Bolinas Community Public Utility District
A Regular Meeting  Of  The Board  Of  Directors
May 15, 2002  270 Elm Road, Bolinas

1.  Call to Order

8:00 p.m.

2.  Roll

Directors Amoroso, Bertsch, Kayfetz, Siedman present. Director McClellan on leave.
Director Bertsch presiding.

Director Bertsch reported that the Board met in closed session at 7:30 p.m. to discuss personnel matters and that no action had been taken in the closed session.

3.  Managerís Report

Manager Buchanan observed that one year has passed since the  water supply emergency of 2001 and that the situation is much better this year, with both storage tanks full. He noted, however, that we are nearing the end of our fourth consecutive year of below average rainfall.

Long overdue rehabilitation of the shop in the maintenance yard is underway.

Only one bid has been submitted for the removal of about a dozen trees believed to be threatening the force main adjacent to the asphalt path on the Wastewater Treatment Facility land. Director Amoroso asked if it is possible to establish the precise location of the force main before removing any trees. Staff will investigate.

Items of greatest impact on the BCPUD that were discussed at the ACWA-JPIA conference recently attended by staff appear to be: that costs for Workers Compensation will probably increase significantly; and that State Fund has asked to be removed from the insurance ratings list, making contractors who use State Fund ineligible for employment by the District. Some of the increased Workers Compensation rates may be offset by a reduction in liability rates. In addition, staff noted JPIA counselís opinion is that, even if absent from a meeting, a director can vote on  the approval of the minutes of that meeting.

Relocation of the water line on Ocean Avenue will be done in the coming month. One house on Canyon Road must be disconnected from the Ocean Avenue line and  reconnected to the Canyon line. The affected residents will have one month following project completion to connect to the new meters.

Administrative Assistant Jill Whitcroft has been researching some improvements to the ergonomics of her office furniture and is considering purchasing a new desk.

Manager Buchanan will be away from 5/22/02 till 5/29/02.

Director Amoroso asked staff if any information had been discovered concerning the question of the residency requirements for Board directors. Staff responded that District counsel had been very clear that residency is defined as a function of intention. The directors themselves have no responsibility for the incumbency of another director; they are merely responsible to their own constituents.

4. Community Expression

In response to Director Kayfetzí query staff indicated that a packet of information on habitat restoration and copies of correspondence regarding the future of the Star Route Farms lagoonside field, also known as the Wilkins property, has been received from the Marin County Planning Department, but there has been no response to the Districtís comment letter. Apart from a letter from Peter Martinelli all the correspondence opposed the continued farming of the property. Director Kayfetz stated that he was disturbed by the Planning Departmentís inconsistency, citing the letter putting the removal of eucalyptus trees on the BCPUD land under California Environmental Quality Act requirements but making no such requirement for dyking the wetlands to create the field. He proposed sending a letter to the head of the Planning Department, Brian Crawford, and the Chair of the County Planning Commission, asking for a response to the first BCPUD letter and asking why the rules appear to fluctuate. Director Amoroso stated that he would prefer to see funds that would go towards and Environmental Impact Report be spent on purchasing the land as Open Space.

5.  Expanded Water Use Permit Application:  Bransten
     project location:  88 Nymph

The applicant is proposing to build an accessory structure without electricity or water service.

--  Kayfetz/Siedman      four ayes, McClellan on leave     to approve an Unconditional Expanded Water Use Permit

6.  Expanded Water Use Permit Application:  McFarlin
     project location:  77b Olema-Bolinas Road

Continued.

7.  35 Queen Road Garage Project Proposal:  Finkelstein

Director Kayfetz observed that the claim made in a letter from David Finkelsteinís lawyer that Finkelstein owns the BCPUDís parcel on which Queen Road sits is potentially threatening to the Districtís ownership of all the roads on the Mesa.

--  Amoroso/Kayfetz     four ayes, McClellan on leave     to authorize District counsel to review correspondence in the Finkelstein matter, to monitor any legal action initiated by Finkelsteinís neighbors and, if warranted to prepare a BCPUD motion to intervene, subject to legal fees not exceeding $500, without further Board authorization.

Staff pointed out the apparent inconsistency in the Finkelsteinís attorneyís letter which states first that the Finkelstein parcels are contiguous and then that contiguity is not relevant. Director Bertsch noted also that the geotechnical report recommends a waiver of restrictions, then says there are no restrictions. Neighbor Elia Haworth contested the assertion in the geotechnical report that no significant erosion has occurred in the area. Dolores Richards stated that surveyors had been surveying the pie-shaped wedge of land that had recently been sold at auction and defaulted on, to then be purchased by Finkelstein. She wondered why he is buying more land on the bluff. He has also erected a fence across the middle of Queen Road.

--  Kayfetz/Siedman     four ayes, McClellan on leave     to write to the County, to Finkelstein and all related parties, demanding the removal of illegal structures on BCPUD property (the fence), indicating that setbacks  from the cliff should be measured from the closest point on the cliff, and including testimony concerning the rate of erosion by Elia Haworth and by Cela OíConnor.

8.  Coastal Permit Application 00-14:  Moritz
     project location:  5675 Horseshoe Hill Road

Staff reported that BCPUD has requested the Marin County Community Development Agency to consider making it a permit condition that the access easement across the Moritz property to the BCPUD Pine Gulch  property be made to meet County code requirements. He noted that a realty specialist for the National Park Service has told him that the Park wants to pay the BCPUDís price for the land but is obliged by law to pay fair market value, which is minimal without an adequate easement. It was noted that an attachment to the application states that the easement exists. Director Siedman suggested verifying the statement made by the Park Service appraiser that the easement is only ten feet wide. Director Kayfetz said that the BCPUD, as a public agency, could condemn the necessary easement if it pursued plans to construct a single family residence. He will talk to Hadden Roth and ask for a letter regarding the easement. Staff will review the Vierra agreement for more details.

It was noted that the Notice of Exemption granted in 2001 had been based on resiting of the proposed development, but that the proposed site appears to be the same.

9.  Solid Waste:  garbage/recycling franchise agreement

All three bidders for the solid waste contract have submitted contract proposals but District counsel has not had time to review them. Director Kayfetz asked that counsel pay particular attention to the language of the clauses regarding dispute resolution. Ken Foley confirmed that although Waste Managementís greenwaste collection is a pilot program it can only be ended by mutual consent. Waste Management will offer greenwaste collection monthly, Industrial Carting weekly, and Biagini bi-weekly. In comparison of the franchise fees offered by each company WM and IC offered the same amount up front but IC said any additional franchise fee would be passed through to customers. Biagini offered almost double the fee of the other two, to be paid within thirteen months and no pass through. Director Amoroso asked whether the contract is so desirable because the smaller companies hope to be bought out by Waste Management or a competitor. He was assured that both smaller companies need a franchise to improve their appeal for other contracts and that Industrial Carting would be happy with any language that BCPUD required to protect itself against a buyout situation. Director Kayfetz noted that all companies have made good proposals. Director Siedman asked for some details on the actual collection process. IC would work the same way WM does and Biagini would use smaller trucks with container boxes. Comments from the floor included reports of corruption within Waste Management; the desirability of smaller trucks on fragile dirt roads; the irksome fact of the litigation the District has undergone with WM; and preferences for working with small family businesses.

There will be additional publicity for the next meeting when a decision is expected.

10.  Wind Energy Project Proposal:  review of comment on draft Initial Study; authorization to     publish notice of availability of Initial Study; report on engineering/financing

Bob Gold introduced the Board to a new proposal for a Vesta 660 windmill that would provide 5 times the power necessary to zero the Woodrat Treatment Plant energy use. He noted that Vesta would do the soils engineering, thus saving the $10,000 estimated by Salem, Howes for the engineering, and that, as a new mill, it would qualify for the state buydown program, cutting its $800,000 cost in half. He suggested including Commonweal in the usage history to bring the District up to the buydown requirement of half of the output of the mill. A building permit would be necessary by December 31, 2002 to qualify for the buydown, as it is presently structured. Directors Bertsch and Siedman will comprise an energy development committee, with Tom Williard, to continue work on the proposal while year-long data acquisition continues. Director Amoroso stated that the proposal is not yet firm enough to put on an advisory poll. He was also skeptical of meeting a year-end deadline.

11.  Bicycle/Pedestrian Path Process:  status report

Tom Williard reported that there have been three meetings to develop an acceptable path plan along Olema-Bolinas Road and that they have gone well. Reasonable consensus has been reached on the stretch from the Bolinas School to the intersection of Mesa Road: the next meeting will address the stretch from the intersection to downtown. A meeting and walk of the path with Supervisor Kinsey is scheduled for May 29, 2002, with the hope that enough support will be apparent that Kinsey will hold the Transportation Enhancement Act funds of $246,000 that have already been earmarked for this project.

12.  Other Business

a. Committee Reports

--Finance:  3rd Quarter Financial Report; 2002-03 budget process

The Board received the 3rd Quarter Financial Report.

Regarding the 2002-03 budget process, the Board made a minor change in funds allocation, moving money for hazardous tree removal from roads to contingency. Staff suggested that employee services figures remain unchanged until the MOU process is complete. The public hearing on the proposed budget is set for June 19, 2002.

--Legal:

Orrick, Herrington is entering mediation with Richard Harris and the status conference has been deferred for 60 days.

--Park and Recreation:

Director Siedman reported that the notification of the outcome of the state grant has been delayed another three weeks. Director Amoroso asked how Mesa Park planned to raise funds after the defeat of the parcel tax. Siedman said that it seemed probable that they would try for another parcel tax in November. Amoroso noted that to include Mesa Park in the BCPUD budget would require dissolution of the Joint Powers Agreement. He suggested looking into at the possibility of an ad valorem tax.

--Solid Waste:  Resource Recovery Project:  financial / operations reports

The Board received the financial report without comment.

--Sewer

Donald Guravichís treework on the sewer property may only cost $3,500 of the $5,000 budgeted for this year.  Another $5,000 is in the 2002-03 budget for continuing treework.

b. Minutes of April 17, 2002 Meeting

--  Kayfetz/Siedman    four ayes, McClellan on leave    to approve the minutes of the April 17, 2002 meeting

c. Warrants

--  Kayfetz/Siedman    four ayes, McClellan on leave    to approve the warrants

d. Scheduling of Next Meeting(s)

June 19, 2002

13. Adjournment

10:55 p.m.