HomeMy WebLinkAboutBOARD MINUTES 12-15-05 72 MINUTES OF THE REGULAR BOARD MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON DECEMBER 15, 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 15, 2005. President Hockett called the meeting to order and requested that the Secretary call roll. I 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. INTRODUCTIONS Board Members welcomed newly-hired Administrative Assistant Deborah McBride. 2. PUBLIC COMMENTS There were no public comments. 3. CONSENT CALENDAR I It was moved by Member Nejedly and seconded by Member Lucey to approve the Consent Calendar, consisting of Items a. through d. as recommended and to authorize recordings. Motion passed by unanimous vote of the Board. a. Accept the contract work for the North Clarifier Paving Project, District Project 6153, and authorize the filing of the Notice of Completion. 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 5792 (Gable Lane, Lafayette). c. Authorize medical leave of absence without pay for Harrell Dean McNeely, Mechanical Supervisor, through March 2, 2006. d. Authorize the General Manager to execute a five-year lease with Caltrans for the use of property located off Imhoff Drive. a. 4. HEARINGS CONDUCT PUBLIC HEARING TO RECEIVE PUBLIC COMMENT AND ADOPT RESOLUTION PLACING DELINQUENT VIOLATION OF ILLEGAL ENCROACHMENT CHARGE ON THE COUNTY TAX ROLL FOR COLLECTION I General Manager Charles Batts stated that the public hearing is required in order to adopt a resolution to place delinquent charges on the County tax roll for collection. The incident, a private contractor damaging a sewer line, occurred in December of 2003 and since that time staff has been attempting to collect the cost of repairs from the homeowner. These charges are now delinquent. 12-15-05 73 I Director of Administration Randy Musgraves presented a report, stating that on December 18, 2003, the District issued a Notice of Violation of Illegal Encroachment to Mr. and Mrs. Carlos Vasquez related to the construction of a home addition at 6215 Alhambra Road in Pleasant Hill. The contractor drilled into the sewer line while attempting to place a.pier for the house foundation. Cement was placed in the line, creating a sewer spill and emergency situation. The contractor replaced the blocked sewer line, but the cost of the emergency response created the outstanding bill. On December 26,2003, the homeowners signed an agreement to reimburse the District for all costs to the District due to the encroachment. The homeowners were billed $13,257.16 for the emergency response costs. After several cooperative discussions with Mrs. Vasquez, payments of $4,000 and $3,200 were received on August 5, 2005 and November 29, 2005. A balance of $6,057.16 currently exists. He stated that no further payments have been received and a dispute between the homeowner and contractor continues. He concluded that staff recommends holding a public hearing and adopting a resolution placing the charge on the County tax roll for collection. The public hearing was opened and closed without comments. It was moved by Member Lucey and seconded by Member Menesini to adopt Resolution 2005-132, placing a delinquent charge of $6,057.16 on the County tax roll for collection. Motion passed by unanimous vote of the Board. 5. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER General Manager Charles Batts stated that there is an item that the District became aware of after the publication of the agenda which requires immediate action. The Board has received a proposed Position Paper describing the issue, which is a request for authorization to discuss the deployment of District employees to New Orleans. He stated that the Board needs to vote to add the item to the agenda in order to provide input to staff. The item concerns providing aid to utilities in the hurricane-stricken area of New Orleans. I District Counsel Kent Aim explained that the item can be added to the agenda after its publication as a matter of urgency, which requires a two-thirds vote of the Board Members present, i.e. four members. It must be determined that the matter came to the attention of staff after the agenda was posted, and that it is of an urgent nature requiring action prior to the next Board meeting. Member Boneysteele indicated that he had a question. President Hockett requested that a motion be made to add the item to the agenda prior entertaining any questions. It was moved by Member Menesini and seconded by Member Nejedly to add the item to the agenda. Member Boneysteele stated that he felt he was not fully informed on the matter and unable to vote. Member Lucey stated that he would not support the motion as he would like to hear Member Boneysteele's question first. The motion did not achieve the required four votes and failed by the following vote of the Board: I AYES: Members: Menesini, Nejedly, Hockett NOES: Members: Boneysteele, Lucey ABSTAIN: Members: None Member Boneysteele stated that he felt his question was in order. District Counsel Aim explained that, if Member Boneysteele's question related to the motion to add the item to the agenda, it was in order. However, if his question related to the substance of the item, then the item must be added to the agenda first. 