HomeMy WebLinkAboutBOARD MINUTES 03-18-04
178
MINUTES OF THE REGULAR BOARD MEETING
OF THE DISTRICT BOARD OF THE
CENTRAL CONTRA COSTA SANITARY DISTRICT
HELD ON MARCH 18, 2004
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 March 18, 2004.
In the absence of President Lucey, President Pro Tem Hockett called the meeting to
order and requested that the Secretary call roll.
1. ROLL CALL
PRESENT: Members:
Boneysteele, Nejedly, Hockett
ABSENT:
Members:
Menesini, Lucey
Member Menesini was on a tour of District facilities and entered the meeting at the hour
of 2:03 p.m.
a.
PLEDGE OF ALLEGIANCE TO THE FLAG
Board and staff joined in the Pledge of Allegiance to the Flag.
b.
INTRODUCTIONS
.
INTRODUCE LILIANA AMARGO. NEWLY HIRED BUYER
Ms. Liliana Amargo, Buyer, was introduced and welcomed to the District by President
Pro Tem Hockett and the Board of Directors.
RECOGNIZE MICHAEL TARANTINO ON HIS PROMOTION TO PLANT
OPERATOR II
.
President Pro Tem Hockett and the Board of Directors congratulated Mr. Michael
Tarantino, Plant Operator II, on his recent promotion.
2. PUBLIC COMMENTS
None
3. AWARDS AND COMMENDATIONS
a.
COMMEND PAUL LOUIS. COLLECTION SYSTEM OPERATIONS
MAINTENANCE SUPERVISOR. FOR HIS EXPEDIENT ACTION IN AN
EMERGENCY SITUATION
Mr. Charles W. Batts, General Manager, stated that on March 3, 2004, Collection
System Operations (CSO) Maintenance Supervisor Paul Louis assisted a motorist
whose car had crashed into a roadside drainage ditch and was upside down in the
water. Mr. Louis jumped onto the car, which was about to sink, and helped the motorist
get out of the vehicle and up onto the bank. Mr. Louis sustained a burn from the car's
hot exhaust pipe. Emergency response personnel and the Highway Patrol soon arrived
and took over. This incident, and the one last October where Field Operations
Superintendent Bill Echols saved a woman's life by administering CPR, demonstrates
the high caliber of people we have here at the District. They seem to specialize in being
there and seeing things that need to be done and doing them. The last two days, Mr.
Louis on his own time, has been working in his community on traffic safety in the local
high school.
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President Pro Tem Hockett and the Board of Directors recognized and applauded CSO
Maintenance Supervisor Paul Louis on his quick thinking and decisive action.
4. CONSENT CALENDAR
It was moved by Member Menesini and seconded by Member Nejedly, that the Consent
Calendar, consisting of Items a. and b., be approved as recommended and resolutions
adopted as appropriate.
a.
Resolution No. 2004-022 was adopted, confirming publication of District
Ordinance No. 229, an ordinance amending District Code Chapter 6.40,
Hazardous Waste Handling and Disposal Charges for Conditionally Exempt
Small Quantity Generators.
Motion approved on the following vote:
AYES: Members: Menesini, Nejedly, Boneysteele, Hockett
NOES: Members: None
ABSENT: Members: Lucey
b.
Staff was directed to secure the services of an arbitrator in accordance with the
disciplinary appeal procedure with regard to the appeal of discipline of Source
Control Program Superintendent Tim Potter.
Motion approved on the following vote:
AYES: Members: Menesini, Nejedly, Boneysteele, Hockett
NOES:
Members:
None
ABSENT:
Members:
Lucey
5. CALL FOR REQUESTS TO CONSIDER ITEMS OUT OF ORDER
None
6. BIDS AND AWARDS
a.
CONSIDER AUTHORIZING AWARD OF CONSTRUCTION CONTRACT FOR
THE WALNUT CREEK NORTH MAIN SEWER REPLACEMENT PROJECT. DP
5700
Mr. Batts, General Manager, stated that this project was planned to be a joint project
with the City of Walnut Creek. The bids received for the District's portion of the work
through the City's bidding process were high. The District elected to drop out of the
City's project and bid and construct the sewer work as a separate project. The bidding
process was expedited due to the time constraints of the City's project. Bids were
opened on Monday, March 15.
