HomeMy WebLinkAboutBOARD MINUTES 11-03-94
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MINUTES OF THE REGULAR BOARD MEETING
OF THE DISTRICT BOARD OF THE
CENTRAL CONTRA COSTA SANITARY DISTRICT
HELD ON NOVEMBER 3, 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 3:08 p.m. on November 3, 1994.
President Rainey called the meeting to order and requested that the Secretary call roll.
1. ROLL CALL
PRESENT:
Members:
Menesini, Hockett, Rainey
ABSENT:
Members:
Dalton
2. PUBLIC COMMENTS
None
3. CONSENT CALENDAR
It was moved by Member Menesini and seconded by Member Hockett, that the Consent
Calendar, consisting of Items a. through h., be approved as recommended, resolutions
adopted as appropriate, and recordings duly authorized.
a.
Resolution No. 94-092 accepting work and Offers of Dedication from
Shapellindustries, Inc., Job 5005, Parcel 1, was adopted and recording was
authorized.
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
b.
Resolution No. 94-093 accepting work and Offers of Dedication from Walter
E. Haught, et ai, Job 4941, Parcel 1, was adopted and recording was
authorized.
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
c.
Resolution No. 94-094 accepting work and Offers of Dedication from
Adolph J. Kneepers, et ux, Job 4941, Parcel 2, was adopted and recording
was authorized. .
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
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d.
Resolution No. 94-095 accepting work and Offers of Dedication from Robert
K. Taylor, et ux, Job 4941, Parcel 3, was adopted and recording was
authorized.
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
e.
The Grant of Easement Deed from Granville B. Strunk and Ora F. Strunk,
853 Revere Road, Lafayette, was accepted at a cost of $500 for the Knox
Drive Sewer Replacement Project, DP 4602; staff was authorized to record
said Grant of Easement Deed with the Contra Costa County Recorder; and
Resolution No. 94-096 was adopted to that effect.
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
1.
The Consent to Dedication to Contra Costa County, M.S. 126-90, Job 488,
Parcel 2, was approved; the President of the District Board of Directors and
the Secretary of the District were authorized to execute and record said
document; and Resolution No. 94-097 was adopted to that effect.
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
g.
Authorization was given for P.A. 94-11 (Alamo) to be included in a future
formal annexation to the District.
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
h.
A Public Notice was authorized to set a Board Workshop on November 17,
1994 and a Public Hearing on December 1, 1994 to receive public comment
on the request for an increase in refuse collection rates submitted by Orinda
Moraga Dispose-All.
Motion approved on the following vote:
AYES: Members: Menesini, Hockett, Rainey
NOES: Members: None
ABSENT: Members: Dalton
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4. CAll FOR REOUESTh.JO CO~S OUT OF ORDER
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Mr. Roger J. Dolan, General Manager-Chief Engineer, suggested that Items 6.a., Solid
Waste, and 1 O.a., Budget and Finance, be taken out of order to accommodate interested
persons in the audience. The Board concurred. President Rainey proceeded to Item 6.a.,
Solid Waste.
6. SOLID WASTE
a.
ESTABLISH REFUSE COLLECTION RATE DECREASE FOR VALLEY WASTE
MANAGEMENT EFFECTIVE OCTOBER 1. 1994
Mr. Dolan, General Manager-Chief Engineer, introduced Mr. Paul Morsen, Deputy General
Manager, who stated that all of the waste reduction services required by AB 939, such
as recycling, green waste diversion, and household hazardous waste collection, have
added to solid waste collection rates. In addition, in Contra Costa County, disposal costs
are extraordinarily high at $77/ton, comprising approximately, 40 percent of the
customers' garbage bill. Mr. Morsen stated that Central Contra Costa Sanitary District
(CCCSD) joined with the Cities of Walnut Creek and San Ramon to seek ways to cut the
cost of disposal, looking at many alternatives. The alternative that has produced the
greatest results so far is competition.
Recognizing that the current franchise agreements expire in 1996, CCCSD has joined with
the City of Walnut Creek through the Central Contra Costa Solid Waste Authority
(CCCSWA) in developing a Request for Proposals (RFP) for Solid Waste Collection and
Disposal Services Post 1996. The objectives of the RFP are to:
.
