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2012-04-26 - Board of Directors Meeting Agenda Packet
Yorba Linda Water District AGENDA YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS REGULAR MEETING Thursday, April 26, 2012, 6:30 PM 1717 E Miraloma Ave, Placentia CA 92870 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL Phil Hawkins, President Gary T. Melton, Vice President Michael J. Beverage Ric Collett Robert R. Kiley 4. ADDITIONS/DELETIONS TO THE AGENDA 5. PUBLIC COMMENTS Any individual wishing to address the Board is requested to identify themselves and state the matter on which they wish to comment. If the matter is on the agenda, the Board will recognize the individual for their comment when the item is considered. No action will be taken on matters not listed on the agenda. Comments are limited to matters of public interest and matters within the jurisdiction of the Water District. Comments are limited to five minutes. 6. CONSENT CALENDAR All items listed on the consent calendar are considered to be routine matters, status reports, or documents covering previous Board instructions. The items listed on the consent calendar may be enacted by one motion. There will be no discussion on the items unless a member of the Board, staff, or public requests further consideration. 6.1. Minutes of the Board of Directors Workshop Meeting Held April 11 , 2012 Recommendation: That the Board of Directors approve the minutes as presented. 6.2. Minutes of the Board of Directors Regular Meeting Held April 12, 2012 Recommendation. That the Board of Directors approve the minutes as presented. 6.3. Minutes of the Board of Directors Special Meeting Held April 19, 2012 Recommendation: That the Board of Directors approve the minutes as presented. 6.4. Payments of Bills, Refunds, and Wire Transfers Recommendation: That the Board of Directors ratify and authorize disbursements in the amount of$1,145, 183.87. 6.5. Progress Payment No. 1 for Fairmont Reservoir Valve Replacement Project Recommendation: That the Board of Directors approve Progress Payment No. 1 in the net amount of$189,261.00 to Pascal & Ludwig Constructors for construction of Fairmont Reservoir Valve Replacement Project, Job No. 201011. 6.6. Progress Payment No. 6 for Well No. 20 Well Head Project Recommendation: That the Board of Directors approve Progress Payment No. 6 in the net amount of$109,244.25 to Pascal& Ludwig Constructors for construction of the Well No. 20 Well Head Equipping Project, Job No. 200711. 6.7. Progress Payment No. 15 for the Highland Booster Pump Station Project Recommendation: That the Board of Directors approve Progress Payment No. 15 in the net amount of$197,135.36 to Pacific Hydrotech Corporation for construction of the Highland Booster Pump Station Project, Job No. 200814. 6.8. Change Order No. 2 for Well No. 20 Wellhead Equipping Project Recommendation: That the Board of Directors approve Change Order No. 2 in the amount of$10,494.00 and 35 additional calendar days to Pascal and Ludwig Constructors for construction of the Well No. 20 Well Head Equipping Project, Job No. 200711. 7. ACTION CALENDAR This portion of the agenda is for items where staff presentations and Board discussions are needed prior to formal Board action. 7.1. Change Order No. 4 for Fairmont Reservoir Valve Replacement Project Recommendation: That the Board of Directors approve Change Order No. 4 in the amount of$9,060.00 and an 11 calendar-day time extension to Pascal& Ludwig Constructors, Inc for the Fairmont Reservoir Valve Replacement Project, Job No. 2010-11. 7.2. Material Testing Services for Yorba Linda Blvd. Pipeline & Booster Station Projects, 2010 Waterline Replacement Project and On-Call Geotechnical Services Recommendation: That the Board of Directors authorize execution of a Professional Services Agreement with Hushmand Associates, Inc. for a fee not to exceed $130,000, to provide material testing services for the Yorba Linda Blvd. Pipeline & Booster Station Projects, 2010 Waterline Replacement Project and On-Call Geotechnical Services. 7.3. Election of Regular and Alternate LAFCO Commissioners Recommendation: That the Board consider this matter and provide direction to staff on the authorization of a voting member and whether the District would like to nominate to the Special District Seat. 7.4. ACWA Health Benefits Authority Transfer to ACWA/JPIA Recommendation: That the Board of Directors adopt Resolution 12-09, consenting to join the Health benefits program of ACWA/JPIA and ratifying the dissolution of the ACWA Health Benefits Authority Joint Powers Agreement. 7.5. Board Communications Reimbursement Policy Recommendation: That the Board of Directors adopt and implement Resolution No. 12-10 Setting Board Communications Reimbursement Policy. 7.6. Water Rate Study 2012 Recommendation: That the Board of Directors receive and file the Water Rate Study 2012. 7.7. Notice of Proposed Water Rate Increase and Schedule of Public Hearing Recommendation: That the Board of Directors authorize staff to mail a Notice of Proposed Water Rate Increase to the District's customers notifying them of proposed changes to their water rate for the upcoming three fiscal years and schedule a Public Hearing on June 21, 2012 at 6:30 p.m. 8. REPORTS, INFORMATION ITEMS, AND COMMENTS 8.1. President's Report 8.2. Directors' Report 8.3. General Manager's Report SAWPA Commission Meeting - April 17, 2012 8.4. General Counsel's Report 8.5. Future Agenda Items and Staff Tasks 9. COMMITTEE REPORTS 9.1. Executive-Administrative-Organizational Committee (Hawkins/Melton) Minutes of meeting held April 16, 2012 at 4:00 p.m. Meeting scheduled May 9, 2012 at 4:00 p.m. 9.2. Finance-Accounting Committee (Kiley/Hawkins) • Minutes of meeting held April 23, 2012 at 4:00 p.m. (To be provided at the next regular Board meeting.) • Meeting scheduled May 23, 2012 at 4:00 p.m. 9.3. Personnel-Risk Management Committee (Beverage/Collett) Minutes of meeting held April 10, 2012 at 4:00 p.m. Meeting scheduled May 8, 2012 at 4:00 p.m. 9.4. Planning-Engineering-Operations Committee (Collett/Kiley) Minutes of meeting held April 9, 2012 at 4:00 p.m. Meeting scheduled May 3, 2012 at 4:00 p.m. 9.5. Public Affairs-Communications-Technology Committee (Melton/Beverage) Minutes of meeting held April 9, 2012 at 4:00 p.m. Meeting scheduled May 7, 2012 at 4:00 p.m. 9.6. YLWD-MWDOC-OCWD Joint Agency Committee (Hawkins/Beverage) Minutes of meeting held March 27, 2012 at 4:00 p.m. Meeting scheduled May 22, 2012 at 4:00 p.m. 9.7. Citizens Advisory Committee (Beverage) • Minutes of meeting held April 23, 2012 at 8:30 a.m. (To be provided at the next regular Board meeting.) • Meeting scheduled May 29, 2012 at 8:30 a.m. 10. INTERGOVERNMENTAL MEETINGS 10.1. WACO - April 13, 2012 (Hawkins/Kiley) 10.2. YL City Council - April 17, 2012 (Melton) 10.3. MWDOC Board - April 18, 2012 (Melton/Staff) 10.4. OCWD Board - April 18, 2012 (Kiley/Staff) 11. BOARD OF DIRECTORS ACTIVITY CALENDAR 11.1. Meetings from April 27, 2012 - May 31 , 2012 12. CLOSED SESSION The Board may hold a closed session on items related to personnel, labor relations and/or litigation. The public is excused during these discussions. 12.1. 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) 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) 12.2. Conference with Legal Counsel - Anticipated Litigation Pursuant to Subdivision (b) of Section 54956.9 of the California Government Code Number of Potential Cases: One (Fair Political Practices Commission Letter Dated July 15, 2011) 13. ADJOURNMENT 13.1. The next regular meeting of the Board of Directors will be held May 10, 2012 at 8:30 a.m. Items Distributed to the Board Less Than 72 Hours Prior to the Meeting Pursuant to Government Code section 54957.5, non-exempt public records that relate to open session agenda items and are distributed to a majority of the Board less than seventy-two (72) hours prior to the meeting will be available for public inspection in the lobby of the District's business office located at 1717 E. Miraloma Avenue, Placentia, CA 92870, during regular business hours. When practical, these public records will also be made available on the District's internet website accessible at http://www.ylwd.com/. Accommodations for the Disabled Any person may make a request for a disability-related modification or accommodation needed for that person to be able to participate in the public meeting by telephoning the Executive Secretary at 714-701-3020, or writing to Yorba Linda Water District, P.O. Box 309, Yorba Linda, CA 92885-0309. Requests must specify the nature of the disability and the type of accommodation requested. A telephone number or other contact information should be included so the District staff may discuss appropriate arrangements. Persons requesting a disability-related accommodation should make the request with adequate time before the meeting for the District to provide the requested accommodation. ITEM NO. 6.1 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Minutes of the Board of Directors Workshop Meeting Held April 11 , 2012 STAFF RECOMMENDATION: That the Board of Directors approve the minutes as presented. ATTACHMENTS: ,\1-,I I e: Description: Type: 041112 BOD - Minutes.doc BOD Mtg Minutes 04/11/12 Minutes Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS WORKSHOP MEETING April 11, 2012 1. CALL TO ORDER The April 11, 2012 Workshop Meeting of the Yorba Linda Water District Board of Directors was called to order by President Hawkins at 4:02 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. 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 Cindy Botts, Management Analyst Annie Alexander, Executive Secretary 4. PUBLIC COMMENTS None. 5. DISCUSSION ITEMS 5.1. Capital Improvement Program for FY's 2012/13 thru 2016/17 Mr. Conklin provided a PowerPoint presentation regarding the District's proposed Capital Improvement Program (CIP). Mr. Conklin explained that each of the projects in the CIP program had been categorized in order of importance. Projects listed in Group A already have been or will be completed by the end of the current fiscal year. Projects in Group B are budgeted, funded, and in progress and staff is recommending that they be completed. Projects listed in Group C are budgeted, funded, and are needed to deliver groundwater throughout the District's service area. Finally, projects in Group D have been determined to be prudent but may be delayed depending on the District's cash flow needs. Mr. Conklin responded to questions from the Board regarding the impact of annexation with OCWD on various CIP projects and provided an overview of the District's groundwater delivery project and associated benefits. Mr. Conklin then presented two options for completion of the CIP's, one with projects listed in Group D being completed in FY 2016/17 and the other with them being completed in FY 2017/18. Mr. Conklin expressed his 1 concerns regarding delaying these projects including the possibility of increased main breaks, increased water losses and higher construction costs. Mr. Vecchiarelli and Mr. Parker then responded to questions from the Board regarding the District's bonds and reserves. Director Hawkins asked if staff was requesting that the Board recommend one of the two options so that Mr. Parker may incorporate it into the draft budget. Mr. Vecchiarelli responded that that was the correct. Director Hawkins stated that he was in favor of extending the District's Capital Improvement Program through FY 2017/18 with the hope that annexation with OCWD would be completed before that time. 5.2. Draft Budget for FY 2012/13 Mr. Parker provided a PowerPoint presentation regarding the draft budget for FY 2012/13 and began with a detailed overview of the assumptions and key expenses. Mr. Parker explained the District's bond ratings as well as proposed changes to the reserve policy. Mr. Parker and Mr. Vecchiarelli then responded to questions from the Board regarding financing options available for CIP projects which included a discussion regarding the possibility of obtaining a line of credit for $7M. Mr. Parker subsequently presented four different rate and funding alternatives and summarized the short and long term effects on District revenues and reserve levels in each scenario. Further discussion regarding funding options, pass-through projections, and associated debt reserve coverage followed. Mr. Parker then provided a detailed explanation of staff's recommendation to implement a stepped water rate increase over a 3 year period on the fixed charge based on meter size (i.e. volumetric). Mr. Parker also provided a comparison of water rates and fixed charges of similar agencies and concluded his presentation requesting feedback and direction from the Board. Mr. Parker then demonstrated various funding alternatives as suggested by the Directors using the financial model. Following further discussion, the Board recommended that staff move forward with the following rate and funding scenario: ■ The CIP project schedule would be extended through FY 2017/18. • The variable water cost pass-through would occur on the commodity charge for FY 2012/13. • The fixed water charge would be based on meter size instead of a flat rate and overall revenue would increase as follows: 1.5% in FY 2012/13 2.5% in FY 2013/14 2.5% in FY 2014/15 • The District would seek to obtain a line of credit in the amount of $7M. The Board instructed staff to prepare a Proposition 218 notice explaining the funding option described above for consideration at the next regular Board meeting. Director Collett suggested that this Board meeting be held in the evening to encourage additional public participation. The Board agreed and the 2 meeting scheduled April 26, 2012 at 8:30 a.m. was rescheduled to 6:30 p.m. the same day. The Board then instructed staff to prepare talking points regarding this matter for distribution to the Citizens Advisory Committee as soon as possible. 6. ADJOURNMENT 6.1. On a motion by Director Kiley, seconded by Director Collett, and unanimously approved by the Board, the meeting was adjourned at 6:30 p.m. Kenneth R. Vecchiarelli Board Secretary 3 ITEM NO. 6.2 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Minutes of the Board of Directors Regular Meeting Held April 12, 2012 STAFF RECOMMENDATION: That the Board of Directors approve the minutes as presented. ATTACHMENTS: Name: Description: Type: 041212 BOD - Minutes.doc BOD Mtg Minutes 04/12/12 Minutes Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 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 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. 1 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 Barbre 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. 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 2 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. 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 3 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 carried 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. 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; 4 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. 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. 5 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. 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. 6 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. 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. 7 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) 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) 8 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 9 ITEM NO. 6.3 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Minutes of the Board of Directors Special Meeting Held April 19, 2012 STAFF RECOMMENDATION: That the Board of Directors approve the minutes as presented. ATTACHMENTS: Name: Description: Type: 041912 BOD - Minutes.doc BOD Mtg Minutes 04/19/12 Minutes Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS SPECIAL MEETING April 19, 2012 1. CALL TO ORDER The April 19, 2012 Special Meeting of the Yorba Linda Water District Board of Directors was called to order by President Hawkins at 4:02 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. 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 Gina Knight, Human Resources Manager Michael J. Beverage Ric Collett Robert R. Kiley ALSO PRESENT Art Kidman, Partner, Kidman Law LLP Andrew Gagen, Partner, Kidman Law LLP Mark Schock 4. PUBLIC COMMENTS Mr. Schock addressed the Board to clarify his request for recommended action and follow up on the matter of District procedures and reports for reservoir storage during red flag events. Mr. Schock left the meeting when the Board convened into closed session. 5. CLOSED SESSION The meeting was adjourned to Closed Session at 4:10 p.m. All Directors were present. Also present were Messrs. Vecchiarelli, Kidman and Gagen, and Mrs. Knight. 5.1. 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) 1 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) 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 4:55 p.m. President Hawkins announced that no action was taken during Closed Session that was required to be reported under the Brown Act. 6. ADJOURNMENT 6.1. The meeting was adjourned at 4:56 p.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 2 ITEM NO. 6.4 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes To: Board of Directors Funding Source: All Funds From: Ken Vecchiarelli, General Manager Presented By: Stephen Parker, Finance Dept: Finance Manager Prepared By: Maria Trujillo, Accounting Assistant I Subject: Payments of Bills, Refunds, and Wire Transfers SUMMARY: Section 31302 of the California Water Code says the District shall pay demands made against it when they have been approved by the Board of Directors. Pursuant to law, staff is hereby submitting the list of disbursements for Board of Directors' approval. STAFF RECOMMENDATION: That the Board of Directors ratify and authorize disbursements in the amount of $1 ,145,183.87. DISCUSSION: The major items on this disbursement list are as follows: A check of $53,065.94 to Kidman Law for March legal services; a check of $140,947.73 to Mamco Construction for Ohio Street Pipeline Replacement retention release; a check of $197,135.36 to Pacific Hydrotech Corporation for Highland Booster Station Upgrades March progress payment; a check of $109,244.25 to Pascal & Ludwig Constructors for Well 20 March progress payment; and, a check of $189,261 .00 to Pascal & Ludwig Constructors for Fairmont Reservoir Valve Replacement March progress payment. The balance of $221 ,726.52 is routine invoices. The Accounts Payable check register total is $911 ,380.80; Payroll No. 8 total is $233,803.07; and, the disbursements of this agenda report are $1 ,145,183.87. A summary of the checks is attached. PRIOR RELEVANT BOARD ACTION(S): The Board of Directors approves bills, refunds and wire transfers semi-monthly. ATTACHMENTS: Name: Description: Type: CkReg42612 BOD.Pdf Check Register Backup Material 12-CS 426.doc Cap Sheet Backup Material 12 CC 426.xis Credit Card Summary Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 RC abstained from voting on Check No. 58947 as he has a financial interest with the vendor. Yorba Linda Water District Check Register For Checks Dated: 4/13/2012 thru 4/26/2012 Check No. Date Vendor Name Amount Description 58962 04/26/2012 1st Enterprise Bank 21,90193 HIGHLND BSTR RTNTION MAR 58891 04/26/2012 Anaheim Wheel & Tire 55.00 UNIT 158 MOUNT/BAL TIRES 58892 04/26/2012 Anthony Manzano 120.00 CERT GIII WTR DISTR MANZANO 58893 04/26/2012 Apollo Technologies Inc. 430.00 WTR TRTMr CLSD LOOPS 58894 04/26/2012 Aramark 524.51 UNIFORM 58908 04/26/2012 ARC 595.19 PALM AV UPGRADE JOB SPECS 58895 04/26/2012 Arrow Hardware 143.30 PURCH MARCH 58896 04/26/2012 Associated Laboratories 2,708.40 LAB ANALYSES 58897 04/26/2012 AT & T 45.01 CIRCUIT 33984101725899 APRIL 58898 04/26/2012 Autoscribe Corporation 205.00 TRX/PYMT VISION GATEWY MAR 58899 04/26/2012 AWWA - Dues 98.00 AWWA DUES 6/12-5/13 HILL,J 58888 04/26/2012 BASSAM SALAMEH 30.26 CUSTOMER REFUND 58900 04/26/2012 Cal Society-Municipal Finance Office 140.00 CSMFO OC MTG/LAFCO ISSUES 58901 04/26/2012 CalCard US Bank 948.98 YLWD VISA 58902 04/2612012 Citizen's Business Bank 12,138.25 WELL 20 RETENTION MAR 58903 04/2612012 City Of Anaheim 3,360.80 MARCH SERVICES 58904 04/26/2012 CIVILTEC