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HomeMy WebLinkAboutMinutes - Water Utility Commission - 4/13/2015 MINUTES ORO VALLEY WATER UTILITY COMMISSION REGULAR SESSION Monday, April 13, 2015 HOPI CONFERENCE ROOM N 11000 N. LA CANADA DRIVE CALL TO ORDER - AT OR AFTER 6:00 P.M. ROLL CALL PRESENT: Richard Davis, Chair Richard Reynolds, Vice Chair Javier Arriaga, Commissioner Shanna Weagle, Commissioner EXCUSED: Anne Campbell, Commissioner Winston Tustison, Commissioner STAFF PRESENT: Philip C. Saletta, Water Utility Director Shirley Seng, Water Utility Administrator Robert Jacklitch, Project Manager CALL TO AUDIENCE: Oro Valley resident Doug McKee commented on California's mismanagement of water and declining levels and including average residential water usage in the next annual report. 1. APPROVAL MARCH 9, 2015 MINUTES Commissioner Weagle suggested a correction to Item 2 of the minutes. There was also a suggested change to Item 4 which was not changed due to Granicus live streaming. In addition, there were corrections that needed to be made to the graphs on-line for Item 4 and those will be corrected in Granicus by staff. MOTION: A Motion was made by Vice Chair Reynolds and Seconded by Commissioner Arriaga to approve the minutes as amended. Minutes were approved 3-1 (Commissioner Weagle) 2. DISCUSSION AND UPDATE REGARDING THE FINANCE SUBCOMMITTEE MEETING - GROUNDWATER PRESERVATION FEE AND CASH RESERVES (Commissioner Arriaga & S. Seng) Commissioner Arriaga opened the discussion indicating that the Finance Subcommittee met March 31, 2015 to discuss the Groundwater Preservation Fee Policy and Cash Reserve Policy. 4/13/2015 Water Utility Commission 1 Ms. Seng reported there was discussion on use and purpose of the Groundwater Preservation Fee (GPF). She indicated that six financial scenarios were prepared and reviewed. The consensus among the subcommittee members was that CAP wheeling costs could be paid with Groundwater Preservation Fees (GPF). Staff will prepare an additional financial scenario regarding the GPF and will draft language for policy changes regarding use of the GPF. The subcommittee also discussed potential policy changes regarding the Cash Reserve Policy. These financial scenarios and changes to the policy language will be reviewed at the finance subcommittee meeting to be held the week of May 18. These items will then be brought back to the Water Utility Commission for review June 8. No formal action was taken or required. 3. DISCUSSION AND POSSIBLE ACTION REGARDING THE WATER RESOURCES SUBCOMMITTEE MEETING - HOOVER ARIZONA POWER AUTHORTY APPLICATION, GROUNDWATER EXTINGUISHMENT CREDITS, WATER RESOURCES AND WATER POLICIES & CODE (Commissioner Reynolds,R. Jacklitch & P. Saletta) Vice Chair Reynolds opened the discussion indicating that the Water Resources Subcommittee met April 7 to discuss the Hoover Arizona Power Authority, Groundwater Extinguishment Credits, Water Resources and Water Policies and Code. Mr. Jacklitch gave a brief update on the 2017 Hoover Arizona Power Authority application process and that the application will be submitted no later than April 27, 2015. Mr. Saletta discussed the opportunity to purchase about 2,000 AF of groundwater extinguishment credits by June 30th and that funds are budgeted in FY 14/15 to make this purchase. Currently Oro Valley has about 25,000 AF in its storage accounts. It is planned to potentially increase these accounts up to 42,000 AF over the next 5 years. The Arizona Water Banking Authority (AWBA) currently has 404,000 AF of credits in the Tucson Active Management Area (TAMA) and in 2015 this is estimated to increase to 428,000 AF. There was discussion regarding AWBA storage and that it is accessible and will be allocated during any water shortages to CAP M&I subcontractors. Mr. Saletta presented several graphs for review. After discussion, the commission preferred the stacked Total Annual Water Production and the side-by-side 2-year Water Production graphs and that these graphs be presented quarterly. Customer Service reports will also be presented on a quarterly basis. Capital Improvement Project reports will remain on a monthly basis. No formal action was taken or required on this item. 4. TOWN COUNCIL MEETINGS/COMMUNICATIONS (Councilmember Hornat) Councilmember Hornat reported on the recent items and Council meetings: 4/13/2015 Water Utility Commission 2 -Naranja Park