CONTRA COSTA WATER DISTRICT

BOARD OF DIRECTORS

REGULAR MEETING

October 7, 2009

 

MINUTES

 

 

CALL TO ORDER

 

President Campbell called to order a regular meeting of the Board of Directors of the Contra Costa Water District at 6:30 p.m., at 1331 Concord Avenue, Concord, the regular meeting place of the Board.

 

ROLL CALL

           

            Directors Present:                      Joseph L. Campbell, President

                                                            Karl L. Wandry, Vice President

                                                            John A. Burgh

            Directors Absent:                       Elizabeth R. Anello

                                                            Bette Boatmun

            General Manager:                       Walter J. Bishop

            Legal Counsel:                           Robert B. Maddow

            District Secretary:                      Sharon L. Burris

 

President Campbell advised that Director Anello and Director Boatmun were absent and that they had notified the Board. 

 

PLEDGE OF ALLEGIANCE

 

Senior Public Information Specialist Jennifer Allen led the pledge of allegiance. 

 

President Campbell acknowledged students from Diablo Valley College in the audience and welcomed them to the meeting. 

 

ADOPTION OF AGENDA

 

Mr. Bishop reported that there were minor revisions to Agenda Item No. 1.a. – Future Services – October.  He also advised that Agenda Item No. 16 – Conference with Legal Counsel – Consideration of Initiating Litigation as allowed under Government Code Section 54956.9(c) – one case was being pulled from the agenda. 

 

PUBLIC COMMENT

 

President Campbell recognized Concord resident Bird Morningstar in the audience and invited him to the podium.  Mr. Morningstar noted how he had addressed drought-related items in his newsletter, the Happy Gardener.  He referenced the high volume of phone calls and emails he had received from District customers requesting assistance with water saving options.  He advised that when he was working with customers to reduce water usage; the water being saved was for fish and the ecosystem.  He commented that if the water was not properly managed the Delta would continue to have the same issues.  His goal was to educate customers on water and help save the Delta. 

 

President Campbell thanked Mr. Morningstar.

 

CONSENT

 

1.         Approve Directors’ Services/Business and Travel Expenses

            a.   Future Services – October

            b.   Expenses – September

            c.   Compensation – September

 

2.         Approve the minutes of September 2, 2009. 

                                   

3.                   Approve the warrant register dated October 8,  2009.

 

4.                   Authorize the purchase of three replacement backhoes from East Bay Municipal Utility District at the unit prices shown on the Cost Summary for a total purchase not-to-exceed amount of $98,700. 

 

5.                   Authorize execution of a grant agreement with the United States Bureau of Reclamation for High-Efficiency Toilet Replacements, in an amount not to exceed $310,000.

 

6.                   License Agreements with the City of Antioch and East Bay Regional Park District for Trail Facilities in Antioch

a.       Authorize execution of a license to the City of Antioch for two trail connectors on United States Bureau of Reclamation property near Contra Costa Canal Mileposts 7.54 and 7.56 in Antioch; and

b.       Authorize execution of a license to East Bay Regional Park District for a trail on Contra Costa Water District property located in Antioch. 

 

7.         Acquisition of Properties along Laurel Road, Adjacent to the Randall-Bold Campus in the City of Oakley

            a.   Authorize augmentation of the FY10 Watershed and Lands Department land acquisition budget in the amount of $730,000; and

            b.   Adopt Resolution No. 09-22 authorizing the execution of real property purchase agreements for the purchase of property on Laurel Road from Edmund J. and Patty E. Calisesi, and from Paul Lamborn.      

 

8.         Approve the substitution of the prime contractor, Marques Pipeline, Inc. in place of the listed subcontractor, Stone Engineering Contractors, Inc. for the structural concrete work on the Canal Levee Elimination and Flood Mitigation Project.

 

President Campbell reminded the Board that approval of the consent calendar would include revised Agenda Item No. 1.a. – Future Services – October. 

Director Burgh commented on Agenda Item No. 4 authorizing the purchase of three replacement backhoes from East Bay Municipal Utility District (EBMUD).  He commended staff for purchasing the excess equipment from EBMUD providing a large savings to the District.  

 

MOTION:  Wandry/Burgh to approve the consent calendar.  The motion carried by a unanimous voice vote.

 

ACTION

 

9.         Approve an Out of Area Service Agreement for water service to Clayton Regency Mobile Home Park.

 

Mr. Bishop advised that Assistant General Manager of Planning/Operations and Maintenance Jerry Brown would be making a presentation. 

 

Mr. Brown reported that, in June 2007, Contra Costa County (County) declared an emergency situation at the Clayton Regency Mobile Home Park (Park) citing that a contamination event of a single water truck had the potential to impact a large number of individuals at the Park.  The County and the Park proposed contracting with the District for a non-standard pipeline, limited potable water service for the park to address this situation.  The project would be a County project and the District would be the contractor.  The District does not have the authority to define the project. 

