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HomeMy WebLinkAbout2008-12-23 - Board of Directors Meeting Agenda PacketAgenda Packet Regular Meeting of the Board of Directors December 23, 2008 8:30 a. m. 1717 E. Miraloma Avenue, Placentia, CA 92870 Yorba Linda Water District AGENDA YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS REGULAR MEETING Tuesday, December 23, 2008, 8:30 A.M. 1717 E. Miraloma Avenue, Placentia, CA 92870 (714) 701- 3020 CALL TO ORDER PLEDGE OF ALLEGIANCE ROLL CALL John W. Summerfield, President William R. Mills, Vice President Paul R. Armstrong Michael J. Beverage Ric Collett INTRODUCTION OF VISITORS AND 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 this 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 this agenda. Comments are limited to matters of public interest and matters within the jurisdiction of the Water District. Comments are limited to five minutes. SPECIAL RECOGNITION Recognize the following employees for completion of Air Quality Management District training: Mike Kiddie, Senior Fleet Mechanic Ron Talbert, Mechanic I I I Doug Baker, Mechanic I Presentation of Proclamation to the following employees for their leadership efforts in the Golden Guardian Exercise held November 13, 2008: Harold Hulbert, Operations Secretary John Decriscio, Chief Plant Operator Joe Polimino, Project Engineer 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, the staff, or the public requests further consideration. Minutes of the Regular Board of Directors Meeting Held December 11, 2008 Recommendation: Approve the minutes as presented. 2. Payment of Bills, Refunds, and Wire Transfers Recommendation: Ratify and authorize disbursements in the amount of $1,180,564.76. ACTION CALENDAR This portion of the agenda is for items where staff presentations and Board discussions are needed prior to formal Board action. 3. Financial Statements for the First Quarter of Fiscal Year 2008-09 for the Period Ending September 30, 2008 Recommendation: Receive and file the financial statements. 4. Approve Resolution No. 08-17 for Employer Paid Member Contributions Recommendation: Adopt Resolution No. 08-17 for Employer Paid Contributions. 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. 5. Triangle Complex Fire After Action Report Recommendation: This is for information only. No action is required. REPORTS. INFORMATION ITEMS AND COMMENTS 6. a. President's Report b. Directors' Reports c. General Manager's Report COMMITTEE REPORTS 7. a. Executive-Administrative-Organizational Committee (Summerfield/Mills) Alternate: Collett 1) Minutes of meeting held December 16, 4:00 p.m. 2) Meeting scheduled for January 20, 4:00 p.m. b. Finance-Accounting Committee (Beverage/Summerfield) Alternate: Mills 1) Meeting scheduled for January 13, 4:00 p.m. 2 c. Personnel-Risk Management Committee (Armstrong/Collett) Alternate: Summerfield 1) Meeting scheduled for January 5, 4:00 p.m. d. Planning-Engineering-Operations Committee (Mills/Armstrong) Alternate: Beverage 1) Meeting scheduled for January 8, 4:00 p.m. e. Public Information-Technology Committee (Collett/Beverage) Alternate: Armstrong 1) Meeting scheduled for January 6, 4:00 p.m. f. MWDOC/OCWD Ad Hoc Committee (Mills/Collett) Alternate: Summerfield 1) Meeting scheduled for January 27, 4:00 p.m. e. City of Placentia Ad Hoc Committee (Beverage/Payne) 1) Meeting to be scheduled. INTERGOVERNMENTAL MEETINGS 8. a. MWDOC Board, December 17 (Staff) b. OCWD Board, December 17 (Staff) c. Yorba Linda City Council, December 16 (Armstrong) BOARD OF DIRECTORS ACTIVITY CALENDAR Authorization to attend meetings scheduled after December 23, 2008. Agenda is available in the District office prior to meeting. December 2008 FMWDOC Ad Hoc Committee Meeting, Dec 23,4:00 p.m Yorba Linda Planning Commission, Dec 24, 7:00 p.m. Holiday, Dec 25-26 CANCELED CANCELED District Offices Closed 3 Januarv 2009 [Holiday, Jan 1 Public Information-Technology Committee, Jan 6, 4:00 p.m. Yorba Linda City Council, Jan 6, 6:30 p.m. MWDOC/MWD Workshop, Jan 7, 7:30 a.m. OCWD Board, Jan 7, 5:00 p.m. District Board Meeting, Jan 8, 8:30 a.m. Planning-Engineering-Operations Committee, Jan 8, 4:00 p.m. Personnel-Risk Management Committee, Jan 5, 4:00 p.m. Finance-Accountinq Committee, Jan 13, 4:00 p.m. Yorba Linda Planning Commission, Jan 14, 7:00 p.m. Executive-Admin-Organizational Committee, Jan 20, 4:00 p.m. Yorba Linda City Council, Jan 20, 6:30 p.m. MWDOC Board, Jan 21, 8:30 a.m. OCWD Board, Jan 21, 5:00 p.m. District Board Meeting, Jan 22, 8:30 a.m. MWDOC/OCWD Ad Hoc Committee Meeting, Jan 27,4:00 p.m. Yorba Linda Planning Commission, Jan 28, 7:00 p.m. District Offices Closed Collett/Beverage Mills Staff Staff Mills/Armstrong Armstrong/Collett Beverage/Summerfield Collett Summerfield/Mills Armstrong Staff Staff I Mills/Collett Summerfield CONFERENCES AND SEMINARS 9. Authorize attendance of Directors and such staff members of the District as approved by the General Manager to attend the following conferences and seminars. a. None. ADJOURN TO 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. 10. Conference with Legal Counsel -Liability Claims Pursuant to Section 54956.95 of the California Government Code a. Claimant: Paul and Gillian Johnson b. Claimant: Dennis Winzen Agency Claimed Against: Yorba Linda Water District 11. Conference with Real Property Negotiators Pursuant to Section 54956.8 of the California Government Code Property: 4622 Plumosa Drive, Yorba Linda, CA Agency Negotiators: Michael A. Payne and Ken Vecchiarelli Negotiating Parties: To Be Determined Under Negotiation: Price and Terms of Payment 12. Public Employee Appointment Pursuant to Section 54957 of the California Government Code Title: General Manager 4 ADJOURNMENT A regular meeting of the Board of Directors is scheduled for January 8, 2008, at 6:30 p.m., at 1717 E. Miraloma Avenue, Placentia 92870. Items Distributed to the Board Less Than 72 Hours Prior to the Meetinq 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 Michael A. Payne, General Manager, 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. 5 2008 BOARD OF DIRECTORS CALENDAR JUL S M T W T F S 1 2 3 4 5 6 7 8 9 11 12 13 14 15 16 17 18 19 20 21 22 23M 25 26 27 28 29 30 31 S M 5 6 12 13 19 20 26 27 T 7 14 21 28 OCT F S 3 4 10 11 17 18 24 25 31 W T 1 2 8- 15 1f; 22 - 23 29 30 AUG S M T W T F S 1 2 3 10 4 11 5 6 7 12 13 - 8 15 9 16 17 24 18 25 19 20 21 26 270 22 29 23 30 311 NOV S M T W T F S 1 2 9 3 101 4 5 6 110 13 7 14 8 15 16 23 17 24 18 19 20 250 271 21 281 22 29 301 S M 1 2 8 9 151 161 22 23 2009 BOARD OF DIRECTORS CALENDAR JAN S M T W T F S 1 2 3 4 5 6 7 9 10 11 12 13 14 15 16 17 18 19 20 21 - 23 24 25 26 27 28 29 30 31 S M 5 6 12 13 19 20 26 27 T 14 21 28 APR W T 1 2 8- 15 16 22M 29 30 F S 3 4 10 11 17 18 24 25 Holiday Board Meeting Activities FEB T W T F S 3 4 5 6 7 10 11M 13 14 17 18 19 20 21 24 25 2N 27 28 MAY S M T W T F S 1 2 3 4 5 6 7 8 9 10 11 12 13 = 15 16 17 18 19 20 21 22 23 24 251 26 27M 29 30, 31 S M I 1~ 7 8 14 15 21 22 28 29 SEP T W T r 2 3 4 9 10- 16 17 18 23 24M 30 F S 5 6 12 13 19 20 26 27 DEC S M T W T F S 1 2 3 4 5 6 7 8 9 10M 12 13 14 15 16 17 18 19 20 21 22M 24 251 261 27 28 29 30 31 S M 1 2 8 9 15 16 22 23 29 30 S M 1 7 8 14 15 21 22 28 29 MAR T W T 3 4 5 10 11M 17 18 19 24 25M 31 JUN T W T 2 3 4 9 10- 16 17 18 23 24M 301 F S 6 7 13 14 20 21 27 28 F 5 6 12 13 19 20 26 27 Dec 2-5, 2008 - ACWA Fall