Board Meeting - 6/13/2017

MINUTES OF THE BOARD OF DIRECTORS OF SERRANO WATER DISTRICT 

The Board of Directors of the Serrano Water District met in a regularly scheduled board meeting on Tuesday, June 13, 2017.  The meeting was held at the District Office located at 18021 Lincoln Street, Villa Park, California.  

CALL TO ORDER:  President Bryant called the meeting to order at 8:33 a.m. 

ROLL CALL: 

BOARD OF DIRECTORS MEMBERS PRESENT: 

Frank BryantPresident 

Greg MillsVice President 

Jerry HaightBoard Member 

C.L. “Larry” Pharris, Jr.Board Member 

Brad ReeseBoard Member 

BOARD OF DIRECTORS MEMBERS ABSENT: 

STAFF PRESENT: 

Jerry VilanderGeneral Manager 

Ann MichelDirector, Finance & Administration 

Laura HeflinAdministrative Assistant 

Joel KuperbergLegal Counsel 

GUESTS PRESENT: 

Todd PriestCurt Pringle & Associates 

Diana FascenelliVilla Park Council Woman 

Fred AlexanderVilla Park Resident 

PUBLIC COMMENT 

Council Woman Fascenelli reported that the City of Villa Park is holding a budget session tonight.  Taft Avenue will be under construction for improvements.  The District was unaware of this and Director Pharris requested improved communication between the City and District staff in the future.  Three firework stands will be open in the City this year on June 29th.  Discussion is currently underway at the City regarding shared services, staff, and space between the City and Water District and ideas about annexing some property.   

BOARD MINUTES 

Consideration of Serrano Water District Board Meeting minutes of May 9, 2017.  Director Mills moved that the minutes of the May 9, 2017 meeting be approved as submitted, Director Haight seconded the motion, and the motion was carried unanimously with Directors Bryant, Mills, Haight, Reese and Pharris voting yes. 

GENERAL MANAGER REPORT 

General Manager Vilander summarized the status of Board Committee and management matters as agendized for the month of May.  General Manager Vilander reported that staff has been working with I.T. Problem Solver to get the new server installed and this should be completed before July.  Staff is also working to reduce the telephone charges from AT&T.  Time Warner/Spectrum will be investigated as an option.  Director Reese volunteered his assistance with the AT&T phone review project and conversion of analog phone lines to cellular.  The Board of Directors were reminded that the next Board meeting will be held on July 18th.  General Manager Vilander reported on recent trespassing incidents at Irvine Lake.  A meeting is scheduled with General Pump next week to discuss the operational viability of Well #4.  Director Reese reported that his brother had just purchased a steel type building for his motorhome for $4,500 and stated that he would share this information with General Manager Vilander to assist him with the steel structure that he is exploring for the District.   

The true cost of water project through the SCADA system was discussed and is underway.  The fire hydrant maintenance program was also reviewed.  ADP has reduced their cost by 40% for payroll services at the District.  Staff has received a dismal response to the RFP issued for a new auditing firm.  White Nelson Diehl Evans LLP auditing services will cost $18,000.  General Manager Vilander discussed with the Board that he  intended to enter into an agreement with White Nelson Diehl Evans LLP for auditing services. 

FINANCIAL REPORT 

Following presentation of the financial report by Ann Michel, Director of Finance and Administration, it was moved (Director Pharris), seconded (Director Mills), and unanimously carried with Directors Bryant, Pharris, Mills, Haight, and Reese voting yes to approve the disbursements in the amount of $501,371.65. 

WATER REPORT 

Ann Michel, Director of Finance and Administration, presented the water report.  It was moved (Director Mills), seconded (Director Pharris), and unanimously carried with Directors Bryant, Pharris, Haight, Mills, and Reese voting yes to receive and file the water report.   General Manager Vilander will discuss the potential viability of Well #4 with General Pump and report back to the Board of Directors. 

ANNUAL STATEMENT OF EMPLOYEE REIMBURSEMENT 

Following presentation of the annual statement of employee reimbursement, it was moved (Director Pharris), seconded (Director Haight), and unanimously carried with Directors Mills, Pharris, Haight, Reese, and Bryant voting yes to adopt the 2017/2018 annual statement of employee reimbursement as presented.  The policy regarding reimbursable meetings will be emailed to Directors.   

2017/2018 ANNUAL BUDGET 

Ann Michel presented the 2017/2018 annual budget.  Director Haight expressed concern about the budget for salaries as a 12.5% salary increase was proposed for staff.  Ann Michel responded that this was simply a “place holder” in the budget and would be subject to Board review and approval in November.  It was agreed that the wording on the memorandum relating to salary would be revised to read, “The budget includes funding to provide the Board of Directors discretion to grant cost of living, merit increases and one-time adjustments.”  Director Haight requested that a note will be placed in the budget under item 5410 stating that there are two positions in the Systems Operator I and II positions.   Following presentation of the 2017/2018 annual budget by Ann Michel, it was moved (Director Mills), seconded (Director Haight), and unanimously carried with Director Mills, Bryant, Pharris, Haight and Reese voting yes to adopt the 2017/2018 annual budget as presented with changes described above. 

INDEPENDENT SPECIAL DISTRICTS OF ORANGE COUNTY (ISDOC) AMENDED AND RESTATED BYLAWS 

Following discussion led by General Manager Vilander, it was moved (Director Pharris), seconded (Director     Bryant), and unanimously carried with Directors Reese, Pharris, Haight, Bryant, and Mills voting yes to approve the amended and restated ISDOC bylaws, as recommended by the Executive Committee.

LEAD SERVICE LINE INVENTORY REQUIREMENT FOR PUBLIC WATER SYSTEMS 

General Manager Vilander informed the Board of Directors that he was in the process of asking staff to inventory service lines and that he would report those findings to the Regional Water Quality Control Board.   

CORRESPONDENCE 

Correspondence was reviewed as agendized. 

RESOLUTION NO. 2017-06-01 OF THE BOARD OF DIRECTORS OF THE SERRANO WATER DISTRICT ADOPTING A POLICY FOR UNCLAIMED MONEY 

Following discussion led by Ann Michel, it was moved (Director Haight), seconded (Director Reese), and unanimously carried with Directors Reese, Pharris, Haight, Bryant, and Mills voting yes to adopt Resolution No. 2017-06-01 as presented. 

DIRECTOR COMMENTS AND REPORTS 

None. 

ATTORNEY’S REPORT 

None. 

It was announced that there was no need to enter into closed session. 

RECESS TO CLOSED SESSION 

Conference with real property negotiators (Government Code Section 54956.8) 

Property: Santiago Reservoir (Irvine Lake), adjacent to 4621 Santiago Canyon Road, Silverado Canyon, CA  92676. 

Agency Negotiator:  Jerry Vilander 

Negotiating Parties:  County of Orange 

Under Negotiation:  Price and terms 

ADJOURNMENT  

The meeting was formally adjourned at 10:35 a.m. The next regularly scheduled meeting will be held on Tuesday, July 18, 2017 @ 8:30 a.m. at the District office.