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HomeMy WebLinkAbout02-05-14 Board Packet 1 OTAY WATER DISTRICT BOARD OF DIRECTORS MEETING DISTRICT BOARDROOM 2554 SWEETWATER SPRINGS BOULEVARD SPRING VALLEY, CALIFORNIA WEDNESDAY February 5, 2014 3:30 P.M. AGENDA 1. ROLL CALL 2. PLEDGE OF ALLEGIANCE 3. APPROVAL OF AGENDA 4. APPROVE THE MINUTES OF THE REGULAR MEETINGS OF NOVEMBER 6, 2013 AND JANUARY 7, 2014 5. PRESENTATION ON THE OTAY WATER DISTRICT RECEIVING THE DIS- TRICT OF DISTINCTION ACCREDITATION AND DISTRICT TRANSPARENCY CERTIFICATE OF EXCELLENCE FROM THE SPECIAL DISTRICT LEADER- SHIP ASSOCIATION (DIRECTOR GONZALEZ) 6. 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 CONSENT CALENDAR 7. ITEMS TO BE ACTED UPON WITHOUT DISCUSSION, UNLESS A REQUEST IS MADE BY A MEMBER OF THE BOARD OR THE PUBLIC TO DISCUSS A PARTICULAR ITEM: a) APPROVE A MESSAGE ON ALL PROPOSITION 218 NOTICES DI- RECTING CUSTOMERS TO CONTACT THE DISTRICT’S CUSTOMER SERVICE DEPARTMENT FOR AN EXPLANATION IN SPANISH OF THE CONTENTS OF THE 218 NOTICE b) REAFFIRM RESOLUTION NOs. 4219 AND 4220 INITIATING THE PRO- CESS FOR THE EXCLUSION OF PARCELS WITHIN IMPROVEMENT 2 DISTRICTS (IDs) 19 AND 25 AND ALSO AMEND THESE RESOLU- TIONS TO REVISE THE DATE OF THE PUBLIC HEARING TO MARCH 5, 2014; CONCURRENT WITH THIS ACTION, THAT THE BOARD ALSO REAFFIRM THE RESOLUTIONS OF INTENTION, NOs. 4221 AND 4222, THAT ARE NECESSARY TO INITIATE THE PROCESS FOR THE AN- NEXATION OF THE EXCLUDED PARCELS IN IDs 19 AND 25 INTO IDs 22 AND 20, RESPECTIVELY c) APPROVE A PROFESSIONAL AS-NEEDED SERVICES CONSULTING SERVICES CONTRACT WITH DR. MICHAEL WELCH IN AN AMOUNT NOT-TO-EXCEED $100,000 FOR FISCAL YEARS 2014 THROUGH 2019 d) APPROVE CHANGE ORDER NO. 1 TO THE EXISTING CONTRACT WITH ADVANCED INDUSTRIAL SERVICES, INC. FOR A CREDIT IN THE AMOUNT OF <$73,338.63> FOR THE 803-3 AND 832-2 RESER- VOIRS INTERIOR/EXTERIOR COATINGS AND UPGRADES PROJECT e) APPROVE A RENEWAL TO THE “AGREEMENT FOR THE TEMPO- RARY EMERGENCY DELIVERY OF A PORTION OF THE MEXICAN TREATY WATERS” ACTION ITEMS 8. BOARD a) DISCUSSION OF THE 2014 BOARD MEETING CALENDAR REPORTS 9. GENERAL MANAGER’S REPORT a) SAN DIEGO COUNTY WATER AUTHORITY UPDATE 10. DIRECTORS' REPORTS/REQUESTS 11. PRESIDENT’S REPORT/REQUESTS RECESS TO CLOSED SESSION 12. CLOSED SESSION a) CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION [GOVERNMENT CODE §54956.9] 1 CASE 13. RETURN TO OPEN SESSION 3 14. REPORT ON ANY ACTIONS TAKEN IN CLOSED SESSION. THE BOARD MAY ALSO TAKE ACTION ON ANY ITEMS POSTED IN CLOSED SESSION 15. ADJOURNMENT All items appearing on this agenda, whether or not expressly listed for action, may be deliberated and may be subject to action by the Board. The Agenda, and any attachments containing written information, are available at the District’s website at www.otaywater.gov. Written changes to any items to be considered at the open meeting, or to any attachments, will be posted on the District’s website. Copies of the Agenda and all attachments are also available through the District Secretary by contacting her at (619) 670-2280. If you have any disability which would require accommodation in order to enable you to participate in this meeting, please call the District Secretary at (619) 670-2280 at least 24 hours prior to the meeting. Certification of Posting I certify that on January 31, 2014, I posted a copy of the foregoing agenda near the regular meeting place of the Board of Directors of Otay Water District, said time be- ing at least 72 hours in advance of the regular meeting of the Board of Directors (Gov- ernment Code Section §54954.2). Executed at Spring Valley, California on January 31, 2014. /s/ Susan Cruz, District Secretary 1 MINUTES OF THE BOARD OF DIRECTORS MEETING OF THE OTAY WATER DISTRICT November 6, 2013 1. The meeting was called to order by President Lopez at 3:34 p.m. 2. ROLL CALL Directors Present: Gonzalez, Lopez, Robak, and Thompson Directors Absent: Director Croucher (due to out-of-town work related training) Staff Present: General Manager Mark Watton, General Counsel Daniel Shinoff, Asst. GM German Alvarez, Chief of Engineering Rod Posada, Chief Financial Officer Joe Beachem, Chief of Information Technology Geoff Stevens, Chief of Administration Rom Sarno, Chief of Operations Pedro Porras and District Secretary Susan Cruz and others per attached list. 3. PLEDGE OF ALLEGIANCE 4. APPROVAL OF AGENDA Upon a motion by Director Thompson, seconded by Director Gonzalez and carried with the following vote: Ayes: Directors Gonzalez, Lopez, Robak and Thompson Noes: None Abstain: None Absent: Director Croucher to approve the agenda. 5. APPROVE THE MINUTES OF THE REGULAR MEETING OF OCTOBER 2, 2013 Upon a motion by Director Thompson, seconded by Director Robak and carried with the following vote: Ayes: Directors Gonzalez, Lopez, Robak and Thompson Noes: None Abstain: None Absent: Director Croucher 2 to approve the minutes of the regular meeting of October 2, 2013. 6. 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. 7. 2013 LEGISLATIVE UPDATE Mss. Chris Frahm and Rosanna Carvacho of Brownstein Hyatt Farber and Schreck LLP attended the District’s meeting to provide an update on bills of specific interest to the District and the activities that have occurred in Sacramento. Ms. Frahm indicated that much of the discussion in Sacramento has been on the water bond and whether there will be monies to fund it. Many agree that the proposed size of the bond is too big and in the last couple of years much of the work has been on trying to build consensus on a water bond, the timing, how it fits with everything else that is occurring within the State, including the Bay Delta Conservation Plan (BDCP) issues. She indicated that new members of the Assembly formed a working group whose focus is on the water bond. They are discussing what the bond should include and have also been reaching out to stakeholders and the public to hear what they envision the water bond to include. She stated, as the board is aware, that the Otay WD submitted a letter to chair of the working group, Assemblymember Rendon, providing the District’s comments and input. She stated that it is important that legislators hear the District’s perspective as they continue to discuss the issue. Her firm will continue to monitor this issue into the coming year. Ms. Frahm indicated that the BDCP is another major focus of the State and there is ongoing discussion on how it will be paid for. The State recently released its water plan and her firm will be recommending that the Otay WD provide comments on the water plan. She stated that next year will be a very active year and her firm will continue to monitor all the bills that are introduced by the Senate and Assembly. Ms. Carvacho indicated this is the first round of legislators serving twelve (12) year terms. She stated that the legislators are taking a different approach to legislating than their predecessors, likely due to their longer service terms. The new legislators really want to understand and get engaged in the issues and for this reason, there were less bills introduced this past year. They have made it clear that they want the water bond negotiations different from 2009 where there were backroom deals that formed the water bond. They are holding many public hearings for this purpose. She stated that this is a change that we will see over 3 the next few years as these new legislators become more senior members and the older legislators begin terming out. She indicated that the water bond was supposed to be on the 2012 ballot, however, the Governor wished it pushed back because he had Proposition 30 on the ballot. In 2014, the Governor will be on the ballot for re-election. There is a lot of speculation that he wants the bond pushed back again. This is currently unclear as he has not stated publicly what he wishes to do with the bond. Some of the Governor’s priorities include reducing the State’s debt to $5 million by 2016 or 2017 as this is when the temporary taxes from Proposition 30, passed last year, will start to expire, increasing the minimum wage, changing school funding formulas, immigration issues and prison overcrowding. Ms. Carvacho indicated that one of the bills her firm has been tracking for the District is AB 145 by Assemblymember Perea which proposes transferring the drinking water program from the Department of Public Health (DPH) to the State Water Resources Control Board (SWRCB). This bill received a lot of opposition and did not move forward. However, the Governor’s Administration has stated that they are in support of moving the program and the process will occur administratively. She indicated that in the first week of October, a task force was formed that included Ms. Diana Dooley, Secretary of Health and Human Services, and Mr. Matt Rodriguez, Secretary of the Environmental Protection Agency, to advise the Administration on how to transition the drinking water program to the SWRCB. It is expected that the transition will occur at the beginning of the next fiscal year which starts on July 1, 2014. She indicated that the impetus for the transition is a group of legislators who represent District’s that do not have clean drinking water. They introduced a bill called the Clean Drinking Water Package. It was a combination of eight (8) bills, of which, five (5) were passed and signed by the Governor. She noted that Assembly Bill 145 was included in the package and, while it did not pass, it will be implemented administratively. She stated that Assemblymember Perea has been a leader of the push to acquire money from the Drinking Water Revolving Fund and provide it to disadvantaged communities and he was not happy with the DPH in how long it has been taking them to appropriate the funding to these communities. These are very small communities located mainly in the Central Valley area that have poor quality groundwater for drinking water. These communities do not have the funding to produce proper drinking supplies. She stated the Federal Government was also not happy with the DPH and had sent a letter to them indicating that they were out of compliance. The DPH forwarded a response stating what they were doing to address the compliance issue. The Governor’s Administration supported the push to transfer the drinking water program and felt it should be 4 moved to the SWRCB as it would place all of the State’s water programs under one entity. Ms. Carvacho indicated that there were a few other bills that their firm was monitoring and the two bills regarding water recycling were both signed by the Governor. She indicated with regard to SB 322, authored by Senator Hueso, that Governor Brown did sign the bill with the caveat that the SWRCB and the DPH investigate the feasibility of developing uniform water recycling criteria for direct potable reuse and to provide a final report to the Legislature on the findings by December 31, 2016 or sooner if possible. This is a positive sign from the Governor that he supports this bill and it indicates that it will likely happen. She indicated that there are three (3) water bond bills being proposed. One that will be on the ballot next year and two (2) that are proposed and are currently in the legislature. There is not much happening with regard to the water bonds at this point. There have been two (2) informational hearings this fall since the legislature adjourned, one (1) Senate hearing, one (1) Assembly hearing. The Assembly’s Water Parks and Wildlife Committee is planning two (2) additional hearings. The dates and locations have not yet been set and her firm will keep their eye on this. It is expected that by January that there will be some movement as Senator Wolk’s Water Bond Bill is still in the Senate. She must move the bill out of the Senate by January 31, 2014 or the bill dies. Director Robak indicated that the State of California has the highest water rates and felt that whatever can be done to moderate rates would be in the best interest of the District. He also commented with regard to Senator Hueso’s bill, that it is in the District’s and the City of San Diego’s best interest to advocate for re-purified water/direct potable reuse and move the project along as fast as possible. He stated the Governor supports reuse and he felt it was incongruous that the County is not pushing more aggressively. General Manager Watton indicated that the region is pushing as aggressively as advisable and there have been discussions with Senator Hueso regarding direct potable reuse as it pertains to San Diego. He stated that there would be a $200 million dollar change in the project if San Diego could get direct potable reuse and it is high on the agenda. However, decisions need to be made on the San Diego project and there needs to be some indication that there will be a level of success. Director Robak reiterated that he hopes, as a region, we are pushing as aggressively as possible for things like direct potable reuse which can help moderate our region’s rates. CONSENT CALENDAR 8. ITEMS TO BE ACTED UPON WITHOUT DISCUSSION, UNLESS A REQUEST IS MADE BY A MEMBER OF THE BOARD OR THE PUBLIC TO DISCUSS A PARTICULAR ITEM: 5 Director Robak pulled item 7d, APPROVE AN AGREEMENT WITH THE LAW FIRM OF STUTZ, ARTIANO, SHINOFF AND HOLTZ, A PROFESSIONAL CORPORATION, FOR A TERM OF TWO (2) YEARS THROUGH DECEMBER 31, 2015 TO PROVIDE GENERAL COUNSEL SERVICES TO THE DISTRICT, for discussion. Upon a motion by Director Robak, seconded by Director Thompson and carried with the following vote: Ayes: Directors Gonzalez, Lopez, Robak and Thompson Noes: None Abstain: None Absent: Director Croucher to approve the following consent calendar items: a) ADOPT RESOLUTION NOs. 4219 AND 4220, TO INITIATE THE PROCESS FOR THE EXCLUSION OF PARCELS WITHIN IMPROVEMENT DISTRICTS (IDs) 19 AND 25; AND ADOPT RESOLUTION NOs. 4221 and 4222 TO INITIATE THE PROCESS FOR THE ANNEXATION OF THE EXCLUDED PARCELS IN IDs 19 AND 25 INTO IDs 22 AND 20 RESPECTIVELY b) APPROVE THE ISSUANCE OF A PURCHASE ORDER TO INLAND KENWORTH IN THE AMOUNT OF $175,876.30 FOR THE PURCHASE OF ONE (1) NEW KENWORTH UTILITY CREW TRUCK AND DECLARE UNIT NO. 111 UTILITY CREW TRUCK SURPLUS c) DECLARE A 2.41-ACRE PARCEL LOCATED ON SWEETWATER SPRINGS BOULEVARD (APN: 505-230-51-00) AS SURPLUS AND AUTHORIZE THE DISPOSAL OF THE DECLARED PROPERTY IN ACCORDANCE WITH APPLICABLE STATUTES AND LAWS IN THE BEST INTEREST OF THE DISTRICT e) 2015 TO PROVIDE GENERAL COUNSEL SERVICES TO THE DISTRICT f) ADOPT RESOLUTION NO. 4223 FIXING TERMS AND CONDITIONS FOR THE ANNEXATION OF CERTAIN REAL PROPERTY OWNED BY ST. GREGORY OF NYSSA GREEK ORTHODOX CHURCH, APNs: 498- 320-04-00 AND 498-320-45-00, TO THE OTAY WATER DISTRICT’S IMPROVEMENT DISTRICT NO. 18 g) APPROVE A PROFESSIONAL ENGINEERING SERVICES CONTRACT WITH HDR ENGINEERING, INC. FOR CORROSION ENGINEERING 6 SERVICES IN SUPPORT OF THE DISTRICT’S CATHODIC PROTECTION PROGRAM IN AN AMOUNT NOT-TO-EXCEED $684,750 h) APPROVE A CONSTRUCTION CONTRACT WITH LAYFIELD ENVIRONMENTAL SYSTEMS CORPORATION FOR THE 927-1 RECYCLED WATER RESERVOIR FLOATING COVER AND LINER REPLACEMENT IN AN AMOUNT NOT-TO-EXCEED $873,400 i) APPROVE A SECOND AGREEMENT AND THREE AMENDMENTS TO EXISTING CONTRACTS BETWEEN THE OTAY WATER DISTRICT AND HELIX WATER DISTRICT FOR EMERGENCY INTERCONNECTIONS j) ADOPT RESOLUTION NO. 4218 REVISING BOARD OF DIRECTORS POLICY NO. 12, EMPLOYMENT TERMINATION OF EMPLOYMENT OF DISTRICT PERSONNEL POLICY, AND POLICY NO. 24, RECRUITMENT, SELECTION, AND EMPLOYMENT POLICY President Lopez presented item 7d for discussion: d) APPROVE AN AGREEMENT WITH THE LAW FIRM OF STUTZ, ARTIANO, SHINOFF AND HOLTZ (SASH), A PROFESSIONAL CORPORATION, FOR A TERM OF TWO (2) YEARS THROUGH DECEMBER 31, 2015 TO PROVIDE GENERAL COUNSEL SERVICES TO THE DISTRICT Director Robak indicated that the board hires the General Manager, Auditor and General Counsel and he felt rather than handling this item on the consent calendar, he wished to have some discussion. He inquired if General Counsel Dan Shinoff wished to comment. Mr. Shinoff stated that it has been a tremendous privilege for his firm to work with Otay WD. He indicated he felt that the District has a great team/leadership and staff is prepared, organized and focused. He stated that the District did not seem to run into the traditional problems that exist with other public agencies which his firm has the privilege of working with as well. He stated that the District has good relations with its employees which assists in reducing legal expenses. General Manager Watton indicated that the District has been receiving a great level of service and, fortunately for the District, it does not have any litigation or complex issues at the moment. He indicated that SASH has the scope to be able to handle a wide variety of matters for the District and the District does try to practice preventive legal work which helps prevent some unfortunate results later. The District’s working relationship with SASH seems to be working out well from a staff perspective. 7 Director Thompson thanked SASH for their work and indicated that he had great confidence in the counsel they provide and that he viewed their advice as one of the most important that he receives as a board member. President Lopez indicated that he could always count on General Counsel to provide advice in layman terms and that he appreciated the work they do for the District. Upon a motion by Director Robak, seconded by Director Lopez and carried with the following vote: Ayes: Directors Gonzalez, Lopez, Robak and Thompson Noes: None Abstain: None Absent: Director Croucher to approve staffs’ recommendation. ACTION ITEMS 9. FINANCE, ADMINISTRATION AND INFORMATION TECHNOLOGY a) APPROVE THE DISTRICT’S AUDITED FINANCIAL STATEMENTS, INCLUDING THE INDEPENDENT AUDITORS’ UNQUALIFIED OPINION, FOR THE FISCAL YEAR ENDED JUNE 30, 2013 Finance Manager Kevin Koeppen introduced Messrs. Nintin Patel and David Foreman, representatives from White Nelson Diehl Evens, LLP (WNDE) who will speak on the audit process and the results of the audit. Mr. Koeppen indicated that staff is requesting that the board approve the District’s audited financial statements, including the Independent Auditors’ unqualified opinion for the fiscal year ended June 30, 2013. Please reference the Committee Action notes (Attachment A) attached to staff’s report for the details of Mr. Koeppen’s and the auditor’s report. Director Robak inquired if there were any areas of emphasis during this fiscal year’s audit. Mr. Patel indicated that he would need to review their risk analysis report and will provide feedback on the inquiry. He noted that it is something that they do in each audit. As this is Mr. Patel’s final year serving as Auditor to the District, Director Robak asked if he could sum up his experience with the District over the last five (5) years. Mr. Patel indicated that he felt that the relationship has been very professional and that the District’s staff was good to work with. His audit team had very little adjustments and from their viewpoint they have not had any difficulties in performing the audits. 8 Director Robak also inquired if the recommended number of changes is extraordinary or if it is fairly standard. Mr. Patel indicated that it is extraordinary, because it is getting more complicated. There were five new elements that needed to be included in the audit and in the last 25 years he has only known assets, liabilities and equity. Now new elements are being introduced which makes it more complicated and, thus, the number of recommended changes is extraordinary because the number of pronouncements is extraordinary. Director Thompson indicated that he felt that the District was very sound financially and in its financial reporting and that both are equally important. He indicated all the work that the District’s Finance Department does, in terms of financial planning, provides for the District’s strong credit rating which will create the kinds of opportunities that we want our ratepayers to have access to. General Manager Watton thanked the auditors and their firm for the good audit result and professional relationship. He stated what he enjoyed most about the audits is what the District’s staff learns from the auditors as they bring a different perspective. He stated that it is a sad parting between our organizations, but Best Management Practices and the District’s policy dictates that a new auditor be selected every five years. He stated that the District was very happy with the services their firm provided in the past five years. Mr. Patel indicated that they understood the policy and that it was a pleasure working with the District. Upon a motion by Director Robak, seconded by Director Thompson and carried with the following vote: Ayes: Directors Gonzalez, Lopez, Robak and Thompson Noes: None Abstain: None Absent: Director Croucher to approve staffs’ recommendation. 10. ENGINEERING AND WATER OPERATIONS a) APPROVE THE WATER SUPPLY ASSESSMENT AND VERIFICATION REPORT DATED SEPTEMBER 2013 FOR THE OTAY RANCH VILLAGE 2 SPA AMENDMENT b) APPROVE THE WATER SUPPLY ASSESSMENT AND VERIFICATION REPORT DATED SEPTEMBER 2013 FOR THE OTAY RANCH UNIVERSITY VILLAGES PROJECT (3 NORTH AND A PORTION OF 4, 8 EAST, AND 10) 9 General Manager Watton indicated that staff would like to combine the presentations for both items above, though they are two (2) discreet items. Environmental Specialist Lisa Coburn-Boyd presented on the Water Supply Assessment and Verification Reports (WSVR) for both the Otay Ranch Village 2 Spa amendment and the Otay Ranch University Villages Project. She indicated that the City of Chula Vista submitted requests to the District for WSVR for these two projects pursuant to Senate Bills 610 and 221. Please reference the Committee Action notes (Attachment A) attached to staff’s report for the details of Ms. Coburn-Boyd’s report. Director Robak commented that it is uncertain what will happen with the weather and climate change and that the District still needs to continue pushing water conservation programs. He indicated that he will support the WSVR again and stated that there are unknowns, but certainly the water supplies we have projected and the direction that water sales are going, there are adequate supplies. General Manager Watton indicated that the City of Chula Vista is very aggressive in incorporating conserving features (dishwashers, outdoor landscaping, etc.) in new developments, whether it is for the conservation of energy or water. The City has a very comprehensive plan for conservation. Director Gonzalez noted that the economist retained by the District had indicated that development would be more mixed use and multi-family residential as opposed to single family homes. He observed that what the economist had anticipated is what is happening now. He stated that it was good to have been provided that information. Upon a motion by Director Gonzalez, seconded by Director Robak and carried with the following vote: Ayes: Directors Gonzalez, Lopez, Robak and Thompson Noes: None Abstain: None Absent: Director Croucher to approve the WSAV Reports dated September 2013 for both the Otay Ranch village 2 Spa Amendment and the Otay Ranch University Villages Project (3 North and a portion of 4, 8 East, and 10. BOARD a) DISCUSSION OF 2013 BOARD MEETING CALENDAR District Secretary Cruz noted that the January 2014 board meeting currently falls on a holiday and would need to be rescheduled. General Manager Watton 10 stated with regard to the December board meeting, as the Board had commented in previous meetings that the December meeting has been traditionally canceled, staff had pushed to bring items required to be completed by the end of the year to the November board meeting. Staff was successful in doing so and if the board wishes to cancel the December meeting as per tradition, staff is prepared if the meeting is canceled. President Lopez proposed that the January 2014 board meeting be rescheduled to the following Wednesday, January 8, 2014. Upon a motion by Director Thompson, seconded by Director Gonzalez and carried with the following vote: Ayes: Directors Gonzalez, Lopez, Robak and Thompson Noes: None Abstain: None Absent: Director Croucher to approve canceling the December 4, 2013 board meeting and rescheduling the January 1, 2014 board meeting to January 8, 2014. 11. INFORMATIONAL ITEMS a) REPORT ON THE FINDINGS OF THE LATEST ACTUARIAL VALUATION PERFORMED AS OF JUNE 30, 2013; AND THE ACTUARIAL EVALUATION DETERMINING THE NET COST OR SAVINGS OF THE OTHER POST EMPLOYMENT BENEFIT (OPEB) PLAN ENHANCEMENT VERSUS THE INCREASED EMPLOYEE CONTRIBUTIONS TO PERS Finance Manager Kevin Koeppen provided a review of the Actuarial Report and net cost of the OPEB enhancement performed by Bartel Associates, LLC. He indicated that every two (2) years the District is required to have an actuarial study performed to determine the cost of the OPEB plan. The latest valuation was performed as of June 30, 2013 and covers fiscal years 2014 and 2015. Please reference the Committee Action notes (Attachment A) attached to staff’s report for the details of Mr. Koeppen’s report. Director Thompson indicated that he just wished to note that staff had provided a list indicating the status of the OPEB funds of the local agencies in San Diego at the request of the Finance, Administration and Communications Committee. He indicated that it looks like the District is in pretty decent shape and is one of the top four agencies that are closest to being fully funded which shows the safety and soundness of the District’s finances in general. He thanked staff for putting the information together. 11 b) FIRST QUARTER OF FISCAL YEAR 2014 CAPITAL IMPROVEMENT PROGRAM REPORT Engineering Manager Dan Martin provided an update on the District’s first quarter of FY 2014 Capital Improvement Program. He indicated that the FY 2014 budget is broken into 63 projects totaling $13.9 million. The overall expenditures for the first quarter are $1.5 million which is approximately 11% of the FY 2014 budget. Please reference the Committee Action notes (Attachment A) attached to staff’s report for the details of Mr. Martin’s report. Director Robak inquired if staff will be updating the District’s Water Resources Master Plan (WRMP). Mr. Martin indicated that staff will be updating the District’s WRMP and, at this time, staff is currently in the consultant selection process that will assist with the update. The directors will be hearing more about the master plan update at the January 2014 board meeting. Director Gonzalez commented that he attended an event where the City of San Diego Councilmember Mark Kersey was the guest speaker. Councilmember Kersey indicated during his presentation that the City is proposing putting a bond issue on the ballot for infrastructure maintenance because the City does not have money set aside for the maintenance of sidewalks, sewer piping, etc. Director Gonzalez indicated that one thing he likes about the District is that it has a replacement/maintenance program and, thus, it is prepared for breaks and any other maintenance that may be required of the water or sewer systems. REPORTS 12. GENERAL MANAGER’S REPORT SAN DIEGO COUNTY WATER AUTHORITY UPDATE General Manager Watton indicated that the major activity at CWA is focusing back on the Carlsbad Desalination rates. The District’s staff continues to participate in a leadership role in the discussion and the board will be provided an update as the discussions progress. He indicated that this issue will likely be the main focus at CWA for the next six (6) months. CWA staff is also monitoring how the Carlsbad desalination project is progressing. GENERAL MANAGER’S REPORT General Manager Watton indicated that periodically he meets with the General Managers of the neighboring agencies. He indicated that their last meeting happened to be in the Chula Vista across from one of Millenia’s projects. The project caught the attention of their group because of all the construction activity occurring at the site. That kind of construction activity has not been seen in 12 approximately six (6) to seven (7) years and he stated that there is more construction activity to come. Mr. Watton also reported that today he, Directors Lopez and Thompson, Chief of Engineering Rod Posada, and the District’s consultant Pete Silva met with the International Boundary and Water Commission (IBWC) and Comision Internacional de Limites y Aguas (CILA) to discuss the Rosarito desalination project and the possibility of an international desalination project. NSC Agua provided an update on the Rosarito Desalination Project. Mr. Watton indicated that the main purpose of the meeting was to inform both agencies on the progress of the project with the hope that it is the project that is focused on for the international desalination objective. He indicated that he felt that the meeting was positive and was the first time that the two groups met to discuss the possibility of an international desalination project. In follow-up to this meeting, General Manager Watton and the District’s consultant Pete Silva, will meet with the Commissioner and Chief Engineer of IBWC in December to request their official support of the Rosarito Desalination Project. General Manager Watton then presented information from his report that included the Cuyamaca College Drive East Water Main Break, Community Outreach, Contractor Outreach, Holiday Event, and Network Security. Director Robak inquired about the wooden trestle bridge over the District’s pipeline near the treatment plant; if the District had any plans to replace it with a more fire proof material considering the fires that has occurred in the District’s service area in the past. Environmental Specialist Coburn-Boyd indicated that the District does have a CIP project which is looking at making the bridge fire resistant or to replace the bridge. The District will also be working with the U.S. Fish and Wildlife Service because they have interest in utilizing the bridge as it is in the middle of their refuge. 