11/24/2003 - Packet TIGARD WATER DISTRICT
BOARD of COMMISSIONERS MEETING
Serving the Unincorporated Area
AGENDA
Monday, November 24, 2003
7:00 p.m.
1. Call to Order
2. Roll Call and Introductions
3. Approval of Minutes—October 27, 2003
4. Visitor Comments
5. Bull Mountain Annexation —Jim Hendryx
6. Joint Water Commission Agreement— Dennis Koellermeier
7. Water Supply Update— Dennis Koellermeier
8. IWB Update— Norm Penner
9. Non-Agenda Items
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10. Set next meeting date—January 26, 2004, at 7:00 p.m.
11. Adjournment
Executive Session:
The Tigard Water District Board may go into 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. All discussions within this session are confidential;
therefore, nothing from this meeting may be disclosed by those present. Representatives
of the news media are allowed to attend this session, but must not disclose any information
discussed during this session.
TIGARD WATER DISTRICT
BOARD OF COMMISSIONERS MEETING
Monday, October 27, 2003
Members Present: George Rhine, Beverly Froude, Marc Delphine, Janet
Zeider, and Norm Penner
Staff Present: Twila Willson and Dennis Koellermeier
Visitors Present: None
1. Call to Order
Commissioner George Rhine called the meeting to order at 7:02 p.m.
2. Roll Call and Introductions
Twila Willson called the roll and all board members were present.
3. Approval of Minutes— July 28, 2003
Commissioner Norm Penner requested a change to the July 28th minutes listed under
Item #3, Approval of Minutes—May 28, 2003 &June 23, 2003, line two, change
"Intergovernmental Water Board(IWB) meeting"to read "Tigard Water District
(TWD) meeting".
Commissioner Beverly Froude motion to approve the minutes as corrected,
Commissioner Penner seconded the motion, and the vote to accept the minutes as
corrected was unanimous.
4. Visitor's Comments - None
4A. Oath of Office— Marc Delphine
Twila Willson administered the Oath of Office to Commissioner Marc Delphine.
5. Election of Officers
Commissioner Froude recommended that the election of officers be postponed until after
the presentation about the Bull Mountain Annexation, which would be discussed at the
next meeting, however it was pointed out that the election of officers was still necessary
as terms were expiring and the elections had already been postponed since the July
meeting.
There was a discussion among the board members about the affects the annexation
would have on the Tigard Water District board members and it was concluded that the
only board member not affected by the Bull Mountain Annexation was Commissioner
Marc Delphine.
Tigard Water District Minutes - 1 - October 27,2003
Discussion about the selection of officers concluded with motions of nominations and
seconds that were unanimously approved, for the following:
Chairperson of the TWD - Commissioner George Rhine
Vice Chair of the TWD— Commissioner Beverly Froude
IWB Representative —Commissioner Norm Penner
Alternate IWB Representative—Commissioner Marc Delphine
6. Bull Mountain Annexation
Commissioner Beverly Froude proposed that this item be postponed so that Jim
Hendryx could make that very important presentation to the TWD and she also proposed
that a meeting be held on November 24, 2003, for that purpose.
Dennis Koellermeier distributed a memo he wrote to the Finance Director which
contained background information regarding impacts the annexation plan would hold for
the Bull Mountain area, the City of Tigard and the Tigard Water District and board. The
TWD would exist following the annexation, but at a fraction of the current size.
Jim Hendryx will make a presentation about the annexation plan to the TWD on Monday,
November 24, 2003. It is an important issue and he is the best versed to answer any
questions about it.
7. Joint Water Commission Agreement
Tigard has continued to work with the Joint Water Commission to become a member of
the JWC. The JWC board has approved the concept of Tigard becoming a member.
The membership terms have not been finalized, but at this point it looks as though
Tigard would become a member with no ownership assets. Tigard has nothing to offer
but money. Tigard will also have the right to lease physical facilities (treatment plant,
piping) and purchase excess water from the other JWC members. Currently we are
being billed as though we were a member at the rate of$.67 ccf, which is then attributed
toward stored water, treatment plant, and reservoir, etc.
