2021 CA Special District May-June

C ALI FO R N I A

SPECIAL DISTRICTS Vo l um e 16 , I s s u e 3 • Ma y- Ju n e 2 0 2 1

A Publication of the C alifornia Special D is tr ic ts A s s oc iation

Feature • PAGE 8

Resilient Organizations = Better Change Management Manager’s Corner • Page 30 From Board Members’ Perspective, What Makes a Great General Manager?

Feature • Page 12

Ask the Experts • Page 10

California’s Notification And Response Rules For PFAS

Cybersecurity Best Practices for Local Agencies

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California Special Districts CBC18.0653 • May-June 2021

SPECIAL DISTRICT LEADERSHIP FOUNDATION

District Transparency Certificate of Excellence 2021 TRANSPARENCY CHALLENGE

IS YOUR DISTRICT UP FOR THE CHALLENGE? It is now more important than ever for local governments (including special districts), to be open and accessible to the public. The Special District Leadership Foundation’s Transparency Challenge will showcase the many steps your district takes to show it is available and transparent to the constituents and customers you serve.

Taking the challenge is simple: Complete the required steps on the SDLF Transparency Checklist and your district is on the way to receiving SDLF’s Transparency Certificate of Excellence and getting recognized for your efforts!

START THE CHALLENGE TODAY!

Download the Transparency Checklist: www.sdlf.org/transparency Volume 16 • Issue 3

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TABLE OF CONTENTS

Solutions and Innovations: Feature:

California’s Notification and Response Rules For PFAS Feature:

Resilient Organizations = Better Change Management

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05 President’s Message 06 Professional Development 07 CSDA News 10 Ask the Experts: Cybersecurity

Best Practices for

Local Agencies 15 You Ask, We Answer:

Delinquent Accounts 16 Movers and Shakers

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30 Managers Corner: Community Connections: From Board Members’ A New Los Angeles Perspective, What Makes County Collaboration

a Great General Manager?

Washes Away Bloodthirsty Mosquitoes and Water Wasting Behavior 32 Districts Make the Difference:

Districts Make the 21 Orange County Water

Difference Campaign

District’s PFAS Project

Expands Nationwide

Recognized by ACWA 34 Managing Risk: 26 Legal Brief:

AB 1947 - New Filing

Public Agency Early Period

Termination Incentive 36 What’s So Special:

Programs Are Subject

Hayward Community

to Special Tax Rules Garden 28 Take Action:

Hundreds of State and 40 Money Matters: Sixteen Years Serving

Local Organizations and Special Districts

Individuals Call for Special

District Access to Relief 18

For editorial inquiries, contact CSDA Communications Specialist Vanessa Gonzales, at 877.924.2732 or vanessag@csda.net.

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12

Irvine Ranch Water District & Hyatt House: The Value of Public-Private Partnerships in Water Reuse

For advertising inquiries, contact CSDA at 877.924.2732 or advertising@csda.net.

California Special Districts • May-June 2021

PRESIDENT'S MESSAGE

Welcome to Our Annual Buyer’s Guide Edition!

I’m not sure if you caught the YouTube video from this time last year of a comedian talking to her “past self” about COVID-19. I could relate to how her perspective and priorities of her “pastself” from December 2019 Ryan Clausnitzer, CSDM differed so much than CSDA Board President her view in April of 2020.

What advice would we give ourselves if we could go back to late 2019? This could begin with personal advice like “buy Amazon or Zoom stock (or personal care products…)” or more work-related guidance like “ensure you have strong remote working policies and stock up on personal protective equipment.” Personally, I found CSDA’s communities and business partners indispensable this past year for legal, HR, and financial services. This Buyer’s Guide edition of the California Special Districts magazine connects us to those providing these crucial professional services.

These businesses provide services such as accounting, banking, benefits/ retirement, construction/engineering, energy solutions, finance/investments, human resources, insurance, legal, PR/marketing, purchasing, and technological solutions. We hope to have all our Business Affiliates together at the Annual Conference & Exhibitor Showcase in Monterey .

In the world of mosquito and vector control, the resilient species are those that adapt to their environment. Thanks to CSDA’s advocacy efforts, we can all shape these adaptations through our engagement or can adequately prepare for new legislation and subsequent regulations. Sometimes though, we need at little help in this adjustment process and that is where CSDA’s business partners have helped. These businesses provide services continued on page 6

CSDA Board and Staff Officers

Staff

RYAN CLAUSNITZER, CSDM, PRESIDENT, Alameda County Mosquito Abatement District

NEIL MCCORMICK, Chief Executive Officer MEGAN HEMMING, Professional Development Director KYLE PACKHAM, Advocacy & Public Affairs Director CASSANDRA STRAWN, Member Services Director TODD WINSLOW, Publications Director RICK WOOD, Finance & Administration Director ELEANOR BOLING, Member Services Representative EMILY CHA, Member Services Specialist MARCUS DETWILER, Legislative Analyst DILLON GIBBONS, Senior Legislative Representative VANESSA GONZALES, Communications Specialist COLLEEN HALEY, Public Affairs Field Coordinator JIM HARROLD, Database & Online Communities Coordinator MUSTAFA HESSABI, Legislative Analyst-Attorney CHARLOTTE HOLIFIELD, Public Affairs Field Coordinator JENN JACOBS, Member Services Representative COLE KARR, Public Affairs Field Coordinator CHRIS NORDEN, Public Affairs Field Coordinator CHRIS PALMER, Public Affairs Field Coordinator AMBER PHELEN, Executive Assistant RACHAEL POPPINO, Professional Development Assistant ALYSSA SILHI, Legislative Representative JENNIFER SMITH, Professional Development Coordinator ERIC SPENCER, Member Services Specialist ANTHONY TANNEHILL, Legislative Representative DANE WADLÉ, Public Affairs Field Coordinator ROMAN WASKIEWICZ, Legislative Assistant JAMES WILFONG, Senior Designer KRISTIN WITHROW, Communications Specialist

ELAINE MAGNER, VICE PRESIDENT, Pleasant Valley Recreation & Park District ARLENE SCHAFER, SECRETARY, Costa Mesa Sanitary District JERRY L. GILMORE, TREASURER, Truckee Sanitary District VINCENT FERRANTE, PAST PRESIDENT, Moss Landing Harbor District

Members of the Board DON BARTZ, CSDM, Phelon Pinon Hills Community Services District STANLEY CALDWELL, Mt. View Sanitary District RALPH EMERSON, Garberville Sanitary District CHAD DAVISSON, CSDM, Ironhouse Sanitary District PETER KAMPA, CSDM, Groveland & Copper Valley Community Services District JO MACKENZIE, Vista Irrigation District NOELLE MATTOCK, El Dorado Hills Community Services District STEVE PEREZ, CSDM, Rosamond Community Services District LORENZO RIOS, Clovis Veterans Memorial District KATHERINE STEWART, Vandenburg Village Community Services District FRED RYNESS, Burney Water District KIMBERLEE SENEY, Gold Mountain Community Services District

California Special Districts Association 1112 I Street, Suite 200, Sacramento, CA 95814 toll-free: 877.924.2732 • www.csda.net

© 2021. California Special Districts Association.

Volume 16 • Issue 3

A proud California Special Districts Alliance partner

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PROFESSIONAL DEVELOPMENT

Calling all Board Members!

Increase Your Governance Skills at our Special District Leadership Academy Conference!

CSDA’s 2021

GENERAL MANAGER LEA ERSHIP SUMMIT “Elevate” Your Professional Development – CSDA’s 2021 General Manager Leadership Summit Don’t miss your chance to attend CSDA’s 2021 General Manager Leadership Summit, June 27 - 29, 2021 in the Lake Tahoe area. This cutting-edge conference for general managers and other management staff in special districts includes: three nationally known keynote speakers, a legislative update, and high-level breakout session options to give you the information and skills you need to help you and your district excel.

This program recognizes the necessity for the board and general manager to work closely toward a common goal. The conference provides the knowledge base to perform essential governance responsibilities and offers opportunities for seasoned board members to learn more about the common challenges facing special districts today.

• SEPTEMBER 26-29, 2021 • LAKE TAHOE RESORT HOTEL, SOUTH LAKE TAHOE

First time attendees can complete all four core modules of the Special District Leadership Academy: • Governance Foundations • Setting Direction/Community Leadership • Board’s Role in Human Resources • Board’s Role in Finance and Fiscal Accountability Returning attendees will access the advanced track, with targeted breakout sessions including: 2021 Legal and Legislative Update; What Your GM Wants You to Know, but Won’t Tell You; Board Member Do’s and Don’ts: Compensation and Conflicts of Interest; and Fraud Detection and Prevention for Special Districts.

Full details are available online. Early Bird Registration is available until August 27, 2021. Register at sdla.csda.net/home.

President’s Message continued

Bruce Tulgan

Dr. Mary Kelly

Dr. Christopher Thornberg

Keynote sessions include, “It’s Okay to be the Boss,” Bruce Tulgan, Founder and CEO, RainmakerThinking, Inc., “Master Your World: 10 Leadership Strategies to Improve Productivity and Communication,” by Dr. Mary Kelly, Bestselling author. NEW this year, the conference will adjourn after lunch on Tuesday at 2:30 p.m. Lunch will include both a 2021 Economic Outlook from Dr. Christopher Thornberg of Beacon Economics and an update from CSDA Advocacy and Public Affairs Director, Kyle Packham.

REGISTRATION IS AVAILABLE NOW AT CSDA.NET. 6

such as accounting, banking, benefits/retirement, construction/ engineering, energy solutions, finance/investments, human resources, insurance, legal, PR/marketing, purchasing, and technological solutions. We hope to have all our Business Affiliates together at the Annual Conference & Exhibitor Showcase in Monterey August 30 – September 2.

CSDA members all share our dedication to public service. Public service motivation is shaped by the respect and appreciation for the communities we are a part of and to whom we serve. What keeps the work stimulating are the opportunities we find from the challenges we face. Our CSDA community is comprised of people who are making the best of the time we have, and I get such inspiration just being around you all. Hopefully, we can come together soon to reflect and learn from what we all experienced together and fulfill CSDA’s motto of Districts Stronger Together.

California Special Districts • May-June 2021

CSDA NEWS

CSDA Members Earn More Than $50,000

Participants of CSDA’s Commercial Card program recently received rebates totaling over $50,000, with some agencies receiving more than $4,000 cash back.

Especially designed for CSDA members and administered by Umpqua Bank, the CSDA Commercial Card program provides online reporting tools, greater security over employee spending, and enhanced rebate opportunities.

Contact Member Services at 877.924.2732 for more information on how to streamline your business processes with the CSDA Commercial Card from Umpqua Bank.

CSDA Board of Directors Election – Remember to Vote by July 16!

CSDA Board of Directors Seat A electronic ballot voting is for the following networks: • Bay Area Network • Central Network • Coastal Network • Sierra Network • Southern Network Electronic ballots were emailed from CSDA vote@simplyvoting.com to the main contact of member districts in good standing on May 28, 2021. All votes must be received through the system no later than 5:00 p.m. on July 16, 2021. The successful candidates will be notified no later than July 20, 2021. All selected CSDA Board Members will be introduced at the Annual Conference & Exhibitor Showcase in Monterey, CA August 30 – September 2, 2021.

If you have any questions about this process, contact CSDA Executive Assistant Amber Phelen at 916-442-7887 or amberp@csda.net.

Chat with Us!

The chat feature on CSDA’s website allows members to ask questions and get assistance online. During regular business hours, it is in live chat mode and after hours, it is available to send a direct email to member services which will be replied to first thing the next business day. Go to CSDA’s website and look for the chat box in the bottom right of your screen. We look forward to chatting with you!

2021 Buyers Guide

California Special Districts Association Districts Stronger Together

CSDA’s 2021

Highlighting the important services and products offered by CSDA Business Affiliate Members.

Volume 13 • Issue 3

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The Buyers Guide helps special districts find the products and services they need to succeed.

This directory of CSDA’s Business Affiliate partners is included in this issue as a resource you can use throughout the year. We also feature an online Buyers Guide on our website at csda.net.

MAXIMIZE Y OUR M E M BE RSHI P

VISIT CSDA’S SAMPLE DOCUMENT LIBRARY LIBRARY INCLUDES STRATEGIC PLAN EXAMPLES

WWW.CSDA.NET

Volume 16 • Issue 3

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FEATURE

RESILIENT ORGANIZATIONS = BETTER CHANGE MANAGEMENT

By Melissa Asher, PMP, SCP, Senior Leader, CPS HR Consulting

I

f COVID-19 has highlighted one thing, it is that we can change quickly when we have to.

We changed almost overnight to a virtual working environment.

We didn’t have lots of meetings about how we were going to “manage change.” We didn’t identify a “change manager” and no one developed a long, drawn out “change management strategy” using one of the many “change models.” Nor did we coddle those who are typically “change resistant.” We didn’t select “change champions,” write extensive “change management plans,” or follow up with our organization’s leaders to make sure they were “leading the change” effort effectively.

We just did what had to be done in the moment…which came with a lot of change; working from our kitchens, electronic signatures for everything, video conference board meetings, and my favorite, Zoom happy hours with friends.

No one said, “but we have always done it that way.” We rolled up our sleeves and tried new things. There is something to be learned from this crisis about how we can manage/lead/drive (fill in the verb) change. But, it’s not just about what is happening today. History tells us that we need a new approach, too.

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Despite all of our efforts to make change easier, according to research spanning the last 20 years, over 70% of change initiatives fail.

What COVID-19 has shown us is that when change is necessary, we can do so in spectacular ways.

We can cut through red tape, we can move fast, and we can innovate.

With virtually no notice, you adapted your whole district to serving your customers and running operations remotely and safely.

How can we harness what we have learned from our COVID-19 experience and better manage change going forward? We need to focus on building more resilient organizations that are better prepared to be decisive and equipped to act on decisions quickly.

Resilience is defined by most as the ability to recover from setbacks, adapt well to change, and keep going in the face of adversity. In other words, the ability to bounce back…and bounce back better. Resilient people generally possess three characteristics: 1. A staunch acceptance of reality 2. A deep belief, often grounded in values, that life is meaningful 3. An uncanny ability to improvise This sounds a lot like what we are going through, without even realizing we are building resiliency. To be fair we didn’t have a choice, but the point is: Resilient people and organizations may not need a choice. They can roll with the punches, meaning they are less disrupted by change, and for shorter durations.

Resilience is about creating an environment where we expect continuous change and as we adapt, we view the successes and setbacks as positive learning experiences. We aren’t victims who perceive themselves as threatened in some way waiting for change to happen. We don’t become survivors who believe we are at the mercy of circumstances and focus only on self-protection. We become navigators who cultivate a belief that we can deal competently with any situation.

We act, instead of being acted upon.

California Special Districts • May-June 2021

Resilience is about acting; it is what you do. Here are eight things you can do to build resiliency in your organization and your staff: 1. Anticipate Change: Have a focused sense of urgency that is always anticipating change. A little bit of stress or paranoia can be a good thing. Turns out there is a curvilinear relationship between stress and performance. Too much or too little stress results in poor performance, but just the right amount of stress will actually increase performance. This is a delicate balance, but the message is, “avoid complacency.”

2. Change Your Mindset: Embrace an abundance mindset, an “anything is possible if we try” mindset.

Too often we get stuck in a scarcity mindset focusing on limitations when, in fact, there are countless options if we free our thinking.

3. Delegate Authority: Delegate decision-making and authority to your front-line employees and provide them with resources for rapid execution to do the right thing for customers and the organization. This means trusting employees and having supervisors act as coaches so your front-line gets better and better at this.

4. Review and Revise Goals: Recognize we are all in a constant state of transformation and reset goals more regularly. Gone are the days of the five-year strategic plan. You should be revisiting strategic goals every year and not be afraid to reset them.

5. Hire Resilient People: Focus on attracting and hiring people with resilient tendencies. Resiliency can be learned, but why not adjust your hiring practices to bring in people who already exhibit resilient behaviors.

6. Embrace Cross-Functional Teams: Break down vertical and horizontal silos that slow things down.

Flatten the hierarchy and create crossfunctional work and communication opportunities. This will facilitate applying what works in one area to Volume 16 • Issue 3

another area, breaking down fiefdoms, and encouraging employees to problemsolve using the whole picture, not just their one area.

7. Encourage Learning: Make lifelong learning a cornerstone of your culture. When we are continually learning new things, we expand our thinking and are naturally more open to change.

Constant learning keeps our minds agile and open. There is no limit to the potential for our brains to grow if we regularly exercise them.

8. Facilitate Continuous Improvement: Frequently question the status quo. Cultivate a healthy obsession with continuous improvement or even total reinvention. Ask questions about how things can be done better, faster, differently, or more streamlined.

“Because we’ve always done it that way” is the death knoll of resiliency.

Our response to COVID-19 proves that overnight we can create a new normal, no questions asked. Let’s recognize the power in what we have accomplished thus far, and how quickly we changed without formalizing a change management plan.

Put some things in place to recognize and build resilient teams who can think and act in an ever-changing environment.

And constantly scan the horizon

As we continue to embrace our new normal, now is a good opportunity to rethink how we better prepare our organizations and people for the next crisis. looking for new ways to adapt to, or even anticipate, customer needs.

Let’s face it, while COVID-19 may be the most disruptive event in our lifetime, this won’t be the last unplanned change we confront. As we continue to embrace our new normal, now is a good opportunity to rethink how we better prepare our organizations and people for the next crisis.

Reference www.forbes.com/sites/brentgleeson/2017/08/17/ how-leaders-build-the-resilientorganizations-of-tomorrow-a-navy-sealsperspective/#3d398e481ba8 Melissa Asher is a Senior Leader at CPS HR Consulting, leading their Training and Development and Recruitment Solutions divisions. CPS HR Consulting provides integrated HR solutions to the public sector. We offer unrivaled expertise in organizational strategy, recruitment and selection, classification and compensation, and training and development. www.cpshr.us

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ASK THE EXPERTS

Cybersecurity Best Practices for Local Agencies

By Jennifer Saha, CEO, Technology Industry Association of California

S

ummer is nearing, and the Golden State is continuing to relax COVID-19 restrictions. In time, Californians will begin an exodus out of their homes and into campgrounds and state parks, enjoying the state’s natural wonders with a renewed appreciation.

But with such a transition period, there may be bad actors waiting to take advantage of unsuspecting Californians aiming to put 2020 behind them.

Cybersecurity must become a greater priority to keep up with an influx of online transactions and exposure to new networks.

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Agencies and constituents should take steps to learn more about threats, including finding resources to guide them toward safer cyber practices.

These actions alone are no substitute for consulting a trained professional who can help you navigate a specific scenario. Here are three ways to mitigate cybersecurity risks this summer:

Be Wary of Pineapple Devices

As COVID-19 restrictions continue to lift this summer, campers, vacationers, and just about anyone on the move will be accessing new Wi-Fi networks for the first time.

However, not all these Wi-Fi networks are what they claim to be.

Enter the Wi-Fi pineapple. First released by tech company Hak5 in 2008, the Wi-Fi pineapple was designed to allow “penetration testers” to attack public Wi-Fi

California Special Districts • May-June 2021

Agencies with IT systems that contain data, either personal or financial, should take every precaution to keep it secure and reliably accessible. The best way to keep data safe and easy to access is by standardizing and backing up your department’s IT systems. networks and expose security risks for the benefit of the companies that hired them. But given the mass availability, low cost, and easy-to-use interface of the Wi-Fi pineapples, independent hackers are buying the devices and using them to impersonate a Wi-Fi network to obtain someone’s personal information or data illegally.

How do you protect yourself from attackers using Wi-Fi pineapples? The first step is to carefully vet all public Wi-Fi networks, as well as your own.

Only use them when necessary or if a device has been verified. If you do end up using a public Wi-Fi network, consider accessing them using a virtual private network, better known as a VPN. A VPN will encrypt your data so that any virtual onlookers are unable to extract valuable information. Finally, after using a public Wi-Fi network, make sure your device “forgets” the network so that it doesn’t connect automatically the next time you are in range of its signal.

there are several ways to avoid falling victim to a scam.

