Loading...
SSLGC 06-26-2008 MINUTES OF THE SCHERTZ-SEGUIN LOCAL GOVERNMENT CORPORATION THE STATE OF TEXAS ~ COUNTY OF GUADALUPE ~ SCHERTZ-SEGUIN LOCAL ~ GOVERNMENT CORPORATION ~ On this the 26th day of June, 2008, the Schertz-Seguin Local Government Corporation (SSLGC) convened at 1:36 p.m. in the City of Seguin Council Chambers located at 210 E. Gonzales, Seguin, Texas. The following members being present and in attendance: Sydney Bauer Ken Greenwald Robin Dwyer Jim Wolverton Patricia Ramirez Betty Ann Matthies Hal Baldwin President Vice-President Secretary Treasurer Director Ex-Officio Ex-Officio constituting a majority of the persons appointed to the Board and a quorum for the transaction of business, and notice of such meeting having been duly given in accordance with the provisions of Texas law. Also in attendance were: <' Alan Cockerell Johnny Bierschwale John Schraub Georgia Hanks Shawn Shimek Patrick Lindner Bill Klemt Tom Caponi John Winkler Crockett Camp General Manager Assistant City Manager of Schertz Water Utilities Manager Administrative Assistant Chief Operator Legal Counsel (Davidson & Troilo) Hydrologist Consultant Consultant (Bury&Partners) Consultant (LAN) ConsultantJProject Manager The first order of business was the calIiuS! of the meetiu2 to order. President Sydney Bauer called the meeting to order at 1:36 p.m. The second order of business was public comment. General Manager Alan Cockerell acknowledged several individuals who attended the June 26, 2008, board meeting in progress. He introduced three graduates of Nixon-Smiley High School who were recipients of SSLGC scholarships and their Guidance Counselor Maggie Gaitan. He recognized Brittney Camarillo who was Valedictorian of her class and will attend Texas A&M University, Bianca DeLeon who was in the top ten percent of her class and will attend Texas State University and Stephanie Yates who received several academic and athletic honors and plans to attend San Antonio College and Texas State University. Ms. Camarillo spoke on behalf of the three scholarship recipients and thanked members of the Board and the Corporation for their support and assistance in helping the students achieve their education. Mr. Cockerell introduced Greg Sengelmann, the new general manager of the Gonzales County Underground Water Conservation District, and Mark Parker and Bo Barrilo, representatives of the Guadalupe County Groundwater Conservation District. He also introduced Shaw Shimek with SSLGC who was recently promoted to chief operator. The third order of business was approval of the minutes for the board meetin2 held on May 15, 2008. Secretary Robin Dwyer made a motion to approve the minutes of the May 15, 2008, meeting as written. Treasurer Jim Wolverton seconded the motion. Upon a vote being called the motion carried by unanimous decision. The fourth order of business was presentation of the General Mana2er's Report - Alan Cockerell. General Mana2er. Mr. Cockerell stated that his written report was included in the board agenda packets and asked for questions from members of the Board. President Bauer requested comments pertaining to water production. Mr. Cockerell responded by stating that pumping had increased due to extremely dry weather. He further advised that he had begun tracking well meter readings on a weekly basis. For the month of June the Corporation averaged approximately 12,000,000 gallons of production per day as compared to May which averaged about 10,000,000 gallons per day. He added that the City of Seguin had begun blending in order to test its system. r Seven of the Corporation's eight wells have been running about 20 - 22 hours a day, seven days a week. As of June 19, 2008, production was at 69",10 of the Corporation's allowable permitted amount and was well within its allowable permitted amount of 125% per month. Mr. Cockerell speculated that production would probably be at 100 % of the allowable permitted amount by the end of June. Mr. Cockerell reported that the City of Seguin is presently in Stage II of its water restriction plan which is basically the same as year round conservation measures for the City of Schertz. He added that the Corporation is required by law to submit a Drought Contingency Plan by May 2009. He plans to submit a plan which would represent the same various stages of water restrictions for both Cities. The fifth order of business was Work Authorization #3, Water Storaf!e Improvements for Gonzales Countv Water Treatment Plant and Booster Pnmp Station. between SSLGC and Lockwood. Andrews & Newnam. Incorporated (LAN) - John Winkler. PE & Alan Cockerell. General Mana1!er. Mr. Cockerell referred to Work Authorization #3 which was inCluded in the board agenda packets. Work Authorization #3 provides for construction of water storage improvements and capacity increase for the Gonzales County Water Treatment Plant and Booster Pump Station. 2 Secretary Dwyer asked for conftrmation from Consultant John Winkler that information presented in Work Authorization #3 at the May 15, 2008, board meeting had been corrected. Mr. Winkler responded by stating that the data had been corrected and was accurate. Mr. Cockerell requested approval for the improvements by LAN in the amount of$297,000.00. Secretary Dwyer made a motion to approve Work Authorization #3 for costs in the amount of $297,000.00 for construction of water storage improvements by LAN at the Corporation's Gonzales County Water Treatment Plant and Booster Pump Station. Treasurer Wolverton seconded the motion. Upon a vote being called the motion carried by unanimous decision. The sixth order of business was the SSLGC FY 2008/2009 Bud2et - Alan Cockerell. General Mana2er. , Several documents pertaining to the Corporation's FY 2008/2009 budget and water rates were included in the board agenda packets. General Manager Cockerell reported that although budget and water rates were listed for approval as two separate items on the agenda, they were interrelated and would be discussed together. Mr. Cockerell referred to a summary sheet of the budget where each item was arranged in order by percentage (impact made) of the budget. He' gave a brief summary of each category and how respective costs were attained. He highlighted the following: . Water Leases. 