03/08/1995 - Minutes INTERGOVERNMENTAL WATER BOARD
MEETING MINUTES
March 8, 1995
BOARD MEMBERS PRESENT: Bill Scheiderich, Paul Hunt, Violet Yager, and Beverly
Froude
STAFF PRESENT: Ed Wegner, Randy Volk, Mike Miller, Mary Gruss, and
Kathy Kaatz
VISITORS PRESENT: Jack Polans
1 . Call to Order
The meeting of the Intergovernmental Water Board was called to order at 5:30 p.m.
2. Roll Call and Introductions
Roll call was taken and all members were present with the exception of Peggy
Manning.
3. Visitor's Comments
Mr. Jack Polans quoted from the January 24, 1995 letter of intent from former
Commission Morgan and stated that he wanted to discuss the revenue analysis but
would wait until another time to discuss. Mr. Polans referred to the January 12, 1995
agenda item of the City of Tigard 3.2 (Water Rate Analysis) and stated that he was
concerned about the proper consultant being hired. Mr. Polans also discussed the
January 11 , 1995 meeting agenda of the IWB and the issue of negotiations with Lake
Oswego.
Chair Scheiderich stated that Mr. Polans would need to address any further issues at
another time since visitor's comments are limited to five minutes. Mr. Polans stated
that he would write a letter to finish addressing these issues.
Mr. Polans questioned whether the IWB Board is an independent advisory board to the
City of Tigard? Mr. Polans questioned whether the board made its own observations
of the facts presented? Chair Scheiderich stated that observations and
recommendations was the appropriate term. Mr. Polans stated that he feels
uncomfortable with the amount of influence from the staff of the City of Tigard.
Chair Scheiderich stated that there is nothing inappropriate with the City of Tigard
being represented on this Board nor with it supplying the staff. He also stated that
Council President Hunt
does the Board a service by being on the Board and listening to the concerns of the
smaller cities who do not have control of the assets. Chair Scheiderich stated as to
updates on the status of negotiations there would be no reason to lack confidence.
Commissioner Froude stated that at both the meetings of the TWD and the IWB there
is always a Director's report which is stated as well as written in the minutes on the
interim and long term water supply.
Commissioner Yager stated that negotiations are going on in executive sessions with
Lake Oswego and Tigard and that is confidential. She also stated that there are
regularly scheduled meetings as well as a time line. She stated that reference has
been made to communications although the content has not been discussed. Ms.
Yager questioned whether there would be a progress report to be given at this time?
Chair Scheiderich stated that we are given verbal reports at every meeting. There may
be separate progress reports being given to the Tigard City Council but he doubts they
would be any different than is presented here.
Mr. Wegner stated that negotiations have been going on for approximately five
months and within this time period both cities have had major elections, which has
involved getting new members of councils brought up to date. Early in negotiations
it was decided that detailed information would be held in executive sessions between
the Tigard City Council and the Lake Oswego City Council. Mr. Monahan met with
the IWB back in December in executive session and brought the Board members up
to date on the status of negotiations. The new Mayor for the City of Tigard and the
City Manager have been meeting with the Mayor and the City Manager of Lake
Oswego in working out some of the concerns. As this progresses, the Board will be
kept up to date whether it be in an open meeting or an executive session.
Commissioner Hunt stated that in order to run meeting efficiently, he felt that visitors
comments need to be limited to a five minute presentation.
4. Approval of Minutes
Mr. Hunt made a motion to approve the minutes of the February 22, 1995 meeting
minutes as written. The motion was seconded by Commissioner Froude.
5. Rules, Rates and Regulations - Randy Volk
Mr. Volk stated that a draft was presented to the Board members on the Rules, Rates
and Regulations which were adopted by the 190 agreement last year, Exhibit A,
Chapter 12.10 (City Code)• At the time of the IGA, the City of Tigard's attorney
looked over those Rules, Rates and Regulations and made some changes which were
adopted in the form that was presented tonight. The Accounting Department who
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now takes care of the billing for the Water Department had made some changes and
also has made some slight changes in the operations which necessitates some
rewording. The old Rules, Rates and Regulations as they were adopted have been
crossed out and in bold print are the new recommendations. Exhibit B which was
approved but was not supplied tonight are the current rates.
