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HomeMy WebLinkAbout1983-06-01; Municipal Water District; MinutesMINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS OF COSTA REAL MUNI- CIPAL WATER DISTRICT, HELD ON JUNE 1, 1983, AT 2:OO P.M. AT 5950 EL CAMINO REI CARLSBAD, CALIFORNIA 92008: The meeting was called to order at 2:07 P.M. by President Almack with Direct01 Bonas, MacLeod, Kelly, Maerkle and Almack answering roll call. Also present were General Manager Meadows , Control 1 er Brammell , Superintendent of Operatior Musser, Legal Counsel Swirsky, District Engineer Kubota and Executive Secreta) City Manager Frank Aleshire, Councilman Bob Prescott, Doug Helming (Rick Engi- neering) , James Hurter (Huntington Beach Company) , Joyce Benefield (McMillin Development) , Jim Buchanan (Hughes Aircraft) , Nob Tabata (Tabata Brothers), Phil Dodd (D.S.L.), Dick Osburn, Ruth Honnold and William Savage also attendec Approval of Minutes: Upon motion of Director Maerkle, secondt by Director Bonas and unanimously carrit the minutes of the adjourned meetings of May 24 and 25, 1983, were approved a distributed. I Oral Communications from the Audience: None Public Hearing: Major Water President Almack announced that this is Facilities Financing Program the time and the place fixed by the Boa of Directors of the Costa Real Municipa Water District for a public hearing for any interested persons to present any evidence for the consideration of the Board in considering an adjustment of water rates and the establishment of a major facilities charge for the Costa Real Municipal Water District. (The original transcript of the hearing will attached and a part of the official minutes of this meeting.) Upon requests from several members of the audience, and Legal Counsel Swirsky recommendation, Director Maerkle made a motion to continue this public hearin to June 15, 1983, at 2:00 P.M., seconded by Director Bonas and unanimously carried. I ~.~ ~- Recess : President Almack called for a recess at 3:15 P.M. The meeting reconvened at 3:35 P.M. Organizational Reports: San Diego County Water Authority: Director Maerkle advised that the next meeting i.s set for June 9, 1983. Association of Water Reclamation Director Bonas advised that the next Agencies of North County: meeting will be held tomorrow, June 2, here at the District. San Diego Region Water Reclamation Agency: Director Bonas reported on this meetin! he1 d at Otay Municipal Water District ( Friday, May 27, 1983. The date of the next meeting will be announced later. Director Maerkle suggested that the District should re1 inquish its membershi] in this agency since, according to our recent agreement with the City of Carlsbad, the District agreed that the City would handle wastewater matters. After discussion, Staff was instructed to review this matter with City manag 1 and bring back a recommendation to the next Board meeting. Commi ttee Reports : Finance Committee: General Manager Meadows advised that City Finance Director tomorrow to begin work on the new budget. As soon as possible this will be given to the Finance Committee. Controller Bramell is meeting with th Personnel Committee: General Manager Meadows said this com- mi ttee will also be affected by the recent agreement with the City. He added that the City Manager said the Cit will need some type of commitment as to what the District will do for any City employees that might transfer to the District. General Manager: Operations and Maintenance: General Manager Meadows referred to report in the agenda packet. Mr. Musser then reported on several recent incidents, i.e., our gas pump destroyed by a delivery truck, 32 feet of fenct knocked out at our water tank on Alga Road and two fire hydrants hit by cars, Finance and Administration: The General Manager requested Board ap. proval of a progress payment to Donald M. Long Construction Co. (builder of the caretaker’s residence at Squires Dar in the sum of $28,730.44. Director Maerkle made the motion to approve, secot by Director MacLeod and unanimously carried. Purchase Orders : P.O. 61-3190 - Barrett General Manager Meadows requested Boar1 Engineered Pumps: approval of P.O. 61-3190 to Barrett pumps for a total amount of $569.22 including tax. Director Maerkle made thl motion to approve, seconded by Director MacLeod and unanimously carried. P.O. 61-31.89 - Rockwell The General Manager asked for Board ap International : proval of P.O. 61-3189 to’ Rockwell Inti strainer in the total sum of $1,546.77 plus any freight. Director MacLeod m the motion to approve, seconded by Director Maerkle and unanimously carried. District Engineer: Superintendent of Operations Musserls I Engineered Pumps for three hydromatic I national for two turbo meters and one I CMWD 80-405 - CT 77-8A - District Engineer Kubota reviewed this Downey Savings & Loan condominium development which was requ by the District to have copper pipe be the water meter in the original approval in 1980. Because of the changes ma by the present developer (DSL) , the District Engineer recommended Board appr of DSL’s request to use plastic pipe. After discussion Director Kelly made motion approving the request, seconded by Director Maerkle and unanimously c CMWD 82-208 - Koll/Well s Indus- The District Engineer advised that whe trial Site - Water Line Relocation: the required widening of El Camino Rea is done by this developer, our water 1 in the area of Madonna Hill will be affected. The developer has proposed a relocation of the line at a total estimated cost of $50-60 thousand dollars, with the District’s portion of the cost to be $20-25 thousand dollars. Afte discussion, Director Maerkle made a motion approving the relocation with a maximum expenditure by the District of $25,000, seconded by Director MacLeod and unanimously carried. Legal Counsel : No report. Ratification of Checks: Upon motion of Director Maerkle, secon carried, the Board ratified the issuance of accounts payable checks No. 8572 8573 and 10764 through 10822, for the period from May 20 through 31, 1983, i the sum of $53,475.05, and payroll checks No. 774 through 776 dated May 23, 1983, in the sum of $4,750.12. Directors I Reports : None by Director MacLeod and unanimously I Adjournment: The meeting was adjourned at 4:20 P.M. the next regular meeting on June 15, 1 Respectfully submitted, ,;.. .,g7 ../I; /’ / / >q /l,,’ ’pf,,, u d* Yb p If ..,-,,President ‘of the Board of Directors /- i. -.: 444 //gg&”Jp;. qT, Secretary of the,B ard of Directors -7- .llrn~ 1 . 19R1 " 0 1 0 9 -4 b e 'e lg I I* .. 1."."_.. COSTA REAL MUNICIPAL WATER DISTRICT i .: _. '. -. ..._ ._.._ REPORTER'S TRANSCIPT OF PUBLIC HEARING RE MAJOR WATER FACILITIES FINANCING PROGRAM ~ CARLSBAD, CALIFORNIA JUNE 1, 1983 PRESENT: NORMAN ALMACK, PRESIDENT MARGARET J. BONAS ALLAN 0. KELLY DONALD A. MACLEOD ALLAN 0. KELLY PAUL S. SWIRSKY, ESQ., ATTORNEY FOR THE.DISTRICT WILLIAM C. MEADOWS, GENERAL MANAGER JACK Y. KUBOTA, DISTRICT ENGINEER TOM BRAMMELL, FINANCE DIRECTOR REPORTED BY: MARTHA L. DIX, CSR NO. 86, CP, CM, RPR I - MARTHA 1. QlX, CSR, No. 86, Cp,CMt RPR son DIego C~mttjs First State Cham@on CERTIFIED SHORTHAND REPORTING SERVICE SAN DIE60 OFF!= NORTH COUNTY OFF11 1407 SIXTH AVENUE 1600 BUENA VISTA WP SAN DIEGO. CALLFORNIB 92101 CARLSBAD CALIFORb * (714) 234-7272 . . - "" e 4 e e 0 JI e 0 e a e 1 ~ CARLSBAD, CALIFORNIA, WEDNESDAY, JUNE 1, 1983 2:OO P. M. I 2 3 4 5 6 7 8 9 10 11 12 "-0"- THE PRESIDENT: THIS IS THE TIME AND PLACE FIXED BY THE BOARD OF DIRECTORS OF THE COASTA REAL MUNICIPP WATER DISTRICT FOR A PUBLIC HEARING FOR ANY INTERESTED PERSON TO PRESENT ANY EVIDENCE FOR THE CONSIDERATION OF THE BOARD OF DIRECTORS OF COASTA REAL MUNICIPAL WATER DISTRICT IN CONSIDERING AN ADJUSTMENT IN WATER RATES AND 1 ESTABLISHMENT OF A MAJOR FACILITIES CHARGE FOF COASTA REAL MUNICIPAL WATER DISTRICT. THE FOLLOWING GENERAL PROCEDURE WILL BE I 13 14 FOLLOWED IN CONDUCTING THE HEARING SO THAT ALI EVIDENCE AND ALL PARTIES THAT DESIRE TO BE HE/ I 15 16 17 18 19 20 MAY PRESENT EVIDENCE. A TRANSCRIPT OF THE HEARING WILL BE TAKEN BY A PUBLIC STENOGRAPHE SO IT IS REQUESTED THAT THE FOLLOWING PROCEDU BE FOLLOWED: ANYONE WHO DESIRES TO TESTIFY WILL BE FIRST RECOGNIZED BY THE CHAIR, AFTER WHICH I 21 22 23 24 25 TIME THE INDIVIDUAL MAY TESTIFY. AFTER THE PERSON TESTIFIES, ANY INTERESTED PERSON WILL ALLOWED TO ASK QUESTIONS. FROM A PROCEDURE STANDPOINT, THE FOLLOW1 ORDER OF TESTIMONY WILL BE USED: MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 e 0 e 4 e a lil e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 1. TESTIMONY BY LEGAL COUNSEL IN REFEREN TO AUTHORITY AND JURISDICTION FOR THE HEAR I NG. 2. TESTIMONY OF DISTRICT GENERAL MANAGER ON HIS FINDINGS AND RECOMMENDATIONS. 