ITEM:		ACTION ITEM
12.	CONSIDER RECOMMENDATION TO THE BOARD TO ADOPT FINAL REPORT “SUPPLY AND DEMAND FOR WATER ON THE MONTEREY PENINSULA”
Meeting Date:			May 18, 2020	Budgeted:	N/A
From:			David J. Stoldt	Program/
			General Manager	Line Item No.:	N/A
Prepared By:			David J. Stoldt	Cost Estimate:	N/A
General Counsel Approval: N/A
Committee Recommendation: Water Demand Committee met on May 7, 2020 and recommended adoption of the report by a 2-1 vote.
CEQA Compliance: Action does not constitute a project as defined by the California Environmental Quality Act Guidelines section 15378.

SUMMARY:  At its September 16, 2019 meeting, the District Board accepted a report titled “Supply and Demand for Water on the Monterey Peninsula”, which was Exhibit 9-A of that Board packet. The report looked at the changing nature of demand on the Monterey Peninsula, the underlying assumptions in the sizing of the water supply portfolio, and indicators of the market’s ability to absorb new demand. The report was reviewed by members of the public, local organizations, and state agencies. Many comment letters argued that the findings in the report contradict those of the California Public Utilities Commission, but the letters did not provide any substantive alternate assumptions or facts.

Subsequent to the release of the initial report the 2019 water year was completed, providing an additional data point on current customer demand. The report was revised December 3, 2019 to address three items: (i) What is average current demand with the additional water year in the data? (ii) What water will be required to meet future housing needs? and (iii) What might be the market absorption of water based on an objective third-party growth forecast – the Association of Monterey Bay Area Governments (AMBAG) 2018 Growth Forecast? The revisions were presented to the District’s Water Demand Committee December 17, 2019 and a revised report was distributed to the Peninsula’s six city managers in January.

On January 22, 2020 Hazen & Sawyer, a consultant to Cal-Am, issued an analysis of the District’s report, to which the District responded on March 6, 2020. This FINAL version of the supply and demand report responds to comments made by the public, the city managers, Hazen & Sawyer, and incorporates an additional growth forecast. It is attached as Exhibit 12-A.

On April 21, 2020, Marina Coast Water District released its third-party “Expert Report and Recommendations of Peter Mayer, PE Regarding Water Supply and Demand in the California American Water Company’s Monterey Main System” (attached as Exhibit 12-B). Using slightly different data and methodology than the District, Mr. Mayer reaches many of the same conclusions as the District’s Final Report.

The “Background” section below describes the three action options the Board has with respect to the report:

“Adopt”

“Accept” (same as “Approve”), or

“Receive”

The passage below from Roberts Rules of Order concludes “While the motions to adopt, to accept, etc., are often used indiscriminately, and the adoption of any one of them has the effect of endorsing or adopting the opinions, actions, recommendations, or resolutions submitted by the committee, as the case may be, yet it is better to use them as heretofore stated. If only one term is used, the word “adopt” is preferable, as it is least liable to be misunderstood.”

RECOMMENDATION: The Committee recommends the Board adopt the final report.

BACKGROUND: Roberts Rules of Order provides some guidance on the differences in the potential actions the Board might take.

Henry M. Robert (1837–1923).  Robert’s Rules of Order Revised.  1915.

54. Adoption or Acceptance of Reports.

When the report of a committee has been received, that is, has been presented to the assembly and either read or handed to the chair or the secretary, the next business in order is the disposal of the report, the proper disposition depending upon its nature.	1
(1) If the report contains only a statement of fact or opinion for the information of the assembly, the reporting member makes no motion for its disposal, as there is no necessity for action on the report. But if any action is taken, the proper motion, which should be made by someone else, is to “accept the report,” which has the effect of endorsing the statement and making the assembly assume responsibility for it.	2
(paragraph 3 regarding financial reports deleted; not applicable)
(2) If the report contains recommendations not in the form of motions, they should all be placed at the end of the report, even if they have been given separately before, and the proper motion is to adopt the recommendations.	4
(paragraphs 5 and 6 related to ‘resolutions’ deleted; not applicable)
(paragraphs 7, 8, and 9 related to ‘amendments’ deleted; not applicable)
(paragraph 10 related to partial reports deleted; not applicable)
While it is customary in ordinary societies to make and second a motion to accept or adopt a committee’s report, yet if the motion is not made and the chair deems it best to have a vote taken on the question, he may state the appropriate question without waiting for a motion, accepting the submission of the report by a committee as equivalent to moving the adoption of the appropriate motion for disposing of it, just as is the case when one offers a resolution. To wait to see if two members are in favor of a proposition which at least two have signed, or authorized the chairman, or reporting member, to sign, would appear useless. In ordinary societies the chairman of the assembly usually knows better than the reporting member how the business should be managed, especially if a resolution is reported with many amendments. However, unless the assembly is accustomed to having its chairman put the proper questions on the report without any formal motion, it is better for the reporting member to move the “adoption” of the resolutions or recommendations, as that is generally understood.	11
When the chair has stated the question on the adoption of the recommendations or resolutions, or of the report (emphasis added), the matter under consideration is open to debate and amendment, and may have applied to it any of the subsidiary motions, like other main questions. Its consideration cannot be objected to if the matter was referred to the committee. While the report of the committee or its resolutions may be amended by the assembly, these amendments only affect that which the assembly adopts, as the assembly cannot in any way change the committee’s report.	12
(paragraph 13 is an example of paragraph 12 above and deleted here)
While the motions to adopt, to accept, etc., are often used indiscriminately, and the adoption of any one of them has the effect of endorsing or adopting the opinions, actions, recommendations, or resolutions submitted by the committee, as the case may be, yet it is better to use them as heretofore stated. If only one term is used, the word “adopt” is preferable, as it is least liable to be misunderstood.

EXHIBITS

12-A Supply and Demand for Water on the Monterey Peninsula – Final

12-B Expert Report and Recommendations of Peter Mayer, PE Regarding Water Supply and Demand in the California American Water Company’s Monterey Main System

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