MINUTES OF THE FORMAL BOARD OF DIRECTORS' MEETING
September 28, 2006
ADMINISTRATIVE AND FINANCE COMMITTEE
CALL TO ORDER / ROLL CALL
Chair Dixon called the Administrative and Finance Committee meeting to order at 9:03 a.m. Committee members present were Chair Dixon, Vice Chair Dailey, Directors Bowersox, Brammell, Johnson, Knutson, Muir*, Parker, Price, Steiner, Watton*, and Williams. Committee members absent were Vice Chair Tu and Representative Slater-Price. Also present were Directors Arant, Bond, Croucher, Ferguson, Hogan, Lewanski, Lewinger, Lewis, Linden, Loveland, Petty, Pocklington, Rogers, Saunders, Thompson and Wornham. At that time there was a quorum of the full Board and the meeting was conducted as a meeting of the Board; however, only Committee members participated in the vote. Staff present was General Manager Stapleton, General Counsel Hentschke, Assistant General Manager Cushman, Director of Finance/Treasurer Brust, and Director of Administrative Services Young.
* Director Muir arrived at 9:08 a.m. and Director Watton arrived at 9:11 a.m.
ADDITIONS TO AGENDA
There were no additions to the agenda.
PUBLIC COMMENT
There were no members of the public who wished to address the Committee.
CHAIR’S REPORT
Chair Dixon reported that a Special Administrative and Finance Committee meeting was scheduled for November 8 at 1:30 p.m. The full Board was invited to attend the meeting.
Director Bowersox inquired if the agenda items concerning legislation to amend the Water Authority Act and Administrative Code, which were on other committee agendas later in the day, could have been placed on the Administrative & Finance Committee agenda. Mr. Cushman responded that items having a legislative angle reside in the Legislation, Convervation and Outreach Committee and all Metropolitan matters are housed in the Imported Water Committee.
Director Pocklington asked for an update on GASB 45. Ms. Brust responded that GASB 45 needed to be implemented in phase one for the Water Authority by June 30, 2008. Monies had been programmed into the budget to have an actuarial study done in 2007. She stated that the Water Authority planed to go out for competitive bids in November to begin that process.
Chair Dixon welcomed Director Petty from the Rainbow Municipal Water District and Director Hogan from the Santa Fe Irrigation District to the Board.
I. CONSENT CALENDAR
1. Treasurer’s report.
Staff recommendation: Note and file monthly Treasurer’s report.
Director Muir moved, Director Knutson seconded and the motion carried unanimously, to approve the Consent Calendar.
ACTION/DISCUSSION
1. Resolution approving amendments to the San Diego County Water Authority Local Conflict of Interest Code; Public Hearing.
Staff recommendation: Adopt Resolution No. 2006-____ approving amendments to the San Diego County Water Authority Local Conflict of Interest Code.
Director Dixon opened the public hearing. Mr. Hentschke gave a brief summary of the item. There were no members of the public who wished to address the committee. Chair Dixon closed the Public Hearing.
Director Knutson moved, Director Williams seconded and the motion carried unanimously, to Adopt Resolution No. 2006-____ approving amendments to the San Diego County Water Authority Local Conflict of Interest Code.
2. Resolution approving the issuance of a not-to-exceed amount of $350 million in Tax-Exempt Commercial Paper, the forms of transaction-related documents and vendor selections.
Staff recommendation: Adopt Resolution 2006-____ authorizing the issuance of a not-to-exceed amount of $350 million in Commercial Paper.
Mr. Rich Morales of Wedbush Morgan Securities delivered a presentation, followed by discussion and questions from the Board.
Director Johnson moved, Director Price seconded, and the motion carried unanimously to Adopt Resolution 2006-____ authorizing the issuance of a not-to-exceed amount of $350 million in Commercial Paper.
III. INFORMATION
The following items were received and filed:
- Report on purchase orders and contracts for goods and services between $5,000 and $50,000 awarded in fiscal year 2006.
- Controller’s report on monthly financial statements.
- Board Calendar.
IV. ADJOURNMENT
There being no further business to come before the Administrative and Finance Committee, Chair Dixon adjourned the meeting at 10:05 a.m.
LEGISLATION, CONSERVATION AND OUTREACH COMMITTEE
CALL TO ORDER/ROLL CALL
Chair Steiner called the Legislation, Conservation and Outreach Committee to order at 10:11 a.m. Committee members present were Chair Steiner, Vice Chairs Croucher and Williams, and Directors Bond, Dailey, Ferguson, Hogan, Lewanski, Lewis, Price, Thompson, and Wornham. Committee members absent were Directors Morrison and Rhinerson. Also present were Directors Arant, Bowersox, Brammell, Dixon, Johnson, Knutson, Lewinger, Linden, Loveland, Martin, Muir, Parker, Petty, Pocklington, Rogers, Saunders, Tu, and Watton. At that time, there was a quorum of the full Board and the meeting was conducted as a meeting of the Board; however, only committee members participated in the vote. Staff present was General Manager Stapleton, General Counsel Hentschke, Assistant General Manager Cushman, and Director of Public Affairs Jacoby.
