HomeMy WebLinkAbout2016-12-22 - Board of Directors Meeting Minutes 2016-239
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Thursday, December 22, 2016, 8:30 a.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The December 22, 2016 Regular Meeting of the Yorba Linda Water District
Board of Directors was called to order by President Miller at 8:31 a.m. The
meeting was held in the Board Room at the District's Administration Building
located at 1717 East Miraloma Avenue in Placentia, California 92870.
2. PLEDGE OF ALLEGIANCE
President Miller led the pledge.
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
J. Wayne Miller, President Marc Marcantonio, General Manager
Andrew J. Hall, Director Steve Conklin, Engineering Manager
Phil Hawkins, Director John DeCriscio, Operations Manager
Brooke Jones, Director Gina Knight, HR/Risk and Safety Manager
Delia Lugo, Finance Manager
DIRECTORS ABSENT Damon Micalizzi, Public Information Manager
Al Nederhood, Vice President Art Vega, Information Technology Manager
Annie Alexander, Executive Secretary
Cindy Botts, Water Consv Sup/Mgmt Analyst
Javier Martinez, Water Production Supt
Laurie McAllister, Records Mgmt Admin
Kelly McCann, Senior Accountant
ALSO PRESENT
Andrew Gagen, Partner, Kidman Law LLP
Brett Barbre, Director, MWDSC and MWDOC
Gene Hernandez, Mayor Pro Tem, City of Yorba Linda
4. ADDITIONS/DELETIONS TO THE AGENDA
4.1. Third Request for Letter of Support for City of Anaheim's Prop 1
Stormwater Improvement Grant Application — California Urban Rivers
Grant Program
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Mr. Marcantonio requested to add this matter to the agenda as Item No.
10.3. as it came to staff's attention subsequent to posting the agenda and
required immediate action.
Director Hawkins made a motion, seconded by Director Jones, to add this
matter to the agenda as Item No. 10.3. as it came to staff's attention
subsequent to posting the agenda and required immediate action. Motion
carried 4-0-0-1 with Director Nederhood being absent.
Mr. Marcantonio noted that additional backup material had been provided
to the Board and members of the public for Item Nos. 9.4. and 11.1.
President Miller wished everyone present a happy holiday season on
behalf of the Board.
5. INTRODUCTIONS AND PRESENTATIONS
5.1. Elected Official Liaison Reports
Director Barbre wished everyone a happy holiday season and distributed
a list of water providers in Orange County which included each agency's
sources for import water and groundwater, and number of connections.
He then reported on the status of recent legislation and statewide water
supply conditions and responded to questions from the Board regarding
MWDOC's water efficiency programs.
Mayor Pro Tem Hernandez commented on the decreased water
consumption in Yorba Linda despite population growth over the last ten
years due to technological advances. He noted that the City's liaisons to
the District would be determined at the next Council meeting.
6. PUBLIC COMMENTS
Mr. Ben Parker, resident, commented on the results of the election, and the
importance of transparency and efficiency in relation to District operations.
Dr. Jeff Decker, resident, asked for clarification regarding the timing of public
comments related to Item No. 8.1.
7. CLOSED SESSION
The meeting was adjourned to Closed Session at 8:46 a.m. All Directors in
attendance were present. Also present was Mr. Gagen and Mrs. Knight.
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7.1. Public Employee Performance Evaluation
Pursuant to Section 54957 of the California Government Code
Title: General Manager
7.2. Conference with Labor Negotiators
Pursuant to Section 54957.6 of the California Government Code
Agency Designated Representative: Andrew Gagen, General Counsel
Unrepresented Employee: General Manager
The Board reconvened in Open Session at 9:15 a.m.
8. ACTION CALENDAR
8.1. Proposed Amendments to the General Manager's Employment Agreement
Mr. Gagen stated that the General Manager (GM) had recently received a
salary increase and that the discussion during Closed Session was strictly
related to the GM's benefits. The Board discussed extending the GM's
employment agreement for 3 years and restructuring his severance pay to
6 months the first year, 5 months the second year, and 4 months the third
year of the contract. Furthermore, the Board discussed providing the GM
with an additional 40 hours of compensatory time for the first year of the
contract. Mr. Gagen indicated that Mr. Marcantonio was willing to accept
the proposed terms.
