Solvang City Council
June 27, 2022

Agenda 2022-06-27 CC

CITY COUNCIL AGENDA
6:30 PM - MONDAY, JUNE 27, 2022 – REGULAR MEETING
VIRTUAL & IN COUNCIL CHAMBER, 1644 OAK STREET, SOLVANG, CA 93463 City Council:

Charlie Uhrig, Mayor
Mark Infanti, Mayor pro tem
Robert Clarke, Councilmember
Claudia Orona, Councilmember
Jim Thomas, Councilmember
Pursuant to California Assembly Bill 361 City Council meetings are permitted to be held via teleconferencing and the City will provide both remote and in-person participation options. Members of the public can observe and address the meeting telephonically or electronically. Virtual participation is available via Zoom or phone. Join the Zoom meeting by visiting https://zoom.us/j/3066529195 (Meeting ID: 306 652 9195). If you wish to speak, please use the “raised hand” symbol. If you would like to make a comment by phone, please call into conference line at (888) 788-0099 (Meeting ID: 306 652 9195). The phone line will be open starting at 6 p.m. In-person speakers will be invited to make public comments first. Virtual speakers will follow. You may also observe the live stream of the City Council meetings on www.CityofSolvang.com/YouTube.

Distribution to the City Council – You may, but are not required to, submit your comment in advance.

Should you wish to do so, please do so via email prior to 5 p.m. on the Friday prior to the Council meeting to the City Clerk at: [email protected]. Your comment will be recorded and distributed appropriately.

AGENDA AND SUPPORTING MATERIALS - Copies of staff reports and supporting documentation pertaining to each item on this agenda are available for public viewing and inspection at City Hall, 1644 Oak Street, Solvang, during regular business hours and on the City’s website https://cityofsolvang.com AGENDA POSTING NOTIFICATION - If you would like to receive notification of the agenda availability, please subscribe to our “Notify Me” list at: https://www.cityofsolvang.com/List.aspx. You will receive notification when the agenda is available for viewing on the website and you may view and/or print a copy.

DOCUMENTS DISTRIBUTED FOLLOWING THE POSTING OF THE AGENDA. Any writings that relate to an agenda item for an open session that is distributed to a majority of the Council after the posting of the agenda, will be available for public inspection at the City Clerk’s office, and may be posted to the website.

PUBLIC COMMENT - The public is encouraged to address the City Council on any matter posted on the agenda or on any other matter within its jurisdiction. If you wish to address the City Council on non-agenda items, you may do so during the PUBLIC PARTICIPATION ON NON-AGENDA ITEMS section on the agenda. Each person is allotted three (3) minutes to speak.

Pursuant to provisions of the Brown Act, no action may be taken on a matter unless it is listed on the agenda, or unless certain emergency or special circumstances exist. The City Council may direct staff to investigate and/or schedule certain matters for consideration at a future City Council meeting.

IN COMPLIANCE WITH THE AMERICANS WITH DISABILITIES ACT - It is the intention of the City of Solvang to comply with the Americans with Disabilities Act (ADA) in all respects. If, as an attendee or a participant at this meeting, you need special assistance beyond what is normally provided, the City will attempt to accommodate you in every reasonable manner. Please contact the City Clerk at either (805) 688-5575 x206 or [email protected]. 72- hours’ notice is requested.

Agenda 2022-06-27 CC
6:30 PM OPEN SESSION – REGULAR MEETING

CALL TO ORDER

ROLL CALL

PLEDGE OF ALLEGIANCE

CEREMONIAL ITEMS/COMMENDATIONS

PRESENTATIONS
a. Juneteenth Event 2022

PROCLAMATIONS

1. PUBLIC COMMUNICATIONS – NON- AGENDA AND CONSENT ITEMS This section is intended to provide members of the public with the opportunity to address the Council on items not on the Agenda and the Consent Agenda. This section is limited to 30 minutes. Each speaker will be afforded three minutes and may speak only once. State law does not allow the Council to discuss or take action on issues not on the agenda, except to briefly respond or to ask Staff to follow up on such items.

2. CITY MANAGER REPORT AND ADVANCE CALENDAR
Informational Report……………………………………………………………………………………………….4

3. COUNCIL COMMENTS AND REQUESTS
Comments and requests from City Council Members. No action will be taken at this meeting.

4. CONSENT ITEMS
This section is intended to provide members of the public with the opportunity to address the Council on items not on the Agenda and on Consent. Each speaker will be afforded three minutes and may speak only once. State law does not allow the Council to discuss or take action on issues not on the agenda, except to briefly respond or to ask Staff to follow up on such items.
a. Approve Order of Agenda as Presented.
b. Approve the Minutes of the City Council meeting of June 13, 2022 ……………………………….5 c. Adopt by Title Only for second reading Ordinance 22-0357 Amending Title 11 of the Solvang Municipal Code to address Walk-up Food Service Windows facing Outdoor Patios and Seating Areas on Private Property in the Tourist Related Commercial (TRC) Zone and making a determination of Exemption under the California Environmental Quality Act. …………………….14

PUBLIC HEARINGS

5. PUBLIC HEARING TO CONSIDER INTRODUCTION AND FIRST READING BY TITLE ONLY OF ORDINANCE NO. 22-0358 AMENDING TITLE 11 OF THE SOLVANG MUNICIPAL CODE

TO ADDRESS FOOD TRUCKS AND OTHER VENDING ON PRIVATE PROPERTY IN THE

CITY OF SOLVANG AND MAKING A DETERMINATION OF EXEMPTION UNDER THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
Open the Public Hearing, receive Public Comments, Close the Public Hearing, and Introduce Ordinance No. 22-0358 ……………………………………………………………………………….19

6. PUBLIC HEARING TO CONSIDER INTRODUCTION FOR FIRST READING BY TITLE ONLY Agenda 2022-06-27 CC
OF ORDINANCE 22-0359 MODIFYING CITY OF SOLVANG MUNICIPAL CODE, TITLE 9 WATER AND SEWER, CHAPTER 3 WATER CODE, ARTICLE D. WATER CONSERVATION PROGRAM, 9-3D-3 REGULATIONS DURING DROUGHT CONDITIONS
Open the Public Hearing, receive Public Comments, Close the Public Hearing, and Introduce Ordinance No 22-0359………………………………………………………………………………….24

7. PUBLIC HEARING TO CONSIDER RESOLUTION NO. 22-1178 ADOPTING NEW WATER AND WASTEWATER CONNECTION FEES.

Open the Public Hearing, receive Public Comment, Close the Public Hearing, and Adopt Resolution No. 22-1178……………………………………………………………………………….34

REGULAR BUSINESS

8. ADOPT RESOLUTION NO. 22-1179 APPROVING THE FY 2022-24 FINANCIAL PLAN

1. Receive Proposed Fiscal Year 2022-24 Financial Plan; and,

2. Approve or deny one-time funding requests summarized in Attachment C,

3. Consider adding to Capital Improvement Program and funding a Wayfinding Project

4. Approve the Proposed Fiscal Year 2022-24 Financial Plan and approve Resolution 22-1179 adopting the Fiscal Year 2022-23 budget as presented and authorizing the City Manager to make administrative changes to the document to reflect City Council action taken during this hearing. ……………………………………………………………………………………………114

9. DISCUSSION AND POSSIBLE ACTION REGARDING TAX MEASURE POLL RESULTS FOR THE NOVEMBER 2022 ELECTION BALLOT…………………………………………………….351

1. Adopt the Resolutions to submit to the voters a question relating to updated local funding sales tax measure:

A. Draft Resolution 22-1180 approving ballot measure text relating to locally controlled one cent sales tax to be submitted to the qualified electors of the City at the General Municipal Election to be held on November 8, 2022, as called by Resolution 22-1173, and directing the City Attorney to prepare an impartial analysis.

B. Draft Resolution 22-1181, setting priorities for filing written arguments regarding the City measure.

C. Draft Resolution 22-1182, providing for the filing of rebuttal arguments for the City measure.

2. Introduce, on first reading by title only, Draft Ordinance imposing a locally controlled one cent transactions and use (sales) tax to be administered by the California Department of Tax and Fee Administration, subject to adoption by the electorate.

10. ADOPT RESOLUTION 22-1183 ESTABLISHING A TICKETS AND PASSES DISTRIBUTION POLICY PURSUANT TO CALIFORNIA CODE OF REGULATIONS TITLE 2 SECTION 18944.1 Adopt a resolution establishing a tickets and passes distribution policy pursuant to California Code of Regulations Title 2 Section 18944.1. ……………………………………………………………367

11. AB1234 REPORT OUT AND COUNCIL CLOSING COMMENTS

12. ADJOURNMENT

AFFIDAVIT OF POSTING
I, Annamarie Porter, City Clerk for the City of Solvang, California, DO HEREBY CERTIFY under penalty of perjury under the laws of the State of California, that the foregoing notice was posted at the City of Solvang City Hall bulletin board at 1644 Oak Street, Solvang, CA and on the City of Solvang website not less than 72 hours prior to the meeting, per Government Code 54954.2.

Dated this 22nd day of June 2022.

Meeting Date Agenda Item Agenda Action
11-Jul Award Street Tree Maintenance Agreement Consent n/a Approve Award Street Tree Pruning Agreement Consent n/a Approve California Concrete Grinding Contract Extension Consent n/a Approve Drought Restrictions Ordinance Amendment 2nd reading Consent n/a Approve Code of Conduct Resolution Discussion n/a Adopt
Designation of Voting Delegates & Alternatives League of California Cities Business n/a Approve
Food Trucks Title 11 Ordinance Second Hearing Consent n/a Adopt Award Second Street drainage contract Discussion n/a Award Gann Appropriation Limit Resolution Discussion n/a Adopt 18-Jul
Danish/Eruopean Plaza Concept Community Workshop Public Workshop N/A 25-Jul
8-Aug Santa Barbara County Request to Consider New Location for Fire Station Preliminary Analysis Business n/a Policy Customer Satisfaction Survey/Poll Options Business n/a Policy 22-Aug
5-Sep
19-Sep
10-Oct
24-Oct
14-Nov
21-Nov Stormwater Management Program Annual Report
12-Dec Annual Comprehensive Financial Report Audit
26-Dec Cancelled
Meeting Date Agenda Item Agenda Action
N/A
Agenda Item Agenda Action
November Stormwater Management Program Annual Report Consent Receive December Appointment of Mayor pro tem Business Approve
December Council selection of representatives to Committees and Agencies Business Approve
December (every
two years/ even
year) Appointment to Boards, Commissions, Committees Business Approve January Comprehensive Annual Financial Report Business Approve January Grant Funding Policy Review Business Approve
February Measure A 5-Year Local Program of Projects Public Hearing Approve February Fiscal Outlook and Financial Policies Business Approve February (every-two
years/ even year)
Council Budget Goal Setting Public Workshop Approve
March SB1 RMRA project List Public Hearing Approve
March Investment Policy Annual Review Business Approve
March Solvang Skytt Mesa LLMD Annual Assessment Public Hearing Approve March FTA 5311 Grant Agreement Consent Approve
March TDA Grant Funding Consent Approve
May Preliminary Budget
Oct/Jan/April/July Quarterly Financial Reports Business Approve June Two-Year Financial Plan Development or Supplemental Budget adoption Business Adopt
June Capital Improvement Program Business Adopt
June/July Amend Appropriation Limit Public Hearing Adopt July AB 1600 Report Business Approve
Council Requested Agenda Items
Annual Reports

ADVANCE CALENDAR
4 June 13, 2022
Monday
6:00 p.m.
6:00 PM CITY COUNCIL SPECIAL CLOSED SESSION

1. CALL TO ORDER
Mayor Uhrig called the meeting to order at 6:01 p.m.

2. ROLL CALL

Present: Mayor Charlie Uhrig; Mayor pro tem Mark Infanti; Councilmembers Robert Clarke, Claudia Orona, Jim Thomas
Staff: City Manager Xenia Bradford, City Attorney David Fleishman, City Clerk Annamarie Porter

3. PLEDGE OF ALLEGIANCE
Led by Mayor Uhrig

4. PUBLIC COMMUNICATIONS ON CLOSED SESSION
There were no public communications on Closed Session items.

5. RECESS TO CLOSED SESSION
Mayor Uhrig recessed to Closed Session at 6:03 p.m.
a. CONFERENCE WITH LEGAL COUNSEL—ANTICIPATED LITIGATION - Initiation of litigation pursuant to Gov. Code §54956.9(d)(4)
One potential Case

RECONVENE TO OPEN SESSION
Mayor Uhrig reconvened from Closed Session at 6:35 p.m.

6. ANNOUNCEMENT OF CLOSED SESSION ACTIONS
City Attorney David Fleishman reported City Council met in Closed Session and there was no reportable action.

7. ADJOURNMENT
Mayor Uhrig adjourned the meeting at 6:35 p.m.

MINUTES

SOLVANG CITY COUNCIL

SPECIAL CLOSED SESSION AND REGULAR

MEETINGS

5 6:30 PM OPEN SESSION – REGULAR MEETING

CALL TO ORDER
Mayor Uhrig called the regular meeting to order at 6:35 p.m.

ROLL CALL

Present: Mayor Charlie Uhrig; Mayor pro tem Mark Infanti; Councilmembers Robert Clarke, Claudia Orona, Jim Thomas
Staff: City Manager Xenia Bradford, City Attorney David Fleishman, City Clerk Annamarie Porter, Utilities Director Jose Acosta.

PLEDGE OF ALLEGIANCE
Led by Mayor Uhrig

PROCLAMATIONS, COMMENDATIONS, CEREMONIAL ITEMS
a. Juneteenth Proclamation
Mayor Uhrig presented a proclamation declaring June 19, 2022 as Juneteenth Day.

Denise El Amin received the proclamation and thanked the City for the acknowledgement. b. Pride Month Proclamation
Mayor Uhrig presented a proclamation in commemoration of June 2022 as Pride Month.

Golzar Meamar, on behalf of Santa Ynez Valley Pride, received the proclamation and thanked the City for its acknowledgement.

Mayor Uhrig invited public comments.

Harry Mullen read a statement from Matthew Cavalli, President, Santa Ynez Valley Pride, thanked the City and community members for the proclamation.

Chris Brown, Pastor, Bethania Lutheran Church, provided a short history of the City; spoke about being united in humanity and thanked the City for the proclamation.

Alice Gillaroo spoke about living in the area as a gay woman and thanked the City for the proclamation.

There were no other public comments.
c. Solvang Festival Theater Proclamation
Mayor Uhrig presented a proclamation declaring the week of July 10, 2022 as Solvang Festival Week.

Chris Nielsen thanked the City for the proclamation.

PRESENTATIONS – None
6 1. PUBLIC COMMUNICATIONS – NON-AGENDA AND CONSENT ITEMS Vashti Wilson spoke about the upcoming Juneteenth celebration and asked that City Council consider Juneteenth for annual funding at $5,000.

Erica Jane Forest Santa Ynez Valley, People Helping People, invited Council and the public to the upcoming Polo Classic fundraiser and spoke about their day of service and their weekly food distribution.

Nancy Hunsicker (via Zoom), Santa Ynez Valley, People Helping People, spoke about the services provided by the organization and its accomplishments and asked for City Council’s continued support.

Kim Jensen, member of the Tourism Advisory Committee spoke about the City hiring a Marketing Director and asked that the TAC have input in the process.

A representative of the Santa Ynez Valley Therapeutic Riding Program, spoke about the organization and requested continued funding assistance from the City of $5,000.

Denise El Amin spoke in support of the Santa Ynez Valley Therapeutic Riding Program.

Vashti Wilson spoke about her education and experience in Marketing and urged City Council to reconsider the top three candidates for the Tourism Marketing Managed Services contract and have them do a second pitch.

There were no other public comments.

2. CITY MANAGER REPORT AND ADVANCE CALENDAR
City Manager Bradford announced the upcoming State of the City event; discussed an upcoming workshop regarding the Plaza/Promenade Project; listed special events and presented details of the Advance Calendar.

3. COUNCIL COMMENTS AND REQUESTS
Mayor pro tem Infanti recognized Dennis Beebe who proposed that the Boy Scouts help paint the monument sign near Nielsen’s; stated the Boy Scouts were unable to do so and reported Dennis Beebe and his daughter have committed to repaint the sign. Additionally, he reported watching a recent Planning Commission meeting where discussion occurred regarding parking in-lieu fees; asked that the item be placed on an upcoming City Council agenda and recommended that speakers speak directly into the microphones so that the public watching on YouTube or Zoom are able to hear, clearly.

Mayor Uhrig spoke about having pavers finished by Friday; commented favorably regarding the recent Concert in the Park; presented food bank statistics; reminded the public about current drought conditions; commended the Sheriff’s Department on its recent actions regarding possible threats to City schools and announced the opening the first carpool lane in Santa Barbara County.

4. CONSENT AGENDA
a. Approve Order of Agenda as Presented.
b. Approve the City Council meeting Minutes May 23, 2022. c. Adopt Resolution 22-1171, a Resolution of the City Council of the City of Solvang, California Authorizing Remote Teleconference Meetings of the Solvang Meeting Bodies. 7 d. Approve Warrants Register for May 2022
e. Approve a Contract with Tetra Tech, Inc for general engineering support services in the amount not to exceed $83,200 for the term July 1, 2022 – June 30, 2023.

Mayor pro tem Infanti made corrections to the City Council meeting minutes of May 23, 2022.

Motion by Mayor pro tem Infanti, approve the Consent Agenda with corrections to the minutes of May 23, 2022, seconded by Councilmember Thomas and carried 5-0.

PUBLIC HEARINGS

5. PUBLIC HEARING TO CONSIDER PROPOSITION 218 UTILITY RATES, CONSIDER WRITTEN

PROTESTS, DECLARING RESULTS OF MAJORITY PROTEST PROCEEDINGS AND ADOPT RESOLUTION NO. 22-1172
Open the Public Hearing, receive Public Comments, declare results of majority protest proceeding, Close the Public Hearing, and adopt Resolution No 22-1172 Mayor Uhrig opened the public hearing.

City Manager Bradford introduced the item; discussed engagement of a consultant and deferred to Utilities Director Acosta for a report.

Utilities Director Acosta provided a brief background on the rate study and increases; introduced the consultant from HDR and deferred to him for a presentation.

Consultant Shawn Koorn, HDR, narrated a PowerPoint presentation with details of the utilities rate study.

City Manager Bradford reported receiving forty-one protests.

Discussion followed regarding availability of smart meters, average rate for a family of four, reserve requirements for each utility, details of Proposition 218, fixed costs for water and sewer, the tiered rate structure for single-family homes and commercial/industrial rates.

Frank Smithson expressed concerns regarding his bill; noted he has reduced his water usage and questioned reductions in his bill in light of meter fees and fixed costs.

Denise El Amin commented on the meter fees; referenced a settlement regarding meter fees; spoke in opposition to the proposed increases and suggested water usage rate should be higher for those who use the most water.

Jill Bullhorn asked about increases in subsequent years; noted her efforts in conserving water and spoke in opposition to the proposed rate increases.

Mayor Uhrig reported the fixed rate will go down starting in July but will increase next year; noted the need to purchase State water and stated the intent is to make it fair for everyone.

Councilmember Orona reported other towns base their rates on use, alone, and noted those municipalities have been sued because they do not meet with Proposition 218 as they base their rates, arbitrarily, they do not cover costs and the practice is unsustainable.

Elizabeth Orona commented on Solvang water rates compared with Buellton and Santa Ynez; spoke about local residents subsidizing for peaks of usage by non-local residents (i.e., hotel visitors) and expressed concerns about long-term plans for conserving water and meeting the City’s ultimate goals. 8 Mayor pro tem Infanti spoke about the need to upgrade aged water storage tanks and funding the project with money collected through fixed meter charges.

Denise El Amin thought the City’s water infrastructure should be up to date, as the City has been collecting fixed meter charges.

There were no other public comments and Mayor Uhrig closed the public hearing.

Mayor Uhrig noted everyone is all in this, together; agreed the tier system will help offset costs for those who spend more and stated that everyone will pay their fair share.

Discussion followed regarding commercial and industrial uses and rates for water and sewer and conserving water not to reduce rates but rather because it is a precious and limited resource.

Motion by Mayor pro tem Infanti, adopt Resolution No 22-1172, seconded by Councilmember Thomas and carried 5-0.

6. PUBLIC HEARING TO CONSIDER INTRODUCTION FOR FIRST READING BY TITLE ONLY ADOPTION OF ORDINANCE NO. 22-0357 TITLE 11 MODIFICATIONS REGARDING WALKUP

FOOD SERVICES WINDOWS
Open the Public Hearing, receive Public Comments, Close the Public Hearing, and Introduce Ordinance 22-0357 for the first hearing amending Title 11 to allow walk-up food service windows facing outdoor patios and seating areas on private property, but continue to prohibit other types of walk-up windows in the Tourist Related Commercial (TRC) Zone.

Mayor Uhrig opened the public hearing.

Councilmember Orona declared a conflict of interest, as she has a food service business in the City and left the Chamber at 8:33 p.m.

City Manager Bradford presented details of the report and discussed consideration by and recommendations of the Planning Commission.

City Attorney Fleishman presented information on the proposed ordinance; noted changes to the original ordinance and offered to respond to questions from Council.

Discussion followed regarding existing walk-up windows that were grandfathered at the time of the original ordinance. It was noted the food trucks will be addressed separately, by vehicle code.

City Manager Bradford reported the Planning Commission is considering food trucks and the item will appear before City Council in the near future.

Mayor Uhrig invited public comments.

There were no public comments and Mayor Uhrig closed the public hearing.

Motion by Councilmember Clarke to introduce Ordinance 22-0357 for the first hearing amending Title 11 to allow walk-up food service windows facing outdoor patios and seating areas on private property but continue to prohibit other types of walk-up windows in the Tourist Related Commercial (TRC) Zone, seconded by Mayor pro tem Infanti, and carried 4-0, with Councilmember Orona, absent (recused).

RECESS/RECONVENE
9 Mayor Uhrig called for a recess at 8:40 p.m. The meeting reconvened at 8:48 p.m., with all Councilmembers, present.

BUSINESS ITEMS

7. RECEIVE PRESENTATIONS FOR FY 2022-24 FINANCIAL PLAN DEVELOPMENT GRANT

FUNDING AND SPECIAL DISCRETIONARY FUNDING REQUEST
Receive brief presentations from community organizations requesting special discretionary funding requests for FY 2022-24 Financial Plan development. These are presentations by organizations who were not able to present on May 23 during Preliminary Budget Hearing. No action will be taken tonight.

Council will vote on fund allocations for each request on June 27 during final Financial Plan budget adoption hearing
City Manager Bradford narrated a PowerPoint presentation regarding the FY 2022-24 Financial Plan Development Grant funding process and special discretionary funding requests.

Interested parties were invited to address City Council on this item.

Nancy Purdham, Atterdag at Home, addressed their services to homebound seniors; discussed their volunteers and general services; talked about ongoing challenges and asked for $20,000 from the City to continue their valuable services.

Valerie A. Kissell, CEO, People Helping People, thanked the City for its past support; discussed their accomplishments and services; noted their primary focus is on emergency services and requested a grant of $12,500/year for the next two years for their emergency services.

Chris Nielsen, Solvang Festival Theater, thanked the City for its continued support; talked about increasing the events at the theater; spoke about their capital improvement campaign; asked for a grant of $100,000 in 2023 and 2024 to realize their full capability and commented on holding events earlier in spring and later in the fall.

Max Hanberg discussed the upcoming Danish Days events; requested a grant of $50,000 and thanked the City for its continued support.

There were no public comments on this item.

No action was required on this item.

8. APPROVE SANTA BARBARA COUNTY VETERANS’ FOUNDATION PARADE & EVENT ON NOVEMBER, 12, 2022
Consider approval of a new annual special event “Salute to Veterans” proposed for November 12, 2022. The application was reviewed by Tourism Advisory Committee on June 2, 2022 and was recommended for approval unanimously.

City Manager Bradford provided brief report and addressed consideration by and recommendations from the TAC.

Henry Schulte, Santa Barbara County Veterans’ Foundation, provided a brief history of the organization; spoke about recognizing local veterans and discussed their plans for a parade and event to honor them on November 12, 2022.

There were no public comments on this item.
10 Motion by Councilmember Clarke to approve a new annual special event “Salute to Veterans” proposed for November 12, 2022, seconded by Mayor pro tem Infanti, and carried 5-0.

9. GENERAL MUNICIPAL ELECTION - NOVEMBER 8, 2022
a. Adopt Resolution No. 22-1173 calling for the holding of a General Municipal Election to be held on Tuesday, November 8, 2022 for the election of certain officers as required by the provisions of the laws of the State of California relating to Charter Law Cities. b. Adopt Resolution No. 22-1174 requesting the Board of Supervisors of the County of Santa Barbara to render specified services to the City relating to the conduct of a General Municipal Election to be held on Tuesday, November 8, 2022.
c. Adopt Resolution No. 22-1175 requesting the Board of Supervisors of the County Santa Barbara to consolidate a General Municipal Election to be held on Tuesday, November 8, 2022, with the Statewide General Election to be held on that date pursuant to Section § 10403 of the Elections Code.
d. Adopt Resolution No. 22-1176 adopting regulations for candidates for elective office pertaining to candidate statements submitted to the voters at an election to be held on Tuesday, November 8, 2022.
e. Adopt Resolution No. 22-1177 providing for a procedure for determining by lot a tie among candidates at the November 8, 2022 consolidated General Municipal Election in accordance with Elections Code Section 15651
City Manager Bradford presented the staff report.

There were no public comments on this item.

Motion by Mayor pro tem Infanti to adopt Resolution No. 22-1173 calling for the holding of a General Municipal Election to be held on Tuesday, November 8, 2022 for the election of certain officers as required by the provisions of the laws of the State of California relating to Charter Law Cities, adopt Resolution No. 22-1174 requesting the Board of Supervisors of the County of Santa Barbara to render specified services to the City relating to the conduct of a General Municipal Election to be held on Tuesday, November 8, 2022, adopt Resolution No. 22-1175 requesting the Board of Supervisors of the County Santa Barbara to consolidate a General Municipal Election to be held on Tuesday, November 8, 2022, with the Statewide General Election to be held on that date pursuant to Section § 10403 of the Elections Code, adopt Resolution No. 22-1176 adopting regulations for candidates for elective office pertaining to candidate statements submitted to the voters at an election to be held on Tuesday, November 8, 2022 and adopt Resolution No. 22-1177 providing for a procedure for determining by lot a tie among candidates at the November 8, 2022 consolidated General Municipal Election in accordance with Elections Code Section 15651, seconded by Councilmember Thomas, and carried 5-0.

10. AWARD THE CITY OF SOLVANG TOURISM MARKETING MANAGED SERVICES CONTRACT TO ABBI AGENCY IN THE AMOUNT NOT TO EXCEED $600,000 FOR THE TWO- YEAR TERM JULY 1, 2022 – JUNE 30, 2024.

Authorize City Manager to negotiate and execute a two-year contract with Abbi Agency for Marketing Management Services not to exceed $600,000. Abbi Agency was selected by the Tourism Advisory Committee on June 2, 2022 as the top candidate out of eleven responses to the RFP.

City Manager Bradford presented details of the staff report.

Connie Anderson, Abbi Agency, discussed a history of the organization; addressed their experience 11 working with the City of Goleta; spoke about developing a plug-in for the City’s website to make it accessible to all and spoke about providing regular updates to the TAC or to City Council.

Discussion followed regarding the time of the Go Goleta campaign, having seven staff members support the City’s account, location of staff members, having timely accessibility, making the City appealing to younger visitors, and maintaining the City’s branding and reevaluating it in the future.

Mayor Uhrig invited public comments.

Denise El Amin spoke about the need to pick the right target audience and discussed the need to consider diversifying its marketing strategy.

Discussion followed regarding having the Abbi Agency collaborate with other entities such as Visit SYV, tracking analytics and attracting the right people to attract to Solvang.

There were no other public comments.

Motion by Mayor pro tem Infanti to authorize City Manager to negotiate and execute a two-year contract with Abbi Agency for Marketing Management Services not to exceed $600,000. Abbi Agency was selected by Tourism Advisory Committee on June 2, 2022 as the top candidate out of eleven responses to the RFP, seconded by Councilmember Clarke, and carried 5-0.

Motion by Councilmember Clarke to extend the meeting past 9:30 p.m., seconded by Councilmember Thomas, and carried 4-1, with Councilmember Clarke, opposed.

11. AWARD THE CITY OF SOLVANG VISITORS CENTER MANAGEMENT AGREEMENT WITH

SOLVANG HYGGE HUSET LLC (OR SOLE PROPRIETOR SUSAN LEE) IN THE AMOUNT NOT TO EXCEED $261,000 FOR THE TERM JULY 1, 2022 – JUNE 30, 2024 Authorize City Manager to negotiate and execute a two-year contract with Solvang Hygge Huset LLC (formation of the LLC is in processing with the State of California) not to exceed $261,000, and, due to pending formation of the LLC, authorize City Manager to enter into an agreement with Susan Lee and three other individuals currently working at the Visitor Center under IDK contract as sole proprietors if registration of the LLC is not complete by July 1, 2022 for a period not to exceed two months or August 31, 2022 and a total monthly expense of $10,300. Susan Lee’s proposal was selected by Tourism Advisory Committee as the top candidate out of two proposals to the RFP City Manager Bradford provided a brief report.

Susan Lee, Solvang Hygge Huset, LLC noted the organization is legal; and they are ready to continue serving the City.

Councilmember Clarke commented on the possibility of assigning City Ambassadors and training them accordingly.

Mayor Uhrig invited public comments.

Denise El Amin reiterated the need for diversity in hiring and awarding contracts.

There were no other public comments on this item.

Motion by Mayor pro tem Infanti to authorize City Manager to negotiate and execute a two-year contract with Solvang Hygge Huset LLC (formation of the LLC is in processing with the State of California) not to exceed $261,000; or due to pending formation of the LLC, authorize City Manager to enter into an agreement with Susan Lee and three other individuals currently working at the Visitor Center under IDK 12 contract as contractors if registration of the LLC is not complete by July 1, 2022 for a period not to exceed two months or August 31, 2022 and a total monthly expense of $10,300, seconded by Councilmember Clarke, and carried 5-0.

6. AB1234 REPORT OUT AND COUNCIL CLOSING COMMENTS - None

7. ADJOURNMENT- Mayor Uhrig adjourned the meeting at 10:03 p.m.

Respectfully submitted:

Annamarie Porter, City Clerk
13 v Agenda Item: 4.c

Solvang City Council STAFF REPORT
PREPARED BY: Xenia Bradford, City Manager
MEETING DATE: June 27, 2022
SUBJECT: Adopt by Title only for second reading Ordinance 22-0357 Amending Title 11 of the Solvang Municipal Code to address Walk-Up Food Service Windows facing Outdoor Patios and Seating Areas on Private Property in the Tourist Related Commercial (TRC) Zone and making a determination of Exemption Under the California Environmental Quality Act RECOMMENDATION:

That the Council adopt by Title Only for second reading Ordinance 22-0357 Amending Title 11 of the Solvang Municipal Code to address walk-up food service windows facing outdoor patios and seating areas on private property in the Tourist Related Commercial (TRC) Zone and making a determination of exemption under the California Environmental Quality Act.

SUMMARY:

The Planning Division has received several applications for projects with walk-up food service window elements facing outdoor patios and seating areas on private property. The Solvang Municipal Code currently defines Walk-Up Food Service Windows as, “an opening in an exterior wall of a building through which food, beverage, and other consumable items are provided or served to the general public upon payment of a fee or charge” (Section 11-3-1) and prohibits walk up food service windows in the TRC, “[n]o new or expanded walk-up food service window shall be permitted in the TRC Tourist Commercial District of the city” (Section 11-12-7(C)).

The prohibition on walk-up food service windows in the TRC was adopted by the City Council in 1994.

At that time the Planning Commission’s recommendation to the City Council was to allow for walk-up food service windows facing private patios but to otherwise prohibit walk-up food service windows in the TRC. The City Council however chose to prohibit all new walk-up food service windows in the TRC and to grandfather in four walk-up food service windows that were already in operation at the time. Two of those are still in operation. Based on staff’s review of the relevant legislative history, it is not clear from a policy perspective why the 1994 City Council declined to follow the 1994 Planning Commission’s recommendation.

Due to the interest in walk-up food service windows facing outdoor patios and seating areas on private property and the history of the prohibition, staff requested policy direction from City Council on the matter. At its March 14, 2022 meeting, the City Council directed staff to develop amendments to allow for walk-up windows opening to outdoor patios and seating areas on private property in the TRC but to otherwise continue to prohibit walk-up food service windows in the TRC.

The Planning Commission informally considered this item at the April 4, 2022 meeting. The Planning Commission agreed with allowing walk-up windows facing outdoor patios and seating areas on private property and suggested such walk-up windows should only be allowed if the patio or seating area 14 exceeds a minimum size, there is adequate space on private property for customers to line up at the window and applicable disability access standards are met. Staff developed draft code amendments consistent with this direction.

At the meeting on May 2, 2022, the Planning Commission considered the draft code amendments incorporating their feedback from the April 4, 2022 meeting. The Commissioners requested that a provision be added that prohibits walk-up food service windows fronting public rights-of-way, or sidewalks, because they want to prevent people from lining up on a public right-of-way. The resolution was passed 4-0, with one Commissioner having recused himself from discussion and voting.

The City Council voted to approve the introduction and first reading of Ordinance 22-0357 at their meeting on June 13, 2022, by a vote of 4-0, with one Councilmember recusing.

FISCAL IMPACT:

Adoption of the Ordinance may result in minor costs of recodification and implementation of ordinance changes but such costs are expected to be within existing budgetary limits.

ATTACHMENTS:

A – Draft Ordinance No. 22-0357
15 ORDINANCE NO. 22-0357

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SOLVANG, CALIFORNIA, AMENDING TITLE 11 OF THE SOLVANG MUNICIPAL CODE TO ADDRESS WALK-UP FOOD SERVICE

WINDOWS FACING OUTDOOR PATIOS AND SEATING AREAS ON PRIVATE PROPERTY IN THE

TOURIST RELATED COMMERCIAL (TRC) ZONE AND MAKE A DETERMINATION OF EXEMPTION

UNDER THE CALIFORNIA ENVIRONMENTAL QUALITY ACT
WHEREAS, the Solvang Municipal Code currently prohibits all new or expanded walk-up food service windows in the Tourist Related Commercial (TRC) Zone; and WHEREAS, there have been recent applications to the planning division including walk-up food service windows facing private patios as elements of the proposed project; and WHEREAS, on March 14, 2022 the City Council considered the current prohibition and related legislative history and directed staff to develop code language to allow for walk-up food service windows in the TRC facing private patios but otherwise continue to prohibit food service windows in the TRC; and
WHEREAS, on May 4, 2022 the Planning Commission determined that the proposed amendments are consistent with the general plan, the requirements of state planning and zoning laws and other provisions of Title 11 of the Solvang Municipal Code; are in the interests of the general community welfare; are consistent with good zoning and planning practices; and exempt from the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3); and WHEREAS, on May 4, 2022 the Planning Commission at a duly noticed public hearing adopted Resolution 22-03 recommending the City Council adopt an ordinance amending Title 11 of the Solvang Municipal Code to address walk-up windows in the Tourist Related Commercial (TRC) Zone and make a determination of exemption under CEQA; and
WHEREAS, the City Council determines that the proposed amendments are consistent with the general plan, the requirements of state planning and zoning laws and other provisions of Title 11 of the Solvang Municipal Code; and
WHEREAS, the City Council determines that the proposed amendments are in the interests of the general community welfare; and
WHEREAS, the City Council determines that the proposed amendments are consistent with good zoning and planning practices; and
WHEREAS, the City Council determines that it can be seen with certainty that there is no possibility the proposed amendments will have a significant effect on the environment and is therefore not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3); and
WHEREAS, the City Council finds it necessary to amend the Solvang Municipal Code to address walk-up food service windows in the TRC.

NOW, THEREFORE, the people of the chartered City of Solvang do ordain as follows:

SECTION 1.

The definition of “Walk-Up Food Service Window” in existing Section 11-3-1 Definitions of the Solvang Municipal Code is hereby revised to read as follows; all other text and definitions in existing Section 11- 3-1 remain the same:

WALK-UP FOOD SERVICE WINDOW. An opening in an exterior wall of a building through which Attachment A
16 food, beverage and other consumable items are provided or served to the general public upon payment of a fee or charge. Walk-up food service windows do not include windows in a motor vehicle, as defined in the California Vehicle Code, through which food, beverage and other consumable items are provided or served to the general public, commonly called food trucks, or windows in a conveyance engaging in a sidewalk vending activity as defined in Title 4, Chapter 4.

SECTION 2.

The existing Section 11-12-7 Business Uses, Subsection C of the Solvang Municipal Code is hereby revised to read as follows:

C. Walk-Up Food Service Windows. No new or expanded walk-up food service window shall be permitted in the TRC Tourist Commercial District of the city. This prohibition includes walk-up food service windows affronting public sidewalks and streets. Notwithstanding the foregoing, walk-up food service windows which provide service to outdoor patios and seating areas on private property are permissible in the TRC Tourist Commercial District if in the determination of the planning manager the following criteria are met:

1. Adequate space shall be provided for customers in line at the walk-up food service window so that customers in line will not block public sidewalks or be in line on public property. Space for a line to a walk-up food service window is considered adequate when it is located entirely on private property within an outdoor patio or seating area and is a minimum of 10 feet long by 5 feet wide.

2. Any seating provided in an outdoor patio or seating area served by the walk-up food service window shall not block customers standing in line.

3. The walk-up food service window and the patio or seating area served by the walk-up food service window shall meet all applicable disability access standards, including those under the Federal Americans with Disabilities Act of 1990.

SECTION 3.

This Ordinance has been reviewed for compliance with the California Environmental Quality Act (CEQA), and the CEQA guidelines, and the City’s environmental procedures, and has been found to be exempt pursuant to § 15061(b)(3) (general rule) of the CEQA Guidelines, because the City Council hereby finds with certainty that there is no possibility the passage of this Ordinance will have a significant effect on the environment.

SECTION 4.

Solvang is a Charter City and has adopted its own rules for summarizing and posting ordinances once they are adopted. A summary of this ordinance will be prepared by the City Clerk. The summary will be posted in three locations after adoption as directed in the Solvang Municipal Code. A true and correct copy of the full ordinance together with a record of the vote of each council member shall be kept by the City Clerk.

INTRODUCED at a regular meeting of the City Council held on the 13th day of June 2022 and PASSED, APPROVED, AND ADOPTED on this 27th day of June, 2022 ______________________________
Charlie Uhrig, Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ______________________________ Dave Fleishman, City Attorney Annamarie Porter, City Clerk 17 STATE OF CALIFORNIA )
COUNTY OF SANTA BARBARA )ss

CITY OF SOLVANG )
I, Annamarie Porter, City Clerk of the City of Solvang, California do hereby certify that the foregoing Ordinance No.22-0357 was duly introduced at a regular meeting of the City Council held on the 13th day of June, 2022, and was duly adopted at a regular meeting of said City Council held on the 27th day of June 2022, and thereafter signed and approved by the Mayor and attested by the City Clerk, and that said Ordinance was adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Annamarie Porter, City Clerk
18 Agenda Item: 5
Solvang City Council STAFF REPORT
PREPARED BY: Laurie Tamura, Planning Consultant
Craig Steele, Interim Assistant City Attorney
MEETING DATE: June 27, 2022
SUBJECT: Introduction for first reading by title only Ordinance No. 22-358 amending Title 11 of the Solvang Municipal Code to address food trucks and other vending on private property in the City of Solvang and make a determination of exemption under the California Environmental Quality Act (CEQA)
RECOMMENDATION:

That the City Council approve Ordinance No. 22-358 for the first hearing amending Title 11 to prohibit food trucks and other vending from mobile conveyances on private property, except for under a special use permit, in all areas of the City.

DISCUSSION:

Staff has recently received several inquiries about potentially placing food trucks in the TRC and sought the Planning Commission’s direction on whether and how to address food trucks and other vending on private property in the TRC and other commercial zones. A city may limit the operation of food trucks on public streets with time, place, and manner restrictions that seek to mitigate the impacts of the use.

These limitations are generally permitted to be only health and safety regulations, under the Authority of California Vehicle Code Section 22455. Cities may not ban food truck vending on public streets.

Barajas v. City of Anaheim, 15 Cal. App. 4th 1808 (1993). Cities also are permitted to regulate sidewalk vending, and Solvang has already adopted a comprehensive set of sidewalk vending regulations consistent with State law.

The Planning Commission considered this issue at its April 4, 2022 meeting and directed staff to return with proposed code amendments prohibiting vending on private property in the TRC. Consistent with this direction, Staff proposed for consideration a subsection F, a new subsection, of Section 11-12-7 (Business Uses) at the May 2, 2022 Planning Commission meeting.

At the May 2, 2022 meeting the Planning Commission held a public hearing and further directed staff to research and provide information to the Commission on the issue of whether food truck operations can be prohibited on private property in all zones. Food trucks, which primarily provide walk-up service from temporary locations, can be like walk-up food service windows at a fixed location. The same or similar community impacts and zoning considerations can be associated with both uses. Because of the “popup” nature of food trucks, however, there typically is not the same permanency associated with the walk-up food service windows since there is not a fixed location with seating areas and amenities.

The research performed by the City Attorney’s office did not find any State law that preempts the City from adopting regulations on, or prohibiting, food truck operations on private property. Arguably, because mobile food truck vending is not an expressly permitted use on private property in any zone in the City, the use is already prohibited. However, there are provisions of the Municipal Code, if broadly 19 interpreted, that could be argued to allow some type of temporary food service from a food truck. For example, the Commercial districts permit “outdoor barbecues” if associated with a food-serving use. It would be a stretch to argue that also permits anything other than a barbecue truck, but the claim could be made. If it is the City’s intent to prohibit the use, a specific Municipal Code section to that effect would avoid any confusion.

The City Attorney’s office’s limited review of municipal code limitations in other cities did not find absolute bans on this type of use. Rather, most cities do not regulate food trucks on private property.

Those that do tend to range from making the use permitted in limited zone, to prohibiting the use with the exception of events that are permitted under a temporary use permit or special event permit. The latter type of regulation would allow the City to permit food trucks on private property for a limited time in an appropriate circumstance, such as a special event, but not as a regular occurrence. Typically, this type of temporary permit is issued as a director-level review because, in many cases, the impacts are limited and time before a proposed use can be short. Allowing a limited temporary permit opportunity with policy direction to staff could be a way to offer private property owners the flexibility to use a food truck in an appropriate circumstance.

The Planning Commission considered the draft code amendments incorporating their feedback from the May 2, 2022 meeting at the June 13, 2022 meeting. The Commissioners requested that the provision from the draft language about conditional use permits and parking lot sales be removed and voted 4-0, with one Commissioner having recused himself from discussion and voting, to approve the resolution with that change.

ALTERNATIVES:

Provide further direction to staff.

FISCAL IMPACT:

Adoption of the Ordinance may result in minor costs of recodification and implementation of ordinance changes but such costs are expected to be within existing budgetary limits.

ATTACHMENTS:

A – [DRAFT] Ordinance No. 22-358
20 ORDINANCE NO. 22-0358

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SOLVANG, CALIFORNIA, AMENDING TITLE 11 OF THE SOLVANG MUNICIPAL CODE TO ADDRESS FOOD

TRUCKS AND OTHER VENDING ON PRIVATE PROPERTY IN THE CITY OF

SOLVANG AND MAKE A DETERMINATION OF EXEMPTION UNDER THE

CALIFORNIA ENVIRONMENTAL QUALITY ACT
WHEREAS, the Solvang Municipal Code currently allows mobile vending on public property; and
WHEREAS, there have been several inquiries to the Planning Division regarding parking food trucks on private property in the City; and
WHEREAS, on April 4, 2022 the Planning Commission considered the food trucks and other vending and directed staff to develop code language to prohibit vending on private property in the Tourist Related Commercial (TRC) zone; and
WHEREAS, on May 2, 2022 the Planning Commission considered initial recommendations from staff and provided guidance on additional criteria such prohibiting food trucks and other vending on private property in all zones of the City, unless such use is permitted under a special event permit issued pursuant to the applicable provisions of Title 11; and WHEREAS, on June 6, 2022 the Planning Commission at a duly noticed public hearing adopted Resolution 22-04 recommending the City Council adopt an ordinance amending Title 11 of the Solvang Municipal Code to address food trucks and other vending on private property in the City of Solvang and make a determination of exemption under CEQA; and
WHEREAS, the City Council determines that the proposed amendments are consistent with the general plan, the requirements of state planning and zoning laws and other provisions of Title 11 of the Solvang Municipal Code; and
WHEREAS, the City Council determines that the proposed amendments are in the interests of the general community welfare; and
WHEREAS, the City Council determines that the proposed amendments are consistent with good zoning and planning practices; and
WHEREAS, the City Council determines that it can be seen with certainty that there is no possibility the proposed amendments will have a significant effect on the environment and is therefore not subject to the California Environmental Quality Act (CEQA) pursuant to CEQA Guidelines Section 15061(b)(3); and
WHEREAS, the City Council finds it necessary to amend the Solvang Municipal Code to address food trucks and other vending on private property in the City of Solvang.

NOW, THEREFORE, the people of the chartered City of Solvang do ordain as follows:

SECTION 1. Section 11-12-7 Business Uses of the Solvang Municipal Code is hereby revised to add Subsection F and to read as follows:

F. Vending on Private Property. No person shall sell, provide or serve consumable goods, such as food and beverages, and/or provide or sell non-consumable goods to the general public from a motor vehicle, as defined in the California Vehicle Code, or from any other conveyance, whether motorized or not, on private property in any zone in the Attachment A
21 City, unless such use is permitted under a special event permit issued pursuant to the applicable provisions of this Code.

SECTION 2. This Ordinance has been reviewed for compliance with the California Environmental Quality Act (CEQA), and the CEQA guidelines, and the City’s environmental procedures, and has been found to be exempt pursuant to § 15061(b)(3) (general rule) of the CEQA Guidelines, because the City Council hereby finds with certainty that there is no possibility the passage of this Ordinance will have a significant effect on the environment.

SECTION 3. Solvang is a Charter City and has adopted its own rules for summarizing and posting ordinances once they are adopted. A summary of this ordinance will be prepared by the City Clerk. The summary will be posted in three locations after adoption as directed in the Solvang Municipal Code. A true and correct copy of the full ordinance together with a record of the vote of each council member shall be kept by the City Clerk.

INTRODUCED at a regular meeting of the City Council held on the 27th day of June 2022 and PASSED, APPROVED, AND ADOPTED on this 11th day of July, 2022 ______________________________
Charlie Uhrig, Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ______________________________ Dave Fleishman, City Attorney Annamarie Porter, City Clerk 22 STATE OF CALIFORNIA )
COUNTY OF SANTA BARBARA )ss

CITY OF SOLVANG )
I, Annamarie Porter, City Clerk of the City of Solvang, California do hereby certify that the foregoing Ordinance No. 22-0358 was duly introduced at a regular meeting of the City Council held on the 27th day of June, 2022, and was duly adopted at a regular meeting of said City Council held on the 11th day of July 2022, and thereafter signed and approved by the Mayor and attested by the City Clerk, and that said Ordinance was adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Annamarie Porter, City Clerk
23 Agenda Item: 6
Solvang City Council STAFF REPORT
PREPARED BY: Xenia Bradford, City Manager
Jose Acosta, Utilities Director
MEETING DATE: June 27, 2022
SUBJECT: Public Hearing to Consider Introduction for First Reading by Title Only of Ordinance No. 22-0359 Modifying City of Solvang Municipal Code, Title 9, Chapter 3, Article D, 9-3D-3
RECOMMENDATION:

That the Council introduce Ordinance 22-0359 for the first reading, modifying City of Solvang Municipal Code, Title 9 Water and Sewer, Chapter 3 Water Code, Article D, Water conservation program, 9-3D-3, regulations during drought conditions.

SUMMARY:

Staff has reviewed the regulations during drought conditions portion of the code for discrepancies and recommended modifications. Some of the modifications are inclusive of ensuring the penalties are in line with the newly adopted water and sewer fee rate structure, modifying of language, recommended triggers for entering and exiting drought regulation stages, and inclusion of water shortage contingency plan chart.

DISCUSSION:

With the adoption and implementation of the new water and sewer rate structure, staff reviewed the current water code to ensure any penalties and fines were in line with these rates. The current penalties in effect will remain in place, with one exception. The proposed language change is as follows:

Current Language
Section 9-3D-3 Regulations during drought conditions
B. Stage two drought regulations.
1b. Commercial/industrial/institutional customer water usage penalties shall be tiered with no penalty for the allowed benchmark year percentage usage as determined by city council resolution and increasing to one and one-half (1.5) times the current water rate for the second tier and two (2.0) times the current water rate for that amount over the second tier.

Proposed Language
Section 9-3D-3 Regulations during drought conditions
24 B. Stage two drought regulations.
1b. Commercial/industrial/institutional customer water usage penalties shall be as follows:
0-80% of usage compared to same month in
benchmark year
No penalty. Current water rate
>80% of usage compared to the same month
in benchmark year
Penalty= 2.0x current rate, and one time
warning
Second month and each additional month
over
$1,000 penalty
The proposed language changes will place the commercial/industrial/institutional water usage and penalties in line with multifamily residential/mobile home and irrigation customers.

Staff is also proposing recommended language which can be set by a resolution at a future date with triggers for entering and exiting drought regulation stages. These recommended triggers are inclusive but not limited to the following:

Stage One
Entering
• City wells not operating at full capacity; and
• Rainfall as of March 31 < median for current year; and/or • State water allotment less than 25% for current year; and • Upon adoption of resolution by City Council
Exiting
• State water allotment greater than 50% for current year; and /or Stage Two
Entering
• Rainfall as of March 31 < median for two years; and/or • State water allotment less than 25% for two years; and • Upon adoption of resolution by City Council
Exiting
• State water allotment greater than 75% for current year; and /or Stage Three
Entering
• State water allotment less than 10% for two years; and • Upon adoption of resolution by City Council
Exiting
• State water allotment greater than 85% for current year; and /or Stage Four
Entering
• Rainfall as of March 31 < median for three years; and/or • State water allotment less than 5% for two years; and • Upon adoption of resolution by City Council
25 Exiting
• State water allotment greater than 90% for current year; and /or • Received rainfall >or= to median by March 31 for current year; and/or • City wells operational at full capacity
These recommended triggers can allow the City to reasonably asses our current water situation.

With State water allotments varying during dry years and the reliability of the City’s wells, these triggers will play a vital role for determining entering and exiting of each stage.

Staff has also compiled a water shortage contingency plan chart for implementation into this section of the City Code. Attached is the chart for review. Included in the chart is the following:
- Stages of drought regulation
- Customers affected by each stage
- Voluntary/mandatory requirement
- Water allotment
- Reduction target for each stage and customer class
- Trigger for penalties at 1.5x and 2.0 x current rates - Recommended triggers for entering and exiting drought regulation stages - And prohibitions in each stage
Staff is seeking council direction and implementation of recommended changes. Once changes have been completed staff will bring back Ordinance No. 22-0357 for adoption by the Council at the July 11, 2022, meeting.

ATTACHMENTS:

A. Draft Ordinance No. 22-0359
B. City of Solvang Water Shortage Contingency Plan chart 26 ORDINANCE NO. 22-0359

AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SOLVANG, CALIFORNIA, REVISING TITLE 9, SECTION 9-3D-3.B.1.B OF THE SOLVANG MUNICIPAL CODE REGARDING WATER

PENALTIES FOR COMMERCIAL, INDUSTRIAL AND INSTITUTIONAL WATER USERS WHEREAS, the City Council finds that as various water supply conditions change, and State and Federal regulations may change, it is necessary and beneficial from time to time to update and revise the Solvang Municipal Code; and
WHEREAS, the City Council finds that due to periodic severe drought in California, the drought regulations contained in Title 9 of the Solvang Municipal Code require modification; and WHEREAS, the City Council desires to ensure adequate water supply to the residents and businesses of the City of Solvang during times of drought, and to implement fair and reasonable regulations to safeguard the City’s limited water resources; and WHEREAS, the City Council has reviewed the matter and finds it to be beneficial to the health, safety and general welfare of the community.

NOW, THEREFORE, the people of the chartered City of Solvang do ordain as follows:

SECTION 1. Title 9, Section 9-3D-3.B.1.b of the Solvang Municipal Code is hereby revised to read as follows:
1b. Commercial/industrial/institutional customer water usage penalties shall be as follows:
0-80% of usage compared to same
month in benchmark year
No penalty. Current water rate
>80% of usage compared to the same
month in benchmark year
Penalty= 2.0x current rate, and one
time warning
Second month and each additional
month over
$1,000 penalty
SECTION 2. If any section, subsection, sentence, clause or phrase of this ordinance is held to be invalid or unconstitutional by a decision of a court of competent jurisdiction or preempted by State or Federal legislation, such decision or legislation shall not affect the validity of the remaining provisions of this ordinance.

SECTION 3. This Ordinance has been reviewed for compliance with the California Environmental Quality Act (CEQA), and the CEQA guidelines, and the City’s environmental procedures, and has been found to be exempt pursuant to § 15061(b)(3) (general rule) of the CEQA Guidelines, because the City Council hereby finds with certainty that there is no possibility the passage of this Ordinance will have a significant effect on the environment.

SECTION 4. Solvang is a Charter City and has adopted its own rules for summarizing and posting ordinances once they are adopted. A summary of this ordinance will be prepared by the City Clerk. The summary will be posted in three locations after adoption as directed in the Solvang Municipal Code. A true and correct copy of the full ordinance together with a record of the vote of each council member shall be kept by the City Clerk.

Attachment A
27 INTRODUCED at a regular meeting of the City Council held on the 27th day of June 2022 and PASSED, APPROVED, AND ADOPTED on this 11th day of July, 2022 ______________________________
Charlie Uhrig, Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ______________________________ Dave Fleishman, City Attorney Annamarie Porter, City Clerk 28 STATE OF CALIFORNIA )
COUNTY OF SANTA BARBARA ) ss

CITY OF SOLVANG )
I, Annamarie Porter, City Clerk of the City of Solvang, California do hereby certify that the foregoing Ordinance No. 22-0359 was duly introduced at a regular meeting of the City Council held on the 27th day of June, 2022, and was duly adopted at a regular meeting of said City Council held on the 11th day of July 2022, and thereafter signed and approved by the Mayor and attested by the City Clerk, and that said Ordinance was adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Annamarie Porter, City Clerk
29 CITY OF SOLVANG WATER SHORTAGE CONTIGENCY PLAN
Stage
(Household allocations are based
on avg usage of 18 Hunderd Cubic
Feet (HCF)/month)
Reduction
Target
Trigger for
Penalty at

1.5X
Trigger for
Penalty at 2X
Recommendations For Entering Drought
Regulation Stages (median
rainfall is 19 inches)
Recommendations for Exiting Drought
Regulation Stages

STAGE I REGULATIONS
Customers: Single Family
Residential (SFR)
Voluntary
Allocation:
15 HCF/Month
15% N/A N/A

1.) City wells not operating at full capacity;
and 2.) Rainfall as of
March 31 < median for current year; and/or

3.) State water allotment less than 25% for
current year; and

4.) Upon adoption of resolution by City
Council

1.) State water allotment greater than 50%
for current year; and/or

STAGE II REGULATIONS
Customers: All Customers as
Described
Mandatory
Single Family Residential
Allocation:
14 HCF/Month
20%
Any usage
over 14
HCF/Month,
up to Tier 3
Any usage
entering and
above Tier 3
Commercial/ Industrial/
Institutional 20% N/A
>80% of
benchmark
usage
Irrigation 50% N/A
>50% of
benchmark
usage
Multifamilty Residential/Mobile
Home
10%
>90% of
benchmark
usage
N/A

1.) Rainfall as of March 31 <median for two
years; and/or

2.) State water allotment less than 25% for
two years; and

3.) Upon adoption of resolution by City
Council

1.) State water allotment greater than 75%
for current year
30 CITY OF SOLVANG WATER SHORTAGE CONTIGENCY PLAN

STAGE III REGULATIONS
Customers: All Customers
Mandatory
Allocation: Single Family
Residential
13 HCF/Month
30%
SFR any usage
over 13
HCF/Month up
to Tier 3
SFR any usage
entering and
above Tier 3

1.) State water allotment less than 10% for
two years; and

2.) Upon adoption of resolution by City
Council

1.) State water allotment greater than 85%
for current year

STAGE IV REGULATIONS
Customers: All Customers
Mandatory
Allotment
system and/or
rationing
program as
directed by
resolution

N/A N/A

1.) Rainfall as of March 31 <median for three
years; and/or

2.) State water allotment less than 5% for
two years; and

3.) Upon adoption of resolution by City
Council

1.) State water allotment greater than 90%
for current year; and/or

2.) Receive rainfall >or= to median by March
31 for current year; and/or

3.) City wells operational at full capacity
31 CITY OF SOLVANG WATER SHORTAGE CONTIGENCY PLAN
Prohibitions

1.) Irrigation of turf such as schoolyards, parks, ball fields, golf courses, green spaces, etc., shall be allowed only between the hours of ten (10:00) p.m. and six (6:00) a.m.

2.) All restaurants that provide table service shall post, in a conspicuous place, a notice of drought condition and shall refrain from serving water except upon specific request by a customer.

3.) Operators of hotels, motels and other commercial establishments offering lodging shall post in each room a notice of drought condition containing water conservation information. Linens and towels shall be washed no more than every second (2nd) day for guests staying more than one (1) night.

4.) Exterior sprinkler watering of plants, lawns, shrubbery, ground cover, etc., shall be permitted only between the hours of eight (8:00) p.m. to eight (8:00) a.m. during the months of March through October, and only between the hours of four (4:00) p.m. to ten (10:00) a.m. during the months of November through February.

5.) Vehicles shall be washed only at commercial car washing facilities.

6.) The washing of hard surfaces such as driveways and sidewalks shall be prohibited except where necessary to protect the public health and safety.

7.) The loss of water through breaks or leaks in any water user’s plumbing must be corrected within twenty-four (24) hours of the user’s knowledge of that condition.

1.) Outdoor irrigation of ornamental landscapes or turf shall be limited to no more than two (2) days per week.

Watering shall be restricted to Mondays and Thursdays for addresses ending in even numbers, and to Tuesdays and Fridays for addresses ending in odd numbers.

2.) The use of water for the flushing of water mains, and fire department training exercises shall be allowed only upon advance written approval of the city manager.

3.) The use of water in a fountain or other decorative water feature, except where the water is part of a recirculating system, is prohibited.

4.) The penalty for a second violation of any stage one or stage two drought regulation shall be set by city council resolution, after a written warning upon the first violation.

5.) Each of the stage one drought regulations set forth in subsections (A)(1) through (A)(8) of this section shall remain in force where not in conflict with the provisions of this subsection B. 32 CITY OF SOLVANG WATER SHORTAGE CONTIGENCY PLAN

1.) Each of the stage one drought regulations set forth in subsections (A)(1) through (A)(8) of this section shall remain in force where not in conflict with the provisions of this subsection C.

2.) Each of the stage two drought regulations set forth in subsections (B)(2) through (B)(6) of this section shall remain in force to the extent that they do not conflict with the provisions of this subsection C.

1.) All exterior water use, including the filling of spas and swimming pools, water for fountains or decorative water features, landscape irrigation, lawn watering, etc., shall be prohibited except where necessary to protect the public health and safety.

2.) The penalty for a second violation of any stage one through four drought regulation shall be established by city council resolution per violation, after a written warning upon the first violation.

3.) Each of the stage one through stage three drought regulations set forth in this section shall remain in force where not in conflict with the provisions of this subsection D. (Ord. 16-318, 2016) 33 Agenda Item: 7
Solvang City Council STAFF REPORT
PREPARED BY: Xenia Bradford, City Manager
Jose Acosta, Utilities Director
MEETING DATE: June 27, 2022
SUBJECT: Public Hearing to Consider Adopting new Water and Wastewater Connection Fees, and Adopt Resolution No. 22-1178
RECOMMENDATION:

Staff recommends Council
a. Open the Public Hearing, receive Public Comments,
b. Close the Public Hearing; and
c. Adopt resolution 22-1178 implementing new fee structure.

SUMMARY:

The City has contracted with HDR engineering to review and provide recommended adjustments to the Water and Wastewater Connection fee schedule. HDR has reviewed both utilities, including present asset values, past and future capital project funding approach, and future capital improvement projects related to growth and expansion on the system, to develop the cost-based water and sewer connection charges.

The connection fees are a one-time charge for new and future development, and potential impacts (capacity demands) to the city’s utilities. These charges are based on the current value of the utilities existing level of service and inclusive of any future infrastructure needs to service any new connections.

DISCUSSION:

Background
The City last completed a capacity charge study in 2015, the City contracted with HDR Engineering to analyze the City’s water and wastewater connection fees and update the connection fees to cost-based levels. HDR presented the council with the draft fees update at the May 23, 3022 meeting.

At the May 23, 2022, meeting Council also directed staff to set a public hearing for consideration of the connection fees for June 27, 2022. At the public hearing, the City Council receives input from the public on the proposed water and wastewater connection fees.

HDR and staff collaborated to compile final draft copies of both reports, which are included in this report. The draft reports are inclusive of the methodologies used, legal requirements, generally accepted industry standards practices used for the compilation of the studies. Also included in the study are the following recommendations from HDR:
34 1. The City should adopt the water and wastewater connection charge for new connections to the wastewater system which is no greater than the net allowable wastewater connection charges as set forth in this report

2. The City should adopt a resolution to annually update the water and wastewater connection charges by the Engineering News Record Construction Cost Index (ENR-CCI) 20 City average for no more than five years before a complete update of the wastewater connection charge study is completed. Industry best practice of annual inflationary adjustment can keep the charges (infrastructure investment) relatively current with construction pricing practices.

3. The City should update the actual calculations for the water and wastewater connection charge at such time when a new capital improvement plan, public facilities plan, comprehensive system plan, or a comparable plan is approved or updated by the City, or every five years.

Connection fees for water and wastewater are one-time charges for new or expanded water and wastewater connections. The charges, using the combined approach, reflect the value of capacity funded by existing customers for the investment they have made in available capacity along with future improvements related to expanding each system and providing additional capacity necessary to serve new customers. Collection of the charges offsets a portion of the system’s revenue requirements and are specifically used to fund growth related capital improvements or fund annual debt service related to growth related improvements funded through long-term borrowing.

Capacity Charge Calculation Methodology
HDR Engineering valued the water and wastewater system capital assets using an industry standard approach called the Replacement Cost New (RCN) method. The calculation of the capacity charges begins with a valuation of the current water and wastewater system capital assets (infrastructure). The original cost of system assets is brought to current value using the Engineering News Record (ENR) Construction Cost Index (CCI) and subtracting outstanding debt principal used to finance existing capital assets.

HDR estimated the Water enterprise has approximately $18 million (RCN) in capital assets less contributions. Future water capital improvements related to system growth and expansion was determined to be approximately $2 million. The Wastewater enterprise has approximately $30 million (RCN) in direct City-owned capital assets less contributions. Future growth and expansion related capital for wastewater total approximately $8.2 million less long-term borrowing of approximately $7.8 million leaving approximately $400,000.

The existing value (RCN) of each system is then divided by the estimated capacity of each system to reflect the reasonable buy-in cost of providing new or expanded water or wastewater service. System capacity is equal to the total metered capacity connected to the system, expressed in terms of the number of 5/8” meter equivalents. Therefore, the total asset value divided by the total number of 5/8” meter equivalents equal the capacity charge for a new 5/8” meter connection. A 1” meter has 2.5 times the capacity of a 5/8” meter, so the charge would be 2.5 times the 5/8” meter charge, with similar adjustments for other sizes. The method results in a capacity charge structure proportional to the flow capacity provided by each meter size. This approach is used commonly and is recognized by the American Water Works Association. Staff and HDR propose to continue to use this approach. Future growth-related improvements are divided through by the future growth on the system calculated over the next ten-year period.

Proposed Water and Wastewater Connection Fees
The proposed water and wastewater connection fees are as follows:

Water Connection fees
35 Wastewater connection fees
The scope of HDR’s work includes development of a multi-year capacity charge schedule. HDR and staff are proposing these capacity charge schedules be updated annually based on the annual change in the 20 City ENR CCI. The change in the capacity charges for a forthcoming fiscal year will be based on the change in the May ENR CCI from the previous year. For example, if the ENR CCI in May 2023 is 3% higher than the March 2022 ENR CCI, then the capacity charges will increase 3% that coming July 2023 (start of FY24).

Consultant Koorn will be present this evening for presentation of the connection fee studies and available to answer questions. At the conclusion of the presentation and discussion by City Council, staff is seeking direction to move forward with implementation of the connection fee studies recommendations. If the proposed connection fee studies are adopted the new fees will take effect August 1, 2022.

Present Calculated
Meter Meter Connection Connection $ %
Size Ratio (2) Fee (1) Fee (3) Difference Change
5/8-inch 1.00 $8,740 $9,435 $695 7.9%
3/4-inch 1.50 13,109 14,151 1,042 7.9%
1-inch 2.50 21,849 23,586 1,737 7.9%
1-1/2-inch 5.00 43,689 47,162 3,473 7.9%
2-inch 8.00 69,916 75,474 5,558 7.9%
3-inch 16.00 139,833 150,950 11,117 7.9%
4-inch 25.00 218,489 235,859 17,370 7.9%
6-inch 50.00 436,978 471,717 34,739 7.9%
NOTES:
(1) Present connection fees as of 2015.
(2) Meter ratio based on American Water Works Association factor based on 5/8-inch meter. (3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2-1, page 333.

Present Calculated
Meter Meter Connection Connection $ %
Size Ratio (2) Fee (1) Fee (3) Difference Change
5/8-inch 1.00 $4,673 $6,026 $1,353 29.0%
3/4-inch 1.50 7,010 9,040 2,030 29.0%
1-inch 2.50 11,683 15,067 3,384 29.0%
1-1/2-inch 5.00 23,366 30,133 6,767 29.0%
2-inch 8.00 37,386 48,213 10,827 29.0%
3-inch 16.00 74,772 96,427 21,655 29.0%
4-inch 25.00 116,831 150,666 33,835 29.0%
6-inch 50.00 233,661 301,331 67,670 29.0%
NOTES:
(1) Present connection fees as of 2015.
(2) Meter ratio based on American Water Works Association factor based on 5/8-inch meter. (3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2-1, page 333. 36 ATTACHMENTS:

A. City of Solvang Water and Sewer Connection Fee Study PPT B. Water Connection Fees Study DRAFT
C. Wastewater Connection Fees Study DRAFT
D. Resolution 22-1178 adopting new water and wastewater connection fees 37 © 2016 HDR, Inc., all rights reserved.

City of Solvang
Water and Wastewater
Connection Charges
June 23, 2022
38 Overview of the Presentation
2 Overview of Connection Charges
Basis for Establishing Connection Charges
Review of Water Connection Charges
Review of Wastewater Connection Charges
Summary
Next Steps…
39  Definition o A one-time charge o A charge required of all new customers desiring or existing customers requesting
an increased level of service
o A charge based on the value of the utility’s
existing level of service plus any new
infrastructure needed to serve them
 Purpose o To charge customer proportional share of
the cost of infrastructure to serve their
needs • Existing customers have funded current
infrastructure
Overview of Connection Charges
3 40
 Legal Requirements
o California Code (66013, 66016, 66022)
o Requires a reasonable relationship
between fee charged and cost
associated with providing capacity to
the customer
 City Specific Assumptions
o Tailored to City documents which
provide system planning criteria
o Reflects new facilities to be acquired to
maintain existing service levels on a
per EDU basis
o Does not include operation and
maintenance expenses
Basis for Establishing Connection Charges
4  Develop the study using generally
accepted methodologies
o Three common references:
• System Development Charges for Water,
Wastewater, and Stormwater Facilities,
by Arthur C. Nelson
• AWWA, M-1 Manual, Principles of
Water Rates, Fees and Charges
• WEF Manual of Practice No. 27
41 Calculation – Combined Approach
5  Calculation: Fee is determined by bringing current assets, to current day dollars (applying cost index), plus future capital related to growth Buy-In Component Growth Component
Existing
Investment ($)
Existing and
Future Equivalent
Units
Future CIP ($)
Future Equivalent
Units
Maximum
Allowable
Connection Fee per
Unit*
+ =
Combined Method
 Method for Investment Value:
o Replacement Cost New RCN (Original cost,
plus Engineering News Record, Construction
Cost index (ENR-CCI) from installment date)
o Grants, developer contributions,
outstanding debt principal excluded
 Method for Future CIP:
o 10-Year capital plan
o Proportion to serve growth
 Method for Equivalent Units:

Based on system planning capacity
* = Equivalent Unit
42 System Planning Criteria - Water
6 Average Day Demand gpd (1) 236
Person per household (2) 2.353
Peak Day Demand 555
Description Acre Feet MGD
Peak
Gallons per
Day
Total
EDUs Growth
Equivalent Units – Existing (3) 1,285 1.44 555 2,593 81.6% Equivalent Units – Future 289 0.32 555 583 18.4%
Total 1,574 1.76 3,176
(2) Person per household, 2011 Water System Master Plan, page 16. (3) Existing Acre Feet based on Average AF purchased/produced 2011-2021 Water System
System Planning Data
(1) Water use gallon per capita per day, based on ten year average (2001-2010), 2011 Water System Master Plan, Page 9.
43 Calculated Connection Charge - Water
7  Assets valued at RCN for May 2022 ENRCCI
o Land held at current cost; Easements ENRCCI
o Meters, portable tools or equipment,
vehicles not included; SCADA included
 Future projects include growth related projects
o River Wells Project 18.4% growth
o Reservoir 1 Expansion Project 18.4% growth
o Reservoir 3 Expansion Project 18.4% growth
44 Present and Calculated Connection Charge - Water
8 Recommendation: Meters 3-inch and greater will be reviewed on a case-by-case basis to establish the appropriate connection charge
45 System Planning Criteria - Wastewater
9 WWTP System Design Capacity 1.50 MGD
WWTP SYCSD Capacity (0.30) MGD
WWTP Net City Capacity (1) 1.20 MGD
2021 Average Day Flow (2) 0.63 MGD
2021 Number of Customers (2) 2,696
2021 Average Day Flow per Customer 233.68
Description MGD
Average Day
per EDU
Total
EDUs Growth
Equivalent Units – Existing (3) 0.50 233.68 2,155 42.0% Equivalent Units – Future 0.70 233.68 2,980 58.0%
Total 1.20 5,135
(1) Based on City specific data. Less SYCSD capacity
(2) Based on recent sewer rate study 2021.
(3) 2021 Sewer Master Plan, Table 4-1, page 4-7. See Table 4-1 and 4-2.

