significant amount of capital improvements completed in FY 2025, DWP was able to undertake a comprehensive reservoir maintenance plan for all 13 operational reservoirs, applied for three grants, installed 26 new service connections, and replaced 512 meters (412 smart meters), while providing high quality clean drinking water and excellent service to DWP customers.

The FY 2026 Budget includes appropriations for three capital improvement projects Division Well No. 9, Wolf Reservoir and Booster replacement and Garstin Water Operations Facilities. The Division Well No. 9 and Wolf projects are partially funded by two grants from the United States Bureau of Reclamation (the USBR) in the amount of $2.1 million. Construction is ongoing for the new Wolf Reservoir and is expected to be completed in August of 2025. The design work is complete for the Wolf Booster facilities and construction is expected to be completed by June 30, 2026.

The 2026 budget anticipates overall surplus funding of $27,200 to complete capital improvements.

Excluding capital improvement, revenues exceed appropriations by $504,800. DWP will be entering year three of the current rate study and the included appropriations are consistent with the anticipated use of rate payer’s funds in that study. The included appropriations leave sufficient cash reserves to meet DWP’s financial reserve policy requirements.

DWP staff and I believe the FY 2026 budget will allow us to continue to provide the high level of service the Board of Commissioners and customers of DWP have come to expect and we look forward to another year of service to our community.

Respectfully Submitted
Reggie Lamson, General Manager
Fiscal Year 2026 Budget
Organizational Chart
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39 Full Time Equivalent Employees
* Classifications notated with grey boxes indicate an unfilled position with a Board approved job description that are unfilled.

Fiscal Year 2026 Budget
Departmental Structure Chart
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Administration
- General Manager
- Board Secretary
- Chief Financial Officer
- District Engineer
- Human Resources Administrator
- Water Superintendent
Operations Departments
Water Superintendent
Water Operations
-Water Operations Technician
- Purchaser/Construction Observer (2)
Water Production
- Water Production Supervisor
- Water Production Technicians (4)
Transmission & Distribution
- Water Distribution Supervisor
- Utility Technicians (6)
Field Services
- Customer Field Supervisor
-Water Meter Technicians (5)
Support Departments
Chief Financial Officer
Accounting
- Accountng Supervisor
- Accountant
- Accounting Specialist/Assistant (2)
Conservation
- Conservation Supervisor
- Conservation Technician
Customer Service
- Customer Service Supervisor
- Customer Service Representatives (4)
Fiscal Year 2026 Budget
Summary Budget
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The FY 2026 budget anticipates spending $27,200 less than DWP is expected to receive from inflows.

Capital Improvement Program (CIP) appropriations are significantly more for FY 2026 since construction of the Garstin Water Operations Facility is expected to be underway in FY 2026. Excluding capital items, revenues are projected to exceed operating expenses by $504,800.

Detailed breakdowns and commentary for each budget area are provided in the following budget pages except for Contributions to Other Govs. which represents DWP’s member contributions to the Bear Valley Basin Ground Water Sustainability Agency a joint powers authority that regulates ground water usage in the Bear Valley.

Fiscal Year 2026 Budget
Revenues
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Revenue Projections
Water Sales - In FY 2023, DWP adopted a 5-year rate structure commencing July 1, 2023. The adopted rate structure authorized an increase in water rates of up to 4% for FY 2026. Projected water sales revenues presume water consumption will remain consistent with FY 2025 and incorporate the full 4% adopted rate increase.

Administrative Fees - The DWP Board of Directors adopted a comprehensive administrative fee schedule effective July 1, 2024. Administrative fees are cost recovery based and include capacity fees charged to new development to cover allocated shares of infrastructure costs, connection fees which are for new meter installations, meter size increases and relocations and miscellaneous charges such as returned check fees. The largest component of these revenues is capacity charges which are projected, based on a 5-year average calculation, to be $750,000. Capacity charges are categorized as contributed capital in DWP’s financial statements. Remaining fees are projected based on shorter term historical averages and known changes.

Standby Fees - Water Standby Fees are charged for parcels of land that do not have water service but do have access to DWP water lines. Each parcel under one acre is charged one Standby charge of $53 and any parcel that exceeds an acre is charged an additional Standby charge for each 75 feet of frontage with access to DWP water lines.

Use of Property - Use of property revenues consist principally of interest earnings on DWP investments and a Verizon cell tower site lease. Interest earned on investments is expected to be $244,000 for FY 2025 and is projected to be $225,000 for FY 2026. This decrease is based on expected lower average cash balances in FY 2026 with the expectation that interest earnings will remain consistent. A cell tower lease payment is budgeted at $32,500 which includes a contractual inflation adjustment.

Other Revenues - Any revenue that is received but not otherwise categorized as a known reoccurring revenue stream is included in other revenues. Usually, minimal revenues are received in this category.

Grants - Grants are categorized as two separate types of revenues. Operating grants are used to fund any non-capital expense. DWP currently has two approved capital grants, one is for the Wolf Reservoir & Booster Projects (R-23-001 & B-23-001). Revenues in the amount of $631,300 are projected for FY 2026. The second grant is for the Division Well No. 9 (W-23-002) Project. Revenues in the amount of $500,000 for the full grant amount are expected in FY 2026. DWP’s grant for $100,000 for the Pontel Hydropneumatic Tank Project is expected to be fully expended in FY 2025.

Fiscal Year 2026 Budget
Personnel Expenses
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The personnel budget for FY 2026 represents a $12,200 or less than 1% increase from the prior year. The budgeted amounts include an anticipated COLA adjustment of 3%, health insurance increases of 7.5% and anticipated performance-based increases within approved salary schedules.

The retirement of the Water Superintendent and promotion of the Water Production Supervisor to the vacated position resulted in internal promotions to fill vacant positions. Several promoted staff are Tier 2 SBCERA members who have a significantly lower contribution rate leading to a 13% reduction in staffing costs. The 9% increase in Accounting is the result of a step increase and internal promotion. 2026 2025
Approved Positions
Expected
Expenses
#
FTE
Annual Gross
Salary
Insurance
Benefits
Pension
Benefits
PR Tax,
OT Other Total
$ Up/
(Down)
% Up/
(Down)
Board of Directors $30,500 $200 $1,100 $31,800
Chief Financial Officer 1 238,700 17,800 73,600 330,100 District Engineer 1 191,600 15,800 59,000 266,400
General Manager 1 277,100 35,600 108,000 420,700
Human Resources Administrator 1 128,800 8,900 39,700 177,400 Management Analyst/Board Secretary 1 111,300 8,800 34,300 154,400 978,000 87,100 315,700 1,380,800
Administration $ 26,600 1,348,100 1,407,400 $59,300 4%
Purchaser/Construction Observer 2 $202,100 $58,500 $68,000 $328,600 Utility Data Specialist 1 67,900 27,000 20,900 115,800
Water Operations Tech 1 103,200 29,800 37,100 170,100
Water Superintendent 1 157,200 1,800 56,500 215,500
530,400 117,100 182,500 830,000
Water Operations $902,000 45,700 $875,700 ($26,300) (3%) Water Production Supervisor 1 $116,900 $27,400 $36,000 $180,300 Water Production Technician 4 321,600 55,500 99,100 476,200 438,500 82,900 135,100 656,500
Water Production $824,000 60,100 $716,600 ($107,400) (13%) Utility Technician 6 $496,100 $74,300 $157,800 $728,200 Water Distribution Supervisor 1 135,300 31,200 48,700 215,200 631,400 105,500 206,500 943,400
Transmission and Distribution $1,023,800 93,700 $1,037,100 $13,300 1% Field Service Supervisor 1 $128,800 $19,100 $46,300 $194,200 Water Meter Technician 5 412,300 79,400 140,600 632,300 541,100 98,500 186,900 826,500
Field Services $863,000 53,400 $879,900 $16,900 2%
Accounting Supervisor 1 $132,100 $19,100 $40,700 $191,900 Accountant 1 103,100 8,100 31,800 143,000
Accounting Assistant 1 84,700 14,500 26,100 125,300
Utility Billing Specialist 1 98,200 14,900 30,200 143,300 418,100 56,600 128,800 603,500
Accounting $563,500 12,300 $615,800 $52,300 9%
Water Conservation/Coms. Supervisor 1 $122,800 $32,400 $37,800 $193,000 Water Conservation Specialist 1 67,900 1,900 20,900 90,700 190,700 34,300 58,700 283,700
Conservation $303,500 4,100 $287,800 ($15,700) (5%)
Customer Service Supervisor 1 $128,800 $19,300 $46,300 $194,400 Customer Service Rep 4 302,400 62,800 93,100 458,300
431,200 82,100 139,400 652,700
Customer Service $648,600 15,700 $668,400 $19,800 3%
Total Personnel Budget $6,476,500 39 $4,159,400 $664,100 $1,353,600 $6,488,700 $12,200 0% 2026 Approved Personnel Expenses
Fiscal Year 2026 Budget
Operating Expenses – Summary
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The operating expenses budget for FY 2026 represents a $99,300 or 3% decrease from the prior year.

Variances are discussed in department budget detail pages below.

Fiscal Year 2026 Budget
Administration Department Detail
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Department Staffing: Department Head – Reggie Lamson, Manager Summary Department Budget
Department Responsibilities
The Administration Department is responsible for organization-wide oversight and coordinating strategic goals across operations and support departments. Below is a summary of departmental responsibilities:

1. Strategic planning for water system improvements.

2. Annual budget preparation and administration.

3. Funding and other studies leading to the preparation of strategic planning documents.

4. Engineering functions including coordination and review of project designs for all CIP.

5. Provides HR for all DWP staff including recruitment and personnel file management.

6. Oversees organization wide compliance with DWP policies.

7. Supports the Board of Commissioners with document retention, publications and agenda prep.

8. Provides IT services including software and hardware maintenance to all departments.

Detailed Departmental Administration Budget
(continued on next page)
Fiscal Year 2026 Budget
Administration Department Detail
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Overall department expenses are expected to decrease significantly from FY 2025. The 24% overall decrease is largely due to changes in two significant expense areas. Computer Equipment/Software was consolidated from other departments into the Administration Department. Several one-time items including a new ArcGIS server and wireless network were included in FY 2025. Excluding these one-time items and removing DWP’s annual DropBox subscription, Computer Equipment/Software accounts for a $98,500 decrease which is offset by increased ongoing IT service costs of $45,000. IT related decreases account for $53,500 or 3.6% of the department’s decreases. The second significant expense area is professional services. In FY 2025 DWP budgeted professional services for a comprehensive reservoir inspection and cleaning project costing $327,300 for all DWP operational reservoirs.

