July 28, 2004

Regular Meeting

7:30 p.m.

 

          The Board of Directors of the San Benito County Water District convened in regular session at 7:30 p.m. at 30 Mansfield Road, Hollister, CA.  Members present were President Ken Perry, Vice-President John Tobias, Director Robert Swanson, and Director James DeLaCruz. Director Douglas Keck was absent.  Also present, District Manager/Engineer John S. Gregg, District Counsel David E. Pipal and Administrative Services Officer Maria Alfaro.  President Perry presided.

 

CALL TO ORDER

 

The meeting was called to order at 7: 32 p.m.

 

a.       Pledge of Allegiance to the Flag.

 

President Perry lead the Pledge of Allegiance to the Flag.

 

b.      Approval of Agenda.

Upon motion duly made and seconded, the Agenda for the meeting was unanimously approved.

c.      Public Input:  Members of the Public are Invited to Speak on any Matter not on the Agenda.

President Perry asked the public if there was anyone who wished to speak on any matter not on the Agenda. 

There being none the public input session was closed.

 

CONSENT AGENDA:    

 

1.                                         Approval of Minutes for June 30, 2004, regular meeting.

 

2.                                        Allowance of Claims

 

3.                                        Investment Report for period ending June 30, 2004.

 

Upon a motion duly made and seconded, the Consent Agenda was unanimously approved.

 

REGULAR AGENDA:

 

2.                                        Public Hearing/Meeting regarding Comstock Estates Water System (Zone 102) Water Year Rates and Charges and Rules and Regulations

 

a)                             Proof of Publication submitted on Notice of Public Hearing

 

Administrative Services Officer Maria Alfaro noted that the public hearing notice was published in the Free Lance Newspaper on July 9 and July 15.

 

b)       Presentation of Ordinance Establishing Comstock Estates Water System Rates and Charges for Zone 102

 

District Manager/Engineer  John S. Gregg  noted to the Board that Deputy District Engineer Jeff Cattaneo would be making the presentation regarding this item.

 

Jeff Cattaneo noted that the rate would be $145.41 per month for the first year, the rate would be reviewed annually. 

 

c)       Presentation of Resolution Establishing Rules and Regulations for Domestic (Potable) Water Service Charges in Zone 102

 

Mr. Cattaneo noted that the Resolution had been reviewed by District Counsel Pipal. President Perry asked if this system only had one well.  Mr. Cattaneo responded that it was. 

 

d)                                         Open Public Hearing

President Perry opened the public hearing. Comstock Estate residents, speaking during the public hearing were Steve Jove, Susan Bikeborn and Dr. Mark Stephens.  Mr. Steven Jobes asked if any accounting was requested.  District Counsel Pipal noted that it must go through the State of California Franchise Tax Board.  Mr Jobes noted that there were approximately $75,000 for benefit of hardware. Mr. Pipal noted that that would be transferred to the District.  Mr. Jobes also noted that there were mechanical problems with well and the system, breakdowns of booster pumps that are still not working and that Creekbridge said that they will remedy.  Mr. Cattaneo noted that he has been in contact with Creekbridge engineers and that they will take care of concerns prior to the transfer to the District.

 

Jose Burruel of Creekbridge Homes noted that he was coordinating maintenance issues and that a functional test was scheduled for Monday, August 9, 2004, and that Creekbridge would be transferring all engineering documents to the District.  Mr. Burruel noted that the system was a standard Allen Bradley system which was currently under the control of Dougherty pump.

 

Dr. Stevens asked if the District encountered any expenses who would pay.

 

Vice President Tobias responded that the Zone, homeowners would.  Dr. Stevens asked how this was calculated. 

 

Deputy District Engineer Jeff Cattaneo noted that the District has established an account for this zone in which expenses would be tracked.

 

Dr. Stevens asked Mr. Cattaneo if the rate would go up or go down.  Mr. Cattaneo noted that he did not at this point.  The rates will be reviewed in January to determine how much would be for overhead, operations, chemicals, power and for the replacement fund.

 

Ms. Susan Biskeborn noted that the homeowners had voted for this transfer and asked if how much they would be paying.

 

Mr. Cattaneo noted that the District agreed to keep the rate at $141 would not be raised for one year and that after six months the District would be able to tell how much it would cost to operate and maintain the system and that it would be similar to the Harmony Hills Water System in size and number of connections. 

 

Ms. Biskeborn asked what would be done about corrosion issues.   Mr. Cattaneo noted that they would be addressed.

 

Dr. Stephens asked if the water would be drinkable.  Mr. Cattaneo noted that the Department of Health Services would not allow for the transfer of the water system if the water was not drinkable.

 

Steven Jove asked about the copper issues and about interest bearing accounts.

 

Vice President Tobias noted that the funds would be handled based on the District’s investment policy.

 

District Manager/Engineer  John S. Gregg  noted that there was always a risk, however the risk of loss of principal is low.  The District will allocate funds to longer and higher interest rates.  Mr. Gregg discussed how the District has established zones for accounting and how the restriction of funds for only certain purposes.

