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HomeMy WebLinkAbout1988-08-11 - Board of Directors Meeting MinutesPage 2231 August 11, 1988 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS ADJOURNED MEETING AUGUST 11, 1988 The regular meeting of the Board of Directors of the Yorba Linda Water District was called to order by President Armstrong at 8:30 a.m., August 11, 1988, in the District offices at 4622 Plumosa, Yorba Linda. Directors present: Paul R. Armstrong, Whit Cromwell, Sterling Fox, and Roy Knauft. Also present were: William P. Workman, General Manager, William J. Robertson, Assistant General Manager, Robb Quincey, Executive Assistant to the General Manager, Michael Payne, Engineering Manager, Cheryl Gunderson, Business Manager, Joe Cowan, Assistant Operations Superintendent, Michael Robinson, Assistant Administrator 11 and Art Kidman, Legal Counsel. Director Korn was absent. CONSENT CALENDAR Director Knauft noted a change to the minutes correcting MWDOC Director Ken Witt's name. President Armstrong suggested the "Water Barons" recognition award wording be changed from "have conferred upon" to "does hereby confer upon". On a motion by Vice President Fox and seconded by Director Knauft, the Board voted 4-0 to approve the Consent Calendar as follows: Item 1. Approval of Minutes - Regular Meeting of July 28, 1988. Item 2. Authorization for the Directors to leave the State of California prior to next meeting. Item 3. Approval of purchase of two pick-up trucks from McCoy and Mills Ford for $20,717.60. Item 4. Acceptance of Treasurer's Report for July 31, 1988. Item 5. Approval of the "Water Barons" recognition award. DISCUSSION CALENDAR Item 6. Sam W. Peterson & Associates, Inc. hourly rates. Mike Payne, Engineering Manager, briefly presented a request for approval of an agreement with Sam W. Peterson and Associates, Inc. for engineering services. He explained that Peterson and Associates have been providing engineering services to the District since 1981. Mr. Payne proceeded to present proposed agreements which outline the scope of work, compensation and conditions related to providing engineering services for the period of August 1, 1988 to July 30, 1989. After several Board questions regarding the feasibility of using Peterson and Associates survey teams on other District related activities, on a motion by Director Cromwell and seconded by Vice President Fox, the Board voted 4-0 to approve the aforementioned agreement with Sam W. Peterson and Associates, Inc. Page 2232 August 11, 1988 Item 7. Radio Communication Systems bid. Assistant General Manager, William Robertson, presented a request for approval to negotiate a radio contract with General Electric Mobile Communications for the implementation of an 800 MHZ Two-Way Radio System. Mr. Robertson explained that the Radio Bid Review Team, which included Jerry Campbell, Diversified Communications Consultant, Jack McDavid and himself from the District, received two bids from the Request for Proposal. The team reviewed extensively the two bids from both GE and Motorola, including their request for additional information form these vendors. The review team chose General Electric as the vendor who best met the RFQ requirements. Mr. Robertson highlighted the advantage of the radio system and the cost involved. On a motion by President Armstrong and seconded by Director Cromwell, the Board voted 4-0 for approval to negotiate a contract with General Electric for the acquisition and installation of an 800 MHZ Radio Communications System. Item 8. Ground breaking ceremony for Chino Hills Reservoir. Assistant Administrator Mike Robinson requested Board direction for planning a ground breaking ceremony for the Chino Hills Reservoir. After a general discussion regarding the idea, the list of invitees and the date, on a motion by Director Cromwell and seconded by Vice President Fox, the Board voted 4-0 to approve planning for the ceremony to be held on Friday, September 2, at 2:00 p.m. PUBLIC HEARING CALENDAR Item S. Development Fees related to Water Facilities. President Armstrong opened the public hearing. General Manager/Secretary William Workman advised the Board that no petitions or correspondence was received on the matter and that the public notice on this issue was published in the Orange County Register on July 28 and August 4, 1988. Assistant General Manager William Robertson made an extensive presentation regarding the development fees related to water facilities. Mr. Robertson began by explaining the purpose of the study and the proposed fees related to water facilities. So as to discontinue the District's direct participation in Western Service Area construction, and to revise existing fees and implement new fees, he explained the current laws, AB 1600 and Government Code Section 54991, which pertain to this issue. He stated that the study was designed in part to comply with the law that fees or charges shall not exceed the estimated reasonable cost of providing the service for which the fees are imposed. Mr. Robertson then proceeded to describe the current Yorba Linda Water District practices relative to fees. He explained the difference between Western and Eastern Service Areas, their history and costs associated with the practices in these areas. Page 2233 August 11, 1988 Mr. Robertson next explained and discussed the proposed policies and charges, in addition to the results of the study which supported these charges. He proceeded to outline the specifications of the proposed charges and the itemization of the proposed new fees. He explained that in addition to new service and meter installation fees, an administrative, plan check, inspection, records and billing, and single service fee had been established. Mr. Robertson defined the basis for the establishment of these fees and further described how the fees were calculated. The following description of how the fees were calculated is included for the public record: REVISED FEES: Extension Charge: The Extension Charge consists of two components, main line pipe and fire hydrants. Revisions to the present Extension Charge are based on thefollmAng: 1. Main tines: The main line extension cost per linear foot is based on an average actual cost perfoot of the ten most recent job closings. 