I hereby certify that the following agenda

was posted at least 72 hours prior to the time

of the meeting so noticed below at 24251 Los                                                                              

Alisos Boulevard, Lake Forest, California.

 

                                                                                                                                                               

Robert R. Hill, Assistant Secretary of the

El Toro Water District and the Board of

Directors thereof

 

AGENDA

 

EL TORO WATER DISTRICT

 

ENGINEERING COMMITTEE MEETING

AND

FINANCE/INSURANCE COMMITTEE

 

September 22, 2009

7:30 a.m.

 

CALL TO ORDER – Chairman Goldman

 

PLEDGE OF ALLEGIANCE – Director Werner

 

ORAL COMMUNICATION – PUBLIC COMMENT

Members of the public may address the Committee at this time or they may reserve this opportunity with regard to an item on the agenda until said item is discussed by the Committee.  Comments on other items will be heard at the time set aside for “COMMENTS REGARDING NON-AGENDA ITEMS.”  The public will identify themselves when called on and limit their comments to three minutes.

 

ENGINEERING COMMITTEE

 

1.         Approval of Minutes

 

The Engineering and FIC Committee will consider approving minutes for the August 25, 2009 Engineering and Finance/Insurance Committee.

 

Recommended Board Action at the September 24, 2009 Meeting:

Approve minutes for the August 25, 2009 Engineering and Finance/Insurance Committee meeting and place on the Engineering and Finance/Insurance Committee’s approval list for the September 24, 2009 meeting of the Board of Directors.

 

Committee Recommendation:  The Committee will consider placing this matter on the Engineering and Finance/Insurance Committee's recommended approval list for the regular meeting of the Board of Directors.

 

ENGINEERING ACTION ITEMS

 

2.                  Replacement Mower (Reference Material Included)

 

Staff will review and comment on the competitive bids solicited and received for the purchase of a new replacement mower.  The mower, used by the ETWD Pump Stations Department in the course of maintaining multiple District water and sewer facilities, will replace an existing 19 year old unit.  The 2009/10 Capital Budget allocated $22,000 for this equipment.

 

Recommended Board Action at the September 24, 2009 Meeting Staff recommends that the Board of Directors authorize the District’s General Manager to enter into a purchase order with the lowest responsive bidder, Powerland Equipment, in the amount of $22,565.63 for the purchase of a Massey Ferguson Tractor and Vrismo Flail Mower.  Staff also recommends that the Board authorize the General Manager to fund the project costs from the District’s Capital Reserves in accordance with the District’s adopted Capital Reserve Policy.

 

Committee Recommendation:  The Committee will consider placing this matter on the Engineering and Finance/Insurance Committee's recommended approval list for the regular meeting of the Board of Directors.

ENGINEERING GENERAL INFORMATION ITEMS

 

3.         El Toro Water District Capital Project Status Report  (Reference Material Included)

 

Mr. Cafferty will review and comment on the El Toro Water District Capital Project Status Report.

 

4.         Engineering Items Discussed at Various Conferences and Meetings (Oral Report)

 

            The Committee will discuss any pertinent Engineering items discussed at Conferences.

 

COMMENTS REGARDING NON-AGENDA ENGINEERING COMMITTEE ITEMS

 

CLOSE ENGINEERING COMMITTEE MEETING

 

FINANCE/INSURANCE COMMITTEE MEETING

 

CALL MEETING TO ORDER – Chairman Martin

 

INSURANCE ACTION ITEM

 

5.         JPIA Dam Insurance Coverage (Reference Material Included)

 

Staff and General Counsel will review and comment on the notification by JPIA that the District's current Dam liability insurance coverage for the El Toro Reservoir Dam and the Rossmoor Dam will be reduced from $20 million to $10 million dollars.  The annual premium for the reduced coverage is $15,581 which commences October 1, 2009 and runs through October 1, 2010.  JPIA is currently seeking excess coverage through other brokers which, if attainable and desired by the District, will come at a significantly higher premium cost.  In the meantime, staff is requesting authorization from the Board of Directors to renew our coverage with JPIA for the reduced amount of $10 million at an annual premium cost of $15,581.

 

            Recommended Board Action at the September 24, 2009 Meeting:

Staff recommends that the Board of Directors authorize the District’s General Manager to renew the District’s Dam Liability insurance coverage for the El Toro Reservoir Dam and the Rossmoor Dam with JPIA in the amount of $10 million dollars at an annual premium cost of $15,581.

