minutes

Regular Meeting

Governing Board of Sweetwater Authority

October 22, 2003

The Governing Board of Sweetwater Authority held a regular meeting on October 22, 2003, at the Sweetwater Authority Administrative Office, 505 Garrett Avenue, Chula Vista, California. Chair Doud called the meeting to order at 3:30 p.m.

· ROLL CALL

Directors Present: Beauchamp, Doud, Pocklington, Reynolds, Welsh, and Wright.

Directors Absent: Inzunza.

Others Present: General Manager Bostad, Operations Manager Rogers, Legal Counsel Cowett, Treasurer Avery, and Board Secretary Farpón-Friedman. Staff members, Hank Gaus, Mary Ann Mann, Bill Olson, George Silva, Jim Smyth, and Tom Woodrum.

· PLEDGE OF ALLEGIANCE TO THE FLAG
Director Reynolds conducted the pledge of allegiance to the flag.

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

· CHAIR 'S PRESENTATION

Chair Doud read the invitation from Best, Best & Krieger at the ACWA Conference. He asked that any board member who wishes to attend let the Secretary know.

· ITEMS TO BE ADDED, WITHDRAWN, OR REORDERED IN THE AGENDA
There were none.

1. APPROVAL OF MINUTES

Director Wright made a motion, seconded by Director Beauchamp, that the Board approve the minutes of the Regular Meetings of September 24, 2003 and October 8, 2003, and the joint meeting of the boards of Padre Dam Municipal Water District, Helix Water District, Otay Water District, Sweetwater Authority, Lakeside District, and Riverview Water District. The motion carried.
2. APPROVAL OF DEMANDS AND WARRANTS

Director Wright made a motion, seconded by Director Welsh, that the Board approve Warrants 91035 through 91229 including all voided checks. The motion carried.

CONSENT CALENDAR ITEMS

3. OPERATIONS COMMITTEE (Meeting of September 17, 2003)

CONSENT ITEMS

Director Welsh made a motion, seconded by Director Doud, that the Governing Board approve consent items A, C and D. Items B and E were information only. The motion carried.

A. Direct staff to develop a written response to the County of San Diego, in accordance with staff's recommendations, including comments regarding the metering of groundwater wells and the implementation of best management practices to protect water quality and maximize water conservation. The Committee also recommends that staff and legal counsel retain a consultant specialized in groundwater hydrology as needed for technical review.

B. California Department of Water Resources, Division of Dam Safety - Proposed fee increase. This was an information item and no action was required by the Governing Board.

NOTE: Director Inzunza entered the meeting at 3:38 p.m.

C. Approve the easement quitclaims from 3553 Evergreen Road, Bonita.

D. Direct staff to proceed with developing a sign for the public faucet.

E. Discussion of backhoe purchase. This was an information item and no action was required by the Governing Board.

ACTION CALENDAR ITEMS

4. ADOPTION OF RESOLUTION

Upon a motion made by Director Wright, seconded by Director Beauchamp, the following Resolution:

RESOLUTION 03-19

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY
IN APPRECIATION FOR THE EFFORTS BY THE SAN DIEGO COUNTY WATER AUTHORITY BOARD OF DIRECTORS AND GENERAL MANAGER MAUREEN STAPLETON TOWARDS THE APPROVAL OF THE COLORADO RIVER QUANTIFICATION SETTLEMENT AGREEMENT (QSA)

was passed and adopted by the following vote, to wit:

Ayes: Directors Beauchamp, Doud, Inzunza, Pocklington,Reynolds, Welsh and Wright
Noes: None
Absent: None
Abstain: None

5. FINANCE AND PERSONEL COMMITTEE (Meeting of October 21, 2003)

A. Review of leak adjustment report for the period July 1, 2003 through September 30, 2003. This was an information item and no action was required by the Governing Board.

B. Director Inzunza made a motion, seconded by Director Pocklington, that the Governing Board approve the award of contract to RDO Equipment Company in the amount of $98,600.00 for the purchase of a backhoe loader. The motion carried.

C. Director Inzunza made a motion, seconded by Director Pocklington, that the Governing Board approve the following vehicle purchase contracts for a total price of $147,335.16: one Ford F250 4x4 truck, two Ford XL Ranger trucks, and one F450 4x5 dump truck from Ken Grody Ford; one Ford F150 bi-fuel super cab truck from Pearson Ford; and one Chevrolet Silverado 1500 truck from Bob Stall Chevrolet. The motion carried.

D. Director Inzunza made a motion, second by Director Pocklington, that the Governing Board approve the changes to the Authority's Policy on Adjustments to Customers' Water Bills including the new Leak Adjustment Request Form. The motion carried.

