10/25/1999 Minutes ' e d
TIGARD WATER DISTRICT
BOARD OF COMMISSIONERS MEETING
October 25, 1999
Members Present: George Rhine, David Strauss, Beverly Froude,
Gretchen Buehner
Staff Present: Mike Miller, Twila Willson
Visitors Present: Jack Polans
1. Call to Order
The regular meeting of the Tigard Water District Board of Commissioners was
called to order at 7:03 p.m. Commissioner Rhine acted as chair in the absence
of Commissioner Penner.
2. Roll Call and Introductions
Roll call was taken. Commissioner Norm Penner, not present, was excused for
being out of town on a business trip. Commissioner Gretchen Buehner not
present during roll call, arrived late at 7:06 p.m.
Introduction of visitors: Mr. Jack Polans requested a copy of by-laws of the
Board and also wanted to know if the City of Tigard Council Members could
dissolve legally the TWD Board if so desired. Discussion followed as to where
the by-laws could be located for viewing as public record. Mr. Miller stated the
meeting minutes are in the Public Works Building. Commissioner Froude stated
the records of the by-laws as well as the minutes of meetings could be located in
the Tigard Library and are available for public viewing there. Commissioner
Buehner stated they have been there for fifty years.
Mr. Mike Miller proceeded to explain that the TWD Board of Commissioners is a
separate governmental body representing the unincorporated area and the City
of Tigard has no jurisdiction over the TWD Board and cannot dissolve the Water
District. The TWD would have to dissolve themselves. Commissioner Strauss
stated that they (the Commissioners) are elected by the voters and it would be
the voters only that could do away with the District. Commissioner Froude stated
that King City and Durham were all part of the intergovernmental agreement and
asked Mr. Polans if he had gone to those cities and asked this same question.
He responded that they do not agree with his ideas and he stays away from
them. Commissioner Froude emphatically stated that the same rules apply to
King City and Durham as apply to the Tigard Water District Board. They ate a
legally constituted entity, all hooked together as an Intergovernmental Water
Board. The answer is "NO", they cannot be dissolved by the City of Tigard.
TWD Meeting Minutes - 1 - October 25, 1999
3. Approval of Minutes
Commissioner Strauss expressed thanks to the new secretary for the quality and
promptness of the minutes and moved for their acceptance; Commissioner
Froude seconded the motion that the minutes of the September 27th meeting be
approved as submitted. The approval of minutes was voted on and passed
unanimously by the four members present.
4. Visitor's Comments
Introductions and Visitor's Comments were covered at the same time.
Commissioner Rhine asked if Mr. Polans had anything else to add, which he did
not.
5. Disclosure and Waiver of Potential Conflict
TWD had been notified that their attorney will not be present tonight, so they
decided to carry over the Disclosure and Waiver of Potential Conflict at this time.
6. intergovernmental Water Board Update
Commissioner Buehner stated that the Intergovernmental Water Board meeting
was cancelled with about an hour notice (on her answering machine) and no
reason stating why it was being canceled was given. Mr. Miller mentioned that
he did know that King City, Durham and Tigard were the ones that requested the
meeting be canceled. Commissioner Buehner requested that he speak with Ed
Wegner about the incident and let him know of her displeasure in how
inappropriately it was handled.
7. Utility Manager's Report
Mr. Miller brought up that TWD had agreed to meet at 6:30 instead of 7:00 p.m.
Commissioner Buehner indicated that it was difficult for her to meet at that time.
Debate followed about the time change. It was decided to continue meetings at
7:00 p.m.
Water usage for the month of October is up because of the unusually dry
conditions. We are above average from 1998 by 1.57 million gallons per day.
Commissioner Buehner requested information on the status of the water rate
study process. Mr. Miller indicated that he had been on vacation for two weeks
and was not quite up to date. He is managing the rate study project and did
meet with Eric Rothstein the end of September and they were to give us a'data
request letter, which arrived in October. Before leaving on vacation he did make
arrangements with Utility Billing to gather the requested data. They are in the
TWD Meeting Minutes -2- October 25, 1999
process gathering information. Utility Billing/Finance may not be able to pull it
together in a timely fashion as they are in the process of going from the old utility
billing system to a new one and will have to get some of the historical information
out of the old system. He is trying to schedule time to meet with Eric on
Wednesday afternoon to go over some of the data requests. CH2M Hill has
revamped the model to allow us to adjust rates every year if we desire.
Commissioner Buehner requested information on how the increased usage has
impacted our reserves. Mr. Miller assured her that we still have flexibility. He
purchases 62% of his water from the City of Portland, which is the minimum.