Wastewater System
System Planning Data
46 Calculated Connection Charges - Wastewater
10  Assets valued at RCN for May 2022 ENRCCI
o Land held at current cost; misc. equipment,
vehicles not included
o Treatment assets adjusted for SYCSD; fee
includes 80% of value
 Future projects include growth
related projects
o Water Quality Project assumed future
debt financing; fee includes 58.0% in CIP
and debt for growth
47 Present and Calculated Connection Fee - Wastewater
11 Recommendations: (1) Maintain wastewater fee
implementation based on water meter size; (2) Meters 3- inch and greater will be reviewed on a case-by-case basis to establish the appropriate connection fee
Present Calculated
Meter Meter Connection Connection $ %
Size Ratio (2) Fee (1) Fee (3) Difference Change
5/8-inch 1.00 $4,673 $6,026 $1,353 29.0%
3/4-inch 1.50 7,010 9,040 2,030 29.0%
1-inch 2.50 11,683 15,067 3,384 29.0%
1-1/2-inch 5.00 23,366 30,133 6,767 29.0%
2-inch 8.00 37,386 48,213 10,827 29.0%
3-inch 16.00 74,772 96,427 21,655 29.0%
4-inch 25.00 116,831 150,666 33,835 29.0%
6-inch 50.00 233,661 301,331 67,670 29.0%
NOTES:
(1) Present connection fees as of 2015.
(2) Meter ratio based on American Water Works Association factor based on 5/8-inch meter. (3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2-1, page 333. 48 Summary of Water/Wastewater Connection Charge Study
12  Connection charge analysis established the reasonable relationship between the impact of development and the charge to be imposed  Connection charge reflects the City’s current costs and value of capacity
 Connection charge can not exceed the calculated cost
o Charging less then calculated implies a sharing of the cost of growth and expansion between existing rate payers and new development 49 Recommendations
13  Accept the water and wastewater connection charge draft final reports
 Approve the cost-based level of the proposed connection charges
 Adopt resolution to implement proposed connection charges  Annually update charges based on ENR CCI 20 City Average 50 Draft Report
City of Solvang
Water Connection Charge Study
May 2022
Attachmnent B
51 May 25, 2022
Ms. Xenia Bradford
City Manager
City of Solvang
1644 Oak Street
Solvang, California 93463
Subject: Water Connection Charge Draft Report
Dear Ms. Bradford:

Enclosed please find HDR’s draft report regarding the water connection charge for the City of Solvang (City). The City last reviewed these charges in 2015.  The development of this report is intended to provide to the City the basis for establishing cost‐based water connection charges.

The adoption of final charges are a policy decision of the City Council.

This report has been prepared using generally accepted financial and engineering principles. The City’s financial, planning, and engineering data were the primary sources for the information contained in this report. HDR would recommend that prior to implementing the charges, the charges be reviewed by the City’s legal counsel for compliance with California State law.

HDR appreciatesthe opportunity to assist the City in this matter. We also would like to thank you and your staff for the assistance provided to us. We look forward to future opportunities to work with the City.

Sincerely yours,
HDR Engineering, Inc.

Shawn Koorn
Associate Vice President
52 Table of Contents i
City of Solvang – 2022 Water Connection Charge Study
Executive Summary
Introduction .....................................................................................................................1 Study Overview ................................................................................................................1 Consultant’s Recommendations.......................................................................................2 City Council Review ..........................................................................................................3 Summary ..........................................................................................................................3 Disclaimer.........................................................................................................................3 1 Overview of Connection Charges

1.1 Defining Water Connection Charges....……………………………………………………………….5

1.2 Requirement Under California State Law...............................................................5

1.3 Methodology to Development of Connection Charges..........................................7

1.4 Summary…………………………………................... …………………………………………………….10 2 Development of the Water Connection Charge

2.1 Methodology for Development of Connection Charges.......................................11

2.2 Overview of the City’s Water System...................................................................11

2.3 Present Water Connection Charge.......................................................................12

2.4 Calculation of the City’s Water Connection Charge .............................................12

2.4.1 System Planning Criteria.........................................................................13

2.4.2 Water Equivalent Dwelling Units............................................................13

2.4.3 Calculation of the Water Connection Charge..........................................14

2.5 Net Allowable Water Connection Charge ............................................................15

2.6 Key Assumptions..................................................................................................16

2.7 Consultant’s Recommendations ..........................................................................16

2.8 City Council Review..............................................................................................17

2.9 Summary..............................................................................................................17 Technical Appendix
Table of Contents
53 Executive Summary 1
City of Solvang – 2022 Water Connection Charge Study
Introduction
The purpose of water connection chargesisto fund a fair and proportionate share of capital costs for the City’s water system. The objective of the water connection charge study is to calculate cost‐based connection charges for new customers connecting to, or requesting additional capacity on, the City’s water system. By establishing cost‐based connection charges, the City attempts to have growth pay for growth by having new customers pay their proportional share of the infrastructure in place which willserve them, which has been funded by existing customers and provided the available capacity to serve new customers (growth).

HDR was retained by City of Solvang (City) to review and update the City’s water connection charge. The water connection charge was last reviewed in 2015. Industry best practice recommends these charges should be adjusted annually to reflect changes in construction costs (i.e., inflation), and to update the connection charges every three to five years, or whenever comprehensive planning documents for the systems have been updated, or significant infrastructure projects have been completed.

Study Overview
The water connection charges are calculated in conformance with California legal requirements, generally accepted industry standard practices and are based on the City’s watersystem planning and design criteria. Connection charges are based on the existing infrastructure, and if applicable future capital improvements needed to serve growth, divided by the number of equivalent dwelling units (EDUs) that will be served by the new capacity. A component buy‐in (existing) and expansion (future) approach is often taken in developing the connection charges as each component can have different planning and design criteria.

The City has previously used the combined methodology for calculating the charges.   The American Water Works Association (AWWA) states “The combined method is typically used where some capacity is available in parts of the existing system, but new or incremental capacity will need to be built in other parts to serve new development at some point in the future”1  Since the City has available capacity in the existing system and also requires future capital improvements to serve new customers the analysis was developed on a “combined” approach (existing + future).

The calculations take into account the financing mechanisms of capital improvements. These charges must be implemented according to the impact new connections places on the water system. This way, the connection charges are related to the costs the new customer places on the systems and the benefit they derive from infrastructure in place, or future infrastructure required, to serve them.
1 American Water Works Association (AWWA), M‐1 Manual, 7th Edition, p. 330.

Executive Summary
54 Executive Summary 2
City of Solvang – 2022 Water Connection Charge Study
The City, as a matter of policy, may charge any amount up to the cost‐based connection charge but not over that amount. Charging an amount greater than the net allowable connection charge would not meet the practical basis of charging cost‐based chargesthat are proportionally related to the benefit derived by the customer.

The City currently implements and assessesthe water connection charge based on the size of the customer water meter providing service. A 5/8‐inch water meter is a typical meter size for a residential customer and are the meter sizes used to develop an equivalent unit. Equivalent meter AWWA weighting factors are applied to larger size meters to recognize the capacity of the larger sized meter in relation to the 5/8‐inch meter. The results of the analysis show that the connection charge for one equivalent unit can increase from $8,740  ‐ the current charge  ‐ to $9,435, the calculated connection charge, for an increase of $695.  Table ES – 1, below, provides the present and calculated water connection charge for the City.

Table ES ‐ 1
Present and Calculated Water Connection Charge
Present
Connection
Charge(2)
Calculated
Connection
Charge(3)
$
Change
Water Connection charge [1] $8,740 $9,435 $695
[1] ‐ 1 equivalent unit based on 5/8‐inch meter
(2) Present connection charges as of May 2022.
(3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2‐4, page 337.

Table ES – 1 provides the current, and calculated water connection charge – reflecting one (1) equivalent unit which is a 5/8‐inch water meter.  As can be seen, the maximum calculated charge can increase by $695. As noted, the water connection charge is implemented on the customers meter size and increases based on the AWWA meter equivalency factors.

Consultant’s Recommendation
Based on our review and analysis of the City’s water connection charge, HDR makesthe following recommendations:

1. The City should adopt the water connection charge for new connections to the water system which is no greater than the net allowable connection charges as set forth in this report

2. The City should adopt a resolution to annually update the water connection charges by the Engineering News Record Construction Cost Index (ENR‐CCI) 20 City average for no more than five years before a complete update of the water connection charge study is completed. Industry best practice of annual inflationary adjustment can keep the charges (infrastructure investment) relatively current with construction pricing practices. 55 Executive Summary 3
City of Solvang – 2022 Water Connection Charge Study

3. The City should update the actual calculations for the water connection charge at such time when a new capital improvement plan, public facilities plan, comprehensive system plan, or a comparable plan is approved or updated by the City, or every five years.

City Council Review
The connection charge study findings and conclusions were presented to the City Council on May 24, 2022 for review and setting the public hearing. At the conclusion of the presentation the City Council directed staff to hold a public hearing on June 27, 2022 to consider adopting the recommended water connection charges. At the time of this report, the City Council has not accepted and approved the calculated connection charge as outlined in this report.

Summary
The water connection charge developed and presented in this report is based on the City’s financial, planning and engineering design criteria of the City’s water system, the value of the existing assets, future improvements necessary to provide service to future customers, past financing of the system, and generally accepted rate and fee setting principles2. The connection charge will provide multiple benefits to the City and will continue the practice of establishing proportional and cost‐based connection charge for new customers connecting to the City’s water system. A summary of the present and proposed (calculated) water connection charges by meter size is provided in Table ES‐2.

Table ES ‐ 2
Present and Calculated Water Connection Charge
Meter Size Meter Ratio (1) Present (2) Calculated (3)
5/8‐inch 1.00 $8,740   $9,435
3/4‐inch 1.50 13,109   14,151
1‐inch 2.50 21,849   23,586
1‐1/2‐inch 5.00 43,689   47,162
2‐inch 8.00 69,916   75,474
3‐inch 16.00 139,833   150,950
4‐inch 25.00 218,489   235,859
6‐inch 50.00 436,978   471,717
(1) Meter ratio based on American Water Works Association factor based on 5/8‐inch meter. (2) Present connection charges as of May 2022.
(3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2‐4, page 337.

Disclaimer
HDR, in its calculation of the connection charges for water presented in this report, has used generally accepted engineering, planning, and fee setting principles. Thisshould not be construed as a legal opinion with respect to California law. HDR recommends that the City have its legal 2 Principles established in industry documents referenced as System Development Charges for Water, Wastewater, and Stormwater Facilities, by Arthur C. Nelson; and American Water Works Association (AWWA), M‐1 Manual, 7th Edition, p. 331.
56 Executive Summary 4
City of Solvang – 2022 Water Connection Charge Study
counsel review the connection charges for water as set forth in this report to ensure compliance with California law.
57 Overview of Connection Charges 5
City of Solvang – 2022 Water Connection Charge Study
An important starting point in establishing water connection charges is to have a basic understanding of the purpose of these charges along with the criteria and general methodologies that are used to establish cost‐based water connection charges. This section of the report presents an overview of connection charge methodologies that were used to develop cost‐based charges for the City.

1.1 Defining Water Connection Charges
The first step in establishing cost‐based connection charge, often referred to as system development charges (SDC) is to gain a better understanding of the definition. For the purposes of this report, a connection charge ‐ or SDC, as it is referred to below ‐ is defined as follows:
“System development charges are one‐time charges paid by new development to finance construction of public facilities needed to serve them.”3 Connection charges are generally imposed as a condition of service.  The objective of connection charges is not to generate revenue for the utility, but to create a fiscal balance between existing customers and new customers. In this way, all customers seeking to connect to the utility’s system bear a proportional share of the cost of capacity that is invested in both the existing and any future growth‐related expansions.  That is, these charges are intended to provide funds to the utility to help finance all or a part of the capital improvements needed to serve and accommodate new customer growth. If cost‐based connection charges are not implemented, then existing utility customers will bear (i.e., pay for) a significant portion of the costs associated with new development.  Ultimately, the adoption of the final connection charges is a policy decision by the City Council regarding the sharing of costs between new development and existing customers. The adoption of cost‐based connection charges moves towards a proportional balance of growth‐pays‐for‐growth.

1.2 Requirement Under California State Law
In establishing connection charges (system development charges), an important requirement is that they be developed and implemented in conformance with State and local laws.  California law providesthe basisfor the determination of connection chargesthrough a uniform framework for the imposition of connection charges by local governments.  Specifically, the requirement for the calculation of connection charges in California are found in the California Government Code sections 66013, 66016, and 66022, which are interspersed within the ‘Mitigation Fee Act’.

A summary of the relevant statutes required in the calculation of connection charges under California law is as follows:
3 Arthur C. Nelson, System Development Charges for Water, Sewer, and Stormwater Facilities, Lewis Publishers, New York, 1995, p. 1,
1 Overview of Connection Charges
58 Overview of Connection Charges 6
City of Solvang – 2022 Water Connection Charge Study
“66013 (a) Notwithstanding any other provision of law, when a local agency imposesfees for water connections or sewer connections, or imposes capacity fees, those fees or charges shall not exceed the estimated reasonable cost of providing the service for which the fee or charge isimposed, unless a question regarding the amount of the fee or charge imposed in excess of the estimated reasonable cost of providing the services or materials is submitted to, and approved by, a popular vote of two‐thirds of those electors voting on the issue.”
“66013 (b) (3) ‘Capacity charge’ means a charge for public facilities in existence at the time a charge isimposed or chargesfor new public facilitiesto be acquired or constructed in the future that are of proportional benefit to the person or property being charged, including supply or capacity contracts for rights or entitlements, real property interests, and entitlements and other rights of the local agency involving capital expense relating to its use of existing or new public facilities.  A “capacity charge” does not include a commodity charge.”
“66022 (a) Any judicial action or proceeding to attack, review, set aside, void, or annul an ordinance, resolution, or motion adopting a new fee or service charge, or modifying or amending an existing fee or service charge, adopted by a local agency, as defined in Section 66000, shall be commenced within 120 days of the effective date of the ordinance, resolution, or motion.”
In addition to the determination of “the estimated reasonable cost of providing the service for which the charge is imposed,” California law also requires the following:
 That notice (of the time and place of the meeting, including a general explanation of the matter to be considered) and a statement that certain data is available be mailed to those who filed a written request for such notice,  That certain data (the estimated cost to provide the service and anticipated revenue sources) be made available to the public,
 An opportunity for public input at an open and public meeting to adopt or modify the fee, and
 That revenue in excess of actual cost be used to reduce the fee creating the excess.

In 1996, the voters of California approved Proposition 218, which required that the imposition of certain fees and assessments by municipal governments require a vote of the people to change or increase the fee or assessment.  In Richmond v. Shasta Community Services Dist., 32 Cal.4th 409 (2004), the California Supreme Court held that capacity fees are not “assessments” under Proposition 218 because they are imposed only on those who are voluntarily seeking water and wastewaterservice,rather than being charged to particular identified parcels, and therefore such fees are not subject to the procedural or substantive requirements of Proposition 218. The court also held that such fees can properly be enacted by either ordinance or resolution.

In November 2010 the voters of California passed Proposition 26, an initiative based state constitutional amendment that provided a new definition of the term “tax” in the California 59 Overview of Connection Charges 7
City of Solvang – 2022 Water Connection Charge Study
Constitution. Under Proposition 26 a fee or charge imposed by a public agency is a tax unless it meets one of seven exceptions. “Connection charges” would be included within exceptions 1 and/or 2.  These two exception note that the connection fee or charge is:
(1) “A charge imposed for a specific benefit conferred… directly to the payor that is not provided to those not charged, and which does not exceed the reasonable cost to the local government of conferring the benefit…,”
(2) “A charge imposed for a specific government service… directly to the payor that is not provided to those not charged, and which does not exceed the reasonable cost to the local government of providing the service or product.”
In the case of the City’s connection charge, the City does not charge one fee payer more in order to charge another fee payer less (i.e., a cross‐subsidy), and it does not exceed the reasonable costs to the local government of providing the service.  Given this, the fee is not a tax within the meaning of Proposition 26.

In simplified terms, the basic principle that needs to be followed under California law is that the connection charge be based on a proportionate share of the costs of the system required to provide service and that the requirements for adoptions and accounting be followed in compliance with California law.

1.3 Methodology to Development of Connection Charges
There are various approaches that can be used to establish connection charges which ultimately depend on the available capacity in the utility (i.e., ability to meet future customer demands).

The AWWA M‐1 Manual discusses three generally accepted capacity charges methods:4;  “The buy‐in method is based on the value of the existing system’s capacity. This method is typically used when the existing system has sufficient capacity to serve new development now and into the future.
 The incremental cost method is based on the value or cost to expand the existing system’s capacity. This method istypically used when the existing system haslimited or no capacity to serve new development now and into the future.
 The combined approach is based on a blended value of both the existing and expanded system’s capacity. This method is typically used where some capacity is available in parts of the existing system (e.g. source of supply), but new or incremental capacity will need to be built in other parts (e.g., treatment plant) to serve new development at some point in the future.”
For the development and calculation of the City’s connection charge, the “combined approach” was used since there is available capacity in the existing system, but there is also a need for future (capacity) expansion.

Within the generally accepted water connection charge methodology, there are a number of different steps undertaken. These steps are as follows:
4 AWWA M‐1 Manual, p 7th Edition, p. 330‐337.
60 Overview of Connection Charges 8
City of Solvang – 2022 Water Connection Charge Study
Step 1 ‐ Determination of system planning criteria
Step 2 ‐ Determination of equivalent dwelling units (EDUs) Step 3 – Valuation of system component costs
Step 4 ‐ Determination of any credits
Step 1 – Determination of System Planning Criteria
The first step in establishing water connection charges is the determination of the system planning criteria. Thisimplies calculating the amount of water capacity required by a single‐family residential customer to establish the equivalent unit. The use of an adopted facility plan or master plan for the utility provides the basis for the connection charge system planning criteria.

These planning documents provide the rational planning basis and criteria for the facilities and investment needed to operate and maintain the system properly and adequately.  Generally, for a water system the planning criteria is the peak day demand in gallons per equivalent dwelling unit (EDU).  The City’s Water System Master Plan and Capital Improvement Plan resulting from the specific Master Plans are the documents and information that are referenced for the determination of the system planning criteria..

Step 2 – Determination of Equivalent Dwelling Unit (EDU) The next step is the determination of the EDUs.  An EDU provides a “common denominator” for assessing impact on a utility system. The determination of the total system EDUs is an important calculation in that it provides the linkage between the amounts of infrastructure necessary to provide service to a set number of customers.  This implies that if the system is designed to provide service for demands up to the year 2045, then the infrastructure costs are divided by the additional EDUs projected to be connected by 2045 to determine the equitable and proportionate cost per EDU.

Step 3 – Valuation of System Component Costs
Once the number of EDUs, or capacity for the system are determined, a component by component analysis is undertaken of the assets to determine the portion of the connection charge attributable to each component in dollars per EDU.  In this process, the existing assets must be valued.  Existing assets may be valued in a number of different ways.  These methods may include the following:
 Original Cost (OC) is cost of construction in year of construction  Original Cost Less Depreciation (OCLD)
 Replacement Cost New (RCN) is current day dollars of replacing existing  Replacement Cost New Less Depreciation (RCNLD)
Given these four different methods for valuing the assets, the selection of the valuation method certainly arises.   The American Water Works Association M‐1 manual notes the following concerning these various generally accepted valuation methods:
“Using the OC and OCLD valuations, the [connection charge] reflects the original investment in the existing capacity.  The new customer “buys in” to the capacity at the OC or the net book value cost (OCLD) for the facilities and as a result pays an amount similar 61 Overview of Connection Charges 9
City of Solvang – 2022 Water Connection Charge Study
to what the existing customers paid for the capacity (OC) or the remaining value of the original investment (OCLD).

Using the RCN and the RCNLD valuations, the [connection charge] reasonably reflects the cost of providing new expansion capacity to customers as if the capacity was added at the time the new customers connected to the water system.  It may be also thought of as a valuation method to fairly compensate the existing customers for the carrying costs of the excess capacity built into the system in advance of when the new customers connect to the system.  Thisis because, up to the point of the new customer connecting to the system, the existing customers have been financially responsible for the carrying costs of that excess capacity that is available to development.”5
As a point of reference for this study, the City’s connection charge analyses will use a RCN methodology for all assets in the study.  The City’s existing assets are valued at “replacement” cost based on original cost escalated to current dollars using a cost index (e.g. the Engineering New Record, Construction Cost Index; (ENR‐CCI).  This value reasonably reflectsthe carrying costs of the excess capacity paid by existing customers.  Infrastructure not paid by the utility such as developer contributions or grants are not included in the charge.

The next step in the analysis is to determine the valuation of the system infrastructure.  The combined approach is based on the existing infrastructure, plus future expansion‐related capital projects, based on an adopted capital plan or master plan and valued at today’s cost, regardless of the timing of when the facility will be built.  The future component is related only to future capital projects which provide an expansion of capacity to accommodate future growth.

Given a value for capacity and the number of EDUs, the basic formula for calculating the connection charge is relatively straight‐forward, and is as follows:

Existing System ($)
+
Future CIP ($)
=
Maximum Allowable
Connection Charge $ per
EDU Existing + Future EDUs Future EDUs
In the determination of the connection  charge, the cost per EDU as shown above is the “gross connection charge”.  The “gross connection charge” is calculated before any credits.

Step 4 – Determination of Any Credits
The last step in the calculation of the connection charge is the determination of any credits.  The credit considers the method used to finance infrastructure on the system so that customers are not paying twice for infrastructure – once through the connection charges and again through rates. The double payment can come in through the imposition of a connection charge and then the requirement to pay debt service within a customer’s water rates.

This component accounts for the outstanding debt principal on existing assets.  By segregating the debt service out, the cost can be clearly identified and calculated appropriately. To avoid 5 AWWA M‐1 Manual, 7th Edition, p. 332.
62 Overview of Connection Charges 10
City of Solvang – 2022 Water Connection Charge Study
double‐counting of the assets financed with debt, the future principal associated with those assets is deducted from the existing infrastructure value.

1.4 Summary
This section of the report has provided an overview of water connection charges; the basis for establishing the water connection charge, considerations in establishing a water connection charge, and the relationship (practical basis) which must be established between new development and the new or expanded facilities required to accommodate new development, and appropriate apportionment of the cost to the new development in relation to benefits reasonably to be received. The next section of the report will provide a discussion of the calculation of the City’s water connection charges.
63 Development of the Water Connection Charge 11
City of Solvang – 2022 Water Connection Charge Study
This section of the report presents the key assumptions and details used in calculating the City’s water connection charge. The calculation of the City’s water connection charge is based on City’s‐ specific accounting, planning, and system information. Specifically, the connection charge is based upon the City’s fixed asset records, Capital Improvement Plan (CIP), and other planning related data. The City provided the financial and accounting information that was used within this analysis.

To the extent that the cost and timing of future capital improvements change, then the connection charge presented in this section of the report should be updated to reflect the changes.

2.1 Methodology for Development of Connection Charges
As discussed in Section 1, in establishing connection charges, there are different methodologies that may apply depending on the utility’s available capacity. The AWWA M‐1 Manual discusses three generally accepted methods;
 The buy‐in method is based on the value of the existing system’s capacity. This method is typically used when the existing system has sufficient capacity to serve new development now and into the future.
 The incremental cost method is based on the value or cost to expand the existing system’s capacity. This method istypically used when the existing system haslimited or no capacity to serve new development now and into the future.
 The combined approach is based on a blended value of both the existing and expanded system’s capacity. This method is typically used where some capacity is available in parts of the existing system (e.g., source of supply), but new or incremental capacity will need to be built in other parts (e.g., treatment plant) to serve new development at some point in the future.”
For the development and calculation of the City’s connection charge, the “combined approach” was used since there is available capacity in the existing system, and there is also a need for future (capacity) expansion.

2.2 Overview of City’s Water System
The City of Solvang provides retail water service through approximately 2,160 service connections. The City’s water system has multiple water supply sources. These include State Water, Upland Wells, River Wells, and the Santa Ynez Water District (ID #1).  The Department of Water Resources (DWR) operates the State Water Project. The City holds entitlement to 1,500 acre‐feet per year (AFY) of State Water. However, based on the rainfall, Sierra snow‐pack, and State reservoir levels each year the percentage allocation of State Water varies. In recent years the allocation of State Water has varied from 5% (during drought) to as much as 85% 2 Development of the Water Connection Charge
64 Development of the Water Connection Charge 12
City of Solvang – 2022 Water Connection Charge Study
There are 3 water storage tanks / reservoirs that are part of the distribution system for the City’s customers. Additionally, the water system consists of over 20 miles of transmission and distribution water lines.

2.3 Present Water Connection Charge
The City’s current water connection charge is based on the cost for one equivalent unit, which is defined as a 5/8‐inch meter. The City’s present water connection charges are provided below in Table 2 ‐ 1.

Table 2 ‐ 1
Current Water Connection Charge
Meter Size
Weighting
Factor
Connection
Charge(2)
5/8" 1.00   $8,740
3/4" 1.50   13,109
1" 2.50   21,849
1 1/2" 5.00   43,689
2" 8.00   69,916
3" 16.00   139,833
4" 25.00   218,489
6" 50.00   436,978
1] ‐ 1 equivalent unit based on 5/8‐inch meter
(2) Present connection charges as of May 2022.

In Table 2  ‐  1, the water connection charge is by meter size and the cost is determined by multiplying the connection charge for a 5/8‐inch meter (equivalent unit) by the meter capacity weighting factors which are based on the capacity of each meter size. In this way the connection charge for larger meters reflects the capacity of the larger meters and impact placed on the system.

2.4 Calculation of the City’s Water Connection Charge
As discussed in Section 1, the process of calculating connection charges is based on a four‐step process. In summary form, these steps are as follows:
 Determination of system planning criteria
 Determination of equivalent dwelling units (EDUs)
 Valuation of system component costs
 Determination of connection charge credits
Each of these steps is discussed in more detail below.
65 Development of the Water Connection Charge 13
City of Solvang – 2022 Water Connection Charge Study

2.4.1 System Planning Criteria
System planning criteria typically involves calculating the amount of water demand required by a single‐family residential customer, or an EDU.  The average water demand represents the basis for system design.  The 2011 Water System Master Plan defined 236 gallons per capita per day per EDU and 2.35 people per household for a total average day demand in gallons per EDU of 555 (236 X 2.35 = 555). A summary of the system criteria is presented in Table 2‐2.  Details of the system planning criteria are shown on Exhibit 5 in the Technical Appendix.

Table 2‐2
Water Connection Charge – Planning Criteria
Description Total
Gallons per capita per day (1) 236.0
Number of persons per household(2) 2.35
Average Day Demand in gallons 555
Maximum Day Demand Capacity in MGD(3) 1.76 MGD
(1) Water gallons per capita per day, ten year average (2001‐2010), 2011 Water System Master Plan, Page 9. (2) Person per household, 2011 Water System Master Plan, page 16. (3) Total Acre Feet of 1,574 converted to MGD of 1.76, 2011 Water System Master Plan

2.4.2 Water Equivalent Dwelling Units
System planning criteria are used to establish the capacity needs of an EDU.  The average day demand for the system capacity in MGD is divided by the average day demand per EDU to estimate the total EDUs.  The currentsystem average day demand is 1.44 MGD reflecting existing EDUs of 2,593 (1.44/555  = 2,593 EDUs).  A summary of the existing, future and total EDUs is presented in Table 2‐3.

Table 2‐3
Water Connection Charge – Equivalent Dwelling Units
Description Existing EDUs Future EDUs Total EDUs
Maximum Day Demand Capacity in MGD[1] 1.44 0.32 1.76
Average Day Demand in gallons per EDU(2) 555 555 555
Total EDUs 2,593 583 3,176
(1) Acre Feet from 2011 Water System Master Plan converted to MGD. (2) Average day demand from Table 2‐2.

Given the development of the water system EDUs the focus shifted to the calculation of the connection charge for each component. This aspect of the analysis is discussed below. 66 Development of the Water Connection Charge 14
City of Solvang – 2022 Water Connection Charge Study

2.4.3 Calculation of the Water Connection Charge
The nextstep of the analysisisto review the major functionalsystem infrastructure to determine the connection charge for the system. In calculating the connection charge for the City, existing infrastructure components, debtservice funding for existing facilities, capital improvements, and construction work in progress were included. The methodology used to calculate each component is described below.

Existing or Buy‐in Component
To calculate the value of the existing assets for the connection charge, the City’s methodology considered the original cost of each asset. The City provided an asset listing for the various existing components and their installation dates.  This data was reviewed in this analysis by City staff and HDR for elimination of non‐backbone infrastructure such as equipment and vehicles, and finally elimination of assets that were not City paid and were instead funded by grants or developer contributions.  Additionally, the construction work in progress(CWIP) wasincluded for any amount of capital that was not booked as an asset by June 30th, 2021 but was also not included in the FY 2022 capital improvement plan.

As was noted in Section 1, there are different methods for valuing existing assets.  In this case, the replacement cost new method was used.  To accomplish this, the original cost of each asset was escalated to current, May 2022, values based on the Construction Cost Index (CCI) for the 20‐City average area published in the City Engineering News & Record (ENR). Within this study, land was not escalated by the ENR‐CCI.

The total ENR asset and CWIP at RCN totaled $23.4 million.  The amount of contributed capital totaled $5.2 million.  This left net assets of $18.2 million for the existing component ($23.4 ‐ $5.2 = $18.2).  The total net existing component of $18.2 million divided by the total EDUs of 3,176 results in $5,751 per EDU for the existing component ($18.2 ÷ 3,176 = $5,751 per EDU).  The valuation of the existing assets can be seen on Exhibit 7 of the Technical Appendix.

Debt Service Component
In addition to the buy‐in component, a debt service component was also determined. This component accounts for the principal on existing assets and the remaining principal portion of the debt associated with the assets was deducted from the total eligible asset value prior to calculating the connection charge. By segregating the debt service out, the cost can be clearly identified and calculated appropriately. This inclusion of a debt service credit avoids double charging the customer for the asset value in the existing or reimbursement component of the connection charge, and also in the debt service component of the water rates. The water utility does not have any outstanding debt at this time therefore there is no debt service credit.

Future Components
An important requirement for a connection charge study is the connection between the anticipated future growth on the system and the required facilities needed to accommodate that growth. For purposes of this study, the City’s most current Capital Improvement Plan (CIP) for a ten year planning period was provided and City staff reviewed capital improvements which were growth related. Exhibit 6 of the Technical Appendix contains the details of this portion of the charge.
67 Development of the Water Connection Charge 15
City of Solvang – 2022 Water Connection Charge Study
The total future capital projectstotaled $17.0 million of which $2.1 million was connection charge eligible, or in place to service customer growth and expansion on the system.  The total future component of $2.1 million divided by the future EDUs of 583 results in $3,684 per EDU for the future component ($2.1 ÷ 583 = $3,684 per EDU).  The capital improvement listing can be seen on Exhibit 6 of the Technical Appendix.

2.5 Net Allowable Water Connection Charge
The methodology used to establish the water connection charge is a combined approach. This approach usesthe reimbursement component and accountsfor any existing debt creditresulting, plusthe growth related portion of the future projectsfor a total net allowable connection charge.

Based on the sum of the component costs calculated above, the existing component of $5,751 per EDU, plus the future component of $3,684 per EDU, the net allowable water connection charge is $9,435. A summary of this calculation is shown below in Table 2 ‐ 4.

Table 2 ‐ 4
Calculated Water Connection Charge
Total EDUs $/EDU
Existing Water System $23,334,671 3,176 $7,347
CWIP 140,384 3,176 44
Less: Contributed Capital (5,210,719) 3,176 (1,640)
Total Existing $18,264,719 $5,751
Less: Debt Service Credit ($0) ($0)
Future Capital Projects S2,147,601 583 $3,684
Total Connection Charge $20,412,320 $9,435
This calculated water connection charge of $9,435 compares to the City’s current connection charge of $8,740 per 5/8” meter equivalent, or an increase of $695. The $9,045 per EDU reflects one (1) equivalent unit which is a 5/8‐inch water meter. As noted, the wastewater connection charge is implemented on the customers meter size and increases based on the AWWA meter equivalency factors. The Technical Appendix details the calculation of the net allowable water connection charge.

The calculated connection charge for customers is determined by multiplying the connection charge for one equivalent unit by the meter capacity weighting factors. As noted, the weighting factors are determined based on the American Water Works Association (AWWA) safe operating capacities for the type and size of meter. The safe operating capacity of each meter is divided by the safe operating capacity for a 5/8‐inch meter to determine the weighting factor for each meter. Table 2 ‐ 5 shows the present and calculated connection charge size of meter. 68 Development of the Water Connection Charge 16
City of Solvang – 2022 Water Connection Charge Study
Table 2 ‐ 5
Present and Calculated Water Connection Charge
Meter Size Meter Ratio (1) Present (2) Calculated (3)
5/8‐inch 1.00 $8,740   $9,435
3/4‐inch 1.50 13,109   14,151
1‐inch 2.50 21,849   23,586
1‐1/2‐inch 5.00 43,689   47,162
2‐inch 8.00 69,916   75,474
3‐inch 16.00 139,833   150,950
4‐inch 25.00 218,489   235,859
6‐inch 50.00 436,978   471,717
(1) Meter ratio based on American Water Works Association factor based on 5/8‐inch meter. (2) Present connection charges as of 2015.
(3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2‐4, page 337.

2.6 Key Assumptions
In developing the connection charges for the City’s water system, a number of key assumptions were utilized. These are as follows:
 The City’s connection charges were developed on the basis of planning documents, anticipated future connections and the needed capital improvements to serve those future connections.
 The City projections of future EDUs was based on the most recent Master Plan.  The City’s asset records as of June 2021 were used to determine the existing infrastructure assets.
 The City provided the most recent  ten year Capital Improvement Plan for the future component.
 The City determined the portion of future improvements that were growth‐related.  The year 2022 was used as the basis for the CIP.

2.7 Consultant’s Recommendations
Based on our review and analysis of the City’s water system, HDR recommends:

1. The City should adopt the water connection charge for new connections to the water system which is no greater than the net allowable connection charges as set forth in this report

2. The City should adopt a resolution to annually update the water connection charges by the Engineering News Record Construction Cost Index (ENR‐CCI) 20 City average for no more than five years before a complete update of the water connection charge study is completed. Industry best practice of annual inflationary adjustment can keep the charges (infrastructure investment) relatively current with construction pricing practices. 69 Development of the Water Connection Charge 17
City of Solvang – 2022 Water Connection Charge Study

3. The City should update the actual calculations for the water connection charge at such time when a new capital improvement plan, public facilities plan, comprehensive system plan, or a comparable plan is approved or updated by the City, or every five years.

2.8 City Council Review
The connection charge study findings and conclusions were presented to the City Council on May 24, 2022 for review and setting the public hearing. At the conclusion of the presentation the City Council directed staff to hold a public hearing on June 27, 2022 to consider adopting the recommended water connection charges. At the time of this report, the City Council has not accepted and approved the calculated connection charge as outlined in this report.

2.9 Summary
The water connection charge developed and presented in this section of the report are based on the planning and engineering design criteria of the City’s water system, the value of the existing assets, and generally accepted ratemaking principles. Consistently updating the charge annually based on the Engineering New Record Construction Cost Index 20‐City Average and reviewing the connection charge every five years will continue to create equitable and cost‐based charges for new customers connecting to the City’s water system. 70 Technical Appendix
71 City of Solvang - Water 2022
Exhibit 1
Present and Calculated Connection Charge
Present Calculated
Meter Meter Connection Connection $ %
Size Ratio (2) Charge (1) Charge (3) Difference Change
5/8-inch 1.00 $8,740 $9,435 $695 7.9%
3/4-inch 1.50 13,109 14,151 1,042 7.9%
1-inch 2.50 21,849 23,586 1,737 7.9%
1-1/2-inch 5.00 43,689 47,162 3,473 7.9%
2-inch 8.00 69,916 75,474 5,558 7.9%
3-inch 16.00 139,833 150,950 11,117 7.9%
4-inch 25.00 218,489 235,859 17,370 7.9%
6-inch 50.00 436,978 471,717 34,739 7.9%
NOTES:
(1) Present connection charges as of 2015.
(2) Meter ratio based on American Water Works Association factor based on 5/8-inch meter. (3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2-1, page 333.

DRAFT 72
City of Solvang - Water 2022
Exhibit 2
Development of Calculated Connection Charge
Plant Description
Eligible Assets
at Replacement
Cost New (1)
Eligible
Construction
Work in
Progress (2)
Total Existing
Cost $
Buildout
Connections
(3)
Existing $ per
EDU
Eligible Future
Projects (4)
Less
Grants/
Developer
Total Future
Cost $
Future
Connections
(5)
Future $ per
EDU
TOTAL $
per EDU
Assets
Hydrant $0 + $0 = $0 ÷ 3,176 = $0 $0 - $0 = $0 ÷ 583 = $0 $0 Mains 9,149,491 + 0 = 9,149,491 ÷ 3,176 = 2,881 0 - 0 = 0 ÷ 583 = 0 2,881 Meters 0 + 0 = 0 ÷ 3,176 = 0 0 - 0 = 0 ÷ 583 = 0 0
Misc. Equipment 0 + 0 = 0 ÷ 3,176 = 0 0 - 0 = 0 ÷ 583 = 0 0 Office Equipment 296,954 + 0 = 296,954 ÷ 3,176 = 94 0 - 0 = 0 ÷ 583 = 0 94 Pumping 53,309 + 0 = 53,309 ÷ 3,176 = 17 0 - 0 = 0 ÷ 583 = 0 17 Reservoir/Tanks 1,317,112 + 0 = 1,317,112 ÷ 3,176 = 415 1,382,174 - 0 = 1,382,174 ÷ 583 = 2,371 2,786 Source of Supply 12,378,103 + 140,384 = 12,518,487 ÷ 3,176 = 3,942 765,427 - 0 = 765,427 ÷ 583 = 1,313 5,255 Tools 0 + 0 = 0 ÷ 3,176 = 0 0 - 0 = 0 ÷ 583 = 0 0
Vehicles 0 + 0 = 0 ÷ 3,176 = 0 0 - 0 = 0 ÷ 583 = 0 0
Treatment 16,469 + 0 = 16,469 ÷ 3,176 = 5 0 - 0 = 0 ÷ 583 = 0 5 Land/Easements 123,232 + 0 = 123,232 ÷ 3,176 = 39 0 - 0 = 0 ÷ 583 = 0 39 TOTAL $23,334,671 $140,384 $23,475,055 $7,392 $2,147,601 $0 $2,147,601 $3,684 $11,076 Less: Contributed Capital (1) ($5,210,719) ÷ 3,176 = ($1,641) ($1,641) NET ASSETS $18,264,336 ÷ 3,176 = $5,751 $2,147,601 ÷ 583 = $3,684 $9,435 Less: Outstanding Debt Principal (6) 0÷ 3,176 = 0 0
TOTAL $18,264,336 ÷ 3,176 = $5,751 $2,147,601 ÷ 583 = $3,684 $9,435 Calculated Connection Fee $9,435
Present Water Connection Fee (7) $8,740
$ Change $695
NOTES:
(1) Asset listing and contributed capital as of June, 2021, service date of asset and May 2022 ENR, CCI for 20-City Average, See Exhibit 7. (2) Construction work in progress as of June 2021. See Exhibit 3. (3) Existing and future EDUs based on source capacity. See Exhibit 5. (4) Eligible future projects based on Ten-Year CIP from 2022 to 2031. See Exhibit 6. (5) Future connections based on future connections per EDU. See Exhibit 5. (6) Water currently does not have any outstanding debt issues. See Exhibit 4. (7) Present connection charges as of 2015.

DRAFT 73
City of Solvang - Water 2022
Exhibit 3
Development of Construction Work in Progress
ENR-CCI 13,004 May '22
TOTAL ENR 2021
CATEGORY DESCRIPTION (1) DATE COST FACTOR COST
Hydrant 06/01/2022 $0 1.00 $0
Mains 06/01/2022 0 1.00 0
Meters 06/01/2022 0 1.00 0
Misc. Equipment 06/01/2022 0 1.00 0
Office Equipment 06/01/2022 0 1.00 0
Pumping 06/01/2022 0 1.00 0
Reservoir/Tanks 06/01/2022 0 1.00 0
Source of Supply 06/01/2022 140,384 1.00 140,384
Tools 06/01/2022 0 1.00 0
Vehicles 06/01/2022 0 1.00 0
Treatment 06/01/2022 0 1.00 0
Land/Easements 06/01/2022 0 1.00 0
TOTAL $140,384 $140,384
TOTAL 2021

CATEGORY CATEGORY COST COST
Hydrant $0 $0
Mains 0 0
Meters 0 0
Misc. Equipment 0 0
Office Equipment 0 0
Pumping 0 0
Reservoir/Tanks 0 0
Source of Supply 140,384 140,384
Tools 0 0
Vehicles 0 0
Treatment 0 0
Land/Easements 0 0
TOTAL $140,384 $140,384
NOTES:
(1) Construction work in progress as of 2021.

DRAFT 74
City of Solvang - Water 2022
Exhibit 4
Development of Debt Credit
Year
TOTAL
PRINCIPAL (1)
Connection Fee Eligible
2021-22 $0
2022-23 0
2023-24 0
2024-25 0
2025-26 0
2026-27 0
2027-28 0
2028-29 0
2029-30 0
2030-31 0
2031-32 0
TOTAL $0
NOTES:
(1) Water does not currently have any outstanding debt.

DRAFT 75
City of Solvang - Water 2022
Exhibit 5
Development of Equivalent Dwelling Units
Average Day Demand gpd (1) 236
Person per household (2) 2.353
Peak Day Demand 555
Acre Feet Conversion MGD
Peak Day
Demand Total EDUs Growth
Existing EDUs (3) 1,285 0.001120 1.44 555 2,593 81.6%
Future EDUs 289 0.001120 0.32 555 583 18.4%
Total EDUs 1,574 1.76 3,176
Notes:
(1) Water use gallon per capita per day, based on ten year average (2001-2010), 2011 Water System Master Plan, Page 9. (2) Person per household, 2011 Water System Master Plan, page 16. (3) Existing Acre Feet based on Average AF purchased/produced 2011-2021 Production Capacity
DRAFT 76
City of Solvang - Water 2022
Exhibit 6
Development of Capital Improvement Plan
# Project Type Function WIP 2022 2023 2024 2025 2026 2027 2028 2029-2032 Ten Year CIP
Total
%
Eligible $ Eligible
1 Water Master Plan Update Source of Supply $20,000 $0 $0 $0 $0 $0 $0 $0 $20,000 0.0% $0 2 Waterline Replacement Program Mains 80,000 1,000,000 70,000 700,000 70,000 700,000 70,000 1,100,000 3,790,000 0.0% 0 3 Valve and Fire Hydrant Replacement Program Hydrant 0 50,000 0 50,000 0 50,000 0 100,000 250,000 0.0% 0 4 Zone 2 to Zone 1 Pressure Reducing Station Mains 0 0 0 0 0 60,000 350,000 0 410,000 0.0% 0 5 Water System Security Improvements Mains 50,000 50,000 200,000 0 0 0 0 0 300,000 0.0% 0 6 Portable Emergency Generators Source of Supply 300,000 0 0 160,000 160,000 0 0 0 620,000 0.0% 0 7 Water Meter Radio System Upgrade Meters 0 30,000 300,000 0 0 0 0 0 330,000 0.0% 0 8 River Wells Project (3) Source of Supply 0 50,000 100,000 300,000 2,700,000 0 0 0 3,150,000 18.4% 578,200 9 Reservoir 3 Expansion Project Reservoir/Tanks 0 0 30,000 2,500,000 0 0 0 0 2,530,000 18.4% 464,396 10 Construction of HCA Middle Well Source of Supply 0 20,000 1,000,000 0 0 0 0 0 1,020,000 18.4% 187,227 11 Reservoir 1 Roof Replacement Reservoir/Tanks 0 0 30,000 150,000 0 0 0 0 180,000 0.0% 0 12 Purchase Mini Excavator Misc. Equipment 0 90,000 0 0 0 0 0 0 90,000 0.0% 0 13 Reservoir 1 Expansion Project Reservoir/Tanks 0 0 0 0 2,500,000 2,500,000 0 0 5,000,000 18.4% 917,778 Total $450,000 $1,290,000 $1,730,000 $3,860,000 $5,430,000 $3,310,000 $420,000 $1,200,000 $17,690,000 $2,147,601 CATEGORY WIP 2022 2023 2024 2025 2026 2027 2028 2029-2032 Ten Year CIP Total $ Eligible
Hydrant $0 $50,000 $0 $50,000 $0 $50,000 $0 $100,000 $250,000 $0 Mains 130,000 1,050,000 270,000 700,000 70,000 760,000 420,000 1,100,000 4,500,000 0 Meters 0 30,000 300,000 0 0 0 0 0 330,000 0
Misc. Equipment 0 90,000 0 0 0 0 0 0 90,000 0
Office Equipment 0 0 0 0 0 0 0 0 0 0
Pumping 0 0 0 0 0 0 0 0 0 0
Reservoir/Tanks 0 0 60,000 2,650,000 2,500,000 2,500,000 0 0 7,710,000 1,382,174 Source of Supply 320,000 70,000 1,100,000 460,000 2,860,000 0 0 0 4,810,000 765,427 Tools 0 0 0 0 0 0 0 0 0 0
Vehicles 0 0 0 0 0 0 0 0 0 0
Treatment 0 0 0 0 0 0 0 0 0 0
Land/Easements 0 0 0 0 0 0 0 0 0 0
TOTAL $450,000 $1,290,000 $1,730,000 $3,860,000 $5,430,000 $3,310,000 $420,000 $1,200,000 $17,690,000 $2,147,601 NOTES:
(1) Capital projects from capital funds program provided by the City 2022 to 2031. (2) Capital projects from capital funds program provided by the City 2022 to 2031. SDC eligible based on type of project and remaining growth EDUs. See Exhibit 5. (3) Capital projects from capital funds program provided by the City 2022 to 2031. River Wells project adding 400 gallon tank to existing 200 gallon tank for resiliency and expansion. SDC Eligible calculated (400/600 * 14.6% growth = 9.7%) DRAFT 77
City of Solvang - Water 2022
Exhibit 7
Development of Asset Listing as of June 30, 2021
ENR-CCI 13,004.47 May '22
ASSET ACQUIRE ORIGINAL ENR REPLACEMENT % ORIGINAL REPLACEMENT

CATEGORY NUMBER DESCRIPTION DATE CONTRIBUTED COST FACTOR COST ELIGIBLE COST COST NEW Land/Easements 215-00 Well #4 Site 01/01/1952 $1,000 1.00 $1,000 100.0% $1,000 $1,000 Land/Easements 212-00 Reservoir Site 01/01/1953 1,000 1.00 1,000 100.0% 1,000 1,000 Land/Easements 216-00 Well Site 01/01/1954 1,000 1.00 1,000 100.0% 1,000 1,000 Land/Easements 217-00 Well Site 01/01/1957 5,000 1.00 5,000 100.0% 5,000 5,000 Source of Supply 224-00 Wells 01/01/1960 49,750 15.78 785,162 100.0% 49,750 785,162 Land/Easements 213-00 Alisal Ranch Reservoir 01/01/1962 1,000 1.00 1,000 100.0% 1,000 1,000 Land/Easements 214-00 Chalk Hill Reservoir 01/01/1976 17,582 1.00 17,582 100.0% 17,582 17,582 Reservoir/Tanks 219-00 450000 Gallon Reservoir 12/31/1977 130,700 5.05 659,815 100.0% 130,700 659,815 Mains 241-00 Contributed Water Mains 01/01/1980 Contributed 900,497 4.02 3,617,697 100.0% 900,497 3,617,697 Mains 235-00 Water Distribution Mains 07/01/1984 997,851 3.14 3,129,890 100.0% 997,851 3,129,890 Source of Supply 218-00 Dams and Reservoirs 09/01/1986 588,656 3.03 1,782,342 100.0% 588,656 1,782,342 Source of Supply 226-00 Wells 07/01/1988 13,244 2.88 38,113 100.0% 13,244 38,113 Meters 245-00 Meters and Boxes 07/01/1988 6,066 2.88 17,456 0.0% 0 0 Reservoir/Tanks 220-00 Additions to Underground Reservoir 01/01/1989 65,365 2.82 184,190 100.0% 65,365 184,190 Source of Supply 227-00 Well #7 06/01/1989 191,382 2.82 539,291 100.0% 191,382 539,291 Mains 236-00 Water Distribution Mains 07/01/1989 29,425 2.82 82,916 100.0% 29,425 82,916 Source of Supply 244-00 Engineer Study Water Wells 07/01/1989 17,843 2.82 50,278 100.0% 17,843 50,278 Meters 246-00 Meters and Boxes 07/01/1989 9,497 2.82 26,761 0.0% 0 0 Mains 242-00 Contributed Water Mains 12/31/1989 Contributed 529,608 2.82 1,492,368 100.0% 529,608 1,492,368 Mains 243-00 Contributed Water Mains 12/31/1989 Contributed 35,720 2.82 100,654 100.0% 35,720 100,654 Mains 237-00 Water Distribution Mains 07/01/1990 5,597 2.75 15,382 100.0% 5,597 15,382 Source of Supply 252-00 Wells 07/01/1990 20,050 2.75 55,100 100.0% 20,050 55,100 Mains 238-00 Water Distribution Mains 07/01/1991 6,704 2.69 18,031 100.0% 6,704 18,031 Source of Supply 230-00 Wells 07/01/1992 18,029 2.61 47,032 100.0% 18,029 47,032 Mains 239-00 Water Distribution Mains 07/01/1992 5,060 2.61 13,201 100.0% 5,060 13,201 Source of Supply 231-00 Well #3 07/01/1993 52,583 2.50 131,250 100.0% 52,583 131,250 Mains 240-00 Water Distribution Mains 07/01/1993 5,325 2.50 13,291 100.0% 5,325 13,291 Tools 248-00 Hydraulic Power Stringer w/Attachments 07/01/1993 5,280 2.50 13,179 0.0% 0 0 Source of Supply 232-00 Chalk Hill Well 07/01/1994 31,101 2.40 74,787 100.0% 31,101 74,787 Land/Easements 211-00 Rancho Alisal Easement 07/15/1994 37,517 2.40 90,216 100.0% 37,517 90,216 Source of Supply 233-00 Well #7 07/01/1995 26,724 2.38 63,522 100.0% 26,724 63,522 Source of Supply 234-00 Creekside Test Well 07/01/1997 118,185 2.23 263,807 100.0% 118,185 263,807 Misc. Equipment 247-00 2 Emergency Generators w/connections 09/30/1998 94,889 2.20 208,443 0.0% 0 0 Source of Supply 222-00 State Water Turnout Construction 06/30/2002 1,809,075 1.99 3,598,357 100.0% 1,809,075 3,598,357 Source of Supply 297-00 State Water Turnout 07/01/2002 846,654 1.99 1,684,045 100.0% 846,654 1,684,045 Mains 358-00 Skytt Mesa Water Lines 06/30/2006 386,504 1.68 648,452 100.0% 386,504 648,452 Meters 407-00 6" Water Meter (for Mobile Home Park) 12/31/2008 10,694 1.56 16,733 0.0% 0 0 Misc. Equipment 402-00 Used Air Compressor-Diesel 03/31/2009 3,233 1.52 4,902 0.0% 0 0 Reservoir/Tanks 426-00 Hydro Pump - Res #1 01/25/2010 18,509 1.48 27,345 100.0% 18,509 27,345 Source of Supply 425-00 Well #4 Motor & Pump Repair 05/10/2010 10,448 1.48 15,436 100.0% 10,448 15,436 Pumping 422-00 ClaValve-Alisal Ranch 06/30/2010 28,253 1.48 41,740 100.0% 28,253 41,740 Source of Supply 450-00 Well #7 New Pump and Motor 08/30/2010 13,410 1.48 19,812 100.0% 13,410 19,812 Source of Supply 452-00 Well #3 Pump and Motor 03/14/2011 14,038 1.43 20,118 100.0% 14,038 20,118 Treatment 455-00 Chlorine Gas Conversion 03/15/2011 4,899 1.43 7,021 100.0% 4,899 7,021 Office Equipment 454-00 Water SCADA Upgrade 08/27/2012 127,702 1.40 178,413 100.0% 127,702 178,413 Office Equipment 480-01 MicroMas Voice Mail System 11/12/2012 2,524 1.40 3,526 0.0% 0 0 Source of Supply 477-00 Well 7A Protection 06/24/2013 25,982 1.36 35,394 100.0% 25,982 35,394 Source of Supply 490-00 Breaker (Well 3) 06/30/2013 10,877 1.36 14,817 100.0% 10,877 14,817 Meters 497-01 Trimble Nomad Meter Reader 09/09/2013 6,037 1.36 8,224 0.0% 0 0 Source of Supply 524-00 Well @ HCA Middle 06/30/2015 133,881 1.30 173,491 100.0% 133,881 173,491 Source of Supply 525-00 Well 23 06/30/2015 142,648 1.30 184,852 100.0% 142,648 184,852 Vehicles 528-03 #429 Backhoe Loader - shared asset 09/25/2015 38,799 1.30 50,278 0.0% 0 0 Source of Supply 509-00 Well 21 Upgrade Project 07/01/2016 35,641 1.26 44,830 100.0% 35,641 44,830 Source of Supply 521-00 Well @ Vets Hall 07/01/2016 80,026 1.26 100,659 100.0% 80,026 100,659 Source of Supply 523-00 Well - Lot 72 East 07/01/2016 85,232 1.26 107,208 100.0% 85,232 107,208 DRAFT 78
City of Solvang - Water 2022
Exhibit 7
Development of Asset Listing as of June 30, 2021
ENR-CCI 13,004.47 May '22
ASSET ACQUIRE ORIGINAL ENR REPLACEMENT % ORIGINAL REPLACEMENT

CATEGORY NUMBER DESCRIPTION DATE CONTRIBUTED COST FACTOR COST ELIGIBLE COST COST NEW Vehicles 558-00 #636 2016 Chevy Silverado K2500 08/09/2016 37,390 1.26 47,031 0.0% 0 0 Mains 546-00 Waterline Replacement - Fredensborg Rd. 10/31/2016 14,000 1.26 17,610 100.0% 14,000 17,610 Office Equipment 543-00 Scada Upgrade (16/17) 03/31/2017 11,533 1.21 13,969 100.0% 11,533 13,969 Treatment 545-00 Security Fence @ Well #3 Disinfection Facility 03/31/2017 7,800 1.21 9,448 100.0% 7,800 9,448 Source of Supply 522-00 Well @ South HCA 04/30/2017 322,767 1.21 390,945 100.0% 322,767 390,945 Reservoir/Tanks 544-00 Reservoir 2 Upgrade/Repair 06/30/2017 294,128 1.21 356,256 100.0% 294,128 356,256 Source of Supply 547-00 Pump, Motor, Casing & Column @ Well #14 06/30/2017 41,837 1.21 50,674 100.0% 41,837 50,674 Source of Supply 511-00 Upland Wells Project 01/01/2018 719,469 1.18 845,813 100.0% 719,469 845,813 Meters 571-00 Water Meter Replacement Phase 2 01/29/2018 281,831 1.18 331,322 0.0% 0 0 Misc. Equipment 579-00 Valve Maintenance Trailer 09/26/2018 31,483 1.18 37,012 0.0% 0 0 Land/Easements 592-00 Well 22 Site 10/18/2018 6,434 1.00 6,434 100.0% 6,434 6,434 Office Equipment 598-00 New SCADA Dialer 01/07/2019 8,960 1.15 10,329 100.0% 8,960 10,329 Hydrant 597-00 Valve & FH Replacement 04/01/2019 264,424 1.15 304,813 0.0% $0 $0 Reservoir/Tanks 593-00 Reservoir 2 Road Paving 06/28/2019 77,645 1.15 89,505 100.0% 77,645 89,505 Meters 596-00 Water Meter Replacement Phase 3 06/30/2019 404,844 1.15 466,680 0.0% 0 0 Source of Supply 542-00 Well 22 07/05/2019 1,051,399 1.15 1,211,992 100.0% 1,051,399 1,211,992 Pumping 610-00 State Water Pump Station New Pump 02/10/2020 10,200 1.13 11,569 100.0% 10,200 11,569 Source of Supply 00626-00 Hydro Pump Rebuild Motor & Pump 06/30/2020 23,594 1.13 26,760 100.0% 23,594 26,760 Office Equipment 614-00 SCADA Radios 06/30/2020 17,442 1.13 19,783 100.0% 17,442 19,783 Office Equipment 615-00 SCADA Upgrades (19/20) 06/30/2020 65,650 1.13 74,461 100.0% 65,650 74,461 Source of Supply 00624-00 New Well 7A Pump & Motor 09/25/2021 10,466 1.07 11,217 100.0% 10,466 11,217 Source of Supply 00625-00 New Motor Well 21 09/25/2021 10,263 1.07 10,999 100.0% 10,263 10,999 TOTAL $11,567,852 $24,871,031 $10,370,862 $23,334,671

ORIGINAL REPLACEMENT ORIGINAL REPLACEMENT

COST COST COST COST NEW
ASSETS
Hydrant $264,424 $304,813 $0 $0
Mains 2,916,292 9,149,491 2,916,292 9,149,491
Meters 718,968 867,176 0 0
Misc. Equipment 129,605 250,358 0 0
Office Equipment 233,810 300,480 231,287 296,954
Pumping 38,453 53,309 38,453 53,309
Reservoir/Tanks 586,347 1,317,112 586,347 1,317,112
Source of Supply 6,515,252 12,378,103 6,515,252 12,378,103 Tools 5,280 13,179 0 0
Vehicles 76,189 97,309 0 0
Treatment 12,699 16,469 12,699 16,469
Land/Easements 70,533 123,232 70,533 123,232
TOTAL $11,567,852 $24,871,031 $10,370,862 $23,334,671

CONTRIBUTED
Hydrant $0 $0 $0 $0
Mains 1,465,825 5,210,719 1,465,825 5,210,719
Meters 0 0 0 0
Misc. Equipment 0 0 0 0
Office Equipment 0 0 0 0
Pumping 0 0 0 0
Reservoir/Tanks 0 0 0 0
Source of Supply 0 0 0 0
Tools 0 0 0 0
Vehicles 0 0 0 0
Treatment 0 0 0 0
Land/Easements 0 0 0 0
TOTAL $1,465,825 $5,210,719 $1,465,825 $5,210,719
NET ASSETS $10,102,026 $19,660,312 $8,905,037 $18,123,952 NOTES:
(1) Asset listing and contributed capital as of June, 2021, service date of asset and May 2021 ENR, CCI for 20-City Average.

DRAFT 79
Draft Report
City of Solvang
Wastewater Connection Charge
Study
May 2022
Attachment C
80 May 25, 2022
Ms. Xenia Bradford
City Manager
City of Solvang
1644 Oak Street
Solvang, California 93463
Subject: Wastewater Connection Charge Draft Report
Dear Ms. Bradford:

The following is HDR’s draft wastewater connection charge report for the City of Solvang (City).

The City last reviewed these charges in 2015. The development of this draft report is intended to provide to the City the basis for establishing cost-based wastewater connection charges. The adoption of the final wastewater connection charge is a policy decision of the City Council.

This report has been prepared using generally accepted financial and engineering principles. The draft report is based on the City’s financial, planning, and engineering data as the primary sources for the information contained in this report. HDR would recommend that prior to implementing the wastewater connection charge, the charge be reviewed by the City’s legal counsel for compliance with California State law.

HDR appreciates the opportunity to assist the City in this matter. We also would like to thank you and your staff for the assistance provided to us. We look forward to future opportunities to work with the City.

Sincerely yours,
HDR Engineering, Inc.

Shawn Koorn
Associate Vice President
81 Table of Contents i
City of Solvang – 2022 Wastewater Connection Charge Study Executive Summary
Introduction .................................................................................................................. 1 Study Overview ............................................................................................................. 1 Consultant’s Recommendations .................................................................................... 2 City Council Review ....................................................................................................... 3 Summary ....................................................................................................................... 3 1 Overview of Connection Charges

1.1 Defining Water Connection Charges ....……………………………………………………………….4

1.2 Requirement Under California State Law ............................................................. 4

1.3 Methodology to Development of Connection Charges ........................................ 6

1.4 Summary………………………………… .................... …………………………………………………….9 2 Development of the Wastewater Connection Charge

2.1 Methodology for Development of Connection Charges ..................................... 10

2.2 Overview of the City’s Wastewater System ....................................................... 10

2.3 Present Wastewater Connection Charge ........................................................... 11

2.4 Calculation of the City’s Wastewater Connection Charge .................................. 11

2.4.1 System Planning Criteria ....................................................................... 11

2.4.2 Wastewater Equivalent Dwelling Units ................................................. 12

2.4.3 Calculation of the Wastewater Connection Charge ............................... 13

2.5 Net Allowable Wastewater Connection Charge ................................................. 14

2.6 Key Assumptions ............................................................................................... 15

2.7 Consultant’s Recommendations ........................................................................ 15

2.8 City Council Review ........................................................................................... 16

2.9 Summary ........................................................................................................... 16 Technical Appendix
Table of Contents
82 Executive Summary 1
City of Solvang – 2022 Wastewater Connection Charge Study Introduction
The purpose of wastewater connection charges is to fund a cost-based and proportionate share of capital costs for the City’s wastewater system. The objective of the City’s wastewater connection charge study was to calculate cost-based wastewater connection charges for new customers connecting to, or requesting additional capacity to, the City’s wastewater system.

Through the establishment of cost-based wastewater connection charges, the City attempts to have growth pay for growth by having new customers pay their proportional share of the infrastructure in place which will serve them, which has been funded by existing customers and provided the available capacity to serve new customers (growth).

HDR was retained by City of Solvang (City) to review and update the City’s wastewater connection charge. The current wastewater connection charge was last reviewed in 2015. According to industry best practice, it is recommended that these charges should be adjusted annually to reflect changes in construction costs (i.e., inflation), and to update the connection charges every three to five years or whenever comprehensive planning documents for the wastewater system has been updated or significant wastewater infrastructure projects have been completed.

Study Overview
In general, wastewater connection charges are to be calculated in conformance with California legal requirements, generally accepted industry standard practices and are tailored to the City’s wastewater system planning and design criteria. Connection charges are based on the existing infrastructure, and if applicable future capital improvements needed to serve growth, divided by the number of equivalent dwelling units (EDUs) that will be served by the new capacity. A buy-in (existing) and expansion (future) approach is often taken in developing the connection charges because each component can have different planning and design criteria. Based on the sum of the component costs, the net allowable wastewater connection charge is calculated. The term net refers to the gross connection charge net (i.e., less) any credits for future debt service principal to be paid within a customer’s rates. Allowable refers to the concept that the calculated wastewater connection charge is the City’s cost-based (i.e., maximum) charge.

The calculations take into account the financing mechanisms of existing infrastructure and future capital improvements. These connection charges must be implemented according to the impact new connections places on the wastewater system. This way, the connection charges are related to the costs the new customer places on the systems and the benefit they derive from infrastructure in place, or future infrastructure required, to serve them.

The City, as a matter of policy, may charge any amount up to the cost-based wastewater connection charge but not over that amount. Charging an amount greater than the net allowable wastewater connection charge would not meet the practical basis of charging cost-based charges that are proportionally related to the benefit derived by the customer.

Executive Summary
83 Executive Summary 2
City of Solvang – 2022 Wastewater Connection Charge Study The City currently implements and assesses the wastewater connection charge based the size of the water meter. This provides a relationship between the water use characteristics and resulting wastewater capacity requirements. A typical customer average daily flow is used to develop an equivalent unit. AWWA meter factors are then applied to larger size meters to recognize the capacity of the larger sized meter in relation to an equivalent unit, in this case a 5/8-inch meter.

The results of the analysis show that the connection charge for one equivalent unit can increase from $4,673 - the current fee - to $6,026, the calculated connection charge, for an increase of $1,353. Table ES – 1, below, provides the present and calculated wastewater connection charge for the City.

Table ES - 1
Present and Calculated Wastewater Connection Charge
Present
Connection
Charge(2)
Calculated
Connection
Charge(3)
$
Change
Wastewater Connection charge (1) $4,673 $6,026 $1,353
(1) - 1 equivalent unit based on a 5/8-inch meter
(2) Present connection charges as of May 2022.
(3) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2-4, page 337.

Table ES – 1 provides the current, and calculated wastewater connection charge – reflecting one (1) equivalent unit which is a 5/8-inch water meter. As can be seen, the maximum calculated charge can increase by $1,353. As noted, the wastewater connection charge is implemented on the customers meter size and increases based on the AWWA meter equivalency factors.

Consultant’s Recommendation
Based on our review and analysis of the City’s wastewater connection charge, HDR makes the following recommendations:

1. The City should adopt the wastewater connection charge for new connections to the wastewater system which is no greater than the net allowable wastewater connection charges as set forth in this report

2. The City should adopt a resolution to annually update the wastewater connection charges by the Engineering News Record Construction Cost Index (ENR-CCI) 20 City average for no more than five years before a complete update of the wastewater connection charge study is completed. Industry best practice of annual inflationary adjustment can keep the charges (infrastructure investment) relatively current with construction pricing practices.

3. The City should update the actual calculations for the wastewater connection charge at such time when a new capital improvement plan, public facilities plan, comprehensive system plan, or a comparable plan is approved or updated by the City, or every five years. 84 Executive Summary 3
City of Solvang – 2022 Wastewater Connection Charge Study City Council Review
The wastewater connection charge study findings and conclusions were presented to the City Council on May 24, 2022 for review and setting the public hearing. At the conclusion of the presentation the City Council directed staff to hold a public hearing on June 27, 2022 to consider adopting the recommended wastewater connection charges. At the time of this report, the City Council has not accepted and approved the calculated connection charge as outlined in this report.

Summary
The wastewater connection charge developed and presented in this report is based on the planning and engineering design criteria of the City’s wastewater system, the value of the existing assets, future improvements necessary to serve new customers, past and future financing of the system, and generally accepted rate and fee setting principles. The wastewater connection charge will provide multiple benefits to the City and will continue the practice of establishing cost-based and proportional wastewater connection charges for new customers connecting to the City’s wastewater system. A summary of the present and proposed (calculated) wastewater connection charges by meter size is provided in Table ES – 2.

Table ES - 2
Present and Calculated Wastewater Connection Charge
Meter Size Present(1) Calculated(2)
5/8-inch $4,673 $6,026
3/4-inch 7,010 9,040
1-inch 11,683 15,067
1 1/2-inch 23,366 30,133
2-inch 37,386 48,213
3-inch 74,772 96,427
4-inch 116,831 150,666
6-inch 233,661 301,331
(1) Present connection charges as of May 2022.
(2) "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2-4, page 337.

Disclaimer
HDR, in its calculation of the wastewater connection charge for the City, as presented in this report, has used generally accepted engineering and fee setting principles. This should not be construed as a legal opinion with respect to California State law. HDR recommends that the City have its legal counsel review the wastewater connection charge as set forth in this report to ensure compliance with California State law.
85 Introduction and Overview of Connection Charges 4
City of Solvang – 2022 Wastewater Connection Charge Study An important starting point in establishing wastewater connection charges is to have a basic understanding of the purpose of these charges along with the criteria and general methodologies that are used to establish cost-based wastewater connection charges. This section of the report presents an overview of connection charge methodologies that were used to develop cost-based wastewater connection charges for the City.

1.1 Defining Wastewater Connection Charges
The first step in establishing cost-based connection charge, often referred to as system development charges (SDC) is to gain a better understanding of the definition. For the purposes of this report, a connection charge - or SDC, as it is referred to below - is defined as follows:
“System development charges are one-time charges paid by new development to finance construction of public facilities needed to serve them.”1
Simply stated, connection charges are a contribution of capital that reflects the immediately available capacity in the existing system and help finance planned future growth-related capacity improvements. At different utilities, connection charges may also be referred to as system development charges, impact fees, capacity reserve charges, infrastructure investment fees, general facility charges, or other names. Regardless of the label used to identify them, their objective is the same. That is, these charges are intended to provide funds to the utility to finance all or a part of the capital improvements needed to serve and accommodate new customer growth.