As an example, Mr. Koellermeier said that Forest Grove had more water in storage than
they would ever use and they lease their water, generally at the same rate, to other
members, which becomes revenue to Forest Grove.
Presentations of this information are being made to all IWB member boards/councils to
receive approval to proceed with the membership agreement with the Joint Water
Commission. It is anticipated that all entities will have received this presentation and
approved proceeding with membership by the time of the next JWC board meeting in
January 2004.
Commissioner Rhine asked what the downside was to this agreement and Mr.
Koellermeier said it was a two-fold issue.
1) If the JWC does not elect to move ahead with projects for increasing
capacity, our membership will disappear over time because the other
members will not have excess water to lease us.
Tigard Water District Minutes -2- October 27,2003
2) With the permits to move ahead on the expansion of capacity, we will start
paying more for those costs. Also, there is a potential to buy-in to the existing
investment of the other members, which is estimated to be $9m.
There was further discussion about the dam raise process and timeline for that process.
The process for obtaining membership with the JWC has been positive with attitudes
that are very different than when dealing with the City of Portland.
The water rate model is being reconstructed in two parts so that options can be
compared over a 30 year span. It appears to be a cheaper investment to pay for
membership in the JWC than it would be to pay wholesale rates to the City of Portland.
8. Water Supply Update
Handouts were distributed pertaining to the long term options with the City of Portland
and the Joint Water Commission. The Portland wholesalQ contract has been handled
behind closed doors to date, and the wholesale customers have made it clear that
Portland must be competitive.
The Intergovernmental Water Resource Management (IWRM) Feasibility Study costs for
Hagg Lake/Scoggins Dam raise or other alternatives and the Sein Creek Tunnel (4 mile
long tunnel through the ridge connecting the headwaters of the Tualatin) have been
budgeted for this year at$239,000 and $400,000 are anticipated for next year.
ASR— Maps were distributed and it was explained to the board that information about
the hydrogeology, existing infrastructure and well logs had been combined to visually
create these maps. The study revealed two sites that were feasible for new ASR wells
were near the 10-mg Well and the Baggenstos property.
The IWB approved Phase II of the ASR project for a well site to be drilled at the 10-mg
well site and a test well on the Baggenstos property. Tigard City Council is to hear the
proposal tomorrow night and if they approve, drilling could begin in December and the
10-mg well site could be completed and injection started in 2004, withdrawal of water
could start in summer of 2005. The Baggenstos test well will be tested throughout the
winter of 2004 before deciding on the next step. The plan is to add another 1 mgd per
year with ASR wells.
Rider School Project—The project is not moving very fast, however, the school district
and City of Tigard have agreed on the physical location of the reservoir on the property.
The school district will be making their conditional use application at any time. The
current schedule for the project is for the reservoir to be completed in June 2005 for
opening of the school in fall 2005.
9. IWB Update- Beverly Froude
Commissioner Froude said she had a copy of the ASR presentation by MSA available for review
by interested board members.
Dennis Koellermeier had already thoroughly covered the IWB information and there was no need
to elaborate further.
Tigard Water District Minutes -3 - October 27,2003
10. Non-Agenda Items
Commissioner Rhine requested an update on the summer water usage. Dennis
Koellermeier.stated that it was a good year and even by topping the all-time high water
usage record we had enough reserve capacity available if needed, and other reserves
were not necessary to go to at all. The even/odd watering days proved to be an
effective tool for conserving water and providing awareness to citizens for conservation.
11. Set next meeting date
The Tigard Water District decided to meet on Monday, November 24, 2003, at 7:00 p.m.
to receive the presentation about the Bull Mountain Annexation Plan by Jim Hendryx and
hopefully the Joint Water Commission Agreement.
12. Adjournment
Commissioner Penner motioned to adjourn, Commissioner Rhine seconded the motion,
and the board unanimously voted to adjourn the meeting at 8:00 p.m.
