No preview available
HomeMy WebLinkAboutBOARD MINUTES 06-07-07 MINUTES OF THE REGULAR BOARD MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON JUNE 7, 2007 The District Board of the Central Contra Costa Sanitary District convened in a regular 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, June 7, 2007. President Nejedly called the meeting to order and requested that the Secretary call roll. 1. ROLL CALL PRESENT: Members: Hockett, Lucey, McGill, Menesini, Nejedly 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 congratulated Larry Shepardson and Frank Favalora on their promotion to Shift Supervisors. 2. PUBLIC COMMENTS Alamo resident George Delima objected to being charged two sewer service charges for his residence and in-law unit. President Nejedly directed staff to work with him to address his questions and report back to the Board at the next meeting. 3. CONSENT CALENDAR It was moved by Member Lucey and seconded by Member Menesini to approve the Consent Calendar with the exception of Item t., to adopt resolutions, and to authorize recordings. Motion passed by unanimous vote of the Board. a. Approve expenditures dated June 7,2007. Reviewed by Budget and Finance Committee. b. Approve minutes of April 12, 2007 and May 10, 2007 Board Meetings. Book 56 - Page 129 Board Minutes of June 7, 2007 c. Adopt Resolution 2007-067 authorizing execution of a quitclaim deed to Thomas P. O'Toole, Special Trustee of the John E. Pessin 2006 Living Trust for a portion of a sewer easement at 5528 Pacheco Boulevard, Pacheco (Job 2770 - Parcel 6), and authorize staff to record documents with the Contra Costa County Recorder. d. Adopt Resolution 2007-068 accepting three grants of easements from Mt. Diablo Unified School District (District Project 5170 - Parcels 49, 49A, and 50), and authorize staff to record documents with the Contra Costa County Recorder. e. Adopt Resolution 2007-069 accepting a grant of easement from the Mt. Diablo Unified School District (District Project 5659 - Parcel 2), and authorize staff to record documents with the Contra Costa County Recorder. f. Adopt Resolution 2007-070 accepting an offer of dedication from Bertolero Development Corporation accepting public sewer improvements (Job 5473- Parcel 1 , Pleasant Hill), and authorize staff to record documents with the Contra Costa County Recorder. g. Adopt Resolution 2007-071 accepting an offer of dedication from Windemere BLC Land Company, LLC for easements shown on the recorded final map of Subdivision 7976 in the Dougherty Valley Area, accepting public sewer improvements (Job 5488 - Parcels 2A, 2B, 2C, 20, and 2E), and authorize staff to record documents with the Contra Costa County Recorder. h. Adopt Resolution 2007-072 accepting an offer of dedication from Centex Homes for an easement shown on the recorded final map of Subdivision 8158 in the Dougherty Valley Area, accepting public sewer improvements (Job 5494 - Parcel 1), and authorize staff to record documents with the Contra Costa County Recorder. I. Adopt Resolution 2007-073 accepting an offer of dedication from Windemere BLC Land Company, LLC for an easement shown on the recorded final map of Subdivision 7976 in the Dougherty Valley Area, accepting public sewer improvements (Job 5494 - Parcel 2), and authorize staff to record documents with the Contra Costa County Recorder. J. Adopt Resolution 2007-074 accepting an offer of dedication from Len-Windemere Village 15, LLC for an easement shown on the recorded final map of Subdivision 8154 in the Dougherty Valley Area, accepting public sewer improvements (Job 5500 - Parcel 1 ), and authorize staff to record documents with the Contra Costa County Recorder. Book 56 - Page 130 Board Minutes of June 7, 2007 k. Adopt Resolution 2007-075 accepting an offer of dedication from Greystone Homes, Inc. for an easement shown on the recorded final map of Subdivision 8152 in the Dougherty Valley Area, accepting public sewer improvements (Job 5508 - Parcel 1 ), and authorize staff to record documents with the Contra Costa County Recorder. I. Advise the Board of the closeout of 19 Capital Improvement Projects. Member Menesini requested more information on several of the capital improvement projects. m. Advise the Board of the closeout of the M4-A Forcemain Reconstruction Project, District Project 5410. n. Advise the Board of the closeout of the Recycled Water Pleasant Hill (Zone 1) Project, District Project 7167. o. Advise the Board of the closeout of the CSO Caltrans Lease Area Site Improvements Project, District Project 8215. p. Accept the contract work for the installation of the network fiber optic cable and wire runs for the Plant Control System Improvements Project, District Project 7204, and authorize filing of the Notice of Completion. q. Adopt Resolution 2007-076 confirming publication of a summary of District Ordinance No. 243 - An Ordinance Amending