No preview available
HomeMy WebLinkAboutBOARD MINUTES 01-24-02 55 MINUTES OF THE ADJOURNED REGULAR BOARD MEETING OF THE DISTRICT BOARD OF THE CENTRAL CONTRA COSTA SANITARY DISTRICT HELD ON JANUARY 24, 2002 The District Board of the Central Contra Costa Sanitary District convened in an adjourned regular session in the multipurpose room at the District offices at 5019 Imhoff Place, Martinez, County of Contra Costa, State of California, at 2:00 p.m. on January 24, 2002. President Menesini called the meeting to order and requested that the Secretary call roll. 1. ROLL CALL PRESENT: Members: Nejedly, Hockett, Lucey, Boneysteele, Menesini ABSENT: Members: 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. BUDGET AND FINANCE a. ANNUAL BOARD FINANCIAL PLANNING AND POLICY WORKSHOP FOR THE 2002- 2003 FISCAL YEAR BUDGET PROCESS Mr. Charles W. Batts, General Manager, welcomed the Board to the District's new Multipurpose Room. This part of the old laboratory was turned into a great space for presentations, public meetings, and training. Mr. Batts stated that this workshop is the third such workshop in as many years. The Board has received a lot of information over the years. All of that information will not be covered again, but staff would be happy to answer any questions the Board may have. Each year staff looks at what can be done to improve the process, and improve the efficiency and cost effectiveness of District operations. The purpose of today's workshop is to provide updated financial information, and to seek Board input and direction on implementation of the 2002-2003 Sewer Service Charge increase of $24, operating expenses and maintaining current service levels, the Capital Improvement Program (CIP) and meeting current commitments to the City of San Ramon, and debt financing. Several scenarios will be presented to the Board. Any Board direction on development of other scenarios or additional information will be sought and staff will address Board questions. Finally, today's workshop will help set direction for budget preparation. Member Boneysteele stated that the Executive Summary of the Financial Planning and Policy Workshop Financial Report indicates that a ten percent non-labor reduction scenario was developed at the direction of the Board. Member Boneysteele stated that he does not recall the Board directing staff to develop a ten percent reduction alternative. Member Boneysteele stated that when one Board Member expresses an opinion, he is reluctant to contradict it so he remains quiet. Member Boneysteele requested that a formal vote be used to verify direction from the Board. Member Boneysteele stated that he certainly did not direct staff to reduce expenses by ten percent. Mr. Batts stated that in past workshops, an array of scenarios have been presented for Board consideration. The suggestion that a ten percent reduction in non-labor expenses be presented is similar to that. 01 24 02 56 Member Boneysteele stated that he has been through cost cutting and it is very difficult to get a ten percent reduction in an organization like the District. Member Boneysteele stated that he would not vote for that. Member Lucey stated that the Board is here to hear what staff has to say. If the Board leaves today without saying anything, please do not assume that is a consensus, at least from Member Lucey's point of view. President Menesini stated that the Board is here today to hear from staff and to provide some direction. Some of the things the Board needs to know is what commitments were actually made to the City of San Ramon. Are they hard and fast commitments? Mr. Batts stated that this is an opportunity for staff to present that type of information, discuss that information with the Board, and hopefully receive some direction from the Board as to how to proceed. The goals of today's workshop are to review strategies to prevent cash flow constraints; reaffirm the 2001 workshop decision; and look at long-term strategies for Capital Program funding, building capital reserves, and maintaining and stabilizing reasonable Sewer Service Charge rates. The District goals are full regulatory compliance, excellent customer service, responsible rates, and being a high performance organization. It is the District's challenge and a delicate balance between meeting these goals of maintaining responsible rates while providing full regulatory compliance and excellent customer service. The financial plan analysis included consideration of variables, revenues, expenses, cost reduction measures, cost increases, projected Capital Program expenses, and regulatory requirements. Mr. Batts discussed the variables of rates, revenues, operating expenses, the Capital Improvement Program, and the need for debt financing; and sources of revenue including the Sewer Service Charge, City of Concord reimbursement, ad valorem tax, connection fees, interest income, and developer reimbursement. The Sewer Service Charge makes up 53 percent of District revenue. Charges to the City of Concord are also a significant portion of revenue. Total District revenue for 2001-2002 is projected at $56,680,000 and it is projected that almost $6.5 million will be spent from the capital reserve to balance the budget. Eight of the last ten years, the District has intentionally run a deficit budget, drawing down reserves. Mr. Batts