minutes

Regular Meeting

Governing Board of Sweetwater Authority

April 25, 2007

The Governing Board of Sweetwater Authority held a regular meeting on Wednesday, April 25, 2007, at the Sweetwater Authority Administrative Office, 505 Garrett Avenue, Chula Vista, California. Chair Beauchamp called the meeting to order at 2:30 p.m.

• ROLL CALL

Directors Present: Alkire, Beauchamp, Morrison*, Pocklington, Thomas and Welsh

Directors Absent: Doud

Others Present: General Manager/Treasurer Bostad, Operations Manager Rogers, Legal Counsel Cowett*, Treasurer Delegatee Farrow, and Board Secretary Schoonderwoerd. Staff members: Rick Alexander, Cynthia Berndt, Janet Gonzalez, Bill Olson, George Silva, Jim Smyth, Don Thomson, and Tom Woodrum. Others: Lin Wurbs

• PLEDGE OF ALLEGIANCE TO THE FLAG
Director Thomas conducted the pledge of allegiance to the flag.

*NOTE: Director Morrison entered the meeting at 2:32 p.m.

• OPPORTUNITY FOR PUBLIC COMMENT (Government Code Section (54954.3)
There were no members of the public present.

• CHAIR’S PRESENTATION

A. Employee Service Awards

Operations Manager Rogers introduced, and Chair Beauchamp presented service awards to the following employees: for five years of service – Aaron Elwood, Utility Worker I; and Sue King, Communications Coordinator; for ten years of service – Ralph Beaty, Information Systems Network Analyst; for 15 years of service – Angela Bernal, Sr. Human Resources Analyst; and for 20 years of service – Mark Molsberry, Superintendent of Construction. Troy Murphree, Sr. Planner, was not present to receive a 15-year award.

B. Introduction of New Employees

Operations Manager Rogers introduced the following new employees hired in the last six months: Rick De Leon, Utility Worker I; Maria Palmore, Jr. Accountant; Monica Musaraca, Customer Service Representative II; and Jason Burgos, Customer Service Representative II.

At 2:40 p.m. Chair Beauchamp called a ten-minute recess for coffee and cake with the recognized employees. The meeting was called back to order at 2:53 p.m. with all members of the Board in attendance.

*NOTE: Mr. Cowett entered the meeting at 2:50 p.m.

ACTION CALENDAR ITEMS

1. ITEMS TO BE ADDED, WITHDRAWN, OR REORDERED IN THE AGENDA

Director Thomas made a motion, seconded by Director Welsh, that the request for per diem for attendance at the First Friday meeting of May 4, 2007, be added to the agenda as Item 7.J. The motion carried.

2. APPROVAL OF MINUTES

Director Pocklington made a motion, seconded by Director Alkire that the Governing Board approve the minutes of the April 11, 2007 meeting. The motion carried.

3. APPROVAL OF DEMANDS AND WARRANTS

Director Thomas made a motion, seconded by Director Morrison, that the Governing Board approve Warrants 109603 through 109784 including all voided checks. The motion carried.

4. FINANCE AND PERSONNEL COMMITTEE (Meeting of April 16, 2007)

A. Director Welsh made a motion, seconded by Director Pocklington, that the Governing Board approve a contribution of $1,000 to ACWA for the second production of the California’s Water series hosted by Huell Howser for public television; and the purchase of three sets of volume one of the series at a cost of $75, plus shipping costs, for distribution to the three main libraries in the Authority’s service area. At Director Thomas’s request, ACWA will be contacted to recommend closed captioning of the series. ACWA staff will also be contacted about the possibility of making live stream video available on the ACWA website. General Manager Bostad stated that Directors would be able to check out a copy of volume one from the Communications Section. The motion carried.

B. Director Welsh made a motion seconded by Director Thomas, that the Governing Board approve the new membership in the Local Government Commission and payment of dues in the amount of $600. The motion carried.

C. Director Pocklington made a motion seconded by Director Welsh, that the Governing Board approve a one-time contribution of $750 in support of the ACWA Water Law and Policy Scholarship. The motion carried.