12-15-05 74 Member Boneysteele stated that he reviewed the posted agenda and did not see the item listed. District Counsel Aim stated that the item arose after publication of the agenda and must be added to the agenda by a two-thirds vote of the Board. He stated that the item may be reconsidered due to the nature of Member Boneysteele's question. It was moved by Member Menesini and seconded by Member Lucey to add the item to the agenda. Motion passed by unanimous vote of the Board. General Manager Batts stated that, for several months the District has explored avenues to be part of an aid effort to the recovery of wastewater utilities in the southeast. The statewide organizations of CASA and CWEA, as well as the State's EOA, were contacted without result. The distance and logistics for such an effort make it very difficult to respond and difficult to know the areas of need. The local efforts were very reactive and unorganized. During this period, discussions were held with East Bay Municipal Utility District (EMBUD) on their efforts to respond to this catastrophe. After several months EBMUD, working through the City of Portland which currently has people in New Orleans, is mobilizing an effort. He stated that this response has been developed over the last week, and EBMUD feels a sense of urgency to get people on the ground. Staff is requesting guidance from the Board before any commitment is made to include District employees in the effort. I Craig Mizutani, Associate Engineer in Plant Operations, presented a report. He stated that District staff has met with EBMUD twice, and one of those meetings was a conference call with the Sewer and Water Board of New Orleans (SWBNO). SWBNO indicated that they have lost most of their facilities, tools, vehicles and equipment. Most of their employees have not been paid and have left. Very limited utility service has been restored. FEMA is now involved, and is trying to bring people back into the area by providing housing trailers. The trailers, however, require utilities, which are not readily available. He stated that the City of Portland was one of the first responders, and employees have I been there for over 90 days. Portland provided help through an Emergency Management Assistance Compact (EMAC). They were able to establish housing, a command center, conduct damage assessment and establish a work order system. They have also provided operations and maintenance staff. Portland employees are anxious to return home, but will train a replacement agency. EBMUD has volunteered to take over Portland's position, and hopes that other agencies will follow. EBMUD can fill many of SWBNO's needs but is requesting assistance from other California agencies. Those needs have been identified as Engineers, Wastewater Pump Station Operators, Storm/Drainage Pump Station Operators, Electricians, and others including Fleet Mechanics and Industrial and Household Hazardous Waste staff and Source Control Inspectors. They will work independently under EBMUD/SWBNO direction. EMBUD is asking for a one-month commitment in 2-week rotations. Housing, dining, sanitary facilities will be provided at the Algiers Water Treatment Plant, with security provided by the National Guard. In response to questions from Member Menesini, Mr. Mizutani stated that, as yet, Portland has not been reimbursed by FEMA. He stated that the District's reimbursement process would be handled through EBMUD, who would have an EMAC with SWBNO. Any reimbursement from FEMA is expected to take some time. Member Lucey questioned the projected cost estimate of $25,000 per person per month. He stated that he understands that people are working 16 hours per day, seven days a week and asked what the cost to the District would be. He asked whether employees can waive their overtime costs. He stated that he would like additional information prior to making a decision. 12-15-05 I I I I 75 General Manager Batts stated that, using a 14-hour day, 7 days a week, for five typical positions at E-step, the projected cost came out to be $141,000 for a month, including benefits. Member Boneysteele expressed concern regarding the adequacy of support services and security. Mr. Mizutani responded that support services and security appear to be adequate. Member Boneysteele requested that the General Manager make sure the security and support services are adequate for any District employees who participate. General Manager Batts stated that he will return to the Board with more detailed information regarding those matters and others. Member Menesini concurred with Member Boneysteele's concerns. He stated that this is an opportunity to obtain valuable, first-hand knowledge and understanding of what happens in an emergency, and also provides the opportunity to perform a humanitarian deed. Member Nejedly asked whether volunteers may be given the option to donate their overtime. He asked whether any District staff have come forward to volunteer. General Manager Batts responded that, so far, approximately 19 employees have expressed interest in participating, although not that many will likely be