stated that this is something that must be addressed this year. Mr. Batts stated that the District has approximately 146,800 connections. One dollar increase in the Sewer Service Charge represents approximately $150,000 in revenue. Mr. Batts displayed a comparison of Sewer Service Charge rates of nearby agencies ranging from $109 to $596 with the 2002-2003 CCCSD Sewer Service Charge being $248. Ad valorem tax is another source of income to the District. In 1993 the State took $3.2 million in ad valorem tax revenue from the District. The District raised the Sewer Service Charge component for capital by $20 to make up for some of this loss. At the same time the Capital Program was reduced. It is possible that the $6.9 million in ad valorem tax anticipated in 2002-2003 may be in jeopardy given the current State deficit estimated at $12 billion and the position of some State agencies and commissions that enterprise districts should not receive tax funding. If ad valorem tax revenue is lost, it could result in a $46 increase to the Sewer Service Charge. There is currently a bill that would double the District's National Pollutant Discharge Elimination System (NPDES) permit fee, and another bill that would take the costs of regulatory programs and put them on enterprise districts. Mr. Batts stated that historically, about half of the District expenses each year was for Operations and Maintenance (O&M) and about half was for Capital. As the District has tried to reduce Capital Program costs through the years and as O&M costs have increased because of energy, labor and benefits, and inflation, the O&M Budget now makes up 60 percent of annual expenditures, with capital comprising 36 percent, and bond principal and interest making up the remainder. Mr. Batts reviewed 2000-2001 total District expenses by activity, stating that labor and benefits must be considered in order to achieve any significant reduction of expenses. The expense assumptions used in developing the Financial Plan include: 01 2&.:* ¿ 0... (;.';.' ., j /"~ i"'1fi. 57 . Filling all budgeted positions; . . . Using Memoranda of Understanding (MOU) salary rates, then 4 percent in future years; . Using projected increases for employee benefits; . Using projected rates for both utilities and chemicals, and including energy rate savings in the base case; . Using a 3 percent general inflation factor for all other categories; and . Using the approved Capital Improvement Budget removing $8 million for completed and deferred projects, and adding $12 million for the San Ramon projects that were moved forward. Mr. Batts stated that in 1993 when the ad valorem tax shift occurred, the District embarked on a stringent cost reduction program. Staffing reductions were made, energy conservation and cost control measures were put in place, and the Capital Improvement Program was reduced. Today, even with increased customer services and added programs such as the Household Hazardous Waste Collection Facility, staffing has been reduced from 283 employees in 1993 to 254 employees today. Focus remains on cost control and cost reduction through "continuous improvement" efforts to involve employee work groups in cost and labor savings ideas, increased automation and technological advancements, operational efficiencies, improved staffing, and selective hiring; i.e., filling only vacant positions that are critical to the mission of the District. Cost increases for the 2000 contract negotiated increase in salary and benefits have been included. Further cost increases are anticipated in the 2003 contract negotiations. Mr. Batts stated that there are long-term maintenance cost concerns. As work progresses on televising sewers, we are finding problems in many of the places where forcemains discharge into gravity sewers. A few years ago the District looked at treating sulfides to zero and determined that it was too costly. A cost-saving decision was made and considerable money was saved, but now it may be necessary to go back and rethink some of those decisions and again consider whether the money we are saving today might be creating problems for the District in the future. Mr. Batts stated that the Capital Improvement Budget (CIB) for the next two years is $49.9 million without the Dougherty Tunnel and Trunk Sewer. This figure includes the San Ramon Pumping Station Renovation and Forcemain Projects that were moved forward based on the settlement agreement with the City of San Ramon. The CIB is designed to meet District needs and goals based on existing regulations. No allowance has been included for "parturient projects" as was included in past CIB's. Debt financing in the amount of $15 million funded for 20 years at an estimated interest rate of 4.91 percent is proposed to cover the cost of the San Ramon Pumping Station Renovation and Forcemain Projects moved forward in accordance with the settlement agreement with the City of San Ramon, and to meet cash flow requirements. If the District proceeds with debt financing, it would add to the annual interest and principal payment. President Hockett declared a recess at the hour of 2:51 p.m., reconvening at the hour of 3:04 p.m., with all parties present as previously designated. Mr. Batts proceeded with his presentation, stating as discussed with the Board at previous Board workshops, that