HomeMy WebLinkAboutMinutes - EVWD Board of Directors - 12/13/19760 660
EAST SAN BERNARDINO COUNTY WATER DISTRICT
REGULAR MEETING DECEMBER 13, 1976
MINUTES
The meeting was called to order at 7:00 p.m. and bid time declared
closed. President Disch led the flag salute.
ROLL CALL:
PRESENT: President Philip A. Disch; Directors Norman W. Forrest,
Gerald Stoops and O.A. Wall
ABSENT: Director Dennis Johnson
PROFESSIONAL STAFF: Robert J. Farrell, Legal Counsel; John Dahlke,
Consulting Engineer
STAFF PP~SENT: Harold M. Fones, General Manager; Kenneth O. Sorensen,
Auditor-Treasurer; Duncan Parkes, Engineering Dept.;
Bonnie R. Eastwood, Secretary
GUESTS: Contractor representing El-Co Construction Co.
MINUTES
Re cash contributed by Warner Hodgdon for Del Rosa Mutual Water Co.
the amount should read $41,974.35, rather than $14,974.35 as stated
in the November 22, 1976 Minutes.
M/S/C (Stoops - Forrest) that the Minutes be approved as corrected.
BID OPENING - INSTALLATION OF WATER MAINS AND APPURTENANCES WITHIN
TRACT 9058 - A. STUBBLEFIELD, DEVELOPER
The Secretary opened and read the bid proposal for installation of
water mains and appurtenances within Tract 9058. Attorney Farrell
checked and declared the proposal included an acceptable bid bond.
The bid was as follows:
Ace Pipeline Const. $22,680.00
Engineer's Estimate 25,100.00
M/S/C (Wall - Stoops) that the only bid submitted be turned over
to the staff and consulting engineer for checking and recommendation
on awarding such bid.
The Consulting Engineer stated all proposals had been reviewed and
there was an error in the addition of the unit prices, the total
proposal being $22,590.00. After discussion, it was
M/S/C (Stoops - Wall) that the bid be awarded on approval of
counsel to Ace Pipeline Construction Co. in the amount of $22,590.00
REPORTS ON ACWA CONFERENCE IN MONTEREY - November 30 - December 3
Reports were given regarding the ACWA Conference in Monterey, Nov.
30 to Dec. 3, 1976. President Disch reviewed the 208 Program, Public
Relations Program, Wastewater Treatment, comments by Jess Unruh, --~
water development in California and reference to an examination of
the Delta alternatives. Director Wall reviewed alternatives of a
City taking over a county water district, problems encountered with
large rate increases and the conflict of interest. The General
Manager commented on sludge disposal; water problems in California
due to a bad year for water; the social security program and the
Director Dennis Johnson arrived at the meeting.
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fact that many government entities either do not participate in the
program or are dropping out should be further investigated by the
District; he indicated Mr. Rowe and Mr. Green were concerned that
District water rights be retained in this area. They recommended
methods be developed to insure all water rights are utilized and
therefore not lost. Information only.
REPORT ON ACCOUNTING ENTRY FOR WATER STOCK FUND
The Auditor had submitted a written report to Directors re an account-
ing entry for stock funds. After reviewing the report and discussion
on it, it was determined it would be necessary to keep a fund account-
ing, but the monies would be made available for District use as needed
and not into a restricted reserve account.
M/S/C (Stoops ~ Johnson) that the accounting entry for water stock
be a book entry, that monies not be placed into a restricted reserve
account, but that they could be used as needed by the District.
WATER COMMITTEE REPORT
The Water Committee met and discussed various methods of refunding
the $10 deposit required when requesting water service. Although
they felt the $10 should be refunded after a certain length of time,
it is not possible to do so at this time, therefore, they determined
that when monies become available in the water account a method will
be devised to refund the deposit money after a predetermined length
of time. It was stated a sewer rate increase will depend largely on
the outcome of the Joint Powers Agreement.
WORKSHOP FOR REVIEWING DISTRICT ORDINANCES
President Disch stated a meeting will be held January 31, 1977 for
the purpose of reviewing District ordinances. Copies of the ordinances
will be mailed to the Directors.
NORTH FORK WATER COMPANY AGREEMENT RE 12" WATER MAIN
The General Manager stated that the North Fork Water Company Board
had agreed to the Agreement as presented to them with the exception
of their having to pay annexation costs. It was determined that an
annexation procedure would not be necessary in that service was not
being provided. Annexation is necessary when customer service is
involved, it does not apply to production. Therefore, the Agreement
was amended as follows: a period inserted after the word "COMPANY"
Page 2, Paragraph 3, line 6 and the rest of the paragraph deleted.
