1. Placer LAFCO Municipal Service Review North Tahoe/Martis Valley Area Northstar CSD and PCWA

2. Presentation Outline Municipal Service Review Process Municipal Service Review Process Overview of MSR Overview of MSR Determination Determination Steps in MSR Process Steps in MSR Process MSR use and benefits MSR use and benefits Summary of Determinations for Northstar & PCWA Summary of Determinations for Northstar & PCWA Next Steps Next Steps Complete Public Comment Period Complete Public Comment Period Response to Comments Response to Comments Final MSR Final MSR

3. Municipal Service Review Overview Provides background information on which to base plans for the boundaries and governance of a city or special district Provides background information on which to base plans for the boundaries and governance of a city or special district Required prior to or in conjunction with sphere of influence adoption or update sphere of influence Required prior to or in conjunction with sphere of influence adoption or update sphere of influence Review of all agencies providing identified service(s)within designated geographic area (region or sub-region of county) Review of all agencies providing identified service(s)within designated geographic area (region or sub-region of county) Make written determinations in mandated areas regarding population growth, finance, operations, governance, infrastructure Make written determinations in mandated areas regarding population growth, finance, operations, governance, infrastructure

4. Municipal Service Review Determinations MSR’s are a written statement of LAFCO’s determination of the following: MSR’s are a written statement of LAFCO’s determination of the following: Growth & Population Projections (Census/ABAG/DOF) Growth & Population Projections (Census/ABAG/DOF) Location and characteristics of disadvantaged unincorporated communities within or contiguous to sphere of influence Location and characteristics of disadvantaged unincorporated communities within or contiguous to sphere of influence Infrastructure/Facilities Infrastructure/Facilities Financial Ability to Provide Services Financial Ability to Provide Services Opportunities for Shared Facilities (Cost Avoidance) Opportunities for Shared Facilities (Cost Avoidance) Accountability For Community Service Needs, Governmental Structure and Operational Efficiencies Accountability For Community Service Needs, Governmental Structure and Operational Efficiencies Any Other Related Matters Any Other Related Matters

5. Steps in MSR Process Outreach with local agencies Outreach with local agencies Development of Questionnaire/Survey Development of Questionnaire/Survey Distribution of Questionnaire/Survey Distribution of Questionnaire/Survey Mailed to districts last year, August 2013 Mailed to districts last year, August 2013 Follow up phone calls and emails to each of the districts were made Follow up phone calls and emails to each of the districts were made Meeting with both Districts in Tahoe Meeting with both Districts in Tahoe Agencies provide data Agencies provide data Objective data evaluation & analysis Objective data evaluation & analysis Consultant drafts report Consultant drafts report Administrative Draft Administrative Draft Public Review Draft Public Review Draft Final MSR Final MSR LAFCO public meeting LAFCO public meeting LAFCO adopts MSR determinations LAFCO adopts MSR determinations

6. How will Service Reviews be Used? The MSR assists LAFCo in carrying out its statutory responsibilities of promoting orderly growth and development, while preserving open-space and agricultural land resources The MSR assists LAFCo in carrying out its statutory responsibilities of promoting orderly growth and development, while preserving open-space and agricultural land resources The MSR provides the basis for the Sphere of Influence (SOI) updates for all affected agencies. The MSR provides the basis for the Sphere of Influence (SOI) updates for all affected agencies. The MSR is an informational tool that is available to the public, cities, county, special districts, agencies, and citizen’s groups that seek to improve the quality of infrastructure. The MSR is an informational tool that is available to the public, cities, county, special districts, agencies, and citizen’s groups that seek to improve the quality of infrastructure.

7. How do local agencies benefit? MSR provides transparency and shares information with key stakeholders. MSR provides transparency and shares information with key stakeholders. Facilitates logical decisions on spheres of influence and boundaries. Facilitates logical decisions on spheres of influence and boundaries. Promotes regional efficiency, orderly growth and development. Promotes regional efficiency, orderly growth and development. Standardized GIS maps. Standardized GIS maps. Comprehensive and updated local agency information. Comprehensive and updated local agency information. Potential for identifying cost-cutting opportunities Potential for identifying cost-cutting opportunities

10. Summary of Determinations

11. Northstar CSD

12. District Services Northstar CSD provides the following 10 public services Northstar CSD provides the following 10 public services Fire protection, Fire protection, Water, Water, Wastewater collection, Wastewater collection, Snow removal, Snow removal, Road maintenance, Road maintenance, Lighting, Lighting, Emergency services, Emergency services, Trails, Trails, Forest fuels management and Forest fuels management and Solid waste. Solid waste.