ADDITIONS TO THE AGENDA
There were no additions to the agenda.
PUBLIC COMMENT
There were no members of the public who wished to address the Committee.
CHAIR’S REPORT
Chair Steiner stated that Mr. Mark Weston would provide a report at next month’s meeting on the success of the Water Conservation Summit held on Sept. 29. She announced that the 2006 public opinion poll was tentatively scheduled for January. She requested that any ideas as to subject areas for the poll should be provided to either Ms. Nenow or Mr. Liarakos in the Public Affairs Department by Oct. 13.
DIRECTORS’ COMMENTS
There were no director’s comments.
I. CONSENT CALENDAR
1. Adopt position of Support on Proposition 1E – Disaster Preparedness and Flood Prevention Bond Act of 2006.
Staff recommendation: Adopt position of Support on Proposition 1E – Disaster Preparedness and Flood Prevention Bond Act of 2006.
Director Croucher moved, Director Wornham seconded and the motion carried unanimously, to adopt position of Support on Proposition 1E – Disaster Preparedness and Flood Prevention Bond Act of 2006.
II. ACTION/DISCUSSION
1. Presentation by Doug Sain, Multi-Housing Laundry Association.
Mr. Doug Sain, consultant for the laundry industry, introduced Mr. Jason Jansky from the Multi-housing Laundry Association. Mr. Jansky recommended that the Board adopt a resolution that would support multi-family, common-area laundry facilities. He discussed the current situation, a national study on water and energy consumption in multi-family housing, and its findings. Mr. Sain discussed the local conservation impact, existing laundry conservation incentives, lost opportunity, retention ordinance benefits, mandatory conservation, endorsements, and a recommendation to consider a resolution at the next Board meeting to support these types of ordinances.
2. Legislative issues.
Assistant General Manager Cushman introduced Mr. Ron Davis, State Legislative Director for ACWA.
2-A Report by Carpi and Clay.
Legislative Advocate Ben Clay reported on issues in Sacramento and Legislative Advocate Ken Carpi reported on issues in Washington, D.C.
2-B Seek Board direction regarding legislation to amend the County Water Authority Act to permit any public officer of a member agency to serve as a member agency’s representative on the Water Authority Board of Directors.
Chair Steiner stated that a letter was submitted to Assembly Republican Leader George Plescia to seek the opinion of the Attorney General regarding whether certain positions serving on the Board were incompatible under Government Code Section 1099. The request could impact the current make up of the Board. The request was not discussed or voted upon by the Board.
General Counsel Hentschke provided a presentation including the County Water Authority Act Sub-Section 6, Government Code Sub-Section 1099, issues and Board considerations.
Director Dailey moved to obtain a decision from the Attorney General to clarify the make up of the Board, Director Bond seconded and the motion failed.
After further discussion, Vice Chair Croucher moved to submit a letter to clarify that the initial request was not supported by action of the Board of Directors and that the Attorney General be requested to suspend the preparation of a response to the originally requested opinion while the San Diego County Water Authority Board of Directors deliberated whether an opinion of the Attorney General was warranted. Director Wornham seconded and the motion carried.
Director Croucher moved that the General Counsel be authorized to provide his files pertaining to this subject to the counsel for the member agencies for use in member agencies consideration of this matter. Director Ferguson seconded and the motion carried unanimously.
Chair Steiner stated that this matter would be placed on a future agenda for further discussion and receipt of recommendations of member agencies as to what, if any, further action should be taken.
2-C Provide direction for legislative advocacy representation in Sacramento and Washington, D.C.
Director of Public Affairs Jacoby provided options available: continue to use Carpi & Clay for two or four years, issue a Request for Proposals, or provide the services in house.
Director Wornham moved to renew the contract with Carpi & Clay for two years and to issue a Request for Proposals for legislative advocacy services beginning the subsequent term, Director Price seconded and the motion carried unanimously.
III. INFORMATION
The following items were received and filed:
- Presentation on SCOOP Annual report
- Peak Treated Water Demand Management update
- Status report on legislation and legislative positions
- Water Conservation Garden report
- Outreach activities for the month of August
IV. ADJOURNMENT
There being no further business to come before the Legislation, Conservation and Outreach Committee, Chair Steiner adjourned the meeting at 12:03 p.m.