One of the first steps to avoid being tricked by a phishing attack is to prevent phishing emails or texts from reaching your inbox. That means updating security software on your computer as well as setting your phone’s software to update automatically.

If a phishing email does reach your inbox, you can recognize a scam by hovering your mouse over any links. If the promotion is a scam, the links that appear over your cursor will not match the content of the email. Additionally, trust your suspicions when you receive an unexpected invoice and keep in mind that your bank will never ask you to access your account via a text message.

Monitor Transactions, Standardize and Backup Your Data Systems

Public-facing digital services, such as an online campground reservation system, increase cybersecurity risks for both customers and agencies. A system with large volumes of activity will be more attractive for hackers. Consumers should always use a designated credit card (not a debit card) and monitor it with guidelines from the Federal Trade Commission (FTC) to avoid fraudulent charges and identity theft.

Agencies with IT systems that contain data, either personal or financial, should take every precaution to keep it secure and reliably accessible. The best way to keep data safe and easy to access is by standardizing and backing up your department’s IT systems.

A strong backup and recovery system can help protect against ransomware, which attackers use to prey upon victims by encrypting their data and charging a hefty ransom to decode the information.

There are numerous reputable products and services to help protect against threats. Investing both time and resources into cybersecurity will benefit not just agencies but also those they serve.

Stay Vigilant Against Email Phishing

Every day, our email and text inboxes are flooded with coupons, promotions, payment requests or confirmations. Most are legitimate, but plenty of others are sent by scammers that impersonate real, reputable companies to obtain personal information such as passwords, credit card numbers, or even social security numbers. It’s called phishing, and

Volume 16 • Issue 3

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CALIFORNIA’S NOTIFICATION AND RESPONSE RULES FOR PFAS

By Christine M. Carson and Alondra Espinosa, Aleshire & Wynder, LLP

On July 31, 2019, Assembly Bill 756 became law, authorizing the State Water Resources Control Board (“SWRCB”) to order public water systems to monitor perfluoroalkyl and polyfluoroalkyl substances, commonly called “PFAS.” This article provides a summary of California’s notification and response rules for PFAS as of March 5, 2021.

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Concerns Over PFAS

Perfluorooctanoic acid (“PFOA”) and Perfluorooctanesulfonic acid (“PFOS”) are fluorinated organic chemicals that are part of a larger group of chemicals referred to as perand poly-fluoroalkyl substances (“PFAS”).

These substances are found in products such as fire-retarding foam, carpets, fabrics, food packaging, and materials designed to be waterproof, stain-resistant or non-stick.

Perfluorobutane Sulfonic Acid (“PFBS”), developed to replace PFOS, is a type of PFAS. PFBS is a four-carbon fluorocarbon with a functional group that acts as anionic surfactant that can be used in commercial products to offer water- and stain-repellent properties.

People are exposed to PFAS through food, food packaging, consumer products, household dust, and drinking water.

Exposure through drinking water has become a concern due to the tendency of PFAS to accumulate in groundwater.

Such contamination is typically localized and associated with a facility where these substances were manufactured or used.

California Special Districts • May-June 2021

FEATURE

Notification and Response Levels

Health and Safety Code Section 116271 delegates to the Division of Drinking Water’s (“DDW”) Deputy Director the authority to issue a notification level (“NL”) under Health and Safety Code Section 116455.

NLs are health-based advisory level standards that are established for chemicals not formally regulated through maximum contamination levels (“MCLs”). When contaminants exceed the NL, DDW requires the public agency to make certain notifications. When contaminants exceed the response level (“RL”), DDW recommends removing the drinking water source from service.

In August, 2019, the DDW NLs were set at 5.1 parts per trillion for PFOA and 6.5 parts per trillion for PFOS. In February 2020, the RLs for these contaminants, were set at 10 (for PFOA) and 40 (for PFOS) parts per trillion individually or combined.

On March 5, 2021, DDW set an NL of 0.5 parts per billion (“ppb”) and an RL of 5 ppb for PFBS.

water system must provide notification within 30 days after it is informed of a confirmed detection that is in excess of the NL or RL as follows: • Wholesale System: If the public water system is a wholesale system, the operator of the wholesale system must notify the wholesale system’s governing body and the water systems that are directly supplied with that drinking water. If the wholesale system is a water company regulated by the California Public Utilities Commission (“CPUC”), the wholesale system must also notify the CPUC. The CPUC may order

further action not inconsistent with the regulations of the SWRCB. • Retail System: If the public water system is a retail water system, the operator of that system must notify the retail system’s governing body and the governing body of any local agency whose jurisdiction includes areas supplied with drinking water by the retail system. If the retail water system is a water company regulated by the CPUC, then the retail water system must also notify the CPUC. The CPUC may order further action not inconsistent with the regulations of the SWRCB. PFAS Exceeding Response Level: When PFAS tests exceed an RL, a public water system must (1) take the water source out of use or (2) provide public notification within 30 days of the confirmed detection. Public water systems must: • Mail or directly deliver notice to each customer receiving a bill, including those that provide drinking water, and to other service connections to which water is delivered by the water system; continued on page 14

Notification Requirements

The law requires public water systems to report the presence of PFAS as follows: Order: If the SWRCB issues a testing order, the public water system must submit the results electronically to the SWRCB as stated in the order.

Consumer Confidence Report Notification: If the test results confirm a detection, a public water system must report that detection in its consumer confidence report, unless the water source is taken out of use or subsequent data shows the RL is no longer being exceeded.

Section 116455 Notification: PFAS that reaches NL or RL must be reported pursuant to Health and Safety Section 116455. Section 116455 states a public

Volume 16 • Issue 3

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Information to Be Contained In Notices

• Email a notice to each customer of the water system; • Post a notice on its website; and • Use one or more of the following methods to reach persons not likely to be reached by the notice provided by mail: 1. Publish a notice in a local newspaper for at least seven days; 2. Post a notice in public places served by the water system for at least seven days; 3. Post a notice on an appropriate social media site for at least seven days; or 4. Deliver a notice to community organizations.

AB 756 outlines information that must be contained in the above required notices, including but not limited to the following: • A statement that there was a confirmed detection above the RL, the numeric level of the applicable RL, and the level of the confirmed detection; • A description of the potential adverse health effects as identified by the SWRCB in establishing the NL or RL; • The population at risk, including subpopulations particularly vulnerable; • The name, business address, and phone number of the water system owner, operator, or designee, as a source of additional information concerning the notice; • A statement encouraging the recipient to distribute the notice to others served, using standard language from the statute.

• The notice must contain information in English and Spanish and not contain language that minimizes or contradicts the information provided.

Additional information on the federal response, as well as California and other states’ responses to PFAS, was provided at the CSDA April 20, 2021 panel discussion we moderated on PFAS. The recording to this webinar, “A Legislative, Legal and Local Response to PFAS 2021” is available on-demand at csda.net under the “Learn” tab.

Representing California public agencies for over sixty years.

Greg Stepanicich Jim Markman Roxanne Diaz Ginetta Giovinco Craig Steele Dave Fleishman

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888.479.4529

California Special Districts • May-June 2021

Questions Appear in CSDA Online Communities

YOU ASK, WE ANSWER

Q&A

Delinquent Accounts

Volume 16 • Issue 3

Gary Neumann General Manager, Weott Community Services District Does anyone know if it is required to give a customer (whose account is severely in arrears) advanced notification prior to having the county auditor/ controller or tax collector add the delinquent account to the property owners property tax bill? If so, how much notice has to be given before taking action?

Laura Durban Administrative Services Manager, Los Osos Community Services District We have the procedure in our District Code, so you may want to check there to see if your code says anything about that.

To put it onto our Tax Rolls it has to go to a public hearing. We do this at our July meeting as it’s normally in the first week of the month.

We start preparation of a list early May and notify the customers with delivery confirmation that if they do not pay by a specific date it will be added to the tax rolls (this we do as a courtesy, as it has proven beneficial for us). Then we send letters again in early June with notice of the Public Hearing and send those that have not paid via Certified Mail as that’s what is in our District Code to do.

To date we have been lucky getting most of our delinquent accounts current during that month, and end up with only a few going onto the tax rolls.

Debbie Lee Golden Hills Community Services District Since COVID we have started mailing out courtesy letters to let them know that we can make arrangements or contracts for their payments. After that we send a 10 day warning letter that we are going to place a lien on their property. Once the lien has been placed and if no payment is made we then send out the notice of a Public Hearing and place it on our agenda for our board meeting and then they are placed on the tax roll. We have had pretty good luck collecting but there are those few. We make sure our realtors know that the past water fees must be paid before we can put the water into their name. Hope this helps you out. It sounds like most of us do it the same way.

CSDA Disclaimer: This section is not intended to be legal advice. Members should always seek legal counsel.

The information contained here is for general reference purposes only.

Engage with your peers and ask questions on CSDA’s Open Forum community!

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MOVERS & SHAKERS

MOVERS& SHAKERS The Desert Healthcare District and Foundation welcomed Jana Trew as Senior Program Officer of Behavioral Health.

“I am looking forward to joining a team of dedicated and committed Jana Trew community-focused individuals that are endeavoring to improve the experiences of Coachella Valley residents related to supportive behavioral health options and assistance,” Trew said. “I hope to bring my experiences in the field working with service development and community relations to bear to help with this important initiative.”

“Advancing behavioral health programs and services in the Coachella Valley has long been a priority for the District Board, which launched a $2 million behavioral health initiative in 2018 and conducted a valley-wide behavioral health needs assessment the following year,” said Conrado Bárzaga, Desert Healthcare District and Foundation CEO. “We are excited to have Jana Trew join our staff, to provide direction and support in realizing Board-approved policies and the District and Foundation’s charitable purpose through behavioral health.”

Providing Special Districts with Focused Legal Strategies We counsel clients throughout California in sectors including Water, Public Finance, Public Agency, Environment, Infrastructure, Employment, Data Protection, Government Relations and Eminent Domain. What solutions are you seeking?

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Eastern Municipal Water District’s (EMWD) Board of Directors selected Joe Mouawad as EMWD’s next general manager following a nationwide search.

Mouawad has served in various leadership roles with EMWD for the past 15 years, Joe Mouawad bringing a wealth of internal experience to his new responsibility of leading California’s sixth-largest retail water agency. Mouawad is the eighth general manager in EMWD’s 71-year history.