34.8% - Increased due to purchase of new water leases. . Utility Services. 23.8% - Increased due to an increase in GVEC rates and increased pumping conditions. . Chemicals. Less chemical will be needed due to the new lime slurry tank at the water treatment plant, however, costs for the chemicals have increased significantly. . Salaries. Increased due to COLA and merit increases. . RepairslMaintenance. Increased because funds for FY 2008/2009 were made. available for speculative repairs and maintenance. Last year the funds were taken from the Emergency Repair & Replacement Fund. . Professional Services. Decreased because a pipeline survey which was included in the FY 2007/2008 budget will not be included in FY 2008/2009. . Capital Outlay. Increased due to plans to purchase three stainless steel pumps in FY 2.008/2009 to complete the project of purchasing stainless steel pumps for all eight of the Corporation's wells. . Technical Services. Increased due to additional TCEQ testing for sludge and backwash. . Benefits. Increased based on salary. . Miscellaneous. Remained the same. . Energy and Fuel. Increased due to increase in fuel cost. . Public Relations. Increased for more public awareness. Mr. Cockerell reported that staff had developed the budget and it had been reviewed by the executive committee. Before asking for approval of the FY 2008/2009 budget, Mr. Cockerell requested to move forward to agenda item seven for discussion regarding SSLGC FY 2008/2009 water rates. President Bauer adjourned agenda item six to address agenda item seven. 3 The seventh order of business was SSLGC FY 2008/2009 Water Rates- Alan Cockerell, General Manaf!er. Mr. Cockerell referred to Resolution SSLGC ROS-03 and supporting documentation pertaining to water rates which were included in the board agenda packets. Water rates for FY200S/2009 based on the proposed budget would be $2.37 per 1,000 gallons for the Cities of Schertz and Seguin. This rate represents an increase of 8. 7% from the current rates and includes debt service. Rates for other customers of the Corporation are as follows: . Springs Hill- $2.68 . Selma and Universal City - $1.90 Discussion was held regarding whether or not the proposed rates were adequate to meet anticipated expenses, Le., operations, construction, infrastructure, maintenance and water lease purchases for FY200S/2009 and following years. Mr. Cockerell stated that according to the proforma prepared by LAN the rates were sufficient for the proposed FY 2008/2009 budget.. He added that next year the proposed water rate according to the proforma would be $2.64 per 1,000 gallons which is an 11.0% increase from FY 2008/2009 rates for the Cities of Schertz and Seguin. President Bauer reconvened to agenda item six for action. President Bauer made a motion to approve Resolution SSLGC R08-02, SSLGC's FY 2008/2009 operations budget, in the amount of $3,598,446.00. Secretary Dwyer seconded the motion. Upon a vote being called the motion carried by unanimous decision. Secretary Dwyer made a motion to approve Resolution SSLGC R08-03, SSLGC's FY 2008/2009 water rates, to include the Citie~ of Schertz and Seguin at $2.37 per 1,000 gallons, the Cities of Selma and Universal City at $1.90 per 1,000 gallons and Springs Hill at $2.68 per 1,000 gallons. Vice-President Greenwald seconded the motion. Upon a vote being called the motion carried by unanimous decision. The eif!hth order of business was the Gonzales County Water Treatment Plant Imorovement Proiect - Alan Cockerell~ General Mana2er and Tom Caponi~ Burv+Partners. Mr. Cockerell summarized the progress being made with the Gonzales County Water Treatment Plant improvement project with the following information: . Filter #3 and #5 rehabilitation is completed and both filters have been placed into sexvice. . New actuators on the raw water inlet valves on a1112 filters have been installed and the controls are functioning. Flow going through each filter can now be monitored. . The lime slurry tank is in place and the contractor is presently installing pumps and required connections. The control panel has been installed and a RDP representative plans to be onsite in two weeks to assist in the start-up of the system. Operator training for this system will be held during this time. The ninth order of business was Guadalune County Exoansion Proiect - Alan CockereD. General Manaf!er.- President Bauer deferred agenda item nine to Executive Session. 4 The tenth order of business was Gonzales County Expansion Proiect - Alan Cockerell. General Mana2er. President Bauer deferred agenda item ten to Executive Session. President Bauer closed General Session at 2:25 p.m. The eleventh order of business was Executive Session called under Chapter 551 Government Code. Subsection 551.071. to seek the advice of its attorney on le2al matters relatin2 to the Board of Director's ri2'hts and liabilities under certain contracts, Section 551.072. to deliberate the purchase of and/or sale of certain real estate and Section 551.074. for deliberations rCS!ardin2 a specific officer or employee. Executive Session was held from 2:44 p.m. to 3:33 p.m. The twelfth order of business was to consider and take action as a result of A2enda Item Eleven. President Bauer opened General Session at 3:33 p.m. No action was taken as a result of Executive Session. The seventeenth order of business was additional Board of Directors discussion and/or comments. Schertz Assistant City Manager Johnny Bierschwale introduced Larry Dublin, the new city engineer for the City of Schertz. Mr. Dublin will attend Schertz workshops and monitor various systems for the City. No additional discussion and/or comments were discussed. The next regular board meeting was scheduled July 17, 2008, in Schertz. The ei2hteenth order of business was adjournment. President Bauer declared the meeting adjourned at 3:37 p.m. MINUTES APPROVED THIS l1fh DAYOF~ > 2008. Robin Dwyer Secretary 5