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Home My WebLink AboutAGENDA BACKUP 07-08-91 . Central Contra Costa Sanitary District BOARD OF DIRECTORS PAGE 1 OF 2 POSITION PAPER BOARD MEETING OF July 8, 1991 NO. 3. CONSENT CALENDAR d. SUBJECT DATE ACCEPT GRANT OF EASEMENT FROM LOWELL D. AND ANNE J. BAILEY FOR DISTRICT PROJECT 24331, PARCEL NO.1, IN ORINDA AT A COST TO THE DISTRICT OF $810 TYPE OF ACTION ACCEPT GRANT OF EASEMENT SUBMITTED BY Rey I. Limjoco Senior Engineering Assistant INITIATING DEPT/DIV Engineering Department Engineering Division ISSUE: The Board of Directors' approval is required for accepting a Grant of Easement. BACKGROUND: The proposed sewer project is part of a 1988 facilities plan recommendation for a phased construction to replace deteriorated sewers in easements within the Hall Drive area. Construction of Phase I, consisting of a 2,700-foot bypass sewer along Hall Drive, was completed in June 1990. Phase II entails connecting the residences along Hall Drive to the Phase I bypass sewer. The Hall Drive Sewer Improvement Project, Phase II-A, consists of constructing approximately 210 linear feet of an 8-inch diameter sewer in a private road at Queensbrook Place. The subject easement, Parcel No.1 (Attachment 1),' is the only permanent easement required for the construction of the Hall Drive Sewer Improvement Project, Phase II-A. This parcel is being granted by Lowell D. and Anne J. Bailey, the owners of the private road, at a cost of $810. The District's agent, Associated Right-of-Way Services, Inc. (ARWSI), negotiated the terms of acquisition and staff now recommends it for Board approval. Sufficient funds are available in the budget for the Hall Drive Sewer Improvement Project, Phase II-A, to pay the cost of the easement. At its July 21, 1988, meeting, the District Board of Directors determined that the Hall Drive Sewer Improvement Project was exempt from the California Environmental Quality Act (CEQA) under CEQA Statute Section 21080.21, since it involves construction of a pipeline less than one mile in length in a public right of way. A Notice of Exemption was filed with the County Clerk on July 28, 1988. The Hall Drive Sewer Improvement Project, Phase II-A, is described in the 1991-92 Capital Improvement Budget (page CS-50). RECOMMENDATION: Authorize the President of the District Board of Directors and the Secretary of the District to accept the Grant of Easement for District Project 24331, Parcel 1, at a total cost to the District of $810, and authorize the Grant of Easement to be recorded. REVIEWED AND RECOMMENDED FOR BOARD ACTION RIL f)AJ -<J,eV INITIATING DEPT/DIV. t- 1302A-9/85 DRW /0". RAB CENTRAL CONTRA COSTA SANITARY DISTr -T ..~GHT of WAY MAP for St.-HER It~(( $/ '~I ~ ,~I ~/ .:}/ ,~I ~/f::J~' e((;/ ~/~. ~ ~ DR ':4~.64' "-120 4. 20'60'/2" 6~ N 10 O.J'so''E TRACT 2/38 5 7 AI 30 22 LS}4 344 LOT 6 /0 PM 42 LOT A , PARCEL NO.1 ~~ O~ 0 - Z- i U) E 10' $.$.E'. I ~ 0" ( ",d '-8/.~' "-70 A-66"s.,'/0. _ '-87,69' "-$0 A -/t/7'/7'o.," (10 7~ , " 4-9.,920 BAILEY LOWELL 0 a ANNE J DRAWN BY CHECKED BY W.GREGORY THOMAS BRO. 73CI JOB M.WALI' SCALE II I I = 40 DATE CO. ASSMT. NO. 270-024-041 PARCEL , 1-10-90 4331 Z315-~ . Central Contra Costa Sanitary District BOARD OF DIRECTORS PAGE 1 OF 2 POSITION PAPER BOARD MEETING OF July 8,1991 NO. SUBJECT ACCEPT GRANTS OF EASEMENTS FROM JOHN AND AMANDA LA YNG, WILLIAM AND NANCY HANSEN, JUDITH B. BROWN, AND JOHN AND BETTY EDWARDS FOR DISTRICT PROJECT NO. 4294 IN LAFAYETTE AT A TOTAL COST TO THE DISTRICT OF $7,181.00 SUBMITTED BY Jade A. Sullivan INITIATING DEPT/DIV Assistant Engineer 3. CONSENT CALENDAR e. DATE July 1, 1 991 TYPE OF ACTION ACCEPT GRANT OF EASEMENT Engineering Department Engineering Division Issue: The Board of Director's approval is required for accepting Grants of Easements. Backaround: The Soares Lane Slope Stabilization Project will relocate approximately 550 feet of sewer away from a landslide area in a creek bed in Lafayette. The existing 6-inch sewer was damaged by a landslide during the winter of 1982-83 and sewer service has been provided by a temporary pipe line. The new 8-inch sewer main will be constructed away from the known landslide areas and the creek bank. The proposed relocation will improve maintenance and reduce the possibility of damage from further landslides. The new sewer main is planned to be constructed in 1992. The grants of permanent and temporary easements from John and Amanda Layng, William