HomeMy WebLinkAbout1956-04-16; Municipal Water District; MinutesMINUTES OF THE FEGULAR ADJOURITD FEETLYG OF THE BOARD OF DIRECTORS OF THE
CARLSBAD EluNICIPAL TtJATER DISTRICT HEID APRIL 16, 1956, AT 2962 PI0 PIC0 BOULEVARD, CAR.LSBAD , CALIFORRIA, AT 7: 9 P. M.
Chairman Fry called the meeting to order at 7:35-P.M. and directed the Executive Sec- retary to call the roll:
Present : DIFl.ECTOTZS : EVALD, FRY, ROGERS, ZARLE!R, KELLY Absent: NONE Also present were 0, E, Gwen, Jr, and C. B. smith of the Satn &ego Gas & Electric Corn pany; Engineer Don Short; Attorney k. Dermis; lh. Cannon, Sk. L. Fieldman of J. B, hnauer & Company, e aJ.. u Min&s; Minutes of the meeting of April 4, 1956 were corrected and ordered tabled upon motion of Director Ewald, seconded by Director Rogers; the
Executive Secretary was instructed to submit corrected copies to each
Director before the next meeting. Motion carried unanimous3.y,
CORRESPONDENCE:
San mego County Water Authority:
1. April 5, 1956 - Letter requesting names of water comp&es operating within the
CMWD. The Executive Secretary reported that this letter had been answered,
2. April 9, 1956 - Minutes of Board meeting of Wch 8, 1956.
3. April 9, 1956 - Tabulations re stored water and deliveries through March 31, 195t
4. April 9, 1956 - Resolution commending assemblymen Schrade and Hegland, and Senatc Kraft for work on the Feather River project.
5. April 13, 1956 - -%questing tabulation of estimated requirements for the next thrc years. The letter was turned over to Director Rogers of the Water Problems Committee,
6, April 13, 1956 -- Re estimated excess or deficiency in water supply for April 1 throu& October 31, 1956.
County of San Diego: I
7. April IL, 1956 - (from Surveyor & Road Cormnissioner) Re mapping of San =ego
County. Director Fkrald reported that the City of Carlsbad has already
bPPb approved the project and has received some of the maps, Direabr S. D, County Rogers moved that the Board indicate approval of the project and that the Secretary whould be instructed to send a letter stating the Board is prepared to support the idea. The motion, seconded by Director Kelly, carried
unanimously.
8, April 11, 1956 - (from Auditor & Controller) Clarifying tax check report.
9, April 10, 1956 - (from Board of Supervisors) Copy of a letter to Leo R, B, Hen-
rikson re corrected boundary of the proposed San Marcos county Water District (BeL
ford V5llage property being annexed to Sari Marcos). Director Rogers
Belf ord reported with regard to the option taken on February 9th and suggested Village & that this Board object to approval of the annexation mil the option San p%rcos is revised since it is not feasible to meet the impossible conditions
Option imposed by it. These conditions, he reported had been made without actual approval of the Authority. Director bgers said also that ther
are several things in the option which Mr. Holmgren does not like. Rogers stated his opinion that the three ;year period of the option should begin with annexation and ad-
and annexation still has not taken place, so this Board is justified in objecting.
of the Meadowlark hservoir, under the terms of this option, the District would be faced with increased costs by virtue of its annexation and that the Board should ob- ject to annexation on this ground. Director Rogers reported that the proposed Belford Village subdivision is on the of Rancho Santa Fey and in order for its backers to secure fia?,ancing, they have to sh that they can get water.
