HomeMy WebLinkAbout2014-03-13 - Board of Directors Meeting Minutes 2014-035
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Thursday, March 13, 2014, 8:30 a.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The March 13, 2014 Regular Meeting of the Yorba Linda Water District Board of
Directors was called to order by President Kiley at 8:30 a.m. The meeting was
held in the Board Room at the District's Administration Building located at 1717
East Miraloma Avenue in Placentia, California 92870.
2. PLEDGE OF ALLEGIANCE
President Kiley led the pledge.
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
Robert R. Kiley, President Steve Conklin, Acting General Manager
Ric Collett, Vice President John DeCriscio, Operations Manager
Michael J. Beverage Gina Knight, Human Resources/Risk Manager
Phil Hawkins Delia Lugo, Finance Manager
Gary T. Melton Art Vega, Acting IT Manager
Annie Alexander, Executive Secretary
Charmaine Holland, Customer Service Rep II
Kelly McCann, Senior Accountant
Damon Micalizzi, Public Information Officer
Marcus Millen, Records Management Specialist
ALSO PRESENT
Gene Hernandez, Mayor Pro Tern, City of Yorba Linda
Art Kidman, Partner, Kidman Law LLP
Eddy Beltran, Senior Counsel, Kidman Law LLP
Emily Garten and Family
4. ADDITIONS/DELETIONS TO THE AGENDA
None.
5. PUBLIC COMMENTS
None.
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6. SPECIAL RECOGNITION
6.1. Presentation of Proclamation to Winner of District's Bottled Water Label
Contest
President Kiley presented a proclamation to Emily Garten, a 3rd grader in
Mr. Laporte's class at Rose Drive Elementary School, in recognition of her
accomplishment. Mr. Micalizzi explained the purpose of the contest and
the District's bottled water program. The Board congratulated Emily and
her family.
6.2. Introduction of Recently Hired Employees
• Charmaine Holland, Customer Service Representative II
Mrs. Lugo introduced Ms. Holland and provided the Board with an
overview of her background and work experience. The Board
welcomed Ms. Holland to the District.
• Marcus Millen, Records Management Specialist
Mr. Conklin introduced Mr. Millen and provided the Board with an
overview of his background and work experience. The Board
welcomed Mr. Millen to the District.
• Kelly McCann, Senior Accountant
Mrs. Lugo introduced Mr. McCann and provided the Board with an
overview of his background and work experience. The Board
welcomed Mr. McCann to the District.
7. COMMITTEE REPORTS
7.1. Citizens Advisory Committee
(Kiley)
• Minutes of the meeting held February 24, 2014 at 8:30 a.m. were
provided in the agenda packet. President Kiley explained that the
Committee Chair, Mr. Daniel Mole, was unable to attend the Board
meeting. He then provided a report regarding matters discussed
during the Committee meeting including a presentation regarding
water storage in the MWD service area which was provided by
Director Brett Barbre, the District's potential representation on the
OCSD Board of Directors, the status of the District's annexation to
OCWD, and the construction of Well 21.
• Next meeting is scheduled to be held March 24, 2014 at 8:30 a.m.
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8. CONSENT CALENDAR
Director Collett made a motion, seconded by Director Hawkins, to approve the
Consent Calendar. Motion carried 5-0 with Director Collett abstaining from voting
on Item No. 8.2. due to a conflict of interest on one of the items.
8.1. Minutes of the Board of Directors Regular Meeting held February 27, 2014
Recommendation: That the Board of Directors approve the minutes as
presented.
8.2. Payments of Bills, Refunds and Wire Transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of$1,339,824.19.
8.3. Progress Payment No. 9 for the 2012 Waterline Replacement Project,
Phase II
Recommendation: That the Board of Directors approve Progress
Payment No. 9 in the net amount of $201,378.47 to TBU, Inc. for
construction of the 2012 Waterline Replacement Project, Phase II, Job No.
2011-20.
9. ACTION CALENDAR
9.1. Audit Reports for Fiscal Year 2012/13
Mrs. Lugo explained that the District's external auditors, White Nelson
Diehl Evans LLP, completed their audit for the previous fiscal year and
has rendered an unqualified (clean) opinion. Included in the Report on
Internal Control are findings that rose to the level of a significant deficiency
(which is the lowest level) and management's response to those
comments. Required disclosures in the Communication to Those In
Governance Letter were also provided to the Finance-Accounting
Committee.
Director Hawkins stated that the Finance-Accounting Committee had
reviewed these reports at its most recent meeting and recommended that
the Board receive and file the audit documents.
Director Hawkins made a motion, seconded by Director Melton, to receive
and file the FY 2012/13 Comprehensive Annual Financial Report, the
Report on Internal Control and the Communication to Those in
Governance Letter. Motion carried 5-0.
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9.2. Property Insurance Premium for April 1, 2014 to April 1 , 2015
Mrs. Knight explained that the annual premium to renew the District's
property insurance was being submitted for consideration of payment in
the amount of $47,445. The District's current policy will expire on March
31, 2014. The new premium includes a 5% discount as the District also
obtains workers compensation and general liability insurance coverage
through ACWA/JPIA. Last year's premium for property insurance was
$47,186. The slight difference in this year's premium is due to a 2.64%
increase for building and structure values and a 1.85% increase for fixed
equipment values.
