MINUTES

A. PLEDGE OF ALLEGIANCE

B. ROLL CALL
Roll call showed the following Directors present: Eads, Whitney, Estabrook, Orth and Skezas. Also present were General Manager Williams and District Counsel Neary.

C. ADDITIONS/ ADJUSTMENTS TO THE AGENDA
None


D. MINUTES OF PREVIOUS MEETINGS

February 9, 1999

1. Director Orth moved to approve the minutes of February 9th. Director Whitney seconded the motion, requesting one amendment. He asked that on page 2834, at the top of the page, the word "all" be struck from the first sentence and the phrase "six inches or greater in diameter" be inserted after the phrase "live trees." Director Orth accepted the amendment, and the motion passed unanimously. General Manager Williams mentioned that the tape from the meeting of February 9th had stopped after the discussion of the Vegetation Management Plan, and the remainder of the minutes was written from memory.

E. SPECIAL PRESENTATION - LENA ASHLEY FROM CALTRANS
Ms. Ashley had not arrived, so President Skezas suggested that the meeting continue to the Public Hearing.

F. PUBLIC HEARING

2. PROPOSED WATER RATES ADJUSTMENTS. THE GENERAL MANAGER FILED A REPORT IN DECEMBER SUGGESTING AN ADJUSTMENT TO THE EXISTING WATER RATES TO PROVIDE FOR NEEDED CAPITAL REPLACEMENT. PURPOSE OF THE HEARING: TO TAKE PUBLIC TESTIMONY. A RESOLUTION APPROVING THE REVISIONS HAS BEEN PRESENTED FOR BOARD CONSIDERATION.

General Manager Williams stated that this is the second and final public hearing on the water rate adjustments. At the meeting of December 15th it was reported that we were unable to refinance our Water Loan and provide revenues required for needed capital replacement. With the aid of the overhead projector, he reviewed the depreciation schedules, indicating the items in need of replacement. He explained how the proposed rate increases will affect the monthly bills sent to the users of the water system. He mentioned that the bills will break down usage by tiers, so people can see the advantages of conservation. With regards to the proposed resolution, Director Eads mentioned that eventually we may need to adjust the tiers to specify types of commercial users, depending on future development. At the conclusion of the General Manager's presentation, President Skezas opened the public hearing at 7:17 p.m. John Bothwell came forward and stated that he felt the District should be able to operate on revenues, as opposed to borrowed funds. He was surprised at so little input from the public. He asked that the word "unit" be more clearly described as "cubic foot" and not "gallon" and felt that the rates should have been raised gradually, over a longer time period, as opposed to such a large increase at once. Michael Rice from Iris Drive, a 20 year resident of the District, expressed his concern about the District's need for "reserves", which he feels is "stashed money" earning interest for the District. He suggested that future mailings attempt to better "spur the interest of the public." Flip Alpern, a 13 year resident of the District, felt that the base rate should remain as is, and that needed adjustments be made in the usage rates, in order to better encourage conservation. No other members of the audience came forward to speak so President Skezas closed the public hearing at 7:33 p.m. Director Eads asked the General Manager to develop a "timeline" that shows how the reserves were depleted over the last ten years. A planning measure was approved by public vote and he would like it shown where that planning put us with regards to reserves, and the direction we are trying to go as a result of that planning. Director Whitney assured the members of the audience that reserves are needed to deal with deferred maintenance items. He agreed that the new billing system, which will show the charges at each usage level, will aid in water conservation. In turn, that will save the District money. Director Estabrook stated his feelings that the District is run in an efficient manner, with regards to the level of service provided. He prepared a graph for the overhead projector which charted the existing water rates and the proposed water rates, and compared them with the rates for the City of Willits. He stressed that by encouraging conservation measures now we can delay, or hopefully eliminate, the need for another dam. Director Orth felt that it is reasonable to expect the users of the system to pay for maintenance, and connection fees to be used for expansion. The water department has been under-funded for several years and the ultimate goal is for each fund to support itself. President Skezas stated that in general, he is opposed to any increase in taxes, however he felt that this increase is necessary. He then called for a motion to adopt Resolution 1999-5, a Resolution Amending Resolution No. 1998-10 and Establishing Rates and Charges for Water Services. Director Orth stated "so moved", the motion was seconded by Director Eads, and the vote was taken as follows:

AYES: Directors: Eads, Whitney, Estabrook, Orth, Skezas
NOES: Directors: None
ABSENT: Directors: None

E. SPECIAL PRESENTATION - LENA ASHLEY FROM CALTRANS

Ms. Ashley explained that the Department of Transportation is keeping the public informed of the progress of the Willits Bypass issue by several means, including the establishment of a web-site, and that they are beginning to draft Environmental Impact Reports on the various alternative routes. She provided Board members with a large scale map of the routes being considered, and copies of a 1991 report which explains CalTrans' position on the decision not to include a Highway 20 interchange as part of the eastern valley alternatives. The current funding for this project is $118 million, and several of the alternatives exceed that amount. Adding an interchange can add anywhere between $10 and $20 million to the cost. She reviewed the alternatives and the costs associated with each, explaining that the most expensive alternative is the western alternative, E3, which passes to the south of Brooktrails and is the only one that includes 3 interchanges. Two interchanges are provided for each of the other alternatives, which falls within the Federal Highway Administration's guidelines for interchanges. She mentioned that the City of Willits is concerned about future development moving from the downtown area out to the interchanges. Director Whitney inquired as to how the PDT Committee was created and who will make the final decision on the preferred alternative, as it relates to the Willits Bypass. Ms. Ashley responded by describing the composition of the PDT and indicated that the Regional Director would make the final decision on the preferred alternative. He stated that the District will be developing its second access at about the same time that CalTrans is working on the Bypass and suggested that Brooktrails provide CalTrans with its transportation studies and a copy of its Specific Plan, so that information can be considered as part of the EIR. Ms. Ashley explained that the purpose of the Willits bypass is to serve the inter regional traffic, and to route that traffic around the City of Willits. She felt it would be more appropriate for Brooktrails to work with MCOG or other local county road improvement networks to address local traffic concerns. She stated that she had received a copy of the TJKM environmental study and that CalTrans staff members had many unanswered questions about the study. Director Estabrook suggested that Ms. Ashley review the Fehr & Peers study done for the Specific Plan, which he felt was more informative than the other. He stated that, according to the Specific Plan, the proposed location of the second access is based upon the assumption that the bypass would not be built. If the bypass were built, the preferred location would be the Northern route. Director Orth pointed out that Brooktrails second access, the rebuilding of Sherwood road, the 101 Bypass, and the Highway 20 interchange in Willits are all key elements when planning for circulation and should be considered at the same time, even though they are separate projects. Ms. Ashley stated that the placement of the second access could possibly influence CalTrans' decision as to where they would locate an interchange. She assured the Board that CalTrans will listen to the local interests when making such decisions. District Counsel Neary asked about the schedule for completion of the project. Ms. Ashley outlined it as follows: July 2000, completion of internal reviews and draft EIR; July 2001, final EIR; Fall of 2003, design completion and start of construction; Fall of 2007, completion of project. When questioned about the number of alternatives, Ms. Ashley explained that a decision has yet to be made which alternative would carry the least negative impact. In closing, she asked that the Board keep her informed about the location of the second access.

G. PUBLIC COMMENTS
None

H. ACTION AGENDA

3. REVIEW AND COMMENT ON CITY OF WILLITS DOWNTOWN SPECIFIC PLAN.
A copy of the Specific Plan for Downtown was received from the City of Willits, who has asked for Brooktrails' comments. The General Manager provided a draft response for the Board's consideration.
Director Eads commented that there is no mention of the airport, which is located in Brooktrails, and should be considered in the plan as a means of transportation to Willits.
Director Orth felt that MTA should provide public transportation through Brooktrails to connect the city with the airport.
Director Whitney suggested that either the General Manager or one of the Board members attend the next meeting in March. He would like to add that we applaud the consideration of bicycle paths and pedestrian walkways and would like to work together to extend those connections into our community.
Director Estabrook commented that the Brooktrails population may look to Willits for commerce, but not necessarily for jobs. He also asked that the third paragraph be changed to read that the population should "increase significantly" over the next twenty years.

I. SPECIAL REPORTS - THE GENERAL MANAGER.

i. Significant Correspondence received since last meeting:

A response has been received from Virginia Strom-Martin regarding problems with re-financing of our State Water Loan. We have been contacted by Colleen Henderson of her Ukiah office about some other avenues to pursue for re financing. A response to the Department of Environmental Health was reviewed stating that we do not anticipate any further subdivision in Brooktrails.

ii. Personnel

iii. Finance

a. It was decided that the video "Surviving the Y2K" would be shown at lunch during the planning meeting on Saturday February 27th.

b. A notice was received from SDRMA noticing a proposed bylaw amendment revising proxy voting.

iv. Planning

General Manager Williams attended a meeting on February 16th with the County Director of Transportation. He has authorized his staff to develop a Request for Proposal to do an environmental analysis and preliminary engineering on the second access/Sherwood Road improvements. He has promised to provide us with a copy of the RFP for review.

v. Possible upcoming agenda items

vi. Other

John Barks has been elected President of the Green Committee.

J. PUBLIC COMMENTS
District Counsel Neary commented that this rate increase process was the most focused he has seen by this agency or any other. He felt that the Board's comments were very insightful and that the General Manager's presentation of the data was excellent.

K. ADJOURNMENT
Director Orth moved to adjourn to the Special Meeting of February 27, 1999 at 9:00 a.m. President Skezas declared the meeting of February 23, 1999 closed at 9:30 p.m.

PAUL A. WILLIAMS
Secretary to the Board of Directors

GEORGE C. SKEZAS
President