COMMITTEE AGENDA MEMORANDUM
Board Audit Committee
Government Code § 84308 Applies: Yes ☐ No ☒
(If “YES” Complete Attachment A - Gov. Code § 84308)
SUBJECT: title
Receive an Update on the Implementation of the Management Response to the 2024 Safe, Clean Water and Natural Flood Protection Program Performance Audit.
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RECOMMENDATION: Recommendation
Receive the status update on the implementation of the Management Response to the 2024 Safe, Clean Water and Natural Flood Protection Program Performance Audit.
Body
SUMMARY:
The Safe, Clean Water and Natural Flood Protection Program (Safe, Clean Water Program), effective July 1, 2021, requires an independent professional audit at least once every five years to promote accountability and transparency. At the request of the Independent Monitoring Committee and subsequent direction from the Board, Valley Water initiated the audit in October 2024. The audit evaluated Program implementation from July 1, 2021, through June 30, 2024, with a focus on governance, transparency, compliance, and performance, and resulted in nine (9) recommendations.
At the October 15, 2025, Board Audit Committee meeting, staff presented the draft report with management responses and received feedback. The final audit report (Attachment 1) was presented to the full Board on November 19, 2025.
Of the nine audit recommendations, seven have been completed and two are underway. Completed actions have strengthened Program governance and management, Measure S compliance documentation, change control practices, oversight tools, data accuracy, financial reconciliation and public reporting, and alignment of key performance indicators with Program objectives.
Work continues on the two remaining recommendations: Independent Monitoring Committee membership vacancies and E5: San Francisquito Creek Flood Protection Project KPI alignment. The two recommendations are anticipated to be completed by Quarter 4 of Fiscal Year 2027.
ENVIRONMENTAL JUSTICE IMPACT:
There are no Environmental Justice impacts associated with this item. Audits are a tool utilized by the BAC to monitor possible risks to the organization, and inform any guidance provided to staff to achieve the Board’s priorities. There are no environmental impacts that result from this audit.
ATTACHMENTS:
Attachment 1: 2024 Safe, Clean Water Program Performance Audit Report
Attachment 2: PowerPoint
UNCLASSIFIED MANAGER:
Manager
Luz Penilla, 408-630-2228