VALLEY CENTER MUNICIPAL WATER DISTRICT
Regular Board Meeting
Monday, October 4, 2004
Time: 2:00 P.M.
Place: Board Room
29300 Valley Center Road
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.
ROLL CALL
Board members present were: Directors Broomell, Polito, Haskell and Stone. Director Aleshire arrived at 2:25 p.m. Staff members present were: General Manager Arant, General Counsel Cowett, District Engineer Jewell, Director of Operations Dacus, Director of Finance Jeffrey, Project Manager Williams, Engineering Services Supervisor Gootee, Construction & Maintenance Supervisor Hoyle, IT Specialist Learue and Board Secretary Stetson. Spectators present were: Mr. Dave Ross, Valley Roadrunner and Mr. Pollett, representing the participants of the Sierra Rojo water main extension project.
CONSENT CALENDAR
Upon motion by Stone, second by Haskell and unanimously carried, the following consent calendar items were approved:
1. Minutes of the Board meetings held September 7 and 15, 2004
2. Audit demands
3. Treasurer’s Report and Financial Statement for the period ended August 31st
ACTION AGENDA
4. Award of Contract for the Meadows Reservoir No. 2:
Project Manager Williams reported that bids were opened for the Meadows Reservoir No. 2 project on September 21st with the lowest bid received from Pacific Tank and Construction, Inc. in the amount of $1,008,500. The proposed Meadows Reservoir No. 2 will be located on the District’s existing Meadows Reservoir site and is 2 million gallons in capacity. Staff recommended adoption of Resolution No. 2004-32 to award the contract for the Meadows Reservoir No. 2 construction to Pacific Tank and Construction, Inc. at $1,008,500 noting that favorable referrals were received. The resolution also declares the official intent to reimburse the District from the proceeds of tax exempt financing in the future.
Upon motion by Polito, seconded by Stone and unanimously carried, the following resolution, entitled:
RESOLUTION NO. 2004-32
RESOLUTION OF THE BOARD OF DIRECTORS
OF VALLEY CENTER MUNICIPAL WATER DISTRICT
AWARDING CONTRACT FOR THE MEADOWS
RESERVOIR NO. 2 PROJECT AND MAKING A
DECLARATION OF OFFICIAL INTENT TO REIMBURSE
EXPENDITURES FROM PROCEEDS OF INDEBTEDNESS
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Stone and Haskell
NOES: None
ABSENT: Director Aleshire
5. Concept Approval of the Sierra Rojo Participants’ Water Main Extension Project:
Concept approval of the Sierra Rojo participants’ water main extension project was requested which consists of approximately 1,087 feet of 8-inch water main, relocation of 800 feet of 12-inch water main, five 6-inch fire hydrants, eleven 1-inch water services and other required appurtenances. The proponents, Sierra Rojo participants, are the owners of 62 acres located south of Sierra Rojo Road on Double K Road in Valley Center, which consists of five parcels created by Parcel Maps 9604 and 10442. Engineering Services Supervisor Gootee stated that the proposed water main extension and fire hydrants will satisfy the current and future water service and fire protection requirements of the subject property.
Upon motion by Polito, seconded by Stone and unanimously carried, concept approval was granted for the Sierra Rojo Participants’ Water Main Extension project.
6. Adoption of Administrative Code Article 162, Metropolitan Water District Interim Agricultural Water Program Administration:
Ordinance No. 2004-13, which will adopt Administrative Code Article 162, was presented for the Board’s consideration. Article 162 would set forth in the Administrative Code the District’s policies and procedures pertaining to administering Metropolitan Water District of Southern California’s Interim Agricultural Water Program (IAWP). The provisions of the proposed new article address cutbacks in
supply and the supply reduction schedule for IAWP participants. The policy concerning exit and re-entry into the IAWP is also set forth. Should water supply cut backs be imposed by Metropolitan, IAWP participants with extenuating circumstances (i.e. tree loss from the fire or crop affected by the Mexican fruit fly) will have the opportunity to appeal an allocation.