Fiscal Year 2026 Budget
Water Operations Department Detail
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Department Staffing: Department Head - Jason Hall, Water Superintendent Summary Department Budget
Department Responsibilities
The Water Production Department is responsible for the quantity and quality of DWP’s potable water supply. Below is a summary of the Department’s responsibilities:

1. Daily, weekly, monthly, and annual water quality sampling and regulatory reporting.

2. Continuous maintenance and servicing of reservoir and well site facilities.

3. Groundwater monitoring throughout the valley submitting data to other agencies.

4. Monitoring and adjusting system-wide well pumping and reservoir levels.

5. Maintain the Division & Garstin Solar Fields selectively running wells to maximize benefits.

Detailed Departmental Operations Budget
The department anticipates a minor overall increase of 1%. While small tool purchase and vehicle maintenance costs are expected to increase, radio communications and clothing costs are expected to decrease in FY 2026.

Fiscal Year 2026 Budget
Water Production Department Detail
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Department Staffing: Department Head – Ben Berge, Supervisor Summary Department Budget
Department Responsibilities
The Water Production Department is responsible for the quantity and quality of DWP’s potable water supply. Below is a summary of the Department’s responsibilities:

1. Daily, weekly, monthly, and annual water quality sampling and regulatory reporting.

2. Continuous maintenance and servicing of reservoir and well site facilities.

3. Groundwater monitoring throughout the valley submitting data to other agencies.

4. Monitoring and adjusting system-wide well pumping and reservoir levels.

5. Maintain Division & Garstin Solar Fields selectively running wells to maximize benefits.

Detailed Departmental Operations Budget
Electricity costs are higher for FY 2025 because of decreased slant (gravity fed) well production. Based on winter precipitation in 2024/25, normal pumping levels are expected for FY 2026. Additionally, Bear Valley Electric initiated a 22% rate increase effective March 1, 2025. Maintenance costs are budgeted based on standard expectations. Maintenance – Pump Equipment anticipates two booster pump replacements at $40,000, no failures have been encountered in FY 2025. The budget for MaintenanceWells reflects the replacement of two pump motors in FY 2026. In FY 2025 the Board approved an additional $200,000 for a total budget of $240,000 for four pumps that failed in FY 2025. Professional services primarily reflect laboratory sample testing. FY 2025 expected professional services amounts reflect testing cost increases implemented by testing laboratories to accommodate more rigorous testing standards required by regulators.

Fiscal Year 2026 Budget
Transmission & Distribution Department Detail
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Department Staffing: Department Head - Jason Beck, Supervisor Summary Department Budget
Department Responsibilities
The Transmission and Distribution Department is responsible for maintaining the distribution system consisting primarily of water transmission pipes. Below is a summary of the Department’s responsibilities:

1. Install, replace, or repair mainlines throughout the distribution system.

2. Work with the Customer Service Department on customer requests for new service installations.

3. Assist other field departments with facility maintenance and snow removal.

Detailed Departmental Operations Budget
The Department expects an overall increase in the costs of materials for service line installation and to spend additional time performing mainline maintenance in FY 2025. DWP is not expecting a major pipeline replacement project in FY 2025 which will result in additional DWP staff available for routine maintenance and valve turning activities.

Fiscal Year 2026 Budget
Field Services Department Detail
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Department Staffing: Department Head – John Gross, Supervisor Summary Department Budget
Department Responsibilities
The Field Services Department responds to customer calls in the field and maintains all DWP customer meters. Below is a summary of the Department’s responsibilities:

1. Work with the customer service department to investigate and resolve customer calls regarding leaks and tag/lock off customers for non-payment.

2. Assist the accounting department with verifying meter reads for billing.

3. Replace outdated meters to improve water meter radio communication signals.

Detailed Departmental Operations Budget
At the June 25, 2024 Board meeting, the Board supported DWP’s Strategic Meter Replacement Plan. This plan was put in place because DWP initially started replacing meters with AMI infrastructure in FY 2014.

These meters had a ten-year battery life, and the first round of replacements commenced in FY 2025.

Under the Strategic Meter Replacement Plan, DWP plans to replace meters in limited access areas with remotely operated meters that will allow for remote turn on/off and provide more comprehensive water usage data. This will lead to fewer leaks and fewer road trips preventing property damage and reducing costs. The plan calls for the replacement of 1,112 meters in FY 2026 with 445 of those meters being smart meters. The plan estimated costs of $375,400 which are included in the Maintenance -Meters budget line item.

Fiscal Year 2026 Budget
Accounting Department Detail
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Department Staffing: Department Head - Kim Hauer, Supervisor Summary Department Budget
Department Responsibilities
The Accounting Department is responsible for all general accounting, utility billing, treasury management and debt service functions. Below is a summary of the Department’s responsibilities:

1. Processes bi-weekly payroll and manages the payroll system to ensure employee wages are calculated correctly and tax related withholdings reports are filed.

2. Generates bills sent to DWP customers providing data for monthly and annual regulatory reports.

3. Handles all AP functions including incoming invoices from vendors, processes vendor payments, updates vendor records and monitors purchase orders.

4. Principally responsible for annual audits and debt service compliance reporting.

Detailed Departmental Operations Budget
Department expenses are largely affected by credit card processing fees and bill printing costs. In FY 2024, processing fees paid by DWP under a discounted utility cost structure increased significantly. This led to an increase in the 2024 budget. The full effect of these cost increases was not experienced in fiscal 2024 but is expected in FY 2025. Utility bill and general printing costs were expected to decrease in FY 2024 but have not decreased as expected.

Fiscal Year 2026 Budget
Conservation Department Detail
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Department Staffing: Department Head - Bennett Rossell, Supervisor Summary Department Budget
Department Responsibilities
Conservation is responsible for preserving DWP’s available water supply to mitigate drought related shortages. Department responsibilities are summarized below:

1. Monitoring and enforcing compliance with DWP drought prevention, retrofit and conservation regulations as well as crafting policies to prevent water waste.

2. Interacting and assisting customers in conserving water through leak notifications, public outreach programs and public messaging.

3. Provides monthly and annual reports to regulatory and affiliate water organizations.

4. Maintains public messaging through local print and radio awareness campaigns, manages social media and oversees DWP website content.

Detailed Departmental Operations Budget
The Department’s operating budget is expected to increase by 17% when compared to FY 2025. These increases are largely due to the standard budget amount of $45,600 for DWP’s rebate and incentive programs aimed at reducing water consumption by removing turf, planting native drought tolerant plants and installing efficient plumbing fixtures. The Department did see a decrease in costs for public outreach from the removal of a chat bot function from DWP’s web site. The chat bot function was not providing expected site user benefits.

Fiscal Year 2026 Budget
Customer Service Department Detail
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Department Staffing: Department Head - Kelle Barrette, Supervisor Summary Department Budget
Department Responsibilities
The Customer Service Department is responsible for providing customer service for approximately 16,000 water connections. Below is a summary of the Department’s responsibilities:

1. Respond to customer inquiries regarding bill payments, new services, and DWP programs.

2. Work closely with the Field Services Department to coordinate with customers on water leaks, meter read errors and other customer connection issues.

3. Maintains all DWP’s customer accounts and related records retention.

Detailed Departmental Operations Budget
Department operating expenses are expected to increase 3% to maintain existing service levels. These increases are due to anticipated increases in telephone costs.

Fiscal Year 2026 Budget
Debt Service
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DWP has six outstanding debt issuances used to finance infrastructure improvements to DWP’s water systems. Principal payments reduce liabilities and are not considered part of DWP’s expenses. Required interest payments are considered non-operating expenses in DWP’s financial statements. The schedule below shows required payments for FY 2026:

All debt issues are fixed rate and fully amortized meaning the bi-annual payments account for both principal and interest.

DWP has received conditional approval from USDA to finance $15,400,000 for the Garstin Water Operations Facility Project. DWP is in the process of entering into interim financing for the same amount to fund the project. Securing this financing is anticipated in this budget. Debt service payments are not anticipated to start until project completion in FY 2028 and are expected to be roughly $693,000 per year. These debts service payments are anticipated under DWP’s current rate structure and are not expected to result in future rate increases.

Fiscal Year 2026 Budget
Capital Improvement Program (CIP)
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DWP maintains a comprehensive improvement plan for infrastructure assets. In 2021 DWP adopted its current 10-year water master plan (WMP). The WMP analyzed water system infrastructure needs through 2030. The WMP recommended improvements form the basis of DWP’s CIP. As new needs are identified, projects are added to the CIP.

Projected CIP funding through FY 2025 and remaining unappropriated project costs are shown below:

Remaining project costs represent project costs that have not been appropriated or incurred. The outflows for FY 2026 represent appropriations for FY 2026. Project costs in subsequent fiscal years remain unappropriated. A five-year schedule of projected project costs is shown below:

The FY 2026 budget anticipates using cash and borrowing to construct $9,429,600 of improvements. The remaining $27,829,300 in identified improvements will be funded in subsequent years. Funding for these improvements comes from a variety of sources in addition to DWP revenues. Grant funding is not included as a funding source until the grant has been awarded. Projects expected to be funded by Fiscal Year 2026 Budget
Capital Improvement Program (CIP)
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applying for grants that have not yet been awarded are reflected in the to be determined (TBD) column of the schedule of expected funding sources shown below:

Fiscal Year 2026 Budgeted Projects:

Division Well No. 9
This project represents a new well for the Big Bear system. The well drilling phase has been completed and based on production testing the well is expected to produce 700 gallons per minute making it DWP’s highest producing well. The next phase of the project is equipping the well. Well equipment including a pump, telemetry and water treatment equipment will be constructed. A well enclosure facility will also be built to protect the well equipment. DWP has been awarded a United States Bureau of Reclamation federal match grant in the amount of $500,000 to equip the well. $847,100 is budgeted in FY 2026.