and Nancy Hansen, Judith B. Brown, and John and Betty Edwards will provide Central Contra Costa Sanitary District with rights to construct, operate, and maintain the realigned sanitary sewer across their private properties. The cost to the District for the Grants of Easements is $7,181.00 (John and Amanda Layng $4012.00; William and Nancy Hansen $1669.00; Judith B. Brown $750.00; and John and Betty Edwards $750.00). The locations of the easements are shown on Exhibit A. In its approval of the 1988- 1989 Capital Improvement Budget, the District Board of Directors determined that the Soares Lane Slope Stabilization Project was exempt from the California Environmental Quality Act (CEOA) under District CEOA Guidelines Section 18.3, since it involves replacement of an existing sewer facility with negligible or no expansion of capacity. A Notice of Exemption was filed with the County Clerk on April 13, 1989. Recommendation: Authorize the President of the Board of Directors and the Secretary of the District to accept the Grants of Easement for District Project No. 4294, at a total cost to the District of $ 7,181.00, and authorize the Grants of Easement to be recorded. REVIEWED AND RECOMMENDED FOR BOARD ACTION 1302A-9/85 DRW j)/JuJ 4510 CANYON ROAD I I Page 2 of 2 G HOUSE l LEGEND ::~:~:~:~:~:~:~:=:~: PROPOSED EASEMENT EXISTING SEWER PROPOSED SEWER - --- CREEK PROPERTY LINE PROPOSED SEWER LINE HOUSE LANDSLIDE WILLIAM & NANCY HANSEN (TEMPORARY EASEMENTS) R 3 7 4500 CANYON ROAD JOHN & BETTY EDWARDS (PERMANENT EASEMENT) 4144 CANYON ROAD NOTE: EXISTING SEWER DEFINES PROPERTY LINE BETWEEN HANSEN AND LAYNG. JUDITH B. BROWN (TEMPORARY & PERMANENT EASEMENTS) Central Contra Costa Sanitary District . SITUATION MAP 1986 STORM DAMAGE SURVEY SOARES LANE, LAFA VETTE SCALE: NTS SITE #60 4587,45C7 EX. A 2523-! '8' . Central Contra Costa Sanitary District BOARD OF DIRECTORS PAGE 1 OF 5 POSITION PAPER BOARD MEETING OF July 8, 1991 NO. 4. SOLI 0 WASTE b. SUBJECT DATE July 3, 1991 RECEIVE STAFF ANALYSES OF APPLICATIONS FOR REFUSE COLLECTION RATE INCREASES SUBMITTED BY VALLEY WASTE MANAGEMENT AND ORINDA-MORAGA DISPOSAL SERVICES, INC. AT A BOARD WORKSHOP TYPE OF ACTION RECEIVE REFUSE COLLECTION RATE ANAL YSES SUBMITTED BY Walter Funasaki, Finance Officer INITIATING DEPT.lDIV Administrative/Finance & Accounting ISSUE: Valley Waste Management and Orinda-Moraga Disposal Service, Inc. have submitted applications for rate increases effective July 1, 1991. The applications and related staff analyses will be reviewed at a Board Workshop on July 8, 1991, and will be the subject of a public hearing on July 18, 1991. BACKGROUND: Applications for rate increases effective July 1, 1991 have been submitted by two of the three franchised refuse collectors: Valley Waste Management has submitted an application for a 24.62 percent rate increase; and Orinda-Moraga Disposal Service, Inc. has requested a 16.73 percent rate increase. Pleasant Hill Bay Shore Disposal did not submit a rate application. The staff analyses and rate applications are being distributed to the Board of Directors with this Position Paper. Copies of these documents are also being provided to the affected cities of Orinda, Moraga, Lafayette and Danville with a request that they provide comments for the Board's consideration at the July 18, 1991 public hearing. The documentation for this rate-setting decision is being presented in the following manner. The Position Paper contains an overview of the rate-setting process. The staff analysis of the rate applications are contained in two separate volumes, one for Valley Waste Management and one for Orinda-Moraga Disposal Service. The specific rate-setting decisions and staff recommendation are contained in these separate volumes. RATE-SETTING PROCEDURE The new method of calculating the increase in refuse collection rates which was approved during the 1990-1991 rate-setting process included the following components. Exoense Adiustments Since expenses are passed through directly under both the previous and the new rate-setting methodology, staff has used long standing Board guidance for reviewing expenses as appropriate for inclusion in the rate analysis. The Board will want to consider various claimed expense components of each rate application which have been analyzed by staff. INITIATING DEPT./DIV. / REVIEWED AND RECOMMENDED FOR BOARD ACTION 4 1302A-9/85 WN F SUBJECT I::!IIIIIIIIIIIIIIIIIIIIII!!:. RECEIVE STAFF ANALYSES OF