HomeMy WebLinkAbout2019-06-25 - Board of Directors Meeting Minutes (B) 2019-061
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Tuesday, June 25, 2019, 2019, 6:30 p.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The meeting was called to order at 6:32 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 and Risk Manager
Delia Lugo, Finance Manager
DIRECTORS ABSENT Pasquale Talarico, Director of Public Affairs
Phil Hawkins, Vice President Rosanne Weston, Engineering Manager
Annie Alexander, Exec Asst/Board Secretary
Kaden Young, Senior Management Analyst
ALSO PRESENT
Andrew Gagen, General Counsel, Kidman Gagen Law LLP
Sandra Jacobs, President, Santa Margarita Water District
4. ADDITIONS/DELETIONS TO THE AGENDA
General Manager Marc Marcantonio requested to defer discussion of Item No.
9.2. to the next regular meeting so that Vice President Hawkins could be present.
He also requested to add the following item to the agenda as the matter came to
staff's attention after the agenda had been posted and required immediate
briefing of the Board.
9.5. Division of Drinking Water (DDW) Proposed Revisions to
Perfluorooctanoic Acid (PFOA) and Perfluorooctane Sulfonate
(PFOS) Notification and Response Levels Effective July 8, 2019
The Board voted 4-0-0-1 with Director Hawkins being absent to make the
requested changes to the agenda.
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5. IPTRODUCTIONS AND PRESENTATIONS
5.1. Elected Official Liaison Reports
None.
5.2. Federal and State Legislative Update
Director of Public Affairs Pasquale Talarico briefed the Board regarding
the status of current legislation including Assembly Bills 100 and 217, and
Senate Bill 200.
6. PUBLIC COMMENTS
Dave Ramocinksi, resident, spoke against information contained in an article
published in CALmatters related to the Freeway Complex Fire and subsequent
litigation.
7. CONSENT CALENDAR
It,
Director Nederhood made a motion, seconded by Director Hall, to approve the
Consent Calendar. Motion passed 4-0-0-1 on a Roll Call vote with Director
Hawkins being absent.
7.1. Minutes of the Board of Directors Regular Meeting Held May 14, 2019
Recommendation: That the Board of Directors approve the minutes as
presented.
7.2. Payments of Bills, Refunds, and Wire transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of$739,574.68.
7.3. Award of Construction Contract for Camino Verde and Mickel Lane
Waterline Improvements
Recommendation: That the Board of Directors award the Construction
Contract for Camino Verde and Mickel Lane Waterline Improvements to
Cedro Construction, Inc. for$576,178.90, Job No. J2018-03.
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7.4. Amending the Debt Management Policy
Recommendation: That the Board of Directors approve Resolution No.
2019-XX amending the Debt Management Policy previously adopted by
Resolution No. 18-13 on June 5, 2018.
8. ACTION CALENDAR
8.1. Financial Reserves Policy for Fiscal Year 2020
Staff explained that the Board was required to review this policy on an
annual basis and recommended the total "unrestricted" water reserve
balance be set to a minimum of $30AM by June 30, 2020 so the District
could maintain its current AA and AA+ ratings and minimum 365 days in
cash calculation.
Discussion followed regarding funding levels and mechanisms for the
Rate Stabilization Reserve and Fitch Ratings' new water and sewer rating
criteria.
Director Nederhood made a motion, seconded by Director Hall, to approve
Resolution No. 2019-XX adopting a Financial Reserves Policy for Fiscal
Year 2020 and rescinding Resolution No. 18-24. Motion carried 3-1-0-1
on a Roll Call vote with Director Jones voting No and Director Hawkins
being absent.
9. DISCUSSION ITEMS
9.1. OC LAFCO's Election for Special District Regular and Alternate
Representatives (Jones)
Sandra Jacobs, President of the Santa Margarita Water District,
addressed the Board regarding her candidacy for Special District Regular
Representative in the upcoming OC LAFCO election and requested the
District's support.
President Jones requested feedback from the individual Directors
regarding the candidates for each seat.
The following item was deferred to the next regular meeting.
9.2. Planning for Performance of Water/Sewer Rate Study and Future
Proposition 218 Process (Hawkins)
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9.5. Division of Drinking Water (DDW) Proposed Revisions to
Perfluorooctanoic Acid (PFOA) and Perfluorooctane Sulfonate (PFOS)
Notification and Response Levels Effective July 8, 2019
Staff reviewed DDW's current and proposed notification and response
levels for PFOA/PFOS and the District's inability to remain under the
proposed response level for PFOA without transitioning to 100% import
water. Staff then outlined the potential financial impact to the District's
budget for Fiscal Year 2020 and noted that the commodity rate adjustment
included in the slide presentation to address the potential shortfall would
not be feasible due to restrictions in the District's Proposition 218
notification. Staff also summarized previous actions taken and long-term
plans for addressing PFOA/PFOS.
Extensive discussion followed regarding the process for establishing
Public Health Goals (PHG) and Maximum Contaminant Levels (MCL),
discussions with OCWD staff regarding treatment options for Per- and
Polyfluoroalkyl Substances (PFAS), conducting a pilot study to remove
PFAS, the District's current and planned public messaging and education
efforts related to PFAS, and DDW's recommended notification
requirements.
Julia Schultz, resident, provided some suggestions for public messaging
and posed several questions regarding PFAS to which staff responded.
Staff reviewed key information contained in the following financial reports.
9.3. Budget to Actual Reports for Month Ending May 31, 2019
9.4. Cash and Investment Report for Period Ending May 31, 2019
10. REPORTS, INFORMATION ITEMS, AND COMMENTS
10.1. Directors' Reports
■ Intergovernmental Meetings, Conferences, and Events
The Directors noted their attendance at the listed meetings and
events.
Director Hall left the meeting at 8:43 p.m.
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10.2. General Manager's Report
General Manager Marc Marcantonio commented on a recent interview he
had participated in related to PFAS, the purpose of the editorial published
in CALmatters, and the status of the heli-hydrant pilot project. He then
asked each of the managers to report on activities within their respective
departments.
10.3. General Counsel's Report
None.
10.4. Future Agenda Items and Staff Tasks
Director Nederhood requested an item on a future agenda to review the
District's municipal advisor's evaluation of the impact of Fitch's new rating
criteria on YLWD's bond rating.
11. COMMITTEE REPORTS
11.1. Interagency Committee with MWDOC and OCWD
(Jones/Hawkins)
■ Next meeting is scheduled July 25, 2019 at 4:00 p.m.
11.2. Joint Agency Committee with City of Yorba Linda
(Jones/Hawkins)
■ Minutes of the meeting held June 17, 2019 at 4:00 p.m. will be
provided when available.
■ Next meeting is scheduled September 16, 2019 at 4:00 p.m. at
Yorba Linda City Hall.
11.3. Joint Agency Committee with City of Placentia
(Jones/Hawkins)
■ Next meeting is yet to be scheduled.
12. BOARD OF DIRECTORS ACTIVITY CALENDAR
12.1. Meetings from June 26 —August 31, 2019
The Board made no changes to the activity calendar.
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13. ADJOURNMENT
13.1. The meeting was adjourned at 8:55 p.m.
Annie Alexander
Board Secretary
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