HomeMy WebLinkAbout2012-04-12 - Board of Directors Meeting Minutes 2012-056
' MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
April 12, 2012
1. CALL TO ORDER
The April 12, 2012 Regular Meeting of the Yorba Linda Water District Board of
Directors was called to order by President Hawkins at 8:31 a.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.
2. PLEDGE OF ALLEGIANCE
Director Hawkins led the pledge.
3. 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
Ken Mendum, Water Maint Superintendent
Delia Lugo, Senior Accountant
Joann Gitmed, Accounting Assistant II
Maria Trujillo, Accounting Assistant I
Cindy Botts, Management Analyst
Annie Alexander, Executive Secretary
ALSO PRESENT
Brett Barbre, Director, Municipal Water District of Orange County
Nancy Rikel, Councilmember, City of Yorba Linda
Art Kidman, Attorney, Kidman Law LLP
Andrew Gagen, Attorney, Kidman Law LLP
Joshua Lentz, Assistant Vice President, Fieldman, Rolapp & Associates, Inc.
Daniel Mole, Chair, YLWD Citizens Advisory Committee
Mark Schock
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4. ADDITIONS/DELETIONS TO THE AGENDA '
Mr. Vecchiarelli requested that the Board consider adding the following item to
the agenda as there was a need to take immediate action and the need for action
came to staff's attention subsequent to the agenda being posted.
Change Order No. 3 for Highland Pump Station Replacement Project
Director Beverage made a motion, seconded by Director Collett, to add this
matter to the agenda as Item No. 9.5. Motion carried 5-0.
Mr. Vecchiarelli then requested that the Board consider Item No. 9.5.
immediately following Item No. 9.2., as the two matters were similar. President
Hawkins agreed.
5. PUBLIC COMMENTS
Mr. Schock commented on some correspondence he submitted to the Board and
staff regarding the fill levels of various District reservoirs during red flag warnings.
Mr. Schock expressed his concerns regarding the fill levels and requested that
staff evaluate these trends and identify areas for improvement.
Director Beverage suggested that this matter be assigned to the Planning-
Engineering-Operations Committee for review. Director Collett agreed.
Director Barbra stated that he would be happy to ask MWD staff to provide the ,
District with a summary of its procedures during red flag warnings.
Director Kiley requested that this information be provided to the Planning-
Engineering-Operations Committee at its next regular meeting.
6. SPECIAL RECOGNITION
6.1. Recognize Ken Mendum, Water Maintenance Superintendent, for
Completion of the ACWA/JPIA Operations Certification Program
Mr. Cory summarized Mr. Mendum's efforts to complete this certification
program. Director Hawkins presented Mr. Mendum with an updated
plaque commemorating his accomplishment.
6.2. Recognize Stephen Parker, Finance Manager, for Completion of the
ACWA/JPIA Human Resources Certification Program
Mr. Vecchiarelli summarized Mr. Parker's efforts to complete this
certification program. Director Hawkins presented Mr. Parker with an
updated plaque commemorating his accomplishment.
6.3. Recognize Staff for Receipt of Excellence Award in Operating Budget for '
FY 2011/2012 from California Society of Municipal Finance Officers
Mr. Vecchiarelli recognized Mr. Parker and Mmes. Lugo, Gitmed, Trujillo
and Botts for their combined efforts in attaining this achievement. This is
the first time in its history that the District has received this award.
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' Mr. Mendum and Mmes. Lugo, Gitmed, and Trujillo left the meeting at this time.
7. COMMITTEE REPORTS
7.1. Citizens Advisory Committee
(Beverage)
Minutes of the meeting held March 26, 2012 at 8:30 a.m. were provided in
the agenda packet. Mr. Mole provided a report regarding matters
discussed during the meeting including the District's disaster
preparedness efforts. Mr. Mole suggested that the District consider
setting up alternate forms of communication in the event that cell phones
became inoperable or unreliable following a disaster.
