EXHIBIT 1-A
DRAFT MINUTES Regular Meeting Board of Directors Monterey Peninsula Water Management District December 12, 2011
The meeting was called to order at 7:00 pm in the District Conference Room.	CALL TO ORDER/ROLL CALL
Directors Present: Robert S. Brower, Sr., Chair -- Division 5 Dave Potter, Vice Chair – Monterey County Board of Supervisors Brenda Lewis – Division 1 Judi Lehman – Division 2 Kristi Markey – Division 3 Jeanne Byrne – Division 4 David Pendergrass – Mayoral Representative Directors Absent: None General Manager present: David J. Stoldt District Counsel present: David C. Laredo
The assembly recited the Pledge of Allegiance.	PLEDGE OF ALLEGIANCE
The Oath of Office was administered to Jeanne Byrne, Kristi Markey and Robert S. Brower, Sr.	ADMINISTER OATH OF OFFICE TO KRISTI MARKEY, DIVISION 3; JEANNE BYRNE, DIVISION 4; AND ROBERT S. BROWER, SR., DIVISION 5
No comments were directed to the Board under Oral Communications.	ORAL COMMUNICATIONS
On a motion by Director and second by Director, the Consent Calendar items were adopted unanimously on a vote of 7 – 0.	CONSENT CALENDAR
Approved	1.	Consider Adoption of Minutes of the November 21, 2011 Board Meeting
Approved	2.	Adopt Board Meeting Schedule for 2012
Approved	3.	Consider Authorization for Purchase of Equipment for Retrofits at Monterey Peninsula Unified School District Schools
Approved	4.	Consider Authorization to Reimburse San Carlos School for Water Saving Retrofits
Approved	5.	Consider Expenditure of Budgeted Funds for Environmental Review for Water Project 2
Approved	6.	Consider Authorization of Consultant Contract and Sub-Grantee Agreement for Projects to Update the Integrated Regional Water Management Plan for the Monterey Peninsula, Carmel Bay and Southern Monterey Bay
Approved.	7.	Consider Sending a Letter of Introduction and Requesting a Meeting with Local Navy Officials to Discuss Development of a Seawater Desalination Project at the Abandoned City of Monterey Wastewater Treatment Plant
Approved.	8.	Consider Approval of First Quarter 2011-2012 Investment Report
	GENERAL MANAGER’S REPORT
David Stoldt, 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. He reported that actual production in the Carmel River Basin exceeded the target for the first two months of the year. However, pumping of the Seaside Groundwater Basin, specifically in the coastal area, is significantly below production, hence Cal-Am production is below the year-to-date target overall. General Manager Stoldt stated the District started the Water Year above average in October but slipped somewhat in November and and it is anticipated that December will be below average as well. With the lack of rain in December, there have not been significant flows to initiate injection into ASR.	9.	Status Report on California American Water Compliance with State Water Resources Control Board Order 2009-0060 and Seaside Groundwater Basin Adjudication Decision
General Manager Stoldt provided a brief summary of the report presented as item 10 in the Board packet. He reported that item 7 on the Consent Calendar will hopefully begin a cooperative working relationship with the U.S. Navy to move forward with building a desalination plant on U.S. Navy property. With regards to the Regional Desalination Project O&M Committee, two meetings were held to discuss governance of the Regional Desalination Project on November 29, 2011. There has been no additional progress on this concept and the District will continue to participate in this discussion and report to the Board. General Manager pointed out that implementation plans for Water Projects 2-5 are shown as exhibit 10-A of the December 12, 2011 meeting packet. On November 22, 2011, Chairman Brower and General Manager Stoldt met with Rob MacLean of Cal-Am to discuss: a) the in-holding for Sleepy Hollow in conjunction with the San Clemente Dam decommissioning, b) Los Padres Dam transition and study needs, c) data sharing, d) the regional Desalination Project, and c) User Fee proceedings at the CPUC. On November 28, 2011, the Monterey Regional Water Pollution Control Agency (MRWPCA) discussed alternate governance structures for delivery of alternate water supply projects to the Regional Project. Exhibit 10-B of the December 12, 2011 meeting packet contains correspondence from the November 28, 2011 MRWPCA Board Meeting.	10.	Update on Development of Water Supply Projects
	ATTORNEY’S REPORT
District Counsel reported that he provided status reports on items A through D listed on the Closed Session agenda. The Board provided general direction, but no reportable action was taken.	11.	Report on 5:30 pm Closed Session of the Board
	3.	Conference with Legal Counsel – Existing Litigation (Gov. Code 54956.9 (a))
		A.	MPWMD v. State Water Resources Control Board; Santa Clara Superior Court Case No. 1-10-CV-163328 -- Cease and Desist Order
		B.	Application of California American Water Company to CPUC Application No.10-01-012 – User Fee Collection ; Cal-Am v. MPWMD; M113336
		C.	Application of California American Water to the CPUC (Application No. 04-09-019) Coastal Water Project
		D.	Application of Cal-Am to the CPUC (App. No. 10-09-018) -- San Clemente Dam Removal
	DIRECTORS’ REPORTS (INCLUDING AB 1234 REPORTS ON TRIPS, CONFERENCE ATTENDANCE AND MEETINGS)
Director Lewis reported on her attendance at the November 29, 2011-December 12, 2011 Association of California Water Agencies Conference and the December 5, 2011 Orange County Reclamation Facility Tour. She stated she would like to see a similar tour implemented on the Peninsula. Director Byrne and Director Pendergrass also reported that they attended the Orange County Reclamation Facility Tour.	12.	Oral Report on Activities of County, Cities, Other Agencies/Committees/ Associations
	PUBLIC HEARINGS
On a motion by Director Pendergrass and second of Director Lehman, the January through March 2012 Quarterly Water Supply Strategy and Budget was adopted unanimously by the Board on a vote of 7 – 0 No comments were directed to the Board during the public hearing on this item.	13.	Consider Adoption of January through March 2012 Quarterly Water Supply Strategy and Budget
	ACTION ITEMS
Director Pendergrass offered a motion that and seconded by Director Potter, that the Board take no action on revising the Meeting Rules. The motion was approved on a vote of 4 – 3. Directors Pendergrass, Potter Brower and Byrne voted in favor of the motion. Directors Lehman, Lewis and Markey were opposed. No comments were presented to the Board during the public comment period on this item.	14.	Consider Adoption of Revised Meeting Rules Regarding Board Conference Attendance/Travel
On a motion by Director Byrne and second of Director Lehman , Board officers for 2012 were designated as: Chair, Director Potter; Vice Chair, Director Pendergrass; and Secretary/Treasurer, General Manager David J. Stoldt. The motion was approved on a vote of 6 –1. Director Markey was opposed. No comments were presented to the Board during the public comment period on this item.	15.	Conduct Election of Board Officers for 2012
There was no discussion of the Informational Items/Staff Reports.	INFORMATIONAL ITEMS/STAFF REPORTS
	16.	Letters Received
	17.	Committee Reports
	18.	Water Conservation Program Report for November 2011
	19.	Monthly Allocation Report
	20.	Monthly California American Water Production Report
	21.	Monthly Water Supply Status Report
The meeting was adjourned at 7:55 pm.	ADJOURN

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David J. Stoldt, Secretary to the Board

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