Manila CSD MSR Adopted 01 19 22 reduced

Manila Community Services District Municipal Services Review and Sphere of Influence Update Adopted January 19, 2022 www.humboldtlafco.org RESOLUTION NO. 22-02 APPROVING THE MANILA COMMUNITY SERVICES DISTRICT MUNICIPAL SERVICE REVIEW AND SPHERE OF INFLUENCE UPDATE WHEREAS, the Humboldt Local Agency Formation Commission, hereinafter referred to as the “Commission”, is authorized to conduct municipal service reviews and establish, amend, and update spheres of influence for local governmental agencies whose jurisdictions are within Humboldt County; and WHEREAS, the Commission conducted a municipal service review to evaluate the availability and performance of governmental services provided by Manila Community Services District, hereinafter referred to as the “District”, pursuant to California Government Code Section 56430; and WHEREAS, the Commission conducted a sphere of influence update for the District pursuant to California Government Code Section 56425; and WHEREAS, the Executive Officer gave sufficient notice of a public hearing to be conducted by the Commission in the form and manner provided by law; and WHEREAS, the staff report and recommendations on the municipal service review and sphere of influence update were presented to the Commission in the form and manner prescribed by law; and WHEREAS, the Commission heard and fully considered all the evidence presented at a public hearing held on the municipal service review and sphere of influence update on November 17, 2021 and continued to January 19, 2022; and WHEREAS, the Commission considered all the factors required under California Government Code Section 56430 and 56425. NOW, THEREFORE, BE IT RESOLVED by the Commission as follows: 1. The Commission, as Lead Agency, finds the municipal service review is exempt from further review under the California Environmental Quality Act pursuant to Title 14 California Code of Regulations Section 15306. This finding is based on the use of the municipal service review as a data collection and service evaluation study. The information contained within the municipal service review may be used to consider future actions that will be subject to additional environmental review. ´ HUMBOLDT £¤ 101 n a e c O c R d e i a s B f v y a N i w e c N a P H u m b o l d t B a y ¬« 255 Parcels Manila CSD 0 1,000 2,000Feet Manila Community Services Exhibit Source: Esri, Maxar, GeoEye, Earthstar Geographics, CNES/Airbus DS, USDA, USGS, AeroGRID, IGN, and the GIS User Community A District & Coterminous SOI Map Date: 11/12/2021 Sources: Parcels - Humboldt County GIS, Roads - US Census TIGER. HUMBOLDT LOCAL AGENCY FORMATION COMMISSION Commissioners: Virginia Bass, District 4 Supervisor Michelle Bushnell, District 2 Supervisor Stephen Avis, City of Ferndale Mike Losey, City of Fortuna Troy Nicolini, Peninsula Community Services District Debra Lake, Fruitland Ridge Fire Protection District Ali Lee, Public Member Alternate Members: Mike Wilson, District 3 Supervisor Gordon Johnson, City of Rio Dell Dave Couch, McKinleyville Community Services District Skip Jorgensen, Public Member Staff: Colette Santsche, AICP, Executive Officer Krystle Heaney, AICP, LAFCo Analyst/Clerk Cosette McCave, Services Specialist Jason Barnes, GIS Analyst Ryan Plotz, Legal Council Acknowledgements: LAFCo would like to thank Christopher Drop, General Manager and the other Manila CSD staff for their assistance in preparing this MSR/SOI Update. TABLE OF CONTENTS 1.0 MSR/SOI Background ............................................................................................................... 1 1.1 Role and Responsibility of LAFCo ...................................................................................................... 1 1.2 Purpose of Municipal Service Reviews ............................................................................................. 1 1.3 Purpose of Spheres of Influence ....................................................................................................... 2 1.4 Community Services District Principal Act ........................................................................................ 3 1.5 Disadvantaged Unincorporated Communities.................................................................................. 3 2.0 Manila Community Services District Background ...................................................................... 4 2.1 Agency Overview .............................................................................................................................. 4 2.2 Formation and Development ............................................................................................................ 4 2.3 Boundary and Sphere of Influence ................................................................................................... 4 2.4 Land Use and Zoning ......................................................................................................................... 6 2.5 Tribal Lands ....................................................................................................................................... 6 2.6 Growth and Population ..................................................................................................................... 7 2.7 Disadvantaged Unincorporated Communities.................................................................................. 7 2.8 Hazards .............................................................................................................................................. 7 3.0 Municipal Services .................................................................................................................. 10 3.1 Water Services ................................................................................................................................ 10 3.2 Wastewater Services ....................................................................................................................... 12 3.3 Stormwater Services ....................................................................................................................... 13 3.4 Recreation Services ......................................................................................................................... 13 3.5 Other Service Providers .................................................................................................................. 15 3.6 Shared Services & Governance Structure Options ......................................................................... 18 4.0 GOVERNANCE & Finance ........................................................................................................ 19 4.1 Governance ..................................................................................................................................... 19 4.2 Financial Overview .......................................................................................................................... 20 5.0 Manila MSR Determinations ................................................................................................... 22 6.0 Manila SOI Determinations ..................................................................................................... 24 List of Figures Figure 1: Manila CSD Boundary ................................................................................................. 5 Figure 2: Manila Seven Foot Sea Level Rise ............................................................................. 9 Figure 3: Existing Redwood Storage Tank .............................................................................. 11 Figure 4: Manila CSD Wastewater Infiltration Area ............................................................... 12 Figure 5: Manila Community Park Playground ...................................................................... 14 Figure 6: Manila Community Center ...................................................................................... 15 List of Tables Table 1: Manila CSD Contact Information ............................................................................... 