The meeting was called to order at 4:10 PM in the District Conference Room.

Board members present:

Alvin Edwards, Vice Chair -- Division 1

Ron Chesshire, Division 2

Molly Erickson, Division 3

Kris Lindstrom, Division 4

David Pendergrass, Mayoral Representative

Board members absent:

David Potter, Vice Chair - Monterey County Board of Supervisors

Zan Henson, Division 5

Staff members present:

Darby Fuerst, General Manager

Ray Millard, Administrative Services Manager

Andrew Bell, Planning & Engineering Mgr./Dist. Engineer

Stephanie Pintar, Water Demand Manager

Sara Ramos, Sr. Office Specialist

District Counsel present: David Laredo

The assembly recited the Pledge of Allegiance.

The following comment was received during Oral Communication. (1) Lloyd Lowrey, appearing on behalf of the Security National Guaranty, Inc., applicant for the Monterey Bay Shores water distribution system, stated the applicant's objection to the proposed findings and the Board adoption of the proposed findings. Reasons for the objections were stated in a letter dated and submitted to the Board on February 22, 2001.

Due to the need for immediate Board direction on a matter which arose after the posting of today's agenda, Director Erickson asked that the following item be added to the Consent Calendar, Consider Authorization of Funds for Organizational Audit.

Director Erickson requested item A be pulled for discussion. Director Pendergrass requested items C and D be pulled for discussion. Director Chesshire requested items F and G be pulled for discussion. Director Edwards requested item H be pulled for discussion. Item C was pulled and was not considered. The existing committee appointments will be carried over.

On a motion by Director Erickson and second by Director Lindstrom, an amendment was made to the minutes of the December 11, 2000 4 PM Session Board meeting. The changes were noted under V.B. Consider Initiating Process to Evaluate Condition of the Seaside Groundwater Basin, (c) District staff will develop a time line for completion of the report. The motion to approve IV.A with the proposed amendment was approved on a vote of 5 - 0. Directors Potter and Henson were absent.

On a motion by Director Erickson, item IV. D. was deferred to the 7 PM session immediately following Oral Communications for Board discussion. The motion was approved on a vote of 4 to 1. Director Chesshire voted against the motion. Directors Potter and Henson were absent.

On a motion by Director Chesshire and second by Director Edwards, staff was asked to work with the consultant to ask him for a presentation to the Board at their April meeting. The motion to receive the Draft A & N Study was approved on a vote of 5 - 0. Directors Potter and Henson were absent.

On a motion by Director Erickson and second by Director Lindstrom to approve item IV.G, failed on a 3 - 2 vote. Director Chesshire, Edwards and Pendergrass voted against the motion. Directors Potter and Henson were absent.

On a motion by Director Erickson and second by Director Lindstrom to move item IV. G. to the 7 PM session, failed on a 3 - 2 vote. Director Chesshire, Edwards and Pendergrass voted against the motion. Directors Potter and Henson were absent.

On a motion by Director Lindstrom and seconded by Director Erickson to approve item IV. H., the item was approved on a 5 - 0 vote. Directors Potter and Henson were absent.

On a motion by Director Erickson and second by Director Lindstrom, Consent Calendar items B, E, I, J, K and L were approved 5 - 0. Directors Potter and Henson were absent.

General Manager Fuerst reported that the Board conducted a planning workshop on Saturday, February 17, 2001, where discussion began to set strategic goals for the upcoming year. At this meeting, the Board identified areas they would like to work on as well as directing staff to focus on work that had begun in the previous year but was not completed. The Board plans to schedule follow up planning meetings.

District Counsel Laredo reported on the 3 PM Closed Session held at the District Conference Room regarding litigation existing between Security National Guaranty, Inc. (SNG) and the Monterey Peninsula Water Management District. Discussion occurred on anticipated litigation from John C. Compagno, the landlord of the District's prior premises and the California-American Water Company (Cal-Am) petition regarding conservation rates. On all three actions a status reported was provided by staff and District Counsel to the Board. With respect to the SNG litigation and the John C. Compagno items, the Board voted unanimously to approve staff's and District Counsel's recommendation and to provide direction to Counsel. With regards to the Cal-Am petition, the Board voted 4 - 0 to accept District Counsel's recommendation. Director Pendergrass voted against the motion. Directors Potter and Henson were absent.

Director Edwards reported that interviews were conducted for recruitment of a General Manager. No action was taken. Discussions between the General Manager recruiter and the Board were conducted in Closed Session on February 12, 2001 and February 17, 2001. No action was taken. A Strategic Planning Workshop was also conducted on February 17, 2001. Director Erickson stated she has received requests from the public to move the General Manager's report and the District Counsel Report to the evening portion of the meeting whenever an afternoon session is conducted. Director Erickson also stated that the Strategic Plan has not been completely updated and requested that the Strategic Plan be updated for the next Strategic Session and the next Board meeting. Director Edwards commended staff on their efforts with respect to the new injection well. He suggested; 1) a sign be posted near the job site announcing the project, 2) send a press release to the Monterey Herald to announce the project , 3) encouraged the Board to stop by the job site and view the progress being made.

The Board had no comments or referrals.

Approved. A motion by Director Pendergrass and second by Director Chesshire to approve the amendments to fiscal year 2000-2001 MPWMD Annual Budget on a vote of 5 - 0. Directors Potter and Henson were absent.

No comments were presented during the public hearing on this item.

The meeting was adjourned at 5:02 PM.

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• CALL TO ORDER/ROLL CALL















































• PLEDGE OF ALLEGIANCE

III. ORAL COMMUNICATIONS

IV. CONSENT CALENDAR

• Approve Minutes from the Regular Meetings of April 17 and December 11, 2000; and the Meetings of January 5 and January 25, 2001

• Consider Ratification of Committee Appointments for Calender Year 2001

IV. CONSENT CALENDAR

• Consider Approval of Findings of Denial of Application to Create Monterey Bay Shores Water Distribution System

• Receive A & N Study on Water Savings Achieved through Retrofitting Toilets
• Consider Amendment of Board Meeting Rules 16, 17 and 18

H. Consider Adoption of New Procedure for Publication of Draft Ordinances

IV. CONSENT CALENDAR

• Consider Ratification of Agreements

E. Receive Water Augmentation Plan Update for Year 2000

• Consider Authorization of Funds for Site Work at New Test Injection Well

• Consider Receipt and Approval of Consultant's Report Regarding Arbitrage Compliance and Yield Restriction for the CAWD/PBCSD Wastewater Reclamation Project for FY 2000
• Consider Approval of Treasurer's Report for the Month of January 2001
• Consider Authorization of Funds for Organizational Audit

V. PRESENTATIONS

A. General Manager's Report

1. Update on Strategic Plan

B. Attorney's Report

C. Directors' Report

1. Report on Closed Session of January 29, 2001

2. Board Comments and Referrals

VI. PUBLIC HEARINGS

• Consider Amendments to Fiscal Year 2000-2001 MPWMD Annual Budget

VII. ADJOURN TO THE 7PM SESSION AT THE MONTEREY CITY COUNCIL CHAMBERS

_________________________________________

Darby W. Fuerst, Secretary to the Board