June 2002

REGULAR BOARD MEETING

JUNE 11, 2002, 10:00 A.M.

DISTRICT OFFICE

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

STAFF: Elmer McDaniels, Shelby Smith, Jan Wickham

ATTORNEY: Bill Hopp

GUESTS: Kevin Crew, Don Brand

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 May 14, 2002 Regular Board Meeting and May 14, 2002 Executive Board Meeting be approved, seconded by Director Bach, motion carried unanimously.

APPROVAL OF VOUCHER LIST

Director Putnam made a motion that the June 2002 Voucher List be approved, seconded by Director Bach, motion carried unanimously.

CRESCENT LAKE WATER REPORT

Manager McDaniels said that Crescent Lake has 55,600 acre-feet. Kyle Gorman with OWRD says it won’t hit 60,000. Last year at this time it was at 72,000 acre-feet. 25 acre-feet are going by the diversion.

APPROVE 2001 AUDIT REPORT

Director Bach made a motion that the 2001 Audit Report, as presented at the May 11, 2002 Regular Board Meeting, be approved, seconded by Vice-Chairman Morrow, motion carried unanimously.

TUMALO TOWN DITCH/DISTRICT WATER RIGHTS

Shelby Smith said she has two buyers for the four units of Tumalo Town Ditch water rights, approximately .23 acres of water. The potential buyers of two units each are Evelyn Edwards and Dale Peer, Sr. Ms. Smith asked if the Board would be willing to sell the water for the cost of transferring the water to the new owners, approximately $240.00 each. Director Putnam made a motion that the District sell the water for the cost of transferring it, seconded by Director Schlueter, motion carried unanimously. Attorney Hopp said that Harriet Gummus of Tumalo Town Ditch needs to have these two landowners sign off on the lien laws.

DESCHUTES BASIN SUBBASIN PLANNING

See attached copies of letter from Gail L. Achterman with Deschutes Resources Conservancy dated May 21, 2002, Deschutes Watershed Restoration-An Action Plan, March 2002, and Memorandum of Understanding, Deschutes Basin Coordinating Group, April 5, 2002. Attorney Hopp suggested that the District should join this group, as a show of support for watershed planning in the Deschutes Basin. Director Schlueter made a motion that the District join the Deschutes Basin Coordinating Group, seconded by Director Bach, motion carried unanimously.

-2- Minutes of Regular Board Meeting, June 11, 2002

REPORT ON MEETING WITH BOR

The Deschutes Basin district managers met with Bill McDonald, the BOR Regional Director, and Ron Eggers, the new man in Portland who took Eric Glover’s place, to discuss bull trout and the effect on the upper and middle Deschutes River. The managers were in agreement that bull trout do not need to be here.

REPORT ON BOR - SACRAMENTO

Manager McDaniels attended this meeting. He spoke to Bob Wolf from Washington DC about the District’s grant program. Mr. Wolf said that John Keyes, the Commissioner of the Bureau of Reclamation, is supporting our $1.3 million request. Minutes of the meeting will be made available to the Board as soon as they are ready.

REPORT ON HEARING - 240 ACRES

Attorney Hopp attended the hearing on the 240 acres. When the District deeded 10 acres (see attached Map A) over to Rae E. Klein in the 1970’s, they transferred the state easement from the 10 acres out to the highway to the Kleins. Then when the Kleins sold it to the Wallaces, they gave them a deed for the 10 acres and for the driveway. Therefore, the Wallaces believe they own that land, which they don’t. We need to go back to the State for an easement to connect the original road easement to the north quarter line of 16-11-09 (see attached Map B.

RADIO TOWER - LAIDLAW BUTTE

Manager McDaniels said a party is interested in putting another pole on Laidlaw Butte. Randy Windlinx with Cellular One says advances in electronic equipment would allow two antennas on the same pole. This party does not want to do that, they want a second pole. They offered $700 - $800 a month. The Board said no.

WATER TRANSFER

Booher to Leahy - 1.00 Senior Rights

Ms. Smith said this transfer should not be a problem. Director Bach made a motion that this transfer be approved, seconded by Vice-Chairman Morrow, motion carried unanimously.

PAUL & NIKKI RUGLOSKI - PUMP DELIVERY

See attached copy of letter and diagram from Paul & Nikki Rugloski dated June 9, 2002. They are requesting a second pump. Manager McDaniels said he has no objections. Director Schlueter made a motion that Manager McDaniels make the decision to allow or not allow a second pump, seconded by Director Bach, motion carried unanimously.

-3- Minutes of Regular Board Meeting, June 11, 2002

DON BRAND

Mr. Brand lives on Dayton Rd., and has been a water user in the District for several years. He asked if it is acceptable for a water user to walk along a private ditch on another water user’s property, for the purpose of checking the water flow. Attorney Hopp said that on a private ditch, it would depend on whether one has an easement for maintenance and operation. Mr. Brand said that his neighbor, John Helle, would not allow him access to the ditch. He said that, because of fluctuations in his water, he feels that someone is taking water illegally. Attorney Hopp said that, since it is a private ditch, the District has no jurisdiction. Manager McDaniels said that the District tried to solve this problem several years ago, by offering to provide the labor to pipe this ditch. The water users declined the offer at that time. The Board suggested that Mr. Brand have his attorney research his easements, if any.

NEXT MEETING DATE

The next Regular Board Meeting will be Tuesday, July 16, 2002, at 10:00 A.M., in the District office.

ADJOURNMENT

Director Putnam made a motion that the Regular Board Meeting be adjourned at 11:25 A.M., seconded by Vice-Chairman Morrow, motion carried unanimously.