Create a competitive environment;
.
Effect long-term disposal savings and stability;
.
Create an opportunity for innovative technology application;
.
Effect savings for ratepayers; and
.
Maximize diversion of the wastestream.
Mr. Morsen stated that last summer review of the RFP document began. In the midst of
that review, a long-term (8 to 10-year) proposal from Waste Management for collection
and disposal, and three short-term (16-month) proposals for disposal, from
Garaventa/Richmond Sanitary Service/Potrero Landfill, Browning Ferris Industries/Acme
Transfer Station/Keller Canyon Landfill, and Waste Management/Altamont Landfill, were
received and reviewed. Mr. Morsen stated that the Valley Waste Management long-term
proposal and the short-term disposal proposals from Garaventa/RSS and BFI were rejected.
Mr. Morsen provided an overview of the factors relating to each of the proposals as set
forth in the position paper, noting the various reasons for rejection of the proposals
including insufficient cost savings, loss of public trust if the RFP process were abandoned
in liew, and no long-term guarantee of disposal rates.
Staff recommends that the District:
.
Proceed with the RFP through CCCSW A;
.
Enter into a short-term disposal agreement with Waste Management, Inc.;
and
.
Set rates for CCCSD ratepayers providing for a 20 percent reduction in all
garbage collection rates.
Discussion followed with regard to disposal rates at Keller Canyon Landfill, the favorable
results produced from the competitive environment, and the successful negotiations for
more beneficial rates for the ratepayers. Member Menesini stated that the CCCSD Board
has fostered the competitive environment by supporting the search for less costly disposal
alternatives. Following discussion, it was agreed that copies of the RFP documents be
provided to the Board for their input prior to distribution.
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Mr. Kenton L. Aim, Counsel for the District, directed the Board's attention to the proposed
letter of acceptance of the Valley Waste Management offer of October 13, 1994. Mr.
Aim stated that two changes are proposed to the draft letter. It is proposed that the
words "CCCSD and" be deleted from Item 8, page 3 of the letter, and that the language
in Item 6, on page 2, dealing to collection and payment of litigation expenses related to
the Acme Landfill litigation, be clarified.
Following discussion, it was moved by Member Menesini and seconded by Member
Hockett, that the Valley Waste Management offer of October 13, 1994 be accepted and
that the letter of acceptance be approved with the modifications noted above. There
being no objection, the motion was approved with Member Dalton being absent.
It was moved by Member Hockett and seconded by President Rainey, that staff be
authorized to proceed with the RFP process through CCCSWA. Motion approved with
Member Dalton being absent and Member Menesini voting no pending his review of the
RFP documents.
It was moved by Member Menesini and seconded by Member Hockett, that Resolution No.
94-098 be adopted, establishing a 20 percent decrease in refuse collection rates effective
October 1, 1994 and adopting the commercial green waste rates. There being no
objection, the motion was approved with Member Dalton being absent.
President Rainey and Mr. Dolan expressed a special thanks to Messrs. Paul Morsen and
Kent Aim and to the Valley Waste Management representatives for their diligent efforts
in reaching this agreement.
At this time, President Rainey proceeded to Item 10.a., Budget and Finance.
10. BUDGET AND FINANCE
a.
PRESENTATION BY FINANCIAL ADVISOR AND BOND COUNSEL ON LONG-TERM
DEBT ISSUANCE
Member Menesini stated that a Budget and Finance Committee Meeting and Board
Workshop was held today to discuss long-term debt financing strategies with the District's
financial advisor and bond counsel.
Mr. Thomas Lockhard, partner in the firm of Stone & Youngberg, the financial advisor to
the District, reviewed the options available for long-term debt issuance. It is
recommended that the District issue long-term debt in the amount of $25 million using
Revenue Installment Certificates of Participation (COPs) sold through competitive bid sale
to be concluded by January 1, 1995. This would then become a debt and revenue pledge
of the District. The term of the issuance (20, 25 or 30. years) has not yet been
determined. Mr. Lockhard stated that the issuance will be very favorably received by the
market, the rating agencies, and the purchasers of securities. Staff will be asking the
Board to authorize the sale and the execution of appropriate documents at the November
17, 1994 Board Meeting.
