For all District Policies ———-
REIMBURSEMENT AND COMPENSATION POLICY
2.20.400 Eligible Travel Related Expenses. Employees and Directors traveling on District related business shall be eligible for reimbursement of travel expenses. Eligible travel related expenses shall include, but not be limited to, the following:
- Transportation on public carriers such as airplanes, trains, buses and taxi cabs;
- Private vehicle use and commercially available rental vehicles;
- Overnight lodging at commercial establishments;
- Meals at restaurants and other food service establishments;
- Conference and seminar fees and charges;
- Business related telephone calls, faxes, postage, copy charges and related incidentals;
- Tolls and parking fees
- Such other expenses approved by a majority of the Board of Directors.
2.20.410 Limitation on Reimbursable Expenses. Reimbursement for travel related expenses shall be for actual costs subject to the following limitations:
- Reimbursement for meals not covered as part of the event or hotel registration fee shall be limited to the following amounts: Breakfast – $12.00; Lunch – $15.00; Dinner – $25.00;
- Use of a personal vehicle: The current Internal Revenue Service (IRS) mileage rate for business travel shall be the only personal vehicle use expense eligible for reimbursement;
- Air and train travel shall be in an amount not to exceed the standard or coach fare;
- Entertainment or non-business related events or expenses not provided as part of the conference fee shall not be eligible for reimbursement;
- Alcoholic beverages are not eligible for reimbursement;
- Meals and/or lodging provided in a private home are not eligible for reimbursement;
- Travel related expenses for a spouse or companion shall not be eligible for reimbursement;
- Rental vehicle reimbursement shall not exceed the midsize vehicle rate.
2.20.420 Reimbursement Claim Required. Employees and Directors authorized to travel for District related business shall complete a claim form and provide supporting receipts in order to receive reimbursement. No reimbursement shall be made, unless a completed and signed claim form with corresponding receipts is submitted to the District office within ninety-days of travel.
2.20.430 Use of District Credit Card and Travel Advances. On approval of the General Manager a travel advance, or District credit card may be issued to an Employee or Director for travel. Travel advances shall not exceed an amount up to the estimated balance of expenses associated with the travel. Within ten (10) days of return from the function, the Employee or Director shall submit a claim with corresponding receipts for the travel. The General Manager shall reconcile the expenditures against District reimbursement policy and determine if any balance is due the District. The Employee or Director will reimburse the District within ten (10) days, or the balance will be taken from any compensation owed to the Employee or Director.
FINANCIAL AND OPERATING AND RESERVES POLICY
(Amended Resolution 2012-12)
3.09.150 Operating and Reserve Policy
The Rio Linda / Elverta Community Water District reserve policy is a financial policy guided by sound accounting principles of public fund management. The policy establishes several reserve funds to minimize adverse annual budgetary impacts from anticipated and unanticipated District expenses.
The adequacy of the target reserve year-end balance ranges and/or annual contributions will be reviewed annually during the budgeting and rate setting process and may be revised accordingly as necessary. The following District reserve fund categories are established:
3.09.151 Capital Improvement Fee Reserve
1.1. Purpose: To provide funds for the orderly and timely expansion of the District facilities to meet future demand and to maintain and/or improve the District’s existing level of service.
1.2. Target Balance: AB1600 does not designate a target reserve balance. A Government Code 66000 Compliance Report identifies the proposed capital projects necessary to maintain and/or improve services and the amount needed to fund those capital
projects. In accordance with Government Code 66000, the balance shall not exceed the amount specified by that law.
1.3. Methodology/Rational: Virtually all development that occurs within the District requires the use of District facilities, plant and equipment for public services. This fee is established to insure the adequacy and reliability of such facilities, plant and equipment as development of undeveloped land occurs.
1.4. Use of Funds: The funds generated by the fee will be used to acquire, replace and/or construct various capital facilities, plant and equipment for the provision of water, security and administrative services
1.5 Funding: Annual contributions from developer fees will depend upon new construction within the District. Additionally, interest earnings will be accrued on and added to fund balance, using the District’s earnings rate on investments. The District also currently contributes $20,000.00 per month into this fund from operating income.
3.09.152 Surcharge Account
2.1. Purpose: This account was created to pay off the 2010 SRF Loan of $7,499,045.00. This account will be closed after repayment of the loan 20 years from the project completion date.
2.2. Target Balance: The target balance increases and decreases with the construction project in progress. It will stabilize when the construction is complete and loan payment begins. Hence, there is currently no target balance.
2.3. Methodology/Rational: It has been determined by the State of California that the amount of $19.00 per connection per billing period should be sufficient for the repayment of their loan.
2.4. Use of Funds: The funds will be used for repayment of SRF loan.
2.5. Funding: a fee of $19.00 per billing cycle is charged to each active account and collected as a primary source of funds. A minimum of $80,320 per billing cycle is deposited until the loan is paid off.
