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HomeMy WebLinkAbout1991-11-12 - Board of Directors Meeting Minutes. Page 2309 November 12, 1991 MINUTES OF THE YORBA LINDA WATER DISTRICT BOARD OF DIRECTORS ADJOURNED REGULAR MEETING November 12, 1991 The Adjourned Regular Meeting of the Board of Directors of the Yorba Linda Water District was called to order by President M. Roy Knauft, Jr. at 8:30 a.m., November 12, 1991, at the District Headquarters, 4622 Plumosa Drive, Yorba Linda. Directors present were Sterling Fox, Arthur C. Korn, Carl Scanlin, Vice President Paul R. Armstrong and President M. Roy Knauft, Jr. Also present were William Robertson, Secretary/General Manager; Arthur G. Kidman, General Counsel; Chuck Gray, Senior Engineering Technician; Cheryl Gunderson, Business Manager; Ray Harsma, Operations Superintendent; Michael Robinson, Assistant Administrator; Yury Zaslavsky, Assistant Engineering Manager; and, Barbara Bower, Secretary to the General Manager. Visitor present was Brian Johnson representing AW Associates. CONSENT CALENDAR Prior to voting on the Consent Calendar Vice President Armstrong asked if the Board could visit Elk Mountain Reservoir prior to filling the tank. General Manager Robertson responded the staff will arrange a Board visit to the site. On a motion by Director Fox and seconded by Director Korn, the Board of Directors voted 5-0, to approve the Consent Calendar as follows: Item 1. Approval of Minutes - Adjourned Regular meeting of October 24, 1991. Item 2. Authorization for the Directors to leave the State of California prior to next meeting. Item 3. Approval of payment of bills, payroll and refunds in the amount of $673,570.29 on Check Nos 7057, 7058, 8869, 8870, 9077, 9182 through 9200, 9210 through 9297; and Payroll Check Nos. 2276 through 2340; and one wire to MWDOC in the amount of $238,348.30 dated November 13, 1991. Item 4. Approval of Progress Payment No. 4 to SSC Construction, Incorporated for construction of the Camino De Bryant Reservoir, in the amount of $85,473.00; Change Order No. 1 in the amount of $25,513.53 and a time extension of 10 calendar days, Job No. 8935. Item 5. Approval to release the Cash Bond with Woodcrest Development in the amount of $2,000.00 for the Water Improvements for Tract No. 10043. Item 6. Approval of Progress Payment No. 10 to BFI Constructors in the amount of $187,936.00 for the construction of the Elk Mountain Reservoir project; and authorize staff to deposit $20,881.00 with Escrow Agent Eldorado Bank as a substitute for retention earnings, Job No. 8918. Page -2 7~ 0 November 12, 1991 Item 7. Approval of a purchase agreement with GMC Truck Center in the amount of $12,466.68 for a new 1/2 ton pickup truck. ACTION CALENDAR Item 8. Approval of payment to AW Associates No. 3, in the amount of $142,900.00 for construction costs of the Lomas De Yorba Chlorination Facility. Yury Zaslavsky, Assistant Engineering Manager, introduced this subject with a report that the developer completed the chlorination facility in accordance with the District's standards and specifications. Mr. Zaslavsky recommended reimbursement of the construction costs, in accordance with an agreement with the developer, following recordation of the Notice of Completion and no liens filed against the project. In response to an inquiry by the Board, Mr. Zaslavsky reported the staff has reviewed all of the invoices. On a motion by Vice President Armstrong and seconded by Director Scanlin, the Board of Directors voted 5-0 to approve payment to AW Associates, Incorporated in the amount of $142,900.00 for the construction costs of the Lomas De Yorba Chlorination Facility, once the Notice of Completion has been recorded and no liens have been filed against the project, Job No. 9121. Item 9. Approval of payment to AW Associates No. 3, in the amount of $607,895.65 for the reimbursement of construction for the Well Pipeline Project. Yury Zaslavsky, Assistant Engineering Manager, introduced this subject with a report that the developer completed the Well Pipeline project in accordance with the District's standards and specifications. Mr. Zaslavsky recommended reimbursement of the construction costs, in accordance with an agreement with the developer, following recordation of the Notice of Completion and no liens filed against the project. In addition, Mr. Zaslavsky reported the staff has reviewed all of the invoices. On a motion by Vice President Armstrong and seconded by Director Fox the Board of Directors voted 5-0 to approve payment to AW Associates, Incorporated in the amount of $607,895.65 for the reimbursement of construction costs