June 18, 2012
VALLEY CENTER MUNICIPAL WATER DISTRICT
Regular Board Meeting
Monday, June 18, 2012
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 Stone. Staff members present were: General Manager Arant, General Counsel de Sousa, District Engineer Grabbe, Director of Finance Jeffrey, Director of Operations Hoyle, Manager of IT Pilve, Manager of Accounting Pugh, Accounting Specialist Serrato, Project Manager Williams, Pumps and Motors Supervisor Rutherford, and Administrative Assistant Wilson. There were no spectators present.
CONSENT CALENDAR
1. Upon motion by Stone, seconded by Polito and unanimously carried, the following consent calendar items were approved:
• Minutes of the Board meeting held June 4, 2012
• Audit demand check numbers 132130 through 132242 for May 25 through June 7, 2012 and wire disbursements for May 2012
• Treasurer’s Report and Financial Statements for period ended April 30, 2012
PUBLIC HEARINGS
2. Public Hearing to Consider Adoption of District-Wide Water Availability Charge for Fiscal Year 2012-13:
President Broomell opened the public hearing to receive input on the proposed District-wide water availability charge for Fiscal Year 2012-13 at 2:01 p.m. Director of Finance Jeffrey explained that the public hearing on continuing the $10.00 per acre/$10 per parcel minimum availability charge is conducted annually to receive written and oral public testimony.
The water availability charge will generate a dedicated source of revenue of approximately $591,000. These funds will be used for revenue debt service ($55,000) and to fund capital improvements ($536,000).
As of the date and time of the public hearing, one letter had been received protesting the water availability charge. There were no comments from the audience.
The public hearing on the proposed Fiscal Year 2012-13 District-wide water availability charge was closed at 2:06 p.m.
Upon motion from Stone, seconded by Polito and unanimously carried, the following Ordinance, entitled:
ORDINANCE NO. 2012-07
ORDINANCE OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
ESTABLISHING WATER AVAILABILITY CHARGES FOR
2012-2013 ON ALL PROPERTY WITHIN THE DISTRICT
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
3. Public Hearing to Consider Adoption of the Annual Woods Valley Sewer Service Charge for Fiscal Year 2012-13:
A public hearing to set the Woods Valley Sewer Service Charge for Fiscal Year 2012-13 was opened at 2:07 p.m. Director of Finance Jeffrey reviewed that the sewer service charge and standby fee are collected on the tax rolls to finance the operation, maintenance and replacement of the Woods Valley Ranch Water Reclamation Facility. Developed property is assessed the sewer service charge and undeveloped property assessed the standby fee. There are currently 254 developed parcels within the Woods Valley sewer service area using a total of 263 EDUs.
The proposed assessment for the Woods Valley Annual Sewer Service Charge is $1,183.20 per EDU or $98.60 per month, generating $311,181.60 of the operating budget. Collection of the sewer service charge through an assessment on the property tax bill is recommended to continue. No protests or comments were received on this issue.
The public hearing to set the Woods Valley Sewer Service Charge for FY 2012-13 was closed at 2:09 p.m.
Upon motion from Aleshire, seconded by Stone and unanimously carried, the following Resolution, entitled:
RESOLUTION NO. 2012-13
RESOLUTION OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
PLACING THE WOODS VALLEY SEWER SERVICE CHARGE ASSESSMENT
FOR 2012-2013 ON PROPERTY WITHIN THE WOODS VALLEY SEWER SERVICE AREA ON THE SAN DIEGO COUNTY SECURED PROPERTY TAX ROLL
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
ACTION AGENDA
4. Resolution to Set the Woods Valley Annual Sewer Standby Fee for Fiscal Year 2012-2013:
Director of Finance Jeffrey reviewed that the sewer standby fee is collected on undeveloped parcels in the Woods Valley sewer service area for the operation, maintenance and replacement of the Woods Valley Ranch Water Reclamation Facility. Undeveloped parcels are assessed to insure the developer and interim builders pay their share of the cost of the sewer operation, including future replacement. There are currently 17 undeveloped parcels at Woods Valley.
