To: Board of Directors, Sonoma County Water Agency
Department or Agency Name(s): Sonoma County Water Agency
Staff Name and Phone Number: Chad Singleton 707-547-1909
Vote Requirement: 4/5th
Supervisorial District(s): Fourth
Title:
Title
Reimbursement Agreement for the Town of Windsor Water Conservation Program
End
Recommended Action:
Recommended action
A) Authorize Sonoma County Water Agency’s General Manager to execute the Third Amended and Restated Reimbursement Agreement for the Town of Windsor Water Conservation Program with the Town of Windsor, in substantially the form as the draft presented to this Board. The amended agreement increases the amount by $400,000 and extends the agreement term by two years for a new not-to-exceed agreement total of $1,300,000 and end date of December 31, 2026.
B) Adopt a Resolution authorizing adjustments to the Board Adopted Budget for FY 2024/2025 for the Water Conservation Fund in the amount of $400,000 for the Town of Windsor Water Conservation Program.
(Fourth District) (4/5th Vote Required)
end
Executive Summary:
This item requests that the Board authorize Sonoma County Water Agency’s (Sonoma Water) General Manager to execute the third amended agreement with the Town of Windsor (Town) to provide additional funding to Sonoma Water to provide support implementing water conservation programs for the Town. The funding comes from Town’s water conservation sub-charge, which Town pays to Sonoma Water per the Restructured Agreement for Water Supply (Restructured Agreement) and is retained in Town’s reserve account for implementing water conservation programs. Up to $1,300,000 would be available to reimburse Town for their program costs and to reimburse Sonoma Water for the costs of providing services and materials for regional water conservation programs (Regional Programs) that are implemented on Town’s behalf.
Discussion:
HISTORY OF ITEM/BACKGROUND
Town and Sonoma Water share the goal of promoting increased water-use efficiency to reduce operating costs, avoid or defer capital improvement costs associated with expansion of water supply and wastewater disposal systems, minimize associated environmental impacts, and meet the criteria and standards of state and federal regulatory agencies.
The Restructured Agreement authorizes Sonoma Water to implement and fund water conservation measures that are cost-effective and will reduce water demands on Sonoma Water’s water transmission system.
The Restructured Agreement provides that the water conservation sub-charge collected from Town be placed in a separate account and made available to Town for reimbursement of Regional Program costs.
The Sonoma-Marin Saving Water Partnership (Partnership) was established on December 14, 2010, through a Memorandum of Understanding (MOU) between Sonoma Water and the following public agencies: City of Cotati, City of Rohnert Park, City of Santa Rosa, City of Sonoma, City of Petaluma, Town of Windsor, Valley of the Moon Water District, North Marin Water District, and Marin Municipal Water District. The MOU, which allows for members of the Partnership to participate in Regional Programs offered through Sonoma Water, was amended in 2018 (First Amended MOU) to determine the amounts to be budgeted and expended by the Partnership for an additional 10 years to 2028.
Sonoma Water and Town have cooperated to develop, implement, and fund a water use efficiency program (Program) and Town desires Sonoma Water’s continued assistance in developing and implementing Town’s water use efficiency measures.
Sonoma Water and Town entered into a Reimbursement Agreement for the Town of Windsor Water Conservation Program to provide water conservation funding, dated December 17, 2019, in the amount of $300,000.
A first amended agreement, approved by the Board of Directors on May 25, 2021, increased the agreement amount by $400,000 for a new not-to-exceed total of $700,000 and extended the agreement term by one year to December 31, 2022.
The second amended agreement, approved by the Board of Directors on October 25, 2022, increased the amount by $200,000 for a new not-to-exceed total of $900,000 and extended the agreement term by two years to December 31, 2024.
Town is requesting additional funding in the amount of $400,000 for continued reimbursement of water conservation program costs, including costs incurred for services and materials from Sonoma Water for implementation and administration of Regional Programs on Town’s behalf.
SERVICES TO BE PERFORMED
Under the proposed amended agreement, Sonoma Water will continue to facilitate the implementation of Regional Program Measures that Sonoma Water performs on Town’s behalf, including management, administration, budget, and follow-up. In addition, Sonoma Water will provide staff to respond to incoming Regional Program Measures calls from Town customers, as needed. Town may continue to participate in the following Regional Program Measures under this agreement:
1. Regional Water Smart Home
2. Regional Large Landscape Water Use Survey
3. Regional Commercial, Industrial, and Institutional Water Use Survey
4. Town-run Measures
Town requests additional funding in the amount of $400,000, for a not-to-exceed agreement total of $1,300,000, from Town’s reserve account to fund and implement Town-run measures to comply with the First Amended MOU, including services to be performed by Sonoma Water on Town’s behalf. The new end date is December 31, 2026.
County of Sonoma Strategic Plan Alignment:
N/A
Sonoma Water Strategic Plan Alignment
Goal: Environmental Stewardship
Strategy: Protect, enhance, and monitor natural resources, watershed conditions, and ecosystem health that are vital to the Russian River, Petaluma River, and Sonoma Creek watersheds.
Action: Support collaborative efforts to improve habitat and pursue restoration opportunities that provide integrated regional benefit.
Work performed under the proposed amended agreement will fund and implement water conservation measures that will help conserve water and reduce water demands on Sonoma Water’s water transmission system.
Racial Equity:
Was this item identified as an opportunity to apply the Racial Equity Toolkit?
No
Prior Board Actions:
10/25/2022: Approved agreement between Sonoma Water and Town of Windsor to provide water conservation funding. Cost $200,000, term end December 31, 2024.
05/25/2021: Approved agreement between Sonoma Water and Town of Windsor to provide water conservation funding. Cost $700,000; term end December 31, 2022.
12/10/2019: Approved agreement between Sonoma Water and Town of Windsor to provide water conservation funding. Cost $300,000; term end December 31, 2021.
10/30/2015: Approved first amended agreement between Sonoma Water and Town of Windsor to provide water conservation funding. Cost $400,000 for a new not-to-exceed agreement total of $600,000; term end June 30, 2018.
07/30/2013: Approved agreement between Sonoma Water and Town of Windsor to provide water conservation funding. Cost $200,000; term end June 30, 2018.
Fiscal Summary
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Expenditures |
FY24-25 Adopted |
FY25-26 Projected |
FY26-27 Projected |
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Budgeted Expenses |
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Additional Appropriation Requested |
$400,000 |
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Total Expenditures |
$400,000 |
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Funding Sources |
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General Fund/WA GF |
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State/Federal |
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Fees/Other |
$400,000 |
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Use of Fund Balance |
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General Fund Contingencies |
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Total Sources |
$400,000 |
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Narrative Explanation of Fiscal Impacts:
With Board approval of the attached budgetary resolution, FY 2024/2025 appropriations of $400,000 will be made in the Water Conservation Fund. Town of Windsor reserve account to be used for Town-Run Measures.
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Staffing Impacts: |
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Position Title (Payroll Classification) |
Monthly Salary Range (A-I Step) |
Additions (Number) |
Deletions (Number) |
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Narrative Explanation of Staffing Impacts (If Required):
N/A
Attachments:
Attachment 1: Resolution
Attachment 2: Draft Amended Agreement with Town of Windsor
Related Items “On File” with the Clerk of the Board:
None.