 

Using a map, Mr. Brown identified the Park and advised that it is outside of the District’s boundary.  Mr. Brown reported  that under Government Code Section 56133, the District was required to enter an out of area service agreement before serving the location.  The agreement before the Board for consideration fulfilled the requirement.   

 

Mr. Brown reviewed the key terms of the agreement.   The agreement is among Clayton Regency, LLC, a subsidiary of General Electric Corporation; Contra Costa County; and Contra Costa Water District.  The agreement was approved by a unanimous vote at the Board of Supervisors (BOS) on August 4. The County is the lead agency with the overall responsibility for the project.  The District would have a limited role of installing and operating the pipeline to serve water as a non-standard service, exclusively to the Park.  The pipeline would be sized for no fire flow, no peak demand, and no other capacity.  It would be a dedicated line for the Park.  The County Fire Department had provided a letter stating that fire protection, storage and peaking are the sole responsibility of the Park. The Park would be responsible for all costs in accordance with the District’s Code of Regulations.

 

Mr. Brown reported that the District’s responsibility would end at the water meter, which would be located at the Park boundary.  On site distribution and water quality downstream of the meter would be the responsibility of the Park.  Any changes in the land use or violation of the agreement would be grounds for terminating the agreement.  The County will be responsible for the oversight of the Park’s water system.   The agreement for Board consideration provided assistance to the parties to address this public health situation. 

 

Mr. Brown reviewed a schedule of approvals required before water service could begin.  He reported that the overall project authority and California Environmental Quality Act (CEQA) compliance would be the responsibility of the County.  Long-term water service to the Park would begin approximately 2011.  All District costs and fees to provide potable water service would be paid for by the Park. 

 

President Campbell asked if there were any questions for the presenter.  There were no questions.

 

President Campbell advised that he had two speakers’ cards and invited Mr. Walter Merlino to the podium.

 

Mr. Merlino, a Marsh Creek Road resident, advised that he would be unable to access the water that would be passing right by his house.  He read a letter, of which copies were distributed to the Board.  He advised that it was disconcerting that the County was willing to spend $6 million for one special interest, Clayton Regency and bypass approximately 15-17 other properties with no access to water.  There would be no fire hydrants along the water pipeline around his house or any of the other 15-17 homes that exist along the pipeline because not enough capacity was being put in for fire hydrants. 

 

President Campbell asked if there were any questions for Mr. Merlino.  There were no questions.

 

Mr. Schiff, a Marsh Creek Road resident, advised that he was a 21-year resident of Marsh Creek Road.  He commented that, years ago, there was a proposal to put a dump on Marsh Creek Road.  At that time, they were told by the Board and elected officials that when and if water came to Marsh Creek Road that they would be allowed to hook up.  They had been waiting for this to happen.  It appeared that it has been happening since 2006, and at no point were the residents brought into it for any consideration.  The BOS did unanimously vote for this water line.  The BOS also said it was the responsibility of the Contra Costa Water District’s Board of Directors to work with the residents in the neighborhood to make sure their constituents get supplied water. 

 

Mr. Schiff reported that there were nine or ten families between the end of Gill Drive where the water line stops that had been paying taxes and waiting patiently for their opportunity.  The opportunity came and no one made an effort to study what would happen if water was supplied to the families and residents that were already there.  He was not opposed to Clayton Regency receiving water; however, residents on Marsh Creek Road would like water also.  He opined that if the District has the ability to run water to the Park, then they should serve the constituents in the District.  There was a lot of focus on the trailer park and a lot of focus on other political entities, but no focus on the residents. 

 

Mr. Schiff stated that the residents were asking the Board to hold the vote at this meeting and instruct staff to work with them on the feasibility of supplying water to the residents and the Park.   This was not about growth but about established homes that already have weak or bad water supply.  He indicated that a shotgun estimate for running water to the Marsh Creek residents with a proper sized line with the fire hydrants would cost approximately $4 million.   The cost to run the water line to the Park was approximately $6 million.  He indicated that residents were willing to pay their share of the cost for the line with the trailer park but could not burden the cost of $4 million, which was why they belonged to a public utility.   He stated that he and the other residents were willing to engage in discussions and examine the possibility of supplying them with water.  He asked that the Board examine the possibility of making it work for everyone.

 

President Campbell asked if there were any questions.  There were no questions. 

 

President Campbell asked if there were any other public comments.  There were none.

 

President Campbell advised that had been on the Board for 18 years and was familiar with the Marsh Creek Road area.  He gave a brief background on how the District was formed and where it gets its water supply.  He commented on the land levy tax and explained that it was used to pay off the principal and the interest on the debt of building the canal.  He wanted to make it clear that the taxes the residents were paying did not pay for any operating expenses for the District. 

 

President Campbell gave an analogy of the County as a developer who had hired the District as a contractor.  He encouraged the residents to work with the County.  He also suggested that the property owners evaluate the possibility of forming an assessment district as an option.

