BOARD MEETING MINUTES

REGULAR MEETING
SATURDAY, JUNE 23, 2007

A.    CALL TO ORDER/ROLL CALL

Director Sapanai called a meeting of the Board of Directors of the Stinson Beach County Water District to order on Saturday, June 23, 2007 at 9:35a.m., at the District Office located at 3785 Shoreline Highway in Stinson Beach, California.

Directors present:
Elizabeth Sapanai, President
Jim Zell, Vice President
Lawrence Baskin, Director
Barbara Boucke, Director
Scott Tye, Director

Staff present:
Toby Bisson
Christine Casper

B.    PUBLIC EXPRESSION

None.

C.    SETTING OF AGENDA

Motion to adopt the agenda as presented made by Director Tye, seconded by Director Baskin and approved by unanimous vote.

D.    APPROVAL OF MINUTES

Motion to approve minutes for May 2nd made by Director Baskin, seconded by Director Tye and approved by unanimous vote.

Motion to approve minutes for May 26th made by Director Boucke, seconded by Director Baskin and approved by unanimous vote.

E.    APPROVAL OF DISBURSEMENTS

Motion to approve disbursements for May 4, May 16, and May 30 made by Director Baskin, seconded by Director Tye and approved by unanimous vote.

Director Boucke commented on the bookkeeping services for April [and May], which were $2,640 and $2,820 respectively; based upon the fact that many of Janice's regular functions have been delineated to other staff members, the Finance Committee should meet with Janice to bring the bookkeeping charges closer to the contracted $2,000 per month.

The following board member compensation requests were approved by unanimous vote: Barbara Boucke, 5/8, 5/24 and 6/4 Personnel; Elizabeth Sapanai, 5/14 Wastewater and 6/5 Meeting with GM and lawyer; Scott Tye, 5/14 Water Operations, 5/14 Wastewater, and 5/23 State Funding Fair; Jim Zell, 5/8, 5/24 and 6/4 Personnel.

E.    MANAGER'S REPORT

Director Baskin thanked Mr. Schmidt for the informative report. Director Sapanai stated that she likes the informal format of the report.

G.    PUBLIC HEARING

1. Consideration/Adoption of a Water Use Charge Reduction for Property Located at 1 Alameda Patio, Account #1060, Donald Santa, Owner: A representative for the owner explained the circumstances of the leak: the tank was installed in a closet, so nobody saw the leak that occurred due to old age. Director Sapanai stated that Stinson Beach has a very limited storage capacity, and that the water loss of 11,800 cubic feet of water converts to 88,264 gallons; 176,528 half-gallon containers at a market rate of $1.50 per bottle would cost $264,792.
   
   Director Sapanai stated that the District has a policy that does not allow for water use charge reductions when the circumstances of the leak were within the control of the owner; clearly, anything in the house and/or anything that needs maintenance is within the control of the customer. Director Sapanai continued that for homes that are not the owner's primary residence, it is a good policy to either shut the water off when absent or to hire somebody to check on the residence.
   
   The home owner's representative responded that the situation is new to the owners; they only recently purchased the home.
   
   Director Sapanai asked the owner's representative to relate to the owner that he/she can purchase a digital water meter to monitor water use that costs between two and three hundred dollars.
   
   Director Baskin stated that the circumstances of the leak can arguably fall outside of the customer's "reasonable control"; the leak happened within one billing cycle, was a spontaneous occurrence when the water heater rotted out, and was not something that the owner was negligent about observing. Director Baskin stated that given the circumstances of the leak and the fact that the owner responded immediately, the owner had no control over the water heater rotting out and leaking. Director Sapanai disagreed with Director Baskin, stating that the leak did not occur over one billing cycle; it takes a number of years for appliances to rust out.
   
   Director Boucke stated that for all the other cases with similar circumstances that have come before the Board under this new policy, the Board has denied the reductions, and the Board should remain consistent in its vote.
   
   Director Zell stated that it is neglect on the part of the owner for not checking the second unit frequently, and that if the second unit will not be checked frequently, the owner should shut off the water supply to the unit. Director Zell added that the old water heater had probably been leaking/rusting out for a period of time, and that in [the billing cycle of the leak] the bottom ultimately fell out. Director Zell added that he believes the circumstances of the leak fall outside of the Board's policy for considering a reduction because they were within the customer's control.
   
   Director Baskin noted that, according to the billing history, this leak actually spanned more than one billing cycle; the other board members agreed.
   
