HomeMy WebLinkAbout1989-07-13 - Board of Directors Meeting MinutesPage 2366
July 13, 1989
L:
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
July 13, 1989
The regular meeting of the Board of Directors of the Yorba Linda Water District was called
to order by Sterling Fox, President, at 8:30 a.m., July 13, 1989, in the District offices at
4622 Plumosa, Yorba Linda. Directors present were: Whit Cromwell, Sterling Fox, Roy
Knauft and Arthur C. Korn. Director Paul Armstrong was absent. Also present were:
William P. Workman, General Manager; William Robertson, Assistant General Manager;
Robb Quincey, Executive Assistant to the General Manager; Mike Payne, Engineering
Manager; Cheryl Gunderson, Business Manager; Mike Robinson, Assistant Administrator;
and Ray Harsma, Operations Superintendent.
PRESENTATION
Presentation by Larry Kraemer, Director, Orange County Water District. Although not
scheduled, Mr. Kraemer was present to update the Board regarding the activities of the
Orange County Water District. He briefly reviewed the status of a variety of OCWD projects
and advised the Board of their recent capital facilities bond sale.
CONSENT CALENDAR
On a motion by Director Knauft and seconded by Director Cromwell, the Board of
Directors voted 4-0 to approve the Consent Calendar as follows:
Item 1. Approval of Minutes - Regular meeting of June 22, 1989.
Item 2. Authorization for the Directors to leave the State of California prior to next
meeting.
Item 3. Approval of the Terms and Conditions for water service with Marquand
Development Inc. for their project located north of La Palma Avenue and east of Via
Lomas De Yorba West, Lot No. 5 of Tract No. 12166 (Job No. 8938).
Item 4. Approval of the Terms and Conditions for water service with Leasure Enterprises
for their project located southeasterly of Trail View Place and Seminole Way, Job No.
8937.
Item 5. Approval of an Agreement with ASL Consulting Engineers for engineering
consulting services in the amount of $12,300 for designing of Zone 4 to Zone 3 pressure
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July 13, 1989
reducing station and authorization for the President and Secretary to execute the
Agreement.
Item 6. Approval of an Agreement with ASL Consulting Engineers for engineering
consulting services in the amount of $46,500 for design of the Zone 4 Booster Station and
authorization for the President and Secretary to execute the agreement.
Item 7. Approval of the Fairmont Reservoir Xeriscape landscaping improvements;
authorize the filing of the Notice of Completion; authorize the release of the Labor and
Materials Bond 35 days after the Notice of Completion has been recorded and also
release the Faithful Performance Bond in one year if no liens have been filed.
Item 8. Approval of final payment No. 3 to the City of Yorba Linda in the amount of $51,
192.31, for the construction of the Highland Trunk Sewer.
Item 9. Approval of RFP seeking new telephone system for District.
DISCUSSION CALENDAR
Item 10. Consideration of the Assignment of Proceeds between Corporate Bank and
Buena Vida Associates. Engineering Manager Mike Payne explained that pursuant to a
reimbursement agreement between Buena Vida Associates and the District, the
developer is subject to reimbursement for certain construction costs of the Eureka Avenue
Sewer Project. However, the developer have since entered into an agreement with
Corporate Bank to finance the project. Consequently, they requested that an Assignment
of Proceeds be executed by the District in favor of the Bank. Mr. Payne further explained
that the assignment would necessitate that reimbursements by the District be made to
the Corporate Bank, in lieu of Buena Vida Associates. After a brief discussion by the
Board, on a motion by Director Cromwell and seconded by Director Knauft, the Board of
Directors voted 4-0 to approve the Assignment of Proceeds between Corporate Bank and
Buena Vida Associates, Job No. 8913 and authorize the President and Secretary to
execute the agreement.
Item 11. Consideration of Change Orders to the Santiago Reservoir Project.
Engineering Manager Mike Payne explained that the construction progress of the
Santiago Reservoir has been affected by a shutdown in order to determine the extent of
slide planes discovered in the area of the Santiago Reservoir. Mr. Payne further
explained that during this time, the staff has monitored the soils studies, reviewed the
recommendations for remedial work, coordinated the efforts of the District's consultants
and worked with the City of Yorba Linda with regard to this matter. Mr. Payne reviewed
contract changes, extras and time extensions with regard to the project and District
consultants James M. Montgomery, Converse Consultants and F.T. Ziebarth Company.
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July 13, 1989
Mr. Payne explained that as the necessary corrections to the project have been made to
the satisfaction of the staff, he has subsequently reviewed all of the contract changes,
extras and requests of time extensions and would recommend the Board's approval of
them. After a general discussion by the Board with regard to the soils testing accuracy of
District consultants and their related liability, and the overall costs related to the problems
discovered regarding to this project, on a motion by Director Knauft and seconded by
Director Cromwell, the Board of Directors voted 4-0 to approve change orders in the
amount of $87,488.22 to F.T. Ziebarth Company, $16,025.15 to Converse Consultants,
$17,792.00 to James M. Montgomery and also approve a 103 calendar day time
extension to F.T. Ziebarth Company for construction of the Santiago Reservoir, Job No.
8140. The Board asked the District's Legal Counsel Art Kidman to review the contract with
Coverse Consultants.