 

President Campbell asked if there were any other Director comments.

 

Vice President Wandry commented that the County is the agency responsible for CEQA and they would be completing an Environmental Impact Report (EIR) on the project.  He encouraged the residents to have input in the EIR to address serving water to them as an alternative to the project as a whole.  This could prevent them from having to do a separate EIR, which could be costly.  He stated that he agreed with President Campbell’s comments.  The District is the contractor and this is a contractual agreement between the District and the County to construct and operate a pipeline.  The District does not have the option to include them in the project since it isn’t the District’s project.  He encouraged the residents to be aware and stay in contact with the County Planning Department.   

 

Director Burgh commented that the Board’s goal was to treat all ratepayers with the same equity and fairness.  He advised that all ratepayers pay for the water they use including the infrastructure needed to connect to their property.  He added that only a small percentage of the district’s revenue came through property taxes.    

 

MOTION:  Burgh/Wandry to approve an Out of Area Service Agreement for water service to Clayton Regency Mobile Home Park.  The motion carried by a unanimous voice vote. 

 

10.        California Department of Fish and Game Operating Permit for the Alternative Intake Project

            a.   Authorize execution of the Department of Fish and Game (DFG) operating permit for the Alternative Intake Project (AIP); and

            b.   Authorize provision of a $720,000 letter of credit to DFG if the required mitigation habitat is not available before the start of AIP operations.

 

Mr. Bishop reported that this was the last significant permit needed to allow the District to operate the Alternative Intake Project (AIP).  The permit covered the entire scope of the listed endangered species including the longfin smelt.  Calculations for the final mitigation were anticipated to be $5 million.  This was within budget but substantially more than the original estimate.  A letter of credit would be substituted if land was not available to be purchased for habitat mitigation.  He commended District staff for their efforts in obtaining the permits. 

 

Director Burgh commended staff for their patience in this accomplishment. 

 

President Campbell asked if there were any public comments.  There were none.

 

President Campbell commented on the complex permitting process required for the District.  He also thanked staff for a job well done.   

 

MOTION:  Wandry/Burgh to a) authorize execution of the Department of Fish and Game (DFG) operating permit for the Alternative Intake Project (AIP); and b) authorize provision of a $720,000 letter of credit to DFG if the required mitigation habitat is not available before the start of AIP operations.  The motion carried by a unanimous voice vote. 

 

REPORTS FOR DISCUSSION

 

11.        Committee Report(s)

            a.   Board of Supervisors’ Transportation, Water and Infrastructure Committee Post-Meeting Report (9/21/09)

 

President Campbell asked if there were any comments on the committee reports.  There were no comments. 

 

12.                 Schedule Future Meeting Dates and Times

 

Mr. Bishop reminded the Board that he would be out of town on business October 12-18.   AGM of Planning/Operations and Maintenance Jerry Brown would be Acting General Manager October 12 and 13.  AGM of Business Administration Kurt Ladensack would be Acting General Manager October 14 through 18.   

 

REPORTS

 

13.        General Manager

 

Mr. Bishop reported briefly on his recent trip to Washington, D.C. on September 30 where water in California was discussed, including the impacts of the drought and Judge Wanger’s decision on the curtailment of pumping for the Central Valley and the entire state.    

 

14.        Legal Counsel

 

Mr. Maddow did not have a report.

 

15.               Board Members

 

Vice President Wandry did not have a report. 

Director Burgh reported that he attend the Association of California Water Agencies (ACWA) Clean Water Subcommittee meeting in Sacramento that day.  He commented on a presentation given by an attorney concerning an attempt by the State Board to develop a strategy to implement a state-wide general storm water permit.  He commented on the size and complexity of the document being compiled. 

 

President Campbell reported that he and Mr. Bishop met with Assemblymember Joan Buchanan on October 5.  The focus of the meeting was immediate actions and the beneficiary pays approach.

 

CLOSED SESSION

 

16.        Conference with Legal Counsel – Consideration of Initiating Litigation as allowed under Government Code Section 54956.9© – one case.

 

17.        Public Employee Performance Evaluation as allowed under Government Code 54957; Title:  General Manager

 

At 7:30 p.m., President Campbell announced that the Board would move into closed session.  The matter before the Board concerned an employee performance evaluation and did not require the announcement of additional attendees. 

 

RECONVENE FROM CLOSED SESSION

 

18.        Report on closed session. 

 

At 8:27 p.m., President Campbell reconvened the meeting and announced that the Board did not take any action on the matter before it. 

 

ADJOURNMENT

 

At 8:28 p.m., President Campbell adjourned the meeting to the next regular meeting of the Board of Directors scheduled for October 21, 2009, commencing at 6:30 p.m.

 

 

 

 

 

                                                                                                                                                        

                                                                                                Joseph L. Campbell, President

ATTEST:

 

 

                                               

Sharon L. Burris

District Secretary