for the Well Pipeline Project, once the Notice of Completion has been recorded and no liens have been filed against the project, Job No. 8934. Item 10. Approval of the Financial Statements for the three months ending September 30, 1991. Cheryl Gunderson, Business Manager, reported on the District's financial position for the three months ending September 30th. Following a general discussion on LAIF interest accruals and on a motion by President Knauft seconded by Director Scanlin the Board of Directors voted 5-0 to approve the Financial Statements for the three months ending September 30, 1991. Item 11. Consideration of a Sewer Maintenance Agreement with the City of Yorba Linda. William Robertson, General Manager, introduced this subject with a report on the Sewer Maintenance Agreement. The agreement is for one year, ending on June 30,1992, however it includes a clause for annual extensions. Mr. Robertson reported on an understanding with the City that the costs will be reviewed and adjusted, if 30 01 Page 2311 November 12, 1991 necessary, each year prior to approval of an extension. In response to an inquiry by the Board, Mr. Robertson reported the total dollar amount shown in the agreement is only an estimate based on the total amount of pipe cleaned and an assumed number of emergency callouts. The key numbers in the agreement are the cleaning cost per foot and hourly rate for emergency callouts. Actual costs will be based on amount of pipe cleaned and number of emergency callouts each month. The Board expressed appreciation to the District and City staff for the agreement. Mr. Robertson also reported the District staff has already assisted the City on a couple of emergency cleaning operations. On a motion by Director Fox and seconded by Vice President Armstrong the Board of Directors voted 5-0 to approve a Sewer Maintenance Agreement with the City of Yorba Linda; and authorize the President and Secretary to execute the Agreement. President Knauft excused himself at 8:43 a.m., to attend a Metropolitan Water District meeting scheduled for later in the morning, and turned over the meeting to Vice President Armstrong. DISCUSSION CALENDAR Item 12. Review of recently completed Public Information activities. Mike Robinson, Assistant Administrator, reported on the following Public Information activities: Heritage Days Parade, Fiesta Days Parade and Street Faire, and the ninth Creative Landscaping Conference. Mr. Robinson reported that over 2,500 persons viewed the District's float, which stressed water conservation and 1,000 water conservation kits were distributed at the Fiesta Days Street Faire. The Board commended staff for their effort in these activities. There was no action by the Board on this matter. Item 13. Consideration of a qualifying retirement system for Directors, and Part-time, Seasonal and Temporary employees. William Robertson, General Manager, introduced this subject with a report on the qualifying retirement system law that became effective on July 1, 1991. Mr. Robertson reported: 1) the District's Part-time, Seasonal and Temporary (PST) employees are not eligible for PERS; 2) Board members are eligible for PERS; 3) the PST employees are currently enrolled in Social Security which complies with the law; 4) staff reviewed two private retirement systems (which are discussed in detail in the agenda report) and it is not cost effective for the District to join a private plan; 5) the District's Deferred Compensation Plan qualifies as a retirement system, however, membership is voluntary not mandatory; and 6) the Internal Revenue Service will have to approve any changes to the District's Deferred Compensation Plan and the IRS may not approve a change. Mr. Robertson reported that PERS is working on amendment which will qualify PST employees, however, in its present form the amendment is for State employees only and will not be available to contract members. Based upon these findings, staff recommends that the PST employees remain in Social Security and Directors have a choice between PIERS and the Deferred Compensation Plan. Mr. Robertson then reviewed the PERS law relating to Directors. Page 220* November 12, 1991 The Board held a general discussion on the retirement system choices. The Board concurred that the PST employees should belong to a either Social Security or PERS because they offer a long term plan which will benefit them later in their career. While the Board concurred with staff recommendation, they wanted to adopt Resolution 91-31, which authorizes a delay in implementing a plan, to give Directors until December 31, 1991, to review their choices and