VALLEY CENTER MUNICIPAL WATER DISTRICT
Regular Board Meeting
Monday, August 1, 2005
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 Vice President Polito at 2:00 P.M.
ROLL CALL
Board members present were: Directors Polito, Aleshire, Stone and Haskell. Director Broomell arrived at 2:08 p.m. Staff members present were: General Manager Arant, General Counsel Cowett, Director of Finance Jeffrey, Director of Operations Hoyle, District Engineer Grabbe, Pumps & Motors Supervisor Stetson, Board Secretary Stetson and IT Specialist Learue. Spectators present were. Messrs. Blaine Vice of Satellite Irrigation Systems, Peter MacLaggan, Poseidon Resources Corporation, and John Ingalls, Santa Fe Irrigation District.
CONSENT CALENDAR
1. Upon motion by Aleshire, seconded by Stone and unanimously carried, the following consent calendar items were approved:
• Minutes of the Board meeting held July 5, 2005
• Audit demand check numbers 104679 through 105121 and wire disbursements for the period April 1 through June 30, 2005
• Board of Director’s request for per diem compensation and reimbursement of expenses
• Report of expense reimbursements per Government Code §53065.5 for the quarter ended June 30, 2005
• Treasurer’s Report for the period ended June 30, 2005
• Report of developers’ constructed facilities accepted by the District in Fiscal Year 2004-05
• Quitclaim of easements pursuant to completion of the Reidy Creek Pipeline Replacement project and abandonment of portions of the existing 10-inch water main
• Quitclaim of easements pursuant to the installation of the large meter upgrades and PRV serving the Circle R Townhomes and abandonment of the old facilities
• Notice of Completion filed for the repainting of Kornblum, Ridge Ranch and Hauck Mesa Reservoirs
ACTION AGENDA
2. 2005 Alternate Special District Member Position for San Diego LAFCO:
A total of eight nominations for the Alternate Special District member position on San Diego Local Agency Formation Commission (LAFCO) with a term expiring in 2007 were received. The District’s vote (mail ballot) must be received by LAFCO by August 11th and the vote cast by the District’s presiding officer or an alternate Board member. The candidates are:
Margarette Morgan (Visa Fire Protection District)
Jo MacKenzie (Vista Irrigation District)
Jack Griffiths (Rainbow Municipal Water District)
James Doud* (South Bay Irrigation District)
Paul Davy (Vallecitos Water District)
John Linden* (Helix Water District)
John Ingalls (Santa Fe Irrigation District)
Larry Jackman (San Miguel Consolidated Fire Protection Dist.)
*Candidate withdrew
Mr. John Ingalls, director of the Santa Fe Irrigation District and candidate for the Alternate Special District member on LAFCO, addressed the Board stating that he is an attorney and had specialized in project finance work (water, wastewater, healthcare, housing, infrastructure development, real estate and electric energy projects). Mr. Ingalls expressed that he is the only candidate with knowledge of the healthcare industry and its challenges and requested that the District cast its vote for him citing his experience and commitment to the position. Mr. Ingalls noted that he has received support for his candidacy from several special districts. He expressed that water districts need more representation on LAFCO and that he can make a difference for the county’s unincorporated areas by his service as an Alternate Member on LAFCO.
Upon motion by Aleshire, seconded by Haskell and unanimously carried, the Board approved casting the District’s vote for Alternate LAFCO Special District Member Position for John Ingalls of Santa Fe Irrigation District.
3. Status Report on the Pulse Irrigation Research Project:
General Manager Arant reviewed that the Board had approved a $5,000 donation to the University of California Cooperative Extension in support of avocado irrigation research. Confirmation of its receipt has been received by the Division of Agriculture and Natural Resources and the funds will be used to advance the UC Cooperative Extension’s Pulse Irrigation Research Project.