APPLICATIONS FOR REFUSE COLLECTION RATE INCREASES SUBMITTED BY VALLEY WASTE MANAGEMENT AND ORINDA-MORAGA DISPOSAL SERVICES, INC. AT A BOARD WORKSHOP PAGE DATE 2 OF 5 July 3, 1991 Vallev Waste Manaaement - Intercompany Charges $ 3 1 1 ,000 Orinda-Moraaa Disoosal Service - Lease Agreement for Personal Property - Lease Agreement for Corporation Yard - Consulting Agreement with 2N Leasing - Employment Agreement with R. Sliepka - Truck Maintenance Agreement - Buy-Sell Agreement with Stockholders $168,000 $ 69,600 $ 90,000 $ 16,000 $139,000 $ 36,800 A recommendation concerning each item is provided in the staff analysis. Caoital Use Charae - An amount was included in the collection rates for the use of capital. This amount was calculated by multiplying an interest rate times the depreciated value of the refuse collector's Net Tangible Fixed Assets (NTFA). The NTFA is computed on the basis of the original acquisition cost to avoid write-ups in values resulting from changes in franchise ownership being passed on to the rate-paying public. The average yield for 2 Year Treasury Notes was used as the interest rate. Closure Cost Assessment The County's closure and post-closure cost assessment program is described in the staff analysis. No provision has been made for closure costs in either rate analysis, although the effect of closure costs on the rate adjustment calculation is separately presented. It is recommended that the Board consider this issue when, and if, the County levies a closure cost assessment. Transfer Station Fee Increase The Acme Interim Transfer Station fee was last increased on January 1, 1 991. No provision has been made for a fee increase which may be made effective January 1, 1992. It is recommended that the Board permit a mid-year rate adjustment in the event of a mid-year transfer station fee increase. Revenue and Exoense Balancina Account Given the uncertainties inherent in operating a business in as volatile a field as the solid waste field, extreme precision in the franchisees' ability to operate exactly on budget cannot be expected. In past years, budgetary surpluses have been retained by the franchisees. In fiscal 13028-7/91 SUBJECT 11:11111111;111:111"111111"111" RECEIVE STAFF ANALYSES OF APPLICATIONS FOR REFUSE COLLECTION RATE INCREASES SUBMITTED BY VALLEY WASTE MANAGEMENT AND ORINDA-MORAGA DISPOSAL SERVICES, INC. AT A BOARD WORKSHOP PAGE DATE 3 OF 5 July 3, 1991 year 1989-1990, the franchisees requested, and received, augmentation of their rates to cover a mid-year disposal fee increase. The earlier rate-setting approach did not provide any incentive for cost cutting. It was the position of the District that it was appropriate to permit the franchisees to keep the results of cost efficiencies during any given rate year as a way of encouraging the franchisee to be more efficient. Under the new approach, effective cost cutting will result in increased profits. Also, tight budgeting can be expected to result in occasional revenue short fall which should be passed along to the ratepayer as long as the costs were legitimately incurred in the course of a well- managed business. For these reasons, as discussed during last year's rate-setting process, a Balancing Account has been included in the staff analysis. During fiscal year 1990-1991, both franchisees managed a modest surplus which will be used to offset the fiscal year 1991-1992 revenue requirement. Profit Calculation Because of the limitations inherent in the use of the Operating Ratio method of determining allowable profit, a new method was implemented last year. Under the new method, the refuse collector's profit before taxes, and after subtracting the Capital Use Charge, for the last six years was analyzed. The profit figures for the six years were adjusted by the Consumer Price Index to current values, and a profit per customer per year was determined. An arithmetic mean of the profit per customer for four years, after rejecting the high and low years, was used to compute the allowable profit; the profit per customer so determined was $11.87. Modification Factors District staff recommends that the net profit per customer of $11.87 determined for 1990-1991 be considered a base year value, to be modified by two indices which consider quality of service and cost of service. Qualitv of Service An extensive survey was recently completed to measure the level of customer satisfaction with the services provided by the three franchised refuse collectors; a fOllow-up survey is intended to be performed annually on a sample basis. A report on the results of the survey was provided at the May 13, 1991 Board Meeting. In the judgment of the District staff, the survey results can be summarized in terms of a grade ranking, based on the following numeric scale: 13028-7/91 SUBJECT iiiii!