“I am incredibly honored that the board of directors has entrusted me to lead this organization,” Mouawad said. “I look forward to the opportunity to continue implementing the board’s direction that has established EMWD as not only an organization that our customers can rely on for safe, reliable and cost-effective services, but also as one of the most respected names in our industry.”

Mouawad takes over from Paul D. Jones, II, who is retiring after ten years as general manager. During Jones’ tenure, EMWD became nationally recognized as a progressive agency that is a national leader in water reuse, expanded its investments in local groundwater supplies, and secured record-setting grant funding to reduce the financial burden on its customers.

Do you have movers and shakers in your districts to highlight?

Send to CSDA Communications Specialist-Editor Vanessa Gonzales at vanessag@csda.net for consideration in this section.

California Special Districts • May-June 2021

Remleh Scherzinger is Marina Coast Water District’s new general manager, replacing former general manager Keith Van Der Maaten who left in December for a job in Southern California. Scherzinger worked as general manager for the Truckee Donner Remleh Public Utility District and the Nevada Scherzinger Irrigation District, and has two decades of experience in water, wastewater, and electric utilities.

Marina Coast Board President Jan Shriner said Scherzinger has “strong credentials and carries a reputation of reasonableness, competency, and diplomacy we hope will benefit our community,” and she hopes he will “seamlessly continue the coordination of projects and partnerships.”

The district’s operations and maintenance manager, Derek Cray, who served as interim general manager since Van Der Maaten left, said Scherzinger will be “an essential asset to the district as it delivers on the core mission and values of providing high-quality water, and soon recycled water, to our customers at some of the lowest rates” in the area.

Alameda County Water District (ACWD) Board of Directors announced the appointment of Ed Stevenson as the next general manager of ACWD. Stevenson is a 24-year employee, having started his ACWD career as an environmental engineer Ed Stevenson and advancing to his current role, manager of engineering and technology services, an executive management position. Stevenson’s professional experience spans water utility engineering to operations and management including water production, capital projects, new development, water quality, water supply, information technology, rates and charges, and customer service.

“I am proud to have been selected to work with the board and all of ACWD’s dedicated employees in service to our customers. Together, we will advance water quality and supply reliability initiatives through planning and responsible infrastructure investments for water resiliency and sustainability for our thriving community,” said Stevenson.

“Mr. Stevenson’s extensive background at ACWD makes him well-equipped to lead the agency,” said ACWD Board President Aziz Akbari. “Through the years, Mr. Stevenson has played a pivotal part in some of the district’s most momentous capital projects. He is a consummate professional. Working in partnership with the ACWD Board of Directors, I am certain that Ed will effectively lead the agency forward and ACWD will continue its long history of responsibly serving our customers and the community,” added Akbari.

Volume 16 • Issue 3

Palmdale Water District General Manager Dennis Dennis LaMoreaux was appointed to the board of directors of the Delta Conveyance Design and Construction Authority (DCA) as an alternate director. The DCA is assisting with the design, development, and implementation of the Dennis Delta Conveyance program, which is the state LaMoreauz Department of Water Resources’ proposal for a single tunnel in the Sacramento-San Joaquin Delta.

Jose Solorio of Santa Ana has been appointed to the California Water Commission.

Solorio has been a Government Affairs Officer at Moulton Niguel Water District since 2018.

He was a Santa Ana City Council Member from 2016 to 2020 and from 2000 to 2006, Senior Jose Solorio Policy Advisor at Nossaman LLP from 2014 to 2017, and a California State Assemblymember for the 69th District from 2006 to 2012. Solorio earned a Master of Public Policy degree in government and business policy from Harvard University. This position requires Senate confirmation.

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17

COMMUNITY CONNECTIONS

A New Los Angeles County Collaboration Washes Away Bloodthirsty Mosquitoes and Water Wasting Behavior

By San Gabriel Valley Mosquito & Vector Control District and Walnut Valley Water District

In the midst of a stay-at-home winter, two local agencies created a buzz with a new resource for residents of San Gabriel Valley, a region located in Los Angeles County.

The two agencies, the San Gabriel Valley Mosquito and Vector Control District (SGVMVCD) and Walnut Valley Water District (WVWD), were worlds apart, but came together to create Los Angeles County’s first webinar series that blends public health with water conservation.

The webinar series, “Be Water Wise and Bite Free,” teaches residents how to conserve water around their properties and prevent pesky mosquito problems -- all from the safety of their homes.

“Walnut Valley Water District is committed to providing its customers with free educational resources to enhance water use efficiency and promote public health. Together with SGVMVCD, we’re able to offer our residents a free webinar series that promotes water conservation and mosquito prevention actions,” said WVWD Management Analyst Jillian Keller.

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The Threat and Opportunity

With the rapid spread of COVID-19, the ability of traditionally educating residents in-person came to a screeching halt.

“We normally participate in 120 community events and school visits from spring to fall,” said SGVMVCD Public Information Officer Levy Sun. “When cities, districts, and other organizers canceled the year’s events to protect public health, we faced an educational drought.”

Providing quality education to the public quickly switched to a digital format.

“With in-person classes and events on hold during the pandemic, collaborating with SGVMVCD on a webinar series created the perfect outlet for our agencies to share important messages with the public,” said Keller.

Both special districts jumped on the opportunity as they collaborated. Going virtual allowed the collaborative webinar to give examples of increased instances of water misuse on residential properties and address the fact that more people are exposed to disease-spreading mosquitoes.

“The world of water and mosquitoes is deeply intertwined California Special Districts • May-June 2021

in our Los Angeles County neighborhoods,” said Sun. “It only makes sense that mosquito control and Walnut Valley Water District collaborate.”

The Challenge

While enthusiasm was high, there were some administrative and logistical processes to solidify. There were logistics to overcome during the collaboration process. The two districts immediately set up a timeline of due dates to stay on track. An outline was created that included specific topics each district would teach residents.

“Since this was the first major design and production project, most of the work was in the preparation,” said Sun.

“Honestly, this made post-production edits and promotion much easier.”

Then came the challenge of file sharing large, 4k video clips, images, and b-roll. Using online file transfer services, each special district shot, edited, and shared their respective presentations.

A small team did the final edits.

Fortunately, the timeline built in plenty of time for approval in case there were COVID-19 impacts on staffing.

The Future

Since residents were spending the majority of their time at home, they noticed water conservancy and mosquito safety related issues around their community.

“WVWD was excited to partner with SGVMVCD to help bridge the gap in knowledge between smart water conservation practices and public health,” said WVWD General Manager Erik Hitchman. “Last winter, we encouraged our customers to apply water efficient

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practices for direct water savings in and around their home and to help safeguard against the rise of mosquitoes in our service area.”

The pandemic altogether switched many education initiatives to digital formats and in following the educational trend, both districts coordinated two videos into one with a winter release date.

“Winter was the perfect time to be bite free and water wise,” said Levy Sun, SGVMVCD public information officer. “Now, both of our special districts are building on our success to continue our efforts to educate residents about the public health impacts of wasting water.”

With the help of a couple of green screens and a secret agent guest appearance, the webinar produced more than 10,000 combined views. It is no surprise that this dynamic district duo will continue their virtual efforts in

creating a summer episode to publish late June 2021.

“In the upcoming summer series, we’re hoping to teach our residents about how mosquitoes are ruining our outdoor fun, how our watering practices can produce more mosquitoes, how

to sign up for conservation programs, and about smart irrigation practices that can keep you more bite-free,” said Keller.

Episodes of “Be Water Wise and Bite Free” are hosted at www.wvwd.com/ classes-and-workshops.

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California Special Districts • May-June 2021

Orange County Water District’s PFAS Project Recognized

by Association of California Water Agencies

Photo by Daniel Oloruntoba on Unsplash

Orange County Water District (OCWD) has successfully completed more than a year’s worth of testing and data collection to determine the most cost-effective and best treatment solution to remove PFAS in the groundwater supply.

At the Association of California Water Agencies’ (ACWA) 2021 Virtual Spring Conference and Exhibition, the OCWD received the Clair A. Hill Agency Award for Excellence, which recognized the district for launching the nation’s largest per- and polyfluoroalkyl substances (PFAS) pilot testing program.

Every year, ACWA identifies exemplary programs that demonstrate success in creatively addressing water industry issues, leadership in broad water-related issues, and excellence in agency management and operations.

“This award highlights our regional leadership and comprehensive approach to proactively and swiftly address PFAS that have been detected in local groundwater supplies,” said OCWD President Steve Sheldon. “Our staff have done an outstanding job Volume 16 • Issue 3

responding to this critical water quality issue by implementing projects like the PFAS pilot testing program. As always, we are committed to sharing our research results and best practices with the broader water industry so that everyone can benefit from this exemplary program.”

OCWD accelerated efforts to address PFAS following a lowering of the state’s health advisory levels for two legacy PFAS chemicals, perfluorooctanoic acid (PFOA) and perfluorooctane sulfonate (PFOS), in February 2020. This action prompted water agencies who pump water from the Orange County Groundwater Basin to take dozens of wells out of service and rely on more expensive imported water for their primary drinking water supply. Despite playing no role in releasing PFAS into the environment, public water systems must find ways to remove it from drinking water supplies.

As part of the first phase of its pilot program, OCWD has successfully completed more than a year’s worth of testing and data collection where 14 different types of granular activated

carbon and ion exchange products, as well as novel adsorbents, have been tested to determine the most costeffective and best treatment solution to remove PFAS in the groundwater supply.

OCWD recently began the second phase of the pilot program that will test new treatment media.

“By working collaboratively with all our member agencies, we look forward to advancing this important work so that we can fully utilize our local groundwater basin that provides 77% of the water supply for 2.5 million people in Orange County,” added Sheldon.

OCWD, cities, and retail water agencies in Orange County take seriously the duty to provide reliable high-quality drinking water to residents throughout Orange County and will continue to meet and exceed all state and federal drinking water standards and regulations. OCWD and 10 of Orange County’s public water agencies have filed a lawsuit to ensure PFAS costs are borne by the companies that developed and manufactured PFAS, and not by ratepayers.

