HomeMy WebLinkAbout1990-03-08 - Board of Directors Meeting MinutesPages
March 8, 1990
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
March 8, 1990
The regular meeting of the Board of Directors of the Yorba Linda Water District was
called to order by Arthur Korn, President, at 8:30 a.m., March 8, 1990, in the District
offices at 4622 Plumosa, Yorba Linda. Directors present were: Paul Armstrong, Whit
Cromwell, Sterling Fox, Roy Knauft and President Korn. Also present were: William P.
Workman, General Manager; William Robertson, Assistant General Manager; Robb
Quincey, Executive Assistant to the General Manager; Mike Payne, Engineering
Manager; Cheryl Gunderson, Business Manager; Mike Robinson, Assistant
Administrator; Ray Harsma, Operations Superintendent; Barbara Bower, Secretary;
Brian Johnson of A.W. Associates; and Ken Maddeck of Brighton Homes.
CONSENT CALENDAR
On a motion by Director Fox and seconded by Director Armstrong, the Board of
Directors voted 5-0 to approve the Consent Calendar as follows:
Item 1. Approval of Minutes - Adjourned meeting of February 20, 1990, and Regular
meeting of February 22, 1990.
Item 2. Authorization for the Directors to leave the State of California prior to next
meeting.
Item 3. Approval of final Progress Payment No. 16 to F.T. Ziebarth Company, Inc. for
construction of the Santiago Reservoir in the amount of $15,880.50; authorization for
staff to file a Notice of Completion; authorization to release the Labor and Materials
Bond and payment of the 10% retention totaling $101,830.70 35 days after the Notice
of Completion has been recorded if no liens have been filed; and release the Faithful
Performance Bond in one year if no defects have been found.
Item 4. Approval of contract with Changing Times Enterprises, Inc., in the amount of
$83,300.00 for the construction of the Zone 4 to 3 Pressure Reducing Station; and
approve the transfer of $9,600.00 from the Fairmont Boulevard pipeline project to the
Pressure Reducing Station project.
Item 5. Approval of Progress Payment No. 4 to J.H. Rives Co., in the amount of
$20,102.00.
PRESENTATION
Item 6. Presentation by Larry Kraemer, Director, Orange County Water District. Mr.
Kraemer was not present for this report.
Q `7
Page
March 8, 1990
DISCUSSION CALENDAR
Item 7. Report on the proposed Bryant Ranch Water Well. Engineering Manager Mike
Payne explained that pursuant to the 1989 Water Service Agreement, AW Associates
is required to install a water well with a minimum capacity of 1,000 gallon per minute
on a site acceptable to the District. He further explained that over the past several
months, AW has been working with the Orange County Flood Control District (OCFCD)
on an agreement for transfer of land and construction of the water well facilities. Mr.
Payne stated that after having recently received a copy of the proposed agreement
between the OCFCD and AW Associates, the staff is concerned with the following
issues: a 1,100 gallon per minute cap on the well's capacity, time and method of
conveyance, construction of easement facilities, quitclaim by AW to District, special
covenant of AW, and the Orange County Water District annexation requirement. He
stated that the proposed agreement is scheduled for consideration by the Orange
County Board of Supervisor's at their meeting of March 20, 1990.
Both Legal Counsel Art Kidman and Bryan Johnson of AW Associates addressed the
Board with regard to this item. Mr. Kidman stated that he was concerned that the
proposed agreement between the County and AW Associates may restrict the District's
production potential on the Eastside well; and furthermore, may be in direct
contradiction to the 1989 Water Service Agreement. Mr. Johnson stated that the
District has been fully aware of the proposed well site area, and the specifications of
the well and should not therefore be overly concerned with the 1100 gpm restriction
that was proposed. Mr. Johnson further stated that AW Associates does not believe
that the proposed agreement is in conflict with the 1989 Water Service Agreement.
The Board of Directors discussed this item at length, specifically with regard to the
terms of the proposed agreement between the OCFCD and AW, and the proposed
well specifications. Additionally, the Board discussed the potentialities of pumping
more water than the proposed agreement allows for, and the possibilities of alternative
well sites in the Easterly portions of the District.
The Board requested that the District staff continue to meet with AW Associates to work
out the areas of concern that exist as a result of the proposed OCFCD-AW Associates
agreement, and requested that AW Associates endeavor to have this item continued
for consideration from the March 20, 1990 Orange County Board of Supervisor's
Agenda to a future date. They further requested to be kept fully apprised of this
situation, so that in the event that either one of the aforementioned factors cannot be
achieved, a meeting between members of the Board of Directors and staff, and
members of the Orange County Board of Supervisor's could be scheduled to address
this issue.
