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Home My WebLink AboutBUDGET & FINANCE AGENDA 05-12-08 ~ Central Contra Costa Sanitaty District 5019 IllltlOff Place, Martinez, CA 94553-4392 (925) 228-9500 . wwwcentralsan org BUDGET AND FINANCE COMMITTEE Chair McGill Member Nejedly Monda~May12,2008 3:00 p.m. Executive Conference Room 5019 Imhoff Place Martinez, California 1. CALL MEETING TO ORDER 2. PUBLIC COMMENTS 3. OLD BUSINESS 4. CLAIMS MANAGEMENT 5. REPORTS/ANNOUNCEMENTS *a. Review draft Position Paper for review and approval of Board Member conference/meeting attendance b. Kick-off meeting with Andrew Brown from HighMark Capital Management (GASB 45 Investment Options) *c. Settlement of Bay Area Air Quality Management District Notices of Violation 6. REVIEW EXPENDITURES (Item 3.a. in Board Binder) 7. ADJOURNMENT * Attachment A ", Recycled Paper ~ Central Contra Costa Sanitary District BOARD OF DIRECTORS POSITION PAPER ~.Q,. filDRAFT Board Meeting Date: June 5, 2008 No.: Type of Action: Subject: BOARD MEMBER CONFERENCE AND MEETING ATTENDANCE APPROVAL PROCESS Submitted By: Initiating Dept./Div.: REVIEWED AND RECOMMENDED FOR BOARD ACTION: James M. Kelly, General Manager E. Boehme Secretary of the District ISSUE: A process for Board approval of Board Member conference attendance and attendance at other meetings is provided to ensure transparency for the public and to comply with AB 1234. RECOMMENDATION: Select an option for approval of Board Member conference attendance and for attendance at other meetings that are of interest or benefit to the District. FINANCIAL IMPACTS: $44,000 has been budgeted for fiscal year 2008-09 for Board Member conference attendance at California Association of Sanitation Agencies (CASA), California Special Districts Association (CSDA), Water Environment Federation Technical Conference (WEFTEC), and other miscellaneous conferences that may be requested and approved throughout the year. It also includes reimbursement for attendance at local meetings. Reimbursement will be in accordance with adopted Board policies. AL TERNATIVES/CONSIDERATIONS: Do not revise the current practice. BACKGROUND: It has been suggested that, to improve transparency, a more visible process be established for approval of Board Member conference and meeting attendance. Conference Attendance Currently, Board Member conference attendance is included and approved in the District budget, and Board Members report out at a Board Meeting upon their return from the conference, in compliance with AB 1234. $44,000 has been budgeted for Board Member conference and meeting attendance for fiscal year 2008-09. Each conference can cost up to approximately $2,000. In order to provide transparency for the public with regard to Board Member conference attendance, the following options may be considered. , J . . , .. POSITION PAPER Board Meeting Date: June 5. 2008 Subject: BOARD MEMBER CONFERENCE AND MEETING ATTENDANCE APPROVAL PROCESS (1) Place requests for Board Member conference attendance for the entire Fiscal Year on the Consent Calendar for Board approval. Any additional requests for conference attendance throughout the year would be placed on the Consent Calendar for Board consideration. Board Members would also announce their conference attendance at a Board Meeting prior to attending the conference. (2) Place requests for Board Member conference attendance on the Consent Calendar individually, conference by conference, as they arise throughout the year. Board Members would also announce their conference attendance at a Board Meeting prior to attending the conference. This would amount to approximately six or more Position Papers. Each Board Member will provide a report at the Board Meeting on his or her conference attendance in compliance with AB 1234 in either case. For fiscal year 2008-09, Board Members indicated interest in attending the following conferences: August 20-23, 2008, Monterey CASA Barbara Hockett (stipend for 2 Exec Board meetings) Mike McGill January 7-10,2009, Indian Wells Barbara Hockett (stipend for 2 Exec Board meetings) Mike McGill March 2009, Washington, DC Barbara Hockett April 29 - May 2,2009, Napa Jerry Lucey Barbara Hockett (stipend for 2 Exec Board meetings) Mike McGill California Special Districts Association September 22-25,2008, Irvine Mike McGill (stipend for each day attended) Water Environment Federation Technical Conference October 18-22, 2008, Chicago Barbara Hockett POSITION PAPER Board Meeting Date: June 5, 2008 Subject: BOARD MEMBER CONFERENCE AND MEETING ATTENDANCE APPROVAL PROCESS Mike McGill This totals 11 individual conference attendances, each of which can cost up to approximately $2,000. Additional money has been budgeted in the event that Board Members may wish to attend other conferences throughout the year. Meetino Attendance Board Members attend meetings for which they receive the $221 stipend, as approved by Resolution 2007-105, such as CASA Executive Board meetings, Contra Costa Special Districts Association meetings, and meetings with the cities for which they act as District Liaison. The meetings for which Board