President Miller opened the floor for public comment.
Dr. Jeff Decker, resident, commented on his personal work experience
and the new Board's relationship with the GM. He also spoke against
extending the GM's employment agreement at this time.
Mr. Ben Parker, resident, commented on the proposed amendments to the
GM's employment agreement and establishing goals and objectives for
which to evaluate his performance.
Mrs. Cristy Parker, resident, suggested that a provision in the GM's
proposed employment agreement requiring reimbursement of severance
pay upon conviction of a work related crime be revised to include certain
forms of misconduct.
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Mr. Jim Wohlt, resident, commented on his personal work experience, the
agenda report for the proposed amendment to the GM's employment
agreement, and costs related to retirement. He also remarked on
situations at the City of Vernon and City of Bell resulting in the indictment
of previous managers and his estimations of the GM's future retirement
benefit.
President Miller provided an overview of the negotiation process and
financial data considered by the Board in relation to the proposed
amendments to the GM's employment agreement. He noted that the cost
for 3 additional months of severance pay was equal to or less than the
cost of recruitment for this position. He also commented on the importance
of maintaining the stability of District operations.
Director Hall commented on events over the last few years and the need
for stability during the new Board's transition. He also remarked on the
number of issues occurring at the state level and expressed his concern
should the GM's position become vacant. He then commented on the
future evaluation of the GM's and District's overall performance.
Director Hawkins commented on the terms in the original proposed
amendment to the GM's employment agreement and noted that Vice
President Nederhood had participated in the negotiation process via
teleconference at the previous meeting. He also stated that he was
looking forward to continue working with Mr. Marcantonio.
Director Jones stated that the provision in the GM's employment
agreement mentioned by Mrs. Parker might need to be reviewed. He also
commented on the appreciative sentiments expressed by Mr.
Marcantonio's direct reports and the previous Board as well as the
importance of maintaining the District's operational stability.
President Miller commented on the positive feedback he had received
from Mr. Marcantonio's direct reports and colleagues in the Orange
County area regarding his performance.
Mrs. Knight stated that the proposed amendment to the GM's employment
agreement had been drafted by the District's labor counsel, Liebert
Cassidy Whitmore. She provided an overview of the purpose of
severance pay for high-level executive positions and caps instituted by
CalPERS on contribution and retirement amounts for PEPRA employees.
She also commented on the process required for increasing an
employee's salary and responded to questions from the Board regarding
the retirement formula for PEPRA employees and the estimated amount of
Mr. Marcantonio's annual pension after 6 years of employment.
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Director Hawkins made a motion, seconded by Director Hall, to accept the
proposed amendments to the General Manager's employment agreement
as negotiated by Mr. Gagen with Mr. Marcantonio, namely, the provision
of an additional 40 hours of compensatory time for the first year of the
contract, extending the term of the contract for 3 years, and restructuring
the severance pay to 6 months for the first year, 5 months for the second
year, and 4 months for the third year of the contract. Motion carried
4-0-0-1 with Director Nederhood being absent.
9. CONSENT CALENDAR
Mr. Ben Parker, resident, suggested that the Board form a Finance Committee in
order to review the District's expenditures. He also commented on the District's
budget to actual statements, cash on hand, and reserves.
Mrs. Susan Decker, resident, made suggestions related to the District's bid
announcement process.
Dr. Jeff Decker, resident, commented on the District's financial statements and
the importance of transparency.
The Board briefly discussed handling items on the Consent Calendar.
Staff then responded to questions from the Board regarding multiple items on the
Consent Calendar.
Director Hawkins made a motion, seconded by Director Jones, to approve the
Consent Calendar. Motion carried 4-0-0-1 with Director Nederhood being
absent.
9.1. Payments of Bills, Refunds, and Wire Transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of$1,038,649.11.
9.2. Budget to Actual Statements for the Month Ending November 30, 2016
Recommendation: That the Board of Directors receive and file the Budget
to Actual Statements for the Month Ending November 30, 2016.
