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HomeMy WebLinkAbout2011-03-24 - Board of Directors Meeting Agenda Packet Yorba Linda Water District AGENDA YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS REGULAR MEETING Thursday, March 24, 2011, 8:30 AM 1717 E Miraloma Ave, Placentia CA 92870 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL Michael J. Beverage, President Phil Hawkins, Vice President Ric Collett Robert R. Kiley Gary T. Melton 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. 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. 6.1. Minutes of the Board of Directors Special Meeting Held March 8, 2011 Recommendation: That the Board of Directors approve the minutes as presented. 6.2. Minutes of the Board of Directors Regular Meeting Held March 10, 2011 Recommendation: That the Board of Directors approve the minutes as presented. 6.3. Minutes of the Board of Directors Special Meeting Held March 17, 2011 Recommendation: That the Board of Directors approve the minutes as presented. 6.4. Payments of Bills, Refunds, and Wire Transfers Recommendation: That the Board of Directors ratify and authorize disbursements in the amount of $973,069.60. 6.5. Progress Payment No. 2 for Construction of the Highland Pump Station Project Recommendation: That the Board of Directors approve Progress Payment No. 2 in the net amount of $169,020.00 to Pacific Hydrotech Corporation for construction of the Highland Pump Station Project, Job No. 200814. 7. ACTION CALENDAR This portion of the agenda is for items where staff presentations and Board discussions are needed prior to formal Board action. 7.1. Declaration of Restrictive Covenants with St. Joseph Health System - 4300 Rose Drive, YL Recommendation: That the Board of Directors authorize the President and Secretary to execute the Declaration of Restrictive Covenants, subject to approval as to form by General Counsel, with St. Joseph Health System, Job No. 200910. 7.2. Property Insurance Premium for April 2011-2012 Recommendation: That the Board of Directors authorize payment in the amount of $34,258 to renew the District's property insurance coverage through the ACWA/JPIA for the period April 1, 2011 through April 1, 2012. 7.3. Microsoft Select 6 Software Assurance Contract Renewal Recommendation: That the Board of Directors authorize renewal of the Microsoft Select 6 Software Assurance contract for $18,614.89. 7.4. Property Owner Continuous Water Service Agreement Recommendation: That the Board of Directors authorize the use of a Continuous Service Agreement for multiple property owners that choose to execute this agreement for their rental properties, subject to approval as to form by General Counsel. 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. Water Quality Update 8.2. Strategic Plan 2011-2013 9. REPORTS, INFORMATION ITEMS, AND COMMENTS 9.1. President's Report 9.2. Directors' Reports Tour of Orange County Fire Authority Facilities - March 11, 2011 Children's Water Education Festival - March 23-24, 2011 9.3. General Manager's Report 9.4. Future Agenda Items and Staff Tasks 10. COMMITTEE REPORTS 10.1. Executive-Administrative-Organizational Committee (Beverage/Hawkins) Minutes of meeting held March 15, 2011 at 4:00 p.m. Meeting scheduled April 19, 2011 at 4:00 p.m. 10.2. Finance-Accounting Committee (Collett/Kiley) Minutes of meeting held March 15, 2011 at 9:30 a.m. Meeting scheduled April 11, 2011 at 4:00 p.m. 10.3. Personnel-Risk Management Committee (Kiley/Beverage) • Meeting scheduled April 12, 2011 at 4:00 p.m. 10.4. Planning-Engineering-Operations Committee (Melton/Collett) • Meeting scheduled April 12, 2011 at 10:00 a.m. 10.5. Public Affairs-Communications-Technology Committee (Hawkins/Melton) • Meeting scheduled April 11, 2011 at 12:00 p.m. 10.6. MWDOC/OCWD Ad Hoc Committee (Beverage/Hawkins) • Meeting scheduled March 22, 2011 at 4:00 p.m. was rescheduled to April 7, 2011 at 4:00 p.m. 10.7. Citizens Advisory Committee (Beverage) • Meeting scheduled March 28, 2011 at 8:30 a.m. 11. INTERGOVERNMENTAL MEETINGS 11.1. YL City Council - March 15, 2011 (Melton) 11.2. MWDOC Board - March 16, 2011 (Melton) 11.3. OCWD Board -March 16, 2011 (Kiley) 11.4. YL Planning Commission - March 23, 2011 (Collett) 12. BOARD OF DIRECTORS ACTIVITY CALENDAR 12.1. Meetings from March 25, 2011 - April 30, 2011 13. CLOSED SESSION The Board may hold a closed session on items related to personnel, labor relations and/or litigation. The public is excused during these discussions. 13.1. Conference with Labor Negotiators Pursuant to Section 54956.7 of the California Government Code Agency Designated Representatives: Ken Vecchiarelli Gina Knight Richard Kreisler Employee Organization: Yorba Linda Water District Employees Association 14. ADJOURNMENT 14.1. A workshop meeting of the Board of Directors will be held March 25, 2011 at 8:00 a.m. The next regular meeting of the Board of Directors will be held April 14, 2011 at 8:30 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. 6.1 AGENDA REPORT Meeting Date: March 24, 2011 Subject: Minutes of the Board of Directors Special Meeting Held March 8, 2011 STAFF RECOMMENDATION: That the Board of Directors approve the minutes as presented. ATTACHMENTS: Narne: Description: Type: 030811 BOD - Minutes.doc BOD Mtg Minutes 03/08/11 Minutes Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 PH/RK 5-0 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS SPECIAL MEETING March 8, 2011 1. CALL TO ORDER The March 8, 2011 special meeting of the Yorba Linda Water District Board of Directors was called to order by President Beverage at 4:15 p.m. The meeting was held at the District's Administrative Office at 1717 E Miraloma Ave, Placentia CA 92870. 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL DIRECTORS PRESENT STAFF PRESENT Michael J. Beverage, President Gina Knight, Human Resources Mgr Phil Hawkins, Vice President Ric Collett Robert R. Kiley Gary T. Melon OTHER VISITORS Richard Kreisler, Labor Counsel, Liebert Cassidy Whitmore 4. PUBLIC COMMENTS None. jt 5. CLOSED SESSION The meeting was adjourned to Closed Session at 4:16 p.m. All Directors were present. Also present were Ms. Knight and Mr. Kreisler. 5.1. Public Employee Performance Evaluation Pursuant to Section 54957 of the California Government Code Title: General Manager The Board reconvened in Open Session at 6:30 p.m. President Beverage announced that no action was taken during Closed Session that was required to be reported under the Brown Act. 6. ADJOURNMENT 6.1. The meeting was adjourned at 6:31 p.m. The next regular meeting of the Board of Directors will be held March 10, 2011 at 8:30 a.m. Kenneth R. Vecchiarelli Board Secretary 1 ITEM NO. 6.2 AGENDA REPORT Meeting Date: March 24, 2011 Subject: Minutes of the Board of Directors Regular Meeting Held March 10, 2011 STAFF RECOMMENDATION: That the Board of Directors approve the minutes as presented. ATTACHMENTS: Narne: Description: Type: 031011 BOD - Minutes.doc BOD Mtg Minutes 03/10/11 Minutes Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 PH/RK 5-0 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS REGULAR MEETING March 10, 2011 1. CALL TO ORDER The March 10, 2011 regular meeting of the Yorba Linda Water District Board of Directors was called to order by President Beverage at 8:30 a.m. The meeting was held at the District's Administrative Office at 1717 E Miraloma Ave, Placentia CA 92870. 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL DIRECTORS PRESENT STAFF PRESENT Michael J. Beverage, President Ken Vecchiarelli, General Manager Phil Hawkins, Vice President Steve Conklin, Engineering Manager Ric Collett Lee Cory, Operations Manager Robert R. Kiley Gina Knight, HR Manager (Arrived at 8:57 a.m.) Gary T. Melton Damon Micalizzi, PI Officer Cindy Botts, Management Analyst Jerry Huizar, Maintenance Worker Carlos Murillo, Maintenance Worker Annie Alexander, Executive Secretary OTHER VISITORS Brett Barbre, Director, Municipal Water District of Orange County Nancy Rikel, Mayor, City of Yorba Linda (Arrived at 8:39 a.m.) Art Kidman, Legal Counsel, McCormick, Kidman & Behrens (Arrived at 8:42 a.m.) Carl Boznanski, Chair, YLWD Citizens Advisory Committee Richard Kreisler, Labor Counsel, Liebert Cassidy Whitmore (Attended Closed Sessions Only) Mark Schock, Resident President Beverage asked those in attendance to observe a moment of silence for 1St Lt. Daren Hidalgo, nephew of Mr. Vecchiarelli, and Alice Armstrong, wife of the late Paul Armstrong, a former Board member. 4. ADDITIONS/DELETIONS TO THE AGENDA None. 5. PUBLIC COMMENTS None. 1 6. SPECIAL RECOGNITION 6.1. Introduce Carlos Murillo, Newly Hired Maintenance Worker I Mr. Cory introduced Mr. Murillo and provided the Board with an overview of his background and work history. Mr. Murillo and Mr. Huizar left the meeting at this time. 7. CONSENT CALENDAR On a motion by Director Collett, seconded by Director Hawkins, the Board voted 5-0 to approve the Consent Calendar. 7.1. Minutes of the Board of Directors Regular Meeting Held February 24, 2011 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 $548,613.22. 7.3. Amendment No. 3 to Professional Services Agreement with Tetra Tech, Inc. for Ohio Street Pipeline Replacement Project Recommendation. That the Board of Directors authorize approval of Engineering Services Amendment No. 3 with Tetra Tech, Inc. for a fee increase not to exceed $17,280, resulting in a total fee of $167,380. 7.4. Change Order No. 1 - Water Quality Mixer for Hidden Hills Reservoir Recommendation. That the Board of Directors approve Change Order No. 1 in the amount of $8,656, for the installation of a Tank Shark Water Management System at the Hidden Hills Reservoir. 7.5. Receipt of Final Report for Sewer Master Plan Update 2010 Recommendation. That the Board of Directors receive and file the Sewer Master Plan Update. 2 7.6. Name Change of Public Information-Technology Committee to Public Affairs-Communications-Technology Committee Recommendation. That the Board of Directors change the name of the Committee to include the more vast umbrella of "Public Affairs" which will include and place greater emphasis on public, community and government relations and communications, underscoring the District's intentions to achieve greater internal and external communications. 8. ACTION CALENDAR 8.1. Revised Purchasing Policy Mr. Vecchiarelli explained that the Executive-Administrative- Organizational Committee had instructed staff to review and recommend revisions to the District's existing purchasing policy. The proposed policy now includes additional levels of authorization. Legal Counsel reviewed the policy and recommended only one minor change. A copy of the revised resolution was provided to the Board at the meeting. On a motion by Director Kiley, seconded by Director Melton, the Board voted 5-0 on a Roll Call to approve Resolution No. 11-06 as revised by legal counsel, setting forth a procurement and purchasing policy and rescinding Resolution No. 07-11. 8.2. Board Travel Expense Reimbursement and Ethics Training Policy Mr. Vecchiarelli explained that the Board had requested staff to review the existing travel expense reimbursement policy for the Board of Directors. Mr. Vecchiarelli then provided a brief overview of two different reimbursement methods. Legal Counsel reviewed the proposed policy and recommended only minor revisions. A copy of the revised resolution was provided to the Board at the meeting. The Board then discussed the amount listed for meals under Section 3. (b) of the resolution. On a motion by Director Melton, seconded by Director Collett, the Board voted 5-0 to amend the amount listed under Section 3. (b) of the resolution from $65 to $50 per day for meals. On a motion by Director Collett, seconded by Director Melton, the Board voted 5-0 on a Roll Call to approve Resolution No. 11-05 as revised by legal counsel and amended by the Board, setting forth the policy of reimbursement of expenses incurred by the Directors, Director ethics training and rescinding Resolution No. 06-10. 