Commissioner Hunt questioned item 1 2.10.070 - Credit for Water Leaks and whether
it should state that amounts over $165.00 can be appealed to the IWB? Randy Volk
stated that this may be covered in another section (Grievances, Power to Grant
Variances) but, if it is a concern it can be amended.
Mr. Hunt questioned (12.10.110 - Cross Connection Control Program) whether
irrigation backflows that are required to be inspected once per year, are being
enforced? Mr. Hunt concern is that we are requiring something that we are currently
not enforcing. Mr. Hunt also questioned whether the Water Department could make
a better deal on supplying backflow devices for the public?
Randy Volk stated that the Backflow Program which is currently in operation does deal
with commercial and fire lines, but the Water Department is beginning to make note
of the residential use of irrigation systems, so as to enforce these. Mr. Volk also
stated that there are only a few double check valves and RP's that are currently
approved by the State.
Mr. Hunt stated that the Rules, Rates and Regulations states that the meters are read
once every eight weeks. Mr. Hunt questioned whether this should state that the
meters are read at Department discretion?
Commissioner Froude stated that she felt that once every eight weeks is very specific.
Mr. Hunt stated that there
has been discussion to the reading time being changed and this would allow a little
more flexibility.
Mr. Wegner questioned whether this could be stated as meters will be read based
upon the policies set by the IWB and the Tigard City Council. This would allow the
flexibility if we were to change the reading times.
Commissioner Froude discussed who has access to these polices and the fact that
they are available to the general public, she felt they should be specific.
Mr. Wegner stated that these policies can be amended at any time by Resolution by
the IWB and/or the Tigard City Council.
Mr. Hunt questioned the Water Main Extensions (12.10.170) being in conflict with
City Reimbursements Districts. Mr. Wegner stated that he is checking with the City
Attorney's office and will let the Board know.
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Mr. Hunt stated that the City of Tigard has a Reimbursement District policy which they
are in the process of re-writing. This policy states that any services that will service
others can form a District and collect back from them.
Randy Volk stated that in the memo from Ed Wegner it stated that the Board would
briefly look at this document and next month will discuss further. Randy Volk stated
that he would provide Exhibit B to the Board. Mr. Volk also thanked Mike Miller and
Mary Gruss for assisting with the updating on this document.
Mr. Wegner stated that if the Board members had any questions or concerns to let us
know and we will have those incorporated into draft number two for the next meeting.
6. 1995/96 Budget Review - Ed Wegner
With the Board's approval the Request For Proposal for Water Rate Study was
discussed next.
Mr. Wegner stated that he has already had some concerns voiced to him as follows:
a. #7 and #5 should be that they address the proposed Capital Improvement
Projects not identify them.
b. Page 11 , #2 should read, the System Development Charges for the City of
Tigard by Economic Engineering Services.
C. Page 13, one typographical mistakes (structures).
d. Page 14, two typographical mistakes (payment will be in lump sum, and
authorized by.
We will be forwarding this draft with the above corrections and any others necessary
by the Board to the Tigard City Council for adoption. Mr. Wegner stated that the
consensus of the Water Department and the Finance Department was that this would
be completed by June 30, 1995, although it now appears it will be into July or
August.
Commissioner Froude questioned whether there is something in this document which
discusses overruns or the consultant not staying within their budget? Mr. Wegner
stated that the Contract will state that it will be for a lump sum.
Mr. Hunt questioned the time frame for preparation of bid and whether it allowed for
sufficient time. Mary Gruss stated that these dates can be adjusted.
Chair Scheiderich questioned whether this RFP would contain a scoring matrix or a list
of criteria on how they are to be evaluated? Mr. Scheiderich stated that this should
be placed in the RFP and state that these proposals will be evaluated on the basis of
following....
