April 27, 2015

Ms. Fanning

explained that the Tentative Budget for the State serves as a place holder for the current balance that will, in turn, be allocated for different purposes within the structure of the Final Budget. The Tentative Budget report to the State is based upon activity that took place in the previous fiscal year. Darrell Lacy discussed at what stage an increase in the parcel fee may become necessary. Michael Lach stressed the need for a definitive plan before there could be an increase in the parcel fee. Greg Dann felt that the $80,000 allocated for the update of the Nye County Water Resources Plan could have been better spent on salaries for additional Water District staff. James Eason wanted to hear more ideas from the public and he was against any increase in the parcel fee until the Board had a solid plan and knew in which direction they were moving. There was discussion about proving the cost effectiveness for any given project. Dwight Lilly described how a “salt water” [sic] tree removal program could be implemented. He had fears that the monies held in a legal fee account might be used for litigation against citizens of Nye County. There were a variety of other ideas that he detailed to the Board. Dean Miller explained how he managed to eliminate Salt Cedar from his property. He felt that an ordinance calling for their elimination would put the burden on the property owner and not on the taxpayer. Darrell Lacy noted that the GWMP Committee will be working on a conservation plan which will include a list of prohibited plants and should include plans for the removal of Salt Cedar. One of the biggest issues was how to go about removing the plant from private lands. John Bosta felt that removing of Salt Cedar would only lead to an increase in dust problems and Water District monies should not be used for eradication. Referring to the Comptroller’s Project Accounting Expense Status Report, Darrell Lacy directed members to go through the report and use this as a template for evaluating the budgetary needs of the Water District for the next fiscal year. He briefly described the three types of staffing that are supported within the current budget from FY15. Implementation of the Groundwater Management Plan may call for an increase in labor expenditures in the future. Oz Wichman did not anticipate any cost increases for his services. Michael Lach related that monies have been set aside for the purchase of water rights could be used in support of other programs or increased staffing. At this point, the purchase of water rights would not be cost effective. Members of the public continued to express concerns about funding for some of the programs defined in the Project Accounting Expense Status Report for FY15. Dwight Lilly wanted specifics relating to 3 Nye County Water District Governing Board April 27, 2015 the work that is being performed by outside contractors. Dan Schinhofen noted that all contract proposals are reviewed by the Water Board and presented to the public at open meetings before a decision is made to accept or reject. Darrell Lacy related that due to the extent that staff will be involved with putting together and implementing the Groundwater Management Plan, it is likely that funding for staff will need to be increased to around $240,000. Mr. Lacy suggested scheduling another Preliminary Budget Hearing prior to the Final Budget Hearing in order to thoroughly review specific details. Details of the Baseline Programs budget were briefly discussed, especially costs associated with ongoing legal services that are provided by George Benesch. Oz Wichman related the types of services that he provides to the Water District. Darrell Lacy noted that funding for website maintenance can be reduced. There was some discussion about the status of on-going Interim Programs which are classified as ongoing “obligations” in a new budget. John MacLaughlin discussed setting aside funds for continuation or expansion of some of the programs that are currently in process, or new ones that may be unforeseen in the near future. During a discussion about increasing the parcel fee for FY16, it was noted that the Water District currently has about $418,000 in reserve as a carryover from FY15. Michael Lach felt that there was no need at this time for any increases until specifics for increased spending are known. Mr. Lach noted that there was more than enough reserve money available to hire 2 full-time staff members who may no longer be partially funded by Nye County, plus provide benefits to all personnel. Darrell Lacy said that he will gather information on funding for these positions and bring that back to the next Preliminary Budget Teleconference to be held before approving the Final Budget on May 21, 2015. As the Water District is not allowed to use Nye County vehicles since they are a separate political entity, there was discussion about purchasing one or two vehicles from the surplus vehicle pool of Nye County for use by Water District employees. Mr. Lacy will look into the availability and costs for such vehicles. Michael Lach wanted to see some justification for the purchase of vehicles. Jim Weeks felt that the Pahrump Basin would be the primary beneficiary of an increase in parcel fees. Darrell Lacy noted that about 80% of fees are generated from the Pahrump Basin, but if an increase is necessary, this issue will be debated by the Water Board. It was again noted that the Tentative Budget had already been submitted to the State Department of Taxation due to the April 15th deadline. It was not necessary to take a vote for or against approval. A Preliminary Budget will be discussed in more detail during a teleconference to be held prior to acceptance of the Final Budget on May 21st.

Mr. Lacy

briefly discussed activities of the staff and the Groundwater Management Plan Committee with regards to writing of the actual plan. Drafts will be presented to the committee and staff for review in the upcoming months II. Oz Wichman

Mr. Wichman

related that sections of the Groundwater Management Plan are currently being drafted as per the “to do” list that was included in the back-up material. Walt Kuver and Gregory Hafen II have graciously volunteered time to draft some of those sections. III. Levi Kryder

Mr. Kryder

related that progress is being made on the Leising Geoscience study. At this time a “sweet spot” has not been located, but Mr. Leising still has hopes that this will happen. Mr. Kryder hopes to have a more comprehensive update at the next regular meeting. IV. John Klenke None d. Project Status Report John MacLaughlin updated members on data that has been gathered from his own personal well over the last 3 years of meter reading. e. Board Liaison Report I. Dan Schinhofen

Mr. Schinhofen

will bring forward information on county vehicles that may be available for purchase by the Water District. f. Report from other individuals, groups and or agencies regarding water-related issues, for informational purposes only. None