BOARD MEETING & COMMITTEE MEETING AGENDA PACKETS

Transcription

1 BOARD MEETING & COMMITTEE MEETING AGENDA PACKETS

2 AGENDA BOARD OF WATER COMMISSIONERS INFRASTRUCTURE COMMITTEE COMMISSIONER FRANK MARTINEZ/COMMISSIONER ART LEVINE TUESDAY, FEBRUARY 16, AT 9:00 A.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA Staff: Eric Leung 1. Call to Order 2. Briefing regarding Long Beach Water Department Desalination Research activities to date 3. New Business 4. Adjournment AN OPPORTUNITY WILL BE GIVEN TO THE PUBLIC TO ADDRESS THE COMMITTEE OF THE BOARD OF WATER COMMISSIONERS CONCERNING THE SUBJECT MATTER. EACH PERSON WILL BE ALLOWED THREE MINUTES UNLESS EXTENDED BY THE COMMITTEE CHAIR. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

3 February 16, 2016 Infrastructure Committee Page 2 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

4 AGENDA BOARD OF WATER COMMISSIONERS REGULAR MEETING THURSDAY, FEBRUARY 4, 2016 AT 9:00 A.M. LONG BEACH WATER DEPARTMENT ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA *** THE REGULAR MEETING OF THE BOARD OF WATER COMMISSIONERS SCHEDULED FOR THURSDAY, FEBRUARY 4, 2016 AT 9:00 A.M. HAS BEEN CANCELED ***

5 AGENDA BOARD OF WATER COMMISSIONERS SPECIAL MEETING OF WEDNESDAY, FEBRUARY 3, 2016, AT 9:00 A.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA 1. Pledge of Allegiance 2. Public Comment: GIVEN TO THE PUBLIC TO ADDRESS THE BOARD OF WATER COMMISSIONERS CONCERNING NON-AGENDA ITEMS AND OTHER ITEMS WITHIN THE JURISDICTION OF THE BOARD. EACH PERSON WILL BE ALLOWED FIVE MINUTES UNLESS EXTENDED BY THE BOARD. 3. Approval of Minutes January 21, President s Report Frank Martinez, President, Board of Water Commissioners 5. Committee Reports Finance Committee Report of February 1, 2016 Meeting 6. General Manager s Report Christopher J. Garner, General Manager 7. Authorize the General Manager to enter into contracts with 1) Taylor Company, 2) VWR, 3) W.W. Grainger Inc., and 4) USA Bluebook, to furnish and deliver laboratory materials and supplies in an amount not to exceed $200,000 for a period of three years (2/11/16 to 2/10/19) Tai Tseng, Director of Operations 8. Adopt Specifications WD and authorize the General Manager to execute an agreement with Western Water Works Supply Company to furnish and deliver fittings for ductile iron pipe in an amount not to exceed $115,000 for a period of one year, and to exercise the options to renew during two additional one-year periods for an amount not to exceed 5% during each of the two renewal periods Tai Tseng, Director of Operations 9. Discovery Cube Annual Summary of Education Program Activity Kaylee Weatherly, Assistant to the General Manager 10. Water Supply Update B. Anatole Falagan, Assistant General Manager

6 February 3, 2016 Page Legislative/Public Affairs Issues Kaylee Weatherly, Assistant to the General Manager 12. New Business 13. Adjournment to the next Regular Meeting, Thursday, February 18, 2016, at 9:00 a.m. in the Board Room at 1800 E. Wardlow Road, Long Beach, CA. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

7 February 3, 2016 Page 3 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

8 MINUTES REGULAR MEETING OF THE BOARD OF WATER COMMISSIONERS LONG BEACH, CALIFORNIA JANUARY 21, 2016 The Board of Water Commissioners of the City of Long Beach met in the Board Room of the Administration Building, 1800 E. Wardlow Road, Long Beach, California, on January 21, The meeting was called to order at 9:00 a.m. by President Martinez. PRESENT: Frank Martinez Commissioner Arthur Levine Commissioner Gloria Cordero Commissioner Harry Saltzgaver Commissioner Richard Anthony Deputy City Attorney Christopher J. Garner General Manager Sandra L. Fox Secretary to the Board of Water Commissioners B. Anatole Falagan Assistant General Manager Paul T. Fujita Director of Finance Tai Tseng Director of Operations Matthew P. Lyons Director, Planning & Conservation Eric Leung Director of Engineering Robert Verceles Division Engineer Abelardo Rendon Division Engineer Kaylee Weatherly Assistant to the General Manager Dynna Long Office Administrator Ken Bott Administrative Officer Doug McKee Treatment Operations Superintendent Dean Wang Conservation Specialist Jennyffer Vasquez Conservation Intern Evana Gendron Business Systems Specialist IV Greg Sorensen Administrative Analyst III Jacob Hester Civil Engineer Sean Crumby Deputy Director of Public Works/Civil Engineer ABSENT: Robert Shannon Commissioner (EXCUSED) 1. PLEDGE OF ALLEGIANCE Doug McKee led the Board and audience in the Pledge of Allegiance. 2. PUBLIC COMMENT President Martinez opened the public comment period.

9 Board of Water Commissioners January 21, 2016 Page 2 As there were no requests to address the Board on non-agenda items, the public comment period was closed. 3. APPROVAL OF MINUTES January 7, 2016 President Martinez announced agenda item 3. Commissioner Levine made a motion to approve the minutes of January 7, Commissioner Saltzgaver seconded the motion. President Martinez called for any questions, comments or corrections regarding the minutes. Hearing none he called for the vote. The motion carried unanimously. 4. REVIEW BOARD MEETING SCHEDULE FOR FEBRUARY 2016 Frank Martinez, President, Board of Water Commissioners President Martinez advised that he and Commissioner Cordero would not be able to attend the currently scheduled February 4 th Board meeting. There was general discussion regarding adjusting the meeting date for the first meeting in February. President Martinez suggested moving the meeting to Wednesday, February 3 rd. He asked the Board Secretary to check Commissioner Shannon s schedule and then get back to the Board if the meeting date was moved to 9:00 A.M. on Wednesday, February 3, PRESIDENT S REPORT Frank Martinez, President, Board of Water Commissioners President Martinez noted Commissioner Shannon s absence, and appointed Commissioner Cordero as Acting Secretary for the January 21, 2016 Board meeting. President Martinez welcomed Sean Crumby, Deputy Director of Public Works/City Engineer to the Board meeting. Mr. Garner provided a brief summary of Mr. Crumby s career and current responsibilities. Mr. Crumby thanked the Board for the opportunity to meet with them, and expressed his desire to work with the Board and Long Beach Water Department staff on issues of common interest. President Martinez reported that the Board tour of the Carlsbad desalination plant was confirmed to take place on Friday, February 19, He noted Mr. Crumby s background in desalination, and noted he might be able to offer assistance regarding this issue in the future.

10 Board of Water Commissioners January 21, 2016 Page 3 President Martinez commented on attending the Aquatic Capital Foundation dinner with some of his fellow Commissioners, held January 20, 2016 and noted that former Long Beach Water Department General Manager, Kevin Wattier had been awarded the Citizen of the Year award, and the Long Beach Water Department had received Organization of the Year award. Mr. Garner showed the Board the award the department had received and noted the various certificates and proclamations received from the Long Beach City Council; Los Angeles County Supervisor Knabe and Congressman Lowenthal. President Martinez noted the following upcoming conferences scheduled for the Board: February 10-12, 2016 Urban Water Institute Spring Conference, Palm Springs, CA February 23 25, 2016 ACWA Legislative Conference Washington, DC 6. GENERAL MANAGER S REPORT Christopher J. Garner, General Manager STATE OF THE CITY OVERVIEW Mr. Garner reported on the Long Beach Water Department s participation at the State of the City event. He noted that the Mayor s office had displays from the three main sponsors (Harbor Department; Long Beach Water Department and Long Beach Transit) set up in front of the Terrace Theater for the public to view prior to the speech. Ms. Weatherly provided a slide show and summary of the department s various displays that were included. Mr. Garner advised the Mayor s speech included positive comments and accomplishments. He noted that the Mayor included remarks regarding water conservation efforts made by the citizens and businesses, and again stressed to the public the continued need for conservation efforts. He noted it was estimated that there were roughly 2,000 in attendance at the event. Commissioner Saltzgaver reminded the General Manager that the Board had requested a final accounting be provided to the Long Beach Water Department regarding the final expenses for the State of the City event per the action taken at their January 7, 2016 Board meeting. Commissioner Levine complimented staff, and particularly Ms. Weatherly regarding the department participation and noted there was a lot of citizen interactivity with the department s exhibits.

11 Board of Water Commissioners January 21, 2016 Page 4 President Martinez noted he had received positive comments from some of the City Council members and Pat West, the City Manager, regarding the department s exhibits and participation. STATE WATER RESOURCES CONTROL BOARD (SWRCB) CONSERVATION CHANGES Mr. Garner advised the Board that there were two reports in their cubby folders related to the proposed changes from the SWRCB regarding the conservation targets. He noted their recent proposal continues the conservation target mandate through October He noted that some of the changes to the current mandate allows for some relaxation of the targets by up to 8%, for those agencies who are 1) Located in warmer climate areas; 2) Have experienced significant population growth since 2013; 3) Have invested in new drought-free local supply development such as the Carlsbad desalination plant. He noted a final decision on the revised mandate was expected by February 2 nd, He reported that the conservation target for Long Beach would remain at 16%. Commissioner Levine requested clarification regarding the 16% conservation target. Mr. Garner provided a response. NATIONAL SCIENCE FOUNDATION WORKSHOP JANUARY 14, 2016 Mr. Garner called on Mr. Tseng for a report regarding the workshop he attended on January 14, Mr. Tseng provided the following report: He noted the purpose of the workshop was to engage the environmental community on Direct Potable Reuse (DPR). He reported the goal of the workshop was to provide a forum for environmental groups to learn more about technical and social aspects of DPR, its role as part of a sustainable water supply and identify challenges, strategies, solutions, and messages to help environmental groups support and advance DPR. He advised that multiple presentations were given by various stakeholders. He advised a link to the workshop presentations would be ed to the Board members. He provided a briefing on some of the takeaway points of the workshop: State Legislature has mandated State Water Board (SWB) Division of Drinking Water (DDW) to adopt regulations for IPR by December 31, 2016 State Legislature is also requiring SWB DDW to investigate and report back on the feasibility of developing uniform water recycling criteria for DPR by December 31, 2016

12 Board of Water Commissioners January 21, 2016 Page 5 The State established a goal of achieving 2.5 MAF of recycled water use by He noted, as of today, it is estimated that recycling is at less than 1 MAF, well short of the goal. He advised it was clear that the environmental community that was present (Coast Keepers Alliance, Natural Resources Defense Council (NRDC) were supportive of IPR and DPR. He also advised it was very clear they opposed desalination, unless the recycled water option was fully exhausted. He reported another key concern the environmental group had was although they supported IPR and DPR, they would not support any relaxation of the CEQA process. He advised that messaging will be key to success of DPR. He noted there was a need to avoid using the word wastewater anywhere in the messaging; and instead consider using the term purified water. He reported that In Singapore, where they do Surface Water Augmentation, they call it new water. He reported that one unintended consequence of conservation is an increase of corrosive environment in the sewer pipelines. He noted this will be a major cost issue if it is not addressed. He advised this does not mean abandoning conservation, rather, unintended consequences must be investigated, and the water community needs to be proactive in developing solutions. He noted that LBWD had recently investigated using an enzyme called Bio Magic that is dripped into the sewer pipes to assist in the abatement of the corrosive environment. He reported that test pilot project results so far had been very successful. At this point in the meeting, President Martinez called for an Infrastructure Committee meeting to be held February 18, 2016 at 8:00 A.M. He advised the topic for discussion at this meeting should be a review of the Long Beach Water Department desalination program. Commissioner Levine asked for clarification on the origin of the hydrogen sulfide gas concentrations in the sewer pipes. Mr. Tseng advised that the system relies on flow to move waste along in the pipelines. He noted with lower flows waste can become stagnant which can create septic conditions creating the hydrogen sulfide and sulfuric acid which can corrode the pipeline. Commissioner Levine asked if conservation reduced the flow. Mr. Tseng advised that with newer technology for toilets, dishwashers and washing machines, less water is being used for flushing, which reduces the carry water to move waste along in the sewer pipes. Commissioner Saltzgaver inquired if LBWD has any concerns with both water and sewer pipes as it relates to lead leaching and corrosion.

13 Board of Water Commissioners January 21, 2016 Page 6 Mr. Tseng advised that under regulations the LBWD is required to monitor at customer taps every three years. He noted the last round of testing was completed around one year ago, and levels for lead were found to be well below the regulatory limits. He commented on the conditions that are contributing to the issues currently being addressed in Flint, Michigan. Commissioner Saltzgaver requested a better explanation to a request he had made a couple of months ago as to why Los Angeles County Sewer has to provide outflow at their treatment plant, thus wasting potential recycled water. Mr. Tseng advised this was an issue discussed in the Hertzberg Bill SB-163. He advised that various agencies such as MWD are looking at creating new water through reclaimed water projects in answer to this bill. Commissioner Saltzgaver restated his inquiry by noting that he wants an explanation as to why the Los Angeles County Sewer plant feels that it has to dump about one-third of the sewer water they treat into the ocean, instead of using it for recycled water purposes. Commissioner Saltzgaver requested that a report be provided to the Board regarding this issue. Mr. Tseng advised he would do some research on this matter and come back to the Board, or he advised he might be able to have someone from the County come and provide a report regarding this issue. Commissioner Cordero recommended that LBWD consider providing some messaging (post on online; through a bill stuffer; or a media release) to the Long Beach residents and businesses regarding the water condition issues occurring in Flint, Michigan to ease the minds of the Long Beach community and be more proactive. President Martinez responded, and advised that he had spoken with the General Manager regarding this matter, and had been advised that staff would work with Ms. Weatherly on creating a media release. GAS SMART METER PROGRAM PRESS RELEASE Mr. Garner reported that the Gas Department had put out a press release through the City last week regarding their Smart Meter program. He advised that he had heard that during some of the briefings with the Council members they had inquired where the Water Department stood on Smart Meter implementation. He advised he would be providing the Mayor and City Council with a memo explaining that the Water Department was doing their own study regarding AMI since the department s needs are different than a gas utility, and that a decision is a little bit down the line on whether the department would go forward with this type of product.

14 Board of Water Commissioners January 21, 2016 Page 7 President Martinez inquired when the LBWD Smart Meter study would be completed. Mr. Falagan advised the report was expected in April CONSENT CALENDAR President Martinez announced the consent calendar item and called for a motion. Commissioner Saltzgaver made a motion to approve the Consent Calendar item. Commissioner Cordero seconded the motion. President Martinez asked if there was any questions or discussion regarding the Consent Calendar item. He called for any public comment. Hearing none he called for the vote. The motion carried unanimously. 7a. Approval of Transfer of Funds by Journal Entry Dated January 21, 2016 A communication was presented to the Board from Paul Fujita, which is on file at the Long Beach Water Department. 8. AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT WITH CARPI & CLAY, FOR FEDERAL LIAISON AND ADVOCACY SERVICES FOR THE PERIOD BEGINNING JANUARY 1, 2016 AND ENDING DECEMBER 31, 2016, WITH AN OPTION TO EXTEND THE AGREEMENT FOR ONE YEAR B. Anatole Falagan, Assistant General Manager Mr. Falagan noted this item was being brought back to the Board after a previous review at the December 17, 2015 Board meeting where there had been a request for an expanded report on their previous year s advocacy activities. He noted this expanded report was attached to the Board letter. He also noted Carpi & Clay had revised their budget to include coordination of activities for hosting Commissioners traveling to Washington, DC for conferences, as well as a return trip for the firm to work with LBWD to develop the Federal Legislative Agenda for the coming year. He further advised that at a minimum they would be providing quarterly reports on their efforts on behalf of LBWD. Commissioner Saltzgaver made a motion to authorize the General Manager to execute an Agreement with Carpi & Clay, for Federal Liaison and Advocacy Services for the period beginning January 1, 2016 and ending December 31, 2016, with an option to extend the Agreement for one year. Commissioner Cordero seconded the motion. President Martinez called for questions or comments from the Board. Commissioner Saltzgaver thanked staff for their responsive action and the expanded report that the Board had requested.

15 Board of Water Commissioners January 21, 2016 Page 8 Commissioner Levine requested clarification on how Carpi & Clay would be hosting the Board. Mr. Falagan advised that Carpi & Clay staff would be expending time to accompany Commissioners at Washington, DC conferences, and could assist Board members in setting meetings with legislators; and coordinating any other meetings they might request while at the conferences. Mr. Levine requested clarification on the term of the agreement, and how that term could be extended. Mr. Falagan described the procedure for extending terms for agreements. Mr. Levine asked whose option it was to extend agreements. Mr. Falagan advised the option was up to the Board and the General Manager. President Martinez advised he had been impressed by the firm s follow-up to the Board s request, and complimented them on their excellent report. President Martinez reported that Carpi & Clay also represents the City of Long Beach, and he has become aware that there are some City measures that might coincide with Long Beach Water Department issues, so he recommended that before the City legislative trip takes place in April, that LBWD staff sync up with City staff to coordinate legislative agendas. Commissioner Levine reported to the Board that after the conclusion of the February 2016 ACWA Legislative conference that he would be extending his stay in Washington at his own expense. He advised that he had arranged a meeting with Congressman Lowenthal after the conclusion of the conference. He requested that if anyone had a particular issue they would like him to discuss with the Congressman to let him know. Commissioner Cordero advised that it would be a good opportunity for the Water Department to work with Diana Tang from the City Manager s office to coordinate the legislative agenda. President Martinez called for any further questions or comments from the Board. He called for questions from the public. Hearing none he called for the vote. The motion carried unanimously.

16 Board of Water Commissioners January 21, 2016 Page 9 9. AUTHORIZE THE GENERAL MANAGER TO ENTER INTO CONTRACTS WITH (1) TRI COUNTY PUMP COMPANY, (2) GENERAL PUMP COMPANY, INC, AND (3) WEBER WATER RESOURCES, FOR ON-CALL WELL AND PUMP ASSEMBLIES MAINTENANCE AND REPAIR SERVICES IN AN AMOUNT NOT TO EXCEED $600,000 FOR THE SERVICES, FOR A PERIOD OF THREE YEARS (2/1/16 TO 1/31/19) Tai Tseng, Director of Operations Commissioner Saltzgaver made a motion to authorize the General Manager to enter into contracts with (1) Tri County Pump Company, (2) General Pump Company, Inc, and (3) Weber Water Resources, for on-call well and pump assemblies maintenance and repair services in an amount not to exceed $600,000 for the services, for a period of three years (2/1/16 to 1/31/19). Commissioner Cordero seconded the motion. Mr. Tseng provided a briefing regarding the three requested contracts for on-call well and pump assembly maintenance and repair services. He noted the RFP was sent to pre-qualified firms who have the rigs, other specialized equipment and expertise. He advised that when this type of repair is required the three vendors are called out to look at the requested repair job and they will each submit a bid on that repair job. He then advised the department will select the lowest price from the three vendors. He advised that the contracts establish a cap on expenditures before staff would need to come back to the Board. Note: President Martinez left the meeting at 9:38 A.M. Mr. Tseng advised the Board that staff had compiled costs (and made this document an attachment to the Board letter) for this type of service for the years for comparison purposes. Note: President Martinez returned to the meeting at 9:40 A.M. President Martinez called for questions or comments from the Board. Commissioner Levine requested clarification on the RFP process used for these contracts. Mr. Tseng provided a response, noting that some firms chose not to submit. President Martinez called for questions or comments from the public. Hearing none he called for the vote. The motion carried unanimously.

17 Board of Water Commissioners January 21, 2016 Page Adopt Specifications WD for the J. Will Johnson Tank No. 2 Rehabilitation Project (EO-3305) and authorize the General Manager to sign a construction contract with Advanced Industrial Services, Inc., in the amount of $769,260 K. Eric Leung, Director of Engineering/Chief Engineer Mr. Leung noted the scope of work for the proposed CIP project was part of LBWD s regular tank maintenance work. He summarized the details of the bid process. President Martinez inquired who had supplied the engineer s estimate. Mr. Leung advised it was Harper Engineering. Commissioner Saltzgaver made a motion to adopt Specifications WD for the J. Will Johnson Tank No. 2 Rehabilitation Project (EO-3305) and authorize the General Manager to sign a construction contract with Advanced Industrial Services, Inc., in the amount of $769,260. Commissioner Cordero seconded the motion. President Martinez called for questions or comments from the Board. Hearing none he called for questions or comments from the public. Hearing none he called for the vote. The motion carried unanimously. 11. AUTHORIZE THE GENERAL MANAGER TO EXECUTE A DEVELOPER S AGREEMENT WITH DOUGLAS PARK ASSOCIATES III, LLC TO CONSTRUCT NEW POTABLE WATER MAINS, RECYCLED WATER MAINS, AND SANITARY SEWER MAINS FOR THE DOUGLAS PARK SEGMENT 6 DEVELOPMENT K. Eric Leung, Director of Engineering/Chief Engineer Mr. Leung provided background information regarding the requested Developer s Agreement and history of this specific project. He noted that the Board had originally approved a Developer s Agreement for this project in 2009 with The Boeing Company for a five-year term. He reported that in April of 2012 the agreement was assigned to Sares-Regis Group DBA Douglas Park Associates III, LLC in conjunction with a change of land ownership. He noted because of the economic downturn work was never started and the agreement had expired in November He noted Douglas Park was now ready to recommence with the construction through this new agreement. Commissioner Saltzgaver made a motion to authorize the General Manager to execute a Developer s Agreement with Douglas Park Associates III, LLC to construct New Potable Water Mains, Recycled Water Mains, and Sanitary Sewer Mains for the Douglas Park Segment 6 Development. Commissioner Cordero seconded the motion.

18 Board of Water Commissioners January 21, 2016 Page 11 President Martinez called for questions or comments from the Board. Commissioner Levine requested clarification on who would be constructing the items associated with the agreement, and who would be managing the project. Mr. Leung explained in detail the particulars of the project. Mr. Garner also provided background on how this particular developer s agreement would operate, noting in the end after all of the construction, LBWD would inspect the project to make sure the various pipelines and associated equipment met the specifications of LBWD before accepting the property for the LBWD. At this point in the meeting, the City Attorney explained that President Martinez had advised him that his firm is currently involved with Sares-Regis Group and City Ventures, Inc. and President Martinez had inquired if this would be a conflict of interest for him to vote on items 11. and 12. The City Attorney advised that he did not feel it was a conflict of interest, but since he had not had time to research the issue, he noted in the abundance of caution he recommended that President Martinez abstain from voting on agenda item 11. and 12. President Martinez turned the gavel over to Vice President Levine to conduct the vote for agenda items 11. and 12. President Levine called for any further questions from the Board. He then called for public comment. Hearing none he called for the vote. The vote was 3 yes; 1 abstain and 1 absence. 12. AUTHORIZE THE GENERAL MANAGER TO EXECUTE THE DEVELOPER S AGREEMENT WITH CITY VENTURES, INC. FOR THE RELOCATION OF A POTABLE WATER MAIN FOR THE 227 ELM AVENUE DEVELOPMENT K. Eric Leung, Director of Engineering/Chief Engineer Vice President Levine introduced agenda item 12. and called for a staff report. Commissioner Cordero made a motion to authorize the General Manager to execute the Developer s Agreement with City Ventures, Inc. for the relocation of a potable water main for the 227 Elm Avenue development. Commissioner Saltzgaver seconded the motion. Mr. Leung provided a briefing regarding the proposed agreement with City Ventures, Inc. He noted the new building would be too close to an existing LBWD water main, so the Developer s Agreement will cover the relocation of the main that will be built to LBWD specifications and become a public facility and property of LBWD.

