HomeMy WebLinkAbout2010-04-22 - Board of Directors Meeting Agenda Packet
' rb Linda
Water District
AGENDA
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Thursday, April 22, 2010, 8:30 AM
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
William R. Mills, President
Michael J. Beverage, Vice President
Ric Collett
Phil Hawkins
John W. Summerfield
4. ADDITIONS/DELETIONS TO THE AGENDA
5. PUBLIC COMMENTS
Any individual wishing to address the Board is requested to identify themselves and state the matter on which
they wish to comment. If the matter is on the agenda, the Board will recognize the individual for their comment
when the item is considered. No action will be taken on matters not listed on the agenda. Comments are limited
to matters of public interest and matters within the jurisdiction of the Water District. Comments are limited to five
minutes.
6. SPECIAL RECOGNITION
6.1. Introduce Anthony Mason, Newly Hired Storekeeper
7. CONSENT CALENDAR
All items listed on the consent calendar are considered to be routine matters, status reports, or documents
covering previous Board instructions. The items listed on the consent calendar may be enacted by one motion.
There will be no discussion on the items unless a member of the Board, staff, or public requests further
consideration.
7.1. Minutes of the Regular Board of Directors Meeting Held April 8, 2010
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 $802,854.67.
7.3. Asset Management Plan, Final Report
Recommendation: That the Board of Directors receive and file the final Asset
Management Plan, dated April 2010.
7.4. Authorization to Invest in CalTRUST
Recommendation: That the Board of Directors approve the transfer of funds from
Wells Capital and California Asset Management Program to CaITRUST.
8. DISCUSSION ITEMS
This portion of the agenda is for matters that cannot reasonably be expected to be concluded by action of the
Board of Directors at the meeting, such as technical presentations, drafts of proposed policies, or similar items for
which staff is seeking the advice and counsel of the Board of Directors. Time permitting, it is generally in the
District's interest to discuss these more complex matters at one meeting and consider formal action at another
meeting. This portion of the agenda may also include items for information only.
8.1. Report on Mutual Aid Activities
9. REPORTS, INFORMATION ITEMS, AND COMMENTS
9.1. President's Report
9.2. Directors' Reports
9.3. General Manager's Report
• Participation in AWWA QualServe Program
9.4. Future Agenda Items and Staff Tasks
10. COMMITTEE REPORTS
10.1. Executive Administrative-Organizational Committee
(Mills/Beverage) Alternate: Collett
Minutes of meeting held April 16, 2010 at 9:00 a.m.
Meeting scheduled May 18, 2010 at 4:00 p.m. has been rescheduled to May 5, 2010 at
4:00 p.m.
10.2. Finance-Accounting Committee
(Sum merfield/Collett) Alternate: Mills
Minutes of meeting held April 12, 2010 at 4:00 p.m.
Meeting scheduled May 10, 2010 at 4:00 p.m. has been rescheduled to May 17, 2010
at 4:00 p.m.
10.3. Personnel-Risk Management Committee
(Collett/Hawkins) Alternate: Summerfield
Minutes of meeting held April 13, 2010 at 4:00 p.m.
Meeting scheduled May 11, 2010 at 4:00 p.m.
10.4. Planning-Engineering-Operations Committee
(Mills/Summerfield) Alternate: Beverage
• Meeting scheduled May 6, 2010 at 4:00 p.m.
10.5. Public Information-Technology Committee
(Beverage/Hawkins) Alternate: Summerfield
• Meeting scheduled May 4, 2010 at 4:00 p.m.
10.6. MWDOC/OCWD Ad Hoc Committee
(Mills/Beverage) Alternate: Collett
-Meeting scheduled May 25, 2010 at 4:00 p.m.
10.7. Citizens Advisory Committee
(Directors Rotate Attendance)
• Meeting scheduled April 26, 2010 at 8:30 a.m. (Summerfield)
11. INTERGOVERNMENTAL MEETINGS
11.1. YL Planning Commission - April 14, 2010 (Collett)
11.2. YL City Council - April 20, 2010 (Summerfield)
11.3. MWDOC Board - April 21, 2010 (Staff)
11.4. OCWD Board - April 21, 2010 (Staff)
12. BOARD OF DIRECTORS ACTIVITY CALENDAR
12.1. Meetings from April 23, 2010 - May 31, 2010
13. ADJOURNMENT
13.1. The Board of Directors will be holding a workshop meeting on Friday, April 30, 2010 at
8:30 a.m. The next regular meeting of the Board of Directors will be held May 13, 2010
at 9:00 a.m.
Items Distributed to the Board Less Than 72 Hours Prior to the Meeting
Pursuant to Government Code section 54957.5, non-exempt public records that relate to open session agenda items
and are distributed to a majority of the Board less than seventy-two (72) hours prior to the meeting will be available for
public inspection in the lobby of the District's business office located at 1717 E. Miraloma Avenue, Placentia, CA 92870,
during regular business hours. When practical, these public records will also be made available on the District's internet
website accessible at http://www.ylwd.com/.
Accommodations for the Disabled
Any person may make a request for a disability-related modification or accommodation needed for that person to be
able to participate in the public meeting by telephoning the Executive Secretary at 714-701-3020, or writing to Yorba
Linda Water District, P.O. Box 309, Yorba Linda, CA 92885-0309. Requests must specify the nature of the disability and
the type of accommodation requested. A telephone number or other contact information should be included so the
District staff may discuss appropriate arrangements. Persons requesting a disability-related accommodation should
make the request with adequate time before the meeting for the District to provide the requested accommodation.
ITEM NO. 7.1
AGENDA REPORT
Meeting Date: April 22, 2010
Subject: Minutes of the Regular Board of Directors Meeting Held April 8, 2010
STAFF RECOMMENDATION:
That the Board of Directors approve the minutes as presented.
ATTACHMENTS:
Name: Description: Type:
040810 BOD - Minutes.doc BOD Mtg Minutes 04/08/10 Minutes
Approved by the Board of Directors of the
Yorba Linda Water District
4/22/2010
MB/RC 5-0
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
April 8, 2010
1. CALL TO ORDER
The April 8, 2010 regular meeting of the Yorba Linda Water District Board of
Directors was called to order by President Mills at 8:34 a.m. The meeting was
held at the District's Administrative Office at 1717 East Miraloma Avenue,
Placentia CA 92870.
2. PLEDGE OF ALLEGIANCE
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
William R. Mills, President Ken Vecchiarelli, General Manager
Michael J. Beverage, Vice President Pat Grady, Assistant General Manager
Ric Collett Art Kidman, General Counsel
Phil Hawkins Steve Conklin, Engineering Manager
John W. Summerfield Lee Cory, Operations Manager
Stephen Parker, Finance Director
Gina Knight, HR Manager
Damon Micalizzi, PI Specialist
Annie Alexander, Executive Secretary
OTHER VISITORS
Alice Armstrong
Sheri Cassidy
Rich Freschi, Director, Serrano Water District (SWD)
Shawn Dewane, Director, Mesa Consolidated Water District (MCWD)
John Withers, Director, Irvine Ranch Water District (IRWD)
Charley Wilson, Director, Santa Margarita Water District (SMWD)
Brett Barbre, Director, Municipal Water District of Orange County (MWDOC)
Keith Khorey, Principal, Wells Capital Management
Lyle Defenbaugh, Director of Client Relations, CaITRUST
Richard Kreisler, Labor Counsel, Liebert Cassidy Whitmore (Attended Closed Session Only)
Laurie Park, Associate, McCormick, Kidman & Behrens
4. ADDITIONS/DELETIONS TO THE AGENDA
Mr. Vecchiarelli stated that staff's recommendation for Item No. 7.1. would need
to be revised to request that a member of the Board be designated to vote on the
District's behalf at the ISDOC meeting in April. Mr. Vecchiarelli also requested
that Item No. 16.1 be taken immediately following Item No. 7.1.
5. PUBLIC COMMENTS
None.
1
6. SPECIAL RECOGNITION
6.1. Presentation to the Family of Paul R. Armstrong for his Service as Director
from May 1982 to January 2010
President Mills summarized Director Armstrong's service in the Yorba
Linda community and with the District. President Mills then presented
Mrs. Armstrong with a glass statuette in recognition of Director
Armstrong's service to the District from May 1982 to January 2010.
Director Beverage and Mr. Kidman also commented on their friendship
and working relationships with Director Armstrong.
Mrs. Armstrong and Ms. Cassidy left the meeting shortly after the
presentation.
NAL7. ACTION CALENDAR
7.1. ISDOC Special District Selection Committee Meeting
President Mills explained that Mr. Freschi and Mr. Dewane had been
invited to attend the meeting to address the Board regarding their
candidacy for regular and alternate commissioners for the Orange County
Local Agency Formation Commission (LAFCO). President Mills
suggested that Mr. Freschi and Mr. Dewane address the Board first,
followed by Mr. Withers and Mr. Wilson, and ending with closing remarks
by Mr. Freschi and Mr. Dewane.
Mr. Freschi addressed the Board and summarized his work history and
public service with SWD. Mr. Freschi then responded to questions from
the Board regarding his work experience and reasons for seeking a
position on LAFCO.
Mr. Dewane addressed the Board, summarized his public service with
MCWD and expressed his concerns regarding LAFCO's Municipal Service
Review (MSR) process and the merging of special districts with cities. Mr.