3 8.3. Water Conservation Ordinance - Temporary Lifting of Restriction on Sunday Watering Mr. Vecchiarelli explained that staff was expecting the Metropolitan Water District (MWD) to lower its Water Supply Alert level for the next fiscal year due to the increased rainfall which in turn would allow the District to reduce its stage level. As a result, staff is recommending that the Board consider temporarily lifting the restriction on Sunday watering through June 30, 2011. Mr. Vecchiarelli further reported that the Executive- Administrative-Organizational Committee had reviewed this matter and supported staff's recommendation. The Board then briefly discussed previous action taken and current water conservation efforts. On a motion by Director Hawkins, seconded by Director Collett, the Board voted 5-0 to temporarily lift the Water Conservation Ordinance restriction on Sunday watering on a trial basis, through June 30, 2011. 9. REPORTS, INFORMATION ITEMS AND COMMENTS 9.1. President's Report President Beverage commented on the recent passing of Alice Armstrong, wife of the late Paul Armstrong, a former Board member. A memorial service for Mrs. Armstrong is scheduled for March 20, 2011 at 11:30 a.m. at the Nixon Presidential Library. President Beverage then expressed his condolences to Mr. Vecchiarelli in regards to the recent passing of his nephew, 1St Lt. Daren Hidalgo, who was killed in action in Afghanistan. 9.2. Directors' Reports Director Collett commented that he had heard that the City of Placentia had contacted the District to assist them with a recent sewer main breakage. Mr. Vecchiarelli reported that Troy Butzlaff, City Administrator for the City of Placentia, had contacted him to request District assistance with repairing a broken sewer main. Staff provided Mr. Butzlaff with the contact information of a contractor that could provide the City with the services they needed. The following reports were provided out of order: ■ North Orange County Legislative Alliance Reception - February 24, 2011 (Hawkins/Melton) Directors Hawkins and Melton attended. Director Hawkins reported that it was a good event with several other local officials present. 4 ■ MWDOC Inspection Trip of the State Water Project and Sacramento-San Joaquin Delta - February 25-26, 2011 (Kiley/Melton) Directors Kiley and Melton attended. Both Directors provided a brief report on their trip and commented on the seriousness of the Delta situation. MWDOC Director Barbre addressed the Board and expressed his disappointment with the condition of the State Water Project facilities as observed on the inspection trip. ■ MWDOC Water Policy Forum - February 24, 2011 (Kiley) Director Kiley attended and commented on a presentation provided by Col. John "Jack" Foley, Chairman of MWD, at the event. 9.3. General Manager's Report Mr. Vecchiarelli expressed his appreciation for the kind words and support he received following the untimely loss of his nephew. Mr. Vecchiarelli then reported that the District had received a payment of $37,500 from the State for the Wastewater Recycling Study. Staff expects to receive the other half of the grant funding before the end of the year. 9.4. General Counsel's Report Mr. Kidman expressed his sadness over the recent passing of Mrs. Armstrong. Mr. Kidman then commented on MWD's allocation program and proposed legislation. MWDOC Director Barbre commented that MWD was receiving a great deal of pressure from its member agencies to lift allocations. 9.5. Future Agenda Items and Staff Tasks Director Beverage requested that staff include a discussion item regarding the purchase of US made products on the next Executive-Administrative- Organizational Committee agenda. 10. COMMITTEE REPORTS 10.1. Executive-Administrative-Organizational Committee (Beverage/Hawkins) Minutes of the meeting held March 2, 2011 were provided in the agenda packet. Directors Beverage and Hawkins attended. Matters discussed during the meeting were as follows: Water Conservation Ordinance - Temporary Lifting of Restriction on Sunday Watering; Board Travel and Reimbursement Policy; Revised Purchasing Policy; Elk Mountain Reservoir Practice Field Project - Tentative Project Calendar; Revised Public Sewer Transfer Agreement; and Alternative Work Schedules; Organizational Chart. 5 Meeting scheduled March 15, 2011 at 4:00 p.m. 10.2. Finance-Accounting Committee (Collett/Kiley) Meeting scheduled March 15, 2011 at 9:30 a.m. 10.3. Personnel-Risk Management Committee (Kiley/Beverage) Meeting scheduled March 8, 2011 at 4:00 p.m. was cancelled. Meeting scheduled April 12, 2011 at 4:00 p.m. 10.4. Planning-Engineering-Operations Committee (Melton/Collett) Minutes of the meeting held March 3, 2011 were provided in the agenda packet. Directors Melton and Collett attended. Matters discussed during the meeting were as follows: Change Order No. 1 - Water Quality Mixer for Hidden Hills Reservoir; Ohio Street Pipeline Replacement Project - Amendment No. 3 to Professional Services Agreement with Tetra Tech, Inc.; Sewer Master Plan Update 2010 - Receipt of Final Report; Monthly Groundwater Production and Purchased Import Water Report; Monthly Preventative Maintenance Program Report; Groundwater Producers Meeting Report; and Status Report on Capital Projects in Progress. Meeting scheduled April 7, 2011 at 4:00 p.m. was rescheduled to April 12, 2011 at 10:00 a.m. Director Barbre left the meeting at this time. 10.5. Public Affairs-Communications-Technology Committee (Hawkins/Melton) Minutes of the meeting held March 7, 2011 were provided at the meeting. Directors Hawkins and Melton attended. Matters discussed during the meeting were as follows: Presentation for Children's Water Education Festival; Funding of Additional Water Education in District Elementary Schools; AudioNideo in Board Room; Participation in Yorba Linda Community Faire & Car Show; and Draft Timeline for Elk Mountain Practice Field Project Outreach and Education Efforts. Meeting scheduled April 4, 2011 at 4:00 p.m. was rescheduled to April 11 2011 at 12:00 p.m. 10.6. MWDOC/OCWD Ad Hoc Committee (Beverage/Hawkins) Meeting scheduled March 22, 2011 at 4:00 p.m. 6 10.7. Citizens Advisory Committee (Beverage) Minutes of meeting held February 28, 2011 were provided at the meeting. Director Beverage attended. Mr. Boznanski reported that matters discussed during the meeting were as follows: Minutes of the CAC Meeting Held January 24, 2011; Alternative Work Schedule; City of Yorba Linda Sewers Update; and Citizens Advisory Committee Member to Present Meeting Minutes at Next Board of Directors Meeting on March 10, 2011. Mr. Boznanski further reported that 3 individuals had attended the meeting who were interested in becoming Committee members. Director Beverage expressed his disappointment that there were only 5 Committee members present at the meeting. The Board then briefly discussed the status of recruitment of new Committee members. Mayor Rikel asked for clarification regarding the residency requirements of individuals interested in serving on the Committee. Mr. Vecchiarelli stated that individuals must reside within the District's boundaries. Meeting scheduled March 28, 2011 at 8:30 a.m. 11. INTERGOVERNMENTAL MEETINGS 11.1. YL Planning Commission -February 23, 2011 (Kiley) Director Kiley provided a report on his attendance at this meeting at the February 24, 2011 Board meeting. Item No. 11.6. was taken out of order. 11.6. YL Planning Commission - March 9, 2011 (Kiley) Director Kiley attended and provided a brief report on the downtown center and general plan which were discussed at the meeting. Mayor Rikel left the meeting at this time. 11.2. YL City Council - March 1, 2011 (Hawkins) Director Hawkins attended and commented on a survey conducted by a real estate advisory group and the SAVI Ranch housing project which were discussed during the meeting. 11.3. MWDOC/MWD Workshop - March 2, 2011 (Melton) Director Melton attended and provided a brief report on the Hoover Bill, the current water supply situation, and Diamond Valley Lake which were discussed during the meeting. 11.4. OCWD Board - March 2, 2011 (Kiley) Director Kiley attended and reported that the status of the annexation request had been discussed during the meeting. 7 11.5. WACO -March 4, 2011 (Hawkins) Director Hawkins attended and reported that the implementation of a 2 year budget, status of the CalDesal project, and various legislative issues had been discussed during the meeting. Mr. Boznanski left the meeting at this time. 12. BOARD OF DIRECTORS ACTIVITY CALENDAR 12.1. Meetings from March 11, 2011 -April 30, 2011 The Board reviewed the listed meetings and made no additional changes. Director Melton stated that he would not be able to attend meetings during the week of April 3-8, 2011. Director Collett stated that he would not be able to attend the Board meeting on April 14, 2011. 13. CONFERENCES AND SEMINARS 13.1. MWDOC Inspection Trip of the Colorado River Aqueduct - April 15-17, 2011 Labor and Employment Relations Issues During Lean Economic Times - April 21, 2011 ACWA/JPIA Spring Conference - May 9-10, 2011 ACWA Spring Conference - May 10-13, 2011 Director Hawkins stated that he would not be able to attend the ACWA/JPIA and ACWA conferences this spring. Directors Kiley and Melton both expressed interest in attending. On a motion by Director Hawkins, seconded by Director Kiley, the Board voted 5-0 to authorize Director attendance at the above listed events. A brief recess was declared at 9:51 a.m. The meeting reconvened at 10:00 a.m. 8 14. CLOSED SESSION The meeting was adjourned to Closed Session at 10:00 a.m. All Directors were present. Also present were Messrs. Vecchiarelli and Kriesler and Mrs. Knight. 14.1. Conference with Labor Negotiators Pursuant to Section 54956.7 of the California Government Code Agency Designated Representatives: Ken Vecchiarelli Gina Knight Richard Kreisler Employee Organization: Yorba Linda Water District Employees Association Mr. Vecchiarelli left the Closed Session at 10:50 a.m. 14.2. Public Employee Performance Evaluation Pursuant to Section 54957 of the California Government Code Title: General Manager The Board reconvened in Open Session at 11:05 a.m. President Beverage announced that no action was taken during either Closed Session that was required to be reported under the Brown Act. 15. ADJOURNMENT 15.1. The meeting was adjourned at 11:04 a.m. The next regular meeting of the Board of Directors will be held March 24, 2011 at 8:30 a.m. Kenneth R. Vecchiarelli Board Secretary 9 ITEM NO. 6.3 AGENDA REPORT Meeting Date: March 24, 2011 Subject: Minutes of the Board of Directors Special Meeting Held March 17, 2011 STAFF RECOMMENDATION: That the Board of Directors approve the minutes as presented. ATTACHMENTS: Narne: Description: Type: 031711 BOD - Minutes.doc BOD Mtg Minutes 03/17/11 Minutes Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 PH/RK 5-0 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS SPECIAL MEETING March 17, 2011 1. CALL TO ORDER The March 17, 2011 special meeting of the Yorba Linda Water District Board of Directors was called to order by President Beverage at 5:35 p.m. The meeting was held at the District's Administrative Office at 1717 E Miraloma Ave, Placentia CA 92870. 