19 Board of Water Commissioners January 21, 2016 Page 12 Vice President Levine called for any questions or comments from the Board. Commissioner Saltzgaver requested clarification regarding the location of the new line. Mr. Leung responded, and referred to the Board attachment. Vice President Levine called for any other questions or comments from the Board. He then called for questions or comments from the public. Hearing none he called for the vote. The vote was 3 yes; 1 abstain and 1 absence. Vice President Levine returned the gavel to President Martinez who presided over the balance of the meeting. 13. AUTHORIZE THE GENERAL MANAGER TO ISSUE A PURCHASE ORDER WITH RAFTELIS FINANCIAL CONSULTANTS, INC., FOR AN AMOUNT NOT TO EXCEED $168,000, TO CONDUCT A COST OF SERVICE AND RATE STUDY FOR POTABLE WATER, RECLAIMED WATER, AND SEWER SERVICES B. Anatole Falagan, Assistant General Manager Mr. Falagan summarized the RFP and interview process that had led to the selection of Raftelis to perform the Cost of Service and Rate Study. He provided an outline of the basic scope of work to be performed, which included coordination with the Board on the development of rate structure alternatives. He gave a brief overview of the firm and their excellent qualifications that formed part of the selection decision. Commissioner Saltzgaver made a motion to authorize the General Manager to issue a Purchase Order with Raftelis Financial Consultants, Inc., for an amount not to exceed $168,000, to conduct a cost of service and rate study for potable water, reclaimed water, and sewer services. Commissioner Cordero seconded the motion. Commissioner Levine inquired if there were representatives of the firm in attendance at the Board meeting. Mr. Falagan advised that unfortunately both the Project Manager and Assistant Project Manager were traveling, and apologized for not being able to attend the Board meeting. President Martinez advised that he had met some of the Raftelis staff at the conference in Indian Wells, and was impressed with what their firm had to offer. He noted he had also spoken with other General Managers who had worked with Raftelis and noted they came highly recommended. Commissioner Saltzgaver inquired if there would be conversations regarding a conservation-based rate structure during the study.

20 Board of Water Commissioners January 21, 2016 Page 13 Mr. Falagan advised yes, that various rate structures and best practices in the industry would be considered during the process. Commissioner Saltzgaver asked how the May date of completion of the rate study would fit into the department budget calendar. Mr. Falagan responded that it roughly coordinated with the budget process. He noted there is an ability for the budget calendar to be flexed and adjusted to meet the requirements of the Proposition 218 forty-five day condition for noticing. He advised that the Board does have the ability to approve the rates independent of the budget resolution. He did note that Raftelis is well aware of the department budget calendar and would be sensitive to that during their rate study process. Commissioner Levine inquired if subsidized rates would be included in the study, or was this no longer viable due to Proposition 218. Mr. Falagan advised that under Proposition 218 and Proposition 26 the concept of subsidization becomes very narrow. He noted there were various ways to achieve these objectives with the appropriate rate methodology when properly applied. Mr. Garner advised that during the interview process Raftelis noted that they were willing to offer various rate models. He noted he felt the Board would be happy with the breadth of their knowledge and experience. Commissioner Cordero inquired about the rate setting process. Commissioner Saltzgaver commented as Chair of the Finance Committee that he advised he thought there would be a workshop where the Board could provide feedback before Raftelis completed the study. He suggested that the Finance Committee could meet as the process is unfolding to ensure that the Board s wishes are included in the final report. Mr. Garner commented that since it had been approximately nineteen years since the last rate study, that he expected that the department s entire rate structure would be revamped. He noted that Raftelis had been advised to be creative in setting their rate methodology for this study. President Martinez called for any other questions or comments from the Board. Commissioner Levine inquired if the Board was planning for a strategic plan retreat. President Martinez advised that at previous meetings there had been brief discussion about holding a strategic plan retreat, but a date had not yet been set.

21 Board of Water Commissioners January 21, 2016 Page 14 Commissioner Levine advised if it worked chronologically if the rate setting process could be considered during that session. President Martinez advised that one of the reasons they had held off setting the strategic plan session, was they were waiting for the Government Affairs Manager to be hired. There was general discussion regarding the status of the recruitment for the Government Affairs Manager position. Mr. Falagan advised the flyer had been released and was posted on various job sites. The Board requested that they receive a copy of the recruitment flyer for the position. Commissioner Saltzgaver advised he did not want the rate setting process delayed. President Martinez clarified his previous comments, and noted the strategic plan session would be independent of the rate-setting process. President Martinez called for any further questions or comments from the Board. He called for questions or comments from the public. Hearing none he called for the vote. The motion carried unanimously. 14. APPROVE THE WATER SUPPLY ASSESSMENT PREPARED FOR THE ALAMITOS ENERGY CENTER PURSUANT TO CALIFORNIA WATER CODE SECTION 10910(G)(1) Matthew P. Lyons, Director of Planning & Conservation Mr. Lyons provided a briefing on the requested water supply assessment, and noted the history and regulations requiring this type of report as part of the environmental approvals for the project. Note: Commissioner Saltzgaver left the meeting at 10:06 A.M. Commissioner Levine inquired that if the drought were to continue, would this plant s increased use of water affect the conservation numbers. Mr. Lyons explained that the Long Beach Water Department prepares an Urban Water Management Plan every five years, and he noted in the recent plan LBWD staff had allowed for an increase in the commercial sector demand. He also noted that when the plant is expected to come online in a few years, their increased water use would only represent 1% of the current LBWD demand, so he did not see this adversely affecting the conservation numbers. Note: Commissioner Saltzgaver returned to the meeting at 10:08 A.M.

22 Board of Water Commissioners January 21, 2016 Page 15 Commissioner Cordero commented on AEC having their own community outreach group, but suggested LBWD might want to partner with them to reach out to the community in their neighborhood regarding conservation messages. Mr. Lyons advised that staff would work with Ms. Weatherly regarding this suggestion. Commissioner Cordero suggested that perhaps Discovery Science might like to expand the education program to the schools in the area adjacent to the plant. Commissioner Saltzgaver made a motion to approve the Water Supply Assessment prepared for the Alamitos Energy Center Pursuant to California Water Code Section 10910(g)(1). Commissioner Cordero seconded the motion. President Martinez called for any questions or comments from the public. Hearing none he called for the vote. The motion carried unanimously. 15. ADOPT A RESOLUTION OF THE BOARD OF WATER COMMISSIONERS OF THE CITY OF LONG BEACH RELATED TO THE UNITED STATES DEPARTMENT OF THE INTERIOR BUREAU OF RECLAMATION (USBR) WATERSMART: WATER AND ENERGY EFFICIENCY GRANTS FOR FISCAL YEAR (FY) 2016 APPLICATION Matthew P. Lyons, Director of Planning & Conservation Mr. Lyons provided background information regarding the United States Department of the Interior Bureau of Reclamation (USBR) WaterSMART Water and Energy Eefficiency grants. He noted the grant application was submitted to fund the incorporation of drip irrigation into the Lawn to Garden program. He described the particulars of the suggested program, and noted the proposed rebate for the program would be set at $.50 per square foot. Commissioner Levine inquired if a homeowner would need to be participating in the Lawn to Garden program to qualify for this additional rebate. Mr. Lyons explained that this requirement had not been proposed in the application that LBWD had sent to the USBR in the grant application. There was general discussion regarding the water savings by using drip irrigation versus traditional spray irrigation. Commissioner Saltzgaver asked if the requested USBR grant would be used solely for a rebate purpose. Mr. Lyons responded that was correct. Commissioner Saltzgaver made a motion to adopt a Resolution of the Board of Water Commissioners of the City of Long Beach related to the United States Department of the Interior Bureau of Reclamation (USBR) WaterSMART: Water

23 Board of Water Commissioners January 21, 2016 Page 16 and Energy Efficiency Grants for Fiscal Year (FY) 2016 application. Commissioner Cordero seconded the motion. President Martinez called for any further questions from the Board. Hearing none he called for public comment. He then called for a Roll Call Vote. A Roll Call vote was taken as follows: AYES: COMMISSIONERS: ART LEVINE; GLORIA CORDERO HARRY SALTZGAVER; FRANK MARTINEZ; NOES: COMMISSIONERS: NONE ABSENT: COMMISSIONERS: ROBERT SHANNON ABSTAIN: COMMISSIONERS: NONE The motion carried unanimously four votes yes, one absence. 16. FISCAL YEAR 2014/2015 FINANCIAL SUMMARY B. Anatole Falagan, Assistant General Manager Mr. Falagan provided a year-end financial summary for the budget, noting the final accounting of expenditures and revenues, variance explanations, and changes in fund balances. He reviewed a slide presentation reviewing expenditures/revenues for the budget. Note: Commissioner Martinez left the meeting at 10:22 A.M. Note: Commissioner Martinez returned to the meeting at 10:25 A.M. Note: Commissioner Levine left the meeting at 10:31 A.M. Note: Commissioner Levine returned to the meeting at 10:33 A.M. President Martinez called for any questions or comments from the Board. Commissioner Saltzgaver commented that it was his perception over the past three to four years that the budget for CIP had been consistently higher than the actual expenditures for these projects. Note: Mr. Anthony left the meeting at 10:37 A.M. Mr. Falagan advised that historically the CIP expenditures had fluctuated, but he noted as the quarterly reports are presented to the Board they should receive a clearer picture of the expenditures versus the budget expenditures in this area. President Martinez commented on the reasoning behind some of the fluctuations seen in the CIP budgeted amounts.

24 Board of Water Commissioners January 21, 2016 Page 17 Commissioner Levine inquired what the pump tax was. Mr. Falagan advised this was the Replenishment Assessment (RA) charged to pumpers by the Water Replenishment District for water replenishment costs in the groundwater basins. There was general discussion regarding how long the Leo Vander Lans plant had been offline during the expansion construction. Mr. Tseng provided a background briefing on this issue. Note: Mr. Anthony returned to the meeting at 10:40 A.M. President Martinez called for any further questions or comments. Hearing none he moved on in the agenda. 17. ADOPT RESOLUTION WD-1350, A RESOLUTION OF THE BOARD OF WATER COMMISSIONERS ADOPTING THE AMENDED AND RESTATED WATER FUND ANNUAL BUDGET FOR LONG BEACH WATER DEPARTMENT FOR FISCAL YEAR AND AUTHORIZE STAFF TO TRANSMIT THE RESOLUTION AND THE BUDGET TO THE CITY MANAGER, MAYOR AND CITY COUNCIL B. Anatole Falagan, Assistant General Manager Mr. Falagan noted the results from the previous discussion of the year end FY14-15 financial summary, and how the results had led to the need for a fourth quarter budget amendment to cover the increased expenditures due to in-lieu replenishment deliveries and deliveries to the seawater barrier. He noted that the budget amendment also reflected these additional expenditures as fully cost offset by corresponding revenues. President Martinez made a motion to adopt Resolution WD-1350, A Resolution of the Board of Water Commissioners adopting the Amended and Restated Water Fund Annual Budget for Long Beach Water Department for Fiscal Year and authorize staff to transmit the Resolution and the Budget to the City Manager, Mayor and City Council. Commissioner Martinez seconded the motion. President Martinez called for questions or comments from the Board. Commissioner Cordero requested clarification on the contributing factor for the budget adjustment. She asked was the contributing factor the cost to purchase additional water for the seawater barrier operations. Mr. Falagan advised that was correct, but also noted replenishment costs for the groundwater basin had also been a contributing factor. He noted costs for these two items were fully reimbursable, or cost neutral, but he advised that the Board s spending authority needed to reflect that increase.

25 Board of Water Commissioners January 21, 2016 Page 18 Commissioner Saltzgaver inquired why an adjustment had not been necessary in the sewer fund. Mr. Falagan explained that the difference in the sewer fund was that the differences were too small to trigger a budget adjustment. Commissioner Saltzgaver advised he understood, but wanted this noted for the record. President Martinez called for any further questions or comments from the Board. Hearing none he called for public comment. He then called for a Roll Call Vote. A Roll Call vote was taken as follows: AYES: COMMISSIONERS: ART LEVINE; GLORIA CORDERO HARRY SALTZGAVER; FRANK MARTINEZ; NOES: COMMISSIONERS: NONE ABSENT: COMMISSIONERS: ROBERT SHANNON ABSTAIN: COMMISSIONERS: NONE The motion carried unanimously four votes yes, one absence. 18. REPORT OF THE METROPOLITAN WATER DISTRICT (MWD) BOARD MEETING ON JANUARY 12, 2016 Christopher J. Garner, General Manager Mr. Garner advised he had attend the MWD board meeting, and reported that the Long Beach MWD Director, Suja Lowenthal was in attendance. Mr. Garner advised that he had attended the MWD Member Agency Manager s meeting on Friday, January 15 th where they were provided with a great report on the current water supply conditions. He noted the good news from the report was that there had been a lot of snow in the Northern California area, and that the water content was reported to be very positive. He advised that the next expected storm in that area was forecast to drop about 11-1/2 inches of rain directly over Lake Oroville. Mr. Garner advised he had spoken with the MWD presenter of this report and had invited him to come to a Board meeting to present his report. He advised the presenter noted he had to clear that with his supervisor and would let the General Manager know when to schedule his presentation. 19. LEGISLATIVE/PUBLIC AFFAIRS ISSUES Kaylee Weatherly, Assistant to the General Manager Ms. Weatherly provided the following report, and noted that there were handouts in their cubby folders about each of the items:

26 Board of Water Commissioners January 21, 2016 Page 19 Legislative Affairs: She reported on Governor Brown s Water Action Plan 2.0: She noted that last week, Governor Edmund G. Brown Jr. spoke at the CA Water 2.0 conference, What s Next for the California Water Action Plan? event organized by the Association of California Water Agencies (ACWA), detailing the state's efforts to effectively manage water now and into the future. She reported the purpose of the plan is to lay out the actions that must be taken to protect water supplies for people and the environment, and to fix the state s critical water resource problems. She noted the California Water Action Plan details ten primary actions the Administration has taken and is continuing to take to address these challenges, and deliver a more reliable water supply. One of the main points addressed is developing a more reliable and sustainable water supply in the Delta, which includes the California WaterFix and California EcoRestore projects. LA Times Article - Judge orders MWD to release data on recipients of turf replacement rebates. She reported a Los Angeles County Superior Court judge ruled last Friday that the Metropolitan Water District of Southern California must release the names and addresses of recipients of millions of dollars in turf replacement rebates. The L.A. Department of Water and Power sued MWD in late July to block the release of the data to the San Diego Union-Tribune, a sister newspaper of the Los Angeles Times. Three other agencies West Basin Municipal Water District, Foothill Municipal Water District and Upper San Gabriel Valley Municipal Water District later joined the DWP suit. Judge James C. Chalfant, in a 33-page ruling, said the DWP had failed to show that the public interest would be better served by keeping the names and addresses secret than by disclosing them as required under the California Public Records Act. She reported that LBWD staff was working with the City Attorney to determine how this ruling affects Long Beach s turf removal program and possible release of names and addresses. Commissioner Levine inquired if LBWD had established a policy to deal with this type of inquiry. He also inquired about Long Beach Water joining the other seventy plus agencies who had requested to have the privacy of their rebate recipients remain private. Mr. Anthony advised that at this point it would be a moot point. There was general discussion that this had previously been considered by LBWD when the previous General Manager was still on staff, and President Martinez noted it had been decided to wait and see what would happen with the MWD lawsuit. Commissioner Levine requested clarification that this decision did not apply to LBWD.

27 Board of Water Commissioners January 21, 2016 Page 20 Mr. Anthony advised he had just read the decision, but noted that a cursory review showed that this decision only applied to MWD. He advised technically he would recommend that LBWD release the data if a request was made. Mr. Anthony advised that recent revisions to the LTG Program, informed participants in the program, that certain aspects of their personal information could become public if requested. Commissioner Saltzgaver stated that this is a use of public money, and that it certainly should be disclosed. He also noted that MWD and LADWP did not have the same threshold requirements that LBWD had set for the LTG Program, so they had ended up expending large amounts of rebate money to individual businesses. Commissioner Saltzgaver requested information regarding the timeline for when the re-circulated EIR for the Water Fix was to go for certification. He also inquired who would actually be completing the certification. Ms. Weatherly reported to the Board that the deadline for all bills that will be introduced in the State Legislature was February 19, She advised she planned to return to the Board in late February or early March with a report on the bills that had been introduced regarding water issues. 20. NEW BUSINESS President Martinez called for any new business. Commissioner Saltzgaver made a motion to excuse Commissioner Shannon from the January 21, 2016 Board meeting. Commissioner Levine seconded the motion. President Martinez called for the vote. The motion carried unanimously. President Martinez formally requested that an Infrastructure Committee meeting be set for February 18, 2016 at 8:00 A.M. regarding desalination as previously discussed in the meeting. Commissioner Saltzgaver reported that a Finance Committee meeting had also been set for Monday, February 1, 2016 at 2:00 P.M.

28 Board of Water Commissioners January 21, 2016 Page ADJOURNMENT There being no further business to come before the Board, President Martinez adjourned the regular meeting at 10:57 a.m. to the next regular meeting for the Water Commission to be held February 4, 2016, in the Board Room of the Administration Building, 1800 E. Wardlow Road, in Long Beach, California. Attest: Robert E. Shannon, Secretary Frank Martinez, President

29 ITEM 4. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING PRESIDENT S REPORT

30 ITEM 5. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING FINANCE COMMITTEE REPORT FOR FEBRUARY 1, 2016 MEETING

31 ITEM 6. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING GENERAL MANAGER S REPORT

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34

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37 ITEM 9. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING DISCOVERY CUBE ANNUAL SUMMARY OF EDUCATION PROGRAM ACTIVITY

38 ITEM 10. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING WATER SUPPLY UPDATE

39 ITEM 11. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING LEGISLATIVE/PUBLIC AFFAIRS ISSUES

40 AGENDA BOARD OF WATER COMMISSIONERS FINANCE COMMITTEE COMMISSIONER HARRY SALTZGAVER/COMMISSIONER FRANK MARTINEZ MONDAY, FEBRUARY 1, 2016, AT 2:00 P.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA Staff: B. Anatole Falagan 1. Call to Order 2. FY 15/16 First Quarter Financial Review 3. New Business 4. Adjournment AN OPPORTUNITY WILL BE GIVEN TO THE PUBLIC TO ADDRESS THE COMMITTEE OF THE BOARD OF WATER COMMISSIONERS CONCERNING THE SUBJECT MATTER. EACH PERSON WILL BE ALLOWED THREE MINUTES UNLESS EXTENDED BY THE COMMITTEE CHAIR. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

41 February 1, 2016 Finance Committee Page 2 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

42 AGENDA BOARD OF WATER COMMISSIONERS REGULAR MEETING OF THURSDAY, JANUARY 21, 2016, AT 9:00 A.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA 1. Pledge of Allegiance 2. Public Comment: GIVEN TO THE PUBLIC TO ADDRESS THE BOARD OF WATER COMMISSIONERS CONCERNING NON-AGENDA ITEMS AND OTHER ITEMS WITHIN THE JURISDICTION OF THE BOARD. EACH PERSON WILL BE ALLOWED FIVE MINUTES UNLESS EXTENDED BY THE BOARD. 3. Approval of Minutes January 7, Review Board Meeting Schedule for February 2016 Frank Martinez, President, Board of Water Commissioners 5. President s Report Frank Martinez, President, Board of Water Commissioners 6. General Manager s Report Christopher J. Garner, General Manager 7. Consent Calendar: a. Approval of Transfer of Funds by Journal Entry Dated January 21, Authorize the General Manager to execute an Agreement with Carpi & Clay, for Federal Liaison and Advocacy Services for the period beginning January 1, 2016 and ending December 31, 2016, with an option to extend the Agreement for one year B. Anatole Falagan, Assistant General Manager 9. Authorize the General Manager to enter into contracts with (1) Tri County Pump Company, (2) General Pump Company, Inc, and (3) Weber Water Resources, for on-call well and pump assemblies maintenance and repair services in an amount not to exceed $600,000 for the services, for a period of three years (2/1/16 to 1/31/19) Tai Tseng, Director of Operations 10. Adopt Specifications WD for the J. Will Johnson Tank No. 2 Rehabilitation Project (EO-3305) and Authorize the General Manager to sign a construction contract with Advanced Industrial Services, Inc., in the amount of $769,260 K. Eric Leung, Director of Engineering/Chief Engineer

43 January 21, 2016 Page Authorize the General Manager to execute a Developer s Agreement with Douglas Park Associates III, LLC to construct New Potable Water Mains, Recycled Water Mains, and Sanitary Sewer Mains for the Douglas Park Segment 6 Development K. Eric Leung, Director of Engineering/Chief Engineer 12. Authorize the General Manager to execute the Developer s Agreement with City Ventures, Inc. for the relocation of a potable water main for the 227 Elm Avenue development K. Eric Leung, Director of Engineering/Chief Engineer 13. Authorize the General Manager to issue a Purchase Order with Raftelis Financial Consultants, Inc., for an amount not to exceed $168,000, to conduct a cost of service and rate study for potable water, reclaimed water, and sewer services B. Anatole Falagan, Assistant General Manager 14. Approve the Water Supply Assessment Prepared for the Alamitos Energy Center Pursuant to California Water Code Section 10910(g)(1) Matthew P. Lyons, Director of Planning & Conservation 15. Adopt a Resolution of the Board of Water Commissioners of the City of Long Beach related to the United States Department of the Interior Bureau of Reclamation (USBR) WaterSMART: Water and Energy Efficiency Grants for Fiscal Year (FY) 2016 application Matthew P. Lyons, Director of Planning & Conservation 16. Fiscal Year 2014/2015 Financial Summary B. Anatole Falagan, Assistant General Manager 17. Adopt Resolution WD-1350, A Resolution of the Board of Water Commissioners Adopting the Amended and Restated Water Fund Annual Budget for Long Beach Water Department for Fiscal Year and authorize staff to transmit the Resolution and the Budget to the City Manager, Mayor and City Council B. Anatole Falagan, Assistant General Manager 18. Report of the Metropolitan Water District (MWD) Board Meeting on January 12, 2016 Christopher J. Garner, General Manager 19. Legislative/Public Affairs Issues Kaylee Weatherly, Assistant to the General Manager

44 January 21, 2016 Page New Business 21. Adjournment to the next Regular Meeting, Thursday, February 4, 2016, at 9:00 a.m. in the Board Room at 1800 E. Wardlow Road, Long Beach, CA. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

45 January 21, 2016 Page 4 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

46 MINUTES REGULAR MEETING OF THE BOARD OF WATER COMMISSIONERS LONG BEACH, CALIFORNIA JANUARY 7, 2016 The Board of Water Commissioners of the City of Long Beach met in the Board Room of the Administration Building, 1800 E. Wardlow Road, Long Beach, California, on January 7, The meeting was called to order at 9:04 a.m. by President Martinez. PRESENT: Frank Martinez Commissioner Arthur Levine Commissioner Robert Shannon Commissioner Gloria Cordero Commissioner Harry Saltzgaver Commissioner Richard Anthony Deputy City Attorney Christopher J. Garner General Manager Sandra L. Fox Secretary to the Board of Water Commissioners B. Anatole Falagan Assistant General Manager Paul T. Fujita Director of Finance Tai Tseng Director of Operations Matthew P. Lyons Director, Planning & Conservation Eric Leung Director of Engineering Robert Verceles Division Engineer Abelardo Rendon Division Engineer Jennifer Rojas Sewer Superintendent Ken Bott Administrative Officer Kaylee Weatherly Assistant to the General Manager Dynna Long Office Administrator Dean Wang Conservation Specialist Krista Reger Conservation Specialist Abraham Burciaga Conservation Intern Jenyffer Vasquez Conservation Intern Evana Gendron Business Systems Specialist IV Greg Sorensen Administrative Analyst III Cynthia Andrews-Tate Water Laboratory Manager Rick Bylsma Water Utility Supervisor II Shaun Stanfield Machinist Dereck Matos Water Utility Supervisor I Chris Pincherli Senior Program Manager - Water Yan Zhang Senior Civil Engineer Eric Beuhler Civil Engineer Associate ABSENT: NONE 1. PLEDGE OF ALLEGIANCE Ken Bott led the Board and audience in the Pledge of Allegiance.

