HomeMy WebLinkAbout1989-03-23 - Board of Directors Meeting MinutesPage 2319
March 23, 1989
MINUTES OF THE
YORBA LINDA WATER DISTRICT
BOARD OF DIRECTORS REGULAR MEETING
MARCH 23, 1969
The regular meeting of the Board of Directors of the Yorba Linda Water District was called
to order by Sterling Fox, President, at 8:30 a.m., March 23, 1989, in the District offices at
4622 Plumosa, Yorba Linda. Directors present were: Paul Armstrong, Whit Cromwell,
Sterling Fox, Roy Knauft and Arthur C. Korn. Also present were: William P. Workman,
General Manager, William Robertson, Assistant General Manager, Robb 4uincey,
Executive Assistant to the General Manager, Mike Payne, Engineering Manager, Cheryl
Gunderson, Business Manager, Mike Robinson, Assistant Administrator, Ray Harsma,
Operations Superintendent, Don Gillis with Danielson Design Group, and Nancy
Cartwright with Cartwright and Associates.
CONSENT CALENDAR
After a brief discussion of the water facilities installed in Yorba Linda Boulevard east of
Village Center Drive, and a request to place future financial statements on the discussion
calendar, on a motion by Director Armstrong and seconded by Director Cromwell, the
Board of Directors voted 5-0 to approve the consent calendar as follows:
Item 1. Approval of Minutes - Regular meeting of March 9, 1989.
Item 2. Authorization for the Directors to leave the State of California prior to next
meeting.
Item Approval of releasing the Guarantee Bonds for S-8524 with L.B.S Pipeline
Contractors, Tract No. 10120 with Shapell/Upper K Joint Venture and with C.W.
Associates.
Item 4. Approval of releasing the Guarantee Bond for Tract No. 11923 with Yorba Linda
Properties, LTD.
Item 5. Approval of Progress Payment No. 4 to F. T. Ziebarth Company, in the amount of
$35,835.30 and approve Change Order No. 3, granting an eight calendar day time
extension for construction of the Santiago Reservoir, Job No. 8140.
Item 6. Approval of Application to and Agreement for Water Service with F.K.C. Partners,
Job No. 8832, in the amount of $1,642.00, located at Fairmont Boulevard and Fairmont
Connector; and approval of the allocation of $12,300.00 from the unappropriated Capital
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March 23, 1989
Improvement Fund balance for ID #1 to meet reimbursement obligations for this project.
Rem 7. Approval of reimbursement costs to the William Lyon Co. for capital facilities
constructed in Yorba Linda Boulevard and Village Center Drive, Job No. 1052, in the
amount of $39,000.00.
them & Approval of payment for damage claim submitted by Mr. Dennis Walters in the
amount of $40.00.
Item 9. Acceptance of the Financial Statements for the five months ended December 31,
1988.
PRESENTATION
Rem 10. Presentation by Larry Kraemer, Director, Orange County Water District. Mr.
Kraemer was not present.
President Fox requested that consideration of District Headquarters renovation plans be
acted on next by the Board.
GENERAL MANAGERS REPORT
Item 20. Consideration of District Headquarters renovation plans. General Manager
William Workman reported that the Board of Directors had made the decision to renovate
the District Headquarters at the December 22, 1988 meeting. Mr. Workman indicated that
the Danielson Design Group had drawn plans and completed a detailed renovation cost
estimate for the project totaling $417,893.00.
William Robertson, Assistant General Manager, described the need to relocate part or all
of the employees from the Headquarters during the renovation. The cost could range
from $18,000.00 to $34,000.00 for telephones, cabling, equipment and trailers or lease
space depending on what relocation plan was chosen by the Board. The Board
expressed a desire to relocate everyone out of the building during construction, however,
the decision would be made when firmer costs were available.
Business Manager Cheryl Gunderson described the financing options available to the
district for the project and recommended using certificates of participation through the
California Special District's Financing Corporation. The Board discussed three finance
options and the various Interest rates for each.