historically the District maintained what was characterized as a "prudent reserve;" but in recent years, the Sewer Construction Fund has intentionally been spent down and now there is a cash flow crunch where "funds required" are approaching "funds available." A "soft landing" strategy was proposed and last year the Board approved a Sewer Service Charge increase of $24 for three years. Without these future rate increases and debt financing, the difference between funds available and funds required is projected to approach zero by November 2002. Mr. Batts showed a chart depicting the cash flow analysis of the actual and anticipated monthly investment balance for 2000-2001, 2001-2002, and 2002-2003. A long-term strategy to meet cash flow requirements and try to achieve an adequate Sewer Construction Fund balance is needed. 01 24 02 58 Mr. Batts stated that this long-term strategy could include some combination of reductions to O&M expenses, deferral to capital projects, rate increases, fee increases, pursuing possible new revenue sources, and debt financing. Mr. Batts stated that when the District first began to look at the cash flow situation there was a light at the end of the tunnel. The Dougherty Valley project at build out would have contributed $44 million to the Sewer Construction Fund and it would also contribute annual Sewer Service Charges. Because of delays attributed to securing the encroachment permit and other issues, connection fee revenue has been reduced drastically. While the developers are still confident that the connections will occur, it will be a number of years before build out and corresponding connection fee and Sewer Service Charge revenue is actually realized. To create a soft landing, a rate increase is needed. The idea is to use bond financing and then rate increases to bridge the gap until the Dougherty Valley development is in full swing. Mr. Batts reviewed three scenarios: a baseline scenario, baseline with a $20 Sewer Service Charge increase, and baseline with a 10 percent reduction in O&M non-labor expenses. The baseline scenario displays the financial position of the District as presented to the Board at the June 7, 2001 Board Meeting. O&M expenses include energy savings and inflation, capital projects reflect reductions of $8 million in capital spending for the current and next fiscal year offset by the escalation of the San Ramon projects, a $24 Sewer Service Charge rate increase is assumed for 2002-2003 and 2003-2004, and debt financing of $15 million for 20 years at 5 percent interest is assumed. The debt financing provides a comfort zone for a period of time but in 2007-2008 funds available would meet funds required. Discussion followed with regard to what would happen if funds required were reduced to $20 million, including the use of short-term financing such as Revenue and Taxation Anticipation Notes (TRANs). Mr. Batts reviewed Scenario 2, the baseline scenario with a reduced Sewer Service Charge. This scenario shows the impact of rate changes on the baseline scenario. No further O&M cost reductions are projected over Scenario 1. The District Sewer Construction Fund is increased through $15 million in bond funding, allowing the funds required criteria to be met in the short-term. This scenario looks at various reductions in the Board approved Sewer Service Charge rate increase of $24. A $12 rate increase does not allow the Sewer Construction Fund to remain at an adequate level through the year 2004-2005. A $20 Sewer Service Charge rate increase will allow the District to meet the funds required criteria, but higher projected rate increases would be needed in the future. Scenario 3 is the baseline scenario with projected expenses and a 10 percent non-labor cost reduction. A 10 percent reduction in non-labor (salaries and benefits) O&M costs over and above the energy savings is approximately $1.6 million. In this scenario it would be necessary to increase rates at an alarming amount in years after 2010-2011 in order for funds available to meet funds required criteria. Mr. Batts reviewed discretionary 2002-2003 projected O&M expenses, noting that chemicals, utilities, hauling and disposal, and outside services are fairly constant and not significantly flow dependent. There is more discretion in the repairs and maintenance, materials and supplies, and other areas. Discussion followed with regard to reduction in the number of Household Hazardous Waste mobile collection events as a cost savings measure. Mr. Batts presented the staff recommendation to implement the $24 Sewer Service Charge rate increase for 2002-2003 and 2003-2004 approved by the Board last year, defer $2 million of capital projects in each of the next two years, meet the commitments of $12 million to $15 million made in the San Ramon settlement agreement, and obtain $15 million debt financing over 20 years. Future steps would include: . Proceeding with $15 million in bond financing; . Completing the District budgeting process based on current District staffing levels and current District service levels; 01 24 02 59 . Providing timely budget information for the City of Concord relating to the O&M portion of reimbursement and the capital portion of the treatment program; . Incorporating in future Capital Programs meeting commitments to the City of San Ramon, reviewing the Capital