The URL can be used to link to this page

Home My WebLink AboutMinutes - EVWD Board of Directors - 01/28/2015 Approved February 11 , 2015 EAST VALLEY WATER DISTRICT January 28, 2015 BOARD MEETING MINUTES The Chairman of the Board called the meeting to order at 5:30 p.m. Vice Chairman Coats led the flag salute. PRESENT: Directors: Carrillo, Coats, Coleman, Morales, Shelton ABSENT: Directors: None STAFF: Brian Tompkins, Chief Financial Officer; Tom Holliman, Engineering and Operations Manager; Justine Hendricksen, District Clerk; Eileen Bateman, Senior Administrative Assistant LEGAL COUNSEL: Jean Cihigoyenetche GUEST(s): Members of the public SUPPLEMENTAL INFORMATION FROM THE GENERAL MANAGER REGARDING AGENDA ITEMS No supplemental information at this time. PRESENTATIONS Et CEREMONIAL ITEMS No presentations Et ceremonial items at this time. PUBLIC COMMENTS Chairman Morales declared the public participation section of the meeting open at 5:31 p.m. There being no written or verbal comments, the public participation section was closed. APPROVAL OF AGENDA M/S/C (Coats-Coleman) that the January 28, 2015 agenda be approved as submitted. APPROVE THE DECEMBER 18, 2014 SPECIAL BOARD MEETING MINUTES M/S/C (Coats-Coleman) that the December 18, 2014 special meeting minutes be approved as submitted. Minutes: 01/28/15 etb APPROVE THE JANUARY 13, 2015 SPECIAL BOARD MEETING MINUTES M/S/C (Coats-Coleman) that January 13, 2015 special board meeting minutes be approved as submitted. APPROVE THE JANUARY 14, 2015 REGULAR BOARD MEETING MINUTES M/S/C (Coats-Coleman) that the January 14, 2015 regular board meeting minutes be approved as submitted. ACCEPT AND FILE THE INVESTMENT REPORT FOR THE QUARTER ENDED DECEMBER 31, 2014 M/S/C (Coats-Coleman) to accept and file the Investment Report for the Quarter ended December 31, 2014 as submitted. DISBURSEMENTS M/S/C (Coats-Coleman) that the General Fund Disbursements #242640 through #243204 which were distributed during the period of November 1, 2014 through December 31, 2014 in the amount of $3,942,102 and payroll and benefit contributions in the amount of $727,635, totaling $4,669,737 be approved. ADOPT AND FILE THE COMPREHENSIVE ANNUAL FINANCIAL REPORT (CAFR) AND AUDIT REPORTS FOR THE YEAR ENDED JUNE 30, 2014 The Chief Financial Officer provided a history of the District's financial statements and statistical information of water sales and production of water. He presented a detailed review of the Districts' Comprehensive Financial Report including but not limited to East Valley Water Districts' financial conditions ratios, change in net position, capital asset condition, and debt service coverage. Mr. Fankhanet of the CPA firm, Van Lant a Frankhanel, reviewed the responsibilities for completing the audit report including the District's financial statements, compliance with associated laws and regulations with projects, the additional Federal Government requirement of a single audit due to the grant funds that were received by the District throughout the 2013-2014 Fiscal Year, the standards for the audit procedures and that the District had no significant findings. He stated the report was overall a good audit and it was a pleasure working with staff and thanked the District for their efforts in preparing for the audit. Chairman Morales stated that the audit is significant to the delivery of capital projects and in keeping healthy reserves and acquiring a manageable debt service. He also stated that grant applications require a single audit to determine the District's future grant opportunities and is very proud of the District's Certificate of Achievement for Excellence in Financial Reporting from the Government Finance Officers Association. 2 Minutes: 01/28/15 etb The Chief Financial Officer provided an overview of the significance to achieving excellence in future reporting and stated that this is the District's second year receiving this award. M/S/C (Shelton-Coats) to adopt and file the Comprehensive Annual Financial Report (CAFR) and Audit Report for the year ended June 30, 2014. APPROVE MARCH 25, 2015 PUBLIC HEARING DATE FOR CONSIDERATION OF WATER BUDGET BASED RATES AND MOVING FORWARD WITH PROPOSITION 218 NOTICE The Chief Financial Officer reviewed the process of Proposition 218; that the District previously provided a presentation of the proposed water budget based rates and the next step that the District will take is setting the date for the Public Hearing for March 25, 2015 and notices will be sent to the District customers. Legal Counsel, Jean Cihigoyenetche provided an overview of the District's compliance to date and that the District is required to send thorough information to its customers to kick-off the hearing process. Vice Chairman Coats expressed his gratitude to Ms. Kelly Malloy and CV Strategies for the Proposition 218 notice. 