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MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Thursday, April 11, 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
Vice President Lindsey led the pledge.
ROLL CALL
DIRECTORS PRESENT
Trudi DesRoches, President
Tom Lindsey, Vice President
Brett R. Barbre
Phil Hawkins
Gene Hernandez
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STAFF PRESENT
Mark Toy, General Manager
Doug Davert, Assistant General Manager
John DeCriscio, Operations Manager
Delia Lugo, Finance Manager
Rosanne Weston, Engineering Manager
Annie Alexander, Board Secretary
Brianna N. De La Cruz, Public Affairs Specialist
Bree Jozwiak, Assistant Board Secretary
Sophia Phuong, Accounting Supervisor
Jacqueline Segura, Human Resources Analyst
ALSO PRESENT
Andrew Gagen, General Counsel, Kidman Gagen Law LLP
ADDITIONS/DELETIONS TO THE AGENDA (None)
AB 2449 TELECONFERENCE REQUESTS (None)
INTRODUCTIONS and PRESENTATIONS
The following items were taken out of order.
7.2 Elected Official Liaison Reports
Al Nederhood, Director for MWDOC, reported on the state's water supply,
MWDOC's proposed budget, MWDSC's adopted budget, and OCWD's Basin
Production Percentage. He also commented on the Pure Water Southern
Minutes of the YLWD Board of Directors Regular Meeting Held April 11, 2024 at 8:30 a.m.
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California Program, Delta Conveyance Project, and the District's proposed
contract award for legal counsel services.
Janice Lim, Council Member for City of Yorba Linda, reported on the City's
public outreach activities associated with the Yorba Linda Housing Element
and upcoming community events.
7.1. Introduction of Captain De Anne Wigginton, Yorba-Linda Chief of Police
Services
Captain Wigginton provided an overview of her professional experience and
commented on her new role as Chief of Police Services and her ties to the
Yorba Linda community.
7.2 Elected Official Liaison Reports Continued
James Fisler, Director for Mesa Water District and Regular Special District
Member for OC LAFCO, commented on his experience serving on the
Commission and requested the District's support in LAFCO's upcoming
election. He also noted that Joe Muller, Director for South Coast Water District,
was running as an opponent for the seat. Staff was tasked with inviting Director
Muller to comment on his candidacy at a future Board meeting.
7.3 Investment Strategy Update from PFM Asset Management
Richard Babbe, Senior Management Consultant for PFM Asset Management,
reported on federal economic projections and the District's investment
approach and yield for bond funds. He then responded to questions from the
Board regarding the impact of a potential recession as well as inflation and
unemployment rates. Staff noted that as the Water Master Plan had been
amended, they may look into structurally investing additional unrestricted
reserves.
7.4 Septic to Sewer Conversion Evaluation Project Update from Dopudja & Wells
Consulting
Paul Jones, P.E. and John Wells, P.E. of Dopudja & Wells Consulting, briefed
the Board regarding the status of the District's Septic to Sewer Conversion
Evaluation Project. This included the key objectives, scope of work, financing
options, data review, schedule, and next steps. Discussion touched on options
for self-financing and the formation of community facility and assessment
districts.
Vice President Lindsey suggested information regarding the project be
communicated to District customers, perhaps as a bill message.
Minutes of the YLWD Board of Directors Regular Meeting Held April 11, 2024 at 8:30 a.m.
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Director Barbre requested staff contact the District's municipal advisors and
inquire as to the feasibility of issuing debt for the sewer fund. He also expressed
support for sharing information regarding the project with District customers.
8. PUBLIC COMMENTS (None)
9. CONSENT CALENDAR
Director Barbre requested to pull Item Nos. 9.5, 9.6, 9.7, and 9.8 from the Consent
Calendar for separate action. He also requested references to "Doctor" in the
minutes for the January 11, 2024 Board meeting in Item No. 9.1. be corrected to say
"Dr.". Vice President Lindsey also requested to remove Item No. 9.8.