4 Table 2: Manila CSD Board of Directors ................................................................................. 19 Table 3: Annual Budget Summary .......................................................................................... 21 Table 4: Manila CSD Audit Summary ...................................................................................... 21 Table 5: Total Net Position Summary ....................................................................................... 21 1.0 MSR/SOI BACKGROUND 1.1 Role and Responsibility of LAFCo Local Agency Formation Commissions (LAFCos) are independent regulatory commissions that were established by the State legislature in 1963 to encourage the orderly growth and development of local governmental agencies including cities and special districts. Today, there is a LAFCo in each of California’s 58 counties. Humboldt LAFCo is a seven- member commission comprised of two members of the Humboldt County Board of Supervisors, two City Council members, two Special District representatives, and one Public Member-At-Large. The Commission also includes one alternate member for each represented category. LAFCo is responsible for implementing the Cortese-Knox-Hertzberg Local Government Reorganization Act of 2000 (“CKH Act”) (California Government Code Section 56000 et seq.) for purposes of facilitating changes in local governmental structure and boundaries that fosters orderly growth and development, promotes the efficient delivery of services, and encourages the preservation of open space and agricultural lands. Some of LAFCo’s duties include regulating jurisdictional boundary changes and the extension of municipal services. This includes city and special district annexations, incorporations/formations, consolidations, and other changes of organization. LAFCo seeks to be proactive in raising awareness and building partnerships to accomplish this through its special studies, programs, and actions. The CKH Act outlines requirements for preparing Municipal Service Reviews (MSRs) for periodic Sphere of Influence (SOI) updates. MSRs and SOIs are tools created to empower LAFCo to satisfy its legislative charge of “discouraging urban sprawl, preserving open space and prime agricultural lands, efficiently providing government services, and encouraging the orderly formation and development of local agencies based upon local conditions and circumstances” (§56301). CKH Act Section 56301 further establishes that “one of the objects of the commission is to make studies and to obtain and furnish information which will contribute to the logical and reasonable development of local agencies in each county and to shape the development of local agencies so as to advantageously provide for the present and future needs of each county and its communities.” SOIs therefore guide both the near-term and long-term physical and economic growth and development of local agencies, and MSRs provide the relevant data to inform LAFCo’s SOI determinations. 1.2 Purpose of Municipal Service Reviews As described above, MSRs are designed to equip LAFCo with relevant information and data necessary for the Commission to make informed decisions on SOIs. The CKH Act, however, gives LAFCo broad discretion in deciding how to conduct MSRs, including geographic focus, scope of study, and the identification of alternatives for improving the efficiency, cost-effectiveness, accountability, and reliability of public services. The purpose of a MSR in general is to provide a comprehensive inventory and analysis of the Manila CSD 2022 MSR & SOI Update [1] services provided by local municipalities, service areas, and special districts. A MSR evaluates the structure and operation of the local municipalities, service areas, and special districts and discusses possible areas for improvement and coordination. While LAFCos have no direct regulatory authority over cities and special districts, MSR’s provide information concerning the governance structures and efficiencies of service providers – and may also serve as the basis for subsequent LAFCo decisions. The MSR is intended to provide information and analysis to support a sphere of influence update. A written statement of the study’s determinations must be made in the following areas: (1) Growth and population projections for the affected area (2) Location and characteristics of any disadvantaged unincorporated communities within or continuous to the sphere of influence (3) Present and planned capacity of public facilities, adequacy of public services, and infrastructure needs or deficiencies (4) Financial ability of the agency to provide services (5) Status of and opportunities for shared facilities (6) Accountability for community service needs, including governmental structure and operational efficiencies (7) Any other matter related to effective or efficient service delivery, as required by Commission policy This MSR is organized according to these determinations listed above. Information regarding each of the above issue areas is provided in this document. 1.3 Purpose of Spheres of Influence In 1972, LAFCos were given the power to establish SOIs for all local agencies under their jurisdiction. As defined by the CKH Act, “‘sphere of influence’ means a plan for the probable physical boundaries and service area of a local agency, as determined by the commission” (§56076). All boundary changes, such as annexations, must be consistent with an agency’s sphere of influence with limited exceptions. Pursuant to Humboldt LAFCo policy, a MSR is conducted prior to or in conjunction with its mandate to review and update each local agency’s sphere of influence every five years or as necessary. The municipal service review process is intended to inform the Commission as to the availability, capacity, and efficiency of local governmental services prior to making sphere of influence determinations. LAFCo is required to make five written determinations when establishing, amending, or updating an SOI for any local agency that address the following (§56425(c)): (1) The present and planned land uses in the area, including agricultural and open space lands. (2) The present and probable need for public facilities and services in the area. Manila CSD 2022 MSR & SOI Update [2] (3) The present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide. (4) The existence of any social or economic communities of interest in the area if the commission determines that they are relevant to the agency. (5) For an update of an SOI of a city or special district that provides public facilities or services related to sewers, municipal and industrial water, or structural fire protection, the present and probable need for those public facilities and services of any disadvantaged unincorporated communities within the existing sphere of influence. Service reviews may also contain recommendations for sphere of influence or government structure changes needed to implement positive service changes. Where more detailed analysis of service options is necessary, service reviews may contain recommendations for special studies where there is the potential to reduce service gaps and improve service levels. 1.4 Community Services District Principal Act The CSD principal act is the Community Services District Law (Government Code §61000, et seq.) which authorizes CSDs to provide up to 31 types of governmental services within their boundaries. Manila CSD is authorized to provide water, wastewater, stormwater, and parks and recreation services. Other services, facilities, functions or powers enumerated in the District’s principal act but not identified in the formation resolution are “latent,” meaning that they are authorized by the principal act under which the District is formed but are not being exercised. Latent powers and services activation require LAFCo authorization as indicated in Government Code §25213.5. 