03/27/2000 - Minutes TIGARD WATER DISTRICT
BOARD OF COMMISSIONERS MEETING
March 27, 2000
Members Present: Norm Penner, Beverly Froude, George Rhine, David
Strauss and Gretchen Buehner
Staff Present Mike Miller, Twila Willson
Visitors Present None
1. Call to Order
The regular meeting of the Tigard Water District Board of Commissioners was called to
order by Commissioner Norm Penner at 7:02 p.m.
2. Roll Call and Introductions
Commissioner Norm Penner called roll. All members of the board were in attendance.
3. Approval of Minutes
Commissioner David Strauss moved for acceptance of the minutes of the February 28,
2000, meeting. Commissioner Beverly Froude seconded that motion. The minutes were
unanimously approved.
Commissioner Beverly Froude commented on the portion of the approved minutes
requesting copies of the Intergovernmental Water Board meeting minutes. She spoke
with Kathy Kaatz and made arrangements for all the Tigard Water District Board
Members to be on the mailing list to receive those minutes. Kathy informed her that she
would send copies as requested.
Commissioner Froude also informed the members of the board that the OREGONIAN
incorrectly stated that the meeting that evening was scheduled for 6:00 p.m. rather than
7:00 p.m. The posted notices were correct however.
4. Visitor's Comments - None present
5. Intergovernmental Water Board Update
Commissioner Gretchen Buehner reported on the Intergovernmental Water Board
Meeting. The IWB Board heard an appeal from an individual property renter. She has
the paperwork if other TWD board members wished to view it. Apparently there was a
leak and the citizen was granted a full relief(approximately$800.00) on the bill rather
than the usual formula for relief.
TWD Meeting Minutes -_1 - March 27,2000
Murray Smith and Associates reported on the System Hydraulic Study they are
performing in order to determine how things are working and what needs to be fixed.
A report was also presented on the on-going meetings with the various municipalities.
The report from the Joint Commission will be presented at the April IWB meeting. The
South Fork expansion proposal currently needs to go to vote by the participating city
councils (namely West Linn and Oregon City). The plan is to complete their study by the
end of summer. Ed Wegner commented to the IWB that the way the South Fork District
operates is much more similar to how the IWB operates, whereas the Joint Commission
is less efficient, meets only on a quarterly basis and relies more heavily on their technical
staff.
A question was raised as to what was going on with Portland Water; the response was
that nothing has happened at this point. The wholesale buyers are trying to create a
lobbyist to represent multiple members of the wholesale group in order to get Portland
moving on the contract issue. Mike Miller interjected that Portland has not had a meeting
since December. Commissioner Penner questioned why those facts are not being
reported in the Tigard Times.
Commissioner Buehner broken in at that point with information about a recent letter to the
editor in the Tiaard Times which indicated that while Bull Run was down nobody went off
line and the well system was able to supply everyone. The letter was filled with so much
misinformation. She requested Mike Miller or Ed Wegner write a letter to the editor
correcting that information and giving the facts as to how long the Tigard system was in
actuality off line.
Commissioner Penner stated that the general impression among the citizens is that
Tigard is the one dragging their feet, whereas in truth that is not the case at all. There
was a general consensus of opinion that the Tigard Water District needs a good publicist
to provide information to the water users.
Commissioner Buehner commented on the attendance at the Annual IWB Meeting by Mr.
Jim Hansen from Citizens for Safe Water who was asking numerous questions about the
presentation on the rate increase. He did not believe the information being presented by
the representative from CH2M Hill with regards to the scenario on the water costs should
the IWB continued to remain with Portland for their water source. Commissioner Buehner
foresees a campaign by the Citizens for Safe Water in order to keep Portland water only.
Also presented at the IWB meeting were the Standard Capital Improvement Projects for
the coming year. The main focus at the meeting, however, was the Rate Study.
6. Utility Manager's Report
Mike Miller provided members of the board with a proposed budget for 2000-2001. A
discussion ensued with regards to various budgetary items and the proposed amounts.
During the course of the discussion a question was broached about attorney fees during
the present year. Commissioner Penner reported he had received a letter from the TWD
attorney. The itemized billing that was attached was neither clear nor detailed. It
indicated work through January 2000. Commissioner Penner, on behalf of the Tigard
Water District, had told him to discontinue all work the end of December. Commissioner
TWD Meeting Minutes -2- March 27,2000
Penner sent a letter back to the attorney requesting more detailed information. The total
attorney bill for 1999-2000 was $6,306.50, which was over the budgeted amount.
Mr. Miller was asked to check on the new insurance rates since the revision to the TWD
insurance policy and report the new amount to the board.
Commission Buehner encouraged the distribution of a newsletter to the ratepayers
explaining the necessity to increase rates as the TWD is currently running on a deficit
and operating on reserves.
Commissioner asked Mr. Miller what the timeline for the budget should be for holding
budget committee meetings. Mr. Miller indicated it could be done as late as May,
however, April would be better to allow for follow up meetings to review and approve the
budget. He informed the board that he would check with Craig Prosser, Finance
Director, for the exact timeline.
The board members continued with a discussion regarding the budget committee
procedures as well as past proceedings and policies. It was agreed that a member of
the Tigard Water District Board of Commissioners should be actively involved in the
budget process.
