DATE: January 21, 2020
TO: Board of Supervisors
SUBMITTED BY: Steven E. White, Director
Department of Public Works and Planning
SUBJECT: Budget Resolution - County Service Area No. 34 (Millerton New Town)
RECOMMENDED ACTION(S):
TITLE
Adopt Budget Resolution increasing FY 2019-20 appropriations for County Service Area No. 34 Millerton New Town, Fund 0830, Subclass 16000, Org 9174 using general reserves in the amount of $266,160 for the Millerton Lake Pump Communications Project (4/5 vote).
REPORT
Approval of the recommended action will increase appropriations to fund the Millerton Lake Pump Communications Project. The Project will repair the lake pump communications using Lake Pump Replacement and Repair Reserves. This item pertains to a location in District 5.
ALTERNATIVE ACTION(S):
There are no viable alternative actions. Recently, the Millerton Lake pumps experienced communication failures. Department of Public Works and Planning staff working to find a permanent solution discovered that a new communication system might be required. Staff has a temporary solution in place, but if it fails, there will be no sustainable water supply for the residents of the Millerton New Town area.
FISCAL IMPACT:
There is no Net County Cost associated with the recommended action. All funds related to the operations, maintenance and capital replacement of the Millerton Lake pumps and equipment are collected annually from the property owners in County Service Area No. 34 (Millerton New Town) CSA 34 and its zones, through a benefit assessment approved by the Board on March 15, 2016. The collected funds are deposited into a lake pump account. The increased appropriations in Fund 0830, Subclass 16000, Org 9174, will allow Department staff to pay invoices and staff costs related to lake pump repairs estimated at $266,160 ($108,600 for maintenance equipment and $157,560 for infrastructure costs) using general reserves.
DISCUSSION:
CSA 34 was formed in 1986 to provide various community services for the development of Millerton New Town, which consists of 1,420 acres lying on the north and south sides of Millerton Road, to the south of Millerton Lake. CSA 34 provides water contract administration to maintain the active status of three surface water supply contracts and the administration services associated with ensuring that the Millerton Lake raw water pumping facilities retain their standby, ready-to-serve status for the benefit of all CSA 34. The impacted lake pumps currently serve 312 residential units.
Department staff has taken measures to ensure that CSA 34 has reserves available when emergencies arise with the Millerton Lake pumps, by including a Lake Pump Replacement and Repair Reserve in the rate structure established through a Proposition 218 procedure approved by the Board on March 15, 2016.
With your Board’s approval of the recommended action, there will be enough appropriations to pay for the emergency lake pump communications repair using Lake Pump Replacement and Repair Reserves. The Org 9174 FY 2019-20 Adopted Budget included funding for routine maintenance of the lake pumps; however, the magnitude and severity of the repairs were unanticipated and were not included. The Department became aware of the communication failures in late November 2019 and implemented a temporary solution. If the repairs are not completed before the temporary solution fails, the CSA 34 lake pump system will not be able to communicate with the rest of the water system to provide a sustainable water supply for the constituents of the communities in CSA 34 and its Zones; A - Brighton Crest, C - Bella Vista, D - Renaissance at Bella Vista, F - The Vistas and G - Granville.
REFERENCE MATERIAL:
BAI #19, March 15, 2016
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Resolution (Org 9174)
CAO ANALYST:
Sonia M. De La Rosa