Conference, Long Beach Dec 15-17, 2008 - CRWUA 2008 Annual Conference, LV Feb 24-26, 2009 - ACWA 2009 Washington, D.C. Conference Rev. 12/05/08 May 19-22, 2009 - ACWA Spring Conference, Sacramento APPROVED BY THE BOARD OF DIRECTORS OF THE YORBA LINDA WATER )iSTRICT ITEM NO. DEC 2 3 2008 MINUTES OF THE YORBA LINDA WATER DISTRICT BY BOARD OF DIRECTORS REGULAR MEETING December 11, 2008 The December 11, 2008 regular meeting of the Yorba Linda Water District Board of Directors was called to order by President Summerfield at 6:30 p.m. The meeting was held at the District's offices at 1717 E. Miraloma Avenue, Placentia, CA. DIRECTORS PRESENT AT ROLL CALL John W. Summerfield, President William R. Mills, Vice President Paul R. Armstrong Michael J. Beverage Ric Collett STAFF PRESENT Michael A. Payne, General Manager Kenneth R. Vecchiarelli, Asst. G.M. Arthur G. Kidman, General Counsel Lee Cory, Operations Manager Pat Grady, IT Director Gina Knight, Human Resources Manager Diane Cyganik, Finance Director Cindy Botts, Assistant Administrator I Annie Alexander, Executive Secretary ADDITIONS/DELETIONS TO THE AGENDA None. Mr. Vecchiarelli stated that a corrected copy of the Agenda Report for Item No. 13 was distributed to the Board. Copies of the corrected report were also made available to the public. Mr. Vecchiarelli also noted an error in the Agenda Report for Item No. 5 regarding the annual review of the Board of Director's Compensation. INTRODUCTION OF VISITORS AND PUBLIC COMMENTS President Summerfield introduced the following visitors: Mark Schwing, Mayor City of Yorba Linda Jan Horton, Council Member City of Yorba Linda Nancy Rikel, Council Member City of Yorba Linda Brett Barbre, Director MWDOC President Summerfield opened the meeting to public comments. Ms. Horton addressed the Board and asked several questions related to the District's water distribution system and the firestorm event. Ms. Horton expressed her desire to consider merging the District with the City of Yorba Linda. Ms. Horton provided staff with a copy of her questions for reference. Larry Goodnough addressed the Board and expressed his appreciation for the evening meeting time. Mr. Goodnough asked when the after action report for the firestorm event would be completed. Mr. Goodnough questioned the number of fire hydrants that required repair following the firestorm event. Mr. Goodnough also requested information regarding the water levels for all District reservoirs throughout the event and asked what citizens could do to help move the Hidden Hills Reservoir project forward. Jim Wohlt addressed the Board and stated that he felt it would be beneficial for the District and its customers to continue to hold evening meetings. Mr. Wohlt asked if notices regarding existing water pressure problems were given to homeowners in the Hidden Hills area prior to the firestorm event. Mr. Wohlt requested that the District improve on informing the public regarding the status of major projects. Mr. Vecchiarelli explained that many of the questions put forward would be answered in the after action report which was expected to be presented at the next Board meeting and posted on the District's website. Mr. Vecchiarelli encouraged those individuals in attendance to contact him with their questions. SEATING OF DIRECTORS 1. Seat Incumbent Directors Michael J. Beverage and Ric Collett Mr. Vecchiarelli stated that Directors Beverage and Collett had been sworn intc their new office on December 5, 2008 and congratulated them on their reelection. SPECIAL RECOGNITION 2. None. ACTION CALENDAR 3. Reorganization of the Board of Directors to Select a President, Vice President and Appoint Corporate Officers Director Mills began the nomination by suggesting that the same slate of officers continue to serve in their current positions. The Board discussed the suggestion further and President Summerfield and Vice President Mills both stated that they would be willing to continue to serve in their current positions for the time being. On a motion by Director Armstrong, seconded by Director Collett, the Board voted 5-0 to re-elect the same slate of officers. Following further discussion, it was pointed out that the employees being appointed as Secretary and Assistant Secretary had changed from the previous year and their appointment would need to be approved by a separate motion. On a motion by Director Mills, seconded by Director Collett, the Board voted 5-0 to appoint the following Corporate Officers: Secretary: Kenneth R. Vecchiarelli, Assistant General Manager Assistant Secretary: Pat Grady, Information Technology Director Auditor.- Diane Cyganik, Finance Director 4. Board of Directors Committee Assignments Following discussion, President Summerfield announced that the Board of Directors Committee assignments would remain the same for the time being. 2 5. Board of Directors Compensation Mr. Vecchiarelli introduced the item and explained that the Board had the option of increasing their current compensation of $150 to $187.50 for each day's service rendered up to a maximum of ten days per month. The agenda report incorrectly indentified the increase as $157.50 per day. An adjustment in Board compensation would require a public hearing and adoption of a new ordinance. On a motion by Director Beverage, seconded by Director Armstrong, the Board voted 5-0 to keep the Board of Directors compensation at the current rate of $150 per day for each day's service rendered up to a maximum of ten days per month. ADJOURN TO THE ANNUAL PUBLIC FINANCING CORPORATION MEETING On a motion by Director Beverage, seconded by Director Armstrong, the Board of Directors voted 5-0 to adjourn to a meeting of the Yorba Linda Water District Public Financing Corporation at 6:58 p.m. DIRECTORS PRESENT AT ROLL CALL John W. Summerfield, President William R. Mills, Vice President Paul R. Armstrong Michael J. Beverage Ric Collett INTRODUCTION OF VISITORS AND PUBLIC COMMENTS None. ANNUAL REORGANIZATION OF THE BOARD OF DIRECTORS 6. Reorganization of the Board of Directors to Select a President, Vice President and Appoint Corporate Officers Mr. Vecchiarelli stated that according to Resolution No. 07-16, the Board of Directors of the District was to serve as the Officers of the Public Financing Corporation. On a motion by Director Mills, seconded by Director Collett, the Board of Directors voted 5-0 to nominate and re-elect John W. Summerfield as President and William R. Mills as Vice President and to appoint the following Corporate Officers: Secretary: Kenneth R. Vecchiarelli, Assistant General Manager Assistant Secretary: Pat Grady, Information Technology Director Auditor: Diane Cyganik, Finance Director ADJOURN TO THE BOARD OF DIRECTORS REGULAR MEETING On a motion by Director Beverage, seconded by Director Collett, the Yorba Linda Water District Public Financing Corporation Board of Directors adjourned at 7:01 p.m. to the Yorba Linda Water District Board of Directors Regular meeting. 3 CONSENT CALENDAR On a motion by Director Mills, seconded by Director Collett, the Board voted 5-0 to approve the Consent Calendar with Director Beverage abstaining from voting on Item No. 8 as he was not in attendance at the meeting. 