1. Orange County Sanitation District Infrastructure Committee Update OCBC – Aug 9, 2011 Nick Arhontes, P.E. Director of Facilities Support Services Orange County Sanitation District www.ocsd.com Nick Arhontes, P.E. Director of Facilities Support Services Orange County Sanitation District www.ocsd.com

2. Key Initiatives InfrastructureWorkforce Housing Workforce DevelopmentEconomic Development

3. Strategic Initiatives ORANGE COUNTY SANITATION DISTRICT Environmental StewardshipBusiness Principles Wastewater ManagementWorkplace Environment

4. OCSD Infrastructure

5. Orange County Pacific Ocean Ocean Outfall Reclamation Plant No. 1 Treatment Plant No. 2 Newport Beach Fountain Valley Santa Ana Los Alamitos Buena Park Fullerton Tustin Garden Grove La Habra Brea Placentia Yorba Linda Anaheim Orange La Palma Cypress Westminster Irvine Stanton Villa Park Costa Mesa Huntington Beach Seal Beach 463square miles 207million gallons per day 2.6million population 21cities, 3 special districts OCSD Service Area

6. Plant 2 Pacific Ocean Ocean Pipeline Plant 1 27 Local Satellite Systems ~5,000 miles sewers ~109 pump stations OCSD System OCSD Regional System 587miles sewers 15 pump stations 18 urban runoff diversions 2 treatment plants 2 Outfalls

7. Orange County Sanitation District regional wastewater treatment system Reclamation Plant No. 1 Fountain Valley Treatment Plant No. 2 Huntington Beach

8. 200 Feet Deep ocean bottom (16 story bldg) 14 ¼ Huntington Beach Piers (5 miles) 503 diffuser portals Ocean Outfall 10-Foot Diameter Pipe

9. OCSD Strategic Planning Process

10. Core Values Mission Vision Board of Directors Level of Service Assessment of Risks Goals 5-Year Strategic Plan Annual Business Plans Business Accountability Charters Staffing Plan Financial Plan Facilities Master Plan Asset Management Plan

11. OCSD’s Mission “We protect public health and the environment by providing effective wastewater collection, treatment, and recycling.”

12. Strategic Initiatives Environmental Stewardship BusinessPrinciples Business Principles Workplace Environment Wastewater Management

13. Environmental Stewardship Goals SARI Line Relocation Engine Emission Compliance Carbon Foot Print Inventory Fuel Cell Evaluation Levels of Service Respond to odor complaints within 1 hour for plants / 1 day for sewers Odor complaints under 70 annually for all facilities Respond to sewer spills within 1 hour 4 mgd of urban runoff with no fees

14. Business Principles Goals Full-cost recovery for Urban Runoff Program (new) Local sewer services transferred back to satellite sewer system owners Levels of Service Respond to public inquiries about construction 1 day New construction permits processed 1 day

15. Wastewater Management Goals Sustainable Biosolids Program Disinfection of Final Effluent Odor Control – maintain schedule with planned improvements Levels of Service Meet GWRS specification water requirements Provide up to 104 mgd to GWRS 100% compliance with industrial pretreatment requirements Meet secondary treatment levels by 2012 Contain sewer spills within 5 hours Recycle more than 95% of Biosolids

16. Workplace Environment Goals Ongoing Leadership Development Maintain a Safe Workplace Levels of Service Simplify succession management process Develop a leadership development program 45 hour of training per year/employee 100% mandatory OSHA training requirements Maintain industry average or lower for accidents 2.5 work days or less lost or away from work

17. Asset Management Plan is our long-range planning document that provides a framework to understand a utility’s:  Inventory and condition of physical assets  Present and future demands for rehabilitation and replacement  Estimated short- and long-term financial needs

18. Asset Management Systems Summaries  Collections System  Preliminary Treatment  Primary Treatment  Secondary Treatment  Solids Handling  Utilities  Central Power Generation System  Ocean Outfall

19. Long-term Sustainability 200820202040206020802100 – $12 B – $10 B – $8 B – $6 B – $4 B – $2 B – $0 B $800 M – $400 M – – $200 M – – $0 M – – $600 M – – Cost Asset Value Average Expenditure $411 Million per year Operations / Maintenance / Overhead CIP Predicted Future CIP

