MINUTES - FEBRUARY 4, 1997

MINUTES OF A REGULAR MEETING
of the
BOARD OF DIRECTORS OF THE MONTECITO WATER DISTRICT
held at the
DISTRICT BOARD ROOM

583 SAN YSIDRO ROAD, MONTECITO, CALIFORNIA
at 3:00 p.m. on TUESDAY, FEBRUARY 4, 1997

Present:	Directors Abel, Campbell, Muller, Puddicombe, and Wilson
Absent:	None
Also Present:	C. Charles Evans, General Manager/Secretary Chip Wullbrandt, District Counsel Tom Mosby, Engineering Manager Evalyn Kerman, Business Manager Cathy Muneio, Secretary Steve Decker

Steve Decker asked about whether their was an attempt being made to sell water within the County. President Muller stated that the District is looking for someone to purchase the 300 acre feet it inherited from Summerland Water District.

The minutes were removed from the Consent Agenda for discussion. Director Puddicombe made a motion to approve the amended minutes of the January 21, 1997 Board meeting and the minutes of the January 22, 1997 Finance Committee Meeting and Board Workshop. It was seconded by Director Wilson. The motion carried unanimously 4-1-0 with Director Campbell abstaining.

Director Puddicombe moved to approve the consent agenda consisting of the Water Production Report for January, Quarterly Report on Investment Policy, Investment of District Funds, Accounts Receivable write-offs, and the monthly report on the Water Distribution

System and Fire Flow Upgrade Program, Water Availability Charge Funds, and Hydrant Upgrade Program. It was seconded by Director Muller. The motion carried unanimously.

Director Wilson reported that the Montecito Association had discussed putting speed bumps in Montecito.

The Board discussed the status of diversions at Fox and Alder Creeks and reviewed the flow and staff gage data summary at Alder Creek. Director Wilson asked that the chart be improved for ease of understanding and that footnotes be added for explanation.

FOX AND ALDER CREEK DIVERSIONS
APPROPRIATIONS FOR BIOLOGICAL CONSULTANT SERVICES

Director Abel made a motion to approve the adjusted balance of invoices from Trihey and Associates for biological consultant services regarding Fox and Alder Creeks in the amount of $6,744, and to appropriate from the Capital Repair and Replacement Reserve Fund an amount of $24,066 to cover the amount above plus costs in the amount of $17,322 for a portion of this work which was previously approved by the Board and paid by the District. It was seconded by Director Wilson. The motion carried unanimously.

The Board recommended several changes to the Challenge Cost Share Agreement for biological monitoring at Fox and Alder Creeks. Counsel Wullbrandt explained that the purpose of this agreement is to figure out what flows are necessary in order to allow as much diversion as possible and at the same time to protect endangered species. Director Abel made a motion to approve the Challenge cost Share Agreement with the recommended changes with the Operations Committee to review it. The motion was seconded by Director Wilson. The motion carried unanimously.

The Engineering Manager reviewed with the Board the Fox and Alder Creeks Operations and Monitoring Plan. Counsel Wullbrandt discussed with the Board some recommended changes to the Biological Opinion. Director Abel stated a few concerns. After discussion Director Abel made a motion to accept the Operations and Monitoring Plan and that it be reviewed by the Operations Committee and that the committee inform the Board of any concerns. President Muller seconded the motion. The motion carried unanimously.

Director Campbell made a motion to approve the CUWCC Water Agency Annual Report for 1995/96 and the 1996 USBR Annual Report. It was seconded by Director Campbell. The motion carried unanimously.

The Board reviewed the Santa Ynez River Water Project Exchange Agreement Water Accounting. It was stated that if enough people don’t order enough water on the south coast that the District will still be responsible for payment of the 300 acre feet of state water entitlement from Summerland.

The Board continued to the next meeting responses to the letters from Carolee Krieger and Bob Geis regarding Proposition 218. Counsel Wullbrandt reported that there legislation proposed regarding Proposition 218 that would further clarify that the District Water Availability Charge is exempt.

The Engineering Manager explained that work to repair the foundation at Doulton Reservoir was needed. Director Puddicombe made a motion to approve the remedial foundation repair work for Doulton Reservoir as proposed by Ehrenborg Geotechnical Repair, Inc., at a cost not to exceed $30,000, and to appropriate funds in the amount of $30,000 for the completion of this work from the District’s Capital

Repair and Replacement Reserve. It was seconded by Director Campbell. The motion carried unanimously.