Program with the Board, and developing an adequate balance in the Sewer Construction Fund for the District's future Capital Program; and . Proceeding with the District rate-setting process providing public notice and getting the information out to the ratepayers in the Spring edition of the Pipeline Newsletter, holding a public hearing, and increasing the capital component of the Sewer Service Charge in future years. Member Lucey stated that he is very reluctant to say that the District will forward information to the City of Concord in April. The Board will not make a final decision until June. Staff recommendations can be forwarded to the City of Concord, but may not necessarily be what the Board finally approves. Mr. Mike Vogan, Public Works Director of the City of Concord, stated that he understands that the numbers may not be perfect but he can consider them conservatively and use them in the City's budgeting process. Discussion followed with regard to the information that might be included in the spring edition of the Pipeline Newsletter. Member Hockett stated that the Board voted last year on a three-year rate program with the guideline that the Board would review the proposed budget and rates each year to determine if the increase enacted is required and if not, an adjustment would be made. A determination was to be made as to whether bond financing would be needed. Member Lucey stated that the public notice done last year indicated that a rate increase of up to $24 per year for three years would be considered. The Board needs to vote on that each year. President Menesini stated that he would hope that the District could get some press so the ratepayers will know what the District is doing to protect public health and the environment and what it is costing. Member Nejedly stated that the Board voted for up to $24 for three years with the caveat that the Board would revisit that decision every year and perhaps reduce the rate. Member Nejedly stated that the Board could look at the budget and determine that the $24 rate increase is needed. In that case, it would not be necessary for the Board to vote on it again. Mr. Kenton L. Aim, Counsel for the District, stated that the ordinance that the Board approved last year actually set the rates for the next three years and therefore, there is no requirement for another vote or a noticed public hearing with regard to the rates set last year of $24 per year for three years. However, there is a second provision in the ordinance that says the Board will review them and if there was not a majority of the Board that wished to consider changing the rates, there would be no reason to vote on it again. This workshop is the start of the review process and it is up to the Board as to how you want to proceed with the review and whether or not you wish to vote on the rates again. If the Board wishes to consider increasing the rates, a mailed notice must be done. If the Board wishes to consider changing the ordinance, we must go through that process. This is not something that the District has done before so it needs some discussion. Member Lucey stated that implicit in what District Counsel has said, the Board has the ability to decrease rates. Member Lucey stated that he is concerned with sending out a notice in April that says the Board is going to implement the $24 rate increase. 01 24 02 60 Mr. Batts stated that if the Board is contemplating a reduction, this will lead to the same path. If the Board wishes to do something that would require the District to decrease service, staff would need to know that. The proposed article in the Pipeline Newsletter would be a general article about the District budgeting process. If an increase in rates is being considered, the District ratepayers must be noticed. In response to questions from President Menesini, Ms. Ann E. Farrell, Director of Engineering, stated that the San Ramon Forcemain and San Ramon Pumping Station Renovation Projects at approximately $6 million each, are the two biggest projects in the coming year. There has been discussion concerning deferring the Lower Orinda Pumping Station Renovation Project. The estimated cost of the Lower Orinda Pumping Station Renovation Project is $7 million. Deferring the Lower Orinda Pumping Station Renovation Project is being recommended because staff will be committed on the San Ramon projects and a great deal of interface with the contractor will be needed since the Lower Orinda Pumping Station must continue operation during construction. Member Boneysteele expressed concern with deferring the Lower Orinda Pumping Station Renovation Project because it is a critical pumping plant in a drinking watershed. Discussion followed with regard to securing additional debt financing sufficient to cover the cost of the Lower Orinda Pumping Station Renovation Project and the concern about the level of staff commitment in overseeing two major construction projects at operating pumping stations. Member Lucey stated that he was in the minority last time. Obviously, a lot of work was done once again on the workshop documents. Member Lucey stated that he is extremely disappointed none of the staff came forward with suggested savings and cuts other than energy which is a windfall. We are just doing what we did last year. State and local jurisdictions are losing