HomeMy WebLinkAbout1990-07-12 - Board of Directors Meeting Minutes3 i cj
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July 12, 1990
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
July 12,1990
The regular meeting of the Board of Directors of the Yorba Linda Water District was
called to order by Arthur C. Korn, President, at 8:32 a.m., at the District Headquarters,
4622 Plumosa Drive, Yorba Linda. Directors present were: Paul Armstrong, Arthur Korn,
and Roy Knauft. Sterling Fox was absent. Also present were William Robertson, Acting
General Manager; Cheryl Gunderson, Business Manager; Mike Robinson, Assistant
Administrator; Ray Harsma, Operations Superintendent; Yury Zaslavsky, Assistant
Engineering Manager; Barbara Bower, Secretary; Russ Behrens, McCormick, Kidman
and Behrens; and Whit Cromwell.
PRESENTATION
Item 1. William Robertson, Acting General Manager, reported the District received a
letter of resignation from Director Whit Cromwell. Mr. Cromwell's resignation from the
Board of Directors effective Friday, July 6, 1990, to take up residence in Hemet,
California. On a motion by Director Armstrong and Seconded by Vice President Knauft,
the Board of Directors voted 3-0 to adopt Resolution No. 90-23 honoring Director Whit
Cromwell on the occasion of his retirement from the Board of Directors. There was a
short recess while President Korn made a formal presentation of Resolution 90-23 and a
plaque to former Director Cromwell honoring his 12 years of service to the Water District.
CONSENT CALENDAR
On a motion by Director Armstrong and seconded by Director Knauft, the Board of
Directors voted 3-0 to approve the Consent Calendar as follows:
Item 2. Approval of Minutes - Regular meeting of June 28, 1990.
Item 3. Authorization for the Directors to leave the State of California prior to next
meeting.
Item 4. Acceptance of the Treasurer's Report for May 31, 1990.
DISCUSSION CALENDAR
Item 5. Report on the Lomas De Yorba West, Zone 4 Booster Station Project. Yury
Zaslavsky, Assistant Engineering Manager, reported that on July 13, 1989 the Board
approved an agreement with ASL Consulting Engineer's for the design of the Lomas De
Yorba, Zone 4, Booster Station. During review of the preliminary design report the staff.
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July 12, 1990
expanded the scope of work to include land use planning, storage requirements,
hydraulic analysis of the Bryant Crossfeeder, simulation of maximum day demands, and
the effect of new groundwater well supply on the overall system. The additional cost for
the extra work was $24,064.78. The final design report reviewed four alternatives and
concluded that the booster station was the most reliable and least cost alternative.
Mr. Zaslavsky also stated the engineering report studied three alternate site locations
which concluded that a site on the east side of Lomas De Yorba and south of the
railroad tracks was the best location. Given that the recommended site is on private
property, it is District policy to retain the services of a professional appraiser, determine
value and then negotiate purchase with the land owner. The Board discussed the
purpose of an appraiser for this particular acquisition and approximate land value.
Additionally, the staff was advised to keep the Planning-Engineering-Operations
Committee apprised of the acquisition and design progress on this particular facility. On
a motion by Director Armstrong and seconded by Vice President Knauft, the Board of
Directors authorized a change order to ASL Consulting Engineers in the amount of
$24,064.78, and staff to solicit proposals from an appraiser to provide the District with
land acquisition services.
Item 6. Consideration of a change to the automated check-signing machine
procedures. Cheryl Gunderson, Business Manager, reported that the District's check
signing machine was replaced by Burroughs and new keys will be issued as a result.
Ms. Gunderson further reported that staff is recommending a new security system that
improves safeguards over access to the signature plates. Under the proposed system,
the signature plates will be in a locked box in the vault and keys will be distributed only
to the Board of Directors, Acting General Manager and Business Manager, while keys to
the electrical on-off switch will only be distributed to the Accounting Supervisor and
Accounting Clerk II. The Board concurred with the change in safeguards, however they
requested the Resolution be changed so the position of Assistant General Manager
have a key instead of the Acting General Manager. Even though the Assistant General
Manager and Acting General Manager are the same person at this time, this condition
will not always remain the same, and it is more important to identify a position instead of
the person filling a position. In addition, the Board requested the term "Power" in the
Resolution be changed to "Electrical". On a motion by Vice President Knauft and
seconded by Director Armstrong, the Board voted 3-0 to adopt Resolution 90-24, as
amended, adopting a policy for the use of an automated check-signing machine.
