05/25/1993 - Minutes •
TIGARD WATER DISTRICT
8777 S.W.BURNHAM ST.
P.O.BOX 230000
TIGARD,OREGON 97281-1999
TIGARD WATER DISTRICT PHONE(503)639-1554
BOARD OF COMMISSIONERS
Minutes
7:30 p.m., May 25, 1993
Commissioners Present: Bob Wyffels, Audrey Castile, Hill Hampton, Clarence Nicoli, John
Haunsperger (conference telephone connection).
Staff Present: Jeri Chenelle, Administrative Director; Mike Miller, Senior Management Analyst,
Lorry Christian, Administrative & Human Resource Coordinator; Nancy Johnson, Accounting
Supervisor, David Knowles, Attorney.
Absent: Randy Volk, Operations Manager
Visitors: Bob Santee, Jack Polans, George Morgan, King City Mayor Lynda Jenkins, Bev
Froude, TWD Employee Rusty Thomas, Jon Kvistad (arrived 8:45 p.m.)
Chair Wyffels called the meeting to order at 7:30 p.m.
1. Minutes for May 11 meeting.
A motion was made by Commissioner Nicoli to approve the minutes. The motion was
seconded by Commissioner Hampton. A correction was made to the draft of the minutes,
page 2, item 5: Ordinance 1-93 was incorrectly written as 2-92. Hearing no discussion, a
voice vote was called. The motion to approve the minutes as corrected was unanimously
approved.
2. Discuss FY93-94 Budget.
A public hearing was held May 11, 1993. Questions raised at that time caused the Board to
table the decision on the budget until this meeting. Chair Wyffels made a motion to remove
from the table the resolution on the budget. Commissioner Hampton seconded the motion.
Chair Wyffels said since there had already been two public hearings, and since the public
hearing was adjourned at the May 11 Board meeting, there wouldn't be any public input at
this meeting. A voice vote was called. The motion was unanimously approved.
After reviewing the approved minutes from the May 11 meeting, Attorney Knowles said the
Board's action at that meeting indicates they intended to adjourn the public hearing when
they said it was adjourned and no further public comment need be taken at this meeting. The
Board, however, had the discretion to take more comments from the public, if they chose.
The Board decided to discuss the budget with Staff, and take public input later if there were
unanswered questions.
Administrative Director Chenelle clarified that the Proposed Budget should read that "part of
the reason"for an increase in expenditures in the previous year was due to an increase in
water rates from Portland, Chair Wyffels said the increase in water rates from Lake Oswego
should be more clearly mentioned. The Board continued with its discussion about the
proposed budget.
5/25/93 Minutes,Tigard Water District Board of Commissioners
The Board and Administrative Director Chenelle discussed options for specifying a proposed
rate increase, and whether the present Water District should approve a rate increase or
whether they would wait and let the joint water agency make the decision about if, when, and
by how much to increase water rates.
Chair Wyffels said if visitors have any new information it could be given at this time. The
Board then heard comments from visitors Jack Polans, Bob Santee, George Morgan, and
King City Mayor Lynda Jenkins.
The Board agreed they preferred to have smaller incremental increases in water rates more
frequently rather than larger incremental rate increases less often.
Commissioner Hampton made a motion to adopt the proposed budget providing that
$300,000 come out of the Operating Contingency Fund to reduce a proposed increase in
water rates. The motion died for lack of a second.
The Board continued the discussion about the proposed budget.
Commissioner Hampton made a motion to adopt Resolution 4-93, to adopt a budget, make
appropriations, levy taxes, with the amendment of reducing the Operating Contingency Fund
from $596,050 to $305,000. The motion was seconded by Commissioner Castile.
Discussion was called for. The intent was to lower the proposed rate increase from 20% to
10%. Hearing no further discussion, a voice vote was called. The motion was unanimously
approved.
3. Visitors comments.
Visitor Bob Santee asked if there would be an opportunity to make comments on the Lake
Oswego contract. Chair Wyffels said the Board would allow comments.
At 9:00 p.m., Chair Wyffels called a brief recess of the meeting.
At 9:30 p.m., the meeting was called to order again.
4. Dissolution Plan- 190 agreement.
Attorney Knowles summarized the situation since the last Board discussion of this issue. On
May 4, 1993, the Board approved Resolution 5-93 to initiate proceedings to dissolve the
District and liquidate all assets. Since then, Attorney Knowles and TWD Staff met with Mr.