Mr. Blaine Vice of Satellite Irrigation Systems provided an update on the Pulse Irrigation Research project in which probes have been installed in a Valley Center avocado grove to evaluate the soil moisture monitoring technology. The probes are at varying depths of 4”, 8” and 12”. It is felt that a better understanding of the soil moisture in the avocado’s root-zone will take the guess work out of irrigation applications. The Satellite Irrigation Systems’ soil moisture sensors detect moisture levels in the soil and send a signal to a satellite which can be downloaded to a grower’s computer. The data collected on the soil’s moisture and monitoring the condition of the trees will provide the knowledge for efficient watering schedules and potentially a reduction of wasting water by avoiding applying the water for a period of time that the water is pushed below the feeder roots, as 85%-90% of the avocado root length is located in the upper 8-inch of the soil profile, which are mostly feeder roots. A theory being tested is that because of avocados’ root distribution, soil moisture is extracted in the upper soil root zone first, leaving plentiful moisture in the lower soil root zone.
It is planned in the near future to move the probes to other avocado trees for a comparison of data and, if there are consistent results, to then install soil moisture probes in an avocado grove on a pulse irrigation system that will be guided by the soil moisture sensors. Another set of trees will receive the typical grower’s irrigation. Through these studies and the data from installed soil moisture sensors, growers will have available information to maximize the efficient use of water for avocado groves.
4. Review of Modifications to the Live Oak Ranch Development Project and Request for Concept Approval:
Concept approval of the Live Oak Ranch Subdivision had been granted by the Board in 1998 for the project’s water distribution system and wastewater collection, treatment and disposal systems. In 1999, the County of San Diego approved the project and approval for submittal of a Report of Waste Discharge was issued by the District in 2000. The project became inactive following the aforementioned activity, but is now reactivated with new owners who are required to obtain concept approval for the development’s water and sewer facilities to address incorporated modifications.
Engineer Consultant Jewell presented to the Board the conceptual design of the Live Oak Ranch Development which consists of 141 homes on approximately 300 acres along Cobb Lane between Valley Center Road and the District’s Cobb Reservoir. The following facilities will be designed and constructed for the project:
• Water distribution system will total approximately 25,000 feet of 8”, 12” and 16” of pipeline installed in the subdivision roads connecting to District mains in Cobb Lane, Valley Center Road, Cool Water Ranch Lane and a looping line toward Lake Wohlford Road.
• Hydro-pneumatic pump system will serve properties that cannot be serviced directly from the nearby Cobb Reservoir which will be sized to serve a larger area. A reimbursement agreement will be prepared for the nearby properties that could benefit from the higher pressure water in the hydro-pneumatic system.
• A wastewater treatment facility will be constructed with a Membrane Biological Reactor process for treatment of the influent to full Title 22 standards for disposal as an inland irrigator. The plant would have a design capacity of 37,000 gallons per day with the recycled water system consisting of approximately 5,000 feet of 6-inch pipe. The seasonal storage requirement is 3.11 MG. A gravity sewer collection system for each residential lot is proposed consisting of approximately 21,000 feet of 8-inch sewer line.
The District’s financial participation is proposed for certain facilities and a financial participation agreement will be executed prior to approval of the final plans and specifications. The following principals to determine the District’s participation were recommended:
• Developer is responsible for 100% of costs of facilities required to meet the demands of the development
• Developer is responsible for 100% of the cost of relocating facilities that are interfered with by the development’s improvements
• Developer is responsible for 100% of costs to relocate facilities that do not end up in normal locations in roads or adequate easement locations
• District is responsible for the estimated cost of increasing the size of developer responsible facilities
• District is responsible for 100% of the cost of facilities not required by the development
Upon motion by Aleshire, seconded by Stone and unanimously carried, concept approval for the Live Oak Ranch Development Project as modified and described in the Preliminary Design Reports for the Water Distribution System and the Wastewater Collection, Treatment and Disposal Systems was granted.
5. Authorization to Execute Letter of Intent Re: Purchase of Water from Poseidon Resources:
A presentation on the proposed City of Carlsbad-Poseidon Resources Seawater Desalination Project had been given at the June 6th Board meeting. Negotiations between the San Diego County Water Authority and Poseidon Resources Corporation, the leaseholder of the desalination facilities site at the Encina Power
Station, are continuing. The desalination project is a proposed 56,000 ac. ft. per year seawater desalination project which represents an 8% increase in the county’s water supply.
A non-binding letter of intent with Poseidon Resources for the District to purchase a portion of the output from the desalination facility (8,500 ac. ft.) and diversify its water supply was presented for the Board’s review, which includes the following elements and is attached hereto as Exhibit “A”:
▪ Poseidon would provide the District with a specified quantity and reliability of supply through a mutually acceptable exchange agreement.