Don Gillis, from Danielson Design Group, reviewed the proposed building floor plan,
significant structural changes, the door and window arrangements, air-conditioning and
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March 23, 1989
building code requirements. Nancy Cartwright, from Cartwright and Associates, reviewed
the office locations, types and colors of furniture and equipment, and floor coverings.
The Board discussed the renovation plans at length with the staff, Mr. Gillis and Ms.
Cartwright, focusing on a variety of questions concerning he floor plan, materials and
open office space furniture. After this discussion, on a motion by Director Armstrong and
seconded by President Fox, the Board voted 5-0 to: (1) approve the District Headquarters
plans and authorize the staff to proceed with the renovation project and purchase of
Hayworth open office space furniture; (2) use the instead of carpet for the entry; (3)
approve the allocation of $18,000 from the unappropriated Water Operating Fund for
temporary relocation costs; and (4) approve the CSDA Financing Corporation financing
option for the project.
DISCUSSION CALENDAR
[heat 11. Consideration of the proposed construction budget for the tie-in of the Santiago
Project. Engineering Manager Mike Payne explained that a revision to the construction
budget for the Santiago pipeline for the connection of the Zone 5 pipeline in Hidden Hills
Road and the Zone 5 Hidden Hills Booster Station was needed in order to boost water up
to the hydraulic gradient of 1000 feet for the Santiago Reservoir, as well as supplying the
increased requirements to development and grading projects northeast of Hidden Hills
Road.
Mr. Payne further explained that the developer has submitted a construction estimate for
the additional work, and an estimate for a needed venturi type meter replacement. He
stated that the staff has reviewed the estimates, and would recommend that the work be
conducted on a time and materials basis with a cost not to exceed $132,694.00.
After a brief discussion by the Board of Directors concerning the proposed meter and the
amount of water being pumped from the Hidden Hills Booster Station, on a motion by
Director Cromwell and seconded by Director Korn, the Board voted 5-0 to approve the
proposed construction budget for the additional work to tie-in the Santiago Pipeline to the
Zone 5 Hidden Hills Road pipeline and the Hidden Hills booster Station, including the
installation of a venturi meter in an amount not to exceed $132,694 and to approve
$132,694.00 from the unappropriated Capital Improvement fund balance to fund the
project.
them 12 Consideration of amendments to the Rules and Regulations for Rendition of
Water and Sewer Service pertaining to payment.of development fees and the dedication
of easements. Engineering Manager Mike Payne requested that the Board formally adopt
a policy requiring developers to pay all fees and dedicate all necessary easements prior
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March 23, 1989
to the General Manager signing the water and sewer improvement plans or issuing
permits. After a brief discussion, on a motion by Vice-President Korn and seconded by
Director Armstrong, the Board of Directors voted 5-0 to adopt Resolution No. 89-5
amending the District's Water and Sewer Rules and Regulations.
h m 13. Authorization to solicit proposals for the construction bidding of the Fairmont
Pump Station modifications. Mike Payne, Engineering Manager, explained that the plans
and specifications for the Fairmont Pump Station modifications, located at 4150 1/2
Fairmont Boulevard, are now complete and ready for construction proposals. After a brief
discussion regarding the sizing of pipe going into and out of the Fairmont Pump Station,
on a motion by Director Cromwell and seconded by Vice President Kom, the Board of
Directors voted 5-0 to authorize the staff to solicit proposals for the modifications of the
Fairmont Pump Station, Job No. 8916.
Item 14. Report on Electric Motor Maintenance Program. Operations Superintendent Ray
Harsma explained that the District uses a combination of electric motors and gas engines
for pumping and boosting water. Mr. Harsma reported that an electric motor repair and
replacement study was completed. He indicated that the District's current maintenance
and repair program extended the life of electric motors to ten years. At the end of ten
years, the motors are overhauled and then placed back into service for another ten years.
Consequently, a formalized replacement program is not necessary. The Board of
Directors accepted the report after a brief discussion concerning the status of several of
the District's wells and the engines operation.