District Code Section 6.12.090, Schedule of Capacity Fees, Rates and Charges. r. Adopt Resolution 2007-077 confirming publication of a summary of District Ordinance No. 244 - An Ordinance Amending District Code Chapter 6.30, Schedule of Environmental and Development-Related Rates and Charges. s. Authorize the General Manger to execute an agreement to renew the interagency partnership to support Mt. View Sanitary District's Pollution Prevention Program for two years, through fiscal year 2008-09. In response to a question from Member Lucey, Ms. Farrell confirmed that the agreement provides for full cost recovery. t. Approve registration differential salary merit increase for Associate Engineer, Tom Godsey. Member Lucey removed this item from the Consent Calendar and requested that it be referred to the Personnel Committee for review. Board Members concurred. Book 56 - Page 131 Board Minutes of June 7, 2007 4. HEARINGS a. CONDUCT PUBLIC HEARINGS ON THE FISCAL YEAR 2007-2008 OPERATIONS AND MAINTENANCE BUDGET. DEBT SERVICE FUND BUDGET. AND THE SELF-INSURANCE FUND BUDGET. AND FOR THE ESTABLISHMENT OF THE FISCAL YEAR 2007-2008 AND FISCAL YEAR 2008-2009 SEWER SERVICE CHARGE RATES. AND ON PLACING CURRENT SEWER SERVICE CHARGES ON THE COUNTY TAX ROLL FOR COLLECTION General Manager James Kelly stated that the District Code and State law require holding public hearings for the establishment of the Sewer Service Charge rates and for placing the charges 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 2007-2008 Operations and Maintenance Budget, Debt Service Fund Budget, and the Self- Insurance Fund Budget. Controller Debbie Ratcliff stated that the Board has received a revised tally of responses to the Proposition 218 mailing. She stated that 107,000 notices were mailed. Staff received 2 responses in support of the increase and 27 in opposition. Four of the responses requested metered rates. Seventeen had questions; 14 were regarding other issues; and 22 responses indicated that their parcel was on a septic tank. Six of the responses asked for senior rates. The public hearing regarding the sewer service charge was opened. Mr. Salay commented on the proposed rate increase, stating that he was not opposed to the rate increase. He suggested that rate increase hearings be held during the lunch hour to allow more people to attend. The public hearing was closed. The public hearing regarding placing sewer service charges on the County tax roll was opened. There were no public comments. The public hearing was closed. It was moved by Member Menesini and seconded by Member McGill to approve the Fiscal Year 2007-08 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 McGill and seconded by Member Hockett to adopt Ordinance 245 establishing the Fiscal Year 2007-08 Sewer Service Charge rate increase of $11 for a total Sewer Service Charge of $300, and establishing an increase of up to $13 in the Book 56 - Page 132 Board Minutes of June 7, 2007 Sewer Service Charge for Fiscal Year 2008-09. Motion passed by the following vote of the Board: AYES: NOES: ABSTAIN: Members: Members: Members: Hockett, McGill, Menesini, Nejedly Lucey None It was moved by Member Hockett and seconded by Member Menesini to adopt Resolution 2007-078 authorizing collection of the Fiscal Year 2007-08 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. AUTHORIZE AWARD OF A SERVICE CONTRACT IN THE AMOUNT OF $1.227.334.44 TO ROTO-ROOTER SEWER SERVICE. THE LOWEST RESPONSIVE BIDDER. FOR COMPLETION OF THE TELEVISION INSPECTION OF SANITARY SEWERS PROJECT. PHASE 5. DISTRICT PROJECT 5547. AND AUTHORIZE THE GENERAL MANGER TO EXECUTE CONTRACT DOCUMENTS General Manager James Kelly stated that the Television Inspection of Sanitary Sewers Phase 5, District Project 5547 will be the next phase of the closed circuit television inspection (CCTV) of the entire collection system. This is part of the program that will inspect all of the District's sewers, and is a critical part of the District's effort to reduce sanitary sewer overflows. Staff recommends award of a service contract in the amount of $1,227,334.44 to Roto-Rooter Sewer Service, the lowest responsive bidder. It was moved by Member Lucey and seconded by Member Menesini to award a service contract in the amount of $1,227,334.44 to Roto-Rooter Sewer Service, the lowest responsive bidder, for completion of the Television Inspection of Sanitary Sewers Project, Phase 5, District Project 5547, and to authorize the General Manger to execute contract documents. Motion passed by unanimous vote of the Board. b. AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $1.536.600 TO RANGER PIPELINES. INC.. THE LOWEST RESPONSIVE BIDDER. FOR CONSTRUCTION OF THE NORTH ORINDA SEWER RENOVATIONS PROJECT. PHASE 2.1. DISTRICT PROJECT 5968. AND AUTHORIZE THE GENERAL MANGER TO EXECUTE CONTRACT DOCUMENTS General Manager James Kelly stated that the