Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Water Finance topic
No spam. Unsubscribe anytime.
Ione secures bigger CDCR payments; city manager projects nearly $600,000 annual benefit
Summary
City Manager George Lee told the Ione City Council that CDCR agreed to raise its quarterly contribution for the tertiary plant from $27,500 to $174,555 and to make a one-time payment of $294,110; council members called it a major win that will support filtration improvements and the general fund.
Ione’s city manager reported a significant new revenue agreement with the California Department of Corrections and Rehabilitation that city officials say will strengthen the general fund and help pay for water-treatment upgrades.
George Lee told the City Council on March 17 that staff negotiations with CDCR under a triparty agreement will raise CDCR’s quarterly payment from $27,500 to $174,555 and that CDCR will make a one-time payment of $294,110. Lee estimated the net result will be a contribution of close to $600,000 annually to the general fund, funds he said will support filtration improvements at the tertiary plant and other needs. He said the first payment will take effect May 1.
Council Member Mitchell and Vice Mayor Rhodess praised the agreement as a ‘‘big win’’ for the city that will help address water quality concerns, support the golf course when needed and provide more reliable funding for plant operations. Mitchell said the city had raised the issue because the longstanding quarterly fee (he and staff said it had been $27,500 since 2007) had not been adjusted despite rising costs. Lee said the upfront payment and higher quarterly fee followed weeks of discussion with CDCR staff.
The council did not take any additional formal actions related to the CDCR payment during the meeting; members said they expect to use the additional funds toward filtration improvements and related capital work but did not specify a detailed spending plan on March 17.