ENGINEERING AND OPERATIONS COMMITTEE
CALL TO ORDER/ROLL CALL
Chair Knutson called the Engineering and Operations Committee to order at 12:45 p.m. Committee members present were Vice Chairs Ferguson and Johnson, and Directors Arant, Brammell, Croucher, Lewanski, Lewinger, Loveland, Petty, Rogers, Thompson, and Tu. Committee member Morrison was absent. Also present were present were Directors Bond, Bowersox, Dailey, Dixon, Hogan, Lewis, Linden, Martin, Muir, Parker, Pocklington, Price, Rhinerson, Williams, and Wornham. At the time, there was a quorum of the full Board and the meeting was conducted as a meeting of the Board; however, only Committee members participated in the vote. Staff present was General Manager Stapleton, General Counsel Hentschke, Assistant General Manager Cushman, Director of Engineering Economides, Director of O&M Eaton, Director of Right of Way Rose, and Assistant Director of Engineering Stift.
ADDITIONS TO AGENDA
There were no additions to the agenda.
PUBLIC COMMENT
There were no members of the public who wished to address the Committee.
CHAIR’S REPORT
There was no Chair's Report, nor any Directors' comments.
I. CONSENT CALENDAR
Chair Knutson announced changes to the agenda: Item II. 2-B was moved from the Action/Discussion agenda to the Consent Calendar as Item I. 3, and Item II. 2-A was cancelled. Item II. 4-B was moved from the Action/Discussion agenda to the Consent Calendar as Item I. 4, and Item II. 4-A was cancelled.
1. Professional services contract to Vanir Construction Management, Inc., for $560,000 to provide construction cost estimating services.
Staff recommendation: Professional services contract to Vanir Construction Management, Inc. for construction cost estimating services for the not-to-exceed amount of $560,000 or to June 30, 2008, whichever comes first.
2. Amend a consultant contract with Pure Technologies, Inc. to extend the acoustic fiber optic monitoring for one year.
Staff recommendation: Accept amendment 1 for $50,000 and approve amendment 2 for $257,000 to extend acoustic fiber optic monitoring services with Pure Technologies, Inc. for one year, increasing the total contract amount from $330,000 to $637,000.
3. Grant of easement to San Diego Gas & Electric for power service to the Twin Oaks Valley Water Treatment Plant.
Staff recommendation: Execute a grant of easement to SDG&E.
4. Amend consultant contract for the Rancho Penasquitos Pressure Control/Hydroelectric facility.
Staff recommendation: Accept amendments 3 and 4 to RBKA’s construction management contract and approve amendment 5 to provide construction management and inspection services through November 30, 2006 for a not-to-exceed amount of $130,000.
Vice Chair Ferguson moved, Director Johnson seconded and the motion passed unanimously, to pass the Consent Calendar, as amended.
II. ACTION/DISCUSSION
1. Synopsis of Construction Costs Ad Hoc Committee meeting of September 6, 2006.
Director of Engineering Economides presented information on the activities of the Construction Costs Ad Hoc Committee focusing on the current construction climate and construction cost forecasting efforts.
2. San Vicente project
2-A. Project Update.
Senior Engineer/Project Manager Henry presented an update on the tunnel project at the San Vicente site.
2-B Advertisement for bids – San Vicente Pumping Facilities project.
Ms. Henry presented bidding activity information and anticipated a contract award recommendation would be submitted to the Board in November 2006.
2-C Construction contract change orders for the San Vicente Pipeline project to Shea Traylor Joint Venture.
Staff recommendation : Accept change orders 1 through 18 to Shea Traylor’s San Vicente pipeline construction contract and approve Change Order 19 for the treatment of groundwater at the San Vicente Portal site for a not-to- exceed amount of $1.1 million.
Ms. Henry reported meeting regulations for removal of heavy metals and nitrogen from the groundwater at the San Vicente tunnel project had been challenging. She stated alternative methods for disposal of groundwater were being explored, and staff would present a recommendation to the Board in May 2007.
Director Arant moved, Director Croucher seconded and the motion passed unanimously, to accept the staff recommendation to approve Change Order 19 and accept change orders 1 though 18 to the Shea Traylor Joint Venture construction contract.
3. CLOSED SESSION:
Conference with Legal Counsel – Existing Litigation
Government Code §54956.9(a)
Name of Case: San Diego County Water Authority v. Atlantica, et al.; SDSC Case No. GIN046976
General Counsel Hentschke reported that the closed session was not necessary because mediation had taken place and it was agreed to bifurcate the easement issues from the liability issues. The trial had been set to first hear easement issues in the first week of November 2006.
III. INFORMATION
1. Presentation on the Mission Trails emergency repairs and restoration.
Because of time constraints, this item was not presented.
IV. ADJOURNMENT
There being no further business to come before the Engineering and Operations Committee, Chair Knutson adjourned the meeting at 1:20 p.m.