13. DIRECTORS' REPORTS/REQUESTS Director Thompson indicated that he wished to share that November is male health awareness month and he wished to encourage employees to get a check- up in recognition of “November.” Director Gonzalez indicated that he attended the monthly Mendez Group’s “Abondigas” meeting where the City of San Diego Councilmember, Mark Kersey, spoke. He also stated that he participated in a webcast evaluating potable versus non-potable reuse treatment. Director Robak commended Director Thompson for announcing that November was “Male Health Awareness Month.” He indicated that it is important for everyone to get check-ups to protect their health. He also indicated that the Water Conservation Garden held their Ms. Smarty Plants Halloween event on 13 October 25. He and his family attended and enjoyed the event. He also shared that the Water Conservation Garden held their Plant Stravaganza event on November 2 which was also a successful event. He lastly indicated that he and Communications Officer, Armando Buelna, participated in the Jamul Festival which was celebrating their 50th Anniversary. He indicated that he and his son marched in the parade with the Boy Scouts. 14. PRESIDENT’S REPORT President Lopez reported on meetings he attended during the month of October 2013 (a list of meetings he attended is attached). b. CLOSED SESSION The board recessed to closed session at 5:18 p.m. to discuss the following matter: a) CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION [GOVERNMENT CODE §54956.9] 1 CASE The board reconvened at 5:48 p.m. and the District’s General Counsel, Dan Shinoff, indicated that the board took no reportable actions in closed session. 15. ADJOURNMENT With no further business to come before the Board, President Lopez adjourned the meeting at 5:48 p.m. ___________________________________ President ATTEST: District Secretary 14 President’s Report November 6, 2013 Board Meeting A) Meetings attended during the Month of October 2013: 1) October 2: Attended the District’s Regular Board Meeting 2) October 3: Attended a meeting of the Metro Commission: a. The Commission took action on the Joint Resolution Supporting Development of a Long-Range Regional Water Reuse Plan and Secondary Equivalency for Point Loma Wastewater Treatment Plant and discussed its FY 2014 Strategic Plan (see attached copy of agenda). 3) October 18: Committee Agenda Briefing. Met with General Manager Watton to review items that will be presented at the October Committee meetings. 4) October 22: Attended the District’s Finance, Administration and Communications Committee. Reviewed, discussed, and made recommendation on items that will be presented at the November board meeting. 5) October 23: Attended the District’s Engineering, Operations and Water Resources Committee on Director Croucher’s behalf. Reviewed, discussed, and made recommendation on items that will be presented at the November board meeting 6) October 31: Board Agenda Briefing. Met with General Manager Watton and General Counsel Dan Shinoff to review items that will be presented at the November Board Meeting. 7) November 1: Attended the Swear-In Ceremony for the Governor of Baja, California, in Mexicali. Attendees: General Manager Mark Watton, Chief of Engineering Rod Posada, and the District’s Bi-national Consultant Hector Mares. 1 MINUTES OF THE BOARD OF DIRECTORS MEETING OF THE OTAY WATER DISTRICT and OTAY SERVICE CORPORATION January 7, 2014 1. The meeting was called to order by President Lopez at 3:38 p.m. 2. ROLL CALL Directors Present: Croucher, Gonzalez, Lopez, Robak, and Thompson Staff Present: General Manager Mark Watton, Asst. General Manager German Alvarez, General Counsel Dan Shinoff, Chief Financial Officer Joe Beachem, Chief of Engineering Rod Posada, Chief of Administration Rom Sarno, Chief of Water Operations Pedro Porras and District Secretary Susan Cruz and others per attached list. 3. PLEDGE OF ALLEGIANCE 4. PRESENTATION OF RECOGNITION PLAQUE TO BOARD PRESIDENT Vice President Thompson presented a recognition plaque on behalf of the Board of Directors and staff to Board President Lopez to thank him for his leadership and dedicated service to the District during the past year. Director Croucher stated that it is a pleasure to serve on the board with President Lopez and thanked him for his knowledge and help over the years. President Lopez indicated he has been with the District thirteen (13) years and his goal for this year is for the District to stay on task and continue to improve and be a highly recognized agency not only in the County, but the State. 5. ELECTION OF BOARD PRESIDENT A motion was made by Director Gonzalez, seconded by Director Croucher and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to re-elect Director Lopez as President. 6. ELECTION OF VICE PRESIDENT A motion was made by Director Thompson, seconded by Director Croucher and carried with the following vote: Ayes: Directors Croucher, Lopez, Robak, and Thompson 2 Noes: None Abstain: Director Gonzalez Absent: None to elect Director Gonzalez as Vice President. 7. ELECTION OF BOARD TREASURER A motion was made by Director Lopez, seconded by Director Croucher and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to elect Director Thompson as Treasurer. 8. APPROVAL OF AGENDA A motion was made by Director Croucher, seconded by Director Gonzalez and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to approve the agenda. 9. 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 Mr. Ben Kalasho, President of the San Diego East County Caldean American Chamber of Commerce, indicated that he wished to share with the District information about the Chamber and request that the District consider a membership with the Chamber. He stated that in the month and half that they have officially opened, they have signed 120 members to the Chamber which included various organizations, local dignitaries, community leaders, etc. He stated that approximately 80,000 Caldean Americans live in San Diego County with approximately 25,000 living in Rancho San Diego which is served by the Otay WD. He shared that a board member of Helix WD, Mr. Joel Scalzitti, has also joined the Chamber’s board and that Chamber’s board is made up of fifteen (15) members, with six (6) being Caldean.. He stated that they wished their organization to be inclusive and not exclusive to Caldeans to create a bridge between communities and various ethnicities. He indicated that it would be an honor for their Chamber to work with the District. 3 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 3:53 p.m. and a meeting of the Otay Service Corporation board was convened. 11. ROLL CALL Directors Present: Croucher, Gonzalez, Lopez, Robak and Thompson 12. ELECTION OF OFFICERS: PRESIDENT, VICE-PRESIDENT, TREASURER, EXECUTIVE DIRECTOR, CHIEF FINANCIAL OFFICER AND SECRETARY A motion was made by Director Croucher, seconded by Director Gonzalez and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to elect Director Lopez as President, Director Thompson as Vice President, Director Gonzalez as Treasurer, General Manager Watton as Executive Director, Joe Beachem as Chief Financial Officer and District Secretary Susan Cruz as Secretary. 13. ADJOURN OTAY SERVICE CORPORATION BOARD MEETING AND CONVENE THE OTAY WATER DISTRICT FINANCING AUTHORITY BOARD MEETING President Lopez adjourned the Otay Service Corporation board meeting at 3:55p.m. and convened the Otay Water District Financing Authority board meeting. 14. ROLL CALL Directors Present: Croucher, Gonzalez, Lopez, Robak and Thompson 15. RE-AFFIRM OFFICERS OF THE OTAY WATER DISTRICT FINANCING AUTHORITY A motion was made by Director Thompson, seconded by Director Croucher and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None 4 to elect Director Lopez as President, Director Thompson as Vice-President, General Manager Watton as Executive Director, Chief Financial Officer Joe Beachem as Treasurer/Auditor, and District Secretary Susan Cruz as Secretary. 16. ADJOURN OTAY DISTRICT FINANCING AUTHORITY BOARD MEETING AND CONVENE THE OTAY WATER DISTRICT BOARD MEETING President Lopez adjourned the Otay District Financing Authority board meeting at 3:56p.m. and reconvened the Otay Water District board meeting. CONSENT CALENDAR 17. ITEMS TO BE ACTED UPON WITHOUT DISCUSSION, UNLESS A REQUEST IS MADE BY A MEMBER OF THE BOARD OR THE PUBLIC TO DISCUSS A PARTICULAR ITEM: Director Robak pulled item 20a, APPROVE A PROFESSIONAL SERVICES CONTRACT WITH ATKINS NORTH AMERICA, INC. FOR THE 2015 WATER FACILITIES MASTER PLAN AND PROGRAM ENVIRONMENTAL IMPACT REPORT UPDATES IN AN AMOUNT NOT-TO-EXCEED $434,731; 20e, ADOPT THE 2014 OTAY WATER DISTRICT LEGISLATIVE PROGRAM GUIDELINES; and 20h, APPROVE A THREE (3) YEAR AGREEMENT WITH AZTECA SYSTEMS, INC. IN AN AMOUNT NOT-TO-EXCEED $230,000 FOR A LICENSING AGREEMENT FOR CITY WORKS SOFTWARE; AND AN AGREEMENT WITH THE TIMMONS GROUP IN AN AMOUNT NOT-TO- EXCEED $370,000 FOR IMPLEMENTATION SERVICES FOR THE REPLACEMENT OF THE DISTRICT’S WORK MANAGEMENT SYSTEM, for discussion. Director Thompson pulled item 20b, APPROVE A CONSTRUCTION CONTRACT WITH ADVANCED INDUSTRIAL SERVICES, INC. FOR THE 624-2 RESERVOIR INTERIOR/EXTERIOR COATING AND UPGRADES PROJECT IN AN AMOUNT NOT-TO-EXCEED $1,199,000, for discussion. A motion was made by Director Thompson, seconded by Director Robak and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to approve the following remaining consent calendar items: c) APPROVE A CONSTRUCTION CONTRACT WITH COFFMAN SPECIALTIES, INC. FOR THE POTABLE WATER UTILITY RELOCATIONS ASSOCIATED WITH THE CALTRANS SR-11- SEQUENCE 1 PROJECT IN AN AMOUNT NOT-TO-EXCEED $992,380 d) APPROVE AN AGREEMENT BETWEEN THE SAN DIEGO COUNTY SANITATION DISTRICT (COUNTY) AND THE DISTRICT FOR 5 REIMBURSEMENT TO THE COUNTY FOR THE DESIGN AND CONSTRUCTION COSTS ASSOCIATED WITH THE RANCHO SAN DIEGO PUMP STATION REHABILITATION PROJECT; AND APPROVE AN INCREASE IN CIP BUDGET S2027 IN THE AMOUNT OF $600,000, INCREASING THE OVERALL CIP BUDGET FROM $2,900,000 TO $3,500,000 f) ADOPT ORDINANCE NO. 540 TO AMEND THE DISTRICT’S CODE OF ORDINANCES SECTION 3.06 (C), WITHDRAWAL OF FUNDS, TO ALLOW FOR DELEGATES APPROVAL OF THE RELEASE OF PAYMENTS THAT WILL INCREASE THE EFFICIENCY AND PRACTICALITY OF THE DISTRICT’S OPERATION g) APPROVE A PURCHASE ORDER TO NEXUS, INC. IN THE AMOUNT OF $204,850.50 FOR THE PURCHASE OF INFORMATION TECHNOLOGY NETWORK EQUIPMENT AND SERVICES President Lopez presented Item 20a for discussion: a) APPROVE A PROFESSIONAL SERVICES CONTRACT WITH ATKINS NORTH AMERICA, INC. FOR THE 2015 WATER FACILITIES MASTER PLAN AND PROGRAM ENVIRONMENTAL IMPACT REPORT UPDATES IN AN AMOUNT NOT-TO-EXCEED $434,731 Engineering Manager Bob Kennedy indicated that staff is requesting that the board authorize a contract with Atkins North America, Inc. (Atkins) to assist the District in updating its Water Facilities Master Plan for 2015 and Program Environmental Impact Report. Please reference the Committee Action notes (Attachment A) attached to staff’s report for the details of Mr. Kennedy’s report. Director Robak inquired what staff thought was unique about Atkins in that they felt they had the best approach and would provide the best overall value to the District. Mr. Kennedy indicated that Atkins had prepared the District’s last update five years ago and, thus, they have extensive knowledge of the District. When the panel interviewed Atkins, it was very apparent that they were well ahead of the other firms in terms of their knowledge as they already knew what potential CIP’s they would need to review. Also, Atkins has extensive knowledge on the development side because they do work for many of the developers that the District works with which exposes them these developers long range plans. Because of this, staff felt that they would be able to complete a comprehensive update more quickly than the other firms. In response to another inquiry from Director Robak, Mr. Kennedy indicated that when there were substantial increases in the densities of developer projects, the District requested that the Developers pay for a consultant to update the District’s Master Plan to reflect the new increased project densities. This occurred twice, once for the City of San Diego with regard to the Otay Mesa area and the second instance was when the densities in the several of the Otay Ranch planning areas were intensely increased. The Developer selected the consultant they wished to 6 handle the update and provided the revised documents to the District. It just happened in both occasions that Atkins was selected to handle the update. General Manager Watton indicated that the Master Plan is foundational to the Environmental Impact Report and in showing the nexus between the cost of infrastructure and developer fees. Mr. Kennedy indicated in response to a question from Director Thompson that due to Atkins knowledge, there would be savings in staff time. One of the items that staff looked for in the interviews is the strength of the people that are proposing on the project, the project manager and support staff. It was felt that HDR had a strong project manager; however, her support staff was very inexperienced and did not contribute in the interview portion of the selection process. Because of this observation, staff felt that HDR may not be able to complete the document satisfactorily. A motion was made by Director Robak, seconded by Director Lopez and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to approve staffs’ recommendation. President Lopez presented Item 20b for discussion: b) APPROVE A CONSTRUCTION CONTRACT WITH ADVANCED INDUSTRIAL SERVICES, INC. FOR THE 624-2 RESERVOIR INTERIOR/EXTERIOR COATING AND UPGRADES PROJECT IN AN AMOUNT NOT-TO-EXCEED $1,199,000 Director Thompson inquired, with regard to the solicitation for bids, if the District could indicate in the RFP that if the delivery of bid materials is late due to a delivery service (UPS, Fed-X, etc.), that the deadline would automatically be extended or possibly the District could push back the time to open bids to later in the afternoon. He indicated that he would like to avoid rebidding projects due to delivery services being late. Assistant Civil Engineer II Kevin Cameron responded that the deadline was moved from 2:00 p.m. to 3:00 p.m. on the bid opening day. He stated that bidders wish to know the outcome of the bid on the same afternoon of the bid opening, so moving the time to 5:00 p.m. would not allow staff to get the information out on the same day. He indicated that bids must be opened at a specific time and the time must be indicated in the bid documents. Director Thompson requested that staff review this issue to avoid having to rebid projects in the future due to a delivery issue. A motion was made by Director Thompson, seconded by Director Robak and carried with the following vote: 7 Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to approve staffs’ recommendation with the understanding that staff will review the issue concerning delivery services to minimize their impact on the bid process. President Lopez presented Item 20e for discussion: e) ADOPT THE 2014 OTAY WATER DISTRICT LEGISLATIVE PROGRAM GUIDELINES Director Robak indicated that he wished to just comment that he would like to see more regular legislative updates, possibly quarterly, to keep the board updated on legislative issues. General Manager Watton indicated that once the Legislative session starts, staff will provide an update for the board on legislative matters. A motion was made by Director Robak, seconded by Director Lopez and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to approve staffs’ recommendation. President Lopez presented Item 20h for discussion: h) APPROVE A THREE (3) YEAR AGREEMENT WITH AZTECA SYSTEMS, INC. IN AN AMOUNT NOT-TO-EXCEED $230,000 FOR A LICENSING AGREEMENT FOR CITY WORKS SOFTWARE; AND AN AGREEMENT WITH THE TIMMONS GROUP IN AN AMOUNT NOT-TO-EXCEED $370,000 FOR IMPLEMENTATION SERVICES FOR THE REPLACEMENT OF THE DISTRICT’S WORK MANAGEMENT SYSTEM Information Technology Manager Adolfo Segura indicated that this item is a request that the Board approve the replacement of the work order system. He indicated that the original work order system, GBA Work Order System, was implemented in 2006. The implementation of this software moved the District from paper based work orders in the field and other operational work to a computerized maintenance management system. The GBA Work Order System worked well, however, the District is moving toward integrating work order lifecycle elements with inspections and capital planning. To continue to utilize the GBA Work Order System, the District would need to build or buy 8 middleware/bridge pieces to integrate the systems. Staff is proposing an agreement with Azteca Systems which will provide the District the benefit to leverage its GIS investment and integration with the District’s financial systems. Staff has been working on this solution for about two (2) years now. Please reference the Committee Action notes (Attachment A) attached to staff’s report for further details of Mr. Segura’s report. A motion was made by Director Robak, seconded by Director Thompson and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to approve staffs’ recommendation. ACTION ITEMS 18. BOARD Director Thompson requested that the Board consider discussing item 20b next as a representative of the proposed audit firm is in attendance of the District’s meeting. b) AWARD A CONTRACT TO AN ACCOUNTING FIRM TO SERVE AS THE DISTRICT’S AUDITORS FOR THE FISCAL YEAR ENDING JUNE 30, 2014; THE CONTRACT WILL BE FOR ONE (1) YEAR WITH FOUR (4) ONE-YEAR OPTIONS SUBJECT TO THE BOARD REVIEW AND APPROVAL Finance Manager Kevin Koeppen indicated that staff is requesting that the board award a contract to an accounting firm to serve as the District’s auditors for the fiscal year ending June 30, 2014. Mr. Koeppen introduced Mr. Richard Teaman, Teaman, Ramirez & Smith, who gave a brief background on his firm. Please reference the Committee Action notes (Attachment A) attached to staff’s report for further details of Mr. Koeppen’s report and Mr. Teaman’s presentation. Director Thompson indicated that the District’s Finance, Administration and Communications Committee felt that Teaman, Ramirez & Smith was very qualified. The District was very fortunate that their firm wished to increase its presence in San Diego County as it provided for the District to receive a very competitive price for their services. A motion was made by Director Robak, seconded by Director Thompson, and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None 9 Absent: None to appoint the firm of Teaman, Ramirez & Smith as the District’s auditor for Fiscal Year 2014. a) APPROVE AN AGREEMENT WITH TECHNOWSION, INC. FOR A THREE (3) YEAR LICENSING AGREEMENT FOR GE iFIX SCADA SYSTEM AND IMPLEMENTATION SERVICES FOR THE REPLACEMENT OF THE DISTRICT’S SCADA SYSTEM IN AN AMOUNT NOT-TO-EXCEED $415,000 IT Manager Segura indicated that staff is requesting the board’s authorization to replace the District’s SCADA system. The SCADA System provides critical services that includes remote data collection, system monitoring and operational control function of water distribution assets. Please reference the Committee Action notes (Attachment A) attached to staff’s report for further details of Mr. Segura’s report. Director Croucher inquired if the District has reached out to any of the surrounding agencies to form partnerships so our systems are compatible to allow the agencies’ systems to “talk” together, which would allow for the sharing of information, or if it was felt that it was not important to do so. Mr. Segura indicated that the GE iFIX SCADA system is utilized internationally. It is deployed in over 80 countries around the world and is used by major companies like General Electric. He stated that there are 20 to 30 vendors in Southern California who could support this system. Mr. Segura indicated that there is no standard among the agencies and systems can be very simple to much more complex (a $200,000 system versus a $2 million system). Staff noted that the District’s SCADA System is separate and is not connected to any of the District’s systems or internet for security purposes. Also, each agency has its own architecture for the design and operation of their system and in an emergency it would be difficult for agencies to decipher one another’s system or even to merge the systems. In response to an inquiry from Director Robak, Mr. Segura indicated that the SCADA Replacement Project is under budget. The project involves the replacement of the software and a request for professional services for the implementation of the new system. The District will also purchase new servers that will run the new system. Staff indicated that there are actually four (4) different SCADA related project budgets that are combined for this project: 1) $600,000 was budgeted for the SCADA System replacement; 2) $160,000 for the Firetide Radio installation; 3) $165,000 for the three-day battery back-up; and 4) $70,000 for sensors for the generator fuel levels which allows staff to monitor when generators require fuel. The PLC field devices (with useful life) will remain in production to communicate with the new SCADA software. Staff also indicated that the main concern with the existing software is it is no longer supported. The new software will also provide additional capability. With the implementation of the software, the project will be completed. As with other systems, it will require maintenance, updates, patches, etc. 10 A motion was made by Director Robak, seconded by Director Thompson, and carried with the following vote: Ayes: Directors Croucher, Gonzalez, Lopez, Robak, and Thompson Noes: None Abstain: None Absent: None to approve staffs’ recommendation. c) DISCUSSION OF 2014 BOARD MEETING CALENDAR There were no changes to the board meeting calendar. INFORMATIONAL ITEMS 19. THESE ITEMS ARE PROVIDED TO THE BOARD FOR INFORMATIONAL PURPOSES ONLY. NO ACTION IS REQUIRED ON THE FOLLOWING AGENDA ITEMS. a) REPORT ON DIRECTOR’S EXPENSES FOR THE 1st QUARTER OF FISCAL YEAR 2013 The board waived presentation and recommended that the report be received and filed. REPORTS 20. GENERAL MANAGER’S REPORT General Manager Watton presented his report which included the status of the District’s fire suppressions system, Strategic Plan, 2010 A&B Bonds Arbitrage Rebate Calculation, Rosarito Beach Desalination Project, CWA’s request for electrical services, and Mexico’s request for water flows and renewal of the agreement for water delivery. SAN DIEGO COUNTY WATER AUTHORITY UPDATE: General Manager Watton indicated that the MWD versus CWA lawsuit was heard in December and the court has not yet made a decision. He indicated that it is a very complex litigation that has been ongoing for approximately three (3) years. There will be post hearing filings in the next week while the judge’s ruling is waited upon. It was noted that whatever the judge rules, the decision will be appealed. Mr. Watton indicated that Director Robak had asked about the total cost CWA has spent on the lawsuit. He stated the District is not yet aware of the exact cost, but will receive the information from CWA soon, possibly the end of January or the first part of February. He stated that MWD has probably spent $16 million in total expenses and CWA has spent approximately $8 million. He 11 lastly shared that the desalination rate will become the focus at CWA over the next six (6) months. Director Croucher also reported with regard to CWA that he attended the Colorado River Users Conference last month. He stated that the conference presented information on the importance of relationship building and working together. He indicated that it was chaired by one of the Tribal Nations and the ten Tribes presented quite a bit of documentation and video showing how they are working together in and around the basin States which benefits the communities, the Tribes, water issues and the economy. He stated that the conference was very worthwhile. He stated that CWA is also focusing on the cost of service study for desalination, fiscal sustainability and what could be done to encourage all the agencies to develop local water resources. The same discussions are happening between MWD and CWA with regard to being able to show independence with regard to water resource availability He also shared that he and General Manager Watton had met with CWA’s General Manager, Ms. Maureen Stapleton, and discussed the issues concerning the Colorado River. There was a positive discussion regarding the agencies working together on the desalination program and she asked what CWA can do, in terms in its resources, to help the Otay WD. He stated that it was an encouraging meeting. 21. DIRECTORS' REPORTS/REQUESTS There were no Directors’ reports. 22. PRESIDENT’S REPORT President Lopez reported on meetings he attended during the month of November and December 2013 (a list of meetings he attended is attached). RECESS TO CLOSED SESSION 23. CLOSED SESSION The board recessed to closed session at 5:08 p.m. to discuss the following matters: a) CONFERENCE WITH LEGAL COUNSEL – ANTICIPATED LITIGATION [GOVERNMENT CODE §54956.9] 2 CASES RETURN TO OPEN SESSION 24. REPORT ON ANY ACTIONS TAKEN IN CLOSED SESSION. THE BOARD MAY ALSO TAKE ACTION ON ANY ITEMS POSTED IN CLOSED SESSION 12 The board reconvened at 5:50 p.m. and General Counsel Shinoff indicated that no reportable actions were taken in closed session. 25. ADJOURNMENT With no further business to come before the Board, President Lopez adjourned the meeting at 5:50 p.m. ___________________________________ President ATTEST: District Secretary 13 President’s Report January 7, 2014 Board Meeting A) Meetings attended during the Month of November 2013: 1) November 1: Attended the Swear-In Ceremony for the Governor of Baja, California, in Mexicali. Attendees: General Manager Watton, Chief of Engineering Rod Posada and the District’s Bi-national Consultant Hector Mares 2) November 6: a) Met with CILA and IBWC regarding the Rosarito Desalination Project. Attendees: Director Thompson, General Manager Watton, Chief of Engineering Posada and District consultant Pete Silva b) Attended the District Regular Board meeting. 3) November 15: Attended the Water Conservation Garden Donor Appreciation Event. 4) November 21: Attended the CSDA Quarterly Dinner. Mr. Dan McAllister, SD County Treasurer/Tax Collector, provided a LAFCO and Sacramento legislature update. Attendees: Communications Officer Buelna B) Meetings attended during the Month of December 2013: 1) December 5: Attended a meeting of the Metro Commission: a) The Commission discussed and took action on the Joint Resolution Supporting Development of a Long-Range Regional Water Reuse Plan and Secondary Equivalency for Point Loma Wastewater Treatment Plant and discussed its FY 2014 Strategic Plan (see attached copy of agenda). 2) December 6: Committee Agenda Briefing. Met with General Manager Watton to review items that will be presented at the December Committee meetings. 3) December 10: Attended a meeting of the Finance, Administration and Communications Committee. Reviewed, discussed, and made recommendation on items that will be presented at the January 2014 board meeting. 4) December 11: Attended the Water Conservation Garden Board Meeting. (copy of agenda attached). 14 5) December 17: Met with Mr. John Bolthouse, Executive Director of the Water Conservation Garden, to discuss a pilot program for the Garden. Attendee: Director Thompson and General Manager Watton 6) December 20: Board Agenda Briefing. Met with General Manager Watton and General Counsel Dan Shinoff to review items that will be presented at the January Board Meeting. STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: February 5, 2014 SUBMITTED BY: Alicia Mendez-Schomer, Customer Service Manager PROJECT: DIV. NO. All APPROVED BY: Joseph R. Beachem, Chief Financial Officer German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Proposition 218 Notices for Spanish Speaking Customers GENERAL MANAGER’S RECOMMENDATION: That the Board instruct staff to include a brief, but prominent, message on all Proposition 218 notices directing customers to contact Customer Service for an explanation in Spanish. In addition, staff will place the same or similar message on the District website where the notices are posted. COMMITTEE ACTION: See Attachment A. PURPOSE: To address the Board’s concerns regarding Proposition 218 notices in Spanish and to better meet the needs of our customers. ANALYSIS: Staff understands the need to communicate the Proposition 218 notices to all our customers and also recognizes that not all customers have a convenient means to comprehend the information in these notices. The Proposition 218 notices are important notices which should be understood by our customers. The notices are legally required and highly sensitive as they must precisely convey the water and sewer rate changes and communicate the protest process. The Board discussed this issue during the recent Proposition 218 hearing highlighting that with the large number of Spanish speaking customers; there should be some means to address the needs of the Spanish speaking community. In Otay’s latest customer survey in 2012, the question of “preferred language” was asked. The results were that 2% of those surveyed expressed a desire, but not a need, for Spanish. Using that percentage of our 50,000 customers, 1,000 customers would prefer notices in Spanish. Based on this data, we expect the percentage of those who need information communicated in Spanish would be well below 2%. To meet this need staff has considered the following three options. 