Mr. Michael D. Castelli, of Jones Hall Hill & White, reviewed the installment sale COP
process and procedures. The sale will be backed by a net revenue pledge backed by the
gross revenues of the District. Mr. Castelli highlighted the documents involved in the
transaction including a trust agreement, an installment sale contract, and an assignment
agreement. In addition, a non-profit corporation must be established as part of the debt
issuance and certain actions must be taken by that body on November 17, 1994.
Mr. Dolan, General Manager-Chief Engineer, stated that the Board Budget and Finance
Committee, District staff, the financial advisor, and bond counsel reviewed the issues
relating to long-term debt issuance in detail; and as General Manager-Chief Engineer, Mr.
Dolan stated that he is confident and comfortable with going forward with the process.
At this time, President Rainey reverted to the order of the agenda.
5. BIDS AND AWARDS
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a.
AUTHORIZE AWARD OF CONTRACT TO SG ENGINEERS AND CONSTRUCTORS
FOR IRRIGATION IMPROVEMENTS PROJECT. DP 6101
Mr. Dolan, General Manager-Chief Engineer, recommended award of contract for the
Irrigation Improvements Project to SG Engineers and Constructors, the low bidder at
$33,250.
Following discussion, it was moved by Member Menesini and seconded by Member
Hockett, that award of contract be authorized to SG Engineers and Constructors, the
lowest responsible bidder, at $33,250 for the Irrigation Improvements Project, DP 6101.
There being no objection, the motion was approved with Member Dalton being absent.
6. SOLID WASTE
ESTABLISH REFUSE COLLECTION RATE DECREASE FOR VALLEY WASTE
MANAGEMENT EFFECTIVE OCTOBER 1. 1994
a.
This item was taken out of order earlier in the agenda.
7. CORRESPONDENCE
a.
NOTE RECEIPT OF LETTER DATED OCTOBER 20.1994. FROM STANLEY F. AND
MARGARET DANN. OF LAFAYETTE. REGARDING THE DRAINAGE SYSTEM
INSTALLED BY THE MID-HILL SEWER PROJECT: REFER TO STAFF FOR RESPONSE
Mr. Dolan, General Manager-Chief Engineer, introduced Mr. Jay S. McCoy, Infrastructure
Division Manager, who reported that in conjunction with the Mid-Hill Sewer Project, a
drainage pipe was extended. The diagram attached to Mr. Danñ's letter shows a
proposed driveway and drainage system that was not built as indicated. During the past
week, Mr. McCoy stated that he has contacted the engineer for the Macias', the adjoining
property owner. Mr. McCoy stated that he is in the process of trying to resolve this issue.
Following discussion, receipt of the letter dated October 20, 1994, from Stanley F. and
Margaret Dann, of Lafayette, regarding the drainage system installed by the Mid-Hill
Sewer Project was noted, and the matter was referred to staff for resolution and
response.
8. APPROVAL OF MINUTES
MINUTES OF OCTOBER 6. 1994
a.
It was moved by Member Hockett and seconded by Member Menesini, that the minutes
of October 6, 1994, be approved as presented. There being no objection, the motion was
approved with Member Dalton being absent.
9. APPROVAL OF EXPENDITURES
a.
EXPENDITURE LIST DATED NOVEMBER 3. 1994
Member Menesini, Chair of the Budget and Finance Committee, stated that he and
Member Dalton reviewed the expenditures and found them in good order.
It was moved by Member Menesini and seconded by Member Hockett, that the
Expenditure List dated November 3, 1994, including Self-Insurance Check Nos. 100891-
100895, Running Expense Check Nos. 85152-85523, and Sewer Construction Check
Nos. 14877-14935 and 85524-85552, be approved as recommended. Following
discussion of the recruitment expense reimbursement, the motion was approved with
Member Dalton being absent.
