HomeMy WebLinkAboutBOARD MINUTES 02-07-91
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MINUTES OF THE REGULAR BOARD MEETING
OF THE DISTRICT BOARD OF THE CENTRAL CONTRA
COSTA SANITARY DISTRICT HELD ON FEBRUARY 7, 1 991
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 p.m. on February 7, 1991. .
President Clausen called the meeting to order and requested that the Secretary call roll.
1. ROLL CALL
PRESENT:
Members:
Boneysteele, Dalton, Carlson, Rainey, Clausen
ABSENT:
Members:
None
2. PUBLIC COMMENTS
Mr. Benjamin Bell, Instrument Technician, addressed the Board concerning working
conditions and personnel matters.
3. BIDS AND AWARDS
a.
DECLARE ALL BIDS NON-RESPONSIVE. APPROVE THE USE OF NEGOTIATION,
AND AUTHORIZE AWARD OF PURCHASE ORDER TO WESCO FOR FURNISHING
OF TWO INDOOR MOTOR CONTROL CENTERS
Mr. Roger J. Dolan, General Manager-Chief Engineer, asked that the Board declare all bids
nonresponsive, authorize the use of negotiation, and authorize award to WESCO, the low
bidder. All bidders on this job imposed their own conditions. The low bidder indicated
a willingness to stand by the low bid and abide by the District's general conditions.
Following discussion, it was moved by Member Carlson and seconded by Member Dalton,
that all bids be declared nonresponsive to the bid request, that the use of negotiations be
approved with WESCO, the low bidder, and that award of purchase order be authorized
to WESCO in the amount of $51,649.39 (original bid price) for furnishing the indoor
motor control centers.
Motion unanimously approved on the following roll call vote:
AYES:
Members:
Carlson, Dalton, Boneysteele, Rainey, Clausen
NOES:
Members:
None
ABSENT:
Members:
None
4. CONSENT CALENDAR
It was moved by Member Rainey and seconded by Member Carlson, that the Consent.
Calendar, Item a., be approved as recommended.
a.
The Board was advised of the close out of the Phase 1 B San Ramon Valley
Interceptor Project, DP 24224. This item was presented for the Board's
information. No action was taken.
CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER
None
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5. ENGINEERING
a.
APPROVAL TO OVER EXPEND THE FY 1990-1991 ENGINEERING DEPARTMENT
EDUCATION AND TRAINING BUDGET BY $11,640
Mr. Dolan, General Manager-Chief Engineer, stated that this item was discussed with the
Board Personnel Committee and received their ~ndorsement.
It was moved by Member Dalton and seconded by Member Boneysteele, that the
Engineering Department be authorized to overexpend the FY 1990-1991 Technical
Training, Conferences, and Meetings Account by $11,640. There being no objection, the
motion was unanimously approved.
b.
AUTHORIZE THE GENERAL MANAGER-CHIEF ENGINEER TO EXECUTE AN
AMENDMENT WITH JOHN CAROLLO ENGINEERS TO DESIGN 1-680/SR-24 SEWER
RELOCATIONS, PHASE 3. DP 4782
Mr. Dolan, General Manager-Chief Engineer, stated that President Clausen asked staff to
check on the impact of the federal judge's decision on Caltrans. Caltrans has been
temporarily enjoined from funding construction projects but not design work. The item
before the Board is for design. By the time the 1-680/SR-24 Sewer Relocations Project
proceeds to construction, the injunction against Caltrans should be cleared. If not, the
project will be delayed at that time.
President Clausen suggested that staff determine the cost of financing or fronting the
money for Caltrans. Mr. Dolan indicated that staff will check into that and report back
to the Board. The Board requested that staff determine if financing costs are reimbursable
. as project costs.
It was moved by Member Carlson and seconded by Member Boneysteele, that the General
Manager-Chief Engineer be authorized to execute a cost-reimbursement contract with a
cost ceiling of $111,135 with John Carollo Engineers to design Phase 3 of the 1-680/SR-
24 Sewer Relocation Project, DP 4782. There being no objection, the motion was
unanimously approved.