Strategic Plan, Town Sign Code, La Cholla road improvements 2017 (Overton to Tangerine), Approval of WUC Annual Report 2015, IGA Children's Museum IGA approved. -4/15: T.0 meeting: Presentation of Managers Budget, La Cholla, Glover to Lambert Lane changes in General Plan, -Zoning issue S.E. corner La Cholla and Lambert Zoning -4/18: Spring Triathlon 5. SUBCOMMITTEE/COMMISSIONER REPORTS a. Conservation Subcommittee (Commissioner Davis) Commissioner Davis reported that the Conservation Subcommittee met April 10. There was discussion about water conservation in the Southwest and the AquaHawk program and assisting customers with setting thresholds and leak alerts. There was discussion about setting up a booth with volunteers at the Steam Pump Ranch Farmers Market on weekends. Commissioner Davis also mentioned that the committees which participated in Your Voice and our Future program have gathered their information and a final draft is being reviewed. 6. STAFF REPORTS a. Customer Service Report (S. Seng) Ms. Seng reported the following: -Total Metered Connections as of 3/31/15: 19,136 -Actual New Metered Connections: Month of March: 19 -Projected Meter Installations for FY 14-15: 211 Tracking: 150 -Actual SU's as of 3/31/15: 240 -Projected SU's for FY 14-15: 345 -SU= Service Unit (1 service unit is equivalent to a 5/8-inch meter) -AMI Meter Installations: 12,308 Project is estimated to be completed by March 2016 -Water Conservation Audits as of 3/31/15: FY 14-15: 86 -Month of March: 4 -Registered accounts in AquaHawk: FY 14-15: 1,119 -Total audits completed from inception: 1,886 b. Capital Projects (B. Jacklitch) Mr. Jacklitch reported on: Countryside Water-12-inch water is 90% complete. The project will be closed in June. Design Projects -Tangerine Road - This project is ongoing and is part of the RTA -Lambert Lane - Design process has started for the potable water line is ongoing. 60% of the roadway plans are in. -Energy Efficiency Project - This project is on track and will continue until next fiscal year. -Naranja CAP Crossing - This project is complete. 4/13/2015 Water Utility Commission 3 7. DIRECTOR'S REPORT (P. Saletta) a. Colorado River Streamflow and Snow Reports Mr. Saletta reported on: -Arizona, Colorado, Utah and Wyoming Current Snow Water Equivalent -April 13, 2015 -Colorado Streamflow - Colorado, Rio Grande, and Arkansas River Basis Mountain Snowpack - April 1, 2015 -Colorado River Water Supply Report: - March 17, 2015 The Water Resources subcommittee will discuss whether these reports will be presented on a monthly basis. b. Upcoming Meetings Mr. Saletta reported on: -T.C. approval of the WUC Annual Report 2015 -4/15: T.C. meeting Agenda item: Town Manager Budget -4/22: T.C. Study Session. Water Utility budget presentation time: 4:00 p.m. -4/29: T.C. Study Session. Remaining Town budget presentations -5/11: WUC meeting -5/20: T.0 tentative budget adoption -6/9-6/10: Water Resources Research Center Conference will be held in Phoenix. The Water Utility Director will attend. The Commissioners were also invited to attend for a day. -6/17: T.C. Final Budget approval FUTURE AGENDA ITEMS Water Resources Subcommittee items -Recovery of stored water, storage facilities, and existing assets now and in the future. (Commissioner Weagle) -Fourth Management Plan and impact to the Water Utility Conservation Subcommittee items -Drought Preparedness Plan (Commissioner Weagle) These items will be discussed at the subcommittee meetings and if approved by the subcommittee could be forwarded to the Water Utility Commission for further discussion. CALL TO AUDIENCE - Oro Valley resident Doug McKee commented on the Consumer Confidence Report, CAP water blending and hardness, and CAP water versus groundwater pumping. NEXT MEETING: MAY 11, 2015 LOCATION: HOPI CONFERENCE ROOM ADJOURNMENT: 7:50 p.m. MOTION: A Motion was made by Commissioner Arriaga and Seconded by Vice Chair Reynolds to adjourn the meeting. MOTION carried, 4-0. 4/13/2015 Water Utility Commission 4 I hereby certify that the foregoing minutes are a true and correct copy of the minutes of the regular session of the Water Utility Commission of Oro Valley, Arizona held on the 13 day of , 2015. I further certify that the meeting was duly called and held and that a quorum was present. Dated this lob day of , 2015. Prepared by: Iris L. Chaparro Senior Office Specialist 4/13/2015 Water Utility Commission 5