September 4, 2001
VALLEY CENTER MUNICIPAL WATER DISTRICT
Regular Board Meeting
Tuesday, September 4, 2001
Time: 2:00 P.M.
Place: Board Room
29300 Valley Center Rd.
Valley Center, CA 92082
The Valley Center Municipal Water District Board of Directors’ meeting was called to order by
President Broomell at 2:00 P.M.
Board members present were: Directors Broomell, Polito, Aleshire and Stone. Staff members
present were: General Manager Arant, General Counsel Cowett, District Engineer Jewell, Director
of Finance Jarrell, Director of Operations Dacus and Board Secretary Stetson. Spectators present
were: Messrs. Shank, MacIntosh and Johnson.
APPROVAL OF AGENDA
1. Agenda Item No. 7, Resolution to Approve a Contract with Boyle Engineering for Consulting
Services, was reordered to be considered immediately after the consent calendar items to
accommodate the consultant’s schedule.
CONSENT CALENDAR
2.
Upon motion by Stone, seconded by Polito and unanimously carried, the following consent calendar items were approved:
• Minutes of the Board meeting held August 20, 2001
• Audit demand check numbers 85941 through 86112
• Report of developers’ constructed facilities accepted into the District’s water
distribution system in Fiscal Year 2000-2001
ACTION AGENDA
3. Energy Resource Options Assessment - Resolution Approving Contracts for Consulting
Services and Appropriation of Additional Funds:
At the August 6, 2001, Board of Directors meeting, the Scope of Work for the identification
and assessment of energy savings and potential production of electricity was adopted. An
agreement with Dr. Lon House, Water & Energy Consulting, to provide energy consulting
services ($37,500) had also been approved.
Valley Center Municipal Water District
Board of Directors’ Meeting
2 9/4/2001
Board approval of the contract with Boyle Engineering to evaluate the District’s transportation
and pumping infrastructure for energy savings and electricity production in the amount of
$50,000 was requested. Appropriation of $110,000 to complete the studies to be conducted
by Boyle Engineering and Dr. Lon House pursuant to the District’s energy resource options
assessment was also requested. Tasks proposed to be performed by Boyle Engineering
were reviewed as outlined below:
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Power generation evaluation
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Pipeline system evaluation
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Pump unit efficiency evaluation
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Pump station configuration evaluation
<
Pump scheduling evaluation
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Coordination meetings
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Quality control review Mr. Skip Shank of Boyle Engineering responded to Director Aleshire’s question if, in his
opinion, there is the potential for energy savings, stated that with his knowledge of the
District’s facilities (Boyle Engineering completed the District’s 1994 Master Plan Study), it is
felt that there are opportunities for savings and potential of generation of electricity.
However, to identify and quantify the savings, the analysis as proposed needs to be
undertaken. Savings that could be derived would be projected after evaluation by Dr. Lon
House. Mr. Shank clarified that if the tasks as outlined in the Energy Savings Assessment
proposal cannot be completed, work and expenditures would cease. The tasks proposed to
be performed by Boyle Engineering will be completed independent of those to be undertaken
by Dr. Lon House. The Board will be provided updates on each completed task which could
be integrated into Dr. House’s study.
The assessment of the District’s energy resource options may provide long and short-term
benefits. Hydroelectric generation may provide short-term opportunities and long-term
benefits achieved through implementation of system design modifications.
Upon motion by Polito, seconded by Aleshire and unanimously carried, the following
resolution, entitled:
RESOLUTION NO. 2001-41
RESOLUTION OF THE BOARD OF DIRECTORS OF
VALLEY CENTER MUNICIPAL WATER DISTRICT
AMENDING THE 2001-02 BUDGET BY APPROPRIATING
$110,000 TO ACCOUNT 01-5632.78 FOR ENERGY
RESOURCE OPTIONS ASSESSMENT AND APPROVING
CONTRACTS WITH BOYLE ENGINEERING CORPORATION
AND WATER AND ENERGY CONSULTING
was adopted by the following vote, to wit:
Valley Center Municipal Water District
Board of Directors’ Meeting
3 9/4/2001
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: None
4. McNally Road Water Main Replacement – Request for Budget Adjustment and Award of
Contract:
District Engineer Jewell reported that bids were received on August 7
th
for the McNally Road Water Main Replacement project. The lowest acceptable bid was received from C & L
Construction, Inc. at $468,650. It was noted that Excel Commercial Constructors’ bid of
$421,514 was withdrawn in accordance with the relief of bidders statutes as the bid contained
a computer error that eliminated approximately $75,000 from the intended proposal.
The McNally Road Water Main Replacement Project had previously been bid and a contract
awarded to Excel Commercial Constructors (Excel). An interference (underground utilities)
in a portion of this project requiring a change in the pipeline’s location resulted in a change
order proposal from Excel of $199,000. This additional expenditure was not approved as it
was felt the affected portion of the project should go back out for competitive bid.
