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HomeMy WebLinkAboutBOARD MINUTES 11-13-08 MINUTES OF THE SPECIAL BOARD MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON NOVEMBER 13, 2008 The District Board of the Central Contra Costa Sanitary District convened in a special meeting at its regular place of meeting, 5019 Imhoff Place, Martinez, County of Contra Costa, State of California, at 2:00 p.m. on Thursday, November 13, 2008. President Lucey called the meeting to order and requested that the Secretary call roll. 1. ROLL CALL PRESENT: Members: Hockett, Menesini, Nejedly, Lucey ABSENT: Members: McGill a. PLEDGE OF ALLEGIANCE TO THE FLAG Board and staff joined in the Pledge of Allegiance to the Flag. 2. PUBLIC COMMENTS None. 3. CAPITAL IMPROVEMENT BUDGET PLANNING WORKSHOP Director of Engineering Ann Farrell presented the Fiscal Year (FY) 2009-10 expenditure recommendations (Moderate Scenario). The totals are $14.4 million for the Treatment Plant, $16.8 million for the Collection System, $10.7 million for General Improvements and $0.6 million for Recycled Water, for a grand total of $42.5 million. This scenario is $17 million less than the Aggressive Scenario, and reflects the deletion of the Cogeneration Replacement Project and reductions in the size of several other projects. The Moderate Scenario allows for more moderate sewer service charge increases. Ms. Farrell described highlights of the Treatment Plant Program, which includes focusing on asset management and construction of a sludge truck loading facility. The current estimate to replace the Treatment Plant is $870 million, which does not include accurate inventory of piping, electrical, etc. Assuming one percent replacement, the budget would need to be $8.7 million per year. She showed a breakdown of assets by initial service life expectancy. The Asset Management Project will develop a more accurate assessment of the value of treatment plant assets and a plan for asset replacement and rehabilitation. Ms. Farrell described the proposed sludge truck loading facility. It will improve reliability by allowing transport and disposal of raw sludge if the incinerators are ever out of service. The total project cost is expected to be approximately $5 million. Book 58 - Page 118 Board Minutes of November 13, 2008 Treatment Plant Program innovations over the past year include conducting a greenhouse gas inventory and developing a Greenhouse Gas Management Plan; commencing a project to investigate innovative ways to comply with future regulations - nitrification and nutrient removal requirements; pilot testing processes for mercury removal from incinerator air emissions and scrubber water; developing an innovative approach to sealing leaks in aeration basins; and completion of state-of-the-art upgrade to the plant control system. Ms. Farrell discussed the projected global warming impact on California for 2070-2099 and the effect of AB 32 (Global Warming Solutions Act). She stated that a comprehensive Greenhouse Gas Management Plan is being developed, and the budget for FY 2009-10 includes funds for a study to be conducted. Potential projects such as alternative energy, if recommended, will be budgeted in FY 2010-11. With regard to the Collection System Program, the largest program, money will be spent in four areas: renovation, capacity, pumping station/force mains, and regulatory compliance. The majority of funding, approximately $11.2 million, will be spent on renovations, with pumping station, capacity and other projects increasing the total to $16.8 million. The program to televise all miles of public gravity mains began in 2002, and 1,017 miles have been TV'd to date. She explained the sewer line TV results, stating that approximately 95 miles of 6, 8, and 10-inch pipe are in need of renovation. Twenty miles of pipe have been renovated to date. Under the Moderate Expenditure Scenario, it is projected to take approximately 12.5 years to renovate the remaining 75 miles of pipe identified as needing repair. Ms. Farrell compared the District's sewer renovation program and sewer age with that of other agencies. Collection System Program innovations include a successfully-executed tunnel grade correction on the A-Line project; development of a TV program linked with renovation; demonstrated leadership in the use of trench less technology; and development of a state of the art geographical data integration platform. Future General Improvements Program highlights include maintenance of basic programs, funding future building needs, and funding a seismic retrofit program. The seismic retrofit program will address the warehouse building at 4737 Imhoff Place, the Headquarters Office Building and Plant Operations Building, and the Treatment Plant buildings and pumping stations. The amount of $3.5 million has been budgeted for retrofitting the warehouse and Headquarters Office Building. Additional funds, if needed, will have to be budgeted in next year's plan. Recycled Water Program highlights include maintaining the basic landscape program continuing to add cost-effective connections to the existing backbone, as well as continuing to make needed capital improvements to the existing system. Staff will also develop a strategic approach to maximize year-round recycling for industrial and other purposes, but he cost to construct such a large scale project is currently not budgeted. Book 58 - Page 119 Board Minutes of November 13, 2008 Fiscal Year 2009-10 expenditure recommendations for the Moderate Scenario are $14.4 million for the Treatment Plant, $16.8 million for the Collection System, $10.7 million for General Improvements, and $0.6 million for Recycled Water, for a total expenditure of $42.5 million. The preliminary estimate for Capital revenue for FY 2009-10 is $30.6 million. Using these preliminary figures, the Sewer Construction Fund balance is budgeted to be down by approximately $12 million to $42 million. Ms. Farrell concluded her presentation, stating that the Board is being asked to concur that proposed preliminary expenditure figures for FY 2009-10 and the subsequent nine years are acceptable for inclusion in financial planning documents to be reviewed by the Board in January 2009. The Board is also being asked to concur that relative emphasis and allocation of expenditures between the four programs is acceptable for financial planning purposes and development of the detailed FY 2009-10 Capital Improvement Budget and Ten Year Capital Plan. Board Members thanked Ms. Farrell for her comprehensive presentation and concurred with the recommendations as proposed. 