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HomeMy WebLinkAbout2000-02-14 WUCFD MINUTESDISTRICT BOARD OF THE WATER UTILITIES COMMUNITY FACILITIES DISTRICT (APACHE JUNCTION WATER COMPANY) CITY OF APACHE JUNCTION,ARIZONA REGULAR MEETING FEBRUARY 14,2000 The regular meeting of the District Board of the Water Utilities Community Facilities District (Apache Junction Water Company),City of Apache Junction, Arizona,was held on February 14,2000,at the Apache Junction City Council Chambers pursuant to the notice required by law. CALL TO ORDER Chairperson Coleman called the meeting to order at 6:00 p.m. ROLL CALL Board Members Present:Chairperson Douglas Coleman Vice Chairperson Anne Surra Mr.Joe Durbala Mr.R.E.Eck Ms.Carol Urich Mr.John Insalaco Mr.Rick Dietz Staff Present: Others Present: Curtis Shook,District Manager Keith Lewis,District Finance Manager Kathleen Connelly,District Clerk Doug Dobson,District Operations Manager John White,District Accountant Jim Cowles,Water Superintendent Bill Farrell,District Counsel George Hoffman,Assistant City Manager Glen Van Nimwegen,City Development Svcs.Director Bill Allen,District Water Operator APPROVAL OF MINUTES OF DECEMBER 6,1999 ) Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 1 of 12 ) Ms.Urich MOVED THAT THE MINUTES OF DECEMBER 6,1999 BE APPROVED. Mr.Dietz SECONDED THE MOTION. VOTE:Unanimous. The motion carried. RESOLUTION NO.2000-001:AUTHORIZING THE TRANSFER OF APPROXIMATELY 0.2 ACRES OF LAND OWNED BY THE DISTRICT TO THE CITY OF APACHE JUNCTION,ARIZONA ) District Counsel Bill Farrell briefed the board on the item.He stated this has been requested by the city to facilitate the conclusion of a development that the city is doing in the industrial park area.The land will be used to develop a street right-of-way to enhance district property and adjacent properties.He urged approval of the item. Vice Chairperson Surra asked what the city is giving the district in return. District Counsel Bill Farrell stated the consideration will be determined at a later date. Chairperson Coleman believed it would be a nominal consideration,the real value will be in the increase to the rest of the district's property. District Counsel Bill Farrell stated that is correct as neither parcel has significant value independently due to their sizes. Vice Chairperson Surra stated it is really an improvement in the means of getting to the parcel. District Counsel Bill Farrell stated it may also encourage economic development of the adjacent properties. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 2 of 12 District Clerk Kathleen Connelly stated she believed the consideration would be referenced by the city council when they take their action. Chairperson Coleman closed the discussion and called for a motion. Mr.Dietz MOVED THAT WE ADOPT RESOLUTION NO.2000-001 AUTHORIZING THE CHAIRMAN OF THE BOARD,DISTRICT MANAGER, DISTRICT CLERK AND DISTRICT ATTORNEY TO DO ALL ACTS NECESSARY TO TRANSFER 0.2 ACRES OF DISTRICT OWNED PROPERTY TO THE CITY OF APACHE JUNCTION. Vice Chairperson Surra SECONDED THE MOTION. VOTE:Unanimous. The motion carried. AUTHORIZATION TO PURCHASE TWO -WHEEL DRIVE LOADER/EXTENDABLE BACKHOE,BID WW 2000- 001,FROM FALCON POWER IN THE TOTAL AMOUNT OF $55,579.55,INCLUDING A BUCKET ATTACHMENT )Water Superintendent Jim Cowles briefed the board on this item.This will replace a John Deere backhoe currently being utilized by the district.This is a budget item that was approved last year.The 4 in 1 bucket has been recommended by Public Works to assist the district in street clean-ups.He urged the board to award the bid to Falcon Power. Mr.Eck asked if this is a backhoe. Water Superintendent Jim Cowles stated it is an extendable backhoe. Mr.Eck asked what make it is. Water Superintendent Jim Cowles stated it is a Case 580. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 3 of 12 Chairperson Coleman closed the discussion and called for a motion. Mr.Insalaco MOVED THAT THE AWARD OF BID FOR BID WW -2000-01, TWO -WHEEL DRIVE LOADER/EXTENDABLE BACKHOE,BE AWARDED TO FALCON POWER IN THE TOTAL AMOUNT OF $55,579.55,INCLUDING BUCKET ATTACHMENT,BE APPROVED. Ms.Urich SECONDED THE MOTION. VOTE:Unanimous. The motion carried. DISCUSSION ON AND POSSIBLE DIRECTION TO STAFF REGARDING WATER SUPPLY STUDY ) ) Mr.Eck briefed the council on this item.He commented the district needs to find another water source due to ongoing water problems.Staff has already looked at a number of possibilities, he believes the district is at a point where it needs to hire an expert in the field of doing water system supply studies.There are engineering companies out there that will do everything the district is looking for,including looking at the well and determining the arsenic level,determining proper treatment for it, looking at the feasibility of tying into the Mesa water supply with its actual figures and costs,and determining if the district would be better off building its own water treatment plant.The district can determine what information it would like back.He urged for this to be put out to bid. Mr.Durbala commented they might want to look at buying the reverse osmosis to put in at the plant.The cost may be high,but the purification plant will not be built for a few more years.The equipment could be used as a back up system on the purification plant. Mr.Eck stated he hoped the engineers would be able to make a determination on that also.He had talked to one firm and they stated they could do the study in a matter of weeks.The board would have the information back in a couple of weeks to a couple of months.An easier solution suggested was tying in at the tank site with Arizona Water, wherein each could serve the other's water i f need be.However,he would like to get a recommendation from someone who does this all the time. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 4 of 12 Mr. Durbala stated he would like to see the district tie into something as soon as possible.He added the perception that the water is bad can be worse than the actual situation, which is the water is not bad.He is concerned about losing a lot of water over the next couple of years,so he would like the reverse osmosis alternative to be looked at. Mr.Eck repeated that is what he is hoping to get out of the study. Chairperson Coleman suggested they may have some possible short term and long term solutions. Vice Chairperson Surra stated someone will have to write up the specifics of the bid;the expectations of the services should be included. District Manager Curtis Shook stated staff can plot out what the concerns are and put together a proposal reflecting the components of a more strategic plan for water supply and scheduled maintenance,and to build a model on how the utility is going to grow. Ms.Urich commented she would like to see the feasibility of the water treatment plant. Mr.Eck commented staff has been working on this but he would like to see someone work on it who does it all the time. Mr.Durbala commented people are concerned about the parts per billion of arsenic level.If one looks at a 16,000 gallon pool,the arsenic level would be less than 1/50th of an ounce out of the 16,000 gallons.The public should be aware of the size of the number. Chairperson Coleman closed the discussion and called for a motion. Mr.Eck MOVED TO HAVE STAFF COMPRISE A WATER SUPPLY STUDY PROGRAM;DRAFT A REQUEST FOR PROPOSAL TO COME BACK TO THE BOARD WITHIN 30 DAYS;TO INCLUDE SHORT AND LONG TERM SOLUTIONS AND TREATMENT PLANS. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 5 of 12 Mr.Dietz SECONDED THE MOTION. VOTE:Unanimous. The motion carried. DISTRICT WATER SUPERINTENDENT REPORT: Water Superintendent Jim Cowles commented Well W5 is currently down and completion of the final repair is anticipated at 6:00 p.m.tonight.The well should start to be reinstalled;they have been contracted to work all night and through tomorrow.The well should be back on line tomorrow evening. Vice Chairperson Surra commented this had been a planned down time for repair. She asked how much more time the well was down than had been estimated. Water Superintendent Jim Cowles stated the initial column pipe coming out of the well had a severe crack at the top,allowing a severe amount of water leakage to run down the casing of the pipe,causing excessive corrosion the length of the pipe.The entire well structure had to be replaced. Vice Chairperson Surra commented the replacement of the pipe is what extended the length of time that the well was down. Water Superintendent Jim Cowles stated that is correct.It was originally bid for a down time of 48 hours. Mr.Dietz asked when they started working on Well W5. Water Superintendent Jim Cowles stated it was shut down on February 5. Mr.Dietz asked when the district started getting water from Arizona Water Company. Water Superintendent Jim Cowles stated that was also February 5. Mr.Dietz asked i f the district had been receiving water on January 31 and through that week. Water Superintendent Jim Cowles stated he was not aware of that. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 6 of 12 Mr. Dietz asked if the district was still receiving water from Arizona Water last week. Water Superintendent Jim Cowles stated the district was still receiving water as of last week. Mr.Dietz commented he understood the district had received 6,000,000 gallons as of February 7 at a cost of $15,000,and the water was supposed to have started on January 31. Water Superintendent Jim Cowles stated he would have to check his records,but he did not think they had started receiving water until February 5. District Water Operator Bill Allen stated they shut the well down on the night of February 4 and they did not receive any water from Arizona Water until February 5.There was water already in the tank to cover the initial down time. Water Superintendent Jim Cowles agreed.He added when the tank levels started dropping down they contacted Arizona Water for use of their water. Mr.Dietz asked how much water they had used as of today. Water Superintendent Jim Cowles stated he was not sure,he would have to check the read on their meter. Mr.Dietz repeated he had been told the district had been using the water since January 31,which he thought was odd,as he had been told the water would be shut down for three to five days the following week.According to Arizona Water,as of this morning the district has used 12,000,000 gallons at a cost of $30,000. Water Superintendent Jim Cowles commented the well had been shut down for two days for a chemical treatment,which started on February 4,and the first time they asked for Arizona Water to turn the taps on was on February 5.He has the current read for when they started the water. Mr. Dietz stated he talked to Arizona Water on February 2 and they confirmed that the district has used 1,000,000 gallons on January 31. Water Superintendent Jim Cowles stated he was not aware of that. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 7 of 12 Mr.Dietz stated it was supposed to be running through the 2" at 16th and the 4" off of Royal Palm.This is why he thought it was odd because they had been told the district would not use Arizona Water until the week of February 7. District Manager Curtis Shook stated they could check and get them day by days. He had conveyed what he had been told by the superintendent. Water Superintendent Jim Cowles stated he will get daily usage on that as the meter was read daily.He will give the information to the district manager. Mr.Dietz asked how the water is blended for Wells #5 and #6. Water Superintendent Jim Cowles stated they do points blending.One point is the 2"supply tanks at 16th Avenue and Buena Vista.Once the tanks are pumped into the system,it blends with the 4"in supplying the system.Both wells are currently pumped into the tanks at 16th Avenue and Buena Vista.The water goes into the tanks and it is distributed through the system. Mr.Dietz asked if Well #6 continues to run if Well #5 is down. Water Superintendent Jim Cowles stated it does not,it will only run when Well #5 is running. Mr.Dietz asked if the district uses Arizona Water solely if Wells #5 and A are down. Water Superintendent Jim Cowles stated they cannot take enough water from Arizona Water to run the entire system.They have to run Well #6 to offset the extra demand. Mr.Dietz asked how they could run Well #6 with Well #5 down. Water Superintendent Jim Cowles stated they can bypass the wiring.Continuing with his report,he has applied for recovery well permits from Arizona Department of Water Resources which will allow the district to draw from the groundwater credits.He had to go to Arizona Water for permission on Well #5 to be used as a recovery well as it falls within their district boundaries.He has sent a letter asking for permission to allow the district to withdraw water recharge in that well,but he has not heard back from Arizona Water yet.The district is talking to Mesa about an interconnection at two possible points,one at Signal Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 8 of 12 Butte and Guadalupe and the other at Baseline and Signal Butte.They have had a few meetings and they are going to supply the district with a model to determine how much water they can actually supply and where the best point to tie in would be.They have also given the district the option of tying into their treatment plant. Mr.Dietz asked how much water they were looking at getting from Mesa. Water Superintendent Jim Cowles stated they would start with about 725,000 gallons a day and possibly go up to 5,000,000 gallons per day. Mr.Dietz asked if this would be on a continuous basis. Water Superintendent Jim Cowles stated it will first be on an emergency basis, but as the demand grows and the district has no other alternative sources of water,it will be utilized. Mr.Durbala asked if a chemical analysis had been made of that well. Water