Figure 1 - Division Well No. 9 Site Location
Figure 2 - Interior of Similar Existing Well Facility Figure 3 – Exterior of Similar Existing Well Facility Fiscal Year 2026 Budget
Capital Improvement Program (CIP)
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Wolf Reservoir and Booster Replacement Projects
Installed in 1963, the Wolf Reservoir and Booster site sat eight feet higher than is optimal for inter pressure zone water level balancing. Prior to replacing the Reservoir and Booster a 2,300 linear foot 12- inch and 1,300 linear-foot 8-inch mainline and was replaced in FY 2024 at a cost of $1,728,000. The previous reservoir was removed and the site graded down. A new reservoir is expected to be substantially completed by the end of FY 2025 adding 500,000 gallons of new storage capacity. The current onsite pumping station is partially below ground which is not optimal for housing the onsite electrical components. The new pumping station will be housed in an above ground enclosed block structure.

DWP has been awarded $1,600,000 in grant funding for these projects (including the mainline replacement component). The projects are partially complete with $1,900,600 in remaining project costs expected in FY 2026. The FY 2026 budget anticipates $631,300 in additional grant funds in FY 2026 for these projects.

Figure 4 - Wolf Reservoir/Booster Site Location
Figure 5 - Pre Construction Reservoir/Booster Site
Garstin Water Operations Facility Project
The current water operations facility located at 41972 Garstin, City of Big Bear Lake was constructed in the early 1970s and was originally designed as a boat storage facility. After increased facility damage Fiscal Year 2026 Budget
Capital Improvement Program (CIP)
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from winter weather conditions and an architectural review that revealed significant structural and seismic deficiencies, DWP’s Board has approved the construction of new structures at the existing location.

The new facilities will consist of an approximately 13,500 square foot, concrete block, single story operations building with solar panels on the roof. A 10,000 square foot, metal, single story warehouse / warm storage building addition to the existing warehouse facilities, a fifteen-vehicle covered parking structure with protected chlorine storage area on one side, diesel backup generator on the other side, and solar panels on the roof. The new facilities will be constructed in stages and demolition of the existing operations facility building will occur so that DWP does not experience any interruption in services. The equipment parking and materials storage areas will be reconfigured to optimize yard operations and an approximate 1,300 square foot greenhouse and a demonstration garden for drought tolerant landscape will be added.

Bid documents have been prepared and the City’s Planning Department and Design Review Committee have approved site plans. Construction is expected to start in the summer of 2025 with project completion by winter of 2027.

Funding for this project has been secured through the US Department of Agriculture with a low interest

3.25% forty-year loan for $15,400,000. Future debt service payments are expected to be approximately $693,000 which will be covered by DWP’s currently approved rates.

Figure 6 - Garstin Operations Facility Renderings
Fiscal Year 2026 Budget
Capital Machinery & Equipment Plan (CME)
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DWP capitalizes machinery and equipment costing more than $7,500 rather than expensing the costs in the year they are purchased. Machinery & Equipment below the capitalization threshold is included in departmental operating budgets. DWP maintains an ongoing replacement plan for existing equipment that serves as a basis for the Capital Machinery & Equipment Plan (CME). The CME serves as a road map to capture identified needs some of which will be considered in future budget years. For planning purposes, future budget years are shown to create a comprehensive picture of equipment needs. Only items with costs shown in the FY 2026 column affect FY 2026 budget appropriations. As described in the reserves section of this budget, a separate reserve is maintained to cover the costs of future CME items.

The projected reserve balance is $278,400. Below is a detailed breakdown of DWP’s CME Plan:

Replacements
Equipment designated as (replace) corresponds to equivalent equipment currently in use by DWP that has or will exceed its expected useful life. It is DWP practice to replace older equipment to avoid increasing maintenance costs and ensure reliability.

Vactor/Valve Turn Trailer - Appropriations are provided for a replacement vactor trailer with a valve turning arm. DWP deploys three vacuum (vactor) units. DWP’s vactor units are trailer mounted vacuum pump and storage tank units. DWP staff use these vactor units to clean out meter boxes, valve cans (graphic shown below for reference) and other DWP facilities that get covered with dirt and debris over time. DWP deploys two field service trucks. As a standard configuration, these trucks are deployed with a smaller vactor unit (2” suction with 100 gallon storage) in tow so DWP staff can access meter, service line and valve facilities on service calls. DWP deploys one larger (4” suction with 150 gallon storage) vactor unit. This unit is too powerful for standard service call meter box clean out and is deployed for larger clean out projects. Only one vactor unit (Waches Standard LX VMT Model) has a hydraulic valve turning arm built into the trailer.

The LX VMT vactor/valve turning unit was purchased in 2014 specifically to facilitate DWP’s system wide meter replacement project that replaced all of DWP’s manual read meters with radio read meters.

The unit was integral to replacing over 15,000 meters and has been used since for meter replacement and valve turning. It is the only valve exercising equipment DWP deploys. DWP exercises roughly 375 Fiscal Year 2026 Budget
Capital Machinery & Equipment Plan (CME)
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valves per year. The trailer mounted diesel engine and hydraulic pump operate both the vactor unit and valve turning unit. The engine and hydraulic pump have over 2,500 hours of run time leading to increased maintenance costs and ongoing struggles with obsolete control interface components. In the past 2 years, DWP spent over $7,000 in parts and many staff hours conducting in-house repairs due to limited available service options. After reviewing maintenance costs and known issues, DWP staff has concluded that continuing to replace components is more costly than replacing the unit.

Meter Base Station Upgrades – DWP maintains two base stations (Sensus R420Bs) at the Wolf and Bear Valley Reservoir Sites. These base stations were installed in 2014 when radio read meters were initially installed system wide. The base stations are still providing accurate reads, but are reaching the end of their supported service lives. The ratio read provider Xylem/Sensus is discontinuing replacement part support. Additionally, radio read transmission technology has advanced since 2014.

Since these units are reaching the end of their service lives, Xylem/Sensus has made a full upgrade option available instead of requiring the purchase of a full replacement unit.

Figure 7 - Vacuum & Valve Turn Trailer Use Graphic
Figure 8 - Replacement Unit (LX VMT)
Figure 9 - Current DWP LX VMT Unit
Fiscal Year 2026 Budget
Capital Machinery & Equipment Plan (CME)
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Upgrading is roughly ½ the price of full replacement and completely replaces all internal transmission components.

New Equipment
GIS Drone - DWP has implemented ArcGIS Enterprise. A principal feature of ArcGIS Enterprise is the ability to retain measurement and exact location coordinates for pipelines and other water infrastructure facilities. Previously DWP took photos and made hand drawn notes on plans to input endpoint coordinates of pipeline segments. The photos and drawings are used for reference when leaks, connections and relocations occur but have no specific topographical references to allow for precise locating. Recently DWP started using an employee drone to take areal photos of pipeline installations (a photo is included below for reference). The borrowed drone does not have sufficient photo resolution to allow ArcGIS software to perform measurement renderings. Each measurement drawn on the areal photo below was measured by a DWP employee wheeling or taping from known reference items. Note that trench depth, width, and pipeline distance from trench walls are not included.

Figure 12 - Current Manually Annotated Drone Pictures
Figure 10 – Census M420B Interior
Figure 11 – Census M420B Exterior
Fiscal Year 2026 Budget
Capital Machinery & Equipment Plan (CME)
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Using areal drone footage, ArcGIS integrated software would supply measurements from known points. The footage and measurement data would be available in ArcGIS Enterprise and could be referenced by location for future review.

Figure 13 - Automatic Drone Measurement from Landmarks
Figure 14 - DJI Matice 300 RK Recommended by ESRI for ArcGIS Site Security Surveillance
As part of DWP’s ongoing system threats and risk assessment, staff identified lag times for physical site observance/surveillance resulting from current physical site visits. Physical site visits are sometimes limited by weather and staffing constraints. To mitigate this identified risk, appropriations for fiscal year 2026 include additional site surveillance at four reservoir sites. A limiting factor of onsite surveillance cameras is cellular reception. Staff obtained a signal strength survey from T-Mobile for all 13 reservoir sites and is currently installing equipment at three sites expected to be fully operational by the end of FY 2025.

Fiscal Year 2026 Budget
Financial Reserves
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Cash Balance Reserves
Reserves provide a safeguard against unforeseen problems, such as natural or other disasters, pandemics, economic downturns, and revenue shortfalls. 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, DWP’s revenue sources, annual budget, and available cash. Projected cash balance reserves are shown below:

Capital Improvement Projects Reserve
Under DWP’s Financial Reserve Policy, a reserve is maintained for anticipated capital improvements. Due to DWP’s aggressive 5-year capital improvement plan this reserve was fully utilized in FY 2024.

Operating Reserve
The total Operations and Maintenance budget for FY 2026 is $10,293,200. DWP’s Financial Reserve Policy requires three months of operating expenses, or $2,569,300 be maintained in this reserve.

Maintaining this reserve at the policy level will require an increase of $115,200.

Fiscal Year 2026 Budget
Financial Reserves
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Vehicle, Equipment & Software Replacement
The Financial Reserve Policy establishes a reserve for general equipment and software. The purpose of this reserve is to accumulate resources for purchases that will occur at a future date to avoid either not having the funds or creating a budget deficit in the year of purchase. The beginning reserve balance is $487,500 which more than covers projected equipment needs. The Capital Machinery & Equipment budget is $209,100. The reserve balance is reduced by this budgeted amount.