Mr. Batts introduced Mr. Michael Penny, Associate Engineer, who used an aerial
photograph to describe the project location. Mr. Penny stated that in July 2003, the City
of Walnut Creek notified the District of its project to resurface North Main Street and
lower the roadway surface by two feet. The City requested the District to accelerate
future work that was planned for the area. The District has an existing 6-inch diameter
clay sewer line in that area that was built in 1947. The sewer has minimum cover of
four feet, and is a flat line with high maintenance. It was identified in the August 2000
Downtown Walnut Creek Facilities Plan and scheduled for replacement for 2012 in the
Capital Improvement Plan. City and District staff met in July 2003 and began
coordinating design efforts and development of a Joint Powers Agreement (JPA). The
District Board of Directors approved the JPA in December 2003. The District provided
plans and technical specifications to the City to be included in the City's bid package. In
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January 2004, the City advertised the combined project and bids were opened on
February 6,2004. The City work bid price was $2,251,900. Included in that was an
alternative for replacing the District sewer. The District work bid price was $633,700.
The District engineer's estimate was $280,000. On February 11,2004 a decision was
made to bid the District project separately. The bid process was expedited.
Preparation of the bid documents began immediately. On February 19, 2004, the Board
was notified of the City's bid results and the intent to bid and construct the project
independent of the City. On March 1 the project was advertised and bids were opened
Monday of this week, March 15, 2004. The low bid from McGuire and Hester was
$324,657, for a cost savings of approximately $300,000 over the bid price from the joint
bid with the City. Mr. Penny presented the staff recommendation, that the Board
authorize award of contract to McGuire and Hester, and authorize an additional
$191,000 from the Collection System Program Contingency Account for a total of
$491,000 for this project. Mr. Penny noted that the Board previously authorized
$300,000 for this project when advertising the joint project was authorized.
Following discussion, it was moved by Member Menesini and seconded by Member
Boneysteele, that award of a construction contract in the amount of $324,657 for
construction of the Walnut Creek North Main Street Sewer Replacement Project, DP
5700, be authorized to McGuire and Hester, the lowest responsible bidder, and that an
additional $191,000 be authorized from the Collection System Program Contingency
Account for the Walnut Creek North Main Street Sewer Replacement Project, DP 5700.
There being no objection, the motion was approved with President Lucey being absent.
a.
7. REPORTS
GENERAL MANAGER
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Mr. Batts, General Manager, stated that the Board has been advised that
the County is having contractor difficulties with construction of the new
Animal Services Facility. The District has already extended the lease
through April 3, 2004 in exchange for site improvements upon the County
leaving the facility and demolition of portions of the facility. The Board
approved that transaction. The County is trying to complete the project,
which is now about 70 percent finished. Mr. Batts recommended that the
Board extend the existing lease through the calendar year, December 31,
2004.
Member Nejedly stated that the County has enough problems at this time.
The District is not in immediate need of the property. Member Nejedly
asked that staff advise the County to take the time they need to complete
the project and take the pressure off them.
President Pro T em Hockett agreed.
Member Menesini cautioned against extending the lease too long. The
good will the District has received is valuable, but the County should
recognize that the District has done this.
It was moved by Member Nejedly and seconded by Member Menesini,
that the lease with Contra Costa County for the Animal Services Facility
be extended through December 31,2004. There being no objection, the
motion was approved with President Lucey being absent.
2)
Mr. Batts, General Manager, provided an update on the State budget
situation, stating that the Education Relief Augmentation Fund (ERAF)
shifts are no clearer now than several weeks ago. The Governor's
proposal is a $1.3 billion shift from local government. Some local
agencies are endorsing the Legislative Analyst's plan to take the largest
amount from enterprise special districts. Of the State's $15 billion bond,
$11 billion will go to payoff last year's debt. The combined debt from last
year and this year is approaching $26 billion. The Governor's budget is
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counting on additional revenue from a recovering economy, additional
federal funds, Indian gaming, and contract reductions. Many of these
issues are already the subject of lawsuits, and most will take time to settle
through the court system. .
Mr. Batts reported that on the local level, Contra Costa County is
projecting an $82 million shortfall for the next fiscal year. Though the
County is projecting greater revenue next year ($37 million from expanded
tax base and vehicle license fees) there is projected to be a loss of up to
$53 million in state funds and property tax, coupled with $62 million in
higher costs, mainly in the area of salaries and benefits including $15
million in higher retirement payouts. The County Administrator has asked
all departments to consider two scenarios, a 10 percent and a 20 percent
budget cut over last year, and to look for programs that could be dropped
from the budget. The County Board of Supervisors will consider budget
impacts at a workshop on April 20, 2004.