Dewane then responded to questions from the Board regarding efforts to
breakup MWDOC, his work experience and duties of the alternate LAFCO
commissioner.
Mr. Withers addressed the Board and requested that they consider the
candidates as if the issue regarding the breakup of MWDOC was off the
table. Mr. Withers also highlighted some of the issues facing the District
including a possible takeover by the City of Yorba Linda, transfer of the
city's sewer system to the District and annexation to the Orange County
Water District (OCWD). Mr. Withers then responded to questions from the
Board regarding his previous voting history with LAFCO and IRWD and
reasons for seeking reelection.
Mr. Wilson addressed the Board and summarized his work experience
and public service with LAFCO. Mr. Wilson then provided the Board with
a brief description of the duties of the alternate commissioner.
2
Mr. Freschi addressed the Board and commented on his concerns
regarding LAFCO's MSR process and the length of time and financial
resources MWDOC has spent dealing with the results of its review.
Mr. Dewane addressed the Board and commented on his involvement
with the Poseidon project and the time and resources spent by MWDOC
related to the MSR. Mr. Dewane also invited the Board to consider
becoming ISDOC members.
Mr. Barbre then addressed the Board and stated that MWDOC may have
erred in nominating Mr. Withers and Mr. Wilson as LAFCO commissioners
four years ago. Mr. Barbre further stated that the MWDOC Board of
Directors voted 6-0-1 in support of the candidacy of Mr. Freschi and Mr.
Dewane and requested that the YLWD Board of Directors do the same.
Each Board member then expressed their opinion regarding this matter.
On a motion by Director Beverage, seconded by Director Summerfield, the
Board voted 3-2 on a Roll Call, with Directors Collett and Mills voting No,
to adopt Resolution No. 10-06 in Support of Rich Freschi for Regular
LAFCO Commissioner and Shawn Dewane for Alternate LAFCO
Commissioner.
Mr. Vecchiarelli stated that the Board would also need to consider
designating one of the Board members to attend the ISDOC meeting in
April and vote on the Board's behalf should President Mills be unable to
attend. In the past, agency staff has been allowed to perform this duty in
place of a Board member. However, due to the heightened interest in this
election, staff recommends strict adherence to the ISDOC rules of
procedure.
On a motion by Director Summerfield, seconded by Director Hawkins, the
Board voted 5-0 to designate Director Beverage to attend the ISDOC
meeting on April 29, 2010 in the absence of Director Mills and vote on
behalf of the District in accordance with Resolution No. 10-06.
Messrs. Freschi, Dewane, Barbre, Withers and Wilson left the meeting at
this time.
Mr. Vecchiarelli suggested that the Board take Item No. 10.1 at this time instead of Item
No. 16.1. The Board agreed.
A brief recess was declared at 9:44 a.m.
The meeting was reconvened at 9:49 a.m.
3
10. DISCUSSION ITEMS
10.1. Presentation by Lyle Defenbaugh Regarding CalTRUST Investment
Options
Mr. Parker introduced Mr. Defenbaugh who then provided the Board with
a PowerPoint presentation regarding investment options with CaITRUST.
Mr. Defenbaugh and Mr. Khorey then responded to questions from the
Board regarding the various investment options. Mr. Parker stated that he
had identified five investment funds which could be of benefit to the
District. Director Collett stated that the Finance-Accounting Committee
had previously reviewed this matter and felt that it would be a good
investment opportunity. Mr. Vecchiarelli stated that a request for
authorization to invest in CalTRUST would be taken to the Finance-
Accounting Committee for review next week.
Mr. Defenbaugh and Mr. Khorey left the meeting following the
presentation.
The meeting was adjourned to Closed Session at 10:29 a.m. All Directors were
present. Also present were Messrs. Vecchiarelli, Grady and Kreisler and Ms. Knight.
16. CLOSED SESSION
16.1. Conference Labor Negotiators
Pursuant to Section 54956.7 of the California Government Code
Agency Designated Representatives:
Ken Vecchiarelli
Pat Grady '44%
Gina Knight
Richard Kreisler
Employee Organization:
Yorba Linda Water District Employees Association
The Board reconvened in Open Session at 11:27 a.m. No action was taken during
Closed Session that was required to be reported under the Brown Act.
Mr. Kreisler and Ms. Knight left the meeting at this time.
8. CONSENT CALENDAR
On a motion by Director Beverage, seconded by Director Collett, the Board voted
5-0 to approve the Consent Calendar.
8.1. Minutes of the Regular Board of Directors Meeting Held March 25, 2010
Recommendation. That the Board of Directors approve the
minutes as presented.
4
8.2. Payment of Bills, Refunds, and Wire Transfers
Recommendation. That the Board of Directors ratify and authorize
disbursements in the amount of $3,020,900.39.
8.3. Progress Payment No. 10 for Construction of the Hidden Hills Reservoir
Project
Recommendation. That the Board of Directors approve Progress
Payment No. 10 in the net amount of $733,167.00 to Pacific
Hydrotech Corporation for Construction of the Hidden Hills
Reservoir Project, Job No. 200028.
8.4. Progress Payment No. 23 for the Highland Reservoir Replacement Project
Recommendation. That the Board of Directors approve Progress
Payment No. 23 in the net amount of $339,405.18 to Schuler
Engineering Corporation and 10% retention of $37,711.69
deposited to Citizens Business Bank escrow account for
construction of the Highland Reservoir Replacement Project, Job
No. 200309.
9. ACTION CALENDAR
9.1. Urgent Pipeline Replacement Project, Ohio Street North of Yorba Linda
Boulevard
Mr. Conklin explained that there had been a water main break on Ohio
Street last weekend and that street repairs had been completed today.
Staff recommends replacement of this pipeline due to age and has begun
negotiations with Tetra Tech, Inc. Director Summerfield stated that this
matter had been reviewed by the Planning-Engineering-Operations
Committee. The Committee instructed staff to identify other aging
pipelines within the District's water distribution system and develop a
replacement plan. Director Mills stated that replacement of these
pipelines had also been identified in the Asset Management Plan.
On a motion by Director Collett, seconded by Director Beverage, the
Board voted 5-0 to authorize issuance of a Professional Services
Agreement for engineering services with Tetra Tech, Inc. for the Ohio
Street Pipeline Replacement Project, with a scope of work and fee for
services to be negotiated by District staff and the General Manager,
followed by ratification by the Board.
Mr. Vecchiarelli stated that staff would be presenting the Asset
Management Plan to the Board at the next regular meeting. Staff also
plans to provide the Board with related recommendations and a proposed
three year Capital Improvement Plan at the upcoming workshop meeting.
Director Beverage requested that staff provide the Board with a street map
identifying the various systems in need of replacement. Mr. Vecchiarelli
responded that the Asset Management Plan would include these maps.
5
9.2. Well 5 Pump Installation for the Well Rehabilitation Project
Mr. Conklin explained that there were several wells currently out of
operation and staff had obtained quotes and executed an agreement with
Layne Christensen Company to install pumping equipment for Well 5.
Staff is requesting Board ratification for this action.
On a motion by Director Collett, seconded by Director Beverage, the
Board voted 5-0 to ratify execution of an Agreement with Layne
Christensen Company in the amount of $51,249 for the installation of Well
5 pumping equipment as part of the Well Rehabilitation Project.
9.3. Mitigated Negative Declaration, Highland Booster Station Replacement
Project
Mr. Conklin explained that an Initial Environmental Study under the
California Environmental Quality Act had been prepared for the Highland
Booster Station Replacement Project. Staff is requesting that the Board
adopt the associated Mitigation Monitoring and Reporting Plan.
On a motion by Director Hawkins, seconded by Director Summerfield, the
Board voted 5-0 to (1) adopt the Mitigation Monitoring Plan; (2) find and
declare that the proposed project, with incorporation of the mitigation
measures per the Mitigation Monitoring and Reporting Plan, will not have
a significant effect on the environment of the YLWD service area, and (3)
authorize staff to file a Notice of Determination for the project.
9.4. Brand Name Requirement for Highland Booster Station Project
Mr. Conklin explained that staff had determined that several components
and manufactured parts for the Highland Booster Station Project would
need to be brand name so they matched other products already in use in
District's water distribution system. These components and parts will be
identified in the bid documents.
On a motion by Director Beverage, seconded by Director Collett, the
Board voted 5-0 to approve the Brand Name Requirement for the
Highland Booster Station Project for the items listed on Exhibit A of the
staff report.
9.5. Records Retention Policy
Mr. Grady explained that staff had worked closely with a knowledgeable
consultant to develop an updated records retention policy. The proposed
policy has been reviewed by the Executive-Administrative-Organizational
Committee.
On a motion by Director Collett, seconded by Director Beverage, the
Board voted 5-0 on a Roll Call to adopt Resolution No. 10-08 Adopting a
Records Retention Schedule and Authorizing Destruction of Certain
District Records and Rescinding Resolution No. 95-04.
Item No. 10.1. was taken out of order.
6
11. REPORTS, INFORMATION ITEMS AND COMMENTS
11.1. President's Report
None.
11.2. Directors' Reports
MWDOC Infrastructure Tour - March 26, 2010 (Summerfield)
Director Summerfield provided the Board with a brief report regarding his
attendance on this tour.
