VALLEY CENTER MUNICIPAL WATER DISTRICT
Regular Board Meeting
Monday, April 18, 2005
Time: 2:00 P.M.
Place: Board Room
29300 Valley Center Road
Valley Center, CA 92082
The Valley Center Municipal Water District Board of Directors’ meeting was called to order by President Broomell at 2:00 P.M.
ROLL CALL
Board members present were: Directors Broomell, Polito, Aleshire and Stone. Director Haskell was absent. Staff members present were: General Manager Arant, General Counsel Cowett, Director of Finance Jeffrey, Director of Operations Hoyle, District Engineer Grabbe, Board Secretary Stetson, Manager of Accounting Pugh and Project Manager Carrillo. Spectator present was Mr. David Ross, Valley Roadrunner Newspaper.
APPROVAL OF AGENDA
1. Upon motion by Aleshire, seconded by Polito and unanimously carried, the agenda was amended to add Board consideration of the District’s position concerning proposed legislation, AB 1259 (Daucher), the reallocation of property taxes to cities and counties that qualify for “housing bonuses”.
CONSENT CALENDAR
2. Upon motion by Aleshire, seconded by Polito and unanimously carried, the following consent calendar items were approved:
• Minutes of the Board meeting held April 4, 2005
• Audit demands and wire disbursements for the period January 1 through March 31, 2005
• Board of Director’s request for per diem compensation and reimbursement of expenses
• Quarterly report of expense reimbursements per Government Code §53065.5
ACTION AGENDA
3. Ordinance Amending the Administrative Code to Decrease the Agricultural Water Rate:
Director of Finance Jeffrey explained that in December of 2004, water rates were increased including a pass-through of wholesale costs from the San Diego County Water Authority which included $19.16 per acre foot for new water supplies such as from the Imperial Irrigation District. This component of the SDCWA’s rate structure does not apply to certified agricultural water users, however, a separate lower rate for agriculture was not reflected on the rate tables from the SDCWA and the component for new water supplies was inadvertently included in the District’s agricultural water rate that became effective January 1, 2005.
Staff recommended adoption of Ordinance No. 2005-04 to lower the agricultural water rate by $19.16 per acre foot beginning with the April 30, 2005 bills to correct the error. Staff further recommended that the approximately $22,000 collected from this charge be transferred to the District’s Agricultural Rebate Reserve which will offset the ag. rebate lost last year due to water sales in excess of the allocation.
Upon motion by Polito, seconded by Stone and unanimously carried, the following ordinance, entitled:
ORDINANCE NO. 2005-04
ORDINANCE OF THE
VALLEY
CENTER
MUNICIPAL WATER DISTRICT AMENDING
THE ADMINISTRATIVE CODE TO PROVIDE
FOR CHANGES IN WATER RATES
was adopted by the following vote, to wit:
AYES: Directors Broomell, Polito, Aleshire and Stone
NOES: None
ABSENT: Director Haskell
4. Overview of the Proposed 2005-06 Budget:
The District’s proposed budget for Fiscal Year 2005-06 will be distributed to the Board prior to the meeting of May 16th at which time it will be reviewed in detail. An overview of new programs proposed and requested capital projects in the FY 2005-06 budget was provided as summarized below:
▪ Projected water sales will be budgeted at 44,500 acre feet.
▪ Water rate increases to be effective January 1, 2006 are estimated to be 6.8% for M&I and 4.9% for certified agriculture.
▪ 771 new meter installations are predicted of which 402 are fire meters.
▪ Interest income estimates total $675,000 or an equivalent of $15.00 per acre foot.
▪ Pumping costs will be budgeted at $105 per acre foot (13.1¢ per kW electric and $1.04 per therm gas).
▪ Two new positions requested: Construction Inspector and a Wastewater Technician. A temporary employee for GIS and interns through the new Water Academy Apprentice Program will be proposed.
▪ Personnel costs are estimated to decrease $89,200 as a result of decreases in the Cal-PERS rate (Fresh Start) and benefit costs. Per the MOU with employees, a COLA of 3% will be effective July 1, 2005.
▪ Funding requests for Capital Projects total $4,387,400. The requested projects per department are outlined on the attached “Exhibit A”.
▪ Monthly sewer service charge for the Moosa Treatment Plant is proposed to be increased by $1.50 or to $38.50 per month. The STEP maintenance fee will increase by $1.00 to $32.00 per month.