North Orinda Sewer Renovations Project Phase 2.1 will replace 3,700 feet of 6- and 8-inch sewers within backyard easements. Book 56 - Page 133 Board Minutes of June 7, 2007 Right-of-way staff has acquired all the sanitary sewer and temporary construction easements necessary for the project. Seven bids were received for this project on May 22,2007 ranging from $1,536,600 to $2,224,880. Staff recommends that the Board award a construction contract in the amount of $1,536,600 to Ranger Pipelines, Inc., the lowest responsive bidder, and authorize the General Manager to execute the contract documents. It was moved by Member Lucey and seconded by Member Menesini to award a construction contract in the amount of $1,536,600 to Ranger Pipelines, Inc., the lowest responsive bidder, for construction of the North Orinda Sewer Renovations Project, Phase 2.1, District Project 5968, and to authorize the General Manger to execute contract documents. Motion passed by unanimous vote of the Board. c. AWARD A CONSTRUCTION CONTRACT IN THE AMOUNT OF $276.221 TO AZTEC CONSULTANTS. INC.. THE LOWEST RESPONSIVE BIDDER. FOR CONSTRUCTION OF THE TREATMENT PLANT SAFETY ENHANCEMENTS PROJECT. PHASE 3. DISTRICT PROJECT 7263. AND AUTHORIZE THE GENERAL MANGER TO EXECUTE CONTRACT DOCUMENTS General Manager James Kelly reported that this is Phase 3 of an ongoing project to address safety issues identified through the District's Safety Suggestion Program and by staff at the Treatment Plant. This phase will also improve flood protection for the Tunnels and Electrical Pull Boxes along Grayson Creek to meet a 200-year storm event. Four bids were received for this project on May 17, 2007 ranging from $276,221 to $353,369. Aztec Consultants was the lowest responsive bidder. A Notice to Proceed will be issued in late June or early July upon authorization of the construction contract. It was moved by Member Hockett and seconded by Member McGill to award a construction contract in the amount of $276,221 to Aztec Consultants, Inc., the lowest responsive bidder, for construction of the Treatment Plant Safety Enhancements Project, Phase 3, District Project 7263, and to authorize the General Manger to execute contract documents. Motion passed by unanimous vote of the Board. 7. REPORTS a. GENERAL MANAGER 1) Report on Under Payment of Fees for two Danville Subdivisions General Manager James Kelly stated that staff recently discovered the District under- collected fees from two developers for 117 properties within Subdivision 8331 located in Danville. The pumped zone capacity fee and reimbursement fees were not assessed. The total amount of the uncollected fees is in excess of $500,000. District staff plans to Book 56 - Page 134 Board Minutes of June 7, 2007 meet with the two affected developers to discuss this issue and to provide them with invoices for payment of the uncollected fees. Supervising Engineering Assistant Kurt Darner reported that affected properties are sandwiched in between Wente Ranch and West Branch subdivisions off Camino Tassahara in Danville. Staff mistakenly believed the sewer connections were served by gravity, but actually use pumped service. There are 117 properties that did not pay pumped zone fees or reimbursement fees. KB Home has 41 such lots and Lennar Homes 76 lots. Missed collections go back to February 2006, and amount to $179,411.87 for KB Home and $326,785.70 for Lennar Homes. Staff is recommending meeting with the developers to explain the situation and request reimbursement. The Board concurred with this approach. 2) Update on Proposed Local Wastewater Traininq Proqram General Manager James Kelly stated that information pertaining to this item was presented in a memo to the Board in their Board agenda binder under item 7.a.2. The memo highlights the District's need to develop operators to replace senior staff that will be retiring over the next 4 to 5 years. The need for the program has increased since the recent departure of Shift Supervisor Steve Dominguez, who was also an instructor at Solano Community College, who served as a mentor and instructor to several current employees. Staff seeks the Board's support for the District to participate in the program, and will keep the Board informed of the program's progress and the potential to develop an in-county program. Member Menesini stated that he is disappointed Diablo Valley College is not interested in putting on the program. 