Short Lived Asset Replacement Reserve
As a condition of USDA financing, DWP is required to maintain a reserve for short-lived assets, specifically well/booster pumping units. The bond conditions require reserve funding of $32,400 annually. DWP budgets for two well pump failures per year estimated to cost $80,000 which are allowed uses of these reserves. During FY 2025, DWP had a total of four well pump failures. One of these failures required the re-lining of the well casing. Total pump costs appropriated for FY 2025 were $280,000 utilizing $141,000 in remaining short-lived asset reserves. Although well pump replacement costs are included in operating maintenance costs, the reserve balance is budgeted to decrease by $32,400 in FY 2026 since this is the total amount of the contribution for FY 2026. If pump replacements are not necessary, the reserve balance will increase by the required funding amount.

Unreserved Cash Balances
The FY 2026 Budget projects a net increase in unreserved cash of $121,100, which will leave DWP with an unreserved cash balance of $154,900.

Net Position
A principal measure of available resources is DWP’s net position. Net position is the measure of DWP’s value at a given point in time when accounting for all liabilities being paid. DWP’s projected net position is shown below:

Fiscal Year 2026 Budget
Financial Reserves
31 of 31
Net Investment in Capital Assets
Net position in this category represents the value of DWP’s capital assets less any unpaid portions represented by outstanding debt.

Restricted – Debt Service
Restricted net position represents funds that can only be used for a specific purpose. Under the covenants of DWPs outstanding debt issuances, DWP is required to retain cash balances with a trustee.

The reserve balances are set to equal approximately one year of debt service at the highest year with no reserve required for DWP’s California Energy Commission Loan. The funds act as surety for the bond holders in the event of default. Reserve balances will be applied toward the final payment if not used for default.

Restricted - Capacity Charges
Capacity charges are collected from developers for new construction in DWP’s service area. The charges are based on equivalent dwelling units. These funds are classified as mitigation impact fees and as such are subject to use restrictions. The fees are based on the allocated costs of existing water facilities and costs for future system capacity increase projects. The fees are based on an underlying nexus study conducted in FY 2024 for fees effective subsequent thereto. As fees are collected, the restricted balance grows and as applicable projects are completed, project costs reduce the restricted balance. The FY 2026 budget anticipates spending funds in excess of projected capacity charges on system expansion related projects.

Unrestricted Net Position
Unrestricted net position is the remaining asset value of the organization. These funds are available to use for any legally allowed purpose at the discretion of the Board of Directors. This balance does not correspond with available cash balances and does not represent liquid assets in that it presumes all liabilities have been paid and all cash collected. Common differences are caused by accounts receivable and payable balances for which DWP is owed or owes and expects to collect or use cash.

MEETING
DATE: June 11, 2025
TO: Honorable Mayor and Members of the City Council
THROUGH: Erik Sund, City Manager
FROM: Sean Sullivan, Assistant City Manager
Miguel Cabanas, PE, PLS, Engineering Manager
Israel Gomez Rosales, Associate Engineer
SUBJECT: Award a Construction Contract for the Fiscal Year 2025-26 Annual Street Rehabilitation Project – Moonridge Road and Rathbun Drive

BACKGROUND & DISCUSSION
The City of Big Bear Lake is responsible for the maintenance and operation of approximately 88 centerline miles of streets and roadway throughout the community. The annual Capital Improvement Program (CIP) budget includes funding for street maintenance and repair activities, including street rehabilitation, crack sealing, and street striping. Within the proposed Fiscal Year 2025-26 CIP, the City Council is considering two key projects the Moonridge Road Rehabilitation Project and the Rathbun Drive Rehabilitation Project. These identified street segments are in need of critical repair and improvement. Given their relative proximity and similar scope of work, as well as to achieve economies of scale, staff combined these two efforts into the Fiscal Year 2025- 26 Annual Street Rehabilitation Project – Moonridge Road and Rathbun Drive.

This project will reconstruct and improve the section of Moonridge Road from Big Bear Boulevard to Elm Street and include Moonridge Way from Big Bear Boulevard to Moonridge Road.

Moonridge Road is a primary arterial as it provides two lanes of traffic in each direction to serve the Moonridge residential area, the Moonridge Corridor commercial area, as well as key recreational facilities. In 2022, staff coordinated the preparation of a Pavement Condition Index (PCI) survey to assess and score the condition of the City’s pavement network. At the time of assessment, the survey found that these portions of roadway were graded as Poor and Very Poor.

In the years since the survey, the roadways have continued to experience normal deterioration.

Additionally, there has been extensive underground utility work on Moonridge Road over the past several years that have contributed to the failing condition of the roadway.

The specified scope of work for Moonridge Road and Moonridge Way includes complete reconstruction of concrete and asphalt infrastructure. The project proposes to remove and replace all concrete curb, gutter, sidewalk and driveway approaches along this section of roadway. In addition, sidewalk will be constructed on both sides of the roadway to complete the sidewalk network on this section of Moonridge Road. As for the roadway, the pavement and subgrade will be completely reconstructed. The existing roadway will be pulverized to form pulverized miscellaneous base that will be graded and compacted. Excess material will be removed to establish the appropriate road grades and the base material will be fortified utilizing cemented Item 3.2
treated base. The additional effort of the cement treated base is being utilized to combat the presence of existing groundwater and provide an appropriate base on which to construct the roadway. A 5” pavement section will be constructed to complete the new roadway. The scope also includes some surface drainage improvements and new street striping.

Rathbun Drive is a local roadway that is located to the north / east of the Moonridge Corridor between Elm Street and Moonridge Road. The existing pavement section falls below street standards for width and is in significant disrepair. The 2022 PCI survey found the sections of Rathbun Drive to be Poor and Fair, depending on the section. The proposed project includes the complete removal of the existing roadway section and the reconstruction of a new street section.

The existing right-of-way on Rathbun Drive is 40’, however, the existing roadway averages less than 20’ in width. The project will not only maximize the existing right-of-way but will also obtain an easement of 8’ from Big Bear Mountain Resort to utilize a portion of the existing, unimproved Rathbun Parking Lot. Utilizing this available space, the project will construct a roadway section of approximately 32’ in width.

With this space, the roadway will transition to a one-way street traveling in the direction from Moonridge Road / Clubview Drive to Elm Street with a 14’ wide travel lane. The remaining street space will create approximately 100 on-street, public parking spaces to serve the Moonridge Corridor. Additionally, the project will construct concrete sidewalk, five feet wide, on the southside of the roadway, adjacent to the existing businesses and residences, to improve pedestrian safety and access from the newly constructed parking spaces.

Staff and Big Bear Mountain Resort are in agreement in principle as to the granting of the necessary easement and the legal teams from both entities are working to coordinate the final specifics of the agreement. It is anticipated that the final form of this agreement will be presented for City Council consideration in July 2025.

Staff, with support from some of the City’s on-call consulting services providers, completed the plans and specifications for this project. The engineer’s estimate of probable construction costs for this project was approximately $4,900,000. On April 9, 2025, the City Council authorized staff to proceed with a competitive bid process for these improvements.

Staff executed this bid process in accordance with the California Public Contract Code and the City of Big Bear Lake Purchasing Guidelines. This effort included the circulation of a Notice Inviting Bids through the Grizzly Newspaper, the City website, and PlanetBids, which is a widely used, online bid solicitation service. A nonmandatory pre-bid conference was held on Thursday, May 15 which provided the opportunity for staff to answer any questions from potential bidders.

On Thursday, May 29, 2025, staff received, opened, and publicly read aloud four (4) sealed bids for this project with the following results:

Bidder Location Total Base Bid Price
Granite Construction Co. Indio, CA $ 4,298,000.00
All American Asphalt Corona, CA $ 4,881,405.10
Bear Valley Paving Big Bear Lake, CA $ 4,935,729.05
S. Porter, Inc. Big Bear Lake, CA $ 6,065,392.65
Staff has reviewed the bids received for completeness and accuracy and the contractors’ backgrounds for qualifications and experience. Granite Construction Company (Granite) is a nationwide general engineering construction company based in Watsonville, CA that has been in business for more than 100 years. This project will be coordinated through their local office in Indio, CA. Granite has the technical expertise to complete a project of this nature and maintains sufficient capacity, as a company, to provide for the necessary resources to complete this project in a high quality manner and within the established project delivery timeline. Granite, through their Indio, CA office, has satisfactorily completed prior projects within the City of Big Bear Lake, including the Moonridge Corridor Improvements Project and prior street rehabilitation projects.

The base bid received from Granite Construction Co. was approximately 9% below the engineer’s estimate of probable construction costs. It is recommended that the City Council award a construction contract for this project to Granite Construction Co. in the amount of the base bid of $4,298,000. Further, staff is requesting that the City Council authorize a contingency amount of $650,000 (approximately 15%) to cover the cost of any unforeseen conditions or additional work that arise throughout the course of construction, with all expenses subject to the approval of the project management staff.

A project of this nature and scale will require additional technical support services beyond the capacity of City Staff. As such, staff is recommending the authorization of task orders with existing, on-call consultants to provide the necessary support services, including construction survey, inspection and project management support. Construction survey is a critical service to ensure that the improvements are properly laid out in the field and that they conform to the design plans. These services will ensure that the plans are correct and reflective of the field conditions and will also quantify the work for accurate verification and payment for work completed. Staff is proposing a task order with Vanlen Consultants for construction surveying on Rathbun Drive in the amount of $35,000 and a task order with Merrell-Johnson Engineering, Inc. for construction surveying on Moonridge Road in the amount of $95,000. These consultants have provided survey services of this nature for the City before and are the surveyors of record for the referenced street sections. Additionally, they have sufficient resources and availability to meet the scheduling needs of a project of this nature. In addition, staff is recommending a task order with Merrell-Johnson Companies in the amount of $170,000 for on-site project inspection, and design engineering support. The total proposed expenditures for construction support services are anticipated to cost $300,000, or approximately 6% of the total construction contract, which is within industry standard for a project of this nature.

The above services will be provided by the appropriate technical staff from each firm. Work will be completed on a time and materials basis, based upon the above estimates, meaning that the City will only incur the costs for actual work completed.

