Board Meeting - 12/9/2016
MINUTES OF THE BOARD OF DIRECTORS OF SERRANO WATER DISTRICT
The Board of Directors of the Serrano Water District met in a regularly scheduled board meeting on Friday, December 9, 2016. The meeting was held at the District Office located at 18021 Lincoln Street, Villa Park, California.
CALL TO ORDER: President Pharris called the meeting to order at 1:30 p.m.
ROLL CALL:
BOARD OF DIRECTORS MEMBERS PRESENT:
C.L. “Larry” Pharris, Jr. President
Frank Bryant Vice President
Jerry Haight Board Member
Richard A. Freschi Board Member
Greg Mills Board Member
BOARD OF DIRECTORS MEMBERS ABSENT:
STAFF PRESENT:
Jerry Vilander General Manager
Ann Michel Director, Finance & Administration
Laura Heflin Administrative Assistant
Joel Kuperberg Legal Counsel
GUESTS PRESENT:
Katie Pringle Curt Pringle & Associates
Andie Mills The Foothill Sentry
John Covert, C.P.A. LaVine & Associates
Diana Fascenelli Villa Park Council Woman
SEATING OF NEW AND RE-ELECTED DIRECTORS
Attorney Kuperberg administered the Oath of Office to Director Haight, Director Pharris and Greg Mills. They were congratulated on their appointments.
ANNUAL BOARD REORGANIZATION
It was moved (Director Mills), seconded (Director Haight), and unanimously carried with Directors Bryant, Freschi, Haight, Mills, and Pharris voting yes to appoint Director Bryant as President.
It was moved (Director Pharris), seconded (Director Haight), and unanimously carried with Directors Bryant, Freschi, Haight, Mills, and Pharris voting yes to appoint Director Freschi as Vice-President.
It was moved (Director Pharris), seconded (Director Mills), and unanimously carried with Directors Bryant, Freschi, Haight, Mills, and Pharris voting yes to appoint General Manager Vilander as Board Secretary and all other Assistant Deputy Secretaries as previously voted.
PUBLIC COMMENT
Council Woman Fascenelli invited Board members and staff to attend a farewell ceremony for Jarad Hildebrandt, City Manager for Villa Park, this afternoon. She also encouraged participation in the boat parade scheduled for Sunday. Next Tuesday will be the council meeting to elect the Mayor and Mayor Pro-Tem.
DRAFT FINANCIAL SERRANO WATER DISTRICT AUDIT REPORT FOR FISCAL YEAR 2015/2016
John Covert, CPA, auditor for Serrano Water District from LaVine & Associates, presented the draft financial audit report for fiscal year 2015/2016. Director Haight requested that it be noted which portion of the available cash is comprised of reserves and that how much money was owed in back rent to Serrano Water District be listed. He also requested that the amount of funds that were generated from disposition of assets from Irvine Lake be noted within the audit. Attorney Kuperberg also remarked that operations were not ceased at Irvine Lake. The verbiage should be changed to note that operations were suspended and that this should also be changed in the verbiage of the audit for SWD Recreation, Inc. Following discussion, it was moved (Director Haight), seconded (Director Mills), and unanimously carried with Directors Freschi, Haight, Mills, Pharris and Bryant voting yes to approve the financial report with changes recommended by the Board of Directors for fiscal year 2015/2016 as presented.
DRAFT FINANCIAL SWD RECREATION, INC. AUDIT REPORT FOR FISCAL YEAR 2015/2016
John Covert, CPA, auditor for SWD Recreation, Inc. from LaVine & Associates, presented the draft financial audit report for fiscal year 2015/2016. Following discussion, it was moved (Director Haight), seconded (Director Mills), and unanimously carried with Directors Freschi, Haight, Mills, Pharris and Bryant voting yes to approve the financial report for fiscal year 2015/2016 as presented with the revision of the verbiage as noted in the audit for Serrano Water District.
