HomeMy WebLinkAboutMinutes - EVWD Board of Directors - 06/03/2009Appro June 23, 2009
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EAST VALLEY WATER DISTRICT
SPECIAL MEETING
JUNE 3, 2009
MINUTES
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President Goodin called the Special Meeting to order at 2:00 p.m. Director Morales led the
flag, salute.
PRESENT: Directors: Goodin, LeVesque, Morales, Sturgeon, Wilson
ABSENT: Director: None
STAFF: Robert Martin, General Manager; Ron Buchwald, District
Engineer; Brian Tompkins, Chief Financial Officer; Becky
Kasten, Accounting Supervisor; Justine Hendricksen,
Administrative Manager
LEGAL COUNSEL:
GUEST(s):
Steve Kennedy
Larry Malmberg,
Greg Clumpner
Community News)
PUBLIC PARTICIPATION
Michael Perez, Thomas Gould (HDR),
(HDR), Charles Roberts (Highland
President Goodin declared the public participation section of the meeting open at 2:01 p.m.
There being no written or verbal comments, the public participation section was closed.
DISCUSSION AND POSSIBLE ACTION REGARDING RATE STRUCTURES
AND BOND FINANCING
The General Manager introduced Mr. Clumpner and Mr. Gould from HDR; that they are
here to provide information relating to rate structures and how to re- structure water rates.
Mr. Clumpner stated that he would review the background on rate structures, design,
overview, options and rate structure alternatives and give general guidance and
recommendations to the Board; that the purpose of the workshop is to evaluate EVWD's
options for a new rate structure. Mr. Clumpner and Mr. Gould presented a power -point
presentation and discussed a number of items with the Board which included:
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• Background to Designing Rates
• Rate Structure Alternatives
• Factors Affecting EV WD Rates
• Establishing Rate Structure Priorities
• Recommended Approach
• Proposition 218, AB 2882, AB 3030
Mr. Kennedy brought up a number of his concerns regarding AB 3030 and multi year rate
increases.
A number of Directors asked questions throughout the power -point presentation relating to
tiered rate structures, bond financing, multi year rate adjustments, and statutory
requirements that the District may face in the coming years.
Director LeVesque would like the District to review tiered rate structures.
President Goodin would like to know how much it would cost for a tiered rate study and if
the District could prepare the rate study in house rather than hiring a consultant to do the
work.
Mr. Kennedy advised against the District preparing a rate study "in house "; and that any
rate increases need to be supported by an independent engineering report.
Director Sturgeon was open to the idea of tiered rates until this presentation; he is now less
excited about tiered rate options; that tiered rates may not be fair to some of the District's
constituents.
Vice President Wilson concurs with Director Sturgeon's comments.
No action taken.
The Board took a five- minute break at 3:17 p.m..
The Board returned to session at 3:24 p.m.
DISCUSSION AND POSSIBLE ACTION REGARDING THE DISTRICT'S 2009-
2010 DRAFT BUDGET
The General Manager reviewed the changes made to the draft budget with the Board; that
the debt issue will fund the capital program; that the debt payment will not show up until
the next fiscal year; that he balanced the necessary projects and deferred additional
projects; that with the changes made the budget is balanced.
Director Morales stated that he doesn't see any change in the costs throughout the budget;
that we should evaluate vendor contracts and renegotiate lower costs accordingly.
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Director LeVesque would like to make sure that projects are put out to bid and RFP's are
done.
Director Morales reiterated his concern related to lowering budget costs; that additional
measures need to be taken to cut costs.
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The General Manager stated that he needs feedback from the Board regarding budget
schedules, line items in the budget and budget cuts.
Director Sturgeon would like the Headquarters Project reviewed in detail and he was under
the impression that the Board was going to review the budget in detail at today's meeting.
No action taken.
The Board requested that the draft budget be on the June 9 agenda.
ADJOURN
The meeting was adjourned at 3:58 p.m.
Donald D. Goodin, President
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Rob t E. Martin, , eeretary
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