1. Fully translate the Proposition 218 notices into Spanish. Staff has researched the cost of translating and mailing the notices in Spanish. While it would be costly, this is not the main concern. The issue of translation is not as simple as finding a translation service and translating the notices. The legal sensitivity of these notices is extremely high; therefore, the typical translation service is not in a position to understand the nuances of the notices. The District must be precise and convey a message that will not be misunderstood by a careful reader. The ability of the District to implement rate changes depends on the language being able to withstand legal challenges. This finely crafted language is very difficult to execute in English and can only be well executed by someone who is intimately involved with our rates, highly expert in English, and understands the legal sensitivities of the Proposition 218 law. The District sends seven different notices. Each of these notices is particular to a specific customer class. Each notice has input from at least 10 staff members and the District’s legal counsel. These notices go through as many as 15 iterations as they are thoroughly and repeatedly reviewed and proofed. In addition to the risk of translation error is the limited time frame in which the District has to produce and distribute these notices in time to have the public hearing and implement the rates. This difficult process becomes much more risky and costly with the full translation and mailing of the notices. For these reasons staff recommends one of the other alternatives. 2. Place a message on all Proposition 218 notices. Place a brief, but prominent, message on all Proposition 218 notices directing customers to call Customer Service for an explanation in Spanish. Staff is fully confident in the Spanish speaking Customer Service Representatives’ ability to explain the rate changes and protest process to any Spanish speaking customer who calls. Therefore, explaining the notices would be accurate but would not have the legal sensitivity of a formal Spanish notice. This meets the needs of the Spanish speaking community, uses existing resources, and does not add risk to this highly sensitive and time restricted process. Staff would also place a brief, but prominent, Spanish message on the website where the notices are posted. 3. Informational piece in Spanish. Prepare and have available an informational piece in Spanish that would be offered to those who call for assistance. This informational piece would explain the rate changes and the protest process. Staff recommends that the effort to translate an informational piece only be spent on the residential customer class notices. It is expected that the other classes of service would have resources available to translate documents from English to other languages, as needed, in their business environment. However, all notices would have a prominent message in Spanish explaining how assistance can be obtained through our customer service department where staff would be available to assist all customer classes. FISCAL IMPACT: Joe Beachem, Chief Financial Officer Option 1 would incur significant costs. Bids would need to be obtained to determine the exact costs if this option is chosen. Options 2 and 3 would be done by internal staff and no additional costs would be incurred. STRATEGIC GOAL: 1.1.1.2 Maximize our customer satisfaction by expanding and improving our communications. LEGAL IMPACT: None. Attachments: Attachment A – Committee Action ATTACHMENT A SUBJECT/PROJECT: Proposition 218 Notices for Spanish Speaking Customers COMMITTEE ACTION: The Finance, Administration and Communications Committee reviewed this item at a meeting held on January 22, 2014 and the following comments were made:  Staff indicated that this item is presented to receive the Board’s direction on future Proposition 218 notices. The Board had commented during the last Proposition 218 Hearing held in September 2013, how the District can assist its Spanish speaking customers to understand the Proposition 218 notice and how they can protest any changes proposed by the notices.  The Proposition 218 notices are legally required and must precisely convey the water and sewer rate changes and the protest process.  To better understand the number of Spanish speaking customers in the District, staff referenced the last customer service survey completed in 2012. The survey had asked its respondents their language preference. The results of this information was utilized to extrapolate how many customers may wish help understanding the Proposition 218 notices in Spanish. Staff determined that about 1000 of the District’s customers would prefer assistance understanding the notices in Spanish. Note that these customers would prefer assistance in Spanish, but do not necessarily need assistance in Spanish.  Staff proposed three options to meet the needs of these customers. Please reference page two (2) and three (3) of the staff report for a review of these options.  Staff indicated that the Proposition 218 notices contain very intricate language as prescribed by State law and to exactly translate the notices would be very difficult. Staff is concerned that the notices could be challenged if they are believed to be improper or to have conflicting language. The Federal agencies of IBWC and CILA have agreements which are in both English and Spanish and it was indicted that these agencies spend months negotiating contracts to assure they indicate the same information in both languages. Exact translations in two languages is really difficult and it is more of a negotiations process between the two contracting parties for an agreement. In the District’s case there is no negotiations, customers just receive the notice.  Staff indicated that phone conversations or an informational piece in Spanish is not under legal obligation, thus, the translations don’t require the exact preciseness that the Proposition 218 notices require.  The committee requested that staff include a prominent message on all Proposition 218 notices directing customers to contact the District’s customer service department for an explanation in Spanish of the contents of the 218 Notice. The committee also requested that staff have available an informational piece, for residential customers, highlighting the impact of the rate changes and the protest process for customers who request assistance.  The committee asked that staff keep a log of the feedback received from customers concerning the Proposition 218 notices and include a comment in the annual budget presentation with regard to the additional outreach the District is providing for its Spanish speaking customers with regard to the Proposition 218 notices. Following discussion, the Committee supported staff’s recommendation and presentation to the full board as a consent item. STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: February 5, 2014 SUBMITTED BY: Rita Bell, Finance Manager PROJECT: DIV. NO. All APPROVED BY: Joseph R. Beachem, Chief Financial Officer German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Adopt Amendments to Resolution Nos. 4219 and 4220 to Consolidate Improvement District (ID) 19 into ID 22 and ID 25 into ID 20 and Authorize Advertising of these Resolutions as Required by the Water Code and Government Code GENERAL MANAGER’S RECOMMENDATION: That the Board reaffirm the attached Resolutions of Intention, Nos. 4219 and 4220, initiating the process for the exclusion of parcels within Improvement Districts (IDs) 19 and 25 and also amend these resolutions to revise the date of the public hearing to March 5, 2014 to receive public comments regarding the District’s intention to annex the excluded parcels in IDs 19 and 25 into IDs 22 and 20, respectfully. The Board had previously approved the District’s intention to exclude parcels in IDs 19 and 25 and annex those parcels into IDs 22 and 20, respectively, at a meeting held on November 6, 2013, but is now simply setting a new date for the public hearing. Concurrent with said action, that the Board also reaffirm the attached Resolutions of Intention, Nos. 4221 and 4222 that are necessary to initiate the process for the annexation of the excluded parcels in IDs 19 and 25 into IDs 22 and 20, respectively. PURPOSE: That the Board authorize and initiate the process for the exclusion of parcels within Improvement Districts (IDs) 19 and 25 to be annexed into IDs 22 and 20, respectively. Authorize staff to advertise, per Government Code Section 6066, the attached Resolutions of Intention 4219, 4220, 4221, and 4222 for a period of two weeks. Once this requirement has been complied with, a second set of resolutions will be presented to confirm the exclusions and annexations. Direct staff to submit the appropriate forms and fees required to complete the Board action with the State Board of Equalization and the County of San Diego that would exclude parcels within IDs 19 and 25 to be annexed into IDs 22 and 20, respectively. A subsequent action will request that IDs 19 and 25 be dissolved effective July 1, 2014. ANALYSIS: On May 14, 2013, the Board directed staff to move forward with the consolidation process. This action is the first of two necessary steps to complete this consolidation. Once the exclusion and annexation are initiated by the Board, staff will publish the resolutions as required by statute and then the Board will have the ability to confirm the exclusion and annexation at a subsequent meeting. The exclusion will then become effective on the 31st day after completion of the publication and posting of the resolutions to exclude. The annexations become effective after the date of the adoption of the resolutions approving the annexation. The availability charges and water rates and charges are identical between IDs 19 and 22 and IDs 25 and 20, and staff has determined that there is no longer a reason to separate these parcels. This will streamline the accounting and tracking of these parcels within the District’s various information systems. Because the proposed consolidation technically imposes a “new” charge on customers, in compliance with the Proposition 218 requirements notices were sent to all customers within these IDs to inform them of their option to protest rate changes. The required public hearing took place at the September 4, 2013 Board Meeting where the Board determined there were no protests regarding this action. FISCAL IMPACT: Joe Beachem, Chief Financial Officer None. STRATEGIC GOAL: Through well-established financial policies and wise management of funds, the District will continue to guarantee fiscal responsibility to its ratepayers and the community at large. LEGAL IMPACT: None. Attachments: A) Committee Action B) Resolution No. 4219 Exhibit A – Legal Description ID 19 Exhibit B – Map ID 19 C) Resolution No. 4220 Exhibit A – Legal Description ID 25 Exhibit B – Map ID 25 D) Resolution No. 4221 Exhibit A – Legal Description ID 19 Exhibit B – Map ID 19 E) Resolution No. 4222 Exhibit A – Legal Description ID 25 Exhibit B – Map ID 25 ATTACHMENT A SUBJECT/PROJECT: Adopt Amendments to Resolution Nos. 4219 and 4220 to Consolidate Improvement District (ID) 19 into ID 22 and ID 25 into ID 20 and Authorize Advertising of these Resolutions as Required by the Water Code and Government Code COMMITTEE ACTION: The Finance, Administration and Communications Committee reviewed this item at a meeting held on January 22, 2014 and the following comments were made:  Staff indicated that this item has been presented several times to the board; once prior to the Budget Workshop, at the Budget Workshop to receive the Board’s direction and at the October 2013 board meeting to comply with the Proposition 218 process.  Following staffs’ presentation at the October 2013 board meeting, this item was to be agendized for the November 2013 board meeting for board action to complete the exclusion and annexation of parcels in IDs 19 and 25 into IDs 22 and 20, respectively. However, because the November agenda was quite full, it was requested that staff hold this item for presentation at a later meeting.  As this item was held for a future meeting, a new date must be set for a Public Hearing to receive public comments with regard to the District’s intention to annex the excluded parcels in IDs 19 and 25 into IDs 22 and 20, respectively. Staff is requesting that the board reaffirm the Resolutions of intention to consolidate the Improvement Districts (IDs) and approve the amendment to the Resolutions setting the date of the Public Hearing from November 6, 2013 to March 5, 2014.  The Resolutions will be posted and published two (2) weeks prior to the March 5, 2014 board meeting, where the board will adopt the final Resolutions to complete the consolidation of the IDs. Following discussion, the Committee supported staff’s recommendation and presentation to the full board as a consent item. 1 RESOLUTION NO. 4219 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT DECLARING ITS INTENTION TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 19 WHEREAS, on April 19th, 1971 by Resolution No. 866, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 19 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3rd, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability charges and water rates and charges are identical between IDs 19 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, by initiating proceedings to consolidate ID 19 into ID 22 it would streamline the accounting and tracking of these parcels; and WHEREAS, the Board hereby declares, by its own motion, its intention to exclude parcels in ID 19 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 22; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees and charges for the parcels excluded from ID 19 and annexed into ID 22, which were approved at its September 4, 2013 Board meeting, where the Board determined that there were no protests regarding this action; Attachment B 2 NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, on its own motion, does hereby declare its intention to exclude parcels within ID 19, as identified in Exhibits A & B to this resolution. 2. That the taxes for carrying out the purposes of ID 19 will not be levied upon taxable property in the excluded territory following such exclusion. 3. That there is no bond debt on ID 19 and, therefore, taxes for the payment of principal and interest on any outstanding bonds of ID 19 will not be levied upon taxable property in the excluded territory following such exclusion. 4. That, following such exclusion, the taxable property in the territory remaining in ID 19, if any, shall continue to be levied upon and taxed to provide funds for the purposes of ID 19. 5. That a map showing the exterior boundaries of the proposed territory to be excluded, with relation to the territory remaining in ID 19, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the proposed exclusion. 6. That notice is hereby given that a hearing shall be held by the Board on Wednesday, March 5, 2014 at 3:30 p.m. on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Water District, ID 19 and the territory to be excluded. At such time and place, any person interested, including all persons owning property in the Otay Water District or in ID 19, will be heard. BE IT FURTHER RESOLVED that the Board directs staff to provide notice of the proposed exclusion and publish a copy of this Resolution of Intention to Exclude pursuant to and consistent with Government Code section 6066 and Water Code section 72084. 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 5th day of February, 2014. President ATTEST: Secretary 1 RESOLUTION NO. 4220 RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT DECLARING ITS INTENTION TO EXCLUDE PARCELS FROM IMPROVEMENT DISTRICT 25 WHEREAS, on May 1st, 1978 by Resolution No. 1498, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 25 for the purpose of incurring bonded indebtedness for the construction of a water transmission and distribution system; and WHEREAS, on May 17th, 1971 by Resolution No. 880, the Board formed ID 20 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability charges and water rates and charges are identical between IDs 25 and 20; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, by initiating proceedings to consolidate ID 25 into ID 20 it would streamline the accounting and tracking of these parcels; and WHEREAS, the Board hereby declares, by its own motion, its intention to exclude parcels in ID 25 pursuant to Water Code Sections 72080, et seq., with an eye towards annexing the excluded parcels into ID 20; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees and charges for the parcels excluded from ID 25 and annexed into ID 20, which were approved at its September 4, 2013 Board meeting, where the Board determined that there were no protests regarding this action; Attachment C 2 NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, on its own motion, does hereby declare its intention to exclude parcels within ID 25, as identified in Exhibits A & B to this resolution. 2. That the taxes for carrying out the purposes of ID 25 will not be levied upon taxable property in the excluded territory following such exclusion. 3. That there is no bond debt on ID 25 and, therefore, taxes for the payment of principal and interest on any outstanding bonds of ID 25 will not be levied upon taxable property in the excluded territory following such exclusion. 4. That, following such exclusion, the taxable property in the territory remaining in ID 25, if any, shall continue to be levied upon and taxed to provide funds for the purposes of ID 25. 5. That a map showing the exterior boundaries of the proposed territory to be excluded, with relation to the territory remaining in ID 25, is on file with the Secretary of the District and is available for inspection by any person or persons interested. Said map shall govern for all details as to the extent of the proposed exclusion. 6. That notice is hereby given that a hearing shall be held by the Board on Wednesday, March 5, 2014, at 3:30 p.m. on the questions of the proposed exclusion and the effect of such exclusion upon the Otay Water District, ID 25 and the territory to be excluded. At such time and place, any person interested, including all persons owning property in the Otay Water District or in ID 25, will be heard. BE IT FURTHER RESOLVED that the Board directs staff to provide notice of the proposed exclusion and publish a copy of this Resolution of Intention to Exclude pursuant to and consistent with Government Code section 6066 and Water Code section 72084. 3 PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 5th day of February, 2014. President ATTEST: Secretary Page 1 of 3 RESOLUTION NO. 4221 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT DECLARING ITS INTENTION TO ANNEX PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT 19 INTO IMPROVEMENT DISTRICT 22 WHEREAS, on April 19th, 1971 by Resolution No. 866, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 19 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction and completion of water improvements and works; and WHEREAS, on July 3rd, 1972 by Resolution No. 986, the Board formed ID 22 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability charges and water rates and charges are identical between IDs 19 and 22; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, by initiating proceedings to consolidate ID 19 into ID 22 it would streamline the accounting and tracking of these parcels; and WHEREAS, the Board hereby declares its intention to annex parcels excluded from ID 19, if approved, into ID 22, pursuant to Water Code sections 72700, et seq.; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees and changes for the parcels excluded from ID 19 and annexed into ID 22, if approved, at its September 4, 2013 Board meeting, where the Board determined that there were no protests regarding this action; Attachment D Page 2 of 3 NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, pursuant to Water Code sections 72700, et seq., does hereby declare its intention to annex the parcels excluded from ID 19, if approved, into ID 22, as described in Exhibit A: 2. That the purpose of the proposed annexation, in conjunction with the exclusion of parcels from ID 19, is to streamline the accounting and tracking of parcels in IDs with the same availability charges and water rates and charges, thereby increasing efficiencies for the Otay Water District without resulting in any changes to the fees or charges imposed on property owners. 3. A depiction of the area proposed to be annexed, and the boundaries of IDs 19 and 22 following the annexation, is set forth on a map in Exhibit B filed with the Secretary of the District, which map shall govern for all details as to the area proposed to be annexed. 4. That the annexation of said parcels is subject to the owners complying with the following terms and conditions: (a) Payment of yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (c) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. (d) Payment of all other applicable local or state agency fees or charges. 5. That the holders of title to any of the parcels to be annexed may file written protests with the Secretary of the District regarding the annexation or the annexation upon the terms and conditions identified above, to the following address: Page 3 of 3 District Secretary Otay Water District 2554 Sweetwater Springs Boulevard Spring Valley, CA 91978 4. That notice is hereby given that a hearing shall be held by the Board on Wednesday, November 6, 2013, at 3:30 p.m. at which the Board will receive written protests theretofore filed with the Secretary of the District, receive additional written protests, and hear from any and all persons interested in the annexation. BE IT FURTHER RESOLVED that the Board directs staff to provide notice of the proposed annexation and publish and post a copy of this Resolution of Intention to Annex pursuant to and consistent with Government Code section 6066 and Water Code sections 72702 and 72703. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of November, 2013. President ATTEST: __________________________________ District Secretary Page 1 of 3 RESOLUTION NO. 4222 A RESOLUTION OF THE BOARD OF DIRECTORS OF OTAY WATER DISTRICT DECLARING ITS INTENTION TO ANNEX PARCELS EXCLUDED FROM IMPROVEMENT DISTRICT 25 INTO IMPROVEMENT DISTRICT 20 WHEREAS, on May 1st, 1978 by Resolution No. 1498, the Otay Water District Board of Directors (“Board”) formed Improvement District (“ID”) 25 for the purpose of incurring bonded indebtedness for the construction of a water transmission and distribution system; and WHEREAS, on May 17th, 1971 by Resolution No. 880, the Board formed ID 20 for the purpose of incurring necessary bonded indebtedness for the acquisition, construction, and completion of water improvements and works; and WHEREAS, the availability charges and water rates and charges are identical between IDs 25 and 20; and WHEREAS, staff has determined that there is no longer a reason to separate these parcels; and WHEREAS, by initiating proceedings to consolidate ID 25 into ID 20 it would streamline the accounting and tracking of these parcels; and WHEREAS, the Board hereby declares its intention to annex parcels excluded from ID 20, if approved, into ID 25, pursuant to Water Code sections 72700, et seq.; and WHEREAS, in compliance with Proposition 218, the Otay Water District held the required public hearing on the new fees and changes for the parcels excluded from ID 25 and annexed into ID 20, if approved, at its September 4, 2013 Board meeting, where the Board determined that there were no protests regarding this action; Attachment E Page 2 of 3 NOW, THEREFORE, BE IT RESOLVED as follows: 1. That the Board of Directors, pursuant to Water Code sections 72700, et seq., does hereby declare its intention to annex the parcels excluded from ID 25, if approved, into ID 20, as described in Exhibit A: 2. That the purpose of the proposed annexation, in conjunction with the exclusion of parcels from ID 25, is to streamline the accounting and tracking of parcels in IDs with the same availability charges and water rates and charges, thereby increasing efficiencies for the Otay Water District without resulting in any changes to the fees or charges imposed on property owners. 3. A depiction of the area proposed to be annexed, and the boundaries of IDs 25 and 20 following the annexation, is set forth on a map in Exhibit B filed with the Secretary of the District, which map shall govern for all details as to the area proposed to be annexed. 4. That the annexation of said parcels is subject to the owners complying with the following terms and conditions: (a) Payment of yearly assessment fees of $30.00 per acre of land and $10.00 per parcel of land less than one acre which will be collected through the County Tax Assessor’s office. (c) In the event that water service is to be provided, the payment of all applicable water meter fees per Equipment Dwelling Unit (EDU) at the time the meter is purchased. (d) Payment of all other applicable local or state agency fees or charges. 5. That the holders of title to any of the parcels to be annexed may file written protests with the Secretary of the District regarding the annexation or the annexation upon the terms and conditions identified above, to the following address: Page 3 of 3 District Secretary Otay Water District 2554 Sweetwater Springs Boulevard Spring Valley, CA 91978 4. That notice is hereby given that a hearing shall be held by the Board on Wednesday, November 6, 2013, at 3:30 p.m. at which the Board will receive written protests theretofore filed with the Secretary of the District, receive additional written protests, and hear from any and all persons interested in the annexation. BE IT FURTHER RESOLVED that the Board directs staff to provide notice of the proposed annexation and publish and post a copy of this Resolution of Intention to Annex pursuant to and consistent with Government Code section 6066 and Water Code sections 72702 and 72703. PASSED, APPROVED AND ADOPTED by the Board of Directors of the Otay Water District at a regular meeting held this 6th day of November, 2013. President ATTEST: __________________________________ District Secretary STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: February 5, 2014 SUBMITTED BY: Bob Kennedy Engineering Manager PROJECT: Various DIV. NO. All APPROVED BY: Rod Posada, Chief, Engineering German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Award of a Professional As-Needed Consulting Services Contract for Fiscal Years 2014 through 2019 GENERAL MANAGER’S RECOMMENDATION: That the Otay Water District (District) Board of Directors (Board) authorize the General Manager to execute a Professional As-Needed Consulting Services Agreement with Dr. Michael Welch in an amount not-to-exceed $100,000 for Fiscal Years 2014 through 2019. COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board authorization for the General Manager to enter into a Professional As-Needed Consulting Services Agreement with Dr. Michael Welch in an amount not-to-exceed $100,000 for Fiscal Years 2014 through 2019 (see Attachment D). ANALYSIS: Dr. Welch has more than a 30 year history in assisting the District in groundwater, recycled water, drinking water, and seawater desalination facilities planning and regulatory issues. In the 1980s, he assisted the District in securing original permit approvals for the Ralph W. Chapman Water Recycling Facility and the District's "purple pipe" recycled water system. He assisted the District in the 1990s and 2000s in recycled water use regulatory compliance and investigating groundwater supply development opportunities. More recently, he assisted the District in complying with Salt and Nutrient Management provisions of the 2009 State Recycled Water Policy. He is currently assisting the District in addressing the California Department of Public Health and other regulatory issues associated with seawater desalination. Given the many challenges in advancing this desalination project, the District will benefit by retaining the services of a consultant to advise the board and management on matters concerning desalination water quality, requirements of the California Department of Public Health, and the Regional Water Quality Control Board among other subjects related to water resources development opportunities. Staff is recommending the engagement of Dr. Welch as a sole source consultant based on his experience and knowledge in these matters (see Resume and Business Information, Attachments B and C). Dr. Welch has been engaged as a consultant to the District in a similar capacity under the General Manager’s authority since 2009 and his analysis, reporting, and expertise has been of benefit to the District on many different subjects. With Dr. Welch’s efforts, the District has established very important contacts and relationships with various regulatory agencies. This has resulted in a better understanding of the various projects and initiatives by local, state, and federal agencies. Dr. Welch’s billing rate is $150/hour. In addition to the Otay Mesa Conveyance and Disinfection System project, there are other opportunities for Dr. Welch to help the District, including but not limited to, recycled water regulations, groundwater regulations, potable water quality regulations, and water treatment alternatives. Dr. Welch will continue to provide valuable insight and assistance in these efforts. FISCAL IMPACT: Joe Beachem, Chief Financial Officer The funds for this contract will be expended for a variety of projects, as previously noted above. This contract is for as-needed professional services based on the District’s need and schedule, and expenditures will not be made until a task order is approved by the District for the consultant’s services on a specific CIP project. The District also has the option of terminating this agreement on a ten (10) calendar days’ notice. Based on a review of the financial budgets, the Project Manager anticipates that the budgets will be sufficient to support the professional as-needed consulting services required for the CIP projects noted above. The Finance Department has determined that the funds to cover this contract are available as budgeted for these projects. STRATEGIC GOAL: This supports the District's Mission statement, "To provide high value water and wastewater services to the customers of Otay Water District, in a professional, effective, and efficient manner" and the District's Strategic Goal, "To satisfy current and future water needs for potable, recycled, and wastewater services." LEGAL IMPACT: None. BK:RP/jf P:\WORKING\CIP P2451 Desalination Feasibility Study\Staff Reports\Board 2-5-14 M Welch\BD 02-05-14, Staff Report, Award of Consulting Services Contract to Michael Welch, (BK).docx Attachments: Attachment A – Committee Action Attachment B - Resume Attachment C – Business Information Attachment D - Agreement ATTACHMENT A SUBJECT/PROJECT: Various Award of a Professional As-Needed Consulting Services Contract for Fiscal Years 2014 through 2019 COMMITTEE ACTION: The Engineering, Operations, and Water Resources Committee (Committee) reviewed this item at a meeting held on January 21, 2014, and the following comments were made:  Staff recommended that the Board authorize the General Manager to execute a Professional As-Needed Consulting Services Agreement with Dr. Michael Welch in an amount not-to-exceed $100,000 for Fiscal Years 2014 through 2019.  