Loading...
HomeMy WebLinkAboutBOARD MINUTES 12-01-05 I I I 65 MINUTES OF THE REGULAR BOARD MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON DECEMBER 1, 2005 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 2:00 p.m. on Thursday, December 1, 2005. President Hockett called the meeting to order and requested that the Secretary call roll. 1. ROLL CALL PRESENT: Members: Boneysteele, Lucey, Menesini, Nejedly, Hockett ABSENT: Membeffi: None a. PLEDGE OF ALLEGIANCE TO THE FLAG Board and staff joined in the Pledge of Allegiance to the Flag. b. Election of District Board President and President Pro Tem for 2006 It was moved by President Hockett and seconded by Member Nejedly to appoint Member Menesini as President for a one-year term beginning January 1, 2006. Motion passed by unanimous vote of the Board. It was moved by President Hockett and seconded by Member Menesini to appoint Member Nejedly as President Pro Tem for a one-year term beginning January 1,2006. Motion passed by unanimous vote of the Board. c. Introductions Board Members welcomed newly-hired Vehicle and Equipment Service Worker, Philip Notarmaso. 2. PUBLIC COMMENTS There were no public comments. 3. CONSENT CALENDAR It was moved by Member Menesini and seconded by Member Lucey to approve the Consent Calendar, consisting of Items a. and b. as recommended, to adopt resolutions, and to authorize recordings. Motion passed by unanimous vote of the Board. a. Adopt Resolution 2005-130, authorizing execution and recording of a quitclaim deed to PH Holdings, L.P., for a main sewer easement (District Project Nos. 117 and 827) and authorize staff to record documents with the Contra Costa County Recorder. b. Establish January 12, 2006, as the date for a public hearing to receive comments on proposed reimbursement fee for the properties which could directly connect to District Project No. 5786 (Highland Drive, Danville). 4. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER None. 12-01-05 66 5. REPORTS a. GENERAL MANAGER REPORTS 1) Report on Report on National Pollutant Discharge Elimination System (NPDES) Permit Renewal Application General Manager Charles Batts stated that, as required, the District's NPDES Permit renewal application was delivered to the Regional Water Quality Control Board yesterday. I Plant Operations Division Manager Doug Craig provided an overview of the application contents and discussed some of the compliance issues and concerns with the new permit. He stated that the current permit expires on May 31, 2006. The application contents include response to action items in the 2001 permit, updated facility information, reasonable potential analysis, constituents with permit limits, and the District position on constituents of concern. The action items from the last permit include developing and standardizing techniques for acute toxicity testing, completing a chronic toxicity study to identify "most sensitive" species, which was determined to be red abalone, and developing a site-specific objective for cyanide. All these have been completed. Action items also include implementation of pollution prevention activities, update of the contingency plan, update of O&M manuals and incinerator O&M manual, participation in Regional Monitoring Program to assist in TMDL developments, and participation in other joint studies. Pollutants of concern are mercury, which is of the greatest concern; lead; copper; nickel and acrylonitrile. The mercury TMDL has been remanded by the State Board to the Regional Water Quality Control Board. In response to questions, District Counsel Kent Aim explained the process. Mr. Craig stated that interim mercury permit limits may be necessary. Staff is I requesting an extension of the District's existing Hg limit of 87 ppt. He stated that, in order to address the mercury level, an aggressive pollution prevention program is necessary and possibly the treatment of furnace scrubber water. He concluded that pilot studies for treatment of furnace scrubber water will be conducted. President Hockett inquired about the District's efforts regarding State legislation for pollution prevention for mercury. Director of Engineering Ann Farrell responded that a state law was proposed last year to make amalgam separators mandatory for all dentists, but it did not pass. It will come back again this year. There is also fluorescent tube legislation that would require them to be disposed of at Household Hazardous Waste facilities. She stated that the District may wish to consider mandatory amalgam separators for dentists in the service area since 50 percent of influent mercury comes from dentists. In the area of