3. TESTIMONY OF THE DISTRICT ENGINEER OF HIS FINDINGS AND RECOMMENDATIONS. 4. TESTIMONY OF THE DISTRICT ACCOUNTING OFFICER ON HIS FINDINGS AND RECOMMENDATIONS. 5. TESTIMONY OF ANY 'INTERESTED PERSON OF PERSONS ON THE ISSUE IN QUESTION. 6. AFTER ALL INTERESTED PARTIES HAVE TESTIFIED, THE PUBLIC HEARING WILL BE CLOSED. THE EVIDENCE AND INFORMATION RECEIVED AT THE HEARING WILL THEN BE TAKEN UNDER SUBMISSIl BY THE BOARD, AND AFTER A REVIEW OF THE TRANSCRIPT BY THE BOARD AND THE STAFF OF THE DISTRICT, TOGETHER WITH ALL OTHER PERTINENT INFORMATION, THE BOARD WILL SUBSEQUENTLY REND A DECISION OF THE MATTER. IT WOULD BE APPRECIATED IF ALL PARTIES WOULD ABIDE BY THE PROPOSED PROCEDURE SO THAT THE HEARING MAY BE CONDUCTED IN AN ORDERLY MANNER. IT IS NOW REQUESTED THAT THE LEGAL MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 e e e 3 e 0 0 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 I COUNSEL PROCEED. PAUL. MR. SWIRSKY: MR. CHAIRMAN, FOR THE PUBLIC BEFORE THE PUBL HEARING, WE WOULD LIKE TO MAKE A PART OF THE OFFICIAL RECORD A NOTICE OF PUBLIC HEARING AT THIS TIME AND PLACE WHICH WAS PUBLISHED IN "Tt CARLSBAD JOURNAL" AS A LEGAL PUBLICATION ON M/ 11, 1983. ALSO, TO ADVISE THAT THE ADMINISTRATION SENT OUT LETTERS TO INTERESTED PARTIES ENCLOSING A COPY OF THE PUBLIC HEARIN( NOTICE, A COPY OF THE LIST OF ADDRESSEES WILL FILED IN THE PUBLIC HEARING RECORD, IN ADDITION THERETO, I WOULD LIKE AN OFFICIAL COPY TO BE PLACED IN THE RECORD OF T REPORT WHICH THE BOARD HAS CONSIDERED IN REFERENCE TO THIS RATE STUDY. IT'S ENTITLED "COSTA REAL MUNICIPAL WATER DISTRICT MAJOR WA FACILITIES FINANCING PLAN AND RATE STUDY," DA APRIL 1983, AND IT WAS PREPARED BY BARTLE WEL ASSOCIATES, MUNICIPAL FINANCING CONSULTANTS. THANK YOU. PRESIDENT: THANK YOU, PAUL. IT IS NOW REQUESTED THAT THE DISTRICT I 23 MR. MEADOWS: THANK YOU, MR. CHAIRMAN. 24 GENERAL MANAGER PROCEED. BILL MEADOWS. I HAVE PLACED AT EACH OF YOUR SEATS A 25 ~ MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 e 0 e * e 0 e 'II e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MEMORANDUM DATED TODAY, PREPARED BY MYSELF AND THE CONTROLLER, TOM BRAMMELL, AND I WOULD LIKE TO USE THIS AS THE BASIS FOR MY REMARKS. AT THE MEETING OF APRIL 6TH, 1983, THE BOARD OF DIRECTORS RECEIVED THE REPORT ENTITLE "MAJOR WATER FACILITIES FINANCING PLAN AND RAT STUDY" PREPARED BY BARTLE WELLS ASSOCIATES, FINANCING CONSULTANTS. THE BOARD ALSO DIRECTED THE STAFF TO, QUOTE, "DEVELOP MAJOR FACILITIES CHARGE PROCEDURES," INQUOTE, SO AS TO IMPLEMENT RECOMMENDATIONS MADE BY THE BARTLE WELLS REPOf AND BY THE VERBAL PRESENTATION MADE BY MR. ED WELLS. THE BOARD SUBSEQUENTLY APPROVED A SCHEDULE WHICH AUTHORIZED STAFF TO PROCEED TOWARD IMPLEMENTATION OF CERTAIN RECOMMENDATII IN THE BARTLE WELLS REPORT. TODAY'S PUBLIC HEARING IS ONE OF THE FORMAL ASPECTS OF THIS SCHEDULE. CONCURRENT WITH PREPARATION OF THE FINANCIAL REPORT HAS BEEN DEVELOPMENT OF A MA FACILITIES MASTER PLAN BY THE DISTRICT CONSULTING ENGINEERS, WOODSIDE/KUBOTA E ASSOCIATES. A PRELIMINARY FIVE-YEAR CAPITAL IMPROVEMENT PROGRAM, AS DEVELOPED BY THE MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 0 e e s e e 0 r a 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ENGINEERS, IS CONTAINED IN THE PRELIMINARY FINANCIAL REPORT. MR. KUBOTA HAS AN UPDATED REPORT WHICH WILL BE INCORPORATED INTO THE FINAL BARTLE WELLS REPORT. ALSO, UNDER WAY CONCURRENTLY WITH THE DEVELOPMENT OF THE BARTLE WELLS REPORT WERE NEGOTIATIONS WITH THE CITY OF CARLSBAD WHICH HAVE RESULTED IN THE SIGNING ON MAY 25TH OF A WATER SERVICE AGREEMENT BETWEEN THE CITY AND DISTRICT. I THIS WATER SERVICE AGREEMENT AFFECTS THE WATER RATE ANALYSIS PORTION OF THE BARTLE WEL REPORT. I THE CITY AND DISTRICT WILL BE DIVIDING CERTAIN AREAS OF RESPONSIBILITY UNDER TERMS 0 THE AGREEMENT, AND, FOR THIS REASON, A REVISE 1983-'84 BUDGET MUST BE DEVELOPED BY THE DISTRICT STAFF. SINCE THE 1983-'84 WATER RATES WILL DEPE UPON THE BUDGET AND SINCE THE BUDGET IS NOW I I THE PROCESS OF BEING REVISED IN ACCORDANCE WI' THE NEW WATER SERVICE AGREEMENT, THE STAFF HA NO RECOMMENDATIONS ON 1983-'84 WATER RATES FO TODAY'S MEETING. RECOMMENDATIONS WILL BE FORTHCOMING IN T I I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE a 4 0 e e 9 e e e r 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 NEAR FUTURE. ONE THING WHICH CAN BE SAID WITH CERTAIN1 REGARDING NEXT YEAR'S WATER RATES IS THAT THE DISTRICT WILL RECEIVE AN INCREASE OF 21.5 PERCENT FROM THE SAN DIEGO COUNTY WATER AUTHORITY EFFECTIVE JULY 1, 1983. THIS INCREASE WILL HAVE TO BE PASSED ON - THE WATER USERS AND THIS IS A SITUATION WHICH EXISTS COUNTYWIDE. WITH THE FOREGOING IN MIND, THE RECOMMENDATIONS OF YOUR STAFF ARE THAT THE BO1 PROCEED WITH CONSIDERATION OF MAJOR FACILITIE' CHARGES TO BE USED TO FINANCE FUTURE CAPITAL IMPROVEMENTS. THE CAPITAL FACILITIES THAT WII BE REQUIRED WILL BE DISCUSSED BY THE DISTRICT ENGINEER. THE CONTROLLER WILL THEN DISCUSS T FINANCIAL ASPECT OF THE STAFF'S RECOMMENDATIO AND MR. BRAMMELL WILL BE COVERING THE ITEMS A CONTAINED ON PAGE 2 OF THE MEMORANDUM AND ON PAGE 3, AND I WOULD JUST ALSO REPORT THAT THE EQUIVALENT DWELLING UNIT SCHEDULE WHICH STAFF RECOMMENDING TO BE ADOPTED IS ALSO ATTACHED T THE MEMORANDUM. THAT CONCLUDES MY REMARKS. THE PRESIDENT: THANK YOU, BILL. I ~~ MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4 e e J e q 0 1 2 3 4 5 6 ARE THERE ANY QUESTIONS BY ANY PARTY AT 1 IN THE ROOM OF THE GENERAL MANAGER? IF NOT, WE'LL PROCEED WITH THE DISTR ENGINEER, JACK KUBOTA. MR. KUBOTA: MR. CHAIRMAN, MEMBERS OF THE BOARD OF DIRECTORS, LADIES AND GENTLEMEN, MY NAME IS J I 7 8 9 10 11 12 13 14 15 16 KUBOTA. I AM THE DISTRICT ENGINEER, AND I'LL MAKE A BRIEF PRESENTATION OF THE MAJOR FACILITIES THAT ARE LISTED IN TABLE NO. 4 ON PAGE 10 OF THE BARTLE WELLS REPORT, WHICH HAS BEEN REFERRED TO PREVIOUSLY BY MR. SWIRSKY. I ALSO HAVE FOR EVERYONE'S VIEWING AN EXHIBIT MAP, THAT SHOWS ON THE DISTRICT OVERA i MAP THE EIGHT PROJECTS THAT ARE LISTED ON TAB 4. FOR THOSE OF YOU THAT HAVE THE BARTLE WEL REPORT, IT IS PAGE 10, AND I WILL BRIEFLY GO 17 la 19 20 THROUGH THIS LISTING OF THE PROJECTS AND EXPL THEIR RELATIONSHIP WITH THE ENTIRE WATER SYST OF THE DISTRICT. ITEM 1 IS THE HIGH RESERVOIR AT LA COSTA I 21 22 23 24 IT IS A SIX MILLION GALLON STORAGE RESERVOIR REGULATING PURPOSES, AND IT IS LOCATED SOUTH ALGA ROAD AND EAST OF EL FUERTE. THIS IS AN IMPORTANT LINKAGE OF OUR SAN 25 MARCOS-OLIVENHAIN-CARLSBAD MAIN TRANSMISSION MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 0 e 3 e 0 '1 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - -~~ ~~~ ~ LINE THAT COMES FROM THE ACQUEDUCT, COMES INT THE LA COSTA AREA AND FEEDS THE ENTIRE LA COS COMMUNITY. THIS RESERVOIR HAS BEEN IN THE PLANNING STAGES SINCE 1975. ITEM NO. 2 IS THE SQUIRES DAM 1 GENERATI STATION. AT OUR EXISTING SQUIRES DAM 1, THE DISTRICT THIS YEAR COMPLETED A CONNECTION WIT THE TRI-AGENCY PIPELINE THAT BRINGS SERVICE 1 THE DAM. AT THE PRESENT TIME, THE ENERGY IS DISSIPATED BY A FREE DISCHARGE INTO THE RESERVOIR POOL AND WE HAVE DEVELOPED A PROJEC REPORT THAT PROVIDES FOR AN ELECTRICAL GENERATING FACILITY UTILIZING THE FLOWS THAT NOW JUST DUMPED INTO THE DAM, AND THAT IS A N PROGRAM THAT THE BOARD HAS UNDERWAY SINCE FIS YEAR 1982-'83, WHICH WE ARE NOW IN. THIRD PROJECT IS THE TRI-AGENCY PIPELINE EXTENSION. THIS GOES BACK TO OUR ORIGINAL PROJECT PLANNING OF 1969 FOR A MAJOR PIPELINE THAT WAS BUILT BY THE COUNTY WATER AUTHORITY, VISTA AND OCEANSIDE, AND WE CAME WESTERLY TO LAKE CALEVERAS HILLS AREA, AND WE TERMINATED ( PIPELINE AT THAT LOCATION IN ORDER TO AWAIT F1 DEVELOPMENTS AND THE RIGHT OF WAY FOR THE MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 4 0 a 03 e * 0 0 1 I. I 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - REMAINDER OF THE REACH TO THE ELLERY RESERVOIR IN THE CITY OF CARLSBAD. THAT PIPELINE PROJECT NOW WILL GO ON THROUGH THE DISTRICT'S 1, 2, 3, 4 SUBDIVISIONS AND THEN WILL TIE INTO THE CITY OF CARLSBAD PROJECT THAT WILL BE FROM THE POWER LINE JUST THE WEST BOUNDARY OF QUAIL RIDGE AND THE ELLER RESERVOIR. ITEM NO. 4 IS SQUIRES DAM 2. THIS IS A 1 RESERVOIR IMMEDIATELY TO THE NORTH OF THE EXISTING