HERITAGE RANCH COMMUNITY SERVICES DISTRICT

BOARD OF DIRECTORS MEETING

MINUTES OF July 16, 2009

 

 

Directors present:       Marilyn Breland, Dan Burgess, Richard Gourley, Don Clarke

Directors absent:        Ralph Allison

Staff present:              John D’Ornellas, Manager

 

OPEN SESSION 4:00 PM

 

CALL to ORDER/FLAG SALUTE

Vice President Breland called the meeting to order and led the flag salute.

 

ROLL CALL

Director Allison absent. 

 

PUBLIC COMMENT

Stan Heyne asked if there was access problems at lift station 2 when vehicles/boats park in the area.  D’Ornellas responded.

 

 

MINUTES

3.      Minutes of June 18, 2009:  Vice President Breland said approval of the June 18 minutes should be postponed until the August 20 meeting because the three Board members present at the June 18 meeting are not at today’s meeting.  She suggested the June 18 minutes should be taken off the agenda and placed on the August 20, 2009, agenda for review and approval.  There were was Board consenses to postpone approval of the minutes until the three Board members in attendance at the June 18 meeting were present. 

 

PAYABLES

4       June 2009 Payables:  Vice President Breland asked if there were any questions about the June payables.  There were none.  Director Clarke moved to approve the Warrant Register for June.  Director Gourley seconded the motion.  The vote carried 4-0 in favor.

 

 

PUBLIC HEARING

5A.   Adopt Resolution 09-07 Approving a Water Conservation and Staged Water Use Reduction Plan:  D’Ornellas said this item has been before the Board seven times over the last two years and this meeting is a continuance of the public hearing from June 18, 2009.  He indicated the public hearing is for approval and adoption of Resolution 09-07 which will establish water shortage regulations and a staged water use reduction ordinance.  D’Ornellas reported that at the June 18 meeting the Board received public comment and requested staff to make amendments to the proposed ordinance language.  He summarized the Board’s suggested changes to the ordinance as a reduction in the surcharge fee, regrouping of tracts into less groups, and more flexibility with the variance language.  D’Ornellas conducted a Power Point presentation with background information and the details of the ordinance.  Information included the District’s water supply history, system capacity and Nacimiento Reservoir drought condition impact on the District.  D’Ornellas outlined the ordinance’s structure and the five stages or trigger points relative to water elevations in Lake Nacimiento.  He said we will consider the reservoir’s level in five stages, and when the trigger points are reached, the Board may implement the water use reduction plan as outlined in the ordinance.  He said the ordinance forces customers to conserve water by sharply increasing the price of water per unit, as substantial fee increases have proven to be the most effective method of persuading customers to value water.

There were Board comments and questions about public education, current status of the reservoir, customer retrofit options, and non-residential conservation.  Vice President Breland indicated this public hearing was continued from the June 18 meeting and asked if there were any public comments on the proposed ordinance.  Stan Heyne commented that water conservation will reduce the District’s revenues and may cause an increase in fees to make up for the reduced demand for water.  There were no other comments and Vice President Breland closed the public hearing.

         Director Clarke made the motion to adopt Resolution 09-07 approving the water conservation and staged water use reduction plan.  This motion was seconded by Director Burgess.  D’Ornellas conducted a roll call vote with all Directors in attendance responding yes.  Resolution 09-07 was adopted with a 4-0 vote in favor.

 

5B.   Adopt Resolution 09-08 Authorizing Recordation of Tax Liens for Properties in Arrears in Payment of Solid Waste Fees  D’Ornellas presented the report to collect unpaid solid waste fees as tax liens.  He said the District adopted a mandatory solid waste policy into its Code of Ordinance on July 29, 1999.  He indicated this action was the result of a series of public joint workshops in late 1998 and into 1999, with the District and HROA addressing the issue of unauthorized use of bins and illegal dumping.  He said this policy was confirmed by both the District and HROA at a joint meeting on June 21, 2007.  D’Ornellas reported that pursuant to District Code Section 8.200 all developed properties located within the District with a water meter are subject to mandatory solid waste service.  He said this Ordinance incorporates the procedures of Government Code Section 61115(3)(b) for the collection of delinquent solid waste charges on the tax rolls.  D’Ornellas said this Code section allows the Board to authorize the San Luis Obispo County Auditor to levy the amount due to San Miguel Garbage Company for delinquent solid waste services as a tax lien against the property.  He reported the tax lien will be placed on a property owner’s tax bill for collection.  D’Ornellas reported that San Miguel Garbage sent certified letters to each delinquent account giving a 45-day notice to pay pursuant to District Code 8.330.  He indicated the District sent a Notice of Public Hearing to each delinquent property owner regarding the Board’s action today.  D’Ornellas updated the attachment of delinquent accounts with the deletion of three customers because they had paid their fees subsequent to the posting of the agenda. 