3.09.153 Surcharge Reserve
3.1. Purpose: To establish a reserve as required by our 2011 SRF funding agreement # SRF111CX107.
3.2. Target Balance: The target balance is $481,917.00 which is equivalent to 2 semiannual loan payments.
3.3. Methodology/Rational: $88,352.00 was put into this reserve every billing cycle until the target balance was reached.
3.4. Use of Funds: The funds will not be used. They are to remain in this account until the loan is paid off per our loan agreement.
3.5. Funding: $88,352.00 is transferred into this account every billing cycle until it reaches its required amount.
3.09.154 2003 Water Revenue Refunding Bonds Reserve Fund 2032
4.1. Purpose: To establish a reserve as required by our 2003 Water Revenue Refunding Bonds
4.2. Target Balance: The target balance is $242,484.00 which is equivalent to 2 semiannual loan payments.
4.3. Methodology/Rational: This fund is already fully funded and no additional monies are being deposited.
4.4. Use of Funds: The funds will not be used. They are to remain in this account until the bonds are paid off per our bond agreement.
4.5. Funding: This fund is already fully funded and no additional monies are being deposited.
3.09.155. 2003 Debt Service Fund
5.1. Purpose: To make semiannual bond payments on the 2003 bonds in the amount of $3,970,000.
5.2. Target Balance: The amount equivalent to the amount payable on the bonds semi annually. There is approximately $240,000.00 due per year on this bond issue.
5.3. Methodology/Rational: The District deposits $20,000.00 per month in to this reserve from the Operating Fund in order to have sufficient funds to pay the bond payments when due.
5.4. Use of Funds: These funds are used exclusively to repay the 2003 Bond debt.
5.5. Funding: $20,000 per month is put into this account to build up enough money for payment of the bonds when due.
3.09.156 Operating Fund
6.1. Purpose: To ensure cash resources are available to fund daily administration, operations and maintenance of providing water, wastewater, security and drainage services.
6.2. Target Balance: A minimum of six months of cash to fund District expenditures.
6.3. Methodology/Rational: The District is required to have sufficient cash flow to meet the next six months of budgeted District expenditures (Government Code Section 53646(b)(3)). The next six months of projected cash revenues can be included as a
source of cash flow to satisfy this requirement. Revenues in excess of reserve contributions and expenditures resulting from expenditure savings or timing differences are also reflected in this fund.
6.4. Use of Funds: These funds will be used to pay for expenditures according to budget and expenditure authority.
6.5. Funding: Annual contributions will vary, depending upon other reserve requirements and current year expenditure requirements. Additionally, interest earnings will be accrued on and added to fund balance, using the District’s earnings rate on investments.
3.09.157 Trust Account
7.1. Purpose: To collect deposits for new customer accounts. These deposits are refunded after one year of timely payment on their account.
7.2. Target Balance: The balance on this account fluctuates with the number of customers that have deposits with the District.
7.3. Methodology/Rational: The District requires a $100.00 deposit for each parcel that is owned by a customer. There is a method of waiving the deposit. If the customer can provide us with a letter of credit from a current or previous utility provider that shows at least one year of history with no late payments or returned checks the deposit can be waived. If a deposit is required the deposit gets returned to their account after one year of timely payment or when they move. If there is a deposit balance after paying the final bill upon leaving the property it is refunded in the form of a check.
7.4. Use of Funds: These funds will be used to pay the final bill on an account if it is left unpaid when the owner moves away.
7.5. Funding: The District requires a $100.00 deposit for each parcel that is owned by a customer. If the customer can provide the District with a letter of credit from a current or previous utility provider that shows at least one year of history with no late payments or returned checks the deposit can be waived.
3.09.158 Secured Credit Card
8.1 Purpose: To provide a constant amount of money for the District credit cards to draw upon.
8.2. Target Balance: The balance on this account is $15,000.00.
8.3. Methodology/Rational: The District had no credit when the current Management went to obtain a credit card for the company. The only way a card could be secured was to have a constant balance set aside for the company credit cards to draw upon and reimburse monthly.
8.4. Use of Funds: These funds are used to pay credit card expenses and reimbursed monthly.
8.5. Funding: The District initially funded this account with the amount of $15,000.00.
3.09.159 LAIF GASB 45 Funding
9.1 Purpose: To provide a source of income to fund post retirement benefits.
9.2. Target Balance: An Actuarial study is performed every 3 years to determine the appropriate amount to include in this account.
8.3. Methodology/Rational: This will be determined when the actuarial study is done.
8.4. Use of Funds: These funds are to be used to fund post retirement benefits costs.
8.5. Funding: The income to fund this account will come from the Operating Fund.