HomeMy WebLinkAbout2004-03-25 - Board of Directors Meeting Minutes2004-39
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS MEETING
March 25, 2004
8:30 A.M.
The March 25, 2004 meeting of the Yorba Linda Water District Board of Directors was called to
order by President William R. Mills at 8:30 a.m. The meeting was held at District Headquarters,
4622 Plumosa Drive, Yorba Linda.
Directors Present at Roll Call
William R. Mills, President
Michael J. Beverage, Vice President
Paul R. Armstrong
Arthur C. Korn
John W. Summerfield
Staff Present:
Michael A. Payne, General Manager
Arthur G. Kidman, District General Counsel
Lee Cory, Operations Manager
Beverly Meza, Business Manager
Michael Robinson, Assistant Administrator
Ken Vecchiarelli, Assistant General Manager
Amelia Cloonan, Administrative Secretary
Jill Weber, Engineering Secretary
Bob DeCasas, Maintenance Worker III
Scott Moulton, Project Engineer
Visitors present: Teen Flores and Jim Satler, Toll Brothers
SPECIAL RECOGNITION
1. Ken Vecchiarelli, Assistant General Manager, introduced Jill Weber, Engineering
Secretary, and recognized her for fifteen years service to the Yorba Linda Water District.
2. Lee Cory, Operations Manager, introduced Bob DeCasas, Maintenance Worker III, and
recognized him for ten years service to the Yorba Linda Water District.
3. Ken Vecchiarelli, Assistant General Manager, introduced Scott Moulton newly hired
Project Engineer.
Jill Weber and Bob DeCases left the meeting at 8:37 a.m.
CONSENT CALENDAR (Items 4 through 9)
Item No. 7 of the Consent Calendar was pulled. There was a correction in the annual cost for
Item No. 9 to $2,644.00.
On a motion by Vice President Beverage, seconded by Director Armstrong, the Board of
Directors voted 5-0 to approve Consent Calendar items 4, 5, 6, 8 and 9.
4. Approve minutes of regular meeting March 11, 2004.
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5. Approve disbursements of $879,063.62.
6. Approve Terms and Conditions for Water and Sewer Service with Pardee Homes for Tract
No. 16315, Vista Del Verde Planning Areas "M" &"P", Job No. 0404.
8. Approve Progress Payment No. 1 in the net amount of $27,648.00 to F.T. Ziebarth
Company for construction of the Highland Booster Station Upgrades, Job No. 200103.
9. Authorize the General Manager to execute a contract with Blue Cross Employee Assistance
Program (EAP) in the amount of $2,644.00.
ACTION CALENDAR
7. Approve Progress Payment No. 4 in the net amount of $268,395.52 to Schuler Engineering
Corporation for construction of the Quarter Horse Reservoir Expansion, Job No. 03164.
Vice President Beverage removed himself from approving Item 7 because of a conflict of
interest. There was no discussion.
On a motion by Director Armstrong, seconded by Director Summerfield, the Board of
Directors voted 4-0-1 to approve Progress Payment No. 4 in the net amount of $268,395.22
to Schuler Engineering Corporation for construction of the Quarter Horse Reservoir
Expansion, Job No. 03164.
10. Consider Temporary Capacity Credit Agreement for Vista Del Verde Village III.
Kenneth Vecchiarelli, Assistant General Manager, presented the report. The temporary
transmission system will be constructed to permanent standards and will be covered by the
letter of credit should the developer not begin the grading by June 30, 2006. General
Counsel Kidman commented if Village IV doesn't go through on the time schedule, there
could be financial insolvency. The District must assure it is not left with Village III hooked
into the Pulte system, and the permanent facilities are not constructed. The letter of credit
is very important and can be triggered if there is not a notice to proceed on the permanent
Lakeview facility by June 2006, when the District would be in a position to draw on the
letter of credit to construct the permanent facility. Changes in the titles to the property in
the interim were also of concern. The District has taken the easement but also recorded the
FFDCA so any party acquiring an interest in this land is on notice there is an agreement out
for a temporary easement.
