HomeMy WebLinkAbout2017-04-11 - Board of Directors Meeting Minutes 2017-070
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
Tuesday, April 11, 2017, 6:30 p.m.
1717 E Miraloma Ave, Placentia CA 92870
1. CALL TO ORDER
The meeting was called to order at 6:33 p.m.
2. PLEDGE OF ALLEGIANCE
President Miller led the pledge.
3. ROLL CALL
DIRECTORS PRESENT STAFF PRESENT
J. Wayne Miller, President Marc Marcantonio, General Manager
Al Nederhood, Vice President Steve Conklin, Engineering Manager
Andrew J. Hall, Director John DeCriscio, Operations Manager
Phil Hawkins, Director Gina Knight, HR/Risk and Safety Manager
Brooke Jones, Director Delia Lugo, Finance Manager
Art Vega, Information Technology Manager
Annie Alexander, Executive Assistant
Cindy Botts, Management Analyst
Javier Martinez, Water Production Superintendent
Kelly McCann, Senior Accountant
ALSO PRESENT
Andrew Gagen, Partner, Kidman Law LLP
Tom Lindsey, Councilmember, City of Yorba Linda
Robert Porr, Senior Vice President, Fieldman Rolapp & Associates
Cyrus Torabi, Attorney, Stradling Yocca Carlson & Rauth
4. ADDITIONS/DELETIONS TO THE AGENDA
Mr. Marc Marcantonio noted that staff had distributed a revised resolution
associated with Item No. 9.1. He then requested that the Board defer
consideration of Item No. 7.4. as the claimant was unable to attend the meeting
and desires to be present. He also requested to add the following matter to the
agenda as there was a need to take immediate action and the need for action
came to staff's attention subsequent to the agenda being posted.
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Lifting Stage 1 Water Supply Shortage
Recommendation: That the Board of Directors adopt Resolution No.
17-13 Lifting Stage 1 Water Supply Shortage.
Director Hawkins made a motion, seconded by Director Jones, to add this matter
to the agenda as Item No. 9.3. Motion carried 5-0.
5. INTRODUCTIONS AND PRESENTATIONS
5.1. Elected Official Liaison Reports
Councilmember Tom Lindsey reported on upcoming activities related to
the City's 50th anniversary celebration, abandonment of landscape
easements and the impact on water consumption, and plans to install
drought tolerant landscaping in medians throughout the community.
6. PUBLIC COMMENTS
None.
7. CONSENT CALENDAR
Director Hawkins made a motion, seconded by Director Jones, to approve Item
Nos. 7.1 through 7.3 on the Consent Calendar. Motion carried 5-0. Director Hall
abstained from voting on 7.1. as he was not present for the meeting.
7.1. Minutes of the Board of Directors Regular Meeting held January 12, 2017
Recommendation: That the Board of Directors approve the minutes as
presented.
7.2. Payments of Bills, Refunds, and Wire Transfers
Recommendation: That the Board of Directors ratify and authorize
disbursements in the amount of$1,340,373.03.
7.3. Request to File Notice of Completion for the Well No. 21 Wellhead
Equipping Project
Recommendation: That the Board of Directors authorize staff to file the
Notice of Completion for construction of the Well No. 21 Wellhead
Equipping Project, Job No. J2009-22.
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(The following item was removed from the agenda.)
7.4. Claim for Damages Filed by Jeff Hansen
Recommendation: That the Board of Directors reject and deny the claim
filed by Jeff Hansen.
8. ACTION CALENDAR
8.1. Determination to Join the California Municipal Finance Authority (CMFA)
Ms. Delia Lugo explained that it was in the public's interest and benefit to
become a member of CMFA in order to facilitate the financing of certain
water distribution system improvements within the District's service area.
Director Hawkins made a motion, seconded by Director Hall, to adopt
Resolution No. 17-10 Approving, Authorizing, and Directing Execution of
Joint Exercise of Powers Agreement Relating to the California Municipal
Finance Authority. Motion carried 5-0 on a Roll Call vote.
8.2. Agreement to Form the Yorba Linda Water District Financing Authority
Ms. Lugo explained that following Board authorization, the District had
submitted an application to become a member of CMFA which if
approved, grants the authority to exercise a joint powers agreement
between CMFA and the District to create and establish the Yorba Linda
Water District Financing Authority.