21

SOLUTIONS AND INNOVATIONS

Irvine Ranch Water District & Hyatt House: The Value of Public-Private Partnerships in Water Reuse

By Paul A. Cook, P.E., General Manager, Irvine Ranch Water District

W

hen the seven-story Hyatt House Irvine opened in 2018, one of its most unique traits was invisible to travelers: a hidden web of purple pipes delivering recycled water to all 149 guest rooms. The hotel stands as a

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tribute to the innovation that can happen when a progressive water district partners with a likeminded business on a bold recycled water project.

For more than half a century, Irvine Ranch Water District (IRWD) has been a trailblazer in water recycling. Our customers are an indispensable part of that success story.

California Special Districts • May-June 2021

IRWD teamed up with Hyatt House early in its design process. The result: Hyatt House Irvine became the first hotel in the United States to use recycled water to flush every toilet and urinal in its lobby, offices pool area, and guest rooms. In 2020, the project saved almost 1.1 million gallons of drinking water. Recycled water for irrigation saved an additional 270,000 gallons.

That accomplishment required a significant and unprecedented investment by Hyatt, because it meant plumbing the entire seven-story structure with two sets of pipes — one with drinking water and another with recycled water. Hyatt’s decision to protect the environment with that infrastructure reflects the company’s corporate culture and underscores its commitment to setting aggressive goals to reduce water consumption as part of its sustainability strategy.

“Hyatt Hotels and Resorts has long been an advocate of water and energy conservation practices,” said Brett Ambrose, who was general manager of Hyatt House Irvine when the project was completed. (He is now general manager of Hyatt Place Glendale.)

Hyatt — an international company — saw benefits to pioneering dual plumbing in water-stressed California, where it can have the biggest impact on public education and industry responsiveness.

Other hotels have installed dual plumbing in lobby areas, but recycled water in guest rooms was a huge step for the industry.

Before it opened to the public, Hyatt House Irvine was certified as an IRWD WaterStar Business, completing a process designed to help businesses improve efficiency, save on water bills, and show the community they value sustainability.

Now, signs near guest-room toilets educate visitors about how recycled water saves a valuable resource.

Response has been extremely positive.

Volume 16 • Issue 3

Projects like Hyatt House can drive change by showing what is possible with public-private partnerships.

Throughout our history, customer support has opened the door to creative water reuse in the Irvine Ranch Water District’s service area. Customers fund improvements such as on-site infrastructure. In other words, successful publiccontinued on page 24

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private partnerships are the result of customers willing not only to use recycled water, but to make significant financial investments to make it happen.

Customers in many ways are the heroes behind our innovation.

Initially, Irvine Ranch Water District teamed with large landholders in the mid-1960s to produce

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recycled water for agriculture. Irvine, California, was very rural in those days. As the community grew, so did IRWD — along with our portfolio of recycled water uses. Today, IRWD serves recycled water to almost 6,200 accounts, which use about 30,000 acre-feet per year. That’s a quarter of our total water sales.

Other public-private partnerships include: • The Irvine Company and its 47 dual-plumbed commercial buildings (with more on the way).

• The University of California, Irvine, campus and the conversion of its cooling towers to recycled water (saving more than 80 million gallons of drinking water a year).

• The Anaheim Ducks’ Great Park Ice and FivePoint Arena, where recycled water is used to make ice for the rinks.

Irvine Ranch Water District is fortunate to serve a community that understands the importance of recycled water as a drinkingwater conservation strategy. The district is also fortunate to have customers who support recycled water not only with words but with action.

These public-private partnerships demonstrate what is possible, and serve as a template and inspiration for others.

Paul Cook is general manager of Irvine Ranch Water District, where he is responsible for all aspects of the district’s day-to-day operations. A registered civil engineer, he has more than 30 years of experience in water and sewage system projects in the public and private sectors.

California Special Districts • May-June 2021

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Aleshire & Wynder, LLP Aleshire & Wynder, LLP provides legal representation to communities throughout California from four offices. Our water attorneys serve as general and special counsel to water districts, special districts, and cities in litigation, administrative proceedings, and project development. Through representing clients in matters concerning water rights, water quality, and public finance, our lawyers have acquired the specific experience necessary for creative and effective solutions to water resource management. We stay ahead of the curve as ongoing and new challenges evolve to ensure protection of our clients’ needs and interests.

Volume 16 • Issue 3

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LEGAL BRIEF

Public Agency Early Termination Incentive Programs Are Subject to Special Tax Rules

By Jeff Chang, Partner, Best Best & Krieger

With the looming specter of COVID-related budget shortfalls, many cities and special districts are thinking about early termination incentives as a way to reduce payroll costs. If your city or public agency is considering the use of early termination incentives, you should be familiar with the special tax rules that could come into play.

The starting point is Internal Revenue Code (Code) section 457(f) – not to be confused with section 457(b) which governs eligible deferred compensation plans. Section 457(f) treats amounts that are considered “deferred compensation,” but which are not governed by a section 457(b) plan, as immediately taxable to the extent they are nonforfeitable (i.e., vested) even if not yet paid. On the other hand, amounts that are considered “severance pay” are excepted from the application of section 457(f) and this tax treatment.

In 1998, the IRS issued a somewhat surprising Technical Advice Memorandum (TAM) in which a large number of early retirement incentive plans set up by governmental employers, public education institutions and tax-exempt organizations, which had been considered “severance plans,” were treated as deferred compensation plans subject to the unfavorable tax rules of section 457(f). According to the IRS, these incentive payments were viewed as deferred compensation, and not severance, because the terminations of employment were voluntary. That ruling also was particularly troublesome because it potentially triggered the application 26

of differing rules of taxation under the income tax rules, the FICA rules and the tax withholding rules.

The perceived “problems” created by the TAM were addressed by subsequent legislation and regulations. In the case of local educational agencies, the Pension Protection Act of 2006 removed certain voluntary early retirement incentive plans and employment retention plans from being treated as “deferred compensation” under section 457. More importantly for our purposes, the Treasury Department issued proposed regulations (Proposed Regulations) in 2016, which though not final may be relied upon by taxpayers until they are finalized.

In order for a public agency (other than a local educational agency) to provide a voluntary early termination payment that is not subject to the deferred compensation rules of section 457(f), it must meet the definition of a “window program” under the Proposed Regulations. A window program is one established by the employer to provide separation pay in connection with an impending severance from employment, if the program is made available for a limited period of time (typically no longer than 12 months) to participants who have a severance of employment during that period or to participants who have a severance from employment during that period under specified circumstances. A program is not a window program if it is part of an ongoing or permanent arrangement, or a pattern of similar programs.

For these reasons, public agencies need to carefully plan how their early termination incentive plans will be structured and documented.

There may be advantages to both employers and employees of post-employment packages that don’t involve cash payments.

Jeff Chang is a partner at Best Best & Krieger LLP. He has four decades of experience skillfully evaluating benefit and retirement plan compliance to achieve maximum outcomes for public agency clients throughout California. He can be reached at jeff.chang@bbklaw.com or (916) 329-3685.

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TAKE ACTION

HUNDREDS OF STATE AND LOCAL ORGANIZATIONS AND INDIVIDUALS CALL FOR SPECIAL DISTRICT ACCESS TO RELIEF

C

alifornia’s special districts have received no direct access to COVID-19 relief funding programs, unlike other government entities: the state, schools, cities and counties. As a consequence, many special districts are struggling under the burden of an estimated $1.92 billion collective unmet fiscal need since the March 2020 Emergency Proclamation and a projected $2.43 billion anticipated unmet fiscal need by December of 2021.

Momentum is now building for the State of California to use the transfer authority provided within the American Rescue Plan Act to share a portion of the $26 billion in federal COVID-19 relief funding with special districts to meet this critical need. Over 700 state and local entities have signed on in support of this request.

In addition to CSDA and other statewide special district association partners, the coalition supporting COVID-19 relief for special districts includes: 28

• Numerous counties, including Fresno, Inyo, and San Luis Obispo; • California Fire Chiefs Association; • Associated General Contractors of California; • California Builders Alliance; • American Council of Engineering Companies, California; • California Association of Public Information Officials; and • Hundreds more.

California has both the authority and the resources to assist the state’s special districts.

• Through the American Rescue Plan Act (ARPA), Congress has provided a flexible solution by explicitly empowering states with authority to transfer Coronavirus State Fiscal Recovery monies to special districts.

California’s revenues are enough to share. The January 20212022 Budget Proposal reflected an unexpected revenue windfall of $15 billion—with major additional revenues indicated in California Special Districts • May-June 2021

February and March, of which billions are reported to be discretionary. Further, between the Coronavirus Relief Fund (CRF) and the American Rescue Plan Act, Congress has approved a projected $57.955 billion in relief funds to aid California and its local governments.

• Dedicating a portion of these unanticipated one-time funds to address COVID-19 response impacts on special districts and the communities they serve is an appropriate use, consistent with the near $1.8 billion California previously distributed to cities and counties from its CRF funds.

• There is precedent that supports COVID-19 relief funding for special districts. Last year, the states of Colorado and Oregon included special districts in distributions of Coronavirus Relief Fund monies to local governments.

Many special district funding streams have been dramatically compromised due to pandemic response operations and, for some districts, expenses have skyrocketed to pay for mandated health and safety protocols for their frontline workers and the public they serve.

TAKE ACTION SUPPORT THE COALITION REQUESTING THE STATE OF CALIFORNIA SHARE COVID-19 RELIEF FUNDING WITH SPECIAL DISTRICTS, THEIR 120,000 FRONTLINE WORKERS, AND THE COMMUNITIES THEY SERVE. CSDA.NET/TAKE-ACTION/COVID

• Submit Online Support Form • Find Coalition Letter and Updated Supporters List • Download Sample Email Encouraging District Stakeholders to Join Coalition • Use Sample Social Media Tools

• When special districts are excluded from relief, essential frontline workers and community residents are excluded from relief. As of February 5, 2021, 42 percent of special districts reported reducing essential services, and 33 percent reported reducing workforce due to COVID-19 response impacts.

• Universally experienced special district impacts include deferred/ delayed/cancelled infrastructure projects, increased workers compensation/FMLA/unemployment/ overtime costs, and unbudgeted expenditures necessary to safely maintain operations, as well as public and employee health and safety.