Item 12. Consideration of District Uniform Contract. Operations Superintendent Ray
Harsma explained that a forty-two (42) month uniform contract between Ideal Uniform
Rental Services and the District has recently expired. Accordingly, the staff prepared a
written list of specifications with regard to the District's uniform needs, and solicited
proposals for this service. Mr. Harsma explained that the following bids were received:
Prudential Overall Supply: $6,827.60
Domestic Linen Supply: $7,892.30
Ideal Uniform Rental Services: $11,146.72
Mr. Harsma stated that after having met with each respective vendor to discuss the
District's needs and the vendors ability to service these needs, and in consideration of
annualized bid amounts, the staff has recommended Prudential Overall Supply for
uniform services.
After a brief discussion by the Board, on a motion by Director Cromwell and seconded by
Director Knauft, the Board of Directors voted 4-0 to approve a thirty-six (36) month uniform
services contract with Prudential Overall Supply in the itemized amounts specified in the
contract; and authorized the President and Secretary to execute this contract.
Item 14. Consideration of a request by the Governmental Finance Officers Association to
send correspondence to legislators opposing H.R. 1761 regarding Corporate Alternative
Minimum Tax. Business Manager Cheryl Gunderson explained that a bill has been
introduced by Dan Rostenkowski, Chairman of the House Ways and Means Committee,
which would increase the amount of tax-exempt income subject to alternative taxation for
corporations. She further explained that currently, corporations pay alternative minimum
tax (AMT) on 50% of tax-exempt income. The new bill proposes that corporations subject
to AMT be taxed on all of it's tax-exempt income. Mrs. Gunderson reviewed how the bill
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July 13, 1989
would negatively impact the District, and recommended the Board send correspondence
opposing the legislation. After a general discussion by the Board, on a motion by Director
Cromwell and seconded by Director Knauft, the Board of Directors voted 4-0 to authorize
staff to send correspondence opposing H.R. 1761 to our legislators.
GENERAL MANAGER'S REPORT
Item 15. No General Manager's report scheduled; however, General Manager William
Workman noted that the District had received two quotes on preparing the ID-2 Standby
Charge. He stated that proposals from BSI and Wildan had been received, and based
upon discussion by the Board, this issue would be referred to the District's Finance
Committee for further action.
LEGAL COUNSEL'S REPORT
Item 16. No Legal Counsel's report scheduled.
STANDING COMMITTEE REPORTS
Item 17. No Executive-Administrative-Organizational Committee meeting report
scheduled.
Item 18. No Finance Committee meeting. scheduled; however, a meeting was scheduled
for Tuesday, July 18, 1989 at 2:00 P.M.
Item 19. Authorization for Payment of Bills. On a motion by Director Knauft and
seconded by Director Korn, the Board of Directors voted 4-0 to approve payment of bills
and rate deposits in the amount of $430,026.55 on Check Nos. 17344 through 17346 and
17671 through 17739, Payroll Checks Nos. 3039 and 3547 through 3606 and one wire to
MWDOC in the amount of $216,917.85 dated July 13, 1989.
Item 20. No Personnel Committee meeting report scheduled.
Item 21. No. Planning-Operations-Engineering Committee meeting report scheduled;
however, a meeting was scheduled for Monday, July 17, 1989 at 2:30 P.M.
Item 22. No Public Information Committee meeting report scheduled.
INTERGOVERNMENTAL MEETINGS
Item 23. Report on Planning Commission meeting of June 28, 1989. Vice President Korn
reported that nothing of significance to the District was discussed at this meeting.
Item 24. Report on City Council meeting of July 5, 1989. Director Cromwell reported that
nothing of significance to the District was discussed at this meeting.
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July 13, 1989
Item 25. Report on MWDOC meeting of July 5, 1989. Director Knauft reported that
MWD's In-Lieu program was discussed at depth during this meeting.
Item 26. Report on OCWD meeting of July 5, 1989. There was no Board of Directors
attendance at this meeting.
Item 27. Report on WACO meeting of July 7, 1989. Director Knauft reported that nothing
of significance to the District was discussed at this meeting.
Item 28. Report on Planning Commission meeting of July 12, 1989. Director Cromwell
reported that the majority of this meeting concerned the proposed plans for a Mexican
Restaurant on Main Street, Rose Drive Church expansion plans and the City's design
review process.
BOARD MEMBER COMMENTS
Item 29. Director Armstrong: Director Armstrong was not in attendance.
Item 30. Director Cromwell: Director Cromwell reported that he has a new
granddaughter, born July 4, 1989. Additionally, Mr. Cromwell reported that he attended an
ISDOC meeting on July 12, 1989 wherein Special District representation on LAFCO was
discussed.
Item 31. Director Knauft: Director Knauft requested that the Orange County Water
Association's newsletter that he normally receives from the District, be sent directly to the
homes of the Directors. This will allow more notice to Directors regarding upcoming
meetings.
Item 32. Vice President Korn: Vice President Korn requested that Program CSDA be
added to the Board's Activity Calendar.
Item 33. President Fox: President Fox had no comments.
ADJOURNMENT
On a motion by Director Cromwell and seconded by Director Knauft, the Board of
Directors voted 4-0 to adjourn the meeting at 9:50 A.M.
William P. Workman
General Manager/Secretary