EXHIBIT 1-A
DRAFT MINUTES Regular Meeting Board of Directors Monterey Peninsula Water Management District October 19, 2009
The meeting was called to order at 7:00 PM in the District Conference Room.	CALL TO ORDER/ROLL CALL
Directors Present: Kristi Markey, Chair -- Division 3 Alvin Edwards – Division 1 Judi Lehman – Division 2 Bob Brower – Division 5 David Pendergrass – Mayoral Representative Directors Absent: Regina Doyle, Vice Chair – Division 4 David Potter – Monterey County Board of Supervisors General Manager present: Darby Fuerst District Counsel present: David C. Laredo
The assembly recited the Pledge of Allegiance.	PLEDGE OF ALLEGIANCE
Andrew Clarke introduced himself as a candidate to represent MPWMD Voter Division 2.	ORAL COMMUNICATIONS
On a motion by Director Pendergrass and second of Director Edwards, the Consent Calendar was approved unanimously on a vote of 5 – 0. Directors Brower, Edwards, Lehman, Markey and Pendergrass voted in favor of the motion. Directors Doyle and Potter were absent.	CONSENT CALENDAR
Approved.	1.	Consider Adoption of Minutes of the September 21, 2009 Regular Board Meeting and October 5, 2009 Special Board Meeting
Approved.	2.	Consider Expenditure of Budgeted Funds to Complete Emergency Work on Pump No. 2 at the Sleepy Hollow Rearing Facility
Approved.	3.	Receive and File Report on Fourth Quarter Financial Activity for Fiscal Year 2008-09
Approved.	4.	Consider Adoption of Treasurer's Report for June 2009
	PRESENTATIONS
Mr. Anthony reported the following. Installation of a transmission pipeline through Del Rey Oaks to facilitate full implementation of the Phase 1 Aquifer Storage and Recovery Project is ahead of schedule. A contractor has been hired to begin replacement of a large water main in the City of Seaside. By the end of 2009, water bills will reflect increased water rates approved by the California Public Utilities Commission. The focus of water conservation efforts in 2010 will be reduction of outdoor landscape irrigation. Approximately 20 percent of water used in the summer months is for landscape maintenance. California American Water (Cal-Am) has identified 270 customers that use at least 360 units of water per year. These high water users will be notified by letter to reduce water consumption, and if necessary, Mr. Anthony will contact them by telephone. If the Cease and Desist Order (CDO) is adopted, a building moratorium will be in effect. It may not be necessary to implement water rationing, as increased water rates should cause water consumption to remain below limits outlined in the draft CDO.	5.	Monthly Report from California American Water General Manager, Craig Anthony
Henrietta Stern, Project Manager, presented the report. An outline of Ms. Stern’s presentation is on file at the District office and can be viewed at the District’s website.	6.	Water Supply Project Alternatives Update
Stephanie Pintar, Water Demand Manager, presented the report. An outline of Ms. Pintar’s presentation is on file at the District office and can be viewed at the District’s website.	7.	Water Conservation Program Report
	GENERAL MANAGER’S REPORT
Darby Fuerst, General Manager, presented the report. An outline of the presentation is on file at the District office and can be viewed at the District’s website. Mr. Fuerst reported that for the period of October 1, 2008 through September 30, 2009, Cal-Am production from the Carmel River Basin was 1,000 acre-feet under the production target of 11,285 acre-feet established as a result of State Water Resources Control Board (SWRCB) Order 95-10. Production from the Coastal Subareas of the Seaside Basin was 742 acre-feet under the production target of 3,191 acre-feet established by the Seaside Groundwater Basin Adjudication. Production from the Laguna Seca Subarea was 246 acre-feet over the production target of 271 acre-feet established by the Seaside Groundwater Basin Adjudication. Therefore, total Cal-Am production from the Seaside Basin was 496 AF under the adjudication target of 3,462 AF.	8.	Status Report on California American Water Compliance with State Water Resources Control Board Order 95-10 and Seaside Groundwater Basin Adjudication Decision
	ATTORNEY’S REPORT
District Counsel Laredo reported that he provided a status report to the Board on all agenda items. The Board provided direction but no reportable action was taken.	9.	Report on 5:30 PM Closed Session of the Board