Item 15. Report on Diemer Plant Shut-down, March 28-29. Operations Superintendent
Ray Harsma made a short presentation concerning the scheduled Diemer Treatment
Plant maintenance shut-down. He staged that the District should have adequate storage
during this two day period, March 28-29. Mr. Harsma explained that the District was
seeking a major reduction in water consumption by customers during this period.
Item 16. Executive Assistant to the General Manager Robb Quincey requested the
Board's authorization to submit a proposal to the City seeking an adjustment to the sewer
rate paid by the City for sewer maintenance. Mr. Quincey reviewed the District's sewer
maintenance program, a comparison of City and District fees, and the justifications for the
rate increase. The Board extensively discussed the operation and financing of the sewer
maintenance program. It was concluded that a rate increase was necessary in order to
continue to provide the required level of service to the City.
On a motion by Director Cromwell and seconded by Director Knauft, the Board of
Directors voted 5-0 to authorize the submittal of a proposal to the City of Yorba Linda
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March 23, 1989
adjusting the contract sewer maintenance rate to $0.14 per linear foot for the period of
July 1, 1989 through June 30, 1990.
them 17. Report on a RFP for the Plant No. 1 Master Plan. Executive Assistant to the
General Manager Robb Quincey explained that many of the buildings and equipment at
Plant No. 1 are in need of replacement or updating. He stated that prior to any new
investment at Plant No. 1, the District needs to complete a Master Plan for the property.
Mr. Quincey explained that a Master Plan should encompass a technical element and a
land use element. He reviewed a recommended Request for Proposal for a technical
element stating that it seeks a report that will examine the feasibility of a "single-lift" water
pumping operation versus a "double-lift system and other options available for enhancing
the District's long term production at this facility. The completed technical element would
permit the District to next move ahead on completion of the land use element of the
Master Plan.
On a motion by Director Armstrong and seconded by Director Cromwell, the Board of
Directors voted 5-0 to approve the Request for Proposal for an evaluation of the
operational aspects of the District's existing water production facilities, and authorize staff
to seek proposals for this project.
hem 18. Consideration of alternatives to bond requirements for the District computer
system. Executive Assistant to the General Manager Robb Quincey stated that MMI has
been attempting to secure the labor materials and performance bonds for the computer
system proposed for the District, but given the small proprietary nature of their business of
developing software, they are having difficulty in securing the bonds. He stated that the
District's performance bond is not a legal requirement, but rather a tool to enforce timely
completion of the project. Given that the liquidated damages clause of the executed
computer contract should enforce a timely completion of the project and MMI's successful
track record with other public agencies, the staff recommended that the performance bond
requirement be dropped.
Additionally, Mr. Quincey stated that given that the computer system is not a "public works"
under the law, this project does not legally require a labor and materials bond. Again,
based on MMI's track record and the liquidated damages clause of the executed
computer contract, the staff recommended that the labor and materials bond also be
dropped. Mr. Quincey concluded by recommending a letter of credit in the amount of
$100,000.00 or a temporary assignment of Grant Deed on the personal residences of
MMI's principal owner be substituted as alternatives to the bond requirements.
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March 23, 1989
The Board discussed the bonding options. On a motion by Director Armstrong and
seconded by Director Knauft, the Board of Directors voted 5-0 to: (1) approve the
elimination of the performance bond, and labor and materials bond requirement for the
District's computer system purchase; and (2) authorize the General Manager and Legal
Counsel to prepare and execute documents implementing alternatives to the bond
requirements for the District computer system.
item 19. JPIA Board of Directors Executive Committee Election. Assistant Administrator
Mike Robinson explained that the Orange County Water District nominated Director Donn
Hall and the Trabuco Canyon Water District nominated Director Charles Wall for the
position of JPIA Executive Committee Director. Both agencies sought the District's
endorsement of their candidate. After a brief discussion by the Board of Directors, the
Board chose to support both Directors. On a motion by Director Armstrong and seconded
by Director Knauft, the Board of Directors voted 5-0 to adopt Resolution 89-6 concurring in
the nomination of Donn Hall to the Executive Committee, and voted 5-0 to adopt
Resolution 89-7 concurring in the nomination of Charles Wall to the Executive Committee
of the Association of California Water Agencies Joint Powers Insurance Authority.
