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Home My WebLink About06/28/78 WATER BOARD - CITY OF BAKERSFIELD WEDNESDAY, JUNE 28, 1978 4:00 P. M. Call meeting to order ~ Roll Call - Board Members: Rogers, Chairman; Barton, Bergen, Hoagland, Ratty 1. Approve minutes of regular board meeting of June 7, 1978 2. Letter dated June 23, 1978, from California Water Service Company in regard to computer billing error on a total of 1,353 accounts for the month of June. ~ DISCUSSION~ BOARD TO DETEP~INE ACTION. Staff Comments 4. Board Comments 5. Adjournment ~ A~DE~D~ WATER BOARD - CITY OF BAKE~FIELD WEDNESDAY, JUNE 28, 1978 4:00 P.M. etter Agreement to George Nickel amending Agreement No. 77-07 // /dated November 9, 1977. - F@R DISCUSSION, BOARD TO DETERMINE ~,~~ACTION~ MINUTES WATER BOARD -. CITY OF BAKERSFIELD WEDNESDAY, JUNE 7, 1978 4:00 P.M. The meeting was called to order at 4:00 P. M. in the City Hall Caucus Room. The Secretary called the roll as follows: Present: Rogers, Bergen, Hoagland Absent: Barton, Ratty Staff Present: Chafin, Bogart, Combs, Needham, Hostmyer The minutes from the regular meeting of May 10, 1978 were approved as corrected. A letter from C. H. Williams, regarding City of Bakersfield legal support for Kern River Watermaster was presented to the Board. After a brief discussion Mr. Hoagland made a motion that the City write a letter similar to those of Buena Vista ~ Water Storage District and North Kern Water Storage District in support of. the Watermaster. The motion was passed. SCHEDULED PUBLIC STATEMENTS Mr. Mac Ryan, 6024 Friant Drive, representing the Park Stockdale Civic Association Board of Directors addressed the Board as to what the Board's decision wa~ in respect to their earlier protest of our water rates. Mr. Ryan suggested that the City adopt the Public Utilities method of establishing water rates. Mr. Don Howard, of Stetson Engineers, Inc., responded to Mr. Ryan's suggestion stating that the Public Utilities Commission generally determines expenses (operation and maintenance) of the water company, its need for capital, and its need to give dividends (based on fair return of investment in system) to its stockholders, and sets rates accordingly. Basically, the study prepared by Stetson Engineers, Inc. follows Public Utilities guidelines with one single exception,it does not set forth dividends to the stockholders.. Mrs. Donna Martin, 5909 Cochran Drive, stated that the members of the Park Stockdale area would like representation on the Water Board. Mrs. Martin, also, requested that the matter of their water rates be taken to the City Council. Mr. Hoagland pointed out the Council had given these powers to the Water Board. Mr. Rogers suggested that we put the item on the agenda of the next Water Board meeting and notify Mrs. Martin so she can attend. Mrs. Martin requested the following: (1) size of pipes being replaced, and (2) cost breakdown on our water storage plan. . At this time Mr. Hoagland informed Mrs. Martin that this infor- mation.is a part of the City's public records and anyone is welcome to review them. At this time Don Howard responded to the above questions by giving an outline of improvements of the water system in the area. Kim Combs, Accountant for the Department of Water stated that a copy of the Capital Budget submitted to the City by California Water Service may be obtained from him in the Finance Department. Water Manager Chafin stated that the public is welcome to examine the Public 'records that are kept in the Department of Water office located at the Police Pistol Range, 1515 Oak Street. Adrianne Matthews, 108 Haggin Street, spoke in opposition to the surcharge. Mrs. David Martin, a resident of Stockdale .Estates,~ stated that she felt the City water system along with California Water Service Company should be put under the Public Utilities Commission regulations.~ Mr. Bergen suggested that the staff prepare a recap of the revenue and cost of operation of its Domestic Water System, showing the need for rate increase, history of rates, im- provements needed, etc. in such a form so the Board could mail a copy to each customer. Mr. Hoagland made a motion that we take these requests under submission until we have full Board members present. The motion was passed. There being no further business to come before the Board, Chairman Rogers adjourned the meeting at 5:00 P.M. Donald A.~Rogers,~~air an City of Bakersfiel~ Board tnda Hostmy~r,'- SEcretary City of Bakersfield Water Board G.4~LIFORNIA WATER SERVICE Gok~IP~Y / June 23, 1978 ~ · 1~0 NO~T~ FrmST ST~,~r AREA 408 · ~9 1-1414 Mr. John Chafin Water Department Manager 1501 Truxtun Avenue Bakersfield, CA 93301 Dear Mr. Chafin: Due to an error in billing, the 50%'surcharge for ~he City of Bakersfield county users was not includedin the June water bill amount. As of May 1, rates were increased,the 50% surcharge went into effect, and bills were prorated at the old and new rates with the · surcharge applying only to the new rate portion of the bill. This unique situation required special programming instructions which were to be eliminated at the end of May. This was not done and the error 0ccurred~ Five days Of billing was affected, a total of 1353 accounts representing $25,156.79 in revenue. The 50% surcharge would increase revenue by $12,578.40. A typical customer using 34 Ccf.'was billed $15.48, but should have been billed for $23.24. We regret the inconvenience caused by this error and assure you the programming has been corrected. We are prepared to take the necessary steps to rectify this matter and will assume any expenses involved... .. We await your decision as to how we should proceed. Very t{uly yours, S. M. DiMartino Data Processing Manager SD:gt cc: Mr. Kim Combs ~'~ Mr. B. D. Lewis - BK DEPARTMENT OF WATER June 27, 1978 George W. Nickel, Jr. Olcese Water District P. O. Bin 9448 Bakersfield, California 93309 Dear Mr. Nickel: ~ Pursuant to your request to amend Agreement No. 77-07 dated November 9, 1977, which provides for percolation and subsequent extraction of river water to be used within the City of Bakersfield and Olcese Water District, we will approve the following understanding: This letter will constitute an.agreement between the City of Bakers- field' (~ity) and Olcese Water District (Olcese) whereby Olcese may deliver water stored and extracted from the City's Kern River spread- ing area to areas outside of the City and Olcese. The following conditions shall apply: (1) The first priority for Olcese water extracted from the Kern River sPreading grounds shall be for the water requirements of lands within the City and within Olcese. (2). Unless mutually agreed to by the City and Olcese, water extracted under this agreement shall be limited to irrigation uses. (3) The amount of water eligible for extraction and use outside of City ~nd outside of Olcese under this agreement each year shall be determined as follows: a. On or about August 1st of each year, the City and Olcese shall determine the total amount of Olcese Water in storage at the City's Kern River Spread- ing grounds. 1501 TRUXTUN AVENUE · BAKERSFIELD, CALIFORNIA 93301 · (805} 861-2715 Page 2 b. .ConcUrrent with the calculations in paragraph 3(a) above, the City and Olcese shall estimate the re- sonable water needs of lands within the City and within Olcese for the following seven-year period, which water needs would be dependent upon Olcese spread water for their source of supply. c. The amount of water eligible for extraction for use on lands outside the City and outside Olcese in the following calendar year shall be the dif- ference between the quantities calculated in paragraph 3(a) less 5,000 acre-feet and 3(b) above. Example~ (3)a, Olcese water in storage 8~1-78 = 68,000 AcFt Less ~'5','000 Net in storage ~'3~,,'0~0 AcFt (3)b, Projected requirements in City and in Olcese 35,000 AcFt (3)c, Available for sale for irrigation outside City and outside.Olcese 28,000 AcFt (4) Water extracted under this agreement shall be considered Olcese water with respect to allocation of Operational Maintenance and Re- placement (OM&R) costs under Article III A, of the November 9, 1977 Agreement between the City of Bakersfield and Olcese. Water District. (_5) Olcese shall pay to the City for the extraction of such water sold for use outside of.City and outside of Olcese Three Dollars ($3) per acre foot subject to Article III D of the November.9, 1977 Agree- ment. An~ such~ water sold in place Will bear ~he same charge. (6) Olcese is to proceed immediately with construction of improve- ments, including wells, on the 'City's 2800 acres, in accordance with Article I of Agreement No. 77-07. (7) olcese shall indemnify City, its officers and employees for any liability for injury to, or death of, any person or damage to any property caused by negligence or the operation of this agreement. Page 3 (8) In the event City is compelled to resort to litigation for the performance of conditioqs of this agreement including any payment due the City by Olcese, court costs and attorney's fees shall be paid by Olcese. If this agreement is acceptable to you please execute in the space provided below and. return one executed copy to the City of Bakersfield Water Board. Sincerely, Donald A, Rogers, Chairman City of Bakersfield Water Board DAR:lh Executed this'., day of June, 1978. ~2'George W. Nickel, Jr., Pre~id~h~ Olcese Water District Attest: Secretary, Olcese Water District