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09/27/1999 - Minutes TIGARD WATER DISTRICT BOARD OF COMMISSIONERS MEETING SEPTEMBER 27, 1999 Members Present: George Rhine, David Strauss, Norman Penner, Beverly Froude, Gretchen Buehner Staff Present: Ed Wegner, Mike Miller, Bill Monahan, Kathy Kaatz, Twila Willson, Paul Hunt Visitors Present: Patrick Carroll, Roel Lundquist, Jan Drangsholt, Jane Turner, Scott Gilmore, Rick Stallcomp, Drew Bollinger, Tim Sercombe and Jack Polans 1. Call to Order The regular meeting of the Tigard Water District Board of Commissioners was called to order at 7:02 p.m. 2. Roll Call and Introductions Roll call was taken with all members present with the exception of Gretchen Buehner who would be arriving late. (Commissioner Buehner arrived at 7:12 p.m.) Mike Miller made introductions to the new Confidential Executive Assistant, Twila Willson, who would be taking minutes at the TWD meetings. 3. Approval of Minutes The minutes of the June 28 meeting were approved as submitted. The minutes of the August 30 meeting were also approved as submitted with one correction noted on page 2, under#5 Non Agenda Items pertaining to the taking of minutes at TWD meetings. The approval of minutes was voted on and passed unanimously by the four members present. 4. Visitor's Comments Large number of guests acknowledged. Mr. Jack Polans addressed the Board and requested he be heard following the discussion of an item listed further down on the agenda. Commissioner Penner agreed to consider each item as they come to it and will entertain questions from the floor. TWD Meeting Minutes - 1 - September 27. 1999 irk A considerable dialog followed regarding Mr. Polans' freelance writer associations. It was concluded he is not representing any publication and does not publish anywhere or make money on his writing. 5. Insurance Agent of Record— Drew Bollinger& Loreen Mills Loreen Mills was not present. Mr. Bollinger directed discussion about the coverage carried at present time and whether it is all needed. Mr. Bollinger distributed brief coverage summary packets to each of the Commissioners and gave a summation of his extensive prior experience insuring water districts. Previously he was insuring districts through Safeco until about five years ago when they switched everything over to the Special Districts Insurance Services (SDIS). The pricing is extremely competitive and the coverage is very broad. Discussion ensued pertaining to various areas of coverage. Property coverage section of policy is not needed, as it is included in the City's coverage. Section 2, General Liability also not necessary. Business auto section. Umbrella insurance currently at $2,000,000 with premium at $600.00, could be dropped in half to $1,000,000 and would cut premium in half. The Commissioners decided to keep at the current $2,000,000 level of coverage. Bonds — There is a Highway Permit Bond at $2,000 which is a four-year bond and is required by the City of Tigard. This premium is already paid for and runs to the year 2001. Through discussion it was decided this coverage is now under the City's coverage and would be a duplication so is no longer required. This Highway Permit will be eliminated. Annual Bond (standard fidelity bond) picks up employee dishonesty, i.e., theft of money, securities, or anything. Mr. Wegner indicated that a lot of these items are covered through the City of Tigard. Mr. Wegner will provide verification of the request to eliminate the Highway Permit Bond. Mr. Bollinger will back these decisions up with a letter— he will be eliminating the Property, leave the General Liability where it is, delete the Highway Permit if it is indeed not needed, and the annual bond. Mr. Bollinger will address letter to Commissioner Penner, c/o Ed Wegner at Public Works. At 7:33 p.m. the Board of Commissioners adjourned into the Executive Session under the provisions of ORS 192.660 (1) (d) (e) & (h) to discuss labor relations, real property transactions and current and pending litigation issues. It was expected that the TWD meeting reconvene at approximately 8:00 p.m. The Executive Session adjourned at 8:58 p.m. and took a brief break before commencing the regular TWD meeting. TWD Meeting Minutes -2- September 27, 1999 At 9:06 p.m. the Board of Commissioners reconvened the regular session. Commissioner Buehner: The chair moves that we instruct legal council (Mr. Timothy Sercombe) to do further research into the ramifications of the Intergovernmental Agreement as to how a court reviewing of the agreement would interpret the enforceability of the agreement and the ramifications thereof. Also, what changes would need to be made to the agreement to resolve the problems that we have been discussing for the future. Commissioner Strauss seconded the motion. Commissioner Buehner, directing her remarks to legal council, requested he report the findings at the next regular meeting of the TWD on Monday, October 25. She also requested that copies of the report be sent or faxed to the board members prior to that meeting. Ed Wegner suggested the copies be sent to the Public Works Department and he would see that they were faxed or delivered to the members. Commissioners Buehner and Penner decided to make the necessary copies or faxes. All members were present and voted AYE; the motion passed unanimously. 6. Extra Territorial Water Service— SW 131st Avenue Ed Wegner made the presentation of extra territorial water service for Mr. Stallcomp's property, a portion of which is located in Urban Reserve 47. In 1992 the Water District allowed extra territorial water to go across his property to service neighboring properties, but not his property. Mr. Wegner read a portion of the ordinance, which reads, "...when proof is provided that existing source of water is insufficient to sustain reasonable standards of living." The owner cannot drill a well on his property and he has no other way of receiving domestic water. We are currently providing water to the surrounding properties and that a meter for an adjacent property is on Mr. Stallcomp's property. He is outside the water service area, but stated in the resolution he does meet criteria (#2) that allows it. Commissioner Strauss called the vote to include the property in the extra territorial water service. It was moved by Commissioner Rhine to include his property, Commissioner Buehner seconded. The motion to approve the extra territorial water service was voted on; 4 AYE's and 1 abstention. 7. Intergovernmental Water Board Update Commissioner Buehner reviewed her findings at that meeting. Discussions included possible withdrawal by the City from the consortium which is basically being driven by the Portland/Bull Run group. Several partners are not very - happy and a letter will be forthcoming from the IWB chair stating the intent to withdraw. TWD Meeting Minutes -3 - September 27. 1999 Percentage contracts were also discussed to increase the revenue — no definite figure was stated. Discussion followed deciding between 2 or 3%. Commissioner Strauss suggested 2% be approved by the Board, it was seconded. All voted in favor. This would create more revenue. Commissioner Buehner will take this recommendation to the IWB. Commissioner Penner requested an annual meeting of all the boards as per the agreement. 8. Utility Manager's Report Mike Miller presented the Raw Water Monitoring report. He also presented information regarding construction projects. Washington County will be installing 24" water main beginning February 2000 on the north side of Beef Bend Road. Substantial completion would be July 2000. Another construction project scheduled in conjunction with ODOTfor the removal of a portion of 24-inch line under 1-5 by Bonita Road and the addition to the 36 inch casing holding the line. Completion of this project should be before October 22. The 1998 Water Quality Report was presented to the Board. They were very impressed with the quality of the brochures. The brochures are being mailed to all serviced by TWD. The brochure for next year's report is due July 1, 2000. Much of the language included is mandatory and it also contains information pertaining to our crews. We are already gearing up for next year's brochure. It was requested that the regular TWD meetings begin at an earlier time in order to accommodate the staff. The earliest time that would fit into the Board member's schedule is 6:30 p.m. 9. Non-Agenda Items There were no non-agenda items for discussion. 10. Adjournment The regular meeting of the Tigard Water District Board of Commissioners adjourned at 9:44 p.m. TWD Meeting Minutes -4- September 27. 1999