On a motion by Vice President Beverage, seconded by Director Armstrong, the Board of
Directors voted 5-0 to authorize the President and Secretary to execute the Temporary
Capacity Credit Agreement with SWEPI, L.P. for water service to Village III of the Vista
Del Verde Development, Job No. 200329, subject to: execution by SWEPI, L.P., receipt of
the letter of credit and temporary easement documents in a form acceptable to the District
and District's General Counsel.
Teen Flores and Jim Satler of Toll Brothers left the meeting at 9:02 a.m.
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11. Consider Revised Phasing Plan for the Pulte Homes Development. Director Summerfield
excused himself from the meeting prior to discussion and voting on this item due to a
conflict of interest. Kenneth Vecchiarelli, Assistant General Manager, recapped the report
in the agenda. At the request of staff, the project was delayed until mid June because of the
traffic impact on Esperanza High School. As a result of the delay, staff has amended the
Phasing Plan.
On a motion by Vice President Beverage, seconded by Director Armstrong, the Board of
Directors voted 4-0 to authorize the General Manager to execute the revised Phasing
Exhibit "E" for the Pulte off-site sewer deficiency projects, Job No. 200216.
Director Summerfield reentered the meeting.
12. Consider Grandview Avenue Sewer Extension. Kenneth Vecchiarelli, Assistant General
Manager, recapped the report in the agenda
Vice President Beverage stated this item had been considered by the Planning-Engineering-
Operations Committee. Director Korn referenced the possibility this could be construed as
a policy change with respect to Resolution 100 and asked if the District were opening the
sewer savings account to more projects than there is money. The Board requested a note be
added to the minutes to reflect this is a one-time only approval and is not intended to
constitute an amendment to Resolution 100. The sewer policy should be discussed at the
Board Goals Workshop. In addition, there is a very old cast iron pipeline in this area that
broke in two locations. The District will replace the water main in conjunction with the
sewer project.
On a motion by Director Armstrong, seconded by Vice President Beverage, the Board of
Directors voted 5-0 to approve District participation in the administration, design, financing
and construction of the Grandview Avenue Sewer Extension and authorize the General
Manager to execute a Consultants Agreement with Hall & Foreman, Inc. for engineering
design, surveying and construction management services for this project, Job No. 0407.
13. Consider Operating Agreement for Water System Interconnections between the City of
Anaheim and Yorba Linda Water District. Michael Payne, General Manager, presented the
report. It was noted General Counsel Kidman and staff reviewed the agreement. There is
enough backup in pressure zone 1 so the interconnection on Orangethorpe east of Lakeview
is no longer needed. The District has interconnects in the zone with Southern California
Water. A new interconnection will be installed on Crystal Drive in the Savi Ranch area.
The other interconnection will be upgraded to current standards.
On a motion by Director Armstrong, seconded by Vice President Beverage, the Board of
Directors voted 5-0 to authorize the President and Secretary/General Manager to execute
the Operating Agreement for Water System Interconnections between the City of Anaheim
and Yorba Linda Water District.
A recess was declared at 9:23 a.m. Scott Moulton and Kenneth Vecchiarelli left the meeting.
The Board reconvened at 9:28 a.m. with all Directors present.
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14. Consider Financial Statements for the period ending January 31, 2004. Beverly Meza,
Business Manager, presented the report.
On a motion by Director Summerfield, seconded by Director Korn, the Board of Directors
voted 5-0 to accept the Financial Statements for the first seven months of fiscal year 2003-
2004 ending January 31, 2004.
15. Consider Independent Special District Selection Committee meeting. Michael Robinson,
Assistant Administrator, presented the report. Arlene Schaffer's term is ending. She has
sent a letter indicating a strong interest in retaining the seat. General Manager Payne
reported the District will have an update on the slate of candidates at the second Board
Meeting in April. No Director expressed an interest in running for LAFCO. President
Mills may be able to attend the meeting on April 291"
This item will be brought back to the Board when the Board of Directors will consider the
nomination of a candidate for the position of LAFCO special district representative;
designate a Director to attend the selection meeting; and, at the direction of a majority of
the Board, vote for a special district representative.