Work on this project is anticipated to begin as soon as the week of July 7, 2025. Pursuant to the project specifications, the work is to be completed within sixty (60) working days, or approximately twelve (12) weeks’ time. The anticipated completion of the project will be in early October 2025.

FISCAL IMPACT
The base bid price received for this work was $4,298,000. Staff is requesting the authorization an additional contingency fund of $650,000 (approximately 15%) to address any unforeseen conditions or additional work that may arise during the completion of this project. Finally, staff is requesting a budget of $300,000 for the identified project support expenses including project inspection and construction surveying. The total project costs, including the contract amount, contingency, and project support will not exceed $5,248,000.

The adopted project budget for the Moonridge Road Rehabilitation Project is $4,000,000 and the adopted budget for the Rathbun Drive Rehabilitation Project is $2,000,000, creating a total project budget of $6,000,000. The budget is funded through a number of sources including the City’s General Fund, Sanitation Fund, and Measure Y proceeds as well as restricted roadway funding through Measure I Local Funds and the Road Maintenance and Rehabilitation Account. The requested funding to complete this project is approximately $752,000 below the adopted budget.

ENVIRONMENTAL CONSIDERATIONS
At the time that the City Council authorized the bid solicitation for this project, the project was found to be categorically exempt from the California Environmental Quality Act (CEQA) pursuant to section 15301.c Existing Facilities as repair and maintenance of existing streets and highways.

CONSIDERATION OF STRATEGIC PRIORITIES
This item aligns with the City Council’s Strategic Priority Number 1 as it “supports and invests in sustainable infrastructure projects and programs”.

RECOMMENDED ACTION
It is recommended that the City Council adopt a Resolution Awarding a Construction Contract to Granite Construction Co. and Approving Task Orders with Vanlen Consultants and MerrellJohnson Companies for the Fiscal Year 2025-26 Annual Street Rehabilitation Project – Moonridge Road and Rathbun Drive.

ATTACHMENTS

1. Resolution No. 2025-XX

2. Project Area Map
RESOLUTION NO. 2025-XX

RESOLUTION AWARDING A CONSTRUCTION CONTRACT TO GRANITE
CONSTRUCTION CO. AND APPROVING TASK ORDERS WITH VANLEN

CONSULTANTS AND MERRELL-JOHNSON COMPANIES FOR THE
FISCAL YEAR 2025-26 ANNUAL STREET REHABILITATION PROJECT –

MOONRIDGE ROAD AND RATHBUN DRIVE
WHEREAS, the City of Big Bear Lake is responsible for the maintenance and operation of approximately eighty-eight (88) centerline miles of streets and the annual Capital Improvement Program (CIP) budget includes funding for street maintenance and repair activities including pavement rehabilitation and repair, patching, crack sealing, and street striping; and, WHEREAS, for Fiscal Year 2024-25, the City Council has adopted the Moonridge Road Rehabilitation Project and the Rathbun Drive Rehabilitation Project; and, WHEREAS, given the relative proximity and similar scope of work for these two projects, as well as to achieve economies of scale, staff combined these two efforts into the Fiscal Year 2025-26 Annual Street Rehabilitation Project – Moonridge Road and Rathbun Drive; and, WHEREAS, the project will improve Moonridge Road from Big Bear Boulevard to Elm Street and Moonridge Way from Big Bear Boulevard to Moonridge Road as these street sections are graded Poor and Very Poor according to the City’s 2022 Pavement Condition Index (PCI) Survey; and,
WHEREAS, the scope of work for Moonridge Road and Moonridge Way includes the complete replacement of the concrete and asphalt improvements including the removal and replacement of all concrete curb, gutter, sidewalk, and other improvements, as well as the complete pulverization of the roadway and the construction of new, cement treated base and a 5” asphalt pavement section; and,
WHEREAS, the project will also improve Rathbun Drive from Moonridge Road to Elm Street as this street section is below standard for width and the pavement is graded as Poor and Fair depending on the section of the roadway; and,
WHEREAS, the scope of work for Rathbun Drive includes the complete removal of the existing roadway section and the reconstruction of a new pavement section that is approximately 32’ in width to accommodate a 14’ travel lane and on-street parking as well as the construction of a 5’ wide sidewalk on the southside of the roadway, adjacent to the existing residences and businesses; and,
WHEREAS, the roadway will be reconfigured to a one-way roadway from south to north to accommodate the appropriate travel lanes and approximately 100 on-street, public parking spaces; and,
WHEREAS, staff, aided by the City’s on-call engineering consultants, developed the plans and specifications for this project, including both described scopes of work, and established an Item 3.2
Attachment 1
engineer’s estimate of probable construction costs of approximately $4,900,000; and, WHEREAS, on April 9, 2025, the City Council authorized staff to solicit construction bids for this project, in accordance with the California Public Contract Code and the City of Big Bear Lake’s purchasing guidelines and on Thursday, May 29, 2025, the City received four (4) sealed bids for this project; and,
WHEREAS, the lowest responsive bid received was that of Granite Construction Co. of Indio, CA in the amount of $4,298,000; and,
WHEREAS, staff reviewed the background and past work of Granite Construction Co., which includes and extensive background of similar infrastructure projects as Granite has been in business for more than 100-years and includes similar projects for the City of Big Bear Lake, including the Moonridge Corridor Improvements Project and previous Street Rehabilitation Projects; and,
WHEREAS, staff is requesting a contingency amount of $650,000 (approximately 15%) in addition to the construction contract to cover the cost of any unforeseen conditions or additional work that arise throughout the course of construction; and, WHEREAS, staff is also requesting a budget of $300,000 to cover the cost of construction surveying, project management and inspection services to support the completion of this project utilizing the City’s on-call engineering firms; and,
WHEREAS, staff is seeking authorization of a Task Order with Merrell-Johnson Companies, one of the City’s on-call land surveyors, in the amount of $95,000, for construction surveying and staking on Moonridge Road; and,
WHEREAS, staff is seeking authorization of a Task Order with Vanlen Consultants, one of the City’s on-call land surveyors, in the amount of $35,000, for construction surveying and staking on Rathbun Drive; and,
WHEREAS, staff is seeking authorization of a Task Order with Merrell-Johnson Companies, one of the City’s on-call engineering firms, in the amount of $170,000, for in-field inspection services and project management support; and,
WHEREAS, this project is included within the adopted Fiscal Year 2025-26 Annual CIP in the amount of $6,000,000 with funding being derived from a number of sources including the City’s General Fund, Sanitation Fund, and Measure Y Fund as well as Measure I Local Funds and the Road Maintenance and Rehabilitation Account; and,
WHEREAS, the total identified expenditures for this project are not to exceed $5,248,000, which is $752,000 below the available budget for this project.

NOW, THEREFORE, BE IT RESOLVED by the City Council that:

1. A construction contract is awarded to Granite Construction Co. in the amount of $4,298,000.

2. A construction contingency amount of $650,000 (approximately 15%) is established to cover the cost of any unforeseen conditions or additional work that arises throughout the course of construction.

3. A Task Order is approved with Merrell-Johnson Companies in an amount not to exceed $95,000 for construction surveying and staking on Moonridge Road.

4. A Task Order is approved with Vanlen Consultants in an amount not to exceed $35,000 for construction surveying and staking on Rathbun Drive.

5. A Task Order is approved with Merrell-Johnson Companies in an amount not to exceed $170,000 for in-field inspection and project management support services.

6. The City Manager is authorized to execute all contract documents in a form approved by the City Attorney.

PASSED, APPROVED AND ADOPTED this 11th day of June, 2025.

Perri Melnick, Mayor
ATTEST:

Erica Stephenson, City Clerk

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss

AYES:

NOES:

ABSTAIN:

ABSENT:

Erica Stephenson, City Clerk
Item 3.2
Attachment 2

Rathbun Drive Typical Cross SecƟon
SCALE: NTS
Moonridge Road Northbound - Looking North
Moonridge Road Northbound - Looking South
Rathbun Drive - Looking West

MEETING
DATE: June 11, 2025
TO: Honorable Mayor and Members of the City Council
THROUGH: Erik Sund, City Manager
FROM: Kelly Tinker, Economic Development Manager
SUBJECT: Real Property Purchase – 547 Cottage Lane

BACKGROUND & DISCUSSION
The City of Big Bear Lake (“City”) has completed negotiations with Henry C. Osborn, The First Church of Christ, Scientist, in Boston Massachusetts, a Massachusetts body corporate (“Seller”) for the purchase by the City of that certain real property, Parcel Numbers 0308-163-47 and 0308- 163-49, located at 547 Cottage Lane, Big Bear Lake, California 92315 (the “Property”).

The City considers four separate categories/criteria when evaluating the purchase of available property for public benefit: Workforce Housing and Community Serving Elements; Traffic and Pedestrian Safety Improvements; Economic Development and Visitor Serving Opportunities; and Property Maintenance/Blight. Each opportunity for property acquisition is evaluated using these four categories, and only those that meet one or more of these criteria and offer the greatest overall impact and community benefit are recommended by staff to be agendized for City Council review and public discussion.

The opportunity to purchase this property in its location and at this point in time offers specific advantages to the City, and satisfies several of the criteria identified above. Those advantages include opportunities for community and visitor serving elements within the Village Specific Plan, such as additional visitor parking, additional public restrooms and facilities, community gathering space, workforce housing, and potential future economic development opportunities. The City values public input on any project the City endeavors upon, and will be working toward identifying options that provide the greatest overall benefit to the community.

FISCAL IMPACT
As consideration for purchase of the Property, the City will pay to Seller four hundred and fifty thousand dollars ($450,000). There are sufficient funds in the City’s Measure Y account for purposes of acquisition of the Property. It is recommended that the City Council authorize the appropriation of $450,000 from the unassigned Measure Y fund balance.

Measure Y funds are the result of an ordinance approved in 2008, increasing the City’s Transient Occupancy Tax (TOT) rate by 2%, with accompanying stipulations that the resulting increased TOT funds would be used solely to support visitor and community-serving infrastructure (rebuild and renovate infrastructure, street maintenance, trail connectivity, public park improvements, lake Item 3.3
access points, and other public facilities and amenities).