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

Director Pocklington referred to the schedule of the CWA Committee meetings that had been distributed to directors. He briefed the members of the Board on issues to be discussed at the Board meeting tomorrow under the Water Policy, Fiscal Policy, and Engineering Committees. He reported that MWD had made a decision on fluoride and that the dental association has allowed $1.2 million to upgrade four of the treatment plants.

Mr. Valderrama provided a report on issues regarding the Planning and Environmental Committee and the Administrative and Legal Committee. One of those issues was the Amendment to the Joint Powers Agreement for the Conservation Facility at Cuyamaca. He also referred to the SCOOP Committee and its recommendation to provide statistical analysis regarding minority or women owned contractors that are being hired by the CWA.

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

A. ACWA Workshop "Taking your Strategy to the Next Level" - December 2, 2003, San Diego Marriott Hotel and Marina. Directors Doud, Inzunza, Welsh and Wright will attend this pre-approved event. No action was required by the Governing Board.

B. 2003 ACWA Fall Conference - December 3-5, 2003 - San Diego Marriott Hotel and Marina. All the Directors will attend this pre-approved event. No action was required by the Governing Board.

8. REPORT OF TREASURER - WANDA AVERY

Ms. Avery said there was nothing new to report.

9. BUDGET REPORT - DIRECTOR OF FINANCE GAUS
As of September 31, 2003.

Director of Finance Gaus reported that Water sales are $149,000 less than we had anticipated at this time. Other Income is $51,000 higher that estimated at this time. Interest Income is also higher by $29,000. The Operating Expenses are $165,000 less than what we anticipated. The cash flow from an operating standpoint is approximately $96,000 better than what we planned for this first three-month period.

He also reported on the capital projects by department. He said that we estimated that we would have spent about 16 percent and we have only spent 13 percent so far, and that is why our interest earnings are a little higher than what we projected.

10. MANAGEMENT REPORT

A. Report of Operations Manager Rogers: Mr. Rogers displayed a photograph of students at Hilltop Elementary caring for a drought-tolerant garden. This garden was made possible through a Sweetwater Authority mini grant that is administered by our Communications Section. He pointed out at a plaque outside the garden that says "Thank you Sweetwater Authority."

He reported that as of October 22 Sweetwater Reservoir is 24 percent full and Loveland Reservoir is 29 percent full. As of October 15 we have been taking about 40 cubic feet of water per second per day through the Surface Storage Operating Agreement. We will probably take about 1,000 acre-feet through the end of October. On November 1 the operating agreement starts as a regular program. Because Sweetwater Authority had previously signed a contract, we were the only agency that was able to take water early.

B. Report of General Manager Bostad: General Manager Bostad referred to the monthly report of activities for September 2003 included in the board packet, and offered to answer any questions. Chair Doud inquired about URDS pump back study mentioned in the report. General Manager Bostad said that we have received $250,000 of grant funding from USEPA. We have met with UCLA and some of their graduate students are developing a specific scope of work. The purpose of the study is to develop a better understanding of what is the best way to operate the URDS. This will have value as we discuss the operation of this program with the Regional Water Quality Control Board.

11. REPORT OF CALFED/BAY-DELTA OVERSIGHT COMMITTEE AND NWRA REPRESENTATIVE - DIRECTOR WRIGHT

Director Wright said that he had already provided information on most of the current issues that have transpired with NWRA and CALFED. He will bring some information that he read regarding a new idea on the way that Tampa is going to solve its water problems.

12. DIRECTORS' COMMENTS

Director Reynolds said that he was watching game three of the world series and the commentator made a remark that the New York Yankee payroll was $158 million. This is for about thirty guys that are batting 300 or less and here we have 130 or more employees that are batting 1,000 all the time as far as he is concerned.

Director Wright said that there was a nice write-up about him in the Trickle and he thanked the staff.

Director Pocklington said that we are breaking records every day with not having any rain. He talked to his brother who lives in the state of Washington who told him that they received 5.1 inches of rainfall in one day. He added that if we could get 5 inches in one month, we would be happy.

Director Beauchamp expressed some concerns about the West Nile virus in relation to our reservoirs.
13. CLOSED SESSION

At 4:19 p.m., in compliance with Government Code Section 54957, the Board recessed to convene in Closed Session to discuss Labor issues. All staff members other than the Management Team and Board Secretary left the room. There were no minutes taken, and the session was not tape recorded.

At 4:49 p.m., Chair Doud declared the meeting to be in open session.

Director Pocklington made a motion, seconded by Director Welsh, to direct the preparation of agreements by Legal Counsel to include the provisions approved and bring them back to the Board. The motion carried.

14. ADJOURNMENT

With no further business before the Board, Chair Doud adjourned the meeting at 4:50 p.m., to the hour of 6:00 p.m. on November 10, 2003.