As public agencies, special districts were not eligible for COVID-19 relief programs, such as PPP, tax credits, and grants, provided to businesses and non-profits to address these impacts.

• Other special district impacts vary depending on service type and primary revenue source. Examples include a staggering amount of past due water, wastewater, and electric bills (utilities); unprecedented losses in operational revenues due to restricted activities,

rentals, and charges; loss of lease and other business enterprise revenues; overwhelming increased operational expenses and notable revenue losses due to pivoted services.

Special districts would utilize funding allocated by the state to benefit their residents, stabilize services, and boost the local economy.

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Volume 16 • Issue 3

29

MANAGERS CORNER

FROM BOARD MEMBERS’ PERSPECTIVE, WHAT MAKES A GREAT GENERAL MANAGER?

By Scott Carroll, CSDM, ICMA-CM, General Manager, Costa Mesa Sanitary District

W

Learn more from Scott Carroll on this topic at the General Manager Leadership Summit preconference workshop, “So You Want to Be a General Manager?” on June 27, 2021!

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hat makes a great general manager? What combination of experience, specific skill sets, temperament, and ego (or lack thereof) goes into creating that incredibly valuable agency leader? Does the person have to be visionary, strategic, open minded, adaptable?

What about being an excellent problem solver, team builder and motivator? The truth is, general managers for independent special districts need to possess many qualities and characteristics, including the ones just mentioned, to be successful due to the complexity and level of responsibility of the profession. However, what do board members believe are the most valuable qualities and characteristics of a general manager? After all, they are the ones responsible for hiring an individual they entrust to lead an organization.

In 2015, Brent Ives and David Aranda, of BHI Management Consulting, surveyed 150 general managers and board members to find out WHAT MAKES A GREAT GENERAL MANAGER? They wanted to know what factors were most critical, those professional and personal attributes along with the general descriptors for a great general manager. From board members’ perspective,

elected/appointed officials believe people skills, communications, and strategic and open-minded thought processes are the top attributes and descriptors for a great general manager. Let’s look at each a little more closely.

From Board Members’ Perspective, What Makes a Great General Manager?

The top critical hiring attribute – People Skills. Understandable, since special districts are becoming a more diverse workplace than ever before. A great general manager needs to recognize the assorted personalities of his/her staff because each individual has different characteristics to recognize such as motivation, a sense of humor, flexibility, communication, and handling stressful situations. For instance, one person might think your joke is funny, while another may find it offensive. This applies as well to board members, since they are part of the equation. A great general manager will get to know his/her board members on a personal level and understand what they want to accomplish during their tenures.

One thing is certain: everyone wants to be treated with respect and feel appreciated, so great California Special Districts • May-June 2021

general managers should never yell, talk down to or demean staff because when people feel belittled and stressed, it leads to staff underperforming. While it’s okay to disagree with board members (NEVER in public), a great general manager will respect the board’s decision and faithfully implement their decisions.

It sounds basic, but a good practice is to use good manners, saying “please” and “thank you” as often as possible.

Strategic Thinker,” Terina Allen wrote that strategic thinkers make better decisions by being more reflective. Allen believes strategic thinkers will ask themselves the following questions to make better decisions: 1. Why do I/we need to care about his issue? Or, what prompted the need for this decision to be made?

2. What happens if I/we don’t decide on this issue? Is the status quo acceptable?

Why or why not?

3. What outcomes are we trying to achieve? Who cares about them and why?

Applying strategic thinking principles will ensure sound decisions are made and will build trust among board members that you are competent and skilled at achieving results.

The top critical professional attribute – Communications.

Possessing excellent communication skills with board members, staff and the public is essential to being a great general manager. It fosters trust, resolves problems, provides clear direction, and provides engagement.

The good news is that there are a variety of resources a general manager can use to communicate his/her message. For instance, written “Weekly Update” board reports that describe district activities, monthly “All Hands” meetings where all employees gather to hear the latest information about the district and the community, district newsletters, social media posts and email subscriptions are effective methods for communicating to the board, staff and public. The key is finding a communications plan that works for you and your district.

Always remember to communicate with honesty and avoid ambiguity when communicating with others.

The top critical personal attribute – Open Minded. According to Neil Kokemuller’s article in Chron, “Is it Important to Be Open Minded in the Workplace?”, open-mindedness is one of the most sought-after employee traits.

University of California Davis Internship and Career Center Program Coordinator Ken Barnes says being open-minded means having a willingness to listen to other ideas and opinions and considering the possibility that you are wrong and open to changing your own perspective. General managers are human beings - mistakes will happen, wrong decisions are made. Great general managers recognize this vulnerability and have the courage to admit their mistakes and seek advice from subordinates. Most board members understand that general managers do not have all the answers and those managers that collaborate with others and remain open to change are more likely to succeed in this profession.

In the 2015 survey, general managers agreed that the qualities mentioned above are important, as they listed the same qualities in their upper tier. However, since this survey is now six years old, it would be interesting to learn if the same qualities and characteristics apply today or if there has been a paradigm shift on What Makes a Great General Manager? To that end, CSDA is conducting another survey from board members and general managers. Results will be shared online and at the CSDA workshop, “So You Want to Be a General Manager?”

The top general descriptor – Strategic. Board members will have a vision for the community, or at the very least will establish goals for the general manager to achieve. A great general manager must strategize as to how he/ she is going to move the organization toward this vision and/or accomplish the set of goals assigned to the GM. In addition, general managers are problem solvers; to be an effective problem solver, a general manager must be a strategic thinker. In her essay in Forbes, “3 Unmistakable Signs That You Are A Volume 16 • Issue 3

31

DISTRICTS MAKE THE DIFFERENCE

DISTRICTS MAKE THE DIFFERENCE CAMPAIGN EXPANDS NATIONWIDE

D

istricts Make the Difference (DMTD) has been successful in promoting the important work of individual districts throughout California. Through a partnership with the National Special Districts Coalition (NSDC), this outreach campaign is expanding nationwide.

As part of a public outreach campaign to increase awareness and understanding of special districts, CSDA developed DMTD to spread the word about the many special districts that enhance communities of California. Special districts are responsible for keeping water flowing through faucets, providing electricity, waste removal, public safety, and so much more.

At the Districts Make the Difference website, the public can find information and background about special districts, descriptions about how districts serve communities, news, and compelling videos.

The campaign works to drive visitors to the site through Facebook and Twitter, as well as a YouTube channel.

32

Based on the successful public education efforts surrounding the special districts of California, DMTD is now expanding its efforts to educate the country about the special districts in all 50 states! The aim is to have the DMTD website fully transitioned to a national focus by the end of 2021. Meanwhile, DMTD is shifting in other ways as well, such as expanding its social media presence to highlight special districts in other states.

CSDA will be continuing to work with NSDC to enhance public awareness of special districts’ roles in their communities. NSDC was formed to share best practices and serve as a national communication forum for special districts nationwide. Participating state associations currently include the California Special Districts Association, Florida Association of Special Districts, Special District Association of Colorado, Special District Association of Oregon, and Utah Association of Special Districts.

California Special Districts • May-June 2021

4 Recent Social Media Posts from #DistrictsMakeTheDifference California

Colorado

South Carolina

Washington

The Salinas Valley Memorial Healthcare System is doing its part to end the COVID-19 pandemic by distributing vaccines. With the help of it and other special districts, vaccines are now available to everyone 16 and older.

“I know the heart of this community and we can get through anything by working together,” says Pete Delgado, president and CEO of SVMHS. “This pandemic is a challenge, but we are meeting it head on.”

Run by women from the Arvada Fire Department and West Metro Fire Rescue in Colorado, Camp Ember is a free camp designed to introduce girls to the world of firefighting and EMS. Girls 16 to 18 years old come away from the experience with skills that will save lives, from CPR and First Aid certification to fire hydrant operations!

According to the Airports Council International, it’s official. South Carolina is home to the best small airport in North America, among airports serving 2-5 million passengers annually.

Congratulations to GreenvilleSpartanburg International Airport! “GSP takes great pride in providing our customers with a superior airport experience,” says Dave Edwards, president and CEO of the airport.

The Klickitat PUD is a special district in Washington that takes landfill waste and converts it into pipeline-quality natural gas.

It produces enough for 19,000 homes to operate furnaces, stoves, and water heaters each day. “The vast and valuable gas delivery system can — and should — contribute to our clean energy future,” says Dan Kirschner, executive director of the Northwest Gas Association.

Interested in finding out more about the special districts serving around the United States? You can find Districts Make the Difference on either Facebook or Twitter. If there’s a special district making a difference in your life, email info@DistrictsMakeTheDifference.org.

We’re always interested in hearing about new stories we can share.

A public outreach campaign supported by the California Special Districts Association to provide information about special districts, descriptions on how they serve communities, and compelling content. Visit us at districtsmakethedifference.org.

Volume 16 • Issue 3

MAKE THE

33

MANAGING RISK

AB 1947 – New Filing Period for Claims Filed with the Labor Standards Enforcement and Attorney’s Fees

By Debbie Yokota, ARM, SDRMA Chief Risk Officer

Flying under the radar due to all of the other concerns facing businesses, both public and private, in California, Governor Newsom signed AB 1947 on September 30, 2020 which became effective January 1, 2021.

Under employment laws in effect prior to the signing of AB 1947, any 34

person who filed a claim against their employer under the Labor Code that is under the jurisdiction of the Division of Labor Standards Enforcement (DLSE or Labor Commission) has six months from the occurrence of the violation to file the claim.

The DLSE, headed by the Labor Commissioner, is the state agency charged with enforcing California’s labor laws, including Labor Code provisions and the Industrial Welfare

Commission Wage Orders governing the wages, hours and working conditions of California employees. Labor Code 98.7 enables workers to file retaliation claims with the Labor Commissioner.

Such claims trigger an administrative investigation that can take up to 3 years and can lead to penalties against the employer and reinstatement of the worker.

AB 1947 now extends the deadline for filing a complaint from six months to one year from the occurrence of the violation.

AB 1947 also adds a provision to Labor Code Section 1102.5 that authorizes courts to award reasonable attorney’s fees to a plaintiff who brings a successful action for a violation of that law’s “whistleblower” protections that prohibit an employer from retaliating against an employee who discloses suspected violations of law to a government or law enforcement agency.

