REGULAR BOARD MEETING
MAY 10, 2005, 10:00 A.M.
TUMALO IRRIGATION DISTRICT
64697 COOK AVENUE
BEND, OREGON 97701
BOARD: Bill Martin, Bob Morrow, Steve Putnam, Jim Schlueter
STAFF: Elmer McDaniels, Shelby Smith, Jan Wickham, Ken Rieck, Bob Varco
ATTORNEY: Bill Hopp
ENGINEER: Kevin Crew
GUESTS: Victoria Schmidt, Gordon Knight, Chris Mahr
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 April 12, 2005 Regular Board Meeting and April 12, 2005 Executive Board Meeting, seconded by Vice-Chairman Morrow, motion carried unanimously.
APPROVAL OF VOUCHER LIST
Vice-Chairman Morrow made a motion to approve the May 2005 Voucher List, seconded by Director Putnam, motion carried unanimously.
CRESCENT LAKE WATER REPORT
Manager McDaniels said that Crescent Lake has 33,007 acre-feet. There is a disagreement between the Oregon Water Resources Department and the Bureau of Reclamation, regarding whether that number includes dead storage. The OWRD says it does include dead storage, the BOR believes it does not.
VERIZON WIRELESS
Manager McDaniels said the contract has been signed, but we have not received any money yet.
CASCADE PUMICE
Manager McDaniels said he spoke with Dugan Pearsall with Cascade Pumice, who said they were busy doing some work for Robinson & Sons, but are back to mining the District’s land now, so revenues should pick up. He estimated $250,000 this year.
LETTER FROM VICTORIA SCHMIDT
See attached copies of letters from Victoria Schmidt, dated April 26, 2005 and May 10, 2005. Ms. Schmidt is concerned that she has not been getting a response from the District in answer to her requests. She has been a water rights holder in the District for four years, but she purchased property on Gerking Market Rd. in 2004, and said she could not get a response to her requests regarding how to use her water or where her weir was located. She believes that the small water rights holders do not get appropriate attention. She installed an irrigation system and started irrigating the property, but the following year received a letter regarding non-use of the water. She said no one was on the property to see if she was using the water. In the spring of 2005, the District
-2- Minutes of Regular Board Meeting, May 10, 2005
had a flooding problem below Ms. Schmidt’s property, and she agreed to have 20+ trees removed for road repair. She said that she now has a District truck driving through her yard once a week. Manager McDaniels visited her property on April 28, 2005, and has agreed to some repairs. She wants to reseed the bank where the trees were removed, and Manager McDaniels will ask the ditchriders to stay off the area until the grass is established. The District does have an easement there, and may need to go through there at times. She said last year she watched a ditchrider sit in the neighbor’s pasture for one and a half hours, smoking and playing ball with his dog. Manager McDaniels said he will speak to the ditchriders regarding appropriate responses to the water users’ requests.
MEETING WITH KYLE GORMAN AND STEVE JOHNSON
Manager McDaniels said he met with Kyle Gorman with OWRD and Steve Johnson with Central Oregon Irrigation District, regarding the water transfer of 16.85 acres from COID to the District. See attached chart prepared by Kyle Gorman, showing average flows below the Bend Feed from 1961 – 2001. That section of the Deschutes River only drops below 660 cfs in October, when the District doesn’t deliver water. Manager McDaniels suggested that we accept OWRD’s Option A to not deliver the 16.85 acres of water when that section of the Deschutes River drops below 660 cfs. Director Schlueter made a motion that the District accept Option A of OWRD’s letter dated April 1, 2005, seconded by Vice-Chairman Morrow, motion carried unanimously.