~~:.I.:::Pi:I::::~~iiiiiiil!ijf::i!i~:II::::::::::::i:::i ....n~\iliiiI. ~~l~.~~~~ .~I.......E'#1n~.m. .... ..... ::::::::::::::::::::::::::;:;:::::::::;:::;:::::::;:::::::::::::::::::::;:;:;:;:;:::::::::::::::::::::::::::::::::::::::::;:;:;:;:;:;:;:;:::::;::::::::::::::::::::::: RECEIVE STAFF ANALYSES OF APPLICATIONS FOR REFUSE COLLECTION RATE INCREASES SUBMITTED BY VALLEY WASTE MANAGEMENT AND ORINDA-MORAGA DISPOSAL SERVICES, INC. AT A BOARD WORKSHOP PAGE DATE 4 OF 5 July 3,1991 Grade Rankine Numeric Scale A+ A A- B+ B B- C+ C C- D F 1.20 1.15 1.10 1.05 1.00 .95 .90 .85 .80 .40 - .80 .00 - .40 In setting the Quality of Service modification factor, it is recommended that the Board consider the responsiveness and cooperativeness of the refuse collector. Cost of Service District staff surveyed twenty-one other jurisdictions with similar service levels in the Greater Bay Area to obtain collection rate information to determine the comparative ranking of the franchised refuse collectors. The ranking was based upon the single can rate amount and the percentage increase in the rate over the last three years. The sampled rates were adjusted for differences in services provided, and major differences in the topography of the service area. In setting the Cost of Service modification factor, it is recommended that the Board consider the degree of control the franchised refuse collector has over disposal charges, refuse collection expense control, and other related factors. Uniform Rates As a way of rewarding ratepayers who reduced their solid waste production, as well as reflecting the increasing proportion of the collection fees which are related to disposal expense, in 1990, the Board elected to phase-in a uniform rate schedule. In response to public input, the Board selected a three year phase-in period. Fiscal year 1991-1992 will be the second year. Barring 13028-7/91 SUBJECT .!.:lllliflllliiiiiilllllllii!l! RECEIVE STAFF ANALYSES OF APPLICATIONS FOR REFUSE COLLECTION RATE INCREASES SUBMITTED BY VALLEY WASTE MANAGEMENT AND ORINDA-MORAGA DISPOSAL SERVICES, INC. AT A BOARD WORKSHOP PAGE DATE 5 OF 5 July 3, 1991 direction from the Board to the contrary, the staff will adjust the rates after the key expense and profit decisions are made to conform to the second phase-in year. By fiscal year 1992-1993, the rate for each can for a multi-can residential customer will be the same. District staff wishes to acknowledge the assistance received in its analysis of the rate application of Valley Waste Management provided by Stephen Minton and Dennis Krentz, who comprise a Solid Waste Committee to the Lafayette City Council. Messrs. Minton and Krentz reviewed the rate application and offered constructive suggestions on specific areas of analysis and review. RECOMMENDATION: Receive the analyses of the applications for rate increases submitted by Valley Waste Management and Orinda-Moraga Disposal Service, Inc.; provide staff with comments and guidance regarding the two common issues described in this Position Paper, i.e. closure and post-closure cost assessment and disposal fee increase, and issues which are unique to the two refuse collectors which are described in their respective staff analysis. ADS/PosPap #2/StaffAna.PP 13028-7/91 . Central Contra Costa Sanitary District BOARD OF DIRECTORS PAGE 1 OF 1 PO.SITION PAPER BOARD MEETING OF July 8, 1991 sU~THORIZE THE GENERAL MANAGER-CHIEF ENGINEER TO EXECUTE A CONSULTANT AGREEMENT WITH CAMP DRESSER & MC KEE INC. FOR VALUE ENGINEERING SERVICES ON THE HEADWORKS FACILITIES EXPANSION PROJECT, DISTRICT PROJECT NO. 20069 NO. 5. ENGINEERING a. DATE TYPE OF ACTION AUTHORIZE AGREEMENT SUBMITTED BY David R. Williams Engineering Division Manager INITIATING DEPT/DIV Engineering Department/ Engineering Division ISSUE: Authorization by the Board of Directors is required for the General Manager-Chief Engineer to execute professional services agreements in amounts greater than $50,000. BACKGROUND: On May 23, 1991, sealed proposals were received and opened for construction of the Headworks Facilities Expansion Project. The bids received were over