Loading...
HomeMy WebLinkAboutBOARD MINUTES 02-18-88 20 MINUTES OF THE REGULAR BOARD MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON FEBRUARY 18, 1988 The District Board of the Central Contra Costa Sanitary District convened i n a regul ar meeti ng, at its regul ar pl ace of meeti ng, 5019 Imhoff Place, Martinez, County of Contra Costa, State of California, åt 7:30 p.m. on February 18,1988. President Rainey called the meeting to order and requested that the Secretary call, roll. I. ROLL CALL PRESENT: Members: Boneysteele, Dalton, Clausen, Carlson, Rainey ABSENT: Members: None II. PUBLIC COMMENTS None III. APPROVAL OF MINUTES 1. MINUTES OF FEBRUARY 4,1988 It was moved by Member Boneysteele and seconded by Member Carlson, that the minutes of February 4, 1988, be approved with the following addition to the first sentence of the fourth paragraph under Item IV. HEARINGS: "President Rainey opened the public hearing at the hour of 7:44 p.m. and inquired if Mr. Lagiss had been notified of this hearing and whether he wished to address the Board. Staff responded that Mr. Lagiss was notified but did not appear to be present." There being no objection, the above motion was unanimously approved. IV. CONSENT CALENDAR Member Carl son requested that Items 3 and 4 be removed from the Consent Calendar for separate action. It was moved by Member Clausen and seconded by Member Carlson, that the Consent Calendar, consisting of Items 1 through 8 excluding Items 3 and 4, be approved as recommended, resol utions adopted as appropriate, and recordings duly authorized. 1. Resolution No. 88-025 accepting an easement at no cost to the , District from J .CRONAU, Orinda area (Job 4327 - Parcel 1) was adopted and recording authorized. Motion unanimously approved on the following vote: AYES: Members: Cl ausen, Ca rl son, Boneysteel e, Dalton, Rainey NOES: Members: None ABSENT: Members: None 2. Resolution No. 88-026 accepting an easement at no cost to the District from A. M. KWIECIEN, et ux, Lafayette area (Job 4057 - Parcel 3) was adopted and recording authorized. Motion unanimously approved on the following vote: AYES: Members: Cl ausen, Carl son, Boneysteel e, Dalton, Rai~y NOES: Members: None ABSENT: Members: None 02 is" AS: 21 5. Resolution No. 88-029 accepting an easement at a cost of $3,100 from WALNUT CREEK PROPERTIES, Job 4181, Parcel 2, was adopted and recording authorized. Motion unanimously approved on the following vote: AYES: Members: Cl ausen, Carl son, Boneysteel e, Dal ton, Rainey NOES: Members: None ABSENT: Members: None 6. Resolution No. 88-030 approving and authorizing execution of the "Consent to Execution of Deed for Public Roads" with Contra Costa County, Job 3200, was adopted and recording by Contra Costa County was authorized. Motion unanimously approved on the following vote: AYES: Members: Cl ausen, Carlson, Boneysteele, Dal ton, Rainey NOES: Members: None ABSENT: Members: None 7. Authorization was given for P.A. 88-6 (Alamo) and P.A. 88",:,7 (Lafayette) to be included in a future formal annexation to the District. Motion unanimously approved on the following vote: AYES: Members: Cl ausen, Carlson, Boneysteele, Dal ton, Rainey NOES: Members: None ABSENT: Members: None 8. The contract work for the Wet Weather Hydraulic Capacity Improvements Project (District Project 20042) was accepted and the filing of the Notice of Completion was authorized. Motion unanimously 'approved on the following vote: AYES: Members: Cl ausen, Carlson, Boneysteele, Dalton, Rainey NOES: Members: None ABSENT: Members: None It was moved by Member Clausen and seconded by Member Dalton, that Items 3 and 4 of the Consent Cal endar be approved as recommended, resolutions adopted as appropriate, and recordings duly authorized. 