NCSD Presentation 2/01/12

Examples of documents mailed 1/12/12

Example of glossy brochure sent with letters

Example of NCSD letter sent to property owners in NCSD (to be posted)

Example of NCSD letter sent to property owners in GSWC

Example of NCSD letter sent to property owners in RWC

Example of NCSD letter sent to property owners in WMWC

NCSD Flyer sent on meetings

Max 1 BU, if paid up front	$1,090
1 BU cost	$1,340
Maximum Bond Costs in $	$250
Maximum Bond cost in %	22.9%
Financed amount	$1,340
Number of year Terms	30
Maximum 1 Bu, payment per year	$120
Maximum Total Interest & Principle payments	$3,600
Maximum Interest rate per year	8.2%

So NOW is NCSD is really looking at Maximum Interest rate of 8.2% ???????????

Presentation comments by Mesa Community Alliance

Comments provided by Mesa Community Alliance

Presentation comments cover letter by John Snyder on 1/30/12and 2/1/12

1/30/12 and 2/01/12 Comments and cover by John Snyder

Rebuttal presentation slides by John Snyder on 1/25/12

Draft Presentation slides

Note the content of the slides is being transferred to the Half Truths page with links to all the data. Please check there for the most up-to-date information.

Slides of the Presentation:

At the meeting I asked the NCSD to post the slides on there web site, they declined. I made a public record request that is due about 2/9/11

Meeting slides

2/1/12 NCSD Presentation Slides

2/01/12Audio of the 2/01/12 Presentation:

South side microphone recording 250mb

North side microphone recording 90mb

h:mm:ss	Notes on Comments made
0:00:00	Ed Eby lets get started
0:14:41	Mike Winn
0:34:05	Mike Lebrun, On the project
0:38:04	Kari, On Financing
0:38:34	Kari, I determined the "Equitable spread" of the Benefit Units of the entire project
0:38:50	Kari, There are over 8000 property owners
0:38:55	Kari, What is an assessment district? An assessment district is a legal formation of an area that is used to spread the equitable cost of a project.
0:39:07	Kari, We formed this under state law, proposition 1913-1915 act that requires all property owners that are being affected by the assessment district to vote on the formation of the assessment district.
0:39:23	Kari, again that is all property owners so if you are a tenant in the assessment district.
0:39:36	Kari, the Formation of the assessment district allows the entity who is forming the assessment district to purchase bonds on the bond market, over a 30 year period.
0:39:59	Kari, a property owner will have two different options to pay back your portion, prepay with discount or property tax bill for 30 years
0:41:11	Kari, NCSD is entitled to 72% of the water that is coming over from Santa Maria in the project
0:41:28	Kari, GSWC is entitled to 7% of the water and is paying 7% or $2.1 million dollars
0:41:45	Kari, NCSD is allocated 72%, or $19.2 million Dollars
0:42:00	Kari, you received a letter in the mail
0:42:04	Kari, and it has some very confusing terminology on there, and I apologize for that.
0:42:09	Kari, but I am hopefully here to explain what that terminology means, and I follow later with questions if I still am not clear.
0:42:16	Kari, The first one is the Benefit Unit
0:42:30	Kari, the Benefit Unit (BU) is first based on property size
0:42:35	Kari, Then was land use or zoning
0:42:43	Kari, then the existing number of homes or the development potential
0:42:53	kari, the BU is your share of the cost of the project
0:43:18	Kari, This is the spread of BU's most between 1 and 2.3 BU's
0:43:48	Kari, 72% is what NCSD share is 19.2 million dollars
0:43:59	Kari, the estimated number of BU's in the NCSD area is 8164
0:44:11	Kari, the cost per BU is $1776
0:44:24	Kari, GSWC
0:44:30	Kari, GSWC share is $2.1 million
0:44:34	Kari, 2681 BU's assigned to GSWC, therefore the cost per BU is $838
0:44:51	Kari, Why is the cost so different per BU?
0:44:56	Kari, The reasons , first off the cost per acre foot of water being delivered to each water purveyors is exactly the same
0:45:06	Kari, What is different is the amount of water per acre foot that is delivered in each area, NCSD about 1/2 GSWC 1/5,
0:45:38	Kari, the reliability NCSD customers is higher because we split the ratio 50/50
0:46:01	Kari, you received letter
0:46:28	Kari, If letter is accurate do nothing
0:46:44	Kari, If errors must call or email to make corrections
0:47:12	Kari, If request to change BU's
0:47:54	Kari, Look a sheet handed out with BU's
0:50:55	Kari, Again how do we read this table
0:51:44	Kari, If you pay in advance you will receive approximately a 15% discount
0:52:46	Kari, again for GSWC
0:53:55	Kari, NCSD finance charges will be less then GSWC
0:54:59	Kari, gone over the basis of the BU's and made sure the data base is accurate
0:56:00	Kari, By May 9th the close of the day of the hearing
0:57:26	Kari, the yes are counted the No's are counted it's 50% plus $1
0:57:41	Eby, Period for Q & A
0:59:04	Question, Are the costs just the construction capital cost only
0:59:24	Kari, will take Questions only on the Capital costs.
0:59:33	Kari, the cost of the water coming from Santa Maria will have a cost tied to it.
0:59:40	Each and every one of the water purveyors will have to come up with a method and means to pay for the water, being increasing water rates, or other
0:59:57	Kari, the cost of SM water will increase over time it has a 5% I think it's a 5%, no Lebrun is shaking his head, I miss Quoted
1:00:12	Kari, I recommend you talk to the manager of each one of the water purveyors on the water costs
1:00:25	Question, What about the bond cost
1:00:28	Kari, Bond cost are included in the numbers shown
1:00:41	Question, Kari's contact information, kariw@wallacegroup.us 805 929-0411
1:01:46	Question, What is the bond, it's obviously not a 30 year bond, are you talking a 70 year bond
1:01:54	Kari, it is a 30 Year bond
1:01:59	Question, the annual amount is too high, Man does math in head and notes interest rate is too high
1:02:22	Kari, the annual cost has an interest rate, conservative estimate of .. estimated high, We estimated at 7% but right now we are looking at more like a 4% bond
1:03:34	Question, If you pay in advance, do I not worry for 30 Years?
1:04:10	Question, What about people in outside areas
1:04:56	Kari, the 4 water purveyors are part of the court "mandate" the court has determined the 4 water purveyors as being the partners to bring in the supplemental water
1:05:08	Kari, The individual landowners have overlying water rights and are not subject to the court "mandate"
1:05:15	Note: NCSD, GSWC, RWC and WMWC voluntarily agreed to a settlement that has words about the project. The court has not made any "mandate", "order", finding of fact or law that requires the project or funding
1:05:35	Question, the cost of the water and O&M? it's in the water rates
1:05:58	Question, can you give us an example of what we are talking about?
1:06:01	Eby, Not tonight but if you contact us later we will tell what the project future water costs are. That's not part of the Assessment district
1:06:26	Eby, The future cost of water is going to be different for the different areas
1:06:36	The cost of the water from SM will be the same
1:06:54	Kari, NCSD and the three water purveyors are working on the purchase agreement between the three water purveyors, talk to you purveyor managers.
1:07:17	Question, What happens if we vote no?
1:07:31	Lebrun, Right now we are talking about a property tax assessment vote to fund the project, if it's negative?
1:07:44	Lebrun, the board steps back and think about and says how can we otherwise finance this project.
1:08:01	Lebrun, We feel as people look at these numbers .. we will pass the vote.
1:08:21	Lebrun, If we don't pass the vote, then my board of directors will convene and look at other funding mechanisms
1:08:30	Lebrun, we have other partners we don't control
1:08:33	Lebrun, The other way is to put it all on water rates
1:08:44	Leburn, NCSD does not determine the water rates for GSWC, RWC, Woodlands
1:08:51	Lebrun, So we would not be able to "control" that
1:08:55	Lebrun, I think the likely hood of the project, if the vote does not pass, comes in Question so
1:09:16	Lebrun, first time in 20 years of a supplemental water option
1:09:47	Question, With more water what's going to keep the district from allowing more growth?
1:10:27	Lebrun that is an effort we all have to take to our supervisors
1:10:54	Lebrun, As we increase our reliability going off into the uncertain future , We will all have a lot of work to do in working with our county board of supervisors and making them understand what type of growth and the type community we want
1:12:28	Kari, the BU's are based on the current general plan, on the current zoning code, that is how we assessed bUs, if there is a change of zoning there is no "guarantee of water rights in the future"