Mr. Wall stated that the District would pay any costs if necessary.
M/S/C (Stoops - Johnson) that a period be inserted after the word
"COMPANY" on Page 2, Paragraph 3, Line 6, with the rest of the para-
graph being deleted.
M/S/C (Stoops - Wall) that Resolution 1976.67 be adopted approv-
ing the North Fork Water Company Agreement as amended and authorizing
the President and Secretary to execute said Agreement.
ROLL CALL VOTE:
AYES: DIRECTORS Disch, Forrest, Johnson, Stoops, Wall
NOES: None
PERSONNEL COMMITTEE REPORT
Director Forrest reviewed the following step raises as recommended
by the General Manager and Personnel Committee:
Herb Deese 31F $5.66/$985 to 31G $5.94/$1034, effective 12/20/76
A1 Valenzuela - 26C $3.84/$669 to 26D $4.03/$701, effect. 12/20/76
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M/S/C (Stoops - Wall) that the step increases recommended by the
Personnel Committee for Herb Deese and A1 Valenzuela be approved,
effective December 20, 1976.
The Personnel Committee also recommended two promotions and one
lateral transfer with the District as follows:
Ron Severson 30E $5.13/$893 Welder to 31E $5.39/$938 Mechanic
Steve Santini 29D $4.66/$811 Customer Service to 30D $4.89/$851
Welder
Roy Patterson 29D $4.66/$811 from Pumpman to Customer Service
A probation period for all promotions was discussed. It was deter-
mined a promotion is not permanent until written confirmation is
received from the General Manager indicating satisfactory perform-
ance after six months. It was
M/S/C (Forrest - Stoops) that the promotions and lateral trans-
fer from within the District be approved by the Board, with the
stipulation that the Board is placing these employees on a six (6)
month probation period. At the end of six months, the General Man-
ager will submit to the Board written confirmation as to either
satisfactory or unsatisfactory performance of the employee.
It was also recommended that Lee Roebke's title be changed from
Assistant Office Manager to Office Manager, effective Dec. 13, 1976.
M/S/C (Forrest - Johnson) that Lee Roebke be reclassified from
Assistant Office Manager to Office Manager, effective Dec. 13, 1976.
It was determined that a letter regarding promotions, title changes,
etc. be placed in the respective employee's file for future reference.
FINANCE COMMITTEE REPORT
Director Wall stated the Finance Committee had met and reviewed the
expense allowance for Directors and were submitting the following:
That Directors receive a per diem allowance when they attend any
District connected function; that the District pay registration fees,
which would include listed meals; lodging and transportation, as
well as expenses such as taxi fares, parking fees, etc. Directors
would pay for any meal not listed as part of registration. For the
Special District meetings, Directors will pay for their own meal,
however, the District would provide transportation or pay travel
expense. After discussion on the matter, it was requested that a
written statement be prepared for the Directors to review and also
that Attorney Farrell prepare a revised resolution covering Directors
expense allowance. The information will be submitted at the December
27th Board Meeting.
Director Johnson was excused from the Board Meeting.
DISTRICT SPECIFICATION INSURANCE REQUIREMENTS
The General Manager indicated the insurance specifications had been
reviewed by the District insurance carrier who had suggested some
changes. A copy of these changes will be presented to the Directors
for their review. A recommendation will be made at the Dec. 27th
Board Meeting.
CORRESPONDENCE RE BEAR VALLEY MUTUAL WATER CO~PANY PARTIAL LIQUIDATION
It was stated by President Disch that the District has been requested
to consent to the sale of certain assets of Bear Valley Mutual Water
Company to Big Bear Municipal Water District in the amount of
$4,700,000. A two-thirds approval of stockholders is necessary for
the sale. The District presently has in excess of 3,000 shares. The
sale will net approximately $56 per share. It is requested that the
Board by Resolution authorize the President and Secretary to sign a
consent to sell on behalf of the District. After a discussion on the
matter, it was
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M/S/C (Wall - Stoops) that Resolution 1976.66 be adopted author-
izing the President and Secretary of this Board to vote the District
shares for consent to liquidation.
ROLL CALL VOTE
AYES: Directors Disch, Forrest, Stoops, Wall
NOES: None
ABSENT: Director Johnson
LAFC COMMISSIONERS REPRESENTING SPECIAL DISTRICTS
Correspondence had been received regarding selection of Special
Districts representation on LAFC. Director Forrest was selected
to serve until May 1978. He will be a voting member, except in
those matters concerning the District.
