City Council Report
915 I Street, 1st Floor
Sacramento, CA 95814
www.cityofsacramento.org
File ID: 2022-00691 May 10, 2022 Consent Item 19
Title: FY2022/23 Proposed Operating Budget for the Sacramento City-County Office of Metropolitan Water Planning (CCOWMP, also known as the Water Forum)
Location: Citywide
Recommendation: Adopt a Resolution; 1) approving the Fiscal Year 2022/23 Proposed Operating Budget for the Sacramento City County Office of Metropolitan Water Planning; 2) adding 2.0 Full-Time Equivalent positions; 3) deleting 2.0 Full-Time positions from the Sacramento City-County Office of Metropolitan Water Planning Operating Budget and making the necessary budgetary adjustments for funding.
Contact: Jessica Law, Executive Director, (916) 808-1998, [email protected] , Citywide
and Community Support, Sacramento City-County Office of Metropolitan Water Planning
Presenter: None.
Attachments:
1-Description/Analysis
2-Resolution
3-Exhibit A – Water Forum Annual Budget
Description/Analysis
Issue Detail: The Fiscal Year (FY) 2022/23 proposed operating budget for the Sacramento City-County Office of Metropolitan Water Planning (CCOMWP, also known as the Water Forum) includes estimated revenue, program support transfers, and expenditures necessary to maintain staffing levels and fund prior Water Forum program and service commitments in FY2022/23. Service commitments include work on the Lower American River (LAR) Flow Management Standard, groundwater sustainability, and habitat enhancement projects, an essential requirement of the historic Water Forum Agreement (WFA).
The proposed budget includes adding 2 new staff positions, and deleting 2 former staff positions
• Delete 1.0 Full-Time Equivalent (FTE): Program Specialist • Delete 1.0 (FTE) Staff Aide (Management)
• Add 1.0 (FTE) Administrative Analyst
• Add 1.0 (FTE) Senior Engineer
The Administrative Analyst will be working on a variety of projects, including grant writing and project management. The Senior Engineer will be working with other Water Forum partners to manage flows & operations and update the Water Forum Agreement.
Policy Considerations: This recommendation is consistent with the Mayor and City Council’s mission to protect, preserve, and enhance the quality of life for present and future generations.
This recommendation is also necessary to meet mitigation requirements specified by the WFA Environmental Impact Report of 2000.
Economic Impacts: None.
Environmental Considerations: Continuing administrative activities and government fiscal activities do not constitute a project and are therefore exempt from CEQA review [CEQA Guidelines § 15378(b)(2) and (b)(4)].
Sustainability: Approval of the FY2022/23 Proposed Operating Budget for the CCOMWP is consistent with the following City of Sacramento’s General Plan Goals.
Environmental Resource Goal 1.1 – Water Quality Protection is supported by the first co-equal objective of the Water Forum Agreement “To provide a reliable water supply for planned development to the year 2030.”
Environmental Resource Goal 1.1.1.- Conservation of Open Space Areas is promoted by the second co-equal objective of the Water Forum Agreement “To preserve the fishery, wildlife, recreational, and aesthetic values of the lower American River.” Commission/Committee Action: The proposed budget was reviewed and approved by the Water Forum Coordinating Committee in February of 2022, and by the Water Forum Successor Effort Plenary in March of 2022.
Rationale for Recommendation: Approval of the FY2022/23 proposed operating budget will enable the Water Forum to continue its services and projects related to regional water resource issues, including implementation of the Habitat Management Element (HME), completion of the lower American River Flow Management Standard, and regional assistance on water conservation program implementation. These activities have been deemed essential to maintaining the lower American River as a functioning ecosystem and preserving the American River Parkway’s reputation as the jewel of the Sacramento Region. These ongoing activities, under the guidance of the Water Forum have gained regional, state-wide, and national recognition and have helped to define Sacramento as a leader in water management, open space preservation, and ecological stewardship.
Financial Considerations: The proposed operating budget for FY2022/23 is $1,643,843 in revenue and program support transfers, and $1,922,787 in expenditures for the CCOMWP Fund (7103) and the HME Fund (7104). The detail of revenue and expenditure budgets for both funds are outlined in Table 1. There are sufficient funds in Funds 7103 and 7104 available fund balance to support the additional expenditures of $278,944 not covered by revenue and program support transfers to support operating expenditures. The changes in the adding and deleting of FTE positions is estimated to have a cost of the FTE positions changes is estimated to be a savings of $162,448. The Water Forum Coordinating Committee approved the use of these available fund balances in April 2022.