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL DIRECTORS PRESENT STAFF PRESENT Michael J. Beverage, President Gina Knight, Human Resources Mgr Phil Hawkins, Vice President Ric Collett Robert R. Kiley Gary T. Melon 4. PUBLIC COMMENTS None. 5. CLOSED SESSION The meeting was adjourned to Closed Session at 5:40 p.m. All Directors were present. Also present was Mrs. Knight. 5.1. Public Employee Performance Evaluation Pursuant to Section 54957 of the California Government Code Title: General Manager The Board reconvened in Open Session at 6:25 p.m. President Beverage announced that no action was taken during Closed Session that was required to be reported under the Brown Act. 6. ADJOURNMENT 6.1. The meeting was adjourned at 6:26 p.m. The next regular meeting of the Board of Directors will be held March 24, 2011 at 8:30 a.m. Kenneth R. Vecchiarelli Board Secretary 1 ITEM NO. 6.4 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: Yes Total Budget: N/A To: Board of Directors Cost Estimate: $973,069.60 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 $973,069.60. DISCUSSION: The wire transfer and major items on this disbursement list are as follows: A wire of $251,995.52 to MWDOC for January 2011 water purchase; a check of $169,020.00 to Pacific Hydrotech Corporation for the Highland Booster Pump Station February 2011 progress payment; and, a check of $61,958.83 to Southern California Edison for February 2011 utility services rendered on all sites. The balance of $260,515.11 is routine invoices. The Accounts Payable check register total is $743,489.46; Payroll No. 5 total is $229,580.14; and, the disbursements of this agenda report are $973,069.60. 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: Descriptio a: o ype: CkReg32411 BOD.pdf Check Register Backup Material 11-CS 324.doc Cap Sheet Backup Material Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 PH/RK 5-0 Director Collett abstained from voting on Check No. 56155 as he has a financial interest with the vendor. Yorba Linda Water District Check Register For Checks Dated: 3/11/2011 thru 3/24/2011 Check No. Date Vendor Name Amount Oescript on ($10k or greate!j 56185 03/24/2011 1st Enterprise Bank 18,780.00 Highland Retention February 56084 03/24/2011 Abbott Staffing Croup 4,372.40 56085 03/24/2011 ACWA/JPIA 34,258.00 Property Ins prem 11-12 56086 03/24/2011 Albert A. Webb Associates 3,390.78 56077 03/24/2011 ALICIA SINGH 83.19 56087 03/24/2011 Alternative Hose Inc. 35.71 56088 03/24/2011 Annie Alexander 588.36 56089 031124/2011 Apollo Technologies Inc. 380.00 56090 03/24/2011 Appleone Employment Services 1,497.40 56091 03/24/2011 Aqua-Metric Sales Co. 1,674.97 56092 03/24/2011 Aramark 327.00 56109 03/24/2011 ARC 943.24 56093 03/24/2011 Arrow Hardware 202.85 56094 03/24/2011 AT & T Mobility 188.97 56095 03/24/2011 AWWA - Dues 231.00 56096 03/24/201]. Bell Pipe & Supply 88.61 56097 03/24/2011 Bob Peters Fire Protection 450.00 56098 03/24/2011 Boss Paint & Body 879.81 52765 03/17/2011 Brenda Weaver -32.05 56099 03/24/2011 Brown And Caldwell 200.00 56105 03/24/2011 C & L Refrigeration Corp. 282.69 56100 03/24/2011 California Debt and Investment Adv Comm 99.00 56101 03/24/2011 Carollo Engineers 3,016.70 56082 03/24/2011 CHRISTINE SNAPP 1,797.60 55403 03/17/2011 Christopher Talamantes -71.58 56102 03/24/2011 City Of Placentia 2,825.21 56103 03/24/2011 CIVILTFC Engineering, Inc 2,632.50 56104 03/24/2011 Clinical Lab. Of San Bern. 2,220.00 56106 03/24/2011 Coast Surveying, Inc. 705.00 56107 03/24/201.1 Coastal Ignition & Controls 600.47 56108 03/24/2011 Coastline Equipment 472.53 56110 03/24/2011 CPR Technology 114.51 56111 03/24/2011 Datalok Orange County 288.65 56112 03/24/2011 Dell Marketing L.P. 2,861.25 5611.3 03/24/2011 DeltaCare USA 338.83 56114 03/24/2011 Derek Nguyen 52.50 56115 03/24/2011 Dick's Lock & Safe Inc. 136.58 56116 03/24/2011 Digi-Key Corporation 42635 56117 03/24/2011 Eisel Enterprises, Inc. 197.71 56080 03/24/2011 ERIC PETERSON 3.76 56118 03/24/2011 FyeMed 1,316.16 56119 03/24/2011 Fleet Services, Inc 185.93 56120 03/24/2011 Flex Advantage 121.50 56081 03/24/2011 FRED CASTILLO 31.89 56121 03/24/2011 Fry's Electronics 409.89 56122 03/24/2011 Gary Melton 101.20 56123 03/24/2011 Government Finance Off icers 370.00 56124 03/24/2011 Grainger 322.41 56125 03/24/2011 Home Depot Credit Services 582.97 56126 03/24/2011 1D Modeling, Inc. 6,656.00 56127 03/24/2011 Inf05end Inc. 5,537.91 56128 03/24/2011 Jackson's Auto Supply - Napa 718.97 56129 03/24/2011 Killingsworth Gear 18,745.97 Well #1 upgrades 56130 03/24/2011 Konica Minolta Business 312.48 56131 03/24/2011 Konica Minolta Business 45.94 56078 03/24/2011 LESLIE LAYMAN 864.45 56132 03/24/2011 Liebert Cassidy Whitmore 8,964.00 56133 03/24/2011 LPR-Laser Printer Repair Co 359.39 56134 03/24/2011 Malcolm Pirnie, Inc. 7,827x50 56135 03/24/2011 Marina Lands-cape, Inc 3,141.47 56136 03/24/2011 Mc Cormick,Kidman & Behrens LLP 15,584.71 Legal services February 2011 56137 03/24/2011 Mc Fadden-Dale Hardware 127.07 56138 03/24/2011 Merchants Building Maintenance LLC 5,993.13 56139 03/24/2011 Miguel5erna 191.10 56140 03/24/2011 Minuteman Press 612.11 W31411 03/14/2011 Municipal Water District 251,995.52 Water purchase January 2011 56141 03/24/2011 Murcal, Inc. 1,593.32 56142 03/24/2011 MWH Soft Inc 1,200.00 56143 03/24/2011 Newport Beach Fire Department 75.00 56144 03/24/2011 Nextel Of California 1,836.66 56145 03/24/2011 Nickey Petroleum Co 3,520.95 56146 03/24/2011 Office Solutions 1,39184 56076 03/24/2011 OLINDA NURSERY 429,44 56148 03/24/2011 Orange County - I W M D 205.55 56147 03/24/2011 Orange County Register 130.35 56149 03/24/2011 Orange County Register 1,048.40 56150 03/24/2011 Orange County Water Assn 40.00 56159 03/24/2011 P.T.I. Sand & Gravel, Inc. 1,233.56 56151 03/24/2011 Pacific Hydrotech Corporation 169,020.00 Highland Booster prog pay Feb 56152 03/24/2011 Parts Source Anaheim 14.10 56153 03/24/2011 Pete',,; Parts & Accessories 285.47 56154 03/24/2011 Pete's Road Service Inc 1,148.41 56155 03/24/2011 Placentia Disposal #676 573.96 56156 03/24/2011 Praxair Distribution 101.88 56157 03/24/2011 Priority Mailing Systems LLC 195.75 56158 03/24/2011 Prudential Group Insurance 2,878.33 561£0 03/24/2011 Quinn Power Systems Associates 154.67 56164 03/24/2011 R J Services, Inc 1,344.14 56161 03/24/2011 Raftelis Financial Consultants, Inc. 3,769.16 56162 03/24/2011 RBF Consulting 14,506-83 Pipeline Repl January secs 56079 03/24/2011 REBECA GONZALEZ 135.83 56163 03/24/2011 Ricardo De Anda 110.04 55983 03/17/2011 Rick Marton -145.19 56165 03/24/2011 RKI Engineering, LLC 3,300.00 56166 03/24/20:11 Schorr Metals, Inc. 440.44 56167 03/24/2011 Scotr Coffrnan 198.42 56168 03/24/2011 Scott W. Moulton 1,636.25 56083 03/24/2011 SHAFAYAT DEWAN 58.57 56169 63/24/2011 Shape Products Co. 137.73 561.70 03/24/2011 Shred-It USA inc: 76.77 52757 03/17/2011 Sierra Douglas -79.16 56171 03/24/2011 SimplexGrinnell LP 785.00 56172 03/24/2011 Southern Calif Edison Co. 61,958.83 Utility, All sites February 2011 56173 03/24/2011 Southern Calif Gas Co. 27,608.43 Highland, GrnCrest, Rchf[d Feb 56177 03/24/2011 St.Joseph Heritage Healthcare 185.00 56174 03/24/2011 Staples Business Advantage 2,067.81 56175 03/24/2011 Stephen Parker 540.02 56176 03/24/2011 Stephen Parker/ Petty Cash 405.22 56178 03/24/2011 Sunrise Medical Group 65,00 52706 03/17/2011 Terence Green -77.31 56179 03/24/2011 Time Warner Cable 297.79 56180 03/24/2011 Trench Sharing 170.00 56184 03/24/2011 U S Postal Service(Hasler) 5,000.00 56181 03/24/2011 Underground Service Alert 174.00 56182 03/24/2011 United Industries 258.15 56183 03/24/2011 United Rentals - Fullerton 132.31 56186 03/24/2011 Verizon Wireless 751.33 56187 03/24/2011 Walters Wholesale Electric Co. 81.84 56188 03/24/2011 Web Cam Pro Shop 255M 56189 03/24/2011 Wells Supply Co 9,976.52 56190 03/24/2011 Xerox Corporation 1,437.58 56191 03/24/2011 Yorba Linda Hardware 127.70 Total $743,489.46 March 24, 2011 CHECK NUMBERS: Void Checks 52706, 52757 52765, 55403 And 55983 $ (355.29) Computer Checks 56076-56191 $ 491,849.23 $ 491, 493.94 WIRE: W-31411 MWDOC $ 251,995.52 TOTAL OF CHECKS AND WIRE $ 743,489.46 PAYROLL NO. 5: Computer Checks 4830- 4836 Manual Checks 4837- 4845 $ 229,580.14 DISBURSEMENT TOTAL: $ 973,069.60 APPROVED BY THE BOARD OF DIRECTORS MINUTE ORDER AT BOARD MEETING OF MARCH 24, 2011 ITEM NO. 6.5 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: Yes Total Budget: $5.5M To: Board of Directors Cost Estimate: $5.5M Funding Source: Water Revenue Bond From: Ken Vecchiarelli, General Account No: 101-2700 Manager Job No: J-200814 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: N/A Prepared By: Joe Polimino, Project Engineer CEQA Compliance: MND Subject: Progress Payment No. 2 for Construction of the Highland Pump Station Project SUMMARY: Work is proceeding on schedule for construction of the Highland Pump Station Project that will include a new building, three electric motor driven pumps, two natural gas engine driven pumps, various piping, a surge tank and a new access road. STAFF RECOMMENDATION: That the Board of Directors approve Progress Payment No. 2 in the net amount of $169,020.00 to Pacific Hydrotech Corporation for construction of the Highland Pump Station Project, Job No. 200814. DISCUSSION: In accordance with the contract documents, Pacific Hydrotech Corporation submitted a request for Progress Payment No. 2, in the amount of $187,800.00 for completed work through February 28, 2011. During this period, the contractor excavated for the piping under the building, set the discharge header and pump cans. They also excavated, formed and poured the concrete retaining wall footing, and finished the stairs to the top of the adjacent reservoir. The status of the construction contract with Pacific Hydrotech Corporation is as follows: . The current contract is $4,525,800.00 and 286 work days starting November 1, 2010. . If approved, Progress Payment No. 2 is $187,800.00 (4.1 % of the total contract amount), less 10% retention of $18,780.00 for a net payment of $169,020.00. . If approved, total payments to date including retention will be $502,900.00 (11.1 % of the total contract amount). . As of February 28, 2011, 80 work days were used (28.0% of the contract time). Staff reviewed the contractor's progress payment and recommend approval. A copy of Progress Payment No. 2 is attached for your reference. PRIOR RELEVANT BOARD ACTION(S): A construction contract in the amount of $4,525,800 was awarded to the low bidder, Pacific Hydrotech Corporation on August 12, 2010. The Board has approved one progress payment to date for this project, which was approved February 24, 2011. ATTACHMENTS: Name: Description: i ype: PHC Progress Payment Request 2 for Highland Pump PHC Progress Pay 2 for Highland PS.pdf Backup Material Station Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 PH/RK 5-0 YORBA LINDA WATER DISTRICT PROGRESS PAY REPORT PROJECT Highland Booster Station Replacement PROGRESS PAY REQUEST NO. 002 LOCATION Yorba Linda, CA PROJECT NO. 200814 PAGE 1 OF 1 PAGES CONTRACTOR Pacific Hydrotech Corporation DATE 31412011 ORIGINAL CONTRACT AMOUNT: $4,525,800.00 AUTHORIZED CHANGE ORDERS: REVISED CONTRACT AMOUNT: $4,525,800.00 PROGRESS PAY ESTIMATE FOR PERIOD February 1, 2011 TO February 28, 2011 PREVIOUS THIS MONTH TO DATE VALUE OF WORK COMPLETED $315,100.00 $187,800.00 $502,,900.00 CHANGE ORDER WORK COMPLETED TOTAL VALUE OF WORK COMPLETED $315,100.00 $187,800.00 $542,900.00 LESS RETENTION 10% $50.290.00 LESS OTHER DEDUCTIONS Electronic Wire Fees NET EARNED TO DATE $452,610.00 LESS AMOUNT PREVIOUSLY PAID $283,59D-00 BALANCE DUE THIS ESTIMATE $169,020.00 NOTICE TO