		3.	Conference with Legal Counsel – Existing Litigation (Gov. Code 54945.9 (a))
		A.	Application of California American Water Company to the Public Utilities Commission Application No. 04-09-019 – Coastal Water Project
		B.	Application of California American Water Company to PUC Application No. 09-XX-XXX –Mitigation Cost Reimbursement
		C.	Seaside v. California American Water (MBSE/Cal-Am Motion) (Appellate Court #HO34335; Superior Court Case No. M 66343)
		D.	State Water Resources Control Board Draft Cease and Desist Order WR 2009-00XX-DWR
		E.	Sierra Club, Carmel River Steelhead Association v. California American Water, Gary Locke, Department Of Commerce, Dr. Jane Lubchenko (NOAA), and Rodney McInnis (NMFS), (U.S. District Court, Northern District. Case No. 09 2870)
		F.	California American Water v. MPWMD (SWRCB/SNG) (Superior Court Case No. M 99622)
		G.	California American Water v. MPWMD (Ryan Ranch) (Superior Court Case No. M 101255)
	DIRECTORS’ REPORTS (INCLUDING AB 1234 REPORTS ON TRIPS, CONFERENCE ATTENDANCE AND MEETINGS)
Director Lehman reported that on October 14, 2009, she moderated a panel of water experts at a water summit sponsored by the League of Women Voters of the Monterey Peninsula. The panel included Darby Fuerst, Craig Anthony (Cal-Am), Jim Heitzman (Marina Coast Water District), and Janet Brennan who spoke on the proposed Hybrid water supply project. Ms. Lehman suggested that Director Brower might be interested in serving as the Board liaison to the Monterey County Hospitality Association.	10.	Oral Report on Activities of County, Cities, Other Agencies/Committees/ Associations
	PUBLIC HEARINGS
On a motion by Director Edwards and second of Director Pendergrass, the Board approved creation of the Anderson Water Distribution System. The motion was approved on a vote of 4 – 1. Directors Brower, Edwards, Lehman and Pendergrass voted in favor of the motion. Director Markey was opposed. Directors Doyle and Potter were absent. During the public hearing on this item, Lloyd Lowrey, representing the applicant, expressed appreciation to District staff for moving the application forward.	11.	Consider Approval of Application #20080606 and to Create “Anderson” Water Distribution System; APN 259-021-004
On a motion by Director Brower and second of Director Edwards, the first reading of Ordinance No. 140 was adopted unanimously on a vote of 5 – 0. Directors Brower, Edwards, Lehman, Markey, and Pendergrass voted in favor of the motion. Directors Doyle and Potter were absent. The following comments were directed to the Board during the public comment period on this item. (1) George Riley asked about funding for the rebate program. (2) Craig Anthony, representing Cal-Am, expressed support for the rebate program.	12.	Consider First Reading of Ordinance No. 140 Amending the Rebate Program Amounts, Deleting 1.6 Gallon Per Flush Toilets from the Rebate Program, and Adding Rebates for Lawn Removal, Synthetic Turf Installation, and Other Commercial/Industrial/ Institutional Retrofits
On a motion by Director Pendergrass and second of Director Lehman, the first reading of Ordinance No. 141 was adopted unanimously on a vote of 5 – 0. Directors Brower, Edwards, Lehman, Markey and Pendergrass voted in favor of the motion. Directors Doyle and Potter were absent. No comments from the public were received on this item.	13.	Consider First Reading of Ordinance No. 141 Amending and Revising Regulation XIV -- Water Conservation--To Update and Clarify Language and Add Non-Residential and Landscape Water Efficiency Requirements
There was no discussion of the Informational Items/Staff Reports.	INFORMATIONAL ITEMS/STAFF REPORTS
	14.	Letters Received
	15.	Committee Reports
	16.	Carmel River Fishery Report for September 2009
	17.	Water Conservation Program Report
	18.	Monthly Allocation Report
	19.	Monthly California American Water Production Report
	20.	Monthly Water Supply Status Report
	21.	Quarterly Water Supply Project Status Report
	22.	Quarterly Irrigation Program and Riparian Projects Report
	23.	Quarterly Carmel River Erosion Protection and Restoration Projects Report
	24.	Quarterly Water Use Credit Transfer Status Report
	25.	Semi-Annual Financial Report on the CAWD/PBCSD Wastewater Reclamation Project
The meeting was adjourned at 8:20 PM.	ADJOURN

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Darby Fuerst, Secretary to the Board

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