STANDING COMMff1EE REPORT
Item 21. No Executive-Administrative-Organizational Committee meeting report was
scheduled.
Item 22 Report on Finance-Accounting Committee Meeting of March 14, 1989. President
Fox reported that the Committee discussed the ID No. 2 Agreement financing, budget
schedule, equipment and vehicle replacement program, computer bonding requirements,
headquarters remodeling, City-District sewer fee study and related sewer maintenance
fee proposal.
Dom 23. Authorization for Payment of Bills. On a motion by Director Knauft and seconded
by President Fox, the Board voted 4-0 to approve payment of bills and rate deposits in the
amount of $268,430.54 on Check Nos. 16733 through 16934, Payroll Check Nos. 2411
through 3029 and one wire dated March 31, 1989 to ACWA in the amount of $10,534.45.
Director Korn temporarily excused himself.
Item 24. No Personnel Committee meeting report was scheduled; however, a meeting
was scheduled.
Item 25. Consideration of General Manager's evaluation and compensation adjustment.
This item was held over for Closed Session.
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March 23, 1989
Item 26. No Planning-Operations-Engineering Committee meeting report was scheduled;
however, a meeting was scheduled for March 29, 1989, at 8:30 a.m.
Item 27. No Public Information Committee meeting report was scheduled; however, a
meeting was scheduled for Tuesday, April 4, 1989, at 8:30 a.m.
INTERGOVERNMENTAL MEETINGS
hmn 28. Report on CSDA meeting of March 10, 1989. Vice-President Korn reported that
he had attended this meeting; however, nothing of significance to the District was
discussed.
item 29. Report on Planning Commission Meeting of March 15, 1989. Director Cromwell
reported that the entire meeting was devoted to discussing multiple story buildings.
Item 30. Report on MWDOC Meeting of March 15, 1989. Director Knauft reported that the
March 15th meeting was rescheduled for March 22, 1989. He further reported that
nothing of significance to the District was discussed at this meeting.
Item 31. Report on OCWD Meeting of March 16, 1989. President Fox reported that there
was no District representative at this meeting.
Item 32. Report on ISDOC Meeting of March 16, 1989. Director Cromwell reported that a
slate of new officers were installed at this meeting, and the remainder of the meeting was
devoted to discussing LAFCO.
Rom 33. Report on City Council Meeting of March 21, 1989. President Fox reported that
the property at the corner of Valley View and Yorba Linda Boulevard was discussed at
length.
CLOSED SESSION
President Fox directed the Board into closed session to discuss a personnel matter. Upon
return from closed session, President Fox indicated that a personnel matter was
discussed and asked that Item 25 now be considered.
Item 25. Consideration of General Manager's Evaluation and Compensation adjustment.
After a brief discussion, on a motion by Director Cromwell and seconded by Director
Armstrong, the Board of Directors voted 5-0 to adopt Resolution 89-8, adjusting the
General Manager's salary to $73,000.00 annually.
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March 23, 1989
ADJOURNMENT
On a motion by Director Knauft and seconded by Director Korn, the Board voted 5-0 to
adjourn to 1:30 p.m.
WORKSHOP -1:30 P.M.
faem 34. Board of Director's Goals Workshop. President Fox called the meeting back to
order. The Board of Directors discussed the direction of the District for the next year, 5 -
years and 10 - years. Discussions focused on key areas of concern, crisis points and
specific goals to work toward in the coming years.
ADJOURNMENT
On a motion by President Fox and seconded by Director Armstrong, the Board voted 5-0
to adjourn the meeting at 3:50 p.m.
0-a4VI f
William P. Workman
General Manaaer/S,