7. Minutes of the Regular Board of Directors Meeting Held October 9, 2008 8. Minutes of the Regular Board of Directors Meeting Held October 23, 2008 9. Minutes of the Regular Board of Directors Meeting Held November 26, 2008 10. Payment of Bills, Refunds and Wire Transfers 11. Payment of ACWA Membership Dues 12. Progress Payment No. 19 for the Lakeview Reservoir Construction 13. Progress Payment No. 7 and Change Order No. 1 for the Highland Reservoir Replacement Project 14. Contract with General Pump Co. for Rehabilitation of Well No. 12 15. Amendment No. 1 to Consultants Agreement with Psomas for Zone 4C Reconfiguration Project 16. License Agreement with Orange County Water District for Access to Warner Basin Complex to Collect Water Quality Samples Director Mills stated that the corrected agenda report for Item No. 13 reflected that Change Order No. 1 had been changed from $282,102.89 to $183,648.89. ACTION CALENDAR CONTINUED 17. Resolution No. 08-15 Authorizing Individuals to Transfer Funds via the Federal Wire System and Rescinding Resolution No. 06-02 Mr. Vecchiarelli introduced the item and explained that with the upcoming retirement of Mr. Payne, a new resolution would need to be adopted. Mr. Vecchiarelli also noted that the title of Assistant Secretary as presented in the resolution would need to be corrected to read Secretary. On a motion by Director Beverage, seconded by Director Mills, the Board voted 5-0 on a Roll Call to approve Resolution No. 08-15 Authorizing Individuals to Transfer Funds via the Federal Wire System and Rescinding Resolution No. 06- 02 as corrected. DISCUSSION ITEMS 18. Status of District Facilities, Distribution System and Community Outreach Efforts Related to Firestorm Event 4 Mr. Vecchiarelli displayed a map identifying the areas of the District greatly impacted by the firestorm event. Mr. Vecchiarelli provided an overview of the firestorm's movement throughout the District and explained that staff was in the process of gathering information related to the performance of the District's water distribution system during the event. Mr. Vecchiarelli provided further details on the loss of communication with the Hidden Hills booster pump stations and the hydrants requiring repair. Mr. Vecchiarelli then responded to questions from the Board. 19. Recent Change to Ralph M. Brown Act There was no report. 20. Conducting Combined MWDOC and OCWD Ad Hoc Committee Meetings The Board discussed this item and was in favor of conducting combined Ad Hoc Committee meetings with MWDOC and OCWD. Staff will work with both agencies to arrange a meeting. 21. Required Ethics and Sexual Harassment Training (AB 1234 and AB 1825) Mr. Vecchiarelli notified the Board that staff would be contacting them to assist them with scheduling training. REPORTS, INFORMATION ITEMS AND COMMENTS 22. a. President's Report President Summerfield thanked the Directors for their vote of confidence. b. Directors' Reports Director Beverage spoke about a local company who offered native plants for landscaping purposes. The Board briefly discussed future meeting times. Director Armstrong requested staff to review the meeting times of other agencies for future scheduling purposes. C. General Manager's Report There was no report. d. General Counsel's Report Mr. Kidman briefly reported on his attendance at the Fall ACWA Conference and the session he attended dealing with budget based rate structures and monetary incentives for water conservation. COMMITTEE REPORTS 23. a. Executive-Administrative-Organizational Committee (Summerfield/Mills) Alternate: Collett 1) Meeting scheduled for December 16, 4:00 p.m. b. Finance-Accounting Committee (Beverage/Summerfield) Alternate: Mills 5 1) Minutes of the meeting held December 10 were presented at the meeting. Directors Beverage and Summerfield attended. Items discussed during the meeting were as follows: Investment Report ending October 31, 2008; Monthly Portfolio Report ending November 30, 2008; Monthly Financial Statements ending September 30, 2008; Wells Fargo Checking Account - Analysis Based vs. ZBA; overview of property taxes; and CalPERS investment return impact on employer rates. 2) Meeting scheduled for January 13, 4:00 p.m. C. Personnel-Risk Management Committee (Armstrong/Collett) Alternate: Summerfield 1) Minutes of the meeting held December 9 were presented at the meeting. Directors Armstrong and Collett attended. The meeting began with a Closed Session regarding liability claims. Items discussed during Open Session were as follows: status of Salary Survey, recruitments, personnel on Administrative Leave and risk management activities. 2) Meeting scheduled for January 12, 4:00 p.m. d. Planning-Engineering-Operations Committee (Mills/Armstrong) Alternate: Beverage 1) Directors Mills and Armstrong attended the meeting held December 4. Items discussed during the meeting were as follows: consider waiving construction meter fees and temporary construction water charges for demolition of homes destroyed in wildfires; contract with General Pump Co. for rehabilitation of Well No. 12; Change Order to Professional Services Agreement with Psomas for additional Design Services for Zone Reconfiguration Project; License Agreement with Orange County Water District for access to Warner Basin Complex to collect water quality samples; Progress Payment No. 7 and Change Order No. 1 for the Highland Reservoir Replacement Project; monthly preventative maintenance program, MWDOC meeting summary, and OC Groundwater Producers meeting summary reports; and status report on capital projects in progress. 2) Meeting scheduled for January 8, 4:00 p.m. e. Public Information-Technology Committee (Collett/Beverage) Alternate: Armstrong 1) Directors Collett and Beverage attended the meeting held December 2. Items discussed during the meeting were as follows: current public relations activities; new financial utility billing software; and electronic imaging and agenda automation software. 6 2) Meeting scheduled for January 6, 4:00 p.m. f. MWDOC Ad Hoc Committee (Mills/Collett) Alternate: Summerfield 1) Meeting scheduled for January 27, 4:00 p.m. g. City of Placentia Ad Hoc Committee (Beverage/Payne) 1) Meeting to be scheduled. INTERGOVERNMENTAL MEETINGS 24. a. MWDOC/MWD Workshop, December 3 (Staff) This meeting was canceled. b. OCW D Board, December 3 (Staff) This meeting was canceled. C. Yorba Linda Planning Commission, December 10 (Collett) Director Collett did not attend. d. Yorba Linda City Council, December 2 (Mills) Director Mills attended... a(, oe use BOARD OF DIRECTORS ACTIVITY CALENDAR Authorization to attend meetings scheduled after December 11, 2008. Agenda is available in the District office prior to meeting. December 2008 Executive-Admin-Organizational Committee, Dec 16, 4:00 p.m Yorba Linda City Council, Dec 16, 6:30 p.m. MWDOC Board, Dec 17, 8:30 a.m. OCWD Board, Dec 17, 5:00 p.m. District Board Meeting, Dec 23, 8:30 a.m. MWDOC Ad Hoc Committee Meeting, Dec 23, 4:00 p.m. Yorba Linda Planning Commission, Dec 24, 7:00 p.m. Holiday, Dec 25-26 CONFERENCES AND SEMINARS Summerfield/Mills Armstrong Staff Staff CANCELED CANCELED District Offices Closed 25. Authorize attendance of Directors and such staff members of the District as approved by the General Manager to attend the following conferences and seminars. a. None. A recess was declared at 7:53 p.m. 7 ADJOURN TO CLOSED SESSION The Board entered into Closed Session at 8:05 p.m. All Directors were present. Also present were Mr. Vecchiarelli, Mr. Kidman and Ms. Knight. 