3. Resolution No. 88-027 accepting an easement at no cost to the District from BLACKHAWK CORPORATION, ,Danvllle-San Ramon area (Job 4252 - Parcels 2 R-l and 3 R-l) was adopted and recording authorized. Motion approved on the following vote: AYES: Members: Cl ausen, Dalton, Boneysteele, Rainey NOES: Members: None ABSENT: Members: None ABSTAIN: Members: Ca rl son 4. Resolution No. 88-028 approving and authorizing execution of Quitclaim Deed to BLA~~WK CORPORATION, Job 4252, Parcel Nos. 2 and 3, Subdivision 6549, Danville-San Ramon area, was adopted and recording authorized. , " :',!' ,~,.::., O~2~"':' 1'8 :' , " ,.' " ~8 22 Motion approved on the following vote: AYES: Members: Cl ausen, Da 1 ton, Boneysteel e, Rainey NOES: Members: None ABSENT: Members: None ABSTAIN: Members: Carl son CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER Items VIII., IX., and XI.l.b. were taken out of order to accommodate interested persons in, the audience. President Rainey departed from the order of the agenda to consider Item VIII., Solid Waste. VIII. SOL 10 WASTE RECEIVE REFUSE COLLECTORS' SUGGESTIONS ON ALTERNATIVE RATE-SETTING METHODS 1. Mr. Roger J. Dolan, General Manager-Chief Engineer, stated that rate-setting at the District has a great deal of history associated with it. The present method was adopted from the Board's knowledge and experience and was ratified to a degree, and improved upon by the firm of Price Waterhouse. Al so suggesti ons made by the coll ectors and thei r representatives have been melded into the process over the years. At the Board's request, staff sent letters to the refuse collectors requesting their suggestions for alternatives to the present method of setting refuse collection rates. The written recommendations have been provided to the Board. Staff requests comments and guidance from the Board. Member Cl ausen stated that he had not been privy to all of the background in the rate-setting process and so had asked staff to explore the possibility of other methods that may be better, in an effort to be fair to both the ratepayers and the collectors. President Rainey stated that there is no incentive to encourage efficiency in a cost plus method of rate-setting. President Rainey also discussed the rate implications of implementing a curbside pickup and/or a curbside recycling program. Member Carlson stated that the current rate-setting method used by the District is a reasonable approach; however, he indicated that he felt that the 95 perçent operating ratio and five percent profit margin are too stringent. The Board must address the issue of reasonable profit for reasonabl e risk. The ratepayers have indicated they want more service and that they were willing to pay for it. The price will be predicated on the cost of the services provided and the disposal costs. The costs to collect and dispose of garbage could change significantly in the near future. Member Dalton stated that the area of solid waste collection and disposal is in flux now. We are facing tough problems both environmentally ánd socially. Member Clausen stated that he hoped some means of increasing productivity could be identified and the savings shared with the ratepayers. Mr. Dolan stated that under the Price Waterhouse method, the collector would get a portion of any major cost savings over a three-year period. We have not seen a proposal to implement this method since the procedure was adopted. Given that the timeline for submission of rate increase applications cannot be altered, President Rainey requested that staff investigate profit sharing rate-setting methodologies during the next month. During that month further suggestions, if any, will be accepted from the collectors as well. Following discussion, staff was directed to contact the cities to determine if they have any interest in the issue of curbside collection. 02 18.. 