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Fiscal Years 2021 & 2022 Cucamonga Valley Water

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Fiscal Years 2021 & 2022 Cucamonga Valley Water CUCAMONGA VALLEY WATER DISTRICT RANCHO CUCAMONGA, CA BUDGET FISCAL YEARS 2021 & 2022 CUCAMONGA VALLEY WATER DISTRICT TABLE OF CONTENTS BUDGET MESSAGE ....................................... 3 Debt .............................................................................................99 District-Wide Goals and Strategies ........................................ 4 DEPARTMENT INFORMATION .................. 102 Notable accomplishments ......................................................... 5 Position Summary Schedule ..................................................103 Short-Term Factors Influencing the Budget .......................... 5 Departmental Descriptions ..................................................105 Significant Budgetary Items ...................................................... 6 Executive Division .................................... 106 Budget Overview ........................................................................ 8 Board of Directors .................................................................107 Resolution NO. 2020-6-1 ........................................................10 Office of the General Manager ............................................109 Goals & Objectives ...................................................................11 Administrative Services Division ............. 111 Budget Guide .............................................................................14 Office of the Assistant General Manager ...........................112 History & Profile .......................................................................16 Human Resources & Risk Management .............................114 Statistical Section ......................................................................23 Government & Public Affairs ................................................118 Organizational Structure .........................................................26 Financial & Technology Services Division ...123 District Philosophy ..................................................................27 Financial & Technology Services Administration...............124 FINANCIAL STRUCTURE, PROCESS, & POLICY ..... 28 Accounting & Purchasing .......................................................126 Fund Structure ...........................................................................29 Customer Service ...................................................................130 Fund/Department Relationship ..............................................30 Information Technology .........................................................133 Basis of Budgeting .....................................................................32 General Services Division ....................... 137 Budget Process ..........................................................................32 General Services Administration .........................................138 Budget Calendar ........................................................................33 Engineering Division ................................ 139 Budget Control & Amendment ..............................................34 Engineering Administration ...................................................140 Financial Policies ........................................................................35 Geographic Information System ..........................................142 FINANCIAL SUMMARIES ............................. 41 Design & Construction ..........................................................144 Fiscal Year 2021 ..........................................................................43 Water Resources & Planning ................................................147 Fiscal Year 2022 ..........................................................................44 Development ............................................................................149 Budget Trends - All Funds ........................................................45 Industrial Waste .......................................................................151 Budget Trends - Water Fund ...................................................46 Cross Connection...................................................................153 Budget Trends - Sewer Funds .................................................47 Recycled Water .......................................................................155 Budget Trends - Recycled Water Fund .................................48 Operations Division ................................. 157 Fund Balance ..............................................................................49 Operations Administration ...................................................158 Revenues .....................................................................................52 Water Treatment .....................................................................160 Expenses......................................................................................56 Production & Telemetry .........................................................163 Water Fund ................................................................................58 Facilities .....................................................................................167 Sewer Fund .................................................................................63 Fleet............................................................................................169 Recycled Water Fund ...............................................................66 Water Distribution .................................................................171 Long-Range Financial Plans......................................................70 Collection & Transmission .....................................................173 CAPITAL & DEBT ......................................... 76 Acronyms & GLOSSARY .......................... 175 Capital Expenses .......................................................................77 Acronyms ..................................................................................176 Impact of Capital Investments on Operating Budget ........87 Glossary ....................................................................................178 TABLE OF CONTENTS CUCAMONGA VALLEY WATER DISTRICT 2 BUDGET MESSAGE TABLE OF CONTENTS CUCAMONGA VALLEY WATER DISTRICT 3 10440 Ashford Street, Rancho Cucamonga, CA 91730-2799 P.O. Box 638, Rancho Cucamonga, CA 91729-0638 (909) 987-2591 Fax (909) 476-8032 TO THE BOARD OF DIRECTORS, CUSTOMERS, AND STAKEHOLDERS OF THE CUCAMONGA VALLEY WATER DISTRICT: On behalf of the Cucamonga Valley Water District (CVWD/District), I am pleased to present for your consideration our Fiscal Years 2021-2022 Operating and Capital Improvement Budget. Since January 2020, our management team has worked diligently to develop a balanced budget for both Fiscal Years (FY) 2021 and 2022. Components of this budget have been presented to the Finance, Engineering, and Human Resources/Risk Management committees. The organizational priorities and goals have guided staff as this budget was developed. DISTRICT OVERVIEW AND GOVERNANCE The District was incorporated on March 25, 1955 under the provisions of Division 12 of the California Water Code. The District provides water, wastewater, and recycled water within its 46 square mile service area. The District serves a population of approximately 192,000 in the cities of Rancho Cucamonga and portions of the unincorporated area of the County of San Bernardino, and a portion of the cities of Fontana, Ontario, and Upland. The District’s headquarters are located in the City of Rancho Cucamonga. The District is governed by a five-member publicly elected Board of Directors that serve the customers with four- year overlapping terms. The General Manager/CEO is appointed by the Board to oversee the daily operations of the District. The Board is committed to addressing important decisions immediately in an open and transparent manner and has direct authority to raise rates and charges in compliance with Propositions 26 and 218. DISTRICT-WIDE GOALS AND STRATEGIES In 2012, the District redefined its Foundational Principles emphasizingWater, Service, and People. Our commit- ment is to utilize these foundational principles as a guide in our decision-making process, both in the short and long term. These guiding principles help us to secure a reliable water supply for our customers, provide Service Beyond Expectation, and allow our agency to attract and retain a quality workforce that supports our vision and values. During 2017 a number of District-wide goals were developed in order to align the operating divisions with the Foundational Principles. In 2018 these goals were converted into action plans by the various teams in order to support the accomplishment of these goals. The planning efforts culminated in a Board Workshop presentation on January 30, 2018 in which all the managers gave a group presentation highlighting the action plans for their respective areas. In early 2020, these strategic goals were evaluated and reconfirmed. Performance Measures in each Division have been developed to quantify these work efforts. The progress on these Performance Measures are included in the Department Information section of this Budget. The following District-wide strategic goals have been established: TABLE OF CONTENTS CUCAMONGA VALLEY WATER DISTRICT 4 Water 1. CVWD maximizes the beneficial use of all of our water supplies while maintaining operational and financial flexibility. 2.
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