HomeMy WebLinkAboutBOARD MINUTES 02-17-94
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MINUTES OF THE REGULAR BOARD MEETING
OF THE DISTRICT BOARD OF THE
CENTRAL CONTRA COSTA SANITARY DISTRICT
HELD ON FEBRUARY 17, 1994
The District Board of the Central Contra Costa Sanitary District convened in a regular
session at its regular place of meeting, 5019 Imhoff Place, Martinez, County of Contra
Costa, State of California, at 3:00 p.m. on February 17, 1994.
President Rainey called the meeting to order and requested that the Secretary call roll.
1. ROLL CALL
PRESENT:
Members:
Menesini, Dalton, Hockett, Clausen, Rainey
ABSENT:
Members:
None
2. PUBLIC COMMENTS
None
a.
3. AWARDS AND COMMENDATIONS
RECEIVE RECOGNITION FROM COMBINED HEALTH APPEAL OF CALIFORNIA AND
UNITED WAY FOR DISTRICT EMPLOYEES' GENEROUS GIVING AND FOR THE
CONSCIENTIOUS EFFORTS OF THE DISTRICT'S COORDINATING COMMITTEE.
JOHN PEARL. CHUCK BATTS. JIM KELLY. RUTH BENNETT. SHIRLEY BENNETT.
BILL BRENNAN. TERI HAMMETT. PHIL HUNTSMAN. ELAINE JACOBS. JOSH
MARESCA. JONALEA OSTLUND. JANE PARKER. BA THAN. TOM TRICE. AND
TIM TULLIS
President Rainey noted receipt of the letter from Mr. Brian Fowler, Associate Campaign
Director of Combined Health Appeal of California, commending John Pearl, Chair of the
District's Coordinating Committee, Co-Chairs Chuck Batts and Jim Kelly, and Committee
Members Ruth Bennett, Shirley Bennett, Bill Brennan, Teri Hammett, Phil Huntsman,
Elaine Jacobs, Josh Maresca, Jonalea Ostlund, Jane Parker, Ba Than, Tom Trice, and Tim
Tullis, for their outstanding effort and commitment, and all District employees who
contributed so generously to the campaign. President Rainey presented a plaque from
United Way recognizing the District for the highest contributions per capita in the public
sector. On behalf of the Board of Directors, President Rainey commended the members
of the Coordinating Committee and all District employees for their contributions to
Combined Health Appeal of California and United Way.
Mr. John Pearl, Plant Maintenance Division Manager, thanked the Coordinating Committee
Members for their able assistance, and accepted the commendation and award on behalf
of the District and all the employees who made the contributions.
4. CONSENT CALENDAR
Following discussion, it was moved by Member Clausen and seconded by Member
Hockett, that the Consent Calendar, consisting of Items a. through k., be approved as
recommended, resolutions adopted as appropriate, and recordings duly authorized.
a.
Resolution No. 94-010 accepting work and Offers of Dedication from Carl
S. Zocchi and Louis S. Zocchi, Job 4791, Parcel 2, was adopted and
recording was authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
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b.
Resolution No. 94-011 accepting work and Offers of Dedication from Dame
Construction Co., Job 4731, Parcel 1, was adopted and recording was
authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
c.
Resolution No. 94-01 2 accepting work and Offers of Dedication from Dame
Construction Co., Job 4931, parcel 1 (A), was adopted and recording was
authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
d.
Resolution No. 94-013 accepting work and Offers of Dedication from Marc
Anderson, Job 4835, Parcel 2, was adopted and recording was authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
e.
Resolution No. 94-014 accepting work and Offers of Dedication from
Michael McCombs, et ux, Job 4935, Parcel 3, was adopted and recording
was authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
f.
Resolution No. 94-015 accepting work and Offers of Dedication from
Edward J. Johnson, et ux, Job 4835, Parcel 4, was adopted and recording
was authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
g.
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Resolution No. 94-016 accepting work and Offers of Dedication from Jack
David Gaynor, et ai, Job 4912, Parcel 1, was adopted and recording was
authorized.
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Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
h.
Resolution No. 94-017 accepting work and Offers of Dedication from Roy
C. Sweet, et ux, Job 4953, Parcel 1, was adopted and recording was
authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
i.
Resolution No. 94-018 accepting work and Offers of Dedication from H.