1.2 Requirement Under California State Law
In establishing connection charges (system development charges), an important requirement is that they be developed and implemented in conformance with State and local laws. California law provides the basis for the determination of connection charges through a uniform framework for the imposition of connection charges by local governments. Specifically, the requirement for the calculation of connection charges in California are found in the California Government Code sections 66013, 66016, and 66022, which are interspersed within the ‘Mitigation Fee Act’.

A summary of the relevant statutes required in the calculation of connection charges under California law is as follows:
“66013 (a) Notwithstanding any other provision of law, when a local agency imposes fees for water connections or sewer connections, or imposes capacity fees, those fees or charges shall not exceed the estimated reasonable cost of providing the service for which the fee or charge is imposed, unless a question regarding the amount of the fee or charge imposed in excess of the estimated reasonable cost of providing the services or materials 1 Arthur C. Nelson, System Development Charges for Water, Sewer, and Stormwater Facilities, Lewis Publishers, New York, 1995, p. 1,
1 Overview of Connection Charges
86 Introduction and Overview of Connection Charges 5
City of Solvang – 2022 Wastewater Connection Charge Study is submitted to, and approved by, a popular vote of two-thirds of those electors voting on the issue.”
“66013 (b) (3) ‘Capacity charge’ means a charge for public facilities in existence at the time a charge is imposed or charges for new public facilities to be acquired or constructed in the future that are of proportional benefit to the person or property being charged, including supply or capacity contracts for rights or entitlements, real property interests, and entitlements and other rights of the local agency involving capital expense relating to its use of existing or new public facilities. A “capacity charge” does not include a commodity charge.”
“66022 (a) Any judicial action or proceeding to attack, review, set aside, void, or annul an ordinance, resolution, or motion adopting a new fee or service charge, or modifying or amending an existing fee or service charge, adopted by a local agency, as defined in Section 66000, shall be commenced within 120 days of the effective date of the ordinance, resolution, or motion.”
In addition to the determination of “the estimated reasonable cost of providing the service for which the charge is imposed,” California law also requires the following:
„ That notice (of the time and place of the meeting, including a general explanation of the matter to be considered) and a statement that certain data is available be mailed to those who filed a written request for such notice, „ That certain data (the estimated cost to provide the service and anticipated revenue sources) be made available to the public,
„ An opportunity for public input at an open and public meeting to adopt or modify the fee, and
„ That revenue in excess of actual cost be used to reduce the fee creating the excess.

In 1996, the voters of California approved Proposition 218, which required that the imposition of certain fees and assessments by municipal governments require a vote of the people to change or increase the fee or assessment. In Richmond v. Shasta Community Services Dist., 32 Cal.4th 409 (2004), the California Supreme Court held that capacity fees are not “assessments” under Proposition 218 because they are imposed only on those who are voluntarily seeking water and wastewater service, rather than being charged to particular identified parcels, and therefore such fees are not subject to the procedural or substantive requirements of Proposition 218. The court also held that such fees can properly be enacted by either ordinance or resolution.

In November 2010 the voters of California passed Proposition 26, an initiative based state constitutional amendment that provided a new definition of the term “tax” in the California Constitution. Under Proposition 26 a fee or charge imposed by a public agency is a tax unless it meets one of seven exceptions. “Connection charges” would be included within exceptions 1 and/or 2. These two exception note that the connection fee or charge is:
87 Introduction and Overview of Connection Charges 6
City of Solvang – 2022 Wastewater Connection Charge Study (1) “A charge imposed for a specific benefit conferred… directly to the payor that is not provided to those not charged, and which does not exceed the reasonable cost to the local government of conferring the benefit…,”
(2) “A charge imposed for a specific government service… directly to the payor that is not provided to those not charged, and which does not exceed the reasonable cost to the local government of providing the service or product.”
In the case of the City’s connection charge, the City does not charge one fee payer more in order to charge another fee payer less (i.e., a cross-subsidy), and it does not exceed the reasonable costs to the local government of providing the service. Given this, the fee is not a tax within the meaning of Proposition 26.

In simplified terms, the basic principle that needs to be followed under California law is that the connection charge be based on a proportionate share of the costs of the system required to provide service and that the requirements for adoptions and accounting be followed in compliance with California law.

1.3 Methodology to Development of Connection Charges
The wastewater connection charge is generally imposed as a condition of service. The objective of the connection charge are not to simply generate revenues for a utility, but to create fiscal balance between existing customers and new customers. That is, all customers seeking to connect to the utility’s wastewater system bear a proportional share of the cost of capacity that is invested in the existing system as well as any future growth-related expansions. Through the implementation of cost-based wastewater connection charge, existing customers will not be unduly burdened with the cost of new development.

There are generally three accepted methodologies that are used to establish wastewater connection charges. The Water Environment Federation Manual of Practice No. 27 discusses three generally accepted methods;
x “The buy-in method is based on the value of the existing system’s capacity. This method is typically used when the existing wastewater system has sufficient capacity to serve new development now and into the future.
x The incremental cost method is based on the value or cost to expand the existing system’s capacity. This method is typically used when the existing system has limited or no capacity to serve new development now and into the future.
x The combined approach is based on a blended value of both the existing and expanded system’s capacity. This method is typically used where some capacity is available in parts of the existing system (e.g. source of supply), but new or incremental capacity will need to be built in other parts (e.g., treatment plant) to serve new development at some point in the future.”2
2 Water Environment Federation (WEF) Manual of Practice No. 27, 4th Edition, p. 206-211. 88 Introduction and Overview of Connection Charges 7
City of Solvang – 2022 Wastewater Connection Charge Study For the development and calculation of the City’s wastewater connection charge, the “combined approach” was used since there is available capacity in the existing system, but there is also a need for future (capacity) expansion.

Within the generally accepted wastewater connection charge methodologies3, there are a number of different steps used to establish cost-based and proportional capacity charges. These steps are as follows:

Step 1 - Determination of system planning criteria
Step 2 - Determination of equivalent dwelling units (EDUs) Step 3 – Valuation of system component costs
Step 4 - Determination of any credits
Step 1 – Determination of System Planning Criteria
The first step in establishing wastewater connection charges is the determination of the system planning criteria. This implies calculating the amount of wastewater connection charge required by a single-family residential customer to establish the equivalent unit. Generally, for a wastewater system, wastewater volume or flow per equivalent meter is most often used, since this represents the basis for system design. The City’s recent 2021 Sewer Master Plan and Capital Improvement Plan resulting from the specific Master Plans are the documents and information that are referenced for the determination of the system planning criteria.

Step 2 – Determination of Equivalent Dwelling Unit (EDU) The next step is the determination of the EDUs. An EDU provides a “common denominator” for assessing impact on a utility system. The determination of the total system EDUs is an important calculation in that it provides the linkage between the amounts of infrastructure necessary to provide service to a set number of customers. This implies that if the system is designed to provide service for demands up to the year 2045, then the infrastructure costs are divided by the additional EDUs projected to be connected by 2045 to determine the equitable and proportionate cost per EDU.

Step 3 – Valuation of System Component Costs
Once the number of EDUs, or capacity for the system are determined, a component by component analysis is undertaken of the assets to determine the portion of the connection charge attributable to each component in dollars per EDU. In this process, the existing assets must be valued. Existing assets may be valued in a number of different ways. These methods may include the following:

Original Cost (OC) is cost of construction in year of construction Original Cost Less Depreciation (OCLD)
Replacement Cost New (RCN) is current day dollars of replacing existing Replacement Cost New Less Depreciation (RCNLD)
3 Methodologies established in industry documents referenced as System Development Charges for Water, Wastewater, and Stormwater Facilities, by Arthur C. Nelson; and WEF Manual of Practice No. 27, Financing and Charges for Wastewater Systems, Fourth Edition.
89 Introduction and Overview of Connection Charges 8
City of Solvang – 2022 Wastewater Connection Charge Study Given these four different methods for valuing the assets, the selection of the valuation method certainly arises. The American Water Works Association M-1 manual notes the following concerning these various generally accepted valuation methods:
“Using the OC and OCLD valuations, the [connection charge] reflects the original investment in the existing capacity. The new customer “buys in” to the capacity at the OC or the net book value cost (OCLD) for the facilities and as a result pays an amount similar to what the existing customers paid for the capacity (OC) or the remaining value of the original investment (OCLD).

Using the RCN and the RCNLD valuations, the [connection charge] reasonably reflects the cost of providing new expansion capacity to customers as if the capacity was added at the time the new customers connected to the water system. It may be also thought of as a valuation method to fairly compensate the existing customers for the carrying costs of the excess capacity built into the system in advance of when the new customers connect to the system. This is because, up to the point of the new customer connecting to the system, the existing customers have been financially responsible for the carrying costs of that excess capacity that is available to development.”4
As a point of reference for this study, the City’s connection charge analyses will use a RCN methodology for all assets in the study. The City’s existing assets are valued at “replacement” cost based on original cost escalated to current dollars using a cost index (e.g. the Engineering New Record, Construction Cost Index; (ENR-CCI). This value reasonably reflects the carrying costs of the excess capacity paid by existing customers. Infrastructure not paid by the utility such as developer contributions or grants are not included in the fee.

The next step in the analysis is to determine the valuation of the system infrastructure. The combined approach is based on the existing infrastructure, plus future expansion-related capital projects, based on an adopted capital plan or master plan and valued at today’s cost, regardless of the timing of when the facility will be built. The future component is related only to future capital projects which provide an expansion of capacity to accommodate future growth.

Given a value for capacity and the number of EDUs, the basic formula for calculating the connection charge is relatively straight-forward, and is as follows:

Existing System ($)
+
Future CIP ($)
=
Maximum Allowable
Connection Charge $ per
EDU Existing + Future EDUs Future EDUs
In the determination of the connection charge, the cost per EDU as shown above is the “gross connection charge”. The “gross connection charge” is calculated before any credits.

Step 4 – Determination of Any Credits
The last step in the calculation of the connection charge is the determination of any credits. The credit considers the method used to finance infrastructure on the system so that customers are 4 AWWA M-1 Manual, 7th Edition, p. 332.
90 Introduction and Overview of Connection Charges 9
City of Solvang – 2022 Wastewater Connection Charge Study not paying twice for infrastructure – once through the connection charges and again through rates. The double payment can come in through the imposition of a connection charge and then the requirement to pay debt service within a customer’s water rates.

This component accounts for the outstanding debt principal on existing assets. By segregating the debt service out, the cost can be clearly identified and calculated appropriately. To avoid double-counting of the assets financed with debt, the future principal associated with those assets is deducted from the existing infrastructure value.

Once the number each component (existing and future) is analyzed and a cost per EDU is determined, the cost per EDU for each component is added together, less debt credit, to determine the gross wastewater connection charge. This results in a wastewater connection charge stated in dollars per EDU. The general basis of this calculation for a wastewater system is the assumption that an equivalent unit is equivalent to a typical residential customer.

For the wastewater system, the larger meter sizes are then imposed charges based on the number of equivalent units for a given meter size which relates or corresponds to the increase in wastewater volume contribution. The number of equivalent units per meter size is based on the AWWA meter equivalency factors.

1.4 Summary
This section of the report has provided an overview of wastewater connection charges; the basis for establishing the wastewater connection charge, considerations in establishing a wastewater connection charge, and the relationship (practical basis) which must be established between new development and the new or expanded facilities required to accommodate new development, and appropriate apportionment of the cost to the new development in relation to benefits reasonably to be received. The next section of the report will provide a discussion of the calculation of the City’s wastewater connection charges. 91 Development of the Wastewater Connection Charge 10
City of Solvang – 2022 Wastewater Connection Charge Study This section of the report presents the key assumptions and details used in calculating the City’s wastewater connection charge. The calculation of the City’s wastewater connection charge is based on City’s-specific accounting, planning, and system information. Specifically, the connection charge is based upon the City’s fixed asset records, Capital Improvement Plan (CIP), and other planning related data. The City provided the financial and planning information that was used within this analysis.

To the extent that the cost and timing of future capital improvements change, then the connection charge presented in this section of the report should be updated to reflect the changes.

2.1 Methodology for Development of Connection Charges
As discussed in Section 1, in establishing connection charges, there are different methodologies that may apply depending on the utility’s available capacity. The Water Environment Federation Manual of Practice No. 27 discusses three generally accepted methods:
9 The buy-in method is based on the value of the existing system’s capacity. This method is typically used when the existing system has sufficient capacity to serve new development now and into the future.
9 The incremental cost method is based on the value or cost to expand the existing system’s capacity. This method is typically used when the existing system has limited or no capacity to serve new development now and into the future.
9 The combined approach is based on a blended value of both the existing and expanded system’s capacity. This method is typically used where some capacity is available in parts of the existing system (e.g., source of supply), but new or incremental capacity will need to be built in other parts (e.g., treatment plant) to serve new development at some point in the future.”
For the development and calculation of the City’s wastewater connection charge, the “combined approach” was used since there is available capacity in the existing system, and there is also a need for future (capacity) expansion.

2.2 Overview of City’s Wastewater System
The City of Solvang provides wastewater service for the citizens of Solvang within the City’s service area. The City’s wastewater system is responsible for the collection, treatment, and disposal of the wastewater generated within the service area.

The Wastewater Treatment Plant (WWTP) is designed with a capacity of 1.5 million gallons per day (MGD) of wastewater flow of which the Santa Ynez Community Services District (SYCSD) has purchased 0.30 MGD of capacity. The wastewater system consists of over 20 miles of collection lines ranging from 6” to 18” in diameter and 2 major sewer lift stations. 2 Development of the Wastewater
Connection Charge
92 Development of the Wastewater Connection Charge 11
City of Solvang – 2022 Wastewater Connection Charge Study

2.3 Present Wastewater Connection Charge
The City’s current wastewater connection charge is based on the cost for one equivalent unit, which is defined as a 5/8-inch meter. The City’s present wastewater connection charges are provided below in Table 2 - 1.

Table 2 - 1
Current Wastewater Connection Charge
Meter Size(1)
Weighting
Factor(2)
Connection
Charge(3)
5/8" 1.00 $4,673
3/4" 1.50 7,010
1" 2.50 11,683
1 1/2" 5.00 23,366
2" 8.00 37,386
3" 15.00 74,772
4" 25.00 116,831
6" 50.00 233,661
(1) 1 equivalent unit based on 5/8-inch meter
(2) Meter ratio based on American Water Works Association factor based on 5/8-inch meter. (3) Present connection charges as of May 2022.

In Table 2 - 1, the wastewater connection charge is by meter size and the cost is determined by multiplying the connection charge for a 5/8-inch meter (equivalent unit) by the meter capacity weighting factors which are based on the capacity of each meter size. In this way the connection charge for larger meters reflects the capacity of the larger meters and impact placed on the system.

2.4 Calculation of the City’s Wastewater Connection Charge As discussed in Section 1, the process of calculating connection charges is based on a four-step process. In summary form, these steps are as follows:
x Determination of system planning criteria
x Determination of equivalent dwelling units (EDUs)
x Valuation of system component costs
x Determination of connection charge credits
Each of these steps is discussed in more detail below.

2.4.1 System Planning Criteria
System planning criteria typically involves calculating the average amount of flow from a singlefamily residential customer. Sanitary wastewater flow is typically closer to winter water use than summer water use due to outdoor irrigation. The recent 2021 Wastewater Master Plan developed Average Annual Flow (AAF) water to sewer factors, or wastewater generation factors to project wastewater flows. The AAF data was associated with parcels’ land use and 93 Development of the Wastewater Connection Charge 12
City of Solvang – 2022 Wastewater Connection Charge Study development data to project future wastewater flows. The total WWTP capacity of 1.50 MGD, less the SYCSD purchase capacity of 0.30MGD, is a net City capacity of 1.20 MGD. To develop the definition of one equivalent unit, the average day flow of 0.63 MGD was divided by the total number of customers of 2,696 which equals 233.68 gallons per day. A summary of the system criteria is presented in Table 2-2. Details of the system planning criteria are shown on Exhibit 5 in the Technical Appendix.

Table 2 - 2
Wastewater Connection Charge – Planning Criteria
Description Total
WWTP System Design Capacity MGD 1.50
WWTP SYCSD Capacity MGD (0.30)
WWTP Net City Capacity MGD(1) 1.20
2021 Average Day Flow (MGD)(1) 0.63
2021 Number of Customers(2) 2,696
2021 Average Day Flow (MGD)(3) 233.68
(1) WWTP total capacity less SYCSD capacity.
(2) Average day flow and number of customers based on recent sewer rate study 2021.

2.4.2 Wastewater Equivalent Dwelling Units
System planning criteria are used to establish the capacity needs of an equivalent dwelling unit (EDU). The average day flow for the system capacity in MGD is divided by the average day flow per EDU to estimate the total EDUs. The current system average day flow is 0.63 MGD reflecting existing EDUs of 2,696 (0.63/233.68 = 2,696 EDUs). A summary of the existing, future and total EDUs is presented in Table 2-3.

Table 2 - 3
Wastewater Connection Charge – Equivalent Dwelling Units Description MGD Average
Daily Flow
Number of
EDUs
Equivalent Dwelling Units - Existing[1] 0.63 233.68 2,696 Equivalent Dwelling Units - Future 0.57 233.68 2,439
Equivalent Dwelling Units - Buildout 1.20 5,135
(1) Average day flow and number of customers based on recent sewer rate study 2021.

Given the development of the wastewater system equivalent units the focus shifted to the calculation of the connection charge for each component (existing and future). This aspect of the analysis is discussed below.
94 Development of the Wastewater Connection Charge 13
City of Solvang – 2022 Wastewater Connection Charge Study

2.4.3 Calculation of the Wastewater Connection Charge
The next step of the analysis is to review the major functional system infrastructure to determine the connection charge for the system. In calculating the connection charge for the City, existing infrastructure components, debt service funding for existing facilities, capital improvements, and construction work in progress were included. The methodology used to calculate each component is described below.

Existing or Buy-in Component
To calculate the value of the existing assets for the wastewater connection charge, the City’s methodology considered the original cost of each asset. The City provided an asset listing for the various existing components and their installation dates. This data was reviewed in this analysis by City staff and HDR for elimination of non-backbone infrastructure such as equipment and vehicles, and finally elimination of assets that were not City paid and were instead funded by grants or developer contributions. In addition to this review the “treatment” assets were updated to only include the City portion of the asset and not any SYCSD portion. Additionally, the construction work in progress (CWIP) was included for any amount of capital that was not booked as an asset by June 30th, 2021 but was also not included in the FY 2022 capital improvement plan.

For wastewater there was not any CWIP to be included.

As was noted in Section 1, there are different methods for valuing existing assets. In this case, the replacement cost new method was used. To accomplish this, the original cost of each asset was escalated to current, May 2022 dollars, based on the Construction Cost Index (CCI) for the 20-City average area published in the City Engineering News & Record (ENR). Within this study, land was not escalated by the ENR-CCI.

The total ENR asset at RCN totaled $42.2 million. The amount of eligible assets was $36.9 million and contributed capital totaled $6.7 million. This left net assets of $30.2 million for the existing component ($36.9 - $6.7 = $30.2). The total net existing component of $30.2 million divided by the total EDUs of 5,135 results in $5,886 per EDU for the existing component ($30.2 ÷ 5,135 = $5,886 per EDU). The valuation of the existing assets can be seen on Exhibit 7 of the Technical Appendix.

Future Components
An important requirement for a connection charge study is the connection between the anticipated future growth on the system and the required facilities needed to accommodate that growth. For purposes of this study, the City’s most current Capital Improvement Plan (CIP) for a ten year planning period was provided and City staff reviewed capital improvements which were growth related. Exhibit 6 of the Technical Appendix contains the details of this portion of the fee.

The total future capital projects totaled $22.1 million of which $6.7 million was connection charge eligible. The total future component of $6.7 million divided by the future EDUs of 2,439 results in $2,767 per EDU for the future component ($6.7 ÷ 2,439 = $2,767 per EDU). The capital improvement listing can be seen on Exhibit 6 of the Technical Appendix. 95 Development of the Wastewater Connection Charge 14
City of Solvang – 2022 Wastewater Connection Charge Study Debt Service Component
In addition to the buy-in and future components, a debt service component was also developed.

This component accounts for the principal on existing assets and the remaining principal portion of the debt associated with the assets was deducted from the total eligible asset value prior to calculating the connection charge. By segregating the debt service out, the cost can be clearly identified and calculated appropriately. This inclusion of a debt service credit avoids double charging the customer for the asset value in the existing or reimbursement component of the wastewater connection charge, and also in the debt service component of the wastewater rates.

For wastewater there is no outstanding debt issues at this time. However there is planned future debt of $13.4 million in 2025 to pay for capital projects. These projects are approximately 47.5% growth related and therefore a $6.4 million debt credit is shown in the future component. This future debt credit of $6.4 million divided y 2,239 future EDUs is debt credit of $2,627.

After the debt credit results in a net future component of $140 per EDU ($2,767 - $2,627 = $140).

2.5 Net Allowable Wastewater Connection Charge
The methodology used to establish the wastewater connection charge is a combined approach.

This approach uses the reimbursement component, plus the growth related portion of the future projects, and accounts for any future debt credit resulting in a net allowable connection charge.

Based on the sum of the component costs calculated above, the net allowable wastewater connection charge is $6,026. A summary of this calculation is shown below in Table 2 - 4.

Table 2 - 4
Calculated Wastewater Connection Charge
Total EDUs $/EDU
Existing Wastewater System $36,947,939 5,135 $7,195
CWIP 0 0
Less: Contributed Capital (6,722,672) 5,135 (1,309)
Total Existing $30,225,267 $5,886
Less: Debt Service Credit ($0) ($0)
Future Capital Projects S6,748,454 2,439 $2,767
Less: Future Debt Service Credit ($6,406,472) 2,439 ($2,627) Total Future $341,982 $140
Total Connection Charge $30,567,250 $6,026
This calculated wastewater connection charge of $6,026 compares to the City’s current connection charge of $4,673 per 5/8” meter equivalent, or an increase of $1,353. The $6,026 per EDU reflects one (1) equivalent unit which is a 5/8-inch water meter. As noted, the wastewater connection charge is implemented on the customers meter size and increases based on the 96 Development of the Wastewater Connection Charge 15
City of Solvang – 2022 Wastewater Connection Charge Study AWWA meter equivalency factors. The Technical Appendix details the calculation of the net allowable wastewater connection charge.

The calculated wastewater connection charge for all other customers are determined by multiplying the wastewater connection charge for one equivalent unit by the meter capacity weighting factors. As noted, the weighting factors are determined based on the American Water Works Association (AWWA) safe operating capacities for the type and size of meter. The safe operating capacity of each meter is divided by the safe operating capacity for a 5/8-inch meter to determine the weighting factor for each meter. Table 2 - 5 shows the present and calculated connection charge based on the size of meter.

Table 2 - 5
Present and Calculated Wastewater Connection Charge
Meter Size Present Calculated
5/8-inch $4,673 $6,026
3/4-inch 7,010 9,040
1-inch 11,683 15,067
1 1/2-inch 23,366 30,133
2-inch 37,386 48,213
3-inch 74,772 96,427
4-inch 116,831 150,666
6-inch 233,661 301,331

2.6 Key Assumptions
In developing the connection charges for the City’s wastewater system, a number of key assumptions were utilized. These are as follows:
x The City’s connection charges were developed on the basis of planning documents, anticipated future connections and the needed capital improvements to serve those future connections.
x The City projections of future EDUs was based on the most recent Master Plan. x The City’s asset records as of June 2021 were used to determine the existing infrastructure assets. This included an adjustment for SYCSD portion of assets. x The City provided the most recent ten year Capital Improvement Plan for the future component. This included a future long term debt issue in 2025. x The City determined the portion of future improvements that were growth-related. x The year 2022 was used as the basis for the CIP.

2.7 Consultant’s Recommendations
Based on our review and analysis of the City’s water system, HDR recommends:

1. The City should adopt wastewater connection charge for new connections to the wastewater system that are no greater than the net allowable wastewater connection charge as set forth in this report
97 Development of the Wastewater Connection Charge 16
City of Solvang – 2022 Wastewater Connection Charge Study

2. The adopted wastewater connection charge should be updated annually by the Engineering New Record Construction Cost Index (ENR-CCI) 20 City average, for no more than five years before a complete update of the charge is undertaken. This best industry practice can keep the charge relatively current with construction pricing practices.

3. The City should update the actual calculations for the wastewater connection charge at such time when a new wastewater capital improvement plan, facilities plan, comprehensive system plan, or a comparable plan is approved or updated by the City, or every five years, or when a major infrastructure project is completed.

2.8 City Council Review
The connection charge study findings and conclusions were presented to the City Council on May 24, 2022 for review and setting the public hearing. At the conclusion of the presentation the City Council directed staff to hold a public hearing on June 27, 2022 to consider adopting the recommended wastewater connection charges. At the time of this report, the City Council has not accepted and approved the calculated connection charge as outlined in this report.

2.9 Summary
The wastewater connection charge developed and presented in this section of the report are based on the planning and engineering design criteria of the City’s wastewater system, the value of the existing assets, and generally accepted ratemaking principles. Consistently updating the charge annually based on the Engineering New Record Construction Cost Index 20-City Average and reviewing the connection charge every five years will continue to create equitable and costbased charges for new customers connecting to the City’s wastewater system. 98 Technical Appendix
99 City of Solvang - Sewer 2022
Exhibit 1
Present and Calculated Connection Charge
Present Calculated
Meter Meter Connection Connection $ %
Size Ratio
(2)
Charge
(1)
Charge
(3)
Difference Change
5/8-inch 1.00 $4,673 $6,026 $1,353 29.0%
3/4-inch 1.50 7,010 9,040 2,030 29.0%
1-inch 2.50 11,683 15,067 3,384 29.0%
1-1/2-inch 5.00 23,366 30,133 6,767 29.0%
2-inch 8.00 37,386 48,213 10,827 29.0%
3-inch 16.00 74,772 96,427 21,655 29.0%
4-inch 25.00 116,831 150,666 33,835 29.0%
6-inch 50.00 233,661 301,331 67,670 29.0%
NOTES:
(1) Present connection charges as of 2015.
(2) Meter ratio based on American Water Works Association factor based on 5/8-inch meter. (3) Based on "Combined" methodology established in AWWA M1, Seventh Edition, Table VII.2-1, page 333.

DRAFT
100
City of Solvang - Sewer 2022
Exhibit 2
Development of Calculated Connection Charge
Plant Description
Eligible Assets
at Replacement
Cost New (1)
Eligible
Construction
Work in
Progress (2)
Total Existing
Cost $
Buildout
Connections
(3)
Existing $ per
EDU
Eligible Future
Projects (4)
Less
Grants/
Developer
Total Future
Cost $
Future
Connections
(5)
Future $ per
EDU
TOTAL $
per EDU
Assets
Collection $8,709,429 + $0 = $8,709,429 ÷ 5,135 = $1,696 $0 - $0 = $0 ÷ 2,439 = $0 $1,696 Disposal Facility 0+ 0= 0÷ 5,135 = 0 0- 0= 0÷ 2,439 = 0 0 Misc. Equipment 0+ 0= 0÷ 5,135 = 0 0- 0= 0÷ 2,439 = 0 0 Office Equipment 0+ 0= 0÷ 5,135 = 0 0- 0= 0÷ 2,439 = 0 0 Plant 507,307 + 0= 507,307 ÷ 5,135 = 99 0- 0= 0÷ 2,439 = 0 99 Pumping 895,820 + 0= 895,820 ÷ 5,135 = 174 341,982 - 0= 341,982 ÷ 2,439 = 140 315 Treatment 26,786,663 + 0= 26,786,663 ÷ 5,135 = 5,216 6,406,472 - 0= 6,406,472 ÷ 2,439 = 2,627 7,843 Vehicles 0+ 0= 0÷ 5,135 = 0 0- 0= 0÷ 2,439 = 0 0
Land/Easements 48,720 + 0= 48,720 ÷ 5,135 = 9 0 - 0 = 0 ÷ 2,439 = 0 9 TOTAL $36,947,939 $0 $36,947,939 $7,195 $6,748,454 $0 $6,748,454 $2,767 $9,962 Less: Contributed Capital
(1)
($6,722,672) ÷ 5,135 = ($1,309) ($1,309)
NET ASSETS $30,225,267 ÷ 5,135 = $5,886 $6,748,454 $0 $6,748,454 ÷ 2,439 = $2,767 $8,653 Less: Outstanding Debt Principal
(6)
($6,406,472) ($6,406,472) 2,439 ($2,627) ($2,627)
TOTAL $30,225,267 ÷ 5,135 = $5,886 $341,982 $341,982 ÷ 2,439 = $140 $6,026 Calculated Connection Charge $6,026
Present Sewer Connection Charge
(7)
$4,673
$ Change $1,353
NOTES:
(1) Asset listing and contributed capital as of June, 2021, service date of asset and May 2022 ENR, CCI for 20-City Average, See Exhibit 7. (2) Construction work in progress as of June 2021. See Exhibit 3. (3) Existing and future EDUs based on capacity. See Exhibit 5. (4) Eligible future projects based on Ten-Year CIP from 2022 to 2031. See Exhibit 6. (5) Future connections based on future connections per EDU. See Exhibit 5. (6) Sewer currently does not have any outstanding debt issues. WWTP Water Quality Project will seek funding, See Exhibit 4. (7) Present connection charges as of 2015.

DRAFT
101
City of Solvang - Sewer 2022
Exhibit 3
Development of Construction Work in Progress
ENR-CCI 13,004 2022 May '22
TOTAL ENR 2021

CATEGORY DESCRIPTION
(1) DATE COST FACTOR COST
Collection 06/01/2022 1.00 $0
Disposal Facility 06/01/2022 1.00 0
Misc. Equipment 06/01/2022 1.00 0
Office Equipment 06/01/2022 1.00 0
Plant 06/01/2022 1.00 0
Pumping 06/01/2022 1.00 0
Treatment 06/01/2022 1.00 0
Vehicles 06/01/2022 1.00 0
Land/Easements 06/01/2022 1.00 0
TOTAL $0 $0
TOTAL 2021

CATEGORY COST COST
Collection $0 $0
Disposal Facility 0 0
Lab 0 0
Misc. Equipment 0 0
Office Equipment 0 0
Plant 0 0
Pumping 0 0
Tools 0 0
Treatment 0 0
Vehicles 0 0
Land/Easements 0 0
TOTAL $0 $0
NOTES:
(1) Construction work in progress as of June 2021.

DRAFT
102
City of Solvang - Sewer 2022
Exhibit 4
Development of Debt Credit
Year TOTAL PRINCIPAL
(1)
Connection Fee Eligible
2021-22 $0
2022-23 0
2023-24 0
2024-25 13,488,000
2025-26 0
2026-27 0
2027-28 0
2028-29 0
2029-30 0
2030-31 0
2031-32 0
TOTAL $13,488,000
Growth related debt portion 47.5%
Total Debt Credit $6,406,472
NOTES:
(1) Sewer does not currently have any outstanding debt. (2) Estimated debt for WWTP Water Quality Project Phase 2 & 3.

DRAFT
103
City of Solvang - Sewer 2022
Exhibit 5
Development of Equivalent Dwelling Units
Total
WWTP System Design Capacity 1.50 MGD
WWTP SYCSD Capacity (0.30) MGD
WWTP Net City Capacity (1) 1.20 MGD
2021 Average Day Flow (2) 0.63 MGD
2021 Number of Customers (2) 2,696
2021 Average Day Flow per Customer 233.68
Equivalent Dwelling Units MGD
Average
Day Flow Number of EDUs Growth
Equivalent Dwelling Units - Existing (2) 0.63 233.68 2,696 52.5% Equivalent Dwelling Units - Future 0.57 233.68 2,439 47.5% Equivalent Dwelling Units - Buildout 1.20 233.68 5,135
NOTES:
(1) WWTP total capacity less SYCSD capacity.
(2) Average day flow and number of customers based on recent sewer rate study 2021.

EQUIVALENT DWELLING UNITS
DRAFT
104
City of Solvang - Sewer 2022
Exhibit 6
Development of Capital Improvement Plan
# Project Type Function WIP 2022 2023 2024 2025 2026 2027 2028 2029-2032 Ten Year CIP
Total
%
Eligible $ Eligible
1 Sewer Line Replacement Program Collection $120,000 $60,000 $800,000 $0 $130,000 $800,000 $0 $1,000,000 $2,910,000 0.0% $0 2 Alisal Lift Station Upgrades Pumping 0 0 0 0 70,000 230,000 0 0 300,000 0.0% 0 3 Manhole Rehabilitation Program Collection 0 0 0 35,000 300,000 0 0 350,000 685,000 0.0% 0 Collection System Video Surveillance Collection 0 0 150,000 0 0 0 0 180,000 330,000 0.0% 0 4 WWTP Water Quality Project Phases 2&2 -SYCSD Treatment 6,000 180,000 180,000 1,500,000 1,500,000 0 0 0 3,366,000 0.0% 0 5 WWTP Water Quality Project Phases 2&3 - City Treatment 24,000 720,000 720,000 6,000,000 6,000,000 0 0 0 13,464,000 47.5% 6,395,072 WWTP WQ Project - Phases 2&3 Funding SYCSD Treatment 0 0 6,000 0 0 0 0 0 6,000 0.0% 0 WWTP WQ Project - Phases 2&3 Funding - City Treatment 0 0 24,000 0 0 0 0 0 24,000 47.5% 11,399 6 Replace WWTP Tractor - SYCSD Vehicles 0 0 26,000 0 0 0 0 0 26,000 0.0% 0 7 Replace WWTP Tractor - City Vehicles 0 0 104,000 0 0 0 0 0 104,000 0.0% 0 8 Belt Press Rehabilitation - SYCSD Treatment 0 0 0 0 7,350 0 0 0 7,350 0.0% 0 9 Belt Press Rehabilitation - City Treatment 0 0 0 0 27,650 0 0 0 27,650 0.0% 0 10 Fjord Lift Station Upgrades - SYCSD Treatment 0 0 0 0 20,000 0 160,000 0 180,000 0.0% 0 10 Fjord Lift Station Upgrades - City Pumping 0 0 0 0 80,000 0 640,000 0 720,000 47.5% 341,982 Total $150,000 $960,000 $2,010,000 $7,535,000 $8,135,000 $1,030,000 $800,000 $1,530,000 $22,150,000 $6,748,454

CATEGORY
WIP 2022 2023 2024 2025 2026 2027 2028 2029-2032
Ten Year CIP
Total
$ Eligible

CONSTRUCTION WORK IN PROGRESS
Collection $120,000 $60,000 $950,000 $35,000 $430,000 $800,000 $0 $1,530,000 $3,925,000 $0 Disposal Facility 0 0 0 0 0 0 0 0 0 0
Misc. Equipment 0 0 0 0 0 0 0 0 0 0
Office Equipment 0 0 0 0 0 0 0 0 0 0
Plant 0 0 0 0 0 0 0 0 0 0
Pumping 0 0 0 0 150,000 230,000 640,000 0 1,020,000 341,982 Treatment 30,000 900,000 930,000 7,500,000 7,555,000 0 160,000 0 17,075,000 6,406,472 Vehicles 0 0 130,000 0 0 0 0 0 130,000 0
Land/Easements 0 0 0 0 0 0 0 0 0 0
TOTAL $150,000 $960,000 $2,010,000 $7,535,000 $8,135,000 $1,030,000 $800,000 $1,530,000 $22,150,000 $6,748,454 NOTES:
(1) Capital projects from capital funds program provided by the City 2022 to 2031. WWTP Water Quality Project Phases 2 & 3 will seek funding source and possible grant opportunities. (2) Capital projects from capital funds program provided by the City 2022 to 2031. SDC eligible based on type of project and remaining growth EDUs. See Exhibit 5.

DRAFT
105
City of Solvang - Sewer 2022
Exhibit 7
Development of Asset Listing as of June 30, 2021
ENR-CCI 13,004.47 May '22
ASSET ACQUIRE ORIGINAL ENR REPLACEMENT % ORIGINAL REPLACEMENT

CATEGORY NUMBER DESCRIPTION DATE CONTRIBUTED COST FACTOR COST ELIGIBLE COST COST NEW Collection 278-00 Contributed Sewer Mains 01/01/1976 Contributed 690,221 5.42 3,738,425 100.0% 690,221 3,738,425 Collection 279-00 Contributed Sewer Mains 06/30/1988 Contributed 366,527 2.88 1,054,766 100.0% 366,527 1,054,766 Collection 280-00 Contributed Sewer 06/30/1989 Contributed 50,936 2.82 143,531 100.0% 50,936 143,531 Collection 357-00 Skytt Mesa 8 Inch Sewer Line 06/30/2006 116,634 1.68 195,681 100.0% 116,634 195,681 Collection 372-00 Force Main Replacement - SY River Crossing 09/01/2008 1,531,997 1.56 2,397,127 100.0% 1,531,997 2,397,127 Collection 442-00 Manhole Upgrades 02/28/2011 20,952 1.43 30,027 100.0% 20,952 30,027 Collection 487-00 Manhole Rehab - 2012/2013 06/30/2013 140,577 1.36 191,495 100.0% 140,577 191,495 Collection 495-00 Fredensborg Cyn Sewer Line Extension 01/09/2014 51,875 1.33 68,791 100.0% 51,875 68,791 Collection 501-00 Sewer Line Replacement Program 06/30/2014 670,827 1.33 889,585 100.0% 670,827 889,585 Misc. Equipment 291-00 1990 Harben Hydro Jet 01/01/1991 34,593 2.69 93,043 0.0% 0 0 Misc. Equipment 395-00 Generator 41 gallons 25KVA w/trailer 03/24/2008 17,036 1.56 26,656 0.0% 0 0 Misc. Equipment 402-01 Used Air Compressor - Diesel 03/31/2009 3,233 1.52 4,902 0.0% 0 0 Office Equipment 480-02 MicroMas Voice Mail System 11/12/2012 2,524 1.40 3,526 0.0% 0 0 Office Equipment 497-02 Trimble Nomad Meter Readers 09/09/2013 6,037 1.36 8,224 0.0% 0 0 Office Equipment 565-00 Sewer Camera and Locator 12/11/2017 11,320 1.22 13,783 0.0% 0 0 Plant 406-02 Corporate Yard Paving 04/15/2009 7,819 1.52 11,858 80.0% 6,255 9,486 Plant 406-01 Corporate Yard Paving 04/15/2009 11,728 1.52 17,787 80.0% 9,383 14,230 Plant 503-00 Waterline Repair Project 06/30/2014 148,861 1.33 197,405 80.0% 119,089 157,924 Plant 533-01 Asphalt Paving - Sewer share 03/31/2016 12,558 1.26 15,796 80.0% 10,046 12,637 Plant 533-02 Asphalt Paving - Wastewater Share 03/31/2016 12,558 1.26 15,796 80.0% 10,046 12,637 Plant 534-01 Garage Structure (WWTP Share) 06/30/2016 149,261 1.26 187,746 80.0% 119,409 150,197 Plant 534-02 Garage Structure (Sewer Share) 06/30/2016 149,261 1.26 187,746 80.0% 119,409 150,197 Pumping 334-00 Sanitary Sewer Alisal Lift Station 05/01/2005 124,189 1.75 216,898 80.0% 99,351 173,518 Pumping 351-00 Fjord Drive Lift Station 06/25/2007 277,158 1.63 452,389 80.0% 221,726 361,911 Pumping 389-01 Replace VFD Pump 1 at Fjord Lift 01/29/2008 7,362 1.56 11,519 80.0% 5,889 9,215 Pumping 389-02 Replace VFD Pump 2 at Fjord Lift 01/29/2008 7,362 1.56 11,519 80.0% 5,889 9,215 Pumping 389-03 Replace VFD Pump 3 at Fjord Lift 01/29/2008 7,362 1.56 11,519 80.0% 5,889 9,215 Pumping 388-00 Fjord Lift Station Pump Panel Replacement 12/31/2008 116,655 1.56 182,532 80.0% 93,324 146,025 Pumping 441-00 New Pumps for Alisal Lift Station 12/31/2010 12,985 1.48 19,183 80.0% 10,388 15,347 Pumping 504-00 Alisal Lift Station Upgrade 06/30/2014 29,854 1.33 39,589 80.0% 23,883 31,671 Pumping 549-00 Fjord Hatch Replacement 11/30/2016 15,875 1.26 19,968 80.0% 12,700 15,974 Pumping 553-00 VFD #1 Fjord Lift Station Replacement 12/31/2016 6,407 1.26 8,059 80.0% 5,126 6,447 Pumping 550-00 Fjord Bypass Retrofit 12/31/2016 11,300 1.26 14,214 80.0% 9,040 11,371 Pumping 552-00 Fjord Pump #1 Rebuild 02/28/2017 27,655 1.22 33,673 80.0% 22,124 26,939 Pumping 554-00 Fjord Lift Station Wet Well Recoating 02/28/2017 45,264 1.22 55,114 80.0% 36,211 44,091 Pumping 573-00 Fjord Pump #2 Rebuild 03/12/2018 15,077 1.18 17,725 80.0% 12,062 14,180 Pumping 574-00 Fjord Pump #3 Rebuild 09/09/2020 22,814 1.13 25,875 80.0% 18,251 20,700 Treatment 270-00 WWTP Improvements 06/30/1978 1,583,419 4.68 7,417,695 80.0% 1,266,735 5,934,156 Treatment 259-00 WWTP Expansion 06/30/1984 2,104,957 3.14 6,602,472 80.0% 1,683,966 5,281,978 Treatment 274-00 Intanglible Plant Studies 06/30/1985 46,903 3.10 145,399 80.0% 37,522 116,319 Treatment 260-00 WWTP Expansion 06/30/1986 809,896 3.03 2,452,216 80.0% 647,917 1,961,773 DRAFT
106
City of Solvang - Sewer 2022
Exhibit 7
Development of Asset Listing as of June 30, 2021
ENR-CCI 13,004.47 May '22
ASSET ACQUIRE ORIGINAL ENR REPLACEMENT % ORIGINAL REPLACEMENT

CATEGORY NUMBER DESCRIPTION DATE CONTRIBUTED COST FACTOR COST ELIGIBLE COST COST NEW Treatment 275-00 Intanglible Plant Studies 06/30/1989 6,476 2.82 18,249 80.0% 5,181 14,599 Treatment 281-00 Underground Tanks 06/30/1990 32,162 2.75 88,388 80.0% 25,730 70,710 Treatment 276-00 Intanglible Plant Studies 06/30/1990 42,783 2.75 117,576 80.0% 34,226 94,061 Treatment 261-00 WWTP Expansion 06/30/1990 51,887 2.75 142,597 80.0% 41,510 114,077 Treatment 264-00 WWTP Expansion 03/01/1993 37,193 2.50 92,837 80.0% 29,755 74,270 Treatment 268-00 WWTP Reroof 03/25/1997 8,800 2.23 19,643 100.0% 8,800 19,643 Treatment 266-00 WWTP Expansion 04/01/1997 972,103 2.23 2,169,874 100.0% 972,103 2,169,874 Treatment 265-00 WWTP Expansion 05/01/1997 1,457,932 2.23 3,254,314 100.0% 1,457,932 3,254,314 Treatment 272-00 Contributed WWTP 06/30/1997 Contributed 91,799 2.23 204,909 100.0% 91,799 204,909 Treatment 263-00 WWTP Expansion 06/30/1997 158,052 2.23 352,794 100.0% 158,052 352,794 Treatment 267-00 WWTP Expansion 06/30/1997 403,528 2.23 900,732 100.0% 403,528 900,732 Treatment 262-00 WWTP Expansion 06/30/1997 698,465 2.23 1,559,074 100.0% 698,465 1,559,074 Treatment 271-00 Contributed WWTP 06/30/1997 Contributed 708,306 2.23 1,581,041 100.0% 708,306 1,581,041 Treatment 269-00 WWTP Roof 06/30/2001 27,642 2.05 56,752 80.0% 22,113 45,401 Treatment 295-00 3 Belt 2.0 Meter Press 07/01/2003 231,963 1.94 450,635 80.0% 185,570 360,508 Treatment 321-00 Meter Belt Press and Installation 10/27/2003 60,300 1.94 117,145 80.0% 48,240 93,716 Treatment 384-00 Stainless Steel Grit Auger 03/24/2008 88,371 1.56 138,275 80.0% 70,697 110,620 Treatment 417-00 New Screenings Compactor 03/31/2009 94,066 1.52 142,659 80.0% 75,253 114,127 Treatment 432-00 WWTP Monitoring Well (SV464) 06/14/2010 19,805 1.48 29,259 80.0% 15,844 23,408 Treatment 419-00 WWTP SCADA SYSTEM (sv463) 05/24/2011 93,024 1.43 133,317 80.0% 74,419 106,654 Treatment 443-00 SBR Protection 06/30/2011 10,950 1.43 15,693 80.0% 8,760 12,554 Treatment 466-00 Recoat SBR #3 11/08/2011 10,950 1.43 15,693 80.0% 8,760 12,554 Treatment 444-00 Emergency Main Breaker - Plant 11/30/2011 12,800 1.43 18,344 80.0% 10,240 14,675 Treatment 467-00 Mechanical Barscreen Rehab 01/23/2012 61,056 1.40 85,302 80.0% 48,845 68,241 Treatment 453-00 DO Probes & Sensors 12/24/2012 35,907 1.40 50,166 80.0% 28,725 40,132 Treatment 479-00 WWTP Percolation Ponds Bank 06/30/2013 897,839 1.36 1,223,043 80.0% 718,271 978,435 Treatment 492-00 Recoat SBR #2 06/30/2013 10,950 1.36 14,916 80.0% 8,760 11,933 Treatment 548-00 DO Probe Upgrage for WWTP Control System 09/30/2016 6,253 1.26 7,865 80.0% 5,002 6,292 Treatment 551-02 Sludge Pump Rebuild (2 of 2) 03/30/2017 7,351 1.22 8,951 80.0% 5,881 7,161 Treatment 551-01 Sludge Pump Rebuild (1 of 2) 03/30/2017 7,351 1.22 8,951 80.0% 5,881 7,161 Treatment 572-00 TSS Meters for SBR Tanks 08/19/2017 19,563 1.22 23,821 80.0% 15,651 19,057 Treatment 568-00 Self Priming Sludge Pump 10/10/2017 9,862 1.22 12,009 80.0% 7,890 9,607 Treatment 00589-01 2019 Ford F450 03/15/2019 8,954 1.15 10,322 0.0% 0 0 Treatment 00594-00 Fjord LS Odor Control Replacement 06/30/2019 210,271 1.15 242,388 80.0% 168,217 193,911 Treatment 613-00 Screenings Compactor Repair 11/04/2019 40,682 1.15 46,896 80.0% 32,546 37,517 Treatment 00611-00 WWTP Upgrade 04/27/2020 884,771 1.13 1,003,518 80.0% 707,816 802,814 Treatment 00627-00 New Belts for Belt Press Filter 09/09/2021 6,838 1.07 7,328 80.0% 5,470 5,863 Vehicles 483-00 #633 Vac-Con Truck 2013 10/02/2012 349,991 1.40 488,975 0.0% 0 0 Vehicles 529-01 #635 2015 Chevy Silverado 1500 08/03/2015 12,477 1.29 16,134 0.0% 0 0 Vehicles 529-02 #635 2015 Chevy Silverado 1500 08/03/2015 12,477 1.29 16,134 0.0% 0 0 Vehicles 528-04 #429 Backhoe Loader - shared asset 09/25/2015 19,400 1.29 25,087 0.0% 0 0 Vehicles 528-05 #429 Backhoe Loader - shared asset 09/25/2015 19,400 1.29 25,087 0.0% 0 0 TOTAL $17,469,295 $42,216,665 $15,215,135 $36,947,939

ORIGINAL REPLACEMENT ORIGINAL REPLACEMENT

COST COST COST COST NEW
ASSETS
Collection $3,640,546 $8,709,429 $3,640,546 $8,709,429
Disposal Facility 0 0 0 0
Misc. Equipment 54,861 124,601 0 0
Office Equipment 19,881 25,533 0 0
Plant 492,047 634,134 393,638 507,307
Pumping 727,318 1,119,776 581,855 895,820
Treatment 12,072,179 30,983,056 10,550,377 26,786,663
Vehicles 413,744 571,418 0 0
Land/Easements 48,720 48,720 48,720 48,720
TOTAL $17,469,295 $42,216,665 $15,215,135 $36,947,939
DRAFT
107
City of Solvang - Sewer 2022
Exhibit 7
Development of Asset Listing as of June 30, 2021
ENR-CCI 13,004.47 May '22
ASSET ACQUIRE ORIGINAL ENR REPLACEMENT % ORIGINAL REPLACEMENT

CATEGORY NUMBER DESCRIPTION DATE CONTRIBUTED COST FACTOR COST ELIGIBLE COST COST NEW

CONTRIBUTED
Collection $1,107,684 $4,936,722 $1,107,684 $4,936,722
Disposal Facility 0 0 0 0
Misc. Equipment 0 0 0 0
Office Equipment 0 0 0 0
Plant 0 0 0 0
Pumping 0 0 0 0
Treatment 800,105 1,785,949 800,105 1,785,949
Vehicles 0 0 0 0
Land/Easements 0 0 0 0
TOTAL $1,907,789 $6,722,672 $1,907,789 $6,722,672
NET ASSETS $15,561,506 $35,493,994 $13,307,346 $30,225,267 NOTES:
(1) Asset listing and contributed capital as of June, 2021, service date of asset and May 2022 ENR, CCI for 20-City Average.

DRAFT
108
RESOLUTION NO. 22-1178

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SOLVANG,

CALIFORNIA, ADOPTING NEW WATER AND WASTEWATER

CONNECTION FEES
WHEREAS, pursuant to Solvang Municipal Code Section 9-3A-4 there shall be imposed and collected a water system capital facilities charge for each new connection made to the city water system. The amount of the charge shall be determined by resolution of the city council; and WHEREAS, pursuant to Solvang Municipal Code Section 9-2E-1(B)1 there shall be allocated to each premises connected to the city wastewater conveyance and treatment system a fee as set by City Council resolution, and
WHEREAS, the purpose of water and wastewater connection charges is to fund a costbased and proportionate share of capital costs for the City’s water and wastewater systems.

WHEREAS, the City Council last reviewed Water and Wastewater connection charges in 2015; and
WHEREAS, the City retained HDR Engineering, Inc. to conduct a Water Connection Charge Study and a Wastewater Connection Charge Study to calculate cost-based connection charges for new customers connecting to, or requesting additional capacity on, the City’s water and wastewater systems; and
WHEREAS, the HDR Engineering, Inc. Draft Studies, attached hereto by reference, calculated draft water and connection charges using the equity buy-in method with two methods to value assets – (1) Replacement Cost Less Depreciation, and (2) Replacement Cost; and WHEREAS, the HDR Engineering, Inc. Draft Studies note that the most common method adopted by municipalities to calculate capacity charges is the Replacement Cost Less Depreciation method; and
WHEREAS, pursuant to Government Code section 66016(a), the City Council held a Public Hearing at its regularly scheduled June 27, 2022 meeting to consider adoption of the proposed Water Connection Charges and Wastewater Connection Charges; and WHEREAS, the City Council finds it necessary and appropriate to adopt the proposed Water and Wastewater Connection Charges for the City of Solvang; and WHEREAS, the City Council finds, based on all evidence in the record, that the proposed Water and Wastewater Connection Charges, attached hereto and incorporated herein as Exhibit A and Exhibit B to this resolution, do not exceed the estimated reasonable costs of providing the services.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOLVANG DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. Connection Fee Schedule Adoption. The City Council approves and adopts the additions to the existing fee schedule set forth in Exhibit A (Water Connection Charges) and Exhibit B (Wastewater Connection Charges) to this Resolution. The revenues generated from Attachment D
109
water connection charges would be collected in the Water Enterprise Fund and maintained and used to fund capital improvements related to growth and expansion of the water system. The revenues generated from wastewater connection charges would be collected in the Wastewater Enterprise Fund and maintained and used to fund capital improvements related to growth and expansion of the wastewater system. The City Council specifically finds that the fees adopted are reasonable and do not exceed the cost of providing the service.

SECTION 2. Collection and Listing of Fees. Exhibit A and Exhibit B schedule of connection charges are hereby directed to be computed and applied by City Administrative Services.

SECTION 3. Separate Fee for Each Process. All fees set forth by this resolution are for each identified process; additional fees shall be required for each additional process or service that is requested or required. Where fees are indicated on a per-unit of measurement basis the fee is for each identified unit or portion thereof within the indicated ranges of such units.

SECTION 4. Constitutionality. If any portion of this resolution is declared invalid or unconstitutional then it is the intention of the City Council to have passed the entire Resolution and all its component parts, and all other sections of this resolution shall remain in full force and effect.

SECTION 5. Effective Date. These revisions to the fee schedule set forth in this Resolution shall go into full force and effect on August 1, 2022 and shall remain in effect until changed by the City Council.

SECTION 6. The City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions.

PASSED, APPROVED, AND ADOPTED on this 27th day of June 2022. ______________________________
Charlie Uhrig, Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ______________________________ Dave Fleishman, City Attorney Annamarie Porter, City Clerk 110

STATE OF CALIFORNIA )
COUNTY OF SANTA BARBARA )ss

CITY OF SOLVANG )
I, Annamarie Porter, City Clerk of the City of Solvang, California do hereby certifythat Resolution No. 22-1178 was passed and adopted by the City Council of the City of Solvang at a regular meeting of said City Council held on the 27th day of June 2022, and thereafter signed and approved by the Mayor and attested by the City Clerk, and that said resolution was adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Annamarie Porter, City Clerk
111
Exhibit A
Water Connection Fees
Present and Calculated Water Connection Charge
Meter Size Meter Ratio (1) Present (2) Calculated (3)
5/8-inch 1.00 $8,740 $9,435
3/4-inch 1.50 13,109 14,151
1-inch 2.50 21,849 23,586
1-1/2-inch 5.00 43,689 47,162
2-inch 8.00 69,916 75,474
3-inch 16.00 139,833 150,950
4-inch 25.00 218,489 235,859
6-inch 50.00 436,978 471,717
112
Exhibit B
Wastewater Connection Fees
Present and Calculated Wastewater Connection Charge
Meter Size Present Calculated
5/8-inch $4,673 $6,026
3/4-inch 7,010 9,040
1-inch 11,683 15,067
1 1/2-inch 23,366 30,133
2-inch 37,386 48,213
3-inch 74,772 96,427
4-inch 116,831 150,666
6-inch 233,661 301,331
113
Agenda Item: 8
Solvang City Council STAFF REPORT
PREPARED BY: Xenia Bradford, City Manager
MEETING DATE: June 27, 2022
SUBJECT: Fiscal Year 2022-24 Financial Plan Adoption
RECOMMENDATION:

That the City Council:

1. Receive the Proposed Fiscal Year 2022-24 Financial Plan; and,

2. Approve or deny one-time funding requests summarized in Attachment C (consider each request individually),

3. Consider adding to Capital Improvement Program and funding a Wayfinding Project

4. Approve the Proposed Fiscal Year 2022-24 Financial Plan and approve Resolution 22-1179 adopting the Fiscal Year 2022-23 budget as presented and authorizing the City Manager to make administrative changes to the document to reflect City Council action taken during this hearing.

DISCUSSION:

On May 23, 2022, the City Council received Preliminary Financial Plan report for Fiscal Years 2022-24.

The Financial Plan detailed Operating and Capital Improvement proposed work programs setting priorities for the next two-years. The Financial Plan was developed based on the City Council Adopted Goals (February 26, 2022 adoption date).

The presented final Proposed Financial Plan for Fiscal Years 2022-24 includes all work programs presented on May 23 per Council direction. The presented Financial Plan is fiscally balanced where revenue levels meet or exceed proposed expenditures. The proposed plan is aligned with long-term fiscal sustainability policies and the City’s financial policies.

Staff recommends that City Council take action as follows:

1. Consider and approve or deny one-time discretionary third-party funding requests summarized in Attachment C

2. Review in concept Wayfinding Project summarized in Attachment D and consider adding and funding the project to the Capital Improvement Program. The project will be further developed and brought back to Council for final approval in the next fiscal year.

3. Approve the Proposed Fiscal Year 2022-24 Financial Plan and approve Resolution 22-1179 adopting the Fiscal Year 2022-23 budget as presented and authorizing the City Manager to make administrative changes to the document to reflect City Council action taken during this hearing.

ALTERNATIVES:

City Council has full discretion to make any modifications to the presented Financial Plan. It should be noted that a budget needs to be adopted prior to July 1, 2022 in order to fund expenditures in Fiscal Year 2022-23.
114
FISCAL IMPACT:

The chart below summarizes the changes in financial position by fund. The revenues are based on currently approved rates and latest economic trends. The expenditure summary presented below does not account for One-Time Discretionary Third-Party Funding Requests summarized in Attachments C through F, or Wayfinding Project summarized on Attachment D. However, the forecasts presented in the document consider an additional level of discretionary spending.

ATTACHMENTS:

A – Proposed Fiscal Year 2022-24 Financial Plan
B – Resolution 22 -1179
C – One-Time Discretionary Third-Party Funding Requests  Grant Funding Program Applications (requests)
 Contracts for Services Requests
 Historically Funded Special Events Funding Requests
 One-time Community Funded Capital Projects Funding Requests D – Wayfinding Capital Improvement Program Project Concept Summary General Fund Occupancy Tax
Water Sales Tax
Wastewater Property Tax
Transit Grant Revenue
All Other All Other

TOTAL TOTAL
General Fund Operations
Water Personnel
Wastewater Contract Services
Transit Tourism
All Other Agency Contributions
Capital Expenditures Capital Expenditures

TOTAL TOTAL

NET CHANGE IN FINANCIAL POSITION
USES

NET CHANGE IN FINANCIAL POSITION SUMMARY
ALL CITY FUNDS: GENERAL FUND:

SOURCES
$ 10,977,833
$ 5,302,270
$ 2,363,378
$ 1,213,468
$ 8,408,882
$ 28,265,831
$ (4,601,790)
$ 4,677,010
$ 1,954,600
$ 1,464,254
$ 1,089,355
$ 1,792,614
$ 10,977,833
$ 2,471,030
$ 2,746,146
$ 2,750,546
$ 9,016,137
$ 5,610,455
$ 2,813,014
$ 1,144,193 $ 923,415
$ 125,000
$ 12,306,137
$ (1,328,304)
$ 7,725,822
$ 32,867,621
$ 6,558,000 $ 3,290,000
115

CITY OF SOLVANG

CALIFORNIA

PRELIMINARY

FINANCIAL
PLAN
FY 2022-23 &
FY 2023-24
Attachment A
116
City of Solvang
Preliminary Financial Plan
FY 2022 – 23 &
FY 2023 – 24

TABLE OF CONTENTS
1) INTRODUCTORY SECTION Page
Elected Officials 7
List of Elected and Appointed Officials 8
City Manager Budget Message 9
Budget Highlights 11
Budget Process / Overview 13
Background 13
Budget Components 14
Accounting Structure 16
Budget Process / Calendar 16
Comparison of FY2020-21 Budget vs Proposed FY 2021-22 Budget 17 Organizational Changes Overview 18
Organizational Chart 22
Economic/Policy/Legislative Issues Facing the City 23
Agency Request Funding 23
Solvang History / Community Profile 25
Strategic Vision and Strategies 28
Solvang Statistical Section 31
Financial Policies 34
2) FIVE YEAR FUND FORECASTS
General Fund Forecast Summary 39
Water Enterprise Fund Forecast Summary 46
Wastewater Enterprise Fund Forecast Summary 50
3) REVENUE & EXPENDITURES BY FUND
Fund Balances 55
Revenue & Expenditures Summary 57
General Fund (100) 58
Government Impact Fees (200) 59
Traffic Safety (201) 60
Gas Tax (202) 61
Local Transportation (203) 62
117
Measure A (204) 63
Skytt Mesa LLMD (205) 64
Capital Projects (300) 65
Water Fund (500) 66
Wastewater Fund (501) 67
Transit Fund (502) 68
Vehicle Equipment Pool (600) 69
OPEB Trust Fund (650) 70
SYV Tourism Bus Imp Dist (700) 71
General Fixed Asset (800) 72
Water Capital Projects (803) 73
WWTP Capital Projects (804) 74
Transit Capital Projects (805) 75
4) DEPARTMENT / PROGRAM SUMMARIES
Department / Program Structure 77
Administration 78
Public Works 86
Utilities 90
5) EXPENDITURE BUDGET BY DEPARTMENT, PROGRAM AND FUND
Administration (Dept) / City Council (Program) 96
Administration (Dept) / Administrative Services (Program) 98 Administration (Dept) / Planning & Building (Program) 101 Administration (Dept) / Recreation (Program) 103
Administration (Dept) / Marketing and Tourism (Program) 107 Public Works (Dept) / Maintenance (Program) 108
AB 1600 Government Impact Fees (Fund) 116
Traffic Safety (Fund) 117
Gas Tax (Fund) 118
Local Transportation (Fund) 119
Measure A (Fund) 120
Skytt Mesa LLMD (Fund) 121
Utilities (Dept) / Water (Program) 123
Utilities (Dept) / Sanitary Sewer (Program) 125
Utilities (Dept) / Wastewater (Program) 126
Public Works (Dept) / Transit (Program) 128
Vehicle Equipment Pool…………………………………………………………………………………………………130 118
6) CAPITAL IMPROVEMENT PROGRAM
Summary Sheet 138
Public Works Department Studies140
Utilities Department Studies142
Maintenance (Parks) 137
Maintenance (Facilities)145
Streets 147
Traffic Mitigation 149
Stormwater151
Santa Ynez Valley Transit152
Water153
Sanitary Sewer155
Wastewater Treatment Plant156
119

PRESENTED TO
City of Solvang
California
For the Biennium Beginning
July 01, 2021
Executive Director

GOVERNMENT FINANCE OFFICERS ASSOCIATION
Distinguished
Budget Presentation
Award
120

INTRODUCTORY SECTION
121
City of Solvang City Council
Charlie Uhrig, Mayor
Mark Infanti, Mayor Pro Tem
Robert Clarke, Councilmember
Claudia Orona, Councilmember
Jim Thomas, Councilmember
122
City of Solvang
List of Elected and Appointed Officials
July 1, 2022
Elected Officials
Mayor Charlie Uhrig
Mayor Pro Tem Mark Infanti
Councilmember Robert Clarke
Councilmember Claudia Orona
Councilmember Jim Thomas
Appointed Officials
City Manager Xenia Bradford
City Attorney Dave Fleishman
Additional Budget Contributors
Public Works Director/City Engineer Rodger Olds
Utilities Director Jose Acosta
Accounting Supervisor Jason Banta
Assistant to the City Manager David Packard
123
City Manager’s Letter
Honorable Mayor, Council Members, Solvang
Residents and Business Owners:

The proposed two-year Financial Plan for Fiscal Years
2022-24 was developed through community
engagement. Every two-years the City will hold
community workshops and invite community input
through surveys and public testimony. The community
input plays a vital role in Council decision making and setting major City Goals to guide the City priorities.

The financial position for Fiscal Years 2022-24 is stable showing healthy recovery post COVID-19 and appropriate levels in charges for services to cover ongoing operations and infrastructure needs. Stability with Caution could describe the current economic conditions which are beginning to show signs of distress and rapid inflation.

The Financial Plan is aligned with the City Council adopted goals:

Goal #1: Enhance Local Water Supply & Strive for Water Independence Goals #2: Develop Additional Parking with focus on Underground Parking Goal #3: Improve Circulation and develop Multi-Modal Transportation Options Goal #4: Ensure Fiscal Sustainability and Invest in Infrastructure Goal #5: Support and diversify Tourism while supporting and honoring Local Organizations serving our community
The Financial Plan operating and Capital Improvement Program are aligned with these goals encompassing a number of significant projects such as Waste Water Treatment Plant Upgrade, water and sewer pipeline upgrades, improvements to City parks, circulation and parking.

In the long run, the General Fund presents a balanced outlook. Water Fund is fiscally balanced, and diversification of water supply remains a high priority. In the Wastewater program focus is on restoring fund level to net positive and sourcing funding and financing options for the Waste Water Treatment Plant upgrade.

Beginning with the Fiscal Year 2020-21 budget development, the City transitioned to a two-year Financial Planning process. Two-year Financial Planning allows for a longer-term planning period to develop work programs to be accomplished over a two-year period. This methodology better corresponds to the duration of capital improvement projects.

The City is currently in the process of accomplishing a number of major projects including the City’s first Comprehensive General Plan Update. Through public engagement, the General Plan Update will set 124
forth the vision and goals for the City of Solvang for the next twenty years. The General Plan Update will be completed in Winter of 2023. The next financial development plan will focus on alignment of the Capital Improvement Program with the updated General Plan based on the community vision and goals.

City Council will also once again engage with the community to develop goals and priorities for the next financial plan.

It is also important to recognize some of the challenges presented with this budget. The challenges and limiting factors include:
 Preparing for uncertainties of economic growth and rapid inflation  Absorbing increasing law enforcement contract costs
 Moving forward with major Capital Improvement Program projects and securing viable financing options
 Rebuilding Wastewater fund level from negative position  State of California worsening drought conditions and cost of water supply  Potential upcoming further policy modifications by CalPERS increasing future pension costs payable by the City
Respectfully submitted,
Xenia Bradford
City Manager
125

BUDGET HIGHLIGHTS
The proposed preliminary budgets for Fiscal Years 2022-23 and 2023-24 are balanced for the General Fund ongoing expenditures. Yet, the two major Enterprise Funds, Wastewater and Water, are not structurally balanced where ongoing expenditures for operations exceed ongoing revenues. The City conducted a rate study in the current fiscal year. The proposed utility rate increases that will be presented to City Council in June 2022 will provide sufficient revenues to address the negative fund balance and pay for operating and capital improvement expenditures.

In Fiscal Year 2022-23, the Net Change in Financial Position for all City Funds is a decrease of $4.6 Million. The Net Change in Financial Position for the General Fund is a decrease of $1.3 Million. This decrease is mainly due to the large Capital Projects that are slated for the upcoming fiscal year In Fiscal Year 2023-24, the Net Change in Financial Position for all City Funds is a decrease of $3.5 Million. This decrease is mainly due to the large Capital Projects that are slated for the upcoming fiscal year. The Net Change in Financial Position for the General Fund is a decrease of $73,000.

Fiscal Year 2022-23:
126
Fiscal Year 2023-24:

Significant capital improvement projects such as the WWTP Upgrade Project for Phase 2 and 3 are assumed to be debt financed in the utility rate study to smooth out rate increases over time. These expenses are reflected in the chart below. With debt financing, the Fund is balanced where the proposed rate increases will pay for the debt payments and the fund balance will be maintained at no less than six months of operating expenditures per adopted fiscal policy.

Capital Improvement Program Funding, by Fund:

Fund 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028+ GENERAL FUND-100 $ 3,160,000.00 $ 1,165,000.00 $ 4,965,000.00 $ 385,000.00 $ 790,000.00 $ 350,000.00 $ 6,325,000.00 WATER-500 $ 1,290,000.00 $ 1,730,000.00 $ 3,920,000.00 $ 5,680,000.00 $ 3,310,000.00 $ 420,000.00 $ 1,200,000.00 SEWER-501-5200 $ 60,000.00 $ 950,000.00 $ 35,000.00 $ 500,000.00 $ 1,030,000.00 $ - $ 1,530,000.00 WWTP-501-5300 $ 900,000.00 $ 1,060,000.00 $ 7,500,000.00 $ 7,535,000.00 $ 100,000.00 $ - $ 800,000.00 TRANSIT-502 $ 300,000.00 $ 215,000.00 $ - $ 270,000.00 $ 160,000.00 $ - $ 500,000.00 MEASURE A-204/LOCAL
TRANSPORTATION -203 $ 468,000.00 $ 843,000.00 $ 468,000.00 $ 1,673,000.00 $ 468,000.00 $ 468,000.00 $ 1,872,000.00 IMPACT FEES-200 $ - $ - $ - $ - $ - $ - $ -
SB1-GAS TAX-RMRA-202 $ 250,000.00 $ 150,000.00 $ 275,000.00 $ 275,000.00 $ 275,000.00 $ 275,000.00 $ 1,100,000.00 TOTAL $ 6,428,000.00 $ 6,113,000.00 $ 17,163,000.00 $ 16,318,000.00 $ 6,133,000.00 $ 1,513,000.00 $ 13,327,000.00 Capital Improvement Program Funding by Fund (Year by Year) 127
Background
The City of Solvang is required to submit an annual budget, per municipal code 1-5A-4:

F. Financial Report. It shall be the duty of the city manager to prepare and submit the proposed annual budget and the proposed annual salary plan to the city council for its approval.

Beginning with the Fiscal Year 2020-21 budget development, the City transitioned to a two-year Financial Planning process. Two-year Financial Planning allows for a longer-term planning period to develop work programs to be accomplished over a two-year period. This methodology better corresponds to the duration of capital improvement projects.

The City’s two-year financial plan covers FY 2022-23 and FY 2023-24. The presented budget is for both operating and capital improvement program objectives to be achieved in the first and second years of the FY 2022-23 and FY 2023-24 Financial Plan. As necessary, the City will prepare modifications to the second year of this two-year budget (FY 2023-24) and present to the City Council for adoption prior to July 1, 2023.

Budget Components:
• Financial Forecasting. Forecasting is an important part of the City’s budget decision making process and contributes to the long-term fiscal health of the city. Financial forecasts allow decision makers to make informed decisions for financial allocations and commitments while ensuring structural balance in the long run. Financial forecasts are prepared for each major operating fund and includes projections for both expenditures and revenues. The forecasts also project available fund balance. Each two-year Financial Plan begins with review of financial forecasts, which inform the City’s financial positions and availability of funds for allocation.

