08-01-11 Regular Meeting of the La Porte Area Water Authority

Browse Search

LA PORTE AREA WATER AUTHORITY MINUTES AUGUST 1, 2011 The rnectin.- was called to order at 6:00 PM by President David Janda. Members Present: President David Janda, Vice president Kenneth Schlather, Secretary Steve. Valerius, Members Dennis Steger, Randy Woodard (6: 15) Memben Absent: None Others Present: General Manager Ron Bottoms (6:07), Public Works Directot, David Mick, Asst. llij(ilic Works Director Doti Pennell, Dvector of Finance Michael Dolby, City Controller Phyllis Rinehart, and Morgan's Point Asst, City Administrator Brian Schneider (16:02). 2, The minutes from the meeting held Fcbruary 2, 201 1 were reviewed. Motion by Steve, Valerius to approve 11-111111tes with convictions as noted, second by Dennis Steger Motion was unanimous. Conside -r approval of' the Operator's Agreement between the City of` La Porte and the La Porte Area Water. it was noted by David Mick that tile current rate wa,,, based oil the 2009 agreement with CPI-t) calculations added for the next thj-c�- years. Motion by Steve Valerius, second by Kenneth Schiather to approve Operator's agreement. Motion was unanimous. 4. Request was made by David Mick to Skip lt,111 camber 4 on the agenda and return to it after review of items 5, 6, and 7 on the agenda. All members agreed. 5. Civerview of itcu,-, 5 and 6, City of Houston hue tip payment for 2009 and 2010 was presented by David Mick. After some discussion as to would it be better for the Water Authority to Pay or not pay the request by the City of Houston and ql-ICS6011 as to if the "looser" would pay all of the legal fees if the OLU01110 was decided in court, what court this dispute would be heard in, there was a request by Kenneth Schlather to explore the possibilities of the legal OUIC0111Q. 6. David Mick presented agenda item 7, the inter -local Agency Agreement as proposed by the City of Pasadena for reirribUYSernent to the City of Pasadena for expenses related to the potential change in the SE HOL[StOrl Water Plant Operator, Manager, and legal expenses related to true up charges with recommendation by the City of La Porte Asst, City Attorney. Approximate costs associated with Operations and management is $395,000 for an engineering firm to assist With new contracts for plant operator and manager, $ 10,000 for and independent audit. Other associated fees. La Porte Area Water Authority cost would be 8 percent of tilt total arriount. Motion was made by Steve V81efkis to approve the 8greeillent Will, all addition of a maximum legal expense not exceed either 10 percent prorated share or $50,000 and the LPAWA to be represented on the internal co - Participant committee reviewing the true up cost, operational and management changes, second by Dennis Steger, Motion was unanimous. 7. General Manager Ron Bottoms and Michael Dolby presented highlights of agenda item 4 the proposed 2011-2012 LPAWA operating budget and recommendation to add $50,000 in legal expenses and cost associated with potential change in SE Houston Water Plant operation and/or manager. Motion by Steve Valerius to approve budget Nvitli noted changes, second by Kenneth Schlathei- motion was unanimous. 8. Agenda item 8, General Managers Report, Ron Bottoms had no other comments. 9. Board comments none 10. There being no fin-ther business, the meeting adjourned a'7:00 PM