PROCEED November 1, 2010 COMPLETION TIME 286 WORKDAYS APPROVED TIME EXTENSIONS 0 WORK DAYS TOTAL CONTRACT TIME 286 WORK BAYS TIME EXPENDER TO DATE 80 WORK DAYS TIME REMAINING 206 WORK DAYS REQUESTED BY: DATE=: 3/9/11 Ronald Wiebe, ProjpCbqCcordinator, Pacific Hydrotech Corporation RECOMMENDED:' DATE : Joe Pvlimina, Project Engineer, YLWD APPROVE=D BY: DATE: Steve Conklin, Engineering Manager, YLWD ITEM NO. 7.1 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: N/A To: Board of Directors Funding Source: N/A From: Ken Vecchiarelli, General Manager Job No: J-200910 Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: Pending Prepared By: Ariel Bacani, Engineering CEQA Compliance: N/A Technician II Subject: Declaration of Restrictive Covenants with St. Joseph Health System - 4300 Rose Drive, YL SUMMARY: St. Joseph Health System constructed a wall and light standard along and across the District's dedicated sewer easement within 4300 Rose Drive. District staff reviewed the encroachment and recommends approval subject to the execution of a Declaration of Restrictive Covenants. STAFF RECOMMENDATION: That the Board of Directors authorize the President and Secretary to execute the Declaration of Restrictive Covenants, subject to approval as to form by General Counsel, with St. Joseph Health System, Job No. 200910. DISCUSSION: St. Joseph Health System installed a sewer connection to the onsite District sewer system within the southeastern corner of 4300 Rose Drive. They later constructed a split face block wall, a wrought iron fence and a light standard, per City of Yorba Linda requirements, within a dedicated District sewer easement. The installed improvements run parallel and across the sewer main within the easement, as shown on the enclosed exhibit. Staff reviewed this encroachment and determined that the improvements will require an access gate for the maintenance of the District's sewer facilities. To further protect the District's interests, staff recommends the execution of the attached Declaration of Restrictive Covenants, subject to approval as to form by General Counsel. PRIOR RELEVANT BOARD ACTION(S): The Board of Directors has authorized execution of similar Declarations of Restrictive Covenants with various developers and property owners. ATTACHMENTS: Name: Description: Type: 200910_DoRC - StJHS.pdf Declaration of Restrictive Covenants Agreement Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 PH/RC 5-0 Subject to approval as to form by General Counsel. RECORDING REQUESTED BY and when recorded return to: Yorba Linda Water District P.O. Box 309 Yorba Linda, California 92885-0309 This is to certify that this Declaration of Restrictive Covenants is presented for recording under the provisions of Gov. Code Sec. 27383 by the Yorba Linda Water District in performance of an official service thereof. Kenneth R. Vecchiarelli - Secretary Space Above This Line for Recorder's Use DECLARATION OF RESTRICTIVE COVENANTS (ENCROACHMENT ON DISTRICT EASEMENT) Job No. 200910 THIS DECLARATION OF RESTRICTIVE COVENANTS ("Declaration") is made this 24th day of March, 2011, by and between YORBA LINDA WATER DISTRICT ("YLWD"), a public agency, created and operating under the authority of Division 12 of the California Water Code, and ST. JOSEPH HEALTH SYSTEM ("Owner"), with reference to the following recitals of fact: RECITALS A. The Owner is the legal owner of that certain real property located at 4300 Rose Dr., Yorba Linda, California 92886 ("Subject Property"), which is more particularly described as follows: PARCEL 1 AS SHOWN ON EXHIBIT "A" OF LOT LINE ADJUSTMENT LLA 08-04, RECORDED MAY 22, 2008 AS INSTRUMENT NO. 2008000245832, OFFICIAL RECORDS OF ORANGE COUNTY, CALIFORNIA B. YLWD owns an Easement, as identified on the Deed of Easement, recorded on January 30, 1970, in Book 9204, Pages 555 through 556, Official Records of Orange County, California ("Easement"), across a portion of the Subject Property. Within the Easement, YLWD owns and maintains a sewer main and manhole ("District Facilities"). C. The Owner has constructed and installed a split face block wall, a wrought iron fence and a light standard, and wishes to construct and install a five-foot wide gate, landscaping, and related 1 construction (collectively herein referred to as "Improvements") within and along the Easement area (hereinafter, "Encroachment"), as illustrated in Exhibit "A" attached hereto and incorporated by reference herewith. D. YLWD conditionally consents to Encroachment of the Improvements within and along the Easement area as stipulated in this Declaration. Owner is aware that the Improvements may lead to problems affecting and/or interfering with YLWD's use of the Easement. E. Although the construction or existence of walls, structures, and other improvements within and along the Easement area may interfere or restrict YLWD's Easement rights, the Owner wishes to construct and use the Improvement within and along the Easement area. NOW, THEREFORE, incorporating the above recitals, YLWD and Owner declare as follows: 1. Covenant Running with Land. This Declaration constitutes a covenant running with the land as provided by the California Civil Code Section 1468 and shall benefit, burden, and bind the successive owners of the Subject Property and the Easement. 2. Successors and Assigns Bound. Since Owner wishes to pursue the Encroachment, this Declaration obligates the current and future owners of the Subject Property to remedy any future adverse events and to fund any necessary maintenance costs on the Easement and/or Subject Property that may arise in full or in part due to the existence, construction, or damages caused by the Encroachment. 3. Damames to District Facilities. Owner assumes full responsibility, liability and shall pay for any cost(s) or damage(s) to the District Facilities and appurtenant structures, arising from or related to the construction, existence, and/or use of the Improvements. YLWD shall not be responsible for any cost(s) or damage(s) to the District Facilities and appurtenant structures that arise from the Encroachment. 4. Dama$zes to Third Parties. Owner, its successors or assigns, agrees to indemnify and hold YLWD, its officers, directors, employees, agents and consultants, harmless against any third 2 party claims related to or arising out of the construction, existence and/or use of the Improvements. 5. Dama$zes to Improvements. Owner acknowledges that the Improvement may be damaged or demolished to permit reasonable access to or reasonable work within and under the Easement area. YLWD, its officers, directors, employees, agents and consultants, shall not be responsible for any damage(s) to or because of the Improvement which results from YLWD's exercise of rights under the Easement. Owner, its successors or assigns, waives all known, unknown, and future claims, liabilities, causes of action, and expenses (including, but not limited to, attorneys' fees) against YLWD, its officers, directors, employees, agents and consultants, for losses and damages to the Improvement and from any obligation to protect, preserve, repair, or replace the Improvement. Construction, use, protection, repair and replacement of the Improvement shall be entirely the risk and obligation of Owner, its successors or assigns, even if damage is caused by YLWD. 6. Recording of Agreement. This Declaration shall be recorded in the Office of the Recorder of the County of Orange, California, and shall constitute notice to all successors and assigns of the title to the Subject Property of the rights and obligations set forth herein. 3 Approved as to Form: McCormick, Kidman & Behrens, LLP YORBA LINDA WATER DISTRICT: Arthur G. Kidman Michael Beverage General Counsel President Kenneth R. Vecchiarelli Secretary ST. JOSEPH HEALTH SYSTEM Name: Title: Name: Title: 4 BASTANCHURY ROAD -5504' -4'56% I I uT, VIII ° I II ~I ~ II II I > CE ° 0 ° U) O ° ° y I ~ C=~L 01 v I a m © 1 v v I o ~ v - SEE DETAIL ON SHEET 2 Y I I < =32W in ! ~ = I 13, w o ~ x co M co N M / I H m w PREPARED FOR: DATE PREPARED Z ST. JOSEPH HEALTH SYSTEM DECLARATION OF RESTRICTIVE COVENANTS 03/14/2011 500 SOUTH MAIN STREET, SUITE 1000 DATE REVISED: ORANGE, CA 92868 PH: 714.347.7500 EXHIBIT °A° 03/15/2011 'cn PREPARED BY: 4300 ROSE DR., YORBA LINDA, CA. w FUSCOE ENGINEERING, INC. ST. JOSEPH HEALTH SYSTEM 16795 VON KARMAN, SUITE 100 SHEET IRVINE, CA 92606 PH: 949.474.1960 1 OF 2 R m TRASH ENCLOSURE 0 9NIAdVd ON L I EMERGENCY SPLIT FACE LIGHT OVERFLOW BLOCK WALL STANDARD SPLIT FACE BLOCK WALL 5' GATE EX.8"S o w s s cq 20' Y LW D E S M T. w - - - - - - - N - - WROUGHT h' IRON FENCE L3j N / O S x 0 ° N m w PREPARED FOR: DATE PREPARED: Z ST. JOSEPH HEALTH SYSTEM DECLARATION OF RESTRICTIVE COVENANTS 03/14/2011 500 SOUTH MAIN STREET, SUITE 1000 DATE REVISED: ORANGE, CA 92868 PH: 714.347.7500 EXHIBIT AAA 03/15/2011 00 PREPARED BY: 4300 ROSE DR., YORBA LINDA, CA. w FUSCOE ENGINEERING, INC. ST. JOSEPH HEALTH SYSTEM 16795 VON KARMAN, SUITE 100 SHEET IRVINE, CA 92606 PH: 949.474.1960 2 OF 2 ITEM NO. 7.2 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: Yes Total Budget: $38,900 To: Board of Directors Cost Estimate: $34,528 Funding Source: Water Operating Fund From: Ken Vecchiarelli, General Account No: 1-7020-0690-00 Manager Presented By: Gina Knight, Human Resources Dept: Human Manager Resources/Risk Management Reviewed by Legal: N/A Prepared By: Amelia Cloonan, Personnel CEQA Compliance: N/A Technician Subject: Property Insurance Premium for April 2011-2012 SUMMARY: The purpose of this report is for the Board of Directors to authorize payment for the annual premium to renew property insurance through the Association of California Water Agencies/Joint Powers Insurance Authority (ACWA/JPIA) for the period April 1, 2011 to April 1, 2012 at a cost of $34,258. STAFF RECOMMENDATION: That the Board of Directors authorize payment in the amount of $34,258 to renew the District's property insurance coverage through the ACWA/JPIA for the period April 1, 2011 through April 1, 2012. COMMITTEE RECOMMENDATION: This item was not presented to the Personnel/Risk Management Committee for review as the scheduled meeting for the month of March 2011 was canceled. DISCUSSION: The District obtains property insurance through the ACWA/JPIA. In addition, the District also receives workers compensation and general liability insurance coverage through ACWA/JPIA and receives a multiple program discount of 5%. The District's adopted purchasing policy authorizes the General Manager to procure services identified in the budget in amounts not to exceed $25,000 with three written quotes. The payment of the annual insurance premium to the ACWA/JPIA, while administrative in nature, falls outside the adopted purchasing policy since the premium exceeds the General Manager's authority and the District does not receive three separate quotes. Therefore Board authorization is needed to renew the policy and pay the annual insurance premium. The District's current property insurance policy will expire on March 31, 2011. District property covered under this insurance program includes buildings, personal property, fixed equipment, mobile equipment, certain licensed vehicles and certain catastrophic events. The District's buried reservoirs and the majority of its vehicles are not covered under the policy. Attached for the Board's review is a summary of the coverage: 1. The values for mobile equipment and licensed vehicles are computed on actual cash value basis. As these items depreciate, staff adjusts the values accordingly. 2. Mobile equipment includes backhoes and tractor/lawn mower and has a deductible of $1,000 per occurrence. 