Robert Hammill, et ux, Job 4919, Parcel 1, was adopted and recording was
authorized.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
j.
The attendance of James Kelly, Plant Operations Division Manager, was
authorized at the Water Environment Federation (WEF) Water Reuse
Specialty Conference in Dallas, Texas, at a cost of $800.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
k.
The claims for indemnity from Sunrise Hill Associates and the Haist
Corporation were denied and referred to staff for further action as required.
Motion unanimously approved on the following vote:
AYES: Members: Clausen, Hockett, Menesini, Dalton, Rainey
NOES: Members: None
ABSENT: Members: None
5. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER
Mr. Dolan, General Manager-Chief Engineer, requested that Item 7a., Engineering, be
taken out of order to accommodate interested persons in the audience.
Hearing no objection, President Rainey proceeded to Item 7a.
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a.
7. ENGINEERING
INITIATE PROCEEDINGS TO CHANGE THE DISTRICT'S SPHERE OF INFLUENCE
(son AND FORMALLY ANNEX 622.12 ACRES OF LAND ADJOINING THE
DISTRICT'S EXISTING SOl AND BOUNDARY
Mr. Dolan, General Manager-Chief Engineer, stated that this matter, known as the
Country Club at Gale Ranch, has been discussed at recent Board meetings and a detailed
report was made at the February 3, 1994 Board meeting. At this time, it is recommended
that a resolution of application for the annexation of the subject property be adopted and
that revision of the District's current SOl be requested.
In response to questions from Member Menesini, Mr. Russ Leavitt, Planning Assistant,
described the status of the Environmental Impact Report (EIR) on this property. The EIR
was certified by the Board of Supervisors but is under challenge by two sets of parties.
Mr. Dolan stated that although the EIR is under challenge, the District is obligated to
consider that EIR as valid for the District's purposes since the District did not challenge
the EIR and the issue of sewer service was not challenged.
It was moved by Member Clausen and seconded by Member Hockett, that Resolution No.
94-019 be adopted, initiating proceedings to change the District's sphere of influence and
formally annex 622.12 acres of land, known as the Country Club at Gale Ranch, adjoining
the District's existing SOl and boundary. There being no objection, the motion was
unanimously approved.
At 3: 19 p.m., President Rainey turned the meeting over to President Pro Tem Dalton.
President Pro Tem Dalton reverted to the order of the agenda.
6. SOLID WASTE
a.
CONSIDER EXTENSION OF AGREEMENT BETWEEN CONTRA COSTA SOLID
WASTE AUTHORITY AND CENTRAL CONTRA COSTA SANITARY DISTRICT FOR
ONE MONTH. FROM MARCH 31. 1994 TO APRIL 30. 1994 TO ALLOW
COMPLETION OF THOSE ACTIVITIES TO WHICH THE AUTHORITY IS
COMMITTED AND WHICH ARE NECESSARY TO LEGALLY DISSOLVE THE
AUTHORITY
Ms. Avon Wilson, Executive Director of the Contra Costa Solid Waste Authority, stated
that the Personnel and Administrative Services Agreement between the District and the
Authority expires on March 31, 1994. Ms. Wilson requested extension of that agreement
to allow completion of required activities to close out the business activities of the
Authority .
President Rainey returned to the meeting at the hour of 3:22 p.m.
Ms. Wilson stated that all activities, with the exception of closing the books and the final
audit, should be completed by April 30, 1994. It is anticipated that the books will be
closed and the final audit completed no later than June 30, 1994. Ms. Wilson requested
that the agreement be extended through the conclusion of the final audit. Ms. Wilson
commended Ms. Collette Curtis-Brown, Accounting Supervisor, for the excellent services
she has provided to the Authority.
It was moved by Member Clausen and seconded by Member Hockett, that the Personnel
and Administrative Services Agreement between the District and the Contra Costa Solid
Waste Authority be extended to allow sufficient time for completion of the final audit.
There being no objection, the motion was unanimously approved.
b.
