BOARD AGENDA MEMORANDUM
Government Code ? 84308 Applies: Yes ? No ?
(If "YES" Complete Attachment A - Gov. Code ? 84308)
SUBJECT: Title
Consider the July 28, 2026, Board Audit Committee Recommendation to Accept the 2025 Water Usage and Demand Forecasting Audit Final Report with Management Responses.
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RECOMMENDATION: Recommendation
Consider recommendations resulting from the July 28, 2026, Board Audit Committee meeting to:
A. Accept the 2025 Water Usage and Demand Forecasting Audit Report with Management Response; and
B. Provide feedback and recommendations to staff as necessary.
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SUMMARY:
On December 12, 2023, the Board accepted the Risk Assessment conducted by the Chief Audit Executive (CAE). At its meeting on January 15, 2025, the Board Audit Committee (BAC) identified four (4) topics from the Risk Assessment to audit in Fiscal Year 2025 (FY25) and was approved by the full Board at its meeting on January 28, 2025, the Water Usage and Demand Forecasting audit being one of them.
The requested audit of Water Usage and Demand Forecasting focused on reviewing Santa Clara Valley Water District's (Valley Water) methods and approaches to forecast water usage and demand, including how forecasting models are used to inform the Water Supply Master Plan. The audit also evaluated the reliability of past forecasts, reviewed applicable policies, procedures, and guidelines, assessed forecasting methodologies, and identified best practices through benchmarking with peer water agencies, including how they incorporate the potential effects of climate change into their forecasting models.
On July 28, 2026, Baker Tilly Advisory Group (the auditor) submitted their audit report (Attachment 1) with the draft management responses (see Appendix D in the report) for BAC review and comment. The auditor will also provide a presentation regarding the audit (Attachment 2).
The Board is requested to accept the 2025 Water Usage and Demand Forecasting Audit Report with M...
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