26. Public Employee Appointment Pursuant to Section 54957 of the California Government Code Title: General Manager 27. Conference with Legal Counsel - Anticipated Litigation Significant Exposure to Litigation Pursuant to Subdivision (b)(1)(b) of Section 54956.9 of the California Government Code Number of Potential Cases: Unknown The exposure to litigation arises from assertions of District responsibility for property and related losses incurred during the "Freeway Complex" firestorm of November 15 and 16, 2008. CLOSED SESSION REPORT The Board reconvened in Open Session at 10:22 p.m. President Summerfield reported that the Board had formed an Ad Hoc Committee to negotiate the terms and conditions for employment of the General Manager Position. President Summerfield and Vice President Mills will serve as the Committee members. ADJOURNMENT On a motion by Director Beverage, seconded by Director Mills, the Board voted to adjourn at 10:23 p.m. to a regular meeting of the Board of Directors scheduled for December 23, 2008 at 8:30 a.m., at 1717 E. Miraloma Avenue, Placentia 92870. 8 ITEM NO. ;2- AGENDA REPORT APPROVED jv rHE BOARD OF OIHr, OF THE YORBA LINDA WATER DISTH, Board Meeting Date: December 23, 2008 DEC 2 3 2008 To: Board of Directors 1'~W BY From: Kenneth R. Vecchiarelli, Assistant General Manager e- ~ Staff Contact: Diane Cyganik, Finance Director Reviewed by General Counsel: N/A Budgeted: Yes Total Budget: N/A Funding Source: All Funds CEQA Account No: N/A Job No: N/A Compliance: N/A Estimated Costs: $1,180,564.76 Dept: Bus 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. DISCUSSION: The major items and wire transfers on this disbursement list are as follows: A wire of $665,002.24 to MWDOC for October 2008 water purchase; a wire of $2,625.51 to Bank of America for October 2008 visa payment; and, a wire of $15,403.35 to Parsons for Job 200704 November 2008 services rendered. The balance of $265,572.10 is routine invoices. ADP is now issuing our payroll checks, with the exception of the third party checks, listed below. In summary, the check register total is $948,603.20; payroll No. 24 total is $231,961.56; and, the disbursements of this agenda report are $1,180,564.76. A summary of the checks is as follows: Pavables: Manual Checks Check Nos. 50590 - 50591 Computer Checks Check Nos. 50592 - 50673 Pavroll #24: Manual Check Check No. 4214 Void Checks Check Nos. 4215 - 4216 Manual Checks Check Nos. 4217 - 4220 The disbursement total for the current period is $1,180,564.76, distributed as follows: Water $1,180,382.73 Sewer $ 182.03 ID #1 $ 0.00 ID #2 $ 0.00 TOTAL $1,180,564.76 PRIOR RELEVANT BOARD ACTION(S): The Board of Directors approves bills, refunds and wire transfers semi-monthly. STAFF RECOMMENDATION: That the Board of Directors ratify and authorize disbursements in the amount of $1,180,564.76. December 23, 2008 CHECK NUMBERS 50590 TO 50673 $ 265,572.10 WIRES: W-121208 MWDOC $ 665,002.24 W-1 21208A Bank of America $ 2,625.51 W-122308 Parsons $ 15.403.35 $ 683,031.10 TOTAL OF CHECKS AND WIRES: $ 948,603.20 PAYROLL NO. 24: CHECK NUMBERS: 4214 TO 4220 $ 231,961.56 TOTAL: $ 1,180,564.76 APPROVED BY THE BOARD OF DIRECTORS MINUTE ORDER AT BOARD MEETING OF DECEMBER 23, 2008 TOTAL DISBURSEMENTS ARE DISTRIBUTED TO THE FUND ACCOUNTS AS FOLLOWS: WATER $1,180,382.73 SEWER $ 182.03 ID#1 $ 0.00 ID#2 $ 0.00 TOTAL: $1,180,564.76 Yorba Linda Water DistrictCHECK REGISTER FOR CHECKS DATED 12-12-08 THRU 12-23-08 Check. Check... Posting. Vendor Name Check..... No Date Date Amount 50596 12-23-08 12-23-08 ABIGAIL ABBOTT STAFFING SVC 1,856.40 50597 12-23-08 12-23-08 ACWA-ASSN OF CA WATER AGENCIES 15,576.00 50598 12-23-08 12-23-08 ACWA/JPIA 271.35 50599 12-23-08 12-23-08 ALTERNATIVE HOSE INC. 23.77 50600 12-23-08 12-23-08 ANAHEIM WHEEL & TIRE 30.00 50601 12-23-08 12-23-08 ARROW HARDWARE 322.41 50602 12-23-08 12-23-08 ATWOOD SALES 532.88 50603 12-23-08 12-23-08 AUTOMATION DIRECT 339.25 21208A 12-12-08 12-12-08 BANK OF AMERICA 2,625.51 50604 12-23-08 12-23-08 BATTERY SYSTEMS 1,609.71 50605 12-23-08 12-23-08 BELL PIPE & SUPPLY 72.93 50606 12-23-08 12-23-08 BROWN AND CALDWELL 250.00 50607 12-23-08 12-23-08 BUTIER ENGINEERING INC 13,307.50 50608 12-23-08 12-23-08 C & L REFRIGERATION CORP. 745.58 50609 12-23-08 12-23-08 CADET UNIFORM SERVICE 805.20 50610 12-23-08 12-23-08 CDW-G GOVERNMENT, INC 8,522.39 50611 12-23-08 12-23-08 CERIDIAN BENEFITS SERVICES 100.00 50612 12-23-08 12-23-08 CESA-SC 55.00 50613 12-23-08 12-23-08 CITY OF ANAHEIM 17,306.68 50614 12-23-08 12-23-08 CLA-VAL CO. 813.18 50615 12-23-08 12-23-08 COASTLINE EQUIPMENT 207.12 50616 12-23-08 12-23-08 CPS HUMAN RESOURCE SERVICES 608.00 50617 12-23-08 12-23-08 CULLIGAN 1,811.30 50590 12-12-08 12-12-08 D & D MOVE IT TREES CO. 12,545.00 50618 12-23-08 12-23-08 D & D MOVE IT TREES CO. 12,545.00 50619 12-23-08 12-23-08 D. R. CRISKE TRUCKING 1,050.57 50620 12-23-08 12-23-08 DANGELO CO. 271.62 50621 12-23-08 12-23-08 DAPPER TIRE CO. INC. 1,088.39 50622 12-23-08 12-23-08 DATALOK ORANGE COUNTY 263.43 50623 12-23-08 12-23-08 DELL MARKETING L.P. 1,438.14 50624 12-23-08 12-23-08 DELTA DENTAL - PMI 281.86 50625 12-23-08 12-23-08 DIANE DALTON 132.00 50626 12-23-08 12-23-08 DIETZ HYDROSEEDING CO. 23,110.00 50627 12-23-08 12-23-08 FASTENAL COMPANY 362.90 50628 12-23-08 12-23-08 FEDERAL EXPRESS 218.68 Yorba Linda Water DistrictCHECK REGISTER FOR CHECKS DATED 12-12-08 THRU 12-23-08 Check. Check... Posting. Vendor Name Check..... No Date Date Amount 50629 12-23-08 12-23-08 FREDDIE OJEDA 140.00 50592 12-23-08 12-23-08 GLORIA SMITH 98.14 50630 12-23-08 12-23-08 HOME DEPOT CREDIT SERVICES 279.56 50631 12-23-08 12-23-08 HSBC BUSINESS SOLUTIONS 67.14 50632 12-23-08 12-23-08 INFOSEND 2,540.54 50593 12-23-08 12-23-08 JOHN H MACQUEEN 306.94 50633 12-23-08 12-23-08 JORGE LOPEZ 100.00 50594 12-23-08 12-23-08 KEUM KO 25.22 50634 12-23-08 12-23-08 LEIGHTON CONSULTING, INC. 3,739.00 50635 12-23-08 12-23-08 LIEBERT CASSIDY WHITMORE 898.00 50636 12-23-08 12-23-08 LINCOLN NATIONAL LIFE 1,872.80 50637 12-23-08 12-23-08 MATT OSTIZ 130.00 50638 12-23-08 12-23-08 MC FADDEN-DALE HARDWARE 1,235.04 50639 12-23-08 12-23-08 MC MASTER-CARR SUPPLY CO. 414.22 50640 12-23-08 12-23-08 MOBILE INDUSTRIAL SUPPLY 93.12 121208 12-12-08 12-12-08 MUNICIPAL WATER DISTRICT 665,002.24 50641 12-23-08 12-23-08 NEXTEL OF CALIFORNIA 2,134.09 50642 12-23-08 12-23-08 NORMAN A. TRAUB ASSOCIATES 4,472.30 50643 12-23-08 12-23-08 OFFICE SOLUTIONS 944.72 50644 12-23-08 12-23-08 ORANGE COUNTY WATER DISTRICT 550.00 50645 12-23-08 12-23-08 PACIFIC COAST TOOL & SUPPLY 1,562.94 122308 12-23-08 12-23-08 PARSONS ENGINEERING SCIENCE 15,403.35 50646 12-23-08 12-23-08 PLACENTIA DISPOSAL 499.36 50647 12-23-08 12-23-08 PRAXAIR DISTRIBUTION 94.53 50648 12-23-08 12-23-08 QUINN POWER SYSTEMS ASSOCIATES 1,271.45 50649 12-23-08 12-23-08 R J SERVICES, INC 1,139.43 50650 12-23-08 12-23-08 RBF CONSULTING 1,898.16 50595 12-23-08 12-23-08 S & S HOMES 46.01 50651 12-23-08 12-23-08 SAFETY-KLEEN CORP. 325.81 50652 12-23-08 12-23-08 SC FUELS 1,170.60 50653 12-23-08 12-23-08 SECURITY SOLUTIONS 720.00 50654 12-23-08 12-23-08 SELMAN CHEVROLET COMPANY 808.62 50655 12-23-08 12-23-08 SMOG TECH 495.00 50656 12-23-08 12-23-08 SO CAL SANDBAGS INC. 2,978.29 50591 12-17-08 12-17-08 SOUTHERN CALIF EDISON CO. 70,541.46 Yorba Linda Water DistrictCHECK REGISTER FOR CHECKS DATED 12-12-08 THRU 12-23-08 Check. Check... Posting. Vendor Name No Date Date 50657 12-23-08 50658 12-23-08 