WATER PLANNING COMMITTEE MEETING
CALL TO ORDER / ROLL CALL
Chair Saunders called meeting to order at 1:25 p.m. Committee members present were Vices Chair Lewinger and Watton, Directors Hogan, Linden, Loveland, Martin, Petty, Pocklington, and Rogers. Committee members absent were Dixon, Quist, and Rhinerson. Also present were Directors Arant, Bond, Bowersox, Brammell, Dailey, Ferguson, Johnson, Knutson, Lewanski, Lewis, Morrison, Muir, Parker, Price, Thompson, Williams, and Wornham. At the time, there was a quorum of the full Board and the meeting was conducted as a meeting of the Board; however, only Committee members participated in the vote. Staff present was General Manager Stapleton, General Counsel Hentschke, Assistant General Manager Cushman, Director of Water Resources Weinberg, Water Resources Managers Yamada and Roy, and Principal Water Resources Specialist Putnam.
ADDITIONS TO AGENDA
There were no additions to the agenda.
PUBLIC COMMENT
There were no public comments.
CHAIR’S REPORT
Chair Saunders stated that the agenda had two items on local supply development which was a key focus of the committee. Developing local supplies reduced our reliance on imported water and diversified our local supply and was the core of the Water Authority’s mission to provide a reliable source of water. The committee would continue to discuss local supply development next month. Staff would bring back a report to the committee looking for direction on where the Water Authority’s efforts on regional desalination should be focused. He also reminded the committee of the member agency staff ad hoc local committee that was working with the Water Authority staff on additional modifications to the existing local supply program that would be heard at the November committee meeting. The topic of local supplies would be discussed at the Board retreat.
At the August meeting the committee passed a resolution agreeing to Lakeside becoming a new member agency pending compliance with specific terms and conditions. November 11 approval by LAFCO of the reorganization satisfied one of the terms adopted by the Board. Staff would provide a written report notifying the Board when the conditions had been met and the estimated time frame for seating the new Lakeside director on the Board.
Chair Saunders welcomed Directors Hogan and Petty to the Water Planning Committee.
DIRECTORS’ COMMENTS
There were no director’s comments.
I. CONSENT CALENDAR
Vice Chair Lewinger asked that Item #1 of the Consent Calendar, the Agreement between the San Diego County Water Authority and the city of San Diego for Reclaimed Water Development Fund Incentives, be pulled for discussion.
2. Amend a professional services contract with Helix Environmental Planning, Inc., for as-needed Pipeline Relining Program Environmental Consulting Services in an amount not-to-exceed $40,000 for a seven month period.
Staff recommendation: Accept the second amendment for $50,000 and award a third amendment to Helix for $40,000 to continue as-needed environmental support services for a seven-month period.
Director Pocklington moved, Director Petty seconded and the motion passed unanimously, to approve the remaining consent calendar item.
1. Agreement between the San Diego County Water Authority and the city of San Diego for Reclaimed Water Development Fund Incentives.
Staff recommendation:
Authorize the General Manager to enter into Agreement between the Water Authority and the city of San Diego for RWDF incentives. Eligible costs will include tertiary water treatment Operation & Maintenance (O&M) costs and delivery of tertiary water to the International Boundary and Water Commission (IBWC) plant, located east of the SBWRP, the U.S. Border Patrol, Caltrans, and other users in the City’s Southern Service Area.
Ms. Roy presented to the Board the RWDF program participation criteria, determining financial need, and the project description. She also reviewed the key issues, the background of guiding documents used in determining eligibility, eligible project costs and the determination of eligible yields.
Vice Chair Watton moved, Director Loveland seconded and the motion passed, to approve the first alternative of the staff recommendation: Authorize the General Manager to enter into an Agreement between the Water Authority and the City for RWDF incentives and make the effective date of the Agreement retroactive to July 27, 2006.
Directors opposed were Vice Chair Lewinger, and Directors Rogers and Petty.
II. ACTION/DISCUSSION
1. Public Hearing on the Supplemental Environmental Impact Report for the Emergency Storage Project, Lake Hodges Pump Station.
Chair Saunders opened the Public meeting at 2:10 p.m. He then called for speaker slips.
Ms. Putnam briefed the Board on the Lake Hodges Pump Station project. She then reviewed the project description, environmental impact, administrative actions and required actions. Ms. Putnam reviewed the alternative Trail #1, #2, and native habitat.
The Water Authority received a request from San Dieguito JPA asking to extend the public review period by one week to October 18, 2006. The final EIR would be brought to the Board on November 30, 2006, for consideration of certification.
Chair Saunders called for speakers from the public to address the Board; there were none. Chair Saunders closed the Public Hearing at 2:15 p.m.
III. INFORMATION
1. Status report on July Board direction to consider a Water Authority grant funding program for the conceptual development of local supplies and storage.
Chair Saunders stated that in July the Board directed staff to meet with the member agency managers to discuss the potential for Water Authority grant funding to support the conceptualization and early development of local supply projects. The Board had also directed staff to consider the use of a portion of the SB 1765 (groundwater conjunctive use) funds for this effort. The managers were supportive of both concepts.