Engineering, Inc 1,490.00 J0711 CONSULTING MARCH 58905 04/26/2012 Clinical Lab. Of San Bern. 3,670.00 LAB ANALYSES MARCH 58906 04/26/2012 CNA Surety 500.00 HONESTY BOND PARKER 58907 04/26/2012 Cogsdale Services Corporation 39,550.00 COGSDALE MAINT 2012-2013 58875 04/26/2012 DALE BOURGEOIS 42.22 CUSTOMER REFUND 58909 04/26/2012 Dapper Tire Co. Inc. 561 .14 UNIT 153 TIRES 58910 04/26/2012 Datalok Orange County 37429 DATASTORAGE 58911 04/26/2012 DeltaCare USA 330.95 DELTA DENTAL APRIL 58912 04/26/2012 Derek Nguyen 115.26 MLAGENAR MTG/rRG NGUYEN,D 58913 04/26/2012 Eisel Enterprises, Inc. 145.46 SHEA HOMES JOB MTR BOX ETC 58914 04/26/2012 Energy Environmental Soln, Inc 2,200.00 LAKEVW ENG ICE TESTING 58915 04/26/2012 Equarius Waterworks 4,988.83 METER R9001 58916 04/26/2012 Fairway Ford Sales, Inc. 110.10 UNIT 183 SWITCH ASSEMBLY 58917 04/2612012 Fleet Services, Inc 255.53 UNIT 136 PARK CTRL VALVE 58918 04/26/2012 Fry's Electronics 916.20 IT/SCADA SUPPLIES 58919 04/26/2012 Fullerton Paint & Flooring 450.74 HY LUX CATERPILLAR YELLOW 58920 04/26/2012 Graybar Electric Co 790.06 EQUIPMENT REPAIR 58887 04/26/2012 GREG GOLD5HOLL 242.27 CUSTOMER REFUND 58921 04/26/2012 Hall & Foreman, Inc 9,507.50 P.R. STN CONSULT MAR 58923 04/26/2012 Henry Pratt Company 172.40 DURA CYLYNDER REPAIR KIT 58924 04/26/2012 Hi Tech Security Solutions 276.25 PLUMOSA/FIRE ALARM SYS TST 58925 04/26/2012 Infosend Inc. 6,220.43 BILL MAILING 58928 04/26/2012 1 & 5 Construction 17,195.00 CONCRETE PAVING REPAIR 58926 04/26/2012 Jackson's Auto Supply - Napa 1 ,389.64 MISC VEHICLE PARTS 58889 04/26/2012 JAHAD RADWAN 14.58 CUSTOMER REFUND 58927 04/26/2012 John Deere Landscapes 65.82 PIPE CUTTER, BLADE 58877 04/26/2012 JOHN MORA 112.18 CUSTOMER REFUND 58929 04/26/2012 Ken Mendum 1 ,117.81 AWWA CONF S.CLARA MENDUM 58879 04/26/2012 KERI ANGELES 552.30 CUSTOMER REFUND 58930 04/26/2012 Kidman Law 53,065.94 LEGAL SERVICES MARCH 58931 04/26/2012 Konica Minolta Business 849.25 LEASE PAYMENT 58932 04/26/2012 Konica Minolta Business 95.06 COPY CHARGE 58933 04/26/2012 Lee & Ro, Inc. 18,096.98 PALM AVE BPS CONSULT MAR 58884 04/26/2012 LORIE GOMES 70.01 CUSTOMER REFUND 58922 04/26/2012 MailFinance 313.30 MAIL MACH LEASE MAY-AUG 58934 04/26/2012 Mamco Construction 140,947.73 OHIO ST PPLN REPL REL RETNTN 58935 04/26/2012 Marina Landscape, Inc 9,666.57 LANDSCAPE NIAINT MARCH 58874 04/26/2012 MATTHEW SMITH 53.39 CUSTOMER REFUND 58936 04/26/2012 McFadden-Dale Hardware 271.02 PURCH APRIL 58937 04/26/2012 Mc Master-Carr Supply Co. 403.92 SOLENOID VALVE 58938 04/26/2012 Merchants Building Maintenance LU 5,993.13 JANITORIAL 58939 04/26/2012 Muzak LLC 70.88 MUZAK VOICE APRIL 58940 04/26/2012 Nextel Of California 1 ,751 .06 NEXTEL MARCH 2012 58941 04/26/2012 Orange County - I W M D 800.92 REFUSE DISPOSAL MARCH 58942 04/26/2012 Orange County - Tax Collector 70.00 INSP LABOR/KENTWATER PL-BV 58948 04/26/2012 P.T.I. Sand & Gravel, Inc. 568.99 FILL SAND 58943 04/26/2012 Pacific Hydrotech Corporation 197,135.36 HIGHLND FROG PAY MAR 58944 04/26/2012 Parts Source Anaheim 16781 UNIT 157 THERMOSTAT, HOSES 58945 04/26/2012 Pascal & Ludwig Constructors, Inc 109,244.25 WELL 20 PROG PAY MARCH 58969 04/26/2012 Pascal & Ludwig Constructors, Inc 189,261 .00 FRMT/ZN 5 BPS PRG PAY MAR 58881 04/26/2012 PEGGY EZZELL 35.44 CUSTOMER REFUND 58946 04/26/2012 Pete's Road Service Inc 1,93167 UNIT 154 SERVICE CALL 58947 04/26/2012 Placentia Disposal #676 469.58 DISPOSAL MARCH 58949 04/26/2012 Quinn Power Systems Associates 3,330.80 FAIRMONT #2 GASKET, SEAL 58950 04/26/2012 Raftelis Financial Consultants, Inc. 435.28 WTR RTE STUDY CONSULT MAR 58880 04/26/2012 REBECCA WETZSTEIN 1935 CUSTOMER REFUND 58883 04/26/2012 ROBERT KREPS 76.66 CUSTOMER REFUND 58876 04/26/2012 RUBEN GOODSELL 194.49 CUSTOMER REFUND 58890 04/26/2012 SANDRA H LIMA 155.64 CUSTOMER REFUND 58882 04/26/2012 SCOTT WILLIAMS 22.54 CUSTOMER REFUND 58878 04/26/2012 SHARLENE RICE 82.16 CUSTOMER REFUND 58951 04/26/2012 Solarwinds Inc. 3,553.00 USER DEVICE TRACKER MAINT 58952 04/26/2012 South Coast AQMD 3,247.16 FACILITY PERMIT FEES 58953 04/26/2012 Southern Calif Edison Co. 76.66 ELECTRICAL CHGS MARCH 58954 04/26/2012 Southern Calif Gas Co. 16,154.73 RICHFIELD 01241070000 MARCH 58956 04/26/2012 Stephen Parker/ Petty Cash 299.25 PETTY CASH REIMBURSEMENT 58955 04/26/2012 Steven Engineering 1,553.64 ETHERNET SWITCH 58885 04/26/2012 TERRY TAI-YUAN CHEN 79.82 CUSTOMER REFUND 58957 04/26/2012 Time Warner Cable 447.32 HIGH-SPEED OIL 58886 04/26/2012 TOLL BROTHERS 18.60 CUSTOMER REFUND 58958 04/26/2012 Townsend Public Affairs, Inc. 5,000.00 CONSULTING APRIL 58961 04/26/2012 U.S. Controls Inc 4,162.38 CL2 SYSTEM RETROFIT 58959 04/26/2012 Underground Service Alert 145.50 NEW TICKETS 58960 04/26/2012 United Industries 326.78 SAFETY ITEMS 58963 04/26/2012 Verizon Wireless 1,652.14 MOBILE BB FEB, MARCH 58964 04/26/2012 Village Nurseries 20.47 SOD MAR 2 58965 04/26/2012 Wells Supply Cc 774.41 CLOW WRENCHES 58966 04/26/2012 Westin Engineering, Inc. 902.00 CMMS CONSULTING MARCH 58967 04/26/2012 Yorba Linda Hardware 77.94 PURCH MARCH 2012 58968 04/26/2012 Zep Manufacturing 432.83 TRASH BAGS Total $911,380.80 April 26, 2012 CHECK NUMBERS: Computer Checks 58874-58969 $ 911,380.80 TOTAL OF CHECKS $ 911,380.80 PAYROLL NO. 8: Employee Checks/ Direct Deposits 5246-5250 $ 148,196.67 Third Party Checks 5251-5260 $ 45,064.89 Payroll Taxes $ 40,541.51 TOTAL OF PAYROLL $ 233,803.07 ---------------------------------------------------------------------------------------------------------------------- DISBURSEMENT TOTAL: $ 1,145,183.87 ------------------------------------------------------------------ ------------------------------------------------------------------ APPROVED BY THE BOARD OF DIRECTORS MINUTE ORDER AT BOARD MEETING OF APRIL 26, 2012 ------------------------------------------------------------------ ------------------------------------------------------------------ oo®om®mo®om o moon o.?o??000m??MDRmmm oom oMMMIMM ? o 00 MOP oo o MMM ME? omo ono®MNo o® oo®o oomo"o a. ?> ?Dome omoE? ®mmo ?oo®o 0000moo�mo??®000®a?? MEM? o 00 0®000E? oo®o oo??3m NMoYMm 00 00 ?oo®o ITEM NO. 6.5 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes Total Budget: $450,000 To: Board of Directors Cost Estimate: $210,000 Funding Source: Water Capital Reserves From: Ken Vecchiarelli, General Account No: 101-2700 Manager Job No: 201011 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: N/A Prepared By: Derek Nguyen, Water Quality CEQA Compliance: Exempt Engineer Subject: Progress Payment No. 1 for Fairmont Reservoir Valve Replacement Project SUMMARY: Work is essentially complete for the construction of the Fairmont Reservoir Valve Replacement Project. A total of fourteen internal reservoir inlet, outlet, drain and check valves and miscellaneous items including ladder repairs and flexible couplings have been replaced as required by the contract agreement. Under a separate Agenda Report, Change Order No. 4 to add protective coating to appurtenant piping in the reservoir will be submitted to the Board for consideration. STAFF RECOMMENDATION: That the Board of Directors approve Progress Payment No. 1 in the net amount of $189,261 .00 to Pascal & Ludwig Constructors for construction of Fairmont Reservoir Valve Replacement Project, Job No. 201011 . DISCUSSION: In accordance with the contract documents, Pascal & Ludwig Constructors submitted a request for Progress Payment No. 1 , in the amount of $189,261 .00 for completed work through March 31 , 2012. During this period, the contractor replaced all fourteen internal reservoir valves and miscellaneous items as directed by District staff per the contract agreement. The status of the construction contract with Pascal & Ludwig Constructors is as follows: • The original contract was $203,800.00 and 120 calendar days starting November 10, 2011 • Change Order No. 1 added 37 calendar days, Change Order No. 2 added $5,466 and Change Order No. 3 added $1 ,024 and 11 calendar days • The current contract including all change orders and time extensions is $210,290.00 and 168 calendar days. • If approved, Progress Payment No. 1 is $189,261 .00 (90% of the total contract amount) with $21 ,029 (10%) retention withheld. . As of March 31 , 2012, 168 calendar days were used (100% of the contract time). Staff reviewed the contractor's progress payment and recommend approval. A copy of Progress Payment No. 1 is attached for your reference. STRATEGIC PLAN: SR 3-A: Complete Implementation of Five Year Capital Improvement Plan from FY 2011-2015 with adopted amendments PRIOR RELEVANT BOARD ACTION(S): On October 13, 2011 , the Board of Directors awarded construction of the Fairmont Reservoir Valve Replacement Project for $203,800.00 to Pascal & Ludwig Constructors, Inc. On March 22, 2012, the Board of Directors approved Change Order No. 1 , a no-cost 37 calendar day time extension to Pascal & Ludwig Constructors, Inc. On March 20, 2012, the General Manager approved Change Order No. 2, in the amount of $5,466 which is 2.7% of the total project cost of $203,800 for the substitution of the new 24" flex couplings in lieu of the original non standard victaulic couplings. On April 12, 2012, the Board of Directors approved Change Order No. 3 in the amount of $1 ,024 and an 11 calendar day time extension to Pascal & Ludwig Constructors. ATTACHMENTS: Name: Description: Type: Progress Payment No. 1 04162012.0 Progress Payment No. 1_04162012 Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 VORBA LINDA WATER DISTRICT PROGRESS PAY REPORT PROJECT Fairmont Reservoir Valve Replant Prol PROGRESS PAY REOUEST NO. 001 LOCATION Yorba Linda, CA PROJECT NO. 201011 PAGE 1 OF 1 PAGES CONTRACTOR Pascal & Ludwig Construction, Inc. DATE 04/162012 ORIGINAL CONTRACT AMOUNT: $ 203,800.00 AUTHORIZED CHANGE ORDERS: S 6,490.00 REVISED CONTRACT AMOUNT: $ 210,290.00 i PROGRESS PAY ESTIMATE FOR PERIOD March 1, M12 TO March 31. M12 PREVIOUS THIS MONTH TO DATE VALUE OF WORK COMPLETED 5 S 203.800.00 S 203.800.00 CHANGE ORDER WORK COMPLETED S S 6490.00 S 6.490.00 TOTAL VALUE OF WORK COMPLETED 5 $ 210290.00 S 210.290.00 LESS RETENTION 10% $ 21.029.00 LESS OTHER DEDUCTIONS EfedmdeWire Fees S NET EARNED TO DATE S 189261.00 LESS AMOUNT PREVIOUSLY PAID 5 BALANCE DUE THIS ESTIMATE S 189.261.00 NOTICE TO PROCEED November 10, 2011 COMPLETION TIME 120 CALENDAR DAYS APPROVED TIME EXTENSIONS 4a CALENDAR DAYS TOTAL CONTRACT TIME 168 CALENOAR DAYS TIME EXPENDED TO DATE 108 CALENDAR GAYS TIME REMAINING a CALENDAR DAYS REQUESTED BY: _ _ / /L__ UIa 41,ING.tidAATE: 2 A UOwig, reSitlenl,COnl Ub rty*,r 9N.5�1L_ RECOMMENDED: DATE: /'I 16I TO(L Derek N9u en, rlau gi ear. YLWD APPROVED BY: DATE: bI Caiwn. Engineering Manager. YLWD ITEM NO. 6.6 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes Total Budget: $1 ,500,000 To: Board of Directors Cost Estimate: $1 ,134,109 Funding Source: Sewer Capital Reserves From: Ken Vecchiarelli, General Account No: 101-2700 Manager Job No: 200711 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: N/A Prepared By: Joe Polimino, Project Engineer CEQA Compliance: Exempt Subject: Progress Payment No. 6 for Well No. 20 Well Head Project SUMMARY: Work is proceeding on construction of the Well No. 20 Well Head Equipping Project. It includes installation of a new well head, pump and electric motor, electrical controls and equipment, a concrete well pad, various yard piping and new paving at the well site. STAFF RECOMMENDATION: That the Board of Directors approve Progress Payment No. 6 in the net amount of $109,244.25 to Pascal & Ludwig Constructors for construction of the Well No. 20 Well Head Equipping Project, Job No. 200711 . DISCUSSION: In accordance with the contract documents, Pascal & Ludwig Constructors submitted a request for Progress Payment No. 6, in the amount of $121 ,382.50 for completed work through March 31 , 2012. During this period, the contractor continued work installing well head piping and the pump control valve. In the interior of the existing building, the contractor completed the installation of the sodium hypochlorite system. The status of the construction contract with Pascal & Ludwig Constructors is as follows: • The current contract is $1 ,134,109.00 and 194 calendar days starting September 29, 2011 (Includes Change Order No. 1 which added 74 calendar days). • If approved, Progress Payment No. 6 is $121 ,382.50 (10.7% of the total contract amount), less 10% retention of $12,138.25 for a net payment of $109,244.25. • If approved, total payments to date including retention will be $909,425.20 (80.2% of the total contract amount). • As of March 31 , 2012, 185 calendar days were used (95.4% of the contract time). In a separate agenda report, Change Order No. 2 for an additional $10,494 and 35 calendar days is being submitted through PEO to the Board for its consideration. Staff reviewed the contractor's progress payment and recommend approval. A copy of Progress Payment No. 6 is attached for your reference. STRATEGIC PLAN: SR 3-A: Complete Implementation of Five Year Capital Improvement Plan from FY 2011-2015 with adopted amendments PRIOR RELEVANT BOARD ACTION(S): The Board has approved five progress payments to date for this project, the last which was approved April 12, 2012. ATTACHMENTS: Name: Description: Type: P L Well 20 Proiect Progress Pay Request 6.odf Progress Pay 6 for Well 20 Project Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 U OREA IL K A VV &72R TD 37R C7 P n GSFRM 83 PAY PROJECT W'SH Z0 PTOj13c4 PROSRESS PAY R[EQUES " NO. OOsi LOCA710NI Y©�b& L'mds, CA PROJECT NO, 220711 PAGE 9 OF 9 FACES C0,1TRACTOR Pmcml b Ludmm ;,� DATE 4D IM2 ORO0NAL CON RAC 7 AMOUNT: AUTHORIZED Cr)A G E ORDERS: 9 REVOSED CONTRACT AMOUNT: PROGRESS PAY ESTIMATE FOR PERIOD March 1 , 2012 TO March 31, 2012 PREVIOUS THIS MONTH TO DATE VALUE OF WORK COMPLETED $ 788,042.70 $ 121 ,382.50 $ 909,425.20 CHANGE ORDER WORK COMPLETED $ _ $ TOTAL VALUE OF WORK COMPLETED $ 788,042.70 $ 4L29 ,382.50 $ 909,425.20 LESS RETENTION 10% $ 709, 238.43 $ 9090244.25 $ 818,482468 LESS OTHER DEDUCTIONS Electronic Wire Fees NET EARNED TO DATE $ 898,482. 8 LESS AMOUNT PREVOODSLY PAID $ 7096288.43 BALANCE DUE 770 S ES` 1MA7E $ 109,244.25 N07ICE70 PROCEED Se CO Q ono 201 OOMPLE7➢ON 70u'MIE t = CALENDAR [SAYS APPROVED 70ME SX7ENSOONS 714 CALENDAR DAYS 707AL CON7( AC7 MORSE 4!24 CALEKDAR DAYS 7WE EXPENDED 70 DATE t35 CALENDAR DAYS u T2ME REb%WMMG 2 CALENDAR DAYS REOUES7ED BY: DATE: ® / ?i n iser, Pr ' ct Manager, Pascal & Ludwig RECOMMENDED: / DATE: sf Joe Polimino, Project Engineer, YLWD APPROVED BY: DATE: Steve Conklin, Engineering Manager, YLWD ITEM NO. 6.7 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes Total Budget: $5.5 M To: Board of Directors Cost Estimate: $5.5 M Funding Source: Water Capital Reserves From: Ken Vecchiarelli, General Account No: 101-2700 Manager Job No: J-200814 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: No Prepared By: Joe Polimino, Project Engineer CEQA Compliance: MND Subject: Progress Payment No. 15 for the Highland Booster Pump Station Project SUMMARY: Construction is nearing completion on the Highland Booster Pump Station Project that includes a new building, three electric motor driven pumps, two natural gas engine driven pumps, various piping, a surge tank and a new access road. STAFF RECOMMENDATION: That the Board of Directors approve Progress Payment No. 15 in the net amount of $197,135.36 to Pacific Hydrotech Corporation for construction of the Highland Booster Pump Station Project, Job No. 200814. DISCUSSION: In accordance with the contract documents, Pacific Hydrotech Corporation submitted a request for Progress Payment No. 15, in the amount of $219,039.29 for completed work through March 31 , 2012. During this period, the contractor continued work on the building with roofing, electrical installations, painting and louver installation. They also continued work on the gas engines including exhaust piping, gas and coolant plumbing and other appurtenant accessories. Grading continued for the access road and installation began for the site fence and front gate pilasters. The status of the construction contract with Pacific Hydrotech Corporation is as follows: • The current contract is $4,678,650.23 and 390 work days (includes Change Orders No. 1 , 2 and 3 which added 104 work days and $152,850.23) starting November 1 , 2010. • If approved, Progress Payment No. 15 is $219,039.29 (4.7% of the total contract amount), less 10% retention of $21 ,903.93 for a net payment of $197,135.36. • If approved, total payments to date including retention will be $4,186,075.00 (89.5% of the total contract amount). • As of March 31 , 2012, 354 work days were used (90.8% of the contract time). Staff reviewed the contractor's progress payment and recommend approval. A copy of Progress Payment No. 15 is attached for your reference. STRATEGIC PLAN: SR 3-A: Complete Implementation of Five Year Capital Improvement Plan from FY 2011-2015 with adopted amendments PRIOR RELEVANT BOARD ACTION(S): A construction contract in the amount of $4,525,800 was awarded to the low bidder, Pacific Hydrotech Corporation on August 12, 2010. The Board has approved fourteen progress payments to date for this project, the last of which was approved on March 22, 2012. ATTACHMENTS: Name: Description: Type: PHC Progress Pay 15 for Highland PS.r)df PHC Pay Request 15 Highland Pump Station Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 YORBA LINDA WATER DISTRICT PROGRESS PAY REPORT PROJECT Highland Booster Station Replacement PROGRESS PAY REQUEST NO. 015 LOCATION Yorba Linda, CA PROJECT NO. 200814 PACE 1 DP 1 PAGES CONTRACTOR Pacific Hydrotech Corporation DATE 41612012 ORIGINAL CONTRACT AMOUNT: $ 4,525,800.00 AUTHORIZED CHANGE ORDERS: $ 152,8511.23 REVISED CONTRACT AMOUNT: $ 4,678,650.23 PROGRESS PAY ESTIMATE FOR PERIOD March 1, 2012 TO March 31 2012 PREVIOUS THIS MONTH TO DATE VALUE OF WORK COMPLETED $ 3,981,150.00 $ 204,925.00 $ 4,186,075.00 CHANGE ORDER WORK COMPLETED $ 115.151.441 $ 14,114.29 $ 129,265.72 TOTAL VALUE OF WORK COMPLETED $ 4,096,301.44 1 $ 219,039.29 $ 4,315,340.72 LESS RETENTION 10% $ 431,534.07 LESS OTHER DEDUCTIONS Electronic Wire Fees $ NET EARNED TO DATE $ 3,883,806.65 LESS AMOUNT PREVIOUSLY PAID $ 3,686,671.30 BALANCE DUE THIS ESTIMATE (�AeJos}ej by /, o GenT� $ 197.135.30 (e NOTICE TO PROCEED November 1, 2010 COMPLETION TIME 286 WORKDAYS APPROVED TIME EXTENSIONS 104 WORKDAYS TOTAL CONTRACT TIME 390 WORKDAYS TIRE EXPENDED TO DATE 354 WORK DAYS TIME REMAINING \ 36 WORK DAYS REQUESTED BY: DATE: 41812012 Ron is I Nlnator, Pacific HydM CoWration RECOMMENDED: i DATE: Joe Polimino, Pmje Englnm, YLWD APPROVED BY: DATE: Sieve Conklin, EgineeriN Mamgw,, YLWD ITEM NO. 6.8 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes Total Budget: $1 ,500,000 To: Board of Directors Cost Estimate: $1 ,134,109 Funding Source: Water Capital Reserves From: Ken Vecchiarelli, General Account No: 101-2700 Manager Job No: 200711 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: N/A Prepared By: Joe Polimino, Project Engineer CEQA Compliance: Exempt Subject: Change Order No. 2 for Well No. 20 Wellhead Equipping Project SUMMARY: Work is nearly complete on construction of the Well No. 20 Well Head Equipping Project. The project includes installation of a new well head, pump and electric motor, electrical controls and equipment, a concrete well pad, various yard piping and new paving at the well site. Pascal and Ludwig Constructors has put in a request for Change Order 2, for an additional $10,494.00 and 35 calendar days as described below. STAFF RECOMMENDATION: That the Board of Directors approve Change Order No. 2 in the amount of $10,494.00 and 35 additional calendar days to Pascal and Ludwig Constructors for construction of the Well No. 20 Well Head Equipping Project, Job No. 200711 . COMMITTEE RECOMMENDATION: The Planning-Engineering-Operations Committee discussed this item at its meeting held April 9, 2012 and supports staff's recommendation. DISCUSSION: In accordance with the contract documents, and following discussions with District staff, Pascal and Ludwig Constructors (P&L) submitted a request for Change Order No. 2, for an increase in cost of $10,494.00 and 35 additional calendar days. P&L has provided documentation to the District that supports their request. These items are described in more detail below: Item 1) P&L is requesting additional time for the revised delivery date of the MCC (electrical) gear, which was stated to be a long lead item in the pre-construction meeting. At that time, it was estimated to have an 8-week manufacturing time by FM Electric, P&L's electrical sub-contractor. Change Order No. 1 requested a 74 day extension after the manufacturer of the MCC Gear delayed the initial delivery date. The manufacturer has again delayed the delivery of the MCC Gear and a letter was provided from Rockwell Automation, Pacific Electric, FM Electric and P&L with a detailed explanation of the delay (attached). The contractor has reviewed all of the revised dates and has requested an additional 35 calendar days to complete the project, at no additional cost to the District for this item. This issue of continued delay in delivery of a critical component was reviewed and pursued in discussions between District staff and senior staff at P&L. Following these discussions and receipt of the letters from the supplier and subs, it was concluded that a no-cost 35-day time extension would be recommended by District staff for approval. Item 2) During excavation for the subgrade in preparation for paving, the contractor found that the site contained an asphalt layer under the existing surface, which was unknown and thus not shown on the plans. It was necessary for this asphalt layer to be broken up and removed from the site to continue with the work. The additional cost for this item for labor and equipment is $8,253.00 and no additional days to the contract. Item 3) The last item includes an additional 8,035 sq.ft. of 3/4-inch rock and Mirafi 500x (geotextile fabric), together with a credit which deleted a portion of fence and gate, per revised drawing C-1 , for an additional cost of $2,241 .00 and no additional time added to the contract. The status of the construction contract with Pascal and Ludwig Constructors is as follows: • The current contract is $1 ,134,109.00 and 194 calendar days starting September 29, 2011 (includes Change Order No. 1 which added 74 calendar days). • If approved, Change Order No.2 adds $10,494.00 (0.9% of the contract amount). • If approved, Change Order No.2 adds 35 calendar days (18.0% of the contract days). • If approved, Change Order No. 2 increases the total contract amount to $1 ,144,603.00 and 229 calendar days. The Engineering Manager and Staff have reviewed the contractor's request for Change Order No. 2 and recommend approval. A copy of Change Order No. 2 is attached for your reference. STRATEGIC PLAN: SR 3-A: Complete Implementation of Five Year Capital Improvement Plan from FY 2011-2015 with adopted amendments PRIOR RELEVANT BOARD ACTION(S): The Board has approved four progress payments to date for this project, the last which was approved March 22, 2012. The Board has approved one change order to date for this project, the last which was approved February 23, 2012. ATTACHMENTS: Name: Description: Type: P L Signed CO 2 Well 20 Proiect.odf Change Order Number 2 for Well 20 Project Backup Material P L CO No. 2 Well 20 Proiect.odf P&L Request for Change Order 2 Time Extension Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 YORBroi UNDA WA7S% [: 7G' = CHANGE ORDER NCO 2 DA7E 4MM0o 12 -- Page 9 of 9 CONTRACT NAME : Welt No 20 WpiO C iad qui in Protect CONTRACT AMT . : 5904340909 DAYS- 5194 CONTRACTOR: Pascal and Ludwig Constructors _ THIS CHANGE: 5101494,00 — e DAYS: 35 OWNER: Yorba Lbnda Water District REVISED CONTRACT AMT: 511144,60340 DAYS: 229 This Change Order covers changes to the subject contract as described herein, The Contractor shall construct, furnish equipment and materials, and perform all work as necessary or required to complete the Change Craer items for a lump sum price agreed upon between the Contractor and Yorba Linda Water District otherwise referred to as Owner. DESCRIPTION OF CHANGES +INCREASE CONTRACT TIME lOR +EXTENSION DECREASE IN / OR - CONTRACT REDUCTION AMOUNT (DAYS) (S) Additional time delay for the manufacturing of the MCC Gear, Nema 3R wrap, and delive to the project site _ $000 35 i ry� ® - f Asphalt found- below existing surface which had to be removed to prepare subgrade , not shown on the approved plans. $8,253.00_ _ _ _- 0, _ �---� Revised contract drawing C- 1 , deleted a portion of fence and gate, added 8,035 s.f. of inch rock. Mirafi 500x and 37511. of redwood header. $2.241 .00 0 NET CHANGE 9109494.00 35 REVISED CONTRACT AMOUNT AND TIME l 910144,603.00 229 The amount of the contract will be increased 4de6reaseo> by the sum of S10,494.00 and the contract time shall be increased 4decreaseda by 35 calendar days The undersigned Contractor approves the foregoing Change Order as to the changes, if any, in the contract price specified for each item including any and all supervision costs and other miscellaneous costs relating to the change in work. and as to the extension of time allowed, if any, for completion of the entire work on account of said Change Order. The Contractor agrees to furnish all labor and materials and perform all other necessary work, inclusive of that directly or indirectly related to the approved time extension, required to complete the Change Order items. This document will become a supplement of the contract and all provisions will apply hereto. It is understood that the Change Order shall be effective when approved by the Owner- This Change Order constitutes full, final, and complete compensatior . to the Contractor for all costs, expenses. overhead. profit, and any damages of every kird that the Contractor may incur in connection with the above referenced changes in the work, including any impact on the referenced work of any other work under the contract. any changes in the sequences of any worit, any delay to any work. any disruption of any work, any res:hedukng of any work, and any other effect on any of the work under this contract. By the execution of the Change Order, the Contractor accepts the contract price change and tie contract completion date change. if any, and expressly waives any claims for any additional compensation, damages or time extensions, in connection with the above-referenced changes . r -" /ENGINEER OR DATE, RECOMMENDED: - .Cnwctn To�yr- _ - e - -= - - - - - Joe P mino, Project Engineer, YLWD ACCEPTED : _ � ICONTRAC70R ® DATE: /q A � W6 ais , Pr- jest Ilflca agar -- � cat and L d ag Constructors AL��R®M��: !OWNER DATE: - - - -- _ Kenneth R. Vacchlarelli General Manager, YLWD PASCAL & LUD CONSTRUCTORS O TELEPHONE: 069 2 EAST FRANCIS STREET (909) 9)]4691 ONTARIO, CALIFORNIA 91781 FAX: (909) 9474722 Much 28, 2012 i`' r 1 Yorba Linda Water District 1717 E. Miraloma Ave. E Placentia, CA 92870 I�?y N G Attention: Joe Polimino I Reference: Wellhead Equipping of Well No.20 N Subject: COR#2 - Additional Time Extension E E Dear Joe: R The current delivery schedule for the MCC gear and the CLANAL control valves have S slipped from the original estimated delivery dates as outlined in Pascal & Ludwig's request for time extension letter (dated 16JAN12). According to FM Electric, the MCC gear is to arrive on site 23APR12. After the gear is C installed, approximately three weeks is needed for final wiring, loop checks, specific 0 equipment testing, startup & commissioning. FM Electric has offered to pay an N expedited manufacturer's cost of$1800 in order to meet this revised schedule. S T The delivery date for the CLANAL control vales has slipped approximately 17 calendar R days from the original estimated delivery date of 12MAR12. The valves are scheduled to u arrive today (28MAR12) and will be installed next week. C T Pascal & Ludwig respectfully requests an additional time extension of 35 calendar days 0 to accommodate the revised delivery dates of the MCC gear and the CLANAL control R valves. The revised contract completion dated is estimated to be 14MAY12. S Please find attached all of the necessary backup material for your review. If you have any questions, please contact me at (909) 706-7665. Respectfully, Br er Project Manager Pascal & Ludwig Constructors F. M. ELECTRIC, INC. 8706 Utica Ave. Rancho Cucamonga Ca, 91730 C-10 License No. 817890 Phone: 909-948-1908 Fax: 909-948-1080 Bryan Kaiser Pascal & Ludwig Engineers Bryan our Motor Control Center has been delayed for shipment, We have been in constant council with our distributer requesting expediting of this order. Please note the Motor Control Center was listed at 12 to 16 weeks after approved submittals, and the third party N3R Wrap was a typical three week turnaround. The manufacture release of the motor control center was scheduled to be onsite by March, 26 2012 We have a request to the manufacture to expedite the Nema 3R Wrap from a three week turn around to a one week turn around. The cost for this expedition of time is $ 1,800.00 I will do that if it helps with the schedule. The ship date from Rockwell is April 6"s 2012 and One Week to Wrap I figure one week of Transit to be safe puts the MCC on Site on the 23rd at worst case FM will need two weeks to complete all wiring. We are looking at one week of Start Up, Training and Commissioning. Our Goal would be to have the Project Completion by May 10 2012. Mark Maddox F.M. Electric, Inc. Wednesday, March 28, 2012 Page 11 x\ Pacific Electric, Inc. I' I� 42640 Rio Nedo—Tmnecnla, Ca. 92590 951-296-1562 / 951-296-1563 Fax Manufacturers of Electrical Distribution Equipment April 2, 2012 Onesource Distributors Subject: Well #20 Yorba Linda / Onesource PO #53689353 / PEI S.O. #2RI 1053 NEMA 3R Wrap Gentlemen: This is to confirm the I-week shipment of the subject referenced order based upon the latest information received that the Allen Bradley MCC sections are to arrive at our manufacturing facility by 4/5 or 4/6. Our quotation to you is for honoring a one week turn-around for assembly of the NEMA 3R wrap per our drawing 2R11053. The one week commitment does not include the week-end, but is considered five working days, and therefore based upon the time of receipt of the MCC sections we go forward five working days for completion, and would delivery the following morning, i.e. if sections received by noon on 4/5 we will deliver by 4/13 AM, and if received on 4/6 we will deliver on 4/16. Thank you for your consideration, and we look forward to your revised PO to honor this commitment. Respectf ly submitted, H.A. (Don) Cartwright Principal Raokwell Automation Low Vo1189e Motor control Comers 1201 South Secant street Milwaukee.A 53204-2496 Tel(414)362-2030 Fax(414)3823661 www.=Iovellmlomafwn.oam Rockwell Automation April 3, 2012 Feroze Zahid Onesource Distributors Inc Subject: RA Order #LSDD51— Low Voltage Motor Control Centers Dear Feroze, This letter is to address the concerns over the ship date of subject order LSDD51 for Yorba Linda Well 20 MCC. This MCC is targeted to ship from our factory in Richland Center, WI via dedicated truck on April 4, 2012. The expected on-site date based on this ship date is April 6, 2012. Delivery will be at Pacific Electric. We are taking the following actions to make sure that we hold this date: • Daily update calls with the factory to ensure that any engineering issues are taken care of quickly. • Coordination with our shipping department to give them up-to-the-minute information on when the order will be completed so that no time will be lost on the dedicated truck. This issue arose due to a computer issue between two of our systems. The complete bill of material did not transfer from one system to the other and because of that, the parts procurement was delayed on some parts which did not allow for us to start until later than anticipated. We apologize for any inconvenience that this has caused you. Regards, Nathan Laws Rockwell Automation Project Manager— Low Voltage Motor Control Centers CC: Jim Coady — RA, Pat Sexton— RA, Guillermo Serrano — R4 � amen-ernarey NOOO�f6E /r NiMMMI❑` hr wl PASCAL & LUDWIG CONSTRUCTORS \/\�/(///���///��]�j��(�►y/\�/\) TELEPHONE 2040 EAST FRANCIS STREET FAX: ((909) 94-4722 ONTARIO. CALIFORNIA 91781 April 4. 2012 Yorba Linda Water District 1717 E. Miraloma Ave. E Placentia. CA 92870 N G I Attention: Joe Polimino N Reference: Wellhead Equipping of Well No.20 E Suhlece Cost proposal — Asphalt & Concrete Removal E R Dear Joe: S Pursuant to the District's request (c-mail dated 9JAN 12). Pascal & Ludwig has completed the removal of existing asphalt and below ground concrete obstructions & directly in the way of Contract site and pipeline work. please rind below a cost breakdown for this additional work. C O Labor $1654.30 N Equipment $3.452.00 S Dump Fees $1 .000.00 T Subtotal $7.10630 R Pascal & Ludwig OI I/Markup $1 ,065.60 lJ Bond S 81 . 10 C Total $8253.00 T O Find attached the necessary backup material for your review. If you have any questions. R please contact me at (909) 706-7665. S Respectfully. � • C Bryan 1y iser project Manager Pascal & Ludwig Constructors PASCAL & LUDWIG CONSTRUCTORS O TELEPHONE: 91 947'4631 20.18 EAST FRANCIS STREET ONTARIO. CALIFORNIA 91761 FAX (19991941 April 4, 2012 Yorba Linda Water District 1717 E. Mimloma .Ave. E placentia. CA 92870 N G Attention: Joe polimino I N Reference: Wellhead E.yuipping of Well No.-10 E Subject Cost proposal - Revised C-I Contract Drawings E R Dear Joe: S pursuant to the revised Contract drawing C-I . Pascal & Ludwig has assembled a cost breakdown for the site work modifications. Delete fencing and gale work at Wcll#Il ($6,996.00) C Add 8'035sfof'/4" rock w Marafi SOOX 0 & 3751f of additional redwood header $8925.00 N Subtotal $ 1 .92200 S pascal & Ludwig OH / Markup $ 38935 T Bond $ 22.65 R Total $2241 .00 U C The asphalt credit will be addressed under the unit bid item#32 (paving) after final T measurements are completed in the field. Find attached the necessary backup material 0 for your review. If you have any questions. please contact me at (909) 706-7665. R S Respectfully. Bryan Kals Project Manager Pascal & Ludwig Constructors ITEM NO. 7.1 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes Total Budget: $450,000 To: Board of Directors Cost Estimate: $10,000 Funding Source: Water Capital Reserves From: Ken Vecchiarelli, General Account No: 101-2700 Manager Job No: 2010-11 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: N/A Prepared By: Steve Conklin, Engineering CEQA Compliance: Exempt Manager Subject: Change Order No. 4 for Fairmont Reservoir Valve Replacement Project SUMMARY: Working is nearing completion for the subject project. It came to the attention of staff that the coating of existing pipe spools and flanges was not included with the replacement of valves for the project. Change Order No. 4 is requested in the amount of $9,060.00 and an additional 11 calendar days for this added work. STAFF RECOMMENDATION: That the Board of Directors approve Change Order No. 4 in the amount of $9,060.00 and an 11 calendar-day time extension to Pascal & Ludwig Constructors, Inc for the Fairmont Reservoir Valve Replacement Project, Job No. 2010-11 . DISCUSSION: New valves have been installed to replace all of those inside the 37-year-old Fairmont Reservoir. This work was brought forward ahead of the project for upgrades to the Fairmont Reservoir and Booster Station Project in order to address problems with poor operations of the valves. As the project was nearing completion, it was noted that while the project included providing new valves with protective coating, there was no requirement in the District-prepared plans for the coating of existing pipe spools and flanges. As such, staff requested a cost quotation from the contractor, Pascal & Ludwig, for the extra work from a coatings subcontractor. District staff reviewed the cost quotation for $9,060.00 (copy attached) and discussed it with staff of P&L. Thereafter, District staff determined that the quotation was appropriate for the work required and recommends it approval. STRATEGIC PLAN: SR 3-B: Continue Planning for Long Term Capital Improvements and Replacements into the future PRIOR RELEVANT BOARD ACTION(S): On October 13, 2011 , the Board awarded construction of the subject project for $203,800 to Pascal & Ludwig Constructors, Inc. On March 22, 2012, the Board approved CO No. 1 for a 37-calendar day time extension to accommodate the longer lead time for the butterfly valves than previously assumed. On March 20, 2012, the General Manger approved CO No. 2 in the amount of $5,466 which is 2.7% of the total project cost of $203,800 for the substitution of the new 24" flex couplings in lieu of the original non-standard victaulic couplings. On April 12, 2012, the Board approved CO No. 3 in the amount of $1 ,024 and an 11-calendar day time extension for the cost of extending the valve keys and additional time for manufacture, delivery and installation of the flex couplings. ATTACHMENTS: Name: Description: Type: C04 Repaint Exposed 24in 36in inlet outlet pipings 04232012.pdf CO#4 for Fairmont Valve Project Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 RC/RK 5-0 YORBA LINDA WATER DISTRICT CHANGE ORDER NO. 4 DATE April 23, 2012 Page 1 Of 1 CONTRACT NAME: Fairmont Reservoir Valve Replacement CONTRACT AMT.: $210,290.00 DAYS: 186 CONTRACTOR: Pascal & Ludwig Construction, Inc. THIS CHANGE: $90060 DAYS: 0 OWNER: Yorba Linda Water District REVISED CONTRACT AMT: $219,360.00 DAYS: 179 This Change Order covers changes to the subject conbact as desrmed herein. The Contractor shall construct. famish equipment and materials, and perform all work as necessary or required to complete Me Change Order hems for a lump sum price agreed upon between the Contrador and YoNa Linda Water Obeid otherwise referred to as Owner. HNCREASE CONTRACT DESCRIPTION OF CHANGES /OR TIME •EXTENSION/ — DECREASE IN OR -REDUCTION CONTRACT (DAYS) AMOUNT (31 Repairs Exposed 24' 6 36' inleVoullel piping $9,060 0 11 day time extension to perform the work above $0 11 NETCHANGE $9,068 11 REVISED CONTRACT AMOUNT AND TIME $219,360 179 The amount of me contract will be increased by the sum of $9.060 and the contract One shall be increased by 11 calendar days. The undersigned Contractor approves the foregoing Change Order as to the changes, it any, in Me contract price specified for each item including any antl all supervision costs and Met misallanews costs mining b Me change In work, and as to the extension of mne allowed, it any, for cunplefion of Ile entire work on amount of said Change Order. The Contractor agrees to fumian all labor and materials and perform all other necessary work, inclusive of that directly or indirectly related to the approved fire edeaion, required M complete the Change Order items. This document will become a supplement of the counted and all pf0MSi0ms will apply hereto. It is understood Mat Me Change Order shall be effective when approved by the Owner. This Change Order constitutes full. final. and complete compensation to the Contractor for as coals. mpera es, wafted. profit, and any damages of every kind that Me Connector may incur in connection with the above referenced changes in the work, including any impact on the referenced work of any other writ under Me centred, any changes in the sequences of any won, any delay to any work, any disruption of any work, any rescheduling of any work, and any other effect an any of the work under this contract. By the enculion of the Change Order, the Cord dor accepts the contract price change and the contract completion dale change. if any, and expressly waives any claims for any addi ' at compensali L�. damped or time erdensions. in connection with the abae-referenced changes. \ '7 RECOMMENDED: OWNER DATE: !