Seaside County Sanitation District

SEASIDE COUNTY SANITATION DISTRICT AGENDA REGULAR MEETING Seaside Council Chamber 440 Harcourt Avenue Tuesday, July 14, 2026 9:30 AM Virtual Participation Guide: https://www.ci.seaside.ca.us/129/City-Council-Committee-Agendas https://ci-seaside-ca-us.zoom.us/j/88922218260 | Webinar ID 889 2221 8260 | 1-669-900-9128 1. CALL TO ORDER 2. ROLL CALL - SANITATION DISTRICT BOARD OF DIRECTORS Ian N. Oglesby Chair Jerry Blackwelder First Vice Chair John Uy Second Vice Chair 3. REVIEW OF AGENDA If there are any items that arose after the 72-hour posting deadline, this is the point in the meeting where a vote may be taken to add the item to the agenda. (A 2/3- majority vote is required). 4. PUBLIC COMMENT Members of the public wishing to address the Seaside County Sanitation District on matters within the jurisdiction of the Board, but not on this agenda, may do so during Public Comment period for up to two minutes. Public Comments on specific agenda items are heard under that item. For the public record, please state your name. 5. PRESENTATION A. PRESENTATION RECOGNIZING FIRST VICE CHAIR JERRY BLACKWELDER FOR HIS DEDICATED SERVICE TO THE SEASIDE COUNTY SANITATION DISTRICT 6. CONSENT AGENDA A. APPROVE MINUTES FROM JUNE 9, 2026, REGULAR MEETING Packet Page 1  B. RECEIVE SEASIDE COUNTY SANITATION DISTRICT OPERATIONS REPORT FOR JUNE 2026 PURPOSE: Receive Seaside County Sanitation District operations report for June 2026. RECOMMENDATION: Accept reports. This item is presented for information only. C. RE-ADOPTION OF THE FISCAL YEAR 2026-27 BUDGET PURPOSE: Re-adopt the Fiscal Year 2026-27 Budget to clarify the presentation of Capital Improvement Program appropriations. No changes are made to the approved budget or fund balance. RECOMMENDATION: Adopt a Resolution re-adopting the Fiscal Year 2026-27 Budget to clarify the presentation of Capital Improvement Program expenditures. This action is administrative only and does not change the District's budget or fund balance. 7. NEW BUSINESS A. AN ORDINANCE TO AMEND SECTION 4.15.010 OF THE SEASIDE COUNTY SANITATION DISTRICT CODE TO AUTHORIZE THE ASSESSMENT OF PROPORTIONAL CAPACITY FEES FOR ACCESSORY DWELLING UNITS IN COMPLIANCE WITH CALIFORNIA GOVERNMENT CODE SECTION 66013 [SECOND READING - ROLL CALL VOTE] PURPOSE: Hear the second reading of the draft ordinance and adopt the ordinance RECOMMENDATION: Open the Public Hearing and introduce the proposed Ordinance for adoption. 8. UPDATES FROM STAFF This is a time specifically set aside for Staff to provide updates on non-agendized requests from the Board, and to provide brief information on topics under the purview of the Board. The Board may wish to ask questions or discuss a staff update, but no action is appropriate other than referral to staff, or request that a matter be set as a future Agenda item. 9. COMMENTS FROM BOARD MEMBERS 10. ADJOURNMENT Seaside County Sanitation District REGULAR Meeting July 14, 2026 9:30 AM Agenda Page 2 Packet Page 2  Next Regularly Scheduled Meeting: August 11, 2026 9:30 AM The Laguna Grande Regional Joint Powers Authority is committed to providing accessible facilities and accommodating people with disabilities in all of its services programs and activities. If special considerations are needed by any person to fully participate in this meeting, contact the Seaside City Clerk at 899-6707 no fewer than two business days prior to the meeting to allow reasonable arrangements. The City Council chamber is equipped with a portable microphone and assisted listening devices are available at all meetings. Agenda-related writings or documents provided during public meetings are available for public inspection during the meeting or from the office of the City Clerk. This agenda is posted in compliance with California Government Code Section 54954.2(a) or Section 54956. Seaside County Sanitation District REGULAR Meeting July 14, 2026 9:30 AM Agenda Page 3 Packet Page 3  DRAFT MINUTES SEASIDE COUNTY SANITATION DISTRICT Tuesday, June 9, 2026 9:30 AM REGULAR MEETING Seaside Council Chamber 1. CALL TO ORDER Chair Oglesby called the meeting to order at 9:30 a.m. 2. ROLL CALL - SANITATION DISTRICT Present: Ian N. Oglesby, John Uy Absent: Jerry Blackwelder Later Present: Mary Ann Carbone (Sand City's Alternate), arriving prior to New Business. 3. REVIEW OF AGENDA None. 4. PUBLIC COMMENT Public comment was opened and closed with no speakers. 