SQUIRES DAM 1. THE WATER DISTRICT ACQUIRED THE PROPERTY IN 1972 AND WE ARE NOW DOING THE PRELIMINARY ENGINEERING STUDIES FOR THE IMPLEMENTATION OF THAT RESERVOIR TO PROVII APPROXIMATELY ONE THOUSAND ACRE FEET OF EMERGENCY LOCAL STORAGE FOR THE ENTIRE WATER DISTRICT AREA. PROJECT NO. 5 IS OUR SANTA FE RESERVOIR, AND IT IS LOCATED ON A HILL JUST TO THE SOUTI- THE DRAG STRIP AREA ON THE HIGH HILL ALONG SO OF PALOMAR AIRPORT ROAD, JUST OUTSIDE OF THE WATER DISTRICT'S MOST EASTERLY BOUNDARY, AND THIS IS A MAJOR REGULATING RESERVOIR THAT WIL PROVIDE THE GRAVITY FEED FLOW IN AN EMERGENCl AND PEAK FLOWS FOR ALL OF WHAT WE CALL THE MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 0 e + 0 0 e 1 * 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 HIGHER GRADIENT ALONG PALOMAR AIRPORT ROAD AN THE ENTIRE REACH OF THE AREA OF PALOMAR AIRPO THIS HEAVILY INDUSTRIALIZED AREA. THE TAP RESERVOIR, TRI-AGENCY PIPELINE RESERVOIR, SIX MILLION GALLONS GOING BACK AGA. AND IT RELATES TO JOB NO. 3 AND THAT IS A SIX MILLION GALLON RESERVOIR WHICH WILL BE BUILT ADJOINING THE EXISTING ONE MILLION GALLON WATl TANK. YOU CAN SEE THIS RESERVOIR FROM HIGHWAl 78 AS YOU LOOK TO THE SOUTH FROM WHERE THE TRI-CITY HOSPITAL IS. ITEM NO. 7 IS A SECOND 1.5 MILLION GALLOh RESERVOIR AT LA COSTA. THERE IS AN EXISTING 1 MILLION RESERVOIR AND THE SITE HAS ALREADY BEE ACQUIRED AND DEVELOPED FOR THE SECOND RESERVOI IT WILL BE TWO TANKS THERE FOR A TOTAL OF THRE MILLION GALLONS; AND, LASTLY, WE HAVE A RESERVOIR SITE DUE SOUTH OF THE TWO TANKS THAT ARE SOUTH OF PALOMAR AIRPORT OVERLOOKING THIS THIS AREA OVERLOOKS ALL OF THE OCEAN THERE, YO CAN SEE IT FROM INTERSTATE 5, YOU CAN SEE IT FROM LA COSTA. THE TWO TANKS SIT UP ON THE HILL JUST TO THE SOUTH OF IT. THERE IS ANOTHER AREA OF HIGH GROUND AT TI SAME ELEVATION AND THERE IS AN EIGHT MILLION ~~~ MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e -4 i 0 + 0 e e 1 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 GALLON RESERVOIR SCHEDULED FOR THAT SITE. TH EIGHT PROJECTS REPRESENT MOSTLY ELEVATED STOR OR EMERGENCY STORAGE. OF THE EIGHT PROJECTS, ONLY PROJECT NO. WHICH IS THE SQUIRES DAM COGENERATION STEM, A PROJECT NO. 3, WHICH IS THIS PIPELINE OF THE TAP EXTENSION, ARE PIPELINE PROJECTS, THE REMAINING SIX ARE ELEVATED STORAGE RESERVOIRS AND THESE PROJECTS, IN TOTAL, REPRESENT WHAT HAVE RECOMMENDED AS THE FIRST LEVEL FOR THE F YEAR PROGRAM OF IMPORTANT FACILITIES IN ORDER IMPROVE UPON OUR ENTIRE WATER SYSTEM DELIVERY CAPABILITY. THEY'RE INTENDED TO BE IN BALANCE WITH W WE DETERMINE -- WHAT WE INTERPRET AS THE DEVELOPMENT MODES OF OUR GIVEN AREAS OF OUR WATER DISTRICT AND THEY ALSO REPRESENT A BUILDING BLOCK WITH THE VARIOUS DEVELOPMENT PARCELS FROM THE STANDPOINT OF ACCESS AND FRO THE STANDPOINT OF ACQUISITION OF RESERVOIR SI THEMSELVES. AS AN EXAMPLE OF THAT, THIS PROJECT NO. IS IN THE HEART OF WHAT WE NOW CALL THE HUNT BROTHERS DEVELOPMENT, SO WE BELIEVE THAT IT'S VERY TIMELY TO THIS PROJECT, BEING A PART OF MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 e e 4 e e e 1 1 2 3 4 5 NEXT FIVE-YEAR PROGRAM, AND IT WIIL BE IN CONCERT THEN WITH WHAT WE BELIEVE WILL BE TH INITIAL DEVELOPMENT PHASES ONE IMPORTANT THING THAT YOU WILL NOTIC FROM THIS MAP AND THIS LISTING IS THAT THESE 6 7 8 9 10 11 12 13 14 15 16 17 1% 19 20 21 22 23 24 25 RESERVOIRS AND THESE PIPELINE PROJECTS AND T GENERATING STATION ARE BY AND LARGE INTENDED SERVE THE VARIOUS SECTORS OF THE DISTRICT. THEY ARE INTENDED TO BE FOR DISTRICT-WIDE BENEFIT. I THINK THAT CONCLUDES MY REMARKS, MR. CHAIRMAN, UNLESS THERE ARE QUESTIONS FROM TH BOARD OR THE AUDIENCE, THE PRESIDENT: LET ME ASK ANYONE FROM THE AUDIENCE IF THt ARE ANY QUESTIONS OF OUR DISTRICT ENGINEER. NOT, THANK YOU, JACK. THANK YOU VERY MUCH. MR. MEADOWS: MR. CHAIRMAN, I WOULD JUST LIKE TO ASK JACK THERE'S ANY CHANGE IN YOUR ESTIMATED TOTAL PROJECT COST, ANY CHANGE FROM YOUR FIGURES GIVEN IN THE PRELIMINARY BARTLE WELLS REPORT< MR. KUBOTA: AT THIS TIME, NO. IN THE TIME THAT THE BART1 WELLS REPORT WILL BE GOING TO ITS FINAL CONCLUSION, AS YOU KNOW, WE ARE CURRENTLY MAKING AN ASSESSMENT OF THE CITY OF CARLSBAD' WATER DEPARTMENT AND IN OUR LOOK AT THAT ARE/ MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4 0 e 1 04 0 4 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 la 19 20 21 22 23 24 25 - IT'S POSSIBLE THAT WE MAY HAVE EITHER ONE OR TWO ADDITIONAL PROJECTS, BUT THEY'RE IN THE MAGNITUDE OF PERHAPS AS MUCH AS SEVERAL MILL: DOLLARS, BUT IN THE OVERALL FRAMEWORK OF THI! PROJECT, WHICH IS - LET ME JUST CLEAR THE RECORD HERE AT MR. SWIRSKY'S SUGGESTION. WHEN I JUST MADE REFERENCE TO THE CITY WATER DEPARTMENT, I'M TALKING NOW ABOUT THE CITY'S CURRENT RETAIL SERVICE AREA. IT'S WHI WE CALL THE OLD VILLAGE AREA OF CARLSBAD. THAT'S THE AREA WE ARE NOW EVALUATING IN MOR' DETAIL. THIS PROJECT LIST HAS A CURRENT ESTIMATE VALUE OF 14.57 MILLION DOLLARS, OKAY, AND THA FIGURE AT THIS PRESENT TIME, WE BELIEVE, IS A REASONABLE ESTIMATE FOR THE PROJECTS THAT WE HAVE IN MIND. NOW, IN THE BARTLE WELLS REPORT, OF COUR THERE ARE ADJUSTMENTS BEING MADE, BECAUSE THI IS A FIVE-YEAR PROGRAM, AND THERE IS AN INCREMENT ADDED FOR WHAT IS PERCEIVED TO BE A INFLATION FACTOR, BUT THAT'S JUST A MATTER OF WHERE OUR NATIONAL ECONOMY GOES. DOES THAT ANSWER YOUR QUESTION? MR. MEADOWS: THANK YOU. MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 4 e e e 4 e e e 3 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 MR. KUBOTA: ANY OTHER QUESTIONS? THE PRESIDENT: THANK YOU, JACK, THANK YOU VERY MUCH. MS BONAS: JACK, I DID HAVE A QUESTION. ON ITEM 8, 'D' RESERVOIR, YOU HAVE IT EIGHT MILLION GALLONS? MR. KUBOTA: YES, MA'AM. MS BONAS: THAT WOULD BE THE LARGEST RESERVOIR IN THE DISTRICT TO SERVE WHAT AREA PARTICULARLY AND POPULATION? IS THAT HOW YOU FIGURE IT? WHY WOULD TH NEED AN EIGHT MILLION GALLON -- MR. KUBOTA: WELL, LET ME EXPLAIN. THE EIGHT MILLION GALLONS IS OUR INITIAL ASSESSMENT FOR THE NEXT FIVE YEARS. THE MAST PLAN REPORT THAT YOU ACTUALLY HAVE IN PLACE N CALLS FOR SIXTEEN MILLION GALLONS, BUT, IN OU OPINION, FOR THE BUILDOUT OVER A PERIOD OF TI I 18 19 20 21 22 23 24 25 AT THIS POINT, OUR RECOMMENDATION HAS BEEN TO SPLIT THAT UP INTO TWO TANKS AND BUILD ONE TA NOW AND THEN BUILD ANOTHER TANK LATER AT SOME POINT IN TIME. NOW, I WOULD RECOMMEND THAT IF WE DO THI WE ACQUIRE THE SITE JUST AS I TOLD YOU HERE AT LA COSTA, WHEN WE DID THE MASTER PLAN, WE BUILT -- WE BOUGHT AND PAID FOR A SITE FOR A MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE a I e e e I a e e 1 e I I 1 2 3 4 5 6 7 8 9 10 ONE MILLION GALLON -- 1.5 MILLION GALLON TANK THE GAS AND ELECTRIC COMPANY GAVE US THE PROPERTY NEXT-DOOR AND WE DEVELOPED THAT AS A SECOND SITE, AND NOW, AS A PART OF THIS PROPOSAL, WE WILL ADD NOW THE SECOND 1.5 MILL TANK. IT'S JUST LIKE, I GUESS, IF YOU BUILT HOME, AND, YOU KNOW, YOU BUILT THE FOUNDATION SOMETIME FOR FOUR BEDROOMS, BUT YOU ONLY PUT TWO BEDROOMS IN THERE NOW, THAT'S THE KIND OF THING. I I 11 12 13 14 15 16 17 18 19 20 I'LL GIVE YOU ANOTHER EXAMPLE. PROJECT 5, THAT'S A NINE MILLION GALLON TANK THAT'S PROPOSED AS PART OF THIS FIRST FIVE-YEAR PROGRAM, BUT, AGAIN, THE TOTAL REQUIREMENT TH IS EIGHTEEN MILLION GALLONS AND THE SAME THIN APPLIES THERE. I JUST PICKED A NUMBER THAT I THOUGHT TH THERE WAS ECONOMIC VIABILITY TO. YOU COULD BUILD THREE SIX MILLION GALLON TANKS TO GET T THE EIGHTEEN, SO BEARING IN MIND THAT THE I 21 22 23 24 25 ADOPTED MASTER PLANS THAT YOU HAVE SET CERTAI GOALS AS FAR AS WHAT YOU NEED ULTIMATELY, THA IN THIS FIRST FIVE YEAR PROGRAM, WE MADE THE RECOMMENDATION TO THE BOARD THAT YOU IN THIS CASE GO FOR HALF A LOAF, AND THAT ONE, GO FOR 1 MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e a e e e 4 0 e 0 s e 1 HALF A LOAF, AND, YOU KNOW, ON THAT BASIS, ANC 2 3 4 5 6 IN THAT WAY, THE FINANCIAL BURDEN UPON THE CURRENT RATEPAYERS AND THE CURRENT DEVELOPERS WOULD BE MORE RELATED TO WHAT IS NEEDED FOR A REASONABLE PERIOD OF TIME IN THE FUTURE, DOES THAT ANSWER YOUR QUESTION? 7 8 MS BONAS: IT MAKES SENSE. THANK YOU. JACK, THANK YOU. 9 THE PRESIDENT: THANK YOU, MARGARET. 10 HAS THERE BEEN ANY STUDY MADE AS TO THE 11 MR. KELLY: I HAD A QUESTION. 