The Board renewed its federal advocacy contract ($5,000/month) which has previously secured $40M+ in funding, and adopted the revised FY 2025-26 budget showing strong financial performance with $12.3M in operating revenues and $83M total cash. Water infrastructure agreements for the Desert Grow development project were also approved.
The Board reviewed a proposed $2.8 million mid-year budget adjustment, including added costs for solar-related projects and sewer infrastructure cost-sharing with the Army Corps of Engineers. Solar support work on the PPA is now projected to total about $1.117 million versus an earlier $500,000 planning estimate, while still maintaining an approximate three-and-a-half-year payback. The Desert Grow cultivation facility water connection agreements were also presented and discussed.
The board reviewed LEED certification for a new administrative building, which would add $3.5–5 million in costs and cause delays, with no decision made. Staff requested $2.8 million in mid-year budget adjustments for operating expenses and capital projects. A $2.7 million federal grant **may need to be shifted** from design work to include construction to comply with Army Corps appropriation language.
The Board adopted an enforcement ordinance implementing escalating fines up to $10,000/day for industrial wastewater violations, with possible service termination after 120 days of non-compliance. Directors emphasized protecting the aquifer for future generations amid ongoing compliance issues, including with several cannabis-related industrial users. The well system remains operationally healthy despite wells offline for Chromium-6 compliance and rehabilitation.
Board continued a public hearing on new grease/sand interceptor regulations with escalating fines ($1,000-$10,000/day) to December after cannabis operators raised concerns about compliance timelines. The proposed enforcement measures aim to prevent industrial waste violations that could result in state fines if the district's treatment plant falls out of permit compliance. Additionally, the Board approved an $80,227 contract amendment for solar project construction management services.
