ANNUAL/REGULAR BOARD MEETING

JANUARY 15, 2002, 10:00 A.M.

DISTRICT OFFICE

BOARD:               Bill Martin, Bob Morrow, Steve Putnam, Jim Schlueter

STAFF:                Elmer McDaniels, Shelby Smith, Jan Wickham, Ken Rieck

ATTORNEY:         Bill Hopp

GUESTS:                   Kevin, Crew, Ron Nelson, Jeff Kihn

Chairman Martin called the meeting to order at 10:00 A.M. and appointed Shelby Smith scribe. 

APPROVAL OF MINUTES

Director Putnam made a motion that the minutes of the December 11, 2001 Regular Board Meeting and December 11, 2001 Executive Board Meeting be approved, seconded by Director Schlueter, motion carried unanimously.  

APPROVAL OF VOUCHER LIST

Director Putnam made a motion that the January 2002 Voucher List be approved, seconded by Vice-Chairman Morrow, motion carried unanimously.

SWEAR IN DIRECTORS STEPHAN L. PUTNAM, DIVISION #1, AND WILLIAM F. MARTIN, DIVISION #3

Stephan L. Putnam and William F. Martin took the Oath of Office for Divisions #1 and #3, respectively.  They will fill these positions until January 3, 2005.

CRESCENT LAKE WATER REPORT

Manager McDaniels reported that Crescent Lake is at 48,000 acre-feet, up from 44,400 last month.  The readings from the Bureau of Reclamation are unavailable until the Federal Government lifts its ban on access to the Internet.   

FLUME #4 UPDATE

There is still backfilling at the inlet and outlet structures to be done, and some concrete work to be done at the inlet structure. 

ELECTION OF OFFICERS

Nominations for the position of Chairman to the Board were opened.  Director Putnam nominated William F. Martin, seconded by Vice-Chairman Morrow.  Director Schlueter moved that nominations for Chairman be closed, seconded by Director Putnam, motion carried unanimously.  William F. Martin is the 2002 Chairman to the Board.

-2- Minutes of Annual/Regular Board Meeting, January 15, 2002

Nominations for the position of Vice-Chairman to the Board were opened.  Director Schlueter nominated Robert A. Morrow, seconded by Director Putnam.  Director Putnam moved that nominations for Vice-Chairman be closed, seconded by Director Schlueter, motion carried unanimously.  Robert A. Morrow is the 2002 Vice-Chairman to the Board.

APPOINT SECRETARY TO THE BOARD

Director Putnam made a motion that Elmer G. McDaniels be appointed as Secretary to the Board for 2002, seconded by Vice-Chairman Morrow, motion carried unanimously.

RESOLUTION OF 2002 WATER CHARGES

Director Schlueter made a resolution that the 2002 Water Charges remain the same as 2001, i.e., Delivery Charge $300 per account, Restricted Funds $15 per account, and Operation & Maintenance $31 per acre, seconded by Director Putnam, resolution carried unanimously.

RESOLUTION OF BOARD MEETING FEES

Director Putnam made a resolution that the 2002 Board Meeting Fees remain the same as 2001, i.e., $50 per meeting, $100 maximum per month, seconded by Vice-Chairman Morrow, resolution carried unanimously.

RESOLUTION OF WORK SCHEDULE FEES, WATER TRANSFER FEES, PROPERTY TRANSFER FEES

See attached Schedule of District Fees.  Ms. Smith asked if the District should start doing title searches on water transfers.  Currently the transfer form includes a section to include encumbrances, and a statement that the applicant (seller) swears that the information is correct.  A short form title search will reveal mortgage holders, but will not reveal liens, judgments, or easements, and will cost $50.  The Board agreed that, to avoid the possibility of future problems, a short form title search should be done, and that the water transfer fee should be increased from $300 to $350 to cover the cost. 

At least one other district charged for annual instream leases for the 2001 season.  The Deschutes Resources Conservancy is opposed to charging.  Ms. Smith said that charging for leases could deter some water users from leasing.  The Board agreed that, for the 2002 irrigation season, the District will not charge for annual instream leases.

