City of San Diego Independent Rates Oversight Committee

San Diego Municipal Code ch. 2, art. 6, div. 20

in effect

San Diego Municipal Code § 26.2001 Purpose and Intent

§26.2001 Purpose and Intent (a) It is the purpose and intent of the City Council to establish the Independent Rates Oversight Committee (IROC) to serve as an official advisory body to the Mayor and City Council on issues relating to the oversight of the City of San Diego’s water and wastewater services. IROC will assist the City in tracking and reviewing the use of rate proceeds to advance the capital improvements related to the rate packages and work programs adopted by the City Council. IROC will also oversee and advise on planning and operations including, but not limited to, resource management, cost effectiveness, planned expenditures, service delivery methods, public awareness and outreach efforts, and the City’s efforts to provide high quality and affordable services. It is the vision of the City of San Diego that a high level of public confidence in the City of San Diego’s utility services be maintained in the most cost effective and environmentally sensitive way. IROC is formed in support of this vision. (b) IROC will independently evaluate information and conduct its work in a manner which considers and balances the interests of both the public utilities department and the ratepayers. IROC will diversify its information sources to promote objectivity and independence, and will solicit information from other City departments and outside sources to supplement public utilities department information in conducting its work. (“Purpose and Intent” added 4-18-2007 by O-19607 N.S.; effective 5-18-2007.) (Amended 1-23-2013 by O-20233 N.S.; effective 2-22-2013.)

San Diego Municipal Code § 26.2002 Independent Rates Oversight Committee Established

§26.2002 Independent Rates Oversight Committee Established (a) IROC shall consist of eleven members, the majority of whom shall be residents of the City of San Diego, who shall serve without compensation. The members shall be appointed by the Mayor and confirmed by the City Council. The four ratepayer classes of single family residential, multifamily residential, commercial and industrial, and temporary irrigation and construction will each have one representative on IROC. In addition to the eleven members, IROC shall also include two ex-officio members, one representing and appointed by the Metropolitan Wastewater Joint Powers Authority, and one representing and appointed by the ten-member City representatives to the San Diego County Water Authority. A majority of the members of IROC shall possess expertise in one or more of the following areas: accounting, auditing, engineering, biology or environmental science, finance or municipal finance, law, and construction management. (b) Members shall serve four year terms, and each member shall serve until a successor is duly appointed and confirmed. In accordance with City Charter section 43, members are limited to a maximum of eight consecutive years, and an interval of four years must pass before such persons can be reappointed. Initial members shall be appointed such that the terms of not more than six members shall expire in any one year so as to allow the terms to be staggered. Initial appointments which are less than the full term of four years will be allowed to serve two full terms. The expiration date of all terms shall be May 1. Any vacancy shall be filled for the remainder of the unexpired term. Vacancy appointment recommendations will come from the original recommending body. Any vacancy replacements will be eligible to serve the remaining term of the vacant position and two full terms. (c) On or after May 1, IROC shall select a Chair from among its members. The Chair will serve a one year term with the option of reappointment for one additional one year term, with a one year interval between consecutive terms as Chair. (d) IROC may adopt rules consistent with the law for the governing of its business and procedures. (e) A conflict of interest code shall be adopted for IROC, subject to City Council approval. The members of IROC shall be required to complete and file statements of economic interests in accordance with the conflict of interest code. (“Independent Rates Oversight Committee Established” added 4-18-2007 by O-19607 N.S.; effective 5-18-2007.) (Amended 1-23-2013 by O-20233 N.S.; effective 2-22-2013.)

San Diego Municipal Code § 26.2003 Duties and Functions

§26.2003 Duties and Functions (a) IROC shall: (1) Meet at least every other month with additional meetings convened as necessary and as determined by the Chair, and set an attendance policy for IROC members to help ensure a quorum of members is present for all meetings. (2) Present an annual IROC work plan to the Committee on the Environment by May 1 of each year for discussion and comment, but not for approval. IROC may change its work plan to incorporate comments and feedback received from the Committee on the Environment. The work plan shall describe the activities and tasks IROC anticipates performing in the coming year. The work plan shall include, as a priority, the following components: (A) A quarterly review of the current schedule versus the original schedule for each capital improvement project and project to date expenditures versus the budget for each project funded by the water and wastewater enterprise funds. (B) Any duties delegated to IROC by resolution of the City Council. (3) Review factors, drivers, and cost structures of any proposed changes to City water or wastewater rates. (4) In conjunction with any proposals by the City to increase water or wastewater rates, other than proposed increases attributable solely to increases in the wholesale cost of water, conduct a cumulative review of the project schedules and budgets set forth in Section 26.2003(a)(2)(A) for capital improvement projects initiated or completed since the last City water or wastewater rate increase was implemented. (5) Review cost allocation models that may be included in cost of service studies of the water and wastewater systems. (6) Advise on the priority and scope of performance audits of the water and wastewater systems, and review any resulting performance audit reports. (7) Provide advice and review of policy and proposals as sought by department leaders and other City staff related, but not limited to budget and finance, environmental issues, technology innovations, system viability, water supply, and public outreach and education efforts. (8) Provide an annual public report to the Mayor and City Council discussing the activities, conclusions and recommendations of IROC and addressing the duties and functions of IROC set forth in this Section. The report shall include a discussion of all the components of the work plan, or an explanation as to why any components of the work plan are not included or incomplete. IROC shall present its annual reports at meetings of the Committee on the Environment. (b) IROC may also provide correspondence, interim reports, and appear at meetings of the City Council and Council Committees, as IROC deems necessary in the performance of its duties and functions. (“Duties and Functions” added 4-18-2007 by O-19607 N.S.; effective 5-18-2007.) (Amended 1-23-2013 by O-20233 N.S.; effective 2-22-2013.) (Amended 10-29-2013 by O-20316 N.S.; effective 11-28-2013.) (Amended 6-15-2017 by O-20829 N.S.; effective 7-15-2017.)

San Diego Municipal Code § 26.2004 Coordination with Audit Committee

§26.2004 Coordination with Audit Committee Any duties or functions of IROC that fall within the oversight responsibilities of the Audit Committee should be fully coordinated with and reported to the Audit Committee. IROC shall recommend at least one performance audit of the water or wastewater system each year for consideration by the City Auditor in time for inclusion in the City’s audit plan. (“Coordination with Audit Committee” added 1-23-2013 by O-20233 N.S.; effective 2-22-2013.)

Source: City of San Diego Office of the City Clerk, San Diego Municipal Code and City Charter (docs.sandiego.gov PDFs)URL: https://docs.sandiego.gov/municode/MuniCodeChapter02/Ch02Art06Division20.pdf#page=1Fetched: 10/28/2026