Erica Castillo

The Board discussed matters in closed session regarding potential litigation and real property negotiations. Key actions included the approval of contract amendments for environmental services, field inspection services for a pressure-reducing valve replacement project, and a contract for printer upgrade replacements. The Board also approved an amendment for the Doheny Ocean Desalination Project, authorized a rate adjustment for legal services, and approved an amendment for geotechnical observation and inspection services for the Joint Regional Water Supply System. Additionally, the Board deferred the discussion on per diem compensation for another year and received updates on the capital improvement program and quarterly investment performance.

The committee reviewed the Barker Leavitt Quarterly Report and discussed sewer capacity charges, supporting the continued use of the Winter Quarter Average methodology for calculations until a budget-based rate structure is implemented. Additionally, the committee recommended that the Board of Directors adopt a resolution to establish a new 401(a) defined contribution plan and appoint a plan administrator.

The board discussed the Dana Point Water Service Replacements Project, specifically addressing the Notice of Completion. Additionally, the board held the third workshop regarding the Water, Recycled Water, and Sewer Rate Study, which included a staff report from the Director of Finance.

The meeting focused on the review of comments and revisions regarding the Draft JRWSS Agreement concerning systemwide cost allocations and facilities. Significant discussion occurred regarding the scope of indemnity and allocation of liability between the Designated Operator and other Member Agencies, specifically whether these terms should encompass negligence in addition to gross negligence and willful misconduct. The agencies agreed to continue these discussions at the subsequent quarterly meeting.

The Board held a workshop to discuss water, recycled water, and sewer rates, reaching a consensus on the proposed design. They reviewed reports on operational technology upgrades and a cybersecurity briefing. The Board also authorized a contract amendment for the Lift Station No. 2 Replacement Project to accommodate an increased project scope and budget, and adopted a new 401(a) defined contribution plan. Additionally, the Board acknowledged the receipt of an EPA grant for the Coastal Recycled Water Expansion Program.