HomeMy WebLinkAbout2002-03-04 WUCFD MINUTESWATER UTILITIES COMMUNITY FACILITIES DISTRICT
(APACHE JUNCTION WATER COMPANY)
CITY OF APACHE JUNCTION,ARIZONA
REGULAR MEETING
MARCH 4,2002
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 March 4.2002,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.Rick Dietz
Mr.Joe Durbala
Mr.R.E.Eck
Mr.Brian Milkey
Ms.Carol Urich
Staff Present:
Others Present:
Curtis Shook,District Manager
Kathleen Connelly,District Clerk
Keith Lewis,District Finance Manager
Brian Hall,District Water Superintendent
John White,District Accountant
APPROVAL OF MINUTES OF DECEMBER 3,2001
)Ms.Urich MOVED THAT THE
MINUTES OF DECEMBER 3,2001,BE APPROVED.
Mr.Dietz SECONDED THE MOTION.
VOTE:Unanimous.
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 1 of 9
The motion carried.
CONSIDERATION OF AWARD OF BIDS FOR
PURCHASE OF ONE NEW PICK-UP TRUCK ON
STATE OF ARIZONA PURCHASING CONTRACT FROM
ED MOSES DODGE FOR $18,652.18 INCLUSIVE
OF ALL TAXES AND FEES AND ONE NEW UTILITY
BODY FROM DRAKE EQUIPMENT OF ARIZONA FOR
$4,086.53 INCLUSIVE OF TAX
)District Water Superintendent
Brian Hall briefed the board on the item.This will replace the oldest pick-
up truck in the fleet that has over 150,000 miles on it.They have a 2000
Dodge pick-up that has substantial body damage on the bed of the truck.They
propose to install a utility body on the new truck and use the bed from the
new truck to repair the 2000 Dodge pick-up.Either the trucks have gone up in
price or he overlooked adding the sales tax when he compiled the budget as he
is a few hundred dollars short of the proposed budgeted amount.He is
recommending they purchase the truck.
Chairperson Coleman called for any
discussion on the item.There being no discussion,he called for a motion.
Mr.Eck MOVED THAT THE AWARD OF BID
FOR THE PURCHASE OF ONE NEW PICK-UP TRUCK ON THE STATE OF ARIZONA PURCHASING
CONTRACT BE AWARDED TO ED MOSES DODGE IN THE AMOUNT OF $18,652.18 INCLUSIVE OF
ALL TAXES AND FEES:AND THE PURCHASE OF ONE NEW UTILITY BODY ON THE STATE OF
ARIZONA PURCHASING CONTRACT BE AWARDED TO DRAKE EQUIPMENT OF ARIZONA IN THE
AMOUNT OF $4,086.53 INCLUSIVE OF TAX,BE APPROVED.
Vice Chairperson Surra SECONDED THE
MOTION.
VOTE:Unanimous.
The motion carried.
CONSIDERATION OF PROFESSIONAL SERVICES
AGREEMENT WITH STANTEC CONSULTING INC.
FOR WATER TRANSMISSION MAIN DESIGN
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 2 of 9
)District Water Superintendent
Brian Hall briefed the board on the item.This is to address the design of a
direct connection between the district and the City of Mesa.Additional money
is available from other projects that are not moving as quickly as anticipated
this budget year and that would enable this project to proceed.The proposal
came in at $112.890 and originally $100,000 was budgeted for this project.He
would also like approval of an additional 10%for any unforeseen changes in
scope.
Chairperson Coleman called for any
discussion.
Mr.Eck asked if this would go from
the tie-in to Idaho and Baseline and connect there.
District Water Superintendent Brian
Hall stated this design is from somewhere near Baseline and Signal Butte,in
an area southwest of the intersection that is in a power line easement or
right-of-way,that would include a booster station design and drawings for
pipelines to the east,including over the Central Arizona Project Canal,to a
valve box at Baseline and Idaho.The valve box would allow the district to
introduce the water directly into the distribution system,or open a valve
into the transmission line of Well 6 to blend that water,or continue an 8"
line from that intersection approximately a half -mile east to put a second
direct tie-in to the million gallon tank on Baseline.This would allow them
to repair the booster station at 16th Avenue if needed in the future and not
have to take the system down.