6. TREATMENT PLANT
a.
AUTHORIZE EXECUTION OF AN AGREEMENT WITH CAMP, DRESSER AND
McKEE, INC., TO PERFORM AN ELECTRICAL SYSTEM ANALYSIS. DP 10084.
AND AUTHORIZE AN ALLOCATION OF $160,000 FROM THE TREATMENT PLANT
CONTINGENCY ACCOUNT
Mr. Dolan, General Manager-Chief Engineer, stated that new, large loads will soon be
placed on the Treatment Plant's electrical systems. The proposed analysis will evaluate
the future safety and reliability of the electrical distribution system.
It was moved by Member Carlson and seconded by Member Boneysteele,. that the General
Manager-Chief Engineer be authorized to execute a Professional Services Agreement with
a cost ceiling of $140,000 with Camp, Dresser and McKee, Inc. for the Electrical System
Analysis, DP 10084, and that allocation of $160,000 be authorized from the Treatment
Plant Program Contingency Account for this project. There being no objection, the motion
was unanimously approved.
7. APPROVAL OF MINUTES
a.
MINUTES OF DECEMBER 20, 1990
b.
MINUTES OF JANUARY 3, 1991
c.
MINUTES OF JANUARY 23, 1991
Following discussion, it was moved by Member Rainey and seconded by Member Dalton,
that the minutes of December 20, 1990, January 3, 1991, and January 23, 1991, be
approved as presented. There being no objection, the motion was unanimously approved.
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8. APPROVAL OF EXPENDITURES
a.
EXPENDITURE LIST DATED FEBRUARY 7, 1991
Member Rainey, member of the Budget and Finance Committee, stated that she and
President Clausen reviewed the expenditures and found them to be satisfactory.
It was moved by Member Rainey and seconded by President Clausen, that the
Expenditure List dated February 7, 1991, including Self-Insurance Check Nos. 100495-
100500, Running Expense Check Nos. 57756-58176, Sewer Construction Check Nos.
9200-9267, and Payroll Check Nos. 22592-23173, be approved as recommended.
Following discussion, the motion was unanimously approved.
9. BUDGET AND FINANCE
RECEIVE THE 1 990-1991 OPERATIONS AND MAINTENANCE BUDGET REVIEW
FOR THE SIX MONTHS ENDED DECEMBER 31, 1 990
a.
Mr. Dolan, General Manager-Chief Engineer, stated that a position paper showing the
results of the first six months of operations has been presented to the Board. As other
agencies around the county have seen, there has been a decrease in revenue in
construction related industries. Late last fall, staff began consideration of reallocation and
reassignment of work to keep employees involved in developer-built facilities as
productive as possible. Some employees have been relocated from the construction area
into other areas where demand is increasing rather than decreasing. Mr. Dolan stated
further that after the results of the Six Month O&M Review.were received, the managers
made substantial cuts to bring expenses more in line with these projections in reve':lues.
Mr. Dolan introduced Mr. Walter N. Funasaki, Finance Officer, who presented a
comparison of actual and budgeted O&M revenues and expenses for the six months
ended December 31, 1990, and projected revenues and expenses for the fiscal year
ending June 30, 1991. Actual O&M revenues were $256,000 less than budget,
representing a 2.1 percent unfavorable variance. Actual expenses were $761,000 less
than budget, representing a 6.0 percent favorable variance. The actual deficit for the six
month period was $651, 000. This is $505,000 less than the budgeted deficit. Mr.
Funasaki stated that based on actual revenues and expenses for the first six months,
projections were made for the full year. Revenues are projected to be $579,000 less than
budget at June 30, 1991, representing a 2.4 percent unfavorable variance. Projected
expenses are anticipated to be $517,000 less than budget, representing a 2.0 percent
favorable variance. Mr. Funasaki reported that as a result of the projected operating
deficit of $956,000, O&M reserves at the end of the fiscal year are projected to be
$1,851,000.
Board discussion followed concerning the reasons for decreases in revenues, the impact
of water conservation on revenues, septic tank dumping and grease interceptor revenues,
and staffing for capital projects. President Clausen suggested that staff pursue having
grease interceptor inspection integrated into the restaurant inspections conducted by the
County Health Department and the environmental health agency.
