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HomeMy WebLinkAboutMinutes - EVWD Board of Directors - 06/22/2004Approved: July 13, 2004 EAST VALLEY WATER DISTRICT June 22, 2004 REGULAR BOARD MEETING MINUTES The meeting was called to order at 2:00 p.m. by President Wilson. Director Lightfoot led the flag salute. PRESENT: Directors Lightfoot, Sturgeon, Goodin, and Wilson ABSENT: Director Negrete STAFF: Robert Martin, General Manager; Paul Dolter, District Engineer; Brian Tompkins, Chief Financial Officer; Mary Wallace, Administrative Assistant; Justine Hendricksen, Administrative Assistant LEGAL COUNSEL: Steve Kennedy GUEST(s): Jo McAndrews, Charles Roberts (Highland Community News), Jim Cimino (Cimino Realty), Gary Sturdivan (EVWD) APPROVAL OF AGENDA Pursuant to Government Code Section 54656.2(b)(2), the Board determined by unanimous vote, and as requested by the General Manager, Robert Martin, to add the following NEW BUSINESS, OLD BUSINESS, CLOSED SESSION items to the Agenda as the need to take immediate action thereon arose after the Agenda was Posted: IOa. DISCUSSION AND POSSIBLE ACTION REGARDING FINANCING PROPOSALS FROM CITIZENS BUSINESS BANK AND ARROWHEAD CREDIT UNION FOR EAST VALLEY WATER DISTRICT'S 2004/2005 CAPITAL PROGRAM (HEADQUARTERS PROJECT). 15a. REVIEW AND ADOPT AGREEMENT BETWEEN EAST VALLEY WATER DISTRICT AND ARROYO VERDE MUTUAL WATER COMPANY TO TRANSFER WATER SERVICE. Minutes: 06/22/04 23. CONFERENCE WITH LEGAL COUNSEL — EXISTING LITIGATION [Government Code Section 54656.9(a)[ r NAME OF CASE: In the Matter of Petitions to Revise Declaration of Fully Appropriated Streams to Allow ProcessinE of Specified Applications to Appropriate Water from the Santa Ana River, State Water Resources Control Board Application Nos.31174 and A031165. M /S /C (Sturgeon- Lightfoot) that the June 22, 2004 Agenda be approved as submitted. PUBLIC PARTICIPATION President Wilson declared the public participation section of the meeting open at 2:05 p.m. There being no written or verbal comments, the public participation section was closed. APPROVAL OF JUNE 8, 2004 BOARD MEETING MINUTES M/S /C (Lightfoot- Goodin) that the June 8, 2004 Board Meeting Minutes be approved as submitted. RESOLUTION 2004.13 — CORPORATE RESOLUTION TO AUTHORIZE Ir DELETION AND ADDITION TO DISTRICT'S CHECKING ACCOUNT was presented to the Board for approval. M /S /C (Lightfoot- Goodin) that Resolution 2004.13 be approved. FINANCIAL STATEMENTS FOR PERIOD ENDED MAY 31, 2004 were presented to the Board for review. M/S /C (Lightfoot- Goodin) that the Financial Statements for period ended May 31, 2004 be accepted. APPROVAL OF LIENS FOR DELINQUENT WATER AND SEWER ACCOUNTS The General Manager stated that the charges identified by Account Number 1430258 -01 had been paid and should be removed from the lien list. M/S /C (Lightfoot- Goodin) that the liens for delinquent water and sewer accounts be approved for processing with the exception as noted by the General Manager. DISBURSEMENTS 2 Minutes: 06/22/04 M /S /C (Lightfoot- Goodin) that General Fund Disbursements #197642 through 9197797 distributed during the period of June 4, 2004 through June 17, 2004 in the amount of $588,857.22 and Payroll Fund Disbursements for the period ended June 11, 2004 in the amount of $91,670.96 totaling $680,528.18 be approved. RADON/PERCHLORATE RULE UPDATE The General Manager stated there was nothing new to report on the Radon or Perchlorate Rules; that there was an article in the local press that stated traces of Perchlorate have been found in milk within the state. DISTRICT HEADQUARTERS REVIEW AND SITE UPDATE The General Manager stated that the Design Phase for the Permanent Headquarters Site is moving forward; that the interim office furniture is on order, the partitions are installed; that the move -in date should be in July. Information Only. Vice President Sturgeon suggested flyers be distributed regarding our change of address and location. Information Only. Director Lightfoot suggested a sign be posted regarding our move to the temporary District Headquarters. Information Only. Vice