5. CONSENT AGENDA On motion by Second Vice Chair Uy, seconded by Chair Oglesby, and passed by the following vote, the Seaside County Sanitation District Board approved the Consent Agenda as presented. RESULT: 2-0-0-1 AYES: John Uy, Ian N. Oglesby NOES: None ABSTAIN: None ABSENT: Jerry Blackwelder A. APPROVE MINUTES FROM MAY 19, 2026, SPECIAL MEETING Action: Approved B. APPROVAL OF JANUARY 2026 THROUGH MARCH 2026 EXPENDITURES REPORT AND APPROVE A DRAWDOWN REQUEST OF $333,293.19 Packet Page 4  Action: Approved C. RECEIVE SEASIDE COUNTY SANITATION DISTRICT OPERATIONS REPORT FOR MAY 2026 Action: Received 6. NEW BUSINESS A. AN ORDINANCE TO AMEND SECTION 4.15.010 OF THE SEASIDE COUNTY SANITATION DISTRICT CODE TO AUTHORIZE THE ASSESSMENT OF PROPORTIONAL CAPACITY FEES FOR ACCESSORY DWELLING UNITS IN COMPLIANCE WITH CALIFORNIA GOVERNMENT CODE SECTION 66013 [FIRST READING] Patrick Grogan, Associate Engineer, presented the proposed ordinance. Board discussion included comments submitted by Sand City engineering staff, confirmation that member agencies had sufficient opportunity to review the ordinance, clarification regarding proportional capacity fee calculations, and ensuring applicants are informed of applicable fees before beginning ADU projects. Legal Counsel clarified that the capacity fee is based on impacts to the sewer system and is not a revenue-generating fee. Public comment was opened and closed with no speakers. On motion by Alternate First Vice Chair Carbone, seconded by Second Vice Chair Uy, and passed by the following roll call vote, the Board introduced the ordinance for first reading. RESULT: Approved AYES: John Uy, Mary Ann Carbone (Alternate District Member), Ian N. Oglesby NOES: None ABSTAIN: None ABSENT: Jerry Blackwelder B. ADOPT A RESOLUTION APPROVING THE BROADWAY AVENUE SEWER UPGRADES PLAN Leslie Llantero, Assistant Engineer, presented the staff report. Discussion included the remaining District fund balance (approximately $1.7 million), adequacy of reserves for near-term capital improvement projects and emergencies, the lack of additional funding sources, administration of the Packet Page 5  project contingency, the reimbursement process with the City of Seaside, and the long-term necessity of the Broadway Avenue Sewer Upgrades project. Public comment was opened and closed with no speakers. Prior to the vote, Chair Oglesby stated that District projects should be prioritized based on infrastructure need rather than geographic distribution among member agencies. Alternate First Vice Chair Carbone reaffirmed support for the Broadway Avenue project. On motion by Second Vice Chair Uy, seconded by Alternate First Vice Chair Carbone, the Board adopted the resolution. RESULT: Approved AYES: John Uy, Mary Ann Carbone (Alternate District Member), Ian N. Oglesby NOES: None ABSTAIN: None ABSENT: Jerry Blackwelder 7. UPDATES FROM STAFF None. 8. COMMENTS FROM BOARD MEMBERS Second Vice Chair Uy thanked staff for their work. Alternate First Vice Chair Carbone reiterated support for the Broadway Avenue project and clarified there were no concerns regarding distribution of District projects among member agencies. Chair Oglesby reminded Legal Counsel that there were documents requiring signature. 9. ADJOURNMENT On motion, the meeting was adjourned at 10:18 a.m. Respectfully Submitted, ______________________________ ___________________________ Rosa Salcedo, District Clerk Ian N. Oglesby, Chair Packet Page 6  SEASIDE COUNTY SANITATION DISTRICT Item No.: 6.B. STAFF REPORT TO: Seaside County Sanitation District FROM: Greg McDanel, District Manager BY: Patrick Grogan, Associate Engineer Aaron Hahn, Junior Engineer Thomas Korman, Public Works Director/City Engineer DATE: July 14, 2026 SUBJECT: RECEIVE SEASIDE COUNTY SANITATION DISTRICT OPERATIONS REPORT FOR JUNE 2026 PURPOSE Receive Seaside County Sanitation District operations report for June 2026. RECOMMENDATION Accept reports. This item is presented for information only. BACKGROUND Attached is the Seaside County Sanitation District Operations Report and flush map for June 2026. FISCAL IMPACT There is no fiscal impact associated with this item. ATTACHMENTS 1. Flush map June 2026 Packet Page 7 2. Monthly Sanitation Report June 2026 Reviewed for Submission to the Board by: __________________________________ Greg McDanel, District Manager Item No. 6.B. Page 2 of 2 Packet Page 8 Packet Page 9  Seaside County Sanitation District Operations Report Fiscal Year 2025/2026 Month of June Del Rey Oaks