1.5 Disadvantaged Unincorporated Communities SB 244 (Chapter 513, Statutes of 2011) made changes to the CKH Act related to “disadvantaged unincorporated communities,” including the addition of SOI determination number (5) listed above. Disadvantaged unincorporated communities, or “DUCs,” are inhabited territories (containing 12 or more registered voters) where the annual median household income is less than 80 percent of the statewide annual median household income. Humboldt LAFCo has adopted DUC policy, which identifies 31 inhabited unincorporated “legacy” communities, including Manila, for purposes of implementing SB 244. These legacy communities were defined as part of the Humboldt County 2014 Housing Element for areas not located within the sphere of influence of a city. DUCs are recognized as social and economic communities of interest for purposes of recommending SOI determinations pursuant to Section 56425(c). Manila CSD 2022 MSR & SOI Update [3] 2.0 MANILA COMMUNITY SERVICES DISTRICT BACKGROUND 2.1 Agency Overview The Manila Community Services District (CSD) provides water, wastewater, and park services to the small community of Manila on the Samoa Peninsula to the southwest of the City of Arcata. The community originally supported logging and pulp mill activities on the peninsula before the decline of the industry in the last half of the 20th century. It is now noted for its abundant access to the dunes coastal habitat and is home to a small year round population. Table 1: Manila CSD Contact Information Primary Contact Christopher Drop, General Manager E-mail manilacsd1@sbcglobal.net Address 1901 Park Street, Arcata, CA 95521 Phone 707-444-3803 Website www.manilacsd.com 2.2 Formation and Development Manila CSD was originally organized in 1965 under Government Code Section 61100 by Humboldt County Board of Supervisors Resolution No. 2130. The District was formed after a successful special election to provide the community of Manila with water, wastewater treatment, storm water treatment, public recreation, streetlighting, street repair, and construction and improvement of bridges, culverts, curbs, gutters, and drains. Since then, MSR and SOI reports for the District have indicated that active powers are for public water, wastewater, stormwater drainage, and parks and recreation. Other powers within the District are considered latent and must be activated by LAFCo before provision of service begins. 2.3 Boundary and Sphere of Influence The District is centered along US Highway 255 between Arcata Bay and the Pacific Ocean, from the Mad River slough to the north to Samoa Bridge to the south. The boundary encompasses the Manila dunes, small neighborhoods off Highway 255, and the Manila community park. The current District boundary encompasses approximately 1,621 acres with a coterminous SOI. At this time, there are no proposed changes to the District’s boundary or SOI. Manila CSD 2022 MSR & SOI Update [4] Figure 1: Manila CSD Boundary Manila CSD 2022 MSR & SOI Update [5] 2.4 Land Use and Zoning Land uses within the District are currently subject to the Humboldt County General Plan and Zoning Regulations (Humboldt County Code Title III, Division 1). Under the Humboldt County General Plan, land uses within the District are primarily Natural Resource (NR) and Residential Low Density (RL). Other land uses include Agricultural Grazing (AG), Public Resource (PR), Public Facility (PF), Residential Estates (RE), Commercial (CR), and Coastal Industrial (MG). The surrounding area is predominantly NR and Agricultural Exclusive (AE). These land uses are low density and growth limiting which indicates that the district will have limited growth over the next five to ten years. Under Humboldt County Zoning Regulations, zoning within the District is Natural Resources (NR) with combining zones Coastal Wetlands (W), Beach and Dune Areas (B), Archaeological Resource Area (A), and Flood Hazard Areas (F), Rural Residential Agriculture (RA-2.5) with combining zones B, Residential Single Family (RS-5/20) with combing zones Manufactured Home (M), A, W, and B, Coastal Industrial (MG) with combining zones A and W, Public recreation (PR) with combining zones A, Commercial General (CG), Public Facility-Urban (PF1) with combining zones B and W, Commercial Recreation (CR) with combining zones A and W, and Public Facility (PF) with combining zone Design Review (D). The zoning outside of the District’s boundary is primarily NR with combining zones A, B, and W, and Agriculture Exclusive with combining zones F and Transitional Agricultural Lands (T). While there are some commercially zoned lands within the District, these areas are primarily residential with commercial use limited to the market and mini golf located at the corner of Lupin Drive and Highway 255. The former Sierra Pacific Mill site located next to the Mad River Slough along Highway 255 is no longer operational but is currently being proposed as the location of a new indoor mixed light cannabis cultivation and processing facility. 2.5 Tribal Lands The community of Manila is located within the ancestral tribal lands of the Wiyot. These lands extend from Trinidad to Bear River Ridge. The Wiyot people call this area Goudi’ni, meaning “over the woods.” Historically the people worked with the natural bounty of the bay, ocean, forests, and rivers to provide sustenance and materials for themselves1. In 1848, the discovery of gold inland halted much of the Wiyot’s way of life. A new era of extermination and assimilation were forced onto the Wiyot people, along with other tribes in the region. While the tribe has never been able to fully recover from this devastating era, they are now 600 members strong and growing. Recent efforts by the tribe have led to the return of sacred lands on Tuluwat Island in Humboldt Bay to the Wiyot people. They continue to work with other local governments and tribes to increase awareness of tribal peoples and lands through education, return of sacred lands, and revising place names. 1 Wiyot Tribe, History. Accessed on August 5, 2021from https://www.wiyot.us/148/Cultural. Manila CSD 2022 MSR & SOI Update [6] 2.6 Growth and Population Manila CSD is located within the Manila Census Designated Place (CDP). According to the 2020 Decennial Census, the approximate population is 798. This is a slight increase from the 2010 estimate of 7842. The District’s boundary is larger than the census boundary and these estimates may not provide an accurate representation of the entire population. Based on historical growth patterns for the District and limited development potential in the area, there is no indication that the population will grow a substantial amount in the next five to ten years. 2.7 Disadvantaged Unincorporated Communities Disadvantaged unincorporated communities, or “DUCs,” are inhabited territories (containing 12 or more registered voters) where the annual median household income (MHI) is less than 80 percent of the statewide annual median household income. The estimated 2019 MHI for Manila CDP is $42,500 which is 56 percent of the estimated California MHI of $75,235 which means the District qualifies as a DUC. South of the District is Samoa CDP, which has a MHI that is 55 percent of the California MHI, which also qualifies it as a DUC3. However, Samoa is provided services by the Peninsula CSD (formerly Samoa Peninsula Fire District). While the ACS estimates can provide an estimated income, an official income survey for the District would provide a more accurate representation of the area and may allow the District to qualify for more funding. In 2005, the County passed a resolution naming Manila a blighted community. In total, there were seven (7) community areas within Humboldt County that received this designation including portions of the unincorporated communities of Willow Creek, Alton, Glendale, Fields Landing, Manila, Samoa/Fairhaven, and Orick. These areas had a variety of blight conditions resulting in deteriorated, substandard, obsolete or vacant buildings and other properties that were either not developed because of certain blight conditions or were necessary for inclusion as a blighted area to allow for the effective planning and redevelopment of the area. Their designation as a blighted community provides greater access to funding for redevelopment and infrastructure projects4. 