Vice President Breland opened the public hearing.  There were no public comments and Vice President Breland closed the public hearing.  Director Gourley made the motion to adopt Resolution 09-08 authorizing recordation of tax liens for properties in arrears in payment of solid waste fees.  This motion was seconded by Director Clarke.  D’Ornellas conducted a roll call vote.  Directors Gourley, Breland and Clarke voted yes, Director Burgess abstained from voting.  Resolution 09-08 was adopted with a 3 -1 - 0 vote in favor.

 

5C.   Adopt Resolution 09-09 Approving Final Budget for FY 2009/10.  D’Ornellas presented an overview of the 2009/10 Final Budget.  D’Ornellas indicated the Final Budget was reduced by $200 from the Preliminary Budget.  D’Ornellas summarized the budget categories including major capital items.  He said the budget is based on a projected 8% decrease in property taxes due to the State’s fiscal crises.  D’Ornellas reported the State may reduce local property taxes by more than 8%, and this could require use of reserve funds for operations. 

Vice President Breland opened the Public Hearing.  There was Board discussion and questions on various capital projects including meter replacement and gas station closure.  Vice President Breland asked if there were any public questions.  D’Ornellas indicated that no written comments were received.  There was no public comment and Vice President Breland closed the public hearing and called for a motion to adopt Resolution 09-09.  Director Clarke moved to adopt Resolution 09-09.  Director Gourley seconded the motion.  A roll call vote was held, all Directors in attendance responded yes.  Resolution 09-09 was adopted with a 4-0 vote in favor.

 

DISCUSSION ITEMS

6A.   Water Supply Evaluation  D’Ornellas presented a proposal from the District’s Engineers at the Wallace Group to evaluate the District’s water supply in regards to a new source and/or access point.  He explained the work does not design, create or construct any project.  D’Ornellas said the project will produce a series of technical memorandums discussing their findings and evaluations of two key water supply alternatives.  He indicated these alternatives include accessing Camp Roberts’ ground water wells and a direct connection between the gallery well and the lower outlet works of the Nacimiento Dam.  D’Ornellas reported that a future water supply project could be pursued based on the findings.

         D’Ornellas said we are at the first step of this project in which we need to decide what we want to do, its general size/shape, roughly what it cost, and the environmental impacts of the project.  He said once we answer these questions, we can move on to the design and construction of a project.  D’Ornellas indicated that any new water supply option will be expensive and we may eventually decide to do nothing and hope that it rains ever few years to fill up the reservoir and provide us with steady river flow.  There were Board comments on the importance of evaluating alternative water supplies.  Director Burgess made the motion to approve the scope of work and proposal from the Wallace Group to establish an alternate water supply.  Director Clarke seconded the motion.  The vote was 4-0 in favor.

 

CONSENT ITEMS

7A.   Treasurer’s Report for June 2009:  D’Ornellas presented the Treasurer’s Report for June 2009.  There were no questions.  Item was received and filed.

 

7B.   Manager’s Report June 2009:  D’Ornellas presented the report.  Item was received and filed.

 

7C.   Engineer’s Report June 2009:  Vice President Breland asked if there were any questions on the Engineer’s Report.  There were no questions.  Item was received and filed.

 

7D.   Staff Report June 2009:  D’Ornellas asked if there were any questions on the Staff Reports.  Item was received and filed.

 

7E.   Director Report on Class:  Director Burgess gave an overview of the recent special district administration class he attended in Seaside. 

 

 

BOARD STAFF GENERAL DISCUSSION

 

Director Clarke commented that he would like to see the Manager take some time off soon for rest and relaxation.  He suggested an offshore albacore fishing trip. 

 

 

ADJOURNMENT

Director Clarke made a motion to adjourn the meeting.  Director Gourley seconded the motion.  The vote was 4-0 in favor.  The meeting adjourned at 5:44 PM. 

 

Approved:

 

 

_____________________________             

Ralph Allison, President Board of Directors

 

 

Attest:

 

                        _________________________________           

                        John D’Ornellas, Secretary Board of Directors