ENVIRONMENTAL CONSIDERATIONS
The transfer of ownership of the Property is exempt from the California Environmental Quality Act (CEQA) pursuant to Title 14 of the California Code of Regulations (hereinafter, “CEQA Guidelines”) Section 15061(b)(3), as acquisition of the property would not result in potentially significant impacts to the environment, which are defined by Public Resources Code section 21068 and section 15382 as substantial or potentially substantial adverse changes in the environment, given that the proposed action only provides for transfer of title to the Property and any future projects on the Property would be subject to review pursuant to CEQA.

Further, application of the categorical exemptions is not barred by exceptions set forth in Section 15300.2, as mere acquisition of the property by the City would not result in potentially significant impacts to the environment and would further not result in cumulative impacts, as the proposed action entails a mere transfer of ownership, and any future projects on the Property that affect the environment would be subject to review pursuant to CEQA.

CONSIDERATION OF STRATEGIC PRIORITIES

1. Support and invest in sustainable infrastructure projects and programs consistent with the needs of our community.

RECOMMENDED ACTION
It is recommended that the City Council adopt a Resolution Authorizing the City Manager to Execute Any and All Documents Necessary to Consummate the Purchase Transaction, Conveying to the City of Big Bear Lake that Certain Real Property Located at 547 Cottage Lane, Big Bear Lake, California 92315, Parcel Numbers 0308-163-47 and 0308-163-49; Authorizing a Fiscal Year 2024-25 Budget Appropriation; and Finding the Action Exempt from the California Environmental Quality Act.

ATTACHMENT

1. Resolution No. 2025-XX
RESOLUTION NO. 2025-XX

RESOLUTION AUTHORIZING THE CITY MANAGER TO EXECUTE ANY AND ALL

DOCUMENTS NECESSARY TO CONSUMMATE THE PURCHASE TRANSACTION,

CONVEYING TO THE CITY OF BIG BEAR LAKE THAT CERTAIN REAL PROPERTY LOCATED AT 547 COTTAGE LANE, BIG BEAR LAKE, CALIFORNIA 92315, PARCEL NUMBERS 0308-163-47 AND 0308-163-49; AUTHORIZING A FISCAL YEAR 2024-25 BUDGET APPROPRIATION; AND FINDING THE ACTION EXEMPT

FROM THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
WHEREAS, The City of Big Bear Lake (“City”) has completed negotiations with with Henry C.

Osborn, The First Church of Christ, Scientist, in Boston Massachusetts, a Massachusetts body corporate (“Seller”) for the purchase by the City of that certain real property, Parcel Numbers 0308-163-47 and 0308-163-49, located at 547 Cottage Lane, Big Bear Lake, California 92315 (the “Property”); and,
WHEREAS, the transfer of ownership of the Property is exempt from the California Environmental Quality Act (CEQA) pursuant to Title 14 of the California Code of Regulations (hereinafter, “CEQA Guidelines”) Section 15061(b)(3), as mere acquisition of the title to the Property would not result in potentially significant impacts to the environment, which are defined by Public Resources Code section 21068 and section 15382 as substantial or potentially substantial adverse changes in the environment, given that the proposed action only provides for transfer of title to the Property and any future projects on the Property would be subject to review pursuant to CEQA; and,
WHEREAS, application of the categorical exemptions is not barred by exceptions set forth in CEQA Guidelines Section 15300.2, as mere acquisition of the property by the City would not result in potentially significant impacts to the environment and would further not result in cumulative impacts, as the proposed action entails a mere transfer of ownership, the Property, and any future projects on the Property that affect the environment would be subject to review pursuant to CEQA; and,
WHEREAS, the acquisition of this Property is in the best interests of the City and its residents; and,
WHEREAS, the completion of this purchase transaction and the acquisition of this Property will be contingent upon the completion of all legal prerequisites and a successful due diligence investigation; and,
WHEREAS, the negotiated price for this real property is $450,000 and the City maintains sufficient resources to acquire this property; and,
WHEREAS, the proposed funding source for this acquisition is $450,000 from the Measure Y Fund.

NOW, THEREFORE, BE IT RESOLVED by the City Council that:

Item 3.3
Attachment 1

1. The recitals set forth herein are adopted by the City Council as findings and they are true and correct.

2. The City Manager is hereby authorized to execute any and all documents necessary to consummate the purchase transaction and acceptance of Seller’s interest in the Property on behalf of the City.

3. The requested budget appropriation of $450,000 from the Measure Y Fund is hereby authorized.

4. The City Clerk shall certify the adoption of this Resolution and upon completion of this purchase transaction cause the forthcoming fully executed Grant Deed and the Certificate of Acceptance to be recorded in the Office of the County Recorder.

5. The City Clerk is authorized to file a Notice of Exemption regarding this matter, in accordance with CEQA Guidelines.

6. This Resolution shall take effect immediately upon its adoption by the City Council.

PASSED, APPROVED AND ADOPTED this 11th day of June, 2025.

Perri Melnick, Mayor
ATTEST:

Erica Stephenson, City Clerk

STATE OF CALIFORNIA )
COUNTY OF SAN BERNARDINO ) ss

AYES:

NOES:

ABSTAIN:

ABSENT:

Erica Stephenson, City Clerk

MONTHLY & MISCELLANEOUS

REPORTS

AGENDA REPORT
Service, Quality, Community
DATE: May 27, 2025
TO: Board of Commissioners
FROM: Reginald A. Lamson, General Manager
RE: General Manager’s Report
Capital Projects
Garstin Water Operations Facilities:

On March 14, 2025, DWP received, reviewed, and signed the Letter of Intent to Meet Conditions and the Request for Obligation of funds. The proposed loan terms are $15.4 million, at 3.25% for 40-years. Interim financing will be required for this project. The current interest rate for interim financing is 3.25%. Interim financing will be in place until construction is completed, which is estimated to take about 24-months. Once completed, the USDA loan will close and the interest rate will be 3.25% or lower, if interest rates go down between now and then.

On January 18, 2024, staff met with Bear Valley Electric Service (BVES) staff regarding upgrading the electric/solar service for the Garstin Site and the electrical service for Lake Plant Well Nos. 5 & 6 sites. BVES is fine with eliminating the current electric services for Lake Plant Well Nos. 5 & 6 sites and combining them with the upgraded Garstin electric/solar service. On October 16, 2024, DWP submitted an application to upgrade the electrical service for the Garstin Facility. The new electrical service will include a pad-mounted transformer that will be located northeast of the northeast corner of the proposed operations building.

As the Garstin Water Operations Facility Project progresses toward bid advertisement, one USDA prebid requirement is that all land rights be properly secured for the entire project area. When DWP staff pulled project area title records, title documents were in place for all parcels except for APN 2328-102- 12-0000. APN 2328-102-12-0000 is a 4,350 square foot land-locked lot bordering DWP’s yard and the Tractor Supply Co. shopping center.

According to property records, DWP does not own this parcel as previously believed but the lot is included in the layout of the Project and is currently utilized by DWP for pipe and equipment storage.

The property is inaccessible on all sides without right-of-way easements from DWP or the Tractor Supply Co. shopping center; it is encumbered by a storm drain and electrical utility easement, which render the lot unbuildable. The property could only be utilized for temporary storage or parking. DWP would not grant an easement to this parcel due to the secure nature of DWP’s yard.

On April 29, 2025, The Board authorized staff to purchase the property for $10,000 and the apparent property owner accepted the offer. The County does not have a grant deed on this property but they have sufficient information to determine that Sierra Management Corporation owns the parcel. There are some General Manager’s Report
May 27, 2025

Page 2 of 7 ends

complications with obtaining a grant deed for this property and BB&K is determining the must efficient way to finalize the grant deed. The Project can be completed without the property purchase; however, DWP would lose access to a 25’ x 175’ area for staff parking and the proposed electrical transformer.

DWP staff has replaced certain sections of mainline on the Garstin site in anticipation of constructing the new facilities. These facilities will be connected to the water system during June of 2025.

Replenish Big Bear (No Change):

The Replenish team submitted a work plan to evaluate existing domestic wells within 200 feet of the high-water level and determine if the Project will impact their water quality. Approximately eighty (80) private wells have been located. Of these 80 wells, only 41 of them are within 200 feet of the lakes high water level. Most of these wells are drilled within alluvium and will not be impacted by the Project. Tom Harder will have a report on which wells, if any, will be impacted by the Project. The 100% RO treatment also reduces or eliminates the blending requirement for percolating reclaimed/lake water into Sand Canyon. The meeting with DDW has greatly enhanced the feasibility of the Project and the Replenish Team is preparing a detailed percolation plan for DDW’s consideration.

Tom Harder is finalizing his report on which wells (within 200’ of the high-water line), will be impacted by the Replenish Big Bear Project. The current lake level is about 4-feet from full, which is higher than it has been since 2012. The high lake levels allow for an easy comparison of lake levels versus static water levels. Tom has provided a list of 10 wells, around the lake, that he would like surveyed to compare lake level versus static water level. Mike Stephenson and I have surveyed 4 of the 10 wells and hope to complete the survey over the next couple of weeks.

WSC was authorized to finalize the permit application to the Regional Board and submitted the Report of Waste Discharge package on February 28, 2022. The Regional Board provided informal comments and requested additional information during the month of May 2022. WSC provided additional information on June 1, 2022. Regional Board provided comments on August 26, 2022. On September 15, 2022, BBARWA sent a letter to the Regional Board requesting clarification regarding Surface Water Augmentation regulations. The Replenish team submitted the additional information requested within the August 26, 2022 Regional Board Letter on October 14, 2022.

On August 25, 2021, BBARWA approved a MOU for agencies that may benefit from the Replenish Big Bear Project. The MOU has been distributed to other valley agencies for consideration. CSD approved the MOU on September 20, 2021, DWP approved the MOU on September 28, 2021, and the City of Big Bear Lake City Council approved the MOU on November 1, 2021. The Replenish Big Bear Team met with County Supervisor representatives and gave them a draft of the MOU for their consideration. The County approved the MOU in July 2022. The Replenish Team is working with each agency to determine how and how much they can contribute towards the project. Each agency will pay their “fair Share” of the O&M costs and possibly capital costs, which will reduce the Project costs for the general public. DWP’s proposed annual cost for percolation within Sand Canyon was presented to and approved by the Board on September 27, 2022. Additional cost-sharing meetings have been conducted.