3)
Mr. Batts, General Manager, stated that last fall District staff prepared a
Facilities Plan for Wastewater Utility Service to Alhambra Valley. This
plan was prepared because of a proposed 15-acre subdivision in the
Alhambra Valley and increasing interest from existing residents on septic
tanks in extending the public sewer to the Alhambra Valley. The
developer of the proposed subdivision is Security Owners Corporation,
Jim and Scott Busby. The Draft Environmental Impact Report (EIR) for
the 23-home subdivision, known as Alhambra Valley Estates, was
distributed on March 4, 2004. District staff is reviewing the Draft EIR and
will submit comments as appropriate. The public hearing for the Draft EIR
will be held on April 5, 2004 at 3:30 p.m. Written comments are due by
April 19, 2004.
4)
Mr. Batts, General Manager, announced that a public workshop for the
Pleasant Hill Road East Project was held at the Martinez City Council
Chambers on Tuesday, March 16,2004. Ten residents from the project
area and some city staff attended. District staff presented the project and
answered questions. Mr. Batts stated that, as always, he was impressed
by the way District employees represent the District in the community.
5)
Mr. Batts, General Manager, announced that Human Resources Manager
Cathryn Freitas will attend the National Public Employers' Labor Relations
Association Conference in Washington, D.C. from March 28 to March 31,
2004. Funds were included in the 2003-2004 O&M Budget
6)
Mr. Batts, General Manager, announced that Public Employees Union
Local One has filed an unfair labor charge with the State Public
Employment Relations Board against District management for comments
made to the two provisional Plant Operator Ill's demoted last fall. A copy
of the complaint and the District's response were distributed to the Board.
7)
Mr. Batts, General Manager, announced that Land Surveyor Liz Charlton
will be attend the 2004 California Land Surveyors Association/National
Association of Land Surveyors Conference in Las Vegas, Nevada April 5
through 7, 2004. This is the primary conference in the nation for this type
of work. Funds were included in the 2003-2004 O&M Budget.
8)
Mr. Batts, General Manager, announced that installation of the first of the
Cornell pumps began yesterday at the Orinda Crossroads Pumping
Station. The original contractor, GSE, is installing these units.
COUNSEL FOR THE DISTRICT
1)
Mr. Kenton L. Aim, Counsel for the District, stated that as he has advised
the Board before, he has been involved in representing the City of Pacific
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Grove in a lawsuit brought by environmentalists with regard to sanitary
sewer overflows. That lawsuit was settled on March 17, 2004. Mr. Aim
stated that if there is any interest on the part of the Board, he could make
a report at a future meeting. The Board requested that Mr. Aim provide
such a report.
SECRETARY OF THE DISTRICT
c.
1)
Ms. Joyce E. Murphy, Secretary of the District, distributed updated District
key contact lists.
d.
BOARD MEMBERS
1)
Member Boneysteele, Chair of the Budget and Finance Committee, stated
that he and Member Menesini reviewed the expenditures and found them
to be satisfactory.
It was moved by Member Boneysteele and seconded by Member
Menesini, that the Expenditure List dated March 18, 2004, including Self
Insurance Check Nos. 102078-102082, Running Expense Check Nos.
148979-149205, Sewer Construction Check Nos. 26514-26564, Payroll
Manual Check Nos. 48965-48966, and Payroll Regular Check Nos.
54922-54954, be approved as recommended. There being no objection,
the motion was approved with President Lucey being absent.
Member Menesini complimented Director of Administration Randy
Musgraves and Controller Debbie Ratcliff for their report to the Budget and
Finance Committee, stating that the written report was much more than
adequate in terms of assessing the nature of the expenditures and it
provides a permanent record that can be referred to in the future.
2)
Member Menesini recognized Laboratory Superintendent Bhupinder
Dhaliwal and Laboratory staff for the information on the District's National
Pollutant Discharge Elimination System (NPDES) Permit Report. Member
Menesini stated that many times the Board hears about a piece of very
expensive equipment in the District Laboratory. Until you actually see how
the equipment is used by staff, you do not have an appreciation of the
work that is being done.
8. ENGINEERING
a.