Next Committee meeting is scheduled April 23, 2012 at 8:30 a.m.
8. CONSENT CALENDAR
Director Collett made a motion, seconded by Director Kiley, to approve the
Consent Calendar. Motion carried 5-0.
8.1. Minutes of the Board of Directors Regular Meeting Held March 22, 2012
' Recommendation: That the Board of Directors approve the minutes as
presented.
8.2. Minutes of the Board of Directors Special Meeting Held April 2, 2012
Recommendation: That the Board of Directors approve the minutes as
presented.
8.3. Payments of Bills, Refunds and Wire Transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of$2,573,892.67.
8.4. Progress Payment No. 5 for Well No. 20 Well Head Project
Recommendation: That the Board of Directors approve Progress
Payment No. 5 in the net amount of $276,323.58 to Pascal & Ludwig
Constructors for construction of the Well No. 20 Well Head Equipping
Project, Job No. 200711.
8.5. ACWA/JPIA Property Program Renewal Billing
' Recommendation: That the Board of Directors approve payment to
ACWA/JPIA for the Property Program Renewal for the period 41112012 to
41112013 in the amount of$41,286.
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Director Barbre left the meeting at this time. ,
(The following items were taken out of order.)
9. ACTION CALENDAR
9.1. Opportunity to Advance Refund the 2003 Certificates of Participation
Mr. Lentz provided a PowerPoint presentation and explained that due to
current municipal bond market conditions, there was an opportunity for the
District to consider advance refunding its 2003 Certificates of Participation
(COP). The amount of savings will depend on the interest rates at the
time of the refunding, but could be approximately $725,000 with an annual
savings of $34,000. The next steps would be to engage bond counsel and
mobilize the finance team with the entire process taking between 90-120
days. Mr. Lentz and Mr. Vecchiarelli responded to questions from the
Board regarding the possibility of advance refunding of the 2008 COP'S.
Mr. Lentz explained that this process could not be considered for these
bonds until 2017.
Director Beverage made a motion, seconded by Director Kiley, to approve
moving forward with advance refunding of the 2003 Certificates of
Participation. Motion carved 5-0.
Mr. Lentz left the meeting at this time. '
9.2. Change Order No. 3 for Fairmont Reservoir Valve Replacement Project
Mr. Conklin explained that the existing valve key extensions would need to
be lengthened to accommodate the shorter operator units on the newly
installed butterfly valves for this project. The additional cost for this work
is $1,024 and will require an 11 day extension.
Director Collett made a motion, seconded by Director Melton, to approve
Change Order No. 3 in the amount of$1,024 and an 11-calendar day time
extension to Pascal & Lugwig Constructors, Inc. for the Fairmont
Reservoir Valve Replacement Project, Job No. 201011. Motion carried
5-0.
9.5. Change Order No. 3 for Highland Pump Station Replacement Project
Mr. Conklin explained that great progress had been made on this project
and that due to additional changes being initiated by the District, Pacific
Hydrotech Corporation had submitted another change order. Mr. Conklin
summarized the purpose of the various modifications including a credit for
services that were no longer needed.
Director Collett made a motion, seconded by Director Kiley, to approve '
Change Order No. 3 in the amount of$23,584.51 and 38 additional work
days for Pacific Hydrotech Corporation for construction of the Highland
Pump Station Replacement Project, Job No. 200814.
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' Mr. Conklin and Mr. Vecchiarelli then responded to questions from the
Board regarding the original design of the project.
Motion carried 5-0.
Mr. Mole let the meeting at this time.