Director Barbre made a motion, seconded by Director Hawkins, to approve the
remainder of the Consent Calendar with the requested corrections to Item No. 9.1.
Motion carried 5-0-0-0.
9.1. Minutes of the Board of Directors Meetings Held January 11 - February 26, 2024
Recommendation: That the Board of Directors approve the minutes as
presented.
9.2. Payments of Bills, Refunds, and Wire Transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements In the amount of $4,685,465.99.
9.3. Budget to Actual Statements for the Month Ended February 29, 2024
Recommendation: That the Board of Directors receive and file the Budget to
Actual Reports for the Month Ended February 29, 2024.
9.4. Cash and Investment Report for the Period Ended February 29, 2024
Recommendation: That the Board of Directors receive and file the Cash and
Investment Report for the Period Ended February 29, 2024.
9.9. General Manager Renewal of Credentials
Recommendation: That the Board of Directors approve the payment of fees
for the General Manager to renew his credentials for 2024 as a Board Certified,
Water Resources Engineer (BC. WRE) from the American Academy of Water
Resources Engineers (part of the American Society of Civil Engineers - ASCE).
Minutes of the YLWD Board of Directors Regular Meeting Held April 11, 2024 at 8:30 a.m.
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ITEMS REMOVED FROM THE CONSENT CALENDAR FOR SEPARATE ACTION
9.5. Single Source Procurement for Well 19 Rehabilitation Phase 2 Project
Director Barbre inquired as to whether the District was sharing the costs for this
project with MWDSC and OCWD. Staff indicated that no cost -sharing
agreement was in place and noted that approval of this item was contingent
on the Board's approval of proposed amendments to the District's purchasing
policy. Director Barbre requested to defer consideration of this matter
following Item No. 10.3.
9.6. December 2023 Water Master Plan Amendment
Director Barbre asked about the specific language being amended. Staff
indicated that as the document contained sensitive information regarding
the District's critical infrastructure, the full amended plan was exempt from
disclosure under the Public Records Act and as such, only the Executive
Summary was included in the agenda packet. Discussion followed regarding
the feasibility of meeting OCWD's basin production percentage target of 85%
and the prioritization of well rehabilitation and drilling projects. Director Barbre
requested staff share a redline copy of the amended sections with the Board
and to do the same for future amendments.
Director Barbre made a motion to receive and file the amended December
2023 Water Master Plan.
General Counsel Gagen advised that for future amendments, the Executive
Summary should still be made available to the public in addition to sharing
the redline copy of the amended sections with the Board.
Director Hawkins seconded the motion. Motion carried 5-0-0-0.
9.7. Commencement of Fiscal Year 2024-25 Capital Improvement Program
Projects
Staff requested Board approval to immediately commence with new projects
included in the Capital Improvement Program for Fiscal Year 2024-25.
Director Barbre made a motion, seconded by Vice President Lindsey, to
approve staff to proceed with the commencement of Fiscal Year 2024-25
Capital Improvement Program Projects. Motion carried 5-0-0-0.
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9.8. Moratorium on New Leases, Encumbrances, and Encroachments on District
Real Property
Vice President Lindsey requested clarification as to whether staff was asking
the Board to enact a permanent moratorium or extend the expiration of the
existing one. Staff explained that based on multiple factors, the
recommendation was to enact a permanent moratorium rather than a
temporary one. Following discussion, it was the consensus of the Board to
extend the current moratorium for an additional 18 months and reconsider
the matter before expiration. Staff was requested to notify the Board of future
solicitations of this nature.
Director Lindsey made a motion, seconded by Director Barbre, to extend the
current moratorium on new leases, encumbrances, and encroachments on
District real property for an additional 18 months and to reconsider the matter
every 18 months. Motion carried 5-0-0-0.
The meeting was recessed at 10:20 a.m. and reconvened at 10:28 a.m.
10. ACTION CALENDAR
President DesRoches recommended the Board consider Item No. 10.3. at this time to
be followed by Item 9.5.