The Engineering Manager explained that in order to utilize maximum storage potential at Bella Vista Reservoir a new pump needs to be installed. Director Puddicombe made a motion to approve the retrofit of a submersible pump at Bella Vista Reservoir with a new 10 HP vertical turbine pump, including pipe discharge manifold modifications as proposed by Coast Pump at a cost not to exceed $9,500, and to appropriate funds in the amount of $9,500 for this work from the District’s Capital Repair and Replacement Reserve. The motion was seconded by Director Campbell. The motion carried unanimously.

The General Manager explained that based upon water availability charge funds that will be collected this year, the District would like to proceed with several main replacement projects. Director Campbell made a motion to approve the project schedule for water main replacements to be funded by the 1996/97 Water Availability Charge collected revenues, with project 3 being bid as an add on, so that its construction would be dependent on the bid results and the availability of funds. Director Puddicombe seconded the motion. The motion carried unanimously.

The Business Manager explained that there has not been a great demand for customers to use the installment plan to pay for the Capital Cost Recovery Fee, and due to staff time and expense it does not seem plan to be in the District’s best interest to keep it. Director Puddicombe moved to rescind the current adopted plan to offer installment payment Capital Cost Recovery Fee to new District customers. The motion was seconded by Director Campbell. The motion carried unanimously.

President Muller asked the Board if there was any interest in nominating anyone to be on the Executive Committee of the ACWA/JPIA. No interest was shown at this time.

President Muller said that there was a written report included in the Board packet on the Cachuma seismic work. COMB is negotiating with the USBR on the 15% repayment of this work.

President Muller reported that the Lompoc lawsuit against the USBR regarding the Cachuma Renewal EIR/EIS would be discussed in closed session.

Director Abel said that there was nothing new to report on the status of the SWRCB Board Order 94-5 studies and other fishery matters.

Director Puddicombe stated that there was a written report in the Board packet about the CCWA Board meeting. He reported that a pipe had been damaged in a landslide at Reservoir Valley, and that it was in a very difficult location to repair. It is expected to cost about two million dollars to repair.

Director Puddicombe reported that Steve Amerikaner had spoken at the SBWPA meeting regarding Proposition 218.

President Muller reported that at the COMB meeting the Board had approved a resolution authorizing joint administration of the Cachuma Renewal Fund and Trust Fund. The General Manager explained that the County has $100,000 to be used by the member units annually, and on July 1 will be providing another $100,000, making a total of $200,000 to be used this year. Rob Almy will be asking the member units to appropriate $20,000 of this year’s $100,000 to the USBR water quality studies. Steve Mack has been appointed the COMB representative to work with the USBR on these funds. President Muller also reported that COMB has decided not to paint the flood gates until the seismic safety work has been completed in order to avoid possible damages to the newly painted surfaces..

Director Campbell reported on the Special Districts Association meeting of January 27, 1997.

Director Campbell said that Finance Committee issues will be discussed at the meeting to be held on February 12, 1997.

Director Abel reported on the next newsletter that will be sent out at the end of March. It will include articles on specific projects within the capital improvement program, the annual water quality report and a report on the Ortega Reservoir contamination problem that occurred. There will be an article to report on the highlights of the 75th Anniversary, the seismic safety work at Bradbury Dam, and the State Water Project. Director Abel asked that if the Board had other recommendations for articles, to get back to either Director Wilson or herself. There was a discussion on whether it is necessary to send the water quality report in the newsletter. President Muller asked that this be placed on the agenda for discussion in the future.

President Muller reported that the Water Marketing Committee recommends that CCWA establish a Water Marketing Committee.

Director Campbell reported that LAFCO would be meeting the following Thursday and that there were new LAFCO directors and that he was going to be Chairman this year. LAFCO will be meeting in Santa Maria next to discuss items affecting the North County.

Director Campbell requested the hiring of an outside Consultant to review the Fox and Alder Creeks Operations and Monitoring Plan be placed on the next agenda.

When the Board returned to open session at 6:40 p.m. it was stated there was nothing to report.

Note: The agenda was posted at the front counter and outside front wall at the Montecito Water District on January 31, 1997.