HomeMy WebLinkAbout2019-02-26 - Board of Directors Meeting Minutes 2019-015
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Tuesday, February 26, 2019, 6:30 p.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The meeting was called to order at 6:30 p.m.
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
Brooke Jones, President Marc Marcantonio, General Manager
Andrew J. Hall Brett Barbre, Assistant General Manager
J. Wayne Miller John DeCriscio, Operations Manager
Al Nederhood Gina Knight, HR/Risk and Safety Mgr
Annie Alexander, Exec Asst/Board Secretary
DIRECTORS ABSENT Bryan Hong, Principal Engineer
Phil Hawkins, Vice President Kelly McCann, Senior Accountant
Kaden Young, Sr Management Analyst
ALSO PRESENT
Andrew Gagen, General Counsel, Kidman Gagen Law LLP
4. ADDITIONS/DELETIONS TO THE AGENDA
General Manager Marc Marcantonio noted that the classification of Director of
Public and Government Affairs as identified in applicable resolutions for Item No.
7.2. needed to be revised to Director of Public Affairs.
5. INTRODUCTIONS AND PRESENTATIONS
5.1. Elected Official Liaison Reports
Brett Barbre, in his capacity as Director for the Metropolitan Water District
of Southern California (MWDSC) and President for Municipal Water
District of Orange County (MWDOC), commented on the status of the
Delta twin tunnel project.
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6. PUBLIC COMMENTS
Julia Schultz, resident, spoke in favor of the District's efforts to improve its
community outreach program.
7. CONSENT CALENDAR
Director Nederhood requested to remove Item No. 7.2 from the Consent
Calendar for separate action.
Director Hall made a motion, seconded by Director Miller, to approve the
remainder of the Consent Calendar. Motion carried 5-0-0-0.
7.1. Payments of Bills, Refunds, and Wire transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of$1,269,215.56.
7.3. Notice of Completion for Lakeview Sewer Lift Station Decommissioning
Project
Recommendation: That the Board of Directors authorize staff to file the
Notice of Completion for construction of the Lakeview Sewer Lift Station
Decommissioning Project, Job No. J2018-24S.
ITEMS REMOVED FROM THE CONSENT CALENDAR FOR SEPARATE ACTION
7.2. Revised Budgeted Positions for the Remainder of FY19 and Amendments
to the Memorandum of Understanding with the YLWD Employees
Association and Personnel Manual for Unrepresented Employees
The Board and staff discussed the fiscal impact of the Director of Public
Affairs classification, fiscal impact of hiring a consultant in lieu of a full-time
employee, and comparative salaries for this classification at other local
agencies.
Director Nederhood made a motion to adopt Resolution No. 2019-02
without the Director of Public Affairs classification. Motion failed for lack of
a second.
Director Hall made a motion, seconded by Director Miller to adopt:
Resolution No. 2019-02 (with the revised classification of Director
of Public Affairs) ratifying the Budgeted Positions for the remainder
of Fiscal Year 2019 and rescinding Resolution No. 18-36;
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Resolution No. 2019-03 amending Section 6.02 and Exhibit A of the
Memorandum of Understanding Between the District and the
YLWD Employees Association for the remainder of Fiscal Years
2019-2023; and
Resolution No. 2019-04 (with the revised classification of Director
of Public Affairs) amending Section 3.01 and Exhibit A of the
Personnel Manual for Unrepresented Employees for the remainder
of Fiscal Years 2019-2023.
Motion passed 3-1-0-1 on a Roll Call Vote with Director Nederhood voting
No and Director Hawkins being absent.
8. DISCUSSION ITEMS
Staff reviewed key information contained in the following financial reports.
8.1. Cash and Investment Report for Period Ending January 31, 2019
8.2. Budget to Actual Reports for the Month Ending January 31, 2019
8.3. Mid-Year Review of Expenses to Budget for Fiscal Year 2019
Staff summarized the projected versus budgeted revenue and expenses
for the current fiscal year including volumetric revenue, water purchase
and delivery costs, salary and related expenses, supplies and services,
and the Capital Improvement Plan (CIP).
8.4. Items Needing Board Consensus Prior to Issuance of Request for
Proposals for Rate Study
Staff reviewed the proposed rate study process and multiple factors
requiring Board consideration and consensus. This included the effective
date of a potential rate adjustment, length of time to be covered by the
rate study, type of rate structure, desired credit rating and number of Days
in Cash, ratio of PAYGO versus debt funding for CIP projects, which pass
through expenses should be collected, and whether or not to issue a
Request for Proposal (RFP) or continue working with Raftelis. Staff also
provided a timeline for issuance of an RFP should the Board determine to
do so, and the cost estimate and time needed to revise the billing
statement.
Following discussion, the majority of the Board was in favor of: (1) setting
January 1, 2021 as the effective date for a rate adjustment; (2) performing
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a 5-year rate study; (3) utilizing a rate structure similar to East Orange
County Water District's; (4) staying with the District's current policy as
related to desired credit rating and Days in Cash; (5) following staff's
recommendations in regards to ratio of PAYGO versus debt funding for
CIP projects; (5) including energy with pass-through costs; and (6) issuing
an RFP for performance of the rate study.
Julia Schultz, resident, spoke in favor of issuing an RFP for performance
of the rate study and provided suggestions for the District's billing
statement and funding for CIP projects.
8.5. Board Goals for 2019 Calendar Year
The Board discussed the following goals and determined to finalize them
at the next regular meeting when all Directors would be present.
1. Developing of a ten-year Capital Improvement Plan.
2. Implementing a two-year budget cycle.
3. Conducting one budget workshop instead of multiple.
4. Developing a communications plan due 3 months following hire of a
Director of Public Affairs.
5. Preparing for a Proposition 218 community outreach process to
begin January 2020.
Julia Shultz, resident, commented on circumstances at the time of the
previous rate adjustment.
9. REPORTS, INFORMATION ITEMS. AND COMMENTS
9.1. Directors' Reports
■ Intergovernmental Meetings, Conferences, and Events
The Directors noted their attendance at the listed meetings and
events.
9.2. General Manager's Report
General Manager Marcantonio reported on the status of pending water
and air quality regulations. He then asked each of the managers (or their
designees) to report on activities within their respective departments.
9.3. General Counsel's Report
General Counsel Andrew Gagen commented on pending water quality
regulations.
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9.4. Future Agenda Items and Staff Tasks
None.
10. COMMITTEE REPORTS
10.1. Interagency Committee with MWDOC and OCWD
(Jones/Hawkins)
■ Next meeting is scheduled March 28, 2019 at 4:00 p.m.
10.2. Joint Agency Committee with City of Yorba Linda
(Jones/Hawkins)
■ Next meeting is scheduled March 18, 2019 at 4:00 p.m. at YL City
Hall.
10.3. Joint Agency Committee with City of Placentia
(Jones/Hawkins)
■ Next meeting yet to be scheduled.
11. BOARD OF DIRECTORS ACTIVITY CALENDAR
11.1. Meetings from February 27 — April 30, 2019
The Board made no changes to the activity calendar.
12. ADJOURNMENT
12.1. The meeting was adjourned at 8:36 p.m.
Annie Alexander
Board Secretary
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