Mr.Eck asked how much usage they
will get from this.
District Water Superintendent Brian
Hall stated this continues to evolve.They have had to buy more water the
past two months than he could foresee.He would estimate the need increasing
each year as the city grows.
Mr.Eck commented he would like to
see the district have the capabilities to use a million gallons a day i f
needed.
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 3 of 9
District Water Superintendent Brian
Hall stated they will have that capability.It will be designed to
accommodate their entire Central Arizona Project allotment.The pump station
will be set up with variable frequency drives and with modern electronics that
can be controlled through SCADA in the future.It will also be designed to
add pumps in the future.
water everyday from Arizona Water Company.
Hall stated i t comes in spurts.
average is.
Mr.Dietz asked if we are purchasing
District Water Superintendent Brian
Mr.Dietz asked what the weekly
District Water Superintendent Brian
Hall stated they purchased some last July,but not again until two weeks in
November.They also purchased some for about a week in January.It has been
off again on again in February.They did not get the rain in February as they
did last year and they saw a real difference in water demand.They are using
more water through that connection than they have in the past.
Mr.Durbala asked if they would be
basically pumping all of the water in the future from Mesa.
District Water Superintendent Brian
Hall stated once they have a direct connection and do not have to wheel the
water,they can purchase water and have it treated as cheaply as they can pump
it out of the ground,if you do not include the capital costs to put this
together.He would suggest continuing to use Well 5 in order to introduce
this slowly.He does not want to scour the pipes from the change in water and
turn everything black.He does not foresee doing away with the wells
completely.
Mr.Durbala asked if they would be
looking at other wells in the future in case Mesa cannot provide the district
with the water at that time.
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 4 of 9
District Water Superintendent Brian
Hall stated they will and he will discuss that in his report.Well 6 will not
be of much use to the district once the new arsenic regulations go into
effect.They will have to keep i t running and blend i t so that i t is
available in case of emergencies.They need to keep the options and resources
open.
Mr.Durbala asked how much cheaper
this water would be in the long run.
District Water Superintendent Brian
Hall stated it depends on the growth.As the system grows,i t pays for the
improvements.The district currently pays fifty cents per thousand gallons
produced,roughly.It would cost the district forty-three cents per thousand
gallons to purchase the water from Central Arizona Project and have Mesa treat
it and deliver it.
Mr.Durbala commented they would not
need to look at a rate increase for a few years.
District Manager Curtis Shook stated
that would not trigger a rate increase,but operating costs,capital costs and
debt management could.
Vice Chairperson Surra asked if they
had reached their five year mark yet.
District Manager Curtis Shook stated
i t has been 6.5 years.
Vice Chairperson Surra stated they
had made a promise they would make improvements and provide water at the same
rate without raising rates for five years.She is pleased that they have
already gotten there.
District Water Superintendent Brian
Hall stated staff will be presenting a report next month on things they would
like to do to get them more in line with other east valley communities.They
will try to encourage conservation.
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 5 of 9
Mr.Durbala commented he would not
like to see a rate increase until they start using the Mesa water.
District Water Superintendent Brian
Hall stated this would not incur an increase.
Mr.Durbala stated that would give
them a better quality of water so they might not mind the rate increase at
that time.
Mr.Eck agreed.
Vice Chairperson Surra commented the
agreement will improve the quality of the water and they have replaced the
pipes,giving them the opportunity to make better pressure available and have
hydrants in areas where they could not have them before.It is a safety
issue.People will pay for safety.
Mr.Durbala asked if they would have
any liability if the pressure cracks some of the water lines in the older
homes.
District Water Superintendent Brian
Hall stated they would if they increased the pressure significantly.He
intends to only boost the water pressure by five pounds once the lines are in.
That is not a significant difference.The volume will be affected,preventing
the pressure from dropping at peak times of the day.
District Manager Curtis Shook stated
any rate increase sought would be tied to capital improvements already made
showing services being better than what was provided before.
Chairperson Coleman closed the
discussion and called for a motion.