money. The District still has its head in the sand. It is the job of staff to tell the Board where savings can be made. Member Lucey stated that he has not heard any savings other than energy and putting off CIP projects. If labor and benefits is 60 percent, we should be talking about a hiring freeze. Mr. Batts stated that staff is trying to be thoughtful in the process rather than just having a hiring freeze. Mr. Randall M. Musgraves, Director of Administration, stated that although it was not highlighted, the projections provided to the Board include savings in the approximate range of $500,000 in addition to energy savings. Staff purposely tried to avoid taking credit for the energy savings. Member Lucey asked how much the Sewer Service Charge could be lowered if a job freeze were implemented. Mr. Batts stated that staff will provide that number to the Board. Member Nejedly stated that rather than the phrase "building reserves," a phrase such as "sustaining reserves" would be more appropriate. When bills come in at the end of the month, the District must have money in the bank to pay its bills. If we do not have money in the bank we must borrow, and that involves more staff time and work and additional costs for interest. Member Nejedly stated that he does not have a problem with having a cushion. Dougherty Valley houses will sell. It may take a while perhaps a couple years, but they will sell and the District will receive connection fees and Sewer Service Charge revenue. Member Nejedly stated that he hesitates to say that Sewer Service Charge rates must be increased because of development in the Dougherty Valley and the settlement agreement with the City of San Ramon. That is not what the District is doing. Developers are paying to get the waste to the pumping station. The City of San Ramon forced the District into that position, but it is risky business to say the District is doing the projects sooner and current customers must pay. The money will come from Dougherty Valley. Member Nejedly stated that he hopes the District will not still be raising rates when Dougherty Valley does connect. With regard to ad valorem tax revenue, Member Nejedly stated that if the District loses the remaining ad valorem tax revenue, he would have no problem raising the rates to recover that amount. The District is using ad valorem tax revenue and it needs it to operate. If the ad valorem tax revenue is lost, that money 01 24 () ~~~~ 61 must come from somewhere. The District must raise rates. Member Nejedly stated that he is not sold on the current rate increase. Member Nejedly stated that the Board already voted in the $24 rate increase for three years. An article in the Pipeline Newsletter is not necessary. The Board has already voted on it so it is a done deal up to $24. Mr. Batts stated that Member Nejedly made some excellent points. The houses will be built in Dougherty Valley. Because of the delay in construction and the economic downturn, projected new connections were reduced from 1,800 to 1,000. Staff believes that reduction is temporary based on past connections and developer projections. The number of connections will be increased by 200 per year until an annual total of 2,000 connections are projected in 2006-2007. That assumes 80 percent build out in 10 years. The second point is that the need for bond funding should not be blamed on the City of San Ramon. Bond funding would get the District through an immediate cash crunch and it would defer costs to the people in San Ramon who will use the facilities. Member Boneysteele stated that he is particularly concerned about deferring the work on the Lower Orinda Pumping Station. As far as the economic downturn, Member Boneysteele stated that he believes that there will always be growth in California. Member Boneysteele stated further that he is concerned about cost cutting. The reason the District is having difficulty cutting costs is a tribute to the management and their efficiency. The Board can take credit for hiring outstanding people. If they are doing it right, the District is operating as well as it can including meeting some of the extras imposed on us like household hazardous waste and recycled water. Staff should not be faulted for not coming up with a 10 percent cut. Member Boneysteele stated that he is very pleased with this report. It is outstanding. Consideration has been given to the Board and the requirements. Member Boneysteele stated that he would encourage staff as far as deferring needed projects to find some way to finance them and come back to the Board. Member Boneysteele stated that he concurs with staff's recommendations and would support them. President Menesini stated that it is his hope that we can all come together and support what we come up with. President Menesini stated that he does not see this as an end product, but something that will have a number of obbligatos. The document contains good information that has been expressed well. As Member Boneysteele mentioned, there are some things that might almost be considered an emergency category that may need to be considered. President Menesini stated that he believes that the Lower Orinda Pumping Station will hold up, but there may be some other things the Board is not aware of that should be considered. Ms. Farrell stated that staff is concerned about the problems being found as the District sewer lines are televised. Ms. Farrell stated that she does not expect that the CIP will decrease in size in coming years. More information should be available in the Fall and staff will come back to the Board with that information. President Menesini thanked staff for the information. 