the amount budgeted by the District for construction. As a result, staff recommends that a value engineering (VE) review of the project be conducted. VE is a systematic review of a project. to identify options for reducing construction costs without impairing the basic functions of the facilities or reducing the reliability below acceptable levels. An agreement has been negotiated with Camp Dresser & McKee Inc. (CDM) to perform the VE services on the Headworks Project with a cost ceiling of $58,182. Based on its past performance in performing VE analyses, staff recommends that CDM conduct the VE for the Headworks Project as bid. CDM has assembled a team of experts to conduct the VE during the period of July 22 through July 26, 1991. Following the review, the VE team will make recommendations to District staff on possible methods for reducing project construction costs. Subsequent staff decisions may result in a recommendation to award or reject all bids at the August 1, 1991, Board of Directors meeting. At the request of staff, the low bidder has decided to extend its bid proposal from July 12, 1991, to August 15, 1991, in order to allow staff to further evaluate the project. The Headworks Facilities Expansion Project is included in the 1991-92 Capital Improvement Budget beginning on page TP-8. The authorization for VE services may result in an eventual overrun on the Headworks Project budget. RECOMMENDATIONS: Authorize the General Manager-Chief Engineer to execute a Cost Reimbursement Agreement with Camp Dresser & McKee for value engineering services on the Headworks Facilities Expansion Project (DP 20069) with a cost ceiling of $58,182. REVIEWED AND RECOMMENDED FOR BOARD ACTION IN15kf~/DIV ~M 1302A-9/85 DRW /b/'RAB Centr, ~ Contra Costa Sanital District BOARD OF DIRECTORS PAGE 1 OF 2 POSITION PAPER BOARD MEETING OF July 8, 1991 NO. 6. PERSONNEL a. SUBJECT DATE July 1, 1 991 ADOPT MEMORANDUM OF UNDERSTANDING (MOU) WITH THE GENERAL EMPLOYEES GROUP EFFECTIVE JUNE 14, 1991 - APRIL 30, 1994 TYPE OF ACTION ADOPT M.O.U. SUBMITTED BY Paul Morsen, Deputy General Manager INITIATING DEPT.lDIV. Administrative Department ISSUE: Board representatives and representatives of the Central Contra Costa Sanitary District Employees' Association, Public Employees' Union, Local No. One (Local # ~ ), with the assistance of a state mediator, on June 14, 1991 agreed to the attached Memorandum of Understanding. The agreement was ratified by the Local One membership: accordingly, presentation to the Board of Directors for final adoption is now appropriate. BACKGROUND: Board representatives and representatives of Local #1 have met and conferred in an effort to agree on a Memorandum of Understanding covering those employees designated as the General Employee Group. Negotiations this year were very difficult for both sides; so difficult, in fact, a mediator from the State Mediation and Conciliation Service was called in after an impasse was declared. A mediated settlement was achieved which has resulted in the attached Memorandum of Understanding. The District's current Memorandum of Understanding with the General Employees expired on April 30, 1991. It is proposed that the MOU attached to this position paper be made effective June 14, 1 991 as that is the day tentative agreement was reached by the parties at the table. Additions to the agreement are in bold and deletions are indicated by strike-outs. Attached is written confirmation of ratification from Local One. Highlights of the three-year agreement are as follows: . This agreement will become effective commencing June 14, 1991 and terminate April 30, 1994. . Effective June 14, 1991 the District will provide a 2.3 % general salary increase. In the second and third years of the MOU, the wage adjustment shall be based on changes in the Consumer Price Index (CPI) for all urban consumers (San Francisco/Oakland) during the February 1991 to February 1992 base period and the February 1992 to February 1993 base period, respectively, with a minimum of 3% and a maximum of 8 %. . The two-tier benefits system currently in effect at the District remains unchanged. . The amount of leave time granted general employees remains unchanged from the previous MOU. REVIEWED AND RECOMMENDED FOR BOARD ACTION PM SK'ti'(jPT MEMORANDUM OF UNDERSTANDING (MOUl WITH THE GENERAL EMPLOYEES GROUP EFFECTIVE JUNE 14, 1991 - APRIL 30, 1994 POSITION PAPER PAGE 2 OF DATE 2 July 1, 1991 . In the first year