Sand City Seaside District Totals (42,240) (26,400) (316,800) (385,440 ft.) Month YTD Month YTD Month YTD Month YTD Maintenance Mainline Rodded 0 0 0 0 0 0 0 0 Main Line Jetted 530 38,564 277 17,538 51,614 448,476 52,421 504,578 Main Line Video 0 726 0 0 103 14,771 103 17,256 Main Lines Treated for Grease Control (Jet 530 4,969 277 3,324 7,323 78,180 8,130 86,473 Power II) Mainline Root Treatment 0 2,185 0 0 0 22,694 0 24,879 Stoppages Main Line 0 0 0 0 0 2 0 2 Laterals 0 0 0 0 0 5 0 5 SSO's 0 1 0 0 0 3 0 4 Sewer Repairs None Sewer Video due to blockage/repairs None Stoppage Locations Del Rey Oaks Sand City Seaside None None None Overflow Locations Del Rey Oaks Sand City Seaside None None None Packet Page 10  SEASIDE COUNTY SANITATION DISTRICT Item No.: 6.C. STAFF REPORT TO: Seaside County Sanitation District FROM: Greg McDanel, District Manager BY: Jessica Riley, Finance Director DATE: July 14, 2026 SUBJECT: RE-ADOPTION OF THE FISCAL YEAR 2026-27 BUDGET PURPOSE Re-adopt the Fiscal Year 2026-27 Budget to clarify the presentation of Capital Improvement Program appropriations. No changes are made to the approved budget or fund balance. RECOMMENDATION Adopt a Resolution re-adopting the Fiscal Year 2026-27 Budget to clarify the presentation of Capital Improvement Program expenditures. This action is administrative only and does not change the District's budget or fund balance. BACKGROUND Following adoption of the Fiscal Year 2026-27 Budget, staff identified that the Capital Improvement Program schedule included budgeted expenditures for both new FY 2026- 27 capital projects and prior-year capital projects that are expected to continue into FY 2026-27. To improve the clarity of the budget document, the Capital Improvement Program schedule has been revised so that the FY 2027 Proposed Budget column reflects only the new capital projects approved for FY 2026-27. This is an administrative clarification only and does not change the District's total budget, appropriations, transfers, or projected fund balance. FISCAL IMPACT Packet Page 11 There is no fiscal impact associated with this action. The proposed revision is an administrative clarification only and does not increase or decrease budgeted expenditures, available funding, or the District's projected fund balance that were previously approved. ATTACHMENTS 1. 2026-27 Sanitation District Budget - revised 20260714 2. SCSD FY2026-2027 Budget Resolution - 20260714 Reviewed for Submission to the Board by: __________________________________ Greg McDanel, District Manager Item No. 6.C. Page 2 of 2 Packet Page 12 Seaside County Sanitation District Proposed Budget 2026-2027 Fiscal Year Packet Page 13  BUDGET DETAIL Introduction: The Seaside County Sanitation District (SCSD) is a special district responsible for the maintenance and operation of the sanitary sewer collection system serving the Cities of Del Rey Oaks, Sand City and Seaside. The District’s sanitary sewer collection system serves an area of approximately 2,400 acres with a population of about 30,000. The sewer system consists of approximately 70 miles of pipeline with 930 manholes, 475 rod holes, and 4 lift stations. The wastewater is ultimately pumped to the Monterey Regional Water Pollution Control Agency (MRWPCA) regional treatment plant. All billing for SCSD comes from MRWPCA. The district is staffed almost entirely by staff members from the City of Seaside. City staff provide administrative services, accounting services, IT services, risk management, maintenance, engineering services, purchasing and contract management. Staff time is allocated to the district through use of the City of Seaside payroll system. One exception is the District’s Legal Counsel, who is an employee of the County of Monterey. DISTRICT BOARD TITLE NAME CI TY R E PR E SEN TI NG Chair Ian Oglesby City of Seaside First Vice Chair Jerry Blackwelder City of Sand City Second Vice Chair John Uy City of Del Rey Oaks DISTRICT STAFF TITLE NAME District Manager Greg Mcdanel Legal Counsel Reed W. Gallogly District Engineer Thomas Korman District Finance Director Jessica Riley District Clerk Dominique Davis District Executive Assistant Rosa Salcedo Packet Page 14  BUDGET DETAIL BUDGET SUMMARY SCSD GENERAL FUND - ADMINISTRATION / OPERATIONS Funds 951 & 954 2026-27 Proposed Budget Total Revenues $ 2,973,726 Total Operating Expenditures 2,391,734 Operating Surplus / (Deficit) 581,992 New Capital Projects for 2026-27 3,200,000 Encumbrances