CONSIDER REQUEST BY VALLEY WASTE MANAGEMENT. ORINDA-MORAGA
DISPOSAL SERVICE. INC.. AND FRANCISE FIORENTINO FOR PAYMENT OF LEGAL
FEES INCURRED IN THEIR DEFENSE OF THE ACME LANDFILL CERCLA
LlTIGA TION
Ms. Lynn Walker, Senior Environmental Counsel for Waste Management, Inc., stated that
Valley Waste Management (VWM) strongly maintains that 100 percent pass-through of
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defense costs in this litigation is appropriate; but in order to avoid a dispute with the
District at this time, a compromise is proposed. To the extent that VWM might ultimately
bear transporter liability, the relative proportion of the transporter share versus the
generator share, may serve as a basis for an interim pass-through allowance. VWM's
outside counsel and the District's counsel have discussed whether VWM will ultimately
have liability given VWM's defense. Even if VWM were found to have some liability, Ms.
Walker stated that she believes that liability would be only a transporter share. As a
transporter, the amount of the allocation would be in the 5-10 percent range. Ms. Walker
proposed that VWM would accept at least on an interim basis, 90 percent pass-through;
although, VWM still maintains that 100 percent pass-through is appropriate. Ms. Walker
stated that if the Board were to approve anything less than 80-85 percent, VWM would
have to pull out of the Joint Defense Group. Accordingly, Ms. Walker recommended that
the Board pass through, at least on an interim basis, 90 percent of VWM's defense costs.
Ms. Walker stated that she would be happy to answer any questions.
In response to a question from Member Menesini, Ms. Walker stated that under today's
law there is an obligation to assure one is not hauling hazardous waste. Other kinds of
waste may have special transportation requirements. Waste Management does have an
in house waste screening process used before waste is collected. At the time the Acme
Fill North Parcel was involved, VWM was hauling only residential waste. While VWM
does a hazardous waste screening program at the present time, VWM could still have
Comprehensive Environmental Response, Compensation and Liability Act (CERCLA)
liability whether or not the waste stream was hazardous.
Member Menesini questioned the extent of VWM's participation in this litigation. Ms.
Walker stated that Waste Management was involved in the formation of the Joint Defense
Group; and in addition to active assistance in drafting pleadings and the like, has tried to
bring the group its national experience with this type of issue.
In response to a question from Member Hockett, Ms. Walker stated that the joint defense
process is very expensive for Waste Management. If VWM has very limited liability,
spending hundreds of thousands of dollars in defense costs is not a sound business
decision. It is difficult to justify such high defense costs if the ultimate exposure is quite
low. However, one of Waste Management's chief reasons for being in the Joint Defense
Group is that Waste Management maintains that part of its service to customers is
education on a broad variety of topics. In the environmental area, this falls into providing
assistance regarding superfund matters. Ms. Walker stated that with the opportunity for
pass-through, that time and effort can be justified; without pass-through, it cannot be
justified.
President Rainey stated that Ms. Francise Fiorentino, as a shareholder of Valley Disposal,
has requested reimbursement for legal costs in this matter. President Rainey asked if
Waste Management assumed the liability for Valley Disposal through the purchase
agreement. Ms. Walker stated that Waste Management maintains that it did not assume
any liability. This issue is actively in contention at this time. That is not unexpected in
this area. When there are sales agreements that did not necessarily contemplate the
possibility of superfund liability, the agreements are not unequivocally clear as to whether
responsibility for superfund was assumed. Although this transaction was rather recent,
only municipal solid waste was involved. In the 1970's and 1980's, it was not assumed
that municipal solid waste had superfund liability. So in that instance, Waste
Management thinks the language is such that it did not assume superfund liability. Valley
Disposal maintains the opposite position.
Mr. Marshall Grodin, former General Manager of Valley Disposal Service (VDS) and
representative for Ms. Francise Fiorentino, addressed the Board. Mr. Grodin stated that
in general, the same facts and the same arguments as presented by counsel for VWM
apply to Ms. Fiorentino and VDS since both were covered by the same franchise
agreement. VDS was the franchise holder prior to purchase by Waste Management. VDS
had the same rights and duties and obligations under the franchise before they were
assigned to Waste Management at the time of purchase. VDS's argument is based on
fairness and equity. For many years, the District very tightly regulated VDS. Because of
this tight regulation, the risks now being experienced were never anticipated. Mr. Grodin
stated that steps have been taken to recoup funds elsewhere. VDS and Ms. Fiorentino
are involved in litigation with their former insurance carrier to try to recover costs. There
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are matters of contention and dispute as to the terms and conditions of the sales
agreement. VDS and Ms. Fiorentino have maintained their position of cooperation with
the District all along as a contributing member of the Joint Defense Group. VDS and Ms.