President Sturgeon had concerns about whether the Design of the District ..w Headquarters Building, would be out -of -date in the future. Information Only. The General Manager stated these issues were taken into consideration and discussed at great length with the Design team. Information Only. CIMINO REALTY MARKETING REPORT UPDATE (JIM CIMINO) Jim Cimino presented an update on the 12.2 -Acre (5` property; that the property is in multiple listing, signs are posted; and that he is actively pursuing investors. Information Only. Vice President Sturgeon commented that the District could list the property without an agent. The General Manager stated that he and his staff does not have the time it would require to act as an agent and be able to properly represent the District. Information Only. Jim Cimino stated that having professional representation is in the best interest of the District. President Wilson concurred with Jim Cimino. Information Only. AGREEMENT TO TRANSFER WATER SERVICE BETWEEN EAST VALLEY WATER DISTRICT AND ARROYO VERDE MUTUAL WATER COMPANY was presented to the Board for review and approval. 3 Minutes: 06/22/04 M /S /C (Lightfoot/Goodin) that the agreement to transfer water service between East Valley Water District and Arroyo Verde Mutual Water Company be approved. w CALL FOR NOMINATIONS TO THE BOARD OF DIRECTORS FOR THE CALIFORNIA SPECIAL DISTRICTS ASSOCIATION No action was taken. Information Only. DISCUSSION AND POSSIBLE ACTION REGARDING A REQUEST FROM THE WATER RESOURCES INSTITUTE AT CALIFORNIA STATE UNIVERSITY SEEKING SPONSORSHIP AND SUPPORT FOR THE PERCHLORATE IN DRINKING WATER DOCUMENTARY Director Goodin, Sturgeon, and Wilson support the program. Director Lightfoot expressed concern regarding additional support, as the District is currently a Major Sponsor. The General Manager suggested a support level of $500.00. Vice President Sturgeon suggested a contribution of $1000.00. rr M /S /C (Goodin- Sturgeon) that $1000.00 Bronze Sponsorship for the Perchlorate in Drinking Water Documentary be approved. The motion was approved by a 3 -1 vote: nrr Director Lightfoot voted NO. Directors Sturgeon, Goodin, Wilson voted YES. Director Negrete was ABSENT. REVIEW OF BOARD POLICY ON DIRECTORS' REIMBURSEMENT OF FEES AND EXPENSES President Wilson suggested this issue be deferred until the next Board Meeting, as Director Negrete was not present. No action was taken. Information Only. BILL PRINT AND MAILING OUTSOURCING PROPOSALS were presented to the Board for approval. 4 Minutes: 06/22/04 Brian Tompkins, Chief Financial Officer requested conditional approval for the bill print and mailing proposal from DataProse. After one -year, staff would review the contract's terms and pricing. M/S /C (Sturgeon- Lightfoot) that the proposal from DataProse for bill print and mailing be approved. DISCUSSION AND POSSIBLE ACTION REGARDING THE PROPOSED 2004- 2005 BUDGET Director Goodin expressed concern regarding the increase in fees for Citizens Business Bank. The General Manager stated the fees would fluctuate based on certain criteria such as: deposits on account, credit balances and interest rates. President Wilson concurred with the General Manager. Brian Tompkins, Chief Financial Officer, stated that the Bank fees could be overstated and be related to an Investment account opened in 2003. Vice President Sturgeon requested that staff review fee schedules and analyze statements from other banks. M /S /C (Sturgeon - Wilson) that the 2004 -2005 Budget be approved as submitted. The General Manager requested that the pay range for the Meter Service Worker III position be changed from Range 43 to 44, which would have little or no impact on the current proposed Budget. M/S /C (Sturgeon - Wilson) that the motion be amended to include the Meter Service Worker III Pay Change to Range 44. DISCUSSION AND POSSIBLE ACTION REGARDING FINANCING PROPOSAL FROM CITIZENS BUSINESS BANK AND ARROWHEAD CREDIT UNION Vice President Sturgeon supports the proposal from Citizens Business Bank. Director Goodin would like to have three proposals from various banks. Director Goodin also stated that we should compare each proposal carefully, that the District should have had more time to review each proposal before making a decision, he would like to have each bank present their proposal in person. Director Lightfoot stated is wasn't necessary to have each bank present their proposal package in person, it would not change the information contained in the proposal. 