9.3. Cash and Investment Report for Period Ending November 30, 2016
Recommendation: That the Board of Directors receive and file the Cash
and Investment Reports for the Month Ending November 30, 2016.
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9.4. Hydrogeologic and CEQA Services for Well 22 Drilling and Construction
Support
Recommendation: That the Board of Directors authorize execution of a
Professional Services Agreement with CDM in the amount of$219,135 to
provide Hydrogeologic and CEQA Services for Well 22 Drilling and
Construction Support.
9.5. Request to File the Notice of Completion for the 2016 Sewer Main CIPP
Rehabilitation Project
Recommendation: That the Board of Directors authorize staff to file the
Notice of Completion for construction of the 2016 Sewer Main CIPP
Rehabilitation Project, Job No. J2015-10S.
9.6. District Landscape Contract
Recommendation: That the Board of Directors authorize the General
Manager to execute a 3-year maintenance contract with Brightview
Landscape, Inc. for a total estimated cost of $63,900 (excluding potential
costs related to equipment repairs, landscape replacement, and annual
OC Consumer Price Index multiplier adjustments).
9.7. Uniform Contract Award
Recommendation: That the Board of Directors authorize the General
Manager to execute a 3-year supply contract with Aramark Uniform
Service for a total estimated cost of$30,370.08 (excluding potential costs
related to uniform sizing and replacement and annual OC Consumer Price
Index multiplier adjustments).
9.8. Claim for Damages Filed by Kari and Jason Buck
Recommendation: That the Board of Directors reject and deny the claim
filed by Kari and Jason Buck.
10. ACTION CALENDAR CONTINUED
10.1. Committee, Agency and Intergovernmental Meeting Assignments
Mr. Marcantonio explained that after receiving feedback from each of the
Directors, President Miller had submitted these assignments for the
Board's consideration.
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President Miller requested to revise the assignment for the
YLWD/MWDOC/OCWD Interagency Committee to list himself and Vice
President Nederhood.
Director Hawkins suggested that all Directors be preauthorized to attend
the WACO and ISDOC meetings. The Board agreed.
Director Hawkins made a motion, seconded by Director Jones, to approve
the committee, agency and intergovernmental meeting assignments as
revised. Motion carried 4-0-0-1 with Director Nederhood being absent.
President Miller indicated that Director assigned attendance at future
Citizens Advisory Committee meetings would be considered following
discussion of Item No. 11 .2.
10.2. Well 15 Repairs and Modifications
Mr. DeCriscio explained the issues with Well 15 requiring repair and
modification. He then provided a general history of the well and along with
other staff, responded to questions from the Board.
Director Hawkins made a motion, seconded by Director Jones, to
authorize the General Manager to approve a purchase order in the
amount of$85,506 for repairs and modifications needed for Well 15 to be
conducted by Best Drilling and Pump, Inc. Motion carried 4-0-0-1 with
Director Nederhood being absent.
10.3. Third Request for Letter of Support for City of Anaheim's Prop 1
Stormwater Improvement Grant Application — California Urban Rivers
Grant Program
Mr. Conklin explained that the City of Anaheim had requested a letter of
support from the District for the City's Stormwater Improvement Grant
Application to the California Urban Rivers Grant Program. The previous
Board approved similar letters for separate grants addressed to the
Natural Resources Agency and State Water Resources Control Board.
Director Hawkins made a motion, seconded by Director Hall, to direct the
General Manager to execute the letter as presented and forward it to the
City of Anaheim. Motion carried 4-0-0-1 with Director Nederhood being
absent.
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11. DISCUSSION ITEMS
11.1. Rescheduling Time of Regular Board Meetings
Mr. Marcantonio explained that this item had been placed on the agenda
to provide the Board with an opportunity to discuss the regular meeting
times.
Mrs. Knight provided an overview of estimated costs associated with
changing the time of the regular meetings to later in the day.
The Board then discussed moving the regular meeting times to the late
afternoon or early evening and mirroring the City Council's schedule with
Closed Session beginning at 5:30 p.m. and regular business at 6:30 p.m.