3) North Orinda. Phase 3. Proiect Update General Manager James Kelly stated that North Orinda Sewer Renovations Phase 3 were advertised on June 1,2007 and will also advertise on June 7,2007. Bids for the project will be opened on June 19, 2007. The Engineer's Estimate is $1,410,000. Assistant Engineer Nancy Molina reported that this is the third phase of seven or eight phases of sewer renovation in the City of Orinda. Phase 3 consists of 19 sites, and 1,400 feet of open cut pipe, 4,200 feet of pipebursting, and 4 spot repairs. It also includes 850 feet of material demonstration sites. Ms. Molina showed slides of typical easements. She explained the Expanda Pipe Rib Loc Liner process, which will be tested at one of the demonstration sites. This process is quicker, less disruptive to traffic, and requires no digging. The cost is approximately $150 per foot. Book 56 - Page 135 Board Minutes of June 7, 2007 Board Members stated they would like to visit the site when the demonstration begins. The second material demonstration site will test the use of fusible PVC pipe, which is a new material on the market. A 244-foot stretch of 10-inch pipe will be installed by pipe bursting and will be monitored to see if it works with the existing system. Letters have been sent out to the public and a public meeting held on June 6, 2007 in Orinda, which four people attended. Construction signs will be posted. Ms. Molina stated that the Engineers estimate is $1.4 million, and bids will be opened June 19, 2007. Board Members commended Engineering staff on their work. They requested to be informed in advance any time public meetings are scheduled. Items 4-6 were provided to the Board as written announcements. 4) Public BiddinQ of Alhambra Vallev Trunk Sewer (Phase 2), DP 5919 The project plans and specifications for the Alhambra Valley Trunk Sewer are complete and the project is ready for bidding. Phase 1 was constructed last year, and installed the northern and southern portion of the Alhambra Valley trunk line. Phase 2 will connect these sections and complete the trunk sewer for the Alhambra Valley. This project includes 2,700 feet of 10- and12-inch sewer pipe and a 150-foot dual pipe siphon crossing under the Arroyo del Hambre Creek. Included with the trunk line and manholes will be sewer laterals and pipe stubouts for future connections by property owners. The National Environmental Policy Act (NEPA) process and right-of-way agreement with the National Park Service are expected to be completed by the end June, 2007. To avoid delaying sewer construction, the project will be advertised on June 11 and 15, 2007 and the bids will be opened on June 29, 2007. Provided the NEPA process and right of way agreement are completed as planned, the Board will be asked to award the construction contract on July 19, 2007. The estimated construction cost is $1,470,000. Regarding annexation of the Alhambra Valley Estates property, staff will submit the annexation application to the Local Agency Formation Commission on June 4, 2007. A status letter about the project has been sent to Alhambra Valley homeowners and property owners. A copy of the letter was delivered to the Board of Directors. Book 56 - Page 136 Board Minutes of June 7, 2007 5) Public Workshop and Advertisement of Martinez Sewer Renovations (Phase 1), DP 5975 The project will construct 2,600 feet of 8-inch sewer pipes in Marina Vista, and in easements on Ulfinian Way and Green Street by use of open cut and pipe-burst methods. It will be advertised on June 9 and 15, 2007 and bids will be opened on June 25,2007. The construction cost is estimated at $920,000. More information will be presented when the Board is asked to approve the construction contract on July 5, 2007. 6) Three percent Recycled Water Rate Increase Recycled water rates will be increasing three percent on July 1, 2007 in accordance with the Recycled Water Ordinance adopted by the Board. This is an automatic annual increase that was built into the ordinance; therefore, no Board action is needed to implement the rate increase. This increase is consistent with the increase in water rates by the Contra Costa Water District and CCCSD rates remain at about 80 percent of the Water District's rates. 7) General Manager James Kelly announced that the District will host a public meeting for the Alhambra Valley Trunk Sewer Project Phase 2 on Tuesday, June 26,2007, at John Swett Elementary School from 7 to 8 p.m. 8) General Manager James Kelly announced that the Budget and Finance Committee has recommended that approval of the financial statements should be placed on the Consent Calendar, and this will take place on future agendas. b. COUNSEL FOR THE DISTRICT No reports. c. SECRETARY OF THE DISTRICT No reports. d. BOARD MEMBERS 1) Member McGill reported on the June 4, 2007 Budget and Finance Committee meeting. He confirmed that the Committee recommended placing approval of the financial statements on the Consent Calendar, with more in-depth reports to be provided twice a year. Book 56 - Page 137 Board Minutes of June 7, 2007 2) Member McGill reported on the June 5, 2007 Recycled Water Committee meeting. 