Item 8. Consideration of Automobile Club of Southern California Radio Transmitter
Site Lease. Robb Quincey, Executive Assistant to the General Manager advised the
Board that the District was approached by the Automobile Club of Southern California
concerning their interest in leasing a small space at the District's Fairmont Reservoir
Page _ 1
March 8, 1990
site to install two-way radio equipment and antenna for their Emergency Road Side
Service. Mr. Quincey further stated that the Automobile Club has tested the equipment
at the Fairmont Reservoir site, and it has been determined that it will work adequately
and will not interfere with District operations in anyway. He advised the Board that the
proposed lease would be for a period of five years, and it would be in the amount of
$125.00 per month with an annual CPI adjustment. After a general discussion by the
Board with regard to the proposed lease as compared to an existing lease with the
City of Yorba Linda for similar space, on a motion by Director Knauft and seconded by
Director Cromwell, the Board of Directors voted 5-0 to approve a five year lease with
the Automobile Club of Southern California for space to operate a radio station at the
District's Fairmont Reservoir site; and authorize the President and Secretary to
execute the agreement.
Item 9. Report on Allen-McColloch Pipeline - Flow Augmentation Project. Assistant
General Manager William Robertson explained to the Board that the Metropolitan
Water District of Southern California (MWD) has requested that the Allen McColloch
Pipeline (AMP) participants postpone construction of a proposed booster pump station
during negotiations between MWD and the Metropolitan Water District of Orange
County (MWDOC) concerning the sale of the AMP facility. He further stated that the
AMP participants generally concurred with the request for delay at their meeting of
February 21, 1990. Mr. Robertson explained that MWDOC has requested that each
AMP participant review, and if acceptable, approve a short letter agreement concurring
with the delayed construction of the proposed booster pump station. After a brief
discussion by the Board concerning this issue, on a motion by Director Knauft and
seconded by Director Cromwell, the Board of Directors voted 5-0 to authorize the
General Manager to sign a letter consenting to delay construction of the AMP Booster
Pump Station.
Item 10. Consideration of dedication ceremonies of Chino Hills and Santiago
Reservoirs. Assistant Administrator Mike Robinson explained that the Chino Hills and
Santiago Reservoirs are now complete and ready for operation. He stated that
dedication ceremonies would be appropriate at this time, and reviewed several
options with respect to the dedication ceremonies. Mr. Robinson explained that the
dedications could be held on the same date at different times, or two separate
dedication ceremonies could be held on separate dates. After a brief discussion, the
Board of Directors requested that staff prepare to have one joint dedication ceremony
for the two sites on March 30, 1990 at 2:00 p.m. The joint ceremony will be held at the
Santiago Reservoir site.
Item 11. Improvement District No. 2 - Series "C" General Obligation Bond Sale.
Assistant General Manager William Robertson explained that on February 8, 1990 the
Board of Directors authorized staff, legal counsel and bond consultants to solicit bids
for Improvement District No. 2 (I.D.-2), Series "C" General Obligation Bonds. He
reviewed a series of important points pertaining to issuance of the bonds, and stated
<1 -1 `7
Page-2-
March 8, 1990
that the bid opening is scheduled for 9:00 a.m. on Thursday, March 8, 1990 at the offices
of Seidler-Fitzgerald Public Finance in Los Angeles. Mr. Robertson explained that given
that the bid opening is away from the District' office, representatives of
Seidler-Fitzgerald will supervise the actual bid opening process, calculate the lowest
bidder, review the bidder's security, notify bond counsel of the final calculations and
travel to the District's office to inform the Board of the bid result while the District's bond
counsel transmits a facsimile of the completed Resolution for Board Consideration.
Mr. Joe Nocella of Seidler-Fitzgerald arrived at the Board meeting to advise the Board
that 4 bids were received for the District's bonds. He stated that Smith Barney was the
lowest bidder offering a net interest rate of 7.197% on the bonds. He stated that
Seidler-Fitzgerald was pleased with the outcome of the bond offering, and
recommended that the Board accept the Smith Barney bid, and reject the other bids and
return their respective bid bonds. After a general discussion by the Board with respect
to the bond offering, on a motion by Director Armstrong and seconded by Director Fox,
the Board of Directors voted 5-0 to adopt Resolution 90-10, Resolution of the Board of
Directors of the Yorba Linda Water District awarding the principal amount of $6,000.000
of Improvement District No. 2 1979 Water Bonds, Series "C" to the best bidder.
GENERAL MANAGER'S REPORT
Item 12. General Manager William Workman advised the Board that the District has
recently recieved a letter from Brighton Homes and the North Orange County
Community College District (NOCCCD) requesting that two separate two party
annexation agreements be developed; one agreement between Brighton Homes and
the District and the second between the North Orange County Community College
District and the District. He stated that Mr. Ken Maddeck of Brighton Homes was present
to discuss this issue with the Board. Mr. Maddeck stated that he had met with the
NOCCCD on the previous evening, and the two separate two party annexation
agreements appeared necessary. Mr. Maddeck also requested therefore, that the Board
authorize General Counsel Art Kidman to prepare the agreement between Brighton
Homes and the District at this time, at the expense of Brighton. He concluded by
requesting that the Board consider some partial waiver or reduction in the future
annexation fees and charges that Brighton Homes will incur with the District. Mr.