8,8 :~, ~; ,.. , , 23 ,- IX. CORRESPONDENCE JANUARY 27, 1988 LETTER TO VALLEY DISPOSAL CONCERNING PAYMENT OF TIPPING FEES TO ACME FILL CORPORATION 1. Mr. Dolan, General Manager-Chief Engineer, stated that this January 27, 1988 1 etter to V all ey Di sposa 1 from Acme Fi 11 demand i ng payment of delinquent tipping fees within 15 days, has been provided for the Board's information. No Board action is required. Member Boneysteel e stated that th is risk was imposed on Valley Disposal and Valley Waste Management by this Board by not passing on the full amount of the tipping fees charged by Acme. This Board took that acti on based on the best i nterest of the public. Member Boneysteel e suggested that Valley Waste Management follow a precedent of public utll ities when energy costs increased drastically and forecasts were impossible. That is, setting up a balancing account for inclusion in the rate increase application and forecasting the costs of Valley Waste Management in defending this claim. Any charges incurred should be very carefully documented. The account woul d then be carefully audited and reasonable expenses would be passed on to the ratepayer. The audit would ensure that the expenses are reasonably incurred and that Valley Waste Management is acting in the public interest and defending any claim made. Mr. James L. Hazard, Counsel for the District, stated that the Board is free to adopt Member Boneysteele's suggestion but is not legally required to do so. The Board did make findings of afflliation. Waste Management took over the Valley Disposal franchise with the, full knowledge and understanding that those costs would not be passed through. The Board has wide discretion under contract and rate-setting theories to do what they believe is reasonable. To the extent that Valley Waste Management challenges Acme's exorbitant rates, the Board can decide whether to pass on the cost of the challenge. Member Cl ausen stated that at that time he di d not accept the proposition set forward by Member Boneysteele. A discussion followed concerning allocation of costs among the three agencies regulating Valley Waste Management rates, retention of the costs in an account pendi ng a deci si on on the ti ppi ng fee, and the amount of tipping fees paid by the other collectors franchised by the District. It was noted for the record that Member Carlson abstained from any discussion or action on this matter. President Rainey acknowledged receipt of the above-referenced correspondence as an informational item and indicated that no Board action was taken. President Rainey then moved to Item XI.1.b., Reports. XI. REPORTS 1. GENERAL MANAGER-CHIEF ENGINEER b. Mr. Dolan, General Manager-Chief Engineer, reported that all the activity in solid waste this year has had an impact on the franchise fee calculation. For 1987-88 the franchise fee is approximately $49,000. Next year based on changes in the 1 evel of work bei ng done, the total franchise fee is expected to be approximately $100,000. Alternatives ,to reduce future franchise fees would be to lower the level of solid waste activity or to change the Board policy with regard to spreading co,sts, related to solid waste activities to the franchise fee. A position pa'per on this subject will be calendared in the near future. At this time, President Rainey returned to the order of the agenda. 02 18 "88"" ': .' , '<'~ ,~' ;~, ., 24 1. V. TREATMENT PLANT BOARD ACCEPTANCE OF THE 1987 SELF-MONITORING PROGRAM REPORT Member Cl ausen requested' that a program or workshop on the sel f- monitoring process be provided. Mr. Dolan indicated that staff would be pleased to schedule and make such a presentation. President Rainey commended staff for the level of compliance during continuous monitoring. It was moved by Member Dalton and seconded by Member Carlson, that the 1987 Annual Self-Monitoring Program Report be accepted. There being no objection, the motion was unanimously approved. VI. APPROV AL OF EXPENDITURES 1. EXPENDITURE LIST DATED FEBRUARY 18, 1988 Member Dal ton, member of the Budget and Fi nance Committee, stated that he and Member Boneysteele reviewed the expenditures and found them to be satisfactory. It was moved by Member Dal ton and seconded by Member Boneysteel e, that the Expenditure List dated February 18, 1988, including Self- Insurance Check Nos. 100228-100236, Runni ng Expense Check Nos. 37499-37753, and Sewer Construction Check Nos. 5251-5405, be approved as recommended. There being no objection, the motion was unanimously approved. VII. BUDGET AND FINANCE 1. RECEIVE THE FISCAL YEAR 1987-88 CAPITAL IMPROVEMENT ,PROGRAM MID-YEAR STATUS REPORT AND AUTHORIZE $231,600 FROM THE SEWER CONSTRUCTIOf4 FUND FOR THE COLLECTION SYSTEM PROGRAM CONTINTENCY ACCOUNT ' Following a brief introduction by Mr. Dolan, General Manager-Chief Engineer, and Mr. Robert A. Baker, Deputy Chief Engineer, Mr. Jarred Miyamoto-Mill s, Senior Engi neer, presented a summary of the resul ts of the comparative review of actual and budgeted Capital Improvement Program revenues and expenses for the first six months of the 1987-88 fiscal year and the projections for the full fiscal year based on those results. It was moved by Member Dalton and seconded by Member Carlson, that the fiscal year 1987-88 Capital Improvement Program Mid-Year Status Report be received and that $231,600 be authorized from the Sewer Construction Fund for the Collection System Program Contingency Account. There being no objection, the motion was unanimously approved. 2. RECEIVE JANUARY 1988 FINANCIAL STATEMENTS Mr. Walter N. Funasaki, Finance Officer, review,ed the results of operations and maintenance for the month of January 1988, noting that expenses were $63,000 more than budget, representing a 3.9 percent unfavorable variance. Year-to-date expenditures were $121,000 less than budget, representi ng a 1.0 percent favorabl e variance. The Di strict's temporary i nvestments were hel din a Federal Harle Loan Bank note, collateralized certificates of deposit, bankers' acceptances, and the District's Local Agency Investment Fund (LAIF) account with interest rates rangi ng from 8.00 percent to 5.90 percent. The 1 atest interest rate at January 31, 1988, was 6.90 percent. The average yield for the LAIF account through December 31,1987 was 8.07 percent. Mr. Funasaki reviewed the current and projected financial status of Gibralter Savings and Loan. Mr. Funasaki stated that the District will continue to hold in abeyance any additional investment in Gibralter Savings and Loan and will continue to monitor their earnings reports. At the conclusion of the reports, President Rainey declared that the January 1988 Financial Statements were duly received. 0 2~ '>"'18';: :~~8, ~!" a ", " . , '0,--- 25 REVIEW 1988-1989 BUDGET CALENDAR AND SET SPECIAL BOARD MEETING ON MAY 26, 1988 3. It was moved by Member Clausen and seconded by Member Carlson, that a special Board Meeting be set on May 26, 1988. There being no objection, the motion was unanimously approved. VIII. sa.. ID WASTE RECEIVE REFUSE COLLECTORS' SUGGESTIONS ON ALTERNATIVE RATE-SETTING METHODS 1. This item was taken out of order earlier in the agenda. IX. CORRESPONDENCE JANUARY 27, 1988 LETTER TO V ALLEY DISPOSAL CONCERNING PAYMENT OF TIPPING FEES TO ACME FILL CORPORATION 1. This item was taken out of order earlier in the agenda. x. EMERGENCY SITUATIONS REQUIRING BOARD ACTION None X1. REPORTS 1. GENERAL MANAGER-CHIEF ENGINEER a. Mr. Dolan, General Manager-Chief Engineer, introduced Mr. Robert Baker, Deputy Chief Engineer, who presented a Tri-Valley Wastewater Authority (1WA) status report. At the February 17,1988 lWA meeting, members of the public pressured elected officials to put the lWA project for di sposal of wastewater to a vote. However, the 1WA Board voted unanimqusly in favor of the East Bay Municipal Utility District al ternative. b. Discussion of the garbage franchise fee was taken out of order ea~,ier in the agenda. c. Mr. Dolan stated that from time to time staff will be reporting on the programs of various professional meetings as a means of keeping the Board informed of these activities. Our people present papers and hold office as well as attend to keep current on the latest developments in our rapidly changing field. The major benefits of participation in professional activities to an agency like Central San are threefold: trai ni ng, i nfl uenci ng regul ati ons, and' setti ng professi onal standards. Central San is, an agency with a commitment to a high level of achievement. It is timely now as we go into the budget process to look at this area of professional activities and the importance of training and establishing and achieving professional standards. Participation in professional activities