were built. Rogers infomed that it would be the road vMch would be under water and subject to relocation. Director &ald said he also understood the village site is in
the basin. Director Fry asked if there had been any opposition when th2 option vas granted. Erector Rogers announced that everyone concerned had been in the dark on t subject. Engineer S3ort agreed that the option had =ever been sub@itted officially t
1 mission to the Authority; as it is, the option has been in effect for fourteen months
Engineer short stated that if Viis District is to have any part of the develop
Director Kelly said he understood that the site would be under water if the dam
the Authority Bard, and had been submitted only to the water problems com?.ttee. Dir-
ector EwtXLd felt that unless the Authmity is prepared to exercise sone cmtmP over the option, the CI"D catmot do it alone. Engineer Short, suggested that it is an ad- vantage to 'nave more time md tlat we should hold out for st fair market price; it is to the interest or' the CMWD to protect itself since t'ne Authority will be ina position to
lar meeting of the ~!!~t'nosity Board is to be Yay 17,
Board go on record as opposing the annexation of the BeLford Village site to Sm kcos 'until a more favorable option is execv-ted and that the Authority sh.o:.ould 3e so infomed.
develop this site itl about thee yems. Director %gers amorneed that Vne next regu-
On motion of Erector Kelly, seconded by Director Z&ler, it was noved that this
I The motion carried unanimously.
Irrigation Districts Association:
10, April 10 , 1956 - f2e ned gepartnent of !L'ater %sources and 'dater Rights Board established by tine legislature in 1956, 4- copy of the bill was enclosed,
Dept. Water This was ordered filed ad made available to the water problems cmmitte~ Resources 8t for study. Rights
0"elveney and Yprs:
11, April 13, 1956 =- Enclosing the %solution for a bond election wi$h a schedule
for operating the same, The Resolution (#XI) was read by the Executive Secretaq.
Resolution arrived.
Harmauer & Co, Chairman Fry called upon b.6.. Eeldman who, after questioning the reason
Election Board meets, outlized the proposition of his firm (J. B. Hznauer 8~ coo> for handling the prospec3ive bond election. They would like to design a package to be presented to the voters and bond mdenmiters as well. He stated that
his proposal wodld save money for the District tkrough savings in interest and avoid- ance of repeated elections. He cited various codties which had availed themselves of this service, admitting that an issue backed by Enis firm had recently failed in El Cajon. The proposal is to assist in the preparation of a brochure and fornulation of
the "bond package" to the voters which would save at least 1/L, of G, or roughly $lOO,OC The fees forthis service a-e contingent an6 payable only if the bonds are votd and
delivered; the advice costs notxcg and Ifmeans the difference between success and failu
of the projectf'. He cited paragraph 3 of the proposal of his firm re getting out liter
1% bond brochures. 'rle mentioned that We problem might be solved by something other than GO Bonds (eg, &venue bonds or both), and that this would depend upon a study of
the situation,
take about 30 days. Director Rogers reminded him that there are many intangibles such
as the cost of water which in turn is dependent upon vdume which in turn is dependent
upon political factors, etc., and strongly questioned that, in view of all the intangib
any valid predictions could be made.
mtter and that they have sol4 themselves. He said he did not see how the issue could
be more thoroughly brought to the favorable attention of the citizens, Director &ald expressed appreciation for Mr. Fieldman's attention to this matter but said he felt the commnity had already been pretty well sold. Wr. Yieldman suggest
that after the election, his firm would. like to be considered among financial consultan
to guide the issue from there. Director bald stated it is possible we could use the
service of his firm at that time,
chi= ~FY then asked bgineer Short for a map of the boundaries of the proposed pra- ject. The map had already been tvrned over to the attorney who had arrived dmiw &e discussion with b. Fieldman, but the engineer had mother map for presentation.