Vice Chairperson Surra MOVED THAT
THE PROFESSIONAL SERVICES AGREEMENT BETWEEN THE APACHE JUNCTION WATER COMPANY
AND STANTEC CONSULTING,INC.FOR THE DESIGN OF A WATER TRANSMISSION MAIN FROM
THE AREA OF SIGNAL BUTTE AND BASELINE TO IDAHO AND BASELINE WITH ADDITIONAL
PIPING TO THE STORAGE TANK AT 575 E.BASELINE AVENUE,IN THE AMOUNT OF
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 6 of 9
$112,890.00 PLUS AN ADDITIONAL 10%IN THE AMOUNT OF $11.289.00 FOR POTENTIAL
CHANGES IN THE SCOPE,ETC.,FOR A TOTAL AMOUNT OF $124,179.00,BE APPROVED.
Mr.Dietz SECONDED THE MOTION.
VOTE:Unanimous.
The motion carried.
DISTRICT WATER SUPERINTENDENT REPORT
District Water Superintendent Brian Hall stated the City of Mesa has okayed
the wheeling agreement,i t is currently with Bill Farrell for his approval,
and Arizona Water Company made a couple of language changes to clarify things
and has agreed in substance with the agreement.The agreement does call for
the district to pay for some capital improvements,including upsizing a pump
at Crismon and improving the 6"connection at Southern and San Marcos.
Automatic valving must be installed in order to control the delivery.It will
all be metered.They have looked at the trends of water usage over the last
five years to determine how much water will need to be purchased.The
district will spend $1.44 per thousand gallons instead of $2.57 per thousand
gallons.They are waiting on the local Arizona Water office which has sent
their figures to the Phoenix office and is trying to obtain the capital costs.
They will hopefully have the agreement ready for signing in the next month.
Mr.Eck asked for his estimate on the capital costs.
District Water Superintendent Brian Hall stated it would be approximately
$25,000.That includes automatic valving at our connection and rebuilding one
or two pumps,plus an enclosure for the controls near the vault by the school
property.The power service to that was not included in the capital costs.
District Water Superintendent Brian Hall gave an update on the progress on the
exploration and construction of a new well.He will send a memo on the
highlights of this to the board this week.He provided the board with a
written report on the project.The report states there is no ideal place to
drill a well,but it provides information on the best places to drill future
wells.They have gathered the forms necessary to permit a well and they need
to decide whom they will use as a well driller in order to send those permits
Water Utilities Community Facilities District
Meeting Minutes of March 4.2002
Page 7 of 9
in.There is the possibility they can change their mind on the well driller
later,but they need to get the permits in as soon as possible.
Ms.Urich asked if he had a target date.
District Water Superintendent Brian Hall stated he had hoped they would have
the test well done by the end of this fiscal year,and that they would be
drilling production by the end of the fiscal year.He now hopes to have the
property acquired by the end of the fiscal year.He is proposing leasing the
properties with the option to purchase if the well does pan out.He still
hopes to have a well to determine the quality and yield before the end of the
fiscal year.
DISTRICT MANAGER REPORT
District Manager Curtis Shook stated he is scheduling a meeting for the board
to meet in executive session to talk about the utility's assets and the use of
those assets.
DISTRICT TREASURER REPORT
District Finance Manager Keith Lewis stated he had given them the financial
report for the year ending June 30,2001.He stated if they had any
questions,they could get with the district clerk on them so they could be on
the next agenda,or they could advise him previous to the meeting so he could
have the answers available for them.The report has been submitted to the
Finance Officers Association to try for an award for the water district.
Mr.Durbala asked if they could call him if they have any individual
questions.
District Finance Manager Keith Lewis stated they could.
DISTRICT COUNSEL REPORT
None.
ADJOURNMENT
)Chairperson Coleman adjourned the
meeting at 6:36 p.m.
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 8 of 9
ACCEPTED THIS 18TH DAY OF MARCH ,2002,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 18TH DAY OF MARCH 2002.
ATTEST:
Kathleen Connelly
District Clerk
Douglas ColeTeman
Chairperson
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 4th day of
March,2002.I further certify that the meeting was duly called and held and
that a quorum was present.
Dated this 6th day of March,2002.
Kathleen Connelly
District Clerk
Water Utilities Community Facilities District
Meeting Minutes of March 4,2002
Page 9 of 9