GRANT PROGRAM
A letter of information had been received from the Southern Calif-
ornia Association of Governments stating the District's application
had been processed regarding the grant program. It stated the pro-
ject has been reviewed by SCAG and forwarded to EDA. Information only.
RESOLUTION 1976.63 ACCEPTANCE OF PIPELINE EASEMENT - STATER BROTHERS
SHOPPING CENTER, HIGHLAND AND PALM AVENUES
The General Manager presented Resolution 1976.63 Accepting Conveyance
of Pipeline Easement at the corner of Highland and Palm Avenues from
Alfred F. Lustbader for an easement needed to relocate a fire hydrant.
M/S/C (Stoops - Forrest) that the Board accept Resolution 1976.63
as presented.
RESOLUTION 1976.64 - RELEASE OF LIEN FOR DELINQUENT SEWERS - ROBERT
E. PRINGLE, 7395 GOLONDRINA, SAN BERNARDINO
The General Manager presented Resolution 1976.64, Release of Lien,
Robert E. Pringle, 7395 Golondrina, San Bernardino for approval. He
indicated all payments were completed.
M/S/C (Stoops Forrest) that Resolution 1976.64 be adopted as
presented.
RESOLUTION 1976.65 NOTICE OF COMPLETION, HAWKER CONSTRUCTION CO.
TRACT 8604
The General Manager indicated a Certificate of Completion had been
issued by the District Engineering Office stating the construction
of installation of water mains and appurtenances within Tract 8604
by Ken Hawker Construction Co. was completed Deceraber 1, 1976. He
recommended that Resolution 1976.65 be approved.
M/S/C (Wall - Forrest) that Resolution 1976.65, Notice of Com-
pletion be adopted as presented.
SALE OF DEL ROSA MUTUAL WATER COMPANY TO WARNER HODGDON
The General Manager stated on December 6, 1976, the District sold its
86.3% interest in Del Rosa Mutual Water Co. to Warner Hodgdon. The
financial impact of the transaction was as follows:
Sale Price
1. 603 shares of Bear Valley Water Stock @ $40.00 $ 24,120.00
2. 182 shares of North Fork Water Co. stock @ $110 20,020.00
3. Cash dividend from Del Rosa Mutual per agreement 4,506.86
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4. Cash from Warner Hodgdon $ 43,974.35
5. 87% of stored water rights of Del Rosa
Mutual - per agreement 8,700.00
TOTAL SALES PRICE $101,321.21
Assets transferred to Warner Hodgdon: 1. 3729 shares of Del Rosa Mutual Water
stock-book 35,523.31
2. District's portion of Carpenter Rights-Book 3,354.83
TOTAL ASSETS SOLD $ 38,878.14
The District's immediate book gain on this sale $ 62,443.07
In addition, by closing the deal and taking possession
of the Bear Valley stock before December 7, 1976, the
District will receive a cash dividend from Bear Valley
of $56.00 per share for 603 shares $ 33,768.00
Information only, no action taken.
CLIFFSIDE RANCH AGREEMENT
The General Manager indicated the Board had previously approved
the Cliffside Ranch Agreement, however, due to the fact there is
Bear Valley stock exchange involved there will have to be a mod-
ification in the Agreement. He stated he had talked with Mr.
Hoover and Mr. Whiting concerning the matter and Mr. Whiting in-
dicated delivery of stock was based upon satisfying the water
formula, that the sale of assets is to their benefit and the water
formula is still being satisfied. The split in stock will pro-
vide four shares of new stock for each one issued prior to the
split. That one share out of four will be withdrawn and redeemed
for cash by Bear Valley. The remaining three shares will rep-
resent just as much water as one share did prior to the split.
Mr. Whiting suggested a one page addendum be added to the Agree-
ment to the effect that three shares of the new stock is equiva-
lent to one share of the old stock and will meet the water
formula. The General Manager will contact Mr. Whiting and re-
quest he prepare an addendum to the Agreement.
There was further discussion regarding the agreement of sale
of Bear Lake to Bear Valley Mutual and the water rights involved.
After a discussion, it was determined that Attorney Farrell would
review the agreement insofar as preserving water rights are con-
cerned, if he should have suggestions or questions, he will con-
tact Attorney Denslow Green.