AUTHORIZE EXECUTION OF A LEASE AGREEMENT WITH AT&T WIRELESS
PCX. INC.. FOR THE INSTALLATION AND OPERATION OF A WIRELESS
COMMUNICATIONS SITE AT 1268 SPRINGBROOK ROAD (CSO S!]£1
WALNUT CREEK
Mr. Batts, General Manager, stated that AT&T is requesting a lease for the purpose of
installing wireless telecommunications equipment within the Collection System
Operations (CSO) property. The equipment consists of electrical cabinets located on
the ground in a fenced area and antennas mounted on an existing PG&E transmission
tower within the CSO property. Staff has negotiated a lease agreement with provisions
that include rent of $15,000 per year, and a term of five years with options for three
additional five-year terms and increases in rent of 15 percent with each term. Also
included in the lease agreement are indemnification provisions to protect the District.
Following discussion, it was moved by Member Menesini and seconded by Member
Nejedly, that a Lease Agreement and Memorandum of Lease with AT&T Wireless PCX,
Inc. for the installation and operation of a wireless communications site at 1268
Springbrook Road (CSO) Site in Walnut Creek be approved, that the President of the
Board of Directors and the Secretary of the District be authorized to execute said Lease
Agreement and Memorandum of Lease, that recording of the Memorandum of Lease
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with the Contra Costa County Recorder be authorized, and that Resolution No. 2004-
023 be adopted to that effect.
In response to questions from Member Boneysteele concerning ownership of between
$1,000 and $10,000 of AT&T Wireless stock, Mr. Kenton L. Aim, Counsel for the
District, advised that there is a threshold for Fortune 500 companies for which there is a
conflict for a board member. If the ownership is less than $25,000, it would be
diminimous and it would not be necessary for a board member to disqualify himself.
Motion approved on the following vote:
AYES: Members: Menesini, Nejedly, Boneysteele, Hockett
NOES: Members: None
ABSENT: Members: Lucey
b.
AUTHORIZE GENERAL MANAGER TO EXECUTE PERMIT CONTRACT WITH
ACME CORPORATION FOR DISCHARGE OF TREATED LANDFILL
LEACHATE
Mr. Batts, General Manager, stated that the discharge of treated landfill leachate from
Acme Landfill in Martinez has been regulated under a permit contract that is scheduled
for renewal. The term of the contract is three years. Acme's treatment facility has
maintained compliance for the past three years. While the past contract authorized
Acme to discharge up to 25 gallons per minute, the actual rate of discharge has ranged
from 12 to 15 gallons per minute after the hazardous waste portion of the landfill was
capped. Several modifications to help Acme maintain compliance and enhance the
District's oversight capabilities are included in the new permit contract. Proposed
modifications include increasing the continuous monitoring of the effluent to include
ammonia and turbidity; providing continuous, on-line access to monitoring data in lieu of
weekly reports; and requiring monthly toxicity testing on red abalone, the test species
now required for the District's effluent testing. Mr. Batts introduced Mr. Chris Charrette,
Acme Treatment Plant Operations Manager, who was present.
Member Nejedly questioned whether permit contract renewals should come to the
Board for approval, and whether the last permit contract approval came to the Board.
Mr. Tim Potter, Source Control Program Superintendent, stated that the last permit
contract approval did not come to the Board.
Member Nejedly stated that if the District can reasonably accept the leachate, that is
good. Member Nejedly stated further that he has a real issue if the contract should
have come to the Board and was just changed without the Board knowing about it.
Mr. Batts stated that he believes this was discussed as part of the landfill gas contract
negotiations. Mr. Batts stated that he will review the minutes and position papers and
get back to the Board on this issue.
In response to questions from Member Menesini concerning the estimated amount of
landfill gas remaining, Mr. Chris Charrette, Acme Treatment Plant Operations Manager,
stated that the north parcel is closed, and the landfill gas is on the downside of its
production there. Landfill gas is still being produced on the east parcel. Mr. Charrette
estimated that there is still 25 to 30 years production there.
Mr. Aim, Counsel for the District, noted that including toxicity testing on abalone is very
impressive since if Acme is able to comply, the discharge would not be viewed as
hazardous waste.
It was moved by Member Nejedly and seconded by Member Menesini, that the General
Manager be authorized to execute a permit contract with Acme Fill Corporation
regarding the acceptance of treated landfill leachate from Acme Landfill located in
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Martinez, California. There being no objection, the motion was approved with President
Lucey being absent.
9. APPROVAL OF MINUTES
a.
MINUTES OF FEBRUARY 19. 2004
It was moved by Member Menesini and seconded by Member Boneysteele, that the
minutes of February 19, 2004 be approved as presented. There being no objection, the
motion was approved with President Lucey being absent.