Staff would work with the member agencies to develop the details of the program and return to the Board in November or January. Staff was also in discussions with DWR about modifying the grant agreement to permit the establishment of the program from SB 1765 funds.
2. Water Resources Report.
The Water Resources Report was received and filed.
IV. ADJOURNMENT
IMPORTED WATER COMMITTEE
CALL TO ORDER / ROLL CALL
Chair Muir called the Imported Water Committee to order at 2:32 p.m. Committee members present were Directors Arant, Bond, Bowersox, Lewis, Linden, Martin, Parker, Pocklington, Saunders, and Wornham. Director Quist and Representative Slater-Price were absent. Also present were Directors Brammell, Croucher, Dailey, Ferguson, Hogan, Johnson, Knutson, Lewanski, Lewinger, Loveland, Morrison, Petty, Price, Rogers, Steiner, Thompson, Watton, and Williams. At that time, there was a quorum of the Board and the meeting was conducted as a meeting of the Board; however, only committee members participated in the vote. Staff present included General Manager Stapleton, General Counsel Hentschke, Assistant General Manager Cushman, Director of Imported Water Hess, Inter-Agency Program Manager Chen, and others.
ADDITIONS TO AGENDA
There were no additions to the agenda.
PUBLIC COMMENT
There were no members of the public who wished to address the Committee.
CHAIR’S REPORT
Chair Muir announced the dates for upcoming MWD inspection tours and invited the Board to participate. He stated that the Committee’s agenda would be reordered.
4-A Director’s comments.
There were no comments from Directors.
I. CONSENT CALENDAR
There were no items on the consent calendar.
II. ACTION/DISCUSSION
1. MWD Issues and Activities update.
1-A MWD Delegates report.
The delegates commented on the status of the recruitment for MWD’s General Counsel, MWD’s solar energy program, and that the election for MWD’s Chairman would take place at the October board meeting.
1-D Adopt Ordinance approving amendments to the San Diego County Water Authority Administrative Code relating to Water Authority representatives on the Metropolitan Water District Board of Directors.
Staff recommendation: Adopt Ordinance No. 2006- __ an Ordinance of the San Diego County Water Authority Board of Directors amending Chapter 9.00 of the Water Authority Administrative Code.
General Manager Stapleton reviewed the proposed changes to the Administrative Code regarding the selection and evaluation of MWD delegates. She said that instead of having individual reviews of the delegates, there would be a team evaluation, and the terms would be concurrent with those of the Board officers. Director Pocklington commented that the timing
of the reviews and appointments did not allow enough time for deliberation by the Board. Other Directors made comments and discussed the recommendation.
Chairman Bond moved, Director Lewis seconded and the motion carried. Director Pocklington abstained from the vote and Director Saunders voted no.
3. Quantification Settlement Agreement.
3-A QSA Ad-Hoc Committee report.
Director Watton stated that an update on issues would be heard in closed session.
The Committee went into closed session at 2:55 p.m.
3-B CLOSED SESSION:
Conference with Legal Counsel – Potential Litigation
Government Code §54956.9(b) – Three Cases.
3-C CLOSED SESSION:
Conference with Legal Counsel – Existing Litigation
Government Code §54956.9(a)
Name of Case: CDEM, et al. v. United States, et al.;
USDC Case No. CV-S-05-0870-PMP-LRL
The Committee reconvened at 3:50 p.m. General Counsel Hentschke stated that the Committee discussed the closed session items and that there was no reportable actions.
2. Colorado River
2-A Colorado River report.
Chairman Bond referred the Board to the written report.
1-B Metropolitan Water District’s Integrated Area Studies effort.
This item was tabled to the October meeting.
1-C Update on MWD’s Diamond Valley Lake Recreation Program.
Inter-Agency Program Manager Chen provided an update on MWD’s Diamond Valley Lake Recreation program.
III. INFORMATION
The following information item was noted and filed:
1. Imported Water Activities report.
IV. ADJOURNMENT
There being no further business to come before the Imported Water Committee, Chair Muir adjourned the meeting at 3:50 p.m.
FORMAL BOARD OF DIRECTORS’ MEETING OF September 28, 2006
1. CALL TO ORDER. Chairman Bond called the Formal Board of Directors’
meeting to order at 3:55 p.m.
2. SALUTE TO THE FLAG. Vice Chairman Loveland led the salute to the flag.
3. ROLL CALL, DETERMINATION OF QUORUM. Secretary Lewis called roll. Directors present were Arant, Bond, Bowersox, Brammell, Croucher, Dailey, Dixon, Ferguson, Hogan, Johnson, Knutson, Lewanski, Lewinger, Lewis, Linden, Loveland, Martin, Morrison, Muir, Parker, Petty, Pocklington, Price, Rogers, Saunders, Steiner, Thompson, Tu, Watton, Williams, and Wornham. Directors absent were Quist (p), Rhinerson, and Representative Slater-Price.