5. NEW BUSINESS

Upon a motion made by Director Pocklington, seconded by Director Alkire, the following resolution:

RESOLUTION 07-09

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY PROCLAIMING NATIONAL PUBLIC WORKS WEEK, MAY 20-26, 2007

was passed and adopted by the following vote to wit:

Ayes: Directors Alkire, Beauchamp, Morrison, Pocklington, Thomas, and Welsh
Noes: None
Absent: Director Doud
Abstain: None

Director Welsh made a motion, seconded by Director Morrison, that the Governing Board direct its ACWA/JPIA Director to cast votes for Merle Aleshire, Valley Center Municipal Water District, and Charles Muse, Helix Water District in the ACWA/JPIA Executive Committee Member elections to be held during the ACWA Spring Conference in Sacramento. The motion carried.

6. REPORT OF THE SOUTH BAY IRRIGATION DISTRICT REPRESENTATIVE AND THE
CITY OF NATIONAL CITY REPRESENTATIVE TO THE SAN DIEGO COUNTY WATER
AUTHORITY

Director Pocklington gave an overview of the agenda items for the April 26th CWA Board meeting. The Board will consider funding and service agreement issues related to the Mission Groundwater Basin and the Oceanside Groundwater Storage and Recovery Project. A public hearing will be held on the adoption of CWA’s Updated 2005 Urban Water Management Plan, which involves adding the desalination projects under Poseidon Resources and 40,000 acre-feet of water. Director Morrison reported that in addition to considering its stand on various legislative issues, the Board would consider adopting a list of priority projects and policy principles for a 2008 water bond. He added that the legislature seems to be reluctant to go ahead with anything that involves above-ground water storage, so the idea is to bring it forward to the public in the form of an initiative. He believes that, since we are going to continue into a drought year, this would be the time to go after a real water bond. He believes ACWA should be the entity taking the lead on this. Director Pocklington continued by reporting that the Board will consider a $14 million construction contract for the relining of Pipeline 4 from Paint Mountain to Del Dios Highway. There will be an update on the 2007 Metropolitan Water District Supply Assessment; a report on participation in the MWD Water Management Program Incentive Contracts; and an update on various Colorado River programs. A presentation of Science Fair award winners will take place at 3:15 p.m.

7. APPROVAL OF DIRECTORS’ ATTENDANCE AT MEETINGS AND FUTURE AGENDA
ITEMS

A. Director Pocklington made a motion, seconded by Director Welsh, that the Governing Board approve per diem for Director Beauchamp’s attendance at the South Bay Irrigation District meeting of April 16, 2007 – Program: ACWA/JPIA Update Briefing. The motion carried.

B. Dinner co-hosted by Orrick Herrington & Sutcliffe LLP, and Sutter Securities Incorporated, in conjunction with the ACWA Spring Conference in Sacramento – Wednesday, May 9, 2007, 6:00 p.m., at The Sutter Club. Directors wishing to attend this event will contact the Secretary. No action was required by the Governing Board.

C. Reception hosted by Best Best & Krieger, in conjunction with the ACWA Spring Conference in Sacramento – Wednesday, May 9, 2007 at 5:30 p.m., at the Best Best & Krieger Sacramento office. Directors wishing to attend this event will contact the Secretary. No action was required by the Governing Board.

D. California Special Districts Association, San Diego Chapter Quarterly Meeting on Thursday, May 17, 2007, at 6:00 p.m. at the DoubleTree Club Hotel – Program: Scholarship Awards Presentation. Directors wishing to attend this preapproved event will contact the Secretary. No action was required by the Governing Board.

E. Water Education Foundation Bay-Delta Tour – June 6-8, 2007. Directors wishing to attend this preapproved event will contact the Secretary. No action was required by the Governing Board.

F. Director Thomas made a motion, seconded by Director Morrison, that the Governing Board approve per diem for Directors wishing to attend the California Water Law & Policy Conference – June 11-12, 2007, Hotel Nikko, San Francisco, California. The motion carried.

