VALLEY CENTER MUNICIPAL WATER DISTRICT
Regular Board Meeting
Monday, February 4, 2008
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, Aleshire and Haskell. Director Stone was absent. Staff members present were: General Manager Arant, General Counsel Cowett, District Engineer Grabbe, Director of Finance Jeffrey, Director of Operations Hoyle, Project Manager Williams, Board Secretary Stetson, and IT Manager Rivard. Audience members present were Mr. Hilbig and Mr. Orton.
CONSENT CALENDAR
1. Upon motion by Aleshire, seconded by Haskell and unanimously carried, the following consent calendar items were approved:
• Minutes of the Board meeting held January 22, 2008
• Audit demand check numbers 116712 through 116875
ACTION AGENDA
2. Request for Approval of Change Order No. 6 to the Valley Center Road Pipeline Replacement Project:
Project Manager Williams reviewed that the County of San Diego has contracted with Archer Western Construction, Inc. for the Valley Center Road improvement project that includes replacement of the District’s water facilities in the construction area. Approximately 240 linear feet of 24-inch diameter pipe located south of the Keys Creek Bridge had not been included in the water facility design improvements as this section of pipe was not impacted by the road improvement project and was considered to be in good working condition. However, it was discovered during potholing south of the bridge that the 24-inch pipe’s condition has deteriorated with above normal corrosion attributed to soil characteristics and the close proximity of an electrically charged steel gas transmission line.
Due to the condition of the 24-inch pipe, construction plans for the replacement of an additional 240 linear feet of 24-inch and 30 linear feet of 30-inch diameter pipe and associated appurtenances were prepared. This redesign eliminates the need for approximately 185 linear feet of 8-inch waterline included in the water facility construction contract and a credit is included in the change order. The estimated cost for Change Order No. 6 is $100,000 that includes the additional pipeline work of $96,565 and $3,435 for an air vac assembly at Woods Valley Road and additional potholing at Mirar de Valle.
Project Manager Williams noted that funds are available in the budget for the additional work as set forth previously. An additional appropriation to the Valley Center Road Pipeline Replacement Project will be evaluated in the District’s Fiscal Year 2008-09 budget to maintain a reasonable construction contingency. The addition of Change Order No. 6 to the reimbursement agreement with the County for Archer Western Construction’s work on the water facilities increases the District’s obligation to $4,249,765.90 or 5.17% of the original obligation.
Upon motion by Aleshire, seconded by Polito and unanimously carried, the following resolution, entitled:
RESOLUTION NO. 2008-05
RESOLUTION OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
APPROVING CHANGE ORDER NO. 6 TO THE CON-
TRACT WITH THE COUNTY OF SAN DIEGO FOR THE
CONSTRUCTION OF THE VALLEY CENTER ROAD
PIPELINE RELOCATION PROJECT
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Haskell
NOES: None
ABSENT: Director Stone
3. Provision of Water Supply Assurance for Participants in the South Village Water Reclamation Project:
General Manager Arant reported that participants in the South Village Water Reclamation Project have requested some assurance of having water service availability for their respective developments as Bell and Alti are currently pursuing funding the design of the treatment plant expansion, a financial commitment of approximately $0.5 million. Also, the participating property owners of the water reclamation project will be asked to provide additional commitments for the project through the execution of property lien agreements to secure the investments that will be made by the District in proceeding with the project.
Resolution No. 2008-06 providing assurance of water service for properties participating in the South Village Water Reclamation Project was presented for the Board’s consideration. Staff noted that such assurance is justified due to the water reclamation facilities providing wastewater services for community and public services within the South Village Planning Area. It was further noted that the developments provided wastewater service from the expansion project will cause reuse of a major portion of the water used through recycling on the Woods Valley Ranch Golf Course that will also offset an imported water supply demand. In addition, the net impact on the water supply will be minimized as new developments will be required to be in compliance with water conservation measures. Resolution No. 2008-06 establishes that except for the existence of a declared Water Code Section 350 Water Supply Emergency, properties participating in the South Village Water Reclamation Project would be assured water service connections and be supplied at least minimal levels of service.
Upon motion by Polito, seconded by Haskell and unanimously carried, the following resolution, entitled:
RESOLUTION NO. 2008-06
A RESOLUTION OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
PROVIDING ASSURANCE OF WATER SERVICE FOR
PROPERTIES PARTICIPATING IN THE SOUTH
VILLAGE WATER RECLAMATION PROJECT
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Haskell
NOES: None
ABSENT: Director Stone
4. Resolution Nominating Director Aleshire to the Office of President of the Association of California Water Agencies Joint Powers Insurance Authority (ACWA-JPIA):
The ACWA-JPIA will be conducting an Executive Committee election during the May ACWA Spring Conference to fill two Executive Committee members and the Office of President, each for a three-year term. Director Aleshire is the District’s appointed member on the ACWA/JPIA, which is a requirement to be nominated for a position and currently is an Executive Committee member. Further, the District participates in the ACWA/JPIA Liability, Property and Workers’ compensation programs, which is a requirement for an agency’s representative to be a candidate for the election.