pollution prevention, Mr. Craig stated that, in 2004, 99 Ibs of mercury was collected by the Household Hazardous Waste facility. Mr. Craig responded to questions from Member Menesini regarding treatment of furnace scrubber water. General Manager Batts stated that Engineering is looking into the matter. Ms. Farrell stated that the current plan is for a contract to be presented to the Board in early 2006 for the pilot work on scrubber water treatment. Director of Operations Jim Kelly stated that staff does not expect that the Regional Board will act on the District's permit within the schedule. He stated that staff is hoping to narrow the scope of the permit, and will be working with District Counsel as the process proceeds. I 12-01-05 67 I 2) Lower Orinda Pumping Station Operations Update General Manager Charles Batts stated that, in response to the Board's recent concerns about taking steps to help ensure reliable wet weather operations at the Lower Orinda Pumping Station, Collection System Operations Division Manager Bill Brennan will update the Board. He stated that Mr. Brennan and Director of Operations Jim Kelly have worked with the pumping station staff, Engineering, and Administration to develop the approach to monitoring that station. Collection System Operations Division Manager Bill Brennan presented the rationale for his approach. He stated that the pumping station is fully refurbished and has improved controls and monitoring. There are local and remote alarms, and a separate float alarm in the manhole outside the pumping station. He stated that staff will check the station daily and a guard will be onsite to monitor it at night. Member Lucey inquired about the frequency of station checks and the alarm system. Mr. Brennan stated that a supervisor, three operators and a superintendent are capable of operating the station. One is on call at all times to cover all the pumping stations. He confirmed that there are multiple independent alarms, redundant power and pumps, inline storage, SCADA, and increased station attendance. Member Nejedly indicated that he would like to see a higher level of staffing than currently recommended, at least for the first six months. Member Lucey stressed the importance of cross-training of Pumping Station Operations staff to provide additional capability for station operation. 3) General Manager Charles Batts stated that, with regard to the Alhambra Valley Trunk Sewer Project, the District has a preferred route and has been negotiating for easements for that project since summer 2005. I On October 20,2005, the Board adopted a resolution of necessity to acquire easements through eminent domain along a privately-owned section of Wanda Way. Since adoption of the resolution, staff has reached agreement with 12 of the 13 affected property owners. The last owner has indicated that he is ready to sign the easement documents. On November 17, 2005, the Board approved a similar resolution for a sewer easement along a private section of Strentzel Lane. There is only one property for which the District needs easements; however, the title to the property is clouded and there are as many as 19 parties who may have ownership rights in the road. Staff is working with the District Counsel's Office to complete legal action to perfect title to the property. I Lastly, District staff has been working with staff of the National Park Service to obtain rights or permits to construct the trunk sewer across the John Muir gravesite property. While the District contends that there are pre-existing utility easements across this property, the Park Service disagrees and believes the easements are void. Staff and District Counsel will try to meet with the Park Service to attempt to resolve this issue. So far, the Park Service has not denied the District use of the gravesite for a sewer route. 4) He stated that, if the Park Service denies District use of the gravesite, the District will have to obtain easements through the back or front yards of private homes to the north of the gravesite. Staff may have to request Board approval to initiate condemnation proceedings to cross at least two additional private properties if unsuccessful in convincing the Park Service to use their property. General Manager Charles Batts stated that the District has been informed by Tetra Tech that it will be performing, as a contractor of the U.S. Environmental Protection Agency (EPA), a National Pollutant Discharge Elimination System 12-01-05 68 (NPDES) compliance evaluation of the District's plant within the next three months. This inspection is being conducted on behalf of the Regional Water Quality Control Board and the EPA. This will be the second consecutive inspection by an EPA contract and is a result of a staffing shortage at the Regional Board. Last year's inspection found the District's facilities in excellent condition. 