Fiorentino are not threatening to pull their support from that group and will continue with
it regardless of the action taken by the Board today.
In response to a question from President Rainey, Mr. Scott Bowen, attorney representing
VDS and Ms. Fiorentino, stated that there was a statement in Ms. Walker's letter that
shareholders in VDS were shareholders in Acme Fill. VDS itself was a shareholder in
Acme Fill. Because of the tight regulation of the District, the benefits from that accrued
to the ratepayers. The issue of liability is in contention.
In response to a question from Member Menesini, Mr. Bowen stated that VDS and Ms.
Fiorentino are participants on the Joint Defense Group, but not members of the steering
committee. The idea is to try to cooperate and avoid duplication of efforts and costs.
As litigation proceeds, VDS and Mrs. Fiorentino will probably be more involved.
Ms. Walker stated that Waste Management is on the steering committee of the Joint
Defense Group. Additionally, they have provided technical people. Waste Management
is also in litigation with its insurance companies.
Mr. Kenton L. Aim, Counsel for the District, stated that it is clear that VWM has been
more active in the Joint Defense Group, but Mr. Bowen's comments have merit. Mr.
Bowen's firm has offered to take on certain tasks; and if they do so in the future, that
may ultimately create a cost savings to the District if the District's legal counsel does not
have to assume those tasks.
There being no further comments, President Rainey proceeded to Item 16., Closed
Session.
16. CLOSED SESSION
a.
EXISTING LITIGATION
The closed session was held to discuss existing litigation pursuant to Government Code
Section 54956.9(a). The title of the litigation discussed was Acme Landfill Corp. v.
Althin CD Medical, Inc., CCCSD, et ai, U.S. District Court No. C91-4268 SBA. Mr. Aim,
Counsel for the District, stated that the District is in active litigation on this matter.
Discussion will not necessarily be limited to the matters before the Board on this particular
issue today.
At 4:00 p.m., President Rainey declared the closed session to discuss litigation pursuant
to Government Code Section 54956.9(a). At 5:03 p.m., President Rainey concluded the
closed session and reconvened the meeting into open session.
17. ACTIONS RESULTING FROM DISCUSSIONS IN CLOSED SESSION
None
At this time, President Rainey reverted to the order of the agenda, returning to Item 6b.
b.
6. SOLID WASTE
CONSIDER REQUEST BY VALLEY WASTE MANAGEMENT. ORINDA-MORAGA
DISPOSAL SERVICE. INC.. AND FRANCISE FIORENTINO FOR PAYMENT OF LEGAL
FEES INCURRED IN THEIR DEFENSE OF THE ACME LANDFILL CERCLA
LlTIGA TION
Member Menesini stated that if the Board is going to pass something on to the ratepayers
and if he is to understand what that is, he must have more information. Member
Menesini requested information from those requesting recompense for legal services and
technical services in terms of putting a cost on those services.
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President Rainey stated that she would be willing to consider fair, equitable, and
reasonable costs that are of benefit to the ratepayers.
Following discussion, it was moved by Member Menesini and seconded by Member
Clausen, that the seekers of the pass-through of defense costs for the Acme Landfill
CERCLA litigation submit to District Counsel prorated costs in generalities for the Board's
use in assessing proration of the amount of pass-through for each of the individuals
indicated.
Following further discussion, the above motion was amended by the maker, Member
Menesini and seconded by Member Clausen, that the seekers of the pass-through of
defense costs for the Acme Landfill CERCLA litigation submit to District Counsel prorated
costs for tasks performed for the benefit of the ratepayers and hours spent on those tasks
for the Board's use in assessing proration of the amount of pass-through for each of the
individuals indicated. Motion approved on the following roll call vote:
AYES: Members: Menesini, Clausen, Dalton, Hockett, Rainey
NOES: Members: None
ABSENT: Members: None
Member Clausen questioned the District's ability to reimburse legal fees incurred by Ms.
Fiorentino and VDS in their defense of the Acme Landfill CERCLA litigation, based on the
fact that there is not a franchise in existence nor a rate-setting mechanism for collecting
the money.