Tigard Water District Minutes -4- October 27,2003
JWC Membership
City efT7ga 4
Publk Wosits UtpartmtntWater Otvlsion
Hwwentber2069
Tigard's Water Situation
• Unable to independently meet:
- Current water demands
- Future water demands
• Rely upon wholesale water purchased from: ,
- The Joint Water Commission
- The Portland Water Bureau
Pursuit of Ownership
Investigated numerous source water options:
• Lake Oswego
• Proposed Bull Run Drinking Water Agency
• South Fork Water
• Willamette River
1
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Opportunity at Hand
it Pursuing membership in JWC since 2001
. Option to become a member stemmed from:
- Feasibility Study regarding
•Treatment Facility Expansions
•Additional Water Supply
- Raw Water Pipeline
- Scm Creek Tunnel
- Scoggins Dam Raise
oint Water Commission
• Collective water supply agency
- Formed under an ORS 190
- Members retain local control&service area
• Source waters located in the coast range:
- Tualatin River Watershed
- Trask River Watershed
M embers
Current members include the:
• City of Hillsboro
• City of Forest Grove
• City of Beaverton
• Tualatin Valley Water District
--;
2
Barney Reservoir
• ScogginsReservoir
• 70 MGD Treatment Plant
• Finished Water Reservoir
•Transmission Lines
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The~��"
e Offer
| -�-� - -- ---
• Membenhipimnthe Joint Water Commission
.A purchasing 4million gallons a day member
�v�usu»»�mw�e
. Does NOT give Tigard water rights
• Does NOT give Tigard ownershio in JWC
membership Offer
• Tigard has no stored or surface water rights:
Tualatin Riv ,
Hagg Lake
Barney Reservoir
„;`` • Water shall be through leases"of water
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Membership Offer
3. Capital Contribution & Future Projects
• Tigard's Capital Contribution:
- Shall be for additional stored raw water
- Will determine proportionate ownership of
system
s If additional stored raw water is NOT
obtained Tigard will voluntarily withdraw
Membership Offer
4. Governance
• Tigard will have three representatives
• Article III shall be modified as follows:
- 3.1 Addition of Tigard to the"Commission"
- 3.4 Change"Seven(7)"to"Eight(8)"members
, - 3.8 Insert General Manager,remove Commission
Membership Offer
5. Lease of Water by IWC
•JWC agrees to lease water to Tigard UNTIL
- Additional stored raw water is obtained
Tigard agrees to leasing terms regarding:
- Quantity
- Price
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Effect to Water Service
• Tigard becomes a member of thejWC
• Tigard voluntarily withdraws IF:
Additional raw water storage is not obtained
Short Term Costs
• Current cost to purchase water from JWC:
- Last year Tigard purchased:
•Over 1.0 billion gallons
•Approximate cost of$922,000
• NO initial BUY IN cost
• Percentage of Feasibility Study Costs
- Approximately$240K current fiscal year
Approximately$390k in next fiscal year.
Long Term Costs
• IF additional raw water storage is obtained:
- Initial Buy-In cost to the existing system
- A percentage of capacity building projects
• • Costs to be paid for over 30 years
5
Date bescOrt0Cri'
December
Tigard Signs Amendment
2003
January
JWC Board Reviews Amendment
2004
' |
2005 Feasibility Study Completed
2010 Construction of[|Ps Completed
�.
Pros
Potential ownership in a water source
i Cheaper water(in short-term)than PDX
•JWC is actively seeking our participation
• Solidarity for Westside Water Providers
Cons
Up front cost to fund feasibility study
• No guarantee of water rights
CostIy Buy-In and Capital Improvements
6
Staff Recommendation
• Sign the agreement to become a partner
• Abide by the JWC Water Service Agreement
• Continue participation in:
- JWC CIP&Tualatin Basin Water Feasibility Study
- JWC Operations&Management Committee
!Next Steps
11-24-031 Present to Tigard Water hoard
11-25-03 Present to Tigard City Council
11-25-03 Present to City of Duitam
12-03-03 Present to City of King City
12-16-03 Request approval from'City Council
JWC Board Meeting
Questions?
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