President Clausen indicated that he feels projected revenues are overly optimistic, but he
was glad to see staff was making a real effort to reduce expenses. Mr. Dolan stated that
some projects which staff believes ultimately should be done because they are in the best
interest of the District to do are being deferred because of the downturn. In other cases,
maintenance activities such as painting are being put off. The message is that if Central
San is to keep maintaining and repairing itself, there will be an impact on expenses next
year. However, there are program changes coming next year that will have much greater
budgetary implications. Staff is trying to match revenues to expenses as much as
possible but there will be impacts next fiscal year. '
President Clausen thanked Mr. Funasaki for his report and noted that the 1990-1 991
Operations and Maintenance Budget Review for the Six Months ended December 31,
1990, was duly received.
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b.
COUNTY INVOICE OF $111,542.89 FOR COLLECTION OF AD VALOREM TAX
REVENUE
Mr. Dolan, General Manager-Chief Engineer, stated that he and Board Member Rainey met
with Supervisor Schroder on February 6, 1991. Supervisor Schroder indicated that a bill
was being prepared that would overturn Senate Bill 2557 (Chapter 466 of 1990) which
requires payment for collection of ad valorem tax revenue. Supervisor Schroder stated
further that it has been suggested that Central San provide an interest free loan to cities
and school districts who are subject to charges and fees under SB 2557. Mr. Dolan
recommended that payment of this invoice be deferred until these issues are resolved.
President Clausen stated that the County has the statutory authority to make the charge
and the District should pay the invoice under protest indicating that an immediate
reimbursement with interest would be expected if the bill is repealed. Following further
discussion, the matter was referred to staff for recommendation at the March 7, 1 991
Board meeting.
c.
RECEIVE DECEMBER 1990 FINANCIAL STATEMENTS
Mr. Funasaki, Finance Officer, reported that the District's temporary investments were
held in Treasury bills and notes, a short-term repurchase agreement, and the District's
Local Agency Investment Fund (LAIF) account with interest rates ranging from 6.85
percent to 9.41 percent. The latest interest rate at December 31, 1990, was 7.14
percent. The average yield for the LAIF account through December 1990 was 8.269
percent. In response to a question from Member Boneysteele, Mr. Funasaki described the
circumstances of the repurchase agreement.
Mr. Dolan reported that staff has pursued the issue of ownership of the District's
investments. The investments have been held on the books under the ownership of
Contra Costa County and it is the County's obligation to pay the District. Initially, the
County was resistent to changing the ownership, but they have now agreed to the
change. The cost to change the ownership will be $5,000 to $6,000. Mr. Dolan stated
that he believes this is an acceptable expense, and Mr. Funasaki has been directed to
instigate the change immediately. The Board concurred.
10. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
None
11. REPORTS
a.
GENERAL MANAGER-CHIEF ENGINEER
1 )
Mr. Dolan, General Manager-Chief Engineer, reported that implementation
of the automated transfer" POD" system demonstration project has been
delayed because of the need of the Town of Danville to address concerns
òf the community. Mr. Paul Morsen, Deputy General Manager, reported
that he attended the Danville Town Council meeting at which the decision
of the Planning Commission was appealed by Valley Waste Management.
The Planning Commission has turned down the Tassajara Road transfer site
for the demonstration project. Valley Waste Management was successful
in their appeal and the site on Tassajara Road will be used for the
demonstration project but will not be allowed for a permanent transfer site.
Permanent sites must be found as part of the demonstration project.
Literature and containers will be delivered to the residents in the
demonstration area at the beginning of March 1 991 and collection will begin
shortly thereafter.
Mr. Morsen stated that the following will be considered during the
demonstration project:
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The efficiency, cost savings, and public acceptance of automated
curbside collection.
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Avoidance of transfer station costs.
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Minimization of costs for yard waste and green waste collection.
President Clausen stated that good support was received from the Danville
Town Council, but he believes it will be very difficult to site permanent
transfer points.