 

Committee Recommendation:  The Committee will consider placing this item on the Engineering and Finance/Insurance Committee approval list for the regular meeting of the Board of Directors.

 

FINANCE ACTION ITEMS

 

6.         Financial Package - Authorization to Approve Bills for Consideration Dated September 22, 2009 and Receive and File Financial Statements as of August 31, 2009  (Reference Material Included)

 

Staff will review and comment on the Bills for Consideration dated September 22, 2009 and Financial Statements as of August 31, 2009.

 

Recommended Board Action at the September 24, 2009 Meeting: Staff recommends that the Board: 1) Approve, ratify and confirm payment of those bills as set forth in the schedule of Bills for Consideration dated September 22, 2009, and 2) receive and file the Financial Statements for the period ending August 31, 2009 and place on the Engineering and Finance/Insurance Committees approval list for the September 24, 2009 meeting of the Board of Directors.

 

Committee Recommendation:  The Committee will consider placing this matter on the Engineering and Finance/Insurance Committee's recommended approval list for the regular meeting of the Board of Directors.

 

7.         El Toro Water District Investment Policy Statement 1985-3 (IV) Pursuant to Policy Statement (Reference Material Included)

 

Mr. Grandy will review, comment and update the Board on the District's Investment Policy Statement 1985-3 (IV) revised by the Board September 2008.  The enclosed Investment Policy Statement is in accordance with State Code.  The enclosed policy allows the District flexibility in investment choices while maintaining overall safety, liquidity and producing a reasonable yield.  Staff does not recommend any changes to the policy at this time.

 

Recommended Board Action at the September 24, 2009 Meeting:  Staff recommends no modifications to the El Toro Water District Investment Policy Statement 1985-3 (IV) as presented.

 

Committee Recommendation:  The Committee will consider placing this matter on the Engineering and Finance/Insurance Committee's recommended approval list for the regular meeting of the Board of Directors.

 

8.         Water Budget Based Tiered Rate Structure Implementation (Reference Material Included)

 

Staff will review and comment on professional services proposals received to assist the District evaluate, develop and implement a Water Budget Based Tiered Rate Structure.  Subject to public review and input, the proposed rate structure would take effect July 1, 2010.  The 2009/10 budget for this project is $50,000.

 

Recommended Board Action at the September 24, 2009 Meeting:

Staff recommends that the Board of Directors authorize the General Manager to enter into a professional services contract with Raftelis Financial Consultants, Inc. in the not to exceed amount of $111,288.00 to assist the District evaluate, develop and implement a Water Budget Based Tiered Rate Structure.

 

Committee Recommendation:  The Committee will consider placing this matter on the Engineering and Finance/Insurance Committee's recommended approval list for the regular meeting of the Board of Directors.

 

TREASURER INFORMATION ITEMS

 

9.         2009/10 Water Conservation and Water Supply Shortage Status Report (Reference Material Included)

 

Staff will review and comment on the status of all activities related to implementation of the District's Water Conservation and Water Supply Shortage Ordinance and the officially declared Level 1 Water Supply Shortage.  Implementation elements include but are not limited to customer outreach, customer input and waiver requests, import water purchase reconciliation, water sales versus budget by customer category and usage penalty charges recorded and/or imposed.

 

10.       Tiered and Water Budget Based Tiered Conservation Rate Structure Project (Oral Report)  

 

Staff will review and comment on the status of the Tiered and Water Budget Based Tiered Conservation Rate Structure Project.

 

Comments Regarding Non-Agenda FIC Items

 

CLOSE FINANCE AND INSURANCE COMMITTEE MEETING

 

ADJOURNMENT TO 7:30 a.m., Tuesday, October 20, 2009.

 

The agenda material for this meeting is available to the public at the District's Administrative Office, which is located at 24251 Los Alisos Blvd., Lake Forest, Ca. 92630. If any additional material related to an open session agenda item is distributed to all or a majority of the board of directors after this agenda is posted, such material will be made available for immediate public inspection at the same location.

 

Request for Disability-Related Modifications or Accommodations

 

If you require any disability-related accommodation, including auxiliary aids or services, in order to participate in this public meeting, please telephone the District's Recording Secretary, Polly Welsch at (949) 837-7050, extension 225 at least forty-eight (48) hours prior to said meeting.  If you prefer, your request may be submitted in writing to El Toro Water District, P.O. Box 4000, Laguna Hills, California 92654, Attention: Polly Welsch.