5) General Manager Charles Batts announced the annual Holiday Party will be held on December 16, 2005 at 6:30 p.m. at the Shadelands Auditorium in Walnut Creek. He stated that the Employee Activity Organization sponsors the event each year, which is free to employees and Board Members. I b. COUNSEL FOR THE DISTRICT No reports. c. SECRETARY OF THE DISTRICT No reports. d. BOARD OF DIRECTORS 1) President Hockett, Member of the Budget and Finance Committee, reported that she reviewed the Expenditures and took no exception. It was moved by President Hockett and seconded by Member Lucey to approve the Expenditure List dated December 1, 2005, including Self Insurance Check Nos. 102276 to 102278, Running Expense Check Nos. 158336 to 158499, Sewer Construction Fund Check Nos. 28202 to 28250 as recommended. Motion passed by unanimous vote of the Board. President Hockett also stated that the Comprehensive Annual Financial I Report was approved by the Committee. 6. ENGINEERING a. APPROVE AN INCREASE IN THE COST CEILING OF THE CONSULTING SERVICES AGREEMENT FOR RIGHT-OF-WAY CONSULTING AND APPRAISAL SERVICES WITH ASSOCIATED RIGHT OF WAY SERVICES. INC. General Manager Charles Batts stated that there is a continuing and growing need for right- of-way consulting services in order to meet the demands of the collection system renovation program and to continue work related to District property. Staff is requesting an increase in the cost ceiling of the agreement with Associated Right of Way Services (ARWS) to help with existing projects and District property issues. Associate Engineer Michael Penny provided a brief history of the item. He stated that ARWS and Crossroads were selected through a competitive proposal process, and have been assisting the District since 2003 with right-of-way consultation, appraisal, and acquisition services. In February of this year, ARWS and Crossroads merged and the contracts were merged under ARWS. In July 2005, the ARWS contract was increased to $300,000 due to heavy right-of-way needs in connection with the Vessing Road Sewer I Renovation, Walnut Creek Sewer Renovation and North Orinda Sewer Renovation. Heavy right-of-way needs are continuing and staff is recommending a higher ceiling of $450,000. A new Request for Proposal (RFP) process for right-of-way services will be initiated in spring 2006. He stated that the District is currently considering adding right-of-way staff to decrease the use of consultants. It was moved by Member Menesini and seconded by President Hockett to authorize the General Manager to approve an amendment to the existing agreement with Associated Right of Way Services, Inc., to increase the cost ceiling by $150,000 to $450,000. Motion passed by unanimous vote of the Board. 12-01-05 I I I 69 7. TREATMENT PLANT a. AUTHORIZE THE GENERAL MANAGER TO PRE-PURCHASE NATURAL GAS THROUGH A SERVICE AGREEMENT WITH CORAL ENERGY RESOURCES FOR THE PERIOD OF JULY 1.2006 THROUGH DECEMBER 31,2007 General Manager Charles Batts stated that, in a volatile market, the pre-purchasing of natural gas has proven to be beneficial to the District over the past four to five years. In order to be effective, the District must be in a position to purchase natural gas when timely buying opportunities occur. The position paper before the Board extends the potential pre- purchase period to December 2007. Plant Operations Division Manager Doug Craig presented a report, stating that the District consumes approximately 420,000 decatherms of natural gas per year at an approximate cost of $3,500,000, or 7.4 percent of the District budget. It is used primarily in the cogeneration system. He stated that for this fiscal year, 73 percent of the gas has already been purchased, resulting in a savings of $450,000 in the first five months of the fiscal year. He showed a chart of natural gas futures. He stated that staff will continue to look for seasonal weaknesses and will continue to monitor buying opportunities. Member Lucey requested that the new Purchasing and Materials Manager be included in the process. He stated that he would support additional expense to obtain the services of a consultant if necessary. General Manager Batts stated that staff is currently requesting a ceiling of $10 per decatherm. The current cost of gas is between $12-$13. If staff is unable to purchase gas at $10 or less, it may be necessary to return to the Board with a request to increase the ceiling. It was moved by Member Lucey and seconded by Member Nejedly to authorize the General Manager to pre-purchase natural gas through a service agreement with Coral Energy Resources for the period of July 1,2006 through December 31,2007, at an aggregate price not to exceed $10 per decatherm. Motion passed by unanimous vote of the Board. 