Member Rainey suggested that the operation be videotaped with sound for
use in evaluation of the demonstration both in Danville and other areas. Mr.
Morsen indicated that he would discuss this with Valley Waste
Management. He stated further that the Town of Danville requested that
Valley Waste Management conduct a noise study as part of the
demonstration.
2)
Mr. Dolan reported that at a meeting on January 31, 1991, Ms. Sara
Hoffman, the County Solid Waste Manager, informed the District of the
County's intention to take over franchising in the unincorporated areas. The
Board of Supervisors plans to introduce an ordinance in February and have
it take effect as soon as possible thereafter. Ms. Hoffman indicated that
the County does not intend to impose a franchise fee or collect money over
and above the cost of solid waste management in the County. Mr. Dolan
discussed the impacts of the County decision on the solid waste customers
the District now serves. Staff has been in contact with other sanitary
districts, some of whom feel local control is very important. Mr. Dolan
reviewed possible options open to the District including transferring the
_franchising responsibility to the cities or to the Central Contra Costa Solid
Waste Authority.
Board discussion followed wherein Member Rainey indicated that the
Board's Solid Waste Committee met to discuss this matter. The Committee
recommended that District Counsel research the legal authority of the
County to assume the franchising responsibility and that a meeting be
scheduled with the staff of the four cities for whom the District franchises
and the homeowners groups in the unincorporated areas to get their input.
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Following discussion, it was moved by Member Rainey and seconded by
Member Dalton, that District Counsel research the legal authority of the
County to assume solid waste franchising responsibility in the
unincorporated areas, the staff meet with representatives of the four
franchise cities and the homeowners groups in the unincorporated areas to
obtain their input, and that staff advise the collectors of this matter. There
being no objection, the motion was unanimously approved.
3)
Mr. Dolan introduced Mr. David Williams, Engineering Division Manager,
who reported the status of the request by the City of Lafayette that the
District and City join together in a cooperative sewer/storm drain
improvement project on Woodland Way in Lafayette. A ,sewer project has
tentatively been scheduled in this area in the two-year timeframe.
However, it is not clear whether the project will actually be done in this area
since backyard easements are involved. Staff will contact the
Superintendent of Public Works and the City Manager in Lafayette to see
if it is possible from a technical standpoint to enter into a cooperative
project. Staff will prepare a letter for the Board President's signature
advising Lafayette Mayor Uilkema of the status of this matter. The Board
concurred.
4)
Mr. Dolan reported that the District has been approached by a developer
who is interested in building a golf course and subdivision in Moraga. The
developer recognizes that it will be impossible to find water for irrigation,
and he wishes to have a reclamation facility provide the water. The District
is in favor of water reclamation although there is practically no benefit to
the District for a summertime water reclamation project. The peak wet
weather flow storage which such a facility could provide might be useful to
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the District. Staff recognizes that the long standing policy of the District is
to support water reclamation whenever possible. Staff will be working
cooperatively with the developer but the project must be evaluated
carefully. The developer, Clark Wallace and Associates, has hired Bryan and
Murphy to begin investigations.
Mr. Merle Gilliland, representing Clark Wallace and Associates, addressed
the Board reporting his discussions with East Bay Municipal Utility District
concerning a water reclamation project in Moraga. Mr. Gilliland stated that
the proposed golf course and subdivision would need 200 to 250 acre feet
of water per year. This project plus the needs of Moraga County Club, St.
Mary's College, and Moraga Commons would total approximately 600 acre
feet per year. Mr. Gilliland expressed interest in working with Central San
on this water reclamation project.
5)
Mr. Paul Morsen, Deputy General Manager, reported on the Lafayette City
Council meeting at which designation of a recycling collector was
discussed. With the assistance of Mr. Stephen Minton and Councilmember
Avon Wilson, staff and Director Boneysteele were able to convince the City
Council to rescind their previous action. The Lafayette City Council has
now agreed to adopt a resolution designating the franchise collector as the
recycler for the City. A resolution will be drafted and placed on the Consent
Calendar of the next City Council meeting.
