February 18, 2003

1. Call to Order

The meeting was called to order at 8:35 AM in the District conference room.

Committee members present:

Molly Erickson

Judi Lehman

Kris Lindstrom

Staff members present:

Ernesto A. Avila

Rick Dickhaut

Henrietta Stern

Dave Dettman

Arlene Tavani

2. Oral Communications

No comments were presented by members of the public.

3. Items on Board Agenda for February 2003

A. Approve Expenditure of Mitigation Funds to Purchase, Transport and Place Gravel below Los Padres and San Clemente Dams

Dave Dettman, Senior Fisheries Biologist, presented information on this item and answered questions raised by the committee members. The committee took no action on this item, but referred it to the full Board for consideration. Director Erickson requested that District staff clarify with the California Department of Fish and Game that the grant funds originally intended for a portable dredge can also be used for gravel placement.

B. Consider Adoption of Treasurer’s Report for June and December 2002

The committee members took no action on this item, but referred it to the full Board for consideration.

C. Semi-Annual Financial Report on CAWD/PBCSD Wastewater Reclamation Project

The committee members took no action on this item, but referred it to the full Board for consideration.

D. Consider Adoption of Mid-Year Fiscal Year 2002-2003 Budget Adjustment

Director Erickson expressed concern that funding reductions were proposed for completion of Strategic Planning Initiatives related to demand management and Seaside Basin management. Mr. Avila explained that these amendments represented cash flow reductions related to projects that could not feasibly be completed by the end of the fiscal year. He advised that detailed timelines for the Strategic Planning Initiatives could be provided at the March 27, 2003 Strategic Planning Session. Director Erickson directed staff to provide to Fran Farina a copy of Requests for Proposals that were circulated for the Water Demand Strategic Initiative and for implementation of Ordinance No. 105. She suggested that Ms. Farina could assist with the proposed projects, or recommend additional qualified consultants. Director Erickson requested that each month the Board meeting agenda be attached to the Administrative Committee packet. Director Lindstrom excused himself from the meeting at 9:50 AM. Directors Erickson and Lehman took no action on this item, but referred it to the full Board for consideration.

E. Report on Second Quarter Financial Activity for Fiscal Year 2002-2003

No action was required of the committee members.

F. Consider Amendment to Contract with Jones & Stokes Associates for Water Supply Project EIR

Henrietta Stern, Project Manager/Public Information Officer, presented two exhibits: (1) Matrix of EIR Process Options, and (2) Matrix of JSA Scope of Work for EIR, Option 1 Sub-Options. Director Lindstrom stated that a proposed large desalination plant at Moss Landing has two fatal flaws. He also noted that the Aquifer/Storage and Recovery Project is not cost effective and could present permitting problems. He proposed that the District analyze a local desalination plant, and negotiate with the Monterey Regional Water Pollution Control Agency to utilize its outfall for brine disposal. General Manager Avila noted that the key issues to consider in development of a local desalination project are the feasibility of directional drilling at the Sand City site and brine disposal.

Director Erickson made a motion that the committee recommend to the full Board funding for Option 1 – Project Level EIR-Local Desalination Plant, and Optional Task 2-C – a project level evaluation of a maximum size local desalination project only and program level analysis for all other alternatives. Director Lindstrom expressed support for the motion if discussions on brine disposal took priority over studies on directional drilling. Director Lehman supported the motion, but expressed concern with Optional Task 2-C because it would exclude an in-depth study of off-stream storage and reclamation. The recommendation was approved on a vote of 3 – 0.

4. Status Reports

No discussion.

5. Other Business

No discussion.

6. Director Comments/Future Items

Director Lehman inquired about the timeline for production of another District newsletter. Director Erickson suggested that the Public Outreach Committee meet to plan the next issue, and that approval to fund the newsletter be placed on the March 17, 2003 Board meeting agenda. Director Erickson also requested that a status report on preparation of the Fiscal Year 2003-2004 budget be presented at the March Administrative Committee meeting.

March Administrative Committee Meeting –

The meeting is scheduled for March 11, 2003 at 8:30 AM.

7. Adjournment

The meeting was adjourned at 9:55 AM.

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