8. CORRESPONDENCE a. Receive letter dated November 14, 2005 from United States Senator Barbara Boxer congratulating Central Contra Costa Sanitary District for receiving the first-place National Clean Water Act Recognition Award from the U.S. Environmental Protection Agency. b. Receive letter dated November 16, 2005 from Alamo residents Dick and Charlotte Bottom commending Maintenance Crew Leader Mark Goss and Maintenance Crew Member II Hamid Tehrani for their assistance with a serious waste stoppage in their home. General Manager Batts stated that the CSO crews consistently receive positive comments on customer service surveys. Member Menesini requested a copy of the surveys. 9. HUMAN RESOURCES a. ADOPT RESOLUTION 2005-131 APPOINTING JAMES M. WARRINGTON TO THE POSITION OF PURCHASING AND MATERIALS MANAGER. M-35 ($7.224 - $8,781) EFFECTIVE NOVEMBER 30, 2005 General Manager Charles Batts stated that, in August 2005, Purchasing and Materials Manager Diane Wagner resigned for personal reasons. Staff conducted a recruitment to fill the vacancy. An outside panel interviewed a number of qualified applicants. An eligibility list was established and James M. Warrington was chosen to fill the vacancy. 12-01-05 70 It was moved by Member Nejedly and seconded by Member Lucey to adopt Resolution 2005-131, appointing James M. Warrington to the position of Purchasing and Materials Manager, M-35 ($7,224-$8,781). Motion passed by unanimous vote of the Board. Director of Administration Randy Musgraves introduced Mr. Warrington. 10. APPROVAL OF MINUTES I a. MINUTES OF NOVEMBER 3. 2005 It was moved by President Hockett and seconded by Member Menesini to approve the minutes of November 3,2005. Motion passed by unanimous vote of the Board. 11. BUDGET AND FINANCE a. APPROVE THE COMPREHENSIVE ANNUAL FINANCIAL REPORT AS OF JUNE 30.2005 FOR SUBMISSION TO THE GOVERNMENT FINANCE OFFICERS ASSOCIATION AND CALIFORNIA SOCIETY OF MUNICIPAL FINANCE OFFICERS General Manager Charles Batts stated that the Board is being asked to approve submission of the 2005 Comprehensive Annual Financial Report to the Government Finance Officers Association (GFOA) and, this year, also to the California Society of Municipal Finance Officers (CSMFO). Both the GFOA and the CSMFO are organizations dedicated to the sound management of government financial resources. Both organizations offer a certificate program for outstanding financial reporting. Staff believes it is beneficial to submit the CAFR to both organizations to receive input and review of the Districts financials and the District's compliance with new Government Accounting Standards Board (GASB) pronouncements. President Hockett stated that it is a very informative document and congratulated staff on their work. I b. RECEIVE OCTOBER 2005 FINANCIAL STATEMENT Controller Debbie Ratcliff reported that O&M expenses for October were $3.8 million. Year- to-date O&M expenses were $13,753,000 compared with $15,200,000 budgeted. Year-to- date O&M revenues are at $952,000 versus $792,000 in the budget. There were a few favorable variances, including total labor charges under budget by $608,000; utilities under budget by $129,000 and repairs and maintenance under budget by $247,000. There were no unfavorable variances. With regard to the Sewer Construction Fund, revenues year-to-date are $5,700,000, with expenditures of $12,200,000. Temporary investments are held in LAIF accounts, commercial paper, U.S. T-Bills and a T-note. The LAIF yield for October was 3.46%. 12. EMERGENCY SITUATIONS REQUIRING BOARD ACTION None. 13. ANNOUNCEMENTS/SUGGESTIONS FOR FUTURE AGENDA ITEMS I Environmental Services Division Manager Curt Swanson provided a brief report on a recent East Bay Municipal Utility District water pipe break on the Iron Horse Trail near Rudgear Road. He confirmed that no damage was done to Central Contra Costa Sanitary District pipes. 12-01-05 I I I 71 14. ADJOURNMENT There being no further business to come before the Board, President Hockett adjourned the meeting at 3:00 p.m. ~ \~ ' 7' -< ... ',...... /~ W~ President of the Board of Directors, Central Contra Costa Sanitary District, County of Contra Costa, State of California COUNTERSIGNED: ~ehr? Secretary of the Central Contra Costa Sanitary District, County of Contra Costa, State of California 12-01-05