47 Board of Water Commissioners January 7, 2016 Page 2 2. PUBLIC COMMENT President Martinez opened the public comment period. As there were no requests to address the Board on non-agenda items, the public comment period was closed. 3. APPROVAL OF MINUTES DECEMBER 10, 2015 President Martinez announced agenda item 3. and called for a motion. Commissioner Levine made a motion to approve the minutes of December 10, Commissioner Cordero seconded the motion. President Martinez called for any questions, comments or corrections regarding the minutes. Hearing none he called for the vote. The motion carried unanimously. 4. PRESIDENT S REPORT Frank Martinez, President, Board of Water Commissioners CRWUA CONFERENCE REPORT: President Martinez reported that Commissioners Levine and Saltzgaver had joined him at the Colorado River Water Users Association conference in Las Vegas, NV in December. He noted that one of the main concerns noted at the conference was that many across the West were struggling with drought issues in their jurisdictions. He commented on the interesting information provided regarding the Ten Tribe Indians as well as other general water topics covered at the event. Commissioner Levine noted this had been an outstanding conference. He reported as part of the event he was able to take part in a tour of Hoover Dam which he advised was very interesting and informative. President Martinez announced that the Aquatic Capital Foundation would be honoring former General Manager, Kevin Wattier as the 2015 Citizen of the Year, and that the Long Beach Water Department would be awarded the Organization of the Year award at their annual award banquet. He advised this event would be taking place on January 20, 2016 at 6:00 P.M. at the Keesal, Young and Logan offices. He announced that the Orange County Water District would be holding an all-day seminar on January 14, 2016 entitled What Role Should the Environmental Community have in Implementing Direct, Reuse Potable Water. He advised the General Manager would have a manager from LBWD attend this event. President Martinez reported that sometime in February the Board would be taking part in a tour of the new Carlsbad Desalination plant.

48 Board of Water Commissioners January 7, 2016 Page 3 He reported that Commissioner Saltzgaver had been recognized for his water leadership in his Pastor s December newsletter. Commissioner Saltzgaver noted this was another way for important water conservation information to reach other people in the community. 5. GENERAL MANAGER S REPORT Christopher J. Garner, General Manager DECEMBER 2015 WATER SALES REVIEW Mr. Garner reviewed the monthly water sales data for December 2015 noting that conditions had been similar to the last few months, but that there had been some precipitation (more than in December 2013) but still less when compared to the 10-year average. He noted the average daily maximum temperature was two degrees cooler than temperatures in December 2013, and one degree warmer when compared to the average December 10-year baseline. He reviewed monthly water-use targets, noting that water use was going down as we enter the winter months. He noted it is less when compared with the 2013 targets, but noted that similar to almost every other water agency in California the city had not met its monthly 16% target for the month of December, which contributed to a slight decline in the overall conservation target going into January. He noted that conservation savings realized in the summer months had assisted in the overall cumulative target, but noted with a 9.8% savings in December the overall cumulative target was now at 16.3%. He noted it would be very difficult going into the next few winter months to reach the target of 16%. He advised the department would be stepping up its conservation message in January and February to try and get the message out that there is still a need to conserve. Mr. Garner called on Matt Lyons to review demand reductions for the different customer sectors (CII customers; Dedicated Irrigation Accounts; Duplexes; Multi-Family Housing and Single Family Housing). He reviewed comparison data from July 2015 reductions to December 2015 reductions. He noted that the CII customers actually had an increase use, noting this may have been attributable to a more robust economy. Mr. Garner advised this information would be useful in assisting staff to better target the conservation message to the sectors that needed to work on conserving. Commissioner Saltzgaver provided historical background on the issues of submetering for multi-family units and condominiums, noting that about three years ago a mandate had been considered by the City to be included in the building codes to require individual water meters for multi-family units and condominiums. He reported that the Board and the Long Beach Metropolitan Water District Director had lobbied for this change to occur. He noted multiple public workshops were held to consider this issue, but noted the mandate had failed at that time when the Apartment Association had gotten involved to defeat the change in the building code. He advised the issue had been pushed to a City Committee in the hopes that the State would eventually do something regarding this issue.

49 Board of Water Commissioners January 7, 2016 Page 4 Commissioner Saltzgaver advised this would be a long-term solution to get apartment dwellers (and some condominium units) to comply with conservation messages when they become aware of their actual individual water usage. He noted he felt this was an issue the Board of Water Commissioners should address again in the Government Affairs Committee. President Martinez reported that while he was attending the CRWUA conference that he had had the opportunity to speak with representatives from Phoenix, Las Vegas and Salt Lake City regarding the sub-metering issue, and they had reported success in areas where sub-metering had been used in their cities. There was general discussion regarding why the Long Beach sub-metering initiative had failed; why the Apartment Association was not happy with the initiative; discussion regarding tenants actually paying their individual water bills versus the landlord making the payments and passing the cost onto tenants through rents. Mr. Lyons provided background on his involvement with State discussions involving sub-metering; and also his attendance at stakeholder meetings previously held by the City before the mandate failed. He offered providing a report to the Board regarding the previous sub-metering mandate. President Martinez noted he felt a report on this matter would be educational and informational for the Board members who had not been on the Board when the matter had previously been considered. Commissioner Shannon commended Mr. Lyons on providing such a very valuable report. He suggested a few small adjustments could be made to future graphs to provide a bit more information regarding this accumulated data. Mr. Garner spoke about the availability of additional information regarding water usage that would be available if Smart Meters are eventually utilized. Commissioner Cordero requested that staff investigate to find out if the League of California Cities had done any research on sub-metering, or had offered input in past discussions; and also what is their thought or stand on multi-family sub-metering. Mr. Lyons advised that there had been many past efforts at the State level to require that new construction require sub-metering for multi-family units or condominiums. He advised there is a history of legislation in support and opposition that can be reviewed and provided in an upcoming report. MONTHLY PROHIBITED USE OF WATER REPORT Mr. Garner advised that the December PUoW report was in the Board cubby folders. He reported there was nothing specific to point out on this report.

50 Board of Water Commissioners January 7, 2016 Page 5 QUARTERLY CHANGE ORDER REPORT Mr. Garner reviewed the quarterly Change Order Report, and noted two minor change orders had been submitted since the last report. INTRODUCTION OF LBWD EMPLOYEES RECOGNIZED AT CIVIL SERVICE COMMISSION Mr. Bott provided background on the presentation that was made at a Civil Service Commission regarding the Civil Service Core Values. He noted that two Long Beach Water Department employees had been chosen to speak before the Civil Service Commission regarding their job duties and how they related to Civil Service Core Values. Mr. Bott provided information on some of the core values as follows: Employees who are creative, strategic thinkers; looking for new ways to do things Employees who demonstrate integrity; work ethics and have a passion for taking on challenges Ms. Jennifer Rojas, Sewer Superintendent introduced Shaun Stanfield, Machinist who exemplified the core value number one. She noted that in a short amount of time (he came to work for the Water Department in March 2015) Mr. Stanfield had made a big impact on his shop and the department through his efficient skill set and updated way of producing needed replacement parts for department equipment. She noted he had initiated discussions with management asking if equipment could be updated so parts could be made more quickly, safely and efficiently. She noted with the new equipment and through Shaun s skills the department no longer has a need to send work out to a contract machine shop. Mr. Stanfield provided the Board with his personal background; his educational background and explained the duties of his position at the Water Department. Commissioner Shannon congratulated Mr. Stanfield for being recognized. He also commented that he was pleased to see work being done in-house if it could be demonstrated to be cost-effective. Commissioner Levine advised it was a personal pleasure for him to be able to meet employees such as Shaun and Dereck. He commented on the potential program that the department will put in place to recognize outstanding employees. Commissioner Cordero also congratulated Mr. Stanfield, and thanked him for bringing a more efficient way of doing his job to the Water Department. She congratulated the Department and City for recognizing such creativity and thinking outside of the box. President Martinez commented that the public sector isn t always recognized as being at the height of efficiency, and recommended that these efforts may be more public.

51 Board of Water Commissioners January 7, 2016 Page 6 Mr. Garner mentioned that he appreciated a new employee coming in and providing a new way of doing things, and speaking up. He complimented management and supervisors for taking these suggestions into consideration and upgrading equipment to allow the department to operate more efficiently. Commissioner Saltzgaver also offered his congratulations to Mr. Stanfield. He suggested that the Board look for ways to make this a more public event. He said he had a few ideas regarding this. Mr. Bott advised that the next Long Beach Water Department employee to be highlighted was Mr. Dereck Matos. He noted he exemplified the second set of core values which were demonstration of integrity; work ethics and has a passion for taking on challenges. Mr. Rich Bylsma, Water Utility Supervisor II introduced Mr. Dereck Matos, Water Utility Supervisor I. He noted that Mr. Matos had started with the Water Department in 2005 as a non-career, and had worked his way up in the department to his present position as a Water Utility Supervisor I in Main Construction. Mr. Matos provided a summary of his personal background and work experience at the Long Beach Water Department. He advised that the Department offers educational classes to assist the employees in advancing their careers. He noted he took advantage of the opportunities, and also sought out chances to learn from others that he worked with. He spoke highly about the department s non-career program, and recommended continuation of this valuable program. Commissioner Shannon congratulated Dereck, and commented that he and Shaun are excellent employees, and noted they were not afraid of a microphone. He echoed Mr. Garner s comments about management recognizing the employees who are stars in the various sections, and advised he enjoys meeting the outstanding employees in the department, and having the opportunity to celebrate those employees and their accomplishments. Mr. Bylsma spoke about the quarterly all employee meetings where certificates are awarded to employees who are recognized by the public with either a phone or thank you. Commissioner Cordero congratulated Dereck for his recognition by the Civil Service Commission. She also congratulated him on taking the initiative to see an opportunity to grow and learn to enhance his job. Mr. Garner thanked Ken for his efforts in working with Civil Service to have these presentations take place before the Civil Service Commission. He noted it was a good opportunity for the Commission to see employees who represent a positive image, since the Commission is usually dealing with disciplinary issues. Commissioner Levine also offered congratulations to Dereck.

52 Board of Water Commissioners January 7, 2016 Page 7 Commissioner Levine also made comments regarding the the General Manager had recently shared with the Commission from a citizen praising Long Beach Water Department employees who had shown up at their house on Christmas Eve to trouble-shoot a sewer issue which enabled them to continue their family celebration with little interruption. Mr. Matos made closing remarks regarding his supervisory position with the Long Beach Water Department. PARTNERSHIP FOR SAFE WATER AWARD Mr. Tseng provided background information regarding the President s Award given to the Long Beach Water Department by the Partnership for Safe Water. He noted this award is given to recognize water suppliers that continuously provide drinking water quality and reliability that surpasses regulatory requirements through treatment plant and distribution system optimization. He noted that LBWD was presented the award in June 2015, and that a joint press release had been sent out at that time, but he advised the department had just received the physical plaque. He advised he thought this would be a good opportunity to provide background on the Partnership for Safe Water, the award and to recognize Ms. Cynthia Andrews-Tate, Water Laboratory Manager and Dr. Yan Zhang, Senior Civil Engineer who led the efforts for the department to receive this award. Mr. Tseng explained in 1993, The City of Milwaukee experienced the largest water borne disease outbreak in the modern era, where over ½ million people got sick and over 150 people died. During the aftermath investigation, we learned that the City of Milwaukee was meeting all of the regulatory requirements at the time. As a result, the EPA was tasked to develop more stringent regulations. Although new regulations came about, many in the water industry felt more could be done. Thus, a Partnership six drinking water organizations was formed, whose mission is to improve the quality of water delivered to customers by optimizing water system operations. The Partnership offers self-assessment and optimization program tools to improve performance above and beyond even proposed regulatory levels. Commissioner Levine congratulated Mr. Tseng and his staff for their work contributing to receipt of this award. He made miscellaneous comments regarding water quality, and referenced the Milwaukee outbreak of He inquired if LBWD had a process to alert other MWD Member Agencies when a water quality issue arises. Mr. Tseng advised there is a network of Water Quality Managers who have the ability to communicate and discuss ongoing water quality issues. Commissioner Saltzgaver inquired how LBWD monitors the quality of the water received from the Metropolitan Water District (MWD), and mitigates any water quality issues encountered.

53 Board of Water Commissioners January 7, 2016 Page 8 Mr. Tseng advised that as a member agency of MWD LBWD is able to screen and monitor the water being received from MWD, but LBWD has no way of changing how MWD operates their various distribution plants. He noted that Ms. Andrews-Tate participates in MWD Water Quality Managers meetings (also noting that sometimes Mr. Tseng and Ms. Zhang will also attend) where discussions regarding MWD water quality can take place. He noted LBWD staff can make recommendations at these meetings that can be considered by MWD. He noted recently MWD had a taste and odor issue that they had not immediately shared with their Member Agencies, and the first LBWD knew about this issue was when staff started receiving numerous customer complaints. At that time LBWD contacted MWD to pressure them into making a change in their plants to mitigate this issue. He noted at the same time LBWD staff looked into making operation changes with groundwater to work to blend the MWD water to mitigate this temporary issue. He noted overall LBWD does water quality sampling every week within the distribution system at 56 sites testing for multiple factors and constituents in the water. Through this testing LBWD is able to pinpoint whether the water is coming from MWD; a blend or LBWD groundwater. Commissioner Saltzgaver then inquired about the water quality of the outflow of the recycled water produced at the Vander Lans plant. Mr. Tseng advised the Vander Lans plant is an injection plant used for sea barrier water. He noted this plant falls under the permitting process through the State Water Resources Control Board. He advised since the water produced at this plant is not drinking water it does not fall under the same water quality standards for potable water. Note: Commissioner Saltzgaver left the meeting at 10:09 A.M. Commissioner Shannon inquired about the specifics regarding the water borne disease outbreak in the City of Milwaukee. Mr. Tseng provided information regarding the Cryptosporidium parasite which was the cause of the outbreak. Note: Commissioner Saltzgaver returned to the meeting at 10:11 A.M. 6. CONSENT CALENDAR President Martinez announced the consent calendar item and called for a motion. Commissioner Shannon made a motion to approve the Consent Calendar item. Commissioner Levine seconded the motion.

54 Board of Water Commissioners January 7, 2016 Page 9 President Martinez asked if there were any questions or discussion regarding the Consent Calendar item. He called for any public comment. Hearing none he called for the vote. The motion carried unanimously. 6a. Adopt Specifications WD for the Water Main Bridge Crossings Site Nos. 5, 9, 10, 17 and 45 Project (MO-3751) and Authorize the General Manager to Sign a Construction Contract with Industrial Coating & Restoration, Inc. in the Amount of $293,730 A communication was presented to the Board from Eric Leung, which is on file at the Long Beach Water Department. 7. AUTHORIZATION TO ATTEND THE CITY OF LONG BEACH STATE OF THE CITY ADDRESS ON TUESDAY, JANUARY 12, 2016, AT THE TERRACE THEATER, LONG BEACH CONVENTION CENTER Christopher J. Garner, General Manager Mr. Garner provided an overview of previous State of the City addresses by other Mayors, and Mayor Garcia s proposed approach to his State of the City speeches. He noted that at last year s State of the City Mayor Garcia had used private funding, but had experienced some concerns regarding this type of sponsorship. He advised that the three enterprise agencies invited to sponsor the 2016 State of the City were the Port of Long Beach, the Long Beach Water Department and Long Beach Transit. He noted the Port would be voting on their sponsorship on Monday, and noted that Long Beach Transit had committed their sponsorship at $10,000. He advised the Mayor had suggested a $15,000 sponsorship from the Port and Long Beach Water, but noted this was up to the discretion of the Board. He noted Ms. Weatherly would be working directly with the Mayor s team to ensure that Long Beach Water would have a prominent role in the pre-event, which would involve food trucks, and table displays from various departments and agencies in the lobby, and outside of the Terrace Theater. He noted it was expected that the Mayor would be highlighting certain agencies and their accomplishments, including water conservation information. Ms. Weatherly provided a preview of some of the displays and items that would be used in the pre-event at the State of the City as follows: o Water conservation Installations including Mission H2O large wooden letters to be set up outside of Terrace Theater; Mobile drought-tolerant garden display; and one song shower selfie shower photo booth o Pledge Wall o I Pledged sticker o LBWD Booth manned by Ms. Weatherly and conservation staff President Martinez noted he had attended last year s event, but advised he was a bit uncomfortable with the suggested sponsorship amount.

55 Board of Water Commissioners January 7, 2016 Page 10 Commissioner Shannon expressed concern at the unknown figure of what the event would actually cost. He noted the Board had a duty to be sure that this transaction was conducted in a very transparent manner, and noted he would support whatever sponsorship level the Board deemed appropriate, but added he would like to know exactly what the expenditures will cover, and noted if there was a surplus the monies should be refunded to the sponsoring agencies. President Martinez inquired if there was funding in the budget for this type of event. Mr. Falagan responded yes. Commissioner Levine commented this was an important event to support, and was a venue that would allow for an opportunity to continue to get the conservation message out to a large audience. Commissioner Levine made a motion for the Long Beach Water Department to provide a $10,000 sponsorship for the January 13 th, 2016 State of the City address. President Martinez called for a second. The motion died for lack of a second. Commissioner Saltzgaver commented on last year s event. He noted there had been a surplus from last year s event, and that surplus had been given to the Mayor s favorite charity, For the Child. He concurred with Commissioner Shannon s commented that an exact accounting be received at the end of the event. He noted this was an opportunity to send the important message that the Long Beach Water Department is part of the City. Commissioner Saltzgaver made a motion to accept the staff recommendation and approve a sponsorship in the amount of $15,000 for the January 13, 2016 State of the City address, with the condition that the Commission receive an accounting of money spent on the event within the next two months. Commissioner Shannon made a friendly amendment that if there is indeed a surplus that the pro-rata amount of the surplus be refunded to the Long Beach Water Department. Commissioner Saltzgaver questioned whether he could accept a friendly amendment before his motion had received a second. The City Attorney advised that he could accept the friendly amendment. Commissioner Saltzgaver advised he was happy, and would accept the friendly amendment. Commissioner Shannon seconded the amended motion. Commissioner Levine made a substitute motion for the Long Beach Water Department to provide a $10,000 sponsorship for the January 13 th, 2016 State of the City address, and to include the request that the pro-rata amount of the surplus be refunded to the Long Beach Water Department. President Martinez seconded the substitute motion.

56 Board of Water Commissioners January 7, 2016 Page 11 President Martinez commented on his concerns regarding the Mayor s office asking a public agency to contribute to the event; and noted he understood some of the pushback they had received regarding last year s event. There was general discussion regarding last year s event and the funding and total cost amounts involved. Commissioner Cordero made additional comments regarding the State of the City speech, and noted her support for the requested amount of $15,000. Commissioner Saltzgaver spoke about the substitute motion, and noted the importance of the message sent, by reducing the amount of the sponsorship. Commissioner Levine responded by noting that the Commission should not be in the position to pay to play ; considering purchasing publicity in the Mayor s speech. Commissioner Saltzgaver called for the question. Commissioner Shannon commented on the fact that the Long Beach Water Department is supported by rate payer money, and the Port is supported by their tenants, making their source of funding significantly different. Commissioner Shannon made a substitute, substitute motion approving a contribution of one-third of the cost of the January 13, 2016 State of the City event, up to a maximum of $15,000, and requested that an accounting of final expenses be made available to the Long Beach Water Department. If the accounting shows an excess of funds, the Long Beach Water Department requests that a pro rata share of the excess be reimbursed to the Department. Commissioner Saltzgaver seconded the substitute, substitute motion. President Martinez called for public comment. Hearing none he called for the vote. The substitute, substitute motion carried unanimously. Note: President Martinez left the meeting at 10:40 A.M. Vice President Levine took his place for the balance of the meeting. 8. ADOPT SPECIFICATIONS WD FOR THE ALLEY SERVICE CONNECTION CONVERSION MAGNOLIA AVENUE AND EUCALYPTUS AVENUE PROJECT (MC-5113) AND AUTHORIZE THE GENERAL MANAGER TO SIGN A CONSTRUCTION CONTRACT WITH MIRAMONTES CONSTRUCTION COMPANY, INC., IN THE AMOUNT OF $1,721, Eric Leung, Director of Engineering/Chief Engineer Mr. Leung provided an overview of the proposed scope of the project. He summarized the bid results, and provided background on the bid process and noted the winning bid.

57 Board of Water Commissioners January 7, 2016 Page 12 Commissioner Saltzgaver made a motion to adopt Specifications WD for the Alley Service Connection Conversion Magnolia Avenue and Eucalyptus Avenue Project (MC-5113) and authorized the General Manager to sign a Construction Contract with Miramontes Construction Company, Inc., in the amount of $1,721, Commissioner Shannon seconded the motion. Vice President Levine called for any questions or comments from the Board or the public. Hearing none he called for the vote. The motion carried unanimously. 9. AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT WITH MWH AMERICAS, INC. TO PROVIDE CONSTRUCTION MANAGEMENT ENGINEERING SERVICES FOR THE ALLEY SERVICE CONNECTION CONVERSION MAGNOLIA AVENUE AND EUCALYPTUS AVENUE (MC- 5113), IN AN AMOUNT NOT-TO-EXCEED $237, Eric Leung, Director of Engineering/Chief Engineer Vice President Levine introduced agenda item 9. Commissioner Saltzgaver made a motion to authorize the General Manager to execute an Agreement with MWH Americas, Inc. to provide construction management engineering services for the Alley Service Connection Conversion Magnolia Avenue and Eucalyptus Avenue (MC-5113), in an amount Not-to- Exceed $237, Commissioner Shannon seconded the motion. Mr. Leung noted the contract was to provide construction management services for the alley service connection conversion project the Board had just approved. Vice President Levine called for any questions from the Board or the public. Hearing none he called for the vote. The motion carried unanimously. 10. LB CLIMATE RESILIENCY STUDY PRESENTATION Dr. Jerry Schubel, President & CEO of Aquariums of the Pacific Vice President Levine announced that agenda item 10. was pulled from the agenda. 11. WATER SUPPLY UPDATE B. Anatole Falagan, Assistant General Manager Mr. Falagan gave an overview of water supply conditions. He noted the focus for the next three months on the snowpack accumulations in key watersheds, and the factors affecting the water supply obtained from those watersheds in the coming Spring and Summer. He shared information on how conservation had helped conserve critical storage reserves for the region. He presented information showing that current local rainfall totals were still well below normal for this time, and he provided a three-month outlook on precipitation and temperature.