2. Fire Hyrdranta: The Fire Hydrants Fee is based on the average actual cost forthe ten most recent fire hydrant installations. Service Fee: The Service Fee calculation consists of three components. Revisions to the present Service Fee are based on the following: 1. Per-Foot Charge: The per4oot charge (sometimes called the Frontage Charge) is based on the foll owing formula: (EAens! onCharga perfoot115 0%3 4 Pro p edy Frontag a in fin ear f a at 2. Fire Hydrant: The Fire Hydrant component is charged out at their fun rake as identified inthe Bdension Charge. 3. Minimum Charge: The Minimum Charge 13 based on the f ollowing f ormula: (E)denslonCharge • 50%) • 75 Linear Feet of Property Frontage Meter Fee: The Meter Set Fee is based on the actual cost of materials, plus 15% Overhead onmatefielsto purchase ameter, meter boxandmeterconnection parts, 3ucha3 Angle Meter Stopforthe314"and 1"metersorMeterFlangesforthe 1112" and 2"metem. Additionadly,for 314" and In meter assemblies, installation tabor 13 one hour at the average hourly rate for Operations Department personnel not including fringe benefits, plus 819 Overhead on labor, plus one hour of equipment at $12 per hour. For 1 112" and 2" meter assemblies, installation labor is two hours at the average hourly rate for Operations Department personnel not including fringe benefits, plus 1% Overhead on labor, plus two hours of equipment at $12 per hour. Temporary►Meton: T he Temporary Service Fee is established at &rate equal to on amount to replace the meter assembly in the event it is not returned by the applicant. The Fee fora standard fire hydrant construction meter is based on the current cost to purchase a 2 112 inch construction meter, plus material costs for a fire hydrant-to-meter adapter and gate valve, including 15% Overhead on materials. Additionally, one hourlabor, at the average houriyrate for Operations Department personnel not including fringe benefits, plus 81% Overhead on labor, to assemble the components is added. Page 2234 August 11, 1988 NEW FEES: Administrative Fee: The Administrative Fee is based on 24 hours of Engineeringle.bor,at the average houriyrate for EngineeringDepartment personnel not includingfringe benefits, plus 8196 Oyerhead on labor. Plan Check Fee: The RlanCheck Feels based ontheaverage amount oftimerequired to plan check drawings for different sized developments. The following table is based on the average time spent to plan check drawings within each specified range of connections: Connections 1.10 3.84 hours per connection 11-20 2.08 hours per connection 21-30 1.44 hours per connection 31-40 136 hours per connection 41-50 0.96 hours per corewchon 51 and up 0.80 hours per connection For each range of connections specified in the table, the fee p er c onnection is determined by multiplying the labor hours indicated in the table bythe average hourlyt to for Engineering Department personel not including fringe benefits, plus 81% Overhead on labor, plus equipment hours al 509 of the labor hours at $12 per hour. Inspection Fee: The Inspection Fee is based on the average amount of time required to inspect construction for different sized developments. The following table is based on the average time spent to inspect construction within each specified range of connections: Conneetians Labor 1-10 8.40 hours per connection 11-20 4.72 hours per connection 21-30 3.28 hours per connection 31-40 2.64 hours per connection 4150 2.24 hours per connection 51 and up 2.00 hours per connection For each range of connections specified in the table, the fee per connection is determined by multiplying the labor hours indicated In the table by the average hourly rate for Engineering Department personel, not including fringe benefits, plus 819 Overhead on labor, in addition to an equal amount of equipment hours at $12 per hour. Flecorda and Billing Fee: The Records end Billing Fee is based on two hours of Customer Service labor, at the average hourly rate for Business department personnel not including fringe benefits, plus 1.5 hours of Engineering labor, at the average hourly rate for Engineering Department personnel not including fringe benefits. Additionally, 819 Overhead on labor of labor, plus one hour of equipment at $12 per houris added. Single Service Fee: The Single Service Fee Is based on five hours of Engineering labor, &I the average hourly rate for Engineerrng personnel not including fringe benefits, plus three hours for inspection, al the average hourly rate for Engineering Department personnel not Including hinge benefits. Additonally, 81%Overhead on Kbor end three hours of equipment at $12 per hour plus the Records and Billing