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6. 1995/96 Budget Review - Ed Wegner
Mr. Wegner stated that he had presented to the Board a draft of the Water
Department budget overview requests. Mr. Wegner stated that at the April meeting
either Bill Monahan or himself will present to the Board a more detailed budget that
will be presented to the Budget Committee and the Tigard City Council. Last March
if referred back to the minutes of the IWB, it was discussed that the IWB has the right
to submit changes directly to the Budget Committee.
Mr. Wegner stated that we would be going through the line items and to discuss what
items are included in that line item and why the changes in percentages from the last
budget. Mr. Wegner stated that the 500 account lines items deal with staff and are
completed by the Finance Department with the exception of #505 and #520 and the
600 account line items deal with operations.
Mr. Hunt questioned why line item 551 .000 went down 74% (Workers
Compensation)? Mr. Wegner stated that this would need to be addressed by the
Finance Department.
Randy Volk discussed line item:
505.000. He stated that last year he had six part time help and four of those
worked directly with the Water Department and two were shifted to
work on the Grounds Crew which was to maintain the reservoir grounds.
520.000 Overtime covers both the call out and the on call person for the weekend
as well as any additional overtime necessary.
Mike Miller discussed line item:
600.000 Cost of Water. The reason for rising 27% are the increase in rates from
the City of Portland which increased 126% from last year. Mr. Miller
stated that Lake Oswego and Tualatin Valley Water prices are estimated.
Mr. Hunt questioned what else goes into the calculation of the 27% increase?
Mike Miller stated that he also calculated an increase in the Lake Oswego rates, these
rates have not been raised in the last two years and Tualatin Valley charges were
unsure so he calculated what they currently pay City of Portland and added some
overhead costs to that. Mr. Miller also stated that increased consumption is also
included in these calculations. Mr. Miller stated that we bought less than $62,000
water from Portland last year and then this year to jump to $142,000 is a big
increase.
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Ed Wegner discussed line item:
601 .000 Professional Services. This is where consultants are paid from. Last
November the City of Tigard entered into an Agreement with Murray
Smith and Associates (four year contract at $25,000 per year) has
increased this account as wells as a seismic and stress analysis on the
steel tanks.
Mr. Wegner stated that this week while cleaning the 10mg site, it was noticed that
there is a separation along the outside wall and there is a structural engineer coming
in Friday to determine the cause. This line item expense may be necessary.
602.000 Contractual Services. This line item is up considerably since this year we
have combined budgets to better serve the City's accounting system.
This line items will include janitorial service, SCADA system
programming, heating and air conditioning service, answering service for
emergency calls. Mr. Wegner stated that if a responsibility is transferred
to another division, the money to provide for these services will continue
to come from that department budgets.
Commissioner Froude questioned the use of the building for night meetings, weekend
use, and the homeless shelter? Mr. Wegner stated that the Water budget has always
paid for that. He also stated that the Finance Department will be suppling a matrix
that outlines these charges which are divided among the different divisions within the
City.
Mr. Wegner also stated the 1 % of sales which also goes to King City, Durham and the
Tigard Water District comes out of the Contractual Services line item.
Bill Scheiderich questioned line item 704.000 - Office Furniture and Equipment. Mike
Miller stated that the Water Division is budgeting for a new software program from
Hansen Information and Technology. This program is currently being used for
maintenance purposes within Maintenance Services in Sanitary, Storm, and Streets.
This new software program will enable the Water Division to track maintenance of
valves, pumps and pumping facilities, timing of blowing off dead end lines, fire
hydrant repairs and maintenance. We are currently doing all these tasks manually
which is very time consuming. He also stated that this line items includes budgeting
for AutoCad software and workstation to bring the drafting capabilities of the Water
Division to the same level as the City's Engineering staff.
Mr. Hunt wanted to clarify whether this was an item that was used by various
departments or the Water Division? Mike Miller stated
that this was a large packet and this portion was strictly for the Water Division.