Kenneth Vecchiarelli reentered the meeting at 9:35 a.m.
GENERAL MANAGER'S REPORT
16. General Manager's oral report and comments. s
a) General Counsel Kidman said the 6 ppb goal for perchlorate set by the state authority
with the responsibility for setting standards is a little higher than the detection limit.
Colorado River water is a source of perchlorate right around that level.
The U.S. Supreme Court has issued its opinion in a case where Southern Florida Water
District vs. an Indian tribe. The case involved taking water from one watershed and
discharging it into another watershed. The Court ruled that if this is done, the water is
subject to the Clean Water Act.
Bill AB2528 by Lowenthal being pushed by Metropolitan Water District and a coalition of
mostly urban water provides changes the nomenclature for Action levels, which apply only
to ground water sources. Action levels are often different from maximum contaminant
levels. The bill applies the same process to surface water. ACWA is adamantly opposed.
The probable reason Met is behind it is their concern about the South Florida case.
b) Station Plaza shopping center fire. General Manager Payne reported during the fire at
the Station Plaza last week a fire hydrant failed. The broken hydrant did not hamper the
efforts of the Fire Department to extinguish the fire. This was not a maintenance issue.
c) Stan Sprague's retirement. General Manager Payne, Director Armstrong and General
Counsel Kidman attended and presented a proclamation. It was announced Kevin Hunt is
the new MWDOC manager.
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d) District activities. Two deferred compensation companies will be at the District next
week on March 30 and 31. Directors are invited to attend.
General Manager Payne is on vacation Friday, Monday and half of Tuesday, March 26, 29
and 30.
COMMITTEE REPORTS
17. Executive-Administration Committee (Mills/Beverage)
Minutes of the meeting held March 23, 4:00 p.m., were distributed to the Directors.
Consultants expenses, Board of Directors workshop, annexation of OCWD.
18. Finance-Accounting Committee (Korn/Summerfield)
Meeting scheduled for April 13, 4:00 p.m. Investments, Internal Audits, MWDOC
Refund.
19. Personnel-Risk Management Committee (Summerfield/Mills)
Summary minutes of meeting held March 8. Employee Assistance Program (EAP), Board
of Directors Benefits, Recruitment Status.
Meeting scheduled for April 12, 4:00 p.m.
20. Planning-Engineering-Operations Committee (Beverage/Armstrong)
Summary minutes of meeting held March 17, 4:00 p.m. Grandview Avenue Sewer
Extension, SWEPI Temporary Capacity Credit Agreement - Village III, Proposed
Declaration of Restrictive Covenants for Avalon Homes, Pulte Offsite Sewer Improvement
Project.
21. Public Information Committee (Armstrong/Kom)
Meeting scheduled for April 6, 4:00 p.m. Zone 2 transmission pipeline public relations
plan, Water Awareness Month - Open House May 8, Consumer Confidence Report.
22. Orange County Water District Ad Hoc Committee (Mills/Beverage)
Summary minutes of meeting held March 15, 4:00 p.m. OCWD rates, Annexation to
OCWD, Well No. 10 Financing, and Consumer Confidence Reports.
23. MWDOC Ad Hoc Committee (Mills/Kom)
Report of meeting held March 22, 4:00 p.m. Toilet giveaways, children's programs, Met
rates, Allen-McColloch Pipeline-Central Pool Augmentation Project, Consumer
Confidence Report. President Mills recapped and noted the planned increase in rates.
INTERGOVERNMENTAL MEETINGS
24. Yorba Linda City Council, March 16
Director Armstrong attended. A major portion of the meeting was taken up with discussion
of the Metrolink station issue. The City Council voted 5-0 to deny certification of the EIR.
Also, John Taylor's suit has been rejected, and SARI line problems at the east end of Yorba
Linda were discussed.
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25. ACWA Groundwater Committee meeting, March 17, Sacramento. (Mills)
President Mills attended. Copies of his notes of the meeting were distributed to the
Directors.