2004 AUDIT REPORT
Chris Mahr gave copies of the Financial Statements to the Board. He said it was a clean audit. The State of Oregon requires a new report called the Management Discussion & Analysis. Some of the terminology has changed, i.e., equity, retained earnings, and contributed capital, are now referred to as net assets, the Balance Sheet is now the Statement of Net Assets, and the Income Statement is now the Statement of Revenues and Expenses are stated cost, not market value. Depreciation expense has increased significantly over the last few years, because the historical cost of new structures is much higher due to increased construction costs. The difficulty lies in increasing assessments enough to make up for the increased replacement cost of aging structures. The Operating Budget has traditionally been subsidized by pumice revenues, which will go away by 2008/2009. Assessment increases need to be evaluated on two levels, the loss of pumice revenues as part of the Operating Budget, and the cost of replacing the aging infrastructure as part of the Capital Budget. One of the notes regarding administrative procedures has to do with insufficient documentation of labor hours.
REPORT ON TRI-STATE MEETING
Manager McDaniels attended this meeting. He said Norm Semanko, Executive Director of the Idaho State Association and President of the National Water Resources Association, and Thomas Myrum, Executive Director of the Washington State Association and Chairman of the Federal Affairs Committee of the National Water Resources Association, are aware of the projects the District is doing, and are supporting us in Washington DC.
-3- Minutes of Regular Board Meeting, May 10, 2005
CORP OF ENGINEERS
Manager McDaniels said the Corp of Engineers has tried to stop Sunnyside Valley Irrigation District in Central Washington from cleaning drainage ditches. They have notified the District to return them back to the condition they were in prior to cleaning or face tremendous fines.
LETTER FROM MERRIANE METZGER
See attached copy of letter from Merrianne Metzger dated April 28, 2005. Manager McDaniels asked that the letter be read into the record, which it was.
WATER TRANSFER
Resor to Kearns – 2.00 acres senior rights
Ms. Smith said Ms. Kearns sold the property from which the 2.00 acres is to be removed to Ms. Resor. Ms. Kearns wants the 2.00 acres moved to property she currently owns, which has no water. Ms. Kearns holds the paper on Ms. Resor’s property, so she signed the lien release. Bob Varco explained that both properties share the same weir, but they opted not to build a divider at this time. The Board was concerned that the District might need an easement for the delivery to the second property. Ms. Kearns has a utility easement, in which her pipe lies. Mr. Varco said the District’s current policy does not prohibit allowing this transfer and delivery. Vice-Chairman Morrow made a motion that this transfer be approved, seconded by Director Putnam, motion carried unanimously.
BEND FEED CANAL PROJECT – DEDICATION DATE
Manager McDaniels said Congressman Waldon would like the dedication to be held in the morning instead of the afternoon, so he can attend.
OLD TOOL TRUCK
The old tool truck was sold for $1,600, as is.
OLD SUBURBAN
The Board suggested that the old Suburban be offered for $3,500 to $4,000.
SHOP THEFT
Manager McDaniels said two incidents of petty theft have occurred at the shop recently. Several suggestions were to install a light, a camera, or a fence.
-4- Minutes of Regular Board Meeting, May 10, 2005
READY, WILLING, & ABLE TEST
Manager McDaniels said the State recently conducted a ready, willing, and able test on the Bend Feed Canal. They measured 132 cfs going through the canal, and at least another 20 to 25 cfs going out the fish screen bypass, which we need to do something about. That was without changing the louvers below the screens, and without putting any check boards on the dam, which we have the right to do. Another test will be done when more water is available. The goal is 160 cfs.
DIRECTOR GARY BLAKE
Gary Blake has sold his property in the Tumalo Irrigation District which made him ineligible to serve on the Board in Division 2. Attorney Hopp is checking on the possibility of changing the division boundaries to include property he owns that currently lies in Division 3. That probably is not an option, since it is a time-consuming procedure. His division comes up for election this fall. In the meantime, the Board will consider a temporary replacement for Mr. Blake.
NEXT MEETING DATE
The next Regular Board Meeting will be Tuesday, June 14, 2005, at 10:00 A.M., at the District Office.
ADJOURNMENT
Director Putnam made a motion that the Regular Board Meeting be adjourned at 12:15 P.M., seconded by Vice-Chairman Morrow, motion carried unanimously.