3-A Report on proxies received.
Director Arant had the proxy vote for Director Quist.
4. ADDITIONS TO AGENDA. There were no additions to the agenda.
5. APPROVAL OF MINUTES. Director Loveland moved, Director Thompson seconded and the motion carried for a total of 100% of the vote, to approve the minutes of the Special Administrative and Finance Committee meeting of August 10, 2006, the SCOOP meeting of August 17, 2006, and the Formal Board of Directors’ meeting of August 24, 2006. Director Hogan abstained as he was not on the Board in August.
6. OPPORTUNITY FOR MEMBERS OF THE PUBLIC WHO WISH TO ADDRESS THE BOARD ON MATTERS WITHIN THE BOARD’S JURISDICTION. There were no members of the public who whished to address the Board.
7. PRESENTATIONS AND PUBLIC HEARINGS
7-A Presentation of grant funding from the State Water Resources Control Board for the Water Authority's San Diego County Regional Recycled Water Study – Phase II. The Water Authority was presented with a check for $ 701,262 from the State Water Resources Control Board presented by Mr. James Mon, Assistant Deputy Director, and Ms. Shala Fairanock, Supervising Water Resource Control Engineer.
7-B Retirement of Director. The Board adopted Resolution No. 2006-31 honoring Bud Irvin upon his retirement from the Board of Directors.
7-D Retirement of Director. The Board adopted Resolution No. 2006-32 honoring Larry Sundram upon his retirement from the Board of Directors.
7-C Appointment of Director. Michael T. Hogan representing Santa Fe Irrigation District. Term expires December 13, 2008.
7-E Appointment of Director. Rua M. Petty representing Rainbow Municipal Water District. Term expires February 14, 2009.
7-F Reappointment of Director. Reappointment of Thomas Brammell, Ramona Municipal Water District. Term expires September 8, 2012.
7-G Presentation of Directors’ service awards. Three-year awards were presented to Jesse Dixon and Fern Steiner; five-year awards to Bud Irvin, Keith Lewinger and George Loveland; a ten-year award to Jim Bond; and a fifteen-year award to Fred Thompson.
8. REPORTS BY CHAIRS
Chairman’s Report – Chairman Bond. Chairman Bond reviewed the meetings he had attended during the past month. Those reports would be on file with the Clerk’s office. He announced Jim Barrett from the city of San Diego was approved to become a Water Authority Director, replacing George Loveland. Mr. Loveland had agreed to stay on the Board through the end of October.
Chairman Bond referred everyone to item 10-1 regarding nominations for Board officers. Nominations for Board officers were: Fern Steiner, Chair; Bud Lewis, Vice Chair; and three nominations for Secretary: Bud Pocklington, Mark Watton and Bill Knutson. No nominations were offered from the floor. Elections for the next two-year terms for Board officers would be on November 30, 2006.
Also, beginning in October, the Board committee meeting times format would be changed. There would be three committee meetings in the morning, the first beginning at 9:00 a.m. and two in the afternoon, the first beginning at 1:00 p.m. The Officers and Chairs suggested the change in order to have a better “flow” of the meetings.
Chair Bond also announced he would be giving the welcoming address at the Water Conservation Summit on September 29.
Administrative and Finance Committee. Director Dixon reviewed the committee agenda and announced that all three action items had passed in Committee.
Legislation, Conservation and Outreach Committee. Director Steiner announced the committee had passed support of Prop 1E. She stated the motion as shown on the salmon consent calendar for Item 9-5, was not correct and asked for clarification from Mr. Hentschke: Seek Board direction regarding legislation to amend the County Water Authority Act to permit any public officer of a member agency to serve as a member agency’s representative on the Water Authority Board of Directors. Director Lewinger stated perhaps he could clarify the motion: “The Board authorized the submission of a letter to clarify that the initial request was not supported by action of the Board of Directors and, that the Attorney General be requested to suspend the preparation of a response to the originally requested opinion while the San Diego County Water Authority Board of Directors deliberates whether an opinion of the Attorney General is warranted”. What Director Lewinger stated what was missing was that the Board not only notify the Attorney General that it wasn’t the Board that requested this, but that we request the Attorney General to stop the opinion process. Director Steiner stated that the motion as read by Director Lewinger was correct and that the committee had voted 8 to 4. The minority felt that the opinion should be obtained because there was ambiguity and had been an issue for some time and they wanted clarification and clarity. The majority felt that the Board should make a decision whether such an opinion was sought and there needed to be far more time put into the issue as well an ability to review the files of the Water Authority’s General Counsel to determine whether, in fact, their agencies believed there was an issue and whether their agency wanted to take any type of action. Then it would be brought back to the Board at another meeting for more discussion.