3) Reports on miscellaneous business meetings attended by Board Members: Member McGill reported on his and Member Hockett's attendance at the Contra Costa Council Installation Dinner and his attendance at the Building Industry Association Hall of Fame Dinner. Member Menesini reported on his and staff's attendance at a City of Martinez Council Meeting regarding their sewer project. 4) Announcements Member McGill reported that he and the General Manager will meet with City of Walnut Creek officials next week. One of the main topics of discussion will be the new Collection System Operations Department facility. 8. ADMINISTRATIVE a. REVIEW THE SELF-INSURED RETENTION (SIR) AND LIABILITY INSURANCE PREMIUMS FOR FISCAL YEAR 2007-08 TO DETERMINE THE APPROPRIATE SIR LEVEL General Manager James Kelly stated that staff was directed to return to the Board with SIR options and associated premium quotes. Director of Administration Randy Musgraves summarized the position paper and presented the premium quotes and SIR options to the Board. He stated that staff is not recommending that the District purchase earthquake or flood insurance at this time. The current SIR level for general liability is $500,000. On January 11, 2007 the Board asked staff to look at premiums for $500,000 and $1 million. Currently the District's insurance programs belong to the California Sanitation Risk Management Authority Joint Powers Authority group. The District has a $250,000 deductible on property, with an asset level of $472 million. General and employment practice liability insurance has excess coverage of $10 million. The SIR for general liability is $500,000 and for employment practices is $1 million. Mr. Musgraves stated that staff recommends authorizing staff to bind general and automobile insurance coverage at $500,000 SIR with $15 million excess coverage; Book 56 - Page 138 Board Minutes of June 7, 2007 and $10 million excess pollution liability coverage; bind property insurance coverage with a $250,000 SIR; and bind employment practices liability insurance coverage at $15,000 SIR with $15 million excess coverage. District Counsel Kent Aim recused himself and left the Board Room on the grounds that any decision may have a financial effect on his law firm. President Nejedly stated he would prefer that the general, automobile, and pollution (Household Hazardous Waste - HHW) liability have a $1 million Self-Insured Retention rather than the staff-recommended $500,000. He stated that he supports the other levels recommended by staff. Member Lucey concurred with President Nejedly's recommendation. He stated that he feels it is in the best interest of the District's ratepayers to have a higher SIR. In response to a question from Member Menesini, Mr. Musgraves stated that the premium would be $56,000 less for the higher SIR. Member Hockett stated that she felt the attorneys were better qualified to litigate such matters and would prefer to leave the SIR as it currently stands. Mr. Musgraves responded to Member McGill that the $1 million SIR is per event, and not an annual total. Member McGill stated that he did not feel the difference in SIR was significant. It was moved by President Nejedly and seconded by Member Lucey to authorize staff to bind coverage for general, automobile, and pollution (HHW) liability with a $1 million SIR rather than the staff-recommended $500,000; and to approve the staff-recommended property insurance coverage with a $250,000 SIR; and employment practices liability insurance coverage with a $15,000 SIR. Motion passed by the following vote of the Board: AYES: NOES: ABSTAIN: Members: Members: Members: Lucey, McGill, Menesini, Nejedly Hockett None District Counsel Kent Aim rejoined the meeting. Member McGill requested that a presentation be made to the Board regarding what the District can do to reduce its exposure to inverse condemnation claims. Book 56 - Page 139 Board Minutes of June 7, 2007 9. BUDGET AND FINANCE a. Receive April 2007 Financial Statement Controller Debbie Ratcliff presented a report on the April 2007 Financial Statement, including the Running Expense Fund, the Sewer Construction Fund and Temporary Investments. 10. EMERGENCY SITUATIONS REQUIRING BOARD ACTION None. 11. ANNOUNCEMENTS/SUGGESTIONS FOR FUTURE AGENDA ITEMS General Manager James Kelly confirmed that District Counsel Kent Aim will present information on ways to protect the District from inverse condemnation lawsuits. 12. CLOSED SESSION a. Personnel Matters Pursuant to Section 54957 of the Government Code - Performance Evaluations for General Manager and Secretary of the District. 13. REPORTS OUT OF CLOSED SESSION None. 14. ADJOURNMENT There being no further business to come before the Board, President Nejedly adjourned the meeting at 4:15 p.m. ~". ~<4~ Ja A. Nejedly President of the Board of Directors, Central Contra Costa Sanitary District, County of Contra Costa, State of California COUNTERSIGNED: ~~ Elaine R. Boehme Secretary of the Central Contra Costa Sanitary District, County of Contra Costa, State of California Book 56 - Page 140