Cameron and Mr. Junkin of Washington County to determine representation for the
unincorporated area of the Water District after the District dissolved. The Washington
County Board of Commissioners had previously discussed the issue informally, and stated
they have no interest in participating in the representation of the unincorporated area.
In addition, a dissolution plan would have to be approved by the Boundary Commission. In
order of preference, if the Water District submitted a dissolution plan, The Boundry
Commission, would likely present three options:
a. City of Tigard own all of the assets and provide water service within their service
territory, as designated by the Boundry Commission (including the unincorporated
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area). Any city is authorized to do this when that city comprises the larger part of the
district from which it withdraws. If the District dissolves, the City of Tigard can
become the entity which serves the area.
b. Have the Tigard Water District remain as a legal, governmental entity, with its own
board of commissioners, with boundaries being only the unincorporated area of the
present District.
c. Dissolution of Tigard Water District and no government substituted to represent the
unincorporated area. This is something the Boundary Commission doesn't want to
have happen.
Attorney Knowles said there appear to be two options:
a. Continue with the dissolution plan and provide a plan with the City of Tigard being the
service entity providing water to the unincorporated area and a service area designated
by the Boundry Commission; or
b. Have Tigard Water District remain as a legal entity representing and having
boundaries which consist of the unincorporated area, and participate in the 190
agreements.
The recommendation of Staff and Attorney Knowles was that, for the time being, the Tigard
Water District continue, keeping the option of dissolving as something that could be done in
the future. Attorney Knowles presented a draft of an Interim Intergovernmental Agreement
between TWD and the Cities of Tigard, Durham and King City, which could be approved if
the Board chose to rescind the initiation of dissolution. This interim agreement would
provide for the governance of the water system during a short period, perhaps up to one
year, while the District and three Cities evaluate the long term structure to provide water
service.
A motion was made by Chair Wyffels to approve Resolution 8-93 rescinding portions of
Resolution 5-93 concerning dissolution of Tigard Water District. The motion was seconded
by Commissioner Haunsperger. Discussion was called for. Hearing no further discussion, a
voice vote was called. The motion was approved unanimously.
Attorney Knowles reviewed the draft interim intergovernmental agreement and the Board
listened to comments and questions from visitors Bev Froude, and King City Mayor Lynda
Jenkins. He clarified that the new Water District Board (after July 1) would have five
members and would consist of residents or electors of the unincorporated area. The new
joint water agency would have seven appointed board members. Attorney Knowles said
there are two options to maintaining the Water District Board: (1) Go through a process of
resignation and appointment until there are three members of the Board eligible to serve
(eligibility depends on they being residents of the unincorporated area); or(2) the
Washington County Board of Commissioners to appoint until there is a majority so the
District could continue operating.
The Board took comments from visitors Jack Polans, and Bob Santee.
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5/25/93 Minutes,Tigard Water District Board of Commissioners
Attorney Knowles asked the Board for an indication of consensus about whether they wanted
him to continue to pursue the interim intergovernmental gevment-- There was unanimous
approval by the Board for Attorney Knowles to pursue the discussions about the interim
intergovernmental with the three Cities.
5. Lake Oswego Water Supply Agreement:
Administrative Director Chenelle said both the Lake Oswego City Council and the TWD
Board of Commissioners have approved this agreement, but the agreement hasn't been signed
because of difficulties in scheduling a signing ceremony. The City of Tigard has presented a
list of questions and concerns and requested that the agreement not be signed, but rather let
the new joint water agency make the final decision on it. Lake Oswego is concerned about
maintaining a cooperative relationship with the new governing body. Options for the Board
include: (1) signing the agreement; (2) delay the agreement; or(3) rescind the Board's
decision to approve the contract.
Commissioner Castile made a motion to delay commitment by signature of the agreement
with Lake Oswego, and give it over to the joint water agency to sign. The motion died due
to lack of a second.
The Board continued its discussion about questions and concerns received from patrons of
the District.
A motion was made by Commissioner Castile to delay signature of the agreement until the
next Board meeting, during which time Staff will solicit additional information from people
with water provider experience. The motion was seconded by Commissioner Haunsperger.
Discussion was called for. The Board took comments from visitors Jenkins and Santee. A
voice vote was called.
Commissioner Yes No
Castile X
Hampton X
Haunsperger X
Nicoli X
Wyffels X due to lack of clarity
The vote was approved 4-1.
Commissioner Castile said she believed the contract with Lake Oswego should have been
signed without intervention from the City of Tigard, and she made the motion to delay
signing only to be responsive and conscientious to the public.
Chair Wyffels adjourned the meeting at 10:47 p.m.
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