of the MOU, effective June 14, 1991, the District will contribute the entire remaining fifty percent of the employees' share of the retirement payment. During the period of this MOU, the employee will continue to contribute to the employee cost-of-living (COL) share of the retirement system as required by the Contra Costa County Retirement System. . The Rule-of-Four has been abolished; all recruitments will be open and promotional. The top three in-house candidates on the eligibility list will always have an interview with the appointing authority. Only those out-of-house candidates who rank among the top three will be interviewed. . Nominal increases in tuition reimbursement, dual health coverage, safety shoes, and meal allowances have been granted. The attached MOU more clearly sets forth certain personnel policies and procedures in furtherance of the District's goal of reducing the potential for misunderstandings and inconsistent administration. A side letter to the new MOU was executed as part of the agreement. The side letter provides for support of a drug-free work place and recognition of the District's right to conduct pre-employment drug testing. The Management Support/Confidential Group (MS/CG) and Management bargaining units previously settled their MOU's based on the District paying fifty percent of the employee's remaining basic share of retirement this year and the other fifty percent next year. However, representatives of Local One approached the County Retirement Office demanding that all District bargaining units receive the same retirement contributions. The County concurred that the County Retirement Act of 1937 mandates like treatment of the employee's share of retirement for all District bargaining units. Consequently, adoption of the MOU with the General Employees is contingent upon the agreement of the MS/CG and Management groups to re-open contract negotiations and accept the District's offer to pay one-hundred percent of the employee's share of the retirement contribution this year. RECOMMENDATION: Adopt the attached MOU between the District and the Central Contra Costa Sanitary District Employees Association, Public Union, Local No.1, for the General Employees Group, effective June 14, 1991 through April 30, 1994, conditional on the agreement of the MS/CG and Management Groups to modify their respective MOU's. 13028-9/85 ~ Centh. ~~~~~ g~~~R~~~~a~s District PAGE 1 OF 1 POSITION PAPER BOARD MEETING OF July 8,1991 NO. 6. PERSONNEL b. SUBJECT DENY APPEAL OF TERMINATION BY NICHOLAS JAMES (JIM) MAPLES, UTILITY WORKER, IN ACCORDANCE WITH ARBITRATOR'S RECOMMENDATION DATE June 24, 1991 TYPE OF ACTION PERSONNEL SUBMITTED BY INITIATING DEPT/DIV. Paul Morsen, Deputy General Manager Administrative ISSUE: In accordance with the Disciplinary Procedure in the current Memorandum of Understanding between the District and the Central Contra Costa Sanitary District Employees' Association, Public Employees' Local No.1, the Board of Directors may adopt, reject, or modify the recommendation of an appointed neutral third party (arbitrator) in appealed disciplinary matters. BACKGROUND: Mr. Jim Maples, Utility Worker, was terminated on November 2, 1990. He was terminated for threatening physical violence to the General Manager - Chief Engineer and the Deputy General Manager. Mr. Maples appealed his termination to the Board of Directors in accordance with the Memorandum of Understanding between the parties. The Board authorized the selection of an arbitrator to hear the appeal and make a recommendation to the Board for their consideration. Mr. Francis Richard Walsh, Esq., served as the arbitrator and was selected from a list submitted by the State of California Mediation and Conciliation Service. The arbitrator's decision is being transmitted under separate cover for the Board's information. He ruled on the issue of whether the District had just cause for terminating Mr. Maples and, if not, what remedy should be recommended to the Board. In his award, Mr. Walsh states; 1) advise the Board of Directors to deny the appeal, and 2) there was just cause for terminating Mr. Maples. The Secretary of the District notified Mr. Maples on June 25, 1991, that this issue would be on the Board's July 8, 1991, agenda. He was invited to attend if he desired. RECOMMENDATION: Deny and dismiss the appeal of Mr. Jim Maples, Utility Worker, as the final action of the District. REVIEWED AND RECOMMENDED FOR BOARD ACTION