Item 7. Report on the District's Investment Policy. Cheryl Gunderson, Business
Manager, reported that in accordance with State law the District's investment policy
must be reviewed annually. The current policy has afforded the District good returns
over the past year and has been flexible enough to accommodate these returns. In
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July 12, 1990
addition, Ms Gunderson reported that any investment over $100,000 must be in an
institution approved by the Board. The list is reviewed annually with the Investment
Policy. The Finance Committee analyzed the criteria and statistics of the institutions
being recommended by staff and the list is included in the Resolution being considered
by the Board as Exhibit "A". Director Armstrong requested information as to which
institutions were new to the list and which ones were dropped. Vice President Knauft
discussed a change in the policy to reduce the maximum investment per institution from
$1,000,000 to $500,000 President Korn noted that the higher maximum afforded
greater investment flexibility and staff efficiency. He further noted that even with a
$1,000,000 maximum, staff's largest investments rarely exceed $500,000. Following a
general discussion, and on a motion by Vice President Knauft and seconded by Director
Armstrong, the Board voted 3-0 to adopt Resolution 90-25 setting forth public funds
investment policy.
Item 8. Report on Financial Statement for the eleven months ended May 31, 1990.
Cheryl Gunderson, Business Manager, reviewed the financial statements for the ten
months period ending April 30, 1990. On a motion by Vice President Knauft and
seconded by Director Armstrong, the Board voted 3-0 to accept the Financial
Statements for the eleven months ended May 31, 1990.
Item 9. Consideration of Resolution No. 90-26 amending District's Personnel Rules.
Mike Robinson, Assistant Administrator, indicated the Meet and Confer process for
1990-91 has been concluded, and the 1990-91 Budget has been adopted by the Board
of Directors. It is now appropriate for the Board to consider amending the Personnel
Rules to conform to provisions of the Memorandum of Understanding and the
Management-Supervisory-Confidential Employee Compensation Plan. Mr. Robinson
explained that the first change involved the point system for merit salary increases and
the second change is to conform with recently adopted State law regarding Maternity
Leave. On a motion by President Korn and seconded by Director Armstrong, the Board
voted 3-0 to adopt Resolution No. 90-26 amending the District's Personnel Rules.
Item 10. Consideration of American Water Works Association utility membership
renewal for 1991. Assistant Administrator, Mike Robinson, reviewed a letter from the
American Water Works Association requesting a $800 per year increase to $2,000 for
the District's annual membership dues. The Board expressed concern over the
increase and questioned the benefit of District membership when individuals employees
are also members. Given the dramatic change, the Acting General Manager was
directed to write a letter to AWWA expressing displeasure with the increase and
advising them that the District may not renew it's membership. In addition, the staff was
instructed to further explore individual memberships instead of District membership.
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July 12, 1990
GENERAL MANAGER'S REPORT
Item 11. Consideration of options to fill a Board vacancy. Acting General Manager,
William Robertson, reported on the options available to fill a vacancy on the Board. The
options included filling the vacancy through appointment, call for election or allow the
Orange County Board of Supervisors to either appoint or call an election. Mr. Robertson
pointed out that if the Board choose to not appoint and no one ran in the November
election, then the District would have to pay the cost for a special election in April, 1991.
Russ Behrens, Legal Counsel, reviewed the election procedures and dates specified in
Government Code Section 1780. Given the July 6 effective date of Mr. Cromwell's
resignation, the Board has until September 4, 1990 to act on appointment or call for
election; if the Board chooses to not take action, then the Board of Supervisors has until
October 4th to either appoint or call for an election. The period for candidates to file for
the November election begins on July 16 and closes on August 15. In addition, Mr.
Behrens reported that due to recent changes in the election law, only an elected
candidate can include the words "Incumbent" on the ballot; therefore, a person
appointed by the Board before the November election cannot use the term "Appointed
Incumbent" or "Incumbent" on the ballot.