� Zi Con ' n, ngineering Manag r j' ACCEPTED: ""` _,( _ Fac Ikdy G.Jw CONTRACTOR DATE: Z / Y / Ian Ludwig, President Pacq I & Ludwig Constructors, Inc. APPROVED: / OWNER DATE: Nan Vecchiarelll, General Manager PASCAL & LUDWIG CONSTRUCTORS TELEPHONE: (909) 947-4631 2049 EAST FRANCIS STREET FAX (909) 9474722 ONTARIO, CALIFORNIA 91761 April 12, 2012 Yorba Linda Water District 1717 E. Miraloma Ave. Placentia, CA 92870 E N G Attention: Derek Nguyen I Reference: Fairmont Reservoir Valve Replacement Project N Subject: Cost Proposal — Coat Exposed 24" & 36" Pipe Spools E E Dear Derek, R Pursuant to the District's request, Pascal & Ludwig has assembled a cost proposal to recoat S existing exposed 24" and 30" pipe spools within both reservoirs. Please find below a cost breakdown for this additional work. BE Pascal & Ludwig $ 3,200.00 C Western Jalco Painting $ 4,600.OD O Subtotal $ 7,800.00 N Pascal & Ludwig OH/Markup $ 1,170.00 S Bond T 90.00 R Total $ 9,060.00 CPlease note, this work will take approximately 4 days to complete and 7 days for curing. T Please find attached the necessary backup material for your review. If you have any 0 questions, please give me a call at (909)706-7665. R S Respectfully, ,.8ryan Kaiser Pascal &`Ludwig Constructors (909)706-7665 WESTERN JALCO 2403 Camino Bucanero San Clemente, CA 92673 License 591399 949-498-2166 FAX 949-498-7378 March 12, 2012 PASCAL & LUDWIG CONSTRUCTORS 2049 Francis Street Ontario, CA 91761 Attention: Brian Kaiser bkaiser(@Pascalludwig.com SUBJECT: PRICE FOR COATING PIPE & FLANGES AT FAIRMONT RESERVOIR Our price for Coating the Pipe and Flanges at the Fairmont Reservoir is $4.600.00. The Procedure is as follows: 1 . Remove all Rust and Prepare Surfaces by Power Wire Brushing 2. Wash and Clean Surface in Preparation for Coating 3. Apply 10 mils of Amerlock #2 High Build Epoxy (Qualifies for ANSVNSF Standard 61 (Potable Water)) 4. All Coating to Cure for seven (7) calendar days If there are any questions, please contact me. Sincerely, James A. Lussier President ITEM NO. 7.2 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes Total Budget: $130,000 To: Board of Directors Cost Estimate: $130,000 Funding Source: All Water Funds From: Ken Vecchiarelli, General Account No: 101-2700 Manager Job No: 200817, 200817B & 201120 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: Pending Prepared By: Anthony Manzano, Senior CEQA Compliance: MND Project Manager Subject: Material Testing Services for Yorba Linda Blvd. Pipeline & Booster Station Projects, 2010 Waterline Replacement Project and On-Call Geotechnical Services SUMMARY: Staff issued a Request for Proposals for job site and laboratory material testing services for construction of the Yorba Linda Blvd. Pipeline & Booster Station Projects, the 2010 Waterline Replacement Project and On-Call Geotechnical Services. Testing services were combined for the three construction projects, and future on-call projects, for efficiency and cost savings. The District received six proposals. Following evaluation, staff recommends award to Hushmand Associates, Inc., for a fee not to exceed of $130,000. Staff is bringing this item directly to the Board, rather than having it first reviewed by the Planning-Engineering-Operations (PEO) Committee in May, due to time constraints. The Notice to Proceed with construction of the Yorba Linda Blvd. Pipeline Project is expected to be issued the first week of May in order for time-sensitive construction to begin in June. The selected geotechnical firm must be under contract and ready to commence work by early May. STAFF RECOMMENDATION: That the Board of Directors authorize execution of a Professional Services Agreement with Hushmand Associates, Inc. for a fee not to exceed $130,000, to provide material testing services for the Yorba Linda Blvd. Pipeline & Booster Station Projects, 2010 Waterline Replacement Project and On-Call Geotechnical Services. DISCUSSION: Staff prepared a Request for Proposal to provide material testing services for construction of the Yorba Linda Blvd. Pipeline & Booster Station Projects, 2010 Waterline Replacement Project and On-Call Geotechnical Services. Staff solicited proposals from seven geotechnical firms experienced in this area. Six firms submitted proposals for consideration. The District's review team ranked and scored the proposals based on experience of the firm's staff, content, and understanding of these particular projects. Following the technical evaluation and ranking, separate envelopes with fee schedules for each proposal were opened by staff. The ranking of the firms based on the technical evaluation is as follows: Leighton N&M HushmandHarringtonMTGL Petra Technical 22.94 23.54 25.17 19.76 21.66 22.29 Score Following the technical evaluation, the fee schedule for each firm was reviewed. Each fee schedule lists the unit cost for each of the various material and geotechnical tests required for the projects, as well as the hourly billing rate for each staff person for that firm. The fee schedule for Hushmand Associates, part of which is attached, was reviewed relative to the others and was found to be complete, consistent with the others, and appropriate for the testing services required. Actual services to be provided will be based on the request of District staff on an as-needed basis, in accordance with the contract documents, and per the rate schedule provided. District staff estimated the testing requirements for the three projects noted above as well as for potential on-call needs over the next two years. (On-call services will be for soil compaction and asphalt testing following leak repairs, and other services as necessary.) Based on the estimated testing requirements and the cost of these services on previous projects, District staff estimated a budget of $130,000 for these projects and potential on-call services. In summary, based on experience, qualifications, technical scores and hourly rates, staff is recommending award to Hushmand Associates, Inc., for a fee not to exceed $130,000. PRIOR RELEVANT BOARD ACTION(S): On October 14, 2010, the Board of Directors authorized execution of a Professional Services Agreement with RBF, for a fee not to exceed $219,309, to provide engineering design, bidding support services and construction management for the 2010 Waterline Replacement Project. On December 22, 2010, the Board of Directors authorized execution of a Professional Services Agreement to Lee & Ro, Inc., for a fee not to exceed $423,624, to provide engineering, planning, design, and construction phase services for the Yorba Linda Blvd. Booster Station and Pipeline Project. On March 22, 2012, the Board of Directors authorized the President and Secretary to execute a construction agreement between Garcia Juarez Construction Inc. and the Yorba Linda Water District for the Yorba Linda Blvd. Pipeline Project in the amount of $1 ,681 ,650, subject to the approval as to form by General Counsel. ATTACHMENTS: Name: Description: Type: Hushmand Rate Schedule.pdf Hushmand Rate Schedule Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 RC/RK 5-0 HUSHMAND ASSOCIATES, INCORPORATED Geotechnical, Earthquake and Environmental Engineers STANDARD SCHEDULE OF FEES Through January 2013 Professional Services Staff Engineers, Geologist $90/hour Project Engineers, Geologists $ 100/hour Senior Engineers, Geologists $130/hour Associate Engineers, Geologists $ 140/hour Principal Engineers, Geologists $ 150/hour Expert Witness $240/hour Technical Services Clerical $50/hour Word Processing, Technical Text Editing $50/hour CADD $60/hour Engineering Technician (Field and Laboratory) $60/hour (non-prevailing wage) $78/hour (prevailing wage) Senior Engineering Technician (Field and Laboratory) $70/hour (non-prevailing wage) $85/hour (prevailing wage) Minimum Field Services Fee Field Service Calls 4-hour minimum fee Travel Travel time will be charged at our regular hourly rate, not to exceed 2 hours per day for sites within 60 miles from our office. Mileage will be charged at a rate of $0.55 per mile. Mileage will not be charged when field truck is used and charged. Equipment Field Truck and Field Test (Nuclear Gage) Equipment $ 12/hour (max $90/day) Field Truck $9/hour (max $75/day) Vibration & Environmental Monitoring Equipment Separate Schedule Outside Services Rental of special equipment not ordinarily furnished by Hushmand Associates, Inc. and all other costs such as labor, special printing, expendable field supplies, etc. Cost + 15% Terms Billings are payable upon presentation and are past due 30 days from the invoice date. A finance charge of 1 .5 percent per month, or the maximum amount allowed by law, will be charged on past-due accounts. 250 Goddard Irvine, California 92618 (949) 777-1266 Fax (949) 777-1276 www.hushmand-associates.com HMHUSHMAND ASSOCIATES, - INCORPORATED Geotechnical, Earthquake and Environmental Engineers Schedule of Fees for General Field Services General Field Services Activity Cost Technician with Pachometer, Regular Time, per hour, 4-hour minimum............................................................ 3910 .................................. $ 90.00 Film Adhesion, ASTM D4541, Regular Time, per hour, 4-hour minimum.........................................................4474 ..................................... 90.00 Dry Film Thickness, ASTM D6132, Regular Time, per hour, 4-hour minimum ................................................4475 ..................................... 90.00 Fireproofing Technician, Regular Time, per hour, 4-hour minimum .................................................................. 3210 ..................................... 90.00 Firestopping Technician, Regular Time, per hour 4-hour minimum ................................................................... 3211 ..................................... 90.00 Batch Plant Technician, Regular Time, per hour, 4-hour minimum....................................................................3310 ..................................... 90.00 Roofing Technician, Regular Time, per hour, 4-hour minimum ......................................................................... 3410 ..................................... 90.00 Membrane Technician, Regular Time, per hour, 4-hour minimum ..................................................................... 3510 ..................................... 90.00 Roofing/Waterproofing Technician, Regular Time, per hour, 4-hour minimum ................................................. 3511 ..................................... 90.00 Water Control Technician, Regular Time, per hour, 4-hour minimum ...............................................................3610 ..................................... 90.00 Field Coring Technician, Regular Time, per hour, 4-hour minimum .................................................................. 3720 ................................... 150.00 Mileage................................................................................................................................................................ 5101 ....................................... 0.75 Special Testing/Inspection Services ....................................................................................................................4420 ...............................By Quote Structural Investigations of Existing Buildings .................................................................................................. 3088 ..............................By Quote CorrosionSurvey ..................................................................................................................................................3096 ...............................By Quote Ground Penetrating Radar, per hour, 4-hour minimum ....................................................................................... 3097 ................................... 175.00 Field Technician Minimums Regular Hours: Monday through Friday, 6:30am to 4:00pm. Show-up time, no work perf ormed .......................................................................................................................................2-hour minimum charge FieldService Call s.......................................................................................................................................................4 and 8-hour minimum charge Field Services Work ................................................................................. a minimum of 1 hour per week engineering supervision may be charged Overtime Monday through Friday, Over 8 Hours or after 4:00 p.m.; Saturday, 1 to 12 Hours ...................................................................... time and one-half Sundays and Holidays, 1 to 8 Hours............................................................................................................................................... time and one-half Monday through Saturday, Over 12 Hours; Sundays and Holidays, Over 8 Hours................................................................................. double time Field Equipment Charges Activity Cost Skidmore, per day................................................................................................................................................4415 .................................. $ 50.00 TorqueWrench, per day ......................................................................................................................................4413 ..................................... 25.00 Multiplier, per day ...............................................................................................................................................4414 ..................................... 10.00 Pull Test Equipment (ram, pump, gage), per day ................................................................................................4464 ..................................... 50.00 Dynamometer, per day .........................................................................................................................................4465 ..................................... 25.00 Schmidt Hammer, per day ................................................................................................................................... 9704 ..................................... 40.00 WindsorProbe, per location (3-shots) ................................................................................................................. 9705 ..................................... 50.00 RentalDipstick 2000, per week...........................................................................................................................4825 ................................. 2500.00 FlatnessTesting, half day ....................................................................................................................................4814 ................................... 600.00 FlatnessTesting, per day .....................................................................................................................................4826 ..................................... 1 ,200 FieldHardness Equipment; per day.....................................................................................................................91 17 ..................................... 50.00 Metallographic Replication Kit, per day.............................................................................................................. 9118 ..................................... 50.00 DryFilm Thickness Gage, per day ......................................................................................................................4409 ..................................... 40.00 Misc. Equipment Charge .....................................................................................................................................4416 ...............................By Quote Photostress, per day .............................................................................................................................................4419 ............................... By Quote Vibration and Sound Monitoring, per day ...........................................................................................................4430 ............................... By Quote Concrete Air Meter, Pressure of Volumetric, per day .........................................................................................4431 ..................................... 25.00 Concrete Unit Weight Kit, scale, bucket, plate, mallet, and rod, per day ............................................................4436 ..................................... 25.00 2-inch cube brass embeccw molds, each per day .................................................................................................4437 ..................................... 25..00 Film Adhesion Equipment, Dollies and Epoxy, per day..........................................................................._......... 9127 ..................................... 50.00 StrainGages.........................................................................................................................................................4467 ...............................By Quote HEM HUSHMAND ASSOCIATES, INCORPORATED Geotechnical, Earthquake and Environmental Engineers GEOTECHNICAL LABORATORY SCHEDULE OF FEES Through January 2013 1- INDEX PROPERTIES 4- STRENGTH TESTS Visual Classification (ASTM D 2488) $ 8.00 R Value (ASTM D 2844) $ 225.00 Moisture Content (ASTM D 2216) $ 10.00 Unconfined Compression (ASTM D 2166) $ 75.00 Moisture Content & Density (ASTM D 2937) Direct Shear, per point: a) Shelby Tube Samples $ 32.00 a) Unconsolidated (Q test) $ 60.00 b) Other Samples $ 18.00 b) Consolidated (Q test) $ 75.00 Total Porosity $ 94.00 c) Consolidated Drained (ASTM D 3080) $ 95.00 Grain Size Analysis (ASTM D422) d) Residual $62 per shear per point a) Sieve $ 75.00 Remolding or hand trimming of specimens (per point) $ 35.00 b) Sieve and Hydrometer $125.00 Percent Passing # 200 Sieve (ASTM D 1140) $ 50.00 5- CONSOLIDATION Atterberg Limits (ASTM D 4318) Consolidation Test (ASTM D 2435) a) Three points $103.00 a) Up to 10 load/unload increments; one time reading $ 165.00 b) One point $ 65.00 b) Each additional time reading $ 45.00 c) Non Plastic $ 30.00 c) Each additional load increment $ 35.00 Specific Gravity (ASTM D 854) $ 65.00 Bulk Specific Gravity (ASTM C 127) $ 45.00 6- CONCRETE TESTING Sand Equivalent (ASTM D 2419) $ 75.00 Concrete Cylinder Tests (including processing, $ 24.00 Testing, report preparation per cylinder) Expansion Index (ASTM D 4829) $105.00 Concrete Cylinder Pickup and Delivery $ 12.00 to Laboratory (per cylinder) (see the note below) 2- SOIL CHEMISTRY 7- PERMEABILITY Constant Head (ASTM D2434) $ 155.00 Soil pH (ASTM G51) $ 35.00 Flexible Wall (triaxial) (ASTM D5084) $ 190.00 Electrical Resistivity $ 60.00 Chloride Content $ 55.00 8- SWELL/COLLAPSE Sulfate Content $ 57.00 Organic Matter Content (ASTM D 2974) $ 53.00 a) One Point (ASTM D 5333) $ 95.00 3- COMPACTION 9- LABORATORY TIME Standard Proctor Compaction (ASTM D 698) a) 4 " mold $ 145.00 Senior Field Technician, per hour $ 70.00 b) 6 " mold $ 155.00 Laboratory Technician, per hour $ 65.00 Modified Proctor Compaction (ASTM D 1557) Staff Engineer $ 90.00 a) 4 " mold $ 155.00 Project Engineer $ 110.00 b) 6 " mold $ 175.00 Principal Engineer $ 160.00 Notes: Samples will be stored for 3 months. Prior notification is required if samples need to be stored for a longer period of time. A monthly storage fee of$4/bag and $1/sleeve will be applied. Prices shown above are based on the assumption that all soil samples are "clean" and that the turnaround time of results is standard (1 to 2 weeks). Payment for services is due upon presentation. If not paid within 30 days of the invoice date, they will be considered past due and a carrying charge of 1.5% per month (or the maximum rate allowed by law) will be added to the unpaid balance. Any Attorney's fees or other costs incurred in collecting any delinquent accounts will be added to the amounts due and shall be paid by the party invoiced. HodHUSHMAND ASSOCIATES, INCORPORATED Geotechnical, Earthquake and Environmental Engineers Laboratory Testing-Aggregate Aggregate Properties Activity Cost Absorption, Coarse, ASTM C 127, each ............................................................................................................. 7000 .................................. $ 45.00 Fine, ASTM C 128, each ................................................................................................................. 7001 ..................................... 55.00 HardnessTest, ASTM D 1865, each ................................................................................................................... 7557 ...............................By Quote InLab Rock Coring and Cutting .........................................................................................................................4312 ................................... 100.00 LossOn Ignition, ASTM C25.............................................................................................................................. 