Director Hawkins stated that the Personnel-Risk Management Committee
had discussed this matter at its most recent meeting and recommended
that the Board authorize payment of the premium.
Director Hawkins made a motion, seconded by Director Collett, to
authorize payment in the amount of $47,445 to renew the District's
property insurance coverage through ACWA/JPIA for the period April 1,
2014 through April 1, 2015. Motion carried 5-0.
10. REPORTS, INFORMATION ITEMS, AND COMMENTS
10.1. President's Report
President Kiley reported that he had been asked to speak at a recent
meeting of the East Lake Village Home Owner's Association concerning
the drought and District activities.
10.2. Directors' Report
None.
10.3. Acting General Manager's Report
Mr. Conklin noted that even though the area recently experienced a good
rainstorm it unfortunately didn't provide enough precipitation to end the
statewide drought. Southern California's water reserves continue to
remain relatively healthy and accordingly, the District's message to its
customers is to continue with their current water-use efficiency efforts. Mr.
Conklin reported on the status of the District's joint agency turf
demonstration project with the City of Placentia and noted that the
Placentia-Linda Hospital had contacted the District requesting assistance
with a clog in their sewer main line. District staff would like to encourage
customers not to dispose of "flushable" wipes in the toilet as they don't
disintegrate and easily get caught on protrusions in the sewer lines. This
message will be included in an upcoming issue of the District's newsletter.
Construction work is continuing on the 2012 Pipeline Replacement and
Yorba Linda Booster Station projects and pilot-hole drilling for Well 21 has
been completed. The budget preparation process continues to move
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forward and the first workshop meeting is scheduled March 17, 2014 at
3:00 p.m.
Mr. Conklin further reported that staff had increased the District's reservoir
storage volume by 5 million gallons in response to a Red-Flag Warning
condition which has been lifted. Additionally, MWD has formally
requested for extraction of its stored water in the Orange County
groundwater basin during the next fiscal year as part of its Conjunctive-
Use-Program (CUP) of which the District is a participant. YLWD is
obligated to pump 2K AF of groundwater and pay for it as if it were MWD
full-service treated water, not groundwater. As a result, staff is not
expecting to be able to deliver as much water at groundwater prices next
fiscal year. At the request of Mr. Conklin, Mr. DeCriscio provided the
Board with a brief presentation further detailing this matter. Mr. Conklin
and Mr. DeCriscio then responded to questions from the Board regarding
the use of external pumps, associated pumping costs, the possibility of an
in-lieu cash swap between MWD and OCWD, and staff efforts to obtain an
additional well site.
10.4. General Counsel's Report
Mr. Kidman noted that a Closed Session would be needed and briefly
commented on the status of the proposed 2014 Water Bond and a
possible increase in state involvement in groundwater regulation.
10.5. Future Agenda Items and Staff Tasks
None.
11. COMMITTEE REPORTS CONTINUED
11.1. Executive-Administrative-Organizational Committee
(Kiley / Collett)
• Minutes of the meeting held March 10, 2014 at 4:00 p.m. will be
provided at the next regular Board meeting.
• Next meeting is scheduled to be held April 14, 2014 at 4:00 p.m.
11.2. Finance-Accounting Committee
(Hawkins / Beverage)
• Minutes of the meeting held February 24, 2014 at 4:00 p.m. were
provided in the agenda packet.
• Next meeting is scheduled to be held March 28, 2014 at 8:00 a.m.
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11.3. Personnel-Risk Management Committee
(Hawkins / Melton)
• Minutes of the meeting held March 4, 2014 at 4:00 p.m. will be
provided at the next regular Board meeting.
• Next meeting is scheduled to be held April 1, 2014 at 4:00 p.m.
11.4. Planning-Engineering-Operations Committee
(Melton / Beverage)
• Minutes of the meeting held March 3, 2014 at 10:00 a.m. will be
provided at the next regular Board meeting.
• Next meeting is scheduled to be held April 3, 2014 at 4:00 p.m.
(This meeting was subsequently rescheduled to April 15, 2014 at
4:00 p.m.)
11.5. Public Affairs-Communications-Technology Committee
(Collett / Kiley)
• Minutes of the meeting held March 3, 2014 at 4:00 p.m. will be
provided at the next regular Board meeting.
• Next meeting is scheduled to be held April 9, 2014 at 4:00 p.m.
11.6. Organizational Performance Review Ad Hoc Committee
(Beverage / Hawkins)
• Next meeting is yet to be scheduled.
11.7. YLWD-City of Placentia Joint Agency Committee
(Beverage / Melton)
• Next meeting is yet to be scheduled. Director Beverage briefly
commented on the scheduling of the next Committee meeting and
noted that he would not be able to attend the next YL LMAD CAC
meeting. Director Collett offered to switch his attendance with
Director Beverage.