50659 12-23-08 50660 12-23-08 50661 12-23-08 50662 12-23-08 50663 12-23-08 50664 12-23-08 50665 12-23-08 50666 12-23-08 50667 12-23-08 50668 12-23-08 50669 12-23-08 50670 12-23-08 50671 12-23-08 50672 12-23-08 50673 12-23-08 12-23-08 SOUTHERN CALIF EDISON CO. 12-23-08 SOUTHERN CALIF GAS CO. 12-23-08 SOUTHERN COUNTIES 12-23-08 SOUTHWEST NETWORKS INC. 12-23-08 ST.JOSEPH HERITAGE HEALTHCARE 12-23-08 STACY BAVOL/PETTY CASH 12-23-08 STANDARD REGISTER 12-23-08 STAPLES BUSINESS ADVANTAGE 12-23-08 STATER BROS. MARKETS 12-23-08 U S POSTAL SERVICE(HASLER) 12-23-08 UNION BANK OF CA 12-23-08 UNITED INDUSTRIES 12-23-08 WATER EDUCATION FOUNDATION 12-23-08 WELLS SUPPLY CO 12-23-08 WESTERN HIGHWAY PRODUCTS, INC. 12-23-08 XEROX CORPORATION 12-23-08 YORBA LINDA AUTO PARTS Check..... Amount 162.58 17,833.06 5,412.36 101.25 347.00 625.62 91.76 862.12 70.42 5,000.00 661.14 1,229.53 2,377.00 7,032.86 177.57 1,252.02 269.08 948,603.20 ITEM NO. AGENDA REPORT Board Meeting Date: December 23, 2008 To: Board of Directors From: Ken Vecchiarelli, Assistant General Manager Staff Contact: Diane Cyganik, Finance Director Reviewed by General Counsel: N/A Budgeted: Funding Source: CEQA Account No: Compliance: N/A Estimated Costs: Job No: Dept: Bus Subject: Financial Statements for the first quarter of fiscal year 2008-09 for the period ending September 30, 2008. SUMMARY: A presentation of the Financial Statements for the first quarter of fiscal year 2008-09, period ending September 30, 2008. DISCUSSION: The Water Fund had an Operating Loss for the first quarter of fiscal year 2008-09 ending September 30, 2008 of $1,684,753. The key factors are outlined below: Yorba Linda Water District Quarterly Financial Statement Analysis - Water Operating Fund For the Quarter Ending September 30, 2008 September Y-T-D Y-T-D Budget 2008 Budget Budget Description FY 2008/09 Actual Y-T-D Remaining Remaining Total Water Sales $ 17,498,010 $ 5,291,462 $ (12,206,548) -70% Total Variable Water Costs $ 11,156,500 $ 3,811,427 $ 7,345,073 66% Personnel Costs $ 7,389,200 $ 1,328,635 $ 6,060,565 82% Supplies & Services $ 3,773,100 $ 1,035,724 $ 2,737,376 73% The Water Operating Fund reflects water sales greater than what was anticipated due to the water rate increase that was not included in the budget. However, even though the sales are higher, water consumption is less than last year by 5%.The variable water costs are 9% higher than budget because of rate increases from MWDOC and OCWD plus higher energy costs. Personnel Costs are lower than anticipated due to budgeted positions that have not been filled. Supplies & Services are approximately 2% higher than budget as of September 30, 2008. The larger items comprising the variance include: Insurance (ACWA property liability for FY 2008/2009 of $244,389) and Communications for Public Relations Services of $17,320 for July - August 2008. r APPROVED BYTHF BOW nc rncc"Agl OFTHPORRA .,p BY /2 . N/A Total Budget: All Funds The Sewer Fund had an Operating Loss for the first quarter of fiscal year 2008-09 ending September 30, 2008 of $81,497. The key factors are outlined below: Yorba Linda Water District Quarterly Financial Statement Analysis - Sewer Operating Fund For the Quarter Ending September 30, 2008 September Y-T-D Y-T-D Budget 2008 Budget Budget Description FY 2008109 Actual Y-T-D Remaining Remaining Sewer Maintenance Charges $ 1,249,850 $ 296,073 $ (953,777) -76% Personnel Costs $ 730,800 $ 152,569 $ 578,231 79% Supplies & Services $ 339,600 $ 90,896 $ 248,704 73% The Sewer Maintenance Charges are pretty much right on target as to what was budgeted for at this point in time. The Personnel Costs are slightly lower than anticipated by 4% due to existing vacant positions in the Water Fund. The Personnel Costs are impacted by the Water Fund positions because of the 9% allocation of water overhead expenses to the Sewer Fund. The Supplies & Services are 2% higher than budget, a large portion attributable to Contractual Services for the trenchless sewer lining of $19,804. PRIOR RELEVANT BOARD ACTION(S): The Board of Directors reviews each quarter's financial statements. The audited financial statements for fiscal year ended June 30, 2008 were received and filed on October 23, 2008. STAFF RECOMMENDATION: That the Board of Directors receive and file the financial statements for the quarter ending September 30, 2008. The Finance-Accounting Committee reviewed the financial statements on December 10, 2008 and accepted them as presented. FUND i Schedule of Revenue & Expense 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D % Operating Revenues: Metered water sales 17,040,410.00 6,026,112.13 11,014,297.87 65 Sewer maintenance charges 0.00 0.00 0.00 -100 Construction water sales 355,000.00 110,245.77 244,754.23 69 Irrigation sales 45,600.00 23,822.99 21,777.01 48 Other 13,490.00 15,467.53 <1,977.53> -15 Customer service fees 124,600.00 52,680.50 71,919.50 58 Rents and royalties 99,100.00 4,556.16 94,543.84 95 Outside District water sales 50,000.00 11,633.79 38,366.21 77 Unmetered water sales 7,000.00 2,755.50 4,244.50 61 To: "Restricted for Debt Serv" 0.00 <883,108.00> 883,108.00 -100 Total Operating Revenues 17,735,200.00 5,364,166.37 12,371,033.63 70 Operating Expenses: Variable water costs 11,156,500.00 3,811,427.16 7,345,072.84 66 Personnel services 7,389,200.00 1,328,635.41 6,060,564.59 82 Depreciation 0.00 873,132.75 <873,132.75> -100 Supplies and services 3,773,100.00 1,035,723.59 2,737,376.41 73 Total Operating Expenses 22,318,800.00 7,048,918.91 15,269,881.09 68 Operating (Loss) <4,583,600.00> <1,684,752.54> <2,898,847.46> 63 FUND i Schedule of Revenue & Expense 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D o ------------------ --------- Nonoperating Revenues: Property taxes - debt service 0.00 0.00 0.00 -100 Property taxes - operations 1,200,150.00 46,015.38 1,154,134.62 96 Interest income 47,500.00 132,345.67 <84,845.67> -179 Other revenue 449,200.00 141,515.28 307,684.72 68 Rev Restricted for Debt Sery 0.00 883,108.00 <883,108.00> -100 Total Nonoperating Revenues 1,696,850.00 1,202,984.33 493,865.67 29 Nonoperating expenses: Interest expense 0.00 573,116.72 <573,116.72> -100 Security Vulnerability Exp 0.00 0.00 0.00 -100 Other expense 0.00 23,236.60 <23,236.60> -100 Total Nonoperating Expenses 0.00 596,353.32 <596,353.32> -100 Income (Loss) before Capital Contributions <2,886,750.00> <1,078,121.53> <1,808,628.47> 63 Capital Contributions 667,100.00 258,712.00 408,388.00 61 Change in Net Assets: <2,219,650.00> <819,409.53> 408,388.00 63 RUN DATE/TIME: 12:41:22 25 Nov 2008 REPORT ID: revexp07 FUND Schedule of Revenue & Expense 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D o Operating Revenues: Metered water sales 0.00 0.00 0.00 -100 Sewer maintenance charges 1,246,550.00 295,290.19 951,259.81 76 Construction water sales 0.00 0.00 0.00 -100 Irrigation sales 0.00 0.00 0.00 -100 Other 3,300.00 783.00 2,517.00 76 Customer service fees 0.00 0.00 0.00 -100 Rents and royalties 0.00 0.00 0.00 -100 Outside District water sales 0.00 0.00 0.00 -100 Unmetered water sales 0.00 0.00 0.00 -100 To:"Restricted for Debt Serv" 0.00 0.00 0.00 -100 Total Operating Revenues 1,249,850.00 296,073.19 953,776.81 76 Operating Expenses: Variable water costs 0.00 0.00 0.00 -100 Personnel services 730,800.00 152,568.56 578,231.44 79 Depreciation 0.00 134,105.55 <134,105.55> -100 Supplies and services 