HomeMy WebLinkAboutBOARD MINUTES 06-01-06
MINUTES OF THE REGULAR BOARD MEETING
OF THE DISTRICT BOARD OF THE
CENTRAL CONTRA COSTA SANITARY DISTRICT
HELD ON JUNE 1, 2006
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, June 1, 2006.
President Menesini called the meeting to order and requested that the Secretary call roll.
1. ROLL CALL
PRESENT: Members: Boneysteele, Hockett, Lucey, Nejedly, Menesini
ABSENT: Membe~: None
a. PLEDGE OF ALLEGIANCE TO THE FLAG
Board and staff joined in the Pledge of Allegiance to the Flag.
2. PUBLIC COMMENTS
None.
3. CONSENT CALENDAR
It was moved by Member Lucey and seconded by Member Hockett to approve the Consent
Calendar, consisting of Items a. through e., to adopt resolutions, and to authorize
recordings. Motion passed by unanimous vote of the Board.
a. Adopt Resolutions 2006-028 and 2006-029 accepting public sewer improvements
and offers of dedication from Rebecca S. Lindstrom and Linhares Lane LLC, in the
Alamo area, Job 5791, Parcels 2 and 3, and authorize staff to record documents with
the Contra Costa County Recorder.
b. Accept the contract work for the Solids Conditioning Building (SCB) Ventilation
Improvements Project, Phase 2, District Project No. 7227 by Monterey Mechanical
Company, and authorize the filing of the Notice of Completion.
c. Accept the contract work for the Treatment Plant Protective Coating, Phase 3, District
Project No. 7233 by Kaweah Construction Company, and authorize the filing of the
Notice of Completion.
d. Advise the Board of the closeout of the Walnut Creek Sewer Renovations, Phase 3,
District Project No. 5929.
e. Authorize two Chemists' attendance at Demonstrations of Inductively Coupled
Plasma/Mass Spectrometers in Seattle, Washington.
4. HEARINGS
a. CONDUCT PUBLIC HEARINGS TO RECEIVE PUBLIC COMMENT ON THE FY
2006-2007 OPERATIONS AND MAINTENANCE BUDGET, DEBT SERVICE FUND
BUDGET AND THE SELF-INSURANCE FUND BUDGET AND FOR THE
ESTABLISHMENT OF THE SEWER SERVICE CHARGE RATE FOR 2006-2007 OF
$289, AND ON PLACING CURRENT SEWER SERVICE CHARGES ON THE
COUNTY TAX ROLL FOR COLLECTION
General Manager Charles Batts stated that District Code and State law require holding
public hearings for the establishment of the Sewer Service Charge rates and for placing the
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Board Minutes of June 1, 2006
rates on the County tax rolls for collection. Although not required by law, the District will
also hold a public hearing to receive comments on the 2006-2007 Operations and
Maintenance (O&M) Budget, Debt Service Fund Budget, and the Self-Insurance Fund
Budget.
He stated that the Board will be asked to approve the 2006-07 O&M Budget, the Debt
Service Fund Budget, and the Self-Insurance Fund Budget as well as to adopt a resolution
establishing the Sewer Service Charge at a rate less than that in the 2004 ordinance and to
approve a resolution authorizing collection of the 2006-07 Sewer Service Charge on the
County tax rolls.
Controller Debbie Ratcliff presented a brief report, stating that total District revenues are
expected to be $85,764,000 and expenses $88,959,356. Fund balances will be drawn
down by $3,195,356. She recapped the O&M budget and described key increases to the
2006-07 budget, most of which is caused by increases to salary and benefits. $5 million is
also included for GASB 45 post retirement benefits, and this will remain unencumbered in
the budget until the Board decides to take further action.
Ms. Ratcliff stated that a public hearing is also necessary to authorize placing the sewer
service charges on the County tax roll.
Ms. Ratcliff explained that, while $5 million is being allocated for GASB 45, $2 million of that
will be spent to pay for current retirement benefits.
In response to a question from Member Lucey, Mr. Batts confirmed that the Board is not
making a decision today on whether or not to establish a trust or dedicated reserve.
