CITY OF SIMI VALLEY
MEMORANDUM
May 20, 2024
TO: Board of Directors, Ventura County Waterworks District No. 8 F
ROM: Department of Public Works
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UBJECT: ADOPTION OF A RESOLUTION ESTABLISHING A WATER SERVICE STANDBY CHARGE FOR FISCAL YEAR 2024-25
STAFF RECOMMENDATION
It is recommended that the Board of Directors of the Ventura County Waterworks District No. 8 (District) adopt attached Resolution No. WWD-296 (page 3) continuing the water service standby charge of $15.70 per acre per year for unserved parcels (one acre or larger) for Fiscal Year (FY) 2024-25.
BACKGROUND AND OVERVIEW
The water service standby charge is based upon the nexus between a water service connection’s potential value and the cost to facilitate the service opportunity. The charge covers the expense of maintaining and operating water supply facilities that were installed but not yet used to serve water. Water service standby charges are authorized pursuant to California Water Code Section 55501.5. The charge applies to properties where water service is available and not in service, which is currently 39 properties. Staff recommends the Board of Directors adopt Resolution No.
WWD-296 continuing t he water service standby at $15.70 per acre per year for parcels of one acre or larger.
FINDINGS AND ALTERNATIVES
Since 1971, the District has had a water service standby charge collected on the County of Ventura’s tax roll. Since 1985, a standby charge has not been assessed on any parcel smaller than one acre . Since 1996 , the option to defer payments until the parcel is developed or subdivided, or a water service connection is requested, has been available.
Staff recommends that for FY 2024-25 , the standby charge remains at $15.70 per acre per year for parcels of one acre or larger, the same rate in effect since FY 1997- 98 with a projected revenue of $4,897. Pursuant to California Water Code Section 55501.5, the law allows that an unchanged charge may be maintained by resolution, while increasing the charge is subject to the assessment procedures under Proposition 218. The charge may be up to $30 per acre and may be increased proportionally to the Consumer Price Index (CPI) for the past year. The applicable CPI has increased by 3.4% since January WATER2409.SR.MG
AGENDA ITEM NO.
Consent (8)
WATER2409.SR.MG
of last year, which equates to a potential charge increase from $15.70 to $16.23 per acre per year which would equate to additional District revenue of $166.51.
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taff recommends that the Board adopt attached Resolution No. WWD-296 continuing the existing water service standby charge. E xhibit A of the proposed R esolution No.
WWD-296 lists the parcels that would be assessed the standby charge.
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he following alternatives are presented for the Board of Directors’ consideration:
1. Adopt the attached Resolution No. WWD-296 continuing the water service standby charge of $15.70 per acre per year for parcels one acre or larger for FY 2024-25;
2. Take no action, but provide other direction to staff.
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taff recommends Alternative No. 1.
SUGGESTED BOARD MOTION
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move to adopt R esolution No. WWD-296 continuing the water service standby charge of $15.70 per acre per year for parcels one acre or larger for FY 2024-25.
SUMMARY
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he Board of Directors of the Ventura County Waterworks District No. 8 has charged water service standby charges since 1971. The charge has remained at $15.70 per acre per year since July 1997, and it currently applies to 39 parcels. Staff recommends that the District adopt the attached resolution maintaining a water service standby charge of $15.70 per acre per year for FY 2024-25.
_____________________________
Ronald K. Fuchiwaki
Public Works Director
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repared by: Michelle Elorde, Principal Engineer
INDEX Page
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esolution No. WWD-296 ..................................................................... 3 Exhibit A ............................................................................................... 5 2 WATER2409.RES.MG
RESOLUTION NO. WWD-296
A RESOLUTION OF THE BOARD OF DIRECTORS OF
VENTURA COUNTY WATERWORKS DISTRICT NO. 8
ESTABLISHING A WATER SERVICE STANDBY CHARGE
FOR FISCAL YEAR 2024-25
WHEREAS, to provide for the expense of maintaining and operating water supply facilities that were installed but not yet used to serve water, a water service standby charge is levied; and
WHEREAS, the California Water Code Section 55501.5 provides for establishing a water service standby charge for the express purpose of recovering payment from parcels for facilities that a water district installs to serve them before the land generates usage revenue; and
WHEREAS, assessments of water service standby charges placed on the FY 2024-25 secured tax bills are in conformance with provisions of Proposition 218.