11.3. General Manager's Report
2010 Children's Water Education Festival - March 25, 2010
Mr. Vecchiarelli and Mr. Micalizzi reported on the District's participation in
this event and summarized staff's plans for the festival next year.
Mr. Vecchiarelli reported that the Board was invited to attend a staff
potluck lunch on April 22, 2010 at 11:30 a.m. as well as the District
Employee's Appreciation Picnic on May 8, 2010 from 11:30 a.m. to 3:30
p.m. at Tri City Park in Placentia.
11.4. General Counsel's Report
Mr. Kidman reported that he would provide staff with a legislative report
later that week. Mr. Kidman summarized a few of the bills examined in his
report including AB1739, AB2409 and AB1955. Mr. Kidman then
commented on his working relationship with Russell Behrens who serves
as legal counsel for MWDOC.
11.5. Future Agenda Items and Staff Tasks
None.
12. COMMITTEE REPORTS
12.1. Executive-Administrative-Organizational Committee
(Mills/Beverage) Alternate: Collett
Meeting scheduled April 20, 2010 at 4:00 p.m. was rescheduled to April
16, 2010 at 9:00 a.m.
12.2. Finance-Accounting Committee
(Summerfield/Collett) Alternate: Mills
Meeting scheduled April 12, 2010 at 4:00 p.m. Director Mills will attend in
place of Director Summerfield.
12.3. Personnel-Risk Management Committee
(Collett/Hawkins) Alternate: Summerfield
Meeting scheduled April 13, 2010 at 4:00 p.m.
7
12.4. Planning-Engineering-Operations Committee
(Mills/Summerfield) Alternate: Beverage
Minutes of the meeting held April 1, 2010 were provided in the agenda
packet. Directors Mills and Summerfield attended. Matters discussed
during the meeting were as follows: Monthly Groundwater Production and
Purchased Import Water Report; Monthly Preventative Maintenance
Program Report; Urgent Pipeline Replacement Project, Ohio Street North
of Oriente Drive; Well 5 Pump Installation for the Well Rehabilitation
Project; Mitigated Negative Declaration, Highland Booster Station
Replacement Project; Brand Name Requirement for Highland Booster
Station Project; Monthly Groundwater Producers Meeting Report; Capital
Improvement and Replacement Projects Budget; and Status Report on
Capital Projects in Progress.
Meeting scheduled May 6, 2010 at 4:00 p.m. Director Beverage will
attend in place of Director Summerfield.
12.5. Public Information -Technology Committee
(Beverage/Hawkins) Alternate: Summerfield
Minutes of the meeting held April 6, 2010 were provided at the meeting.
Directors Beverage and Hawkins attended. Matters discussed during the
meeting were as follows: Ohio Street Construction Community Outreach;
District Participate in 20100 Water Education Festival; Options for Bottling
District Water; Draft FY 2010/11 PI Budget; Conservation Ordinance
Monthly Statistics; Public Outreach Activities; Utility Billing Software
Implementation Status and Payment Lockbox Services; Draft FY 2010/11
and IT Budget; IT Projects Monthly Status.
Meeting scheduled May 4, 2010 at 4:00 p.m.
12.6. MWDOC/OCWD Ad Hoc Committee
(Mills/Beverage) Alternate: Collett
Meeting scheduled May 25, 2010 at 4:00 p.m.
12.7. Citizens Advisory Committee
(Directors Rotate Attendance)
Minutes of the meeting held March 29, 2010 were provided at the meeting.
Director Beverage attended. Matters discussed during the meeting were
as follows: Introduce Director Beverage, CAC Members and Visitors
Present; Introduce Engineering Department, Construction Section;
Recognition of CAC Members; Request for Proposals for Cost of Service
and Water Rate Study; District Presence on Facebook and Twitter; and
Status Report on Conservation Efforts.
Meeting scheduled April 26, 2010 at 8:30 a.m. (Summerfield)
8
13. INTERGOVERNMENTAL MEETINGS
13.1. YL City Council -April 6, 2010 (Mills)
Director Mills was unable to attend.
13.2. MWDOC/MWD Workshop - April 7, 2010 (Staff)
Staff did not attend.
13.3 OCWD Board - April 7, 2010 (Staff)
Staff did not attend.
14. BOARD OF DIRECTORS ACTIVITY CALENDAR
14.1. Meetings from April 9, 2010 -May 31, 2010
The Board reviewed the listed meetings and changed the time for the
workshop meeting scheduled April 30, 2010 from 8:30 a.m. to 9:00 a.m.
15. CONFERENCES AND SEMINARS
15.1. OC Water Summit- May 14, 2010
On a motion by Director Beverage, seconded by Director Collett, the
Board voted 5-0 to authorize Directors and such staff members of the
District as approved by the General Manager to attend the event.
Item No. 16.1 was taken out of order. r _1W
17. ADJOURNMENT
17.1. The meeting was adjourned at 12:28 a.m. The next regular meeting of the
Board of Directors will be held April 22, 2010 at 8:30 a.m.
Nah,
Ken Vecchiarelli
Board Secretary
9
ITEM NO. 7.2
AGENDA REPORT
Meeting Date: April 22, 2010 Budgeted: Yes
Total Budget: N/A
To: Board of Directors Cost Estimate: $802,854.67
Funding Source: All Funds
From: Ken Vecchiarelli, General Account No: N/A
Manager
Job No: N/A
Presented By: Stephen Parker, Finance Dept: Finance
Director
Reviewed by Legal: N/A
Prepared By: Maria Trujillo, Accounting CEQA Compliance: N/A
Assistant I
Subject: Payments of Bills, Refunds, and Wire Transfers
SUMMARY:
Section 31302 of the California Water Code says the District shall pay demands made against it
when they have been approved by the Board of Directors. Pursuant to law, staff is hereby
submitting the list of disbursements for Board of Directors' approval.
STAFF RECOMMENDATION:
That the Board of Directors ratify and authorize disbursements in the amount of $802,854.67.
DISCUSSION:
The major items and wire transfers on this disbursement list are as follows: A check of $48,320.04
to Southern California Edison for March 2010 electricity at multiple sites; a check of $84,600.45 to
ACWA-HBA for May 2010 health premiums; a check of $44,734.65 to Carollo Engineers for March
2010 services rendered on various projects; and a check of $48,637.21 to MWH Americas
Incorporated for March 2010 services rendered for the Highland Booster Pump Station project. The
balance of $340,079.11 is routine invoices. ADP issues our payroll checks, with the exception of the
third party checks. The Accounts Payable check register total is $566,371.46; Payroll No. 7 total is
$236,483.21; and, the disbursements of this agenda report are $802,854.67. A summary of the
checks is attached.
PRIOR RELEVANT BOARD ACTION(S):
The Board of Directors approves bills, refunds and wire transfers semi-monthly.
ATTACHMENTS:
Name: Description: Type:
CkReg42210 BOD.pdf Check Register Backup Material
10-CS 422.pdf Cap Sheet Backup Material
Approved by the Board of Directors of the
Yorba Linda Water District
4/22/2010
MB/RC 5-0
RC abstained from voting on Check No.
53948 as he had a financial interest in the
company.
Yorba Linda Water District
Check Register
For Checks Dated: 4/9/2010 thru 412212-0110
Check No. Date Vendor Name Amount Description (525k or greater)
53867 04/22/2010 Abbott Staffing Group, Inc. 3,717.90
53868 04/22/2010 ACWA-MBA 84,600.45 Health premium May 2010
53S69 04/22/2010 American Ground Water Trust 430.00
53870 04/22/2010 Anaheim Wheel & Tire 15.00
53871 04/22/2010 Anthem Blue Cross FAP 167.20
53872 04/22/2010 Apollo Technologies Inc. 380.00
53873 04/22/2010 Aramark Uniform Services, Inc 179.64
53874 04/22/2010 Associated Laboratories 3,352.20
53865 04/22/2010 Austin/Jones Corporation 806.26
53547 04/13/2010 Auto Glass Tech -268.56
53875 0412212010 Auto Gia55 Tech 268.56
53876 04/22/2010 AW Direct Inc. 673.40
53877 04/22/2010 AVVWA - Dues 82.00
53879 04/22/2010 B & M Lawn and Garden Inc 209.49
53878 04/22/2010 Battery SystemS 333.43
53880 04/22/2010 Brithinee Electric 8,820.71.