2.8 Hazards Tsunamis Manila is at risk for tsunami related flooding due to its proximity to the several major fault zones. The entire District, except for the peaks of several dunes in the area, is located in a tsunami hazard and evacuation area. Due to this, evacuation signage was installed in 2015 and a full-scale evacuation drills are held5. 2 US Census, 2010 & 2020 Decennial Census, Table P1 for Manila CDP. 3 US Census, 2019 ACS 5-year Estimates, Median Household Income for Past 12 Months, Table S1903 for Manila CDP, Samoa CDP, and California. 4 Humboldt County Redevelopment Agency, Fire-year Humboldt County Redevelopment Agency Implementation Plan, 2006. 5 Humboldt County, Operational Area Hazard Mitigation Plan 2019: Volume 2-Planning Partner Annexes, Section 11 Manila CSD. January 2020. Manila CSD 2022 MSR & SOI Update [7] The community of Manila has been participating in the Redwood Coast Tsunami Work Group and was the first in the country to be designated TsunamiReady: Tier Two by the National Weather Service6. The community continues to benefit from continued evacuation planning and coordination with nearby communities to ensure an adequate response during a tsunami event. Sea Level Rise Sea level rise refers to an increase in the average sea level over time. This is anticipated to affect the Northern California coastline in some way over the next 50 to 100 years with the most recent projections estimating three to seven feet in rise. The most notable effects will likely occur in and around Humboldt Bay which may affect the District. Additionally, low-lying areas near sea level are vulnerable to tidal flooding and extreme storm events. More information on this can be found in the Sea Level Rise Adaptation Plan for Humboldt Bay/Eureka Slough Area7. While the District is protected to the west by natural dunes, areas along the bay on the eastern side of the District could be impacted. Seven feet of sea level rise could inundate a large portion of the Manila Community Park, low-lying areas north of the Samoa Bridge along Vance Avenue, the former Sierra Pacific Mill site, and portions of Highway 255 where it is directly adjacent to the bay. Additional parcels along the bayside of Victor Boulevard could also be impacted (Figure 3)8. The parcels along Victor Avenue are primarily residential. Should sea level rise begin to impact these areas it is likely that residents would become displaced. Due to the low economic status of the area and the high cost of insurance, it is unlikely that homeowners would be able to cover additional flood insurance to cover damages from sea level rise and/or increasing tidal flooding, or implement mitigation measures such as sea walls on their own. While the wastewater treatment facility and other critical infrastructure for the District are located more inland along Lupin Drive, water distribution and wastewater collection lines are already at risk from flooding which may be exacerbated by sea level rise. This coupled with impacts to Highway 255, the only access to the area, and potential inundation of residential properties, could lead to major impacts and potential disaster scenarios for the community. Since the District has fewer resources to cope with, adapt to, or recover from climate impacts on its own, it is strongly encouraged that the District continue working with local partners, such as the County, Humboldt Bay Harbor District, Coastal Conservancy, and the Coastal Commission, to support the creation and implementation of regional climate adaptation and resilience action plans and to support capacity building to engage vulnerable communities such as Manila. Early climate adaptation and resiliency planning will help ensure the continued safety of residents and help protect vulnerable District infrastructure. 6 Redwood Coast Tsunami Work Group, TsunamiReady Communities. Accessed October 26, 2021, from https://rctwg.humboldt.edu/tsunamiready-communities. 7 Sea Level Rise Adaptation Plan, Section 1.7: Sea Level Rise. March 31, 2021. 8 National Oceanic and Atmospheric Administration, Sea Level Rise Viewer. Accessed October 26, 2021, from https://www.climate.gov/maps-data/dataset/sea-level-rise-map-viewer. Manila CSD 2022 MSR & SOI Update [8] Figure 2: Manila Seven Foot Sea Level Rise Manila CSD 2022 MSR & SOI Update [9] 3.0 MUNICIPAL SERVICES 3.1 Water Services Manila purchases water from Humboldt Bay Municipal Water District (HBMWD) which utilizes the Mad River as their water source. Municipal water is pumped from an aquifer beneath the Mad River by 4 Ranney Wells. These wells are situated within the riverbed at ranges of about 60 to 90 feet. This water is continuously recharged with surface water from the Mad River, some of which is released from Ruth Lake pursuant to HBMWD’s water rights. At HBMWD’s Essex operations center, municipal water is diverted and pumped to meet demand. Industrial water is diverted by a surface diversion facility9. In the summertime, the naturally filtered water is disinfected through chlorination. In the winter, the water is further treated at a regional Turbidity Reduction Facility. The facility reduces the turbidity, or cloudiness, in HBMWD’s source water10. Water is delivered to Manila through a 15-inch diameter main that continues south to Samoa and Fairhaven. From this, a 10-inch diameter main typically provides water to the District’s 100,000 gallon redwood water tank. Based on their current contract with HBMWD, the District has a peak rate allocation of 0.15 MGD. However, based on a current application for indoor mixed light cannabis cultivation at the former Sierra Pacific Mill site, this peak rate allocation may be increased to accommodate increased used from the cannabis facility11. Water service is provided by the District to approximately 357 service connections which consists of 397 residential and 2 commercial/industrial. The District maintains approximately 6 miles of water mains ranging from two to eight inches in diameter that were installed in 1965. The pipelines are in generally good condition with some areas needing repair within 5-10 years. The existing two inch lines do not meet current regulations and will need to be replaced as funding allows. As noted previously, water mains may potentially be impacted by flooding and seismic events including tsunamis. Of particular concern are water mains running under Highway 255 which could be difficult to repair when flooded12. In 2020, the District supplied approximately 36.6 million gallons of water to customers. This is approximately 67% of the total contracted amount with HBMWD13. This indicates that the District has adequate water supply to meet current and future needs. District customers are charged a base rate of $40.63 per month per connection plus $1.13 per 100 cubic feet of water used14. Based on a typical three member household using 9 Humboldt Bay Municipal Water District, 2020 Urban Water Management Plan. 10 HBMWD, 2020 Consumer Confidence Report. 11 Manila CSD, Board Meeting Agenda Packet for October 21, 2021. 12 Humboldt County, Operational Area Hazard Mitigation Plan 2019: Volume 2-Planning Partner Annexes, Section 11.7 Jurisdiction-Specific Vulnerabilities. January 2020. 13 Manila CSD, General Manager – Personal Communication. November 8, 2021. 14 Manila CSD, Water & Sewer Billing Information – Current Rates. Accessed October 13, 2021 from manilacsd.com/page4.html. *revised Manila CSD 2022 MSR & SOI Update [10] approximately 962.5 cubic feet of water per month, this would result in a monthly bill of approximately $52.00. Water Storage As noted above, the District utilizes a 100,000 gallon redwood tank for water storage. Based on the average maximum day use of 99,000 gallons per day and a minimum fire storage of 120,000 gallons, there is an approximate shortage of 119,000 gallons15. The existing redwood tank is planned for replacement with a pending State Revolving Fund contract. The District is in the process of obtaining this funding through the State’s Drinking Water State Revolving Fund which will replace the existing redwood tank. The $3.5 million project includes a new 150,000 gallon water storage tank, new pumping facilities, back- up power, and other small system improvements. Figure 3: Existing Redwood Storage Tank Contamination Concerns The District, as well as others supplied by HBMWD, have sent letters to Senator McGuire and Assembly member Wood requesting additional funding for remediation efforts for the old McNamara and Peepe Mill sites located adjacent to the Mad River. The Department of Toxics Substances Control (DTSC) issued an Imminent and Substantial Endangerment (ISE) Determination for the site in April of 2008. Little has been done to remediate the potential for contamination. It was proposed by the DTSC that $30,000 out 15 Updated calculation based on estimates from 2008 Community Infrastructure & Services Technical Report. Manila CSD 2022 MSR & SOI Update [11] of their current budget be spent on investigation activities. The Districts’ letters urge the DTSC to reconsider and increase the amount to $200,000. The money would be spent on immediate investigation and cleanup efforts to protect the drinking water source from contamination16,17. 