10. BUDGET AND FINANCE
PRESENTATION BY FINANCIAL ADVISOR AND BOND COUNSEL ON LONG-TERM
DEBT ISSUANCE
a.
This item was taken out of order earlier in the agenda.
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None
, ,. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
12. REPORTS
a.
GENERAL MANAGER-CHIEF ENGINEER
1 )
2)
03
Mr. Dolan, General Manager-Chief Engineer, stated that when we look back
on 1994 at Central San, one of the most impressive features of this year
will surely be the number of difficult projects, process issues, and problems
which have been tackled by District people working together with
knowledge, focus, and determination. The Board has heard about the
accomplishments of the Dewatering Process Redesign Team (PRT) and the
various Collection System Operations (CSO) work redesign activities. The
same approach is being used to deal with the HTE computer software
difficulties, some organizational issues, safety information, in-house
design/construction management, and furnace operations.
One very important and impressive activity which the Board may not have
heard much about is the maintenance activity done in the District's aeration
tanks. Mr. Dolan introduced Mr. Wayne Miner, Machine Shop Supervisor,
who described the aeration process and maintenance activities. Mr. Kent
Von Aspern, Senior Engineering Assistant, reported on the work of the
Aeration Basin Improvements Project Management Team (Steve Colberg,
Marilee Davi, John Day, Warren Katchmar, Matt Mahoney, Dan McCown,
Buzz Medeiros, Wayne Miner, and Kent Von Aspern). By analyzing what
worked and what could be improved in Phase I of the Aeration Basin
Improvements Project, this team was able to plan and implement an very
successful Phase II. The number of actual work days required for Phase I
of the Project was 49, compared to 33 work days in Phase II. There was
a 29 percent reduction in costs, from $311,881 in Phase I to $220,200 in
Phase II. The total cost for support of the team efforts was $8,000. There
were non-monetary improvements as well. Because people working in the
field were part of the planning of the project, there was good morale and a
sense of pride connected with the project. The techniques and lessons
learned will be used when the C and D passes of each tank are completed
in 1995-1996. In closing, Mr. Von Aspern stated that the Aeration Basin
Improvements Project was successful and the work redesign techniques
helped make it better.
President Rainey thanked Messrs. Miner and Von Aspern for the interesting
and informative report and congratulated the team on the outstanding job
they did.
Mr. Dolan, General Manager-Chief Engineer, stated that the District has an
obligation as a waste discharger to undertake pollution prevention efforts to
minimize the discharge of known pollutants. Through some superior efforts
of the District's Laboratory and Source Control people, organo-phosphate
pesticides and copper contaminated wastes have been identified as high
priorities for the District's Pollution Prevention Program. A public education
program to be done in conjunction with the Alexander Lindsay Museum was
identified as a cost effective way of engaging the public in meeting the
pollution prevention goals. Lindsay was able to obtain the services of a
dedicated advertising executive in preparing the ad copy. This individual
created the eye catching sea lion/oil can television and billboard ads. The
District had wanted to work with Lindsay and felt that they were working
in c~ncert with the District on some newspaper and copy addressing
disposal of household pesticides. Just before a previous Board Meeting, the
latest draft of the ad copy was received and distributed to the Board.
Member Menesini called after reading the copy and pointed out factual
errors and misleading innuendo which had not been in earlier drafts. Staff
went back to the ad writer who felt uncomfortable making some of the
changes needed. Mr. Ken Grubbs, Public Information and Graphics
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Coordinator, took up the challenge of leading the effort to come up with an
improved ad which is now ready for the Board's input and approval.
Mr. Dolan introduced Mr. Grubbs who stated that the initial ads would not
work and a new direction presented itself in the form of representatives
from DowElanco. Staff worked with DowElanco and their ad agency to
come up with a totally new concept. The District has not had to pay
anything for this creativity and the pollution prevention public education
budget has not been affected. Mr. Grubbs distributed and discussed the
proposed layouts and rough articles for the brochures, self display (point of
purchase), theater slides, and newspaper ad. It is planned that the brochure
and shelf display will be in the stores by March 1995. The newspaper ad
and theater slides will be run in April and May 1995 in time for the spring
gardening season. There are sufficient funds in the budget to cover both
production and placement of the ads. Mr. Grubbs recommended Board
consideration of the proposed ads based on the following:
.