12 13 14 15 16 17 18 19 20 21 POSSIBILITY OF INCREASING THE CAPACITY OF SQUIRES DAM NO. 2 RATHER THAN INCREASING THE SIZE OF SOME OF THESE TANKS, BECAUSE YOU GOT ALL IN ONE PLACE, AND YOU'RE GOING TO PUT -- YOU'RE GOING TO MAKE SOME MONEY OUT OF THAT I ELECTRICITY THAT'S DEVELOPED? MR. KUBOTA: OKAY, INSOFAR AS THE -- LET'S CALL IT THE BA DESIGN CONCEPT, ALL RIGHT, THESE ELEVATED STORAGE TANKS THAT YOU SEE, IN FACT, ON VIRTUALLY EVERY HILL AROUND HERE, ONE OF THE 22 I PURPOSES OF THOSE ARE TO HAVE IN THE IMMEDIAT 23 24 25 NEIGHBORHOOD SOME ELEVATED EMERGENCY STORAGE CAPABILITY, SO THAT, SAY, IF BETWEEN HERE ANC SQUIRES DAM, IF YOU HAD SOME KIND OF AN OUTAE MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 a e a 4 e 05 a 0 a ;r 1. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ~~~ OVER HERE, THEN THIS AREA CAN STILL SURVIVE. I GUESS ANOTHER WAY OF PUTTING IT IS WE COULD GO OVER TO SAN MARCOS, FOR EXAMPLE, AND BUILD A BIG FIFTY MILLION GALLON RESERVOIR ON HILL, SAY, EIGHT HUNDRED FEET AND THAT WILL SERVE EVERYBODY IN THE WHOLE AREA. WELL, FRO) THE STANDPOINT OF DESIGN OF AN URBAN WATER SYSTEM AS OPPOSED TO, SAY, AN AGRICULTURE ARE) THAT WOULD NEVER FLY BECAUSE YOU TAKE THESE AREAS HERE WHERE THEY HAVE INTENSIVE URBAN US) AND WANT FIRE PROTECTION ALONE, ALL YOU NEED ONE RUPTURE OVER HERE AND IT'S GONE. THEN TH ENTIRE COMMUNITY RUNS OUT OF WATER. NOW, WE ARE FORTUNATE WE HAVE SQUIRES DA HERE AND PROPOSED 2. IT'S SITTING AT ELEVATI 500. OKAY, WELL, AS FAR AS GRAVITY FEED, THA GRAVITY FEED FROM THOSE TWO DAMS BASICALLY WI TAKE CARE OF EVERYBODY PARALLELING THE OCEAN, SAY, A COUPLE OF MILES, AND THAT'S IT. ALL 0 THE AREA IN THE BACK, ALL OF THE HIGH AREA, Y SEE, COULD NOT TAKE SERVICE FROM SQUIRES DAM. THERE WOULD BE A PUMPING MODE, AND THAT IS TH REASON WHY LA COSTA HIGH RESERVOIR -- LA COS1 ELEVATION 700, THIS SANTA FE RESERVOIR, THIS NINE MILLION, THAT'S ELEVATION 700 AND MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e a 0 e 3 e e a 3 e 1 2 3 4 5 6 7 8 THESE TWO HIGH TANKS ARE THE TANKS THAT WILL PROVIDE YOU WITH THE WATER SERVICE FOR ALL OF THIS HIGH AREA AROUND THE AIRPORT AT AN ELEVATION THAT YOU CAN'T GET FROM SQUIRES DAM OR 2. MR. KELLY: NOW, THAT MAKES GOOD SENSE, BUT HAVE WE GOT TH I LAND FOR EACH ONE OF THOSE EXTRA TANKS NOW OR WE HAVE TO ACQUIRE THAT? IS THAT IN THIS i I 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 REPORT? MR. KUBOTA: THE COST FACTOR FOR THE ACQUISITION OF THE SITES ARE IN THE PROJECT AS FAR AS BUDGETING PURPOSES ARE CONCERNED. THE ANSWER IS NO, WE HAVE NOT ACQUIRED EITHER 5 AND 8, BUT WE'RE ACTIVELY NEGOTIATING FOR SITE 1 AT LA COSTA, THE HIGH RESERVOIR, AND, OF COURSE, SITE 6. PROJECT 6, THAT'S MR. CEDRIC SANDERS' GROUP. REMEMBER, WE STARTED OUT WITH MR. ROY WARD ON THAT, AND, OF COURSE, WE HAVE, AS YOU KNOW, THE SQUIRES DAM 2 SITE. WE'VE HAD THAT FOR ELEVEN YEARS NOW, SO THAT WAS ONE OF OUR MORE FORTUNATE MOVES MR. KELLY: OKAY. THE PRESIDENT: ARE THERE ANY FURTHER QUESTIONS OF JACK? THANK YOU, JACK, NOW, I WOULD LIKE TO CALL ON THE DISTRI( I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 e e L 0 e a 1 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - ACCOUNTING OFFICER, OUR CONTROLLER, TOM BRAMMELL. MR. BRAMMELL: THANK YOU. I WILL ALSO FOLLOW BASICALLY THE TEXT THAT'S BEEN PROVIDED YOU, CONSIDERATION HAS BEEN GIVEN TO MANY FACTORS IN THE REVIEW OF EXISTING DISTRICT POLICIES, OPERATIONS AND CHARGES. THE MORE SIGNIFICANT ITEMS HAVE PREVIOUSLY BEEN DESCRI AND INCLUDE THE BARTLE WELLS REPORT AND THE WATER SERVICE AGREEMENT WITH THE CITY, AFTER CONSIDERATION OF THE ALL FACTORS, THE STAFF RECOMMENDS TO THE BOARD THE FOLLOW1 ITEMS : WATER RATES: THE WATER SERVICE CALLS FO ADOPTION OF UNIFORM WATER RATES DISTRICTWIDE. THE STAFF OF THE TWO ENTITIES ARE CURREN WORKING ON BUDGET INFORMATION WHICH WILL REFL THE REORGANIZED ENTITIES AND BASED ON THE REVISED BUDGET DATA, APPROPRIATE RATES WILL B RECOMMENDED TO THE BOARD. THE COST OF WATER TO THE DISTRICT IS SCHEDULED TO INCREASE ON JULY 1 BY 21.5 PERCE BARTLE WELLS HAS RECOMMENDED THAT SOME COSTS THE CAPITAL IMPROVEMENT PROGRAM BE FUNDED BY MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 B e 0 0 3 0 e e 1 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - ___ A WATER RATE FACTOR. STAFF RECOMMENDATION WI BE THAT THE BOARD INCLUDE BOTH INCREASE IN WA COST AND COMMITMENT TO CAPITAL FACILITIES IN WATER RATE. AGRICULTURAL REBATES - THE AGRICULTURAL REBATES RECEIVED BY THE DISTRICT WILL BE PASS ALONG TO THE CITY FOR DISTRIBUTION TO THOSE QUALIFYING CUSTOMERS. IT IS STAFF'S RECOMMENDATION THAT THESE CREDITS BE PASSED ALONG AT THE TIME THE DISTRICT RECEIVES THE CREDIT FROM THE COUNTY WATER AUTHORITY. NEW DEVELOPMENT APPROVALS: THIS AREA IS BEING CONSIDERED IN THE IMPLEMENTATION PHASE THE WATER SERVICE AGREEMENT. CAPITAL IMPROVEMENTS: A MASTER PLAN IS BEING READIED FOR BOARD CONSIDERATION BY THE DISTRICT ENGINEER. THE COMBINATION OF THE MASTER PLAN AND THE RECOMMENDED FINANCING PLA WILL ALLOW THE DISTRICT TO MEET THE NEEDS IMPOSED BY THE CONTINUED POPULATION INCREASE THE DISTRICT AREA. MAJOR FACILITIES CHARGE: THERE ARE TWO MAJOR FACILITIES CHARGES RECOMMENDED FOR BOARD ADOPT I ON. 1. A DIRECT CONNECTION SURCHARGE OF FIV ~~~~ ~ ~~ ~~~ MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 j - - 23 HUNDRED FIFTY DOLLARS TO BE LEVIED AT THE TIME OF BUILDING PERMIT ON AN E.QUIVALENT DWELLING UNIT BASIS TO BE IMPLEMENTED JULY 1ST. THIS CHARGE WILL BE FOR THE ISOLATED LOT WHICH IS BEING DEVELOPED AND IS BENEFITED BY THE EXISTING SYSTEM, BUT FOR WHICH THERE HAS BEEN NO PAST CONTRIBUTION IN TERMS OF 'FACILITIES OR FEES, 2, SECOND ITEM IS A MAJOR FACILITIES CHARGE OF EIGHT HUNDRED EIGHTY DOLLARS TO BE LEVIED AT THE TIME OF A BUILDING PERMIT ON AN E.D.U. BASIS TO BE IMPLEMENTED JULY 1. THIS CHARGE WILL PROVIDE FOR THE REVENUE CONFIGURATION NECESSARY FOR THE FINANCING OF THE PROJECT IDENTIFIED IN THE IMPROVED MASTER PLANS. IT IS RECOMMENDED THAT THE DEFINITION OF E.,D.U. ADOPTED BY THE BOARD BE CONSISTENT WITH THE DEFINITION USED BY THE CITY. A copy OF THE CITY E.D.U. IS ATTACHED. METERED RATES: THE METHODOLOGY FOR THE ESTABLISHMENT OF WATER RATES FOR BOTH CONSUMPTION AND READY-TO-SERVE ARE THE SUBJECT I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 1, e I e 4 e I 1 2 3 4 5 OF THE IMPLEMENTATION PHASE OF THE WATER SERV AGREEMENT. DISTRICT RESERVES: STAFF RECOMMENDS NO SPECIFIC RESERVE LEVELS AS FORMAL BOARD POLIC' BUT THE RECOMMENDED RESERVE LEVELS FROM THE I 6 7 8 9 10 BARTLE WELLS REPORT BE ONE OF THE GUILDELINES CONTINUING FISCAL MANAGEMENT. COLLECTION OF FEES: THE WATER SERVICE AGREEMENT PROVIDES THAT MAJOR FACILITIES FEES WILL BE COLLECTED BY THE CITY ON BEHALF 1 I 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THE DISTRICT. THAT CONCLUDES MY FORMAL REPORT. THE PRESIDENT: THANK YOU, TOM. ARE THERE ANY QUESTIQNS BY ANYONE IN THE AUDIENCE OR ON THE BOARD? MR. DODD: WHEN DOES THIS BECOME EFFECTIVE FOR THE MAJOR FACILITIES FEES? IS THAT EFFECTIVE RETROACTIVELY LIKE PROPOSED OR WILL THAT BE JULY, ANY PERMITS ISSUED AFTER JULY lST? MR. BRAMMELL: OF COURSE, THE BOARD WILL ADOPT WHATEVER T FINAL DECISION IS, BUT AT THIS POINT IN TIME, IT'S STAFF'S RECOMMENDATION THAT THOSE FEES B EFFECTIVE JULY 1ST. THE PRESIDENT: MAY I HAVE YOUR NAME? MR. DODD: PHIL DODD, WITH D.S.L. SERVICE COMPANY. I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I e a a 4 0 e 1 d 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 THE PRESIDENT: THANK YOU. MR. MEADOWS: MR. CHAIRMAN, JUST AS A POINT OF INFORMATIOI MR. PHILIP E. DODD, I ASSUME THE SAME INDIVIDUAL -- MR. DODD: RIGHT. MR. MEADOWS: -- WROTE A LETTER ADDRESSING THIS SUBJECT An THE LETTER IS DATED MAY 18, 1983, AND IN THIS LETTER, HE DOES EXPRESS HIS VIEW THAT THE CHARGES NOT BE MADE RETROACTIVE, AND P MIGHT d THAT THE BARTLE WELLS REPORT DOES RECOMMEND TI THE CHARGES BE RETROACTIVE. HOWEVER, STAFF H, A DIFFERENT OPINION AND IS RECOMMENDING THAT THEY NOT BE RETROACTIVE, BUT BE EFFECTIVE AS JULY 1. THE PRESIDENT: THAT'S ONE OF THE ITEMS THAT WE HAVE TO CONSIDER. MR. MEADOWS: I DO HAVE MR. DODD'S FORMAL LETTER AS A PAR OF THE OFFICIAL RECORD, THE PRESIDENT: FINE, THANK YOU. MR. WILLIAM SAVAGE: MAY I ASK A COROLLARY QUESTION? IT SPEAKS OF RETROACTIVITY TO PROJECTS THAT ARE EITHER APPROVED OR CLEARLY BEING PROCESSED 23 24 BEFORE JULY 1, '83. I GUESS THE STAFF WOULD BE EXEMPT ALSO; IS THAT CORRECT? 