The regular meeting of the Board of Directors of the Central Oregon Irrigation District (COID) was called to order by President Carroll Penhollow at 9:05 AM on October 13, 2009 in the District Office.

 

Directors initially present were Terry Blackwell, Robert Borlen via conference call, Paul Kasberger and Carroll Penhollow.  Tom Burke was absent.  Also attending were Steve Johnson, Secretary-Manager; Liz Dickson, Attorney; Priscilla Ross, Assistant Secretary; Larry Roofener, Operations Manager; Robert Beal, District Engineer; Cary Penhollow, Watermaster; John Summers and Wally Sandifer, Siphon Power Plant Operators; and the visitors shown on Exhibit “A”.

 

1.         OPEN FORUM  

Melven Lindbeck, a patron in Division two (2), informed the Board that he raises and sells koi fish.  If the ionized ammonia levels in the water get too high, the fish will not survive.  He is concerned about the ammonia level getting too high when there are no winter water runs this year to flush through his pond.  Following a question from Bob Borlen, Mr. Lindbeck said that it would be possible use a filter but that the filters are expensive and must be flushed out with water.  He reported that his well is shallow and may be going dry.  Paul Kasberger asked Mr. Lindbeck what he was expecting from the Board.  He replied that he was requesting help if the ammonia levels in his fish pond become too high.  Discussion ensued regarding the definition of livestock as it’s used in COID’s water certificate and that the state interprets the term livestock to mean animals with hooves.  Mr. Lindbeck stated that one (1) one water delivery per month to add to his pond would reduce the ammonia levels.  Carroll Penhollow stated that the Board will discuss this item later in the agenda.

 

2.         MINUTES:

Terry Blackwell made a motion to approve the minutes from the September Regular Session Board Meeting as submitted.  Following a second by Paul Kasberger, the motion passed unanimously.

 

3.         TRANSFERS/INCLUSIONS:

Carroll Penhollow reviewed the following transfers with the Board.  See Exhibit “B”.

 

 

PBC Permanent:                                                        Total               0.30

Rollins                                                                                                    .30 Off

Rollins                                                                                                    .30 On

 

COC Permanent:                                                       Total               6.80

Kelleher                                                                                               1.90 Off

Kelleher                                                                                               1.90 On

Auker                                                                                                   1.10 Off

Auker                                                                                                   1.10 On

 

Clarno                                                                                                  2.30 Off

Clarno                                                                                                  2.30 On

 

COID Quitclaim                                                                                   1.50 Off

Judson                                                                                                  1.50 On

 

It was noted that the small transfers were movements of water on the same property to ensure that the rights were correctly mapped.  Carroll Penhollow made a motion to approve the permanent transfers.  Following a second by Paul Kasberger, the motion was unanimously passed.

Water right sales and purchases were reviewed.  Steve Johnson noted that after the 63.50 mitigation credits from the Final Order issued by OWRD on 8/12/09 are transferred to the DWA Water Bank, COID will be about thirty (30) acres short of the 2009 target.  He stated that this shortage was anticipated given the current water market.

 

COID is currently working on a MOU with North Unit Irrigation District (NUID) regarding the proposed water transfer.  The COID Board will meet with the NUID Board later this fall to finalize that MOU.

 

The 2009 Confiscation Update memo (Exhibit “C”) was reviewed.  Letters have been sent to patrons informing them of the District’s intent to confiscate 5.16 acres of water rights on the PBC and 18.50 acres on the COC.  Steve Johnson noted that there are 6.00 acres on the PBC that are currently at risk but will not be subject to confiscation until the end of 2010. 

 

The proposed addendum to the COID Confiscation Policy regarding a Water Lottery (Exhibit “D”) was noted but will be discussed later in the agenda.

 

4.         REPORTS:

            A.        Water Report-

A written report (Exhibit “E”) was mailed to the Board prior to the meeting. 

B.         Operations and Maintenance Report-

A written report (Exhibit “F”) was mailed to the Board prior to the meeting.   Discussion ensued regarding the proposed cost saving on the I Lateral Project.  Per Black Rock Consulting’s evaluation report, the cost savings gained by rerouting the pipe could be approximately $300,000 to $400,000.  Mr. Jonas, the patron owning the property on which the reroute is proposed, expressed concerns to COID staff about the impact a piping project would have on the shallow wells in the vicinity.  Steve Johnson directed staff to continue working on the proposed rerouting. 

           

C.        Hydro Report-

A written report (Exhibit “G”) was mailed to the Board prior to the meeting. 

            D.        Manager Report-

A written report (Exhibit “H”) was mailed to the Board prior to the meeting.   A copy of the Quitclaim Deed documenting the land sale from Parks and Recreation Dept. to COID (Exhibit “I”) was distributed.  Specifics regarding the Juniper Ridge Project Funding were discussed (Exhibit “J”).  The type of funding provided by each listed partner was discussed and it was noted that as of this date there are $9.45 million of grant or incentive dollars committed to the Juniper Ridge Hydro Project and an additional $278,000 of expense reimbursement.

Steve Johnson reported that the ODOE bonds are scheduled to be sold the week of October 26th with funding available November 10th.

 

The Juniper Ridge Hydro Project was deemed eligible for DEQ ARRA funding.  Steve Johnson stated that last week Shanna Olson informed him that COID would also be eligible for DEQ regular loan funds.  COID must acknowledge an interest in obtaining those funds but there is no obligation to incur the debt or prepayment penalty, if incurred.  The funds carry a very low interest rate and must be borrowed before the piping project is completed.

 

A motion to authorize obtaining up to $5,000,000 in regular CWSRF loan funds from DEQ for the Juniper Ridge Hydro Project was made by Terry Blackwell.  The motion was seconded by Robert Borlen and unanimously accepted.

 

E.         Finance Report-

A written report (Exhibit “K”) was mailed to the Board prior to the meeting.  An income statement (Exhibit “L”) reporting COID Operations through September 30th was distributed at the meeting.

 

5.         BILLINGS & PAYROLL:

Terry Blackwell made a motion to accept the payroll register and billings as presented.   Robert Borlen seconded the motion which was then unanimously passed.

 

6.         OLD BUSINESS:

  • Point of Delivery Issues Update

The agreement with Mr. Brown is being finalized; details of that agreement are in this month’s maintenance report.  Steve Johnson noted that this is a unique situation; the POD is being moved as a result of a system improvement being paid for by someone other than the District. 

  • PBC Winter Water Run Patron Status

Steve Johnson informed the Board that COID has no responsibility for any wells that may dry up on account of piping or for the status of any fish in ponds.

Cary Penhollow reported that the PBC Stock Water Committee has met twice.   They reviewed patron inquiries, obtained bids from three (3) different companies for water hauling, and two (2) companies for purchasing water tanks.  The Committee decided that the most efficient means of handling stock water deliveries this winter is to offer compensation to patrons for hauling the water.  Based on cost information provided, the Committee determined a reimbursement to patrons of up to $35 per head depending on the situation.  This reimbursement is being provided to patrons that do not have any other adequate water supply.   As of October 13th, qualifying patrons have reported the need to supply water to approximately 1,200 head of livestock.  The following items were discussed as relating to the consideration to be given to patrons for water hauling:

·   Financial consideration will be provided only to patrons that have contacted the office before October 13th, 2009.  The Board was reminded that COID issued notice to patrons regarding PBC Winter Stock Runs in the August newsletter, in a postcard mailed to all PBC patrons on August 6th, and on COID’s website.

·   Basic cost to be reimbursed will be up to $35 per head for the season.  For that reimbursement the patron is expected to purchase their own stock water tanks and other supplies, if needed, to schedule and purchase water deliveries for their specific needs and to manage those deliveries.

·   Staff was given the latitude to determine if and then provide, if so needed, stock water tanks and / or hoses to certain patrons that did not receive monetary compensation.

A motion was made by Paul Kasberger to approve the reimbursement as recommended by the Committee and detailed above.  The motion was seconded by Terry Blackwell and unanimously passed.

The Board determined, based on the definition of “stock” as used in COID’s water certificate, that it would not be appropriate to provide funds to Mr. Lynnbeck for water for his koi fish.  Steve Johnson will contact Mr. Lynnbeck to inform him of the Board decision.

 

  7.       NEW BUSINESS:

·   OWRC Conference in Hood River     December 2 – 4, 2009

All Board members stated that they would attend the 2009 Conference.

·   Water Feasibility Review Fee, Resolution Number 2009-16  (Exhibit “M”)

Terry Blackwell made a motion to adopt the $100 fee as outlined in Resolution Number 2009-16.  Robert Borlen seconded the motion that was then unanimously passed.  The Board will sign the Resolution at the November Board meeting.

·   Confiscated Water Rights Lottery

A motion was made by Terry Blackwell to adopt the Water Rights Lottery policy as an addendum to existing COID Water Confiscation Policy as described in the memorandum attached to Transfers and Inclusions.  After a second by Robert Borlen, the motion was unanimously passed.

Steve Johnson commended Leslie Clark and Laura Wollam for the work they did on developing this policy.

·   Notices of Claim of Lien issued by Assistant Secretary, Resolution Number 2009-17  (Exhibit “N”)

Paul Kasberger made the motion that was seconded by Robert Borlen to pass Resolution Number 2009-17.  The motion was unanimously passed.

 

8.                  BOARD COMMENTS:

None

 

A motion was made by Robert Borlen to adjourn the Regular Session of the COID Board at 11:40 AM to convene in Executive Session per

  • ORS 192.660(2)(a) to consider the employment of a public officer, employee, staff member or individual agent.
  • ORS 192.660(2)(e) to conduct deliberations with persons designated by the governing body to negotiate real property transactions.
  • ORS 192.660(2)(h) to consult with counsel concerning the legal rights and duties of a public body with regard to current litigation or litigation likely to be filed.

 

Paul Kasberger seconded that motion.

 

 

 

 

 

ATTEST:                     CENTRAL OREGON IRRIGATION DISTRICT

 

 

 

_________________________________         ________________________________

Steven C. Johnson, Manager                               Carroll Penhollow, President

 

 

_________________________________         _________________________________

Terry Blackwell                                                   Robert Borlen           

 

 

_________________________________         _________________________________

Thomas Burke                                                     Paul Kasberger