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Mr. Scheiderich questioned line item 706.000 - Operation Equipment. Randy Volk
stated that this included the purchase of a $62,000 backhoe, but with trade-ins hope
to have down to $48,000. Another item included is a meter reading van for $17,5p0,
a 20 ton utility trailer, and shoring shield for $3,750. The trailer the Water Division
has currently is inoperable. This trailer purchase will be shared by other divisions (2/5
Water, 2/5 Wastewater and Storm, 1/5 Street) as well as the shoring shield. The
Water Division is also sharing in the cost of a concrete cutter that the Wastewater
Division is purchasing. This line item includes a chlorination station which will add
chlorine to the water as needed prior to pumping up to Bull Mountain, sample stations
for water quality, SCADA upgrade to upgrade system and also a purchase of two way
radios which will replace existing incompatible radios.
Paul Hunt questioned if there were two meter reading vehicles? Randy Volk stated
that we currently have two meter reading vehicles that were purchased from TVWD
and were used before that by the postal Service.
Bill Scheiderich questioned the last time contracting out the meter reading services
was? Mr. Volk stated that this is discussed on a regular basis. Currently the meter
reading program is coming along fine, but when additional purchases are requested
the need to look at contracting those services out needs to be addressed.
Mr. Scheiderich questioned whether Tigard is a party to the sharing of equipment
within the area? Mr. Wegner stated that the City is involved in this, but a backhoe is
seldom available through other agencies.
Ms. Yager questioned the software purchase and how much projected savings there
will be? Mr. Wegner stated that all utilities within the infrastructure will be
computerized (all manholes, valves, meters, fire hydrants). This software will have the
ability to generate workorders, monthly reports, accomplishments and will track
problem areas within the City limits. Hopefully within the first four months we will be
able to generate reports and within one year to eighteen months will have everything
City wide on this system.
Mr. Hunt questioned the vehicle purchases being contingent upon the meters being
read in house. Mr. Wegner stated that a determination will be made and will be
brought to the Board and the Tigard City Council by January 1 , 1996 if this will be
done in house or contracted out, if contracted out the vehicle will not be purchased.
Mr. Wegner questioned whether the Board would like to have a individual copy of the
budget pages? The Board stated that they would prefer to have a written summary
as well as answers provided to the questions that were not answered at this meeting.
Mr. Scheiderich stated that if a written presentation is being made to the Budget
Committee he would like the Board to also receive a copy of that.
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Mr. Polans questioned if this was the end of the budget discussion? Mr. Wegner
stated that he still had two more pages to discuss.
Mr. Wegner stated that another page submitted included all the Water Division
employees paid through the Water fund including all benefits. Also distributed is the
program summary which states last year goals, projected goals and objectives for
1995/96 and performance measures.
Mr. Polans again questioned if this ended the budget discussion? Chair Scheiderich
stated that this ended the preliminary review of the budget for this evening. Mr.
Polans asked if he could ask a question of the Board. The Board declined answering
any more questions at this point, but stated that Mr. Polans could direct those
questions to Mr. Wegner after the meeting, if time allowed.
7. Director's Report - Ed Wegner
Mr. Wegner requested the Board to hold a second meeting this month on March 22,
1995. Mr. Wegner stated that by the first of next week, we will have a draft
agreement of an IGA between City of Tigard and Tualatin Valley Water District to buy
surplus water from them for the interim supply. We will also have a cost estimate to
connect to Tualatin Valley at the Baylor Street location, and cost estimates for
improving to well #2 and #3. We would like to bring these to the Board on March
22nd and on March 28th take these to the Tigard City Council to begin the process
and have Baylor Street and the wells on line by July 1 , 1995.
Mr. Hunt questioned if haven't reached an agreement with TVWD how can we set an
interim contract if we don't know what the interim will be (3 months to 13 years)?
Mr. Wegner stated that if long term contract with Lake Oswego is negotiated it will
take from 3-5 years. The interim IGA with TVWD states that we are looking for a long
term source and when that comes on board we will have the ability to remove from
the contract.
Chair Scheiderich pooled the Board in regards to a March 22nd meeting? The Board
was in agreement and the Chair questioned whether Mr. Wegner would notify Ms.
Manning?