Director Hawkins made a motion, seconded by Director Jones, to adopt
Resolution No. 17-11 Approving, Authorizing and Directing the Execution
of Joint Exercise of Powers Agreement By and Between the Yorba Linda
Water District and the California Municipal Finance Authority to Form the
Yorba Linda Water District Financing Authority. Motion carried 5-0 on a
Roll Call vote.
Mr. Cyrus Torabi explained that prior to considering the issuance of
bonds, President Miller would need to execute the two agreements that
were just approved. He noted that CMFA had approved the District's
application on April 7, 2017.
8.3. Adjourn to Yorba Linda Water District Financing Authority Meeting
The Board of Directors meeting was adjourned to the Financing Authority
meeting at 6:49 p.m. President Miller then signed the agreements
associated with Item Nos. 8.1. and 8.2.
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(Minutes of the Financing Authority Meeting have been recorded
separately.)
The Financing Authority meeting was adjourned and the Board of
Directors meeting reconvened at 6:59 p.m.
9. ACTION CALENDAR CONTINUED
9.1. Approving Issuance of Revenue Bonds Series 2017A
Ms. Lugo explained that Mr. Robert Porr had prepared a presentation for
the Board as part of the due diligence process.
Mr. Porr provided an overview of the savings associated with the
"advance" and "current" refunding scenarios and the results of a sensitivity
analysis.
Mr. Torabi reviewed the resolution and related legal documents.
Ms. Cristy Parker (resident) commented on the resolution and procedures
for cancellation of the bond issuance process to which Mr. Porr and Mr.
Torabi responded.
The Board discussed fluctuations in the market and the impact on District
savings. The Board then requested an action item be placed on the next
regular meeting agenda to review market conditions and determine
whether or not to move forward or delay issuance of the bonds.
Ms. Parker (resident) suggested various edits to the Installment Purchase
Agreement. Mr. Torabi and staff responded and indicated that some
sections had been or will be revised if warranted.
Ms. Lugo asked the Board to review the Preliminary Official Statement
and submit any questions or comments to staff before the end of the work
week.
Director Hawkins made a motion, seconded by Director Hall, to adopt
Resolution No. 17-12 Approving the Execution and Delivery of an
Installment Purchase Agreement (pending edits to be completed by bond
counsel) for the Purpose of Causing the Issuance of Approximately
$35,000,000 Aggregate Principal Amount of Revenue Bonds, Series
2017A and Approving the Execution and Delivery of Certain Documents in
Connection Therewith and Certain Other Matters. Motion carried 5-0 on a
Roll Call vote.
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President Miller declared a recess at 8:26 p.m.
The meeting was reconvened at 8:34 p.m.
9.2. Change Order No. 3 for Richfield Road Water Main Project
Mr. Steve Conklin explained that the contractor had submitted a change
order for an increase of approximately $46K and 24 calendar day
extension due to differing site conditions and unknown utilities. Staff will
be working with the engineering firm (Stantec) to obtain reimbursement for
approximately $16K as the design for the tie-in was defective.
Director Hawkins made a motion, seconded by Director Jones, to approve
Change Order No. 3 for $45,991.08 and 24 additional calendar days to
TBU Construction Inc. for construction of the Richfield Road Water Main
Project, Job No. 2014-23. Motion carried 5-0.
9.3. Lifting Stage 1 Water Supply Shortage
Mr. Marcantonio explained that Governor Brown ended the emergency
drought declaration the week prior. Shortly thereafter, staff began
receiving calls as to the status of the District's Stage 1 watering
restrictions. Lifting Stage 1 would allow customers to irrigate more than 3
times per week, however, the District's permanent watering restrictions
would still remain in effect.
Director Hawkins made a motion, seconded by Director Jones, to adopt
Resolution No. 17-13 Lifting Stage 1 Water Supply Shortage. Motion
carried 5-0 on a Roll Call vote.
10. DISCUSSION ITEMS
10.1. Options for Enhancing Community Relations
Mr. Marcantonio explained that the District had tried several different ways
to communicate with the public and the preferred method differs.
Director Hall commented on the diversity of the Districts constituents,
potential need for short term professional assistance with messaging, the
complexity of local and statewide water issues, and YLWD's responsibility
for educating the public. He suggested that a request for proposal (RFP)
for these services be prepared and presented to the Board.