The proposed assessment for the Woods Valley Annual Sewer Standby Fee is $1,183.20 per EDU or $98.60 per month, collected annually on the property tax bills.
Upon motion from Polito, seconded by Stone and unanimously carried, the following Resolution, entitled:
RESOLUTION NO. 2012-14
RESOLUTION OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
PLACING THE WOODS VALLEY SEWER STANDBY FEE ASSESSMENT
FOR 2012-2013 ON PROPERTY WITHIN THE WOODS VALLEY SEWER SERVICE AREA ON THE SAN DIEGO COUNTY SECURED PROPERTY TAX ROLL
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
5. Adoption of Fixed Charge Special Assessments for Assessment District 96-1 and Authorization to Lien Parcels for Unpaid Water and Other Services:
Resolution No. 2012-15 was presented for adoption to establish the District’s fixed charge special assessments for Assessment District 96-1 (the Treasurers at Castle Creek) to meet principal and interest obligations on the debt, and authorizing the District to add delinquent and unpaid charges for water and other services to the property taxes for 2012-13 of the property using the water or service.
Director of Finance Jeffrey reported that 20-year limited obligation improvement bonds were sold in February 1997 in lieu of paying wastewater capacity fees for the parcels in Assessment District 96-1. To meet the principal and interest obligations of the debt service, an assessment of $778.04 per parcel for the 200 parcels in the assessment area is required for FY 2012-13.
The Water Code authorizes the district to add delinquent and unpaid charges for water and other services to the property taxes of the property using the water or service. To go on the tax roll, the delinquency must be unpaid for at least 60 days and have had a lien recorded against the property with the County Recorder. Currently, one parcel with a delinquency of $43,345.00 is eligible to go on the tax roll for FY 2012-13.
Upon motion from Stone, seconded by Polito and unanimously carried, the following Resolution, entitled:
RESOLUTION NO. 2012-15
RESOLUTION OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
PLACING FIXED CHARGE SPECIAL ASSESSMENTS FOR 2012-2013
ON PROPERTY WITHIN ASSESSMENT DISTRICT 96-1 AND ON PROPERTY
FOR UNPAID CHARGES FOR WATER AND OTHER SERVICES PURSUANT
TO STREETS AND HIGHWAYS CODE SECTIONS 8680 AND 8682 AND
WATER CODE SECTIONS 72094, 72100, 72102 ON THE
SAN DIEGO COUNTY PROPERTY TAX ROLL
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
6. Adoption of Negative Declaration and Filing of Notice of Determination for the Tyler Pump Station and Country Club Reservoir Solar Projects:
The District proposes to install, operate and maintain two solar power generating facilities within District property at the existing Tyler Pump Station and Country Club Reservoir sites. Project Manager Williams reported that power generated from the Country Club Reservoir site will power the Old Country Club Pump Station and power from Tyler Pump Station will be utilized on site.
The proposed improvements to Tyler Pump Station include a 50kW photovoltaic solar power generating facility with two fixed position panel arrays measuring approximately 95’ by 25’. The Country Club Reservoir site improvements include a 58kW photovoltaic solar power generating facility with five separate panel arrays measuring approximately 80’ x 25’. The arrays will range in height from 2 to 8 feet above the existing ground surface.
In compliance with the California Environmental Quality Act (CEQA) requirements, an initial study was prepared by District staff for both projects. No significant impacts to the environment were identified in the studies. The Notices of Intent to Adopt a Negative Declaration were posted per our local CEQA guidelines, were mailed to nearby property owners and responsible agencies, and have been available for public review at the District office. No comments have been received by staff for either project.