53881 04/22/2010 Butier Engineering Inc 26,050.00 Hidden Wills Fees Mar 2010
53895 04/22/2010 C. Wells Pipeline 124.79
53882 04/22/2010 CA Department Of Public Health 3,360.40
53883 04/22/20101 Cal Society-Municipal finance 66,00
53884 04/22/2010 Carallo Engineers 44,734.65 March 2010 various jobs
53885 04/22/2010 CDM, Inc. 5,333.16
53886 04/22/2010 COW Government, Inc 125.59
53887 04/22/2010 Chambers Group Inc. 543.65
53889 04/22/2010 City Of Anaheim 4,979.94
53890 04/22/2010 City Of Placentia 4,064.99
53891 04/22/2010 City Of Placentia 300.00
53892 04122/2010 Cogsdale Services Corporation 10,466.25
53893 04/22/2010 CS-amsco 4,871.98
53894 04/22/2010 Culligan 1,690.20
53896 04/22/2010 Dan Copp Crushing Corp. 10.00
53897 04/22/2010 Dartco Transmission 5aies 516.28
53900 04/22/2010 Dean Criske Trucking 1,733.03
53898 04/22/2010 Dell Marketing L.P. 2,314.1.1
53899 04/22/2010 DeltaCare USA 394.48
53901 04/22/2010 Eagle Aerial Photography 12,964.06
53866 04/22/2010 Earthtek Engineering 920.00
53902 04/22/2010 Eisel Enterprises, Inc. 621.24
53903 0412212010 Forestry Suppliers, Inc. 180.43
53810 04/13/2010 Foundation For Crass-Connectio -900.00
53904 04/22/2010 Foundation For Crass-Connectio 720.00
53905 04/22/2010 Fry's Electronics 70.60
53906 04/22/2010 Fullerton Paint & Flooring 169.26
53907 04/22/2010 Georgina Knight 100.00
53864 04/22/2010 Haitbrnk Asphalt Paving Inc 924.72
53908 04/22/2010 HD Supply Waterworks, Ltd. 10,715.80
53909 04/22/2010 Horne Depot Credit Services 667.97
5391.0 04/22/201.0 HSBC Business Solutions 836
53911 04/22/2010 ID Modeling, Inc. 30,032.50 Sewer Master plan March 2010
53912 04/22/2010 images by GMi€ler 114.08
53913 04/22/2010 Infosend Inc- 5,540.48
53914 04/22/2010 INTEROP 195.00
53915 04/22/2010 ISDOC (independent Special Dist OC) 16.00
53916 04/22/2010 Jackson's Auto Supply - Napa 1,266.02
53917 04/22/2010 Jameco Electronics 340.48
53918 04/22/2010 Jobs Available 420.00
53919 04/22/2010 Joyce Dale Consulting; 1,973.00
53920 04/22/2010 Karen Shea 146.32
53921 04/22/2010 KB Design 16.31
53922 04/22/2010 Konica Minolta Business 286.07
53923 04/22/2010 Light Bulbs Etc 34.58
53924 0412212010 Marina Landscape, Inc 13,360.57
53925 0412212010 Mc Cormick,Kidman & Behrens I.LP 27,161.51 March 2010 services
53926 04/22/2010 Mc Master-Carr Supply Co. 26.89
53927 04/22/2010 Merchants Building Maintenance LLC 5,993.13
53928 04/22/2010 Minuteman Press 81.56
53929 04/22/2010 Mobile Hose & Hydraulic Supply 179.40
53931 04/22/2010 MWH Americas, Inc. 48,637.21 Highland Booster March 2010
53930 04/22/2010 MWH Soft Inc 12,000.00
53932 04/22/2010 Nickey Petroleum Co 4,529.13
53933 0412212010 Nobel Systems 6,240-00
53934 0412212010 Occu-Med, Ltd. 342.50
53935 04/22/2010 Office Solutions 259.37
53936 04/22/2010 Orange Coast Petroleum Equip. 74.86
53937 04/22/2010 OrangeCounty - Auditor/font 202.00
53939 0412212010 Orange County - Eire Authority 256.00
53940 04/22/2.010 Orange County - I W M D 948.06
53938 04/22/2010 Orange County Hose Co. 247.88
53941 04/22/2010 Orange Tool & Industrial Supply 383.78
53942 04/22/2010 Overland, Pacific, & Cutler Inc: 35.00
53943 04/22/2010 Pacific Coast Tool & Supply 1,808.77
53944 0412212010 Pacific Parts & Controls, Inc. 1,222.37
53945 04/22/2010 PARMA 100.00
53946 04/22/2010 Parts Source Anaheim 67.87
53863 44/09/2010 Paulus Engineering Inc. 26,959.44 San Antonio PRS final retentn
53947 04/22/2010 PC World 24.95
53948 04/22/2010 Placentia Disposal #676 506.76
53888 04/22/2010 Platinum Consulting Group 6,063.75
53949 04/22/2010 Praxair Distribution 41.92
53950 0412212010 Pressure Systems/KPSI 1,103.09
53951 04/22/2010 Prudential Group Insurance 2,692.61
53956 04/22/2010 R J Services, Inc 4,386.08
51,952 0412212010 Red Rider Informatics 1,679.00
53953 04/22/2010 Refrigeration Supplies 67.66
53954 04/22/2010 Reynaldo Tobias 159.00
53955 04/22/2010 Ricardo DeAnda 222.55
53957 04/22/2010 Sancon Engineering inc. 21,235.00
53958 04/22/2010 Scott W. Moulton 5,078.75
53959 04/22/2010 Security Solutions 8,497.18
53960 04/22/2010 Shape Products Co. 171.77
53961 04122/2(110 Shred-It USA Inc 72.15
53962 04/22/2010 Siemens Industry, Inc. 3,454.92
53963 0412212010 Siemens Water 286.63
53964 04/22/2010 South Coast AQMD 2,843.24
53862 04/09/2010 Southern Calif Edison Co. 48,320.04 March 2010 all sites
53965 04/22/2010 Southern Calif Edison Co. 243.22
53966 04/22/2010 Southern Calif Gas Co. 9,498.44
53967 04/22/2010 Stacy Baval/Petty Cash 206.38
53969 04/22/2010 Stanley Convergent Security 591,00
53968 04/22/2010 Staples Business Advantage 124.67
53970 04/22/2010 Surtstate Equipment Co 39.15
53971 04/22/2010 Traffic Control Service, Inc 47.50
53974 04/22/201.0 U 5 Bank Trust National Assn. 2,500.00
53972 04/22/2010 Underground Service Alert 190.50
5:3973 04/22/2010 United Industries 201.28
53975 04/22/2010 Verizon wireless 689.40
53976 04/22/2010 Village Nurseries 51.77
53977 04/22/2010 Wells Supply Co 10,157.76
53978 04/22/2010 Xerox Corporation 1,191.29
53979 04/22/2010 Yorba Linda Hardware 24.69
Total $566,371,46
April 22, 2010
CHECK NUMBERS:
Void Checks 53447 and 53810 $ (1168.56)
Manual Checks 53862 - 53863 $ 75,279.48
Computer Checks 53864 - 53979 $ 492,260.54
TOTAL OF CHECKS $ 566,371.46
PAYROLL NO. 7: (including ADP checks):
District Manual Checks 4456 - 4464 $ 236,483.21
DISBURSEMENT TOTAL: $ 802,854.67
APPROVED BY THE BOARD OF DIRECTORS MINUTE ORDER AT BOARD
MEETING OF APRIL 22, 2010
ITEM NO. 7.3
AGENDA REPORT
Meeting Date: April 22, 2010 Budgeted: Yes
Total Budget: $120,000
To: Board of Directors Cost Estimate: $112,000
Funding Source: All Water Funds
From: Ken Vecchiarelli, General Account No: 400401
Manager
Job No: J-200909
Presented By: Steve Conklin, Engineering Dept: Engineering
Manager
Reviewed by Legal: No
Prepared By: Hank Samaripa, Project CEQA Compliance: N/A
Engineer
Subject: Asset Management Plan, Final Report
SUMMARY:
Carollo Engineers has completed the final version of the Yorba Linda Water District's Asset
Management Plan (AMP), incorporating review comments from the Board and staff. A copy of the
Executive Summary is attached. The Final AMP Summary Report has identified all of the District's
capital assets, the current condition of each, the risk profiles, and the long-term Rehabilitation and
Replacement (R&R) funding requirements.
STAFF RECOMMENDATION:
That the Board of Directors receive and file the final Asset Management Plan, dated April 2010.
DISCUSSION:
Carollo Engineers presented the draft Yorba Linda Water District Asset Management Plan (AMP) at
a Board Workshop on Monday March 8, 2010. Since that workshop, Carollo Engineers has received
review comments, and prepared the AMP Final Summary Report dated April 2010. Staff will utilize
the AMP to assist in the planning and scheduling of asset replacement and refurbishment, and in
the development of funding alternatives and financial plans to support a responsible R&R/Asset
Management Program.
PRIOR RELEVANT BOARD ACTION(S):
On August 13, 2009, the Board of Directors approved execution of a Professional Services
Agreement with Carollo Engineers in the amount of $112,000 for engineering support services for
the District's Asset Management Plan. The Board received a presentation and discussed the
preliminary results of the Asset Management Plan at a workshop on Monday, March 8, 2010.
ATTACHMENTS:
Name: Description: Type:
AMP Final Report 040510.pdf AMP Final Report 04/05/10 Backup Material
Approved by the Board of Directors of the
Yorba Linda Water District
4/22/2010
MB/RC 5-0
Q~pFESSlO~yq
ti~ ~ Oyu
3
Yorba Linda Water District
~P
gTF 0 AL~Ep ASSET MANAGEMENT PLAN
SUMMARY REPORT
Signed: 4/2/2010 FINAL
April 2010
4C
Engineers. -Working Wonders With Water
10540 TALBERT AVENUE • SUITE 200 EAST • FOUNTAIN VALLEY, CALIFORNIA 92708 • (714) 593-5100 • FAX (714) 593-5101
pw://Carollo/Documents/ClienUCA/YLWD/8343A00/Deliverables/AMP Summary Report TOG Draft (D)
Yorba Linda Water District
ASSET MANAGEMENT PLAN
SUMMARY REPORT
TABLE OF CONTENTS
Paste No.