25 RECOMMEND THEN THAT THAT SECOND CATEGORY WOULI MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE a 4 e e e 4 e e a q e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 MR. BRAMMELL: IT'S ANTICIPATED IN OUR RECOMMENDATION THAT THE TIMING -- THE CRITICAL TIME IS THE TIME TI- BUILDING PERMIT IS ACTUALLY DRAWN AS OPPOSED 7 BARTLE WELLS REPORT ADDRESSES SOME OTHER TIME WHEN MASTER PLANS ARE SUBMITTED AND APPROVED L THAT SORT OF THING. THE STAFF FEELS THAT IT WOULD BE BETTER ADMINISTERED IF WE COLLECTED THE FEE FOR THE MAJOR FACILITIES AT THE SAME TIME THAT ALL OTt FEES OF A LIKE NATURE ARE BEING COLLECTED, SCHOOL FEES, PARK FEES, AND THE WHOLE ARRANGEMENT OF COLLECTING FEES FOR PUBLIC FACILITIES. WE'D LIKE TO BECOME A PART OF TH, PROCESS AND NOT ISOLATE ONE ACTIVITY FROM ANOTHER. MR. WILLIAM SAVAGE: SO YOU'RE SAYING IRRESPECTIVE OF WHETHER A PROJECT HAS BEEN APPROVED OR NOT, THAT'S NOT THE ISSUE. IT'S WHETHER THE PERM1 HAVE BEEN PULLED; THAT WOULD BE THE TRIGGER? MR. BRAMMELL: YES. THE PRESIDENT: YOUR NAME, SIR? MR. WILLIAM SAVAGE: WILLIAM SAVAGE. THE PRESIDENT: THANK YOU, SIR. MR. HELLMAN: MY NAME IS DOUG HELLMAN, I'M FROM RICK ENGINEERING. I HAVE A LETTER FROM BOB LAB, k MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4 e e e 'I e e e i e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - COULDN'T BE HERE TODAY. I WOULD LIKE TO -- I HAVE COPIES THAT I WOULD LIKE TO PASS OUT, ANI BOB HAS ASKED IF IT WOULD BE POSSIBLE FOR THE BOARD TO CONTINUE THEIR DECISION FOR A PERIOD TWO WEEKS TO A MONTH TO ALLOW FURTHER INPUT F! SOME OF OUR CLIENTS WHO HAVE PROPERTY IN THE AREA WHO HAVE NOT HAD A CHANCE TO BE AWARE OF THE POSSIBLE IMPACT OF THIS PROJECT. THE PRESIDENT: YOU'RE DOUG HELLMAN? MR. HELLMAN: DOUG HELLMAN, YES. THE PRESIDENT: THANK YOU. RICK ENGINEERING, MR. HARTER: MY NAME IS JAMES HARTER, I'M WITH THE HUNTINGTON BEACH COMPANY. WE OWN ONE HUNDRED ACRES ON PALOMAR AIRPORT ROAD. I WOULD LIKE ENDORSE RICK ENGINEERING'S RECOMMENDATION THA YOU CONTINUE THIS SO WE HAVE TIME TO STUDY IT WE GOT THE STUDY YESTERDAY, AND WE'VE JUST BE ABLE TO LOOK AT IT VERY BRIEFLY AND WE DON'T FULLY UNDERSTAND ALL OF THE IMPLICATIONS OF T MAJOR FACILITIES CHARGE. WE DON'T HAVE AN OPINION SPECIFICALLY ON ANY ONE ITEM UNTIL WE HAVE TIME TO STUDY IT FURTHER. SOME OF THE QUESTIONS WE HAVE THOUGH WHICH -- WE'RE NOT ADVOCATING ANY POSITION RI MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I e @ e 4 07 e e e 1 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 NOW, BUT SOME OF THE THINGS WHICH WE THOUGHT SHOULD HAVE BEEN ADDRESSED IN THE THE STUDY WHICH WE DIDN'T SEE WAS THAT IF A FACILITY BENEFITS ALL USERS IN THE DISTRICT, SHOULDN'T COSTS OF THE FACILITY BE BORNE BY ALL OF THE WATER USERS IN THE DISTRICT? FOR EXAMPLE, THE COGENERATION PLANT, I ASSUME THAT WOULD BE GENERATING ELECTRICITY F( SALE TO THE ELECTRIC COMPANY AND SHOULDN'T TH( REVENUES, IF THOSE REVENUES COME INTO THE GENERAL REVENUES OF THE WATER DISTRICT, SHOULDN'T THE COST OF THE IMPROVEMENTS BE BORl BY ALL WATER USERS SINCE THEY BENEFIT FROM THI REVENUES? ALSO, IN THE REPORT, IN THE FORECASTED REVENUES, WE DIDN'T SEE ANY OF THE REVENUES F THE COGENERATION PLANT BEING FORECASTED IN THERE, IN ARRIVING AT A CASH FLOW ANALYSIS OF IT. ALSO, I'M NOT SURE IN THE STUDY HOW THE CONSTRUCTION COSTS ARE DETERMINED BY YEAR, WHETHER IT'S ACTUAL CONSTRUCTION COST THAT'S BEING LAID OUT OR WHETHER IT WAS BEING DONE BY ASSESSMENT DISTRICT AND THEN THE AMORTIZEC PAYMENT ON THAT DISTRICT, IF THAT WAS BEING MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4 e e e 4 e e a 1 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - SHOWN AS THE CONSTRUCTION COST BY AN ANNUAL RATE. OKAY, ONE OF THE OTHER PROBLEMS THAT WE I WAS THAT THE BARTLE WELLS REPORT INDICATES THI THE STORAGE RESERVOIRS ARE TO BENEFIT THOSE PEOPLE WHO CAN USE THE INTERRUPTABLE SERVICE RATES, PRIMARILY AGRICULTURAL, AND, YET, THE AGRICULTURAL USERS DON'T BEAR ANY COSTS OF TH FACILITIES FOR THE STORAGE. NOW, THERE'S A CONTRADICTION BETWEEN THA AND WHAT MR. KUBOTA SAID, IN THAT HE SAID THA THE RESERVOIRS WERE FOR EMERGENCY SITUATIONS, WHICH WOULD WOULD BENEFIT THE ENTIRE DISTRICT AND I'M NOT SURE NOW WHETHER IT'S JUST FOR TH AGRICULTURAL USERS OR WHETHER IT'S FOR ALL US IN THE DISTRICT. I THINK THAT SHOULD BE ADDRESSED ALSO. THE OTHER THING I WANT TO BRING OUT IS WE'RE TALKING ABOUT EQUIVALENT DWELLING UNITS E.D.U.'S, EIGHT HUNDRED DOLLARS OR EIGHT HUNDRED EIGHTY DOLLARS, AND THAT SOUNDS LIKE SMALL AMOUNT OF MONEY, BUT FOR OUR SPECIFIC PROPERTY, WHICH IS A HUNDRED AND TEN ACRES, WHICH ISN'T THE LARGEST TRACT OF LAND. SMALL LANDMARK OWNS CONSIDERABLLY MORE. COLWELL Ob MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e c e e 0 1 e e 0 1 e 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 la 19 20 21 22 23 24 25 - FAR MORE THAN WE DO, BUT JUST WITH OUR ONE HUNDRED AND TEN ACRES, THAT REPRESENTS A COST US OF OVER SIX HUNDRED THOUSAND DOLLARS ON AN EQUIVALENT DWELLING UNIT BASIS. IF YOU TAKE THAT -- IF YOU TAKE THE CARLSBAD ZONING, WHICH PERMITS FIFTY PERCENT C YOUR LAND USAGE TO BUILDINGS, AND YOU PRORATE THAT UPON THIS EQUIVALENT DWELLING UNIT, THAT ADDS ALMOST TEN THOUSAND DOLLARS PER ACRE TO 1 COST OF A DEVELOPMENT, AND IF YOU PUT IT ON Al ACRE BASIS OR A SQUARE FOOTAGE BASIS, THE TEN THOUSAND DOLLARS PER ACRE IS QUITE A CONSIDERABLE AMOUNT OF MONEY, AND IT CAN REAL1 AFFECT THE ECONOMICS OF THE ENTIRE INDUSTRIAL DEVELOPMENT AREA. I THINK THIS STUFF SHOULD E LOOKED AT IN YOUR DECISION ON IMPLEMENTING A MAJOR FACILITIES CHARGE AND AS A RESULT OF THI TYPES OF QUESTIONS, WE ENDORSE RICK ENGINEERING'S RECOMMENDATION THAT YOU CONTINUI THIS FOR TWO TO FOUR WEEKS SO THAT WE CAN STUl IT FURTHER. THE PRESIDENT: THANK YOU, SIR, FOR YOUR INPUT. ALL OF THESE THINGS WILL BE CONSIDERED, OF COURSE, AP WILL ALL BE TAKEN UNDER ADVICE IN THE FUTURE.. ARE THERE ANY OTHERS IN THE AUDIENCE WHO MARTHA L, DIX - CERTIFIED SHORTHAND REPORTING SERVICE a 4 a 0 a I e 0 1 e 1 2 3 4 5 6 7 WISH TO MAKE A STATEMENT? MR. ALESHIRE: YES, MR. CHAIRMAN, I'D LIKE TO MAKE A FEW COMMENTS ON THE REPORT AS THE CITY MANAGER, CITY COUNCIL HAS NOT REVIEWED THIS, SO I'M NO SPEAKING ON BEHALF OF THE CITY COUNCIL, BUT, ONCE, I'D LIKE TO SUPPORT WHAT YOU'RE TRYING DO, AND MY COMMENTS ARE MEANT IN SUPPORT OF Y I 8 9 10 11 I 12 13 14 15 16 17 18 19 20 21 22 23 24 25 PROPOSAL, BUT THERE ARE SOME ISSUES THAT I TH NEED TO BE POINTED OUT. FIRST, ON THE WATER RATES THEMSELVES, WH MR. MEADOWS HAS RECOMMENDED BE HELD OVER SO TI I OUR TWO STAFFS, THE CITY AND THE WATER DISTRI CAN WORK OUT AN INTEGRATED BUDGET AND THEN CO BACK WITH A SPECIFIC RECOMMENDATION ON WATER RATES. WE DO NEED TO DO THAT. WE'RE WORKING IT NOW, AND I BELIEVE THAT WE WILL BE ABLE TO HAVE SOME RECOMMENDATIONS TO YOU BY JULY 1, BI IT'S POSSIBLE THAT YOU WON'T BE ABLE TO ADOPT THAT RATE INCREASE BY JULY 1. I WE HAVE LOOKED AT IT FROM THE STANDPOINT THE CITY, AND WE BELIEVE THAT IF IT HAS TO SL A MONTH OR TWO, WE CAN COVER THE ADDITIONAL FORTY OR FIFTY THOUSAND DOLLARS A MONTH OUT 01 RESERVES AND WILL NOT BE IN A DEFICIT BUDGET, BUT THAT'S ON€ OF THE ISSUES THAT NEEDS TO BE I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e a e e e 08 c e e 0 1- 0 1 2 3 4 5 6 7 EXAMINED BEFORE YOU GET A FINAL RECOMMENDATIOI' SO I'M ASSUMING THAT YOU DO INTEND TO FOLLOW - RECOMMENDATION OF MR. MEADOWS AND STUDY THE WATER RATE ISSUE IN A LITTLE MORE DETAIL. NOW, TURNING TO THE CAPITAL FACILITIES CHARGE, I'D LIKE TO JUST REVIEW THE FACTS THA BACK IN 1981, THE CITY DID COMMISSION A STUDY I 8 9 10 11 THE RYDER REPORT, WHICH POINTED OUT THAT THER Is A CRITICAL NEED WITHIN THE ENTIRE COMMUNIT' THE WATER DISTRICT AND THE CITY, FOR DEVELOPMI OF A LONG-RANGE CAPITAL IMPROVEMENT PROGRAM, 1 I 12 13 14 15 16 17 TO DEVELOP THE FINANCING TO PAY FOR THE STRUCTURES AND FACILITIES THAT NEED TO BE BUI~ TO SUPPORT THE FUTURE POPULATION, SO THE CITY STRONGLY IN SUPPORT OF THAT PROGRAM, YOUR BARTLE WELLS REPORT ALSO RECOMMENDE IT AND RECOMMENDED A FINANCING PLAN WHICH IS I 18 19 20 21 22 23 24 25 BASICALLY BEFORE YOU NOW. THE EIGHT HUNDRED AND EIGHTY DOLLAR CHAR1 THAT WAS RECOMMENDED TO SUPPORT THIS FIVE-YEA PLAN WAS BASED PRIMARILY ON A CASH FLOW ANALYSIS, WHICH SAID YOU WOULD NEED A CERTAIN AMOUNT OF MONEY EACH YEAR IN ORDER TO PAY OFF THE BONDS, THE INTEREST AND PRINCIPAL ON THE BONDS THAT WILL BE NEEDED TO BUILD THESE I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I e 0 0 I a 0 a $ 0 1 FACILITIES, FIFTEEN MILLION DOLLARS WORTH OF I 2 3 4 5 IMPROVEMENTS, AND I HAVE NO QUARREL WITH THAT ARGUMENT, BUT I WOULD LIKE TO POINT OUT THAT THINK THERE IS A NEED FOR A MORE DETAILED LONG-RANGE PLAN, WHAT I WOULD CALL A 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 BUILD-OUT PLAN. MR. KUBOTA HAS POINTED OUT THAT THIS IS WHAT HE THINKS WE NEED TO DO IN THE