BOARD MINUTE - March 20, 2001

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 2:00 P.M. on TUESDAY, MARCH 20, 2001

CALL TO ORDER AND ROLL CALL

The meeting was called to order by President Abel at 2:03 p.m.
Those in attendance were:

Directors Present:	Directors Abel, Bachman, Drewry, Wilson
Directors Absent:	Puddicombe
Staff Present:	Fred Adjarian, General Manager Evalyn Kerman, Business Manager Tom, Mosby, Engineering Manager Eric Hvolboll, Acting District Counsel Anita Leski, Secretary
Guests Present:	None

PUBLIC FORUM	SECTION 2
CONSENT CALENDAR	SECTION 3
The following items were to be approved or accepted by vote on one motion unless a Board member requested a separate consideration: Minutes of February 13, 2001 Special Meeting Minutes of February 20, 2001 Board Meeting Water Production Report for February 2001 Water Sales Reports for February 2001 Water Works Operation Report for February 2001 Investment of District Funds Payment of Bills for February 2001 January 2001 Cash Flow with February Sales Production versus Meter Usage Analysis President Abel requested that Item No. 3-B, the Minutes of February 20, 2001 Board Meeting, be removed from the Consent Calendar for discussion and revision purposes. A motion was made by Director Wilson, seconded by Director Drewry, and carried unanimously to approve the Consent Calendar as presented and the February 20, 2001 Board Minutes as amended.
BOARD OF DIRECTORS	SECTION 4
TIME CERTAIN: 2:15 P.M.: APPEAL BY MR. DENNIS SANDS, 1243 MESA ROAD, MONTECITO. Manager Adjarian reported on the March 9, 2001 Appeals Committee meeting held with Mr. Sands, and stated that the District’s policy is that its responsibility stops at the meter. Discussion took place amongst the Board, Legal Counsel, and staff. A motion was made by Director Drewry, seconded by Director Wilson, and carried unanimously to deny Mr. Sands’ request for reimbursement. Staff was directed to send a letter to Mr. Sands advising him of the Board’s decision.
ENGINEERING/DISTRIBUTION/TREATMENT	SECTION 5
PROPOSED RIVEN ROCK PROJECT MAIN EXTENSION DRAFT AGREEMENT WITH RIVEN ROCK MUTUAL WATER COMPANY. Manager Adjarian reported that key provisions reflected in this draft Agreement had been extensively reviewed by the Operations Committee. Director Bachman concurred that the Operations Committee had reviewed this Agreement in concept. A motion was made by Director Bachman, seconded by Director Wilson, and unanimously carried to further revise the draft agreement, to authorize the Board President to execute the final revised agreement without the full Board review and approval, with the final executed agreement returned before the Board for ratification at a future meeting. UPDATE ON ORTEGA RESERVOIR TEMPORARY INLET/OUTLET PIPING MODIFICATIONS. Manager Adjarian reported that there was nothing to add to the information that was provided in the Board packet. UPDATE ON HIGHLINE TRANSMISSION REPLACEMENT BETWEEN DOULTON TUNNEL AND SOUTH PORTAL METER. Manager Adjarian reported that the work was completed last week, and complimented Manager Mosby and the Distribution staff for their work. Director Wilson requested that the term "non-potable" used in the Staff Memorandum be changed to "untreated". ORAL REPORT: ROMERO RESERVOIR PUMP STATION PROJECT. Engineering Manager Mosby referenced the information provided in the Board packet under Item No. 11-A, Page 3. ORAL REPORT: ORTEGA RESERVOIR CHLORINATION STATION PROJECT. Engineering Manager Mosby referenced the information provided in the Board packet under Item No. 11-A, Page 2, and added that the project was moving forward.
BUSINESS AND FINANCE	SECTION 7
NOTICE REGARDING PROPOSED RESOLUTION RELATIVE TO EXEMPTION FROM PROPOSITION 4 SPENDING LIMITATIONS. President Abel read the following notice into the record, and stated that the resolution would be placed on the June 19, 2001 agenda for Board consideration and adoption. "A Resolution will be presented to the Board for adoption at a regular Board meeting of June 19, 2001 (which meeting for adoption must be at least fifteen days after this statement) which Resolution shall establish that the District’s various user fees, rates and charges for Fiscal Year 2001-02 do not exceed the costs reasonably borne by the District for providing the services for which the fees, rates, and charges were made." UPDATE ON ACWA ADVANCED DUES PROGRAM. Business Manager Kerman provided the update as requested and included in the packet. Following Board discussion, Director Wilson requested that the phrase "in a permanent way" be deleted at the end of the second paragraph in the Discussion section of the Staff Memorandum. MONTECITO ASSOCIATION ANNUAL DUES. Following discussion, the Board determined it to be appropriate to continue paying the annual dues at the same level as last year. A motion was made by Director Drewry, seconded by Director Bachman, and unanimously carried to continue membership support at the Business/Guardian level of $350.