Member Menesini stated that if there is justification for payment, Ms. Fiorentino and VDS
should submit that justification to District Counsel.
It was moved by Member Hockett, that the Board deny pass-through of legal fees for Ms.
Fiorentino and VDS based on the fact that the District does not currently have a franchise
agreement with them, although there was an historic relationship that existed but is no
longer in place. The motion died for lack of a second.
Following discussion, it was the consensus of the Board that the information requested
in the previous motion be submitted in writing to District Counsel by March 1, 1994. This
matter will be calendared for further consideration at the Board meeting of March 17,
1994.
7. ENGINEERING
a.
INITIATE PROCEEDINGS TO CHANGE THE DISTRICT'S SPHERE OF INFLUENCE
(SOn AND FORMALLY ANNEX 622.12 ACRES OF LAND ADJOINING THE
DISTRICT'S EXISTING SOl AND BOUNDARY
This item was taken out of order earlier in the agenda.
b.
CONSIDER REQUEST BY THOMAS PROPERTIES FOR DISTRICT PARTICIPATION
IN THE RELOCATION OF AN EXISTING SEWER AND SUSPENSION OF FEES
Mr. Dolan, General Manager-Chief Engineer, briefly described the situation as set forth in
the position paper whereby the District has no recorded easement for the existing sewer
that must be relocated to clear a proposed Payless Drug Store building in the Tice Valley
area of Walnut Creek. The developer was aware of the pipe before the property was
purchased, but is unwilling to move the building or the wall. In the interest of settling this
dispute, it appears the District could make a contribution towards relocating the pipe. Mr.
Dolan proposed that the District pay for 50 percent of the reasonable costs of relocation
of the pipe up to $20,000, and that the District do the design work thereby eliminating
the obligation for the developer to pay for design review.
Mr. Vince D' Alo, of Aliquot Engineers, representing Thomas Properties, addressed the
Board. Mr. D'Alo stated that Mr. Dolan presented the situation accurately. Mr. Thomas
did know the location of the sewer; but when he discovered it, he had already made
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substantial financial agreements with the seller. Payless is unwilling to alter the design
of the building. Mr. D' Alo stated that Thomas Properties will contribute 50 percent of the
cost of relocation and will withdraw the request to waive the fees. Mr. D' Alo requested
that the Board consider that and approve the agreement.
Following discussion, it was moved by Member Menesini and seconded by Member
Dalton, that the financial participation by the District in Job 5012, the Tice Valley
Boulevard Sewer Relocation Project, be approved including contribution of 50 percent of
the cost of relocation of the existing sewer up to a maximum of $20,000; preparation of
the design of the sewer relocation, thereby eliminating the obligation for the developer to
pay for plan review; and basing the inspection fee on 50 percent of the length of pipe
which will be installed. There being no objection, the motion was unanimously approved.
8. TREATMENT PLANT
a.
BOARD ACCEPTANCE OF THE 1 993 SELF-MONITORING PROGRAM REPORT
Mr. Dolan, General Manager-Chief Engineer, stated that from a technical performance
standpoint, the 1993 Self-Monitoring Program Report is an excellent report. Mr. Dolan
introduced Mr. James M. Kelly, Plant Operations Division Manager, who reviewed the
mission of the District, "to protect the public health and the environment by collecting and
treating wastewater, and returning clean water to the environment." Mr. Kelly stated that
the Annual Self-Monitoring Program Report is the District's report card to the Regional
Board on how the District has performed over the past year in fulfilling its mission. Mr.
Kelly stated that from an historic perspective, most of the minor violations the District has
had have been pH, total coliform, and chlorine residual violations. In 1993, the quality
of the District's effluent was four to five fold better than our permit standard. This good
record was achieved by a lot of good workers in the plant, maintenance and engineering.
Mr. Kelly stated that there are a few clouds on the horizon. The District will have a new
National Pollutant Discharge Elimination System (NPDES) permit in November 1994. With
the new permit, the District will be facing four issues:
1 )
2)
The toxicity standard will become more stringent;
The metal standards will become more difficult particularly with regard to
copper and mercury;
3)
New organics standards will be implemented and it is not yet known
whether the District will be able to meet those standards; and
4)
The disinfection standard must be achieved, although the Regional Board
has allowed the District a modest relaxation of that standard while still
protecting the public health.