3. Licensed vehicles covered include the sewer jet vactors, hydro excavator, dump trucks, portable pumps, portable generator and other larger vehicles with a $500 deductible per occurrence. 4. The majority of the District's vehicles such as the sedans, pickups and utility trucks, are self insured by the District. 5. Buildings, fixed equipment and personal property have a deductible of $1,000 per occurrence. This year's invoice is based on values and items listed on the schedule. The JPIA increased the values for buildings and other structures by 4.18%, and fixed equipment values were increased by 2.46%. These increased are based on the average increases in construction/acquisition costs as calculated by published indexes per the JPIA. PRIOR RELEVANT BOARD ACTION(S): On March 25, 2010, the Board of Directors approved last year's annual property insurance payment in the amount of $35,325. ATTACHMENTS: Name: Description: Type: Invoice for Property Insurance ACWA-JPIA 2011 ACWA/JPIA Property Program Renewal Invoice Backup Material 2012. pdf Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 GM/PH 5-0 ASS©C@ATION ur C:ALLIFORNIA~,WAArER AGENCIES T JPIA JOINT POWERS INVOICE INSURANCE AU TFIGRITY Property Program Renewal Billing for Member#Ya02 41112011 - 41112012 Yorba Linda Water District P.G. Box 309 Invoice Date: 318/2011 Yorba Linda, CA 92885-0309 Basic Property Billable Total Rate Premium A. Buildings Value $12,333,325 $12,333,325 0.00100 $12,333 B. Fixed Equipment Value $8,901,136 $8,901,136 0.00100 58,901 C. Personal Property Value $1,969,522 $1,969,522 0.00100 $1,970 523,203,983 X 0.00100 _ $23,204 Credit for $1,000 Deductible Amount - $0 Mobile Equipment A. Mobile Equipment Value $96,200 X 0.00150 - $144 Credit far $1,000 Deductible Amount - $0 Licensed Vehicle A. Comprehensive and Collision Count Value Rate Premium 1, Passenger Car 0 X $107 = $b 2. light Truck 2 X $125 = $250 3. SUVIJeep 0 X $149 = $0 4. Van 0 X $123 = $0 5. All Other 15 $1,466,169 X 0.00850 = $12,462 Total Vehicle Premium = $12,712 Credit for $500 Deductible Amount - 5o B. Catastrophic Coverage Billable Total Rate Premium 1. Basic $0 $100,000 X 0.00000 = 50 2. Extra $0 $0 X 0.007130 $0 Credit for $1,000 Deductible Amount - $0 Sub Total $36,061 JPIA Multiple Program Discount (5%) - ($1,803) Deposit Premium = S34,258 Premium Adjustment + $0 Total Amount Due = $34,258 Payment due within 30 Days ITEM NO. 7.3 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: No Total Budget: $0 To: Board of Directors Cost Estimate: $18,614.89 Funding Source: Operating Funds From: Ken Vecchiarelli, General Account No: 1-6020-0620-20 Manager Presented By: Art Vega, Acting IT Director Dept: Information Technology Reviewed by Legal: No Prepared By: Art Vega, Acting IT Director CEQA Compliance: N/A Subject: Microsoft Select 6 Software Assurance Contract Renewal SUMMARY: The District, currently licenses the following Microsoft software through a Microsoft Select 6 Software Assurance contract: Office, Exchange Server (email), Visio, Visual Studio, and Windows Server. The District's current Microsoft Select 6 Software Assurance contract expired on January 31, 2011. The new contract will extend services through January 31, 2014 with the possibility of annual extensions thereafter. STAFF RECOMMENDATION: That the Board of Directors authorize renewal of the Microsoft Select 6 Software Assurance contract for $18,614.89. COMMITTEE RECOMMENDATION: This Item was not reviewed by the Public Affairs-Communications-Technology Committee. DISCUSSION: The California Department of General Services entered into a volume licensing contract with Microsoft several years ago, in order to take advantage of the lower prices negotiated by volume purchasing. Local and state agencies in California are encouraged to join under the parent contract in order to increase volume purchasing and support further negotiations for reduced pricing for Microsoft software. The parent contract, pricing, and contract extensions are negotiated by the California Department of General Services with Microsoft for a duration of 3 years. This volume licensing contract/program is currently known as Microsoft Select 6. The contract and software pricing sheet identifies two types of volume licenses. Single version and single version with Software Assurance (SA). Single version licenses allows the District to purchase the current version of software, but upgrades are not included. SA is a version upgrade protection license that allows the District to install the current version of the software. However, the District would also be entitled to any upgrades of the SA licensed software released within the contract period. SA licenses also provides other benefits including resolution support, extended hotfix support, e-learning and a software home use program. The District purchases both types of volume licenses depending on the cost and benefit that each license provides, and the time remaining in the current contract period. In 2000, the District entered into a contract with Microsoft through the California Department of General Services parent contract, for purchasing Microsoft software licenses, support and updates. The District currently has the following Microsoft SA licenses that need to be renewed: Office, Exchange Server (email), Visio, Visual Studio, and Windows Server licenses. Staff originally intended to budget for this expense during the 2010-2011 fiscal year, but removed the line item due to encouraging signs that the contract would be extended an additional year. However, the contract was not extended. Funding for this expenditure will come out of the Information Technology Department from various line items that are currently approved and have fund balances available. The overall IT Budget has sufficient funds to cover this contract extension, as year to date overall expenses are trending well below budget. The District's current Microsoft Select 6 Software Assurance contract expired on January 31, 2011. This contract renewal is still available and would cover the District through January 31, 2014 for the listed software licenses and support. PRIOR RELEVANT BOARD ACTION(S): The Board approved earlier budgets which contained a line item to renew Microsoft Select 6 software Assurance licenses. Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 RK/PH 5-0 ITEM NO. 7.4 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: N/A To: Board of Directors Funding Source: N/A From: Ken Vecchiarelli, General Manager Presented By: Ken Vecchiarelli, General Dept: Administration Manager Reviewed by Legal: Yes Prepared By: Cindy Botts, Management Analyst Subject: Property Owner Continuous Water Service Agreement SUMMARY: The Continuous Service Agreement addresses the unique needs of multi-family property owners and property owners that lease out or rent out investment properties, by automatically transferring water service back into the property owner's name once a tenant has discontinued service. This allows the property owner access to water at the property between tenants, while forgoing the $25 New Customer Service Charge each time a tenant moves out. STAFF RECOMMENDATION: That the Board of Directors authorize the use of a Continuous Service Agreement for multiple property owners that choose to execute this agreement for their rental properties, subject to approval as to form by General Counsel. COMMITTEE RECOMMENDATION: The Executive-Administrative-Organizational Committee reviewed this item at their meeting on March 15, 2011 and supports the staff recommendation. DISCUSSION: The desire for a Continuous Service Agreement was brought to the attention of the Customer Service staff by several property owners who have signed similar agreements with other water agencies and local utilities. The agreement offers continuity of service for rental property owners and property management companies that desire access to water between tenants and agree to accept the responsibility of making water service payments until a new tenant signs on for service. Staff estimates approximately 25 to 50 property owners would be eligible to sign up for this service. The Agreement was sent to Legal Counsel for review and modified accordingly. Staff anticipates that this service will be available to qualified property owners by the end of this fiscal year. ATTACHMENTS: Name: Description: Type: Continuous Service Agreement FINAL.docx Continuous Service Agreement Backup Material Approved by the Board of Directors of the Yorba Linda Water District 3/24/2011 PH/GM 5-0 Subject to approval as to form by General Counsel. ® Yorba Linda Water District Continuous Service Agreement When YORBA LINDA WATER DISTRICT ("District") is notified that a tenant is vacating the premises, the meter should be read and water service continued without interruption. Until the District is otherwise notified, water service is to be billed to: (PLEASE PRINT OR TYPE) Name of Applicant (Owner, Property Management Company, or Business to appear on account) Name of Property Owner (if different from Applicant) Social Security Number or Tax ID Number Mailing Address City, State, and Zip Code Phone Number Name/Title of Contact Person The District is requested to continue water service without interruption to each separately metered dwelling unit at the following address or addresses: Address City Apt/Unit No. Address City Apt/Unit No. Address City Apt/Unit No. For additional dwelling, please list on a separate page. Total number of units to be placed under "Continuous Service Agreement" The undersigned is the owner or the owner's agent ("Applicant") (see Item 10 on the reverse side) of the premises listed below. By signing below, I acknowledge that I have read the entire agreement, including the Terms and Conditions listed below and on the reverse side, and agree to such terms and conditions. Signature of Applicant Title Date Signature of District Representative Effective Date of Agreement ® Yorba Linda Water District TERMS AND CONDITIONS "CONTINUOUS SERVICE AGREEMENT" The undersigned ("Applicant") and Yorba Linda Water District ("District") mutually agree as follows: 1. The District shall leave water service on from the time a tenant requests water service terminated ("Termination") until a subsequent tenant has arranged for and established service in accordance with District fees, rules and regulations. 2. Approval of the Agreement by the District will exempt the Applicant from future service establishment charges for the dwelling units listed following any service Termination by individual tenants at the listed dwellings. Upon Termination of this agreement by either party, the Applicant will no longer be exempt from the service establishment charges. 3. Applicant shall promptly pay all water bills, including service charges from Termination until Transfer (as defined below). 4. The District agrees that on receipt of notification from a current tenant or Applicant to terminate service, the service shall be terminated on the agreed Termination date or no later than two (2) working days after receipt of notification. The meter readings taken in conjunction with the Termination of service shall be used to bill the terminating tenant and also as a base to start billing the Applicant (Transfer). 5. Applicant is responsible for informing the District of the date upon which the current tenant vacates ("vacation date") the premises and for informing new tenants of the need to contact the District for the transfer of the water service into their individual names at the time of occupancy. The Applicant shall be liable for all bills left unpaid by vacating tenant. The District will go through the collection process prior to billing the Applicant for any unpaid bills. Applicant shall also be liable for all bills from vacation date until date account is transferred to the new tenant. 