HomeMy WebLinkAbout2012-01-16 - Board of Directors Meeting Minutes
2012-008
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS WORKSHOP MEETING
January 16, 2012
CALL TO ORDER
The January 16, 2012 Workshop Meeting of the Yorba Linda Water District
Board of Directors was called to order by President Hawkins at 3:00 p.m. The
meeting was held in the Board Room at the District's Administrative Building
located at 1717 East Miraloma Avenue in Placentia, California 92870.
1. PLEDGE OF ALLEGIANCE
Director Hawkins led the pledge.
2. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
Phil Hawkins, President Ken Vecchiarelli, General Manager
Gary T. Melton, Vice President Steve Conklin, Engineering Manager
Michael J. Beverage Lee Cory, Operations Manager
Ric Collett Gina Knight, Human Resources Manager
Robert R. Kiley Stephen Parker, Finance Manager
Art Vega, Interim IT Manager
Damon Micalizzi, Public Information Officer
Cindy Botts, Management Analyst
Annie Alexander, Executive Secretary
ALSO PRESENT
Brett Barbre, Director, Municipal Water District of Orange County
Sanjay Gaur, Manager, Rafteiis Financial Consultants
Khanh Phan, Senior Consultant, Raftelis Financial Consultants
3. PUBLIC COMMENTS
None.
4. PRESENTATIONS
4.1. Water Rate Study and Financial Planning Workshop (Presentations
and Discussion)
Mr. Vecchiarelli introduced Mr. Sanjay Gaur and Ms. Khanh Phan and
explained that Raftelis Financial Consultants had been hired to provide the
District with a Cost of Service and Water Rate Study as well as two
Financial Models for the Water and Sewer Funds. These models will
assist staff during the budget process for years to come.
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2012-009
Cost of Service, Financial Model & Rate Alternatives
Mr. Gaur provided a PowerPoint presentation which included an overview
of some financial plan scenarios and water rate structure options. Mr.
Gaur and staff responded to questions from the Board regarding the water
financial model, the District's reserve funds, bond funds, and Capital
Improvement Plan (CIP), and savings associated with annexation to
OCWD. Mr. Gaur recommended that the Board consider proceeding with
the second financial plan scenario which included a modified CIP while
continuing lobbying efforts for annexation. Mr. Gaur further recommended
that the Board consider implementing one of two rate structure options,
both of which included modified uniform commodity rates instead of
staying with the status quo. Mr. Gaur then provided an overview of the
new sewer financial model. Staff responded to questions from the Board
regarding sewer rates for existing customers and new customers who
were recently transferred from the City of Yorba Linda.
A brief recess was declared at 4:11 p.m.
The meeting was reconvened at 4:21 p.m.
Revenue Needs and Options
Ms. Botts provided a PowerPoint presentation regarding the current water
rate and projected water costs. This included an overview of staff's
capability of meeting objectives identified in the strategic plan with and
without the implementation of a rate increase and/or a rate structure
change. The Board then discussed the prioritization of projects listed in
the CIP. The presentation concluded with a review of some housekeeping
items related to refunds from outside agencies and determination of the
monthly service charge. Staff was instructed to provide the Board with a
prioritized CIP for review at a future meeting.
5. ADJOURNMENT
5.1. The meeting was adjourned at 5:29 p.m. The next regular meeting of the
Board of Directors wiN be held January 26, 2012 at 8:30 a.m.
Kenneth R. Vecchiarelli
Board Secretary
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