Mr. Kelly stated that installation of the ultraviolet disinfection system and implementation
of pollution prevention efforts become more important as the District tries to meet these
new standards.
In response to a question from Member Menesini, Mr. Kelly stated that violations were
largely non-zero chlorine residual violations due to process control and instrumentation
problems. By incrementally improving equipment and process control, staff has been able
to reduce those violations.
President Rainey declared that the 1993 Annual Self-Monitoring Program Report was duly
accepted. President Rainey thanked Mr. Kelly for the informative report and commended
Plant Operations Department staff for their outstanding efforts.
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9. CORRESPONDENCE
a.
NOTE RECEIPT OF LETTER DATED FEBRUARY 3. 1994 FROM MRS. HELEN
WORSLEY. OF DANVILLE. REGARDING FREQUENCY OF VALLEY WASTE
MANAGEMENT'S SERVICE: CONSIDER DRAFT RESPONSE
Following discussion, receipt of the February 3, 1994 letter from Mrs. Helen Worsley, of
Danville, regarding frequency of Valley Waste Management's service was noted; and the
draft response was approved as modified.
10. APPROVAL OF MINUTES
a.
MINUTES OF JANUARY 27. 1994
It was moved by Member Menesini and seconded by Member Dalton, that the minutes
of the adjourned regular meeting of January 27, 1994, be approved as presented. There
being no objection, the motion was unanimously approved.
b.
MINUTES OF FEBRUARY 3. 1994
It was moved by Member Clausen and seconded by Member Menesini, that the minutes
of the regular meeting of February 3, 1994, be approved as presented. There being no
objection, the motion was unanimously approved.
11. APPROVAL OF EXPENDITURES
a.
EXPENDITURE LIST DATED FEBRUARY 17. 1994
Member Menesini, member of the Budget and Finance Committee, stated that he and
Member Dalton reviewed the expenditures and found them to be satisfactory.
It was moved by Member Menesini and seconded by Member Dalton, that the Expenditure
List dated February 17, 1994, including Self-Insurance Check Nos. 100798-100808,
Running Expense Check Nos. 80307-80585, and Sewer Construction Check Nos. 13788-
13840, be approved as recommended. There being no objection, the motion was
unanimously approved.
1 2. BUDGET AND FINANCE
a.
RECEIVE THE 1993-1994 OPERATIONS AND MAINTENANCE BUDGET REVIEW
AND FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED DECEMBER 31.
~
Ms. Deborah Ratcliff, Controller, summarized the results of the first six months of the
fiscal year and projections through June 30, 1994. For the six months ended December
31, 1993, total Running Expense revenues were $14,800,000 or $126,000 more than
budget, representing a 0.9 percent favorable variance. At December 31, 1993, total
Running Expense expenses were $11 ,958,000 or $1,696,000 below budget, representing
a 12.4 percent favorable variance. Surplus at December 31, 1993, was $2.8 million or
$1.8 million greater than budget.
Ms. Ratcliff reported that it is projected that at June 30, 1994, revenues will be
$31,124,000 or $336,000 greater than budget, representing a 1.1 percent favorable
variance. It is projected that expenditures will be $26,235,000 or $1,200,000 below
budget, representing a 4.4 percent favorable variance. At June 30, 1994, it is projected
that the reserve will be $4,089,000. As directed by the Board during the 1993-1994
Sewer Service Charge rate-setting process, the reserve amount was reduced by a transfer
from the Running Expense Fund to the Sewer Construction Fund to help defray some of
the costs of capital projects.
Ms. Ratcliff reviewed projected major variances in revenues and expenses for the fiscal
year ended June 30, 1994.
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Discussion followed in which Mr. Dolan, General Manager-Chief Engineer, noted that the
projected savings in expenditures are the result of conscientious efforts by Department
Managers to reduce expenses.
President Rainey thanked Ms. Ratcliff for her presentation and declared that the 1993-
1994 Operations and Maintenance Budget Review and the Financial Statements for the
six months ended December 31, 1993 were duly received.
b.