6)
Mr. Dolan reported that the Town of Danville is making progress on the
Town's corporation yard. At the time they award contract, the District has
agreed to make payment to them of approximately $350,000 as the
District's share of the project. It is expected that this expenditure will be
made in the near future.
7)
Mr. Dolan announced that he will be unable to attend the February 21,
1991 Board meeting because of his commitments as President Elect of the
Water Pollution Control Federation. Mr. Dolan briefly reviewed the items he
expects to be on that agenda. , .
8)
Mr. Dolan announced that the District obtained a copy of a letter from
Supervisor Torlakson to School Board Members, Parents, Mayors and City
Council members in the east county area. In the letter, Supervisor Torlakson
proposed that he investigate diverting sanitary district property taxes to
other purposes since he feels those other purposes are of, higher priority
than the sanitary districts' purposes. Mr. Dolan stated that unless the
Board directs otherwise, staff would take no action at this time. The Board
concurred.
COUNSEL FOR THE DISTRICT
Mr. Kenton L. Aim, Counsel for the District, announced that the complaint in the second
J. Lewis & Son lawsuit has been dismissed.
c.
SECRETARY OF THE DISTRICT
Ms. Joyce E. Murphy, Secretary of the District, distributed the Training and Conference
Summary for the October-December 1990 period.
d.
BOARD MEMBERS
1 )
Member Rainey reported that the County has instituted a recycling program
in the schools. Although the schools involved are not in the District's area,
their efforts will contribute to source reduction in the County as a whole.
Member Rainey reported that she received a list of variable can rates
throughout the County. Staff has been asked to copy that list for interested
Board and staff members. Messrs. Dolan and Morsen have been asked to
investigate the mini-can service for possible use in the District's service
area.
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2)
President Clausen reported that Alameda County staff is now considering
a Negative Declaration rather than a focused Environmental Impact Report
(EIR) at the Altamont Landfill. If an EIR is required, the December 31, 1991
deadline will be missed for extension of the export agreement and Contra
Costa County will have no place for its solid waste. .
President Clausen reported that a meeting has been scheduled with the San,
Joaquin County Board of Supervisors for February 19, 1991, to discuss a
possible export agreement.
3)
Member Boneysteele requested that the minutes reflect the Board's
appreciation of the efforts of Messrs. Stephen Minton and John Tulley with
regard to the designation of a recycler by the City of Lafayette and other
issues that have come up in the past. The Board directed the Secretary of
the District to draft letters to Messrs. Minton and Tulley, the City of
Lafayette, and the Town of Danville thanking them for their support and
cooperation.
12. ANNOUNCEMENTS
None
13. 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 was T.M. Road Boring versus Dalton
Construction, Central Contra Costa Sanitary District, et ai, Contra Costa County Superior
Court No. C89-04027.
b.
SIGNIFICANT EXPOSURE TO LITIGATION
Pursuant to Government Code Section 54956.9(b), a point has been reached where in the
opinion of the Board of Directors of the Central Contra Costa Sanitary District on the
advice of its Counsel, based on existing facts and circumstances, there is a significant
exposure to litigation against the District. The title of the litigation was not disclosed
because to do so would jeopardize the Board's ability to conclude existing settlement
negotiations to its advantage.
At 5:35 p.m., President Clausen declared the closed session to discuss litigation pursuant
to Government Code Sections 54956.9(a) and (b). At 5:58 p.m., President Clausen
concluded the closed session and reconvened the meeting into open session.
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14. ACTIONS RESULTING FROM DISCUSSION IN CLOSED SESSION
The Board of Directors unanimously authorized settlement of the T.M. Road Boring versus
Dalton Construction, Central Contra Costa Sanitary District, et al matter, Contra Costa
County Superior Court No. C89-04027, with full settlement and releases from all parties
in compensation for the District paying $50,000. The Board delegated to staff the
authority to execute all documents to effectuate the settlement.
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15. ADJOURNMENT
There being no further business to come before the Board, President Clausen adjourned
the meeting at the hour of 6 p.m.
COUNTERSIGNED:
S cr t y of the Central Con a
Co a Sanitary District, County of
Contra Costa, State of California
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