4. REPORTS a. GENERAL MANAGER 1 ) Mr. Batts, General Manager, announced that he attended the Martinez State of the City breakfast on January 23, 2002. The District was recognized for its cooperative efforts with the City. 2) Mr. Batts, General Manager, announced that there was an overflow in an unincorporated area of the County near the West Branch Pumping Station. A contractor plug failed in a 12-inch sewer line and overflowed a manhole near the West Branch Pumping Station. Mr. James M. Kelly, Director of Operations, described the overflow and the clean up that is underway. It is currently estimated that somewhere between 3 and 17 thousand gallons may have leaked. A final calculation will be made when the sewer is emptied. 01 24 02 62 b. 3) Mr. Batts, General Manager, announced that during a maintenance overhaul of the No.2 steam turbine, it was determined that the turbine wheel had been damaged. A replacement wheel was installed. That has driven the maintenance overhaul cost up from $25,000 to the $60,000 to $70,000 range. The damaged wheel is being sent out to be repaired. Dresser-Rand will be doing the repair. 4) Mr. Batts, General Manager, announced that there will be a Sanitation and Water Agencies meeting tonight at 6:30 p.m. The Bay Area Blending Project will be the main topic of discussion. 5) In response to questions from Member Lucey, Mr. William E. Brennan, Capital Projects Division Manager, reported on the Moraga and Orinda Crossroads Pumping Stations pump vibration issues. At the District's urging, the general contractor GSE, got the pump representatives to attend a meeting here. The purpose of the meeting was to discuss how to make things right. The main engineer for Morse Pumps, the general sales manager for the United States, and local representatives were in attendance. Mr. Brennan stated that they appeared to be quite serious. District staff and the vibration expert (Mr. Borland) hired by District Counsel Kent Aim's office was present. There was a technical discussion of these matters. Mr. Borland and their chief engineer had a very interesting discussion about what was going on and best solutions to the problem. Mr. Brennan stated that there appears to be a solution and they were willing to listen. If they do what they say they will do, and GSE is putting a great deal of pressure on, there should be a fix in place in the next few months. The District is withholding an amount equivalent to the value of the pumps, close to $400,000. 6) Mr. Brennan, Capital Projects Division Manager, provided an update on progress on the Dougherty Tunnel. As of yesterday, January 23, 2002, the tunneling machine had done 364 feet, approximately 10 percent of the tunnel. That is actually slow and staff is not satisfied with the production. Mr. Henry Thom, Senior Engineer, has had conversations with the tunneling contractor saying that they must get production up. The tunneling contractor is currently working one 12-hour shift six days a week. That could be increased to two 12-hours shifts six days a week. The contractor has been advised that liquidated damages will be assessed if they do not meet the schedule. The general contractor Mountain Cascade wants to maintain a good relationship with the developers and is putting pressure on the tunneling contractor as well. Mountain Cascade is concerned about getting the job done on time and has been diligent about the other parts of the job. COUNSEL FOR THE DISTRICT None c. SECRETARY OF THE DISTRICT None d. BOARD MEMBERS 1 ) 2) 01 Member Hockett complimented staff on the color scheme and architecture of the multipurpose room. President Menesini reported on the assessment of three national parks in which he participated. The John Muir Home, the Eugene O'Neill Home, and the Port Chicago wetlands facilities are being inventoried and long-term monitoring initiated. President Menesini announced that Ms. Jennifer Bjork, San Francisco Bay Network Inventorying and Monitoring Coordinator, will be 24 02 63 speaking on this topic at the January 28, 2002 Environmental Alliance Discussion Series at the John Muir National Historic Site. 3) President Menesini announced that the Contra Costa Special Districts Association will elect officers at the January 28, 2002 meeting. Ms. Bette Boatmun, of Contra Costa Water District, has expressed interest in continuing as Chair. Mr. Mike Yeraka, of Diablo Water District and the current Vice Chair, has recommended that Mr. Mark Cornelius, attorney for Pleasant Hill Recreation and Park District and Contra Costa Mosquito and Vector Control District, be elected Vice Chair. 5. EMERGENCY SITUATIONS REQUIRING BOARD ACTION None 6. ANNOUNCEMENTS/SUGGESTIONS FOR FUTURE AGENDA ITEMS None 7. ADJOURNMENT There being no further business to come before the Board, President Menesini adjourned the meeting at the hour of 4:37 p.m. i / 'c-/Ll(j vy'O VCllvlMf;~ President of the Board of Directors, Central Contra Costa Sanitary District, County of Contra Costa, State of California COUNTERSIGNED: 01 24 02