Priorities and goals are developed through community engagement and the available funds are prioritized and allocated by City Council. These forecasts are presented later in the budget book in Section Two (Five-Year Fund Forecasts).
• Operating Budget. The portion of the budget pertaining to daily operations and the delivery of basic governmental services refers to the operating budget. The City of Solvang is organized into three key operating functions, or Departments: Administration, Public Works, and Utilities. The Departments are then subdivided by the different programs, or major responsibility areas within each Department. In all, the City of Solvang has 15 different Programs:
o Administration Department
 Programs – City Council, Administrative Services, Recreation, Information Technology, Planning and Building, Marketing/Tourism, Public Safety/Law Enforcement

BUDGET PROCESS / OVERVIEW
128
o Public Works Department
 Programs – Engineering Division, Maintenance Division, Stormwater Management, Transit
o Utilities Department
 Programs – Water Supply and Distribution, Sewer Collection, Wastewater Treatment Plant (WWTP), Groundwater Sustainability Agency - Management Section Four of the budget book (Department / Program Summaries) presents more thorough information pertaining to the City’s departments and programs. In this section, each department includes a summarized narrative, list of prior year accomplishments, and organization chart. The divisions/programs narratives contain program descriptions, performance measures, summary of staffing levels, and expenditure details of three years (prior year actual, current year estimate, and proposed budget for next year). • Capital Improvement Program. The City of Solvang has extensive capital improvement needs.

The City of Solvang utilizes a Capital Improvement Program (CIP) to serve as a funding plan for public improvements, and maintenance of existing infrastructure. Significant projects in the CIP are included in the areas of traffic improvement, parks, utilities, and facilities. Often, the planning, design and construction of capital improvement projects require different phases and are developed over multiple years. The City’s CIP program is another component of the budget, in addition to the City’s operating budgets.

While the CIP program designates projects to be completed during a 10-year span, it is important to review the CIP plan each year to verify that the program is aligned with the City’s operating programs and responsive to strategic goals and long-term plans. Annual update and adoption of the CIP is a vital component to its successful implementation and is a requirement of the portion of the Program funded by the Traffic Mitigation Fund.

Accounting Structure:
• Budgetary Basis of Accounting. The City of Solvang’s budget is prepared in accordance with Generally Accepted Accounting Principles (GAAP) as applied to governmental agencies. The City utilizes modified accrual basis of accounting for governmental funds and accrual basis of accounting for enterprise funds. This basis of budgeting is the same basis of accounting used in the City’s audited financial statements, which are reported annually in a separate document. • Debt Obligations. The City currently does not carry any debt obligations. In upcoming years, the City will face a decision regarding Phase 2 of the Wastewater Treatment Plant Upgrade. In order to fund this Phase, the City will have to finance the project. In FY21-22 the City is undertaking a Water and Wastewater Fee Study, which is a necessary step for receiving financing, if this is the determined route.
129
• Fund Structure. The accounts of the City are organized on the basis of funds, each of which is considered a separate accounting entity with its own self-balancing set of accounts that comprise its assets, deferred outflows of resources, liabilities, deferred inflows of resources, fund equity, revenues and expenditures or expenses. These funds are established for the purpose of carrying out specific activities or certain objectives in accordance with specific regulations, restrictions or limitations.
o The General Fund pays for services including Law Enforcement Services, Library, Administrative services (including Information Technology), Parks & Recreation, Public Works Engineering, Maintenance and Capital Improvements (including paving), Code Enforcement, as well as portion of Planning & Building not recovered through fees for services. The City of Solvang is the third most dependent City on TOT in California as shown in the graph below.
o The City’s utilities (Water and Wastewater) are funded by user fees. These are enterprise funds that provide the most critical infrastructures for the City. These should be self-sustainable through a periodic review of Water and Wastewater rates to cover operating and Capital Improvement expenditures.
130
o The City also maintains many minor funds, including special revenue funds such as the Government Impact Fee Fund or internal service funds, such as the Vehicle Equipment Pool Fund. Sections covering the City’s Major Funds (General, Water, Wastewater) as well as Revenues and Expenditures by All Funds are presented later in the report.

Budget Process
The adoption of the City’s two-year financial plan and annual budget represents the culmination of numerous stakeholders and budget processes, as depicted graphically below.

Budget Calendar
The following shows a depiction of the typical two-year budget adoption process. • January – February
o City Manager meets with all staff and divisions of the City. o City Council receives long-term Fiscal Forecast updates for major operating funds. o City Council holds Goal Setting and Strategic Planning Session open to the public (every non-even year)
o City Council sets policy for Agency Grants and City sends grant application to nonprofit organizations, with April application deadline.
• March – April
o City Manager and Department Heads present City Council and the public with Department and Division overviews, summarizing all the operations expenses, personnel expenses, and contract overviews.
131
o Administrative Services Division prepares personnel salary and benefit budget estimates based on current union contracts, benefit rates, and cost of living/performance increases.
• May
o Preliminary Budget and Capital Improvement Plan presented to Council • June
o Capital Improvement Plan presented to Planning Commission for resolution, verifying all projects are in conformance to the General Plan. The CIP Program is adopted by the City Council, effective July 1.
o City Council adopts annual budget, effective July 1.

Comparison of FY 2020-21 and FY 2021-22 Budget vs Proposed FY 2022-23 and FY 2023-24 Budget The Solvang City Council adopted a two-year financial plan for FY 2020 – 2022, comprising the FY20-21 and FY21-22 budgets. Below are some of the changes that are included in the proposed budgets for FY 2022-23 and 2023-24.
 TOT revenues were significantly impacted in FY20-21 due to COVID-19, as the City lost about $2 million. Since the economy re-opened, the City of Solvang and the Central Coast as a whole have seen healthy increases in both TOT and sales tax. The revenue collection levels have exceeded pre-COVID FY 2019-20 levels. However, rising inflation is a concerning factor which may influence economic growth over the next two years.
 The federal government passed the American Rescue Plan in March 2021. As part of this economic stimulus package, $350 billion has been allocated for eligible state, local, territorial and Tribal governments. The City of Solvang is eligible to receive a one-time payment of $1.4 million from the American Rescue Plan Funding. This contribution can be used to supplement the City’s lost TOT revenues due to COVID-19. Half of the funding was received in FY 21-22 and the second payment will be received in the beginning of FY 22-23.  Capital Improvement Program projects
o WWTP Water Quality Upgrades – The City has worked for the past few years to prepare for necessary Water Quality upgrades at its Wastewater Treatment Plant. In FY 2020-21, the City had allocated $2.25 million to fund Phase One of the upgrades, however, bids came in higher than anticipated. To fund the $2,829,200 project, the City made an $802,000 budget adjustment from the Vehicle Replacement Fund. Construction of Phase 1 was completed in FY21-22.
o The proposed Capital Improvement Program for FY 22-24 Financial Plan is aligned with City Council Goals. Projects include Water and Wastewater facilities upgrades and maintenance, traffic migration and road improvements, a parking structure study, and improvements to parks. Phase 2 and 3 of the WWTP Upgrade project is the largest proposed project totaling approximately $15 million.
132
 Changes in City Contracts - As a smaller organization, the City of Solvang maintains many contracts to perform its operations. There are numerous contractual changes in the proposed budget:
o Law Enforcement – The City’s largest annual expense is contracted Police Services with the County of Santa Barbara for Law Enforcement. The City’s total expenditure in FY20- 21 was $1.8 million. In FY 21-22, the Sheriff’s department changed its rates computation methodology and proposed significant increases in charges for services.

Contract cities (Buellton, Carpinteria, Goleta, and Solvang) had negotiated through a dispute resolution a contract amount of $2.1 million. For FY 23-24, which is the last year under the existing contract, Santa Barbara County Sheriff’s Office presented a fee of $2.5 million dollars. The contract Cities have entered a mediation process with the Santa Barbara County Sheriff's Office.
o Marketing / Visitor Center –Per Council Direction and Tourism Advisory Committee recommendations, the proposed budget shows re-organized Marketing Services. The proposed organizational structure adds a local Marketing Coordinator who will manage the marketing services contract and work with local organizations to coordinate special events.

A more detailed look at the differences in operating contract costs is found in the chart below:

Organizational Changes Overview
Being highly reliant on tourism for discretionary revenues, the City experienced a significant decline in revenue due to COVID-19. This led to a reduction in service levels to essential service only. The FY 2020- 21 budget shows a low allocation of funded Full Time Equivalents (FTE) at 25 positions. The City FY 2021/22 Contract
Services
Adopted
Budget
FY 2022/23 Contract
Services
Proposed
Budget
FY 2023/24 Contract
Services
Proposed
Budget
Marketing IDK $435,915 Marketing $600,000 Marketing $600,000 Visitor Center $150,000 Visitor Center $150,000 Visitor Center $150,000 Code Enforcement $40,000 Code Enforcement $40,000 Code Enforcement $40,000 Information Technology $316,647 Information Technology $62,820 Information Technology $62,820 Planning Consultant $100,000
Building $140,000 Building $140,000 Building $140,000
Legal Fees $230,000 Legal Fees $234,000 Legal Fees $234,000 County of Santa Barbara
Law Enforcement $2,210,000
County of Santa Barbara
Law Enforcement $2,468,676
County of Santa Barbara
Law Enforcement $2,468,676
City of Goleta Library $184,855 City of Goleta Liabrary $184,855 City of Goleta Liabrary $184,855 Tree Management $83,500 Tree Management $113,500 Tree Management $113,500 Custodial $300,000 Custodial $151,000 Custodial $151,000 Sidewalk Grinding $40,000 Sidewalk Grinding $40,000 Sidewalk Grinding $40,000 Stormwater Management
Program $90,000
Stormwater Management
Program $106,950
Stormwater Management
Program $106,950
Street Sweeping $40,000 Street Sweeping $40,000 Street Sweeping $40,000 TOTAL $4,360,917 TOTAL $4,331,801 TOTAL $4,331,801
Year-to-year comparison: Operating Contracts over $35,000 (annual basis) 133
recovered well once State social distancing restrictions were lifted. FY 2021-22 marked the first year rebuilding the organization and returning service levels back to pre-COVID levels. In FY 2021-22 the City’s reorganization reinstated numerous positions, some of which were modified to best respond to current community needs.

This Financial Plan for FY 22-24 proposes final recommendations to bring the organization back to preCOVID-19 staffing levels to serve our community.

The following organizational changes are proposed:

1. Re-establish Administrative Services Director position to oversee Finance, Human Resources, and Information Technology. This function has been handled by City Manager since onset of COVID-19.

2. Modify Marketing operations structure by establishing Marketing Manager position to manage marketing consultants and work with the community organizations to coordinate special events.

The proposal is not to increase overall marketing budget but to re-allocate management of marketing to this position.

3. Modify Code Enforcement program by adding two part-time positions to monitor downtown and city facilities on weekends and evenings.

Below is a spreadsheet outlining proposed significant changes to City staff positions and salaries as well as an organizational chart for FY 2022-23.

Red highlights indicate newly proposed positions in the chart below.

Proposed Budget (FY22/23) Proposed Budget (FY23/24)
Administrative Services Director $ 175,000 $ 180,250
Marketing Manager $ 110,000 $ 113,300
Planning Manager/Director $ 30,000 $ 30,900
Code Enforcement Part-Time
Weekend Workers (no benefits) $ 30,000 $ 30,900
Benefits for HR Manager (part-time) $ 25,000 $ 25,750
Custodial Contract Increase $ 150,000 $ 150,000
Marketing Contract Decrease due to
transfer of Management function to
Marketing Manager
$ (110,000) $ (113,300)
TOTAL GENERAL FUND $ 410,000 $ 417,800
Proposed Significant Changes
134
FY 2022-23 FY 2023-24
City Manager $ 264,903 $ 271,008
Administrative Services Director $ 184,252 $ 197,130
Management Analyst $ 155,679 $ 159,314
City Clerk $ 181,599 $ 186,027
HR Manager (0.5 FTE) $ 94,924 $ 96,741
Planning Manager $ 192,972 $ 197,400
Public Works Director/City Engineer $ 201,166 $ 205,820 Accounting Supervisor $ 141,678 $ 144,729
Maintenance Supervisor $ 112,224 $ 122,635
Assistant Planner $ 120,986 $ 123,429
Office Assistant $ 85,046 $ 86,500
Maintenance Worker II (2) $ 257,211 $ 263,611
Recreation Coordinator $ 85,077 $ 91,023
Recreation Supervisor $ 183,677 $ 189,887
Parks Maintenance I $ 77,875 $ 82,832
Accounting Technician $ 89,911 $ 95,709
WW Collection System Operator (5%) $ 4,314 $ 4,585
Associate Engineer $ 120,858 $ 123,553
Maintenance PW Lead $ 88,230 $ 90,002
Maintenance Parks Lead $ 88,230 $ 90,002
Code Enforcement (2 PT) $ 59,787 $ 63,457
Total $ 2,790,600 $ 2,885,393
Total FTE 21.5 21.5
Proposed Positions for FY 2022-23, FY 2023-24

POSITION
General Fund Only

SALARY & BENEFITS
135
FY 2022-23 FY 2023-24
Water Fund
Utilities Director (50%) $ 132,390 $ 137,127
Water Lead Operator $ 123,902 $ 126,667
Water Operator I (3) $ 278,207 $ 288,016
Water Supervisor $ 204,082 $ 210,939
Utility Billing Clerk (50%) $ 41,129 $ 42,033
Total $ 779,709 $ 804,782
Total Water FTE 6.0 6.0
Wastewater Fund
Utlities Director (50%) $ 132,390 $ 137,127
Wastewater Supervisor $ 215,855 $ 222,712
WWTP Operator III $ 146,237 $ 151,092
WWTP Lead Operator $ 178,996 $ 184,626
WWTP Operator II (2) $ 295,154 $ 303,666
Utility Billing Clerk (50%) $ 41,129 $ 42,033
WW Collection System Operator (95%) $ 81,972 $ 87,118
Total $ 1,091,734 $ 1,128,373
Total Wastewater FTE 7.0 7.0
Total $ 1,871,443 $ 1,933,155
Total FTE 13.0 13.0
Proposed Positions for FY 2022-23, FY 2023-24
Utilities Funds

POSITION SALARY & BENEFITS
136
City of Solvang - PROPOSED FY 2022-24 Organizational Chart

RESIDENTS OF CITY OF SOLVANG

CITY COUNCIL

CITY ATTORNEY CITY MANAGER

ADMINISTRATION

CITY CLERK

MANAGEMENT

ANALYST/ASSISTANT TO

THE CITY MANAGER

ACCOUNTING

SUPERVISOR
OFFICE

ASSISTANT

RECREATION

SUPERVISOR

RECREATION

COORDINATOR

ASSOCIATE

ENGINEER

PLANNING

MANAGER/PLANNING

DIRECTOR (DOQ)

PUBLIC WORKS UTILITIES

MAINTENANCE

SUPERVISOR
LEAD

MAINTENANCE
WORKER

LEAD PARKS

MAINTENANCE
WORKER

MAINTENANCE

WORKER II

MAINTENANCE

WORKER I
PARKS

MAINTENANCE

WORKER I/II

ACCOUNTING

TECHNICIAN

UTILITY BILLING
CLERK

UTILITIES DIRECTOR

HUMAN RESOURCES

MANAGER (PT)

PUBLIC WORKS

DIRECTOR

ASSISTANT

PLANNER
WATER

SUPERVISOR

WASTEWATER

SUPERVISOR

LEAD WATER

OPERATOR

LEAD WW

OPERATOR

WATER OPERATOR
II

WATER OPERATOR
I

WW OPERATOR III

WW OPERATOR II

WW OPERATOR I

COLLECTION

SYSTEM OPERATOR

INFORMATION

TECHNOLOGY
(Contract)

BUILDING
(Contract)

SB COUNTY LAW
ENFORCEMENT (Contract)

MARKETING
(Contract)

VISITOR CENTER
(Contract)

RECREATION

SPECIAL EVENTS
(Contract)
CODE

ENFORCEMENT
(Contract)

JANITORIAL
(Contract)

STORMWATER
(Contract)

ADMINISTRATIVE

SERVICES DIRECTOR

MARKETING AND
EVENTS

MANAGER
WATER

OPERATOR I
137
Economic /Policy/Legislative Issues Facing the City
There are several factors of uncertainty that the City Council and the community should keep in mind with the proposed FY 2022-2024 budget:

1. Economic outlook is uncertain due to recovery from COVID-19 and fuel prices spiking inflation.

2. The State is continuing to experience drought which will cause changes in water operations.

3. The City is considering Phase 2 of the Wastewater Treatment Plant upgrade which will exceed $15 M.

In order to fund this project, the City would have to utilize financing, which is not currently used by the City.

4. The Law Enforcement Services Contract is currently under dispute by the Cities due to unreasonable proposed increases in cost. The cost of law enforcement services has increased from $1.8 million to $2.5 million per year.

5. CalPERS (City’s Pension provider along with majority of California cities) unfunded liabilities and stability of the fund continue to be a concern. The City’s unfunded liability for pensions is $5 million and $2 million for retiree health. As CalPERS continues to stabilize the fund through policies, the City will continue to see increases in required payments.

6. The City is currently performing a comprehensive update of the General Plan setting the path and vision for the next 20 years. The policy decisions will influence the City’s framework and influence infrastructure planning.

Agency Request Funding
Solvang values its nonprofit organizations and community partners. Each year, the City of Solvang tries to share a portion of its revenues with these organizations to help support their missions. The current City Council policy focuses on funding organizations that support humanitarian organizations with a specific focus to assist seniors, which makes up a large demographic of the community.

On the following page is the grant applications received for FY 22-23 and 22-24. 138
Atterdag at Home
Buellton Senior Center
(SYV Senior Citizens
Foundation)
Santa Ynez Pirate Football
Santa Ynez Valley Fruit
and Vegetable Rescue
Santa Ynez Valley Senior
Advisory Council (dba
Solvang Senior Center)
Solvang Arts and Music
Foundation (Solvang
Santa Ynez Valley People
Helping People
Grant Funding Total
Elverhoj Museum (FY
2022-23 Contract
Previously Awarded)
Solvang Chamber of
Commerce
Solvang Senior Center
Solvang Festival Theater
Solvang Danish Days
Foundatuon
Santa Ynez Valley Rotary
Club Foundation
Additional Funding Total
GRAND TOTAL $                                                              756,520 $                                                           402,500 $ 100,000 $ 100,000
$ 50,000 TBD
$ 25,000 TBD
$ 12,500 $ 12,500
$ 250,000 $ 250,000
$ 139,020 N/A
$ 599,020 $ 390,000
$ 12,500
City of Solvang
FY 2022-23 & 2023-24 Funding Requests
Grant Funding Applications  Received
$ 35,000 $ 40,000
Additional Funding Requests
Fiscal Year 2022/2023 Requested Fiscal Year 2023/2024 Requested $ 20,000
$ 10,000
$ 15,000
$ 70,000
$ 10,000
$ 157,500
TBD
TBD
$ 20,000 TBD
TBD
TBD
TBD
139
1911 1914 1928 1936 1939 1940s
The colony of Solvang
founded
Atterdag
College opens
Solvang
becomes known
as the Danish
Capital of
America
Bethania Lutheran
Church constructed
First Danish
Days celebration
takes place
Crown Prince
Frederik IX and
Crown Princess
Ingrid of Denmark
visit
Solvang History / Profile
Indigenous Peoples
Prior to western settlement, the area that is now Solvang was inhabited primarily by the Chumash tribe of Native Americans.

The Chumash historically occupied the central and southern coastal regions of California, in portions of what is now San Luis Obispo, Santa Barbara, Ventura, and Los Angeles Counties. The arrival of Spanish missionaries and the subsequent Mexican occupation ultimately disrupted and displaced the Chumash from the area.

Mission Santa Inés
Mission Santa Inés was established on September 17, 1804, by father Estévan Tapís as part of the expansion of the mission system by Spanish missionaries. The mission was constructed as a mid-point between Mission Santa Barbara and Mission La Purísima Concepción. In 1820 a grist mill was built to grind wheat oats, barley, and corn. The fulling mill, built in 1821, is one of the earliest industrial sites in California and the only known water-powered fulling mill on the West Coast.

With the coming of Mexican-era California in the 1820s, the industrialization of Mission agricultural enterprises slowed. In 1836 Mission Santa Inés was divided under orders from Mexican Governor Mariano Chico. Through a combination of good luck and respectful owners the entire complex has been preserved in its original agricultural context. Previous owners Ellen and Harry Knill, comprehending the immense value to history and understanding what it represents, not only took care to preserve the site, but sponsored archaeological studies and roofed the mill buildings before selling the property to the Santa Barbara Trust for Historic Preservation in 1996.

HISTORIC

TIMELINE
Early History
Present day Solvang is on land that
was once part of the Rancho San
Carolos de Jonata, a land grant given
to Joaquin Carrillo and Jose Maria
Covarrubias by Mexican Governor Pio
Pico in 1845. The land grant covered
approximately 26,600 acres and was
predominately used for agriculture
and cattle. In 1872, Carrillo and
Covarrubias sold the entire Rancho to
Vermont native Rufus Thompson Buell.

Late in the 1870s, Buell was forced to
sell approximately 11,000 acres of the
Rancho due to severe drought.

In 1910, three Danish immigrants
(Reverend Benedict Nordentoft,
Reverend J.M. Gregersen and
Professor P.P. Hornsyld) established the
Danish American Colony corporation
in hopes of creating the first DanishAmerican colony on the west coast.

In January 1911, the corporation
purchased nearly 9,000 acres of land
once owned by Buell from the Santa
Ynez Development Company. The new
colony was named Solvang, meaning
“Sunny Fields” in Danish.
140
Early Growth,
1911-1930
Early settlers to Solvang moved fast
to create a strong and independent
community. By 1914, Solvang
constructed a hotel, multiple schools,
a general store, a bank, and a vehicle
repair shop to service vehicles on their
way to southern California. During this
period, Solvang established itself as
a self-reliant agricultural community,
in which many of the early settlers
founded dairies.

With the arrival of electricity and the
automobile in the 1920s, Solvang
continued to grow. As its economy
grew, so did its population. To meet the
needs of the community, more homes
and businesses were constructed. This
growth ultimately shaped Solvang into
the city it is today. Many businesses
had located on Main Street (today’s
Copenhagen Drive) and Gaviota Road
(today’s Alisal Road). Some residences
were built along Lompoc Road, which is
today’s Mission Drive (Highway 246).

The Danish Capital of America:

A New Identity, 1930-1960
By the 1930s, Solvang had become the largest town in
the Santa Ynez Valley. Lumber yards, drugstores, feed
stores, meat markets, and car dealerships were all
added to serve the growing population. In 1936, the
25th anniversary of Solvang’s founding, the residents
held a three-day celebration honoring their Danish
heritage. The celebration (June 5-7) included a
torchlight procession, plays, pageants, a parade, and
folk dancing and singing. In 1937, Solvang organized
another community-wide celebration tied to its
Danish history and the tradition of Danish Days was
created.

With World War II in full swing by the early 1940s,
many residents either joined the war effort or moved
out of the area to find better job opportunities.

By the mid to late 1940s, Solvang was losing its
economic base. After being named “Little Denmark”
by the Saturday Evening Post magazine in 1947,
visitors came seeking the Danish culture portrayed
in the Post article. Solvang decided to fully embrace
the concept of tourism. Businesses remodeled their
storefronts and new buildings in the downtown were
constructed in Old World Danish style. Buildings
emulating half-timbering and Danish street names
became commonplace in the 1950s, and the first
of the town’s three iconic Danish windmills was
constructed.
1951
Solvang Municipal
Improvement
District (SMID)
formed
1947
Copenhagen Square
was built
1964
Sana Ynez Valley Cottage
Hospital constructed
1991
Replica of Rundetårn
constructed
2004
Solvang featured
in Oscar award
winning film
“Sideways”
1985
Solvang
incorporated as
a city
141
Present Day
Though the Solvang Village area is much like it has been for the past several decades, the city has grown to accommodate increased population. Most neighborhoods consist of single-family homes.

Solvang has evolved into a widely recognized tourist destination due to its unique architecture, surrounding wine country, and its proximity to Mission Santa Inés. The city’s economy and approximately 5,800 residents rely heavily on tourism. The city’s architecture and setting are well known throughout California and the nation, and the city’s identity and economic vitality are aligned closely to the aesthetic character of the community. The city’s compact development contributes to its charm and pedestrian-friendly atmosphere.

Regional Setting
The city is located in Santa Barbara County, approximately 46 miles northwest of Santa Barbara and 15 miles north of the Pacific coast. The city of Buellton is located to the west, the town of Santa Ynez to the east, and the communities of Los Olivos and Ballard to the north. Solvang is located in the Santa Ynez Valley in the central part of Santa Barbara County. The city is surrounded by the Purisima Hills to the north, the upper Santa Ynez Valley to the east, the Santa Ynez Mountains to the south, and the lower Santa Ynez Valley to the west. Solvang is situated primarily along an alluvial plain formed by the Santa Ynez River and on the southeastern edge of the Purisima Hills State Route 246 bisects Solvang and provides a key regional east-west link between Highway 101 and State Route 154. 142
Solvang Vision / Strategic Goals
The City conducted a financial plan survey of its residents during January – February 2022 to weigh in on different aspects of the City. The City also held a special financial plan workshop of the City Council on Saturday, January 29, 2022.

On March 14, 2022, the City Council adopted the following goals and priorities for FY 2022-23 & FY 2023-24:

City Council Goals for Fiscal Years 2022-24 Financial Plan Goal #1: Enhance Local Water Supply & Strive for Water Independence Priorities -
• Access to water (wells)
• Reservoirs expansion
• Wastewater Treatment Plant Upgrade including Recycled Water Goal #2: Develop Additional Parking with focus on Underground Parking Priorities -
• Consider Parking Lot 2 restructure to expand Solvang Park • Develop options for underground parking including Parking Lot 4 • Seek out mixed-used developments (live/work in same place) through Public/Private partnerships
• Lease private parking lots for public use
143
Goal #3: Improve Circulation and develop Multi-Modal Transportation Options
Priorities -
• Add sidewalks
• Develop bike lanes
• Improvements to Route 246 (Mission Drive) including
synchronized pedestrian crossings and traffic lights
• Wayfinding for traffic and pedestrians
Goal #4: Ensure Fiscal Sustainability and invest in Infrastructure Priorities -
• Sales Tax increase by 1% for infrastructure
• Explore Downtown Business Improvement District
• Consider funding significant Public Projects with Debt Issuance Goal # 5: Support and diversify Tourism while supporting and honoring Local Organizations serving our community
Priorities -
• Increase mid-week visitor stay
• Encourage private development or partnering with County of Santa Barbara for development of a small Convention Center while honoring and improving facilities for the Veterans (include Library needs)
• Proactively seek out small conventions to be held in Solvang • Solvang focused marketing
144
Linking City Goals to Implementing Departments/Programs:

Goal #1: Enhance Local Water
Supply & Strive for Water
Independence
Goal #2: Develop Additional Parking
with focus on Underground Parking
Goal #3: Improve Circulation and
develop Multi-Modal
Transportation Options
Goal #4: Ensure Fiscal Sustainability
and invest in Infrastructure
Goal #5: Support and diversify
Tourism while supporting and
honoring Local Organizations
serving our community
Utilities Department
- Water Supply and Distribution
- Wastewater Treatment Plant
- Groundwater Sustainability Agency
Public Works Department
- Engineering Division
Public Works Department
- Engineering Division
Administration Department
- Administrative Services
- Marketing / Tourism
- Planning & Building
Public Works Department
- Maintenance Division
Administration Department
- Administrative Services
- Marketing / Tourism
- Recreation
Administration Department
- Planning and Building
- Administrative Services
Public Works Departments
- Engineering Division
Utilities Department
- Water Supply and Distribution
- Wastewater Treatment Plant (WWTP)
Administration Department
- Planning and Building
145
City of Solvang, California – Statistics
City Information:
 Date of Incorporation: May 1, 1985
 Date of Charter City Status: 2006
 Form of Government: Council/Manager
 Geographic Area: 2.4 square miles
 Elevation: 505 ft
 County: Santa Barbara
Composition of Population:

Solvang, CA Santa Barbara
County
California
Population estimate, July 1, 2021 6,048 446,475 39,237,836 Age and Sex
Persons under 5 years 2.4% 6.1% 6.0%
Persons under 18 years 19.6% 22.1% 22.5%
Persons 65 years and over 23.2% 15.7% 14.8%
Female persons, percent 55.3% 50.0% 50.3%
Household Information
Median Household Income $83,431 $74,624 $78,672
Median Value of owner-occupied
housing units (2016-2020)
$725,100 $610,300 $538,500
Owner Occupied Housing (2016-2020) 58.8% 52.3% 55.3%
Persons per household, (2016-2020) 2.34 2.86 2.94
Education
High School graduate, age 25+ years
(2016-2020)

96.0% 83.9% 81.8%
Bachelor’s Degree or higher age 25+
years (2015-2019)

39.0% 35.0% 34.7%
Ethnic Composition
White alone, not Hispanic or Latino 73.6% 43.8% 36.5%
Hispanic or Latino 17.6% 46.0% 39.4%
Asian alone 2.0% 6.0% 15.5%
Black or African American 3.2% 2.4% 6.5%
American Indian or Alaska Native 1.5% 2.1% 1.6%
Native Hawaiian and other Pacific
Islander

0.0% 0.3% 0.5%
Two or more races 3.9% 3.8% 4.0%
Source: US Census Bureau, Population estimates, July 1, 2021 146
City Infrastructure:
 Water line
o 40 miles
 Sewer line
o 32 miles
 Streets
o 25 miles
 Transit
o Santa Ynez Valley Transit
 Transportation
o Mission Drive (Caltrans State Route 246) – Major east-west route o Alisal Road – Primary/Secondary north-south arterial road o Alamo Pintado Road – Primary north-south arterial road City / Community services:
- Parks
o 205 acres of parkland, recreational areas and city facilities that function as community gathering places.
o 3 active parks:
 Hans Christian Andersen Park, Solvang Park, Sunny Fields Park o 2 passive parks:
 Creekside Place Park, Alisal Commons Park
- Library
o 1 – Solvang Library (Operated by City of Goleta)
 Circulating items: 18,375 (books, audiobooks, DVD’s, magazines)  Circulation: 61,724 (FY 19/20)
- Museums / Historical Missions
o 6 – Bethania Lutheran Church, Elverhoj, Hans Christian Andersen, Old Mission Santa Ines, Solvang Vintage Motorcycle, Wildling
- Schools
o 1 – Solvang School (Kindergarten – 8th Grade)
- Hospitals
o 1 – Santa Ynez Valley Cottage Hospital
- Fire Station
o Station 30 (Operated by Santa Barbara County Fire District) - Police Station
o Solvang Substation (Operated by Santa Barbara County) 147
Solvang Economy Information
Solvang Business Licenses 2016: 2017: 2018: 2019: 2020: 2021:
881 880 927 875 841 875
Job Growth: Solvang vs. Santa Barbara County
Description Employment Median Household Income
2011
Jobs
2019
Jobs
2011 to
2019
change
2011 to
2019
CAGR
2011
MHI
2019
MHI
2011 to
2019 MHI
Change
2011 to
2019 MHI
CAGR
Solvang 2,358 3,070 712 3.35% $61,133 $83,431 22,298 3.96% Santa Barbara
County
195,736 213,438 17,702 1.09% $61,896 $74,624 12,728 2.37% Solvang’s Ten Largest Principal Employers: Fiscal Year Ended June 30, 2021 Employer Name Number of
employees
Rank % of total City
employment
Industry
Alisal Guest Ranch
& Resort
326 1 10.87% Arts, entertainment, and recreation, and
accommodation and food services
Atterdag Village 163 2 5.43% Health care and social assistance New Frontiers
Market
107 3 3.57% Retail trade, and accommodation and food
services
Santa Ynez
Cottage Hospital
88 4 2.93% Health care and social assistance
Landsby/Mad &
Vin
69 5 2.30% Accommodation and food services
Solvang Unified
School District
68 6 2.27% Educational services
Valley Fresh
Market
62 7 2.17% Retail trade, and accommodation and food
services
Solvang Brew 51 8 1.70% Accommodation and food services; manufacturing
Hotel Corque 38 9 1.27% Accommodation and food services Nielsen Building
Materials
27 10 0.90% Wholesale and retail trade
Source: City of Solvang Annual Comprehensive Financial Report, 2021 Key Characteristics of these employers are as follows:
• Hospitality/food service, healthcare, and retail trade industries dominate the local economy from the standpoint of major private-sector employers.
• Hospitality/food service employers: Alisal Guest Ranch & Resort, Mad & Vin, Hotel Corque, and Solvang Brew (also a beverage manufacturer) are the primary dollar-importing businesses among those on the list.
• The School District is the largest public-sector employees. • These major employers, taken together, constitute almost a third of total employment in Solvang
148

FINANCIAL POLICIES

STRATEGIC GOALS & FINANCIAL PLANNING
A. Strategic Plan
The City will establish a Strategic Plan setting forth the long-term vision and strategic direction for the City of Solvang. The Strategic Plan will provide a long-term perspective for service delivery and budgeting, thus establishing links between authorized spending and broad organizational goals.

B. Financial Plan
Through the process of financial plan development, the City will:

1. Identify community service level needs for essential services

2. Establish financial plan goals in alignment with community vision and the Strategic Plan

3. Identify available resources and organize programs required to provide these services

4. Identify program activities, program objectives, and establish program policies to deliver desired outcomes

5. Set standards to measure and evaluate performance

BUDGET MONITORING
The City will formally review the City’s fiscal condition, and amend appropriations if necessary, at mid-point after the beginning of each financial plan.

LONG-TERM FINANCIAL PLANNING
A. Fiscal Forecasts
The City will evaluate long-term structural budget balance through development of five-year forecasts for all major operating funds, Capital Improvement Program, and Debt Service. The five-year forecasts will be analyzed and updated with each financial plan for most current trends in revenues and expenditures.

B. Balanced Budget
The City will maintain a balanced budget for the Financial Plan. The budget is balanced when:
149

1. The sum of estimated revenues and appropriated Fund Balances/Net Position is equal to appropriations.

2. Operating Revenues and Transfers-In must fully cover Operating Expenditures/ Expenses, including debt service and Transfers-Out. Operating Expenditures/Expenses for the purposes of balancing the annual budget shall include that year’s contribution to capital Funds deemed required to maintain existing assets. Further, Operating Expenditures/ Expenses shall include the portion of Funds required to maintain the viability of internal service Funds for the purposes in which they were created.

3. Minimum reserves policy levels must be maintained.

4. The balancing of Operating Revenues and Operating Expenditures (as defined above) is a goal that should be applied over a period of time which extends beyond current appropriations. Temporary shortages or operating deficits can and do occur, but they shall not be tolerated as extended trends.

C. Appropriations of One-Time Funds
One-time funds should only be applied to one-time appropriations.

One-time funds are defined as:
a) Over-realized revenues and expenditures savings between the budgeted appropriations and actual revenue and expenditures.
b) Fund reserves above minimum policy requirements
One-time appropriations are defined as:
a) Investment in Capital Improvement Program
b) Paying down unfunded liabilities
c) Appropriations toward short-term initiatives in alignment with long-term strategic goals

FUND BALANCE RESERVE/ WORKING CAPITAL
Fiscal stability is an important factor to the City. The City desires to maintain a prudent level of financial resources to guard its stakeholders against service disruptions in the event of unexpected temporary revenue shortfalls or unpredicted one-time expenses. In addition, this policy is intended to document the appropriate reserve level to protect the City’s credit worthiness.
150
A. General Fund

1. The City shall maintain a Contingency General Fund Balance Reserve of 50% to address unanticipated, non-reoccurring needs. It is the intent of the City to limit the use of the Contingency Reserve. Reserves shall not normally be applied to recurring annual operating expenditures. Reserves may, however, be used to allow time for the City to restructure its operations in a deliberate manner (as might be required in an economic downturn), but such use will only take place in the context of an adopted long-term plan.

2. The City shall establish and maintain a Capital Improvement Program (CIP) reserve equal to 50% of the total CIP expenditures planning over a five-year period. City shall revenue the funding level annually.

3. The City’s top two General Fund revenues are Transient Occupancy Tax (TOT) and Sales Tax. These revenues constitute approximately 65% of the General Fund total revenue.

The City shall set-up a General Fund Revenue Stabilization Reserve to smooth out impacts of economic fluctuations. In any fiscal year where TOT & Sales tax actual revenues are over-realized by more than 3% of budgeted amount and the amount collected is higher by 3% of the five-year preceding historic average, the City shall consider setting aside the over-realized revenue in the General Fund Revenue Stabilization Reserve.

B. Enterprise Funds: Water Fund & Sewer Fund
Enterprise funds are a proprietary fund type used to report an activity for which a fee is charged to external users for goods or services. The City shall apply one-time over-realized revenues and expenditure savings in a fiscal year toward building a working capital reserve to a minimum level of Working Capital in Enterprise Funds equivalent to six months of regular, ongoing operating expenses (except for Transit fund). The City shall achieve this reserve goal by Fiscal Year 2025-26.

CAPITAL IMPROVEMENT PROGRAM FUNDING
The City is committed to maintain the civic assets it already has in place. The City will add new assets or upgrade existing assets to accommodate the City’s long-term strategic goals and Council adopted plans, growth, and future public needs. The City will implement a formal and integrated with the Financial Planning approval process for projects in the long-term financial plan.
151
The City will develop and integrate a long-term Capital Improvement Plan funding plan with Financial Planning process and fiscal forecasts. The City’s Capital Improvement Funding Plan will include:

1. Capital Improvement Program Fund which will set aside funds for Capital Improvement Program current and future funding needs.

2. Capital Improvement Program funding needs will include replacement and maintenance of existing assets and addition of new assets in alignment with the City Council policies and adopted plans.

3. When considering any new asset, the City will carefully consider its financial ability to operate and maintain the asset.

DEBT FINANCING
The City will consider the use of debt financing for one-time capital improvement project only when the project’s useful life will exceed the term of the financing. Additionally, the City will adhere to the following policies when evaluating debt financing feasibility:

1. Debt Financing Revenue Sources
Capital improvements will be financed primarily through user fees, services charges, assessments, special taxes, land-based financings, or developer agreements when benefits can be specifically attributed to users of the facility. Accordingly, development impact fees should be created and implemented at levels sufficient to ensure that new development pays its fair share of the cost of constructing necessary community facilities.

2. Debt Capacity
a) General Purpose Debt Capacity:

The City will carefully monitor its levels of general-purpose debt. Because the general purpose debt capacity is limited, it is important that the City only use general purpose debt financing for high-priority projects where the City cannot reasonably use other financing methods.
b) Enterprise Funds Debt Capacity:

The City will set enterprise fund rates at levels needed to fully cover debt service requirements as well as operations, maintenance, administration and capital improvement costs.
152

FIVE-YEAR FUND FORECASTS
153

GENERAL FUND FORECAST
The General Fund is the primary operating fund of a government. The City of Solvang general fund revenues are derived from Transient Occupancy Taxes, Sales Tax, Property Tax, Fees for Services, Overhead Contributions from the Enterprise Funds, Interest Income and Transfers from Special Revenue Funds.

The General Fund revenues fund the general operating government activities as well as the capital improvement and infrastructure needs not otherwise funded through business activities of Enterprise Funds.

FORECAST
COVID-19 has had a large impact on the City’s General Fund. Approximately 50% of the City’s General Fund revenue comes from Transient Occupancy Tax. In March 2020, stay-at-home orders were enacted and Solvang’s TOT revenues grinded to a halt. The spring and summer months are very popular times for tourists to visit Solvang and the impact was substantial. In all, the City lost approximately $2 million in TOT revenues.

In Fiscal Year 2019-20 significant budgetary reductions were implemented contracting City operations to essential services only. This resulted in significant re-organization and elimination of positions within the General Fund to achieve savings, per Council policy direction.

Fortunately, Solvang’s tourism economy has rebounded well and current Fiscal Year 2021-22 TOT and sales tax receipts are expected to be a record high with TOT at approximately $5 million and sales tax at approximately $2 million in receipts. Another source of assistance the City received is funding from the American Rescue Plan. Solvang is scheduled to receive $1.3 million in total. Half of the funds have already been received and another half is expected to be received at the beginning of next fiscal year. As a result of the improving tourism economy, and stimulus support, the proposed budget is balanced meaning that ongoing revenues meet ongoing expenditures.

The General Fund graph below shows the actual revenue and expenditure trends from Fiscal Year 2016-17 through current, the proposed Fiscal Year 2022-23 and FY2023-24 Budgets, and a forecast forward through Fiscal Year 2025-26. In summary, the projections show that the General Fund is structurally balanced to fund ongoing essential services with ongoing revenues. The graph below shows Revenue in blue, Expenditures in orange, and Fund Balance in grey.

The expenditure assumptions include recommended organizational changes as presented in this report.

Expenditures also include Capital Improvement Assumptions.

The revenues include impacts of COVID-19 and anticipated levels of recovery. Revenue assumptions also include one-time funding from American Rescue Plan in the amount of $1.3M.

Even though this forecast continuesto show a strong fiscal position and long-term fiscal health, the fund balance steadily declines throughout the forecasted timeframe due to one-time investments in infrastructure. This forecast also does not include impacts of the uncertainties. The City should continue to manage General Fund expenditures vigilantly and look for opportunities to increase revenues via economic development and increases in taxes and fees. The following uncertainties should be recognized when making policy decisions:
154

1. Economic outlook is uncertain due to recovery from COVID-19 and fuel prices spiking inflation.

Inflation can cause significant unanticipated increases in both operating costs and Capital Improvement Projects.

2. CalPERS (City’s Pension provider along with majority of California cities) unfunded liabilities and stability of the fund continue to be a concern. The City’s unfunded liability for pensions is $5 million and for retiree health $2 million. As CalPERS continues to stabilize the fund through policies, the City will continue to see increases in required payments.

3. The City is currently performing a comprehensive update of the General Plan to setting the path and vision for the next 20 years. The policy decisions will influence the City’s framework and influence infrastructure planning.

FORECAST ASSUMPTIONS HIGHLIGHTS

REVENUE
Transient Occupancy Tax, Sales Tax, and Property Tax constitute approximately 80% of all General Fund revenues.

Transient Occupancy Tax (TOT): Transient Occupancy Tax is approximately 50% of the total General Fund revenues. Occupancy tax total revenue collected decreased at an average rate of 1.6% over the last five fiscal years. This decrease is due to the 26% decrease experienced in Fiscal Year 2019-20 when stay-at-home orders forced hotels to be closed during the COVID-19 pandemic. Forecasts are positive as tourism has rebounded $-
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
$14,000,000
$16,000,000
General Fund Forecast
Revenue Total Expenditure Operating Expenditure
Capital Expenditure Fund Balance
155
steadily over the past year. In fact, current fiscal year TOT is expected to be record high exceeding pre-COVID levels.

The graph below shows TOT growth by year.

Tourists come to Solvang throughout the entire year, but especially during the summer months. The following graph shows TOT cash collections by year. The TOT cash collections show seasonality with higher TOT revenue in the summer months versus the winter season.

As visible in the chart, COVID-19 had a significant impact on City revenues during FY19-20. In all, the City lost approximately $2 million in TOT revenues due to the stay-at-home closures attributed to the COVID-19 pandemic.
-30.00%
-20.00%
-10.00%

0.00%

10.00%

20.00%

30.00%
0 1,000
2,000
3,000
4,000
5,000
6,000
Percent
$ in thousands
Fiscal Year
Transient Occupancy Tax
Occupancy Tax Occupancy Tax % change
156
Sales Tax: Sales Tax is approximately 16% of the total General Fund revenues. Sales Tax total revenue collected has been increasing at an average rate of 6.2% over the last five fiscal years.

The graph below shows Sales Tax growth by year and by category of activity. Sales tax was impacted during the stay-at-home closures of COVID-19 but rebounded strongly once visitors began returning to Solvang. $-
$100,000.00
$200,000.00
$300,000.00
$400,000.00
$500,000.00
$600,000.00
7/09
12/09
5/10
10/10
3/118/111/126/12
11/12
4/139/132/147/14
12/14
5/15
10/15
3/168/161/176/17
11/17
4/189/182/197/19
12/19
5/20
10/20
3/21
Transient Occupany Tax - Monthly Cash Collections
FY 2009-10 through FY 2020-21
-15.00%
-10.00%
-5.00%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

30.00%
0 500
1,000
1,500
2,000
2,500
Percent
$ in thousands
Fiscal Year
Sales Tax
Sales Tax Sales Tax % change
157
The following graph shows annual Sales tax collected and annual Sales Tax collected adjusted for inflation.

Property Tax: Property Tax is approximately 16% of the total General Fund revenues. Property Tax total revenue collected has been increasing at an average rate of 3.2% over the last five fiscal years.

The graph below shows property tax growth by year.
-
200,000
400,000
600,000
800,000
1,000,000
1,200,000
1,400,000
1,600,000
1,800,000
2,000,000
Solvang 2022Q1 History Chart
Annualized Sales Tax Annualized Sales Tax (Inflation Adjusted) -6.00%
-4.00%
-2.00%

0.00%

2.00%

4.00%

6.00%

8.00%
0 200
400
600
800
1,000
1,200
1,400
1,600
1,800
Percent
$ in thousands
Fiscal Year
Property Taxes
Property Tax Property Tax % change
158
The City also receives additional revenues from its various fees for services, including franchise fees, business certificates, planning and building fees, recreation fees and public works permitting fees. Collectively, these fees for services amount to approximately $615,000 each year.

The following graph details the sources included in the Fees for Services revenue categories, which includes a slight increase in 2021-22 versus 2020-21.

EXPENDITURE
The table below shows the top five General Fund operating expenditures by category as a percent of total General Fund allocations based on the actual FY 2020-21 amounts, budgeted FY 2021-22 amounts and proposed budgets for FY 2022-23 and FY 2023-24.

General Fund Operating Expenditures
Actual (FY20/21) Adopted Budget
(FY21/22)
Proposed Budget
(FY22/23)
Proposed
Budget
(FY23/24)
Salaries & Benefits 24% 30% 22% 28%
County Contracted Services 29% 27% 22% 27%
Services 23% 21% 14% 16%
Tourism 11% 10% 8% 9%
Utilities 4% 3% 2% 2%
0 50,000
100,000
150,000
200,000
250,000
300,000
Franchise Fees Business Certs/Fees Planning/Building Fees Recreation Fees PW Permit Fees Fees for Services
2020-21 2021-22 2022-23 2023-24
159
Expenditure Assumptions
The following categories in the General Fund Expenditures carry the most significant impacts on the General Fund net financial position.

Pension Unfunded Liability
The City provides employees with pension benefits through a contract with California Public Employee’s Retirement System (CalPERS). In 2016, the CalPERS Board adopted a policy with a lower anticipated rate of return, thus significantly increasing required pension contributions to the City. The amount required to be paid toward unfunded liabilities to CalPERS will grow from $262 thousand in Fiscal Year 2019-20 to $416 thousand in Fiscal Year 2024-25. Rates will continue to increase through fiscal year 2026-27 and additional increases may apply based on CalPERS Board policy decisions to address unfunded liabilities.

County Contracted Services
The City of Solvang contracts with the County of Santa Barbara for Law Enforcement, Library, and Animal Services. For Fiscal Year 2021-22, the Santa Barbara County Sheriff’s office presented increases ranging from 30 to 40 percent to the contract cities. The cities had disputed the increase due to unreasonable changes to the calculation methodology and settled the dispute at about half of the proposed increase. For Fiscal Year 2022-23, the Sheriff's Office presented another significant increase which is currently under dispute. The comparative costs have increased from Fiscal Year $1.8 million two years ago, to $2.1 million in the current fiscal year, and proposed $2.5 million for Fiscal Year 2022-23 by the Sheriff’s Department.

Capital Improvement Program (CIP)
The City adopts a 10-Year Capital Improvement Program plan annually. The CIP is developed along with the operating budget process to meet the City’s overall priories in alignment with short and long-term plans and fiscal considerations. This forecast includes assumptions for CIP allocations based on the presented CIP plan.

The proposed Fiscal Year 2021-22 Budget includes several studies to assess the CIP infrastructure needs. The proposed Capital Improvement Program for Fiscal Year 2022-24 Financial Plan is aligned with City Council Goals. Projects include Water and Wastewater facilities upgrades and maintenance, traffic migration and road improvements, parking structure study, and improvements to parks.

Salary & Benefits Operating Expenditures
The forecast assumes 3% annual increases in Salaries & Benefits in the outer years, which would include Cost of Living Increases, general increases in healthcare and other insurance and step-increases.

Other Operating Expenditures
The forecasts assume 3% inflation on cost of operating expenditures. 160

WATER ENTERPRISE FUND FORECAST
The Water Enterprise Fund is a proprietary type of fund used to report an activity for which a fee is charged to external users for goods or service. The Water Fund revenues are derived from water charges for providing the services. The City of Solvang has conducted a water rate study during FY 2021-22, which was approved by the City Council in June 2022. The new rates will take effect August 1, 2022. The following forecasts reflect these proposed rate increases. Previously, the City of Solvang water fees have not been raised since 2016.

FORECAST
The Water Fund is experiencing a few different stresses at the current time. The Solvang City Council declared a Stage One Drought in the City in April 2021, and a stage two drought in August 2021. The State of California has experienced another dry spring season and reservoir levels are low and will continue to deplete during the summer months. Solvang relies primarily on State water and local wells for its water supply. For calendar year 2021, Solvang received a historic low 5% allocation of State water, which matches the previous all-time 161
historic low. As a result, City Council approved a purchase of $400,000 of supplementary water in Fiscal Year 20-21 and another $675,000 purchase of supplemental water in Fiscal Year 2021-22, negatively impacting the Water Fund. Furthermore, the State is indicating that conditions may continue to worsen. The City of Solvang local water supply from wells is not sufficient to cover the water usage demand. Only about half of the City’s water usage is derived from local sources. On a positive note, the City will have paid off the long-term debt through the Central Coast Water Authority Bond, which was a long-term infrastructure debt payable to the State. This will result in ongoing expenditure savings of approximately $800,000 starting in Fiscal Year 2022-

23. The City is also enrolled in a process to purchase additional Table-A water through an agreement with the County and several other jurisdictions. The timing of purchase is unknown at this time and the City holds $800,000 in reserves for this purchase. This amount was a transfer of General Fund dollars to the water fund.

The Water Fund graph below shows the actual revenue and expenditure trends from Fiscal Year 2016-17 through current, the proposed Fiscal Year 2021-22 Budget, and a forecast forward through Fiscal Year 2024-

25. In summary, the water fund revenues are no longer projected to meet ongoing expenditures unless proposed rate increases are adopted. Capital improvement needs outlined in the CIP section of this budget and drought conditions place further burden on the fund and will deplete the fund balance within the forecasted timeframe.

The graph below shows the Water Fund forecast with water rates increases. $(6,000,000)
$(4,000,000)
$(2,000,000)
$-
$2,000,000
$4,000,000
$6,000,000
$8,000,000
$10,000,000
$12,000,000
2017-2018 2018-2019 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 2024-2025 2025-2026 2026-2027 Water Fund Forecast
Revenue Total Expenditure Operating Expenditures Capital Improvement Program Fund Balance 162

FORECAST ASSUMPTIONS HIGHLIGHTS

REVENUE
Water charges are the funding source for the Water Fund. Enterprise funds are business activity funds that are structurally balanced by funding all operating and capital expenditures through charges to customers. General Fund allocations can be applied to fund Enterprise Funds activities, but this practice limits the availability of General Fund sources to provide with general governmental activity core services both for operations and investment in capital. In the past the City of Solvang allocated General Fund dollars to fund the Water Fund activities. For example, in Fiscal-Year 2018-19, the General Fund contributed to the Water Fund $405 thousand for the Water Meter Replacement Project.

EXPENDITURE
The table below shows the top four Water Fund operating expenditures by category as a percent of total Water Fund allocations based on the actual FY 2020-21 amounts, budgeted FY 2021-22 amounts and proposed budgets for FY 2022-23 and FY 2023-24.

Water Fund Operating Expenditures
Actual (FY20/21) Adopted Budget
(FY21/22)
Proposed Budget
(FY22/23)
Proposed Budget
(FY23/24)
Utilities 67% 58% 38% 42%
Salaries & Benefits 9% 10% 10% 10%
Services 4% 3% 4% 3%
-15.00%
-10.00%
-5.00%

0.00%

5.00%

10.00%

15.00%
0 1,000
2,000
3,000
4,000
5,000
6,000
7,000
Percent
$ in thousands
Fiscal Year
Water Revenue
Water Revenue Water Revenue % change
163
Expenditure Assumptions
The following categories in the Water Fund carry the most significant impacts on the Water Fund net financial position.

State and Purchased Water Payments
The forecast is based on State water payment forecast developed by the Central Coast Water Authority. The Central Coast Water Authority forecast is based on costs associated with the State water delivery system to the City.

Capital Improvement Program (CIP)
The City adopts a 10-Year Capital Improvement Program plan annually. This forecast includes assumptions for CIP allocations based on the presented CIP plan.

The proposed Fiscal Year 2022-24 Financial Plan includes several studies to assess the CIP infrastructure needs.

The next financial plan forecast will be adjusted based on the results of the studies and the General Plan Update.

Current inflation trends pose potential significant risk that CIP expenditures will rise above budget.

Pension Unfunded Liability
The City provides employees with pension benefits through a contract with California Public Employee’s Retirement System (CalPERS). In 2016, the CalPERS Board adopted a policy with a lower anticipated rate of return, thus significantly increasing required pension contributions to the City. The amount required to be paid toward unfunded liabilities to CalPERS will grow from $262 thousand in Fiscal Year 2019-20 to $416 thousand in Fiscal Year 2024-25. Rates will continue to increase through fiscal year 2026-27 and additional increases may apply based on CalPERS Board policy decisions to address unfunded liabilities.

Salary & Benefits Operating Expenditures
The forecast assumes 3% annual increases in Salaries & Benefits and operating expenditures, which would include Cost of Living Increases, general increases in healthcare and other insurance and step-increases.

Current inflation trends could significantly impact operating expenditures. Staff will monitor trends closely throughout the year.
164

WASTEWATER ENTERPRISE FUND FORECAST
The Wastewater Enterprise Fund is a proprietary type of fund used to report an activity for which a fee is charged to external users for goods or services. The Wastewater Fund revenues are derived from wastewater charges for providing the services. The City of Solvang has conducted a wastewater rate study during FY 2021- 22, which was approved by the City Council in June 2022. The new rates will take effect August 1, 2022. The following forecasts reflect these proposed rate increases. The City of Solvang wastewater fees have not been structurally updated since 2011 and are as follows:

FORECAST
The Wastewater Fund is experiencing significant stresses at the current time. Mainly, these stresses are related to capital expenses needing to take place at the Wastewater Treatment Plant. The most critical improvement was completed in the current fiscal year upgrading the Plant’s aeration system (Phase 1). After conducting an RFP, bids came in higher than expected with the low bid at $2,829,200. The Wastewater Fund balance was not sufficient to fund this project. In order to fund the project, the City drew a budget adjustment of $802,000 from the Vehicle Equipment Pool Fund. Despite this transfer, the fund balance reserves have been exhausted and the fund is overcommitted (negative fund balance) starting in FY 2021-22.

City Council approved moving forward with Phase 2, which is a major upgrade to the facility planning for the next 20 to 30 years. Council also approved Phase 3 as a minimal upgrade to allow for future upgrades for recycled water.

The Wastewater Fund graph below shows the actual revenue and expenditure trends from Fiscal Year 2017-18 through current, the proposed Fiscal Year 2022-23 and Fiscal Year 2023-24 Budgets, and a forecast forward through Fiscal Year 2026-27.

In summary, the Wastewater revenues are not sufficient to cover ongoing operating expenditures. Moreover, significant needs to upgrade critical infrastructure show an over $20 million budget gap by Fiscal Year 2024-25.

The proposed budget is IMBALANCED for this major operating fund and needs to be addressed immediately.

The City conducted a rate study in the current fiscal year. The proposed utility rate increases will provide with 165
sufficient revenues to address the negative fund balance and pay for operating and capital improvement expenditures. Significant capital improvement projects such as the WWTP Upgrade Project for Phases 2 and 3 are assumed to be debt financed in the rate study to smooth out rate increases over time. With debt financing, the Fund is balanced where the proposed rate increases will pay for the debt payments and the fund balance will be maintained at no less than six months of operating expenditures per adopted fiscal policy.

FORECAST ASSUMPTIONS HIGHLIGHTS

REVENUE
Wastewater charges: are the funding source for the Wastewater Fund. Enterprise funds are business activity funds that are structurally balanced by funding all operating and capital expenditures through charges to customers.
$(30,000,000)
$(25,000,000)
$(20,000,000)
$(15,000,000)
$(10,000,000)
$(5,000,000)
$-
$5,000,000
$10,000,000
$15,000,000
2018-2019 2019-2020 2020-2021 2021-2022 2022-2023 2023-2024 2024-2025 2025-2026 2025-2026 Wastewater Fund Forecast
Revenue Total Expenditure Operating Expenditure
Capital Improvement Program Fund Balance
166

EXPENDITURE
The table below shows the top three Wastewater Fund operating expenditures by category as a percent of total Wastewater Fund allocations based on the actual FY 2020-21 amounts, budgeted FY 2021-22 amounts and proposed budgets for FY 2022-23 and FY 2023-24.

Wastewater Fund Operating Expenditures
Actual (FY20/21) Adopted Budget
(FY21/22)
Proposed Budget
(FY22/23)
Proposed Budget
(FY23/24)
Salaries & Benefits 30% 32% 23% 18%
Utilities 15% 12% 8% 6%
Services 13% 8% 6% 5%
Expenditure Assumptions
The following categories in the Wastewater Fund carry the most significant impacts on the Wastewater Fund net financial position.

Capital Improvement Program (CIP)
The City adopts a 10-Year Capital Improvement Program plan annually. This forecast includes assumptions for CIP allocations based on the presented CIP plan.

The proposed Fiscal Year 2021-22 Budget includes several studies to assess the CIP infrastructure needs. The next financial plan forecast will be adjusted based on the results of the studies and the General Plan Update. -20.00%
-10.00%

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%
0 500
1,000
1,500
2,000
2,500
3,000
3,500
4,000
Percent
$ in thousands
Fiscal Year
Wastewater revenue
Sewer revenue Revenue % change
167
Pension Unfunded Liability
The City provides employees with pension benefits through a contract with California Public Employee’s Retirement System (CalPERS). In 2016, the CalPERS Board adopted a policy lower anticipated rate of return, thus significantly increasing required pension contributions to the City. The amount required to be paid toward unfunded liabilities to CalPERS will grow from $262 thousand in Fiscal Year 2019-20 to $416 thousand in Fiscal Year 2024-25. Rates will continue to increase through fiscal year 2026-27 and additional increases may apply based on CalPERS Board policy decisions to address unfunded liabilities.

Salary & Benefits Operating Expenditures
The forecast assumes 3% annual increases in Salaries & Benefits, which would include Cost of Living Increases, general increases in healthcare and other insurance and step-increases. 168

REVENUES & EXPENDITURES

BY FUND
169
Fund Balances
General Fund Water Wastewater Transit Gov't. Impact
Fees
Traffic
Safety Gas Tax
100 500 501 502 200 201 202
Fund Balance as of 6/30/20
(unrestricted) $ 5,417,841.00 $ 6,995,046.83 $ 3,152,961.34 $ 1,684,596.57 $ 2,114,547.00 $ 4,795.51 $ 149,546.45 FY 20-21 (actual)
+Revenues $ 8,877,746.19 $ 5,136,053.38 $ 1,917,191.81 $ 998,642.28 $ 262,242.08 $ 5,246.43 $ 228,701.93 -Expenditures $ 7,589,019.00 $ 5,352,196.34 $ 2,173,946.76 $ 1,029,085.93 $ 776,487.00 $ 8,050.00 $ 118,122.00 Capital Expenses $ 526,726.00 $ 204,899.00 $ 2,776,794.00 $ 26,913.50 $ 190,000.00 Fund Balance as of 6/30/21 $ 6,179,842.19 $ 6,574,004.87 $ 119,412.39 $ 1,627,239.42 $ 1,410,302.08 $ 1,991.94 $ 260,126.38 FY 21-22 (budgeted)
+Revenues $ 8,960,557.00 $ 4,682,110.00 $ 1,798,920.00 $ 942,199.00 $ 46,963.00 $ 5,050.00 $ 268,487.00 -Expenditures $ 9,178,485.00 $ 5,323,757.00 $ 2,531,162.00 $ 1,101,309.00 $ 10,000.00 $ 5,050.00 $ 118,122.00 Capital Expenses $ 1,415,000.00 $ 480,000.00 $ 150,000.00 $ 160,000.00 $ 72,000.00 $ - $ 310,000.00 Fund Balance as of 6/30/22 $ 4,546,914.19 $ 5,452,357.87 $ (762,829.61) $ 1,308,129.42 $ 1,375,265.08 $ 1,991.94 $ 100,491.38 FY 22-23 (preliminary) *See note below
+Revenues $ 10,977,833.00 $ 5,302,270.00 $ 2,363,378.00 $ 1,213,468.00 $ 23,312.00 $ 5,050.00 $ 268,487.00 -Expenditures $ 9,091,610.00 $ 5,590,043.00 $ 2,743,050.00 $ 1,444,193.00 $ 10,000.00 $ 5,050.00 $ 118,122.00 Capital Expenses $ 3,160,000.00 $ 1,290,000.00 $ 960,000.00 $ 300,000.00 $ - $ - $ 250,000.00 Fund Balance as of 6/30/23 $ 3,273,137.19 $ 3,874,584.87 $ (2,102,501.61) $ 777,404.42 $ 1,388,577.08 $ 1,991.94 $ 856.38 FY 23-24 (preliminary)
+Revenues $ 10,069,974.00 $ 5,611,225.00 $ 2,736,434.00 $ 1,213,468.00 $ 23,312.00 $ 5,050.00 $ 268,487.00 -Expenditures $ 9,090,284.00 $ 4,928,447.00 $ 2,759,689.00 $ 1,119,193.00 $ 10,000.00 $ 5,050.00 $ 118,122.00 Capital Expenses $ 1,165,000.00 $ 1,730,000.00 $ 2,010,000.00 $ 215,000.00 $ - $ - $ 150,000.00 Fund Balance as of 6/30/24 $ 3,087,827.19 $ 2,827,362.87 $ (4,135,756.61) $ 656,679.42 $ 1,401,889.08 $ 1,991.94 $ 1,221.38 * These numbers reflect that the Wastewater Treatment Plant (WWTP) upgrade will require financing.