Environmental Scoping Meetings and the Public comment period have been completed. Grant Funding opportunities are discussed below. Follow-up meetings to respond to some of the General Manager’s Report
May 27, 2025

Page 3 of 7 ends

comments submitted during the Environmental Comment period were conducted with Mojave Water Agency and East Valley Water District during March. The Replenish team will continue to work with these Agencies and their concerns will be addressed within the environmental documents.

David Lawrence provided a Project update Power Point Presentation during the September 26, 2023 Board meeting. A similar presentation has been given to CSD and BVBGSA. The draft EIR was presented to the BARRWA Board on December 19, 2023 for final comments.

On March 19, 2024, BBARWA had a special meeting to update the public on the Replenish Big Bear Project and receive direction from the Board after the presentation. The meeting was well attended, and many members of the public spoke in favor and against the Project. The majority of the public were in favor of the Project. Some of the Board members had some concerns and staff needed additional time to properly address their concerns. BBARWA staff have contacted WIFIA (the primary funding agency), and they indicated that a 6-month pause would not affect the terms of the loan. Over the next few months, BBARWA and other Bear Valley stakeholders will work together to develop letters of intent to better defined how each agency will participate with the Project and a public workshop will be conducted to further educate the public about Project details.

Pilot testing is now complete. A public workshop was conducted, and the treatment equipment met or exceeded expectations.

On August 12, 2024, the BBARWA Board considered certifying the environmental impact report and voted not to certify it. On January 22, 2025, BBARWA’s Board directed staff to conduct a Public Hearing for the Board to reconsider certifying the EIR. The Board also directed staff to complete the Preliminary Design Report and prepare construction drawings and specifications for the Advanced Treatment Facilities. On February 13, 2025, at 9:00 am, the City had a special meeting to discuss water matters related to the project. I provided a history of DWP during this meeting. On February 26, 2025, The BBARWA Board Certified the EIR. On April 10, 2025, I provide a presentation of the Project to the Rotary Club. The members asked very good questions and there was only positive feedback received. BBARWA, MWD, CSD, and DWP have been meeting to reevaluate how each agency may participate with the Replenish project.

Grants Update:

On March 9, 2023, WSC informed staff of a Community Project Funding Request Grant that is being administered through Jay Obernolte’s office. The proposed Garstin Water Operations Facilities meets many of the requirements for this grant. Staff worked closely with WSC and on March 17, 2023, staff submitted a $1,500,000 grant application to Jay Obernolte’s office. The application included nine letters of support from local agencies and politicians. Staff appreciates everyone that provided letters of support in a timely fashion. The Garstin Project was not selected for this funding opportunity. On April 29, 2024, WSC informed staff of the Fiscal Year 2025 Appropriations Request grant opportunity through Jay Obernolte’s office. Staff submitted a $1,500,000 grant application for the Garstin Water Operations Facilities and obtained letters of support from CSD and the County of San Bernardino. On May 29, 2024, we received communication from Jay Obernolte’s office that the requested funding of $1,500,000 for the Garstin Water Operations Facility is being recommended to be awarded funding through Appropriations. Washington DC rejected the Fiscal Year 2025 funding request. Jay Obernolte’s staff is evaluating alternatives to fund our request using Fiscal Year 2025 funding. They also General Manager’s Report
May 27, 2025

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recommended reapplying for Fiscal Year 2026 funding. DWP staff submitted our FY 2026 request on April 10, 2025.

On February 22, 2024, staff submitted an application with the USBR for the Solar Backup Power SCADA Project. The grant requires a 50% grant match. The Project will address the problem of frequent power outages in the Bear Valley and its impact on our SCADA systems functionality.

The Solar Backup Power SCADA Project will ensure that even during power outages and natural disasters, the SCADA system components will continue to communicate with each other, communicate data real-time to staff’s mobile devices, reduce greenhouse gas emissions, and minimize water loss. The requested grant amount is $289,787.50 for forty-five SCADA site upgrades and solar battery backup systems. DWP was notified that this request was not funded and on August 22, 2024, staff had a debrief meeting with USBR and plans to reapply at the next funding availability.

On July 9, 2024, staff submitted an application with the USBR for the Smart Meter Replacement Project. The grant requires a 50% grant match. The Project will replace existing AMI meters that are approaching the end of their battery life with Smart Meters, that were discussed during the June Board meeting. The requested grant amount is $100,000 and the total project cost for this phase is $225,000. On September 12, 2024, USBR notified DWP that the application has been rejected. Staff plans on resubmitting in 2025.

Grant applications for the Replenish Big Bear Project (Project) are as follows:

1. SAWPA/DWR - DCI Technical Assistance Grant: The Project team submitted an application for a $500,000 grant on September 26, 2019. On November 19, 2019, the SAWPA Board approved an agreement to provide a $500,000 planning grant. This grant is being used to reimburse the four BVBGSA agencies for a portion of project planning costs.

2. SAWPA/DWR – Prop 1 IRWM Grant: The Project team submitted an application for a $4,500,000 grant on November 1, 2019. DWR notified the project team that our application is recommended for funding. Final award has been completed. This grant will reimburse the four BVBGSA agencies for project planning costs and fund a portion of the Project construction costs.

3. USBR – Title XVI Grant: The Project team submitted an application for a $7,025,643 grant on April 22, 2021. The Administration’s recent increase in funding for the drought stricken western states, along with an enhanced grant application, should improve our chances of receiving this grant. USBR has recommended a $1,700,000 grant to help fund design, permitting, and pilot testing activities.

4. The Replenish Big Bear Team had a Zoom Meeting with Congressman Obernolte on April 20, 2021. The Congressman informed us that he would be submitting Appropriations Applications and would like to include the Replenish Big Bear Project.

The team submitted an application to the Congressman on April 22, 2021. Congressman Obernolte informed BBARWA that Congress has awarded the Replenish Big Bear Project $960,000. Additional funding opportunities will be available next fiscal year.

General Manager’s Report
May 27, 2025

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5. On November 19, 2021, The Replenish Big Bear Team submitted a $50,000,000 DWR grant application for consideration. DWR staff has stated that they are open to awarding partial funding for projects and encouraged us to request the full amount.

Replenish Big Bear was not recommended for this funding. DWR informed the Replenish Big Bear Team that additional funding is now available, and they are reevaluating our current application.

6. USBR – Title XVI Grant-Phase II: The Project team submitted an application for a $8,267,112 grant on March 11, 2022. BBARWA has been recommended for this funding.

7. The Replenish Big Bear Team had a Meeting with Congressman Obernolte regarding a possible 2022 Appropriation Application. The Congressman informed us that he would be submitting Appropriations Applications and would like to again include the Replenish Big Bear Project. The team submitted an application to the Congressman in May 2022. This request has been included in the Federal Budget.

8. On June 13, 2024, Replenish Big Bear was recommended for another $9,052,543 in funding through the Title XVI grant program.

Replenish Big Bear Grant Summary:

Grant Amount Status
DCI Technical Assistance $500,000 Awarded and Fully Funded IRWM Prop 1, Round 1 $4,563,338 Awarded, In Process
2021 Title XVI $1,600,000 Awarded, In Process
2022 EPA STAG $960,000 CEQA and NEPA must be completed
prior to an Award
2022 Title XVI $8,267,112 Recommended for Funding
2023 EPA STAG $1,000,000 CEQA and NEPA must be completed prior to an Award
2024 EPA STAG $1,000,000 Recommended for Funding
2024 Title XVI $9,052,543 Recommended for Funding
Total $26,942,993
SAWPA Santa Ana River Watershed Weather Modification Pilot Program (No Change):

On November 23, 2021, the Santa Ana Watershed Project Authority (SAWPA) provided a presentation to the Board on the Santa Ana River Watershed Weather Modification Pilot Program (Program). The Board requested staff investigate the Program and bring it back to the Board. On January 25, 2022, the Board approved financial support for the Program in the amount of $3,000 annually for four years.

General Manager’s Report
May 27, 2025

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On October 13, 2022, we received the following update from SAWPA: “Unfortunately with the timing of CEQA completion for the project in June and securing an operations contractor in early August, we were unable to get the pilot project operations contractor on board in sufficient time to make the Nov. 2022 seeding start date, particularly with the need to execute 10 separate local seeding site operator agreements in the watershed. Consequently, the pilot project was postponed to start seeding to November 2023. In some ways, the delay works better for our efforts to secure 50% grant funding from the State as well since this grant funding would not be available from the State until late 2023.”
On August 16, 2023, participating partners received the attached update. The highlights are as follows:

1. The project received $861,400 in Prop. 1 grant funding from DWR.

2. Biological Surveys are underway.

3. Equipment Set-Up is scheduled for September/October 2023

4. 1st Year Operation Period November 15, 2023 – April 15, 2023

5. 1st Year Pilot Report June 1, 2023
On November 15, 2023, SAWPA announced that the Program went live on that day and will continue through April 2027. For more information, visit the weather modification webpage at https://sawpa.gov/santa-ana-river-watershed-weather-modification/. SAWPA also established an email address, [email protected], for public inquiries regarding the Program.

Board members attended a SAWPA presentation and tour of the Weather Modification Pilot Program on Tuesday, April 9, 2024.

Bear Valley Basin Groundwater Sustainability Agency (No Change):

On February 16, 2023, the BVBGSA had a Board meeting. The primary purpose of the meeting was to consider a proposal from Tom Harder and Associates to prepare the first Groundwater Sustainability Plan (GSP) Annual Report. The annual report is a requirement of the GSP. The report contains groundwater level information, water pumping information, and computes groundwater storage volume for the Bear Valley Basin. The BVBGSA Board approved the proposal and the funding of $10,277.50 will come from each of the four member agencies. The GSP Annual Report was submitted to DWR on April 1, 2023.