Fee is added. The Single Service Fee does not include the meter set fee and, if applicable, the Western Area Service Fee. Page 2235 August 11, 1988 Mr. Robertson concluded his presentation by presenting beforetafter scenarios of projects to be completed, using the old and new fees, comparatively. He explained the differences in outcome and the justifications for these differences. President Armstrong dosed the hearing after asking for public testimony but received none. On a motion by Director Knauft and seconded by Director Cromwell, the Board voted 4-0 to accept the Yorba Linda Water District Development Fee Study and adopt Resolution No. 88-35 amending the District's Rules and Regulations for rendition of water service. GENERAL MANAGER'S REPORT Item 10. Allen-McColloch Pipeline Flow Augmentation Project. General Manager William Workman presented a request to the Board for approval of a Commitment Letter and Memorandum of Understanding related to the development of additional capacity in the Allen-McColloch Pipeline Flow Augmentation Project. Mr. Workman explained that over the past several months, the participants in the AMP have been discussing the feasibility of a project to increase the capacity of the pipeline for AMP participants, as well as creating new capacity that could be conveyed to South Orange County Water Agencies. Mr. Workman went on to explain that although it does not appear that the Yorba Linda Water District needs additional AMP capacity, the potential additional 3.2 cfs to be allocated to the District may be reallocated to other agencies; and henceforth, putting the District in a "refund" position. Moreover, it does not appear that the hydraulics at D1-02 would be negatively impacted by the project's construction. The General Manager went on to explain the Memorandum of Understanding document as an instrument of consent by AMP participants to proceed with the preliminary activities associated with the project. The Commitment Letter, Mr. Workman explained, is an agreement to reimburse the cost of the preliminary activities associated with the AMP Project. In conclusion, Mr. Workman explained that the District's share of the costs associated with the preliminary AMP project is approximately $14,000. And, as a result of the District's unique "refund" position, if the project is completed, the District could receive in excess of $200,000 from financial arrangements made with other South County agencies requiring the additional AMP capacity that is not utilized by the Yorba Linda Water District. After a discussion between the Board and the General Manager regarding the issue, and the effects of spending $14,000 of unappropriated capital, on a motion by Director Knauft and seconded by Vice President Fox, the Board voted 4-0 to approve the AMP Harr Augmentation Commitment Letter and Memorandum of Understanding, and authorize the execution of said documents and allocation of $14,000 from the Unappropriated Capital Improvement Fund for this purpose. LEGAL COUNSEL'S REPORT Item 11. No Legal Counsel report scheduled. Page 2236 August 11, 1988 STANDING COMMITTEE REPORTS Item 12. No Executive Committee report scheduled. Item 13. The Finance-Accounting Committee scheduled a meeting for Tuesday, August 16, 1988 at 9:00 a.m. Item 14. Authorization for payment of bills. On a motion by Director Knauft and seconded by Vice President Fox , the Board voted 4-0 to approve payment of bills and rate deposits in the amount of $408,316.53 on Checks No. 15198 through 15299, Payroll Checks No. 1834 through 1901 and one wire dated August 12, 1988, to MWDOC, in the amount of $210,607. Item 15. No Personnel Committee report was scheduled. Item 16. No Planning-Operations-Engineering Committee report scheduled. Item 17. Public Information Committee. Assistant Administrator Mike Robinson explained that the primary topic at the last Xeriscape meeting of August 3, 1988 concerned the continued planning of Xeriscape in front of the Fairmont Reservoir. He indicated that a plot plan was in the working. INTERGOVERNMENTAL MEETINGS Item 16. Report on City Council meeting of August 2. Vice President Fox slated that there was nothing of significance to report. Item 19. Report on MWDOC meeting of August 2. Vice President Fox reported that he was unable to attend the meeting. Item 20. Report on WACO meeting of August 5. President Armstrong reported that two interesting speakers were featured at this meeting. Namely, Lynn Anderson from the County of Ventura, who discussed water development and conservation in the Ventura County area, indicating that 67% of water utilized in the area is ag water provided through some 140 water districts. President Armstrong then reported that Mr. John Gasden spoke to the group about new state health standards for water providers and conservation actions. Mr. Gasden also presented data and illustrations comparing utility costs per household over the past five year period. Item 21. Report on Planning Commission meeting of August 10. President Armstrong explained that the big agenda item for this meeting was the approval of plans for the Savi Ranch area which is zoned for automobile sales and service. Citizens of the area are concerned with the quality of life issues pertaining to the plan and area. Page 2237 August 11, 1988 ADJOURNMENT On a motion by Director Knauft and seconded by Director Cromwell, the Board voted 4-0 to adjourn the meeting. U~ William P. Workman General Manager/Secretary