RESOLUTION 1976.49 - ADOPTION OF EMPLOYEE DEFERRED COMPENSATION
PLAN AND AUTHORIZATION FOR EXECUTION OF AGREEMENT
A copy of the Deferred Compensation Plan for District employees
was given to Directors for their review. It was determined that
upon adoption of the plan through Santa Fe Federal Savings & Loan
Association, they be requested to deposit said funds in the Del
Rosa Branch Office. After discussion, it was
M/S/C (Stoops - Wall) that the Board approve Resolution 1976.49
Adopting the Deferred Compensation Plan as presented by Santa Fe
Federal Savings & Loan Association with the stipulation that the
deposits be made into the Santa Fe Federal Savings & Loan Branch
Office at Del Rosa and Highland, if possible.
1977 ACWA DUES
The 1977 ACWA dues in the amount of $1,600 was presented to the
Board. After discussion, it was
M/S/C (Forrest - WalD that the 1977 ACWA dues be approved for
payment, and of the said amount that ACWA apply $10 each for 7
subscriptions to ACWA News.
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SAN BERNARDINO CHAMBER OF COMMERCE DUES
The San Bernardino Chamber of Commerce dues in the amount of $100
was presented to the Board. After discussion, it was
M/S/C (Stoops - Forrest) that payment of $100 be made to the
San Bernardino Chamber of Commerce for the 1977 dues.
DISCUSSION ON ELECTION OF DIRECTORS BY WARD OR DISTRICT
President Disch indicated he was requesting the Legislative Committee
to contact Mr. Clinton, Regis%rar of Voters, and make an inquiry re-
garding a District election of Directors by district or ward rather
than at large. The Legislative Committee would consider the findings
and bring a recommendation back to the Board.
WARRANTS
General 227-306 $171,907.46; Payroll 1459-1524 $17,657.52
Total $189,564.98
M/S/C (Stoops Forrest) that the warrants be approved as submit-
ted. President Disch abstained from voting as he had not reviewed
the warrants.
CORRESPONDENCE RE COUNTY WATER DISTRICT SEMINAR, MARCH 25 - 27, 1977
Notice was received from ACWA re the County Water District seminar
which will be held at Erawan Gardens, Indian Wells, March 25 - 27, 1977.
After discussion, it was
M/S/C (Wall - Stoops) that any director or staff member, designated
by the General Manager, be authorized to attend the County Water Dis-
tricts seminar, March 25 - 27, 1977 at Erawan Gardens.
US DEPARTMENT OF COMMERCE RE GRANT APPLICATION
Information was received from the US Department of Comraerce that the
Economic Development Administration had received the District's grant
application in the amount of $2,510,000 to construct water system
improvements. They have 60 days in which to either accept or reject
the grant application. Information only.
CHANGE ORDER NO. 1 - WALTER RASIC CONSTRUCTION - TRACT 7248
The General Manager indicated a change order had been received for
Walter Rasic, contractor, to connect the sewer to the existing sewer
main to Tract 7248 which was not part of the contract. After dis-
cussion, it was
M/S/C (Forrest Stoops) that Change Order No. 1 for Walter Rasic
Construction, extension to sewer main to Tract 7248 be approved as
presented.
PROPERTY TAX GUIDELINES
President Disch requested the Finance Committee to accumulate all
pertinent data regarding levying of property taxes by the District.
In the event such action is necessary at a later date, the data would
be readily available.
M/S/C (Forrest - Stoops) that the Finance Committee and staff be
authorized to proceed in obtaining information i.e. dates, applications,
in the event the District should decide to levy a property tax at a
later time.
INFORMATION FROM DIRECTOR FORREST
The Directors expressed their appreciation to Director Forrest for the
information re housing market which he had given them. Information only.
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RESERVOIR SITE FOR TRACTS 9058 AND 9059
Engineer Dahlke stated the geologists had made a partial survey of
the site previously selected for a reservoir for Tracts 9058 & 9059
and found that it had evident faults. Other possibilities were dis-
cussed, however, it was determined that when the geological report
is submitted, a decision will be made regarding location and size of
reservoir. Information only.
LOAN AND GRANT PROGRAM
The General Manager indicated the programs as outlined in the grant
and loan programs would have to be reviewed with the entire Board
so they might either disapprove or approve the projects.
EXECUTIVE SESSION
An executive session was called at 10:00 p.m.
The Board reconvened at 10:15 p.m.
ADJOURNMENT
There being no further business, the meeting was adjourned at 10:15
'Bonnie R. Eastwood, Secretary
Philip ~. Disch, President
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