On June 20, 2023, the BVBGSA had a Board Meeting. The primary purpose of the meeting was to adopt the FY 2023/24 Budget. David Lawrence provided an update on Replenish Big Bear to the Board including the following: The Replenish Big Bear Team will be submitting the Pilot Study Report to the Regional Board. The pilot equipment including the UV disinfectant and advanced oxidation process have been delivered. BBARWA will be piloting the equipment through September to ensure we can support the claims that we have made for the Replenish Big Bear Project. On July 19, 2023, BBARWA held an Open House and Pilot Tour. From 2:00 pm - 3:00 pm, the Regional Board and local Board members had an opportunity for a Pilot Tour and the public was invited to join BBARWA from 3:00 pm - 6:00 pm. Over 300 people attended the event.

On November 13, 2023, the BVBGSA Board approved an agreement with Tom Harder to prepare the GSP 2022/23 Annual Report contingent upon concurrence of approval by the member agencies General Manager’s Report
May 27, 2025

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that will be responsible for reimbursing the BVBGSA. The 2022/23 Annual Report was filed with DWR-SGMA on March 21, 2024. Tom Harder has begun work on the 2023/2024 Annual Report.

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 27, 2025
TO: Erik Sund, City Manager
FROM: Reginald A. Lamson, DWP General Manager
RE: DWP Monthly Update – April 2025

SERVICE DELIVERY
Water services that were provided April 1, 2025 to April 30, 2025:
16,030 Connections provided with water service
426 Field service calls completed
1 Main leak repaired
3 Main leaks year-to-date 2025 3 Main leaks year-to-date 2024 4 Service leak repairs
11 Service leaks year-to-date 2025 6 Service leaks year-to-date 2024

40.56 Million gallons produced by wells
$852,158 Processed in billings
8,776 Accounts processed in billings
4,428 Number of customers on E-bill
98 New Accounts (includes tenant turnover)

1.975 Equivalent Dwelling Units (EDU) added to the water system $952,269 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 22, 2025:
• The Board recommended that the City Council adopt a resolution for Water Standby Charge of $53 for Fiscal Year 2026 placing the charges on the property tax rolls for collection, along with the general property taxes. • The Board approved Resolution No. DWP 2025-02 authorizing the purchase of APN 2328-102-12-0000 for the Garstin Water Operations Facility Project for $10,000 and authorizing the General Manager to execute required documents and take required action including execution of a Certificate of Acceptance necessary to complete the purchase.

Visit Big Bear Monthly Report
The VBB Board of Directors (BoD) met on March 27, 2025, for its regular monthly meeting:

The Visit Big Bear Board of Directors convened for its regular meeting on March 27, 2025, held in person at the Big Bear Visitors Center and via Zoom. President Loren Hafen called the meeting to order, followed by the Pledge of Allegiance, roll call, and public comment. No public communications were filed during the open session.

The board unanimously approved the meeting minutes from February 27, 2025.

CEO Travis Scott presented an agreement with Cal Poly San Luis Obispo’s Experience Industry Management Program to conduct a guest service audit in May/June. The audit, valued at $8,581, will review destination infrastructure, guest experience, and long-term development needs. This project aims to foster a longer-term relationship with the university for future student internships and technology collaborations. The motion passed unanimously.

In the informational portion of the meeting, Karla Reed presented the topline analytics. Social media platforms including Instagram, Facebook, and TikTok experienced notable increases in views, interactions, and follower counts over the past 30 days, aligning with the organization’s strategic goal to boost engagement and drive conversions. February website sessions decreased due to a pause in paid advertising and SEO migration from Tempest to in-house strategy. However, improved organic engagement and higher year-over-year engagement rates indicate effective audience targeting. Analytics also showed an increase in average daily rates for short-term rentals compared to March of the previous year, supporting new marketing directions. Sentiment analysis revealed stronger hospitality and attraction ratings in Big Bear than Mammoth, with hospitality scoring 82.3 and attractions 79.2.

Department updates followed. Karla Reed reported progress in administration and operations, including the upgrade of network infrastructure, improvements in financial systems, deployment of kiosk technology (TrueOmni), and creation of SOPs for operational consistency.

Damien Navarro shared engagement updates, highlighting the shift toward data-driven marketing. This includes reassessing paid media spend, investing in organic content creation, and building partnerships with creators and hospitality businesses. Big Bear’s evolving marketing strategy aims to diversify offerings beyond winter, highlighting culinary experiences, wilderness wellness, and offpeak events like spring break activations and the polar plunge, which recently received strong media attention. Restaurant Week was also underway during the reporting period. Public relations efforts were notably successful, with 9.1 billion impressions and 909 placements achieved in just two months—nearly matching the total 2024 results.

Travis Scott also confirmed the Visit Big Bear Annual Meeting will be held on April 24, 2025, at 5:00 PM at the Event Center at Destination Big Bear.

Upcoming committee meetings for Events and Marketing are scheduled for April 17, 2025, from 8:00–11:00 AM.

Visit Big Bear Monthly Report
Note: The Visit Big Bear Board of Directors did not hold a regular business meeting in April due to the Annual Membership Presentation and Dinner.

However, the Marketing and Events Committees held a special combined meeting on April 17, 2025. This report provides a summary of that session.

The Visit Big Bear Events and Marketing Committees convened for a joint meeting on April 17, 2025, in person at the Big Bear Visitors Center and via Zoom. President Loren Hafen called the meeting to order, and no public comments were received.

The team presented the “One Voice” approach, reinforcing unified messaging and consistent branding across all departments and communications platforms.

The committees supported the continued implementation of this strategy.

Matt McCabe introduced the 2025 Annual Brand Campaign, designed to boost engagement and promote Big Bear’s attractions through targeted messaging.

The campaign was approved unanimously.

The marketing team presented its “Seasonal Pillars” strategy, aligning promotional efforts and community events with four defined seasons: Winter Wonderland, Spring Bloom, Summer Adventures, and Autumn Harvest.

Feedback was provided on business collaborations and event alignment.

Karla Reed presented topline analytics for March 2025, which showed increases in website traffic, social media engagement, and visitor center foot traffic. These gains were attributed to more targeted advertising and a focus on digital user experience. The board discussed strategies for sustaining momentum.

The Event Status & Participation Dashboard highlighted upcoming key events including the Village Concert Series, Big Bear Theatre Project and the Plein Air Art Competition. The committees emphasized early promotions and active community engagement.

A year-over-year comparison of the Polar Plunge and Restaurant Week revealed a 15% and 10% increase in attendance, respectively. These improvements were attributed to effective marketing campaigns and broader audience outreach.

The content team unveiled several new initiatives to enhance storytelling and visitor connection:
• A Nature TV Series
• A High-Altitude Microsite
• An AI-powered Itinerary Builder
Committee members expressed enthusiasm and recommended collaboration with local influencers and creatives.

Further updates were provided on creator and media partnerships, with discussions centered on core efforts continued alignment with Visit Big Bear’s mission and values. The communications team also reported strong engagement in email, SMS, and direct response campaigns, with recommendations for continued segmentation and A/B testing.

A producer collaboration framework was introduced to streamline content creation and event production while maintaining quality and consistency.

Travis Scott delivered closing remarks, previewing the April 24 Annual Membership Meeting at the Event Center at Destination Big Bear and outlining upcoming strategic goals. Committee members expressed appreciation for the team’s progress and confirmed their continued commitment to the organization’s mission.

MAY 2025 Vacation Rental Compliance Report Summary
May 2025 Summary of Service Calls Number % Of Total
Vacation Rental Advertising without a License 0 0%
Vacation Rental Renting without a License 1 2%
Vacation Rental Noise/Party 8 19%
Vacation Rental Parking on Street or Yard 8 19%
Vacation Rental Parking too many cars 6 14%
Vacation Rental Spa after 10pm 0 0%
Vacation Rental No Exterior Sign 3 7%
Vacation Rental Trash Stored on Property 0 0%
Vacation Rental Over Occupancy 2 5%
Vacation Rental Fire Burning in Backyard 0 0%
Miscellaneous Issues 10 24%
Residential Parking Standards 0 0%
Construction 0 0%
Trash Cans Left on Property 4 10%
Total Amount of Service Calls 42 100%
May 2025 Call Summary
Resident Initiated Service Calls 31
City Initiated Service Calls 11
Total Amount of Service Calls 42
May 2025 Disposition of Service Calls Number % Of Total No Violation Observed by Officer/No Issue 11 26%
Issued Verbal Warning 4 10%
Issued Written Warning 9 21%
Issued Citation 7 17%
Issues Resolved Without Warning 10 24%
Out of Jurisdiction 0 0%
Issued NOV 1 2%
Referred to Outside Agency 0 0%
Total Vacation Rental Service Calls 42 100%
May 2025 Citation Recipients Number % Of Total
Owner 1 14%
Guest 5 72%
Agent 1 14%
Total Citations 7 100%
Total Citation Fines & Penalties $5,000
19%
7%
14%
19%
24%
10%
5% 2%
Percentage of Service Calls
Vacation Rental
Noise/Party
Vacation Rental
No Exterior Sign
Vacation Rental
parking too many
cars
Vacation Rental
Parking on Street
or Yard
Miscellaneous
Trash Can Left
Out/Trash on
Property
Vacation Rental
Over Occupancy
Vacation Rental -
Renting without a
License
Percentage of Service Calls
0%
5%
10%
15%
20%
25%
30%
No Violation
Observed by
Officer/No
Issue
Issued Verbal
Warning
Issued
Written
Warning
Issues
Resolved
Without
Warning
Referred to
outside
agency
Issued Notice
of Violation
Issued
Citation
Outside
Jurisdiction
Disposition of Service Calls
31 11
7 RESIDENT INITIATED SERVICE CALLS CITY INITIATED SERVICE CALLS CITATIONS ISSUED Call Summary

Big Bear Lake City CouncilJune 11, 2025

Big Bear Lake City Council
June 11, 2025