339,600.00 90,896.29 248,703.71 73 Total Operating Expenses 1,070,400.00 377,570.40 692,829.60 65 Operating (Loss) 179,450.00 <81,497.21> 260,947.21 144 it FUND L Schedule of Revenue & Expense 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D ------------------------------------------ Nonoperating Revenues: Property taxes - debt service 0.00 0.00 0.00 -100 Property taxes - operations 66,000.00 0.00 66,000.00 100 Interest income 17,000.00 2,575.87 14,424.13 85 Other revenue 5,000.00 1,291.07 3,708.93 74 Rev Restricted for Debt Sery 0.00 0.00 0.00 -100 Total Nonoperating Revenues 88,000.00 3,866.94 84,133.06 96 Nonoperating expenses: Interest expense 0.00 0.00 0.00 -100 Security Vulnerability Exp 0.00 0.00 0.00 -100 Other expense 0.00 323.04 <323.04> -100 Total Nonoperating Expenses 0.00 323.04 <323.04> -100 Income (Loss) before Capital Contributions 267,450.00 <77,953.31> 345,403.31 128 Capital Contributions 251,000.00 202,352.00 48,648.00 19 Change in Net Assets: 518,450.00 124,398.69 48,648.00 76 RUN DATE/TIME: 12:41:35 25 Nov 2008 REPORT ID: revexp07 Yorba Linda Water ii strict (D3) Schedule of Combined Revenue 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D - ----------------------------------- OPERATING REVENUE WATER SALES Residential Water 12,983,902.00 4,469,442.49 8,514,459.51 66 Combined Demand 7,158.00 2,229.14 4,928.86 69 Commercial 1,191,790.00 393,428.86 798,361.14 67 Fire Detector 150,000.00 29,896.26 120,103.74 80 Landscape Water 2,700,850.00 1,123,007.88 1,577,842.12 58 Irrigation 45,600.00 23,822.99 21,777.01 48 Other Water Sales 418,710.00 132,742.56 285,967.44 68 To:"Restricted for Debt Serv" 0.00 <883,108.00> 883,108.00 -100 Total 17,498,010.00 5,291,462.18 12,206,547.82 70 OTHER Damages/Relocation 3,290.00 4,466.13 <1,176.13> -36 Miscellaneous Billing 0.00 33.00 <33.00> -100 Other 10,200.00 11,001.40 <801.40> -8 Total 13,490.00 15,500.53 <2,010.53> -15 SEWER MAINTENANCE CHARGES Sewer Rate Charge 1,141,650.00 294,671.59 846,978.41 74 City Maintenance Charge 0.00 0.00 0.00 -100 Maintenance Assesement 104,900.00 618.60 104,281.40 99 F.O.G. fees 0.00 0.00 0.00 -100 Collection Fees - Placentia 3,300.00 750.00 2,550.00 77 Total 1,249,850.00 296,040.19 953,809.81 76 CUSTOMER SERVICE CHARGES Customer Service Charges 75,000.00 39,084.00 35,916.00 48 Back Flow Charges 49,600.00 13,596.50 36,003.50 73 Total 124,600.00 52,680.50 71,919.50 58 Rents & Royalties 99,100.00 4,556.16 94,543.84 95 Total Operating Revenue 18,985,050.00 5,660,239.56 13,324,810.44 70 Yorba Linda Water District (D3) Schedule of Combined Revenue 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D o NON-OPERATING REVENUE Taxes & Assesements 1,266,150.00 47,521.93 1,218,628.07 96 Interest 64,500.00 195,801.93 <131,301.93> -204 Other Revenue 454,200.00 169,477.86 284,722.14 63 Rev Restricted for Debt Sery 0.00 883,108.00 <883,108.00> -100 Total 1,784,850.00 1,295,909.72 488,940.28 27 TOTAL REVENUE 20,769,900.00 6,956,149.28 13,813,750.72 67 RUN DATE/TIME: 12:42:00 25 Nov 2008 REPORT ID: comrev07 Yorba Linda Water District (D3) Schedule of Combined Expenses 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D % --------------------------------- PERSONNEL SERVICES Salaries Unit 3,659,726.00 719,551.26 2,940,174.74 80 Salaries SC 1,155,506.00 179,651.29 975,854.71 84 Salaries Management 783,641.00 170,491.89 613,149.11 78 Salaries Other 0.00 0.00 0.00 -100 Fees Directors 61,740.00 10,803.35 50,936.65 83 Fringe Benefits Unit 1,661,921.00 262,110.09 1,399,810.91 84 Fringe Benefits SC 381,188.00 57,200.87 323,987.13 85 Fringe Benefits Management 229,858.00 43,464.30 186,393.70 81 Fringe Benefits Directors 29,674.00 6,219.54 23,454.46 79 Fringe Benefits Other 156,746.00 31,711.38 125,034.62 80 Total Personnel Services 8,120,000.00 1,481,203.97 6,638,796.03 82 Depreciation 0.00 1,007,238.30 <1,007,238.30> -100 Total Depreciation 0.00 1,007,238.30 <1,007,238.30> -100 SUPPLIES & SERVICES AMP Lease 0.00 0.00 0.00 -100 Communications 274,235.00 44,547.68 229,687.32 84 Contractual Services 879,835.00 206,596.71 673,238.29 77 Data Services 307,844.00 24,301.93 283,542.07 92 Dues & Memberships 34,430.00 1,527.43 32,902.57 96 Election Expense 43,600.00 0.00 43,600.00 100 Fees & Permits 48,636.00 8,162.96 40,473.04 83 Insurance 331,305.00 243,993.45 87,311.55 26 Legal/Settlement Agreements 0.00 0.00 0.00 -100 Maintenance 673,950.00 286,588.24 387,361.76 57 Non Capitol Equipment 228,845.00 36,618.30 192,226.70 84 Office Expense 66,135.00 13,132.50 53,002.50 80 Rental Lease 0.00 0.00 0.00 -100 Professional Services 678,025.00 128,655.90 549,369.10 81 Training 95,535.00 6,002.85 89,532.15 94 Travel & Conferences 64,685.00 2,122.92 62,562.08 97 Uncollectible Accounts 21,255.00 0.00 21,255.00 100 Collection Agency Fee 1,090.00 0.00 11090.00 100 Utilities 69,675.00 7,798.02 61,876.98 89 Vehicle 293,620.00 116,570.99 177,049.01 60 Job Closing Expenses 0.00 0.00 0.00 -100 Unbudgeted Expenses 0.00 0.00 0.00 -100 Yorba Linda Water District (D3) Schedule of Combined Expenses 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D % Total Services & supplies 4,112,700.00 1,126,619.88 2,986,080.12 73 Yorba Linda Water District (D3) Schedule of Combined Expenses 09-30-08 ANNUAL CURR YR VARIANCE VAR BUDGET Y-T-D Y-T-D $ - -------------------------------- VARIABLE WATER COSTS Fuel & Power Pumping 1,350,000.00 545,543.82 804,456.18 60 Ground Water Replenishment 3,706,500.00 1,151,002.52 2,555,497.48 69 Purchased Water 6,100,000.00 2,024,413.15 4,075,586.85 67 Readiness/Connection Charge 0.00 90,467.67 <90,467.67> -100 Total Variable Water Costs 11,156,500.00 3,811,427.16 7,345,072.84 66 TOTAL OPERATING EXPENSE 23,389,200.00 7,426,489.31 15,962,710.69 68 NON-OPERATING EXPENSE Other Expense 0.00 25,893.74 <25,893.74> -100 955 Security Vulnerability 0.00 0.00 0.00 -100 Interest Exp on Long-term Debt 0.00 573,116.72 <573,116.72> -100 Total Non-operating Expense 0.00 599,010.46 <599,010.46> -100 Total Expenses 23,389,200.00 8,025,499.77 15,363,700.23 66 RUN DATE/TIME: 12:41:47 25 Nov 2008 REPORT ID: comexp07 ITEM NO. AGENDA REPORT Board Meeting Date: December 23, 2008 To: Board of Directors From: Ken Vecchiarelli, Assistant General Manager Staff Contact: Diane Cyganik, Finance Director Reviewed by General Counsel: Yes Budgeted: N/A Funding Source: N/A CEQA Account No: N/A Compliance: N/A Estimated Costs: APPROVED OFTHE ORBA LINDA WATER DISTRICT DEC 2 3 2008 Y /n/ BY Total Budget: ,off Job No: Dept: Bus Subject: Resolution No. 08-17 Implementing Provisions of Section 414 (h) (2) of the Internal Revenue Code to Ensure Compliance with California Public Employees Retirement System (CaIPERS) Tax-Deferred Requirements SUMMARY: The District is required to adopt a Resolution before December 31, 2008 recognizing that it is making tax-deferred contributions to CaIPERS on behalf of its member employees. DISCUSSION: CaIPERS is taking steps to ensure that contracting agencies adopt and submit written documentation of tax-deferred member contributions (pick-up's") prior to reporting them. In an effort to do so, CaIPERS is in the process of building and installing a new business reporting system. One of the design features will enhance their ability to maintain accurate and up to date information about contracting agencies' pick-up's to ensure ongoing compliance with federal tax reporting requirements. The new system will validate that each