6. Applicant is responsible for informing the District when the current tenant vacates the premises and for informing new tenants of the need to contact the District for the transfer of the water service into their individual names at the time of occupancy. The applicant shall be liable for all bills with respect to such account until it is transferred to the new tenant, as well as for any unpaid bills from the current tenant. The District will make every attempt to go through the collection process prior to billing the Applicant for any unpaid charges. 7. Applicant must have/maintain credit acceptable to the District in accordance with applicable fees to continue service under this Agreement. Should water bills rendered to the Applicant for this or any other account not be paid in a timely basis and require collection activity, including any fees associated with the District's Conservation Ordinance Violations, this Agreement may be terminated immediately by the District. 8. This Agreement does not prevent discontinuation of service due to a tenant's or Applicant's nonpayment of bills or deposit. In the event of nonpayment by the tenant, the Applicant will be notified. Should the Applicant wish to prevent discontinuation of service to the property, the Applicant shall inform the District that the account is to be transferred into his/her name. If the Applicant does not wish to transfer the account into his/her name, this Agreement shall be terminated and the District shall continue with the standard "Discontinuation of Service for Non-Payment" procedure. 9. In the event of unauthorized usage by the tenant or Applicant, or if the equipment is found to be tampered with, water service to the premises will be terminated. In addition, this Agreement does not prevent discontinuation of service in the event of a hazardous condition found during routine maintenance or service request by the tenant. 10. This Agreement shall otherwise remain in effect until the Applicant or the District proves notification to the other party to terminate the Agreement. Applicant is responsible for terminating the Agreement to prevent continual billing of account(s) in Applicant's name and covered by this Agreement after selling of property or change in ownership. Upon termination of the Agreement, any account billing in the Applicant's name covered by the Agreement will be subject to service disconnection unless the District is notified otherwise. 11. The signatory to this Agreement represents that he/she has the authority to bind the corporation, partners, joint venture or individuals in this matter, if applicable. 12. This Agreement shall become effective within thirty (30) days after the completed and signed Agreement is received by the District. ITEM NO. 8.1 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: N/A Total Budget: N/A To: Board of Directors Cost Estimate: N/A Funding Source: N/A From: Ken Vecchiarelli, General Account No: N/A Manager Job No: N/A Presented By: Steve Conklin, Engineering Dept: Engineering Manager Reviewed by Legal: N/A Prepared By: Derek Nguyen, Water Quality CEQA Compliance: N/A Engineer Subject: Water Quality Update SUMMARY: Recent media attention has been focused on some water quality issues, specifically perchlorate, chromium 6, and fluoride, and their effects on public health. Staff will provide a brief PowerPoint presentation on these items. Also, information will be provided on hardness, taste, and odor, which are the most frequent concerns expressed by our customers. ITEM NO. 8.2 AGENDA REPORT Meeting Date: March 24, 2011 Budgeted: N/A To: Board of Directors Funding Source: N/A From: Ken Vecchiarelli, General Manager Presented By: Ken Vecchiarelli, General Dept: Administration Manager Reviewed by Legal: No Prepared By: Cindy Botts, Management CEQA Compliance: N/A Analyst Subject: Strategic Plan 2011-2013 SUMMARY: Like many other water agencies in California, the District is facing a fast-changing operating environment with unprecedented challenges on many fronts. These challenges include an uncertain economic climate that has resulted in a decrease in District revenue; water supply and quality issues; environmental pressures that threaten or reduce imported water supplies; regulatory mandates; infrastructure maintenance and upgrades; rising employee health care costs; and the impending retirement of many highly trained, knowledgeable staff. To help address these challenges and to further the District in achieving its mission and vision statements, the District set forth in preparing and a Strategic Plan. DISCUSSION: The 2011-2013 Strategic Plan creates a plan that sets forth goals, objectives and action steps, determined by the mission and vision statements of the District. This effort was established through a Strategic Planning Workshop with input and feedback from the Board of Directors, the Executive Management team, and members of the Employee Productivity-Innovation-Communications (EPIC) Committee. The goals, objectives and action steps identified in the Strategic Plan will assist in prioritizing and budgeting resources in future fiscal year budgets and provide structure and focus for other forward planning efforts. PRIOR RELEVANT BOARD ACTION(S): The Board of Directors, Executive Staff, and members of the EPIC committee discussed the Strategic Plan in depth at the Board Strategic Planning Workshop on January 20, 2011. Various drafts of the plan were sent out to all Strategic Plan Stakeholders on several occasions, with comments incorporated into the final document. ATTACHMENTS: Name: Description: Type: Strategic Plan Draft 3 Mar22 2011.pdf Draft Strategic Plan Backup Material Yorba Linda Water District 2011-2013 STRATEGIC PLAN y (007 INTRODUCTION The Yorba Linda Water District (District) is an independent special district serving approximately 23,800 accounts within the city of Yorba Linda and portions of Placentia, Brea, Anaheim and unincorporated Orange County. In addition to supplying water to a predominantly residential community, the District is also responsible for maintaining wastewater collection systems in the community. Like many other water agencies in California, the District is facing a fast- changing operating environment with unprecedented challenges on many fronts. These challenges include an uncertain economic climate that has resulted in a decrease in District revenue; water supply and quality issues; environmental pressures in the Sacramento-San Joaquin Delta, threatening or reducing our imported water supplies; regulatory mandates enforcing permanent conservation levels; urgently needed infrastructure maintenance and upgrades; rising employee healthcare costs; increasing media scrutiny; and the impending retirement of many highly trained, knowledgeable staff. To address these challenges, the District, with the assistance of MAP Consulting, developed a strategic plan outline in 2009. This document takes that outline one step further, for the years 2011-2013, creating a plan that can be adopted by the Board of Directors and utilized for budgeting resources and forward planning. The plan will be integrated into the FY 2011-2012 budgetary process to ensure that resources are properly allocated to achieve the goals and objectives set forth in this plan. The goals, objectives and action steps within this strategic plan are determined by the mission and vision statements and core values of the District and further established through the process initiated by the Board of Directors at their Strategic Planning Workshop on January 20, 2011. Stakeholders participating in this process include all five Board Members, the Executive Management team and members of the Employee Productivity-Innovation- Communications (EPIC) Committee, made up of staff representatives with varied levels of experience and expertise from across all District departments. 2 1-_. Mission and Vision Statements k Mission Statement h Yorba Linda Water District will provide reliable, high quality water and sewer services in an environmentally responsible manner, while maintaining an economical cost and unparalleled customer service to our community. Vision Statement Yorba Linda Water District will become the leading, innovative and efficient source for high quality reliable services. 3~ GOALS, INTIATIVES AND STRATEGIES Through the District's strategic planning process, goals are identified as challenges the District will address and opportunities for improvement that support the District's mission and further its vision. Initiatives are defined as high-level concepts or plans for accomplishing the identified goals. Strategies are defined as action steps to achieving the identified initiatives, which, in turn, achieve the identified goals. The following five goals were identified as the most critical challenges for the District to address in the next two years. Milestones for the strategies and action assignments are incorporated into the appendix of this document, and will be adapted as needed in conjunction with the FY 2011/2012 and the FY 2012/2013 Budget process. Goal CP: Community Partnership Goal FR: Fiscal Responsibility Goal • Operational Efficiency Goal SR: Service Reliability L L Goal WE: Workforce Eng~agement,,I~i 4~ Board Member Opportunities One of the most important functions of the District's Board of Directors is the governance of the agency through the establishment of broad policies and objectives. It is, therefore, vitally important to the agency that the Board of Directors understand and adhere to their set roles. The following questionnaire details the Board of Directors' beliefs prior to the development of this document and, in part, helped to determine areas for improvement outlined in the 2011- 2013 Strategic Plan. 4 3 2 1110 4 = Outstanding, 3 = Good, # responses 2 = Fair, 1 = Poor, O Unknown for each score Board members clearly understand their responsibilities to 3 2 the board and to the organization I clearly understand my responsibilities to the board and 2 3 to the organization The board contains the appropriate range of experience 2 3 Board meetings are conducted on a regular basis 4 1 The board meetings are productive and effective 1 3 1 The board is appropriately involved in community events 3 2 I am involved in community events 1 3 1 The board receives accurate and timely information about 4 1 the financial status of the organization The board regularly attends employee appreciation events 1 2 2 Board members come prepared to the meetings 4 1 I come prepared to the meetings 5 The board sets the policy direction for the future activities 5 of the organization I believe that the organization is meeting its stated purpose 5 The board safeguards the assets of the organization by 4 1 having effective controls in place The board works closely with the executive staff to develop 1 4 short-term and long-range projects, goals and objectives The board regularly assesses whether the organization is 4 1 meeting it goals and stated purpose Rate the working relationship between the board and the 1 4 general manager 5~ District Opportunities Just as the Board of Directors utilized a questionnaire to establish areas of strength and necessary improvements, all of the stakeholders involved in the 2011-2013 Strategic Planning process also utilized a questionnaire as a guide for the development of the Strategic Plan, focusing on key words in the Mission and Vision Statements. Each key word is rated on a scale of 1 to 10, with 10 being the highest possible rating. Mission Statement Effectiveness 10.0 8.0 6.0 4.0 2.0 r,. 