Superintendent Jim Cowles stated they had not done one yet,but according to their manager it is the best water they have in their system;they bottle that water. Mr.Durbala requested that a chemical analysis be done. Water Superintendent Jim Cowles stated they would do that prior to any tie in. The City of Mesa is offering the district a deal on a conservation program; information on the program was distributed with the meeting packets.The only cost would be the design of the logo and flyer,as Mesa is funding the other costs.The next consumer confidence report will be in July and he requested the board advise him if they would like any changes or additions made to it. DISTRICT MANAGER REPORT: District Manager Curtis Shook stated he had nothing other than what the water superintendent reported.He was glad to hear the well would be up sooner than what was thought. Mr.Dietz asked if the district had enough funds to take care of the costs relating to Well #5,if,in fact,the district did use $30,000 of water from Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 9 of 12 Arizona Water. District Manager Curtis Shook stated they would have to find it in other places in the budget. Water Superintendent Jim Cowles stated there is $60,000 in the contingency fund. District Manager Curtis Shook stated there are funds within the operating budget for contingencies like this. Mr.Eck asked if there were any safety problems during these repairs. District Manager Curtis Shook stated there were none. DISTRICT TREASURER REPORT: District Finance Manager Keith Lewis stated they are getting back on line and the board should be getting a January report by the tenth of next month.Future reports will be on time.There has been a 16% increase over last year at this time in our revenues,not including the capital facilities fee.The operating expenditures are up 1.6% over last year,and there is money to cover the Arizona Water expenses,both budgeted and funds. Mr.Dietz commented they would not have to go into the capital facilities funds. District Finance Manager Keith Lewis stated that was correct. District Manager Curtis Shook commented the district is showing cash on hand of about $227,000,a capital account of about $275,000,and a capital hook in account of about $165,000.This gives the district about $650,000 in cash reserves,committed or uncommitted. DISTRICT COUNSEL REPORT: District Counsel Bill Farrell stated there is no litigation or pending claims against the district.There have been talks with the attorney representing the Superstition Mountain Community Facilities District regarding the possibility of joint use of facilities and joint cooperation on wells and well sites for recharging projects and for effluent recapture.The program may be ready by budget time. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 10 of 12 SELECTION OF DATE,TIME,LOCATION FOR EXECUTIVE SESSION FOR PERFORMANCE EVALUATION FOR DISTRICT MANAGER. Vice Chairperson Surra asked when this would have to be completed. District Clerk Kathleen Connelly stated there is no reference for the district manager.They did not really do one last year. Vice Chairperson Surra suggested starting it in conjunction with the next scheduled meeting if there is not too much on the agenda so they can figure out what criteria to use. District Clerk Kathleen Connelly stated they would be looking at March dates of the 6th,7th,or the 20th. Vice Chairperson Surra stated she would rather have i t the later date.She moved THAT WE USE THE MARCH 20TH,MONDAY EVENING DATE,AT 5:30 AS AN EXECUTIVE SESSION PRIOR TO A WATER BOARD MEETING AT 6:00. VOTE:Unanimous. The motion carried. ADJOURNMENT meeting at 6:35 p.m. Ms.Urich SECONDED THE MOTION. )Chairperson Coleman adjourned the ACCEPTED THIS 15TH DAY OF MAY ,2000,BY THE CHAIRPERSON AND DISTRICT BOARD OF THE WATER UTILITIES COMMUNITY FACILITIES DISTRICT (APACHE JUNCTION WATER COMPANY),CITY OF APACHE JUNCTION,ARIZONA. SIGNED AND ATTESTED TO THIS 15TH DAY OF MAY ,2000. Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 11 of 12 Douglas Cohman Chairperson ATTEST: Kathleen Connelly District Clerk WATER UTILITIES COMMUNITY FACILITIES DISTRICT MINUTES CERTIFICATION I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the regular meeting of the Water Utilities Community Facilities District of the City of Apache Junction,Arizona,held on the 14th day of February,2000.I further certify that the meeting was duly called and held and that a quorum was present. Dated this 23rd day of February,2000. Kathleen Connelly District Clerk Water Utilities Community Facilities District Meeting Minutes of February 14,2000 Page 12 of 12