09-26-2022 BPU RPT 11 - Laserfiche WebLink

Home

RIVERSIDE PUBLIC UTILITIES Board Memorandum BOARD OF PUBLIC UTILITIES DATE: SEPTEMBER 26, 2022 SUBJECT: GAGE CANAL COMPANY CAPITAL EXPENDITURE BUDGET FOR FISCAL YEAR 2022/23 ISSUE: Ciscal Year 2022/23 and consider the formation of an ad hoc committee to discuss the sharing of costs for capital expenditures by all Gage Canal Company shareholders. RECOMMENDATIONS: That the Board of Public Utilities: 1. Recommend that the City Council approve the Gage Canal Company capital expenditure budget for Fiscal Year 2022/23; and 2. Consider forming an Ad Hoc Committee to discuss the sharing of costs for capital expenditures by all Gage Canal Company shareholders, including the City, to address the significant long-term costs associated with major improvements to facilities, with a deadline to complete and report back to the Board of Public Utilities by March 27, 2023. BACKGROUND: As part of Section 15 of the Agreement for Operation of Gage Canal Facilities (Agreement) the budget to the City for approval. In past years, this approval was done administratively by the Utilities General Manager. In August 2022, Both the Board of Public Utilities and the City Council are presented the budget and given the opportunity to approve the budget. However, required by the City in order for the Company to perform the capital expenditures. By the time the Company submits the capital expenditure budget to the City, it may have already been developed, vetted, of the 11 Board of Directors are filled by the Utilities General Manager and two members of the Board of Public Utilities. This ensures City representation in the development