ABSTRACT: Re:
GENERAL MANAGER’S REPORT, 16. Update on Development of Water Supply Projects, Stoldt restated several points outlined in the staff report on this item. He
also announced that a draft version of the water rate relief bond legislation
was distributed that morning for review by the California State Office of
Legislative Counsel.
GENERAL MANAGER’S REPORT
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16.
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Re: ACTION ITEMS – 21. Consider Action to be Taken
with Respect to Public Water Now Initiative Petition, The Water Management
District’s Elections Official, Arlene Tavani, certified to the Board that the
petition submitted by Public Water Now was sufficient. Certification was based
on Monterey County Elections Department’s examination of the petitions, verification
of signatures, and subsequent communication dated January 21, 2014, stating
that the initiative petition contained 135% of signatures of qualified voters
needed.
Byrne offered a
motion to adopt Resolution No. 2014-02 to immediately order that the ordinance included
in the Public Water Now initiative petition that calls for an investigation
into the feasibility of public purchase of Cal Am be submitted to the voters without
alteration. The motion was seconded by Markey and adopted unanimously on a vote
of Byrne, Markey, Thayer Pendergrass and Potter. Directors Brower and Lewis
were absent.
On a motion by
Markey and second of Thayer, the timeline for review and submittal of arguments
related to the ballot measure (submitted by staff at the meeting) was adopted
unanimously on a vote of Byrne, Markey, Thayer, Pendergrass and Potter. Directors
Brower and Lewis were absent.
The following
comments were directed to the Board during the public comment period on this
item. (1) George Riley, representing Public Water Now, expressed
support for adoption of Resolution No. 2014-02. He stated that public ownership
would result in a lower cost water supply. (2) Rick Heuer spoke in
support of adoption of Resolution No. 2014-02. He stated that an election would
provide an opportunity for public discourse on the drawbacks of public
ownership. (3) Eric Sabolsice, Director of Operations for California
American Water, stated that the company is not for sale. He expressed support
for adoption of Resolution No. 2014-02. He described the Public Water Now
initiative as a distraction to development of a water supply project. (4)
Nelson Vega, Vice President of the Commercial Property Owners
Association, expressed support for adoption of Resolution No. 2014-02.
According to Mr. Vega, it cannot be said that public agencies operate more efficiently
than private entities. (5) Bill Hood stated that if a ballot
measure calling for purchase of Cal-Am is approved by the voters, costs for low
and middle income rate payers will be controlled because the CPUC would not be
involved in rate setting. (6) John Narigi, Co-Chair of the
Coalition of Peninsula Businesses, referenced a letter dated January 24, 2014
(on file at the District office) recommending that the Board of Directors adopt
a resolution calling for an election on public ownership of Cal-Am, because the
voters would be responsible to pay for a feasibility study on the purchase of
Cal-Am facilities. (7) Sam Teel, Chair of the
Monterey County Hospitality Association, expressed agreement with comments made
by John Narigi. (8) Michael Behr stated that public ownership of Cal-Am
would provide an opportunity for local control, and the incentive for profit
would be eliminated. (9) Doug Wilhelm, representing Public Water
Now, stated that 85 percent of the population of the United States is served by
public water. According to a market survey completed by Public Water Now, three
out of four people who had an opinion expressed support for local control of
the water supply by the Water Management District. (10) Tom Rowley, representing
the Monterey Peninsula Taxpayers Association, recommended that if the Board
voted to place the Public Water Now initiative on the June 3, 2014 ballot, it
should keep an open mind and let the public hear all the issues before they
cast a vote. (11) Kevin Stone, representing Monterey County Association
of Realtors, referenced a letter to the Board dated January 29, 2014 (on file
at the District office) requesting that the Public Water Now initiative be
submitted to the voters. He stated that the Association of Realtors is opposed
to public ownership of Cal-Am. (12)
Harvey Billig, member of Public Water Now, asked the Water Management District
to analyze Cal-Am rates and determine what percentage of the rates collected
are utilized locally. (13) George
Brehmer expressed support for adoption of Resolution No. 2014-02. He spoke in
support of public ownership of Cal-Am. (14)
Stan Dursa stated that the cost of a feasibility study on the purchase of
Cal-Am may be higher than originally anticipated.
21.
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Action: The Board will consider adoption of Resolution 2014-02
calling for an election within the MPWMD boundaries on June 3, 2014, as specified in the Public Water Now Initiative Petition. The petition requests that the District submit to the voters a proposed Ordinance that adds Rule 19.8 to the District Rules and Regulations and requires the General Manager, within nine months of Rule’s effective date, to complete a Feasibility Analysis and Acquisition Plan for the acquisition, long-term ownership, and management by the District of Cal-Am’s assets. If the Plan concludes acquisition is feasible, the District shall, as soon as practicable, take all necessary and proper actions consistent with its powers under District Law and Eminent Domain Law to acquire Cal-Am’s water system assets. |
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