2014 03 19 BAWA MinutesMINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS
OF THE BAYTOWN AREA WATER AUTHORITY
March 19, 2014
The Board of Directors of the Baytokvn Area Water Authority (BAWA) met in a Regular
Meeting on Wednesday, March 19, 2014, at 9:07 A.M., in the Colllle 1 Chamber of the Baytown
City Hall. 2401 'Market Street, Baytown, Texas with the fallowing in attendance:
Brenda Bradley Smith President
Frank McKay Director
Mike Wilson Vice President
Robert D. Leiper General Manager
Karen Horner Assistant General Counsel
Leticia Brysch Assistant Secretary
President Bradley Smith convened the March 19. 2014, Baytown Area %N"ater Authority Smith
convened the March 19, 2014, Baytown Area Water Authority (BAWA) Board Regular 1Wleeting
with a quorum present at 9:07 A.M., all members were present with the exception of Directors
Baldwin and Benoit who were both absent.
1. MINUTES
a. Consider approving the minutes of the Baytown Area Water Authority Board
Regular Meeting held on ,lanuary 15, 2014.
A motion was made by Vice President Mike "Nilson and seconded by Director f=rank IVicKay
III approving the January 15, 2014, BAWA Board Regular Meeting minutes. The vote was as
follows:
Ayes: President Brenda Bradley Smith, Director Frank McKay III. Vice
President Mike Wilson
Nays: None
Other: Secretary Wayne Baldwin (Absent), director Brandon Benoit (Absent)
Approved
1). Consider approving the minutes of the Baytown Area Water Authority Board
Emergency Meeting held on .lanuarx ill, 2014.
A motion was made by Director I °rank McKay Ill and seconded by Vice President Mike
Wilson approving the January 10, 2014, BAWA Board Emergency Meeting minutes. The vote
was as follows:
BAWA Board Regular Meeting Minutes
March 13, 2014
Page 2 of 3
Ayes: President Brenda Bradley Smith, Director Frank McKay III, Vice
President Mike Wilson
Nays: None
Other: Secretary Wayne Baldwin (Absent), Director Brandon Benoit (Absent)
Approved
2. PROPOSED RESOLUTIONS
a. Consider a resolution authorizing a Contract Amendment to the Amended and
Restated Water Supply Contract with the City of Baytown to increase contract quantity.
General Manager Leiper presented the agenda item and stated that Resolution No. 2014 -3
authorizes a Contract Amendment to the Amended and Restated Water Supply Contract with the
City of Baytown to increase contract quantity from 14.22 Million Gallons per Day (MGD) to 16
MGD based upon the results of the City's alternative capacity requirement ( "ACR ") approved by
the Texas Commission on Environmental Quality ( "TCEQ" ). He stated that demand for water
within the City of Baytown continues to grow and this increase provides for continued growth, as
well as allowing for current peak demand, which has exceeded the current 14.22 MGD contract
amount. Additionally, General Manager Leiper stated that the price per gallon would not change
as it was set once the budget is adopted.
A motion was made by Vice President Mike Wilson and seconded by Director Frank McKay
111 approving Resolution No. 2014 -3. The vote was as follows:
Ayes: President Brenda Bradley Smith, Director Frank McKay Ill, Vice
President Mike Wilson
Nays: None
Other: Secretary Wayne Baldwin (Absent), Director Brandon Benoit (Absent)
Approved
RESOLUTION NO. 2014 -3
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE BAYTOWN
AREA WATER AUTHORITY AUTHORIZING A CONTRACT
AMENDMENT TO THE AMENDED AND RESTATED WATER SUPPLY
CONTRACT WITH THE CITY OF BAYTOWN TO INCREASE CONTRACT
QUANTITY; MAKING OTHER PROVISIONS RELATED THERETO; AND
PROVIDING FOR THE EFFECTIVE DATE THEREOF.
3. REPORTS
BAwA Board Regular Meeting Minutes
March 13, 2014
Page 3 of 3
a. Present an update regarding the BAWA East Project
General Manager Leiper presented the agenda item and stated that staff was currently in the
process of looking for land for this project, and typically with land purchases, the General
Manager signs an earnest money contract contingent on approval from the BAWA Board and
City Council. He stated that this is done to ensure that the land deal moves forward quickly and
secure a contract for the land. General Manager Leiper stated that he hopes to bring back an
earnest money contract and although the closing won't go quickly, an agreement was made
giving the City a 90 day due diligence period and then 30 days afterwards to close. He stated that
staff was initially looking at 30 acres, but because of the pricing, have since decided that it is in
the best interest of the project to go secure as much land projected to be needed and purchase 60
acres to meet future growth and expansion needs for a 30 or 34 MGD, if necessary. He stated
that this site will also allow the city outstanding flexibility, because it will have access to the
water from the bay, in the event that a desalination plant is needed. He stated that this is not the
cheapest site, but it is the most flexible site considering the amount of land.
General Manager Leiper stated that he would inform the board when he obtain the contract and
of the location of the property. Additionally, he stated that an item in this regard would be put on
the next agenda.
4. MANAGER'S REPORT
Director McKay inquired about an update of the emergency valve repairs.
General Manager Leiper stated that the valve repairs were under $200,000. He stated that the
pipe, prior to repairs, was about 30 years old and there is a plan in the upcoming budget to repair
the line. He stated that he would submit more details regarding the repairs to the board.
5. ADJOURN
With there being no further business to discuss, President Bradley Smith adjourned the March
19, 2014, Baytown Area Water Authority (BAWA) Board Regular Meeting at 9:21 A.M.
City of Baytown `� '