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HomeMy WebLinkAbout2020-05-19 - Board of Directors Meeting Minutes (A)2. 3. 4. 61 2020-069 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS SPECIAL MEETING Tuesday, May 19, 2020, 6:30 p.m. 1717 E Miraloma Ave, Placentia CA 92870 TELECONFERENCE INFORMATION As noted on the agenda, this meeting was facilitated via teleconference pursuant to Paragraph 3 of Executive Order N-29-20 issued by the Governor of California on March 17, 2020. CALL TO ORDER The meeting was called to order at 6:33 p.m. PLEDGE OF ALLEGIANCE ROLL CALL DIRECTORS PRESENT Phil Hawkins, President Andrew J. Hall, Vice President Brooke Jones J. Wayne Miller, PhD Al Nederhood STAFF PRESENT Brett R. Barbre, General Manager John DeCriscio, Operations Manager Gina Knight, Human Resources/Risk Manager Delia Lugo, Finance Manager Pasquale Talarico, Director of Public Affairs Rosanne Weston, Engineering Manager Annie Alexander, Executive Asst/Board Secretary Danielle Logsdon, Senior Engineer Kayden Young, Senior Management Analyst ALSO PRESENT Andrew Gagen, General Counsel, Kidman Gagen Law LLP PUBLIC COMMENTS Board Secretary Alexander confirmed that no written public comments had been received for this meeting and that there were no members of the public on the call desiring to comment. Minutes of the YLWD Board of Directors Special Meeting Held May 19, 2020 at 6:30 p.m. 2020-070 6. DISCUSSION ITEMS 6.1. Budget Review for Fiscal Years 2020-2021 Staff began the presentation by reviewing historic budget assumptions. Staff then presented initial budget assumptions for FY21 including options for groundwater and import water supplies, debt service coverage ratios, and OPEB/PERS contributions. Staff then reviewed four additional budget assumption scenarios for FY21 and presented multiple financial policy questions for the Board's consideration. Following extensive discussion, the Board requested staff address and consider the following to facilitate further refinement of budget assumptions for FY21: A. Explore options to accommodate pumping groundwater from June through October. B. Provide detail for employee salary and benefits expenses. C. Develop multi-year plan for bringing the District's debt service coverage ratio back up to 225% should the Board determine to lower it to the contractual coverage of 125%. D. Provide the days of cash for each of the budget assumption scenarios. E. Suspend OPEB/PERS pay down until after the PFAS removal plant has been constructed and operational for one year. F. While not expected, accept potential downgrade of AA bond rating from Fitch. G. Explore potential water rate increase effective January 1, 2021 and obtain legal opinion from General Counsel regarding collection of a PFAS Impact Fee on the County property tax roll. H. Develop messaging strategies for items A and G. The Board elected to defer discussion of the District's Capital Improvement Projects to the next meeting. 7. CLOSED SESSION The Board entered Closed Session at 7:48 p.m. 7.1. Conference with Legal Counsel — Anticipated Litigation Significant Exposure to Litigation Pursuant to Paragraph (2) of Subdivision (d) of Section 54956.9 of the California Government Code Number of Potential Cases: One Minutes of the YLWD Board of Directors Special Meeting Held May 19, 2020 at 6:30 p.m. 2020-071 The Board returned from Closed Session at 8:20 p.m. General Counsel Gagen announced that the Board took no reportable action during Closed Session. 8. ADJOURNMENT 8.1. The meeting ended at 8:21 p.m. Annie Alexander Board Secretary Minutes of the YLWD Board of Directors Special Meeting Held May 19, 2020 at 6:30 p.m.