An analysis of the budget appropriations and expenditures for the McNally Road Water Main
Replacement Project was provided by District Engineer Jewell. As of July 2000, the
budgeted amount for this project totaled $1,425,000. The funds balance on August 21, 2001
was $326,805.18 which included the expenditures to purchase materials from Excel and costs
associated with Excel closing down the project. Staff expended approximately $15,000 to
revise the project’s plans and prepare rebidding of the remaining portion of the project.
Adoption of Resolution No. 2001-37 appropriating an additional $240,000 for the McNally
Road Water Main Replacement Project and award of contract to C & L Construction, Inc. at
$468,650 was recommended. The additional funds as requested include 10% for inspection
and administration and 10% contingencies which, if not spent, will be rolled over into the
District’s capital reserves. Exhibit “A”, attached, contains an accounting of the McNally Road
Project’s budget with the requested adjustment.
Upon motion by Aleshire, seconded by Stone and unanimously carried, the following
resolution, entitled:
RESOLUTION NO. 2001-37
RESOLUTION OF THE BOARD OF DIRECTORS OF
VALLEY CENTER MUNICIPAL WATER DISTRICT
AMENDING THE 2001-02 BUDGET BY APPROPRIATING
AN ADDITIONAL $240,000 INTO ACCOUNT
NO. 01-5645.78 AND AWARDING CONTRACT FOR
THE McNALLY ROAD WATER MAIN REPLACEMENT
was adopted by the following vote, to wit:
Valley Center Municipal Water District
Board of Directors’ Meeting
4 9/4/2001
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: None
5. Couser Canyon Road Pipeline Replacement – Request for Budget Adjustment and Award of
Contract:
Bids were opened on August 21
st
for the Couser Canyon Road Pipeline Replacement project with the lowest bid of $349,827.70 received from C & L Construction, Inc. The engineer’s
estimate had been $319,134. An additional appropriation of $60,000 was requested to
provide the funding needed for this project including 10% for inspection and administration
and 10% contingency funding.
District Engineer Jewell recommended adoption of Resolution No. 2001-39 to approve the
requested increase of the 2001-02 budget ($60,000) for the Couser Canyon Road Pipeline
Replacement project and award of contract to C & L Construction, Inc.
Upon motion by Polito, seconded by Stone and unanimously carried, the following
resolution, entitled:
RESOLUTION NO. 2001-39
RESOLUTION OF THE BOARD OF DIRECTORS OF
VALLEY CENTER MUNICIPAL WATER DISTRICT
AMENDING THE 2001-02 BUDGET BY APPROPRIATING
AN ADDITIONAL $60,000 INTO ACCOUNT
#01-5643.78 AND AWARDING CONTRACT FOR THE
COUSER CANYON ROAD PIPELINE REPLACEMENT
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: None
6. Proposal to Amend the Administrative Code to Provide for the Retention of As-Needed
Engineering Consultants:
A new Project Manager had been approved in the 2001-02 budget to assist with the managing
of consulting engineers in the preparation of plans and specifications for the anticipated
Valley Center Municipal Water District
Board of Directors’ Meeting
5 9/4/2001
increased capital projects. Staff recommended that, in lieu of hiring an additional Project
Manager, the existing Project Manager’s duties be shifted from direct design with an
expansion of management of outside consultants. As such, an amendment to the
Administrative Code to establish provisions for as-needed professional and consulting
services was proposed. Staff noted that the output of projects will be monitored over the next
year to determine if there is still a need for the additional Project Manager position.
District Engineer Jewell explained that, as proposed, up to three consulting engineering firms
will be preselected from Requests for Proposals and interviews. The contracts with these
preselected firms will set forth the schedule of rates. It is anticipated that the preselected
engineering firms will have experience with pipeline projects and each with a specialty such
as right-of-way acquisition or soil testing. When a District approved project is at the stage
requiring engineering services, staff will negotiate with one of the consultants to accomplish
the work. A task order will identify the work to be completed in which the scope of work would
be negotiated with a not-to-exceed value.
Upon motion by Aleshire, seconded by Polito and unanimously carried, the following
ordinance, entitled:
ORDINANCE NO. 2001-13
ORDINANCE OF THE BOARD OF DIRECTORS OF
VALLEY CENTER MUNICIPAL WATER DISTRICT
AMENDING ADMINISTRATIVE CODE ARTICLE 135
BY ADDING SECTION 135.4 TO PROVIDE FOR
AS-NEEDED PROFESSIONAL AND CONSULTING SERVICES
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: None
7. Resolution Honoring and Commemorating Director George Armstrong:
Resolution No. 2001-40 honoring and commemorating the service and contributions of
Director George W. Armstrong, who served as a member of the District’s Board of Directors
from January 1975 to August 2001, was presented for the Board’s consideration of approval.
Presentations to Mrs. Armstrong and family members of this resolution and
certificates/proclamations from Congress, U.S. Senate, state legislators and ACWA was
scheduled for Monday, October 1
st
.