The proposed City of Sacramento’s program support cost share is $496,561 for both funds, including $250,136 for WFSE services and programs in Fund 7103, and $246,452 for HME services and programs in Fund 7104. These City funds are included in the FY2022/23 Department of Utilities Water Fund 6005 proposed budget as program support transfers. .
Revenue and offsets - Fund 7103
The revenue and offsets are $904,487. The projected total amount needed for expenses is cost shared by the water purveyor signatories according to the formula outlined in the WFA and is based primarily on the number of active water connections for each purveyor.
Revenue and offsets - Fund 7104
The revenue and offsets are $739,357. The projected total amount needed for expenses is cost shared by the City and County of Sacramento and other diverters of non-Central Valley Project (CVP) water from the lower American River. Contributions to this fund are adjusted each year for inflation according to the Construction Cost Index as outlined in the WFA.
Expenditures - Fund 7103
The total WFSE expenditures are $900,087 and will be covered by resources from agency payments..
Expenditures - Fund 7104
The total HME expenditures are $1,014,000; the difference of $274,643 will be absorbed by the use of available fund balance.
Local Business Enterprise (LBE): Not applicable.
RESOLUTION NO. 2022-
Adopted by the Sacramento City Council
May 10, 2022
Approving the City-County Office of Metropolitan Water Planning Fiscal Year 2022/2023 Operating Budget
BACKGROUND
A. The City-County Office of Metropolitan Water Planning supports a diverse group of business and agricultural leaders, citizens groups, environmentalists, water manager, and local governments (including the City of Sacramento) in the Sacramento region that have joined to fulfill two co-equal objectives:
1. Provide a reliable and safe water supply for the region’s economic health and planned development to the year 2030, and
2. Preserve the fishery, wildlife, recreational, and aesthetic values of the lower American River.
B. In 1999 forty Water Forum members (including the City of Sacramento) approved a comprehensive Water Forum Agreement (WFA) (City Agreement 2001-222).
C. The WFA consists of integrated actions necessary to provide a regional solution to water shortages, environmental damage, groundwater contamination, and limited economic prosperity. To continue the work of the WFA, the stakeholders created the Water Forum Successor Effort (WFSE).
D. City Manager Agreement 2001-05 established the City-County Office of Metropolitan Water Planning (CCOMWP, also known as the Water Forum) to provide staffing and administrative support for the WFSE to the year 2030. Its objective is to promote the implementation and continued vitality of the WFA. It also specifies that all administrative arrangements of the CCOMWP will be processed according to the City of Sacramento’s established policies and procedures.
BASED ON THE FACTS SET FORTH IN THE BACKGROUND, THE CITY COUNCIL RESOLVES AS FOLLOWS:
Section 1. The CCOMWP Fiscal Year 2022/2023 Operating Budget as shown in Exhibit A is hereby approved.
Section 2. The deletion of two Full-Time Equivalent (FTE) positions (1.0 FTE Program Specialist and 1.0 FTE Staff Aide), and the addition of two FTE positions (1.0 FTE Senior Engineer and 1.0 FTE Administrative Analyst) to the CCOMWP Fiscal Year 2022/2023 Operating Budget are hereby approved.
Table of Contents:
Exhibit A – Water Forum Annual Budget
Adopted by the City of Sacramento City Council on May 10, 2022, by the following vote:
Ayes:
Noes:
Abstain:
Absent:
Attest:
The presence of an electronic signature certifies that the foregoing is a true and correct copy as approved by the Sacramento City Council.