3.2 Wastewater Services Manila CSD utilizes the Septic Tank Effluent Pump (STEP) system for their wastewater. The system’s latest iteration became operational in 1995, pumps liquid effluent from the residents’ septic tanks into a force main that delivers effluent to a centralized facility for treatment. The facility includes three free surface wetlands, two surface aerated facultative ponds, and four percolation ponds (rapid infiltration basins) for disposal. The dry weather design capacity is 0.14 MGD and there is no wet weather design capacity for the system. The average flow for the system is 0.052 MGD during dry weather and 0.066 MGD during wet weather which indicates the facility is operating well below its capacity18. Figure 4: Manila CSD Wastewater Infiltration Area The system currently has 444 connections and could potentially support another 500 connections based on average effluent flows19. However, due to other limiting factors including availability of buildable parcels and land use restrictions, it is unlikely the District would see this level of buildout. Each connection is charged a flat rate of $44.13 per month per dwelling unit20. 16 Manila CSD, Notice and Agenda of Regular Meeting April 2021. 17 HBMWD, Agenda for Regular Meeting of the Board of Directors April 2021. 18 Manila CSD, Agenda Packet for Regular Meeting January 21, 2021. 19 Humboldt County, Community Infrastructure & Services Technical Report. Table 7-8 for Manila USA. Prepared by Winzler & Kelly Consulting Engineers. July 2008. 20 Mania CSD, Current Rates. Manila CSD 2022 MSR & SOI Update [12] Manila CSD recently received a planning grant that has allowed for more funding for upgrades to the wastewater collection and treatment system. The project includes septic tank and pump upgrades, installation of SCADA for wastewater treatment and disposal, septage management, upgrades to the aerated lagoons, new backup generator, and safety fencing21. 3.3 Stormwater Services Stormwater planning on the peninsula can be difficult as there are several entities that manage stormwater including Manila CSD, County of Humboldt, the North Coast Rail Association, Caltrans, and private properties. The current Manila community drainage system consists of disjointed infrastructure that lacks overall system functionality. It primarily includes culverts under roadways and bioswales located along Highway 255 that are managed by Caltrans. While this helps alleviate some potential flooding issues, overall stormwater flow and localized flooding remain an issue. The District has been approved for a $2 million drainage system improvements project through the California Natural Resourced Agency In June of 2020, Manila CSD applied for the Urban Flood Protection Grant Program to help alleviate stormwater issues throughout the community. The plan project includes new drainage facilities that will connect the existing Caltrans facilities along Highway 255 to Humboldt Bay through a system of culverts and bioswales utilizing native plant species. The project also plans to create a large bioretention facility/rain garden at the Manila Community Center22. 3.4 Recreation Services The District owns Manila Community Park, which is the location of a small RV campground that is currently closed. The District also operates the Manila Community Center and provides access to costal dunes in the Manila Dune Recreation Access Area. Manila Community Park is a 15-acre park that includes a playground, picnic area, play fields, tennis court, and short walking trails. It also hosts the location of the Manila Bay Disc Golf course which has nine holes to play through. Park hours are from dawn to dusk seven days a week. The small RV campground located next to the community park can accommodate up to three RV’s at a time but has been shut down closed due to the pandemic and the prior caretaker’s retirement in April 2020. The Manila CSD Board is currently looking into options for reopening the campground or using the property for other recreational features23. 21 North Coast Regional Water Quality Control Board, Executive Officers Report 2020. 22 Manila CSD, Manila Flood Reduction and Drainage Enhancement Project Maps. Prepared by GHD. June 2020. 23 Manila CSD, Agenda Packet for Regular Board Meeting October 2021. Manila CSD 2022 MSR & SOI Update [13] Figure 5: Manila Community Park Playground The Manila Community Center is on the southern end of Manila along Peninsula Drive. It serves as the location for the Redwood Coast Montessori school and provides access to dune trails and beaches. The Manila Community Resource Center, located at the community center, hosts events and provides outreach to the community. Events include the Spring Celebration Drive Thru, Family Dental Hygiene Zoom, and Parent Café. The Center works with community members to get them the supplies that they need throughout the year. They host supply drives, provide application assistance for Calfresh, Medi-Cal, and CalWORKS, as well as other outreach programs. The District has been working on updating the community center as funds become available. Most recently, one of the restrooms underwent a remodel. Future planned upgrades include switching from propane fueled heating to electric and installation of additional solar arrays to offset electricity costs24. At certain times of the year, the paved area between buildings floods as can be seen in the figure below. Installation of a rain garden, included in the stormwater management grant discussed in Section 3.3, will help alleviate some of this flooding. Additional repairs needed at the center include new doors and windows and awning support post replacement. Access to the dunes in Manila is provided in many locations. Major access points include the Manila Community Center, Humboldt Bay Coastal Nature Center and Samoa Dunes and Wetlands Area managed by Friends of the Dunes, Ma-le’l South managed by the Bureau of Land Management, and Mal-le’l North managed by the Humboldt Bay Wildlife Refuge25. While overseen by different agencies, these protected areas create a long stretch of largely uninterrupted habitat for flora and fauna to flourish. 24 Manila CSD, Agenda Packet for Regular Board Meeting August 2021. 