Members receive the stipend are approved and listed in Resolution 2007-105 (attached). Board Members may not receive the stipend for more than six meetings per month. Reports are also provided at the next Board Meeting in accordance with AB 1234. Board Members also attend various local business meetings where topics presented are of interest or benefit to the District, such as Contra Costa Council events and Contra Costa Mayors' Conference meetings. They receive reimbursement for the cost of attending the event. They provide a report on attendance at these events also, in accordance with AB 1234. No prior Board approval is currently required for attendance at any of these meetings, other than as approved in Resolution 2007-105. In order to provide transparency for the public with regard to Board Member meeting attendance, the following options may be considered. (1) Announce the meeting attendance at a Board Meeting in advance of the meeting when timing permits (current practice). (2) Require that meetings for which Board Members receive the stipend (other than Board or Committee meetings) be placed on the Consent Calendar for approval individually in advance of the meeting when timing permits. (This would have resulted in 12 additional Position Papers in 2007) (3) Require that local business meetings which Board Members request to attend (e.g. Contra Costa Mayors' Conference, Contra Costa Council events etc) be placed on the Consent Calendar for approval individually in advance of the meeting when timing permits. (This would have resulted in 30 additional Position Papers in 2007). POSITION PAPER Board Meeting Date: June 5, 2008 Subject BOARD MEMBER CONFERENCE AND MEETING ATTENDANCE APPROVAL PROCESS Prior Board approval of every meeting attendance for each Board Member would be difficult to obtain, due to the timing between Board Meetings and agenda deadlines. It would also require significant administrative support to monitor and process each request. RECOMMENDED BOARD ACTION: Staff recommends either Option (1) or (2) with regard to Board Member conference attendance, and Option (1) for other meeting attendance. RESOLUTION NO. 2007- 105 A RESOLUTION SETTING FORTH PROCEDURES FOR APPOINTMENT TO AND ESTABLISHMENT OF BOARD COMMITTEES AND MEETING COMPENSATION REQUIREMENTS FOR BOARD MEMBERS WHEREAS, Section 6489 of the California Health and Safety Code provides that compensation be paid to Board Members for each day's attendance at meetings of the Board or for each day's service rendered as a Director by request of the Board; and WHEREAS, in accordance with the Health and Safety Code and the California Water Code Sections 20200 et seq., Ordinance 241 was adopted on February 15, 2006, setting the Board compensation at $221 per approved meeting, not to exceed more than one meeting per day and six meetings per calendar month; and WHEREAS, in accordance with Section 2.04.020 of the District Code, when the Board considers it necessary for the efficient transaction of business, it may approve the creation of a committee for the purpose of reviewing, investigating, and recommending with reference to a particular matter; and the President shall appoint the members of said committee and shall have the authority to appoint an ad hoc committee or representative to similarly act pending a Board Meeting; and WHEREAS, the President may name an alternate to serve in the absence of an appointed Committee Member or District representative, and such alternate shall receive the compensation previously set forth; and WHEREAS, the Board has deemed it necessary for the efficient operation of the District to appoint Board Members to represent the District on various commissions, committees and joint powers authorities, and to act as liaisons to cities and the County; and WHEREAS, in accordance with AB 1234 and to encourage participation and attendance at conferences and organizations which serve the interests of and provide benefit to the District, the Board has determined that Board Members may be compensated for each day's attendance at conferences and meetings listed below; and WHEREAS, compensation may be approved for attendance at a meeting or conference not listed in this Resolution if approved in advance by the Board; and WHEREAS, travel days to and from meetings or conferences are not compensable. NOW, THEREFORE, BE IT RESOLVED, that the President of the Board of Directors shall appoint Board Members to the following standing committees: Resolution No. 2007-105 Page 2 of 3 Budget and Finance Committee Capital Projects Committee Human Resources Committee Outreach Committee Recycled Water Committee Household Hazardous Waste Committee Real Estate Committee BE IT FURTHER RESOLVED, that the President of the Board of Directors shall appoint or confirm Board Members to represent the District as follows: Board Liaison to Cities and County California Special Districts Association - Contra Costa Chapter Friends of the San Francisco Estuary Sanitation and Water Agencies of Contra Costa County BE IT FURTHER RESOLVED, that, in addition to the above, members of the Board of Directors