HomeMy WebLinkAbout2024-03-28 - Board of Directors Meeting Minutes1.
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MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Thursday, March 28, 2024, 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
Director Hernandez led the pledge.
ROLL CALL
DIRECTORS PRESENT
Trudi DesRoches, President
Tom Lindsey, Vice President
Brett R. Barbre
Phil Hawkins
Gene Hernandez
2024-036
STAFF PRESENT
Mark Toy, General Manager
Doug Davert, Assistant General Manager
John DeCriscio, Operations Manager
Delia Lugo, Finance Manager
Lori Thompson, Human Resources and Risk Manage
Rosanne Weston, Engineering Manager
Annie Alexander, Board Secretary
Paige Appel, Budget Analyst
Brianna De La Cruz, Public Affairs Specialist
Sophia Phuong, Accounting Supervisor
ALSO PRESENT
Andrew Gagen, General Counsel, Kidman Gagen Law LLP
ADDITIONS/DELETIONS TO THE AGENDA (None)
AB 2449 TELECONFERENCE REQUESTS (None)
PUBLIC COMMENTS (None)
DISCUSSION ITEMS
The following items were taken out of order.
Minutes of the YLWD Board of Directors Regular Meeting Held March 28, 2024 at 8:30 a.m_
2024-037
8.2. Fiscal Year 2024-25 Proposed Water and Sewer Customer and Developer Fees
Staff reviewed the water and sewer customer and developer fees for FY23-24
and those proposed for FY24-25. Director Barbre requested an update on the
Septic to Sewer Conversion Evaluation Project. General Manager Toy will
include this with his report at the next Board meeting. Vice President Lindsey
suggested staff keep the current fee schedules of surrounding cities on file for
comparison. Director Barbre suggested doing the same for water and sewer
rates of local agencies.
8.1. Fiscal Year 2024-25 Budget Workshop #2
Staff reviewed the proposed rates and impact on an average customer's bill.
Director Barbre requested staff identify the amount included in the
commodity rate not directly related to the provision of water service.
Discussion touched on pass -through expenses and collection limitations.
President DesRoches expressed concern regarding utilizing an average of the
last 5 years of water consumption data for projections. Staff suggested that
utilizing an average of 3 years may be helpful. Director Barbre suggested
utilizing an average of the last 10 years of data and asked about the feasibility
of reducing rates mid -year. Staff will prepare a new slide with projections
based on an average of 3 years of consumption data (budget vs. actual) and
include it with General Manager Toy's report at the next Board meeting.
Staff then reviewed projected revenue, supplies, and services, as compared
to prior year actuals, the current budget, and the Rate Study. Staff also
reviewed notable variances and will provide additional information regarding
expenses for dues and memberships at the next budget workshop. Director
Barbre requested that expenses for routine customer notifications be
separated from public outreach activities under the Communications
category. He also requested that the description for the Data Processing
category be updated to reflect current terminology. Discussion continued
regarding increased costs for insurance, maintenance, professional services,
and non -operating expenses. Staff then presented a consolidated financial
summary of the proposed budget and responded to questions related to
depreciation and capital contributions. Director Barbre requested that the
term "Net Income" be revised to "Net Position" and for staff to look into the
feasibility of issuing debt for the sewer fund.
Staff provided an overview of the 5-year Capital Improvement Plan and
proposed budget for the next fiscal year. Discussion touched on individual
projects, available and pending funding, and new projects that were not
included in the 2018 Asset Management Plan.
Minutes of the YLW D Board of Directors Regular Meeting Held March 28, 2024 at 8:30 a.m.
2024-038
Staff then confirmed requests made during the workshop including:
• Report on status of the Septic to Sewer Conversion Evaluation Project.
• Perform analysis utilizing an average of 3 years of water consumption
data for projections. Staff may provide this to the Financial Review
Group prior to presenting it to the Board.
• Confirm whether utilizing an average of 5 years of water consumption
data for projections is still valid. Staff will try to include this information
with General Manager Toy's next monthly report.
• Provide more detail for dues and memberships and confirm whether
employee certifications are included.
■ Change references to "net income" to "net position".
■ Look into the discrepancy in net position on the consolidated financial
summary.
• Create a bar chart comparing budgeted versus actual water
consumption for the last 10 years. Staff will try to provide this to the
Board before the next meeting.
• Prepare a comparison of fee schedules for the cities of Brea, Anaheim,
Placentia, and Yorba Linda.
■ Determine the amount of fixed costs still included in the commodity
rate.
• Communicate that the pass -through rate is 19 cents less than
applicable expenses in future customer outreach efforts.
■ Separate the expenses for routine customer notifications from public
outreach activities under the Communications category.
• Ensure that budget category descriptions are utilizing current
terminology.
■ Explore the feasibility of issuing debt for the sewer fund.
■ Schedule a CIP tour for the Board in May.
■ Identify the impact of proposed rates on the average residential
customer's bill.
9. ADJOURNMENT
9.1. The meeting was adjourned at 10:44 a.m.
Annie Alexander
Board Secretary
Minutes of the YLWD Board of Directors Regular Meeting Held March 28, 2024 at 8:30 a.m. 3