CENTRAL OREGON IRRIGATION DISTRICT

BOARD OF DIRECTORS’ MEETING

APRIL 14, 2009

 

The regular meeting of the Board of Directors of the Central Oregon Irrigation District (COID) was called to order by President Carroll Penhollow at 9:00 AM on April 14, 2009 in the District Office.

 

Directors present were Terry Blackwell, Tom Burke, Robert Borlen and Carroll Penhollow. Paul Kasberger was absent. Also attending were Steve Johnson, Secretary-Manager; Liz Dickson, Attorney; Jenny Hartzell-Hill, Substitute Assistant Secretary; Larry Roofener, Operations Manager; Cary Penhollow, Watermaster; Robert Beal, Siphon Power Plant Operator; and the visitors shown on Exhibit “A”.

 

1.         OPEN FORUM

  • Herb Cronenwett, a patron from Division 2 - Redmond, came to express his frustration and discuss possible options with the Board. Mr. Cronenwett installed a culvert in a ditch on his property to create a crossing and did not file for a license because he was unaware of the COID Policy for installing a culvert and obtaining a crossing license. In early April his patrolman told him that if he did not remove the culvert prior to April 15, 2009, COID would remove the structure. COID did remove the structure, but did not send a letter of notice or contact the patron in anyway prior to this action. Mr. Cronenwett’s son-in-law has been the person that has been communicating with COID regarding this matter. Mr. Cronenwett presented a copy of a water map showing his property and the laterals that run through his property (Exhibit “B”).

Mr. Cronenwett also expressed his concern with the increase in assessments since he became a patron in 1988. The base charge in 1988 was $88; now it is four times greater than when he started. He presented a copy of his assessment invoice from 1988 and his invoice from 2009 (Exhibit “C”). He also does not want to pay a $450.00 fee for a Crossing License to install a culvert to cross from one side of his property to another. Mr. Cronenwett presented COID’s Fee Schedule and Culvert installation diagram (Exhibit “D”).  He inquired as to why this fee is so high and wanted to know how that money was spent.

Steve Johnson explained the process of the crossing fee, detailing the staff time and the fee structure.

Robert Bolen explained how the district has changed over time.  The number of irrigated acres has decreased and development has increased the number of headgates and deliveries. The District has had to increase the assessments with the passage of time and change in the structure of the District. The District also must enforce standards for installation of structures consistently to all parties as well as charge fees to cover the cost of the development staff. Mr. Borlen asked that COID staff answer Mr. Cronenwett’s concerns in writing.

Carroll Penhollow asked Mr. Cronenwett if he had talked to COID personnel before he installed the culvert. He replied that he had not but would like to work together with COID to resolve the issue.

Terry Blackwell suggested that the Board discuss these issues and come up with answers to his concerns.

Steve Johnson clarified that Mr. Cronenwett would like the Board to consider waiving the Crossing Fee as well as any charges that may have been incurred to remove the structure.

  • Ellen Hammond, Water Quality Specialist with the Oregon Department of Agriculture (ODA), presented programs and information that they are publishing in an effort to educate the small acreage land owner.  Problems encountered by small acreage land owners include the use of easements and issues with neighbors to water quality and use. She passed out brochures on Water Quality Requirements, Tailwater and SmART (Small Acreage Resource Team) (Exhibit “E”).

Ms. Hammond also explained the Rural Living Handbook that is being distributed by Oregon Counties as local resource guides for land owners. She passed out Jefferson County’s Guide (Exhibit “F”).  ODA is in the process of putting together the handbook for Deschutes County and the projected print date is winter 2009. She expects the irrigation section to be 4 -5 pages long.   It will explain irrigation and associated responsibilities as well as listing all the irrigation districts in Deschutes County. The handbook will be very similar to the Jefferson County version. They plan to print 20,000 books. All of the information in the book is being contributed by donation or paid for by ODA.  OWEB is contributing $15,000 toward the print costs but additional funds are needed to complete the printing.  Ms. Hammond asked the Board to consider giving money to go toward the printing costs of the Deschutes County handbook.

  • Jim Gordon presented a list of Questions and Suggestions for COID Board (Exhibit “G”) and then elaborated on some of the issues listed. He complemented the Board on the new format for Open Forum with the Board Members at the conference table and COID staff on the sideline. He also explained that he had called both Tom Burke and Bob Beal to apologize for how he handled matters with them.

He asked if there was a way to get a mailing out to the patrons in Powell Butte to request a meeting.  He also asked if he could receive a listing of all District patrons and their respective Districts.  Tom Burke would like an additional Board member present at any meeting that he has with Mr. Gordon as well as any meeting with any group of patrons. Robert Borlen volunteered to be available for such meetings.

Mr. Gordon asked if someone modified the COID corporate structure from a Quasi Municipal Corporation to a Municipal Corporation.

Regarding the existing Hydro Plant, he requested a detailed list of where money is being spent and would like it to include salaries.  He also would like to know how much money is owed on the existing Siphon Hydro plant and the debt payoff date.

Mr. Gordon stated that he thinks COID patrons should vote on the Juniper Ridge Hydroelectric project.  In his opinion the Board is negligent in not allowing the patrons to vote on this matter.  He would also like his questions as detailed out in his list to be answered regarding the project.

Mr. Gordon would like to see a volunteer budget committee formed from the patron base to evaluate the expenses of the District and relay information back to the Board only.

Mr. Gordon also suggested that effective immediately the Board of Directors should be elected to single, two year term by the patrons and referenced ORS 545.203.  Terry Blackwell confirmed that Mr. Gordon would like a one term limit for Board Members.

Mr. Gordon voiced that patrons do not attend our annual meetings and forums to address issues as they perceive that they have experienced retaliation from COID staff previously when opinions were expressed.

Mr. Gordon stated that he called and talked to Bob Beal at the Hydro Plant and arranged for a tour of the facility.   Bob then gave Mr. Gordon a tour.  Mr. Gordon then called to schedule another tour of the facility and bring some students with him to see the facility and John Summers informed him that, per Steve Johnson’s instruction, requests to tour the Hydro Facility must be approved by the Board of Directors.  He would like clarification on the procedure to request a tour of the Hydro Plant.

Mr. Gordon also would like to have the Board Member votes recorded in the minutes, listing out which Board Members voted “yes” and “no” on votes.  Carroll Penhollow clarified that is the current procedure.

 

2.         MINUTES:

Terry Blackwell made a motion to approve the minutes for the March Regular Session Board Meeting as submitted.  Following a second by Tom Burke, the motion passed unanimously.

 

3.         TRANSFERS/INCLUSIONS:

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

 

PBC Permanent:                                                        Total               6.40

Gardner                                                                                                0.60 Off

Gardner                                                                                                0.60 On

 

Knight                                                                                                  5.80 Off

Knight                                                                                                  5.80 On

 

COC Permanent:                                                       Total              26.00

COID                                                                                                  1.80 Off

Wilson                                                                                                  1.80 On

 

Wogman                                                                                            10.80 Off

Wogman                                                                                            10.80 On

 

TAFG Investments Group, Inc.                                                             4.25 Off

TAFG Investments Group, Inc.                                                             4.25 On

 

COID Quitclaim, Alfalfa Grange, Campbell                                           6.00 Off

Napier, Swenson, Campbell                                                                 6.00 On

 

Miltenberger                                                                                         2.90 Off

Miltenberger                                                                                         2.90 On

 

COID Quitclaim                                                                                   0.25 Off

Wilfong                                                                                                0.25 On

 

PBC Temporary:                                                        Total               5.00

COID Quitclaim                                                                                   5.00 Off

Obsidian Group Partners                                                                      5.00 On

 

COC Temporary                                                        Total               2.50

Brasada Ranch Inc.                                                                              2.50 Off

Brasada Ranch Inc.                                                                              2.50 On

 

It was noted that 5.39 acres of water on the PBC were quitclaimed to COID during March.   COID leased 5.00 acres of Quitclaimed water on the PBC for one year to the Obsidian Group Partners, LLC.  There were 1.63 acres of water on the COC that were quitclaimed to COID in March.  A total of 5.45 acres of water on the COC were sold.   Carroll Penhollow made a motion to approve the transfers as reported.  Robert Borlen seconded the motion which was then unanimously passed.

 

Carroll Penhollow made a motion to approve the Petitions for Inclusion filed for Deschutes County and the City of Redmond.  Robert Borlen seconded the motion which was then unanimously passed.

 

Carroll Penhollow made a motion to approve the April requests for instream leases.  Tom Burke seconded the motion which was then unanimously passed.

 

4.         REPORTS:

            A.        Water Report-

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

            B.         Operations and Maintenance Report-

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

            C.        Hydro Report-

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

            D.        Manager Report-

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

            E.         Finance Report-

                        A written report (Exhibit “M”) was passed out at the Board Meeting.

 

5.         BILLINGS & PAYROLL:

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

 

6.         OLD BUSINESS:

None presented.

 

7.         NEW BUSINESS:

  • 2008 Audit Report

2008 Audit Report was presented by Dick Donaca (Exhibit “N”).   It was noted that the auditor report is an unqualified opinion with no non compliance issues noted.  Terry Blackwell made a motion to approve the 2008 Audit Report as presented.  Robert Borlen seconded the motion which was then unanimously passed.

  • EPC Proposal Review Committee

Steve Johnson suggested having one member of the Board participate as a member of the said committee.  The committee will meet to review the submittals starting on May 4th at 9:00 a.m. in the District office.  Robert Borlen volunteered to sit on the committee as a Board representative.  The findings of this committee will then be presented to the Board of Directors for final decision on proceeding under contract with the project.

  • State Legislation, HB 2227-7, Exhibit “N”

Steve Johnson reviewed said bill and explained that it pertains to Destination Resorts. As presented #4 in the Bill states that Destination Resorts could not be established inside irrigation district boundaries.  This Bill has passed the House and is on its way to the Senate.  OWRD has asked if COID has a position on this matter.   It was discussed and the Board will go on record that COID would like to maintain control regarding Land Use matters at the local level rather than at the State level.   Steve Johnson also updated the Board on the Recreational Immunity Bill, HB2879.

  • Crane Prairie Cabin (new agenda item)

Mr. Gordon asked Cary Penhollow the status of his inquiry regarding his interest in staying at the cabin. Cary explained that at the time of Mr. Gordon’s call, Priscilla Ross, Business Manager at COID, was in the process of contacting the tenants from 2008 to see if they would be returning to the cabin for the 2009 summer.  Cary stated that he has not been able to gather all of the information he needed before returning Mr. Gordon’s call. Steve Johnson explained that COID used the US Forest Service Volunteer Website to recruit and screen applicants.  Carroll Penhollow gave a brief history on the cabin and explained that, due to vandalism and insurability issues, it is in COID’s best interest to have someone living in the cabin during season.  However, policy prohibits COID employees and/or Board Members from using the cabin strictly for recreational purposes. Mr. Gordon suggested that there is nothing that prevents patrons from staying there.  Terry Blackwell commented that he wants to review the current process and procedures and research options for patrons. He will report back at the next Board meeting.

 

8.         BOARD COMMENTS:

      None.

 

The Board recessed the Regular Session of the COID Board at 11:23 a.m. to meet in Executive Session per

 

  • ORS 192.660(2)(e) to conduct deliberations with persons designated by the governing body to negotiate real property transactions.
  • ORS 192.660(2)(i) to review and evaluate the employment-related performance of the chief executive officer of any public body, a public officer, employee or staff member who does not request any open hearing.

 

Following the adjournment of the Executive Session, Carroll Penhollow continued the general session at 12:47 p.m.

 

Liz Dickson explained that COID is still in the process of purchasing property from Oregon Parks for the Juniper Ridge Hydroelectric project.  To this point Deschutes County has determined that the requested piece of land is not a lot of record.  The request to separate this section of land from the larger lot owned by Oregon Parks was denied by a Hearings Officer and COID has filed an appeal with Deschutes County.

 

A motion was made by Terry Blackwell to adjourn the meeting at 12:54 p.m. Tom Burke seconded that motion.