It was indicated that Dr. Welch has more than a 30-year history in assisting the District in regulatory issues and is well-known throughout the state. In the 1980s, Dr. Welch helped the District secure original permit approvals for the Ralph W. Chapman Water Recycling Facility and the District’s “purple pipe” recycled water system. He also helped in the 1990s and 2000s in recycled water use regulatory compliance and investigating groundwater supply development opportunities. Two years ago, Dr. Welch assisted in complying with Salt and Nutrient Management provisions of the State Recycled Water Policy.  Staff stated that Dr. Welch is currently assisting the District in addressing the California Department of Public Health and other regulatory issues associated with seawater desalination.  Staff is recommending the engagement of Dr. Welch as a sole source consultant based on his experience and knowledge in these matters (See Attachments B and C, Resume and Business Information).  It was noted that with Dr. Welch’s efforts, the District has established very important contacts and relationships with various regulatory agencies.  Staff indicated that in addition to the Otay Mesa Conveyance and Disinfection System project, there are other opportunities for Dr. Welch to help the District with water quality regulations and water treatment alternatives.  In response to a question from the Committee, staff stated that Dr. Welch is very knowledgeable of Regional Water Quality Control Board standards and helped the District with the Rancho Del Rey project.  In response to a comment from the Committee, staff stated that Dr. Welch’s fees are well within the range of other District consultant fees and reasonable considering Dr. Welch’s background as a well-known expert throughout the state and that he has approximately 36 years of experience in planning and implementing recycled water, wastewater, groundwater, potable water and desalination projects. Following discussion, the EO&WR Committee supported staffs’ recommendation and presentation to the full board as a consent item. MICHAEL R. WELCH, Ph.D., P.E. CONSULTING ENGINEER REGISTRATION California, 1979, Civil Engineer, No. 30990 EDUCATION Ph.D., 1988, Civil Engineering, University of California, Irvine, California M.S., 1977, Civil Engineering, Stanford University, Stanford, California B.S., 1977, Civil Engineering, Stanford University, Stanford, California. PROFESSIONAL MEMBERSHIPS American Society of Civil Engineers American Water Works Association California Water Environment Association Water Environment Federation HONORARY MEMBERSHIP Tau Beta Pi EXPERIENCE AND PROFESSIONAL BACKGROUND Dr. Welch has over thirty-six years experience in planning and implementing Southern California recycled water, wastewater, groundwater, water, and desalination projects. Dr. Welch has served as an independent consultant since 1994, and specializes in assisting municipalities and public agencies in evaluating regulatory compliance with state and federal water quality regulations, state and federal drinking water regulations, and state public health regulations. Dr. Welch has more than a 30 year history in assisting the Otay Water District in groundwater, recycled water, drinking water, and seawater desalination facilities planning and regulatory issues. In the 1980s, he assisted the District in securing original permit approvals for the Ralph W. Chapman Water Recycling Facility and the District's "purple pipe" recycled water system. He assisted the District in the 1990s and 2000s in recycled water use regulatory compliance and investigating groundwater supply development opportunities. More recently, he has assisted the District in addressing regulatory issues associated with seawater desalination. In addition to the Otay Water District, Dr. Welch has assisted a number of other Southern California clients in water, recycled water, and wastewater regulatory compliance, including: Seawater Desalination. Dr. Welch served as a regulatory consultant to Poseidon Resources Corporation's proposed seawater desalination facilities in Carlsbad and Huntington Beach, California. In this capacity, he assisted Poseidon in assessing brine discharge impacts, preparing Environmental Impact Reports, addressing California Department of Public Health issues, addressing Regional Water Quality Control Board issues, and obtaining NPDES permits for the discharge of waste brine to the ocean from Poseidon's Carlsbad and Huntington Beach facilities. Reservoir Augmentation. Dr. Welch serves as a regulatory consultant on the City of San Diego Water Purification Demonstration Project team that obtained in 2012 concept approval from the California Department of Public Health and Regional Water Quality Control Board for the discharge of highly purified recycle water to San Vicente Reservoir. He is also currently assisting the Rancho California Water District and City of Escondido in assessing the feasibility of indirect potable recharge to potable water storage reservoirs. ATTACHMENT B In the early 1990s, Dr. Welch prepared the original San Diego County Water Authority concept feasibility study assessing the potential for discharging highly purified recycled water to San Vicente Reservoir. Subsequently in the mid-1990s, he served as one of three principal investigators that led the City of San Diego team that refined the reservoir augmentation concept and obtained the first-ever concept approval from the State of California Department of Public Health for the proposed discharge of purified recycled water to a drinking water reservoir. Salinity and Brine Management. In 2006, Dr. Welch prepared a study for the San Diego County Water Authority that assessed salinity impacts and salinity management options for the Region’s imported water supplies, local groundwater supplies, and local recycled water supplies. He is currently assisting the National Water Research Institute in preparing an issues paper that addresses compliance issues and strategies associated with the ocean discharge of waste brine. Additionally, he has assessed brine management and disposal options and assisted clients in obtaining NPDES permits for the: • City of Escondido discharge from the City's Industrial Brine Collection System (IBCS), • City of Carlsbad recycled water demineralization facility discharge to the Encina Ocean Outfall, • discharges of brackish groundwater brine to the South Orange County Wastewater Authority San Juan Creek Ocean Outfall and Aliso Creek Ocean Outfall, and • City of Oceanside groundwater demineralization discharge to the Oceanside Ocean Outfall. Groundwater Evaluations. Dr. Welch has served as lead investigator in a wide variety of groundwater quality or groundwater management efforts that involve recycled water discharges, including: • preparing a County-wide groundwater resource development plan for the San Diego County Water Authority that assessed groundwater resources and identified and evaluated potential groundwater projects in each of the County’s major watersheds. • preparing a recycled water recharge/groundwater recovery feasibility study for the Yucaipa Valley Water District. • for the City of San Diego, assessing groundwater availability and preparing a study that developed concept-level extraction, treatment, and conveyance facilities for a proposed groundwater demineralization facility near Qualcomm Stadium. • for the City of Oceanside, evaluating groundwater pumping impacts, preparing preliminary facilities studies, and preparing a CEQA Environmental Assessment for the expansion (from 2 mgd to 6.37 mgd) of the City’s Mission Basin brackish groundwater desalting facility. • participating on a team that investigated the potential for recycled water groundwater recharge within the Santee/El Monte basin as part of projects for the Padre Dam Municipal Water District and Helix Water District. • preparing an environmental impact report/environmental impact statement for the U.S. Marine Corps, Camp Pendleton that assessed effects wastewater percolation operations on groundwater-dependent vegetation. Salt and Nutrient Management Plans. Dr. Welch has served as lead investigator in a variety of efforts directed toward complying with Salt and Nutrient Management Plan (SNMP) provisions of the 2009 State Recycled Water Policy. For the Southern California Salinity Coalition and National Water Research Institute, Dr. Welch coordinated with the Regional Board and Southern California water and recycled water agencies and prepared guidelines for the development of SNMPs. Subsequent to Regional Board adoption of the SNMP guidelines in 2010, Dr. Welch has assisted numerous San Diego Region agencies in preparing SNMP work scopes/scoping plans, coordinating with stakeholders, and preparing/reviewing SNMPs, including efforts for the: • Padre Dam Municipal Water District, • Ramona Municipal Water District, • Rancho California Water District, • South Orange County Wastewater Authority, • City of Escondido/Rincon Del Diablo Municipal Water District, • U.S. Marine Corps Camp Pendleton, and • City of San Diego. Municipal Wastewater Discharges. Dr. Welch's experience in municipal wastewater discharge regulations includes: • preparing NPDES permit application documents and assessing impacts of effluent discharges for the following ocean outfalls: • City of Oceanside discharge to the Oceanside Ocean Outfall, • South Orange County Wastewater Authority discharges to the Aliso Creek and San Juan Ocean Outfalls, • U.S. Marine Corps Base Camp Pendleton discharge to the Oceanside Ocean Outfall, • Encina Wastewater Authority discharge to the Encina Ocean Outfall, • City of Carlsbad discharge to the Encina Ocean Outfall, • San Elijo Joint Powers Authority discharge to the San Elijo Ocean Outfall, • City of Escondido discharge to the San Elijo Ocean Outfall, and • City of San Diego discharge to the South Bay Ocean Outfall. • serving as lead consultant for the City of San Diego's successful 1995, 2001 and 2007 applications to EPA and the Regional Board for Clean Water Act Section 301(h) modified secondary treatment requirements for the discharge of advanced primary effluent to the Point Loma Ocean Outfall. • investigating wet weather wastewater disposal/handling alternatives for the City of San Diego North City WRP and City of Escondido Hale Avenue Resource Recovery Facility. • preparing NPDES permit application documents, assessing Basin Plan surface water quality objectives, and assessing recycled water stream discharge impacts for the following recycled water stream discharge projects: Padre Dam Municipal Water District discharge to the San Diego River, the City of Escondido discharge to Escondido Creek, U.S. Marine Corps Base Camp Pendleton discharge to the Santa Margarita River, and Rancho California Water District discharge to Murrieta Creek. Recycled Water Projects. Dr. Welch's experience with recycled water irrigation projects includes serving as lead author and investigator for preparing waste discharge permit applications, assessing Basin Plan water quality compliance, performing basin salt balances, evaluating recycled water impacts, and securing discharge permits for the following facilities: • City of Carlsbad WRP, • City of Escondido Hale Avenue Resource Recovery Facility, • City of Oceanside San Luis Rey WRP, • City of San Clemente WRP, • City of San Diego North City WRP, • City of San Diego South Bay WRP, • City of Carlsbad WRP, • Olivenhain MWD 4S Ranch WRP, • Padre Dam MWD WRP, • Rancho California Water District Santa Rosa WRP, • Rancho Santa Fe Water District Santa Fe Valley WRP, • San Elijo Joint Powers Authority WRP, • Valley Center MWD Live Oak Ranch WRP, and • Valley Center MWD Woods Valley Ranch Water Reclamation Plant (WRP). Dr. Welch authored salinity management and Basin Plan compliance sections of the U.S. Bureau of Reclamation Southern California Phase I and Phase II Water Reuse Studies. Dr. Welch also served as principal author and investigator for recycled water plans that assessed impacts and Basin Plan compliance issues for the City of San Diego and Rancho California Water District. He also participated on consulting teams that prepared recycled water master plans for the U.S. Marine Corps Base, Camp Pendleton, Encina Wastewater Authority, Padre Dam Municipal Water District, City of Oceanside, and City of Victorville. Watershed Protection. Dr. Welch is currently serving as a regulatory consultant in the effort to update the San Diego Region Integrated Regional Water Resources (IRWM) plan. Dr. Welch's experience in other watershed protection efforts includes: • serving as lead technical author on the 2007 San Diego Region Integrated Regional Water Management Plan for the San Diego County Water Authority, City of San Diego, and County of San Diego that evaluated water resources and watershed protection needs within the San Diego Region. • participating on consulting teams that prepared watershed management plans for the San Diego River Watershed and Santa Margarita River Watershed. • participating on teams that prepared watershed source control/sanitary surveys for the City of San Diego Water Department for watersheds tributary to Sutherland, Hodges, Murray, Jennings, El Capitan, San Vicente, Barrett, Morena, and Otay Reservoirs. • preparing and updating Sanitary Sewer Overflow Prevention Plans and Sanitary Sewer Overflow Emergency Response Plans for the City of San Clemente, and preparing a Sanitary Sewer Management Plan for the City of San Clemente. • preparing sanitary survey/vulnerability assessments that evaluated compliance with source water protection regulations for City of San Clemente and City of Oceanside groundwater wells. Industrial Pretreatment. Dr. Welch's industrial pretreatment project experience includes: • developing industrial waste pretreatment programs for Rancho California Water District and Elsinore Valley Municipal Water District. • developing recommended local industrial sewer discharge limits for the Elsinore Valley Municipal Water District, Rancho California Water District, and City of San Clemente. • providing as-needed industrial pretreatment services for the Rancho California Water District, City of Escondido, City of San Clemente, and City of San Diego. NBS/Lowry Experience. Prior to becoming an independent consultant in 1994, Dr. Welch served for 14 years as a vice president and principal engineer with NBS/Lowry Engineers and Planners. His experience with NBS/Lowry (1980-1994) included serving as project manager and/or principal investigator on the following: • for the City of Oceanside, preparing a comprehensive water management plan that included the original concept and facilities planning for the City of Oceanside Mission Basin Groundwater Desalting Facility. • preparing a conceptual groundwater management plan for the Otay Water District and Sweetwater Authority that evaluated groundwater treatment, and management alternatives for developing groundwater supply within the Middle Sweetwater River basin. • assessing the applicability of Basin Plan surface water quality objectives, and preparing applications that resulted in the modification of Regional Board Basin Plan surface water quality objectives for TDS the Ysidora, DeLuz, and Wolf basins within the Santa Margarita River watershed. • for Fallbrook Public Utility District, preparing a groundwater conjunctive use facilities plan (including filtration and membrane treatment) for complying with state and federal drinking water standards and surface water treatment regulations. • developing a recycled water master plan for the Rancho California Water District. • assessing the applicability of Basin Plan water quality objectives, and preparing applications that resulted in the modification of Regional Board Basin Plan groundwater quality objectives for the following basins: • Pauba HSA 2.51 (for the Eastern Municipal Water District), • Wolf HSA 2.52 (for the Eastern Municipal Water District), • DeLuz HA 2.2 (for the Rancho California Water District), • Valley Center HSA 3.14 (for the Valley Center Municipal Water District), • Mission San Diego HSA 7.11 (for the Padre Dam Municipal Water District), • Poway HA 6.2 (for the City of Poway), • Salt Creek and Poggi Canyon Portion of Otay HA (for the Otay Water District), and • Telegraph Canyon HSA 9.11 (for the Otay Water District). • performing assimilative capacity analyses that assessed compliance of proposed water reclamation projects with Basin Plan groundwater quality objectives for Rancho California Water District, Padre Dam Municipal Water District, and City of Escondido. • for the City of San Diego, preparing a groundwater resources feasibility study for the Tijuana basin, and preparing a conceptual strategies report assessing groundwater/reclaimed water regulatory and institutional constraints within the San Pasqual, San Dieguito, Poway, Santee/El Monte, Mission San Diego, Lower Sweetwater, and Lower Tijuana basins. • developing a recycled water groundwater recharge/recovery plan for the Valley Center Municipal Water District. • preparing facilities plans and performing environmental analyses (including evaluation of streamflow impacts on downstream groundwater basins) for proposed reclaimed water live stream discharge projects for the Padre Dam Municipal Water District (San Diego River), Fallbrook Sanitary District (Pilgrim Creek), City of San Diego (San Diego River), Eastern Municipal Water District (Santa Margarita River), and Rancho California Water District (Murrieta Creek). • preparing a wastewater facilities plan for the County of San Diego that assessed the potential for groundwater recharge within the Santee/El Monte basin groundwater basin. • preparing conceptual groundwater management plans for the lower Santa Margarita River basin (Camp Pendleton, Fallbrook Public Utility District, Eastern Metropolitan Water District, and Rancho California Water District), and the Paula/Temecula aquifers of the upper Santa Margarita River basin (Rancho California Water District). • assessing for the U.S. Navy groundwater availability and water quality impacts associated with wastewater disposal practices at the Naval Air Station, Lemoore, California, and designing facilities to intercept lateral seepage from percolation ponds at Lemoore Naval Air Station. • developing permit applications, performing groundwater hydrogeologic investigations of impacts of reclaimed water use on groundwaters, and assessing compliance with Basin Plan, water quality objectives, state water reclamation requirements, and public health regulations for recycled water projects proposed by the following projects and clients: Otay Water District; City of Escondido; Ramona Municipal Water District; Valley Center Municipal Water District; Santa Margarita Water District; Moulton Niguel Water District; Rancho California Water District; and Eastern Municipal Water District. • developing industrial waste pretreatment programs for the Aliso Water Management Agency and Southeast Regional Reclamation Authority (now South Orange County Wastewater Authority). • investigating compliance with State of California groundwater recharge guidelines for a recycled water project jointly proposed by Fallbrook Public Utility District, U.S. Marine Corps Base Camp Pendleton, Rancho California Water District, and Eastern Municipal Water District. Regional Water Board Experience. Prior to joining NBS/Lowry in 1980, Dr. Welch served as an associate engineer with the California Regional Water Quality Control Board in San Diego. His duties included assessing Basin Plan water quality objectives and compliance; inspecting and evaluating wastewater facilities; performing special studies assessing the quality of ground and surface waters and water quality impacts resulting from wastewater or recycled water operations; coordinating review and approval of recycled water projects and onsite wastewater treatment systems with the State Department of Public Health and San Diego County Department of Environmental Health; and preparing discharge permits and enforcement orders. University Research. At Stanford University, Dr. Welch's research projects included assessing alternatives for treating wastewater containing high oxygen demand loads. While at Stanford, he was employed as a research assistant by the U.S. Geological Survey and performed laboratory analyses and experiments investigating pollutant transport through saturated soils. At the University of California, Irvine, Dr. Welch's research evaluated relations among groundwater pumping, the availability of soil water in near surface soils, and transpirative water losses from native vegetation in Owens Valley, California. This research was performed with support from the U.S. Geological Survey, Los Angeles Department of Water and Power, and County of Inyo. Michael R. Welch, Ph.D., P.E. CONSULTING ENGINEER BUSINESS INFORMATION Michael R. Welch, Ph.D., P.E. is a one-person, sole proprietorship firm dedicated to providing quality, value-priced services to municipalities, water agencies, wastewater agencies, and water resources clients. Dr. Welch specializes in wastewater, recycled water, groundwater, and water supply regulations, and he has over thirty-six years experience in planning, permitting, and implementing Southern California water resources and wastewater projects. Legal Form of Business: Sole Proprietorship Office Location: 2735 San Clemente Terrace San Diego, CA 92122-4030 Telephone: (858) 625-0167 FAX: (858) 625-0267 email: mwelch1@san.rr.com Number of Employees: One Employee (Michael R. Welch, Ph.D., P.E.) Year Business Started: 1994 Insurance: Errors & Omission (occurrence) $1,000,000 Errors & Omission (aggregate) $1,000,000 General Liability (occurrence) $1,000,000 General Liability (aggregate) $2,000,000 Commercial Auto $1,000,000 Billing Rates: Professional Services $150 per hour Travel within Southern California No Charge1 Printing No Charge1 Direct Cost Markup None Telephone, FAX, Computers No Charge1 1 Costs included as part of hourly billing rate overhead. ATTACHMENT C ATTACHMENT D AGREEMENT FOR PROFESSIONAL SERVICES BETWEEN OTAY WATER DISTRICT AND MICHAEL R. WELCH, Ph.D., P.E. FOR ENGINEERING SERVICES This Professional Services Agreement (“Agreement”) is made and entered into this _____ day of February, 2014 by and between the OTAY WATER DISTRICT, a municipal water district formed and existing pursuant to the California Municipal Water District Act of 1911, as amended, hereinafter referred to as “District,” and Michael R. Welch, Ph.D., P.E., a sole proprietor, hereinafter referred to as “Consultant.” RECITALS WHEREAS, the District requires the services of a licensed professional engineering consultant to render certain technical and professional services described below; and WHEREAS, the Consultant has available, and offers to provide, personnel and facilities necessary to accomplish the work within the required time, and has represented that it is qualified by experience and ability to perform the services desired by District. NOW, THEREFORE, District and Consultant mutually agree as follows: I. Scope of Professional Services The Consultant agrees to perform those services described in the Scope of Work set forth in Exhibit “A” attached hereto and incorporated herein by reference. II. Authorization; Term Specific authorization to proceed with the work described in Exhibit ‘A’ is hereby granted. Upon receipt of a fully executed Agreement from the District, the Consultant shall proceed with the work described in Exhibit ‘A’; provided that more specific requests for certain services therein listed may be made by the District. This Agreement shall become effective on the date first above written and expires on June 30, 2019 (the “Term”). This Agreement may be terminated or amended as provided below and may be extended in a writing signed by both parties to the expiration of the Term. III. Compensation In return for the Consultant’s satisfactory performance of the services described in Exhibit ‘A’, as hereafter amended (the “Scope of Work”), the District agrees to pay 2 compensation up to an amount not-to-exceed ONE HUNDRED THOUSAND DOLLARS ($100,000.00), payable in proportion to the work completed, as further described in the paragraph below. Total compensation for all Professional Services provided under this agreement shall not exceed such amount during the term of this agreement without prior written authorization from the District. The Consultant shall invoice the District on a monthly schedule in the format shown in Exhibit ‘B’ and ‘C’. To the extent the provisions of Exhibit ‘B and ‘C’ are ambiguous in relation to the provisions of this Agreement, inconsistent with the provisions of this Agreement, or expand upon the provisions of this Agreement, the provisions of this Agreement shall take precedence and the provisions of Exhibit ‘B’ and ‘C’ shall not apply. The Consultant shall not invoice the District for work that has not been completed at the time the invoice is prepared. The District shall have forty-five (45) days from the date of receipt of error-free invoices prepared in accordance with Exhibit ‘B’ and ‘C’ to make payment without incurring interest and/or penalty charges. The Consultant will not be allowed to markup any subconsultant’s work. A maximum markup of 10% will be allowed on all reimbursable costs. Reimbursable costs are defined as only vehicle mileage, printing costs, and courier services. Reimbursable expenses will be included in the total contract amount. IV. Standard of Care A. The Consultant is employed to render the services specified herein and the Scope of Work only, and any payment made to the Consultant is compensation solely for such services as are satisfactorily rendered. The Consultant’s services shall be furnished in good faith, in compliance with best practices for its profession and with the standard of care generally employed by professionals licensed and qualified to perform such services within the State of California. B. Unless disclosed in writing prior to the date of this Agreement, the Consultant warrants to the District that it is not now, nor has it for the five (5) years preceding, been debarred by a governmental agency or involved in debarment, arbitration or litigation proceedings concerning the Consultant’s professional performance or the furnishing of materials or services relating thereto. V. Documents All original drawings, spreadsheets and documents, including digital photographs and files developed for the project, shall, upon payment in full for the services described in this Agreement, be furnished to and become the property of the District, except as otherwise provided in Section VIII: Termination or Abandonment. The Consultant shall provide final documents on compact disk (CD). Final drawings and details shall be in AutoCAD® 2010 format or more recent. Final Contract Specifications, reports, and spreadsheets shall be in Microsoft® Office 2010 format or more recent. Any other electronic format documents provided to the District must be formatted to the same software version or release as that of the District. 