11 Chairman Morales stated that this is one of the best documents he has seen for a Proposition 218 notice. M/S/C (Shelton-Carrillo) to approve the March 25, 2015 public hearing date for consideration of Water Budget Based Rates and moving forward with Proposition 218 Notice. BOARD OF DIRECTORS REPORTS Chairman Morales stated that part of the Boards efforts to bring a stronger standard for AB 1234, the "Directors Comments" is an opportunity for each member to report on activities over the past two weeks and provide any information that was obtained for the benefit of the District. Vice Chairman Coats stated that he attended the Upper Santa Ana Water Resources Association meeting, San Bernardino Valley Municipal Water District and the Association of San Bernardino County Special Districts. The items discussed were regarding the State mandates of 20% water reduction by 2020, legislative platform and project funding, hydro-electric plant funding for the District's Plant 134, and California Water Law. Director Carrillo stated that he represented the District at the California Special District Association Leadership Academy. The information he obtained was best practices for how to govern and effectively lead and work with the Board, the Public and Staff and that it was very rewarding, informative and a great opportunity to be in attendance. 3 Minutes: 01/28/15 etb Director Shelton stated that she attended the Upper Santa Ana Water Resources Association and the Association of Special Districts and the City of Highland monthly luncheon. The items discussed in addition to what Vice Chairman Coats provided was the upcoming changes in the association, legal discussion and pending legislation. Director Coleman stated that he also attended the California Special District's Association leadership program to complete the second course. He found the class interesting and informative. Chairman Morales stated that the California Special District's Association leadership program provides training that allows the District to earn designation in best practices in governance; and that with all five Board members obtaining this training it continues the escalation for a higher standard and is in line with the District's strategic initiatives. He stated that he attended the Association of California Water Agencies Region 9 meeting at the San Gorgonio Pass Water Agency and the discussion was regarding updating the strategic plan and business committee. Information only. GENERAL MANAGER/CEO REPORTS The Chief Financial Officer provided information regarding the Bronze sponsorship from the District for the Highland Family YMCA 32nd Annual Run, the District provided a temporary drinking fountain near the finish line of the race for attendees which provided a great opportunity to showcase the benefits of drinking tap water, staff attended the City of Highland's council meeting and heard positive comments regarding the District's recycled water center and representatives from Rowland Water District were onsite to seek assistance with a kiosk deployment that has been in progress for 2 years. LEGAL COUNSEL REPORT Mr. Cihigoyenetche congratulated Mr. Tompkins for achieving market transparency. BOARD OF DIRECTORS COMMENTS Director Carrillo stated that the District did a fantastic job at setting the bar with receiving the Certificate of Achievement for Excellence in Financial Reporting; that at the Leadership Conference East Valley Water District was the only agency in attendance to receive that award. Director Coleman stated that during his attendance at the California Special District's Association leadership he heard many comments and is very happy to hear that East Valley Water District is peaking the interest of other agencies for the Headquarters and services that we provide. Chairman Morales reported on the Highland City Council Meeting and stated that there were a lot of people in the audience and it was quite interesting to see the support for �.... the District. He shared his experience of seeing a customer use the kiosk. 4 Minutes: 01/28/15 etb The Board took a break at 6:18 p.m. CLOSED SESSION The Board entered into Closed Session at 6:26 p.m. as provided in the Ralph M. Brown Act Government Code Sections 54956.8,and 54957 to discuss the items listed on the agenda. ANNOUNCEMENT OF CLOSED SESSION ACTIONS The Board returned to open session at 8:38 p.m. The items listed on the agenda were discussed in closed session with the following action being taken: With respect to item #9 - No reportable action taken. With respect to item #10 - No reportable action taken. With respect to item #11 - No reportable action taken. ADJOURN The meeting adjourned at 8:38 p.m. am Morales, Jr., Chairman John J. Mura, ecretary 5 Minutes: 01/28/15 etb I I I