FUND
170
Local
Transportation Measure A Skytt Mesa Vehicle Equipment Pool OPEB Trust Fund SYV TBID 203 204 205 600 650 700
Fund Balance as of 6/30/20
(unrestricted) $ 198,073.76 $ 550,457.65 $ 334,276.30 $ 2,154,538.00 $ 814,801.34 $ 21,828.23 FY 20-21 (actual)
+Revenues $ 170,616.64 $ 449,472.02 $ 215,237.74 $ 154,887.77 $ 85,000.00 $ 375,004.00 -Expenditures $ 50,000.00 $ 13,960.72 $ 197,377.00 $ 865,055.61 $ - $ 309,944.80 Capital Expenses
Fund Balance as of 6/30/21 $ 318,690.40 $ 985,968.95 $ 352,137.04 $ 1,444,370.16 $ 899,801.34 $ 86,887.43 FY 21-22 (budgeted)
+Revenues $ 84,725.00 $ 396,281.00 $ 220,524.00 $ 224,802.00 $ 85,000.00 $ 470,000.00 -Expenditures $ 35,000.00 $ 3,000.00 $ 221,650.00 $ 130,000.00 $ - $ 480,000.00 Capital Expenses $ - $ 1,218,000.00 $ -
Fund Balance as of 6/30/22 $ 368,415.40 $ 161,249.95 $ 351,011.04 $ 1,539,172.16 $ 984,801.34 $ 76,887.43 FY 22-23 (preliminary)
+Revenues $ 84,725.00 $ 466,753.00 $ 220,524.00 $ 225,338.00 $ 85,000.00 $ 470,000.00 -Expenditures $ 35,000.00 $ 33,000.00 $ 221,650.00 $ 325,000.00 $ 480,000.00 Capital Expenses $ - $ 468,000.00
Fund Balance as of 6/30/23 $ 418,140.40 $ 127,002.95 $ 349,885.04 $ 1,439,510.16 $ 1,069,801.34 $ 66,887.43 FY 23-24 (preliminary)
+Revenues $ 84,725.00 $ 510,174.00 $ 220,524.00 $ 225,338.00 $ 85,000.00 $ 470,000.00 -Expenditures $ 35,000.00 $ 33,000.00 $ 221,650.00 $ 165,000.00 $ 480,000.00 Capital Expenses $ 250,000.00 $ 593,000.00
Fund Balance as of 6/30/24 $ 217,865.40 $ 11,176.95 $ 348,759.04 $ 1,499,848.16 $ 1,154,801.34 $ 56,887.43 FUND
171
Revenue and Expenditure by Fund:

Summary of All Funds
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024

REVENUE
100- General Fund $ 8,877,746 $ 8,960,557 $ 10,977,833 $ 10,069,974 200- Government Impact Fees $ 262,242 $ 46,963 $ 23,312 $ 23,312 201- Traffic Safety $ 5,246 $ 5,050 $ 5,050 $ 5,050
202- Gas Tax $ 228,702 $ 268,487 $ 268,487 $ 268,487
203- Local Transportation $ 170,617 $ 84,725 $ 84,725 $ 84,725 204- Measure A $ 449,472 $ 396,281 $ 467,346 $ 510,174
205- Skytt Mesa $ 215,238 $ 220,524 $ 220,524 $ 220,524 300- Capital Projects Fund $ 742,624 $ 2,996,100 $ 3,879,100 $ 2,159,100 500- Water $ 5,136,053 $ 4,682,110 $ 5,302,270 $ 5,611,225 501- Wastewater $ 1,917,192 $ 1,798,920 $ 2,363,378 $ 2,736,434 502- Transit $ 971,728 $ 942,199 $ 1,213,468 $ 1,213,468 600- Vehicle Equipment Pool $ 154,888 $ 224,802 $ 225,338 $ 225,338 650- OPEB Trust Fund $ - $ 85,000 $ 85,000 $ 85,000
700- SYV TBID $ 375,004 $ 470,000 $ 470,000 $ 470,000
803- Water Capital Projects $ 1,655,173 $ 480,000 $ 1,290,000 $ 1,730,000 804- WWTP Capital Projects $ 26,914 $ 150,000 $ 960,000 $ 2,010,000 805- Transit Capital Projects $ - $ 160,000 $ 300,000 $ 215,000 TOTAL $ 21,188,838 $ 21,971,718 $ 28,135,831 $ 27,637,810

EXPENSE
100- General Fund $ 7,589,019 $ 9,178,485 $ 12,251,610 $ 10,255,284 200- Government Impact Fees $ 776,487 $ 10,000 $ 10,000 $ 10,000 201- Traffic Safety $ 8,050 $ 5,050 $ 5,050 $ 5,050
202- Gas Tax $ 118,122 $ 118,122 $ 368,122 $ 268,122
203- Local Transportation $ 50,000 $ 35,000 $ 35,000 $ 285,000 204- Measure A $ 13,961 $ 3,000 $ 501,000 $ 626,000
205- Skytt Mesa $ 197,377 $ 221,650 $ 221,650 $ 221,650 300- Capital Projects Fund $ 744,273 $ 2,995,000 $ 3,878,000 $ 2,158,000 500- Water $ 5,352,196 $ 5,803,757 $ 6,880,043 $ 6,658,447 501- Wastewater $ 2,173,946 $ 2,681,162 $ 3,703,050 $ 4,769,689 502- Transit $ 1,002,172 $ 1,101,309 $ 1,444,193 $ 1,334,193 600- Vehicle Equipment Pool $ 865,056 $ 130,000 $ 325,000 $ 165,000 650- OPEB Trust Fund $ - $ - $ - $ -
700- SYV TBID $ 309,945 $ 480,000 $ 480,000 $ 480,000
803- Water Capital Projects $ 852,173 $ 480,000 $ 1,290,000 $ 1,730,000 804- WWTP Capital Projects $ 26,914 $ 150,000 $ 960,000 $ 2,010,000 805- Transit Capital Projects $ - $ 160,000 $ 300,000 $ 215,000 TOTAL $ 20,079,689 $ 23,552,535 $ 32,652,718 $ 31,191,435 NET $ 1,109,149 $ (1,580,817) $ (4,516,886) $ (3,553,625) 172
Revenue and Expenditure by Fund:
100 - General Fund
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Occupancy Tax $ 4,079,754 $ 3,632,629 $ 4,677,010 $ 4,770,550 Sales Tax $ 1,606,443 $ 1,419,000 $ 1,954,600 $ 2,021,200 Property Tax $ 1,541,836 $ 1,474,254 $ 1,464,254 $ 1,474,254 Other Taxes $ - $ - $ - $ -
Fees for Services $ 615,105 $ 486,805 $ 612,055 $ 612,055 Rental/Lease Income $ (4,452) $ 5,000 $ 5,000 $ 5,000
Grants $ 230,439 $ 1,089,355 $ 1,089,355 $ 211,355
Miscellaneous $ 50,371 $ 10,200 $ 10,200 $ 10,200
Donations $ 8,780 $ 1,800 $ 1,800 $ 1,800
Overhead Contributions $ 541,109 $ 557,342 $ 696,388 $ 696,388 Events $ (950) $ 14,000 $ 14,000 $ 14,000
Interest Income $ 6,849 $ 47,000 $ 40,000 $ 40,000
Reimbursements/Transfers $ 202,461 $ 223,172 $ 413,172 $ 213,172 TOTAL $ 8,877,746 $ 8,960,557 $ 10,977,833 $ 10,069,974 Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Fees for Services $ - $ 6,000 $ 6,000 $ 6,000
Salaries & Benefits $ 1,531,554 $ 2,401,536 $ 2,884,604 $ 2,976,458 CalPERS UAL $ 125,716 $ 178,366 $ 112,642 $ 123,264
CALPERS Normal $ 64,936 $ 115,589 $ 138,013 $ 152,294
OPEB Trust $ 70,000 $ 56,596 $ 56,596 $ 56,596
Supplies $ 121,543 $ 198,279 $ 212,279 $ 202,279
Repairs & Maintenance $ 125,280 $ 157,126 $ 188,826 $ 188,826 Equipment $ 23,964 $ 25,149 $ 17,149 $ 17,149
Utilities $ 273,481 $ 248,250 $ 248,250 $ 248,250
County Contracted Services $ 2,197,021 $ 2,486,507 $ 2,750,546 $ 2,752,378 Services $ 1,730,073 $ 1,968,421 $ 1,688,798 $ 1,588,883 Hospitality/Wellness $ 6,302 $ 8,000 $ 8,000 $ 8,000
Agency Contributions $ 127,500 $ 137,500 $ 35,000 $ 35,000 Emergency Planning $ 470 $ 10,560 $ 10,960 $ 10,960
Taxes, Fees & Permits $ 18,545 $ 19,450 $ 19,450 $ 19,450 Finance Costs $ 2,020 $ 2,200 $ 2,700 $ 2,700
Capital Outlay $ 43,211 $ 188,741 $ 35,000 $ 35,000
Tourism $ 857,238 $ 923,415 $ 552,500 $ 552,500
Projects $ 270,046 $ 46,800 $ 50,000 $ 40,000
Misc $ 119 $ - $ - $ -
Transfers Out $ - $ - $ 3,234,297 $ 1,239,297
TOTAL $ 7,589,019 $ 9,178,485 $ 12,251,610 $ 10,255,284 NET $ 1,288,727 $ (217,928) $ (1,273,776) $ (185,311)
173
Revenue and Expenditure by Fund:
200 - Government Impact Fees
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Fees for Services $ 1,971 $ 28,539 $ 4,888 $ 4,888
Grants $ 258,649 $ - $ - $ -
Interest Income $ 1,622 $ 18,424 $ 18,424 $ 18,424
Reimbursements/Transfers $ -
TOTAL $ 262,242 $ 46,963 $ 23,312 $ 23,312
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Transfers $ 744,273 $ -
Projects $ 32,214 $ 10,000 $ 10,000 $ 10,000
TOTAL $ 776,487 $ 10,000 $ 10,000 $ 10,000
NET $ (514,245) $ 36,963 $ 13,312 $ 13,312
174
Revenue and Expenditure by Fund:
201 - Traffic Safety
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Fees for Services $ 5,231 $ 5,050 $ 5,050 $ 5,050
Interest Income $ 15 $ - $ -
TOTAL $ 5,246 $ 5,050 $ 5,050 $ 5,050
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Transfers $ 8,050 $ 5,050 $ 5,050 $ 5,050
TOTAL $ 8,050 $ 5,050 $ 5,050 $ 5,050
NET $ (2,804) $ - $ - $ -
175
Revenue and Expenditure by Fund:
202 - Gas Tax
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Grants $ 227,964 $ 267,037 $ 267,037 $ 267,037
Interest Income $ 738 $ 1,450 $ 1,450 $ 1,450
TOTAL $ 228,702 $ 268,487 $ 268,487 $ 268,487
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Transfers $ 118,122 $ 118,122 $ 368,122 $ 268,122
Projects $ -
TOTAL $ 118,122 $ 118,122 $ 368,122 $ 268,122
NET $ 110,580 $ 150,365 $ (99,635) $ 365
176
Revenue and Expenditure by Fund:
203 - Local Transportation
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Grants $ 170,199 $ 84,203 $ 84,203 $ 84,203
Interest Income $ 418 $ 522 $ 522 $ 522
TOTAL $ 170,617 $ 84,725 $ 84,725 $ 84,725
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Transfers $ 50,000 $ 35,000 $ 35,000 $ 285,000
TOTAL $ 50,000 $ 35,000 $ 35,000 $ 285,000
NET $ 120,617 $ 49,725 $ 49,725 $ (200,275)
177
Revenue and Expenditure by Fund:
204 - Measure A
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Taxes $ 447,070 $ 395,688 $ 466,753 $ 509,581
Interest Income $ 2,402 $ 593 $ 593 $ 593
TOTAL $ 449,472 $ 396,281 $ 467,346 $ 510,174
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Grants $ 6,000 $ 3,000 $ 3,000 $ 3,000.00
Projects $ 7,961 $ - $ 498,000 $ 623,000
TOTAL $ 13,961 $ 3,000 $ 501,000 $ 626,000
NET $ 435,511 $ 393,281 $ (33,654) $ (115,826)
178
Revenue and Expenditure by Fund:
205 - Skytt Mesa
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Taxes $ 214,971 $ 219,024 $ 219,024 $ 219,024.00
Interest Income $ 267 $ 1,500 $ 1,500 $ 1,500.00
TOTAL $ 215,238 $ 220,524 $ 220,524 $ 220,524
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Repairs & Maintenance $ 92,844 $ 99,000 $ 99,000 $ 99,000 Utilities $ 80,533 $ 92,450 $ 92,450 $ 92,450
Services $ 5,000 $ 5,000 $ 5,000 $ 5,000
Taxes, Fees & Permits $ 16,500 $ 12,200 $ 12,200 $ 12,200 Projects $ 2,500 $ 13,000 $ 13,000 $ 13,000
TOTAL $ 197,377 $ 221,650 $ 221,650 $ 221,650
NET $ 17,861 $ (1,126) $ (1,126) $ (1,126)
179
Revenue and Expenditure by Fund:
300 - Capital Projects
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Interest Income $ (1,649) $ 1,100 $ 1,100 $ 1,100
Reimbursements/Transfers $ 744,273 $ 2,995,000 $ 3,878,000 $ 2,158,000 TOTAL $ 742,624 $ 2,996,100 $ 3,879,100 $ 2,159,100
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Projects $ 744,273 $ 2,995,000 $ 3,878,000 $ 2,158,000
TOTAL $ 744,273 $ 2,995,000 $ 3,878,000 $ 2,158,000
NET $ (1,649) $ 1,100 $ 1,100 $ 1,100
180
Revenue and Expenditure by Fund:
500 - Water
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Fees for Services $ 23,020 $ 41,110 $ 41,110 $ 41,110
Rental/Lease Income $ 20,737 $ 18,000 $ 18,000 $ 18,000 Grants $ - $ - $ - $ -
Water and Sewer $ 5,052,829 $ 4,529,000 $ 5,122,150 $ 5,521,105 Misc. Income $ 28,944 $ 17,500 $ 17,510 $ 17,510
Interest Income $ 8,188 $ 20,000 $ 12,000 $ 12,000
Reimbursements/Transfers $ 2,335 $ 56,500 $ 91,500 $ 1,500 TOTAL $ 5,136,053 $ 4,682,110 $ 5,302,270 $ 5,611,225
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Overhead Contributions $ 295,249 $ 304,107 $ 297,097 $ 297,097 Salaries & Benefits $ 487,040 $ 596,299 $ 660,122 $ 678,144 CalPERS UAL $ 38,515 $ 34,316 $ 79,033 $ 84,773
CALPERS Normal $ 27,216 $ 29,263 $ 34,839 $ 36,250
OPEB Trust $ - $ 4,468 $ 4,468 $ 4,468
Supplies $ 63,216 $ 63,900 $ 65,625 $ 65,625
Repairs & Maintenance $ 119,073 $ 132,500 $ 199,500 $ 199,500 Equipment $ 390 $ 2,167 $ 1,000 $ 1,000
Utilities $ 3,593,661 $ 3,345,640 $ 2,600,702 $ 2,784,033 Services $ 233,321 $ 186,270 $ 243,439 $ 193,339
Taxes, Fees & Permits $ 12,654 $ 16,590 $ 18,590 $ 18,590 Finance Costs $ 7,180 $ 6,000 $ 6,000 $ 6,000
Capital Outlay $ 42,764 $ 114,737 $ 31,000 $ 31,000
Depreciation Expense $ 351,293 $ 360,000 $ 360,000 $ 360,000 Transfers $ 91,979 $ 480,000 $ 1,324,128 $ 1,764,128
Projects $ 32,845 $ 126,000 $ 133,000 $ 133,000
Water Allocation Acquisition $ - $ - $ 820,000 $ -
Misc. Expense $ 123 $ 1,500 $ 1,500 $ 1,500
Capitalized Assets $ (44,322) $ - $ - $ -
TOTAL $ 5,352,196 $ 5,803,757 $ 6,880,043 $ 6,658,447
NET $ (216,143) $ (1,121,647) $ (1,577,773) $ (1,047,222) 181
Revenue and Expenditure by Fund:
501 - Wastewater
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Fees for Services $ 12,806 $ 14,820 $ 14,824 $ 14,824
Rental/Lease Income $ - $ - $ - $ -
Grants $ - $ - $ - $ -
Water and Sewer $ 1,394,489 $ 1,383,400 $ 1,917,854 $ 2,128,910 Misc. Income $ 7,647 $ 5,700 $ 5,700 $ 5,700
Interest Income $ 2,203 $ 15,000 $ 5,000 $ 5,000
Reimbursements/Tranfers $ 500,047 $ 380,000 $ 420,000 $ 582,000 TOTAL $ 1,917,192 $ 1,798,920 $ 2,363,378 $ 2,736,434
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Overhead Contributions $ 183,689 $ 189,200 $ 354,676 $ 354,676 Salaries & Benefits $ 651,345 $ 850,157 $ 838,655 $ 858,505 CalPERS UAL $ 124,471 $ 135,633 $ 213,461 $ 228,964
CALPERS Normal $ 34,496 $ 41,676 $ 41,089 $ 42,545
OPEB Trust $ - $ 8,936 $ 8,936 $ 8,936
Supplies $ 45,172 $ 56,485 $ 56,715 $ 56,715
Repairs & Maintenance $ 67,698 $ 79,375 $ 79,375 $ 79,375 Equipment $ 55 $ 4,013 $ 4,013 $ 4,013
Utilities $ 320,242 $ 315,700 $ 285,750 $ 285,750
Services $ 272,183 $ 224,854 $ 235,658 $ 235,488
Taxes, Fees & Permits $ 27,304 $ 33,800 $ 33,800 $ 33,800 Finance Costs $ 7,769 $ 6,500 $ 6,500 $ 6,500
Capital Outlay $ 12,049 $ 109,333 $ - $ -
Depreciation Expense $ 420,044 $ 455,000 $ 455,000 $ 455,000 Transfers $ 871,227 $ 150,000 $ 1,068,922 $ 2,118,922
Projects $ 3,906 $ 20,000 $ 20,000 $ -
Misc. Expense $ 44 $ 500 $ 500 $ 500
Capitalized Assets $ (867,747) $ - $ - $ -
TOTAL $ 2,173,946 $ 2,681,162 $ 3,703,050 $ 4,769,689
NET $ (256,755) $ (882,242) $ (1,339,672) $ (2,033,255) 182
Revenue and Expenditure by Fund:
502 - Transit
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Fees for Services $ 37,682 $ 35,000 $ 55,000 $ 55,000
Grants $ 854,560 $ 878,199 $ 1,131,968 $ 1,131,968
Misc. Income $ - $ 15,000 $ 7,500 $ 7,500
Interest Income $ 1,845 $ 11,000 $ 16,000 $ 16,000
Reimbursements/Tranfers $ 77,641 $ 3,000 $ 3,000 $ 3,000 TOTAL $ 971,728 $ 942,199 $ 1,213,468 $ 1,213,468
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Overhead Contributions $ 62,170 $ 64,035 $ 44,615 $ 44,615 Supplies $ 76,947 $ 110,620 $ 114,120 $ 114,120
Repairs & Maintenance $ 1,953 $ 13,000 $ 14,500 $ 14,500 Utilities $ 1,260 $ 1,800 $ 2,760 $ 2,760
County/Other Contracted Services $ 581,949 $ 658,830 $ 708,657 $ 708,657 Services $ 171,029 $ 137,524 $ 144,041 $ 119,041
Capital Outlay $ (26,914) $ - $ - $ -
Depreciation Expense $ 133,777 $ 115,000 $ 115,000 $ 115,000 Projects $ - $ 500 $ 500 $ 500
Transfers $ - $ - $ 300,000 $ 215,000
Capitalized Assets $ - $ - $ - $ -
TOTAL $ 1,002,172 $ 1,101,309 $ 1,444,193 $ 1,334,193
NET $ (30,444) $ (159,110) $ (230,725) $ (120,725)
183
Revenue and Expenditure by Fund:
600 - Vehicle Equipment Pool
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Misc. Income $ - $ - $ - $ -
Overhead Contributions $ 43,439 $ - $ - $ -
Interest Income $ 1,416 $ 7,991 $ 7,991 $ 7,991
Reimbursements/Tranfers $ 110,033 $ 216,811 $ 217,347 $ 217,347 TOTAL $ 154,888 $ 224,802 $ 225,338 $ 225,338
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Capital Outlay
Depreciation Expense $ 63,056 $ 35,000 $ 35,000 $ 35,000 Misc. Expense $ - $ - $ - $ -
Transfers $ 802,000 $ 95,000 $ 290,000 $ 130,000
TOTAL $ 865,056 $ 130,000 $ 325,000 $ 165,000
NET $ (710,168) $ 94,802 $ (99,662) $ 60,338
184
Revenue and Expenditure by Fund:
650 - OPEB Trust Fund
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Contributions to OPEB Trust Fund $ 85,000 $ 85,000 $ 85,000 Investments/Gains
TOTAL $ - $ 85,000 $ 85,000 $ 85,000
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
TOTAL $ - $ - $ - $ -
NET $ - $ 85,000 $ 85,000 $ 85,000
185
Revenue and Expenditure by Fund:
700 - SYV Tourism Bus Imp Dist
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Reimbursements/Transfers $ 375,004 $ 470,000 $ 470,000 $ 470,000 TOTAL $ 375,004 $ 470,000 $ 470,000 $ 470,000
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
City Council Contributions $ 303,653 $ 470,000 $ 470,000 $ 470,000 Taxes, Fees & Permits $ 6,292 $ 10,000 $ 10,000 $ 10,000 TOTAL $ 309,945 $ 480,000 $ 480,000 $ 480,000
NET $ 65,059 $ (10,000) $ (10,000) $ (10,000)
186
Revenue and Expenditure by Fund:
800 - General Fixed Asset
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Capitalized Assets $ 835,073 $ - $ - $ -
TOTAL $ 835,073 $ - $ - $ -
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Projects $ - $ -
TOTAL $ - $ - $ - $ -
NET $ 835,073 $ - $ - $ -
187
Revenue and Expenditure by Fund:
803 - Water Capital Projects
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Capitalized Assets $ - $ - $ - $ -
Transfers $ 1,655,173 $ 480,000 $ 1,290,000 $ 1,730,000 TOTAL $ 1,655,173 $ 480,000 $ 1,290,000 $ 1,730,000
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Projects $ 852,173 $ 480,000 $ 1,290,000 $ 1,730,000
TOTAL $ 852,173 $ 480,000 $ 1,290,000 $ 1,730,000
NET $ 803,000 $ - $ - $ -
188
Revenue and Expenditure by Fund:
804 - WWTP Capital Projects
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Capitalized Assets $ - $ - $ - $ -
Transfers $ 26,914 $ 150,000 $ 960,000 $ 2,010,000
TOTAL $ 26,914 $ 150,000 $ 960,000 $ 2,010,000
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Projects $ 26,914 $ 150,000 $ 960,000 $ 2,010,000
TOTAL $ 26,914 $ 150,000 $ 960,000 $ 2,010,000
NET $ - $ - $ - $ -
189
Revenue and Expenditure by Fund:
805 - Transit Capital Projects
Revenues
Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Capitalized Assets $ - $ - $ - $ -
Transfers $ - $ 160,000 $ 300,000 $ 215,000
TOTAL $ - $ 160,000 $ 300,000 $ 215,000
Expenditures Actuals Budgeted Preliminary Preliminary
2020-2021 2021-2022 2022-2023 2023-2024
Projects $ - $ 160,000 $ 300,000 $ 215,000
TOTAL $ - $ 160,000 $ 300,000 $ 215,000
NET $ - $ - $ - $ -
190

DEPARTMENT / PROGRAM

SUMMARIES
191
Departments / Program Structure
The City of Solvang organization includes three departments: Administration, Public Works and Utilities. Within these three departments, there are 15 main divisions, as noted below. • Administration Department
o Program – City Council
o Program – Administrative Services
 City Manager’s Office
 City Attorney’s Office
 Finance
 Human Resources
o Program – Recreation
o Program – Information Technology
o Program – Planning and Building
o Program – Marketing / Tourism
o Program – Public Safety/Law Enforcement
• Public Works Department
o Program – Engineering Division
o Program – Maintenance Division
o Program – Stormwater Management
o Program – Transit
• Utilities Department
o Program – Water Supply and Distribution
o Program – Sewer Collection
o Program – Wastewater Treatment Plant (WWTP)
o Program – Groundwater Sustainability Agency - Management 192
Department Description:

The Administration Department performs a wide variety of roles in the operations of the City:
 Policy. The program budget for the City Council, the legislative arm of the City that sets policy and appoints City Manager and City Attorney, is housed within the Administration Department.
 Administrative Head of Government. The City Manager implements the policy set by City Council and works as facilitator with the Council, community, and City departments.

Under direction of the City Council, the City Manager manages all City Departments (Administration, Public Works, and Utilities).
 Organizational Support. The Administration Department performs a key support role to the entire organization in the areas of City Clerk, Finance, Human Resources, and Information Technology.
 Community Support. The Administration Department also performs a direct role with the community in the programs of Recreation, Planning and Building, Public Safety/Law Enforcement and Code Enforcement.
 Marketing. As a tourist destination, the Administration Department is also the marketing and tourism arm of the City.

The Administration Department consists of the following programs and divisions. • Program – City Council
o The City Council is the five-member legislative body of the City of Solvang.

Members of the City Council are elected by district to staggered four-year terms, with the exception of the Mayor who is elected at large to a two-year term. The City Council establishes policies for the City, which are implemented by staff under the direction of the City Manager.
• Program – Administrative Services
o The Administrative Services program consists of the City Manager’s Office, City Attorney’s Office, Finance Division and Human Resources.  The City Manager is the administrative head of the City and is appointed by, and serves at the pleasure of the City Council. The City Manager is responsible for implementing the vision and policy direction of the City Council while concurrently administering all operations of the City, including leadership and management of all personnel, financial resources, and delivery of basic governmental services. Other key personnel in the City Manager’s Office include the Assistant to the City

ADMINISTRATION DEPARTMENT
193
Manager, the City Clerk, who serves as the official custodian of all City records, and the Office Assistant.
 The City Attorney is appointed by the City Council as the chief legal advisor for the City and provides legal services to the City through a contractual arrangement approved by the City Council. The City Attorney’s Office manages all aspects of the City’s legal affairs; researches, drafts and/or reviews ordinances, resolutions, contracts, bonds and other legal documents supporting the actions of the City Council; advises on the legality of various procedural and substantive matters; represents the City in administrative proceedings and court trials; and manages all litigation and oversees outside counsel as appropriate.
 The Finance Division’s primary function is to ensure the financial integrity of the City of Solvang by providing excellent financial services and maintaining the public trust. The division is responsible for the maintenance of an effective financial accounting system, which accurately reflects the financial operations of the City and offers a framework for financial planning and analysis. The Finance Division also oversees the City’s investment program.
 The Human Resources Division maintains equitable systems of classification and compensation, conducts recruitments and employee selection, initiates training, and maintains labor relations for the organization.
• Program – Recreation
o The Recreation Division is responsible for the administration of recreation classes offered by private instructors and the coordination of numerous City-sponsored special events including the Easter Eggstravaganza, Mother-Son Luau, and Haunted House, among others. This program is supported, in large measure, by participant registration fees. Another responsibility of this division is the coordination of facility rentals including the Veterans' Memorial Building, Sunny Fields Park and Hans Christian Andersen Park. The City of Solvang and the City of Buellton maintain a MOU to provide joint recreation services within Santa Ynez Valley.
• Program – Information Technology
o As a smaller organization, the City of Solvang maintains a contract for information technology services to align the City’s infrastructure with a larger firm consisting of IT specialists and experts. Together, the City and the contractor 194
team work together to continuously improve and enhance the City’s IT infrastructure, and efficiently and safely support all the technology needs of the organization.
• Program – Planning and Building
o The Planning and Building Division oversees land use policies and regulations, guides and regulates land uses/development proposals, promotes the sustainable growth of the community, encourages zoning code compliance, as well as facilitating the safe construction of buildings and structures set forth by the California Building Code. The Planning and Building division also serves as the main support body for the City’s Planning Commission and Design Review Committee.
• Program – Marketing / Tourism
o The City of Solvang’s economic engine is Tourism. Over 50% of General Fund revenue is derived from Tourism. Another 15% of revenues are derived from sales tax. These tourism-driven revenue sources help fund numerous City operations. The City maintains a contract with a marketing firm to ensure the City continues to see healthy tourism levels.
• Program – Public Safety/Law Enforcement
o The Santa Barbara County Sheriff’s Office provides full-service police services to the City of Solvang through a five-year Law Enforcement Contract. The Sheriff’s Office provides general law enforcement, traffic enforcement, commercial vehicle enforcement, criminal investigations, graffiti and gang enforcement, and school resource services under this contract. Fire services are provided to the City of Solvang by Santa Barbara County Fire District out of Station #30, which is housed in the same building as City Hall. The City also provides Code Enforcement services through a separate contractor.
195
Departmental Structure:
*NOTE: While the City Manager and City Attorney are appointed by the City Council organizationally and there are contracts managed directly by the City Manager, the budgetary impact of the City Council and these contracts items is housed within the Administration Department.
196
Department FTEs:

Department FTEs
Adopted Budget
(FY20/21)
Adopted
Budget
(FY21/22)
Proposed
Budget
(FY22/23)
Proposed
Budget
(FY23/24)
City Manager 1.0 1.0 1.0 1.0
Management Analyst (Assistant to
the City Manager) 1.0 1.0 1.0 1.0
Administrative Services Director 0.0 0.0 1.0 1.0
City Clerk 0.0 1.0 1.0 1.0
Office Assistant 0.0 1.0 1.0 1.0
Senior Recreation Coordinator 1.0 0.0 0.0 0.0
Recreation Supervisor 0.0 1.0 1.0 1.0
Recreation Coordinator 0.0 1.0 1.0 1.0
Accounting Supervisor 1.0 1.0 1.0 1.0
Accounting Technician 0.0 1.0 1.0 1.0
Accounting Assistant 1.0 0.0 0.0 0.0
Utility Billing Clerk 1.0 1.0 1.0 1.0
Human Resources Manager 0.0 0.5 0.5 0.5
Human Resource Specialist 1.0 0.0 0.0 0.0
Marketing & Events Manager 0.0 0.0 1.0 1.0
Planning Manager / Director 0.0 1.0 1.0 1.0
Assistant Planner 0.0 1.0 1.0 1.0
Code Enforcement (2 Part-Time) 0.0 0.0 1.0 1.0
TOTAL 7.0 11.5 14.5 14.5
Department Operating Expenditures:

Department Operating Expenditures
Actual (FY20/21) Adopted Budget
(FY21/22)
Proposed Budget
(FY22/23)
Proposed Budget
(FY23/24)
City Council $ 775,432 $ 611,965 $ 450,011 $ 441,717
Administrative
Services $ 1,236,980 $ 1,647,922 $ 1,850,366 $ 1,789,530 Recreation $ 154,356 $ 287,236 $ 344,173 $ 356,329
Information
Technology $ 88,405 $ 324,000 $ 400,000 $ 400,000
Planning and
Building $ 780,842 $ 780,248 $ 669,057 $ 679,599
Marketing/Tourism $ 857,238 $ 923,415 $ 737,572 $ 759,747 Public Safety/Law
Enforcement $ 1,933,403 $ 2,210,000 $ 2,468,676 $ 2,468,676 TOTAL $ 5,826,655 $ 6,784,786 $ 6,919,855 $ 6,895,598
197
Major Accomplishments (FY21/22):
• Led General Plan Update through first three stages of the process including community engagement and formation of General Plan Advisory Committee. The following milestones were achieved.
o Council and Planning Commission adopted Guiding Principles based on community input and GPAC recommendations
o Adopted Preferred Land Use Alternative
• Transitioned the City to Elections by District
• Onboarded newly formed Council appointed Committee’s, Design Review Committee and Tourism Advisory Committee
• Completed General Fund Fees Study
• Completed Utility Rate Study
• Initiated RFP process for Impact Fees Study
• Developed Fiscal Year 2022-24 Financial Plan including Council Goal Setting Session • Engaged consultant to conduct a poll for revenue measures • Received the Government Fiscal Officers Association Distinguished Budget Presentation Award for FY 21-22 budget, for the first time in the history of Solvang • Received outstanding Comprehensive Annual Financial Report Award from Government Finance Officers Association (31 of past 32 years).
• Engaged consultant to develop strategy for Wastewater Treatment Plant Upgrade Project
• Updated Employee Handbook
• Filled 10 vacancies and re-established service levels post COVID-19 including key department head roles
• Implemented permitting software
• Continued to produce Solvang City Hall Quarterly Newsletter (Nyheder) • Engaged consultant to update Emergency Management Plan • Prepared modifications to City Code to address various planning related issues which were adopted by City Council
Work Program Highlights (FY22/24):
• Complete General Plan Update
• Develop recommendations for European Style Plaza in downtown • Conduct Resident Satisfaction Survey to inform the next financial plan development • Develop FY 24/26 Financial Plan
• Update Capital Improvement Program in alignment with General Plan Update • Develop solutions for parking including options for a two-story parking structure 198
• Continue to develop solutions for traffic mitigation. The proposed Capital Improvement Program includes projects to improve circulation and safety. • Pursue opportunities to partner with other organizations to develop a small Convention Center
• Develop financing strategies for major Capital Improvement Program projects • Focus marketing strategy to support Solvang business and quality of life for local residents
• Work with Utilities department to enhance local water supply and research opportunities for recycled water
• Provide support for 2022 Election
199
Administration Department - One-Time Projects and Strategic Initiatives Project Name, Description & Need
Funding
Sources 2021-22
Comprehensive General Plan Update General Fund Prior Year Contract $ 213,000 Description: Continue and finalize the City's first Comprehensive General Plan Update. Add Housing Element Update to incorporate Sixth Cycle RHNA.

General Fund FY 21-22 Funding $ 75,000
Need : Every city, town, and county in California must have a general plan, which is the local government’s long-term framework or “constitution” for future growth and development. The general plan represents the community’s aspiration for its future and intentions for community development.

The general plan also contains the goals and policies upon which the City Council and Planning Commission will base their land use decisions. Typically, a general plan is designed to address the issues facing the city for the next 20 years.

The general plan is made up of a collection of “elements,” or topical categories. There are currently nine mandatory elements: land use, circulation, housing, conservation, open space, noise, safety, environmental justice, and air quality. Communities can include other elements that address issues of local concern, such as economic development, community character, or urban design. Communities can also organize their general plans any way they choose, as long as they address each of the required topical categories.

Information Technology - Data Migration to Cloud General Fund $ 62,000 Description: Consolidate storage and migrate City-wide data to the Cloud from local servers.

Need: The City currently stores data on local servers using various applications. There is duplication of data which needs to be consolidated. Migration to the Cloud is also safer than maintaining data on local servers.

Implement Comprehensive Agenda Management Software General Fund $30,000 Description : The City currently does not utilize a software specifically designed for Agenda management. The proposal is to replace Laserfiche (document database with minimal workflow capabilities) with a Cloud based Agenda management solution.

Need: The Agenda management workflow currently used is inefficient as the City uses a software not specifically designed for Agenda management.

Update Emergency Management Plan General Fund $ 10,000
Description : Hire a consultant to update Emergency Management Plan and provide employees with training.

Need: The Emergency Management Plan has not been updated since 2015. It is best practice to update the plan and hold a training every two years.

Impact Fee Study General Fund $ 35,000
Description : Conduct an Impact Fee Study.

Need: The City has not comprehensively updated impact fees in over ten years. Impact fees should be studied and updated to appropriately charge new development for impact on infrastructure.

Total: $ 425,000
Shading indicates work in progress.
200
Department Description:

The Public Works Department oversees all engineering activities within the City’s infrastructure systems. The Public Works Department is also tasked with maintaining a safe and wellmaintained appearance at all the City’s facilities, parks, and open spaces. The Public Works Department also manages the environmental services afforded to City residents and businesses through programs that include solid waste and storm water management. The Public Works Department also manages the Santa Ynez Valley Transit (SYVT) program.

Department of Public Works consists of the following programs:
• Program – Engineering Division
o The City’s Engineering Division manages the City's Capital Improvement Program including program planning & development, engineering design, management of consultant contracts, construction management, and inspection. The Division provides engineering review and inspection of public improvements that are part of land development projects. The Division processes and issues Encroachment Permits for various activities within the public right‐of‐way, and issues Grading Permits.
• Program – Maintenance Division
o The City of Solvang’s Maintenance Division is responsible for the operation and maintenance of many of the public improvements and facilities Solvang residents and visitors see and use on a day‐to‐day basis. These include the public streets, storm drain system, sidewalks, street trees, public parking lots, public restrooms, and public buildings such as the Veteran's Memorial Hall. The Division also maintains the City’s parks and city-owned open spaces, including Solvang Park, Hans Christian Andersen Park, and Sunny Fields Park.
• Program – Stormwater Management
o The City maintains and operates a stormwater and flood control system, which includes drainage inlets, culverts, open channel drainage ditches, and underground storm drains that convey stormwater. The City works with Santa Barbara County Flood Control District (SBCFCD) to minimize flooding impacts. • Program – Transit
o Santa Ynez Valley Transit (SYVT) is a Joint-Powers Agency funded by State and Federal transit grant funds through the Cities of Buellton and Solvang and the Santa Barbara County. The SYVT mission is to provide safe, dependable, and onPUBLIC WORKS DEPARTMENT 201
time transportation services transporting riders to, from and around Solvang, Buellton, Santa Ynez, and Los Olivos with convenient scheduled bus stops.

Departmental Organization:

Department FTEs:

Department FTEs
Adopted
Budget
(FY20/21)
Adopted
Budget
(FY21/22)
Proposed
Budget
(FY22/23)
Proposed
Budget
(FY23/24)
Public Works Director 0.55 1.0 1.0 1.0
Associate Engineer 1.0 1.0 1.0 1.0
Maintenance Supervisor 1.0 1.0 1.0 1.0
Lead Maintenance Worker 0.0 1.0 1.0 1.0
Maintenance Worker II 2.0 1.0 2.0 2.0
Maintenance Worker I 1.0 1.0 0.0 0.0
Lead Parks Maintenance Worker 1.0 1.0 1.0 1.0
Parks Maintenance Worker 1.0 1.0 1.0 1.0
TOTAL 7.55 8.0 8.0 8.0
202
Department Operating Expenditures:

Department Operating Expenditures
Actual (FY20/21) Adopted Budget
(FY21/22)
Proposed Budget
(FY22/23)
Proposed Budget
(FY23/24)
Engineering &
Environmental $ 146,779 $ 143,724 $ 107,984 $ 109,483
Maintenance $ 206,459 $ 201,275 $ 188,461 $ 195,318
Parks Maintenance $ 204,032 $ 546,764 $ 511,802 $ 518,532 Stormwater
Management $ 213,781 $ 325,929 $ 290,504 $ 293,582
Transit $ 895,308 $ 986,309 $ 1,029,193 $ 1,004,193
TOTAL $ 1,666,359 $ 2,204,001 $ 2,127,944 $ 2,121,107
FY 2021-22 Overview
The past fiscal year was a transitional year for the newly organized Public Works Department.

In addition to addressing the City’s facility and parks needs through the waning Covid-19 pandemic, culminating in the reopening of Copenhagen Drive to public traffic, the city filled the department head, parks and maintenance lead positions.

A high level of service to the community was maintained throughout the year by the Parks and Maintenance crew. The City Engineering Division also completed a major $1 million plus paving rehabilitation project on Alisal Road and other projects listed on the City’s 10-year Capital Improvement Program. However, there were a few projects that completion has been delayed due to various reasons. These include the Hans Cristian Anderson Park upgrades which were delayed due to a delay in receiving grant funding, the City Hall Generator which is currently under design and should soon be out to bid, the HCA and Sunny Fields Parking Lot Slurry project which has been was intentionally delayed to combine it with the 2022 Roadway Slurry Seal to add potential value by combining these projects, and the Second Street Drainage project which has recently been bid.

Now under new leadership, the Public Works Department looks to continue to build in 2022-23 by filling the Assistant Engineer and Maintenance Worker 1 positions.

Major Accomplishments (FY21/22):
• Completed the South Alisal Road Pavement Reconstruction Project. • Completed City Hall “Drought Tolerant” Landscaping Project. • Completed Solvang Park Re-Sod and other Improvements. • Implemented PlanetBids Software for City Public Bids and Requests for Proposals (RFP’s). • Filled Public Works Maintenance Positions.
203
• Implemented City-Wide Pavement Management System for project scoping. • Completed the City of Solvang Local Road Safety Plan. • Initiate the installation of two new streetlights on Skyt Mesa Drive by PG&E • Purchased one new SYVT bus.
• Procured new Contract with Transit Operator for SYVT (5-year Contract). • Re-opened Copenhagen Drive to Vehicular Traffic.
• Performed ongoing repairs and grinding of raised sidewalk locations to mitigate trip hazards.
• Managed street sweeping, and sidewalk pressure washing annual contracts. • Installed new 30” Storm Drain in advance of Development Project on Copenhagen Drive • Re-established City Traffic Control for Special Events • Initiated Facilities Operations and Master Plan
Work Program Highlights (FY22/23):
• Construction of HCA Park Multi-Upgrade Project.
• Construction of Second Street Drainage Improvements (Phase 2). • Begin construction of Lots 4 & 5 EV Charging Project. • Purchase First 100% Electric Bus for SYVT
• Municipal Facilities Operations and Master Plan.
• Construct (Light) Road Maintenance Project (Slurry Seal) • Scope and Design (Medium) Road Maintenance Project (Thin Overlay) for FY 23/24 • Implement Annual Roadway Striping Maintenance Project • Convert Encroachment Permit Process to Electronic Process (NeoGov) • Implement Asset Management Program for City Fleet and Facility Maintenance 204
Department Description:

The Utilities Department maintains oversight of critical resources that are everyday staples to all members of the community. The Utilities Department oversees Water Supply and Distribution, Sewer Collection and Wastewater Treatment, possible future Recycled Water, the water conservation program, and the Eastern Management Area Groundwater Sustainability Agency (EMA-GSA). The Utilities Department implements the day-to-day operation and maintenance of the City’s water supply and distribution system, and sewer collection system and Wastewater Treatment Plant. The Department performs the strategic planning, project management, and engineering for these critical facilities and future facilities. The Department also assists in management of the EMA-GSA. The utility staff also maintains strict and efficient financial management of the water and wastewater funds, acting as the fiduciary of these departments.

The Utilities Department consists of the following programs:
• Program – Water Supply and Distribution
o The Water Division operates and maintains the City's water supply and distribution facilities and provides potable water to the residents and business of Solvang. These facilities include 3 water storage tanks/reservoirs, 6 production water wells, 4 pump stations, chlorination and ammonia facilities, a hydro-pneumatic tank, and 40 miles of waterline throughout the City of Solvang. The Water Division is also responsible for reading all the water meters on a monthly basis.
• Program – Sewer Collection
o The City of Solvang sewer collection system consists of 32 miles of sewer pipeline ranging in size from 6" diameter to 18" diameter and over 600 sewer manholes. The sewer collection system is operated under a Permit issued by the Regional Water Quality Control Board. The Wastewater Division also operates and maintains two sewer lift (pumping) stations. Sewer lines throughout the City are cleaned on a regular basis by use of special hydraulic jetting equipment that removes blockages and flushes the lines.
• Program – Wastewater Treatment Plant (WWTP)
o The City of Solvang operates a Sequencing Batch Reactor (SBR) type Wastewater Treatment Plant (WWTP) with a design capacity of 1.5 million gallons per day (MGD). The WWTP operates under a Waste Discharge Permit issued by the Regional Water Quality Control Board. The WWTP currently receives and treats wastewater from the City of Solvang and the Santa Ynez Community Services District (SYCSD) which serves the town of Santa Ynez. The SYCSD owns 0.30 MGD capacity in the

UTILITIES DEPARTMENT
205
Solvang WWTP. The Plant provides full secondary treatment of the wastewater received. The WWTP discharges treated wastewater to percolation ponds located adjacent to the Plant.
• Program – Groundwater Sustainability Agency - Management o The Santa Ynez River Valley Groundwater Basin is divided into three different Management Areas: Western, Central and Eastern. Solvang is part of the Eastern Management Area of the Groundwater Sustainability Agency. The Eastern Management Area agencies include the County of Santa Barbara, Santa Ynez River Water Conservation District (Parent District), Santa Ynez- Improvement District No. 1, and the City of Solvang. The Parent District is currently the lead agency. Each Management Area is governed by a Groundwater Sustainability Agency (GSA) Board/Committee with support and input from agency staff. The EMA-GSA Board and staff have worked together to develop and implement a Groundwater Sustainability Plan (GSP) for the Basin which will be managed under a coordination agreement per the Sustainable Groundwater Management Act regulations.

Departmental Organization:
206
Department FTEs:

Department FTEs
Adopted
Budget
(FY20/21)
Adopted Budget
(FY21/22)
Proposed
Budget
(FY22/23)
Proposed
Budget
(FY23/24)
Utilities Director 0.45 1.0 1.0 1.0
Water Supervisor 1.0 1.0 1.0 1.0
Lead Water Operator 0.0 1.0 1.0 1.0
Water Operator II 2.0 1.0 0.0 0.0
Water Operator I 1.0 1.0 3.0 3.0
Wastewater Supervisor 1.0 1.0 1.0 1.0
Lead WW Operator 1.0 1.0 1.0 1.0
WW Operator III 1.0 1.0 1.0 1.0
WW Operator II 1.0 1.0 2.0 2.0
WW Operator I 1.0 1.0 0.0 0.0
Collection System Operator 0.0 1.0 1.0 1.0
TOTAL 9.45 11.0 12.0 12.0
Department Operating Expenditures:

Department Operating Expenditures
Actual
(FY20/21)
Adopted Budget
(FY21/22)
Proposed
Budget
(FY22/23)
Proposed
Budget
(FY23/24)
Water Supply and Distribution*
$
5,067,165
$
5,783,757
$
5,230,043
$
4,590,848
Sewer Collection
$
385,898
$
476,899
$
564,562
$
556,709
Wastewater Treatment Plant
(WWTP)
$
1,449,457
$
1,599,263
$
1,723,487
$
1,747,980
TOTAL
$
6,902,520
$
7,859,919
$
7,518,093
$
6,895,537
* Suspended Table A currently budgeted in both 21/22 & 22/23 ($820K) Accomplishments (FY2021-22):

Water
• Engineering support and project management for Water Division capital projects. • Implemented Asset Essentials Work Order & Facilities Management Software. • Commenced implementation of the 2021 Water System Risk & Resiliency Assessment. 207
• Completion the 2021 Water System Emergency Response Plan. • Collaboration with consulting firm for design and specification of water mainline replacement projects.
• Serviced pump 1 at Zone 3 Hydro pump station.
• Performed maintenance and replacement of pumps at State Water pump station. • Performed repairs at Reservoir 3 overflow drain line. • Complete inspection and cleaning for Reservoir 2.
• Rehabilitated Well 7A, installed new pump, motor, and meter for improved performance and more accurate reporting purposes and increase flow from 99-280 GPM.

Wastewater
• Engineering support and project management for Wastewater Division capital projects. • Assisted with project management and completion of Phase I of the WWTP upgrades. • Implementation and finetuning of new aeration treatment system for nitrification processes.
• Implemented Asset Essentials Work Order & Facilities Management Software. • Completed 2020 Sewer System Management Plan (SSMP).
• Completion and adoption 2021 update of the Sewer Master Plan (SMP). • Commence engineering and design of several sewer line replacement projects, per SMP. • Commenced submittal of application for WWTP permit renewal to RWQCB. • Engaged with engineering firm to seek low interest or grant funding for Phases II &III of WWTP Upgrades.

Work Program Highlights (FY2022-23 & 2023-24):
• Commence research and design for possible well development. • Complete video surveillance of entire sewer collection system. • Funding research for the WWTP Water Quality Project (Phases 2 & 3). • Waterline Replacement Project, release request for proposals. • Sewer Line Replacement Project (engineering).
• 2022 Update of Water Master Plan.
• Implementation of utility services, water and sewer rate study. 208
• Maintain, identify, and perform necessary repairs and upgrades to both the water distribution and sewer collection systems.
• Upgrade and implement automated meter reading infrastructure, allowing continuous monitoring of water usage.
• Continue to manage drought conditions
• Maintain conservative and efficient financial management of both water and wastewater funds.
209

EXPENDITURE BUDGET BY

DEPARTMENT, PROGRAM &
FUND
210
2020-2021
Actuals
$39,700
$3,037
$893
$1,640
-$1,489
$4,996
$1,576
$10,775
$0
$1,861
$2,142
$1,749
$17,613
$1,544
$7,589
$6,298
$9,208
$27,009
$64,104
$200,246
$200,246
$70,000
$144,130
$214,130
$214,130
$2,194 $1,246 $1,196
100-1000-100-51012 Education $14,500 $14,500 $14,500
$0 $0
100-1000-100-55003 Communications $0 $0 $0
Computer/Desktop Equipment S $0 $0 $0
100-1000-100-54001 Office Equip/Computer Replacem $0
Program: 100 - Council Activities Total:

Budget by Department, Program and Fund
City of Solvang
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 100 - GENERAL FUND
Department: 1000 - Council
Program: 100 - Council Activities
Expense
100-1000-100-51000 Salaries $37,200 $37,200 $37,200
100-1000-100-51002 FICA $2,846 $2,846 $2,846
100-1000-100-51008 Workers' Comp Ins.

