minutes

Regular Meeting

Governing Board of Sweetwater Authority

December 19, 2005

The Governing Board of Sweetwater Authority held an adjourned regular meeting on Monday, December 19, 2005, at the Sweetwater Authority Administrative Office, 505 Garrett Avenue, Chula Vista, California. Chair Pocklington called the meeting to order at 3:30 p.m.

· ROLL CALL

Directors Present: Alkire, Beauchamp, Doud, Pocklington, Salas and Welsh.

Directors Absent: Morrison

Others Present: General Manager Bostad, Operations Manager Rogers, Legal Counsel Strand, and Board Secretary Schoonderwoerd. Staff members, Cruz Aschenbrener, Pete Famolaro, Debra Farrow, Hank Gaus, Kevin Kasner, Sue King, Bill Olson, Gary Patterson, Jim Smyth, Don Thomson, Joe Orsini, Tom Woodrum, and Dina Yorba.

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

· OPPORTUNITY FOR PUBLIC COMMENT (Government Code Section (54954.3)
Chair Pocklington stated that every Christmas Treasurer Wanda Avery brought a box of candy to the Board. Wanda’s daughter, Elaine Lohnes, was present today, and he invited her up to say a few words. Ms. Lohnes said that her mother always enjoyed these Board meetings and the companionship and good work accomplished. Wanda believed it was one of the best water systems in the state, and it was a major part of her life. Ms. Lohnes said she wanted to bring a box of candy for the Board to share one more time for her mother. Director Welsh recalled her last visit with Wanda and meeting her grandson, Ms. Lohnes’ son, who had flown in from New Zealand where he was working on the movie, King Kong. Chair Pocklington thanked Ms. Lohnes for attending today and bringing Wanda’s traditional box of candy and said that she will be missed.

· CHAIR’S PRESENTATION
There was none.

ACTION CALENDAR ITEMS

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 ITEMS TO BE ADDED, WITHDRAWN, OR REORDERED IN THE AGENDA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

2. ADOPTION OF RESOLUTIONS RECOGNIZING RETIRING EMPLOYEES FOR SERVICE TO SWEETWATER AUTHORITY

A. Upon a motion made by Director Doud, seconded by Director Pocklington, the following Resolution:

RESOLUTION 05-20

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY RECOGNIZING GARY PATTERSON FOR HIS SERVICE AS PUMP OPERATOR II

was passed and adopted by the following vote to wit:

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

B. Upon a motion made by Director Doud, seconded by Director Pocklington, the following Resolution:

RESOLUTION 05-21

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY RECOGNIZING HANK GAUS FOR HIS SERVICE AS DIRECTOR OF FINANCE

was passed and adopted by the following vote to wit:

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

C. Upon a motion made by Director Doud, seconded by Director Pocklington, the following Resolution:

RESOLUTION 05-22

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY RECOGNIZING CRUZ ASCHENBRENER FOR HER SERVICE AS BUYER III

was passed and adopted by the following vote to wit:

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

D. Upon a motion made by Director Doud, seconded by Director Pocklington, the following Resolution:

RESOLUTION 05-23

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY RECOGNIZING JOE ORSINI FOR HIS SERVICE AS FIELD CREW SUPERVISOR II

was passed and adopted by the following vote to wit:

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

Operations Manager Rogers gave a brief work history for each employee as they received their resolution from Chair Pocklington and were congratulated by the Board.

NOTE: Director Morrison entered the meeting at 3:37 p.m.

3. APPROVAL OF MINUTES

Director Salas made a motion, seconded by Director Alkire, that the Governing Board approve the minutes of the November 23, 2005 meeting. The motion carried.

4. APPROVAL OF DEMANDS AND WARRANTS

Director Doud made a motion, seconded by Director Beauchamp, that the Governing Board approve Warrants 102949 through 103254, including all voided checks. The motion carried.

5. COMMUNICATIONS COMMITTEE (Meeting of November 28, 2005)

A. Director Welsh made a motion, seconded by Director Beauchamp, that the Governing Board approve a contribution of $1,000 to ACWA for the production of Huell Howser’s “California’s Water” series for public television. Director Doud suggested a contribution of $1,100, which would be greater than the average contribution of most agencies.

After a brief discussion, Director Welsh amended her motion, which was seconded by Director Beauchamp, that the Governing Board approve a contribution of $1,100 to ACWA for the production of Huell Howser’s “California’s Water” series for public television. The motion carried.

B. Discussion and review of activities pertaining to the ceremony for the historic landmark designation of Sweetwater Dam by the American Society of Civil Engineers (ASCE). This was an information item, and no action was required by the Governing Board.

C. Discussion of possible joint press release/press conference with the City of National City to recognize the completed construction of a significant new water main on Highland Avenue. This was an information item, and no action was required by the Governing Board.

D. Discussion and consideration of annual advertising campaigns. This was an information item, and no action was required by the Governing Board.