is achieving results for the District now. Mr. Dolan reported that Mr. Ken F. Laverty, Purchasing and Materials Officer, was recently elected President of the California Association of Public Purchasing Officers (CAPPO). CAPPO was founded in 1915 and has a long history of efforts to increase the professionalism of public purchasing activities. Mr. Dolan introduced Mr. Robert Baker, Deputy Chief Engineer, who reported on the Association of Metropolitan Sanitation Agencies (AMSA) meeting in San Diego at which regulations relating to sludge and ash disposal were discussed. d. Mr. Dol an announced that a note was received from Judith Ay res expressing appreciation for the resolution of commendation this Board adopted. e. Mr. Dolan announced that the District is currently advertising for bids on a project to install check valves in the backwash pump lines to the Filter Plant and bids for the sale of surplus equipment and scrap. 02 18 88 ';'¡ , 'c' , , .. ..:"" ¡' ;" t, ~ 26 f. Mr. Dolan announced that meetings have been scheduled for he and President Rainey to meet with local elected officials to discuss Central San activities. The agenda includes water reclamation, capital projects, solid waste items, and Tri-Valley Wastewater Authority. Member Clausen suggested that the possibll ity of District Counsel working with County staff on the solid waste development agreements be explored during meetings with members of the Board of Supervisors. Mr. Dolan concurred. g. Mr. Dolan announced that a meeting was held last week with TOSCO and Contra Costa Water District. TOSCO expressed concerns with the concept of the District providing non-nitrified water. No resolution was reached although TOSCO did express willingness to proceed with the p roj ect. h. Mr. Dol an announced that some work has been done on the Di strict's Meeti ng Room cl imate control system. Member Boney steel e stated that the system seemed to be working better. 2. COUNSEL FOR THE DISTRICT Mr. James L.Hazard, Counsel for the District, distributed and requested comments from the Board on the legal review of the' proposed solid waste development agreements. 3. SECRETARY OF THE DISTRICT None 4. BOARD MEMB ERS a. Member Dalton reported on the February 17, 1988 County Solid Waste Commission meeting, at which landfills for toxic wastes were discussed. Revision of the County Solid Waste-Management Plan to include sites in addition to the privately proposed sites was discussed but no agreement was reached. b. Member Boneysteel e reported that on February 9, 1988, the Regional Recycling Advisory Committee toured the E. C. Ology recycl ing center in El Cerrito, the Valley Waste Management recycling center in Walnut Creek, and the Garaventa recycling center in Concord. The Committee met again on February 17, 1988. The agenda included a presentation on the State 20-20 program, a presentation by the County recycling consultant, a presentation by Valley Waste Management on curbside recycling, and a presentation by Pleasant Hill Bay Shore Di sposal on the economics of small recycl ing centers. Meeti ngs with local representatives and the affected coll ectors will be schedul ed to get input on tailoring pilot programs. c. Member Clausen reported that the Central County Solid Waste JPA Committee met to review the draft JPA document. This document will be coming back to the Committee at the next meeting and will eventually be forwarded to each participating agency for their input and expression of willingness to join the JPA. The City of Walnut Creek has withdrawn from the proposed JPA although they were one of the agencies that originally proposed the J PA concept. XII. AN NOJ NCEMENTS Presi dent Rai ney announced that Public Employees' Local No.1 will be holding a fundraiser on March 16, 1988. XIII. QOSED SESSION None XIV. ACTIONS RESULTING FROM DISCUSSIONS IN ClOSED SESSION None 02 18 ts8 ,.,' " " xv. ADJ OURNMENT There being no further business to come before the Board, President Rainey adjourned the meeting,at the hour of 9:32 p.m. COUNTERSIGNED: 02 18 :,:,:;':: :-/" ;:, .~, i 27 88 ,', i ,f