FY 2021-
2022
FY 2022-
2023
Approved Proposed
($) ($) ($) (%)
FUNDING
Water Forum Successor Effort (WFSE) 935,061 904,487 -30,574 -3.3% Habitat Management Element (HME) 677,562 739,356 61,794 9.1% Funding Subtotal 1,612,623 1,643,843 31,220 1.9%
EXPENDITURES
Water Forum Successor Effort (7103)
Staff / Labor and Benefits 823,002 569,554 -253,448 -30.8% Operating Services and Supplies 160,285 165,533 5,248 3.3% Consulting Services and Programs 350,000 165,000 -185,000 -52.9% WFSE Subtotal 1,333,287 900,087 -433,200 -32.5%
Fund Balance Draw -398,226 0 398,226
WFSE TOTAL 935,061 900,087 -34,974 -3.7%
Habitat Management Element (7104)
Staff / Labor and Benefits 300,000 400,000 100,000 33.3% Consulting Services and Programs 558,200 614,000 55,800 10.0% HME Subtotal 858,200 1,014,000 155,800 18.2%
Fund Balance Draw -180,638 -274,644 -94,006
HME TOTAL 677,562 739,356 61,794 9.1%
Fund Balance Draw
Water Forum Successor Effort (7103) -398,226 0 398,226 -100.0% Habitat Management Element (7104) -180,638 -274,644 -94,006 52.0% Subtotal -578,864 -274,644 304,220 -52.6%
Total Local Funding
Water Forum Successor Effort 935,061 900,087 -34,974 -3.7% Habitat Management Element 677,562 739,356 61,794 9.1%
Fund Balance Draw 578,864 274,644 -304,220 -52.6%
Subtotal 2,191,487 1,914,087 -277,400 -12.7%
Difference
Water Forum Annual Budget
Fiscal Year 2022-23
- Overview -
1,612,623 1,639,443 26,820 1.7%WATER FORUM FUNDS TOTAL 1 FY 2021-2022 FY 2022-2023
Approved Proposed
($) ($) ($) (%)
WATER FORUM SUCCESSOR EFFORT
Staff/ Labor and Benefits 823,002 569,554 -253,448 -30.8% Permanent staff 653,574 569,554 -84,020 -12.9%
Temporary position 169,428 -169,428 -100.0%
Operating Services and Supplies 160,285 165,533 5,248 3.3% Leased office space 53,728 56,549 2,821 5.3%
Special projects 0 0 0 n/a
City administrative costs 39,000 39,000 0 0.0%
Outreach and sponsorships 10,000 10,000 0 0.0%
Food and catering for meetings 5,000 5,000 0 0.0%
Printing 5,000 5,000 0 0.0%
Transportation/local 5,000 5,000 0 0.0%
Legal services 12,457 13,708 1,251 10.0%
Travel/ lodging/registration fee /meeting rooms 7,000 7,000 0 0.0% Office supplies, AV, subscriptions/membership 5,000 5,000 0 0.0% Rental/maintenance of equipment 5,100 5,100 0 0.0%
Telecommunications 6,500 6,500 0 0.0%
Computers services/software/website 6,000 7,200 1,200 20.0% Postage & delivery services 500 476 -24 -4.8%
Consulting Services / Programs 350,000 165,000 -185,000 -52.9% Mediation/Facilitation 300,000 -300,000 -100.0%
Water management Analysis 50,000 0 0 0.0%
Water Forum 2.0 0 50,000 50,000 n/a
Flows and Operations 0 0 0 n/a
Engagement 0 50,000 50,000 n/a
Administrative 0 65,000 65,000 n/a
WFSE Subtotal 1,333,287 900,087 -433,200 -32.5%
Fund Balance Draw Subtotal
Difference
Water Forum Annual Budget
Fiscal Year 2022-23
- Proposed Expenditures -
1 FY 2021-2022 FY 2022-2023
Approved Proposed
($) ($) ($) (%)
Difference
Water Forum Annual Budget
Fiscal Year 2022-23
- Proposed Expenditures -
HABITAT MANAGEMENT ELEMENT
Staff / Labor and Benefits 300,000 400,000 100,000 33.3% Consulting Services / Programs 558,200 614,000 55,800 10.0% Science Support: n/a
Temperature Modeling 200,000 114,000 -86,000 -43.0%
Fisheries Monitoring 163,200 75,000 -88,200 -54.0%
Project Implementation 90,000 100,000 10,000 11.1%
Other Technical support 0 175,000 175,000 n/a
Engagement 105,000 105,000 0 0.0%
Administrative 0 45,000 45,000 n/a
HME Subtotal 858,200 1,014,000 155,800 18.2%
Note: Per the Water Forum Agreement, the HME cost is adjusted annually by the construction index of the Engineering News Record (Construction Cost Index for 20 Average US Cities and for the San Francisco Bay Area.) 2 FY 2021-2022 FY 2022-2023
Approved Proposed
($) ($) ($) (%)
Difference
Water Forum Annual Budget
Fiscal Year 2022-23
- Proposed Expenditures -
ROLLUPS AND SUMMARIES
Fund Balance Draw
WFSE -398,226 0 398,226 -100.0%
HME -180,638 -274,644 -94,006 52.0%
Fund Balance Draw Subtotal -578,864 -274,644 304,220 -52.6% Total Budget including Fund Balance Draw
WFSE 935,061 900,087 -34,974 -3.7%
HME 677,562 739,356 61,794 9.1%
Total Budget with Fund Balance 1,612,623 1,639,443 26,820 1.7% Summary: Staff / Labor and Benefits
WFSE 823,002 569,554 -253,448 -30.8%
Temporary Position 169,428 0 -169,428 -100.0%
HME 300,000 400,000 100,000 33.3%
