HomeMy WebLinkAbout05.b. Receive update on the Septic-to-Sewer (S2S) Financing Program Page 1 of 5
Item 5.b.
CENTRAL SAN
March 22, 2022
TO: FINANCE COMMITTEE
FROM: HEATHER RAMAMURTHY, MANAGEMENT ANALYST
THOMAS BRIGHTBILL, SENIOR ENGINEER
REVIEWED BY: DANEA GEMMELL, PLANNING AND DEVELOPMENT SERVICES DIVISION
MANAGER
JEAN-MARC PETIT, DIRECTOR OF ENGINEERING AND TECHNICAL
SERVICES
ROGER S. BAILEY, GENERAL MANAGER
SUBJECT: RECEIVE UPDATE ON THE SEPTIC-TO-SEWER (S2S) FINANCING
PROGRAM
The attached presentation provides an update on the Septic-to-Sewer Financing Program.
Staff will present the material during the meeting and answer any questions. The presentation will also be
presented at a future Board of Directors meeting.
Strategic Plan re-In
GOAL ONE: Customer and Community
Strategy 1—Deliver high-quality customer service
ATTACHMENTS:
1. Presentation
March 22, 2022 Regular FINANCE Committee Meeting Agenda Packet- Page 135 of 141
Page 2 of 5
��•� SEPTIC-TO-SEWER INCENTIVE PROGRAM
w ONE YEAR LATER
Thomas Brightbill
Senior Engineer
Planning & Development Services Division
Finance Committee
March 22, 2022
SEPTIC-TO-SEWER PROGRAM
Encourage property owners to connect to the
public sewer system by offering low-interest
financing for all costs of septic conversion.
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March 22, 2022 Regular FINANCE Committee Meeting Agenda Packet- Page 136 of 141
Page 3 of 5
WORK ACCOMPLISHED
• Approximately 200 single family residences on septic with
an existing sewer main in close proximity were identified
• Board of Directors approved a 2-year pilot program on
February 18, 2021
• Staff developed internal processes, financing agreements, and
other materials
• First financing agreement signed on October 26, 2021
• A total of 7 agreements have been signed with an average
amount financed of $28,539
COSTS PAID
TO THIRD PARTIES ARE $653695
Central San Third-Party Total
Fees Costs
Financed
Financed Financed
$134,078 $65,695 $199,773
As of February 24,2022 '
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March 22, 2022 Regular FINANCE Committee Meeting Agenda Packet- Page 137 of 141
Page 4 of 5
SEVEN FINANCING AGREEMENTS HAVE BEEN SIGNED
7 Signed
Agreements
19 Inquiries
9 Active Discussions with
Property Owners
3 not resulting
in an agreement
As of February 24,2022
STAFF CONTINUES TO REFINE THE PROGRAM
• Homeowners having difficulty obtaining three competitive bids
• Short-term solution: waiver for single bids
• Long-term solution: working on communications and outreach to
contractors
• Customers still had questions after reading program materials
• Updating program materials
• Ultimately incorporate the improvements into targeted outreach
materials
• Initial processes with Financial Planning, Inspection, Permit
Counter have been established
• Finalizing processes with Finance to book receivables and process
annual payments received
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March 22, 2022 Regular FINANCE Committee Meeting Agenda Packet- Page 138 of 141
Page 5 of 5
CREDITS
• Program Development and Coordination: Heather Ramamurthy
• Inspection: Paul Kelly, Lance Miller, Daniel Napier
• Permit Counter: Kim Stahl, Kathrine Woolridge, Rigo Casarez
• Notaries: Kathleen Rodriguez, Nicole Crawford
• Accounting and Finance: Olivia Ruiz, Theresa McCauley, Amal Lyon,
Kate Grumbine
• Communications: Chris Carpenter, Ann Vallee, Charles Waltmire
• Leads and Templates: Russ Leavitt
• RSC: Jimmie Castillo
QUESTIONS?
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March 22, 2022 Regular FINANCE Committee Meeting Agenda Packet- Page 139 of 141