Valley Center Municipal Water District
Board of Directors’ Meeting
6 9/4/2001
Upon motion by Aleshire, seconded by Polito and unanimously carried, the following
resolution, entitled:
RESOLUTION NO. 2001-40
A RESOLUTION OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
HONORING AND COMMEMORATING THE SERVICE
AND CONTRIBUTIONS OF GEORGE W. ARMSTRONG
DIRECTOR, DIVISION II
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: None
BOARD OF DIRECTORS’ AGENDA
8. San Diego County Water Authority’s Board of Directors’ Meeting and Review of
Miscellaneous Informational Items:
• Chairman Jim Turner of the San Diego County Water Authority disbanded an ad-hoc
advisory committee which was comprised of seven Water Authority Board members.
Because of the Authority’s “weighted” voting system, this ad-hoc advisory committee
represented 55.24 percent of the Board’s full vote and, therefore, was considered to be
in violation of the Brown Act.
• Francesca Krauel resigned as Board member of the San Diego County Water
Authority (SDCWA) upon the Mayor of San Diego’s action to remove her as Authority
representative on the Metropolitan Water District of Southern California. George
Loveland, Senior Deputy City Manager of San Diego and recent appointee to the
SDCWA, has been appointed to fill Ms. Krauel’s seat on the Metropolitan Board. It is
felt that this action will serve to create a more amiable relationship between Metropolitan
and the Authority delegates and work towards resolving issues. Further, the SDCWA
Board members can focus their energy on such challenges as the water rate study, the
proposed U.S.-Mexico aqueduct, SDCWA-IID water transfer agreement and
desalination.
• A vote taken at the San Diego County Water Authority on the proposal to provide that
member agencies may elect to “opt out” of an Authority capital improvement project
(ex. Mexican Pipeline) was defeated.
Valley Center Municipal Water District
Board of Directors’ Meeting
7 9/4/2001
• Metropolitan Water District of Southern California has proposed a program with the Palo
Verde Irrigation District which will pay farmers to annually set aside a portion of their
land, rotate their crops and transfer saved water to Southern California. This will assist
in California’s efforts to reduce its use of the Colorado River water. This Program is in
contrast to the SDCWA-IID water transfer agreement to save water through land
fallowing. The sentiments of the farmers within the Imperial Valley is that water savings
cannot be successfully achieved through drip irrigation systems as they are ineffective
in providing the quantity of water needed for the crops in the summer months. The
Board and staff expressed that desalination should be more aggressively pursued.
9. Report on Southern California Urban Water Conference:
Director Aleshire provided a report on the presentations at the Southern California Urban
Water Conference held in San Diego on August 30
th
and 31
st
which is summarized below: ~ A representative from Rand gave a demographic presentation in which it is predicted
that the growth in the Southern California region is projected to be greater than 50% by
2020.
~ It was concluded from an analysis of the Colorado River Delta located south of Yuma
in Mexico that 34,000 ac. ft. of water per year is needed to replenish this delta.
Approximately one-half of this need can be secured through purchases of property. A
supplemental supply source of approximately 17,000 ac. ft. may be from the Colorado
River.
~ Carlos Ramirez, Commissioner of the International Boundary Water Commission, spoke
on issues including the proposed Mexican Pipeline. A feasibility study on this proposed
project is expected by November 1
st
. ~ Evaporation ponds are currently being evaluated as an alternative method to restore the
Salton Sea. With this method, the salt level in the Salton Sea could be contained
though there would need to be disposal of the salt concentrated in the ponds.
10. Procedures to Fill Board Vacancy:
Three applications were received from residents of Division 2 requesting Board consideration
to be appointed to fill the vacancy on the Board. General Counsel Cowett clarified that action
by the Board to fill the vacancy must be done in open session. Each applicant can be asked
to attend the Board meeting and, if the Board desires, provide a brief presentation and
answer questions. It has been the practice to request that the other applicants for the Board
position leave the room in order that only one applicant is in the meeting at any one time.
Action by the Board of Directors to fill the vacancy must receive three affirmative votes.
The Board directed staff to schedule appointments with the candidates for Board member
beginning at 1:00 p.m. on Monday, October 1, 2001.
Valley Center Municipal Water District
Board of Directors’ Meeting
8 9/4/2001
CLOSED SESSION
11 A Closed Session was called by President Broomell at 3:44 p.m. pursuant to:
• Government Code §54956.9(a), Conference with Legal Counsel - Existing Litigation.
Name of case: Sweetwater Authority, et al. v. Dynegy, Inc., et al.
Superior Court Case GIC 760743
• Government Code §54956.9(c), Conference with Legal Counsel - Anticipated Litigation.
Number of potential cases: 1
The Regular Board meeting was reconvened at 4:00 p.m. No action was reported.
ADJOURNMENT
12.
Upon motion by Aleshire, seconded by Stone and unanimously carried, the meeting was adjourned at 4:02 p.m. to Monday, October 1, 2001, beginning at 1:00 p.m.
ATTEST: ATTEST:
______________________________ _______________________________
Secretary President