CHAPTER 1 - EXECUTIVE SUMMARY
1.1 ASSET MANAGEMENT VISION ............................................................................1-1
1.2 ASSET INVENTORY AND ASSESSMENT 1-2
1.3 ASSET REPLACEMENT COST .............................................................................1-2
1.4 R&R RESERVE FUNDING PLAN 1-7
1.5 ASSET MANAGEMENT INFORMATION SYSTEMS AND IMPLEMENTATION
RECOMMENDATIONS ........................................................................................1-11
CHAPTER 2 - ASSET MANAGEMENT VISION
2.1 ASSET MANAGEMENT OVERVIEW 2-1
2.1.1 Purpose for Asset Management Plan 2-5
2.1.2 Asset Management Methodology 2-5
2.1.3 Expected asset management outcomes 2-6
2.2 YLWD ASSET MANAGEMENT VISION 2-6
2.2.1 Level of Service Goals 2-6
2.2.2 Asset Vulnerability and Criticality Factors 2-7
2.2.3 Proposed Performance Measures 2-8
CHAPTER 3 - ASSET INVENTORY AND ASSESSMENT
3.1 ABOVE-GROUND ASSET INVENTORY AND ASSESSMENT 3-1
3.1.1 Asset Inventory 3-1
3.1.2 Condition Assessment Methodology 3-1
3.1.3 Vulnerability ................................................................................................3-2
3.1.4 Condition Assessment Findings 3-4
3.1.5 Criticality 3-7
3.1.6 Risk Assessment 3-9
3.2 BELOW-GROUND ASSET INVENTORY AND ASSESSMENT 3-10
3.2.1 Asset Inventory 3-10
3.2.2 Condition Assessment 3-10
3.2.3 Vulnerability 3-17
3.2.4 Criticality 3-19
3.2.5 Risk Assessment 3-20
CHAPTER 4 - ASSET REPLACEMENT COST
4.1 GENERAL 4-1
4.2 ABOVE-GROUND ASSETS 4-2
4.2.1 Cost Basis and Assumptions ......................................................................4-2
4.2.2 Cost Summary 4-2
4.2.3 Replacement Timing Summary 4-2
April 2010 - FINAL i
pwJ/CarolblDocuments/ClienVCAIYLWD/8343A00/Deliverables/AMP Summary Report TOC Draft (D)
Chapter 1
EXECUTIVE SUMMARY
1.1 ASSET MANAGEMENT VISION
In the fall of 2009, the Yorba Linda Water District initiated its Asset Management Plan
(AMP) in order to validate the District's investments in its water and wastewater facilities.
Through an Asset Management Visioning Workshop, the District refined its risk-based
approach, criticality ranking, performance metrics, and determined expected outcomes of
the program. The objectives of the AMP are to:
• Evaluate and update the District's existing asset inventory.
• Identify capital assets in need of replacement funding and determine replacement
timing.
• Prioritize the rehabilitation and replacement (R&R) of assets through a risk-based
framework - assessment of the asset's vulnerability and criticality - for the water and
wastewater systems.
• Develop policy options for annual funding contributions to the District's capital
reserve accounts.
During the Visioning Workshop, the District decided to review and adopt performance
metrics developed by the American Water Works Association and the Water Environment
Federation. As the AMP continues, the District will review these performance metrics and
select those that are relevant for the District in the categories of employee efficiency and
health, customer service., financial management, technical/engineering, operations and
maintenance, and regulatory compliance.
The AMP methodology and work products developed throughout the visioning process can
be outlined in the following three steps:
1. Asset Inventory and Condition Assessment - Completion of an asset inventory
and asset condition assessment (including criticality, vulnerability, and prioritization
of repair/replacement based on risk).
2. Asset Valuation and Replacement Schedule - Determination of asset values and
renewal costs; development of Asset Replacement CIP for Ten-Year, Twenty-Five-
Year, and Fifty-Year planning periods
3. Financial Analysis - Calculation of annual R&R Fund contributions for each
planning period; identification of funding policy options
April 2010 - FINAL 1-1
pw..#Carollo/DocumentslClient(CAIYLWD/ 343AOO/Deliverables/ES.docx
Following conclusion of the AMP, the District Board will consider the budget necessary for
future R&R projects.
1.2 ASSET INVENTORY AND ASSESSMENT
A visual condition assessment was conducted for all of the facilities except the under-
ground assets, which were assessed as part of a desktop exercise using GIS data and
available maintenance data. The visual condition assessment included a field evaluation of
key assets by a multi-discipline engineering team licensed and experienced in various fields
of engineering. The team assessed the District's wells, reservoirs, booster pump stations,
pressure reducing stations, interties and interconnections, water and sewer mains, and
manholes. The highest risk above-ground assets are shown in Table ES.1.
Table ESA Highest Risk Above-Ground Assets
Asset Management Plan
Yorba Linda Water District
Facility Asset Vulnerability Criticality Risk
Well No. 5 Well Pump 0.5 4.2 2.1
Richfield Base Chlorine Generator 0.1 6.7 0.84
Well No. 11 Well 0.2 4.2 0.83
Richfield Base Chlorine Injection 0.1 5.4 0.59
Well No. 11 Hypo Feed System 0.1 4.9 0.54
Well No. 15 Hypo Tanks 0.1 4.9 0.54
Richfield Base Data Center Servers 0.1 7.8 0.52
Richfield Base Hypo Tanks 0.1 6.7 0.50
Well No. 15 Chlorine Feed System 0.1 4.5 0.49
Richfield Base Chemical Metering Pumps 0.1 5.8 0.43
The highest risk below-ground water and sewer assets are shown in Tables ES.2 and ES.3,
and illustrated in the maps contained in Figures ES-1 and ES-2.
1.3 ASSET REPLACEMENT COST
The replacement values/costs presented within this report are estimates of the total project
cost to purchase and install similar assets in today's dollars. Replacement values are
comprised of both direct and indirect costs, which include the physical make-up of the
assets as well as contingency factors, respectively. The indirect costs consisting of
contingency factors, including demolition, general conditions, contractor overhead and
profit, sales tax, engineering/legal/administration, construction management, and ancillary
support, were applied to the direct cost to develop total project costs.
April 2010 - FINAL 1-2
pw://Carollo/DocumentslClient/CAIYLWD/8343AOO/Deliverables/ES.docx
Table ES.2 Highest Risk Below-Ground Water Assets
Asset Management Plan
Yorba Linda Water District
Facility ID Diameter Install Year Material Vulnerability Criticality Risk
210809055- 26 1928 SCP 1.00 7.15 7.15
450809017
210809054- 26 1928 SCP 1.00 7.15 7.15
210809055
210909323- 26 1928 SCP 1.00 7.15 7.15
210909326
210909327- 26 1928 SCP 1.00 7.15 7.15
210909321
210909473- 26 1928 SCP 1.00 7.15 7.15
450809018
210909441- 26 1928 SCP 1.00 7.15 7.15
210909473
210909315- 26 1928 SCP 1.00 7.15 7.15
210909327
210909399- 26 1928 SCP 1.00 7.15 7.15
210909441
210909400- 26 1928 SCP 1.00 7.15 7.15
210909399
210909326- 26 1928 SCP 1.00 7.15 7.15
210909400
210909321- 26 1928 SCP 1.00 7.15 7.15
210909323
211210162- 24 1924 SCP 1.00 7.15 7.15
211210163
450809017- 26 1928 SCP 1.00 7.15 7.15
210809023
210809023- 26 1925 SCP 1.00 7.15 7.15
450809018
211110006- 27 1924 GALV 1.00 7.15 7.15
251210411
251210411- 27 1924 GALV 1.00 7.15 7.15
211210263
Table ES.3 Highest Risk Below-Ground Sewer Assets
Asset Management Plan
Yorba Linda Water District
Facility ID Diameter Install Year Material Vulnerability Criticality Risk
601208239- 10 1962 CIP 0.056 4.9 0.272
611208050
611208049- 12 1962 CIP 0.056 4.9 0.272
611208050
601208236- 10 1962 CIP 0.056 4.9 0.272
611208049
April 2010 - FINAL 1-3
pw.//Carollo/Documents/ClienUCAIYLWD/8343ADO/Deliverables/ES.docx
Table ES.3 Highest Risk Below-Ground Sewer Assets
Asset Management Plan
Yorba Linda Water District
Facility ID Diameter Install Year Material Vulnerability Criticality Risk
611009044- 24 1962 VCP 0.019 7.6 0.143
611009043
611009029- 24 1962 VCP 0.019 7.6 0.143
611009044
611009057- 24 1962 VCP 0.019 7.6 0.143
611009056
611009042- 24 1962 VCP 0.019 7.6 0.143
611009057
610909009- 24 1962 VCP 0.019 7.6 0.143
610909029
610909010- 24 1962 VCP 0.019 7.6 0.143
610909009
611009076- 24 1962 VCP 0.019 7.6 0.143
610909010
611009056- 24 1962 VCP 0.019 7.6 0.143
611009076
611009043- 24 1962 VCP 0.019 7.6 0.143
611009042
Direct costs were developed from the recent bid data from reference projects, Carollo 313
Pipeline Model estimates, and the RS Means Construction Cost Index. These costs were
adjusted and confirmed using recent construction bid data provided by the District. A summary
of the total value of the District's water and sewer systems in 2009 dollars are shown in Table
ESA below.
