2005-2006 Palomino Lakes Mutual Water Company Board

Meeting Minutes

 

February 13, 2006

1900 hours

 

 

1. Attending:

Howard Blake

Lee Tolbert

Rick Corriea

 

 

2. Financials (as of 2/13/06):

General Operations Account (GOA)

$22,468.62

Capital Improvement Account (CIA)

$63,844.97

Reserve Account

$32,125.00

Receivables (outstanding billing)

$12,881.13

 

 

3. Old Business:

·        Legal Advice:  We have received preliminary answers to our questions regarding past due accounts.  Mike Sexton, an attorney in the Manasian law office with whom we have worked in the past, spoke with Howard and will follow up in writing.  We apparently have a number of options on how to proceed.  We may file in small claims court and, if granted a judgment (as we currently hold in one case), use the Small Claims collection process or foreclose on the property.  We may also, under California PUC guidance, shut off water to the property.  Sexton is forwarding a copy of the PUC guidance.  Finally, we may, under the California Corporations Codes, move for a forfeiture of share.  A forfeiture of share would effectively remove the property’s right to PLMWC water.  This forfeiture would be in perpetuity.

 

·        Well:  Sexton reviewed the well situation and feels that we have moved appropriately to determine ownership of the property.  He feels that discussions with the owners of the neighboring vineyard are now in order with the idea of establishing ownership and obtaining the necessary easement.  The option of Eminent Domain remains but is not the favored approach at this point.

 

·        Hydrant Replacement:  Seven hydrants and six automatic shut-off valves are on site.  Surveying of individual locations to locate easements and exact locations should be completed by March 1.  Engineering drawing will be completed in early March and it is anticipated that installation will start in late March if the weather cooperates.  Both Carlisle Construction and Rege Construction will be used to do the work.  There will be no hydrant work after the start of fire season.

 

·        Tank Site #3:  Sanz Landscaping of Cloverdale is completing the last portion of round 1 of the cleanup.  Sanz removed weeds and brush from the site, removed wood debris and disconnected and hauled off unneeded irrigation pipe.  He has one more load of debris to haul away.  Sanz will return after the slide at the fence line is repaired and lay landscape fabric and crushed stone.  Howard will frame for a concrete pad that will support the plastic shed that has been at the site, unassembled, for some time.  The location of the underground pipes within the fenced area has been determined and marked.  Documentation will be prepared.  The valve and hose bib at the meter boxes have been properly enclosed and supported.  The photo sensor on the security light was replaced but the light remains on during the day.  The light will be repaired or replaced.

 

·        Spare Parts:  Lee and Howard will inventory the existing spares and place an order for needed parts.

 

·        Financial:  The accounts receivable situation is improving.  Personal communication with past due accounts has resulted in several payments.  There are currently only two past due accounts.  These accounts have been chronic problems and were the subject of our letter to Mike Sexton.

 

 

4. New Business:

·        Kuebler (old Seghesio) property water service:  Water service to the property above Toyon Lane, now owned by Peter Kuebler, should be complete by February 16.  Service to this property was negotiated some time ago in exchange for an expanded easement for site #3.  Billing for water (at current PLMWC rates) will commence with the completion of the installation.

 

·        Finances:  A discussion of existing finances and the upcoming end of the fiscal year was held.  While revenue from water delivery was down fortunately, so were expenses – particularly for electricity.  We remain on a sound financial footing although increased costs have to be carefully watched to minimize impact on our capital projects plans.  Sufficient uncommitted funds remain in the Operations account to allow purchase of some delayed items.  Howard will purchase about $500 worth of pipe and fitting to construct a pipe storage rack at site #3.  The current practice of storing C900 pipe in the sun on the ground drastically shortens its life.  Howard will also spend about $160 to purchase hose to allow opening hydrants without causing wash-out damage.

 

·        Replacement of Water Meters:  Many of our water meters date back to the founding of the community.  They have metered literally millions of gallons of water and are far beyond the PUC recommended lifetime of 10 years.  Our older meters also do not meet current California lead-free standards.  We will begin a 3 year program to replace meters.  It is planned that all meters older than 10 years and any others with problems will be replaced.  A purchase order for 40 meters and associated fittings will be generated.  The amount of the P.O. will be approximately $2,000.

 

·        Meter Box clean out:  As part of the meter replacement program, we need to clean and repair meter boxes.  Many of the meter boxes are badly silted, some are broken and a number have shifted making access to the meters difficult.  We will approach Sanz to see if he can provide labor to dig out the meter boxes.  This, like meter replacement, is a long-term project.

 

·        Well Site shed problems:  Birds and bats have discovered our well shed.  We need to install some screening to keep them out.  The shed floor is deteriorating from the effects of chlorine and needs to be replaced.  We need to install a gutter on the roof to move water away from the wellhead.  There is no provision in the shed to protect personnel in the event of a chlorine spill.  We will look into obtaining an NIOSH approved portable eyewash station for the shed.

 

·        Newsletter:  We received several positive comments about the latest newsletter.

 

5. Other issues addressed/discussed in days before this meeting:

·         Alarms:  Feb. 10, 2:00PM.  Tank 2 low level.  The tank level was OK when checked at 5PM and the backflow timer for water from tank 3 was working properly.  The alarm was reset and Clover Alarm notified that the situation now normal.

 

·        Water Calls/Communications:  None

 

·        Account Calls/Communications:  Several calls regarding past due accounts as noted above.

 

 

 

6. Agenda to Carry Forward:

·        ToDo List:  All to review/update at next meeting

 

 

7. Next Meeting:

T.B.D.

 

 

Meeting adjourned at approximately 2115 hrs.