Member Lucey requested information on what the ratepayer is paying when ad valorem tax
is included. Ms. Ratcliff responded that the ad valorem tax amounts to approximately $71
residential unit equivalent (RUE) in addition to the $289 per RUE sewer service charge.
The public hearings were opened and closed without comments.
It was moved by Member Lucey and seconded by Member Nejedly to approve the FY 2006-
2007 Operations and Maintenance Budget, Debt Service Fund Budget and Self-Insurance
Fund Budget. Motion passed by unanimous vote of the Board.
It was moved by Member Hockett and seconded by President Menesini to adopt Resolution
2006-030, establishing the 2006-2007 Sewer Service Charge rate at $289 per RUE. Motion
passed by the following roll call vote:
AYES:
NOES:
Members:
Members:
Boneysteele, Hockett, Menesini
Lucey, Nejedly
It was moved by Member Hockett and seconded by Member Lucey to adopt Resolution
2006-031 authorizing collection of the FY 2006-2007 Sewer Service Charges on the County
tax roll. Motion passed by unanimous vote of the Board.
5. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER
None.
6. BIDS AND AWARDS
a. AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $1,316,000 TO
KAWEAH CONSTRUCTION COMPANY, THE LOWEST RESPONSIVE BIDDER.
AUTHORIZE THE GENERAL MANAGER TO EXECUTE CONTRACT
DOCUMENTS, AND AUTHORIZE THE GENERAL MANAGER TO EXECUTE A
PROFESSIONAL SERVICES AGREEMENT NOT TO EXCEED $70,000 WITH ATI
ARCHITECTS AND ENGINEERS FOR THE CONSTRUCTION OF THE CHEMICAL
FEED BUILDING RENOVATION PROJECT, DISTRICT PROJECT NO. 7226
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Board Minutes of June 1, 2006
General Manager Charles Batts stated that the Chemical Feed Building was part of the high
lime treatment process envisioned in the initial operation of the treatment plant. The building
was constructed over 30 years ago and needs structural and operational restoration. Work
includes structural reinforcement, demolition of obsolete lime addition equipment,
modification of the concrete diversion channel, and installation of new slide gates. The
project was advertised in April and bids were opened on May 16, 2006.
Senior Engineer Ba Than gave a brief overview of the project. He stated that the building is
about 30 years old. During an inspection in 2004 corrosion was found in the concrete
diversion channel. The proposed project will replace existing drop gates with new slide
gates to facilitate expansion of the primary process. He described the scope of work,
stating that the Engineer's Estimate is $950,000. Two bids were received, with the lowest
bid being from Kaweah Construction in the amount of $1 ,316,000. He stated that the high
bid could possibly result from rising metals prices, and an abundance of projects available
for bidding. Other agencies have been experiencing the same problem.
Member Nejedly asked Mr. Than if staff had considered delaying the project until the fall to
attract more bidders. Mr. Than stated that the project needs to be completed during the low
flow period during the summer.
In response to a question from Member Hockett, Mr. Than responded that the District
primarily stopped using lime in the primary tanks about 19 years ago but some lime was
used up until about 6 years ago.
Director of Operations Jim Kelly confirmed that it is staff's intention to use part of the
building as a warehouse, since it would be quite expensive to demolish it.
It was moved by Member Hockett and seconded by Member Nejedly to award a
construction contract in the amount of $1 ,316,000 for construction of the Chemical Feed
Building Renovation Project, District Project No. 7226 to Kaweah Construction Company,
the lowest responsive bidder, to authorize the General Manager to execute contract
documents, and to authorize the General Manager to execute a professional services
agreement not to exceed $70,000 with ATI Architects and Engineers. Motion passed by
unanimous vote of the Board.
7. REPORTS
a. GENERAL MANAGER
1) Sanitary Sewer Overflow (SSO) Waste Discharqe Requirements
General Manager Charles Batts stated that the State Water Resources Board
adopted statewide SSO provisions as a Waste Discharge Requirement (WDR) for all
Collection Systems in May, 2006. The program is similar in many ways to that of
Regional Board which the District is already required to meet, except it will be
implemented statewide. The goal of the program is to reduce collection system
overflows statewide. The District has been working toward this goal with a focus on
increased cleaning schedules and construction projects.