for Ongoing Capital Projects from 2025-26 (866,015) Capacity Fee Charges 38,433 One-Time Transfer Out to Capital Projects/ Capital Outlay 3,250,000 Addition To / (Use Of) Unrestricted Net Position (2,629,575) Beginning Unrestricted Net Position - Estim ated 7,324,627 Ending Unrestricted Net Position - Estim ated $ 4,695,052 SCSD CAPITAL IMPROVEMENT Funds 952 & 953 2026-27 Proposed Budget Capacity Fee Charges $ 38,433 Total Transfers In From Operating Fund 3,250,000 Total Revenues and Transfers In 3,288,433 Total New Capital Expenditures 2026-27 3,250,000 Addition To / (Use Of) Restricted Net Position - Capital Projects (38,433) Beginning Restricted Net Position - Capital Projects - Estim ated 0 Ending Restricted Net Position - Capital Projects - Estim ated $ - Packet Page 15  BUDGET DETAIL Fund Balance The District’s fund balance is projected to decrease in fiscal year 2026–27 due to ongoing capital projects that began in 2025–26, as well as three additions to capital projects planned for the fiscal year 2026-27. Over the past three fiscal years, the fund balance grew steadily through June 30, 2025, as capital expenditures were reduced while the District focused on developing a comprehensive Sewer Master Plan. For fiscal year 2026–27, the largest portion of the fund balance is the Net Investment in Capital Assets, projected at $10.1 million. In addition, $3.2 million is the proposed to be restricted for new capital project spending, and the unrestricted fund balance is expected to be $4.6 million. Revenue The Sanitation District has three main sources of revenue; User Fees, Property Tax and Interest Income. Total Revenue is projected at $3.0 million. Packet Page 16  BUDGET DETAIL User Fees are collected from the end users of Sanitation District services by the County of Monterey and then reimbursed to the City of Seaside to cover District costs. Over the past year, fees have increased modestly by 1% due to additional connections from new development. While rates are assumed to remain unchanged in this budget, proposed adjustments could result in residential customers paying just over $3 more per month. User Fees continue to be the District’s largest revenue source, accounting for 70% of projected revenue, and are forecast at $2.1 million for fiscal year 2026–27. Property Taxes are collected by the County of Monterey and remitted to the City of Seaside for District costs. This revenue has grown steadily by about 1% annually and is projected at $710K for the coming year. Interest Income is earned on funds held by the City of Seaside in trust for the District. Although interest rates have recently increased, the District’s decreasing unrestricted fund balance— driven by larger capital improvement projects—means that interest income is still expected to decline. Expense The Sanitation District has both Operating Expenses and Capital Improvement Expenses. For FY 2026-27 Operating expenses are proposed at $2.4 million and Capital Improvement Expenses are proposed at $3.2 million. Total new expenditures are budgeted at $5.6 million and $866K is the amount of budgeted capital expenditures for multi-year capital projects budgeted in FY 2025-26 that is likely to be completed in FY 2026-27. Operating; The major categories of operating expense include, personnel costs, administrative overhead allocation and services and supplies. Personnel costs are proposed at $1.1M and include 6.19 full time equivalent (FTE) employees. These FTE are the district’s 4.5 maintenance personnel, 1 Engineer Inspector, 0.25 for a Senior Engineer, and 0.44 Administrative personnel. The administrative allocation includes personnel costs for administrative staff as well as overhead such as office space, office utilities costs, computer costs, fleet maintenance etc. The administrative allocation is budgeted at $281k and comes from the City of Seaside Cost Allocation Plan. Services and supplies are budgeted at $544k. Packet Page 17  BUDGET DETAIL Capital Improvement; Following the completion of a major $8 million overhaul of the District’s system of lift stations in FY 2021–22, capital expenditures have been reduced over the following four years. During this period, the District also focused on developing a comprehensive Sewer Master Plan to guide future infrastructure investments. The following list includes the capital projects that were budget for FY 2025–26 and the percent projected to be completed by June 30, 2026:  Sewer Master Plan - $412,633 – 25% complete  Sewer Main Root Intrusion - $337,387 – 25% complete  Sewer Pipe Replacement Program – $150,000, 50% complete  Manhole Improvement Projects – $250,000, 50% complete  Broadway Avenue Sewer Upgrade – $115,000, 10% complete For FY 2026–27, the District proposes the following additional capital improvement projects:  Sewer Pipe Replacement Program – $200,000  Manhole Improvement Project – $1,000,000  Del Rey Park Sewer Upgrade – $2,000,000 Detailed descriptions of each project can be found at the end of this document. Packet Page 18  BUDGET DETAIL MANAGING DEPARTMENT: Public Works/Engineering Sanitation District Gen. Fund - Administration FY 2 0 2 6 Ac tivity FY 2 0 2 7 FY 2 0 2 5 FY 2 0 2 6 Ac c ount Ac c ount Na me Adjuste d thru P ropose d Ac tua l P roje c te d Budge t 02/23/2026 Budge t 951-8810-0001 SALARIES $ 33,476 $ 13,398 $ 20,314 $ 32,244 $ 65,473 951-8810-0002 OVERTIME 85 500 147 233 500 BENEFITS 17,951 10,800 9,442 11,018 43,888 951-8810-1022 LEGAL SERVICES 17,680 40,000 7,938 12,803 40,000 951-8810-1025 CITY AUDIT - 10,000 - 10,000 10,000 951-8810-1029 TRAINING AND EDUCATION - 5,000 3,323 5,360 5,000 951-8810-1030 CONSULTANT 7,641 80,000 4,975 8,024 80,000 951-8810-1033 FITNESS PROGRAM 48 100 6 9 59 951-8810-1040 PROPERTY TAX ADMIN FEES 2,482 2,600 - 2,600 2,600 951-8810-1045 WASTE DISCHARGE FEE - 4,000 - 4,000 4,000 951-8810-2053 OUTSIDE PRINTING SERVICE - 1,000 - - 1,000 951-8810-2063 PUBLISHING & LEGAL ADVERTISING - 1,000 - - 1,000 951-8810-2078 OTHER EXPENSE - 500 - 500 500 951-8810-3095 DEPARTMENT CONSUMABLES - 2,000 326 526 3,000 951-8810-4121 MEETINGS AND TRAVEL - 500 - 500 500 951-8810-5132 TELEPHONE - 2,000 - 2,000 2,000 951-8810-9196 IMPACT FEES 283,071 300,000 290,480 468,515 297,373 CENTRAL SERVICES AND INTERNAL CHARGES 542,788 443,435 443,435 443,435 367,246 Total $ 905,222 $ 916,834 $ 780,386 $ 1,001,769 $ 924,138 Packet Page 19  BUDGET DETAIL MANAGING DEPARTMENT: Public Works/Engineering Sanitation District Gen. Fund - Operations FY 2 0 2 6 Ac tivity FY 2 0 2 7 FY 2 0 2 5 FY 2 0 2 6 Ac c ount Ac c ount Na me Adjuste d thru P ropose d Ac tua l P roje c te d Budge t 02/23/2026 Budge t 951-8820-0001 SALARIES $ 221,931 $ 338,555 $ 170,764 $ 271,053 $ 567,267 951-8820-0002 OVERTIME 3,424 48,265 3,359 5,331 61,928 BENEFITS 256,067 254,208 169,602 220,683 413,102 951-8820-1029 TRAINING AND EDUCATION 14,182 20,000 1,677 2,704 20,000 951-8820-1030 CONSULTANT - 20,000 - 20,000 20,000 951-8820-1033 FITNESS PROGRAM 31 200 13 21 683 951-8820-2049 UNIFORM SERVICE / LAUNDRY 3,220 4,000 2,447 3,946 4,000 951-8820-2054 EQUIPMENT REPAIR 2,426 20,000 - 2,222 20,000 951-8820-2068 REFUSE DISPOSAL 1,886 8,000 - 8,000 8,000 951-8820-2073 SUBCONTRACTED WORK 102,806 120,000 30,024 48,426 120,000 951-8820-3095 DEPARTMENT CONSUMABLES 26,278 40,000 7,114 11,474 50,000 951-8820-3097 SAFETY EQUIPMENT 3,442 3,500 3,183 5,133 3,500 951-8820-3102 COMPUTER SUPPLIES 8,353 5,000 35 56 5,000 951-8820-4121 MEETINGS AND TRAVEL 1,200 5,000 200 323 5,000 951-8820-4122 DUES AND MEMBERSHIPS 7,149 10,000 7,283 7,283 10,000 951-8820-5131 GAS AND ELECTRIC 17,715 16,000 9,453 15,247 16,000 951-8820-8187 DEPARTMENT EQUIPMENT 19,227 50,000 128 207 60,000 951-8820-8198 FOG PROGRAM 17,127 11,348 3,817 6,156 3,000 CENTRAL SERVICES AND INTERNAL CHARGES 22,404 28,554 28,554 28,554 48,713 Total $ 728,867 $ 1,002,631 $ 437,652 $ 656,822 $ 1,436,193 MANAGING DEPARTMENT: Public Works/Engineering Sanitation District Cap. Outlay - Operations FY 2 0 2 6 Ac tivity FY 2 0 2 7 FY 2 0 2 5 FY 2 0 2 6 Ac c ount Ac c ount Na me Adjuste d thru P ropose d Ac tua l P roje c te d Budge t 02/23/2026 Budge t 952-8820-8198 SCSD STANDARDS PLANS $- $ 50,000 $- $ 50,000 $ 50,000 Total $ 67,571 $ 50,000 $- $ 50,000 $ 50,000 Packet Page 20  BUDGET DETAIL MANAGING DEPARTMENT: Public Works/Engineering Sanitation District Cap. Improvement - Operations FY 2 0 2 6 Ac tivity FY 2 0 2 7 FY 2 0 2 5 FY 2 0 2 6 Ac c ount Ac c ount Na me Adjuste d thru P ropose d Ac tua l P roje c te d Budge t 02/23/2026 Budge t 953-8820-9203 ANGELUS WAY SEWER MAIN UPGRADE $ 3,460 $- $- $- $- 953-8820-9215 ROOT INTRUSION SWR MAIN RPLC - 337,387 - 84,347 - 953-8820-9216 SEWER MASTER PLAN 29,826 412,633 - 103,158 - 953-8820-9219 SEWER LATERAL PROGRAM - 75,000 - - - 953-8820-9315 SEWER PIPE REPLACEMENT PROGRAM - 150,000 - 75,000 200,000 953-8820-9316 MANHOLE IMPROVEMENT PROJECTS - 250,000 - 125,000 1,000,000 953-8820-9317 HILBY AVENUE SEWER UPGRADE - 400,000 - - - 953-8820-9318 BIRCH AVENUE SEWER UPGRADE - 800,000 - - - 953-8820-9319 BROADWAY SEWER REPLACEMENT - 115,000 - 11,500 - 953-8820-9320 DEL REY PARK SEWER UPGRADE - - - - 2,000,000 953-8820-9603 DEPRECIATION EXPENSE 292,627 - - - - 953-8930-2078 OTHER EXPENSE ($ 600) $- $- $- $- Total $ 325,313 $ 2,540,020 $- $ 399,005 $ 3,200,000 Note: The FY 2027 Proposed Capital Expenditures Includes $866K of Budgeted Capital Expenditures That Were Added in FY 2026 And Still Ongoing in FY 2027. Capital Projects Rolling Forward from FY 2026: $866,015 New Capital Projects Proposed For FY 2027: $3,200,000 MANAGING DEPARTMENT: Public Works/Engineering Sanitation District Insurance Reserve - Administration FY 2 0 2 6 Ac tivity FY 2 0 2 7 FY 2 0 2 5 FY 2 0 2 6 Ac c ount Ac c ount Na me Adjuste d thru P ropose d Ac tua l P roje c te d Budge t 02/23/2026 Budge t 954-8810-2090 LIABILITY INSURANCE $ 42,313 $ 36,945 $ 36,945 $ 36,945 $ 31,403 Total $ 42,313 $ 36,945 $ 36,945 $ 36,945 $ 31,403 Packet Page 21  RESOLUTION NO. 26-XX A RESOLUTION OF THE SEASIDE COUNTY SANTITATION DISTRICT RE-ADOPTING THE ANNUAL OPERATING AND CAPITAL BUDGET FOR THE FISCAL YEAR 2026-2027 TO CLARIFY THE PRESENTATION OF THE CAPITAL IMPROVEMENT PROGRAM WHEREAS, on May 19, 2026, the Board of Directors adopted the Seaside County Sanitation District Fiscal Year 2026-2027 Operating and Capital Budget; and WHEREAS, following adoption of the budget, staff identified the need to clarify the presentation of the Capital Improvement Program schedule so that the Fiscal Year 2026-2027 Proposed Budget column reflects only newly approved capital project appropriations and excludes prior-year appropriations that will continue into Fiscal Year 2026-2027; and WHEREAS, this clarification is administrative in nature and does not change the District's total budget, appropriations, transfers, or projected fund balance. NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Seaside County Sanitation District hereby re-adopts the Fiscal Year 2026-2027 Operating and Capital Budget, as revised, a copy of which is attached hereto and incorporated herein by this reference. PASSED AND ADOPTED at a regular meeting of the Board of Directors of the Seaside County Sanitation District duly held this 14th day of July 2026 by the following vote: AYES: BOARD MEMBERS: NOES: BOARD MEMBERS: ABSENT: BOARD MEMBERS: ABSTAIN: BOARD MEMBERS: ______________________________ Ian Oglesby, Chair Attest: ______________________________ Dominique Davis, District Clerk Packet Page 22  SEASIDE COUNTY SANITATION DISTRICT Item No.: 7.A. STAFF REPORT TO: Seaside County Sanitation District FROM: Greg McDanel, District Manager BY: Patrick Grogan, Associate Engineer Thomas Korman, Public Works Director/City Engineer DATE: July 14, 2026 SUBJECT: AN ORDINANCE TO AMEND SECTION 4.15.010 OF THE SEASIDE COUNTY SANITATION DISTRICT CODE TO AUTHORIZE THE ASSESSMENT OF PROPORTIONAL CAPACITY FEES FOR ACCESSORY DWELLING UNITS IN COMPLIANCE WITH CALIFORNIA GOVERNMENT CODE SECTION 66013 [SECOND READING - ROLL CALL VOTE] PURPOSE Hear the second reading of the draft ordinance and adopt the ordinance RECOMMENDATION Open the Public Hearing and introduce the proposed Ordinance for adoption. BACKGROUND Seaside County Sanitation District Code Section 4.15.010 of the Seaside Municipal Code currently establishes requirements for permit applications and capacity fees. Under the existing code framework, capacity fees for all residential uses are assessed at a flat rate. This does not allow staff to calculate a proportional capacity fee for accessory dwelling units (ADUs), in conformance with California Government Code section 66013. The proposed ordinance amends Seaside County Sanitation District Code Section 4.15.010 to allow district staff to calculate sewer capacity fees in conformance with Packet Page 23 California Government Code. Key elements of the amendment include: • Correcting imprecise language when discussing capacity fees • Adding a method to calculate a proportional capacity fee for ADUs • Adding a process for new applicants to dispute a capacity fee assessment • Clarifying capacity fee amounts per use type The proposed amendment does not change capacity fees for commercial use types. This action is not subject to the California Environmental Quality Act (CEQA) pursuant to Section 15061(b)(3) of the CEQA Guidelines. FISCAL IMPACT The ordinance allows sewer capacity fees for accessory dwelling units (ADUs) to be