▪ Skyline Sewer Treatment Plant, which is self-supporting, will decrease from $47.17 to $34.56 per EDU
▪ The Woods Valley Ranch interim sewer plant is in operation and construction of the permanent treatment plant is expected to begin by the end of FY 2004-05. No change in the monthly charge of $98.60/EDU is proposed which will be collected through an assessment on the properties’ tax bills.
5. Update on Wastewater Projects:
District Engineer Grabbe provided an update on existing and proposed wastewater projects within the District’s service area as outlined below:
► Lower Moosa Canyon Water Reclamation Facility – Service area encompasses 5,350 acres and has a discharge capacity of .44 mgd and treatment capacity of .5 mgd. The current average flow rate is 300,000 gpd. The groundwater basin capacity for the treatment plant is being evaluated and denitrification requirements may result from the permit update process.
► Skyline Ranch Water Reclamation Facility – Serves the Skyline Ranch Country Club and Mobile Home Park (87 acres). The current average flow rate is 25,000 gpd with a connected capacity of 222 units. The treatment plant’s replacement project is substantially complete and operational with punch list items being completed. Owners of the Skyline Ranch Country Club have requested the Regional Water Quality Control Board transfer the treatment plant’s discharge permit from the District to them as they anticipate operating the plant through a private contractor.
► Woods Valley Ranch Water Reclamation Facility – Service area encompasses 430 acres with a design capacity of 70,000 gpd. Current average flow is 15,000 gpd as 87 lots are currently occupied. The interim plant is complete, but discharge to the golf course is pending final acceptance. Design capacity of the interim plant is 50,000 gpd (250 EDUs @ 200 gpd/EDU).
► Orchard Run Development – Service area encompasses 119 acres with the treatment plant’s design capacity at 75,000 gpd. The waste discharge permit for this proposed facility is complete though participation in the expansion of the Woods Valley Ranch Treatment Plant is being considered.
► Woods Valley Ranch Expansion Study Area – Expansion of the Woods Valley Ranch Treatment Plant could serve the Southern Village Node area which consists of the Woods Valley Ranch (70,000 gpd), Orchard Run (75,000 gpd), and the Southern Village properties (414,000 gpd) for a total of 2,236 EDUs with a treatment capacity of 559,000 gpd. Two additional projects, Crews property and Ridge Ranch 2, are located outside of the Southern Village Node boundary and sewer disposal systems other than wastewater treatment will be pursued for these projects, including septic systems and a community septic system.
► Live Oak Ranch – Proposed treatment plant’s service area encompasses 322 acres with a design capacity of approximately 37,500 gpd. Currently, the waste discharge permit for this project is being pursued.
► Lilac Ranch Development - Conceptual design reports for this proposed project have been reviewed. It has a service area of 952 acres and a treatment plant’s design capacity of 88,500 gpd.
► North Village Sewer Study Area – The service area includes 672 acres and property owners are preparing a conceptual report.
A policy to address processing requests for wastewater service for properties that are not designated to receive sewer service per the County’s land use designations will be developed. Landowners of such properties will be directed to the County to proceed through the land use process for qualification of sewer.
6. Ratification of Letter Opposing the Proposed AB 1259:
Board ratification of the letter mailed to the Assembly Members on the Committee on Local Government urging a “No” vote on Assembly Bill 1259 was requested. If adopted, AB 1259 would require county auditors to reallocate the 1% general property tax to cities and county governments meeting certain “housing bonus” qualifications and, thus, further reduce the property tax allocated to special districts.
Upon motion by Polito, seconded by Stone and unanimously carried, the Board ratified the position of “oppose” regarding the proposed AB 1259 (Daucher).
CLOSED SESSION
7. A Closed Session was called to order by President Broomell at
3:30 p.m.
pursuant to:
$ Government Code '54957.6, Conference with Labor Negotiators:
Designated Representative: Gary T. Arant, General Manager
Employee Organization: Valley Center Municipal Water
District Employees Association
The Regular meeting was reconvened at 5:04 p.m. No action was reported.
ADJOURNMENT
8. Upon motion by Stone, seconded by Polito and unanimously carried, the meeting was adjourned at
5:05 p.m.
ATTEST: ATTEST:
____________________________ _______________________________
President Secretary