11.8. YLWD-City of Yorba Linda Joint Agency Committee
(Kiley / Collett)
• Minutes of the meeting held February 25, 2014 at 6:00 p.m. will be
provided at the next regular Board meeting.
• Next meeting is scheduled to be held April 22, 2014 at 5:00 p.m.
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11.9. YLWD-MWDOC-OCWD Joint Agency Committee
(Kiley / Beverage)
• Next meeting is scheduled to be held March 25, 2014 at 4:00 p.m.
12. INTERGOVERNMENTAL MEETINGS
(The following items were taken out of order.)
12.1. Yorba Linda LMAD CAC — February 27, 2014 (Collett)
12.5. Yorba Linda LMAD CAC — March 6, 2014 (Collett)
Director Collett attended both of the above listed meetings and noted that
the Committee would be conducting a discussion with Willdan, the City's
consultant, at its next meeting.
12.2. YL City Council — March 4, 2014 (Collett)
Director Collett attended and stated that while it was a short agenda there
were a number of public comments.
12.3. MWDOC Board — March 5, 2014 (Melton)
Director Melton attended and commented on the budget and rates which
were discussed during the meeting.
12.7. YL Planning Commission — March 12, 2014 (Melton)
Director Melton attended and commented on the SAVI Ranch Land Use
and Mobility Vision Plan which was discussed during the meeting.
12.4. OCWD Board — March 5, 2014 (Collett)
Director Collett attended and noted that the meeting was standing-room-
only due to an agenda item related to the proposed Poseidon Huntington
Beach Ocean Desalination Project. He reported that OCWD had elected
to hire a public relations firm to provide assistance with 3 recently
introduced bills.
12.6. WACO — March 7, 2014 (Kiley/Hawkins)
Directors Kiley and Hawkins attended and commented on a presentation
regarding water supply reliability in Orange County which was provided
during the meeting.
13. BOARD OF DIRECTORS ACTIVITY CALENDAR
13.1. Meetings from March 14, 2014 —April 30, 2014
The Board reviewed the activity calendar and made no additional
changes. Director Melton confirmed that the next Planning-Engineering-
Operations Committee meeting had been rescheduled to April 15, 2014 at
4:00 p.m.
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14. CONFERENCES, SEMINARS, AND SPECIAL EVENTS
14.1. Senate Governance and Finance Committee Hearing for SB 946 — March
19, 2014
OCSD 60th Anniversary Reception — March 20, 2014
North OC Legislative Alliance Elected Officials Reception — March 27,
2014
MWDOC Elected Officials Forum —April 3, 2014
Director Beverage made a motion, seconded by Director Hawkins, to
authorize Director attendance at these events if desired. Motion carried
5-0.
15. CLOSED SESSION
The meeting was adjourned to Closed Session at 9:54 a.m. All Directors were
present. Also present were Mrs. Knight and Messrs. Conklin and Kidman.
15.1. Conference with Legal Counsel — Pending Litigation
Pursuant to Subdivision (a) of Section 54956.9 of the California
Government Code
Name of Case: ACWA/JPIA, et al vs. Insurance Company of the
State of Pennsylvania, et al (OC Superior Court —
Case No. 00486884)
15.2. Conference with Legal Counsel — Anticipated Litigation
Significant Exposure to Litigation Pursuant to Paragraph (2) of Subdivision
(d) of Section 54956.9 of the California Government Code
Related to line break at 1301 North Rose Drive, Placentia CA 92870.
Number of Potential Cases: One
15.3. Conference with Legal Counsel —Anticipated Litigation
Significant Exposure to Litigation Pursuant to Paragraph (2) of Subdivision
(d) of Section 54956.9 of the California Government Code
Related to potential claim submitted on behalf of Charles Busch.
Number of Potential Cases: One
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15.4. Conference with Legal Counsel —Anticipated Litigation
Significant Exposure to Litigation Pursuant to Paragraph (2) of Subdivision
(d) of Section 54956.9 of the California Government Code
Related to written communications from potential plaintiffs threatening
litigation.
Number of Potential Cases: One
15.5. Conference with Real Property Negotiators
Pursuant to Section 54956.8 of the California Government Code
Property: 4622 Plumosa Drive, Yorba Linda CA
Agency Negotiators: Steve Conklin
Negotiating Parties: To Be Determined
Under Negotiation: Price and Terms of Payment
15.6. Public Employment (Recruitment)
Pursuant to Section 54956 of the California Government Code
Title: General Manager
15.7. Conference with Labor Negotiators (Recruitment)
Pursuant to Section 54957.6 of the California Government Code
Agency Designated Representatives: Koff & Associates, Inc.
Unrepresented Employee: General Manager
The Board reconvened in Open Session at 10:17 a.m. President Kiley
announced that no action was taken during Closed Session that was required to
be reported under the Brown Act.
16. ADJOURNMENT
16.1. The meeting was adjourned at 10:18 a.m. A Board of Directors Workshop
Meeting is scheduled to be held Monday, March 17, 2014 at 3:00 p.m.
The next Regular Board of Directors Meeting will be held Thursday, March
7, 201 , at 8:30 a.m.
Steven R. Conklin
Board Secretary
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