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HomeMy WebLinkAbout2023-11-21 - Board of Directors Meeting Minutes1. 2. 3. 4. MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS REGULAR MEETING Thursday, November 21, 2023, 8:30 a.m. 1717 E Miraloma Ave, Placentia CA 92870 PARTICIPATION INSTRUCTIONS Were included on the agenda. CALL TO ORDER The meeting was called to order at 8:30 a.m. PLEDGE OF ALLEGIANCE Human Resources Analyst Jacqueline Segura led the pledge. ROLL CALL DIRECTORS PRESENT STAFF PRESENT Brett R. Barbre, President Mark Toy, General Manager 2023-109 Trudi DesRoches, Vice President Phil Hawkins John DeCriscio, Operations Manager Delia Lugo, Finance Manager Tom Lindsey ALSO PRESENT Lori Thompson, Human Resources and Risk Manage Rosanne Weston, Engineering Manager Annie Alexander, Board Secretary Jacqueline Segura, Human Resources Analyst Joanna Gonzalez, Public Affairs Officer Andrew Gagen, General Counsel, Kidman Gagen Law LLP President Barbre noted that Director J. Wayne Miller, Ph.D. had resigned from the Board which would be addressed later in the agenda. 5.ADDITIONS/DELETIONS TO THE AGENDA General Manager Toy noted the following amendments to the agenda packet: Item No. 11 .2. Item No. 11.11. Item No. 12. l . Description for the disbursement to ACWA-JPIA should indicate the period of 10/01 /23 -09 /30/24. Needs to be removed from the agenda as the contractor has raised an issue that is currently under staff review. A cost estimate for a potential election was distributed to the Board and made available to the public. Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 2023-110 6.AB 2449 TELECONFERENCE REQUESTS (None) 7.PUBLIC COMMENTS (None) General Manager Toy recognized Human Resources Analyst Jacqueline Segura for being nominated as Employee of the Quarter for the first quarter of FY23-24. 8.ACTION CALENDAR 8.1. Annual Comprehensive Financial Report for Fiscal Year Ended June 30, 2023 Staff introduced Riley Greenlee, Assurance Manager for Lance, Soll & Lungard, LLP, who reviewed the interim and year-end fieldwork phases of the audit process. He noted that the District received an unmodified auditor's opinion and summarized the results of the audit, changes from the prior fiscal year, and key financial highlights. President Barbre requested the reference to "City" be changed to "District" on the cover letter of the Independent Auditors' Report. Mr. Greenlee then responded to questions regarding the purpose of various referenced GASB Statements and standard audit practices. President Barbre requested the following additional amendments: Letter to the Board of Directors and Customers Page 2 Page 3 Page 4 Page 6 Change Board meetings held "monthly" to "bi-monthly". Change "helicopter hydrants" to "heli-hydrants". Include note that "sewer maintenance charge" for sewer-only customers collected on property tax roll. Change fully operational month/year for PFAS Treatment Plant from "April 2023" to "April 2022". Change effective date of approved 5-year rate structure from "July 1, 2022" to "July 1, 2021 ". Director Barbre made a motion, seconded by Director Hawkins, to receive and file the Yorba Linda Water District Annual Comprehensive Financial Report for the Fiscal Year Ended June 30, 2023 including the requested amendments. Motion carried 4-0-0-0. Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 2 The following items were taken of order. 10.INTRODUCTIONS AND PRESENTATIONS 10.1. Elected Official Liaison Reports 2023-111 Yorba Linda Mayor Gene Hernandez commented on the positive benefits of joint agency committee meetings with YLWD and status of the Yorba Linda Housing Element. Placentia-Yorba Linda Unified School District Board Vice President Leandra Blades commented on a recent presentation by Mayor Hernandez and the proposed establishment of the Orange County School of Computer Science as a district-affiliated conversion charter school. 