REGULAR BOARD MEETING
JUNE 8, 2004, 10:00 A.M.
TUMALO IRRIGATION DISTRICT
64697 COOK AVENUE
BEND, OREGON 97701
BOARD: Bill Martin, Bob Morrow, Steve Putnam, Jim Schlueter, Gary Blake
STAFF: Elmer McDaniels, Shelby Smith, Ken Rieck, Bob Varco
ATTORNEY: Bill Hopp
GUESTS: Chris Mahr, Greg Mohnen, Gary Moss, Tammy Sailors, Roger Prowell, Randy Windlinx
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 to approve the minutes of the May 11, 2004 Regular Board Meeting and May 11, 2004 Executive Board Meeting, seconded by Vice-Chairman Morrow, motion carried unanimously.
APPROVAL OF VOUCHER LIST
Director Schlueter made a motion that the June 2004 Voucher List be approved, seconded by Vice-Chairman Morrow, motion carried unanimously.
2003 AUDIT REPORT, CHRIS MAHR
Chris Mahr with Stephen Greer & Associates provided the Board with the 2003 financial statements. He said the audit report was clean. Time keeping records for government projects are still not as complete as they should be. Ms. Smith said the field crew is keeping better records for both labor and equipment. Approximately $22,000 of Manager McDaniels’ time on the Bend Feed Canal Project may be questioned by the Bureau of Reclamation due to lack of time cards.
Mr. Mahr said that, due to recent changes in accounting standards, he is no longer allowed to determine estimated life and depreciation methods for fixed assets. He will meet with Manager McDaniels and Ms. Smith to review the District’s fixed assets to decide what should be removed, estimated life on the Bend Feed Canal piping, and what method of depreciation should be used.
Mr. Mahr said the Board needs to decide what will be done with the $140,000 remaining of the BOR $165,000 grant for a pressurized pipe system. The money will have to be repaid if not used by the 2005 deadline.
CRESCENT LAKE WATER REPORT
Manager McDaniels said that Crescent Lake has 42,300 acre-feet. The projection is 45,000 acre-feet.
-2- Minutes of Regular Board Meeting, June 8, 2004
LEASE AGREEMENT WITH JIM PENTZ
Attorney Hopp is waiting for the legal description of the property the District is leasing to Mr. Pentz to complete the agreement. Ken Rieck did the survey, and Kevin Crew is writing the description. Included in the agreement will be a reservation of easement to the District, so that if Mr. Pentz or his successor ceases to lease the property, the District can get water to the property.
BEND FISH SCREEN UPDATE
Manager McDaniels said the concrete work is done, and Mike’s Fence should have completed the fence by now. The first billing, through March 12, 2004, to Oregon Department of Fish & Wildlife was for $126,000. They approved $77,890, of which we will receive $46,734. They excluded all costs prior to the date of the contract, July 2003, and reduced our labor rate from $50.00 per hour to $35.00 per hour.
US CELLULAR TOWER, RANDY WINDLINX
Randy Windlinx asked the Board to consider a second pole on Laidlaw Butte for US Cellular. This pole would be the same height as the existing Cellular One pole, and therefore would not require public notice. A second option would be to replace the District’s thirty-five foot existing pole with a fifty-foot pole. Neither option would require additional power. US Cellular is offering $1,000 per month. Mr. Windlinx would make application and obtain the necessary approvals from the various agencies. Director Putnam made a motion that the District pursue this lease agreement, Mr. Windlinx to handle all the necessary applications and approvals, the lease amount to start at $1,000 per month, with a 5% increase per year, seconded by Director Blake, ayes – Blake, Morrow, Putnam, abstain – Schlueter, motion carried. Tammy Sailors said that technology is changing so fast that these towers will be obsolete in five to ten years. She suggested that the lease agreement include a guarantee of twenty to twenty-five years. In addition, she said the agreement should include ownership and maintenance of the tower, transfer of ownership when US Cellular is no longer using it, who will take it down when no longer in use, and that US Cellular will allow co-location for the next company who wants to use it. Director Putnam amended his motion to include these items.
VEHICLES
Manager McDaniels said a replacement half-ton pickup for Michael Williams would be between $22,000 and $25,000. A replacement tool truck for Bob Varco would be about $65,000. Manager McDaniels asked the Board to consider a five-year loan at 4% for Mr. Varco’s vehicle. Director Schlueter made a motion that Manager McDaniels proceed with the cash purchase of Mr. Williams’s vehicle, and the financing of Mr. Varco’s vehicle, seconded by Director Blake, ayes – Blake, Putnam, Schlueter, abstain – Morrow, motion carried.
COUNTY COMMISSIONERS PUBLIC HEARING JUNE 23, 2004
The County Commissioners public hearing regarding EFU zoning will be June 23, 2004. Director Schlueter said he would like to attend.
-3- Minutes of Regular Board Meeting, June 8, 2004
UNSIGNED LETTER
See attached copy of letter delivered to the District office, and e-mail to Director Blake. Copies of the letter were apparently delivered to all other irrigation districts in the Deschutes Basin, Kevin Crew and Tom Hicks with David Evans & Associates, and the Bureau of Reclamation. Attorney Hopp reported the letter to the Deschutes County Sheriff’s office, and they have opened a file. Director Blake will also turn his e-mail over to the Sheriff’s office.
CITY OF BEND, ROGER PROWELL
Mr. Prowell reported that the City Council unanimously passed a resolution opposing the designation of the Swalley irrigation canal as a historical site.
WATER TRANSFER
Pentz/Mills to Pentz – 0.70 acres
Mr. Rieck explained that Pentz/Mills is moving 0.30 acres to Pentz, and Pentz is moving 0.40 acres self to self. Ms. Smith said the paperwork has not been completed, although the title search and the maps has been completed. Director Putnam made a motion that this transfer be approved, contingent on completion of the paperwork and payment of fees, seconded by Director Schlueter, motion carried unanimously.
HIGHLINE PROJECT
Manager McDaniels said this project is dead, because the landowners could not come to an agreement with the District. He said that the price of pipe has gone up considerably, and the project could not be completed for the $140,000 we have left, even if the landowners did agree. We need to find another pressurized project before the deadline next year, to avoid having to repay the money to the Bureau of Reclamation.
NEXT MEETING DATE
The next Regular Board Meeting will be Tuesday, July 13, 2004, at 10:00 A.M., at the District Office.
ADJOURNMENT
Director Schlueter made a motion that the Regular Board Meeting be adjourned at 11:20 A.M., seconded by Director Putnam, motion carried unanimously.