needed. Member Nejedly asked whether the District would be left short-handed during the wet weather season and whether the District would incur extra overtime costs. General Manager Batts responded that positions that would probably be sent to New Orleans would not include a Pump Station Operator because of the need to have adequate staffing for the Lower Orinda Pumping Station. Following clarification by Member Lucey on what was being requested, it was moved by Member Menesini and seconded by Member Boneysteele to authorize the General Manager to proceed on a planning level with EBMUD regarding deployment of District staff volunteers to New Orleans, subject to formal Board approval once more information has been obtained. Motion passed by unanimous vote of the Board. Member Nejedly stated that, although he was not prepared to vote on this matter today, comments from Member Menesini convinced him otherwise. He stressed the importance of obtaining first-hand knowledge of disaster relief. Member Lucey asked staff to check with the Management supporUConfidential Group and Local One to see if they would waive overtime expenses for volunteers. Member Boneysteele made comments and expressed his opinion on the lack of national response to the disaster and stated that the District should do what it can to assist. He stated that District staff has great expertise and skill to offer, and expressed wholehearted support for the motion. President Hockett thanked staff for their efforts. She stated that this is an opportunity for the District to offer expert assistance to the people of New Orleans and to obtain vital experience in disaster response. 6. REPORTS a. General ManaQer 1) Update on Caltrans Lease at Collection System Operations Division Facilities (CSO) General Manager Charles Batts stated that, while staff is revising the alternatives for the CSO facilities project and working to make the best use of the site, staff has moved forward with leasing the adjacent Caltrans parcel to expand the amount of lower yard space at CSO. Expanding yard space would benefit existing operations and would enhance any future improvements to the facilities. 12-15-05 76 Associate Engineer Don Berger provided an update on the status of leasing the Caltrans property. He described the history of the site, stating that Caltrans reduced CSO yard space in 1994 by purchasing land for freeway construction. In November 2004 the CSO Alternatives Analysis identified the desirability of leasing the Caltrans property to restore lost yard space. In March 2005 preliminary approval was obtained from the City of Walnut Creek staff, and in August 2005 preliminary approval was obtained from Caltrans. He stated that the parcel is 0.5 acres in size, and, if leased, the District would have to pave the site and provide landscaping for screening. The estimated project cost is I $400,000 and the lease cost would be approximately $2,000 - $3,000 per month. The landscaping would be $25,000-$50,000 of the project cost. He outlined the proposed project schedule, which is expected to be completed by November 2006. 2) Update on GASB 45 General Manager Charles Batts stated that, at the Board meeting of October 20, 2005, he announced that the actuarial firm of AON had been engaged to calculate the District's unfunded liability under the Government Accounting Standards Board Statement 43 and 45. This Statement requires public agencies to calculate the current liability associated with the future costs of providing health care, as well as other benefits, to retirees. That calculation has been completed. He stated that staff will bring the final report with funding options and recommendations to the Board at the Financial Planning and Policy Workshop scheduled for January 26, 2006. Controller Debbie Ratcliff reviewed the results of the actuarial study conducted by Aon Consulting. She stated that Statements 43 and 45 require the calculation and reporting of unfunded liabilities for the District's post-employment benefits. The post- retirement medical benefits valuation must disclose future costs incurred by present employees, which consist mainly of post-retirement medical costs. The final I implementation dates for the Statements are December 2006 for Statement 43 and December 2007 for Statement 45. She described options for addressing the unfunded liability, including establishing present value for future benefit costs to be carried on the books as an unfunded liability; establishing a trust fund to pay future costs of financial obligations; or establishing a dedicated reserve account. She described the pros and cons of each option. She described the assumptions used in the calculation, which was based on GASB- directed assumptions, CCCERA assumptions, the current number of employees and retirees, and actual trends. She showed a chart of possible amortization period options and discount rates, stating that the District's total liability is projected to be approximately $87 million amortized for 30 years. She said she contacted other special districts and described how they plan to address their unfunded liabilities. She concluded that staff will come back in January at the Board Workshop with funding options, alternatives and staff recommendations. In response to a question from Member Lucey, Ms. Ratcliff stated that EBMUD's I liability is lower than the District's for two main reasons: EBMUD limits the reimbursement of health care costs of retirees to about $500 a month, and they also invest the funds in a trust fund which receives a high interest return. Human Resources Manager Cathryn Freitas confirmed that the District, for Tier II employees, does have a cap on retiree medical for anyone over 65, and only pays 50% of the cost of retiree medical for retirees over 65. 