9.3. Employee Compensation Letter and Pay Plan for Management
Employees for Fiscal Years 2012-2015
Mrs. Knight explained that the District's management employees were
unrepresented and did not negotiate with the Board for compensation and
benefits. At the request of the Board, staff prepared a compensation letter
for this group for review during the budget process. Mrs. Knight
summarized revisions to the letter including: a 3 year versus 1 year term;
continuation of a 4/10 work schedule (unless terminated by the Board);
merit increases based on job performance; graduated pickup by the
employees of the CalPERS employee contribution; increased auto
allowance; modified vacation accrual amounts; establishment of a
deferred compensation plan; institution of sick leave cash out following
layoffs; a three percent per year cost of living adjustment and associated
salary schedules. Mrs. Knight responded to questions from the Board
' regarding the continuation of the 4/10 work schedule and pickup of
CalPERS employee contributions.
Director Beverage made a motion, seconded by Director Collett, to adopt
Resolution No. 12-07, the Employee Compensation and Terms of
Employment for Management Employees. Motion carried 5-0 on a roll call
vote.
9.4. Employee Compensation Letter and Pay Plan for Supervisory and
Confidential Employees for Fiscal Years 2012-2015
Mrs. Knight explained that the District's supervisory and confidential
employees were also unrepresented and that with the exception of the
auto allowance, the same revisions were being proposed to this group's
compensation letter.
Director Beverage made a motion, seconded by Director Collett, to adopt
Resolution No. 12-08, the Employee Compensation and Terms of
Employment for Supervisory and Confidential Employees. Motion carried
5-0 on a roll call vote.
10. REPORTS, INFORMATION ITEMS, AND COMMENTS
' 10.1. President's Report
None.
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10.2. Directors' Reports ,
Director Beverage commented on a letter from the City of Yorba Linda
requesting the removal of the District's water conservation signs. Director
Beverage stated that he hoped that the District and City could come to
some agreement as to the future utilization of these signs.
(The following reports were provided out of order.)
MWDOC Elected Officials' Forum —April 5, 2012 (Melton)
Director Melton reported that he thought the event was very interesting.
The main topic of discussion was the law suit against MWD by the San
Diego Water Authority (SDWA). The outcome of this suit could likely
affect all water districts in the area.
Director Beverage commented that this was the fourth law suit brought
against MWD by SDWA for similar reasons.
Children's Water Education Festival — March 28-29, 2012 (Hawkins/Kiley)
Directors Hawkins and Kiley reported on their attendance at this event.
This may be the last time the festival will be held in Yorba Linda due to the
increase in participation.
10.3. General Manager's Report '
Mr. Vecchiarelli commended staff for their work at the water education
festival. Mr. Vecchiarelli further mentioned that staff would soon be
scheduling a facilities tour for the Board. Directors Beverage and Collett
suggested that members of the Citizens Advisory Committee and officials
from the City of Yorba Linda and City of Placentia be invited to participate
in the tour.
10.4. General Counsel's Report
Mr. Kidman stated that it would be necessary to conduct a closed session
for pending litigation.
10.5. Future Agenda Items and Staff Tasks
No additional agenda items or staff tasks were requested.
11. COMMITTEE REPORTS
11.1. Executive-Administrative-Organizational Committee
(Hawkins/Melton)
Next meeting is scheduled April 16, 2012 at 4:00 p.m. '
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' 11.2. Finance-Accounting Committee
(Kiley/Hawkins)
Minutes of the meeting held March 26, 2012 at 4:00 p.m. were provided in
the agenda packet.
Next meeting is scheduled April 23, 2012 at 4:00 p.m.
11.3. Personnel-Risk Management Committee
(Beverage/Collett)
Minutes of the meeting held March 20, 2012 at 4:00 p.m. were provided in
the agenda packet.
Minutes of the meeting held April 10, 2012 at 4:00 p.m. will be provided at
the next regular Board meeting.
Next meeting is scheduled May 8, 2012 at 4:00 p.m.
11.4. Planning-Engineering-Operations Committee
(Collett/Kiley)
' Revised minutes of the meeting held March 12, 2012 at 4:00 p.m. were
provided in the agenda packet.
Minutes of the meeting held April 9, 2012 at 4:00 p.m. will be provided at
the next regular Board meeting.
Next meeting is scheduled May 3, 2012 at 4:00 p.m.