NEXT FIVE YEARS, BUT I WOULD LIKE TO SEE WHAT NEEDS TO I DONE IN THE NEXT TWENTY-FIVE YEARS, THE FULL DEVELOPMENT OF THE CITY AND WHAT WILL IT COST WELL, WE DON'T KNOW, BUT IT'S PROBABLY Mm LIKE FIFTY OR SIXTY MILLION DOLLARS INSTEAD 0 FIFTEEN MILLION DOLLARS, AND I THINK WHAT WOUl BE DESIRABLE IS TO PRICE OUT THE LONG-RANGE BUILD-OUT PROGRAM, AND THEN TRANSLATE THAT IN' A FINANCING PROGRAM WHERE YOU MIGHT SAY EIGHT HUNDRED AND EIGHTY DOLLARS PER E.D.U. IS THE CORRECT NUMBER, BUT MAYBE IT ISN'T THE CORRECl NUMBER, BECAUSE MR. WELLS DIDN'T LOOK AT IT FF THAT POINT OF VIEW. HE ONLY LOOKED AT IT FROM THE POINT OF V: OF WHAT WILL IT TAKE TO BUILD OUT THIS FIVE-Yk PROGRAM, SO I KNOW THIS CAN'T BE DONE BEFORE JULY 1, AND I'M NOT URGING YOU TO DELAY YOUR I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4 0 e 4 e o 0 1 e 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 r ACTION, I'M ONLY SAYING THAT A FOLLOW-ON STUD WHICH WILL PROBABLY TAKE ABOUT A YEAR, SHOULD MADE TO DETERMINE WHAT THE FULL CAPITAL IMPROVEMENT PROGRAM WILL BE AND THEN MORE TIM SPENT IN DETERMINING HOW YOU'RE GOING TO PAY FOR IT, THE CAPITAL OR MAJOR FACILITIES CHARGE 0 EIGHT HUNDRED EIGHTY DOLLARS PER E.D.U. IS ON ONE PART OF THE FINANCING PROGRAM. YOU WILL ALSO HAVE WATER SALES, WHICH WO BE USED TO PRODUCE MONEY TO PAY FOR THE CAPIT IMPROVEMENT PROGRAM. MR. WELLS SUGGESTS TEN PERCENT SURCHARGE THE WATER WHOLESALE RATE MIGHT BE AN APPROPRI NUMBER. WELL, WE NEED TO DISCUSS THAT AND MAKE A DETERMINATION. THERE ARE OTHER REVENUES, PERHAPS THE REVENUES FROM COGENERATION OR FROM PROPERTY TAXES, OR OTHER REVENUES AVAILABLE TO THE DISTRICT CAN BE USED TO FINANCE THAT CAPITAL IMPROVEMENT PROGRAM. I HAVE A FEELING THAT THE EIGHT HUNDRED I EIGHTY DOLLAR CHARGE WILL BE -- WILL GENERATE MORE MONEY THAN MR. WELLS ESTIMATED, BUT I DO MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4- 0 e 0 4 e 0 I Y I* r 1 2 3 4 NOT HAVE ANY FACTS TO GIVE YOU ON THAT. I NOT THAT HE ESTIMATED THAT WE MIGHT HAVE SOMETHING LIKE TWO HUNDRED E.D.U.'S PER YEAR. WELL, I THINK WE'RE GOING TO HAVE MORE LIKE A THOUSAND I 5 6 7 E.D,U.'S PER YEAR, BUT THAT'S ONE OF THE THING THAT WE NEED TO LOOK AT IN TERMS OF BUILDING THIS LONG-TERM FINANCING PROGRAM, AND THE CITY I 8 9 10 11 12 HAS NOT HAD AN OPPORTUNITY TO REVIEW THAT, AND IN FACT, THERE IS NOT MUCH DATA, OTHER THAN WHAT'S IN THIS BARTLE WELLS REPORT THAT WE COI LOOK AT, SO I WOULD URGE YOU TO CARRY ON THIS LONGER RANGE STUDY AND THE CITY WILL WORK WIT1 I 13 14 YOU IN TRYING TO DEVELOP THAT. IN TERMS OF OTHER SPECIFIC ISSUES, IT IS 15 16 RECOMMENDED HERE AS A FIVE HUNDRED DOLLAR CHAl FOR THOSE PROPERTIES WHICH WOULD BENEFIT FROM 17 18 19 20 21 22 WATER DEVELOPMENTS THAT ARE ALREADY IN PLACE. I'M THINKING OF VACANT LOTS IN THE SERVI AREAS WHERE A VACANT LOT DID NOT PAY FOR THE COST OF WATER FACILITIES, BUT WOULD BE ALLOWE TO HOOK ON AT NO CHARGE. NOW, THIS REPORT RECOMMENDS THAT THAT 23 NUMBER OF REIMBURSEMENT AGREEMENTS WITHIN VAC 25 THE CITY OF CARLSBAD HAS IN EXISTENCE A 24 VACANT LOT BE CHARGED FIVE HUNDRED DOLLARS. MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4 e e a 4 09 0 a e I a 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - ~ LOTS WITHIN THE CITY SERVICE AREA WHERE THAT LANDOWNER WOULD BE REQUIRED TO PAY TO THE CITY AN AMOUNT OF MONEY. IT MIGHT BE FIVE HUNDRED DOLLARS, IT MIGHT BE MORE OR LESS, DEPENDING C WHAT IT COST TO BUILD THE WATER SYSTEM ON THAl STREET. WE BELIEVE THAT THOSE CASES SHOULD BE EXEMPT FROM YOUR PROPOSED FIVE HUNDRED DOLLAR: PER LOT CHARGE, AND WE BELIEVE THAT COULD BE WORKED OUT SOMETHING ALONG THE LONG LINE THAT YOUR CHARGE WOULD APPLY WHERE NO OTHER REIMBURSEMENT AGREEMENT WAS IN EXISTENCE, BUT THERE WAS AN EXISTING REIMBURSING AGREEMENT, THEN THE EXISTING AGREEMENT WOULD APPLY, SO I' WOULD BE AN EXCEPTION TO THE GENERAL RULE. OKAY, SO THAT BASICALLY IS THE POSITION THAT I THINK THE CITY WOULD TAKE. THE CITY COUNCIL WISHES TO REVIEW THIS WHEN ITnS AVAILABLE AND MAY HAVE OTHER RECOMMENDATIONS MAKE. ONE THING THAT SHOULD BE POINTED OUT, YO PROPOSED THAT THE FEE BE COLLECTED WHEN THE BUILDING PERMIT IS TAKEN OUT. I THINK THAT'S GOOD WAY TO DO IT. IT'S A VERY PRECISE POINT TIME. I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4 e * 0 c e a a 1 * 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 THERE MAY BE SOME DEVELOPMENTS WHICH ARE A STAGE WHERE YOU WANT TO GIVE SOME CONSIDERATION TO GRANDFATHERING THEM IN, BUT PROBABLY, IF YOU'RE GOING TO DELAY IMPLEMENTATION, THE DEVELOPERS SHOULD BE ASKE[ TO MAKE A SPECIFIC REQUEST FOR A SPECIFIC PROJECT, SO YOU CAN GIVE CONSIDERATION TO A VARIANCE OR A GRANDFATHERING PROVISION. IT'S ALSO A PROBLEM WHEN YOU IMPLEMENT A NEW POLICY OR RATE ON HOW YOU TREAT THE PEOPL THAT ARE IN THE PIPELINE WHO ARE PART WAY IN , PART WAY OUT, BUT, AS FAR AS THE CITY IS CONCERNED, WE HAVE RESEARCHED WHETHER OR NOT THE CITY COULD COLLECT THIS FEE. MY OPINION THAT THE CITY CAN COLLECT THE FEE. WE WILL NEED FROM THE BOARD A RESOLUTION AN ORDINANCE WHERE YOU ADOPT THE FEE, AND WE WOULD LIKE TO ASK YOU TO PRESENT TO THE CITY AGREEMENT. IT COULD BE A VERY SIMPLE ONE-PAG AGREEMENT WHICH SAYS THAT THE CITY WILL COLLE AS PART OF THE BUILDING PERMIT PROCESS AND CREDIT TO THE CAPITAL IMPROVEMENT FUND THE MONEYS THAT ARE COLLECTED THIS WAY. MR. SWIRSKY AND MR. BIONDO NEED TO GET 7 WORDING WORKED OUT, BUT FROM AN ADMINISTRATIL MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I- e e e 4 e 0 e 4 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 POINT OF VIEW, I SEE NO PROBLEM WITH ME BEING THE COLLECTION AGENT. ONE OTHER POINT HERE -- OKAY, THAT CONCLUDES WHAT I HAVE TO SAY AT THIS TIME. THE PRESIDENT: THANK YOU, FRANK. MR. ALESHIRE: DO YOU HAVE ANY QUESTIONS ABOUT THE CITY'S POSITION HERE? THE PRESIDENT: I'M GOING TO OFFER THAT FOR ANYONE IN THE GROUP HERE. IF THEY WOULD LIKE TO ASK ANY QUESTIONS ( FRANK ALESHIRE, OUR CITY MANAGER, NOW IS THE TIME TO DO IT. THE MAIN PURPOSE AND PRIME REASON FOR A PUBLIC HEARING IS EXACTLY WHAT I HAPPENING HERE NOW, THAT IS, THE INPUT OF ALL CONCERNED PERSONS AND ALL OF THE INFORMATION GIVEN TO US BY ALL OF YOU TODAY WILL BE CONSIDERED VERY CLOSELY IN THE VERY NEAR FUTU PAUL, DID YOU WANT TO SAY SOMETHING? MR. SWIRSKY: YES, MR. CHAIRMAN, I WANTED TO POINT OUT TH IN THE LITTLE SCRIPT THAT I GAVE YOU, THE MAT OF CLOSING THE PUBLIC HEARING AND TAKING THE EVIDENCE UNDER ADVICE. YOU'VE HAD A COUPLE C REQUESTS FOR CONTINUATION OF THE PUBLIC HEAR1 THIS WOULD NOT UPSET YOUR PRESENT SCHEDULE IF YOU HAD THE CONTINUED PUBLIC HEARING ON JUNE MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I 1 e e e .il * i I 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 THE 15TH. THE PRESIDENT: TWO WEEKS FROM TODAY? MR. SWIRSKY: YES, THE BOARD WOULD NOT BE CONSIDERING ADOPTION OF ANY RESOLUTION OR ESTABLISHMENT 01 ANY FEES PRIOR TO THAT TIME. IT MAY EVEN BE LATER, SO I WANTED TO POINT THIS OUT TO YOU, 1 IT WOULD BE MY RECOMMENDATION, SINCE THERE HA' BEEN SEVERAL REQUESTS, THAT THIS PUBLIC HEARING -- IF THIS IS ALL OF THE TESTIMONY, TI YOU DETERMINE ALL THE TESTIMONY TO BE GIVEN TODAY HAS BEEN GIVEN AND THEN THAT THE BOARD CONTINUE THIS PUBLIC HEARING UNTIL 2 O'CLOCK JUNE THE 15TH FOR FURTHER TESTIMONY. THE PRESIDENT: WE NEED A MOTION ON THAT TO CONTINUE IT? MR. SWIRSKY: YES, I WOULD LIKE TO HAVE A MOTION. MR. MAERKLE: I WOULD SO MOVE. MR. KELLY: COULD I HAVE SOME INPUT INTO THIS BEFORE WE P I 18 19 20 21 22 23 24 25 THAT? MR. SWIRSKY: OH, SURE. MR. KELLY: THE QUESTION COMS TO MY MIND ABOUT THE FAIRNE OF THIS EIGHT HUNDRED AND EIGHTY DOLLAR FEE. YOU START UP SOME BIG SUBDIVISION, AND THEY'R PAYING A TREMENDOUS AMOUNT OF MONEY. NOW, I7 MAY BE THAT THEY'RE PAYING FOR A LOT OF FUTUG SMALLER DIVISIONS THAT COME IN AT SOME TIME MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e -4 e a t a * t 0 1 LATER. I 2 3 4 5 6 7 8 9 I DON'T BELIEVE IT'S A GOOD IDEA TO SET THESE FEES THAT ARE GOING TO BE HARD AND FAST FOR THE NEXT TWENTY OR TWENTY-FIVE YEARS. PRICES MAY ACTUALLY GO DOWN. IT HAS HAPPENED BEFORE, YOU KNOW, AND I THINK THAT SOME OF TH BIG SUBDIVISIONS MAY BE PAYING FOR THE FACILITIES FOR FUTURE PEOPLE THAT ARE COMING AND I DON'T THINK THAT'S FAIR, I I lo I I THINK IT'S FAIR FOR THE PEOPLE WHO COM 11 12 13 14 15 NOW TO PAY FOR WHAT GOES IN NOW, BUT I THINK WE'VE GOT A PROBLEM HERE THAT I THINK SOME OF THE PEOPLE THAT HAVE BEEN HERE A LONG TIME HA ~ I PAID TAXES FOR INSTANCE FOR A LONG TIME THAT ~ THEY DIDN'T GET ANY BENEFIT OF. I 16 17 18 19 20 21 I'M ONE OF THEM, AND SO THAT'S JUST ANOT, ANGLE TO THIS WHOLE THING. I THINK THIS THING NEEDS TO BE -- HAVE V CAREFUL CONSIDERATION, BECAUSE I THINK THAT FI IS HIGH. THE PRESIDENT: THAT WILL BE CONSIDERED, OF COURSE, IN TH I 22 UNTIL 2 O'CLOCK ON THE 15TH. 25 MR. MAERKLE: I MAKE A MOTION WE CONTINUE THE PUBLIC HEAR 24 THE CONTINUING OF THIS PUBLIC HEARING? 