Commissioner Buehner moved that the TWD appoint Commissioner David Strauss as
the Budget Committee Chairperson for the fiscal budget year 2000-2001. The board
voted unanimously to approve that motion. Commissioner Strauss will now contact the
budget committee members.
It was suggested that the attorney service fees be increased. Commissioner Strauss
suggested the board members review the proposed budget and further discuss it at the
regular TWD meeting in April.
Mr. Miller then continued with his report. He informed the TWD that the Regional Water
Providers Consortium is having an open house meeting on the Transmission and
Storage Strategy Report. The meeting will be Monday, April 3, 2000, at 7:00 p.m.
Commissioner Froude will attend that meeting (if she has nothing conflicting on her
calendar)to obtain information to bring back to report in order to keep the board
informed.
Mr. Miller presented a packet for their review on the territories being withdrawn from the
Water District. He also presented a graph showing the 1999 Water Demands.
The City of Lake Oswego transmission line is back in service and Tigard is currently
buying water from them. Portland has forgiven us one month of water purchase
because of the turbidity event at Thanksgiving time.
The 24" line on Beef Bend Road has been completed. The project will be finalized and
road opened in May. Walnut and Tiedeman project should also be completed soon.
The CIP that was handed out at the Intergovernmental Water Board meeting will be
changed. The change is because of the new hydraulic study and the change from a
seven-year program to a twenty-year program. The CIP will be about 1.5 million per
year for the next twenty years, which includes setting aside reserves for reservoirs also.
TWD Meeting Minutes -3 - March 27,2000
7. General Qualifications, Operations and Organization Booklet Review
Commissioner Penner asked whether all board members had reviewed the booklet they
had previously been provided. All the Commissioners agreed that there was need for
considerable revision. Many of the guidelines are completely obsolete. Commissioner
Penner posed the question, "What does this board really do? Commissioner Strauss felt
the board members acted as a sounding board and a watchdog for the water users.
A discussion followed as to how the Tigard Water District Board Members could best
serve their constituents. Commissioner Penner suggested they do some real soul
searching to evaluate their effectiveness. Commissioner Froude pointed out that most of
the constituents receive information through Cityscape on water issues. Board
members expressed a desire to find out how they are to represent their constituents.
Commissioner Buehner expressed the need to inform users of rate increases. Mr. Miller
explained that the Water Rate Study was not complete and a meeting now would be
premature. All board members agreed that a public informational meeting should be
scheduled for the near future to present information and discuss issues of concern.
Mr. Miller explained the process for increasing water rates. Recommendations were
made to draft letters of clarification to the Tigard City Council and the Intergovernmental
Water Board questioning who will be able to attend the rate increase meetings and
whether the opinions of the TWD constituency will be influential in any way.
Commissioner Penner will draft the letters.
Returning to the topic of the General Qualifications, Operations & Organization booklet,
all agreed it was outdated.
Commissioner Strauss requested Mike Miller provide copies of the TWD policies to the
members of the board. That information, along with the booklet and the answer to the
letter they receive, might map out the course of how the TWD should proceed.
Commissioner Buehner stressed that they had legal obligation to update and upgrade
the booklet. Following further discussion it was decided that she would work on changes
to the document over the next three to four months incorporating suggestions from all
board members as well as forms used by other entities.
Commissioner Buehner asked whether this board had an interest in formally asking for a
reassessment of the contract of the relationship between the four entities and the City of
Tigard and the IWB. It was decided that they would wait to make a decision until a
response was received to the proposed letters being drafted by Commissioner Penner.
8. Water Rate Study
Water Rate Scenario Updated paperwork dated March 7, 2000, was reviewed. Mike
Miller will make copies and give to all board members. Mr. Miller told the board that they
would be using reserves. Portland Water is charging $1.23 now whereas they were
previously charging $.66.
TWD Meeting Minutes -4- March 27,2000
9. Non-Agenda Items
Commissioner Buehner reported on the Metro meeting two weeks ago on the proposal
to annex the north half of what was Urban Reserve 49. The Metro Board said they are
not going to have their final hearings and make a decision until fall. They are waiting for
more information before further analyses can be made. She informed Metro of a
number of projects within the Tigard area that they were unaware of.
The topic.of the attorney's invoice was further discussed. The board decided to
authorize payment of the bill that Commissioner Penner has had for several months.
The invoice was given to Mike Miller with instructions to handle payment after
Commissioner Penner receives the reply to his letter.
Commissioner Penner shared a newspaper article he read while traveling in Phoenix,
Arizona, that reported an election on the use of fluoride in their water.
10. Next Meeting Date
The next meeting of the Tigard Water District will be scheduled for Monday, April 17, at
7:00 p.m. The budget will also be discussed further at that meeting. The Staff
Recording Secretary, Twila Willson, will not be at that meeting to take minutes or record
the meeting.
11. Adjournment
Commissioner George Rhine moved for adjournment of the meeting. Commissioner
Norm Penner seconded the motion. The vote for adjournment was unanimous. The
regular meeting of the Tigard Water District Board of Commissioners closed at 9:03 p.m.
TWD Meeting Minutes -5 - March 27,2000