calculated proportionally, rather than at the current flat residential rate, which will modestly reduce revenue from ADUs while maintaining compliance with California Government Code Section 66013. Capacity fees for commercial users remain unchanged. ATTACHMENTS 1. Section 4.15.010 ADU Capacity Fee Ordinance 2026-07-14 Reviewed for Submission to the Board by: __________________________________ Greg McDanel, District Manager Item No. 7.A. Page 2 of 2 Packet Page 24  ORDINANCE No. XX AN ORDINANCE AMENDING SECTION 4.15.010 OF THE SEASIDE COUNTY SANITATION DISTRICT CODE TO AUTHORIZE THE ASSESSMENT OF PROPORTIONAL CAPACITY FEES FOR ACCESSORY DWELLING UNITS IN COMPLIANCE WITH CALIFORNIA GOVERNMENT CODE SECTION 66013 THE BOARD OF DIRECTORS OF THE SEASIDE COUNTY SANITATION DISTRICT DOES ORDAIN AS FOLLOWS: SECTION A. Ordinance No. 18 is amended to read as follows: 4.15.010 Applications and fees. A. Applications to the district for permits to construct lateral sewers, house sewers or otherwise connect to any portion of the district’s sewer system shall be made in writing on the form provided by the district. The application shall contain (1) location of the property to be sewered, (2) name of owner, (3) name of plumber, contracting firm or individual to construct sewer, (4) portion of public street, alley or sidewalk to be disturbed by the work, (5) date on which proposed work will be started. B. Sewer Capacity Fee. There is hereby established and levied upon all persons, firms, entities, or corporations making connection to the Seaside County Sanitation District (SCSD) a sewer connection fee as follows: 1. Specified Users. Upon adoption of the ordinance codified in this section, the Capacity fee shall be as shown in Exhibit A, “Capacity Fee per Land Use Category.” As shown in Exhibit A, the capacity fee for an equivalent single-family dwelling unit (EDU connection fee) is $2,101. The EDU capacity fee shall be adjusted on an annual basis as described in subsection (B)(4) of this section. 2. Other Uses. For all other uses not listed in subsection (B)(1) of this section, the district engineer shall determine the sewer capacity fee as follows: Capacity Fee = (gallons per day) / 189 x (EDU capacity fee). 3. Other Determination. Whenever in the opinion of the district engineer the estimated sewer flow used in determining sewer capacity fees is unreasonable, he may either calculate the capacity fee by utilizing existing objective data for similar uses, or assess an additional fee taking into account actual wastewater flows for the 12-month period that was demonstrably higher than given on the application for the building in question. 4. Annual Increase in Capacity Fee. The sewer capacity fee as determined clean-out for a single-family dwelling unit (EDU) shall increase on the first day of each fiscal year, that is, Packet Page 25  SEASIDE COUNTY SANITATION DISTRICIT ORDINANCE No. 21 on July 1st of each year, by the amount equal to the San Francisco Construction Cost Index as published by Engineering News-Record for the prior year ending June 30th, and the sewer capacity fees for other than single-family dwelling units shall increase at the same time in the same proportion as the increase in sewer capacity fees for an EDU. 5. Demolished Premises. Whenever enclosed building space is demolished, any construction of enclosed building space which takes place on the same parcel within five years of that demolition shall be exempt from sewer capacity fees to the extent that either the usage has not changed or the units removed from the parcel as a result of said demolition work had higher flows to the sewer collection system than the new units. Whenever enclosed building space is demolished, any construction of enclosed building space which takes place on the same parcel within five years of that demolition shall be required to pay a sewer capacity fee as calculated as the difference in flow between the units that were demolished or removed and the units installed. 6. Existing Premises. Buildings or occupied mobile home pads which are connected to the Seaside County Sanitation District sewer system at the time the ordinance codified in this section goes into effect shall be exempt from these sewer capacity fees. Any proposed building for which a building permit application had been accepted by the entity having building permit issuance authority prior to the date that the ordinance codified in this section takes effect shall pay the capacity fee in effect at that time. 7. Payment of Fees. All capacity fees must be paid prior to issuance of the building permit, unless otherwise directed by the district board upon appeal. The capacity fee shall be collected for the Seaside County Sanitation District by the Sewer Treatment Provider. 