7:30 p.m.
The Board of Directors of the San Benito County Water District convened in Regular Session. Directors Bob Swanson, James DeLaCruz and Douglas Keck were present, President Ken Perry, was absent, Vice-President John Tobias officiated, together with District Manager/Engineer John S. Gregg, District Counsel David Pipal, and Administrative Services Officer Maria E. Alfaro.
a. Pledge of Allegiance to the Flag
Vice-President Tobias called the meeting to order and led the Pledge of Allegiance to the Flag.
b. Approval of Agenda
Upon motion duly made by Director Keck, seconded and unanimously carried the Agenda was approved.
c. Public Input: Members of the Public are Invited to Speak on any matter not on the Agenda.
Vice President Tobias asked if any member of the public wished to speak. There being none, Vice President Tobias closed the Public Input session.
CONSENT AGENDA
1. Approval of Minutes of December 17, 2003, Regular Meeting, January 12, 2004, Special Session and January 14, 2004, Special Session.
Director Keck noted that the minutes of January 14, 2004, reflected the incorrect vote for item number three, Board Organization: Election of Officers. Director Keck noted that he and Director De La Cruz voted no.
2. Allowance of Claims.
3. Acceptance of Quarterly Investment Report for Period Ending December 31, 2003.
4. Consider Resolution Designating Agents Authorized to Make Transfers on the Local Agency Investment Fund.
Upon a motion duly made, seconded and unanimously carried the Consent Agenda was approved with direction to correct the January 14, 2003, minutes as noted by Director Keck. Resolution No. 2003-3, Resolution Designating Agents Authorized to Make Transfers On the Local Agency Investment Fund was adopted.
REGULAR AGENDA
5. State Water Rights Fees
a) Consider Authorizing payment of Water Rights Fees under protest pursuant to stipulation with State Water Resources Control Board.
Mr. Gregg noted to the Board that this type of fee had not existed before, however, due to the existing fiscal situation, the Legislature passed, and the Governor signed legislation which imposes fees on holders/beneficiaries of state water rights.
District Manager/Engineer Gregg noted that he had discussed this matter with Jan Goldsmith who recommended the District make payment under protest.
b) Consider Authorizing District Manager to sign “Authorization of Representation” letter.
District Manager/Engineer Gregg discussed with the Board that the anticipated cost of legal fees would be taken from association members dues to ACWA. The Board authorized District Manager/Engineer Gregg to sign “Authoriation of Representation” letter with Somach, Simmons and Dunn.
6. Consider Resolution Establishing a Policy for Inter-Subsystem Water Transfers for the 2004-2005 Contract Water Year.
District Manager/Engineer Gregg discussed the proposed Resolution in particular Mr. Gregg noted item number 8 of the Resolution.
Upon motion duly made and seconded, Resolution No. 2004.04, Resolution Establishing a Policy for Inter-Subsystem Water Transfers For the 2004-2005 Contract Water Year was adopted.
7. Consider Resolution Continuing District Policy Regarding Central Valley Project Water Transfers And Certain Related Matters (Resolution No. 2000-18)
District Manager/Engineer Gregg discussed this item with the Board. Mr. Gregg recommended that the District continue this Policy with the suggestions that the continuation be for a two to three year period.
Upon motion duly made and seconded, Resolution No. 2004-05, Resolution Amending Resolution No. 2000-18 Establishing District Policy Regarding Central Valley Project Water Transfer and Certain Related Matters was adopted.
8. Report on Hollister Area Water Treatment Plants.
District Manager/Engineer Gregg discussed this item with the Board. Mr. Gregg noted that he would be meeting on January 29, 2004, with the City of Hollister regarding this matter.
9. Report on Hollister Wastewater Treatment Plants.
District Manager/Engineer Gregg discussed this item with the Board. Mr. Gregg noted that a letter from the San Benito County Water District and the County of San Benito was delivered to the City of Hollister on January 24, 2004. The letter asked the City of Hollister for various assurances.
10. Report on San Juan Water System/San Juan Infrastructure Grant.
District Manager/Engineer Gregg discussed this item with the Board. Mr. Gregg noted that the City of San Juan Bautista had not applied to the Council of Governments for funds. The issue remains unresolved. Mr. Gregg noted that State approval can take several months and the City of San Juan Bautista needs to apply within the next 30 days.
11. Report on San Benito County Interim River Management Ordinance and direct staff and General Counsel.
District Manager/Engineer Gregg noted that he appeared before the Board of Supervisor’s meeting of January 27th, 2004. Mr. Gregg reports that the Board of Supervisors returned the matter back to County Planning staff to report back to the Board of Supervisors within 60 days. Mr. Gregg noted that he has spoken to County Planning staff on technical issues and with Mr. Pipal on legal standpoints. Mr. Gregg will discuss with the Board Committee for further direction.
12. Committee Reports:
a) Investment Committee (Keck/Tobias)
Director Keck noted that the Investment Committee had met and discussed the Report on Investments. It was noted that the Investment Policy had not been reviewed for a few years. It is the desire of the Investment Committee that the Investment Policy be reviewed by an outside consultant.
13. District Manager/Engineer’s Report:
a) Water Resources Association Activities.
District Manager/Engineer Gregg noted that the next meeting of the Water Resources Association will be on Thursday, February 5, 2004. Mr. Gregg reported that a presentation will be made regarding the Hydrogeologic/Water Quality report finalizing the Groundwater Water Management document.
b) USBR Contract Negotiations.
District Manager/Engineer Gregg reported to the Board regarding the ongoing negotiations.
c) 2004-2005 Water Supply.
District Manager/Engineer Gregg reported to the Board that he provided all Director a copy of a News Release from the Bureau of Reclamation which announces its initial water supply outlook for the 2004 water year. Mr. Gregg noted that he was comfortable with the Bureau’s report.
d) District Investment Policy Review.
District Manager/Engineer Gregg reported to the Board that the Investment Committee recommended an Independent review of the District’s Investment Policy. Mr. Gregg noted that by State statute this should be done by the end of March.
e) Comstock Estates Water System.
District Manager/Engineer Gregg reported to the Board that the Comstock Estates Water System has elected to proceed with the transfer of the system to the District. Mr. Gregg noted that contracts would be signed within a few weeks.
BOARD ORGANIZATION:
14. Consideration of Board Committees.
Upon direction of Vice President Tobias, the matter was tabled for the next full board meeting.
The Board adjourned to a Regular Meeting to be held on February 25, 2004 at 7:30 p.m., 30 Mansfield Road, Hollister, California.
Vice President John Tobias
President of the Board
ATTEST:
Maria E. Alfaro
Administrative Services Officer