HomeMy WebLinkAboutMinutes - EVWD Board of Directors - 01/27/2016 Approved February 24, 2016
EAST VALLEY WATER DISTRICT January 27, 2016
REGULAR BOARD MEETING
MINUTES
The Chairman of the Board called the meeting to order at 4:30 p.m.
PRESENT: Directors: Carrillo, Coats, Morales, Shelton, Smith
ABSENT: None
STAFF: John Mura, General Manager/CEO; Brian Tompkins, Chief
Financial Officer; Justine Hendricksen, District Clerk; Shayla
Gerber, Administrative Assistant
LEGAL COUNSEL: Jean Cihigoyenetche
GUEST(s): Members of the public
PUBLIC COMMENTS
Chairman Morales declared the public participation section of the meeting open at
4:31 pm.
There being no written or verbal comments, the public participation section was
closed.
APPROVAL OF AGENDA
M/S/C (Morales-Smith) that the January 27, 2016 agenda be approved as
submitted.
CLOSED SESSION
The Board entered into Closed Session at 4:31 p.m. as provided in the Ralph M. Brown
Act Government Code Sections 54956.9(d)(1) to discuss the item listed on the agenda.
THE BOARD RECONVENED THE MEETING AT 5:31 P.M.
L
Minutes 01/27/2016 smg
ANNOUNCEMENT OF CLOSED SESSION ACTIONS
With respect to Item #2: The Board voted unanimously (5-0) to approve the
settlement agreement between East Valley Water District vs. San Bernardino
International Airport Authority and to accept the dismissal of the lawsuit. vii
Highland resident, Mr. Wayne Brown, led the flag salute.
ROLL CALL
PRESENT: Directors: Carrillo, Coats, Morales, Shelton, Smith
ABSENT: None
PUBLIC COMMENTS
Chairman Coats declared the public participation section of the meeting open at
5:40 pm.
There being no written or verbal comments, the public participation section was
closed.
DISBURSEMENTS
M/S/C (Morales-Shelton) that disbursements for Checks #246395 through
#246668 which were distributed during the period of December 1, 2015 through
December 31, 2015, bank drafts and ACH Payments in the amount of $3,908,628.89
and $492,285.51 for payroll and benefit contributions. Total Disbursements for the
period $4,400,914.40 be approved as submitted.
ACCEPT AND FILE THE FINANCIAL STATEMENTS AS OF, AND FOR THE PERIOD
ENDED, DECEMBER 31, 2015
M/S/C (Morales-Shelton) that the Board accept and file the financial statements
as of, and for the period ended, December 31, 2015.
ACCEPT AND FILE THE INVESTMENT REPORT FOR THE QUARTER ENDED DECEMBER
31, 2015
M/S/C (Morales-Shelton) that the Board accept and file the investment report
for the quarter ended December 31, 2015.
RECEIVE AND FILE THE LEGISLATIVE UPDATE AND PRESENTATION
The District is currently coordinating with the legislative advocacy team to travel to
Sacramento and meet with various elected officials. Current projects and programs
have increased the need for the District to engage with committees and legislators
outside of the East Valley Water District boundaries.
2
Minutes 01/27/2016 smg
Representatives from the Onate Group and Gonzales, Quintana Et Hunter, LLC
presented to the Board legislation that could impact the District. Items discussed
were:
• Drought regulations
o The State Water Resource Control Board will announce revisions to the
emergency conservation regulations which may include credits and
adjustments of up to eight percent to urban water suppliers'
conservation standards. The Assistant General Manager stated that he
did not expect any significant impact on East Valley Water District.
• Water quality requirements
• Water conservation programs
• Potential funding opportunities
• Human resource requirements
o SB 854 Prevailing Wage Requirements went into effect as of January 1,
2016 that states contractors and subcontractors must pay a fee to
(register) obtain a permit to place bids and perform maintenance work,
which includes landscape work on public works projects over $1,000.
The General Manager/CEO stated that staff and the Board of Directors are considering
amending contracts to keep in compliance with new legislation; SB 854 will have a
huge impact on East Valley Water District's costs, which are forecasted at a 25 to 30
percent increase in service contracts that perform maintenance work.
M/S/C (Morales-Carrillo) that the Board receive and file the legislative update
and presentation as submitted.
MEMORANDUM OF UNDERSTANDING FOR THE BUNKER HILL BASIN CONJUNCTIVE USE
PROJECTS
San Bernardino Valley Municipal Water District's General Manager, Doug Headrick,
explained to the Board the significance of East Valley Water District's General
Manager/CEO executing the Memorandum of Understanding for the Bunker Hill Basin
Conjunctive Use Projects and asked for East Valley Water District's partnership in the
project. Mr. Headrick stated that conjunctive use, the storing of surface water in a
groundwater basin in wet years and withdrawing it from the basin in dry years, has
been contemplated for many years in the Bunker Hill Basin; that it is no longer an
effective way to store water; that the Bunker Hill Basin Conjunctive Use Project will
increase the dry year water production of local groundwater basins and that multiple
agencies partnering together will expand the Conjunctive Use facilities and sustain
management of groundwater resources.
kM/S/C (Morales-Shelton) that the Board authorize the General Manager/CEO to
execute the Memorandum of Understanding for the Bunker Hill Basin Conjunctive Use
Projects.