WHEREAS, the County of Ventura requires Ventura County Waterworks District No. 8 to defend, indemnify, and hold harmless the County of Ventura from any challenge in applying the California Water Code Section 55501.5.
NOW, THEREFORE, THE BOARD OF DIRECTORS OF VENTURA
COUNTY WATERWORKS DISTRICT NO. 8 DOES HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The water service standby charge for parcels of one acre or larger shall be $15.70 per acre per year for FY 2024-25.
SECTION 2. The standby charge shall be levied against those properties listed on Exhibit "A", attached hereto and made a part hereof, in the amount tabulated for each specific assessor’s parcel for FY 2024-25.
SECTION 3
. Ventura County Waterworks District No. 8 shall defend, indemnify, and hold harmless the County of Ventura and the County of Ventura Auditor - Controller from any action arising from the City of Simi Valley’s utilization of the procedure established in California Water Code Section 55501.5 to apply a water service standby charge.
SECTION 4
. The District Manager is hereby authorized to enter into all necessary agreements with entities necessary to effectuate this Resolution.
3 RES. NO. WWD-296
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ATER2409.RES.MG
SECTION 5. The District Secretary shall certify to the adoption of this resolution and shall cause a certified resolution to be filed in the Office of the District Secretary.
PASSED and ADOPTED this 20th day of May, 2024.
Attest:
Lucy Blanco, City Clerk Fred D. Thomas, Chair of Ventura District Secretary County Waterworks District No. 8
Approved as to Form: Approved as to Content:
Algeria R. Ford, Brian Paul Gabler, District Manager
District Counsel
Ronald K. Fuchiwaki
Public Works Director
4 RES. NO. WWD-296
EXHIBIT A
VENTURA COUNTY WATERWORKS DISTRICT NO. 8 STANDBY CHARGES Subfund Number 1806103
Assessment Name SIMI VALLEY WATERWKS#8
File Type Direct Assessment
APN Amount ($) TransCode (A/C/D)
5000370325 114.82 *A
5000370575 1,570.74 A
5790150045 43.18 A
5790150055 73.46 A
6110080045 31.56 A
6110080145 64.08 A
6140010215 185.50 A
6140010265 197.12 A
6250161020 31.42 A
6310101080 20.88 A
6370070110 143.10 A
6480200030 15.70 A
6480210085 483.78 A
6480210220 31.72 A
6480240120 90.46 A
6490010280 23.58 A
6490010405 106.18 A
6490010415 123.14 A
6490020020 219.90 A
6490020030 31.42 A
6490020040 62.82 A
5 VENTURA COUNTY WATERWORKS DISTRICT NO. 8 STANDBY CHARGES Subfund Number 1806103
Assessment Name SIMI VALLEY WATERWKS#8
File Type Direct Assessment
APN Amount ($) TransCode (A/C/D)
6490020050 15.70 A
6490020060 15.70 A
6490020070 15.70 A
6490020090 15.70 A
6490020100 15.70 A
6490020110 15.70 A
6490020120 23.58 A
6490020130 15.70 A
6490020140 15.70 A
6490020150 15.70 A
6490020160 420.32 A
6490070540 94.52 A
6490070550 34.54 A
6490320-00 31.42 A
6490330050 121.74 A
6490340080 64.08 A
6500260030 201.58 A
6500280025 99.70 A
TOTAL: $4,897.34
*A - Add to FY 2024-25 Ventura County Direct Assessment 6