Lastly, the Committee also voted to authorize a new two-year agreement in an amount not-to-exceed $503,530 ($247,160 in FY 2007 and $256,370 in FY 2008) for services through December 31, 2008 with the firm of Carpi and Clay; under this option, Carpi and Clay’s fees would increase by 4 percent annually. In addition, the Board directed staff to issue a Request for Proposals (RFP) for legislative advocacy services beginning the subsequent term.
Director Lewis thanked Director Steiner for clarifying the Committee’s exact recommendation to the full Board because he wanted to be sure the information he took to his city council was correct. Ms. Stapleton stated that staff would email the specific motion to all Board members.
Mr. Hentschke stated he also wanted clarification of the motion. He stated that since this Board had no authority to request an opinion from the Attorney General, the letter would go to Assembly member Plescia with a copy to the Attorney General and then, since it was a letter from the Board, it would be signed the Chairman of the Board.
Engineering and Operations Committee. Director Knutson reviewed the committee agenda and announced all action items had passed in Committee.
Water Planning Committee. Director Saunders reviewed the committee actions and announced all items had passed in Committee.
Imported Water Committee. Director Muir reviewed the committee agenda and announced the action items had passed in Committee. There was no reportable action from the Closed Session.
9. CONSENT CALENDAR
Item No. 9-12 was pulled from the Consent Calendar to be voted upon using the electronic voting system. Director Lewinger moved, Director Wornham seconded and the motion passed at 100.00%, to approve the amended consent calendar. Abstentions and those voting no were listed under the item.
9- 1. |
Treasurer’s report.
The Board noted and filed the monthly Treasurer’s report. |
|
|
9- 2. |
Resolution approving amendments to the San Diego County Water Authority
Local Conflict of Interest Code; Public Hearing.
The Board adopted Resolution No. 2006-28 approving amendments to the San Diego County Water Authority Local Conflict of Interest Code. |
|
|
9- 3. |
Resolution approving the issuance of a not-to-exceed amount of $350 million in Tax-Exempt Commercial Paper, the forms of transaction-related documents and vendor selections.
The Board adopted Resolution 2006-29 authorizing the issuance of a not-to-exceed amount of $350 million in Commercial Paper. |
|
|
9- 4. |
Adopt position of Support on Proposition 1E - Disaster Preparedness and Flood Prevention Bond Act of 2006 .
The Board adopted a position of Support on Proposition 1E - Disaster Preparedness and Flood Prevention Bond Act of 2006.
Director Rogers abstained from voting on this item . |
|
|
9- 5. |
Seek Board direction regarding legislation to amend the County Water Authority Act to permit any public officer of a member agency to serve as a member agency’s representative on the Water Authority Board of Directors .
The Board took no action on whether to seek legislation and adopted a motion to submit letter to clarify that the initial request was not supported by action of the Board of Directors and that the Attorney General be requested to suspend the preparation of a response to the originally requested opinion while the San Diego County Water Authority Board of Directors deliberated whether an opinion of the Attorney General was warranted. The General Counsel was authorized to provide his files pertaining to this subject to the counsel for the member agencies for use in member agencies consideration of this matter. The matter would be placed on a future agenda for further discussion and receipt of recommendations of member agencies.
Directors Dailey and Ferguson voted no on this item. |
9- 6. |
Provide direction for legislative advocacy representation in Sacramento and Washington D.C.
The Board a uthorized a new two-year agreement in an amount not-to-exceed $503,530 ($247,160 in FY 2007 and $256,370 in FY 2008) for services through December 31, 2008; under this option, Carpi and Clay’s fees would increase by 4 percent annually. In addition staff was directed to issue a Request for Proposals (RFP) for legislative advocacy services beginning the subsequent term. |
|
|
9- 7. |
Professional services contract to Vanir Construction Management, Inc., for $560,000 to provide construction cost estimating services .
The Board awarded a professional services contract to Vanir Construction Management, Inc. for construction cost estimating services for the not-to-exceed amount of $560,000 or to June 30, 2008, whichever comes first. |
|
|
9- 8. |
Amend a consultant contract with Pure Technologies, Inc. to extend the acoustic fiber optic monitoring services for one year .
The Board accepted amendment 1 for $50,000 and approved amendment 2 for $257,000 to extend acoustic fiber optic monitoring services with Pure Technologies, Inc. for one year, increasing the total contract amount from $330,000 to $637,000. |
|
|
9- 9. |
Grant of easement to San Diego Gas & Electric for power service to the Twin Oaks Valley Water Treatment Plant .
The Board adopted a motion to execute a grant of easement to SDG&E. |
|
|
9-10. |
Construction contract change orders for the San Vicente Pipeline project to Shea Traylor Joint Venture .