Collection System Operations Division Manager Bill Brennan described the program
scope. He stated that the program was adopted on May 2, 2006 by the State Water
Resources Control Board. The District must submit an application for coverage
under the WDR by December 2, 2006. Electronic reporting must begin by December
2, 2006 if the State is ready. Otherwise, the District will continue reporting to the
Regional Board. A Sewer System Management Plan (SSMP) must be completed by
May 2, 2009.
He summarized by stating that the program will create an electronic database that
anyone can access. The WDR will exert pressure statewide to reduce sewer system
overflows and the District will continue to take measures to reduce such overflows.
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Board Minutes of June 1, 2006
2) Review Draft Pipeline Newsletter
General Manager Charles Batts stated that the District's spring Pipeline newsletter is
being prepared for printing and mailing. The Board has received a draft copy for
review and comment. The typical cover story for this issue dealing with the Sewer
Service Charge is attached as two draft rate articles, and the appropriate one will be
incorporated, based on the Board's decision.
Communication Services Manager Harriette Heibel reviewed the newsletter and
asked for Board input or comments. She stated that the newsletter will be mailed out
towards the end of June.
Member Hockett complimented staff on the layout and content of the newsletter.
3) Repair to NO.4 South Quad Clarifier
General Manager Charles Batts stated that the Treatment Plant Protective Coating
and Piping Renovations Project, Phase 3, has been completed. This project includes
the repair work to South Quad Clarifier NO.4 for damage sustained in August 2005.
Assistant Engineer Nathan Hodges presented a report on the and showed
photographs of where piping has been repaired. He described the project and stated
that repair of the clarifier has been completed at a total cost of $167,839.
4) General Manager Batts announced that bids for construction of the Phase 1
segment of the Alhambra Valley Trunk Sewer Project will be opened on June
20, 2006. If the bids are in order, the Board will be asked to award the
construction contract for the Phase 1 portion of the project on July 6, 2006.
He stated that staff is also completing an agreement with Security Owners
Corporation to provide sewer service to a 23-home subdivision in the
Alhambra Valley. In early 2004, Security Owners Corporation offered to
contribute $400,000 toward design and construction of a gravity trunk sewer to
serve the Alhambra Valley in lieu of constructing a temporary pumping station
and forcemain to serve their development. Staff plans to present the service
agreement for approval by the Board on June 15, 2006.
5) General Manager Batts announced that the District has previously used Valley
Engineering to aid in the inspection for developer projects during the heavy
summer construction season. Valley Engineering plans to use Tom Trice, a
District retiree as their employee to work with the Development Inspection
Work Group for 8 to 12 weeks this summer due to the continuing high demand
for main sewer extension and side sewer installation. Mr. Trice is an
employee of Valley Engineering Group, which has an existing Technical
Engineering Services Contract with the District.
6) General Manager Batts announced that open enrollment for Kaiser and
HealthNet is underway through June 19, 2006. The District is having a Health
and Safety Fair on June 2, from 11 :00 am. to 2:00 p.m. in the Multi-Purpose
Room. Vendors for safety products, as well as all the benefit providers, will be
available to answer questions.
7) General Manager Batts announced that attorneys Hansen Bridgett will be
providing Harassment Avoidance training for the District in June. All District
employees will be required to attend one of six sessions that will be held
during the last two weeks of June. The training meets the State requirement
for two hours of interactive Harassment Avoidance training for supervisors.
Attendance at this type of training is required for supervisors every two years
starting January 2006.
Book 54 - Page 169
Board Minutes of June 1, 2006
8) General Manager Batts announced that District staff recently purchased a six-
month strip of natural gas for the period January through June 2007 for $8.89
per decatherm. This purchase completes the FY 2006-2007 natural gas
prepurchases with an aggregate burner tip price of $8. 56/DT. This expense
represents an increase of 16 percent over FY 2005-2006 but is approximately
2 percent less than the budgeted amount. This purchase occurred at a six
month low for the period of purchase and reflects advice from the natural gas
experts. Natural gas prices are projected to increase substantially, especially
if a major hurricane hits the Gulf Coast.