10. BUDGET AND FINANCE
a.
AUTHORIZE THE SECRETARY OF THE DISTRICT TO PROVIDE PUBLIC
NOTICE OF PROPOSED SEWER SERVICE CHARGE INCREASE
Mr. Batts, General Manager, stated that the position paper includes outcomes from the
January Financial Planning and Policy Board Workshop and Board Meetings where a
proposed increase to the Sewer Service Charge was discussed. A draft notice has
been provided for the Board's consideration. Any changes the Board may wish to make
will be incorporated.
Mr. Aim, Counsel for the District, stated that the draft notice is consistent with what the
District has done in the past.
It was moved by Member Boneysteele and seconded by Member Hockett, that the
Secretary of the District be authorized to provide public notice of the proposed three-
year Sewer Service Charge rate increase of $8 each year for the first two years and $9
the third year. There being no objection, the motion was approved with President Lucey
being absent.
b.
RECEIVE THE 2003 ANNUAL REPORT OF THE DEFERRED
COMPENSATION PLAN ADVISORY COMMITTEE
Mr. Batts, General Manager, stated that the Deferred Compensation Plan Advisory
Committee was established by the Board of Directors to administer the District's
Deferred Compensation Plan. The Committee's duties include establishing procedures,
educating participants, reviewing accountability of the three program administrators
(Hartford, ICMA, and National Deferred), reviewing emergency withdrawal requests,
and reviewing investment performance on an annual basis. The annual report includes
investment returns for each investment option offered by the three program
administrators.
There being no questions, President Pro Tem Hockett declared that the 2003 Annual
Report of the Deferred Compensation Plan Advisory Committee was duly received.
APPROVE A BOARD RESOLUTION TO ADOPT THE REVISED SECTION 457
DEFERRED COMPENSATION PLAN DOCUMENT
c.
Mr. Batts, General Manager, stated that the Internal Revenue Service recently issued
final regulations governing Section 457 Deferred Compensation Plans. These changes
are retroactive to January 1, 2002. The final regulations clarified some of the details of
the changes in the law. These changes were highlighted in the position paper and
included in the revised Deferred Compensation Plan Document. The Deferred
Compensation Plan Advisory Committee recommends approval.
It was moved by Member Menesini and seconded by Member Nejedly that Resolution
No. 2004-024 be adopted, approving the revised Section 457 Deferred Compensation
Plan Document. Motion approved on the following vote:
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AYES: Members: Menesini, Nejedly, Boneysteele, Hockett
NOES: Members: None
ABSENT: Members: Lucey
d.
RECEIVE JANUARY 2004 FINANCIAL STATEMENTS
Ms. Deborah Ratcliff, Controller, reviewed the results of operations and maintenance
(O&M) for the month of January 2004, noting that expenditures were $209,000 less than
budget, representing a 5.4 percent favorable variance. Year-to-date O&M expenditures
were $1.3 million less than budget, representing a 5.2 percent favorable variance.
Year-to-date O&M revenues of $20,653,000 were $1.1 million greater than budget,
representing a 5.8 percent favorable variance.
Ms. Ratcliff reported that year-to-date Sewer Construction Fund revenues were
$13,259,000 and expenditures were $12,856,000, or $396,000 to the good.
Ms. Ratcliff reported that the District's temporary investments were held in commercial
paper and the District's Local Agency Investment Fund (LAIF) account. The average
yield of the District's LAIF account through January 2004 was 1.53 percent.
President Pro Tem Hockett declared that the January 2004 Financial Statements were
duly received.
11. EMERGENCY SITUATIONS REQUIRING BOARD ACTION
None
12. ANNOUNCEMENTS/SUGGESTIONS FOR FUTURE AGENDA ITEMS
District Counsel was asked to provide a report on the terms of the Pacific Grove
litigation settlement at a future Board Meeting.
District staff will provide an update on interim modifications to the permit contract with
Acme Fill Corporation for discharge of treated landfill leachate, and other landfill gas
and energy issues.
13. ADJOURNMENT
There being no further business to come before the Board, President Pro Tem Hockett
adjourned the meeting at the hour of 3:02 p.m. to reconvene at 2:00 p.m. on March 24,
2004 in the Second Floor Conference Room, for a Capital Projects Committee
Meeting/Board Workshop.
President of the oard of Dire ors,
Central Contra Costa Sanita District,
County of Contra Costa, State of California
COUNTERSIGNED:
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