The visual message is dear, thought provoking, and stimulates a
positive response;
.
The visual message compliments the written message so not as
much text is needed; and
.
These materials portray the District as a leader in trying to solve a
problem and not just pointing blame.
Discussion followed wherein the Board provided input and suggestions. Mr.
Grubbs thanked the Board for their comments and indicated that he would
address the issues raised.
President Rainey and Member Menesini thanked Mr. Grubbs for his efforts
and congratulated him on the more positive and cooperative tone of the
revised copy. .
3)
Mr. Dolan, General Manager-Chief Engineer, stated that recently Member
Menesini requested an overview of the District's insurance program.
Coincidentally, the District is in the initial stages of a comprehensive
insurance program review which was included in the current year's budget.
So, rather than providing a comprehensive overview at this time, Mr. Dolan
provided a report on the status and scope of the study. Ms. Erin A. Oberly,
Risk Consultant and Chartered Property Casualty Underwriter, was selected
to work with an Actuary to conduct the audit. The scope of the assignment
includes evaluation of risks, prevention and mitigation, and funding.
Changes will be recommended to the overall program to improve protection
and/or to be more cost effective. The Actuary will analyze options for risk
financing including self-insurance, commercial insurance, and membership
in public agency pools. The District's existing guidelines for the Self-
Insurance Fund will be reviewed; the effect of Governmental Accounting
Standards Board, Ruling #10, on the District's self insurance funding
methodology will be evaluated; and the insurance requirements imposed by
the District on its contractors will be reviewed. A report will be made to the
Board early in 1995 after the completion of the study. Recommended
changes will be included in the 1995-1996 budget planning.
4)
Mr. Dolan announced that Senior Chemist Phil Snyder and Chemist II Tri
Nguyen will travel to Beverly, Massachusetts on November 7-11, 1994 for
the Kratos Gas Chromatograph/Mass Spectrometer (GC/MS) training. This
training was budgeted in the Capital Improvement Budget.
5)
With a deep sense of regret, Mr. Dolan announced the death of Deputy
Chief Engineer Robert Baker's wife, Nancy, in an airplane crash this week.
Memorial services will be held on Saturday, November 5, 1994, at 1 :30
p.m. at Oakmont Memorial Park, 2099 Reliez Valley Road, Lafayette.
COUNSEL FOR THE DISTRICT
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None
c.
SECRETARY OF THE DISTRICT
None
d.
BOARD MEMBERS
1 )
President Rainey reported on the October 27, 1994 meeting of the Central
Contra Costa Solid Waste Authority (CCCSWA) at which the main topics of
discussion were finalizing the draft Request for Proposals (RFP) for Solid
Waste Collection and Disposal Services Post 1996 and Contra Costa
County's membership in CCCSWA. Member Menesini reported on the Board
of Supervisors' discussion with regard to joining CCCSW A, noting that there
seemed to be a split between individual supervisors and also between the
Board of Supervisors and County staff on the issue. Discussion followed
concerning the draft RFP. It was agreed that staff will meet with Member
Menesini to review the draft documents.
2)
Member Hockett reported on the October 27, 1994 meeting of the
Sanitation and Water Agencies of Contra Costa County at which the Dublin
San Ramon Services District/East Bay Municipal Utility District proposed
reclaimed water project was discussed.
13. ANNOUNCEMENTS
President Rainey commended the Collection System Operations (CSO) Department staff
for their quick response to a resident's complaint regarding a noisy manhole cover.
Member Menesini announced that he was asked to Chair the Friends of the San Francisco
Bay Estuary Education Committee.
14. ADJOURNMENT
There being no further business to come before the Board, President Rainey adjourned the
meeting at the hour of 5:45 p.m. in memory of Nancy Baker, wife of Deputy Chief
Engineer Robert A. Baker.
'-
esident of the Board of Dire ors,
Central Contra Costa Sanitary District,
County of Contra Costa, State of-California
COUNTERSIGNED:
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