E. Report on Sweetwater Authority’s community booth, information materials, and promotional items. Director Welsh commented that visitors to the booths seem to be more interested in water quality than water conservation, and perhaps that could be presented in layman’s terms at the Authority’s booths. Director Beauchamp inquired about the status of the bumper stickers the Authority was going to use on its vehicles. Director Doud presented dye tablets that can be used in toilet tanks to detect leaks as a possible promotional item at future events. This was an information item, and no action was required by the Governing Board.

6. FINANCE AND PERSONNEL COMMITTEE (Meeting of December 5, 2005)

A. Director Welsh made a motion, seconded by Director Doud, that the Governing Board approve the 2006 membership renewal in the California Special Districts Association and the payment of dues in the amount of $500. The motion carried.

B. Director Welsh made a motion, seconded by Director Beauchamp, that the Governing Board approve the 2006 membership renewal in the Association of California Water Agencies and the payment of dues in the amount of $14,790. The motion carried.

C. Director Welsh made a motion, seconded by Director Doud, that the Governing Board approve the 2006 membership renewal in the Water Education Foundation and the payment of dues in the amount of $2,084. The motion carried.

D. Consideration of proposed changes to Sweetwater Authority Rates and Rules and Supplement to Rates and Rules for 2006. General Manager Bostad reported that legal counsel advised the adoption of one resolution to amend the Authority’s Rates and Rules for 2006 and the adoption of another resolution, with the Supplement to Rates and Rules 2006 as Exhibit A, to memorialize the January 1, 2006 rate increase, which was approved as part of the 2005-06 budgeting process.

Upon a motion made by Director Welsh, seconded by Director Doud, the following resolution:

RESOLUTION 05-26

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY
AMENDING RATES AND RULES

was passed and adopted by the following vote to wit:

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

E. Director Welsh made a motion, seconded by Director Doud, that the Governing Board approve the reclassification of the Training Coordinator to Program Supervisor; the Safety, Security and Risk Administrator to Safety Coordinator; and the creation of a new position of Security Specialist; and that funding in the amount of $28,656 for these positions be transferred from the Unallocated Reserve Fund. The motion carried.

7. OPERATIONS COMMITTEE (Meeting of December 7, 2005)

A. Director Doud made a motion, seconded by Director Beauchamp, that the Governing Board approve support for the City of San Diego’s Water Reuse Study, and that staff submit a letter of support to the City, with appropriate modifications. The motion carried.

B. Director Doud made a motion, seconded by Director Welsh, that the Governing Board approve a temporary service from Otay Water District to the Franklin property; two remote service connections to the water main in Bonita Meadows Lane for the Thompson and Caltrans properties; and that the property owners be responsible for paying all fees and installation costs and obtaining encroachment permits or easements, as applicable. The motion carried.

8. NEW BUSINESS

A. Upon a motion made by Director Pocklington, seconded by Director Welsh, the following Resolution:

RESOLUTION 05-24

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY
ADOPTING WATER RATES FOR THE FISCAL YEAR 2005-2006

was passed and adopted by the following vote to wit:

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

B. Upon a motion made by Director Pocklington, seconded by Director Salas, the following Resolution appointing Rita Schoonderwoerd as Secretary, Dennis Bostad as Treasurer, and Debra Farrow as Treasurer Delegatee:

RESOLUTION 05-25

RESOLUTION OF THE GOVERNING BOARD OF SWEETWATER AUTHORITY
APPOINTING THE SECRETARY AND TREASURER FOR 2006 AND 2007

was passed and adopted by the following vote to wit:

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

C. Appointment of Ad Hoc Committee for Water Sales and Services. Chair Pocklington appointed Directors Salas and Morrison and himself to the Ad Hoc Committee on Water Sales and Services. No action was required by the Governing Board.

D. Request for volunteers for Chair’s appointments to represent Board at events of Bonita Business and Professional Association; National City Chamber of Commerce; Chula Vista Chamber of Commerce and First Friday Breakfast; and South County Economic Development Council. Chair Pocklington requested that the directors turn in their volunteer preference lists to the Secretary. He will review the list and announce his selection through staff. Director Alkire inquired about Board representation on ACWA Region 10, which has been unrepresented since Director Wolniewicz’s passing. Staff will look into this. No action was required by the Governing Board.

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

Chair Pocklington reported that the CWA Board met on December 8th to vote on 19 items, all of which passed unanimously. Six of the items dealt with Engineering and Operations, capital improvements and infrastructure. Three closed sessions were held. One closed session dealt with the lining of the canals in Imperial County, and progress is being made in that area. The second closed session dealt with the desal plant in Carlsbad, and they hoped to have a conclusion to that in a couple of months. The third closed session dealt with some socio-economic problems in the Imperial Water District.

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

A. Director Welsh made a motion, seconded by Director Alkire, that the Governing Board approve per diem for Directors Pocklington, Salas, and Doud, who attended the briefing of Senator Denise Ducheny on December 5, 2005. The motion carried.