13. District Profile District is 1,900 acres acres in size and located south of Truckee and encompasses the Northstar ski resort. District is 1,900 acres acres in size and located south of Truckee and encompasses the Northstar ski resort. District is governed by a five member Board of Directors who meets the 3rd Wednesday of the month at 9:00 a.m. at Fire Station at 910 Northstar Drive, Truckee, CA. District is governed by a five member Board of Directors who meets the 3rd Wednesday of the month at 9:00 a.m. at Fire Station at 910 Northstar Drive, Truckee, CA. District formed November 5, 1991, LAFCO adopted Resolution No. 8-90 District formed November 5, 1991, LAFCO adopted Resolution No. 8-90

14. Northstar CSD Overview Overall, this Draft MSR notes that Northstar CSD is performing its municipal service responsibilities at a sufficient level Overall, this Draft MSR notes that Northstar CSD is performing its municipal service responsibilities at a sufficient level There is no need for LAFCo ot take any actions pertaining to the District’s boundaries or SOI at this time. There is no need for LAFCo ot take any actions pertaining to the District’s boundaries or SOI at this time. There are no issues with disadvantaged unincorporated communities being passed over for essential public services. There are no issues with disadvantaged unincorporated communities being passed over for essential public services.

15. Northstar CSD Determinations POPULATION AND GROWTH POPULATION AND GROWTH a) The growth rate within the District is approximately 0.7 percent calculated as the average annual growth rate from 2013 through 2020. The growth rate is expected to increase to 1.0 percent between 2020 and 2025 and to 1.5 percent by 2030. a) The growth rate within the District is approximately 0.7 percent calculated as the average annual growth rate from 2013 through 2020. The growth rate is expected to increase to 1.0 percent between 2020 and 2025 and to 1.5 percent by 2030. b) Buildout within the District is expected to occur in 2034. b) Buildout within the District is expected to occur in 2034. c) The current permanent population within the District is approximately 136, which is projected to increase to 160 by 2030. c) The current permanent population within the District is approximately 136, which is projected to increase to 160 by 2030. d) The current seasonal population within the District is approximately 12,000, which is projected to increase to 14,267 by 2030. d) The current seasonal population within the District is approximately 12,000, which is projected to increase to 14,267 by 2030. e) Annexation of the Martis Valley West Parcel Specific Plan area would add an additional 760 residences and 6.6 acres of commercial development.. e) Annexation of the Martis Valley West Parcel Specific Plan area would add an additional 760 residences and 6.6 acres of commercial development..

16. Northstar Determinations (Continued) PRESENT AND PLANNED CAPACITY OF PUBLIC FACILITIES AND ADEQUACY OF PUBLIC SERVICES, INCLUDING INFRASTRUCTURE NEEDS AND DEFICIENCIES PRESENT AND PLANNED CAPACITY OF PUBLIC FACILITIES AND ADEQUACY OF PUBLIC SERVICES, INCLUDING INFRASTRUCTURE NEEDS AND DEFICIENCIES B) In addition to Northstar CSD, two other districts, the Truckee Donner Public Utility District and the PCWA also provide water service to different portions of the Martis Valley area. B) In addition to Northstar CSD, two other districts, the Truckee Donner Public Utility District and the PCWA also provide water service to different portions of the Martis Valley area. D) Options to provide a new or different internal Northstar CSD governmental structure have not been identified. However, it has been suggested by PCWA that Northstar CSD might be able to more efficiently manage water delivery, operation, and maintenance of water services in the Zone 4 area. D) Options to provide a new or different internal Northstar CSD governmental structure have not been identified. However, it has been suggested by PCWA that Northstar CSD might be able to more efficiently manage water delivery, operation, and maintenance of water services in the Zone 4 area.

17. Northstar Determinations (Continued) FINANCIAL ABILITY OF DISTRICT TO PROVIDE SERVICES FINANCIAL ABILITY OF DISTRICT TO PROVIDE SERVICES a) The financial position of the District indicates that the District will be able to meet its financial obligations as they become due and that it will be able to provide service obligations to its constituencies, both currently and in the future. a) The financial position of the District indicates that the District will be able to meet its financial obligations as they become due and that it will be able to provide service obligations to its constituencies, both currently and in the future.

18. Northstar Determinations (Continued) STATUS OF, AND OPPORTUNITIES FOR, SHARED FACILITIES STATUS OF, AND OPPORTUNITIES FOR, SHARED FACILITIES a) Northstar CSD collaborates with other agencies for regional water supply studies, planning, and development. a) Northstar CSD collaborates with other agencies for regional water supply studies, planning, and development. c) In October 2013, the Northstar CSD Board of Directors approved a Memorandum of Understanding to allow Northstar CSD to assume responsibility for Zone 4, pending approval from LAFCO. c) In October 2013, the Northstar CSD Board of Directors approved a Memorandum of Understanding to allow Northstar CSD to assume responsibility for Zone 4, pending approval from LAFCO.