Upon motion from Aleshire, seconded by Stone and unanimously carried, the following Resolution, entitled:
RESOLUTION NO. 2012-16
RESOLUTION OF THE BOARD OF DIRECTORS OF
VALLEY CENTER MUNICIPAL WATER DISTRICT
ADOPTING A NEGATIVE DECLARATION FOR
TYLER PUMP STATION SOLAR PROJECT
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
Upon motion from Polito, seconded by Stone and unanimously carried, the following Resolution, entitled:
RESOLUTION NO. 2012-17
RESOLUTION OF THE BOARD OF DIRECTORS OF
VALLEY CENTER MUNICIPAL WATER DISTRICT
ADOPTING A NEGATIVE DECLARATION FOR
COUNTRY CLUB RESERVOIR SOLAR PROJECT
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
7. Resolution of Compliance with SDCWA Ordinance No. 2011-05 for Participation in Agricultural Pricing Programs:
The San Diego County Water Authority adopted Ordinance No. 2011-05 that outlines member agency requirements to ensure that participating agricultural customers are being allocated the cost benefits and service limitations associated with the IAWP and TSAWR programs. This ordinance was initiated after it came to light in mid-2011 that some SDCWA member agencies participating in the agricultural pricing program were not passing the pricing differential through to their agricultural customers. While this practice violated the spirit and intent of the program, there was no specific requirement that the discount had to be passed through to customers. The ordinance eliminates this practice and imposes certain requirements for agency certification of the intent and methodology for passing through the pricing differential, as well as imposing the associated service curtailments to the participating agricultural customers.
District Staff prepared the following documents to achieve compliance with the SDCWA Ordinance No. 2011-05:
• Letter of Intent to Comply with Ordinance,
• VCMWD Rates and Charges documenting the differential pricing for the ag customer classes,
• Sample billings containing information documenting the differential pricing,
• Method of Imposing MWD IAWP and SDCWA TSAWR service limitations, and
• Resolution 2012-18, formally adopting the methodology for imposing MWD IAWP and SDCWA TSAWR service limitations.
Upon motion from Polito, seconded by Stone and unanimously carried, the following Resolution, entitled:
RESOLUTION NO. 2012-18
RESOLUTION OF THE BOARD OF DIRECTORS OF
THE VALLEY CENTER MUNICIPAL WATER DISTRICT
DOCUMENTING THE METHODOLOGY BY WHICH
IT WILL IMPOSE IAWP AND TSAWR SERVICE LIMITATIONS
ON PARTICIPATING AGRICULTURAL CUSTOMERS
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
GENERAL MANAGER’S AGENDA:
8. Miscellaneous Information Items:
General Manager Arant reported on the following miscellaneous item:
• According to the Status Report, from May of 1994 through April 2012, the District has passed through $101,612,297 in pricing differential to its agricultural customers.
BOARD OF DIRECTOR’S AGENDA
9. Health Benefits Authority (HBA):
Director Aleshire reported that HBA is having issues getting the books balanced and audited prior to the merge with JPIA.
CLOSED SESSIONS
10. Closed sessions were called by President Broomell at 2:49 p.m. pursuant to:
• Government Code §54957(b)(1) – Public Employee Performance Evaluation:
General Manager, and
• Government Code §54957.6 – Conference with Labor Negotiator,
Unrepresented Employee: General Manager
RECONVENE
11. The regular Board of Directors meeting reconvened at 3:30 p.m. There was no reportable action.
12. Employment Agreement with General Manager Effective July 1, 2012:
The Board of Directors completed their annual employee evaluation of the General Manager.
Upon motion by Aleshire, seconded by Stone and unanimously carried, the Amended Employment Agreement with General Manager Gary T. Arant was approved effective July 1, 2012.
ADJOURNMENT
13. Upon motion by Aleshire, seconded by Haskell and unanimously carried, the meeting was adjourned at 3:32 p.m.
ATTEST: ATTEST:
____________________________ _______________________________
President Secretary