09-1103_CC_Minutes_Adjourned Regular Meeting MINUTES
November 3, 2009
Joint Workshop
SAN JUAN CAPISTRANO
CITY COUNCIL
UTILITIES COMMISSION
Mayor Nielsen called the Adjourned Regular Joint Meeting of the San Juan Capistrano
City Council and Utilities Commission to order at 3:03 p.m. in the City Council Chamber.
ROLL CALL
COUNCIL MEMBERS PRESENT: Sam Allevato, Tom Hribar, Laura Freese,
Mayor pro tem Dr. Londres Uso and Mayor Nielsen
COUNCIL MEMBERS ABSENT: None
UTILITIES COMMISSIONERS PRESENT: Alan Freisleben, Lee Goode, Richard HaM,
Vice-Chair Raymond Miller, and Chairman Daniel Merkle.
UTILITIES COMMISSIONER ABSENT: None
PLEDGE OF ALLEGIANCE: Chairman Merkle led the Pledge of Allegiance
ORAL COMMUNICATIONS: None
DISCUSSION ITEM
C1. WATER RATE STUDY REPORT, RECIVED AND FILED -- Wastewater Rate
Study Report continued to November 17, 2009
Cindy Russell, Assistant City Manager provided a staff report and responded to
questions. Ann T. Bui, Black & Veatch provided a slide presentation and
responded to questions.
Utilities Commission Comments:
• Concerns with supply and demand and lack of planning for a possible
decrease in demand due to rate increases. I
• Felt study is a complicated matter, but overall confident about the
recommendation.
• Do not recommend an agricultural subsidy as it is no longer offered by
Metropolitan Water District (MWD).
• Would like the opportunity to further study operational efficiencies.
11-3-2009
City Council Comments:
Preference in having other fee comparisons from other agencies.
Need to continue further study Ocean Desalinization.
• Preference in continuing the farm subsidy.
0 Preference in adding entitlements on new projects (buildings).
• Preference in Implementation of Financial Plan - and Rate Structure
Option No. 2B.
Felt Option No. 3 can be further studied in the future together with the
Advanced Wastewater Treatment Plant (AWT) and Ocean Desalinization.
• Importance in maintaining the City's own Water Department in order to
provide predictable water rates to the residents.
• Importance in knowing what infrastructure the City owns and what
condition they are in.
« Not in favor to subsidy from the General Fund for agricultural.
• Felt operating efficiencies & cost savings need further study.
• Need to be able to provide the product and service at the most efficient
and cost effective way to avoid putting the burden on tax payers.
• Would like to bring back the impact on the rate proposal by doing the
360 day reserve versus the 180 days reserve.
Importance of agricultural preservation.
• In favor of direct automatic pass-through, and preference in excluding the
Metropolitan Water District (MWD) rate increases in the future from the
City's plan rate increases.
Need to increase the Delta between the low users (Tier 1) and the
average user (Tier 2) in order to reward low usage.
• Concern with commercial users not baring their fair share of the increase.
• Need written commitments for recycled water from Santa Margarita Water
District and Moulton Niguel Water District, press to have most favored
nation pricing, and pursuing buying into a pro rata reservoir for storage.
Felt the cost and return is not sufficient benefit for the construction of the
Advanced Wastewater Treatment Plant (AWT).'
ADJOURNMENT
City Council: Mayor Nielsen adjourned the meeting at 5:29 p.m. to Tuesday,
November 3, 2009 at 5:30 p.m. for Closed Session, and then to 6:30 p.m. for the public
Business Session, in the City Council Chamber.
Utilities Commission: Chairman Merkle adjourned the meeting at 5:29 p.m. to Tuesday,
November 24, 2009, at 8:00 a.m. for the public Business Session, in the
City Council Chamber.
z 11-3-2009
RespeeU! miffed,
MARIA M Ftft, CITY CL/ K
Approved: December 15,200
ATTEST:
DR. LONDRES USO, MAYOR
11-3-2009