Workman concluded this annexation discussion by stating that both Director Knauft and
himself attended a reception for the new Chancellor at the NOCCCD the previous
evening. He stated that he was met by a number of college officials who were very
interested in the annexation issue.
Mr. Workman also advised that Board that the City of Yorba Linda awarded their Sewer
Maintenance Contract to Empire Pipe Cleaning & Equipment, Inc. of Anaheim at their
March 7, 1990 meeting. He advised the Board of a potential citizen complaint
concerning the District's Water Reconnection fee, and stated that a closed session of the
Board is necessary to discuss legal and personnel matters.
Page-- '
March 8, 1990
LEGAL COUNSEL'S REPORT
Item 13. No Legal Counsel's report scheduled.
STANDING COMMITTEE REPORTS
Item 14. Oral Report on Executive-Administrative-Organizational Committee meeting of
March 5, 1990. President Korn reported that the results of the District's Annual
Employee Survey was discussed at this meeting.
Item 15. No Finance-Accounting Committee meeting scheduled.
Item 16. Authorization for Payment of Bills. On a motion by Vice President Knauft and
seconded by Director Armstrong, the Board of Directors voted 5-0 to approve payment of
bills and rate deposits in the amount of $440,574.36 on Check Nos. 19510, and Payroll
Check Nos. 4746 through 4802 and one wire dated March 13, 1990 to MWDOC in the
amount of $104,029.01.
Item 17. No Personnel Committee meeting scheduled
Item 18. Report on Planning-Engineering-Operations Committee meeting of March 1,
1990. Director Armstrong reported that the Headquarters Renovation, Annexations,
City-District Sewer Maintenance Contract, City Over Charge for Sewer Maintenance,
Earthquake-Emergency Plan, Plant No. 1 Master Plan-Phase II RFP, AMP Flow
Augmentation Agreement Modification, and the DI-02 Enlargement were the issues of
discussion at this meeting.
Item 19. No Public Information Committee meeting scheduled.
INTERGOVERNMENTAL MEETINGS
Item 20. Report on Planning Commission meeting of February 28, 1990. Director
Armstrong reported that nothing of significance to the District was discussed at this
meeting.
Item 21. Report on WACO meeting of March 2, 1990. No District attendance at this
meeting.
Item 22. Report on ACWA Mini-Conference of March 2-3, 1990. Director Fox reported
that the Mini-conference was a very informative conference. He stated that such issues
as Workers' Compensation, the Endangered Species Act and Consolidation/Takeovers
were discussed.
Item 23. Report on City Council Meeting of March 6, 1990. Director Armstrong reported
that the City of Yorba Linda's Sewer Maintenance Contract was discussed and acted
upon at this meeting, as well as discussions concerning the Savi Ranch area financing
and Ordinance modifications.
Pager
March 8, 1990
Item 24. Report on MWDOC meeting of March 7, 1990. Vice President Knauft reported
that the AMP delays and shutdown, and adoption of a 10 meeting Board compensation
Ordinance were discussed at this meeting.
BOARD MEMBER COMMENTS
Item 25. Director Armstrong: Director Armstrong had no comments.
Item 26. Director Cromwell: Director Cromwell updated the Board regarding his
mother-in-law's health, and thanked everyone for their thoughts and considerations.
Item 27. Director Fox: Director Fox inquired of the arrangements being made for the
upcoming ACWA conference in South Lake Tahoe on May 9, 10 and 11th. He also
suggested that this conference may interfere with the previously planned District Open
House scheduled for May 11, 1990.
Item 28. Vice President Knauft: Vice President Knauft expressed his appreciation to
staff for their efforts on the new Headquarters building.
Item 29. President Korn: President Korn had no comments.
CLOSED SESSION
President Korn directed the Board into closed session to discuss the Salem Road Main
Break litigation-(Cunningham/Barisic) and a personnel/labor relations matter.
WORKSHOP
Item 30. Board of Director's Goals Workshop. The Board reviewed the District's
mission statement, the current environment for the District, several forecasts for the
future and a variety of activities that should be further reviewed and placed in the
Five-Year Plan and Annual Budget. Activities included improvements at Plant No. 1, a
customer survey, a review of water storage requirements and a study of new
entrepreneurial uses of water.
ADJOURNMENT
On a motion by Director Armstrong and seconded by Director Fox, the Board of Directors
voted 5-0 to to adjourn the meeting at 3:50 p.m., to March 15, 1990 at 8:30 a.m.
William P. Workman
General Manager/Sec