ORDINANCES/RESOLUTIONS	SECTION 8
REQUEST TO ADOPT RESOLUTION NO. 1908 TO EXTEND MWD DIRECTORS TERMS. A motion was made by Director Bachman, seconded by Director Drewry, and unanimously carried by the following roll call vote to adopt Resolution No. 1908: Ayes: Directors, Abel, Bachman, Drewry, and Wilson Noes: None Abstain: None Absent: Director Puddicombe REQUEST BY MISSION SPRINGS WATER DISTRICT TO ADOPT RESOLUTION NO. 1909 TO NOMINATE DIRECTOR MARY M. GIBSON TO ACWA/JPIA EXECUTIVE COMMITTEE. President Abel recommended the nominee to the ACWA/JPIA Executive Committee. A motion was made by President Abel, seconded by Director Wilson, and unanimously carried by the following roll call vote to adopt Resolution No. 1909: Ayes: Directors, Abel, Bachman, Drewry, and Wilson Noes: None Abstain: None Absent: Director Puddicombe REQUEST BY MUNICIPAL WATER DISTRICT OF ORANGE COUNTY TO ADOPT RESOLUTION NO.1910 TO NOMINATE DIRECTOR JOAN FINNEGAN TO ACWA/JPIA EXECUTIVE COMMITTEE. Manager Adjarian recommended the nominee to the ACWA/JPIA Executive Committee. A motion was made by Director Wilson, seconded by Director Drewry, and unanimously carried by the following roll call vote to adopt Resolution No. 1910: Ayes: Directors, Abel, Bachman, Drewry, and Wilson Noes: None Abstain: None Absent: Director Puddicombe
DIRECTOR AND STAFF MEETING REPORTS	SECTION 9
CACHUMA CONSERVATION RELEASE BOARD MEETINGS OF FEBRUARY 21 AND MARCH 5, 2001. State Water Resources Control Board Hearing Technical Issues Update. Member Unit Legal Issues Update. President Abel updated the Board and referenced information contained in the Board packet. CACHUMA OPERATION AND MAINTENANCE BOARD MEETINGS OF FEBRUARY 26 AND MARCH 5, 2001. President Abel reported on the two Board meetings of February 26 and March 5, 2001. CENTRAL COAST WATER AUTHORITY BOARD MEETING OF FEBRUARY 22, 2001 CCWA Alternate Director Bachman stated that there was nothing new to report regarding the CCWA Board meeting of February 22, 2001. REPORT ON ACWA WASHINGTON, D.C. CONFERENCE, FEBRUARY 25 - MARCH 2, 2001. President Abel reported on the Conference, and referenced the material provided in the Board packet. Legal Counsel Wullbrandt will present his report at the April 17, 2001 Board meeting.
COMMITTEE REPORTS/RECOMMENDATIONS	SECTION 10
OPERATIONS COMMITTEE. Director Bachman updated the Board on the Miramar Beach issue, and reported that the draft Urban Water Management Plan will be presented at the April 17, 2001 Board meeting. FINANCE COMMITTEE. Director Wilson reported that the Finance Committee had discussed policy and balances, and meter replacements at its March 13, 2001 meeting. PUBLIC INFORMATION COMMITTEE. President Abel reported on the current MWD newsletter, and added that folders and fact sheets would be available for the Board to view at the April 17, 2001 Board meeting.
GENERAL MANAGER’S REPORT	SECTION 11
GENERAL MANAGER’S WORK PLAN FOR CALENDAR YEAR 2001. Manager Adjarian was available to answer questions from the Board on the 2001 General Manager’s Work Plan that was included in the Board packet.
LEGAL MATTERS	SECTION 12
RECESS TO CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTION 54956.9 (c); CLOSED SESSION/PENDING LITIGATION: ENVIRONMENTAL DEFENSE CENTER, INC., ET.AL. v NORMAN MINETA, SECRETARY OF COMMERCE, ET. AL., AND BRUCE BABBITT, SECRETARY OF INTERIOR, ET. AL. Acting Legal Counsel Hvolboll stated that there was no need for the Board of Directors to hold a closed session at this time on this matter.
AGENDA ITEM REQUESTS	SECTION 14
Requests from Directors for items other than regular agenda items for next regular Board meeting scheduled for April 17, 2001 were as follows: Add Santa Barbara County Special Districts Association to Committee Reports Section 10 beginning with the April 17, 2001 Board agenda. Legal Counsel Wullbrant will report on the ACWA Washington, D.C. Conference.
OTHER	SECTION 15
Manager Adjarian reported that the Sheryl Carter of the Bureau of Reclamation held a negotiation session with MWD on March 15, 2001 to begin the process of transferring title from the USBR to the District of the Summerland water distribution facilities. The performa process will result in a signed agreement that, with congressional assistance, will take approximately three years to complete. Director Wilson, Business Manager Kerman, and Manager Adjarian were present at the session. Director Wilson reported that the CWA Cloud Seeding Workshop, scheduled to be held at UCSB on February 27-28, 2001, had been cancelled due to inclement weather. Manager Adjarian reported on the State’s energy crisis, and added that MWD was prepared to go on generator power whenever necessary.
ADJOURNMENT
There being no further business to come before the MWD Board of Directors, the meeting was adjourned at 4:30 p.m.
Approved: Jan E. Abel, President Attest: Frederick J. Adjarian, Secretary