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HomeMy WebLinkAbout03.02.23 WB Minutes Regular MtgBAKER FIELD THE SOUND OF ,5nw4e(L(utay Ve* MINUTES OF THE REGULAR MEETING OF THE WATER BOARD - CITY OF BAKERSFIELD Wednesday, March 2, 2023 - 11:00 a.m. Water Resources Conference Room 1000 Buena Vista Rd., Bakersfield, CA 93311 I. CALL TO ORDER Chairman Smith called the meeting to order at 11:12 a.m. 2. ROLL CALL Present: Chairman Smith, Member Freeman, Member Gonzales Absent: None 3. PUBLIC STATEMENTS - None 4. MINUTES A. Approval of the Minutes of the Special Meeting of February 15, 2023. Motion by Member Gonzales to approve the Minutes of February 15, 2023. UNANIMOUSLY APPROVED 5. KERN RIVER LEVEE DISTRICT - None 6. REPORTS - None 7. HEARINGS A. Domestic Water Rate Study and Proposed Domestic Water Rate Increase Water Board Chairman Smith announced this is the time and place for a public hearing regarding the Domestic Water Rate Study and Proposed Water Rate Increase for the City of Bakersfield. Chairman Smith turned it over to Daniel Maldonado, Assistant Water Resources Director, for staff's presentation. Daniel Maldonado introduced John Wright, who attended the meeting in person and Sudhir Pardiwala and Cleo Koening, who participated Bakersfield, California, March 2, 2023 - Page 2 via Zoom, from Raftelis Financial Consultants. The City of Bakersfield Water Resources Department contracted the services of Raftelis Financial Consultants to prepare a Domestic Water Rate Study and Proposed Domestic Water Rate Increase Study. Mr. Wright presented the Domestic Water Rate Study and Proposed Domestic Water Rate Increase model presentation for the next 5 years of a 7.5% rate increase in each year of FY 2024 -FY 2027 and a 4% rate increase in FY 2028. Chairman Smith opened the Public Hearing for comments. With no public comments, the Public Hearing was closed. Chairman Smith asked if there are any comments from the Board. Member Freeman requested an explanation of assumptions and inflation built into the Domestic Water Rate Increase financial model when brought before the full City Council. Member Gonzales requested Mr. Wright to clarify the drought rates and would like to see how rates were structured. Chairman Smith inquired about our debt service. Gary Hallen, Assistant City Manager clarified it was a bond with the County of Kern that was issued for 30 year at 1.3 million per year. Chairman Smith requested staff clarify what the City of Bakersfield received from the County of Kern. Member Freeman requested staff include a chart showing City of Bakersfield rates with the percentage increase compared to other cities when presenting presentation to the City Council. Motion by Member Freeman to front load rates between 9-10% the first year, 5% the next 5 years rate increase to City Council for approval on March 22, 2023. UNANIMOUSLY APPROVED 8. NEW BUSINESS - None 9. WATER BOARD STATEMENTS - None 10. CLOSED SESSION — None 11. CLOSED SESSION ACTION - None 12. ADJOURNMENT Chairman Smith adjourned the ,meeting at 12:13 p.m. �f Bob Smith, Chairman City of Bakersfield Water Board KiInberly Ale n, Secretary City of Bakersfield Water Board