Labor Code 1102.5 prohibits employers from making, adopting, or enforcing any policy that prevents an employee from disclosing information to a government or law enforcement agency where the employee has reasonable cause to believe that the information discloses a violation of a state or federal law.

The statute also prohibits retaliation against any employee who discloses such information, refuses to participate in an activity that would result in a legal violation, or has exercised such a right in a former job.

California Special Districts • May-June 2021

Prior to AB 1947, workers who prevailed in lawsuits alleging that their employer violated these protections could obtain damages, but the statute did not allow prevailing plaintiffs the ability to recover attorneys’ fees. AB 1947 alters that dynamic. As amended, Labor Code § 1102.5 now expressly authorizes courts to award reasonable attorneys’ fees to a worker who prevails on a “whistleblower” claim under Labor Code § 1102.5.

EFFECT ON EMPLOYERS AND TAKEAWAYS: First, employers may notice an uptick in the number of Labor Commissioner proceedings brought by employees.

Employees now have the luxury of additional time to obtain documents and speak with potential witnesses before pursuing administrative relief. Employees thus have the time to consider bringing an administrative action and, depending on the outcome, may still subsequently pursue a civil action. This could result in employers being forced to defend against claims in both an administrative and a court proceeding.

Second, the availability of attorneys’ fees for prevailing plaintiffs in Section 1102.5 whistleblower suits may incentivize plaintiffs’ attorneys to bring additional whistleblower suits,

regardless of the validity of the claim. Adding in a one-way fee shifting provision only in favor of the employee will likely increase the attractiveness of this type of claim for plaintiffs’ lawyers as a tool to extract settlements. The new law further undermines administrative Employers may resolution of these notice an uptick claims, as there is a financial incentive to in the number of proceed to court and Labor Commissioner engage in litigation as proceedings brought opposed to informal resolution. by employees.

Finally, while not Employees now expressly considered have the luxury of “coronavirus” legislation, it is clear additional time to that the coronavirus obtain documents pandemic influenced and speak with the Legislature’s decision to further potential witnesses expand certain before pursuing rights under administrative relief.

California’s workplace antiretaliation laws.

As coronavirus legislation continues to increase, so, too, do the opportunities for enterprising plaintiffs to assert whistleblower allegations and pursue remedies under the new framework. As a result, it is vitally important that employers be aware of and promptly respond to new laws and regulations as they are enacted.

SDRMA Board and Staff Officers

Staff

MIKE SCHEAFER, PRESIDENT Costa Mesa Sanitary District

LAURA S. GILL, ICMA-CM, ARM, ARM-P, CSDM, Chief Executive Officer C. PAUL FRYDENDAL, CPA, Chief Operating Officer ELLEN DOUGHTY, ARM, Chief Member Services Officer DEBBIE YOKOTA, AIC, ARM, Chief Risk Officer WENDY TUCKER, Member Services Manager ALANA LITTLE, Health Benefits Manager JENNIFER CHILTON, CPA, ARM, Finance Manager DANNY PENA, Senior Claims Examiner HEIDI SINGER, Claims Examiner II ASHLEY FLORES, Management Analyst/Board Clerk

SANDY SEIFERT-RAFFELSON, VICE PRESIDENT, Herlong Public Utility District ROBERT SWAN, SECRETARY, Groveland Community Services District

Members of the Board DAVID ARANDA, CSDM, Stallion Springs Community Services District JEAN BRACY, CSDM, Mojave Desert Air Quality Management District TIM UNRUH, CSDM, Kern County Mosquito & Vector Control District JESSE CLAYPOOL, Honey Lake Valley Resource Conservation District

Consultants DAVID BECKER, CPA, James Marta & Company, LLP LAUREN BRANT, Public Financial Management DEREK BURKHALTER, Bickmore Actuarial

MICHELLE LAVELLE-BROWN, Health Benefits Specialist II TERESA GUILLEN, Member Services Specialist I MARGARITO CRUZ, Accountant CANDICE RICHARDSON, Member Services Specialist I

CHARICE HUNTLEY, River City Bank FRANK ONO, ifish Group, Inc. ANN SIPRELLE, Best Best & Krieger, LLP KARL SNEARER, Apex Insurance Agency DOUG WOZNIAK, Alliant Insurance Services, Inc.

Volume 16 • Issue 3

Special District Risk Management Authority 1112 I Street, Suite 300, Sacramento, CA 95814 tel: 800.537.7790 • www.sdrma.org

35

WHAT'S SO SPECIAL

HAYWARD AREA RECREATION AND PARK DISTRICT: HAYWARD COMMUNITY GARDEN

By James Wheeler, General Manager, Hayward Area Recreation & Park District

W

hat does a park and recreation district have to do with food sourcing?

Everything! Parks were created for not only leisure and recreational purposes, but to create opportunities to bring communities together to a safe place where fun has no boundaries.

Within built-out communities, and depending on where you live, it can be difficult to access fresh produce, let alone the resources, space and right eco-environment to grow them. Most people would not know where to begin, and that was why the Hayward Area

Recreation and Park District (HARD) opened the Hayward Community Garden.

It is a place where neighborhood residents can gather together at a park for a different purpose - to grow their own food. It is the perfect opportunity to promote interest in gardening, enable residents to supplement their diets with home-grown produce, and provide a physical space for community gardeners to learn about resource conservation, urban gardening, and related topics in a safe, enjoyable environment.

The district is comprised of a rich cultural diversity of people. Hayward and the surrounding communities make up one of the most highly diverse regions

HARD recognizes that food resourcing goes beyond growing produce.

Our mission is to grow the connections with people and support a community with access to the outdoors and with each other.

JIM WHEELER, GENERAL MANAGER

HARD FACTS YEAR ESTABLISHED: 1944 POPULATION: OVER 300,000 PEOPLE WEBSITE: HAYWARDREC.ORG 36

DISTRICT SIZE: 108 PARKS AND FACILITIES; SPREAD OVER 100 SQUARE MILES LOCATION: CITY OF HAYWARD, AND UNINCORPORATED COMMUNITIES OF ASHLAND, CHERRYLAND, CASTRO VALLEY, FAIRVIEW, AND SAN LORENZO California Special Districts • May-June 2021

in the United States. The Hayward Community Gardens were started by a church group on another site in Hayward in 1977. When the group inquired with PG&E to use the current site, they needed a partner to hold the lease. That’s when they called upon HARD’s General Manager Bud Critzer who agreed to a 30-year lease and the nonprofit Hayward Community Garden to become the site operators. Many of the original growers were immigrant farmers representing a variety of countries and cultures, and the foods produces represent what is important to their families. The climate is perfect for growing a large variety of produce. The community farmers worked together to share knowledge and experience of growing traditional foods from their home countries. That tradition continues today with a partnership amongst growers to share knowledge to those who are curious to learn farming techniques and a couple of those original farmers are still on site. Foods grown on the site represent the rich diversity of the families who are growing them.

A few original farmers are currently growing in the new garden. There’s also support by the U.C. Berkeley Master Gardeners who are providing classes and on-site tips for growing, along with nurturing a demonstration garden for the public to enjoy.

The gardens are in an area that consists of high-density housing with little or no green space or park facility.

It is located in the Jackson Triangle area within the City of Hayward, California.

Additionally, the area has limited access to food and stores, so fresh produce is also limited. This new garden now provides a large and accessible green space and places for people to socialize, barbeque and picnic, along with growing produce and botanicals in a shared space. The unique thing about this garden is that it serves a diverse culture and provides an opportunity for participants to connect with each other and share their backgrounds Volume 16 • Issue 3

and histories while they come together to garden. The development of these gardens includes an area for educational opportunities for youth and families.

The garden provides a wonderful opportunity for hands-on, science-based learning for students and their families.

The Hayward Community Garden is on 5.3 acres of land leased by PG&E to the Hayward Area Recreation and Park District for this project. The first phase of improvements consisted of seventy (70) gardening plots, each measuring approximately 400 square feet, for individual or shared use. As of

MANN

•

URRUTIA

this writing, the garden is full, with a waiting list of interested growers. Upon full implementation of the community garden master plan, the garden has the potential to provide up to 210 garden plots. The communal plot or gardening area allocates gardening space for cultivating vegetables, fruits, and ornamentals available for all gardeners to participate in the planting, maintenance, and harvesting through this managed program. Because HARD believes that everyone should be included, there is disability access continued on page 38

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throughout the garden. There are designated plots for those who need accommodations. The site has an irrigation system with hose bibs spread throughout the garden to provide water to the surrounding plots. Trees in the common areas are watered through the irrigation bubblers. A storage shed is provided with all the tools, supplies, and materials that the gardeners may use and share while they are on site.

Compost bins are also provided to successfully manage any waste. The greenhouse is a unique area where group activities can take place for education and sharing. A zone for community socializing features a picnic area with barbeques, a “kiwi tunnel,” and a natural play area with

art and a mural. Finally, there is an outdoor natural exploration area where kids can safely play as well as an open outdoor classroom area where youth can learn more about the importance of food, how it grows, and healthy lifestyles.

In the development of the project, green community garden practices were implemented such as using trees that were being removed from another park for benches, tree logs, and mulch.

HARD received a small grant from the Natural Resource Conservation Service, which is under the U.S. Department of Agriculture. The grant focused on water conservation. In the development of the garden, features were added to address those issues. As water waste is the biggest issue for community gardens, measured valve and flow sensors were installed which allows us to shut down and closely monitor the water. It also allows us to close the water off when the park is closed. All water hose bibs have a flow restriction valve and key bibs which provides more control over water and less waste.

The Hayward Community Garden (Garden) project was funded

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$250,000,000 bond measure that authorizes funding for needed repairs, upgrades, and new construction projects to the district’s parks and facilities).

Prior to the construction of the gardens, community meetings were held along with key stake holder groups, which included local gardening groups such as the U.C. Berkeley Master Gardeners and Hayward Community Gardner’s, and Hayward Neighbor Garden.

So, what advice would HARD give to other special districts? The first is to acknowledge and get excited around growing food as recreation, and it fulfills the mission statements of many parks and recreation districts. The need for community gardens increases when working within dense built-out communities within cities and suburbs.