The Board accepted change orders 1 through 18 to Shea Traylor’s San Vicente Pipeline construction contract and approved Change Order 19 for the treatment of groundwater at the San Vicente Portal site for a not-to- exceed amount of $1.1 million. |
|
|
9-11. |
Amend consultant contract for the Rancho Penasquitos Pressure Control/ /Hydroelectric facility.
The Board accepted amendments 3 and 4 to RBKA’s construction management contract and approved amendment 5 to provide construction management and inspection services through November 30, 2006 for a not-to-exceed amount of $130,000. |
|
|
9-13. |
Amend a professional services contract with Helix Environmental Planning, Inc., for as-needed pipeline relining program environmental consulting services in an amount not-to-exceed $40,000 for a seven month period.
The Board accepted the second amendment for $50,000 and awarded a third amendment to Helix for $40,000 to continue as-needed environmental support services for a seven month period. |
9-14. |
Adopt Ordinance approving amendments to the San Diego County Water Authority Administrative Code relating to Water Authority representatives on the Metropolitan Water District Board of Directors .
The Board adopted Ordinance No. 2006-06 an Ordinance of the San Diego County Water Authority Board of Directors amending Chapter 9.00 of the Water Authority Administrative Code.
Director Pocklington abstained from voting on this item. |
|
|
The Board then voted upon item No. 9-12.
9-12. |
Agreement between the San Diego County Water Authority and the city of San Diego for Reclaimed Water Development Fund incentives .
The Board authorized the General Manager to enter into Agreement between the
Water Authority and the city of San Diego for RWDF incentives. Eligible costs would include tertiary water treatment, Operation & Maintenance costs and delivery of tertiary water to the International Boundary and Water Commission (IBWC)plant (located east of the SBWRP) the U.S. Border Patrol, Caltrans, and other users in the City’s Southern service area, and made the effective date of the Agreement retroactive to July 27, 2006.
|
The vote passed with 74.86% voting yes and 25.14% voting no. Those voting yes were Directors Bond, Bowersox, Croucher, Dixon, Hogan, Johnson, Lewanski, Lewis, Linden, Loveland, Martin, Muir, Parker, Pocklington, Price, Rhinerson, Saunders, Steiner, Thompson, Tu, Watton, and Wornham. Those voting no were: Arant, Brammell, Dailey, Ferguson, Knutson, Lewinger, Morrison, Petty, Quist (p), Rogers, and Williams.
12. SPECIAL REPORTS
12-A GENERAL MANAGER’S REPORT – No report was given.
12-B GENERAL COUNSEL’S REPORT – Mr. Hentschke mentioned that he handed out some information on the incompatible office issue - a letter from the attorney from Otay Water District, and a conflict of interest handout on that same issue from the Attorney General’s office. Also, he reported he spoke at the California League of Cities conference and at the ACWA conference on Prop 218 and AB1234 training for ACWA officials in conjunction with the ACWA CLE conference.
12-C ACWA-JPIA REPORT – Director Knutson stated the quarterly meeting had just concluded. The liability insurance program would renew the first of October and there was a 10% reduction in premiums. An analysis of workmen’s compensation was done and so far this year the indication was we’d be able to drop those rates by another 10%. That was mainly due to the recent legislation that was passed two years ago that had capped some of the medical problems as well as defined temporary and permanent disability.
12-D SANDAG REPORT – Director Dailey reported the Marine Corps General in charge of the entire western United States spoke at the last meeting about the economic benefit that the marines bring to this area, about the cooperative uses at Miramar with the community such as the landfill and nuclear waste, but he said very strongly that fighters and commercial airplanes would not be compatible uses of Miramar. In addition, he remarked that the Marines would welcome being offered a seat on the SANDAG advisory board (the Navy already holds a seat on the regular board). Also, SANDAG received a letter over her signature, which the Water Authority sent, telling them we supported Proposition 84 and that letter was sent to their executive committee and that item would be addressed at their next board meeting.
As an added note, the Water Authority had sent up nominations of Lloyd Allen and Dennis Underwood for their awards and we received a letter from Southern California Water Committee thanking us for our nominations, and that although Lloyd Allen did not win an award, Dennis Underwood would be presented a 2006 posthumous lifetime achievement award at the annual meeting on October 19.
SANDAG Subcommittee: Borders/Regional Planning Committee – Director Williams reported that at the last meeting representative of the Campo Indians spoke. His chief concern was the development around the Campo underground water supply and also expressed opposition to the lining of the All American Canal. Director Williams suggested he speak to the Water Authority about it.
12-E AB 1234 COMPLIANCE REPORTS – No reports were given.
13. OTHER COMMUNICATIONS – There were no other communications.
14. ADJOURNMENT
There being no further business to come before the Board, Chairman Bond adjourned the meeting at 4:35 p.m.
__________________________________
James H. Bond
Chairman
_______________________________
Claude A. Lewis
Secretary
________________________________
Doria F. Lore, Clerk of the Board
| 