7037 ...............................By Quote Percent Flat/Elongated CRD C 119, ASTM D 4791, each ..................................................................................7010 ................................... 200.00 Plate Bearing Test, ASTM D 1195, D 1196 ........................................................................................................ 7118 ...............................By Quote Petrographic Analysis of Aggregate for Concrete, ASTM C295, each ............................................................... 7024 ...............................By Quote Potential Alkali-Silica Reactivity of Aggregate for Concrete, ASTM C 289, Chemical Method, each .............. 7551 ......................I........By Quote Potential Alkali Reactivity of Aggregate for Concrete, ASTM C 1260, Mortar-Bar Method, each.................... 7552 ...............................By Quote Potential Alkali Reactivity of Carbonate Rocks for Concrete, ASTM C 586, Rock Cylinder Method, each......7565 ...............................By Quote Sodium soundness - Fine, 5 cycles, ASTM C 88, each ....................................................................................... 701 2 ................................... 220.00 Sodium soundness - Coarse, 5 cycles, ASTM C 88, each ................................................................................... 7047 ................................... 230.00 Magnesium soundness - Fine, 5 cycles, ASTM C 88, each .....................................................4........................... 7048 ................................... 235.00 Magnesium soundness - Coarse, 5 cycles, ASTM C 88, each ............................................................................. 7049 ................................... 270.00 Specific Gravity, Bulk SSD, Coarse, ASTM C 127, each .............................................P..................................... 7013 ..................................... 70.00 Specific Gravity, Bulk SSD, Fine, ASTM C 128, each.......................................................................................7014 ..................................... 80.00 Specific Gravity, Bulk SSD, Coarse, Complete ASTM C 127, each...................................................................7045 ...............................4... 125.00 Specific Gravity, Bulk SSD, Fine, Complete ASTM C 128, each....................................................................... 7046 ................................... 135.00 Unconfined Compression Test of Intact Rock, ASTM D2938, each................................................................... 7021 ..................................... 70.00 Unit Weight, ASTM C 295 (No Air Void Determination) each ...........................................................................7017 ..................................... 70.00 Unit Weight and Air Void Determination — Coarse Aggregates, ASTM C 29, each...........................................7035 ................................... 200.00 Unit Weight and Air Void Determination — Fine Aggregates, ASTM C 29, each...............................................7036 ................................... 200.00 Conformity Clay Lumps/Friable Particles, ASTM C 142, each.............................................................................................. 7101 ..................................... 80.00 Cleanness Value, Calif. 227, each ....................................................................................................................... 7004 ...................4............... 125.00 Durability Index, Calif 229, Coarse, each ............................................................................4............................. 7005 ................................... 150.00 Durability Index, Calif. 229, Fine, each ..............................................................................................................7006 ................................... 150.00 LosAngeles Rattler, ASTM C 131, each ............................................................................................................7008 ................................... 165.00 LosAngeles Rattler, ASTM C 535, each ............................................................................................................ 7009 ................................... 190.00 Lightweight Aggregate, Coarse, ASTM C 123, each ........................................................6.................................7007 ..............................6 By Quote Lightweight Aggregate, Fine, ASTM C 123, each ............................................................................................4. 8514 ...............................By Quote OrganicImpurities, ASTM C40 .......................................................................................................................... 7115 ..................................... 50.00 Sand Equivalent (Average of 3) Calif. 217, each ............................................................................................4... 8516 ........................4............ 90.00 Sand Equivalent (Average of 3) ASTM D 2419, each......................................................................................... 7123 ..................................... 90.00 SieveAnalysis, Coarse, ASTM C 136, each ....................................................................................................... 7015 ................................... 110.00 SieveAnalysis, Fine, ASTM C 136, each ........................................................................................................... 7016 ................................... 110.00 Sieve Analysis, Fine and Coarse Combined, ASTM C 136, each ....................................................................... 7549 ................................... 175.00 StainingMaterials, ASTM C 641, each ..................................................................................4............................7553 ...............................By Quote A Rush Charge of 100% for same-day results apply to the following tests: • ASTM C136 • ASTM C29 (Unit Weight only) ITEM NO. 7.3 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: N/A Total Budget: N/A To: Board of Directors Cost Estimate: N/A Funding Source: N/A From: Ken Vecchiarelli, General Account No: N/A Manager Job No: N/A Presented By: Ken Vecchiarelli, General Dept: Board of Directors Manager Reviewed by Legal: N/A Prepared By: Cindy Botts, Management CEQA Compliance: N/A Analyst Subject: Election of Regular and Alternate LAFCO Commissioners SUMMARY: The Local Agency Formation Commission (LAFCO) is holding elections for the 2012 Special District Seat. STAFF RECOMMENDATION: That the Board consider this matter and provide direction to staff on the authorization of a voting member and whether the District would like to nominate to the Special District Seat. DISCUSSION: The District has been asked to participate in the selection of the regular and alternate special district seats on LAFCO at the Independent Special Districts of Orange County quarterly meeting scheduled June 15, 2012. Attached is the Declaration of Qualification to Vote Form, which is to be used to designate a voting member as being authorized to cast a ballot to select the special district representative to LAFCO. The 2012 Nomination Form is also attached, and is to be used only if the District chooses to nominate a candidate for the special district representative seat. The District has received no requests for nominations or votes from other local agencies. STRATEGIC PLAN: CP 1-C: Have Board of Directors and YLWD Staff Attend More Events and Inter - governmental Meetings within the Local Community PRIOR RELEVANT BOARD ACTION(S): In 2010, the Board concurred in their nomination of Rich Freschi and Shawn Dewane as regular and alternate commissioners for LAFCO, as requested by MWDOC. ATTACHMENTS: Name: Description: Type: LETTER Clarifyino Forms.pdf LAFCO Clarification of 2012 Election Forms Backup Material Qualification to Vote.docx Declaration of Qualification to Vote Backup Material 2012 Nomination Form.doc 2012 Nomination Form Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 RC/MB 5-0 Designating Director Hawkins as primary voting representative and Director Melton as alternate voting representative. No Directors expressed an interest in making a nomination for a LAFCO Candidate at this time. OC LOCAL AGENCY FORMATION COMMISSION LAF� ORANGE COUNTY five April 12, 2012 Est 1%3 To: Special District Selection Committee CHAIR Special District General Managers CHARLEY WILSON Director Santa Margarita Water District From: LAFCO Executive Officer VICE CHAIR SUSAN WILSON Subject:ect: Clarification of to Vote Form and 2012 Nomination Form Representative of General Public PAT BATES On March 29, 2012,your district was sent two forms for the upcoming LAFCO special district Supervisor seat election — a form titled "Declaration of Qualification to Vote"and a "2012 Nomination 5'District Form." JOE CARCHIO unclmember The Declaration of Qualification to Vote Form is to be used to designate your Board ry of Huntington Beach Chairperson or alternate voting member as being authorized to cast a ballot to select the PETER HERZOG special district representative to LAFCO. Counalmember Gry of Lake Forest The 2012 Nomination Form is to be used only if your district chooses to nominate a JOHN MOORLACH candidate for the special district representative seat. As indicated on the form, the District Nomination Form must be signed by your district's presiding officer or a designated alternate board member. (If an alternate board member signs the form, it must be the JOHN WITHERS same person designated as the alternate voting member on your district's Declaration of hector .ine Ranch Water District Qualification to Vote Form.) ALTERNATE BILL CAMPBELL The Declaration of Qualification to Vote Form must be returned to Orange County LAFCO su,pervisor by 3 PM on May 8,2012. 3 Distrct ALTERNATE If your district chooses to nominate a candidate for the LAFCO special district seat, the JAMES FISLER Director Nomination Form must also be received by LAFCO no later than 3 PM on May 8, 2012. Mesa Consol;dated Water Dstrct Election ballots and any supplementary candidate information will be distributed to each ALTERNATE district on May 15, 2012. Ballots will be due to the Orange County Council of Governments DEREK J.MCGREGOR Reoresenta �e of (OCCOG), authorized b Special District Selection Committee to collect and count the Y the P GeneralPub,fc ballots, by 3 PM, June 15, 2012. Election results will be announced by OCCOG on or before June 22, 2012. ALTERNATE BOB RING Cityof Laguna If you have any questions regarding the election process, please contact me by email Crry of aguna Woods (icrosthwaite @oclafco.org)or by phone at(714) 834-2556. JOYCE CROSTHWAITE Executive Officer J e fosthwaite 12 Civic Center Plaza,Room 235,Santa Ana,CA 92701 (714)834-2556•FAX(714)834-2643 http://www.oclafco.org DECLARATION OF QUALIFICATION TO VOTE Phil Hawkins Yorba Linda Water District 1717 E. Miraloma Avenue Placentia, CA 92870-6785 phawkins(a-),Vlwd.com ?. ?. . ?. ?. ?. . ?. ?. . ?. . ?. ?. . ?. ?. . ? ? ??00®WMM. - ME ?. . ?. ?. . ?. ?. . ?. ?. ?. . ?. . ?. ?. . ?. ?? ??NM ?. . ?. . ?. ?. . ?. ?. ?. . ?. . . . ?. . ?. ?. . ?. ?. . . ®OWWWW ??000MMU®00"17 0 OWWD®M0 0 MMMMM® 000®00. ?[MRMNM [AMMO® o0 oaW Name and Title*: Signature*: Date: *Must be signed by either Board President or Board Secretary ** Must be a member of the Board ***Must be a member of the Board Completed forms must be received by LAFCO prior to 3 PM, Tuesday, May 8, 2012. Forms must be delivered to Orange County LAFCO by: RNME M= crosthwaiteffodafco.orgmW MM ? MUM?[MMEHIM? ??0 0 ????1?1???????? m[m MPEM ?? ME NEW ?1?1?1?1?1?1?1?1?1?»MF???MMMME M?®. 7 ❑MMM MMUEN ME 2012 NOMINATION FORM Candidate for the Local Agency Formation Commission (LAFCO) CANDIDATE INFORMATION FOR REGULAR SPECIAL DISTRICT MEMBER: NAME: TITLE: DISTRICT: ❑ Check box if resume or statement of qualifications is attached. SPECIAL DISTRICT SELECTION COMMITTEE MEMBER SUBMITTING NOMINATION (Must be the presiding officer or a designated alternate board member.) NAME: DATE: SIGNATURE: TITLE: DISTRICT: A resume or other supplemental information about the candidate may be included and will be distributed with the election ballots. All completed nomination forms and any supplemental information must be returned to Orange County LAFCO by: 1. Email at:jcrosthwaitegoclafco.org or 2. Mail at: Orange County LAFCO 12 Civic Center Plaza, Room 235 Santa Ana, CA 92701; or 3. Fax at: (714) 834-2643,Attn: Joyce Crosthwaite All forms and supplemental information must be received by LAFCO rip or to 3:00 p.m. on Tuesday,May 8, 2012. Nomination forms or candidate information received after that deadline will not be considered. ITEM NO. 7.4 AGENDA REPORT Meeting Date: April 26, 2012 To: Board of Directors From: Ken Vecchiarelli, General Manager Presented By: Gina Knight, HR/Risk Manager Dept: Human Resources/Risk Management Reviewed by Legal: Yes Prepared By: Amelia Cloonan, Personnel Technician Subject: ACWA Health Benefits Authority Transfer to ACWA/JPIA SUMMARY: On March 28, 2012, the Association of California Water Agencies Health Benefits Authority (HBA) Board of Directors voted to dissolve and transition the health benefits programs to the ACWA/Joint Powers Insurance Authority (ACWA/JPIA). STAFF RECOMMENDATION: That the Board of Directors adopt Resolution 12-09, consenting to join the Health benefits program of ACWA/JPIA and ratifying the dissolution of the ACWA Health Benefits Authority Joint Powers Agreement. COMMITTEE RECOMMENDATION: The Personnel-Risk Management Committee, at its meeting held April 10, 2012, reviewed the request by ACWA HBA's Board of Directors and recommends that the District's Board of Directors adopt Resolution 12-09 voting to accept the dissolution of ACWA Health Benefits Authority and consenting to transfer its health benefits programs into ACWA/JPIA. DISCUSSION: The ACWA Health Benefits Authority Board of Directors voted on March 28, 2012 to dissolve ACWA Health Benefits Authority and transfer its health benefits programs to ACWA Joint Powers Insurance Authority. HBA must secure the concurrence of 75% of HBA members within the 90-day window specified in HBA's by-laws. The Board of Directors of each HBA member agency must adopt a resolution consenting to join the Employee Benefits Program of ACWA/JPIA and ratify the action by the HBA Board to terminate the Health Benefits Authority Joint Powers Agreement. HBA requests that the resolution be signed by April 30, 2012. The move would allow the two organizations to combine resources, reduce overall costs and improve operations. Potential cost savings would be passed on to all agencies that participate in programs offered by HBA and ACWA/JPIA. Pursuant to ACWA HBA's letter addressed April 1 , 2012, failure to return a signed Resolution by June 29, 2012 could result in a loss of coverage for its member agency's employees. PRIOR RELEVANT BOARD ACTION(S): By Resolution 94-05, the Board of Directors approved execution of an agreement to create the Association of California Water Agencies Health Benefits Authority. On May 25, 1995, the Board of Directors adopted an amended agreement that cleared up language inconsistencies of a technical nature and allowed mutual water companies to participate in the Health Benefits Authority. ATTACHMENTS: Name: Description: Type: Resolution HBAJPIA 12-09.doc Resolution 12-09 Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 Roll Call RESOLUTION NO. 12-09 RESOLUTION OF THE BOARD OF DIRECTORS OF THE YORBA LINDA WATER DISTRICT CONSENTING TO JOIN THE HEALTH BENEFITS PROGRAM OF THE ACWA JOINT POWERS INSURANCE AUTHORITY, RATIFYING THE ACTION OF THE ACWA HEALTH BENEFITS AUTHORITY BOARD OF DIRECTORS TO TERMINATE THE HEALTH BENEFITS AUTHORITY JOINT POWERS AGREEMENT, AND AUTHORIZING AND DIRECTING THE GENERAL MANAGER TO EXECUTE ALL NECESSARY DOCUMENTS WHEREAS, this Agency entered into a joint exercise of powers agreement ("HBA Agreement") with the Association of California Water Agencies Health Benefits Authority ("HBA") in order to pool its purchasing needs with other public agencies desiring to provide their employees with comprehensive and economical health and welfare benefits; and WHEREAS, this Agency entered into a Health Benefits Memorandum of Understanding ("MOU") to enroll in specific health programs and ancillary programs ("Existing Employee Benefits Coverage") offered by HBA and agreed to abide by: (1) the HBA Agreement; (2) all rules and procedures established by HBA in the administration of the Agency's Existing Employee Benefits Coverage; and (3) all underwriting, eligibility, and contribution requirements in Appendix A to the MOU; and WHEREAS, this Agency entered into a joint exercise of powers agreement ("JPIA Agreement") with the Association of California Water Agencies Joint Powers Insurance Authority ("JPIA") in order to pool its purchasing needs with other public agencies desiring to obtain comprehensive and economical public liability, workers' compensation, unemployment, health, accident and/or dental, or property coverage; and WHEREAS, JPIA is both qualified and authorized by the laws of the State of California to administer the Existing Employee Benefits Coverage to this Agency through JPIA's Employee Benefits Program; and WHEREAS, during a noticed special meeting held on February 6, 2012, the HBA Board of Directors unanimously voted to transfer all HBA operations and administrative functions to JPIA on or about July 1, 2012, and to pursue a merger of the two public agencies after which the HBA Agreement would be terminated; and WHEREAS, pursuant to Article 22 of the HBA Agreement, the HBA Agreement may be terminated by the HBA Board of Directors subject to ratification by the written consent of three-fourths of the HBA Member agencies within 90 days of the HBA Board's action, provided, however, that HBA and the HBA Agreement shall continue to exist for the purpose of concluding all functions necessary to wind up HBA's affairs; and Resolution No. 12-09 Consenting to Join the Health Benefits Program of ACWA JPIA Page 1 WHEREAS, during a noticed regular meeting held on March 28, 2012, the HBA Board of Directors approved HBA Resolution 12-03-02: (1) electing to terminate the HBA Agreement pursuant to Article 22 of the HBA Agreement and, except as provided in clause 2 below, said termination shall become effective upon ratification by the written consent of three-fourths of the HBA member districts and agencies; (2) recognizing that pursuant to Article 22 of the HBA Agreement, HBA and the HBA Agreement shall continue to exist for the purpose of winding up and dissolving the business affairs of HBA, and acknowledge that the HBA Board of Directors is vested with all powers of HBA for doing the same; and (3) declaring that Resolution 12-03-02 shall take effect on April 1 , 2012, thereby beginning the 90-day ratification period. NOW, THEREFORE, BE IT RESOLVED that the Board of Directors of the Yorba Linda Water District hereby: 1. Agrees that the HBA Memorandum of Understanding referred to in the recitals above is incorporated in this resolution by reference. 2. Consents to join JPIA's Employee Benefits Program and acknowledge, represent, and agree that all terms and conditions of the HBA Memorandum of Understanding apply to the provision of this Agency's Existing Employee Benefits Coverage through JPIA. 3. Authorizes and directs this Agency's General Manager to cooperate fully with HBA and JPIA in the execution of any other documents and in the completion of any additional actions that may be necessary or appropriate for the purpose of ensuring that this Agency's Existing Employee Benefits Coverage continues without lapse through JPIA. 4. Ratifies the action of the HBA Board of Directors to terminate the HBA Agreement, to be effective as provided in Article 22 of the HBA Agreement. 