58 Board of Water Commissioners January 7, 2016 Page 13 Vice President Levine called for questions or comments. Hearing none he moved on to agenda item LEGISLATIVE/PUBLIC AFFAIRS ISSUES Kaylee Weatherly, Assistant to the General Manager Ms. Weatherly provided the following report: Again reviewed Department plans for State of the City Event January 13 th o Reviewed Mayor & Councilmember Joined the Mission images to be posted on the Mission H2O microsite. She noted the Mayor and Council will be able to incorporate their pledges into their social media accounts. She noted the pledges were based on Council District demographics. She reported the February Utility Bill Insert would soon be included in utility bills, and noted it once again highlighted the need for continued conservation. She reported on the department s movie theater spots Join the Mission call to action. o :60 Jeff McMillan in-theater ad (13 weeks) o :30 Bearcoon lobby ad (13 weeks) o 4 movie theaters o Estimated reach: 240,000 visitors per month Extended for Star Wars premiere: 165,000 visitors in 2-week period She reviewed digital billboard details o LB Convention Center Turn Sprinklers Off When it Rains o City s Worthington Ford & Hooman Toyota signs Turn Sprinklers Off When it Rains Posters in Cambodia Town o Every Drop Saved Helps Do Your Part Today o Serious Drought Needs Serious Saving Bus Tails o Turn Sprinklers Off When it Rains o Serious Drought Messages Microsite Updates o Conservyn Mervyn Videogame o Savings Tracker

59 Board of Water Commissioners January 7, 2016 Page 14 Diversity Outreach o Khmer Voice o Palacio Magazine o Cambodian Community Organizations Ms. Weatherly also provided the following update: Legislative Affairs: Federal President Obama banned the sale of synthetic microbeads in beauty and pharmaceutical products. California had already signed a ban in October of last year, but this ban has now been signed nationwide. State State legislature reconvened this week. She reported that staff will be monitoring major water legislation that might make its way through the state legislature. She reported Governor Brown would be introducing the proposed state budget later on in the afternoon of January 7, Public Affairs: Ms. Weatherly advised that the department had received additional Thank You letters from a 5 th grade class who participated in a Discovery Science assembly. She advised it was important to note that all of the letters are addressed to Long Beach Water, which shows our organization receives a lot of recognition throughout the assemblies. She advised that all of the letters seem to show that we are reaching the education goals we are hoping to accomplish by providing these assemblies. She read a few of the thank you notes. Vice President Levine reported that prior to the Board meeting the Conservation Committee had held a meeting. He noted that Kaylee had also reviewed a number of items that she covered under her legislative report at that meeting. He noted he would provide a report of the meeting under new business. Vice President Levine called for Commission comments. Commissioner Saltzgaver inquired if the State had yet decided to extend the conservation guidelines after their expiration in February. Mr. Garner advised that they had not yet made a determination on this would be handled. He advised in speaking with other agencies it was noted the SWRCB was to meet on February 2 nd, 2016 so he noted we should have their decision at that time. Commissioner Saltzgaver inquired what had happened to the Water Ambassadors. He noted it was important for them to appear at events throughout the city, such as the MLK Festival which will take place in a few weeks.

60 Board of Water Commissioners January 7, 2016 Page 15 Ms. Weatherly advised that the Water Ambassadors are still around and representing the department at various events throughout the city. 13. NEW BUSINESS Vice President Levine called for any new business. Hearing none he moved on to make his report of the Conservation Committee meeting held at 8:00 A.M. on January 7, Vice President Levine (Chair of the Conservation Committee) summarized the information provided at the committee meeting by Ms. Weatherly and Mr. Lyons. He noted the sample rain barrel that was displayed at the back of the board room, and advised they planned to incorporate this as part of the displays at the upcoming State of the City address. He advised that he and Commissioner Cordero had found the information provided at the committee meeting to be very information and useful. He advised they were quite impressed with the creativity of the marketing team (both in house and external). Commissioner Cordero added she continues to be impressed by the educational assemblies, and to learn how well-received the information is being used by the students. She thanked the Conservation Committee staff for listening to the Committee s suggestions and incorporating them into the various conservation messages being used by the department. Vice President Levine asked if any Commissioners had any questions or comments. Commissioner Saltzgaver asked the Conservation Committee members when the education contract is up for renewal. Mr. Falagan responded it would be sometime in February 2016.

61 Board of Water Commissioners January 7, 2016 Page ADJOURNMENT There being no further business to come before the Board, Vice President Levine adjourned the regular meeting at 11:09 a.m. to the next regular meeting for the Water Commission to be held January 21, 2016, in the Board Room of the Administration Building, 1800 E. Wardlow Road, in Long Beach, California. Attest: Gloria Cordero, Acting Secretary Frank Martinez, President

62 FEBRUARY 2016 BOARD MEETING SCHEDULE SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY GROUNDHOG DAY 9:00 A.M. BOARD MTG. ABSENT: MARTINEZ CHINESE NEW YEAR 9 10 URBAN WATER INSTITUE SPRING WATER CONF. PALM SPRINGS, CA 11 URBAN WATER INSTITUE SPRING WATER CONF. PALM SPRINGS, CA 12 URBAN WATER INSTITUE SPRING WATER CONF. PALM SPRINGS, CA 13 ASH WEDNESDAY 14 VALENTINE S DAY 15 PRES. DAY HOLIDAY ADMIN OFFICES CLOSED :00 A.M. BOARD MTG. ABSENT: 19 CARLSBAD DESAL TOUR ACWA LEGISLATIVE CONF. WASH, DC 24 ACWA LEGISLATIVE CONF. WASH, DC 25 ACWA LEGISLATIVE CONF. WASH, DC

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149 AGENDA BOARD OF WATER COMMISSIONERS REGULAR MEETING OF THURSDAY, JANUARY 7, 2016, AT 9:00 A.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA 1. Pledge of Allegiance 2. Public Comment: GIVEN TO THE PUBLIC TO ADDRESS THE BOARD OF WATER COMMISSIONERS CONCERNING NON-AGENDA ITEMS AND OTHER ITEMS WITHIN THE JURISDICTION OF THE BOARD. EACH PERSON WILL BE ALLOWED FIVE MINUTES UNLESS EXTENDED BY THE BOARD. 3. Approval of Minutes December 10, President s Report Frank Martinez, President, Board of Water Commissioners 5. General Manager s Report Christopher J. Garner, General Manager 6. Consent Calendar: a. Adopt Specifications WD for the Water Main Bridge Crossings Site Nos. 5, 9, 10, 17 and 45 Project (MO-3751) and Authorize the General Manager to Sign a Construction Contract with Industrial Coating & Restoration, Inc. in the Amount of $293, Authorization to attend the City of Long Beach State of the City Address on Tuesday, January 12, 2016, at the Terrace Theater, Long Beach Convention Center Christopher J. Garner, General Manager 8. Adopt Specifications WD for the Alley Service Connection Conversion Magnolia Avenue and Eucalyptus Avenue Project (MC-5113) and Authorize the General Manager to Sign a Construction Contract with Miramontes Construction Company, Inc., in the Amount of $1,721, Eric Leung, Director of Engineering/Chief Engineer 9. Authorize the General Manager to Execute an Agreement with MWH Americas, Inc. to Provide Construction Management Engineering Services for the Alley Service Connection Conversion Magnolia Avenue and Eucalyptus Avenue (MC-5113), in an Amount Not-to-Exceed $237, Eric Leung, Director of Engineering/Chief Engineer

150 January 7, 2016 Page LB Climate Resiliency Study Presentation Dr. Jerry Schubel, President & CEO of Aquariums of the Pacific 11. Water Supply Update B. Anatole Falagan, Assistant General Manager 12. Legislative/Public Affairs Issues Kaylee Weatherly, Assistant to the General Manager 13. New Business 14. Adjournment to the next Regular Meeting, Thursday, January 21, 2016, at 9:00 a.m. in the Board Room at 1800 E. Wardlow Road, Long Beach, CA. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

151 January 7, 2016 Page 3 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

152 MINUTES SPECIAL MEETING OF THE BOARD OF WATER COMMISSIONERS LONG BEACH, CALIFORNIA DECEMBER 10, 2015 The Board of Water Commissioners of the City of Long Beach met in the Board Room of the Administration Building, 1800 E. Wardlow Road, Long Beach, California, on December 10, The meeting was called to order at 8:02 a.m. by President Martinez. PRESENT: Frank Martinez Commissioner Arthur Levine Commissioner Robert Shannon Commissioner Gloria Cordero Commissioner Harry Saltzgaver Commissioner Richard Anthony Deputy City Attorney Christopher J. Garner General Manager Sandra L. Fox Secretary to the Board of Water Commissioners B. Anatole Falagan Assistant General Manager Paul T. Fujita Director of Finance Tai Tseng Director of Operations Matthew P. Lyons Director, Planning & Conservation Eric Leung Director of Engineering Robert Verceles Division Engineer Abelardo Rendon Division Engineer Jennifer Rojas Sewer Superintendent Kaylee Weatherly Assistant to the General Manager Dynna Long Office Administrator Krista Reger Conservation Specialist Evana Gendron Business Systems Specialist IV RJ Lyerly Carpi & Clay Eric Swedlund Carpi & Clay Cindy Allen President/Owner ETA Advertising Cassandra Popli Director of Account Services ETA Advertising Mike Frey Creative Director ETA Advertising Evan Lamont CEO The Lamont Group ABSENT: NONE 1. PLEDGE OF ALLEGIANCE Robert Verceles led the Board and audience in the Pledge of Allegiance.

153 Board of Water Commissioners December 10, 2015 Page 2 2. PUBLIC COMMENT President Martinez opened the public comment period. As there were no requests to address the Board on non-agenda items, the public comment period was closed. 3. APPROVAL OF MINUTES NOVEMBER 19, 2015 President Martinez announced agenda item 3. Commissioner Levine made a motion to approve the minutes of November 19, Commissioner Shannon seconded the motion. President Martinez called for any questions, comments or corrections regarding the minutes. Hearing none he called for the vote. The motion carried unanimously. 4. REVIEW BOARD MEETING SCHEDULE FOR JANUARY 2016 Frank Martinez, President, Board of Water Commissioners President Martinez noted the Board meetings in January were scheduled for the regularly scheduled 1 st and 3 rd Thursdays of the month. He asked if any Board members had any issues with these dates. Commissioner Shannon noted he would be absent on January 21, PRESIDENT S REPORT Frank Martinez, President, Board of Water Commissioners President Martinez mentioned the Governor s Executive Order that he released on November 13, 2015 and noted the Board had received a briefing about this at their November 19, 2015 Board meeting, but noted that he and Commissioner Cordero had missed this meeting. He advised he would postpone discussion of this item until the end of his report. ACWA CONFERENCE REPORT: He reported that he and three of the other Commissioners had recently attended the ACWA Fall Conference held in Indian Wells, CA. He noted this conference was widely attended, with an excellent agenda covering varied topics. He noted there was a good session on Big Data, and advised if the department chooses to move forward with Smart Meters there was some excellent information in this presentation that could be useful for the

154 Board of Water Commissioners December 10, 2015 Page 3 department. He asked the General Manager when the Board would be receiving a briefing on the Smart Meter Program. Mr. Garner advised that the kickoff session had just been held, and that he would be speaking about this later in his General Manager s report. He advised that they expected the final report in either late February or early March. President Martinez advised that something else he had learned at the conference was that water issues are more of a regional nature, rather than a city by city concern. He said people seemed to be more collaborative in coming up with solutions; and breaking down barriers, than in the past. Discussions regarding alternative water sources desalination being the overriding theme. He advised that discussions were held regarding legal issues such as Coachella Valley; San Juan Capistrano and Imperial Irrigation District with Colorado River issues. President Martinez opened the floor to his fellow Commissioners who might like to comment on the conference. Commissioner Levine added that it was a marvelous conference; attended by over 1,900 people. He noted they had run into several former General Manager candidates who were also attending the conference. President Martinez reminded the Board regarding the LBWD holiday luncheon being held on December 15, He reported that he and two other Commissioners would be attending the Colorado River Water Users Association conference being held in Las Vegas, December 16, - December 18, He advised that he and the General Manager would be taping a session for the Straight Talk program on January 8 th, Commissioner Levine reported this session would air later in January. President Martinez advised in early 2016 that the Board and General Manager would be setting a date for a Strategic Planning Session. President Martinez requested an update on the Governor s November 13, 2015 Executive Order. Mr. Garner explained that there was not a lot of detail available, but noted that it is anticipated that the SWRCB intends to extend their conservation guidelines (which are currently set to expire February 28, 2016) with targets further into He noted some agencies are advocating for adjustments (due to climate constraints; population growth since 2013, and their investments in alternate water resources) to the mandated targets, but that no clear plan has yet emerged that addresses equity issues. He noted they may reduce the overall target (depending on the drought conditions in January), so that other agencies would not be adversely affected.

155 Board of Water Commissioners December 10, 2015 Page 4 He noted the overall target for conservation was set at 25%, and advised that as of October the state had achieved an overall conservation savings of 27%. Commissioner Saltzgaver requested clarification on how the current batch of targets are calculated. He advised he believed they were calculated on a cumulative basis through the end of February Mr. Garner advised this was correct. Commissioner Saltzgaver then asked if there was any indication on when the cumulative targets ended, could they be continued on a cumulative basis, or on a month-to-month basis. Mr. Garner advised that issue had not yet been addressed. Mr. Garner reported the department has cumulative historical data, and noted that so far the department had met or exceeded the cumulative target, but he noted as the department enters into the winter months, meeting this cumulative target could become more difficult. Mr. Martinez advised that further on in the agenda he would be moving item 16. before item 15. due to time constraints for Commissioner Shannon. 6. GENERAL MANAGER S REPORT Christopher J. Garner, General Manager NOVEMBER 2015 WATER SALES REVIEW Mr. Garner reviewed the monthly water sales data for November 2015 noting there had been less rainfall in November 2015 compared to the 10-year average. He advised combining that with the higher than average daily maximum temperature for November 2015 which was 74 degrees (3 degrees warmer than the average November 10-year baseline of 71 degrees) that combination of conditions had impacted the conservation efforts, and noted the city had not met its November target for the first time. He noted as the winter months progress the cumulative targets will be more difficult to meet, unless significant rainfall were to occur. He noted that almost all agencies had difficulty meeting their November targets so Long Beach was not unique in this regard. He advised that a press release was being prepared for publication, and noted that Ms. Weatherly would be covering some ideas in her upcoming report to help encourage additional conservation to assist in meeting the targets during the upcoming winter months. MONTHLY PROHIBITED USE OF WATER REPORT Mr. Garner reviewed the data for the November PUoW report, and advised that a copy of the report was in the Board cubby folders.

156 Board of Water Commissioners December 10, 2015 Page 5 DESCRIPTION OF A METROPOLITAN WATER DISTRICT TURNOUT Mr. Garner advised as a follow-up to his inquiry during the department property report he had inquired what an MWD turnout was. He advised this is simply another term for a service connection. MEETING WITH LOCAL ENGINEERING GROUP P2S ENGINEERING Mr. Garner reported that he and President Martinez had met with a local engineering group, P2S regarding their press release on their opinion on desal that their group had released, focusing on the higher cost of desalinated water and the high costs of energy needed to produce desalinated water. He noted they met with the President/CEO and Vice President to ascertain their position and receive some feedback from them. He noted something the department would be looking into was a unique project in Israel that they had mentioned that was producing quite a bit more desalinated water at a fraction of the cost of what the costs of desalinated water is being produced at the recently opened Carlsbad desalination plant. He noted the department would be taking a look at some new technologies that might be beneficial. CMUA CONFERENCE Mr. Garner reported he had attended the California Municipal Utilities Association manager s summit held in San Diego on December 7 th. He noted this group is primarily made up of managers of electric and water utilities. He advised there were discussions on Smart Meters and AMI at the meeting so he was able to report to the group where the department is headed regarding this issue. He said there were also discussions regarding rate setting and conservation efforts. ADVANCED METERING INFRASTRUCTURE (AMI) Mr. Garner advised that the AMI kickoff had begun on Monday, December 7, 2015 with a business case assessment, which would take a thorough approach to properly assess the value of AMI for the department. He noted he would be providing the Board with periodic progress reports regarding this issue.

157 Board of Water Commissioners December 10, 2015 Page 6 EMPLOYEE OF THE MONTH UPDATE Mr. Garner noted as follow-up to the discussion at the last Board meeting regarding employee of the month, he advised he would recommend the concept of having employees report to the Board on a quarterly basis, providing an overview of their job duties; and a little bit about them personally. He then recommended that on an annual basis that Employee of the Year be chosen per bureau, and that a Manager of the Year also be named. NOTE: Commissioner Cordero joined the meeting at 8:20 A.M. Mr. Garner reported that staff would be bringing the two employees before the Board at the January 7, 2016 Board meeting who had been highlighted at the recent Civil Service Commission meeting. LOCAL JOB FAIR Mr. Garner reported that the Long Beach Water Department had participated in the local job fair held on December 9, 2015 on the recommendation of Commissioner Cordero. He thanked Ken Bott for manning the department booth at the event. STATE WATER RESOURCES CONTROL BOARD (SWRCB) Mr. Garner noted for the first time that the SWRCB had issued fines of $61,000 to four agencies for non-compliance in meeting their mandated targets (Beverly Hills, Redlands, Indio and Coachella Valley). President Martinez called for any questions or comments. Mr. Levine reported that one of the attendees at the ACWA conference had been the Vice President of San Diego County Water Authority who had spoken about the Poseidon project in Carlsbad. He noted the Commission had discussed the possibility of either a tour of the project, or a presentation regarding the project be set for the Board. He asked that the Board be kept updated on this matter. Mr. Garner advised that Mr. Tseng has a contact at the Carlsbad plant, and had reached out to him to possibly set up a tour for the Board and the General Manager. Mr. Garner advised we would just need to know who would be interested in attending this type of tour, and the trip could then be scheduled. Commissioner Levine advised he felt the General Manager s suggestions regarding employee recognitions was good. He asked if the General Manager would be bringing a package of information regarding this issue back to the Board. Mr. Garner responded yes.

158 Board of Water Commissioners December 10, 2015 Page 7 7. CONSENT CALENDAR President Martinez announced the consent calendar item and called for a motion. Commissioner Saltzgaver made a motion to approve the Consent Calendar item. Commissioner Levine seconded the motion. Commissioner Shannon commented on the Pipeline Permit Fee that is transferred to the City s General Fund (and appears on the Transfer of Funds). He advised he understands this is a requirement to be paid, but asked for clarification on how it is calculated. He requested that a brief explanation be provided at the next meeting, or now as to how the City comes to the total figure to be paid. Mr. Falagan provided a brief explanation, noting that Long Beach Water Department staff provides lineal feet of water and sewer pipeline located in the city streets using the GIS application. This information is then sent to the City Finance Department, who then calculates the fee that is due. Commissioner Shannon inquired if this same standard is applied to other pipeline users in the city. Mr. Leung advised that the Metropolitan Water District is not charged this fee, and noted there are some private water companies who operate in the city who also are not charged this fee. Staff agreed to return to the Board with a comprehensive report on the Pipeline Permit fee process. Commissioner Saltzgaver pointed out that the payments that appear on the Journal Voucher represent quarterly payments. Commissioner Saltzgaver inquired if the Pipeline Permit Fee applied to recycled water pipes. Mr. Fujita responded no. President Martinez asked if there were any additional questions or discussion regarding the Consent Calendar item. He called for any public comment. Hearing none he called for the vote. The motion carried unanimously. 7a. Approval of Transfer of Funds by Journal Entry Dated December 10, 2015 A communication was presented to the Board from Paul Fujita, which is on file at the Long Beach Water Department.

159 Board of Water Commissioners December 10, 2015 Page 8 8. LEGISLATIVE/PUBLIC AFFAIRS ISSUES Kaylee Weatherly, Assistant to the General Manager Ms. Weatherly provided the following report: She reviewed the content included in the November water conservation press release which she noted would be released after the board meeting. She advised it included the following: Tone: Serious but encouraging Because of lack of precipitation there is a focus on indoor conservation now every little bit does make a difference El Nino is no guarantee have to increase conservation efforts Statistics on weather & precipitation in November were included in the press release Also noting continued push for rebate and incentive programs She outlined some of the strategies begun at the end of November which were utilized to increase conservation for November, and the future winter months: Social media blitz with Mayor participation reached about 10,000 Facebook/Twitter users, encouraged last squeeze of conservation for the month Final number for November was one percent greater 11.6% before the strategies were put into place She noted social media is a quick and easy tool to use to increase conservation by that extra push She reported that given the results of the recent lower conservation trends, the department would be modifying the tone of the messages to stress to the community that we need greater participation to generate more conservation. She advised staff would be enlisting the help of Council Districts by creating a custom MissionH2OLB image of each Councilmember with their pledge to save water. Their pledges will be targeted based on whether the district has more single family homes or multi-family complexes so that the residents can participate in similar water conservation practices. These images have the same look and feel of the campaign brand, and we have asked that they push out messages of water conservation on their social media and other communications outlets. The goal is to create a community effort to save water and show the community that we are all in this mission to make a permanent lifestyle change in the way we use water together. There were comments made about the risk of overloading the public with the constant messaging calling for conservation. Mr. Falagan responded that the tone of the messages could be controlled and tweaked to prevent this type of effect.

160 Board of Water Commissioners December 10, 2015 Page 9 Commissioner Levine reported on one of the exhibitors at the ACWA conference who handles distribution of rain barrels. He suggested that this could be an item that the department could advertise to the public to utilize. Commissioner Levine also reported on the Belmont Shore Christmas parade, and noted he was surprised to learn that Long Beach Water had never been a participant in this event. He noted this is a parade viewed by 50,000 spectators and suggested that LBWD consider participating next year to utilize this as another way of reaching out to the public regarding the conservation message. Mr. Garner commented that some departments include employees of the year and their families on their floats, and suggested that LBWD might consider this approach. He noted this makes the departments of the city more personal to the community. Commissioner Cordero inquired if the department was producing newsletters in different languages. Ms. Weatherly advised that the department does have the ability to have conservation messages, etc. translated. Commissioner Cordero commented that not everyone is connected to social media such as Facebook and Twitter, so advised that utilization of mailers may also be a way of getting the message out. President Martinez did note that the department does advertise in various ethnic publications, and also noted that the 90H2O newsletter is included in utility bills. Mr. Garner commented on the drawback with the bill stuffer, is that most of the multi-family residents do not see the utility bill, as it goes to their landlords. He advised that the department could look into a direct mailer to these types of households. Federal Legislative Update: Mr. Falagan introduced Ms. RJ Lyerly and Mr. Eric Swedlund from the Federal advocacy firm, Carpi & Clay to provide an update on Federal issues, and identify Federal priorities for the coming year. Ms. Lyerly and Mr. Swedlund provided a joint presentation that highlighted their opinion of the major federal legislative issues that would affect water utilities in California in 2016, and noted that they were ready to serve LBWD on these issues and other legislative priorities that LBWD would direct them to undertake. They distributed a handout that included items they would be monitoring such as pending water-related issues in Congress, and noted the various areas in which they would continue to support the Long Beach Water Department as follows:

161 Board of Water Commissioners December 10, 2015 Page 10 Support all relevant Washington-based advocacy, to include the House of Representatives, the Senate, government agencies and governmental or industry organizations Identify grant opportunities for LBWD consideration and provide federal support for relevant projects Identify new or developing legislative initiatives and the relevant impact Identify opportunities for LBWD to interact with Members of the Administration, The Congress, Committees and the respective staff as required Identify leadership changes impacting relevant LBWD issues Coordinate and execute Washington-based advocacy agenda for the Board and management Create and support opportunities for Congressional Testimony Carpi & Clay will also work with LBWD and its federal agency partners to identify innovative concepts to the benefit of LBWD and its agenda. This would include opportunities to identify public space concepts that enable a re-characterization of water conservation in terms of public land use design wherein the Department can play a role in continuing to serve the population, while innovatively meeting requirements with less water. There were general comments from various board members regarding the past disconnect between management and setting federal legislation priorities. The representatives from Carpi & Clay noted that they had received direction from the former General Manager as it related to a Federal advocacy viewpoint. They noted when Bureau of Reclamation Title XVI funds had been available in past years that the department had a much more active involvement in Federal matters than in recent years. President Martinez recommended in the future that the Board be involved in setting the Federal priorities, and take a more active role in Federal matters. Commissioner Saltzgaver noted that in the four years that he had been serving on the Board that he had never been asked about, or had an explanation of the department s Federal agenda. He noted quarterly Federal legislative reports were very critical and should be implemented immediately. He pointed out that it was very important for the department to have a presence before the regulatory agencies. There was discussion and clarification on the production of quarterly Federal advocacy reports. Ms. Lyerly provided a brief history of recent Federal advocacy needs for the department particularly as it related to Title XVI funding requirements. Commissioner Levine requested that representatives from the Carpi & Clay firm provide a summary of what the firm had accomplished in the last year before he would

162 Board of Water Commissioners December 10, 2015 Page 11 consider a vote on renewing the firm s contract. deferring this agenda item to the next meeting. Commissioner Levine suggested President Martinez noted that was a valid comment, but requested that Commissioner Levine wait on confirmation of that request for consideration of the next agenda item (agreement with Carpi & Clay for Federal Liaison and Advocacy Services). Commissioner Shannon inquired if the Carpi & Clay advocacy group was an offshoot of the Del Smith advocacy firm. Ms. Lyerly confirmed that Del Smith had been the original contractor for LBWD Federal advocacy issues, but that he had retired and sold his firm to Carpi & Clay. Commissioner Shannon inquired how far back the continuity had been maintained with the firm. Ms. Lyerly advised since the mid-1990 s at which time the firm was involved with Federal funding requests for desalination and recycled water projects. Commissioner Shannon commented on the past lack of transparency by Management in advising the Commission in a number of areas, and pointed out that Federal advocacy/legislation was just one of those items. Mr. Shannon requested that at the next meeting that staff go into some detail regarding the past results of Carpi & Clay s advocacy efforts on behalf of the Long Beach Water Department. Commissioner Cordero reported that the Commission has set a new bar, and that they have set the tone for things to be handled differently in the future. She mentioned that Long Beach should be in the forefront regarding Federal matters, since it is a city of almost a half million citizens. She advised she liked what she had seen, and was looking forward to where the agency might be able to assist the department in the future. She mentioned a recent discussion she had with a fellow Commissioner regarding the lack of a Board presence in both Sacramento and Washington, DC. Commissioner Saltzgaver acknowledged that the Carpi & Clay group (formerly Del Smith) had been critical in assisting the department in obtaining funding for the desal work that the department had previously done. President Martinez suggested that Carpi & Clay provide a timeline of past key accomplishments. Ms. Lyerly highly encouraged the Board to participate in the upcoming ACWA Washington legislative conference, scheduled for February 23 25, She noted this was a conference the Board had regularly attended in the past.

