BOARD MINUTE - DECEMBER 17, 2002

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, DECEMBER 17, 2002

CALL TO ORDER AND ROLL CALL

The meeting was called to order by President Abel at 2:02 p.m.
Those in attendance were:

Directors Present:	Directors Abel, Drewry, Edmonston, Puddicombe, Wilson
Directors Absent:	None
Staff Present:	Fred Adjarian, General Manager Evalyn Kerman, Business Manager Tom, Mosby, Engineering Manager Chip Wullbrandt, District Counsel Lois Werner, Secretary
Guests Present:	Brett Gray, Operations Supervisor, COMB

PUBLIC FORUM There were no members of the public present who wished to speak on items not on the agenda.	SECTION 2
CONSENT CALENDAR After Board discussion, it was moved by Director Drewry, seconded by Director Puddicombe and unanimously carried, to approve the Minutes of the November 26, 2002 Board Meeting as corrected, and the Consent Calendar as presented.	SECTION 3
Presentations A. Time certain: 2:00 p.m.: Presentation of COMB FY 2001/02 Projects by Brett Gray, Operations Manager, COMB Mr. Brett Gray, Cachuma Operations and Maintenance Board Operations Manager, offered a presentation on various COMB capital projects in FY 2001/02.
Board of Directors A. Announcement of Certified Election Results Mr. Adjarian called the Board’s attention to the certified election results included in their agenda packets. B. Oath of office for directors Puddicombe, Drewry, and Edmonston Mr. Adjarian administered the Oath of Office to Directors Puddicombe, Drewry, and Edmonston. C. 2003 District Reorganization President Abel announced that an election would be held for President and Vice-President. Director Puddicombe nominated Jan Abel as President of the Board; Director Drewry seconded the motion. There being no other nominations, nominations were declared closed. Jan Abel was elected President of the Board of Directors with one abstention. President Abel then announced that the nominations were open for Vice-President of the Board. Director Puddicombe moved that Director Drewry be nominated as Vice-President. Director Wilson seconded the motion. There being no other nominations, the nominations were declared closed. W.W. Drewry was elected Vice-President of the Board of Directors with one abstention. Following Board discussion, it was moved by Director Wilson, seconded by Director Drewry, and unanimously carried to reappoint the General Manager as Board Secretary, with the appropriate Bond of $100,000; retain the firm of Price, Postel and Parma as District Counsel; appoint the Business Manager as Assistant Board Secretary with the appropriate bond of $100,000; appoint MacFarlane, Faletti & Co as District independent auditors; designate Santa Barbara Bank & Trust as depository for District Funds; and designate the MWD offices as the place for all regular meetings of the Board of Directors, to be held at 2:00 p.m. on any Tuesday of every month, generally to be on at least the third Tuesday and on such additional Tuesdays as the Board President or Secretary determine to be necessary based on the demands of District business. D. Request for Input in Regard to MWD Board Committees and Regional Representatives for 2003 President Abel requested that the directors provide any input on board appointments and committee assignments to her for the coming year before the January Board meeting. E. Consideration of MWD Directors’ Fees for 2003 President Abel introduced this item. After discussion, it was moved by Director Drewry, seconded by Director Puddicombe and carried to adjust MWD Directors’ compensation for a cost of living increase of 3.3%, effective January 1, 2003.	Section 4
ENGINEERING/DISTRIBUTION/TREATMENT A. Ortega Reservoir Project update Mr. Adjarian briefly updated the Board on the progress of the Ortega Reservoir Project. B. Summer 2002 Distribution System Operation Report Mr. Mosby reported to the Board on MWD distribution system operations during summer 2002. Mr. Adjarian acknowledged the diligent efforts of District staff and the Board’s continuing support for the many capital improvements completed since 1996.	SECTION 5
Business and Finance A. Draft MWD Records Retention and destruction Policy Mrs. Kerman introduced the proposed MWD Records Retention and Destruction Policy. After Board discussion, it was moved by Director Drewry, seconded by Director Wilson, and unanimously carried to approve the revised policy as presented.	Section 7
Ordinances/Resolutions A. Resolution No. 1949, Annual Inventory of District Lands and Air Space Mr. Adjarian presented this item. Following Board discussion, it was moved by Director Puddicombe, seconded by Director Edmonston, carried by the following role-call vote to approve Resolution No. 1949 as presented with one revision to the attachment. Ayes: Directors Abel, Drewry, Edmonston, Puddicombe, Wilson Noes: None Absent: None	Section 8
DIRECTOR AND STAFF MEETING REPORTS A. CACHUMA CONSERVATION RELEASE BOARD MEETING OF November 25, 2002 1. State Water Resources Control Board Hearing Technical Issues Update 2. Member Unit Legal Issues Update President Abel reported on the subject meeting. President Abel also announced that the the 2002 Santa Ynez River Water Rights Settlement Agreement had been approved by three of the four governing bodies involved, with the expectation that Santa Ynez ID#1 would approve the agreement at their meeting on December 17, 2002. Chuck Evans has officially retired as CCRB Manager Consultant and has taken his seat as CCRB’s newest Board member representing Goleta Water District. Because of his long history with preparations for the State Water Board Hearing, Mr. Evans has also been appointed to continue to assist the CCRB Manager and others in preparing for the State Water Board Phase 2 Hearing, as may be appropriate. B. CACHUMA OPERATION AND MAINTENANCE BOARD MEETING OF November 25, 2002 President Abel reported on the subject meeting. C. CENTRAL COAST WATER AUTHORITY BOARD MEETING OF November 2002 Director Puddicombe reported that CCWA did not meet in November. D. SANTA BARBARA COUNTY SPECIAL DISTRICTS ASSOCIATION MEETING OF November 2002 Director Wilson reported on the subject meeting and the SBCSDA Annual meeting, which took place on December 6, 2002.	SECTION 9
COMMITTEE REPORTS/RECOMMENDATIONS A. OPERATIONS COMMITTEE Director Puddicombe reported that the activities of the Operations Committee had been covered elsewhere in the meeting. B. FINANCE COMMITTEE Director Wilson reported on the activities of the Finance Committee. C. PUBLIC INFORMATION COMMITTEE President Abel reported on the activities of the Public Information Committee. Rate change information went out with the December water bill mailing. The Committee will begin work on the next District newsletter in January.	SECTION 10
GENERAL MANAGER’S REPORT A. PENDING ISSUES Update Mr. Adjarian briefly reported to the Board on the status of pending issues. B. Reminder: MWD Board Workshop, January 29, 2003 Mr. Adjarian reminded the Board of the Workshop on Water Use Classifications scheduled for January 29, 2003 from 9:00 a.m. to noon.	SECTION 11
LEGAL MATTERS A. DISTRICT COUNSEL REPORT Mr. Wullbrandt briefly reported on legal issues of potential interest to the Board.	SECTION 12
CORRESPONDENCE/NEWS ARTICLES/REPORTS/DOCUMENTS	SECTION 13
AGENDA ITEM REQUESTS There were no requests from Directors for items other than regular agenda items for the January 21, 2003 Board meeting.	SECTION 14
ADJOURNMENT There being no further business to come before the MWD Board of Directors, the meeting was adjourned at 5:05 p.m.
Approved: __________________________________ Jan E. Abel, President Attest: __________________________________ Frederick J. Adjarian, Secretary

ADJOURNMENT