5. Directs the Secretary of the Board of this Agency to immediately send a certified copy of this resolution to: Association of California Water Agencies Health Benefits Authority, 4600 Northgate Blvd, Suite 100, Sacramento, California, 95834. Resolution No. 12-09 Consenting to Join the Health Benefits Program of ACWA JPIA Page 2 PASSED AND ADOPTED this 26'" day of April 2012, by the following called vote: AYES: NOES: ABSTAIN: ABSENT: Phil Hawkins, President ATTEST: Kenneth R. Vecchiarelli, Secretary Reviewed as to form by General Counsel: Arthur G. Kidman Kidman Law LLP Resolution No. 12-09 Consenting to Join the Health Benefits Program of ACWA JPIA Page 3 ITEM NO. 7.5 AGENDA REPORT Meeting Date: April 26, 2012 Budgeted: Yes Total Budget: $6,500 To: Board of Directors Cost Estimate: $6,500 Funding Source: Operating Funds From: Ken Vecchiarelli, General Account No: 1-1010-0580-00 Manager (&0600-00) Presented By: Ken Vecchiarelli, General Dept: Board of Directors Manager Reviewed by Legal: Yes Prepared By: Cindy Botts, Management CEQA Compliance: N/A Analyst Subject: Board Communications Reimbursement Policy SUMMARY: At the direction of the Executive-Administrative-Organizational Committee, staff has developed a draft policy and resolution for the acquisition and reimbursement of communication devices for Directors to receive, view and print (if desired) digital District Board agenda packets and other District documents, eliminating the need for staff to copy and mail or hand deliver paper agenda packets weekly. A copy of the draft policy and Resolution is attached. STAFF RECOMMENDATION: That the Board of Directors adopt and implement Resolution No. 12-10 Setting Board Communications Reimbursement Policy. COMMITTEE RECOMMENDATION: The Executive-Administrative-Organizational Committee reviewed this item at its meeting on April 9, 2012 and supports staff's recommendation. DISCUSSION: The EAO Committee has reviewed this item over the past several months and has suggested staff draft a communications reimbursement policy whereby individual Board members select and purchase a device of their choosing and take responsibility for its maintenance and operations, in lieu of staff printing and delivering District agenda packets. The Board approved funds in the FY 2011/12 budget to support this program in the amount of $1 ,300 for each Director over the next fiscal year. This includes up to $1 ,000 toward the purchase of an electronic device of their choice in a four year period and $300 per year allowance for additional expenses, such as printer ink and paper or monthly internet service charges. Under the proposed program, staff anticipates a net savings of approximately $8,700 in operational expenses due to reduced staff time, paper, toner and gasoline over the four-year life expectancy of these devices. Of note in the attached Communications Reimbursement Policy is that the purchase and reimbursement of a Tablet PC, laptop, printers, etc. is voluntary, however all Board and Committee agendas and other District information shall be distributed to the Board of Directors via electronic means instead of providing paper copies, as of July 1 , 2012. Staff may, from time to time as it deems necessary, provide paper copies of District information to Directors and such provision of paper copies shall not affect the reimbursement of expenses as provided in the attached policy. For those Directors that do choose to participate in the Communications Reimbursement Policy, the cost reimbursed by the District is fully taxable. STRATEGIC PLAN: OE 1-B: Evaluate How Each Department Might Make Further Use of Existing Technology ATTACHMENTS: Name: Description: Type: DRAFT Resolution- DRAFT Resolution 12-10 Communications Backup Material Communications Reimbursement 2012 04.18.12.docx Reimbursement DRAFT Communications Reimbursement Policy 04.18.12.docx DRAFT Communications Reimbursement Policy Backup Material BOD Backup.pdf Paperless Agenda Backup-Board Only Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 GM/RC 3-2 Roll Call MB and RC voted No. RESOLUTION NO. 12-10 RESOLUTION OF THE BOARD OF DIRECTORS OF THE YORBA LINDA WATER DISTRICT REGARDING DISTRIBUTION OF DISTRICT INFORMATION AND SETTING DIRECTOR COMMUNICATIONS EXPENSE REIMBURSEMENT WHEREAS, the Board of Directors of the Yorba Linda Water District have from time to time reaffirmed the importance of operational efficiencies; WHEREAS, the printing of dozens of paper copies of Board and Committee agendas and other information for distribution to the Board of Directors consumes staff resources and negatively impacts District expenditures; WHEREAS, the electronic preparation and distribution of Board and Committee agendas and other information to the Board of Directors can be done in an expedient and cost-effective manner; and WHEREAS, the Board of Directors requires electronic equipment and related items in order to receive, access and print out Board and Committee agendas and other information distributed to the Board of Directors. NOW THEREFORE BE IT RESOLVED by the Board of Directors of the Yorba Linda Water District as follows: Section 1. All Board and Committee agendas and other District information shall be distributed to the Board of Directors via electronic means instead of providing paper copies in accordance with the "Communications Reimbursement Policy", hereto attached. Section 2. Director incurred electronic equipment and related items expenses for receiving, accessing and printing out all Board and Committee agendas and other District information distributed via electronic means shall be reimbursed as set forth in the "Communications Reimbursement Policy", hereto attached. PASSED AND ADOPTED this 26th day of April 2012, by the following called vote: AYES: NOES: ABSTAIN: ABSENT: Phil Hawkins, President Yorba Linda Water District ATTEST: Ken Vecchiarelli, Secretary Yorba Linda Water District Yorba Linda Water District Policies and Procedures Policy No.: 1010-12-01 Effective Date: April 26, 2012 Prepared By: Cindy Botts, Management Analyst Applicability: Board of Directors POLICY: Communications Reimbursement Policy 1.0 PURPOSE A. For operational efficiencies and to reduce District expenses, District staff and the District's Board of Directors have determined that it is in the best interests of the District to distribute Board and Committee agendas and other District information to the Board of Directors via electronic means instead of providing paper copies. The purpose of this policy is to establish procedures for the reimbursement of Director-incurred expenses to obtain electronic equipment and related items that permit a Director to receive, access and print out Board and Committee agendas and other District information distributed to the Board of Directors via electronic means. 2.0 DISTRIBUTION All Board and Committee agendas and other District information shall be distributed to the Board of Directors via electronic means instead of providing paper copies. Notwithstanding the foregoing, Staff may, from time to time as it deems necessary, provide paper copies of District information to Directors and such provision of paper copies shall not affect the reimbursement of expenses as provided in this policy. 3.0 REIMBURSEMENT A. A Director is eligible for the reimbursement of expenses associated with electronic equipment and related items, provided: 1. The Director is an elected official of the District with more than two (2) months remaining in his/her current term of office; and 2. The Director has submitted a complete "Communications Reimbursement" form (Exhibit A) in accordance with Section 4.0 below. 1 B. The District shall provide reimbursement, up to $1,000 every four (4) years for the cost of electronic equipment and related items of the Director's choosing plus a monthly allowance of $25 for a data plan relating to email/internet access, etc., as applicable. Reimbursement shall include, but not be limited to Tablet PCs, laptop computers, printers, paper and ink, Tablet PC/Laptop covers or cases, protective screen wraps, extended warranties, and downloadable applications ("apps") specific to the conducting of District business, such as word processing, spreadsheet or PDF annotation applications. C. Expenses that are not reimbursable include, but are not limited to, gift wrapping, engraving, downloadable applications ("apps") (other than those used specifically for conducting District business) and additional adaptors. D. One Hundred percent (100%) of the electronic equipment and approved itemized expenses reimbursed shall be reported on the Director's Form W-2 as taxable income. In providing this information, the District is not offering tax advice. Directors having questions concerning the tax implications of electronic communications reimbursement benefits are urged to contact the Internal Revenue Service or other experts in tax law. 4.0 PROCEDURES A. Reimbursements will be processed when proof of purchase and original receipts are submitted by the Director along with a complete "Communications Reimbursement" form (Exhibit A). B. The electronics equipment and related items for which reimbursement is provided shall become the property of the Director and all maintenance is the sole responsibility of the Director. C. It is the full responsibility of the Director to submit a complete "Communications Reimbursement" form (Exhibit A) to the District Secretary within thirty (30) days of purchase of the applicable electronic equipment and related item, along with proof of purchase and original receipts. D. Failure to submit the required complete "Communications Reimbursement" form (Exhibit A), proof of purchase and original receipts within the established time frame of thirty (30) days shall result in denial of the Director's request for reimbursement of the expense. E. To avoid non-compliance with the Ralph M. Brown Act, Directors are prohibited from sending and receiving electronically produced messages during meetings. 5.0 EXHIBITS 2 Exhibit A—Communications Reimbursement Form APPROVED: Kenneth R. Vecchiarelli, General Manager Date 3 1010-12-01 Exhibit A Yorba Linda Water District COMMUNICATIONS REIMBURSEMENT FORM This Form is pursuant to Resolution 12-10 Name Date (Last) (First) Address (Street) (City) (zip) The purpose of this form is to itemize electronic equipment and related items purchased and to provide proof of purchase and original receipts for the reimbursement of Director-incurred expenses to obtain electronic equipment and related items that permit a Director to receive, access and print out Board and Committee agendas and other District information distributed to the Board of Directors via electronic means. One Hundred percent (100%) of the approved itemized expenses reimbursed shall be reported on the Director's Form W-2 as taxable income. Date Description Amount Total Expenses: $ - Less Paid by YLWD: Total Reimbursement Amount: $ - I agree that all expenses submitted on this form are for Yorba Linda Water District purposes only. I agree that it is my responsibility to provide proof of purchase and original receipts along with this complete "Communications Reimbursement" form to the District Secretary within thirty (30) days of purchase. Signature: Date: 4 Agenda Creation Costs Backup Materials Costs Labor Costs #of #of Avg.#of $for Color $for B&W Cost per Cost per Total Cost per #of Milage Total$/ Meetings Copies Pages Copies Copies Copy Copy(Paper) Agenda Packet, Events/ #of Miles Reim./Mile Month (per page) (per page) (Konica) per month Month Board Agenda Meetings 2 5 53 $ 0.011 $ - $ 0.05900 $ 0.01 $ 41.50 Packet 2 20 $ 0.55 $ 22.00 (BOD) Delivery Board Meetings 2 0 53 $ - $ 0.001 $ 0.00718 $ 0.01 $ - Overtime 4 0 N/A $ 245.00 (Staff) EAO 1 2 29 $ 0.011 $ - $ 0.00718 $ 0.01 $ 1.58 Committee PACT 1 2 13 $ 0.011 $ $ 0.00718 $ 0.01 $ 0.68 Total Costs Committee PRM 1 2 36 $ 0.011 $ $ 0.00718 $ 0.01 $ 1.92 Monthly Yearly Committee FA 1 2 28 $ 0.011 $ $ 0.00718 $ 0.01 $ 1.49 Labor $ 267.00 $ 3,204.00 Committee PEO 1 2 30 $ 0.011 $ $ 0.00718 $ 0.01 $ 1.64 Materials $ 50.10 $ 601.19 Committee CAC 1 1 47 $ 0.011 $ $ 0.00718 $ 0.01 $ 1.28 Committee Totals $ 50.10 Avg#of Pages Calcs Cost of Copies(Ink) Cost of Copies(Printer) Dec-11 Jan-12 Feb-12 Total/3= Cost of Ink #of Cartridges #of Total Cost per Color Avg Needed Copies Copy $ 0.05900 *1st 35 48 75 53 meeting of Color $ 80.00 4 30000 $ 0.011 month Black $ 0.00718 27 18 43 29 Black $ 32.00 1 30000 $ 0.001 17 14 7 13 70 15 22 36 Cost of Copies(Paper) 24 23 36 28 Cost per Cost per Ream Cost Page s er Case 43 21 27 30 1 $ 45.67 $ 4.57 $ 0.01 44 23 75 47 ITEM NO. 7.6 AGENDA REPORT Meeting Date: April 26, 2012 To: Board of Directors From: Ken Vecchiarelli, General Manager Presented By: Stephen Parker, Finance Dept: Finance Manager Prepared By: Stephen Parker, Finance Manager Subject: Water Rate Study 2012 STAFF RECOMMENDATION: That the Board of Directors receive and file the Water Rate Study 2012. DISCUSSION: Staff has proposed a rate increase for the upcoming three fiscal years, as well as changing the monthly meter charge from a uniform charge to a volumetric-based charge. In order to proceed with these recommended changes for the upcoming budget year, a Proposed Rate Increase Notice needs to be mailed to all the District's customers. The notice states the proposed rate changes, which are supported by a document explaining in more detail the reasons why the rate changes are needed. Staff engaged Raftelis Financial Consultants to write that supporting document. Raftelis are the creators of the financial model the District used to project the needs for upcoming years. The document, which will be placed on the District's website to provide additional information to customers receiving a Proposed Rate Increase Notice, is attached. STRATEGIC PLAN: FR 2-C: Implement an Approach to Ensure Reserves are Responsibly Funded ATTACHMENTS: Name: Description: Type: YLWD Rate Study 2012.pdf Water Rate Study 2012 Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 RC/MB 5-0 RFC 201 S. Lake Ave., Suite 301 Pasadena, CA 91101 RAFTELIS FINANCIAL Ph: (626) 583-1894 CONSULTANTS,INC. Fax: (626) 583-1411 Memo To: Stephen Parker Finance Manager Yorba Linda Water District 1717 E. Miraloma Ave Placentia, CA 92870 From: Sanjay Gaur/ Khanh Phan Date: April 23, 2012 Re: Yorba Linda Water District—Water Rate Study 2012 1. Introduction Yorba Linda Water District (District) currently provides water service to over 24,000 residential and commercial accounts located in the City of Yorba Linda, portions of Brea, Anaheim and Placentia. The District's current rate structure consists of monthly meter charges (constant for all meter sizes and customer classes), in addition to a uniform water usage charge for all usage within the billing period. The District currently utilizes two sources of water supply: groundwater from Orange County Water District (OCWD) and imported water from Municipal Water District of Orange County (MWDOC). As a result of significant increases in imported water costs and other associated operating costs,the District commissioned RFC to develop a Financial Plan and Water Rate Model (Model). This technical memorandum (Memo) includes assumptions used in the study,findings and proposed staff recommendations, as well as the resulting rates. RFC Page 1 RAFTELIS FINANCIAL CONSULTANTS,INC. YLWD -Water Rate Study 2012 April 2012 2. Status Quo Pro-forma (FY 12/13 to FY 14/15) A pro-forma statement for the "status quo"financial plan scenario is shown in Table 1. For this scenario, no rate increases were assumed for the planning period (defined as being the time period of fiscal year(FY) 12/13 to FY 14/15). In addition,the status quo scenario includes a "deferred" capital improvement plan (deferred Cl P)which delays the funding of several capital projects present in the original CIP (see Appendix A). Lastly,the status quo scenario assumes that increases in water costs will continue to be passed onto customers via pass-through,that no debt or line of credit will be issued throughout the planning period, and that projected sales in FY 12/13 (or FY 12/13)will be approximately 19,000 acre feet (AF), along with a minimal account growth factor of 0.4 percent per year. Other revenues include other operating revenues($585K), property taxes($1.2M), interest income ($189K), and other non-operating revenues($435K annex fees plus$55K for others). The current reserve policy mandates that the District needs to maintain a combined reserves level that meets the following combined minimum targets: • 8 percent of operating budget for Operating Reserve • $1 million for Emergency Reserve • $1.8 million for Capital Replacement Reserve • $2.15 million for COP Reserve • $182,000 in FY 2012 to$455,000 in FY 14/15 for Employee Benefit Liability Reserve The operations and maintenance (0&M) projections are based on the District's FY 12/13 budget at inflationary factors of 2 percent for all 0&M expenditures,except personnel and utilities,which are projected to increase on average at 3.2 percent and 5 percent, respectively. In addition,the District anticipates significant capital costs(totaling approximately$16.4 million inflated throughout the planning period). The pass-through water supply costs shown in Table 1 are estimated using the most recently approved rates from MWDOC and OCWD for FY 12/13 and FY 13/14. The actual pass- through water supply cost calculation for FY 12/13 is shown in Appendix B. The District will review and update the pass-through costs annually to reflect more accurate water supply cost increases imposed on the District. RFC Page 2 RAHELIS FINANCIAL CONSULTANTS,INC. YLWD -Water Rate Study 2012 April 2012 Table 1: Status Quo Pro-forma—FY 12/13 to FY 14/151 FY 2013 FY 2014 1 Descriptions Budgeted Projected Projected Projected Water Sales 19,OOOAF 19,076 AF 19,152 AF REVENUES Existing Revenues from Rates $24,247,999 $24,345,361 $24,443,056 Service Charges $3,391,471 $3,405,407 $3,419,342 Commodity $20,856,528 $20,939,954 $21,023,714 Proposed Rev Adjustments $0 $0 $0 Proposed Rev Adjustments(%) 0.0% 0.0% 0.0% Passthrough Water Supply Cost Rev $387,402 $931,678 $1,387,365 Other Revenues $2,074,757 $2,038,469 $2,005,621 TOTAL REVENUES $26,710,158 $27,315,508 $27,836,041 EXPENSES O&M Expenses $23,570,834 $24,508,814 $25,183,344 Variable Water&PowerCosts $12,592,613 $12,477,699 $12,365,086 Projected Passthrough Water Costs $387,402 $931,678 $1,387,365 Salary Related Expenses $7,123,275 $7,539,028 $7,782,088 Supplies&Services $3,467,544 $3,560,409 $3,648,804 Vehicle Equipment&Capital Outlay $318,300 $311,483 $314,598 Other Expenses $118,210 $120,574 $122,986 TOTAL EXPENSES $24,007,344 $24,940,871 $25,620,927 NET REVENUES $2,702,814 $2,374,637 $2,215,114 PROPOSED DEBT $0 $0 $0 Available for CIP $0 $0 $0 Transfers to COP Reserves $0 $0 $0 DEBTSERVICE LOC Principal Payment $0 $0 $0 Current Debt Service $2,804,173 $2,801,473 $2,802,008 Proposed Debt Service $0 $0 $0 TOTAL DEBT SERVICE $2,804,173 $2,801,473 $2,802,008 CIP Debt Funded $0 $0 $0 PayGo $5,722,324 $6,060,989 $4,625,021 TOTALCIP $5,722,324 $6,060,989 $4,625,021 N ET CASH BALANCES -$5,823,682 -$6,487,825 -$5,211,915 Beginning Reserve Balances $21,825,277 $16,001,595 $9,513,770 Ending Reserve Balances $16,001,595 $9,513,770 $4,301,856 Target Reserve Balances $7,034,763 $7,200,801 $7,345,763 Debt Coverage Ratio* 123% 111% 106% Required Debt Coverage Ratio 110% 110% 110% *Debt Coverage=(Total Rev-O&M Expenses+Annex Fees)/(Current Debt Service+Proposed Debt Service-Capitalized Interest) 1 The pro-forma shown includes projected sales in FY 12/13 of approximately 19,000 AF and a 5 percent water loss factor.Purchased water supply in FY 12/13 is approximately 20,000 AF. RFC Page 3 RAFfELIS FINANCIAL CONSULTAMS,INC. YLWD —Water Rate Study 2012 April 2012 Under the status quo financial plan scenario,the total revenues generated through rates and other miscellaneous sources are inadequate to fund its revenue requirements;consequently, reserves are being drawn down each year throughout the planning period. In FY 14/15,the District will be unable to meet its target reserve balance, and nor will it be able to meet its target debt coverage ratio. 