HomeMy WebLinkAboutMinutes - Water Utility Commission - 1/14/2019 MINUTES
ORO VALLEY WATER UTILITY COMMISSION
REGULAR SESSION
MONDAY,JANUARY 14,2019
HOPI CONFERENCE ROOM
11000 N.LA CANADA DRIVE
CALL TO ORDER—Chair Campbell called the meeting to order at 6:00 p.m.
ROLL CALL
PRESENT: Anne Campbell,Chair
Byron McMillan,Vice Chair
Chuck Hollingsworth,Commissioner
Robert Milkey,Commissioner
Winston Tustison,Commissioner
STAFF PRESENT: Peter Abraham,P.E.,Water Utility Director
Shirley Kiel,Utility Administrator
Lee Jacobs,P.E.,C.P.M.,Engineering Division Manager
ALSO PRESENT: Councilmember Piña
CALL TO AUDIENCE:Chair Campbell opened this item after the Director's Report.
1. APPROVAL OF NOVEMBER 13,2018 MINUTES
MOTION:A motion was made by Commissioner Milkey and seconded by Commissioner
Tustison to approve the November 13,2018 minutes as written.MOTION carried,5-0.
2. DISCUSSION AND POSSIBLE ACTION ON 2019 WATER UTILITY COMMISSION
WORK PLAN
Mr.Abraham discussed the work plan.Chair Campbell added an item on monitoring our
shared aquifer.Mr.Abraham confirmed this item will be addressed in March during the
discussion on groundwater metrics and wellfield condition.
MOTION:A motion was made by Vice Chair McMillan and seconded by Commissioner
Hollingsworth to approve the 2019 Work Plan to include the additional discussion in March
during the wellfield analysis.MOTION carried,5-0.
3. DISCUSSION AND POSSIBLE ACTION ON WATER RATES
01-14-19 Water Utility Commission 1
Ms.Kiel reviewed the following:
-Water Utility enterprise fund
-Water rates analysis requirements and goals
-Analysis assumptions
-Consumer trends and changing rate drivers
Ms.Kiel reviewed the preferred financial scenario:
-Achieves water rates analysis goals
-Includes future debt
-Balances revenue received from base and commodity rates
-Increases fixed cost recovery and revenue stability
-Includes an increase to the base rate in all years
-Raised commodity reclaimed rate beginning in second year
-Increase potable only this year
-Increase of$1.81 per month for the average customer with a 5/8 inch meter
-Comparisons to other water service providers
MOTION:A motion was made by Commissioner Tustison and seconded by Commissioner
Milkey to forward the water rates in the Preferred Financial Scenario to the Mayor and
Town Council for approval.MOTION carried,5-0.
4. DISCUSSION ON 5-YEAR CAPITAL IMPROVEMENT PROGRAM BUDGET
Mr.Abraham reviewed the following:
-Purpose of Capital Improvement Program(CIP)
-Financing options available
-Financing the current 5-year CIP
-5-year CIP existing system improvement projects
-5-year CIP NWRRDS and expansion related improvement projects
5. DISCUSSION AND POSSIBLE ACTION ON RENEWING AZWARN MEMBERSHIP
Mr.Abraham explained AZWARN is a free statewide mutual assistance agreement
between public water and wastewater utilities in Arizona.This volunteer based response
network provides member utility contact information and resource listings for use in times
of emergencies.
MOTION:A motion was made by Commissioner Milkey and seconded by Commissioner
Hollingsworth to forward the AZWARN Mutual Aid Agreement to the Mayor and Town
Council for approval.MOTION carried,5-0.
6. DISCUSSION AND POSSIBLE ACTION ON RESCHEDULING THE NOVEMBER
WATER UTILITY COMMISSION MEETING TO TUESDAY,NOVEMBER 12,2019
DUE TO THE VETERANS DAY HOLIDAY
01-14-19 Water Utility Commission 2
MOTION:A motion was made by Commissioner Milkey and seconded by Commissioner
Tustison to reschedule the November meeting to Tuesday,November 12,2019.
MOTION carried,5-0.
7. TOWN COUNCIL MEETINGS/COMMUNICATIONS
Councilmember Piña reported on the following:
Online survey for residents;U of A 10-year Strategic Plan has identified Oro Valley as one
of the four strategic incubators;U of A selected a dean for the proposed college of
veterinary medicine in Oro Valley;Town Council strategic planning initiatives for next two
years is in progress and includes an economic development strategy plan;Town adopting
building codes;zoning code improvements are in progress;code publishing is in progress;
technical standards update is in progress;new Budget and Finance Commission
Councilmember Piña announced upcoming Town Council meetings.
8. SUBCOMMITTEE/COMMISSIONER REPORTS
a. Finance Subcommittee—No report.
b. Water Resources and Conservation Subcommittee
Chair Campbell reported the subcommittee will be meeting in February.
9. STAFF REPORTS
a. Financial Report
Ms.Kiel reported on the following budget to actual comparisons:
-Revenue from potable water,reclaimed water,groundwater preservation fees and
service fees
-Operating expenses including personnel,administration,water resources,engineering
and potable and reclaimed operations
-Capital improvement projects and debt service
Ms.Kiel presented the quarterly customer service metrics.
b. Water Supply and Usage Report
Mr.Abraham presented water production information for both the Countryside and Oro
Valley water service areas as well as the groundwater target maximum levels.The
statistics illustrate the full year of 2018(January-December).
c. Capital Projects Report
01-14-19 Water Utility Commission 3
Mr.Jacobs reviewed the following projects:
Oracle and Hardy wheeling station;High Mesa hydropneumatic tank replacement;
Nakoma Sky production well;La Reserve PRV station;MAG meter wells and boosters;
backflow retrofitting for fire protection systems;production facility office improvements;
valve replacement program;La Cholla widening and modifications;Northwest Recharge,
Recovery and Delivery System
10. DIRECTOR'S REPORT (P.Abraham)
a. Upcoming Meetings
Mr.Abraham reviewed the upcoming meetings.
b. Water News
Mr.Abraham reviewed the upper Colorado basin snowpack comparisons of the current
year and last three years and averages.He reviewed the Colorado snow water equivalent
map for 2019 compared to 2018.
CALL TO AUDIENCE—No speakers.
FUTURE AGENDA ITEMS—No items.
NEXT MEETING: FEBRUARY 11,2019 LOCATION:HOPI CONFERENCE ROOM
ADJOURNMENT
MOTION:A motion was made by Commissioner Tustison and seconded by Commissioner
Milkey to adjourn the meeting at 7:59 p.m.MOTION carried,5-0.
Prepared by:
Danielle Tanner
Senior Office Specialist
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 14th
day of January,2019.I further certify that the meeting was duly called and held and that a
quorum was present.
01-14-19 Water Utility Commission 4