19. Placer County Water Agency

20. District Profile and Background PCWA provides the following service: PCWA provides the following service: Water Water Zone 4 is 3,827 acres in size Zone 4 is 3,827 acres in size District is governed by a five member Board of Directors who meets the 1st and 3rd Thursday of each month at 2:00 p.m. in Auburn mostly and periodically in the eastern county. District is governed by a five member Board of Directors who meets the 1st and 3rd Thursday of each month at 2:00 p.m. in Auburn mostly and periodically in the eastern county. PCWA established in 1957 PCWA established in 1957 Zone 4 established to serve the Lahonton development by PCWA Resolution #96-31 on August 1, 1996. Zone 4 established to serve the Lahonton development by PCWA Resolution #96-31 on August 1, 1996.

21. PCWA Overview Overall, this Draft MSR notes that Placer County Water Agency is performing its municipal service responsibilities at a sufficient level Overall, this Draft MSR notes that Placer County Water Agency is performing its municipal service responsibilities at a sufficient level There is no need for LAFCo to take any actions pertaining to the District’s boundaries or SOI at this time. There is no need for LAFCo to take any actions pertaining to the District’s boundaries or SOI at this time. There are no issues with disadvantaged unincorporated communities being passed over for essential public services. There are no issues with disadvantaged unincorporated communities being passed over for essential public services.

22. PCWA Determinations GROWTH AND POPULATION PROJECTIONS GROWTH AND POPULATION PROJECTIONS c) The estimated number of residents currently served within Zones 4 is 920 based on the number of residential connections and average household size in the County and based upon information provided by the District. In Zone 4, PCWA only provides water service. c) The estimated number of residents currently served within Zones 4 is 920 based on the number of residential connections and average household size in the County and based upon information provided by the District. In Zone 4, PCWA only provides water service. d) The District anticipates limited population growth in the future within Zone 4 increasing to 1,122 households (3,040 persons) by the year 2025. d) The District anticipates limited population growth in the future within Zone 4 increasing to 1,122 households (3,040 persons) by the year 2025.

23. PCWA Determinations (Continued) PRESENT AND PLANNED CAPACITY OF PUBLIC FACILITIES AND ADEQUACY OF PUBLIC SERVICES, INCLUDING INFRASTRUCTURE NEEDS AND DEFICIENCIES PRESENT AND PLANNED CAPACITY OF PUBLIC FACILITIES AND ADEQUACY OF PUBLIC SERVICES, INCLUDING INFRASTRUCTURE NEEDS AND DEFICIENCIES Options to provide a new or different internal PCWA governmental structure have not been identified. However, it has been suggested by PCWA that Northstar CSD might be able to more efficiently manage water delivery, operation, and maintenance of water services in the Zone 4 area. Options to provide a new or different internal PCWA governmental structure have not been identified. However, it has been suggested by PCWA that Northstar CSD might be able to more efficiently manage water delivery, operation, and maintenance of water services in the Zone 4 area. The PCWA Zone 4 system has sufficient capacity to serve existing connections. The PCWA Zone 4 system has sufficient capacity to serve existing connections. The Agency reported that water service facilities are in good condition. The Agency reported that water service facilities are in good condition.

24. PCWA Determinations (Continued) FINANCIAL ABILITY OF AGENCY TO PROVIDE SERVICES FINANCIAL ABILITY OF AGENCY TO PROVIDE SERVICES Information on District financing is derived from audited financial statements for the fiscal year 2012. Information on District financing is derived from audited financial statements for the fiscal year 2012. STATUS OF, AND OPPORTUNITIES FOR, SHARED FACILITIES STATUS OF, AND OPPORTUNITIES FOR, SHARED FACILITIES In October 2013, the PCWA Board of Directors approved a Memorandum of Understanding the Northstar CSD to allow Northstar CSD to assume responsibility for Zone 4, pending approval from LAFCO. In October 2013, the PCWA Board of Directors approved a Memorandum of Understanding the Northstar CSD to allow Northstar CSD to assume responsibility for Zone 4, pending approval from LAFCO.

25. Next Steps

26. Process Circulation of draft municipal service review Circulation of draft municipal service review Coordination of public comments Coordination of public comments LAFCO staff LAFCO staff Provide to consultant Provide to consultant Preparation of Response to Comments (consultant) Preparation of Response to Comments (consultant) LAFCO staff review of responses LAFCO staff review of responses

27. Process (continued) Prepare Final MSR Prepare Final MSR Incorporate changes specified by LAFCO Incorporate changes specified by LAFCO Response to comments Response to comments Edits to Draft MSR Edits to Draft MSR Public Hearing for formal adoption Public Hearing for formal adoption Tentatively scheduled for Sept or Oct 2014 Tentatively scheduled for Sept or Oct 2014 Upon adoption of document, consultant will finalize MSR and provide copies of Final MSR to LAFCO staff within 30 days. Upon adoption of document, consultant will finalize MSR and provide copies of Final MSR to LAFCO staff within 30 days.

28. Thank you ! The municipal service review process affords LAFCo and stakeholders a unique opportunity to consider the range of municipal services provided in Placer County. The municipal service review process affords LAFCo and stakeholders a unique opportunity to consider the range of municipal services provided in Placer County.