1:13:02	Kari, if in the future a property wants’ to increase density, and increase BU's now, I cannot do that
1:14:03	Question, If the bond is passed and the project is not built are we stuck with the costs?
1:14:46	Quetion, I have larger then one acre, I have one house with 2.3 BU's, What are the options? Deed restriction to remove second home by close of business day march 14th
1:16:07	Question, If I sold the property? Does the new owner have any options to remove that restriction? Can go to NCSD board and petition, no guarantee.
1:16:51	Question, existing homeowners are paying now what about undeveloped? Both are paying Now
1:17:28	Quesiton, What about those people with a well can they tie in later? If they are on a well they can be exempted from the project, many in Rural missed that have wells, others that want to developed in the future they have to be connected to community water
1:18:23	Question, What if there is not a water line to connect to?
1:18:48	Question, If your in GSWC territory, and you have a undeveloped Benefit Unit, GSWC is buying 7% of the capacity for an existing problem.
1:19:01	and now you have a house with a undeveloped Benefit Unit that you are calling a “water right”
1:19:15	and where does that water come from, because you have allocated all of that to the existing problem, I would call that a ponzi scheme
1:19:20	Kari, GSWC is allocated 208 af of water, that water is to be used by GSWC,
1:19:30	Kari, NCSD has no control over GSWC development, that water is dedicated water being services inside that area
1:19:48	Question, So effectively at connection time you would charge that development again for that water?
1:19:52	Kari, any water purveyor, any vacant property if you own a vacant piece of property are going to be charged again for a connection fee
1:20:03	the various water connection fees that a vacant property has to, or that is charged, for those fees, that does not go away this is an additional charge for that project
1:20:18	So GSWC is going to get a certain amount of water and then for problems that have houses and that do not have houses
1:20:30	Kari, the 208 af is based on the court mandate that is what is dedicated to GSWC to offset current pumping and as allow for
1:20:50	Kari, For the actual water rights I can not talk to the specifics of the water rights talk later in the meeting or talk to someone with more knowledge on that
1:21:06	Question, The privilege of having water
1:21:20	Question, I have lived in the valley my entire life and my parents live in SM, and I live in Nipomo 20 years, I think it's prudent that if we are voting in a bound and that people in Nipomo understand based on what Mr. Winn said we are not paying any dif
1:21:54	It is the responsibility of the Nipomo Community water district to let us know as a community what is the % is going to be, you need to be transparent. It needs to be well before the vote.
1:22:35	NCSD contracted with Wallace group
1:23:12	Question, Properties with undeveloped land
1:23:30	Kari, We have assigned BU's based on acres
1:23:37	Kari, Many properties with in the assessment have unique situations, including sitting on bluff, oak trees, road,
1:23:56	Kari, those situations we did not take into account, we did not look parcel by parcel at every single situation so if you do have those impacts on your property please let us know,
1:24:05	Kari, so if you do have those impacts on your property and it makes a difference in your acreage please let us know,
1:24:18	Kari, we have been modifying or adjusting parcels based on those acreages because of those undevelopable areas
1:24:48	Kari, When do you need to do that by? You must contact me by February 16th.
1:25:09	Kari, if you are over 1 acre, and you don't currently have a granny unit on you parcel,
1:25:13	Kari, those parcels between 1 and 2 acres we actually didn't assign additional development for that granny unit.
1:25:19	Kari, so if you are between 1 and 2 acres and you want to build a granny unit, and you were not assigned the bU's, the .3 BU's for that, you again will need to contact me by February 16th.
1:25:33	Kari, we will need to increase your BU's and you will have to sign a waiver form, basically the waiver form is authorizing me to increase your bu's assignments ,
1:25:45	Question, Was that explained in the letter or is only the people that came to the meeting that understand that.
1:25:50	kari, That was not explained in the letter, those who come to the presentation are getting a better feel for it, those that have contacted me by email or phone calls have gotten that information as well
1:26:05	Kari, we have had quite a few like I have said we have answered over 500 phone calls and emails over the last two and a half weeks.
1:26:13	Ruth Bracket
1:26:22	Ruth Bracket, has parcels with deed restrictions that limit
1:26:46	Ruth Bracket, 1 Residence per parcel
1:27:12	Ruth Bracket, Requests that corrections be received in a letter not just as an addition to a data base
1:27:57	Kari, Clarification, there are several area's that we missed , that have deed restrictions.
1:28:16	Kari, so what we have been doing is we have been contacted by various property owners and changing those BU's
1:28:37	kari, will be going back and removing the 2a, 2B category
1:29:35	Ruth, The district should insist that those letters be sent to everybody.
1:30:13	kari, there are over 8000 parcels I am dealing with
1:30:26	and everybody has a unique situation
1:30:39	Question, have all the letters been sent out? I did not get mine
1:30:44	Kari, all the letters have been sent
1:31:06	Kari, the address came from the county assessors office
1:31:22	Question, second round of questions? No
1:31:26	Kari, this is a one shot deal
1:31:28	Once these corrections are made these will go into the assessment poll
1:31:32	which will be documented before the vote
1:31:35	Question did you send these out to all properly owners NCSD or wells?
1:31:45	Kari, Every one in the district should have received a letter
1:32:00	Question, If you already have a deed restriction it is necessary for the home owner to notify of that deed restrictions, or to get that to you by march 16th, don't you already know that?
1:32:14	Kari, there are three areas I don't know about the deed restrictions
1:32:39	Ed Eby, if you don't live in one of those areas you should not have received a letter.
1:33:07	Ed Eby, there are 88 different categories within those areas
1:33:28	Ed Eby, The special cases that are being picked up by people
1:33:36	Ed Eby, we have had over 500 people come to the work shops
1:33:39	Ed Eby, We are going to have an article in the paper
1:34:23	Question, for the last 35 years I have owned a parcel and asked the county what I can do with it, it has changed 3 times, 7 units to three houses, to commercial and now you have assessed me for 10 units and I am not all that happy.
1:35:24	Question, It states, this plan will ensure continuing water supply? is that a guarantee?
1:35:34	Kari, that word would read that way obviously there is never any guarantee in anything.
1:36:32	Kari, development potential is only what I can see on your property I did not go down to the county and talk every single parcel with them to find out what is truly will allow, we have found out the county has overlays that I didn’t know about
1:38:49	Ed Eby, Thank you for coming

Nipomo Water

Documents and informatin realted to water in Nipomo.