▪ The exchange water delivered to the district will be treated as independently owned local water for purposes of the Metropolitan Water District of Southern California and the San Diego County Water Authority’s water allocation rules (except Metropolitan’s Interim Agricultural Water Program such that our access to IAWP supplies is not reduced).
▪ Poseidon would assume the risk of development, permitting, financing, construction and operation of the project.
▪ District would only pay for the water available to be delivered in accordance with predetermined specifications and the price of the water would be no more than that of the imported water supply from Metropolitan and the San Diego County Water Authority.
▪ Agreement for the purchase of water from Poseidon Resources Corporation shall obligate Poseidon and any successor in interest, whether through bankruptcy, foreclosure or sale.
Mr. Peter MacLaggan of Poseidon Resources reported that Metropolitan gave conceptual approval to the contracts that will provide a subsidy for the water produced through the Carlsbad Seawater Desalination program. In this manner, the price for the desal. water will not exceed the cost of imported water from Metropolitan and the San Diego County Water Authority.
Upon motion by Aleshire, seconded by Polito and unanimously carried, the Board authorized the General Manager to execute the non-binding letter of intent to purchase water from Poseidon Resources Corporation.
6. Report on Year-end Fiscal Year 2004-05 Strategic Plan Performance Measurements on Water Service Reliability and Customer Service Satisfaction and the Strategic Plan Specific Goals and Budget Objectives:
General Manager Arant reviewed the year-end Strategic Plan Performance Measurements for its Customer Service Satisfaction Program and Water Service Reliability performance for Fiscal Year 2004-05 as well as the Specific Goals and Budget Objectives for FY 2004-05, as summarized below.
▪ Water Service Reliability – The performance measurement standard for water service reliability is that it shall be greater than 99%. For the year ended June 30, 2005, 1,077 customers were impacted with a total of 6,691 hours of service interruption. With a total of 8,760 service hours for each impacted customer per year, the average reliability factor is 99.3% for customers experiencing an outage. The District’s overall water reliability factor was 99.991% for the fiscal year considering an average of 8,384 active accounts with a total of 73,443,840 service hours.
▪ Customer Service Satisfaction – 180 customers were forwarded customer comment cards who had had some form of service contact with the District. Of the cards returned, the five service categories were rated:
Exceeded Expectations – 67%
Met Expectations – 30%
Did Not Meet Expectations – 3%
For the year ended June 30, 2005, the customer service response was a 96.8% rating for the responses of “Met Expectations” or “Exceeded Expectations”. A number of subjective comments were included on the response cards from our customers with the majority being very complimentary of the District’s staff and services. In response to negative ratings, an investigation was undertaken, corrective action implemented and the customers received a detailed letter of explanation. The response from our customers indicates that we continue to maintain a very high level of customer satisfaction.
▪ Strategic Plan Specific Goals and Budget Objectives, Year-End Report – As of June 30, 2005, the status of the 59 identified projects, tasks and programs were: 33 completed, 19 underway and nearly complete, 2 are under the control of an outside agency or party, and 5 are multi-year projects. As such, 88% of the 59 active projects for FY 2004-05 were completed or underway and near completion.
7. Strategic Plan Specific Goals and Budget Objectives for Fiscal Year 2005-06:
The Strategic Plan Specific Goals and Budget Objectives for Fiscal Year 2005-06 were presented for review and approval. Fifty-nine projects or tasks are listed of which 52 are anticipated to be completed in the current fiscal year, with 3 projects controlled by other agencies or parties and 4 being multi-year projects.
Upon motion by Aleshire, seconded by Polito and unanimously carried, the Fiscal Year 2005-06 Strategic Plan Specific Goals and Budget Objectives were approved.
8. Concept Approval to Modify Exchange Service Agreement with Rincon
del
Diablo for the Innovative Communities Project:
Concept approval for modification of the exchange water service agreement between the District and the Rincon del Diablo M.W.D. to serve the proposed 34 lot Innovative Communities development located in the exchange service area was requested. District Engineer Grabbe explained that the approximately 17 acre development is in the City of Escondido, the Rincon del Diablo M.W.D.’s service area and the exchange service area between the District and Rincon del Diablo M.W.D. Approval of this request will complete service to all parcels within the exchange service agreement approved in April 1961 and amended on September 1, 2004.