Table ESA Summary of Value for Above- and Below-Ground Assets
Asset Management Plan
Yorba Linda Water District
System Value
Water Above-Ground $121,575,000
Water Below-Ground $331,996,000
Subtotal $453,571,000
Sewer Above-Ground $250,000
Sewer Below-Ground $205,853,000
Subtotal $206,103,000
Total of All Assets $659,674,000
Note:
(1) Estimated replacement costs are presented in 2009 dollars at the 20-cities average
ENR, or 8642. These costs include direct and indirect cost factors to estimate the total
project cost to replace an asset in-kind. Costs are prepared in accordance with AACE
International Class 4 estimates, with an expected accuracy range of -30% to +50%.
April 2010 - FINAL 1-4
pwJ/Carollo/DocumentslClienUCAIYLWDI8343AOOIDeliverables/ES.docx
211270162.211210163
LF 1i
251210411-211210263 ;
` 211110006-251210411
Risk Level
1 (Lowest Risk) j
2
4
5 (Highest Risk) i
210909316-210909327 Facility ID for Highest Risk Water Pipeline -
i~ ,
FIGURE ES-1: HIGHEST RISK 210909315-210909327
210909326.210909400
210909327-210909321 -
210909323.210909326
WATER PIPELINES 210909321-2109093231, 1
210908400-210909399
YORBA LINDA WATER DISTRICT ASSET MANAGEMENT PLAN 210909399-210909"1
210909441-210809473
- 210909473.450809018
210809023 450809018 -
450809017.210809023
210809054-210809055210809055-"0809017
r
o 387.5 775 i w ascwNER: OC C'mm-//^
ml.~ .tel.. w.l.e wmweCLAMWAa
Feel syewnYUiaOW pwtlMlwsnwn weamwYW.ombrAS NY-4.. e _ 6Nyheers..WarrMp ft- Vnur Wafer
NOT FOR CONSTRUCTION USE Pe..w.aemw Nwa ~boee,ewnbleb.wfearw,lie..m rl wir mn
1 .
El
F
INAL APRIL 2010
oe,
611208049.611208050F
1601208236-611208049 601208239-611208050
LL
Lisk Level { L -
1 (Lowest Risk)
2
611009029-611009044
4 -611009044.611009043
611009043-611009042 ~
5 (Highest Risk) -
611009042.611009057
611oo9o44.6116o9o43 Facility ID of Highest Risk Sewer Pipeline 611009057-611009056 f
611009056-611009076 - -
FIGURE ES-2: HIGHEST RISK SEWER PIPELINES
611009076-610909010
YORBA LINDA WATER DISTRICT ASSET MANAGEMENT PLAN . ,
- it - . - -
610909010-610909009
610909009{>10908029
- - arwN^
0 305 610 1.720 OISCWNER: •
Feel Mmp npnwb~Hnnl Jl arne.eamaobuw pr~onWrMhmwgmM dwbr
W
NOT FOR CONSTRUCTION USE ryWm Y~9M.DW paMb bM~mw•°EnN °nwtllM Obbkl0lS--bnol• iyNi ,xartrp VVtr^a tNM W.stcv
w.«r.d are.a~no...m+ba.a~dw. p.mra.wRUUa. FINALAPRIL2010
1.4 R&R RESERVE FUNDING PLAN
Carollo was asked to develop policy options for annual funding contributions to the District's
capital reserve accounts that would "assure the availability of funds for replacement and
refurbishment." Towards this effort, several reserve funding scenarios were developed, with
the goal of identifying the necessary annual funding contributions for the projects identified
in the AMP. Figure ES-3 shows the projected spending needs for both above- and below-
ground water and sewer assets for the long-term planning horizon.
Three planning horizons were developed for each reserve fund: short-term, medium-term,
and a long-term planning horizon. The years included in each planning horizon varied
between the water and sewer systems due to the variable useful lives of each system. The
results of the funding analysis are shown in Tables ES.5 and ES.6.
Of the three planning horizons, the short-term horizon is recommended for water assets
and the medium-term horizon is recommended for sewer assets, as explained in further
detail in Chapter 5. Figures ES-4 and ES-5 show the recommended water and sewer
funding scenarios, respectively.
Table ES.5 Water Funding Scenarios
Asset Management Plan
Yorba Linda Water District
Annual Funding Total Replacement Cost During
Planning Horizon Contribution Period
Short-Term (10 Years) $1. 5 million $14.3 million
Medium-Term (25 Years) $1. 5 million $30.9 million
Long-Term (50 Years) $6.1 million $308 million
Table ES.6 Sewer Funding Scenarios
Asset Management Plan
Yorba Linda Water District
Annual Funding Total Replacement Cost During
Planning Horizon Contribution(') Period
Short-Term (10 Years) $0 $25,000
Medium-Term (30 Years) $75,000 $7.1 million
Long-Term (50 Years) $275,000 $13.8 million
Note:
1 Contribution shown is in addition to the $1 per month per customer fee.
April 2010 - FINAL 1-7
pw.#Carollo/Documents/Client/CA(YLWD/8343AOO/Deliverables/ES.docx
$70,000,000 -
$60,000,000
$50,000,000 - - -
I
-Above-Ground Water
$40,000,000
-Above-Ground Sewer
Below-Ground Water
$30,000,000
-Below-Ground Sewer
$20,000,000
$10,000,000 - - -
$0 ,
N N N N N N N N N N f~/l M M IW cm Q O O O O O O O O O O O O O O O O O O O O O O O O O N1
N N N N N N N N N N N N N N N ON N N N N N N N N N N N N N N N N N N N N N N N N N N N N N N'
Figure ES.3
ESTIMATED WATER AND SEWER REPLACEMENT
COSTS BY YEAR THROUGH 2100
ASSET MANAGEMENT PLAN
YORBA LINDA WATER DISTRICT
y1wd410f448343.ai
$3,500,000
e
$3,000,000 Annual Contribution: $1,500,000
$2,500,000
$2,000,000
$1,500,000 -
$1,000,000 - - - - -
$500,000 - I
ry0 rt,0 ry0 ,ti0 ~O ~O ,y0 ,~O ,y0 ~O
-Recommended Expenditures -Annual Funding Contribution -Ending Fund Balance
L
Figure ES.4
ANNUAL CONTRIBUTIONS FOR THE WATER R&R RESERVE FUND
OVER THE SHORT-TERM PLANNING HORIZON (10 YEARS)
ASSET MANAGEMENT PLAN
YORBA LINDA WATER DISTRICT
y1wd41016-8343.ai
$7,000,000
Annual Funding Contribution: $75,000
$6,000,000
j~
$5,000,000
I
$4,000,000 -
I
$3,000,000
$2,000,000
$1,000,000
NN N11, oN'b d`t- oN<j oNt, oNA o'`° No ' otiA
-Recommended Expenditures -Annual Funding Contribution -Ending Fund Balance
Figure ES-5
ANNUAL CONTRIBUTIONS FOR THE SEWER R&R RESERVE FUND
OVER THE MEDIUM-TERM PLANNING HORIZON (30 YEARS)
ASSET MANAGEMENT PLAN
YORBA LINDA WATER DISTRICT
y1wd41 of8.8343.ai
1.5 ASSET MANAGEMENT INFORMATION SYSTEMS AND
IMPLEMENTATION RECOMMENDATIONS
As part of the AMP, a review of asset management information systems was conducted to
offer the District asset tracking and data management solutions. The District currently
employs a GIS database and Financial Information System (FIS) and is in the process of
developing a Computerized Maintenance Management System (CMMS). These systems
will continue to undergo continuous refinement and corrections made to the asset data as
discrepancies are discovered.
Potential tools include the Water/Wastewater Asset Manager (WAM), Below-Ground Asset
Manager, (BAM) and the Financial Planning Tool (FPT). These tools, developed by Carollo
Engineers, capture data and processes information for the major steps involved in
implementing an Asset Management Plan. The FPT integrates WAM and BAM asset data
into an analytical tool for financial planning and reporting of asset rehabilitation and
replacement needs. An analytical tool is also included to run scenarios of R&R reserve
funding for various planning "windows," in order to determine adequate levels of annual
reserve fund contributions versus reserve fund balances.
Concurrent with the development of other work products of the AMP, the District is
implementing enhancements to its asset management information systems. Enhancement
opportunities include improvements to GIS to ensure that all required fields, such as
installation date, material, and diameters, are being captured as new assets are added and
existing assets are being retired, rehabilitated or replaced. Furthermore, for above-ground
facilities, the new CMMS should be implemented as quickly as possible to capture a
complete asset inventory and similar information as the below-ground assets.
A second phase of implementation could include the integration of data from GIS and the
new CMMS into WAM/BAM for both above- and below-ground assets. Once the required
asset data is being captured by the District's information systems, and the integration of this
data for analysis and decision-making has been automated, a third phase of improvement
would be to implement an Asset Management Decision Support System that combines the
capabilities of WAM and BAM into an enterprise-wide system that supports sound
management and financial decisions for all levels of District staff.
