HomeMy WebLinkAbout1997-03-27 - Board of Directors Meeting MinutesPage 3615
March 27, 1997
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
MARCH 27,1997
The March 27, 1997, Regular Meeting of the Yorba Linda Water District Board of Directors was
called to order by President Paul R. Armstrong at 8:30 a.m. The meeting was held at District
Headquarters, 4622 Plumosa Drive, Yorba Linda.
Directors present at Roll Call:
President Paul R. Armstrong
Vice President Sterling L. Fox
Michael J. Beverage
Arthur C. Korn
Carl T. Scanlin
Staff present:
William J. Robertson, Secretary/General Manager
Arthur J. Kidman, General Counsel
Charles Gray, Engineering Manager
Ray Harsma, Operations Superintendent
Raquel Lazo, Secretary to the General Manager
Roger Lubin, Executive Assistant to General Manager
Directors absent at roll call Beverly Meza, Business Manager
none Michael Payne, Assistant General Manager
Michael Robinson, Assistant Administrator
Visitors
Richard Freeman
Hank Wedaa, Yorba Linda City Council
Kenny Witt, MWDOC
President Paul R. Armstrong called on Kenny Witt, who reported on activities at Metropolitan
Water District (Met), San Diego County Water Authority, and MWDOC.
CONSENT CALENDAR
On a motion by Vice President Fox, seconded by Director Scanlin, the Board of Directors voted
5-0 to approve the Consent Calendar as follows:
Item 1. Minutes of Regular meeting, March 13, 1997.
Item 2. Authorize Directors to leave the State of California prior to next meeting.
Item 3. Disburse $315,794.62 on checks 21062-63; 21083-85; 22062-63; and 22167 through
22231; a wire to ACWA-HBA for $20,183.87 dated 3/25/97; and $94,845.31 on checks 12691
through 12764 for payroll 5.
Item 4. Declare Vehicle Units 75, 87, 88, 91, and 99, surplus, and authorize staff to dispose of
them in accordance with adopted procedures.
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March 27, 1997
Item 5. P. R. Burke Corporation for the rehabilitation of Wells 1,5,7, and 12, Job 8954.
• Progress payment 10 to P.R. Burke Corporation for $113,789.74. This is comprised of a 10
percent retention of $11,378.97deposited to Harbor Bank Escrow Account 101, and a net
payment to P.R. Burke Corporation of $102,410.77.
ACTION CALENDAR
Item 6. Consider financial statements for the six months ended December 31, 1996. Business
Manager Beverly Meza reported that the Water Fund showed a net income of $1,087,557 and the
Sewer Fund a net income of $18,694 for the six months ended December 31, 1996. ID 1 showed
a net income of $388,510 and ID 2 a net income $380,464 for the same period. Total assets of
$94,355,441 exceed total liabilities of $22,416,936 for a fund equity of $71,938,505.
On a motion by Director Beverage, seconded by Director Fox, the Board of Directors voted 5-0
to accept the financial statements for the six months ended December 31, 1996.
Item 7. Consider investment portfolio report for February, 1997. Business Manager Beverly
Meza reported that the average portfolio yield, excluding Improvement District No. 2 Series C
General Obligation bond funds, was 5.60 percent.
On a motion by Director Beverage, seconded by Director Fox, the Board of Directors voted 5-0
to accept the investment portfolio report for February, 1997.
Item 8. Consider disposition of Metropolitan Water District refund. General Manager William
J. Robertson reported that MWD voted to return $70 million to member agencies, of which
Yorba Linda Water District's share is $412,223. Staff reviewed a number of options regarding
disposition of this refund. They included: la. One time refund to each active account; lb.
Reduce water rates for the next twelve months; lc. Reduce summer water rates; 2 Offset future
water rate increases; 3. Return funds to MWDOC to offset future imported water purchases. The
Board discussed these options, paying particular attention to Options 1 a and 1 c.
This matter was also discussed with the Finance Committee on March 20.
The Board asked whether refunds could be made prior to the end of the 1996-97 fiscal year.
General Manager Robertson told the Board that staff would advise them at the next meeting.
Neither the City of Yorba Linda's representative, Councilmember Wedaa; nor Mr. Freeman
offered any comments, either for or against, any of the options under consideration.
On a motion by Director Fox, seconded by Director Beverage, the Board of Directors voted 4-1
(Korn: Nay) authorizing staff to implement Option I a.
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March 27, 1997
Item 9. Consider resolution in support of the Metropolitan Water District of Orange County
consolidation with Coastal Municipal Water District. General Manager William J. Robertson
reported on the history leading up to consolidation discussions between MWDOC and Coastal
He also indicated that staff believes the District's representation at Metropolitan Water District
will be adequate with a consolidated agency, and staff recommends that the Board of Directors
authorize staff to prepare a resolution in support of this consolidation.