10.2. Funding Strategies for Transitioning Customers on Septic to Sewer Collection Staff introduced Paul Jones, P.E. and Jon Wells, P.E. of Dopudja & Wells, who outlined a proposal for conducting a Due Diligence Study for potential development of a septic to sewer conversion program for the District. This included an overview of related considerations and complexities of such a program in the District's service area, key objectives and scope of the Study, and associated project budget and schedule. Discussion touched on the estimated number of customers on septic in surrounding communities as compared to the District, potential need for extending the District's existing sewer lines, environmental circumstances resulting in mandated conversion, incentives for customer conversion, and the potential need for forming a sewer assessment district. Director Lindsey made a motion, seconded by Director Hawkins, instructing the General Manager to engage Dopdja & Wells to conduct a Due Diligence Study for a total fee not to exceed $54,575. Motion carried 4-0-0-0. President Barbre requested staff ensure that preliminary cost information for implementation of a septic to sewer conversion program is available for consideration during the FY24-25 budget process. 12.ACTION CALENDAR CONTINUED 12.4. Review of Encroachment Policy Gonzalo Diaz, resident, inquired as to the applicability of this policy to the proposed equestrian easement at Highland Reservoir and commented on his recent discussions with staff. Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 3 13. 2023-112 General Manager Toy clarified that this agenda item was for review of the District's Encroachment Policy and that feedback from residents regarding the proposed equestrian easement and other related matters would be presented for Board consideration and direction to staff at the regular meeting currently scheduled for December 14, 2023. Staff provided a brief overview of previous easement inspection efforts. Director Lindsey made a motion, seconded by Director Hawkins, to make no changes to the Encroachment Policy and for the Board to review the policy on an annual basis. President Barbre suggested that the policy be amended in Section 1.1. to include "agreements and agreements approved by minute action"; and that Section 3.2. reference "recorded" versus "written" easement. He also inquired as to why the City would be investigating and enforcing unpermitted encroachments as described in Section 4. 1 ., and suggested the policy include a procedure for staff to conduct follow-up site inspections. General Counsel Gagen suggested that Section 3.2. reference "written and/or recorded" easement. Motion carried 4-0-0-0 to adopt the policy including the suggested amendments. DISCUSSION ITEMS 13.1. Community Engagement and Outreach Activities Staff introduced Brian Lochrie, President, and Kelsey Eiben, Vice President, of CommunicationsLAB, and reviewed the District's communications goals, objectives, strategies, and recent outreach activities. Ms. Eiben provided an overview of the District's social media engagement efforts including the video series. Discussion touched on increasing the visibility of District capital improvement projects. Staff then reviewed planned outreach activities. Discussion continued on additional outreach activities and projects to be considered including.the installation of informational plaques on walking trails near District facilities and infrastructure tours for the public. 12.ACTION CALENDAR CONTINUED 12.1. Filling Vacancy on Board of Directors President Barbre reviewed the options available for filling the vacancy on the Board. Discussion followed regarding filling the vacancy by appointment and Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 4 2023-113 the schedule for posting the notice of vacancy, reviewing candidate applications, interviewing applicants, and appointing a successor. Director Lindsey made a motion, seconded by Director DesRoches, to fill the vacancy by appointment, post the notice of vacancy and application for appointment today, Tuesday, November 21, 2023 (due by December 27, 2023); review candidate applications on Monday, December 11, 2023 at 10:00 a.m.; perform first interviews on Tuesday, December 19, 2023 at 3:00 p.m.; perform second interviews on Thursday, January 4, 2024 at 9:00 a.m. if needed, and appoint a successor at the regular Board meeting on Thursday, January 11, 2024 at 8:30 a.m. Motion carried 4-0-0-0. President Barbre announced that Vice President DesRoches would be serving on the CIP Review Group in light of former Director Miller's resignation. 