Professional Services $70,000 $15,000 $15,000
100-1000-100-58001 City Hospitality $7,000 $7,000 $7,000 100-1000-100-51017 Workers' Comp Ins-Retrospectiv -$116 $8 $8 100-1000-100-52002 Membership Dues $5,000 $5,000 $5,000 100-1000-100-52003 Supplies $1,500 $1,500 $1,500
100-1000-100-53010
$236,758 $171,941 $161,815
Program: 105 - Retiree Costs
Expense
100-1000-105-51004 Other Post Emp Benefits - TRUST $0 $0 $0 100-1000-100-56009 LAFCO $3,800 $3,800 $3,800
100-1000-100-57009 Insurance $2,134 $1,841 $1,766
100-1000-100-57014 Muni Code Codification $5,000 $8,000 $8,000 100-1000-100-57015 Printing and Publishing $1,500 $2,000 $2,000 100-1000-100-57016
100-1000-100-59019 Elections $31,200 $7,000 $7,000
100-1000-100-63002 Audio/Video System R/M $23,000 $35,000 $35,000 100-1000-100-70105 Projects $30,000 $30,000 $20,000
Expense Total: $236,758 $171,941 $161,815
100-1000-105-51005 Retiree Medical/Dental/Life $0 $0 $0 Expense Total: $0 $0 $0
Program: 105 - Retiree Costs Total: $0 $0 $0
211
2020-2021
Actuals
$0
$35,000
$0
$0
$7,500
$50,000
$0
$15,000
$10,000
$0
$0
$0
$10,000
$127,500
$127,500
$2,445
$0
$1,931,860
$1,543
$46,256
$0
$184,855
$2,166,959
$2,166,959
$2,708,835
$0 $0
Program: 110 - Special Agency
Expense
100-1000-110-59001 SYV Fruit&VegetableRescue $10,000 $0 $0 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Bethania Lutheran Church $2,500 $0 $0
100-1000-110-59004 Elverhoj Museum $35,000 $35,000 $35,000 100-1000-110-59005 Solvang School $0 $0 $0
100-1000-110-59006 Solvang Theaterfest $0 $0 $0
100-1000-110-59009 People Helping People $0 $0 $0
100-1000-110-59013 Solvang Senior Center $55,000 $0 $0
100-1000-110-59027 Rotary Club of the Santa Ynez Va $0
$2,468,676
100-1000-130-56007 Law Enforcement Overtime $10,000 $0 $0 100-1000-110-59033 Atterdag at Home $20,000 $0 $0
100-1000-110-59037 SYV Senior Citizens Foundation-B $10,000 $0 $0 100-1000-110-59038 SYV Therapeutic Riding Program $5,000 $0 $0 100-1000-110-59040 SYV Wine Country Rodeo $0 $0 $0
100-1000-110-59041 Figueroa Mountain Gran Fondo $0 $0 $0 100-1000-110-59042
Program: 130 - County Contracted Services Total: $2,447,707 $2,711,746 $2,713,578 Department: 1000 - Council Total: $2,821,965 $2,918,687 $2,910,393 Expense Total: $137,500 $35,000 $35,000
Program: 110 - Special Agency Total: $137,500 $35,000 $35,000 Program: 130 - County Contracted Services
Expense
100-1000-130-56004 Mental Health Assmt Team $2,327 $3,000 $3,000 100-1000-130-56005 Community Resource Deputy $0 $0 $0
100-1000-130-56006 Law Enforcement Contract $2,200,000 $2,468,676 100-1000-130-56011 Animal Control $50,000 $47,820 $49,652 100-1000-130-56016 Santa Barbara County 211 Progr $525 $0 $0 100-1000-130-59011 Library $184,855 $192,250 $192,250
Expense Total: $2,447,707 $2,711,746 $2,713,578
212
2020-2021
Total Activity
$0
$0
$0
$0
$4,079,754
$1,606,443
$73,793
$845,334
$23,143
$10,495
$3,560
$38
$16,058
-$927
$4,079
$79,898
$19,689
$86,316
$78,853
$25,936
$3,128
$30
$0
$156,764
$7,488
$7,494
$0
$295,249
$29,254
$154,436
$62,170
$1,400
-$8,184
$15,032
$0
$566,263
$0
$0
$3,498
$0
$0
$213
$8,246,698
$26,400
Department: 1100 - Administration
Program: 105 - Retiree Costs
Expense
100-1100-105-51004 Other Post Emp Benefits - TRUST $56,596 $56,596 $56,596 100-1100-105-51005 Retiree Medical/Dental/Life $112,924 $112,924 $112,924 Expense Total: $169,520 $169,520 $169,520
Program: 105 - Retiree Costs Total: $169,520 $169,520 $169,520 Property Tax-Prior Years $26,400 $26,400
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
$63,000
Program: 120 - Administration
Revenue
100-1100-120-30001 Transient Occupancy Tax $3,632,629 $4,667,010 $4,770,550 100-1100-120-30002 Sales Tax $1,419,000 $1,954,600 $2,021,200 100-1100-120-30003 Property Transfer Tax $64,298 $64,298 $64,298 100-1100-120-30004 Property Tax Current Sec. $804,007 $804,007 $804,007 100-1100-120-30005 Property Tax Curr. Unsec. $22,632 $22,632 $22,632 100-1100-120-30006
$30 $80 $80
100-1100-120-30007 Prop Tax-Homeowner's Relf $3,800 $3,800 $3,800 100-1100-120-30008 Property Tax-Misc. $5,000 $5,000 $5,000 100-1100-120-30009 Property Taxes-Supplmntl $15,000 $15,000 $15,000 100-1100-120-30012 TOT Penalties $0 $0 $0
100-1100-120-30013 Motor Vehicle Excess License Fe $4,000 $4,000 $4,000 100-1100-120-31001 Franchise-Hlth Sanitation $63,000 $63,000 100-1100-120-39001 Donations $0 $0 $0
100-1100-120-31002 Franchise-Gas Company $17,000 $17,000 $17,000 100-1100-120-31003 Franchise-Comcast Cable $80,000 $80,000 $80,000 100-1100-120-31004 Franchise-PG&E $73,000 $73,000 $73,000 100-1100-120-31010 Business Certificate $26,000 $40,000 $40,000 100-1100-120-31032 Disability Access Fee $2,800 $3,000 $3,000 100-1100-120-31033 Firearms License
100-1100-120-32001 Rental Income $0 $0 $0
100-1100-120-35029 Grant Revenue $800,000 $800,000 $100,000 100-1100-120-38001 Miscellaneous Income $700 $700 $700
100-1100-120-38002 Fines & Penalties $4,000 $4,000 $4,000 Sale of Surplus Property $4,000 $4,000 $4,000
100-1100-120-40001 Water Overhead Contribution $304,107 $297,097 $297,097 100-1100-120-40002 Wastewater Overhead Contribut $30,131 $104,499 $104,499 100-1100-120-40003 WWTP Overhead Contribution $159,069 $250,177 $250,177 100-1100-120-40004 Transit Overhead Contribution $64,035 $44,615 $44,615 100-1100-120-41000 Special Events Revenue $11,000 $11,000 $11,000 100-1100-120-42001 Interest Income $40,000 $40,000 $40,000 100-1100-120-42003 CD Interest Income $7,000 $0 $0
100-1100-120-42004 Housing Assistance Interest Inco $0 $0 $0 100-1100-120-43002 Property Tax - In Lieu of VLF $529,117 $529,117 $529,117 100-1100-120-43003 Forfeited Deposits $800 $800 $800
100-1100-120-43004
100-1100-120-43005 Insurance Refunds $0 $0 $0
100-1100-120-43008 Collection Acct Recovery $200 $200 $200 100-1100-120-43019 Transfers In $40,000 $0 $0
100-1100-120-43021 Accts Payable Discounts $250 $250 $250 Revenue Total: $8,253,005 $9,929,281 $9,399,422
213
2020-2021
Total Activity
$446,737
$31,162
$5,515
$62,346
$40,667
$4,212
$43,030
$100
$107
$479
$1,184
-$20,420
$9,846
$1,504
$4,919
$34,446
$24,020
$30,919
$617
$698
$711
$2,858
$3,919
$1,926
$0
$13
$0
$264
$1,514
$0
$11,570
$6,025
$27,920
$20,557
$29,333
$818
$182,075
$1,825
$101,709
$1,207
$88,657
$10,262
$9,506
$4
$0
$0
$470
$11,485
$144
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Expense
100-1100-120-51000 Salaries $644,779 $774,023 $807,493
$4,200 $4,200 $4,200
100-1100-120-51008 Workers' Comp Ins. $38,502 $25,933 $25,958 100-1100-120-51017 Workers' Comp Ins-Retrospectiv -$1,979 $164 $164 100-1100-120-51018 CalPERS Liability Reduction $14,060 $14,060 $14,060 100-1100-120-51002 FICA $58,467 $74,492 $77,053
100-1100-120-51003 Retirement $5,632 $0 $0
100-1100-120-51005 Cafeteria Plan $81,214 $161,860 $161,860 100-1100-120-51006 Unemployment Insurance $3,500 $3,500 $3,500 100-1100-120-51007 Auto Allowance
100-1100-120-51009 Employee Medical Exams $180 $180 $180 100-1100-120-51010 Employee Screening $40 $40 $40
100-1100-120-51011 Recruitment $12,000 $12,000 $12,000
100-1100-120-51012 Education $18,000 $18,000 $18,000
Supplies $8,500 $8,500 $8,500
100-1100-120-51019 Long Term Disability $2,626 $3,483 $3,634 100-1100-120-51020 Retirement - ER Pd 8% EE Share $8,774 $0 $0 100-1100-120-51021 Retirement - PERS UAL $40,782 $0 $0
100-1100-120-51022 Retirement - PERS PEPRA ER Cos $41,106 $60,516 $63,438 $100
100-1100-120-53010 Computer/Desktop Equipment S $4,620 $4,620 $4,620 100-1100-120-51030 Housing Allowance $36,000 $51,000 $51,000 100-1100-120-51031 Cell Phone Allowance $1,800 $2,400 $2,400 100-1100-120-51035 Overtime $1,097 $0 $0
100-1100-120-51040 Specialty Pays $600 $1,620 $1,620
100-1100-120-52002 Membership Dues $3,794 $3,794 $3,794 100-1100-120-52003
$0 $0 $0
100-1100-120-57009 Insurance $42,169 $43,354 $43,391
100-1100-120-52008 Postage $2,000 $2,000 $2,000
100-1100-120-52009 Small Equipment $300 $300 $300
100-1100-120-52015 Vehicle Fuel $200 $200 $200
100-1100-120-53003 Repairs and Maintenance $0 $0 $0
100-1100-120-53008 Vehicle Repairs & Maint. $100 $100
100-1100-120-57025 Studies/Sales Tax $106,000 $166,000 $66,000 100-1100-120-57052 Temporary Agency Services $5,000 $5,000 $5,000 100-1100-120-54001 Office Equip/Computer Rep $0 $0 $0
100-1100-120-54002 Equipment $13,000 $5,000 $5,000
100-1100-120-55003 Communications $0 $0 $0
100-1100-120-56013 Audit $35,000 $35,000 $35,000
100-1100-120-57004 Computer Support
100-1100-120-57011 Lease Payments $646 $646 $646
100-1100-120-57012 Legal Fees $116,000 $120,000 $120,000 100-1100-120-57015 Printing and Publishing $1,800 $5,000 $5,000 100-1100-120-57016 Professional Services $20,000 $20,000 $20,000 100-1100-120-57053 Software/Website $0 $0 $0
100-1100-120-57062 Public Relations $20,000 $20,000 $20,000 100-1100-120-58004 City Wellness/Workplace Safety $1,000 $1,000 $1,000 100-1100-120-60002 Emergency Preparedness $10,000 $10,000 $10,000 100-1100-120-60005 Emergency Plan $0 $0 $0
100-1100-120-60006 EOC Phone $560 $560 $560
100-1100-120-61008 Property Tax Admin Fees $12,100 $12,100 $12,100 100-1100-120-62001 Bank Charges $200 $200 $200
214
2020-2021
Total Activity
$3
$0
$0
$0
$0
$0
$0
$0
$119
$1,236,980
$7,009,718
$88,405
$88,405
$88,405
$0
$0
$0
$68,675
$68,675
$68,675
$6,989,988
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
100-1100-120-62005 Interest Expense $0 $0 $0
$0 $0
100-1100-120-71006 Bad Debt Recovery Fees $0 $0 $0
100-1100-120-62003 Credit Card Proces. Fee $0 $0 $0
$305,743
Expense Total: $254,231 $305,743 $305,743
Program: 121 - Information Technology (IT) Total: $254,231 $305,743 $305,743 100-1100-120-63006 Equipment Replacement $14,034 $0 $0
100-1100-120-63010 Vehicle Replacement $40,000 $0 $0
100-1100-120-64003 Transfers Out $0 $3,234,297 $1,239,297 100-1100-120-70105 Projects $0 $0 $0
100-1100-120-71005 Bad Debt Write Offs $0
100-1100-860-35036 COVID 19 Relief Funding $0 $0 $0
Revenue Total: $0 $0 $0
Program: 860 - State Funding Total: $0 $0 $0
100-1100-120-71009 Miscellaneous $0 $0 $0
Expense Total: $1,468,403 $4,905,143 $2,849,307
Program: 120 - Administration Surplus (Deficit): $6,784,602 $5,024,138 $6,550,114 Program: 121 - Information Technology (IT)
Expense
100-1100-121-57064 IT Expenses $254,231 $305,743
Program: 220 - Econcomic Development
Expense
100-1100-220-57016 Professional Services -Econ. Dev $10,000 $10,000 $10,000 Expense Total: $10,000 $10,000 $10,000
Program: 220 - Econcomic Development Total: $10,000 $10,000 $10,000 Program: 860 - State Funding
Revenue
Department: 1100 - Administration Surplus (Deficit): $6,350,852 $4,538,876 $6,064,852 215
2020-2021
Total Activity
$815
$25,759
-$600
$0
$45,504
$0
$71,478
$0
$536
$0
$0
$0
$0
$0
-$7,131
$0
$0
$7,361
$0
$0
$0
$0
$0
$7,000
$0
$379
$215
$0
$12
$102
$0
$0
$1,742
$12,138
$163,905
$8,381
$264
$51,002
$2,984
$251,944
$0
$0
$0
$0
$0
$500,834
-$429,356
FICA $17,161 $23,510 $24,225
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Department: 1200 - Planning & Building
Program: 200 - City Planning
Revenue
100-1200-200-31009 Conveyance Fee - Animal/Street $400 $400 $400 100-1200-200-31013 Misc Permit Fee $25,000 $70,000 $70,000 100-1200-200-31025 Muni Code Violation $5,000 $5,000 $5,000 $4,000
100-1200-200-51017 Workers' Comp Ins-Retrospectiv -$585 $53 $53 100-1200-200-31029 Housing Element $0 $0 $0
100-1200-200-31035 Application/Development Fees $20,000 $50,000 $50,000 100-1200-200-35029 Grant Revenue $106,355 $106,355 $106,355 Revenue Total: $156,755 $231,755 $231,755
Expense
100-1200-200-51000 Salaries $179,106 $251,219 $260,568
100-1200-200-51002
$9,600 $12,000 $12,000
100-1200-200-51031 Cell Phone Allowance $0 $600 $600
100-1200-200-51003 Retirement $0 $0 $0
100-1200-200-51005 Cafeteria Plan $21,000 $46,549 $46,549 100-1200-200-51008 Workers' Comp Ins. $11,437 $8,417 $8,376 100-1200-200-51010 Employee Screening $0 $0 $0
100-1200-200-51012 Education $4,000 $4,000
100-1200-200-52003 Supplies $1,000 $1,000 $1,000
100-1200-200-52008 Postage $300 $300 $300
100-1200-200-51019 Long Term Disability $737 $904 $931
100-1200-200-51020 Retirement - ER Pd 8% EE Share $0 $0 $0 100-1200-200-51021 Retirement - PERS UAL $0 $0 $0
100-1200-200-51022 Retirement - PERS PEPRA ER Cos $13,013 $15,672 $16,223 100-1200-200-51030 Housing Allowance
100-1200-200-51035 Overtime $2,627 $0 $0
100-1200-200-51040 Specialty Pays $0 $2,390 $2,390
100-1200-200-51045 Commissioners $12,000 $12,000 $12,000 100-1200-200-52002 Membership Dues $1,045 $1,045 $1,045 $209 $209 $209
100-1200-200-52009 Small Equipment $300 $300 $300
100-1200-200-52015 Vehicle Fuel $100 $100 $100
100-1200-200-53008 Vehicle Repairs & Maint. $50 $50 $50 100-1200-200-53010 Computer/Desktop Equipment S $1,202 $1,202 $1,202 100-1200-200-63006 Equipment Replacement $1,064 $0 $0
100-1200-200-54001 Office Equip/Computer Rep $0 $0 $0
100-1200-200-55003 Communications $0 $0 $0
100-1200-200-57004 Computer Support $0 $0 $0
100-1200-200-57007 General Plan $140,000 $0 $0
100-1200-200-57009 Insurance $11,129 $12,448 $12,388
100-1200-200-57011 Lease Payments
100-1200-200-57012 Legal Fees $54,000 $54,000 $54,000
100-1200-200-57015 Printing and Publishing $2,000 $2,000 $2,000 100-1200-200-57016 Professional Services $30,000 $30,000 $30,000 100-1200-200-57053 Software/Website $0 $0 $0
100-1200-200-60004 Project Development/Filing Fees $0 $400 $400 100-1200-200-63010 Vehicle Replacement $0 $0 $0
100-1200-200-70105 Projects $5,000 $5,000 $5,000
Expense Total: $517,495 $485,368 $495,910
Program: 200 - City Planning Surplus (Deficit): -$360,740 -$253,613 -$264,155 216
2020-2021
Total Activity
$11,897
$11,897
$11,897
$85,480
$103,192
$33,964
$222,636
$0
$0
$0
$0
$0
$17
$0
-$3,088
$0
$0
$4,176
$0
$0
$0
$0
$28
$220
$0
$0
$0
$1,546
$1,962
$3,628
$112
$126
$199,832
$9,300
$0
$0
$33,460
$251,318
-$28,683
$16,793
$0
$0
$16,793
$16,793
-$486,728
$40,000 $40,000 $40,000
Expense Total: $40,000 $40,000 $40,000
Revenue Total: $90,000 $110,000 $110,000
Expense
100-1200-210-51000 Salaries $0 $0 $0
Program: 201 - Code Enforcement
Expense
100-1200-201-57063 Code Enforcement
Program: 201 - Code Enforcement Total: $40,000 $40,000 $40,000 Program: 210 - Building
Revenue
100-1200-210-31014 Plan Check $20,000 $40,000 $40,000
100-1200-210-31036 Building Permits $70,000 $70,000 $70,000 100-1200-210-38001 Miscellaneous Income $0_______________ _________________ Retirement - PERS UAL $0 $0 $0
100-1200-210-51002 FICA $0 $0 $0
100-1200-210-51003 Retirement $0 $0 $0
100-1200-210-51005 Cafeteria Plan $0 $0 $0
100-1200-210-51008 Workers' Comp Ins. $0 $0 $0
$2,500
100-1200-210-52008 Postage $200 $200 $200
100-1200-210-51010 Employee Screening $0 $0 $0
100-1200-210-51012 Education $0 $0 $0
100-1200-210-51017 Workers' Comp Ins-Retrospectiv $0 $0 $0 100-1200-210-51019 Long Term Disability $0 $0 $0
100-1200-210-51020 Retirement - ER Pd 8% EE Share $0 $0 $0 100-1200-210-51021
$0 $0 $0
100-1200-210-57009 Insurance $0 $0 $0
100-1200-210-51022 Retirement - PERS PEPRA ER Cos $0 $0 $0 100-1200-210-51030 Housing Allowance $0 $0 $0
100-1200-210-51031 Cell Phone Allowance $0 $0 $0
100-1200-210-51035 Overtime $0 $0 $0
100-1200-210-52003 Supplies $500 $2,500
100-1200-210-57053 Software/Website $0 $0 $0
100-1200-210-63006 Equipment Replacement $1,064 $0 $0
100-1200-210-52009 Small Equipment $100 $100 $100
100-1200-210-53010 Computer/Desktop Equipment S $0 $0 $0 100-1200-210-54001 Office Equip/Computer Rep $0 $0 $0
100-1200-210-55003 Communications $0 $0 $0
100-1200-210-57004 Computer Support
100-1200-210-57011 Lease Payments $89 $89 $89
100-1200-210-57015 Printing and Publishing $800 $800 $800 100-1200-210-57016 Professional Services $140,000 $140,000 $140,000 100-1200-210-57024 Fee Study $5,000 $0 $0
100-1200-210-70105 Projects $0 $0 $0
Expense Total: $147,753 $143,689 $143,689
Program: 210 - Building Surplus (Deficit): -$57,753 -$33,689 -$33,689 Program: 220 - Econcomic Development
Expense
100-1200-220-57016 Professional Services $0 $0 $0
100-1200-220-57024 Studies $75,000 $0 $0
100-1200-220-59026 Solvang Chamber of Commerce $0 $0 $0 Expense Total: $75,000 $0 $0
Program: 220 - Econcomic Development Total: $75,000 $0 $0 Department: 1200 - Planning & Building Surplus (Deficit): -$533,493 -$327,302 -$337,844 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
217
2020-2021
Total Activity
$812
$0
$812
$44,178
$3,924
$0
$7,588
$7,241
$100
$0
$0
$673
-$6,731
$167
$0
$5,624
$3,279
$3,798
$0
$459
$820
$288
$205
$3,610
$1,896
$0
$39
$2,517
$6,016
$8,358
$351
$2
$0
$7,089
$0
$101,490
-$100,678
-$775
$0
$8,780
$8,005
$2,501
$430
$0
$4,974
100-1300-300-38001 Miscellaneous Income $0 $0 $0
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
$0 $0
100-1300-300-51005 Cafeteria Plan $0 $0 $0
Department: 1300 - Parks and Recreation
Program: 300 - Administration
Revenue
Safety Gear $0 $0 $0
100-1300-300-51017 Workers' Comp Ins-Retrospectiv $0 $0 $0 100-1300-300-43003 Forfeited Deposits $0 $0 $0
Revenue Total: $0 $0 $0
Expense
100-1300-300-51000 Salaries $0 $0 $0
100-1300-300-51002 FICA $0 $0 $0
100-1300-300-51003 Retirement $0
100-1300-300-51030 Housing Allowance $0 $0 $0
100-1300-300-51031 Cell Phone Allowance $0 $0 $0
$0
100-1300-300-51008 Workers' Comp Ins. $0 $0 $0
100-1300-300-51009 Employee Medical Exams $0 $0 $0
100-1300-300-51010 Employee Screening $0 $0 $0
100-1300-300-51012 Education $0 $0 $0
100-1300-300-51014
100-1300-300-51019 Long Term Disability $0 $0 $0
100-1300-300-51020 Retirement - ER Pd 8% EE Share $0 $0 $0 100-1300-300-51021 Retirement - PERS UAL $0 $0 $0
100-1300-300-51022 Retirement - PERS PEPRA ER Cos $0 $0 $0 $0 $0 $0
100-1300-300-51035 Overtime $0 $0 $0
100-1300-300-51040 Specialty Pays $0 $0 $0
100-1300-300-52003 Supplies $0 $0 $0
100-1300-300-52008 Postage $0 $0 $0
100-1300-300-63010 Vehicle Replacement $0 $0 $0
100-1300-300-52015 Vehicle Fuel $0 $0 $0
100-1300-300-53008 Vehicle Repairs & Maint. $0 $0 $0
100-1300-300-53010 Computer/Desktop Equipment S $0 $0 $0 100-1300-300-54001 Office Equip/Computer Rep $0 $0 $0
100-1300-300-55003 Communications $0 $0 $0
100-1300-300-57004 Computer Support
$0 $0 $0
Revenue Total: $188,000 $188,000 $10,000
100-1300-300-57009 Insurance $0 $0 $0
100-1300-300-57011 Lease Payments $0 $0 $0
100-1300-300-57015 Printing and Publishing $0 $0 $0
100-1300-300-57053 Software/Website $0 $0 $0
100-1300-300-63006 Equipment Replacement $0 $0 $0
Expense Total: $0 $0 $0
Program: 300 - Administration Surplus (Deficit): $0 $0 $0 Program: 310 - HCA Park
Revenue
100-1300-310-31007 Park Reservation Fee $10,000 $10,000 $10,000 100-1300-310-35029 Grant Revenue $178,000 $178,000 $0
100-1300-310-39001 Donations
Expense
100-1300-310-52003 Supplies $0 $0 $0
100-1300-310-52009 Small Equipment $0 $0 $0
100-1300-310-52015 Vehicle/Equipment Fuel $0 $0 $0
100-1300-310-53003 Repairs and Maintenance $0 $0 $0
218
2020-2021
Total Activity
$789
$33,897
$589
$3,960
$0
$3,390
$47,637
$98,166
-$90,161
$0
$0
$18,686
$1,036
$1,874
$19,940
$690
$4,560
$0
$0
$46,785
-$46,785
$725
$725
$6,399
$390
$8,003
$1,631
$31,656
$1,249
$0
$5,350
$2,120
$0
$56,798
-$56,073
$117
$159
$1,182
$424
$0
$1,882
$1,882
100-1300-310-55001 Utilities $0 $0 $0
100-1300-310-55002 Water and Sewer Charges $0 $0 $0
100-1300-310-57009 Insurance $0 $0 $0
100-1300-310-57023 Tree Maintenance $0 $0 $0
100-1300-310-57031 Weed Abatement $0 $0 $0
100-1300-310-57057 Pest Management $0 $0 $0
$0
100-1300-310-70105 Projects $0 $0 $0
Expense Total: $0 $0 $0
Program: 310 - HCA Park Surplus (Deficit): $188,000 $188,000 $10,000 Program: 320 - Solvang Park
Revenue
100-1300-320-31007 Park Fees $375 $375 $375
Revenue Total: $375 $375 $375
Expense
100-1300-320-52003 Supplies $0 $0 $0
$0 $0 $0
100-1300-320-53003 Repairs and Maintenance $0 $0 $0
100-1300-320-55001 Utilities $0 $0 $0
100-1300-320-55002 Water and Sewer Charges $0 $0 $0
100-1300-320-57009 Insurance $0 $0 $0
100-1300-320-57023 Tree Maintenance $0 $0 $0
100-1300-320-70105 Projects $0 $0
100-1300-330-57009 Insurance $0 $0 $0
100-1300-320-70504 Gazebo-ADA Upgrades $0 $0 $0
Expense Total: $0 $0 $0
Program: 320 - Solvang Park Surplus (Deficit): $375 $375 $375 Program: 330 - Sunny Fields
Revenue
100-1300-330-31007 Park Reservation Fee $8,500 $8,500 $8,500 Revenue Total: $8,500 $8,500 $8,500
Expense
100-1300-330-52003 Supplies
100-1300-330-52009 Small Equipment $0 $0 $0
100-1300-330-53003 Repairs and Maintenance $0 $0 $0
100-1300-330-55001 Utilities $0 $0 $0
100-1300-330-55002 Water and Sewer Charges $0 $0 $0
$0 $0
100-1300-340-70105 Projects $0 $0 $0
100-1300-330-57023 Tree Maintenance $0 $0 $0
100-1300-330-57057 Pest Management $0 $0 $0
100-1300-330-57060 Turf Repair $0 $0 $0
100-1300-330-70105 Projects $0 $0 $0
Expense Total: $0 $0 $0
Program: 330 - Sunny Fields Surplus (Deficit): $8,500 $8,500 $8,500 Program: 340 - Common Areas
Expense
100-1300-340-53003 Repairs and Maintenance $0 $0 $0
100-1300-340-55001 Utilities $0 $0 $0
100-1300-340-55002 Water and Sewer Charges $0 $0 $0
100-1300-340-57029 Village Planter Maint. $0
Expense Total: $0 $0 $0
Program: 340 - Common Areas Total: $0 $0 $0
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
219
2020-2021
Total Activity
$0
$0
$79,065
$5,498
$4,046
$10,988
$8,481
$0
$0
$65
-$5,405
$336
$6,161
$20,255
$0
$4,813
$0
$443
$1,336
$0
$0
$410
$0
$164
$14
$1,243
$0
$0
$1,563
$1,220
$4,446
$6,680
$269
$392
$0
$0
$1,873
$0
$154,356
-$154,356
$9,415
$9,415
$137,925 $144,332 $151,940
100-1300-350-51002 FICA $13,133 $13,721 $14,303
100-1300-350-51010 Employee Screening $64 $64 $64
100-1300-350-51012 Education $1,000 $1,000 $1,000
Program: 350 - Recreation
Revenue
100-1300-350-38001 Miscellaneous Income $0 $0 $0
Revenue Total: $0 $0 $0
Expense
100-1300-350-51000 Salaries
100-1300-350-51003 Retirement $4,353 $4,509 $4,624
100-1300-350-51005 Cafeteria Plan $21,660 $25,795 $25,795 100-1300-350-51008 Workers' Comp Ins. $8,474 $4,836 $4,884 100-1300-350-51009 Employee Medical Exams $300 $300 $300 Supplies $900 $900 $900
100-1300-350-51017 Workers' Comp Ins-Retrospectiv -$411 $31 $31 100-1300-350-51019 Long Term Disability $621 $650 $684
100-1300-350-51020 Retirement - ER Pd 8% EE Share $6,851 $7,057 $7,271 100-1300-350-51021 Retirement - PERS UAL $31,689 $42,333 $45,407 $300
100-1300-350-53008 Vehicle Repairs & Maint. $2,000 $2,000 $2,000 100-1300-350-51022 Retirement - PERS PEPRA ER Cos $3,683 $4,277 $4,684 100-1300-350-51030 Housing Allowance $9,600 $12,000 $12,000 100-1300-350-51031 Cell Phone Allowance $0 $0 $0
100-1300-350-51035 Overtime $2,485 $1,472 $1,472
100-1300-350-51040 Specialty Pays $0 $600 $600
100-1300-350-52003
$0 $0 $0
100-1300-350-57009 Insurance $8,620 $7,508 $7,580
100-1300-350-52005 Recreation Programs $0 $0 $0
100-1300-350-52008 Postage $500 $500 $500
100-1300-350-52009 Small Equipment $600 $600 $600
100-1300-350-52015 Vehicle Fuel $1,400 $1,400 $1,400
100-1300-350-53003 Repairs and Maintenance $300 $300
100-1300-350-62003 Credit Card Proces. Fee $2,000 $2,500 $2,500 100-1300-350-63010 Vehicle Replacement $0 $0 $0
100-1300-350-53010 Computer/Desktop Equipment S $577 $577 $577 100-1300-350-54001 Office Equip/Computer Rep $0 $0 $0
100-1300-350-55003 Communications $0 $0 $0
100-1300-350-57001 P&R Marketing and Advertising $2,700 $2,700 $2,700 100-1300-350-57004 Computer Support
100-1300-350-57011 Lease Payments $212 $212 $212
100-1300-350-57015 Printing and Publishing $1,000 $1,000 $1,000 100-1300-350-57016 Professional Services $25,000 $25,000 $25,000 100-1300-350-57053 Software/Website $0 $0 $0
Expense Total: $287,236 $308,173 $320,329
Program: 350 - Recreation Surplus (Deficit): -$287,236 -$308,173 -$320,329 Program: 360 - Adult Sports
Revenue
100-1300-360-31008 Recreation Fees $10,000 $10,000 $10,000 Revenue Total: $10,000 $10,000 $10,000
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
220
2020-2021
Total Activity
$1,019
$1,019
$8,396
$33,839
-$210
$33,629
$13,421
$13,421
$20,208
$2,498
$2,498
$307
$307
$2,191
-$1,583
$0
$0
-$1,583
$137
$137
-$1,721
$0
2020-2021
Total Activity
$767
$767
$26
$0
$26
$741
$37,440
$37,440
$37,440
-$457,560
$19,850 $19,850
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Recreation Programs $4,000 $4,000 $4,000
Expense
100-1300-360-52005 Recreation Programs $5,000 $5,000 $5,000 Expense Total: $5,000 $5,000 $5,000
Program: 360 - Adult Sports Surplus (Deficit): $5,000 $5,000 $5,000 Program: 365 - Youth Programs
Revenue
100-1300-365-31008 Recreation Fees $20,000 $20,000 $20,000 100-1300-365-31040 Rec Program Discounts -$150 -$150 -$150 Revenue Total: $19,850
100-1300-375-39001 Donations $1,800 $1,800 $1,800
Revenue Total: $9,650 $21,650 $21,650
Expense
100-1300-365-52005 Recreation Programs $10,000 $10,000 $10,000 Expense Total: $10,000 $10,000 $10,000
Program: 365 - Youth Programs Surplus (Deficit): $9,850 $9,850 $9,850 Program: 370 - Adult Programs
Revenue
100-1300-370-31008 Recreation Fees $8,000 $8,000 $8,000 Revenue Total: $8,000
Expense Total: $4,000 $4,000 $4,000
Program: 370 - Adult Programs Surplus (Deficit): $4,000 $4,000 $4,000 Program: 375 - Special Events
Revenue
100-1300-375-31008 Recreation Fees $8,000 $20,000 $20,000 100-1300-375-31040 Special Events Discounts -$150 -$150 -$150 Program: 390 - Buellton Partnership Surplus (Deficit): -$2,000 -$2,000 -$2,000 Expense
100-1300-375-52005 Recreation Programs $3,000 $8,000 $8,000 Expense Total: $3,000 $8,000 $8,000
Program: 375 - Special Events Surplus (Deficit): $6,650 $13,650 $13,650 Program: 390 - Buellton Partnership
Revenue
100-1300-390-31008 Recreation Fees $5,000 $5,000 $5,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
100-1300-390-31024 Buellton Recreation Reimb $2,000 $2,000 $2,000 Revenue Total: $7,000 $7,000 $7,000
Expense
100-1300-390-52005 Recreation Programs $3,000 $3,000 $3,000 100-1300-390-71010 Buellton - Reimbursement of Rev $6,000 $6,000 $6,000 Expense Total: $9,000 $9,000 $9,000
Program: 700 - Street Trees
Expense
100-1300-700-57023 Street Tree Planting/Mgmt $0 $0 $0
Expense Total: $0 $0 $0
Program: 700 - Street Trees Total: $0 $0 $0
Department: 1300 - Parks and Recreation Surplus (Deficit): -$66,861 -$80,798 -$270,954 $8,000 $8,000
Expense
100-1300-370-52005
221
2020-2021
Total Activity
$6,292
$6,292
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$2,420
$248,798
$0
$18,032
$11,300
$574,907
$0
$0
$1,780
$857,238
-$850,946
-$2,500
-$2,500
-$2,500
-$853,446
TBID - Admin. Reimbursement $10,000 $10,000 $10,000
Revenue Total: $10,000 $10,000 $10,000
Workers' Comp Ins. $0 $2,899 $3,023
100-1400-400-51017 Workers' Comp Ins-Retrospectiv $0 $18 $19 Department: 1400 - Tourism
Program: 400 - Tourism Activities
Revenue
100-1400-400-43020
100-1400-400-51030 Housing Allowance $0 $6,000 $6,000
100-1400-400-51031 Cell Phone Allowance $0 $600 $600
Expense
100-1400-400-51000 Salaries $0 $86,519 $94,053
100-1400-400-51002 FICA $0 $8,689 $9,266
100-1400-400-51003 Retirement $0 $4,343 $4,703
100-1400-400-51005 Cafeteria Plan $0 $23,486 $23,486
100-1400-400-51008
100-1400-400-51019 Long Term Disability $0 $389 $423
100-1400-400-51020 Retirement - ER Pd 8% EE Share $0 $6,794 $7,396 100-1400-400-51021 Retirement - PERS UAL $0 $41,054 $46,476 100-1400-400-51022 Retirement - PERS PEPRA ER Sha $0 $0 $7,336 100-1400-400-55002 Water and Sewer Charges $2,500 $2,500 $2,500 100-1400-400-57005 Custodial $0 $0 $0
100-1400-400-57009 Insurance $0 $4,281 $4,465
100-1400-400-57018 Sidewalk Cleaning $0 $0 $0
100-1400-400-57029 Village Planter Maint. $0 $0 $0
100-1400-400-59010 Tourism/Marketing Expense $920,915 $550,000 $550,000 100-1400-400-59015 Danish Days $0 $0 $0
100-1400-400-70704 Centennial Plaza $0 $0 $0
100-1400-400-70707 Street Light Banners $0 $0 $0
Expense Total: $923,415 $737,572
Program: 400 - Tourism Activities Surplus (Deficit): -$913,415 -$727,572 -$749,747 Program: 410 - Tourism Events
Revenue
100-1400-410-41003 Tourism Revenues $0 $0 $0
Revenue Total: $0 $0 $0
Program: 410 - Tourism Events Total: $0 $0 $0
Department: 1400 - Tourism Surplus (Deficit): -$913,415 -$727,572 -$749,747 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
$759,747
222
2020-2021
Total Activity
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$100
$100
$100
$0
$0
$0
$0
$0
$0
$0
$0
Salaries $102,236 $97,042 $102,707
100-1600-300-51012 Education $1,000 $1,000 $1,000
Department: 1600 - Public Works/Engineering
Program: 300 - Administration
Expense
100-1600-300-51000
100-1600-300-51030 Housing Allowance $9,600 $12,000 $12,000 100-1600-300-51035 Overtime $4,372 $4,126 $4,126
100-1600-300-51002 FICA $10,371 $10,316 $10,750
100-1600-300-51005 Cafeteria Plan $19,887 $25,841 $25,841 100-1600-300-51008 Workers' Comp Ins. $6,281 $3,251 $3,302 100-1600-300-51009 Employee Medical Exams $125 $125 $125 100-1600-300-51010 Employee Screening
100-1600-300-51014 Safety Gear $500 $500 $500
100-1600-300-51017 Workers' Comp Ins-Retrospectiv -$305 $21 $21 100-1600-300-51019 Long Term Disability $460 $437 $462
100-1600-300-51022 Retirement - PERS PEPRA ER Cos $7,428 $7,584 $8,065 100-1600-300-63005 Capital Equipment $41,000 $0 $0
100-1600-300-63010 Vehicle Replacement $35,611 $0 $0
100-1600-300-51040 Specialty Pays $1,654 $685 $685
100-1600-300-52003 Supplies $200 $200 $200
100-1600-300-52008 Postage $250 $250 $250
100-1600-300-52015 Vehicle Fuel $6,000 $6,000 $6,000
100-1600-300-53008 Vehicle Repairs & Maint. $2,300 $2,300 $2,300 100-1600-300-53010 Computer/Desktop Equipment $676 $676 $676 100-1600-300-57009 Insurance $6,566 $5,212 $5,286
100-1600-300-57011 Lease Payments $278 $278 $278
100-1600-310-57057 Pest Management $4,500 $4,500 $4,500 Expense Total: $256,540 $177,893 $184,623
Program: 300 - Administration Total: $256,540 $177,893 $184,623 Program: 310 - HCA Park
Expense
100-1600-310-52003 Supplies $5,000 $5,000 $5,000
100-1600-310-52009 Small Equipment $650 $650 $650
100-1600-310-52015 Vehicle Fuel $50 $50 $50
100-1600-310-53003 Repairs and Maintenance
100-1600-320-55001 Utilities $1,800 $1,800 $1,800
100-1600-320-55002 Water and Sewer Charges $24,000 $24,000 $24,000 100-1600-310-55001 Utilities $1,000 $1,000 $1,000
100-1600-310-55002 Water and Sewer Charges $33,000 $33,000 $33,000 100-1600-310-57009 Insurance $1,548 $1,642 $1,642
100-1600-310-57023 Tree Maintenance $10,000 $40,000 $40,000 100-1600-310-57031 Weed Abatement
Expense Total: $93,748 $130,842 $130,842
Program: 310 - HCA Park Total: $93,748 $130,842 $130,842 Program: 320 - Solvang Park
Expense
100-1600-320-52003 Supplies $30,000 $30,000 $30,000
100-1600-320-53003 Repairs and Maintenance $26,500 $6,500 $6,500 100-1600-320-57009 Insurance $456 $483 $483
100-1600-320-57023 Tree Maintenance $2,500 $5,000 $5,000 Expense Total: $85,256 $67,783 $67,783
Program: 320 - Solvang Park Total: $85,256 $67,783 $67,783 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
$21,000 $25,000 $25,000
$17,000 $20,000 $20,000
$50 $50 $50
223
2020-2021
Total Activity
$0
$0
$0
$0
$0
$0
$0
$300
$0
$300
$300
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$5,412
$406
$5,000
$400
$150
$16,500
$0
$27,868
$41,100
$2,896
$1,634
$3,127
$4,013
$32
$529
$0
-$3,131
$134
$2,513
$25,000 $25,000 $25,000
100-1600-330-57009 Insurance $1,070 $1,134 $1,134
Program: 330 - Sunny Fields
$78,934 $78,934
Program: 340 - Common Areas
Expense
100-1600-340-53003 Repairs and Maintenance $10,000 $15,000 $15,000 Expense
100-1600-330-52003 Supplies $6,000 $6,000 $6,000
100-1600-330-52009 Small Equipment $600 $600 $600
100-1600-330-53003 Repairs and Maintenance $16,000 $20,000 $20,000 100-1600-330-55001 Utilities $1,200 $1,200 $1,200
100-1600-330-55002 Water and Sewer Charges
Program: 340 - Common Areas Total: $44,350 $56,350 $56,350 Program: 400 - Tourism Activities
Expense
100-1600-400-57005 Custodial-Restrooms $300,000 $151,000 $151,000 100-1600-330-57023 Tree Maintenance $3,500 $7,500 $7,500 100-1600-330-57057 Pest Management $7,500 $7,500 $7,500 100-1600-330-57060 Turf Repair $6,000 $10,000 $10,000
Expense Total: $66,870 $78,934 $78,934
Program: 330 - Sunny Fields Total: $66,870
100-1600-340-55001 Utilities $150 $150 $150
100-1600-340-55002 Water and Sewer Charges $1,200 $1,200 $1,200 100-1600-340-57029 Village Planter Maint. $33,000 $40,000 $40,000 Expense Total: $44,350 $56,350 $56,350
100-1600-600-43012 LLMD Admin Reimbursement $12,000 $12,000 $12,000 100-1600-400-57018 Sidewalk Cleaning $25,000 $25,000 $25,000 100-1600-400-70707 Street Light Banners $1,800 $5,000 $5,000 Expense Total: $326,800 $181,000 $181,000
Program: 400 - Tourism Activities Total: $326,800 $181,000 $181,000 Program: 600 - PW - Engineering
$0
100-1600-600-51005 Cafeteria Plan $3,559 $7,281 $7,281
Revenue
100-1600-600-31013 Misc Permit and Encroachment F $7,000 $7,000 $7,000 100-1600-600-31035 Development Fees $0 $0 $0
100-1600-600-35001 Grant-Recycling $5,000 $5,000 $5,000 100-1600-600-38001 Miscellaneous Income $250 $250 $250
100-1600-600-41000 Special Events Revenue $3,000 $3,000 $3,000 -$132 $9 $9
100-1600-600-51019 Long Term Disability $149 $193 $199
100-1600-600-43019 Transfers In $0 $230,000 $30,000
Revenue Total: $27,250 $257,250 $57,250
Expense
100-1600-600-51000 Salaries $43,021 $42,984 $44,273
100-1600-600-51002 FICA $3,676 $3,995 $4,093
100-1600-600-51003 Retirement $1,576 $0
100-1600-600-51008 Workers' Comp Ins. $2,565 $1,440 $1,423 100-1600-600-51010 Employee Screening $0 $0 $0
100-1600-600-51012 Education $3,000 $3,000 $3,000
100-1600-600-51014 Safety Gear $260 $260 $260
100-1600-600-51017 Workers' Comp Ins-Retrospectiv
100-1600-600-51020 Retirement - ER Pd 8% EE Share $2,398 $0 $0 2022-2023
Prelim Budget
2021-2022
Total Budget
2023-2024
Prelim Budget
224
2020-2021
Total Activity
$8,956
$634
$1,374
$120
$0
$85
$2,605
$49
$258
$38
$150
$195
$360
$0
$0
$2,017
$1,939
$3,713
$103
$641
$21,999
$0
$0
$0
$0
$48,696
$146,779
-$118,911
$0
$0
$0
$78,100
$5,694
$2,769
$15,314
$7,541
$107
$244
$0
$140
-$4,264
$301
$4,218
$12,441
$1,496
$5,140
$60
100-1600-600-51031 Cell Phone Allowance $120 $120 $120
100-1600-600-51035 Overtime $86 $520 $520
100-1600-600-51021 Retirement - PERS UAL $11,427 $0 $0
100-1600-600-51022 Retirement - PERS PEPRA ER Cos $840 $3,336 $3,453 100-1600-600-51030 Housing Allowance $1,680 $2,400 $2,400 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Office Equip/Computer Rep $0 $0 $0
100-1600-600-51040 Specialty Pays $120 $0 $0
100-1600-600-52002 Membership Dues $3,630 $3,630 $3,630 100-1600-600-52003 Supplies $1,000 $1,000 $1,000
100-1600-600-52008 Postage $300 $300 $300
$2,000
100-1600-600-57016 Professional Services $20,000 $20,000 $20,000 100-1600-600-52009 Small Equipment $400 $400 $400
100-1600-600-52015 Vehicle Fuel $700 $700 $700
100-1600-600-53003 Repairs and Maintenance $200 $200 $200 100-1600-600-53008 Vehicle Repairs & Maint. $2,000 $2,000 $2,000 100-1600-600-53010 Computer/Desktop Equipment S $4,568 $4,568 $4,568 100-1600-600-54001
Projects $5,000 $5,000 $5,000
Expense Total: $143,724 $107,649 $109,118
100-1600-600-55003 Communications $0 $0 $0
100-1600-600-57004 Computer Support $0 $0 $0
100-1600-600-57009 Insurance $2,530 $2,231 $2,206
100-1600-600-57011 Lease Payments $82 $82 $82
100-1600-600-57015 Printing and Publishing $2,000 $2,000 Expense
100-1600-605-51000 Salaries $99,973 $103,934 $109,278
100-1600-605-51002 FICA $9,808 $10,356 $10,765
100-1600-600-57017 Recycling Grant $6,000 $0 $0
100-1600-600-57053 Software/Website $0 $0 $0
100-1600-600-63006 Equipment Replacement $20,969 $0 $0
100-1600-600-63010 Vehicle Replacement $0 $0 $0
100-1600-600-70105
Program: 600 - PW - Engineering Surplus (Deficit): -$116,474 $149,601 -$51,868 Program: 605 - PW - Maintenance
Revenue
100-1600-605-38001 Miscellaneous Income $0 $0 $0
100-1600-605-43004 Sale of Surplus Property $0 $0 $0
Revenue Total: $0 $0 $0
$909
100-1600-605-51003 Retirement $3,519 $632 $648
100-1600-605-51005 Cafeteria Plan $17,214 $22,627 $22,627 100-1600-605-51008 Workers' Comp Ins. $6,064 $3,482 $3,513 100-1600-605-51010 Employee Screening $0 $0 $0
100-1600-605-51011 Recruitment $0 $0 $0
100-1600-605-51012 Education $750 $750 $750
100-1600-605-51014 Safety Gear $800 $800 $800
100-1600-605-51017 Workers' Comp Ins-Retrospectiv -$302 $22 $22 100-1600-605-51019 Long Term Disability $405 $468 $492
100-1600-605-51020 Retirement - ER Pd 8% EE Share $5,257 $879 100-1600-605-51021 Retirement - PERS UAL $25,208 $5,851 $6,276 100-1600-605-51022 Retirement - PERS PEPRA ER Cos $2,222 $7,150 $7,574 100-1600-605-51030 Housing Allowance $6,000 $8,100 $8,100 100-1600-605-51031 Cell Phone Allowance $120 $120 $120
225
2020-2021
Total Activity
$1,569
$1,500
$0
$349
$205
$0
$569
$90
$2,495
$67
$0
$2,429
$5,659
$6,346
$194
$0
$48,245
$7,440
$0
$206,459
-$206,459
-$4,453
-$4,453
$0
$0
$0
$600
-$401
$0
$0
$0
$0
$0
$4,542
$0
$592
$9,757
$16,381
$4,526
$2,500
$149
$38,646
-$43,099
$1,504
$65,288
$4,100 $788 $788
100-1600-605-53003 Repairs and Maintenance $500 $500 $500 100-1600-605-51035 Overtime $2,111 $3,194 $3,194
100-1600-605-51040 Specialty Pays
$0 $0
100-1600-605-57009 Insurance $7,209 $6,441 $6,486
100-1600-605-52002 Membership Dues $150 $150 $150
100-1600-605-52003 Supplies $600 $600 $600
100-1600-605-52008 Postage $300 $300 $300
100-1600-605-52009 Small Equipment $200 $200 $200
100-1600-605-52015 Vehicle Fuel $1,600 $1,600 $1,600
100-1600-605-63010 Vehicle Replacement $0 $0 $0
Expense Total: $201,275 $186,411 $193,159
100-1600-605-53008 Vehicle Repairs & Maint. $2,000 $2,000 $2,000 100-1600-605-53010 Computer/Desktop Equipment S $313 $313 $313 100-1600-605-54001 Office Equip/Computer Rep $0 $0 $0
100-1600-605-55003 Communications $0 $0 $0
100-1600-605-57004 Computer Support $0
100-1600-605-57011 Lease Payments $154 $154 $154
100-1600-605-57016 Professional Services $5,000 $5,000 $5,000 100-1600-605-57052 Temporary Agency Services $0 $0 $0
100-1600-605-57053 Software/Website $0 $0 $0
100-1600-610-51019 Long Term Disability $0 $0 $0
100-1600-610-51022 Retirement - PERS PEPRA ER Cos $0 $0 $0 Program: 605 - PW - Maintenance Surplus (Deficit): -$201,275 -$186,411 -$193,159 Program: 610 - Veterans' Memorial Building
Revenue
100-1600-610-32004 Veteran's Bldg Rental $5,000 $5,000 $5,000 Revenue Total: $5,000 $5,000 $5,000
Expense
100-1600-610-51000 Salaries $0 $0 $0
100-1600-610-51002 FICA $0 $0 $0
100-1600-610-51005 Cafeteria Plan $0 $0 $0
100-1600-610-51008 Workers' Comp Ins. $0 $0 $0
100-1600-610-51017 Workers' Comp Ins-Retrospectiv $0 $0 $0 $47,038 $47,038
100-1600-610-51030 Housing Allowance $0 $0 $0
100-1600-610-51035 Overtime $0 $0 $0
100-1600-610-51040 Specialty Pays $0 $0 $0
100-1600-610-52003 Supplies $5,500 $5,500 $5,500
100-1600-610-52009 Small Equipment $1,500 $1,500 $1,500 100-1600-610-53003 Repairs and Maintenance $6,000 $10,000 $10,000 100-1600-610-55001 Utilities $8,800 $8,800 $8,800
100-1600-610-55002 Water and Sewer Charges $16,000 $16,000 $16,000 100-1600-610-57009 Insurance $2,912 $3,088 $3,088
100-1600-610-57057 Pest Management $2,000 $2,000 $2,000 100-1600-610-61009 Permit Fees $150 $150 $150
Expense Total: $42,862
Program: 610 - Veterans' Memorial Building Surplus (Deficit): -$37,862 -$42,038 -$42,038 Program: 620 - City Hall
Expense
100-1600-620-52003 Supplies $1,800 $1,800 $1,800
100-1600-620-53003 Repairs and Maintenance $7,500 $9,000 $9,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
226
2020-2021
Total Activity
$7,054
$4,330
$917
$79,092
$79,092
$1,042
$1,365
$6,929
$1,418
$2,026
$12,781
$12,781
$279
$279
$279
$0
$9
$706
$423
$1,137
$1,137
$14,903
$952
$3,191
$14,404
$433
$33,882
$33,882
$10,120
$558
$4,100
$5,472
$287
$20,537
$20,537
$0
$0
$126,172
$126,172
100-1600-620-55002 Water and Sewer Charges $4,500 $4,500 $4,500 100-1600-620-55001 Utilities $8,000 $8,000 $8,000
Expense
100-1600-640-52003 Supplies $0 $0 $0
100-1600-620-61009 Permit Fees $1,000 $1,000 $1,000
Expense Total: $22,800 $24,300 $24,300
Program: 620 - City Hall Total: $22,800 $24,300 $24,300 Program: 630 - Municipal Annex
Expense
100-1600-630-52003 Supplies $1,800 $1,800 $1,800
100-1600-630-53003 Repairs and Maintenance $1,800 $1,800 $1,800 $1,600 $1,600 $1,600
100-1600-650-57009 Insurance $180 $190 $190
100-1600-630-55001 Utilities $7,000 $7,000 $7,000
100-1600-630-55002 Water and Sewer Charges $1,600 $1,600 $1,600 100-1600-630-57009 Insurance $2,232 $2,367 $2,367
Expense Total: $14,432 $14,567 $14,567
Program: 630 - Municipal Annex Total: $14,432 $14,567 $14,567 Program: 640 - Elverhoj
100-1600-670-55001 Utilities $3,000 $3,000 $3,000
100-1600-670-55002 Water and Sewer Charges $18,000 $18,000 $18,000 Expense Total: $0 $0 $0
Program: 640 - Elverhoj Total: $0 $0 $0
Program: 650 - Visitors' Center
Expense
100-1600-650-52003 Supplies $200 $200 $200
100-1600-650-53003 Repairs and Maintenance $5,000 $5,000 $5,000 100-1600-650-55001 Utilities
Expense Total: $6,980 $6,990 $6,990
Program: 650 - Visitors' Center Total: $6,980 $6,990 $6,990 Program: 670 - Restroom #1
Expense
100-1600-670-52003 Supplies $16,000 $16,000 $16,000
100-1600-670-53003 Repairs and Maintenance $3,500 $3,500 $3,500 100-1600-670-57009 Insurance $389 $412 $412
Expense Total: $40,889 $40,912 $40,912
Program: 670 - Restroom #1 Total: $40,889 $40,912 $40,912 Program: 680 - Restroom #3
Expense
100-1600-680-52003 Supplies $15,000 $12,000 $12,000
100-1600-680-53003 Repairs and Maintenance $1,300 $3,000 $3,000 100-1600-680-55001 Utilities $4,000 $4,000 $4,000
100-1600-680-55002 Water and Sewer Charges $7,800 $7,800 $7,800 100-1600-680-57009 Insurance $223 $236 $236
Expense Total: $28,323 $27,036 $27,036
Program: 680 - Restroom #3 Total: $28,323 $27,036 $27,036 Program: 690 - Roads
Revenue
100-1600-690-35029 Grant Revenue $0 $0 $0
100-1600-690-40014 Contributions-SB Cnty Fire Dept $0 $0 $0 100-1600-690-43020 Transfer In From Gas Tax/Traffic $126,172 $126,172 $126,172 Revenue Total: $126,172 $126,172 $126,172
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
227
2020-2021
Total Activity
$154,070
$10,914
$4,668
$36,408
$15,367
$0
$0
$215
-$8,685
$616
$7,091
$21,927
$4,210
$10,665
$60
$2,887
$2,698
$0
$7,081
$0
$0
$3,220
$30,463
$2,625
$422
$0
$0
$1,150
$68,387
$8,546
$10,577
$393
$23,230
$41,400
$9,050
$15,500
$0
$0
$9,113
$0
$20,280
$514,547
-$388,375
$18,525 $19,268 $19,937
$800 $800 $800
Expense
100-1600-690-51000 Salaries $180,120 $185,099 $193,832
100-1600-690-51002 FICA
100-1600-690-51022 Retirement - PERS PEPRA ER Cos $5,487 $11,585 $12,240 100-1600-690-51003 Retirement $5,303 $1,896 $1,944
100-1600-690-51005 Cafeteria Plan $39,352 $48,027 $48,027 100-1600-690-51008 Workers' Comp Ins. $10,989 $6,202 $6,231 100-1600-690-51010 Employee Screening $0 $0 $0
100-1600-690-51012 Education $500 $500 $500
100-1600-690-51014 Safety Gear
100-1600-690-51017 Workers' Comp Ins-Retrospectiv -$541 $39 $39 100-1600-690-51019 Long Term Disability $766 $833 $872
100-1600-690-51020 Retirement - ER Pd 8% EE Share $8,118 $2,893 $2,982 100-1600-690-51021 Retirement - PERS UAL $37,997 $17,553 $18,828 $2,200 $2,200 $2,200
100-1600-690-51030 Housing Allowance $12,000 $16,200 $16,200 100-1600-690-51031 Cell Phone Allowance $120 $120 $120
100-1600-690-51035 Overtime $4,030 $7,125 $7,125
100-1600-690-51040 Specialty Pays $8,174 $1,961 $1,961
100-1600-690-52002 Membership Dues $150 $150 $150
100-1600-690-57004 Computer Support $0 $0 $0
100-1600-690-52003 Supplies $16,000 $16,000 $16,000
100-1600-690-52009 Small Equipment $3,000 $3,000 $3,000 100-1600-690-52013 Trash Receptacles $5,000 $5,000 $5,000 100-1600-690-52015 Vehicle Fuel $6,000 $6,000 $6,000
100-1600-690-53003 Repairs and Maintenance $15,000 $45,000 $45,000 100-1600-690-53007 Highway Entrance Signs
$0 $0
100-1600-690-57050 Mapping $0 $0 $0
100-1600-690-53008 Vehicle Repairs & Maint. $4,500 $4,500 $4,500 100-1600-690-53010 Computer/Desktop Equipment S $600 $600 $600 100-1600-690-54001 Office Equip/Computer Rep $0 $0 $0
100-1600-690-55003 Communications $0 $0 $0
100-1600-690-55006 Street Light Power $63,000 $63,000 $63,000 100-1600-690-70105 Projects $0 $0 $0
Expense Total: $510,562 $515,386 $526,965
100-1600-690-57009 Insurance $11,062 $9,525 $9,569
100-1600-690-57011 Lease Payments $310 $310 $310
100-1600-690-57016 Professional Services $0 $0 $0
100-1600-690-57019 Sidewalk Grinding $40,000 $40,000 $40,000 100-1600-690-57048 Traffic Counts $0
100-1600-690-57053 Software/Website $0 $0 $0
100-1600-690-63005 Capital Equipment $12,000 $0 $0
100-1600-690-63006 Equipment Replacement $0 $0 $0
100-1600-690-63010 Vehicle Replacement $0 $0 $0
Program: 690 - Roads Surplus (Deficit): -$384,390 -$389,214 -$400,793 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
228
2020-2021
Total Activity
$30,940
$2,207
$1,101
$6,724
$3,084
$0
$48
-$1,740
$127
$1,678
$4,827
$624
$2,090
$30
$536
$526
$0
$0
$0
$9,994
$0
$69
$0
$0
$0
$9,937
$608
$1,295
$2,045
$83
$7,979
$0
$84,812
$84,812
$10,611
$1
$10,612
$2,150
$8,814
$0
$2,297
$38,500
$51,760
-$41,148
2020-2021
Total Activity
Long Term Disability $226 $306 $318
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Program: 700 - Street Trees
Expense
100-1600-700-51000 Salaries $60,170 $67,904 $70,577
100-1600-700-51002 FICA $5,667 $6,656 $6,860
100-1600-700-51003 Retirement $2,261 $316 $324
$120
100-1600-700-51035 Overtime $803 $1,664 $1,664
100-1600-700-51005 Cafeteria Plan $8,893 $14,233 $14,233 100-1600-700-51008 Workers' Comp Ins. $3,619 $2,275 $2,269 100-1600-700-51012 Education $500 $500 $500
100-1600-700-51014 Safety Gear $1,000 $1,000 $1,000
100-1600-700-51017 Workers' Comp Ins-Retrospectiv -$184 $14 $14 100-1600-700-51019
$10,000 $20,000 $10,000
100-1600-700-52015 Vehicle Fuel $1,500 $1,500 $1,500
100-1600-700-51020 Retirement - ER Pd 8% EE Share $3,240 $376 $390 100-1600-700-51021 Retirement - PERS UAL $16,303 $2,926 $3,138 100-1600-700-51022 Retirement - PERS PEPRA ER Cos $1,111 $4,807 $5,026 100-1600-700-51030 Housing Allowance $3,120 $4,800 $4,800 100-1600-700-51031 Cell Phone Allowance $120 $120
100-1600-700-55002 Water and Sewer Charges $10,000 $10,000 $10,000 100-1600-700-55003 Communications $0 $0 $0
100-1600-700-51040 Specialty Pays $1,733 $339 $339
100-1600-700-52002 Membership Dues $60 $60 $60
100-1600-700-52003 Supplies $1,000 $1,000 $1,000
100-1600-700-52009 Small Equipment $1,000 $1,000 $1,000 100-1600-700-52012 Tree Lights
100-1600-700-53003 Repairs and Maintenance $2,000 $2,000 $2,000 100-1600-700-53008 Vehicle Repairs & Maint. $1,200 $1,200 $1,200 100-1600-700-53010 Computer/Desktop Equipment S $99 $99 $99 100-1600-700-54001 Office Equip/Computer Rep $0 $0 $0
Revenue Total: $6,000 $10,000 $10,000
100-1600-700-57004 Computer Support $0 $0 $0
100-1600-700-57009 Insurance $3,521 $3,360 $3,351
100-1600-700-57011 Lease Payments $66 $66 $66
100-1600-700-57023 Street Tree Management $70,000 $75,000 $75,000 $0 $0 $0
Expense Total: $12,100 $14,600 $14,600
100-1600-700-57053 Software/Website $0 $0 $0
Expense Total: $209,028 $223,519 $216,847
Program: 700 - Street Trees Total: $209,028 $223,519 $216,847 Program: 710 - PW - Parking Lots
Revenue
100-1600-710-31037 Elec Charg Stn Revenue $6,000 $10,000 $10,000 100-1600-710-32003 Lease Income $0 $0 $0
Expense
100-1600-710-53003 Repairs and Maintenance $2,500 $5,000 $5,000 100-1600-710-55001 Utilities $7,600 $7,600 $7,600
100-1600-710-57016 Professional Services $0 $0 $0
100-1600-710-57051 Electric Vehicle Charging Station $2,000 $2,000 $2,000 100-1600-710-70105 Projects
Program: 710 - PW - Parking Lots Surplus (Deficit): -$6,100 -$4,600 -$4,600 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
229
2020-2021
Total Activity
$50,000
$50,000
$54,214
$3,944
$1,219
$7,668
$5,397
$0
$32
$0
-$3,370
$213
$1,862
$5,703
$2,231
$3,032
$60
$371
$347
$505
$0
$0
$0
$0
$0
$0
$16
$2,107
$3,960
$140
$67,340
$28,993
$311
$2,440
$1,682
$0
$5,994
$12,970
$4,399
$213,781
-$163,781
-$1,194,692
$1,288,727
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
FICA $7,842 $6,578 $6,767
100-1600-720-51003 Retirement $2,070 $316 $324
100-1600-720-51015 Uniforms $200 $200 $200
100-1600-720-51017 Workers' Comp Ins-Retrospectiv -$255 $14 $14 Program: 720 - Storm Water Program
Revenue
100-1600-720-43020 Transfer In from Local Transport $35,000 $35,000 $35,000 Revenue Total: $35,000 $35,000 $35,000
Expense
100-1600-720-51000 Salaries $84,218 $66,698 $69,166
100-1600-720-51002
100-1600-720-51005 Cafeteria Plan $12,098 $14,398 $14,398 100-1600-720-51008 Workers' Comp Ins. $5,096 $2,235 $2,223 100-1600-720-51012 Education $2,000 $2,000 $2,000
100-1600-720-51014 Safety Gear $0 $0 $0
100-1600-720-51019 Long Term Disability $334 $300 $311
100-1600-720-51020 Retirement - ER Pd 8% EE Share $2,934 $376 $390 100-1600-720-51021 Retirement - PERS UAL $14,960 $2,926 $3,138 100-1600-720-51022 Retirement - PERS PEPRA ER Cos $3,127 $4,713 $4,916 $0
100-1600-720-51030 Housing Allowance $4,560 $4,800 $4,800 100-1600-720-51031 Cell Phone Allowance $120 $120 $120
100-1600-720-51035 Overtime $804 $1,688 $1,688
100-1600-720-51040 Specialty Pays $1,357 $337 $337
100-1600-720-52002 Membership Dues $800 $800 $800
100-1600-720-52003 Supplies $200 $200 $200
$125 $125 $125
100-1600-720-52008 Postage $700 $700 $700
100-1600-720-52009 Small Equipment $200 $200 $200
100-1600-720-53003 Repairs and Maintenance $25,000 $25,000 $25,000 100-1600-720-53010 Computer/Desktop Equipment S $170 $170 $170 100-1600-720-54001 Office Equip/Comp Replacement $0 $0 $0 100-1600-720-55003 Communications $0 $0
100-1600-720-70614 Storm Drain Improvements $0 $0 $0
100-1600-720-57004 Computer Support $0 $0 $0
100-1600-720-57009 Insurance $4,958 $3,300 $3,284
100-1600-720-57011 Lease Payments $111 $111 $111
100-1600-720-57016 Professional Services - SWMP $92,000 $92,000 $92,000 100-1600-720-57022 Street Sweeping $40,000 $40,000 $40,000 100-1600-720-57028 Underground Alert
100-1600-720-57053 Software/Website $0 $0 $0
100-1600-720-57058 Lab Fees and Stormwater Monit $5,000 $5,000 $5,000 100-1600-720-57059 Public Outreach/Education $4,000 $4,000 $4,000 100-1600-720-61007 Storm Water Permit $6,200 $6,200 $6,200 100-1600-720-70937 Annual Stormwater Report $5,000 $5,000 $5,000 Expense Total: $325,929 $290,504 $293,582
Program: 720 - Storm Water Program Surplus (Deficit): -$290,929 -$255,504 -$258,582 Department: 1600 - Public Works/Engineering Surplus (Deficit): -$2,233,045 -$1,758,292 -$1,981,224 Fund: 100 - GENERAL FUND Surplus (Deficit): -$217,928 -$1,273,776 -$185,310 230
2020-2021
Total Activity
$1,821
$0
$150
$258,649
$0
$1,622
$262,242
$744,273
$32,214
$0
$0
$0
$0
$776,487
-$514,245
$0
$0
$0
-$514,245
-$514,245
Grant Revenue $0 $0 $0
Projects $5,000 $5,000 $5,000
200-2600-000-70506 HCA Improvement (Impact Fee) $5,000 $5,000 $5,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 200 - GOVERNMENT IMPACT FEES
Department: 2600 - AB 1600 Impact Fees
Program: 000 - Undesignated
Revenue
200-2600-000-31006 Parking In Lieu $25,472 $1,821 $1,821 200-2600-000-31011 Traffic Mitigation Fees $3,067 $3,067 $3,067 200-2600-000-31027 Skytt Mesa Park Fee $0 $0 $0
200-2600-000-35029
Program: 000 - Undesignated Surplus (Deficit): $36,963 $13,312 $13,312 Program: 805 - Impact Fees - Affordable Housing
Revenue
200-2600-805-31039 Drainage Impact Fees $0 $0 $0
200-2600-000-36002 Connection Fees-WWTP $0 $0 $0
200-2600-000-42001 Interest Income $18,424 $18,424 $18,424 Revenue Total: $46,963 $23,312 $23,312
Expense
200-2600-000-64003 Transfers out $0 $0 $0
200-2600-000-70105
200-2600-000-70936 Mission Drive Improvements $0 $0 $0
200-2600-000-70947 Fifth Street Sidewalk Project $0 $0 $0 200-2600-000-70949 Second Street Parcel $0 $0 $0
Expense Total: $10,000 $10,000 $10,000
Revenue Total: $0 $0 $0
Program: 805 - Impact Fees - Affordable Housing Total: $0 $0 $0 Department: 2600 - AB 1600 Impact Fees Surplus (Deficit): $36,963 $13,312 $13,312 Fund: 200 - GOVERNMENT IMPACT FEES Surplus (Deficit): $36,963 $13,312 $13,312 231
2020-2021
Total Activity
$5,231
$15
$5,246
$8,050
$8,050
-$2,804
-$2,804
-$2,804
Expense Total: $5,050 $5,050 $5,050
Program: 800 - Traffic Safety Surplus (Deficit): $0 $0 $0 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 201 - TRAFFIC SAFETY
Department: 2000 - Traffic Safety
Program: 800 - Traffic Safety
Revenue
201-2000-800-31021 Fines & Forfeitures $5,000 $5,000 $5,000 201-2000-800-42001 Interest Income $50 $50 $50
Revenue Total: $5,050 $5,050 $5,050
Expense
201-2000-800-64001 Rds Exp tx to Gen Fund $5,050 $5,050 $5,050 Department: 2000 - Traffic Safety Surplus (Deficit): $0 $0 $0 Fund: 201 - TRAFFIC SAFETY Surplus (Deficit): $0 $0 $0
232
2020-2021
Total Activity
$28,336
$19,064
$38,344
$2,000
$37,108
$738
$125,591
$118,122
$0
$118,122
$7,469
$103,111
$0
$103,111
$0
$0
$103,111
$110,580
$110,580
$148,190
Expense
202-2100-801-64001 Rds Exp tx to Genl Fund $118,122 $118,122 $118,122 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 202 - GAS TAX
Department: 2100 - Gas Tax
Program: 801 - Gas Tax
Revenue
202-2100-801-35008 Section 2105 Strts & Hwys $32,105 $32,105 $32,105 202-2100-801-35009 Sect 2106-Collier Unruh $21,257 $21,257 $21,257 202-2100-810-35033 Traffic Congestion Relief $6,508 $6,508 $6,508 Revenue Total: $120,297 $120,297 $120,297
202-2100-801-35010 Sect 2107-Gas Tax $42,159 $42,159 $42,159 202-2100-801-35011 Sect 2107.5 $2,000 $2,000 $2,000
202-2100-801-35026 Section 2103 $49,219 $49,219 $49,219 202-2100-801-42001 Interest Income $1,450 $1,450 $1,450 Revenue Total: $148,190 $148,190
202-2100-801-64003 Transfers Out $0 $250,000 $150,000
Expense Total: $118,122 $368,122 $268,122
Program: 801 - Gas Tax Surplus (Deficit): $30,068 -$219,932 -$119,932 Program: 810 - Gas Tax - RMRA
Revenue
202-2100-810-35032 Road Maintenance and Rehabilit $113,789 $113,789 $113,789 Expense
202-2100-810-70105 RMRA Projects $0 $0 $0
Expense Total: $0 $0 $0
Program: 810 - Gas Tax - RMRA Surplus (Deficit): $120,297 $120,297 $120,297 Department: 2100 - Gas Tax Surplus (Deficit): $150,365 -$99,635 $365 Fund: 202 - GAS TAX Surplus (Deficit): $150,365 -$99,635 $365 233
2020-2021
Total Activity
$4,741
$165,458
$418
$170,617
$50,000
$50,000
$120,617
$120,617
$120,617
$285,000
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 203 - LOCAL TRANSPORTATION
Department: 2200 - Local Transportation
Program: 802 - Local Transportation
Revenue
203-2200-802-35013 99234 Pedestrian & Bkwys $4,408 $4,408 $4,408 203-2200-802-35018 LSTP Funding $79,795 $79,795 $79,795 203-2200-802-42001 Interest Income $522 $522 $522
Revenue Total: $84,725 $84,725 $84,725
Expense
203-2200-802-64001 Transfer Out to General Fund $35,000 $35,000 Expense Total: $35,000 $35,000 $285,000
Program: 802 - Local Transportation Surplus (Deficit): $49,725 $49,725 -$200,275 Department: 2200 - Local Transportation Surplus (Deficit): $49,725 $49,725 -$200,275 Fund: 203 - LOCAL TRANSPORTATION Surplus (Deficit): $49,725 $49,725 -$200,275 234
2020-2021
Total Activity
$447,070
$2,402
$0
$449,472
$6,000
$0
$0
$7,961
$0
$0
$13,961
$435,511
$435,511
$435,511
Program: 803 - Measure A
Expense
204-2500-803-35005 DAR Subsidy $3,000 $3,000 $3,000
204-2500-803-64001 Rds Exp tx from Genl Fund $0 $30,000 $30,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 204 - MEASURE A
Department: 2500 - Measure A
Revenue
204-2500-803-30002 Sales Tax $395,688 $466,753 $509,581 204-2500-803-42001 Interest Income $593 $593 $593
204-2500-803-43013 Measure A Reimbursement $0 $0 $0
Revenue Total: $396,281 $467,346 $510,174
204-2500-803-64003 Transfers out $0 $468,000 $593,000
204-2500-803-70105 Projects/Misc. Repairs $0 $0 $0
204-2500-803-70605 Overlay-Crack Seal $0 $0 $0
204-2500-803-70608 Sidewalk Infill and Repair $0 $0 $0
Expense Total: $3,000 $501,000 $626,000
Program: 803 - Measure A Surplus (Deficit): $393,281 -$33,654 -$115,826 Department: 2500 - Measure A Surplus (Deficit): $393,281 -$33,654 -$115,826 Fund: 204 - MEASURE A Surplus (Deficit): $393,281 -$33,654 -$115,826 235
2020-2021
Total Activity
$214,971
$267
$215,238
$11,764
$81,080
$6,737
$73,796
$0
$0
$5,000
$0
$16,500
$2,500
$0
$197,377
$17,861
$17,861
$17,861
$1,500
$84,000 $84,000 $84,000
205-3500-804-55006 Street Light Power $0 $0 $0
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 205 - SKYTT MESA LLMD
Department: 3500 - Solvang Mesa LLD
Program: 804 - Skytt Mesa LLMD
Revenue
205-3500-804-30008 Property Tax-Misc. $219,024 $219,024 $219,024 205-3500-804-42001 Interest Income $1,500 $1,500
205-3500-804-70105 Special Projects $7,000 $7,000 $7,000 205-3500-804-70224 Detention Basin Veg Maint $6,000 $6,000 $6,000 Revenue Total: $220,524 $220,524 $220,524
Expense
205-3500-804-53003 Repairs and Maintenance $15,000 $15,000 $15,000 205-3500-804-53005 Open Space/Landscape Mt $84,000 $84,000 $84,000 205-3500-804-55001 Utilities $6,000 $6,000 $6,000
205-3500-804-55002 Water and Sewer Charges
205-3500-804-55012 Backflow Prevention $2,450 $2,450 $2,450 205-3500-804-57016 Professional Services $5,000 $5,000 $5,000 205-3500-804-61002 County Admin Fee $200 $200 $200
205-3500-804-61003 City Admin Fee $12,000 $12,000 $12,000 Expense Total: $221,650 $221,650 $221,650
Program: 804 - Skytt Mesa LLMD Surplus (Deficit): -$1,126 -$1,126 -$1,126 Department: 3500 - Solvang Mesa LLD Surplus (Deficit): -$1,126 -$1,126 -$1,126 Fund: 205 - SKYTT MESA LLMD Surplus (Deficit): -$1,126 -$1,126 -$1,126 236
2020-2021
Total Activity
$0
$0
$0
-$1,649
$744,273
$742,624
$742,624
$742,624
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$744,273
$744,273
$744,273
$744,273
-$1,649
$3,878,000 $2,158,000
Revenue Total: $1,100 $3,879,100 $2,159,100
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 300 - CAPITAL PROJECTS FUND
Department: 1600 - Public Works/Engineering
Program: 600 - PW - Engineering
Program: 801 - Gas Tax Total: $310,000 $250,000 $150,000 Department: 2100 - Gas Tax Total: $310,000 $250,000 $150,000 Expense
300-1600-600-70105 Projects -GEN FUND $1,466,000 $3,160,000 $1,165,000 Expense Total: $1,466,000 $3,160,000 $1,165,000
Program: 600 - PW - Engineering Total: $1,466,000 $3,160,000 $1,165,000 Program: 850 - Federal Funding
Revenue
300-1600-850-42001 Interest Income $1,100 $1,100 $1,100 300-1600-850-43019 Transfers In $0
Program: 850 - Federal Funding Total: $1,100 $3,879,100 $2,159,100 Department: 1600 - Public Works/Engineering Surplus (Deficit): -$1,464,900 $719,100 $994,100 Department: 2100 - Gas Tax
Program: 801 - Gas Tax
Expense
300-2100-801-70105 Projects -GAS TAX-RMRA $310,000 $250,000 $150,000 Expense Total: $310,000 $250,000 $150,000
Department: 2600 - AB 1600 Impact Fees
Program: 805 - Impact Fees - Affordable Housing
Expense
300-2600-805-70105 Projects -IMPACT FEES $72,000 $0 $0
Department: 2200 - Local Transportation
Program: 802 - Local Transportation
Expense
300-2200-802-70105 Projects -LOCAL TRANSPORTATIO $0 $0 $250,000 Expense Total: $0 $0 $250,000
Program: 802 - Local Transportation Total: $0 $0 $250,000 Department: 2200 - Local Transportation Total: $0 $0 $250,000 Department: 2500 - Measure A
Program: 803 - Measure A
Expense
300-2500-803-70105 Projects -MEASURE A $1,218,000 $468,000 $593,000 Expense Total: $1,218,000 $468,000 $593,000
Program: 803 - Measure A Total: $1,218,000 $468,000 $593,000 Department: 2500 - Measure A Total: $1,218,000 $468,000 $593,000 Expense Total: $72,000 $0 $0
Program: 805 - Impact Fees - Affordable Housing Total: $72,000 $0 $0 Department: 2600 - AB 1600 Impact Fees Total: $72,000 $0 $0 Fund: 300 - CAPITAL PROJECTS FUND Surplus (Deficit): -$3,064,900 $1,100 $1,100 237
2020-2021
Total Activity
$0
$0
$0
$0
$22,978
$42
$20,737
$2,973,374
$495
$0
$2,078,960
$6,186
$22,199
$8,188
$2,137
$198
$559
$0
$5,136,053
$352,194
$28,806
$51,181
$53,604
$19,583
$322
$62
$244
$1,793
$720
-$13,870
$112
$1,229
$10,090
$38,515
$17,126
$22,470
$150
$7,924
$5,102
$459
$27,770
$3,021
$4,252
$453
500-5100-501-31023 Inspection Fees $100 $100 $100
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 500 - WATER FUND
Department: 5100 - Water
Program: 105 - Retiree Costs
$2,330,403
500-5100-501-38001 Miscellaneous Income $2,000 $2,010 $2,010 Expense
500-5100-105-51004 Other Post Emp Benefits - TRUST $4,468 $4,468 $4,468 500-5100-105-51005 Retiree Medical/Dental/Life $8,915 $8,915 $8,915 Expense Total: $13,383 $13,383 $13,383
Program: 105 - Retiree Costs Total: $13,383 $13,383 $13,383 Program: 501 - Water
Revenue
500-5100-501-31022 Connection Fees $41,010 $41,010 $41,010 $500 $500 $500
500-5100-501-43019 Transfers In $55,000 $90,000 _________________ 500-5100-501-32003 Lease Income $18,000 $18,000 $18,000 500-5100-501-36003 Water Revenue $2,928,000 $3,189,702 $3,189,702 500-5100-501-36004 Bulk Water $600 $600 $600
500-5100-501-36008 Meter Change Fee $400 $400 $400
500-5100-501-36009 Water Revenue - Consumption $1,600,000 $1,931,448 500-5100-501-51005 Cafeteria Plan $52,907 $74,281 $74,281 500-5100-501-51008 Workers' Comp Ins. $23,963 $14,781 $14,713 500-5100-501-38002 Fines & Penalties $15,000 $15,000 $15,000 500-5100-501-42001 Interest Income $20,000 $12,000 $12,000 500-5100-501-43004 Sale of Surplus Property $1,500 $1,500 $1,500 500-5100-501-43005 Insurance Refunds $0 $0 $0
500-5100-501-43008 Collection Acct Recovery
Revenue Total: $4,682,110 $5,302,270 $5,611,225
Expense
500-5100-501-51000 Salaries $408,194 $441,166 $457,700
500-5100-501-51002 FICA $37,810 $42,913 $44,178
500-5100-501-51003 Retirement $4,794 $8,458 $8,674
Retirement - PERS UAL $34,316 $79,033 $84,773
500-5100-501-51009 Employee Medical Exams $0 $0 $0
500-5100-501-51010 Employee Screening $0 $0 $0
500-5100-501-51011 Recruitment $0 $0 $0
500-5100-501-51012 Education $6,000 $6,000 $6,000
$5,875
500-5100-501-52002 Membership Dues $2,500 $2,500 $2,500 500-5100-501-51014 Safety Gear $1,200 $1,200 $1,200
500-5100-501-51017 Workers' Comp Ins-Retrospectiv -$1,182 $94 $93 500-5100-501-51018 CalPERS Liability Reduction $0 $0 $0 500-5100-501-51019 Long Term Disability $1,769 $1,985 $2,060 500-5100-501-51020 Retirement - ER Pd 8% EE Share $7,558 $13,223 $13,623 500-5100-501-51021
500-5100-501-51022 Retirement - PERS PEPRA ER Cos $21,705 $21,615 $22,627 500-5100-501-51030 Housing Allowance $24,720 $36,000 $36,000 500-5100-501-51031 Cell Phone Allowance $300 $300 $300
500-5100-501-51035 Overtime $10,000 $18,155 $18,155
500-5100-501-51040 Specialty Pays $16,909 $5,875
500-5100-501-52003 Supplies $20,000 $20,000 $20,000
500-5100-501-52004 Utility Bill Printing/Supplies $3,000 $3,000 $3,000 500-5100-501-52008 Postage $6,400 $6,400 $6,400
500-5100-501-52009 Small Equipment $3,000 $3,000 $3,000 238
2020-2021
Total Activity
$19,181
$8,080
$79,523
$3,500
$390
$36,050
$0
$6,570
$147,108
$478,135
$2,922,190
$17,011
$91
$11,285
$22,389
$10,348
$591
$56,984
$279
$52,660
$144
$58,366
$570
$13,826
$0
$4,940
$848
$0
$65
$12,589
$7,180
$351,293
$3,983
$15,188
$23,594
$0
$0
$91,979
$6,249
$16,486
$0
$10,110
$0
$0
$295,249
$123
-$44,322
$5,374,135
-$238,082
-$238,082
-$238,082
$21,500 $23,000 $23,000
500-5100-501-52015 Vehicle Fuel $7,500 $7,725 $7,725
500-5100-501-54001 Office Equip/Computer Rep $0 $0 $0
500-5100-501-55003 Communications $0 $0 $0
500-5100-501-52014 Chlorination
500-5100-501-53003 Repairs and Maintenance $80,000 $160,000 $160,000 500-5100-501-53008 Vehicle Repairs & Maint. $9,500 $9,500 $9,500 500-5100-501-53010 Computer/Desktop Equipment S $2,167 $1,000 $1,000 500-5100-501-53011 Well Repairs and Maintenance $43,000 $30,000 $30,000 $60,000 $60,000
500-5100-501-55005 Power for Pumping $150,000 $154,500 $154,500 500-5100-501-55010 Purchased Water $185,640 $185,640 $185,640 500-5100-501-55011 State Water Payments $2,990,000 $2,240,562 $2,423,893 500-5100-501-55013 Ground Water Charges $20,000 $20,000 $20,000 Water Meter Replacement $10,000 $10,000 $10,000
500-5100-501-57003 Cloud Seeding Program $3,500 $3,500 $3,500 500-5100-501-57004 Computer Support $0 $0 $0
500-5100-501-57009 Insurance $30,938 $30,027 $29,927
500-5100-501-57010 Lab Fees $8,000 $8,000 $8,000
500-5100-501-57011 Lease Payments $467 $467 $467
500-5100-501-57012 Legal Fees $60,000
$90
500-5100-501-61009 Permit Fees $16,500 $18,500 $18,500
500-5100-501-57015 Printing and Publishing $1,500 $1,500 $1,500 500-5100-501-57016 Professional Services $20,000 $20,000 $20,000 500-5100-501-57021 Special Legal $0 $0 $0
500-5100-501-57024 Studies $0 $50,000 $0
500-5100-501-57028 Underground Alert $200 $200 $200
500-5100-501-57030
$0 $6,000 $6,000
500-5100-501-63008 Valve & FH Replacment Program $20,000 $20,000 $20,000 500-5100-501-57052 Temporary Agency Services $0 $0 $0
500-5100-501-57053 Software/Website $0 $0 $0
500-5100-501-57055 Sustainable Groundwater Manag $20,000 $20,000 $20,000 500-5100-501-57064 IT Expenses - Water Fund $31,665 $39,745 $39,745 500-5100-501-61004 Property Taxes $90 $90
500-5100-501-70852 River Well Development $240,700 $94,000 $94,000 500-5100-501-70938 Water Conservation Program $14,000 $14,000 $14,000 500-5100-501-62003 Credit Card Proces. Fee $6,000 $6,000 $6,000 500-5100-501-62009 Depreciation Expense $360,000 $360,000 $360,000 500-5100-501-63005 Capital Equipment $5,000 $5,000 $5,000 500-5100-501-63006 Equipment Replacement $29,289 $0 $0
500-5100-501-63007 Pump-Motor-Impellor Maintena
500-5100-501-63010 Vehicle Replacement $60,448 $0 $0
500-5100-501-64003 Transfers out $0 $1,324,128 $1,764,128 500-5100-501-70280 Upland Well Development $3,000 $10,000 $10,000 500-5100-501-70851 SCADA Upgrades $15,000 $15,000 $15,000 500-5100-501-70945 Reservoir 2 Repair Project $0 $0 $0
500-5100-501-70955 Acquisition of Suspended Table A $820,000 $820,000 $0 500-5100-501-71002 Overhead Contribution $304,107 $297,097 $297,097 500-5100-501-71005 Bad Debt Write Offs $1,500 $1,500 $1,500 500-5100-501-80004 Capitalized Assets (Contra Accou $0 $0 $0 Expense Total: $6,277,074 $6,866,660 $6,645,064
Program: 501 - Water Surplus (Deficit): -$1,594,964 -$1,564,389 -$1,033,839 Department: 5100 - Water Surplus (Deficit): -$1,608,347 -$1,577,773 -$1,047,222 Fund: 500 - WATER FUND Surplus (Deficit): -$1,608,347 -$1,577,773 -$1,047,222 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
239
2020-2021
Total Activity
$0
$0
$0
$0
$0
$140
-$853,173
-$853,033
$93,922
$7,066
$70,769
$18,655
$5,345
$188
$45
$0
$32
$85
-$5,977
$36
$380
$5,925
$23,556
$1,320
$5,842
$30
$483
$1,932
$0
$977
$2,648
$1,020
$0
$0
$3,318
$15,264
$1,831
$0
$0
$1,829
$2,884
$6,746
$10,211
$264
$500 $504 $504
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
$16,612
501-5200-502-51003 Retirement $3,795 $5,287 $5,416
Fund: 501 - WASTEWATER FUND
Department: 5200 - Sanitary Sewer
Program: 105 - Retiree Costs
Expense
501-5200-105-51004 Other Post Emp Benefits - TRUST $4,468 $4,468 $4,468 501-5200-105-51005 Retiree Medical/Dental/Life $8,915 $8,915 $8,915 Expense Total: $13,383 $13,383 $13,383
Program: 105 - Retiree Costs Total: $13,383 $13,383 $13,383 Program: 502 - Wastewater Collection
Revenue
501-5200-502-31023 Inspection Fees
$1,900 $1,900 $1,900
501-5200-502-51014 Safety Gear $350 $450 $450
501-5200-502-36007 Saddle Taps $400 $402 $402
501-5200-502-43019 Transfers In $0 $0 $0
Revenue Total: $900 $906 $906
Expense
501-5200-502-51000 Salaries $170,542 $159,090 $166,408
501-5200-502-51002 FICA $16,934 $16,059
501-5200-502-51020 Retirement - ER Pd 8% EE Share $5,444 $7,657 $7,898 501-5200-502-51021 Retirement - PERS UAL $27,011 $49,077 $52,642 501-5200-502-51005 Cafeteria Plan $32,312 $34,409 $34,409 501-5200-502-51008 Workers' Comp Ins. $10,400 $5,330 $5,349 501-5200-502-51009 Employee Medical Exams $300 $300 $300 501-5200-502-51010 Employee Screening $0 $0 $0
501-5200-502-51012 Education
501-5200-502-51015 Uniforms $0 $0 $0
501-5200-502-51017 Workers' Comp Ins-Retrospectiv -$513 $34 $34 501-5200-502-51018 CalPERS Liability Reduction $0 $0 $0 501-5200-502-51019 Long Term Disability $768 $716 $749
501-5200-502-52009 Small Equipment $2,850 $2,850 $2,850 501-5200-502-52010 Chemicals $100 $100 $100
501-5200-502-51022 Retirement - PERS PEPRA ER Cos $6,989 $4,365 $4,716 501-5200-502-51030 Housing Allowance $11,520 $13,500 $13,500 501-5200-502-51031 Cell Phone Allowance $120 $150 $150
501-5200-502-51035 Overtime $3,153 $5,903 $5,903
501-5200-502-51040 Specialty Pays $4,614 $2,466 $2,376
501-5200-502-52002 Membership Dues $200 $200 $200
501-5200-502-52003 Supplies $2,375 $2,375 $2,375
501-5200-502-52004 Utility Bill Printing/Supplies $3,000 $3,000 $3,000 501-5200-502-52011 Fuel for Generator $190 $190 $190
501-5200-502-52015 Vehicle Fuel $7,125 $7,125 $7,125
501-5200-502-53003 Repairs and Maintenance $20,000 $20,000 $20,000 501-5200-502-53008 Vehicle Repairs & Maint. $7,600 $7,600 $7,600 501-5200-502-53010 Computer/Desktop Equipment S $1,770 $1,770 $1,770 501-5200-502-54001 Office Equip/Computer Rep $0 $0 $0
501-5200-502-55001 Utilities $1,700 $1,750 $1,750
501-5200-502-55003 Communications $0 $0 $0
501-5200-502-57004 Computer Support $0 $0 $0
501-5200-502-57009 Insurance $12,938 $10,675 $10,704
501-5200-502-57011 Lease Payments $209 $209 $209
240
2020-2021
Total Activity
$0
$0
$71,979
$61
$0
$0
$2,848
$104,591
$0
$5,133
$0
-$853,173
$0
$0
$29,254
-$362,684
-$490,349
-$490,349
$0
$0
$0
$0
$12,806
$0
$1,394,349
$20
$7,396
$2,203
$177
$230
$499,871
$0
$1,917,052
$358,807
$27,155
$16,895
$73,189
$21,914
$38
$0
$255
-$13,913
$15
$1,437
$150
$4,000 $4,000 $4,000
501-5200-502-57015 Printing and Publishing $150 $150
501-5200-502-64003 Transfers out $0 $100,344 $990,344
501-5200-502-57016 Professional Services $1,000 $1,000 $1,000 501-5200-502-57024 Studies $0 $0 $0
501-5200-502-57028 Underground Alert $200 $200 $200
501-5200-502-57053 Software/Website $0 $0 $0
501-5200-502-57064 IT Expenses - Sewer $11,995 $16,449 $16,449 501-5200-502-61009 Permit Fees
501-5200-502-62009 Depreciation Expense $115,000 $115,000 $115,000 501-5200-502-63005 Capital Equipment $0 $0 $0
501-5200-502-63006 Equipment Replacement $2,827 $0 $0
501-5200-502-63010 Vehicle Replacement $37,517 $0 $0
$13,383 $13,383
Program: 503 - Wastewater Treatment Plant
Revenue
501-5300-503-31022 Connection Fees $14,020 $14,020 $14,020 501-5200-502-70930 Manhole Rehab Program $20,000 $20,000 $0 501-5200-502-70931 Sewer Line Rehab Program $0 $0 $0
501-5200-502-71002 Overhead Contribution $30,131 $104,499 $104,499 Expense Total: $578,516 $726,179 $1,608,326
Program: 502 - Wastewater Collection Surplus (Deficit): -$577,616 -$725,273 -$1,607,420 Interest Income $15,000 $5,000 $5,000
501-5300-503-43005 Insurance Refunds $0 $0 $0
Department: 5200 - Sanitary Sewer Surplus (Deficit): -$590,999 -$738,656 -$1,620,803 Department: 5300 - WasteWater
Program: 105 - Retiree Costs
Expense
501-5300-105-51004 Other Post Emp Benefits - TRUST $4,468 $4,468 $4,468 501-5300-105-51005 Retiree Medical/Dental/Life $8,915 $8,915 $8,915 Expense Total: $13,383 $13,383 $13,383
Program: 105 - Retiree Costs Total: $13,383
Expense
501-5300-503-51000 Salaries $373,457 $364,633 $375,871
501-5300-503-51002 FICA $37,537 $37,301 $38,122
501-5300-503-31023 Inspection Fees $300 $300 $300
501-5300-503-36005 Sewer Revenue $1,383,000 $1,917,452 $2,128,508 501-5300-503-38001 Miscellaneous Income $500 $500 $500
501-5300-503-38002 Fines & Penalties $5,000 $5,000 $5,000 501-5300-503-42001
501-5300-503-43008 Collection Acct Recovery $200 $200 $200 501-5300-503-43011 SYCSD Reimbursement $380,000 $420,000 $452,000 501-5300-503-43019 Transfers In $0 $0 $130,000
Revenue Total: $1,798,020 $2,362,472 $2,735,528
501-5300-503-51003 Retirement $15,267 $17,832 $18,255
501-5300-503-51005 Cafeteria Plan $72,679 $80,462 $80,462 501-5300-503-51008 Workers' Comp Ins. $22,828 $12,217 $12,083 501-5300-503-51009 Employee Medical Exams $475 $475 $475 501-5300-503-51012 Education $4,560 $4,560 $4,560
501-5300-503-51014 Safety Gear $1,377 $2,000 $2,000
501-5300-503-51017 Workers' Comp Ins-Retrospectiv -$1,120 $77 $77 501-5300-503-51018 CalPERS Liability Reduction $0 $0 $0 501-5300-503-51019 Long Term Disability $1,680 $1,641 $1,691 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
241
2020-2021
Total Activity
$25,722
$100,915
$1,529
$21,685
$90
$2,828
$8,999
$450
$7,943
$3,138
$7,564
$13,048
$281
$4,786
$47,733
$2,870
$55
$0
$279,038
$27,489
$9,003
$7,827
$28,177
$66,044
$550
$0
$279
$0
$77,606
$0
$0
$2,440
$0
$1,362
$23,094
$7,769
$315,454
$0
$6,916
$0
$871,227
$525
$0
$3,381
$154,436
$44
-$867,747
$1,750,337
$166,715
$166,715
-$323,634
$27,649 $28,440
Specialty Pays $19,412 $8,860 $8,350
501-5300-503-51020 Retirement - ER Pd 8% EE Share $23,836 $15,000
501-5300-503-52011 Fuel for Generator $2,375 $2,375 $2,375 501-5300-503-51021 Retirement - PERS UAL $108,622 $164,383 $176,322 501-5300-503-51022 Retirement - PERS PEPRA ER Cos $5,407 $1,418 $1,491 501-5300-503-51030 Housing Allowance $22,800 $28,200 $28,200 501-5300-503-51031 Cell Phone Allowance $180 $150 $150
501-5300-503-51035 Overtime $5,000 $16,824 $16,824
501-5300-503-51040
$0 $0 $0
501-5300-503-55001 Utilities $280,000 $250,000 $250,000 501-5300-503-52002 Membership Dues $1,500 $1,500 $1,500 501-5300-503-52003 Supplies $8,500 $8,500 $8,500
501-5300-503-52008 Postage $5,000 $5,000 $5,000
501-5300-503-52009 Small Equipment $2,000 $2,000 $2,000 501-5300-503-52010 Chemicals $15,000 $15,000
501-5300-503-57010 Lab Fees $45,000 $45,000 $45,000
501-5300-503-57011 Lease Payments $434 $434 $434
501-5300-503-52015 Vehicle Fuel $6,270 $6,500 $6,500
501-5300-503-53003 Repairs and Maintenance $47,500 $47,500 $47,500 501-5300-503-53008 Vehicle Repairs & Maint. $4,275 $4,275 $4,275 501-5300-503-53010 Computer/Desktop Equipment S $2,243 $2,243 $2,243 501-5300-503-54001 Office Equip/Computer Rep
501-5300-503-55002 Water and Sewer Charges $34,000 $34,000 $34,000 501-5300-503-55003 Communications $0 $0 $0
501-5300-503-57004 Computer Support $0 $0 $0
501-5300-503-57009 Insurance $38,119 $34,777 $34,579
$1,500
501-5300-503-61009 Permit Fees $28,300 $28,300 $28,300
501-5300-503-57012 Legal Fees $0 $0 $0
501-5300-503-57015 Printing and Publishing $600 $600 $600 501-5300-503-57016 Professional Services $8,000 $8,000 $8,000 501-5300-503-57020 Sludge Disposal $80,000 $80,000 $80,000 $3,123 $0 $0
501-5300-503-64003 Transfers out $0 $968,578 $1,128,578 501-5300-503-57024 Studies $0 $0 $0
501-5300-503-57028 Underground Alert $100 $100 $100
501-5300-503-57053 Software/Website $0 $0 $0
501-5300-503-57064 IT Expenses - WWTP $26,109 $38,063 $38,063 501-5300-503-61004 Property Taxes $1,500 $1,500
501-5300-503-71005 Bad Debt Write Offs $500 $500 $500
501-5300-503-80004 Capitalized Assets (Contra Accou $0 $0 $0 501-5300-503-62003 Credit Card Proces. Fee $6,500 $6,500 $6,500 501-5300-503-62009 Depreciation Expense $340,000 $340,000 $340,000 501-5300-503-63005 Capital Equipment $0 $0 $0
501-5300-503-63006 Equipment Replacement $65,866 $0 $0
501-5300-503-63010 Vehicle Replacement
501-5300-503-70105 Projects $0 $0 $0
501-5300-503-70938 Wastewater Rebate Programs $0 $0 $0
501-5300-503-70951 WWTP Upgrades Project $0 $0 $0
501-5300-503-71002 Overhead Contribution $159,069 $250,177 $250,177 Expense Total: $1,925,880 $2,950,104 $3,134,597
Program: 503 - Wastewater Treatment Plant Surplus (Deficit): -$127,860 -$587,632 -$399,069 Department: 5300 - WasteWater Surplus (Deficit): -$141,243 -$601,015 -$412,452 Fund: 501 - WASTEWATER FUND Surplus (Deficit): -$732,242 -$1,339,672 -$2,033,255 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
242
2020-2021
Total Activity
-$26,914
-$26,914
-$1
-$1
-$26,914
-$26,914
$4,000
$213,045
$622,361
$0
$15,154
$37,682
$0
$0
$0
$1,845
$0
$6,000
$900,087
$535
$0
$176
$0
$76,236
$1,953
$0
$0
$1,260
$64,148
$20,000
$497,801
$24,049
$128
$7,085
$159
$28,796
$0
$838
$109,974
$133,777
$0
Program: 000 - Undesignated Surplus (Deficit): $0 -$300,000 -$215,000 Department: 0000 - Undesignated Surplus (Deficit): $0 -$300,000 -$215,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 502 - TRANSIT FUND
Department: 0000 - Undesignated
Program: 000 - Undesignated
Transfers In $0 $0 $0
Revenue Total: $0 $0 $0
Expense
502-0000-000-64003 Transfers out $0 $300,000 $215,000
Expense Total: $0 $300,000 $215,000
502-5000-850-43004 Sale of Surplus Property $15,000 $7,500 $7,500 Department: 5000 - Transit
Program: 850 - Federal Funding
Revenue
502-5000-850-35005 DAR Subsidy $4,000 $4,000 $4,000
502-5000-850-35012 Section 5311 FTA $213,045 $285,417 $285,417 502-5000-850-35015 99260 Transit Article 4 $647,879 $747,948 $747,948 502-5000-850-35019 STA Funding $0 $80,000 $80,000
502-5000-850-35020 Specialized Transit $13,275 $14,603
502-5000-850-52008 Postage $4,000 $1,500 $1,500
502-5000-850-52009 Small Equipment $800 $1,800 $1,800
502-5000-850-35021 Fare Box Revenue $35,000 $55,000 $55,000 502-5000-850-35028 PTMISEA-Transit $0 $0 $0
502-5000-850-35035 Measure A Transit - Elderly & Dis $0 $0 $0 502-5000-850-38001 Miscellaneous Income $0 $0 $0
502-5000-850-42001 Interest Income
502-5000-850-43020 Transf from Spec Revenue $3,000 $3,000 $3,000 Revenue Total: $942,199 $1,213,468 $1,213,468
Expense
502-5000-850-52002 Membership Dues $570 $570 $570
502-5000-850-52003 Supplies $250 $250 $250
502-5000-850-52015 Vehicle Fuel $105,000 $110,000 $110,000 502-5000-850-53003 Repairs and Maintenance $3,000 $2,500 $2,500 502-5000-850-53008 Vehicle Repairs & Maint. $10,000 $12,000 $12,000 502-5000-850-55001 Utilities $1,800 $1,500 $1,500
Demonstration Project - Transit $0 $0 $0
502-5000-850-55003 Communications $0 $1,260 $1,260
502-5000-850-56002 Breeze 200 $0 $0 $0
502-5000-850-56003 Wine Country Express $29,000 $29,000 $29,000 502-5000-850-56010 Transit Contract $629,830 $679,657 $679,657 502-5000-850-57001 Marketing & Advertising $34,000 $34,000 $34,000 502-5000-850-57009 Insurance $124
502-5000-850-57011 Lease Payments $6,900 $36,000 $36,000 502-5000-850-57015 Printing and Publishing $8,500 $5,000 $5,000 502-5000-850-57016 Professional Services $43,000 $43,000 $43,000 502-5000-850-57026 Studies/Transit $45,000 $25,000 $0
502-5000-850-57053 Software/Website $0 $910 $910
502-5000-850-57054
502-5000-850-62009 Depreciation Expense $115,000 $115,000 $115,000 502-5000-850-63005 Capital Equipment $0 $0 $0
$131 $131
$11,000 $16,000 $16,000
$14,603
Revenue
502-0000-000-43019
243
2020-2021
Total Activity
$0
$62,170
$0
-$26,914
$1,002,172
-$102,085
$98,555
$98,555
$98,555
-$3,530
-$30,444
$0
502-5000-850-80004 Capitalized Assets (Contra Accou $0 $0 $0 Program: 860 - State Funding Total: $0 $0 $0
Department: 5000 - Transit Surplus (Deficit): -$159,110 $69,275 $94,275 502-5000-850-70285 Bus Stops/Signage $500 $500 $500
502-5000-850-71002 Overhead Contribution $64,035 $44,615 $44,615 502-5000-850-71003 Loss on Disposal of Assts $0 $0
Expense Total: $1,101,309 $1,144,193 $1,119,193
Program: 850 - Federal Funding Surplus (Deficit): -$159,110 $69,275 $94,275 Program: 860 - State Funding
Revenue
502-5000-860-43026 CARES Act Emergency Relief $0 $0 $0
Revenue Total: $0 $0 $0
Fund: 502 - TRANSIT FUND Surplus (Deficit): -$159,110 -$230,725 -$120,725 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
244
2020-2021
Total Activity
$0
$0
$0
$0
$16,202
$15,189
$5,133
$6,915
$0
$0
$0
$1,416
$110,033
$154,888
2020-2021
Total Activity
$63,056
$802,000
$865,056
-$710,168
-$710,168
$0
$0
$0
$0
$0
$0
$0
$0
$0
-$710,168
$0 $0 $0
600-3000-000-40008 Contrib-San Swr Equip Rep $0 $0 $0
Department: 3000 - Vehicle Pool
Program: 000 - Undesignated
Revenue
600-3000-000-40001 Contrib-Water Veh $0 $0 $0
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 600 - VEHICLE/EQUIPMENT POOL
600-3000-000-42001 Interest Income $7,991 $7,991 $7,991 600-3000-000-43019 Transfers In $216,811 $217,347 $217,347 600-3000-000-40002 Contrib-San Swr Veh $0 $0 $0
600-3000-000-40003 Contrib-WWTP Veh $0 $0 $0
600-3000-000-40005 Contrib-Genl Fund Veh $0 $0 $0
600-3000-000-40006 Contrib-GF Equip Replacement $0 $0 $0 600-3000-000-40007 Contrib-Water equip replc
600-3000-000-40009 Contrib-WWTP Equip Replcm $0 $0 $0
600-3000-000-40011 Contrib-GF office equip $0 $0 $0
600-3000-000-40012 Contrib-Water Office Equp $0 $0 $0
600-3000-000-40013 Contrib-SWR/WWTP Office Equi $0 $0 $0 $0
Revenue Total: $224,802 $225,338 $225,338
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Expense
600-3000-000-62009 Depreciation Expense $35,000 $35,000 $35,000 600-3000-000-64003 Transfers out $95,000 $290,000 $130,000 Expense Total: $130,000 $325,000 $165,000
Fund: 600 - VEHICLE/EQUIPMENT POOL Surplus (Deficit): $94,802 -$99,662 $60,338 Program: 000 - Undesignated Surplus (Deficit): $94,802 -$99,662 $60,338 Department: 3000 - Vehicle Pool Surplus (Deficit): $94,802 -$99,662 $60,338 Department: 5100 - Water
Program: 000 - Undesignated
Expense
600-5100-000-63006 Equipment Replacement $0 $0 $0
600-5100-000-63010 Vehicle Replacement $0 $0 $0
Expense Total: $0 $0 $0
Program: 000 - Undesignated Total: $0 $0
Department: 5100 - Water Total: $0 $0 $0
Department: 5300 - WasteWater
Program: 000 - Undesignated
Expense
600-5300-000-63010 Vehicle Replacement $0 $0 $0
Expense Total: $0 $0 $0
Program: 000 - Undesignated Total: $0 $0 $0
Department: 5300 - WasteWater Total: $0 $0 $0
245
2020-2021
Total Activity
$70,000
$161,264
$231,264
$231,264
$231,264
$231,264
Revenue Total: $85,000 $85,000 $85,000
Program: 105 - Retiree Costs Total: $85,000 $85,000 $85,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 650 - OPEB TRUST FUND
Department: 1100 - Administration
Program: 105 - Retiree Costs
Revenue
650-1100-105-11006 Contributions to OPEB Trust $70,000 $70,000 $70,000 650-1100-105-11007 Investment Gains/Losses $15,000 $15,000 $15,000 Department: 1100 - Administration Total: $85,000 $85,000 $85,000 Fund: 650 - OPEB TRUST FUND Total: $85,000 $85,000 $85,000 246
2020-2021
Total Activity
$375,004
$375,004
$303,653
$6,292
$309,945
$65,059
$65,059
$65,059
Department: 1400 - Tourism Surplus (Deficit): -$10,000 -$10,000 -$10,000 Fund: 700 - SYV - TOURISM BUS IMP DIST Surplus (Deficit): -$10,000 -$10,000 -$10,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 700 - SYV - TOURISM BUS IMP DIST
Department: 1400 - Tourism
Program: 400 - Tourism Activities
Revenue
700-1400-400-43001 Tourism Bus Imp Dist Assmt $470,000 $470,000 $470,000 Revenue Total: $470,000 $470,000 $470,000
Expense
700-1400-400-59016 SYVTBID Payments $470,000 $470,000 $470,000 700-1400-400-61003 City Admin Fee $10,000 $10,000 $10,000 Expense Total: $480,000 $480,000 $480,000
Program: 400 - Tourism Activities Surplus (Deficit): -$10,000 -$10,000 -$10,000 247
2020-2021
Total Activity
$0
$0
$0
$0
$7,961
$7,961
$7,961
$7,961
$775,865
$775,865
$775,865
$775,865
$51,247
$51,247
$51,247
$51,247
$835,073
Impact Fee Fund - Capitalized As $0 $0 $0
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 800 - GEN'L FIXED ASST ACCT GRP
Department: 2000 - Traffic Safety
Program: 800 - Traffic Safety
Revenue
800-2000-800-80003 Traffic Safety - Capitalized Assets $0 $0 $0 Revenue Total: $0 $0 $0
Program: 800 - Traffic Safety Total: $0 $0 $0
Department: 2000 - Traffic Safety Total: $0 $0 $0
Revenue Total: $0 $0 $0
Program: 000 - Undesignated Total: $0 $0 $0
Department: 2500 - Measure A
Program: 803 - Measure A
Revenue
800-2500-803-80003 Measure A - Capitalized Assets $0 $0 $0 Revenue Total: $0 $0 $0
Program: 803 - Measure A Total: $0 $0 $0
Department: 2500 - Measure A Total: $0 $0 $0
Department: 2600 - AB 1600 Impact Fees
Program: 805 - Impact Fees - Affordable Housing
Revenue
800-2600-805-80003
Revenue Total: $0 $0 $0
Program: 805 - Impact Fees - Affordable Housing Total: $0 $0 $0 Department: 2600 - AB 1600 Impact Fees Total: $0 $0 $0
Department: 9000 - Capital
Program: 000 - Undesignated
Revenue
800-9000-000-80003 Gen Fund - Capitalized Assets $0 $0 $0 Department: 9000 - Capital Total: $0 $0 $0
Fund: 800 - GEN'L FIXED ASST ACCT GRP Total: $0 $0 $0
248
2020-2021
Total Activity
$0
$0
$0
$0
$0
$0
$0
$0
$0
Program: 501 - Water Total: $480,000 $1,290,000 $1,730,000 Department: 5100 - Water Total: $480,000 $1,290,000 $1,730,000 2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 803 - WATER CAPITAL PROJECTS
Department: 0000 - Undesignated
Program: 000 - Undesignated
Revenue
803-0000-000-43019 Transfers In $0 $1,290,000 $1,730,000 Revenue Total: $0 $1,290,000 $1,730,000
Program: 000 - Undesignated Total: $0 $1,290,000 $1,730,000 Department: 0000 - Undesignated Total: $0 $1,290,000 $1,730,000 Department: 5100 - Water
Program: 501 - Water
Expense
803-5100-501-70105 Projects -WATER $480,000 $1,290,000 $1,730,000 Expense Total: $480,000 $1,290,000 $1,730,000
Fund: 803 - WATER CAPITAL PROJECTS Surplus (Deficit): -$480,000 $0 $0 249
2020-2021
Total Activity
$1,655,173
$1,655,173
$1,655,173
$1,655,173
$0
$0
$0
$0
$853,173
$853,173
$853,173
$853,173
$802,000
Projects -WASTEWATER $30,000 $900,000 $1,060,000
2021-2022
Total Budget
2022-2023
Prelim Budget
2023-2024
Prelim Budget
Fund: 804 - WWTP CAPITAL PROJECTS
Department: 0000 - Undesignated
Program: 000 - Undesignated
Revenue
804-0000-000-43019 Transfers In $0 $960,000 $2,010,000
Revenue Total: $0 $960,000 $2,010,000
Program: 000 - Undesignated Total: $0 $960,000 $2,010,000 Department: 0000 - Undesignated Total: $0 $960,000 $2,010,000 Department: 5200 - Sanitary Sewer
Program: 502 - Wastewater Collection
Expense
804-5200-502-70105 Projects -SEWER $120,000 $60,000 $950,000 Expense Total: $120,000 $60,000 $950,000
Program: 502 - Wastewater Collection Total: $120,000 $60,000 $950,000 Department: 5200 - Sanitary Sewer Total: $120,000 $60,000 $950,000 Department: 5300 - WasteWater
Program: 503 - Wastewater Treatment Plant
Expense
804-5300-503-70105
Expense Total: $30,000 $900,000 $1,060,000
Program: 503 - Wastewater Treatment Plant Total: $30,000 $900,000 $1,060,000 Department: 5300 - WasteWater Total: $30,000 $900,000 $1,060,000 Fund: 804 - WWTP CAPITAL PROJECTS Surplus (Deficit): -$150,000 $0 $0 250
2020-2021
Total Activity
$26,914
$26,914
$26,914
$26,914
$26,914
$26,914
$26,914
$26,914
$0
$2,085,667
2023-2024
Prelim Budget
Fund: 805 - TRANSIT CAPITAL FUNDS
Department: 0000 - Undesignated
Program: 000 - Undesignated
$300,000 $215,000
Department: 5000 - Transit
Program: 850 - Federal Funding
Expense
805-5000-850-70105 Projects -TRANSIT $160,000 $300,000 $215,000 Expense Total: $160,000 $300,000 $215,000
2021-2022
Total Budget
2022-2023
Prelim Budget
Program: 850 - Federal Funding Total: $160,000 $300,000 $215,000 Department: 5000 - Transit Total: $160,000 $300,000 $215,000 Fund: 805 - TRANSIT CAPITAL FUNDS Surplus (Deficit): -$160,000 $0 $0 Report Surplus (Deficit): -$5,773,517 -$4,516,886 -$3,553,625 Revenue
805-0000-000-43019 Transfers In $0 $300,000 $215,000
Revenue Total: $0 $300,000 $215,000
Program: 000 - Undesignated Total: $0 $300,000 $215,000 Department: 0000 - Undesignated Total: $0
251

CAPITAL IMPROVEMENT

PROGRAM
252
Capital Improvement Program Funding
Fund 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028+ GENERAL FUND-100 $ 3,160,000.00 $ 1,165,000.00 $ 4,965,000.00 $ 385,000.00 $ 790,000.00 $ 350,000.00 $ 6,325,000.00 WATER-500 $ 1,290,000.00 $ 1,730,000.00 $ 3,920,000.00 $ 5,680,000.00 $ 3,310,000.00 $ 420,000.00 $ 1,200,000.00 SEWER-501-5200 $ 60,000.00 $ 950,000.00 $ 35,000.00 $ 500,000.00 $ 1,030,000.00 $ - $ 1,530,000.00 WWTP-501-5300 $ 900,000.00 $ 1,060,000.00 $ 7,500,000.00 $ 7,535,000.00 $ 100,000.00 $ - $ 800,000.00 TRANSIT-502 $ 300,000.00 $ 215,000.00 $ - $ 270,000.00 $ 160,000.00 $ - $ 500,000.00 MEASURE A-204/LOCAL
TRANSPORTATION -203 $ 468,000.00 $ 843,000.00 $ 468,000.00 $ 1,673,000.00 $ 468,000.00 $ 468,000.00 $ 1,872,000.00 IMPACT FEES-200 $ - $ - $ - $ - $ - $ - $ -
SB1-GAS TAX-RMRA-202 $ 250,000.00 $ 150,000.00 $ 275,000.00 $ 275,000.00 $ 275,000.00 $ 275,000.00 $ 1,100,000.00 TOTAL $ 6,428,000.00 $ 6,113,000.00 $ 17,163,000.00 $ 16,318,000.00 $ 6,133,000.00 $ 1,513,000.00 $ 13,327,000.00 Capital Improvement Program Funding by Fund (Year by Year) 253
Public Works Department and Utilities Department Capital Improvement Program & Studies Summary Sheet FY 2022-23 thru 2031-32
Studies 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Public Works Department $ 150,000 $ 60,000 $ - $ 20,000 $ 50,000 $ - $ 80,000 Utilities Department $ 50,000 $ - $ 30,000 $ - $ - $ - $ 85,000 Studies Total: $ 200,000 $ 60,000 $ 30,000 $ 20,000 $ 50,000 $ - $ 165,000 Public Works Department CIP 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Parks (Maintenance Division) $ 745,000 $ - $ - $ - $ 140,000 $ - $ - Facilities (Maintenance Division) $ 1,940,000 $ 95,000 $ - $ 70,000 $ 330,000 $ - $ 200,000 Streets (Engineering Division) $ 1,073,000 $ 1,298,000 $ 1,798,000 $ 1,018,000 $ 903,000 $ 1,018,000 $ 3,722,000 Traffic Mitigation (Engineering Division) $ 50,000 $ 725,000 $ 3,750,000 $ 1,205,000 $ - $ - $ 5,000,000 Stormwater (Engineering Division) $ 70,000 $ 40,000 $ 160,000 $ 40,000 $ 160,000 $ 75,000 $ 375,000 Transit (Engineering Division) $ 300,000 $ 215,000 $ - $ 270,000 $ 160,000 $ - $ 500,000 CIP Total: $ 4,178,000 $ 2,373,000 $ 5,708,000 $ 2,603,000 $ 1,693,000 $ 1,093,000 $ 9,797,000 Utilities Department CIP 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2029-2032 Water (Water Division) $ 1,290,000 $ 1,730,000 $ 3,920,000 $ 5,680,000 $ 3,310,000 $ 420,000 $ 1,200,000 Sanitary Sewer (Wastewater Division) $ 60,000 $ 950,000 $ 35,000 $ 500,000 $ 1,030,000 $ - $ 1,530,000 WWTP (Wastewater Division) $ 900,000 $ 1,060,000 $ 7,500,000 $ 7,535,000 $ 100,000 $ - $ 800,000 CIP Total: $ 2,250,000 $ 3,740,000 $ 11,455,000 $ 13,715,000 $ 4,440,000 $ 420,000 $ 3,530,000 Red shading indicates that the Department CIP budget is high that Fiscal Year due to large projects.

TOTAL $ 6,428,000 $ 6,113,000 $ 17,163,000 $ 16,318,000 $ 6,133,000 $ 1,513,000 $ 13,327,000 254
Public Works Department Studies
FY 2021-22 thru 2030-31
Studies
Project Name, Description & Need
Funding
Sources 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Municipal Facilities Master Plan General Fund $ 70,000
Description : Prepare a master plan for City offices and all municipal facilities that will enable the City to efficiently provide city services and amenities for the next 30 years (including EV and solar facilities).

Need: City offices, public restrooms, public parking lots and other facilities were implemented in an uncoordinated manner and these facilities currently do not operate in the most efficient manner. In addition, the City facilities are not master planned for future changes in technology and anticipated growth. A Municipal Facilities Master Plan is needed to create a road map for upgrade and replacement of facilities in a coordinated manner to result in improved efficiency and service to the community.

Mission Drive Pedestrian and Vehicle corridor study General Fund $ 55,000 Description: Study the pedestrian crossings on Mission Drive (SR246) to determine the proper controls for pedestrians and vehicles to provide safe and efficient crossings and flow.

Need: Uncontrolled pedestrian crossings and other inefficiencies along the Mission Drive Corridor between Alisal and Fifth Street have caused excessive congestion through the corridor. The study will review the efficiency of the controlled intersections along Mission Drive with a keen eye on improving vehicular flow, queueing pedestrian crossings, and coordination of ped and vehicle signals. Removal of the Rapid Flashing Beacon (RFB) and replacement with a High-intensity Activated crossWalK (HAWK) signal interconnected with the Caltrans signals in coordination with other pedestrian controls, will be the focus of this study. The City has already reached out to Caltrans and this study is the necessary first step to initiate or modify any additional controls.

Mission Drive East & West End Road Widening Alternatives Study General Fund $ 60,000 Description : Conceptual study and alternatives evaluation for widening Mission Drive from Pine Street to Alamo Pintado Road, and from Nykobing to Skytt Mesa Drive to provide safer pedestrian & bicycle access.

Need: The planning and scoping of this project aligns with County regional multi-modal planning efforts. City Council and public input is needed to determine what, if any, future improvements are desired in these areas, and to position the City for possible future grant funding of capital improvements.

Short Range Transit Plan Update, and Infrastructure Plan Update Transit $ 50,000 $ 50,000 Description : Prepare updated Short Range Transit Plan, and prepare updated SYVT Infrastructure Plan.
255
Need: The Plan update is needed to strategically plan and implement future transit improvements to maximize ridership, and comply with Federal and State funding requirements.

ADA Paratransit Plan Update Transit $ 10,000 $ 10,000
Description : Prepare updated ADA Paratransit Plan.

Need: The Plan update is needed to comply with Federal and State funding requirements.

Title VI Plan Update Transit $ 15,000 $ 20,000 $ 20,000 Description : Prepare updated Title VI Civil Rights Plan.

Need: The Plan update is needed to comply with Federal and State funding requirements.

Total: $ 150,000 $ 60,000 $ - $ 20,000 $ 50,000 $ 80,000 Shading indicates work in progress.
256
Utilities Department Studies
FY 2022-23 thru 2031-32
Studies
Project Name, Description & Need
Project and 10-Yr
Program Cost Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2029-2032 Water Master Plan Update (completion) $ 50,000 Water Fund $50,000 Description : Update the City's 2011 Water System Master Plan to identify existing deficiencies and develop capital plan for necessary infrastructure upgrades and future water supply needs.

Need: The Plan will create a road map to implement necessary infrastructure upgrades and address future water supply needs to sustain the City's long term growth.

Sewer System Master Plan Update (completion) $ 50,000 Sewer Fund $ 50,000 Description : Develop hydraulic model and update the City's 1989 Sewer System Master Plan to identify existing deficiencies, and develop capital plan for necessary infrastructure upgrades for future development and growth.

Need: The Plan is needed to identify existing system deficiencies and replacement needs, forecast future capital improvement needs, and develop a 10-year Sewer System capital improvement plan. After identifying all needs, funding strategies can be pursued.

Sewer System Management Plan Update $ 65,000 Sewer Fund $ 30,000 $ 35,000 Description : Update the City's Sewer System Management Plan every 5 years as required by our State Permit to operate our sewer collection system.

Need: This is a regulatory requirement. Periodic updates to the City's Sewer System Management Plan ensure operational strategies stay abreast with current best management practices, procedures, and strategies.

Total: $ 115,000 $ 50,000 $ - $ 30,000 $ - $ - $ - $ 85,000 Shading indicates work in progress.
257
Capital Improvement Program
Maintenance (Parks) FY 2021-22 thru 2030-31
Capital Projects Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 HCA Playground Replacement General Fund $ 320,000
Description: Replace the existing playground at HCA Park with new multifaceted playground structure(s) to accommodate children of all ages, and active and passive recreation for parents as well.

Need: The existing play structure has served its useful life and only serves elementary school aged children. There is a need to provide a playground age appropriate for toddlers and kinder-aged children. Additionally, this new playground will provide new facilities to allow parents active recreation opportunities (Work Out Stations) as well a passive recreation (benches and tables) near the playground. General sitework within the park will be included in this project.

Parking Lot Maintenance General Fund $ 120,000
Description : Slurry seal and restripe the parking lot at HCA and Sunny Fields Parks as part of routine maintenance.

Need: This routine maintenance is needed to extend the useful life of the pavement, improve appearance, and reduce future expenditures.

HCA Park Multi-Upgrade Project General Fund $ 40,000
Description : Implement a comprehensive project to expand existing facilities and improve multiple areas throughout HCA Park including the following:

1. Replace deteriorated picnic tables at various locations.

2. Expand existing hiking and bike trail systems.

3. Expand existing playground structure.

4. Add DG, fencing and benches at new pickleball courts.

5. Add fitness/workout stations throughout the Park.

Prop 68 Grant $ 170,000
Need: Due to weather related deterioration over time, several picnic tables within the Park have reached the end of their useful life, are collapsing, and need to be replaced. Over the past few years City staff has received many requests from residents to improve and expand the hiking and bike trail system through HCA Park. Families with small children frequently use the Park and the existing playground structure does not include a toddler feature. Decomposed granite, fencing and benches are needed to improve the functionality of the new pickleball courts. Over the past few years staff has received requests for fitness stations throughout the Park. Including these will enhance the Park.

HCA Park Bicycle Pump Track General Fund $ 2,000
Description : Construct youth oriented bicycle pump track in the northeast end of the Park.

Prop 68 Grant $ 8,000
258
Capital Projects Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Need: During development of the Santa Ynez Valley Bicycle Master Plan strong community support for a youth oriented bicycle pump track was expressed. Therefore, a bicycle pump track was included within the Solvang portion of the final Santa Ynez Valley Bicycle Master Plan, and was approved and adopted by the Solvang City Council in 2019.

Completing this project will accomplish a City Council goal and meet the desire of the community.

HCA Skate Park Concrete Repairs General Fund $ 40,000
Description : Repair cracks and other minor defects in the concrete throughout the skate park.

Need: Regular care and maintenance of this facility is necessary to keep it in good working condition, and prevent a safety hazard and potential liability exposure due to lack of maintenance.

Solvang Park Gazebo Repairs General Fund $ 45,000
Description : Replace and repair the Gazebo roof, fascia, ceiling and lighting to extend the useful life of the Gazebo.

Need: The project is needed to repair the Gazebo, extend its useful life and better accommodate special events in Solvang Park.

HCA Pergola Replacement Project (Area D) General Fund $ 140,000 Description : Replace the existing aging pergola structure in Area D when it reaches the end of its useful life.

Need: The pergola has had past termite and dry rot damage, and is breaking down due to the weight and size of the wisteria vines. Eventually the entire structure will need to be fully replaced when it reaches the end of its useful life.

Total: $ 745,000 $ - $ - $ - $ 140,000 $ -
Prop 68 Grant Total: 178000
Future Projects: Solvang Park Gazebo ADA Lift.
259
Capital Improvement Program
Maintenance (Facilities) FY 2021-22 thru 2030-31
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Lots 4 & 5 EV Charging Project General Fund $ 130,000
Description: The Project includes installation of 12 EV chargers (9 Level 2, and 3 Level 3); four chargers for public use (1 Level 3), four chargers for City vehicles, and four chargers for transit use (2 Level 3). The chargers will be located in City Parking Lots 4 and 5 near the intersection of Oak Street & Second Street (next to the Solvang City Hall, Public Works and Planning offices. The Project will also include paving improvements to Parking Lot 5. With additional grant funding provided, SYVT will purchase the first EV vehicle for the fleet to coincide with the opening of the new charging facility.

Grant $ 150,000
Need : The State is requiring transition of our transit fleet to all EV vehicles.

In addition the City is in need of additional public EV charging stations, and the City needs its own EV charging facilities before we can transition our City fleet to EV vehicles.

City Hall Emergency Generator Replacement General Fund $ 350,000 Description : Replace and upgrade the old City Hall generator to also be able to power Well 4.

Need: The Project is needed to replace the existing generator that has reached the end of its useful life, and enable the new generator to also power Well 4 in the event of a prolonged power outage.

Veterans Hall ADA & Restroom Upgrades General Fund $ 600,000 Description : Enlarge Large Hall restrooms, remodel Legion Wing restrooms to be ADA compliant, replace remaining old windows, and construct other upgrades.

Need: The Project is needed to bring the existing restrooms into ADA compliance, improve energy efficiency, and improve the buildings ability to serve as an Emergency Shelter for the community.

Veterans Hall Emergency Generator General Fund $ 350,000 Description : Construct modifications to the Vets Hall existing electrical panel, install conduit and automatic transfer switch, and install portable emergency generator.

Need: The Vets Hall is a designated regional emergency shelter. The Project is needed to allow the Vets Hall to adequately function as a regional emergency shelter during a power outage.

City Hall Exterior Painting General Fund $ 50,000
Description : Paint exterior of City Hall.

Need: The Project will maintain the facility in good condition, improve appearance, and help extend the useful life of the facility.

Annex Building Drainage, Landscaping, and Exterior Painting General Fund $ 35,000 $ 45,000 Description: Replace exterior landscaping along Second Street with drought tolerant LID landscaping and, Install french drain and connect to drainage facility in Second Street. Repair exterior of Building in FY 23-24. 260
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Need: The Project will maintain the facility in good condition, improve appearance, and help extend the useful life of the facility.

Electric Vehicle (EV) Charging Facilities General Fund $ 70,000 $ 330,000 Description : Construct both municipal and public EV charging facilities at strategic locations throughout the City.

Need: The Project is needed to provide adequate EV charging facilities for expanded use of electric vehicles by both the City and visitors.

Restroom 3 Upgrades Project General Fund $ 200,000
Description : Construct major remodel and upgrades to Restroom 3.

Need: The Project will extend the useful life of the facility. Periodic upgrade to the existing facility is essential to the health and safety of the public. Sustainable water and energy facility enhancements will be incorporated into the project.

Parking Structure General Fund $ 100,000
Description: Study Parking Structure options for each of the City Parking Lots 1, 2, 4, and the Vets Parking Lot. Identify preferred alternative and move forward with conceptual design and cost estimates. This study will also review funding alternatives.

Need: The project will meet a stated Council goal and address the future need for additional parking in the Solvang Downtown area.

Public Works Bucket/Lift Truck General Fund $ 200,000
Description: Purchase a bucket truck to allow City staff to trim street trees, hang lights on street trees, hang banners, and perform various other aerial repairs and maintenance in a safe manner.

Need: The existing lift owned by the City has exceeded it useful lifespan, does not meet the current needs of the department, is currently not operating, and has become a maintenance liability. Rental rates for a serviceable truck is over $2,000 per week. The department needs this type of bucket truck to perform expected duties. This has caused increased costs to the City by utilizing contract labor to perform work that City staff is capable of performing
Restroom Fixture Upgrades Project General Fund $ 25,000 Description: Replace Restroom Fixtures to Touch Free fixtures for Toilets, Sinks and Urinals throughout City maintained Restrooms.

Need: The Project will reduce cost of maintenance, enhance hygiene in the restrooms by providing touch free operation, and reduce water usage.

Total: $ 1,940,000 $ 95,000 $ - $ 70,000 $ 330,000 $ 200,000 261
Capital Improvement Program
Streets FY 2021-22 thru 2030-31
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Slurry Seal Measure A $ 200,000 $ 200,000 $ 200,000 $ 400,000 Description : Construct slurry seal roadway maintenance to select streets.

Priority is based on condition and according to Pavement Maintenance Plan.
& SB1 Funding $ 250,000 $ 275,000 $ 275,000 $ 550,000
Need: The project provides critical maintenance to extend the useful life of the existing City roadway infrastructure and repair structural deterioration.

General Fund $ 25,000
Pavement Overlay, Repairs & Crack Seal Program Measure A $ 200,000 $ 200,000 $ 200,000 $ 400,000 Description : Construct crack seal and pavement overlay roadway maintenance to select street. Priority is based on condition and according to Pavement Maintenance Plan.
& SB1 Funding $ 100,000 $ 275,000 $ 275,000 $ 550,000
Need: The project provides critical maintenance to extend the useful life of the existing City roadway infrastructure and repair structural deterioration.

General Fund $ 350,000 $ 175,000 $ 175,000 $ 350,000
Miscellaneous Road Repairs and Maintenance Measure A $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 75,000 $ 300,000 Description : Construct sectional repairs to the roadway, crack sealing, curb and gutter repairs, and sidewalk replacements in advance of larger roadway maintenance projects.

Need: The project provides critical maintenance to extend the useful life of the existing City roadway infrastructure and repair structural deterioration.

Sidewalk Infill & Repair Measure A $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 400,000 Description : Construct repairs to damaged sidewalks and construct new sidewalks to schools, parks and other primary destinations.

General Fund $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $ 100,000 $400,000 Need: The project will improve facility safety and enhance the appearance of the City's sidewalk infrastructure. Location of new sidewalk will align with City's Sidewalk Master Plan.

Active Transportation (Non-Motorized Vehicle) Facilities General Fund $ 50,000 Description : Study, develop funding plans, and construct trail system throughout the City to provide on and off street connections for nonmotorized vehicles. This project will build upon previous studies but seek to develop a City-wide network of sidewalks and trails for residents and guests.

Measure A & Gas
Tax

TBD TBD TBD TBD TBD TBD
Need: This project aligns with City Council direction, will build upon County regional bicycle planning efforts, and will facilitate potential grant opportunities for the construction of the trail network.

Grants ? TBD TBD TBD TBD TBD TBD
Fredensborg Canyon Pedestrian Facility General Fund $ 40,000 $ 100,000 262
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Description : Design and construct a separated multi-purpose trail along Fredensborge Canyon Road between Chalk Hill Road and Vyborg Road.

Measure A $ 50,000
Need: There are currently no pedestrian or bicycle facilities along this roadway, which provides a connection between residential areas and the City's downtown core including schools, shopping, and other services.

Gas Tax $ 50,000
Access Ramp Improvements Measure A $ 65,000 $ 65,000 $ 65,000 $ 65,000 $ 65,000 $ 65,000 $ 260,000 Description : Construct new access ramps or upgrade existing access ramps along existing sidewalks.

General Fund
Need: This project is needed to meet Federal and State ADA infrastructure improvement mandates.

Bike Lane Improvements Measure A $ 28,000 $ 28,000 $ 28,000 $ 28,000 $ 28,000 $ 28,000 $ 112,000 Description: Install new and maintain existing bike lanes, sharrows, signage and other improvements throughout the City in accordance with the adopted Santa Ynez Valley Bicycle Master Plan, other City bikeway and trail guiding documents and efforts, and City Council direction.

Need: This project aligns with County regional bicycle planning efforts and City Council goals.

Public Parking Lot Maintenance General Fund $ 60,000 $ 55,000 $ 60,000 Description: Construct pavement repairs, slurry seal, striping and other maintenance to public parking lots. Each lot will be reviewed at the time of i t d f i t i i th b f ki
Lot 1 Lot 2 &
City Hall
Lot 3 &
Vets Hall
Need: The project provides critical maintenance to extend the useful life of the existing City pavement infrastructure.

Alisal Bridge Pier Repair Project General Fund $ 80,000 $ 80,000 $ 200,000 Description : Construct repairs to Piers 4, 5, 6 and 7 of Alisal Bridge per recommendations of 2012 Alisal Bridge Structural Evaluation Report.

HBP Grant ?? $ 700,000
Need: The project is critical to preserve the structural integrity and slow down deterioration of the bridge.

Total: $ 1,073,000 $ 1,298,000 $ 1,798,000 $ 1,018,000 $ 903,000 $ 1,018,000 $ 3,722,000 Funding Source Summary
Measure A: $ 468,000 $ 518,000 $ 468,000 $ 468,000 $ 468,000 $ 468,000 Gas Tax & SB1: $ 250,000 $ 150,000 $ 275,000 $ 275,000 $ 275,000 $ 275,000 General Fund: $ 355,000 $ 630,000 $ 355,000 $ 275,000 $ 160,000 $ 275,000 263
Capital Improvement Program
Traffic Mitigation FY 2021-22 thru 2030-31
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Mission Drive Ped and Signal Improvements Measure A $ 75,000 Local Transportation $ 250,000
Description: Install signal and other enhancements on Mission Drive as recommended by the Mission Drive Pedestrian and Vehicle corridor study. This will likely include a HALK Pedestrian crossing, other improvements to channelize pedestrians towards intended ped crossing locations, and other signal modifications to improve traffic circulation and pedestrian safety.

General Fund $ 200,000
Need: Uncontrolled pedestrian crossings and other inefficiencies along the Mission Drive Corridor between Alisal and Fifth Street have caused excessive congestion through the corridor. The study will review the efficiency of the controlled intersections along Mission Drive with a keen eye on improving vehicular flow, queueing pedestrian crossings, and coordination of ped and vehicle signals. Removal of the Rapid Flashing Beacon (RFB) and replacement with a High-intensity Activated crossWalK (HAWK) signal interconnected with the Caltrans signals in coordination with other pedestrian controls, will be the focus of this study.

The City has already reached out to Caltrans and this study is the necessary first step to initiate or modify any additional controls. Mission Drive with a keen eye on improving vehicular flow, queueing pedestrian crossings, and coordination of ped and vehicle signals. Removal of the Rapid Flashing Beacon (RFB) and replacement with a High-intensity Activated crossWalK (HAWK) signal interconnected with the Caltrans signals in coordination with other pedestrian controls, will be the focus of this study. The City has already reached out to Caltrans and this study is the necessary first step to initiate or modify any additional controls.

Mission Drive East End Bikeway/Shoulder Widening Project General Fund $ 50,000 $ 200,000 $ 3,750,000 Description : Construct shoulder widening along the south side of Mission Drive from Pine Street to Alamo Pintado Road to provide safer pedestrian and bicycle access.

Grant ??
Need: The construction of this Project aligns with Caltrans and County regional multi-modal planning efforts, provides bike lanes along this section of Hwy 246, and improves safety.

Caltrans Hwy 246 Bridge Replacement/Widening Project (at Alamo Pintado Creek)
Measure A
(Circulation Imps)
$ 605,000
Description : Facilitate and contribute to Caltrans project to replace and widen the Hwy 246 bridge over Alamo Pintado Creek.

Measure A Cost
Savings
$ 600,000
264
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Need: The construction of this Project aligns with Caltrans and County regional multi-modal planning efforts. The Caltrans bridge replacement project will include widening for bike lanes and connection to the existing Class I bike path between Solvang and the SY High School. The Caltrans project my also impact the intersection of Hwy 246 & Alamo Pintado Road.

Fjord Drive Extension General Fund $ 5,000,000
Description : Extend Fjord Drive west from its existing terminus westerly across Adobe Creek and then north up to the intersection of Mission Drive & Skytt Mesa Drive.

Grant ??
Need: The Project is needed to reduce traffic on Mission Drive through downtown Solvang by providing a partial bypass for Solvang residents living south of Mission Drive. The Project will also include creek restoration at its crossing with Adobe Creek by removing many years of concrete debris and restoring connection with the Santa Ynez River.

Total: $ 50,000 $ 725,000 $ 3,750,000 $ 1,205,000 $ - $ - $ 5,000,000 Traffic Impact Fees available as of 6-30-2020 = $1,678,804 Future Projects: Bikeway/Shoulder Widening (West End Mission Dr.); and Sunny Fields Spur Trail. 265
Capital Improvement Program
Stormwater FY 2021-22 thru 2030-31
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Trash Capture Improvements General Fund $ 70,000 $ 40,000 $ 160,000 $ 75,000 $ 175,000 Description: Complete large trash capture device for the Second Street DT Watershed.

Need: In accordance with the City's NPDES Permit, we are required by State mandate to plan for and implement 100% trash capture. The Project will improve water quality within our local creeks and the Santa Ynez River.

Adobe Creek Culvert Replacement General Fund $ 40,000 $ 160,000 Description : Replace and enlarge Adobe Creek culvert along Fredensborg Canyon Road just north of College Canyon Road.

Need: The Project is needed to replace and enlarge the CMP culvert that has reached the end of its useful life, and to reduce incidence of flooding of the road.

S. Alisal Rd Culvert Replacement General Fund $ 200,000 Description : Replace and enlarge undersized culverts along S. Alisal Road.

Need: The Project is needed to replace CMP culverts that are undersized and have failed multiple times during large storm events causing flooding and road closure.

Total: $ 70,000 $ 40,000 $ 160,000 $ 40,000 $ 160,000 $ 75,000 $ 375,000 266
Capital Improvement Program
Santa Ynez Valley Transit FY 2021-22 thru 2030-31
Capital Projects
Project Name, Description & Need
Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2028 - 2031 Transit Vehicle Replacement Program Transit & $ 150,000 $ 215,000 $ 230,000 $ 500,000 Description : Ongoing Program to purchase new (replacement) transit buses.

Grants $ 150,000
Need: The ongoing Program is required to maintain the SYVT fleet in a "state of good repair" and meet the obligation to provide transit and dial-aride service to the community.

Transit System Infrastructure Improvements Transit & $ 40,000 $ 160,000 Description : Construct various SYVT infrastructure and bus stop improvements, yet to be determined.

Grants
Need: The Project will improve convenience and safety for passengers, and enhance visibility of transit stops to promote increased ridership.

Total: $ 300,000 $ 215,000 $ - $ 270,000 $ 160,000 $ - $ 500,000 267
Capital Improvement Program
Water FY 2022-23 thru 2031-32
Capital Projects
Project Name, Description & Need
Project and 10-Yr
Program Cost Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2029 - 2032 Waterline Replacement Program $ 3,710,000 Water Fund $ 1,000,000 $ 70,000 $ 700,000 $ 70,000 $ 700,000 $ 70,000 $ 1,100,000 Description : Ongoing Program to replace the City's old, deteriorated and/or undersized waterlines. Facilities will be replaced as identified by the Water Master Plan Update.

Need: The ongoing Program replaces undersized facilities, or facilities at the end of their useful life providing proper fire flow, more reliable service, fewer shutdowns, and shutdowns of shorter duration.

Valve and Fire Hydrant Replacement Program $ 250,000 Water Fund $ 50,000 $ 50,000 $ 50,000 $ 100,000 Description : Ongoing Program to replace the City's old, deteriorated and poorly functioning valves and fire hydrants. Facilities will be replaced as identified and prioritized by Water Division staff.

Need: The ongoing Program replaces facilities at the end of their useful life providing more reliable service, fewer shutdowns, and shutdowns of shorter duration.

Zone 2 to Zone 1 Pressure Reducing Station $ 410,000 Water Fund $ 60,000 $ 350,000 Description : Construct new pressure reducing station along the boundary of pressure Zones 1 & 2 to allow well water from Zone 2 to feed Zone 1.

Need: The Project will improve the flow of water through the City's water distribution system, and reduce energy costs to double pump water from Zone 1 to Zone 2.

Water System Security Improvements $ 250,000 Water Fund $ 50,000 $ 200,000 Description : Implement upgrades and improvements to enhance the security of the City's water facilities and water operations based on recommendations of the 2021 Water System Risk & Resiliency Assessment.

Need: The upgrades are needed to enhance the security of the City's water facilities and water operations.

Portable Emergency Generators $ 320,000 Water fund $ 160,000 $ 160,000 Description : Replace two old portable emergency generators that have reached the end of their useful lives, and purchase one additional portable emergency generator to reduce risk and improve water system reliability.

Need: As recommended by our recent Water System Risk & Reliability Assessment, two existing emergency generators are reaching the end of their useful lives and are in need of replacement. Also, an additional portable emergency generator is needed to reduce risk and improve water system reliability.

Water Meter Radio System Upgrade $ 330,000 Water Fund $ 30,000 $300,000 Description: Upgrade the City's water meter radio system with a new high antennae at Reservoir 2 and latest radio technology at all meters. Also d t b t d t t d di Need: The upgrades are needed to reduce operating costs, improve water conservation, and improve customer service. Provide real time t d i hi h ibl t t River Wells Project $ 3,150,000 Water Fund $ 50,000 $ 100,000 $ 300,000 $ 2,700,000 Description : Drill and equip new river wells with pumps, motors, piping, electrical and disinfection equipment. Construct waterlines to transmit well water to distribution system. Acquire easements for new river wells and waterlines.

Need: The Project will develop an additional water supply source for the City to help offset shortfalls in State Water supply allocations and improve water supply reliability.

Well 3 and 4 Wellhead Rehabilitation $ 310,000 Water Fund $ 60,000 $ 250,000 Description : Upgrade wellhead piping, valves, disinfection facilities, and instrumentation at Wells 3 & 4.

Need: The upgrades are needed to replace equipment at the end of its useful life and to maintain these wells in good operating condition to provide reliable water supply to the community.

Reservoir 3 Expansion Project $ 2,530,000 Water Fund $ 30,000 $ 2,500,000 268
Capital Projects
Project Name, Description & Need
Project and 10-Yr
Program Cost Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2029 - 2032 Description: Construction of a new 400,000 gallon reservoir to increase overall capacity in Zone 1. The project would supplement the current 200,000 gallon reservoir currently in service.

Need: For many years the City's water distribution system has been identified as being deficient in storage. The Project will significantly increase the water system's operational, firefighting and emergency storage, and allow for smoother water system operations in the event of a power outage. The increased capacity will also provide adequate supply Construction of HCA Middle Well $ 1,020,000 Water Fund $ 20,000 $ 1,000,000 Description: The project would complete the construction of the HCA middle well. This well will allow the city to meet consumer water demands and provide another source for ensuring resiliency and maintaining self-sufficiency.

Need: The city must continue to seek sources of water to provide safe and reliable supplies, to offset the continuing shortages of our State water supplies. Construction of an additional well will allow other wells to be rotated allowing for groundwater recovery and maintain longevity of infrastructure.

Reservoir 1 Roof Replacement $ 180,000 Water Fund $ 30,000 $ 150,000 Description: Replacement of deteriorating roof on the reservoir. Replacing the roof with a reliable and long life product ensuring the reservoir will provide a safe and sanitary environment for the city's water supply Need: The current roof has been in place for 25 plus years. The paneling on the roof has begun deteriorating compromising the security and quality of the city's water supply.

Purchase Mini Excavator $ 90,000 Water Fund $ 90,000
Description: Purchase of a new mini excavator, for continued responsiveness to maintaining and repair of the water distribution system.

Need: A new mini excavator will allow the crews an efficient tool to perform their routine and responsive maintenance and repairs to the water distribution system. As the backhoe is shared amongst all departments a mini excavator will provide the crews with the ability to maintain an efficient and prompt response during emergencies'.

Reservoir 1 Expansion Project $5,000,000 Water Fund $2,500,000 $2,500,000 Description: Expand reservoir 1 by approximately 600,000 gallons to provide needed additional operational, fire fighting and emergency storage. The project also includes acquiring the necessary property to expand the reservoir.

Need: For many years the City's water distribution system has been identified as being deficient in storage. The project will significantly increase the water system's operational, fire fighting and emergency storage, and allow for smoother water system operations in the event of a power outage.

Total: $ 13,840,000 $ 1,290,000 $ 1,730,000 $ 3,920,000 $ 5,680,000 $ 3,310,000 $ 420,000 $ 1,200,000 Water Connection Fee Revenue: $ 82,020
Unrestricted Net Position (6-30-2020): $ 6,995,047 $ 7,077,067 $ 5,844,938 $ 4,156,087 $ 238,448 $ (5,441,552) $ (8,751,552) (1) Balance: $ 5,787,067 $ 4,114,938 $ 236,087 $ (5,441,552) $ (8,751,552) $ (9,171,552) Notes: (1) The figures shown are intended to present a rough approximation of changes in Water Fund Reserve levels. Revenues and operations expenditures are assumed to remain the same for the 6-year period with 1% interest applied annually to any positive balance.

Future Projects: New Reservoir 4 to Replace Cisterns.
269
Capital Improvement Program
Sanitary Sewer FY 2022-23 thru 2031-32
Capital Projects
Project Name, Description & Need
Project and 10-Yr
Program Cost Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2029-2032 Sewer Line Replacement Program $ 2,790,000 Sewer Fund $ 60,000 $ 800,000 $ 130,000 $ 800,000 $ 1,000,000 Description : Ongoing Program to repair or replace old, deteriorated sewer lines, and sewer lines experiencing high infiltration.

Need: The ongoing Program replaces facilities at the end of their useful life providing more reliable service, and prevents groundwater infiltration into the sewer system. Reducing groundwater infiltration into the sewer system helps mitigate the possibility of sewer spills. Sewer lines degrade over time due to root damage.

Alisal Lift Station Upgrades $ 300,000 Sewer Fund $ 70,000 $ 230,000 Description : Upgrade antiquated controls, and replace aging components at Alisal Lift Station.

Need: The Project is needed as part of routine maintenance on existing equipment. Failure to perform routine maintenance and replace aging parts will likely result in compounded repair costs in the future and disrupt operations.

Manhole Rehabilitation Program $ 685,000 Sewer Fund $ 35,000 $ 300,000 $ 350,000 Description : Ongoing Program to repair or replace old, deteriorated manholes, and manholes experiencing high infiltration.

Need: The ongoing Program replaces facilities at the end of their useful life providing more reliable service, and prevents groundwater infiltration into the sewer system. Reducing groundwater infiltration into the sewer system helps mitigate the possibility of sewer spills. Manholes degrade over time due to root damage and microbial-induced corrosion from sewer gasses such as hydrogen sulfide.

Collection System Video Surveillance $ 330,000 Sewer Fund $ 150,000 $ 180,000 Description: Perform a complete video surveillance of the sewer collection system, to identify any problem areas.

Need: A complete video surveillance of the sewer collection system will identify any infiltration and intrusion areas and also and potential areas susceptible to blockage and backups. Once the surveillance is complete staff will compile and prioritize a list of potential problem areas.

Total: $ 2,790,000 $ 60,000 $ 950,000 $ 35,000 $ 500,000 $ 1,030,000 $ - $ 1,530,000 270
Capital Improvement Program
Wastewater Treatment Plant FY 2022-23 thru 2031-32
Capital Projects
Project Name, Description & Need
Project and 10-Yr
Program Cost Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2029-2032 WWTP Water Quality Project - Phases 2&3 $ 16,800,000 SYCSD 20% (1) $ 180,000 $ 180,000 $ 1,500,000 $ 1,500,000 Description : Construct major treatment process upgrades and site improvements, and replace aging office/lab and Plant infrastructure. (Phase 3: Construct recycled water treatment facilities.) WW Fund 80% $ 720,000 $ 720,000 $ 6,000,000 $ 6,000,000 Need: The Project is needed to upgrade the Plant, replace aging infrastructure that has reached the end of its useful life, and improve site access, security and Plant operations. (Phase 3: Recycled water treatment is needed to produce effluent meeting Title 22 requirements for irrigation re-use.) Options for recycled water production and distribution WWTP Water Quality Project - Phases 2&3 Funding $ 30,000 SYCSD 20% (1) $ 6,000 Description: Coordinate with Carollo Engineers to seek funding opportunities for phases 2 & 3.

WW Fund 80% $ 24,000
Need: Completion of phases 2 & 3 will require the city to seek a funding source and possible grant opportunities. The WW fund reserve balances are not sufficient to fund the project. The SYCSD has also expressed a desire to be included in the funding opportunity, for their share of the project costs.

Replace WWTP Tractor $ 130,000 SYCSD 20% $ 26,000
Description : Replace the old John Deere Plant tractor. WW Fund 80% $ 104,000 Need: The existing tractor has reached the end of its useful life and needs to be replaced.

Belt Press Rehabilitation $ 35,000 SYCSD 21% (2) $ 7,350 Description : Replace rollers, bearings and belts as part of periodic major maintenance for belt press.

WW Fund 79% $ 27,650
Need: The Project is needed as part of routine maintenance on existing equipment. Failure to perform routine maintenance and replace aging parts will likely result in compounded repair costs in the future and disrupt operations.

Fjord Lift Station Upgrades $ 900,000 SYCSD 20% (1) $ 20,000 $ 160,000 Description : Upgrade antiquated controls, and replace aging components at Fjord Lift Station.

WW Fund 80% $ 80,000 $ 640,000
Need: The Project is needed as part of routine maintenance on existing equipment. Failure to perform routine maintenance and replace aging parts will likely result in compounded repair costs in the future and disrupt operations.

SYCSD: $ 180,000 $ 212,000 $ 1,500,000 $ 1,507,350 $ 20,000 $ - $ 160,000 Wastewater Fund: $ 720,000 $ 848,000 $ 6,000,000 $ 6,027,650 $ 80,000 $ - $ 640,000 Wastewater Projects: $ 17,895,000 Total WW only: $ 900,000 $ 1,060,000 $ 7,500,000 $ 7,535,000 $ 100,000 $ - $ 800,000 Sanitary Sewer Projects: $ 60,000 $ 950,000 $ 35,000 $ 500,000 $ 1,030,000 $ - $ 1,530,000 Total SS & WW Projects: $ 960,000 $ 2,010,000 $ 7,535,000 $ 8,035,000 $ 1,130,000 $ - $ 2,330,000 Sewer Connection Fee Revenue: $ 44,082
271
Capital Projects
Project Name, Description & Need
Project and 10-Yr
Program Cost Funding Source 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 FYs 2029-2032 Unrestricted Net Position (6-30-2021): $ 3,152,961 $ 3,197,043 $ 2,441,213 $ 649,646 $ (5,385,354) $ (11,913,004) $ (13,023,004) Balance: (3) $ 2,417,043 $ 643,213 $ (5,385,354) $ (11,913,004) $ (13,023,004) $ (13,023,004) Notes: (1) Per Agreement, for capital expenditures exceeding $50,000 SYCSD shares in 20% of project cost. (2) Per Agreement, for capital expenditures <= $50,000 SYCSD's share of the project cost is based on annual flow. In recent years SYCSD's flow percentage has averaged 21%. Expenditures <= $50,000 are considered "administration/maintenance." (3) The figures shown are intended to present a rough approximation of changes in Sewer Fund Reserve levels. Revenues and operations expenditures are assumed to remain the same for the ten year period with 1% interest applied annually to any positive balance.

Future Projects: Grease Removal System; and Second Digester. 272
RESOLUTION NO. 22-1179

A RESOLUTION OF THE CITY COUNCIL OF THE
CITY OF SOLVANG CALIFORNIA ADOPTING A BUDGET FOR FISCAL YEAR 2022-24 WHEREAS, the City of Solvang is required to appropriate and expend public funds to conduct its business on a day-to-day basis; and
WHEREAS, the City Council and City Staff have expended many hours preparing and reviewing the City’s needs; and
WHEREAS, the City Council finds and determines that the efficiency, economy, and effectiveness of City government operations would be substantially impaired if such appropriations or expenditures could not be incurred or paid on a daily basis, and WHEREAS, Section 37208 of the California Government Code provides that payments or demands conforming to a budget approved by ordinance or resolution need not be audited by the City Council prior to payment; and
WHEREAS, the City Council acknowledges the continuing efforts of staff to operate within an approved budget and manage savings wherever feasible; and.

WHEREAS, the City Council authorizes the City Manager to make administrative adjustments to the financial statements in the Exhibit A attached hereto and incorporated herein in accordance with the Council approval at the June 27, 2022 Final Budget Adoption hearing.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SOLVANG DOES HEREBY RESOLVE AS FOLLOWS:

SECTION 1. That the City Council of the City of Solvang, California adopts the Fiscal Year 2022-24 Annual Budget
SECTION 2. That the City Clerk shall certify to the passage and adoption of this Resolution and enter it into the book of original Resolutions PASSED, APPROVED, AND ADOPTED on this 27th day of June 2022. ______________________________
Charlie Uhrig, Mayor
APPROVED AS TO FORM: ATTEST:
______________________________ ______________________________ Dave Fleishman, City Attorney Annamarie Porter, City Clerk Attachment B
273

STATE OF CALIFORNIA )
COUNTY OF SANTA BARBARA ) ss

CITY OF SOLVANG )
I, Annamarie Porter, City Clerk of the City of Solvang, California do hereby certify that Resolution No. 22-1179 was passed and adopted by the City Council of the City of Solvang at a regular meeting of said City Council held on the 27th day of June 2022, and thereafter signed and approved by the Mayor and attested by the City Clerk, and that said resolution was adopted by the following vote:

AYES:

NOES:

ABSTAIN:

ABSENT:

Annamarie Porter, City Clerk
274

EXHIBIT A
275
Atterdag at Home
Buellton Senior Center
(SYV Senior Citizens
Foundation)
Santa Ynez Pirate Football
Santa Ynez Valley Fruit
and Vegetable Rescue
Santa Ynez Valley Senior
Advisory Council (dba
Solvang Senior Center)
Solvang Arts and Music
Foundation (Solvang
School Education
Foundation)
Santa Ynez Valley People
Helping People
Grant Funding Total
Elverhoj Museum (FY 2022-
23 Contract Previously
Awarded)
Solvang Chamber of
Commerce
Solvang Senior Center
Solvang Festival Theater
Solvang Danish Days
Foundatuon
Santa Ynez Valley Rotary
Club Foundation
Additional Funding Total

GRAND TOTAL
$ 20,000 TBD
TBD
TBD
TBD
City of Solvang
FY 2022-23 & 2023-24 Funding Requests
Grant Funding Applications Received
$ 35,000 $ 40,000
Additional Funding Requests
Fiscal Year 2022/2023 Requested Fiscal Year 2023/2024 Requested $ 20,000
$ 10,000
$ 15,000
$ 70,000
$ 10,000
$ 157,500
TBD
TBD
$ 12,500 $ 12,500
$ 250,000 $ 250,000
$ 139,020 N/A
$ 12,500
$ 756,520 $ 402,500
$ 100,000 $ 100,000
$ 50,000 TBD
$ 25,000 TBD
$ 599,020 $ 390,000
Attachment C
276
Grant Funding Applications

1. Atterdag at Home

2. Buellton Senior Center

3. Santa Ynez Pirate Football

4. Santa Ynez Valley Fruit and Vegetable
Rescue

5. Solvang Senior Center

6. Solvang Arts and Music Foundation

7. Santa Ynez Valley People Helping People
277

CITY OF SOLVANG

HUMAN SERVICES GRANT FUNDING

APPLICATION

1. Organization/Agency Name: ATTERDAG AT HOME, INC.

2. Mailing Address: 636 ATTERDAG ROAD, SOLVANG, CA 93463

3. Physical Address: 636 ATTERDAG ROAD, SOLVANG, CA 93463

4. Contact email and phone number: [email protected] (805) 350-8478

5. Organization’s purpose? Goals and objectives?
The purpose of the Atterdag at Home program is to provide services to low- income seniors allowing them to remain secure and supported in their own homes. “Neighbors helping neighbors age in place” is the mission statement of Atterdag at Home. Our tagline is “Helping seniors stay connected and supported.” The goal of Atterdag at Home, Inc. is to support a fragile population within the Solvang area through hot nutritious meals (at reduced or not cost) Monday-Friday, year- round, and much needed social support. Over 204 dedicated volunteers who deliver Meals on Wheels are essential to the success of the program. Our dedicated volunteers have become in tune with those they deliver meals. The volunteers know their recipient’s habits and report back to the Director with any concerns for the seniors’ well-being or unmet needs.

Two years ago, Atterdag at Home implemented a “Brown Bag Breakfast” to our Meals on Wheels program for additional weekend nutrition. A team of volunteers assembles over 400 bags a month with nutritious staples, including healthy cereal, muffin or breakfast cake, fresh fruit, and milk, together with an inspirational message that brightens the senior’s day and helps them feel more connected and supported. Atterdag at Home collaborates with a local non-profit, Veggie Rescue, who helps supplement Valley seniors’ meals on wheels when there is an overabundance of fruit available.

6. Total funding request: $20,000

7. Purpose of the funding request? How will the funds be used? a) For the purchase of food for our Meals on Wheels Program. Through the Meals on Wheels Program, homebound seniors receive hot nutritious meals (at reduced or no cost) Monday-Friday, year-round including Thanksgiving and Christmas. In 2021 we served 22,692 meals. In the first three months of 2022, we served 5,727 meals.
278
b) Brown Bag Breakfast- for nutritional weekend support, homebound seniors also receive a Brown Bag Breakfast of cereal, muffin, fresh fruit, and milk (delivered Fridays with the noon meal).
c) Atterdag at Home, Inc. Programs – including minor home repairs; light yard work; meal assistance; errands; transportation; watering plants and gardening; pet visits; professional referrals; social visits; reading to clients; computer/phone assistance.
d) Social interaction – week-day check-ins by caring volunteers who have come to know these seniors well and report back to the AAH Director if they feel the senior has unmet needs or is in need of medical attention.

8. How many Solvang residents will be impacted by the proposed use of the grant funds? We estimate over 176 Solvang Residents will be impacted by the proposed use of these grant funds. Although COVID-19 cases appear to be decreasing the demand for our Meals on Wheels and services to remains constant.

9. What is the organization’s total budget? $207,970

10. What are the sources of revenue for your organization? How are you funded? Atterdag at Home, Inc. is funded by grants, private contributions, and meal revenue.

11. Are you willing to sign City Standard Grant Application Agreement? Yes/No? YES 279

CITY OF SOLVANG

HUMAN SERVICES GRANT FUNDING APPLICATION

1. Organization/Agency Name Santa Ynez Valley Senior Citizens Foundation DBA Buellton Senior Center

2. Mailing Address PO Box 1946 Buellton, CA 93427
Physical Address 164 W Hwy 246 Buellton, CA 93427

3. Contact email and phone number Pam Gnekow, [email protected], 805-688-4571

4. Organization’s purpose? Goals and objectives?
The Santa Ynez Valley Senior Citizens' Foundation, DBA Buellton Senior Center and DBA SYV Community Outreach, was founded to promote the common good and general welfare of the senior citizens and other members of the Santa Ynez Valley by providing nutritional, recreational, and transportation resources. Our vision is to end senior hunger in the Valley.

We accomplish our goals by offering a wide range of basic needs programming and adapting to current events and needs.

Our daily drive-up meals, Meals on Wheels, and weekly Senior Grocery program serves seniors in Buellton, Los Alamos, Solvang, and rural Lompoc. We provide a daily meal and basic groceries to last most of the week. Our daily Free Farmers Market and weekly Community Grocery Distribution programs are open to anyone. We expect to serve over 1,900 people with 100,000 meals and 2 million pounds of food in 2022.

Our meal program and transportation clients are all seniors, and our grocery program and domestic violence program users are all ages. Donated food from the Foodbank and others are distributed by our staff in our grocery programs and daily Free Farmers Market. We purchase food for our meal programs.

We Provide:
• Meals on Wheels: 47 Los Alamos, 8 Lompoc, 4 Solvang, 166 Buellton. • Golden Inn & Village lunches for 45 low-income seniors in Santa Ynez • Drive-Up Meals for 116 Seniors
• Senior Grocery Program to 151 SYV seniors
• Monthly Senior Dinner Delivery to 76 SYV seniors
• Free Daily Farmers Market
• Weekly Community Grocery & Diaper Program to 1,000+ individuals • 24/7 Emergency Food Phone Line
• Rent Assistance and Placement
• Mobile Home Repair Program for the City of Buellton
• COVID Vaccination Clinics, Resource & Stimulus Assistant 280
• Senior Medical Transportation Program
• Domestic Violence Support Services
Thank you so much for your past support and for your consideration of this request.

5. Total funding request: $20,000

6. Purpose of the funding request? How will the funds be used? Request 1) The Buellton Senior Center is respectfully seeking $15,000 to help fund our Senior Medical Transportation program for Santa Ynez Valley residents ($10,000 for direct program wages and $5,000 for fuel, repairs, and insurance). We will take local seniors to 400 appointments annually. This application will serve our 14 Solvang residents, including 3 that we take to regular mental health appointments. Trips range from Ridley-Tree Cancer Center in Santa Barbara, mental health appointments, Tribal Health Clinic, Shephard Eye Center in Lompoc, to Veteran’s administration in Santa Maria, and all Cottage Hospitals. We accompany clients into appointments as a patient advocate when needed and take them to the pharmacy afterwards when needed.

We have designed a transportation system that works. We have a van that can transport seven passengers with oxygen and wheelchairs. We have one part-time employee, Linda Litton, that is used almost exclusively for this program. Our passengers are from Buellton, Solvang, Los Olivos, and Los Alamos. Most are low-income veterans. All clients are all Valley residents over 65 years of age, most live alone, and most are living below the poverty level.

Our target clients are seniors that are unable to drive themselves to and from their appointments. Measurable outcomes are the number of people served and the number of trips in the year. We treat our clients as we want to be treated. This service helps people live independently rather than go into a state convalescent facility. Thank you for your past support and consideration for this very important need in our community.

Request 2) We are seeking $5,000 for our weekly Senior Grocery program. We provide staple grocery items once a week and free produce daily. Our weekly grocery bags include items such as peanut butter, milk, bread, produce, and cookies. We also provide adult diapers to anyone in need. We have 55 Solvang seniors that utilize our weekly grocery program and numerous Solvang families.

7. How many Solvang residents will be impacted by the proposed use of the grant funds? 90 Solvang Seniors

8. What is the organization’s total budget? $951,000

9. What are the sources of revenue for your organization? How are you funded?

10. Are you willing to sign City Standard Grant Application (Attached) Yes/No? Yes Source Annual
2022 Budget ($)
Thrift Shop $ 168,000.00 18%
Coffee Shop $ 20,000.00 2%
Food Income & Dues $ 99,000.00 10%
Fundraisers $ 105,000.00 11%
Foundation Grants $ 314,000.00 33%
City & County Grants $ 185,000.00 19%
Donations $ 60,000.00 6%
TOTAL INCOME $ 951,000.00 100%
281

CITY OF SOLVANG

HUMAN SERVICES GRANT FUNDING APPLICATION

1. Organization/Agency Name: Pirate Youth Football League SYV

2. Mailing Address: PO Box 1683, Buellton, CA 93427

3. Physical Address: Santa Ynez High School, 2975 CA-246, Santa Ynez, CA 93460

4. Contact email and phone number: Brynda Messer, Vice President, [email protected]. 805-252-2274.

5. Organization’s purpose? Goals and objectives? Our organization’s purpose is to be the stepping stone for young athletes to develop their skills in football and cheerleading prior to entering high school. We strive to teach elements of football and cheer in a safe, positive environment and believe the well-being and enjoyment of the player comes first.

6. Total funding request: $10,000.00

7. Purpose of the funding request? How will the funds be used? We would use the funds to pay our upcoming field rentals. We have to rent the high school softball fields for practice and we also have to pay to rent the stadium for our home games.

8. How many Solvang residents will be impacted by the proposed use of the grant funds? While SYV Pirate Youth Football and Cheer benefits the Santa Ynez Valley as a whole, there are several football players and cheerleaders that reside in Solvang. For the 2021 season there were 25 football players and 16 cheerleaders from Solvang from a total of 56 football players and 44 cheerleaders.

9. What is the organization’s total budget? $53,075.00.

10. What are the sources of revenue for your organization? How are you funded? We receive funds from registration which covers insurance, players jerseys, and . We also receive donations from the community by doing various fundraisers and by selling advertisements on the back of practice jerseys, and banners/flags which are hung on home game days.

11. Are you willing to sign City Standard Grant Application (Attached) Yes/No? Yes. 282

CITY OF SOLVANG

HUMAN SERVICES GRANT FUNDING APPLICATION

1. Organization/Agency Name: SYV Fruit and Vegetable Rescue

2. Mailing Address: PO Box 1651, Santa Ynez, CA 93460

3. Physical Address: 3558 Sagunto St., Santa Ynez, CA 93460

4. Contact email and phone number:

Diana O’Connell, Executive Director
[email protected]
805-324-3310

5. Organization’s purpose? Goals and objectives?
The mission of Veggie Rescue is to improve the nutrition and quality of life for community members who are struggling with food insecurity by providing them with nutritious, local produce and high-quality prepared food, and to work with farmers and local businesses to reduce food waste. To carry out our mission, Veggie Rescue collects fresh fruits, vegetables and prepared food from local farms, farmers markets, backyards, and businesses, then delivers this food directly to nonprofit recipient organizations feeding community members in need.