On a motion by Director Korn, seconded by Director Beverage, the Board of Directors voted 5-0,
on a roll call, to authorize staff to prepare a resolution stating the Board's position, indicating
that the Board was asked to participate in the process, but in view of the fact that Yorba Linda
Water District is not affected by this proposed consolidation, the Board is neutral, and elects to
take no position on this matter.
President Armstrong declared a recess at 9:40 a.m. The meeting reconvened at 9:50 a.m. Kenny
Witt left the meeting at 9:40 a.m.
GENERAL MANAGER'S REPORT
Item 10. General Manager's oral report and comments:
a) Status report on AB556: A hearing is set for April 16, and the District is preparing a letter
opposing the bill.
b) District activities: General Manager Robertson reported that the City of Placentia asked the
District to maintain their sewer system under a contractual relationship. General Counsel
Kidman reported on prevailing wage rates; Director Beverage asked Mr. Wedaa for
documentation he promised the District in support of his allegations that District rates are
higher than those of Southern California Water. Mr. Wedaa stated that he "...was working on
it." Director Beverage said that since Mr. Wedaa has had ample time to produce this
documentation, but hasn't, a retraction was in order. In response to Mr. Beverage's request
for a retraction, Mr. Wedaa, said, "Oh, no. I'm expanding it."
COMMITTEE REPORTS
Item 11. Legislative Ad-hoc Committee. Will meet with County Supervisor Spitzer on April
23, at 10:00 a.m.
Item 12. Executive-Administration Committee. The Committee met March 21, 1997.
Attending were Directors Beverage and Fox, and staff member William K. Robertson. The
Committee discussed OCWD annexation, and the proposed MWDOC/Coastal Municipal Water
District consolidation.
Item 13. Finance-Accounting Committee. The Committee met March 20, 1997. Attending were
Directors Korn and Scanlin, and staff members Robertson and Meza. The Committee discussed
the Metropolitan Water District refund, the impacts of Proposition 218, and the District's
potential participation in a local energy consortium.
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March 27, 1997
Item 14. Personnel-Risk Management Committee. The Committee met March 17 and March
24. Attending were Directors Fox and Beverage, and staff members Robertson and Payne. They
discussed insurance claims, and upcoming meet and confer activities. Executive Assistant to the
General Manager Roger Lubin joined the meeting for part of the discussion on meet and confer.
Item 15. Planning-Engineering-Operations Committee.
Item 16. Public Information Committee. The Committee met March 21, 1997. Attending were
Directors Beverage and Armstrong, staff members Robertson and Robinson, and Sherri Johnson,
of Laer Pearce and Associates. The Committee discussed: Creation of a District web site; Water
bill formats; Community pipeline meetings; District identity; Customer Survey; and Water
conservation brochures.
INTERGOVERNMENTAL MEETINGS
Item 17. Yorba Linda City Council meeting, March 18 (Korn): Nothing of concern to the
District transpired.
Item 18. OCWD, March 19 (Scanlin): Discussed ACWA dues, and that no COLA would be
forthcoming for employees, however, two percent would be put into a merit pool.
Item 19. MWDOC, March 19 (Fox): Reported on the proposed MWDOC/Coastal consolidation,
which will be filed with LAFCO in May.
Item 20. LAFCO Advisory, March 20 (Fox): Capistrano Valley plans to become a department
of the City of San Juan Capistrano, rather than a dependent special district.
Item 21. Yorba Linda Planning Commission, March 26 (Scanlin): Nothing of concern to the
District transpired.
BOARD MEMBER COMMENTSATEMS FOR FUTURE CONSIDERATION
Scanlin: Asked about use of reservoir tops for recreational use.
Armstrong: Reminded everyone about the ceremonial demolition of Building Eight, at the
Richfield Plant, at 3:00 today.
Mr. Wedaa and Mr. Freeman left the meeting at 10:20 a.m.
BOARD OF DIRECTORS ACTIVITY CALENDAR
The Board of Directors reviewed the Activity Calendar and made assignment changes.
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March 27, 1997
CLOSED SESSION
Item 22. Pending litigation to which the District is a party, (Subsection (a) of Section 54956.9),
County of Orange, Chapter 9, Case No SA 94-22272-JR; Orange County Investment Pools,
Chapter 9, Case No. SA 94-22273-JR before the US Bankruptcy Court, the Central District of
California. The Board of Directors took no action on this item.
Item 23. Discussion of personnel matters pursuant to Section 54957.6 of the California
Government Code, unrepresented employee: General Manager. The Board of Directors took no
action on this item.
ADJOURNMENT
On a motion by Vice-president Fox, seconded by Director Beverage, the Board of Directors
voted 5-0, at 11:35 a.m., to adjourn to Thursday, April 10, 1997 at 8:30 a.m. in the District
Boardroom.
i liam J. Robertson
Secretary/General Manager