3. Proposed Pro-forma (based on Staff Recommendations) District staff recommends revenue increases of 1.5 percent in FY 12/13, and 2.5 percent each year for FY 13/14 and FY 14/15. Increases in water supply costs will continue to be passed through to customers via pass-through rates, in addition to the recommended revenue increases,which will be effective on July 15tof the corresponding year. In addition, District staff recommends a line of credit loan of$7 million in FY 12/13 with interest rate at 2 percent, in order to mitigate significant capital costs for the "deferred CIP" the District is planning to undertake. The proposed principal pay-off schedule is 10 percent in FY 12/13, 10 percent in FY 13/14, and 20 percent per year afterwards until FY 17/18. A pro-forma statement of the proposed financial plan (based on staff recommendations) is shown in Table 2. z Line of credit(LOC)principal payments are not included in the debt coverage ratio calculations,but the LOC interest expenses are included in the net revenues for debt coverage ratio calculations. RFC Page 4 RAFTEUS FINANCIAL CONSULTANTS,INC. YLWD -Water Rate Study 2012 April 2012 Table 2: Proposed Financial Plan Pro-Forma—FY 12/13 to FY 14/153 FY 2013 FY 2014 1 Descriptions Budgeted Projected Projected Projected Water Sales 19,OOOAF 19,076 AF 19,152 AF REVENUES Existing Revenues from Rates $24,247,999 $24,345,361 $24,443,056 Service Charges $3,391,471 $3,405,407 $3,419,342 Commodity $20,856,528 $20,939,954 $21,023,714 Proposed Rev Adjustments $363,720 $982,944 $1,622,637 Proposed Rev Adjustments(%) 1.5% 2.5% 2.5% Passthrough Water Supply Cost Rev $387,402 $931,678 $1,387,365 Other Revenues $2,107,540 $2,105,311 $2,074,777 TOTAL REVENUES $27,106,661 $28,365,293 $29,527,835 EXPENSES O&M Expenses $23,570,834 $24,508,814 $25,183,344 Variable Water&PowerCosts $12,592,613 $12,477,699 $12,365,086 Projected Passthrough Water Costs $387,402 $931,678 $1,387,365 Salary Related Expenses $7,123,275 $7,539,028 $7,782,088 Supplies&Services $3,467,544 $3,560,409 $3,648,804 Vehicle Equipment&Capital Outlay $318,300 $311,483 $314,598 Other Expenses $223,210 $215,074 $206,986 TOTAL EXPENSES $24,112,344 $25,035,371 $25,704,927 NET REVENUES $2,994,317 $3,329,922 $3,822,908 PROPOSED DEBT $7,000,000 $0 $0 Available for CIP $6,965,000 $0 $0 Transfers to COP Reserves $0 $0 $0 DEBTSERVICE LOC Principal Payment $700,000 $700,000 $1,400,000 Current Debt Service $2,804,173 $2,801,473 $2,802,008 Proposed Debt Service $0 $0 $0 TOTAL DEBT SERVICE $3,504,173 $3,501,473 $4,202,008 CIP Debt Funded $5,722,324 $1,242,676 $0 PayGo $0 $4,818,313 $4,625,021 TOTALCIP $5,722,324 $6,060,989 $4,625,021 N ET CASH BALANCES $732,821 -$6,232,540 -$5,004,121 Beginning Reserve Balances $21,825,277 $22,558,098 $16,325,558 Ending Reserve Balances $22,558,098 $16,325,558 $11,321,437 Target Reserve Balances $7,043,163 $7,208,361 $7,352,483 Debt Coverage Ratio* 134% 146% 163% Required Debt Coverage Ratio 110% 110% 110% *Debt Coverage=(Total Rev-O&M Expenses+Annex Fees)/(Current Debt Service+Proposed Debt Service-Capitalized Interest) 3 The pro-forma shown includes projected sales in FY 12/13 of approximately 19,000 AF and a 5 percent water loss factor.Purchased water supply in FY 12/13 is approximately 20,000 AF. RFC Page 5 RAFfELIS FINANCIAL CONSULTAMS,INC. YLWD -Water Rate Study 2012 April 2012 4. Proposed Water Rates and Recommendations In addition to the proposed financial plan, District staff recommends several changes be made to its existing rate structure. The District's current fixed costs greatly outweigh the revenues collected on the monthly service charge. This creates financial volatility when water demand fluctuates due to economic or weather conditions. To enhance revenue stability for covering fixed costs, District staff proposes to collect the revenue increases on the monthly service charge. The water usage charge will also see an increase as a result of pass through, as shown in Appendix B for FY 12/13. To better adhere to industry standards, RFC also recommends that the District establish monthly service charges based on meter capacity ratios from the AWWA M22 Manual Sizin Water Service Lines and Meters(see Appendix Q. Adjusting the meter charges to account for meter capacities recognizes the fact that larger meters can potentially place a greater demand on the water system and are more expensive to install and maintain. The current and proposed rates are shown in Table 3. The proposed rates will be effective July 1st 2012. Table 3:Current and Proposed Water Rates Later Rate Structure Current. Y 12/13 FY 13/14 FY 14/1 Effective Dates 08/01/2010 07/01/2012 07/01/2013 07/01/2014 Monthly Service Charges 5/8 $11.73/mo $7.56/mo $8.80/ mo $10.06/mo % $11.73/mo $7.56/mo $8.80/mo $10.06/mo 1 $11.73/mo $12.60/mo $14.67/mo $16.77/mo 1% $11.73/mo $25.20/mo $29.34/mo $33.54/mo 2 $11.73/mo $40.32/mo $46.94/mo $53.66/mo 3 $11.73/mo $88.20/mo $102.67/mo $117.37/ mo 4 $11.73/mo $158.76/mo $184.80/mo $211.26/mo 6 $11.73/mo $352.80/mo $410.67/mo $469.47/mo Water Usage Charge Uniform Rate $2.52 / hcf $2.57 /hcf TBD based on actual pass- through water supply cost' 4 Pass-through water supply cost will be calculated annually based on projected water supply cost increases imposed on the District RFC Page 6 RAFTELIS FINANCIAL CONSULTANIS,INC. YLWD -Water Rate Study 2012 April 2012 5. Customer Impacts Figure 1 below shows the customer impacts that result from the proposed rates. For the bill comparison,a single family residential (SFR)customer with a 1-inch meter and monthly usage of 25 hundred cubic feet(hce)was used as an average residential customer. From Figure 1,the average customer will see a total bill increase of approximately 2.8 percent. Figure 2 displays the customer impacts at different usage levels for a SFR customer with one 1-inch meter. Sample SFR Monthly Bill 1 inch meter and 25 hcf usage $90 $80 $70 $60 $50 $40 $30 $20 $10 $0 Service Charge Commodity Rates Total Bills ■Current $11.73 $63.00 $74.73 ■Proposed $12.60 $64.25 $76.85 Impacts $0.87 $1.25 $2.12 %Impacts 7.4% 2.0% 2.8% Figure 1:Sample SFR Monthly Water Bill Comparisons s hcf=100 cubic feet=748 gallons RFC Page 7 RAFTELIS FINANCIAL CONSULTANIS,INC. YLWD -Water Rate Study 2012 April 2012 Sample SFR Monthly Bills 1-inch meter at different usage levels $160 $140 $120 $100 $80 $60 $40 $20 $0 10 hd 20 hd 25 hd 40 hd 50 hd ■Current $36.93 $62.13 $74.73 $112.53 $137.73 ■Proposed $38.30 $64.00 $76.85 $115.40 $141.10 Impacts $1.37 $1.87 $2.12 $2.87 $3.37 %Impacts 3.7% 3.0% 2.8% 2.6% 1 24% Figure 2:Sample SFR Monthly Water Bill Comparisons at Different Usage Levels It has been a pleasure working with the District. We would like to thank you for your assistance during the course of the study. If we can be of further assistance please call me at 213-327-4405. Sincerely, Sanjay Gaur Sr. Manager Lr,— Khanh Phan Sr. Consultant RFC Page 8 RAFTEUS FINANCIAL CONSULTANTS,INC. YLWD -Water Rate Study 2012 April 2012 6. Appendices A. Deferred CIP Schedule Capital Improvement Plan(Uninflated) Highland BPS Upgrade $0 $0 $0 $0 $0 $0 $0 $0 Ohio St/Oriente Dr Pipeline Repl $0 $0 $0 $0 $0 $0 $0 $0 2010Waterline Project $1,170,000 $0 $0 $0 $0 $0 $0 $0 Well No.20 $0 $0 $0 $0 $0 $0 $0 $0 YL Blvd BoosterStation $2,590,000 $1,900,000 $0 $0 $0 $0 $0 $0 Elk Mountain Site Imp $0 $0 $0 $0 $0 $0 $0 $0 Non-Pot Water Study for Irrig Use $0 $0 $0 $0 $0 $0 $0 $0 Well No.21 $800,000 $1,000,000 $450,000 $0 $0 $0 $0 $0 Computerized Maint&Mgmt.Syst. $50,000 $0 $0 $0 $0 $0 $0 $0 Fairmont Res.,BPS&Site Imp $500,000 $3,000,000 $2,250,000 $0 $0 $0 $0 $0 2012 Pipeline Project $0 $0 $0 $255,000 $1,800,000 $500,000 $0 $0 Lakeview Grade $0 $0 $0 $0 $0 $0 $0 $0 Lakeview Fencing $0 $0 $0 $50,000 $0 $0 $0 $0 Green Crest Dr.Sewer Lift Stn Upgr $0 $0 $0 $0 $0 $0 $0 $0 Press.Reg.Stations Upgrade $500,000 $0 $0 $0 $0 $0 $0 $0 Disinf.Bstr.Sta.at Hidden Hills Res $0 $0 $0 $200,000 $0 $0 $0 $0 Meter Replacement Program $0 $0 $0 $350,000 $0 $0 $0 $0 GIS-Phase II $55,667 $41,564 $0 $0 $0 $0 $0 $0 GIS-Phase II-Sewer $20,333 $15,436 $0 $0 $0 $0 $0 $0 Well No.22 $0 $0 $0 $250,000 $1,000,000 $1,250,000 $0 $0 Annual Routine Capital R&R* $0 $0 $1,789,000 $1,165,000 $2,865,000 $817,000 $1,317,000 $1,870,000 Total CIP $5,686,000 $5,957,000 $4,489,000 $2,270,000 $5,665,000 $2,567,000 $1,317,000 $1,870,000 RFC Page 9 RAFFEUS FINANCIAL CONSULTANTS,INC. YLWD -Water Rate Study 2012 April 2012 B. Pass-through Water Supply Cost Calculations 'y 12/13 Water Supply Cos@ FY 11/12 rates @ FY 12/13 rates Water Demand (including 5% water loss) OCWD 9,620 AF 10,064 AF MWDOC 10,380 AF 9,936 AF Total 20,000 AF 20,000 AF Water Supply Cost OCWD Unit Cost $254.00/ AF $267.00/AF MWDOC Unit Cost $770.78 / AF $816.14 / AF MWDOC Fixed Cost $792,816 $828,139 OCWD Supply Cost $2,443,480 $2,687,088 MWDOC Supply Cost $8,793,512 $8,937,306 Total Water Supply Cost $11,236,992 $11,624,394 Estimated Pass-through Supply Cost $387,402 Estimated Water Sales 8,276,400 hcf Unit Pass-through Rate $0.05 / hcf RFC Page 10 RAFTELIS FINANCIAL CONSULTANTS,INC. YLWD -Water Rate Study 2012 April 2012 C. Meter Capacity Ratios Source:American Water Works Association (AWWA) M22 Manual Sizing Water Service Lines and Meters Meter Size Maximum Flow Rate AWWA Meter Ratios (gallons per min) L5/8 20 1.00 3/4 30 1.00 1 50 1.67 11/2 100 3.33 2 160 5.33 3 350 11.67 4 630 21.00 6 1,400 46.67 RFC Page 11 RAFTELIS FINANCIAL CONSULTANTS,INC. ITEM NO. 7.7 AGENDA REPORT Meeting Date: April 26, 2012 Total Budget: $23,000 To: Board of Directors Cost Estimate: $13,740 From: Ken Vecchiarelli, General Manager Account No: 1-2010-0580-10 Presented By: Stephen Parker, Finance Manager Dept: Finance Reviewed by Legal: Yes Prepared By: Stephen Parker, Finance Manager Subject: Notice of Proposed Water Rate Increase and Schedule of Public Hearing STAFF RECOMMENDATION: That the Board of Directors authorize staff to mail a Notice of Proposed Water Rate Increase to the District's customers notifying them of proposed changes to their water rate for the upcoming three fiscal years and schedule a Public Hearing on June 21 , 2012 at 6:30 p.m. DISCUSSION: The details of the proposed budget for FY 2012/13 and the increased revenues needed to accomplish the current Capital Improvement Project list were identified in the April 11, 2012 Board Workshop. Staff has proposed a rate increase for the next three fiscal years, along with a proposed change to the monthly meter charge from a uniform charge to a volumetric-based charge. In order to proceed with the recommended changes for the upcoming budget year, a Proposed Rate Increase Notice needs to be mailed to all District customers. Staff has attached the Proposed Water Rate Increase Notice requesting approval to move forward with mailing this notice to all District customers and to schedule a Public Hearing for June 21, 2012 at 6:30 p.m. STRATEGIC PLAN: FR 2-C: Implement an Approach to Ensure Reserves are Responsibly Funded PRIOR RELEVANT BOARD ACTION(S): The Board considered several water rate options at their workshop on April 11, 2012 and gave direction to staff to move forward with a proposed 1.5%, 2.5%, and 2.5%, rate increase over the next three fiscal years, respectively. ATTACHMENTS: Name Description: Type: Rate Increase Notice 2012.0 f Rate Increase Notice Backup Material Approved by the Board of Directors of the Yorba Linda Water District 4/26/2012 MB/RC 5-0 Yorba Linda Water District PROPOSED WATER RATE INCREASE NOTICE IS HEREBY GIVEN that Thursday, June 21St, 2012, at 6:30 p.m. a public hearing will be held at the District Administrative Headquarters, 1717 E. Miraloma Avenue, Placentia, CA 92870 to consider a proposed increase in water rates. Proposed increases will be effective July 1, 2012. EXPLANATION OF RATE INCREASES Water Rate Study 2012. The District proposes an increase The Yorba Linda Water District (District) levies a rate for in the projected revenue of 1.5% in FY 12/13, water service provided to its customers. A customer's total water rate has two components: 1) the Monthly Service 2.5% in FY 13/14 and 2.5% in FY 14/15. The District has Charge and 2) the Water Use Charge. This rate reflects the decided to collect the increased revenue on the Monthly cost to the District for providing water service to customers, Service Charge. Each customer's proportional amount of including the cost of: (1) operations and maintenance; (2) the revenue increase is dependent on the size of the repair, rehabilitation and replacement of the water system; customer's meter. The formula used to determine the and (3) water supply costs— based on charges for imported amount is located in the draft YLWD Water Rate Study water costs from the Metropolitan Water District of Southern 2012. California; groundwater related costs from the Orange County Water District; energy costs for the District's wells In addition to the revenue increase, the District, in order to and pump stations; and annual water system losses. Rate adhere to industry standards, has decided to change from adjustments are being proposed due to the increasing costs uniform to capacity-based monthly service charges, which of operating, maintaining, and replacing the District's water vary with meter sizes based on the corresponding potential system and the increasing costs of purchasing and draw on the system. Larger meters place a greater demand delivering safe and reliable water to the community. on the water system and are more expensive to install and maintain according to the American Water Works In 2007, the District Board of Directors approved a long- Association. The formula used to determine the monthly term Capital Improvement Plan (CIP) with a goal of being service charge for each meter size is located in the draft able to deliver less expensive groundwater to our entire YLWD Water Rate Study 2012. service area. This would provide flexibility to switch between groundwater and the more expensive imported Finally, the projected water supply pass-through costs for water, maximize the use of lower-cost groundwater, and FY 2012/13 will require an additional 2.0% increase in add facilities to be able to deliver either source of water to charges, or 5 cents per unit on the consumption rate. One all areas of the District now and in the future. Proper unit of water is equal to 748 gallons. The pass-through funding of these capital improvement projects through this adjustments for FY 13/14 and 14/15 will be calculated at the rate increase will allow the CIP to be completed. end of FY 12/13 and FY 13/14 respectively. The proposed rate increase includes the adjustments in FY 12/13, FY The District's current fixed costs greatly outweigh the 13/14 and FY 14/15. revenues collected on the Monthly Service Charge. This creates financial volatility when water demand fluctuates EXAMPLE CHARGES OF PROPOSED RATES due to economic or weather conditions. To enhance The average residential water customer has a 1 inch meter revenue stability for covering fixed costs and reduce the and uses approximately 25 units per month. An example of potential for significant rate increases in the future, the the current and proposed water bill for that typical customer District is proposing an increase in the revenue it receives is below. Over 93% of YLWD customers will reflect these or from its customers over the next three years. lower basic service charges. Actual water charges will vary based on the amount of water consumed. The District's projected revenue from its water rates for FY 12/13, FY 13/14 and FY 14/15 is set forth in the draft YLWD Water Use Charge $63.00 $64.25 $65.75 * $66.75 Monthly Service Charge + $11.73 + $12.60 + $14.67 + $16.77 Total Charges $74.73 $76.85 $80.42 $83.52 *Estimated Pass-through Costs,Actual Costs to be Determined in Subsequent Years PROTEST OF PROPOSED RATE INCREASES Written protests must be received by 6:30 p.m. the day of the hearing. If mailed, they must be sent to the District Secretary, 1717 E. Miraloma Avenue, Placentia, CA 92870. Each written protest must identify the affected property (by assessor's parcel number or street address), reference the Proposed Water Rate Increase and include the signature of the property owner or tenant, as applicable. Due to the inability to verify the authenticity of each individual protest, protests received by telephone, electronic mail (e-mail), or via social media sites, including, but not limited to Facebook or Twitter will NOT be accepted. All interested parties are invited to attend the public hearing and present written protests and/or oral comments on the proposed rate increase. Oral comments made at the public hearing will qualify as formal protests of the rate increase when accompanied by a written protest setting forth the required information. If written protests are submitted by a majority of the affected property owners, the proposed increase will not be imposed. If you have any questions regarding the proposed increase or have questions on how to submit a written protest, please contact the District Secretary at 714-701-3021. Proposed Water Rates Effective Dates 8/1/2010 7/1/2012 7/1/2013 7/1/2014 Monthly Service Charges 5/8 $11.73 No $7.56/mo $8.80/mo $10.06/mo 3/4 $11.73 No $7.56/mo $8.80/mo $10.06/mo 1 $11.73/mo $12.60/mo $14.67/mo $16.77/mo 11/2 $11.73/mo $25.20/mo $29.34/mo $33.54/mo 2 $11.73 No $40.32/mo $46.94/mo $53.66/mo 3 $11.73/mo $88.20/mo $102.67/mo $117.37/mo 4 $11.73/mo $158.76/mo $187.80/mo $211.26/mo 6 $11.73 No $352.80/mo $410.67/mo $469.47/mo Water Usage Charge TED based on actual pass- Uniform Rate $2.52/hcf $2.57/hcf through water supply cost Note: Based on the number of meters in the District, the proposed Monthly Service Charges may change slightly. To view the draft YLWD Water Rate Study 2012, please visit the District's website at www.vlwd.com. ITEM NO. 9.1 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Executive-Administrative-Organizational Committee (Hawkins/Melton) • Minutes of meeting held April 16, 2012 at 4:00 p.m. Meeting scheduled May 9, 2012 at 4:00 p.m. ATTACHMENTS: Name: Description: Type: 041612 EAO - Minutes.doc EAO Mtg Minutes 04/16/12 Minutes MINUTES OF THE YORBA LINDA WATER DISTRICT EXEC-ADMIN-ORGANIZATIONAL COMMITTEE MEETING April 16, 2012 A meeting of the Executive-Administrative-Organizational Committee was called to order by Director Hawkins at 4:00 p.m. The meeting was held at the District's Administrative Office at 1717 E Miraloma Ave, Placentia CA 92870. COMMITTEE STAFF Director Phil Hawkins, Chair Ken Vecchiarelli, General Manager Director Gary T. Melton Cindy Botts, Management Analyst OTHER ATTENDEES Art Kidman, Attorney, Kidman Law LLP Heather Stratman, Senior Director, Townsend Public Affairs Mark Schock, Resident 1. PUBLIC COMMENTS Mr. Schock handed out documentation that was intended to clarify his public records requests and explained why he was requesting information from the District and what layout he felt would be most helpful to the District in analyzing system capacity changes on Red Flag Warning days. 2. ACTION CALENDAR 2.1. Board Communications Reimbursement Policy Ms. Botts presented the updated policy, which included the Committee's request to include all devices used as an alternative to printed paper, including a printer and ink for the Directors to print their own agenda, rather than focusing on a tablet PC policy. The Committee approved of the changes and clarified that they would like the policy to reflect the fact the District will stop printing all agendas for Board members as of July 1, 2012. 3. DISCUSSION ITEMS 3.1. Legislative Affairs Update (Verbal Report) Ms. Stratman gave an update on items of interest to the Yorba Linda Water District Board, including representation on the Orange County Sanitation District Board and a matter of dispute regarding the OCTA Lakeview Avenue Overcrossing project. A future meeting will also be set up with OCTA, which Ms. Stratman will report on in at the next meeting. The Committee asked questions and discussed next-step processes. 1 3.2. General Counsel's Monthly Summary Report Mr. Kidman presented the Monthly Summary Report and answered questions regarding the status of legal services on various matters of interest and need. 3.3. Development of Public Records Act Request Policy (Verbal Report) Mr. Kidman discussed the Public Records Act Request Policy that he was tasked to create by the Board and the General Manager. Mr. Kidman explained that the policy will focus on the preparation and compilation of requested reports. Director Hawkins requested Mr. Kidman present a draft of this policy at the next Committee meeting. 3.4. Future Use of Community Service Signage Mr. Vecchiarelli presented additional information regarding the City of Yorba Linda's request that the District take down the community service signs. The Committee discussed this issue and asked that the Public Affairs, Communication and Technology Committee review this item and work with the City on a joint-use of the signs, as an alternative to taking the signs down. 3.5. Customer Service Feedback Report Mr. Vecchiarelli presented the current version of the Customer Service Feedback Report. The Committee asked questions and requested that the data be presented in a simplified version, with additional charts for visual aid. 3.6. Alternative Work Schedule Comparison Data Ms. Botts presented the current version of the Alternative Work Schedule Comparison Data. The Committee commented with the limited sampling data, the information is not very useful. The Committee asked questions and requested that the data be presented in a different, more useful format to include charts or graphs for visual aid and clarity. 3.7. Scheduling of Board of Directors Annual Tour of District Facilities (Verbal) The Committee discussed possible dates for the tour and suggested a preference of Tuesday, May 29, 2012 or Thursday, May 31, 2012. 3.8. Status of Strategic Plan Initiatives Ms. Botts presented the March 2012 Strategic Plan Updates, which were revised since the last meeting. 3.9. Future Agenda Items and Staff Tasks The Committee requested that the Public Records Request Policy and simplified versions of the Customer Service Feedback and Alternative Work Schedule Comparison Reports be brought back to the next meeting. 2 Mr. Kidman requested to add the following Closed Session to the agenda as there was a need to take immediate action and the need for action came to his attention subsequent to the agenda being posted. 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) 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) Directors Hawkins and Melton agreed to add the item to the agenda. The Committee adjourned to Closed Session to discuss the above matter at 5:37 p.m. Directors Hawkins and Melton were present. Also present were Messrs. Vecchiarelli and Kidman. 3 The Committee reconvened in Open Session at 6:02 p.m. President Hawkins announced that no action was taken during Closed Session that was required to be reported under the Brown Act. 4. ADJOURNMENT 4.1. The Committee adjourned at 6:03 p.m. The next meeting of the Executive-Administrative-Organizational Committee will be held May 9, 2012 at 4:00 p.m. 4 ITEM NO. 9.3 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Personnel-Risk Management Committee (Beverage/Collett) Minutes of meeting held April 10, 2012 at 4:00 p.m. • Meeting scheduled May 8, 2012 at 4:00 p.m. ATTACHMENTS: Name: Description: Type: 041012 PRM - Minutes.doc PRM Mtg Minutes 04/10/12 Minutes MINUTES OF THE YORBA LINDA WATER DISTRICT PERSONNEL-RISK MANAGEMENT COMMITTEE MEETING April 10, 2012 A meeting of the Personnel-Risk Management Committee was called to order by Director Beverage at 4:08 p.m. The meeting was held at the District's Administrative Office at 1717 E Miraloma Ave, Placentia CA 92870. COMMITTEE STAFF Director Michael J. Beverage, Chair Ken Vecchiarelli, General Manager Director Ric Collett Gina Knight, Human Resources Manager 1. PUBLIC COMMENTS None. 2. ACTION CALENDAR 2.1. Short-Term Disability Insurance Staff presented the Committee with a proposal to provide short-term disability insurance to District employees. The short-term disability insurance would have a 29-day waiting period and benefit duration of 9 weeks. The Committee requested staff bring back the proposal with a thorough explanation of the benefit coverage for the next Personnel-Risk Management Committee scheduled for May 8, 2012. 3. DISCUSSION ITEMS 3.1. ACWA/JPIA Reimbursement for Paving Repairs Staff informed the Committee that the District received $45,229.82 from ACWA-JPIA as reimbursement for asphalt street repair expenses associated with three separate water main line ruptures that occurred in December 2011. 3.2. Status of Recruitments and Budgeted Positions Staff reported that the Public Affairs Intern commenced employment with the District on March 19, 2012. Staff commenced the recruitment for the recently vacant Customer Service Supervisor position — this recruitment opened on April 2, 2012 and will close on April 16, 2012. In addition, staff informed the Committee that interviews for the vacant Maintenance Worker I position were scheduled for April 17, 2012. 3.3. Human Resources Department Activity Staff informed the Committee that two District employees participated in Forklift Training on March 28 and 29 and that both individuals completed the program. Both employees can train and certify our employees on operating a forklift. On March 19, 2012, 27 District employees participated 1 in a four-hour Safety Leadership Orientation presented by Cathi Marx of the Aspen Risk Management Group. The purpose of the Safety leadership training is to save lives, prevent injuries and illness as well as keeping the District from financial harm. 3.4. Status of Strategic Plan Initiatives Staff presented a revised Job Description Questionnaire and a draft Computer Skills Survey that will be distributed to Operations staff to complete. The data collected will be used to revise the job descriptions to identify the skills needed to perform the essential functions for all Operations' job classifications. 3.5. Future Agenda Items and Staff Tasks None. 4. ADJOURNMENT 4.1. The Committee adjourned at 5:35 p.m. The next meeting of the Personnel-Risk Management Committee will be held May 8, 2012 at 4:00 p.m. 2 ITEM NO. 9.4 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Planning-Engineering-Operations Committee (Collett/Kiley) Minutes of meeting held April 9, 2012 at 4:00 p.m. Meeting scheduled May 3, 2012 at 4:00 p.m. ATTACHMENTS: Name: Description: Type: 040912 - PEO Minutes.docx PEO Mtg Minutes 04/09/12 Minutes MINUTES OF THE YORBA LINDA WATER DISTRICT PLANNING-ENGINEERING-OPERATIONS COMMITTEE MEETING April 9, 2012 A meeting of the Planning-Engineering-Operations Committee was called to order by Director Collett at 4:00 p.m. The meeting was held at the District's Administrative Office at 1717 E Miraloma Ave, Placentia CA 92870. COMMITTEE STAFF Director Ric Collett, Chair Steve Conklin, Engineering Manager Director Robert R. Kiley Lee Cory, Operations Manager 1. PUBLIC COMMENTS None. 2. ACTION CALENDAR 2.1. Change Order No. 2 for Well No. 20 Wellhead Equipping Project Mr. Conklin reported that work is proceeding on construction of the subject project, and that Change Order No. 2 is recommended for approval for additional work. Included in the request is a no-cost 35 calendar day extension for delay in delivery of the (electrical) motor control center, an added cost of $8,253 and no added days for removal of old asphalt pavement under the existing surface, and an added cost of $2,241 and no added days for 8,035 sq ft of gravel and underlayment on site. Following discussion, the Committee supported the staff recommendation for approval of a combined $10,494 and 35 calendar days. 2.2. Change Order No. 3 for Fairmont Reservoir Valve Replacement Project Mr. Conklin reported that work is nearing completion on the subject project. He noted that Change Order No. 3 is requested to weld and extend the valve keys for the new butterfly valves at a cost of $1,024, and an 11-calendar-day time extension for manufacture and delivery of replacement sleeve couplings. Following discussion, the Committee supported the staff recommendation for approval for $1 ,024 and 11 calendar days. 2.3. Change Order No. 3 for Highland Pump Station Replacement Project Mr. Conklin reported that work is nearing completion on the subject project. He noted that Change Order No. 3 is requested that includes: 1) a credit back to the District of $28,112.68 for deletion of an automatic power transfer switch; 2) added electrical work for District-requested outlets, conduit and wiring for AQMD-compliance monitoring for an added $11,828 and 18 work days; 3) installation of a District-requested, District- supplied 30-inch valve a Highland Reservoir, for an added $24,569.79 and 10 work days; and 4) providing and installing new coolant lines and 1 appurtenances from the existing power generator to the new booster pump station, for an added $15,299.37 and 10 work days. Following discussion, the Committee supported the staff recommendation for approval for a combined $23,584.51 and 38 work days. 3. DISCUSSION ITEMS 3.1. Operations Monthly Maintenance Report Mr. Cory presented the new Monthly Production Summary Report and reviewed the data and work performed for March 2012. The Committee liked the information and asked for clarification on the max day temperature for the month (listed at 94 degrees F), and asked that future reports provide more detail on the call-outs for After Hours Responses. Mr. Cory followed with an update on Preventive and Reactive Maintenance for March. He noted we are on track with PM, and that we may have to increase our servicing of valves in our PRV Stations from once to twice per year, due to potential clogging of the pilot valves in the PRVs. He indicated that we are catching up in our sewer televising effort. 3.2. Monthly Groundwater Production and Purchased Import Water Report Mr. Conklin reported that for March, water use was within 0.5% of our budgeted projection, of which 66% was groundwater and 34% was import water. Our year-to-date groundwater use is almost 45%, which we plan to increase to our goal of 48.1% by June 30. 3.3. Groundwater Producers Meeting Report Mr. Conklin reported on items discussed at the March 14 Groundwater Producers meeting at OCWD. He noted that OCWD is recommending an RA of $267/AF and a BPP of 68% for FY 12/13. 3.4. Status Report on Capital Projects in Progress Mr. Conklin reported on capital projects currently in planning, design and construction. He noted that on April 4, the OCWD Board authorized staff to begin negotiations with YLWD for a water well site located by Conrock Basin, south of La Palma Avenue. 3.5. Status of Strategic Plan Initiatives Mr. Conklin reported on the status of the above that relate to engineering and operations. 3.6. Future Agenda Items and Staff Tasks None. 4. ADJOURNMENT 4.1. The meeting adjourned at 5:15 p.m. The next meeting of the Planning- Engineering-Operations Committee will be held May 3, 2012 at 4:00 p.m. 2 ITEM NO. 9.5 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Public Affairs-Communications-Technology Committee (Melton/Beverage) Minutes of meeting held April 9, 2012 at 4:00 p.m. Meeting scheduled May 7, 2012 at 4:00 p.m. ATTACHMENTS: Name: Description: Type: 040912 PACT - Minutes.docx PACT Mtg Minutes 04/09/12 Minutes MINUTES OF THE YORBA LINDA WATER DISTRICT PUBLIC AFFAIRS-COMMUNICATIONS-TECHNOLOGY COMMITTEE MEETING April 9, 2012 A meeting of the Public Affairs-Communications-Technology Committee was called to order by Director Melton at 4:00 p.m. The meeting was held at the District's Administrative Office at 1717 E Miraloma Ave, Placentia CA 92870. COMMITTEE STAFF Director Gary T. Melton, Chair Art Vega, Interim IT Manager Director Michael J. Beverage Cindy Botts, Management Analyst Cody Peterson, Public Affairs Intern 1. PUBLIC COMMENTS None. 2. DISCUSSION ITEMS 2.1. Second Draft of IT Department Budget The Committee reviewed the new IT Department Budget and supported it. The Committee was also informed that their request to move all budgeted funds for computer program training for the various departments to the IT Department's Budget was completed. 2.2. Sewer Facilities GIS Conversion Status (Verbal Report) Mr. Vega informed the Committee that the new project began with a kick off meeting on March 27, and will serve to convert the sewer system transferred from the City into the District's existing GIS system. The project is set to take 4'/2 months to complete and is necessary to integrate the acquired sewer assets into other District information systems, including the Computerized Maintenance Management System (CMMS), Asset Management Plan (AMP) and to explore impacts from future annexations and developments. 2.3. Computerized Maintenance and Management System Project Status The Committee reviewed the report and asked if the changes made to several brackets had been reflected in the budget already. There were also questions about the new radio signal boosters which were installed in the service trucks which Mr. Vega answered for the Committee. 2.4. OCWD Water Education Festival Follow-Up (Verbal Report) The event went well with 12 elementary school classes visiting the booth throughout the two day period and was viewed by all those involved as a success. Ms. Botts and Mr. Peterson attended the event and took numerous photos which have been updated to the intranet and may be used in the Summer Newsletter. 1 2.5. Summer Newsletter Draft Content Ms. Botts presented topics for review and approval for the Summer Newsletter, which is expected to go out prior to June 21St, and noted the Committee's suggestions. Some suggestions included: the state of California's current water supply; possible boat inspections for invasive muscles at local lakes; and the MET and OCWD rate increases affecting the District. The Committee suggested that the Newsletter attempt to explain to customers how water wholesaler rate increases are passed through and how they affect District customers essentially without their consent. 2.6. Future Use of Water Conservation Community Signage The Committee was informed of an email from the Yorba Linda City staff requesting the removal of all temporary signs from City property because they are in violation of the City's sign ordinance. It was noted that the email specified that these signs were no longer serving to alert the community of the water shortage and thus could no longer be an exception to the rules. In response, the Committee suggested that the signs not be removed, but changed to be more informative in nature. Ultimately, it was decided that the Discussion Item be moved to the EAO Committee for consideration and further discussion. 2.7. Public Outreach Activities The Committee proposed establishing a limitation of 2 events per year, per school due to the large number of water bottles being requested District wide. There were questions raised about how the water was utilized, how much is stored in the warehouse, and what was the maximum amount dispensed per annum. After Ms. Botts had addressed these questions, there was a discussion over whether the District should try and diversify its outreach efforts further and if more water bottles needed to be purchased as a result. Staff will present a more comprehensive bottled water procedure for the Committee's review at a later meeting. 2.8. Status of Strategic Plan Initiatives Mr. Vega addressed Committee questions regarding the backflow data collection and informed them that the new system was drastically more efficient. 2.9. Future Agenda Items and Staff Tasks There were no additional future agenda items. 3. ADJOURNMENT 3.1. The meeting was adjourned at 4:45 p.m. The next meeting of the Public Affairs-Communications-Technology Committee will be held May 7, 2012 at 4:00 p.m. 2 ITEM NO. 9.6 AGENDA REPORT Meeting Date: April 26, 2012 Subject: YLWD-MWDOC-OCWD Joint Agency Committee (Hawkins/Beverage) Minutes of meeting held March 27, 2012 at 4:00 p.m. • Meeting scheduled May 22, 2012 at 4:00 p.m. ATTACHMENTS: Name: Description: Type: 032712 MWDOC OCWD - Minutes.docx MWDOC/OCWD Mtg Minutes 03/27/12 Minutes MINUTES OF THE YORBA LINDA WATER DISTRICT JOINT COMMITTEE MEETING WITH MWDOC AND OCWD March 27, 2012 A meeting of the YLWD/MWDOC/OCWD Joint Agency Committee was called to order at 4:00 p.m. The meeting was held at the District's Administrative Office at 1717 East Miraloma Avenue, Placentia CA 92870. YLWD COMMITTEE MEMBERS YLWD STAFF Director Phil Hawkins Ken Vecchiarelli, General Manager Director Michael J. Beverage MWDOC COMMITTEE MEMBERS MWDOC STAFF Director Brett Barbre Kevin Hunt, General Manager OCWD COMMITTEE MEMBERS OCWD STAFF Director Roger Yoh John Kennedy, Asst. General Manager 1. PUBLIC COMMENTS None. 2. DISCUSSION ITEMS 2.1. San Diego Lawsuit and Public Outreach Efforts Mr. Hunt and Director Barbre commented on the San Diego County Water Authority's lawsuit against MWD. This is the fourth attempt at their legal challenge to Met's rate structure. If successful in the litigation, which seeks to shift $155M over 20 years, Orange County water agencies could see increases to their import water costs in excess of $1M annually. It was noted that MWD's legal and public relations budget is approximately $10M in the next fiscal year for this lawsuit. 2.2. MWDOC and MWD Rate Projections Director Barbre shared that the MWD rate increase would most likely be approved at 5% and 5% over the next two years, as opposed to the previous proposal of 7.5% yearly. The treatment charge component or the rate will increase higher but the net effect is approximately 5%. The Met Board will vote on this matter on April 10th. Mr. Hunt shared that the MWDOC Board will vote on their rates at their May 9th Meeting. MWDOC is shifting its rate structure to 100% fixed over five years. In Fiscal year 2012/13, the proportion will be 85% fixed and 15% on the commodity charge. 2.3. MWD Water Supply Status and Replenishment Water Availability Director Barbre reported the State Water project Allocation is currently at 50% and the Colorado River Watershed is having a dry year but storage 1 levels are very good. He also commented that the water replenishment program is not moving forward. 2.4. OCWD Replenishment Assessment and Basin Production Percentage Projections Mr. Kennedy reported that staff is proposing an increase to the Replenishment Assessment (RA) from $254 /AF to $267/AF with an increase in the basin pumping percentage (BPP) from 65% to 68%. He reported that the increase in the BPP more than offsets the financial impact to the basin pumpers of the increased RA. 2.5. OCWD Annexation Status Report Mr. Kennedy confirmed that basin modeling efforts are underway supporting the CEQA documentation that should be out in 5 to 6 months. He noted that there are certain agencies that have gone on the record opposing the annexation policy including the City of Fountain Valley and the Golden State Water Company. 2.6. OCWD/YLWD Well 21 Site Lease Agreement Director Yoh confirmed that the OCWD Board will consider a vote to direct OCWD staff to negotiate a well site lease with YLWD. 2.7. Future Agenda Items and Staff Tasks None. 3. ADJOURNMENT 3.1. The Committee adjourned at 4:37 p.m. The next meeting of the YLWD- MWDOC-OCWD Joint Agency Committee will be held May 22, 2012 at 4:00 p.m. 2 ITEM NO. 11.1 AGENDA REPORT Meeting Date: April 26, 2012 Subject: Meetings from April 27, 2012 - May 31 , 2012 ATTACHMENTS: Name: Description: Type: BOD - Activities Calendar.pdf BOD Activity Calendar Backup Material Board of Directors Activity Calendar Event Date Time Attendance by: April 2012 District Offices Closed Fri, Apr 27 7:OOAM May 2012 Yorba Linda City Council Tue, May 1 6:30PM Hawkins MWDOC/MWD Workshop Wed, May 2 8:30AM Melton/Staff OCWD Board Wed, May 2 5:30PM Kiley/Staff Planning-Engineering-Operations Committee Meeting Thu, May 3 4:OOPM Collett/Kiley District Offices Closed Fri, May 4 7:OOAM WACO Fri, May 4 7:30AM Hawkins Board of Directors Special Meeting Mon, May 7 4:OOPM Personnel-Risk Management Committee Meeting Tue, May 8 4:OOPM Beverage/Collett LAFCO Wed, May 9 9:OOAM Beverage Exec-Admin-Organizational Committee Meeting Wed, May 9 4:OOPM Hawkins/Melton Yorba Linda Planning Commission Wed, May 9 7:OOPM Kiley Board of Directors Regular Meeting Thu, May 10 8:30AM District Offices Closed Fri, May 11 7:OOAM Pub Affairs-Communications-Tech Committee Meeting Mon, May 14 4:OOPM Melton/Beverage Yorba Linda City Council Tue, May 15 6:30PM Melton MWDOC Board Wed, May 16 8:30AM Melton/Staff OCWD Board Wed, May 16 5:30PM Kiley/Staff District Offices Closed Fri, May 18 7:OOAM OC Water Summit Fri, May 18 7:30AM Kiley Joint Committee Meeting with MWDOC and OCWD Tue, May 22 4:OOPM Hawkins/Beverage Finance-Accounting Committee Meeting Wed, May 23 4:OOPM Kiley/Hawkins Yorba Linda Planning Commission Wed, May 23 7:OOPM Collett Board of Directors Regular Meeting Thu, May 24 8:30AM District Offices Closed Fri, May 25 7:OOAM District Offices Closed Mon, May 28 7:OOAM Citizens Advisory Committee Meeting Tue, May 29 8:30AM Beverage Board of Directors Workshop Meeting Thu, May 31 8:OOAM ISDOC Thu, May 31 11:30AM Collett 4/23/2012 3:26:39 PM