Resolution No. 2008-04, presented for the Board’s consideration, would place Director Merle J. Aleshire’s name in nomination for the Office of President of the ACWA-JPIA. Upon adoption of Resolution No. 2008-04, concurring in nomination resolutions from five other JPIA members will be sought.
Upon motion by Polito, seconded by Haskell and unanimously carried, the following resolution, entitled:
RESOLUTION NO. 2008-04
RESOLUTION OF THE BOARD OF DIRECTORS OF
VALLEY CENTER MUNICIPAL WATER DISTRICT
NOMINATING ITS ACWA/JPIA BOARD MEMBER,
MERLE J. ALESHIRE, Ph.D. TO THE OFFICE OF
PRESIDENT OF THE ASSOCIATION OF CALIFORNIA
WATER AGENCIES JOINT POWERS INSURANCE
AUTHORITY (“ACWA/JPIA”)
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Haskell
NOES: None
ABSENT: Director Stone
GENERAL MANAGER’S AGENDA
5. Review of Miscellaneous Informational Items:
● At the San Diego County Water Authority’s board meeting of January 24th, the Board approved terminating its property and liability insurance coverage with the Association of California Water Agencies Joint Powers Insurance Authority to receive coverage from the Special Districts Risk Management Agency (SDRMA). Insurance coverage under the SDRMA is more expensive for less coverage than provided under the ACWA-JPIA, but flexibility of the insurance programs’ terms, or bundling, was the determining factor. Withdrawal from the ACWA-JPIA property program and liability program will be effective April 1, 2008, and October 1, 2008, respectively.
● The cost to store water in groundwater aquifers per the water banking agreement between the San Diego County Water Authority and Semitropic-Rosamond Water Bank Authority will be ascertained to assist in determining if the District should pursue water banking or water transfer purchases.
● Due to the recent rains, water sales are low, however participants in the Interim Agricultural Water Program subject to the 30% cutback banked approximately 1,500 ac. ft. of water. During the month of January, water sales were 595 ac. ft. which will be reflected in the February 2008 bills. General Manager Arant reported that of the District’s 1,733 IAWP participants, 1,524 customers were under their respective allocations for the water consumed that is reflected in the January bills. With the rains in January, IAWP participants’ water usage should be under their monthly allocation resulting in the accrual of additional credits that can be used in future months.
GENERAL COUNSEL’S AGENDA
6. Litigation Against the California Coastal Commission Pursuant to Poseidon Resource’s Coastal Development Permit:
General Counsel Cowett clarified that the lawsuit filed challenging the approval of the coastal development permit for the Poseidon Resources proposed desalination plant in Carlsbad is against the California Coastal Commission. In the Commission’s order, Poseidon Resources agreed to pay the Coastal Commission’s legal expenses to defend the Commission’s action. The Coastal Commission is representing by the Attorney General’s office, the State Department of Justice. Poseidon Resources will also participate as a real party-in-interest. The District and the other desal. partners named as real parties-in-interest will be meeting to discuss the level of participation.
BOARD OF DIRECTORS’ AGENDA
7. ACWA-JPIA Executive Committee Meeting:
Director Aleshire reported that at last week’s ACWA-JPIA Executive Committee meeting, the insurance broker responded to the inquiry as to the feasibility of bundling coverage of the Programs (liability, property and workers’ compensation). He responded that bundling of the insurance programs would not be advantageous as the better rates for coverage are not obtained from the same agency. Also, some insurance providers would not bid on a bundled insurance program as they may not provide coverage for all the plans. As such, the ACWA-JPIA will continue with the staggered termination dates for its participating member agencies’ insurance plans.
CLOSED SESSION:
8. A Closed Session was called by President Broomell at 2:52 p.m. per:
• Government Code §54957.5(a), Conference with Labor Negotiators
Agency Representative: Gary Arant, General Manager
Employee Organization: Valley Center M.W.D. Employees’ Association
RECONVENE
The Regular Board meeting was reconvened at 3:15 p.m. There was no reportable action.
ADJOURNMENT
9. Upon motion by Aleshire, seconded by Haskell and unanimously carried, the meeting was adjourned at 3:16 p.m.
ATTEST: ATTEST:
____________________________ _______________________________
President Secretary