163 Board of Water Commissioners December 10, 2015 Page 12 Mr. Garner made closing comments, and advised the Board he heard what they had all been saying. He noted that while it is important to receive quarterly reports, he advised that it would be his job to have this Board as a policy-setting Board to convey to Carpi & Clay (or whomever the Board chooses as their Federal Advocacy firm) so they can work on behalf of the Board and the Department, and be sure that the dialogue flows both ways. President Martinez pointed out that what everyone would see with the selection of the new General Manager, is a more collaborative air with city hall and other agencies, as well as Washington, DC. President Martinez called for any other comments. Commissioner Levine wanted to make sure that his suggestion should not be misinterpreted as a lack of confidence; it was just a request for information. Clay. Commissioner Levine inquired if Del Smith had any type of input with Carpi & Ms. Lyerly responded no, advising Mr. Smith was fully retired. 9. AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT WITH CARPI & CLAY FOR FEDERAL LIAISON AND ADVOCACY SERVICES FOR THE PERIOD BEGINNING JANUARY 1, 2016 AND ENDING DECEMBER 31, 2016, WITH AN OPTION TO EXTEND THE AGREEMENT FOR ONE YEAR B. Anatole Falagan, Assistant General Manager President Martinez called on Mr. Falagan for a staff report. Commissioner Shannon noted he thought this item was going to be held over to the next meeting. Commissioner Saltzgaver made a motion to table this item until the Board receives a report from Carpi & Clay. President Martinez called for a second. Commissioner Shannon seconded the motion. President Martinez called for questions or comments from the public. Hearing none he called for the vote. The motion carried.

164 Board of Water Commissioners December 10, 2015 Page DISCUSSION REGARDING THE STATUS OF CURRENT STANDING BOARD COMMITTEES AND APPOINTMENT OF COMMISSIONERS TO SUCH COMMITTEES Frank Martinez, President, Board of Water Commissioners President Martinez reviewed the agenda item attachments as follows: Resolution WD-1337 establishing the Standing Committees (adopted January 9, 2015), and a list of the current committee members and the Chairs of each committee. He noted that in his opinion there is still value in maintaining the Standing Committees. He then reviewed the various Committee members and Chairs as currently assigned. He recommended renaming the Conservation Committee to the Education and Conservation Committee. He proposed to the City Attorney that the language in the resolution regarding the element of meeting times that Committees shall meet no less frequently than once every three (3) months be changed to meeting at the minimum of once a year. President Martinez opened the discussion to his fellow Commissioners for input. Mr. Anthony advised the Commission that it was fine for them to discuss the proposed changes made by the President, but these could not be made effective right now as it had not been agendized as an action item. He advised he was comfortable with the Board making recommendations that he could then incorporate in an amended resolution and bring back to the Board for review and adoption. He advised the President that he could reassign members of the various Committees as this was within his prerogative. Commissioner Saltzgaver reminded the Board that the reason they had originally set meeting once a quarter, was if the Board was going to have a Committee they should make it worthwhile. He questioned the proposal of having the Committees only meet once year, because he would be suspect if that Committee was doing any work. President Martinez mentioned in looking back at the year, he noted he felt it was challenging to have that many Committee meetings actually scheduled, so his suggestion was to assist in easing up the mandate of meeting every three months. He did note he recognized having the Committees meet more than once a year was important, but didn t want to hold the Committees to that rule. Commissioner Saltzgaver mentioned that he felt it was important that the Commission decide if they were going to make the Committee system work or not.

165 Board of Water Commissioners December 10, 2015 Page 14 There was general discussion regarding the success of the Committees. He suggested that at a future meeting a discussion could take place on what worked, and what didn t work regarding the Committee system. He advised he would like to receive more input in this regard. He said, this was particularly important in light of having a new General Manager, and several new members of the Board. Commissioner Levine commented that the Conservation Committee had held quite a few meetings, pointing out it was an opportunity to interact with staff and to get to know staff better. He advised that he and Commissioner Cordero had found the Committee to be extremely useful. Commissioner Levine mentioned that conservation heavily involves marketing and getting the conservation message out to the public. He noted several meetings were held to discuss how to disseminate the conservation messages. He suggested that the Board might consider a slight change in the proposed name change for the Conservation Committee to be changed to the Conservation and Marketing Committee. President Martinez advised in suggesting the education component be made part of the Conservation Committee so that it be all encompassing. He said marketing could certainly fall under that heading also. Commissioner Levine said that he views marketing as a bigger umbrella than the education component. Commissioner Saltzgaver advised that marketing is education of the public. Commissioner Saltzgaver inquired when the Strategic Planning session would be scheduled. He noted the Committees might be a discussion point of that session. President Martinez suggested keeping the Committees (except possibly make the name change) as such until after the Strategic Planning session had been held. He noted a date had not yet been set for this session. He advised that by the next couple of meetings he might have some proposed dates for the Commission to consider. Commissioner Shannon pointed out that in regards to the Standing Committee structure that there is a fundamental flaw that needs to be addressed (not right now) but probably at the Strategic Planning session, in that some items starting with the Brown Act that only two Board members can be present at a Committee, and the other three members are out. He noted from time to time there are issues of significance that the full Commission should know about. He advised that he has seen that in regards to some of the issues that are heard in Committee, but he pointed out that they need to be brought back to the full Board so that the Commission can be educated and possibly take action; or in some instances they should go directly to the full Commission for consideration.

166 Board of Water Commissioners December 10, 2015 Page 15 President Martinez reported that he knows that some items had come out of Committee in the past to the full Board for action or for educational purposes. There was discussion about allowing the other three Board members to sit in a Committee and listen, but not participate. The City Attorney advised it could be difficult to issue a gag order to Board members in this type of instance, so it was easier to have them not attend to assure no violation of the Brown Act. Commissioner Saltzgaver mentioned that the Committees are supposed to consider and work on serious topics, and then bring those topics back to the full Board for consideration and comments. He noted over the past year, that several committees had meetings, but then did not bring their issues back to the Board for discussion or action. President Martinez advised he would like to see the Board discuss the Committee process in a more in-depth discussion during the upcoming Strategic Planning session. Commissioner Levine advised he would like to see the Commission also discuss the possibility of a brief written report be produced by the Chair of the Committees after their meeting (even if it was not an action item) providing information on what took place in their Committee meetings, and then have that report distributed to the full Commission. President Martinez advised he recalled that it had been previously agreed upon that the Chairs would provide a verbal report to the full Board after their Committee meetings, but not provide a written report. Commissioner Levine noted that decision had been made under a previous President, and advised that he felt that if a Committee meeting was going to be staffed, that it would be appropriate that a brief written summary be provided on what had taken place at the Committee meeting. He agreed to have this discussion deferred to the Strategic Planning session. President Martinez asked the City Attorney if he had anything to add to this discussion. Commissioner Saltzgaver noted that quite often the Committee meetings had been scheduled prior to a regular Board meeting, and there was not time to prepare a written report for distribution right after the Committee meeting. He advised the other reason mentioned for not having written reports was that it seemed onerous for the Chair to write a book report. The City Attorney advised he had nothing to add to this discussion, but advised that his personal recollection was the same as described by Commissioner Saltzgaver.

167 Board of Water Commissioners December 10, 2015 Page 16 Commissioner Cordero noted that she strongly supported the Committee structure, and felt that the Committee s meeting four times a year was crucial. She asked if the Committee structure could be discussed in the Strategic Plan. President Martinez advised that a draft agenda would be produced for the Strategic Plan, and then finalized once a facilitator was chosen. There was discussion about the location, and length of the Strategic Plan Session, and logistics regarding noticing, etc. Mr. Garner noted that he wished to be included in each of the Standing Committee meetings. The City Attorney noted for clarification that it seemed that the Board would be discussing the Standing Committee structure at the Strategic Planning session, so he noted he would not be bringing back to the Board an amended resolution at their next meeting. The President confirmed this was correct. The City Attorney advised he thought the President would be making appointments to the Committees at today s meeting per the resolution, even though the language states vacancies shall be filled as they occur. He requested that the President state that the Committees would remain as currently staffed by the Commissioners. President Martinez confirmed that the Committees would remain as they are currently set. The President called for any other questions or comments. Hearing none he moved on in the agenda. 11. AUTHORIZE THE GENERAL MANAGER TO EXECUTE A WATER PURCHASE AGREEMENT WITH THE CENTRAL BASIN MUNICIPAL WATER DISTRICT (CBMWD) AND THE WATER REPLENISHMENT DISTRICT OF SOUTHERN CALIFORNIA (WRD) FOR THE PURPOSE OF REPLENISHMENT OF THE CENTRAL BASIN AQUIFER B. Anatole Falagan, Assistant General Manager Mr. Falagan provided a briefing on the background for the request for the water purchase agreement. Note: President Martinez & Commissioner Shannon left the meeting at 9:14 A.M. Mr. Falagan noted similar agreements between CBMWD, WRD and LBWD which were approved in 2009 and Note: Commissioner Shannon returned to the meeting at 9:15 A.M.

168 Board of Water Commissioners December 10, 2015 Page 17 Mr. Falagan reviewed the significant contribution this agreement would make noting it would help to meet imported water replenishment needs for the Central Basin Aquifer. Note: Mr. Anthony left the meeting 9:16 A.M. Mr. Falagan also noted that this would also assist WRD in meeting their blending requirements for replenishment with recycled water. He reviewed the key terms, and then asked the Board if they had any questions. Note: President Martinez and Mr. Anthony returned to the meeting at 9:19 A.M. Mr. Shannon made a motion to authorize the General Manager to execute a Water Purchase Agreement with the Central Basin Municipal Water District (CBMWD) and the Water Replenishment District of Southern California (WRD) for the purpose of replenishment of the Central Basin Aquifer. Mr. Saltzgaver seconded the motion. Commissioner Levine noted the agreements made in 2009 and He inquired what happened in 2011, 2012 and Mr. Falagan advised that there had not been any opportunity for replenishment in the years President Martinez called for any other questions or comments from the Board. He called for questions or comments from the public. Hearing none he called for the vote. The item was unanimously approved. 12. ADOPT RESOLUTION WD-1347 AUTHORIZING THE GENERAL MANAGER TO ENTER INTO A COOPERATIVE PURCHASING AGREEMENT WITH HAAKER EQUIPMENT COMPANY (HAAKER) FOR THE PURCHASE OF ONE (1) 2016 FORD TRANSIT 350 CARGO VAN WITH ROVVERX CAMERA PACKAGE IN AN AMOUNT NOT TO EXCEED $197, Tai Tseng, Director of Operations President Martinez announced that agenda item 12 would require a Roll Call vote. Mr. Tseng provided background on the purchase of the camera truck through a cooperative purchasing agreement. He noted the City Charter allows for purchases to be made through non-traditional bid packages such as the current request. He noted this purchase is for a replacement truck in the fleet of five camera trucks the department currently uses. Note: Commissioner Saltzgaver left the meeting at 9:20 A.M. President Martinez called for questions or comments from the Commission.

169 Board of Water Commissioners December 10, 2015 Page 18 Commissioner Levine inquired about the difference between a Cooperative Purchasing Agreement and a Purchasing Agreement. Note: Commissioner Saltzgaver returned to the meeting at 9:21 A.M. Mr. Tseng provided an explanation. President Martinez called for motion. Commissioner Shannon made a motion to adopt Resolution WD-1347 authorizing the General Manager to enter into a Cooperative Purchasing Agreement with Haaker Equipment Company (Haaker) for the purchase of one (1) 2016 Ford Transit 350 Cargo Van with RovverX camera package in an amount not to exceed $197, Commissioner Cordero seconded the motion. President Martinez called for questions or comments from the public. Hearing none he called for a Roll Call vote. A Roll Call vote was taken as follows: AYES: COMMISSIONERS: ART LEVINE; ROBERT SHANNON GLORIA CORDERO; HARRY SALTZGAVER; FRANK MARTINEZ NOES: COMMISSIONERS: NONE ABSENT: COMMISSIONERS: NONE ABSTAIN: COMMISSIONERS: NONE The motion carried unanimously. 13. ADOPT RESOLUTION WD-1348 AUTHORIZING THE GENERAL MANAGER TO ENTER INTO A COOPERATIVE PURCHASING AGREEMENT WITH SILSBEE FORD, UNDER THE PURCHASE CONDITIONS SPECIFIED IN THE EXISTING HGACBUY COOPERATIVE PURCHASING AGREEMENT FOR THE PURCHASE OF TWO (2) 2016 FORD F150 SUPERCABS AND ONE (1) 2016 FORD F350 SUPERCAB AND CHASSIS FOR AN AMOUNT NOT TO EXCEED $77, Tai Tseng, Director of Operations President Martinez called on Mr. Tseng for a staff report. He also noted this item would require a Roll Call vote. Mr. Tseng provided background on the purchase of three replacement work trucks through a Cooperative Purchasing Agreement. He advised he would answer any questions regarding this request.

170 Board of Water Commissioners December 10, 2015 Page 19 President Martinez inquired about the measurement which was used to replace trucks within the department fleet. Mr. Tseng advised the general rule used by the department was ten years, or 100,000 miles. He said there are some exceptions if parts are still available for older vehicles. President Martinez called for Commission questions or comments. Commissioner Saltzgaver inquired what happens to the trucks that are being replaced. Mr. Tseng advised the trucks are retired, and then auctioned off. He advised the proceeds are returned to the Department s general fund. Commissioner Levine made a motion to adopt Resolution WD-1348 authorizing the General Manager to enter into a Cooperative Purchasing Agreement with Silsbee Ford, under the purchase conditions specified in the existing HGACBuy Cooperative Purchasing Agreement for the purchase of two (2) 2016 Ford F150 Supercabs and one (1) 2016 Ford F350 Supercab and Chassis for an amount not to exceed $77, Commissioner Shannon seconded the motion. President Martinez called for questions or comments from the public. Hearing none he called for a Roll Call vote. A Roll Call vote was taken as follows: AYES: COMMISSIONERS: ART LEVINE; ROBERT SHANNON GLORIA CORDERO; HARRY SALTZGAVER; FRANK MARTINEZ NOES: COMMISSIONERS: NONE ABSENT: COMMISSIONERS: NONE ABSTAIN: COMMISSIONERS: NONE The motion carried unanimously. 14. Authorize the General Manager to execute an agreement with CLP Resources, Inc. to provide temporary skilled labor services in an amount not to exceed $200,000 for one year, with an option to renew for two additional one-year periods Tai Tseng, Director of Operations President Martinez called on Mr. Tseng for a staff report. Mr. Tseng introduced Ms. Jennifer Rojas, the Sewer Superintendent to the Board. He noted he usually has the Operations Division Managers attend the Board meetings when agenda items are being discussed related to their groups.

171 Board of Water Commissioners December 10, 2015 Page 20 Mr. Tseng provided background on the need to contract for temporary skilled labor services for electricians, plumbers, etc. He noted there was an immediate need to fill an industrial electrician slot as the department s only industrial electrician had just rendered his resignation, and the non-career commercial electrician had also just given his two weeks notice. He advised an electrician from this service would be brought on staff as a full-time worker so he can familiarize himself with the department s needs and equipment. Mr. Tseng advised he could answer any questions related to this request. President Martinez called on Commissioner Levine. Commissioner Levine inquired if the person from CLP would be eligible to apply for the permanent electrician job when it was posted. Mr. Tseng said yes, but noted that there was a stipulation in the agreement the Board was being asked to approve. If that were to occur the department would have to buy out the temporary worker s contract. He noted that amount would vary depending on how long the CLP worker was contracted to work with LBWD. Commissioner Levine asked if the department planned to post for the job and hire a permanent position. Mr. Tseng said yes. He noted that currently there is a permanent electrician position open, and accepting applications. He noted this was set to close on December 18 th. He advised that Civil Service then reviews the applications and takes the list to their Commission; then the certified list is made available to the departments. Staff will then conduct interviews and hope to bring someone on staff. President Martinez asked if the terms for firms such as CLP are set by Human Resources or Civil Service. Mr. Tseng advised that the firm s agreements are usually company specific, such as buyout terms, etc. President Martinez asked if the City Attorney reviews these types of agreements. He answered yes. Commissioner Shannon asked the City Attorney if he was saw any Prop L conflicts. The City Attorney responded no, but he noted there would probably be none as the position is not currently filled. Mr. Shannon commented on the potential for abuse with these types of temporary work positions; although he noted he did not expect that to occur in this instance.

172 Board of Water Commissioners December 10, 2015 Page 21 Commissioner Cordero inquired where CLP was located. Mr. Tseng advised he would have to get back to the Board with this answer. Commissioner Levine asked if the department had ever used CLP before. Mr. Tseng said yes; noting that CLP is a provider for skilled labor for the city. Commissioner Saltzgaver made a motion to authorize the General Manager to execute an agreement with CLP Resources, Inc. to provide temporary skilled labor services in an amount not to exceed $200,000 for one year, with an option to renew for two additional one-year periods. Commissioner Cordero seconded the motion. President Martinez called for questions or comments from the public. Hearing none he called for the vote. The motion carried unanimously. Mr. Tseng reported this agenda item came out of the Treatment Division, so he introduced Mr. Doug McKee, Operations Superintendent. AGENDA ITEM 17. WAS TAKEN OUT OF ORDER AT THIS POINT IN THE MEETING. 17. AUTHORIZE APPOINTMENT OF CHRISTOPHER J. GARNER AS MEMBER, AND K. ERIC LEUNG, B. ANATOLE FALAGAN AND TAI TSENG AS ALTERNATE MEMBERS TO THE GOVERNING BOARD OF THE LOS ANGELES GATEWAY REGION INTEGRATED REGIONAL WATER MANAGEMENT AUTHORITY BY ADOPTING RESOLUTION WD-1349 Christopher J. Garner, General Manager President Martinez noted this agenda item would require a Roll Call vote. He called on Mr. Garner for a staff report. Mr. Garner noted that the Long Beach Water Department is a member of the Los Angeles Gateway Region Integrated Regional Water Management Authority. He noted that that agency requires that the Board made appointments from the department to that Board by a resolution. He asked the Board to name him as the Main Member, and K. Eric Leung, B. Anatole Falagan and Tai Tseng as alternates. Commissioner Levine made a motion to authorize appointment of Christopher J. Garner as Member, and K. Eric Leung, B. Anatole Falagan and Tai Tseng as Alternate Members to the Governing Board of the Los Angeles Gateway Region Integrated Regional Water Management Authority by adopting Resolution WD-1349 President Martinez called for any questions or comments from the Board. Hearing none he called for a Roll Call vote.

173 Board of Water Commissioners December 10, 2015 Page 22 A Roll Call vote was taken as follows: AYES: COMMISSIONERS: ART LEVINE; ROBERT SHANNON GLORIA CORDERO; HARRY SALTZGAVER; FRANK MARTINEZ NOES: COMMISSIONERS: NONE ABSENT: COMMISSIONERS: NONE ABSTAIN: COMMISSIONERS: NONE The motion carried unanimously. Note: Commissioner Shannon left the meeting at 9:33 A.M. AGENDA ITEM 16. WAS TAKEN OUT OF ORDER AT THIS POINT IN THE MEETING. 16. AUTHORIZE THE GENERAL MANAGER TO ISSUE A PURCHASE ORDER WITH ETA ADVERTISING INC., FOR AN AMOUNT NOT TO EXCEED $100,000, FOR CONTINUATION OF SERVICES FOR LBWD S MISSIONH2OLB CONSERVATION CAMPAIGN AND STRATEGIC COMMUNICATIONS PLANNING THROUGH DECEMBER 2016 B. Anatole Falagan, Assistant General Manager President Martinez called on Ms. Weatherly for introductory comments. She introduced the staff from ETA Advertising: Cindy Allen, Cassandra Popli, Kyle Hiroto and Mike Frey. She noted staff first began working with them this year as a result of the statewide mandate regulations and the creation of the MissionH2OLB conservation outreach campaign. She advised that together the department and the agency had created an overall strategic messaging identity to reach various audiences in the community, and incorporate voices and develop concepts to rally the community to make a permanent lifestyle change in water use. The staff from ETA presented some of the content, the community presence they and the department had created and provided some metrics from the current point in the campaign. There was discussion regarding the amount of the current contract with ETA. President Martinez inquired if the current funding was considered enough to continue a successful campaign. Mr. Falagan provided background and history on the money expended on the campaign so far. Mr. Falagan advised he could provide the Board with a more comprehensive breakdown on the funds currently expended on the campaign. Commissioner Saltzgaver requested that this report be made part of the quarterly finance report the Board had previously requested.

174 Board of Water Commissioners December 10, 2015 Page 23 Commissioner Cordero noted she was glad that a local agency had been selected to work on the campaign. She advised there was an added benefit since ETA has a good reputation in the City of Long Beach and the community. President Martinez inquired about co-branding with other departments in the City who have water issues. Mr. Garner said this was something that could be explored. President Martinez said this would lead to a more collaborative spirit, and could allow acknowledged partners such as the school district and Parks and Recreation who were working on their agency s conservation efforts. Commissioner Levine inquired if ETA had been working with others to leverage dollars spent by LBWD with other partners in the city. Ms. Popli said that this was a concept ETA had been using, reaching out to neighborhood organizations and other departments who had mostly been donating time and services to spread the conservation message. Commissioner Levine mentioned as follow-up to the report Mr. Falagan would be compiling on media expenses, he requested that this report include the entire bundle of conservation campaign contract expenses for media and graphics services. Mr. Falagan advised that staff intended to come back to the Board in early January to provide a follow-up report on the RFQ process, and provide information on some of the smaller contracts that would be issued under the RFQ, and seek input from the Board on how to proceed in the future regarding branding and co-branding regarding the conservation campaign. Commissioner Saltzgaver commented on the extensive MWD marketing effort, and suggested cooperating with them to combine the conservation messaging. Commissioner Shannon made a motion to authorize the General Manager to issue a Purchase Order with ETA Advertising Inc., for an amount not to exceed $100,000, for continuation of services for LBWD s MissionH2OLB conservation campaign and strategic communications planning through December Commissioner Cordero seconded the motion. President Martinez called for questions or comments from the public. Hearing none he called for the vote. The motion carried unanimously. AGENDA ITEM 15. WAS TAKEN OUT OF ORDER AT THIS POINT IN THE MEETING.