3
Minutes 01/27/2016 smg
GROUNDWATER SUSTAINABILITY COUNCIL MEMORANDUM OF UNDERSTANDING
The General Manager/CEO stated that the Bunker Hill Basin management is crucial. In
an effort to build on the foundation of existing laws and regulations, contracts and
judicial decrees, and the recent enactment of the Sustainable Groundwater
Management Act of 2014, the local water producers intend to enter in an MOU to
collaboratively develop a cooperative structure for the groundwater in the Upper
Santa Ana River Groundwater Basin. The goal is to ensure that these groundwater
basins are managed in a manner that will be reliable over the long-term. Mr. Doug
Headrick, General Manager for SBVMWD, stated that it is important that the Board
accept the MOU Bunker Hill Basin and the MOU for the Groundwater Sustainability
Council at the same time.
M/S/C (Carrillo-Shelton) that the Board authorize the General Manager/CEO to
execute the Groundwater Sustainability Council Memorandum of Understanding.
MISCELLANEOUS FEES UPDATE
The Chief Financial Officer provided a presentation to the Board regarding
miscellaneous fees which included reviewing current, new and proposed fees for
Finance, Engineering, and Operations.
Director Morales and Vice Chairman Carrillo both agreed that miscellaneous fees
should be reviewed every two years.
M/S/C (Morales-Shelton) that the Board schedule a Public Hearing on February
24, 2016 to consider adoption of adjustments to certain miscellaneous fees.
BOARD OF DIRECTORS' REPORTS
Director Smith reported on the following: he has been receiving Board of Director
training by the District Clerk; he spent the last three days at the California Special
Districts Association (CSDA) Leadership Academy receiving training on becoming a new
director.
Director Shelton reported on the following: on January 19th she attended the scoping
meeting for the Sterling Natural Resource Center (SNRC) at East Valley Water District
Headquarters; on January 21st she attended the Del Rosa Neighborhood Action Group
where the General Manager/CEO spoke on tiered rates and the SNRC; and on January
26th she attended the Highland Chamber of Commerce monthly luncheon where
EVWD's Assistant General Manager spoke on conservation.
Director Morales reported on the following: he attended the first scoping meeting
regarding the SNRC at San Bernardino Valley Municipal Water District (Valley District)
on January 14th; he attended the Recycled Water Ad-Hoc Committee and toured the
wastewater facilities of the City of San Bernardino; on January 26th he attended the
Highland Chamber of Commerce monthly luncheon where EVWD's Assistant General
Manager spoke on conservation.
4
Minutes 01/27/2016 smg
Vice Chairman Carrillo reported on the following: he attended the scoping meeting
regarding the SNRC at Valley District on January 14th and he met with the General
Manager/CEO and the Chairman of the Board to review the agenda.
Chairman Coats reported on the following: he attended the CSDA Leadership Academy
for returning students, and attended Valley District's meeting where they approved to
pre-purchase switchgears and PLC's for the City Creek Hydroelectric Project.
Information Only.
GENERAL MANAGER/CEO REPORT
The General Manager/CEO reported on the following: On January 21st he held a
community conversation for the Del Rosa Neighborhood Action Group and provided a
District update; on January 22nd he attended a networking meeting for local special
district managers hosted by CSDA; that Conservation Commission interviews have been
scheduled with potential candidates. He informed the audience that he will be out of
town from February 4th and returning on February 16th and he will not be able to
attend the February 10th regular board meeting, the Assistant General Manager will
assume his roll at that time.
The General Manager/CEO provided an update on the methodology of naming the
Sterling Natural Resource Center. He stated that Mr. A.E. Sterling was a local visionary
in the community; he was a longtime resident and property owner and participated in
different activities across the valley; that he was the founding member of the Highland
Chamber of Commerce and invested in many private water companies in the region.
The General Manager/CEO discussed concerns regarding the Flint Michigan lead issue
and stated that East Valley Water District performs stringent testing regimens to insure
that the water is safe for drinking.
Information only.
LEGAL COUNSEL REPORT
The District's Legal Counsel reported an update regarding the lawsuit between East
Valley Water District Vs Frank A. Reichl, litigation regarding price fixing relative to
the sales of liquid aluminum sulfate; that the class action suit has been filed in
Pennsylvania with lawyer Patrick Milligan, along with several other agencies; that it is
incumbent on the court to determine procedural rules for the case, govern how the
parties will conduct discovery and to claim which agency will be the lead plaintiff;
that it would benefit East Valley Water District to be the lead agency; that there
would be monetary and financial incentives to be the lead agency. He stated that the
underlying criminal case is resolved and that they entered pleads of guilty.
Information only.
5
Minutes 01/27/2016 smg
BOARD OF DIRECTORS' COMMENTS
Director Smith thanked the administration staff for the continuing education on
information pertaining to the District and serving as a member of the Board.
Director Morales informed the Board that he may have a scheduling conflict and may
not be able to attend the first regular board meeting in March.
Chairman Coats thanked everyone for coming this evening and he observed at the
CSDA Leadership Academy that other water agencies are lightyears behind EVWD and
he is very proud of staff and the Board for all their hard work. He asked the audience
to support the Sterling Natural Resource Center.
Information only.
ADJOURN
The meeting adjourned at 7:42 p.m.
eq' '
Ronal L. Coats, Chair
John J. Mura, cretary
6
Minutes 01/27/2016 smg