BOARD AGENDA MEMORANDUM
Government Code § 84308 Applies: Yes ☐ No ☒
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT:
Title
Fiscal Year 2023-24 Second Pass Biennial Budget Overview.
End
RECOMMENDATION:
Recommendation
Receive and discuss the overview of the Santa Clara Valley Water District’s Fiscal Year 2023-24 Second Pass Biennial Budget.
Body
SUMMARY:
The Santa Clara Valley Water District (Valley Water) develops the rolling biennial budget to allocate the public’s funds that are necessary to provide Silicon Valley with safe, clean water for a healthy life, environment, and economy. The development of Valley Water’s budget is accomplished in an open transparent process providing opportunity for Board and public input. This report presents the second pass budget update and schedule for development of the final Fiscal Year (FY) 2023-24 Biennial Budget. The process includes over nine (9) open session discussions, and the online budget simulation tool, providing the Board and public significant opportunity for input. In addition to the Board open sessions, Board Advisory committees have opportunities for input during the development of the Budget. The Board has scheduled Budget work study sessions on April 26 and 27. The process is scheduled to conclude with the adoption of the budget on May 16, 2023.
The Second Pass budget includes the most recent revenue and expense assumptions that support the second pass results. The update includes the increase of ten (10) new positions in FY24 and three (3) additional new positions in FY25 proposed by the CEO to address various Board and workload priorities. The positions would help achieve key outcomes which help Valley Water ensure an effective operations and maintenance program, support the WIFIA program, and assist in supporting community wide operations and capital projects. The positions are as follows and would be recruited with enough lead time to target a hire date at the beginning of the fiscal year.
Fiscal Year 2023-24 Budget
A. Financial Planning and Management Services
• 1.0 FTE Staff Analyst
B. Office of Integrated Water Management
• 1.0 FTE Management Analyst II
C. Watersheds
• 2.0 FTEs TBD (to address unhoused)
• 2.0 FTEs Assistant Biologist II
D. Water Utility Enterprise
• 2.0 FTEs Resident Construction Inspectors
• 1.0 FTE Associate Engineer - Civil
• 1.0 FTE, net, Instrumentation and Control Technician I Apprentice(s)
Fiscal Year 2024-25 Plan
A. Water Utility
• 1.0 FTE Program Administrator
• 1.0 FTE Chemist I
• 1.0 FTE Assistant Engineer II - Mechanical
In addition, the Second Pass budget includes additional funding for various services and supplies expenses such as the water rate assistance program, Bay Area Council's “Resilience Challenge,” permits for revegetation contractor and mitigation monitoring work, and encampment cleanup.
Valley Water's financial planning and budget development processes are governed by the District Act, Section 13 for taxation and Section 20 for adoption of the budget. In addition, state and federal laws require annual examinations of financial records. Board Governance Policies EL-4 guide financial management, planning, budgeting, and ongoing financial activities.
ENVIRONMENTAL JUSTICE IMPACT:
Valley Water acknowledges that disadvantaged communities have historically been disproportionately impacted by the effects of drought or flooding and currently provides the Low-Income Water Rate Assistance Program to help low-income households pay their water bills. The development of Valley Water’s budget is accomplished in an open transparent process providing opportunity for public input into the decision-making process. To ensure meaningful awareness of Valley Water’s budget and engagement in the decision-making process, public hearings are noticed in county newspapers in various languages, including English, Spanish, Chinese, and Vietnamese. The FY24 budget process includes over nine (9) open session discussions, supported by the online budget simulation tool, providing the public significant opportunity for input.
FINANCIAL IMPACT:
There is no financial impact related to this agenda. It is presented for information only.
CEQA:
The recommended action does not constitute a project under CEQA because it does not have a potential for resulting in direct or reasonably, foreseeable indirect physical changes in the environment.
ATTACHMENTS:
Attachment 1: PowerPoint
Attachment 2: Draft Project Details
UNCLASSIFIED MANAGER:
Manager
Darin Taylor, 408-630-3068