BOARD MINUTES
Consideration of Serrano Water District Board Meeting minutes of September 29, 2016. Director Freschi moved that the minutes of the September 29, 2016 meeting be approved as submitted, Director Haight seconded the motion, and the motion was unanimously carried with Directors Bryant, Haight, Freschi, Mills and Pharris voting yes.
Consideration of Serrano Water District Board Meeting minutes of November 1, 2016. Director Freschi moved that the minutes of the November 8, 2016 meeting be approved as submitted, Director Haight seconded the motion, and the motion was unanimously carried with Directors Bryant, Haight, Freschi, Mills and Pharris voting yes.
GENERAL MANAGER REPORT
General Manager Vilander summarized the status of Board Committee and management matters as agendized for the month of November. Highlighted items included a review of the meeting held with staff from Irvine Ranch Water District. General Manager Vilander informed the Board that it was his intention to purchase 1,500 acre feet of water from Metropolitan prior to the end of the year. The electrical panels at Smith have been upgraded and bills from Southern California Edison should be reduced as a result. A VFD will be put on well 5 in the upcoming year.
STATUS OF DROUGHT RESPONSE AND WATER SUPPLY
General Manager Vilander reported that November was approximately 18% reduced in consumption compared to 2013.
FINANCIAL REPORT
Following presentation of the financial report by Ann Michel, Director of Finance and Administration, it was moved (Director Pharris), seconded (Director Bryant), and unanimously carried with Directors Bryant, Pharris, Freschi, Mills and Haight voting yes to approve the disbursements in the amount of $420,909.16.
WATER REPORT
Ann Michel, Director of Finance and Administration, presented the water report. It was moved (Director Pharris), seconded (Director Bryant), and unanimously carried with Directors Bryant, Pharris, Freschi, Mills and Haight voting yes to receive and file the water report.
SUBMIT DAM TOWER RETROFIT ALTERNATIVE TO DIVISION OF SAFETY OF DAMS AND ISSUING RFP FOR 30% DESIGN SERVICES
Following discussion led by General Manager Vilander, it was moved (Director Pharris), seconded (Director Mills), and unanimously carried with Directors Bryant, Pharris, Freschi, Mills and Haight voting yes to authorize staff to forward alternative to Division of Safety of Dams and to issue an RFP for 30% design services.
CLASS & COMPENSATION STUDY
Following discussion led by General Manager Vilander, it was moved (Director Haight) and seconded (Director Freschi) to authorize General Manager to give 5% one-time adjustment based upon current annual salary to selected staff, 3% merit increase and 2% COLA, effective immediately, along with authorization for the General Manager to give a 5% merit increase after January 1st at his discretion. Discussion among the Board of Directors ensued. Following this discussion, the motion was then amended (Director Pharris), seconded (Director Mills), and carried with Directors Bryant, Mills and Pharris voting yes (Director Freschi and Haight – no), to give 5% one-time adjustment based upon current annual salary to selected staff, 5% merit increase (one time only) and 2% COLA, effective immediately, along with authorization for the General Manager to give a 5% merit increase (one time only), if warranted, after January 1st at his discretion and to accept the Systems Operator I and II ranges as presented.
CORRESPONDENCE
Correspondence was reviewed as agendized.
DIRECTOR COMMENTS AND REPORTS
None.
ATTORNEY’S REPORT
None.
It was announced at 3:45 p.m., that the Board of Directors would be going into closed session.
RECESS TO CLOSED SESSION
Government Code Section 54957
Public Employee Performance Evaluation
Title: General Manager
The Board meeting was reconvened into open session at 4:25 p.m. and it was announced that the General Manager would be given a one-time salary adjustment in the amount of $9,000 and a 5% merit increase as well as a 2% COLA. Additionally, the General Manager will be receiving a 5% merit increase July 1, 2017.
ADJOURNMENT
The meeting was formally adjourned at 4:30 p.m. The next regularly scheduled meeting will be held on Tuesday, January 10, 2017 @ 8:30 a.m. at the District office.
Laura Heflin, Administrative Assistant