10.3. Amendments to Purchasing Policy
Staff reviewed the purpose of the proposed revisions. Discussion touched on
the need for flexibility relative to the procurement of single and sole -source
contracts, addressing situations that may be considered urgent rather than
an emergency, and preauthorizing the procurement of single and sole -source
contracts under a specified amount. Staff was directed to incorporate further
revisions to the policy for consideration at a future Board meeting.
9.5. Single Source Procurement for Well 19 Rehabilitation Phase 2 Project
Director Barbre made a motion, seconded by Director Hernandez, to waive
conflicting provisions in the District's Purchasing Policy and award the
Construction Contract for Well 19 Rehabilitation Phase 2 to General Pump
Company for $232,427, Job No. J-2023-44. Motion carried 5-0-0-0 on a roll call
vote.
10.1. Award of Contract for Legal Counsel Services
Director Barbre asked if General Counsel Gagen was going to leave the room
during consideration of this item as Mr. Gagen had a financial interest in the
Minutes of the YLWD Board of Directors Regular Meeting Held April 11, 2024 at 8:30 a.m.
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matter and was a Form 700 filer. General Counsel Gagen indicated that as
he was not a voting member of the Board his presence had no bearing.
President DesRoches suggested that each Director share their two preferred
firms and asked if staff had a recommendation concerning the matter.
General Manager Toy stated that staff respectfully recommended the Board
retain Kidman Gagen Law (KGL) as the District's legal counsel and engage a
separate firm for labor counsel as directed by the Board and coordinated with
KGL. He then commented on the quality of services provided by KGL and
noted that based on staff's analysis, KGL's rates were the least costly and
offered the most value of all the firms being considered by the Board.
Each Director shared their top two preferred firms of which the following
received the majority:
Atkinson, Andelson, Loya, Ruud & Romo (AALRR)
Kidman Gagen Law (KGL)
Extended discussion followed regarding the two firms' interviews, and their
respective qualifications, services, and rates. Each Director also shared their
top preferred firm and commented on the impact of changing versus
retaining current General Counsel. During the discussion, General Manager
Toy was requested to report on his findings regarding KGL's communications
with AALRR for the provision of labor and employment legal services. Director
Barbre questioned the information provided and suggested the Board call a
special meeting and invite both firms to clarify the matter. Discussion
continued which was followed by subsequent action.
Director Barbre made a motion, seconded by Director Hawkins, to award the
contract for Legal Counsel Services to Atkinson, Andelson, Loya, Ruud &
Romo.
Director Lindsey made a substitute motion, seconded by Director Hernandez,
to award the contract for Legal Counsel Services to Kidman Gagen Law.
Motion carried 3-2-0-0 on a roll call vote with Directors Barbre and Hawkins
voting No.
Staff clarified that the contract was for 10 years with an option to extend
another 5 years. Discussion followed regarding next steps for contracting with
a firm for labor and employment legal services. General Manager Toy offered
to work with General Counsel Gagen to provide options for Board
consideration at a future meeting.
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10.2. 2024 Strategic Plan
Staff inquired if the Board had any additional edits to the final draft for which
there were none.
Director Hernandez made a motion, seconded by Director Lindsey, to adopt
the 2024 Strategic Plan. Motion carried 4-1-0-0 with Director Barbre voting No.
10.4. Elk Mountain Booster Pump Station Leak Repair
There were no questions regarding this matter.
Director Barbre made a motion, seconded by Director Hernandez, to
authorize the General Manager to award a contract change order to T.E.
Roberts to increase the Not To Exceed amount from $75,000 to $150,000, Job
No. J-2023-33. Motion carried 5-0-0-0.
10.5. Nominations for OC LAFCO Regular Special District Member Seat
No Directors expressed an interest in being nominated.
Director Hawkins made a motion, seconded by Director Hernandez, to
designate President DesRoches as the primary voting representative and Vice
President Lindsey as the secondary voting representative in the associated
election. Motion carried 5-0-0-0.
