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HomeMy WebLinkAboutMinutes - EVWD Board of Directors - 05/19/2010Approved June 22 2010 EAST VALLEY WATER DISTRICT SPECIAL MEETING May 19, 2010 President Wilson called the Special Meeting to order at 3:00 p.m. Vice President Levesque led the flag salute. PRESENT: Directors: Levesque, Malmberg, Morales, Sturgeon, Wilson ABSENT: Directors: None STAFF: Robert Martin, General Manager; Justine Hendricksen, Administrative Manager; Brian Tompkins, Chief Financial Officer; Ron Buchwald, District Engineer; Cecilia Contreras; Administrative Office Specialist LEGAL COUNSEL: Steve Kennedy GUEST(s): Stacy Costello (HDR); Cara Van Dijk (CV Strategies); Carolyn Moloshco (CV Strategies); Jim Cimino PUBLIC PARTICIPATION President Wilson declared the public participation section of the meeting open at 3:00 p.m. There being no written or verbal comments, the public participation section was closed. DISCUSSION AND POSSIBLE ACTION REGARDING THE HEADQUARTERS PROJECT There was no discussion for this item and no action taken. DISCUSSION AND POSSIBLE ACTION REGARDING 2010 RATE STUDY The General Manager introduced Stacy Costello from HDR. Ms Costello gave a presentation regarding the Rate Study; the presentation included single rates and tiered rate structures. Director Malmberg and Director Morales inquired about the additional software that would be needed to convert the billing content to a tiered rate structure and the employee time that would be required for the conversion. Mr. Tompkins stated that the current billing software is able to handle the billing conversion and minimal employee time would be required Director Morales asked about the Capital Improvement Project's and how they are incorporated into the tiered rate structures. (Minutes 5/19/10) cm. 1 President Wilson stated that he was concerned with a tiered rate structure and how it would be explained to our customers. M/S /C (LeVesque - Malmberg) to accept the report and include additional addendums reflecting the Capital Improvement Projects. M/S (LeVesque - Malin berg) to adopt a tiered rate structure. President Wilson disagrees with a tiered rate structure; that it is not necessary at this time. Director Sturgeon stated that he would like to stay with a fixed rate and re -visit the tiered rate structure in a couple years. Director Malmberg stated that it would be difficult to explain the tiered rate structure to customers. A roll call vote was taken. Vice President LeVesque voted yes. Director Morales voted no. President Wilson voted no. Director Sturgeon voted no. Director Malmberg voted yes. The motion failed. M/S (Sturgeon- Morales) to move forward with the proposed fixed rate structure. No vote taken. Director Morales agreed that a tiered rate structure would be necessary later down the line. Vice President LeVesque stated that the District would end up spending more money down the line to come back to the decision of a tiered rate structure. A roll call vote was taken to see which Directors were in support of a tiered rate structure. Vice President LeVesque voted yes. Director Morales voted no. President Wilson voted no. Director Sturgeon voted no. Director Malmberg voted no. M /S /C (Sturgeon - Morales) to move forward with the proposed fixed rate structure. Directors Malmberg, Morales. Sturgeon and Wilson voted } es. (Minutes 5/19/10) emc 2 Vice President LeVesque voted no. The General Manager stated that the Prop 218 notice needs to be finalized; that a date needs to be set for the rate increase hearing; that if the increase takes effect October I that the City of San Bernardino's sewer treatment fee's will be approximately $100,000.00 and these fee's will need to be paid prior to the rate increase. M /S /C (Sturgeon- Morales) that the rate increase be effective October i s ' - 2010 with the understanding that the cost to the District will be approximately $100,000.00, to subsidize the City of San Bernardino's sewer treatment fee's. A roll call vote was taken. Vice President LeVesque voted no. Director Morales voted yes. President Wilson voted yes. Director Sturgeon voted yes. Director Malmberg voted no. A Public Hearing has been scheduled for July 15 at 6 p.m. The Board took a break at 4:16 p.m. The Board returned to session at 4:26 p.m. CLOSED SESSION The Board entered into Closed Session at 4:26 as provided in the California Open Meeting Law, Government Code Section 54945.9(a), to discuss those items listed on the agenda. ADJOURN TO REGULAR SESSION President Wilson declared that the meeting adjourns to regular session. ANNOUNCEMENT OF CLOSED SESSION ACTION No reportable action at this time. ADJOURN The Meeting was adjourned at 5:38 p.m. George E. Wilson, President Robert E. Martin, Secretary (Minutes 5/19/10) cmc