0.0 1,•~O S~o~~ ~o C. " Vision Statement Effectiveness 10.0 ~I tea. 8.0 6.0 4.0 2.0 0.0 Overall Leading Innovative Efficient High Quality Reliable 6~ District Core Values All of the stakeholders involved in the 2011-2013 Strategic Planning process utilized a second questionnaire as a guide for the development of the Strategic Plan, focusing on potential core values for the District. A list of core values from the 2009 Strategic Plan outline, as well as from the 2011 Strategic Plan workshop was incorporated into the questionnaire. Each core value was then rated on a scale of 1 to 10, with 1 being the most important value to the District. The results are listed below, with the five highest ranked core values including: Integrity, Accountability, Responsibility, Transparency and Teamwork. These core values form the foundation on which the District will perform work and conduct itself. They underlie how the District's employees and Board will interact with each other, as well as with customers, and which strategies the District will employ to fulfill this Plan. They define the character of the agency and guide how decisions are made. b», VALUE FINAL RANK 1 2 3 4 5 Communicative 6 Responsive 7 Commitment 8 Fairness 9 Courtesy 10 7 I l !Y Goal CP: Community Partnership As a public agency, the District is expected to demonstrate the prudent use of public funds. The District's services should provide tangible benefits that are of value to the community. Strengthening existing relationships with key stakeholders, including customers and agency partners, while demonstrating our dedication to transparency in the most professional manner, is paramount. Initiatives v CP 1: Increase Brand Recognition within the Community CP 2: Increase Public Awareness Water- - - Related Issues rrrrrr, , r s; Strategies, up , Brand CP 1: Increase Recognition within the Community Develop a Public 8v Governmental Affairs Division Develop a Public Relations Master Plan with Measurable Goals M-W Have Board of Directors and YLWD Staff Attend More Events and Inter-governmental Meetings within the Local Community Continue to Support Regional Training and Multi-Agency Workgroups through the Joint Use of the Administration Building Effectively Use Broad-Spectrum Communication Opportunities 8~ • Increase Public Awareness Water- Wastewater- Related 7i -A Provide Financial Incentives and Rebates for Water-Use Efficiency Develop and Expand a Youth-Education Program M-W Consider Participation in the California Urban Water Conservation Council's Best Management Practices Enhance the District's Regional Water and Wastewater Industry Participation "141.0m 40< 9 I n Goal FR: Fiscal Responsibility The District is ranked highly by financial ratings organizations, has proven to be a good financial steward, and consistently strives for a clear, well- documented budget process and clean annual financial audit. However, with the state and national economic crisis, the District has an even greater responsibility to demonstrate effective and responsible use of public funds while responding to ever-increasing financial challenges. Initiatives h. 4.. FR 1: Maintain • Responsibility FR 2: Increase Depreciation Funding FR 3: Identify and Develop Additional Revenue Options FR 4: Provide an Equitable Rate Structure Strategies FR I- Maintain • Responsibility Develop a Comprehensive Multi-Year Financial Plan Prepare a High Level Annual Budget Document and Comprehensive Annual Financial Report and Compete for Recognition by the Government Finance Officers Association 10 Revise the Water and Sewer Rules and Regulations and Evaluate Fee Schedules Regularly for Proper Cost of Service Coverage W-4 Evaluate and Revise the Sewer Fund Allocation Maintain Commitment to Strong Debt Services Ratio FR 2: Increase Reserve Funding jot M-4 Review the Reserve Policy and Funding Levels Annually Analyze the Asset Management Plan to Determine Future Needs Implement an Approach to Ensure Reserves are Responsibly Funded FR 3: Identil L I , gnd Develop Additional Revenue Options L W M, I Research and Obtain Grant Funding Whenever Feasible Review Opportunities to Earn "Cash-Back" on Operating Expenses through Commercial Credit Card Accounts Manage Cash Flow to Maximize Investment Income 11 ~ . FR 4: Provide a Rate Structure that Promotes Water-Use Efficiency M-W Complete the Cost of Service and Water Rate Study M . I : Evaluate Equitable Rate Structures that Promote Conservation and Efficiency 7 $ 7 10 2 ■ Lj $ 2 ■ 9 9 no 7 ■ ■ a 0 ■ 6 4 38 1 no 7 i ~ ■■■■■■■■■■■■■■■S sk t■L Mal ■■■■■■■■■■■■N 1101 ■ ■■■■M 11111' 1 IN t LIl■■■■■■■■■■■■■■■■ ■■N ■ ■ ■ ■ ■ IS ■ 12~: Goal OE: Operational Efficiency The District has provided reliable and trusted service for more than one hundred years, yet it recognizes the importance of continual improvements to increase operational efficiency. Initiatives r"- -7 OE 1: Optimize Use of Existing Technologies OE 2: Address Inefficiencies Identified in the Self- Assessment Survey OE 3: Consider Utilization of a Peer-Review Survey L Strategies OE 1: Optimize Use of Existing Technologies L Identify the Current Functionality of Existing Technology and Determine if it is Being Utilized to Full Capacity 0 Evaluate How Each Department Might Make Further Use of Existing Technology Provide, Support and Encourage Employee Training 13 OE 2: Address Inefficiencies Identified in the Self-Assessment Survey • Identify Core Inefficiencies • Develop Measurable Productivity Goals M-W Engage Employees in Methods of Addressing Inefficiencies OE 3: Consider Utilization of a Peer-Review Survey • Determine the Cost-Benefit Ratio of a Peer-Review Survey • Establish a Team to Determine the Focus of the Survey • Institute Guidelines for Areas to Be Addressed 8q8u; Ilk 1JIN 14 Goal SR: Service Reliability The ultimate purpose of District assets and infrastructure is to safely and reliably provide necessary services to the public. Our goal is to maintain all assets for optimal continuity of all District services. Effective management of assets involves monitoring asset conditions against the level of service to manage risk of failure, planning for future financial needs and anticipating uncertainties or changing levels of service. Initiatives Fr- -I SR 1: Work Toward Service Reliability and Efficiency SR 2: Explore Service Boundary Opportunities SR 3: Continue Implementation of Capital Improvement Project 2007-2012 Strategies A SR 1: Work Toward Service Reliability and Efficiency Continue with Efforts to Annex District Service Area to Orange County Water District Forecast Service Demand Projections Engage with Regional Agencies on Water Supply Issues Strengthen Existing Emergency Operations Partnerships 15 Evaluate Alternative Water Sources Develop Additional Well Sites SR 2: Explore Service Boundary Opportunities L J Evaluate Feasibility of Providing Additional Water Services within the Region Evaluate Feasibility of Providing Additional Wastewater Services within the Region Evaluate Feasibility of Providing Other Professional Services within the Region SR 3: Continue Implementation of Capital Improvement Project Plan 2007-2012 Continue Implementation of Three-Year Capital Improvement Plan M-4 Continue Planning for Long-Term Capital Improvements and Replacements 16~_. Goal WE: Workforce Engagement The District is known for its highly-skilled staff and quality work. In order to retain a highly productive and proficient workforce, maintaining and building on employee engagement in the District will be critical to future success. With uncertain economic times to continue in the near term, however, greater calls for efficiency and responsiveness will require staff to be flexible and prepared to demonstrate effectiveness and accountability. WE 1: Retain a Highly Skilled and Capable Workforce Initiatives ~Employee Relations WE 2: Develop a Comprehensive Succession Plan WE 3: Enhance Strategies WE 1: Retain a Highly Skilled and Capable Workforce Maintain Competitive Compensation via Classification and Compensation Surveys M-W Explore Alternative Benefits M-W Establish Career Development Expectations of Existing Employees Develop Methodologies to Assist Employees in Attaining Career Expectations 17 Continue to Support Additional Training for Staff M-P Encourage Staff Participation in Professional Organizations and Local Civic Groups Execute Timely and Consistent Employee Performance Evaluations „Q WE 2: Develop a Comprehensive Succession Plan Identify Key Roles for Succession M-W Define the Competencies and Motivational Profile Required for Key Roles M-W Identify Individuals with the Potential to Perform Highly in Key Roles Develop Methodologies to Assist Employees in Preparing for Advancement WE 3: Enhance Employee Relations M-04 Implement a Program to Recognize Employees for Excellence y Conduct Quarterly All-Hands Meetings Continue to Encourage Employee Training in Leadership and Technology 18 Acknowledgements The following individuals contributed to the creation of this Strategic Plan. Board of Directors Michael J. Beverage, President Phil Hawkins, Vice-President Ric Collett Robert R. Kiley Gary T. Melton Staff„ Annie Alexander Dave Barmer Cindy Botts Steve Conklin Lee Cory Nicole Dalton Jennifer Hill Harold Hulbert Gina Knight Delia Lugo Anthony Manzano Damon Micalizzi Stephen Parker Robyn Shaw Ken Vecchiarelli Art Vega . A - i ~rri~• 19 I~ E Appendix: Initiatives and Action Plans Goal CP: Community Partnership Completion Financial/ Staffing Strategies Start Date Date Lead Person(s) Impacts Comments CP 1: Increase Brand Recognition with the Community Develop a Public c, CP 1-A Governmental Affairs Division Develop a Public Relations Master Plan CP 1-B with Measurable Goals Have Board of Directors and YLWD Staff Attend More CID 1-C Events and Inter- governmental Meetings with the Local Community Continue to Support Regional Training and Multi-Agency CP 1-D Workgroups through the Joint Use of the Administration Building Effectively Use Broad- CP 1_E Spectrum Communication Opportunities CP 2: Increase Public Awareness of Water- and Wastewater- Related Issues Provide Financial Incentives and CP 2-A Rebates for Water-Use Efficiency Develop and Expand a CP 2-13 Youth-Education Program Consider Participation in the California Urban CP 2-C Water Conservation Council's Best Management Practices Enhance the District's Regional CP 2-D Water and Wastewater Industry Participation 20 Goal FR: Fiscal Responsibility Completion Financial/ Staffing Strategies Start Date Date Lead Party Impacts Comments FR 1: Maintain Fiduciary Responsibility Develop a FR 1-A Comprehensive Multi Year Financial Plan Prepare a High Level Annual Budget Document and Comprehensive FR 1-13 Annual Financial Report and Compete for Recognition by the Government Finance Officers Association Revise the Water and Sewer Rules and Regulation and FR 1-C Evaluate Fee Schedules Regularly for Proper Cost of Service Coverage Evaluate and Revise FR 1-D the Sewer Fund Allocation Maintain Commitment to FR 1-E Strong Debt Services Rati o FR 2: Increase Reserve Funding Review the Reserve FR 2-A Policy and Funding Levels Annually Analyze the Asset FR 2-13 Management Plan to Determine Future Needs Implement an FR 2-C Approach to Ensure Reserves are Responsibly Funded 21 Goal FR: Fiscal Responsibility (Continued) I I Strategies Start Date Completion Lead Party Financial/ Staffing Comments Date Impacts FR 3: Identify and Develop Additional