12-15-05 I I I 77 Member Lucey requested that information on Contra Costa County be included in any comparisons presented to the Board at the January workshop. Ronnie Theirman, Aon Consulting, responded to questions from Member Boneysteele regarding assumptions and how calculations were made. 3) General Manager Charles Batts announced the seasonal closure of Household Hazardous Waste Collection Facility between December 23 and December 31,2005. He stated that HHW staff may opt to work on administrative and housekeeping projects, or use leave during the holiday closure. Facility closure notices have been posted. 4) General Manager Charles Batts announced that Associate Engineers Gary Rathunde and Munawar Husain will attend the annual World of Concrete Conference in Las Vegas on January 16 through 21,2006. This specialty conference provides information about the latest technologies in the construction, repair, and maintenance of concrete structures. This training is applicable to a wide array of construction and O&M work at the District. This training is included in the 2005/06 Engineering Training and Conference budget. 5) General Manager Charles Batts stated that the Board should have received copies of the last three months of the CSO User feedback forms, as requested. b. COUNSEL FOR THE DISTRICT No reports. c. SECRETARY OF THE DISTRICT Secretary of the District Elaine Boehme announced two upcoming State of the City Address luncheons for the Cities of San Ramon and Walnut Creek to be held on January 10, 2006. d. BOARD OF DIRECTORS 1) Member Lucey, Chair of the Budget and Finance Committee, reported that he reviewed the Expenditures and took no exception. It was moved by Member Lucey and seconded by President Hockett to approve the Expenditure List dated December 15, 2005, including Self Insurance Check Nos. 102279 to 102280, Running Expense Check Nos. 158500 to 158684, Sewer Construction Fund Check Nos. 28251 to 28290, Payroll Manual Checks Nos. 49080 to 49081 and Payroll Regular Checks Nos. 55652 to 55677 as recommended. Motion passed by l:.Inanimous vote of the Board. 2) Member Nejedly presented report of the December 7, 2005 Outreach Committee Meeting. He noted that he endorsed staff's recommendation to bring a proposal to the full Board to institute a mandatory amalgam separator program for the dentists in the service area. The Board accepted the report without comments. 3) Member Menesini announced that he has prepared a list of proposed Board Committee assignments for 2006 and requested feedback from Board Members. 12-15-05 78 7. TREATMENT PLANT a. AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT IN THE AMOUNT OF $67,100 WITH MAINSAVER SOFTWARE. LLC. FOR THE PURCHASE AND IMPLEMENTATION OF ITS MAINTENANCE MANAGEMENT SOFTWARE FOR PLANT OPERATIONS General Manager Charles Batts stated that staff is recommending the replacement of the 10-year-old Maintenance Management software program currently used by the Plant Operations Division with an updated version. The current software program has not been I supported for over 4 years; and poses the risk that future upgrades of the computer the maintenance software runs on will render it inoperative. This would make very difficult to perform proactive maintenance until a new software program was in place and operational. Using the proposed software program also allows the District to retain access to over 10 years of maintenance history on plant equipment. He concluded that staff recommends authorizing the General Manager to execute an agreement in the amount of $67,100 with Mainsaver Software, LLC. Staff responded to questions from Member Boneysteele regarding data transfer. It was moved by Member Menesini and seconded by Member Boneysteele to authorize the General Manager to execute an agreement in the amount of $67,100 with Mainsaver Software, LLC. Motion passed by unanimous vote of the Board. 8. APPROVAL OF MINUTES It was moved by President Hockett and seconded by Member Nejedly to approve the minutes of November 10 and November 17, 2005. Motion passed by unanimous vote of the Board. 9. EMERGENCY SITUATIONS REQUIRING BOARD ACTION I None. 10. ANNOUNCEMENTS/SUGGESTIONS FOR FUTURE AGENDA ITEMS None. 11. ADJOURNMENT There being no further business to come before the Board, President Hockett adjourned the meeting at 3:28 p.m. ~<<~~.{eUe $S~' President of the Board of Directors, Central Contra Costa Sanitary District, County of Contra Costa, State of California COUNTERSIGNED: I ~ Secretary of the Central Contra Costa Sanitary District, County of Contra Costa, State of California 12-15-05