Long Term Water. Mr. Wegner stated that the Mayors and City Mangers from City
of Tigard and Lake Oswego have met twice and they are both reporting back to their
respective City Councils Tuesday and hopefully will have the five major areas of
concern resolved. Mr. Wegner stated that at the
meeting on March 22, 1995 or the April 8, 1995 meeting he feels confident that Mr.
Monahan will address the Board and discuss the majority of the contract.
Chair Scheiderich stated that he would prefer that on one of those dates, he would
like to have something in writing or presented in person, what has been agreed upon.
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Mr. Hunt stated that if Mr. Monahan does not feel comfortable discussing in a public
meeting than it should be addressed in executive session.
Mr. Wegner stated that even though the contract will be between the City of Tigard
and the City of Lake Oswego, the recitals state that the City of Tigard is representing
Durham, King City, and the unincorporated area.
Mr. Wegner stated that there is no new movement on the Willamette River Study. Mr.
Scheiderich questioned whether there would be any new movement until the State of
Oregon resolves Pacific Power and Lights claims to twenty times the volume going
over the Willamette Falls? Mr. Wegner stated that as soon as the regional study is
complete the lower part will move along according to Phil Smith (MSA) since this is
the area not affected by PGE claims. This study is tentatively due to be completed
by November. There should be a preliminary report completed in July and a final
report adoption by each entity in November. Mr. Wegner also provided the Board
with a copy of the last minutes from the Regional Water Supply Plan Participants
Meeting held February 21 , 1995.
The City of Tigard has instructed the City Manager and the Director to make
application to the State of Oregon for water rights on the Willamette River. The
locations of these will be in the area that Tualatin Valley and Wilsonville have water
rights which is not in the area of the PGE claims.
Mr. Wegner discussed the results of the testing on the 10mg pumping sites which
stated that we would have the ability to draw down from about 16.5 feet to 6 feet
which could give us two million gallons of water more than last year.
Mr. Wegner stated that Lorry Christian who had been working in the Human Resource
Department has resigned and taken a position in the private sector. This will enable
the Water Division to utilize that position within the Water Division as a Utility Worker.
Mr. Wegner had also distributed a copy of the water conservation program through
Northwest Natural Gas and stated that the Water Division was very successful with
4,102 participants with a cost of a little over $6,000. Mr. Wegner also stated that
we are putting articles in the Cityscape this month which will be distributed to Durham
and King City. At the request of the TWD we will be checking into doing mail inserts
into all water bills or at the cost involved in doing a mailing to involve those occupants
to the unincorporated area.
Mr. Wegner stated that Murray Smith and Associates would be beginning the survey
of the land for the Menlor Reservoir site. This report should be provided within the
next six weeks.
Intergovernmental Water Board, 3-8-95 Page 9
Mr. Wegner also stated that as soon as the monthly report was available it would be
mailed out to the Board.
Chair Scheiderich questioned whether the City was pursuing any other water
conservation efforts? Mr. Wegner stated that the City has checked into the toilet bags
and double levers. We will be offering this Spring some seminars on irrigation
systems by the landscaping crew and the backflow crew.
Commissioner Froude questioned whether there would be any attempt to pursue
commercial customers lack of conservation measures. Mr. Wegner stated that we
have some brochures to encourage water conservation that we would like to send out
early this year.
Commissioner Yager stated that there was no mention in the Rules, Rates and
Regulations in regards to water conservation and penalties associated with. It was
discussed that we would prefer to educate on water conservation issues.
Commissioner Froude stated that there is a need for consequences. She referred to
U.S.A. rates being based upon usage. Ms. Froude stated that she felt the Board
should discuss this issue.
8. Non Agenda Items
No items were discussed.
Chair Scheiderich stated that comments on the Rules, Rates and Regulations needed
to be in by the March 22, 1995 meeting. Mr. Scheiderich also stated that he would
defer until the meeting on the 22nd to set the April meeting.
9. Adjournment
Paul Hunt moved to adjourn which was seconded by Violet Yager. The meeting
adjourned at 7:00 p.m.
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