The board approved a $256 million water treatment plant expansion after reaching 80% capacity threshold, while also moving forward with a $1.49 million pipeline connection project and related land purchases. Despite maintaining strong finances with $122.9 million in cash and investments, board members expressed concerns about potentially missing millions in additional interest income by not utilizing higher-yield California investment funds that offer nearly double their current returns.
The board unanimously approved terminating a 1985 recreation agreement with Stanislaus County, effective October 2026, due to failed negotiations and facility concerns. This will cost $2.8 million but generate future revenue. Health insurance premiums were approved with modest increases of 4-10% for employees. Board members praised staff for successfully managing the 2025 irrigation season with minimal disruptions despite ongoing organizational changes.
The board approved ending the 2025 irrigation season on October 14th to coordinate with treatment plant operations, despite concerns it may be early for some growers. Labor contract negotiations with critical irrigation staff continue as a priority, with discussions moving to closed session. Water supply conditions look strong for next year with good reservoir storage and conservation accounts reaching maximum capacity.
The irrigation district remains in difficult labor talks with the union for 26 employees after the contract expired, with workers warning of major pay and benefit cuts while the board kept its responses in closed session. Directors approved raising staff authority to approve tunnel project change orders up to $350,000 to speed construction adjustments. A recent town hall helped ease tensions with residents by addressing tunnel concerns directly, and the board also heard updates on grant...