25 Friends of the Dunes, Discover the Humboldt Bay Area Coastal Habitats. Map. Copyright 2013. Manila CSD 2022 MSR & SOI Update [14] Figure 6: Manila Community Center 3.5 Other Service Providers In addition to Manila CSD, a number of other entities provide vital services to the Manila community. Other local government agencies that provide services within the boundaries of Manila CSD include: • Humboldt Bay Municipal Water District (wholesale drinking water provider) • Humboldt Bay Harbor Conservation and Recreation District (countywide service provider of harbor management and Humboldt Bay resource conservation) • Humboldt County Resource Conservation District (countywide service provider of soil conservation, agricultural services support, habitat conservation) • North Coast Emergency Medical Services Authority (regional emergency medical services system manager including first responder and ambulance service- ambulance services provided by Arcata-Mad River Ambulance Service) • Humboldt County (countywide provider of general government, roads, drainage, law enforcement) Fire Protection and Emergency Response Fire protection services are provided to the unincorporated community of Manila, through the Arcata Fire Protection District (AFPD). The AFPD is an independent special district that serves the communities of Arcata, McKinleyville, Manila, Bayside, and Jacoby Creek. Within their 62 square mile boundary they operate three fire stations that are staffed with a minimum of two on-duty firefighters. In 2020 they responded to over 3,000 Manila CSD 2022 MSR & SOI Update [15] service calls including 57 structure fires, 79 vehicle accidents, and over 1,500 medical incidents26. AFPD participates in an Automatic Mutual Aid Agreement for the North Humboldt Bay Region Fire Agencies, entered into on September 30, 202027, which stipulates that all fire and rescue incidents receive a response from the home agency plus a unit from three (3) nearest agencies. As such, incidents in Manila would receive an initial response from Arcata FPD as the agency having primary jurisdiction and a response from Samoa Peninsula Volunteer Fire Department (Peninsula CSD), Humboldt Bay Fire, and Blue Lake FPD as the three closest agencies. This response arrangement provides faster response times and provides a more efficient base of coverage utilizing the existing resources of the participating agencies. More information on AFPD services can be found in the 2017 Humboldt Bay Regional Fire Services MSR. Law Enforcement Law enforcement services for the peninsula, including the communities of Manila and Samoa, are provided by the Humboldt County Sheriff’s Office. Services include regular patrols, response to calls, animal control, community safety events, criminal investigations and more. In 2020, Sheriff Officers responded to over 60,000 calls for service, seized approximately 49,500 lbs of illegal substances, and made over 1,000 arrests28. Manila CSD regularly works with the Sherrif’s Office to address homeless encampments and illegal dumping on District property. Solid Waste Disposal Solid waste disposal throughout much of the county is provided by Recology – Humboldt County. They provide curbside pickup for yard waste, recyclables, and landfill waste in addition to specialty services for bulk items, hazardous materials, and e-waste. The local Recology office is located on the peninsula in Samoa. Transportation Within Manila there are state, county, and privately owned roadways which creates unique circumstances for transportation planning in the small coastal community. Caltrans is responsible for maintenance and repair of Highway 255, a 9.5-mile state highway between Eureka and Arcata, which bisects the community of Manila separating the K-12 Montessori school, the Manila CSD offices, and the Humboldt Coastal Nature Center on the coastal sand dune side from the remaining community core located on the shore side of Humboldt Bay. The highway, also known as New Navy Base Road, is marked 55-miles-per-hour speed limit, which makes unsafe conditions for walking or bicycling along or across Highway 255. 26 Humboldt County Fire Chiefs’ Association. Draft 2020 Annual Report. 27 Signatory agencies to the North Humboldt Bay Automatic Mutual Aid Agreement include Arcata FPD; Blue Lake FPD; CALFIRE Humboldt Del Norte Unit/CSA #4; Fieldbook Volunteer Fire Department (Fieldbrook Glendale CSD); Humboldt Bay Fire Authority; Samoa Peninsula Volunteer Fire Department (Peninsula CSD); Kneeland FPD; and Westhaven Volunteer Fire Department. 28 Humboldt County Sheriff’s Office, 2020 Annual Report. Manila CSD 2022 MSR & SOI Update [16] Highway 255 between Eureka and Arcata is an incomplete transportation facility that was designed primarily to support motorized vehicles. Related to Manila’s high poverty rate, qualifying it as a DUC, many residents do not own or use motorized transit, other than the periodic Redwood Transit System bus running north-south. Highway 255 is the only road in and out of Manila and is vulnerable to sea level rise. All utilities follow this road, most notably the water main serving Manila and the other peninsula communities of Samoa and Fairhaven, both mixed residential and industrial enclaves. It is also an alternate route for travel between Eureka and Arcata should Highway 101 be closed for any reason (e.g., construction, accidents, and flood events). This has the potential to create a high level of traffic that the community was not designed for. Caltrans and the County of Humboldt are proposing future projects to improve safety for non-motorized and motorized travelers in Manila and increase the use of active modes of transportation. A Class I bike path (also known as shared use path or multi-use trail) along 0.6 miles of Highway 255 corridor is planned in the Manila area. The project would enhance coastal access, heighten driver awareness of the community, create a new tsunami evacuation route, and fill the gap for non-motorized travel between the Pacific and Lupin Avenue neighborhoods. The trail would be designed as a paved, 10-foot wide path with two, two-foot wide shoulders, situated at least five feet from the edge of a standard eight-foot wide shoulder along SR 255. Trail crosswalks would be provided at the Lupin Avenue trail-road crossings. The current project is designed for future connection to the Humboldt Coastal Nature Center managed by Friends of the Dunes. Peninsula Community Services District The Peninsula CSD (formerly Samoa Peninsula Fire Protection District), provides services to the communities of Samoa, Fairhaven and Finntown located south of Manila on the peninsula. The Peninsula CSD was formed in 2020 as part of a reorganization of the Samoa Peninsula FPD in order to provide expanded services including water, wastewater, fire protection and emergency response, parks and recreation, landscape maintenance, road maintenance, and storm drainage as part of the Town of Samoa multi-phase subdivision. For each new service undertaken by the Peninsula CSD, the district will levy fees and assessments for services provided in accordance with Proposition 218. It is anticipated that the District will proceed with establishing a zone to cover the Town of Samoa, designated the Samoa Town Service Zone. (Gov. Code,§61140 et seq.) The services the District will provide within Samoa Town Service Zone are water, wastewater, fire protection, parks and recreation, and streets and lighting. Initially, the District will adopt fees to fund water and wastewater services in the Samoa Town Service Zone. (The District will consider charges to support other services at a later date.) The District’s water and wastewater services include maintenance and repair, water quality testing and meter reading, wastewater collections, treatment and testing, small and large-scale capital improvements, and installation of new services. Monthly rates will generate the revenue necessary to fund these services and are designed to distribute water and wastewater annual costs equitably between ratepayers. Manila CSD 2022 MSR & SOI Update [17] Over time as part of the phased development, the Peninsula CSD will accept, own and maintain all dedicated property and infrastructure to serve the town of Samoa subdivision. 