A review of the proposed development’s water needs indicates that water system improvements, both onsite and offsite, will be required. Therefore, the following was proposed:
~ Develop another source of flow to maintain service reliability and quality such as upgrading the PRV at the Jesmond Dene Reservoir. This improvement would provide a secondary feed into the Jesmond Dene Zone under peak flow or sustained fire flow conditions.
~ That the District retains the meter service capacity fees collected from the Innovative Communities Development and the funds will be used to upgrade the PRV at the Jesmond Dene Reservoir and other improvements at the Jesmond Dene Pumping Station.
Upon motion by Aleshire, seconded by Haskell and unanimously carried, concept approval to provide water service to the proposed Innovative Communities Project per the Exchange Service Agreement between the District and Rincon del Diablo M.W.D. was approved with the District retaining the water meter capacity fees collected for water service to this development.
9. Approval of Purchase Order for the Purchase of a Track Loader:
Director of Operations Hoyle requested approval of Purchase Order No. 16273 to Hawthorne Machinery Co. for the purchase of a track loader in the amount of $119,850.33, including tax. Quotes had been solicited for the track loader which had been approved in the 2005-06 budget and Hawthorne Machinery Co. submitted the lowest bid.
Upon motion by Polito, seconded by Stone and unanimously carried, Purchase Order No. 16273 to Hawthorne Machinery Co. in the amount of $119,850.33 for the purchase of a track loader was approved.
GENERAL MANAGER’S AGENDA
10. Review of Miscellaneous Informational Items:
• ACWA Programs – ACWA Regions 8, 9 and 10 are sponsoring programs to be held at the Laguna Cliffs Marriott Resort in Dana Point on “ACWA’s Solar Partnerships” and “Desal. – Fact or Fantasy?”. They will be held on September 14th (Solar) and September 15th (Desal.).
• ACWA Region 10 Vice Chair Nomination – It was announced that Director Aleshire has been nominated as Vice Chair of Region 10 for 2006 and 2007. Saundra Jacobs of the Santa Margarita Water District has been nominated to serve as Region 10 Chair.
GENERAL COUNSEL’S AGENDA
11. Lawsuit Filed to Halt the Lining of the
All-American
Canal
:
A lawsuit has been filed in the U.S. federal court by a coalition of U.S. and Mexican groups challenging the lining of 23 miles of the All-American Canal. The suit was filed against the U.S. Department of the Interior, the agency that owns the All-American Canal. The canal lining project is part of the Quantification Settlement Agreement and Imperial Irrigation District Water Transfer Agreement with the water saved to be transferred to San Diego. Farmers in the Mexicali Valley who have relied on seepage from the All-American Canal to irrigate their crops say the lining project would cause irreversible damage. The lawsuit also claims the project would harm wildlife on both sides of the border by drying up Mexican wetlands fed by the canal’s seepage. Two environmental organizations, Citizens United for Resources and the Environment (CURE) and Desert Citizens Against Pollution, are participating in the legal action.
BOARD OF DIRECTORS’ AGENDA
12. ACWA/JPIA Member Satisfaction Survey:
Director Aleshire reported that ACWA and ACWA/JPIA conducted surveys of its member agencies to ascertain their level of service ratings and a comparison of service levels by other associations. The findings of the ACWA/JPIA survey indicate that the members’ most challenging issue is cost affordability of insurance. ACWA/JPIA received very favorable results on its overall performance and services.
13. ACWA Board of Directors Meeting:
At the July 29th ACWA Board of Directors meeting, the Acting Director of the California Bay-Delta Water Authority, Joe Grindstaff, provided an update on the CAL-Fed Program. Accomplishments noted were:
- Water supply has increased by 574,000 ac. ft.
- The salmon run on the Sacramento River is the best since the 1950s
- Work on 700 miles of the Bay-Delta’s 1100 miles of levees has been
completed
- 1 MAF has been established in an environmental water account
- Water quality has improved
Mr. Grindstaff reported that there will be a through-delta decision by December 2007, but the surface storage planning study was not completed due to insufficient funds.
ADJOURNMENT
14. Upon motion by Polito, seconded by Haskell and unanimously carried, the meeting was adjourned at
4:39 p.m.
ATTEST: ATTEST:
____________________________ _______________________________
President Secretary