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The Board and staff then discussed conducting town hall meetings
electronically, utilizing the City's government access television channel,
and options for digital streaming.
Director Hall suggested that communication methods and strategy be
proposed by the public relations firm should one be engaged. He also
commented on his previous experience working with community relations
consultants and the importance of tailoring public relations efforts.
The Board and staff then discussed the need for community relation
efforts, the length of time for potentially engaging a public relations firm,
strategic planning and staffing, and surveying customers in regards to
preferred method of communication.
Director Hall suggested that the Board consider engaging a public
relations firm for a period of 3 months to develop a communications
strategy for the District for the next few years.
Mr. Marcantonio indicated that staff would start drafting the RFP and
present it to the Board for consideration at a future meeting.
The Board and staff then discussed the timing of the RFP process, start
date of the contract, reaching out to other agencies for recommendations,
and including funds in the draft FY 2018 budget.
Councilmember Tom Lindsey commented on the City's recent public
relations efforts and provided suggestions to the Board in regards to this
matter.
11. REPORTS, INFORMATION ITEMS, AND COMMENTS
11.1. Directors' Reports
None.
11.2. General Manager's Report
Mr. Marcantonio reported on meetings and events he'd recently attended.
He then asked each of the managers to report on activities within their
respective departments.
Mr. John DeCriscio reported on the status of a main break and staff's
planned participation in various competitions during the CA/NV AWWA
conference.
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Ms. Lugo reported that staff was preparing for the next budget workshop
and participated in interviews with the rating agencies. She noted that
representatives from White Nelson Diehl Evans would be providing a
presentation regarding the audit process at a future Board meeting.
Mr. Art Vega reported on the status of the District's financial system
upgrade.
Ms. Botts reported on various aspects of the state's long-term framework
for water conservation. She stated that the District's permanent watering
restrictions would continue to remain in effect despite the Governor's
drought declaration being lifted.
Ms. Gina Knight reported on the status of staffing within her department.
11.3. General Counsel's Report
None.
11.4. Future Agenda Items and Staff Tasks
None.
12. COMMITTEE REPORTS
12.1. Interagency Committee with MWDOC and OCWD
(Miller/Nederhood)
■ Minutes of meeting held March 23, 2017 were included in the
agenda packet.
■ Next meeting is schedule May 25, 2017 at 4:00 p.m.
12.2. Joint Agency Committee with City of Yorba Linda
(Miller/Hawkins)
■ Minutes of meeting held March 13, 2017 will be provided when
available.
■ Next meeting is scheduled June 12, 2017 at 4:00 p.m. at YL City
Hall.
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12.3. Interagency Committee with City of Placentia and Golden State Water Company
(Miller/Nederhood)
■ Next meeting is yet to be scheduled.
12.4. Ad Hoc Citizens Advisory Committee
■ Minutes of meetings held March 21 and March 30, 2017 were
included in the agenda packet. Minutes of meeting held April 6,
2017 will be provided when available.
■ Next meeting is scheduled April 13, 2017 at 6:00 p.m.
13. INTERGOVERNMENTAL MEETINGS
The Directors reported on their attendance at the following meetings and events.
13.1 YL Planning Commission — March 29, 2017 (Hawkins — As Needed)
13.2 ISDOC — March 30, 2017 (Jones/Miller/Nederhood)
13.3. MWDOC Water Policy Forum — March 30, 2017 (Hawkins/Jones/Miller/Nederhood)
13.4. YL City Council — April 4, 2017 (Nederhood)
13.5. MWDOC Board —April 5, 2017 (Nederhood)
13.6. OCSD Operations Committee — April 5, 2017 (Hawkins)
13.7. OCWD — April 5, 2017 (Jones)
13.8. MWDSC Hoover Dam Tour— April 7-9, 2017 (Jones/Nederhood)
13.9. WACO —April 7, 2017 (Miller)
14. BOARD OF DIRECTORS ACTIVITY CALENDAR
14.1. Meetings from April 12, 2017 — June 30, 2017
The Board reviewed the activity calendar and made no changes.
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15. CONFERENCES, SEMINARS, AND SPECIAL EVENTS
15.1. MWDOC Elected Officials' Forum —April 26, 2017
The Board voted 5-0 to approve Director attendance at this event if
desired.
16. ADJOURNMENT
16.1. The meeting was adjourned at 9:59 p.m.
Annie Alexander
Assistant Board Secretary
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