Revenue Options Research and Obtain FR 3-A Grant Funding Whenever Feasible Review Opportunities to Earn ''Cash Back'' FR 3-13 on Operating Expense through Commercial Credit Card Accounts Manage Cash Flow to FR 3-C Maximize Investment Income FR 4: Identify and Develop Additional Revenue Options Complete the Cost of FR 4-A Service and Water Rates Study Evaluate Equitable Rate Structures that FR 4-B Promote Conservation and Efficiency 22~ Goal OE: Operational Efficiency Completion Financial/ Staffing Strategies Start Date Date Lead Party Impacts Comments Oh 1: Optimize Use of Existing Technologies Identify the Current Functionality of OE 1-A Existing Technology and Determine if it is Being Utilized to Full Capacity Evaluate How Each OE 1-13 Department Might Make Further Use of Existing Technology Provide, Support and OE 1-C Encourage Employee Training OE2: Address Inefficiencies Identifiedin the Self-Assessment Survey Identify Core OE 2-A Inefficiencies OE 2-13 Develop Measurable Productivity Goals Engage Employees in OE 2-C Methods of Addressing Inefficiencies OE 3: Consider Utilization of a Peer-Review Survey Determine the Cost- OE 3-A Benefit Ratio of a Peer-Review Survey Establish aTeam to OE 3-B Determine the Focus of the Survey Institute Guidelines OE 3-C for Areas to Be Addressed 23~ Goal SR: Service Reliability Completion Financial/ Staffing Strategies Start Date Date Lead Party Impacts Comments SR 1: Work Toward Service Reliability and Efficiency Continue with Efforts to Annex District SR 1-A Service Area to Orange County Water District Forecast Service SR 1-B Demand Projections Engage with Regional SR 1-C Agencies on Water Supply Issues Strengthen Existing SR 1-D Emergency Operations Partnerships Evaluate Alternative SR 1-E Water Sources SR 1-E Develop Additional Well Sites SR 2: Explore Service Boundary Opportunities Evaluate Feasibility of SR 2-A Providing Additional Water Services with the Region Evaluate Feasibility of SR 2-13 Provi di ng Addi ti onal Wastewater Services with the Region Evaluate Feasibility of SR 2-C Providing Other Professional Services with the Region SR 3: Continue Implementation of Capital Improvement Project Plan 2007-2012 Continue SR 3-A Implementation of Three-Year Capital Improvement Plan Continue Planning for SR 3-13 Long-Term Capital Improvements and Replacements 24 Goal WE: Workforce Engagement Completion Financial/ Staffing Strategies Start Date Date Lead Party Impacts Comments WE 1: Retain a Highly Skilled and Capable Workforce Maintain Competitive Compensation via WE 1-A Classification and Compensation Surveys WE 1-13 Explore Alternative Benefits Establish Career WE 1-C Development Expectations of Existing Employees Develop Methodologies to WE 1-D Assist Employees in Attaining Career Expectations Continue to Support WE 1-E Addi ti onal Trai ni ng for Staff Encourage Staff Participation in WE 1-E Professional Organizations and Local Civic Groups WE 2: Develop a Comprehensive Succession Plan Indcntifv Kev Roles WE 2-A for Succession Define the Competencies and WE 2-13 Motivational Profilc Re qui rc d for Kcy Poles Develop Methodologies to WE 2-C Assist Employees in Preparing for Advancement WE 3: Enhance Employee Relations Implement a Program WE 3-A to Recognize Employees for Excellence WE 3-13 Conduct Quarterly All- Hands Meetings Continue to Encourage Employee WE 3-C Training in Leadership and Technology 25 ITEM NO. 10.1 AGENDA REPORT Meeting Date: March 24, 2011 Subject: Executive-Administrative-Organizational Committee (Beverage/Hawkins) Minutes of meeting held March 15, 2011 at 4:00 p.m. Meeting scheduled April 19, 2011 at 4:00 p.m. ATTACHMENTS: Name: Description: Type: 031511 EAO - Minutes.doc EAO Mtg Minutes 03/15/11 Minutes MINUTES OF THE YORBA LINDA WATER DISTRICT EXEC-ADM IN-ORGANIZATIONAL COMMITTEE MEETING March 15, 2011 A meeting of the Executive-Administrative-Organizational Committee was called to order by Director Beverage 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 Michael J. Beverage, Chair Ken Vecchiarelli, General Manager Director Phil Hawkins 1. PUBLIC COMMENTS None. 2. ACTION CALENDAR 2.1. Property Owner Continuous Water Service Agreement Draft The Committee discussed staff's report and recommended action. Staff noted that legal counsel had not yet commented on the agreement. The Committee recommended staff present the item to the full Board's at the March 24 regular meeting for consideration pending approval and revisions by legal counsel, if any. 3. DISCUSSION ITEMS 3.1. General Counsel's Monthly Summary Billing Report Staff reviewed legal expenses year to date and noted slight changes made in the report table. The Committee commented briefly on the report and counsel representation. 3.2. MWDOC Member Agencies Agreement This item is on the agenda as a recurring item pending action from various other MWDOC agencies. The matter will be discussed at the upcoming MWDOC/OCWD Ad Hoc Committee Meeting scheduled for March 22. 3.3. Purchasing of Products Made in the United States Staff had no information or report prepared for this item yet. The item was placed on the agenda for future discussion at the request of Director Beverage. Staff was directed to look into the cost, feasibility and potential legal issues related to the item. 3.4. Organizational Chart This item will be presented in more detail at a future meeting. 1 3.5. Future Agenda Items and Staff Tasks Director Beverage requested staff place the Facilities Use Agreement back on the Future Items and Staff Tasks for action. 4. ADJOURNMENT 4.1. The Committee adjourned at 4:35 p.m. The next regular meeting of the Executive-Administrative-Organizational Committee will be held April 19, 2011 at 4:00 p.m. 2 ITEM NO. 10.2 AGENDA REPORT Meeting Date: March 24, 2011 Subject: Finance-Accounting Committee (Collett/Kiley) Minutes of meeting held March 15, 2011 at 9:30 a.m. Meeting scheduled April 11, 2011 at 4:00 p.m. ATTACHMENTS: Name: Description: Type: 031511 FA - Minutes.doc FA Mtg Minutes 03/15/11 Minutes MINUTES OF THE YORBA LINDA WATER DISTRICT FINANCE-ACCOUNTING COMMITTEE MEETING March 15, 2011 A meeting of the Finance-Accounting Committee was called to order by Director Collett at 9:30 a.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 Robert R. Kiley Stephen Parker, Finance Director 1. PUBLIC COMMENTS None. 2. ACTION CALENDAR 2.1. January 2011 Budget to Actual Results Mr. Parker pointed out that water revenues were still trending lower than budgeted due to reduced demands, but noted that there was over $1 million in year-to-date savings as compared to the budget. This is mostly due to supplies and services trending below budget. The Committee asked questions about why Materials was high and why Communications, Maintenance, Professional Services and Uncollectible Accounts were so low. After discussion with Mr. Vecchiarelli and Mr. Parker on those individual line items, the Committee received and filed the January 2011 Budget to Actual Results. 2.2. January 2011 Investment Report Mr. Parker presented the monthly investment information, and shared that the investments were pretty steady with a yield of 0.83%. He also explained that as a result of a biannual replenishment assessment to Orange County Water District, the Water Operating Fund decreased by approximately $421,000. He also shared that just as quarterly reconciliations are being done to send reimbursements from Sewer Capital to Sewer Operating for miscellaneous capital items paid out of general checking, the same needs to be done with Water Capital and Water Operating. This process is more difficult for the Water Fund, but Mr. Parker expected the reconciliation and affects completed in the March Investment Report. The Committee received and filed the January 2011 Investment Report. 1 3. DISCUSSION ITEMS 3.1. District Credit Card Options Mr. Parker shared a possible opportunity to create revenue without raising rates by paying a portion of the District's bills through a credit card that earns points. He explained that he met with American Express representatives, and could look into other vendors as well. By paying bills through credit cards, points that could be used to pay for District expenses would be earned, as well as the potential for an advantage in cash flow. Mr. Parker asked if this was something he should continue to pursue. The Committee indicated they thought it should be investigated more, but were comfortable with staff efforts spent looking into this. Director Collett mentioned that his company used Ariba System. Mr. Parker indicated that he would investigate other opportunities and get back to the Committee with a recommendation. 3.2. Sewer Allocation Study Mr Parker explained to the Committee that for a long period of time, a 9% allocation figure has been used to allocate indirect costs from the Water Fund to the Sewer Fund. Mr. Vecchiarelli explained that he asked Mr. Parker to investigate the 9% flat allocation rate and confirm it is still valid or recommend a new allocation factor. Mr. Parker explained that he utilized a more specific methodology for allocating to sewer a varying percentage from each section in the District's Supplies and Services budget. The percentages applied were based upon discussions and input from the various department heads and staff members. The results indicated that the Sewer Operating Fund was paying approximately $136,000 more in the current fiscal year, using the 9% allocation than was calculated using the section by section specific allocation approach. The results showed that an allocation of 7% was much more accurate. Staff recommends using an allocation rate of 7% in the upcoming budget process. The Committee was in agreement that a change to 7% would be more appropriate, and indicated that discussion with the full Board could take place at the upcoming Board Workshop discussing the budget. 3.3. Future Agenda Items and Staff Tasks None. 4. ADJOURNMENT 4.1. The Committee adjourned at 10:12 a.m. The next regular meeting of the Finance-Accounting Committee will be held on April 11, 2011 at 4:00 p.m. 2 ITEM NO. 12.1 AGENDA REPORT Meeting Date: March 24, 2011 Subject: Meetings from March 25, 2011 - April 30, 2011 ATTACHMENTS: Name: Dosciiption: Type: BOD - Activity Calendar.pdf BOD Activity Calendar Backup Material Board of Directors Activity Calendar Event Date Time Attendance bv: March 2011 Board of Directors Workshop Meeting Fri, Mar 25 8:OOAM Citizens Advisory Committee Meeting Mon, Mar 28 8:30AM Beverage April 2011 WACO Fri, Apr 1 7:30AM Hawkins Yorba Linda City Council Tue, Apr 5 6:30PM Hawkins MWDOC/MWD Workshop Wed, Apr 6 8:30AM Melton/Staff OCWD Board Wed, Apr 6 5:30PM Kiley/Staff MWDOC/OCWD Ad Hoc Committee Meeting Thu, Apr 7 4:OOPM Beverage/Hawkins Public Affairs-Communications-Technology Committee Meeting Mon, Apr 11 12:OOPM Hawkins/Melton Finance-Accounting Committee Meeting Mon, Apr 11 4:00PM Collett/Kiley Planning-Engineering-Operations Committee Meeting Tue, Apr 12 10:00AM Melton/Collett Personnel-Risk Management Committee Meeting Tue, Apr 12 4:OOPM Kiley/Beverage Yorba Linda Planning Commission Wed, Apr 13 7:OOPM Kiley Board of Directors Regular Meeting Thu, Apr 14 8:30AM Exec-Admin-Organizational Committee Meeting Tue, Apr 19 4:00PM Beverage/Hawkins Yorba Linda City Council Tue, Apr 19 6:30PM Melton MWDOC Board Wed, Apr 20 8:30AM Melton/Staff OCWD Board Wed, Apr 20 5:30PM Kiley/Staff Board of Directors Special Meeting Thu, Apr 21 8:00AM Citizens Advisory Committee Meeting Mon, Apr 25 8:30AM Beverage Yorba Linda Planning Commission Wed, Apr 27 7:OOPM Collett Board of Directors Regular Meeting Thu, Apr 28 8:30AM 3/18/2011 4:42:31 PM