9.ADJOURN TO YORBA LINDA FINANCING AUTHORITY REGULAR MEETING The meeting was adjourned to the Financing Authority Regular Meeting at l 0:28 a.m. The meeting was reconvened at 10:31 a.m. 11.CONSENT CALENDAR President Barbre inquired as to the need for purchasing additional insurance for the employee benefits fair. Staff will obtain this information and report back to the Board. Director Hawkins made a motion, seconded by Director DesRoches, to approve the Consent Calendar with the previously noted amendment to Item No. 11.2. and exclusion of Item No. 11. 11. Motion carried 4-0-0-0. 11.1. Minutes of the Board of Directors Meetings Held September 7 -October 19, 2023 Recommendation: That the Board of Directors approve the minutes as presented. 11.2. Payments of Bills, Refunds, and Wire Transfers Recommendation: That the Board of Directors ratify and authorize disbursements in the amount of $4,890,587.72. 11.3 Unaudited Financial Statements for the First Quarter of Fiscal Year 2023-24 Recommendation: That the Board of Directors receive and file the Unaudited Financial Statements for the First Quarter of Fiscal Year 2023-24. Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 5 2023-114 11.4. Cash and Investment Report for the Period Ended September 30, 2023 Board of receive Report for Period 30, 2023. 11.5. Directors and General Manager Fees and Expenses Report for the First Quarter of Fiscal Year 2023-24 Board of for Quarter of Year 11.6. Terms and Conditions for Water Service with TIG 8 LLC for Tract 19183 Board of for for 11.7. Award of Construction Contract for Fiscal Year 2023-24 Sewer CIPP Rehabilitation Project Board of for PP for 11.8. Notice of Exemption for Camino De Bryant Waterline Replacement Project Phase l Board of of Recorder's for No. 11.9. Notice of Exemption for Fiscal Year 2023-24 Pressure Regulating Stations Replacement Project Board of of Orange for Pressure 11.10. Notice of Completion for BNSF Waterline Crossing at Veterans Village and South Highland A venue Project Board of of for Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 6 2023-115 The following item was removed from the agenda. 11.11. Notice of Completion for Well 22 Equipping Project Recommendation: That the Board of Directors authorize staff to file the /'.'otice of Completion for the WeU 22 Equipping Project, Job !'lo. 2009 22 #22. 12.ACTION CALENDAR CONTINUED 12.2. Amending Board of Directors Policies and Procedures Manual (Manual) General Manager Toy explained that based on General Counsel Gagen's email to the Board dated November 13, 2023, staff and Counsel were recommending the Board adopt the proposed amendments to the Manual to ensure that the District has a Harassment, Discrimination, Retaliation Prevention Policy (HDRP) that governs Board conduct. He also introduced Danny Yu, Partner, at Liebert Cassidy Whitmore, who was available for any related questions. Discussion followed regarding the proposed investigation process and potential alternatives, the results of the survey of other agencies' HDRP policies and copies thereof, the sufficiency of referencing Director compliance with all local/state laws and regulations pertaining to HDRP, addressing due process for a Director who may be the subject of a complaint, and ensuring that the Board retained the authority to govern itself. General Manager Toy noted that the purpose of the proposed amendments to this section of the Manual was to articulate a process for handling a complaint against a Director to help mitigate the District's liability exposure. Discussion continued regarding the proposed responsibility for initiating an investigation and engaging an outside investigator, deferring cons ideration of this matter until after the vacancy on the Board is filled, and reference made to a separate HDRP policy applicable to District employees. Also discussed were procedures currently contained within the Manual addressing the process for handling allegations of misconduct and their sufficiency, and other governmental agencies' inclusion of provisions applicable to elected officials in their employee HDRP policies. Consideration of this matter was deferred to the regular Board meeting on Thursday, January 25, 2024. Copies of other agencies' HDRP policies will be included in the agenda packet. (Consideration of this matter was subsequently rescheduled for consideration at the Thursday, February 22, 2024 regular Board meeting.) Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 7 14. 