10.6. Proposed Changes to Board Meeting Dates and/or Times
Staff reviewed the purposes of the proposed changes. Following discussion, it
was determined that (1) the time of the Board meeting on Thursday, May 16,
2024 would be shifted to 9:30 a.m., (2) a Directors' tour of Capital
Improvement Projects would immediately follow the budget workshop on
Thursday, May 30, 2024, and (3) regular business would be conducted during
the meeting scheduled Thursday, June 27, 2024 to accommodate Director
participation in the AWWA tour of the District's PFAS Water Treatment Plant on
Thursday, June 13, 2024. Director Barbre suggested the tour include a visit to
the Wells Fargo Heli-hydrant. Staff offered to follow up on this request.
11. REPORTS INFORMATION ITEMS, AND COMMENTS
11.1. Director's Reports (None)
11.2. General Manager's Report
Director Barbre noted that the District's Open House was scheduled in July
during hot weather and scheduled vacations. Staff offered to coordinate with
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the Board and shift the event to another date in the fall. Director Barbre
inquired as to the status of the Comprehensive Classification and
Compensation Study. General Manager Toy indicated this matter would be
presented to the Board at the next meeting. It was noted that of the two
proposals received only one met the qualifications. President DesRoches
asked if the Directors had persons they would like to invite to her upcoming
facility tour. Staff suggested extending an invitation to Captain Wigginton.
11.3. General Counsel's Report (None)
11.4. Future Agenda Items and Staff Tasks
Vice President Lindsey inquired about scheduling the next joint agency
committee meeting with City of Yorba Linda. Staff confirmed the meeting was
scheduled for Monday, May 20, 2024 at 1 1:00 a.m.
12. COMMITTEE REPORTS
12.1. Interagency Committee with MWDOC and OCWD
DesRoches/Lindsey
12.2. Joint Agency Committee with City of Yorba Linda
Lindsey/DesRoches - Next meeting scheduled Monday, May 20, 2024 at 1 1:00
a.m. at Yorba Linda City Hall.
12.3. Joint Agency Committee with City of Placentia
Lindsey/Hernandez
12.4. Joint Agency Committee with City of Brea
Barbre/Hernandez
12.5. Joint Agency Committee with Placentia-Yorba Linda Unified School District
Hernandez/Barbre
13. BOARD OF DIRECTORS ACTIVITY CALENDAR
13.1. Meetings from April 12 -May 31, 2024
President DesRoches noted a few conflicts on the calendar. Following review,
it was determined there would be no representative at the Placentia City
Council meeting on Tuesday, April 16, 2024, and that Vice President Lindsey
would be attending the PYLUSD Board meeting on Tuesday, May 7, 2024.
Director Babre requested staff forward the Board an invitation to the
upcoming renaming ceremony to share with others. He also requested a list
of individuals who had confirmed their attendance.
Minutes of the YLW D Board of Directors Regular Meeting Held April 11, 2024 at 8:30 a.m.
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14. CLOSED SESSION
The Board entered Closed Session at 12:14 p.m.
14.1. Liability Claims
Pursuant to Subsections 54956.9(d) and (e) (3) of the CA Government Code
Claimants: Pascal & Ludwig Constructors and Mike Bubalo Construction
Agency Claimed Against: Yorba Linda Water District
14.2. Conference with Legal Counsel - Existing Litigation
Pursuant to Paragraph (1) of Subdivision (d) of Section 54956.9 of the California
Government Code
Name of Casse: YLWD v. Alex Winsberg (Orange County Superior Court -Case
No. 30-2022-01284814-C U-OR-CJ C )
14.3 Public Employee Performance Evaluation
Pursuant to Section 54957 of the CA Government Code
Title: General Manager
REPORT FROM CLOSED SESSION
The Board returned from Closed Session at 1:00 p.m. No reportable action was taken.
15. ADJOURNMENT
15.1. The meeting was adjourned at 1:30 p.m.
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Annie Alexander
Board Secretary
Minutes of the YLWD Board of Directors Regular Meeting Held April 11, 2024 at 8:30 a.m. 9