As housing density increases in the Bay Area, it’s a wonderful opportunity to work with developers to create growing spaces and outdoor areas for the community.

Prior to the Garden opening, the former site was closed for three years. When HARD opened it up, it created a process for people to apply and participate, and the park is open to the public, which was not able to be enjoyed previously.

The Hayward Community Garden takes building a community resource to a whole new level. It encourages play and exercise with the natural outdoor exploration area. It induces self-directed recreation by giving gardeners free-range of choices in growing and maintaining their own produce. The Garden also facilitates social connections by bringing members of the community together to share in the practice of living a healthier lifestyle.

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Volume 16 • Issue 3

39

MONEY MATTERS

Sixteen Years Serving Special Districts

By Laura Labanieh, Chief Executive Officer, CalTRUST

As special districts, you know well the importance and critical need of public agencies to provide specific, specialized services to the citizens of California. As a joint powers authority (JPA), the Investment Trust of California (CalTRUST) takes great pride in providing a specific and specialized services to the myriad of public agencies in California. Created by California public agencies, for California public agencies, CalTRUST is your solution for investment choice and diversification.

When CalTRUST was first conceptualized 20 years ago, the state’s investment pool, the Local Agency Investment Fund (LAIF), was essentially the only investment option for California’s public agencies that sought to invest funds while maintaining adequate liquidity. Many jurisdictions held 100% of their investments in LAIF with no diversification. With 40

LAIF capped at $40 million back then, and allowing a limited number of transactions monthly, some public agency treasurers and fiduciaries began to realize that it was not a sufficient option.

One of these public servants was Dave Ciapponi with Westlands Water District. Working in concert with the Treasurers of Solano and Sonoma Counties, the idea of CalTRUST was born. In 2002 Solano County, Sonoma County, and West Lands Water District began forming a joint powers agreement to exercise common powers under government code to invest funds. This was a complex process and required legislation to amend California Government Code 53601 to allow municipalities to invest in such a JPA. After years of hard work, forming supportive symbiotic relationships with local government organizations and

many hours of legal review to ensure that all the I’s were dotted and the T’s were crossed, CalTRUST officially launched with the founding agencies and a total of $25 million in assets in 2005.

As of today, CalTRUST has over 135 unique public agency shareholders and close to $2.3 billion in assets with roughly a third of assets under management being from California special districts. We are proud to have been a CSDA Endorsed Affiliate since 2008. CalTRUST is currently governed by a seven-member board of trustees, including Matt McCue, director of administrative services with Mission Springs Water District and Bobbie Ormonde, deputy general manager of Finance and Administration with Westlands Water District. In addition to having a high-caliber board of trustees, CalTRUST ensures we have the best partners to serve our public agencies. As a JPA, CalTRUST believes in process and regularly issues requests for proposals for all service providers to ensure the best service for our shareholders. Currently, BlackRock, the world’s largest asset manager, serves as the investment management team for CalTRUST and is also available as a resource to our shareholders.

From day one, the purpose behind CalTRUST was simple, to provide investment diversification options to California’s public agencies and to be of true service. CalTRUST has accomplished this by creating a product that is easy to access, easy to transact in, of the highest caliber quality, and evolves as a direct result of the needs of California’s special districts and California Special Districts • May-June 2021

other public agencies. From the start, CalTRUST offered two proprietary funds, a shortterm fund and a medium-term fund, with 0-1 year and 1-3 year durations, respectively.

Over the years, CalTRUST has responded to public agencies’ needs by adding a government fund option, a money market fund option (that has since evolved into an environmentally conscious option), and an ultra-short-term liquidity fund.

Working with our investment management team, our strategy always goes back to the most important priorities of managing public funds: safety, liquidity, and yield. The basics of the CalTRUST funds include:

LIQUIDITY FUND Liquidity: Same-Day Cut-Off Time: 12:00pm PST Maximum Duration: 60 Days S&P Rating: AAAm Stable NAV

BLACKROCK FEDFUND Government Money Market Fund Liquidity: Same-Day Cut-Off Time: 1:00pm PST S&P Rating: AAAm

SHORT-TERM FUND Liquidity: Next-Day Cut-Off Time: 9:30am PST Target Duration: 0-2 Years S&P Rating: AAf Floating NAV

BLACKROCK LIQUID ENVIRONMENTALLY AWARE FUND U.S. dollar-denominated 2a-7¹ prime money market fund Investment process considers environmental criteria Liquidity: Same-Day Cut-Off Time: 11:00am PST Weighted Average Maturity: 48 Days (September 2019) S&P Rating: AAAm

MEDIUM-TERM FUND Liquidity: Two-Days Cut-Off Time: 9:30am PST Target Duration: 1 - 3 Years S&P Rating: AA-f Floating NAV

continued on page 42

CSDAFC Board and Staff

Recent Financings

Officers JO MACKENZIE, PRESIDENT, Vista Irrigation District VINCE FERRANTE, VICE PRESIDENT, Moss Landing Harbor District ARLENE SCHAFER, SECRETARY, Costa Mesa Sanitary District GLENN LAZOF, TREASURER, Regional Government Services Authority

Members of the Board GEORGE EMERSON, Goleta Sanitary District PAUL HUGHES, CSDM, South Tahoe Public Utilities District MATTHEW MCCUE, Mission Springs Water District

Consultants RICK BRANDIS, Brandis Tallman, a Division of Oppenheimer & Co. Inc. STEFAN MORTON, Municipal Finance Corporation WILLIAM MORTON, Municipal Finance Corporation ALBERT REYES, Kutak Rock LLP NICOLE TALLMAN, Brandis Tallman, a Division of Oppenheimer & Co. Inc.

Staff NEIL MCCORMICK, Chief Executive Officer CATHRINE LEMAIRE, Coordinator AMBER PHELEN, Executive Assistant RICK WOOD, Finance & Administrative Director

The CSDA Finance Corporation has responded to dozens of quote requests over the past several months and has facilitated the financing of more than $24 million in projects and purchases so far this year.

Lassen Municipal Utility District Electrical Substation - $16,000,000 Groveland Community Services District Refinancing Water Bonds - $3,000,000 Auburn Area Recreation and Park District Energy Efficiency Project - $2,190,000 Calaveras Public Utility District Water Tank Replacement - $2,035,000 Ebbetts Pass Fire Protection District Fire Engine Purchase - $800,000 West Side Community Healthcare District District Headquarters - $670,000

CSDA Finance Corporation 1112 I Street, Suite 200, Sacramento, CA 95814 tel: 877.924.2732 • www.csdafinance.net CSDA F C

Volume 16 • Issue 3

We have solutions for your financing needs, large and small. Contact CSDA Finance Corporation at 877.924.2732 or visit www.csdafinance.net.

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With five fund options, CalTRUST offers the flexibility of both stable and floating net asset value (NAV) funds as well as different liquidity options, with the longest being two-day. The varied durations offered in the CalTRUST funds allows special districts to put your assets to work by segmenting based on their needs. With their sameday liquidity and short investment horizons, the Liquidity Fund, FedFund, and LEAF are great options for daily operating/working cash while the short- and medium-term funds are excellent options to put reserves and other long-term investable assets to work to achieve greater yields.

- 1/4 pg. Ad Aside from the fund options, CalTRUST key features make being a shareholder convenient and valuable.

These key features include: no minimum or maximum investment amount; no minimum or maximum

transaction allowances; no limit to the amount of subaccounts you can have; access to BlackRock investment expertise; ability to easily move assets between our different accounts as you’d like to meet your cash flow needs; an online shareholder portal allows for online trading features and set levels of access for individuals (i.e.you could have staff authorized to perform trades or just to view statements and other information); agencies do not have to join the JPA to participate in CalTRUST; and CalTRUST is only open to California public agencies so our investment policy mirrors California investment code.

In addition to the key features, CalTRUST has been focused on expanding our utility to agencies, such as yours, by providing regular educational offerings and market update webinars. In late 2019

we launched our first in-person Shareholder Summits and look forward to continuing those events later this year.

CalTRUST has achieved the growth and success we have today due to our focus on responding to the needs of California public agencies, providing exceptional service to our shareholders, and by creating strong partnerships, such as the one we have with CSDA. We welcome the opportunity to connect with you and look forward to your interest in learning more about CalTRUST and how we can be of service to you.

For more information, visit www.caltrust.org or contact Laura Labanieh, CalTRUST Chief Executive Officer, at 916.650.8186 or laura@caltrust.org.

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Volume 16 • Issue 3

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45

Your Community. Your Services. Your District!

This campaign is centered on the concept that special districts go beyond providing important services to their communities. They make a difference in the lives of their residents and help our state thrive. The goal is to bridge the gap between special districts and the essential services that millions of Californians value.

The first step is to visit DistrictsMaketheDifference.org. The website features a simple-to-use toolkit filled with public awareness videos, web banners, posters, factsheets, and other materials that can be easily downloaded.

Follow, like, subscribe, share!

46

MAKE THE

DistrictsMaketheDifference.org DistrictsMaketheDifference.org

California Special Districts • May-June 2021

SPECIAL DISTRICT RISK MANAGEMENT AUTHORITY

Risk Management Built to Last As a trusted risk management advisor, SDRMA makes it easy for you to proceed with confidence. Our team is like one of your own, delivering service and expertise you won’t find anywhere else. For everything from Workers’ Compensation and Property/Liability coverages to Health Benefits options available throughout California, we are here to help. For more information, visit sdrma.org.

Volume 16 • Issue 3

Trusted Risk Management

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800.537.7790

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www.sdrma.org

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PRSRT STD U.S. Postage PAID Permit No. 316 Sacramento, CA

California Special Districts Association 1112 I Street, Suite 200 Sacramento, CA 95814

BETTER TOGETHER. What makes some of the greatest, most iconic pairings in history work? Well, separately, they’re equally awesome, but together—extraordinary.

As a public agency, the work you do to run a district, to provide necessary services, to increase your entire community's quality of life, is invaluable. As a law firm that provides comprehensive and creative solutions to our clients, our work is pretty stupendous too, if we may say so ourselves. And when you put great and great together, the possibilities are endless.

Contact White Brenner LLP to learn more about what kind of exceptional solutions we can create together.

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