Director Rogers brought up a point of order stating that the Attorney had been directed
to prepare data for calling a bond election and that the motion should hold or be fom: dropped. P_+,torney Dennis stated that he felt the original instructions as per tne Marc]
1Ath me&ing had been rescinded b the instructions forthcoming at the next meeting, Director kgers insisted that the original order was still in effect,
Upon motion of Director Ewald, seconded by Director Kelly, it was moved that the mAion instructing the attorney to proceed on the bond issue as proposed at the meeting
of March Uth be canceled. The motion led to the following discussion: Chaimnan Fry
Bond Issue ariew of the discussion that had ensued re the Rorth Carlsbd issue,
Action was deferred in view of the fact that the attorney had not yet
Bona for the forty-five star flag vkich hangs in the 'ouncil Chamber where thc
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atwe to the voters in a language they can understand with a guarantee to distribute
Director Rogers asked how long the study would take. Mr. Fieldman replied it woul
Director Kelly mted that we have a Citizens' Committee which has worked on the
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explained that he had directed the attorney to hold up proceedings in
Director Rogers stated that t'ne Board had been "piddling along since last August
on the question of getting water"; that eight months had gone by, additional engineer-
Election didn't how last August 23rd. He said it is his opinion that this
Carlsbad, and now it proposes further delay by calling for these hearings. Director Ewald stated that he Telt a great deal had been learned in those eight months and that to proceed without having the people behind US ?*jOUld be foolhardy. Director Rogers pointed out that the same people were behind us in the last
election: He cited among others the VherP Citizens' Committee; the Carlsbad ktUd
Water Company; the Blade-Tribune. He added that the same element that opposBs every- thing, and the Carlsbad Journal, were the opponents, He asked what assurance we have
now that we did not have then that they will vote nyesr'.
Director Ewald agreed we have no assurance but stated this is all the more reas01 for proceeding with caution.
Chairman Fry said he was sure every Board member was interested in getting the
election a cross, and that all are acting in good faith. He said the Journal had pointed out that the last bond election was for too nuch mney and that this for al- most 112 million less should surely go if we do not defeat it with hasty action.
North made it quite clear what the feeling there is and that we should pro- Carlsbad ceed with the hearing so they will have the opportunity to object if
ing study has cost thowands of dollars, and we don't know a thing we
Bod has a heavy responsibility in delaying action to bring water intc
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Director Zahler said he felt that the meeting at North Carlsbad had
they so desire, Director Kelly said that it is obvious that the people of North Carlsbad who wm to annex to Oceanside just "don't want to let go of one rope until they grab the next He said if he were a citizen of North Carlsbad he would not want to get out of the
District mtil he were sure they could annex. He pointed out that the main problem
is to get in the pipeline and all other problems are subordinate. He said also that we should work together $0 get the plpeline in by forming an Improvement District, and there is no doubt that t5e issue will cq,
Director Ewald stated his opinion that forming the Improvement District is not
delaying the proceedings but actuKUy speeding ups the process, first,
Improvement by reducing the possibility of losing the election; and second, by
District by elimha,ting the indecision of krth Carlsbad which now could hold
up the election for months. I Director Zahler asked the attorney, in the event that North Carlsbad were to corn
in with a petition to be excluded from the District, what the possgbility would be of
holding an election with the two propositions: annexation to Oceanside, and Exclusio:
from Carlsbad. The attorney said such would be possible but not practical since it would take a lot of planning and it would take more time under the Act of 1913.
N. Carlsbad circulate a petition on April 25th. The attorney concluded from this Petition that probably 132 days would be required for conpletion of annexation,
Director -%gers reported that North Carlsbad has permission to
and that the maxirmlm time it might take would be 167 days.
&ter NOW! Director Qgers then presented a two page document entitled: %e€ls
Get T3j,ter - NOW!1r In this he criticized the move to exclude North Carlsbad from the bond issue while it still remains in the District, His recornen& tiona were to proceed with the bond election and take immediate steps to exclude Nor% Carlsbad before the election is called.
The attorney reported that, under the law as it is today, if Nort' Annexation Carlsbad wishes to annex it mst amex to contiguous territory. Director Rogers said IJorth Carlsbad had been led to believe that it could come back into this District and that is not a fact. He said ,@% of the lan
in brth Carlsbad is owned by non-shareholders (btual) who would not stand to gain b;
annexing to the District. It would require 73% of the people who own stock to get ba
in and they would make it impossible for Worth CarLsbad to amex after an Improvement District is formed, Me referred to the attorney's statement that if the Mutual tried
to sell water to IJorth Carlsbad we could cut off service and called attentior: to a similar situation in the Authority where, according to Mr. Jennings, once the water was co-mingled, the Acthority was powerless to control it, and we would be in the sam position.