B. Water Agencies Association of San Diego County Quarterly Dinner Meeting – Thursday, January 19, 2006, at Stoneridge Country Club – “Water for the People” with Ms. Uzi Daniel and Mr. Larry Gardner as keynote speakers. All Directors except Director Salas will attend this event. No action was required by the Governing Board.

C. Director Doud made a motion, seconded by Director Alkire, that the Governing Board approve per diem for Directors who wish to attend the CLE International – California Wetlands Conference – January 26-27, 2006, Coronado Island Marriott Resort, San Diego. The motion carried.

11. REPORTS BY DIRECTORS ON EVENTS ATTENDED

Director Welsh reported on the CLE Conference on the Endangered Species Act and Habitat Conservation Planning she attended in San Francisco on December 12th and 13th. She noted presentations on the Endangered Species Act and the Economic Perspectives on Habitat Conservation. She also remarked about an interesting panel discussion related to the maintenance of critical habitat and the different interpretations of what preservation guarantees. She particularly appreciated the economic perspective viewpoint of one presenter from the National Resources Defense Council, who said that we should use the word “intrinsic value.” She spoke with Michael Beck from the Endangered Habitat League in San Diego and appreciated his comments. She also spoke with Eric Larsen who is with the Farm Bureau and gave a very interesting talk about the difference between San Diego County’s farming activities and those in the Central Valley.

Director Doud reported on the one-day California Special Districts Staying in Compliance Conference he attended in Sacramento on December 14th, which featured updates and clarifications to the Brown Act, the Public Records Act, and Conflict of Interest law. He mentioned that the limit for sources of gifts in 2005 is $340, and this limit is increased every two years. He also noted that violations of Government Code Section 1090 are a felony, and Counsel Strand added that you may not hold public office again if there is a violation of that code.

Chair Pocklington reported on the tour with Senator Ducheny and the boat trip on the reservoir. He said it is wonderful to connect with our elected officials, and we were able to do that with Senator Ducheny before she went to Sacramento and that has meant big dividends for us and the ability for our Manager to work with her and her staff.

12. BUDGET REPORT – DIRECTOR OF FINANCE GAUS
Report as of November 30, 2005 (Revenue only)

Director of Finance Gaus stated that a partial report on revenue only would be given because the Board meeting date was moved up before all the expenses could be closed out, and the remainder of the report would be given in January. Water Sales were $264,307 ahead of projection. Other Income is over budget by $1,600,590. This is primarily due to efforts on the part of Engineering staff to obtain $1.5 million as a partial payment from Caltrans earlier than expected. In the future, this budgeted amount will be modified to reflect these funds. Interest Income is $214,421 better than was anticipated. Mr. Gaus thanked the Board for putting up with him for the last 16 and one-half years as the Director of Finance.

13. MANAGEMENT REPORT

A. Report of Operations Manager Rogers: Mr. Rogers noted a photo of the Reynolds Desalination Plant on the Board Room computer screen showing the 12 extra vessels approved by the Board at a cost of $100,000, which will take the maximum capacity from four million gallons per day to five million gallons per day. Well No. 6 is ready to go pending the permit from the Department of Health Services, and staff is trying to obtain an interim permit so we can get the water to the plant.

B. Report of General Manager Bostad: Mr. Bostad displayed some photos of the tour with Senator Ducheny taken by Chair Pocklington. The tour was conducted in the early evening, which was a nice time to show our operations, groundwater facilities, surface supply, and the reservoir. The Senator was quite interested in our endangered species. Copies of the photos have been sent to the Senator.

14. DIRECTORS’ COMMENTS

Director Salas said she attended her first SARA Holiday Party, and it was obvious from the great time everyone was having that staff put in a lot of work and planning to make it a very successful event. She was happy to have the opportunity to interact with a lot of the staff one on one, which she had not had the opportunity to do before.

Director Alkire said he enjoyed his cruise very much.

Director Doud said the Old Farmer’s Almanac for 2006 predicts that by the year 2020 it will be possible for urban houses to have a room designed for and dedicated to producing a household’s entire water supply. It also predicts that rainfall in the Pacific Southwest will be below normal.

Director Beauchamp said he was looking forward to a party they were having tonight, and he wished everyone Seasons Greetings. He was going to be traveling to Colorado to join his wife and two daughters in Fort Collins. He said next year we will move forward with a very positive agenda with great leadership.

Counsel Strand wished everyone a happy holiday and said it is always a pleasure being here. She attends the South Bay meetings on a regular basis, and thanked the Board for letting her join the Sweetwater meeting today.

The Board Secretary said she is appreciative of the opportunity to serve the Board and that she would do her best in the job.

Director Pocklington said his first year as Chairman has gone by rapidly and that we have done a lot this past year. He said we have to thank each other that we are working together so nicely and accomplishing things. He wished everyone a very blessed Christmas and a very happy new year.

15. CLOSED SESSION

There was no need for one.

16. ADJOURNMENT

With no further business before the Board, Chair Pocklington adjourned the meeting at 4:45 p.m., to the hour of 6:00 p.m. on January 11, 2006.