HomeMy WebLinkAbout12-04-20 Board Minutes 1
MINUTES OF THE BOARD OF DIRECTORS MEETING OF THE OTAY WATER DISTRICT, OTAY WATER DISTRICT FINANCING AUTHORITY, AND OTAY SERVICE CORPORATION
December 4, 2020
1. The meeting was called to order by General Manager Jose Martinez at 12:00 p.m.
2. ROLL CALL
Directors Present: Croucher, Gastelum, Robak, Smith and Thompson Staff Present: General Manager Jose Martinez, General Counsel Dan
Shinoff, General Counsel Jeanne Blumenfeld, Chief
Financial Officer Joe Beachem, Chief of Operations Pedro Porras, Chief of Engineering Rod Posada, Chief of Administration Adolfo Segura, Asst. Chief of Finance Kevin Koeppen, District Secretary Susan Cruz and others per
attached list.
3. PLEDGE OF ALLEGIANCE 4. APPROVAL OF AGENDA
A motion was made by Director Thompson, seconded by Director Robak and carried with the following vote: Ayes: Directors Croucher, Gastelum, Robak, Smith and Thompson
Noes: None
Abstain: None Absent: None to approve the agenda.
5. PUBLIC PARTICIPATION – OPPORTUNITY FOR MEMBERS OF THE PUBLIC TO SPEAK TO THE BOARD ON ANY SUBJECT MATTER WITHIN THE BOARD'S JURISDICTION BUT NOT AN ITEM ON TODAY'S AGENDA
No one wished to be heard.
6. DIRECTOR’S COMMENTS Director Gastelum indicated that he enjoyed his experience and work on the
board and he wished nothing but the best for the new board members.
Director Thompson stated that he came to the Otay WD during a time when there was a lot of misinformation about the District in the community. He stated after
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his appointment to the board, he found that the Otay WD was a well-run
organization with a dedicated board and staff. He indicated that he was grateful for being a part of a great team that is accomplishing excellent work with a noble mission (providing safe and reliable water services at a reasonable cost) for the public. He stated that he was proud of the work he, along with the board and
staff, have accomplished on behalf of the ratepayers and he thanked the staff
and his colleagues on the board for the wonderful experience. President Smith thanked both Directors Thompson and Gastelum for their service. He stated that, as board members, they understand that they are
providing service to the District’s ratepayers. The board represents the
ratepayers and provides oversight and input and he felt they both have done an excellent job in representing their ratepayers. Director Robak stated that he and Director Thompson had established a
friendship while working on the board and trying to do their best for the District’s
ratepayers. He stated that he would be missed and thanked him for his work on the board. He indicated to Director Gastelum that he has learned and grown a lot over the four (4) years that he has served on the board. He thanked him for his contributions and wished him the best and success.
Director Croucher concurred with comments made by President Smith and Directors Robak. He stated he appreciated working with Directors Thompson and Gastelum and he was also proud to be part of the Otay WD organization where they work to do their best for its ratepayers. He stated the District has
been the third (3rd) lowest cost water agency in the County for some time and just
recently moved to the fourth (4th) lowest. He stated that he expects that the District will go back to the 3rd lowest as other local agencies utilized their reserves to keep their water rate low. He indicated the District continues to stay focused on its water rates, reliability and quality. He stated he appreciated the
work they did for the District.
7. OATH OF OFFICE CEREMONY District Secretary Susan Cruz administered the oath of office to re-elected
Director Mark Robak and newly elected Directors Ryan Keyes and Jose Lopez.
The directors were elected in the November 2020 elections to the District’s Divisions 5, 2 and 4 seats, respectively. 8. PRESENTATION OF RECOGNITION PLAQUE TO BOARD PRESIDENT
Vice President Robak presented a recognition plaque on behalf of the Board of Directors and staff to Board President Croucher to thank him for his excellence in public service and outstanding leadership as president of the Otay Water District’s board of Directors during the past year. Director Croucher thanked
Director Robak and the board and indicated that it was an honor to serve as
President during the past year. 9. ELECTION OF BOARD PRESIDENT
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A motion was made by Director Croucher to elect Director Smith as President, Director Robak as Vice President and Director Lopez as Treasurer. The motion was seconded by Director Robak and carried with the following vote:
Ayes: Directors Croucher, Keyes, Lopez, Robak and Smith
Noes: None Abstain: None Absent: None
to elect Director Smith as President, Director Robak and Vice President and
Director Lopez as Treasurer. 10. RECESS OTAY WATER DISTRICT BOARD MEETING AND CONVENE A MEETING OF THE OTAY SERVICE CORPORATION
The Otay Water District board meeting was recessed at 12:29 p.m. and a meeting of the Otay Service Corporation board was convened. 11. ROLL CALL
Directors Present: Croucher, Keyes, Lopez, Robak and Smith 12. ELECTION OF OFFICERS: PRESIDENT, VICE PRESIDENT AND TREASURER
A motion was made by Director Robak, seconded by Director Croucher and carried with the following vote: Ayes: Directors Croucher, Keyes, Lopez, Robak and Smith
Noes: None
Abstain: None Absent: None to elect Director Smith as President, Director Robak as Vice President and
Director Lopez as Treasurer.
13. APPOINTMENT OF OFFICERS: EXECUTIVE DIRECTOR, CHIEF FINANCIAL OFFICER AND SECRETARY
A motion was made by Director Croucher, seconded by Director Lopez and
carried with the following vote: Ayes: Directors Croucher, Keyes, Lopez, Robak and Smith Noes: None
Abstain: None
Absent: None
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to appoint General Manager Martinez as Executive Director, Joe Beachem as
Chief Financial Officer and District Secretary Susan Cruz as Secretary. 14. ADJOURN OTAY SERVICE CORPORATION BOARD MEETING AND CONVENE THE OTAY WATER DISTRICT FINANCING AUTHORITY BOARD
MEETING
President Smith adjourned the Otay Service Corporation board meeting at 12:31 p.m. and convened the Otay Water District Financing Authority board meeting.
15. ROLL CALL Directors Present: Croucher, Keyes, Lopez, Robak and Smith
16. RE-AFFIRM OFFICERS OF THE OTAY WATER DISTRICT FINANCING
AUTHORITY A motion was made by Director Lopez, seconded by Director Robak and carried with the following vote:
Ayes: Directors Croucher, Keyes, Lopez, Robak and Smith Noes: None Abstain: None Absent: None
to elect Director Smith as President, Director Robak as Vice-President, General Manager Martinez as Executive Director, Chief Financial Officer Joe Beachem as Treasurer/Auditor, and District Secretary Susan Cruz as Secretary.
17. ADJOURN OTAY DISTRICT FINANCING AUTHORITY BOARD MEETING AND
CONVENE THE OTAY WATER DISTRICT BOARD MEETING President Smith adjourned the Otay District Financing Authority board meeting at 12:33 p.m. and reconvened the Otay Water District board meeting.
18. DISCUSSION OF THE 2021 BOARD MEETING CALENDARS There were no changes to the meeting calendar.
19. DIRECTORS' REPORTS/REQUESTS
President Smith indicated that he provided his report to District Secretary Cruz which will be attached to the minutes of this meeting.
Director Robak reported that he attended the ACWA Fall Conference which was
held virtually from December 2 to 3, 2020. He noted that most of the presentations were prerecorded and Mr. Steve Castaneda, a Director from Southbay Irrigation District, provided a very good presentation that he felt was
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very worthwhile. He stated that he hoped the District could meet in person in the
near future with the Coronavirus Vaccine beginning distribution. He thanked the ratepayers who are attending this afternoon’s meeting for their support. Director Croucher indicated that he has also submitted his report to District
Secretary Cruz and it will be attached to the minutes for today’s meeting. He
also shared that he and General Manager Martinez met with the Board Presidents and General Managers of the District’s local surrounding agencies (Helix WD, Lakeside WD, Padre Dam MWD and Sweetwater Authority) and discussed the importance of working together to maximize efficiencies between
our agencies. He indicated the District will need to contract a specialty service
for the inspection of the lining of a reservoir and they discussed that our agencies are already sharing equipment and that they should consider sharing staff with special expertise (such as the reservoir lining inspections) between our agencies. Director Croucher indicate that it was a good meeting and they had a full
discussion that also included thoughts on San Diego County Water Authority
(CWA) and individual agencies’ visions. Director Lopez indicated that he is pleased to serve on the Otay WD board once again. He stated that 20 years ago, tomorrow (December 5), he won his election
on a coin toss. During that year, there was approximately 5000 votes between
him and his opponent and this year there was nearly 16,000 votes between him and his opponent which shows how much growth the District has experienced over the last 20 years. He stated he served 16 years on the District’s board and the most defining and tumultuous year during his service was his first year, 2011,
on the board. There were trust issues at that time between members of the
board and 911 also hung over that year, but they got through the challenges and implemented a strategic plan that would set the course for many District successes. He stated those successes were accomplished by several current sitting board members (Directors Croucher, Robak and Smith), former board
members (Directors Thompson, Bonilla) and former General Manager Mark
Watton, and he indicated that he cannot emphasize enough, the employees (current and retired) who dedicated so much to the District. He stated the District still has much to achieve for its ratepayers to gain their acknowledgement and trust that the District is working to take care of business on their behalf. He
congratulated Directors Robak and Keyes for their election to the board and
thanked his family for all their support. Director Keyes thanked the board and staff for the warm welcome and indicated that it was an honor to be a part of the board. He stated as he walked the
community during his campaign, he was made aware of how COVID-19 was
impacting businesses, residents and family relations as the pandemic situation stretched for months while they worked to produce a vaccine. He stated it was clear the pandemic was hurting the community and he was encouraged to run for the board to see what could be done to advocate for the ratepayers He noted
that the District’s board is similar to a Public Utilities Commission who advocates
and develops creative initiatives on how to provide some relief to the ratepayers. He stated he was very much looking forward to working with the District’s board members and staff and was happy to be part of the Otay WD organization.
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20. PRESIDENT’S REPORT President Smith indicated he is looking forward to returning to normal operations, which Directors Croucher, Lopez and Keyes have also expressed. He stated
that returning to normal operations is not just for Otay WD, but for its customers.
He stated at the beginning of the pandemic the community was buying bottled water and the District forwarded postcards to its ratepayers to advise them that their tap water was safe to drink. He stated that he felt that getting that message out was one of the most important actions the District took at that time. The
District then transitioned to how they could assist its customers and ceased water
shutoffs and late penalty fees for delinquent accounts, which was also mandated by the State. He noted that these fees are not recoverable costs and would need to be addressed in the District’s budget. He stated that the bigger challenge the District will need to address is when the pandemic ends and customers who have
deferred paying their water bills for six (6) or more months now must start paying
their outstanding balance. He stated as Proposition 218 limits the District’s ability to develop special rates for low income/disadvantaged customers, the Board will be looking for creative solutions for customers that will be unable to catch up their payments. One idea is to develop legislation that provides support from the
State directly to low income/disadvantaged customers. Sweetwater Authority is
taking the lead in this endeavor and the District will be supporting their proposed legislation. He stated as the District’s representative on CWA and MWD, he has also approached them to support the legislation. He lastly shared that he would like the Otay WD to continue to be recognized as a leader in our region in all
areas; Finance, Information Technology, Operations, Human Resources,
Customer Service, etc. He lastly thanked the Board for electing him as President for the upcoming year and the staff for all they do. He wished all a happy holiday season.
21. ADJOURNMENT
With no further business to come before the Board, President Smith adjourned the meeting at 12:53 p.m.
___________________________________ President
ATTEST:
District Secretary
Board of Directors Meetings Attended Form
Director Name: Tim Smith Period Covered:
From: 11/1/20 To: 11/30/20
Item
No.
Date Meeting Attended Description
1.
11/4/20
OWD Regular Board Mtg.
Monthly Board Meeting (video conf.)
2.
11/16/20
Quarterly Meeting
Reviewed Quarterly Update with GM (video conf.)
3.
11/17/20
Council of Water Utilities
Meeting
Attended Council of Water Utilities Meeting (video conf.)
4.
11/18/20
East County Caucus Meeting
Discuss East County issues with agencies and CWA (video
conf.)
5.
11/18/20
CWA Matters Meeting
(Same Day–NO PER DIEM)
Discuss CWA Matters (video conf.)
6.
11/30/20
EO&WR Committee
Reviewed items that will be presented at the January Board
Meeting (video conf.)
7.
8.
9.
10.
-Instructions on Reverse -
Board of Directors Meetings Attended Form
Director Name:Mitchell Thompson Period Covered:
From: 11/1/2020 To: 12/4/2020
Item
No.
Date Meeting Attended Description
1.11/3/20 SCEDC Board Meeting Represent OWD at SCEDC Monthly Board Meeting
2.11/4/20 OWD Board Meeting See agenda, regular monthly board meeting
3.11/9/20 Quarterly Mtg with GM Discuss Various issues.
4.11/17/20 Council of Water Utilities
Mtg.
See agenda
5.11/19/20 Otay Chamber of
Commerce Bd Mtg
Agenda, incl presentation by J. Martinez
6.11/30/20 ACWA JPIA Board Mtg See agenda
7.12/1/20 OWD F&A Committee Mtg Agenda
8.12/4/20 OWD Special Board
Meeting
Agenda
9.
10.
-Instructions on Reverse -
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Board of Directors Meetings Attended Form
Director Name: Gary Croucher Period Covered:
From: 11/1/20 To: 11/30/20
Item No. Date Meeting Attended Description
1. 11/4/20 OWD Board Meeting OWD Regular Board Meeting
2.
11/16/20 Meeting w/ Sweetwater Authority Met with Sweetwater Authority General Manager and Board Member to discuss current issues and opportunities
3. 11/17/20
Meeting w/ Rainbow MWD Met w/ General Manager Jose Martinez and Rainbow
Board Vice President and General Manager to discuss Rainbow’s Proposed Detachment from CWA
4.
11/18/20
Committee Agenda
Briefing
Met w/ GM Martinez to review items that will be
presented at the November and December committee meetings
5.
11/23/20
CWA Matters Mtg Met with Dir Smith and GM Martinez to discuss CWA
matters
6.
11/30/20
EO&WR Committee Reviewed and made recommendation on items that will be presented at the January board meeting
Mark Robak
7014 From:11/1/2020 11/30/2020
ITEM DATE MEETING PURPOSE / ISSUES
MILEAGE HOME
TO OWD OWD TO
HOME
MILEAGE
OTHER
LOCATIONS
1 11/3/2020 South County EDC Monthly meeting 0 0
2 11/4/2020 OWD Board Meeting OWD Monthly Board Meeting 0 0
3 11/10/2020 East County Chamber of
Commerce Government Affairs & Infrastructure Committee 0 0
4 11/12/2020 Southern California Water
Coalition 36th Annual Event and Awards 0 0
5 11/17/2020 Council of Water Utilities
San Diego County
Gloria Gray of MWD & Gary Croucher
SDCWA speakers 0 0
6 11/19/2020 SDCWA Board Meeting Monthly meeting 0 0
7 11/19/2020 CSDA Chapter Quarterly Meeting - NO CHARGE 0 0
8 11/20/2020 County of San Diego Independent
Redistricting Commission meeting Selection of Additional Commissioners 0 0
0 0
$ 1,064
0 Miles
GM Receipt: Date: ___________________
OTAY WATER DISTRICT
BOARD OF DIRECTORS
PER-DIEM AND MILEAGE CLAIM FORM
Pay To:Period Covered
Employee Number
Total Mileage
Claimed:
Director Signature
($152 PER MEETING)
Total Meeting Per
Diem: