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CITY OF AZUSA
MINUTES OF THE REGULAR
MEETING OF THE AZUSA
UTILITY BOARD/CITY COUNCIL
MONDAY, MAY 23, 2005 - 6:30 P.M.
The Utility Board Members of the City of Azusa met in regular session, at the above date and
time, in the Azusa Light and Water Department Conference Room, located at 729 N. Azusa
Avenue, Azusa, California.
Chairperson Chagnon called the meeting to order. Call to Order
ROLL CALL Roll Call
PRESENT: BOARDMEMBERS: HARDISON, CARRILLO, ROCHA, HANKS, CHAGNON
ABSENT: BOARDMEMBERS: NONE
ALSO PRESENT: Also Present
City Attorney Martinez, Director of Utilities Hsu, Assistant to the Utilities Director Kalscheuer,
Assistant Director of Resource Management Tang, Assistant Director of Water Operations
Anderson,Assistant Director of Customer Care and Solutions Vanca,Administrative Analyst Yang,
Senior Electrical Engineer Langit,Assistant City Manager Person, Economic Development Director
Hightower, Public Information Officer Quiroz, City Clerk Mendoza,
Public Participation Pub Part
Mr. Martin Quiroz addressed the Board Members regarding the de-funding of the position of M Quiroz
Public Information Officer listed in the Azusa Light &Water's FY 2005-06 Budget. He thanked Comments
everyone in the Azusa Light and Water Department and the Board Members for the opportunity to
serve the residents of the City; he cited many advertising projects that he has completed in his
role of the P1O.
The CONSENT CALENDAR consisting of items I1-A and I1-F, was approved by motion of Board Consent Cal.
Member Rocha, seconded by Board Member Carrillo and unanimously carried with the exception Approved
of items II-B and F which were considered under the Special Call portion of the Agenda. Board
Members Rocha and Hanks abstained from the approval of the Minutes of April 25 as they were
not in attendance at the meeting.
A. The Minutes of the regular meeting of April 25, 2005, were approved as written. Board Min appvd
Members Rocha and Hanks abstained.
SPECIAL CALL ITEM. Spec Call
_ Formal bidding procedures were waived for the purchase of one Ford 350 Pickup Truck with Purchase 350
service body and the purchase was awarded to Downtown Ford Sales under the California Ford Pickup
Multiple Award Schedule (CMAS) in the amount of$26,176.89.
Equifax
D. Approval was given to award a three-year contract to Equifax for consumer authentication Contract
products and identity fraud prevention measures; and require identity verification and credit Authen
check for all new residential customers and charge on pass-through basis. Products
E. Approval was given for additional compensation to Wren &Associates in the amount of Add Comp
$6,500 for extra time spent on their contract to inspect W-194. Wren &
Assoc
F. SPECIAL CALL ITEM.
Spec Call
Special Call Items Spec Call
Items
Director of Utilities Hsu addressed item regarding the award of purchase of one 12,000 lb. Dir of Util
capacity LPG fork lift from Yale/Chase Materials Handling, Inc., stating that the company will not Purchase of
be able to meet delivery requirements of June 30th and requested to approve next highest bidder Fork lift
Johnson Lift/Hyster in the amount of$50,683.73. City Attorney Martinez and Staff were directed Review
to review issue and readdress later in the meeting with a decision. options
°ssistant City Manager Person addressed item regarding the proposed contract for Project Assist City
'lanagement and Engineering Services for Forest Gateway Interpretive Center detailing the Mgr
ackground of the project which began prior to Board Members Hanks and Carrillo's tenure on Forest
`The Utility Board. He presented an overview of the project which is the development of the US Gateway
Forest Service Station located at the intersection of Highway 39 and Old San Gabriel Canyon Interpretive
Road. He described the project amenities, relationship with Northeast Trees, funding sources, Center
cost of the project, revised schedule and noted that staff is requesting to eliminate Northeast Contract
Trees as the middle man for the project and contract with sub contracting consultants Office of Project
Sustainable Architecture. He stated that the project includes the Memorial Grove,and detailed US Management
Forest Services lease agreement with Light and Water; he described current Center and plans for Item con't
future Center. He then answered questions posed by Board Members regarding public restrooms; After L&W
discussion was held regarding El Encanto property and the possibility of the Interpretive Center in Budget
that location instead. Mr. Person advised that there will be an increased cost for the current Presentation
project of $300,000. Discussion was held between Board Members and staff regarding the
project, its funding and rate on return. It was consensus of the Board Members that no action be
taken on this item until after the presentation of the Utility Board Budget later on in the meeting.
City Attorney Martinez re-addressed item regarding purchase of the 12,000 lbs forklift,requesting City Attny
that the item be continued in order to review the specifications with staff to see if the delivery Martinez
deadline requirement was included. Assistant to the Utilities Director Kalscheuer expressed Fork Lift
concern regarding re-bid due to timeline of the project,but indicated that they could possibly rent Issue
a forklift in the interim. It was consensus of the Board Members that the item be continued to the Continued to
regular City Council meeting of June 6, 2005, in order to see if it was feasible to re-bid the 6/6/05
purchase or go with the second bidder if the first bidder is unresponsive, or rental a fork lift if Council Mtg
necessary.
05/23/05 PAGE TWO
Scheduled Items Sched Items
Azusa Licht and Water Department Presentation. Director of Utilities Hsu provided an overview Dir of Utilities
of the Utilities Department which consisted of the following: Organizational Chart, Mission Overview
Statement, Department Overview i.e. Key Functions, Attributes of Public Owned Utility, Local Utilities
Control, Customer - Owner, a Tool for Economic Development, Economic Benefits Stay With Department
Community, i.e. Franchise, In-Lieu Tax, Discounted/Free Services, and Interest Income &
Allocations. He detailed the Interest Income &Allocations stating that Board Members, City
Manager, he and staff have devised a mechanism to keep track of how much they contribute to
the General Fund and what can be done with the interest income; which is only to be used for
Capital Improvement Projects; it was noted that allocations is a way to keep track of what is being
paid out to departments for services.
Assistant to Director of Utilities Kalscheuer presented the Administration&Solid Waste Division of Department
the Utilities Department which included Responsibilities,Administration and Key Issues. Assistant Presentation
Director of Customer Care &Solution Division Vanca presented Customer Services, and Public
Benefit portion of the Utilities Department. Director of Utilities Hsu presented Electric Division
Operations. Senior Electrical Engineer Langit presented Engineering Division Functions, Key
Projects, Issues & Challenges. Assistant Director of Resource Management Tang presented
information on Power Resources, Power Operations, Key Issues,and Long Term Competitiveness
for the Resource Management Division. Assistant Director of Water Division Anderson presented
the Water Division-The Water System, Local Water Agencies,Spreading Water,Sources of Water,
Cost Considerations and what's on the horizon. Questions posed by Board Members were
answered accordingly.
Azusa Light &Water FY 2005-06 Budget. Director of Utilities Hsu presented a breakdown of Azusa Light &
Utility Department Budget by Fund Numbers, and Functional Areas, describing what each fund Water FY
entails as well as increases or decreases in funding for Fiscal Year 2005-06 proposed budget. He 2005-06
then answered questions posed regarding the Public Information Officer position and funding. He Budget
also responded to questions regarding breakdown of funding of the transfers and allocations of
$6,446,439, which would be provided to support the city's general fund, City administrative
services, and capital improvement projects. Board Member Rocha requested that a list services
of the Public Information Officer Office be provided before it is presented as a supplemental to
the General Fund Budget. Mr. Hsu then responded to questions regarding increases in prior year
budgets, Capital Improvement Budget, sign for southeast side of Light &Water office building,
and increase in Utility Board Budget from 04-05, which was for Technology Allowance.
Moved by Board Member Hardison,seconded by Board Member Hanks and unanimously carried Azusa Light &
to approve the operating budget for the Utilities Department in the amount of$60,707,511 for Water Budget
fiscal Year 2005-06 and direct staff to incorporate the budget into Citywide operating budget for Approved
next fiscal year. Board Member Carrillo noted that a list was to be provided regarding the Public
Information Officer services before the item is considered as a supplemental budget item in the
General Fund.
Moved by Board Member Rocha, seconded by Board Member Hardison and unanimously carried Office of
to approve the proposal for contract project management services and value engineering for the Sustainable
Forest Gateway Interpretive Center in the amount not to exceed $50,000 to the firm of Office of Architecture
Sustainable Architecture. Inter. Cntr
Board Member Hardison offered a Resolution entitled:
05/23/05 PAGE THREE
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF AZUSA DECLARING ITS INTENTION TO Res. 05-050
REIMBURSE CERTAIN EXPENDITURES FROM THE PROCEEDS OF A PROPOSED TAX-EXEMPT Intention
FINANCING, AS REQUIRED BY UNITED STATES DEPARTMENT OF TREASURY REGULATIONS Reimburse
-,ECTION 1.150-2. Expenditures
From Tax
`Aoved by Board Member Hardison, seconded by Board Member Hanks to waive further reading Exempt
and adopt. Resolution was passed and adopted by the following vote of the Board Members: Financing
AYES: BOARD MEMBERS: HARDISON, CARRILLO, ROCHA, HANKS, CHAGNON
NOES: BOARD MEMBERS: NONE
ABSENT: BOARD MEMBERS: NONE
Staff Reports/Communications Staff Rpts
The Monthly Updates on the Electric Yard Renovations Project, Systems &Software Customer Monthly
Information System, Power Resources and Legislative and Regulatory issues were noted, but not Updates
discussed in detail. No detail
Director's Comments Dir Corn
Director of Utilities Hsu announced that APPA will be having its Annual Conference on June 18-22 APPA Annual
in Anaheim and advised if anyone is interested in attending should let him know. Conference
It was consensus of the Utility Board Members to recess at 8:48 p.m. and conduct its Closed Recess
Session at the same time the City Council recesses to its Closed Session portion of the meeting. Utility
The Utility Board reconvened its meeting at 10:44. Board
:losed Session Closed Sess
The Utility Board Members recessed to Closed Session at 10:44 p.m. to discuss the following: Recess
CONFERENCE WITH LEGAL COUNSEL-ANTICIPATED LITIGATION
Government Code Section 54956.9—One Potential Case
The Utility Board Members reconvened at 11:05 p.m. Reconvened
City Attorney Martinez advised that there was no reportable action taken in Closed Session. City Attny
Comments
It was consensus of the Utility Board Members to adjourn.
Adjourn
TIME OF ADJOURNMENT: 11:06 P.M.
t
SECRETARY
NEXT RESOLUTION NO. 05-051.
_5/23/05 PAGE FOUR