 

e)       Close Public Hearing or continue to a later date

 

There being no further comments, President Perry closed the public hearing.

 

Director Swanson asked if the rates would be set as with all zones and if the $145.41 rate would be for one year.

 

Deputy Director Cattaneo noted that the 145.41 will be for one year and reviewed in January and would decide if the rate would be maintained or changed.

 

Vice President Tobias asked if a breakdown could be given to the homeowners regarding costs.

 

District Manager/Engineer John S. Gregg  noted that that could be done.

 

1)                                                                                       Ordinance Establishing Comstock Estates Water System (Zone 102) Rates and Charges

 

Upon a motion duly made and seconded, Ordinance No. 38, Ordinance Establishing Comstock Estates Water System (Zone 102) Rates and Charges was adopted.

 

2)      Resolution Establishing Rules and Regulations for Domestic (Potable) Water Services Charges in Zone 102 for 2004-2005 Water Year.

 

          Upon a motion duly made and seconded, Resolution No. 2004-17, Resolution Establishing Rules and Regulations for Domestic (Potable) Water Services Charges in Zone 102 for 2004-2005 Water Year was adopted.

 

3.                                        Public Hearing/Meeting Regarding the Establishment of Zone of Benefit and the Undertaking of Project – Fairview Road Water System

 

a)       Proof of Publication submitted on Notice of Public Hearing

 

          Administrative Services Officer Maria Alfaro noted that the Public Hearing Notice was published in the Pinnacle Newspaper on July 8 and July 15.

b)                 Status Report

 

District Manager/Engineer  John S. Gregg  noted that Jeff Cattaneo would make the presentation on this item.

 

Deputy District Engineer Jeff Cattaneo noted that a rate had been established at $62.00.  That there were only 10 service connection and less than 2000 feet of pipeline.  Mr. Cattaneo noted that is was a fairly simple system and that water quality information had been received by the District.

 

c)                 Open Public Hearing.

 

President Perry opened the public hearing. 

 

d)                 Close Public Hearing or continue to a later date.

 

There being no public comment, the President closed the public hearing.

 

e)                 Consideration of Resolution Establishing Zone No. 104 and Undertaking Project Therein.

 

Upon motion duly made and seconded, Resolution No. 2004-18, Resolution Establishing Zone NO. 104 and Undertaking Project Therein was adopted.

 

6.      Water Quality Monitoring Program (AB 303) (Todd Engineers)

 

          Deputy Director Jeff Cattaneo introduced Phyllis Stanin of Todd Engineers who was there to present this item.  Mr. Cattaneo noted that this project was for the development of a basin wide water quality monitoring program and that this report was available in hard copy at the District.

 

          Ms. Phyllis Stanin presented a Power Point presentation and noted that the program was supported by AB 303 the Local Groundwater Management Assistance Act.  She noted that information was collected from 861 groundwater wells and from 39 surface monitoring locations.

 

          Ms. Stanin summarized the project and discussed where the data was collected from various sources including the  Department of Health Services had 25 years of information from 100 water systems in the basin, from the Regional Water Quality Control Board, Department of Water Resources, the Sunnyslope County Water District, City of Hollister, U.S. Department of Agriculture and the San Benito County Water District had been collecting information since 1998.

         

          Ms. Stanin noted that a database is available for the public which contains graphics depicting the concentration of TDS, boron and nitrates, and that a confidential version contains the exact location of the wells.  Ms. Stanin noted that after 9/11 that information is not available to the public.

 

          Deputy District Engineer Jeff Cattaneo noted that there was an area with high levels of nitrates in an area where a poultry farm was located.

 

          Ms. Stanin noted that the goal was to monitor of water quality.  Ms. Staning provided recommendations which included the addition of wells in the San Juan Valley, a well in the north basin, and to prioritize with ancillary data.

 

 

7.      Groundwater Management Plan Update for the San Benito County Portion of the Gilroy-Hollister Groundwater Basin

 

          District Manager/Engineer John S. Gregg noted to the board that an action document is being presented, a Resolution .  The San Benito County Water District was designated as the lead agency for CEQA compliance.

 

          The action document has been reviewed by District Counsel and the other member agencies.  Mr. Gregg recommended that the board approve the Resolution which certifies the environmental document and that the board make certain findings and adopt overriding considerations.

 

a)      Consider Resolution Certifying Final Program Environmental Impact Report, Making Certain Findings Concerning Mitigation Measures, Adopting a Mitigation Monitoring and Reporting Program, Making Findings Concerning Alternatives, and Adopting A Statement of Overriding Considerations in Accordance with the California Environmental Quality Act For Groundwater Management Plan Update Project For Which a Program Environmental Impact Report Has Been Prepared and Approving for the Groundwater Management Plan Update for the San Benito County Portion of the Gilroy-Hollister Groundwater Basin

 

Upon a motion duly made and seconded, Resolution No 2004-19, Resolution Certifying Final Program Environmental Impact Report, Making Certain Findings Concerning Mitigation Measures, Adopting a Mitigation Monitoring and Reporting Program, Making Findings Concerning Alternatives, and Adopting A Statement of Overriding Considerations in Accordance with the California Environmental Quality Act For Groundwater Management Plan Update Project For Which a Program Environmental Impact Report Has Been Prepared and Approving for the Groundwater Management Plan Update for the San Benito County Portion of the Gilroy-Hollister Groundwater Basin, was adopted.