The Board reviewed numerous options, critical dates and election procedures, reviewed
the Notice previously used in 1987, and instructed Legal Counsel to draft a Notice of
Vacancy. The Notice is to include: announcement of the Vacancy; options available to
the Board; a statement that the term of an appointed candidate is dependent on election
results; and that interested candidates are to file a letter or resume' with the District's
Acting General Manager. Mr. Behrens described a draft Notice that addressed the
Board's concerns. On a motion by President Korn and seconded by Director Armstrong
the Board of Directors voted 3-0 to post a Notice of Vacancy as described by Legal
Counsel.
In addition, Mr. Robertson reported that former Director Cromwell was a member of the
Board's Personnel and Public Information Committees, and the District's representative
to ISDOC and the Xeriscape Committee. It is Board policy to have the President sit on
Board Committees with a vacancy. Director Fox had expressed interest in both ISDOC
and the Xeriscape Committee. There was a general discussion on the relationship
between the Public Information and Xeriscape Committees, and consensus that it was
logical for that relationship to continue. On a motion by President Korn and seconded
by Director Armstrong the Board of Directors voted 3-0 to appoint Director Fox to ISDOC
and act as the Board's representative on the Xeriscape Committee.
Oral Report: Mr. Robertson reported that the Metropolitan Water District had an
opening for a District tour of the Diemer Plant on Saturday, August 4. Given that the
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July 12, 1990
Board included three tours in the budget and the public's interest in water conservation
measures, the staff took advantage of the opportunity and scheduled a tour for Saturday,
August 4th. In addition, Mr. Robertson reported that a resume' for the General
Manager's position was addressed to and included in each Board member's mail
packet, and the person sending the resume requested that each Board member call
him. The Board noted the recruitment process was in place and preferred to allow that
process to continue without direct phone calls.
LEGAL COUNSEL'S REPORT
Item 12. Legal counsel had no report.
STANDING COMMITTEE REPORT
Item 13. The Executive-Administrative-Organizational Committee scheduled a meeting
for Friday, July 13, at 8:30 a.m. at the District office.
Item 14. Report on the Finance Committee meeting of July 3, 1990. The Committee
reported on the investment policy; check signing procedure; Sanitation District fees and
charges and, the water rate report will be presented for consideration at the Board's
August 23 meeting.
Item 15. Authorization for Payment of Bills. On a motion by Vice President Knauft and
seconded by Director Armstrong, the Board of Directors voted 3-0 to approve payment of
bills, payroll and refunds in the amount of $390,417.66 on Check Nos. 5565, 5566,
5570, 5656, 5743 through 5805; and Payroll Check Nos. 4641 through 5349; and one
wire to MWDOC in the amount of $220,356.89 dated July 12, 1990.
Item 16. No Personnel Committee meeting was scheduled.
Item 17. Report on the Planning-Engineering-Operations Committee meeting of May
21, 1990. The Committee reported on the Highland reservoir encroachments; Lomas
De Yorba, Zone 4 Booster Station; and, Plant No. 1 Master Plan-Phase II.
Item 18. Report on the Public Information Committee meeting of July 5, 1990. Mr.
Robertson reported on the Nixon Library dedication and Xeriscape Committee meeting.
INTERGOVERNMENTAL MEETINGS
Item 19. Report on City Council meeting of July 3. Director Armstrong reported on the
City of Yorba Linda, City Council meeting of July 3, 1990.
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July 12, 1990
Item 20. Report on the MWDOC meeting of July 5. Vice President Knauft reported that
MWDOC discussed the ongoing California drought and growth in the San Bernardino
County area.
Item 21. Report on WACO meeting of July 6. Vice President Knauft reported that nitrate
problems were discussed at the July 6 WACO meeting.
Item 22. Report on the Planning Commission meeting of July 11. Vice President
Knauft reported on the possible litigation between the Cities of Anaheim and Yorba
Linda concerning development of a Price Club on Yorba Linda's side of the SAVI
property.
BOARD MEMBER COMMENTS
Item 23. Director Armstrong: Director Armstrong said he will not be able to attend the
WACO dinner scheduled for July 25, 1990.
Item 24. Director Fox was absent.
Item 25. Vice President Knauft had no comments.
Item 26. President Korn: President Korn reviewed numerous correspondence in his
mail packet.
ADJOURNMENT
On a motion by Vice President Knauft and seconded by Director Armstrong, the Board of
Directors voted 3-0 to adjourn the meeting at 10:31 a.m.
19"A
William J. Robertson
Acting General Manager/Secretary