23 FUTURE MEETINGS, AND DO WE HAVE A MOTION THEN 1 MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 4 0 e 0 1 0 0 0 1 e 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 MS BONAS: SECONDED. THE PRESIDENT: YOU'VE HEARD THE MOTION. ALL IN FAVOR? (THE MOTION WAS UNANIMOUSLY CARRIED.) THE PRESIDENT: SO ORDERED. MR. SAVAGE: MR. CHAIRMAN, DOES THAT PREVENT FURTHER TESTIMONY? THE PRESIDENT: NO. IT DOES NOT MR. SWIRSKY: NO, THAT'S THE PURPOSE OF THE CONTINUATION. MR. SAVAGE: I MEAN NOW. MR. SWIRSKY: I'M SORRY. MR. SAVAGE: DOES THAT PREVENT FURTHER TESTIMONY TODAY? THE PRESIDENT: NO, IT DOES NOT. MR. SAVAGE: PARDON ME? MR. SWIRSKY: MR. CHAIRMAN, YOU HAVE ACTUALLY CONTINUED T HEARING. I WAS UNDER THE IMPRESSION THAT ALL THE TESTIMONY HAD BEEN GIVEN THAT YOU WANT TO GIVEN. THEN, I WOULD SUGGEST YOU REOPEN IT FOR TODAY. THE PRESIDENT: WITHDRAW THE MOTION THEN? MR. MAERKLE: DO WE NEED TO WITHDRAW THE MOTION OR WHAT? THE PRESIDENT: DO YOU HAVE A QUESTION, SIR? DID YOU WAN TO MAKE AN ADDITIONAL PRESENTATION? MR. SAVAGE: YES, I DID. I 25 THE PRESIDENT: YOU'RE MR. -- MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE a * e 1 e 1 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - MR. SAVAGE: WILLIAM SAVAGE, I'M A LANDOWNER FOR ABOUT FIF ACRES, HAVE BEEN FOR ABOUT TWENTY-FOUR YEARS. I APPRECIATE THE COMMENT MR. KELLY JUST MADE. BOUGHT THE PROPERTY FOR ONE REASON, TO DEVELOF IT AND DEVELOP INCOME FOR MY FAMILY, AND STRAP TO SAY, IN TWENTY-FOUR YEARS, ONE ISSUE OF GOVERNMENT OR ANOTHER HAS PREVENTED ME FROM DOING IT. I HAVE BEEN PAYING TAXES. THIS WOULD SEEM TO ME TO BE A VERY PUNITIVE CHARGE THOUGI AGREE THAT THE PURPOSES FOR WHICH IT WOULD BE GOING ARE EXCELLENT AND I HIGHLY ENDORSE THEM I WOULD JUST ASK THAT YOU RECONSIDER, AND VER THOROUGHLY, WHETHER THIS IS EQUITY TO CHARGE TH I S MUCH. I ANALYZE IT AS A DEVELOPER, AND I COME WITH A FEW THOUGHTS. YOU PUT THESE TWO CHARGES TOGETHER, EIGH HUNDRED AND EIGHTY AND FIVE HUNDRED AND FIFTY PER DWELLING UNIT, YOU'D HAVE APPROXIMATELY FOURTEEN PERCENT OF THE TOTAL ON-SITE COSTS T A DEVELOPMENT WOULD BEAR. I THINK THIS IS VE DISPROPORTIONATE, A VERY DIFFICULT THING FOR LANDOWNER -- NOT ONLY THE DEVELOPER, BUT REAL THE HOMEBUYER, TO BEAR. WE KNOW HOUSING IS I I L MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 1 z 2 Z 2 4 e 5 6 7 8 9 10 e e THE DOLDRUMS AND WE'RE TRYING TO GET AFFORDAB HOUSING TO THE PEOPLE, AND THIS WOULD BE REAL AN ENORMOUS THING. TO PUT IT OTHERWISE, ON A BUILDER'S PROFORMA, OUR PROJECT PROBABLY WOULD HAVE A FIVE-YEAR BUILDOUT, THIS WOULD COME TO ONE MILLION ONE HUNDRED THOUSAND DOLLARS ON TODAY RATE OF FINANCING TO -- FOR THE PROJECT TO BE, AGAIN, A VERY DIFFICULT LOAD, AND IT CAUSES M TO WONDER. I'M REALLY NOT SCHOOLED IN THESE I 11 12 f 14 13 15 16 17 a e 18 MATTERS OF WHAT YOUR CONSIDERATION IS, SO I CAN'T BE AS CONSTRUCTIVE AS I WOULD LIKE TO B BUT I'M ONLY ASKING THAT YOU PERHAPS RECONSID SOME ALTERNATIVES AND MAYBE SOME DIFFERENT VARIATIONS ON THIS. I JUST THROW OUT A FEW POSSIBILITIES THA COME TO MY MIND, WOULD A GRADUATED SCALE OF SORT BE APPROPRIATE, WHEREIN THE LARGE I l.9 I DEVELOPMENTS MAYBE, THE LARGE USERS, WOULD GE I 9 t 20 21 22 23 24 25 SOME SORT OF A CONSIDERATION. I WOULD WONDER IT IS EQUITABLE TO CHARGE A PROPERTY THAT HAS SERVICE RIGHT NOW, RIGHT THROUGH IT, AND WAS PURCHASED FOR THAT BEING ONE OF THE MAIN REAS1 THAT IT WAS PURCHASED, IT HAS SERVICE NOW, TH SAME CAPITAL FEES AS IT WOULD BE TO CHARGE e MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 8 s e 8 * # 0 c 0 + 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - ONE THAT'S, SAY, A MILE AWAY FROM ANY SERVICE NOW, THE MARKET BEARS THESE THINGS IN MI AS MARKET VALUE. A PERSON WHO BUYS A MILE AW. FROM UTILITIES PAYS A MUCH LOWER FEE FIGURE THAN DOES THE ONE WHO HAS THE UTILITIES RIGHT THERE, SO IF THE MARKET REFLECTS THIS, MAYBE WOULD BE APPROPRIATE FOR THE DISTRICT TO REFLI THIS IN SOME WAY. IS - AND THIS IS JUST A QUESTION I'D LIK TO ASK OF ANYBODY THAT WOULD ANSWER IT FOR ME DOES THE STRUCTURE OF FEES BEAR ANY RELATIONS. TO THE ASSURANCE THAT THESE MONEYS THAT A DEVELOPER PAYS WOULD BE USED FOR THE DEVELOPMI OF WATER CAPACITY IN HIS AREA OF THE DISTRICT I HEARD MR. KUBOTA SAY THERE IS A SENSE IN WH EACH FACILITY HELPS THE WHOLE DISTRICT. I CAN APPRECIATE THAT. ON THE OTHER HANC WE KNOW THAT IN THE MAIN, THE CAPITAL FEES TO DELIVER WATER TO A GIVEN PROPERTY IN PROPER CAPACITY ARE THE BIGGER DIRECT EXPENSE, SO I E WOULD A DEVELOPER'S EXPENDITURES OF THESE CAPITAL IMPROVEMENT FEES BEAR SOME ASSURANCE THAT HIS MONEY WAS GOING TO DEVELOP THE CAPACI IN HIS AREA THAT IT'S LOCATED. IS THERE ANY CORRELATION THERE? MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e 4. 11 e 0 e q 0 0 a r i 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - ~~___ MR. MEADOWS: LET ME TAKE A STAB AT IT, AND ASK FOR HELP FROM BOTH THE ATTORNEY, ENGINEER AND THE CONTROLLER. THE ENTIRE FINANCIAL HISTORY, INCLUDING USE OF IMPROVEMENT DISTRICTS, PROPERTY TAXES, AND SO ON, THAT THE DISTRICT HAD USED TRADITIONALLY WAS PROVIDED TO THE FINANCIAL CONSULTANT. THE CONCEPT THAT WE HAVE FINALLY ARRIVED INCLUDES A PROCESS WHEREBY ALL OF THE VARIOUS TYPES OF FACILITIES HAVE BEEN TAKEN INTO ACCOUNT, AND WE ARE PROPOSING TO REORGANIZE T CAPITAL FUND PROCESS, IF YOU WILL, OF THE DISTRICT, SO THAT WE BASICALLY HAVE A DISTRIC WIDE CONCEPT, RATHER THAN THE LOCALIZED IMPROVEMENT DISTRICTS WHICH USE VARIOUS TYPES FINANCIAL VEHICLES, AND HAVE TRANDITIONALLY U VARIOUS TYPES, SUCH AS PROPERTY TAXES, WHICH ARE NOT FEASIBLE. ALSO, ENTERING INTO THE PICTURE IS THE AGREEMENT THAT WE HAVE JUST EXECUTED WITH THE CITY OF CARLSBAD, WHICH PROVIDES FOR A DISTRICT-WIDE - AND TO A LARGE EXTENT, ALSO A CITY-WIDE - PROGRAM OF FINANCING THESE THINGS SO THE ANSWER I WOULD GIVE TO YOUR QUESTION I i MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I( 0 e e 3 3 3 1 1 @ 1 2 3 4 5 6 7 8 9 10 11 12 BASICALLY WE ARE LOOKING AT A DISTRICT-WIDE, RATHER THAN TRYING TO BE OVERLY -- OVERLY SPECIFIC IN TRYING TO IDENTIFY AND LOCALIZE - AND LOCALIZE THE COSTS. NOW, THAT'S MY KIND OF GENERALIZED ANSWEF I KNOW I'VE HAD DISCUSSIONS WITH LEGAL COUNSEL AS WELL AS THE ENGINEER, AND I GUESS THE BOTTC LINE OF MY REMARK IS THAT THIS HAS BEEN CONSIDERED BY THE FINANCIAL CONSULTANT AND IT HIS RECOMMENDATION THAT WE ESTABLISH SUCH A REGIONAL OR GENERAL FUND, CAPITAL FUND PROCESS THE PRESIDENT: PAUL OR JACK, DO YOU WANT TO ADD ANYTHING 13 MR. SWIRSKY: I WOULD ONLY LIKE TO ADD, OF COURSE, THAT ALI 14 THAT? 15 16 17 18 19 THE FUNDS THAT WILL BE COLLECTED WILL BE PLACE1 IN A SPECIAL CAPITAL IMPROVEMENT PLAN AND FUND, SO THEY WILL ALWAYS BE USED ONLY FOR CAPITAL IMPROVEMENTS, I CANNOT ANSWER YOUR QUESTION AS TO THE 2o 1 PRIORITY OF THOSE IMPROVEMENTS AS IT RELATES TC 21 22 23 24 25 THE BENEFITS OF AN AREA. I WOULD RATHER LET TH DISTRICT ENGINEER ESTABLISH -- I THINK HE'S ESTABLISHED A PRIORITY MORE OR LESS BASED ON ANTICIPATED USE, BUT I WILL LET HIM ANSWER RATHER THAN I. MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 # 0 li a 0 1 1 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - MR. KUBOTA: WELL, MEMBERS OF THE BOARD, MR. SAVAGE, LAD1 AND GENTLEMEN, THE BEST ANSWER I THINK I CAN GIVE EVERYONE HERE IS THAT THE PROJECTS ARE INTERRELATED, AND IF I JUST GIVE YOU SOME GEOGRAPHY AND TOPOGRAPHY, I THINK THAT WILL H YOU. I THINK I TOLD YOU THAT, FOR EXAMPLE, PROJECT NO. 1 AND PROJECT NO, 5, ONE IS A SIX MILLION GALLON RESERVOIR AND THE OTHER IS A NINE MILLION RESERVOIR. THEY SIT AT THE HIGk LEVEL OF OUR ENTIRE DISTRICT. NOW, AT SOME POINT IN TIME, WHEN WE BUIL THOSE TWO RESERVOIRS, YOU CAN APPRECIATE THE FACT THE ENTIRE TWENTY THOUSAND ACRE AREA CAN TAKE SERVICE FROM THESE TWO RESERVOIRS OR THE TRI-POWER LINE ON THE NORTH. IN OTHER WORDS, I CAN PHYSICALLY DELIVER WATER FROM THIS AREA CLEAR OVER TO, LET'S SAY NORTH CARLSBAD BOULEVARD, AT THE FURTHEST COR OF THE DISTRICT, SO I THINK THERE'S NO QUEST1 BUT WHAT THESE TWO TANKS CAN BENEFIT THE WHOL DISTRICT. I JUST TOLD YOU THE SQUIRES DAM 2, WHICH IS PROJECT NO. 4, IT'S SITTING AT ELEVATION