3.6 Shared Services & Governance Structure Options Manila CSD has received requests to provide bookkeeping and other administrative assistance to nearby agencies. While this is not a defined CSD service, this type of shared service is authorized by CSD Law Chapter 5 – General Powers §61070 which states: “A district may contract with any local agency, state department or agency, federal department or agency, or any tribal government for the provision by or to the district of any facilities, services, or programs authorized by this division, within or without the district, subject to compliance with §56133.”29 Shared personnel are often encouraged among smaller special districts in order to reduce overhead costs and provide more efficient and economical provision of services to their communities. This is something the District may want to investigate further with other nearby providers to see if there are any opportunities for these types of shared services. There may also be an opportunity for additional sharded services between the Peninsula CSD and Manila CSD. These two small special districts face similar challenges and provide similar services to their communities. As mentioned above, the Peninsula CSD was recently formed to provide expanded services to the peninsula south of Highway 255. As part of the town of Samoa phased subdivision, homes, businesses and institutions in Samoa will be subdivided and acquired by private home and business owners over time. Eventually a full range of services, staffing and governance will be provided by the Peninsula CSD. However, this phased process will take time to reach full buildout. As such, there is likely information sharing and opportunities to collaborate between the Peninsula CSD and Manila CSD on projects, planning, and technical efforts. Both Districts may consider opportunities for shared equipment and potentially personnel (e.g., meter readers, system operators, administrative staff, grant writing, etc.). It is important to note that various reorganization options were evaluated for the Samoa subdivision process. LAFCo prepared a Peninsula Services Study in 2012 to consider governance structure options for the provision of expanded municipal services on the peninsula. The following options were considered: 1. Annex Samoa to Manila CSD 2. Form new Community Services District for Samoa only 3. Reorganize Samoa Peninsula Fire District into a Community Services District This study recognized that forming a new CSD for Samoa only was not preferred as it would result in another governmental entity providing services on the Peninsula. While 29 Government Code §56133 pertains to out of agency services agreements. Manila CSD 2022 MSR & SOI Update [18] annexation to Manila CSD was considered a viable alternative, the Manila CSD District Board at the time voted against providing expanded services to the Town of Samoa through annexation. At the time, there were logistical concerns, location/proximity, and current debt service issues that would make such a merger so complex that it may not be feasible. Governance was also identified as a potential issue once the merger took place that again, made this option less desirable. The final result from these discussions was a recognition that Samoa Peninsula FPD already served the Samoa community and that reorganizing the Samoa Peninsula FPD to a CSD would be more feasible and desirable than attempting to merge with Manila. Samoa Peninsula FPD proceeded with reorganizing into a CSD, with LAFCo approval and subsequent election by voters. 4.0 GOVERNANCE & FINANCE 4.1 Governance The Manila CSD is an independent special district served by a five-member Board of Directors that is elected to four-year staggered terms. Board meetings are held every third Tuesday of the month. Meetings are typically held at the Community Center located at 1611 Peninsula Drive. However, due to Covid-19, the board has been hosting meetings via Zoom video conference in compliance with Executive Orders N-08-21, N-29-20, and N-25-20. Table 2: Manila CSD Board of Directors Board Member Title Term Meghan Ryan Vice-President December 2022 Dave Jannetta Secretary December 2022 Danielle Muniz Financial Officer December 2022 Sequoyah Faulk-Kellogg Safety Officer December 2024 John Broderick Member December 2022 Staffing Manila CSD maintains a small staff in order to reduce overhead costs. The District currently employees a General Manager, Chief Plant Operator, and Administrative Assistant. Until 2021, the District also supported a Utility Worker position. However, after the resignation of the previous utility worker, the Board approved a reorganization of personnel to eliminate the Utility Worker position, increase contracting services and increase compensation for the Chief Plant Operator and Administrative Assistant in order to provide more competitive pay rates30. Accountability and Transparency The District maintains a website in accordance with SB929 regulations (www.manilacsd.com). At least three years’ worth of District audits are available on the 30 Manila CSD, Board Meeting Agenda Packet and Minutes for June 17th, 2021 Regular Meeting. Manila CSD 2022 MSR & SOI Update [19] website. District budgets are available in the agenda packet for the meeting in which the annual budget is considered. In order to increase ease of access, it would be beneficial to post the adopted annual budgets as separate documents. Board agendas and notices are posted at the District office at least 72 hours in advance of scheduled Board meetings. Meeting minutes are posted on the District’s website as part of the next meeting’s agenda packet. Meetings of the Board of Directors are subject to the Ralph M. Brown Act which requires agendas must be posted at least 72 hours in advance of scheduled Board meetings in a location that is freely accessible to members of the public. 4.2 Financial Overview Manila CSD is funded by fees for services, property taxes, operating grants, and other minor revenues. The largest portion of the District’s revenue, approximately 80%, comes from fees for water and sewer service. A budget is adopted annually for the upcoming fiscal year, typically in May or June. Over the last three fiscal years the District has been able to budget a slight surplus in funds as can be seen in Table 331. This is partially due to an annual increase in fees for water and sewer services. This surplus will allow the District to plan for and implement minor capital improvement projects. However, major capital improvement projects such as the currently proposed water, sewer, and drainage system comprehensive updates, have to rely on outside grant funding to implement. The District conducts annual audits in compliance with CSD law. As can be seen in Table 4, over the last four fiscal years the District has seen a net surplus in funds consistent with their adopted budgets. This has resulted in an increase of the District’s overall net position from just over $2.5 million in FY 15-16 to just over $3.18 million in FY 19-20 (Table 5)32. 31 Manila CSD, Board Meeting Agenda Packet for August 2021 Regular Meeting – Proposed FY2021/22 Budget. 32 Manila CSD, Basic Financial Statements for Fiscal Years Ending June 30, 2017, 2019, & 2020. Manila CSD 2022 MSR & SOI Update [20] Table 3: Annual Budget Summary Category FY 19-20 FY 20-21 FY 21-22 Revenues Water $195,509 $207,878 $224,238 Sewer $191,737 $195,871 $200,174 Public Works $2,500 $2,500 $3,000 Park $21,500 $21,500 $18,500 Community Center $70,014 $71,585 $71,644 Other $12,000 $12,000 $10,000 Total Revenues $493,260 $511,334 $527,556 Expenditures Water $199,250 $203,745 $204,984 Sewer $194,496 $198,721 $202,376 Public Works $2,500 - $3,000 Park $21,474 $18,092 $18,500 Community Center $69,821 $69,998 $65,000 Total Expenditures $487,541 $490,556 $493,860 Gain/ (Loss) $5,719 $20,778 $33,696 Table 4: Manila CSD Audit Summary Category FY 15-16 FY 16-17 FY 17-18 FY 18-19 Revenues Charges for Services $444,700 $419,600 $425,600 $450,300 Operating Grants $20,300 - - Capital Contributions - $70,100 $333,100 $276,000 Property Taxes $39,000 $40,600 $32,300 $29,200 Other $1,600 $3,000 $3,600 $3,600 Total Revenue $505,600 $533,300 $794,600 $759,100 Expenses Parks and Recreation $25,600 $29,500 $32,600 $30,600 Youth Programs $36,300 - - - Water $191,800 $184,300 $165,200 $207,100 Wastewater $187,100 $210,500 $186,300 $197,400 Community Center $100,900 $89,100 $80,300 $107,500 Total Expense $541,700 $513,400 $464,400 $542,500 Net Gain/(Loss) ($36,100) $19,900 $330,200 $216,500 Table 5: Total Net Position Summary Category FY 15-16 FY 16-17 FY 17-18 FY 18-19 FY 19-20 Total Assets $2,658,000 $2,720,300 $3,121,500 $3,334,000 $3,250,000 Total Liabilities $112,500 $154,900 $208,000 $204,000 $67,000 Total Net Position $2,545,500 $2,565,400 $2,913,500 $3,130,000 3,183,000 Manila CSD 2022 MSR & SOI Update [21] 5.0 MANILA MSR DETERMINATIONS As set forth in Section 56430(a) of the CKH Act- In order to prepare and to update the SOI in accordance with Section 56425, the commission shall conduct a service review of