12.3. Request for Proposals (RFP) for General Legal Counsel Services 2023-116 Staff explained the purpose for engaging independent legal counsel to review the draft RFP and noted the proposed schedule for selection of a firm and awarding a contract. Discussion followed regarding the proposed scope of services and whether labor expertise should be compulsory versus highly desirable, the proposed required qualifications, identification of sub­ consultants, and the creation of a temporary sub-committee to review the submitted RFP's. Also discussed was requiring representation in Sacramento and Washington D.C., experience with California labor, public contract, prevailing wage, and health and safety regulations, in addition to familiarity with the state budget process. Further discussion touched on having broad requirements and qualifications to encourage firm participation in the RFP process. Directors will forward their proposed revisions to staff for incorporation in a second draft of the RFP for consideration at the regular Board meeting on Thursday, December 14, 2024. (This meeting was subsequently rescheduled to Tuesday, December 12, 2024.) REPORTS. INFORMATION ITEMS, AND COMMENTS 14.1. Director's Reports (None) Director Lindsey requested staff contact Yorba Linda Council Member Carlos Rodriguez regarding AQMD's proposed rule on emissions from linear generators. 14.2. General Manager's Report (Included in the agenda packet.) President Barbre requested staff provide Townsend Public Affairs' reports to the Board each month. 14.3. General Counsel's Report (None) 14.4. Future Agenda Items and Staff Tasks (None) 15.COMMITTEE REPORTS 15.1. lnteragency Committee with MWDOC and OCWD Miller / DesRoches -Next meeting will be scheduled when needed. 15.2. ·Joint Agency Committee with City of Yorba Linda Lindsey / DesRoches -Next meeting will be scheduled when needed. Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 8 2023-117 15.3. Joint Agency Committee with City of Placentia Lindsey/ DesRoches - Next meeting will be scheduled when needed. 15.4. Joint Agency Committee with City of Brea Barbre / Lindsey -Initial meeting yet to be scheduled. 15.5. Joint Agency Committee with Placentia-Yorba Linda Unified School District Barbre/ Lindsey-Next meeting will be scheduled when needed. 16.BOARD OF DIRECTORS ACTIVITY CALENDAR 16.1 Meetings from November 22 -December 31, 2023 16.2. Rescheduling Regular Board Meeting on Thursday, December 14, 2023 at 8:30 a.m. to Tuesday, December 12, 2023 at 8:00 a.m. Due to a schedule conflict, the Board agreed to reschedule the meeting. 16.3. Scheduling Dedication Ceremony for Well No. 22 This event was scheduled for Monday, December 11, 2023 at 2:00 p.m. 17.CLOSED SESSION The Board entered Closed Session at 11 :26 p.m. 17.1. Conference with Labor Negotiators Pursuant to Section 54957.6 of the California Government Code Agency Designated Representative: General Manager Employee Organization: Yorba Linda Water District Employees Association 17.2. Conference with Labor Negotiators Pursuant to Section 54957.6 of the California Government Code Agency Designated Representative: General Manager Unrepresented Employees: All Unrepresented Classifications 17.3. Conference with Legal Counsel -Existing Litigation Pursuant to Paragraph ( l) of Subdivion ( d) of Section 549 56. 9 of the California Government Code Name of Case: YLWD v. Alex W insberg (Orange County Superior Court-Case No. 30-2022-01284814-CU-OR-CJC) 17.4. Conference with Legal Counsel -Existing Litigation Pursuant to Paragraph ( l) of Subdivision (d) of Section 54956.9 of the California Government Code Name of Case: Orange County Water District, et al. v. 3M Company, et al. (Orange County Superior Court -Case No. 30-2020-01172419-CU-PL-CXC) Minutes of the YLWD Board of Directors Regular Meeting Held November 21, 2023 at 8:30 a.m. 9 2023-118 17.5. Public Employee Performance Evaluation Pursuant to Section 54957 of the California Government Code Title: General Manager 17.6. Conference with Labor Negotiators Pursuant to Section 54957.6 of the California Government Code Agency Designated Representative: Andrew Gagen, General Counsel Unrepresented Employee: General Manager 18.REPORT FROM CLOSED SESSION The Board returned from Closed Session at 2:00 p.m. No reportable action was taken. A special Board meeting was scheduled Monday, November 27, 2023 at 3:00 p.m. 19.ADJOURNMENT 19.1. The meeting was adjourned at 2:00 p.m. ::4Mdd�� Annie Alexander Board Secretary Minutes of the YLWD Board of Directors Regular Meeting Held November 21. 2023 at 8:30 a.m. 10