make a final decision on a qualifying retirement system. On a motion by Director Korn and seconded by Director Scanlin the Board of Directors voted 4-0, President Knauft was absent, to adopt Resolution 91-31 relating to the provision of a qualifying retirement system for all employees not currently eligible for PERS. GENERAL MANAGER'S REPORT Item 14. General Manager's oral report and comments. Mr. Robertson discussed an appointment with Mr. Harold Weiss, and reviewed activities planned by staff to celebrate signing on the District's 20,000 th customer. GENERAL COUNSEL'S REPORT Item 15. General Counsel's oral report and comments. Mr. Kidman had no comments. STANDING COMMITTEE REPORT Item 16. No Executive-Administrative-Organizational Committee report was scheduled. Item 17. Schedule a Finance-Accounting Committee meeting. President Knauft was absent so a meeting could not be scheduled. Director Korn requested that staff schedule a meeting with President Knauft and telephone him to confirm a date. Item 18. Report on Personnel Committee meeting of October 29, 1991. The Executive Assistant recruitment, Social Security and General Manager's evaluation process were discussed at the October 29, 1991, Personnel Committee meeting. Item 19. A Planning-Engineering-Operations Committee was scheduled for 2:00 p.m. on Monday, November 25, 1991. Item 20. No Public Information Committee meeting report was scheduled. INTERGOVERNMENTAL MEETINGS Item 21. Report on ISDOC meeting, October 31. Director Fox reported on the October 31, 1991, ISDOC meeting. Director's Korn and Fox led the Board in a discussion of ISDOC's and CSDA's role in special district representation. Item 22. Report on WACO meeting, November 1. President was absent and could not report on the WACO meeting. Page 2313 November 12, 1991 Item 23. Report on MWDOC meeting, November 6. President was absent and could not report on the WACO meeting. Item 24. Report on City Council meeting, November 5. Director Scanlin reported that nothing of interest to the District was discussed at the November 5, 1991 City Council meeting. Item 25. Report on CSDA meeting, November 8. Director Korn reported that the State is still $3 to $4 billion short of meeting it's budget commitments and the situation in Sacramento is hectic. There was a general discussion of how the term limits and loss of key staff members have added to legislative problems. In addition, enterprise districts may face may new challenges as the State may try to balance the budget with new fees and charges against enterprise districts. BOARD MEMBER COMMENTS Item 26. Director Fox. Director Fox had no comments. Item 27. Director Korn. Director Korn had no comments. Item 28. Director Scanlin. Director Scanlin had no comments. Item 29. Vice President Armstrong. Vice President Armstrong discussed the SABA wells and their ability to provide water to the proposed development at Gypsum Canyon, whom is building the new pipeline in Buena Vista Avenue (Mr. Gray responded the work is being done by Southern California Water Company). Lastly, he visited Howard Lindow last week and reported he is not doing too well and encouraged other Directors to visit if they have the chance. Item 30. President Knauft. President Knauft was absent. BOARD OF DIRECTORS ACTIVITY CALENDAR The Board of Directors reviewed the Activity Calendar and made assignments. CLOSED SESSION Vice President Armstrong declared a ten minute recess beginning at 9:40 a.m. and announced that, after the recess, the Board of Directors would go into closed session with the General Manager and General Counsel. The purpose of the closed session was to discuss: Item 31. Montrose Chemical Corporation Claim. I 1 William Robertson and Mr. Arthur G. Kidman were excused from the closed session at 10:18 a.m. Page November 12, 1991 Item 32. General Manager's Evaluation. The Board of Directors returned to open session at 10:58 a.m Vice President Armstrong then announced that on a motion by Director Korn and seconded by Vice President Armstrong, the Board of Directors voted 4-0 to authorize execution of the Collective Defense Agreement with the County Sanitation Districts. On a motion by Director Fox and seconded by Director Korn the Board of Directors voted 4-0 to adjust the General Manager's compensation to $81,000 per year effective on the first pay period following his anniversary date. ADJOURNMENT On a motion by Director Korn and seconded by Director Fox the Board of Directors voted 4-0 at 11:03 a.m. to adjourn the meeting to Tuesday, November 26, 1991, at 8:30 a.m. at the District headquarters. W i I i m J. obertson General Manger/Secretary