20. OCSD Adequate Future Revenue

21. Annual CIP Budget Validation Process OCSD Resources Cash Flow Program Rates Risks & Impacts to OCSD New Information (Strategic Plan) Analysis 2 Year Budget 2 Year Budget Revised CIP Revised CIP

22. Projected CIP Budget Fiscal Year Current Budget Past (spent) Budgeted Projects Future

23. Rates will continue to increase SFR Rate of Increase Single Family Residence Rate Increase

24. Comparison of SFR Rates (July 2010) Comparison Agencies $141 $244 $613 LACSD IRWD OCSD Oro Loma Fresno Sacramento East Bay MUD Union Central Contra Costa Dublin City of LA Vallejo San Francisco San Diego Dollars per Year

25. Expenditures:FY 11-12 Operating ($1,993 mg)$155 M (38%) CIP$129 M (32%) Debt Service $ 92 M (23%) Other Agency$ 30 M ( 7%) Total Expenditures$406 M Revenues:FY 11-12 Fees and Charges$267 M (72%) General Income$ 75 M (20%) Other / Interagency$ 30 M( 8%) Debt Financing Proceeds $ 0 M ( 0%) Total Revenues$372 M FY 11-12 Adopted Budget

26. Key Operating Expenses  Transportation More biosolids result in an increase in hauling costs  Chemicals Decrease in usage, but increases in unit costs  Energy Usage exceeds generation – unit costs continue to increase  Labor Although staffing is flat, labor costs will increase

27. Construction ProjectsStartFinish 1. Plant No. 1 – FV2007Fall 2011 2. Plant No. 2 – HB2005Spring 2012 3. Bitter Point PSSummer 2009Spring 2012 4. Rocky Point PSDec 2009Fall 2011 5. Dover Trunk Sewer Spring 2011 Winter 2013 6. Balboa Trunk SewerFall 2011Summer 2013 7. Newport Force Main Fall 2012 Spring 2013

28. OCSD Current Challenges

29. Workforce Development  Simplified Succession Planning  Leadership Academy  Coaching / Mentoring  Job Shadow / Job Rotation  Webinars and Brown Bag Learning  Talent Exchange Program

30. Completed – 53 linear miles  Santa Ana, Anaheim, Orange  Irvine Ranch Water District  Costa Mesa Sanitary District Current – 201 linear miles  Tustin, Orange, Newport Beach Future  Huntington Beach, Fullerton, Santa Ana Transfer Local Sewers

31. Energy Sustainability  Utilize renewable fuels  Fuel cell demonstration project with hydrogen fueling station

32. Biosolids Management  27 trucks / day = 246,000 tons / year  EnerTech Rialto Project  Landfilling is a lower cost option  Beneficial reuse is desirable

33.  Currently sending 90-96 mgd to OCWD  Storage for low flow periods  Not enough sewage Groundwater Replenishment System

34. Healthy Beaches, Clean Ocean  Full secondary treatment by 2012  Disinfection and declorination continues for now  Reevaluate no charge Urban Runoff Program

35. OCSD Staying Connected

36. Benefits of Social Media  Be more transparent  Better engage the public  Identify stakeholder networks  Quicker response time

37. @ OCSanitationDistrict @OCSD_PIO on Channel 2OCSD www.OCSD.com

39. Sign up thru E-NOTIY to get more information sent directly to you

40. Vendor can register Online thru PLANETBID

41. All job application must be received Online thru NEOGOV

42. Over 2,000 visitors this year!

45. 1,066,000 people over 18 years of age are on in our service area!

46. Example: OC Grand Jury Grand Jury posts report on “Special District Compensation” Within 1 hour we responded with message points on Twitter, Facebook, Posterous, www.ocsd.com and MyOCSDwww.ocsd.com

47. Immediate Response

48. Direct Response to the Public Provide Access to Information

49. It puts a human face on government It’s fast! It’s where the conversation is happening! Social Media

50. Key Initiatives InfrastructureWorkforce Housing Workforce DevelopmentEconomic Development

51. Nick Arhontes, P.E. Director, FSSD (714) 593-7210 narhontes@ocsd.com Nick Arhontes, P.E. Director, FSSD (714) 593-7210 narhontes@ocsd.com Thank You! Questions?