11.5. Public Affairs-Communications-Technology Committee
(Melton/Beverage)
Minutes of the meeting held March 19, 2012 at 4:00 p.m. were provided in
the agenda packet.
Minutes of the meeting held April 9, 2012 at 4:00 p.m. will be provided at
the next regular Board meeting.
Next meeting is scheduled May 7, 2012 at 4:00 p.m.
11.6. YLWD-MWDOC-OCWD Joint Agency Committee
(Hawkins/Beverage)
' Minutes of the meeting held March 27, 2012 at 4:00 p.m. will be provided
at the next regular Board meeting.
Next meeting is scheduled May 22, 2012 at 4:00 p.m.
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12. INTERGOVERNMENTAL MEETINGS '
12.1. ISDOC — March 29, 2012 (Kiley)
Director Kiley attended and congratulated Director Hawkins on his
appointment as chair for the OC Special District Selection Committee.
12.2. YL City Council —April 3, 2012 (Hawkins)
Director Hawkins attended and reported that the majority of the meeting
comprised of a discussion regarding the bid for police services. A public
hearing regarding the matter has been scheduled for the evening of April
24, 2012.
12.3. MWDOC/MWD Workshop —April 4, 2012 (Melton/Staff)
Director Melton attended and reported that most of the meeting centered
around SDWA's lawsuit against MWD.
Councilmember Rikel left the meeting at this time.
12.4. OCWD Board —April 4, 2012 (Kiley/Staff)
Director Kiley attended and reported that the District's request for Well No.
21 had been approved.
12.5. YL Planning Commission —April 11, 2012 (Kiley) '
Director Kiley attended but did not have any District related business to
report.
13. BOARD OF DIRECTORS ACTIVITY CALENDAR
13.1. Meetings from April 13, 2012 — May 31, 2012
The Board reviewed the listed meetings and made no changes.
14. CLOSED SESSION
On a motion by Director Collett, seconded by Director Hawkins and unanimously
approved by the Board, the meeting was adjourned to Closed Session at 9:33
a.m. All Directors were present. Also present were Messrs. Vecchiarelli,
Kidman, Beltrans, and Gagen, and Mrs. Knight.
14.1. Conference with Legal Counsel — Pending Litigation
Pursuant to Subdivision (a) of Section 54956.9 of the California
Government Code
Name of Case: Itani, et al vs. YLWD (OC Superior Court — Case No.
00124906)
Name of Case: Johnson, et al vs. YLWD, et al (OC Superior Court — '
Case No. 00125994)
Name of Case: State Farm General Insurance Company vs. YLWD
(OC Superior Court—Case No. 00311353)
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' Name of Case: Weiss vs. YLWD (OC Superior Court - Case No.
00319080)
Name of Case: Lindholm vs. YLWD, et al (OC Superior Court - Case
No. 00320239)
Name of Case: Travelers Commercial Insurance Company vs. YLWD
(OC Superior Court - Case No. 00327152)
Name of Case: Manista vs. YLWD, et al (OC Superior Court - Case
No. 00332968)
Name of Case: American Security Insurance Company, et al vs.
YLWD (OC Superior Court - Case No. 00348304)
Name of Case: Buc vs. YLWD (OC Superior Court — Case No.
00409755)
Name of Case: Interinsurance Exchange of the Automobile Club vs.
YLWD (OC Superior Court - Case No. 00425404)
Name of Case: ACWA/JPIA, et al vs. Insurance Company of the
' State of Pennsylvania, et al (OC Superior Court —
Case No. 00486884)
The Board reconvened in Open Session at 11:15 a.m. President Hawkins announced
that no action was taken during Closed Session that was required to be reported under
the Brown Act.
15. ADJOURNMENT
15.1. The meeting was adjourned at 11:16 a.m. The next regular meeting of the
Board of Directors will be held April 26, 2012 at 6:30 p.m.
Kenneth R. Vecchiarelli
Board Secretary
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