BOARD AGENDA MEMORANDUM
Government Code § 84308 Applies: Yes ☐ No ☒
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT:
Title
Set the Time and Place of a Public Hearing for the Santa Clara Valley Water District Board of Directors to Determine the Necessity for Directors to be Compensated for up to Fifteen Days per Calendar Month and to Consider Directors’ Compensation for Calendar Year 2025.
End
RECOMMENDATION:
Recommendation
A. Set the time and place for a Public Hearing at 1:00 p.m., on February 11, 2025, at the Santa Clara Valley Water District, 5700 Almaden Expressway, San Jose, California, for the Board of Directors to:
i. Consider the evidence and determine if there is an operational need for Directors to be compensated for up to fifteen (15) days per calendar month; and
ii. Consider Directors’ compensation for the calendar year 2025, pursuant to Chapter 2, Division 10 of the California Water Code; and
B. Direct the Clerk of the Board to publish notice of Public Hearing in a newspaper of general circulation within Santa Clara County.
Body
SUMMARY:
This item is presented to the Board pursuant to Santa Clara Valley Water District Act (District Act) Section 33(c), Government Code Section 53232.1, and California Water Code Sections 20200-20207.
AB 1889 (Caballero), enacted by the Governor on September 5, 2018, and taking effect on January 1, 2019, amends the District Act by adding Section 33(c), authorizing the Board to annually adopt a written policy describing, based on a finding supported by substantial evidence, why more than 10 meetings per month, but not more than 15 meetings per month, are necessary for the effective operation of Santa Clara Valley Water District (Valley Water). AB 939 (Pellerin), enacted by the Governor on September 9, 2023, extends the aforementioned provision indefinitely. The determination of whether a Director’s activities on any specific day are compensable shall be made pursuant to Section 53232.1 of the Government Code.
California Water Code Section 20202 authorizes the Board to annually consider, through the Public Hearing and ordinance adoption process, compensation increases at a rate not to exceed an amount equal to five percent (5%) annually.
Any Board approved change in the Directors’ number of compensated meetings per month and meeting compensation rate will become effective beginning 60 days after the date of Ordinance adoption, pursuant to California Water Code Section 20204.
The Board’s last compensation adjustment was on April 14, 2024. In accordance with the regulatory process, the Board held a Public Hearing on February 13, 2024, for the public to comment on the Directors’ meeting compensation amount; and at their February 13, 2024, meeting, the Board adopted Ordinance 24-01 enacting a compensation increase of five percent (5%), effective April 14, 2024.
As stated in the Notice of Public Hearing (Attachment 1), the Board could consider the following monthly meeting limit and compensation options at the February 11, 2025, Public Hearing:
MONTHLY MEETING LIMIT
1. Determine that there is an operational need to compensate Directors for up to 15 days per calendar month and set the meeting day limit accordingly, effective April 14, 2025, for the calendar year 2025; OR
2. Determine that there is NO operational need to compensate Directors for more than the current 10 days per calendar month and, therefore, make no change in the current limit.
MEETING COMPENSATION - Effective April 14, 2025
1. Keep the Directors’ compensation at the current amount of $384.16 per day, up to 10 or 15 days per calendar month, as previously determined;
2. Reduce the Directors’ compensation to a specified amount below the current $384.16 rate per day, up to 10 or 15 days per calendar month, as previously determined, effective April 14, 2025; or
3. Approve an increase of up to 5% in Directors’ compensation in accordance with the California Water Code Sections 20200-20207 for up to 10 or 15 days per calendar month, as previously determined, effective April 14, 2025.
ENVIRONMENTAL JUSTICE AND EQUITY IMPACT:
There are no environmental justice and equity impacts associated with the Directors’ compensation. This action is unlikely to or will not result in adverse impacts and is not associated with an equity opportunity.
FINANCIAL IMPACT:
Funds are budgeted in the Fiscal Year 2025 Clerk of the Board budget for advertising of the Board compensation Public Hearing.
Since contingency budgeting is not performed, funding for any Board-approved increase in compensation may need to be transferred from reserves pursuant to a budget adjustment.
CEQA:
The recommended action is not considered a project under CEQA because it does not have a potential for resulting in either a direct or reasonably foreseeable indirect physical change to the environment.
ATTACHMENTS:
Attachment 1: Notice of Public Hearing
UNCLASSIFIED MANAGER:
Manager
Max Overland, 408-630-2749