3 VI. Performance and Schedule The Consultant agrees to coordinate the Scope of Work to ensure its timely completion in accordance with the agreed upon schedule, and shall promptly notify the District of any anticipated delays, which may affect the work schedule. In the event the time for completing the Scope of Work is exceeded due to circumstances beyond the control of the Consultant, the Consultant shall have an additional amount of time to be agreed upon in writing between the parties in which to complete the work. VII. Change in Scope of Work Only additional services approved and requested specifically by District, in writing, shall constitute the basis of a change, addition or modification to the Scope of Work. Consultant is responsible for ensuring that no work or services outside the Scope of Work are performed or invoiced. If District requests performance of any services not within the Scope of Work, Consultant shall notify District immediately and shall indicate that no such work will be performed until approved by the District in writing. Concurrently with such notice, the Consultant shall provide District a written cost estimate for, and a written description of, each additional task to be performed. The extent of additional work required, any additional compensation shall be negotiated by the parties and, if an agreement is reached, the parties will execute an amendment to Exhibit ‘A’ and to any other exhibits and/or this Agreement, to the extent required to reflect such additional work and compensation. If no agreement is reached, District may choose to terminate this Agreement and retain another consultant or may choose to retain another consultant to provide only the additional services. Consultant shall not be entitled to compensation for any services rendered that are not specifically authorized under this Agreement or its Exhibits, and any amendments thereto. Any and all work performed without proper authorization shall be considered part of this Agreement for no additional compensation. VIII. Termination or Abandonment The District may terminate this Agreement or may terminate or abandon all or any portion of the Scope of Work at any time and for any reason by giving written notice to Consultant of such termination and specifying the effective date thereof, at least ten (10) calendar days prior to the effective date. The District is under no obligation to require all the services described under the Scope of Work and shall be able to select only those services needed from time to time, as provided in each work order. If the District abandons or terminates any services of the Scope of Work, the District has the right to take immediate possession and ownership of all original, copies or draft specifications, drawings, and other documents developed for the Scope of Work to the specified date of termination or abandonment. Following delivery of such documents in a form satisfactory to the District under the terms of this Agreement, the District will pay the Consultant for services for any portion of the services rendered prior to termination under the Scope of Work. If said termination occurs prior to full 4 completion of any task, the portion of the fee to be paid for the portion of work or service performed for such task shall be based on the percent of completion mutually agreed to by the District and the Consultant. The District will not be liable for any costs other than the fees or portions thereof, which are specified herein. If all work is abandoned as herein provided, this Agreement shall automatically terminate on the 10th day from the date of notice. IX. Indemnification A. CONSULTANT agrees to the following: 1. Indemnification for Professional Liability. Where the law establishes a professional standard of care for Consultant’s Services, to the fullest extent permitted by law, Consultant shall indemnify, protect, defend (with attorneys approved by District) and hold harmless District and any and all of its officials, elected board members, employees, volunteers, attorneys and agents (“Indemnified Parties”) from and against any and all losses, liabilities, claims, suit, damages, costs and expenses, including attorney’s fees and costs, caused in whole or in part by Consultant’s negligent, reckless or wrongful act, errors or omissions of Consultant, its officers, agents, employees or sub-consultants (or any entity or individual for which Consultant is legally liable) in the performance of professional services under this Agreement. 2. Indemnification for Other than Professional Liability. To the fullest extent permitted by law, Consultant shall indemnify, protect, defend (with attorneys approved by District) and hold harmless the Indemnified Parties from and against any liability (including liability for claims, suits, actions, arbitration proceedings, administrative proceedings, regulatory proceedings, losses, expenses or costs of any kind, whether actual, alleged or threatened, including attorneys fees and costs, court costs, interest, defense costs, and expert witness fees), arising out of or in any way attributable to the performance of this Agreement by Consultant or by any individual or entity for which Consultant is legally liable, including but not limited to officers, agents, employees or sub-contractors of Consultant. 3. General Indemnification Provisions. Consultant agrees to obtain executed indemnity Agreements with provisions identical to those set forth here in this section from each and every sub-contractor or any other person or entity involved by, for, with or on behalf of Consultant in the performance of this Agreement. In the event Consultant fails to obtain such indemnity obligations from others as required here, Consultant agrees to be fully responsible according to the terms of this section. Failure of District to monitor compliance with these requirements imposes no additional obligations on District and will in no way act as a waiver of any rights hereunder. This obligation to indemnify and defend District as set forth here is binding on the successors, assigns or heirs of Consultant and shall survive the termination of this Agreement. 4. Limitation of Liability. The provisions of this section do not apply to claims occurring as a result of District’s sole negligence or willful acts or omissions. B. It is expressly understood and agreed that the indemnification provisions of this Section IX will survive termination of this Agreement. C. The requirements as to the types and limits of insurance coverage to be maintained by Consultant as required by this Agreement and any approval of said insurance by 5 District, are not intended to and will not in any manner limit or qualify the liabilities and obligations otherwise assumed by Consultant pursuant to this Agreement, including, without limitation, to the provisions concerning indemnification. X. Insurance Requirements A. Before commencing performance under this Agreement, and at all other times this Agreement is effective, Consultant will procure and maintain the following types of insurance with coverage limits complying, at a minimum, with the limits set forth below: Type of Insurance Limits (combined single) Commercial general liability $1,000,000 per occurrence, $2,000,000 aggregate Professional liability $1,000,000 per occurrence, $1,000,000 aggregate Business automobile liability $1,000,000 per occurrence Workers compensation Statutory requirement Employer’s Liability $1,000,000 per occurrence B. Commercial general liability insurance will meet or exceed the requirements of ISO-CGL Form No. CG 12 10 11 97. The amount of insurance set forth above will be a combined single limit per occurrence for bodily injury, personal injury, and property damage for the policy coverage. Said policies, except for the professional liability and workers’ compensation policies, will be endorsed to name District, its officials, and employees as “additional insureds” under said insurance coverage. Further, the policies shall state that such insurance will be deemed primary and non-contributory such that any other insurance that may be carried by District will be excess thereto. Such insurance will be on an “occurrence” basis, except professional liability shall be on a “claims made” basis. For professional liability coverage provided on a “claims made” basis, Consultant shall maintain such insurance coverage for four years after expiration of the term (and any extensions) of this Agreement. In addition, the "retro" date must be on or before the date of this Agreement. Professional liability coverage extends to and includes, but is not limited to, negligent design claims. C. Automobile coverage will be written on ISO Business Auto Coverage Form CA 00 01 10 01, including symbol 1 (Any Auto). D. Consultant will furnish to District duly authenticated Certificates of Insurance and Endorsements evidencing maintenance of the insurance required under this Agreement and such other evidence of insurance as may be reasonably required by District from time to time. Insurance must be placed with insurers with a current A.M. Best Company Rating equivalent to at least a Rating of “A:VII.” Originals of the duly authenticated Certificates of Insurance and Endorsements shall be included with this Agreement as Exhibit D. E. Each insurance policy shall state or be endorsed to state that coverage shall not be canceled by either party, except after thirty (30) days (10 days for non-payment of premium) prior written notice by U.S. mail has been given to the District. Notwithstanding any commitment on the part of the insurer to provide such notice to the District, failure of the Consultant to provide separate notice of any intent to cancel any policy or change policy 6 providers, or of any actual or potential cancellation, shall constitute a breach of contract for which District shall be entitled to full indemnification under the Agreement. F. Maintenance of specified insurance coverage is a material element of this Agreement, and Consultant’s failure to maintain or renew coverage or to provide evidence of renewal during the term of this Agreement may be treated as a material breach of contract by District. XI. Successors and Assigns This Agreement and all of the terms, conditions, and provisions hereof shall inure to the benefit of and be binding upon the parties hereto, and their respective successors and assigns; provided, however, that no assignment of this Agreement shall be made without written consent of the parties to this Agreement. Any attempt by the Consultant to assign or otherwise transfer any interest in this Agreement without the prior written consent of the District shall be void. Since the primary consideration of the District in entering this agreement is the qualifications of the Consultant, as opposed to a low bid, the District may refuse to consent to assignments at its sole discretion. XII. Project Organization The Consultant hereby assigns Michael R. Welch, Ph.D., P.E. as the Consultant Project Manager under this Agreement. The Consultant Project Manager shall not be removed from the project or reassigned without prior written approval of the District, which approval shall not be unreasonably withheld. The District hereby assigns Bob Kennedy, Engineering Manager as the District Project Manager under this Agreement. XIII. Independent Consultant Both parties hereto in the performance of this Agreement will be acting in an independent capacity and not as agents, employees, partners or joint ventures with one another. Neither the Consultant nor the Consultant’s employees are employee of the District and are not entitled to any of the rights, benefits, or privileges of the District’s employees, including but not limited to retirement, medical, unemployment, or workers’ compensation insurance. Neither the District nor its officers, agents or employees shall have any control over the conduct of the Consultant or any of the Consultant’s employees except as herein set forth, and the Consultant expressly agrees not to represent that the Consultant or the Consultant’s agents, servants, or employees are in any manner agents, servants or employees of the District, it being understood that the Consultant, its agents, servants, and employees are as to the District wholly independent consultants and that the Consultant’s obligations to the District are solely such as are prescribed by this Agreement. XIV. Licenses, Permits, Etc. 7 The Consultant represents and covenants that it has all licenses, permits, qualifications, and approvals of whatever nature that are legally required to perform the services under this Agreement. The Consultant represents and covenants that the Consultant shall, at its sole cost and expense, keep in effect at all times during the term of this Agreement, any license, permit, or approval which is legally required for the Consultant to perform the services under this Agreement. XV. Confidential Information The District may from time to time communicate to the Consultant certain confidential information to enable the Consultant to effectively perform the services to be provided herein. The Consultant shall treat all such information as confidential and shall not disclose any part thereof without the prior written consent of the District. The Consultant shall limit the use and circulation of such information, even within its own organization, to the extent necessary to perform the services to be provided herein. The foregoing obligation of this section, however, shall not apply to any part of the information that (i) has been disclosed in publicly available sources of information; (ii) is, through no fault of the Consultant, hereafter disclosed in publicly available sources of information; (iii) is already in the possession of the Consultant without any obligation of confidentiality; or (iv) has been or is hereafter rightfully disclosed to the Consultant by a third party, but only to the extent that the use or disclosure thereof has been or is rightfully authorized by that third party. The Consultant shall not disclose any reports, recommendations, conclusions or other results of the services or the existence of the subject matter of this Agreement without the prior written consent of the District. In its performance hereunder, the Consultant shall comply with all legal obligations it may now or hereafter have respecting the information or other property of any other person, firm or corporation. Consultant shall be liable to District for any damages caused by breach of this condition, pursuant to the provisions of Section IX. XVI. Miscellaneous A. Covenant Against Discrimination. Consultant covenants that, by and for itself, its heirs, executors, assigns and all related persons or entities, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, marital status, national origin, ancestry or any other classification prohibited by state or federal law in the performance of this Agreement. Consultant shall take affirmative action to ensure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, marital status, national origin, ancestry or any other classification protected by state or federal law. B. Non-liability of District Officers and Employees. No officer or employee of District shall be personally liable to the Consultant, or any successor in interest, in the event of any default or breach by District or for any amount which may become due to the Consultant or to its successor, or for breach of any obligation of the terms of this Agreement. C. Conflict of Interest. No officer or employee of District shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer or employee participate in any decision relating to the Agreement which affects his financial interest or the financial 8 interest of any corporation, partnership or association in which he is, directly or indirectly, interested, in violation of any State statute or regulation. The Consultant warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement. D. Notice. Any notice or instrument required by, or contemplated under, this Agreement may be given by depositing the same in any United States Post Office, registered or certified, postage prepaid, addressed to: DISTRICT: CONSULTANT: Otay Water District 2554 Sweetwater Springs Boulevard Spring Valley, California 91978-2004 Attention: Bob Kennedy Fax: (619) 670- 2273 Email: bob.kennedy@otaywater.gov Copy to: Mark Watton, General Manager Michael R. Welch, Ph.D., P.E. 2735 San Clemente Terrace San Diego, CA 92122-4030 Attention: Michael R. Welch Fax: (858) 625- 0267 Email: mwelch1@san.rr.com Notices mailed to the address above shall be effective upon date of mailing. Notices may also be given via facsimile or electronic communication, and shall be effective on the day so given, provided that evidence of successful transmission or acceptance via return email is attached to the Notice as evidence of the time and date of transmittal. E. Interpretation. The terms of this Agreement shall be construed in accordance with the meaning of the language used and shall not be construed for or against either party by reason of the authorship of this Agreement or any other rule of construction which might otherwise apply. F. Compliance with Laws. Consultant shall comply with all applicable federal, state and local laws, regulations, statutes and ordinances (collectively, the “Laws”) in connection with this Agreement and the performance of the work, including California Labor Code section 1720, et seq., relating to payment of prevailing wages for public works projects, if applicable. Consultant shall indemnify and defend the Indemnified Parties from and against any liability incurred due to any failure on the part of Consultant to comply with any applicable Laws. G. Mediation. If a dispute arises out of or relates to this Agreement, or the breach thereof, the parties agree to try, in good faith, to resolve it as follows: (i) first, the parties agree to engage in good faith negotiations to resolve the matter; (ii) second, if the parties are not able to reach a mutually satisfactory solution, either party may request that the matter be submitted to mediation in San Diego, California, in accordance with the Commercial Mediation Rules of the American Arbitration Association (the “AAA”). Both Consultant and District agree to participate in the mediation in good faith with the intent to settle the dispute. The costs of mediation shall be borne equally by the parties. H. Applicable Law/Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of California. Any action or proceeding brought by any party against any other party arising out of or related to this Agreement shall be brought exclusively in San Diego County. XVII. Integration 9 This Agreement and the attached Exhibits represent the entire understanding by and between the District and the Consultant as to those matters contained herein. No prior oral or written understanding shall be of any force or effect with respect to those matters covered hereunder. This Agreement may not be modified or altered except in writing signed by both parties hereto. XVIII. Execution This person(s) executing this Agreement and any Exhibits hereto on behalf of the Consultant warrant and represent that Consultant has vested authority on such person(s) to execute and deliver this Agreement and to perform the services contemplated hereunder and that this Agreement is valid and binding on Consultant. This Agreement may be executed in multiple counterparts, each of which shall be deemed an original, but all of which, together, shall constitute but one and the same instrument. Michael R. Welch, Ph.D., P.E. _____________________________________ Michael R. Welch (Company seal or certification, if any) [Additional approvals, if any] Otay Water District ______________________________ Mark Watton, General Manager APPROVED AS TO FORM ___________________________ General Counsel COPIES:  FILE (Orig.),  CONSULTANT,  BINDER,  ENG SECRETARY 10 EXHIBIT A SCOPE OF SERVICES CONSULTANT FURNISHED SERVICES Consultant shall provide as-needed technical support services under the direction of District staff to assist the District in identifying, planning, evaluating, and/or implementing water, groundwater, recycled water, wastewater strategies, projects, facilities, plans, or operations. As- needed assistance requested by the District may include, but not be limited to, the following District projects:  Rosarito Seawater Desalinization Facility  Otay Mesa Recycled Water System Link  City of Chula Vista MBR Reclamation Plant As-needed technical support services provided by the Consultant for these projects may, at the discretion of District staff, include assisting the District in:  Identifying, reviewing, or assessing proposed water supply facilities, strategies, plans, or concepts.  Reviewing, assessing, or providing technical input on regulations, technical considerations, environmental issues, economics, or institutional considerations that may affect proposed District groundwater, recycled water, water, wastewater facilities, plans, or operations.  Reviewing, commenting on, or responding to technical reports, studies, correspondence, or other documents produced by District consultants, regulatory agencies, other government agencies, non-government organizations, or the public.  Attending and providing input during internal or public meetings or workshops to identify, discuss, or assess District water, groundwater, recycled water, or wastewater facilities, plans, or strategies.  Developing and/or making presentations to regulating agencies, government agencies, non-government organizations, or the public. 11 EXHIBIT B CONSULTANT’S FEE PROPOSAL Employee Hourly Rate Michael R. Welch, Ph.D., P.E. $150/hour 12 EXHIBIT C Michael R. Welch, Ph.D., P.E. Consulting Engineer 2735 San Clemente Terrace San Diego, CA 92122-4030 INVOICE SUBMITTED TO: DATE OF INVOICE: Engineering Department Otay Water District 2554 Sweetwater Springs Boulevard Spring Valley, CA 91978-2004 INVOICE NO. JOB DESCRIPTION: AUTHORIZATION: Project Name: Title Purchase Order Number: OWD Project Manager: Name Consultant Project Number: CIP No: DESCRIPTION OF SERVICES RELATED TO INVOICE: 4/1/xx to 5/1/xx Perform Construction Management and Inspection services and attend meetings. AUTHORIZED AND INVOICED FEE: Original Fee Amount Authorized $100,000.00 Change Order No. 1 Amount Authorized $ 0.00 Total Fee Amount Authorized $100,000.00 Amount of This Invoice $ 5,433.00 Amount Previously Invoiced $32,456.00 Total Amount Invoiced to Date $37,889.00 Amount Previously Paid $32,456.00 Authorized Fee Amount Remaining $62,111.00 Percent Complete 38% CONTRACTED DATE OF PROJECT COMPLETION: June 30, 20xx Invoice has been reviewed and found correct. ______________________________________ Michael R. Welch Date FOR OWD USE ONLY Amount Project No. Project Account No. TOTAL ______________________________________ _______________ _______________ OWD Project Manager Date Div Mgr Date Chief Date EXHIBIT C Sample Invoice Format (Task Detail) Otay Water District Project Title MM/DD/YY CIP PXXXX-00XXXX DESCRIPTION THIS INVOICE INVOICED TO DATE CONTRACT AMOUNT TOTAL % HRS/ $'s RATE AMOUNT BILLED COMPLE TE PROJECT TOTAL $5,763.35 $20,884.30 $46,500.00 45% 37% TASK 1 – Project Management and Administration $3,955.25 $15,420.90 $20,600.00 75% 88% Sub-Task 1.1 Data Acquisition $951.00 $2,944.00 $3,000.00 98% 100% Project Manager Smith 16.0 hr 41.00 $/hr $656.00 Drafter William 5.0 hr 35.00 $/hr $175.00 Secretary Allred 6.0 hr 20.00 $/hr $120.00 Sub-Task 1.2 Report Preparation $931.50 $8,865.00 $13,000.00 68% 75% Principle James 2.5 hr 95.00 $/hr $237.50 Project Manager Smith 4.0 hr 41.00 $/hr $164.00 Drafter William 14.0 hr 35.00 $/hr $490.00 Secretary Allred 2.0 hr 20.00 $/hr $40.00 Direct Expenses $1,884.50 $2,431.00 $3,000.00 81% 81% Reproduction $17.50 10% $19.25 Subconsultant #1 B&K $640.50 0% $640.50 Subconsultant #2 CEW $1050.00 0% $1,050.00 TASK 2 – Review Existing Documentation & Related Proj. Info. $1,808.10 $5,463.40 $15,700.00 35% 22% Sub-Task 2.1 $951.00 $2,944.00 $12,000.00 25% 22% Project Manager Smith 16.0 hr 41.00 $/hr $656.00 Drafter William 5.0 hr 35.00 $/hr $175.00 Secretary Allred 6.0 hr 20.00 $/hr $120.00 Direct Expenses $762.00 $2,225.00 $2,500.00 89% 89% Reproduction $120.00 10% $132.00 Subconsultant #2 CEW $630.00 0% $630.00 Note: 1) Consultant to edit, update, and add lines as necessary. 2) Rates shown above are to remain in effect throughout the life of the contract 2 EXHIBIT D Insurance Certificate STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: February 5, 2014 SUBMITTED BY: Dan Martin Engineering Manager PROJECTS: P2518-001103 P2519-001103 DIV. NO. 5 APPROVED BY: Rod Posada, Chief, Engineering German Alvarez, Assistant General Manager Mark Watton, General Manager SUBJECT: Approve Change Order No. 1 to the Contract with Advanced Industrial Services, Inc. for the 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project GENERAL MANAGER’S RECOMMENDATION: That the Otay Water District (District) Board of Directors (Board) approve Change Order No. 1 to the existing contract with Advanced Industrial Services, Inc. (AIS) for a credit in the amount of <$73,338.63> for the 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project (see Exhibits A-1 & A-2 for Project locations). COMMITTEE ACTION: Please see Attachment A. PURPOSE: To obtain Board authorization for the General Manager to approve Change Order No. 1 (see Exhibit B) to the existing contract with AIS in the amount of <$73,338.63> for the 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project. ANALYSIS: At the February 6, 2013 Board Meeting, the Board awarded a construction contract in the amount of $946,900.00 to AIS for the 2 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project. The Project included the following coating and structural upgrades for both reservoirs: replace the twenty (20) year old coating on the interior and exterior surfaces, replace the existing level indicators, install new fall prevention devices on the interior ladders, modify anode access ports, replace all anodes, replace the roof vents, install new lanyard cables, and add miscellaneous tank penetrations for chlorination and sampling. These upgrades ensure compliance with AWWA and Cal-OSHA requirements as well as upgrade antiquated equipment on the tanks to meet operational needs. Change Order No. 1 which serves as a close out change order for the Project addresses a number of items as follows:  Items 1 & 2 - Provides credits for unused allowances associated with Bid Item 15, Structural Modification and Bid Item 16, Paving. In total, the credits associated with these items are <$68,576.20>.  Items 3 & 4 - Provides for reimbursement of lost water at both the 832-2 and 803-3 reservoirs resulting from failed volatile organic compound (VOC) testing. The reimbursement of the lost water for both reservoirs totals <$12,526.43>.  Items 5 & 6 - Compensates the contractor for dewatering support and slope protection at both the 832-2 and 803-3 reservoirs sites to mitigate erosion potential as the reservoirs drained. The costs associated with the dewatering support and slope protection provided by the contractor totals $12,673.00.  Items 7 & 8 - Provides a credit for deleted slurry seal at both the 832-2 and 803-3 reservoirs sites. Slurry seal at the sites was the last order of work for the Project. Due to the time required to resolve the VOC issues including dewatering of the reservoirs, the weather window for satisfactory slurry seal installation expired. This deleted work will be incorporated into a future CIP project. The credit associated with the deleted slurry seal for both sites totals <$4,909.00>. The following is a table summarizing the credit and cost items in Change Order No. 1. A more detailed description of each item is provided in Exhibit B: 3 Items Description Amount 1 & 2 Unused allowances associated with Bid Items 15 and 16. <$68,576.20> 3 & 4 Reimbursement of lost water at both the 832-2 and 803-3 Reservoirs. <$12,526.43> 5 & 6 Compensation for dewatering support and slope protection at 832-2 and 803- 3 reservoirs. $12,673.00 7 & 8 Credit for deleted slurry seal at the 832-2 and 803-3 reservoirs. <$4,909.00> Total <$73,338.63> Change Order No. 1 also addresses contract time as a result of the items included in the Change Order. The dewatering of the reservoirs was coordinated with the adjacent property owners including but not limited to the Department of Fish and Wildlife. The rate of dewatering at each of the reservoir sites was slowed to minimize the potential of erosion impacts. The slower rate of dewatering, along with efforts to aerate the tanks to release VOC’s, resulted in additional time to the contract. In total, one hundred and thirty four (134) days will be added to the contract which will result in a revised total contract duration of two hundred and eighty four (284) calendar days. In summary, the net change to the Project for Change Order No. 1 is a decrease totaling <$73,338.63> and the addition of one hundred and thirty four (134) calendar days. FISCAL IMPACT: Joe Beachem, Chief Financial Officer The total budget for CIP P2518, as approved in the FY 2014 budget, is $750,000. Total expenditures, plus outstanding commitments and forecast, are $605,046. The total budget for CIP P2519, as approved in the FY 2014 budget, is $775,000. Total expenditures, plus outstanding commitments and forecast, are $610,993. Based on a review of the financial budget, the Project Manager anticipates that both budgets are sufficient to support the Project. See Attachment B-1 for the budget detail for CIP P2518 and Attachment B-2 for the budget detail for CIP P2519. Finance has determined that 100% of the funding is available from the Replacement Fund for both CIP P2518 and CIP P2519. 