Veggie Rescue partners with 50+ farms and businesses throughout Santa Barbara County to rescue fresh produce that would otherwise go to waste.

We then deliver that food to senior centers, food pantries, home delivery and youth programs who are distributing food and serving meals to isolated seniors, seniors living on a fixed income, and low-income families. We address food insecurity, reduce food waste and greenhouse gas emissions, and provide access to nutrient dense produce for those who may otherwise not be able to afford it.
283
In 2021 we delivered rescued food to 13 nonprofits in the Santa Ynez Valley, including Atterdag at Home, Bethania Lutheran Church, Buellton Senior Center, Solvang Senior center and People Helping People. Our goals for 2022 are to:
● Grow the pounds of nutritious produce rescued by 5-7 percent ● Continue to seek new partners to grow our impact and extend our reach into the community
● Implement operational efficiencies to do more with the assets and staff that we have
● Diversify our revenue base to replace the COVID emergency funding and government stimulus that enabled our 290 percent growth

6. Total funding request: $15,000

7. Purpose of the funding request? How will the funds be used? A grant at this time would be used for driver and fleet costs to help cover delivery of fresh, nutrient dense produce to nonprofits in and around Solvang, including Atterdag at Home, Solvang Senior Center, PHP and the Buellton Senior Center.

Veggie Rescue has a team of three part-time drivers and a small fleet of three refrigerated vehicles. Our fleet and driver costs make up 68 percent of our budget. Funds will be used for driver pay, fuel, and fleet maintenance to pick up rescued food from around the county and deliver it to nonprofits serving Solvang and the surrounding communities.

8. How many Solvang residents will be impacted by the proposed use of the grant funds?
Veggie Rescue delivers directly to the nonprofits feeding those in our community who are living with food insecurity. In 2021, we delivered 127,000 pounds of rescued food to nonprofits in Solvang and the surrounding communities, which was the equivalent of 106,000 meals, a total savings to individuals in our community of $222,000. With a focus on fresh, locally grown produce, we are providing access to nutritious produce that these individuals and families may otherwise not be able to afford.

We are on Track to continue to grow another 5-7 percent in 2022. 284

9. What is the organization’s total budget? Our total annual expense budget is $321,600.

10. What are the sources of revenue for your organization? How are you funded?
Veggie Rescue provides free services to farmers and businesses to pick up food that would otherwise go to waste. We then deliver that food to nonprofits feeding those living with food insecurity, also at no cost. Our program is funded through grants and individual donations. Our projection for 2022 is as follows:

Grants 177,000
Donations 126,800
Events 18,000
As of April 2022, the following funds have been received or are pending receipt:

Received:

Altrusa Central Coast Foundation 1,000
Apple Corporate matching 9,800
City of Buellton 5,661
Los Olivos Rotary 2,500
Santa Barbara Foundation 5,000
Individual Contributions 11,184
Pending:

Charitable Foundation 5,000
deLaski Family Foundation 53,200
Hutton Foundation 15,000
Santa Barbara Foundation 10,000
SY Valley Foundation 10,000

11. Are you willing to sign a City Standard Grant Application Agreement? Yes
285

CITY OF SOLVANG

HUMAN SERVICES GRANT FUNDING APPLICATION

1. Organization/Agency Name: Solvang Senior Center

2. Mailing Address: 1745 Mission Drive, Solvang, CA 93463 Physical Address: 1745 Mission Drive, Solvang, CA 93463

3. Contact email and phone number: Ellen Albertoni [email protected] (805) 688-3793

4. Organization’s purpose? Goals and objectives?
The purpose of the Solvang Senior Center is to help people age vibrantly. Since 1975, the Solvang Senior Center has offered seniors fellowship and activities that keep their minds sharp, bodies healthy, and spirits soaring. The Center has a history of fiscal responsibility and steady growth in membership levels, programs, and attendance.

The goal of the Solvang Senior Center is to increase the overall health and well-being of Santa Ynez Valley seniors through the provision of nutritional meals, physical, social, and preventive activities at the Solvang Senior Center. To meet this goal, the Senior Center will continue to serve a minimum of 7,000 nutritionally balance meals and provide 800 educational opportunities in health, safety, finance, and technology to approximately 500 unduplicated Valley aging adults and low-income individuals this fiscal year. We strive to increase services by about 5% each year as our budget allows.

In 2021, the Center provided over 7,000 drive-up meals, 2,779 activities, and 150 bus passes to over 900 Santa Ynez Valley seniors. We have been steadily adding back activities in 2022 including several brand-new activities.

Here’s what our members say about the Solvang Senior Center:
“It’s a hub to which people to come, not just for food and for exercise, but they pick up produce delivered from the local farmers, they come here to have their taxes done... I look at it as a Community Center rather than just a Senior Center,” shares new member and volunteer.
“The to-go lunches have been a godsend to us with our medical challenges and restrictions.

Being able to pick up a balanced meal is a real blessing. Not only are the meals tasty, but the volunteers who man the telephone and the pickup/signup table are very cheerful, helpful, and personable.” Tom and Carolynn Petersen, members.

The Center is open Mon. and Fri. 9:00 AM to 2:00 PM and Tues. through Thurs. 9:00 AM to 4:00 PM. The Center provides:
286
 Daily Lunches (limited seating, unlimited drive-up)
 Monthly Drive-Up Dinners
 Free AARP Tax Preparation (Over 400 low-income community members)  Outdoor Tai Chi classes in our Tai Chi Garden
 Yoga, Pilates, Chair Cycling, and Arthritis Exercise classes  Walking Group
 Bridge and other Card Games
 Arts & Watercolor Classes
 Ukulele Class
 Horseback Riding Class with SYV Therapeutic Riding
 Knitting/Fiber Arts Class
 Floral Arranging
 Book Club
 Reduced Cost Dial-A-Ride Passes
 Free Yarn, Books, and Puzzles for members
 Daily Free Produce and Baked Goods Table for anyone
 Care 4 Paws semi-monthly pet clinics
 Phone calls to members to check up on everyone
 Monthly Newsletter and Birthday Cards Mailed
 Seniors Helping Seniors
 Vaccine & Wellness Clinics
 Knitting for our Troops Group and Mask Sewing Group
 Fall Prevention Classes & Educational Speakers
 HICAP/Medicare Quarterly Workshops
 Monthly Field Trips & Special Guests
 Smart Phone Classes - Beginner & Advanced
 More classes and events coming soon
Most of our members are widows and live alone. Because of their connection with the Solvang Senior Center, they have a network of people to look after their well-being.

5. Total funding request: $70,000

6. Purpose of the funding request? How will the funds be used? We are seeking program funding of $70,000 to provide 3,250 meals ($60,000), 700 hours of educational and exercise classes ($3,500), and senior outreach ($6,500). It is imperative for us to have your support. We operate a modest budget and feel that our partnership with the City of Solvang is mutually beneficial.

The Center serves over 500 seniors 55 and greater from throughout the Valley.

Approximately 70% of the seniors that come to the Center are moderate to low income. We also have members from two nearby affordable senior housing projects, the Golden Inn & Village, and the Solvang Apartments by the Corporation for Better Housing.

As you know, we have been working towards building a new Solvang Senior Center. The Capital Campaign’s $3,000,000 goal will fund construction of the new permanent 4,725 sq ft building, along with funding relocation costs for interim operations during construction and other campaign-related expenses. We will be able to accommodate the increasing number of seniors in the Santa Ynez Valley. Our specific outcomes will be:
 Almost double our current space for programs and services  Allow us to double the number of seniors we serve
 Allow us to add programs and classes
 Increase health and wellness outcomes for our members  Allow us to hold concurrent activities to increase our offerings  Allow us to increase our nutrition and health programs 287
 Provide much-need community group space
We are on-track to complete our fundraising goal in 2022. We have raised over $2,800,000 of the $3,000,000 Building Campaign Budget to date.

Our request is larger this year as we anticipate serving more people in FYE 2023, having larger expenses due to inflation, and some donors made much-needed gifts to our campaign in lieu of operations. We expect our services to grow further when our new building is complete.

Thank you so much for your longstanding commitment to Solvang seniors. The partnership between the Solvang Senior Center and the City of Solvang is mutually beneficial. Solvang seniors can access a senior center with robust programs, which helps them age in place safely at home, and keeps them out of the hospital emergency room, for less than the cost of 1 FTE to the City of Solvang. Thank you for your unwavering support.

7. How many Solvang residents will be impacted by the proposed use of the grant funds? 360 unduplicated Solvang residents

8. What is the organization’s total budget? $220,150

9. What are the sources of revenue for your organization? How are you funded?

10. Are you willing to sign City Standard Grant Application (Attached) Yes/No? Yes Source Projected Annual Percentage
Budget ($)
Center Generated $ 30,000.00 14%
Senior Participation $ 20,950.00 10%
Board Donations $ 7,000.00 3%
Fundraisers & Valley Support $ 38,700.00 18%
City of Solvang $ 70,000.00 32%
Foundation Grants $ 53,500.00 24%
TOTAL INCOME $ 220,150.00 100%
288

CITY OF SOLVANG

HUMAN SERVICES GRANT FUNDING

APPLICATION

1. Organization/Agency Name: Solvang Arts & Music Foundation (SAM)/Solvang School District Education Foundation

2. Mailing Address: PO Box 304, Solvang, CA 93464

3. Physical Address: Solvang School, 565 Atterdag Rd., Solvang, CA 93463

4. Contact email and phone number: 805-679-1723, [email protected]

5. Organization’s purpose? Goals and objectives? SAM’s mission is to ensure that every student at Solvang School has access to a well-rounded and comprehensive arts & music education. Through our support the school has been able to retain the highest level of arts & music education in the valley offering numerous art classes to all grades ranging from painting, drawing, photography, ceramics, drama, band, music, and dance.

6. Total funding request: $10,000

7. Purpose of the funding request? How will the funds be used? Thankfully many programs that have been cancelled these last 2 years will be returning for the 2022-23 school year. This grant money will go directly to funding the following programs:

After School Academy-SAM provides classes in traditional arts, martial arts and language arts for school students or any child that wishes to attend. The grant funds will help pay for the instructors.

Show of Shows Talent Show-funds will help off-set costs putting on this show. The students look forward to this every year and we are thrilled to be able to host it again next school year.

Boots & Bling Gala-We are planning on hosting our big fundraising gala in Fall 2022 and some of these funds can be used to cover up-front event expenses.

Instrument Repair/Replacement-when needed SAM helps the school repair or replace instruments. It is possible some of these funds will be used for this if the school needs.

8. How many Solvang residents will be impacted by the proposed use of the grant funds? 600+ students at Solvang School plus their parents who will benefit from extra after school child care and happy artistic children.

9. What is the organization’s total budget?
It has varied because of COVID, but it is usually between $120,000-$165,000

10. What are the sources of revenue for your organization? How are you funded? Grants from various organizations, private donations, revenue from After School Academy, revenue from Boots & Bling

11. Are you willing to sign City Standard Grant Application Agreement? Yes/No? Yes 289
1 PEOPLE HELPING PEOPLE
PH Pi¼t\ji

CHANGING LIVES FOR THE BETTER
City of Solvang Grant Application
Santa Ynez Valley People Helping People
PO Box 1478
545 North Alisal Rd.

Solvang, CA 93463
(T) 805-686=0295
(F) 805-686-2856
(C) 724-366-3679
Contact Information:

Valerie Kissell, CEO
[email protected]
www.syvphp.org
Santa Ynez Valley People Helping People (PHP) has been the primary social service provider for the City of Solvang and other areas in the greater Santa Ynez Valley since December of 1992. It is the primary purpose of PHP to provide support services, basic needs, health and mental wellness care, youth programming and family support so that individuals and families have the skills needed to sustain a productive and healthy life.

We provide an opportunity for our most vulnerable populations to attain self-sufficiency with dignity.

Our services have been deeply impacted by the onset of the pandemic in March of 2020. We have experienced unprecedented levels of service requests, particularly in the area of basic needs (food and housing stability) as well as an increase in the requests for mental wellness counseling and therapy.

Total Funding Request: $25,000.00 - Two year period (7/1/2022-6/30/23 - 7/1/2023- 6/30/2024)
This funding request is for the direct cost of the basic needs programing for residents of the City of Solvang. These funds will be utilized for the food and nutrition programs, housing stability, senior care services and family advocacy and services for the prevention of domestic and child abuse.
290
2 Goals and Outcomes

FOOD PROGRAM
The goal of the food and nutrition program is to provide food items and healthy eating guidelines that will reduce hunger, improve health and wellness, improve the quality of life and reduce public expense. We distribute food weekly at the Old Mission Santa Ines to approximately 220 families from Solvang. We have 23 individuals and families that receive food from our Service Center pantry regularly. PHP delivers 60 prepared meals and food bags to Solvang residents that lack transportation. On Tuesdays and Fridays of each week, PHP provides "Fresh Rescue" services at our outdoor lot and pantry. Many individuals that participate in this program {approximately 40) walk up to the lot from our surrounding neighborhood.

HOUSING PROGRAM
Our emergency services program provides funding for emergency non-congregate shelter, housing navigation to rapidly re-house persons experiencing homelessness and other support services such as rental and utility assistance. During the period 7/1/2020 through June 30, 2021 PHP assisted housing support services to 43 Solvang residents.

PHP was successful in reunifying four (4) homeless individuals from the Solvang area back to family in other areas of the state and in one case another state. As of this writing, the aforementioned clients are still participating in PHP's housing program. The goal of our housing program is to keep Solvang residents in their homes to prevent homelessness or to find affordable housing for residents that have lost their housing.

HEALTHCARE AND MENTAL WELLNESS PROGRAM
PHP's programs to improve individual and public health have experienced the greatest increase in sustained demand. This is very evident in the increase of referrals for mental health counseling. In the Solvang, service area alone, the hours of therapeutic counseling increased by 33.3%. To meet the increased demand for counseling, PHP increased staff and converted office space at the Solvang Service Center to serve as a Wellness Center. The Wellness Center opened in the summer of 2021 and serves as a safe space for individuals and families to access low-cost, no cost mental wellness services. Solvang residents represent 42.1 % of total clients accessing services.

FUNDING REQUEST
The COVID-19 pandemic and resulting economic fallout have caused significant hardship for neighbors in Solvang particularly workers in the hospitality and agriculture industry. This funding request will support our food program, housing program and healthcare and mental wellness program. PHP has increased operations to meet the ongoing and high demand for these services in the community.

Costs to provide services have dramatically increased. The cost to buy fuel for the box truck alone has increased 57.83%. This vehicle is essential for the food program for 291
3 FoodBank pickups and delivery. Staffing costs have increased with the additional staff added to meet the demand for services.

The attached sheet reflects the current fiscal year and projected next year funding. 292
5/4/2022
2022-2023
Santa Ynez Valley People Helping People 2021-2022 Budget Preliminary REVENUE:

Foundations and Grants
Santa Ynez Valley $ 27,500 $ 20,000
Santa Barbara Foundation Food $ 20,000 $
Santa Barbara Foundation Mental Wellness $ 30,000
Santa Barbara Foundation Covid Response Rd $ 10,000 $ 10,000 Balin Trust $ 5,000 $ 5,000
Montecito Bank & Trust $ 2,500 $ 2,500
Union Bank $ 5,000 $ 3,500
Latkin $ 5,000 $ 5,000
The Anne Jackson Foundation $ 10,000 $ 10,000
Christian Science Legacy Fund $ 50,000
Towbes $ 10,000 $ 10,000
Willliam Corbett $ 5,000 $ 20,000
Hutton Parker $ 50,000 $ 25,000
McCune (INCLUSION) $ 20,000 $ 10,000
Fund for Santa Barbara $ 9,000 $ 9,000
Orange County Community Foundation $ 10,000 $ 10,000
Chumash Foundation $ 10,000 $ 10,000
The Center at Sierra Health $ 77,505 $ 73,576
Volentine $ 50,000
Golden State Connect $ 16,000
Sub Total: $ 276,505 $ 353,576
Government Agencies
County of Santa Barbara HSC $ 35,000 $ 20,000
City of Solvang $ $ 12,500
City of Buellton $ 8,400 $ 8,400
Prop 63 SBC Behavioral Wellness $ 51,000 $ 51,000
SBCO Cannabis Supplement $ 39,666 $ 39,666
Child Abuse Prev.-CALM Subcontract $ 16,995 $ 16,995
SBC CDBG Public Services $ $ 15,984
SYVUHS Mentoring & Counseling Contract $ 25,000 $ 25,000 Buellton School Dist. Counseling Contract $ 10,000 $ 8,000 Solvang School Dist. Counseling Contract $ 8,000 $ 8,000 College S.D. MediCal Adm in Activities $ 29,750 $ 29,750 S.B.C. Tobacco Prevention $ 3,000 $ 1,500
SBC Behavioral Wellness Drug Prev $ 120,000 $ 120,000
FSA Strengthening Families Contract $ 10,300 $ 10,300
SBCO HHAP $ $ 157,520
SBCO ESG - CV2 $ 127,820 $
Calfresh SSI Grant $ 5,000 $ 5,000
CalFresh Grant $ 175,000 $ 175,000
SCO ED MediCal $ 20,000 $ 28,516
Sub Total: $ 684,931 $ 733,131
Businesses $ 5,000 $ 5,000
Service Clubs
Solvang Rotary $ 1,000 $ 1,000
Santa Ynez Valley Rotary $ 1,000 $ 1,000
Los Olivos Rotary $ 1,000 $ 1,000
Buellton Rotary $ 1,000 $ 1,000
Sub Total: $ 4,000 $ 4,000
Churches $ 500 $ 500
293
5/4/2022
Individuals $ 160,000 $ 185,000
PHP Fund Raising
Vehicle Donation Sales $ 5,000 $ 5,000
Valley 100-WIGS $ 25,500 $ 32,000
Vino de Suefios $ 56,000 $ 65,000
Polo Classic $ 315,000 $ 340,000
Annual Report $ 15,000 $ 11,000
Sub Total: $ 401,500 $ 442,000
Thrift Store $ 296,400 $ 305,000
Leases $ 9,600 $ 5,232
PHP Room Rental $ 300 $ 6,000
Fiscal Sponsorship Fees $ 500
Other $ 1,500 $ 1,500
Misc Interest $ 3,500 $ 3,500
TOTAL REVENUE: $ 1,843,236 $ 2,043,939
EXPENSE:

Cost of Goods Sold
Direct Program Expense
Advertising $ 4,300 $ 2,800
Conferences $ 1,200 $ 800
Contractors $ 69,000 $ 65,000
Copies $ 1,000 $ 670
Cost of Goods Sold - Thrift Store $ 30,000 $ 25,365
Direct Supplies $ 3,296
Educational Materials/Support Services $ 1,200 $ 800
Fulfill-A-Wish Supplies $ 6,900 $ 6,900
Meeting Expenses $ 670
Mileage Reimbursement $ 2,250 $ 1,500
Program Incentives $ 1,000 $ 500
Scholarships $ 500 $ 1,250
Other Direct
Total Direct Program Expense $ 117,350 $ 109,551
Emergency Assistance
Adult Dental Fund $ 1,500 $ 1,000
Food Purchase $ 61,922 $ 65,000
Homeless Prevention (RRH) $ 57,500 $ 85,000
Medical Assistance $ 2,500 $ 4,000
Other Direct Assistance $ 18,000 $ 16,000
Rental Assistance $ 4,000
Utilities Assistance $ 2,000 $ 2,000
Total Emergency Assistance $ 143,422 $ 177,000
Fund raising
VDS $ 13,800 $ 25,000
Annual Report $ 8,500
Polo Classic $ 140,960 $ 145,000
Subtotal Fundraising: $ 154,760 $ 178,500
Total Cost of Goods Sold $ 415,532 $ 465,051
GROSS PROFIT $ 1,427,704 $ 1,578,888
General Expense
Accounting and Audit $ 17,500 $ 16,500
Advertising & Promotion $ 1,500 $ 1,500
Amortization Expense $ 972 $ 850
Bank Charges $ 1,236 $ 1,200
Computer & Equipment Expense $ 1,632 $ 1,650
Copies $ 2,244 $ 1,200
Credit Card Fees $ 6,720 $ 5,260
Depreciation $ 10,860 $ 9,850
294
5/4/2022
Dues, License, Tax, Permits & Renewals $ 1,680 $ 1,650
Dump Fees $ 1,200
Education & Training $ 1,200 $ 500
Employee Recruitment $ 500 $ 500
Equipment Rental/Lease $ 3,024 $ 3,200
Equpment Repairs & Maintenance $ 250 $ 5,000
Subtotal Donated Goods & Services: $ 49,318 $ 50,060
Insurance $ 20,076 $ 21,000
Legal & Professional Fees $ 150 $ 150
Meeting Expense $ 1,560 $ 500
Mileage Reimbursement/Transportation $ 150 $ 850
Miscellaneous $ 2,400 $ 2,000
Office Expense $ 3,600 $ 3,200
Outside Services/Consultants $ 15,600 $ 8,500
Payroll Service $ 5,316 $ 5,400
Postage $ 1,080 $ 1,500
Printing $ 600 $ 600
Supplies $ 6,000 $ 250
Telephone $ 14,928 $ 14,800
Travel $ 250 $ 250
Vehicle Expense $ 7,500 $ 7,500
Website Expense $ 5,000 $ 5,000
Bank, Payroll,& Retirement Fees
Equipment Lease Inc. Copy Expense
Office Supplies & Expense
Total General Expense $ 133,528 $ 121,560
Occupancy
Amortization $ 375 $ 375
Building Maintenance $ 5,000 $ 12,000
Depreciation $ 18,552 $ 18,552
Mortgage Interest $ 4,200 $ 4,200
Pest Control $ 1,200 $ 1,200
Property Insurance $ 1,725 $ 1,725
Property Tax $ 825 $ 825
Rent
Security $ 660 $ 660
Utilities $ 6,000 $ 6,000
Building Improvements
Total Occupancy $ 38,537 $ 45,537
Total Payroll Expense $ 985,990 $ 991,309
Retirement $ 24,324 $ 24,560
Health Insurance $ 122,184 $ 120,560
Other Employee Benefits $ 12,000 $ 14,000
Workers Compensation $ 22,000 $ 18,950
Subtotal Personnel: $ 1,166,498 $ 1,169,379
TOTAL EXPENSE: $ 1,754,095 $ 1,801,527
Net Revenue $ 89,141 $ 242,412
REVENUE AVAILABLE TO RESERVES:

Contribution to Operating Reserve $ 66,856 $ 181,809
Contribution to Building R & R Reserve $ 8,914 $ 24,241 Contribution to Equipment Reserve $ 8,914 $ 24,241
Contribution to Change Capital Reserve $ 4,457 $ 12,121 BALANCE:
295
Contracts for Services

1. Elverhoj Museum (1 year extension
through FY 2023-24)

2. Chamber of Commerce FY 2022-23
Proposal
296
Board of Directors
Dennis Bales, O.D.

President
Gabrielle Robbins
Vice President
Lisa W. Pedersen
Secretary
Gay lnfanti
Treasurer
Meighan Dietenhofer
Brendan Doherty
Michael Elliott
Erik Gregersen
John Hagfors
Staff
Esther Jacobsen Bates
Executive Director
Jessica Tade, PhD
Associate Director
Linda Palmer
Visitor Services & Outreach
Kirsten Klitgaard
Visitor & Member Services
Our Mission
To collect, preserve and
exhibit the history and Danish
culture of Solvang and to
promote the arts.

I

ELVERHBJ
MUSEUM

OF HISTORY & ART
April 27, 2022
Ms. Xenia Bradford
City Manager
City of Solvang
1644 Oak Street
Solvang, CA 93463
Dear Ms. Bradford, Mayor Uhrig and City Councilmembers Clark, Infanti, Orona and Thomas,
I write this letter with gratitude for Solvang City Council's recognition of the Elverh0j Museum of History & Art as an important and cherished community resource. The City Council's stamp of approval in the form of funding received through a May 11, 2020 grant agreement provides a huge benefit to the museum's ability to deliver its services including the collection, preservation, and exhibition of the history and Danish culture of Solvang in addition to promoting the arts.

Currently, Elverh0j is in the second year of a three-year agreement with the city, receiving $35,000 annually until the contract expires on June 30, 2023. The grant has provided vital funding during the extended Covid-19 closure and enabled preparations necessary to subsequently reopen and welcome guests in record-setting numbers. Clearly the Elverh0j continues to be one of Solvang's most popular tourist destinations, offering historical and cultural knowledge and experiences to residents and visitors alike through exhibits, activities, and programs.

As the City Council develops its two-year budget for FY 2022-2024, I am requesting consideration for a revision and one year extension to the current grant agreement.

Extending the agreement to June 30, 2024 aligns with the new City budget period.

Increasing the grant to $40,000 is also requested to address inflationary pressures and enable Elverh0j to better deliver services in support of the city.

For more than 30 years, Elverh0j has served as an important institution whose mission provides greater understanding and appreciation for the story of Solvang and of the people and ideas who shaped its history and present-day lifestyle. Your support allows the museum to do its good work even better, documenting the history of Solvang and connecting the community to the arts.

Thank you for your consideration.
�;acobsen
Executive
W�
Director
ap�
Bates
lizth,?
1624 ELVERHOY WAY❖ SOLVANG, CA 93463 ❖ TEL: 805.686.1211 ❖ WWW.ELVERHOJ.ORG 297
FY 2022-2023 Through FY 2023-2024 AGREEMENT FOR CONTRACT SERVICES This Agreement for Contract Services is made and effective this 1st day of July 2022, by and between THE CITY OF SOLVANG, a municipal corporation (hereinafter referred to as "City") and the SOLVANG CHAMBER OF COMMERCE, a California nonprofit corporation (hereinafter referred to as "Chamber") in consideration of the mutual promises made herein, as follows:

RECITALS:

A. City desires Chamber to provide services designed to enhance the quality of life throughout the City of Solvang and the Santa Ynez Valley by promoting economic development through the generation of jobs, increasing capital investment, supporting business retention, facilitating business expansion and attracting new businesses.

B. Chamber is willing to undertake the services hereinafter set forth on behalf of the City for the purposes of promoting sustainable economic vitality for the City of Solvang.

NOW, THEREFORE, in consideration of the mutual promises and agreements of the parties hereto, it is hereby agreed by and between the parties as follows:

1. Term: The term of this Agreement shall be for two years, from July 1, 2022 to June 30, 2024. This agreement may be extended upon mutual agreement of the parties, upon such terms and conditions as may be agreed upon by the parties.

2. Funding: In consideration of the services enumerated in paragraph 4 below, the City shall pay to Chamber the amount allocated by the Solvang City Council in the annual budget process for each fiscal year of the agreement. Each fiscal year the Chamber shall submit an annual budget, showing all their available funding and associated expenses, to City for approval. Payment shall be made to Chamber not less than quarterly based upon the City's approved budget. All such funds shall be expended by the Chamber for services only as enumerated in paragraph 4 and the approved City budget. A quarterly expense report shall be provided to the City by the Chamber on a regular basis. A City representative shall perform a review of this report. This review will require that invoices in support of expenses be available for verification Additionally, copies of all current year contracts shall be made available to City staff. This contract does not provide for any general fund expenditures in year two, those expenditures being the right of future city councils to decide.

3. Relationship: City retains Chamber solely on an "independent contractor" basis, and not as an "employee" of City. As such, Chamber will determine the method, details, and means of performing the above-described services. Chamber shall employ and pay such personnel, as the Chamber deems necessary to perform the services required of Chamber by this Agreement. City may not control, direct, or supervise Chamber's employees in the performance of those services. Under no circumstances shall employees of the Chamber be deemed employees of City.
298

4. Services Provided: The Chamber hereby agrees to provide the following services for the City of Solvang:
a. Chamber Office & Information: Answer all telephone calls requesting general business information, local event information, retail shopping, points of interest, accommodations, and attractions.
b. Website: Maintain and update Chamber's website and respond appropriately to all email messages received. Publish E-Newsletter three times a week. c. Printed Marketing Materials: Print, in such quantity as to meet demand, information about the community, local events, points of interest, accommodations, and attractions, and distribute as requested. Quantities shall be adjusted upwards or downwards as necessary to meet demand. Said marketing materials will include:

Color Solvang Retail Shopping Map
Color Wine & Beer Map
Color general community brochure
Lodging and dining guides, brochures
Solvang Music in the Park” summer series
Miscellaneous information including, but not limited to brochures promoting local attractions and events.
d. Brochure Distribution: Fill and maintain a network of at least 12 off-site locations for the distribution of local business brochures and information, including at the California Welcome Centers in Pismo Beach and Oxnard. Chamber shall monitor and evaluate the effectiveness of existing distribution points to maximize exposure. These locations shall include the premises of Chamber Members, non-members of Chamber and tourist destinations including, but not limited to, the Chambers of Commerce of Buellton and Solvang.
e. Go Green Shopping Bags/Courtesy Bags: In cooperation with Explore Solvang, Walk Shop Wine Dine logo branding develop Go Green bags/courtesy bags for large groups staying at local hotelsin Solvang upon request. Groups previously provided these bags have included Agriculture Teachers Conference, Presidents’ Conference of California Colleges, SpaceX at Vandenberg Airforce base.
f. Surveys for Business Data: Staff a Chamber kiosk at special events in the City of Solvang including the Harvest Festival, Danish Days Weekend, and Music in the Park and have surveys available to gather business data. Provide surveys on the Chamber website to gather business data.
g. Office Reception: Provide on-site greeting and volunteer staff, as available, for the Chamber's location at 485 Alisal Road #245. Such staff shall be present, at a minimum, from 10:00 am — 3:00 pm, Mondays through Fridays.
299
h. Events: Coordinate and manage, at a minimum, the following events as budget, sponsorships and committee involvement allow:

Quarterly updates regarding economic development to the city council Music in the Park every Wednesday night during summer months Coordinate with countywide economic vitality programs (e.g., working with REACH, EDC, stakeholders, etc.)
Walk Shop Wine Dine Solvang
Solvang Third Wednesday; Solvang Wine & Beer Experience Jazz in the Gazebo, Jazz & Art in the Park in October
i. Business Community Competitions that generate a sense of place:

Solvang and Santa Ynez Valley wide competitions — Scarecrow Contest, Solvang City Christmas Tree Program, I Love Solvang Window Decorating Contest in coordination with the Beautification Commission and the Christmas Lights Contest j. Recreation and Wine Industry: In addition to the existing business services provided by the Chamber regarding marketing and promotion of the area's natural beauty, special events, attractions, specialty businesses, small town friendliness and the overall desirable quality of life in Solvang, we will also work in the following areas to enhance and promote recreation and the growing local wine industry:

Research the feasibility of a program of tour bus activity to tasting rooms located in the Santa Ynez Valley through cooperative arrangements regionally with other Chamber organizations along the Central Coast; Explore and develop new cooperative cross-marketing promotional opportunities in partnership with local businesses in Solvang to promote the expanding wine industry and recreational activities in Solvang and the Santa Ynez Valley.

Continue to support and promote Solvang as a retail shopping destination with television commercials in Santa Barbara County, Los Angeles County and San Luis Obispo County.
k. Business Information: Provide information regarding various aspects of life in the City of Solvang including its economic profile, transportation, property, utilities, government, media resources and quality of life. Provide information regarding business plans, marketing and other general business resources to potential start-up businesses and/or existing businesses as requested. Facilitate business expansion and attraction of new businesses.
l. Consultation Services and Workshops: Host and advertise the consultation services and/or workshops that can be provided locally to the business community through programs of partners such as the SBA’s Small Business Development Center and SCORE.
300
m. Service All Businesses at No Charge: All business resource services will be provided to the businesses and the community without charge or offset and without regard to Chamber membership.
n. Economic Development Committee: The Chamber Chief Executive Officer and Board President will have permanent positions on the City's Economic Development Committee, once that committee is reestablished. Thereafter, the Chamber will fulfill its role as a stakeholder on the Committee and play an integral role in implementation of the City's Economic Development Strategic Plan.
o. Santa Barbara County Economic Vitality Team: The Chamber Executive Director, along with two other Solvang members, will represent Solvang on the Santa Barbara County Chambers’ Economic Vitality Team and collaboratively promote Solvang as destination for business development and business.
p. Leads: All leads for business recruitment and retention will be shared with City Economic Development Director, when this position is reestablished, to facilitate a collaborative business development response.

5. RE-EVALUATION: Chamber shall regularly review and update efforts to enhance and improve the following business and economic development related items currently under the purview of the Chamber at no additional cost to CITY:
a. Review, re-design and improve those brochures currently developed and printed in-house: Dining and Lodging Guide, Where Else but Solvang, Music in the Park, Interested in Local History?, Solvang Wine & Beer Experience Trails, Solvang Third Wednesday menus and discounted store locations b. Collaborating with other local organizations for an Annual Community Events Calendar on Chamber's website. Alternative methods of data collection in support of the Community Events Calendar shall be investigated. Increase community input regarding special events for the existing Annual Community Events Calendar through email and the E-Newsletter. The Chamber as a "Go Green" community will post weekly business updates in an environmentally friendly electronic format to help promote better understanding of the Green Business Program of Santa Barbara County.
c. Utilize email and links to the Chamber website whenever possible to provide visitor packet information to fulfill requests faster and save paper, copy and postage costs and facilitate cost effective distribution. d. Enhance its website and use it to provide current visitor information/relocation information and economic development information including city profile pages, demographics and labor information
e. Send Chamber brochure reorder forms on a quarterly basis to those locations that stock and distribute local visitor information.
301

6. REPORTING REOUIREMENTS: Chamber shall provide City with oral and written reports quarterly. The reports shall, at a minimum, document the activities performed by Chamber during the reporting period and will specifically address the following:

1. Visitor Traffic Information
a. Number of Walk-ins
b. Number of Calls
c. Number of Mailings
d. Number of Visitor Bags distributed
Il. Website Analytics
a. Top five Countries
b. Top five Pages
c. Top five Downloads
d. Number of Unique Visitors
e. Number of page Views
Ill. Social Media
a. Summary of any promotions to increase reach
b. Facebook — Number of Likes
c. Instagram — Number of Followers
d. Pinterest — Number of Followers
e. Report on any other avenues implemented
IV. The number of advertising placements made
V. Detailed descriptions of events coordinated and managed by Chamber VI. The number of small business seminars conducted; and VII. A comprehensive budget including a detailed and itemized list of expenses that have been charged against the quarterly payment received from City and Chamber's contribution to the expense item. Also, at least quarterly, Chamber shall provide an oral report of Chamber's recent activities, during a regularly scheduled City Council meeting. Chamber will notify the City Clerk's offce 10 days in advance of the meeting, so the presentation may be placed on the agenda.

7. Standards: Chamber understands City's obligations to legally and adequately account for the expenditure of all public money. As further consideration for the promises made by City herein, Chamber agrees to follow generally accepted accounting principles (GAAP) and to provide safeguards concerning public funds. Chamber shall secure the services of an independent Certified Public Accountant to annually audit the financial statements of the organization and provide a report.
302

8. Termination: This Agreement may be terminated by the City as a result of the Chamber's failure to comply with its obligations under the Agreement. Prior to giving Chamber notice of termination, City shall give to Chamber written notice of default specifying the nature of the default, demanding cure thereof within ten (10) days. In the case of defaults not capable of being cured within said ten (10) day period due to factors beyond the control of either the Chamber or the City, the Notice of Default shall request the Chamber to take and continue action to cure such default with all reasonable diligence until the same is cured, but not for more than twenty (20) days from such notice. In the event the default is cured within the time provided in the Notice of Default, then no notice of termination shall be given by the City to the Chamber. In the event any default specified in the notice from the City is not cured within the time provided thereof, then City may immediately terminate this Agreement by written notice to Chamber. City may also terminate this Agreement, without cause, upon thirty (30) days written notice. Any funds in the possession of Chamber that were provided by City pursuant to Paragraph 2 which have not been contractually committed by Chamber at the time of its receipt of written notice of termination from City shall be returned by the Chamber to the City within ten (10) days following receipt of the notice of termination.

9. Indemnification: Chamber agrees to defend, indemnify and hold harmless the City, its elective officials, officers, employees and agents for claims, liability, losses, costs and damages, (including without limitation, attorneys' fees and court costs) of any type whatsoever due or claimed to be due arising out of Chamber's performance of this Agreement.

10. Insurance: Chamber shall, throughout the term of the Agreement and any subsequent extensions, maintain liability insurance in the minimum amount of $1,000,000.00 per occurrence, and such insurance policy shall name City as additional insured via endorsement of the policy. Chamber shall also maintain all other legally required form of insurance, including but not limited to workers' compensation insurance. All policies of insurance maintained by the Chamber shall extend coverage to the City as an additional insured. Chamber shall furnish to the City certificates of insurance confirming that such insurance is in full force and effect and Chamber shall notify City at least thirty (30) days prior to cancellation, termination or modification of such insurance.

11. Legal Notices: All written notices and demands of any kind which either party may be required or may desire to serve upon the other in connection with the Agreement may be served either personally, by registered or certified mail, or by first class mail, postage prepaid addressed as follows:

To City: City Manager, To Chamber: President/CEO
City of Solvang, Solvang Chamber of Commerce
1644 Oak Street P.O. Box 465
Solvang, CA 93464 Solvang, California 93464
303

12. Enforcement: If any provision of this Agreement, or its application to any person, place, or circumstance, is held by an arbitrator or a court of competent jurisdiction to be invalid, unenforceable, or void, such provision shall be enforced to the greatest extent permitted by law, and the remainder of this Agreement and such provision as applied to other persons, places, and circumstances shall remain in full force and effect. No failure to exercise and no delay in exercising any right, remedy, or power under this Agreement shall operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, or power under this Agreement preclude any other or further exercise thereof, or the exercise of any other right, remedy, or power provided herein or by law or in equity.

13. Binding Agreement: This Agreement shall be binding upon each of the parties and upon their heirs, administrators, representatives, executors, successors, and assigns, and shall inure to the benefit of the parties and each of them, and to their heirs, administrators, representatives, executors, successors, and assigns.

14. California Law: This Agreement and the rights and obligations of the parties set forth herein shall be governed by, construed and interpreted in accordance with the laws of the State of California. The prevailing party in any action filed arising out of the terms of this agreement or any alleged violation thereof shall be entitled to recover that party's reasonable attorneys fees and costs incurred in such an action.

15. Entire Agreement: This Agreement constitutes the entire agreement between the parties and supersedes any prior agreement, policy, practice or understanding between the parties, written or oral. The terms of this Agreement may not be modified, except by a writing signed by both parties. This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same instrument.

IN WITNESS WHEREOF, this Agreement has been executed by the parties as of the day and year first above indicated
304
Historically Funded Special Events Funding
Requests

1. Solvang Danish Days Foundation

2. Santa Ynez Valley Rotary Club 4th of July
Fireworks sponsorship
305
We will be celebrating our 85th Danish Days on September 16th, 17th and 18th this year and we predict an overwhelming response and participation for this event. The Solvang Danish Days Foundation which consists of all volunteers, work tirelessly to produce the Valley’s single largest annual event which is held in Solvang.

The Danish Days Foundation strives to present a quality festival, rich in Danish culture and with new and innovative activities which would include the entire family. We are constantly trying to improve the festival and in addition must upkeep and replace equipment that is necessary and used for our success.

Danish Days has been voted one of the best community events for the past several years and has been a huge part of the continued promotion and success for tourism in Solvang as well as a favorite with the locals. Danish Days also provides other non-profits like our schools, the Danish Brotherhood and Sisterhood, Rotary, and our Chamber of Commerce an avenue to raise needed funds.

Our financial partnership with the City of Solvang regarding Danish Days, is of the utmost importance in putting on the festival every year. Due to the escalation of all costs and expenses as gas, food, lodging, transportation, entertainment and services, your sponsorship is desperately needed. Our expenses continue to increase, and our revenue stays about the same. Without the help of the many volunteers and donations, we would not be able to produce Danish Days. We have lost ad revenue due to the closing of businesses and additional sponsorship is very limited due to the economic times as well as our having to hire outside help in place of in-kind services from the city.

In that regard, the Danish Days Foundation requests $50,000 to help sponsor Danish Days this year.

Your financial partnership is essential to produce a quality event that is something we can all be proud of. We hope that the city will give generous thought to our request for this sponsorship and that come September 16th, 17th and 18th that we all will be celebrating our Danish heritage and culture together with a renewed spirit of community.

If you have any questions, please don’t hesitate to call Max Hanberg at 805-403-7537. 306

THE SANTA YNEZ VALLEY

ROTARY CLUB FOUNDATION
PO Box 121, Solvang, CA 93464
March 15, 2022
Dear Mayor Uhrig and City Council members:

The Santa Ynez Valley Rotary Club is requesting the City of Solvang to be the Grand Finale sponsor to bring our community back together again to celebrate the 4th of July at that Santa Ynez mission. Your support has been one of the keys to the success of this annual event and has helped us to continue to provide this Patriotic Celebration of our Country's birth to our community.

Over 25 years ago the SYV Rotary Club conceived the 4th of July Fireworks Festival as a safe alternative to driving to SB, SM or Lompoc. The event has since grown to over 5000 attendees, possibly the largest event in the Valley, with approximately 71% of attendees from outside of the valley. The free fireworks show is free to citizens in Solvang who enjoy them from their homes and have private 4th of July parties.

Money raised from this event stays in our community! We grant funds to local non-profits, such as Solvang and Buellton Senior Centers, Solvang Festival Theater, People Helping People, Elverhoj Museum, Veggie Rescue, Nature Trac, and Solvang Friendship House. Several of these organizations are serving one of our most vulnerable populations, seniors which is a priority for the City of Solvang. We also provide scholarships to graduating seniors in the Valley and during COVID last year we supported with financial assistance local foodbanks and food distribution sites with over $50,000 in relief. Recently we gave out over $4500 in gift cards purchased from local coffee shops to all the teachers in the valley during our gratitude week.

The SYV Rotary has given a million dollars back to our community over the past 60 years.

The 4th of July celebration is now an expected and anticipated event for the City of Solvang and entire SYV. This event also brings in a lot of tourist that not only help support our fundraising but are also spending money in Solvang by staying in local hotels, visiting local merchants, eating at our Solvang restaurants and of course wine tasting in Solvang at tasting rooms. I personally have taken calls and emails from families in Arizona, Santa Barbara, Northern California and Nevada who attend regularly inquiring to make sure we are still having the event. We also have over a 1,000 active military and their families attending from all over California as we honor them with free admission.

Due to the pandemic we have canceled the last two 4th of July show which has significantly decreased our fundraising dollars. Plus, our expenses are going up. The last show was $54,000 and is expected to approach $70,000 this year.

There are a lot of expenses associated with this event: permits, liability insurance, sound and light, canopy and generator rentals, porta potties, security, event management company and of course fireworks which is the largest expense at $25,000.

I want to thank you for your previous support and ask the City of Solvang to be the Grand Finale sponsor and with SYV Rotary to bring our community back together after 2 years to celebrate the 4th. We need your help by investing $25,000 to help pay the cost of the fireworks. By doing this the City of Solvang will become a Grand Finale sponsor and will be listed as on all advertising The Rotary Club of the Santa Ynez Valley hosts the 26th annual 4th of July Extravaganza with major support from the City of Solvang.

Together we can make this the best 4th of July Celebration for our community.

Sincerely,
Tammy Westwood, President
307
The Rotary Club of the Santa Ynez Valley hosts
the 26th annual 4th of July Extravaganza
with major support from the City of Solvang
Grand Finale Sponsor $25,000
• 20 VIP Guest Packages* and 25 General admission tickets including 25 drink tickets • City of Solvang Booth at Festival to promote business, products, etc. • 2 Corporate banners prominently displayed at festival provided by SYV Rotary • City of Solvang announced as Grand Finally Sponsor at the beginning of fireworks show over PA system with recorded music
• Logo on all advertising
• Web site linked to Rotary homepage and social media
• Special luncheon guest at SYV Rotary meeting
*VIP package includes: special parking, transportation to fireworks field, VIP Seating for the fireworks show, charcuterie platter and refreshment cooler stocked with wine, beer, soft drinks and water, beginning at 7:30pm 308
One-Time Community Funded Capital Projects
Funding Requests

1. Solvang Festival Theater Renovation

2. Solvang Senior Center New Building
309
Solvang Theaterfest
Board of Directors
Chair
Denise de Bellefeuille
Vice-Chair
Ann Foxworthy Lewellen, Ph.D
Treasurer
Susan Beckmen
Secretary
David Silva
Directors
Carol Anders
Bill Bernstein
Lois S. Brown
Jean-Paul Demeure
Erica Jane Flores
Chris Nielsen
Kelly Reaves
Brad Vidro
Kathryn Wrench
Executive Director
Scott Coe
Business Office
433 Second Street
Solvang, CA 93463
Mailing Address
P.O. Box 917
Solvang, CA 93464
Theater Location
420 Second Street
Solvang, CA 93463
Phone
(805) 686-1789
Fax
(805) 686-5912
Email
[email protected]
Website
https://
solvangtheaterfest.org
April 6, 2022
Dear Members of the Solvang City Council,
The Solvang Theaterfest Board of Directors is extremely thankful to the city of Solvang for the cooperation and support we received throughout the planning and approval process for the renovation of the Solvang Festival Theater. The city’s actions reGlected the excellent relationship that has existed between it and the theater over the decades.

No other local nonproGit institution has served so many diverse populations in the community over so many years. In addition, the Solvang Festival Theater is responsible for enhancing the reputation of the city as a thriving, cultural destination while generating signiGicant ongoing revenue for the city.

The Solvang Festival Theater is the only performing arts facility of its kind on the Central Coast that provides a large open-air performing arts venue for audiences of all ages. Given its diverse uses, it is an indispensable local facility. There is no comparable gathering place.

Because of the Solvang Festival Theater, this city has been provided with a large community-use facility without having the challenges of building it, maintaining it, and ownership.

The protracted Covid pandemic dealt a multiyear Ginancial blow to the Solvang Festival Theater. The theater is dependent on income from ticket revenue generated from concerts and especially PCPA productions. In addition, revenue is generated through facility rentals that bring community events such as the Halloween Haunted House, children’s dance recitals, and Nashville Nights. For all of 2020, the theater was dark with no ticket revenue or rentals. Ticket sales for the summer 2020 had to be returned to the purchasers although many patrons were supportive and made their refunds a donation.

In 2021 the theater was able to open for a limited period with small concerts in the garden and a very limited PCPA season generating less than a quarter of the typical annual income. There was no rental income in 2021. With construction starting in September, there was no opportunity to schedule any fall or spring events or performances.

The 2020 and 2021 loss of revenue forced the theater to lay off staff, reduce the work hours of remaining staff, and rely on its reserves. Now the theater is preparing for a return to operation in summer 2022.

However, ticket and rental revenue for 2022 will remain below normal due to the late start of the season and to the theater being unavailable until construction is completed.
310
311
Solvang Festival Theater
Positive Economic Impact
The performing arts have a positive cultural and economic impact on a community, and the Solvang Festival Theater proves the truth of that statement. The city of Solvang and its residents are the fortunate beneGiciaries of having a local performing arts theater that will become an even more exciting attraction in the city with when its restoration is completed.

Measure of Theater Audience Spending
Arts & Economic Prosperity 5, is the Americans for the Arts Gifth study of the nonproGit arts and culture industry’s impact on the economy. It documents economic contributions of the arts in diverse regions.

In addition to the price of the admission, according to this study, theater attendees in Santa Barbara spend an estimated $28.25 locally, and the average nonresident audience member will spend $51.88. Theatergoers tend to stay in hotels, visit restaurants, bars, bakeries, and make purchases in retail stores.

Estimate of Total Theater Audience Local Spending
When these estimated amounts are applied to PCPA performance attendance of almost 30,000 in 2018 and again in 2019, the positive economic impact on local businesses is estimated at $820,200. If you add the Solvang Festival Theater attendance at concerts, other programs, and nonproGit fundraising events, the local impact must be closer to $1,000,000.

Residence Demography of Theater Audience
PCPA tracking of ticket buyers residence demographics over Give years demonstrates 65 percent of tickets were sold to residents of Santa Barbara County and 35 percent to residents outside the county. If ticket sales track households, 51 percent were sold to residents of Santa Barbara County and 49 percent were nonresident. This signiGicant percentage of non-county residents, demonstrates the theater is a strong tourist attraction that beneHits local businesses.

Solvang Theaterfest tracking of demographic information of ticket buyers to the last three onstage concerts in the Solvang Festival Theater demonstrates a consistent percentage of out-of-county ticket buyers having a positive local economic impact that creates additional tax revenue for the City of Solvang.

Mat Kearney 73% Santa Barbara
27% Outside of Santa Barbara
Scotty McCreery 70% Santa Barbara County
30% Outside Santa Barbara County

Clint Black 70% Santa Barbara County
30% Outside Santa Barbara County
312
Solvang Theaterfest Vision Statement
Solvang Theaterfest has adopted a vision statement and long-term strategy for the next 5 years with the completion of the Solvang Festival Theater restoration. The rebuilding of the theater will allow Solvang Theaterfest to achieve this vision to expand and improve programming and services to its community.

In turn, the Solvang Festival Theater will have an even greater positive economic impact on the city.

The vision of Solvang Theaterfest is to become a premier destination for performing arts entertainment on the central coast and to serve more fully as a center for cultural life in the community. This vision will be achieved by:

Increasing programming
Increasing the diversity of programming
Increasing attendance of a wider sector of the community Ensuring an up-to-date performance and educational training facility Forging strong relationships with a larger number of local nonproGits and businesses Achieving energy efGiciency and sustainability while lowering maintenance costs Local Recognition of the Solvang Festival Theater’s
Positive Economic and Community Impact
The business community recognizes the importance of the Solvang Festival Theater in bringing patrons to their businesses. They have been strong donors to the capital campaign and have stepped forward to provide sponsorships for theater concerts, PCPA productions, and campaign events. They have also shared advice on how to make the theater even more of an asset in support of business and foresee the restored theater as a strong business partner. As Jim Knell, a campaign supporter and founder/chair of SIMA Corporation has pointed out, a rich variety of community entertainment helps to attract hotel guests to Solvang.

The following are a few representative quotes from business leaders:

I believe that The Solvang Festival Theater is doing what it was created to do for decades: bring people to our city who stimulate the local economy and tell their friends. As a Santa Barbara County native and business person, I have seen what a vital role the Theater plays for the City of Solvang both culturally and Aiscally. My family has been, and will always be supportive of its efforts.

Palmer Jackson, Jr.

The Alisal Guest Ranch and Resort
Dear City Manager and City Council Members,
Visit the Santa Ynez Valley organization represents all of the hotels in Solvang and the Santa Ynez Valley as well as a host of other businesses that are involved in tourism. I am the only remaining charter member of this organization as well as the current Chairman, serving several terms as Chairman and having served as Vice Chair and Secretary as well a multitude of times.

This organization was founded with the sole intent of bringing more visitors to Solvang and the Santa Ynez Valley and putting “heads in beds” which is our mandate. Our budget is funded from the TBID tax levied on our visitors and their overnight stay. Those dollars may ONLY be spent marketing Solvang and the Santa Ynez Valley, thus Ainancially impacting all the businesses in our communities that this organization represents.

Theaterfest plays a huge part in the success of summer tourism in Solvang and the Santa Ynez Valley as production is midweek as well as weekends, tickets are affordable, and this is a totally unique experience that very few get to enjoy .Most tourists plan overnight stays, but even the day 313
trippers will impact our economy by coming early for shopping and dining. Theaterfest offers this unique experience showcasing quality productions in a very intimate setting which is the bonus.

Renovation of the facility are LONG overdue, and the City of Solvang needs to embrace that responsibility along with the residents and businesses, to make sure that future generations will have the privilege of watching live theater under the stars in a theater that was built and maintained by their very own community.

Please vote responsible in sharing this Ainancial obligation in maintaining our theater.

Linda Johansen
Chairman, VSYV
The Solvang Festival Theater is a community treasure. It provides a unique experience in Santa Barbara County and the Central Coast. Whereas Visit the Santa Ynez Valley’s goal is to bring people to Solvang and the Santa Ynez Valley, we appreciate and support the theater because it is the rare organization that provides high quality entertainment and cultural experiences to residents and visitors alike.

Shelby Sim
President / CEO
Visit the Santa Ynez Valley
Solvang is arguably the most charming town in Santa Barbara County, inarguably the most tourist-friendly town with so much magic to share with visitors and locals.

There are treasures here that cannot be replicated anywhere else, and the Airst among these treasures is in the center of our little town, an elite outdoor theater that offers a unique Shakespearean Globe theater experience to visitors all summer long. Our guests stop for wine tasting and then walk around the corner to watch a professional acting troupe perform a worldclass production—as far as we know this is the only town around that delivers that caliber of theater experience.

At Lucas & Lewellen and Toccata, we are so proud of our Solvang Festival Theater and so thankful for the symbiotic relationship we participate in. We bring in guests here with great local wine, and the Solvang Festival Theater gives them a great reason to stay. We continue to throw our full support behind success of this local treasure, and we look forward to a great future for all of us.

Lucas & Lewellen and Toccata Wines
Andrew Moore, Tasting Room Manager
Anjie Park, Wine Club Manager
Attention City Manger and Council Members,
I would like to take this opportunity to thank you all for your willingness, time and efforts in serving the City of Solvang. I sincerely appreciate all you do for the businesses and residents of Solvang. We have a huge responsibility in upholding our Danish Culture, the quality of life for our residents as well as our share of the tourism market place along the Central Coast. Your decisions impact us!
In that regard, as a business owner of two local hotels, the King Frederik Inn located in Solvang and Pea Soup Andersen’s Inn located in Buellton, my personal wealth is dictated by tourism in our communities. The Solvang Theaterfest is one of the true assets in Solvang that is of beneAit to most or all of the businesses.

Not only does the Festival Theater encourage mid week travel, but it encourages travelers to spend the night because the performances are late in the evening. Hotels, restaurants, retail stores, museums, wine tasting rooms and vineyards etc., are all Ainancially impacted by these quality performances at Theaterfest.

I personally have been selling the Solvang Festival Theater at all trade shows and conventions for over 30 years as the “Hidden Gem” of Solvang”. We are so lucky to be blessed with a premier facility in a prime location, as well as talented acting and performances from our partners at 314
PCPA. This is a unique gift to our community as there is only a few outdoor theaters like ours in the US with the closest being in Ashland, Oregon.

Theaterfest was a gift to our community from some visionary civic leaders and it is now our responsibility as well as that of the City of Solvang, to make sure that future generations of local residents as well as our continued tourism visitors, will be able to enjoy live outdoor summer theater. The City of Solvang needs to invest in this project just like so many of the residents have and will continue to do. This is our responsibility and the investment you make in the Solvang Festival Theater, is an investment in the future of Solvang, and the lively hood of the businesses and residents that you represent. Please rule accordingly in that regard.

Thank you for your Ainancial support of the Solvang Theaterfest.

Linda Johansen
Hotel Owner
I believe that in a great city, or even a small city or village, “a great theatre is the outward and visible sign of an inward and probable culture”. This quote from Laurence Olivier may best describe the intrinsic value that a theatre brings to a community.

A theater can become the lifeblood of a city and enrich the lives of those who take part. It crosses all ages, cultures, and creates sense of community.

On the economic front, as a business owner and proprietor of the Sanger Family of Wines, I moved my business from a nearby city to our wonderful city of Solvang so my patrons could experience the strong bond and yet sense the diversity of our city Central to that notion the Solvang Festival Theater has always been at “center stage”.

Many of my patrons are from other areas of the country and the state, oftentimes spending the weekend to experience new discoveries. When patrons visited our wine tasting room we often ask them what brought then to Solvang. Prior to COVID is was common to hear “ we are here to see a play/concert at the Solvang theater, and take in a dinner and some wine tasting while here”. Today when our patrons ask about the city, our wine ambassadors always mention the up and coming new and improved theater. They have seen Airst hand the value that the theater brings to local business.

In closing I want to emphasize the importance of a living a breathing theater. There is no greater self expression of language and art. A theater reminds us all that we can work together to better our society.

William A. Sanger
Sanger Family of Wines
When I talk with other restaurant owners, they tell me how much their business increases when musicals or concerts are being performed in the theater. The Solvang Festival Theater is deAinitely good for business.

Aaron Petersen
Solvang and Santa Barbara Restaurateur

I have experienced great support as a hotelier in Solvang over the last 40 years from the Solvang Theaterfest. The hospitality industry is blessed to have this unique outdoor theater where our guests can have an amazing experience under the stars. No other resort destination has such an attraction. At Hotel Corque we sponsored the ticket holder for many years. It was a great marketing tool to attract new guests from the BakersAield and Fresco areas.

I strongly recommend that the city council make a Ainancial commitment to support the upgrades and renovations of the Solvang Theaterfest. It is long time overdue and will increase our hotel occupancy.

John Martino
Hotel Corque, Succulent Cafe
315
A theater is the hallmark of a healthy, thriving, community.

Polly Firestone Walker
Firestone Walker Brewing Company
I have been coming to the Solvang Festival Ttheater since Once Upon a Mattress made its debut in 1974. I served on the board of the Solvang Theaterfest Board of Directors for 12 years.

I am currently the President of the Santa Ynez Valley Association of Realtors and know how important Solvang Theaterfest is, not only to the community, but also to the real estate industry.

We are a rural but sophisticated community in which Theaterfest is an important element and often called the Crown Jewel of the Valley. I have conversations with all my clients about Solvang Theaterfest and many now come to enjoy performances and community events. Realtors understand and appreciate the importance of the theater and last year the Association donated to the Imagine Capital Campaign.

Barbara Bierig
Sothebys International Realtor Agent
President, Santa Ynez Valley Associate of Realtors
316
To: Solvang City Council
From: Solvang Senior Center
Date: May 12, 2022
Re: Temporary Relocation During Construction Period
Background:
® Solvang Senior Center (SSC) will proceed with the construction of the permanent building in early 2023
® Previous discussions with Council and City Manager indicated favorable consideration of the use of Legion Wing and other areas of Vet’s Hall to minimize temporary costs ® SSC has met with Sherriff Brown and Lieutenant Tee Slaa regarding construction, including circulation and timeline. They are supportive of the project.

Request:

1. Use of Legion Wing and kitchen area Monday through Friday, per agreed upon calendar a. Expected time frame 12-18 months
b. Expected start January 2023

2. Use of Office Space (Transit Temporary Space) for daily use for storage and refrigerator/freezer moved from SSC
a. This eliminates temporary walk-in refrigerator installation and cost

3. Use of Ag Office
a. Provides space for long-term storage during construction b. Eliminates cost of offsite long-term storage

4. Use of 5-6 parking spaces on City lot for 12x60 foot trailer for office space

5. City FY 2022/23
a. $60,000 of temporary financial support during transition, b. Contingency funding of $6,000 to be approved now and drawn only if necessary c. Expected draw Fall 2023
Attachments:
® Map of Veterans Memorial building with spaces highlighted ® Transition Cost Summary
317
Preliminary Cost Estimate
Temporary Office
monthly ($) one‐time ($) 18 mo ($)
API Office Trailer (12 x 60) 650 11,700
ADA Ramp 300 5,400
Installation/Removal 11,500 11,500
Utility connections/disconnections 1,000 1,000
Permits/Site Preparation 1,000 1,000
Signage 500 500
Moving cost (FF&E to Office trailer/storage) 3,000 3,000 includes  copier move $600.00
movers: 32 hr @ $75/hr
Monthly Utility expense 540 9,720
Temporary employee 900 16,200
for maintenance etc ($20/hr ‐ 45 hr/mo)
TOTAL 60,020
5/17/2022
318
319
Attachment D
Wayfinding and City Signage Project Concept
During the Preliminary Financial Plan presentation on May 23, 2022, the City Council requested more information on conceptual wayfinding proposed project. The information is presented below. The project is presented in concept only for funding consideration. If approved, staff will develop precise scope, competitively bid the project, and return to City Council and Design and Review committee for final approval.

In Fiscal Year 2021-22 the City Council adopted an updated Logo shown below.

Based on the logo, staff worked with Design Review Committee and marketing consultants to develop a color palate for the updated City brand. This brand color palate and style will be applied to City government and marketing websites and signage if the project is approved to move forward. The attached (attachment 1) branding and signage renderings were approved by the Design Review Committee.

Based on the renderings staff has performed high level conceptual analysis to develop potential design solutions to construct such signs. Staff has also analyzed recommended placement of wayfinding signage for pedestrian and vehicular traffic. See attached renderings and maps (attachment 2).

Furthermore, Tourism Advisory Committee reviewed the branding and recommended replacement of signs at the entries to the City on Mission Drive as well as adding two more entry signs to the City on Alisal and Alamo Pintado (attachment 3).

Staff has furthermore researched options for potential construction materials to achieve the desired design at the lowest price. Staff recommends a budget of $300,000 and will continue to research options to reduce costs while achieving the desired quality. 320
321
Brand Elements
322
3 © 2022 Cogs & Marvel | All Rights Reserved
The Logo

BRAND ELEMENTS
323
4 © 2022 Cogs & Marvel | All Rights Reserved
Color Palette

BRAND ELEMENTS
324
5 © 2022 Cogs & Marvel | All Rights Reserved

BRAND ELEMENTS
Patterns
325
6 © 2022 Cogs & Marvel | All Rights Reserved
Typography

BRAND ELEMENTS
326
Design Application
327
8 © 2022 Cogs & Marvel | All Rights Reserved
Website

DESIGN APPLICATION
SHOWN WITH OPTION 1 COLOR / 2758C
328
9 © 2022 Cogs & Marvel | All Rights Reserved
City Wayfinding

DESIGN APPLICATION
SHOWN WITH OPTION 1 COLOR / 2758C
329
10 © 2022 Cogs & Marvel | All Rights Reserved
Museum Pass

DESIGN APPLICATION
SHOWN WITH OPTION 1 COLOR / 2758C
330
11 © 2022 Cogs & Marvel | All Rights Reserved
Social Media

DESIGN APPLICATION
331
Color Palette
Exploration
332
13 © 2022 Cogs & Marvel | All Rights Reserved
Previous Round

COLOR PALETTE
Option 1 Option 2
333
14 © 2022 Cogs & Marvel | All Rights Reserved
Revision

COLOR PALETTE
Option 1:

Lighten up old option 1 a touch
PMS 2758C
Option 2:

Pull a color in between old option 1 & 2
PMS 2748C
334
15 © 2022 Cogs & Marvel | All Rights Reserved
Revision

COLOR PALETTE
335
16 © 2022 Cogs & Marvel | All Rights Reserved
Revision

COLOR PALETTE
336
17 © 2022 Cogs & Marvel | All Rights Reserved
Option 1 / 2758c

COLOR PALETTE
337
18 © 2022 Cogs & Marvel | All Rights Reserved
Option 2 / 2748c

COLOR PALETTE
338
City Sign
339
20 © 2022 Cogs & Marvel | All Rights Reserved
SIGNAGE: OPTION 1
• Adjusting overall shape of signage leans to the traditional sensibility • Cleaner lines than overly traditional shapes so the city signage stands out • Dark wood texture for more of a traditional look and feel. 340
21 © 2022 Cogs & Marvel | All Rights Reserved
SIGNAGE: OPTION 1
• Adjusting overall shape of signage leans to the traditional sensibility • Cleaner lines than overly traditional shapes so the city signage stands out • Half-timber texture connects back to architecture
341
22 © 2022 Cogs & Marvel | All Rights Reserved
SIGNAGE: OPTION 3
• Adjusting overall shape of signage leans to the traditional sensibility • Cleaner lines than overly traditional shapes so the city signage stands out • Half-timber texture connects back to architecture
342
343




 


  

 !"#
$%&&'&&'&&
(
)*+,-.*/01234567389:3673;<=3=>;>=>?@>3<?ABC3.AD5<EF53>G>=B3>;;<=D35973H>>?389I>3D<3 >?7E=>3D5>39@@E=9@B3<;36?;<=89D6<?J3>==<=739?I3@<?I6D6<?73<=6F6?9D6?F3;=<83:5B76@9A37<E=@>73 E7>I3D<3I>G>A<:3D5>3I9D9H97>389B3H>3=>;A>@D>I3<?3D567389:C3K<3A>G>A3<;39@@E=9@B3673@A986>I3 ;<=3D5>3H<E?I9=B3A6?>7375<L?35>=><?39?I3A6?>7375<EAI3?<D3H>3E7>I3D<3<HD96?3@<<=I6?9D>3 G9AE>7J3H>9=6?F73<=3I67D9?@>7C "MN#O%P N%Q R %#"M %" N
S#%
#"M %"T%
UVWX(Y S O"$
$RZ[ #$P"

\
]^_`abcdefgh` ]^_`aijekfachailkhg_kfamgn^o^_^kp q_hkk_p rgsatghnkop Lot 1
VETS
Lot 2
Lot 4

WEEKEND

OVERFLOW

PARKING

WEEKEND

OVERFLOW
PARKINGPARKING



]^_`abcdefgh` ]^_`aijekfachailkhg_kfamgn^o^_^k q_hkk_p rgsatghnkopqr 344
345
346
347
348




 


  

 !"#
$%&&'&&'&&
(
)*+,-.*/01234567389:3673;<=3=>;>=>?@>3<?ABC3.AD5<EF53>G>=B3>;;<=D35973H>>?389I>3D<3 >?7E=>3D5>39@@E=9@B3<;36?;<=89D6<?J3>==<=739?I3@<?I6D6<?73<=6F6?9D6?F3;=<83:5B76@9A37<E=@>73 E7>I3D<3I>G>A<:3D5>3I9D9H97>389B3H>3=>;A>@D>I3<?3D567389:C3K<3A>G>A3<;39@@E=9@B3673@A986>I3 ;<=3D5>3H<E?I9=B3A6?>7375<L?35>=><?39?I3A6?>7375<EAI3?<D3H>3E7>I3D<3<HD96?3@<<=I6?9D>3 G9AE>7J3H>9=6?F73<=3I67D9?@>7C "MN#O%P N%Q R %#"M %" N
S#%
#"M %"T%
UVWX(Y S O"$
$RZ[ #$P"

\
]^_`abcdefgh` ]^_`aijekfachailkhg_kfamgn^o^_^kp q_hkk_p rgsatghnkop Lot 1
VETS
Lot 2
Lot 4

WEEKEND

OVERFLOW

PARKING

WEEKEND

OVERFLOW
PARKINGPARKING



]^_`abcdefgh` ]^_`aijekfachailkhg_kfamgn^o^_^k q_hkk_p rgsatghnkopqr Lot 1
VETS
Lot 2
Lot 4

WEEKEND
349




 


  

 !"#
$%&&'&&'&&
(
)*+,-.*/01234567389:3673;<=3=>;>=>?@>3<?ABC3.AD5<EF53>G>=B3>;;<=D35973H>>?389I>3D<3 >?7E=>3D5>39@@E=9@B3<;36?;<=89D6<?J3>==<=739?I3@<?I6D6<?73<=6F6?9D6?F3;=<83:5B76@9A37<E=@>73 E7>I3D<3I>G>A<:3D5>3I9D9H97>389B3H>3=>;A>@D>I3<?3D567389:C3K<3A>G>A3<;39@@E=9@B3673@A986>I3 ;<=3D5>3H<E?I9=B3A6?>7375<L?35>=><?39?I3A6?>7375<EAI3?<D3H>3E7>I3D<3<HD96?3@<<=I6?9D>3 G9AE>7J3H>9=6?F73<=3I67D9?@>7C "MN#O%P N%Q R %#"M %" N
S#%
#"M %"T%
UVWX(Y S O"$
$RZ[ #$P"

\
]^_`abcdefgh` ]^_`aijekfachailkhg_kfamgn^o^_^kp q_hkk_p rgsatghnkop Lot 1
VETS
Lot 2
Lot 4

WEEKEND

OVERFLOW

PARKING

WEEKEND

OVERFLOW
PARKINGPARKING



]^_`abcdefgh` ]^_`aijekfachailkhg_kfamgn^o^_^k q_hkk_p rgsatghnkopqr Lot 1
VETS
Lot 2
Lot 4

WEEKEND
350
Agenda Item: 9

Solvang City Council STAFF REPORT
PREPARED BY: Xenia Bradford, City Manager
Dave Fleishman, City Attorney
MEETING DATE: June 27, 2022
SUBJECT: Resolutions and introduction of an Ordinance to Place a Solvang Local Control and Essential Services Local Revenue Measure on November 8, 2022 Election Ballot
RECOMMENDATION:

That the City Council:

1. Adopt the Resolutions to submit to the voters a question relating to updated local funding sales tax measure:

A. Draft Resolution 1180, approving ballot measure text relating to locally controlled one cent sales tax to be submitted to the qualified electors of the City at the General Municipal Election to be held on November 8, 2022, as called by Resolution xxx, and directing the City Attorney to prepare an impartial analysis.

B. Draft Resolution 1181, setting priorities for filing written arguments regarding the City measure.

C. Draft Resolution 1182, providing for the filing of rebuttal arguments for the City measure.

2. Introduce, on first reading by title only, Draft Ordinance imposing a locally controlled one cent transactions and use (sales) tax to be administered by the California Department of Tax and Fee Administration, subject to adoption by the electorate.

SUMMARY: