MINUTES
Special Meeting July 22, 2013

(These minutes are not intended to be a verbatim transcription of the proceedings and discussion associated with the business on the Commission’s agenda; rather, what follows is a summary of the order of business and general nature of testimony, Commission deliberation, and action taken.)

CALL TO ORDER/ROLL CALL
Chairman Baugh called the meeting to order at 2:00 pm at the Redding City Council Chambers, at 777 Cypress Avenue, in Redding. Commissioners Baugh, Day, Haynes, Jones, Morgan and Russell were present. Attorney Jim Underwood was present as staff. Alternate Commissioner Fust was present as a member of the audience. Commissioner Kehoe was absent.

CALL TO ORDER/ROLL CALL
Commissioner Baugh led the Pledge of Allegiance.

PUBLIC COMMENT
Irwin Fust, speaking as a member of the public, provided a copy of Government Code Section 56325, and addressed comments the Commission concerning fees and charges by the Commission for services rendered, and addressed related existing Shasta LAFCO fee policies.

CLOSED SESSION
The Commission conducted a closed session pursuant to Government Code Section 54956.9(d) (threatened litigation) and Government Code Section 54957 (evaluation of performance and potential discipline of Executive Officer).

CLOSED SESSION REPORT
A. There was no reportable action with regard to Item 4.a (Threatened Litigation);

B. It was reported by LAFCO Counsel Jim Underwood that there was no reportable action concerning evaluation of performance and potential discipline of the LAFCO Executive Officer, but it was reported that by mutual agreement of Amy Mickelson and the Commission, effective today, Ms. Mickelson’s employment with Shasta LAFCO is discontinued.

Concerning Agenda No. 6a, the Commission was provided and considered a Memorandum from LAFCO Counsel Jim Underwood addressing issues and options relating to potential Commission recruitment to fill the vacant Shasta LAFCO Executive Officer position. Following related discussion, and public comments from Gary Cadd, Dick Fyten, and Jan Lopez, Commissioner Haynes moved and Commissioner Morgan seconded a Motion:

(1) Authorizing Mr. Underwood to provide interim administrative support and direction to LAFCO staff, and to support the Commission and its subcommittees, as necessary on an interim basis;

(2) Authorizing Mr. Underwood to prepare and circulate a Request for Proposals (RFP) addressing LAFCO Executive Officer functions, and a notice of Executive Officer position vacancy and invitation for applications, in consultation with an Ad Hoc Commission Committee appointed to assist in that process; and

(3) The appointment of Commissioners Baugh, Jones, and Haynes to a newly created Ad Hoc Committee formed to review and make recommendations to the Commission concerning recruiting and hiring for the purpose of meeting Executive Officer needs for Shasta LAFCO.

Agenda Item No. 6b, concerning Potential Internal Financial Contract Policy and Procedures, was deferred to a future Commission Meeting for changes, consideration.

Upon discussing Agenda Item No. 6c, by consensus of the Commission, it was asked that a future agenda provide for potential Commission action to appoint Alternate Public Member Larry Russell as the permanent Public Member on the Commission, and to recruit for an Alternate Public Member.

Concerning Agenda Item No. 6d, following a discussion by Commissioners of related issues, and with no public comments made following the Chairman’s request, on Motion of Commissioner Haynes, and as seconded by Commissioner Day, the Commission approved a Motion to establish an Ad Hoc Committee to meet and confer with the Fall River Mills Community Services District regarding financial issues, and appointed Commissioners Haynes, Morgan, and Jones to that Committee.

COMMISSIONER ANNOUNCEMENTS
None.

STAFF ANNOUNCEMENTS
Legal Counsel Jim Underwood reminded Commissioners of their ability to contact staff with questions concerning the Cal-LAFCO Conference to be held on August 28, 2013 through August 30, 2013.

ADJOURNMENT
There being no further business, Chairman Baugh adjourned the meeting at approximately 3:45 p.m.

ATTEST:

James M. Underwood, Legal Counsel

MINUTES
Special Meeting July 17, 2013

(These minutes are not intended to be a verbatim transcription of the proceedings and discussion associated with the business on the Commission’s agenda; rather, what follows is a summary of the order of business and general nature of testimony, Commission deliberation, and action taken.)

CALL TO ORDER/ROLL CALL
Chairman Baugh called the meeting to order at 9:00 am at the Anderson City Council Chambers at 1887 Howard Street in Anderson. Commissioners Day, Giacomini, Haynes, Jones, Morgan and Russell were present. Executive Officer Amy Mickelson, Attorney Jim Underwood and Clerk/Analyst Marissa Jackson were present as staff. Alternate Commissioner Fust was present as a member of the audience. Commissioner Kehoe was absent.

PLEDGE OF ALLEGIANCE
Commissioner Day led the Pledge of Allegiance.

PUBLIC COMMENT
Jan Lopez requested items 4a Correspondence Received, 4b Minutes of June 13, 2013 and 6b South County Fire Districts SOI/MSR be pulled from the agenda. Terry Briggs spoke about Fall River Valley CSD’s parks paperwork. Gary Cadd stated that the last meeting violated the Brown Act.

CONSENT CALENDAR
Commissioner Baugh pulled items 4a Correspondence Received and 4b Minutes of June 13, 2013 from the consent calendar. Commissioner Russell moved to approve the remainder of the consent calendar, the motion was seconded and passed. After discussion regarding the content of emails from Jan Lopez and the accuracy of the June 13, 2013 Minutes, a motion to adopt items 4a and 4b was made (Giacomini), seconded and passed with one dissenting vote (Jones).

OPERATIONS AND ADMINISTRATION
Don Reynolds, CPA, gave a report regarding the Fiscal Year 2012-13 audit and answered Commission questions. Barbara Briggs from Fall River Mills stated there was a lack of internal controls. Commissioner Jones suggested agendizing future controls. A motion to accept the Fiscal Year 2012-13 Audit as presented was made (Haynes) and seconded.

The Executive Officer reported that no applications for Alternate Public Member had been received. Commissioner Morgan suggested advertising the position again after reviewing or generating policy.

Ms. Mickelson presented an updated Municipal Services Review policy pursuant to Commission direction. LAFCO Legal Counsel Underwood outlined to the Commission a two-step approach to MSR/SOI updates work, with the first level to meet basic statutory requirements as determined necessary to result in more expedited and summary process, and with more detailed MSR and SOI updated to correspond with more complicated agency applications. There was then extensive discussion about the wording of proposed item #3, with several Commissioners suggesting that it should state that initial studies would be paid for by LAFCO and that only those districts proposing changes to their sphere of influence would be required to pay for a more detailed MSR/SOI update.

Terry Briggs stated that the Commission continues to pass the buck. David Coxey from Bella Vista Water District advised that he was unclear on who would prepare and pay for their MSR. Jerry Monath, Fall River Valley CSD Chair says there needs to be latitude regarding necessity. Alternate Commissioner Fust speaking as a Clear Creek CSD Director, stated that the policy should be adopted and that his agency does not want to pay additional fees. Jan Lopez stated that districts cannot do anything without an SOI or MSR.

A motion was ultimately made (Giacomini) and seconded to adopt the policies as presented by staff, consistent with the two-step approach outlined by LAFCO Counsel, with the changes proposed to item #3 and the addition of GC 56430(a)(7). Commissioners Jones and Haynes dissented and the motion passed.

Ms. Mickelson presented additional Executive Committee policy for clarification purposes pursuant to the Commission’s direction at a previous meeting. After discussion, a motion was made (Giacomini) to adopt the policy with the following changes: include agenda review in item #3 and adding an item #4 which would specify a standing committee. The motion passed unanimously.

Ms. Mickelson advised that the Executive Committee seat held by Commissioner Haynes should be reconsidered since she and the newly elected Vice Chair both represent special districts. After discussion, Commissioner Baugh submitted John Day for consideration, which he accepted. A motion was made (Russell) and seconded to nominate Commissioner Day to the Executive Committee and passed unanimously.

A break was taken from 11:22 until 11:34.

SPECIAL STUDIES AND REPORTS
The Executive Officer provided a draft schedule for MSR and SOI studies, both first round and additional studies, pursuant to the Commission’s direction at the June meeting. After conversation as to the necessity of consultants, it was determined that the schedule should reflect ‘LAFCO Staff’ rather than ‘Consultant’ for all agencies on proposed MSR/SOI work the schedule.

Jerry Monath advised that he would still like to meet regarding his district’s bill and complete the MSR process. David Coxey stated that his district was previously exempted. Commissioner Fust speaking as a Clear Creek Community Services District board member questioned who would pay for consultants. Jan Lopez stated that LAFCO could complete the studies. Terry Briggs reminded the Commission that Fall River Valley CSD’s MSR was 95% complete.

After further discussion, a motion was made (Giacomini) and seconded to adopt the MSR/SOI Plan of Work with changes as directed.

Jim Underwood advised the Commission that it could proceed with the South County Fire Districts MSR/SOI as agendized. Jan Lopez stated that public notice was not given. It was subsequently determined that the issue would be added to the next agenda and re-noticed.

COMMISSIONER ANNOUNCEMENTS
Commissioner Baugh announced that there would be a water forum on September 18th at 6:00 pm at the Cottonwood Community Center.

STAFF ANNOUNCEMENTS
There were no staff announcements.

CLOSED SESSION
Pursuant to Government Code Section 54957, the Commission went into closed session at 12:42 pm and returned at 1:29 pm. A recess was taken from 1:35 pm until 1:40 pm at which time they reconvened to closed session. At 2:05 they came back and recessed again briefly before resuming and concluding the closed session at approximately 2:10 p.m.

Jim Underwood reported that there were no reportable actions taken.

ADJOURNMENT
There being no further business, Chairman Baugh adjourned the meeting at 2:15 pm.

ATTEST:

Marissa Jackson 
Clerk to the Commission