4 STRATEGIC GOAL: This Project supports the District’s Mission statement, “To provide high value water and wastewater services to the customers of the Otay Water District in a professional, effective, and efficient manner” and the General Manager’s Vision, “A District that is at the forefront in innovations to provide water services at affordable rates, with a reputation for outstanding customer service.” LEGAL IMPACT: None. DM/RP:jf P:\WORKING\CIP P2518 & 2519 - 803-3 & 832-2 Reservoir Interior-Exterior Coating\Staff Reports\BD 02-05- 14_CO1\BD 02-05-14_803-3 and 832-2 Reservoirs Coatings CO1.docx Attachments: Attachment A – Committee Action Attachment B-1 – Budget Detail for CIP P2518 Attachment B-2 - Budget Detail for CIP P2519 Exhibit A-1 – 803-3 Location Map (P2518) Exhibit A-2 – 832-2 Location Map (P2519) Exhibit B – Change Order No. 1 ATTACHMENT A SUBJECT/PROJECT: P2518-001103 P2519-001103 Approve Change Order No. 1 to the Contract with Advanced Industrial Services, Inc. for the 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project COMMITTEE ACTION: The Engineering, Operations, and Water Resources Committee (Committee) reviewed this item at a meeting held on January 21, 2014, and the following comments were made:  Staff recommended that the Board approve Change Order No. 1 to the existing contract with Advanced Industrial Services, Inc. (AIS) for a credit in the amount of <$73,338.63> for the 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project.  It was indicated that at the February 6, 2013 Board meeting, the Board awarded a construction contract to AIS in the amount of $946,900.00 for the 803-3 and 832-2 Reservoirs Interior/Exterior Coating and Upgrades Project.  Staff stated that Change Order No. 1 (See Exhibit B) serves as a close out change order for the Project. See Page 3 of the staff report for a list of Credit Items included in the change order.  Staff noted that Change Order No. 1 also addresses contract time and adds one hundred and thirty four (134) calendar days due to aeration efforts to release volatile organic compound (VOC) and coordinated dewatering at a slower rate to minimize the potential of erosion impacts.  The net change to the Project for Change Order No. 1 is a decrease totaling <$73,338.63> and the addition of 134 calendar days which will result in a revised total contract duration of 284 calendar days.  It was noted that AIS has completed the contract work and both the 803-3 and 832-2 Reservoirs are in service. Following discussion, the EO&WR Committee supported staffs’ recommendation and presentation to the full board as a consent item. ATTACHMENT B-1 SUBJECT/PROJECT: P2518-001103 P2519-001103 Approve Change Order No. 1 to the Contract with Advanced Industrial Services, Inc. for the 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project Date Updated: 12/19/2013 Budget 750,000 Planning Standard Salaries 1,266 1,266 - 1,266 Total Planning 1,266 1,266 - 1,266 Design 001102 Service Contracts 1,025 1,025 - 1,025 MAYER REPROGRAPHICS INC 45 45 - 45 SAN DIEGO DAILY TRANSCRIPT Standard Salaries 33,323 33,323 - 33,323 Total Design 34,393 34,393 - 34,393 Construction Construction Contracts 475,533 426,025 49,508 475,533 ADVANCED INDUSTRIAL SVCS INC (36,414) (36,414) CO NO. 1 3,261 3,261 600 3,861 CLARKSON LAB & SUPPLY INC Consultant Contracts 21,594 21,594 - 21,594 V & A CONSULTING ENGINEERS 23,920 13,635 10,285 23,920 ALYSON CONSULTING Professional Legal Fees 20 20 - 20 STUTZ ARTIANO SHINOFF Service Contracts 873 873 - 873 KRATOS / HBE Standard Salaries 80,000 69,722 10,278 80,000 Total Construction 605,201 535,130 34,257 569,387 Grand Total 640,860 570,789 34,257 605,046 Vendor/Comments Otay Water District p2518-803-3 Reservoir Interior/Exterior Coatin Committed Expenditures Outstanding Commitment & Forecast Projected Final Cost ATTACHMENT B-2 SUBJECT/PROJECT: P2518-001103 P2519-001103 Approve Change Order No. 1 to the Contract with Advanced Industrial Services, Inc. for the 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades Project Date Updated: 12/19/2013 Budget 775,000 Planning Standard Salaries 3,570 3,570 - 3,570 Total Planning 3,570 3,570 - 3,570 Design 001102 Service Contracts 1,025 1,025 - 1,025 MAYER REPROGRAPHICS INC 45 45 - 45 SAN DIEGO DAILY TRANSCRIPT Standard Salaries 28,330 28,330 - 28,330 Total Design 29,399 29,399 - 29,399 Construction Construction Contracts 471,367 397,225 74,142 471,367 ADVANCED INDUSTRIAL SVCS INC (36,924) (36,924) CO NO. 1 Consultant Contracts 19,104 19,104 - 19,104 V & A CONSULTING ENGINEERS 23,920 13,635 10,285 23,920 ALYSON CONSULTING 7,324 7,324 300 7,624 CLARKSON LAB & SUPPLY INC Service Contracts 2,000 2,000 - 2,000 AQUA VIDEO ENGINEERING 873 873 - 873 KRATOS / HBE Standard Salaries 90,000 79,364 10,636 90,000 Total Construction 614,587 519,525 58,439 577,963 Grand Total 647,557 552,494 58,439 610,933 Vendor/Comments Otay Water District p2519-832-2 Reservoir Interior/Exterior Coatin Committed Expenditures Outstanding Commitment & Forecast Projected Final Cost Vista Rodeo Dr Vi s t a S i e r r a D r Pa n s y W a y Sa l t b u s h L n Vista M a d e r a L n West Villag e D r Pence Dr Bru s t C t Valhalla View Dr Butto n b r u s h L n Bi t t e r b u s h L n Pea r l b u s h C t But t o n w o o d C t Vis t a M a d e r a W a y VICINITY MAP PROJECT SITE NTS DIV 5 DIV 1 DIV 2 DIV 4 DIV 3 P: \ W O R K I N G \ C I P P 2 5 1 8 & 2 5 1 9 - 8 0 3 - 3 & 8 3 2 - 2 R e s e r v o i r I n t e r i o r - E x t e r i o r C o a t i n g \ S t a f f R e p o r t s \ E x h i b i t A - 1 - 8 0 3 - 3 L o c a t i o n M a p . m x d OTAY WATER DISTRICT803-3 RESERVOIR INT./EXT. COATING & UPGRADESLOCATION MAP EXHIBIT A-1 CIP P2518 0 350175Feet PROJECT SITE Campo Rd VICINITY MAP PROJECT SITE NTS DIV 5 DIV 1 DIV 2 DIV 4 DIV 3 P:\WORKING\CIP P2518 & 2519 - 803-3 & 832-2 Reservoir Interior-Exterior Coating\Staff Reports\Exhibit A-2-832-2 Location Map.mxd OTAY WATER DISTRICT832-2 RESERVOIR INT./EXT. COATING & UPGRADESLOCATION MAP EXHIBIT A-2 CIP P2519 0 200 400100Feet PROJECT SITE STEELE CANYONHIGH SCHOOL EXHIBIT B Contract / P.O. Change Order No. 1 page 2 of 3 Description of Work Description Increase Decrease Time Item No. 1: This Change Order decreases the amount allocated for Bid Item 15, Structural Modification Allowance by $58,576.20 to a new authorized amount of $1,423.80. $58,576.20 0 Item No. 2: This Change Order decreases the amount allocated for Bid Item 16, Paving Allowance by $10,000.00 to a new authorized amount of $0.00. $10,000.00 0 Item No. 3: This Change Order provides for reimbursement of lost water at the 832-2 Reservoir resulting from failed VOC testing (CIP P2519). $7,146.17 0 Item No. 4: This Change Order provides for reimbursement of lost water at the 803-3 Reservoir resulting from failed VOC testing (CIP P2518). $5,380.26 0 Item No. 5: This Change Order provides for dewatering support and slope protection costs at the 832-2 Reservoir (CIP P2519). $7,407.00 87 Item No. 6: This Change Order provides for dewatering support and slope protection costs at the 803-3 Reservoir (CIP P2518). $5,266.00 47 Item No. 7: This Change Order provides a credit for deleted slurry seal at the 832-2 Reservoir site (CIP P2519). $2,897.00 0 Item No. 8: This Change Order Provides a credit for deleted slurry seal at the 803-3 Reservoir site (CIP P2518). $2,012.00 0 Sub Total Amount $12,673.00 $86,011.63 134 Total Net Change Order Amount ($73,338.63) Revisions to: BID SCHEDULE Item # Description Quantity Unit Unit Price Amount 15 Structural Modification Allowance 1 LS Allowance $1,423.80 16 Paving Allowance 1 LS Allowance $0.00 Contract / P.O. Change Order No. 1 page 3 of 3 Reason: Item No. 1: The Contract Bid Item No. 15, Structural Modification Allowance, was utilized to the maximum practical extent in the performance of the contract work and is no longer required. Item No. 2: The Contract Bid Item No. 16, Paving Allowance, was utilized to the maximum practical extent in the performance of the contract work and is no longer required. Item No. 3: Resulting from failed VOC testing on the 832-2 Reservoir, draining of the reservoir was required. This change is necessary to allow the District to recover the additional expenditures incurred for lost water pursuant to contractual provisions. Item No. 4: Resulting from failed VOC testing on the 803-3 Reservoir, draining of the reservoir was required. This change is necessary to allow the District to recover the additional expenditures incurred for lost water pursuant to contractual provisions. Item No. 5: Resulting from draining of the 832-2 Reservoir, dewatering support and erosion control issues were identified requiring Contractor assistance. Contractor personnel were used to implement BMP’s and slope protection measures to mitigate erosion potential as the reservoir drained. This change is necessary to resolve all costs associated with the additional identified scope. Item No. 6: Resulting from draining of the 803-3 Reservoir, dewatering support and erosion control issues were identified requiring Contractor assistance. Contractor personnel were used to implement BMP’s and slope protection measures to mitigate erosion potential as the reservoir drained. This change is necessary to resolve all costs associated with the additional identified scope. Item No. 7: Resulting from delays due to VOC testing difficulties at the 832-2 Reservoir the weather window for satisfactory slurry seal installation expired. This change is necessary to credit the Contract for the deleted work scope resulting from weather restrictions. Item No. 7: Resulting from delays due to VOC testing difficulties at the 803-3 Reservoir the weather window for satisfactory slurry seal installation expired. This change is necessary to credit the Contract for the deleted work scope resulting from weather restrictions. P2518 & P2519 APPROVED C.O.AMOUNT BY DATE DESCRIPTION TYPE C.O. 1 ($73,338.63) Board Closeout 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 3940 Total C.O.'s To Date: ($73,338.63)-7.7% Original Contract Amount:$946,900.00 Current Contract Amount:$873,561.37 Change Order Breakdown for the Month: Month Net C.O.$Limit Authorization Absolute C.O.$ Absolute C.O. % 12/13 $0.00 $5,000/5% PM/Supervisor $0.00 0.0% $10,000/10% Manager $0.00 0.0% $15,000/20% Chief $0.00 0.0% $50,000/30%GM $0.00 0.0% CHANGE ORDER LOG 803-3 & 832-2 Reservoir Interior/Exterior Coating & Upgrades STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: February 5, 2014 SUBMITTED BY: Pedro Porras, Chief of Water Operations PROJECT: DIV. NO. ALL APPROVED BY: Pedro Porras, Chief of Water Operations German Alvarez, Asst. General Manager Mark Watton, General Manager SUBJECT: Renewal of Mexico Agreement to Transfer Water GENERAL MANAGER’S RECOMMENDATION: That the Board authorize the General Manager to execute the proposed renewal (Attachment B) to the “Agreement for the temporary emergency delivery of a portion of the Mexican Treaty Waters.” COMMITTEE ACTION: See Attachment A. PURPOSE: The purpose of this report is to request authorization to execute the proposed renewal to the agreement to deliver the Mexican Treaty Waters. ANALYSIS: Mexico has again made a formal request to the United States of America, through the International Boundary and Water Commission (IBWC), to provide an emergency water supply in and around the City of Tijuana. Under a 1972 contract, the Otay Water District (District) built water conveyance facilities, including a 24-inch pipeline and pump station modifications, connecting existing District facilities with Mexican 2 water facilities at the international boundary. The funding for the construction was provided by Mexico. Also, under the 1972 contract, the United States delivered water from the Colorado River allotted to Mexico in a water treaty between the United States and Mexico signed in Washington, D.C. on February 3, 1944. Treaty water was delivered to Mexico under the 1972 contract and its amendments until the contract was terminated in 1983 due to completion of the Mexican aqueduct built to convey Colorado River water to Tijuana. After termination of the 1972 contract, the connection between the United States and Mexico was removed. In 1989 and in 1992, emergency delivery of treaty water was provided through a temporary 14-inch above ground pipeline installed by District forces to reconnect the United States and Mexican water systems. These emergency deliveries were pursuant to arrangements coordinated by the IBWC. In September 2003, and subsequently in November, 2008 the District, IBWC, United States Bureau of Reclamation, Metropolitan Water District (Metropolitan), and San Diego County Water Authority (SDCWA) entered into an Agreement for Temporary Emergency Delivery to the International Boundary in the Vicinity of Tijuana, Baja California, Mexico, and for Operation of Facilities in the United States. Both agreements were set for a five-year period and the last one expired on November 9, 2013. Mexico has fully complied with all terms and conditions of the contract. Under terms and conditions of the Agreement, Mexico is required to pay in advance for requested deliveries, based on the fees and charges established by the SDCWA, Metropolitan and the District. Deliveries are on a space available basis in the conveyance systems of the three agencies. The Agreement stipulates that maximum monthly and annual delivery volumes, based on capacity of the emergency connection at the border, shall not exceed 1,200 acre-feet and 14,400 acre-feet, respectively. Mexico has requested the continuation of a standby arrangement for emergency deliveries for Tijuana for an additional five years. In response to Mexico’s request, the IBWC, in coordination with the participating water agencies in the United States and Mexico, prepared and plans to adopt a new IBWC Minute to extend emergency deliveries for another five-year term. The Minute serves as the binational agreement between the two countries and framework for the emergency deliveries to Tijuana. The next step is for the Minute to be signed by the Commissioners. Once signed, SDCWA will attach the Minute to the amended agreement and route for signature to the proper agencies. 3 The District is requesting amendments be made to the contract clarifying the terms of the agreement. Staff is proposing clarifying the terms related to the process of funding non-routine maintenance, which reflect the current practice. In addition, staff is clarifying the District’s rights regarding the related facilities in the event the contract is terminated in the future. FISCAL IMPACT: Joe Beachem, Chief Financial Officer No fiscal impact is anticipated with the adoption of this wheeling agreement. In October of 2013 the Board approved the new wheeling rate that covers all District expenses. The rate is now $64.14 per acre foot for Mexico water wheeled to Mexico. STRATEGIC GOAL: Deliver high quality services to meet customer needs and increase confidence of the customer in the value the District provides. LEGAL IMPACT: No legal impact is anticipated at this time. Attachments: Attachment A – Committee Action Attachment B – Draft Agreement ATTACHMENT A SUBJECT/PROJECT: Renewal of Mexico Agreement to Transfer Water COMMITTEE ACTION: The Engineering, Operations, and Water Resources Committee reviewed this item on January 21, 2014, and the following comments were made:  Staff recommended that the Board authorize the General Manager to execute Amendment No. 2 for the renewal to the “Agreement for the temporary emergency delivery of a portion of the Mexican Treaty Waters.”  It was indicated that Attachment B reflects requests made by the District as well as other agencies involved, and is still in a draft form until Mexico reviews and agrees upon it.  Staff stated that the First Agreement was executed in 1972 for the United States to deliver Treaty water to Mexico. The agreement was terminated in 1983 due to the completion of the Mexican aqueduct built to convey Colorado River water to Tijuana, and connection between the United States and Mexico was removed.  In 1989 and 1992, pursuant to arrangements coordinated by the IBWC, emergency delivery of treaty water was provided through a temporary 14-inch above ground pipeline installed by the District.  Staff stated that in September 2003, a new Agreement for Temporary Emergency Delivery to the International Boundary in the Vicinity of Tijuana, Baja California, Mexico, and for Operation of Facilities in the United States was executed; and subsequently in November 2008, Amendment No. 1 was executed, extending the agreement to November 9, 2013. The Agreement and Amendment No. 1 were entered into by the District, IBWC, United States Bureau of Reclamation, Metropolitan Water District (Metropolitan), the San Diego County Water Authority (SDCWA), and Mexican authorities.  Staff noted three (3) important additions/clarifications in Amendment No. 2: o Establish an Emergency Repair Fund for future costs that may be incurred by OWD for emergency purchases, installation, construction, repair or replacement of equipment or facilities related to the connection. o Clarify that the materials, equipment, and facilities paid by Mexico for their incremental capacity to effectuate the Agreement and considered by OWD to be the integral to the ongoing operations of OWD shall become the property of OWD in the event the contract is terminated in the future. o Clarify that any removal of such non-integral materials, equipment, and facilities and subsequent disposition or delivery to Mexico at the international boundary shall be subject to payment in advance by Mexico.  Staff indicated that the involved agencies have prepared and plan to adopt a new IBWC Minute to extend emergency deliveries for another five-year term. Once the Minute is signed, SDCWA will attach the Minute to the amended agreement and route for signature to involved agencies. Completion of this process is anticipated to be completed by March 2014.  The Committee inquired if Mexico was aware of the changes to the Agreement. Staff stated that in order to maintain the proper protocol, the IBWC (American Agency) is dealing directly with CILA (Mexican Agency) and will be made aware of the changes. If there are any major changes to the draft amendment, Staff will bring them up to Board prior of its execution. Following discussion, the EO&WR Committee supported staffs’ recommendation and presentation to the full board as a consent item. ATTACHMENT B   DRAFT IBM No. 03-21 Amendment No. 2      AMENDMENT NO. 2 TO AGREEMENT FOR TEMPORARY EMERGENCY DELIVERY OF A PORTION OF THE MEXICAN TREATY WATERS OF THE COLORADO RIVER TO THE INTERNATIONAL BOUNDARY IN THE VICINITY OF TIJUANA, BAJA CALIFORNIA, MEXICO, AND FOR THE OPERATION OF FACILITIES IN THE UNITED STATES   1. PREAMBLE: This Amendment No. 2 to the Agreement for Temporary Emergency Delivery of a Portion of the Mexican Treaty Waters of the Colorado River to the International Boundary in the Vicinity of Tijuana, Baja California, Mexico, and for the Operation of Facilities in the United States ("Amendment No. 2") is made this 9th day of November, 2013, pursuant to the Act of Congress approved June 17, 1902 (32 Stat. 388), and Acts amendatory thereof or supplementary thereto, including but not limited to the Boulder Canyon Project Act enacted December 21, 1928 (45 Stat. 1057), all of which are commonly known and referred to as Federal Reclamation law, by and among the United States of America ("United States"), acting by and through the United States Commissioner, International Boundary and Water Commission, United States and Mexico ("United States Commissioner"), and the Secretary of the Interior, acting by and through the Department of the Interior, Bureau of Reclamation ("Reclamation"); The Metropolitan Water District of Southern California ("Metropolitan"), a public corporation of the State of California; the San Diego County Water Authority ("Authority"), a public corporation of the State of California; and the Otay Water District ("OWD"), a public corporation of the State of California, sometimes collectively called "Parties." WITNESSETH THAT: 2. EXPLANATORY RECITALS:   2.1 WHEREAS, Metropolitan, the Authority, OWD, and the United States entered into an Agreement for Temporary Emergency Delivery of a Portion of the Mexican Treaty Waters of the Colorado River to the International Boundary in the Vicinity of Tijuana, Baja California, Mexico, and for Operation of Facilities in the United States, IBM No.03-21, dated September 29, 2003 (Emergency Delivery Agreement – Exhibit A attached hereto); 2 [Type text]        2.2 WHEREAS, the parties to the agreement stated in Article 2.1 hereof extended the delivery period by five years through an amendment to the agreement (Amendment 1) on November 20, 2008 (Exhibit B attached hereto). 2.3 WHEREAS, Mexico has requested the continuation of a standby arrangement for Emergency Deliveries for Tijuana for a further five-year period beyond 2013; ending November 9, 2018. 2.4 WHEREAS, Metropolitan, the Authority, and OWD are willing to arrange for the transportation and delivery of a Portion of the Mexican Treaty Waters through available capacity in their respective distribution system facilities in accordance with the terms and conditions of this Amendment. 2.5 WHEREAS, continuation of a standby arrangement for Emergency Deliveries for Tijuana beyond November 9, 2013 required action by the International Boundary and Water Commission (IBWC); 2.6 WHEREAS, Minute No. xxx of the IBWC, dated November xx, 2013 (Exhibit C attached hereto), authorizes continuation of a standby arrangement for Emergency Deliveries for Tijuana to and including November 9, 2018; 2.7 WHEREAS, the Parties desire to enter into this Amendment No. 2 to conform the term of the Emergency Delivery Agreement to Minute No. xxx; 2.8 WHEREAS, OWD desires to amend subsection 4(d) to require funding in advance into the Authority’s Account to pay for planned construction, installation, replacement, improvements and repairs of facilities or equipment used to convey and deliver water to Mexico given that, in practice, such expenditures have not been recovered through water charges but, instead, have been invoiced to Mexico upon project completion. 2.9 WHEREAS, OWD desires to add new subsection 5(b) to require an Emergency Repair Reserve fund in the Authority’s Account to pay for emergency construction, installation and repairs of facilities or equipment used to convey and deliver water to Mexico given that, in practice, such expenditures have not been recovered through water charges but, instead, have been invoiced to Mexico upon project completion. Said additions will require current subsections 5(b), 5(c), and 5(d) to 3 [Type text]      become subsections 5(c), 5(d), and 5(e), respectively; 2.10 WHEREAS, OWD desires to add a new paragraph at the end of section 18 that addresses the status and disposition of facilities constructed for purposes of the Agreement upon termination of the Agreement, given that the Agreement is silent on such disposition; 2.11 WHEREAS, the United States has determined the proposal of extending water deliveries to Tijuana for five more years will not create significant or cumulative impacts and therefore will not be considered a major federal action significantly affecting the quality of the human environment for the purposes of the National Environmental Policy Act. Thus, the extension of water deliveries is categorically excluded under 46FR44083 (100.6a.5), which includes actions specifically required under any treaty or international agreement, or pursuant thereto, to which the United States is a party, or required by the decision of international organizations (including courts), authorities or consultations in which the United States is a member or participant. 2.12 WHEREAS, the Authority has performed an environmental assessment pursuant to the California Environmental Quality Act and determined that this action will not have a significant effect on the environment and is categorically exempt from the requirements for the preparation of environmental documents.     NOW THEREFORE, in consideration of the mutual covenants herein contained, the  Parties agree as follows:   3. AMENDMENT TO EMERGENCY DELIVERY AGREEMENT:  3.1 Recital B of the agreement as amended by Amendment NO. 1 is hereby amended to add the following sentence to the end of that paragraph: "The United States Commissioner and the Mexican Commissioner have signed Minute No. xxx, dated November xx, 2013, of the International Boundary and Water Commission (hereinafter referred to as "IBWC Minute" beginning November 10, 2013), for subsequent Emergency Deliveries for Tijuana for a period ending no later than November 9, 2018 at the same point of delivery. 3.2 Recital P as amended by Amendment No 1is hereby amended to delete from the first sentence the phrase "extend beyond November 9, 2013" and insert in its place the phrase "extend beyond November 9, 2018". 4 [Type text]      3.3 Article 4 (d) is hereby amended to read as follows:. (d) The Authority Account shall be used for the purpose of accounting for, receipt, and disbursement of prepaid funds for payment for the actual cost incurred by OWD for planned purchases, installation, construction, repair or replacement of equipment or facilities used for the purpose of Emergency Deliveries for Tijuana or for planned improvements for the purpose of the security of such facilities (“Planned Projects”). Prior to the commencement of a Planned Project, OWD shall provide a description of the Planned Project and the estimated expenditures to the Authority. The Authority shall submit the description and estimated expenditures to the United States Commissioner. Upon Mexico’s approval of the Planned Project and the associated estimated expenditures, funds equal to the estimated expenditures must be provided by Mexico to the United States Commissioner prior to the commencement of the Planned Project. The United States Commissioner shall make all such funds received from Mexico available by depositing said funds with the Authority. Upon completion of a Planned Project, OWD shall submit a final cost accounting to the Authority and the Authority may draw the prepaid funds equal to the actual costs from the Authority Account to pay for the Planned Project. In the event the actual costs of a Planned Project exceed the estimate for said project, OWD shall submit an invoice to the Authority for such unpaid costs. The Authority will forward the invoice to the United States Commissioner for collection of funds by Mexico. 3.4 Article 5 is hereby amended by adding new Articles 5 (b), as follows, and making existing Articles 5 (b), 5 (c), and 5 (d) new Articles 5 (c), 5 (d), and 5 (e), respectively: (b) Within the Authority Account, an Emergency Repair Reserve fund shall be established for the purpose of accounting for, receipt, and disbursement of funds for payment for the actual cost incurred by OWD for emergency purchases, installation, construction, repair or replacement of equipment or facilities used for the purpose of Emergency Deliveries for Tijuana or for emergency improvements for the purpose of the 5 [Type text]      security of such facilities (“Emergency Projects”). The amount of the Emergency Repair Reserve fund for Emergency Projects shall be determined by OWD annually, in consultation with Authority, based on historical data for such Emergency Projects and shall reflect the amount deemed reasonably necessary to cover the costs of Emergency Projects in the next calendar year. The minimum Emergency Repair Reserve shall be no less than seventy thousand dollars ($70,000 USD) and no greater than two-hundred and fifty thousand dollars ($250,000 USD). OWD shall submit its determination of the reserve funds necessary for Emergency Projects to Authority for the next calendar year by December 1st of each year in which Emergency Deliveries to Tijuana are to be made. In the event of an emergency, OWD shall notify Mexico of said emergency as soon as practicable following the occurrence of the emergency. Upon OWD receiving Emergency Project authorization from Mexico, the repairs shall be performed by OWD. Upon completion of an Emergency Project, OWD shall submit a final cost accounting to Authority and may draw from the Emergency Repair Reserve within the Authority Account to pay for the project. In the event that an Emergency Project is not authorized by Mexico or the Emergency Repair Reserve is not adequately funded, any Emergency Project shall follow the procedures for planned maintenance set forth in section 4(d) of the Agreement. In the event the Emergency Repair Reserve fund is depleted, reserve funds shall be provided at the time of depletion to replenish the reserves to the amount determined by OWD for that calendar year. In the event the actual costs of an Emergency Project exceeds the reserves, OWD shall submit an invoice to Authority to be paid for out of the Authority Account. 3.5 Article 18 is hereby amended to add the following paragraph after the existing language: Upon the termination of the period during which this Agreement is in effect, or any subsequent extensions thereto, the materials, equipment, and facilities paid by Mexico for their incremental capacity to effectuate the Agreement and considered by OWD to be integral to the ongoing operations of OWD shall become the property of OWD. The disposition of any non- integral materials, equipment, and facilities not otherwise used for or necessary to service OWD customers, shall occur at no cost to OWD and shall 6 [Type text]      restore OWD’s facilities to the condition which would exist if such materials, equipment, and facilities had not been constructed. Any removal of such non- integral materials, equipment, and facilities and subsequent disposition or delivery to Mexico at the international boundary shall be subject to payment in advance by Mexico of the contract costs for removal and delivery, including the cost of supervision of these works and the estimated cost of restoring OWD’s facilities to the condition which would exist if such materials, equipment, and facilities had not been constructed. Notwithstanding the foregoing, subject to approval of the Governments of the United States and Mexico, through the Commission, the local authorities in the two countries would have the authority to agree upon and effect a different arrangement for the disposition of such materials, equipment, and facilities.  