Under Canal Crossings, should the District refund any of the fees, currently $150 of $350?  By not refunding a portion of the fee, the District could lose some control over the completion of the job to the District’s satisfaction.  The Board agreed to continue to refund $150 of $350.

Under Equipment, the Board agreed to raise the fees to $70 per hour, to correspond to current rates by commercial equipment rentals. 

-3- Minutes of Annual/Regular Board Meeting, January 15, 2002

Director Putnam made a resolution to raise the fees described above for 2002, seconded by Vice-Chairman Morrow, resolution carried unanimously.

AUTHORIZATION TO TRANSFER FUNDS

Director Schlueter made a resolution that William F. Martin, Elmer G. McDaniels and Shelby J. Smith be authorized to transfer funds, as approved by the Board, seconded by Vice-Chairman Morrow, resolution carried unanimously.  Ms. Smith asked for approval to submit a letter, signed by Manager McDaniels, authorizing her to obtain information about the District’s checking account by telephone from U.S. Bank.  The Board agreed.

SET REGULAR BOARD MEETING DATE AND TIME

Director Schlueter made a resolution that the Regular Board Meeting Date and Time be set for the second Tuesday of each month, at 10:00 A.M., in the District office, seconded by Vice-Chairman Morrow, resolution carried unanimously.

RON NELSON, DESCHUTES BASIN BOARD OF CONTROL, DESCHUTES RESOURCES CONSERVANCY

Ron Nelson, Manager of Central Oregon Irrigation District, commended Tumalo Irrigation District’s Board, Manager, and Staff for our conservation efforts, which he said have not only benefited our water users, but also the Deschutes Basin.  Mr. Nelson said that the various issues currently facing irrigation districts make it even more important that all the Deschutes Basin districts work together by sharing resources, including the cost of dealing with these issues.  He asked that the District reconsider joining the Board of Control, which the Board had previously decided not to join. 

Mr. Nelson said that COID’s policy is to not allow use of irrigation water for domestic purposes.  They currently have about 160 patrons who are using irrigation water for domestic purposes.  COID is working with the water users to find other sources of domestic water.  They have told their users that they must find another source, or their irrigation water will be cut off, because the District would be subject to heavy fines, and probably will not be covered by insurance.  They are not accepting treatment of irrigation water for domestic purposes, because the State of Oregon has told them that if the treatment fails to meet state standards, the District will be liable.  He said that he is not aware of any filtration systems that meet state standards and produce enough water for drinking, cooking, bathing, oral hygiene, and washing dishes and clothes.  They are also relatively expensive and complicated. 

GROUNDWATER STEERING COMMITTEE

There will be a meeting Friday, January 18, 2002, with Paul Cleary, Director of Oregon Water Resources Department, and the Groundwater Steering Committee.  There is a meeting on mitigation on February 7, 2002, which Manager McDaniels will attend.   

-4- Minutes of Annual/Regular Board Meeting, January 15, 2002

PROJECT 3B BIDS

See attached copy of bid results for Project 3B.  Weekly Brothers, Inc., at $1,199,328, is apparent low bidder.  

LETTER FROM PAUL CLEARY, OREGON WATER RESOURCES DEPARTMENT

See attached copy of letter from Paul Cleary dated December 26, 2001. 

KEN RIECK’S NEW COMPUTER

The 2002 Operating Budget included $3,000 for a new computer for Ken Rieck.  Mr. Rieck explained that his CAD workstation needs to be upgraded.       

PICKUP ACCIDENT

The District’s 2001 Ford pickup, driven by Steve O’Neal, was sideswiped by another vehicle on Tyler Rd. on December 19, 2001.  Due to Mr. O’Neal’s excellent driving, which prevented the pickup from rolling, neither he nor the other driver was injured.  The other driver’s insurance has paid for the repairs.

NEXT MEETING DATE

The next Regular Board Meeting will be Tuesday, February 12, 2002, at 10:00 A.M., in the District office. 

ADJOURNMENT

Director Putnam made a motion that the Annual/Regular Board Meeting be adjourned at 11:35 A.M., seconded by Director Schlueter.