Upon motion by Polito, seconded by Haskell and unanimously carried, the following ordinance, entitled:
ORDINANCE NO. 2004-13
ORDINANCE OF THE
VALLEY
CENTER
MUNICIPAL WATER
DISTRICT AMENDING THE ADMINISTRATIVE CODE TO
ESTABLISH ADMINISTRATIVE PROCEDURES FOR
METROPOLITAN WATER DISTRICT OF SOUTHERN
CALIFORNIA
’S INTERIM AGRICULTURAL WATER
PROGRAM WITH THE ADDITION OF ARTICLE 162
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire, Stone and Haskell
NOES: None
ABSENT: None
7. Resolution Supporting Proposition 1A, Protecting Local Taxpayers and Vital Local Services Initiative:
A bi-partisan agreement between the Governor, the Legislature and local government was reached which provides that the state will take $1.3 billion of special districts’ property tax revenue for the next two years in exchange for an amendment to the state constitution (Proposition 1A) implementing safeguards associated with future tax transfers. If passed by voters at the November 2, 2004 general election, Proposition 1A would establish that:
• A 2/3’s vote by the Legislature is required to move tax money around from one unit of local government to another within a county.
• A significant state fiscal hardship must be declared by the Governor and a 2/3’s approval vote from the Legislature for the state to borrow funds from local governments.
• Any future transfer of local government revenue to state governments would be a loan and not a permanent transfer. Future borrowings would be limited to two
in a ten-year period, 8% of local government property tax and must be repaid in three fiscal years.
Staff recommended adoption of Resolution No. 2004-33 which supports passage of Proposition 1A, the “Protecting Local Taxpayers and Vital Local Services Initiative” to be on the November 2, 2004 ballot.
Upon motion by Polito, seconded by Stone and unanimously carried, the following resolution, entitled:
RESOLUTION NO. 2004-33
A RESOLUTION OF THE BOARD OF DIRECTORS
OF VALLEY CENTER MUNICIPAL WATER DISTRICT
SUPPORTING THE PASSAGE OF PROPOSITION 1A,
A BIPARTISAN AGREEMENT TO PROTECT LOCAL
TAXPAYERS AND VITAL LOCAL SERVICES
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire, Stone and Haskell
NOES: None
ABSENT: None
8. Funding Request for the Special District Public Education Program:
The Board of Directors of the Association of California Water Agencies (ACWA) and the California Special Districts Association (CSDA) have developed a new outreach program, Special District Education Program, designed to educate and inform policy makers and the public about the critical role of special districts in California. In an effort to increase an understanding of special districts and the critical local services they provide, the Program will include: the design of new themes and messages to more effectively communicate with policy makers and the public; development of brochures, websites, speakers bureaus and other communications materials and programs; increased legislative and media outreach efforts, and conducting training workshops.
ACWA and the CSDA are working toward soliciting $150,000 to finance the Special District Education Program. The District’s suggested support payment is $1,000. Due to the importance of this educational effort, staff recommended approval of a $2,500 contribution to the ACWA and CSDA jointly sponsored Special District Public Education Program.
Director Aleshire questioned if an educational outreach program on the role of special districts is not already in place and being actively pursued by both ACWA and the CSDA. He added that this new Program could be a means to obtain additional revenue. Director Polito questioned how the effectiveness of the public education program could be measured. The Board also queried if the contribution to the Special District Public Education Program would be a one-time contribution or if there would be a solicitation of funds annually to support this Program.
The request for a financial contribution to the ACWA and CSDA Special District Public Education Program was deferred pending obtaining additional information on the Program for the Board’s further consideration of this request.
9. LAFCO Independent Special Districts of San Diego County 2004 Special Districts Election:
The Local Agency Formation Commission (LAFCO) is conducting its 2004 election for one regular member position on LAFCO and eight positions on the Special Districts Advisory Committee. The Advisory Committee members make recommendations to LAFCO on various issues that affect special districts’ jurisdictions and service provisions in the county. One nomination for LAFCO Regular Member and eleven nominations for the Special Districts Advisory Committee were received.