In addition to the information system recommendations, this AMP discusses the activities
and methods for implementing and maintaining asset management at the District in the
future. Asset management activities have been detailed for each step of the asset lifecycle
in workflows that describe the recommended tasks and task owners for the District to
consider in implementing the AMP. The following items summarize the recommendations
for short-term activities that will best support the continued development of the AMP:
April 2010 - FINAL 1-11
pw:llCarolID D=mentstClienVCAIYLWD18343AOOIDeliverableslES.docx
• Assign AMP Manager and Steering Committee to guide further implementation and
support for the Asset Management Plan
• Define process for additions, updates, and corrections of asset data in GIS and future
CMMS
• Implement CMMS and integrate with FIS, CIS, and WAM/FPT for full lifecycle asset
data management
• Develop schedule for periodic asset condition and risk assessments for above and
below-ground assets
• Incorporate AMP R&R planning into annual CIP budgeting cycle and R&R reserve
funding strategies
April 2010 - FINAL 1-12
pw.//Camllo/Documents/ClienUCAIYLWD/8343A00/DeliverablestES.docx
ITEM NO. 7.4
AGENDA REPORT
Meeting Date: April 22, 2010 Budgeted: N/A
To: Board of Directors
Funding Source: N/A
From: Ken Vecchiarelli, General
Manager
Presented By: Stephen Parker, Finance Dept: Finance
Director
Reviewed by Legal: N/A
Prepared By: Stephen Parker, Finance CEQA Compliance: N/A
Director
Subject: Authorization to Invest in CaITRUST
STAFF RECOMMENDATION:
That the Board of Directors approve the transfer of funds from Wells Capital and California Asset
Management Program to CaITRUST.
COMMITTEE RECOMMENDATION:
The Finance-Accounting Committee discussed this item at its meeting held April 12, 2010 and
supports staff's recommendation.
DISCUSSION:
Wells Capital Management and CaITRUST representatives have presented the Finance-Accounting
Committee and the Board with information regarding the CaITRUST investment options. Staff
recommends using CaITRUST as an alternative to investments currently in Wells Capital
Management and the California Asset Management Program. Staff intends to utilize separate
accounts within CaITRUST to improve accounting of designated and reserved funds and to improve
investment returns by matching term maturity options to the District's cash flow needs.
PRIOR RELEVANT BOARD ACTION(S):
The Finance-Accounting Committee spoke with Keith Khorey, Senior Relationship Manager of
Wells Capital Management regarding the CaITRUST program during the February 17, 2010
Committee meeting. They also participated in a conference call with Lyle Defenbaugh, Director of
Client Relations for CaITRUST during the same meeting. The District's investment policy was
revised to authorize investments in CaITRUST by the Board's approval of Resolution No. 10-03 on
March 11, 2010. Lyle Defenbaugh and Keith Khorey made a presentation on CaITRUST to the full
Board at the April 8th Board meeting.
Approved by the Board of Directors of the
Yorba Linda Water District
4/22/2010
MB/RC 5-0
ITEM NO. 10.1
AGENDA REPORT
Meeting Date: April 22, 2010
Subject: Executive Administrative-Organizational Committee
(Mills/Beverage) Alternate: Collett
Minutes of meeting held April 16, 2010 at 9:00 a.m.
Meeting scheduled May 18, 2010 at 4:00 p.m. has been rescheduled to May
5, 2010 at 4:00 p.m.
ATTACHMENTS:
Name: Description: Type:
041610 EAO - Minutes.doc EAO Mtg Minutes 04/16/10 Minutes
MINUTES OF THE
YORBA LINDA WATER DISTRICT
EXEC-ADM IN-ORGANIZATIONAL COMMITTEE MEETING
April 16, 2010
A meeting of the Executive-Administrative-Organizational Committee was called to
order by Director Mills at 9:00 a.m. The meeting was held at the District's
Administrative Office at 1717 E. Miraloma Ave, Placentia CA 92870.
COMMITTEE STAFF
Director William R. Mills, Chair Ken Vecchiarelli, General Manager
Director Michael J. Beverage Stacy Bavol, Customer Service Mgr
Annie Alexander, Executive Secretary
Mr. Vecchiarelli requested that Item No. 3.3 be addressed at the beginning of the
meeting. The Committee agreed.
3. DISCUSSION ITEMS
3.3. Customer Feedback Report
The Committee reviewed the report prepared by Ms. Bavol and suggested
a few changes to the format. Director Mills requested that a bar graph
with historical data be included to show whether the results are an
improvement or not. Ms. Bavol stated that historical information would be
included in the next report if available.
Ms. Bavol left the meeting at this time.
1. PUBLIC COMMENTS
None.
2. ACTION CALENDAR
2.1. Assignment of Directors as Regular and Alternate Attendees for Citizens
Advisory Committee Meetings
The Committee discussed the purpose of the Citizens Advisory Committee
(CAC) and the possibility of assigning Directors to attend these meetings
on a permanent basis. Following discussion, the Committee requested
that staff provide options for Director attendance to the Board for
consideration at the meeting scheduled May 13, 2010.
2.2. Property Owner Continuous Water Service Agreement Draft
Mr. Vecchiarelli explained that several property owners had requested that
the District consider offering a continuous service agreement for property
owners. Legal counsel has reviewed the agreement and recommended
additional research into related matters. The Committee recommended
that the agreement be provided to the Board for consideration at the
meeting scheduled May 13, 2010.
1
2.3. America Water Works Association's (AWWA) QualServe Program
Mr. Vecchiarelli summarized the program and the benefits that would be
provided to the District. Following discussion, the Committee directed
staff to move forward with participating in this program. The Committee
also requested that staff brief the Board regarding this matter at the
meeting scheduled April 22, 2010.
3. DISCUSSION ITEMS CONTINUED
3.1. OCWD Annexation (Verbal Report)
Mr. Vecchiarelli reported on his attendance at a recent meeting held to
discuss this topic. Negotiations are continuing and staff plans to provide
the Committee with a draft Memorandum of Understanding (MOU) at the
next meeting. The Committee then rescheduled the next meeting to May
5, 2010 at 4:00 p.m. so they could review the draft MOU and provide input
prior to OCWD's Water Issue Committee meeting scheduled May 12,
2010.
3.2. City of Yorba Linda Sewers (Verbal Report)
Mr. Vecchiarelli reported that he had been contacted by staff from the City
of Yorba Linda regarding the possibility of exchanging the property on
Plumosa in return for the City's sewer system. The Committee
recommended that the City's request be presented to the Board for
consideration.
Item No. 3.3. was taken out of order.
3.4. Report on 2010 Legislative Bills
The Committee briefly reviewed the report. Director Beverage
commented on AB2409 and AB 1886.
3.5. General Counsel's Monthly Summary Billing Report
The Committee reviewed the report and noted that year-to-date costs
were down compared to the previous year. The Committee then briefly
discussed the District's agreement with legal counsel.
3.6. Future Agenda Items and Staff Tasks
No additional tasks were provided to staff at this time.
4. ADJOURNMENT
4.1. The Committee adjourned at 11:03 a.m. The next regular meeting of the
Executive-Administrative-Organizational Committee will be held May 5,
2010 at 4:00 p.m.
2
ITEM NO. 10.2
AGENDA REPORT
Meeting Date: April 22, 2010
Subject: Finance-Accounting Committee
(Sum merfield/Collett) Alternate: Mills
Minutes of meeting held April 12, 2010 at 4:00 p.m.
Meeting scheduled May 10, 2010 at 4:00 p.m. has been rescheduled to May
17, 2010 at 4:00 p.m.
ATTACHMENTS:
Name: Description: Type:
041210 FA - Minutes.doc FA Mtg Minutes 04/12/10 Minutes
MINUTES OF THE
YORBA LINDA WATER DISTRICT
FINANCE -ACCOUNTING COMMITTEE MEETING
April 12, 2010
A meeting of the Finance-Accounting Committee was called to order by Director Collett
at 4:00 p.m. The meeting was held at the District's Administrative Office at 1717 E
Miraloma Ave, Placentia CA 92870.
COMMITTEE STAFF
Director Ric Collett Ken Vecchiarelli, General Manager
Director William R. Mills, Alternate Stephen Parker, Finance Director
Cindy Navaroli, Consultant
1. PUBLIC COMMENTS
None.
2. ACTION CALENDAR
2.1. Authorization to Invest in CaITRUST
Mr. Parker discussed how establishing separate accounts in CaITRUST
would improve the accounting of designated and reserve funds while
helping to improve investment returns by matching term maturity options
to the District's short-term and long-term cash flow needs. The Committee
discussed the advantages of this investment vehicle at this time and
supported Staff's recommendation to authorize the transfer of funds from
Wells Capital and California Asset Management Program to CaITRUST.
The Committee and staff reviewed the objectives of maximizing
investment returns while maintaining the security levels established by law
and reinforced by the District's investment policy, while also achieving
adequate liquidity to meet the District's capital projects financing needs.
2.2. February Budget to Actual Results
Mr. Parker presented the February budgeted results and noted that
operating revenues are 64% of budgeted revenue as a result of
conservation efforts year to date, trending 7% greater than the budgeted
10% conservation. He also reported that variable expenses are 56% of
budgeted expenses due to the same conservation efforts and due to
operational strategies that lowered costs during the high usage months of
the summer. Mr. Vecciarelli added that he anticipated the larger use
months coming up to eat away at some of the year to date variable
expenses savings, but that we should still end the year below budget in
both operating revenues and variable expenses. The Committee asked
where we were expecting to end the year, and Ms. Navaroli indicated that
we were on pace to meet our bond covenant rate. The Committee
accepted the monthly investment report.