shall be compensated at the current compensation rate for each day's attendance at the following meetings and conferences: Meetings of the California Association of Sanitation Agencies (CASA) Executive Board, if serving as a member of the Executive Board; California Special Districts Association Conferences BE IT FURTHER RESOLVED, that meeting attendance slips for Board Members for the meetings listed above and for regular Board Meetings shall be approved by the Board President or, in his or her absence, the President Pro Tem. Meeting attendance slips for the Board President shall be approved by the President Pro Tem, or, in his or her absence, a Board Member designee. PASSED AND ADOPTED this 9th day of August, 2007, by the following vote: AYES: NOES: ABSTAIN: Members: Hockett, Lucey, McGill, Menesini, Nejedly Members: None Members: None Resolution No. 2007- 105 Page 3 of 3 C:. Presid of the District 80 of the Cen al Contra Costa Sanitary District, County of Contra Costa, State of California COUNTERSIGNED: be~ Secretary of the Central Contra Costa Sanitary District, County of Contra Costa, State of California Approved as to Fonn: ~fi ~~ enton L. Aim District Counsel O.c.. Central Contra Costa Sanitary District May 7, 2008 TO: FROM: BUDGET AND FINANCE COMMITTEE DOUGLAS J. CRAIG tf~ SETTLEMENT OF BAY AREA AIR QUALITY MANAGEMENT DISTRICT NOTICES OF VIOLATIONS SUBJECT: During the calendar years 2007 and 2008, the Bay Area Air Quality Management District (BAAQMD) issued four Notices of Violations (NOV) to Central Contra Costa Sanitary District (District). On April 11, 2008, the District received a settlement offer from BAAQMD to resolve the NOVs. The settlement offer for the aggregate NOVs was $5,000. District staff and legal counsel reviewed the settlement offer and determined that it was acceptable. BAAQMD recognized that the District responded rapidly and diligently to the incidents once they were discovered, and the fines were attenuated accordingly. BAAQMD can issue civil penalties up to $10,000 per day per incident or $25,000 per day per incident if BAAQMD determines that a negligent violation of a regulation has occurred. The Board of Directors was informed of each NOV issued by BAAQMD. The announcements are attached in chronological order describing each incident (Attachment 1). The BAAQMD settlement offer is valid for 30 days; as such, staff has sent a check for $5,000 to BAAQMD to finalize the settlement. DJC:pk C:\DOCUME-1\pkast\LOCALS-1\Temp\NOV Announcement-Memo - May 2008.doc ATTACHMENT 1-ANNOUNCEMENTS TO BOARD OF DIRECTORS Board Meeting of May 10, 2007 - Announcements - Item 6.a.4 Recent Bav Area Air Qualitv ManaQement District (BAAQMD) Action The District received a Notice of Violation on April 18, 2007, for failure to report an inoperable monitor. On April 11, 2007, BAAQMD Inspector Scott Applin and CCCSD Associate Control Systems Engineer Bill McEachen discovered a "stuck" high-temperature reading on an auxiliary boiler while reviewing treatment plant data. A loose wire on the temperature sensor was identified as the problem and was immediately corrected. However, because the inoperable monitor was not identified earlier, a Notice of Violation was issued. The Operations shift supervisors, the Plant Operations Superintendent, and the Associate Control Systems Engineer review compliance data daily. Because these reviews were focused on compliance, which is a minimum temperature value of 770 degrees Fahrenheit, they did not detect the stuck high-temperature reading. An alarm was added to notify the shift supervisors when the temperature value is high. Board Meeting of February 7, 2008 - Announcements - Item 5.a.6,d) Notices of Violation for Excessive Emissions on Auxiliary Boilers At the Board of Directors meeting on December 6, 2007, staff announced that the Bay Area Air Quality Management District (BAAQMD) results for the September 18 and 19,2007, source test on the District's auxiliary boilers exceeded the limit for oxides of nitrogen (NOx) while firing on natural gas. The boilers were adjusted and retested on November 8, and both boilers were in compliance with the permit requirements. BAAQMD evaluated the results of the test, and on January 28, 2008, issued a Notice of Violation for each auxiliary boiler for excess NOx emissions. BAAQMD could issue a fine after further evaluation of the test results. Board Meeting of February 21, 2008 - Announcements - Item 5.a.3 Notice of Violation for Low Boiler Temperature On February 7,2008, the Bay Area Air Quality Management District (BAAQMD) issued a Notice of Violation to the District for operating an auxiliary boiler below 7700 Fahrenheit while firing on landfill gas. The low temperature (7550 Fahrenheit) occurred during a wet-weather event on January 26, 2008. The District's BAAQMD permit requires operating the boiler at or above the 7700 Fahrenheit limit to ensure 98 percent destruction of total hydrocarbon in the landfill gas. The Control Room received a low temperature alarm, along with several other alarms associated with the wet-weather event. 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