G. Western Coalition of Arid States Annual Summer Meeting – June 20-23, 2007, Hyatt Islandia Hotel, San Diego, California. Directors wishing to attend this preapproved event will contact the Secretary. No action was required by the Governing Board.

H. Water Education Foundation Hetch Hetchy Tour – July 11-13, 2007. Directors wishing to be placed on the waiting list for this preapproved event will contact the Secretary. No action was required by the Governing Board.

I. National Water Resources Association 24th Annual Western Water Seminar – July 25-27, 2007, Hyatt Regency, Monterey, California. Directors wishing to attend this pre-approved event will contact the Secretary. No action was required by the Governing Board.

J. Director Thomas made a motion, seconded by Director Welsh, that the Governing Board approve per diem for Directors wishing to attend the First Friday meeting of May 4, 2007 – Program: “San Diego’s Refuge,” presented by Andy Yuen, Project Leader, San Diego National Wildlife Refuge Complex. Directors Thomas and Beauchamp stated their agreement that this presentation would be relevant because of the location of the Authority’s watershed adjacent to the Refuge. Director Morrison stated that, although this is a topic of interest, he had concern with its relevance to water issues. The motion carried with Director Morrison opposing.

8. REPORTS BY DIRECTORS ON EVENTS ATTENDED

Director Thomas attended the Carlsbad Desalination Pilot Facility Reception and Tour on April 13th. She noted how large the group in attendance was, which included the entire project team as well as the group from Spain, and gave highlights of the presentation. She added that the project’s related websites were very useful.

Director Beauchamp reported on the Council of Water Utilities Meeting on April 17th. He stated that the presentation by CalPERS on retirement benefits and related laws was enlightening.

Director Beauchamp attended the National City Chamber of Commerce on April 18th as the alternate representative. The City of National City’s Strategic Plan was presented.

Director Beauchamp reported on the Water Agencies Association Quarterly Meeting of April 19th. He stated that the presentation was on new developments in conservation programs, and it was very educational. Director Pocklington added that it also covered the state’s involvement in setting water rates.

Directors Beauchamp, Doud, and Morrison were present for the Sweetwater Authority Environmental Leader Tour on April 20th. Director Beauchamp remarked that he was glad that National City’s Mayor was able to attend.

Director Pocklington attended the Chula Vista Interagency Water Task Force Meeting on April 23rd along with Director Doud and staff. He reported that Otay Water District provided updates on issues involving relationships with Mexico and various other projects. Director Beauchamp requested that the agendas for future meetings of the Task Force be forwarded to him as well.

Director Thomas attended the Bonita Business and Professional Association meeting on April 24th and reported that Supervisor Greg Cox was the main speaker. He reviewed the County’s accomplishments that have impacted the South Bay and our region, such as eliminating and outsourcing the solid waste issue. She noted that San Diego County is now considered the number three best managed county in the United States. Among the topics covered by Supervisor Cox were updates on the progress of the underground transmission lines on the golf course and the drainage project.

9. BUDGET REPORT – DIRECTOR OF FINANCE FARROW
Report as of March 31, 2007.

Director of Finance Farrow reported that, in the ninth period of the budget year, Water Revenue is $429,000, or 1.6 percent, over budget. She noted that the prorating of bills was completed in February, so this represents a full month of the new rates that became effective in January. Operating expenses are $709,000, or 3.3 percent, over budget. Interest income is right at budget.

10. QUARTERLY REPORT OF DIRECTORS’ EXPENSES 3RD QUARTER FY 2006-07
This was an information item only.

11. MANAGEMENT REPORT

A. Report of Operations Manager Rogers: There was none.

B. Report of General Manager Bostad: General Manager Bostad reported that the Board meeting scheduled for May 9, 2007 has been cancelled due to the conflict with the ACWA conference. He then reviewed the June 2007 calendar with the Board, and it was determined to hold the annual Budget Workshop on Thursday, June 14th at 1:30 p.m.

12. DIRECTORS’ COMMENTS
There were none.

13. CLOSED SESSION
There was none.

14. ADJOURNMENT

With no further business before the Board, Chair Beauchamp adjourned the meeting at 3:44 p.m.