agency has the proper documentation on file with CaIPERS before accepting tax-deferred member contributions. If such documentation is not on file, the agency's records will be rejected and will be held until the appropriate documentation is received. Internal Revenue Code (IRC) Section 414(h)(2) allows public agencies to designate required employee contributions as being "picked-up" by the employer and treated as employer contributions for tax purposes. The effect of a pick-up is to defer the tax on employee contribution amounts until the member retires and receives retirement benefits, or separates from employment and takes a refund of contributions. Absent the 414(h)(2) provision applicable to government plans, employee contributions to a defined benefit plan qualified under Section 401(a) would automatically be after-tax contributions (e.g. taxable income to the employee at the time the contribution was made). Revenue Ruling 2006-43 provides, in general, that an employee contribution will not be treated as picked-up under IRC 414(h)(2) unless: The employer specifies that the contributions, although designated as employee contributions, are being paid by the employer (this action must be memorialized in writing), and 2. The employer does not permit participating employees to opt out of the pick-up or to receive the contributed amounts directly instead of having them paid by the employer to the plan. Revenue Ruling 2006-43 allows employers who do not have written evidence of a pick-up, but their actions show that they intended to establish and carry out a pick-up, to be treated as meeting the requirements of 414(h)(2) for past pre-tax contributions if the employer takes formal action in writing prior to December 31, 2008 with respect to future picked-up contributions. If formal action is not taken prior to December 31, 2008, only contributions taken after the written documentation is in place may be treated as picked-up. PRIOR RELEVANT BOARD ACTION(S): None STAFF RECOMMENDATION: That the Board of Directors adopt Resolution No. 08-17 implementing provisions of Section 414 (h)(2) of the Internal Revenue Code to comply with the CalPERS Employer "Pick-Up" requirements . RESOLUTION NO. 08-17 RESOLUTION OF THE BOARD OF DIRECTORS OF THE YORBA LINDA WATER DISTRICT FOR EMPLOYER PAID MEMBER CONTRIBUTIONS WHEREAS, the governing body of the Yorba Linda Water District has the authority to implement Government Code Section 20691; and WHEREAS, the governing body of the Yorba Linda Water District has a written labor policy or agreement which specifically provides for the normal member contributions to be paid by the employer; and WHEREAS, one of the steps in the procedures to implement Section 20691 is the adoption by the governing body of the Yorba Linda Water District of a Resolution to commence said Employer Paid Member Contributions (EPMC). NOW, THEREFORE, BE IT RESOLVED: 1. That the governing body of the Yorba Linda Water District has identified the following conditions for the purpose of its election to pay EPMC: a. This benefit shall apply to all employees of the Yorba Linda Water District who are members of the Public Employees Retirement System. b. This benefit shall consist of paying 100% of the normal member contributions as EPMC. C. The effective date of this Resolution shall be December 23, 2008. 2. That the governing body of the Yorba Linda Water District elects to pay EPMC, as set forth herein. PASSED AND ADOPTED this 23rd day of December 2008 by the following called vote: AYES: NOES: ABSENT: ABSTAIN: John W. Summerfield, President Yorba Linda Water District 1 ATTEST: Kenneth R. Vecchiarelli, Secretary Yorba Linda Water District APPROVED AS TO FORM: Arthur G. Kidman, Esq. McCormick, Kidman & Behrens ITEM NO. -4~e MINUTES OF THE YORBA LINDA WATER DISTRICT EXECUTIVE-ADMINISTRATIVE-ORGANIZATIONAL COMMITTEE MEETING December 16, 2008 A meeting of the Executive-Administrative-Organizational Committee was called to order by Committee Chair Summerfield on Tuesday, December 16, at 4:00 p.m. The meeting was held at the District Administrative Office at 1717 E. Miraloma Ave, Placentia. DIRECTORS PRESENT STAFF PRESENT President John Summerfield, Chair Michael A. Payne, General Manager Vice President William R. Mills Ken Vecchiarelli, Asst. General Manager Stacy Bavol, Customer Service Supervisor INTRODUCTION OF VISITORS AND PUBLIC COMMENTS Heather Dion, Director, Townsend Public Affairs ACTION ITEMS 1. Recommendations for Waiving Customer Service Fees and Conditions for Payment Extensions The Committee discussed preliminary options presented by staff concerning potential bill adjustments and payment extensions for customers with homes damaged or lost during the Freeway Complex Fires. Ms. Bavol discussed the timing of the billing cycles and estimated the financial impact of the bill adjustments requested to date. The Committee recommended staff work with within our existing policies and within the General Manager's existing authority and bring any recommendations to the full board for consideration that would require any policy waivers. Staff will prepare a report for future Board consideration. DISCUSSION ITEMS 2. Report on Legislative Activities - Sacramento Advocates The Committee briefly discussed the dark forecast for the State's budget crisis with no clear forecast in the near future. 3. Report on Grant Activities - Townsend Public Affairs Ms. Heather Dion gave a verbal summary of the Activity Report presented to the Committee. The Committee discussed the looming State crisis and impacts of the global financial meltdown. Ms. Dion gave a brief summary of the current status of grant activities and the updated legislative forecasts for project funding with the new administration preparing to take office and a majority takeover of the legislature. Projects ready for construction may become part of an economic stimulus package proposed by the new administration. 4. General Counsel's Monthly Summary Billing Reports The Committee briefly discussed the summary billings report and noted substantially lower spending on several task order activities over the previous year. 5. Report on MWDOC Governance Study Being Prepared by LAFCO Mr. Payne reported on a meeting with Executive Officer Joyce Crosthwaite and briefed the Committee on the proposed timeline for the governance study. Mr. Payne also reported that LAFCO is not planning to make a recommendation from this study, but simply to present options for consideration by the parties of interest and the LAFCO Board. ADJOURNMENT The Committee adjourned at 5:45 p.m. The next Executive-Ad min istrative- Organizational Committee is scheduled for January 20, 2009 at 4:00 p.m. 2 MUNICIPAL ® WATER DISTRICT OF ORANGE COUNTY TO: Board of Directors INFORMATION ITEM 12/10/08 FROM: Administration and Finance Committee (Insert Committee Member Names) Kevin Hunt General Manager Staff Contact: Lee Jacobi Item No. 8 SUBJECT: Monthly Water Usage Data, Tier 2 Projection, & Water Supply Info. STAFF RECOMMENDATION Staff recommends the Board of Directors read and file. COMMITTEE RECOMMENDATION Committee recommends (to be determined at Committee Meeting) REPORT The five attached figures show the recent trend of water consumption in Orange County, an estimate of Tier 2 volume for MWDOC, and selected water supply information. Fig. 1 OC Water Usaae. Monthly by Source Oct. 2008 water usage was higher than the projection that is aggregated from the water agencies' own projections. Fig. 2 OC Water Usage. Monthly. Last 4 Years Oct. 2008 water usage was about 7% higher than the last 4 October's average. The cause was weather: Oct. 2008 evapotranspiration (ET) was significantly higher than the last 4 Octobers. Fig. 3 Historical OC Water Consumption OC water consumption in FY 2007-08 was about 666,000 AF. That is less than the record 701,000 AF used in FY 1999-00 even though rainfall in FY 2007-08 was 75% of average and population has increased. This result can be attributed to countywide Water Use Efficiency efforts. Fig. 4 MWDOC "Firm" Water Purchases. 