   Director Boucke made a motion to deny the request for a fifty-percent leak reduction, but that the owner be granted the option for a payment plan; motion seconded by Director Zell and approved by unanimous vote, with the exception of Director Baskin, who abstained from the vote. Director Baskin stated that it appears the Board is moving toward a zero tolerance policy with respect to water use charge reductions; yet, the Board included the "reasonable control" concept in the revised policy to allow the board some discretion.

H.    GENERAL BUSINESS

2. Consideration/Adoption of a Draft Resolution Establishing an Appropriations Limit for Fiscal Year 2007-2008: Motion to approve the resolution made by Director Baskin, seconded by Director Tye and approved by unanimous vote.
3. Consideration/Adoption of a Draft Resolution Amending Title V. The board reviewed the amended policy. Director Baskin made a motion to approve the resolution amending Title V, seconded by Director Boucke and approved by unanimous vote.
   
   Director Tye stated that the approved, revised Title V should be forwarded on to the District's franchisee [Waste Management].
   
   Director Sapanai commented that the District needs to send a letter to Mr. Eszterhas about the big pile of garbage in front of his property that has been there for months and needs to be removed.
4. Presentation of the 2006 Water Quality/Consumer Confidence Report. Director Tye suggested posting copies of the report at various locations throughout town. Board members commented that staff did a fine job producing the report, as it includes much helpful information.
5. Consideration/Adoption of a Draft Resolution Establishing a Budget for 2007-2008. Board decided to include this agenda item on a subsequent meeting agenda before adopting a draft resolution; the finalized budget will be addressed again in July.
   
   Director Baskin commented that some of the headings on the Budget Detail Report should be renamed to more accurately reflect the columns' figures; the headings are a bit misleading. "Total Expenses" should be changed to "Total Operating Expenses" and "Total Operational Budget" should be changed to "Total Budget"; the last line should read "Expenses Equal Revenues".
6. Consideration/Adoption of a Draft Operations and Maintenance Budget/Capital Improvement Projects List. Toby Bisson distributed photos of the water main on Marine Way; Toby suggested that the District replace that line sometime after Labor Day due to its proximity to hotels. Director Tye reported that a Water Operations Committee meeting is scheduled for July 2 at 10:00am, during which construction-in-progress will be discussed. The Board decided a formal vote to approve the capital improvement plan was not necessary.
7. Consideration/Adoption of a Draft Resolution Establishing an Employee Benefit Program for Fiscal Year 2007- 2008. Motion to approve the resolution made by Director Boucke, seconded by Director Baskin, and approved by unanimous vote with the following change: the employee contribution to CalPERS should be noted under the "Retirement Benefit" portion of the resolution.
   
   Director Boucke stated that the District should be more proactive with testing [the Park Service's] pool of standing water.
   
   Toby Bisson stated that Mr. Fruchtman (on Calle del Occidente) is having a problem with a high level of rust in his water, and that Occidente shall be set as a priority on the "Calles and Patios" pipeline project. Toby also reported that the staff plans to do the "tie-ins" on the Calles and Patios before the road work commences on Arroyo this August.

I.    COMMITTEE REPORTS

Discussion ensued regarding the reception for Ed Schmidt on Saturday, July 21. Director Sapanai stated that people to invite include: the Village Association, the Fire Board, all the Fire District people, the Community Center board, the School District [board], Steve Kinsey, all the County people at Environmental Health, and the Park District. Director Sapanai stated that she will be making a postcard invitation that requests an R.S.V.P. The party will take place at the District Office and in front of the building in the parking lot. Director Sapanai will research oyster availability and bring water jugs and lemons. Director Baskin will pick-up the wine.

Director Boucke stated that Janice Payne reported that the District has over-budgeted for Worker's Compensation by approximately $12,000.

Director Zell reported that Resource Recovery has money in the bank and is selling compost; a grinder is coming into town on June 26. Director Sapanai asked if, for a fee, they are offering to deliver; Director Zell replied that he believes deliveries can be arranged.

Director Tye commented that the Wastewater Committee received a Failed Systems Report from Chris Kelly, Wastewater Technician; Mr. Kelley has filed seven systems with the county for noncompliance. Director Tye stated that when the District allows customers to take out a maintenance permit to cap a field and make it a holding tank, the District needs to track the progress to make sure that the holding tank is only a temporary solution. Director Sapanai gave her copy of the report to Director Baskin; staff is to print another copy for Director Sapanai.

The next regular board meetings were set for Wednesday, July 11 and Saturday, July 21.

J.    ADJOURNMENT

Motion to adjourn the meeting made by Director Tye, seconded by Director Baskin and approved by unanimous vote.