TO:Andrew P. Powers, City Manager
FROM:Nader Heydari, Public Works Director
DATE:May 19, 2026
SUBJECT: Out of Agency Wastewater Service Agreement - Calle Arroyo APN 663-0-122-095 (Family Trust Hewitt)
RECOMMENDATION:
1. Approve an Out of Agency Service Agreement (OASA) with Family Trust Hewitt to provide wastewater service for a new single-family residence on Calle Arroyo (APN 663-0-122-095) in the unincorporated Lynn Ranch area adjacent to the City of Thousand Oaks.
2. Authorize City Engineer to apply for an OASA with the Ventura Local Agency Formation Commission (LAFCo) and execute all required documents.
3. Authorize City Manager to execute Indemnity Agreement with LAFCo.
4. Find that this action is not a project as defined under the California Environmental Quality Act.
LEVINE ACT ITEM: No
FINANCIAL IMPACT:
No Additional Funding Requested. Staff time and costs required to process the agreement are reimbursed by the applicant-paid user fee for processing. The applicant will also pay all LAFCo application fees and City utility connection fees in accordance with current City user fees and municipal code.
BACKGROUND:
The City provides service for 38,000 wastewater customers. In some instances, the City’s service area boundaries extend beyond City limits into County unincorporated areas. The Lynn Ranch area is one such location where this situation exists (Attachment #1).
OASA - Calle Arroyo APN 663-0-122-095 (Family Trust Hewitt) May 19, 2026
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The owner of the vacant property at Calle Arroyo (APN 663-0-122-095) is pursuing approval from the County of Ventura to build a new single-family residence in the unincorporated Lynn Ranch area. The owners wish to connect a new sewer lateral to the City wastewater main. The property lies outside the City boundary, but within the City’s wastewater service area. LAFCo does not recognize the entirety of the City’s wastewater service area facilities and boundary received by the City from Ventura Regional Sanitation District June 18, 1987 (Contract No. 87-30); therefore, a property located in the County unincorporated area must go through the LAFCo process.
The City owns and maintains wastewater mainlines currently serving the surrounding area near the property and is able to serve the proposed single-family residence.
LAFCo oversees OASAs between public agencies and private parties and requires the City to obtain LAFCo approval prior to providing water and/or wastewater services outside the LAFCo-recognized City service area boundaries including the addition of new connections. A utility service agreement between the City and the property owner is required for LAFCo to consider approval (Attachment #2). As part of that agreement, the owner of the property also agrees not to protest future annexation proceedings if initiated by the City.
DISCUSSION/ANALYSIS:
The owner of the vacant property at Calle Arroyo (APN 663-0-122-095) has requested new wastewater service from the City to serve the proposed new single- family residence. The attached OASA application has been prepared by staff in conformance with LAFCo requirements (Attachment #3). Water service in this area is provided by the California American Water Service Company (Cal-Am) and the owners are coordinating with Cal-Am for a potable water connection.
The required OASA stipulates that:
The proposed residential project shall be served by a 4-inch wastewater lateral, to be connected by the applicant to the City’s existing wastewater main;
Installation of the water service line, meter, wastewater lateral, and all connections to the main utility lines will be the responsibility of the property owner at their cost; and
The owners of the property also agree not to protest future annexation proceedings if initiated by the City.
The attached documents fulfill LAFCo’s requirements and include the application for wastewater services. Staff recommend approval by City Council.
OASA - Calle Arroyo APN 663-0-122-095 (Family Trust Hewitt) May 19, 2026
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LEVINE ACT (California Government Code § 84308):
This item is subject to the Levine Act. City Councilmembers who have received a campaign contribution of more than $500 (aggregated) within the preceding 12 months from a party or their agent/representative, or a financially-interested participant involved in this proceeding may do either of the following: (1) disclose the contribution on the record and recuse themselves from this proceeding; or if applicable (2) return the portion of the contribution that exceeds $500 within 30 days from the time the official knew or should have known about the contribution, and participate in the proceeding.
All parties and their agents/representatives must disclose on the record of this proceeding any aggregated contribution of more than $500 made to any Councilmember within the preceding 12 months. Councilmembers are prohibited from accepting, soliciting, or directing a campaign contribution of more than $500 (aggregated) from a party, their agent/representative, or a financially-interested participant during a proceeding and for 12 months following the date a final decision is made. In addition, a party, their agent/representative, or a financially- interested participant is prohibited from contributing more than $500 (aggregated) to a Councilmember during a proceeding and for 12 months following the date a final decision is made.
COUNCIL GOAL COMPLIANCE:
Meets the following City Council goals:
C. Operate City government in a fiscally and managerially responsible and prudent manner to ensure that the City of Thousand Oaks remains one of California's most desirable places to live, work, visit, recreate, and raise a family.
F. Provide and enhance essential infrastructure to ensure that the goals and policies of the Thousand Oaks General Plan are carried out and the City retains its role and reputation as a leader in protecting the environment and preserving limited natural resources.
PREPARED BY: Jim Taylor, Sr. Civil Engineer
Edgar Gonzalez, Engineering Assistant
Attachments:
Attachment #1 – Vicinity and Location Maps
Attachment #2 – OASA
Attachment #3 – LAFCo Application for OASA
DPW: 420-89\ev\Council\2026\051926\OASA Calle Arroyo- Hewitt staff report.docx