Attorney Dennis sztid he felt Director iiogers was reading things into Ye. Jeming
opinion, and that there is a difference of opinion among attorneys as to whether Mr.
Jemings is correct, and besides, this is a different situation. Re said there are
my cases with& the state where boards can pass regulations restrdnhg the use of
water outside their territory.
Director kgers and the Attorney then disagreed as to whether San Diego has the
legal right to sell water to Fallbrook. The attorney then offered to resign at this point if it were felt that he is incompetent.
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Director Rogers then stated thzt there was one practical point to be considered,
regardless of legality, and that is that there is no feasible way for the Mutual to operate without delivering Colorado River water to North Carlsbad. Director Kelly stated that North Carlsbad could be served from Yucca Street,
Engineer Short asked Director %gers if it would be possible to build a line from
the Sm Luis Rgr well field tnto North Carlsbad. After some discussion Short said he
believed a transmission line goes through North Carlsbad, an& 2% would be possible tQ
serves North Carlsbad.
the opinion that it would not cost that much.
Water HOW! Attorney Dennis then questioned point #2 of Director Rogers' I1Lets Get Water - N0W:ff bulletin in which it was recommended that the Board f'take
mediate action to exclude North Carlsbad from the District before a bond election is called1',. Director I4,gers explained that if North Carlsbad is excluded they will have to annex to Oceanside since there is no ot5er way in which they could get water,
A roll call vote on the motion was as follows:
make a connection if there is not aheady one into the reservoir which prseently
I Director Rogers said this would cost $rp,OOO or $a,OOO. Engineer Short was of
AYE: DIRECTORS: EdALD, ZAEZER, KELLY NOE: DIFZCTGRS: FRY, ROGERS
0" & A motion was made by Director Ewald, seconded by Director Zahler, to
%erg employ OWelveny & Myers to render legal services in connection with the Improvement District bond issue as per their letter of April 13,
1956, OF for services 4-n connection wikh a general district abligation bond issue as may be required instead,
the legality of such a move had been presented, It was recommended by Director Rogers
that no action be taken toward the formation of and Improvement District until such an
opinion is forthcoming. Attorney Dennis stated that the only way to find out whethc
. hpovement District an Improvement District should be formed is to have the hearin4
sworn testimony, He added that, if the bond issue is to c-, & Directors must pus1
for it,
basis. The attorney said lfyesll although the evidence presented at the hearing may
change the whole picture. Director Rogers said he believed the Improvement District has a place, but we should not let the "tail wag the dog"; it mag be six months before we can get a decisic He urged the calling of an election in Rorth Carlsbad to find out whether they wish to
exclude or not,
Exclusion District hearing could be called for the same time. The attorney said they could, but said one would have to follow the other, and that this would result in f'urther delay. He added that if he were a resident of North Carlsbad, he would object to being excluded before being annexed since it would mean loss of water entitlement. If we pass this L2esolution calling for a hearing on an Improvement District, those who want to be included can be, and those who want to stay out can be elimfnated.
report, and nobody came: What if that happens again?"
exclude then.
Director Pagers objected to the notion on the ground that no formal opinion on
and then have a legal opinion based upon the transcript of
I Erector Ewald asked the attorney if in his opinion we are proceeding on a soulEd
Director Fry asked the attorney if an exclusion and Ilrprovexent
Director Rogers noted that an informal hearing had been set after &ding's first
Director %aid answered that it wolL1ld be logical in that case to go ahead and
Chairman Fry called for a vote on the motion wYLch carried unanimously,
Re solution Director Ewa.ld mved that the Resolution as read. earlier be adopted.