3.6 Article 15 is hereby amended to revise the last sentence to the following: "In both the federal and state environmental processes, it was determined that extending the Emergency Water Deliveries for Tijuana till November 9, 2013 will not have an environmental impact." 3.7 Article 18 (a) is hereby deleted in its entirety and is hereby replaced with the following: "18 (a) Upon the expiration of the extended delivery period up to and including November 9, 2018." 3.8 Exhibit B of the Agreement is superseded by Exhibit B attached hereto.   4. OTHER PROVISIONS UNAFFECTED: Except as expressly modified by this Amendment No. 2, all other terms and provisions of the Emergency Delivery Agreement, as amended by Amendment No. 1, remain in full force and effect. 5. OFFICIALS NOT TO BENEFIT: No Member of or Delegate to the Congress,   Resident Commissioner, or official of Metropolitan, the Authority, and OWD shall benefit from this Amendment No. 2 other than as a water user or landowner in the same manner as other water users or landowners. 6. CONTINGENT ON APPROPRIATION OR ALLOTMENT OF FUNDS: The expenditure or advance of any money or the performance of any obligation of the United States under this Amendment No. 2 shall be contingent upon appropriation or allotment 7 [Type text]      of funds. No liability shall accrue to the United States in case funds are not appropriated or allotted.   IN WITNESS WHEREOF, the Parties hereto, by their officers thereunto duly authorized, have executed this Amendment No. 2, and this Amendment No.2 shall take effect on the day and year first above written.   US SECTION OF THE INTERNATIONAL BOUNDARY & WATER COMMISSIONOF AMERIICA    By: ___________________          Edward Drusina          Commissioner           United States Section          Int. Boundary & water Commission         Date: ‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐‐           BUREAU OF RECLAMATION                    THE METROPOLITAN WATER DISTRICT OF SOUTHERN CALIFORNIA 8 [Type text]      SAN DIEGO COUNTY WATER AUTHORITY OTAY WATER DISTRICT STAFF REPORT TYPE MEETING: Regular Board Meeting MEETING DATE: February 5, 2014 SUBMITTED BY: Mark Watton, General Manager W.O./G.F. NO: DIV. NO. APPROVED BY: Susan Cruz, District Secretary Mark Watton, General Manager SUBJECT: Board of Directors 2014 Calendar of Meetings GENERAL MANAGER’S RECOMMENDATION: At the request of the Board, the attached Board of Director’s meeting calendar for 2014 is being presented for discussion. PURPOSE: This staff report is being presented to provide the Board the opportunity to review the 2014 Board of Director’s meeting calendar and amend the schedule as needed. COMMITTEE ACTION: N/A ANALYSIS: The Board requested that this item be presented at each meeting so they may have an opportunity to review the Board meeting calendar schedule and amend it as needed. STRATEGIC GOAL: N/A FISCAL IMPACT: None. LEGAL IMPACT: None. Attachment: Calendar of Meetings for 2014 G:\UserData\DistSec\WINWORD\STAFRPTS\Board Meeting Calendar 2-5-14.doc Board of Directors, Workshops and Committee Meetings 2014 Regular Board Meetings: Special Board or Committee Meetings (3rd Wednesday of Each Month or as Noted) January 7, 2014 February 5, 2014 March 5, 2014 April 2, 2014 May 7, 2014 June 4, 2014 July 2, 2014 August 6, 2014 September 3, 2014 October 1, 2014 November 5, 2014 December 3, 2014 January 21, 2014 February 19, 2014 March 19, 2014 April 16, 2014 May 21, 2014 June 18, 2014 July 16, 2014 August 20, 2014 September 17, 2014 October 15, 2014 November 19, 2014 December 17, 2014 SPECIAL BOARD MEETINGS: BOARD WORKSHOPS: STAFF REPORT TYPE MEETING: Regular Board MEETING DATE: February 5, 2014 SUBMITTED BY: Mark Watton General Manager W.O./G.F. NO: N/A DIV. NO. N/A APPROVED BY: Mark Watton, General Manager SUBJECT: General Manager’s Report GENERAL MANAGER: • Memberships – The District has become a member of the San Diego East County Chaldean American Chamber of Commerce. The objective of joining is to further foster relationships with businesses and the community, and serve as a networking and public outreach tool as the District promotes the importance of the services it delivers to the business and residential community. Membership includes invitation to Chamber meetings, mixers, as well as logo placement on the Chamber’s website, and the ability to place up to eight articles or announcements in their weekly news update. • Staff Retirement and Organizational Updates - Rom Sarno has announced he is retiring as Chief of Administrative Services on June 28th after a successful 15 year career with Otay. Consistent with our strategic plan initiatives of streamlining and consolidating services, I will be merging the departments of Administrative Services and IT. The transition of merging both departments will involve significant effort and cooperation during the next several months. To start, I am pleased to announce the appointment of Adolfo Segura as Assistant Chief of Administrative/IT Services and am tasking him with the responsibility for all existing administrative services programs, except Water Conservation (WC) and Human Resources (HR). The WC program will be reassigned to Finance under Customer Service and HR will be reporting directly to Assistant General Manager, German Alvarez. Adolfo will continue to manage the IT department as the Assistant Chief under Geoff Stevens and we will be recruiting for a new IT Operations Manager to fill his current position. Upon Rom’s retirement, the Chief position will not be filled. Additionally, I am reassigning the Meter Shop staff to 2 Finance, Customer Service, to be integrated with other field services. This should result in more flexibility in sharing and coordinating staff and other resources. I want to also thank Rom for his 15 years of dedicated service and wish him well in his new adventure. ADMINISTRATIVE SERVICES: Purchasing and Facilities: • Administration Fire Sprinkler System – The fire sprinkler system in the Administration building has been inspected and needed maintenance has been performed. The District has been issued a 5-year fire system certification. • Purchase Orders – There were 58 purchase orders processed in January 2014 for a total of $3,802,650. Human Resources: • Wellness Program - The 2014 program focuses on promoting awareness and motivation for positive behavioral changes. The program continues to provide a Weight Management Program, Smoking Cessation Program, Onsite Yoga Classes (fees paid by employees), Wellness Clubs, and educational workshops. The workshop in the month of January provides instruction on how to use the District’s gym equipment properly for an effective workout. • Recruitments - HR is currently recruiting for Purchasing and Facilities Manager, Utility Maintenance Supervisor, Construction Inspector I/II, and preparing to recruit for Information Technology Manager. • New Hires - We had one new hire in January: Temporary Senior Civil Engineer. Safety & Security: • Safety Program and Procedures Review/Update – Reviews and updates for the Confined Space Program have been completed. The newly updated version is available to all employees under SharePoint. • NIMS Compliance Incident Command System Training – Staff attended the three-day Water Sector training certification program for ICS-300 at the City of LA Emergency Operations Center. The review/update of the District’s NIMS/ICS/SEMS Emergency Procedures Plan is ongoing. S&S will continue to provide consultative services, support and work with operations, 3 planning, logistics, and finance and command staff as part of the District’s program requirements. • Water Agency Emergency Coordination Meeting (WAEC) – Attended meeting facilitated by SDCWA. County of San Diego OES, Michael D. Davis, discussed the generator program and how County OES will be responsible for allocating generator resources to needed areas during emergency/disaster conditions. WAEC/WUSMA members are exploring the feasibility of combining WAEC and WUSMA meetings onto two separate sessions on the same day. • Alarms Unlimited (AU) – Two out of three District facilities under Henry Brothers’ monitoring are now converted to AU monitoring (850-2 and 711-2 reservoirs). AU also completed the installation of alarmed tamper light switches at the Regulatory site, and started monitoring the same along with video monitoring surveillance of the Treatment Plant. INFORMATION TECHNOLOGY AND STRATEGIC PLANNING: • ESRI Fall Water/Wastewater Event – Otay hosted the ESRI Fall Water/Wastewater User Group Meeting at the end of 2013. IT staff conducted a presentation titled “GIS at Otay Water District”. In attendance where agencies and GIS groups from throughout California to discuss common challenges and how to leverage GIS technology to improve efficiency. Software vendor, iWater also presented information about their InfraMAP Software solution, which included key GIS mobile to office connectivity benefits. • GPS Insight Deployment (Fleet System) – IT conducted training for leads and supervisor on the new GPS fleet system, GPS Insight. GPS Insight is the fleet system that replaced the Sprint AirTrak solution. The new GPS Insight solution provides web based benefits, enhanced dispatching, fleet activity monitoring and real-time reporting, which allows for overall improved fleet management. Four training sessions were hosted and 19 lead and supervisory staff were trained. Additional training for custom reporting is being scheduled for the month of February. • Improvement of Meter Reading Edit Check List – IT developed an online Meter Reading Edit Checklist for Customer Service for streamlining the meter reads/edits process. The checklist is hosted on SharePoint. This is a routine, but critical billing process. The checklist includes various integrity checks and automated functions to ensure the integrity and accuracy of each bill mailed to our customers. Customer Service used to depend on specific search queries, but when accounts or meters were changed, staff had to remember to manually update the data in Eden’s stored QBE’s. Customer Service recognized the need to ensure each read and billing cycle was reviewed consistently 4 regardless of which staff member completed the tasks. The checklist also includes various review points and automated reports. Key benefits of this improved process are enhanced knowledge via staff cross training, reduction in time spent reviewing reads and bills and greater accuracy. • The Fiscal Years 2015 – 2018 Strategic Plan revisions are currently underway. Staff is expecting to solicit the Board’s comments and direction at the March 2014 board meeting. FINANCE: • Transfer of Departments - Meter Shop and Water Conservation have been reassigned to Customer Service under the Finance Department. This should result in more flexibility in sharing and coordinating staff and other resources. • CMFOA Innovation Award - Customer Service, under the Finance Department, has applied for the CMFOA Innovation Award. Staff highlighted the District’s innovative use and integration of the ERP Financial System (Eden), SharePoint, Report Manager, GIS, and GBA to create process improvements. This is the first year the District has applied for this prestigious award. • Fitch Ratings Review – Fitch Ratings will be performing a review of Otay Water District’s credit rating and has requested a meeting to discuss the District’s results and developments. The last review they did of the District was performed on March 21, 2012. During that review, the District’s rating was downgraded from AA to AA-; outlook stable. Maintaining a good credit rating is important because it reflects the District’s fiscal health and borrowing capabilities. • FY 2015 Budget Preparation Kickoff – The budget workbook for staff is on SharePoint complete with scheduled dates, forms and instructions. The budget process will be a top priority for staff and will continue through the month of May when it will be presented to the Board at the annual budget workshop. Water Conservation: • Conservation Incentive Programs – The CWA and the District continue to provide an extensive list of water efficient programs and rebates for District customers seeking to lower their water usage. Additional MWD and CWA commercial conservation incentive programs exist. A commercial laundry business in the District is applying for a MWD Water Savings Incentive Program. The business currently uses 50 million gallons of water annually and estimates the water usage will drop to 14 million gallons annually with the installation of the water conserving wastewater-recycling system. 5 • California Friendly Landscape Contest - In 2014, 13 water agencies are sponsoring a landscape contest to identify the best residential water conserving landscape conversion in their service area. The District has participated in the landscape contest since its inception in 2004. The deadline for contest applications is April 7, 2014. • Financial Reporting: o For the six months ended December 31, 2013, there are total revenues of $46,034,270 and total expenses of $44,386,954. The revenues exceeded expenses by $1,647,316. o The market value shown in the Portfolio Summary and in the Investment Portfolio Details as of December 31, 2013 total $83,292,521.29 with an average yield to maturity of 0.36%. The total earnings year-to-date are $146,516.49. ENGINEERING AND WATER OPERATIONS: Engineering: • 30-Inch, 980 Zone, Hunte Parkway – Proctor Valley/Use Area: This project consists of the installation of approximately 2,240 linear-feet of 30-inch steel pipe and appurtenances on Hunte Parkway at Proctor Valley Road, at the entrance to the Salt Creek Golf Course, in the City of Chula Vista. The contract has been accepted and the Notice of Completion was filed with the County of San Diego on July 1, 2013. The contractor, Sepulveda Construction, has submitted change requests and claims for additional compensation. Staff has evaluated these requests and has provided entitlement decisions indicating “no merit” on these requests based on the information submitted by Sepulveda Construction. Sepulveda requested mediation of the submitted claims. Mediation took place on December 11, 2013 and the decision not to pursue further mediation was made on January 8, 2014. Staff is awaiting Sepulveda’s decision on whether they will choose to pursue arbitration. (P2514) • SR-11 Potable Water Utility Relocations – Sequence 1: This project consists of the relocation of existing pipelines in Sanyo Avenue and utility easements to accommodate the construction of the future SR-11 right-of-way. At the request of Caltrans, the District’s relocations were bid as six (6) separate “work windows” to provide flexibility to Caltrans’ contractor and coordinate with the SR-11 freeway construction. At the January 2014 Board Meeting, the Board awarded the contract to Coffman Specialties Incorporated. The project is within budget and on schedule and is anticipated to complete in August 2016. (P2453) 6 • 927-1 Reservoir Liner and Cover Replacement: This project consists of replacing the liner and floating cover on the 927-1 recycled water reservoir which is also known as Pond 4 located in the Salt Creek Golf Course. The existing liner and cover have reached the end of their useful life and are in need of replacement. The project was awarded to Layfield Environmental Systems Corporation and a Notice to Proceed was issued on November 18, 2013 and the current work involves submittal review/approval and material fabrication. The project is within budget and on schedule and anticipated to be complete in April 2014. (R2108) • 944‐1R Recycled Water Pump Station Upgrades and System Enhancement: This project consists of the installation of a new pump, reconfiguration of the suction header piping, upgrades to the instrumentation, SCADA system, and equipment at the 944-1R pump station. The project also includes the installation of three (3) Pressure Reducing Stations (PRS) on Olympic Parkway, Eastlake Parkway, and Otay Lakes Road. Sepulveda submitted a claim for additional compensation. Staff has evaluated this request and has provided an entitlement decision indicating “no merit” based on the information submitted by Sepulveda Construction. Sepulveda requested mediation of the submitted claims. Mediation took place on December 11, 2013 and the decision not to pursue further mediation was made on January 8, 2014. Staff is awaiting Sepulveda’s decision on whether they will choose to pursue arbitration. (R2091) • 803-3 & 832-2 Reservoirs Interior/Exterior Coatings and Upgrades: This project consists of removing and replacing the interior and exterior coatings of the 803-3 Reservoir 2.0 MG and the 832-2 Reservoir 2.0 MG, along with providing structural upgrades to ensure the tanks comply with both State and Federal OSHA standards as well as American Water Works Association and County Health Department standards. The Contractor, Advanced Industrial Services (AIS), has completed all work on the project. On November 23, 2013 the 832-2 tank was put back into service. The 803-3 tank was put back into service on December 13, 2013. All field work is complete and project acceptance is anticipated in February 2014. The project is within budget and on schedule. (P2518 & P2519) • 624-2 Reservoir Interior/Exterior Coatings & Upgrades: This project consists of removing and replacing the interior and exterior coatings of the 624-2 8.0 MG Reservoir, along with providing structural upgrades to ensure the tanks comply with both State and Federal OSHA standards as well as American Water Works Association and County Health Department standards. At the January Board meeting the Board awarded the construction contract 7 to Advanced Industrial Services (AIS). The contractor will mobilize to the site in early February 2014. The project is within budget and on schedule and is anticipated to complete in June 2014. (P2493) • County Water Authority Request for Electrical Service: The San Diego County Water Authority (Water Authority) has requested the District to provide electrical power for a new acoustic assessment system to be installed in an existing Water Authority vault that is currently receiving electrical power from an existing District metering facility on Ruxton Road. The Water Authority has offered to pay the entire electricity bill for the District facility. The new acoustic system is anticipated to be on-line for three (3) years. The Water Authority submitted a draft letter agreement for District staff to review on January 7, 2014. District staff submitted comments on this draft letter on January 17, 2014 to the Water Authority. • Change to District’s Procedure to Bid Opening for Construction Projects: At the January 7, 2014 Otay Water District Board of Directors (Board) Meeting, staff was directed to review the state’s Public Contract Code and courier service delivery times to determine if the current 3 P.M deadline to receive bids should be changed. The Public Contract Code Section 10141 states the notice of the project shall state the time and place for the receiving and opening of sealed bids. Courier services have many delivery options from a quick one hour delivery service to up to five business day ground delivery services. FedEx standard overnight and UPS Next Day Air service drop off time is 3 P.M. so staff will change the bid deadline to 4 P.M. to better accommodate this delivery window. The 4 P.M. bid opening deadline will also allow staff and contractors submitting bids in person to witness the public bid opening during regular operating hours at the District offices. • Administration Building Fire Sprinkler Replacement: This project consists of removing and replacing the existing fire sprinkler system in the Administration Building. A recent inspection of the fire sprinkler system identified corrosion throughout the systems as the cause for leaks the District experienced last year. After researching the corrosion problem, Staff determined that replacing the entire fire protection system was costly and unnecessary. Staff requested a second opinion to rectify the corrosion issue which was performed on December 4, 2013 by A&D Fire Sprinkler, Inc. They recommend replacing the visually corroded fixtures as a first phase, and as a second phase, installing an automated system to inject a chemical solution that will treat the corrosion. Completion of the first phase was completed on January 21, 2014 and the District received a 5 year certification on the Administration Building. Phase II budget 8 - 5,000 10,000 15,000 20,000 25,000 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13 Jan-14 Ac r e Fe e t Potable Water Purchases Purchases Budget planning and request for proposals will begin in early February 2014. (P2538) • For the month of December 2013, the District sold 2 meters (2 EDUs) generating $18,643 in revenue. Projection for this period was 17.5 meters (29.5 EDUs) with budgeted revenue of $266,447. Total revenue for Fiscal Year 2014 through December 2013 is $999,640 against the annual budget of $3,197,767. • The following table summarizes Engineering's project purchases issued during the period of December 17, 2013 through January 28, 2014 that were within staff signatory authority: Date Action Amount Contractor/ Consultant Project 1/28/14 P.O. $15,000 Clarkson Lab & Supply Inc. Various Water Operations: • Total number of potable water meters is 49,179. • The December potable water purchases were 2,089.4 acre-feet which is 1% above the budget of 2,068.7 acre-feet. The cumulative purchases through December is 17,487.8 acre-feet which is 0.8% below the cumulative budget of 17,636.2 acre-feet. 9 • The December recycled water purchases and production was 202.2 acre-feet which is 10.0% above the budget of 182.8 acre-feet. The cumulative production and purchases through December is 2,810.2 acre-feet which is 8.2% above the cumulative budget of 2,596.4 acre-feet. • • Recycled water consumption for the month of December is as follows: o Total consumption was 180.1 acre-feet or 55,655,916 gallons and the average daily consumption was 1,892,126 gallons per day. o Total recycled water consumption as of December for FY 2014 is 2,820.1 acre-feet. o Total number of recycled water meters is 712. • Wastewater flows for the month of December were as follows: o Total basin flow, gallons per day: 1,668,270. o Spring Valley Sanitation District Flow to Metro, gallons per day: 552,472. o Total Otay flow, gallons per day: 1,115,759. o Flow Processed at the Ralph W. Chapman Water Recycling Facility, gallons per day: 1,035,402. o Flow to Metro from Otay Water District was 80,396 gallons per day. • By the end of December there were 6,087 wastewater EDUs. Check Total 12,266.10 8,894.76 5,717.95 5,661.46 16,968.03 CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 2039076 01/02/14 14617 A GLASCO INC 81401 12/06/13 WINDOW INSTALL - TREATMENT PLANT DOORS 788.00 788.00 2039199 01/15/14 15285 A&D FIRE SPRINKLES INC 304536 12/17/13 SPRINKLER SYSTEM INSPECTION 1,265.00 1,265.00 2039019 12/25/13 08488 ABLEFORCE INC 4067 12/05/13 PROGRAMMING SERVICES (11/11/13-12/5/13)1,593.75 1,593.75 2039127 01/08/14 08488 ABLEFORCE INC 4091 12/19/13 PROGRAMMING SERVICES (12/6/13-12/18/13)1,187.50 1,187.50 2039255 01/22/14 08488 ABLEFORCE INC 4058 11/26/13 PROGRAMMING SERVICES (8/5/13-11/2/13)4,000.00 4,000.00 2039077 01/02/14 15343 ADEL YALDA Ref002431899 12/30/13 UB Refund Cst #0000204938 1,984.50 1,984.50 2039020 12/25/13 14479 ADVANCED CALIBRATION DESIGNS 24792 12/02/13 CAL2000 CALIBRATION & CERTIFICATION 581.00 581.00 2039256 01/22/14 12006 ADVANCED WEB OFFSET INC 133566 12/30/13 PRINTING SERVICES 3,148.20 3,148.20 2039128 01/08/14 12174 AECOM TECHNICAL SERVICES INC 13 12/13/13 DISINFECTION SYSTEM (ENDING 11/22/13)69,888.01 69,888.01 2039021 12/25/13 12174 AECOM TECHNICAL SERVICES INC 12 11/30/13 DISINFECTION SYSTEM (ENDING 10/25/13)60,514.69 60,514.69 2039200 01/15/14 11462 AEGIS ENGINEERING MGMT INC 1208 12/16/13 DESIGN SVCS (11/2/13-11/30/13)7,972.50 1207 11/11/13 DESIGN SVCS (9/28/13-11/1/13)4,293.60 2039129 01/08/14 11462 AEGIS ENGINEERING MGMT INC 1304 12/16/13 DEVELOPER PROJECTS (11/2/13-11/30/13)8,759.76 1136 12/16/13 DEVELOPER PLAN CHECKS (11/2/13-11/30/13)135.00 2039130 01/08/14 07732 AIRGAS SPECIALTY PRODUCTS INC 131315546 12/12/13 AQUA AMMONIA 3,009.31 131315545 12/12/13 AQUA AMMONIA 1,605.10 131315548 12/12/13 AQUA AMMONIA 647.35 131315547 12/12/13 AQUA AMMONIA 456.19 2039022 12/25/13 13753 AIRGAS USA LLC 9914488075 11/30/13 BREATHING AIR 41.75 41.75 2039257 01/22/14 13753 AIRGAS USA LLC 9915223303 12/31/13 BREATHING AIR 41.75 41.75 2039131 01/08/14 15024 AIRX UTILITY SURVEYORS INC 2 12/16/13 LAND SURVEYING (10/1/13-11/30/13)15,029.00 15,029.00 2039258 01/22/14 14811 ALARMS UNLIMITED INC 158234 12/31/13 LIGHT POLE 3,702.91 158236 12/31/13 ALARM REPROGRAM 790.40 158235 12/31/13 LEDGE AVENUE ALARM (12/19/13-1/31/14)672.57 158211 12/31/13 BATTERY REPLACEMENT 495.58 2039132 01/08/14 14811 ALARMS UNLIMITED INC 157245 12/05/13 ALARM MAINTENANCE (12/2/13)300.60 300.60 2039023 12/25/13 14811 ALARMS UNLIMITED INC 157234 11/29/13 GATE UPGRADE/REPAIR 10,085.83 157239 11/29/13 MONITORING SERVICE 4,924.88 157143 11/27/13 CAMERA REPLACEMENT (11/26/13)1,957.32 Page 1 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 14,520.00 2,346.63 5,780.36 2039078 01/02/14 15339 ALEGRIA REAL ESTATE FUND IV Ref002431895 12/30/13 UB Refund Cst #0000204261 161.51 161.51 2039259 01/22/14 14256 ALLIANT INSURANCE SERVICES INC 173480 12/04/13 CONSULTING SERVICES (1ST QTR CY 2014)6,750.00 6,750.00 2039024 12/25/13 01463 ALLIED ELECTRONICS INC 9002476111 12/03/13 24VDC POWER SUPPLY 401.97 401.97 2039133 01/08/14 02362 ALLIED WASTE SERVICES # 509 0509005431940 12/25/13 TRASH SERVICES (JAN 2014)67.49 67.49 2039201 01/15/14 02362 ALLIED WASTE SERVICES # 509 0509005430309 12/25/13 TRASH SERVICES (JAN 2014)530.33 530.33 2039134 01/08/14 14462 ALYSON CONSULTING CM201322 12/17/13 CONSTRUCTION INSPECTION (11/1/13-11/30/13)2,550.00 2,550.00 2039260 01/22/14 14462 ALYSON CONSULTING CM201401 01/06/14 CONSTRUCTION MGMT (11/1/13-12/31/13)4,050.00 CM201402 01/06/14 CONSTRUCTION INSPECTION (11/1/13-12/31/13)3,750.00 CM201403 01/06/14 CONSTRUCTION INSPECTION (11/1/13-12/31/13)1,800.00 CM201407 01/06/14 CONSTRUCTION INSPECTION (12/18/13-12/31/13)1,650.00 CM201404 01/06/14 CONSTRUCTION INSPECTION (12/1/13-12/31/13)1,470.00 CM201405 01/06/14 CONSTRUCTION INSPECTION (11/4/13-12/31/13)1,200.00 CM201406 01/06/14 CONSTRUCTION INSPECTION (11/4/13-12/31/13)600.00 2039202 01/15/14 15363 AMANDA MOSCO Ref002432103 01/13/14 UB Refund Cst #0000197852 43.44 43.44 2039203 01/15/14 06166 AMERICAN MESSAGING L11095700A 01/01/14 PAGER SERVICES (DEC 2013)205.34 205.34 2039135 01/08/14 00107 AMERICAN WATER WORKS ASSN 7000748277 11/23/13 MEMBERSHIP RENEWAL (3/1/14-2/28/15)5,785.00 5,785.00 2039204 01/15/14 15366 ANDREA GUZMAN UB255198107 01/13/14 CUSTOMER REFUND 1,200.00 1,200.00 2039079 01/02/14 15327 ANETTE VILLOTA Ref002431882 12/30/13 UB Refund Cst #0000185557 21.84 21.84 2039136 01/08/14 00002 ANSWER INC 9298 12/23/13 ANSWERING SERVICES (MONTHLY)1,100.00 1,100.00 2039137 01/08/14 08967 ANTHEM BLUE CROSS EAP 41189 12/20/13 EMPLOYEE ASSISTANCE PROGRAM (JAN 2014)321.12 321.12 2039025 12/25/13 01509 ARC ERGONOMICS 39747 12/03/13 BACK SUPPORT 129.55 129.55 2039080 01/02/14 05758 AT&T 33784130451213 12/07/13 ACCESS TRANSPORT SVCS (12/7/13-1/9/14)31.65 31.65 2039138 01/08/14 05758 AT&T 61967053091213 12/15/13 LONG DISTANCE (MONTHLY)37.52 37.52 2039205 01/15/14 05758 AT&T 0821645728122513 12/25/13 ACCESS TRANSPORT SVCS (12/25/13-1/24/14)2,277.32 61942256051213 12/20/13 ACCESS TRANSPORT SVCS (12/20/13-1/19/14)69.31 2039206 01/15/14 05758 AT&T 61969851401213 12/24/13 LONG DISTANCE (MONTHLY)37.52 37.52 2039026 12/25/13 07785 AT&T 000004918942 12/02/13 CALNET 2 PHONE SVCS (11/2/13-12/1/13)5,764.67 000004921159 12/02/13 CALNET 2 PHONE SVCS (MONTHLY)15.69 Page 2 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 6,975.62 4,644.44 4,989.98 4,496.22 2039261 01/22/14 07785 AT&T 000005006635 01/02/14 CALNET 2 PHONE SVCS (12/2/13-1/1/14)5,730.76 000005004740 01/01/14 CALNET 2 PHONE SVCS (12/1/13-12/31/13)1,229.08 000005008852 01/02/14 CALNET 2 PHONE SVCS (12/2/13-1/1/14)15.78 2039139 01/08/14 12810 ATKINS 1184198 12/23/13 DESIGN SERVICES (9/30/13-12/1/13)3,762.50 3,762.50 2039027 12/25/13 14985 AZTEC FENCE CO II INC AZ744 12/05/13 FENCE REPAIR 610.00 610.00 2039081 01/02/14 15310 BETH ANN COLEMAN Ref002431865 12/30/13 UB Refund Cst #0000057183 14.66 14.66 2039140 01/08/14 04806 BJ'S RENTALS 514871 12/09/13 PRE-MADE CONCRETE 145.80 145.80 2039082 01/02/14 15333 BLUE CENTURION HOMES Ref002431888 12/30/13 UB Refund Cst #0000195909 42.44 42.44 2039083 01/02/14 15308 BRANY V PEREZ Ref002431863 12/30/13 UB Refund Cst #0000015092 58.73 58.73 2039028 12/25/13 10970 BRENNTAG PACIFIC INC BPI368346 11/27/13 SODIUM HYPOCHLORITE 1,827.90 BPI369304 12/02/13 SODIUM HYPOCHLORITE 871.99 BPI370353 12/06/13 SODIUM HYPOCHLORITE 854.55 BPI370163 12/05/13 SODIUM HYPOCHLORITE 610.39 BPI369305 12/02/13 SODIUM HYPOCHLORITE 479.61 2039141 01/08/14 10970 BRENNTAG PACIFIC INC BPI374446 12/20/13 SODIUM HYPOCHLORITE 1,640.43 BPI373964 12/19/13 SODIUM HYPOCHLORITE 1,208.80 BPI372093 12/12/13 SODIUM HYPOCHLORITE 1,049.66 BPI372092 12/12/13 SODIUM HYPOCHLORITE 695.42 BPI374204 12/19/13 SODIUM HYPOCHLORITE 395.67 2039262 01/22/14 10970 BRENNTAG PACIFIC INC BPI377704 01/03/14 SODIUM HYPOCHLORITE 1,480.20 BPI375619 12/26/13 SODIUM HYPOCHLORITE 1,030.05 BPI377706 01/02/14 SODIUM HYPOCHLORITE 978.81 BPI375620 12/26/13 SODIUM HYPOCHLORITE 540.64 BPI377705 01/02/14 SODIUM HYPOCHLORITE 466.52 2039263 01/22/14 03531 BROWN AND CALDWELL 44206931 12/27/13 IWRV 2013 UPDATE (9/17/13-12/23/13)3,001.00 3,001.00 2039207 01/15/14 15359 BYCOR GENERAL CONTRACTORS Ref002432099 01/13/14 UB Refund Cst #0000194573 2,003.72 2,003.72 2039208 01/15/14 02970 CALIFORNIA LAND SURVEYORS E000059 01/13/14 MEMBERSHIP DUES 159.00 159.00 2039142 01/08/14 15346 CALIFORNIA REDEVELOPMENT 010614 01/06/14 WORKSHOP REFUND 209.00 209.00 2039029 12/25/13 00557 CALIFORNIA SPECIAL DISTRICTS 6061213 12/12/13 MEMBERSHIP DUES 5,294.00 5,294.00 2039030 12/25/13 01004 CALOLYMPIC SAFETY 321542 12/05/13 SAFETY TRAINING 794.34 794.34 Page 3 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 3,695.00 750.52 3,000.00 2039030 12/25/13 01004 CALOLYMPIC SAFETY 321542 12/05/13 SAFETY TRAINING 794.34 794.34 2039031 12/25/13 02758 CARMEL BUSINESS SYSTEMS INC 7737 11/29/13 DESTRUCTION SERVICES (11/29/13)77.00 77.00 2039143 01/08/14 15177 CAROLLO ENGINEERS INC 132263 12/17/13 DESIGN 870-2 PS (11/1/13-11/30/13)17,235.00 17,235.00 2039264 01/22/14 03232 CDW GOVERNMENT INC HZ55043 01/03/14 HAYES MODEM 153.39 153.39 2039032 12/25/13 09801 CENTERBEAM INC 19436 11/29/13 NETWORK MAINTENANCE 1,575.00 1,575.00 2039209 01/15/14 15348 CHALDEAN AMERICAN CHAMBER 010914 01/09/14 MEMBERSHIP FEE 350.00 350.00 2039144 01/08/14 12130 CHAVEZ, KIM O0000000060 01/06/14 SAFETY BOOT REIMBURSEMENT 119.98 119.98 2039210 01/15/14 15361 CHELSEY MILANOWSKI Ref002432101 01/13/14 UB Refund Cst #0000196933 56.33 56.33 2039265 01/22/14 06966 CHEYENNE PRODUCTS INC 28348 01/03/14 LIFE RING CABINETS 1,446.00 1,446.00 2039266 01/22/14 02026 CHULA VISTA ELEM SCHOOL DIST AR042714 01/09/14 GARDEN TOURS (11/5/13)220.00 220.00 2039145 01/08/14 02026 CHULA VISTA ELEM SCHOOL DIST AR042514 12/10/13 GARDEN TOURS (10/16/13)220.00 220.00 2039146 01/08/14 00446 CITY OF CHULA VISTA e000056 01/06/14 PLAN CHECK REVIEW 650.00 650.00 2039211 01/15/14 15365 CITY OF CHULA VISTA HARBORFEST 092113 01/15/14 HARBORFEST SPONSORSHIP 1,000.00 1,000.00 2039033 12/25/13 04119 CLARKSON LAB & SUPPLY INC 70596 11/30/13 BACTERIOLOGICAL TESTING SVCS 682.00 70594 11/30/13 BACTERIOLOGICAL TESTING SVCS 681.00 70590 11/30/13 BACTERIOLOGICAL TESTING SVCS 660.00 70591 11/30/13 BACTERIOLOGICAL TESTING SVCS 660.00 70592 11/30/13 BACTERIOLOGICAL TESTING SVCS 660.00 70589 11/30/13 BACTERIOLOGICAL TESTING SVCS 352.00 2039084 01/02/14 15335 CLEATH WATSON Ref002431890 12/30/13 UB Refund Cst #0000196290 40.22 40.22 2039147 01/08/14 08160 COMPLETE OFFICE 15606940 12/12/13 TONER 715.36 15452640a 10/21/13 2014 CALENDARS 35.16 2039148 01/08/14 08160 COMPLETE OFFICE 15617860 12/17/13 CALENDARS 177.75 177.75 2039212 01/15/14 12334 CORODATA MEDIA STORAGE INC DS1261059 12/31/13 TAPE STORAGE (DEC 2013)387.97 387.97 2039213 01/15/14 00099 COUNTY OF SAN DIEGO DPWAROTAYMWD111312/17/13 EXCAVATION PERMITS (NOV 2013)694.00 694.00 2039149 01/08/14 02756 COX COMMUNICATIONS SAN DIEGO 27171213 12/30/13 INTERNET SERVICES (12/29/13-1/28/14)1,500.00 28811213 12/30/13 INTERNET SERVICES (12/29/13-1/28/14)1,500.00 2039085 01/02/14 15322 DARREN MCCABE Ref002431877 12/30/13 UB Refund Cst #0000176439 51.07 51.07 Page 4 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 210.00 196.56 1,155.00 1,480.00 2039086 01/02/14 15345 DAVID HOFFMAN Ref002431901 12/30/13 UB Refund Cst #0000205421 14.47 14.47 2039087 01/02/14 15321 DAWN FRITZER Ref002431876 12/30/13 UB Refund Cst #0000175763 121.80 121.80 2039034 12/25/13 14362 DAY WIRELESS SYSTEMS {20}65742 11/28/13 FIRETIDE NORTH SEGMENT OPTIMIZATION 154.85 154.85 2039088 01/02/14 14362 DAY WIRELESS SYSTEMS {20}37131 10/31/13 FIRETIDE NORTH SEGMENT OPTIMIZATION 15,890.00 15,890.00 2039089 01/02/14 15331 DEBO ONATOLA Ref002431886 12/30/13 UB Refund Cst #0000188666 19.60 19.60 2039267 01/22/14 14008 DELL AWARDS 193898 01/03/14 RECOGNITION PLAQUE 91.26 91.26 2039150 01/08/14 00319 DEPARTMENT OF PUBLIC HEALTH 1391084 12/30/13 RECYCLED WATER FEES (7/1/12-6/30/13)869.40 869.40 2039268 01/22/14 00319 DEPARTMENT OF PUBLIC HEALTH O0000000065 01/16/14 CERTIFICATE RENEWAL 90.00 O0000000063 01/16/14 CERTIFICATE RENEWAL 60.00 O0000000064 01/16/14 CERTIFICATE RENEWAL 60.00 2039151 01/08/14 15287 DEVONNA ALMAGRO 101 12/17/13 NEWSLETTERS - SPANISH TRANSLATION 147.00 102 12/19/13 NEWSLETTERS - SPANISH TRANSLATION 49.56 2039214 01/15/14 08495 DIAZ, JENNY 0114 01/13/14 EDUCATION REIMBURSEMENT 3,000.00 3,000.00 2039215 01/15/14 02965 DIPIETRO, BRANDON E000058 01/13/14 SAFETY BOOTS REIMBURSEMENT 107.89 107.89 2039269 01/22/14 03417 DIRECTV 22165846315 01/05/14 SATELLITE TV (1/4/14-2/3/14)18.00 18.00 2039216 01/15/14 03417 DIRECTV 22044881698 12/20/13 SATELLITE TV (12/18/13-1/17/14)6.00 6.00 2039035 12/25/13 15050 DISCOUNT INSTRUMENTATION SVCS 7913 11/26/13 CONVERTER REPAIR 450.00 450.00 2039090 01/02/14 15324 DORA CERROS Ref002431879 12/30/13 UB Refund Cst #0000184858 36.44 36.44 2039217 01/15/14 15360 DUSTIN NELSON Ref002432100 01/13/14 UB Refund Cst #0000196619 44.32 44.32 2039218 01/15/14 02447 EDCO DISPOSAL CORPORATION 1554581213 12/31/13 RECYCLING SERVICES 95.00 95.00 2039091 01/02/14 15317 EDDIE AQUILER Ref002431872 12/30/13 UB Refund Cst #0000146502 72.83 72.83 2039152 01/08/14 08023 EMPLOYEE BENEFIT SPECIALISTS 0062923IN 11/30/13 EMPLOYEE BENEFITS (NOV 2013)687.50 687.50 2039270 01/22/14 03227 ENVIROMATRIX ANALYTICAL INC 4010482 01/06/14 RECYCLED WATER ANALYSIS (12/12/13-12/20/13)690.00 690.00 2039036 12/25/13 03227 ENVIROMATRIX ANALYTICAL INC 3120391 12/02/13 RECYCLED WATER ANALYSIS (11/14/13-11/30/13)600.00 3120615 12/09/13 RECYCLED WATER ANALYSIS (11/21/13-11/26/13)555.00 2039153 01/08/14 03227 ENVIROMATRIX ANALYTICAL INC 3120791 12/16/13 RECYCLED WATER ANALYSIS (11/27/13-12/5/13)820.00 3120964 12/20/13 RECYCLED WATER ANALYSIS (12/6/13-12/11/13)660.00 Page 5 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 1,005.00 7,476.95 1,865.48 387.70 2039092 01/02/14 15334 ERIC AUSTIN Ref002431889 12/30/13 UB Refund Cst #0000196238 60.32 60.32 2039271 01/22/14 14320 EUROFINS EATON ANALYTICAL INC L0149132 12/24/13 OUTSIDE LAB SERVICES (12/3/13)255.00 255.00 2039037 12/25/13 14320 EUROFINS EATON ANALYTICAL INC L0145660 11/27/13 OUTSIDE LAB SERVICES (11/13/13)750.00 L0146469 12/04/13 OUTSIDE LAB SERVICES (11/5/13)255.00 2039154 01/08/14 14320 EUROFINS EATON ANALYTICAL INC L0147346 12/11/13 OUTSIDE LAB SERVICES (11/13/13)2,200.00 2,200.00 2039155 01/08/14 00645 FEDEX 249546450 12/13/13 MAIL SERVICES (12/5/13)6.24 6.24 2039272 01/22/14 03546 FERGUSON WATERWORKS # 1083 0459347 12/24/13 INVENTORY 2,458.79 0459348 12/24/13 INVENTORY 2,458.79 0459484 01/03/14 INVENTORY 1,497.73 0459367 01/03/14 PIT PUMPS 1,061.64 2039156 01/08/14 03546 FERGUSON WATERWORKS # 1083 CM037336 CREDIT MEMO -414.36 0455538 12/10/13 METER BOX LIDS 2,279.84 2039038 12/25/13 12187 FIRST AMERICAN DATA TREE LLC 9003401113 11/30/13 ONLINE DOCUMENTS (11/1/13-11/30/13)99.00 99.00 2039157 01/08/14 12187 FIRST AMERICAN DATA TREE LLC 9003401013 10/31/13 ONLINE DOCUMENTS (10/1/13-10/31/13)99.00 99.00 2039273 01/22/14 12187 FIRST AMERICAN DATA TREE LLC 9003401213 12/31/13 ONLINE DOCUMENTS (12/1/13-12/31/13)99.00 99.00 2039039 12/25/13 04066 FIRST CHOICE SERVICES - SD 011720 12/04/13 COFFEE SUPPLIES 447.31 447.31 2039158 01/08/14 04066 FIRST CHOICE SERVICES - SD 012286 12/18/13 COFFEE SUPPLIES 323.54 323.54 2039274 01/22/14 04066 FIRST CHOICE SERVICES - SD 013198 01/03/14 COFFEE SUPPLIES 231.25 231.25 2039159 01/08/14 00035 FISHER SCIENTIFIC 2729888 CREDIT MEMO -54.09 3005135 12/19/13 LABORATORY SUPPLIES 441.79 2039040 12/25/13 14478 FISHER WIRELESS SERVICES INC 220140 11/27/13 RADIO UPGRADE 2,436.59 2,436.59 2039041 12/25/13 02591 FITNESS TECH 8815 12/01/13 EQUIPMENT MAINTENANCE (DEC 2013)135.00 135.00 2039275 01/22/14 11962 FLEETWASH INC x217995 12/27/13 FLEET VEHICLE WASHING 111.69 111.69 2039219 01/15/14 11962 FLEETWASH INC x217973 12/20/13 FLEET VEHICLE WASHING 65.70 65.70 2039160 01/08/14 11962 FLEETWASH INC x212971 12/13/13 FLEET VEHICLE WASHING 105.12 105.12 2039093 01/02/14 01612 FRANCHISE TAX BOARD Ben2431913 01/02/14 BI-WEEKLY PAYROLL DEDUCTION 90.00 90.00 2039220 01/15/14 01612 FRANCHISE TAX BOARD Ben2432183 01/16/14 BI-WEEKLY PAYROLL DEDUCTION 90.00 90.00 2039221 01/15/14 02344 FRANCHISE TAX BOARD Ben2432185 01/16/14 BI-WEEKLY PAYROLL DEDUCTION 81.00 81.00Page 6 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 6,614.02 17,152.70 17,102.55 2039221 01/15/14 02344 FRANCHISE TAX BOARD Ben2432185 01/16/14 BI-WEEKLY PAYROLL DEDUCTION 81.00 81.00 2039094 01/02/14 02344 FRANCHISE TAX BOARD Ben2431915 01/02/14 BI-WEEKLY PAYROLL DEDUCTION 81.00 81.00 2039095 01/02/14 15323 FRANCISCO LUCERO Ref002431878 12/30/13 UB Refund Cst #0000182339 36.93 36.93 2039276 01/22/14 07224 FRAZEE INDUSTRIES INC 9530271538420 01/06/14 PAINT 1,056.79 1,056.79 2039042 12/25/13 10817 GEXPRO 580232959 11/27/13 VERSAMAX PROGRAMMING CABLES 70.05 70.05 2039161 01/08/14 00101 GRAINGER INC 9325299320 12/23/13 SURVEY PAINT 241.06 241.06 2039277 01/22/14 12907 GREENRIDGE LANDSCAPE INC 11552 12/30/13 LANDSCAPING SERVICES (DEC 2014)8,909.50 8,909.50 2039043 12/25/13 12907 GREENRIDGE LANDSCAPE INC 11467 12/02/13 LANDSCAPING SERVICES (NOV 2013)8,909.50 8,909.50 2039222 01/15/14 00174 HACH COMPANY 8579295 11/19/13 LABORATORY SUPPLIES 678.57 678.57 2039162 01/08/14 00174 HACH COMPANY 8617559 12/17/13 LABORATORY SUPPLIES 2,102.02 2,102.02 2039044 12/25/13 02795 HARTFORD INSURANCE CO, THE Ben2431812 12/19/13 MONTHLY CONTRIBUTION TO LTD 5,603.65 5,603.65 2039163 01/08/14 02795 HARTFORD INSURANCE CO, THE 72ETB2004171213 12/02/13 ACCIDENT INS RENEWAL (1/1/14-1/1/15)780.00 780.00 2039278 01/22/14 05986 HAVS INCORPORATED 70541 01/03/14 REPAIR SERVICE 150.00 150.00 2039096 01/02/14 04472 HECTOR I MARES-COSSIO 105 12/10/13 BI-NATIONAL CONSULTANT SERVICES (NOV 2013)3,600.00 3,600.00 2039223 01/15/14 15364 HOMETEAM PROPERTY MGMNT Ref002432104 01/13/14 UB Refund Cst #0000205817 83.89 83.89 2039164 01/08/14 12335 HP ENTERPRISE SERVICES LLC U3136613 12/12/13 IVR PAYMENT SERVICES (NOV 2013)1,948.45 1,948.45 2039165 01/08/14 01649 IDEXX DISTRIBUTION INC 273936793 12/16/13 LABORATORY SUPPLIES 3,862.04 273936797 12/16/13 LABORATORY SUPPLIES 2,751.98 2039045 12/25/13 08969 INFOSEND INC 74800 11/29/13 BILL PRINTING SERVICES (NOV 2013)11,768.39 74799 11/29/13 BILL PRINTING SERVICES (NOV 2013)3,391.00 74929 12/03/13 BILL PRINTING SERVICES (NOV 2013)1,993.31 2039097 01/02/14 08969 INFOSEND INC 70976 07/31/13 BILL PRINTING SERVICES (JULY 2013)5,492.67 5,492.67 2039279 01/22/14 08969 INFOSEND INC 75716 12/31/13 BILL PRINTING SERVICES (DEC 2013)11,696.65 75715 12/31/13 BILL PRINTING SERVICES (DEC 2013)3,388.60 75856 01/02/14 BILL PRINTING SERVICES (DEC 2013)2,017.30 2039280 01/22/14 02372 INTERIOR PLANT SERVICE INC 7124 12/20/13 PLANT SERVICES (DEC 2013)205.00 205.00 2039046 12/25/13 02372 INTERIOR PLANT SERVICE INC 6498 11/20/13 PLANT SERVICES (NOV 2013)205.00 205.00 2039224 01/15/14 13899 INTERMEDIA.NET INC 2013163143 01/01/14 EMAIL SERVICES (12/2/13-1/2/14)3,457.59 3,457.59Page 7 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 1,684.65 1,684.65 1,678.59 11,421.99 2039224 01/15/14 13899 INTERMEDIA.NET INC 2013163143 01/01/14 EMAIL SERVICES (12/2/13-1/2/14)3,457.59 3,457.59 2039225 01/15/14 14737 IWATER INC 6475 11/19/13 LICENSE AGREEMENT 20,000.00 20,000.00 2039226 01/15/14 15351 JACKSON FONG Ref002432090 01/13/14 UB Refund Cst #0000047457 136.20 136.20 2039166 01/08/14 00646 JACKSON-HIRSH INC 0878357 12/17/13 OFFICE SUPPLIES 123.63 123.63 2039227 01/15/14 15355 JAMES TOWNSEND Ref002432095 01/13/14 UB Refund Cst #0000122874 84.63 84.63 2039098 01/02/14 15340 JANE CLUNE Ref002431896 12/30/13 UB Refund Cst #0000204530 80.64 80.64 2039047 12/25/13 03077 JANI-KING OF CALIFORNIA INC SDO11130165 11/01/13 JANITORIAL SERVICES (NOV 2013)1,135.50 1,135.50 2039167 01/08/14 03077 JANI-KING OF CALIFORNIA INC SDO12130163 12/01/13 JANITORIAL SERVICES (DEC 2013)1,135.50 1,135.50 2039168 01/08/14 10563 JCI JONES CHEMICALS INC 603982 CREDIT MEMO -3,000.00 603943 12/10/13 CHLORINE 4,684.65 2039281 01/22/14 10563 JCI JONES CHEMICALS INC 605352 CREDIT MEMO -3,000.00 605335 12/30/13 CHLORINE 4,684.65 2039169 01/08/14 02269 JENAL ENGINEERING CORP 10555 12/10/13 DUSTO INSPECTIONS (ANNUAL)1,300.00 1,300.00 2039048 12/25/13 02269 JENAL ENGINEERING CORP 10456 12/03/13 DUSTO INSPECTIONS (7/11/13-10/31/13)836.00 10447 12/03/13 FUEL ISLAND REPAIR 357.50 10446 12/03/13 FUEL ISLAND REPAIR 225.09 10448 12/03/13 FUEL ISLAND REPAIR 160.00 10457 12/03/13 DUSTO INSPECTIONS (NOV 2013)100.00 2039282 01/22/14 02269 JENAL ENGINEERING CORP 10723 12/30/13 DUSTO INSPECTIONS (DEC 2013)100.00 100.00 2039228 01/15/14 03172 JONES & STOKES ASSOCIATES INC 0097842 12/05/13 ENVIRONMENTAL CONSULTING (10/26/13-11/22/13)3,381.27 0098092 12/12/13 ENVIRONMENTAL CONSULTING (10/26/13-11/22/13)3,282.50 0097843 12/05/13 ENVIRONMENTAL CONSULTING (10/26/13-11/22/13)2,522.22 0097841 12/05/13 ENVIRONMENTAL CONSULTING (7/27/13-11/22/13)2,236.00 2039099 01/02/14 15326 JORDANA SANCHEZ Ref002431881 12/30/13 UB Refund Cst #0000185317 10.58 10.58 2039100 01/02/14 15318 KATHERINE ODER Ref002431873 12/30/13 UB Refund Cst #0000146811 145.00 145.00 2039229 01/15/14 15357 KEVIA GRANT Ref002432097 01/13/14 UB Refund Cst #0000187618 58.73 58.73 2039170 01/08/14 05840 KIRK PAVING INC 5482 12/12/13 AS NEEDED PAVING SERVICES FY14 6,982.50 6,982.50 2039049 12/25/13 04996 KNOX ATTORNEY SERVICE INC 4024849 11/30/13 DELIVERY SERVICES (11/1/13-11/14/13)99.75 99.75 2039283 01/22/14 04996 KNOX ATTORNEY SERVICE INC 4030141 12/31/13 DELIVERY SERVICES (12/6/13)99.75 99.75 Page 8 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 150.00 378.00 414.72 2039283 01/22/14 04996 KNOX ATTORNEY SERVICE INC 4030141 12/31/13 DELIVERY SERVICES (12/6/13)99.75 99.75 2039230 01/15/14 14036 KRATOS / HBE SM45002 12/19/13 ALARM MONITORING #1 (DEC 2013)55.00 SM45004 12/19/13 ALARM MONITORING #3 (DEC 2013)55.00 SM45005 12/19/13 ALARM MONITORING #2 (DEC 2013)40.00 2039231 01/15/14 12843 LAWTON GROUP, THE 51137 12/20/13 INTERNSHIP AGREEMENT (12/9/13-12/15/13)270.00 51163 12/27/13 INTERNSHIP AGREEMENT (12/16/13-12/22/13)108.00 2039050 12/25/13 09511 LAYFIELD ENVIRONMENTAL SYSTEMS E04916 11/26/13 MAINT OF FLOATING RESERVOIR COVERS 8,247.00 8,247.00 2039232 01/15/14 09511 LAYFIELD ENVIRONMENTAL SYSTEMS E04962 12/23/13 MAINT OF FLOATING RESVR COVERS (DEC 2013)51,322.00 51,322.00 2039101 01/02/14 15315 LEANDRO ORBITA Ref002431870 12/30/13 UB Refund Cst #0000092407 11.22 11.22 2039233 01/15/14 15315 LEANDRO ORBITA Ref002432094 01/13/14 UB Refund Cst #0000092407 99.44 99.44 2039102 01/02/14 15312 LEO HILLMAN Ref002431867 12/30/13 UB Refund Cst #0000062671 73.99 73.99 2039234 01/15/14 15356 LUDMILA LEDOVSKIKH Ref002432096 01/13/14 UB Refund Cst #0000142929 26.62 26.62 2039171 01/08/14 01054 LYNN'S LOCKSMITH SERVICE 284657 12/10/13 RE-KEY PUMP STATIONS 511.00 511.00 2039235 01/15/14 15358 MARIA JUAREZ Ref002432098 01/13/14 UB Refund Cst #0000188166 40.34 40.34 2039051 12/25/13 02902 MARSTON & MARSTON INC 201312 12/02/13 COMMUNITY OUTREACH (NOV 2013)5,000.00 5,000.00 2039284 01/22/14 02902 MARSTON & MARSTON INC 20141 01/02/14 COMMUNITY OUTREACH (DEC 2013)2,095.00 2,095.00 2039103 01/02/14 15309 MARY HOLDREN Ref002431864 12/30/13 UB Refund Cst #0000051183 40.97 40.97 2039285 01/22/14 05212 MCCORMICK, MARINELLI 01171401 01/17/14 COMPUTER LOAN 1,420.43 1,420.43 2039052 12/25/13 01183 MCMASTER-CARR SUPPLY CO 67611893 12/06/13 TSS/NO3 MATERIALS 390.72 390.72 2039172 01/08/14 01183 MCMASTER-CARR SUPPLY CO 68994475 12/23/13 AIR VAC PARTS 561.40 561.40 2039236 01/15/14 01824 MERKEL & ASSOCIATES INC 13121001 12/10/13 ENVIRONMENTAL SERVICES (11/1/13-11/30/13)11,911.68 11,911.68 2039053 12/25/13 09581 MICHAEL R WELCH PHD PE 71313 12/02/13 PLANNING SERVICES (7/1/13-11/30/13)3,240.00 3,240.00 2039173 01/08/14 01577 MINARIK CORPORATION I1081324DD 12/11/13 BANNER RF CABLES 183.43 183.43 2039174 01/08/14 00237 MISSION JANITORIAL & ABRASIVE 39064001 12/19/13 JANITORIAL SUPPLIES 276.48 39064002 12/20/13 JANITORIAL SUPPLIES 138.24 2039054 12/25/13 00237 MISSION JANITORIAL & ABRASIVE 39064000 12/06/13 JANITORIAL SUPPLIES 643.70 643.70 2039286 01/22/14 15136 MISSION UNIFORM SERVICE 340265148 12/30/13 UNIFORM SERVICES 398.77 Page 9 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 1,302.59 1,370.76 1,774.24 385.41 985.44 340266173 01/06/14 UNIFORM SERVICES 397.23 340265147 12/30/13 UNIFORM SERVICES 114.17 340266172 01/06/14 UNIFORM SERVICES 114.17 340264720 12/30/13 UNIFORM SERVICES 100.39 340266176 01/06/14 UNIFORM SERVICES 88.93 340265151 12/30/13 UNIFORM SERVICES 88.93 2039055 12/25/13 15136 MISSION UNIFORM SERVICE 340261925 12/09/13 UNIFORM SERVICES 398.77 340260855 12/02/13 UNIFORM SERVICES 394.78 340260854 12/02/13 UNIFORM SERVICES 130.17 340261924 12/09/13 UNIFORM SERVICES 130.17 6340260829 12/09/13 UNIFORM SERVICES 97.52 340260858 12/02/13 UNIFORM SERVICES 88.93 340261928 12/09/13 UNIFORM SERVICES 88.93 S340260830 12/09/13 UNIFORM SERVICES 41.49 2039175 01/08/14 15136 MISSION UNIFORM SERVICE 340262963 12/16/13 UNIFORM SERVICES 398.77 340264050 12/23/13 UNIFORM SERVICES 398.77 340257578 11/11/13 UNIFORM SERVICES 394.78 340257577 11/11/13 UNIFORM SERVICES 130.17 340264049 12/23/13 UNIFORM SERVICES 116.57 340264053 12/23/13 UNIFORM SERVICES 89.00 340257582 11/11/13 UNIFORM SERVICES 89.00 340262966 12/16/13 UNIFORM SERVICES 88.93 340262962 12/16/13 UNIFORM SERVICES 68.25 2039237 01/15/14 03523 NATIONAL DEFERRED COMPENSATION Ben2432181 01/16/14 BI-WEEKLY DEFERRED COMP PLAN 11,655.42 11,655.42 2039104 01/02/14 03523 NATIONAL DEFERRED COMPENSATION Ben2431911 01/02/14 BI-WEEKLY DEFERRED COMP PLAN 11,655.42 11,655.42 2039056 12/25/13 13690 NEAL ELECTRIC CORP 59983 12/09/13 ELECTRICAL SERVICE 4,895.00 4,895.00 2039105 01/02/14 15336 NICK WILSON Ref002431892 12/30/13 UB Refund Cst #0000198010 36.53 36.53 2039176 01/08/14 00510 OFFICE DEPOT INC 688974804001 12/16/13 OFFICE SUPPLIES 177.36 688637755001 12/12/13 OFFICE SUPPLIES 153.35 688974555001 12/20/13 OFFICE SUPPLIES 54.70 2039057 12/25/13 00510 OFFICE DEPOT INC 685872966001 12/06/13 OFFICE SUPPLIES 600.51 685876871001 12/06/13 OFFICE SUPPLIES 384.93 2039287 01/22/14 03149 ON SITE LASER LLC 48162 01/14/14 PRINTER SERVICES (1/13/14)79.00 79.00 Page 10 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 2039287 01/22/14 03149 ON SITE LASER LLC 48162 01/14/14 PRINTER SERVICES (1/13/14)79.00 79.00 2039106 01/02/14 15316 PABLO ZUNIGA Ref002431871 12/30/13 UB Refund Cst #0000146245 239.98 239.98 2039288 01/22/14 09984 PADRE DAM'S SANTEE LAKES 011614 01/16/14 EMPLOYEE PROGRAM 495.00 495.00 2039289 01/22/14 05497 PAYPAL INC 28888985 12/31/13 PHONE PAYMENT SVCS (DEC 2013)54.10 54.10 2039058 12/25/13 05497 PAYPAL INC 28211654 11/30/13 PHONE PAYMENT SVCS (NOV 2013)54.10 54.10 2039059 12/25/13 08398 PEERLESS MATERIALS COMPANY 35165 12/06/13 RAGS 259.20 259.20 2039177 01/08/14 00227 PELL MELL SUPPLY 79634 12/20/13 HEX FIN NUT 58.17 58.17 2039238 01/15/14 00137 PETTY CASH CUSTODIAN 011414 01/14/14 PETTY CASH 429.14 429.14 2039290 01/22/14 15081 PINOMAKI DESIGN 4363 12/30/13 GRAPHIC DESIGN 425.00 425.00 2039060 12/25/13 00053 PITNEY BOWES INC 418899 12/03/13 EQUIPMENT RENTAL (1/1/14-3/31/14)207.36 207.36 2039107 01/02/14 03351 POSADA, ROD 122313 12/23/13 COMPUTER LOAN 1,081.92 1,081.92 2039061 12/25/13 01733 PRICE TRONCONE &12754 11/18/13 ANTENNA SUBLEASE (JAN-MAR 2013)4,128.00 4,128.00 2039062 12/25/13 13059 PRIORITY BUILDING SERVICES 37320 11/01/13 JANITORIAL SERVICES (NOV 2013)3,664.00 3,664.00 2039178 01/08/14 13059 PRIORITY BUILDING SERVICES 37713 12/01/13 JANITORIAL SERVICES (DEC 2013)3,664.00 3,664.00 2039239 01/15/14 07860 PROTECTIVE LIFE INSURANCE CO A000059 12/10/13 LIFE INSURANCE PREMIUMS 10,893.50 10,893.50 2039063 12/25/13 00078 PUBLIC EMPLOYEES RET SYSTEM Ben2431818 12/19/13 BI-WEEKLY PERS CONTRIBUTION 161,223.72 161,223.72 2039179 01/08/14 00078 PUBLIC EMPLOYEES RET SYSTEM Ben2431903 01/02/14 BI-WEEKLY PERS CONTRIBUTION 160,646.50 160,646.50 2039291 01/22/14 00078 PUBLIC EMPLOYEES RET SYSTEM Ben2432173 01/16/14 BI-WEEKLY PERS CONTRIBUTION 161,951.62 161,951.62 2039180 01/08/14 01409 PUMP CHECK 5389R 12/16/13 PUMP EFFICIENCY TESTING 9,870.00 9,870.00 2039181 01/08/14 10294 QWIKPRINTS 142131 01/02/14 FINGERPRINTING SERVICES (12/9/13)20.00 20.00 2039240 01/15/14 02925 RAHDERS, DOUGLAS O0000000061 01/09/14 SAFETY BOOT REIMBURSEMENT 117.71 117.71 2039241 01/15/14 15362 REMARKET INVESTMENT Ref002432102 01/13/14 UB Refund Cst #0000197014 37.82 37.82 2039108 01/02/14 15320 ROBERT ARTMAN Ref002431875 12/30/13 UB Refund Cst #0000158808 88.43 88.43 2039109 01/02/14 15311 ROBERT CODY Ref002431866 12/30/13 UB Refund Cst #0000058134 119.65 119.65 2039242 01/15/14 15352 ROBERT MCCOY Ref002432091 01/13/14 UB Refund Cst #0000065276 30.02 30.02 2039243 01/15/14 15353 ROBERT PROSPER Ref002432092 01/13/14 UB Refund Cst #0000090663 102.44 102.44 Page 11 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 306.88 916.38 3,920.00 1,530.00 102,988.92 73,328.98 2039110 01/02/14 15329 ROSA KIM Ref002431884 12/30/13 UB Refund Cst #0000186287 29.49 29.49 2039064 12/25/13 02620 ROTORK CONTROLS INC CI07461 12/03/13 FILTER ROTORK 1,163.70 1,163.70 2039111 01/02/14 15344 RYAN COMPANIES Ref002431900 12/30/13 UB Refund Cst #0000205247 1,737.07 1,737.07 2039182 01/08/14 09148 S & J SUPPLY COMPANY INC S100032627001 12/23/13 INVENTORY 403.80 403.80 2039292 01/22/14 05130 SAFARI MICRO INC 239136 12/26/13 TONER CARTRIDGES 153.32 153.32 2039065 12/25/13 05130 SAFARI MICRO INC 238486 12/07/13 MOUSE/KEYBOARD 5000 176.16 238108 11/26/13 COMPUTER HARDWARE 130.72 2039183 01/08/14 05130 SAFARI MICRO INC 238619 12/09/13 TONER CARTRIDGES 617.99 238742 12/13/13 PHONE HEADSET 298.39 2039112 01/02/14 15246 SAFEGUARD PROPERTIES Ref002431891 12/30/13 UB Refund Cst #0000196865 52.03 52.03 2039293 01/22/14 15369 SALLIE MICHEL UB050027200 01/21/14 CUSTOMER REFUND 30.63 30.63 2039184 01/08/14 11596 SAN DIEGO CONSTRUCTION WELDING 9173 12/11/13 WELDING SERVICES 3,310.00 8997 08/07/13 WELDING SERVICES 610.00 2039066 12/25/13 11596 SAN DIEGO CONSTRUCTION WELDING 9162 12/03/13 WELDING SERVICES 1,190.00 9163 12/03/13 WELDING SERVICES 340.00 2039185 01/08/14 02586 SAN DIEGO COUNTY ASSESSOR 2013135 12/09/13 ASSESSOR DATA (MONTHLY)125.00 125.00 2039294 01/22/14 00003 SAN DIEGO COUNTY WATER AUTH 0000000923 12/30/13 SOCAL WATERSMART (NOV 2013)35.00 35.00 2039186 01/08/14 00121 SAN DIEGO GAS & ELECTRIC 122613 12/26/13 UTILITY EXPENSES (MONTHLY)51,856.33 122313 12/23/13 UTILITY EXPENSES (MONTHLY)26,111.80 122413 12/24/13 UTILITY EXPENSES (MONTHLY)24,257.17 122313a 12/23/13 UTILITY EXPENSES (MONTHLY)763.62 2039244 01/15/14 00121 SAN DIEGO GAS & ELECTRIC 010614 01/06/14 UTILITY EXPENSES (MONTHLY)55,042.79 122413s 12/24/13 UTILITY EXPENSES (MONTHLY)14,324.55 122713 12/27/13 UTILITY EXPENSES (MONTHLY)3,961.64 2039187 01/08/14 09339 SANGALANG, ALEX 010614 01/06/14 REIMBURSE SAFETY BOOTS 145.78 145.78 2039113 01/02/14 15337 SCOTT TRULOVE Ref002431893 12/30/13 UB Refund Cst #0000198151 131.36 131.36 2039114 01/02/14 15330 SERGIO MEJIA Ref002431885 12/30/13 UB Refund Cst #0000186686 44.98 44.98 2039067 12/25/13 00419 SHAPE PRODUCTS 173364 12/09/13 DISTRIBUTION SUPPLIES 1,309.32 1,309.32 Page 12 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 2,009.39 1,230.00 685.00 685.00 31,769.61 399.90 2039188 01/08/14 15048 SIEMENS WATER TECHNOLOGIES LLC 901509036 12/10/13 CL2GAS DRIPLEG/HEATER 1,117.44 1,117.44 2039115 01/02/14 15048 SIEMENS WATER TECHNOLOGIES LLC 901435645 10/14/13 MICRO 2000 PARTS 959.23 959.23 2039245 01/15/14 15048 SIEMENS WATER TECHNOLOGIES LLC 901504222 12/05/13 CL2GAS DRIPLEG/HEATER 1,628.66 901515548 12/16/13 AMMONIA TRANSMITTER 380.73 2039189 01/08/14 15307 SIERRA ANALYTICAL LABS INC 3L19003 12/19/13 LABORATORY ANALYSIS 250.00 3L11059 12/11/13 LABORATORY ANALYSIS 250.00 3L11058 12/11/13 LABORATORY ANALYSIS 250.00 3L19018 12/19/13 LABORATORY ANALYSIS 250.00 3L11041 12/11/13 LABORATORY ANALYSIS 230.00 2039246 01/15/14 04544 SIGN CRAFTERS 130620 11/29/13 EVACUATION SIGNS 321.16 321.16 2039190 01/08/14 13327 SILVA-SILVA INTERNATIONAL 1401 01/01/14 PROJECT CONSULTANT (DEC 2013)4,279.05 4,279.05 2039295 01/22/14 11618 SOUTH COAST COPY SYSTEMS AR142370 12/27/13 COPIER MAINTENANCE (JAN 2014)1,682.59 1,682.59 2039068 12/25/13 03103 SOUTHCOAST HEATING &C52393 11/13/13 AC MAINTENANCE (NOV 2013)480.00 C52388 11/13/13 IT AC MAINTENANCE (NOV 2013)205.00 2039296 01/22/14 03103 SOUTHCOAST HEATING &C52639 12/16/13 AC MAINTENANCE (DEC 2013)480.00 C52629 12/16/13 IT AC MAINTENANCE (DEC 2013)205.00 2039069 12/25/13 15176 SOUTHCOAST HEATING &C52387 11/13/13 AC MAINTENANCE (NOV 2013)1,068.00 1,068.00 2039297 01/22/14 15176 SOUTHCOAST HEATING &C52628 12/16/13 AC MAINTENANCE (DEC 2013)1,068.00 1,068.00 2039247 01/15/14 06853 SOUTHERN CALIFORNIA SOIL 365728 10/31/13 GEOTECHNICAL SERVICES (10/1/13-10/15/13)15,392.55 365894 11/30/13 GEOTECHNICAL SERVICES (11/1/13-11/30/13)14,506.66 365721 10/31/13 GEOTECHNICAL SERVICES (10/1/13-10/15/13)1,110.08 365723 10/31/13 GEOTECHNICAL SERVICES (10/1/13-10/15/13)760.32 2039116 01/02/14 15342 SOUTHLAND PAVING INC Ref002431898 12/30/13 UB Refund Cst #0000204849 1,896.11 1,896.11 2039191 01/08/14 03760 SPANKY'S PORTABLE SERVICES INC 717500 12/13/13 PORTABLE TOILET RENTAL (12/13/13-1/9/14)79.98 974600 12/13/13 PORTABLE TOILET RENTAL (12/13/13-1/9/14)79.98 974726 12/16/13 PORTABLE TOILET RENTAL (12/14/13-1/10/14)79.98 974602 12/13/13 PORTABLE TOILET RENTAL (12/13/13-1/9/14)79.98 975669 12/26/13 PORTABLE TOILET RENTAL (12/25/13-1/21/14)79.98 2039298 01/22/14 03516 SPECIAL DISTRICT RISK 45911 01/06/14 2013-14 PROPERTY/LIABILITY PROGRAM 4,591.38 4,591.38 2039070 12/25/13 02354 STANDARD ELECTRONICS 19473 12/06/13 ALARM MAINTENANCE (DEC 2013)1,352.50 Page 13 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 1,447.50 41.82 13,198.89 2039070 12/25/13 02354 STANDARD ELECTRONICS 19473 12/06/13 ALARM MAINTENANCE (DEC 2013)1,352.50 19456 12/03/13 ALARM MAINTENANCE (12/2/13)95.00 2039192 01/08/14 00097 STATE BOARD OF EQUALIZATION 440221330114 01/08/14 MAINTENANCE FEE (JAN-DEC 2013)1,151.92 1,151.92 2039248 01/15/14 12809 STUTZ ARTIANO SHINOFF 93872 12/30/13 LEGAL SERVICES (NOV 2013)18,980.82 18,980.82 2039117 01/02/14 15313 SUGEY MIRANDA Ref002431868 12/30/13 UB Refund Cst #0000063682 14.13 14.13 2039071 12/25/13 10339 SUPREME OIL COMPANY 392838 12/05/13 UNLEADED FUEL 16,694.01 16,694.01 2039118 01/02/14 15314 TAFFETA TIMMONS Ref002431869 12/30/13 UB Refund Cst #0000088115 64.00 64.00 2039119 01/02/14 15328 TB PENNICK & SONS Ref002431883 12/30/13 UB Refund Cst #0000185822 1,603.96 1,603.96 2039299 01/22/14 03608 TELLIARD CONSTRUCTION OWD12014 01/02/14 TER FILTER GEAR DRIVE INSTALL 3,460.00 3,460.00 2039300 01/22/14 02498 THOMPSON, CHAD 01171402 01/17/14 EDUCATION REIMBURSEMENT 576.00 576.00 2039249 01/15/14 14177 THOMPSON, MITCHELL 120113123113a 01/06/14 MILEAGE REIMBURSEMENT (DEC 2013)23.17 120113123113 01/06/14 TRAVEL EXPENSE (DEC 2013)13.00 110113113013 01/15/14 MILEAGE REIMBURSEMENT (NOV 2013)5.65 2039120 01/02/14 15325 TIMOTHY ARBULU Ref002431880 12/30/13 UB Refund Cst #0000185278 95.45 95.45 2039121 01/02/14 15341 TOD ROBINSON Ref002431897 12/30/13 UB Refund Cst #0000204572 46.80 46.80 2039122 01/02/14 15338 TONI HYATTE Ref002431894 12/30/13 UB Refund Cst #0000198929 40.09 40.09 2039193 01/08/14 14641 TREBOR SHORING RENTALS 891383 12/12/13 SHORING SERVICE 135.00 135.00 2039194 01/08/14 15255 TRENCH SHORING CO 704689 12/10/13 LITE SHIELD PIN 1,103.00 1,103.00 2039072 12/25/13 00427 UNDERGROUND SERVICE ALERT OF 1120130476 12/01/13 UNDERGROUND ALERTS (MONTHLY)292.50 292.50 2039301 01/22/14 00427 UNDERGROUND SERVICE ALERT OF 1220130468 01/01/14 UNDERGROUND ALERTS (MONTHLY)223.50 223.50 2039250 01/15/14 07674 US BANK O0000000062 11/22/13 CAL CARD EXPENSES (MONTHLY)16,530.13 16,530.13 2039195 01/08/14 07674 US BANK A000055 11/22/13 CAL CARD EXPENSES (MONTHLY)12,093.89 E000057 12/23/13 CAL CARD EXPENSES (MONTHLY)1,050.00 E000055 12/23/13 CAL CARD EXPENSES (MONTHLY)55.00 2039123 01/02/14 01095 VANTAGEPOINT TRANSFER AGENTS Ben2431909 01/02/14 BI-WEEKLY DEFERRED COMP PLAN 12,844.85 12,844.85 2039251 01/15/14 01095 VANTAGEPOINT TRANSFER AGENTS Ben2432179 01/16/14 BI-WEEKLY DEFERRED COMP PLAN 12,812.50 12,812.50 2039252 01/15/14 06414 VANTAGEPOINT TRANSFER AGENTS Ben2432177 01/16/14 BI-WEEKLY 401A PLAN 12,304.03 12,304.03 2039124 01/02/14 06414 VANTAGEPOINT TRANSFER AGENTS Ben2431907 01/02/14 BI-WEEKLY 401A PLAN 12,414.63 12,414.63Page 14 of 15 Check Total CHECK REGISTER Otay Water District Date Range: 12/19/2013 - 1/22/2014 Check #Date Vendor Vendor Name Invoice Inv. Date Description Amount 420.00 2039124 01/02/14 06414 VANTAGEPOINT TRANSFER AGENTS Ben2431907 01/02/14 BI-WEEKLY 401A PLAN 12,414.63 12,414.63 2039196 01/08/14 03329 VERIZON WIRELESS 9717055457 12/21/13 VERIZON SERVICES (11/22/13-12/21/13)5,959.31 5,959.31 2039253 01/15/14 15350 WARD LANNOM Ref002432089 01/13/14 UB Refund Cst #0000029533 150.00 150.00 2039302 01/22/14 14879 WATER CONSERVATION GARDEN 1118 01/01/14 GARDEN COSTS (3RD QTR FY 2013-2014)24,961.75 24,961.75 2039073 12/25/13 10093 WATEREUSE FOUNDATION 121113 12/11/13 2014 ANNUAL MEMBERSHIP DUES 5,853.12 5,853.12 2039197 01/08/14 03781 WATTON, MARK 120113123113 01/03/13 MILEAGE REIMBURSEMENT (DEC 2013)86.45 86.45 2039074 12/25/13 03781 WATTON, MARK 121113121313 12/19/13 TRAVEL EXPENSES (12/11/13-12/13/13)116.70 116.70 2039198 01/08/14 01343 WE GOT YA PEST CONTROL 85546 10/21/13 BEE REMOVAL SERVICES 115.00 85711 10/31/13 BEE REMOVAL SERVICES 115.00 85938 11/04/13 BEE REMOVAL SERVICES 115.00 85953 11/13/13 BEE REMOVAL SERVICES 75.00 2039125 01/02/14 15332 WESTMONT CONSTRUCTION INC Ref002431887 12/30/13 UB Refund Cst #0000194802 2,107.81 2,107.81 2039075 12/25/13 13483 WHITE NELSON DIEHL EVANS LLP 138757 11/30/13 AUDIT SERVICES FOR FY2013 (NOV 2013)1,250.00 1,250.00 2039254 01/15/14 15354 WILLIAM BAKER Ref002432093 01/13/14 UB Refund Cst #0000091855 42.44 42.44 2039126 01/02/14 15319 WILLIAM JONES JR Ref002431874 12/30/13 UB Refund Cst #0000156376 77.21 77.21 284 Amount Pd Total:1,546,496.71 Check Grand Total:1,546,496.71 Checks Page 15 of 15