President Miller suggested that the Board discuss the format of regular
meetings in the near future.
Mr. Ben Parker, resident, expressed his opinion regarding evening
meetings.
Staff was instructed to prepare an action item for the Board's
consideration to reschedule the time of regular meetings so that Closed
Session, if necessary, would begin at 5:30 p.m. and regular business at
6:30 p.m.
11.2. Overview of Citizens Advisory Committee
Mr. Micalizzi provided an overview of the Citizens Advisory Committee's
(CAC) purpose and history and responded to questions from the Board.
The Board then discussed the possibility of disbanding the current
committee, establishing a new Ad Hoc CAC with a specific purpose and
fixed duration, and the impact of Director attendance at committee
meetings.
Dr. Jeff Decker, resident, commented on the Governor's conservation
mandate, the previous rate increase, the bounce back in consumption,
and the District's process for handling claims.
Mr. Ben Parker, resident, commented on the purpose of a newly formed
CAC and the provision of information to its members.
Following further discussion, staff was instructed to prepare an action item
for the Board's consideration to reorganize the CAC.
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12. REPORTS, INFORMATION ITEMS, AND COMMENTS
12.1. Directors' Reports
The Board wished everyone a Merry Christmas and Happy New Year.
12.2. General Manager's Report
Mr. Marcantonio asked each of the managers (or their designee) to report
on activities within their respective departments. He also wished everyone
a Merry Christmas and Happy New Year.
12.3. General Counsel's Report
Mr. Gagen provided instruction to the Board regarding the conduct of
District business via e-mail wished everyone Happy Holidays.
12.4. Future Agenda Items and Staff Tasks
None.
13. COMMITTEE REPORTS
13.1. Interagency Committee with MWDOC and OCWD
■ Next meeting is scheduled January 24, 2017 at 4:00 p.m.
13.2. Joint Agency Committee with City of Yorba Linda
■ Next meeting is yet to be scheduled.
13.3. Interagency Committee with City of Placentia and Golden State Water Company
■ Next meeting is yet to be scheduled.
13.4. Citizens Advisory Committee
■ Next meeting is scheduled January 23, 2017 at 8:30 a.m.
14. INTERGOVERNMENTAL MEETINGS
Director Hawkins reported on his attendance at the following meetings.
14.1 WACO — December 9, 2016 (Hawkins)
14.2 YL Planning Commission — December 14, 2016 (Hawkins)
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15. BOARD OF DIRECTORS ACTIVITY CALENDAR
15.1. Meetings from December 23, 2016 — January 31 , 2017
The Board reviewed the activity calendar and made no changes.
16. CONFERENCES, SEMINARS, AND SPECIAL EVENTS
16.1 MWDOC Elected Officials' Forum — January 5, 2017
Director Hawkins made a motion, seconded by Director Hall, to approve
Director attendance at this event if desired. Motion carried 4-0-0-1 with
Director Nederhood being absent.
17. CLOSED SESSION
The meeting was adjourned to Closed Session at 11:23 a.m. All Directors in
attendance were present. Also present were Messrs. Gagen and Marcantonio.
17.1. Conference with Legal Counsel — Existing Litigation
Pursuant to Paragraph (1) of Subdivision (d) of Section 54956.9 of the
California Government Code
Name of Case: Julie Lonsdale vs. Yorba Linda Water District (OC
Superior Court — Case No. 00808246)
17.2. Conference with Legal Counsel — Existing Litigation
Pursuant to Paragraph (1) of Subdivision (d) of Section 54956.9 of the
California Government Code
Name of Case: Irvine Ranch Water District vs. Orange County Water
District (OC Superior Court — Case No. 00858584)
The Board reconvened in Open Session at 11:40 p.m. No action was taken
during Closed Session that was required to be reported under the Brown Act.
18. ADJOURNMENT
18.1. The meeting was adjourned at 11:41 p.m. A Special Board of Directors
meeting has been scheduled Monday, January 9, 2017 at 4:00 p.m. The
next Regular Board of Directors Meeting will be held Thursday, January
12, 2017 at 8:30 a.m.
Annie Alexander
Assistant Board Secretary
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