 

President Perry commended Mr. Gregg for his hard work on this item.

 

8.      Report on Negative Declaration for the Conditional Waiver of Waste Discharge Requirements for Irrigated Lands – Central Coast Regional Water Quality Control Board

 

          Deputy District Engineer Jeff Cattaneo presented a Power Point presentation regarding the ag waiver.  Mr. Cattaneo discussed the regional board’s action, the new waiver and the procedures for farming operations and who they applied to, enrollment requirements and when the coalition would be formed.

 

          President Perry noted that it was his belief that the San Benito County Water District would be able to implement this program.

 

          Vice President Tobias noted that this was within the District’s ability and did not know how this program would be able to be implemented by January 2005.

 

          Upon further discussion, Vice President Tobias noted that more research should be done on this program.

 

          President Perry designated Director Bob Swanson and Vice President Tobias to this committee.

 

 

9.      Report on Treated Water Systems

 

          District Manager/Engineer John S. Gregg noted that he would be attending a meeting on Monday, August 9th, to discuss this matter.

 

10.    Report on Wastewater Treatment and Disposal

 

          District Manager/Engineer John S. Gregg reported to the board that the Sunnyslope County Water District was working to respond quickly.  Mr. Gregg noted that the Sunnyslope County Water District needed to take action quickly relating to water quality and disposal capacity.  Mr. Gregg noted that he has been participating in the review of consultant proposals at the request of the Sunnyslope County Water District and board and noted that the scope of work was headed in the right direction.

 

          Mr. Gregg noted that the City of Hollister had considerable activity.  The District had received a technical memorandum and reports.  Lea Fischer has reviewed the documentation.  Mr. Gregg noted that the Regional Board staff is under the impression that everything is well and beautiful, however, that was not the case.  Kronick, Mostovitz, Tiedemann and Girard is working on this matter and will notify the Regional Board of the actual situation and that the City of Hollister is not complying with the cease and desist order.  The City’s industrial and domestic plants are in violation and degrading the groundwater in the basin.  Mr. Gregg noted that committee and intergovernmental meeting are planned for August.  The District has appealed for a hydrogeologic study of the basin and the District has a firm argument of the degradation of the groundwater.

 

11.     Committee Reports:

a.       Personnel Committee (Perry/Swanson)

 

District Manager/Engineer John S. Gregg noted that an offer had been made for Eva Schmoock’s replacement since Eva had decided not to return to work. 

 

Mr. Gregg also noted that negotiations with Field and Office employees with SEIU are continuing.

 

b.       Investment Committee (Tobias/Keck)

 

District Manager/Engineer John S. Gregg noted that this item was status quo for the month, not much activity to report.

 

12.    District Manager/Engineer’s Report:      

a.       Subsystem 9 Pipeline breaks

 

District Manager/Engineer John S. Gregg noted that a couple of breaks in subsystem 9.  The pipe is fiberglass and the District will be making some inquiries with other irrigation districts.  The District has similar pipes in subsystem 10.  Mr. Gregg noted that this type of pipe is also used in the petroleum business and chemical industry.

 

Mr. Gregg also discussed with the board that the District had received complaints from residents of Stonegate.  The residents wanted to know why the District work around the clock to complete the repair.  Mr. Gregg noted that the District will work with the County on this matter. 

 

Director Swanson noted that the residents could contact the operator of their CSA, the County.

 

Mr. Gregg noted that long term issues need to be addressed like additional tanks and a primary water source.

 

b.       San Justo Reservoir seepage and landslides

 

District Manager/Engineer John S. Gregg reported that the ongoing issues were seepage and landslides.  The Bureau has completed their analysis and the District will be receiving information about the possibilities for managing this matters. 

 

c.       San Luis Reservoir Low Point

 

District Manager/Engineer John S. Gregg noted that this matter exposes all the current information available about San Luis Reservoir is bottomed out at 300,000 acre feet which brings on water quality issues which exposes all of us to a limited level of liability but it appears that we will get through the September-October time frame.

 

d.       CVP Water Supply 2004-2005

 

District Manager/Engineer John S. Gregg reported that according to the billing calculated we will be in a better position to asses how much we have in this contract at present we may have 1000 to 1500 acre feet of water.  There are very eager markets for that water.  As a consequence, there are  meaningful quantities of water available and would not want to pass up the opportunity to make that water available to others.

 

e.       FY 2003/2004 Financial Reports and Audit

 

District Manager/Engineer John S. Gregg noted that work is underway at staff level.  Letters to attorneys and other financial institutions were sent out today.

 

There being no further business, the meeting adjourned at 10:05 p.m.

 

                                               

Kenneth Perry, President

                                               

Maria E. Alfaro, Administrative Services Officer