The nominating committee formed to review the nominations received prepared a list of recommended candidates. They are William “Bud” Pocklington for Regular LAFCO Member, and Jo MacKenzie (Vista ID), James C.Alkire (South Bay ID), Keith Lewinger (Fallbrook PUD), Augie Scalzitti (Padre Dam MWD), Gary Arant (Valley Center MWD), Ron Fuller (Alpine FPD), Dennis Shepard (North County Cemetery District), and Harry Ehrlich (Olivenhain MWD) for the Special Districts Advisory Committee. Director Aleshire expressed that he has reservations about casting a vote for Mr. Ron Fuller for the advisory committee position on LAFCO which might conflict with his work as a government consultant. As an alternate, a vote could be cast for Thomas Bumgardner who is currently serving on the Valley Center Parks & Recreation District Board.
President Broomell was authorized to cast the mail-in ballot for the LAFCO Independent Special Districts of San Diego County 2004 Special Districts Election.
GENERAL MANAGER’S AGENDA
10. Review of Miscellaneous Informational Items:
• In August of 2004, 51 meters were installed. To date this fiscal year, 147 water meters have been installed.
• Meetings to address the peak management water treatment shortage projected to be experienced in 2005 and 2006 have been held. Metropolitan’s Lake Skinner Treatment Plant’s capacity improvement project is expected to be completed in late 2006. A supply shortage to the San Diego region has been projected at 1%-2% in 2005 and 8%-10% in 2006. District staff will be meeting to develop procedures for dealing with the peak management water shortage.
• Under the Interim Agricultural Water Program, water cutbacks may be imposed next year unless precipitation this winter is at least average and there is a full allocation from the Colorado River.
• To meet staffing requirements with proper certifications at the Lower Moosa Canyon Wastewater Treatment Plant, a consultant may be retained beginning in April or May 2005. One Wastewater Technician has resigned and the Wastewater Supervisor is retiring effective in July of 2005.
• General Manager Arant announced that Greg Hoyle, Construction & Maintenance Supervisor, has been appointed to Acting Director of Operations and will succeed Chuck Dacus upon his retirement in January 2005.
BOARD OF DIRECTORS’ AGENDA
11.
San Diego
County
Water Authority’s Board of Directors’ Meeting:
President Broomell stated that the SDCWA is continuing in its effort to secure access permits to the Encina Power Plant that will facilitate their completion of the EIR for the desalination project. The Board expressed their support of the agreement between Poseidon Resources Corporation and the City of Carlsbad for the construction of the 50 MG per day desalination plant adjacent to the Cabrillo Power’s Encina Power Station. Carlsbad has agreed to buy 25 MG a day of the purified water from Poseidon Resources. Under the terms of the agreement between Poseidon and the City of Carlsbad, Poseidon will assume the financial responsibility for the construction costs. The San Diego County Water Authority’s support for Metropolitan’s desalination subsidy will be needed. Considering the uncertainties regarding securing a new water supply through the proposed desalination project in Carlsbad, the construction of Pipeline 6 will need to be pursued by 2006 if the desalination project is stalled.
CLOSED SESSION
12. A Closed Session was called by President Broomell at 3:37 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.
San Diego Superior Court Case GIC 760743
$ Government Code '54956.9(a), Conference with Legal Counsel - Existing Litigation.
Name of Case: Rincon del Diablo Municipal Water District, et al. v. San Diego County Water Authority, et al.
San Diego County Superior Court Case No. GIC798230
· Government Code Section 54956.8, Conference With Real Property Negotiator
Property: APN 186-231-15 through 18
Agency Negotiator: Gary T. Arant, General Manager, Valley Center M.W.D.
Michael C. Cowett, District Legal Counsel
Negotiating Party: Jeff Weber, Broker Associate
Property: APN 188-240-31, 40-44
Agency Negotiator: Gary T. Arant, General Manager, Valley Center M.W.D.
Michael C. Cowett, District Legal Counsel
Negotiating Party: Jane Wiggans, Right-of-Way Associate
The Regular Board meeting was reconvened at 3:54 p.m. No action was reported.
ADJOURNMENT
13. Upon motion by Aleshire, seconded by Haskell and unanimously carried, the meeting was adjourned at 3:55 p.m.
ATTEST: ATTEST:
____________________________ _______________________________
President Board Secretary