the municipal services provided in the county or other appropriate area designated by the commission. The commission shall include in the area designated for a service review the county, the region, the sub-region, or any other geographic area as is appropriate for an analysis of the service or services to be reviewed, and shall prepare a written statement of its determinations with respect to each of the following: (1) Growth and population projections for the affected area a) The current District population is estimated to be 798 based on the 2020 decennial census data. Due to the community’s limited potential for development, it is anticipated that the population will remain fairly consistent over the next five to ten years. (2) The location and characteristics of any disadvantaged unincorporated communities within or contiguous to the sphere of influence a) The community of Manila has a MHI that is 56 percent of the California MHI and is therefore considered a DUC. The community is provided adequate water, wastewater, and emergency response services by local agencies. b) The community of Samoa to the south of the District has a MHI that is 55 percent of the California MHI and also qualifies as a DUC. This community is provided services by the newly reorganized Peninsula CSD. (3) Present and planned capacity of public facilities and adequacy of public services, including infrastructure needs or deficiencies a) There is currently adequate water supply from HBMWD to support demand in the District. However, the existing redwood water storage tank is undersized and potentially vulnerable to seismic activity. The District should continue efforts to replace the existing tank in order to better serve the community. b) The current wastewater treatment facility is operating at less than half of its total capacity based on current demand which indicates there is adequate capacity to meet current and future demands. c) Park and recreation services include the Manila Community Center, Manila Dunes Recreation Area, and Manila Community Park. These areas are in generally good condition and maintained regularly by the District. The existing RV park is currently closed but is planned for repurposing as another recreation feature. d) Stormwater drainage in the District is minimal and occasionally leads to localized flooding in areas that lack adequate drainage feasters. However, as described above the District has procured grant funding to implement a community wide drainage system that will help alleviate flooding. Manila CSD 2022 MSR & SOI Update [22] e) Some of the District’s water and wastewater infrastructure may be susceptible to seismic events and flooding. The District is encouraged to work on infrastructure improvements that would help limit service disruptions caused by these types of events. (4) Financing ability of agencies to provide services a) The District adopts an annual budget and conducts annual audits in compliance with CSD law. According to the most recently available audits the District has been operating at a surplus over the last few fiscal years and has been able to increase their overall net position. b) While the District has enough funding to support regular District activities and maintenance, there is limited funding for major capital improvement projects. As such, any major updates or repairs must rely on outside funding. (5) Status of and, opportunities for, shared facilities a) The District rents a portion of the Manila Community Center to Redwood Coast Montessori which helps provide income for regular maintenance of the facility. b) The District has been approached by other local agencies about providing administrative services. Shared administrative services can be a cost efficient way reduce costs while maintaining the same level of service for the community. (6) Accountability for community service needs, including governmental structure and operational efficiencies a) The District is overseen by a five member Board of Directors that is elected to staggered four year terms. b) The district regularly seeks out community input on District activities including desired park and recreation features and programs. (7) Any other matter related to effective or efficient service delivery a) Some portions of the District, including Highway 255, may be vulnerable to sea level rise. The District is encouraged to work with other local and state agencies on mitigation projects that will help alleviate these impacts and ensure the continued health and safety of the community. Manila CSD 2022 MSR & SOI Update [23] 6.0 MANILA SOI DETERMINATIONS In order to carry out its purposes and responsibilities for planning and shaping the logical and orderly development of local governmental agencies to advantageously provide for the present and future needs of the county and its communities, the commission shall develop and determine the sphere of influence of each local agency, as defined by G.C. Section 56036, and enact policies designed to promote the logical and orderly development of areas within the sphere. In determining the sphere of influence of each local agency, the commission shall consider and prepare a written statement of its determinations with respect to the following: (1) Present and planned land uses in the area, including agricultural and open-space lands. a) There is a mix of residential, commercial, industrial, and natural resources land use designations within the District. Surrounding land use designations are largely natural resource due to several protected dune, marsh, and bay areas surrounding the District. (2) Present and probable need for public facilities and services in the area. a) Existing residents rely on the District from the provision of water and wastewater services. Due to the existing community and school the area will need services for the foreseeable future. b) A new cannabis cultivation and production facility is proposed for the former Siearra Pacific Mill site. The facility will likely rely on existing connections with the District for water and possibly wastewater services. c) Surrounding areas are provided services by other agencies such as Samoa CSD, and the cities of Eureka and Arcata. (3) Present capacity of public facilities and adequacy of public services that the agency provides or is authorized to provide. a) The District’s water and wastewater infrastructure is adequate to serve the current and future needs of the community. The District’s current contract with HBMWD may need to be increased in order to accommodate the new cannabis facility but HBMWD has enough capacity to cover this increase. b) Stormwater drainage in and around the District is minimal and localized flooding can occur. However, as described above, the District has procured grant funding to implement a community-wide stormwater drainage system that will help alleviate these issues. (4) Existence of any social or economic communities of interest in the area if the commission determines that they are relevant to the agency. Manila CSD 2022 MSR & SOI Update [24] a) The cities of Eureka and Arcata are within a short driving distance of Manila. Due to the limited commercial activities in the community, residents may rely on retail and professional services within these two cities for grocery shopping, health care, household maintenance, and entertainment. (5) For an update of a sphere of influence of a city or special district that provides public facilities or services related to sewers, municipal and industrial water, or structural fire protection, the present and probable need for those public facilities and services of any disadvantaged unincorporated communities within the existing sphere. a) Manila is considered a DUC and is provided water and wastewater services by the Manila CSD. Fire and emergency response services are provided by the Arcata FPD, Peninsula CSD, and Arcata-Mad river Ambulance Service. b) Samoa is also considered a DUC and is provided services by the Peninsula CSD. c) Based on current service levels for Manila and the surrounding communities, no changes to the District’s coterminous SOI are proposed. Manila CSD 2022 MSR & SOI Update [25]