1
2.3. Monthly Investment Report for February
Mr. Parker presented the monthly investment reports and noted changes
that had been made to the Investment Summary Comparison section to
show more readily the different designations that had been made on
District investments. The Committtee asked if there were any other
investment options for Bond proceeds invested in money market accounts
and Mr. Parker explained that the Official Statement of the 2008 Revenue
Bonds restricted investments to a very conservative pool of investment
options. The Committee accepted the monthly investment report.
3. DISCUSSION ITEMS
3.1. Monthly Portfolio Reports for February
Mr. Parker presented the monthly portfolio reports received from Wells
Capital and indicated that the March amounts had just been received and
the portfolio yield to maturity is trending down from 0.71% in February to
0.68% in March.
3.2. Budget Calendar Update and Progress Report
Mr. Parker presented a revised budget calendar. Revisions from the
calendar presented in the previous Committee Meeting held March 15,
2010, reflected the establishment of the April 30th date for a Board
Workshop to discuss budget information and reserve fund discussion.
3.3. Preliminary 2011 Budget Numbers
Mr. Parker presented draft numbers for the 2011 budget. Mr. Parker
noted that Staff had been diligent to reduce supplies and services
expenses by over 6.7% from the FY 2009/10 budget. Factoring out large
expenses of $80,000 for the Board Election and $100,000 for a CEQA
study for the OCWD Annexation, would bring the percentage decrease to
10.7%. Similarly, vehicle and capital equipment outlays deceased by 57%
compared to the 2009/10 budget. In addition, preliminary salary-related
expenses do not include any cost of living allowances, but do factor in
potential step increases for merit and required increases in other post-
employment pension expenses.
Mr. Parker indicated that the single largest increase in expense relates to
variable water costs, as Metropolitan Water District of Southern California
(MWD) is anticipating another increase effective January 1, 2011. Mr.
Parker indicated that Staff's preliminary budget assumptions included a
10% MWD increase, and would result in variable water costs being 6.9%
higher than the 2009/10 budget. In contrast, because no corresponding
rate increase was factored in on the revenue side, and our revenues
budget included the average conservation of the current fiscal year,
operating revenues decreased by 2.0% from the 2009/10 budget.
Mr. Parker informed the Committtee that using these preliminary figures,
the 2010/11 bond covenant calculation has the District significantly under
2
the required amount. Mr. Vecchiarelli reminded the Committee that the
Board has not relinquished it's ability to pass through increases from
MWD, and that such a pass-through increase could be spread throughout
the entire year rather than having to wait until January 1, 2011 when the
rate increase goes into effect. It was stressed that the information brought
before the Committee was preliminary numbers, but revealed that there
would be financial stresses on the District in the upcoming fiscal year. Mr.
Vecchiarelli stated that more refined numbers and options for funding the
budget would be presented at the Board Workshop later this month.
3.4. Proposed Reserve Discussions/Policies
Ms. Navaroli indicated that while the Board has designated various funds
for different purposes, the District does not have a formal reserve policy.
She explained that a Board-adopted reserve policy sends a positive signal
to ratepayers, bondholders, rating and regulatory agencies that the Board
is committeed to the District's long-term financial health and viability. She
further stated that prudent financial management dictates that the District
maintain appropriate reserves for a number of purposes inlcuding
emergency use, capital projects and legal obligations accruing on a
current basis that will be paid in the future. Ms. Navaroli went through a
number of reserves that local and similarly sized water districts utilized,
pointing out their methodology for its existence and size. She also
showed the District's current reserves as compared to those of other water
districts. The Committee suggested that when this information is
presented to the full Board that it include charts and graphs to help
simplify the concepts. The Committee recommended that the reserve
policy discussion be separated from the budget presentation on April 30tH
as there was a lot of discussion that would need to take place.
3.5. Future Agenda Items and Staff Tasks
None.
4. ADJOURNMENT
4.1. The Committee adjourned at 5:52 p.m. The next regular meeting of the
Finance-Accounting Committee is tentatively scheduled for May 17, 2010
at 4:00 p.m. Director Collett indicated that he had a conflict with that date,
and Mr. Vecchiarelli said that the actual date could be established at the
next Board meeting on April 22nd
3
ITEM NO. 10.3
AGENDA REPORT
Meeting Date: April 22, 2010
Subject: Personnel-Risk Management Committee
(Collett/Hawkins) Alternate: Summerfield
Minutes of meeting held April 13, 2010 at 4:00 p.m.
Meeting scheduled May 11, 2010 at 4:00 p.m.
ATTACHMENTS:
Name: Description: Type:
041310 PRM - Minutes.doc PRM Mtg Minutes 04/13/10 Minutes
MINUTES OF THE
YORBA LINDA WATER DISTRICT
PERSONNEL-RISK MANAGEMENT COMMITTEE MEETING
April 13, 2010
A meeting of the Personnel-Risk Management Committee was called to order by
Director Collett at 4:00 p.m. The meeting was held at the District's Administrative Office
at 1717 E Miraloma Ave, Placentia CA 92870.
COMMITTEE STAFF
Director Ric Collett, Chair Ken Vecchiarelli, General Manager
Director Phil Hawkins Gina Knight, Human Resources Mgr
1. PUBLIC COMMENTS
None.
2. ACTION CALENDAR
2.1. Proposed Authorized Positions for FY 2010/2011
Staff discussed for consideration with the Committee the proposed
authorized positions for FY 2010/2011. The Committee had several
questions, comments and suggestions related to the promotions of three
(3) existing Maintenance Worker I employees to Maintenance Dist.
Operator II and the reclassification of the GIS Technician to a GIS
Administrator. In addition staff informed the Committee about the
elimination of the Assistant Administrator I position from the authorized
positions list as well as possible title changes for the following existing
positions: Human Resources Manager and Public Information Specialist.
3. DISCUSSION ITEMS
3.1. Status of Recruitments and Authorized/Budgeted Positions
Staff gave an update on the following current recruitment: Sr. Accountant
as well as reporting of a job offer being accepted for a Maintenance
Worker I position with a tentative start date of April 26, 2010.
3.2. Status of Risk Management Activities
The Committee reviewed and discussed the updated activities log. Staff
reported on tort claims related to the Ohio and Villa Terrace water main
break of March 27, 2010. Also reported, was the Ethics and Brown Act
Training scheduled for April 27, 2010.
1
3.3. Salary Increases Based on Performance During FY 2009/2010 (Verbal
Report)
Staff gave a verbal report on the number of District employees that were
eligible for merit increases during Fiscal Year 2009/2010 and the statistical
results of the evaluations with respect to the step increases achieved.
3.4. Future Agenda Items and Staff Tasks
None.
4. ADJOURNMENT
4.1. The Committee adjourned at 5:30 p.m. The next regular meeting of the
Personnel-Risk Management Committee will be held May 11, 2010 at 4:00
p.m.
2
ITEM NO. 12.1
AGENDA REPORT
Meeting Date: April 22, 2010
Subject: Meetings from April 23, 2010 - May 31, 2010
ATTACHMENTS:
Name: Description: Type:
BOD - Activity Calendar.pdf BOD Activity Calendar Backup Material
Board of Directors Activity Calendar
Event Date Time Attendance by:
April 2010
Citizens Advisory Committee Meeting Mon, Apr 26 8:30AM Summerfield
Ethics and Brown Act Training Tue, Apr 27 10:OOAM
Yorba Linda Planning Commission Wed, Apr 28 7:OOPM Hawkins
ISDOC Selection Committee Meeting Thu, Apr 29 11:30AM Mills
Board of Directors Workshop Meeting Fri, Apr 30 9:OOAM
May 2010
Public Information-Technology Committee Meeting Tue, May 4 4:OOPM Beverage/Hawkins
Yorba Linda City Council Tue, May 4 6:30PM Mills
MWDOC/MWD Workshop Wed, May 5 8:30AM Staff
Exec-Admin-Organizational Committee Meeting Wed, May 5 4:OOPM Mills/Beverage
OCWD Board Wed, May 5 5:OOPM Staff
Planning-Engineering-Operations Committee Meeting Thu, May 6 4:OOPM Mills/Beverage
Company Picnic at Tri City Park in Placentia Sat, May 8 11:30AM
Personnel-Risk Management Committee Meeting Tue, May 11 4:OOPM Collett/Hawkins
Yorba Linda Planning Commission Wed, May 12 7:OOPM Collett
Board of Directors Regular Meeting Thu, May 13 8:30AM
Finance-Accounting Committee Meeting Mon, May 17 4:OOPM Summerfield/Collett
Yorba Linda City Council Tue, May 18 6:30PM Summerfield
MWDOC Board Wed, May 19 8:30AM Staff
OCWD Board Wed, May 19 5:OOPM Staff
Citizens Advisory Committee Meeting Mon, May 24 8:30AM Collett
MWDOC/OCWD Ad Hoc Committee Meeting Tue, May 25 4:OOPM Mills/Beverage
Yorba Linda Planning Commission Wed, May 26 7:OOPM Hawkins
Board of Directors Regular Meeting Thu, May 27 8:30AM
4/16/2010 11:29:49 AM