2008 "Firm" water (all import except Agric. and Spreading) above the Tier 1 limit will be charged at the higher Tier 2 rate. The projection is for 16,000 -21,000 AF of Tier 2 usage in Calendar Year 2008 Fig. 5 Water Supply Information Includes data on: Rainfall in OC; the OCWD Basin overdraft; snowpack data; the State Water Project (SWP) Allocation, and Colorado, State and MET storage volumes. 90,000 Fig. 1 OC Water Usage, Monthly by Source ! D R A F T 80,000 — _ With projection to end of fiscal year 70,000 - - ❑Import [1] W 60,000 - - - LL 50,000 ■Other Lu 40,000 __ Local [2] ❑OCWD Q 30,000 - - - - - Basin [3] 20,000 -- ❑projected 10,000 normal [4] - - — - 0 00 eo 00 00 00 00 rn rn rn rn rn rn 0 0 0 0 0 0 0 0 0 0 0 0 m Q U > U S= L >+ M CL Q (n O z 0 LL Q Note: numbers include some estimation and are subject to change. [1] Imported water for consumptive use. Includes"In-Lieu"deliveries and CUP water extraction. Excludes"Direct Replenishment","Barrier Replenishment",and deliveries into Irvine Lake. [2] Other local includes recycled water, local basin water, Irvine Lake water extraction, and Cal Domestic deliveries. Excludes recycled water used for Barrier recharge. Numbers are estimates until data collection is completed. [3] GW for consumptive use only. Excludes extraction of CUP water that is counted with Import. BPP in FY '08-09 is 69%. [4] MWDOC estimate of monthly pattern summing to total demand per agencies'"5-Year Demand" Survey, Spring 2008. Projections assumed normal conditions. Fig. 2A OC Monthly Water Usage [1]: Comparison to Last 4 Fiscal Years partial-year subtotals 80,000 DR A F T 70,000 - 700,000 60,000 600.000 W 50,000 - - — - 500.000 w LL 40,000 W 400.000 � LL a 30,000 300,000 20,000 - - - - 200.000 10,000 — 100.000-----IL 0) Q U > U C u0 - p Q U) Z 0 LLB Q subtotal Notes: 04-05 13 FY 05-06 O FY 06-07 FY 07-08 ■f Y 08-691 FY 04-05 was very wet; FY 06-07 was very dry; wildfires in Oct.-07 - -- - -- [1] Sum of Imported water for consumptive use(includes"In-Lieu"deliveries; excludes"Direct Replenishment"and"Barrier Replenishment")and Local water for consumptive use (includes recycled and non-potable water; excludes GWRS production and waste brine from water quality pumping projects). Fig. 213 OC Monthly Water Usage [1]: DR A F T Cumulative compared to last 3 Calendar Years 700,000 600,000 500,000 W 400,000 W T CY 2005 uL CY 2006 lL -�CY 2007 V —F—CY 2008 Q 300,000 - 200,000 100,000 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec [1] Sum of Imported water for consumptive use(includes"In-Lieu"deliveries; excludes"Direct Replenishment"and'Barrier Replenishment")and Local water for consumptive use(includes recycled and non-potable water; excludes GWRS production and waste brine from water quality pumping projects). Fig. 3 HISTORICAL WATER CONSUMPTION'] AND POPULATION IN OC D R A F T 800,000 Very Very 3.50 Dry Hot Dry Dry Dry Years Year Years Year Year 700,000 -----. • + • 3.00 I 600,000 + • �P- ----- l• Very + 2.50 LL • Wet Very Wet Q 500,000 Demand Management Year Wet Year o W in response to Year U) Drought. plus z.00 aoo,000 economic recession W Z 1— 1.50 0 300,000 P Q J 200,000 1.00 d —4w—Use(AF) ---*--(Millions) - it 100,000 0.50 0.00 '89-90 '90-91 '91-92 '92-93 '93-94 '94-95 '95-96 '96-97 '97-98 '98-99 '99-00 '00-01 '01-02 '02-03 '03-04 '04-05 '05-06 '06-07 '07-08 108-09 Fiscal Year [1]Consumption includes potable, recycled and non-potable usage; excludes Barrier water and Spreading water. [2] Projection of water use per retail water agencies'responses to MWDOC"5-Year"demand survey,Spring 2008. Fig. 4 MWDOC's Firm Water Purchases, CY 2008 300,000 Projected Tier 2 AF 250,000 —Actual Projected –> hot&dry 21,000 cool &wet 16,000 Note: Actual Firm water 200,000 numbers may change as "In-Lieu"and 'Ag" certifications are made Actual Firm O Projected Monthly or amended. y ro 150,000 Cumulative Actual Q Tier 1 Limit ---X Cumul Proj Hot&Dry +--Cumul Proj Cool&Wet 100,000 IRWD begins taking over 10,000 AF into Irvine Lake above volume 50,000 projected in Spring 2008 U u U U U F, Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08 Oct-08 Nov-08 Dec-08 Notes 1. "Firm"includes Full,Shift and Barrier-, excludes Long-Term Replenishment(both In-Lieu and Direct)and Agricultural. 2. Import demands for Jan.-Jun.projected by retail agencies in Spring'07 with Basin Pumping Percentage(BPP)=82%,then changed for BPP=80%,- for Jul.- Dec.projected by retail agencies in Spring 2008 with BPP=69%. print date 12/3/2008 Figure 5. Selected Water Supply Information Rainfall in Orange County [1] FY 07-08 FY 08-09 as of date 6/30/2008 11/30/2008 Cumulative Rainfall (inches) 9.45 1.85 since July 1 Percent of Normal for this date 75% 93% [1] Cumulative rainfall at Santa Ana (Station #121 or Fire Station). Rainfall amount may vary considerably within the County, generally more at higher elevation. OCWD Basin Accumulated Overdraft [2] 6/30/2008 Accumulated Overdraft (AF) at end of FY 308,000 MET storage in Basin (AF) at end of FY 49,000 Accum. Overdraft excluding MET stor. (A 357,000 less than full condition [2] Amount of water necessary to be replaced into the groundwater basin to prevent seawater intrusion. Number is estimated by OCWD for the end of the current fiscal year. Larae-Basin Precipitation Information Precip. Accumulated Since Oct 1 Area Pct. of Normal as of date California- statewide average snowpack no data yet SWE [3] California- Northern Sierras 124% 11/18/08 the Eight-Station Index Colorado River Basin- snowpack 52% 11/18/08 SWE [3] [3] SWE= Snow Water Equivalent, the liquid content of the snow on the ground. Percent shown compares to the normal amount found at this date of the year. This statistic loses validity late in the season. State Water Proiect Allocation Allocation [4] as of date 10/30/2008 (preliminary) 15% * [4] Allocation is for long-term SWP Contractors, including MET. The percentage applies to the contracted delivery amount of the Contractor. *Allocation would have been higher if not for the Wanger court judgement of Dec. 2007. Larae-Basin Storaae Colorado Basin Northern Sierras Lk. Mead Lk. Powell Lk. Shasta Lk. Oroville as of date 11/30/2008 11/30/2008 11/30/2008 11/30/2008 Volume in Storage (Million AF) 12.2 14.0 1.33 1.00 Pct. of Full 47% 57% 29% 28% California, primarily MET, now has the right to store up to 1.5 Million Acre-Feet in Lake Mead. MET Storaae Diamond Valley Lk. MET Includes GW storage and (DVL) Dry-Year Storage a portion of DVL storage. as of date 11/20/2008 Jan-08 Volume in Storage (AF) 435,800 1,724,600 Pct. of Full 54% Disclaimer: MWDOC cannot guarantee the accuracy of this data gathered from several sources. prepared by Municipal Water District of Orange County 12/1/2008