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k%k? The motion was seconded by Eirector Zahler. Director Rogers objected and repeated that, we should have a, fomL opinion from o'%lveney & Iwrs. The a,ttorney repeated that the opinion can be render(
only after the facts are in and said we should have present a court regorter at the hearing in order to have an exact copy of the testimony,
The motion carried b-y tho folloving roll call vote:
AYE: E3&%TI, FRT, Z,n_"LZR, KELU
NO: ROGERS
Director hgers then moPed t'nat we proceed with the heiurings to exclude North
Exclusion now exists. Director Fry, for the sake of discussion, secoDded the
ing roll call vote:
Carl-sbzd with boundarfes come sponding with those of pa~cel #l as it
motion. after *her discndion, the notion was lost by the follow-
AYE: ROGERS, FRY NO: EIU'LD, Z&'IXR, KEXLY
Rews Erector Rogers asked the attorney about the news release which was to
&lease ha77e been prepared as per a motion at the meeting of april 4th. T"ae attorney said the matter had slipped his mind.
Po sting The attorney stated that the -%solution vould have to be posted in six
public places. Director iiogers objected to the fact that they would
not be posted in North Carlsbad, so it was agreed to post three notices there also. T Tollowing locations were selected: 'Post Office; City Hall; Library; IJIutUdl Water Co.; Security Bank; Terramar Office; North Carlsfazd C&Lb House; Corner of Avocado Road &
Fire-Yauntain Drive; and at the Yucca Road LSeservoir. Director Kelly agreed to do the
posting on April 19th as reqcirer? by law and to take pictures f~r the record,
Director Rogers referred to t3e &ril IS, 1956, agenda of the Sm %.ego County Wates B.uYlority Board meeting listing a codcation (item 6-B) re deliverg of purchased City of Sa.n Diego stored water to other member agencies. Director Rogers moved that
the Bowd request the Authority to furnish a CO~J of this fetter for study by CT4MD.
The motion, seconded by Director Kelly, carried unaninously.
Delivery Director %gem reported on the charge being made by the Authority Charge which was discussed at the previous meeting. He said the charge is
2nd therefore we have no kick coming. He reported also that he had complained abut
the shut down of the Oceanside-FaJlbrook lateral which, according to 1.. Camon, had been shut off for E8 days.
Rainbow Director Rogers stated that Netropolitan would not consider the proposec
Annexation amexation of %inbow until all territory between R~nbow and Oceanside
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in lieu of a pumping charge which was set up by the Board last yew,
is annexed; that would take in all of the San Luis Rey Valley.
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Bills The bills for the pePZod from April 4, 1956, thrmgh April 14, 1956
Director Ewald, seconded by %rector Zahler,
Reservoirs Engineer Short stated thEt in connection with investigation of right-
& site. He said it would be to the best interest of the District if it
iEJaY transmission line over &It. Kelly to the reservoir; the line should be
(checks #l4& through UJ6) were approved for payment on motion of
#2 & %. Kelly of-way problems, there is difficulty in obtaining the %. Kelly Reservo:
Rights-of could secure reservoir storage in %tm,lts #2 reservoir and build a
t'ne District's transmission facility and not part of the Mutual's dis- tribution system. It should be maintained as m independent pipeline owned and operati by the W. If proper arrangements can be made it will be possible to elidnate the necessity for a reservoir on Mt. Kelly. This plan can be achieved at virtually the same cost. He emphasized that the line should be for transmission only.
8n.d engineering but mainly operating; this line shows a slight a,dvmtage in that it
ca-n be built for a little less money, He said we should reserve iAe right to store
~,8~0,08~ gallons and as long as we have some capacity reserved, the effect is the sane as storage on Mt. Kelly,
b. &en asked on what basis this decision had been made. Short said both operat:
on motion of Director Tsgers, seconded by Directcr Ewald, it was man-
stating the engineer's recommendations.
I'lutual imusly agreed that a letter should be delivered at once to the Mutual
On motion Of Director Rogers, seconded by Director Kelly, the meeting was adjourned at 11:15 P.M.
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President of the ,Board of Diiiectors
Carlsbad Municipal Water ='strict
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