5 Minutes: 06/22/04 President Wilson suggested the District accept the proposal and lock in the rate from Citizens Business Bank. 1W M/S /C (Sturgeon- Lightfoot) to accept the financing proposal from Citizens Business Bank as presented. The motion was approved by a (3 -1) vote: r Director Goodin voted NO. Directors Lightfoot, Sturgeon and Wilson voted YES. Director Negrete was ABSENT. RELEASES OF LIEN FOR DELINQUENT WATER AND SEWER ACCOUNTS List of liens released on June 15, 2004 was reviewed. Information only. WATER QUALITY CONFERENCE BUDGET UPDATE (CFO) The Chief Financial Officer, Brian Tompkins stated the District is receiving registrations for the Water Quality Conference. Jo McAndrews stated that the Water Quality Conference is moving forward, and she continues to actively pursue Sponsorships. Information Only. GENERAL MANAGER'S REPORT The General Manager reported on the District's operations to date; presented a letter from the United States Environmental Protection Agency regarding the Termination of Federal Administrative Order; that discussions were still active with Nextel; that Steve Kennedy would review leases presented from Nextel; that he would report new information and updates to the Board. Information Only Director Lightfoot would like to know if Nextel is interested in other locations located in the District. Information Only. The General Manager stated that the District is registered to participate in the Fourth of July Parade on July 3` Information Only. ORAL COMMENTS FROM BOARD OF DIRECTORS Director Goodin attended the Special Districts dinner; updated the Board regarding a program in Las Vegas where customers are compensated for having rock yards. ,M, Information Only. 6 Minutes: 06/22/04 Vice President Sturgeon expressed his gratitude to Mary Wallace for all her years of work for the District. Information Only. Board Members Lightfoot, Goodin and Wilson also expressed their gratitude to Mary Wallace. Information Only. Director Goodin stated he would be unable to attend the Fourth of July Parade. Information Only. President Wilson presented a letter from Fairfax School expressing gratitude for the Poster Contest Awards. Information Only. There being no further verbal or written comments from the Directors, this section of the meeting was closed. HAZARD MITIGATION UPDATE Regulatory Affairs Coordinator, Gary Sturdivan updated the Board on the continuing Hazard Mitigation Program; that the kick off meeting was June 9, 2004; that the meetings would be held on Wednesdays at 1:30pm at the District Offices; that the District purchased the on -line program and the web site could be accessed at www.mitigationplan.com that the focus would be on Fire, Flood and Earthquakes. Information Only. r WATER EDUCATION "2004 WATER LAW & POLICY BRIEFING ", HYATT REGENCY ISLANDIA HOTEL, SAN DIEGO, CA., JULY 15 -16 2004. Information Only. CLOSED SESSION The Board entered into Closed Session at 4:35 p.m. as provided for in the California Open Meeting Law, Government Code Section 54945.9(a), to discuss the items listed on the Agenda. ADJOURN TO REGULAR SESSION President Wilson declared that the meeting adjourn to regular session. ANNOUNCEMENT OF CLOSED SESSION ACTIONS The Board returned to session at 4:40 p.m. The items listed on, and added to, the Agenda were discussed in closed session with no reportable action being taken except: ..r 7 Minutes: 06/22/04 With respect to Item #22 — Board authorized execution of the Cash -Out Agreement involving the Gibson Superfund Site. sir %UW With respect to Item #23 — No reportable action taken. 13111411r7►1 The meeting was adjourned at 4:41 p.m. G orge E. "Skip" Wilson, President Minutes: 06/22/04