175 Board of Water Commissioners December 10, 2015 Page AUTHORIZE THE GENERAL MANAGER TO ISSUE A PURCHASE ORDER WITH THE LAMONT GROUP (TLG) FOR AN AMOUNT NOT TO EXCEED $100,000, FOR GRAPHIC DESIGN AND DIGITAL MARKETING SERVICES THROUGH DECEMBER 2016 B. Anatole Falagan, Assistant General Manager President Martinez called on Ms. Weatherly for introductory comments. Ms. Weatherly noted The Lamont Group had been working with Water Department staff for a number of years. She advised the most successful concept TLG and Water Department had worked on together is the concept of digital marketing and Google banner advertisements. She reported through this concept TLG specializes in finding the target audience to push out messages to online and through social media advertising. She noted for example, earlier this year staff and TLG had worked on a Lake Oroville flash banner campaign that showed photos of Lake Oroville from a few years ago and what it looks like today. She advised these images were pushed out through Google where the images could be seen on any website targeted towards a specific demographic or psychographic. She reported it resulted in one million online impressions and 10,000 clicks to the lbwater.org website. She advised that today, TLG currently supports the digital marketing of MissionH2OLB among other various graphic design projects to broaden the department s online presence. She introduced Evan Lamont who presented some additional background on how their firm has supported different Public Affairs strategies through web design, graphic design, social media, videos and photography. He outlined the work they had accomplished in supporting the LBWD conservation messaging. President Martinez called for any questions or comments from the Board. Commissioner Levine inquired if The Lamont Group works with ETA. Mr. Lamont advised that ETA provides the great, creative infrastructure, and The Lamont Group assists in taking visitors to the microsites. Mr. Falagan made closing comments, noting that the two presentations provided a snapshot of all of the efforts being done to get the conservation message out through various efforts and platforms, and that the messaging remains fresh and current. Commissioner Cordero commented on the strategic communication component, and advised as a member of the Conservation Standing Committee she would like to meet with The Lamont Group to discuss this concept further. Commissioner Levine inquired about the current contract amount with The Lamont Group.

176 Board of Water Commissioners December 10, 2015 Page 25 Mr. Falagan advised it was in the range of $50,000, and had been authorized under a small purchase order. He advised the goal of the RFQ was to formally engage the firms on a competitive basis, and then issue larger purchase orders to the firms selected through the RFQ process. Commissioner Levine asked if this was the first year that LBWD had used TLG s services. Mr. Falagan replied no. He noted the services of TLG had been used on a task order basis over several fiscal years, including development of the LBWD mobile water waster app. Commissioner Saltzgaver cautioned that not everyone is yet high tech in the city, and advised the department should be sure to still reach out to that part of the city s segment with different messaging efforts. Commissioner Saltzgaver made a motion to authorize the General Manager to issue a Purchase Order with The Lamont Group (TLG) for an amount not to exceed $100,000, for graphic design and digital marketing services through December Commissioner Levine seconded the motion. President Martinez called for questions or comments from the public. Hearing none had called for the vote. The motion carried unanimously. AGENDA ITEM 17. WAS CONSIDERED EARLIER IN THE MEETING. 18. REPORT OF THE METROPOLITAN WATER DISTRICT (MWD) BOARD MEETING ON DECEMBER 8, 2015 Christopher J. Garner, General Manager Mr. Garner advised there was nothing of significance to report. He noted the majority of action occurred at the Committee level, and was then approved at the full Board meeting. Commissioner Saltzgaver noted in reviewing the November 10, 2015 MWD minutes MWD had approved issuing $250 million dollars in water bonds, and noted that the Long Beach MWD Director was absent. 19. WATER SUPPLY UPDATE B. Anatole Falagan, Assistant General Manager Mr. Falagan provided a Water Supply Update which included the following points: Record breaking statewide drought o Extremes continue (record temperatures each month; lack of local precipitation continues; snow has started in key watersheds) Water supply balance resources

177 Board of Water Commissioners December 10, 2015 Page 26 o Mandated conservation continues to improve reservoir storage o Metropolitan Water District storage reserves Improved due to reduced imported water demands Water supply balance demands o Statewide conservation call Winter conservation without rainfall Puts stress on indoor conservation Outdoor conservation approaches minimum o MWD demands pronounced response Since July 1, trending at 20% below budget LBWD Water Conservation and Water Supply Shortage Plan o Stage 2 declared May 2015 LBWD has exceeded cumulative state target since June 2015 Summer gains will help meet conservation targets during winter months He provided an update on imported water supplies (State Water Project and the Colorado River); local weather conditions and the weather outlook (precipitation and temperature) for the next three months. He reported that the initial 2016 State Water Project allocation had been set at 10%. He advised this is usual for DWR to make a conservative initial allocation even though there is predictions for increased precipitation in the coming months. He advised they do not want to make a larger allocation and then have to reduce it, if necessary because the State Water contractors count on the allocations for planning purposes. He reported that if El Nino does occur, there is the possibility for the allocation to be revised upward. He advised that the current upper Colorado River basin snowpack is currently trending at average conditions, and noted if El Nino conditions occur this could improve the snowpack that drains into Lake Powell. He reviewed Lake Mead storage numbers, and advised the level continues to drop. It is now forecast to hover just above the shortage level through He reviewed a presentation by MWD Colorado River Resources Manager, Bill Hasencamp that provided a snapshot of Lake Mead elevations in the years ahead noting the various levels of shortage conditions. He reported on local precipitation indexes as of December 1, 2015, noting that Los Angeles, Long Beach and Orange County were behind in precipitation levels. He noted however, that San Diego was 125% of normal in precipitation. He advised that the 8 station index was at 66% of normal, and that the Mammoth snowpack was currently at 53%. Commissioner Levine thanked Mr. Falagan for the report. He asked about the 10% SWP water allocation. Mr. Falagan provided background on how that number is

178 Board of Water Commissioners December 10, 2015 Page 27 calculated, and then divided up between the twenty-six State water contractors. He advised that if El Nino occurs this allocation could be raised. Commissioner Levine inquired if there was any historical year that the initial allocation had been that low at the end of a year. Mr. Falagan answered yes. He noted this past year the allocation had been set at 5% and had never been adjusted upwards. President Martinez called for additional questions or comments. Hearing none he moved onto new business. 20. NEW BUSINESS President Martinez advised he had failed to comment earlier on the Government Relations Manager position. He called on the General Manager to comment on this issue. Mr. Garner advised in the three months he had been with the department he had taken note the importance and the desire of the Commission to get more involved at both the state and federal levels regarding legislation and regulations. He advised the department had decided to not fill the Government and Legislative Affairs position that was vacated awhile back, so he advised he was looking into reinstating and hiring for that position. He reported that staff is in the process of having the flyer prepared, and then will recruit for the position. He then advised he would come back to the Board with a recommendation. President Martinez called for any other new business. Seeing none he moved to adjournment of the meeting. 21. ADJOURNMENT There being no further business to come before the Board, President Martinez adjourned the special meeting at 10:27 a.m. to the next regular meeting for the Water Commission to be held January 7, 2016, in the Board Room of the Administration Building, 1800 E. Wardlow Road, in Long Beach, California. Attest: Robert E. Shannon, Secretary Arthur M. Levine, Vice President

179 ITEM 4. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING PRESIDENT S REPORT

180 ITEM 5. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING GENERAL MANAGER S REPORT

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192 ITEM 10. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING LB CLIMATE RESILIENCY STUDY PRESENTATION

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194 ITEM 12. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING LEGISLATIVE/PUBLIC AFFAIRS ISSUES

195 ITEM 5. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING GENERAL MANAGER S REPORT

196 AGENDA BOARD OF WATER COMMISSIONERS CONSERVATION COMMITTEE COMMISSIONER ARTHUR LEVINE, CHAIR/COMMISSIONER GLORIA CORDERO THURSDAY, JANUARY 7, 2016, AT 8:00 A.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA 1. Call to Order 2. Public Comment Staff: Matthew Lyons Anatole Falagan 3. Conservation: Review of Rain Barrel Program 4. Conservation: Review of Marketing Efforts (bill stuffer, social media, State of the City messages) 5. New Business 6. Adjournment AN OPPORTUNITY WILL BE GIVEN TO THE PUBLIC TO ADDRESS THE COMMITTEE OF THE BOARD OF WATER COMMISSIONERS CONCERNING THE SUBJECT MATTER. EACH PERSON WILL BE ALLOWED THREE MINUTES UNLESS EXTENDED BY THE COMMITTEE CHAIR. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

197 January 7, 2016 Conservation Committee Page 2 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

198 AGENDA BOARD OF WATER COMMISSIONERS REGULAR MEETING THURSDAY, DECEMBER 17, 2015 AT 9:00 A.M. LONG BEACH WATER DEPARTMENT ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA *** THE REGULAR MEETING OF THE BOARD OF WATER COMMISSIONERS SCHEDULED FOR THURSDAY, DECEMBER 17, 2015 AT 9:00 A.M. HAS BEEN CANCELED ***

199 AGENDA BOARD OF WATER COMMISSIONERS SPECIAL MEETING OF THURSDAY, DECEMBER 10, 2015, AT 8:00 A.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA 1. Pledge of Allegiance 2. Public Comment: GIVEN TO THE PUBLIC TO ADDRESS THE BOARD OF WATER COMMISSIONERS CONCERNING NON-AGENDA ITEMS AND OTHER ITEMS WITHIN THE JURISDICTION OF THE BOARD. EACH PERSON WILL BE ALLOWED FIVE MINUTES UNLESS EXTENDED BY THE BOARD. 3. Approval of Minutes November 19, Review Board Meeting Schedule for January 2016 Frank Martinez, President, Board of Water Commissioners 5. President s Report Frank Martinez, President, Board of Water Commissioners 6. General Manager s Report Christopher J. Garner, General Manager 7. Consent Calendar: a. Approval of Transfer of Funds by Journal Entry Dated December 10, Legislative/Public Affairs Issues Kaylee Weatherly, Assistant to the General Manager 9. Authorize the General Manager to execute an Agreement with Carpi & Clay for Federal Liaison and Advocacy Services for the period beginning January 1, 2016 and ending December 31, 2016, with an option to extend the Agreement for one year B. Anatole Falagan, Assistant General Manager 10. Discussion regarding the status of current Standing Board Committees and appointment of Commissioners to such Committees Frank Martinez, President, Board of Water Commissioners

200 December 10, 2015 Page Authorize the General Manager to Execute a Water Purchase Agreement with the Central Basin Municipal Water District (CBMWD) and the Water Replenishment District of Southern California (WRD) for the purpose of replenishment of the Central Basin Aquifer B. Anatole Falagan, Assistant General Manager 12. Adopt Resolution WD-1347 authorizing the General Manager to enter into a Cooperative Purchasing Agreement with Haaker Equipment Company (Haaker) for the purchase of one (1) 2016 Ford Transit 350 Cargo Van with RovverX camera package in an amount not to exceed $197, Tai Tseng, Director of Operations 13. Adopt Resolution WD-1348 authorizing the General Manager to enter into a Cooperative Purchasing Agreement with Silsbee Ford, under the purchase conditions specified in the existing HGACBuy Cooperative Purchasing Agreement for the purchase of two (2) 2016 Ford F150 Supercabs and one (1) 2016 Ford F350 Supercab and Chassis for an amount not to exceed $77, Tai Tseng, Director of Operations 14. Authorize the General Manager to execute an agreement with CLP Resources, Inc. to provide temporary skilled labor services in an amount not to exceed $200,000 for one year, with an option to renew for two additional one-year periods Tai Tseng, Director of Operations 15. Authorize the General Manager to issue a Purchase Order with The Lamont Group (TLG) for an amount not to exceed $100,000, for graphic design and digital marketing services through December 2016 B. Anatole Falagan, Assistant General Manager 16. Authorize the General Manager to issue a Purchase Order with ETA Advertising Inc., for an amount not to exceed $100,000, for continuation of services for LBWD s MissionH2OLB conservation campaign and strategic communications planning through December 2016 B. Anatole Falagan, Assistant General Manager 17. Authorize Appointment of Christopher J. Garner as Member, and K. Eric Leung, B. Anatole Falagan and Tai Tseng as Alternate Members to the Governing Board of the Los Angeles Gateway Region Integrated Regional Water Management Authority by adopting Resolution WD-1349 Christopher J. Garner, General Manager 18. Report of the Metropolitan Water District (MWD) Board Meeting on December 8, 2015 Christopher J. Garner, General Manager

201 December 10, 2015 Page Water Supply Update B. Anatole Falagan, Assistant General Manager 20. New Business 21. Adjournment to the next Regular Meeting, Thursday, January 7, 2016, at 9:00 a.m. in the Board Room at 1800 E. Wardlow Road, Long Beach, CA. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

202 MINUTES REGULAR MEETING OF THE BOARD OF WATER COMMISSIONERS LONG BEACH, CALIFORNIA NOVEMBER 19, 2015 The Board of Water Commissioners of the City of Long Beach met in the Board Room of the Administration Building, 1800 E. Wardlow Road, Long Beach, California, on November 19, The meeting was called to order at 9:00 a.m. by Vice President Levine. PRESENT: Arthur Levine Commissioner Robert Shannon Commissioner Harry Saltzgaver Commissioner Richard Anthony Deputy City Attorney Christopher J. Garner General Manager Sandra L. Fox Secretary to the Board of Water Commissioners B. Anatole Falagan Assistant General Manager Paul T. Fujita Director of Finance Tai Tseng Director of Operations Matthew P. Lyons Director, Planning & Conservation Eric Leung Director of Engineering Monya Hawkins Manager, Information Technology Robert Verceles Division Engineer Kaylee Weatherly Assistant to the General Manager Dynna Long Office Administrator Dean Wang Conservation Specialist ABSENT: Frank Martinez Commissioner (EXCUSED) Gloria Cordero Commissioner (EXCUSED) 1. PLEDGE OF ALLEGIANCE Paul Fujita led the Board and audience in the Pledge of Allegiance. 2. PUBLIC COMMENT Vice President Levine opened the public comment period. As there were no requests to address the Board on non-agenda items, the public comment period was closed.

203 Board of Water Commissioners November 19, 2015 Page 2 3. APPROVAL OF MINUTES NOVEMBER 5, 2015 Vice President Levine announced agenda item 3. and called for a motion for approval of the November 5, 2015 minutes. Commissioner Shannon made a motion to approve the minutes of November 5, Commissioner Saltzgaver seconded the motion. Vice President Levine called for any questions, comments or corrections regarding the minutes. He called for any public comment. Hearing none he called for the vote. The motion carried unanimously. 4. REVIEW BOARD MEETING SCHEDULE FOR DECEMBER 2015 Arthur M. Levine, Vice President, Board of Water Commissioners Vice President Levine noted that the regular Board meeting dates in December had been canceled (December 3 rd and December 17 th ) since they were in direct conflict with conference dates that most of the Board members would be attending. He advised it had been decided that there would only be one Special Meeting to be held on December 10, 2015, and there would be an adjusted start time of 8:00 A.M. for that meeting. Commissioner Shannon asked the City Attorney if a motion was needed to call for a special meeting. Mr. Anthony advised no, as long as the special meeting was properly agendized and that the canceled meetings were properly noticed. Vice President Levine called for any other questions or comments. Hearing none he moved on to Agenda item PRESIDENT S REPORT Arthur M. Levine, Vice President, Board of Water Commissioners Vice President Levine announced the Board meeting absences of President Martinez and Commissioner Cordero who are out of the country. He reminded the Board Members regarding the Chamber of Commerce State of the County luncheon being held at 11:30 A.M. at the Long Beach Convention Center Grand Ballroom later in the day. He also reminded the Board members that the LBWD Department holiday lunch had been rescheduled to Tuesday, December 15, 2015 at 11:30 A.M. to accommodate the travel schedules of the Board members attending the CRWUA Conference in Las Vegas, NV.

204 Board of Water Commissioners November 19, 2015 Page 3 6. GENERAL MANAGER S REPORT Christopher J. Garner, General Manager PRESENTATION AT LONG BEACH UNIFIED SCHOOL DISTRICT SCHOOL BOARD MEETING REGARDING DISCOVERY SCIENCE CENTER CONSERVATION EDUCATION PROGRAM Mr. Garner reported to the Board that a presentation before the Long Beach Board of Education had taken place on Monday, November 16, 2015, along with staff from the Discovery Science Center. He advised that Commissioner Saltzgaver had begun the presentation advising that the department was attempting to train future Long Beach water customers about the importance of water conservation. He advised the Discovery Science staff then spoke about the program and explained how it exactly fits into the science curriculum for the school district. He noted Ms. Weatherly then provided closing remarks. He advised he felt that the presentation had been well received by the Board, and comments included how they appreciated the Water Department teaching students about the water supply and water conservation, and also providing further information to the parents via the take-home booklet. NOVEMBER 14, 2015 ORANGE COUNTY REGISTER ARTICLE REGARDING WATER FINES Mr. Garner noted to the Board there was an article in their cubby folders from the Orange County Register regarding how water fines are being handled by the different water agencies. He reported the article pointed out that fines by various Orange County water districts had increased. He advised it was important to note that the majority of these fines had been levied by the City of San Clemente. He advised that other communities and Long Beach are consistent with the statewide average of fines imposed. METROPOLITAN WATER DISTRICT (MWD) VOTES TO PURSUE THE PURCHASE OF FOUR FARM ISLANDS IN THE SACRAMENTO-SAN JOAQUIN RIVER DELTA Mr. Garner referred the Board to an MWD press release in their cubby folders. He noted these proposed purchases could be used as water storage sites. He also mentioned that two of the four islands are located in the direct path of the proposed Twin Tunnel project which could assist in future project planning.

205 Board of Water Commissioners November 19, 2015 Page 4 NOVEMBER 17, 2015 LONG BEACH CITY COUNCIL MEETING BUDGET DISCUSSION Mr. Garner reported he had attended the November 17, 2015 city council meeting where budget discussions occurred. He noted the City Manager reported that oil reserves were down (and noted they had budgeted using a $55.00 per barrel price forecast, but the actual forecast pricing had now been adjusted down to the $40.00 to $45.00 per barrel range). He advised it was also revealed that they had expected a deficit of $7 million for the next budget session, but that had now been reduced to a forecast of $5 million. He advised the shortfall for FY 18 was originally forecast to be $18 million, but was now expected to be closer to $10 million. He reported that the good news was that property taxes were up; sales taxes were up and the TOT (bed tax) was up. Vice President Levine commented that here in Long Beach that the Board preferred to achieve cooperation with the customers rather than using fines and penalty fees. He called for any further comments or questions. Hearing none he moved on in the agenda. 7. AUTHORIZE THE GENERAL MANAGER TO ISSUE A PURCHASE ORDER WITH WATERSMART SOFTWARE, FOR AN AMOUNT NOT TO EXCEED $99,500, FOR THE CREATION AND IMPLEMENTATION OF THE WATER EFFICIENCY OUTREACH, ENGAGEMENT, AND ANALYTICS SOLUTION Matthew P. Lyons, Director of Planning & Conservation Mr. Lyons briefed the Board on the results of the Request for Proposal, and advised that WaterSmart Software had been selected from the three respondents to the RFP to provide the quarterly reports to large users of water for single-family residential accounts to educate them on how their water use compares to similar households, and seek their involvement in reducing their water usage. Mr. Lyons noted that WaterSmart Software had extensive experience working with other utilities throughout California. Vice President Levine inquired regarding the other two RFP respondents. Mr. Lyons advised that one of the respondent s bids was too high and they had limited experience. He noted the other respondent did not meet the minimum

206 Board of Water Commissioners November 19, 2015 Page 5 requirements for having work experience with retail agencies in California, and also noted staff s concerns with questionable legal language in their proposal. Commissioner Saltzgaver made a motion to authorize the General Manager to issue a Purchase Order with WaterSmart Software, for an amount not to exceed $99,500, for the creation and implementation of the Water Efficiency Outreach, Engagement, and Analytics Solution. Commissioner Shannon seconded the motion. Vice President Levine called for any discussion. Hearing none he called for the vote. The City Attorney called for public comment. Hearing none, the Vice President called for the vote. The motion carried unanimously. 8. LEGISLATIVE/PUBLIC AFFAIRS ISSUES Kaylee Weatherly, Assistant to the General Manager Ms. Weatherly advised the Board that there was a copy in their cubby folders of Governor Brown s most recent Executive Order that he released on Friday, November 13 th 2015, providing a preview of what could be coming as California prepares to enter the fifth year of drought. She noted the order called for additional actions to build on the state s ongoing response to record dry conditions, and advised that it declares that all of the Governor s provisions and orders he declared since January 2014 are still in effect. In addition, the most notable item he had proclaimed is that if drought conditions persist through January of next year, the Water Board will extend the restrictions to achieve a statewide reduction in urban potable water usage until October She advised it also stated that the Water Board shall consider modifying its existing restrictions to address uses of potable and non-potable water, as well as to incorporate insights gained from existing restrictions. She advised that staff would continue to monitor what steps Governor Brown and the State Water Resources Control Board intends to take regarding the mandates for all cities, and noted that staff would continue to update the Board as progression is made regarding this matter. Vice President Levine called for questions or comments. Commissioner Saltzgaver expressed concern that these restrictions were just going to continue beyond the original ending date of February He requested clarification on how the mandated targets would be handled would it then be on a month-by-month basis. He inquired what the plan would be to enforce these mandates if they were extended. Vice President Levine requested that staff be prepared to comment on this matter at the next Board meeting. Vice President Levine commented on the possibility that the 16% target might be extended and could be on a month-to-month basis and not cumulative as is currently mandated. He asked Mr. Garner to comment on this issue.

207 Board of Water Commissioners November 19, 2015 Page 6 Mr. Garner advised that staff was closely following discussions on this issue. He mentioned that there are some inland agencies who are lobbying to have their targets reduced, but noted this was a zero sum game that could potentially cause other agency s targets to be increased. Mr. Garner advised that staff would keep the Board apprised of any changes to the current mandated target. Commissioner Shannon agreed that this was an important issue, and that the department needed to protect their position on this matter. 9. REPORT OF THE METROPOLITAN WATER DISTRICT (MWD) BOARD MEETING ON NOVEMBER 10, 2015 Christopher J. Garner, General Manager Mr. Garner noted there was nothing significant to report on from the MWD meeting. He referred the Board to the MWD Board summary report in their cubby folders. 10. NEW BUSINESS Vice President Levine called for any new business. Commissioner Saltzgaver made a motion to excuse Commissioners Martinez and Cordero from the November 19, 2015 Board meeting. Commissioner Shannon seconded the motion. Vice President Levine called for any discussion or public comment. Hearing none he called for the vote. The motion carried unanimously. Mr. Garner reported that staff had worked with Civil Service to highlight two of the Water Department employees at the most recent Civil Service meeting. He noted the employees had done a fantastic job during their presentations. He called on Mr. Tseng to summarize the event. Mr. Tseng advised that the Civil Service department was including employees in the various departments to highlight their core values, such as motivation, integrity and hard work for presentations before the Civil Service Commission. He noted the Water Department s machinist (who he advised was a fairly new employee) spoke regarding the process of how he was selected through the Civil Service hiring process. He advised that a Water Utility Supervisor I spoke about his career at the Water Department; noting he had started out as a non-career employee, and had worked his way up to a supervisory position. Vice President Levine commented that it was very important to recognize the contributions of the department s employees. He noted that during his time in serving on the Board for Long beach Transit that they had a program for Employee of the Month. He explained the process for the election of this employee each month. He mentioned to Mr. Garner that this might be something the Water Department might consider implementing.

208 Board of Water Commissioners November 19, 2015 Page 7 Mr. Garner advised he would welcome that idea. He noted this was a great opportunity to hear from the field employees, and learn more about the specifics of their individual jobs. He advised he looked forward to bringing some of the Water department employees before the Board either on a monthly basis, or quarterly so the Board would have a better understanding of the duties of the various departmental employees. Vice President Levine requested that the General Manager come back to the Board with a plan regarding this type of program. Commissioner Shannon requested that the two employees that were highlighted at the Civil Service Commission be scheduled to speak at a future Board of Water Commission meeting. Vice President called for any other new business. Hearing none he called for the adjournment of the meeting. 11. ADJOURNMENT There being no further business to come before the Board, Vice President Levine adjourned the regular meeting at 9:23 a.m. to the next special meeting for the Water Commission to be held December 10, 2015, in the Board Room of the Administration Building, 1800 E. Wardlow Road, in Long Beach, California. Attest: Robert E. Shannon, Secretary Frank Martinez, President

209 JANUARY 2016 BOARD MEETING SCHEDULE SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY 2 1 NEW YEAR S HOLIDAY ADMIN OFFICES CLOSED :30 BOARD/STAFF RECEPTION 8 9 9:00 A.M. BOARD MTG. ABSENT: STATE OF THE CITY MARTIN LUTHER KING JR DAY ADMIN OFFICES CLOSED :00 A.M. BOARD MTG. ABSENT:

210 ITEM 5. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING PRESIDENT S REPORT

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223 Water Commission Committee Assignments & Assigned Staff: Finance Chair Harry Saltzgaver Member Frank Martinez Staffed by: B. Anatole Falagan, Assistant General Manager Infrastructure Chair Frank Martinez Member Art Levine Staffed by: Eric Leung, Director of Engineering Government Affairs Chair Bob Shannon Member Harry Saltzgaver Staffed by: Kaylee Weatherly, Assistant to the General Manager Conservation Chair Art Levine Gloria Cordero Staffed by: Matthew Lyons, Director, Planning & Conservation As of January 2015

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243 ITEM 19. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING WATER SUPPLY UPDATE

244 MINUTES REGULAR MEETING OF THE BOARD OF WATER COMMISSIONERS LONG BEACH, CALIFORNIA NOVEMBER 19, 2015 The Board of Water Commissioners of the City of Long Beach met in the Board Room of the Administration Building, 1800 E. Wardlow Road, Long Beach, California, on November 19, The meeting was called to order at 9:00 a.m. by Vice President Levine. PRESENT: Arthur Levine Commissioner Robert Shannon Commissioner Harry Saltzgaver Commissioner Richard Anthony Deputy City Attorney Christopher J. Garner General Manager Sandra L. Fox Secretary to the Board of Water Commissioners B. Anatole Falagan Assistant General Manager Paul T. Fujita Director of Finance Tai Tseng Director of Operations Matthew P. Lyons Director, Planning & Conservation Eric Leung Director of Engineering Monya Hawkins Manager, Information Technology Robert Verceles Division Engineer Kaylee Weatherly Assistant to the General Manager Dynna Long Office Administrator Dean Wang Conservation Specialist ABSENT: Frank Martinez Commissioner (EXCUSED) Gloria Cordero Commissioner (EXCUSED) 1. PLEDGE OF ALLEGIANCE Paul Fujita led the Board and audience in the Pledge of Allegiance. 2. PUBLIC COMMENT Vice President Levine opened the public comment period. As there were no requests to address the Board on non-agenda items, the public comment period was closed.

245 Board of Water Commissioners November 19, 2015 Page 2 3. APPROVAL OF MINUTES NOVEMBER 5, 2015 Vice President Levine announced agenda item 3. and called for a motion for approval of the November 5, 2015 minutes. Commissioner Shannon made a motion to approve the minutes of November 5, Commissioner Saltzgaver seconded the motion. Vice President Levine called for any questions, comments or corrections regarding the minutes. He called for any public comment. Hearing none he called for the vote. The motion carried unanimously. 4. REVIEW BOARD MEETING SCHEDULE FOR DECEMBER 2015 Arthur M. Levine, Vice President, Board of Water Commissioners Vice President Levine noted that the regular Board meeting dates in December had been canceled (December 3 rd and December 17 th ) since they were in direct conflict with conference dates that most of the Board members would be attending. He advised it had been decided that there would only be one Special Meeting to be held on December 10, 2015, and there would be an adjusted start time of 8:00 A.M. for that meeting. Commissioner Shannon asked the City Attorney if a motion was needed to call for a special meeting. Mr. Anthony advised no, as long as the special meeting was properly agendized and that the canceled meetings were properly noticed. Vice President Levine called for any other questions or comments. Hearing none he moved on to Agenda item PRESIDENT S REPORT Arthur M. Levine, Vice President, Board of Water Commissioners Vice President Levine announced the Board meeting absences of President Martinez and Commissioner Cordero who are out of the country. He reminded the Board Members regarding the Chamber of Commerce State of the County luncheon being held at 11:30 A.M. at the Long Beach Convention Center Grand Ballroom later in the day. He also reminded the Board members that the LBWD Department holiday lunch had been rescheduled to Tuesday, December 15, 2015 at 11:30 A.M. to accommodate the travel schedules of the Board members attending the CRWUA Conference in Las Vegas, NV.

246 Board of Water Commissioners November 19, 2015 Page 3 6. GENERAL MANAGER S REPORT Christopher J. Garner, General Manager PRESENTATION AT LONG BEACH UNIFIED SCHOOL DISTRICT SCHOOL BOARD MEETING REGARDING DISCOVERY SCIENCE CENTER CONSERVATION EDUCATION PROGRAM Mr. Garner reported to the Board that a presentation before the Long Beach Board of Education had taken place on Monday, November 16, 2015, along with staff from the Discovery Science Center. He advised that Commissioner Saltzgaver had begun the presentation advising that the department was attempting to train future Long Beach water customers about the importance of water conservation. He advised the Discovery Science staff then spoke about the program and explained how it exactly fits into the science curriculum for the school district. He noted Ms. Weatherly then provided closing remarks. He advised he felt that the presentation had been well received by the Board, and comments included how they appreciated the Water Department teaching students about the water supply and water conservation, and also providing further information to the parents via the take-home booklet. NOVEMBER 14, 2015 ORANGE COUNTY REGISTER ARTICLE REGARDING WATER FINES Mr. Garner noted to the Board there was an article in their cubby folders from the Orange County Register regarding how water fines are being handled by the different water agencies. He reported the article pointed out that fines by various Orange County water districts had increased. He advised it was important to note that the majority of these fines had been levied by the City of San Clemente. He advised that other communities and Long Beach are consistent with the statewide average of fines imposed. METROPOLITAN WATER DISTRICT (MWD) VOTES TO PURSUE THE PURCHASE OF FOUR FARM ISLANDS IN THE SACRAMENTO-SAN JOAQUIN RIVER DELTA Mr. Garner referred the Board to an MWD press release in their cubby folders. He noted these proposed purchases could be used as water storage sites. He also mentioned that two of the four islands are located in the direct path of the proposed Twin Tunnel project which could assist in future project planning.

247 Board of Water Commissioners November 19, 2015 Page 4 NOVEMBER 17, 2015 LONG BEACH CITY COUNCIL MEETING BUDGET DISCUSSION Mr. Garner reported he had attended the November 17, 2015 city council meeting where budget discussions occurred. He noted the City Manager reported that oil reserves were down (and noted they had budgeted using a $55.00 per barrel price forecast, but the actual forecast pricing had now been adjusted down to the $40.00 to $45.00 per barrel range). He advised it was also revealed that they had expected a deficit of $7 million for the next budget session, but that had now been reduced to a forecast of $5 million. He advised the shortfall for FY 18 was originally forecast to be $18 million, but was now expected to be closer to $10 million. He reported that the good news was that property taxes were up; sales taxes were up and the TOT (bed tax) was up. Vice President Levine commented that here in Long Beach that the Board preferred to achieve cooperation with the customers rather than using fines and penalty fees. He called for any further comments or questions. Hearing none he moved on in the agenda. 7. AUTHORIZE THE GENERAL MANAGER TO ISSUE A PURCHASE ORDER WITH WATERSMART SOFTWARE, FOR AN AMOUNT NOT TO EXCEED $99,500, FOR THE CREATION AND IMPLEMENTATION OF THE WATER EFFICIENCY OUTREACH, ENGAGEMENT, AND ANALYTICS SOLUTION Matthew P. Lyons, Director of Planning & Conservation Mr. Lyons briefed the Board on the results of the Request for Proposal, and advised that WaterSmart Software had been selected from the three respondents to the RFP to provide the quarterly reports to large users of water for single-family residential accounts to educate them on how their water use compares to similar households, and seek their involvement in reducing their water usage. Mr. Lyons noted that WaterSmart Software had extensive experience working with other utilities throughout California. Vice President Levine inquired regarding the other two RFP respondents. Mr. Lyons advised that one of the respondent s bids was too high and they had limited experience. He noted the other respondent did not meet the minimum

248 Board of Water Commissioners November 19, 2015 Page 5 requirements for having work experience with retail agencies in California, and also noted staff s concerns with questionable legal language in their proposal. Commissioner Saltzgaver made a motion to authorize the General Manager to issue a Purchase Order with WaterSmart Software, for an amount not to exceed $99,500, for the creation and implementation of the Water Efficiency Outreach, Engagement, and Analytics Solution. Commissioner Shannon seconded the motion. Vice President Levine called for any discussion. Hearing none he called for the vote. The City Attorney called for public comment. Hearing none, the Vice President called for the vote. The motion carried unanimously. 8. LEGISLATIVE/PUBLIC AFFAIRS ISSUES Kaylee Weatherly, Assistant to the General Manager Ms. Weatherly advised the Board that there was a copy in their cubby folders of Governor Brown s most recent Executive Order that he released on Friday, November 13 th 2015, providing a preview of what could be coming as California prepares to enter the fifth year of drought. She noted the order called for additional actions to build on the state s ongoing response to record dry conditions, and advised that it declares that all of the Governor s provisions and orders he declared since January 2014 are still in effect. In addition, the most notable item he had proclaimed is that if drought conditions persist through January of next year, the Water Board will extend the restrictions to achieve a statewide reduction in urban potable water usage until October She advised it also stated that the Water Board shall consider modifying its existing restrictions to address uses of potable and non-potable water, as well as to incorporate insights gained from existing restrictions. She advised that staff would continue to monitor what steps Governor Brown and the State Water Resources Control Board intends to take regarding the mandates for all cities, and noted that staff would continue to update the Board as progression is made regarding this matter. Vice President Levine called for questions or comments. Commissioner Saltzgaver expressed concern that these restrictions were just going to continue beyond the original ending date of February He requested clarification on how the mandated targets would be handled would it then be on a month-by-month basis. He inquired what the plan would be to enforce these mandates if they were extended. Vice President Levine requested that staff be prepared to comment on this matter at the next Board meeting. Vice President Levine commented on the possibility that the 16% target might be extended and could be on a month-to-month basis and not cumulative as is currently mandated. He asked Mr. Garner to comment on this issue.

249 Board of Water Commissioners November 19, 2015 Page 6 Mr. Garner advised that staff was closely following discussions on this issue. He mentioned that there are some inland agencies who are lobbying to have their targets reduced, but noted this was a zero sum game that could potentially cause other agency s targets to be increased. Mr. Garner advised that staff would keep the Board apprised of any changes to the current mandated target. Commissioner Shannon agreed that this was an important issue, and that the department needed to protect their position on this matter. 9. REPORT OF THE METROPOLITAN WATER DISTRICT (MWD) BOARD MEETING ON NOVEMBER 10, 2015 Christopher J. Garner, General Manager Mr. Garner noted there was nothing significant to report on from the MWD meeting. He referred the Board to the MWD Board summary report in their cubby folders. 10. NEW BUSINESS Vice President Levine called for any new business. Commissioner Saltzgaver made a motion to excuse Commissioners Martinez and Cordero from the November 19, 2015 Board meeting. Commissioner Shannon seconded the motion. Vice President Levine called for any discussion or public comment. Hearing none he called for the vote. The motion carried unanimously. Mr. Garner reported that staff had worked with Civil Service to highlight two of the Water Department employees at the most recent Civil Service meeting. He noted the employees had done a fantastic job during their presentations. He called on Mr. Tseng to summarize the event. Mr. Tseng advised that the Civil Service department was including employees in the various departments to highlight their core values, such as motivation, integrity and hard work for presentations before the Civil Service Commission. He noted the Water Department s machinist (who he advised was a fairly new employee) spoke regarding the process of how he was selected through the Civil Service hiring process. He advised that a Water Utility Supervisor I spoke about his career at the Water Department; noting he had started out as a non-career employee, and had worked his way up to a supervisory position. Vice President Levine commented that it was very important to recognize the contributions of the department s employees. He noted that during his time in serving on the Board for Long beach Transit that they had a program for Employee of the Month. He explained the process for the election of this employee each month. He mentioned to Mr. Garner that this might be something the Water Department might consider implementing.

250 Board of Water Commissioners November 19, 2015 Page 7 Mr. Garner advised he would welcome that idea. He noted this was a great opportunity to hear from the field employees, and learn more about the specifics of their individual jobs. He advised he looked forward to bringing some of the Water department employees before the Board either on a monthly basis, or quarterly so the Board would have a better understanding of the duties of the various departmental employees. Vice President Levine requested that the General Manager come back to the Board with a plan regarding this type of program. Commissioner Shannon requested that the two employees that were highlighted at the Civil Service Commission be scheduled to speak at a future Board of Water Commission meeting. Vice President called for any other new business. Hearing none he called for the adjournment of the meeting. 11. ADJOURNMENT There being no further business to come before the Board, Vice President Levine adjourned the regular meeting at 9:23 a.m. to the next special meeting for the Water Commission to be held December 10, 2015, in the Board Room of the Administration Building, 1800 E. Wardlow Road, in Long Beach, California. Attest: Robert E. Shannon, Secretary Frank Martinez, President

251 December 10, 2015 Page 4 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

252 AGENDA BOARD OF WATER COMMISSIONERS REGULAR MEETING OF THURSDAY, NOVEMBER 19, 2015, AT 9:00 A.M. LONG BEACH WATER DEPARTMENT, ADMINISTRATION BUILDING 1800 E. WARDLOW ROAD LONG BEACH, CALIFORNIA 1. Pledge of Allegiance 2. Public Comment: GIVEN TO THE PUBLIC TO ADDRESS THE BOARD OF WATER COMMISSIONERS CONCERNING NON-AGENDA ITEMS AND OTHER ITEMS WITHIN THE JURISDICTION OF THE BOARD. EACH PERSON WILL BE ALLOWED FIVE MINUTES UNLESS EXTENDED BY THE BOARD. 3. Approval of Minutes November 5, Review Board Meeting Schedule for December 2015 Art Levine, Vice President, Board of Water Commissioners 5. President s Report Art Levine, Vice President, Board of Water Commissioners 6. General Manager s Report Christopher J. Garner, General Manager 7. Authorize the General Manager to issue a Purchase Order with WaterSmart Software, for an amount not to exceed $99,500, for the creation and implementation of the Water Efficiency Outreach, Engagement, and Analytics Solution Matthew P. Lyons, Director of Planning & Conservation 8. Legislative/Public Affairs Issues Kaylee Weatherly, Assistant to the General Manager 9. Report of the Metropolitan Water District (MWD) Board Meeting on November 10, 2015 Christopher J. Garner, General Manager 10. New Business 11. Adjournment to the next Special Meeting of Thursday, December 10, 2015, at 9:00 a.m. in the Board Room. Written materials relating to any item on the Commission's agenda which are submitted to the Commission after distribution of the agenda packet are available for public inspection at the Water Department Administration Offices located at 1800 E. Wardlow Road, Long Beach, CA

253 November 19, 2015 Page 2 If language interpretation for non-english speaking persons is desired or if a special accommodation is desired pursuant to the Americans with Disabilities Act, please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Charter Commission meeting. Kung ang pasalitang pagsasalin-wika para sa mga taong hindi nagsasalita ng Ingles ay hinahangad o kung ang isang natatanging kaluwagan ay hinahangad alinsunod sa Batas sa mga Amerikanong May Kapansanan, mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 oras bago ang pulong ng Komisyon sa Karta. Si desea una interpretación en otro idioma para las personas que no hablan inglés o si se desea una adaptación especial de acuerdo con la Ley de Estadounidenses con Discapacidad, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión de Estatutos. If language translation of the Commission agenda and minutes for non-english speaking persons is desired please make your request by phone to the City Clerk Department at (562) , 72 hours prior to the Commission meeting. Kung ang pagsasalin-wika ng adyenda at mga katitikan ng Komisyon ay hinahangad para sa mga taong hindi nagsasalita ng Ingles mangyaring gawin ang iyong kahilingan sa pamamagitan ng telepono sa Kagawaran ng Klerk ng Lunsod sa (562) , 72 pitong oras bago ang pulong ng Komisyon. Si desea obtener la traducción lingüística de la agenda y las actas de la Comisión para las personas que no hablan inglés, realice su pedido por teléfono al Departamento de la Secretaría Municipal al (562) , 72 horas antes de la reunión de la Comisión.

254 MINUTES REGULAR MEETING OF THE BOARD OF WATER COMMISSIONERS LONG BEACH, CALIFORNIA NOVEMBER 5, 2015 The Board of Water Commissioners of the City of Long Beach met in the Board Room of the Administration Building, 1800 E. Wardlow Road, Long Beach, California, on November 5, The meeting was called to order at 9:00 a.m. by President Martinez. PRESENT: Frank Martinez Commissioner Arthur Levine Commissioner Gloria Cordero Commissioner Harry Saltzgaver Commissioner Richard Anthony Deputy City Attorney Christopher J. Garner General Manager Sandra L. Fox Secretary to the Board of Water Commissioners B. Anatole Falagan Assistant General Manager Paul T. Fujita Director of Finance Tai Tseng Director of Operations Matthew P. Lyons Director, Planning & Conservation Eric Leung Director of Engineering Robert Verceles Division Engineer Abelardo Rendon Division Engineer Kaylee Weatherly Assistant to the General Manager Dynna Long Office Administrator Ken Bott Administrative Officer Dean Wang Conservation Specialist Krista Reger Conservation Specialist Michael Mori Conservation Intern Jenyffer Vasquez Conservation Intern Evana Gendron Business Systems Specialist IV Rick Gonzalez Administrative Analyst III Zeshaan Younus Discovery Cube ABSENT: Robert Shannon Commissioner (EXCUSED) 1. PLEDGE OF ALLEGIANCE Kaylee Weatherly led the Board and audience in the Pledge of Allegiance.

255 Board of Water Commissioners November 5, 2015 Page 2 2. PUBLIC COMMENT President Martinez opened the public comment period. As there were no requests to address the Board on non-agenda items, the public comment period was closed. 3. APPROVAL OF MINUTES OCTOBER 15, 2015 President Martinez announced agenda item 3. Commissioner Levine made a motion to approve the minutes of. October 15, Commissioner Cordero seconded the motion. President Martinez called for any questions, comments or corrections regarding the minutes. Hearing none he called for the vote. The motion carried unanimously. 4. PRESIDENT S REPORT Frank Martinez, President, Board of Water Commissioners President Martinez commented on the department s recent press release regarding the historic conservation response for the month of October. He applauded staff and the constituents of Long Beach in carrying out the continued messages and response to the call for sustained conservation. He advised he had heard from colleagues throughout the United States who had seen the press release and contacted him to congratulate the department on their continued conservation success. He commented on the recent article noting that the Governor had received some negative feedback regarding his comments for support of the Bay Delta twin tunnel project. President Martinez noted Commissioner Shannon s absence from the November 5 th Board meeting, and appointed Commissioner Cordero as the Acting Secretary to the Board for the November 5 th Board meeting. President Martinez reported that the 64 th Assembly District Water Symposium originally scheduled to take place on November 14 th, 2015, had been cancelled and noted no new date had yet been announced. He advised this cancellation would nullify the Board s approval for a sponsorship of this event that had been approved at the October 15, 2015 Board meeting.

256 Board of Water Commissioners November 5, 2015 Page 3 He advised that the report regarding the Board of Water Commission Standing Committees had been postponed until the first meeting in December when a full Board would be in attendance. He announced that there was a save the date announcement in the Board cubbies for the Long Beach Water Department holiday lunch that was scheduled to take place on Wednesday, December 16, Commissioner Saltzgaver advised that there would be a conflict for those Board members scheduled to attend the Colorado River Water Users Association Conference set for that same date. President Martinez announced that Discovery Science Center staff was scheduled to conduct their water education assemblies at Burcham Elementary on Friday, November 6 th, He noted he would be attending the 8:00 A.M. assembly. 5. GENERAL MANAGER S REPORT Christopher J. Garner, General Manager OCTOBER 2015 WATER SALES REVIEW Mr. Garner reviewed the monthly water sales data for October 2015 noting there had been no rainfall in October He advised that the average October rainfall was almost one inch. He advised the average daily maximum temperature in October 2015 was 85 degrees which was almost nine degrees hotter than the average October during the historic 10-year baseline. He advised that once again the citizens of Long Beach had done a good job in conserving so the target set by SWRCB had once again been met for the fifth month in a row. He reviewed the water-use targets, and noted that Long Beach continues to conserve beyond the 2013 demand numbers. He noted that with the combination of no rain in October and the very hot weather the monthly target had barely been met. Mr. Garner advised that for the month of October the conservation savings was 16.3% compared to August of 2013 which exceeded the State Water Resources Control Board target of 16%. He noted the actual cumulative reduction vs was 18.2% which positions the department in a good position to meet the cumulative target as we move into the winter months. MONTHLY PROHIBITED USE OF WATER REPORT Mr. Garner reviewed the data for the October PUoW report, and advised that a copy of the report was in the Board cubby folders. WORKERS COMPENSATION FOLLOW-UP REPORT Mr. Garner also advised the Board that in response to a request for additional information made at the October 15, 2015 Board meeting, that staff had prepared a memo

257 Board of Water Commissioners November 5, 2015 Page 4 regarding how the city calculates Workers Compensation costs, and then how the monthly bills are trued up at the close of the fiscal year against the budgeted amounts charged to the various departments throughout the year. He advised a copy of the memo was in the Board cubby folders. POTENTIAL TOPICS FOR GUEST SPEAKERS AT FUTURE WATER COMMISSION MEETINGS Mr. Garner advised the Board that he had also included in the Board cubby folders a list of potential topics for guest speakers at future Water Commission meetings. He advised he felt it would be beneficial for the Board and the staff to hear from various outside speakers. He noted that some of these topics would be handled by Water Department staff from the different bureaus who would explain how various operations are handled within the department. President Martinez commented that some of these topics might be beneficial to be heard at the Committee level. CLEAN-UP OF ADMINISTRATION BUILDING GARDEN Mr. Garner advised that steps had been taken to spruce up the Administration Building front landscaping. He thanked Mr. Lyons for taking care of this project request. President Martinez called for any questions regarding the report. Commissioner Levine thanked Mr. Garner and the staff for being so responsive to items the Board had requested follow-up on. 6. CONSENT CALENDAR President Martinez announced the consent calendar. Commissioner Saltzgaver made a motion to approve the Consent Calendar. Commissioner Levine seconded the motion. President Martinez asked if there were any questions or discussion regarding the Consent Calendar items. He called for any public comment. Hearing none he called for the vote. The motion carried unanimously. 6a. Approval of Transfer of Funds by Journal Entry Dated November 5, 2015 A communication was presented to the Board from Paul Fujita, which is on file at the Long Beach Water Department.

258 Board of Water Commissioners November 5, 2015 Page 5 6b. Approve Retirement Order No for items that were replaced in relation to the Sewer Main Replacement program during FY2015. It is recommended that the Board approve retirement of these items, and that they be removed from the Department s records. These items will not be sold at auction. A communication was presented to the Board from Paul Fujita, which is on file at the Long Beach Water Department. 7. AUTHORIZE THE GENERAL MANAGER TO EXECUTE THE FIRST AMENDMENT TO THE 2009 AMENDED AND RESTATED OPERATING AGREEMENT WITH THE WATER REPLENISHMENT DISTRICT OF SOUTHERN CALIFORNIA (WRD) FOR THE LEO J. VANDER LANS WATER TREATMENT FACILITY B. Anatole Falagan, Assistant General Manager Mr. Falagan provided a briefing on agenda item 7. He reviewed the history of the operating agreement, highlighting the recent expansion of the Leo J. Vander Lans Water Treatment Facility. He noted this amendment incorporates all of the recent changes to facility. Commissioner Saltzgaver made a motion to authorize the General Manager to execute the First Amendment to the 2009 Amended and Restated Operating Agreement with the Water Replenishment District of Southern California (WRD) for the Leo J. Vander Lans Water Treatment Facility. The motion was seconded by Commissioner Cordero. President Martinez called for any questions or comments. Commissioner Levine inquired if the amended agreement had been reviewed and approved by counsel. Mr. Falagan explained that all agreements are reviewed and approved by counsel. Mr. Anthony confirmed that he had reviewed the amended agreement. Commissioner Levine requested clarification on the approval process for agreements. Mr. Anthony provided background information on the approval process for Board letters and agreements. President Martinez called for any other questions or comments. President Martinez called for questions or comments from the public. Hearing none he called for the vote. The motion carried unanimously.

259 Board of Water Commissioners November 5, 2015 Page 6 8. INFORMATION ITEM REGARDING PROPOSED WATER CONSERVATION PROJECT: WATER EFFICIENCY OUTREACH, ENGAGEMENT, AND ANALYTICS SOLUTION OF SINGLE FAMILY WATER ACCOUNTS Matthew P. Lyons, Director of Planning and Conservation Mr. Lyons provided an overview of the Request for Proposals that was being sent out to interested companies to provide customized outreach to single-family residential high water use water accounts via letter and to engage the customer in conservation opportunities, and direct the customers to available Long Beach Water Department rebate programs. He noted this program would also include a web dashboard that would allow staff to track the outreach effort. He advised the program would be for a one year project with a cost not to exceed $100,000. Mr. Lyons advised that staff would then review the proposals and bring back to the Board the selected vendor for the Board to approve. He then advised a purchase order would be processed with the selected vendor. President Martinez called for questions or comments. Commissioner Levine asked if the high water users were typically those with larger homes and larger lots. Mr. Lyons confirmed this was correct. Mr. Lyons advised that the communications obtained through this RFP could be customized for the customers to compare their water usage with the individual homeowner s adjacent neighbors, or of those of other customers within their neighborhood. Commissioner Saltzgaver requested clarification on what the department was actually contracting for with this Request for Proposal; would this vendor be running the program and then providing the results to LBWD. Mr. Lyons confirmed that that was correct. The department staff would provide the vendor with utility billing information (the vendor would not have access to the financial data) through a separate file; and then department staff would work with the vendor on creating groups in order to study the effectiveness of the program. Contractor would handle processing the correspondence and mailing the reports to the individual homeowners. Commissioner Saltzgaver asked who would be reviewing the RFP before it would be sent out for bid. Mr. Garner advised he and Matt would be reviewing the RFP, and then it would be reviewed by the City Attorney.

260 Board of Water Commissioners November 5, 2015 Page 7 Commissioner Cordero expressed support for this type of program, but pointed out that it was important to also be positive with the message. She suggested including the LBWD logo, but to add the tag line We are in this together (or something similar) somewhere on the report. She advised that way the customer does not just think LBWD is watching them, but providing a service to assist them with their water conservation efforts. Commissioner Cordero advised it would be important to talk to the residents about this type of program through neighborhood groups and community meetings. President Martinez asked if there were any other questions regarding this program. Commissioner Levine expressed his opinion that the monthly bills that go out to the customers are not user-friendly, as far as comparing current usage versus historical usage data. He suggested that the bills should be changed to identify this type of information. President Martinez asked if the utility billing system had the capability to include this type of information. Mr. Garner responded that yes, the system could include these types of graphs, but he advised that with the City of Long Beach utility bills there was some difficulty because most bills include data usage for water, sewer, gas and refuse, so there is a lot of information contained in one bill. He noted that by adding additional information this would increase the number of pages included in the bill, increasing additional costs for production of the document. He advised something that could be considered was taking a look at peak usage for the different utilities such as the peak usage for gas was in the winter months, and the peak usage for water was in the summer months and only including the data for the peak months on future bills. He advised he would speak with the utility staff and the Tech Services group to see what might be done to remedy this concern. He advised he would report back to the Board regarding this item.

261 Board of Water Commissioners November 5, 2015 Page 8 9. OVERVIEW OF LONG BEACH WATER DEPARTMENT PROPERTY MANAGEMENT Ken Bott, Administrative Officer President Martinez advised that Commissioner Shannon had requested at a previous Board meeting that this report be provided. Mr. Bott provided a comprehensive review of the Water Department properties which included Operational Properties (such as facilities and reservoirs; Metropolitan Water District Turn Outs; potable pump stations; reclaimed water pump stations and active wells); and Non-Operational Leased Properties (providing a list of leased properties which included property uses). Commissioner Saltzgaver commented on city park well locations; and expressed concern regarding some park land that has been designated as parks in perpetuity. He inquired what might happen if the Water Department suddenly decided they needed to drill a new well on that park land. He wondered if the Water Department was leasing that land to the City; or had the Water Department given that land to the City. Mr. Bott advised that historically the Department had through various agreements given that land to the City for park use, but the Water Department is not currently paying the City for the small portion of those parks that is being used for well facilities. Mr. Bott provided background on a party interested in the leased Boeing property that will be soon be vacated by the Boeing Company by the end of April He noted that the MTA is considering leasing that property for manufacturing of light rail cars that could bring approximately 700 jobs to the area. He noted the negotiations for this property are ongoing. He advised he would keep the Board updated on this issue. Mr. Garner commented that the City, through Mike Conway, had approached the Water Department regarding this piece of property. He noted that both Ken Bott and Eric Leung had met with the City staff to discuss the potential new lease of this property. He advised the LBWD staff had met to protect the interests of the Department; and he noted that Mr. Leung had made sure that if the Water Department had any future interest on using this site for well drilling that request would accommodated. President Martinez called for any questions from the Board or the public. Hearing none he moved on to agenda item 10.

262 Board of Water Commissioners November 5, 2015 Page WATER SUPPLY UPDATE B. Anatole Falagan, Assistant General Manager Mr. Falagan provided a Water Supply Update which included the following points: Record breaking statewide drought o Extremes (record temperatures; precipitation extremes) Water supply balance resources o Statewide reservoirs reached near record lows Mandated conservation has improve storage o Metropolitan Water District storage reserves Improved due to reduced imported water demands Water supply balance demands o Statewide conservation call Statewide response has ramped up Some communities will not be able to catch up in reaching their targets Fines are anticipated to be sent to some cities o MWD demands pronounced response Since July 1, trending at 20% below 5-year average Water Conservation and Water Supply Shortage Plan o Stage 2 May 2015 LBWD has met or exceeded state target since June 2015 Will help meet conservation targets during winter months He provided an update on imported water supplies (State Water Project and the Colorado River); local weather conditions and the weather outlook (precipitation and temperature) for the next three months. President Martinez called for questions or comments. Commissioner Levine commented on the perception that not enough effort is made to capture stormwater. Mr. Falagan stated that it might provide benefit and information to have the Water Replenishment District make a presentation to the Board regarding an overview of their stormwater capture efforts, and their use of the spreading grounds as part of this process. Commissioner Levine requested that this presentation be scheduled to take place sooner, rather than later. Mr. Garner provided brief comments on the City s proposed stormwater capture program called LB Must. He advised he is scheduled to receive a briefing regarding this program, and noted he would like to schedule them to come to a future Board meeting to also provide a briefing on this program for the Board.

263 Board of Water Commissioners November 5, 2015 Page LEGISLATIVE/PUBLIC AFFAIRS ISSUES Kaylee Weatherly, Assistant to the General Manager Ms. Weatherly provided the following report: She noted that last week she had attended a Metropolitan Water District Legislative Coordinator s Meeting and heard about some issues that could make their way through the state legislature in the coming year. She advised the Board that she was bringing this information to them as informational items as they may hear about these issues through media as they move forward. Brown Administration s Resilient, Affordable, Safe Drinking Water for Disadvantaged Communities Framework o SB 88, Pavley bill but came through quickly as a Trailer Bill o Pathway to ensure that everyone in the state has adequate, safe drinking water, especially in areas with disadvantaged communities o State Water Resources Control Board has outlined various options in acting on this pathway. First and foremost, the state intends to use already existing funding to bring a system into compliance using technical assistance first. If technical assistance fails, the State Board will then consider opportunities for voluntary consolidation. o Aligning land use and water supply keyword; restricting land and housing development if there is not an adequate supply of water for the incoming population. o No effect on Long Beach. This was pushed through to mostly benefit small rural communities in the Central Valley who rely solely on wells that have gone dry. She advise she just wanted to make the Board aware of the State s next steps because this bill was brought to the Board as a matter of protecting public health. Sustainable Funding for Orphan Water Infrastructure Costs o SB 20, Pavley bill aimed to set up the CA Water Resiliency Investment Fund Framework o Public Goods Charge termed emergency drought response o Orphan costs would be for issues related to water O&M that does not have consistent funding mechanisms; essentially the external costs of providing water that are not project-based o State has identified that bonds are not the appropriate measure for consistent funding, and therefore a statewide tax would be sought

264 Board of Water Commissioners November 5, 2015 Page 11 o ACWA quickly opposed this bill stating: A tax on water bills would make it more costly for local water agencies to fund critical local water efficiency and supply projects. By redistributing local ratepayer dollars to areas that have been unable to fund water system investments, agencies that have already made significant investments in water efficiency and local water supply needs would be unfairly penalized because the money would be sent to Sacramento instead of locally-generated revenue Local water managers are best suited to identify ways to spend locally-generated revenues at their respective agencies More appropriate sources of funding such as the state s general fund should be pursued to address a problem that is in the general public s interest to solve. o CMUA also took a quick opposition to the bill stating: Public goods charge on water use unfairly singles out water users to finance benefits that accrue to the broader public o Author open to approach, CA Water Foundation is key group organizing, Pavley to be in recess identifying what these costs are, and in January will be seeking stakeholder response and potential solutions SB 163 (Hertzberg) Recycled Water (two-year bill) o Declares discharge of treated wastewater from ocean outfalls as waste and unreasonable use o Requires wastewater treatment facilities to achieve at least 50% reuse of annual flows by the year 2026 and 100% reuse by the year 2036 o Pick up in Assembly Rules Committee Proposition 218 Relief o When Governor Brown signed AB 401, which directs the State Water Resources Control Board and Board of Equalization to develop a plan for establishing and funding a low-income water rate assistance program, he included a special message about taking a look at Proposition 218 to address the obstacles Proposition 218 has in providing sustainable water conservation pricing. o ACWA, California State Association of Counties, the League of California Cities and CA Water Foundation are already making efforts to address water conservation tiered pricing, low income subsidy program and funding for stormwater and flood control Their efforts include support of amending Article X of the CA Constitution to provide a separate and voluntary means of financing for public water agencies that retains cost-of-service requirements

265 Board of Water Commissioners November 5, 2015 Page 12 for water and sewer service charges while expressly authorizing establishment of conservation-based water rates Ms. Weatherly concluded her report by noting that the Legislature is set to reconvene on January 4, 2016 and that she would continue to provide updates on these issues as well as others. President Martinez asked if there would be any financial impact to Long Beach regarding SB 163. Mr. Falagan advised that any financial impact would show up on Long Beach property tax bills, as any Los Angeles County Sanitation District charges are funded through the taxes. Commissioner Levine requested information regarding an ocean outfall. Falagan provided an explanation. Mr. Commissioner Levine requested clarification on the language in SB 88 regarding aligning land use and water supplies. Ms. Weatherly provided a response. There was general comments regarding restricting building of projects when an adequate water supply was not available. President Martinez advised that it was his understanding that individual jurisdictions had their own rules addressing this type of issue. Commissioner Saltzgaver commented on the boom in residential construction currently taking place in the city. He requested that the Board be provided with an update on what the City s current policy is regarding adequate water availability for these new projects. Ms. Weatherly concluded her report with the following information: Governor Brown Issues Statement on California Water Fix o The Delta pipeline is essential to completing the California Water Project and protecting fish and water quality. Without this fix, San Joaquin farms, Silicon Valley and other vital centers of the California economy will suffer devastating losses in their water supply. Claims to the contrary are false, shameful and do a profound disservice to California s future.

266 Board of Water Commissioners November 5, 2015 Page NEW BUSINESS President Martinez called for any new business. Commissioner Saltzgaver made a motion to excuse Commissioner Shannon from the November 5, 2015 Board meeting. Commissioner Levine seconded the motion. President Martinez called for a vote on the motion. unanimously. The motion carried President Martinez called for any other new business. Commissioner Saltzgaver provided a copy of the department s ad that was included in the Historical Society s recent cemetery tour program held on October 31, He noted that the Board and staff would work on any future requests from this group for sponsorship to improve the message and include more in-depth inclusion of the Water Department message. Commissioner Saltzgaver advised the General Manager and staff that he was requesting that more frequent reviews of the department s fiscal status be provided either monthly or quarterly. He advised this would make sense as this is part of the Board s responsibility to assure the well-being of the department. President Martinez recommended that these reports be made quarterly. Mr. Garner commented on this request. 13. ADJOURNMENT There being no further business to come before the Board, President Martinez adjourned the regular meeting at 10:22 a.m. to the next regular meeting for the Water Commission to be held November 19, 2015, in the Board Room of the Administration Building, 1800 E. Wardlow Road, in Long Beach, California. Attest: Robert E. Shannon, Secretary Frank Martinez, President

267 DECEMBER 2015 BOARD MEETING SCHEDULE SUNDAY MONDAY TUESDAY WEDNESDAY THURSDAY FRIDAY SATURDAY 5 1 ACWA FALL CONFERENCE INDIAN WELLS, CA 2 ACWA FALL CONFERENCE INDIAN WELLS, CA 3 ACWA FALL CONFERENCE INDIAN WELLS, CA 4 ACWA FALL CONFERENCE INDIAN WELLS, CA 6 HANUKKAH BEGINS AT SUNDOWN 7 PEARL HARBOR REMEMBRANCE DAY :00 A.M. SPECIAL BOARD MTG. ABSENT: :30 A.M. LBWD HOLIDAY LUNCH 16 CRWUA CONF. LAS VEGAS, NV 17 CRWUA CONF. LAS VEGAS, NV 18 CRWUA CONF. LAS VEGAS, NV CHRISTMAS DAY HOLIDAY ADMIN OFFICES CLOSED 26 KWANZAA BEGINS NEW YEAR S EVE

268 ITEM 5. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING PRESIDENT S REPORT

269 ITEM 6. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING GENERAL MANAGER S REPORT

270

271

272 ITEM 8. A VERBAL PRESENTATION WILL BE MADE AT BOARD MEETING LEGISLATIVE/PUBLIC AFFAIRS ISSUES

273 REVISION 2 AGENDA Regular Board Meeting November 10, :00 p.m. Board Room Tuesday, November 10, 2015 Meeting Schedule 7:00-8:00 a.m. Rm Dirs. Computer Training 9:00 a.m. Rm L&C 10:30 a.m. Rm OP&T 12:00 p.m. Board Room Board Meeting Telephone Participation: Hawaii Convention Center Honolulu, Hawaii (805) (cell) MWD Headquarters Building 700 N. Alameda Street Los Angeles, CA Call to Order (a) (b) Invocation: Jeffery Thomas, Board Member, Municipal Water District of Orange County Pledge of Allegiance: Director Sylvia Ballin 2. Roll Call 3. Determination of a Quorum 4. Opportunity for members of the public to address the Board on matters within the Board s jurisdiction. (As required by Gov. Code (a) 5. OTHER MATTERS A. Approval of the Minutes of the Meeting for October 13, (A copy has been mailed to each Director) Any additions, corrections, or omissions REVISION 2: Date of Notice: November 5, 2015

274 Board Meeting Agenda November 10, 2015 Page 2 B. Report on Directors' events attended at Metropolitan expense for month of October Added C. Induction of new Director Janna Zurita, from City of Compton (a) Receive credentials (b) Report on credentials by General Counsel (c) File credentials (d) Administer Oath of Office (e) File Oath D. Approve committee assignments E. Chairman's Monthly Activity Report Added F. Approve 30-day leave of absence for Vice Chair Gloria Gray, commencing December 4, DEPARTMENT HEADS' REPORTS A. General Manager's summary of Metropolitan's activities for the month of October B. General Counsel s summary of Legal Department activities for the month of October C. General Auditor s summary of activities for the month of October D. Ethics Officer s summary of activities for the month of October 7. CONSENT CALENDAR ITEMS ACTION 7-1 Appropriate $960,000; and authorize design and repair of expansion joints on pump delivery lines along the Colorado River Aqueduct (Approp ). (E&O) REVISION 2: Date of Notice: November 5, 2015

275 Board Meeting Agenda November 10, 2015 Page 3 Recommendation: Option #1: Adopt the CEQA determination that the proposed action is categorically exempt, and a. Appropriate $960,000; and b. Authorize design to repair 16 expansion joints on pump delivery lines along the CRA, and authorize construction to repair three of those joints. 7-2 Authorize a long-term ground lease to Verizon Wireless for a telecommunications equipment site in the unincorporated area of Mentone, county of San Bernardino. (RP&AM) Recommendation: Option #1: Adopt the CEQA determination that the proposed action is categorically exempt, and authorize the long-term ground lease to Verizon Wireless. 7-3 Authorize amendment of lease to Western Center Community Foundation dba the Western Science Center on Metropolitan-owned property in the city of Hemet, California. (RP&AM) Recommendation: Option #1: Adopt the CEQA determination that the proposed action is categorically exempt, and authorize the amendment to Western Center Community Foundation dba the Western Science Center. (END OF CONSENT CALENDAR) 8. OTHER BOARD ITEMS ACTION 8-1 Adopt Twenty-First Supplemental Resolution to the Master Revenue Bond Resolution authorizing the sale of up to $250 million of Water Revenue Bonds, 2015 Authorization; and approve expenditures to fund the cost of issuance of the Bonds. (F&I) REVISION 2: Date of Notice: November 5, 2015

276 Board Meeting Agenda November 10, 2015 Page 4 Recommendation: Option #1: Adopt the CEQA determination that the proposed action is not defined as a project and is not subject to CEQA, and a. Adopt the Twenty-First Supplemental; Resolution to the Master Revenue Bond Resolution authorizing the issuance of up to $250 million of Water Revenue Bonds, 2015 Authorization and providing the terms and conditions for the sale and issuance of said Water Revenue Bonds; and b. Approve up to $1,885,000 for the payment of the cost of issuance of the Water Revenue Bonds to be paid from bond proceeds or Metropolitan funds. 8-2 Appropriate $36.2 million; award $29.56 million contract to OHL USA, Inc. to rehabilitate Palos Verdes Reservoir; and authorize agreement with CDM Smith, Inc. in an amount not to exceed $713,000 (Approps and 15441). (E&O) Recommendation: Option #1: Review and consider the information contained in Addendum No. 1 and the MND, and find that the proposed modifications will not have a significant impact on the environment, and a. Appropriate $36.2 million; b. Award $29.56 million contract to OHL USA, Inc. to rehabilitate Palos Verdes Reservoir; and c. Authorize agreement with CDM Smith, Inc. in an amount not to exceed $713, Appropriate $15 million; and authorize: (1) agreement with County Sanitation District No. 2 of Los Angeles County for development of a potential regional recycled water supply program; and (2) design of a demonstration-scale recycled water treatment plant (Approp ). (WP&S) REVISION 2: Date of Notice: November 5, 2015

277 Board Meeting Agenda November 10, 2015 Page 5 Recommendation: Option #1: Adopt the CEQA determination that the proposed action is categorically exempt, and a. Appropriate $15 million; b. Authorize agreement with County Sanitation District No. 2 of Los Angeles County, substantially in conformance with the terms included in Attachment 1 to the board letter, and in a form approved by the General Counsel, for implementation of a demonstration project and development of a potential regional recycled water supply program; and c. Authorize design of a demonstration-scale recycled water treatment plant. 8-4 Authorize entering into a new agreement with the California Department of Water Resources for the sale of renewable energy from five Hydroelectric Power Plants. (E&O) Recommendation: Option #1: Adopt the CEQA determination that the proposed action is categorically exempt and is not subject to CEQA, and authorize the General Manager to enter into a new agreement under the terms described in the board letter for the sale of renewable energy from the five Metropolitan Hydroelectric Power Plants. 8-5 Authorize entering into three agency temporary skilled labor agreements. (OP&T) Recommendation: Option #1: Adopt the CEQA determination that the proposed action is not defined as a project and is not subject to CEQA, and authorize the General Manager to enter into the following skilled craft labor agreements: a. A contract for agency temporary skilled craft labor with Grafton Inc., not to exceed $325,000 per year; b. A contract for agency temporary skilled craft labor with Johnson Services Group not to exceed $325,000 per year; and c. A contract for agency temporary skilled craft labor with Premier Personnel Resources not to exceed $325,000 per year. REVISION 2: Date of Notice: November 5, 2015

278 Board Meeting Agenda November 10, 2015 Page Authorize entering into storage and exchange agreements with Antelope Valley-East Kern Water Agency; and approve payment of up to $16.6 million for funding the agreements. (WP&S) Recommendation: Option #1: Adopt the CEQA determination that the proposed action is categorically exempt, and a. Authorize the General Manager to enter into storage and exchange agreements with Antelope Valley-East Kern Water Agency consistent with the terms outlined in the board letter and in a form approved by the General Counsel; b. Approve payment of up to $16.6 million for funding the storage and exchange agreements with Antelope Valley-East Kern Water Agency; and c. Approve additional payments from the Supply Program Budget should the exchange or storage programs exceed the initial allocated 30,000 AF. 8-7 Report on existing litigation: Shimmick Construction Company, Inc./Obayashi Corporation, a Joint Venture v. The Metropolitan Water District of Southern California, LASC Case No. BC559603; and authorize increase of maximum amount payable under contract with (1) Hunt Ortmann Palffy Nieves Darling & Mah, Inc. for legal services by $500,000 to an amount not to exceed $600,000, and (2) Pacific Consultants Construction, Inc. for consulting services by $250,000 to an amount not to exceed $500,000 (Approp ). (L&C) [Conference with legal counsel existing litigation; to be heard in closed session pursuant to Gov. Code Section (d)(1)] REVISION 2: Date of Notice: November 5, 2015

279 Board Meeting Agenda November 10, 2015 Page 7 Revision Authorize General Manager to enter into an agreement to purchase or to acquire an option to purchase property from Delta Wetlands Properties located in Contra Costa, San Joaquin, and Solano Counties. (RP&AM) [Conference with real property negotiators; Property is approximately 20, acres, identified as Contra Costa County Assessor s Parcel Nos , , , , , , , , , , , , , , , , , , , ; , , , , , , , , , , , , , , , ; San Joaquin County Assessor s Parcel Nos , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , , ; and Solano County Assessor s Parcel No ; agency negotiators: Jeff Kightlinger, Stephen Arakawa, John Clairday, and Bryan Otake; negotiating parties: Metropolitan and Delta Wetlands Properties; under negotiation: price and terms; to be heard in closed session pursuant to Gov. Code Section ] (To be mailed separately) 9. BOARD INFORMATION ITEMS None 10. FUTURE AGENDA ITEMS 11. ADJOURNMENT REVISION 2: Date of Notice: November 5, 2015

280 Board Meeting Agenda November 10, 2015 Page 8 NOTE: At the discretion of the Board, all items appearing on this agenda and all committee agendas, whether or not expressly listed for action, may be deliberated and may be subject to action by the Board. Each agenda item with a committee designation will be considered and a recommendation may be made by one or more committees prior to consideration and final action by the full Board of Directors. The committee designation appears in parentheses at the end of the description of the agenda item e.g., (E&O, F&I). Committee agendas may be obtained from the Board Executive Secretary. Writings relating to open session agenda items distributed to Directors less than 72 hours prior to a regular meeting are available for public inspection at Metropolitan's Headquarters Building and on Metropolitan's Web site Requests for a disability related modification or accommodation, including auxiliary aids or services, in order to attend or participate in a meeting should be made to the Board Executive Secretary in advance of the meeting to ensure availability of the requested service or accommodation. REVISION 2: Date of Notice: November 5, 2015