8. Proportional Capacity Fee for ADUs. Consistent with California Government Code section 66013, the sewer capacity fee for accessory dwelling units shall be determined as follows: ADU Capacity Fee = residential capacity fee x (ADU floor area / Main residence floor area) In the event that the floor area ratio exceeds a value of 1.0, the capacity fee for the ADU shall not be higher than the residential capacity fee. 9. Request for Appeal. If an applicant for a permit disputes the interpretation or application of this chapter, they may request a ruling by the district board. Requests must be made in writing to the district manager. A request for appeal on a fee assessment must be made no -2- Packet Page 26  SEASIDE COUNTY SANITATION DISTRICIT ORDINANCE No. 21 later than six months after the date of the assessment. A request for appeal shall be placed on the agenda of the next practical regularly scheduled board meeting. C. Permits shall automatically become void if work has not commenced within 365 calendar days after the date of issuance. Exhibit A: Capacity Fee per Land Use Category LAND USE Unit Fee per Unit Business/Gov’t Location/Each Business $4,708 Residential – Vacant Each Living Unit $0 Residential Each Living Unit $6,094 Residential/Apartments Each Living Unit $6,094 Residential/Apartments – Vacant Each Living Unit $0 Condo/Retirement Each Living Unit $6,094 Commercial/Vacant Location/Each Business $0 Motel/Hotel Each Guest Room $3,225 Bed & Breakfast Inn Each Guest Room $1,741 Supermarkets Location $25,703 Medical Office Each Licensed Physician $6,289 Dental Office Each Licensed Dentist $8,675 Rest Home/Convalescent Each Bed of Licensed $1,741 Capacity General Hospital Each Bed of Licensed $10,320 Capacity Animal Hospital Location/Each Licensed $11,482 Business Restaurant 1 meal/day Each Restaurant Seat $226 Restaurant 2 meals/day Each Restaurant Seat $355 Restaurant 3 meals/day Each Restaurant Seat $677 -3- Packet Page 27  SEASIDE COUNTY SANITATION DISTRICIT ORDINANCE No. 21 Exhibit A: Capacity Fee per Land Use Category LAND USE Unit Fee per Unit Restaurant with Bar Each Restaurant Seat $677 Bar Location/Each Business $10,223 Nightclub Location/Each Business $30,639 Takeout Food – Small (1 cash register or checkout Location/Each Business $11,416 line) Takeout Food – Medium (2 or 3 cash registers or Location/Each Business $28,090 checkout lines) Takeout Food – Large (4 or more cash registers or Location/Each Business $51,214 checkout lines) Bakery Location/Each Business $9,257 Theater Per Screen at Each $15,190 Location Bowling Center Location/Each Business $46,215 Gym Per 500 members $4,708 Mortuary Location/Each Business $12,481 School (Grades 0 – 6) Student Population $64 School (7 – College) Student Population $129 Boarding School Student Population $1,290 Instructional Facility Student Population $4,708 Church Per 100 members $4,708 Photo/Laboratory/Printer Per 10 employees $4,708 Service Station/Garage Location/Each Business $4,514 Paint and Body Shops Per 10 employees $4,708 Dry Cleaner Location/Each Business $15,577 Laundromat Each Washing Machine $4,096 Special User Individual Determination NA [1] -4- Packet Page 28  SEASIDE COUNTY SANITATION DISTRICIT ORDINANCE No. 21 [1] Fee will be determined by the district based on expected sewer usage. [2] Fiscal Year 2025 – 2026 fees shown. Fees will increase annually per section 4.15.010 B.4. This Ordinance was introduced by Noticed Public Hearing held at a regular meeting on the 9th day of June 2026. SECTION B. Amendments to District Ordinance No. 18, adopted herein, shall become effective immediately upon adoption. The foregoing ordinance was passed and adopted at a Noticed Public Hearing held at a regular meeting of the Board of Directors of the Seaside County Sanitation District held on the <14>th day of <July> 2026, by the following vote: AYES: NOES: ABSENT: ABSTAIN: ______________________________ Ian Oglesby, Chair Seaside County Sanitation District Attest: By: ________________________________ Dominique Davis, District Clerk Approved as to Form: By: ________________________________ Reed Gallogly, District Counsel -5- Packet Page 29