Wells 1, 2, and 3 are on line currently producing 1.3 million gallons a day. We
recharge our 10-million gallon reservoir with the water from Portland. This is
done about once every one and one half weeks and will be about every two
weeks now that the rains have started. We buy about 1.3 million per day from
Tualatin Valley also and will get the difference needed from them.
Commissioner Buehner questioned whether it would be useful to write to their
constituency to make them aware of possible price increases. Mr. Miller thinks
this may be premature right now. Unsure at this point what the increases will be.
He hopes to have preliminary data by the end of November or first of December.
Money is in the TWD budget for a newsletter and this would be good information
to include in that in late winter (January/February).
Commissioner Rhine suggested this be added as an agenda item for next
month's meeting to examine the preliminary findings. Suggestion was accepted.
Commissioner Rhine inquired as to when the peak buying period is? Mr. Miller
explained that it is depends on the weather; the pricing mechanism for us is
based on the five-year average for buying (history) and how you have performed
the prior summer (buying pattern). We have kept within the 10% rule Portland
established placing our peaking factor at 1, which is the best you could do. This
will allow our price to come down, however their overall rate has gone up from
66st in 1998 to 8n in July 2000.
Commissioner Buehner expressed concern with the new customers coming in
within the next few months (approximately 300 users) and the impact on our
rates. Mr. Miller indicated that those customers have been calculated as far as
growth to accommodate that.
8. Non-Agenda Items
Commissioner Rhine introduced a copy of the letter that was received from the
insurance agent. Commissioner Buehner moved to approve the letter with.the.
stated changes to the policy; Commissioner Strauss seconded the motion. All
present voted AYE.
TWD Meeting Minutes -3- October 25, 1999
Commissioner Rhine distributed a copy of an article from the Tigard Times that
Commissioner Penner wanted them to be aware of.
Commissioner Strauss brought up the matter about how our meetings are posted
in the newspapers. It appears that sometimes it is announced and sometimes
not. Who is responsible for these postings, the newspaper or us? We suffer
from a lack of constituent visitors. Mr. Miller indicated it was listed in the
Oregonian today. Commissioner Buehner requested it also be listed in the Regal
Courier located in King City City Hall building and requires about 5 weeks
advance notice. Suggest better notifications through newspapers.
Commissioner Strauss referred back to Item #5 and wanted to know if they could
ratify it without Commissioner Penner so they could proceed. The decision was
made, however, to wait for Commissioner Penner's input.
The Board voted to go into Executive Session under provisions of ORS 192.660
(1) (h) to discuss current and pending litigation issues at 7:30 p.m.
The regular meeting of the Tigard Water District Board of Commissioners was
called back to order at 7:50 p.m.
9. Adjournment
Commissioner Strauss made a motion that our next meeting be scheduled earlier
in the month on November 15, 1999 at 7:00 p.m. Commissioner Froude
seconded the motion. All present unanimously voted AYE. Mr. Miller will check
on the room availability.
The regular meeting of the Tigard Water District Board of Commissioners
adjourned at 7:52 p.m.
TWD Meeting Minutes -4- October 25, 1999
TIGARD WATER DISTRICT
8777 S.W. BURNHAM ST.
P.O. BOX 230000
TIGARD,OREGON 97223-9917
PHONE(503)639-1554
November 15, 1999
Mr. J.A. Drew Bolliger
Bolliger& Sons Inc., Insurance
PO Box 14130
Portland, OR 97293-0130
Re: Tigard Water District Insurance Coverage
Dear Drew:
Thank you for meeting with the Tigard Water District Board on 9/27/99. Following are the changes
the District Board would like you to make on our insurance coverage for the 1999 policy. These
changes are to also be carried forward for the 2000 policy as your place our business for 1/1/00.
Property Coverage (01/01/99-12/31/99):
Delete all property coverage
Highway Permit Bond (08/22/98-08/22/01):
Cancel the bond
Faithful Performance Bond (07/01/99-07/01/00):
Cancel the bond
General Liability Coverage (01/01/99-12/31/99)
We understand the following coverage will remain for TWD
Liability $500,000 coverage with $0 deductible—including D&O coverage
X Business Auto $500,000 coverage with $0 deductible
Umbrella (Excess Liability) $2,000,000 with $0 deductible
Please forward proof of cancellation and checks for the premium adjustment to Ms. Loreen Mills, City
of Tigard Risk Manager, 13125 SW Hall Blvd., Tigard, OR 97223.
Thank you again for your ongoing assistance as the District's Insurance Agent of Record.
Sincerely,
Norman Penner
TWD Board Chair
c: Loreen Mills, Tigard Risk Manager