To evaluate and recommend to the Board of Directors the following:

• Investment in water facilities and system improvements that will improve the District’s ability to reliably deliver high quality water at a reasonable price;
• The prioritization of current and future water facility and system improvement needs;
• Project planning for necessary long term water facility and system improvements well in advance of their need so that an adequate reserve fund can be maintained;
• Financial Planning for revenue determination and allocation as needed to fund District activities;
• Coordination with Finance Committee as necessary.

To review, comment and provide potential resolutions regarding water service issues as they occur, prior to the item being brought before the Board for consideration.

Purpose and Authority:
The Facilities and Operations Committee (Committee) is established to assist the Board of Directors in fulfilling its oversight responsibilities in all areas of District’s facility and operations planning, including capital improvement needs and prioritization, capital expenditures and budgets, capital improvement program reporting process, and potential resolutions regarding water service issues. In addition, the Committee is established to review and recommend to the full Board of Directors revenue determination and allocation alternatives. The Committee provides an open avenue of communication between District staff, outside consultants, customers, and the Board of Directors.

The Committee also serves in an advisory capacity, assisting staff in the resolution of service issues. The Committee may act in the following manner:

• Without prior approval of the Board, may authorize the General Manager to resolve service area issues and/or disputes at a cost to the District that does not exceed $100,000.00 per incident, when the resolution complies with District policy, and funds are available for that purpose in the approved budget.
• Act in the capacity of a hearing board for customer appeals of staff decisions on service issues. Where changes in Board adopted policies are involved, the Committee will make appropriate recommendations to the full Board.

Composition:
The Committee will consist of no more than two members of the Board of Directors. Committee members re appointed by and serve at the discretion of the President of the Board of Directors.

Meetings
The Committee will conduct meetings on an as-needed basis, as the Committee Chair or President of the Board of Directors may direct. The Committee may invite members of management, consultants or others to attend meetings and provide pertinent information. The Committee may hold closed sessions in accordance with the requirements of the Brown Act.

Responsibilities
The Committee may review all aspects of District facilities, operations planning and revenue determination/allocation with staff, provide input as appropriate, and make recommendations on such matters to the Board of Directors. The responsibilities within the scope of the Committee’s jurisdiction will include but are not limited to the following:

• Reviewing and assessing the need for water facilities and system improvements based on information provided by staff and consultants that takes into account current assets, the condition of the facility to be replaced, and an assessment of future needs. Future water facilities and system improvement needs will be driven by many factors including the need to replace aging facilities, compliance with newly adopted laws and regulations, water quality, and water conservation.
• Reviewing the prioritization of water facilities and system improvement needs as determined by staff and consultants to ensure that the ranking is consistent with general policies adopted by the Board of Directors.
• Reviewing and assessing the District’s ability to pay for the identified improvements by taking into account historical and projected trends in revenues, expenditures, and indebtedness.
• Reviewing and assessing District revenue determination and allocation policies necessary to fund improvement projects and other District costs.
• Reviewing any potential conflict regarding service issues, applications, or District requirements for service.

Reporting
The Committee's reporting responsibilities will include oral and written reports to the Board of Directors regarding Committee activities, issues and related recommendations, findings, and actions. At each regularly scheduled meeting of the Board of Directors, the Chair of the Committee will provide the Board of Directors with a report of the Committee’s activities.

Committee Charter
The Committee also will perform other activities related to this Charter, including: (i) a review and assessment of the adequacy of the charter at least annually and request Board approval of any proposed changes; (ii) annual confirmation that the responsibilities outlined in this charter have been carried out; and (iii) ensuring that this charter is posted for public review on the District’s website.

The members of the Facilities & Operations Committee are:

• David J. Githens - Chair
• Steve Hanson
• Ed Formosa - Staff Contact

Meetings are scheduled on an as needed basis.