RECEIVE JANUARY 1994 FINANCIAL STATEMENTS
Ms. Deborah Ratcliff, Controller, reported that the District's temporary investments were
held in Treasury bills and Treasury notes and the District's Local Agency Investment Fund
(LAIF) account with interest rates ranging from 3.2 percent to 5.9 percent. The latest
interest rate as of January 1994 was 3.3 percent. The average yield for the LAIF account
through December 1993 was 4.4 percent.
Mr. Dolan, General Manager-Chief Engineer, stated that there have been several requests
for more information on construction projects. In order to expedite the process, Senior
Engineer Ron Klimczak, Shift Supervisor Steve Colberg and Plant Engineering Division
Manager Bill Brennan have prepared reports on the Headworks Facilities Improvements
and Secondary Clarifier Improvements Projects. Mr. Dolan introduced Mr. Klimczak who
showed a video and described the status of the Headworks Facilities Improvements and
Secondary Clarifier Improvements Projects. At January 31, 1994, the contract work on
the Headworks Project was approximately 63 percent complete. At January 31, 1994,
the contract work on the Secondary Clarifier Project was 15 percent complete.
Following discussion, President Rainey declared that the January 1994 Financial
Statements were duly received. President Rainey thanked Messrs. Colberg, Klimczak, and
Brennan for the interesting and improvement report.
None
a.
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13. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
14. REPORTS
GENERAL MANAGER-CHIEF ENGINEER
1 )
Mr. Dolan, General Manager-Chief Engineer, stated that a very important
element in the District's conversion to automated mapping is the digitizing
of District maps. One of the District's most valuable technological assets
is the system of maps for the 1300 miles of District sewers. This system
is the product of decades of development and tens of thousands of hours
of effort. The maps not only show the location of District pipes, but also
contain critical information about materials, size, construction job numbers,
and structures. Staff has been implementing the conversion of this function
to a computer aided drafting/mapping system pursuant to Board
authorization. Staff is now in the process of selecting a service provider for
the digital conversion work. Unless the Board objects, Mr. Bill Clement,
Engineering Support Supervisor, may visit offices of the top two
respondents. One is in Arcata, California and one is in Idaho. This expense
will be charged to the capital project. No objections were raised.
2)
Mr. Dolan distributed the proposed 1994-1995 Budget Schedule and
discussed the proposed meeting dates. Mr. Dolan briefly described recent
Brown Act amendments effective April 1, 1 994, which will impact meetings
of standing committees of the Board. The proposed 1994-1995 Budget
Schedule takes into consideration the recent Brown Act amendments.
3)
Mr. Dolan announced that he and President Rainey will be meeting with
Contra Costa County representatives on February 28, 1994 to discuss the
future role of the District and the County relative to solid waste franchising
in the unincorporated areas.
94
39
b.
COUNSEL FOR THE DISTRICT
1 )
Mr. Kenton L. Aim, Counsel for the District, distributed information relating
to the recent changes to the Brown Act. Due to the lateness of the hour,
Mr. Aim's presentation on this subject was continued to March 3, 1994.
c.
SECRETARY OF THE DISTRICT
None
d.
BOARD MEMBERS
1 )
President Rainey reported on the February 5, 1994 workshop conducted by
the California Special Districts Association on AB 1335, giving Local
Agency Formation Commission (LAFCO) authority to initiate organizational
changes of special districts, that she, Member Hockett and Mr. Dolan
attended. President Rainey also reported on the February 16, 1994
workshop conducted by LAFCO on AB 1335.
2)
Member Menesini reported on the recent meeting of the Friends of the San
Francisco Estuary and on his election to the Board of that group.
3)
Member Menesini reported on the February 8, 1994 meeting of the
Recycled Water Committee.
15. ANNOUNCEMENTS
None
16. CLOSED SESSION
This item was taken out of order earlier in the agenda.
17. ACTIONS RESULTING FROM DISCUSSIONS IN CLOSED SESSION
This item was taken out of order earlier in the agenda.
18. ADJOURNMENT
There being no further business to come before the Board, President Rainey adjourned the
meeting ,at the hour of 6:48 p.m. '
1. '7ty;, kl'
~ u..4,l¡,-/ ILL I J¿lt; ~ --íL,¡(¿¿/
President of the Board of Directors, {
Central Contra Costa Sanitary District,
County of Contra Costa, State of California
COUNTERSIGNED:
S et ry of the Centra Co tra
Costa Sanitary District, County of
Contra Costa, State of California
02
17
94