Triennial Strategic Plan and Strategic Priorities for 2016 - 2018 Board of Directors March 16, 2016

Prior Triennial Strategic Plan Seven Functional Areas Water Supply & Reliability Collection and Treatment of Wastewater Finance and Treasury Operational Efficiency Human Resources and Safety External Affairs Customer Service

Opportunities for Improvement – Summary Strategic Priorities Standards of Excellence Guiding Principles Improvements from Last Strategic Plan Reduced size of the document 22 Page Document, with the “meat” of the plan from pages 13-19 only Simplified the Document – less layers to dive through Maintained Mission and Vision Statements Well written, still very relevant

Opportunities for Improvement (cont’d.) Improvements from Last Strategic Plan Updated Discussion of “Core Values” and “Organizational Beliefs” to “Guiding Principles” and Update Framework to map to EMWD Standards of Excellence, rather than categorized by functional areas Communicates how we behave and make decisions Connects better with employees and outside entities Kept Strategic Priorities as mechanism for translating Strategic Plan into actionable items Strategic Priorities Standards of Excellence Guiding Principles

Prior Triennial Strategic Plan 45 Strategic Priorities for FY 2013-14 17 New Priorities added in FY 2014-15 15 New Priorities added in FY 2015-16 Most are Multi-Year Efforts Completed or substantially completed 37 Achieved progress goals on all others 40 multi-year priorities carry over to the 2016-2018 Strategic Plan STRATEGIC PLAN (By Functional Area) STRATEGIC PRIORITIES Specific Actionable Projects and Goals, Target Dates & Lead Staffing

Industry Game Changers Discussions Workshops were conducted with the Board and staff on industry “Game Changers” Water Use Efficiency Regulatory/State Control Rates & Revenue Stability Water Supply Challenges & Opportunities Infrastructure Investments Human Resource Challenges Brand Erosion During Drought Other items were also identified

Guiding Principles: Expanded Concepts

New “Guiding Principles” At the first Board Workshop, staff recommended blending the “Values” and “Beliefs” into a unified group of “Guiding Principles”, which would be further developed for the second Workshop. Added Excellence as a core concept, and Emphasizing: Innovation Principles Responsibility Safety Integrity Community Respect Leadership Transparency Guiding Principles

Guiding Principles Included in Strategic Plan EMWD embraces excellence in all facets of our business: Innovation: We will creatively seek to improve the services we provide. Responsibility: We will be accountable for our conduct in serving our customers, employees and community. Safety: We will ensure individual safety and the safety of our co- workers and the public, without compromise. Integrity: We will be honest and ethical in all of our interactions. Community: We will be actively engaged in promoting prosperity, environmental values and public health in the communities we serve. Respect: We will be considerate, aware and caring. Leadership: We will take a proactive industry-leading role in water management, wastewater treatment and renewable resources. Transparency: We will ensure the decisions and investments we make are clearly communicated and easily understood.

Strategic Plan and Strategic Priorities 2016 - 2018

Standards of Excellence Strategic Plan is organized by each of the EMWD Standards of Excellence With a clearly defined mission and vision, as well as guiding principles that define how we interact with customers and employees, EMWD is driven by standards to provide safe, reliable, economical and environmentally friendly services: Highly reliable water, recycled water and wastewater service Protection of public and environmental health Superior customer and community service Sound planning and appropriate investment Efficiency and fiscal responsibility Exemplary employer Effective communication and accountability Standards of Excellence Guiding Principles Re-ordered to lead with water/wastewater and health.

Highly Reliable Service Strategic Priorities: Water Recycling Discharge Permit Amendment for TVRWRF) Evaluation of Sodium Hypochlorite v. Gaseous Chlorine for RWRF Effluent Disinfection (NEW) Water Supply and System Redundancy: Local Water Banking Project Action Plan and Assessment Perris II Desalter Program Development and Funding Strategy Moreno Valley Groundwater Development Program Indirect Potable Reuse Project Development Develop Additional Water Supply for Hemet/San Jacinto Area Establish Groundwater Sustainability Agency(ies) for the Region

Highly Reliable Service (Con’t) Strategic Priorities: Water Supply and System Redundancy (con’t) Metropolitan Integrated Resources Planning and Regional Infrastructure Collaboration Advocacy for Fairness in Conservation-Related Regulatory Actions by the State (NEW) Planning for Sustained “Mega-Drought” Conditions (NEW) Wastewater Treatment Quail Valley Sewer Sub-Area 9, Phase 1 Salinity Management Drought-Related Water Quality Concerns Demonstration Scale AquaSel Project Brine Management Strategy (NEW) Water Use Efficiency Implement Water Loss Control Measures (NEW)

Public & Environmental Health Strategic Priorities: Planning Flow Monitoring and Calibration of Sewer Model (COMPLETE) Water Quality Provide Graywater Systems Policy Guidance (NEW) Responsible Regulation (Efforts embedded in Effective Communication and Accountability section)

Superior Customer and Community Service Strategic Priorities: Customer Service Technology Expansion of Automated Metering Infrastructure (AMI) Billing System (COINS) Replacement (NEW)

Sound Planning & Appropriate Investment Strategic Priorities: Business Processes & Technology Improve Operational Efficiencies in the Finance Department Develop a Mobile Network Solution Strategy HR/Payroll Solution Replacement Contract Administration System E-Mail Management System Comprehensive Information Technology Master Plan Energy Independence Solar Power Generation Air Quality Compliance for Biogas

Sound Planning & Appropriate Investment (Con’t) Strategic Priorities (con’t): Maintenance MWD Collaboration for Chlorine Supply Chain Reliability and Maintenance Training (COMPLETED) Heavy Fleet CNG Conversion Facilities Aesthetics – Repairs & Refurbishments Potable Water Pump Station Optimization

Efficiency & Fiscal Responsibility Strategic Priorities: Financial Stability Risk Management Program Enhancements Proportionate Cost of Service Cost of Service Study Rates and Charges Evaluate New Business Tenant Types Improved Capital Planning Process

Exemplary Employer Strategic Priorities: Safety Emergency Preparedness and Security Plans System Vulnerability Assessment Workforce Excellence 2016 Labor Negotiations Succession Planning Initiative Apprenticeship Program Development

Effective Communication & Accountability Strategic Priorities: Advocacy Increase EMWD’s Policy Influence Legislation on Tiered Rates California Water Fix (NEW) State Framework and Legislation on Forced Consolidations and Water Supply Assessments (NEW) Community Relations Communication, Outreach and Media Initiatives Brand Implementation (NEW) Overcome Brand Erosion Suffered from Drought and Increasing Stages of WSCP (NEW)

Effective Communication & Accountability (Con’t) Strategic Priorities: Partnerships County Water Company of Riverside MWD Policy Initiatives Interagency Development Outreach Diamond Valley Lake (DVL) Land Use Ad Hoc Committee Facilitation “Value of Tap Water” Program Expansion Enhanced Business Outreach Program Youth Ecology Corps Program Enhancement Water Education Center and Gardens

Paul D. Jones II General Manager (951) 928-6130 jonesp@emwd.org