2010 08 18 BAWA MinutesMINUTES OF THE REGULAR MEETING OF THE BOARD OF DIRECTORS
OF THE BAYTOWN AREA WATER AUTHORITY
August 18, 2010
The Board of Directors of the Baytown Area Water Authority (BAWA), Harris County,
Texas, met in a Regular Meeting on Wednesday, August 18, 2010, at 8:04 A.M. in the
Council Chamber of the Baytown City Hall, 2401 Market Street, Baytown, Texas with
the following in attendance:
Wayne Baldwin
Dan Mundinger
Brenda Bradley Smith
John Sandhop
Bob Leiper
Kevin Troller
Ignacio Ramirez, Sr.
Leticia Garza
Director
Vice President
Secretary
President
Deputy General Manager
Assistant General Manager
General Counsel
Assistant Secretary
Director Gidley was absent from the August 18, 2010 BAWA Board Regular Meeting.
President Sandhop convened the August 18, 2010 BAWA Board Regular Meeting with a
quorum present at 8:04 A.M.
1. MINUTES
a. Approve the Minutes of the Baytown Area Water Authority (BAWA)
Board Regular Meeting held on July 21, 2010.
A motion was made by Director Smith, seconded by Director Baldwin approving the
minutes from the July 21, 2010, BAWA Board Regular Meeting.
Ayes: Directors: Baldwin, Mundinger, Smith,
and President Sandhop
Nays: None
The motion carried.
Director Baldwin stated that regarding the rate adjustment plan, the document being
presented has a rate increase of 24.22% which is different from the 24.58% rate increase
noted in the July 21, 2010 minutes.
Page 2 of 4 Minutes of the August 18, 2010 BAWA Board Regular Meeting
2. PUBLIC HEARING
a. Public Hearing Adopting Baytown Area Water Authority 2010 -11 Proposed
Budget - Finance.
At 8:06 A.M., President Sandhop opened the public hearing for the Baytown Area Water
Authority (BAWA) 2010 -11 proposed budget.
Deputy General Manager, Bob Leiper summarized the public hearing and stated that the
proposed budget as discussed in the last meeting is a total of $8,702,000.00, which is
comprised of $5,197,423.00 in operating expenses, with $1 million transferred into the
capital improvement fund, proposed revenues at $8,658,327.00 that includes the debt
service on the water line from last year and the rate increase.
With there being no one to speak, President Sandhop closed the public hearing at
8: l OA.M.
3. PROPOSED RESOLUTIONS
a. Adopt the Baytown Area Water Authority 2010 -11 Proposed Budget -
Finance.
President Sandhop presented the agenda item and stated that Resolution No. 2010 -10
adopts the Baytown Area Water Authority (BAWA) 2010 -11 proposed budget.
A motion was made by Director Baldwin, seconded by Director Mundinger approving
Resolution 2010 -10. The vote was as follows:
The motion carried.
Ayes: Directors: Baldwin, Mundinger, Smith,
and President Sandhop
Nays: None
RESOLUTION NO.2010 -10
A RESOLUTION OF THE BOARD OF DIRECTORS OF THE
BAYTOWN AREA WATER AUTHORITY ADOPTING A BUDGET
FOR THE ENSUING FISCAL YEAR, BEGINNING OCTOBER 1, 2010,
AND ENDING SEPTEMBER 30, 2011; MAKING OTHER
PROVISIONS RELATED THERETO; AND PROVIDING FOR THE
EFFECTIVE DATE THEREOF.
Page 3 of 4 Minutes of the August 18, 2010 BAWA Board Regular Meeting
4. BUSINESS ITEMS
a. Election of Officers - Assistant Secretary.
President Sandhop presented the agenda item to consider the election of
officers: President, Vice President, and Secretary; and the appointment of an Assistant
Secretary and stated that the Board of Directors of the Baytown Area Water Authority
must elect from its members a President, Vice President, and Secretary and
may appoint an Assistant Secretary, which can be a member of staff.
Director Sandhop nominated Director Smith as President, Director Mundinger as Vice
President, Director Baldwin as Secretary, and the City Clerk as the Assistant Secretary.
A motion was made by Director Baldwin, seconded by Director Mundinger approving
Director Smith as President, Director Mundinger as Vice President, Director Baldwin as
Secretary, and the City Clerk as the Assistant Secretary. The vote was as follows:
Ayes: Directors: Baldwin, Mundinger, Smith,
and President Sandhop
Nays: None
The motion carried.
5. REPORTS
a. City of Houston Rate Determination Method - Finance.
Deputy General Manager, Bob Leiper presented the agenda item and introduced the
BAWA Superintendent, Steve Fife to discuss the new method for raw water rate
increases from the City of Houston.
Mr. Fife stated that changes were made regarding the industry output and input which
means they are changing from CPI to PPI. Mr. Fife indicated that when things are good,
the PPI tends to be 3 -5% higher than the CPI and when times are bad they tend to run
about the same. Mr. Leiper indicated that all of the other contracts utilize the CPI.
b. Baytown Area Water Authority Water Distribution Maintenance Plan.
During the discussion of the Baytown Area Water Authority water distribution
maintenance plan, Mr. Fife stated that on September 13`h, the City of Baytown is to turn
off the ammonia to the plant, and go from chloramines to free chlorine. Mr. Fife stated
that the main reason for doing this is to eliminate some contaminate and maintain the
distribution system; this process takes approximately a month and the effects of to the
Page 4 of'4 N/I i nutes of the August 18, 2010 BAW A Board RCgUlal- M Ceti ng
Clity can, be a chlorine order at the lilt) and toreign. taste, N11% Fite suatcd that il, done
correctly, this process will prevcnt the City fi-orri having to do this, once every 3 to 4
years; Nlr. Lciper stated that this process has not been done in 8 or 9 years. Mr NFL
stated that noticc was sent to T(A,,`IQ on August 06, 2010; earl article will go into the
newspaper at the end of' the week or next week fear- all ot' the City of' Baytown customers
inClUding inserts into the water bills,
5. ADJOURN
Prcsidcnt Sandhop adjOLjrncd the 13AWA Board RCgLIlar Meeting oil August 18, 2010 at
8:25 A, leaf ,