26. MWDOC Board meeting, March 17
General Manager Payne reported there was nothing of interest to the District.
27. OCWD Board meeting, March 17
General Manager Payne reported the letter was received by the OCWD Board members.
The OCWD Board want to verify the contents of the letter and continued the MOU
between the YLWD and OCWD. The MOU with the City of Irvine and the City of
Anaheim was approved.
28. Yorba Linda Planning Commission, March 24
No one attended.
BOARD OF DIRECTORS ACTIVITY CALENDAR
Authorization to attend meetings scheduled after March 25, 2004. Agenda is available in the
District office prior to meeting.
WACO, April 2,7:30 a.m.
ISDOC Board, April 6, 7:30 a.m.
Yorba Linda City Council, April 6, 6:30 p.m.
MWDOC/Met R. Workshop, April 7, 8:30 a.m.
OCWD, April 7,5:00 p.m.
Yorba Linda Planning Commission, April 14, 6:30 p.m.
Yorba Linda City Council, April 20, 6:30 p.m.
MWDOC, April 21, 8:30 a.m.
OCWD, April 21, 5:00 p.m.
Yorba Linda Planning Commission, April 28, 6:30 p.m.
ISDOC Membership, April 29,11:30 a.m.
ISDOC Board, May 4, 7:30 a.m.
Yorba Linda City Council, May 4, 6:30 p.m.
MWDOC/MWD Jt Workshop, May 5, 8:30 a.m.
OCWD, May 5, 5:00 p.m.
WACO, May 7, 7:30 a.m. (meeting date changed to May 14)
Yorba Linda Planning Commission, May 12, 6:30 p.m.
Yorba Linda City Council, May 18, 6:30 p.m.
MWDOC, May 19, 8:30 a.m.
OCWD, May 19, 5:00 p.m.
Yorba Linda Planning Commission, May 26, 6:30 p.m.
Mills
Summerfield
Staff
Staff
Korn
Armstrong
Staff
Staff
Beverage
Mills & Payne
Summerfield
Staff
Staff
Korn
Armstrong
Staff
Staff
Beverage
BOARD MEMBER COMMENTS/ITEMS FOR FUTURE CONSIDERATION
There were no comments.
The Board of Directors recessed at 10:14 a.m. and reconvened in Closed Session at 10:20 a.m.
with all Directors present. Also present were General Counsel Kidman, General Manager Payne
and Assistant General Manager Vecchiarelli.
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CLOSED SESSION
29. Discussion of pending litigation to which the District is a party, (Justification for Closed
Session is Subsection (a) of Section 54956.9), Superior Court of California, County of
Orange, Central Justice Center, Case No. 815921 Huntington Beach vs. OCWD, and Case
No. 818852 Fountain Valley vs. OCWD.
30. Discussion of potential litigation to which the District may be a party, (Justification for
Closed Session is Subsection (c) of Section 54954.2 and Subsection (b) of Section
54956.9), International Custom Enterprises.
31. Discussion of pending litigation to which the District is a party (Justification for Closed
Session is Subsection (b)(1) of Section 54956.9), Superior Court of California, County of
Orange, Central Justice Center, Case No. 03CCO5867 Peters vs City of Yorba Linda,
Southern California Edison; Yorba Linda Water District and Yorba Linda Water District vs
Southern California Edison; Cecil Maurer, Jackie Peters.
The Board of Directors came out of Closed Session at 11:14 a.m.
On a motion by Director Korn, seconded by Director Armstrong, the Board of Directors voted 5-
0 to authorize the Secretary/General Manager to execute the Settlement Agreement and Mutual
Release subject to review as to form by General Counsel and also issue a check in the mount of
$66,169.00 to International Custom Enterprises (ICE).
ADJOURNMENT
President Mills declared the meeting adjourned at 11:16 a.m.
The next regular meeting of the Board is scheduled for Thursday, April 8, 2004 at 8:30 a.m., at
the District Headquarters.
ichael A. a e
Secretary/General Manager
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