The Community Investment Program began in 2009 in response to the Board of Directors' objective to expand water services to existing customers. This desire was a result of the Sauers' Report that outlined the need of the District to set goals to provide infrastructure to areas that pay taxes to the District. The District has worked for years prior to this program to extend waterlines; this program formalized the District's effort.
The program is comprised of four sections, District Financed Waterline Extensions (DFWLE), Assessment District (AD), Community Facility Districts (CFD), and New Fire Hydrants. The program is budgeted through the Engineering Department with an allocation of approximately one million dollars annually and is subject to funds available.
This program intends to assist groups with obtaining treated water service to their property by extending waterlines utilizing District financing. These services include preliminary design, permitting, California Environmental Quality Act (CEQA) compliance, cost estimates, final design, bidding, financing, construction management, water meter installation, and establishing customer accounts.
DISTRICT FINANCED WATERLINE EXTENSION (DFWLE) PROGRAM
The DFWLE program was established for small groups of up to 40 parcels. This program assists the community by extending financing to participants for pipeline installation costs that can be paid back over 30 years. Eligibility for this program is established by property owners who form a group and submit a petition to the District that is reviewed by the Board of Directors, see flow chart.
The Engineering Department will review the potential service area to map which parcels could be served by the water line extension. This forms the DFWLE service area.
Approved groups are placed on a waiting list and worked on in the order in which they are received. A not-to-exceed cost for the project is estimated by the Engineering Department. The Board of Directors then reviews the cost estimates to determine the project's merits.
If greater than 50% of the potentially served properties pay a deposit and sign a funding agreement (Sample Funding Agreement DFWE), then the project agreements will be submitted to the Board of Directors for execution. Participating properties will provide an easement (if necessary) for these facilities at no cost to the District. Costs for developing a project are paid for by the District through Community Investment Program funding.
The District will bid and oversee the construction of the project through completion. Participating landowners will be required to extend their service lines from the water meter box to the residence at their cost. Once construction is complete, final costs will be reconciled, and the participant's payments will be based on actual project costs, up to the not-to-exceed estimate. If the actual project costs are more than the not-to-exceed estimate, the District will pay the overages.
Currently, the District will work on the following projects in sequence:
- Loma Rica Drive District Financed Waterline Extension
- Maranatha Place District Financed Waterline Extension
- Table Meadow Road Phase III District Financed Waterline Extension
- Ali Lane District Financed Waterline Extension
These projects are currently approved by the Engineering Committee for initial development, design, and cost estimates.
The District recently completed construction of the following District Financed Waterline Extension projects:
- Iron Horse District Financed Waterline Extension
- Table Meadow Drive Phase II District Financed Waterline Extension
HOW DO YOU GET STARTED WITH A PIPELINE PROJECT?
If you have a group of neighbors that have an interest in treated water, contact Shannon Wood, the District's Business Services Technician, at (530)-273-6185 ext. 240 or via email firstname.lastname@example.org. The District will work with you to review your options and to help develop a project. Including items such as preliminary engineering analysis and design, informational meetings, and cost analysis. It is our goal to help as much as possible to get treated water to you.
ASSESSMENT DISTRICTS (AD) AND COMMUNITY FACILITY DISTRICTS (CFD)
The AD and CFD programs are for larger projects and are typically funded using bond proceeds based on the property owner voting in self-imposed taxation. AD and CFD are two different types of taxing systems. These are significantly larger projects (more than 40 parcels). The costs of development, such as specialized engineering service and bond council, are not paid for by the Community Investment Program but are included in the bond for the project.
Due to the size and complexity, these projects require significant input from the residents/property owners. Costs are based on estimates, and if exceeded, the time of the bond is extended to recoup the cost. This type of financing system is also referred to as Mello-Roos financing.
The District has completed two successful projects using this system, Cement Hill CFD and the Rodeo Flat AD.
NEW FIRE HYDRANTS
The hydrants program reinvests infrastructure into the community through the installation of fire hydrants at strategic locations. Hydrants are installed on existing pipelines in areas already developed. Requests for new hydrants come from the local fire departments and are installed by the District's Maintenance Department as time and budget permit.
Fire hydrants installed with the DFWLE, AD, and CFD projects are paid for by the Community Investment Program and are installed at no cost to the participants of the projects.