4. REPORTS AND ANNOUNCEMENTS General Manager James Kelly announced that the arbitrator has upheld the staff decision in the discipline of Kiley Kinnon. General Manager James Kelly announced that the Local Agency Formation Commission (LAFCO) approved the District's out of agency service agreements for three properties at its meeting of November 12, 2008. General Manager James Kelly announced that East Bay Municipal Utility District (EBMUD) has reversed its prior decision and has now issued an exemption for the District from the recall of EBMUD hydrant meters. He stated that, with the Board's concurrence, he will send a letter to EBMUD thanking them for their decision. 5. EMERGENCY SITUATIONS REQUIRING BOARD ACTION a. DECLARE AN EMERGENCY AND AUTHORIZE THE GENERAL MANAGER UNDER PUBLIC CONTRACT CODE 22050(1 )(B) TO CONTINUE WITH EMERGENCY REPAIRS ON THE CREEK CROSSING NEAR MOSSWOOD DRIVE IN LAFAYETTE BY K. J. WOODS CONSTRUCTION Associate Engineer Michael Penny presented an informational report regarding the Mosswood Drive Creek Crossing emergency repair. He stated that in July, 2008, as part of the current construction work for the Lafayette Sewer Renovation, the District's contractor, K.J. Woods, was requested to provide an estimate to replace a damaged creek crossing near Mosswood Drive in Lafayette. Delays in the fabrication and delivery of the pipe pushed construction of the creek crossing past October 15, 2008, the deadline in the California Department of Fish and Game (F&G) permit. Book 58 - Page 120 Board Minutes of November 13, 2008 While investigating the Mosswood Creek crossing site on November 3,2008, a District inspector noticed sewage flowing into the creek from under the creek crossing pipe. The Collection System Operations Department (CSO) was notified and immediately set up temporary bypass pumping to prevent further sewage release. TV inspection showed that the sewer is damaged downstream of the connection of the creek crossing to the sewer main in an area separate from that included in the original quote and the F&G application. The creek crossing pipe and the damaged sewer need to be replaced as soon as possible to prevent another overflow. K.J. Woods has started preparatory work outside the creek bank for replacing the creek crossing and repairing the sewer. Due to the emergency nature, this work has been authorized by staff, but may exceed the General Manager's $50,000 authority. A permit application had been submitted to F&G in early July 2008 to replace the damaged creek crossing pipe. No response was received from F&G until November 5, 2008. The District was informed by F&G that, if no response had been received by the District to the permit application within 90 days, that the District could proceed with the work under operational law. The 90-day limit expired on October 8, 2008. However, the only work that can be done is what was in the permit application, which did not include the repair of the leaking sewer discovered downstream of the creek crossing. F&G Code Section 1610 exempts certain types of emergency work from notification requirements in Section 1602. The Board of Directors needs to declare an emergency so that the contractor can proceed with the creek crossing and sewer replacement for both the original intended scope of work and the added repair. The District is required to notify F&G within 14 days of starting emergency work. This emergency declaration will also allow the General Manager to authorize work in an amount greater than $50,000, if needed. District Counsel Kent Aim stated that, in accordance with Public Contracts Code Section 22050(b)(1), the Board may, by a four-fifths vote of its members, declare an emergency and authorize the General Manager to take immediate action without giving notice for bids. The Board must initially review the action not later than seven days after the action and at least every regularly scheduled Board meeting thereafter until the action is terminated, to determine by a four-fifths vote that there is a need to continue the actions. It was moved by Member Nejedly and seconded by Member Menesini to authorize that there is a need to continue the emergency action for repairs by K. J. Woods Construction on the creek crossing near Mosswood Drive in Lafayette pursuant to Public Contract Code 22050(1)(b). Motion passed by the following vote of the Board: AYES: NOES: ABSENT: Members: Members: Members: Hockett, McGill, Nejedly, Lucey None McGill Book 58 - Page 121 Board Minutes of November 13, 2008 6. ADJOURNMENT There being no further business to come before the Board, President Lucey adjourned the meeting at 2:51 p.m. Gerald R. Lucey President of the Board of Directors, Central Contra Costa Sanitary District, County of Contra Costa, State of California COUNTERSIGNED: @2&~v--e--- Elaine R. Boehme Secretary of the Central Contra Costa Sanitary District, County of Contra Costa, State of California Book 58 - Page 122