REPORT TO SHASTA COUNTY WATER AGENCY

BOARD MEETING DATE:  June  27, 2017
CATEGORY:  Shasta County Water Agency Item - Regular-2.

SUBJECT:

Public Works – Water Agency Budget Amendment

Supervisorial District No. :  All

DEPARTMENT CONTACT:  Pat Minturn, Public Works Director, (530) 225-5661

STAFF REPORT APPROVED BY:  Pat Minturn, Public Works Director

RECOMMENDATION

Approve a budget amendment increasing appropriations by $25,000 within the Fiscal Year 2016-17 Shasta County Water Agency budget to be offset by use of unassigned fund balance.

SUMMARY

A budget amendment is proposed to cover unanticipated Water Agency expenses in the current fiscal year.

DISCUSSION

The Water Agency serves to promote the beneficial use of water in Shasta County.  The Water Agency monitors and participates in water issues relevant to Shasta County.  Recent efforts have focused upon the drought and implementation of the Sustainable Groundwater Management Act.

Over the years, significant Water Agency resources have been committed to County Service Area No. 6 (CSA).  The Water Agency assisted in the Elk Trail Project. That endeavor gave rise to a recent Grand Jury investigation with approximately $5,000 in attendant costs to the Water Agency.  Last spring, the Water Agency rehabilitated the CSA’s filters at a cost of $28,000.  This was necessary to enable the insolvent CSA to maintain compliance with water quality regulations.  These expenditures were not anticipated in the Adopted FY 16/17 Water Agency budget.  A $25,000 increase in appropriations is recommended.

ALTERNATIVES

The Board may decline to approve the budget amendment.  Currently budgeted appropriations in the FY 16/17 Shasta County Water Agency budget will be insufficient to pay outstanding invoices.

OTHER AGENCY INVOLVEMENT

County Administrative Office has reviewed this recommendation. The Auditor has reviewed this recommendation.

FINANCING

The Water Agency is self-supporting.  There is no General Fund impact.