Staffing Subtotal 1,292,430 969,554 -322,876 -25.0%
3 Water Forum Annual Budget
Fiscal Year 2022-23
- Summary of Projected Funding Sources -
FY22-23
WFSE
Sacramento County - Zone 13 465,153
City of Sacramento 250,136
City of Roseville 86,636
City of Folsom 40,245
Placer County Water Agency 19,957
Sacramento Municipal Utility District 20,601
San Juan Water District in Placer County 12,714
El Dorado County Water Agency 9,045
Subtotal 904,487
HME
Sacramento County - Zone 13 492,905
City of Sacramento 246,452
Non CVP Diversions 0
Golden State Water Company 0
Subtotal 739,356
1 Water Forum Annual Budget
Fiscal Year 2022-23
- WFSE Cost Share -
Purveyors / Organizations
Connections
(01-01-22)
Percent of
Total
Cost
Share
Zone 13, Sacramento County unincorporated area1
267,948 51.43% 465,153$
City of Sacramento 144,089 27.66% 250,136 $
City of Roseville 49,906 9.58% 86,636 $
City of Folsom 23,183 4.45% 40,245 $
Placer County Water Agency2 11,496 2.21% 19,957$
Sacramento Municipal Utility District3 n/a 2.28% 20,601$ San Juan Water District in Placer County 7,324 1.41% 12,714 $ El Dorado County Water Agency4 n/a 1.00% 9,045$
Total 503,946 100.00% 904,487$
NOTES:
1Zone 13 funds are used to cover the financial contributions for the following water purveyors:
Purveyors / Organizations
Connections
(01-01-22)
Percent of
Zone 13
California-American Water Company 64,086 23.92%
Carmichael Water District 11,718 4.37%
Citrus Heights Water District 20,224 7.55%
Clay Water District n/a n/a
Del Paso Manor Water District 1,799 0.67%
Elk Grove Water District 13,042 4.87%
Fair Oaks Water District 14,390 5.37%
Florin County Water District 2,500 0.93%
Galt Irrigation District n/a n/a
Golden State Water Company 17,114 6.39%
Natomas Central Mutual Water Company n/a n/a
Omochumne-Hartnell Water District n/a n/a
Orange Vale Water Company 5,684 2.12%
Rancho Murieta Community Services District 2,734 1.02%
Rio Linda/Elverta Community Water District 4,648 1.73%
Sacramento County Water Agency 59,510 22.21%
Sacramento Suburban Water District 47,102 17.58%
San Juan Water District (in Sacramento County) 3,397 1.27% Total 267,948 100.00%
2It is assumed that two-thirds of PCWA's connections are served by the Yuba/Bear Rivers. Therefore, the remaining 10,924 connections (one-third of 32,773 total connections) are used in this computation. 4El Dorado County Water Agency contributes 1% of the total budget on behalf of El Dorado Irrigation District and Georgetown Divide Public Utilities District. If any of these entities finalize a Purveyor Specific Agreement, their cost contribution will be updated. 3Contributions by SMUD was initially $10,000/year. This contribution is adjusted each year for inflation by the same Engineering News Record index used to adjust the Habitat Management Fund. 1 of 1 4/28/2022
Water Forum Annual Budget
Fiscal Year 2022-23
- HME Cost Share1 Projection -
2021-2022 2022-2023
Approved Proposed
County of Sacramento - Zone 13 451,709 492,905 2 41,196 9.12% City of Sacramento 225,854 246,452 2 20,598 9.12%
Non CVP Diversions 0 0 3 0.00% n/a
Total 677,562 739,356 61,794 9.12%
4Golden State Water Company agreed to contribute to the HME for water diverted under its replacement water supply contract with SMUD. The potential value of this contribution is unknown at the time budgets are prepared.
1The Water Forum Agreement describes the cost-sharing process among the Water Forum purveyors for the Habitat Management Element on pages 86-87.
Difference
using the average of the CCI for these two areas, currently 9.12%. This % is multiplied by the prior 3Other purveyors with contracts for Central Valley Project water agreed to contribute to the HME in those years when they divert non-CVP water above their baseline. The potential value of these contributions is unknown at the time budgets are prepared. 2Contributions by the City of Sacramento and County of Sacramento were initially set annually at $125,000 and $250,000, respectively. These contributions are adjusted each year for inflation as set by the January issue of the "Engineering News Record" published Construction Cost Index (CCI) for US - 20 Cities Average and for the San Francisco Bay Area. The annual adjustment is year contribution amount to determine the amount of increase/decrease. 1