OF 500. I TOLD YOU WITHOUT PUMPING IT CANNOT BRING WATER BACK TO THIS HIGH MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 a 8 e q 0 e * 9 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - AREA. I THINK YOU CAN SEE IMMEDIATELY IF WE PROVIDE STORAGE AT ELEVATION 500, THAT RELIEV SOME OF THE LOAD FOR THESE TWO RESERVOIRS AT ELEVATION 700 AND I WILL GO BACK DOWN HERE IN YOUR PART OF THE WORLD DOWN HERE WITH THE TWO TANKS. I TOLD YOU I THINK WE'RE SCHEDULING SIXT MILLION GALLONS ON THAT HILL. THERE, AGAIN, BRING SIXTEEN MILLION GALLONS OF ELEVATED STORAGE TO THIS LOWER AREA. THAT RELIEVES TH BURDEN ON THESE TWO UPPER TANKS, AND, IF YOU' NOTICE, IN THE TEXT, IN TERMS OF TIME, LET ME SHOW YOU SOMETHING. THIS HIGH RESERVOIR AT LA COSTA, IT WANT TO BE IN SERVICE ONE YEAR FROM NOW. OKAY? NOW, THIS ONE OVER HERE AT THE SAME ELEVATION, ABOUT TWO MILES TO THE NORTH, WE H THAT PROGRAMMED IN FOR THREE YEARS FROM NOW, BECAUSE THEY'RE SETTING AT THE SAME ELEVATION YOU NOTICE THIS WILL PROVIDE SOME COVERAGE FO' THIS AREA UNTIL WE GET TO BUILD THAT ONE, AND IT'S NO COINCIDENCE THAT THIS TANK OVER HERE TIMED IN WITH THE DEVELOPMENT OF WHAT WE CALL THE RANCHO CABRILLO AREA. MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE a 4 12 0 e e i a e e T 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 I BY AND LARGE, WHAT THIS IS TRYING TO DO DONE VERY SUCCESSFULLY IS TO WORK WITH THE DEVELOPMENT INTERESTS AND AS THE AREA BECOMES I URBANIZED, WE GO INTO PARTNERSHIPS WITH THE DEVELOPERS, AND THAT'S HOW WE ARE BUILDING TH MAJOR FACILITIES, SO MAYBE I'VE GONE TO SOME LENGTH IN TRYING TO DESCRIBE TO YOU, SO IF YO LOOK CAREFULLY AT THE MAP - AND I'M MORE THAN HAPPY TO ANSWER SOME MORE QUESTIONS OF YOURS, MR. SAVAGE. BY THE WAY, WE HAVE SPENT QUITE A CONSIDERABLE PERIOD OF TIME TOGETHER, AND I CERTAINLY RESPECT MR. SAVAGE'S INTEREST TO LE MORE ABOUT THE DISTRICT AND THE WAY WE DEVELOI FACILITIES TODAY. YOU WILL SEE THAT THERE IS AN INTER- RELATIONSHIP. THE TAP LINE, PROJECT NO. 3, THAT WANTS TO BE BUILT THIS WINTER. WE SPENT TWO MILLION DOLLARS TO GET THE WATER FR( SAN MARCOS OVER TO THERE, AND SO WE HAVE JUST LITTLE WAYS TO GO, JUST A LITTLE WAYS TO GO, AND, FOR EXAMPLE, THAT FACILITY WILL ELIMINATI PUMPING STATION THAT THE CITY HAS AT A RESERVC THEY HAVE IN TOWN, WHICH IS A BIG SIX MILLION GALLON RESERVOIR. THAT'S A GOOD POINT. HERE' I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE 0 4 e e z * 0 e q 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 - A RESERVOIR CLEAR OVER HERE IN WHAT WE CALL T OLD VILLAGE AREA, SIX MILLION GALLON RESERVOI BUT THAT HAS A RELATIONSHIP TO THIS SIX MILL1 GALLON RESERVOIR, BECAUSE IF YOU DIDN'T HAVE HAVE ONE THERE, THIS ONE WOULD HAVE TO BE BIGGER, WOULDN'T IT, BUT IT WOULDN'T HAVE THE ADVANTAGE OF BEING IN THE NEIGHBORHOOD. THAT TANK WAS PUT THERE, ANOTHER TANK AT ELM AVENUE. THERE'S A SENTINEL RESERVOIR FOR FIRE PROTECTION FOR ALL THE MAY COMPANY AREA. THAT'S HOW, IN PART, THESE TANKS GET LOCATED, SEE. IT'S CLOSE TO THE NEIGHBORHOOD, AND, YE LOCATED TOPOGRAPHYWISE TO GET FEED FROM THE HIGHER ZONE AND DO THE BEST WE CAN FROM THE WATER THAT WE HAVE THAT'S COMING FROM THE COLORADO RIVER, NORTHERN CALIFORNIA. IT'S AN INTEGRATED, INTERRELATED PROGRAM, ALL OF THE FACILITIES ALL OF THE MAJOR FACILITIES AND THAT'S A CORNERSTONE TO THIS ENTIRE FINANCING PROGRAM. MR. SAVAGE: I APPRECIATE THAT. I KIND OF CAUGHT THAT FR YOUR FIRST PRESENTATION. I GUESS I'M WONDER1 IF ONE IS TO PUT OUT CLOSE TO A MILLION DOLLA IN FEES, WHICH I HOPE IT BECOMES LESS, IS THE A CORRELATION BETWEEN THAT AND THE KINDS OF ~ MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE I 0 e a e I B 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ASSURANCE THAT WATER CAPACITY WILL BE AVAILAB IN HIS AREA AT THE LEAST POSSIBLE FEE, AND I' BEEN TALKING TO MR. KUBOTA. I THINK IT WILL. THE PRESIDENT: THANK YOU, MR SAVAGE, YES, FRANK. MR. MAERKLE: MAY I ASK MR. SAVAGE A COUPLE OF QUESTIONS? WHERE IS YOUR PROPERTY AT, MR. SAVAGE? MR. SAVAGE: EAST OF 1-5 ALONG THE NORTH SHORE OF THE LAGOON. MR. KUBOTA: MR. SAVAGE'S DEVELOPMENT IS THIS PROPERTY RI IN HERE. IT'S GOING THROUGH THE DEVELOPMENT PROCESS RIGHT NOW. YOU ALL KNOW WHERE JOHN LYMAN'S RANCH IS; THAT'S RIGHT THERE. MR. MAERKLE: HE SAID ABOUT WATER GOING THROUGH IT. IS T A TRANSMISSION LINE OR DISTRIBUTION LINE. I MR. KUBOTA: IT'S THE LINE FRANK AYRES BUILT WHEN HE PUT THE LINE IN FROM THE HIGHWAY. MR. MAERKLE: THEN, IT'S A TRANSMISSION LINE. MR. KUBOTA: EIGHT-INCH LINE, THIS EIGHT-INCH LINE. MR. MAERKLE: IT IS A TRANSMISSION AND NOT A DISTRIBUTION LINE? MR. KUBOTA: IT'S AN EIGHT-INCH LINE. MR. MAERKLE: OKAY. MR. KELLY: MR. CHAIRMAN, WHAT WORRIES ME IS THAT ALL THE THINGS ARE ALWAYS -- ALWAYS PENCILLED OUT SO THAT THERE'S PLENTY OF MONEY IN THERE TO DO I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I e e #. e 0 a 1 e 7 1 2 3~ THIS, AND THE POOR HOMEOWNER, EVENTUALLY HE'S GOING TO HAVE TO PAY THIS, AND HE MAY BE PAY1 FOR A WHOLE LOT OF FUTURE GENERATIONS THAT AR I 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 COMING IN HERE. I THINK THAT WE NEED TO KNOk WHAT THIS EIGHT HUNDRED AND EIGHTY DOLLARS IS BASED ON, HOW REALLY CLOSE THAT'S FIGURED OR COULD IT BE DONE FOR FOUR HUNDRED AND FORTY, YOU KNOW, INSTEAD? THE PRESIDENT: THAT'S AN ITEM, I'M SURE, ALAN, THAT WILL FURTHER DISCUSSED AND YOU, AS A TAXPAYER AND TIME LANDOWNER, AND MR. SAVAGE CAN WELL SHARE TOGETHER, THAT WE WILL DISCUSS THAT FURTHER I OUR MEETINGS WITH THE STAFF MR. KELLY: OKAY. THE PRESIDENT: NOW, PAUL, DO YOU HAVE SOMETHING TO SAY? MR. SWIRSKY: YES, SIR, I WOULD RECOMMEND THAT YOU ASK IF THERE'S ANY MORE TESTIMONY THAT WOULD LIKE TO GIVEN TODAY. THE PRESIDENT: IS THERE ANY MORE TESTIMONY THAT ANYBODY WOULD LIKE TO GIVE TODAY BY ANYBODY? MR. MEADOWS: MR. CHAIRMAN. I MIGHT MAKE ONE BRIEF REMAR GOING ALONG WITH MR. KELLY AND SEVERAL 0 THE SPEAKERS, I WOULD JUST LIKE TO SAY THAT I THINK THE PROCEDURE FROM HERE ON OUT IS THAT WILL REVIEW THE TRANSCRIPT, ANSWER IN FULL AL ~ 1 MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e II 13 e e *- e e e n 1 2 3 4 5 OF THE QUESTIONS THAT HAVE BEEN RAISED. I DO BELIEVE I'VE HEARD ANY NEW ISSUES. WE'VE HAD MANY, MANY DISCUSSIONS WITH TH CONSULTANTS AND WITH OURSELVES AS STAFF, WE'\ GONE INTO A LOT OF THESE THINGS ALREADY. AS I 6 7 8 9 10 11 i SAID, THE PURPOSE TODAY IS NOT TO TRY TO ANSW ALL OF THESE THINGS TODAY, BUT RATHER TO HAVE SOME TIME WITH THE OFFICIAL TRANSCRIPT WITH ANY MORE TESTIMONY THAT WE HAVE, OR NEW INFORMATION, AND TO GIVE A VERY THOROUGH ~ RESPONSE TO ALL OF THESE THINGS, WHICH, AS YO I 12 13 14 15 16 17 18 19 20 21 22 23 24 25 HAVE SAID, WILL BE TAKEN UNDER ADVISEMENT BY BOARD SO THAT YOU CAN MAKE A DECISION WITH PLENTY OF TIME AND WITH ALL THE INFORMATION T WE CAN POSSIBLY GIVE YOU TO SATISFY YOUR QUESTIONS, SO FROM HERE ON OUT, WE WILL BE PROCEEDING TO TRY TO ANSWER ALL THESE QUEST101 AND TO DEVELOP ANY MORE INFORMATION THAT IS NECESSARY. THE PRESIDENT: THE NEXT PUBLIC HEARING WILL STILL BE TWO WEEKS FROM TODAY? MR. SWIRSKY: YES, SIR, JUST TO CLEAR THE RECORD, SINCE YC CONTINUED AND THEN YOU TOOK SOME OTHER TESTIMONY, I WOULD RECOMMEND A MOTION JUST TO CONTINUE IT TILL JUNE THE 15TH AT 2:OO P. M., MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e J 0 e + e e I v 1 2 3 4 5 6 7 8 9 10 CONTINUATION OF THE PUBLIC HEARING I MR. MAERKLE: SO MOVED. MS BONAS: SECOND. THE PRESIDENT: YOU'VE HEARD THE MOTION. ALL IN FAVOR. (MOTION CARRIED UNANIMOUSLY.) THE PRESIDENT: THANK YOU. (WHEREUPON THE PROCEEDINGS WERE CONCLUDED AT 3:22 P. M.) "-0"- I I MARTHA L. DIX - CERTIFIED SHORTHAND REPORTING SERVICE e I e a e b e a e 3 e r- STATE OF CALIFORNIA 1 : ss. COUNTY OF SAN DIEGO 1 I, MARTHA L. DIX, CERTIFIED SHORTHAND REPORT A NOTARY PUBLIC IN AND FOR THE COUNTY OF SAN DIEGO, STATE CALIFORNIA, DO HEREBY CERTIFY: THAT THE FOREGOING PROCEEDINGS WERE REPORTED ME AT THE TIME AND PLACE THEREIN SET FORTH; THAT THE FOREGOING TRANSCRIPT IS A TRUE RECO OF THE TESTIMONY GIVEN AND ALL PROCEEDINGS HELD AT THE TI1 OF THE HEARING. IN WITNESS WHEREOF, I HAVE HEREUNTO SET MY HAND AND AFFIXED MY NOTARIAL SEAL, THIS 6TH DAY OF JUNE, 1982. 7 p,%: /7"-.-7L&v <". . , "' " "-1 / "' ! /= NOTARY PUBLIC s 1 ,@ ~$g3qi, -9 a& L ,; MI?RTz OFFICIAL SEAL a I ~~~.~~.~~~~~~~?~~-~~~~ . .. a- MARTHA L. ~IX, cSR NO. 86, CP, CM, RPR w E- ,-,Sm$' NO;M: W,L:C . C~LIFORN~A \ 1 *. 41,~0i~tP 8 SAN DIEGO COljNTY Pi<i?<CIPAL 3FFICE IN MY COMMISSION EXFiCES FEB 6 1986 I I I L