9) General Manager Batts announced that Senior Engineering Assistant Rick
Hernandez will be traveling to Denver, Colorado to attend the International
Right of Way Association's Annual Education Conference. The conference
will be held June 18 through 21, 2006. The focus of this conference deals
solely with engineering, acquisition and appraisal of rights of way. Travel to
this out of state conference is included in the 2005-06 Engineering Department
budget.
b. COUNSEL FOR THE DISTRICT
District Counsel Aim stated that a Section 998 offer of $300,000 has been made to Suzanne
Brown.
c. SECRETARY OF THE DISTRICT
Secretary of the District Elaine Boehme announced that District Counsel Kent Aim has put
together a two-hour ethics training session in compliance with AB 1234. The training may
be conducted during a regular or special board meeting at no additional cost to the District.
She stated that staff also recommends that the "designated employees" also required to
attend the training should be the General Manager, Department Directors, and Secretary of
the District.
Board Members requested that the training be conducted at a board meeting scheduled
solely to conduct the training some time after August. They concurred with the
recommendation that the General Manager, Department Directors, and the Secretary of the
District be the employees designated to receive the training.
d. BOARD OF DIRECTORS
1) Member Hockett, Chair of the Budget and Finance Committee, reported that
the Committee reviewed the Expenditures and recommends approval. It was
moved by Member Hockett and seconded by Member Boneysteele to approve
the Expenditure List dated June 1, 2006, including Self Insurance Check Nos.
102325 to 102330, Running Expense Check Nos. 160839 to 160995, and
Sewer Construction Fund Check Nos. 28670 to 28711. Motion passed by
unanimous vote of the Board.
2) Member Nejedly reported on the May 25, 2006 Personnel Committee Meeting.
The Board received the report without comments.
3) President Menesini announced the upcoming Environmental Alliance meeting
on June 19, 2006 regarding Risk and Regulation.
8. ENGINEERING
a. AUTHORIZE THE GENERAL MANAGER TO EXECUTE AN AGREEMENT WITH
HARRIS AND ASSOCIATES IN AN AMOUNT NOT TO EXCEED $300,000 TO
PROVIDE RELIEF INSPECTORS FOR THE 2006 SUMMER CONSTRUCTION OF
CAPITAL IMPROVEMENT PROJECTS
General Manager Charles Batts stated that the Engineering Department will be providing
construction management and inspection services for most District construction projects this
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Board Minutes of June 1, 2006
summer. The District normally supplements some construction inspection work with outside
services. The Board is being asked to authorize the General Manager to execute an
agreement with Harris and Associates to provide the construction inspectors for this year's
projects.
It was moved by Member Nejedly and seconded by Member Lucey to authorize the General
Manager to execute a professional engineering services agreement with Harris and
Associates in an amount not to exceed $300,000 to provide relief construction inspection
services for the construction of the District's summer 2006 capital improvement projects.
Motion passed by unanimous vote of the Board.
9. APPROVAL OF MINUTES
a. MINUTES OF MAY 4.2006
It was moved by Member Hockett and seconded by Member Nejedly to approve the minutes
of May 4, 2006. Motion passed by unanimous vote of the Board.
10. BUDGET AND FINANCE
a. RECEIVE APRIL 2006 FINANCIAL STATEMENTS
Controller Debbie Ratcliff presented a brief report on the April 2006 Financial Statements,
including the status of the Running Expense Fund, Sewer Construction Fund, and
Temporary Investments.
11. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
None.
12. ANNOUNCEMENTS/SUGGESTIONS FOR FUTURE AGENDA ITEMS
None.
13. ADJOURNMENT
There being no further business to come before the Board, President Menesini adjourned
the meeting at 3:03 p.m.
v1(ahO
/
President of the Board of Directors,
Central Contra Costa Sanitary District,
County of Contra Costa, State of California
COUNTERSIGNED:
~~
Secretary of the Central Contra Costa
Sanitary District, County of Contra Costa,
State of California
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